SAP SD Overview

SD Function Introduction

1 Overview
2 Organization
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
Master Data: Overview Diagram
Overview

Master Data in
Sales and Distribution

Sales
SalesOrder
Order
Processing
Processing

Pre-Sales Inventory
Inventory
Pre-SalesActivities
Activities
Sourcing
Sourcing

Invoice
Shipping
Shipping

Payment
Payment

Billing
Billing

 SAP AG 1999
Data Origin in Sales Documents

Control tables

Order

Customer Sold-to party 2300

master data Ship-to party 788
Output
Customer master data master data
Item Material Quantity
Material
master data 10 1400-100 10

20 1400-200 20 Condition
master data
Customer-material 30 1400-410 15
info

Control tables
1 Overview
2 Organization
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
Organization Structure : Logistic
 Sales Area

 A sales area is the combination of:

 Sales organization
 Distribution channel
 Division (product-related)

 The sales area is used for reporting and pricing.

Sales Organization Sales Org 1 Sales Org 2

Distribution Distribution Distribution

Distribution Channel Channel 1 Channel 2 Channel 1

Division Division 1 Division 2 Division 1 Division 1 Division 2

 Internal Organization

Client

Sales North South

Office

Sales 001 002 003 004 005

Group

Sales Miller White Carter Smith Brown Douglas Fisher

Person
1 Overview
2 Organization
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
 Types of Sales Documents

Credit/Debit
Inquiry Standard Order Rush Order
Memo Req.

Quotation Cash Order

Sales Document
Type
Contract Return Order

Scheduling Third-Party Free of Charge Consignment

Agreement Order Order Order

Each type of sales document represents a different type of sales transaction

Order Type Control
 Inquiry

 A sales transaction can begin with an Inquiry.

 Customer can make Inquiry about a specific product.
 Inquiry can be created with General Description.
 Inquiry can also refer to specific materials for which the
Customer would like to receive quotations.
Using list option you can :
a) List all Inquiries
b) List all Open Inquiries
 Quotation

 You can create a Quotation with or without reference to an

Inquiry.
 If your Inquiry contains a text material you can handle it by
applying one of the following procedures :
 Enter the relevant material number in the appropriate
 inquiry items before entering the
quotation.
 a) Create a quotation with reference to the inquiry.
 b) Delete the text item and enter a new
item.
 c) Enter the reason for rejection to indicate
that the processing of text item has been
completed.
 Sales : Outline Agreements
 Outline Agreements
 Made with the Customer to deliver a certain quantity of goods or
services over a predefined period of time.
 The Sales & Distribution System supports two types of Outline
Agreements.

Outline
Agreements

Contracts Scheduling
Agreements

• Quantity Contract
• Value Contract
a. Material value contract
b. Assortment value contract
 Sales Order Creation Methods
Option

Quotation Order Order

Contract Billing

Sold-to Party : C1 Sold-to Party : C1

Item Material Item Material
Quantity Quantity
10 S0001 10 10 S0001 10
20 S0002 20 20 S0002 20
30 S0003 30 30 S0003 30
 Sales Order Characteristic

•Auto-create delivery document

Rush Order
•Auto-create release to accounting

Free of Charge •Price is not relevant for sales order item

Order

•For customer return goods used purpose

Return Order

Credit/Debit •Not-relevant for delivery

Memo Req.
 Third-Party Order Processing

Customer
Sales Order

Company Invoice
Delivery

Purchase Order
Vendor
Vendor Invoice

 In Third-Party Order Processing, you accept a Sales Order from a

Customer, but you arrange for the Goods to be delivered by another
Vendor.
 As soon as the Vendor sends you an Invoice, you can bill the Customer.
 Consignment Processing Overview
Order Order
Processing Processing

Delivery
Delivery
Processing - + Processing

Billing
Processing

Pick-up Return

Fill-up Issue

Delivery Plant Customer Storage/ Customer

Order Order
HUB Consume
Processing Special Stock: “W” Processing

Delivery Delivery
Processing + - Processing

Billing
Processing
1 Overview
2 Master Data
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
 Basic Functions of Sales Documents
Delivery scheduling

Transfer of
Availability check
requirements

Sales
Text Pricing
Document

Sales Information
Output
System

Credit
check
 Each transaction or sales document makes the system
perform certain functions.
 These functions affect how the document flows through
the COM cycle.
 Credit Limit Check

CREDIT LIMIT CHECK SALES ORDER

Customer : Motorola Order value : $500
Credit Limit : 10,000 Exceeded by : $150
Open : 9,650

 Defines And Control The Credit Limit For Customers & Credit Control
Area (CCA)
 One Credit Control Area Can Include Multiple Company Code
 You can define for each Sales Document Type whether a Credit Limit
Check should be carried out during order entry.
 System response can be :
 a Warning.
 an Error Message.
 a Warning with Blocking the Delivery.
 System checks the Credit Limit against the Open Items of the Payer
 System also could checks the Credit Limit against a Credit Group
 When / How to Carry out Credit Control Checks

Order Open Orders

Credit status: Blocked Credit control Open Deliveries
Reaction(message / block) ??

Open Orders
Delivery Risk Credit control
Credit status: Blocked Open Deliveries
Status Reaction (message / block) ??

Credit control Open Orders

Goods issue Open Deliveries

Reaction (message / block) ??

Credit exposure = Receivables + Special liabil. + Sales Value

Ps: Sales Value = Open Order + Open Delivery + Open Billing
 Availability Check(Example)
Sold-to party: K1

Item Material Requested Order

dlv. date qty
10 M1 06/01 100

Delivery Confirmed
date qty
06/01 50
06/09 40

Availability check
Wareh. Purch. order
(30 Uom reserve for 80 40
another S/O)
06/01 06/09

50 40
Confirmed Confirmed
qty qty
 Availability Check

Inward Purchase Purchase

Order Requisition
Movement Planned Production
Stock Order Order

Time

Deliveries
Sales Reservation Requirement
Requirement
Outward
Movement
 Pricing : Pricing Components
Price of a product may contain a number of components called
Condition Type.

PR00 Main price

KA00 Special offer
KA02 Discount
FR00 Freight charge
MWST Tax Pricing
Procedure
Total Product Price Sum of above

A collection of such condition Types is called a Pricing Procedure

 Pricing : Condition Master
Access Sequence Condition Master

Customer: Eric Chang

Customer & Material : M 3
Material
Sales Order Qty Rate
1 ~ 100 EA 100 TWD
Sold-to: Steven 101 ~ 200 EA 95 TWD
Material: M 3
Qty: 150
Price Date: 2001/11/21 Price List: Retail
Price List type Material : M 3
Rate & Material Qty Rate
1 ~ 100 EA 110 TWD
PR00 120 TWD 101 ~ 200 EA 100 TWD
MWST 5%
: :
: : Material : M 3
Material Qty Rate
1 ~ 100 EA 130 TWD
101 ~ 200 EA 120 TWD

• Time period
• Scale base
 Output and Printing

EDI

Printout
Document
quotations
order confirmations
delivery notes
picking lists Mail
loading lists
Telex packing lists
invoices
credit and debit
memos
export document Fax

Teletext
Incompletion Logs
 Text
Master Order Delivery

Customer Sold-to Party : C1 Sold-to Party : C1

Sales Texts Sales Texts

ItemMaterial ItemMaterial
10 M1 10 M1

Material Note on Material Note on Material

Billing
Sold-to Party : C1
Sales Texts

ItemMaterial
10 M1

Note on Material
 Partner Procedure & Function

Customer HEADER
-Sold-to Party
-Ship-to Party
-Bill-to party ITEM 1 Ship-to
Can be
-Payer different
Personnel ITEM 2 Ship-to Party
-Salesman
-Credit Rep
Vendor
Carrier

 You can define which partner functions are allowed or mandatory

in the order Header and in the items.
 You can change the address of the partners.
 You can process one-time customer transactions.
 Item Proposal

Item Proposal Master Customer Master Sales Order

# 50102 # ABC # 6267
Material Qty Sales Org. Data Sold-to : ABC
Uom :
: Material Qty Uom
M-100 100 EA : ---------- ------ ------
M-200 300 PC item proposal : #50102 M-100 100 EA
M-500 120 EA : M-200 300 PC
: : : : M-500 120 EA
: : :
Cross Selling
1 Overview
2 Master Data
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
Shipping Point
 Shipping Point Determination

 Shipping Point is defined for each order item.

 A Delivery is always processed by one Shipping Point. You
cannot change the Shipping Point in the Delivery.
 When an order is processed, System copies only the order item
which are defined for this Shipping Point.

S.C

Shipping Loading Group Plant Shipping Point

Condition
 Delivery

Shipping point Warehouse

Order/ Maayy
M
Stock 4 5 6
7
1 2 3 1 3 14
transport 8 9 10
11 12
1
9 2 0 2
order 7 18 1
15 16 1 6 2 7 28
24 25 2
22 23
0 31
29 3

Ÿ Monitoring deadlines Ÿ Picking

Ÿ Checking availability
Ÿ Creating deliveries

..........................
..........................
..........................
..........................
..........................
..........................
..........................
..........................
. . . ...........................
...
.... ...
.... ...
.... . . .. . . . ...
.... ...

Ÿ Packing ŸTransportation Ÿ Printing and sending Ÿ Goods issue

shipping docs
 Creating Deliveries

Sales Order 1 Sales Order 2 Sales Order 3

Customer 1 Customer 1 Customer 2

Shipping point
Due date
Customer

Delivery Delivery

 The delivery is used to initiate all activities relevant to shipping, such

as picking, packing, and transportation.
 A delivery is created for a shipping point for an order that is due for
delivery. The system copies the relevant data from the order.

 SAP AG
 Delivery Agreements

Delivery Agreements are stored in the Customer Master.

Possible methods of creating Deliveries :

Complete Delivery Sales Order Delivery

Partial Delivery Sales Order Delivery

Order Combination Sales Order/Order Delivery

 Picking

Picking

without with
MM - WM MM - WM

Print Picking Picking from Picking using

Picking List "On Request" Fixed Bin Transfer
Location Orders
 Packing

Delivery C1

Pallet 1
C2

Container 1
C3
Pallet 2
C4

 Within a Delivery, Shipping Units can be packed in further Shipping

Materials, thereby forming new Shipping Units. You can use as
many levels as you require.
 Effects of Goods Issue Posting

 Goods issue:
KMT
 Reduces warehouse stock
A

Delivery
Text
 Posts the value change to the
stock accounts in inventory
A A

Goods issue

C1
accounting
M1 100 PC
Sales price 25 USD  Reduces delivery requirements
Cost price 12 USD
 Updates the document flow for
Req. Material M1 sales and delivery documents
Valuated
stock
 Creates a work list for billing
Quotation Factory Overhead Stock
Auftrag of Production
Sls.order
Auftrag

X X
! Billing
due list
Shipments in Logistics Execution
1 Overview
2 Master Data
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
 Creating Invoices

Delivery 1 Delivery 2 Delivery 3

Customer 1 Customer 1 Customer 2

Customer
Billing due date
Receiving country

Invoice Invoice

Invoices can be grouped using selection criteria, such as customer,

billing due date, and receiving country.

SAP AG
 The Billing Process

Sales Shipping Billing Accounting

Order Delivery Invoice $100

$100

Order Invoice $100

$100

Credit memo Credit memo $10

request $10

Order Delivery Invoice

Profoma Profoma Cancellation $100

Invoice Invoice invoice $100

SAP AG
 Billing Methods
Delivery A
(or)
Service Order 1
Invoice A Individual

Delivery B
(or)
Service Order 2

Invoice B Collective
Delivery C
(or)
Service Order 3

Invoice C
Delivery D
(or)
Service Order 4
Split
Invoice D
 Posting to Financial Accounting

Automatic
Invoice
Posting
Accounting

Invoice with
Release
posting Block

 You can configure the system to post automatically.

 If a posting block is set, then you have to clear the block before
releasing to accounting.
 What Happens When You Create A Billing Document ?

Accounts
Billing
document Receivable

Customer
credit
account

Sales Information
Profitability Analysis System

Delivery

Order
Business Process Flow(Document Flow) in SAP

Order Delivery Invoice Payment

Document flow of a sales order

Order 900
. Delivery 80000459
. . Picking request 17951109
. . GD goods issue: delvy 49001828
. . Invoice 90000333
. . . Accounting document 100000276

 Sales documents represent transactions in the system.

 The transactions form a chain of related documents.
 The entire chain of documents creates a document flow.
 The system copies data from one document into another to reduce
data entry and make problem resolution easier.

SAP AG
1 Overview
2 Master Data
3 Sales
4 Basic Function
5 Shipping
6 Billing
7 Sales Information System
8
 Functions of SIS
The Logistics Data Warehouse in the SAP System

Online
OLAP Analytical
Business Processing
Intelligence

Quantity

Time

DATA Info Structures

WARE- S001
HOUSE S012
S039

S...

OLTP LIS Updating

Online
Transaction
Processing

SAP R/3 SAP R/2

 SAP AG 1999