Purchasing

© 2008 by SAP AG. All rights reserved.

1
Integration

Procurement Process
(Procure-to-Pay)

Purchase
Requisition

Purchase
Order
Notify
Vendor

Payment
to Vendor
I...
Purchasing Process
 Create Purchase Requisition
 Where analysis/vendor selection occurs
 Create Purchase Order from Req...
Procurement Process
Internal
Demand

Purchase
Requisition

Purchase
Order

Vendor

Goods
Receipt

uC

Invoice
Receipt

© 2...
Procurement Process
(Procure-to-Pay)

Purchase
Requisition

Purchase
Order
Notify
Vendor

3-Way
Match
Payment
to Vendor
In...
Vendor Master Data
 Master records must be created for every vendor
 Contains centralized data for both MM and FI, can
b...
Vendor Master Data
 General Data:
 Client-level data: Applies to all company codes and
purchasing organizations
 Name, ...
Partner Roles
 In the procurement process, there may be different
business partners for different roles in the transactio...
Material Master Data
 An advantage of the SAP system is that it maintains one set of
data in real time. Material data is ...
Material Master Views
















Basic Data 1
Basic Data 2
Classification
Sales: Sales Org Data 1
Sale...
Material Master Views
Basic
Data
View

NRG-A Bars
Base unit: CS
Gross wt: 72 lb.
Non-plant specific
Plant specific

Plant ...
Purchasing Info Record
 Provides continuously updated information about the
relationship of a specific material with a sp...
Purchasing Info Record
 Contains:
 Current price and delivery costs for purchasing
organization or plant
 Number of las...
Purchasing Info Record
 Purchasing info records can be created directly, as we
will do in this class, or can be created a...
Upcoming SlideShare
Loading in...5
×

Purchasing overview

645

Published on

sap

Published in: Technology
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
645
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
93
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide
  • This is a standard view of the procure to pay process and the most common. It may vary significantly based upon the company procedures, the products/services purchases and other factors.
    SAP allow businesses to tailor it to their needs.
    Starts with a requisition or need that needs to be filled. This can come from Planning (MRP), manually or other
    The purchase order is the document to fill the need: usually includes the vendor, cost/price, quantity, terms and other pertinent information. [ part one of the 3-way match]
    Notifying the vendor
    The goods are shipped and brought to the organization
    The goods are received (typically at the dock) and then put away [ part two of the three way match]
    An invoice is received from the vendor [third part of the 3-way match]
    After the tolerances/verification of the 3-way match are met a payment is made according to the terms agreed to on the purchase order.
  • This is a standard view of the procure to pay process and the most common. It may vary significantly based upon the company procedures, the products/services purchases and other factors.
    SAP allow businesses to tailor it to their needs.
    Starts with a requisition or need that needs to be filled. This can come from Planning (MRP), manually or other
    The purchase order is the document to fill the need: usually includes the vendor, cost/price, quantity, terms and other pertinent information. [ part one of the 3-way match]
    Notifying the vendor
    The goods are shipped and brought to the organization
    The goods are received (typically at the dock) and then put away [ part two of the three way match]
    An invoice is received from the vendor [third part of the 3-way match]
    After the tolerances/verification of the 3-way match are met a payment is made according to the terms agreed to on the purchase order.
  • Purchasing overview

    1. 1. Purchasing © 2008 by SAP AG. All rights reserved. 1
    2. 2. Integration Procurement Process (Procure-to-Pay) Purchase Requisition Purchase Order Notify Vendor Payment to Vendor Invoice Receipt January 2008 Vendor Shipment Goods Receipt © SAP AG - University Alliances and The Rushmore Group, LLC 2008. All rights reserved. 2
    3. 3. Purchasing Process  Create Purchase Requisition  Where analysis/vendor selection occurs  Create Purchase Order from Requisition  Requisition items can be used to generate multiple purchase orders  Create Goods Receipt  Create Invoice Receipt  Post Outgoing Payment  Unfortunately, there is no purchasing “document flow” © 2008 by SAP AG. All rights reserved. 3
    4. 4. Procurement Process Internal Demand Purchase Requisition Purchase Order Vendor Goods Receipt uC Invoice Receipt © 2008 by SAP AG. All rights reserved. Pay Invoice 4
    5. 5. Procurement Process (Procure-to-Pay) Purchase Requisition Purchase Order Notify Vendor 3-Way Match Payment to Vendor Invoice Receipt January 2008 Vendor Shipment Goods Receipt © SAP AG - University Alliances and The Rushmore Group, LLC 2008. All rights reserved. 5
    6. 6. Vendor Master Data  Master records must be created for every vendor  Contains centralized data for both MM and FI, can be created in MM and FI modules, or centrally  Vendor Master Data is pulled from database when creating Purchase Orders Vendor Master Data Payment Terms Accounting Purchasing Master Master Records Records © 2008 by SAP AG. All rights reserved. 6
    7. 7. Vendor Master Data  General Data:  Client-level data: Applies to all company codes and purchasing organizations  Name, address, phone numbers, language  Company code data  Accounting data: Currency used, payment terms, reconciliation account (a vendor is a creditor of the enterprise)  Purchasing data  Data important for purchasing (contact persons, delivery terms)  Maintained at purchasing organization level © 2008 by SAP AG. All rights reserved. 7
    8. 8. Partner Roles  In the procurement process, there may be different business partners for different roles in the transaction. These partner roles are defined in vendor master data Invoice Presented By Ordering Address Vendor Goods Supplier Payment Received By © 2008 by SAP AG. All rights reserved. 8
    9. 9. Material Master Data  An advantage of the SAP system is that it maintains one set of data in real time. Material data is used by many functional areas. In the SAP system, there is one set of related data for each material. With non-integrated systems, each system may contain material data, and this data is not always consistent. In the SAP system, the data is consistently correct or incorrect.  Material Master data is organized by Views. Depending on the type of material, only certain views need to be used. As the system is configured, additional views can be added as necessary.  Many Material Master views are plant-specific © 2008 by SAP AG. All rights reserved. 9
    10. 10. Material Master Views                Basic Data 1 Basic Data 2 Classification Sales: Sales Org Data 1 Sales: Sales Org Data 2 Sales: General/Plant Data Foreign Trade: Export Data Sales Text Purchasing MRP 1 MRP 2 MRP 3 MRP 4 Forecasting Work Scheduling • • • • • • • • • General Plant Data/Storage 1 General Plant Data/Storage 2 Warehouse Management 1 Warehouse Management 2 Quality Management Accounting 1 Accounting 2 Costing 1 Costing 2 Basic Data, Classification are not plant-specific Other views are plant-specific © 2008 by SAP AG. All rights reserved. 10
    11. 11. Material Master Views Basic Data View NRG-A Bars Base unit: CS Gross wt: 72 lb. Non-plant specific Plant specific Plant 1000 NRG-A Bars Lead Time: 2 days Std. Price: 216.80 Plant 2000 MRP Views NRG-A Bars Lead Time: 3 days Std. Price: 223.20 © 2008 by SAP AG. All rights reserved. 11
    12. 12. Purchasing Info Record  Provides continuously updated information about the relationship of a specific material with a specific vendor  Provides default information for purchase orders Material Vendor Purchasing Info Record © 2008 by SAP AG. All rights reserved. 12
    13. 13. Purchasing Info Record  Contains:  Current price and delivery costs for purchasing organization or plant  Number of last purchase order  Purchase order price history  Tolerance limits for over/under deliveries  Planned delivery time for material  Vendor evaluation data © 2008 by SAP AG. All rights reserved. 13
    14. 14. Purchasing Info Record  Purchasing info records can be created directly, as we will do in this class, or can be created automatically when a purchasing document (e.g. purchase order) is created or changed.  The Purchasing Info Record can be created automatically from a purchase order if the Info Update indicator is set.  Conditions is SAP’s term for pricing, which can include discounts, freight costs, surcharges, etc. © 2008 by SAP AG. All rights reserved. 14
    1. A particular slide catching your eye?

      Clipping is a handy way to collect important slides you want to go back to later.

    ×