SALES & DISTRIBUTION CONFIGURATION

Group Members
S K Chakravarthy N Srikanth Konduri S Bharadwaj 10DM-128 Sarthak B Shantanu Shekar Raman Duggal 10DM-129 10FN-109

10DM-138 10DM-145 10DM-121

Siddharth Mullapudi

10FN-056

Agenda

Organization Structure Critical Success Factors Introduction to SD Sales Process Sales order Check Availability Pick Materials Pack Materials PGI Invoice Customer Payment

Production Planning

Financial Accounting

Plant

Company Code

Controlling

Human Resources

Client
Controlling Area Personnel Area

Sales and Distribution

Materials Management

Sales Area

Purchase Organization

Critical Success Factors

Top Management commitment and Support Clear Goals, focus and scope (Business Plan and Vision)

Business Process Reengineering

Change Management Culture & Program Selecting the right team (competence)
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Critical Success Factors

Effective Communication User Training and Education

Project Champion
Avoidance customization Use of Project management to manage implementation
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Critical Success Factors

Use of ERPs consultants

Vendor package selection User participation

Technical and business knowledge Integration of the system
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Critical Success Factors

Appropriate Management expectation Appropriate Business & IT Legacy Systems Software Development, Testing & Troubleshooting Vendor Partnership Use of vendors development tools
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Critical Success Factors

Monitoring & Evaluation of Performance

Management Structure
Interdepartmental cooperation and communication
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Some Failure Examples .

Organizatio n Hershey Foods Corporation Whirlpool Corp Industry Implementatio n Scope SAP million Why Failure? Candy $110 Integration of the two systems had not been tested adequately Delay shipments of appliances to distributors and retailers. One major problem of Whirlpool is the coordination of technical and business expertise. Whirlpool ignored the cautionary advice from the consultant and chose to go live. Cost over runs. It was expensive for the university to take people out of normal positions.

Home SAP Appliances

UNSW

Higher Education Sector Australia

PeopleSoft

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Some Success Examples

Organizatio n Sigma Chemical Industry Implementatio Why Success? n Scope Chemica SAP l Industry Support from top management, BPR, invest in training and re-skilling and used of consultants.

Scripps Metabolic Clinic

Anheuser Busch

Multi specialty medical group

Lawson ERP integrated solution on HP 9000

Reliable vendor partnership successful system integration

and

Manufact SAP urer of Beer and related food product

Provided a cost savings based upon integration of data and processes, a common database, and increase leverage of purchasing and buying. The critical success of the implementation www.wondershare.com included used of external consultants, project champion, BPR, top

SD Introduction
SAP SD stands for Sales and Distribution Manage customer-focused activities, from selling to delivery, including RFQ Sales orders Pricing Picking (and other warehouse processes) Packing Shipping

The Sales Process

Pre-sales Activities Sales Order Entry Check Availability Pick Materials

Receipt of Customer Payment

Invoice Customer

Pack Materials Post Goods Issue

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The Sales Process

Customer Order

Picking

Goods Issue

Accounts Receivable
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Billing

Sales

Quotation

Sales Order Post Goods Issue

Shipping

Delivery Note Billing Post Incoming Payment

Picking

Billing

FI A/R

SD: Functionality

Sales Support Sales Shipping and Transportation Billing Credit Management Foreign Trade

SD: Organizational Structures

SD Structure Client Company Code Sales Area Sales Organization Distribution Channel Division Plant Shipping Point Loading Point Internal Sales Structure Sales Offices Sales Groups Salesperson

SD: Structure for Sales Order Processing

Client 410

Sales Area
Company Code C100 Sales Org S100

Plant P100

Plant P101

Distribution Channel (RE)

Division (01)

SD: Internal Sales Structure

INDIA Sales Office IN10

Delhi Sales Office

Mumbai Sales Office

North Delhi Sales Group Salesperson 1 Salesperson 2 Salesperson 3

South Delhi Sales Group Salesperson 4 Salesperson 5

Navi Mumbai Sales Group Salesperson 6

Andheri Sales Group Salesperson 7 Salesperson 8 Salesperson 9

SD: Structure for Distribution

Client 410
Company Code C100

Plant P100

Plant P101

Shipping Point Rail Dock

Shipping Point Express Dock

Shipping Point Freight Dock

Loading Point LP03

Loading Point LP02

Loading Point LP01

Inbound Logistics from Materials Management

Sales/Distribution Chain

Sales Order & Distribution Process

Receive Payment
FI

Outbound Logistics to Customer Support Customer Sales (Customer Info Analysis) - Optional Process Customer Inquires - Optional Provide Customer Quotations - Optional Support Customer Agreements - Optional -

Create Invoice
FI/CO/PA

Issue Goods (Ship Product)

FI MM

- Check credit -

(Activities)

Create Delivery Note Create Sales Order FI/CO MM PP

Check product availability - Determine pricing - Estimate delivery schedule - Determine conditions of sale

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Distribution Channel

Means through which products and services reach the customer A distribution channel
Defines responsibilities Helps in achieve flexible pricing Differentiate Sales statistics

Division and Sales Area

Division:
A division is used to group products and services. A division represents a product line.

Sales Area:
Sales organization Distribution Channel Division

Sales Document

Defining Sales Document Types

It

represents the different business transactions in Sales and controls the entire sales order process.

Defining Number Ranges for Sales Documents

This

Unique number helps in identifying the sales document

Sales Document (Contd.)

Defining Item Categories

The

item categories along with sales document types represent the business transactions

Assigning Item Categories

This

specifies the item categories the system selects during document processing for each combination of sales document type and item category group.

Sales Documents (Contd.)

Maintaining Copy Controls between different sales documents

For

a particular sales document type, which document type is to be assigned to copied reference documents, and which item categories or schedule line categories are to be copied.

Sales Document (Contd.)

Maintaining Copy Controls from Billing Document to Sales Document

You

can specify for a particular sales document type, which document type is to be assigned to copied reference documents, and which item categories or schedule line categories are to be copied

Shipping Process

The shipping process begins when you create the delivery document for the sales order.
This document controls, supports, and monitors numerous sub-processes for shipping processing: Picking Packing Post Goods Issue

Integrated with the Material Management (MM) and Finance (FI) modules

Assigning Shipping Points

Defining a default shipping point for a combination of Shipping Condition, Loading group and Plant

Order

Generation of Orders

Delivery note

Note to ascertain the delivery

Pick Materials on Delivery Note

Materials are picked once the delivery note process is completed

Post Goods Issue

Click on the button to post goods

Goods are posted and corresponding entries are made

Check Stock Status(MMBE)

SAP Uses This Report to Generate MMBE

Billing for Customer

Customer billings done as per their transactions undertaken

F-28 Incoming Payments

Payments done to the company code in the process

Order Flow

Flow of orders/deliveries

THANK YOU!