You can use this process to handle the purchasing of used vehicles. Used-vehicle purchasing consists of two main scenarios:

• The (re-)purchase of rental cars, company cars, and leasing cars by the OEM, National Sales Company (NSC), or the dealer, or free purchasing of used vehicles by dealers (independent of new vehicle sales)
• The purchase of used vehicles: for profitability reasons, a dealer may want to buy a customer's old vehicle as part payment for a new vehicle bought at the dealership

Prerequisites

• You have assigned users to a VMS role.
• You have created a vehicle model.
• You have followed the steps listed in the VSS Configuration Guide.
• To enable the use of notifications for damage recording in the used-vehicle scenario, you made the appropriate standard settings in Customizing for Cross-Application Components under Notification.
• You have checked the settings in Customizing for Logistics Execution under Vehicle Management System > Control Data.

Process

1. Either the vehicle already exists in the system as it was sold in the past, or you create a new vehicle in the system and identify it as a used vehicle (action QCRE (Create Vehicle with Internal Order (VSS)), business transaction type USC (Used Vehicle). You maintain the vehicle configuration data. The internal order for the vehicle controls all following internal costs, for example refurbishments or revaluation.
2. You valuate the vehicle and determine the price of the used vehicle (action QMOD (Change Vehicle (VSS))). The actual determination is performed externally; in VSS you note the results returned from the external source. You can do this in the vehicle master under Vehicle Prices.
3. If no vendor record exists yet, you create one. This means that you create a vendor master for the customer from whom you shall purchase the used vehicle. This is necessary in order to represent the associated purchasing processes and their documents in the system.
4. You record any vehicle reductions. There may be reductions to the price of the vehicle due to:
   • Missing handover articles, such as a service booklet or vehicle keys (action QMOD (Change Vehicle (VSS))). The system stores information on missing handover articles in the vehicle master and then copies it to the purchase order. For further information, see Example: Handling of Missing Handover Articles.
   • Damages to the vehicle (action QNTF (Create Notification)). The system executes this action when you choose Notification in the vehicle master and then select notification type D3 (Vehicle Damage Report). The system stores information on damages in a notification and then copies it to the purchase order. If you have entered a short text for the notification item, the system also copies this text to the PO. For further information, see Example: Handling of Damages.
5. If the purchase of the used vehicle is part payment for a new vehicle, you link the entries you have made to the new vehicle (action QCHN (Create Vehicle Chain). When this action is executed, the dealer costs incurred by the used vehicle are added to the cost of the new vehicle sale. For further information, see: Example: Pricing in Used-Vehicle Purchasing.
6. If you created a used vehicle in step 1, you create a purchase order for the used vehicle (action QORD (Create Purchase Order (VSS))). If the vehicle already existed, you execute action QRPU (Repurchase Used Vehicle). This action contains actions QTIP (Prepare Repurchase)), QIOG (Group Internal Order) and QORD (Create Purchase Order (VSS)).
7. You create a goods receipt for the used vehicle (action QGOR (Create Goods Receipt (VSS))) and post it. When the vehicle arrives at the dealer's location, it can be inspected and checked for missing handover articles or damage again. This data is then recorded (by updating the missing handover articles in the vehicle master and/or by either updating the damages in the notification or creating a new notification of type D3) and the purchase order is updated accordingly (action QMOD (Change Vehicle (VSS))).
8. You create an incoming invoice (action QINV (Create Incoming Invoice (VSS)). The PO status changes to Invoiced.

Result

You can now calculate the gross profit margin incurred by the purchase of the used vehicle by calling Gross Profit Analysis (transaction /DBE/VM_GPA) and entering the appropriate criteria in the selection screen of the report.