Allocation Run

AFS O2C (Order to Cash) Scenario

We will see how Order to Cash scenario is handled in AFS. AFS works almost the same way as that of standard with an additional step of ‘Allocation’ wherein we do hard allocation of stocks to the sales order. Lets see the steps one by one

1 . Creating a Sales order

Prerequisites : Customer, Sales organization and all the basic organizational data is already created in the system

Step 1 : Execute transaction VA01 and enter the Order type : OR.  “Create Standard Order” screen is displayed.

Step 2 : Enter the Sold-to-Party, Ship-to-Party and then enter the AFS Material.  For an AFS Material, the quantiry should be entered at the grid level. Hence navigate to the grid entry screen and enter the quantity.


Step 3 : Enter all the remaining data which is required for making the sales order complete.

Step 4 : Save the document. Note down the sales order number.

2.  Checking the status in AFS MRP

Execute the transaction /AFS/MD04 and enter the material for which the sales order was created and the plant information.  The SKU information is displayed as Blocked requirements. Which means that that much quantity of the Material SKU is blocked for the particular Sales order.


Note : If there is stock in the system, the stock will be temporarily assigned to the Sales order and it will be shown in the tab “T – Temporary Assigned Stock

As currently there is no stock in the system, we will have to put some stock via MB1C or similar transaction.  Now if you run MRP, we can see that the stock is temporarily assigned to the sales order.


The status is T – Temporarily assigned Stock.

3. Allocating the Order

ARun (or Allocation Run) is a mandatory step in the O2C scenario in AFS. Allocation was introduced to make sure that the stocks are assigned to the orders depending on the changing fashion trends. Allocation make sure that the particular stock is assigned to an order and is not consumed by any other Sales Orders.

Execute transaction J3AT and choose the allocation type. Here , I am choosing 0001.  Now press enter.


Enter Plant and material in the ‘Material’ tab and in the ‘Sales’ tab, enter Sales order number. Give a future date in the Open to Delivery field.

Execute. Allocation Run reuslts will be displayed.


Save it and the allocation is succesfully carried out.

Now if you check the status of the order in AFS MRP, we can see that the order is changed to F – Fixed Assignment. Which means that the stock is fixed to the Order.



4. Creating Outbound Delivery

Execute transaction VL01N and enter the shipping point and the Sales order number.  In the case of AFS materials, delivery can be created only after Allocation Run has happened.

The delivery is created from the items of the sales order, with the grid entries created as batch split items in the delivery. Picking can be carried out here and also PGI can be done.

5. Checking the Document Flow

All the documents which are created as part of the order to cash scenario are linked as in standard and it can be displayed via Document flow in the Sales order or Delivery document.

VA02 -> (Sales Order number) -> Menu item -> Environment -> Display Document Flow.
All the documents will be displayed.


In short, the Order-to-cash cycle is

  1. Create Sales order (VA01)
  2. If there is no stock, go Goods Receipt (MB1C)
  3. MRP Run and see the status (/AFS/MD04)
  4. Execute Allocation Run (J3AT)
  5. Outbound delivery ( VL01N)
  6. Post goods Issue. ( VL02N)
  7. Billing (VF01)
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