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Standardization of Material and Service Data in SAP

Standardization-of-Material-and-Service-Data-in-SAP

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kuldeep9995
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18 views8 pages

Standardization of Material and Service Data in SAP

Standardization-of-Material-and-Service-Data-in-SAP

Uploaded by

kuldeep9995
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Sta dardizatio of

Material a d Service Data


i SAP
Standardizing material and service data within your SAP system is
crucial for maintaining data accuracy and consistency. By implementing
a standardized approach, you can eliminate duplicate entries, ensure
accurate pricing, and improve overall project management efficiency.

by Kuldeep Malwal
Bu i e I pact of t e I ue
Curre t State Sta dardized State
Without standardized material and service data, A standardized approach eliminates duplication and
duplicate entries and inconsistent information are ensures consistent data, leading to improved accuracy
common, leading to a lack of control and accuracy. and efficiency in project management.
Objective of
Sta dardizatio
Accurate Data E try
Mandate material and service input during project creation. This
ensures complete and accurate data for every project.

Eli i ate Duplicatio


Implement a central repository for standardized codes and
descriptions. This prevents multiple entries for the same items.

Sta dardized Prici g


Establish a consistent pricing structure for materials and services.
This ensures accurate cost estimations and project budgeting.
Data A aly i a d I ve tory Review
I ve tory Gap A aly i
Conduct a comprehensive inventory of materials Compare the current data with industry standards
and services. Identify duplicate entries and and best practices. Identify any gaps or
inconsistent information. discrepancies that need to be addressed.

1 2 3

Data A aly i
Analyze historical pricing data to identify outdated
entries. Review usage patterns and determine the
most frequently used materials.
Code a d De criptio
Sta dardizatio

Na i g Co ve tio
Develop a clear and consistent naming convention for materials and
services. Use a descriptive system that is easy to understand and follow.
For example, consider using prefixes or codes to identify specific
categories or types of materials.

Sta dardized Code


Establish a standardized set of codes for each material and service.
These codes should be unique and consistent across the system.
Consider using alphanumeric codes or a combination of codes and
abbreviations.

Detailed De criptio
Provide detailed descriptions for each material and service. The
descriptions should be accurate, concise, and include relevant
information such as the material's properties, specifications, and any
other important details.
Price Sta dardizatio

1
Market Tre d
Analyze market prices for similar materials and services. Monitor
industry benchmarks and trends to ensure competitive pricing.

2
Supplier Agree e t
Review existing supplier agreements and negotiate favorable rates for
standardized materials. Ensure alignment with purchasing policies.

3
I ter al Co t
Consider internal costs related to material sourcing, storage, and
handling. Factor in labor costs and overhead expenses.
Sy te I ple e tatio a d Trai i g
I tegratio
1 Integrate standardized codes and prices into the SAP system. Ensure seamless data
transfer between modules and systems.

U er Trai i g
2 Develop comprehensive training materials for all users. Provide hands-
on training sessions on data input and system usage.

C a ge Ma age e t
Implement procedures for managing changes to the
3
standardized data. Establish a clear approval process
and communication channels.
Reco e datio a d Actio Pla

Prioritize Hig -Volu e Ite


1

2 Regular Audit

Dedicated Tea
3
Maintain data accuracy and consistency.

Prioritize the standardization of high-volume materials and services. This ensures the greatest impact on data
accuracy and consistency across projects. Regular audits ensure continued adherence to the established
standards.

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