Integrating Total Energies' Procure to Pay Process with SAP S/4HANA: A

Comprehensive Implementation Study

BY CHARAF EDDINE ELMOUZAZI

Company Overview: Total Energies SE

 Industry: Energy

 Operations: TotalEnergies SE is a global multi-energy company that produces and markets

energies on a global scale: oil and biofuels, natural gas and green gases, renewables, and
electricity. It is committed to energy that is ever more affordable, clean, reliable, and
accessible to as many people as possible. Active in more than 130 countries, TotalEnergies’
strategy is focused on sustainability and innovation, aiming to be a major player in the energy
transition.

Chosen Business Process: Procure to Pay: The Procure to Pay process at TotalEnergies involves the
comprehensive management of obtaining raw materials and services, from the initial order through to
payment of invoices. This process is crucial for TotalEnergies to ensure operational efficiency, cost
management, and supplier relationship management, ultimately supporting its commitment to
sustainability and innovation.

Functions Involved:

 Purchasing: Manages supplier relationships, negotiates contracts, and places orders.

 Inventory Management: Oversees the storage and supply of raw materials and services.

 Accounts Payable: Handles invoice processing, verification, and payment to suppliers.

 Finance/Accounting: Manages financial transactions and cash flow related to procurement

activities.

Modules/Applications Required in SAP ERP:

 SAP Materials Management (MM): Facilitates procurement processes, inventory

management, and vendor invoice verification.

 SAP Supplier Relationship Management (SRM): Enhances the effectiveness of

procurement strategy, supplier collaboration, and execution.

 SAP Financial Accounting (FI): Manages financial transactions and reports related to the
procurement process.
Chosen IT Solution: SAP S/4HANA For TotalEnergies, SAP S/4HANA represents an ideal IT
solution that underpins its complex, global operations and the need for real-time data analysis. The
platform provides advanced analytics, seamless integration of business processes, and a user-friendly
interface, which are crucial for managing TotalEnergies' diversified energy portfolio and worldwide
operations. SAP S/4HANA’s capabilities in materials management, supplier relationship management,
and financial accounting are vital for optimizing the Procure to Pay process, enhancing operational
efficiency, and supporting TotalEnergies' strategic initiatives in sustainability and energy innovation.

Implementation Stages with Commented Screenshots

Purchase Order Processing (MM) Screenshot: Creating a purchase order in SAP S/4HANA for an
energy project.

Commentary: Showcases how TotalEnergies manages procurement, detailing orders to suppliers,

contract terms, and delivery timelines.

Goods Receipt and Inventory Management (MM) Screenshot: Recording the receipt of
goods/services in SAP S/4HANA.

Commentary: Demonstrates the verification of received materials against purchase orders and the
update of inventory records.

Invoice Verification (MM & FI) Screenshot: Processing supplier invoices in SAP S/4HANA.

Commentary: Illustrates the comparison of invoices with purchase orders and goods receipt, ensuring
accuracy and preparing for payment.

Payment Processing (FI) Screenshot: Executing payments to suppliers in SAP S/4HANA.

Commentary: Describes the process of settling outstanding invoices with suppliers, completing the
Procure to Pay cycle.

Conclusion Implementing the Procure to Pay process in SAP S/4HANA for TotalEnergies SE
underscores the critical role of integrating essential business functions to improve efficiency, manage
costs effectively, and enhance supplier relationships. This project offers a practical learning
experience, connecting theoretical concepts with real-world application in a leading global energy
company. Through this study, students acquire valuable insights into the significance of ERP systems
like SAP S/4HANA in optimizing business processes, facilitating the energy transition, and supporting
strategic goals related to sustainability and innovation. This initiative not only prepares students for
future challenges in the evolving energy sector but also highlights the strategic importance of
technology in achieving operational excellence and driving business success.