The document discusses SAP's enterprise structure, which reflects a business's real-world organizational structure. It describes several key SAP organizational units that can be mapped to business units, including company code, sales organization, distribution channel, division, plant, and storage location. Each of these units represents a different part of a business and helps define areas like sales, distribution, production and storage within SAP. The document provides brief definitions and examples of several of these key organizational units that make up SAP's enterprise structure.

1. SAP
ENTERPRISE STRUCTURE

2. Agenda
Enterprise Structure.
Rudiments of Enterprise Structure.
o Company Code.
o Sales Organization.
o Distribution Channel.
o Division.
Sales Area.
Sales Office
Sales Group
Shipping.
Shipping Point .
Architecture.

3. Enterprise structure
 Structure of SAP organizational units, that reflects the structure of
the business in the real world.
 There are various SAP organizational units that can be mapped to
business structure based on the real world business requirements such
as:
o Company Code
o Plant
o Storage Location
o Sales Organization
o Distribution Channel etc.

4. Contd…

5. Rudiments of Enterprise Structure
Company code
Sales area
Sales organization
Distribution channel
Division
Plant
Storage location
Shipping point

6. Company Code


o
o
Legal entity and independent accounting unit .
AT company code level we create:
Balance Sheets required by law.
Profit and Loss statement.

7. Sales Organization
Responsible for,
 Distributing goods and services.
 Negotiating sales conditions.
 Product liability and rights of recourse.

8. Distribution Channel
 Through which materials reach the customer.
 Represents the distribution of goods and/or services to
customer.
 Ex: Whole sale trade, retail trade, internet trade and so on

9. Division
 Represents a product line.
 Ex: Motorcycles, Spare parts, Services and so on.

10. Sales Area
 Combination of sales organization, distribution channel, and
division.
 Defines the distribution channel, that a sales organization
uses to sell products of a certain division.

11. Sales Area
Sales office is an
organizational unit in sales and
distribution which is
responsible for sales within a
specific geographical area.
They can be used for reporting
purposes. Sales offices are
optional.

12. Sales Group
Sales groups (for example,
each with a sales manager)
are subdivisions of a
distribution chain.
Sales groups can be used for
reporting purposes.

13. Shipping
The plant is a location, where material stock is kept and represent
a production facility in the system.
 The plant and storage location are organizational units, that can be
used by all logistic areas of the system.


14. Shipping Point
 Shipping is an integrated
module of SD processing.
 The shipping point is the
highest-level organizational unit
of shipping, that controls the
shipping activities.
 Each outbound delivery is
processed by exactly one
shipping point.

15. Architecture

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