SAP Online Training : Plant and Storage Location

December 8, 2009 by CRM
Filed under: Sale and Distribution 


The plant is a location where material stock (Inventory) is kept. In the SAP R/3 System, a plant can, for example, represent a production facility or simply a grouping of locations (storage locations) in physical proximity.

Plant and storage location are organizational units that can be used by all logistic areas of the SAP R/3 System.

Storage Location is an organizational unit allowing differentiation between the various stocks of a material in a plant. The storage location corresponds to the sublocation in the SAP Advance Planner and Optimizer (SAP APO)

Materials management (SAP MM) is primarily concerned with the material flow. From a materials management point of view, a plant is, above all, a location where material stock is kept.

• In production, a plant can represent a manufacturing facility.

• In sales and distribution (SAP SD), a plant represents the location from which materials and services are distributed and corresponds to a distribution center. The relevant stocks are kept here.

If you sell a service, a plant in SAP system can represent the location services are rendered from (that is, an office).

In SAP sales and distribution, the plant has a central function:

• You have to create at least one plant in order to be able to use the Sales and Distribution module.

• A plant must be uniquely assigned to a company code.

• The assignment between sales organizations and plants does not have to be unique.

• The plant is essential for determining the shipping point.

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    [...] location can be determined automatically by the SAP system when entering a delivery item if no storage location was specified in the corresponding item of the sale document. You can still change the [...]

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