Sap Purchasing/sales

SAP Purchasing/Sales

Part II /3 Integration Model

 SAP AG

ASSIGNMENTS

FI

SD

Financial Financial Accounting Accounting

Sales Sales & & Distribution Distribution

MM

PP

CO

Materials Mgmt

Controlling Controlling

QM

Quality Quality Mgmt Mgmt

AA

R/3

Production Planning Planning

PM

Plant Plant Maintenance

Asset Asset Accounting

Client /Server ABAP

HR

Human Resources

PS

Project Project System System

WF

Workflow Workflow

IS

Industry Solutions

R

Arno van Lumig Mirjam van Kuijk September 2009

Author:

Farnas Gahanbas Martin König Isabelle Schiffer

Student number:

2086095 2100908 2099880

Class:

FIE4B

Learning Arrangement:

Enterprise Resource Planning ERP

ALA5 Tutor: Institute:

Arno Van Lumig Fontys, University of Applied Science

Study course: Management Studies

International Business and

Study phase:

Main Phase

Academic year:

2009/2010

Place and Date:

Venlo, 11th December 2009

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1

Table of contents

1 Table of contents.........................................................................................................................1 2 Introduction.................................................................................................................................3 3 General remarks..........................................................................................................................4 4 Organizational structure..............................................................................................................5 5 Master data purchasing process..................................................................................................6 5.1 Introduction..........................................................................................................................6 5.2 Material master data.............................................................................................................6 5.3 Vendor master data.............................................................................................................11 5.4 Pricing master data.............................................................................................................16 5.5 Default settings...................................................................................................................18 5.6 Bank account posting.........................................................................................................19 6 Process description purchasing.................................................................................................21 6.1 Introduction........................................................................................................................21 6.2 Basic purchasing process....................................................................................................21 6.3 Alternative purchasing process..........................................................................................21 7 Executing purchasing process in SAP......................................................................................26 7.1 Introduction........................................................................................................................26 7.2 Availability and stock quantity checking...........................................................................26 7.3 Creating purchase requisition.............................................................................................28 7.4 Selecting potential vendors ...............................................................................................29 The reason that there is no information available for the new material is that the company does not yet have any vendor for the new material but has to inquire this from potential vendors.....................................................................................................................................29 7.5 7.5 Creating RFQ...............................................................................................................30 7.6 Maintain quotation.............................................................................................................33 .................................................................................................................................................33 7.6 Creating info record............................................................................................................34 7.7 Assigning source of supply................................................................................................35 7.8 Creating purchase order......................................................................................................36 7.9 Creating confirmation.........................................................................................................41 7.10 Creating shipping notification..........................................................................................41 7.11 Creating goods receipt......................................................................................................43 7.12 Recording inspection result..............................................................................................49 The screenshots above shows the result of the inspections of the new material. The results differ from the results of the old material as the data which was entered in SAP differed, too. Values such as Minimun, Maximum, mean value and standard deviation influenced the results differently......................................................................................................................50 7.13 7.14 Creating usage decision............................................................................................51 7.15 Creating invoice..............................................................................................................53 7.16 Releasing invoice............................................................................................................58 7.18 Summary of the postings.................................................................................................61 7.19 Creating shipping notification remaining new materials................................................62 7.14 Creating goods receipt .....................................................................................................64 7.15 Recording inspection result..............................................................................................69 7.16 Creating usage decision....................................................................................................70 7.17 Creating invoice...............................................................................................................71 7.18 Releasing invoice............................................................................................................74 7.19 Creating outgoing payment..............................................................................................74 1

8 Master data sales process..........................................................................................................77 8.1 Customer master data.........................................................................................................77 8.2 Master data new customer..................................................................................................79 8.3 Extending distribution channel material.............................................................................80 8.4 Pricing master data.............................................................................................................82 9 Process description sales and distribution................................................................................84 9.1 Introduction........................................................................................................................84 9.2 Basic sales process.............................................................................................................84 9.3 Alternative sales process....................................................................................................84 10 Executing sales and distribution process in SAP....................................................................90 10.1 Introduction......................................................................................................................90 10.2 Creating inquiry ...............................................................................................................90 10.3 Analysis results.................................................................................................................92 10.4 Creating quotation............................................................................................................94 10.5 Redistribution available quantities...................................................................................96 10.6 Creating order.................................................................................................................101 10.7 Creating outbound delivery............................................................................................105 10.8 Creating picking.............................................................................................................108 10.10 Creating invoice/bill.....................................................................................................114 10.9 Creating stock transfer order..........................................................................................120 10.12 Creating outbound delivery plant Maastricht..............................................................124 10.13 Creating picking plant Maastricht................................................................................127 10.10 Creating goods issue plant Maastricht..........................................................................128 10.11 Creating goods receipt plant Amsterdam.....................................................................132 10.12 Adapting sales order quantities...................................................................................134 10.13 Creating outbound delivery..........................................................................................135 10.14 Creating picking...........................................................................................................137 10.15 Creating goods issue.....................................................................................................139 10.16 Creating invoice/bill.....................................................................................................142 10.17 Creating incoming payment.........................................................................................148 The screenshot above shows the final balance sheet after the incoming payments of the both customer. Actually the abnk account should be increased by the amount, which is still in the customers receivable account. By reason that this has not been cleared the total amount from the existing customer has not yet been paid by him...............................................................153 All other accounts which have been affected through the incoming payment are also displayed and in comparison to the former financial statement bear changes. The output tax and the customer discount should also be different, as those two accounts would also be affected by the incoming payment of the existing customer..................................................153 10.18 10.22 Summary of the postings....................................................................................154

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2

Introduction

Below the SAP exercises of this course will be given. These exercises have to be dealt with completely. A mark will be assigned only in case the complete processes have been executed. The SAP-exercises will be carried out for the wholesaler Pulles. Pulles cooperates closely with the vendor/supplier: van Lierop. Van Lierop is a well-known player on the market for electronic equipment and Pulles is one of the major customers. Despite this close cooperation the quality control has not been shifted to van Lierop. The quality control remains the responsibility of Pulles. The quality control is performed at the goods receipt. Pulles has organised a quality management system in the plant in Maastricht. The plant in Amsterdam is lacking this facility. The customer: Luiten is a major customer of Pulles. In addition to these existing trading partners, additional trading partners will be created by you. Following the assignments, the criteria, which apply for the determination of the mark, are given. Next the logon procedure, to logon to the SAP system, is given. The sign in codes will be handed out at the beginning of the learning arrangement. Finally a number of default settings and other useful hints are given. For a global time scedule see the course manual.

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3

General remarks

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4

Organizational structure

The following table shows the logon on data of Pulles company 41

Logon data Client number User name Password

Value 910 FON041 FON041

The table below shows the organizational structure of the company with all departments included.

Organisational unit/part Company code Sales department Sales office Sales group Purchasing department Purchasing group Plant Country plant Language plant Storage location Distribution channel Division

Value CC41 SO41 DS41 D41 PO41 M41 PM41 NL NL SM41 01 01

IS41 I41 A41 PA41 NL NL SA41 02 02

03

Additional distribution channel: For exports to countries beyond the Netherland, the company could assign agents to create a distribution network within a foreign country. An agent serves as link between wholersaler and the customers. Additional division: An additional division which would fit into a wholesale company would be HiFi equipment. This refers mainly to smaller electronics such as DVD players, speakers, TV sets and accessoires.

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5

Master data purchasing process 5.1 Introduction 5.2 Material master data 5.2.1

Introduction

The table below shows several departments of the company and additional data fields that these department includes as information in the SAP system.

Organisational level/department Basic Sales Plant Purchasing Quality management Accounting

Additional data field Product allocation Cross distribution chain material status Hazardous material number Order Unit Catalog profile Price determination

In the following the additional data fields are explained: Product Allocation: The procedure of product allocation determines how a product allocation is carried out. An info structure is assigned which influences the criteria used when product allocations are stored in the planning hierarchy. There is also the possibility of assigning several objects to the product allocation. Each object then has its own validity period. The corresponding planning hierarchy contains the product allocation which is determined for each object. Cross distribution chain material status: For all distribution chains the cross distribution chain material statues indicates whether the material my be used in individual functions in Sales and Distribution. Through this status the usability of the materials is restricted for the distribution chains. Hazardous material number: The hazardous material number indicates whether the material is hazardous or dangerous. This number assigns hazardous material or dangerous goods data to the specific material. Order Unit: This field indicates the unit of measure in which the material is ordered. It differs from the base of unit measure. Catalog Profile: Is a key of the report schema which is the basis for the message. It is used in plant maintenance and customer service. Price determination: This data field provides information about how the price is determined. Two options how to determine it are given. Either the activity-based determination which calculates the moving average price. Or the single-/multi level price which calculates the periodic unit price.

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Additional department relevant in the material master record: Theoretically, there is a possibility to found a customer service and repair department, assuming that there is none until now. This department would handle customer complaints and goods for repair. Additional material type: An additional material would be raw material which is needed for the company to produce finished goods. 5.2.2

Material list

The screenshot above shows a part of the material list provided through material master data. The material Standard Lightning Purchase/Sales are shown for the two production plants in Amsterdam PA41 and Maastricht PM 41. 42 indicates the material number for the Standard Lightning Purchasing/Sales. (Name will be changed later into: Standard Lighting Purchasing/Sales)

5.2.3

Master data existing material

5.2.3.1

Introduction

5.2.3.2

Changing material master data existing material

The following table shows the material master data of the existing material, which can be recognized through the material number 42.

Organisational level Data field Basic Material (number) Base Unit of Measure Material group Division GenItemCatGroup Gross weight Net weight Weight Unit Language Material description Language Material description Language Material description Sales department Base Unit of measure Delivering plant Country (code) Tax category (code) Tax classification (code)

Value 42 ST 01 03 NORM 4 3 KG EN Standard Lighting Purchasing/Sales DE Standard Lampe Einkauf/Verkauf NL Standaard lamp inkoop/verkoop ST PM41 NL NL MWST MWST 1 1 7

Net price condition (PR00) Plant

Base Unit of measure Availability check Loading group Purchasing Purchasing group department Tax indication f. material GR processing time Quality management QM proc. active dep. QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting Currency department Current period Valuation Class Price control Price unit Standard price

Scale quantity 1 PM41 ST 02 0001 M41 1 100 Y 0007 Y 01 10 Y Y Y Y Y EUR 09 2009 3100 S 1 65,00

Amount 200 PA41 ST 02 0001 A41 1 100 0000 N

3100 1 60,00

Description of the data fields (the F1 function was not possible at this time): Base Unit of Measure: is the base for the stock in which the materials are managed. Quantities which are entered into the system are converted into the base of unit of measure. It is also possible to define alternative units of measure and the corresponding conversion factor. Delivery Plant: Indicates from which plant the material will be delivered to the customer. This plant is automatically copied into the sales order as a default value. Scale Quantity: The scale quantity might be for example the number of pieces to which a scale refes. Net Price Condition: Depending on the document the net price can be determined by 3 different tables. These tables stand for the net price conditions. Tax Indication for material: The tax indication for material is used to determine the tax code for the purchasing process. Within the process of price determination this indicator helps to facilitate this process. Goods receipt processing time: This data fields indicates how many workdays are required for the inspection and placement into storage of the material after receiving it. Inspection Setup: Within SAP this indicator is set when an inspection setup for the material and plant exists. If this setup is activated, also a control key has to be stored.

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Quality Management control key: As mentioned before for the inspection setup a control key has to be stored. Through this key the conditions which are valid for the quality management are determined. Standard Price: This data field indicates that the evaluation of the material stocks at this standard price means that the goods movements are valuated at the same price throughout an extended period. 5.2.3.3

Quality control master data existing material

The following table shows the quality control data for the existing material. Material number 42

Plant PM41

5.2.4 5.2.4.1

Master inspection characteristic (number) 1000000

Short text inspection characteristic Maximun tolerable current Quantitative data Measurement unit A Lower plausible limit 8 Upper plausible limit 12 Target value 10

(Inspection) Method MAXCUR

Short text Measuring maximum tolerable current

Material master data new material Introduction

Pulles is interested in extending its lighting product range. Lighting materials range from basic lighting equipment to very expensive lighting systems. Therefore, a new material has to be created. The master data for this material is shown in the table below and will be entered into the SAP system.

Organisational level Basic

Sales department

Purchasing department Accounting department 5.2.4.2

Data field Base unit of measure Gross weight Net weight Weight unit Description (English) Description (Dutch) Delivering plant Net price condition (Sales price)

Purchasing group Goods receipt processing time Price unit Standard price

Value ST 13 12 KG Solar Panel Solair plaatje PM41 Scale quantity 1 10 PM41 M41 100 1 600

Amount 800 650 PA41 A41 100 1 500

Creating master data new material

The advantage of an external number assignment is, that the number means something for the user of the system, as the user is able to assign this number on his/her own. A disadvantage would be that chosen terms might already been used by other records. If an internal number 9

assignment is used this problem is not likely to occur, since the system itself will choose and set the numbers. An advantage of the creation of a master record centrally is, that it is easier to restrict the system. One central department can create these records, which is positive as this department has the full overview of the master records. A disadvantage would be, that the workload of this single department is pretty high and the communication level at the company must be very advanced to avoid communication errors. The creation of master records decentrally would mean less burocracy. Nevertheless the usage by several users might be confusing and end up in faults of records. The table below shows the total master data of the new material, indicates through the material number 772.

Organisational level Basic

Sales department

Data field Material (number) Base Unit of Measure Material group Division GenItemCatGroup Gross weight Net weight Weight Unit Language Description Language Description Base Unit of measure Delivering plant

Country (code) Tax category (code) Tax classification (code) Net price condition PR00 (sales price)

Plant

Base Unit of measure Availability check Loading group Purchasing department Purchasing group Tax indication f. material GR processing time Quality management QM proc. active department QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting department Currency Current period Valuation Class Price control Price unit Standard price

Value 772 ST 01 03 NORM 13 12 KG NL Solair plaatje 130W EN Solar panel 130 W ST PM41 NL Netherlands MWST Output Tax 1 Full tax Scale quantity Amount 1 800 10 650 PM41 PA41 ST ST 02 02 0001 0001 M41 A41 1 1 100 100 Yes 0007 0000 Yes No 01 10 Yes Yes Yes Yes Yes EUR 09 2009 3100 S 1 600

3100 1 500

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5.2.4.3 5.2.4.3.1

Quality control master data new material Introduction

The table shows the quality control master data for the new material.

Material number

Plant

772

PM41

5.2.4.3.2

Master inspection characteristic (number) 1000004

Short text inspection characteristic Inspection of solar item Quantitative data Measurement unit mV Lower plausible limit 10 Upper plausible limit 20 Target value 15

Inspection method (code)

Short text

ISI

Inspection of solar item

Creating quality control master data new material

The screenshot abve shows the material inspection characteristics, which have been set for the new material before.

The screenshot above shows that the material specifications for the new material have been set. The inspection method, which is indicated through the short text is displayed as well as the plant PM, where the quality management takes place.

5.3 Vendor master data 5.3.1

Introduction

The following table shows organizational levels of the company and additional data fields, which could be important.

Organisational level/Department Address Accounting Purchasing

Additional data field Region Withholding Tax Code Salesperson 11

Additional data fields: The data field Region is a possible addition to the vendor master data displayed under addresses. It allows to appoint specific geographic regions (e.g. Limburg in the Netherlands) to a selected vendor and refers specificly to general adress data. Under Withholding tax code a default per business partner can be defined. Since tax information is of explicit interest for the finance department it is integrated under accounting. As additional information for purchasing the Salesperson datafield highlights a specific contactperson for dealings with this specific vendor. Only the purchasing department is in need of this specific information. 5.3.2

Vendor list

The screenshot above shows the vendor list, with the different vendors of the company Pulles. The vendor number, which is important for any entries in the SAP system is mentioned (34) as well as the address of the vendor.

5.3.3

Master data existing vendor

5.3.3.1

Introduction

5.3.3.2

Changing vendor master data

The table below shows tha master data of the existing vendor, which has to be adjusted in the system.

Organisational level Address

Data field Vendor (number) Title Name Search term 1/2

Value 34 Company Van Lierop LIE

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Accounting department Purchasing department

Street/House number Postal code City Country Language Reconciliat. account Payment terms Tolerance group Order currency Terms of Payment Incoterms Schema group, vendor Pricing date control Purchasing group Ordering address Vendor Invoicing Party

Hoeksestraat 12 1234 ER Cranendonk NL Dutch 160000 0002 PULL EUR 0002 EXW ExWorks 03 1  Has to be removed 34 34 34

The screenshot above shows the changed master data of the vendor. As already indicated above, the purchasing group of the vendor has to be removed, which is displayed in the screenshot.

Description of data fields: Country: Language:

Identifies the geographic location of a vendor in code (e.g. NL) and text (e.g. Netherlands). Shows the native language of the vendor in order to simplify 13

communication. Account on which movements of sub ledgers, e.g. debtors, creditors and investments are notified. Appoints terms of payment for transactions with vendors according to agreement. Incoterms are globally accepted regulations for the international movement of goods. By using this field the purchaser is able to appoint procurement contracts and sellers' duties (e.g.Ex Works). Determines the pricing procedure, which is used in purchasing documents of a specific vendor. This schema is appointed by reference to a certain schema group. Consequentaly the conditions can differ between different documents. By utilizing this data purchasing activities of a purchasing group can be analysed. An overview of receipts, receipt positions and their allocation can be realized.

Reconciliation account: Terms of payment: Incoterms: Schema group vendor:

Purchasing group:

5.3.4 5.3.4.1

Master data new vendor Introduction

The table below shows the master data of the new vendor, which will be entered in the SAP system.

Organisational level Address

Accounting department Purchasing department

Data field Title Name Search term Street/House number Postal code City Country Language Payment terms Terms of Payment Purchasing group

Value Company Konig KON Parkstraat 13 2500 AA Den Haag NL (Netherlands) Dutch 0002 0002 Has to remain empty

Advantages and disadvantages of the creation of a new vendor: Advantages of creating new vendor using a reference vendor: • ideally abridges the creation process by carrying over default values from the system • counteracts errors made in haste in particular in regard to standard data • streamlines the data input when dealing with vendors with similar backgrounds Disadvantages of creating new vendor using a reference vendor: • abets wrong inputs and by doing so requires prudence • user can continue to spread previously wrong data to new vendor master data • can lead to longer input times 5.3.4.2

Creating master data new vendor

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As a reason of the process above a new vendor Konig does exist now. The vendor number 145, which is important for any entries in the SAP system is shown, as well as the address of the vendor. The following table shows the master data of the new vendor, which has now been entered in the system.

Organisational level Address

Accounting department Purchasing department

Data field Vendor (number) Title Name Search term 1/2 Street/House number Postal code City Country Language Reconciliat. account Payment terms Tolerance group Order currency Terms of Payment Incoterms Schema group, vendor Pricing date control Purchasing group Ordering address Vendor Invoicing Party

Value 145 Company Konig KON Parkstraat 13 2500 AA Den Haag NL Dutch 160000 0002 PULL EUR 0002 EXW ExWorks 03 1 Has to remain empty 145 145 145

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5.4 Pricing master data 5.4.1

Price element net purchase price: P000

The table below is important for the net price conditions, which will be entered in the SAP system. Vendor Vendor Material Description Plant Valid from ConditionName Amount (number) name (number) type 34 Van 42 Standard PM41 13.08.2005 P000 Net 65 Lierop Lighting price 60 PA41 13.08.2005 Purchasing/Sales

The screenshot above shows the net price conditions of the existing material. The vendor for this material is Van Lierop as indicated through the vendor number at the top of the screenshot. The material number indicates that this screenshot refers to the existing material number 42.

This screenshot as well shows the net price conditions for the existing material for the vendor Van Lierop. Both indicated through the referring numbers. The difference to the first screenshot is the amount of 60,00 in the lower part of the screenshot. The price difference is due to different plants, which the screenhots refer to.

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5.4.2

Price element freight costs: ZFRA

The screenshot above shows that there are not freight conditions for the plant in Amsterdam yet. Since the procedure did not result in a value for the freight costs, the freight costs for both plants (PM41 and PA41) had to be created first. This was handled through application of the “create” function. The screenshot documents the first step of the creation process.

In a second step the existing vendor (34) was entered into the system. As a result of the process above the freight conditions had been entered in the system. The vendor number 34 as well as the description show that this screenshot refers to the vendor Van Lierop. No amount has been set yet for a quantity of 1KG.

Finally a specific amount was entered on basis of the given information (2,00 EUR/1 KG). Incoterms are special trade terms, which are given rules that traders have to follow. These are referred to for this vendor.

The freight costs for both plants (PM41 and PA41) can now be displayed under the overview. In this case the screenshot only shows the freight conditions for Plant PA41, still the conditions for both plants are equal.

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The table below indicates the freight costs for both plants for the existing vendor.

Purch. organization PO41 5.4.3

Plant

Valid on

Inco terms PM41 11.09.2009 EXW PA41 11.09.2009

Vendor Amount Unit of measurement 34

2,00 2,00

KG KG

Price element input tax: MWST

This table shows the data for the tax information.

Input tax MWST

Destination country NL

Tax ind. for. Mat. 1

Tax code V2

Valid on 11.09.200 9

Amount 19,000

Unit %

5.5 Default settings 5.5.1

Introduction

In the screenshot above there are the different parameters for the default settings in SAP are shown. The purchase group setting are set to A41 in this case, as the screenshot shows.

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5.6 Bank account posting 5.6.1

Introduction

In order to be able to execute its primary processes, Pulles should have a positive bank account. For that reason, a business plan is discussed with the account manager of the bank and a loan is granted to Pulles at an amount of 100.000 Euro. 5.6.2

Posting on the bank account

The screenshot above shows that the company Pulles raise a loan of the amount of 100.000 Euro. The account affected by this process is the loan account 46020, which is indicated through the account number at the top of this screenshot. Furthermore, it is indicated that the loan is due after one year resulting in a deduction of this amount from the loan account.

5.6.3

Posting document

As a reason of the raise of a loan in the step before the account of the loan 46020 is affected negatively. Whereas the bank account is raised at the amount of 100.000. This is the exact amount that the loan shows. The amount of 100.000 Euro is now available for the company to operate with.

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5.6.4

Balance sheet

The screenshot above shows the Balance Sheet of the company CC41. It normally should show all accounts that the company has an activa and passiva. Due to format errors this is actually not possible. As a reason of the process described before only the two accounts affected by this step are shown. The accounting document already showed that through the raise of the loan this account decreased or was credited and the bank account increased, was therefore debited.

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Process description purchasing 6.1 Introduction 6.2 Basic purchasing process 6.3 Alternative purchasing process 6.3.1

Description purchasing process Stepps

The following graphic shows the process flow diagram of the new material.

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In the following the process data flow of the new material will be explained: Availability and stock quantity checking The logistics department is responsible for the availability of the materials. On a regular basis, the availability is checked. Creating purchase requisition As a result of the availability check, the logistics department creates a purchase requisition. The new material is requested because no stock is available at all. The purchase requisition is sent to the purchasing department, where the vendor for the material will be determined. Since the purchase requisition covers materials for both plants, the purchase requisition is sent to the purchasing group A. The standard policy within Pulles is that purchase requisitions, dealing with both plants, have to be dealt with by the purchasing group A. Selecting potential vendors A purchase employee determines potential vendors for the materials of the purchase requisition. For the new material, only the new vendor will be considered. Creating RFQ The purchase employee sends a RFQ for the new material to the new vendor. The RFQ distinguishes between plant PM41 and PA41 In this way the vendor can offer different prices, depending on the plant. The RFQ informs the vendor about the price elements and the price calculation the vendor has to meet. Maintain quotation The prices offered are different for both plants. The quotations are entered in the SAP system by the purchasing employee. Creating purchase order In case of the new material, the purchase order is based on the quotation, offered by the new vendor. The purchase order is created for the new vendor.The vendor is requested to send a confirmation, as soon as the purchase order is received.The vendor is also requested to send a shipping notification, shortly before they deliver the materials. This shipping notification has to inform about the arrival date and the quantity of the material to be delivered. The amount of the shipping depends on the purchase order. Creating confirmation Only the new vendor sends a confirmation, indicating that they will be capable of delivering the materials ordered for the requested delivery date. Creating shipping notification It turns out that the new vendor is not capable of delivering the ordered quantity in time. Therefore, a shipping notification is received. The quantity of the shipping notifications may vary depending on the vendor’s ability to supply. At a later stage a second shipping notification will be issued for the remaining quantity (see the last process steps). If another notification will arrive this has to be adjusted with the purchase order created before.

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Creating goods receipt The new material, which is received at the plant PM41 from the new vendor, is stored in the quality control stock area of the storage location SM41. The new material, which is received at the plant PA41 from the new vendor, is stored in the storage location SA41 as unrestricted use stock. Recording inspection result The quality inspection occurs according to the specifications of the quality management department at the plant PM41. For that purpose the material is forwarded from the quality control stock area to the quality inspection area. Of course the new material have to meet different specifications and will be inspected independently. The result of the quality inspection is recorded for the new material ordered. Creating usage decision Based on the quality inspection results the usage decision for the new material for plant PM41 is taken. All materials will be accepted and forwarded to the unrestricted use stock. Creating invoice The invoices are sent by the new vendor after the goods receipt for both plants have occurred. One invoice is received from the new vendor, covering both goods receipts. Releasing invoice The release of the invoice of the new vendor is postponed until the remaining materials have been received as well. Creating outgoing payment The final document of the outgoing payment is created by the new vendor. These processes might be repeated for several shipping notifications, this however depends on the purchase order. If the purchase order is divided into e.g two halfs the process described above will be repeated twice.

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6.3.2 6.3.3

Additional information Process data flow diagram new material

6.3.4

Description process Stepps

The tables below describe the process steps and explain, which documents are created in which process and what their purpose is.

Documents created by SAP Name process step Creating purchase requisition Creating RFQ Maintain quotation Quality inspection area Creating purchase order Creating shipping notification Creating goods receipt Creating invoice

Document name Purchase requisition RFQ Quotation Quality control Purchase order Shipping notification Material document goods receipt Invoice

Creating outgoing payment

---

Document name ---

Document name ---

Inspection lot doc.

Financial document (goods receipt) Financial document (invoice) Financial document (outgoing payment)

---

Preceding SAP documents Preceding process step

Consecutive process step

Creating purchase requisition

Creating RFQ

Document name, referred to purchase requisition

Creating RFQ Creating quotation Creating purchase order Creating purchase order Creating purchase order Creating shipping notification Creating goods receipt Recording inspection results Creating invoice Creating invoice

Maintain quotation Creating purchase order Creating confirmation Creating shipping notification Creating invoice Creating goods receipt Recording inspection results Creating usage decision Release of invoice Creating outgoing payment

RFQ quotation Purchase order purchase order purchase order shipping notification Inspection document Inspection document Incoice invoice

External documents Name process step Creating RFQ Maintain quotation Creating purchase order Creating confirmation Creating shipping notification Quality inspection area Creating goods receipt Creating invoice Creating outgoing payment

External document RFQ Quotation Purchase order Confirmation Shipping notification Quality management data Goods receipt Invoice Outgoing payment

Incoming/outgoing Outgoing Incoming Outgoing Incoming Incoming Incoming Incoming Incoming Outgoing

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Executing purchasing process in SAP 7.1 Introduction 7.2 Availability and stock quantity checking 7.2.1

Availability check

The tables below shows the availability check of the new material for both plants.

Plant New material Date

PM41 772 MPR element

24.09.2009

Stock

Plant New material Date

PA41 772 MPR element

24.09.2009

Stock

MRP element data SM41

Received/ Confirmed required quantity 0 -

MRP element data SA41

Received/ Confirmed required quantity 0 -

This screenshot displays the scope of check which shows what is checked while the availability check is proceeded. The checking rule here is the indicator for all the aspects, which are checked during the quality control. Another number would indicated other aspects of quality control.

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End lead time: Availability is only checked up to the finish of end lead time. If the material availability date is calculated on the basis of the current date to lie after the end lead time for the item, the item itself can be confirmed despite insufficient stock being available. In this case, the system assumes that any quantity requested by the customer can be procured by the material availability date and considers the goods to be available. 7.2.2

Stock quantity

In the following the stock quantity of the new material in both plants is shown. Obviously there is no existing stock for this material.

New material number Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. for delivery Stock in transit Restricted-use 7.2.3

772 Plant PM41 0 0 0 0 0 0 0 0 0

Plant PA41 0 0 0 0 0 0 0 0 0

Material requirements

The table below shows the quantity of the materials that will be purchased.

Material (number) 42 772

Quantity

Plant

Storage location

50 10 50 10

PM41 PA41 PM41 PA41

SM41 SA41 SM41 SA41

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7.3 Creating purchase requisition As a result of empty stocks, there will be a purchase of material. Purchase requisition number 10000165 Item Material Quantity Plant Storage Purchasing (number) location dept. 10 42 50 PM41 SM41 PO41 20 10 PA41 SA41 30 772 50 PM41 SM41 40 10 PA41 SA41

Purchasing group A41

Delivery date 26.10.2009

Tracking number 910CC41

This screenshot displays the purchase requisition 10000165. That means it is shown which material is purchased for which plant. Furthermore the quantity of the purchase orders is also displayed for the different materials and for the different plants. The purchase requistion number is important for further processing. The tables below show that there has been a purchase of the new material in both plants.

Plant New material Date

PM41 772 MPR element

24.09.2009 03.02.2010

Stock PurRqs

Plant New material Date

PA41 772 MPR element

24.09.2009 03.02.2010

Stock PurRqs

Material (number) 42 772

Plant

Delivery date

PM41 PA41 PM41 PA41

26.10.2009 26.10.2009 26.10.2009 26.10.2009

MRP element data 100000165/00030

Received/ Confirmed required quantity 0 50 -

MRP element data 100000165/00040

Received/ Confirmed required quantity 0 10 -

Goods receipt processing time 100 100 100 100

Date, on which material will be available 11.02.2010 11.02.2010 11.02.2010 11.02.2010

28

7.4 Selecting potential vendors Material (number) 42 772

Plant PM41 PA41 PM41 PA41

Potential vendor 34 (van Lierop) 34 ---

(Net price) Condition 65,00 60,00 ---

The reason that there is no information available for the new material is that the company does not yet have any vendor for the new material but has to inquire this from potential vendors.

29

7.5 7.5

Creating RFQ

The table below shows the information for the RFQ creation for the new vendor. RFQ Vendor Vendor Purchase Purchase Material Description number number name requisition requisition (number) number line item number 600000010 145 Konig 10000165 10 42 Standaard lamp 6 inkoop/verkoop 20 30 772 Solair plaatje 40

Plant

PM41 PA41 PM41 PA41

Collective Number 902CC41 is only for external purposes.

The table below shows that form the existing vendor only the new material will be purchased for both plants. RFQ Vendor Vendor Purchase Purchase Material Description Plant number number name requisition requisition (number) number line item number 6000000107 34 Van 100000165 30 772 Solair Plaatje PM41 Lierop 40 PA41 Collective Number 903CC41 is only important for external purposes.

The screenshot above shows the workflow/ document flow of the three purchasign documents which were already set up. As RFQs have been created in the step before these are also displayed in this screenshot. The purchase document number indicates to which document these RFQs refer to.

This screenshot displays the first RFQ referring to both the old and the new material. The quantity which is ordered is shown as well, as the delivery date, the purchasing group and plant. As the vendor number at the top indicates, this RFQ is for the new vendor Konig.

30

The second screenshot displays the RFQ only for the new material which was made. The vendor number 34 shows, that this RFQ is for the existing vendor.

31

The screenshot above shows the second query, referring to the new and old material from the new vendor (145). Both screenshots result in the two RFQs which were drawn before.

This screenshot above shows the first query for the new material which was made for the old vendor (34). It refers only to the new material as the new vendor only will supply the new material.

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7.6 Maintain quotation The table below shows the quotation for the new vendor. Quotation Vendor Material Description Plant number (number) number 60000010 145 42 Standaard PM41 6 lamp inkoop/ verkoop PA41 772

Solair plaatje

PM41 PA41

Price element P000 R000 P000 R000 P000 R000 P000 R000

Name

Amount

Net Price Discount on Net Net Price Discount on Net Net Price Discount on Net Net Price Discount on Net

70 (€) 2 (%) 70 (€) 865 € 2 (%) 865 € -

Name

Amount

Net Price Discount on Net Net Price Discount on Net

870 € 870 € -

The table below shows all necessary data for the quotation of the existing vendor.

Quotation number 60000001 07

Vendor Material (number) number 34 772

Description

Plant

Solair Plaatje

PM41 PA41

Price element P000 R000 P000 R000

The screenshot above shows the quotation referring to the new vendor and to both materials. It also shows that the RFQ only refers to the new vendor, indicated through the number and the name next to the vendor number field.

This screenshot shows the RFQ only referring to the existing vendor and the new material. Only the new material will be purchased from this vendor.

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7.6 Creating info record The table shows the line items for the existing material and the new vendor. This is accepted in contrast to the new material from the new vendor and the new material of the old vendor. Therefore, these fields remain empty.

Quotation number 6000000106

Quotation number 6000000107

Vendor (number) 145

Vendor (number) 34

Line item number 10 20 30 40

Material (number) 42

Line item number 10 20

Material (number) 772

772

Plant

Accepted

PM41 PA41 PM41 PA41

B B -

Plant

Accepted

PM41 PA41

-

34

7.7 Assigning source of supply 7.7.1

Introduction

7.7.2

Calculation purchasing prices existing material

The table below shows the calculation of the price for the existing material, for both plants and the existing vendor.

Material

Plant

Standaard lamp Inkoop/ Verkoop

PM41

Vendor (name) Van Lierop

Price element P000 ZFRA MWST

PA41

P000 ZFRA MWST

Name

Amount

Net price Freight costs Net price excl. input tax Input tax Net price incl. input tax Net price Freight costs Net price excl. input tax Input tax Gross price incl. input tax

70,00 2 ,00 19 % 70,00 2,00 19 %

Gross weight Condition (KG) value 70,00 4 8,00 78,00 14,82 92,82 70,00 4 8,00 78,00 14,82 92,82

The table below shows the same data as the table before, but refers to the new vendor Konig. Material Plant Vendor Price Name Amount Gross weight (name) element (KG) Standaard PM41 Konig P000 Net Price 70,00 lamp R000 Discount % on Net 2,00 Inkoop/ ZFRA Freight costs 2,00 4 Verkoop Net price excl. input tax MWST Input tax 19 % Net price incl. input tax PA41 P000 Net Price 70,00 ZFRA Freight costs 2,00 4 Net price excl. input tax MWST Input tax 19 % Gross price incl. input tax

7.7.3

Source of supply assignment

Purchase requisition number Item 10 20 30 40

Material (number) 42 772

Condition value 70,00 68,60 8,00 76,60 14,554 62,046 70,00 8,00 78,00 14,82 92,82

1000016 5

Quantity

Plant

Storage location

Vendor

Info record

50 10 50 10

PM41 PA41 PM41 PA41

SM41 SA41 SM41 SA41

Van Lierop

B

35

7.8 Creating purchase order 7.8.1

Introduction

7.8.2

Releasing new material

The new material will be released as the table below shows.

Vendor (number) 34 145

7.8.3

Name Van Lierop Konig

Material (number) 42 772

Name

Release By date

Standard lightning Purchasing/Sales Solar panels

01.01.2020 01.01.2020

Creating purchase order existing material

Below the table shows the necessary data for the purchase order referring to the existing vendor.

Purchase order number Item 10 20

Material (number) 42

7.8.4

450000019 Vendor Van Lierop 8 Quantity Plant Storage location 50 10

PM41 PA41

SM41 SA41

Purchase requisition number Line item 10000165

10 20

Calculating purchasing prices new material

The table below shows the price calculation for the new vendor and the new material.

Material Plant (number) 772 PM41

Vendor Price (number) element 145 P000 ZFRA MWST

PA41

P000 ZFRA MWST

Name Net Price Freight costs Net price excl. input tax Input tax Gross price incl. input tax Net Price Freight costs Net price excl. input tax Input tax Gross price incl. input tax

Amount Gross weight(KG) 865,00 2,00 13 19 % 860,00

Condition value 865,00 26,00 891,00 169,29 1060,29 860,00 26,00 886,00 168.34 1054,34

13 19 %

The table below shows the data for the price calculations for the existing material and the existing vendor. Material Plant Vendor Price Name Amount Condition (number) (number) element value 42 PM41 34 P000 Net Price 65,00 70,00 Net price excl. input tax 65,00 MWST Input tax 19 % 12,35 Gross price incl. input tax 77,35 PA41

P000 MWST

Net Price Net price excl. input tax Input tax Gross price incl. input tax

60,00 19 %

60,00 60,00 11,40 71,40

36

7.8.5

Creating purchase order new material

The data in the table below is important for the creation of the purchase order of the new material form the new vendor. The purchase order number will be important for following process steps. Purchase order number 4500000208 Vendor Konig Item Material Quantity Plant Storage location Quotation number Line item (number) 10 772 50 PM41 SM41 6000000106 30 20 10 PA41 SA41 40

7.8.6

Analysis results

The screenshot above shows the document flow referring to the different purchase order documents which have been established before. Each purchase document contains several line items that indicate the material and the quantity for delivery.

This screenshot shows the specific purchase order referring to the new material which has to be purchased form the new vendor, indicated at the top of the screenshot.

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In this screenshot the print preview of the purchase order is seen. This will be sent to the new vendor as indicated at the top of the purchase order. The tables below summarize that the materials in plant Maastricht have to go through a quality inspection in contrast to those in plant Amsterdam.

Purchase order number Item Material 10 42 20

450000019 Vendor Van Lierop 8 Quantity Plant Storage location Stock type 50 PM41 SM41 Quality inspection 10 PA41 SA41 Unrestricted Use

Purchase order number Item Material 10 772

450000020 Vendor Konig 8 Quantity Plant Storage location 50 PM41 SM41

20

10

PA41

SA41

Stock type Quality inspection Unrestricted Use

QA Control key Del. Release, invoice block No active functions, info message

QA Control key Del. Release, invoice block No active functions, info message

38

This screenshot shows the conditions for the first line item. It refers to the old material and the old vendor.

The screenshot above shows the conditions for the second line item which refers to the old material and the old vendor as well.

This screenshot is displaying the conditions for the new material and the new vendor. It refers the first line item of the purchase order.

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As last screenshot ths conditions of the second line item of the purchase order for the new vendor and the new material is shown

Plant New material Date

PM41 772 MPR element

15.10.2009 03.02.2010

Confirmed

Stock POItem

Received/ required quantity 0 4500000208/00010/0001 50

Plant New material Date

PA41 772 MPR element

MRP element data

Confirmed

15.10.2009 03.02.2010

Stock POItem

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 0 4500000208/00020/0001 10 772 Plant PM 0,000 0,000 50,000 0,000 0,000 0,000 0,000 0,000

-

-

Plant PA 0,000 0,000 10,000 0,000 0,000 0,000 0,000 0,000

As a matter of the purchase process before, there is now on order stock for the new material in both plants.

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7.9 Creating confirmation 7.10Creating shipping notification Shortly before the goods will arrive, a shipping notification is received from the existing vendor. This shipping notification contains the arrival date and the quantity of the material of each purchase order line item. It turns out that this vendor is capable of meeting the quantity and delivery date. In this case study, the delivery date will become: current day + 2 days.

Inbound delivery number

Delivery date

Item

Purchase order number

Line item

4500000198 4500000198

10 20

10 20

Material (number) 42

18000018 Vendor Van Lierop 0 Delivery Plant Storage location quantity 50 PM41 SM41 10 PA41 SA41

17.10.2009

The table below shows that the new vendor will separate the delivery of the materials, which is indicated through the delivery quantity.

Inbound delivery number

Delivery date

Item

Purchase order number

Line item

4500000208 4500000208

10 20

10 20

Material (number) 772

18000018 Vendor Konig 1 Delivery Plant Storage location quantity 25 PM41 SM41 5 PA41 SA41

17.10.2009

This is the screenshot showing the first line item which has been confirmed. It indicates te delivery date and the quantity to be delivered. This goes for the following screenshots as well.

This screenshot shows the second line item concerning the existing material, which has been confirmed.

The screenshot above shows the confirmation register of the first item of the second purchase order which was created to the new material and the new vendor.

As the screenshot above these displays the second purchase order but refers to the second line item. As the shipping has been divived into two parts these changes have been recognized in the system.

Plant

PM41 41

New material Date

772 MPR element

15.10.2009 25.01.2010 03.02.2010

Confirmed

Stock ShpgNt ShpgNt

Received/ required quantity 0 4500000208/00010 25 4500000208/00010 25

Plant New material Date

PA41 772 MPR element

MRP element data

Confirmed

15.10.2009 25.01.2010 03.02.2010

Stock ShpgNt ShpgNt

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 0 4500000208/00010 5 4500000208/00010 5

772 Plant PM 0,000 0,000 50,000 0,000 0,000 0,000 0,000 0,000

-

-

Plant PA 0,000 0,000 10,000 0,000 0,000 0,000 0,000 0,000

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7.11Creating goods receipt 7.11.1

Introduction

The screenshot above displays the goods receipts for both materials and both plants. The purchase document numbers in the last column show, which purchase orders are referred to.

This overview shows in detail the inbound delivery for the old material and both plants. The reference is the purchase order which was created. This inbound delivery is for the old vendor indicated by the vendor number in the upper part.

The screeshot above shows the inbound delivery for the new material and both plants. The quantity is referring to the first half of the total value as indicated before in the shipping notification. Still the reference is the purchase order which is for the new vendor, indicated in the upper part.

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The following series of tables show the goods receipt for both materials and both plants. These are based on the purchase orders created before. 7.11.2

Goods receipt existing material at plant PM

Material document 500000046 Vendor Van Lierop number 0 Item Material Quantity Plant Storage location (number) 10 42 50 PM41 SM41

7.11.3

10

Purchase order number

Line item

4500000198

20

Purchase order number

Line item

4500000208

10

Purchase order number

Line item

4500000208

20

Goods receipt new material at plant PA

Material document 500000046 Vendor Konig number 3 Item Material Quantity Plant Storage location (number) 10 772 5 PA41 SA41

7.11.6

4500000198

Goods receipt new material at plant PM

Material document 500000046 Vendor Konig number 2 Item Material Quantity Plant Storage location (number) 10 772 25 PM41 SM41

7.11.5

Line item

Goods receipt existing material at plant PA

Material document 500000046 Vendor Van Lierop number 1 Item Material Quantity Plant Storage location (number) 10 42 10 PA41 SA41

7.11.4

Purchase order number

Analysis results

This screenshot displays the first line item and the information referring to the goods receipt.

The screenshot above shows the second line item. The old material from the old vendor and the referring data of the goods receipt.

44

This screenshot shows the goods receipt information concerning the new material an dthe new vendor. It is the information of the first line item.

The above screenshot shows the goods receipt information of the second line item which also refers to the new vendor and the new material.

The screenshot displays the material document for the old material at a quantity of 50 to deliver. The Bill of Lading number is 910CC417 and is an indication that will be used by the vendor.

The above screenshot shows the material document of the old material which will be delivered at a quantity of 10. The Bill of Lading number is the external number which will be used by th vendor is 910CC418.

The screenshot refers to the material document for the new material which will be delivered at a quantity of 25. The external number is 910CC419

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This screenshot displays the material document of the new material which will be delivered at a quantity of 5. The Bill of Lading Number is 910CC4110 and indicates the external number the vendor will refer to. The table below shows the accounts affected by the process above.

G/L accounting number 310000

Description Trading Goods

191100

GR/IR clrg. Ext. proc.

23100/28100

Ext. prod. Pr. Dif.

Above the screenshot shows the financial document. The reference number indicates that the existing material is referred to.

This screenshot as well shows the financial document with reference to the old material. The reason that the amount differs from the first screenshot is due to the shipping notification containing two line items.

46

This screenshot refers in contrast to the first two, to the new material which is indicated through the reference number. Another difference in the 23100 account which is mentioned. It shows an amount difference of the amounts paid and the trading goods.

As the screensho above this one refers to the new material indicated by the reference number. In this case also there is a booking on the External product price difference account which occurs through amount differences of trading goods and money paid.

47

This screenshot shows the inspection lot details. Those only concern the Plant PM41, as there is no inspection at PA41. Furthermore, the screenshot shows exactly for which material the inspection will be executed. This is indicated through the purchasing document number and the material document number.

G/L accounting number 191100 23100 310000

Description GR/IR-clearing – ext. Proc. Loss fr. ext. Prod. Pric. Dif. Trading Goods

Debit

Credit 30.212,50

8.862,50 21.350,00

The screenshot above shows the P&L account. In contrast to the first screenshot which was made from the P&L there are much more accounts. This is a result of the new purchase orders which were executed. Therefore, bookings on new account took place.

48

Plant New material Date

PM41 772 MPR element

22.10.2009 22.10.2009 03.02.2010

Stock QM-Lot ShpgNt

Received/ required quantity 0 010000000901 25 4500000208/00010 25

Plant New material Date

PA41 772 MPR element

MRP element data

22.10.2009 03.02.2010

Stock ShpgNt

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Confirmed -

Received/ Confirmed required quantity 5 4500000208/00020 5 -

772 Plant PM 0,000 25,000 25,000 0,000 0,000 0,000 0,000 0,000

Plant PA 5,000 0,000 5,000 0,000 0,000 0,000 0,000 0,000

Parts of the material quantity have been transfered into the quality inspection of Plant Maastricht. In Amsterdam the material has been transferef directly into unrestricted use, as no quality inspection exists at this plant.

7.12Recording inspection result The table below shows the quality inspection data for the existing material. Material Plant (number) 42 PM41

Master inspection characteristic 1000000

Short text inspection characteristic Maximun tolerable current Quantitative data plan Measurement unit A Lower plausible limit 8 Upper plausible limit 12 Target value 10

Quantitative data inspection result Minimum Maximum Mean value Standard deviation

9 11 10 1

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The screenshot above shows the inspection result for the inspection of the old material. The table below shows the quality inspection data for the new material, which will be entered in the SAP system. Material Plant Master inspection Short text inspection (number) characteristic characteristic 772 PM41 1000004 Inspection of solar item Quantitative data plan Quantitative data inspection result Measurement unit mV Lower plausible limit 10 Minimum 11 Upper plausible limit 20 Maximum 19 Target value 15 Mean value 15 Standard deviation 4

The screenshots above shows the result of the inspections of the new material. The results differ from the results of the old material as the data which was entered in SAP differed, too. Values such as Minimun, Maximum, mean value and standard deviation influenced the results differently.

50

7.137.14 Creating usage decision

The above screenshot shows the record usage decision and in particular the inspection lot stock. This screen only exists for Plant PM41, as PA does not have a QM division.

This screenshot shows mainly the same as the one before, but refers to the new material, indicated by the material number 772. This inspection lot screen refers also to plant PM, for the same reason as mentioned before. The quantity again is only half of the total amount, due to the shipping notification.

Plant New material Date

PM41 772 MPR element

02.11.2009 03.02.2010

Stock ShpgNt

Received/ Confirmed required quantity 25 4500000208/00010 25 -

Plant New material Date

PA41 772 MPR element

MRP element data

02.11.2009 03.02.2010

Stock ShpgNt

MRP element data

Received/ Confirmed required quantity 5 4500000208/00020 5 51

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

772 Plant PM 25,000 0,000 25,000 0,000 0,000 0,000 0,000 0,000

Plant PA 5,000 0,000 5,000 0,000 0,000 0,000 0,000 0,000

52

7.15 Creating invoice Purchase order number 4500000198

Line item 10 20

Material Purchase order (number) quantity 42 50 10

Plant

Goods receipt quantity PM41 50 PA41 10 Invoice amount

Condition value 3867,50 714,00 4581,50

The values in the last column were calculated with the standard price. Therefore, the resulting amount does not equal the amount we would have calculated as our amounts result in the following fiures: Gross price equals 92,82 times the quantity of both line items (92,82*50=4,641.00; 92,82*10=928.20).

Invoice number Invoice amount Item Material (number) 1 42 2

510560097 Vendor Van Lierop 1 4581,50 Payment terms 14 Days 2 % 30 days Quantity Plant Storage location Purchase order number

Line item

50 10

10 20

PM41 PA41

SM41 SA41

4500000198

Purchase Line order number item

Material Purchase Plant (number) order quantity

Goods receipt quantity PM41 25 PA41 5 Invoice amount

4500000208 10 20

772

50 10

Condition value * 0,5 (Goods receipt quantity/Purchase order quantity) 25,992.50 5,271.224 31,371.38

Here the same applies as two tables before: The values in the last column were calculated with the standard price. Therefore, the resulting amount does not equal the amount we would have calculated as our amounts result in the following fiures: Gross price equals 92,82 times the quantity of both line items (1,060.29*25=26,507.25; 1,060.29*5=5,301.45). Note: The discount has not been taken into consideration.

Invoice number Invoice amount Item Material (number) 1 772 2

51056007 Vendor Konig 2 31,371.38 Payment terms 14 Days 2 % 30 Days net Quantity Plant Storage location Purchase order number

Line item

25 5

10 20

PM41 PA41

SM41 SA41

4500000208 4500000208

53

The screenshot displays the purchase order with the two line items. At the button the first line item is referred to. It shows that an invoice was created, which is indicated through IR-L and the invoice number 510560972.

As the first screenshot, this one also refers to the purchase order of 4500000208. This time to the second line item. For this an invoice was also created with the number 510560972, which is the same as for the first line item. The reason for this is the same purchase order number which indicated the same vendor for both line items.

54

The screenshot displays the purchase order 4500000198, also containing two line items. Ths screenshot refers to the first line item and the invoice created with the number 510560971.

This screenshot refers to the same PO as mentioned before, this time to the second line item. The reason for the same invoice number is the same as with the first purchase order. The vendor is the same, and therefore there is no need to have several invoices.

This screenshot shows the first invoice referring to the new material and the new vendor Konig. The purchase order this invoice is referring to, is mentioned in the bottom part of this document. Furthermore, the total amount of this invoice is indicated in the upper part at 31,371.38 Euro.

55

The screenshot shows the second invoice 510560971 referring to the existing material from the existing vendor Van Lierop. The two line items of the purchase order are displayed as well as the total amount for this invoice of 4,581.50 Euro. The table shows the accounts affected by posting an invoice.

G/L accounting number 191100 160000 154000

Description GR/IR clrg. Ext. proc. Reconciliation Account Input Tax

This document shows the financial accounting data for the old material, which is obvious through the vendor account of Van Lierop. Moreover, all other accounts, which are affected are mentioned. The GR/IR account is affected as no outgoing payment has been processed yet.

56

This screenshot is more or less the same as the one before, but the other vendor account is affected, which indicates that the new material is the matter of this invoice. All accounts affected are mentioned.

G/L accounting number 046020 113100 154000 191100 231000 310000 160000

Description Other loans due after 1 year Bank 1 domestic G/L acc. Pulles Input Tax GR/IR clrg. Ext. proc. Loss from ext. Prod. Price diff. Trading goods Reconciliation account

Debit 100,000.00 5,740.38 0 8,862.50 21,350.00

Credit 100,000.00 0 35,952.88

The financial statement shows all accounts which were affected in the last tasks. The reason for now changes in the bank account is, that there have not been any outgoing payments, yet. The loss rom external product price differences result in the discount that will be given to our company.

57

7.16 Releasing invoice The invoices for the vendors have been released now. The next step will be the posting of the invoice.

58

7.17Creating outgoing payment 7.17.1Outgoing payment amount After the invoice has been released the outgoing payment can take place, the table shows the needed information.

Invoice amount Payment terms Discount amount Outgoing payment amount

4,581.50 2% 91.63 4,489.87

7.17.2Outgoing payment The table shows the accounts affected by an outgoing payment.

G/L accounting number 113100 160000 154000 276000

Description Bank 1 (domestic) Reconciliat. Account Input Tax Discount received

In comparison to the last financial account documents, the bank account and discount account are affected as well. This is due to the outgoing payment which has been done in the last step.

This screenshot indicates that an outgoing payment was created which is obvious by the first line with the type KZ. The outgoing payment has the same amount as the invoice created before.

59

G/L accounting number 046020 113100 154000 191100 231000 276000 310000 160000

Description Other loans due after 1 year Bank 1 (domestic) G/L acc. Pulles Input Tax GR/IR clrg. Ext. proc. Loss from ext. Prod. Price diff. Discount received Trading goods Reconciliation account

Debit 95,510.13 5,725.75 0 8,862.50

Credit 100,000.00 0 77.00

21,350.00 31,371.38

This screenshot shows that an outgoing payment has been done. This is indicated through the affected bank account. Another account which was affected through this is the accounts payable and the discout received.

60

7.18 Summary of the postings

61

7.19 Creating shipping notification remaining new materials Inbound delivery number Item Material (number) 10 772 20

18000020 Vendor Konig 8 Delivery Plant Storage location quantity 25 PM41 SM41 5 PA41 SA41

Delivery date

04.11.2009

Purchase order number

Line item

4500000208

10 20

The screenshot shows the purchase order of the new material. It is indicated that the second half of the total amount will be shipped on 04.11.2009.

This screenshot is the second part of the purchase order and refers to the second line item of this PO. The second half of the total amount this time is 5 instead of 25 and will also be delivered on 04.11.2009 as indicated in the bottom part at the left.

62

Plant New material Date

PM41 772 MPR element

02.11.2009 12.02.2010

Stock ShpgNt

Received/ Confirmed required quantity 0 4500000208/00010 25 -

Plant New material Date

PA41 772 MPR element

MRP element data

02.11.2009 12.02.2010

Stock ShpgNt

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ Confirmed required quantity 0 4500000208/00020 5 -

772 Plant PM 25,000 0,000 25,000 0,000 0,000 0,000 0,000 0,000

Plant PA 5,000 0,000 5,000 0,000 0,000 0,000 0,000 0,000

63

7.14Creating goods receipt 7.14.1

Introduction

This overview displays the inbound delivery for the second half of the purchase order 4500000208 for the new material. The overview shows the vendor through the numer and the delivery date.

7.14.2

Goods receipt new material at plant PM

Material document 500000048 Vendor Konig Delivery date 04.11.2009 number 0 Item Material Quantity Plant Storage location Purchase order number Line item (number) 10 772 25 PM41 SM41 4500000208 10

7.14.3

Goods receipt new material at plant PA

Material document 500000048 Vendor Konig Delivery date 04.11.2009 number 1 Item Material Quantity Plant Storage location Purchase order number Line item (number) 10 772 5 PA41 SA41 4500000208 20

7.14.4

Analysis results

64

For the second half of the purchase order referring to the new material there was also a document created for the goods receipt referring to the remaining 25.

This overview shows the second line item of the same purchase order as the overview before. It indicated also the goods receipt created and the remaining quantity to be delivered.

The document displays the material document which refers to the first line item of the purchase order of the new material.

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This overview refers to the second line item of the purchase order which was divided into two halfs. This one refers to the Plant PA and therefore the stock type is “unrestricted use” in comparison to the first line item, which has to go through a quality inspection.

As with the first part of the purchase order this time as well the account 23100 is affected through price differences due to the discount which will be given. The financial document refers to the higher quantity of 25, indicated through the higher amount.

66

The second line item quantity is lower as from the first one, therefore the amounts mentioned here are lower. Still there is a price difference due to the discount which will be given at the outgoing payment.

This overview shows the purchase order document number which this inspection is referred to. It only concerns the items at Plant PM41, as at PA41 there is not Quality Management division for an inspection.

G/L accounting number 046020 113100 154000 191100 231000 276000 310000 160000

Description Other loans due after 1 year Bank 1 (domestic) G/L acc. Pulles Input Tax GR/IR clrg. Ext. proc. Loss from ext. Prod. Price diff. Discount received Trading goods Reconciliation account

Debit

Credit 100,000.00

95,510.13 5,725.57 26,362.50 17,725.00 77.00 38,850.00 31,371.38

67

There has not been any changes in the bank account yet due to the fact that it has not been subject of happenings yet. No outgoing payment has been stated so far. GR/IR clearing, trading goods and loss from external product price differences were the only accounts affected by the goods receipt. The table below shows the data for the quality management at Plant Maastricht, which will be made for the new material.

Plant New material Date

PM41 772 MPR element

02.11.2009 02.11.2009

Stock QM-Lot

MRP element data 010000000910

Received/ Confirmed required quantity 0 25 -

For Plant Amsterdam this is not necessary as indicated through the table.

Plant New material Date

PA41 772 MPR element

02.11.2009

Stock

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

772 Plant PM 25,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Received/ Confirmed required quantity 10 Plant PA 10,000 0,000 0,000 0,000 0,000 0,000 0,000 0,000

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7.15Recording inspection result The table below shows the inspection charateristics for the material inspection of the new material. Material Plant Master inspection Short text inspection (number) characteristic characteristic 772 PM41 1000004 Inspection of solar item Quantitative data plan Quantitative data inspection result Measurement unit mV Lower plausible limit 10 Minimum 11 Upper plausible limit 20 Maximum 19 Target value 15 Mean value 15 Standard deviation 4

This overview shows exactly the data which was shown in the table before, too. These are the characteristics of the inspection which will be done at Plant PM41.

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7.16Creating usage decision

This screenshot displays the record usage decision stock. It refers to the new material which will be part of the inspection lot at Plant PM41. The number 25 is indicated in the middle and shows the quantity of inspection lot stock.

Plant New material Date

PM41 772 MPR element

02.11.2009

Stock

MRP element data

Received/ Confirmed required quantity 0 -

The required quantity is 0 in this case, as the remaining 25 parts of the shipment will first run through the inspection before they are available in stock.

Plant New material Date

PA41 772 MPR element

02.11.2009

Stock

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

772 Plant PM 25,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Received/ Confirmed required quantity 10 -

Plant PA 10,000 0,000 0,000 0,000 0,000 0,000 0,000 0,000

After the second quality inspection process the last half of the 50 items should be in inrestricted use as well. Actually this is not the case here for some reasons that we do not know.

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7.17Creating invoice Purchase Line order number item

Material Purchase Plant (number) order quantity

1800000208 10 20

772

Invoice number Invoice amount Item Material (number) 1 772 2

50 10

Goods receipt quantity PM41 25 PA41 5 Invoice amount

Condition value * 0,5 (Goods receipt quantity/Purchase order quantity) 25,992.50 5,271.224 31,371.38

510560097 Vendor Konig 3 31,371.38 Payment terms 14 Days 2 % 30 Days Net Quantity Plant Storage location Purchase Line item order number 25 PM41 SM41 180000020 10 8 5 PA41 SA41 20

This overview shows that an invoice has been created for the second part of the purchase order as well. The number 510560973 shows the invoice for the remaining 25 parts of delivery. This overview refers to the first line item of the purchase order.

This screenshot displays the second line item of the purchase order. It indicates that for the second half of the PO there was an invoice created as well which refers to the quantity remaining to be delivered. The invoice number 510560973 is the same as for the first line item, as it concernc the same PO. Still this refers to a new shipping and therefore does not have the same invoice number as the first shipment from this PO.

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The screenshot above shows the invoice document which shows the content of the invoice created before. It refers to the second half of the purchase order which is to be shipped. The total amount of 31,371.38 Euro is shown as well as the tax to be paid.

The financial document shows that an invoice was created but not yet paid, as the bank account has not been affected, yet. Still it refers to the second shipping which is obvious through the GR/IR account which is affected. Furthermore, the amount of the vendor account was already mentioned in that way in the invoice itself.

G/L accounting number 046020 113100 154000 191100 231000 276000 310000 160000

Description Other loans due after 1 year Bank 1 (domestic) G/L acc. Pulles Input Tax GR/IR clrg. Ext. proc. Loss from ext. Prod. Price diff. Discount received Trading goods Reconciliation account

Debit 95,510.13 10,734.63 0 17,725.00

Credit 100,000.00 0 77.00

38,850.00 62,742.76

72

As a reason of the invoice which was posted the GR/IR account has been affected, as well as the accounts payable, which indicates now the amount of the total purchase order referring to the new material. The loss rom external product price difference account was also affected as a reason that the outgoing payment has not be posted yet and therefore no discount has been received which results in a difference in amounts.

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7.18 Releasing invoice 7.19Creating outgoing payment 7.19.1

Outgoing payment amount

After the invoice for the new vendor has also been released the next step will be the outgoing payment.

Invoice amount Payment terms Discount Outgoing payment amount Outgoing payment amount total 7.19.2

Invoice 1 31,371.38 2% 627.42 30,743.96 61,487.92

Invoice 2 31,371.38 2% 627.42 30,743.96

Outgoing payment

G/L accounting number 113100 160000 154000 276000

Description Bank 1 (domestic) Recon. Account Input Tax Discount received

The above screenshot shows the financial document for the outgoing payment. This time the bank account is affected by reason that the traded goods are being paid. Therefore, the vendor account raises at the same value as the bank account decrease. Input tax and the discount receive account are also affected through the outgoing payment.

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This screenshot displays the payment usage. The first line of the three which are displayed shows the invoice of the total amount of the quantity delivered (50). In this screen the vendor is also mentioned so that the company knows where this invoice is going to be sent. G/L accounting number 046020 113100 154000 191100 231000 276000 310000 160000

Description Other loans due after 1 year Bank 1 (domestic) G/L acc. Pulles Input Tax GR/IR clrg. Ext. proc. Loss from ext. Prod. Price diff. Discount received Trading goods Reconciliation account

Debit 34,022.23 10,534.27 0 17,725.00

Credit 100,000.00 0 1,131.50

38,850.00 0

This screenshot shows what is already indicated in the table above. It shows that the account of bank, input tax and discount received are being affected through the outgoing payment.

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7.26 Summary of the postings

76

8

Master data sales process 8.1 Customer master data 8.1.1

Introduction

The table shows organizational units and additional data fields of these.

Organisational unit/Department Address Accounting Sales

Additional data field Telephone Authorization Customer Group

The telephone data field, for example, which is regarded as general data, is only relevant for sales and distribution. However, since it is not based on the sales and distribution organization of the company and is always unique for this customer, it is not considered part of the sales and distribution data. Access to master records can be restricted in order to prevent unauthorized changes from being made. The user can assign different authorizations for different types of processing. Authorizations are specified during system configuration and assigned to each user in his or her user master record. In this case accounting data is affected and therefore it is reasonable to leave the responsibility for data adaptions in this department Allows the company to group its customers by industry or by sales figures. This way the individual classification system can be used to find objects that match the required criteria. Since the sales department is in direct customer contact it can most effectively classify clients into distinct groups. 8.1.2

Customer list

8.1.3

Master data existing customer distribution channel 01

The table below shows the master data of the existing customer for the distribution channel 01. Organisational level Data field Value existing customer Address Customer (number) 35 Title Company Name Luiten Search term 1/2 LUI Street/House number Slangenstraat 24 Postal code 2134 EZ City Aalsmeer Country NL Language Dutch Accounting Reconciliation account 140000 department Tolerance group PULL Sales department Sales Office DS41 Sales Group D41 Currency EUR Cust. pric. proc. 3 Shipping conditions 02 Delivering plant PA41 77

Incoterms Terms of Payment Country (code) Tax category (code) Tax classification (code)

EXW 0002 NL MWST 1

Ex-Works

Description of the data fields (the F1 function did not work, therefore, we were forced to think of explanations ourselves): Under the country data field the user can assign a key for the country-specific formatting routine to each country. Countries that have a routine contained in the standard system, these fields are predefined accordingly. The input under this data field determines the standard language used within the customer master data (important for language specific characteristics e.g. cedilla). The delivering plant refers to the plant from which the goods are to be delivered to the customer, within a specific sales organization and distribution channel. The plant can be automatically proposed by the system when processing a sales order, if it has been maintained in one of the master records. Incoterms are special trading rules that traders/retailers need to stick to. The incoterms are internationally recognized and from great importance for traders. These rules facilitate international trade as it help traders from different countries to understand each other in trade business. Payment terms or terms of payment are special conditions under which traders make a sale. These terms normally specify the period allowed to a buyer to pay of the amount of an invoice. Customer pricing procedures define a group of condition types in a particular sequence. This determines among others which sub-totals appear during pricing. To what extent the pricing can be processed manually, which method the system uses to calculate percentage disounct and surcharges and which requirements for a particular condition type mustbe fulfilled before the system takes the conditions into account. The reconciliation account is in its essence a balance sheet, which cannot directly be altered. Thus all postings made in the subsidiary ledgers are posted through the reconciliation account to the general ledger. The recon. Account is kept for a certaingroup like vendors or customers In this case the value indicates the effected customer account.

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8.1.4 8.1.4.1

8.1.5

Extending distribution channel existing customer Sales department

Master data existing customer distribution channel 02

The table below shows the master data for the existing customer for a new distribution channel 02.

Organisational level Address

Data field Customer (number) Title Name Search term 1/2 Street/House number Postal code City Country Language Accounting department Reconciliation account Tolerance group Sales department Sales Office Sales Group Currency Cust. pric. proc. Shipping conditions Delivering plant Incoterms Terms of Payment Country (code) Tax category (code) Tax classification (code)

Value existing customer 35 Company Luiten LUI Slangenstraat 17 2134 EZ Aalsmeer NL Dutch 140000 PULL Existing sales area New sales area DS41 IS41 D41 I41 EUR EUR 3 3 02 02 PA41 PA41 EXW Ex Works EXW Ex Works 0002 0002 NL NL MWST MWST 1 1

If the distribution channel is created with the master data of an existing customer as a reference customer the advantage is that data can be easily adapted. The system can assume the data for the customer referring to the distribution channel, which simplifies the process of creation. The data does not have to entered again in the system, which decreases the work load. 8.2 Master data new customer 8.2.1

Introduction

The table shows the master data of a new customer, which will be entered into the SAP system.

Organisational level Address

Data field Name Search term Street/House number Postal code City Country Accounting department Terms of Payment Sales department Terms of Payment

Value Gollum GOL Engelstraat 11 5900 Venlo AC NL (Netherlands) 0002 0002 79

8.2.2

Creating master data new customer distribution channel 01

Master data of the new customer for distribution channel 01.

Level Address

Accounting department Sales department

Data field Customer (number) Title Name Search term 1/2 Street/House number Postal code City Country Language Reconciliation account Terms of payment Tolerance group Sales Office Sales Group Currency Cust. pric. proc. Shipping conditions Delivering plant Incoterms Terms of Payment Country (code) Tax category (code) Tax classification (code)

Value new customer 137 Company Gollum GOL Engelstraat 5900 AC Venlo NL Dutch 140000 0002 PULL DS41 D41 EUR 3 02 PA41 EXW Ex Works 0002 NL MWST 1

8.3 Extending distribution channel material 8.3.1

Introduction

8.3.2

Material master data existing material

The table shows the material master data of the existing material indicated through the material number at the top.

Organisational level Data field Basic Material (number) Base Unit of Measure Material group Division GeneralItemCatGroup Gross weight Net weight Weight Unit Language Description Language Description Sales department Base Unit of measure Delivering plant

Value 42 ST 01 03 NORM 4 3 KG NL Standaard lamp inkoop/verkoop EN Standard Lighting Purchasing/Sales Existing sales area New sales area ST ST PM41 PA41 80

(Tax) Country (code) Tax category (code) Tax classification (code) (Sales price) Amount

Plant

Base Unit of measure Availability check Loading group Purchasing Purchasing group department Tax indication f. material GR processing time Quality management QM proc. active department QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting Currency department Current period Valuation Class Price control Price unit Standard price 8.3.3

NL MWST 1 Scale quantity 1 PM41 ST 02 0001 M41 1 100 Yes 0007 Yes 01 Yes Yes Yes

Amount 200

NL MWST 1 Scale quantity 1 10 PA41 ST 02 0001 A41 1 100

Amount 180 150

0000 No 10 Yes

EUR 09 2009 3100 S 1 65,00

EUR 3100 S 1 60,00

Material master data new material

The table shows the material master data of the new material indicated through 772, the material number.

Organisational level Data field Basic Material (number) Base Unit of Measure Material group Division GeneralItemCatGroup Gross weight Net weight Weight Unit Language Description Language Description Sales department Base Unit of measure Delivering plant (Tax) Country (code) Tax category (code)

Value 772 ST 01 03 NORM 13 12 KG NL Solair plaatje 130 W EN Solar panel 130 W Existing sales area ST PM41 NL MWST

New sales area ST PA41 NL MWST 81

Tax classification (code) (Sales price) Amount

Plant

Base Unit of measure Availability check Loading group Purchasing Purchasing group department Tax indication f. material GR processing time Quality management QM proc. active dep. QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting Currency department Current period Valuation Class Price control Price unit Standard price

1 Scale Amount quantity 1 800 10 650 PM41 ST 02 0001 M41 1 100 Yes 0007 Yes 01 10 Yes Yes Yes Yes

1 Scale quantity 1 10 PA41 ST 02 0001 A41 1 100 Yes 0000 No

EUR 09 2009 3100 S 1 600

EUR

Amount 750 600

3100 S 1 500

8.4 Pricing master data 8.4.1

Price element net sale price PR00

As a new distribution channel has been created the price schema has to be defined.

Sales organisation

Distribution channel

SO41

01 02 01

Material number 42

Description

Scale quantity

Amount

Standard lighting P/S

772

Solar Panel

1 1 10 1 10 1 10

200,00 180,00 150,00 800,00 650,00 750,00 600,00

02

8.4.2

Freight revenue KF00

As well as the price schema, the freight costs have to be defined for the new channel

Sales organisation SO41

Division 03

Distribution channel 01 02

Incoterms EXW

Description Ex Works

Amount 2,00 1,00

82

8.4.3

Price element MWST

The tax has also be defined for the new distribution channel.

Output tax Country MWST Netherland s

8.4.4 Material

Tax Class. Cust. 1

Tax class. Mat. 1

Tax code A2

Valid on 22.11.2009

Amount 19,00

Price schema sales

Distribution Price Name channel element Standard 01 PR00 Net price lighning KF00 Freight costs purchasing/ Net price excl. output tax sales MWST Output tax Net price incl. output tax 02 PR00 Net price KF00 Freight costs Net price excl. output tax MWST Output tax Net price incl. output tax

Amount 65,00 2,00 19,00 60,00 1,00 19,00

Gross weight Condition value 65,00 4,00 8,00 72,00 13,68 85,68 60,00 4,00 4,00 64,00 12,16 76,16

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9

Process description sales and distribution 9.1 Introduction 9.2 Basic sales process 9.3 Alternative sales process 9.3.1 9.3.2 9.3.3

Description sales process steps Additional information Process data flow diagram

84

85

9.3.4

Description process steps

Display Customer Master record All data needed for the sales process can be found under the customer master record. Creating Customer Master record When dealing with a new customer the new data has to be entered into the system. Important organizational levels like sales, accounting or general data have to be filled in. Checking inquiry As a first step of the sales process the inquiry of both the existing and the new customer are checked on the basis of the Customer Master data. Creating inquiry The existing customer sends an inquiry to the sales department for the existing and the new material. The delivery plant is the plant in Amsterdam. The new customer sends an inquiry to the sales department for the existing and the new material. The delivery plant is the plant in Amsterdam. In this way the data of the delivery plant is set. The inquiry needed for the quotation is the document created in this step. Creating quotation Pulles creates a quotation for each inquiry. The quotation informs the customer about the prices and the delivery date. On the basis of the inquiry the quotation is set up and sent to the customer. In this way the customer is able to confirm the quotation. Redistribution available quantities It turns out that the quotation quantities can not be delivered in time. For that reason it is decided that the unrestricted use stock in Amsterdam will be shared in a fair way by the two quotations. This redistribution is considered in the quotation document. Creating order For each quotation an order is received from the customer. There have been changes to the quotation due to redistribution in the step before. These changes are considered in the quotation document. On this new basis the order of both customers are adapted. Creating outbound delivery The orders are the basis for the outbound deliveries, which are created in a next step. The document for this step is therefore the outbound delivery. Creating picking The quantity of the outbound delivery is picked from the unrestricted use stock. The picking process refers to the outbound delivery, which was created before. Creating goods issue The materials are loaded into the truck and sent to the customer. The quantity issued refers to the picking in the step before. 86

Creating invoice/bill An employee of the accounting department creates the invoice for the goods, sent to the customer. The customers both receive an invoice for the quantity that they will be supplied with. By reason of the invoice a financial document is also created within SAP, which is only for Pulles use. Creating stock transfer order It turns out that the warehouse in Maastricht has sufficient on stock of both the existing and the new material. A purchase order (stock transfer order) is sent to the plant in Maastricht. This happens due to the fact that there was not enough stock in plant Amsterdam to cover both inquiries of the two customers. Creating outbound delivery plant Maastricht The stock transfer order results in one outbound delivery for the open quantity. This outbound delivery refers to a purchase order which was created from plant in Amsterdam. Creating picking plant Maastricht The quantity of the outbound delivery is picked from the unrestricted use stock. Creating goods issue plant Maastricht The existing and the new material are picked from the unrestricted use stock of Maastricht and loaded on the truck to transport the material to the plant in Amsterdam. Here as well a financial document is created for internal use. This document refers to the goods issued. Creating goods receipt plant Amsterdam The existing and the new material are stored in the unrestricted use stock of the plant in Amsterdam. Adapting sales order delivery scedules The availability of the sales order line items is adapted. This results in a new order document, which is created through this process. Creating outbound delivery The availability of the material for the order is checked. Following, each order results in one outbound delivery for the open quantity. This results in a new outbound delivery for the second part of the order. Creating picking The quantity of the outbound delivery is picked from the unrestricted use stock. The basis for the picking is the outbound delivery document, which was created in the step before. Furthermore, the picking document is created within this process. Creating goods issue The materials are loaded into the truck and sent to the customer. These materials were picked before and form the quantity of the second order. Creating invoice/bill An employee of the accounting department creates the invoice for the goods, sent to the customer. For internal purposes a financial document is created, which shows the accounts being affected by this process. 87

Creating incoming payment An employee of the accounting department enters the incoming payment. These incoming payments cover both invoices. Although the first invoice was sent already before. Documents created by SAP Name process step Creating inquiry Creating quotation Creating order Creating outbound delivery Creating picking Creating goods issue Creating invoice/bill Creating stock transfer order Creating outbound delivery Creating picking for PM Creating goods issue Creating goods receipt Adapting sales order delivery Creating outbound delivery Creating picking Creating goods issue Creating invoice/bill Creating incoming payment

Document name Inquiry Quotation Order Outbound delivery Picking document Material document goods issue Invoice/Bill Purchase order Outbound delivery Picking document Material document goods issue Material document goods receipt Order Outbound delivery Picking document Material document goods issue Invoice Bill part 1 & 2

Document name

Financial document Financial document

Financial document

Financial document Financial document Financial document

Preceding SAP documents Preceding process step Creating inquiry Creating quotation Creating order Creating outbound delivery Creating picking Creating goods issue Creating stock transfer order Creating outbound delivery Creating picking Creating goods issue Creating goods receipt Adapting sales order Creating outbound delivery Creating picking Creating goods issue Creating invoice/bill

Consecutive process step Creating quotation Creating order Creating outbound delivery Creating picking Creating goods issue Creating invoice/bill Creating picking Creating Picking Creating goods issue Creating goods receipt Adapting sales order Creating outbound delivery Creating Picking Creating goods issue Creating invoice/ill Creating incoming payment

Creating incoming payment

Document name, referred to Inquiry Quotation Order Outbound delivery Outbound delivery Outbound delivery Purchase (stock transfer) order Purchase order Outbound delivery Purchase order Purchase order Purchase order Orders Outbound delivery Outbound delivery Outbound delivery Invoice/bill part 1&2

External documents Name preceding process step Creating Inquiry

External document Inquiry

Incoming/outgoing Incoming

88

Creating quotation Creating order Creating outbound delivery Creating picking Creating goods issue Creating invoice/bill Creating stock transfer order Creating outbound delivery Creating picking Creating goods issue Creating goods receipt Adapting Sales order delivery Creating outbound delivery Creating picking Creating goods issue Creating Invoice/bill Creating incoming payment

Quotation Order Outbound delivery Picking Goods issue Invoice/bill Purchase (stock transfer) order Outbound delivery Picking Goods issue Goods receipt Orders Outbound delivery Picking Goods issue Invoice/bill Incoming payment

Outgoing Incoming Incoming Incoming Incoming Outgoing Outgoing* Outgoing Outgoing Outgoing Incoming Incoming Incoming Incoming Outgoing Outgoing Incoming

89

10

Executing sales and distribution process in SAP 10.1Introduction 10.2Creating inquiry 10.2.1 10.2.1.1

Inquiry existing customer Inquiry document

The table below shows the data of the customer Luiten who makes an inquiry about certain materials.

Sales organisation Distribution channel Division Sales Office Sales Group Material (number) 42 772 10.2.1.2

SO41 02 03 IS41 I41 Description Standaard lamp Ink/Verkoop Solar Plaatje

Customer number Name PO number Requested delivery date Valid from Valid to

35 Luiten 910CC4119 20.12.2009 22.11.2009 06.12.2009

Order quantity 8 10

Storage location SA41

Plant PA41

Validating sales area inquiry existing customer

The tables below show the important data from the inquiry of the existing customer. For each material the specific data is presented. Customer number Sales area

35 Customer name Luiten Sales organisation Name Distribu tion channel SO41 Sales Org. 01 Pulles 41 02

Material

42

Sales area

Sales organisation SO41

Division Name

Direkt Sales Internet Sales

03

Name Sales Org. Pulles 41

772

Sales area

Sales organisation

Standaard lamp Ink/Verkoop Distributio Name n channel 01 Direkt Sales 02 Internet Sales

Lightning equipment

Description

Material

SO41

Name

Solar Plaatje Name Distrib ution channel Sales Org. 01 Pulles 41 02

Divisi Name on 03 Lightning equipment

Description

Name

Division Name

Direkt Sales Internet Sales

03

Lightning equipment

90

Sales area inquiry Sales organisation SO41 Distribution channel 02 Division 03 Material

Description

42

Standaard lamp Ink/Verkoop Solar plaatje

772

10.2.1.3

Customer Customer number Name

Sales organisation SO41

35 Luiten

Sales area customer Sales organisation SO41 Distribution channel 01 02 Division 03

Sales area material Distribution channel 01 02 01 02

Division 03

Creating inquiry existing customer in SAP

The table below shows the results of the inquiry from the existing customer.

Inquiry number 10000141 Sales organisation Distribution channel Division Sales Office Sales Group Material 42 772

10.2.2 10.2.2.1

SO41 02 03 IS41 I41

Description Standaard lamp Ink/Verkoop Solar plaatje

Customer number Name PO number Requested delivery date Valid from Valid to

35 Luiten 910CC4119 20.12.2009 22.11.2009 06.12.2009

Order quantity 8 10

Storage location SA41

Plant PA41

Inquiry new customer Inquiry document

The table below is based on the first inquiry document table, which was mentioned before.

Sales organisation Distribution channel Division Sales Office Sales Group Material 42 772 10.2.2.2 Customer number Sales area

SO41 01 03 DS41 D41 Description Standaard lamp Ink/Verk Solar plaatje

Customer number Name PO number Requested delivery date Valid from Valid to

137 Gollum 910CC4120 20.12.2009 22.11.2009 06.12.2009

Order quantity 7 8

Storage location SA41

Plant PA41

Validating sales area inquiry new customer 137 Customer name Gollum Sales organisation Name Distribution Name Division channel SO41 Sales 01 Direkt 03 Org. Sales Pulles41

Name Lightning equipment

91

Sales area inquiry Sales organisation SO41 Distribution channel 01 Division 03 Material

Description

42

Standaard lamp Ink/Verkoop Solar plaatje

772 10.2.2.3

Customer Customer number Name

Sales organisation SO41

137 Gollum

Sales area customer Sales organisation SO41 Distribution channel 01 Division 03

Sales area material Distribution channel 01 02 01 02

Division 03

Creating inquiry new customer in SAP

The inquiry data of the table below is based on the data from the existing customer. Changes are in the distribution channel, which was created.

Inquiry number 10000142 Sales organisation Distribution channel Division Sales Office Sales Group Material 42 772

SO41 01 03 DS41 D41

Description Standaard lamp Ink/Verk Solar plaatje

Customer number Name PO number Requested delivery date Valid from Valid to

137 Gollum 910CC4120 20.12.2009 22.11.2009 06.12.2009

Order quantity 7 8

Storage location SA41

Plant PA41

10.3Analysis results

The screenshot above shows the overview of the first inquiry. It refers to the old customer Luiten, which has the number 35 (Sold-to-Party). It shows the materials, which are sold to him, the exact delivery date and the PO number, which is the indicator for this inquiry.

92

This screenshot shows the inquiry of the new customer Gollum. The customer is indicated through the Sold-toParty number 137. The address shows the place where the shipment is delivered to. Furthermore, this overview shows, which materials are exactly delivered, the description of the material and the quantity sold. This inquiry has also a PO number, which the customer can refer to.

Plant New material Date

PA41 772 MPR element

22.11.2009

Stock

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ Confirmed required quantity 10 -

Plant PA 10,000 0,000 0,000 0,000 0,000 0,000 0,000 0,000

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10.4Creating quotation 10.4.1

Quotation existing customer

Quotation number 20000135 Sales organisation Distribution channel Division Sales Office Sales Group

SO41 02 03 IS41 I41

Customer number Name PO number Requested delivery date Valid from Valid to

35 Luiten 910CC4119 20.12.2009 22.11.2009 06.12.2009 Storage location SA41

Material

Description

Order quantity

Plant

42 772

Standaard lamp Ink/Verkoop Solar Plaatje

8 10

PA41

10.4.2

Inquiry number 10000141

Quotation new customer

Quotation number 20000136 Sales organisation Distribution channel Division Sales Office Sales Group

SO41 01 03 DS41 D41

Customer number Name PO number Requested delivery date Valid from Valid to

137 Gollum 910CC4120 20.12.2009 22.11.2009 06.12.2009

Material

Description

Order quantity

Plant

Storage location

Inquiry number

42 772

Standaard lamp Ink/Verk Solar Plaatje

7 8

PA41

SA41

10000142

94

The screenshot above shows the conditions under which the first shipment to the customer will run. The total quantity of the shipment is mentioned as well as the material this overview refers to (42). The calculation in the lower part of the screenshot shows that the customer will receive a discount of 2% on the quantity bought. The quotation number on top shows that this overview refers to the new customer Gollum and the inquiry he made. It shows the first part referring to the old material with a quantity of 7.

The quotation number at the upper part of this screenshot shows that this refers also to the inquiry of the new customer Gollum. As indicated at he top the new material is the matter of this quotation with an amount of 8. The customer will get an discount of 3% as was entered in the SAP system before.

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10.5Redistribution available quantities 10.5.1

Availability checking existing customer

Quotation number

2000013 5

Material number 42 772

Description

Plant

Material availability date

Standaard lamp I/V Solar Plaatje

PA41

20.12.2009 20.12.2009

10.5.2

Customer number

35

Name

Luiten Confirmed quantity 8 10

Availability checking new customer

Quotation number

2000013 6

Customer number

137

Name

Gollum

Material number 42

Description

Plant

Material availability date

Standaard lamp I/V

PA41

772

Solar Plaatje

20.12.2009 02.03.2010 20.12.2009 02.03.2010

Confirmed quantity 7 0 0 8

The reason that there is not confirmed quantity for the new material on the 20.12.2009 is that the stock of the new material is only 10. The first customer already inquiried 8, which leave only 2 items for the new customer. As the total amount cannot be met by the company, Gollum will not receive any item unless the stock is backfilled.

10.5.3

Analysis results

The screenshot above shows the document flow of the first quotation. This is indicated through the quotation numer 20000135. It shows that two line items are mentioned in this quotation with amounts of 8 and 10 and their value. The status of the quotation is still open as the order must be set for this.

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The screenshot shows the document flow for the second quotation, which is indicated through the quotation number 20000136 but also through the inquiry number 100000142. As the first document flow it shows that the quotation refers to two line items, which can be seen at the two quotation lines with different number 20000136/10 and 200000136/20. The quantities of the two line items 7 and 8 are showns as well as the amounts. As with the first document flow the status of the quotations are still open as the order must be set.

As indicated through the quotation number at the top of this screenshot, the overview of the first quotation is shown. Number 35 shows that this is referring to the old customer’s quotation, which will be delivered on the 20th of December, 2009. The two line items which are concerned are shown in the item overview at the lower part. The order quantity of both materials is shown.

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The screenshot shows the overview of the quotation 20000136. The nuber indicates that this is referring to the new customer 137, Gollum. It shows the line items 10 and 20, which refer to the quotation, which the customer made. The quantity amounts 7 and 8 of the old and the new material are shown, as well as the delivery date of these items.

Plant New material Date

PA41 772 MPR element

22.11.2009 20.12.2009 20.12.2009

Stock Quottn Quottn

42 Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 10 0020000135/000020/0001 100020000136/000020/0001 8-

Confirmed 10 0

Plant PA 15,000 0,000 0,000 0,000 15,000 0,000 0,000 0,000

The customer orders do match the stock quantity. Therefore, this material can be delivered immediately.

772 Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

Plant PA 10,000 0,000 0,000 0,000 18,000 0,000 0,000 0,000

This table shows that the customer quotations exceed the stock, which is available of the new material 772.

98

10.5.4 10.5.4.1

Adapting quotation quantity Introduction

The tables below show that the amount in stock at Plant Amsterdam of the new material does not match the inquiries of the customers, which order 10 and 8 items, which would make a total 18. Therefore, the quantity has to be adapted as otherwise the distribution of the products, would be unfair.

Material

Plant

Standaard lamp I/V Solar Plaatje

PA41

Quotation number

20000135

Material number

Description

42

Standaard lamp I/V Solar plaatje

772

Unrestricted use stock quantity 15 10

Goods receipt processing time 100 100

Nearest possible confirmation date 02.03.2010 02.03.2010

Customer number

35

Quotatio n quantity 8

Plant

Delivery date/conf. date

Confirmed quantity

PA41

20.12.2009 02.03.2010 20.12.2009 02.03.2010

8 0 5 5

10

Name

Current day 22.11.200 9

Quotation 20000136 number

Customer number

13 7

Material number

Description

Plant

Delivery date/conf. date

Confirmed quantity

42

Standaard lamp I/V Solar Plaatje

Quotatio n quantity 7

PA41

20.12.2009 02.03.2010 20.12.2009 02.03.2010

7 0 5 3

772

8

Name

Luiten

Gollum

10.5.4.2

Entering adapted quotation quantities existing customer

10.5.4.3

Entering adapted quotation quantities new customer

10.5.4.4

Entering adapted quotation quantities existing customer revisited

10.5.5

Analysis results

Plant New material Date

PA41 772 MPR element

22.11.2009 20.12.2009

Stock Quottn

MRP element data

Received/ required quantity 10 0020000135/000020/0001 10-

Confirmed 5 99

20.12.2009

Quottn

0020000135/000020/0001 8-

5

100

10.6Creating order 10.6.1

Entering order existing customer

The table shows the summary of the inquiry of the existing customer with the order number 171.

Order number Sales organisation Distribution channel Division Sales Office Sales Group

171 SO41 02 03 IS41 I41

Customer number Name PO number Requested delivery date

35 Luiten 910CC4119 20.12.2009 Storage location SA41

Material

Description

Order quantity

Plant

42 772

Standaard lamp Ink/Verkoop Solar Plaatje

8 10

PA41

10.6.2

Quotation number 20000135

Entering order new customer

The table shows the summary of the inquiry of the new customer with the order number 172.

Order number Sales organisation Distribution channel Division Sales Office Sales Group

172 SO41 01 03 DS41 D41

Customer number Name PO number Requested delivery date

137 Gollum 910CC4120 20.12.2009

Material

Description

Order quantity

Plant

Storage location

Quotation number

42 772

Standaard lamp Ink/Verk Solar Plaatje

7 8

PA41

SA41

20000136

101

10.6.3

Analysis results

The order for the quotations was set and as it is shown at the upper part of this screenshot, is refers to the first quotation. This is indicated through the PO number 910CC4119. Still both line items with the same amounts of 8 and 10 are displayed. The incoterms are also set. Incoterms are special trade rules, which retailers need to stick to.

This screenshot displays the second quotation from the new customer, indicated through the PO nuber 910CC4120. Also the Sold-to-Party number 137 indicates the customer Gollum. The two line items for the materials 42 and 772 are displayed as well as their quantity. As well as with the first quotation the incoterms are set at EXW.

102

The screenshot above shows again the document flow referring to the first inquiry. The second step the quotations are now completed as the order was set. This is also indicated through the order number 0000000171, which is the next step under the quotation. As the outbund delivery is not made yet, the status of the order is still open meaning incomplete.

As the screenshot before this screenshot also displays the document flow but this time referring to the second inquiry, which is indicated through the quotation number at the top. The order number also differs from the first one. As well as for the first quotation the status of the order is open as the outbund delivery has not been set yet but will be the next step for the completion of the order.

Plant New material Date

PA41 772 MPR element

22.11.2009 20.12.2009 20.12.2009

Stock Cusord Cusord

MRP element data

Received/ required quantity 10 0000000171/000020/0001 100000000172/000020/0001 8-

Confirmed 5 5

103

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

Plant PA 10,000 0,000 0,000 0,000 0,000 18,000 0,000 0,000

Still there is not enough stock to meet the customers’ orders. Both customers will first receive a quantity of 5, which is fair for both.

104

10.7Creating outbound delivery The tables below show that the quantities of the new material that the customers ordered has been adapted in a fair way, as both customers will receive exactly the same amount of items.

Outbound delivery number Sales organisation Shipping point

80000347 SO41 PA41

Material number

Description

42 772

Standaard lamp Ink/Verkoop Solar Plaatje

Outbound delivery number Sales organisation Shipping point

Customer number Name Delivery quantity 8 5

Plant PA41

35 Luiten Storage location SA41

Order number 171

800000348 SO41 PA41

Material number

Description

42 772

Standaard lamp Ink/Verk Solar Plaatje

Delivery quantity 7 5

Customer number Name Plant PA41

137 Gollum Storage location SA41

Order number 172

In comparison to the last document flow the status of the order for the first line item is completed now, as the outbound delivery is set. For the second line item the order is still in process. The reason for this is that there was not enough stock to cover the inquiry of the first and the second customer. This problem has to be solved before the order can be completed. Therefore, the outbound delivery for the second line item is still open.

105

The document flow shows that the next step, the outbound delivery has been completed for the first line item. The outbound delivery for the second line item is not yet completed as there were complications with the stock to be used. As the total amount which was inquired by the two customers exceeded to total quantity in stock. Therefore, the order for the second line item also for this quotation is still in process.

This screenshot shows the overview of the outbound delivery. The quantity of the second item was set on 5 items for this delivery as the stock amount was lower than the quantity of the quotation. As indicated at the right of this screenshot the total amount of the delivery should be 10. Therefore, there are another 5 that shall be delivered at some later point in time.

The screenshot shows the outbound delivery for the second quotation, which is indicated through the number at the top ending with 348 instead of 347. The amount for the second line item, which refers to the new material is also set at 5. On the right there is the actual quantity of the delivery 8. So there are an additional 3 items, which have to be delivered to the new customer Gollum.

106

Plant New material Date

PA41 772 MPR element

22.11.2009 20.12.2009 20.12.2009 20.12.2009 20.12.2009

Stock Cusord Cusord Delvy Delvy

MRP element data

Received/ required quantity 10 0000000171/000020/0001 50000000172/000020/0001 300800000347/000020/0000 500800000348/000020/0000 5-

Confirmed 0 0 5 5

As determined before, both customers will receive a quantity of 5.

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. for delivery Stock in transit

Plant PA 10,000 0,000 0,000 0,000 0,000 8,000 10,000 10,000

There were not changes in stock and therefore, only 10 items of the ordered 18 can be delivered. Due to that reason there are additional 8, which are ordered but cannot be delivered yet. Nevertheless, it as confirmed that a quantity of 5 will be delivered to each customer, which is indicated through the quantity of 10, in schedule for delivery.

107

10.8Creating picking The tables below contain the data needed for the picking of the material, with the exact amount of the picking, for the existing and new customer.

Outbound delivery number Sales organisation Shipping point

80000347 SO41 PA41

Material number

Description

42 772

Standaard lamp Ink/Verkoop Solar Plaatje

Outbound delivery number Sales organisation Shipping point

Customer number Name Delivery date Delivery quantity 8 5

Picked quantity 8 5

35 Luiten 20.12.2009 Plant PA4 1

Storage location SA41

Order number 171

80000348 SO41 PA41

Material number

Description

42 772

Standaard lamp Ink/Verk Solar Plaatje

Customer number Name Delivery date Delivery quantity 7 5

Picked quantity 7 5

Plant PA41

137 Gollum 20.12.2009 Storage location SA41

Order number 172

Due to changes of the quantity the outbound delivery is still being processed. Nevertheless the next step could actually be completed namely the picking request. As this is only a request this step could be completed before the outbound delivery is done. The changes of the quantity are indicated at the lower part of the screenshot. The quantity is 5 instead of 10, which are asked by the customer.

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The same as above goes for this document flow. The outbound delivery process is not completed yet but still the next step of the picking request could already been completed. At the lower part of this screenshot it is indicated that the quantity for the new material, which shall be delivered changed from 8 to 5.

109

10.9 Creating goods issue

This document flow, referring to the first quotation indicates that the goods are ready for delivery. The process of the outbound delivery has not been completed yet, as the transportation has not taken place yet.

As with the screenshot before, this document flow shows that the goods, which shall be delivered are ready for transportation. As this step has not yet been completed the process of outbound devlivery is still not completed.

110

The screenshot above refers to the first quotation and its shipment, which is indicated through the goods issue number ending with 670 at the top. The overview shows, which materials are concerned and the exact amount, which will be delivered. The material slip number is the quotation number, which also indicates that this overview refers to the first quotation.

The overview above shows the screenshot referring to the second quotation indicated through the material slip 0080000348. As the first screenshot is shows the material, which is part of this quotation and the exact amount that will be delivered. The plant PA41 indicates the shipping point, meaning the plant where the items are picked up for delivery.

G/L accounting number 310000

Description Trading goods

101100

Intermediate account

111

The screenshot above shows the financial document of the first quotation. The amount of 480,- Euro refers to the first line item, as the amount of 2.500,- refers to the second. The reference number on top shows that this overview refers to the first quotation for the old customer Luiten. The intermediate account is affected as no ingoing payment has taken place yet.

The screenshot shows the overview of the second quotation, which is shown through the reference umber, which is the quotation number. The difference of 60,- Euro for the first line item exists by reason of different quantity, which will be delivered. As no ingoing payment has taken place yet, the intermediate account is affected, instead of the bank account.

G/L accounting number

Description

310000 101100 310000 101100 310000 101100 310000 101100

Trading Goods Intermediate account Trading Goods Intermediate account Trading Goods Intermediate account Trading Goods Intermediate account

Debit

Credit 480,00

480,00 2.500,00 2.500,00 420,00 420,00 2.500,00 2.500,00

112

As already mentioned before the two accounts of trading goods and intermediate account are being affected through the process of the outbound delivery. The account of trading goods decreased in comparison and the intermediate account increased. As the ingoing payment will take place, the intermediate account will be cleared and bank account will be affected.

Plant New material Date

PA41 772 MPR element

22.11.2009 20.12.2009 20.12.2009

Stock Cusord Cusord

MRP element data

Received/ required quantity 0 0000000171/000020/0001 50000000172/000020/0001 3-

Confirmed 0 0

Both customers still require a specific amount of materials.

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

Plant PA 0,000 0,000 0,000 0,000 0,000 8,000 0,000 0,000

Due to the outbound deliveries which took place the stock of the new material is cleared now but an amount of 8 items is still requested by customers, which is shown through the sales orders.

113

10.10

Creating invoice/bill

The tables below show the necessary data for the posting of the invoices for both customers. Furthermore the second tables referring to the first tables show that the invoices have been posted.

Outbound delivery number 80000347 Sales organisation SO41 Customer number Distribution channel 02 Name Division 03

35 Luiten

Material Description

Delivery quantity

Price element

Name

42

8

PR00 KF00

772

Standaard lamp Ink/Verkoop

Solar Plaatje

Invoice number Sales organisation Distribution channel Division Sales Office Sales Group

5

Amount

Gross weight

Net Price 65,00 Freight 2,00 4 revenue MWST Output 19,000 Tax Gross price incl. output tax PR00 Net 800,00 Price KF00 Freight 1,00 13 revenue MWST Output 19,000 Tax Gross price incl. output tax Total invoice amount

Conditi on value 65,00 8,00 12,35 85,35 800,00 13,00 152,00 965,00 1050,35

90000240 SO41 02 03 IS41 I41

Customer number Name Invoice date

Material

Description

Quantity

Plant

42 772

Standaard lamp Ink/Verkoop Solar Plaatje

8 5

PA41

35 Luiten 22.11.2009

Storage location SA41

Outbound delivery number 80000347

114

Outbound delivery number Sales organisation SO4 1 Distribution channel 01 Division 03

80000348 Customer number

Material

Description

42

Standaard lamp Ink/Verkoop

Delivery quantity 7

772

Solar Plaatje

Invoice number Sales organisation

Name

5

137 Gollum

Price element PR00 RA00

Name

Amount

Gross weight

Net Price 65,00 Discount from net 2,00 KF00 Freight 2,00 4 Revenue MWST Output tax 19,00 Gross price incl. output tax PR00 Net Price 800,00 RA00 Discount 3,00 from net KF00 Freight 1,00 13,00 Revenue MWST Output tax 19,00 Gross price incl. output tax Total invoice amount

Condition value 65,00 1,30 8,00 12,35 86,65 800,00 24,00 13,00 152,00 989,00 1075,65

90000241 SO41

Distribution channel Division

01 03

Sales Office Sales Group

DS41 D41

Customer number Name Invoice date

Material number

Description

Quantity

Plant

42 772

Standaard lamp Ink/Verk Solar Plaatje

7 5

PA41

137 Gollum 22.11.2009

Storage location SA41

Outbound delivery number 80000348

115

The document flow is the document flow of the first quotation, indicated through the numbers of the quotation, the inquiry, the outbound delivery etc. As mentioned before, no ingoing payment has taken place for the delivered goods. This is indicated by the status of the accounting document, which is the next step of the process. As long as no ingoing payment took place, the intermediate account will not be cleared and the process not completed.

The screenshot above shows the document flow for the second quotation. The order process is not yet completed as no ingoing payment has taken place yet. This is also shown through the status of the accounting document, which is “not cleared”. That means that the intermediate account has to be cleared, which will happen through an ingoing payment. The intermediate account will be affected as well as the bank account.

116

The invoice above is referring to the first quotation, which is indicated through the reference 347 in the middle of this document. The payer of the invoice 35, is the old customer Luiten, which is also indicated at the top of this overview. It shows the items, which are affected by this invoice and shows the exact billed quantity. The new quantity of the second line item has also been adapted to 5 instead of 10 items.

The screenshot above shows the invoice for the customer 137, Gollum, indicated through the “payer” at the top of the overview. As with the first invoice the quantity of the new material has also been adapted to 5 instead of 8. The reference number 348 also indicates that this invoice refers to the second quotation.

The screenshot above shows the financial accounting document for the first quotation, indicated through the reference number 910CC4119. As the invoice was set the customer account 35 of the customer Luiten is affected. As it is a revenue the amount of 5.283,72 is debited on this account. The other accounts that are affected through the invoice process are also mentioned.

117

The screenshot above refers to the second quotation indicated through the reference number 910CC4120 at the top of this document. The customer account 137 of Gollum is debited with an amount of 6.471,22 Euro as this is a revenue. In contrast to the old customer, Gollum will receive discounts on the old and new material, therefore, the customer discount account is also affected. The discount are 2% on the old and 3% on the new material, which was entered in the SAP system before.

G/L accounting number 140000 800000 802000 175000 880000

Description Customer receivables Sales revenue Freight revenue Output tax Customer discounts

G/L accounting number 35 800000 802000 175000 800000 802000

Description Luiten Sales revenue Freight revenue Output Tax Sales revenue Freight revenue

Debit 5.283,72

137 800000 880000 802000 175000 800000 880000 802000

Gollum Sales revenue Customer discount Freight revenue Output Tax Sales revenue Customer discount Freight revenue

6.471,22

Credit 1.440,00 0,03 843,62 3.000,00 0,07 1.400,00

28,00 56,00 1.033,22 4.000,00 120,00 130,00

118

The screenshot above shows the financial statement after the process of the outbound delivery. As mentioned in the table before the customer accounts are affected, in this overview it is the 140000 Customers – Domestic Receivables 1 account. It shows the total amount of the customers payment. The discount is mentioned individually in the 880000 account at the end of this overview. As it is an ingoing payment the output tax is affected as well.

119

10.9Creating stock transfer order 10.9.1

Stock quantity plant PM

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

Plant PM 15,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Plant PA 0,000 0,000 0,000 0,000 0,000 8,000 0,000 0,000

Due to some reasons the total amount of 50 units has to been transferred to unrestricted use, but only 25.

10.9.2

Extending distribution channel material

10.9.2.1

Introduction

10.9.2.2

Material master data existing material

The table shows the material master data of the existing material.

Organisational level Data field Basic Material (number) Base Unit of Measure Material group Division GeneralItemCatGroup Gross weight Net weight Weight Unit Language Description Language Description Sales department Base Unit of measure Delivering plant (Tax) Country (code) Tax category (code) Tax classification (code) (Sales price) Amount

Plant

Base Unit of measure

Value 42 ST 01 03 NORM 4 3 KG NL Standaard lamp inkoop/verkoop EN Standard Lighting Purchasing/Sales Existing sales New sales area Plant area replenish ment ST ST ST PM41 PA41 PA41 NL NL NL MWST MWST MWST 1 1 1 Scale Amount Scale Amount quantity quantity 1 200 1 180 10 150 PM41 PA41 ST ST 120

Availability check Loading group Purchasing Purchasing group department Tax indication f. material GR processing time Quality management QM proc. active department QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting Currency department Current period Valuation Class Price control Price unit Standard price 10.9.2.3

02 0001 M41 1 100 Yes 0007 Yes 01 Yes Yes Yes

02 0001 A41 1 100 0000 No 10 Yes

EUR 11 2009 3100 S 1 65,00

EUR 3100 S 1 60,00

Material master data new material

The table shows the material master data of the new material.

Organisational level Data field Basic Material (number) Base Unit of Measure Material group Division GeneralItemCatGroup Gross weight Net weight Weight Unit Language Description Language Description Sales department Base Unit of measure Delivering plant (Tax) Country (code) Tax category (code) Tax classification (code) (Sales price) Amount

Plant

Base Unit of measure

Value 772 ST 01 03 NORM 13 112 KG NL Solair Plaatje EN Solar Panel Existing sales area

New sales area

ST ST PM41 PA41 NL NL MWST MWST 1 1 Scale Amount Scale Amount quantity quantity 1 800 1 750 10 650 10 600 PM41 PA41 ST ST

Plant replenish ment ST PA41 NL MWST 1

121

Availability check Loading group Purchasing Purchasing group department Tax indication f. material GR processing time Quality management QM proc. active dep. QM control key Inspection setup Inspection type Active Post to inspection stock Inspection with mat. specification Accounting Currency department Current period Valuation Class Price control Price unit Standard price 10.9.3

02 0001 A41 1 100 Yes 0000 No 10 Yes

EUR 11 2009 3100 S 1 600

EUR 3100 S 1 500

Stock transfer order

Purchase order number Item 10 20

02 0001 M41 1 100 Yes 0007 Yes 01 Yes Yes Yes

Material (number) 42 772

450000025 Supplying plant PM41 7 Quantity Plant Storage location 10 PA41 SA41 10

This screenshot shows the purchase order for the internal transfer of stock. It is displayed that both the existing and the new material will be delivered at a quantity of 10. The supplying plant is as indicated in the top part of the screenshot the Plant in Maastricht. This screenshot shows only on of the two line items in the lower part as there is the option to choose between these two in the item details part.

122

Plant New material Date

PA41 772 MPR element

30.11.2009 10.03.2010 20.12.2009 20.12.2009

Stock POitem Cusord Cusord

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 0 4500000257/00020/0001 10 0000000171/000020/0001 -5 0000000172/000020/0001 -3

Plant PM 15,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Confirmed 0 0

Plant PA 0,000 0,000 0,000 0,000 0,000 8,000 0,000 0,000

Actually the amount of 10, which is missing for the full amount of Plant Maastricht, should have been in schedule for delivery, as an internal stock transfer will take place. Nevertheless, the difference of total 50 items and in this table only 40 items is not of importance for the further procedure.

123

10.12 Creating outbound delivery plant Maastricht

The screenshot above shows the outbound delivery for the two material. This document refers to the purchase order, which was created before. It is an internal stock transfer, which is indicated through the “Ship-to-party” at the top of this screenshot. The goods issue is planned for the 30.11.2009, as a next step of this process.

Outbound delivery number Sales organisation Shipping point

80000370 SO41 PM41

Material number

Description

42 772

Standaard lamp Ink/Verk Solair Plaatje

Delivery quantity 10 10

Customer number Name Plant PM41

PLANT PA41 Van Santen Storage location SM41

Purchase order number 4500000257

The screenshot shows the document flow of the processes, which were conducted up until now. It shows that a purchase order was created, which includes two line items, referring to the two material. The Replenishment refers to the outbound delivery. This process however, has not been completed yet, which is indicated through the status at the end of both replenishment lines.

124

The screenshot above shows the purchase order history of the first line item, the existing material of the purchase order, which was created before. It shows, that an outbound delivery with the number 80000370 has been created, with a quantity of 10 items of the material.

This screenshot shows the same overview as the one before but this time the lower part refers to the second line item. The outbound delivery has the same number as for the first screenshot, as both materials belong to one purchase order and therefore, refer to the same documents.

The screenshot above shows the outbound delivery of the internal stock transfer. It is displayed that the materials 772 and 42 are delivered to Plant Amsterdam.

125

Plant New material Date

PA41 772 MPR element

30.11.2009 10.03.2010 02.03.2010 02.03.2010

Stock POitem Cusord Cusord

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 0 4500000257/00020/0001 10 0000000171/000020/0001 0 0000000172/000020/0001 0 772 Plant PM 15,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Confirmed 5 3

Plant PA 0,000 0,000 10,000 0,000 0,000 8,000 0,000 0,000

The transfer has now been proceeded and therefore, the on order stock of PA is now 10.

126

10.13

Creating picking plant Maastricht

The information in the table below is the necessary data for the picking process at Maastricht.

Outbound delivery number Sales organisation Shipping point

80000370 SO41 PM41

Customer number PLANT PA41 Name Van Santen Planned GI date 30.11.2009

Material number

Description

Delivery quantity

Picked quantity

Plant

42

Standaard lamp Ink/Verkoop Solair Plaatje

10

10

PM41

10

10

772

Storage locatio n SM41

Purchase order number 4500000257

127

10.10

Creating goods issue plant Maastricht

The following table shows the information, which is necessary for the creation of goods issue at Plant Maastricht.

Material document number Item Material Quantity 10 42 10 20 772 10

4900000703 Plant PM41

Storage location SM41

Purchase order number 4500000257 4500000257

Line item 10 20

The screenshot above shows the document including the steps after the outbound delivery, which has been completed now. Furthermore the picking process has also been completed and goods have been issued.

The screenshot above shows the purchase order of the two line items, this one referring to the first line item. The goods have been issued now, which is indicated through the material document number 4900000703.

The screenshot above shows the second line item of the purchase order. As well as for the first line item the goods have been issued. As the two line item belong to the same purchase order, there is no difference in the material document number, which was created through this process.

128

This screenshot shows that the material 42 Standard Lighting Purchase/Sales will be transferred from Plant Maastricht to Plant Amsterdam.The delivery note number is the outbound delivery number, which is the document referred to.

The screenshot above shows that the new material 772 Solar Panel will be transferred from Plant Maastricht to Plant Amsterdam. The delivery note document number, is the number of the outbound delivery, which is referred to here as well, as the two material belong to one purchase order in this case.

129

This screenshot shows the accounting information, which belongs to the internal data transfer. Trading goods are decreased as a result of the internal stock transfer and paid for. As there evolved stock transfer costs, this account is also affected by the internal stock transfer.

G/L accounting number 310000 310000 235000 310000 310000 235000

Description Trading goods Trading goods Stock trsfr expense Trading goods Trading goods Stock trsfr expense

Debit

Credit 6,000.00

5,000.00 1,000.00 650.00 600.00 50.00

The screenshot above shows the current financial status of the company. In contrast to the screenshot 9.9 of the financial statement there are changes of trading goods in this screenshot. These changes are due to the stock transfer and affect the trading goods account. The transfer costs are subtracted, therefore, the amount is lower now. This is also obvious through the stock transfer account, which is affected with the same amount as the trading goods account.

130

Plant New material Date

PA41 772 MPR element

30.11.2009 10.03.2010 02.03.2010 02.03.2010

Stock POitem Cusord Cusord

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 0 4500000257/00020/0001 10 0000000171/000020/0001 0 0000000172/000020/0001 0 772 Plant PM 15,000 25,000 0,000 0,000 0,000 0,000 0,000 0,000

Confirmed 5 3

Plant PA 0,000 0,000 10,000 0,000 0,000 8,000 0,000 0,000

131

10.11

Creating goods receipt plant Amsterdam

The following table shows the information, which is needed for the creation of the goods receipt in Amsterdam.

Material document number Item Material Quantity 10 42 10 20 772 10

5000000544 Plant PA41

Storage location SA41

Purchase order number 4500000257 4500000257

Line item 10 20

The screenshot above shows that for the first line item of the purchase order the goods receipt process was completed now.

As the screenshot before, this one also refers to the goods receipt of the purchase order. This time it displays the purchase order history of the second line item, the new material. The material document number created for the goods reeipt is therefore, the same as for the first line item.

132

The screenshot above shows the material document information referring to the interal stock order transfer. It shows that the quantity of 10 of both materials wer delivered to Plant Amsterdam

For this process there is no accounting document as the financial process of the internal stock transfer has already been booked at the outbound delivery process before. Plant New material Date

PA41 772 MPR element

03.12.2009 02.03.2010 02.03.2010

Stock Cusord Cusord

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

MRP element data

Received/ required quantity 10 0000000171/000020/002 0 0000000172/000020/002 0

Confirmed 5 3

Plant PA 10,000 0,000 0,000 0,000 0,000 8,000 0,000 0,000

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10.12

Adapting sales order quantities

Order number 171

Customer number

35

Name

Luiten

Material 42

Description Plant Delivery date/conf. date Confirmed quantity Standaard lamp PA41 I/Verk. 772 Solair Plaatje 20.12.2009 5 For the existing material there is no need for adapting the sales order quantities, as the stock of this material was sufficient in Plant Amsterdam. Order number 172 Material 42 772

Customer number

Description Standaard lamp I/Verk. Solair Plaatje

Plant New material Date

PA41 772 MPR element

03.12.2009 20.12.2009 20.12.2009

Stock Cusord Cusord

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit

137

Plant PA41

Name

Gollum

Delivery date/conf. date -

Confirmed quantity -

20.12.2009

3

MRP element data

Received/ required quantity 10 0000000171/000020/0001 -5 0000000172/000020/0001 -3

Confirmed 5 3

Plant PA 10,000 0,000 0,000 0,000 0,000 8,000 0,000 0,000

134

10.13

Creating outbound delivery

Outbound delivery number Sales organisation Shipping point

80000382 SO41 PA41

Material

Description

42 772

Standaard lamp Ink/Verkoop Solair Plaatje

Outbound delivery number Sales organisation Shipping point

Customer number Name Delivery date

35 Luiten 20.12.2009

Delivery quantity

Plant

Storage location SA41

5

PA4 1

Order number 171

80000383

Material

Description

42 772

Standaard lamp Ink/Verkoop Solair Plaatje

SO41 PA41

Customer number Name Delivery date

137 Gollum 20.12.2009

Delivery quantity

Plant

Storage location SA41

3

PA4 1

Order number 172

The screenshot above shows the workflow document of the internal stock transfer. All steps have been completed so far except for the accounting process. This is because no payment has been proceeded yet.

135

The screenshot above shows the first outbound delivery. It refers to the first order of the first customers, which is indicated through the quantity of 5 items and the Ship to Party, which is number 35 Van Luiten.

This outbound delivery refers to the second order from the new customer, which is indicated through the customer number 137 from Gollum. Furthermore, the quantity indicated that it refers to the second customer, who ordered only a quantity of 3.

Plant New material Date

PA41 772 MPR element

03.12.2009 20.12.2009

Stock Delvry Delvry

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. for delivery Stock in transit

MRP element data

0080000382/000010/0000 0080000383/000010/0000

Received/ required quantity 10 -5 -3

Confirmed 5 3

Plant PA 10,000 0,000 0,000 0,000 0,000 0,000 8,000 8,000

136

10.14

Creating picking

Outbound delivery number Sales organisation Shipping point

80000382 SO41 PA41

Material

Description

42 772

Standaard lamp Ink/Verkoop Solair Plaatje

Outbound delivery number Sales organisation Shipping point Material

Description

42

Standaard lamp Ink/Verkoop Solair Plaatje

772

Delivery quantity

Customer number Name Delivery date Picked quantity

Plant PA41

5

8000038 3 SO41 PA41

Storage location SA41

Order number 171

5

Customer number Name Delivery date

Delivery quantity

Picked quantity

Plan t PA4 1

3

35 Luiten 20.12.2009

137 Gollum 20.12.2009 Storage locatio n SA41

Order numbe r 172

3

As the whole process is executed on the basis of the two order numbers, there are two document flows. This one above shows the document flow for the first order 171, which refers to the quantity of 5 items, for the existing customer. The picking has already been done. But the step of outbound delivery has not yet been completed as the goods issue has not been created yet. Moreover, due to no payment, the accounting process has not taken place yet.

137

This screenshot refers to the second order 172, from the second customer. The process is the same as with the screenshot before. The accounting process has not been finished yet by reason that no payment has been made. The picking process is finished now and the outbound delivery process will be completed with the creation of goods issue.

138

10.15

Creating goods issue

The screenshot above shows the document flow for the first order. In comparison to the document flow, which was displayed before, the goods issue has been created now. The outbound delivery process is still not finished as the invoice needs to be posted. Only if a payment has taken place the accounting process will be finished.

The screenshot above refers to the second order from the new customer. Here as well the process of the outbound delivery has not yet been completed as a reason of not invoice has been posted yet. Nevertheless another step the creation of the goods issue is completed now. The accounting document is not cleared as no payment has taken place yet.

139

The screenshot above shows the overview level of the material document, which was created during the process of the internal stock transfer. It shows that the quantity of 5 of the material 772 has now been transferred to the Plant in Amsterdam. The material slip at the top of the screenshot refers to the outbound delivery, which was created for the internal transfer of this amount, for the existing customer.

As the screenshot before, the screenshot above shows the material document, which was created on basis of the internal transfer. This one refers to the second outbound delivery indicated through the material slip at the top of the screenshot 80000383. The quantity of 3 has been transfered to Plant Amsterdam now.

The screenshot above shows the accounting document, which was created for the first outbound delivery. The amount referring to the goods transfered is credited from the account of trading goods. The intermediate account has been debited as no payment has been proceeded yet. Therefore, the accounting process has not been finished, as indicated already in the document flow.

140

This screenshot refers to the second outbound delivery, which is indicated through the reference nuber 0080000383 in the middle of the screenshot. As with the screenshot before, it is displayed, that tha trading goods are credited with the amount of 1.500 referring to the 3 items, which are transfered. Here as well the payment has not yet taken place, therefore, the intermediate account has been credited on. As long as there will be no payment for the goods, this account will be credited.

G/L accounting number 310000 101100 310000 101100

Description Trading Goods Intermediate account Trading Goods Intermediate account

Debit

Credit 2.500,00

2.500,00 1.500,00 1.500,00

In comparison to the financial statement before the trading goods are now decreased by the amount of 4.000 Euro, which is a result of the internal stock transfer. The bank account has not been affected yet, as not payment has taken place until now. The intermediate account is affected but is on the financial statement, but it will be cleared, when the payment is done.

Plant New material Date

PA41 772 MPR element

03.12.2009 -

Stock POitem Cusord

MRP element data -

Received/ required quantity 2 -

Confirmed -

141

New material Stock type Unrestricted use Quality inspection On order stock Cust. Inquiries Cust. Quotations Sales orders Schd. For delivery Stock in transit 10.16

Plant PA 2,000 0,000 0,000 0,000 0,000 0,000 0,000 0,000

Creating invoice/bill

Below the gross price (incl. output tax) for the existing customer iscalculated for the existing and the new material.

Outbound delivery number 80000382 Sales organisation SO41 Customer number Distribution channel 02 Name Division 03

35 Luiten

Material Description

Name

42

Standaard lamp Ink/Verk

772

Solair Plaatje

Invoice number Sales organisation Distribution channel Division Sales Office Sales Group

Delivery quantity

Price element

Condition value

800.00 1.00

800.00 13.00

PR00 KF00

5

Net Price Freight revenue MWST Output Tax Gross price incl.output tax PR00 Net Price KF00 Freight revenue MWST Output Tax Gross price incl.output tax

Amount Gross weight

13

19

152.00 965.00 Total invoice amount 965.00

90000265 SO41 02 03 IS41 I41

Customer number Name Invoice date

Material number

Description

Quantity

42 772

Standard lamp Ink/Verkoop Solair Plaatje

5

Plant PA41

35 Luiten 03.12.2009

Storage location SA41

Outbound delivery number 80000382

142

Below the gross price (incl. output tax) for the new customer is calculated for the existing and the new material. Fill in the following table. Outbound delivery number 80000383 Sales organisation SO4 Customer number 137 1 Distribution channel 01 Name Gollum Division 03 Material

Description

42

Standard lamp Ink/Verk

772

Solair Plaatje

Invoice number Sales organisation

Delivery quantity

3

Price element PR00 RA00

Name

Amount

Gross weight

Net Price Customer discount KF00 Freight revenue MWST Output Tax Gross price incl.output tax PR00 Net Price 800.00 RA00 Customer 3.00 discount KF00 Freight 1.00 13 revenue MWST Output Tax 19 Gross price incl.output tax Total invoice amount

Condition value

800.00 24.00 13.00 152.00 989.00 989.00

90000266 SO41

Distribution channel Division

01 03

Sales Office Sales Group

DS41 D41

Material number

Description

Quantity

42 772

Standard lamp Ink/Verk Solair Plaatje

3

Customer number Name Delivery date

Plant PA41

137 Gollum 03.12.2009

Storage location SA41

Outbound delivery number 80000383

143

The document flow above refers to the first order of the existing customer. The process of outbound delivery has now been completed as the invoice has been posted. The accounting document is not cleared, which is a result of no payment. As long as the payment of the trading goods has not taken place, the intermediate account will be debited and the accounting process not completed.

144

As the screenshot before, this screenshot shows the document flow, but this time referring to the second order of the new customer. This is indicated through the different quantity of 3 at the lower part of the screenshot. Here as well the accounting process is not been finished, as the payment of the transfered trading goods has not taken place yet.

The screenshot above shows the overview level of the first invoice. This incoive refers to the first outbound delivery, which is indicated through the reference number 80000382 and the order number 171. The payer of this invoice is Luiten, which is indicated through the customer number 35.

This screenshot refers to the second outbound delivery indicated through the number 8000383 and shows the overview level of the invoice for the new customer 137 Gollum. The quantity which will be delivered to the customer is three, just as indicated before in the outbound delivery process (picking and goods issue).

145

The screenshot above shows the accouting document, which has been created within the process of outbound delivery. The basis for this accouting document is the invoice, which has been created as last step of the outbound delivery. It shows the exact amount that the customer Luiten has to pay for the material he ordered.

This screenshot shows the accounting document, which was created for the second outbound delivery, referring to the second customer, Gollum. Here as well the amout the customer has to pay is displayed. The difference to the first screenshot of the existing customer is that Gollum will receive a discount on the order.

G/L accounting number 137 800000 880000 802000 175000

Description Gollum Sales revenue Customer discounts Freight revenue Output tax

35 800000 802000 175000

Luiten Sales revenue Freight revenue Output tax

Debit Credit 2,863.14 3,000.00 72.00 78.00 570.01 3,570.08 2,400.00 0.07 457.14

146

This screenshot shows the financial statement of the company. As the invoices has been posted now several accounts have been affected. These accounts are Customers, Output Tax, Sales revenue, Freight revenue and customer discount, though the latter one is only debited for the new customer, as the first one will not get a discount.

147

10.17

Creating incoming payment

10.17.1 Incoming payment amount existing customer Invoice amount Payment terms Payment discount Incoming payment amount Incoming payment amount total

Invoice 1 Invoice 2 1,713.64 3,570.08 0002 0002 2% 2% 1699.37 3498.68 5,198.05

10.17.2 Creating incoming payment existing customer

The screenshot above shows the incoming payment of the existing customer, which is indicated through the customer number at the top of the screenshot. The total amount that the customer has to pay is displayed. This amount refers to the total quantity he has ordered as the first invoice of the first shipment has not been payed for yet. Actually this incoming payment should refer to the first invoice as well but this only refers to the last invoive, which was posted.

148

The screenshot above shows the document flow for the first order of the existing customer Luiten. It shows that the customer ordered 8 items of the existing material and 5 plus an additional 5 items of the new material. The accounting process is completed now, as the customer paid for the material now. The reason that the first accounting document is not cleared is that the first invoice has not posted.

The screenshot above shows the final financial document. It shows that the customer has now paid for the trading goods that he has received. The bank account is finally debited as the sale resulted in a revenu for the company Pulles.

149

G/L accounting number 113100 881000 140000 175000 G/L accounting number 113100 881000 140000 175000

Description Bank Payment discount Customer receivables Output tax Description

Bank Payment discount Customer receivables Output tax

Debit 3,498.68 60.00

Credit

3,570.08 11.40

As indicated already in the table before, there are several changes in the financial statement of the company. These changes refer to the bank account, the payment discount, the customer receivables and the output tax. As the customer has now paid for the materials, the customer receivable is now credited.

10.17.3 Incoming payment amount new customer Invoice amount Payment terms Payment discount Incoming payment amount Incoming payment amount total

Invoice 1 6.603,3 0002 132,07 6471,22

Invoice 2 2921,6 0002 58,43 2863,14 9334,36

150

10.17.4 Creating incoming payment new customer

The screenshot above shows both invoices that were posted for the new customer. The total amount that the customer Gollum has to pay for the material he purchased is 9.334,- Euro. In the middle of the screenshot the two invoices are displayed with the amounts and the posting date. As a next step the incoming payment for the new customer was created.

The screenshot above shows the document flow referring to the order of the new customer, which is recognizable through the order number 172 at the top of the screenshot. The accounting documents are cleared now, which indicates that the payment has been posted. The total amount of the new material has been delivered to this customer.

151

The screenshot shows that for the incoming payment all accounting document have now been cleared, which was also indicated in the document flow bove. The total amount of the invoice respectively the incoming payment is displayed.

The screenshot above shows the accounting document for the incoming payment from the new customer. It shows the total amount of the first and the second invoice that the customer has received before.

G/L accounting number 113100 881000 137 175000

Description Bank 1 domestic Payment discount Gollum Output Tax

Debit 9277.10 48.12

Credit 9334.36

9.14

152

The screenshot above shows the final balance sheet after the incoming payments of the both customer. Actually the abnk account should be increased by the amount, which is still in the customers receivable account. By reason that this has not been cleared the total amount from the existing customer has not yet been paid by him. All other accounts which have been affected through the incoming payment are also displayed and in comparison to the former financial statement bear changes. The output tax and the customer discount should also be different, as those two accounts would also be affected by the incoming payment of the existing customer.

153

10.18

10.22 Summary of the postings

10.22.1Summary of the postings existing customer

The incoming payment in the end does not equal the total value amount, which was determined before. This results in the fact that the first invoice has maybe not been posted, which can also be seen in the screenshot referring to the creation of the incoming payment of the existing customer.

154

10.22.2Summary of the postings new customer

155