Presentation on SAP <SD &SD-LE> By Md.

Aminur Rahaman

Sales & Distribution Module

 Organisation Structure in Sales  Overview of Sales Processes  Master Data in Sales Documents

SAP SD Organization Structure

SD

O rganiza tiona l U nits in Sales and Distribution Organizational Units in S ales and D is tribu tion

 C om pan y code  S ales Area

R /3
S ales organiza tion D ivision

Docum ent

D istribu tion channel

 P lant  S torage loca tion  shipping poin t

S A P A G 1999

Or iz ti l it : Company Code C Organizational Units: C

C om pa n y co de

 l 
t

l l

tit

i l t l l, r q ir t t

t r t t : l w

ti

it

r fit

SAP AG

Organizational Units Organizational Units: Sales Sales Organization Organization

Sales organization

Responsible for  distributing goods and services  negotiating sales conditions  product liability and rights of recourse

SAP AG 1999

Or iz l it i tri ti C Organizationalti Units:: Distributionl Channel

Sales or anization

Distrib tion Channel

Distrib tion Channel 2

 i  r t r r t

t r t l :w

w i r tr t r l i l tr t

l i tri

t ri l r t ,i t r

t / r t tr

t r i , ...

 f r x
SAP AG

, r t il tr

Organizational Units:i Division Or iz ti l it : i i

Sales or anization

Division

Division 2

 r r  f r x
SAP AG

t l :

r t r

t li l , r rt , r i , ...

Sales Units: Sales Area OrganizationalArea

Sales organization Distribution channel

Division
2 Motorcycles

1 Frankfurt

2 Berlin

2 Retail trade

5 Internet

1 Wholesale trade

3 Computers

3 Computers

2 Motorcycles

1 Pumps

Sales areas

1 2 2

1 2 3

1 5 3

2 1 2

2 1 1

SAP AG 1999

Organizational Units: Sales Office & Sales Group

Sales Office
 Sales offices elong to the sales area  Some reporting is carried out y the sales office  Geographical aspects of the organization in usiness de elopment and sales are defined using the term sales office

Sales Group
 Records the types of sales for the sales office e.g. Export or Local

Organizational Units: Sales Office and Sales Group

Organizational Units: Plant

Plant

 A plant is an organizational logistics unit that structures the enterprise from the perspective of production, procurement, plant maintenance, and materials planning.  A plant is a manufacturing facility or branch ithin a company.

SAP AG 1999

Organizational Units: Storage Location

Storage Location

 The storage location is an organizational unit that allo s the differentiation of material stocks ithin a plant.  Inventory Management on a uantity basis is carried out at storage location level in the plant.  Physical inventory is carried out at storage location level.

SAP AG 1999

Or iz ti it: i i t Organizationall Units: iShipping Point

Plant 2

Plant 2

7 6 5 4 3 2 3 4 2 0 8 20 2 8 7 6 5 26 27 28 25 22 23 24 30 3 2
2 3 4 5 6 7 0 2 3 4

20

22 2

23

24 3

25

26

27

28

30

Shipping point

shipping point

shipping point

SAP AG

         
2 3 4 5 6 7 8 0 2 3 4 5 6 7 8 20 2 22 2 23 24 3 25 26 27 30

          

28

Sales and Distribution Module

 Organisation Structure in Sales  Master Data in Sales Documents  Overview of Sales Processes

Data Origin Data Origin in in Sales Documents Sales Documents

Control tables

Order

Customer master data

Sold-to party 2300 Ship-to party 788

Customer master data

Item Material Quantity

Output master data

Material master data

10 20

1400-100 1400-200 1400-410

10 20 15

Condition master data

Customer-material info

30

Control tables
SAP AG 1999

Customer aster Customer Master

Customer master data

Gener l t

elevant f r ales and distri ti n and accounting Valid for all organizational units

Sales area data

Relevant for sales and distri ution Valid for: Sales organization Distri ution channel Division
SAP AG
 

Company code data

Relevant for accounting Valid for: Company code

Customer MasterGenera Data

SD

Data on the General Data Tab Pages

Data on the General Data Tab Pages

Customer master General data


SAP AG

ddress

Name, address, language, ... Tax information, ... a nk details, ...

Control Data Payment transactions arketing

Industry, cust. classification, ...

n loading points Goods receiving hours, ... Data for export control, ... ddress of usiness partners, ...

x port data

Contact persons

 

    

Customer MasterAccounting Data

SD

Customer Master Sales Area Data

SD

Business Partner - Options

Customer

Create

Display

Change

Create

Create Centrally

Display

Display Centrally

Change

Change Centrally

SD

Partner Functions in the Customer Master

MaterialMaterial Master Master

Material master data
Basic Data 1 Relevant for all areas Valid for all organizational units Purchasing Relevant for materials management Valid for: Plant Other ... Relevant for engineering, materials planning, accounting, ...
###"
SAP AG

Sales: Sales Org Relevant for sales and distribution Valid for: Sales organization Distribution channel

Sales: General/Plant Data Relevant for sales and distribution Valid for: Delivering plant

Data on Data on the Sales Tab Pages the Sales Tab Pages
Material master
Relevant for sales and distribution
Basic Data 1 Material number, material description, base unit of measure, division, ... Delivering plant, material group, tax classification, ... Material pricing group, volume rebate group, product hierarchy, ... vailability check , transportation group, loading group, ... xport/import group, region of origin, ... Item text for sales

Sales: Sales Org. 1

Sales: Sales Org.

Sales: General/Plant Foreign Trade Export Sales Text

%%%$
SAP AG

Customer - Material Information Record Customer Material Information Record

Customer master

Material master

Customer-Material Information
Customer Sales organization Distribution channel Material Description 1000 12 Customer-specific data: Customer-material description S3000H front light R1700 rear light + additional data

1400-100 Headlight Deluxe 1400-200 Rear ight

'''&

SAP AG

Output

Output
Output master data
Output type Partner function Trans. medium Time Language

Sales order
Output determination Output type Order confirmation Transm. medium Print output Partner function AG 2300 Time immediately hen saving Language DE Print Order confirmation 6177
Motomarkt Heidel erg Customer num er 300 We ill deliver Item Material Quantity Value 1 S3000 10 650 2 R1700 10 300 Total 950

SAP AG 1999

Condition Master
Condition Master

Condition master
Prices Material price Price list Customer -specific Other

data
Surcharges / Discounts customer material

customer

/material

pricing group/ reights

reight

Incoterms Other

Ta es Value - added ta Jurisdictional ta es Other

SAP AG 1999

Sales & Distribution Module

 Organisation Structure in Sales  Master Data in Sales Documents  Overview of Sales Processes

Overvie of Sales Processes Overview of Sales Processes Contents

Pre-Sales Activities Sales order Processing Inventory Sourcing Process customer in uiries

Enter sales orders Verify delivery dates and availability

Shipping
Invoice

Deliver order

Billing

Bill outbound delivery

Payment
SAP AG 1999

Post payment

Customer Order Cycle

Pre-Sales Activities

Pre Sales Activities

 Establishing and maintaining customer relationships  Pre-Sales activities may include
 Creating and tracking customer contacts  Mailing campaigns  Ans ering customer uestions received by e-mail, fa etc.  In uiries  Quotations

SAP AG 1999

S a le Sales s O rd e r P ro c e s s in g Order Processing

 T h e e m p lo y e e s in y o u r d e p a rtm e n t C u s to m e r S e rv ic e ta k e o rd e rs in w ritin g a n d o v e r th e p h o n e .  S ta n d a rd o rd e rs n o rm a lly c o n ta in :

    
C u s to m e r a n d m a te ria l in fo rm a tio n P ric in g c o n d itio n s fo r e a c h ite m D e live ry d a te s a n d q u a n titie s S h ip p in g in fo rm a tio n B illin g in fo rm a tio n

)))(

SAP AG

Cash Sales
Customer Orders, Pays and Picks immediately. Deli ery is initiated once order is entered. In oice is Printed. Posted directly to cash account.

SD

SD

SD

Credit Management

Customer 6

Total Limit $10,000

Sales Order

Automatic Credit Checking

Customer Credit Limits

SD

Payment
P a ym e n t

 P a ym e n t is a p ro c e s s th a t is p a rt o f th e a p p lic a tio n m o d u le in a n c ia l A c c o u n tin g .

 P a ym e n t s u p p o rts
  P o s tin g p a ym e n ts a g a in s t in v o ic e s R e vie in g d iffe re n c e s

S A P A G 1999

Credit Control Areas

Client ChipSun

Credit Control Area CCCS

Credit Control Area EURO

Company Code CSUS Customer 6

SD

Company Code CSME Customer 6

Company Code CSEU Customer 6

Assigning Credit Limits Per Customer

1
Global Limit $10,000
Client ChipSun

Ma imum Individual Limit $6,000 (applies to any credit control area in client)

Individual Credit Limit $4,000 (applies to a specific credit control area)

USD CCCS 4,000 EURO 6,000

Company Code CSUS

Company Code CSME

Company Code CSEU

Customer 6

Customer 6

Customer 6

SD

Monitoring Credit Limits for Customer

Special G/L transactions such as do n payment Receivables from sales

Open orders, deliveries and billing docs.

Postings Increase these amounts Clearings Decrease these amounts SD

Total receivables, special G/L trans. and outstanding order value

Main Elements of Automatic Credit Control

I Credit Control Area Risk Category Credit Representative Group Credit Limits Credit Management Record SD Document Credit Group Activate credit at item level Credit price in pricing procedure

SD

Credit Management Functions

 Credit checking is an integration point etween the FI and SD Modules.  Three different credit limits are esta lished for a gi en customer:

The total limit across all credit control areas The maximum indi idual limit for any credit control area (this restricts the limit we can set for a particular credit control area) The indi idual credit limit for a particular credit control area

SD

Shipping

Shipping
 Shipping processing supports:
 Creating outbound deliveries  Picking (by creating transport orders)  Packing  Posting the goods issue

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SAP AG

SD Module O er iew: Shipping

Sales Order

Shipping Point Create deliveries Check availability Monitor order deadlines

Picking Picking confirmation 1997 Creating Shipping Papers

Packing

Transportation Planning Point Planning dates Group deliveries for shipment

Goods Issue Transfer of goods

SD

Shipping Point
Shipping points are independent organizational entities within which processing and monitoring of the deli eries as well as goods issue are carried out. A deli ery is processed y one shipping point only.

SD

Processing Shipping Documents

Partial Deli ery and Complete Deli ery A customer may specify that he or she will only accept complete deli ery of an order. Howe er, the customer may also agree to accept se eral partial deli eries for an order or an order item.

SD

Deli ery Options

SD

Picking & Confirmation

Picking in ol es preparing the correct quality and the correct quantity of goods for shipping on schedule to a customer. You can enter the atch num er and the aluation type for a deli ery item on the picking screen. The picking procedure used depends on whether you are using Warehouse Management System ( MM-WM) or not. The following figure gi es an o er iew of the different procedures for picking.

SD

Picking & Confirmation

PICKING

Without MM/WM

With

MM/WM

Print Picking List

Picking on Demand

Fixed Bin Picking

Picking ia Transfer Orders

SD

Goods Issue in Shipping

When you post goods issue for a deli ery, you complete a usiness transaction from the point of iew of shipping. The sales order can e then e in oiced. The deli ery for which goods issue was posted is included in the work list for illing (the illing due list). The goods issue document for a deli ery is not a sales & distri ution document. It is a Materials Management (MM) and Financial Accounting (FI) document which is used to update stock quantities and alues. As soon as goods issue is posted for a deli ery, the scope for changing the deli ery document ecomes ery limited. This pre ents there eing any discrepancies etween the goods issue document and the deli ery.

SD

LOGISTICS EXECUTION
 Logistics Execution Overview  Benefits  Structure & Flow  Master Data

BENEFITS
Benefits of having all transportation activities in SAP can be summarized as below: Scheduling of Shipments as per automatic Route Determination Audit Compliance Document Flow for each transaction

LE

STRUCTURE & FLOW

Purchasing
Purchase Order

Replenishment
Stock Transport Order

Sales
Sales Order

Inbound Delivery

Outbound Delivery

Outbound Delivery

Inbound Transportation

Outbound Transportation

Outbound Transportation

Goods Receipt

Goods Issue

Goods Issue

Goods Receipt

LE

-55-

STRUCTURE & FLOW (contd..)

BASIC ELEMENTS OF THE SHIPPING/TRANSPORTATION PROCESS IN SAP R/3 TRANSPORTATION PLANNING POINTS: A group of employees responsible for transportation activities. They can be divided into Outbound Shipments, Inbound Shipments and Replenishment Shipment. SHIPMENT DOCUMENT TYPES: Specifies what type of transportation processing is to be performed. They can be divided into Outbound Shipments, Inbound Shipments and Replenishment Shipment.

LE

MASTER DATA
ROUTE: Route is automatically determined at time of sales order creation. The Route provide to the system the transit time. Based on the transit time the system determines a proposal G/I date (from warehouse). G/I date is taken into consideration for credit limit release (check of the limit only 15 days before G/I date).

LE

Route Definition

Processing Shipping Documents

Route Determination : Criteria for the Proposal of the Route in the Deli ery The shipping document type determines whether the route is determined again in the deli ery. Since you only learn the exact weight of the deli ery at the time of creating the deli ery, it makes sense to determine the route again. For Example, an o er-deli ery of goods could mean that the deli ery is now too hea y to e deli ered y air freight and must e con eyed y rail. It could also e that se eral partial deli eries are created for one sales order so that the total weight of the each deli ery is now lower than the total weight that is recorded in the sales order. Thus, a smaller truck than originally planned can e used for the deli ery.
LE

B illin Billingg

 B illin g s u p p o rts :
   
C re a tin g in v o ic e s fo r p ro d u c ts a n d s e rv ic e s C re a tin g c re d it a n d d e b it m e m o s C a n c e llin g p re v io u s ly p o s te d b illin g d o c u m e n ts A u to m a tic a lly tra n s fe rrin g b illin g d o c u m e n t d a ta to a c c o u n tin g

In v o ic e

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SAP AG

Billing Methods
1. Separate invoice per delivery
Delivery Sales order Delivery Invoice Invoice

2.

Collective invoice
Sales order Delivery

Delivery

Invoice

Sales order

Delivery

3.

Invoice split
Invoice Sales order Delivery Invoice

Collective Invoice
a) Specifying the doc ments to be invoiced Delivery 1 Invoice

Delivery 2

Delivery

Invoice

Delivery 1 Delivery 2 Delivery

Returns

Processing Returns Returns

Billing doc.

Returns

Returns delivery

Credit memo

Order

Billing block

Acceptance of returned goods (post goods receipt) Storage in returns stock

Create credit memo, after the billing block has been removed

OK
SAP AG 1999

Billing block

ProPro-forma Invoices
Pro Forma In oice processing y You can create as many pro forma in oices as you like for a sales order or a deli ery ecause the illing status in the sales order or deli ery is not updated. y Data from the pro forma in oice is not passed on to financial accounting

ProPro-forma Invoices
Sales order Deli ery illing docmt

When you deal in export, you may need to print pro forma in oices. They are used to gi e the importer or the responsi le authorities in the import country details a out forthcoming shipments. Pro forma in oices can e created on the asis of sales orders or deli eries (see the following figure).

Pro forma in oice ( )

Pro forma in oice ( )

Credit and Debit Memos

Sales order Deli ery Billing docmt

Credit memo request

Credit memo

De it memo request

De it memo

Cancellation Documents
Cancellation of Billing Documents When you cancel a illing document, you are actually creating a cancellation document. The cancellation document copies data from the reference document and transfers an offsetting entry to the accounting department. After you ha e created a cancellation document, the reference document (for example, the deli ery) can e illed again.

Integration with Accounting

Integration with Accounting consists of forwarding illing data to y Financial Accounting (FI - Accounts Receivable) y Controlling (CO) Int grati n with Financial Accounting consists of forwarding illing data in in oices, credit and de it memos to Financial Accounting. The system y posts offsetting entries to the appropriate accounts (with the help of "account assignment") illing y and makes sure that FI can recognize all documents elonging to one usiness transaction (for example, a credit memo to an in oice)

Integration with Accounting

Billing Documents Blocked for Accounting Billing documents are locked for release to the accounting department for the following reasons : y If the billing type automatically blocks the billing document when it is created y If errors occur in account assignment y If the billing document is incomplete (for example, if the customer master record of the payer has not yet been maintained by the accounting department) y If errors occur in pricing If the system locks a illing doc. from eing forwarded to the accounting dept., you must explicitly release it. By releasing it, you pass on the illing data of that illing doc. to the accounting department.

Foreign Trade Data

F o r e ig n T r a d e D a ta in th e S u p p ly C h a in

Vendor

B u s in e s s t r a n s a c t io n r e c e ip t / im p o r t

P la n t

B u s in e s s t r a n s a c t io n d is p a t c h / e x p o r t

C u s to m e r

M a t e r ia ls M a n a g e m e n t
P u rc h as e o rd e r In b o u n d d e liv e r y Goods r e c e ip t

S a le s a n d D is t r ib u t io n
O rd e r O u tb o u n d d e liv e r y Goods is s u e B illin g docum ent

In v o ic e

SAP AG 1999

Countries In ol ed
C o u n tr ie s In v o lv e d

eden

M ya n m a r

C o u n tr y o f d e p a rtu re

C o u n tr y o f d e s tin a tio n

SAP AG 1999

SD

FT-Influencing Factors
F o r e ig n T r a d e - In flu e n c in g F a c to r s
 La s / R e g u la t io n s

C o u n t r ie s

In d u s t r y s e c to rs

SAP AG 1999

SD

Sections
S e c tio n s

A)
L e g a l r e g u la t i o n s T y p e s o f lic e n s e s

C)
P ro d u c t-s p e c ific d a ta

B)
D a ta s p e c ific to th e c o u n tr y o f d e s tin a tio n

SAP AG 1999

SD

Letter of Credit
L e tte r o f C r e d it - P r o c e s s

G o o d s f lo
10 6

5 Im p o rte r 1 E p o rte r

D o c u m e n t s /V a lu e s f lo
9 2 4 7

O p e n in g bank

3 8

A d v is in g bank

SAP AG 1999

SD

Payment
T y p e s o f P a y m e n t G u a r a n te e / In te g r a tio n
T y p e s o f P a y m e n t G u a r a n te e / In te g r a tio n

E x p o r t c r e d it in s u r a n c e

P o lit ic a l r is k s

F I-O P E N

C r e d it m a n a g e m e n t

D o c u m e n ta r y p a y m e n ts

E c o n o m ic r is k s

C r e d it

P a ym e n t c a rd

C o lle c tio n (b ills o f e x c h a n g e)

e tte r o f c r e d it

T im e
H ig h r is k
SAP AG 1999

L o w r is k

SD

Thank you