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    01 - 01 - SAP MM Organization Structure 29082015

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    Sambit Mohanty
    The document discusses the organizational structure in SAP MM (Materials Management). It describes the key elements as Company Code, Plant, Storage Location, Purchase Organization, and Purchase Group. It provides examples of how Tata Consultancy Services is organized with one company code, multiple plants, storage locations, and purchase organizations set up in centralized, decentralized, and hybrid reference models. The purchase group represents individual buyers while the purchase organization represents the department responsible for procurement activities.

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    01 - 01 - SAP MM Organization Structure 29082015

    Uploaded by

    Sambit Mohanty
    126 views2 pages
    The document discusses the organizational structure in SAP MM (Materials Management). It describes the key elements as Company Code, Plant, Storage Location, Purchase Organization, and Purchase Group. It provides examples of how Tata Consultancy Services is organized with one company code, multiple plants, storage locations, and purchase organizations set up in centralized, decentralized, and hybrid reference models. The purchase group represents individual buyers while the purchase organization represents the department responsible for procurement activities.

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    01_01_SAP MM Organization Structure 29082015

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    The document discusses the organizational structure in SAP MM (Materials Management). It describes the key elements as Company Code, Plant, Storage Location, Purchase Organization, and Purchase Group. It provides examples of how Tata Consultancy Services is organized with one company code, multiple plants, storage locations, and purchase organizations set up in centralized, decentralized, and hybrid reference models. The purchase group represents individual buyers while the purchase organization represents the department responsible for procurement activities.

    Copyright:

    © All Rights Reserved
    Download as TXT, PDF, TXT or read online from Scribd
    Download as txt, pdf, or txt
    126 views2 pages

    01 - 01 - SAP MM Organization Structure 29082015

    Uploaded by

    Sambit Mohanty
    The document discusses the organizational structure in SAP MM (Materials Management). It describes the key elements as Company Code, Plant, Storage Location, Purchase Organization, and Purchase Group. It provides examples of how Tata Consultancy Services is organized with one company code, multiple plants, storage locations, and purchase organizations set up in centralized, decentralized, and hybrid reference models. The purchase group represents individual buyers while the purchase organization represents the department responsible for procurement activities.

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    © All Rights Reserved
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    SAP MM Organization Structure/Enterprise Structure

    Company Code - Where profit and loss accounts and legal things carry out.

    SAP MM Organizational Elements:

    1. Plant - Where the operations like manufacturing/business etc happens


    2. Storage Location - Where the material is stored
    2. Purchase Organization
    3. Purchase Group

    TATA CONSULTANCY SERVICES - Company Code- 1000


    Plant -1 - TCS Mumbai - Head Office - 1001
    Storage Location 1 - Electrical Items - SL01
    Storage Location 2 - Civil Items - SL02
    Storage Location 3 - Stationary -SL03
    Plant- 2- TCS Mumbai - Operations - 1002
    Plant - 3- TCS Bangalore - 1003
    Plant - 4- TCS Hyderabad- 1004

    Purchase Organization: The organization or department which is responsible for


    Procurement Activities.

    Central Purchasing System:

    TATA CONSULTANCY SERVICES - Company Code- 1000 ------------------ TCS Purchase


    Organization - 1000
    Plant -1 - TCS Mumbai - Head Office - 1001 ------------------ TCS
    Purchase Organization - 1000
    Plant- 2- TCS Mumbai - Operations - 1002------------------ TCS Purchase
    Organization - 1000
    Plant - 3- TCS Bangalore - 1003------------------ TCS Purchase
    Organization - 1000
    Plant - 4- TCS Hyderabad- 1004------------------ TCS Purchase Organization
    - 1000

    De Central Purchasing System:

    TATA CONSULTANCY SERVICES - Company Code- 1000


    Plant -1 - TCS Mumbai - Head Office - 1001 ------------------ TCS
    Purchase Organization 1 - 1001
    Plant- 2- TCS Mumbai - Operations - 1002------------------ TCS Purchase
    Organization 2 - 1002
    Plant - 3- TCS Bangalore - 1003------------------ TCS Purchase
    Organization 3 - 1003
    Plant - 4- TCS Hyderabad- 1004------------------ TCS Purchase Organization
    4 - 1004

    Reference Purchase Organization Concept: (Hybrid- Central + De central)

    TATA CONSULTANCY SERVICES - Company Code- 1000 - Reference Puchase Organization -


    2000
    Plant -1 - TCS Mumbai - Head Office - 1001 ------------------ TCS
    Purchase Organization 1 - 1001 - Reference Puchase Organization - 2000
    Plant- 2- TCS Mumbai - Operations - 1002------------------ TCS Purchase
    Organization 1 - 1002 - Reference Puchase Organization - 2000
    Plant - 3- TCS Bangalore - 1003------------------ TCS Purchase Organization
    1 - 1003 - Reference Puchase Organization - 2000
    Plant - 4- TCS Hyderabad- 1004------------------ TCS Purchase Organization 1
    - 1004 - Reference Puchase Organization - 2000

    Reference PO acts as a Central Purchase system. All contracts with Foreign vendors,
    vendors who supply materials to each plant etc.
    Local Purchase Organization acts as De central. This deals with all local
    procurement.

    Purchase Group: The buyer. The department or a person who is responsible for the
    procurement of certain materials or services.

    Note:

    Purchase group is an organizational element which wont be assigned to any other


    organizational element in the configuration
    One Company Code can have many Plants but one Plant can have only one Company Code
    One Company Code can be assigned to only one Purchase Organization. 1 to 1
    But many purchase organizations can be assigned to one Plant. 1 to Many

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