Answer: Latest GR date field in Purchase Order item is useful to control the late Goods Receipts. Based on business requirement, this can be used to provide as information to the user who performs Goods Receipt or else to stop GR which happens after the Latest GR date of PO. Generally, business uses this field for information purpose but not to stop GR.

Business can use this field as information or as control to stop GR for the Purchase Orders.

Ex: Delivery date of a PO item is 03.03.2019 and the Latest GR date is maintained as 12.03.2019. And make the message M7163 as E (Error) so system won’t allow any Goods Receipt after 12.03.2019. Similar approach can be used to prompt as information by keeping message M7163 as W (Warning)

Below is the explanation from SAP about the field Latest GR date. I have provided the screenshot from Purchase Order for your reference

Latest Possible Goods Receipt

This is the latest acceptable date for goods receipt (GR).

If goods are received after this date, you will receive either a warning message or an error message, depending on the system setting.
If you receive an error message, you will not be able to post the GR.

Below screenshot shows the Warning message which will be prompted by the system during Goods Receipt

I hope this document is useful for you. Provide your valuable feedback.

Thanks and Best Regards,

Ganesh Padala