Picking, Packing, and Goods Issue in SAP SD

In SAP SD (Sales and Distribution), Picking, Packing, and Goods Issue are essential steps in the order fulfillment process. These processes ensure that goods are accurately prepared, packed, and shipped to customers. This tutorial will provide a detailed, step-by-step guide on how to perform picking, packing, and goods issue in SAP SD, using real-world examples to demonstrate each step.

What is Picking, Packing, and Goods Issue?

Here is an overview of each process:

  • Picking: The process of selecting the required quantity of goods from the warehouse based on the sales order or delivery document.
  • Packing: Once the items are picked, they are packed into boxes or other containers based on the delivery requirements and customer specifications.
  • Goods Issue: The final step where the goods are physically shipped, and the stock levels are updated in the SAP system. The goods issue process also posts the reduction in inventory and triggers any related accounting transactions.

Steps to Perform Picking, Packing, and Goods Issue in SAP SD

Step 1: Access the Delivery Document

To begin the picking, packing, and goods issue process, first, you need to create or access the delivery document. This document is generated after a sales order has been processed.

  1. Transaction Code: Use transaction code VL01N to create a delivery document from a sales order.
  2. Sales Order Number: Enter the sales order number (e.g., "SO1001") to retrieve the related delivery document.
  3. Shipping Point: Select the shipping point (e.g., "10" for the main warehouse).
  4. Delivery Date: Enter the delivery date (e.g., "2024-12-25").
  5. Click "Enter" to proceed to the delivery creation screen.

Step 2: Picking Process

Once the delivery document has been created, the next step is to pick the goods from inventory.

  1. Access Picking Screen: From the delivery document, click on the "Picking" button to begin the picking process.
  2. Pick Items: The system will display a list of items to be picked. Verify the items and the quantities listed in the delivery document.
  3. Assign Pick Locations: You can assign pick locations for each item, depending on where they are stored in the warehouse. SAP will determine the appropriate warehouse location for each item.
  4. Confirm Quantity Picked: Enter the quantity picked for each item. If the full quantity is picked, the system will automatically update the quantity picked. You can adjust this quantity if only part of the order is ready for shipment.
  5. Post Picking: Once the items are picked, click the "Post" button to record the picking process in the system.

Step 3: Packing Process

After picking the items, the next step is to pack the goods for shipping.

  1. Access Packing Screen: In the delivery document, click on the "Packing" button to start the packing process.
  2. Pack Items: The system will show the list of items that have been picked and are ready for packing. You can create packaging units, such as boxes or pallets, and assign items to each unit.
  3. Enter Packaging Information: For each packaging unit, specify the type of packaging (e.g., box, crate) and the quantity of items per unit. If needed, you can also specify the weight of the packaging unit.
  4. Confirm Packing: Once the packing is complete, confirm the packing in the system by clicking the "Post" button. This will update the packing status in the delivery document.

Step 4: Goods Issue Process

The final step in the order fulfillment process is posting the goods issue, which confirms that the goods have been shipped and updates the inventory and financial records.

  1. Access Goods Issue Screen: After packing, access the "Post Goods Issue" screen from the delivery document.
  2. Check Delivery Information: Verify that all details, including shipping point, delivery date, and customer address, are correct. Ensure that the goods have been packed and are ready for shipment.
  3. Post Goods Issue: Click the "Post Goods Issue" button to confirm that the goods have been shipped. This will update the inventory, reduce stock levels, and trigger accounting entries for the shipment.
  4. Goods Movement Document: After posting the goods issue, the system will generate a goods movement document that records the reduction in inventory. This document will have a unique number (e.g., "GM1001") that can be used for tracking the goods movement.
  5. Delivery Completed: Once the goods issue is posted, the delivery document is considered complete, and the shipment process is finalized.

Step 5: Printing Delivery Notes

After the goods issue has been posted, a delivery note can be printed for the shipment. The delivery note serves as proof that the goods were shipped to the customer.

  1. Print Delivery Note: From the delivery document, click the "Print" button to generate the delivery note.
  2. Choose Output Type: The system will allow you to choose an output type, such as "DELNOTE" for delivery notes.
  3. Send Delivery Note: After printing the delivery note, you can send it to the customer along with the shipped goods, either as a hard copy or electronically (via email or fax).

Real-World Example of Picking, Packing, and Goods Issue

Let’s consider a real-world scenario where a customer places an order for 10 laptops. The following steps demonstrate the picking, packing, and goods issue process in action:

  • Sales Order Creation: The customer places an order for 10 laptops. A sales order (SO1001) is created in SAP.
  • Delivery Document: A delivery document is generated for SO1001 using transaction code VL01N. The items (laptops) are listed in the delivery document, and the shipping point is set to "10" (Main Warehouse).
  • Picking: The warehouse team uses the "Picking" functionality to select 10 laptops from the inventory. The quantity picked is confirmed, and the picking process is posted.
  • Packing: The laptops are packed into two boxes, each containing 5 laptops. The packing information is entered into the system, and the packing process is posted.
  • Goods Issue: The goods issue is posted, reducing the inventory by 10 laptops. The goods movement document (GM1001) is generated, and the shipment is confirmed.
  • Delivery Note: The delivery note is printed and included with the shipment, confirming that 10 laptops have been shipped to the customer.

Conclusion

The Picking, Packing, and Goods Issue processes in SAP SD are essential for managing the logistics and fulfillment of sales orders. By following the steps outlined in this tutorial, businesses can efficiently prepare goods for shipment, update inventory records, and ensure smooth delivery to customers. These processes help maintain accurate stock levels, improve order accuracy, and enhance customer satisfaction.




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