Prabhu Shankar C SAP SCM Consultant

Company Code : It is an independent Legal Entity responsible for the profit/loss statement of the organization
Sales Organization : Distributing Goods and Services, Negotiating Sales Condition, product liability and right of recourse.
Dist.Channel : Is a means through which sales materials reach the customer, Achieve flexible pricing, differentiate sales statistics.
Division : Individual product lines are separated using Division.
Plant : Delivering plant is from where the materials and services are distributed and corresponds to a dist center.
Shipping Point : Where the shipping activities are controlled, Each outbound delivery is processed by one Shipping point.
Shipping point can be assigned to Plants of different company codes

Delivering Plant Determination
CMIR
Customer Master - Ship to Party
Material master

Shipping point Determination
Delivering Plant
Shipping Condition- Sold to party
Loading Group-Material master
Customizing in Sales document type
Route Determination
Departure Zone of Shipping Point
Transportation Group - Mat. Master
Shipping condition Sold to Party
Transportation zone of Ship to Party
Item Category Determination
Sales Document Type
Item category group
Usage
Higher Level Item Category
Schedule Line Category Determination
MRP Type from material master
Item Category
Or
NO MRP Type
Item Category
Account Determination
Sales Organization
Chart of Accounts
Material A/c Assignment Group
Payer A/c Assignment Group
Account Key
Picking/Storage. Location
Determination
MALA RULE

Shipping Point
Delivering Plant
Storage Condition

Door & Staging Area Determination
(Header)
Storage Location of Ship to Party
Route Schedule

Staging Area Determination (Item
level)
Storage Location of Ship to Party
Route Schedule
Storage Condition
Tax Determination
Departure country
Destination Country
Material Liable for Tax
Customer liable for Tax
Pricing Procedure Determination
Sales Area
Customer Pricing Procedure
Document Pricing Procedure
Business Area Determination
Plant and Item Division
Sales Area
Sales Org/Dist Channel/Item Division
Prerequisite for Rebates
Sales Organization
Billing Type
Payer
Route Schedule consist of
Departure Date and time
Ship to Parties
Route
Itinerary (Option)
Source of Data to Sales Order
Master Data
Existing Document
Customizing
Hard Coded Data
Output Type Dependency
Transmission Medium
Time
Language
Partner Function
Effects of PGI
Updates the Quantities in Inventory management
Updates Value Change in Balance sheet for inventory accounting
Billing due list will be generated/updated
Generates additional accounting document
Update the status of Sales relevant documents
Effects of Billing
Debit posting in customer receivable account
Credit Posting in Revenue account
SIS updated
Customer Credit is revised
Status is updated in all sales relevant document
Availability Check Dates & Times
Dates :Order Date, Mat Availability Date,
Transportation Planning Date, Loading
Date, PGI Date and Delivery Date
Backward : Req. Delv. date
Forward : Conf. Delv. date
Times : Pick pack time, Transportation
lead time, Loading time, transit time.

Salient Feature of Cash Sale
Sales Document Type CS
Delivery doc type CS
Order Related Billing
Immediate Delivery is created
automatically (X)
Invoice printed while delivery using
RD03
No invoice printed while billing
Revenue posting in petty cash
account(EVV is the a/c key)

Salient Feature of Rush Order
Sales Document Type RO
Delivery doc type DF
Delivery Related Billing
Immediate Delivery is created
automatically(X)
Picking and PGI done later after physical
movement of material from stores.

Consignment Processing Fill up
Order, Delivery, Picking, PGI and NO Billing
Plant Valuated Stock will not reduce . Stock will be maintained
in special stock
Document type : CF ,
Movement Type : 631
Item Cat : KBN
Consignment Processing Issue
Order, Delivery, PGI and Billing
Plant valuated Stock reduces.
Document type : CI ,
Movement Type : 633
Item Cat : KEN
Consignment Processing Pickup
Order, Inbound Delivery, and PGR
Document type : CP
Movement Type : 632
Item Cat : KAN
Consignment Processing Returns
Order, Inbound Delivery, ,PGR and Billing
Increases the special stock
Document type : CONR
Movement Type : 634 Item Cat : KRN
Prabhu Shankar C SAP SCM Consultant



Business Data from Sold to Party
Pricing
Incoterms
Shipping conditions


Business Data from Bill to Party
Billing Address
Business Data from Ship to Party
Goods receiving hours
Ship to Address
Tax


Business Data from Payer
Terms of Payment
Credit limit Check
Cancelling PGI The Goods issue posting in reset.
Reverse the inventory posting based on cancelled
quantities and values with reversed +/- sign.
The cancellation document created during
cancellation is entered in the document flow for the
outbound delivery.
The goods movement status is reset to Not Yet
Started
The delivery requirement recreated.
Incase if it is billed, then first bill to be canceled and
then PGI
Sales Document Function

Default Values
Mandatory Fields
Enhancement to Contracts
Number Range
Checks

Item Category Controls

Billing , BOM
Completion Rule
Delivery relevance
Pricing
Schedule line allowed
Separate Business Data
Delivery Doc Type Function

Number , Output, Text Partners
Route Redetermination
Relevance for Transportation
Reference to Order
Delivery split based on Warehouse No.
Delivery Item Cat Controls

Minimum Delivery qty ,Over Delivery
Qty
Batch Determination
Packing , Availability Check
Relevance for Picking , Text
Picking Location determination
Schedule Line Function

Goods Movement
Delivery relevance
Purchasing
Availability Check
Requirement Transfer
Billing Doc Type Controls

Text ,Output ,Partner
Special Interface with FI
Posting Block , Invoice list
Number range , Cancellation of Invoice
Account Determination , Rebates

Free Goods : Referred from Free Goods Master
record.
Inclusive: Same Material, Same Unit. Not included in
invoice. Customer orders for 5 eggs , charge him only for
4 eggs. 4eggs Item cat - TAN , 1egg item cat TANN

Exclusive : Not necessarily Same Material and unit .Not
typically included in invoice. Customer orders for 5 eggs,
charge him for 5 eggs and give one duck free.
5eggs item cat- TAN , 1 Duck item cat TANN
Free Goods Calculation Rule

Prorated : Free goods is given on
prorate basis
Unit-Related : Only within the range the
Free goods is given
Whole Unit : Exact quantity to match to
avail free goods

Free Goods Transferring to
COPA
1. Revenue from Free Goods is
Cumulated.
2.Revenue from Free goods is
shown and discounted 100%.
3.Cost of Free goods is added to
main items cost.

BOM
Item Cat group : ERLA ; MI cat : TAQ, SI Cat : TAE
Main item priced , Subitems not priced.

BOM
Item Cat group : LUMF ; MI cat : TAP, SI Cat : TAN
Main item not priced , Subitems priced.

Copy Controls : Data Transfer Routines, Switches, Copying requirements. Maintained at Item Level & Header Level
Item Level Completion Rule A : Gives Completed Status at first reference itself.
Item Level Completion Rule B : Gives Completed Status only full qty is referred, otherwise gives status as Partially referred.
Scheduling Agreements
Contains Fixed Delivery date and Quantities valid for certain
period of time
Directly create Delivery from Scheduling agreement
Every time the system adds up the total qty ordered so that the
targeted qty or agreed qty is not exceeded.
Periodic invoicing is possible if customer needs so

Contracts
Agreement with customer for certain period of time, contains NO
schd. line, delv qty or delv dates.
Customer fulfills the contract with individual release Order.
The release order is processed like standard order. Prices are
copied from contracts. List of Valid material for the specific
contract can be maintained. We can define a validity period for
each material.
Quantity Contract : Total qty of items are defined in contract
and customer can give any number release order till the defined
quantity is reached.
Value Contract : Total Value is Defined in contract and
customer can give any number release order till the defined value
is reached.
Doc type :WK1 : General Value Contract for different materials
and services. Item Cat WKN.
Doc type :WK2 : Material related Value Contract for exactly
one material. Item Cat WKC.
Billing can be either order or delivery related Billing
Several partners may be authorized to release against the
contract. Partners authorized to release are only checked at
header level.

Determining Dates in Contract
Rules for Determining start and end of the contract
Duration Category
Subsequent activities
Cancellation Procedure



Prabhu Shankar C SAP SCM Consultant




Pricing Conditions : Pricing, Discounts/Surcharge, Freight & Tax Condition Record: Maintains discounts, Validity date and
manual changes limit
Condition Type : Defines category of condition and how it is used.
+/- need to be set to show whether surcharge or discount.
Pricing Procedure : Condition types permitted are contained
in Pricing procedure in sequence .
Access Sequence: Its a search strategy defined for each condition
type. Header and Manual condition are exception.
Excluding Condition: A condition can be linked to
requirements and excluded a condition type if exclusion
indicator is set.
Header Condition : They are entered at the document header and
are valid for all items . Header Conditions are manually entered and
does not have Acc Seq.ex.RB00(Even dist) & HB00 (Proportionate)


Combine several orders into one single
outbound delivery
Shipping point, delivery due date, Ship-to
Party, Route, Incoterms.

Combining several outbound deliveries
into a group of transfer orders
Warehouse number should be the same.

Combine outbound deliveries into a
single billing document
Payer, billing due date and Destination
country should be common
Criteria for collective processing for
Goods issue
Shipping point
Selection date
Forwarding agent
Route

Billing Plans
Down payment
The 16 steps in the pricing procedure

1. Step
2. Counter
3. Condition type
4. Description
5. From
6. To
7. Manual
8. Mandatory
9. Statistics
10. Print
11. Subtotal
12. Requirement
13. Alternative calc type
14. AltCBv(alternative condition
base values)
15. Account key
16. Accruals
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Material Listing
Material Listed are the only material that a specific customer
CAN order. Maintained at master record and uses condition
technique.

Material Exclusion
Material Listed are the material that a specific customer
CANNOT order. Maintained at master record and uses condition
technique.
Precise Scheduling in Shipping point uses times in hours/min

Daily Scheduling in shipping point uses Days
Transfer order includes information like
Material Number
Quantity to be Moved
Source and Destination storage bin
WM Function not included in Lean Warehouse Mgmt
Storage section, reserve storage bins, strategies for putaway and
picking, replenishment, inventory at storage bin level
Batches : Specified in Material master (Stor.1 and Purchasing)
We must Specify a batch before PGI. Delivery split incase of
material taken from two different batches .Re pricing can be
carried out at Billing incase of two different batches and two
different prices.

Serial Number : We can assign a unique Sr.No to each Material.
This allows to monitor goods movement for individual material.
Maintain sr.no. profile in Material master (Sales/Gen Plant).
Sr.No. must be specified before PGI.
Quality Management : Specified in Material Master whether
the material needs quality inspection. In outbound dely the
system automatically creates Inspection lot for the delivery items
that are relevant for inspection.
POD : Designed to support process of creating an invoice once
the customer confirms the arrival of goods. The system creates
the billing document based on the verified or customer confirmed
quantity. POD is activated at Customer Master.
Pricing in outbound dely : Shipping costs and Postage are
priced at outbound dely and transferred to Billing. Pricing can be
manual or using condition techniques. It is a header level
condition applies to all items in the delivery.
Splitting an existing dely : We can split a existing delivery into
several smaller delivery ( If no enough space in 1 truck). When
we split , we create more new dely called results and remainders.
Split profiles are assigned at delivery types.
Packing Material : Packing Materials are grouped together in
Packaging Material types ( Cartons or Containers)
Material for Packing : Materials that have similar packing are
grouped as Material grouping for Packing material.
Prabhu Shankar C SAP SCM Consultant


Prerequisite for Schedule line category
Delivery date & quantities
Requirement transfer
Inventory management

Transfer order information
Material number
Quantity to be moved
Storage and determination of storage bin.

Rebate agrmt types & Cond typ;
Material rebate (BO01)
Customer rebate (BO03)
Customer hierarchy rebate (BO04)
Material group rebate (BO02)
Independent of sales volume (BO05)
Basic Functions:
Text pricing procedure
Date management
Status management
Incompleteness check
Pricing
Account determination
Partner determination
Credit limit check
Free goods
Availability check
Message determination
Output determination
Following can be changed before an
account document is created:
billing date
pricing
account determination
output determination
Note: Only Output determination can be
changed after an accounting document is
created.