Changing Vendor on Purchase Order
A D V E R T I S E M E N T
One PO can not have different vendors. Its logical as one PO goes to one
vendor with address.
You cannot change the Vendor once you have saved the Purchase Order. SAP
treats the Purchase Order as a legal document. Therefore, once the Purchase
Order is saved, it will not let you change the vendor.
You have to delete all the line items and then create another Purchase
Order. However, if you are using Enjoy Purchase Order, you can "Hold" the
Purchase Order rather than save it after you have create it, then you can change
Of course, this means that you don't have any output yet. Therefore, you are
not bounds by a legal document as you have not given it to a specific supplier
Logically, you cannot change an important field after creating a document.
It defeats the RDBMS principle, but you can change vendor while doing Invoice
No, you cannot change vendor in released PO, because vendor registration
carries some vital configuration information which decides pricing procedure for
the items of the PO, logically due to this reasons system doen't allow to change
vendor name once PO is released.
Normal practise to come out for this routine problem in purchasing is solved
by, simply delete this PO (By changing delivery as completed in PO) and make a
new PO for these items.
Eventually, you have only two options:
1. You can do the entire transaction with that wrong vendor number and after
MIRO you can transfer post the vendor liability to correct vendor through FI
route. BUT THIS IS A WRONG PRACTICE.
2. You need to cancel the PO which has wrong vendor number and create it
again with correct vendor code.
One Time Vendors
One time vendors can only be used for specific vendor account groups. Their
is a flag for each account group in configuation for this. If one does not exist
you will have to create a new vendor account group.
To create a One Time Vendor use XK01 and select the OTV account group.
When creating say a PO use your OTV account the transaction will prompt you
for name, address etc (unlike a normal vendor).
You experienced a problem with OTV's whereby users couldn't be bothered to
create permanent vendors and just used the OTV account, so beware of that
Sub Contracting Cycle
(1) You have a material that can be procured externally, and you have
maintained BOM with components. Any waste generated and received during
subcontracting process can be maintained as component with negative quantity.
(2) You create a subcontracting PO (PO with Item Category L). You can also
maintain Purchase Info Record for Subcontract category for material and
(3) You make a transfer posting to issue components for SC PO. Material is
sent to subcontractor. As material remains under your ownership, system does
not make any value entry. But quantity is shown as "Material Provided to
(4) You receive finished material against SC-PO. You also specify components
consumed in manufacturing of finished goods. Additionally, if you have negative
components in BOM, now you'll also receive subcontracting by-products. There are
three events, so three accounting entries are generated:
DR FG Stock/ SC By-Product Stock
CR Change in Stock (FG/ SC By-Product )
(for finished goods received)
DR Subcontracting Charges
CR GR/IR Clg
(for moneys payable to Subcontractor)
DR Consumption (Components)
CR Change in Stock (FG/ SC By-Product )
(material provided to Vendor is now charged to expense)
(5) You do the IV for SC Invoice, and the process is complete.
Subcontracting - Key Points
Special Procurement Process.
Item category: L
Order type: NB
In info record vendor should be maintained as subcontractor.
Vendor (Subcontractor) receives the components used to manufacture a finished
product directly from your company or through third party.
Your company should place a purchase order for the finished product. In
this manually you can enter the required individual components or it can be
determined via the explosion of BOM (if exists).
Stock check at vendor level: ME2O
Company stock check: MMBE
GR for individual components through movement type: 501 or 561 (if with out
PO or without reference).
GI to subcontracting vendor: through movement type 541.
GR from sub contracting vendor: through movement type: 101
Movement type 543 is displayed to cancel the material cost account.
If the subcontracting order has to be generated through materials
planning,the special procurement key has to be set in MRP 2 screen.
Procedure for Setting Partner Functions
The procedure for setting partner functions:
Vendor Account Group
IMG->LOGISTICS GENERAL->BUSINESS PARTNER->VENDOR->CONTROL ->DEFINE
ACCOUNT GROUPS AND FIELD SELECTION
Defining Partner Schemas
IMG->MATERIALS MANAGEMENT->PURCHASING->PARTNER -> DETERMINATION -
>PARNER SETTINGS IN VENDOR MASTER RECORD
->DEFINE PARTNER SCHEMAS
Assign Partner Schema
IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER DETERMINATION->PARTNER
SETTINGS IN VENDOR MASTER RECORD->DEFINE PARTNER SCHEMA
« THEN ASSIGN PARTNER SCHEMA
Define Permissible Partner Role Per Account Group
IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER DETERMINATION -
>PARTNER ROLES ->DEFINE PERMISSION PARTNER ROLES
If you want a partner schema for your own document type then define your
partner schema and assign to document type using the below mentioned path.
IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER ->DETERMINATION -
>PARTNER SETTINGS IN PURCHASING DOCUMENTS ->DEFINE PERMISSION
ASSIGN PARTNER SCHEMAS TO DOCUMENT TYPE
Once you have this configuration then you change your vendor in easy access
menu (XK02-select partner function) define the partner roles
What is Vendor Consignment?
Consignment is a functionality in MM-PUR wherein you purchase materials from
the vendor on a consignment-basis. When the delivery comes, the materials,
though will be stored in your warehouse, are still legally owned by the vendor
until they are consumed, i.e. GI posting (this is the only time you will be
liable to the vendor).
You just have to make sure, you set up the following to run this function
1. Maintain account determination
KNO G/L acct: GR/IR Clearing
AKO G/L acct: Inventory account
2. Check field status compatibility at G/L account, posting keys in the
IMG or run SE38/RM07CUFA to display fields compatibilities.
3. Set up output condition type KONS.
4. On the material master record, set special procurement indicator to 10
(consignment) at MRP2 view.
5. Create Info record for the consigned material and vendor-consignor. Be
sure the info category is Consignment.