Configuration

Enterprise Wide Information Systems

Configuring SAP

Objectives

 The primary objective of this discussion is to show

how the SAP R/3 Implementation Guide (IMG) can be used to aid the project team in configuring business transactions.

 For simplicity, we will keep our focus on the Order process.

 Upon completion of this topic, you should be able to:

 Describe the various implementation and configuration tools available in the SAP R/3 system.

 Anticipate how elements of the Customer Master are integrated and are used to control the SD processes.

 Use elements in the Material Master to streamline COM.

Topics

 The Implementation Guide

 Sales Orders and the Customer Master

 Customizing the Material Master

Methods for Implementing & Configuring SAP

SAP R/3 includes several tools to facilitate configuring SAP and continuing support .

 The R/3 Reference Model - describes the business

processes included in the standard R/3 system as well as the relationship among the different application modules.

 The Implementation Guide (IMG) - guides users in

matching their business requirements with the SAP standard software.

 The Procedural model - is used as a navigator to guide

you through the whole implementation and configuration process.

The Implementation Guide

 A tool that leads to a step-by-step customizing of

selected parts (modules) of the R/3 system.

 It guides the project team in matching the business

requirements with the SAP standard software.

 With the IMG project management functions...

 Consultants in charge of implementation first decide which parts of R/3 are to be customized.

 The system then automatically generates the needed

hierarchical list of the customizing steps for achieving that customization.

The Implementation Guide

 Basis configuration takes place.

 Global settings are set as default in the SAP system.

 The structure is defined to match the organization’s

business function.

 Applications are created to meet business requirements.

 Financial Accounting

 Materials Management

 Cross- application functions are developed.

 Sales and Distribution

The Enterprise IMG

 The Enterprise IMG is just a subset of the Reference IMG.

 It is where all the customizing takes place.

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SAP Reference IMG Enterprise IMG

Project IMG

Project 001 Project 002

Project 002

Additional needs, e.g. upgrade

Customizing Objects

 As a rule, you will have more than one SAP system.

 Development system

 Changes made in the development system are

transported to the test system, then to the production

system.

 Test system  Production system

Development system 1 2 1 2 3 1 2 3 4 Sales organization Sales documents Implementation guide Test system 2 3 4 Sales organization Sales documents Versions Transport Request Workbench organizer

Customizing - How to Proceed

1. Define the organizational structures in the IMG and

name the individual organizational elements.

2. Assign the organizational elements.

 Define the organizational elements

Topics

 The Implementation Guide

 Sales Orders and the Customer Master

 Customizing the Material Master

How Master Data is Integrated in SD Processing

Origins of Data in Sales Documents

 When you create a sales order, the system proposes

most of the data from the master records.

Sales order Customer master data

Material master data

. . .

Conditions

Texts

Business Partners (Partner Functions)

 Partners - someone you have a relationship with or

have to communicate with.

 Functions - each partner type has specific functions.

Sold-to party Ship-to party Bill-to party Payer Contact person Forwarding agent Employee . . . Partner Functions

Business Partners - Customer Master

 Essential business partners for a sales transaction are

the sold-to party, ship-to party, payer and bill-to party.

 They are stored in the customer master.

Sold-to party Ship-to party

Bill-to party Payer

Customer master

Customer Master - 3 Major Data Views

distribution, shipping.

 Company Code data - financial accounting data.

 General data - data assigned directly to a client so it’s

available to the other two areas.

General data

Sales data Company code data

Customer Master - Account Groups

 Account Group codes define what information will be

needed; what fields will be required.

 A payer only needs address information, etc, while a sold-to party needs an address plus delivery address, etc.

Customer : C1 Sales organization : 0001 Distribution channel : 01 Division : 01 Account group : 0001

Create sold-to party

Field selection

Number assignment One-line account: Yes/No Output proposal ACCOUNT GROUP 0001 ACCOUNT GROUP 0001 Sold-to party 0002 Ship-to party 0001

Customer Master -

Selecting Fields for Data Groups

 Using field selection, you can define for each account

group whether fields are optional or required.

 You can suppress any fields which you do not require.

Data in the customer master record

Address Communication Control data Payment transactions Sales Shipping Billing Partner usage Output

IMG for Sales

General data Company code data

Sales data

Hide Required Optional Display

Sales group Statistics group

 Account groups are already set up in the R/3 system

 Sold-to party

 Specific fields are selected for each of these account groups

 The selection of fields depends on the functionality of the

partner function needed.

Customer Master -

Selecting Fields for Data Groups

 Bill-to party  Payer  Ship-to party Account group 0001 Sold-to party Sales Shipping Billing Partner usage Account group 0002 Ship-to party Sales 1 Shipping Billing 2 - - - Account group 0003 Payer Sales 1 - - - Billing - - - Account group 0004 Bill-to party Sales 1 - - - - - - - - -

Customer Master -

Combination Rules in Field

 The combination rule with the highest priority

determines the respective field status.

Suppress Display Required Optional Suppress Suppress Suppress Suppress Suppress Display Suppress Display Display Display Required Suppress Display Required Required Optional Suppress Display Required Optional 1st priority 2nd priority 3rd priority 4th priority

Transaction fields marked as:

A cco u n t g ro u p mar ked as:

Customer Hierarchies

 Create hierarchies to reflect the structure of the customer

organization.

 Use customer hierarchies

during sales order processing and billing for determining

pricing. ACME Co Central 4711 ACME Co South 4712 ACME Co North 4713 ACME Co Northwest 4714 ACME Co Northeast 4715 Customer 2742 Unique node number

Topics

 The Implementation Guide

 Sales Orders and the Customer Master

 Customizing the Material Master

Materials - Material Types

 The material type is part of the general data on a material.

 The departments responsible for a material type determine

which views must be maintained for a specific material.

Material A Matl. type  Description  Department  Internal/External POs Account assignment Quantity/Value update Price control

Selecting Fields for Materials - Influencing Factors

 An individual control table is available for each

influencing factor shown here and corresponds to a group of fields in the material master.

Transaction Procurement indicator Material type Plant Industry sector SAP Field selection ? ……….. ………… …………

Materials - Material Status

 You can define different kinds of material status and

for each status, how the system will react when an item is created in a sales document.

Material Status Discontinued part Technical defect . . .

Quotation Standard Order

Error Warning

Product Hierarchies

 Product hierarchies are used for pricing and analysis.

 In the Standard SAP setup, they can be defined with up

to 18 characters and three levels.

1 2 3 Level 0000100001 Electrical appliances 0000100002 Compressors 00001 Tools 000010000100000001 Electric screwdrivers 000010000100000002 Electric drills 000010000200000001 Electric drills 000010000200000002 Electric drills

Customer-Material Information

 You can define customer-specific data for a material in

a customer-material information record. This may incl:

 cust.-specific matl. #  cust.-specific matl. description  etc.

Sales organization : 1000 Distribution channel : 01 Customer : C1 Material Description M1 Computer AG M2 Computer UG . . . . Customer-specific data Material Description M234 Computer 550C M598 Computer 1650B . . . . Customer-Material Information Sales order Sold-to Party: C1

Proposing Items Using Product Proposal

 Material combinations which you use frequently can be

stored in product proposals.

Product proposal : 5000002 Validity period : 01/01-12/31

Search term : SD product proposals

Item Material Qty. 10 M1 40 20 M2 50 30 M3 30

Sold-to party: C1

Item Material Qty.

Sales Order

Material or material + quantities

Bill of Materials - An Example

 By making the appropriate settings in Customizing,

you can copy the components in the bill of material to a sales order as one “item”.

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Bill of Material - Bill of Material Categories

 The bill of material category serves as a link to

different objects.

 You can create bills of material only for objects

existing in the material master.

Material BOM Equipment BOM Document BOM Material master record Material A Equipment master record Document master record Sales order

Bill of Material - Where They Are Used

 Item status controls how BOM items are processed in

related application areas:

 Production (operations)

 Construction (technical data)

 Pricing

 Sales & distribution (order quantity)

Topics

 The Implementation Guide

 Sales Orders and the Customer Master

 Customizing the Material Master

Billing Types

 The billing type controls the entire billing document.

 Billing types are dictated by the type of the reference

document. Invoice Cash sale Credit/debit memo Returns Inter-company billing Cancellations Invoice list

Pro forma invoice

Billing Types

The Billing Process

 Each billing document requires a reference document.

Inquiry Type: IN Standard Order Type: OR Header Item: TAN Schd. line Returns Type: RE Header Item: REN Cash Sales Type: BV Credit Quotation Type: QT Type: LF Header Item: TAN Type: F2 Header Schd. line Type: LR Type: RE Type: LR

Order Document Types Delivery Doc. Billing Documents

Billing Documents

 You can reference either an order or a delivery

document when creating an invoice.

 This is configured in the IMG by the item category.

Std. Order Delivery Invoice

Std. Order Delivery Invoice

Credit / Debit Memos

 However, with credit / debit memos, you can only

reference the credit / debit requests (sales documents).

Credit request Credit memo

Debit request Debit memo

Order Delivery Invoice

Returns

 Credit memos are created with reference to the returns

(sales documents) and NOT to the returns delivery.

Credit request Credit memo

Sales Order Delivery Invoice

or

Returns delivery

Data Flow

 You can influence the data flow from reference

documents to billing documents by:

 Billing types  Copying control for header

 Copying control for items

Order Delivery Invoice

For example - payer - item number - prices - texts For example - ship-to party - quantity - texts Doc. flow Data flow

Copy Control

 As just mentioned, how data is transferred in the billing

process can be influenced by the copy control data.

Header

F2

LF

Item

F2

LF

TAN

Target Source

Billing Delivery

type type

Target Source Source

Billing Delivery Item

Billing Quantities

 Delivery and order quantities are referenced in billing.

 You can create a billing document with reference to an

order for quantities already delivered.

Billing Billing Quantity

With reference to an order Delivery quantity minus quantity

already invoiced

With reference to a sales document Order quantity minus quantity

(e.g., credit memo) already invoiced

With reference to a delivery Delivery quantity minus quantity

(e.g., billing doc. Types F1 and F2) already invoiced

Pro forma invoice F5 Order quantity

Pricing in Billing Documents

 You can specify a pricing type for each billing document

type and item category.

Invoice A M1 10 pc 10 x 9.50 Manual discount Invoice B M1 10 pc 10 x 10.50 Discount 2 % Invoice C M1 10 pc 10 x 10.50

Discount 2 % & manual

Discount from 50.00 1 % - 100.00 2 % - Price: Material M1 from 1.pc 10.00 10.pc 9.50 20.pc 9.00 Price: Material M1 from 1.pc 11.00 10.pc 10.50 20.pc 10.00 Order M1 20 pc 20 x 9.00 Manual discount Delivery M1 10 pc January March Pricing type:

A Price components are copied and updated (scale redetermined).

B Pricing is carried out again.

Key Points (1)

 The Implementation Guide (IMG) enables the project

team to match the business requirements with the SAP standard software and customize the transactions to the needs of the organization.

 You can minimize the time an effort needed to create

sales documents by thoroughly maintaining the

customer master and defining all types of business partners.

 The account group allows you to select data fields for

maintaining the master data.

 By classifying materials by material types, you can

Key Points (2)

 When maintaining material master records, you can

specify (in the IMG) which fields are to appear, to be required or optional, or are to be blocked.

 You can store customer-specific information on

individual materials (e.g. customer material numbers and descriptions) in customer-material information records. This enables you to create orders using material numbers specified by the ordering party.

 When you frequently sell combination of materials, you

can simplify sales order creation by creating product proposals.

 You can also create BOM’s to combine several

Key Points (3)

 Billing documents always reference a previous

document.

 Reference documents will dictate the billing document

type.

 The flow of data is controlled:

 by the programs

 by billing types

 by copying control tables

 You can determine copying control at:

 the header level