Purchasing

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Purchasing
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Vendor Master Data

• Master records must be created for every vendor
• Contains centralized data for both MM and FI, can
  be created in MM and FI modules, or centrally
• Vendor Master Data is pulled from database when
  creating Purchase Orders

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Vendor Master Data

• General Data
• Client-level data Applies to all company codes
  and purchasing organizations
• Name, address, phone numbers, language
• Company code data
• Accounting data Currency used, payment terms,
  reconciliation account (a vendor is a creditor of
  the enterprise)
• Purchasing data
• Data important for purchasing (contact persons,
  delivery terms)
• Maintained at purchasing organization level

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Partner Roles

• In the procurement process, there may be
  different business partners for different roles
  in the transaction. These partner roles are
  defined in vendor master data

Invoice Presented By
Ordering Address
Vendor
Payment Received By
Goods Supplier
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Material Master Data

• An advantage of the SAP system is that it
  maintains one set of data in real time. Material
  data is used by many functional areas. In the
  SAP system, there is one set of related data for
  each material. With non-integrated systems, each
  system may contain material data, and this data
  is not always consistent. In the SAP system, the
  data is consistently correct or incorrect.
• Material Master data is organized by Views.
  Depending on the type of material, only certain
  views need to be used. As the system is
  configured, additional views can be added as
  necessary.
• Many Material Master views are plant-specific

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Material Master Views

• General Plant Data/Storage 1
• General Plant Data/Storage 2
• Warehouse Management 1
• Warehouse Management 2
• Quality Management
• Accounting 1
• Accounting 2
• Costing 1
• Costing 2

• Basic Data 1
• Basic Data 2
• Classification
• Sales Sales Org Data 1
• Sales Sales Org Data 2
• Sales General/Plant Data
• Foreign Trade Export Data
• Sales Text
• Purchasing
• MRP 1
• MRP 2
• MRP 3
• MRP 4
• Forecasting
• Work Scheduling

Basic Data, Classification are not
plant-specific Other views are plant-specific
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Material Master Views
NRG-A Bars Base unit CS Gross wt 72 lb.
Basic Data View
Non-plant specific
Plant specific
Plant 1000
Plant 2000
NRG-A Bars Lead Time 2 days Std. Price 216.80
NRG-A Bars Lead Time 3 days Std. Price 223.20
MRP Views
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Purchasing Info Record

• Provides continuously updated information about
  the relationship of a specific material with a
  specific vendor
• Provides default information for purchase orders

Material
Vendor
Purchasing Info Record
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Purchasing Info Record

• Contains
• Current price and delivery costs for purchasing
  organization or plant
• Number of last purchase order
• Purchase order price history
• Tolerance limits for over/under deliveries
• Planned delivery time for material
• Vendor evaluation data

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Purchasing Info Record

• Purchasing info records can be created directly,
  as we will do in this class, or can be created
  automatically when a purchasing document (e.g.
  purchase order) is created or changed.
• The Purchasing Info Record can be created
  automatically from a purchase order if the Info
  Update indicator is set.
• Conditions is SAPs term for pricing, which can
  include discounts, freight costs, surcharges, etc.

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Purchasing Process

• Create Purchase Requisition
• Where analysis/vendor selection occurs
• Create Purchase Order from Requisition
• Requisition items can be used to generate
  multiple purchase orders
• Create Goods Receipt
• Create Invoice Receipt
• Post Outgoing Payment
• Unfortunately, there is no purchasing document
  flow

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Procurement Process
Purchase Requisition
Purchase Order
Internal Demand
Goods Receipt
Customer
Vendor
Invoice Receipt
Pay Invoice