MATERIALS MANAGEMENT

BASIC BRAZILIAN LOCALIZATION

February 2012
 AGENDA

CHAPTER 1 – SUMMARY

CHAPTER 2 – ORGANIZATIONAL STRUCTURE

CHAPTER 3 - BASIC PARAMETRIZATIONS

CHAPTER 4 - MASTER DATA

CHAPTER 5 - EXTERNAL PROCUREMENT PROCESS

CHAPTER 6 - SPECIAL CASES

CHAPTER 7 - REPORTING
CHAPTER 1 – SUMMARY
 SUMMARY

MRP

Purchase Request for Purchase

Requisiton Quotation Order
User
Vendor

Fiscal Books

Nota
Invoice Fiscal
Goods
Account Posting Verification
Receipt

Account Payable
 CHAPTER 2
ORGANIZATIONAL STRUCTURE
ORGANIZATIONAL STRUCTURE

Client

CNPJ NUMBER

Company

Branch

Plant

Storage Location
 ORGANIZATIONAL STRUCTURE

Company

Owens Corning Brazil

Branch
CNPJ 68.029.354/0001-27

Piracicaba

Plant
Piracicaba
 CHAPTER 3
BASIC PARAMETRIZATIONS
 BASIC PARAMETRIZATIONS

NOTA FISCAL CONCEPT

TAX REGIONS

TAX REGIONS FOR FOREIGN VENDORS

TAX JURISTICTION CODE

ICMS CONCEPT

ICMS RATE DETERMINATION IN MM

ICMS GENERAL RATES

ICMS EXCEPTIONS

COMPLEMENT OF ICMS

ICMS SUBSTITUIÇÃO TRIBUTÁRIA

 BASIC PARAMETRIZATIONS

SUBSTITUIÇÃO TRIBUTÁRIA ON FREIGHT

ICMS SUBSTITUIÇÃO TRIBUTÁRIA EXCEPTIONS

NCM

IPI CONCEPT

IPI RATE DETERMINATION IN MM

IPI GENERAL RATES

PIS AND COFINS

IPI EXCEPTIONS

CFOP

CFOP DETERMINATION FOR GOODS RECEIPT AND RETURNS

TAX LAWS FOR ICMS

TAX LAWS FOR IPI

 BASIC PARAMETRIZATIONS

NOTA FISCAL TYPES

NOTA FISCAL FORMS

NOTA FISCAL GROUP NUMBERS

NOTA FISCAL INTERNAL NUMBER RANGES

NOTA FISCAL NUMBERS AND FORM SIZES

NOTA FISCAL OUTPUT CONDITIONS

IRRF

ISS

INSS

BRAZILIAN CALCULATION PROCEDURE

TAX CODE ENHANCEMENTS

BASIC PARAMETRIZATIONS
 BASIC PARAMETRIZATIONS

TAX REGIONS

Each State is a Tax Region.

Example :

SP - São Paulo
BA - Bahia
AM - Amazonas
 BASIC PARAMETRIZATIONS

TAX REGIONS

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Basic Settings >
Settings for Tax on Sales/Purchases in Brazil > Tax Regions
 BASIC PARAMETRIZATIONS

TAX JURISTICTION CODE

• Path : IMG > Materials Management > Purchasing > Environment Data > Define Tax
Jurisdiction > Goto > Adress
 BASIC PARAMETRIZATIONS

ICMS CONCEPT

• ICMS is “Imposto de Circulação de Mercadorias e Serviços”.

• It´s a state tax applied on any kind of commercial operation involving goods (buy, sell,
transfer, etc)

• State of origin and state of destination goods

Ship From State Ship To State Tax Rate

SP BA 07,00 %
SP MT 07,00 %
SP RJ 12,00 %
SP RS 12,00 %
BA SP 12,00 %
MT SP 12,00 %
RJ SP 12,00 %
RS SP 12,00 %
SP SP 18,00 %
 BASIC PARAMETRIZATIONS

ICMS RATE DETERMINATION IN MM

Rates are derived from the following parameters and tables:

• FI tax code

• Vendor master tax region

• Receiving plant tax region

• ICMS General rates

• ICMS Exceptions
 BASIC PARAMETRIZATIONS

ICMS GENERAL RATES

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Calculation > Settings
for Tax Calculation in Brazil > Tax Rates > ICMS (Normal)
 BASIC PARAMETRIZATIONS

ICMS EXCEPTIONS

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Calculation > Settings
for Tax Calculation in Brazil > Tax Rates > ICMS (Exceptions)
 BASIC PARAMETRIZATIONS

COMPLEMENT OF ICMS

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Calculation > Settings
for Tax Calculation in Brazil > Tax Rates > Complement ICMS (Exceptions)
 BASIC PARAMETRIZATIONS

ICMS SUBSTITUIÇÃO
TRIBUTÁRIA

• Path : IMG > Financial

Accounting > Tax on
Sales/Purchases > Calculation
> Settings for Tax Calculation
in Brazil > Tax Rates > Subst.
Tributaria (Normal)
 BASIC PARAMETRIZATIONS

ICMS Substituição Tributária -

Exceptions

• Path : IMG > Financial

Accounting > Tax on
Sales/Purchases > Calculation
> Settings for Tax Calculation
in Brazil > Tax Rates > Subst.
Tributaria (Exceptions)
 BASIC PARAMETRIZATIONS

NCM

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > NBM Codes > Create
 BASIC PARAMETRIZATIONS

IPI CONCEPT

• IPI is “Imposto sobre Produtos Industrializados”.

• It´s based on industrial manufacturing when selling, transferring goods.

• Different tax rates according material classification with NCM code. Example :

Material Master Data Code NCM Code IPI Rate

A 10015010 10,00 %
B 10059010 05,00 %
C 10030010 25,00 %
D 10082090 70,00 %
 BASIC PARAMETRIZATIONS

IPI RATE DETERMINATION IN MM

ICMS
Rates are derived from the following parameters and tables:

• FI tax code

• Vendor master

• IPI rate tables per NCM code and per material

 BASIC PARAMETRIZATIONS

IPI GENERAL RATES

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Calculation > Settings
for Tax Calculation in Brazil > Tax Rates > IPI (Normal)
 BASIC PARAMETRIZATIONS

IPI EXCEPTIONS

• Path : IMG > Financial Accounting > Tax on Sales/Purchases > Calculation > Settings
for Tax Calculation in Brazil > Tax Rates > IPI (Exceptions)
 BASIC PARAMETRIZATIONS

CFOP

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > CFOP > CFOP
 BASIC PARAMETRIZATIONS

CFOP DETERMINATION FOR GOODS RECEIPT AND RETURNS

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > CFOP > CFOP Determination for Goods Receipts and Returns
 BASIC PARAMETRIZATIONS

TAX LAWS FOR ICMS

• Path : IMG > Financial Accounting > Financial Accounting Global Settings > Tax on
Sales/Purchases > Basic Settings > Settings for Tax on Sales/Purchases in Brazil >
Tax Laws for ICMS
 BASIC PARAMETRIZATIONS

TAX LAWS FOR IPI

• Path : IMG > Financial Accounting > Financial Accounting Global Settings > Tax on
Sales/Purchases > Basic Settings > Settings for Tax on Sales/Purchases in Brazil >
Tax Laws for IPI
 BASIC PARAMETRIZATIONS

NOTA FISCAL TYPES

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Nota Fiscal Types
 BASIC PARAMETRIZATIONS

NOTA FISCAL FORMS

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Output > Forms
 BASIC PARAMETRIZATIONS

NOTA FISCAL GROUP NUMBERS

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Output > Group Numbers
 BASIC PARAMETRIZATIONS

NOTA FISCAL INTERNAL NUMBER RANGES

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Number Ranges
 BASIC PARAMETRIZATIONS

NOTA FISCAL NUMBERS AND FORM SIZES

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Nota Fiscal Numbers and Form Sizes
 BASIC PARAMETRIZATIONS

NOTA FISCAL OUTPUT CONDITIONS

• Path : IMG > Cross-Application Components > General Application Functions > Nota
Fiscal > Output Conditions
 BASIC PARAMETRIZATIONS

IRRF

• Path : IMG > Financial Accounting > Withholding Tax > Withholding Tax > Basic
Settings > Maintain Countries
 BASIC PARAMETRIZATIONS

ISS - IMPOSTO SOBRE SERVIÇOS

ISS is a municipal tax on services. The tax rate is determined by the city of the supplier
and the type of service.
 BASIC PARAMETRIZATIONS

INSS - INSTITUTO NACIONAL DA SEGURIDADE SOCIAL

INSS is a social security tax that the company pays when receiving the service from a
natural person. The calculation of INSS is based on a fixed rate. The delivered tax
code for INSS is IN .
 BASIC PARAMETRIZATIONS

BRAZILIAN CALCULATION PROCEDURE

• Path : IMG > Financial Accounting > Financial Accounting Global Settings > Tax on
Sales/Purchases > Calculation > Define Tax Codes for Sales and Purchases

• Transaction : J1BTAX / TAX PROCEDURE : TAXBRA

 BASIC PARAMETRIZATIONS

TAX CODE ENHANCEMENTS

• Path : IMG > Financial Accounting > Financial Accounting Global Settings > Tax on
Sales/Purchases > Calculation > Settings for Tax Calculation in Brazil > Additional
Standard Tax Codes
CHAPTER 4 - MASTER DATA
MASTER DATA

VENDOR MASTER DATA

MATERIAL MASTER DATA

MASTER DATA

VENDOR MASTER DATA

• Path : SAP Menu > Logistics > Materials Management > Purchasing > Master Data >
Vendor > Central > Display

• Transaction : XK03
MASTER DATA

MATERIAL MASTER DATA

• Path : SAP Menu > Logistics > Materials Management >Material Master > Material >
Display > Display Current

• Transaction : MM03
 CHAPTER 5 -
EXTERNAL PROCUREMENT PROCESS
 EXTERNAL PROCUREMENT PROCESS

MRP

Purchase Request for Purchase

Requisiton Quotation Order
User
Vendor

Fiscal Books

Nota
Invoice Fiscal
Goods
Account Posting Verification
Receipt

Account Payable
 EXTERNAL PROCUREMENT PROCESS

PURCHASE ORDER

• Path : SAP Menu > Logistics > Materials Management >Purchasing > Purchase Order
> Create > Vendor/Supplying Plant Known

• Transaction : ME21N
 EXTERNAL PROCUREMENT PROCESS

PURCHASE ORDER
 EXTERNAL PROCUREMENT PROCESS

PURCHASE ORDER
 EXTERNAL PROCUREMENT PROCESS

PURCHASE ORDER
 EXTERNAL PROCUREMENT PROCESS

GOODS RECEIPT

• Path : SAP menu > Logistics > Materials Management > Inventory Management
> Goods Movement > Goods Movement (MIGO)

• Transaction : MIGO
 EXTERNAL PROCUREMENT PROCESS

GOODS RECEIPT
 EXTERNAL PROCUREMENT PROCESS

GOODS RECEIPT
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION

• Path : SAP menu > Logistics > Materials Management > Logistics Invoice Verification >
Document Entry > MIRO - Enter Invoice

• Transaction : MIRO
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 EXTERNAL PROCUREMENT PROCESS

INVOICE VERIFICATION
 BASIC PARAMETRIZATIONS

INVOICE VERIFICATION
 BASIC PARAMETRIZATIONS

INVOICE VERIFICATION

Accounting Posting for Purchase Order 4500000031

Invoice Verification.

D - GR/IR ...................R$100,00
ICMS ................... R$ 21,95
IPI .........................R$ 12,20
C - Vendor ...............................................R$134,15
CHAPTER 6 - SPECIAL CASES
 SPECIAL CASES

SUBCONTRACTING

FUTURE DELIVERY (PURCHASING)

FREIGTH (conhecimento de frete)

RETURNABLE TRANSPORT PACKAGING (RTP)

VENDOR CONSIGNMENT (RESALE AND INDUSTRIALIZATION)

THIRD-PARTY HANDLING

SERVICES

PLANT TO PLANT STOCK TRANSFER WITH TAXES

IMPORT

NOTA FISCAL WRITER

CHAPTER 7 - REPORTING
 REPORTING

LIST FOR INCOMING DOCUMENTS AND VENDOR LIST

OVERVIEW OF PRODUCTION AND INVENTORY

PHYSICAL INVENTORY OVERVIEW

 REPORTING

LIST FOR INCOMING DOCUMENTS AND VENDOR LIST

• Path : SAP menu > Accounting > Financial Accounting > Accounts Payable >
Reporting > Brazil > List of incoming documents and vendor list

• Transaction : S_ALR_87012150
 REPORTING

OVERVIEW OF PRODUCTION AND INVENTORY

• Path : SAP menu > Accounting > Financial Accounting > Accounts Payable >
Reporting > Brazil > S_ALR_87012152 - Overview of production and inventory

• Transaction : S_ALR_87012152
 REPORTING

PHYSICAL INVENTORY OVERVIEW

• Path : SAP menu > Accounting > Financial Accounting > Accounts Payable >
Reporting > Brazil > S_ALR_87012153 - Physical inventory overview

• Transaction : S_ALR_87012153
THANKS !