Sales & Distribution

SAP

SAPSales & DistributionOrganizational Structures and Overview -Organisational Units in Sales and Distribution

Sales OrganizationSells and distributes products, negotiates terms of sales and is responsible for these business transactionsCritical organization element to the definition of business marketsA business transaction is linked to one Sales Organization

Distribution ChannelIdentifies how products and services reach the customerCan be assigned to one or more Sales OrganizationsDivisionOften times used to define product line distributionOrganization level to which customer specific information and requirements are maintained e.g. pricing, partial deliveryAssigned to one or more Sales Organizations

Sales AreaOrganizational element comprised of: Sales OrganizationDistribution ChannelDivisionWill be used to link together the organizational aspects of sales to customersUsed for statistical analysis

Sales Organisation

DistributionChannel

DivisionSales AreaRILDirectDIExportsEXPoly-propelenePPStapleFibrePFStapleFibrePFDirect DIRPLStapleFibrePFFFSales OfficeTypically defines a territory or market areaLinked to one or more Sales AreasOptional organization structure

Sales AreaEastern SalesOfficeWesternSalesOfficeSales GroupSales GroupSub-division of a sales office, territory or market

Sales PersonSales PersonDefined in HR Personnel Admin.Specifically defines an individual rather than a position (sales rep.) in sales processing

Sales AresWestern SalesOfficeEasternSales OfficeSouthwestSales GroupNorthwestSales GroupSalesPersonSalesPersonSalesPersonSalesPersonShipping Point & Loading PointShipping PointLocation that performs all delivery related activitiesAssigned a factory calendarA delivery can be processed from only one shipping pointLoading PointA subdivision of the shipping point used for more specialized handling

Sales and Distribution OverviewSales and Distribution OverviewMechanisms to execute the business processes used in the selling, shipping and billing of products and services

Tightly coupled data flow to the other SAP modules Integration

Flexible and robust functionality that is tailored through configuration

SD Overview Master DataDetailed information about customers, materials and business partnersFlexible data structures that support the business environmentSpecialized master data to support sales order processing SD Overview Pre Sales Provides the functionality to support the staff involved in business development and customer service processesPrimary functionsSales ProspectsContact PersonsCompetitors and Competitive ProductsSales ActivitiesDirect Marketing

SD Overview Sales Primary base for customer order managementHighly customizableSophisticated pricingIntegrated ATPIntegrated credit managementSampling of functionsInquiries & QuotesSales OrdersReturnsContracts & Scheduling AgreementsConsignmentRush Orders & Cash SalesBack Orders & Subsequent DeliveriesCredit & Debit Memo RequestsSD Overview ShippingMain functions Picking, Packing & Inventory management Generate Shipping DocumentsTransportation ManagementRoutesTransportation SchedulingDelivery Scheduling, Returns Deliveries & Stock Transfer

SD Overview BillingInvoice Generation automatic or manualComprehensive set of billing functions Linked documents e.g. invoice & credit memoReal-time integration with finance (FI)Fully integrated and comprehensive pricing

SD Overview S I SFlexible tool that allows one to collect, consolidate, and utilize data from sales and distribution processingA component of the Logistic Information System (LIS)

Sales Order Cycle

Customer Order

PickingGoods IssueBilling

Accounts Receivable

Final PaymentSD Process Steps QuotationSalesOrderSalesShippingDeliveryNotePickingPost GoodsIssueBillingBillingFIA/RPostIncomingPaymentSales Inquiry & QuotationSupport pre-sales processesAre time sensitiveAutomatic availability checkAutomatic pricingNo impact to FICan be used as reference documents

Sales Sales Order Core of customer order managementNo impact to G/LCan reference existing documentsCopies key information from master data Automated standard functions ...availability checkMRP updatingpricingcredit checkdelivery schedulingexport controlshipping & route determinationShipping Delivery NoteInitiates the shipping processControl document for shipping processes maintains status of each processing stepRe-confirms: availability, credit, foreign trade, delivery schedulingFacilitates transportation planning

Shipping Picking & PackingPicking: Physical activity of moving goods from the warehouse for further processing (packing, loading)Packing: Determines packing materials and packing detailsAdvanced processing includes, e.g. batch mgmt., serial number control

Shipping Post Goods IssueCompletes the shipping processTypically performed when customer takes ownershipUpdates inventoryUpdates G/L accountsCost of goods soldInventory

BillingGenerate customer invoiceUpdates FICustomer accountG/L accounts: revenue, discount, etc.Applies relevant pricingUpdates customer credit

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