Batch Recall

1. Batch Recall SAP Best Practices

2. Purpose, Benefits, and Key Process Steps • Purpose • A defect batch is identified and must be recalled from customers and prospects who have received the batch. • Benefits • Integrated follow-up process to the former delivered batch • return stock managed separately from the rest of your stock • Key Process Steps • Creation of direct mailing to customer • Preparing follow-up process for the return of the batch • Receiving of returned batch into return stock • Decision of further usage of the returned stock • Creation of credit memo for customer

3. Required SAP Applications and Company Roles • Required SAP Applications • Enhancement package 5 for SAP ERP 6.0 • Company Roles • Sales Administrator • Warehouse Clerk • Accounts Receivable Manager • Billing Administrator • IT Administrator (Professional User)

4. Detailed Process Description • Batch Recall • A program is executed to identify all customers who received a defect batch. The user then chooses the addresses of the appropriate contact persons, and the system prints a standard letter to each customer to inform them of the recall. The subsequent activities for each customer are stored in the system. Return deliveries are also entered and documented, if necessary. • To ensure that you contact all customers affected by a defect batch, you must identify if subsequent batches are affected by the defect batch. For this purpose, you can use the standard system function “batch where-used list” that is described in detail in the standard SAP ERP documentation. This scenario recalls a batch from a finished product or wholesale product. Therefore you can simply find all customers who received these products. However, a vendor could report that a raw, semi-finished, trading, or other material used in your production, does not meet quality standards. In this case, you must determine which finished or trading materials were produced with these defect batches.

5. Process Flow Diagram Batch Recall Event Sales Order Processing: Sale from Stock (109) Defect Batch Must Be Recalled Accounts Receivable (157) Sales: Period End Closing Operations (203) Customer Customer Letters Customer Returns Material Sales Administrator and IT-Administrator Invoice Financial Accounting Profitability Analysis Direct Mailing – Creating Basic Data Generate Follow-up Sales Activities Return Order Credit Memo Process Follow-up Sales Activities for Each Customer Address List of Customers Who Received Batch Create Return Order Billing Administ-rator Release Billing Documents for Accounting Release Credit Memo to Billing Billing Warehouse Clerk/Accounts Receivable Manager Return Delivery Assign Batches Assign Serial Numbers Post Goods Receipt (Optional) Return to Vendor (136) (Optional) Rework Processing (Stock-Manuf. Material)(151) (Optional) Stock Usage Blocking and Scrapping (131)

6. Diagram Connection Legend <Function> Hardcopy / Document External to SAP Financial Actuals Business Activity / Event Budget Planning Unit Process Manual Process Process Reference Existing Version / Data Sub-Process Reference Process Decision System Pass/Fail Decision