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Define Shipping Point

Every item that you want to ship through SAP needs to be processed through a shipping point. We have explained in the previous step concepts of shipping point determination, and now we can actually set this up in the system. This is a customizing step which is done in customizing tree for Enterprise structure – Logistics execution. It allows you to create all of the shipping points you will use, as well as change or delete existing ones.
Shipping point is a highest unit in the organizational level in shipping functions. As we said in the previous lesson it is determined by a combination of shipping conditions, loading group and plant (and optionally storage location). One shipping point can be valid for more plants and a single shipping point can have multiple loading points. This means than you can load different materials from different loading points in the same shipping point which in most of the time is the case in practice. Items in a delivery must be from the same shipping point, so if you have items with different shipping points on a sales order, they will be split to more than one delivery by taking a shipping point as criteria for the split. Also if you want to group deliveries, they must be for the same shipping point or the grouping will fail.

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