Subsidiary as Production Unit and Internal Supplier to Headquarters (21T)

Subsidiary as Production Unit and Internal Supplier to Headquarters (21T)

This scope item runs a Make-to-Order scenario at a subsidiary. A sales order is automatically uploaded to the subsidiary system when a purchase order is created in the headquarters system. The receipt of the sales order is electronically confirmed back to headquarters. After the ordered goods are produced by the manufacturing subsidiary, the delivery process happens. The process includes the electronic sending of an advance shipping notification to the headquarters. Afterwards, the billing process runs at the subsidiary, and an electronic invoice is sent to the headquarters.

Key Process Steps Covered

  • Create sales orders from external source, such as headquarters, and send order confirmation
  • Plan production at subsidiary for finished goods ordered by headquarters
  • Execute production of ordered goods
  • Process deliveries including picking, goods issue, and sending advanced shipping notifications
  • Process billing documents including sending electronic invoices to headquarters

Benefits

  • Align sales data for production at subsidiary with procurement application at headquarters
  • Resolve manual errors, integration failures, and inconsistent data between headquarters and subsidiary
  • Plan production with a make-to-order scenario at subsidiary
  • Execute production specific to headquarters needs
  • Electronic notification of headquarters by subsidiary about delivery and billing of ordered goods

Where is Subsidiary as Production Unit and Internal Supplier to Headquarters(21T) being used?

This Scope item is used in the following way:

  • As a core function of Production Operations within Manufacturing Scope Item Group

Process flow of Subsidiary as Production Unit and Internal Supplier to Headquarters (21T)

Find below the process flow of the scope item Subsidiary as Production Unit and Internal Supplier to Headquarters as it is defined for release s4hc-2111.


Download Process Flow of Best Practice scenario Subsidiary as Production Unit and Internal Supplier to Headquarters (21T) - S/4HANA Cloud
Ref: Manufacturing of SAP S4HC-2111
Best Practices related to S/4HANA*1) Yearly Updates are released per September of each year
*2) The Quarterly updates are released per Februari, May, August and November
Details of future releases can be found in the SAP Roadmap section of each product. Go to SAP Roadmap Product Finder.
Knowledge Center Scheer Nederland | The Process Experts Visit also the SAP Cloud ERP knowledge center of Scheer Netherlands. The following topics are covered:
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