Consignment cycle

Create Material in MM01 Create Vendor in XK01 Create consignment Info Record with the above material and vendor combination.(enter tax code) Create Purchase Order ( with item category k) Goods Receipt with movement type 101K Stock transfer to Own Stock with movement type 411 k Goods Issue to direct consumption with movement type 201K Consignment settlement through--MRKO

Consignment is 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).

Prerequisites:

1. Maintain account determination for KNO & AKO.

T-code: OBYC IMG menu path: IMG-> Materials Management-> Valuation & account assignment-> Account determination-> Account determination without wizard-> Configure automatic postings.