Logistics Execution
Bring Visibility to Vendor Returns

  • by Anton Karnaukhov, Senior IT Manager, Pacific Coast Companies, Inc.
  • June 1, 2005
As of SAP R/3 Release 4.5A, you can create a delivery document for a vendor return purchase order using the Logistics Execution (LE) module's shipping functionality. It allows businesses to consolidate all outbound delivery activity into delivery documents. This helps to standardize output documents and makes vendor returns visible to the Transportation module, which uses delivery notes as building blocks for shipment documents.
Key Concept
You can schedule the Logistics Execution shipping functionality to run in the background at periodic intervals. It allows businesses to standardize output documents (e.g., delivery notes, bills of lading), provide higher visibility to the outbound delivery activity in their R/3 environment, and prepare the return-to-vendor process for the possible implementation of the Transportation module and SAP APO TP/VS in the future.
With transportation costs running high, businesses often concentrate on bringing visibility to all inbound and outbound delivery activity. SAP already provides tools, such as SAP Advanced Planning and Optimization Transportation Planning/Vehicle Scheduling (SAP APO TP/VS), that allow complex optimization of shipment documents. However, for a business to optimize transportation operations, it is often necessary to ensure that all the required information is captured in R/3.

Anton Karnaukhov

Anton Karnaukhov is a senior IT manager at Pacific Coast Companies, Inc., in Sacramento, California. He earned an MBA degree at Heriot-Watt University and a BS/BA degree with a specialization in computer information systems at Western Carolina University. Anton has more than eight years of SAP implementation and development experience focusing on business intelligence and logistics modules in the manufacturing and resale industries.

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