Q&A - Sales and Distribution1. How Pricing Procedure Determination takes place Pricing procedure determination happens in the sales document. It is based on a combination of SALES AREA , Document Pricing procedure (maintained in customizing ), Customer pricing procedure (maintained in sales area data in customer master)2. What is Item Category Item category is used to provide additional control functions in sales documents in order to treat different kind of items separately, also different processing of same material in different sales orders. It controls various factors like pricing relevance, billing relevance, delivery relevance, whether schedule lines are allowed or not, whether the item is a text item, incompletion log etc. It is determined on the basis of setting made in customizing , depending upon Sales Doc type, Item Category group and is also influenced by item usage and higher level item category of a item in the sales order.3. How Movement type is determined in delivery document The movement determined in the delivery document comes from the schedule line category.4. How routine can be assigned in Pricing procedure Routines can be assigned to pricing procedure in requirement , alt cal key in pricing procedure at the line item level.5. How account determination takes place in billing Account determination in billing depends on the Chart of accounts, Sales Organisation , Account assignment Group of the Customer (payer) , Account assignment group of the material and the account key6. How tax determination takes place The tax determination is influenced by the type of transaction whether it is domestic or export, tax classification of the customer and tax classification of the material.7. How CCA gets determined The credit control area is determined from following –sales area , company code & user exit ( if required ) , It should be assigned to the respective company code in customizing8. What is Availability check control
The availability check is controlled by the following factors – Checking group must be maintained in the material master in availability check field, checking rule should be maintained in order to specify the scope of availability check like which inward / outward stock movements must be considered , the schedule line category also controls the availability check in the sales documents and the delivery item category controls whether the check should take place in delivery. Also the relevant settings should be made in the customizing and a plant should be defined in the sales document for the availability check to take place.9. What is a copy control Copy control is used to manage the data flow in the documents linked in process chain e.g. from the inquiry to quotation, sales order to delivery doc, quotation to sales order, sales order to billing doc, billing doc to sale order and billing doc to billing doc. This is in order to save time in data entering at the various stages and also to maintain the consistency of data across the whole process and to avoid human error. Also to check the completeness of the documents before data is transferred. It has various controls like copy requirements , data transfer routines ,specifying the source doc and target doc , whether complete reference has to take place etc.10. What is inter company billing Inter company billing takes place when a sales organization belonging to a different company code creates a sales order from a plant belonging to a different company code (both company codes belong to one organization). The plant then delivers the goods to the customer for which the order was entered directly and after that bills the sales organization of the ordering company code.11. What is incompletion rule An incompletion rule is used to check that important sales relevant data is not missing so that the subsequent functions like delivery and billing can be completed. Depending on the setting in customizing of sales document the incomplete document can be saved or cannot be saved at all. If it is allowed then the further processing depends upon the status groups mentioned in the incompletion log.12. Can picking location be defaulted in delivery Yes the picking location can be defaulted in the delivery . normally the picking location comes from the sales order , incase it does not then the picking location determination rule specified for the resp delivery type.
Following rules are present – MALA , RETA, MARE.13. Movement types in SD transaction There are various movement types which are used in SD transactions. 601, 641 , 621 are some of them.14. What is Condition techniques Condition technique refers to the procedure through which various pricing elements like gross price, discounts, surcharges and taxes are automatically determined in the sales order. It is also used in material determination, free goods , output determination and text determination procedure. In the pricing in sales orders first the respective pricing procedure is determined from the setting made in customizing , the pricing procedure contains the sequence in which the various conditions are to be executed , then each condition type gets executed one by one . Every condition type has an access sequence attached to it, which forms the search strategy. Every access sequence has condition tables which contains the key for the condition records. the system checks the various condition records and returns the value when it is successful in finding a record.15. How number range is determined in Customer Master Number range in customer master comes from the setting made in the account group for which we are creating the customer master record.16. Stock Transfer scenario To address to stock transfer scenario, as a process , PO is created by plant on the delivering plant. Delivering plant then created delivery document wrt purchase order and quantities gets updated. Billing document wrt delivery document is created by delivery plant. Receiving plants then received the material by doing GR against delivery document. The customer and vendor mapping for plant is done and customization is done in transaction OMGN.17. Org structure Organization structure used by SD are : Sales organization , Distribution Channel and Division .the combination of Sales org , dist channel and division makes a Sales area. All sales documents exist within a sales area. For internal org purposes Sales Office , sales group and sales person. Shipping point – is used for processing deliveries. For accounting the client is used to represent a business group and various subsidiaries as Company codes.
Plant is the highest org structure in MM and is used to manage the stock , the material is distributed from the plant. The stock is managed at the storage location level under the plant.18. Output controls Output is the information we exchange with the customers. The output control also happens with the help of condition technique and we have to assign the output type to the objects for which we want to take out the output e.g. order confirmation for sales order, invoice from cash sales order , freight list from delivery and shipping label from items. Then we create condition record for the respective output type. In the record we specify the transmission medium , partner , time of output ,language.19. Condition Exclusion Condition exclusion can be done when we want that some conditions are not executed during pricing. This can be done by putting a condition exclusion indicator either in the customizing for the condition type or while maintaining a condition record . Also a requirement 2 should be set in the pricing procedure for the particular condition which are not to be executed. Condition exclusion can also be done by using exclusion groups in order to find the best price and highest discount ,when there are more than one condition record for a particular item.20. Returns Cycle When a customer returns the goods he sends them back for this first a return credit memo request is created. Then the return credit memo request is approved and the billing block is removed. After this the credit memo is created with ref to the credit memo request. Then goods receipt is done by creating a returns delivery.21. Excise Cycle , Excise Document, Depot Sales In case the excise group attached to plant is defined as warehouse , excise document needs to be created at the time of billing. Number range needs to be maintained for it and auto series group determination needs to be configured. For the depot scenario , during the goods receipt the stock needs to be taken in (RG23D ) using J1IG & the stock is utilized with transaction J1IJ which is in ref to delivery document22. Config for auto posting of excise doc The configuration for auto exise document posting can be configured in transaction J1IT under the heading Auto determination of series group.
Required series group can be assigned for sales area and excise group combination. Auto posting also needs to be initiated23. Sales view in Material Master Sales view in material master are sales org 1 & 2 , sales text. Also sales – general/plant is also relevant for sales.24. Name few Important tables in SD VBAK, VBAP, LIKP , LIPS , VBRK , VBRP , VBFA25. Cash sales order In cash sales the customer pays for the goods upfront and wants the delivery immediately. In cash sales the delivery gets created automatically as soon as we save the order. A cash sale invoice also gets generated automatically . The billing does not have a output type and billing is done with reference to the order. The receivables are not debited to the customer ar account but directly to the cash account.26. Third party orders In third party orders the company does not deliver the order ,but it is delivered by the vendor directly to the customer and then the vendor bills the company. The company then bills the customer based on the vendor invoice. For the items which require third party processing a direct purchase requisition gets created when a sales order is created for them. From that purchase requisition the purchase order is created and send to the vendor. This controlled by the material type ,which determines whether a material is procured externally or is manufactured . The item category for third party items is TAS and is influenced by the item category group BANS.27. Schedule line category schedule line category is an additional control function in sales documents. It controls various functions like relevance for delivery , availability check / transfer of requirements has to be carried out or not. Movement type for the item. It is determined on the basis of item category of the item and the MRP type of the material .28. Shipping point determination shipping point is determined for each order item based on the : Delivery plant , shipping condition in sold to party master record, loading group in material master.