SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document

Business Blueprint
Sales and Distribution

Particulars

Name

Signature

Date

Prepared By
Reviewed By

Approved By

Sign Off By

Document change control:

V.No.

Changed by

Changed
date

Description of change

Designation

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document

DOCUMENT INDEX
Process
Number

Process Description

Sub
Process
Number

Sub Process Description

SD 1.0

Enterprise Structure

SD 1.1

Sales organization

SD 1.2

Distribution channel

SD 1.3

Division

SD 1.4

Sales Office

SD 1.5

Sales Group

SD 1.6

Sales Area

SD 1.7

Shipping Point

SD 2.0

Master Data
SD 2.1

SD 3.0

SD 4.0

SD 5.0

Global Process
Reference

Customer Master

GP 1.0, GP 2.0

SD 2.2

Material Master

SD 2.3

Customer
information

SD 2.4

Conditions

SD 2.5

Output

SD 2.6

Routes / Stages

SD 2.7

Variant Configuration ( VC)

SD 3.1

Customer
Processing

SD 3.2

Quotation Processing

SD 3.3

Contract Processing

Material
GP 1.0

Pre-Sales Handling

Sale
Of
Products

Sale

Of

Inquiry

GP 1.0
GP 1.0

Finish

Raw

GP 1.0

SD 4.1

Sale of Finish Products of

Ispat Karmet

SD 4.2

Sale of Finish Products of

Ispat Sidex

SD 4.3

Sale of Finish Products of

Ispat Annabba

SD 4.4

Sale of Finished Products

of Ispat Indo

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
Process
Number

Process Description

Sub
Process
Number

Sub Process Description

GP 2.0

Materials

SD 6.0

Global Process
Reference

SD 5.1

Sale of Raw materials to

Ispat Sidex by external
procurement:

SD 5.2

Sale of Raw materials to

PT Ispat Indo from external
procurement

SD 5.3

Sale of Raw materials to

Ispat Sidex from Ispat
Karmet

Complaints
Processing

GP 1.0
SD 6.1

Complaints

SD 6.2

Returns Process

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
Process Number: SD 1.0
TITLE: Enterprise Organisation Structure

I)
II)
III)
IV)
V)
VI)
VII)
VIII)
IX)
X)
XI)

Business Process Overview

Customer Expectation ( Filled by ABC BPO)
SAP System Functions (Process Flow )
Transactions / Programs / Reports / User Exits
Description of Functional Deficits
Approaches to address Functional Deficits
Interfaces
Authorisations
SAP Configuration
Reporting Requirements
Supplementary Information

3
3
3
3
3
3
3
3
3
3
3

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document

I) Business Process Overview

SD 1.1 Sales organization
ABC Marketing, (ABCMF), sells steel products of steel mills under ABC Holding N.V
through its sales offices to different regions in the world. ABC Marketing, , sells raw
materials such as iron-ore and coal to steel mills under ABC Holdings, N.V.
Functionally, ABCMF is responsible for:
A. Marketing, through Product Managers who take decision on pricing, business
planning and profitability of sales of steel materials in various sales regions.
B. Sales, viz., Outside sales through Sales Managers and Technical Service Managers
based at various locations and responsible to book orders and manage customer
relationships. Inside Sales through Sales-coordinators, who interface with Customers
and respective mills
C. Planning, through Planning Managers responsible to monitor the load on aggregates
in respective Mills, and
D. Finance responsible for financial and raw material operations.
E. Planning logistics.
Geographically, ABC MF is responsible for sale of steel products of steel mills of Ispat
Sidex and Ispat Annaba under ABC Holdings N.V. to China, Asia, Iran, M.East and Turkey
D ir e c t o r ( S a le s )
P ro d u c t M a n a g e rs

C o u n try M a n a g e rs

P l a n n in g M a n a g e r

G e n e r a l M a n a g e r ( F in a n c e )

M A R K E T IN G

S a le s & T S M a n a g e r s

M ill L o a d P la n n in g

F I N A N C I A L & R M O p e r a t io n s

S a le s C o o r d in a t o r s
SALES

ABCMF Organization Chart

SD 1.2 Distribution channel
ABC Marketing sells either directly or through intermediaries. Viz, traders and stockists
via different groups:Basically, the customer groups in the present scenario are:
1. International Trader.
2. Domestic Trader.
3. Financial Trader.

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
4. Stockist.
5. Direct End user.
6. Commission Agent
SD 1.3 Division
Divisions are based on product groupings namely, Slabs, Billets, Hot Rolled, Cold Rolled,
Tin Plate, Galvanized Products, Hot Rolled Plates, Pipes and Raw Material, PPGI, Prepainted, Miscellaneous
SD 1.4 Sales office
1.4.1 Following is sales office Org. structure
(I)

Sales offices under ABC Marketing, .

For CHINA, the sales offices are located in:

1. URUMQI
2. BEIJING
3. GUANGZHOU
4. CHENGDU
For the South East Asia region, the sales office is located in SINGAPORE.
For IRAN, the sales office is located in TEHERAN.
For TURKEY, the sales office is located in ISTANBUL.
For the Eastern Europe region, the sales office is located in VIENNA.
For the US region, the sales office is located in CHICAGO.
For Canada, the sales office is located in MONTREAL.
For the Middle East, Africa, Latin America & Central America regions, the sales is from
office located in Dubai, Jebel Ali , and UAE.
(II)

Sales offices not under ABC Marketing, .

For RUSSIA / CIS regions, the sales offices are located in MOSCOW and Timertau.
For EU region, the sales office is located in VIENNA, and
For Romania, the sales office is located in Galati.
.SD 1.5 Sales Group
Sales Managers in respective Sales Offices are responsible for sales of all steel products
in their regions on the basis of business / Monthly Recent forecast / plan by ABC MF.
SD 1.6 Sales Area
Not applicable.

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document

SD 1.7 Shipping Point:

Not applicable.
II)

Customer Expectation (Filled by ABC BPO)

None.
III)
SAP System Functions (Process Flow)
SD 1.1 Sales organization
To facilitate sales transactions in SAP, it is mandatory to define following sales organizational
units for present business scenario. Each selling transaction is processed within a sales
organization. Subsequently new sales organization can be added by customizing transactions
given in section IX) SAP Configuration.

Sales Organization

Description

1000

ABC Marketing

1100
1200
1300
1400
1500
1600
1700
3000
4000
5000

Alkarom Metals Inc

Eastern Steel Ltd.
Montage International Corp
Pacific Atlantic Steel Corporation
Expert Placement Services Ltd.
Global Inter Trader Holdings Ltd.
Sanguine International Ltd.
Ispat Karmet Trading
Glacier Trade Center
ABC Global IT Services

Each sales organization is assigned to only one company code.

SD 1.2 Distribution channel
01 EXTERNAL = Sale transaction that leads to Sales to Customers in various
regions.
02 INTERNAL = Sale transaction that leads to Sales to Group Companies.
SD 1.3 Division
Main product categories are represented as Division. Following Divisions are
required to define in system.
Division in SAP
11

Description
RAW MATERIAL

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
22
33
44
55
66
67
68
77
88
90
99

BILLETS
SLABS
HOT ROLLED
COLD ROLLED
BLACK PLATE
HOT ROLLED PLATES
TINPLATE
GALVANISED
PRE PAINTED
PIPES
MISCELLENEOUS

SD 1.4 Sales office

From ABC marketing perspective, Sales Regions are configured as Sales Offices in SAP.
SAP sales office entity represents REGION of ABC marketing:-

Sales Office in SAP

Description

5000

CHINA

5001

South East ASIA

5002

SOUTH ASIA

5003

IRAN

5004

M EAST

5005

TURKEY

5006

AFRICA

5007

Eastern EUROPE

5008

LATIN & CENTRAL AMERICA

5009

NORTH AMERICA

New sales offices can be defined in system if required.

SD 1.5 Sales Group
All the physical sales offices that are located in various regions are configured as Sales
Groups.
Following table shows various Sales offices and sales groups to be defined in system

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document

Sales Groups in AP
500
501
502
503
504
505
506
507
508
509

Description
DUBAI
URUMQI
BEIJING
CHENGDU
GUANGZHOU
SINGAPORE
TEHRAN
VIENNA
MONTREAL
CHICAGO

Sales Groups can be created in SAP if ABC sales offices are increased or expansion take
place.
SD 1.6 Sales Area
Sales area is a combination of Sales organization - Distribution channel - Division. Following
sales area combinations are defined.
Sales organization
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing
ABC Marketing

Distribution channel
External
External
External
External
External
External
External
External
External
External
External
External

Division
BILLETS
SLABS
HOT ROLLED
COLD ROLLED
BLACK PLATE
HOT ROLLED PLATES
TINPLATE
GALVANISED
PRE PAINTED
PIPES
MISCELLENEOUS
RAW MATERIAL

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
ABC Marketing
ABC Marketing

Internal
Internal

RAW MATERIAL
MISCELLENEOUS

Table SALES AREA

As explained in above table SALES AREA is only for ABC MF. Similar sales area will be created
for all sales organizations defined in section III. SD 1.1 Sales organization.
.
Following diagram shows sales area combination
in ABC MF. Similar Sales area combinations
can be formed for other sales organizations (other company codes).

ABC Marketing

External

Internal

HOT ROLLED

COLD ROLLED

RAW MATERIAL

MISCELLENEOUS

GALVANISED

TINPLATE

HOT ROLLED PLATES

PIPES

BLACK PLATE

SLABS

BILLETS

MISCELLENEOUS
PRE PAINTED

SD 1.7 Shipping Point:

Shipping point is an organizational unit where deliveries are planned and executed.

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
A delivery is always carried out by one shipping point only. It is proposed to use one
shipping point for all company codes.
9100

General shipping Point.

Shipping points can be subdivided into loading points. We may not use loading point.
IV)

Transactions / Programs / Reports / User Exits

This process SD 1.0 Requires customizing transactions only as explained in Section IX

Transactions

Program

Reports

User Exits

Description \ Comments

V) Description of Functional Deficits

None.
VI) Approaches to address Functional Deficits
Not Applicable.
VII) Interfaces
Source
System

Destination
System

Interface
Name

Comments

No interfaces are envisaged at this stage as per the current process.

VIII) Authorisations
Roles

SD-BPO

Restricted Authorization
Transaction Code

Object / Value

As Given Below Section 9

IX) SAP Configuration

Customizing
IMG
configuration
tasks
or
IMG
transactions

MENU PATH

OVX5

Sales Organization: IMG > Enterprise Structure > Maintain Structure >
Definition > Sales and Distribution > Define, copy, delete, check Sales
Organization > Define Sales Organization

SAP SD FORUM STEEL INDUSTRY PROJECT

Business Blueprint Document
Sales Organization Address: IMG > Enterprise Structure > Maintain
Structure > Definition > Sales and Distribution > Define, copy, delete,
check Sales Organization > Define Sales Organization
Distribution Channel: IMG > Enterprise Structure > Maintain Structure >
Definition > Sales and Distribution > Define, copy, delete, check
Distribution Channel > Define Distribution Channel
Sales Office: IMG > Enterprise Structure > Maintain Structure > Definition
> Sales and Distribution > Maintain Sales Office (updates TVBUR)

OVX5
OVXI
OVXI
OVXI

Sales Office Address: IMG > Enterprise Structure > Maintain Structure >
Definition > Sales and Distribution > Maintain Sales Office

OVX4

Sales group: IMG > Enterprise Structure > Maintain Structure > Definition
> Sales and Distribution > Maintain Sales Group

OVXB
OVXG

Division: IMG > Enterprise Structure > Maintain Structure > Definition >
Logistics General > Define, copy, delete, check division
Sales Area: Define sales areas

OVXA

Assign division to sales organization

OVXG

Set up sales area

OVXM

Assign sales office to sales area

OX10

Plant: IMG > Enterprise Structure > Maintain Structure > Definition >
Logistics General > Define, copy, delete, check plant

X)

Reporting Requirements

None.
S.NO.

Reports Required

C
CC
X
R
NP
TBA
TBD

Priority
H/M/L

Compliance
(C, CC, X ,R. N.P.*)

T Code

Compliant (Available as it is in SAP)

Conditionally Compliant (Data available in different format)
May be developed in ABAP
- Redundant
- Not Possible
- To be assigned
- To be decided

XI) Supplementary Information

Organization structure in Sales and Distribution is defined to suit the existing organization. For
future needs; new organization elements such as sales organization, divisions, sales offices or
sales groups can be added through configuration.
The transportation planning point is an organizational unit in Logistics, responsible for planning
and processing transportation activities. As we are not using shipments created with reference to
deliveries, we will not map this organizational element. However it can be configured in future on
need basis.