SAP Knowledgebase: Business Scenario

Showing posts with label Business Scenario. Show all posts

Wednesday, 10 December 2014

Consumable or Text procurement

Consumable procurement is common in every industry. It is getting used across of various industry sectors. This is basically meant for expenditure for specific cost element,e.g. cost centers , project ,sales order, internal order etc.

Such type of procurement can happen with or without material master. Material master may be valuated or non valuated. You need to specify an account assignment category in Purchase Requisition , Purchase order or contract.

Following are the types of an account assignment category :

K - Cost center : In this you need to specify the cost center code along with G/L account
F - Internal Order:In this you need to specify the Internal order along with G/L account
P - Project : In this you need to specify the WBS element along with G/L account
C- Sales Order : In this you need to specify the sales order along with G/L account
A - Asset : : In this you need to specify the Asset code along with G/L account
U - Unknown : This is unknown at the time of request , You can not use account assignment category 'U' in normal purchase order, It can be used only in case of Limit or Blanket order along with document type 'FO' and item category 'B'

Any consumable procurement most of the time starts with Purchase Requisition which is always getting approved by using release strategy in SAP system. Such expenses are getting approved by respective authorities. E.g If HR departments want to hire services for AMS ( Annual Maintenance Services ) from air conditioner service provider in that case requisition-er from dept creates a Purchase Requisition by using account assignment category 'K-Cost Center ' which is getting approved by dept head --> GM --> VP etc at various level.

Approved Purchase Requisition is getting forwarded to procurement dept for further processing. Buyer from procurement dept converts it either in RFQ, Contract or directly to Purchase Order. While converting into subsequent transaction, buyer adopts or copy purchase requisition into subsequent transactions as mentioned above. Being layout of Purchase requisition and subsequent transaction is same , it can be adopted or copied easily in these transactions.

Sunday, 9 November 2014

Procure to Pay Cycle (P2P) by CBP Run

SAP P2P process by using outline agreement

Saturday, 8 November 2014

Procure to Pay Cycle -Manual PR

Saturday, 19 July 2014

Standard Vendor consignment process in SAP

Standard Vendor consignment process in SAP

Overview

In consignment processing, the vendor provides materials and stores them on your premises. The vendor remains the legal owner of the material until you withdraw materials from the consignment stores. Only then does the vendor require payment. The invoice is due at set periods of time, for example, monthly. In addition, you can also arrange with the vendor that you take over ownership of the remaining consignment material after a certain period of time.

Features

The consignment stock is managed under the same number as your own stock. Consignment stock can, therefore, be transferred to the available stock.

You can define consignment prices in foreign currency. The currency in which the order is placed with the vendor applies for consignment withdrawals.
You can determine period-specific consignment prices.
You can specify the consignment price in any unit of measure. The conversion factor is stored in the info record. (For information on consignment info records, refer to Pricing for Consignment Stocks.)
Using consignment info records, you can make use of other condition functions used in Purchasing, such as discounts and price quantity scales.
Consignment stocks of the same material from different vendors can be managed independently from one another and at the price of the individual vendors.

Vendor consignment cycle consist of:

Issue of Purchase Order => Goods Delivery of goods => Goods Receipt in consignment stock=>Withdrawals from consignment stock=> Liability towards vendor =>Settlement of consignment liability =>Receipt of Credit memo of withdrawal quantity.

Purchasing :

Purchase Order is created with item category “ K”
Purchase Order uses normal Material Master with special procurement key “ K ” if a material is always procured for consignment stores of a plant. You have opportunity to use special procurement key “ K ”. System will generate Purchase Requisition with item category “K” after every MRP run.
Consignment purchasing info Record.
Price is not mentioned in the PO. Conditions can not be maintained in Purchase Order ( this Tab is not available in Purchase Order ) . It will be taken directly from Purchasing Info Record.
Material number is mandatory.
Item category “ K “ can be used in outline agreement and Purchase Requisition

Goods Receipt:

Is made in consignment storage location.
It is non-valuated and Vendor is owner for the same.
Movement Type used is 101+K- automatically
Stocks available Un Restricted Use Stock, Quality Inspection, and Blocked stocks. Available for MRP.
You can display consignment stock by using transaction MB54.
During Goods Receipt only material document is getting generated. No accounting document generated as goods receipt is non-valuated.
Goods Receipt can be done with and w/o ref to Purchase Order .

Withdrawal or Goods Issue

A material withdrawn from consignment stock is valuated at price mentioned in consignment info record. Use Movement 411+K. Only Un Restricted Use Stock to Un Restricted Use Stock transfer posting allowed. Withdrawal for samples and scrapping using special stock indictor “ K “
Goods issue is using to cost center using movement with special stock indicator “K” e.g. Goods Issue to cost center 201+K.
During the withdrawal or Goods Issue own stock is debited. No Goods Receipt/IR posting done.
During goods issue or transfer posting to own stock an accounting document is getting generated along with material document.
Transfer posting from stock to stock : NO FI posting done. Use special stock indicator for posting . e.g. 301+K.

Settlement of liabilities.

Withdrawal of material from consignment stores or transferring material to your company’s own stock results in liabilities towards the vendor. You should settle these liabilities at regular intervals by using Transaction MRKO
A possible criteria includes Company, plant, vendor, material doc date and posting date of withdrawal.
Consignment materials are settled without the vendor issuing an invoice, as the vendor company is unable to track withdrawals directly. The vendor can only manage its consignment stock by taking deliveries and payments into account. During statement price is used from consignment info record.
During the settlement vendor liability account is getting credited.
Vendor informed about settled withdrawals and credit memo amount. The system creates message type KONS in addition to settlement document.

Transfer Posting allowed are

Stock to Stock Transfer.
Storage Location to Storage Location.
Plant to Plant stock transfers.
Also you can post w/o ref to Purchase Order ( 501+K,503+K,505+K )
Initial entry (561+K,563+K, 565+K )

Saturday, 28 June 2014

Various Business Scenario and its applicability in various SAP component and transactions.

Hi ,

Herewith, I am posting the various business scenario and its implementation in SAP. Various important information need to be kept in mind to map these business scenarios.

This will help you to enhance your skills in SAP implementation.

Sr.No

Business Scenario

Transaction Code

Standard Procurement ( Valuated ) - Manual

Standard Procurement ( Valuated ) - Automated

Local Procurement ( Valuated )

Import Procurement ( Valuated )

Local Service Procurement

Import Service Procurement

Local Consumable Procurement (without Material Master)

Local Consumable Procurement (With Non Valuated Material Master)

Consumable Procurement (With Valauated Material Master)

Local Asset Procurement

Local Vendor consignment Procurement

Local Subcontractting Procurement

Local Procurement with split valuation

Local Stock procurement with batch management

Local Procurement with shelf life materials

Local Stock procurement with batch management =Split Valution Type

Local Procurement with Acknowledgement

Local Procurement with inbound delivery

Item Category

N/A

Standard [ ]

Account Assignment Category

N/A

K
P
Q
F
S

K -Cost centre
P - Project
Q - Consumption
F -
S -

A-Asset

Optional

Split Valuation

N/A

Optional

N/A

Mandatory

Optional

N/A

Mandatory

N/A

Batch Management

N/A

Optional

N/A

Optional

Mandatory

N/A

Optional

N/A

Pricing Procedure

N/A

Local/Import

Local

Import

Local

Import

Local

Master Data

6.1

Material Masters

MM01

Mandatory

N/A

Optional

Mandatory

Optional

Mandatory

6.2

Vendor Master

XK01

Mandatory

6.3

Service Master

AC03

N/A

Mandatory

N/A

6.4

Purchasing Info Record

ME11

Optional

N/A

Optional

N/A

Mandatory

Optional

6.5

Source list

ME01

Optional

Mandatory

Optional

6.6

Bill Of Material

CS01

N/A

Mandatory

N/A

6.7

Customer Master

XD01

N/A

Process Steps

7.01

CBP : Consumable based planning (MRP-Material requirement planning)

MD01/MD03

N/A

Mandatory

N/A

Optional

N/A

Optional

7.02

PR - Manual

ME51N

Optional

N/A

Optional

7.03

PR - Auto

MD01/MD03

N/A

Mandatory

N/A

7.04

RFQ

ME41

Optional

7.05

Quoatation Maintenance

ME47

Optional

7.06

Quoatation Comparision

ME49

Optional

7.07

Contract

ME31K

Optional

7.08

ME21N

Mandatory

Optional

Mandatory

7.09

Convert PR to PO

ME59

N/A

Mandatory

N/A

7.10

Import Duty Payment (MIRO)

N/A

Mandatory

N/A

7.11

Goods Issue

MIGO

7.12

Goods Receipt

MIGO

Mandatory

N/A

Mandatory ( No Storage location )

Mandatory

7.13

Service entry sheet

ML81N

N/A

Mandatory

N/A

7.14

Invoice Receipt

MIRO

Mandatory

Mandatory (Material Supplier , freight charges,clearing agent,Octroi )

Mandatory

7.15

ERS

MRRL

N/A

Optional

N/A

7.16

Vendor Liability Settelment

MRKO

N/A

Mandatory

N/A

7.17

Vendor Payment

FBL1N

Mandatory

7.18

Inbound delivery

VL31N

N/A

Mandatory

7.19

Outbound delivery

Vl10D/VL10B

N/A

7.20

Delivery Chalan

VL02N

N/A

7.21

Sales invoice

VF01

N/A