Phys. inventory number Physical Inventory Number The physical inventory number was created as an additional hierarchy above the physical inventory document number. You can use it to group together different physical inventory documents that belong together organizationally. You assign physical inventory numbers when creating and changing physical inventory documents. They can then be used in physical inventory reports as an additional selection criterion. This enables you to directly display the physical inventory documents per storage location, customer, or vendor. © SAP AG TSCM52 11-10 \uf8e9 SAP AG 2002 Freeze book inventory balance Set zero count automatically Tolerance for posting inventory differences Entering the Physical Inventory Count - If you have not finished entering the complete physical inventory count, you can freeze the book inventory balance in the physical inventory document. This prevents goods movements from changing the book inventory balance relevant to the physical inventory count, which would result in incorrect inventory differences. You define in Customizing for Inventory Management whether you can freeze book inventory balances in the storage location. - When entering a physical inventory count with reference to a physical inventory document that contains many items with a quantity of zero, you can set zero count automatically for all items that have not yet been counted. - In Customizing for Inventory Management, you can define the following value tolerances for posting inventory differences for a user group: - Maximum amount per physical inventory document - Maximum amount per document item. © SAP AG TSCM52 11-11 \uf8e9 SAP AG 2002 Determination of posting period Posting block from toX Goods movements are re-allowed A (*) Effects of Entering the Count Results (*)Differences are to be posted in this posting period. © SAP AG TSCM52 11-12 \uf8e9 SAP AG 2002 Mat. master record Mat. master record Material A Standard price 10 Total stock 100 Total value 1000 Moving average price 10 Total stock 100 Total value 1000 Material A 80 Material B 110 Stock account for material 200 - Expense from physical inventory 200 + Stock account for material 100 - Revenue from physical inventory 100 - Posted inventory count Post inventory differences Mat. master record Mat. master record Material BMaterial A Material B Standard price 10 Total stock 80 Total value 800 Moving average price 10 Total stock 110 Total value 1100 Example: Inventory Difference in Own Stock When you post inventory differences, the material master record is changed; the total stock is automatically adjusted to the counted quantity. In the accounting view, this corresponds to a goods receipt or goods issue, in other words, the stock account is credited or debited as a result of the inventory difference posting: - If the counted quantity is less than the book inventory balance, the stock account is debited for the value from the inventory difference* price. The offsetting entry is made to the "Income from physical inventory" account. - If the counted quantity is greater than the book inventory balance, the stock account is debited for the value from the inventory difference* price. The offsetting entry is made to the "Income from physical inventory" account. The amount posted is calculated on the basis of the current standard or moving average price, and so posting inventory differences does not result in a price change. © SAP AG TSCM52 11-13 \uf8e9 SAP AG 2002 Create physicalCreate physical inventoryinventory doc doc..11 Blocking indicatorBlocking indicator 22 Print physical inv. document 3 Enter physicalEnter physical inventory countinventory count 44 List of differences 5 PostPost differencesdifferences 66 5b Initiate recount 5a Change count Batch input Batch input Physical Inventory Process - If you want to create a physical inventory document for many materials, you can do so automatically, according to your requirements. The process consists of two steps: -Creating a session with the required data -"Processing" the session, the system now carries out the required functions. - In physical inventory, you can work with sessions for the following functions: -Creating a physical inventory document -Blocking a material -Entering the count* -Freezing the book inventory balance -Setting the zero count automatically -Posting differences -Posting the count/differences* -Posting documents/count/differences* Functions marked with an asterisk (*) cannot be carried out using SAP R/3 alone, as the system does not know the count results. These functions are used for adopting physical inventory data into SAP R/3 if you carried out the count with a different system. © SAP AG TSCM52 11-14 \uf8e9 SAP AG 2002 z In a periodic physical inventory, all the company's stocks are physically counted on the balance sheet key date. Every material has to be counted. During counting, the entire warehouse must be blocked for material movements. z In the continuous inventory procedure, stocks are counted continuously throughout the entire fiscal year. In this case, it is important to ensure that every material is physically counted at least once during the fiscal year. Physical Inventory Management: Summary © SAP AG TSCM52 11-15 Physical Inventory Management: Exercises Unit: Physical Inventory Management Topic: Physical Inventory Management \u2022 Explanation of the physical inventory process \u2022 Posting physical inventory documents \u2022 Configuration and various settings for the physical inventory \u2022 The physical inventory number and using it to group physical inventories \u2022 Standard reports for the physical inventory Your company carries out physical inventories periodically. You have to check the stock quantity in the plant. You sometimes use various stock types to manage a material, for example, blocked stock, stock in quality inspection, or unrestricted-use stock. You carry out the physical inventory manually or using the batch function. If it is an unlikely count result, you may carry out a recount. 1-1 Physical Inventory 1-1-1 Create a physical inventory document for plant 1000, storage location 0001. The count is supposed to take place in two days, so you do not have to set the posting block. Assign physical inventory number G## for your group to the physical inventory document. The following materials and stock types should be counted. Material Stock Type T-AM1## Unrestricted-use T-AM1## Quality inspection T-AM1## Blocked stock Number of phys. inventory doc. ____________________________ 1-1-2 Enter the physical inventory count for the document. Enter a variance of 5% on the initial screen and use the values in the table for the items in your document. Remember to set the zero count indicator. Material Count T-AM1## Unrestr.-use 110 T-AM1## Quality insp. 48 T-AM1## Blocked 0 © SAP AG TSCM52 11-16 1-1-3 Display the physical inventory document. Call up the history and statistics for the first material in the document and answer the questions below. Who entered the count? ____________________________ What is the physical inventory status?