Catalogue Based Procurement

BUSINESS BLUEPRINT DOCUMENT

PROJECT
(TEST TYRE LIMITED)

SAP SRM IMPLEMENTATION

SHOPPING CART-CATALOG

Document No SRM.01
Version 1.0

Date: 12/12/2019
Status: Initial Draft

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 Catalogue Based Procurement

DOCUMENT INFORMATION SHEET

DOCUMENT DESCRIPTION: Business Blueprint: SRM.01 - SHOPPING CART -CATALOGUE

Version Date Description Author Approver Name - IBM Approver Name – ATL+AVBV
01.00 12/12 /2019 1st Draft Abhinav
01.01 2nd Draft
01.02 3rd Draft
01.03 Final

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 Catalogue Based Procurement

Table of content

1 INTRODUCTION ......................................................................................................................................................4
1.1 PURPOSE OF THE DOCUMENT................................................................................................................................4
1.2 BRIEF PROCESS DESCRIPTION AND PROCESS SCOPE ............................................................................................4
1.3 HIGH LEVEL PROCESS DESIGN FOR MDM CATALOG ...........................................................................................4
2 BUSINESS REQUIREMENT ...................................................................................................................................4
2.1 DETAILED BUSINESS REQUIREMENTS ..................................................................................................................4
3 TO-BE PROCESS ......................................................................................................................................................4
3.1 PROCESS FLOW FOR CATALOGUE BASED PROCUREMENT ....................................................................................4
3.2 CATALOGUE PROCUREMENT ................................................................................................................................7
3.2.1 Upload Catalog in MDM through Import Manager .......................................................................................7
3.2.2 Create Shopping cart in SRM through Catalog ..............................................................................................7
3.2.3 Approval for Shopping Cart ............................................................................................................................8
3.2.4 Create Purchase order in ECC .......................................................................................................................8
3.2.5 Host Punch-out Catalogues ............................................................................................................................8
3.3 EXCEPTIONS / VARIATION ....................................................................................................................................9
3.4 INTEGRATION POINTS ...........................................................................................................................................9
3.5 INTERFACE REQUIREMENTS: ................................................................................................................................9
3.6 GAPS ....................................................................................................................................................................9
3.6.1 Gap Detail.......................................................................................................................................................9
3.6.2 Gap Analysis and Conclusion / Recommendations .........................................................................................9
3.7 ECC DEVELOPMENTS (IF ANY): ...........................................................................................................................9
3.8 REPORTING REQUIREMENTS ................................................................................................................................9
3.9 RISKS ................................................................................................................................................................. 10
3.9.1 Risks .............................................................................................................................................................. 10
3.9.2 Risk Mitigation Plan ..................................................................................................................................... 10
4 CHANGE MANAGEMENT / BUSINESS BENEFITS ........................................................................................ 10
4.1 CHANGE MANAGEMENT .................................................................................................................................... 10
4.2 BUSINESS BENEFITS / SUMMARY ....................................................................................................................... 10
5 GLOSSARY.............................................................................................................................................................. 10

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 Catalogue Based Procurement

1 Introduction
1.1 Purpose of the document
The purpose of this business blueprint document is to describe the processes involved in Catalogue Based
Procurement. The process details described in this document is form the basis for system design, system
behaviour and preparing subsequent functional/technical design documents.
1.2 Brief Process Description and Process Scope
This process describes the catalogue procurement using MDM and Punch-Out Catalog(External) Catalog. This
enables the self-service procurement functionality in SRM. User can create a shopping cart by selecting an
item from catalogue and based on the value it will go for approval. Once it is approved, shopping cart will be
converted to purchase order in ECC..

1.3 High Level Process Design for MDM Catalog

2 Business Requirement
2.1 Detailed Business Requirements
3 To-Be Process
3.1 Process Flow for Catalogue Based Procurement

Manual Activity by
Activity performed user/SCM/
by System Business Partner
in ECC/SRM

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Catalogue Based Procurement

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 Catalogue Based Procurement

Catalogue Based Procurement

Order Shopping Edit SC based on

User

Browse Catalogue Accept SC

Cart from Approver’s No End
& search materials rejection?
Catalogue comments
Approver

N-Level
Rejected
Approval

Purchase Order
Approved
created in ECC
Business
Partner

Purchase Order
visible to business
partner on portal

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 Catalogue Based Procurement

3.2 Catalogue Procurement

3.2.1 Upload Catalog in MDM through Import Manager

The ability to import a supplier's Catalog that is shared as an Excel or XML file and then also map and
match with the company's own product schema ensures there are no redundancies or duplication of
records. Importing and mapping suppliers' Catalog can either be a manual or an automated step, and such
mappings are saved to ensure that the future and latest suppliers' catalog are uploaded, updated and
mapped with minimal effort.
3.2.2 Create Shopping cart in SRM through Catalog
The end user will logon to SRM and can create a shopping cart by selecting items from catalogue. The user
can choose material or service items from the catalogue to transfer them to the shopping cart, The user will
also need to select his cost centre for which the purchase is being made. Multiple business partner
catalogues are available online. User can search through the catalogue and easily pick up the item. The
user can also view a list of all his shopping carts along with the status of the Shopping Carts. Standard
search functionality is available in the Catalogue screen
Through Cross Catalog Search – Punch Out Catalog

Enter the search term in the search box as shown below. The system searches for the item across MDM
Catalogues, punchout catalogues and product master in the SRM system and displays the search results..

The search result can be filtered along some of the standard attributes like price, category, catalogue,
supplier, etc. The results can be sorted by ‘Relevance’, ‘Ascending Price’ or ‘Descending Price’ as shown
in the figure below

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 Catalogue Based Procurement

Once the item is selected, User can check out and all the selected items will be loaded back to SRM
Shopping Cart page. The details of the shopping cart will be adopted from the ‘User Settings’ or the default
attributes from the Organisation structure. The item details can be viewed by clicking the ‘Review Cart’
button. The shopping cart number will be displayed as shown above.
3.2.3 Approval for Shopping Cart
Based on the total value of items in the shopping cart, a workflow will be triggered for approval to the
respective DOA. The approver can enter approval comments while approving or rejecting the shopping
cart. The approver can also forward work items to another user. User can check the status of his shopping
cart at any time in the Check Status application.
In case the approver rejects the shopping cart, the shopping cart is returned to the indenter of the shopping
cart. The indenter can then make changes in the shopping cart (as per approver’s comments) and re-submit
the cart for approval. Alternatively, shopping cart indenter can also accept rejection of the shopping cart.
Approver’s comments field is mandatory in the Approver’s screen if the shopping cart is being rejected.
Note to Approver field is to be made mandatory.
Discussion required on Approval of Shopping Cart.
3.2.4 Create Purchase order in ECC
Once the shopping cart is approved, a Purchase Order will be automatically created in ECC.
The purchase order has a specific document type identifying this as a self-service procurement PO. Based
on business inputs , PO document type can be changed as per business requirement. PO to be edited in
ECC.
3.2.5 Host Punch-out Catalogues
External Punch Out Catalog can be used to create shopping Cart. User can select the items from the hosted
website and can review then as per the requirement. User needs to check out all the items he selected and
then item will be added to the shopping cart on the screen.
Click on the ‘Order Cart’ button will give the option to submit the shopping cart. The details of the shopping
cart will be adopted from the ‘User Settings’ or the default attributes from the Organisation structure. The
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 Catalogue Based Procurement

item details can be viewed by clicking the ‘Review Cart’ button. The shopping cart number will be displayed
on the same screen.

3.3 Exceptions / Variation

NA
3.4 Integration points
1. Material Master must be replicated from SAP ECC to SRM.
2. Integration between SRM and MDM to view MDM catalogue in shopping cart.
3. Approved shopping cart in SRM directly creates a PO in SAP ECC system.
3.5 Interface Requirements:
NA
3.6 Gaps
3.6.1 Gap Detail
3.6.2 Gap Analysis and Conclusion / Recommendations

S.No. Gap Description Recommendation

N-step workflow process for approving
1. Already existing approval workflow in SRM 5 to be
shopping cart as per the DOA
adopted in SRM 7
Long text from catalogue item should not
2. A new long text type to be added in shopping cart
be editable in the Shopping Cart
for Catalogue based shopping carts, which will not
be editable.
Clarification functionality during shopping Standard approval process is already present in
3.
cart approval process developed in SRM SRM. Enhancement required to fulfil business
7 needs.
Visual Voice software compatibility with MDM can replace Visual Voice or Vice Versa
4.
SRM needs to be tested.
Any othere GAPs will be discussed with
5.
Business

3.7 ECC Developments (if any):

 Will be discussed with Business.
3.8 Reporting Requirements
The following reports are available:
1. Standard reports are available in SRM to view the list of PO and SC’s/PR’s.
2. Shopping cart status: List of all shopping carts for the user with shopping cart status and value
3. Shopping cart details: List of all shopping cart line item details including quantity and price.
4. List of POs (SAP ECC): List of all self-service POs created in SAP ECC can be viewed with different
selection parameters using SAP standard reports ME2N/ ME2M.

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3.9 Risks
3.9.1 Risks
NA
3.9.2 Risk Mitigation Plan
NA
4 Change Management / Business Benefits
4.1 Change Management
1. A Catalogue manager needs to be identified, who will be responsible for maintaining/ updating
MDM catalogues based on outline agreements created in ECC
2. Catalogues need to be maintained in the system by catalogue administrator.
3. PO will be automatically created and sent to business partner for each shopping cart once SC
approval process is complete.
4.2 Business Benefits / Summary
 Operational procurement POs are directly created based on shopping cart from department end
user. This reduces the load on SCM team to handle the purchase process of ad-hoc procurement
requests. The SCM contact person can then concentrate more on the strategic tasks of identifying
sources and finalising long-term contracts for such materials.
 Increased levels of compliance for all products with assigned sources of supply.
 Empowerment of end users to perform self-sufficient requisitioning and procurement process in
line with company’s purchasing policies.
5 Glossary
ECC - Enterprise Core Component (SAP Back-end system)
SRM - Supplier Relationship Management
MDM - Master Data Management (Server used to host Catalogues)
CCM - Catalogue Content Management
SC - Shopping Cart
RFX - Request for Quotation/Proposal/Information
DOA - Delegation of Authority
SCM - Supply Chain Management
PR - Purchase Requisition
PO - Purchase Order
SCM Contact Person - Buyer
Business Partner - Vendor/Supplier

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 Catalogue Based Procurement

Name of the Project : TEST Tyre Limited

Project type : SAP SRM Implementation
Business Scenario : Shopping Cart- Catalog
Version : 01.00
Created by : Abhinav

The contents of this Business Blueprint document have been verified and accepted.

Name Designation Signature Date

_________________ _________________

(PM) (PM)
(IBM Project Manager) (ATL+AVBV Project Manager)

Sign off date: Sign off date:

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