To Be Presentation -SAP Sales and distribution


Published on

SD TO BE Presentation

  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

To Be Presentation -SAP Sales and distribution

  1. 1. SAP R/3 implementation At Indian Rayon Sales & Distribution Module
  2. 2. Contents <ul><li>Organization Structure </li></ul><ul><li>Master Data </li></ul><ul><li>Process Scenarios </li></ul><ul><li>Outputs </li></ul><ul><li>Critical Reports </li></ul><ul><li>Change Management Points </li></ul><ul><li>Gaps </li></ul>
  3. 3. <ul><ul><li> </li></ul></ul><ul><ul><li> Organization Structure </li></ul></ul>
  4. 4. Organization Structure - Caustic
  5. 5. Organization Structure - Caustic Caustic, Rayon Chemical Division Domestic, Export Distribution Channel Chemical Sales Org Description Organization Structure
  6. 6. Organization Structure - Caustic J & K Himachal Pradesh Ahmedabad Uttaranchal Saurashtra U.P Kutch Gujarath Bihar T.N Haryana Vapi Goa Assam Kerala Rajasthan Surat M.P Jarkhand A.P Punjab Baroda Maharashtra W.B Karnataka Delhi Sales Group West 1 West 2 East South North Sales Office
  7. 7. <ul><ul><li> </li></ul></ul><ul><ul><li> Master Data </li></ul></ul>
  8. 8. Master Data <ul><li>Different Masters to be maintained for Sales Processing are: </li></ul><ul><ul><li>Customer Master </li></ul></ul><ul><ul><li>Material Master </li></ul></ul><ul><ul><li>Pricing Master </li></ul></ul><ul><ul><li>Credit Master </li></ul></ul>
  9. 9. <ul><li>Every customer master is managed under an account group. Account group has control functions during master record maintenance which include: </li></ul><ul><ul><ul><li>Customer number range and type of assignment (either internal or external). Alphanumeric numbers are also allowed for externally assigned numbers. </li></ul></ul></ul><ul><ul><ul><li>Field selection </li></ul></ul></ul><ul><ul><ul><li>Mandatory or Optional fields </li></ul></ul></ul><ul><ul><ul><li>We can use an indicator to specify that the customer master records of an account group are one-time accounts (collective accounts for miscellaneous customers). </li></ul></ul></ul>Master Data - Customer Master
  10. 10. Customer Master Data <ul><li>Account Groups: </li></ul><ul><li>The following set of account groups will be created for Caustic Business Units. </li></ul><ul><ul><ul><li>Dealer </li></ul></ul></ul><ul><ul><ul><li>Export Customer </li></ul></ul></ul><ul><ul><ul><li>Direct, Institution, captive, government etc. </li></ul></ul></ul><ul><ul><ul><li>One-time customer </li></ul></ul></ul>
  11. 11. <ul><li>The different pricing conditions are – </li></ul><ul><li>Prices: </li></ul><ul><li>NOS </li></ul><ul><li>NOM </li></ul><ul><li>Delivered Price </li></ul><ul><li>Basic Price </li></ul><ul><li>Discounts: </li></ul><ul><li>Cash Discount </li></ul><ul><li>Credit Note Discount </li></ul><ul><li>Quantity Discount </li></ul><ul><li>Rate Difference </li></ul><ul><li>Bulk Discount </li></ul><ul><li>Distance Discount </li></ul><ul><li>Commission </li></ul>Master Data – Pricing Master
  12. 12. <ul><li>The pricing can be automatic or manual </li></ul><ul><li>Lower limit and upper limit can be predefined for a particular pricing condition. (Ex: NOM, NOS etc) </li></ul><ul><li>The Pricing can be statistical value. This will be used for reporting. </li></ul><ul><li>Taxes are calculated based on the predefined rules. </li></ul>Pricing
  13. 13. Master Data - Credit Master <ul><li>The Credit Master is maintained for the credit control area. The credit master is maintained for the payer in SAP. </li></ul><ul><li>The credit master will have – </li></ul><ul><ul><li>Credit limit of the Customer / Dealer </li></ul></ul><ul><ul><li>Risk category </li></ul></ul><ul><ul><li>Credit exposure etc. </li></ul></ul>
  14. 14. <ul><ul><li> </li></ul></ul><ul><ul><li> Process Scenario </li></ul></ul>
  15. 15. <ul><li>The different sales processes are: </li></ul><ul><ul><li>Standard Sales -- Sales to direct, dealer, ancillary, Captive Sale, institution etc </li></ul></ul><ul><ul><li>Export Sales </li></ul></ul><ul><ul><li>Deemed Export </li></ul></ul><ul><ul><li>FOC Sales </li></ul></ul><ul><ul><li>Third Party Sale </li></ul></ul><ul><ul><li>Returnable Packaging </li></ul></ul>Process Scenarios – Caustic
  16. 16. Process Scenarios – Standard Sales Process
  17. 17. <ul><li>The Process covers sales to – </li></ul><ul><ul><li>Direct </li></ul></ul><ul><ul><li>Dealer </li></ul></ul><ul><ul><li>Captive </li></ul></ul><ul><ul><li>Institution </li></ul></ul><ul><ul><li>Ancillary </li></ul></ul><ul><ul><li>Group Sales </li></ul></ul><ul><ul><li>Scrap etc </li></ul></ul>Process Scenarios – Standard Sales Process
  18. 18. Process Scenarios – Export Sales Process
  19. 19. <ul><li>The process is given below: </li></ul><ul><li>Create an ARE-3 and when it is ready post it. Print the ARE-3 and enclose a copy with the delivery. </li></ul><ul><li>The shipping department sends the goods to the customer, together with the excise invoice and the ARE-3. </li></ul><ul><li>When the customer receives the goods, he checks whether the excise invoice and the ARE-3 match the goods. </li></ul><ul><li>If customer finds that there are fewer goods than stated on the ARE-3, he enters the shortfall in the ARE-3. </li></ul>Process Scenarios – Deemed Export
  20. 20. <ul><li>Customer then fills out Part 2 of the ARE-3 (Certificate of Warehousing by the Consignee) and sends it back to the IRIL. </li></ul><ul><li>ARE-3 is updated in the R/3 System. </li></ul><ul><li>Customer fills out the various certification dates in the ARE-3 (for example, the date when the ARE-3 arrived back at your company). </li></ul><ul><li>If there is a shortfall in the quantity of goods, then shortfall is entered. Since the whereabouts of the missing goods cannot be accounted for, they no longer qualify for exemption from basic excise duty. </li></ul><ul><li>The excise duty has to be paid on the shortfall, plus interest, backdated to the date when you removed the goods from your premises. The concerned authority specifies which excise registers to pay the excise duty from </li></ul>Process Scenarios – Deemed Export
  21. 21. Process Scenarios – FOC Sales Process <ul><li>The process is same as standard sales procedure. The difference is: </li></ul><ul><ul><li>The pricing structure. </li></ul></ul><ul><ul><ul><li>On basic price 100% discount is given. </li></ul></ul></ul><ul><ul><li>No credit control </li></ul></ul>
  22. 22. Process Scenarios – Third Party Sales
  23. 23. Process Scenarios – Returnable Packaging <ul><ul><li>Used in case of Chlorine and Hydrogen gas where the product is supplied in cylinders. </li></ul></ul><ul><ul><li>Returnable packaging consists of materials that are stored at the customer location but which remain the property of IRIL viz., cylinders. The customer is only required to pay IRIL for the returnable packaging if he does not return the cylinders. </li></ul></ul><ul><ul><li>Stocks of returnable packaging must be – </li></ul></ul><ul><ul><li>Managed separately from the rest of company’s stock so that the exact stock stored at the customer location is available. </li></ul></ul><ul><ul><li>Managed separately for each customer. </li></ul></ul>
  24. 24. <ul><li>There are three main transactions for processing Returnable Packaging. </li></ul><ul><ul><li>Creating Returnable Packaging Shipments </li></ul></ul><ul><ul><li>Creating Returnable Packaging Pick-Up </li></ul></ul><ul><ul><li>Creating Returnable Packaging Issue </li></ul></ul>Process Scenarios – Returnable Packaging
  25. 25. Transportation <ul><li>Shipment Document: </li></ul><ul><ul><li>The Shipment Document is created once the transportation planning is finalized for the deliveries. Shipment Document can be used to: </li></ul></ul><ul><ul><ul><li>Combine deliveries </li></ul></ul></ul><ul><ul><ul><li>Specify different shipment stages – For example: Veraval to Mumbai port & Mumbai Port to Destination. So this has 2 stages in the transportation process. </li></ul></ul></ul><ul><ul><ul><li>Shipment route </li></ul></ul></ul><ul><ul><ul><li>Transporter details </li></ul></ul></ul><ul><ul><ul><li>Monitoring of different activities viz., Planning, Check-in, Loading, shipment start </li></ul></ul></ul>
  26. 26. <ul><li>Shipment Cost Document: </li></ul><ul><ul><li>Shipment cost document is created w.r.t shipment document. This will help in calculating the freight and transferring the cost to FI. </li></ul></ul><ul><ul><li>Open Purchase order for the transporter can be created so that the service entry sheet will be created against this P.O. The service entry sheet is created automatically in the background as soon as the costs are transferred to FI. </li></ul></ul><ul><ul><li>Pricing can be done based on </li></ul></ul><ul><ul><ul><li>Service Provider (transporter) </li></ul></ul></ul><ul><ul><ul><li>Departure & destination point etc. </li></ul></ul></ul>Transportation
  27. 27. <ul><li>Pricing (Freight Calculation) </li></ul><ul><ul><li>Pricing Procedure for freight calculation </li></ul></ul><ul><ul><li>The pricing can be done automatically if the prices are maintained in advance or the prices can be entered manually at the time of shipment cost document creation. </li></ul></ul><ul><li>Invoice Verification: </li></ul><ul><ul><li>Once the service entry sheet (Against P.O) is created the Invoice verification and settlement can be carried out. </li></ul></ul><ul><ul><li>In case of any loss of goods or damage of goods the debit note will be raised on the transporter. </li></ul></ul>Transportation
  28. 28. Outputs <ul><li>The different outputs are: </li></ul><ul><li>Delivery Note </li></ul><ul><li>Filling Memo </li></ul><ul><li>Invoice/Excise Invoice </li></ul><ul><li>Freight Debit Note </li></ul><ul><li>Road Permit Form No 45K </li></ul><ul><li>ARE document </li></ul><ul><li>Packing List </li></ul><ul><li>Specification Sheet </li></ul><ul><li>Credit Note </li></ul>
  29. 29. Change Management Transportation tracking and Cost settlement. Shipment doc, Shipment Cost doc, and transporter Invoice verification has to be done. No Transportation tracking and Cost settlement in the system. No documentation in the system Automatic Credit Control No Automatic Credit control Contract  S.O  DO  Inv  Excise Invoice Sauda  Sale Note  Order  Filling Memo  Invoice Sales Order Sauda Contract Indenting/Monthly Projection In SAP Existing
  30. 30. Gaps <ul><ul><li>Debit Note will not be created automatically. </li></ul></ul><ul><ul><li>The ship-to-party (Consignee) can not be changed in the delivery document once it is created. </li></ul></ul><ul><ul><li>The net weight calculation in case of liquid products </li></ul></ul><ul><ul><li>Once the excise invoice is posted to accounts, it will not be possible to cancel the invoice and create new invoice with the same number. </li></ul></ul><ul><ul><li>Release strategy for pricing condition in sale order. </li></ul></ul><ul><ul><li>Release strategy for credit release based on credit value. </li></ul></ul><ul><ul><li>Allocation of toners to customer. </li></ul></ul><ul><ul><li>Cash discount based on quantity rather than %. </li></ul></ul>
  31. 31. Gaps <ul><li>The following points were identified during the to-be presentation: </li></ul><ul><ul><li>Allocation of toners to customer. </li></ul></ul><ul><ul><li>Cash discount based on quantity rather than %. </li></ul></ul>