SAP Material Management
GR-Based IV vs Non GR-Based IV
LIV price different from PO price
QTY at time of LIV is enough stock
Any Differences between the 2 setup
Establishing the basic Principle behind
GR-Based IV vs Non GR-Based IV
Scenario assumption (local currencies)
3 partial GR for both POs (GR-based and Non GR-based IV)
PO price is $12/pc
GR#1 500
GR#2 800
GR#3 700
Price will be based on PO (assume GR cannot change price)
LIV#1 500 @ $14/pc (higher than $12/pc)
LIV#2 800 @ $10/pc (lower than $12/pc)
LIV#3 700 @ $13/pc (higher than $12/pc)
Stocks at point of LIV enough and variances are all posted back to stocks account
Stock at point of LIV LOWER than IV Qty with be dealt with in another ppt
The main purpose of this demo is to show the basic principles of GR-based IV vs non GR-based IV steps and any impact/differences
in this BASIC scenario
Material MAT1000 & MAT2000 both are “V” Price Control now at $10 unit price
Initial stock entry to prepare for simlation each with 1000 pc of stock @ $10/pc and both now at total stock value of $10,000 (same for both)
Vendor V1
GR-Based IV
Vendor V2
Non
GR-Based IV
PO# 4500017239
Vendor V1
Material MAT1000
Price $12/pc
PO# 4500017240
Vendor V2
Material MAT2000
Price $12/pc
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
Scenario assumption (local currencies)
3 partial GR for both POs (GR-based and Non GR-based IV)
PO price is $12/pc
GR#1 500
GR#2 800
GR#3 700
Price will be based on PO (assume GR cannot change price)
LIV#1 500 @ $14/pc (higher than $12/pc)
LIV#2 800 @ $10/pc (lower than $12/pc)
LIV#3 700 @ $13/pc (higher than $12/pc)
Stocks at point of LIV enough and variances are all posted back to stocks account
The main purpose of this demo is to show the basic principles of GR-based IV vs non GR-based IV steps and any impact/differences
in this BASIC scenario
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
3 partial GR
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
3 partial GR
Material MAT1000
(GR for GR-Based IV PO)
MAP $11.33/pc
Total Stock 3000
Total Value $34000
Material MAT2000
(GR for Non GR-Based IV PO)
MAP $11.33/pc
Total Stock 3000
Total Value $34000
Partial GR
no difference
1000 x $10 + (500 x $12) + (800 x $12) + (700 x $12)
-----------------------------------------------------------------------
1000 + 500 + 800 + 700
= $1000 + $6000 + $9600 + $8400
-----------------------------------------------
3000
= $34000
-----------
3000
= $ 11.33/pc
Both scenario GR-Based IV and Non GR-Based IV
resulting in same situation of MAP values
Scenario assumption (local currencies)
3 partial GR for both POs (GR-based and Non GR-based IV)
PO price is $12/pc
GR#1 500
GR#2 800
GR#3 700
Price will be based on PO (assume GR cannot change price)
LIV#1 500 @ $14/pc (higher than $12/pc)
LIV#2 800 @ $10/pc (lower than $12/pc)
LIV#3 700 @ $13/pc (higher than $12/pc)
Stocks at point of LIV enough and variances are all posted back to stocks account
The main purpose of this demo is to show the basic principles of GR-based IV vs non GR-based IV steps and any impact/differences
in this BASIC scenario
Characteristic of GR-Based IV is to present the separate partial GR into 3 line for LIV (so that if partial invoice based on each partial GR, user only have to de-select or select the appropriate line item)
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#1 500pc @ $14/pc
Invoice#1
$14/pc for 500 pc
(PO price is $12/pc)
user only select item 1 and onlty need to change the value
from
$5000 (500 x $12/pc) to
$7000 (500 x $14/pc)
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#1 500pc @ $14/pc
Qty no change
Characteristic of
Non GR-Based IV is to present the separate partial GR into TOTAL
User will have to change both Amount and Qty when supplier send partial Invoices
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#1 500pc @ $14/pc
Invoice#1
$14/pc for 500 pc
(PO price is $12/pc)
since the LIV is presented with TOTAL line for Non GR-Based IV PO, the user will have to change both Amount and Qty to match the supplier partial invoice
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#1 500pc @ $14/pc
Both Amount and Qty have to be changed
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
3 partial GR
LIV #1 $ 14/pc
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
3 partial GR
LIV #1 $ 14/pc
Material MAT1000
(GR for GR-Based IV PO)
MAP $11.67/pc
Total Stock 3000
Total Value $35000
after LIV#1 @14/pc
Material MAT2000
(GR for Non GR-Based IV PO)
MAP $11.67/pc
Total Stock 3000
Total Value $35000
after LIV#1 @14/pc
after LIV#1
both same
MAP $11.67/pc
= $34000 + (($14-$12) x 500)
-------------------------------------
3000 + 0
= $34000 + ($2 x 500)
--------------------------
3000
= $35000
-----------
3000
= $11.67/pc
Both scenario GR-Based IV and Non GR-Based IV
resulting in same situation of MAP values after LIV#1 @ $14/pc
PO Price is @ $12/pc
Scenario assumption (local currencies)
3 partial GR for both POs (GR-based and Non GR-based IV)
PO price is $12/pc
GR#1 500
GR#2 800
GR#3 700
Price will be based on PO (assume GR cannot change price)
LIV#1 500 @ $14/pc (higher than $12/pc)
LIV#2 800 @ $10/pc (lower than $12/pc)
LIV#3 700 @ $13/pc (higher than $12/pc)
Stocks at point of LIV enough and variances are all posted back to stocks account
The main purpose of this demo is to show the basic principles of GR-based IV vs non GR-based IV steps and any impact/differences
in this BASIC scenario
Characteristic of GR-Based IV
note item 1 completed, remaining partial GRs waiting for LIV
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#2 800pc @ $10/pc
Invoice#2
$10/pc for 800 pc
(PO price is $12/pc)
user selects only item 2 and change the Amount to $8000 (800 x $10)
Original expected was $9600 (800 x $12)
Qty no change
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#2 800pc @ $10/pc
Characteristic of
Non GR-Based IV is to present the separate partial GR into TOTAL
remaining to be invoices from all Partial GRs
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#2 800pc @ $10/pc
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#2 800pc @ $10/pc
Invoice#2
$10/pc for 800 pc
(PO price is $12/pc)
since the LIV is presented with TOTAL line for Non GR-Based IV PO, the user will have to change both Amount and Qty to match the supplier partial invoice
Both Amount and Qty have to be changed
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#2 800pc @ $10/pc
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#2 800pc @ $10/pc
Material MAT1000
(GR for GR-Based IV PO)
MAP $11.13/pc
Total Stock 3000
Total Value $33400
after LIV#2 @10/pc
Material MAT2000
(GR for Non GR-Based IV PO)
MAP $11.13/pc
Total Stock 3000
Total Value $33400
after LIV#2 @10/pc
after LIV#2
both same
MAP $11.13/pc
= $35000 - (($12-10) x 800)
-----------------------------------
3000 + 0
= $35000 - $1600
---------------------------
3000
= $33400
----------
3000
= $11.13/pc
Both scenario GR-Based IV and Non GR-Based IV
resulting in same situation of MAP values after LIV#2 @ $10/pc
PO Price is @ $12/pc
Scenario assumption (local currencies)
3 partial GR for both POs (GR-based and Non GR-based IV)
PO price is $12/pc
GR#1 500
GR#2 800
GR#3 700
Price will be based on PO (assume GR cannot change price)
LIV#1 500 @ $14/pc (higher than $12/pc)
LIV#2 800 @ $10/pc (lower than $12/pc)
LIV#3 700 @ $13/pc (higher than $12/pc)
Stocks at point of LIV enough and variances are all posted back to stocks account
The main purpose of this demo is to show the basic principles of GR-based IV vs non GR-based IV steps and any impact/differences
in this BASIC scenario
Characteristic of GR-Based IV
note item 1 and 2 are completed and only the 3rd partial GR remains to be invoiced
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#3 700pc @ $13/pc
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#3 700pc @ $13/pc
Invoice#3
$13/pc for 800 pc
(PO price is $12/pc)
there is only one remaining partial GR item to be invoiced, user just change to amount to match the supplier invoice
Qty no change
Characteristic of
Non GR-Based IV is to present the separate partial GR into TOTAL
remaining to be invoices from all Partial GRs
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#3 700pc @ $13/pc
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#3 700pc @ $13/pc
Invoice#3
$13/pc for 700 pc
(PO price is $12/pc)
since the LIV is presented with TOTAL line for Non GR-Based IV PO, the user will have to change both Amount. Qty is the last to be invoiced, so it remains the same.
Since this is the last invoice, the Qty is remaining and last therefore the same,
PO# 4500017240
Vendor V2
Material MAT2000
Non GR-Based IV
LIV#3 700pc @ $13/pc
PO# 4500017239
Vendor V1
Material MAT1000
GR-Based IV
LIV#3 700pc @ $13/pc
Material MAT1000
(GR for GR-Based IV PO)
MAP $11.37/pc
Total Stock 3000
Total Value $34100
after LIV#3 @13/pc
Material MAT2000
(GR for Non GR-Based IV PO)
MAP $11.37/pc
Total Stock 3000
Total Value $34100
after LIV#3 @13/pc
after LIV#3
both same
MAP $11.37/pc
= $33400 + (($13-12) x 700)
-----------------------------------
3000 + 0
= $33400 + $700
---------------------------
3000
= $34100
----------
3000
= $11.37/pc
Both scenario GR-Based IV and Non GR-Based IV
resulting in same situation of MAP values after LIV#2 @ $13/pc
PO Price is @ $12/pc
In this simulation, we establish that for the scenario of
GR-Based IV and Non GR-Based IV
In Principle,
Variances Postings, MAP re-calculations due to Invoice Price differences are the SAME for both.
(with no other “variables” eg: different currencies, reversals, returns, return delivery, goods issue in this scenario)
The main purpose of GR-Based IV and Non GR-Based IV is
to present the Partial Goods Receipts remaining to be invoiced
in
Separate Line items (GR-Based IV)
or
Total Line items (Non GR-Based IV)