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SAP – Sales and Distribution Module - Lesson 2

SAP – Sales and Distribution Module - Lesson 2

Assignment

Once all Sales and Distribution organizational elements are defined as in Lesson 1, necessary assignments are required for SD processing and integration aspects with Finance and Materials management.

Integration with Other Modules

  • Assigning of sales organization to company code (Integration with FI). In Business, all sales transactions need to be posted in Finance, therefore it is necessary that sales organization should be assigned to company code, which is the legal entity.
  • Assigning of plant to Sales Organization and Distribution Channel (Integration with MM). For delivery of material from a plant, that plant has to be assigned to the sales organization and distribution channel in which order is created.

    Example - If for all orders of distribution channel, “Direct Sales” should be delivered through factory then it must be assigned to the combination of the Sales Organization and Distribution Channel, “Direct Sales”, otherwise system will not allow delivery from the factory plant.

2.1 Assign Sales Organization to Company Code

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution –> Assign sales organization to company code

Assign Sales Organization to Company Code

Click clip_image002

Assign Sales organization to company code

Assign Sales Organization to Company Code

This assignment is important for integration with finance. One sales organization is assigned to one company code.

Perform the following steps to do assignment:

a. Click on sales organization

b. Click Select/Deselect

c. Click on company code

d. Click on Assign

2.2 Assign Distribution channel to Sales organization

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Distribution channel to Sales organization

Click clip_image004

Assign Distribution channel to Sales organization

One distribution channel can be assigned to more than one sales organization.

2.3 Assign Division to Sales organization

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Distribution channel to Sales organization

Click clip_image006

Assign Distribution channel to Sales organization

Division is normally grouping of products based on certain characteristics of the product. One division can be assigned to more than one sales organization.

Above 3 configurations are required before we setup sales area.

2.4 Setup Sales Area

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Setup Sales Area

Click clip_image008

Setup Sales Area

Sales area is a combination of sales organization, distribution channel and division.

A sales document like inquiry, quotation or order is created for a sales area. Further sales processing is then done creating delivery and then billing. Billing document gets created in the same sales area

2.5 Assign Sales office to Sales area

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Sales office to Sales area

Click

Assign Sales office to Sales area

Sales office is then available for assigning in sales area data of the customer or changing manually in the sales order. One sales office can be assigned to more than one sales area.

2.6 Assign Sales group to Sales office

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Sales group to Sales office

Click

Assign Sales group to Sales office

One sales group can be assigned to more than one sales area.

2.7 Assign Sales organization to plant

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Sales organization to plant

Click clip_image012

Assign Sales organization to plant

This assignment is key assignment for allowing one of these plants to get determined in the sales order item.

Assign sales are to credit control area

Instructions

Follow Menu Path: IMG –> Enterprise structure –> Assignment –> Sales and Distribution

Assign Sales organization to plant

Click

Assign Sales organization to plant

Credit control area can be assigned here so that the credit control area data can be checked for the customer during sales order processing.

3 Enterprise structure – Logistics Execution (LE) - Definition

Delivery creation and shipping activities need configuration, which is done under Logistics execution.

Instructions Menu path:

Create shipping point

Click clip_image016

System displays the pop-up

Create shipping point

Double click “define shipping point” Select shipping point 3200 from the list

Create shipping pointequipments

Shipping point is location, which groups loading equipment's etc. for completing shipping activities. Delivery is created using shipping point.

Create shipping pointKey fields

Country – Country of the shipping point

Departure zone – Regional zone in which shipping point is located. This is used in route determination.

Factory calendar – Working day calendar for the shipping point. This is used in delivery and transportation scheduling in determination of shipping dates in the sales order.

Working times – It is defined to use shift timing and sequence to do precise scheduling in sales order.

Lead times for pick/pack and loading – The options available for determining lead times can be set here. This is explained in detail in delivery and transportation scheduling guide.

Texts – You can assign different standard texts required as on delivery related outputs. Standard texts can be defined with transaction code SO10.

Pint picking list – Picking output related default data can be defined here.

Click clip_image020 to maintain address

Create shipping point
Create shipping point

3.1 Loading point

It is a sub-division of shipping point. Its use is not mandatory. It can be maintained in delivery header.

Click clip_image023

On the next screen, enter shipping point.

Loading point

Loading point

3.2 Transportation Planning Point

It represents department, which organizes transportation planning for a shipment. It is defined under a company code. This is defined only if shipment function of Transportation module is used.

Click clip_image026clip_image026

Transportation Planning Point

Define warehouse

If warehouse management module is implemented, then it is defined.

Click clip_image028

Transportation Planning Point

Double click “define warehouse number”

It is a code. This then gets determined in delivery for picking activity as per warehouse management settings.

Transportation Planning Point

Note: Warehouse management (WM) settings are done by MM- WM expert. Configuration shown here is to make SD consultant aware about these settings.

Enterprise structure – LE - Assignment

This configuration setting enables to define Shipping point and warehouse related assignments,

Warehouse management related settings are essential where WM module is implemented.

Instructions Menu path:

Assign shipping point to plant

MM-WM expert does warehouse related assignments. Click clip_image032

Assign shipping point to plant

Example – Warehouse 320 is assigned to plant, 3200 and storage location, 0001.

Click clip_image035

Assign shipping point to plant

More than one shipping point can be assigned to one plant. One of these then is determined on the basis of shipping point determination. (This is configured in Logistics execution configuration)

 

Master Data - Define Common Distribution channel

Data related to sales and marketing, which is required for master data is defined here. To reduce effort of entering customer, material and pricing condition records for every distribution channel and division is reduced using concept of common distribution channel and division.

Instructions Menu path: IMG ® Sales and Distribution ® master data ®

Define Common Distribution channel

Define Common Distribution channels

Define Common Distribution channel

Example – sales organization,1000 and distribution channel,

01. 01 is used as common distribution channel for master data. Distribution channel 11 uses master data same as that of distribution channel 01

Define Common divisions

Define Division

Principle here same as common distribution channel SD --- Master Data --- Business partners

clip_image042

Data fields are maintained as above so that they can be used in maintaining master data. Key data is as below

  • Customer group
  • Delivery priority
  • Terms of payment
  • Inco-terms

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