day 1 various sales cycle
TRANSCRIPT
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Sales Shipping BillingPre-Sales
Quotation
Inquiry
Product Item proposal
Contracts
S & D Sales Cycle Pre Sales Overview
By Naresh Punjabi
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By Naresh Punjabi
The quotation processing is triggered from the customer inquiry.
While processing a quotation you can check the following:
Pricing
Verify and/or manually adjust price conditions.
E.g. change the PR00 condition.
Availability check
check if the material is available from the system.
Schedule lines
See if the schedule lines meet the customer expected delivery date or if the
system proposes the deliveries in the way you want
S & D Sales Cycle Pre Sales Overview
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By Naresh Punjabi
OrderOrder
QuotationQuotation
Item 10 M1 10 PC
Item 20 M2 20 PC
Rejection reason:
03 too expensive
Item 30 M3 30 PC
Sold-to party: C1
Sold-to party: C1
Item 10 M1 10 PC
Item 20 M3 30 PC
The rejection can come fromyour organization
(for example, you can reject a
customer request for a credit
memo because it is
unreasonable)
or from the customer (forexample, the customer rejects a
quotation because the price is
too high).
A reason for rejection can be
assigned on item level. After youenter a reason for rejection,
quotations will have no further
references by
other documents.
S & D Sales Cycle Pre Sales Overview
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By Naresh Punjabi
Sales Order Processing
Definition of Product Business:
Sales of goods directly or indirectly to the customer.
Goods are sold from stock or directly from vendor.
Simple product structure, no external configurationrequired.
Single/multiple deliveries, not related to a project.
Delivery related billing.
Service Management is not required.
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Invoice
Invoice
SDSD MMMM
Quotation
Sales Order
Output
Output
Delivery
Requisition
Purchase Order
Output
Output
Goods Receipt and
Invoice Verification
Customer-related Stock
Delivery
By Naresh Punjabi
Sales Order Processing Logistics Integration
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Item
10
20
Material
M1
M3
Qty
40
60
DeadLn
06/20
06/20
Price
100.-
120.-
Item
10
20
30
Material
M1
M2
M3
Quantity
40
50
100
X
X60
Sales Order 5376Sold-to party 40004000Business data
Create w/ reference
Quotat.
Req. delivery
date D 06/
20
200000171
Copy Selection list
Item10
20
30
MaterialM1
M2
M3
Qty40
50
100
DeadLn04/01
04/01
04/01
Price100.-
150.-
120.-
Quotation 200000171Sold-to-party 40004000Business Data
SD document 5376Sold-to party 40004000
Business data
Copying control
By Naresh Punjabi
Sales Order Processing Sales Order Creation
Quotation Reference
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Item
10
20
Material
M1
M3
Qty
40
60
DeadLn
06/20
06/20
Price
100.-
120.-
Item
10
20
30
Material
M1
M2
M3
Quantity
40
50
100
X
X60
Sales Order 5400Sold-to party 40004000Business data
Create with reference
Order
Req. deliverydate
D 06/20
5376
Copy Selection list
Item
10
20
30
Material
M1
M2
M3
Qty
40
50
100
DeadLn
04/01
04/01
04/01
Price
100.-
150.-
120.-
Order 5376Sold-to-party 40004000Business Data
SD document 5400
Sold-to party 40004000Business data
Copying control
By Naresh Punjabi
Sales Order Processing Sales Order Creation
Sales Order Reference
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Sales Document Type
Sales Organisation
Distribution Channel
Division
Entry
Item
-
-
Material
-
-
Qty
-
-
DeadLn
-
-
Price
-
-
SD document 5435
Sold-to party 40004000Business data
Sales Area
Sales Document Type
Manual Creation
Sales Office
Sales Group
By Naresh Punjabi
Sales Order Processing Sales Order Creation
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Schedule line 1
Item 10
Schedule line 1
Header
Business data
Conditions
Partners
Texts
Purchase order data
etc.
Business data
Conditions
Texts
Partnersetc.
Item 20
Schedule line 2Sales
Shipping
Procurement
By Naresh Punjabi
Sales Order Processing - Sales Document Structure
Product Business
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Item
10
20
30
Material
M1
M2
M3
Qty
40
50
100
Item Category
YQM1
YQM2
YQM3
Order 5376Sold-to-party 40004000Business Data
SelectedbyItemCategory
!
By Naresh Punjabi
Sales Order Processing - Sales Document Structure
Item Category
The item category key is automatically set by the system for every line item.
According to the business needs ,you can overwrite the present item
category key manually.
For E.g..Item Category can be changed when material is procured
Changing the Item Category would result in changing the procurementfor the item
E.g TAN , TANN , TAS, TAQ, TAP
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By Naresh Punjabi
Sales Order Processing - Sales Document Structure
Item Category
Item Category :-
An item Category in the Sales order item is determined based
On the
Sales Document Type + Item cat.Group Material Master +Higher Level Item + Usage.
Standard Item Category is TAN For Deliverable Items.
TANN is for Free Supply items.
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Item
10
20
Material
M1
M3
Qty
40
60
DeadLn
06/20
06/20
Price
1.000.-
12.000.-
SD document 5435Sold-to party 40004000
Business dataCredit Check Status [ ]
Total Order Value 13.000,-
Credit
Check
CreditMaster
Item
10
20
Material
M1
M3
Qty
40
60
DeadLn
06/20
06/20
Price
1.000.-
12.000.-
SD document 5435Sold-to party 40004000
Business dataCredit Check Status [ Blocked ]
Total Order Value 13.000,-
F I
DeliveryCreation NO !
Sold-to-party40004000Credit Limit: 12.500
CustomerMaster
S D
X
By Naresh Punjabi
Sales Order Processing - Sales Document Structure
Credit Check
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By Naresh Punjabi
Sales Order Processing
Processing the Incompletion Log
Goto System HelpEditSales document
Create Standard Order: Incompletion Log
??Complete data
Sold-to party
Standard Order
61 Joseph H. Gruis
Item Missing data
Purchase order no.
Save incomplete document
The document is still incomplete Save
Would you like to save the
incoming document or process
the missing data?
Edit data
Cancel
When you save the order, this dialog box appears
if required data is missing.
Selecting Edit data displays the Incompletion log.
Data on the header of this sales order is missing,the purchase order number.
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By Naresh Punjabi
Sales Order Processing
Cash Sales
The Cash Sales Order is generally used in the the Retail
Segment.
The Delivery gets created automatically in the backgroundOnce the Sales Order is Saved.
A Cash Sale Invoice is printed and issued to the Sold to
Party
The Invoice Output is generated from the Sales Order.
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By Naresh Punjabi
Sales Order Processing
Cash Sales
Sales Document Type = BV
Item Category = BVN
Availability Check = No
Order Related Billing.
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By Naresh Punjabi
Sales Order Processing
Rush Order
The customer Places Order & collects the material orThe same is shipped.
The delivery is created automatically when the order is
Saved
The Invoice is printed once the Customer has received
the Material.
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By Naresh Punjabi
Sales Order Processing
Rush Order
Sales Document Type = SO
Item Category = TAN
Availability Check = No
Delivery Related Billing.
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By Naresh Punjabi
Sales Order Processing
Consignment Sale.
Consignment Sale Process allows Stocks or MaterialTo sit at the customers site OR allows stocks that
Is reserved for the customer to sit at its own site.
The Stock is monitored at the Individual Customer &Material Level.
This stocks are referred as Special Stocks.
Represented with Indicator W.
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By Naresh Punjabi
Sales Order Processing
Consignment Sale Process Steps
1.Consignment FILL UP.
The Seller delivers stocks to a customer on Consignment .
This process is called as Consignment FILL UP.
In this Process of FILL UP the Delivery is created .
The Billing Document is not created.
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By Naresh Punjabi
Sales Order Processing
Consignment Sale Process Steps
2.Consignment IssueAfter the Consignment FILL UP the Customer /
Consignee may consume the Material or Sell it.
Then the customer only pays for the material sold
Or the material consumed.
The Post goods issue is done , Stocks are depleted.
The Invoice is raised to that extent.
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By Naresh Punjabi
Sales Order Processing
Consignment Sale Process Steps
3. Consignment Return
The consignment Return is a Sale Process flow that
represents faulty materials or the product consumed
Or sold by the Consignee.
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By Naresh Punjabi
Sales Order Processing
Consignment Sale Process Steps
4. Consignment Pick-Up.
The Pick Up process imitates picking up of the faulty
materials as well as picking up of excess material not
yet consumed by consignment issue.
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Customer
Material
Price group
Material pricing group
Customer/Material pricing group Customer/Material
Others
Price list
Material price
Customer-specific
Material Costs
Others
Conditions
Prices Discounts/surcharges
Validity Period
By Naresh Punjabi
Sales Order Processing
Pricing
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PricesList Price 1
List Price 2
DiscountsDiscounts by Discount Group
in Master Data
Customer/Material Pricing Group
Customer Group/Material Pricing Group
Material Pricing Group
By Naresh Punjabi
Sales Order Processing
Pricing Elements
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Freight Charges
Customs
Sales Taxes
If not FOB, System adds surcharges
for freight.
Defined by customs codein material master
Manual maintained percentage
Domestic or foreign business transaction
Tax classification of customers ship-to-party
Tax classification in material master
By Naresh Punjabi
Sales Order Processing
Pricing Elements
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By Naresh Punjabi
Sales Order Processing
Pricing Elements
Payment Terms
Incoterms
Assigned to a customer
in customer master/
sales view
Assigned to a customer
in customer master/sales view
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Header
Item 10 Reason for rejection
Item 20Item 30 Reason for rejection
Order
Header Delivery block/Billing block
Item 10 Delivery block/
Billing block
Item 20
Schedule line 1
Schedule line 2 Delivery block
Order
By Naresh Punjabi
Changing Sales Order
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Item
10
20
Material
M1
M3
Qty
40
60
DeadLn
06/20
06/20
Price
1.000.-
12.000.-
SD document 5435Sold-to party 40004000Business data
Total Order Value 13.000,-
SalesOrderMessages
Entry
Sales Order 5435
Order Confirmation
Sales Order 5435
Pro FormaInvoice
By Naresh Punjabi
Order Confirmation
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Document flow ofan order
Quotation
. Order
. . Delivery
. . . Invoice
. . Returns
. . . Returns delivery
. . . . Credit for returns
Returns
Order Delivery Invoice
Delivery Credit
Note forReturns
Quotation
.
.
.
By Naresh Punjabi
Document Flow Viewed from Sales Order
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By Naresh Punjabi
Third Party Sales
Basic Concepts of Third Party Sales.
Sale Process wherein Trading of Goods Take Place between the
Buyer and seller.
The Buyer Sells it to the end customer with a Margin.
There is no Value addition done in terms of the Product Purchased
& Sold. Product is sold AS IS.
There is no Physical Movement of Goods in the warehouse of the
Buyer.Statistical Goods receipt could be executed.
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Sales Quotation
Processing
Contracts
SalesO
rderProcessing
Purchase
Requisition
PurchaseOrder
Goods
Receipt
Delivery
Billing
Third Party Sales- Structure
MMMM
SDSD
SDSD
By Naresh Punjabi
Third Party Sales
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Item
Materials
Total quantities
Delivery dates
Price and conditions
Delivery schedule
Plant
Purchasing groupAccount
assignment: E
Item category: S
GR non-valuated
indicator
Header
Vendors address
Terms of payment
Delivery terms
Procurement type PurchaseOrder
By Naresh Punjabi
Third Party Sales Purchase Order
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By Naresh Punjabi
Third Party Sales - Purchase Order
There are 3 methods to create a Purchase Order:
With reference to Purchasing Documents,
like RFQ, Contracts
Automatic generation Assign and process Purchase Requisition
to PurchaseOrder
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By Naresh Punjabi
Purchase Order : Reference
Purchase
Requisition
Materials
Total quantitiesDelivery dates
Price and
conditions
PurchaseOrder
Vendor B
Manila
with reference
to...
Purchase Order
RFQ
ContractScheduling
AgreementPurchase
Requisition
Materials
Total quantitiesDelivery dates
Price and
conditions
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PO
Vendor B
Item 10
PO
VendorA
Item 10
Item 20
Exclude faulty itemsPurch. requisition
Item 10 Material ...Source: vendorA
Item 20 Material ...
Source: vendorA
Item 30 Material ...
Source: vendor B
Item 40 Material ...W/o source
Mat. master rec.
Material 1
Plant 1000
Autom. PO x
Info record
Vendor A
Material 1
Pur. org. 1000
Price 10.00
Contract
Vendor A
Material 1
Pur. org. 1000
Price 10.00
Prerequisites Basis Automatic generation of POs
Vend. master rec.
Vendor A
Pur.org 1000
A
utom. PO
x
By Naresh Punjabi
Purchase Order : Automatic Generation
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Purchase
requisition
W/o source
Changerequisition
Processassignment
Assignment
overview
Assign source
List requisitions (for purchasing group)
1
Assign source
Outline agreement Info record (vendor)
2
List of assigned requisitions3
Purchase
requisition
With source
Pur. order
By Naresh Punjabi
Purchase Order :Assign and Process P Ref to PO
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By Naresh Punjabi
Free of Cost Delivery Process
There are Three Types of Free of Charge Deliveries
Free of Charge Items along with Sales Order.
Free of Charge Sample Orders
Subsequent Delivery Free of Charge(Subsequent
to the Return Process.)
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Features of Free Cost of Sale / Delivery
The sales order has item category as TANN.
The order is deliverable but not Billable.
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By Naresh Punjabi
Debit or Credit - ote or emo
This process is used for transactions which purposesare different from normal purposes of the business to
credit/debit a customer.
Credit/debit memo request may be created withreference to an invoice or without any reference.
The creation of a credit/debit memo request is part of
the Sales Order processing in SAP R/3 .
The creation of a credit/debit memo is part of the
billing in SAP R/3.
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By Naresh Punjabi
Debit or Credit - ote or emo
Reasons for Debit / Credit Note.
1. Incorrect Price Charged.
2. Wrong Tax Charged.
3. Target Achievement Credit Notes.
4. Price Revision differences.
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Debit or Credit - ote or emo
A Debit /Credit Memo Request is a sales document for the purpose of
adjusting the Selling expenses or Cost. You entera Value Item with a value
.
Billing Related Adjustment
A Credit Note Request is a sales document for the purpose ofadjusting the
Billing to the customer. You may create the Credit Note Request with
reference to the original invoice
(A) The accounting impact of the Credit Note would be:
Credit Customeraccount
Debit Sales Revenue
(B) It is used in the case ofadjustment to the original invoice value.No
Goods Movement takes place.
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By Naresh Punjabi
Debit or Credit - ote or emo
Debit ote Credit ote
S e i re re e Dere eri eDi ere e
C tomer o t re e Dere e
e
Impact of Debit / Credit Notes on Accounting.