Refurbishment Process

This Business Scenario Map shows a comprehensive, cross-industry process that streamlines the refurbishing of serialized equipment by seamlessly integrating it with the maintenance cycle. The refurbishment solution links technical assets (equipment) to the material master and allows condition-based stock management. Any refurbishment activity has an impact on the stock value of the material (equipment).

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Value Potentials	Business Benefits
Up to 20% less time for overall replacement process*	Refurbishment integrates equipment in the material master
	Condition-based valuation in material master
Up to 30% time savings in refurbishing process*	Condition-based stock management including accurate stock value
	Easy-to-plan and easy-to-schedule refurbishment

Maintenance Engineer

Maintenance Planner

Senior Storeman

Make confirmations for order

Refurbish equipment

Receive equipment

Replace faulty equipment

Post to stock with new condition-based value

Complete refurbishment order

Create and release refurbishment order

Post to stock with condition-based value

Withdraw equipment

Store equipment

Source:
* Discussions with Customers

The value potentials shown in this table have been reported by selected SAP customers or independent third parties as referenced herein. However, there is no guarantee that such value potentials can be realized in any particular customer-specific business processes, and SAP does not make any representations and disclaims any liability as to the appropriateness of the referenced value potentials for any specific customer situation.
©SAP AG 2008

Business Benefits	Value Potentials
Prevention of unnecessary down-times due to high availability of operational equipment	Up to 20% reduced costs by streamlined stock management*
Streamlined refurbishment process
Easy stock monitoring	Up to 100% certainty that sufficient operational equipment is available on stock*


Refurbishment Process The refurbishment of equipment is seamlessly integrated with the maintenance cycle. Technical assets (serialized equipment) are linked to the material master and can be managed in condition-based stocks. Any refurbishment activity performed influences the overall stock value of the material (equipment). The refurbishment process includes maintenance planners, maintenance technicians and storage men to form a team in the maintenance of equipment. After a maintenance technician has determined and replaced a faulty equipment, the maintenance planner posts the defective item to stock. He can specify the decrease in value by setting a specific valuation type for the item. After several defective items have been posted, the maintenance planner creates and releases a refurbishment order for the given items. These will be withdrawn from stock and refurbished by the maintenance technician. After finishing the repairs, the technician can make the confirmations for the order. Subsequently, the maintenance planner completes the order by posting a goods receipt to stock using a higher valuation type. The stock value changes dynamically according to the condition of the items, with the price of a refurbished item covering all internal and external material and labor costs spent on refurbishing.