Sales Process:

Automating the Sales Process

SAP Business One Version 9.3

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Objectives

At the end of this topic, you will be able to:

 Discuss ways to automate the sales process
 Explain how availability checking works in the sales process
 List the functions of the Pick Pack and Production Manager
 Describe the advantages of using the Document Generation Wizard

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Business Scenario

 The company sets customer satisfaction as top priority. Therefore, they have
chosen to automate steps in the sales process.
 Automatic availability checks are performed in the sales order to ensure that
sufficient quantities are available to fulfill customer orders in a timely manner.
 If a product is unavailable in the local warehouse, they use the options available
to ship that item or another acceptable item as quickly as possible. For high
priority sales orders, they may reschedule deliveries.
 The company uses the Pick Pack and Production Manager to automate the
process of picking and delivering items in a timely manner.
 Invoicing is automated using the document generation wizard.

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Automating the Sales Process

Sales Order Picking Packing Delivery A\R Invoice

 Availability checking
 Picking using pick lists
 Packing

Availability Check  Generating delivery documents

 Generating A/R invoices

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How Automation Makes Sales Process Efficient

Sales Order Picking Packing Delivery A\R Invoice

 An automatic availability check occurs for sales orders.

 Available quantity is committed in inventory.
 Warehouse personnel use the Pick Pack and Production Manager to create
pick lists for sales orders due for delivery.
Availability Check  Pickers pick the items and enter the picked quantities into the system.
 Pickers pack the items and delivery documents are generated.
 The delivery posts the reduction in inventory and reduces committed quantity.
 A/R invoices are generated in batches via the Document Generation Wizard.

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Purpose of Item Availability Check

Availability
Sales Order
Check

 The item availability check determines if the item is available:

 With a sufficient quantity
 In a particular warehouse
 On the required delivery date for the customer

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Calculating Availability

Availability
Sales Order
Check

How is availability calculated?

Available Quantity = In Stock - Committed + Ordered

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Inventory Data in the Item Master

# Whse Code WH Name In Stock Committed Ordered Available

1 01 General Warehouse 688 38 100 750
2 02 East Coast 40 10 10 40
3 03 West Coast 40 40
4 04 Drop Ship
5

768 48 110 830

Available Quantity = In Stock - Committed + Ordered

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Two Options for Availability Checking

1) Standard Availability Check 2) Advanced Availability-to-Promise

Automatically checks for row quantities in sales

Provides additional functionality to:
documents
 Create confirmed schedule lines
If insufficient quantities, gives options to:
 View delivery schedule details
 switch warehouses,
 Reschedule deliveries for multiple documents
 choose alternative items,
 Only available with SAP HANA
 change quantities, or
 view a report with multiple warehouses

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Business Example – Availability Check

Sales
Delivery A\R Invoice
Order

 A VIP customer orders 7 scanners, only 5 are available in the

main warehouse
 A pop-up window opens showing the full quantity cannot be
confirmed
 The sales person has several possible actions to fulfill the
customer requirements
Availability Check

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Option 1: Standard Availability Check

Availability
Sales Order
Check

Sales Order

Item No. Description Quantity WH

SC7701 … 7 01

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Option 1: Standard Availability Check

Availability Item Availability Check

Sales Order
Check
Item No. A1000
Warehouse 01
Quantity Ordered 7
Requested Due Date 05.06.2018
Sales Order Available Quantity 5
Earliest Available 06.06.2018
Item No. Description Quantity WH
Select Action:
SC7701 … 7 01
 Continue
 Change To Available Quantity
 Display Available-to-Promise Report

 Display Quantities in Other Warehouses

If Sales Order Quantity > Quantity Available  Display Alternative Items
 Delete Row
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Availability to Promise Report

Item No. SC7701

Warehouse General Warehouse

# Document Customer/Vendor Order Date Delivery Date Ordered Committed Available

1 PO 390 CTI Corp 04.06.2018 06.06.2018 87 92

2 OR 343 Yogi Yoga 06.06.2018 08.06.2018 25 67

3 PO 396 Acme Associates 06.06.2018 08.06.2018 40 107

4 OR 359 Microchips 07.06.2018 10.06.2018 12 95

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 Settings for Standard Available Check

Administration  System Initialization  Document Settings

Document Settings: Per Document tab

Document Sales Order

Activate Automatic Availability Check

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Option 2: Advanced Availability-to-Promise (ATP)

 Delivery schedule details for different types of demand documents

 Confirmed quantities for the delivery dates
 Checking rules can be configured differently for items or item groups
 ATP check is performed for demand documents such as:
 Sales orders
 A/R reserve invoices
 Inventory transfer requests
 Purchase orders (with negative quantity)
 A/P reserve invoices (with negative quantity)
 Production orders
 Checking rules can be configured differently for items or item groups

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Advanced ATP Check Process

 Input = Item + warehouse + required qty + required date

 Available quantity = in stock + planned receipts – existing required/
confirmed quantity – temporary assigned quantity

Delivery Strategies:
Delivery Proposal
splits delivery to match available
quantities, allows multiple deliveries.
One Time Delivery
only delivers items that can be sent
on time
Complete Delivery
no delivery until complete quantity
can be sent

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Check ATP without a document

Enter item
Open the
ATP Check window
from the icon
Enter quantity

View when the full

quantity is
available in time
line

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Settings for Advanced ATP

Document Settings: General

X Enable Advanced Available to Promise

ATP Checking Rules - Setup

Checking rules can be assigned to:

 Item Groups, or
 Item (Planning Data tab)

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Delivery Rescheduling Tool

Open Delivery
Rescheduling
from the icon Expand the sales orders to view
details on quantity to be delivered
and dates.

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Delivery Rescheduling - Move Quantities Between Orders

Click on the bar to change

quantity. The blue bar turns gold
and a slider button appears.

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Delivery Rescheduling – Confirm changes

The quantity moves from the one sales order to the other. If you like
the result you can confirm the change.

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Automating Process Steps – Pick and Pack

Sales Order Picking Packing Delivery A\R Invoice

The Pick Pack and Production Manager allows you to

more efficiently manage the warehouse processes of
picking, packing and delivery.

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Advantages of the Pick Pack and Production Manager

Sales Order Picking Packing Delivery A\R Invoice

 View multiple sales order rows

 Group items to be picked into pick lists for maximum efficiency.
 Packing for deliveries can be done centrally.
 Deliveries can be generated for all the picked and packed items.

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Create Pick List

Open a drawer to view a screen with open items, Picking

released items (on pick lists) or picked Items

Open drawer displays rows from multiple sales orders.

You can choose items to release to pick lists and print the lists for pickers.

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Pick List Generation Wizard

Pick List Generation Wizard gives you options for how to split your pick lists for optimal picking.

 By business partner
 By document type
 By document
 By item group
 By warehouse

Picking

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Pick, Pack and Create Delivery

Pickers:
Picking Packing Delivery
 Use a printout of the pick list to find items
 Prepare shipments in the packing area
 Update the pick list with quantities picked
 Generate deliveries from the pick list

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Automating Process Steps – Document Generation Wizard

Sales Order Picking Packing Delivery A\R Invoice

 A company will typically generate a number of invoices at one time in a batch.

 Document Generation Wizard is a tool to run a batch of documents at one time.

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Document Generation Wizard

Deliveries for a customer

Invoices need to
be produced

The wizard gathers rows from base

documents and creates target documents Optionally consolidate invoices for a
based on parameters you define. single customer into one invoice

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Business Example: Generating invoices

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Summary

Here are some key points:

 An automatic availability check is done for sales orders. A window appears
when the row quantity of an item exceeds available quantity.
 Available quantity is equal to the in stock quantity plus the order quantity
minus the committed quantity. Committed quantity is increased by sales
orders. Both committed and in stock quantities reduce at delivery.
 There are two options for availability checking: standard availability check or
advanced ATP. Advanced ATP is only available on the SAP HANA database.
 Advanced ATP confirms quantities, creates delivery schedule detail lines and
allows delivery rescheduling for demand documents.
 Pick Pack and Production Manager coordinates picking activities and can
automate delivery creation.
 The Document Generation wizard does batch processing of sales
documents.

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