EXTERNAL SERVICE PROCUREMENT

 Sometime organization need some kind of services like maintaining ac ,

electrical work , painting this all service is done by external contractor.
and the whole process of procurement is called external service procurement
 External Service procurement involves

1) create Service Master record.

2) create service PO with item category.

3) service entering sheet entering

4) invoice verification.

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STEP 1 : CREATE SERVICE MASTER RECORD AND DISPLAY

(AC03)

 Service master record contains the details of all the services that can be
procured from an external vendor within an organization.
 It contains the description of services along with their unit of measure.
 Service master record serves as a reference for creating service purchase
order, but it is not necessary.

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STEP 2 : CREATE PURCHASE ORDER AND SEND TO VENDOR

(ME21N)

ITEM CATEGORY D

SERVICE NUMBER TO BE
ENTER

LIMIT TO BE ENTER FOR

UNPLANNED SERVICE

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STEP 3 : MAINTAIN SERVICE ENTRY SHEET

(ML81N)

 A service entry sheet stores a record of all the services that have been
procured.
 In case of goods procured, we maintain a goods receipt document; whereas
in case of services, we maintain a service entry sheet.
 It accommodates the charges that we need to pay to the vendor.
 We have to enter planned services , unplanned services

 Planned Services − In planned services at the time of procurement

specifications like quantity and price are known in advance. It means nature
and scope of service is clear before procurement.
(maintained at service master)
 Unplanned Services − In unplanned services at the time of procurement
specifications like quantity and price are not known in advance. Nature is
not clear before procurement
(not maintained in service master)

After purchase order , vendor visit on site to give service , we maintain the
service given by vendor in service entry sheet and approve the service entry
sheet

PLANNED SERVICES UNPLANNED

SERVICES

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STEP 4 : MIRO

(MIRO)

 After servicing we have to pay vendor against service by using MIRO

INCLUDING TAX

PLANNED SERVICE
STANDARD : 1500

UNPLANNED SERVICES
PCB CHANGE 1000
FILTER CHANGE 500
GAS REFILL 1600

TOTAL = 4600

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