sapscm supply chainmanagement scm overview participant

SAPSCMmySAP Supply Chain Management

OverviewmySAP Supply Chain Management

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Participant HandbookCourse Version: 2004 Q3Course Duration: 3 Day(s)Material Number: 50068900

An SAP course - use it to learn, reference it for work

Copyright

Copyright © 2004 SAP AG. All rights reserved.

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About This HandbookThis handbook is intended to complement the instructor-led presentation ofthis course, and serve as a source of reference. It is not suitable for self-study.

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About This Handbook SAPSCM

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iv © 2004 SAP AG. All rights reserved. 30-08-2004

ContentsCourse Overview ...... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix

Course Goals.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ixCourse Objectives .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix

Unit 1: mySAP Supply Chain Management Overview..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1mySAP Supply Chain Management Overview.... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2

Unit 2: mySAP SCM: Planning ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Designing and Monitoring the Supply Chain .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14Demand Planning Overview.... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25Supply Network Planning Overview... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40Production Planning and Detailed Scheduling.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60

Unit 3: mySAP SCM: Execution ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83External Procurement .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85Manufacturing ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119Sales and Distribution and Logistics Execution... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .147

Unit 4: mySAP SCM: Coordination ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .171Supply Chain Event Management Overview.... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .172

Unit 5: mySAP SCM: Collaboration ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .181Overview of SMI Processes With the SAP Inventory Collaboration Hub.... . . . . . . .182

Unit 6: Conclusion ...... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .189Functional Overview.... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .190

Unit 7: Appendix: Navigation..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .197Logon and Screen Design... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .198Calling Functions .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .208Getting Help .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .219Personalizing the User Interface.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .226

Glossary ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .239

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Contents SAPSCM

Index ..... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .241

vi © 2004 SAP AG. All rights reserved. 30-08-2004

Course OverviewThe following topics provide an overview of the mySAP SCM solution:

� How does mySAP Supply Chain Management fit in?

This section provides a brief overview of the mySAP Business Suite.

It also explains how the mySAP Supply Chain Management solution fitsinto the mySAP Business Suite and how it integrates with the mySAPProduct Lifecycle Management solution. It also describes the integrationof the SAP Business Information Warehouse within SAP NetWeaver.

� Designing and monitoring the supply chain

This section provides an overview of how a corporate group can bemodeled in SAP systems.

You are given a demonstration of how to set up a company in SAP SCM.

� Demand Planning

This section provides an overview of how demand planning can beexecuted in SAP systems for a corporate group.

You are shown how to execute SAP SCM Demand Planning based onprevious year sales data and how to release a demand plan.

� Supply Network Planning

This section provides an overview of how supply network planning canbe executed in SAP systems for a corporate group.

You are given a demonstration of how to execute an interactive SupplyNetwork Planning run in SAP SCM.

� Production Planning and Detailed Scheduling

This section provides an overview of how production planning for aproduction plant can be modeled in SAP systems.

This planning is demonstrated in SAP SCM.

� External procurement

This section provides an overview of how parts procurement can bemodeled in SAP systems.

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Contents SAPSCM

You are given a demonstration of a complete procurement cycle in SAPR/3, starting with purchase requisitions that are generated from SAPSCM.

� Manufacturing

This section provides an overview of the manufacturing approachessupported by SAP systems.

You are given a demonstration of a typical production order process runin SAP R/3, showing how production orders converted from SAP SCMpass through shop floor control, including packaging and storage ofthe produced goods.

� Sales and Distribution and Logistics Execution (Within OrderFulfillment)

This section provides an overview of how sales, deliveries, and billingcan be modeled in SAP systems.

You are given a demonstration of a typical sales and distributioncycle starting from a SAP R/3 sales order, including GlobalAvailable-to-Promise, delivery, and billing.

� Supply Chain Event Management Overview

This section provides an overview of how planned and unplanned eventscan be monitored and evaluated across the entire supply chain. This canbe performed within a company but also across company boundaries; forexample, to improve delivery reliability.

For example, information gained from a message about a machinebreakdown is passed on to the relevant production scheduler.

� Overview of Supplier Managed Inventory (SMI) Processes With theSAP Inventory Collaboration Hub

This section provides an overview of how suppliers who cannot bereached by EDI can be connected through the Internet.

� Conclusion

This section summarizes all the functions of the mySAP Supply ChainManagement solution.

viii © 2004 SAP AG. All rights reserved. 30-08-2004

SAPSCM Course Overview

Target AudienceThis course is intended for the following audiences:

� Managers and key users responsible for implementing or workingwith complex production networks, supply networks, and procurementnetworks (supply chain management) within their companies, whowant to gain an overview of the mySAP Supply Chain Managementsolution (mySAP SCM).

Course PrerequisitesRequired Knowledge

� Windows application environment

Recommended Knowledge

� Basic knowledge of supply chain management� SAP01 (SAP Overview)

Course GoalsThis course will prepare you to:

� Demonstrate an understanding of the functions and content of themySAP Supply Chain Management solution (mySAP SCM)

Course ObjectivesAfter completing this course, you will be able to:

� List the key component solutions of the mySAP Business Suite� Reproduce typical mySAP Supply Chain Management scenarios� Navigate the curriculum for mySAP Supply Chain Management

SAP Software Component InformationThe information in this course pertains to the following SAP SoftwareComponents and releases:

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Course Overview SAPSCM

x © 2004 SAP AG. All rights reserved. 30-08-2004

Unit 1mySAP Supply Chain Management

Overview

Unit OverviewThis unit provides an overview of:

� The mySAP Business Suite and its solutions� The mySAP Supply Chain Management solution (mySAP SCM) within

the mySAP Business Suite� The integration of the SAP Business Information Warehouse in the

mySAP SCM solution.

Unit ObjectivesAfter completing this unit, you will be able to:

� Describe the mySAP Business Suite and list its solutions� Describe the mySAP Supply Chain Management solution (mySAP SCM)

within the mySAP Business Suite� Understand how the SAP Business Information Warehouse is integrated

in the mySAP SCM solution.

Unit ContentsLesson: mySAP Supply Chain Management Overview ... . . . . . . . . . . . . . . . . . . . . . . .2

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Unit 1: mySAP Supply Chain Management Overview SAPSCM

Lesson: mySAP Supply Chain Management Overview

Lesson OverviewThis lesson introduces you to the main concepts and terminology of themySAP environment.

Lesson ObjectivesAfter completing this lesson, you will be able to:

� Describe the mySAP Business Suite and list its solutions� Describe the mySAP Supply Chain Management solution (mySAP SCM)



Business ExampleThe Precision Pump company would like to improve their supply chainmanagement processes to identify bottlenecks sooner, optimize use ofresources, and reduce costs.

They also want to improve customer service by reducing lead times andguaranteeing availability of materials and resources.

Project members from the Precision Pump company want to see if or how themySAP SCM solution can be used to fulfill these goals.

The mySAP Business SuiteThis section provides an overview of the mySAP Business Suite and itscomponent solutions.

2 © 2004 SAP AG. All rights reserved. 30-08-2004

SAPSCM Lesson: mySAP Supply Chain Management Overview

Figure 1: The mySAP Business Suite

The mySAP Business Suite is a family of solutions and services that empowerscustomers, business partners, and employees to collaborate successfully- anywhere, anytime.

With the mySAP Business Suite, SAP integrates its extensive business andindustry expertise into a comprehensive platform of business solutions,services, and technology. The mySAP Business Suite platform is based onan open, flexible architecture for collaboration across company boundariesthat supports databases, applications, operating systems, and hardware fromalmost every major vendor.

The following figure provides an overview of the mySAP.com solutionarchitecture:



Figure 2: The mySAP.com Solution Architecture

mySAP SCM OverviewThe main goal of the mySAP SCM solution is to support companies inplanning, controlling, and optimizing their supply chains.

The following figure shows a typical supply chain with the associated flowof goods, capital, and information.

Figure 3: The Supply Chain: From Supplier to Consumer



Supply chain management manages the flow of material, information, andcapital through a network of suppliers, manufacturers, distributors, andcustomers.

For effective supply chain management, this flow must be well-coordinatedand integrated within a company and across company boundaries.

Why manage the supply chain?

� To reduce costs for procuring finished goods and raw materials� To improve customer service� To dramatically lower on-hand stocks� To leverage all resources to bring substantial benefits to a company

The following figure provides an overview of the mySAP SCM solution andits components:

Figure 4: Complete Solution Overview

The following figure provides an overview of the different SAP systemswithin mySAP SCM, showing where the different components of the solutionare based.

Certain aspects of mySAP SCM functionality are provided by both SAP SCMand SAP R/3. The advantages or disadvantages of each are detailed in thesubsequent units of this course.



The system demos within this course follow the path of the dark gray arrowin the following figure:

Figure 5: Supply Chain Planning Overview

Integration of the mySAP SCM, mySAP PLM, and SAPBW solutionsThe following figure provides an insight into how mySAP SCM and mySAPPLM are integrated:



Figure 6: Integration of mySAP PLM and mySAP SCM

mySAP PLM provides the product and process data for mySAP Supply ChainManagement.

You manage the product and process data within mySAP PLM. This data canbe accessed by every user from the first planning stages through to productdiscontinuation.

The SAP Netweaver SAP Business Information Warehouse provides the databasis for planning functions in mySAP SCM:



Figure 7: Integration of the SAP Business Information Warehouse in the mySAPSCM Solution



Lesson Summary

You should now be able to:� Describe the mySAP Business Suite and list its solutions� Describe the mySAP Supply Chain Management solution (mySAP SCM)




Unit Summary SAPSCM

Unit SummaryYou should now be able to:� Describe the mySAP Business Suite and list its solutions� Describe the mySAP Supply Chain Management solution (mySAP SCM)




Unit 2mySAP SCM: Planning

Unit OverviewSupply chain planning within mySAP SCM contains the supply chain designand collaborative demand and supply planning key capabilities.

Supply chain design is used for planning or designing your own businessstrategy. You mainly use it to:

� Design the supply chain infrastructure� Support your strategic decision-making process when choosing the most

cost-effective and efficient vendors, production locations, distributioncenters, supply relationships, distribution concepts, and transportationnetworks

You use collaborative demand and supply planning, in particular, to:

� Forecast market trends (using a variety of forecasting techniques)� Plan promotions� Plan sales volume and demand, considering historical buying and selling

behavior� Plan requirement coverage for various sources of supply� Constantly update and synchronize supply plans based on dynamically

exchanged information� Determine production requirements for producers across the entire

supply network and notify partners of production progress

Functions such as multilevel planning, lifecycle management, causal andcapacity analyses, quota arrangement, product allocation, and ATP checks areintegrated within collaborative demand and supply planning.


Unit 2: mySAP SCM: Planning SAPSCM

To introduce you to collaborative demand and supply planning, this coursehas individual lessons on the following components:

� Demand Planning

In this lesson, you learn how to use historical data from the SAP BusinessInformation Warehouse to create a demand plan for the demo company.

� Supply Network Planning

In this lesson, you learn how to use the results of Demand Planning toplan the supply network for your demo company.

� Production Planning and Detailed Scheduling

In this lesson, you learn how to use the results from Supply NetworkPlanning to plan plant-specific requirements and capacity for aproduction plant.


� Demonstrate an understanding of how to model the supply chainnetwork of a corporate group

� Describe how SAP R/3, SAP SCM, and non-SAP systems are integrated� List the main functions of the Alert Monitor� List the main requirements for Demand Planning� Outline the different options for planning on different planning levels,

such as sales organization level or product level (consistent planning)� Describe how the Business Information Warehouse is integrated in

Demand Planning� Create a simple forecast� Describe the Supply Network Planning process flow� Describe the Supply Network Planning methods� Demonstrate an understanding of how Production Planning fits into

mySAP SCM Planning� List the differences between Production Planning in SAP SCM and in

SAP R/3� Use simultaneous material and capacity planning from SAP SCM� Check the planning results in SAP SCM and SAP R/3


SAPSCM Unit 2: mySAP SCM: Planning

Unit ContentsLesson: Designing and Monitoring the Supply Chain .. . . . . . . . . . . . . . . . . . . . . . . . . . 14

Exercise 1: Supply Chain Design ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21Lesson: Demand Planning Overview ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Exercise 2: Demand Planning .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33Lesson: Supply Network Planning Overview... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

Exercise 3: Supply Network Planning .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55Lesson: Production Planning and Detailed Scheduling.. . . . . . . . . . . . . . . . . . . . . . . . 60

Exercise 4: Production Planning and Detailed Scheduling .. . . . . . . . . . . . . . . 75



Lesson: Designing and Monitoring the Supply Chain

Lesson OverviewThis lesson provides an overview of the different options available fordesigning your supply chain.

The main topics covered are:

� Designing the supply chain infrastructure� Supporting your strategic decision-making process when choosing

the most cost-effective and efficient vendors, production locations,distribution centers, supply relationships, distribution concepts, andtransportation networks


� Demonstrate an understanding of how to model the supply chainnetwork of a corporate group

� Describe how SAP R/3, SAP SCM, and non-SAP systems are integrated� List the main functions of the Alert Monitor

Business ExampleBefore you can implement and test supply chain scenarios, the first projectstep is to model the enterprise structure of the Precision Pump company.

This provides the basis for the supply chain definition:


SAPSCM Lesson: Designing and Monitoring the Supply Chain

Figure 8: Designing the Supply Chain

Several SAP and often non-SAP systems have to be connected to run mySAPSupply Chain Management. For example, when creating supply chains, it isessential to maintain master data for the following:

� Plant� Customer� Vendor

This master data is maintained in SAP R/3 or a similar OLTP system andthen transferred to SAP SCM through the CIF interface, as the followingfigure shows:



Figure 9: System Integration

The mySAP SCM business processes presented in this course take placemainly in the SAP SCM and SAP R/3 systems. The CIF interface is used fordata integration, as described below:

� The APO Core Interface (CIF) is responsible for exchanging data betweenSAP SCM and SAP R/3 systems. The APO Core Interface is a real-timeinterface that links SAP SCM with one or more SAP R/3 systems.

� Only data objects that are actually required by the SAP SCM datastructures for the various planning and optimization processes aretransferred from the complex dataset of SAP R/3 to SAP SCM.

� The APO Core Interface provides both the initial data transfer (initialtransfer) and the data changes (transfer of data changes) to APO.

� The APO CIF is delivered within an SAP R/3 Plug-In.� Business Application Programming Interfaces (BAPIs) are the official

standard used for technical integration of SAP SCM with a non-SAPR/3 environment.

The following figure provides an overview of the different constituent parts ofthe supply chain:



Figure 10: Objects in the Supply Chain Network

In SAP SCM, a location can be a distribution center, manufacturingplant, supplier location, customer, transportation service provider (TSP),transportation zone, or MRP area.

Transportation lanes are used for modeling material flow between locations.You use locations and transportation lanes to model your supply chain.

A transportation zone can be used to group together customers - withina location hierarchy, for example. The transportation zone is used in theTransport Load Builder (TLB), and in transportation planning. Transportationservice providers and stock transfer points are only used in transportationplanning. In SNP, an MRP area is planned in the same way as a productionplant.

Product master records, resources, and production process models (PPMs) areassigned to locations.

� You can use resources to model production capacities, storage capacities,transportation capacities, and handling capacities.

� You can use DP, SNP, and PP/DS production process models to definebills of material (BOMs).



Usually, the fundamental supply chain problem is that product-to-customerdelivery time has to be significantly shorter than the manufacturing timeor lead time. To achieve this and guarantee good delivery service, stocksand safety stocks of components or finished products have to be built up atplants or distribution centers (DCs).

You use postponement strategies to specify to what extent the sales orderinfluences the supply chain; that is, where make-to-stock production (pushstrategies) becomes separated frommake-to-order production (pull strategies).

The term �bullwhip effect� is used when small fluctuations in a (constant)demand pattern lead to large fluctuations at the manufacturer or supplier,triggered by lot size creation.

You cannot solve supply chain problems simply by implementing anadvanced planning system. You might also need to consider organizationalrestructuring.

You can use integrated exception handling (the Alert Monitor) to monitoryour supply chains, as shown in the following figure:

Figure 11: Integrated Exception Handling



The role of the Alert Monitor is to inform you of exceptions that haveoccurred in your plan. Every situation that has to be adjusted in planningis an exception.

The Alert Monitor in Supply Network Planning enables you to display andremove alerts for resources and location products. An alert is triggeredwhen the resource is overloaded (when the utilized capacity is over 100%),not sufficiently loaded (utilized capacity less than 50%), or when there is arequirements shortage, or a shortfall of safety stock, or an excess or shortfall ofthe target days� supply. There are also customer-specific alerts.

The alerts that you can define and send by e-mail allow you to maintainconstant control over your supply chain network. As a planner or manager,you will be prepared for any problems that occur. You will always beinformed in time so that you can take the necessary precautions.

The Supply Chain Cockpit is a significant tool for supply chain monitoring.See the following figure:

Figure 12: Supply Chain Cockpit

You use the Supply Chain Cockpit to monitor your supply chains.



After you have made your initial settings and definitions, you also have theoption of redesigning your supply chains at a later stage of operation.



Exercise 1: Supply Chain Design

Exercise ObjectivesAfter completing this exercise, you will be able to:� Perform the main steps involved in designing the supply chain for the

Precision Pump demo company

Business ExampleBefore you can implement and test the various supply chain scenarios, thefirst project step is to check the enterprise structure of the Precision Pumpcompany that was modeled in SAP APO.

Task:Familiarize yourself with the enterprise structure of the Precision Pumpcompany that is used in all the subsequent exercises.

1. In SAP APO, display the (enterprise) model used in this course(transaction: /SAPAPO/SAPLSCC_CPIT2)

Input data:

Model

000

Work area

PUMP_SCM

Logical view

PUMP

2. Go to the detail views for Supplier, Plant, Distribution Center, andCustomer.

3. Select pump T-F2## and display the transport net.



Solution 1: Supply Chain DesignTask:Familiarize yourself with the enterprise structure of the Precision Pumpcompany that is used in all the subsequent exercises.

1. In SAP APO, display the (enterprise) model used in this course(transaction: /SAPAPO/SAPLSCC_CPIT2)

Input data:

Model

000

Work area

PUMP_SCM

Logical view

PUMP

a) Menu path

User menu for SAPSCM-##→Modeling→ Display Model

Input data:

Model 000Work area PUMP_SCM

Settings→ Logical View

Logical view PUMP

2. Go to the detail views for Supplier, Plant, Distribution Center, andCustomer.

a) Choose the relevant location type.

Continued on next page



3. Select pump T-F2## and display the transport net.

a) Select the pushbutton Location Productsb) Using the right-hand mouse button, choose product T-F2##.c) Menu path: Queries → Transport Net (Map)



Lesson Summary

You should now be able to:� Demonstrate an understanding of how to model the supply chain

network of a corporate group� Describe how SAP R/3, SAP SCM, and non-SAP systems are integrated� List the main functions of the Alert Monitor


SAPSCM Lesson: Demand Planning Overview

Lesson: Demand Planning Overview

Lesson OverviewWithin mySAP SCM, Demand Planning is used for forecasting market trends(using a variety of forecasting techniques), and promotion planning. Youuse it to plan sales volume and demand, considering historical buying andselling behavior.


� List the main requirements for Demand Planning� Outline the different options for planning on different planning levels,


Demand Planning� Create a simple forecast

Business ExampleThe Precision Pump company would like to use consistent planning to createa monthly forecast for their finished products.

Consistent planning allows you to maintain forecasting data on differentplanning levels and to then consolidate the data to other planning levels.

Demand Planning can be executed in either SAP R/3 (Flexible Planning) orSAP SCM (Demand Planning).

It creates the input data for either SAP R/3 Demand Management or SAP SCMSupply Network Planning:



Figure 13: Demand Planning Overview

The system demo shows a simple Demand Planning process in SAP SCM.

The following figure provides an overview of the different planning horizonswithin the mySAP SCM planning key functional area:



Figure 14: Demand Planning

Demand Planning (DP) enables you to predict customer and consumerdemand based on historical and statistical forecasting techniques. Demandplanning data is usually bucketed with no constraints. The forecast datais then released to Supply Network Planning to create constraint-based orfeasible production and distribution plans. The production plans have to beconstrained and based on resource availability.

Supply Network Planning is usually a bucketed and medium-term planningprocess.

Production Planning and Detailed Scheduling is used for short-term,order-based planning according to sequences and setup times. In addition,a complete BOM explosion is possible in Production Planning and DetailedScheduling.

Deployment and Transport Load Builder (TLB) are parts of the SNP modulefor short-term replenishment planning. Deployment and TLB adjust stocktransfers according to short-term changes in demand or supply.

Transportation planning optimizes routes and the capacity utilization ofmeans of transport.



The SAP SCM Demand Planning pallet of statistical forecasting andadvanced macro techniques allows you to create forecasts based on both saleshistory as well as any number of causal factors, and to use a consensus-basedapproach to consolidate the results.

Market intelligence and management adjustments can be taken into accountusing promotions and forecast overrides.

Aggregated actual data can be extracted from the SAP R/3 system in exactlythe same way as it can be imported from SAP BW, Excel, and legacy systems.

The following figure provides an overview of Demand Planning:

Figure 15: Demand Planning

There are various techniques for creating forecasts of future demand based onaggregated historical data. An agreed version is released after results havebeen discussed with the different departments.

The planned independent requirements that are created from this can beconsumed against incoming customer demands using a variety of strategies.

Incoming customer demands are updated in aggregated form and used as thebasis for future plans.

The following figure clarifies this:



Figure 16: The Demand Planning Process Flow

Consistent planning is used to keep planning data consistent at all planninglevels. Data is aggregated and disaggregated automatically, as shown in thefollowing figure:

Figure 17: Consistent Planning

Consistent planning throughout the entire enterprise allows detailed plansto be automatically consolidated.



You can decide between:

� Top-down planning:

Proportional factors are used to automatically distribute an aggregatedplan down to the detail levels (product, customer, sales area, and so on)

� Middle-out planning:

Mid-level planning data is summarized for the entire plan anddistributed down to the detail levels.

� Bottom-up planning:

Detailed data is automatically summarized for the entire plan.

Consistent planning can be used to simulate several different planningscenarios.

The following figure details the different forecasting techniques:

Figure 18: Forecasting Techniques

You can usemacros to perform complex calculations quickly and easily. Theextreme flexibility of macros allows the planner to model his or her planningenvironment based on individual business tasks.



Figure 19: Demand Planning Calculations

To conclude this lesson, the following figure compares the demand planningfunctionality of SAP R/3 with that of SAP SCM:

Figure 20: Differences Between Demand Planning in SAP R/3 and SAP SCM



Exercise 2: Demand Planning

Exercise ObjectivesAfter completing this exercise, you will be able to:� Execute a simple Demand Planning process and release it.

Business ExampleThe Precision Pump company would like to use consistent planning to createa monthly forecast for their pump T-F2##.

Task:Execute a simple Demand Planning process, release, and display the resultsfrom the view of the affected locations.

1. In SAP APO, run interactive Demand Planning (transaction/SAPAPO/SDP94):

Data to enter in selection screen:

Show APO ProductAPO Planning Version 000APO Product T-F2##

Data to enter in the Planning book/data view screen

Planning book SALESData view SALESPLAN

2. Release your demand plan. This generates planned independentrequirements for the different locations (transaction /SAPAPO/MC90):

Data to enter in the Data Source field group:

Planning area SALESPlanning Version 000Key figure FINFOR




Data to enter in the Target field group:

Planning Version 000

Data to enter in the Horizon field group:

From date: TodayTo date: Today + 6 months

Data to enter in the Object Select. field group:

Product T-F2##

3. In SAP APO, display the results in the product view (transaction/SAPAPO/RRP3):

Input data:

Planning Version 000Product T-F2##Location 2400, 1000

4. In the current stock/requirements list (transaction MD04), show thatthese planned independent requirements have not automatically beentransferred from SAP APO Demand Planning to the connected SAPR/3 system (transaction MD04):

Input data:

Material T-F2##MRP area 2400 or 1000Plant 2400 or 1000



Solution 2: Demand PlanningTask:Execute a simple Demand Planning process, release, and display the resultsfrom the view of the affected locations.

1. In SAP APO, run interactive Demand Planning (transaction/SAPAPO/SDP94):








a) Menu path:

User menu for SAPSCM-##→ Demand Planning→ Supply and DemandPlanner: Init. Screen

Choose Selection screen





� Load the data. To do this, choose the Load data button in theright-hand window

� Run the forecast. To do this, choose the Univariate forecastbutton in the header line.

� Save the forecast and choose the green arrow to return toDemand Planning

� Save your demand plan.

2. Release your demand plan. This generates planned independentrequirements for the different locations (transaction /SAPAPO/MC90):











Product T-F2##

a) Menu path:

User menu for SAPSCM-## → Demand Planning→ Transfer PlannedIndependent Reqmts








Product T-F2##

� Choose Execute F8

3. In SAP APO, display the results in the product view (transaction/SAPAPO/RRP3):




Input data:


a) Menu path:

User menu for SAPSCM-##→ Demand Planning→ Product View

Input data:


All requirements have this category: IndReq

4. In the current stock/requirements list (transaction MD04), show thatthese planned independent requirements have not automatically beentransferred from SAP APO Demand Planning to the connected SAPR/3 system (transaction MD04):

Input data:


a) Menu path:

User menu for SAPSCM-## → Demand Planning → DisplayStock/Requirements Situation

Input data:




Lesson Summary

You should now be able to:� List the main requirements for Demand Planning� Outline the different options for planning on different planning levels,


Demand Planning� Create a simple forecast



Lesson: Supply Network Planning Overview

Lesson OverviewWithinmySAP SCM, SupplyNetwork Planning (SNP) integrates procurement,production, distribution, and transportation so that comprehensive tacticalplanning and sourcing decisions can be simulated and implemented on thebasis of a global model.

Starting from a demand plan, Supply Network Planning determines a feasibleshort to medium-term plan for fulfilling estimated sales quantities. This plancovers both the quantities that must be transported between two locations (forexample, distribution center to customer or production plant to distributioncenter), and the quantities to be produced and procured. When makinga recommendation, Supply Network Planning compares all supply chainactivities with the available capacity.


� Describe the Supply Network Planning process flow� Describe the Supply Network Planning methods

Business ExampleThe Precision Pump company is implementing Supply Network Planning(SNP) to plan the material flow of critical parts for the entire supply chainover the medium to long-term planning horizon. It is also to take into accountstorage and production resources. You use this type of planning to guaranteeprocurement of parts with a long delivery time, to use resources effectively, toimprove customer service, and to minimize inventory and lead times.

� Supply Network Planning plans over the medium to long-term planninghorizon. It creates a quantity-based, cross-location production anddistribution plan with its own rough-cut bills of material (BOM) androutings.

� The SNP bill of material contains critical products that are produced onbottleneck resources and products with a long replenishment lead time.

� SNP ensures that the correct quantities of finished product and parts areavailable on the correct day without overloading critical resources. Themaximum scheduling accuracy lasts days.


SAPSCM Lesson: Supply Network Planning Overview

The following figure shows where SNP fits into the planning horizon:

Figure 21: Planning Horizons in mySAP SCM

Supply Network Planning is usually a bucketed and medium-term planningprocess.

The following figure shows the different planning scenarios within SupplyNetwork Planning:



Figure 22: Overview of the Different SNP Scenarios

The following can provide the initial data for SNP:

� Requirements from demand management (SAP R/3)� Planned independent requirements from Demand Planning (SAP SCM)

The SNP results can then be used in either Production Planning and DetailedScheduling or directly within mySAP SCM execution.

The following figure provides an overview of this:



Figure 23: Overview of SNP Transaction Data

Planned independent requirements come from either SAP R/3 DemandManagement or SAP SCM Demand Planning.

Sales orders come from the SD module within SAP R/3.

SNP generates SNP stock transfers and SNP planned orders. These plannedorders are then either converted into SAP R/3 production orders or plannedin detail within SAP SCM PP/DS, then transferred to SAP R/3 as productionorders. Therefore, detailed scheduling of SNP planned orders can take placein either SAP R/3 or SAP SCM.

The following figure shows a list of the main aspects of cross-plant SupplyNetwork Planning within SAP SCM:



Figure 24: Main Aspects of Supply Network Planning

Supply Network Planning supports the following planning scenarios:



Figure 25: SNP Planning Functions

� Supply Network Planning creates feasible medium-term procurement,production, and distribution plans.

� Deployment distributes stocks and available receipts to distributioncenters and Vendor-Managed Inventory (VMI) customers.

The following figure shows the individual steps of the SNP planning run:



Figure 26: The Supply Network Planning Process Flow

Planned independent requirements are generated for SNP or PP/DS when thedemand plan is released from Demand Planning. Either the demand planneror SNP planner can perform this step.

An SNP run using the SNP heuristic, SNP optimization, or Capable-to-Matchresults in a medium-term production and distribution plan.

You check the alerts after the SNP run and solve any problems that haveoccurred.

The final SNP plan consists of SNP stock transfers and SNP planned orders.You can automatically convert SNP planned orders into PP/DS planned orderswithin the production horizon. Production Planning and Detailed Scheduling(PP/DS) then processes these PP/DS planned orders to remove detailedconstraints and bottlenecks and to create a feasible production plan.

The final SNP plan can also be released back to Demand Planning so that theunconstrained demand plan can be compared with the feasible SNP plan. Ifthe discrepancies between the two plans are too major, you can use a macro totrigger alerts and encourage the demand planner to redo his forecasts.

After production planning is complete, the deployment run confirms the SNPstock transfers based on current receipts and requirements.

The Transport Load Builder (TLB) run groups the deployment stock transfersresulting from the deployment run into TLB shipments.



For deployment stock transfers that could not be satisfied during the TLB rundue to specified threshold values, you can manually build TLB shipments.

The Different Supply Network Planning MethodsThis section introduces you to the different Supply Network Planningmethods:

� Heuristic� Capable-to-Match� Optimizer

The following figure shows a typical heuristic scenario:

Figure 27: Heuristic Scenario

The heuristic�s job is to:

� Plan the supply to fulfill demand without taking into account constraintssuch as available capacity and material availability (infinite scheduling)

� Plan receipts (across plants and on a time bucket basis) for purchasing,production, and distribution over the entire supply network

� Synchronize activities and plan material flow throughout the entiresupply chain



Explanation of the above figure:

1. There is demand at a distribution center. The net requirements calculationdoes not find any stock. The product is procured externally. The systemanalyzes the possible transportation lanes. Demand is split according tothe quota arrangement and distributed to plants by stock transfers.

2. There is no stock at the plants, so SNP plans (PPMs) are exploded andplanned orders are created for the finished product and dependentdemands are created for the parts. The planned order in the plant withthe higher quota arrangement is not feasible from a capacity point ofview. An alert is generated and the supply chain planner must intervene.

3. Parts are then procured over the possible transportation lanes accordingto quota arrangements or priorities. The vendor with the highest prioritycannot deliver enough. An alert is generated and the supply chainplanner must intervene.

Therefore, the heuristic can be used for fast cross-plant distribution andprocurement planning, if constraints are not usually relevant.

The following figure shows a typical Capable-to-Match scenario:

Figure 28: CTM Scenario



Capable-to-Match (CTM) is a rules-based cross-plant planning method thattakes constraints such as available capacity and material availability intoaccount during the planning run (finite scheduling).

The feasibility of receipts is checked successively according to priorities orquota arrangements. The first feasible solution is scheduled.

Capable-to-Match (CTM) sequentially matches prioritized customer demandsand forecasts with feasible receipts in the network, taking into account currentcomponent availability and production capacities on a multilevel basis. CTMplans the first feasible solution. This must not be the optimal solution forsubsequent demands. CTM uses constraint-based propagation techniques.

CTM is an order-based planning method that enables orders to be trackedback to individual demand using pegging procedures. Thus, strictly speaking,CTM is not an SNP planning method, since SNP provides quantity-based andnot order-based planning. After the optimization (or heuristic) run, plannedproduction orders or purchase requisitions cannot be uniquely connectedback to the original sales order.

Explanation of the previous figure:

1. There is demand at a distribution center. The net requirementscalculation does not find any stock. The product is procured externally.The system analyzes the possible transportation lanes. CTM checks tosee how much of the finished product and parts can be procured fromthe plant with the highest quota arrangement. The full amount cannotbe procured. Therefore, procurement is split according to feasibility anddistributed to plants by means of stock transfer.

2. There is no stock at the plants, so SNP plans (PPMs) are exploded andplanned orders are created for the finished product and dependentdemands are created for the parts. The planned orders in the plants arefeasible from a capacity point of view. The supply chain planner doesnot need to intervene.

3. Parts are then procured over the possible transportation lanes accordingto quota arrangements or priorities. The suppliers are able to deliverenough. The supply chain planner does not need to intervene.



CTM takes the following into account:

� Individual demands� Production capacity� No handling, storage, or transportation capacities� Component availability� Location priority and demand priority� Pegging� ATP rules for product substitution and splitting of production over

multiple resources

The following figure shows a typical optimizer scenario:

Figure 29: Optimizer Scenario

The SNP optimizer is a cost-based cross-plant planning method that takesconstraints such as available capacity and material availability into accountduring the planning run (finite scheduling).

Feasibility of receipts is checked globally and the most cost-effective feasiblesolution is scheduled. Priorities are controlled through steering costs thatyou maintain in SAP SCM (except for procurement costs from purchasing



info records, scheduling agreements, or contracts). Quota arrangements areignored by the optimizer, although they can be optimized and created duringthe planning run.

The optimizer uses linear programming to take into account all the relevantfactors at the same time, meaning that products are planned simultaneouslyrather than sequentially. The optimizer finds the optimal solution byminimizing the transportation costs, production costs, storage costs, andhandling costs that represent the constraints.

Like the heuristic run, the optimization run is a quantity-based planningmethod without pegging. It is not possible for planned production orders orpurchase requisitions to be uniquely assigned back to the original sales order.

Explanation of the above figure:

1. There is demand at a distribution center. The net requirementscalculation does not find any stock. The product is procured externally.The system analyzes the possible transportation lanes. The optimizerglobally checks for the most cost-effective way of procuring the finishedproduct and parts. The full amount cannot be procured from themost cost-effective plant. Therefore, procurement is split according tofeasibility and costs and distributed to plants by means of stock transfer.

2. There is no stock at the plants, so SNP plans (PPMs) are exploded andplanned orders are created for the finished product and dependentdemands are created for the parts. The planned orders in the plants arefeasible from a capacity point of view. The supply chain planner doesnot need to intervene.

3. Parts are then procured over the possible transportation lanes accordingto quota arrangements or priorities. The suppliers are able to deliverenough. The supply chain planner does not need to intervene.

The optimizer takes into account the following:

� Bucketed total demands� Production, handling, storage, and transportation capacities� Component availability� Receipt and demand priority through steering costs� Splitting of production over several resources

The following table shows a comparison of the three planning methods:



Figure 30: Comparison of the Supply Network Planning Methods

In terms of performance, the heuristic is the fastest method, the optimizer theslowest and most complex, and CTM is in between. However, this is only ageneral rule of thumb. If you plan a large quantity of orders for each bucketand location product, the performance of CTM and the optimizer might becomparable, since CTM is an order-based planning method.

In terms of quality, the heuristic�s planning results are the weakest (infinite),followed by CTM (rules-based), and the optimizer is expected to provide thebest results, since this algorithm weighs up all possible options.

The optimizer and CTM consider production resources as finite, whereas theinfinite planning results from the heuristic have to be reworked interactivelyafter the planning run.

The optimizer can consider transportation, storage, and handling resourcesglobally as finite, whereas the infinite planning results from CTM and theheuristic can be reworked interactively after the run.

All the methods can automatically plan over all the bills of materials.

Costs are only relevant for the optimizer.



Priorities control CTM. There are product priorities, location priorities, orderpriorities, due date priorities, procurement priorities, and stock transferpriorities. To set priorities for the optimizer, you use penalty costs for lateand non-delivery of location products.

Both the heuristic and CTM use quota arrangements. The optimizer can beused to optimize these quota arrangements.



Exercise 3: Supply Network Planning

Exercise ObjectivesAfter completing this exercise, you will be able to:� Perform a simple network heuristic run within Supply Network Planning.

Business ExampleAfter Demand Planning has been run and the plan released, Supply NetworkPlanning uses it as a basis to plan the supply network of the entire company.

Task:Perform a simple network heuristic run within Supply Network Planning.Display the results of the SNP run.

1. In SAP APO, call up interactive Supply Network Planning in the SCMtraining system (transaction /SAPAPO/SNP94).

Input data:

Show APO Location ProductAPO Planning Version 000APO Product T-F2##

2. Perform a network heuristic run.

3. Display the results of the SNP run in the product view in the trainingsystem (transaction /SAPAPO/RRP3).

Input data:

Planning Version 000Product T-F2##Location 2400

or

1000




4. In the current stock/requirements list in SAP R/3 (transaction MD04),show the planned orders that were generated by the SAP SCM SNPrun and then transferred to SAP R/3.

Input data:

Material T-F2##MRP Area 2400 or 1000Plant 2400 or 1000



Solution 3: Supply Network PlanningTask:Perform a simple network heuristic run within Supply Network Planning.Display the results of the SNP run.

1. In SAP APO, call up interactive Supply Network Planning in the SCMtraining system (transaction /SAPAPO/SNP94).

Input data:


a) Menu path:

User menu for SAPSCM-## → Supply Network Planning → SNP:Interactive Planning

Choose Selection Screen

Input data:


� Select the Location 2400 row and load the data by choosingLoad data in the right-hand window.

2. Perform a network heuristic run.

a) Switch to change mode and choose Network Heuristic

The network heuristic is a single level, cross-plantMRP run.

3. Display the results of the SNP run in the product view in the trainingsystem (transaction /SAPAPO/RRP3).

Input data:





or

1000

a) Menu path:

User menu for SAPSCM-##→ Supply Network Planning→ Product View

Input data:

Planning Version 000Product T-F2##Location 2400 or 1000

You find the purchase requisitions in location 2400 and thecorresponding releases for the stock transport requisitions inlocation 1000.

4. In the current stock/requirements list in SAP R/3 (transaction MD04),show the planned orders that were generated by the SAP SCM SNPrun and then transferred to SAP R/3.

Input data:


a) Menu path:

User menu for SAPSCM-## → Supply Network Planning → DisplayStock/Requirements Situation

Input data:




Lesson Summary

You should now be able to:� Describe the Supply Network Planning process flow� Describe the Supply Network Planning methods



Lesson: Production Planning and Detailed Scheduling

Lesson OverviewWith Production Planning and Detailed Scheduling (PP/DS), you can planand optimize production, while taking into account product and resourceavailability.

Above all, PP/DS is used to plan critical products, such as products with a longreplenishment lead time or products to be produced on bottleneck resources.

PP/DS can be used to create feasible production plans and to do the following:

� Reduce lead times� Improve on-time delivery performance� Increase the throughput of products and reduce the stock costs through

better coordination

PP/DS is a planning tool. Shop floor control functions, such as confirmations,must be performed in SAP R/3 or in another OLTP system.


� Demonstrate an understanding of how Production Planning fits intomySAP SCM Planning

� List the differences between Production Planning in SAP SCM and inSAP R/3

� Use simultaneous material and capacity planning from SAP SCM� Check the planning results in SAP SCM and SAP R/3

Business ExampleIn Demand Planning, a sales forecast was created that was then transferredto the distribution centers as planned independent requirements. After SNPhas transferred the requirements through stock transfers to the productionplants, the production quantities and production capacities must now beplanned in the production plant.

Production Planning is possible in SAP R/3 and in SAP SCM. The followingfigure provides an overview of the various scenarios:


SAPSCM Lesson: Production Planning and Detailed Scheduling

Figure 31: Overview of Production Planning

Supply chain planning is divided into several steps and can be executed usingvarious components from SAP R/3 and/or SAP SCM. It is both possible anduseful to use the two systems together for integrated planning. Demandmanagement (the maintenance of planned independent requirements)can take place in SAP R/3 or in SAP SCM and is often the starting pointfor production planning in the individual production plants. Materialrequirements planning can be performed in SAP R/3 or in SAP SCM. Whilecapacity planning is carried out separately in a second step in SAP R/3,quantities and capacities can be planned simultaneously in ProductionPlanning and Detailed Scheduling (PP/DS) in SAP SCM. Production, that is,the processing of manufacturing orders (production orders or process orders),is executed in supply chain manufacturing.

The following figure shows how Production Planning is positioned in mySAPSCM:




Production Planning and Detailed Scheduling is used for short-term,order-based planning according to sequences and setup times. In addition,a complete BOM explosion is possible in Production Planning and DetailedScheduling.

SNP orders have be converted into PP/DS orders to be able to plan thereceipts created in Supply Network Planning (SNP) in detail in ProductionPlanning and Detailed Scheduling (PP/DS). This usually takes place within theproduction horizon, which is also known as the PP/DS horizon. The systemcreates PP/DS orders from the SNP orders and deletes the SNP orders. For theconversion, you can choose one of the following:

� Carry out a mass conversion of SNP orders that start in the PP/DShorizon

� Convert individual SNP orders specifically within and outside thePP/DS horizon

The roles and aims of production planning are explained in the followingfigure:



Figure 33: Production Planning

Production Planning is used for short-term, to-the-minute planning ofin-house production and external procurement in the production plant. InProduction Planning, requirements are fulfilled by creating planned orders(for planning in-house production) and purchase requisitions or schedulingagreement schedule lines (for planning external procurement). Unlikemedium-term planning in SNP, production planning in the plant is detailedand uses exact times. Therefore, the exact production dates/times are definedfor production of the materials.

The following strategies can be used for planning:

� Make-to-stockProduction based on make-to-stock planning, using warehousestock to meet requirements

� Subassembly planningMake-to-stock production for assemblies

� Make-to-order productionThis can mean that assemblies are produced in the warehouse on amake-to-stock basis, but the finished product is completed for salesorder stock on a make-to-order basis

There are many options for planning production using planned independentrequirements. The various effects of planned independent requirements arecontrolled through the planning strategy. If you use make-to-stock productionstrategies, production usually takes place without there being sales ordersfor the respective material. If sales orders are then received, these can be



fulfilled from stock at the warehouse, which means that delivery times can bekept short. With make-to-stock production, it is also possible to implement asteady production process, independent of the current demand.

Make-to-stock production can also be executed for assemblies. In this case,it is not the finished products that are produced for stock; it is the requiredassemblies that are procured. A sales order for a finished product can usuallybe fulfilled quickly because only final assembly remains to be carried out andthe assemblies required for this already exist.

There is no planning as such in make-to-order production; production startsonce an actual sales order has been received. Make-to-order production isoften used in connection with subassembly planning for the components, tokeep delivery times as short as possible.

The demand program provides the data for demand management:

Figure 34: Demand Program in the Production Plant

Demand management affects management of the independent requirements.Independent requirements can be entered directly for a production plant.



Planned independent requirements are stock requirements that are derivedfrom a forecast of the future requirement situation. In make-to-stockproduction, you want to start procurement of the affected materials withoutwaiting for specific sales orders. Sales orders (customer independentrequirements) are entered from Sales and Distribution. Customerrequirements can go directly into requirements planning. This is alwaysdesirable if you want to plan for specific customers.

Stock transfer requirements, that is, requirements from other locations in thesupply chain (such as distribution centers) can be included in the demandprogram along with the independent requirements entered in the productionplant.

Requirements planning converts the demand program into planned orders,purchase requisitions, or scheduling agreement schedule lines:

Figure 35: Results of Requirements Planning

Requirements planning creates new procurement proposals in the eventof a shortage situation. Planned orders are basically created for materialsproduced in-house, while purchase requisitions or scheduling agreementschedule lines can also be created directly for materials procured externally.



The procurement type is used to define if a material is to be produced in-houseor procured externally. If both procurement types are permitted by theprocurement type, requirements planning starts with in-house production.

To switch from planning to execution, planned orders have to be convertedinto manufacturing orders or purchase requisitions, which in turn areconverted into purchase orders for purchasing.

In addition to material masters, BOMs and routings are also required to planproduction of a material:

Figure 36: In-House Production: BOMs and Routings Using a Pump as anExample

A BOM specifies which assemblies or components are involved in theproduction of a material. These assemblies or components are thereforerequired so that the finished product can be produced.

The assemblies of a BOM themselves can also be produced from components.These components are contained in the assembly BOM.

The process steps required for producing a material are defined in a routing.It contains the times for the individual operations and the work centers wherethey are to be executed.



Multilevel single-item planning affects the entire BOM structure of therelevant material; that is, all dependent requirements below the material arecovered by procurement proposals:

Figure 37: Multilevel Backward Scheduling

The dependent requirements are created in the form of dependentrequirements. The dependent requirements are attached to a planned orderand specify which components are required to complete this planned order.

Only one material is planned in single-level individual planning. Since theprocurement proposals are created, for example, in the form of planned ordersfor this material, the dependent requirements are derived from the single-levelplanning at least for the materials directly below the finished product.

In material requirements planning that you can run in SAP R/3 (R/3 MRP:Material Requirements Planning) or in SAP SCM (APO PP/DS ProductionPlanning and Detailed Scheduling), the procurement dates for the requiredassemblies and components are determined based on the requirement datesfor the finished product (for example, a sales order).

Material requirements planning uses backward scheduling in which therequired start dates are determined from a predefined finish date.



Material requirements planning responds to the requirements for the finishedproduct (for example, sales orders). Procurement is scheduled for productsproduced in-house based on the routing. The production operations to beexecuted and the length of the individual operations are specified in therouting. The assemblies (from the BOM) required for production must beavailable when production of the finished product is started. Procurement ofthese assemblies must therefore be started earlier. Starting with the dependentrequirements date as availability date, the order dates of the components aredetermined in backward scheduling using the in-house production time orthe planned delivery time.

The results of material requirements planning or the current requirementssituation can be clarified using the MRP list and the stock/requirements list:

Figure 38: Stock/Requirements List and MRP List

You can evaluate the planning situation or the results of a planning run inSAP R/3 using the current stock/requirements list and the MRP list. You havethe choice of individual access or collective access.



The current stock/requirements list is a dynamic list that shows the currentstatus of stock, requirements, and receipts. Changes are visible immediatelywhen you access the current stock/requirements list or when you chooseRefresh in the current stock/requirements list display to read elements directlyfrom the database.

The MRP list displays the result of the last planning run and is static: Changesmade after the planning run are not visible. You can set whether you wantan MRP list to be created during the planning run.

The basic structure of both lists is the same:

� On the left (optional) is the worklist of the MRP controller in the form ofa tree.

� The header with the material number is above the list. More informationis displayed above the header details.

� The list itself contains the individual MRP elements and thecorresponding available quantities.

User-specific settings enable you to adjust the list to suit your personalrequirements.

Capacity requirements resulting from the planned orders can be calculatedusing the routing in material requirements planning. Requirements planningonly creates the requirements; for the time being, no check is performed to seeif the work center is still available on the relevant dates (R/3 MRP).

In a second step, a check is made to see if planning can be implemented; thatis, to see if the work centers are available on the requested dates. This takesplace within capacity planning:



Figure 39: Material Requirements Planning and Capacity Planning in SAP R/3

Capacity planning is usually work center specific. The role of capacityplanning is to schedule all operations from the planned or manufacturingorders so that the production plan can be fulfilled.

The following overview explains the benefits of Production Planning andDetailed Scheduling in SAP SCM:

� Detailed scheduling with simultaneous planning of quantities andcapacities (PP/DS)

� To-the-minute material requirements planning, also for dependentrequirements

� Multilevel material and capacity availability check (ATP) for sales orders� Multilevel forward scheduling of a sales order� Optimization algorithm in Detailed Scheduling (to minimize setup times,

setup costs, date delays, or select alternative resources for example)� Dynamic alerts� Capacity categories: Time, service, volume, piece



Use the following figure to help you decide whether you need to plan anassembly in SAP R/3 or in SAP SCM:

Figure 40: Using Production Planning and Detailed Scheduling in SAP SCM

The following figure uses an example to explain the benefits of simultaneousquantity and capacity planning in PP/DS:



Figure 41: Production Planning and Detailed Scheduling

If a product is not available, planning is triggered through the requirement(for example, sales order, dependent requirement): In PP/DS, SAP SCMcreates a planned order for the requested quantity for in-house production.All operations of the production process model (PPM, SAP SCM master datarecord, which contains routing and BOM from SAP R/3) are scheduled on thePPM resources, while the system takes account of the capacity restrictions(available capacity and orders that may have already been scheduled).

If a finitely planned resource is already exhausted by the requested date, thesystem searches for a date on which the planned order can be created. Inthe strategy profile, you set which scheduling procedure you would like thesystem to use (find slot or infinite scheduling for example).

SAP SCM is a planning tool that cannot be used alone. For instance, SAP SCMuses data from SAP R/3 (stock or sales orders) during planning, and SAP R/3uses dates and quantities that were planned in SAP SCM during execution.Therefore, the planning process in SAP SCM relies on a constant exchange ofdata between SAP SCM and SAP R/3.



Figure 42: SAP SCM Planning with SAP R/3 Integration

The results of Demand Planning in SAP SCM could be planned independentrequirements in SAP SCM itself (release of the forecast to SAP SCM DemandPlanning). These planned independent requirements can also be transferredto SAP R/3 for further planning.

Sales orders and planned independent requirements are the starting pointfor Supply Network Planning (SNP) and Production Planning and DetailedScheduling (PP/DS) in SAP SCM. Existing storage location stocks are alsoincluded in the planning process. Sales orders are entered in SAP R/3 andthen transferred to SAP SCM.

You use Supply Network Planning (SNP) mainly for rough planning ona short to medium-term basis along the entire supply chain. You use it tocreate stock transfers between distribution centers and plants, but can alsouse it to create planned orders (for planning in-house production) andpurchase requisitions (for planning external procurement) directly in theproduction plant for the longer-term horizon. However, you use ProductionPlanning and Detailed Scheduling (PP/DS) mainly to create planned ordersand purchase requisitions directly in the production plant over the short-termhorizon. The APO Core Interface (CIF) is used to transfer the transactiondata created in SAP SCM over to SAP R/3 for execution. (Mass processing inSAP SCM Demand Planning is only used for transferring the demand plan



from SAP SCM to SAP R/3 as planned independent requirements.) However,planned independent requirements maintained in SAP R/3 can be transferredautomatically to SAP SCM through CIF.

Once the planned orders and purchase requisitions approach the currentdate, the MRP controllers or purchasers in SAP SCM can start collectiveconversion to convert the planned orders into production orders, and thepurchase requisitions into purchase orders. You use deployment and the TLB(Transport Load Builder) in SAP SCM to convert SNP stock transfers (alsoknown as stock transport requisitions) into deployment stock transfers andTLB shipments (also known as stock transport orders). These documents arealso transferred to SAP R/3 for execution. Execution functions such as release,confirmations, material staging, or goods movements for production ordersor purchase orders are posted in SAP R/3. Confirmation data, and so on, istransferred back from SAP R/3 to SAP SCM.



Exercise 4: Production Planning andDetailed Scheduling

Exercise ObjectivesAfter completing this exercise, you will be able to:� Perform a simple Production Planning and Detailed Scheduling run

in SAP APO

Business ExampleIn Demand Planning, you have created a sales forecast that was thentransferred to the distribution centers as planned independent requirements.In SNP, after you have transferred the requirements in the form of stocktransfers to the production plants, you have to plan the production quantitiesand production capacities in the production plant.

Task:Gain an overview of the requirements situation in the production plant 1000.

Then perform a production planning run.

Display the results in SAP APO and SAP R/3.

1. In SAP APO, demonstrate production planning for pump T-F2## inproduction plant 1000 (transaction /SAPAPO/CDPSB0).

2. In SAP APO, call up the product view for pump T-F2## in productionplant 1000, to check the results (transaction /SAPAPO/RRP3).

Input data:


3. Convert one of the planned orders into a production order.

4. In the current stock/requirements list in SAP R/3 (transaction MD04),show the production order that was generated by the SAP APO PP/DSrun and then transferred to SAP R/3.




Input data:

Material T-F2##MRP Area 1000Plant 1000

5. In SAP APO, call up the product view for flat gasket T-T2## inproduction plant 1000, to check the results of the planning run(transaction /SAPAPO/RRP3).

Input data:

Planning Version 000Product T-T2##Location 1000

6. In the current stock/requirements list in SAP R/3 (transaction MD04),show the purchase requisitions for the flat gasket that were generatedby the SAP APO PP/DS run and then transferred to SAP R/3.

Input data:

Material T-T2##MRP Area 1000Plant 1000



Solution 4: Production Planning andDetailed SchedulingTask:Gain an overview of the requirements situation in the production plant 1000.

Then perform a production planning run.

Display the results in SAP APO and SAP R/3.

1. In SAP APO, demonstrate production planning for pump T-F2## inproduction plant 1000 (transaction /SAPAPO/CDPSB0).

a) Menu path:

User menu for SAPSCM-## → Production Planning → ProductionPlanning Run

� Get the variantMYSAPSCM using Goto → Variants → Get ...and double-click the variant.

� To display the products and locations that are to be planned,choose the Select.crit. pushbutton for Step 01 .

� Enter the production planner 0##� Start production planning and detailed scheduling and choose

Execute F8.

2. In SAP APO, call up the product view for pump T-F2## in productionplant 1000, to check the results (transaction /SAPAPO/RRP3).

Input data:





a) Menu path:

User menu for SAPSCM-##→ Production Planning→ Product View

Input data:


In the production horizon, you see the planned orders for fulfillingthe planned independent requirements.

3. Convert one of the planned orders into a production order.

a) Choose a planned order in the product view, put a checkmark in theConversion Ind. column, and choose Set Conversion Indicator .

Setting the conversion indicator converts the planned order into aproduction order in SAP R/3 and confirms the production orderback to SAP APO. A short while later and after refreshing theproduct view, the planned order is replaced by the production order.

4. In the current stock/requirements list in SAP R/3 (transaction MD04),show the production order that was generated by the SAP APO PP/DSrun and then transferred to SAP R/3.

Input data:





a) Menu path:

User menu for SAPSCM-## → Production Planning → DisplayStock/Requirements Situation

Input data:


5. In SAP APO, call up the product view for flat gasket T-T2## inproduction plant 1000, to check the results of the planning run(transaction /SAPAPO/RRP3).

Input data:


a) Menu path:

User menu for SAPSCM-##→ Production Planning→ Product View

Input data:


The purchase requisitions for this item are displayed.

6. In the current stock/requirements list in SAP R/3 (transaction MD04),show the purchase requisitions for the flat gasket that were generatedby the SAP APO PP/DS run and then transferred to SAP R/3.




Input data:


a) Menu path:

User menu for SAPSCM-## → Production Planning → DisplayStock/Requirements Situation

Input data:




Lesson Summary

You should now be able to:� Demonstrate an understanding of how Production Planning fits into




Unit Summary SAPSCM

Unit SummaryYou should now be able to:� Demonstrate an understanding of how to model the supply chain

network of a corporate group� Describe how SAP R/3, SAP SCM, and non-SAP systems are integrated� List the main functions of the Alert Monitor� List the main requirements for Demand Planning� Outline the different options for planning on different planning levels,


Demand Planning� Create a simple forecast� Describe the Supply Network Planning process flow� Describe the Supply Network Planning methods� Demonstrate an understanding of how Production Planning fits into




Unit 3mySAP SCM: Execution

Unit OverviewSupply chain execution within mySAP SCM consists of external procurement,manufacturing, and order fulfillment.

External procurement covers the entire procurement process from purchaserequisition through source determination, purchasing, goods receipt, invoiceverification, and inventory management. It integrates direct Internet buyingcapabilities, use of e-market places, catalogs, and rule-based procurementprocesses for automated procurement.

Manufacturing supports discrete manufacturing (order-based andtime-based) and process manufacturing from planning through to execution.It creates feasible, optimized production schedules, takes material andcapacity constraints into account, and takes into account production resourceand tool availability.

Sales and distribution and logistics execution (within order fulfillment)support sales order management with quotation creation, delivery datedetermination, Global Available-to-Promise (Global ATP), picking, financialreporting, transportation management, including Transportation Planningand Vehicle Scheduling, and tracking of individual shipments.


� Perform the main steps involved in external procurement: Purchaserequisition, purchase order, goods receipt, and invoice verification

� List the main vendor confirmations� Give an overview of the Enterprise Buyer professional edition (EBP) as

an alternative to classic external procurement� Explain the main concepts of the various manufacturing methods SFC

(shop floor control), REM (repetitive manufacturing), and PI (processmanufacturing)


Unit 3: mySAP SCM: Execution SAPSCM

� Execute a typical SFC scenario� Create a sales order� Explain the features of the global availability check (Global ATP)� Perform Global ATP for a sales order� Describe the tasks of transportation planning� Deliver a sales order� Create a billing document for the sales order

Unit ContentsLesson: External Procurement ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85

Exercise 5: External Procurement .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105Lesson: Manufacturing ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119

Exercise 6: Manufacturing ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .139Lesson: Sales and Distribution and Logistics Execution ... . . . . . . . . . . . . . . . . . . .147

Exercise 7: Sales Process ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .161


SAPSCM Lesson: External Procurement

Lesson: External Procurement

Lesson OverviewWithin mySAP SCM, external procurement covers the entire procurementprocess from purchase requisition through source determination, purchasing,goods receipt, invoice verification, and through to inventory management. Itintegrates direct Internet buying capabilities, use of e-market places, catalogs,and rule-based procurement processes for automated procurement.


� Perform the main steps involved in external procurement: Purchaserequisition, purchase order, goods receipt, and invoice verification

� List the main vendor confirmations� Give an overview of the Enterprise Buyer professional edition (EBP) as

an alternative to classic external procurement

Business ExampleThe Precision Pump company would like to purchase the components it needsfor production from various vendors.



A Typical Procurement Cycle

Figure 43: A Typical Procurement Cycle



The main steps in external procurement are:

� Determination of requirements:

The relevant department can manually inform Purchasing of a materialsrequirement using a purchase requisition. If you have defined an MRPprocedure for a material in the material master record, SAP R/3 canautomatically create the purchase requisition.

� Determination of source of supply:

The relevant purchaser is supported by SAP R/3 when determiningpossible sources of supply. One option for determining the source ofsupply is to create requests for quotation and then to enter quotations.Furthermore, purchase orders and conditions that already exist in thesystem can be used.

� Vendor selection:

The selection of vendors is made easier by price comparisons betweenthe various quotations. Rejection letters can be sent automatically.

� Purchase order handling:

When you create purchase orders, the system gives entry aids.

� Purchase order monitoring:

The purchaser can monitor the processing status of the purchase order inthe system. For example, he or she can determine if a goods receipt oran invoice receipt has been made for the relevant purchase order item.Expediting procedures are also supported.

� Goods receipt:

The system checks the incoming goods quantity against the purchaseorder quantity.

� Invoice verification:

The vendor invoices are checked for accuracy of the arithmetic and thecontents.

� Handling of payments:

The vendor payment is usually made in Financial Accounting.



Organizational Levels in the Procurement Process

Figure 44: Organizational Levels in the Procurement Process

In SAP R/3, the organizational levels represent the legal or organizationalstructure of a company.

Defining the organizational levels is an essential work step in your project. Itis of vital importance for all subsequent activities.

First, analyze the structure and process organization in your company andmake these consistent with the SAP structures.

Once you have decided on an organizational structure, considerable effortwould be required to change it again.



Master Data in the Procurement Process

Figure 45: Master Data in the Procurement Process

Master data contains data records that are stored for a long time in thedatabase. These are stored centrally, and are used and processed on across-application basis. This avoids multiple storage (redundancy) of data.

The material and vendor master records contain some of the most importantmaster data in the procurement process.

When you create purchasing documents, SAP R/3 supports you whenyou enter data by copying over data from existing master records into thepurchasing documents as default values. Data such as units of measure,material description, and so on, is taken from the material master. The vendormaster record contains, among other things, address and payment data. Datafor a specific material such as delivery time and purchase price can be stored,depending on the vendor, in info records.



Purchase Requisition

Figure 46: Purchase Requisition

Purchase requisitions are internal documents that you use to requestPurchasing to procure a specific quantity of a material or a service for aspecific date.

The purchase requisition is either entered manually by the departmentresponsible or created automatically through material requirements planning.

When you create a purchase requisition for materials with a material masterrecord, you are supported by SAP R/3 when you enter data, because ittransfers existing data from the material master to the purchase requisition.

Purchasing converts the purchase requisition into a request for quotation, apurchase order, or an outline agreement.



Processing the Purchase Requisitions

Figure 47: Processing Purchase Requisitions

The purchase requisition is either created manually by the requestingdepartment or automatically, through materials planning, for example. Youcan use the creation indicator in the statistics data of the purchase requisitionitem to see which procedure was used to create the purchase requisition.When creating the purchase requisition the requester can enter a source ofsupply for the relevant item or specify a desired vendor.

In the end, the purchasing department is responsible for determining thesource of supply and for converting the purchase requisition into a purchaseorder or request for quotation. First, the purchaser has to assign the purchaserequisition; that is, select a valid source of supply. He or she then convertsthe purchase requisition into a purchase order or request for quotation. Thesource of supply determination can be automated.

You can define release procedures for purchase requisitions in order toperhaps check that the content of a purchase requisition is correct, and toensure that both the account assignment given and the source of supply arecorrect. The release procedures can be defined flexibly; according to itemvalue, requester, or account assignment, for example.



The Purchase Order

Figure 48: Purchase Order

A purchase order is a formal request to a vendor to make specific goods orservices available under specific conditions.

The purchase order can be created without reference or with reference to apurchase requisition, a request for quotation, or another purchase order.

When you enter the purchase order data, the system proposes some defaultvalues. The proposed payment conditions, freight conditions (Incoterms), andpurchase order address come from the vendor master record. If you havemaintained a material master record for a specific material in the SAP system,the material description or the material group from there, for example, will beproposed. If a purchasing info record exists in the system, a price proposal iscopied over to the purchase order.

The purchase order is either sent to a vendor or you execute a stock transportorder in another plant of your company or corporate group. With a stocktransport order, you can take into account the freight costs incurred in thepurchase order.



Vendor Confirmations

Figure 49: Typical Confirmations

You can enter vendor confirmations for purchase orders or schedulingagreement schedule lines.

Confirmations are notifications from a vendor to a customer about theanticipated arrival of ordered materials (for example, order confirmations,loading or transport confirmations, shipping notifications).

If you are working without confirmations, requirements planning can onlyuse the delivery dates and quantities in the purchase order as a starting point.If you are working with confirmations, you have the option of planningrequirements more exactly, since you have the actual delivery dates andquantities at your disposal.

The goods receipt completes the process. It is usually posted with reference toan order confirmation.



Goods Receipt

Figure 50: Goods Receipt

Here are some of the benefits of goods receipt posting in the warehouse withreference to a purchase order:

� The goods receiving department can check if the delivery matches thepurchase order data; in other words, if what is delivered is exactly whatwas ordered.

� The system can propose data from the purchase order (for example, itemand quantity) during goods receipt entry. This makes document entryand checking surpluses/shortages easier at goods receipt.

The purchase order history is automatically updated through thedeliveries, among other things. Late deliveries can be expedited throughthe purchasing department.

� When the goods receipt is posted in the warehouse, a material documentis created that contains information on the delivered material anddelivered quantity.

� In addition, the storage location of the relevant plant in which you arestoring the material is noted.

� For the operations relevant to the material valuation, at least oneaccounting document is created containing the account-based effectsof the material movement.



The following figure gives an overview of the main effects of goods receiptwith reference to the purchase order.

Figure 51: Effects of Goods Receipt

In inventory management, the changed inventory situation after goods receiptcan be represented on various hierarchy levels:



Figure 52: Stock Overview

Material stock is displayed in the stock overview for the individualorganizational levels. The quantities posted for a specific stock type are addedup per organizational unit.

It is also possible to display a stock overview for batches/valuation type andspecial stock (for example, consignment material) as well as the organizationalunits client, company code, plant, and storage location.

The stock overview is a static display of material stock. This means that youcan only ever see the current valid stock situation. In this list, you do not seegoods receipts and goods issues planned for the future. However, you can goto the menu bar to access further information functions.

Various display versions of the stock overview might differ from each otherin the listing and sequence of individual stock types. In Customizing forinventory management, the systems administrator sets which stocks aredisplayed in which columns and also sets the column display sequence.



Invoice Verification

Figure 53: Classic Invoice Processing

In materials management, the procurement operation is completed by invoiceverification. Invoices and credit memos are entered and checked for accuracyof the arithmetic and the contents. Invoice verification does not deal withpayment or evaluation of invoices, however; the relevant information aboutthis is sent on to other departments. Invoice verification creates the connectionbetween materials management and external or internal accounting.

When an invoice is created with purchase order reference, the systemproposes data from the purchase order and the goods receipts for the purchaseorder; for example, vendor, material, quantity still to be calculated, terms ofpayment, and so on.

If there are differences between the purchase order or goods receipt andinvoice, the system warns the user and blocks payment of the invoice,depending on the system settings.

Posting of the invoice completes the invoice verification process. The purchaseorder history is updated. Financial accounting initiates payment of the openinvoice items.



Evaluated receipt settlement is a possible alternative to classic invoiceprocessing. This procedure is common in the automotive industry and isknown there as self-billing:

Figure 54: Evaluated Receipt Settlement

In evaluated receipt settlement, the customer creates an invoice for him orherself. The following form the basis of this invoice:

� The conditions from the purchase order document� The quantity from the goods receipt posting

Furthermore, for information, the customer sends the vendor a copy of theinvoice as a credit advice.

The advantage of this procedure from the customer�s point of view is thatinvoice verification is moved from the customer to the vendor.



Automated Procurement

Figure 55: Example of Automated Procurement

Materials planning can automatically create purchase requisitions if thematerial master is maintained accordingly. If source lists with valid sourcesof supply exist, sources of supply will be assigned automatically to the itemsfrom the purchase requisitions created.

Purchase requisitions can be converted automatically into purchase ordersprovided sources of supply are assigned to the purchase requisition items. Itis also necessary for the �automatic purchase order� indicator to be set in thematerial master and the vendor master.

In the purchase order, you can enter that order confirmations or shippingnotifications are expected from the vendor. If a shipping notification has beenentered, the goods receipt posting can refer to this.

In the evaluated receipt settlement, the vendor does not send any invoices; theSAP system itself creates the invoice using the data from the purchase orderand goods receipt. Evaluated receipt settlement has to be arranged with thevendor and be allowed in the vendor master.



Supplier Relationship Management (mySAP SRM)

Figure 56: The Classic Procurement Scenario

Employees in your company are responsible for the procurement of goodsand services that you require for your work area. This reduces the purchasingdepartment�s workload, allowing buyers to focus on strategic tasks such asnegotiating agreements.

Employees either search in catalogs for suitable materials or services or enterthe requirement directly on the entry screen and create a shopping cart. Youcan either store this requirement or place a purchase order.

As soon as an order has been placed, the Enterprise Buyer system checks if therequirement coverage request has to be approved.

If the manager rejects the request, employees receive a work item in theirinbox, informing them of this. Employees can then process the requirementcoverage request directly from the work item.

The vendor receives the purchase order. After the goods have been deliveredor the service performed, employees can confirm that this has taken place. Ifbusiness partners enter such a confirmation, the system starts a workflow andplaces the confirmation in the employee�s inbox for their approval.



Employees check the documents that the business partner created (invoice orconfirmation) and release the document. If the document contains errors,employees can reject it. The system then notifies the vendor or serviceprovider by e-mail.

Figure 57: Function Overview: Supplier Relationship Management

Purchasers can process or complete local purchase orders in mySAP SRM.

Purchasers receive all incomplete purchase orders from the employee�sapproved shopping cart for which the purchasing group is responsible intheir worklist. A purchase order is incomplete, for example, if a vendor hasnot been specified.

In addition, mySAP SRM provides further functions for professionalpurchasers. For example:

� Component planning for maintenance orders� A professional purchasing environment� Bid invitations and reverse auctions

In addition, the software can be linked with the outside world through virtualmarketplaces for example, to announce bid invitations or to acquire newvendors or business partners.



mySAP SRM is integrated with the SAP Business Information Warehouse(SAP BW) to enable comprehensive and complex evaluations. The SAPBusiness Information Warehouse is used for operative and strategic analyses.

The following figure shows how mySAP SRM can be integrated into anexisting SAP landscape:

Figure 58: Possible Procurement Scenarios

Along with classic procurement in SAP R/3, procurement can also be carriedout using mySAP SRM.

Depending on the configuration of mySAP SRM, procurement documentsare created as follows:

� Completely in mySAP SRM� In the ERP system (SAP R/3 for instance)

Inventory management and accounting take place in the ERP system (SAPR/3 for instance).

mySAP SRM supports simultaneous use of several ERP systems.



You can start mySAP SRM from Production Planning in SAP SCM or SAPR/3 (demand-driven procurement).



Exercise 5: External Procurement

Exercise ObjectivesAfter completing this exercise, you will be able to:� Perform a complete procurement process in SAP R/3.

Business ExampleThe purchase requisitions generated by the SAP APO PP/DS run shouldnow be processed in SAP R/3. This is necessary so that you can stage allcomponents required for production of pump T-F2##.

Task:Perform a complete procurement process in SAP R/3 by converting thepurchase requisitions you generated within Production Planning and DetailedScheduling into purchase orders, printing and sending them, entering ashipping notification for the vendor, posting the goods receipt, and carryingout the evaluated receipt settlement.

1. Display the purchase requisitions generated by the PP/DS run for flatgasket T-T2## (transaction MD04).

Input data:


2. Convert the purchase requisitions into purchase orders in multipleprocessing through the assignment list (transaction ME58).

Input data:

Purchasing Organization 1000Plant 1000Vendor 1003

3. Display the purchase orders generated by the conversion run for flatgasket T-T2## (transaction MD04).




Input data:


4. In SAP APO, call up the product view for flat gasket T-T2##in production plant 1000, to check the results of the conversion(transaction /SAPAPO/RRP3).

Input data:


5. Print the purchase order (transaction ME9F).

6. The vendor faxes the shipping notification to you due to EDIproblems. Create a corresponding inbound delivery. (TransactionVL31N)

Input data:

Vendor 1003Purchase Order Your purchase order numberExternal ID 800##

7. In the requirements/stock overview, show that an inbound deliveryhas been created for the purchase order and note down the number(transaction MD04).

Input data:





8. In SAP APO, call up the product view for flat gasket T-T2## inproduction plant 1000 to demonstrate that the received shippingnotification (PO memo) is also displayed there (transaction/SAPAPO/RRP3).

Input data:


9. The vendor delivers the goods. Post the goods receipt for the inbounddelivery (transaction VL32N).

Input data:

Inbound Delivery Your inbound delivery number

10. Demonstrate that the requirement disappears from therequirements/stock overview with the goods receipt (transactionMD04).

Input data:


11. You and your customer have agreed on the evaluated receiptsettlement. Run the evaluated receipt settlement for the goods receiptyou just posted (transaction MRRL).

Input data:

Company Code 1000Plant 1000Purchasing Document Your purchase order numberTest Run not set




12. Display the invoice that was automatically generated by your purchaseorder document flow (transaction ME23N).



Solution 5: External ProcurementTask:Perform a complete procurement process in SAP R/3 by converting thepurchase requisitions you generated within Production Planning and DetailedScheduling into purchase orders, printing and sending them, entering ashipping notification for the vendor, posting the goods receipt, and carryingout the evaluated receipt settlement.

1. Display the purchase requisitions generated by the PP/DS run for flatgasket T-T2## (transaction MD04).

Input data:


a) Menu path:

User menu for SAPSCM-## → External Procurement → DisplayStock/Requirements Situation

Input data:


� Go to the PurRqsMRP element by double clicking on it or bychoosing the glasses icon in the detail screen of a purchaserequisition.

2. Convert the purchase requisitions into purchase orders in multipleprocessing through the assignment list (transaction ME58).

Input data:




Purchasing Organization 1000Plant 1000Vendor 1003

a) Menu path:

User menu for SAPSCM-## → External Procurement → Ordering:Assigned Requisitions

Input data:

Purchasing Organization 1000Purchasing Group 0##Plant 1000Vendor 1003

� Choose Execute F8 .� Double-click on the Purchasing organization 1000 row.

� Confirm the dialog box

� Convert the purchase requisitions you want to order intoa purchase order by dragging and dropping them into theshopping cart and saving.

3. Display the purchase orders generated by the conversion run for flatgasket T-T2## (transaction MD04).

Input data:





a) Menu path:


Input data:


� Go to the PchOrdMRP element by double clicking on it or bychoosing the glasses icon in the detail screen of a purchaseorder.

You should definitely take a look at the purchase order formby choosing the Print Preview button.

4. In SAP APO, call up the product view for flat gasket T-T2##in production plant 1000, to check the results of the conversion(transaction /SAPAPO/RRP3).

Input data:





a) Menu path:

User menu for SAPSCM-##→ External Procurement→ Product View

Input data:


The purchase orders for this item are displayed.

5. Print the purchase order (transaction ME9F).

a) Menu path:

User menu for SAPSCM-##→ External Procurement→Message Output:Purchase Orders

� Enter your purchase order numbers and choose Execute F8 .

� Select one of your purchase orders and choose the DisplayMessage button to display it.

� After making sure that this purchase order has no errors,choose Output Message to print it out.

6. The vendor faxes the shipping notification to you due to EDIproblems. Create a corresponding inbound delivery. (TransactionVL31N)

Input data:





a) Menu path:

User menu for SAPSCM-##→ External Procurement→ Create InboundDelivery

Input data:


� Save your inbound delivery.

7. In the requirements/stock overview, show that an inbound deliveryhas been created for the purchase order and note down the number(transaction MD04).

Input data:





a) Menu path:


Input data:


� Your purchase order now has MRP element ShipNt .� Double clicking on it takes you to the detail screen containing

the inbound delivery number.

8. In SAP APO, call up the product view for flat gasket T-T2## inproduction plant 1000 to demonstrate that the received shippingnotification (PO memo) is also displayed there (transaction/SAPAPO/RRP3).

Input data:





a) Menu path:

User menu for SAPSCM-##→ External Procurement→ Product View

Input data:


You see that a shipping notification has been received for thepurchase order (purchase order memo).

9. The vendor delivers the goods. Post the goods receipt for the inbounddelivery (transaction VL32N).

Input data:


a) Menu path:

User menu for SAPSCM-## → External Procurement → Post GoodsReceipt for Inbound Delivery

Input data:


� Choose ENTER to go to the detail display of the inbounddelivery and in the Stock Placement tab, enter the DeliveryQty as Putaway Quantity and the receiving storage locationSLoc 0002 .

� Post the goods receipt by choosing the Post Goods Receipt button.

10. Demonstrate that the requirement disappears from therequirements/stock overview with the goods receipt (transactionMD04).




Input data:


a) Menu path:


Input data:


� The MRP element for your purchase order is no longerdisplayed.

11. You and your customer have agreed on the evaluated receiptsettlement. Run the evaluated receipt settlement for the goods receiptyou just posted (transaction MRRL).

Input data:





a) Menu path:

User menu for SAPSCM-## → External Procurement → EvaluatedReceipt Settlement

Input data:


� Run the settlement by choosing Execute F8.

12. Display the invoice that was automatically generated by your purchaseorder document flow (transaction ME23N).

a) Menu path:

User menu for SAPSCM-## → External Procurement → DisplayPurchase Order

� Select your purchase order using Purchase Order → DifferentPurchase Order , enter your purchase order number and choosethe button Different Document .

� On item level, select the Purchase Order History tab page.� Display the invoice by choosing Invoice Number in the

document flow.



Lesson Summary

You should now be able to:� Perform the main steps involved in external procurement: Purchase

requisition, purchase order, goods receipt, and invoice verification� List the main vendor confirmations� Give an overview of the Enterprise Buyer professional edition (EBP) as

an alternative to classic external procurement


SAPSCM Lesson: Manufacturing

Lesson: Manufacturing

Lesson OverviewTheManufacturing key functional area within mySAP SCM supports discretemanufacturing (order-based and time-based) and process manufacturing fromplanning through to execution. Manufacturing creates feasible, optimizedproduction schedules, takes material and capacity constraints into account,and takes into account production resource and tool availability.

Manufacturing Approaches and Branches of Industry



The mySAP SCM solution is tailored to the needs of specific manufacturingapproaches and industry sectors, as follows:

� Discrete manufacturing:

mySAP SCM supports companies in the discrete industry inlong, medium, and short-term material requirements planning ofproject-based, order-based, mass or repetitive manufacturing, as well aspurchasing, storage, distribution, delivery, and transportation processes.

Typical industry sectors are: Mechanical engineering, hi-tech industries,plant engineering and construction, vehicle manufacturers and aircraftmanufacturers.

� Process manufacturing:

mySAP SCM enables companies in the process industry to planproduction campaigns for long-, medium- and short-term materialrequirements planning of process manufacturing, while managingcomplex constraints such as limited intermediate storage capacities orshelf life, and supports companies in purchasing, storage, distribution,delivery, and transportation processes.

Typical industry sectors are: Chemical, pharmaceuticals, metal, paper,wood.

� Consumer product manufacturing:

mySAP SCM supports companies in the consumer goods industryin anticipating customer demand, in demand-driven procurementplanning, and process manufacturing, while enabling them to managecomplex constraints such as limited, intermediate storage capacities orshelf life in planning, and in purchasing, storage, distribution, delivery,and transportation processes, as well as enabling seamless integrationof retailers and transportation service providers into the procurementchain using VMI/CPFR functions.

Typical industry sector: Retail

This list should illustrate the broad implementation scope of mySAPSCM. This is not an exhaustive list.




� Explain the main concepts of the various manufacturing methods SFC(shop floor control), REM (repetitive manufacturing), and PI (processmanufacturing)

� Execute a typical SFC scenario

Business ExampleThe Precision Pump company has analyzed the various manufacturingmethods offered in SAP R/3. They decide to produce the pumps within shopfloor production. The components required for production are withdrawnfrom an inventory-managed warehouse, while the manufactured products arestored in a WM warehouse (warehouse management).

Overview of Manufacturing in mySAP SCMThe following figure shows how manufacturing is positioned in the mySAPSCM solution:

Figure 59: Integration of Manufacturing in Planning

Shop floor control is a central part of a complex process chain, starting fromthe entry of any independent requirement (planned or customer requirement)to goods issue of finished products.



Manufacturing execution takes place in a short-term horizon that is generallyonly several days in length. To make sure that production goes smoothly, youcan use planning time fences to protect it from any planning changes.


The following figures give an overview of the various manufacturingapproaches supported by the mySAP SCM solution:



Figure 61: Make-to-Order Production/Repetitive Manufacturing

Figure 62: Process Manufacturing/Project-Oriented Manufacturing



Figure 63: Manufacturing Approaches

Overview of Shop Floor ControlIn this overview course, shop floor control is presented as an example. First,here is an overview of the basic functions of the production order:

� Status management� Scheduling� Calculation of capacity requirements� Costing� Availability checks (material, PRT, capacity)� Printing of order papers� Material staging using reservations� Confirmation of quantities, activities, and time events (variable

confirmation procedures)� Goods receipt� Period-end closing (process cost allocation, overhead rates, WIP

calculation, variance calculation, order settlement)� Archiving and retrieval� Mass processing

Production order processing may involve the following steps:



Figure 64: Process Steps for a Production Order

The production order passes throughmany individual activities.

WIP calculation, variance calculation, and settlement are periodic operationsfor cost object controlling that are generally processed in the background.

You must define a series of settings for each individual stage if an order isto be processed successfully.

CO Configuration includes a special feature that sets the prerequisites for WIPdetermination, variance calculation, and settlement.

If capacity requirements are created in a planning run, or created manuallywithout an availability check for the resources, capacity leveling is usuallyperformed on the bottleneck resources.

Planning tables are available in SAP SCM and in SAP R/3 for this.

In scheduling, capacity requirements are checked for feasibility, scheduled,and fixed for the scheduled date (if possible).



The production order is released once scheduling has been completedsuccessfully.

Hint: It is useful to schedule the individual operations and leveltheir capacity requirements before the order is released, but thisis not mandatory.

Figure 65: Example: Graphical Planning Table

Order release is a key milestone in production order processing:



Figure 66: Order Release Functions

Order release is the basis for further processing of the production order(printing order documents, withdrawing materials, and so on).

Production orders are managed using statuses.

The corresponding status is set when the order is released.

An availability check can be performed automatically.

It is possible to release single operations, entire orders, or several orderssimultaneously.

Generally, component materials must be made available to execute aproduction order.

Various procedures are possible:



Figure 67: Material Staging Procedures

Goods issue slips, material staging lists, pick lists, and other similardocuments form the basis of material withdrawal for production orders.

SAP R/3 has various procedures for controlling material staging. These are:

� Warehouse management with the componentMM-IM (InventoryManagement)

� Replenishment control with the KANBAN component� Storage location management and replenishment control with the

component LE-WM (Warehouse Management System)



TheWarehouse Management System has the following three options:

� Pick list items are provided for the production order in exactly thesame quantity as the requirements quantity.

These parts can be provided for the production order at a physicalstorage location or dynamic storage location (production order).

In this type of material staging, you can create transfer requirementsautomatically when the operation is released, or manually.

Typical examples are large, expensive parts such as shafts, casings, ....

� Crate parts are requested manually when a crate is almost empty.

Typical examples are small parts in containers such as screws, nails, ....

� Release order parts are requested manually. The required quantity iscalculated using the target quantities of the components in the selectedreleased orders. Here, the stock situation is taken into account inproduction and the replenishment storage types are also considered.

Typical examples are laminates, paints, ..

The goods issue for the production order and the goods receipt from theproduction order can be posted from or to a �WM warehouse� �(WarehouseManagement)�. To help explain this, the following figure gives a briefoverview of the organizational units of the Warehouse Management System:



Figure 68: WM Organizational Units



The relevant organizational units of a WM warehouse are as follows:

� Awarehouse number consists of various storage types. Storage types areused in the system to depict storage spaces that are to be kept separatefrom each other from a physical or organizational point of view. Thestorage types preconfigured in the standard SAP R/3 system are basedon the usual structuring forms (high rack storage, shelf storage, fixedstorage bin, bulk storage). In many cases, the preconfigured strategies forsearching for storage bins also correspond to these storage types. Themodel storage types can be modified according to the requirements ornew ones can be created.

� Storage types are subdivided into WM internal storage types andinterim storage areas that have a connection with another SAP R/3component, generally Inventory Management (MM-IM). Examples ofsuch interim storage areas are goods receipt and goods issue areas.

� The space occupied by a storage type can be subdivided into storagesections, defined with various control parameters for putaway. At leastone storage section needs to be created per storage type. For the purposesof defining control parameters for picking, the picking area is alsoavailable at the same hierarchical level for structuring a storage location.

� Storage bins are created within a storage section.� Doors and staging areas are additional optional organizational

structures that can be used in Warehouse Management.

A further milestone in production order processing is goods issue postingfor the required components:



Figure 69: Production Order: Goods Issue Posting

The following functions are performed when the goods issue for thecomponents of the production order is posted:

� Storage-location-specific update of the stock and consumption fields� Reduction of the reservation (for planned withdrawal)� For unplanned withdrawals, only costs are updated.� Actual cost determination (valuation) and order update� In Customizing, you use a plant-specific or company-code-specific

valuation variant to define the valuation of material consumption.� Material and accounting documents (accounting and CO documents)

are created for a goods movement.� The material document describes the goods movement from the

materials management (warehouse) point of view.� The accounting document describes the goods movement from the

financial accounting point of view. An accounting document alwaysrefers to a company code. There may be no accounting documents, oneaccounting document, or several accounting documents for a goodsmovement.

� You can branch from the display of a material document to the displayof other documents.

� A goods issue document can be printed.



The next milestone is the order confirmation that is used for the consumptionof internal activities:

Figure 70: Order Confirmation: Process Chain

Order confirmation is used for entering internal activities performed forthe order.

You can use the order confirmations to monitor the work in progress forthe production order.

The PP-PDC interface enables confirmations from PDC systems.

Depending on the request, the goods receipt posting for the materialsproduced can be either attached to the order confirmation or carried outseparately.



Figure 71: Production Order: Goods Receipt Posting

When there is a goods receipt from a production order, you can define thefollowing:

� Plant� Storage location� Batch� Stock type� Final delivery

Material and accounting documents are assigned to each other through theirnumbers.

The delivered quantity is updated in the order.

The receipts from the production order are valuated.

The order is credited.

The factory output is updated.

The goods receipt is posted from the production order to a WM warehouse asfollows:



Figure 72: Goods Receipt in a WM Warehouse: Process Overview

The goods receipt for the production order with putaway in the warehousemanagement system is entered in inventory management. Material andaccounting documents are created and the stock in the goods receipt zoneof the WM warehouse is increased.

The stock transfer from the goods receipt zone to the storage bin then takesplace using transfer requirements and transfer orders.

The warehouse management system is the primary system as far as stock isconcerned. Stock differences detected in the warehouse management systemare passed on to inventory management and updated there.

Both order-related and product-related cost object controlling are availablefor cost debit and cost credit:



Figure 73: Cost Debit and Cost Credit for Order-Related Cost Object Controlling(COC)

How costs are debited and credited for a production order depends on thecost object controlling (COC) variant selected in Controlling.

Execution can be order-related or product-related.

Order settlement is run to credit the order.

Settlement is usually periodic.

It is controlled through a settlement profile. It is a good idea to useorder-related COC if you have:

� A flexible production environment� A flexible product palette� Cost management of individual production lots� Required cost monitoring for each order� High setup costs� Manufacture of co-products

Standard price control is generally recommended for in-house materialproduction.



Orders can be evaluated through various information systems dependingon demand:

Figure 74: Information Systems for Order Management

There aremultiple information systems for production orders.

In addition to the systems listed in the �Information Systems for OrderManagement� figure, there are capacity evaluations, batch where-used lists,and other lists.



Exercise 6: Manufacturing

Exercise ObjectivesAfter completing this exercise, you will be able to:� Process a production order in SAP R/3

Business ExampleThe Precision Pump company has analyzed the various production methodsoffered in SAP R/3. A decision has been made to produce the pumps withinshop floor production.

Task:In SAP R/3, process a production order generated in SAP APO from releasethrough to confirmation.

1. Display the stock situation in the current stock/requirements list(transaction MD04).

Input data:


2. In SAP R/3, release the PP/DS-generated production order forproduction (transaction CO02).

Input data:

Production Order Your production order number from the PP/DSdemo

3. Print out the shop floor papers of the released production order(transaction COHVOMPRINT).

Input data:





4. Display the shop floor papers for the production order (transactionSP02).

5. Stage the components required for the order (transaction CO27).

Input data:

Profile 000002Production Order Your production order number from the PP/DS

demo

6. Confirm the production order (transaction CO15).

Input data:

Order Your production order number from the PP/DSdemo

7. Due to the control key in the last operation of the routing, goodsreceipt of the finished pumps was carried out automatically when theproduction order was confirmed.

Show that the production order is no longer in the currentstock/requirements list, because of the confirmation (transactionMD04).

8. Show the pump stock (transaction MMBE).



Solution 6: ManufacturingTask:In SAP R/3, process a production order generated in SAP APO from releasethrough to confirmation.

1. Display the stock situation in the current stock/requirements list(transaction MD04).

Input data:


a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control → DisplayStock/Requirements Situation

Input data:


Hint: In the current stock/requirements list, you will find theproduction order that you created in Production Planningand Detailed Scheduling.

2. In SAP R/3, release the PP/DS-generated production order forproduction (transaction CO02).

Input data:





a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control → ReleaseProduction Order

Input data:

Production Order Your production order number from thePP/DS demo

� Release the order by choosing the Release Ctrl+F1 and savethe order.

The order now has status Released , which means it can beprocessed.

3. Print out the shop floor papers of the released production order(transaction COHVOMPRINT).

Input data:


a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control → PrintProduction Order

Input data:


� Choose Execute F8 .� Select your production order.� Choose Execute mass processing F8 .




4. Display the shop floor papers for the production order (transactionSP02).

a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control→ Display ShopFloor Papers

� Select the spool request and choose Display contents F6 .

5. Stage the components required for the order (transaction CO27).

Input data:

Profile 000002Production Order Your production order number from the PP/DS

demo

a) Menu path:

User menu for MYSAPSCM-IN→ Shop Floor Control→ Pick and StageComponents for Production Order

Input data:

Profile 000002Production Order Your production order number from the

PP/DS demo

� Select all the components by choosing Select All Ctrl+Shift+F6 .� Pick the components by choosing Pick .� Post the component goods issues by saving the display.

Hint: The components required for production orderexecution are now staged. Production can now start. Thecontrol key in the individual operations ensures that theorder is not confirmed operation by operation but in itsentirety after material staging.

6. Confirm the production order (transaction CO15).

Input data:




Order Your production order number from the PP/DSdemo

a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control → EnterProduction Order Confirmation

Input data:


� Choose Enter to go to the confirmation detail screen.� Choose the Final Confirmation radio button.� Confirm by saving the detail screen.

7. Due to the control key in the last operation of the routing, goodsreceipt of the finished pumps was carried out automatically when theproduction order was confirmed.

Show that the production order is no longer in the currentstock/requirements list, because of the confirmation (transactionMD04).

a) Menu path:

User menu for MYSAPSCM-IN → Shop Floor Control → DisplayStock/Requirements Situation

Input data:


Hint: When the production order was confirmed, anotification of goods receipt was made due to the PP99control key in the last operation. The requirement is coveredand the requirements element deleted from the currentstock/requirements list.




8. Show the pump stock (transaction MMBE).

a) Menu path:

User menu for MYSAPSCM-IN→ Shop Floor Control→ Stock Overview

Input data:

Material T-F2##Plant 1000Storage Location 0002

You see the components that you stored as stock at storage location0002 .



Lesson Summary

You should now be able to:� Explain the main concepts of the various manufacturing methods SFC


� Execute a typical SFC scenario


SAPSCM Lesson: Sales and Distribution and Logistics Execution

Lesson: Sales and Distribution and Logistics Execution

Lesson OverviewAn additional key area within mySAP SCM is sales and distribution andlogistics execution (within order fulfillment). These support sales ordermanagement with quotation creation, delivery date determination, global ATPchecks, picking, financial reporting, transportation management, includingtransportation planning and vehicle scheduling, and tracking of individualshipments.


� Create a sales order� Explain the features of the global availability check (Global ATP)� Perform Global ATP for a sales order� Describe the tasks of transportation planning� Deliver a sales order� Create a billing document for the sales order

Business ExampleThe Precision Pump company intends to implement rules-based ATP to findthe products requested by the customer on a cross-plant basis. If the pumpsare not available, the feasible delivery date can be determined, taking accountof resource availability. Precision Pump uses logistics execution functions todeliver the sales order.

Overview of Order FulfillmentThe following figure gives an overview of the main steps involved in orderfulfillment:



Figure 75: A Typical Order Fulfillment Process

The Sales DocumentThe following figure gives an overview of the structure of the sales document,as well as the master and control data from which data is copied when thesales document is created.



Figure 76: Origin of Data in Sales Documents

There are various sources for data that can be copied into a sales order orinto another sales document. These are mainly default values that can beoverwritten in the sales document, if necessary.

For example:

� Customer master data� Material master data� Condition master data

This master data is created and maintained in the sales master datafor automatic price determination, for example, a material price or acustomer discount.

� Output is information sent to the customer through various media suchas e-mail, EDI, or fax. For example, the printout of a quotation or anorder confirmation, order confirmations through EDI, or invoices by fax.

� Control tables

You can create and maintain control tables in Customizing. Dependingon the table settings, the proposal can be controlled by a variety of datain the sales documents.

A previous sales document can be used as a data source for another salesdocument (for example, a quotation for an order).



The following figure contains the most important roles of a sales document:

Figure 77: Roles of the Sales Document

Specific functions are automatically executed, depending on the businesstransaction. These functions are activated or deactivated directly or indirectlythrough the sales document type.

Examples:

� For your normal sales process, youwould like the system to automaticallydetermine the time your customer receives the ordered goods. For thatreason, you activate the shipment scheduling and availability checkfunctions. However, these functions are not necessary for credit memorequests.

� You do not need pricing for deliveries that are free of charge.� You define a group of messages (output) relevant for sales order

processing and an additional group of messages for contracts.

Hint: Output is information exchanged between businesspartners. For example, an order confirmation, a billing form, anelectronic message to one of your colleagues, ...



Overview of Availability CheckThere are various places in the supply chain where an availability check canbe performed:

Figure 78: Availability Check in the Supply Chain

A check can be performed in various ways:

Figure 79: Types of Availability Check



Global Available-to-Promise (Global ATP) can be performed if you use SAPSCM:

Figure 80: Global ATP

Global ATP is embedded in Supply Chain Management (SCM) processes forany kind of order processing.

Availability checks are triggered as events in the OLTP system (SAP R/3 orlegacy system), and then an ATP query for product availability is sent to SAPSCM.

An Available-to-Promise (ATP) check is an online search to verify thecompany�s ability to provide the requested product, in the requested quantity,and on the date requested by the customer.

In many OLTP systems, ATP functionality is limited or not possible at all.For example, in older versions of SAP R/3, an ATP check searched localinventories only for available products and assumed infinite capacity when aproduct was to be produced. For this reason, ATP checks are carried out inSAP SCM on the basis of time series either in real-time or in simulation mode.

When it comes to production, ATP makes use of PP/DS functions to checkagainst the actual order network (including all constraints).

The rules-based ATP check is the basis of checks for alternative products inalternative locations as well as checks for production.



You can use backorder processing to adjust the results of the availabilitycheck, which is performed automatically, to suit your requirements:

Figure 81: Backorder Processing

Backorder processing is one of the new availability check tools that enablesyou to analyze and process backorders and to overwrite confirmed quantitiesresulting from the last ATP check. You can redistribute confirmed quantitiesof one or more products over selected customer requirements.

Backorder processing can be carried out in interactive mode, in batch mode,or as a combination of both options.

The orders to be processed are determined through a filter that has to bedefined. This filter definition can be configured by the user or you can usethe standard SAP filters that filter according to the locations in which theplanning situation has changed (net change filter) and which therefore have tobe taken into account again in backorder processing.

After the orders have been selected once by the filter, they can be sorted byspecific configurable criteria.

Orders with a delivery date that is now in the past can be scheduled in thefuture, if required.



Overview of Transportation Planning/Vehicle Scheduling(TP/VS)You can plan shipments and vehicle loads in SAP SCM based on sales orders,and then create deliveries:

Figure 82: Transportation Planning and Vehicle Scheduling

The objective of optimization in TP/VS is to link shipment dates and theassignment of vehicle resources to orders in the most optimal way. It takesinto account the following criteria:

� Journey from and to depot� Loading and unloading time� Order consolidation� Minimization of transportation costs for time� Minimization of transportation costs for distance� Costs for early or late delivery� Costs for non-delivery� Fixed transportation costs

Optimization can be performed as a simulation or in the active planningversion.



Processing the Outbound DeliveryThe following figure identifies the roles in the sales process for outbounddelivery:

Figure 83: Roles of Outbound Delivery

The outbound delivery document monitors specific activities within theshipping process. The document is used to store and update the individualstatuses. The goods issue for the outbound delivery can only be posted whenall activities, such as picking and, possibly, packing the goods have beencompleted. Therefore, the outbound delivery does not represent a deliverynote that is created.

Outbound deliveries usually have to be picked before the goods issue can beposted:



Figure 84: Picking Process using WM / Lean WM

Picking using theWarehouse Management System (full WM or lean WM)takes place through creation of a transfer order (TO).

The transfer order is a document used to initiate and monitor movementswithin a warehouse complex. Depending on storage relationships, one ormore transfer orders is created, based on the items in an outbound delivery tobe picked using WM.

The transfer order is then printed. This step can be carried out by the systemautomatically.

As an alternative to printing the transfer order as a picking list, you can displaythe transfer order data using the SAP Radio Frequency Solution on a mobiledata-entry device or transfer the data to a warehouse control unit (WCU).

When you confirm the transfer order, you confirm the quantities withdrawnfrom the warehouse. If you are working with a confirmation requirement,this step must be carried out explicitly. If no confirmation requirement isdefined, the system automatically confirms the quantities when creating thetransfer order.

The delivery process is completed with the posting of the goods issue:



Figure 85: Effects of Goods Issue Posting

When the goods issue is posted, the following automatically takes place:

� The quantities in inventory management and the delivery requirementsin materials planning are updated

� The value change in the stock account of inventory accounting is updated(the postings shown in the associated accounting document are basedon the cost of the material)

� The system creates additional accounting documents for Controlling,for example

� The billing due list is created� The statuses in all associated sales documents are updated

BillingThe following figure identifies the results of creating a billing document:



Figure 86: Consequences of Creating a Billing Document

When a billing document is saved, the system creates all documents requiredfor accounting. In accounting, SAP R/3 executes a debit posting on thereceivables account of the customer and a credit posting on the revenueaccount.

The accounting document displays all successful postings in financialaccounting that go back to pricing in SD - for example, the receivable in thecustomer account or the sales revenue and taxes attained in the relevant G/Laccounts.

When the billing document is saved, additional accounting documents canbe automatically created by the system for the components Controlling (CO),Profitability Analysis (CO-PA), or Consolidation (FI-LC), for example.

In addition, when the billing document is posted:

� The statuses in all associated sales, delivery, and billing documents areupdated

� The sales statistics update in the Sales Information System� The customer�s credit management account updates

Automating the Sales ProcessesSales processes can be automated through the processing of worklists:



Figure 87: Worklists

The above figure gives an overview of the options for collective processing inthe sales process:

1. You process sales documents for outbound deliveries using the deliverydue list.

2. To create transfer orders, you use the worklist for the outbound deliveriesto be picked.

3. To post the goods issue, you use the goods issue worklist for outbounddeliveries to be posted. Operations that need to use picking are onlyconsidered after picking has been completed successfully.

4. To process outbound deliveries (and orders too, if necessary) for billingdocuments, you use the billing due list. Outbound deliveries are onlythen considered if the goods issue has been successfully updated already.



Example of a Typical Sales Process

Figure 88: Order Fulfillment: Example



Exercise 7: Sales Process

Exercise ObjectivesAfter completing this exercise, you will be able to:� Execute a typical sales process

Business ExampleThe Precision Pump company intends to implement the rules-basedavailability check in SAP APO to be able to search for the products requestedby the customer on a cross-plant basis. If the pumps are not available,the feasible delivery date can be determined, taking account of resourceavailability. Precision Pump uses logistics execution functions to deliver thesales order.

Task:Create a sales order for the pumps you have produced, deliver it, and create abilling document for it.

1. Create a sales order for pump T-F2## (transaction VA01).

Input data:

Order Type OR

Detailed order data:

Sold-To Party 1400PO Number 45000015##Material T-F2##Order Quantity The quantity that you had confirmed for your

production order

2. You want to deliver the sales order. Create an outbound delivery forthis (transaction VL01N).

Input data:




Shipping Point 1000Selection Date Today +1 monthOrder Your order number

3. Now create a transfer order for your outbound delivery (transactionLT03).

Input data:

Warehouse Number 010Delivery Your delivery number

4. Display the outbound delivery, and check the picking status. Post thegoods issue for the outbound delivery (transaction VL02N).

Input data:

Outbound Delivery Your outbound delivery number

5. Create a billing document for the outbound delivery (transactionVF01).

Input data:

Document Your delivery number



Solution 7: Sales ProcessTask:Create a sales order for the pumps you have produced, deliver it, and create abilling document for it.

1. Create a sales order for pump T-F2## (transaction VA01).

Input data:

Order Type OR

Detailed order data:




Sold-To Party 1400PO Number 45000015##Material T-F2##Order Quantity The quantity that you had confirmed for your

production order

a) Menu path:

User menu for MYSAPSCM-IN → Sales and Distribution → CreateSales Order

Input data:

Order Type OR

Choose Enter to branch to the sales order detailed screen.

Make the following entries here:

Sold-To Party 1400PO Number 45000015##Material T-F2##Order Quantity The quantity that you had confirmed for

your production order

Confirm the results of the availability check, save the order, andnote down the order number.

2. You want to deliver the sales order. Create an outbound delivery forthis (transaction VL01N).

Input data:





a) Menu path:

User menu for MYSAPSCM-IN → Sales and Distribution → CreateOutbound Delivery with Order Reference

Input data:


� Choose Enter to branch to the outbound delivery detailedscreen.

� Save your outbound delivery and note down the number.

3. Now create a transfer order for your outbound delivery (transactionLT03).

Input data:





a) Menu path:

User menu for MYSAPSCM-IN → Sales and Distribution → CreateTO for Delivery Note

Input data:


Hint:

� If Background is set as the default value in theForeground/backgrnd field, the transfer order can becreated in the background.

� Due to the settings made in Customizing, it is notnecessary to confirm the transfer order.

Note down the number of your transfer order.

4. Display the outbound delivery, and check the picking status. Post thegoods issue for the outbound delivery (transaction VL02N).

Input data:





a) Menu path:

User menu for MYSAPSCM-IN → Sales and Distribution → ChangeOutbound Delivery

Input data:


� On the Picking tab page, you see that the transfer order hasbeen confirmed and that picking is complete. The goods issuecan now be posted.

� Post the goods issue for the outbound delivery by choosing thePost Goods Issue button from the overview screen.

5. Create a billing document for the outbound delivery (transactionVF01).

Input data:


a) Menu path:

User menu for MYSAPSCM-IN → Sales and Distribution → CreateBilling Document

Input data:


� Choose Enter to branch to the billing document detail screen.� Save to create the billing document.



Lesson Summary

You should now be able to:� Create a sales order� Explain the features of the global availability check (Global ATP)� Perform Global ATP for a sales order� Describe the tasks of transportation planning� Deliver a sales order� Create a billing document for the sales order


SAPSCM Unit Summary

Unit SummaryYou should now be able to:� Perform the main steps involved in external procurement: Purchase

requisition, purchase order, goods receipt, and invoice verification� List the main vendor confirmations� Give an overview of the Enterprise Buyer professional edition (EBP) as

an alternative to classic external procurement� Explain the main concepts of the various manufacturing methods SFC


� Execute a typical SFC scenario� Create a sales order� Explain the features of the global availability check (Global ATP)� Perform Global ATP for a sales order� Describe the tasks of transportation planning� Deliver a sales order� Create a billing document for the sales order


Unit Summary SAPSCM


Unit 4mySAP SCM: Coordination

Unit OverviewCoordination within the mySAP SCM solution comprises the areassupply chain event management (SCEM) and supply chain performancemanagement (SCPM).

SAP Event Management (SAP EM) is an application in the SAP SCMcomponent within the mySAP SCM solution with links to other mySAPBusiness Suite components such as SAP R/3, SAP CRM, and SAP BW.

SAP Event Management (SAP EM) is the application within the mySAP SCMsolution that enables and improves visibility of the logistics processes in bothplanning and execution.

This unit deals with supply chain event management.


� Explain how supply chain event management fits into the mySAP SCMsolution

� List the main aspects of supply chain event management� Name the most important visibility processes� Describe the supply chain event management system environment

Unit ContentsLesson: Supply Chain Event Management Overview... . . . . . . . . . . . . . . . . . . . . . . .172


Unit 4: mySAP SCM: Coordination SAPSCM

Lesson: Supply Chain Event Management Overview

Lesson OverviewSupply Chain Coordination is a key functional area of the mySAP SupplyChain Management (mySAP SCM) solution. An integral part of this is supplychain event management (SCEM). It provides transparency across the entiresupply chain by enabling or improving the visibility of the logistical processesin planning as well as in execution.

The role-based approach of SAP EM provides you with different ways ofviewing the same business process.

For example, the manufacturer is interested in knowing whether the differentservice providers have delivered the raw materials for production completelyand on time.

The individual service provider is interested in knowing, for example, wherethe means of transport or packaging materials that contain a product/materialare located, and when.

The individual customer is interested in knowing, for example, when thesupplier delivers the ordered materials.

SAP EM lets you process messages about the events in the business process,inform the parties within the supply chain network in a variety of waysabout business events that have occurred, and make this information clearlyavailable.

If, for example, you work with data warehouse systems such as SAP BusinessInformation Warehouse, SAP EM helps you to evaluate the results. In thisway, you receive detailed information about which factors in a supply chainnetwork lead to critical situations, and you can then lessen or eliminate theserisks. SAP EM includes internal as well as external partners in the supplychain network, and provides an interenterprise view of the processes.

SAP EM can be implemented in all logistical planning and executionprocesses. For example:

� In procurement� In order fulfillment� In production

SAP offers visibility processes (for example, for deliveries in the shipment),which describe the business process and execution in an SAP systemlandscape.


SAPSCM Lesson: Supply Chain Event Management Overview


� Explain how supply chain event management fits into the mySAP SCMsolution

� List the main aspects of supply chain event management� Name the most important visibility processes� Describe the supply chain event management system environment

Business ExampleThe Pump Precision company would like to use supply chain eventmanagement to improve the monitoring and control of its supply chain andthus achieve greater delivery reliability.

General Definition of Supply Chain Event Management

Figure 89: General Definition of Supply Chain Event Management

Supply chain event management is defined as an application that supports thecontrol over a company�s internal as well as external business processes.



Important aspects include:

� Monitoring events in the supply chain� Notification about the occurrence of events� Simulating events� Controlling activities in the supply chain� Measuring activities in the supply chain

In the SAP environment, supply chain event management, together withsupply chain performance management, forms part of the Coordination keyfunctional area of the mySAP SCM solution.

The following figure illustrates this:

Integration of SCEM in the mySAP SCM Solution

Figure 90: Integration of SCEM in the mySAP SCM Solution

Its role-based approach allows different business partners to monitor the samebusiness process using different views.



Role-Based Approach of SCEM

Figure 91: Role-Based Approach

SAP�s supply chain event management solution is divided into the followingmain functional areas:

Functions of SCEM

Figure 92: Functions of SCEM

The following functions lead to optimization in supply chain management:



Benefits of Supply Chain Event Management

Figure 93: Benefits of Supply Chain Event Management

Visibility ProcessesSAP Event Management is delivered preconfigured for certain standardbusiness processes. These processes are called �visibility processes�.



Figure 94: Visibility Processes

System RequirementsTo be able to use SAP Event Management, you require a certain SAP systemenvironment. The following figure shows the current and the previous systemenvironment of SCEM:

Figure 95: System Requirements



Example Scenario: Integration of mySAP PLM andmySAP SCMA typical scenario for the internal monitoring and control of the supply chainis based on the integration of the mySAP SCM and mySAP PLM solutions.

If PLM detects a machine breakdown, all affected production orders receive acorresponding unplanned event (malfunction event).

Using an appropriate report, the production planner can now, for example,prevent production downtime by redirecting the affected production ordersto other machines.

The following figure illustrates the process flow:

Figure 96: Example Scenario: Integration of mySAP PLM and mySAP SCM



Lesson Summary

You should now be able to:� Explain how supply chain event management fits into the mySAP SCM

solution� List the main aspects of supply chain event management� Name the most important visibility processes� Describe the supply chain event management system environment


Unit Summary SAPSCM

Unit SummaryYou should now be able to:� Explain how supply chain event management fits into the mySAP SCM

solution� List the main aspects of supply chain event management� Name the most important visibility processes� Describe the supply chain event management system environment


Unit 5mySAP SCM: Collaboration

Unit OverviewmySAP SCM: Collaboration supports the collaborative processes of variouscompanies involved in a supply chain.

It enables the design of transparent and flexible company networks. Theintegration of all partners in the supply chain facilitates the synchronizationof supply and demand across company boundaries. Processes such asCollaborative Planning, Forecasting and Replenishment (CPFR), SupplierManaged Inventory (SMI), or Vendor-Managed Inventory (VMI) create asmooth material and information flow between all partners involved.

This unit deals with the SMI processes that are enabled by the SAP InventoryCollaboration Hub (SAP ICH).


� Explain how the Supplier Managed Inventory processes supported bySAP ICH fit into the mySAP SCM solution

� List the main aspects of SAP ICH� Describe the SAP ICH system environment

Unit ContentsLesson: Overview of SMI Processes With the SAP Inventory CollaborationHub... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .182


Unit 5: mySAP SCM: Collaboration SAPSCM

Lesson: Overview of SMI Processes With the SAPInventory Collaboration Hub

Lesson OverviewAs traditional supply chains evolve into supply networks, collaborationbecomes increasingly critical. For customers and their suppliers, successfulcollaboration starts with making sure that everyone has easy access toinventory information, so suppliers know what their customers need andwhen they need it. Often, however, this visibility is not easy to achieve.Supply networks are typically complex and involve a wide range of suppliers,making it difficult to share inventory information on a real-time basis.

The SAP Inventory Collaboration Hub (SAP ICH) is an Internet-basedsoftware application designed to help you enhance visibility, collaboratemore effectively with suppliers, and increase the overall speed, accuracy,and adaptiveness of your supply network. With SAP ICH, mySAP SCMlets you and your supply network partners share inventory informationeasily and seamlessly. SAP ICH 4.0 offers the following business scenariosfor replenishment:

� Supplier Managed Inventory (SMI)� Release Processing


� Explain how the Supplier Managed Inventory processes supported bySAP ICH fit into the mySAP SCM solution

� List the main aspects of SAP ICH� Describe the SAP ICH system environment

Business ExamplePump Precision would like to use SAP ICH to integrate some of their suppliersinto their supply chain through the Internet. A key objective here is to transferresponsibility for the inventory to the suppliers.

Supplier IntegrationThe following trends have developed increasingly in the manufacturingindustry in recent times:


SAPSCM Lesson: Overview of SMI Processes With the SAP Inventory Collaboration Hub

Figure 97: Supplier Integration � Trends

Problems with the Integration of SuppliersA strategy for supporting these trends is closer, electronic integration ofsuppliers. This often leads to the following problems:

Figure 98: Supplier Integration � Problems

The SAP ICH component supports electronic supplier integration with thefollowing business processes:

� Supplier Managed Inventory (SMI)� Release Processing



Overview of the SMI ProcessThe following figure provides an overview of the �Supplier ManagedInventory� process:

Figure 99: Overview of the SMI Process

Overview of the �Release Processing� ProcessThe �Release Processing� process is typical for the automotive industry.



Figure 100: Process Flow � Release Processing SAP ICH 4.0

SAP ICH allows suppliers who cannot be reached by EDI to be integratedelectronically.

Benefits of Supplier Integration with SAP ICHUsing SAP ICH has the following benefits for customers and suppliers:



Figure 101: Benefits for Customers and Suppliers

System RequirementsTo be able to use SAP ICH, you require a certain SAP system environment.The following figure shows the current and the previous system environment:

Figure 102: System Requirements



Lesson Summary

You should now be able to:� Explain how the Supplier Managed Inventory processes supported by

SAP ICH fit into the mySAP SCM solution� List the main aspects of SAP ICH� Describe the SAP ICH system environment


Unit Summary SAPSCM

Unit SummaryYou should now be able to:� Explain how the Supplier Managed Inventory processes supported by

SAP ICH fit into the mySAP SCM solution� List the main aspects of SAP ICH� Describe the SAP ICH system environment


Unit 6Conclusion

Unit OverviewThis unit summarizes the mySAP SCM solution.

It also details some of the other mySAP SCM functions that could not becovered during this course.

In addition to this, you will be shown a demonstration of a typical supplychain management process in SAP R/3 and SAP SCM.


� List the main areas, roles, and functions of mySAP SCM

Unit ContentsLesson: Functional Overview ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .190


Unit 6: Conclusion SAPSCM

Lesson: Functional Overview

Lesson OverviewThe end of the course again summarizes the main functions and roles ofmySAP SCM:

� Consistent planning for the entire supply chain (mySAP SCM: Planning)� Integrated intercompany execution (mySAP SCM: Execution)� Collaborative planning (mySAP SCM: Collaboration)� Supply chain monitoring (mySAP SCM: Coordination)


� List the main areas, roles, and functions of mySAP SCM

Business ExampleAfter performing the feasibility study, the Precision Pump company�s projectteam summarizes the main functions of mySAP SCM.

Consistent Planning for the Entire Supply Chain (mySAPSCM: Planning)A significant aspect of mySAP SCM is that it lets you plan consistentlythroughout the entire supply chain. Depending on the planning horizon anddegree of precision required, mySAP SCM provides the following functions:

� Supply Chain Design� Demand Planning� Supply Network Planning� Production Planning and Detailed Scheduling� Transportation Planning


SAPSCM Lesson: Functional Overview

Figure 103: Consistent Planning Throughout the Entire Supply Chain

Integrated Intercompany Execution (mySAP SCM:Execution)You use the functions within the supply chain execution key functional area ofmySAP SCM to convert the planning results:

Figure 104: Integrated, Intercompany Supply Chain Execution



Supply Chain Monitoring (mySAP SCM: Coordination)The supply chain coordination key functional area of mySAP SCMencompasses the following areas:

� Supply Chain Event Management

Supply chain event management lets you monitor processes, warehousestocks, and events across your extended value network. This means thatinformation from heterogeneous systems and various supplier levels canbe processed at all levels of the supply chain with timely identification,analysis, and removal of problems.

� Supply Chain Performance Management

Supply chain performance management is a powerful tool that measureskey performance indicators (KPIs) such as work order cycles and capacityload utilization.

It also lets you calculate profitability and potentials, strategicallyoptimize the supply chain, and measure effectiveness of businesspartners and vendors.

Figure 105: Supply Chain Coordination

Collaborative Planning with mySAP SCMMultiple companies throughout the supply chain use collaborative planningto access information over the Internet (across company boundaries) with theshared aim of identifying and removing bottlenecks, and identifying changesto schedules in good time.



Collaborative planning allows companies to exchange demand, procurement,and inventory data with partners. You can define your own exceptionmessages (alerts) and integrate them into the general alert management.If exceptions occur during planning, e-mails or fax messages can beautomatically generated.

Figure 106: Networking with mySAP Supply Chain Management

The following figure shows examples of networking:



Figure 107: Collaborative Planning within mySAP SCM

Complete Solution OverviewTo conclude this course, the following figure again shows an overview ofmySAP SCM:

Figure 108: Complete Solution Overview



Lesson Summary

You should now be able to:� List the main areas, roles, and functions of mySAP SCM

Related Information

� The mySAP SCM home page.

The following Internet address takes you to the mySAP SCM home page:

http://www.sap.com/scm

� SAP Help Portal

The following Internet address takes you to the SAP Help Portal:

http://help.sap.com

� SAP�s Education Services

The following Internet addresses take you to the SAP curriculum:

http://www.sap.com/education

There are also country-specific links to training catalogs. For example,the link for USA and Canada is:

http://www.sap.com/usa/education/curriculum/


Unit Summary SAPSCM

Unit SummaryYou should now be able to:� List the main areas, roles, and functions of mySAP SCM


Unit 7Appendix: Navigation

Unit OverviewIn this unit, you learn how to navigate in SAP systems using SAP GUI. Youwill also learn how to personalize the SAP system and get help when you areworking in the SAP system.


� Log on to the system successfully� Name and use elements of a SAP GUI screen� Use various methods to call SAP system functions� Describe the standard menus System and Help.� Use the basic functions of the F1 help� Use the F4 help� Display the information in the online documentation� Use the various options for personalizing the SAP system

Unit ContentsLesson: Logon and Screen Design.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .198

Exercise 8: Logon and Screen Design ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .205Lesson: Calling Functions ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .208

Exercise 9: Calling Functions ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .215Lesson: Getting Help .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .219

Exercise 10: Getting Help .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .223Lesson: Personalizing the User Interface .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .226

Exercise 11: Personalizing the User Interface... . . . . . . . . . . . . . . . . . . . . . . . . . . .229


Unit 7: Appendix: Navigation SAPSCM

Lesson: Logon and Screen Design

Lesson OverviewIn this lesson, you will learn about logging on to the system and about thesignificance of the various SAP GUI screen elements.


� Log on to the system successfully� Name and use elements of a SAP GUI screen

Business ExampleHow do I log on to SAP systems and what are the uses of various SAP GUIscreen elements?

Logging on to the SystemYou can access SAP systems using front-end programs with a variety ofdesigns; for example, the front end for the SAP Business InformationWarehouse (SAP BW) is the Business Explorer (BEx). All SAP solutionsare, however, accessible using a general front-end program, the SAP GUI(Graphical User Interface). The SAP GUI is the standard program foraccessing almost all SAP solutions. Several variants of the SAP GUI areavailable; these variants are all graphically equivalent, but adapted for use indifferent environments. For the sake of simplicity, further descriptions refer tothe SAP GUI for the Windows environment.

The SAP GUI program connects the front-end computer with a specificSAP system. Theoretically you can specify the SAP system required at thecommand-line level when calling the SAP GUI program; in practice, younever need to do this. For starting SAP GUI, SAP provides another program:SAP Logon. When you call up SAP Logon, it displays a list of SAP systemsfor which you can start the logon process. This list derives from a file onthe front-end computer: saplogon.ini. This file is normally preconfiguredcentrally and made available to end users. During logon, the SAP Logonprogram also enables logon load distribution using the resources availablefor the system selected.


SAPSCM Lesson: Logon and Screen Design

Figure 109: The SAP Logon program

When logging on to an SAP system, you will be prompted to enter thefollowing information: user and password. If you have implemented aSingleSignOn (SSO) solution, you may not need to enter this information. Youalso have the option of specifying a client when logging on; the client fieldusually already contains an appropriate default value.

Hint: A client usually represents a company in an SAP system.Thismeans that if an SAP system has several clients, then several companiescan be represented and simultaneously active in that system. Theclient has a corresponding key field in the tables of the database usedby that SAP system. If you are in a client, you can only access datafor that specific client. Clients therefore correspond to independentbusiness entities.

When logging on, you can select a logon language supported by that system.SAP systems can support a large number of languages, the minimum beingEnglish and one other selected language. The number of installed languagesdetermines which languages your system supports. On the logon screen,



you also have the option of using the New password pushbutton to changeyour password, at the most once per day. Your system administrator can addadditional text to your logon screen. To do this, see SAP Note 205487.

Note: SAP Notes contain detailed information on certain functions orcorrections for known errors in SAP products. You can access SAPNotes through, for example, the SAP Service Marketplace on theInternet, using a valid user and password: http://service.sap.com/notes

Hint: In the course of one logon to a system, you can work in severalsessions (processing windows of an SAP system) simultaneously.Your system administrator can use a system parameter to define howmany sessions are permissible for each logon to the SAP system. Thisparameter (rdisp/max_alt_modes) is valid for all users of thatsystem and can be set to any value between 2 and 6.

Figure 110: The logon screen for an SAP system

User data is stored in the system by client, that is, you can, for instance, logon to client 100 in your system, but you will not have a user for client 200,even if your system has a client 200. The data for a particular user within aclient is called the user master record.


http://service.sap.com/notes


Multiple logons are logged as of SAP R/3 4.6. This is for reasons of bothsecurity and licensing. If the same user logs on more than once, then for eachsubsequent logon, the system displays a warning message that offers the userthe following three options:

� Continue with this logon and end any other logons in the system� Continue with this logon without ending any other logons in the system

(this is logged)� Terminate this logon

Once you have logged on successfully, the initial screen of the SAP systemappears; this screen is also known as the SAP Easy Access screen.

Screen StructureThe SAP Easy Access screen is the default initial screen in SAP systems. Theleft side of the screen contains a tree hierarchy of the menus available toyou in the SAP system; you can use the right side of the screen to displayyour company logo. This graphic is made available centrally by your systemadministrator and cannot be customized by individual users.

Figure 111: SAP Easy Access

You can find a detailed description of how to configure the graphic in SAPEasy Access under Extras → Administration information (if you have thecorrect authorization). Please note that the graphic is stored in the systemand transported to the front end every time a user logs on. Although itis transported in compressed form, the graphic should not exceed 20 KB.



You can also prevent the graphic from being displayed by either choosingthe setting Low Speed Connection in the SAP Logon program (see SAP Note161053), or by using Extras→ Settings in the SAP Easy Access screen.

You can display a typical screen (with various elements) by, for example,choosing System→ User profile→ Own data, followed by the Defaults tab page.You will then see this screen with the data for your own user:

Figure 112: Maintaining your user profile



An SAP screen can contain the following simple screen elements:

� Command field : you can start applications directly by entering theirtransaction code in the command field (this is hidden as default). Youcan find the transaction code for an application either in the overviewmenu on the SAP Easy Access screen, in the status bar (see below), orin the application itself under System → Status.

� Menu bar : the menu bar is the top line of any primary window in theSAP system. The menus shown here depend on which application youare in. These menus may also contain cascading menus.

� Standard toolbar : The pushbuttons in the standard toolbar areshown on every SAP screen. If they are not available in an application,pushbuttons that you cannot use on that screen are deactivated. If youplace the cursor over a pushbutton for a short time, the system displaysa flag with the name or function of the pushbutton. If appropriate, thecorresponding function key setting is also displayed.

� Title bar : the title bar names the function that you are currently in.� Application toolbar : this shows the pushbuttons available in the

application that you are currently in.� Checkboxes : checkboxes allow you to select several options from a

group of fields.� Radio buttons : you can only select one option.� Tab : this allows you to organize several screen areas to improve clarity.� Status bar : the status bar displays information on the current system

status, such as warnings and errors. You can also change the displayvariant to show, for example, the transaction code of the transactionyou are currently in.

Other elements include, for example, input fields and pushbuttons.



Exercise 8: Logon and Screen Design

Exercise ObjectivesAfter completing this exercise, you will be able to:� To learn how to log on to an SAP system

Business ExampleYou want to work in an SAP system.

Task: Logging on to the System and Initial TasksLog on to the training system and carry out some basic exercises in the system.The menu paths refer to the SAP standard menu.

1. Start the SAP Logon program and choose the entry for the SAP systemspecified by your instructor. Choose the Logon pushbutton.

Enter the client, user name, initial password, and the logon languagespecified by the instructor. When you log on for the first time, enter anew password of your choice twice in the window that appears.

2. What is the maximum number of parallel sessions (windows of the SAPsystem) that you can open using System→ Create session?

3. What is the name of the function you reach if you choose Tools →Administration→Monitor→ System Monitoring→ User Overview? Whattransaction code could you use to call this transaction instead of themenu?



Solution 8: Logon and Screen DesignTask: Logging on to the System and Initial TasksLog on to the training system and carry out some basic exercises in the system.The menu paths refer to the SAP standard menu.

1. Start the SAP Logon program and choose the entry for the SAP systemspecified by your instructor. Choose the Logon pushbutton.

Enter the client, user name, initial password, and the logon languagespecified by the instructor. When you log on for the first time, enter anew password of your choice twice in the window that appears.

a) Follow the instructions in the exercise.

2. What is the maximum number of parallel sessions (windows of the SAPsystem) that you can open using System → Create session?

a) Depending on the relevant system parameter setting, you can openbetween 2 and 6 sessions. This training system allows you to openup to 6 sessions.

3. What is the name of the function you reach if you choose Tools →Administration→Monitor→ System Monitoring→ User Overview? Whattransaction code could you use to call this transaction instead of themenu?

a) The function is called User List (see the entry in the title bar). Youcan find the relevant transaction code using System → Status; inthis case, the code is SM04. You can also choose to display thetransaction code for an active transaction in the status bar.



Lesson Summary

You should now be able to:� Log on to the system successfully� Name and use elements of a SAP GUI screen

Related Information

� You can find additional information in the online documentation underHelp → SAP Library → Getting Started.



Lesson: Calling Functions

Lesson OverviewDuring this lesson you will learn about various ways of calling functionsin SAP systems.


� Use various methods to call SAP system functions� Describe the standard menus System and Help.

Business ExampleNone

Favorites List and User MenuOnce you have logged on, on the left side of screen you have two overviewtrees at your disposal for selecting functions:

� The user-defined favorites list� The role-based user menu or the SAP menu

The favorites listcontains SAP system functions or links to Internet contentor to files on the end user�s front-end computer. The favorites list, whichis initially empty, can be edited by each end user in accordance with theirpreferences; you can only view your own favorites list. Since data on thefavorites is stored within the SAP system, each user might have differentcollections of favorites in different systems. Favorites can be organized intofolders. You can edit your favorites in the SAP Easy Access screen using theFavorites menu.


SAPSCM Lesson: Calling Functions

Figure 113: Favorites list and user menu

The Favorites menu gives you the option of adding a function from the user(or SAP) menu to your personal favorites list by selecting the function andchoosing Favorites→ Add. You also have the option of using the mouse to drag& drop. You can add URLs or links to files to your list of favorites by choosingFavorites→ Add other objects. Click on the triangle symbol to the left of the filesymbol to expand or collapse the list of favorites.

The end user can switch from the role-based user menu to the SAP standardmenu (if the system settings allow this).

Hint: System administrators can use table USERS_SSM to determinewhether or not users are allowed to switch between the SAP menu andtheir user menus. If both menus are disallowed, then the user menuis still displayed. The availability of the user or SAP menu does notaffect a user�s authorizations. In other words, users can always usethe transaction code (see below) to call transactions that they haveauthorization for.

The role-based user menu is created according to the role(s) assigned to theuserand is transferred to the front end. This means that it makes sense to keeproles as small as possible because large roles could take a long time to transferto the front end in certain circumstances. If a user has several roles assigned,then some functions can be repeated in different parts of the role-based user



menu. If you want to prevent this, please see SAP Note 357693 (and theother SAP Notes to which it refers) for information on finding and deletingduplicates, and on other related matters.

Hint: As long as you have the appropriate authorization, you can alsodisplay user menus other than the ones assigned to you in your usermaster record. To do this, choose Other menu. Use Create role to startthe role maintenance transaction � transaction PFCG.

Calling FunctionsYou have several options for navigating in an SAP system:

� By entering transaction codes in the command field� By choosing items from menus in the menu bar� By choosing items from the favorites list or from the user or SAP menus

You can use the keyboard to get to the SAP Easy Access screen or thecommand field and call system functions from there.

Hint: Use the following keys to navigate using the keyboard:

� TAB: goes to the next field element within a field group� Ctrl + TAB: goes from one field group to the first element of the

next field group� Ctrl + /: goes directly to the command field

You can find further shortcuts using the pushbutton Customizing oflocal layout (Alt+F12)→ Sapgui Help.



When the command field is active, you can use the F1 key to display possibleentries for this important field. The following entries are possible:

� /n to cancel the current transaction� /n#### to call transaction #### directly from another transaction. Without

the prefix you can only call #### from the SAP Easy Access screen� /o to display an overview of sessions� /o#### to call transaction #### in a new session directly from another

transaction� /nend to end the logon session with a confirmation dialog box� /nex to end the logon session without a confirmation dialog box� /i to delete the session you are currently using

Note: The command field is an exception in that choosing the F4 keydoes not display the input help. The F4 key in the command field liststhe last 15 different entries in the command field. This list is stored inthe registry on the front end and is valid for all sessions on the frontend (regardless of the system used).



Figure 114: Various navigation options

Hint: By entering search_sap_menu or search_user_menu in thecommand field, you can search either the SAP standard menu or youruser menu for a string or transaction code of your choice. The resultof such a search is a list of hits that shows you how to navigate to thefunctions found using either menus or transaction codes.

You can navigate to the menus in the menu bar using the key combinationAlt + <underlined letter of the menu option required>.

The System and Help MenusThe System and Help menus are always available with the same options onevery screen in an SAP system.

The System menu allows you to access various system functions. This menualso contains functions that you can only access using this menu (and not inany other way). You can log off using System → Log off, and display usefulinformation on your system and the function you are currently using, such asthe transaction code, by choosing System → Status.



Figure 115: The System and Help menus

You can use the Help menu to access the online documentation. You canalso display the Release Notes and configure the standard settings for yourF4 Help. You will probably find that the most useful option for you here isthe context-sensitive link to the section of the online documentation relevantto the function you are using. The context-sensitive help is also calledApplication Help. The tool for accessing the online documentation as a wholeis the SAP Library.



Exercise 9: Calling Functions

Exercise ObjectivesAfter completing this exercise, you will be able to:� Familiarize yourself with various ways of calling functions and

navigating in the system

Business ExampleNone

Task 1: : Various Ways of Calling Up the User OverviewWho is currently logged on to the training system?

1. Call the transaction for displaying a list of users who are logged on. Todo this, follow

Tools→ Administration→Monitor→ System Monitoring→ User Overview(in the SAP standard menu!).

2. Quit the user overview by using either the F3 key or the Back button inthe standard toolbar. Now enter sm04 in the command field on the SAPEasy Access screen. This takes you directly to the user overview.

Task 2: : Some Possible Entries in the Command FieldWhich of the following are valid entries in the command field?

1. Start this exercise in the SAP Easy Access screen. Make the followingentries in the command field without returning to the SAP Easy Accessscreen in between. Make a note of your observations (you need not makeany other entries on each screen that appears other than after you haveentered /nend: please choose No here):

Entry ResultSU3SM04/nsm04/nend/nex



Solution 9: Calling FunctionsTask 1: : Various Ways of Calling Up the User OverviewWho is currently logged on to the training system?

1. Call the transaction for displaying a list of users who are logged on. Todo this, follow

Tools→ Administration→Monitor→ System Monitoring→ User Overview(in the SAP standard menu!).

a) See exercise for solution

2. Quit the user overview by using either the F3 key or the Back button inthe standard toolbar. Now enter sm04 in the command field on the SAPEasy Access screen. This takes you directly to the user overview.

a) See exercise for solution

Task 2: : Some Possible Entries in the Command FieldWhich of the following are valid entries in the command field?

1. Start this exercise in the SAP Easy Access screen. Make the followingentries in the command field without returning to the SAP Easy Accessscreen in between. Make a note of your observations (you need not makeany other entries on each screen that appears other than after you haveentered /nend: please choose No here):

Entry ResultSU3SM04




/nsm04/nend/nex

a)

Entry ResultSU3 Calls the screen for maintaining your own user

settings.SM04 Fails to call the user overview. A transaction can only

be started directly (that is, without a prefix) from theSAP Easy Access screen.

/nsm04 Calls the user overview successfully. /n first endsthe active transaction and then calls up the specifiedtransaction.

/nend A logoff confirmation dialog box appears. You couldnow exit the system.

/nex No logoff confirmation dialog box appears and yoursession is simply terminated.



Lesson Summary

You should now be able to:� Use various methods to call SAP system functions� Describe the standard menus System and Help.

Related Information

� Online documentation: extended help on SAP Easy Access. To displaythis documentation, choose Help → Application help on the SAP EasyAccess screen


SAPSCM Lesson: Getting Help

Lesson: Getting Help

Lesson OverviewThis lesson covers the help options provided by the F1 and F4 keys.


� Use the basic functions of the F1 help� Use the F4 help� Display the information in the online documentation

Business ExampleYou need more information on fields that are ready for input (for example,what the purpose of the field is, or what values you can enter).

F1 HelpYou can use the F1 key to display an explanation of fields, menus, functionsand messages. The F1 help also displays technical information on the relevantfield. This information includes, for example, the parameter ID that you needfor setting user-specific default values for input fields that are also linkedto the parameter ID. You can also display interesting information by, forexample, calling the F1 help for the command field.



Figure 116: The F1 help

You can also use other buttons in the Performance Assistant dialog box todisplay information on the selected field. One of the most important pieces ofinformation, besides the link to the context-sensitive Application Help, is thelink to the Technical Information. Use Technical Information to display detailedinformation, such as the parameter ID assigned to the field. Parameter IDsare not covered in detail at this point.

Note: You may need to activate the Performance Assistant first usingthe menu Help → Settings... → F1 Help.

F4 HelpYou can use the F4 key to display information on possible input values. Youcan also call up the F4 help for a field using the button immediately to the rightof the selected field. If a field contains a tick symbol, you can only proceedto the next step in that application after entering a permitted value (requiredentry). You can use transaction or screen variants, or Customizing to markfields as mandatory or optional, hidden or filled with hidden standard values.



Figure 117: The F4 help

The F4 help displays a list of possible entries for a field. If there are a largenumber of possible entries, a separate selection screen is displayed. If thereis a long hit list, the F4 help only displays as many entries as the user hasspecified on the F4 Help tab page under Help→ Settings... . The default valuefor the maximum number of displayed hits is 500. Take the time to familiarizeyourself with the other settings you can make here.

SAP Library (Online Documentation)The SAP Library is a useful aid to getting to know system functions. It allowsyou to access the online documentation. The information stored here doesnot simply describe how to use system functions, it also explains systemarchitecture concepts, gives examples of how you can configure variousprocesses, and warns you about possible user errors and their consequences.The online documentation also contains several tips and tricks to help youcarry out common tasks more easily and quickly.



Figure 118: The SAP Library

Hint: You can also access the SAP Library on the Internet. To do so, goto http://help.sap.com, or look under http://www.sap.com → Education→ SAP Help Portal. You can access the full product documentation forall releases here; a user-friendly full-text search by solution is alsoavailable.


http://help.sap.com

http://www.sap.com/training


Exercise 10: Getting Help

Exercise ObjectivesAfter completing this exercise, you will be able to:� Learning to use the F1 help and the F4 help

Business ExampleYou need more information about a field on your screen.

Task: Using the F1 Help and the F4 HelpIn transaction SU3, call the F1 help and the F4 help.

1. Use either the system menu or transaction code SU3 to call the functionfor maintaining your own user data. Call the F1 help for various inputfields. Find the parameter ID for the Logon language field using TechnicalInformation. To do this you need to use the Performance Assistant display.

2. Call the F4 help for the Logon language field. What is the language codefor Ukrainian?



Solution 10: Getting HelpTask: Using the F1 Help and the F4 HelpIn transaction SU3, call the F1 help and the F4 help.

1. Use either the system menu or transaction code SU3 to call the functionfor maintaining your own user data. Call the F1 help for various inputfields. Find the parameter ID for the Logon language field using TechnicalInformation. To do this you need to use the Performance Assistant display.

a) The Logon language field is on the Defaults tab page. The TechnicalInformation shows that the parameter ID for this field isSPR.

2. Call the F4 help for the Logon language field. What is the language codefor Ukrainian?

a) Carry out the exercise as described. The language code forUkrainian isUK.



Lesson Summary

You should now be able to:� Use the basic functions of the F1 help� Use the F4 help� Display the information in the online documentation

Related Information

� You can find additional information at http://www.sap.com → Education→ SAP Help Portal.


http://www.sap.com/training


Lesson: Personalizing the User Interface

Lesson OverviewDuring this lesson, you will learn about various options for personalizing theappearance of your SAP GUI.


� Use the various options for personalizing the SAP system

Business ExampleYou want to personalize your access to SAP systems.

Methods for Personalizing the SAP GUIEnd users have several personalization options at their disposal. Some aredescribed here. You can use Extras→ Settings to change the appearance of theinitial screen, for example, by turning off the graphics display on the rightside of the screen, or by displaying technical names (transaction codes) onthe SAP Easy Access screen.

Use this button for Customizing of local layout:

Figure 119:

Options available through the Customizing of local layout pushbutton include,under Options... → Local Data, administration options for input history. Whenthe input history is active, it builds a small front-end database that containsthe last n number of entries made in input fields in transactions. You candefine the value of n yourself. These entries are then provided as input helpfor fields that are appropriately declared. There is a slight time delay on theinput history, which you can minimize by choosing Options... → Local Data→History → Immediately.


SAPSCM Lesson: Personalizing the User Interface

The Options... also enable you to set the speed of quick info, and to displaysystem messages in dialog boxes (Options... →Messages). Various other aidsand settings are available here, for instance, you can choose a color schemefor your GUI.

Note: In Customizing of local layout, under New Visual Design... →General, you also have the option of changing the font size on yourSAP GUI screen. However, you will need to close the SAP Logonprogram, call it up and log on to the system again before your changesto the settings take effect.

Figure 120: Two of the many personalization options



You can set personal standard values using System→ User profile→ Own data.You can do this on the tab pages Address, Defaults, and Parameters.

Hint: Use parameters to fill frequently-used input fields with defaultvalues. The prerequisite for you to be able to do this is that the inputfield has been assigned a parameter ID. To find the parameter ID,select the input field for which you want to define a default value andchoose the F1 help, followed by the Technical Information pushbutton.This calls up a dialog box that displays the corresponding parameterID under Field data (as long as a parameter ID is assigned to the field).Enter this parameter ID, for example, XUS, in the Parameters tab pagein your user data, and assign a value to it, in this case, your user name.The result of this is that all fields with XUS as their parameter ID nowhave the value you entered as a default.

The favorites list on the SAP Easy Access screen and the status bar displayvariants provide additional personalization options.

Hint: Use the information displayed in the status bar on the bottomright edge of the GUI window. For example, use it to permanentlydisplay the transaction code of the active transaction.



Exercise 11: Personalizing the User Interface

Exercise ObjectivesAfter completing this exercise, you will be able to:� Learn to use easy personalization options.

Business ExampleYou would like to personalize your front end, that is, adapt it to yourrequirements.

Task: Easy Personalization OptionsCarry out some simple adaptations to your front end.

1. Choose the Customizing of local layout pushbutton and activate Quick Cutand Paste. Now test this function on some fields in your User Profile (SU3).You can then use the same method to deactivate this function.

2. Display the transaction code of the active transaction on the status bar.



Solution 11: Personalizing the User InterfaceTask: Easy Personalization OptionsCarry out some simple adaptations to your front end.

1. Choose the Customizing of local layout pushbutton and activate Quick Cutand Paste. Now test this function on some fields in your User Profile (SU3).You can then use the same method to deactivate this function.

a) Choose the Customizing of local layout pushbutton and select the itemQuick Cut and Paste from the menu. An explanation of how to usethis function appears in the status bar.

2. Display the transaction code of the active transaction on the status bar.

a) Choose the button for selecting the display variant in the status barand select Transaction. The transaction code of every transaction thatyou now call is displayed in the status bar of this session.



Lesson Summary

You should now be able to:� Use the various options for personalizing the SAP system

Related Information

� You can find additional information in the online documentation, inthe Getting Started section.


Unit Summary SAPSCM

Unit SummaryYou should now be able to:� Log on to the system successfully� Name and use elements of a SAP GUI screen� Use various methods to call SAP system functions� Describe the standard menus System and Help.� Use the basic functions of the F1 help� Use the F4 help� Display the information in the online documentation� Use the various options for personalizing the SAP system


SAPSCM Test Your Knowledge

Test Your Knowledge

1. You can only work in one window (session) at a time in an SAP system.Determine whether this statement is true or false.□ True□ False

2. Which of the following statements accurately describe a client in an SAPsystem?Choose the correct answer(s).□ A A client represents a completely independent business entity.□ B A client has its own database.□ C A client corresponds to a customer.□ D A client may represent an entire company.

3. The following strings are valid entries in the command field:Choose the correct answer(s).□ A /nend

□ B /nex

□ C ?SM04

□ D /nsm04

□ E From SAP Easy Access: SM04□ F From SAP Easy Access: search_sap_menu

4. You can use the F1 key to:Choose the correct answer(s).□ A Display an explanation of a field�s uses□ B Display a list of possible input values□ C Change your user data (for example, the logon language)□ D End the session you are in□ E Display detailed technical information on a field


Test Your Knowledge SAPSCM

5. You can use the F4 key to:Choose the correct answer(s).□ A Start another session□ B Display detailed technical information on a program□ C Call the SAP Library□ D Display possible entries for an input field□ E Create a print request of the screen currently displayed

6. You can also call the context-sensitive SAP Library using the F1 key.Determine whether this statement is true or false.□ True□ False

7. The following personalization options are available in the SAP GUI:Choose the correct answer(s).□ A You can change the font size (within limits) in the SAP GUI□ B You can have system messages displayed in a dialog box□ C You can change the size of input fields□ D You can suppress the display of pictures in the SAP GUI□ E Every user can display a picture of their choice on the SAP

Easy Access screen□ F You can use a personal input history on your front end


SAPSCM Test Your Knowledge

Answers

1. You can only work in one window (session) at a time in an SAP system.

Answer: False

You can work in up to 6 windows (sessions) simultaneously per logon.

2. Which of the following statements accurately describe a client in an SAPsystem?

Answer: A, D

The data for all clients in an SAP system is stored within a single commondatabase. This data is nevertheless divided by client so that differentcompanies can be administered and controlled in different clients. Aclient is not a customer within an SAP system.

3. The following strings are valid entries in the command field:

Answer: A, B, D, E, F

You can enter valid transaction codes directly on the SAP Easy Accessscreen. If you are in another function, you need to enter /n in front ofthe transaction code. /nend and /nex are two different logoff options.?SM04 is not a valid entry. search_sap_menu is a valid entry; it createsa search screen for entries in the SAP menu.

4. You can use the F1 key to:

Answer: A, E

The F1 help provides documentation and technical information on a field.

5. You can use the F4 key to:

Answer: D

The F4 key provides a list of possible entries for a selected field.


Test Your Knowledge SAPSCM

6. You can also call the context-sensitive SAP Library using the F1 key.

Answer: True

You can call the context-sensitive help using the Application Helppushbutton in the F1 help window.

7. The following personalization options are available in the SAP GUI:

Answer: A, B, D, F

Numerous personalization options are available, using the Extrasmenu,the Customizing of local layout pushbutton, the status bar and Help →Settings.... End users cannot, however, change the size of input fields.You also cannot use the SAP GUI to display a picture of your choice onthe SAP Easy Access screen.


SAPSCM Course Summary

Course SummaryYou should now be able to:

� List the key component solutions of the mySAP Business Suite� Reproduce typical mySAP Supply Chain Management scenarios� Navigate the curriculum for mySAP Supply Chain Management


Course Summary SAPSCM


Glossaryclient

A client usually represents a company in an SAP system. This meansthat if an SAP system has several clients, then several companies can berepresented and simultaneously active in that system. The client has acorresponding key field in the tables of the database for that SAP system.If you are logged on to a specific client, then you can only access data forthat client. Clients therefore correspond to independent business entities.

command fieldYou can start applications directly by entering the transaction code inthe command field.

F1 helpYou can use the F1 key to display an explanation of fields, menus,functions and system messages. The F1 help also displays technicalinformation on the relevant field.

F4 helpThe F4 help displays input help (possible values) for a field that is readyfor input.

favoriteFavorites contain SAP system functions, or links to Internet content orfiles on the end user�s front-end computer.

field groupA field group comprises a set of related screen elements, for example, allcheckboxes in one selection.

roleA role is a collection of activities that a person performs to participatein one or more business scenarios in an organization. You access thetransactions, reports, Web-based applications and other objects containedin roles through user menus.

SAP Easy AccessSAP Easy Access is the default initial screen in SAP systems. The leftside of the screen contains a tree hierarchy of the menus available to youin the SAP system; you can use the right side of the screen to display agraphic, such as your company logo.


Glossary SAPSCM

SAP LogonWhen you call up the SAP Logon, it displays a list of SAP systems forwhich you can start the logon process. This list derives from entries ina file on the front-end computer: saplogon.ini. This file is normallypreconfigured centrally and made available to end users. During logon,the SAP Logon program also enables logon load balancing using theresources available for the system selected.

SAP NoteAn SAP Note is text information on a specific topic, problem or systemmessage that you may come across when working in the system. All SAPNotes are stored at SAP in an online database, and customers can callthem up from there. An example question could be: �Which versions ofDatabase XY are approved by SAP for use with my SAP system?�

SAP systemAn SAP system is, for example, an SAP R/3 system, an SAP BW system, oran SAP CRM system. SAP systems are the central components of mySAPsolutions within the framework of mySAP.com.

transaction codeA transaction code (also known as a TCode) is a sequence of charactersthat identifies a transaction in the SAP system. A transaction codemay contain up to 20 characters and must always begin with a letter.Permitted characters are letters from A to Z, numbers from 0 to 9, andthe underscore. To call a transaction, enter the transaction code in thecommand field and press Enter.

user master recordThe user master record contains the definition of a particular user in theclient. Some examples of fields are first name, last name, initial password,telephone number, and so on. The user master record is used to build upa user context (see entry for user context) when the user logs on to thesystem.


IndexAapplication help, 220application toolbar, 203BBEx, 198Ccheckboxes, 203client (in system), 199Collaboration, 181Collaborative Planning,Forecasting andReplenishment (CPFR),181

command field, 203, 211Customizing, 220Customizing of local layout,226, 236

DDefaults/Own data, 202Demand Planning, vii, 5, 12,25�28, 31, 33�36, 38, 42�43,46, 55, 60, 73, 75, 190

Designing the Supply Chain,vii, 14�15, 190

EEvent Management, viiiExternal procurement, vii, 5,63, 73, 83, 85, 87

FF1 help, 219F4 help, 220

favorites list, 208field group, 210IICH, 181input history, 226Inventory CollaborationHub, viii, 181

LLogistics Execution, viii, 83,147, 161

MManufacturing, viii, 5, 43, 83,119�122

menu bar, 203multiple logons, 201mySAP Business Suite, vii,ix, 1�3

mySAP SCM, vii, 1�2, 4�7,11, 16, 25�26, 40�42, 61�62,83, 85, 119�122, 147, 171,181, 189�192, 194�195

mySAP Supply ChainManagement, vii, viii�ix,1, 5

Oonline documentation, 213Order fulfillment, viii, 5, 83,147

Pparameter ID, 219, 228Performance Assistant, 220


Index SAPSCM

Production Planning andDetailed Scheduling, vii, 5,12, 27, 42, 46, 60�63, 72�73,75, 77, 103, 105, 109, 139,141, 152, 190

pushbutton, 203Qquick info, 227Rradio buttons, 203rdisp/max_alt_modes, 200required entry, 220role, 209SSales and Distribution, viii,83

SAP BW, 198SAP Easy Access, 201SAP GUI, 198SAP ICH, viiiSAP Library, 213, 221SAP Logon, 198SAP menu, 208SAP Note, 200SC Collaboration, viii, 181SC Coordination, viiiSCEM, viii, 171SCPM, 171

search_sap_menu, 212search_user_menu, 212session, 200standard toolbar, 203status bar, 203, 228Supplier Managed Inventory(SMI), 181

Supply Chain Design, 5Supply Chain EventManagement, 171

Supply Chain PerformanceManagement, 171

Supply Network Planning,vii, 5, 12, 19, 25, 27, 40�43,45�51, 55�58, 60, 62�63, 73,75, 190

Ttab, 203Technical Information, 220title bar, 203transaction code, 203, 211UURL: SAP Help Portal, 222user master record, 200user menu, 208VVendor Managed Inventory(VMI), 181


FeedbackSAP AG has made every effort in the preparation of this course to ensure theaccuracy and completeness of the materials. If you have any corrections orsuggestions for improvement, please record them in the appropriate place inthe course evaluation.
