Presentation on SAP SD.pptx

ppt helps you to know overview of sap sd or business processes of sap sd

1. Presentation on SAP SD By Prasann Patil By Prasann Patil Hitech Infotech It Services Pvt Ltd

2. Introduction to SAP SD SAP Sales and Distribution (SD) is an important module of SAP ERP consisting of business processes required in selling, shipping, billing of a product. The module is tightly integrated with other SAP MM & SAP PP. Hitech Infotech It Services Pvt Ltd

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4. What is sales order ?  An agreement between a seller and a customer concerning the sale and delivery of goods, as well as any services that are associated with these processes, on a specific date, for a specific quantity, and for a specific price. What is delivery ? When a delivery is created, shipping activities such as delivery scheduling, picking and packing are triggered in the system. A shipping point is responsible for processing a delivery. What is PGI (Post Goods Issue) ? Post goods issue is the last Step of delivery/shipment processing. Herein, ownership of the goods transfer to the customer and the stock is updated. The carrier in turn transfers the ownership to the final customer once goods are delivered . Hitech Infotech Services Pvt Ltd

5. Types of data in SAP Configuration data Master data Transaction data Hitech Infotech It Services Pvt Ltd

6. Customer Master and Material Master data Customer is the key Master Data in SAP SD. In this section, we will learn about Account Group ( required to Create Customer Master), Partner Function (Businesses you work with), and Material Master ( goods sold to customer) Hitech Infotech It Services Pvt Ltd

7. Features of SAP SD module Here are some important features of the SAP SD module: Price and Taxation:  – It helps you to evaluate the price of goods and services under various conditions like discount, which is granted to a customer. Availability Check:  Check the availability of a product in the warehouse of an organization. Billing & Invoice:  Helps you to generate bills or invoices. Material Determination:  Helps you to determine the details of materials on the basis of a certain condition. Credit Management:  It is a method of managing the credit limits of the customers. It can be figured in two different ways simple credit check and automatic credit check. Account Determination:  Helps you to determine the details of customers on the basis of a given condition type. Hitech Infotech It Services Pvt Ltd

8. Create Customer Master Data: XD01 Customer Master is  Primary  master data in SAP SD. To create Customer Master we need Account Group.  Account Group:  Account Group is accumulation of similar accounts. The master records in the  customer  hierarchy are controlled by their  account groups . Customer master consist of three are data : 1 Ge neral area data 2 Company code area data 3 Sales area data Hitech Infotech Services Pvt Ltd

9. Business Scenarios: Cash sales Cash sales are a special sales document type by which we can map the business process of immediate sales. In this business scenario customer pays the money and picks the material immediately. Cash sales order does not have any invoice. But system generates duelist for billing document type BV. In cash sales cash account directly updated. Hitech Infotech Services Pvt Ltd

10. 2. Rush order Rush order and cash sales more or less same like cash sales system generates delivery document as soon as the end user saves the document. In the rush order processing the customer places the order and collects the items immediately or we ship the materials immediately. However, we only invoice the customer later. Hitech Infotech Services Pvt Ltd

11. 3. Credit Memo Request : This would be used in the following examples: 1. The customer discovers the products we sent him are defective, and the costs to initiate a return delivery would exceed the costs obtained repair of the product. 2. The customer is overcharged for a product or service and we issue a credit for the difference. Accounting entry is - Revenue account Debit to Customer account Credit Hitech Infotech Services Pvt Ltd

12. 4. Debit Memo Request : When the business incurs loss in a transaction then the business should be compensated by the customer in the form of debit memo with reference to debit memo request. Ex: Miss calculation of price or Excessive delivery than order quantity Accounting Entry is - Customer account Debit to Revenue account Credit Hitech Infotech Services Pvt Ltd

13. 5 . Returns : This scenario comes into the picture when the customer receives the damage goods from business and business wants to receive damaged goods for testing purpose before compensation, the end customer has to return the damaged goods, and business has to receive those goods into a separate storage location. Once return process takes place, customer may request 1. Good replacement 2. Refund Hitech Infotech Services Pvt Ltd

14. 6. Subsequent free of charge delivery : When the customer incurred loss, then the business can compensate him by sending normal items as compensation. Original sales order Create subsequent free of Create delivery LF [OR] charge delivery KN [SDF] Returns order Hitech Infotech Services Pvt Ltd

15. 7. Free of charge delivery : When the business wants to send samples to the customers then the business can map the scenario with the free of charge deliveries Hitech Infotech Services Pvt Ltd

16. Consignment business process We can map the business process of consignment in 4 phases. 1. Consignment Fill-Up (Stock Fill up at warehouse). 2. Consignment Issue (Stock issue from warehouse). 3. Consignment Return (Stock return from customer). 4. Consignment Pickup (Stock return to manufacture) Hitech Infotech Services Pvt Ltd

17. Consignment Fill – up : The consignment fill – up phase business fills the stock with consignment agent. This phase will have only delivery Consignment Issue : In this process consignment agent sells the goods to the end customer. Hitech Infotech Services Pvt Ltd

18. Hitech Infotech Services Pvt Ltd Consignment Returns : As end customer returns the damaged goods to the consignment agent. Consignment agent has to receive those damaged materials. Consignment Pick– up : The consignment agent returns the remaining goods to the business. So that business has to pick up the stock from the consignment agent

19. Third party sales process : In the third party order processing the business gets the orders from the customer and it passes to the third party vendor who delivers the goods to the customer, and bills the business. Hitech Infotech Services Pvt Ltd

20. Make to Order : Make – to – order production is nothing but manufacturing the standard material by changing characteristics of the material that slightly changes the standard material. Customer will have a choice to choose this characteristic depending on the requirements from the customer. Hitech Infotech Services Pvt Ltd

21. Inter company sales In the normal business process the end customer place the purchase order with ordering plant. Then the ordering plant if the material is not available then the ordering plant will raise the purchase order with delivering plant, and the delivering plant raises the sales order with reference to purchase order, subsequently it will deliver the foods directly to the end customer, and issue on INTER COMPANY BILLING to ordering plant. Then the ordering plant raises the standard invoice in favor of end customer. With this step inter company billing/sales process will complete. Hitech Infotech Services Pvt Ltd

22. Stock Transfer Order : 1 Intra- company sto : When the stock is going to be moved between two plants or two storage locations that are under single company code called as stock transfer order business process. Receiving plant raises the purchase order with supplying plant; supplying plant delivers the goods to the receiving plant by raising sales order. 2 Inter- company sto : Materials are transported between the plants belonging to the different company codes of same company. Hitech Infotech Services Pvt Ltd

23. Account determination (SD & FI Integration) : Whenever we sell finished goods to the customer, the customer has to pay for them. In this process, we post the Sales Invoice document which is part of the Sales & Distribution module into the FI module. In SAP, we call this procedure SAP SD-FI integration. Accounting Entries Accounting entry concerning Sales Process Cost of Goods Sold (COGS) – Debit (Dr) Finished Stock – Credit (Cr) Accounting Entry for Billing are as follows:   Customer Account – Debit (Dr) Revenue Account – Credit (Cr) Hitech Infotech Services Pvt Ltd

24. Assign GL accounts : Transaction code: VKOA Hitech Infotech Services Pvt Ltd

25. Assign GL accounts : Transaction code: VKOA Hitech Infotech Services Pvt Ltd Application Condition type Chart of accounts Sales organization Accounting key GL Account No. V KOFI 0002 SRI ERL 100000 Incoming Payment : T-code F-28

26. Material determination / Product selection Material determination is a condition technique used to resolve a target material number from the material number entered in a sales document. It can also be used to swap a customer’s part number for the business part number. A – Same material with special packing. B – If the business wants to change material number with EAN numbers. C – The old stock is to be exhausted. Hitech Infotech Services Pvt Ltd

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