Enterprise Wide Information Systems

Configuring SAP



Objectives
The primary objective of this discussion is to show how
the SAP R/3 Implementation Guide (IMG) can be used
to aid the project team in configuring business
transactions.
For simplicity, we will keep our focus on the Order process.
Upon completion of this topic, you should be able to:
Describe the various implementation and configuration tools available in the SAP
R/3 system.
Anticipate how elements of the Customer Master are integrated and are used to
control the SD processes.
Use elements in the Material Master to streamline COM.
How to configure the Billing process for data flow and price control.
Topics
The Implementation Guide
Sales Orders and the Customer Master
Customizing the Material Master
Configuring the Billing Process
Methods for Implementing &
Configuring SAP
SAP R/3 includes several tools to facilitate configuring SAP
and continuing support .
The R/3 Reference Model - describes the business processes
included in the standard R/3 system as well as the relationship
among the different application modules.
The Implementation Guide (IMG) - guides users in matching their
business requirements with the SAP standard software.
The Procedural model - is used as a navigator to guide you
through the whole implementation and configuration process.
The Implementation Guide
A tool that leads to a step-by-step customizing of
selected parts (modules) of the R/3 system.
It guides the project team in matching the
business requirements with the SAP standard
software.
With the IMG project management functions...
Consultants in charge of implementation first decide
which parts of R/3 are to be customized.
The system then automatically generates the needed
hierarchical list of the customizing steps for achieving
that customization.
The Implementation Guide
Basis configuration takes place.
Global settings are set as default in the SAP system.
The structure is defined to match the organizations
business function.
Applications are created to meet business
requirements.
Financial Accounting
Materials Management
Cross- application functions are developed.
Sales and Distribution
Human Resources
The Enterprise IMG
The Enterprise IMG is just a subset of the Reference IMG.
It is where all the customizing takes place.
PS
PP
CO
FI
.
HR
MM
SD
FI
MM
PP
CO
FI
CO
PP
MM
FI
CO
SAP Reference IMG Enterprise IMG
Project IMG
Project 001
Project 002
Project 002
Additional needs,
e.g. upgrade
Customizing Objects
As a rule, you will have more than one SAP system.
Development system
Changes made in the development system are
transported to the test system, then to the
production system.
Test system Production system
Development system
1 2
1 2 3
1 2 3 4
1
1 2
Sales organization
Sales documents
Implementation guide
Test system
2
3
4
1
2
Sales organization
Sales documents
Versions
Transport
Request
Workbench
organizer
Customizing - How to Proceed
1. Define the organizational structures in the
IMG and name the individual organizational
elements.
2. Assign the organizational elements.
Define the organizational elements
Assign the organizational elements
Topics
The Implementation Guide
Sales Orders and the Customer Master
Customizing the Material Master
Configuring the Billing Process
How Master Data is Integrated in
SD Processing
Master Data
Customers
Materials
Bills of Materials
Customer-Material Info
Product Proposals
FI
PS
PM
CC
MM
PP
FI
MM
CO
FI
Sales support
Data
Warehouse
Sales
Materials Mgmt.
Production Planning
Plant Maintenance
Controlling
Financial Accounting
Project System
Materials Mgmt.
Financial Accounting
Financial Accounting
Controlling
Origins of Data in Sales Documents
When you create a sales order, the system
proposes most of the data from the master
records.
Sales order
Customer master data
Material master data
. . . . .
Conditions
Texts
Control tables
Business Partners (Partner
Functions)
Partners - someone you have a relationship
with or have to communicate with.
Functions - each partner type has specific
functions.
Sold-to party
Ship-to party
Bill-to party
Payer
Contact person
Forwarding agent
Employee
. . . . . . . .
Partner
Functions
Business Partners - Customer
Master
Essential business partners for a sales
transaction are the sold-to party, ship-to
party, payer and bill-to party.
They are stored in the customer master.

Sold-to party Ship-to party
Bill-to party Payer
Customer
master
Customer Master - 3 Major Data
Views
Sales data - data specific to sales, e.g. sales,
distribution, shipping.
Company Code data - financial accounting
data.
General data - data assigned directly to a
client so its available to the other two
areas.
General data
Sales data Company code data
FI SD
Customer Master - Account Groups
Account Group codes define what
information will be needed; what fields will
be required.
A payer only needs address information, etc,
while a sold-to party needs an address plus
delivery address, etc.

Customer : C1
Sales organization : 0001
Distribution channel : 01
Division : 01
Account group : 0001
Create sold-to party
Field selection
Number assignment
One-line account: Yes/No
Output proposal
ACCOUNT GROUP 0001
ACCOUNT GROUP
0001 Sold-to party
0002 Ship-to party
0003 Payer
0004 Bill-to party
. . .
0001
Customer Master - Selecting Fields for Data
Groups
Using field selection, you can define for
each account group whether fields are
optional or required.
You can suppress any fields which you do
not require.
Data in the customer master record
Address
Communication
Control data
Payment transactions
Sales
Shipping
Billing
Partner usage
Output
IMG for Sales
General data
Company code data
Sales data
Hide Required Optional Display
Sales group
Statistics group
Customer group
Pricing procedure
Product proposal
. . . .
Customer Master - Selecting Fields for Data
Groups
Account groups are already set up in the R/3
system
Sold-to party
Specific fields are selected for each of these
account groups
The selection of fields depends on the
functionality of the partner function needed.
Bill-to party Payer Ship-to party
Account group
0001
Sold-to party
Sales
Shipping
Billing
Partner usage
Documents
Account group
0002
Ship-to party
Sales
1

Shipping
Billing
2

- - - - -
Documents
Account group
0003
Payer
Sales
1

- - - - -
Billing
- - - - -
Documents
Account group
0004
Bill-to party
Sales
1

- - - - -
- - - - -
- - - - -
Documents
1. Controlling for authorization 2. Tax information
Customer Master - Combination Rules in
Field
The combination rule with the highest
priority determines the respective field
status.
Suppress
Display
Required
Optional
Suppress
Suppress
Suppress
Suppress
Suppress
Display
Suppress
Display
Display
Display
Required
Suppress
Display
Required
Required
Optional
Suppress
Display
Required
Optional
1st priority
2nd priority
3rd priority
4th priority
Transaction fields marked as:
A
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c
o
u
n
t

g
r
o
u
p

m
a
r
k
e
d

a
s
:

Customer Hierarchies
Create hierarchies to reflect the structure of the
customer organization.
Use customer hierarchies
during sales order processing
and billing for determining
pricing.
ACME Co
Central
4711
ACME Co
South
4712
ACME Co
North
4713
ACME Co
Northwest
4714
ACME Co
Northeast
4715
Customer
2743
Customer
2744
Customer
2742
Unique
node number
Topics
The Implementation Guide
Sales Orders and the Customer Master
Customizing the Material Master
Configuring the Billing Process
Materials - Material Types
The material type is part of the general data on
a material.
The departments responsible for a material type
determine which views must be maintained for
a specific material.
Material
A
Matl. type
Description
Department
Internal/External POs
Account
assignment
Quantity/Value update
Price control
Variance for each plant
Selecting Fields for Materials - Influencing Factors
An individual control table is available for each
influencing factor shown here and
corresponds to a group of fields in the
material master.
Transaction
Procurement
indicator
Material type
Plant
Industry sector
SAP
components
Field selection
Sales &
Distribution
Materials
Mgmt.
Production
Planning
Financial
Accounting
Controlling
Fixed Assets
Mgmt.
Quality
Mgmt.
Plant
Maintenance
Human
Resources
Workflow
Industry
Solutions
R/3
Client / Server
ABAP/4 Project
System
?
..




Materials - Material Status
You can define different kinds of material
status and for each status, how the system
will react when an item is created in a sales
document.
Material Status
Discontinued part

Technical defect
.
.
.
Quotation Standard Order
Error Warning

Error Error
Product Hierarchies
Product hierarchies are used for pricing and
analysis.
In the Standard SAP setup, they can be
defined with up to 18 characters and three
levels.
1
2
3
Level
0000100001
Electrical appliances
0000100002
Compressors
00001
Tools
000010000100000001
Electric screwdrivers
000010000100000002
Electric drills
000010000200000001
Electric drills
000010000200000002
Electric drills
Customer-Material Information
You can define customer-specific data for a
material in a customer-material information
record. This may incl:
cust.-specific matl. #
cust.-specific matl. description etc.
Sales organization : 1000
Distribution channel : 01
Customer : C1

Material Description
M1 Computer AG
M2 Computer UG
. .
. .
Customer-specific data
Material Description
M234 Computer 550C
M598 Computer 1650B
. .
. .
Customer-Material Information
Customer Matl Description Qty
M234 Computer 550C 10
M598 Computer 1650B 3
Sales order
Sold-to Party: C1
Proposing Items Using Product
Proposal
Material combinations which you use
frequently can be stored in product
proposals.
Product proposal : 5000002
Validity period : 01/01-12/31
Search term : SD product proposals

Item Material Qty.
10 M1 40
20 M2 50
30 M3 30

Sold-to party: C1


Item Material Qty.
10 M1 40
20 M2 50
30 M3 30
Sales Order
Material or
material + quantities
Bill of Materials - An Example
By making the appropriate settings in
Customizing, you can copy the components
in the bill of material to a sales order as one
item.
Mouse Monitor CPU Keyboard
Computer
Screen Casing
Bill of Material - Bill of Material
Categories
The bill of material category serves as a link
to different objects.
You can create bills of material only for
objects existing in the material master.
Material BOM
Equipment BOM
Document BOM
Material
master record
Material
A
Equipment
master record
Document
master record
Sales order
Bill of Material - Where They Are
Used
Item status controls how BOM items are
processed in related application areas:
Production (operations)
Construction (technical data)
Pricing
Sales & distribution (order quantity)
Plant maintenance (maintenance information)
Topics
The Implementation Guide
Sales Orders and the Customer Master
Customizing the Material Master
Configuring the Billing Process
Billing Types
The billing type controls the entire billing
document.
Billing types are dictated by the type of the
reference document.
Invoice
Cash sale
Credit/debit memo
Returns
Inter-company billing
Cancellations
Invoice list
Pro forma invoice
Billing
Types
The Billing Process
Each billing document requires a reference
document.
Inquiry
Type: IN
Standard
Order
Type: OR
Header
Item: TAN
Schd. line
Returns
Type: RE
Header
Item: REN
Cash Sales
Type: BV
Credit
Type: CR
Quotation
Type: QT
Type: LF
Header
Item: TAN

Type: F2
Header

Schd. line
Type: LR Type: RE
Type: LR
Type: RE
Order Document Types Delivery Doc. Billing Documents
Immediate
Billing Documents
You can reference either an order or a
delivery document when creating an
invoice.
This is configured in the IMG by the item
category.
Std. Order Delivery Invoice
Std. Order Delivery Invoice
or
Credit / Debit Memos
However, with credit / debit memos, you
can only reference the credit / debit
requests (sales documents).
Credit request Credit memo
Debit request Debit memo
Order Delivery Invoice
or
Returns
Credit memos are created with reference to
the returns (sales documents) and NOT to
the returns delivery.
Credit request Credit memo
Sales Order Delivery Invoice
or
Returns
delivery
Data Flow
You can influence the data flow from
reference documents to billing documents
by:
Billing types
Copying control for header
Copying control for items
Order Delivery Invoice
For example
- payer
- item number
- prices
- texts
For example
- ship-to party
- quantity
- texts
Doc. flow
Data flow
Copy Control
As just mentioned, how data is transferred
in the billing process can be influenced by
the copy control data.
Header F2 LF




Item F2 LF TAN
Target Source
Billing Delivery
type type




Target Source Source
Billing Delivery Item
type type category
Billing Quantities
Delivery and order quantities are
referenced in billing.
You can create a billing document with
reference to an order for quantities already
delivered.
Billing Billing Quantity

With reference to an order Delivery quantity minus quantity
already invoiced
With reference to a sales document Order quantity minus quantity
(e.g., credit memo) already invoiced
With reference to a delivery Delivery quantity minus quantity
(e.g., billing doc. Types F1 and F2) already invoiced
Pro forma invoice F5 Order quantity
Pro forma invoice F8 Delivery quantity
Pricing in Billing Documents
You can specify a pricing type for each billing
document type and item category.
Invoice A
M1 10 pc
10 x 9.50
Manual discount
Invoice B
M1 10 pc
10 x 10.50
Discount 2 %
Invoice C
M1 10 pc
10 x 10.50
Discount 2 % & manual
Invoice D
M1 10 pc
10 x 9.00
Manual discount
Discount
from 50.00 1 % -
100.00 2 % -

Price: Material M1
from 1.pc 10.00
10.pc 9.50
20.pc 9.00
Price: Material M1
from 1.pc 11.00
10.pc 10.50
20.pc 10.00
Order
M1 20 pc
20 x 9.00
Manual discount
Delivery
M1 10 pc
January March
Pricing type:
A Price components are copied and updated (scale
redetermined).
B Pricing is carried out again.
C Manual price components are copied, pricing carried out
for all other components.
D Price components are copied as is from the reference
document.
Key Points (1)
The Implementation Guide (IMG) enables
the project team to match the business
requirements with the SAP standard
software and customize the transactions to
the needs of the organization.
You can minimize the time an effort needed
to create sales documents by thoroughly
maintaining the customer master and
defining all types of business partners.
The account group allows you to select data
fields for maintaining the master data.
By classifying materials by material types,
Key Points (2)
When maintaining material master records,
you can specify (in the IMG) which fields
are to appear, to be required or optional, or
are to be blocked.
You can store customer-specific information
on individual materials (e.g. customer
material numbers and descriptions) in
customer-material information records.
This enables you to create orders using
material numbers specified by the ordering
party.
When you frequently sell combination of
Key Points (3)
Billing documents always reference a
previous document.
Reference documents will dictate the billing
document type.
The flow of data is controlled:
by the programs
by billing types
by copying control tables
You can determine copying control at:
the header level
the item level