ecc6.pdf

SAP ECC 6 - Implementation in 2009 & Support Responsibilities

Preparation of business blue prints of Materials Management.

discussion with biz users on various biz processes and making biz blue prints as per templates

MM, Purchasing, Inventory management

Configuration of MM organization elements -Plants, Purchase Organizations, Purchasing groups, Storage Locations.

Org levels

Assign co code to company

Assign co code to credit control area

Assign co code to financial management area

Assign profit centre to co code

Assign co code to controlling area

Path: SPRO>IMG>Enterprise Structure>Definition>Logistics General>Define, Copy, Delete, Check Plant (T-code:EC02 & Table:T001W & Program:SAPLECOP)

Assign plant to co code

Assign biz area to plant/valuation area and division

SL : its an org unit differentiate material stocks within plant, IM on qty based and pi is carried out at sl level

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Storage Location (T-code:OX09 & Table:T001L & Program:SAPL0ORG)

OX09 - Storage location creation under Plant, sloc 'N01R', description, address, etc

OMIR - MRP indicator set up

PO : its an org that negotiates conditiions of purchase with vendors for 1 oor more plant

Assign purchase organisation to plant

Assign standard purchase organisation to plant

purch grp: key for buyer or group of buyers responsible for certain specific purchasing activities (eg. Mech/ Elect, etc.)

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Purchasing Organisation (T-code:OME4,OMGF & Program:SAPL0ME6)

Configuration of Masters, which includes Material Master, Vendor Master, Source List and Purchasing Info Record.

Configuration and creation of new Material types, assigned number ranges, field selection groups and field status of material master fields.

Configuration and creation of new vendor account groups, screen layout and assigned number ranges.

Creation of new PO and PR document types, assigned number ranges and field status to Purchase Requisitions and Purchase Orders

Master Data

Vendor master, material master

1 Vendor master

vendor master - vendor group, vendorl no. range, assignemtn no. to group, external, internal , ext or int

Vendor a/c group

KRED is the SAP standard Vendor group name. Field types are General data, C.Code data, Purchasing data

Vendor No. range

Vendor Creation

Client : its a commercial org unit in r3 system having its own data, master recods and set of tables, high level element of all org units represented with 3

digits alphanum

company code : It is a smallest org unit with an indepent accounting dept within external ac/c, having p&l & balance sheet, 4 digit alphanu

Path: SPRO>IMG>Enterprise Structure>Definition>Financial Accounting>Define Company & Edit, Copy, Delete, Check Company Code (T-code:EC01 &

Table:T001 & Program:SAPLECOP)

Plant : its an org logistic unit that structures the enterprise from the perspective of production, producurement, material planning. It can be a branc, hq,

warehouse, maintenance plant, 4 digit alphanu

Plant code 'EM36, Name, address, language, country, factory calendar

Allow Freezing of Book Inventory Balance in Storage Location - SPRO> IMG> MM> IM & PI> PI> Allow Freezing of Book Inv Balance in SLoc

Path: SPRO>IMG>Financial Accounting >Accounts Receivable & Accounts Payable >Vendor Accounts >Master data >Preparation for Creating

Vendor Master Records >Define Account Groups with Screen Layout (Vendors) > (T-code:SPRO & Program:SAPL0F04)

Path: SPRO>IMG>FA>A/Cs Receivable and >Vendor A/Cs>Master data> Preparations for...>Create Number Ranges for Vendor Accounts (T-

code:XKN1 & Program:SAPMSNUM)

Path: SPRO>IMG>FA>A/Cs Receivable and>Vendor A/Cs>Master data> Preparations for...>Assign Number Ranges to Vendor Account Groups

(T-code:SPRO & Program:SAPL0F07)

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Purchasing Organisation (T-code:SPRO & Table:T024E & Program:SAPL0ORG)

Define terms of payment

Path: SPRO>IMG>MM> Purchasing> Material Master> Define terms of payment

Check inco terms

Path: SPRO>IMG>MM> Purchasing> Material Master> Check inco terms

2 Material Master

master master - mat type, mtrl no. range, assignemtn no. to type, external, internal , ext or int

Material No. length

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings >Define output format for material nos. (T-code:OMSL & Programm:SAPL0MM1)

Material Type

Material no. range and assignment

select group, insert group under group tab, assign group to mat types

Create material group

Path: SPRO>IMG>Logistics-General>Material Group>Create Material Group (T-code:WG21 & Table:T023 & Program:SAPMWWG2)

Shipping instructions

Path: SPRO>IMG>Material Management>Purchasing>Material Master>Define Shipping Instructions (T-code:SPRO & Program:SAPL0MEK)

Purchasing value key

Path: SPRO>IMG>Material Management>Purchasing>Material Master>Define Purchasing Value Keys (T-code:SPRO & Program:SAPL0ME6)

Field selection group and field status

OMSR ; Path: SPRO>IMG>Logistics General>Material Master>Field Selection>Maintain Field selection data screens

Path: SPRO>IMG>Logistics General>Material Master>Field Selection>Assign Fields to Field selection groups

Path: SPRO>IMG>Logistics General>Material Master>Field Selection>Define industry sector

Procurement of Stock Material

RFQ/Quotation, PIR, PO, GR to QI, IV

1 RFQ/Quotation

Define doc type (RFQ 'AN') & Define No. Range & assign no. range

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Document Types (T-code:OMEA & Program:SAPL0ME8)

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Number Ranges (T-code:OMH6 & Program:SAPMSNUM)

Screen selections

mat typ 'hawa', description, field ref 'hawa', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase

order '0', views, price control 'v', acc cat ref '0005', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ', display materail,

print price

mat typ 'halb', description, field ref 'halb', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase order

'2', views, price control 's', acc cat ref '0008', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ'

mat typ 'roh', description, field ref 'roh', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase order

'0', views, price control 'v', acc cat ref '0001', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ'

mat typ 'fert', description, field ref 'fert', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '1', internal purchase order


Path: SAP Menu >Logistics >MM> Purchasing >Master Data (T-code:XK01,MK01,FK01 & Table:LFA1,LFB1,LFB5, LFM1,LFM2,LFBK &

Program:SAPMF02K)

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings>Material Types>Define attributes of mat types (T-code:SPRO &

Table:T134,T179 & Program:SAPLMGCT134)

payment term code 'z30' ; description; own explanation ; account type 'vendor & customer' ; default for baseline date 'posting date or no default' ; no.

of days

inco terms 'exw' ; description ; location mandatory 'X'

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings> Material Types>Define Number Ranges for Each Material Type (T-

code:MMNR & Program:SAPMSNUM)

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Screen Layout at Document Level (T-code:OME8 & Program:SAPL0ME5)

mat typ 'zrwk', description, field ref 'zrwk', sref mat typ 'roh', item category 'zrwk' with qty structure, external purchase order '2', internal purchase

order '2', views, price control 's', acc cat ref '0010', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ'

mat typ 'dien', description, field ref 'dien', sref mat typ 'roh', item category 'dien' with qty structure, external purchase order '2', internal purchase order


mat typ 'hibe', description, field ref 'roh', sref mat typ 'roh', item category 'norm' with qty structure (nr), external purchase order '2', internal purchase


mat typ 'verp', description, field ref 'verp', sref mat typ 'roh', item category 'verp' with qty structure (nr), external purchase order '2', internal purchase


Create RFQ

Path: SAP Menu >Logistics >MM> Purchasing > RFQ/Quotation (T-code:ME41 & Program:SAPMM06E)

Maintain Quotation & Comparision

2 Purchase Info Record

Define no. ranges

Path: SPRO>IMG>MM> Purchasing>Purchasing info record >Define no. ranges (T-code:OMEO & Program:SAPMSNUM)

PIR no. will be same though PIR is created for all 4 categories for a material and a vendor

Define screen layout

Path: SPRO>IMG>MM> Purchasing>Purchasing info record >Define no. ranges (T-code:SPRO & Program:SAPL0ME5)

PIR Creation

Path: SAP Menu >Logistics >MM> Purchasing > Master Data (T-code:ME11 & Table:EINA,EINE & Program:SAPMM06I)

3 Source List

Source List creation

4 Quota Arrangement

Define Quota arrangement usage

Path: SPRO>IMG>MM> Purchasing>Source List>Define Quota arrangement usage (T-code:SPRO & Program:SAPL0ME6)

Define no. ranges

Path: SPRO>IMG>MM> Purchasing>Source List>Define no. ranges (T-code:OMEP & Program:SAPMSNUM)

Quota Arrangement creation

Path: SAP Menu >Logistics >MM> Purchasing > Master Data >Quota Arrangement (T-code:MEQ1 & Program:SAPDM06Q)

5 Purchase Requisition

Define document types and no. range assignment

Path: SPRO>IMG>MM> Purchasing>Purchase Requisition>Define Document types (T-code:SPRO & Program:SAPL0ME8)

Path: SPRO>IMG>MM> Purchasing>Purchase Requisition>Define No ranges (T-code:OMH7 & Program:SAPLSNR0)

PR creation (Manual)

6 Purchase Order

Document Type and no. range assignment

Path: SPRO>IMG>MM> Purchasing>PO> Define Document Types (T-code:SPRO) & Program:SAPL0ME8)

Allowed item categories 'Standard ; B-Limit ; K-Consignment ; L-Subcontracting ; S-Third party ; T-Text ; D-Service'

plant 'em36' ; name ; source list 'X' ; - Specifies that the source list must have been maintained in the case of external procurement for a certain

plant. If the indicator has been set for a plant, a source must be entered in the source list before a purchase order that is to be issued to this source

can be created for this plant.

QA usage '3' ; The entry controls how the total order quantity is calculated in the quota arrangement, and thus which source of supply is determined

for the material at a particular point in time. You can enter a quota arrangement for the following field combinations:

purchase orders : The quantity of the material already ordered is included in the quota arrangement.

purchase requisitions : The total quantity requested in purchase requisitions for this material is included in the quota arrangement.

scheduling agreement : The total quantity scheduled in delivery schedules for this material is included in the quota arrangement.

planned orders : The total quantity planned in plnd ord for this material is included in the QA.

materials planning (MRP) : The quota arrangement mechanism is also used in materials planning; that is, the planned orders and purchase

requisitions created by materials planning are included in the quota arrangement.

production orders : The total quantity of all production orders for this material is included in the quota arrangement.

Path: SAP Menu >Logistics >MM> Purchasing > RFQ/Quotation (T-code:ME47 & ME49 (quote comparision) & Program:SAPMM06E)

Path: SPRO>IMG>MM> Purchasing>Source List>Define Source List Requirement at Plant Level (T-code:SPRO & Program:SAPL0MEK)

Path: SAP Menu >Logistics >MM> Purchasing > Master Data > Source list(T-code:ME01 & Table:EORD & Program:SAPLMEOR)

Path: SAP Menu >Logistics >MM> Purchasing > Purchase Requisition (T-code:ME51N & Table:EBAN,EBKN,EBKE & Program:SAPLMEGUI)

No. range

Path: SPRO>IMG>MM> Purchasing>PO> Define Document Types (T-code:OMH6 & Program:SAPMSNUM)

Screen selection

Path: SPRO>IMG>MM> Purchasing>PO> Define Screen Layout at Document Level (T-code:SPRO & Program:SAPL0ME5)

Texts for purchase orders - Define Text Types for Header Texts & Item texts

Path: SPRO>IMG>MM> Purchasing>PO> Texts for PO> Define Text Types for Header Texts

Path: SPRO>IMG>MM> Purchasing>PO> Texts for PO> Define Text Types for Item Texts

Texts for purchase orders - Define copying rules

Path: SPRO>IMG>MM> Purchasing>PO> Texts for PO> Define Copying Rules for Item Texts

Set Tolerance Limits for Price Variance

Path: SPRO>IMG>MM> Purchasing>PO> Set Tolerance Limits for Price Variance (T-code:SPRO & Program:SAPL0MRP)

Set up stock transport order

Path: SPRO>IMG>MM> Purchasing>PO> Set up Stock transport order (T-code:SPRO & Program:SAPL0ME6)

Set up subcontracting order

Path: SPRO>IMG>MM> Purchasing>PO> Set up Subcontracting order (T-code:SPRO & Program:SAPL0ME6)

Define reasons for ordering

Path: SPRO>IMG>MM> Purchasing>PO> Define reasons for ordering (T-code:SPRO & Program:SAPL0MEB)

Purchase order creation

Set up authorisation checks for gl accounts

Returns to Vendor

Path: SPRO>IMG>MM> Purchasing>PO> Returns to Vendor (T-code:SPRO & Program:SAPL0WCW)

Rounding Profile

Path: SPRO>IMG>MM> Purchasing>PO> Order optimising> Maintain Rounding Profile

7 Contract

Document Type (MK-Qty contract & WK-Val contract) and no. range assignment

Path: SPRO>IMG>MM> Purchasing>PO> Contract> Define doc type & no. range

Contract creation

Path: SAP Menu >Logistics >MM> Purchasing >

8 Scheduling agreement

Document Type (LP, LPA, LU) and no. range assignment

Path: SPRO>IMG>MM> Purchasing>PO> Scheduling agreement> Define doc type & no. range

Special procurement- Consignment & Subcontracting

Standard functionalities already defined in SAP. To be used during procurement process

Path: SAP Menu >Logistics >MM> Purchasing >Purchase Order (T-code:ME21N & Table:EKKO,EKPO,EKET,EKBE & Program:SAPLMEGUI)

Path: SPRO>IMG>MM> Purchasing>PO> Set up authorisation check for G/L Accounts (T-code:SPRO & Program:SAPL0ME4)

SAP Consignment is process wherein you buy the goods from vendor, but dont valuate that stock. Only when goods are withdrawn from your stores, are

you liable to your vendor for your payments. Best example would be big TV shop which buys the goods from its vendors for advertising and display

purposes and only when they sold, vendor charges him.

1) There must be price maintained in inforecord for consignment (info type 2 in EINE table) for certain material, vendor, purchasing org and plant.

Prices need to be maintained in inforecord which will be used when settling liabilities with vendor.(ME11)

2) Create the Purchase Order with item category K in ME21N to order the goods from vendor for consignment.

3)

4)

Goods can be withdrawn in MB1A- 261 and MB1B-411 movement types with special stock indicator K used for consignment

This will be valuated and will post accounting document. Now consignment stock is actually valuated

5)

6)

7)

8) Stock in consignment is seen separately in stock overview MMBE for certain material and plant.

Conditions

1 Define condition control at plant level

Path: SPRO>IMG>MM> Purchasing >Conditions >Define condition control at plant level (T-code:SPRO & Program:SAPL0MEK)

2 Define Access sequence

3 Define Condition type

PB00- aumating price pick up ; PBXX-manual price entry ;

4 Define Exclusion indicators

Customizing Pricing Procedure- Creation of Condition tables, Condition types, Tax codes, Access sequence, Schema groups, and Calculation schema for

domestic and import purchasing.

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Access sequence (T-code:SPRO &

Program:SAPL080M)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Condition type (T-code:SPRO &

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Exclusion indicators (T-code:SPRO &

Program:SAPL080Z)

Both the Condition Types PB00 & PBXX are Condition Types related to Gross Price.Both the Condition types will ahve the same Step number with a

different counter.

PBXX is a manual Condition Type and will not have any Access Sequence assigned to it. It can be entered only manually in the Purchasing

document.

PB00 is an Automatic Condition type and an Access Sequence will be assigned to it. whenever a Condition record founds, then it will be updated in

the Purchasing document with the price from the Condition Record.If there is no Valid Condition record founds, then PB00 will not be included

instead PBXX can be entered manualy.

If goods are not withdrawn, you can do 102 or 122 movement types in MB01 with special stock indicator K for consignment to return goods to vendor.

Here vendor is not your liability.

Inforecord needs to be maintained for normal as well as standard purchasing organization. Plant dealing in consignment process (to be put in

Purchase Order) must be assigned to standard purchasing origination in configuration.

Consignment process in SAP MM is handled through item category in purchasing documentand it has certain prerequisites/steps for consignment process

to work.

On requested delivery date in Purchase Order, do MB01 -101 that is Goods Receipt for above goods on consignment. Again one important point is,

you are still not liable to pay your vendor. These goods will not be valuated, accounting document will not be posted unless stock is withdrawn from

consignment for your own use.

You withdraw the goods for your own purpose. Like in our example of TV shop, customer buys the TV. So that means shop keeper withdraws the

goods from his consignment stock and now vendor will be his liability.

Invoice in MIRO is not done in case of consignment process. The liabilities are settled in MRKO for certain period say month, quarter etc.

Vendor will be paid at price that is maintained in inforecord. As and when required, prices set with vendors must be adjusted in inforecord as well.

(ME12). Scales per validity period can be maintained if they vary over period in ME12.

A-Delivery costs, F-customs duties, N-tax code, O-event, U-metal price, V-sales price & X-gross price

5 Define Calculation schema

ZDOMPR domestic & ZIMPPR imports

6 Define schema groups

Schema Groups: Vendor

IM - VENDOR SCHEMA DOMESTIC & ZI - VENDOR SCHEMA IMPORTS

Schema Groups for Purchasing Organizations

Schema group for Porg 'EM36' - Pur Org EM36

Assignment of Schema Group to Purchasing Organization

Purch org 'EM36' - Schema group for Porg 'EM36'

7 Define schema determination

Determine Calculation Schema for Standard Purchase Orders

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define schema groups (T-code:SPRO &

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define schema determination (T-code:SPRO &

Program:SAPL0ME3)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Calculation schema (T-code:SPRO &

Program:SAPL080M)

Determine Schema for Stock Transport Orders - have a look and set up if required

Determine Calculation Schema for Determination of Market Price - have a look and set up if required

8 Define Transaction/Event keys

Trans./Event Key

EIN - Purchasing account ; FR1 - Freight clearing ; FR2 - Freight provisions ; FR3 - Customs clearing ; FR4 - Consignment payables etc.

Usage of Transaction/Event Key in Purchase Account Management

9 Maintain condition table

Create condition table - have a look and set up if required

Change Condition Table - have a look and change if required

Display Condition Table - have a look and change if required

- Account assignment

Maintain account assignment categories

Define Combination of Item Categories/Account Assignment Categories

- Split valuation

1 Activate Split valuation

2 Configure split valuation

(mat type, valuation class, gl account)

Configuration of release procedure for PO.

Classification

Document Release (Approval) Procedure

Release (Approval) proceedure

1 Edit Characterstic

POREL_NETVAL ; POREL_ORDTYPE ; POREL_PPV ; POREL_ZZSUBMI

2 Edit Class

Path: SPRO>IMG>MM> Valuation and Account Assignment>Split Valuation>Configure Split Valuation (T-code:OMWC & Program:SAPMO10M)

Path: SPRO>IMG>MM> Purchasing >Conditions >Account assignment> Define Combination of Item Categories/Account Assignment Categories

Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for PO> Edit characteristic (T-code:CT04 & Program:SAPLCTMV)

Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for PO> Edit class (T-code:CL02 & Program:SAPLCLMO)

Characterstic 'POREL_NETVAL' ; Basic data - desc 'Total net order value' ; status 'released' ; data type 'CURR' ; no. of char '15' ; decimal places

'2' ; curr 'inr' ; val assignment 'multiple values 'X' & interval was allowed 'X'' ; Addnl data- table name 'CEKKO' ; field name 'GNETW' ; proceedure for

val assignment - not ready for input 'X' ; user entry handling 'X'

Characterstic 'POREL_ORDTYPE' ; Basic data - desc 'Order Type (Purchasing)' ; status 'released' ; data type 'CHAR' ; no. of char '4' ; val

assignment 'multiple values 'X' ; Addnl data- table name 'CEKKO' ; field name 'BSTART' ; proceedure for val assignment - not ready for input 'X' ;

user entry handling 'X'

Characterstic 'POREL_PPV' ; Basic data - desc 'Premium Price Variance' ; status 'released' ; data type 'CURR' ; no. of char '15' ; decimal places '2'

; curr 'inr' ; val assignment 'multiple values 'X' & interval was allowed 'X'' ; Addnl data- table name 'CEKKO' ; field name 'ZPPV' ; proceedure for val

assignment - not ready for input 'X' ; user entry handling 'X'

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Transaction/Event keys (T-code:SPRO &

Program:SAPL080C)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Maintain condition table (T-code:M/03 &

Path: SPRO>IMG>MM> Purchasing >Conditions >Account assignment >Maintain account assignment categories (T-code:SPRO &

Program:SAPL0MEQ)

Path: SPRO>IMG>MM> Valuation and Account Assignment> Split Valuation>Activate Split Valuation (T-code:SPRO & Program:SAPL0ME6)

PORELEASE ;

3 Define release proceedure for purchase orders

Release groups

Release codes

Release indicator

Release strategies

Tables:T16FS,T16FD,T16FT,T16FK,T16FV,T16FC,

Inventory Management/Physical Inventory

- Inventory Management: Overview

- Goods Receipts

1 Plant parameters

2 Define no. assignment for goods recipt

Define no. range assignment for material and physical inventory docs

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory>Plant Parameters (T-code:SPRO &

Program:SAPL0MB8)

Path: SPRO>IMG>Material Management>Inv management & PI >Number assignment > Define no. ranges for goods receipt/issue slips (T-

code:OMC1 & Program:SAPMOMB0)

Path: SPRO>IMG>Material Management>Inv management & PI >Number assignment > Define no. ranges for material & physical inventory

docs (T-code:OMBT & Program:SAPLSNR0)

Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for purchase orders >Define release proceedure for purchase orders (T-

code:OMGS & Program:SAPL0MEF)

Inventory management- assigned number ranges for various doc types, configured field statuses, extended creation automatic storage location to various

movement types

Class 'PORELEASE' ; Class type '032' ; Basic data - desc 'PO release precedure' ; status 'released' ; valid from ' ' valid to ' ' ; keywords - 'po &

rel' ; character ' POREL_NETVAL ; POREL_ORDTYPE ; POREL_PPV ; POREL_ZZSUBMI' ;

Define no. range assignment for accounting docs

3 Set tolerance limits

4 Inventory Sampling

- Reservations and Goods Issues

Reservations>Default Values

- Stock Transfers and Transfer Postings

1 Movement type

Path: SPRO>IMG>Material Management>Inv management & PI >Movement type(T-code:OMJJ & Table:T156, T156T & Program:SAPL0MB2)

- STO

1 Suppling plant must have the stock

2 While creating vendor, Extras>purchasing data>Enter plant 'XXX'

3 Define Shipping Data for Plants

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Define Shipping Data for Plants (T-code:SPRO & Program:SAPL0ME6)

4 Create Checking Rule

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Create Checking Rule (T-code:SPRO & Program:SAPL0PP1)

5 Define Checking Rule

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Define Checking Rule (T-code:SPRO & Program:SAPL0PP1)

6 Assign Delivery Type and Checking Rule

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Assign Delivery Type and Checking Rule (T-code:SPRO & Program:SAPL0PP1)

7 Assign Document Type, One-Step Procedure, Underdelivery Tolerance

- Consignment

- Subcontracting

Set up subcontract order

Path: SPRO>IMG>Material Management>Purchasing >Purchase order >Set up subcontract order (T-code:SPRO & Program:SAPL0ME6)

- Physical Inventory Management

Path: SPRO>IMG>MM>IM & PI>Define No. assignment for A/c doc > FI Doc types & FI No. ranges

- Cycle Counting

(GR, GI, Movement type, consignment, subcon, PI, CC)

Other Inventory management processes (Consignment, Subcon, PI & CC)

Configuration of automatic account determination process, valuation class, account category references and split valuation.

Valuation & Account Determination

- Introduction to Material Valuation

- Valuation and Account Assignment

1 Define price control for material types

Price control 'V' - Mat typ 'ROH' ; Price control 'S' - Mat typ 'FERT & HALB ;

2 Define valuation control

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory >Reservation>Define Default Values (T-code:OMBN &

Program:SAPL0MBF)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Assign Document Type, One-Step Procedure, Underdelivery Tolerance (T-code:SPRO &

Program:SAPL0PP1)

PIR with subcon category(ME11), PO (ME21N), Goods movement to subcon location with mov typ 541(MB1B), Goods receipt (MIGO), FG adds

to the stock with mov typ 101 and components backflush with mov typ 543

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Define price control for material types (T-code:SPRO &

Program:SAPL0MBW)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Define

valuation control (T-code:OMWM & Program:SAPMOMBD)



Path: SPRO>IMG>Material Management>Inv management & PI >Number assignment > Define no. range assignment for accounting docs (T-

code:OMBA & Program:SAPMOMB0)

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory> >Goods Receipt>Set Tolerance Limits (T-code:OMC0

& Program:SAPL0MRP)

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory>Physical Inventory>Inventory Sampling>Create

Inventory Sampling Profiles (T-code:OMCK & Program:SAPL0MI0)

Valuation grouping code should be 'active'

3 Group together valuation areas

Valuation area 'EM36' - Co code 'EM36' - Company name - Chart of accounts 'COA' - Val grouping code '0001'

4 Define valuation class

A/c category reference

Create A/c category reference '0001' - Reference for raw materials ;

Valuatin class

Valuation class '1310 & 1320' - A/c category reference '0001' - Reference for raw materials ;

Material type/account category reference

Mat type 'ROH & FERT' - A/c category reference '0001' - Reference for raw materials ;

5 Define account grouping for movement types

6 Activate purchase account in company code

7 Calculation of value for purchase account

8 Calculation of value for purchase account - have a look

9 Separating account document for purchase account postings - have a look

Activate separate account document in valuation area

Create new doc type for separate document

Inventory management ; configure document type for separate F

Invoice verification ; configure document type for separate F

5 Configure automatic postings

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard

>Configure automatic postings (T-code:OMWB & Program:SAPMO20M)


>Calculation of value for purchase account (T-code:SPRO & Program:SAPL0MB6)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Purchase

account management >Separating account document for purchase account postings >Activate separate account document in valuation area (T-

code:SPRO & Program:SAPL0MB6)


account management >Separating account document for purchase account postings >Create new doc type for separate document (T-code:OBF4 &

Program:SAPL0F62)


account management >Separating account document for purchase account postings >Configure no. range for document type (T-code:FBN1 &

Program:SAPLSNR0)


valuation class (T-code:OMWD, DMSK, OMSK & Program:SAPM0MBW)


account grouping for movement types (T-code:OMWN & Program:SAPL0MB4)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Activate

purchase account in company code (T-code:SPRO & Program:SAPM0MBW)




account management >Separating account document for purchase account postings >Inventory management ; configure document type for separate

F (T-code:SPRO & Program:SAPL0MB6)


account management >Separating account document for purchase account postings >Invoice verification ; configure document type for separate F

(T-code:SPRO & Program:SAPL0MRP)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Group

together valuation areas (T-code:OMWD & Program:SAPM0MBW)

Account assignment

BSX-Inventory posting, WRX-GR/IR clearing account,

Simulation - Have a look

Choose

Account assignment

GL Accounts

Involved in interfacing and integrating of MM with FI and SD and PP modules.

Movement Types: MM-SD-FI : 601/602, 651/652 ; MM-PP-FI : 261/262 ; MM-FI : 561/562, 101/102

Valuation Class

Transaction/Event key: (BSX inventory account)

Material Type:

PP-MM Generating Purchase Requistion

MM Making Inquiries

Raising Purchase Order

Release of Purchase Order

MM-FI Goods received from Vendor Raw material account - dr

GR/IR clearing ac

Invoice Verification and quality Assurance GR/IR clearing ac

TO Vendor

MM-FI-PPGoods issue for consumption Rawmaterial Consumption Dr

TO Rawmaterial Inventory Account

MM-FI-PPProduction Receipt Finished Goods Inventory Account

to Change in Stock

MM-SD-FIFinished goods delivered to Customer Change in stock ac

to Finished goods inventory

SD-FI Raising invoice on customer Customer ac -

to Sales

Receipt of payment from customers

MM-FI Chart of accounts of the company code

Valuation grouping code for the valuation area

Transaction/event key (internal processing key)

Account grouping (for offsetting entries, consignment liabilities, and price differences)

Valuation class of material or (in case of split valuation) the valuation type

Account Category Reference

Movement Types

Account Groupings for Movement Types

Different G/L Accounts Assigned to Different Transaction Keys & Account Grouping

Tax code set up and GL mapping

FTXP & OB40

Data collection and migration using LSMW.

User acceptance test, functional design docs for Z report and other enhancements.

Designing functional specifications for various enhancements and Z reports.

Preparation of Config document, end user manuals and end user training.

Generation of various reports using SQVI

User admin and authorization (role/profile) set up

ASAP methodolozy

- Projection preparations : Provides initial planning and preparation for R/3 project

- Business Blue Print : Detailed documentation of business process requirement

- Realisation (Designing) : To configure and implement all business processes

- Final preparation (Testing) : To complete testing ,end-user training,cut-over activities

- Go Live and Support : Transition from project orientation to live environment

Configuration of MM organization elements -Plants, Purchase Organizations, Purchasing groups, Storage Locations.

Path: SPRO>IMG>Enterprise Structure>Definition>Logistics General>Define, Copy, Delete, Check Plant (T-code:EC02 & Table:T001W & Program:SAPLECOP)

SL : its an org unit differentiate material stocks within plant, IM on qty based and pi is carried out at sl level

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Storage Location (T-code:OX09 & Table:T001L & Program:SAPL0ORG)

purch grp: key for buyer or group of buyers responsible for certain specific purchasing activities (eg. Mech/ Elect, etc.)

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Purchasing Organisation (T-code:OME4,OMGF & Program:SAPL0ME6)

Configuration of Masters, which includes Material Master, Vendor Master, Source List and Purchasing Info Record.

Configuration and creation of new Material types, assigned number ranges, field selection groups and field status of material master fields.

Configuration and creation of new vendor account groups, screen layout and assigned number ranges.

Creation of new PO and PR document types, assigned number ranges and field status to Purchase Requisitions and Purchase Orders

vendor master - vendor group, vendorl no. range, assignemtn no. to group, external, internal , ext or int

KRED is the SAP standard Vendor group name. Field types are General data, C.Code data, Purchasing data

Client : its a commercial org unit in r3 system having its own data, master recods and set of tables, high level element of all org units represented with 3

digits alphanum

company code : It is a smallest org unit with an indepent accounting dept within external ac/c, having p&l & balance sheet, 4 digit alphanu

Path: SPRO>IMG>Enterprise Structure>Definition>Financial Accounting>Define Company & Edit, Copy, Delete, Check Company Code (T-code:EC01 &

Table:T001 & Program:SAPLECOP)

Plant : its an org logistic unit that structures the enterprise from the perspective of production, producurement, material planning. It can be a branc, hq,

warehouse, maintenance plant, 4 digit alphanu

Plant code 'EM36, Name, address, language, country, factory calendar

Allow Freezing of Book Inventory Balance in Storage Location - SPRO> IMG> MM> IM & PI> PI> Allow Freezing of Book Inv Balance in SLoc

Path: SPRO>IMG>Financial Accounting >Accounts Receivable & Accounts Payable >Vendor Accounts >Master data >Preparation for Creating

Vendor Master Records >Define Account Groups with Screen Layout (Vendors) > (T-code:SPRO & Program:SAPL0F04)

Path: SPRO>IMG>FA>A/Cs Receivable and >Vendor A/Cs>Master data> Preparations for...>Create Number Ranges for Vendor Accounts (T-

code:XKN1 & Program:SAPMSNUM)

Path: SPRO>IMG>FA>A/Cs Receivable and>Vendor A/Cs>Master data> Preparations for...>Assign Number Ranges to Vendor Account Groups

(T-code:SPRO & Program:SAPL0F07)

Path: SPRO>IMG>Enterprise Structure>Definition>MM> Maintain Purchasing Organisation (T-code:SPRO & Table:T024E & Program:SAPL0ORG)

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings >Define output format for material nos. (T-code:OMSL & Programm:SAPL0MM1)

Path: SPRO>IMG>Logistics-General>Material Group>Create Material Group (T-code:WG21 & Table:T023 & Program:SAPMWWG2)

Path: SPRO>IMG>Material Management>Purchasing>Material Master>Define Shipping Instructions (T-code:SPRO & Program:SAPL0MEK)

Path: SPRO>IMG>Material Management>Purchasing>Material Master>Define Purchasing Value Keys (T-code:SPRO & Program:SAPL0ME6)

OMSR ; Path: SPRO>IMG>Logistics General>Material Master>Field Selection>Maintain Field selection data screens

Path: SPRO>IMG>Logistics General>Material Master>Field Selection>Assign Fields to Field selection groups

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Document Types (T-code:OMEA & Program:SAPL0ME8)

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Number Ranges (T-code:OMH6 & Program:SAPMSNUM)

mat typ 'hawa', description, field ref 'hawa', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase

order '0', views, price control 'v', acc cat ref '0005', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ', display materail,

print price

mat typ 'halb', description, field ref 'halb', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase order


mat typ 'roh', description, field ref 'roh', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '2', internal purchase order

'0', views, price control 'v', acc cat ref '0001', qty update 'in all val areas' , val update 'in all val areas', mat type id 'gen mat typ'

mat typ 'fert', description, field ref 'fert', sref mat typ 'roh', item category 'norm' with qty structure, external purchase order '1', internal purchase order


Path: SAP Menu >Logistics >MM> Purchasing >Master Data (T-code:XK01,MK01,FK01 & Table:LFA1,LFB1,LFB5, LFM1,LFM2,LFBK &

Program:SAPMF02K)

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings>Material Types>Define attributes of mat types (T-code:SPRO &

Table:T134,T179 & Program:SAPLMGCT134)

payment term code 'z30' ; description; own explanation ; account type 'vendor & customer' ; default for baseline date 'posting date or no default' ; no.

of days

inco terms 'exw' ; description ; location mandatory 'X'

Path: SPRO>IMG>Logistics-General>Material Master>Basic Settings> Material Types>Define Number Ranges for Each Material Type (T-

code:MMNR & Program:SAPMSNUM)

Path: SPRO>IMG>MM> Purchasing>RFQ>RFQ/Quotation>Define Screen Layout at Document Level (T-code:OME8 & Program:SAPL0ME5)

mat typ 'zrwk', description, field ref 'zrwk', sref mat typ 'roh', item category 'zrwk' with qty structure, external purchase order '2', internal purchase


mat typ 'dien', description, field ref 'dien', sref mat typ 'roh', item category 'dien' with qty structure, external purchase order '2', internal purchase order


mat typ 'hibe', description, field ref 'roh', sref mat typ 'roh', item category 'norm' with qty structure (nr), external purchase order '2', internal purchase


mat typ 'verp', description, field ref 'verp', sref mat typ 'roh', item category 'verp' with qty structure (nr), external purchase order '2', internal purchase


Path: SAP Menu >Logistics >MM> Purchasing > RFQ/Quotation (T-code:ME41 & Program:SAPMM06E)

Path: SPRO>IMG>MM> Purchasing>Purchasing info record >Define no. ranges (T-code:OMEO & Program:SAPMSNUM)

Path: SPRO>IMG>MM> Purchasing>Purchasing info record >Define no. ranges (T-code:SPRO & Program:SAPL0ME5)

Path: SAP Menu >Logistics >MM> Purchasing > Master Data (T-code:ME11 & Table:EINA,EINE & Program:SAPMM06I)

Path: SPRO>IMG>MM> Purchasing>Source List>Define Quota arrangement usage (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>MM> Purchasing>Source List>Define no. ranges (T-code:OMEP & Program:SAPMSNUM)

Path: SAP Menu >Logistics >MM> Purchasing > Master Data >Quota Arrangement (T-code:MEQ1 & Program:SAPDM06Q)

Path: SPRO>IMG>MM> Purchasing>Purchase Requisition>Define Document types (T-code:SPRO & Program:SAPL0ME8)

Path: SPRO>IMG>MM> Purchasing>Purchase Requisition>Define No ranges (T-code:OMH7 & Program:SAPLSNR0)

Path: SPRO>IMG>MM> Purchasing>PO> Define Document Types (T-code:SPRO) & Program:SAPL0ME8)

Allowed item categories 'Standard ; B-Limit ; K-Consignment ; L-Subcontracting ; S-Third party ; T-Text ; D-Service'

plant 'em36' ; name ; source list 'X' ; - Specifies that the source list must have been maintained in the case of external procurement for a certain

plant. If the indicator has been set for a plant, a source must be entered in the source list before a purchase order that is to be issued to this source

can be created for this plant.

QA usage '3' ; The entry controls how the total order quantity is calculated in the quota arrangement, and thus which source of supply is determined

for the material at a particular point in time. You can enter a quota arrangement for the following field combinations:

purchase orders : The quantity of the material already ordered is included in the quota arrangement.

purchase requisitions : The total quantity requested in purchase requisitions for this material is included in the quota arrangement.

scheduling agreement : The total quantity scheduled in delivery schedules for this material is included in the quota arrangement.

planned orders : The total quantity planned in plnd ord for this material is included in the QA.

materials planning (MRP) : The quota arrangement mechanism is also used in materials planning; that is, the planned orders and purchase

requisitions created by materials planning are included in the quota arrangement.

production orders : The total quantity of all production orders for this material is included in the quota arrangement.

Path: SAP Menu >Logistics >MM> Purchasing > RFQ/Quotation (T-code:ME47 & ME49 (quote comparision) & Program:SAPMM06E)

Path: SPRO>IMG>MM> Purchasing>Source List>Define Source List Requirement at Plant Level (T-code:SPRO & Program:SAPL0MEK)

Path: SAP Menu >Logistics >MM> Purchasing > Master Data > Source list(T-code:ME01 & Table:EORD & Program:SAPLMEOR)

Path: SAP Menu >Logistics >MM> Purchasing > Purchase Requisition (T-code:ME51N & Table:EBAN,EBKN,EBKE & Program:SAPLMEGUI)

Path: SPRO>IMG>MM> Purchasing>PO> Define Document Types (T-code:OMH6 & Program:SAPMSNUM)

Path: SPRO>IMG>MM> Purchasing>PO> Define Screen Layout at Document Level (T-code:SPRO & Program:SAPL0ME5)

Path: SPRO>IMG>MM> Purchasing>PO> Set Tolerance Limits for Price Variance (T-code:SPRO & Program:SAPL0MRP)

Path: SPRO>IMG>MM> Purchasing>PO> Set up Stock transport order (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>MM> Purchasing>PO> Set up Subcontracting order (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>MM> Purchasing>PO> Define reasons for ordering (T-code:SPRO & Program:SAPL0MEB)

Path: SPRO>IMG>MM> Purchasing>PO> Returns to Vendor (T-code:SPRO & Program:SAPL0WCW)

Path: SAP Menu >Logistics >MM> Purchasing >Purchase Order (T-code:ME21N & Table:EKKO,EKPO,EKET,EKBE & Program:SAPLMEGUI)

Path: SPRO>IMG>MM> Purchasing>PO> Set up authorisation check for G/L Accounts (T-code:SPRO & Program:SAPL0ME4)

SAP Consignment is process wherein you buy the goods from vendor, but dont valuate that stock. Only when goods are withdrawn from your stores, are

you liable to your vendor for your payments. Best example would be big TV shop which buys the goods from its vendors for advertising and display

purposes and only when they sold, vendor charges him.

There must be price maintained in inforecord for consignment (info type 2 in EINE table) for certain material, vendor, purchasing org and plant.

Prices need to be maintained in inforecord which will be used when settling liabilities with vendor.(ME11)

Create the Purchase Order with item category K in ME21N to order the goods from vendor for consignment.

Goods can be withdrawn in MB1A- 261 and MB1B-411 movement types with special stock indicator K used for consignment

This will be valuated and will post accounting document. Now consignment stock is actually valuated

Stock in consignment is seen separately in stock overview MMBE for certain material and plant.

Path: SPRO>IMG>MM> Purchasing >Conditions >Define condition control at plant level (T-code:SPRO & Program:SAPL0MEK)

Customizing Pricing Procedure- Creation of Condition tables, Condition types, Tax codes, Access sequence, Schema groups, and Calculation schema for

domestic and import purchasing.

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Access sequence (T-code:SPRO &

Program:SAPL080M)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Condition type (T-code:SPRO &

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Exclusion indicators (T-code:SPRO &

Program:SAPL080Z)

Both the Condition Types PB00 & PBXX are Condition Types related to Gross Price.Both the Condition types will ahve the same Step number with a

different counter.

PBXX is a manual Condition Type and will not have any Access Sequence assigned to it. It can be entered only manually in the Purchasing

document.

PB00 is an Automatic Condition type and an Access Sequence will be assigned to it. whenever a Condition record founds, then it will be updated in

the Purchasing document with the price from the Condition Record.If there is no Valid Condition record founds, then PB00 will not be included

instead PBXX can be entered manualy.

If goods are not withdrawn, you can do 102 or 122 movement types in MB01 with special stock indicator K for consignment to return goods to vendor.

Here vendor is not your liability.

Inforecord needs to be maintained for normal as well as standard purchasing organization. Plant dealing in consignment process (to be put in

Purchase Order) must be assigned to standard purchasing origination in configuration.

Consignment process in SAP MM is handled through item category in purchasing documentand it has certain prerequisites/steps for consignment process

to work.

On requested delivery date in Purchase Order, do MB01 -101 that is Goods Receipt for above goods on consignment. Again one important point is,

you are still not liable to pay your vendor. These goods will not be valuated, accounting document will not be posted unless stock is withdrawn from

consignment for your own use.

You withdraw the goods for your own purpose. Like in our example of TV shop, customer buys the TV. So that means shop keeper withdraws the

goods from his consignment stock and now vendor will be his liability.

Invoice in MIRO is not done in case of consignment process. The liabilities are settled in MRKO for certain period say month, quarter etc.

Vendor will be paid at price that is maintained in inforecord. As and when required, prices set with vendors must be adjusted in inforecord as well.

(ME12). Scales per validity period can be maintained if they vary over period in ME12.

A-Delivery costs, F-customs duties, N-tax code, O-event, U-metal price, V-sales price & X-gross price

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define schema groups (T-code:SPRO &

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define schema determination (T-code:SPRO &

Program:SAPL0ME3)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Calculation schema (T-code:SPRO &

Program:SAPL080M)

Determine Calculation Schema for Determination of Market Price - have a look and set up if required

EIN - Purchasing account ; FR1 - Freight clearing ; FR2 - Freight provisions ; FR3 - Customs clearing ; FR4 - Consignment payables etc.

Path: SPRO>IMG>MM> Valuation and Account Assignment>Split Valuation>Configure Split Valuation (T-code:OMWC & Program:SAPMO10M)

Path: SPRO>IMG>MM> Purchasing >Conditions >Account assignment> Define Combination of Item Categories/Account Assignment Categories

Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for PO> Edit characteristic (T-code:CT04 & Program:SAPLCTMV)

Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for PO> Edit class (T-code:CL02 & Program:SAPLCLMO)

Characterstic 'POREL_NETVAL' ; Basic data - desc 'Total net order value' ; status 'released' ; data type 'CURR' ; no. of char '15' ; decimal places

'2' ; curr 'inr' ; val assignment 'multiple values 'X' & interval was allowed 'X'' ; Addnl data- table name 'CEKKO' ; field name 'GNETW' ; proceedure for

val assignment - not ready for input 'X' ; user entry handling 'X'

Characterstic 'POREL_ORDTYPE' ; Basic data - desc 'Order Type (Purchasing)' ; status 'released' ; data type 'CHAR' ; no. of char '4' ; val

assignment 'multiple values 'X' ; Addnl data- table name 'CEKKO' ; field name 'BSTART' ; proceedure for val assignment - not ready for input 'X' ;

user entry handling 'X'

Characterstic 'POREL_PPV' ; Basic data - desc 'Premium Price Variance' ; status 'released' ; data type 'CURR' ; no. of char '15' ; decimal places '2'

; curr 'inr' ; val assignment 'multiple values 'X' & interval was allowed 'X'' ; Addnl data- table name 'CEKKO' ; field name 'ZPPV' ; proceedure for val

assignment - not ready for input 'X' ; user entry handling 'X'

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Define Transaction/Event keys (T-code:SPRO &

Program:SAPL080C)

Path: SPRO>IMG>MM> Purchasing >Conditions >Define Price determination process >Maintain condition table (T-code:M/03 &

Path: SPRO>IMG>MM> Purchasing >Conditions >Account assignment >Maintain account assignment categories (T-code:SPRO &

Program:SAPL0MEQ)

Path: SPRO>IMG>MM> Valuation and Account Assignment> Split Valuation>Activate Split Valuation (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory>Plant Parameters (T-code:SPRO &

Program:SAPL0MB8)

Path: SPRO>IMG>Material Management>Inv management & PI >Number assignment > Define no. ranges for goods receipt/issue slips (T-

code:OMC1 & Program:SAPMOMB0)



Path: SPRO>IMG>MM> Purchasing >Purchase Order >Release proceedure for purchase orders >Define release proceedure for purchase orders (T-

code:OMGS & Program:SAPL0MEF)

Inventory management- assigned number ranges for various doc types, configured field statuses, extended creation automatic storage location to various

movement types

Class 'PORELEASE' ; Class type '032' ; Basic data - desc 'PO release precedure' ; status 'released' ; valid from ' ' valid to ' ' ; keywords - 'po &

rel' ; character ' POREL_NETVAL ; POREL_ORDTYPE ; POREL_PPV ; POREL_ZZSUBMI' ;

Path: SPRO>IMG>Material Management>Inv management & PI >Movement type(T-code:OMJJ & Table:T156, T156T & Program:SAPL0MB2)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Define Shipping Data for Plants (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Create Checking Rule (T-code:SPRO & Program:SAPL0PP1)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Define Checking Rule (T-code:SPRO & Program:SAPL0PP1)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Assign Delivery Type and Checking Rule (T-code:SPRO & Program:SAPL0PP1)

Path: SPRO>IMG>Material Management>Purchasing >Purchase order >Set up subcontract order (T-code:SPRO & Program:SAPL0ME6)

Path: SPRO>IMG>MM>IM & PI>Define No. assignment for A/c doc > FI Doc types & FI No. ranges

Configuration of automatic account determination process, valuation class, account category references and split valuation.

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory >Reservation>Define Default Values (T-code:OMBN &

Program:SAPL0MBF)

Path: SPRO>IMG>MM>PUR>PO>Set up STO>Assign Document Type, One-Step Procedure, Underdelivery Tolerance (T-code:SPRO &

Program:SAPL0PP1)

PIR with subcon category(ME11), PO (ME21N), Goods movement to subcon location with mov typ 541(MB1B), Goods receipt (MIGO), FG adds

to the stock with mov typ 101 and components backflush with mov typ 543

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Define price control for material types (T-code:SPRO &

Program:SAPL0MBW)


valuation control (T-code:OMWM & Program:SAPMOMBD)



Path: SPRO>IMG>Material Management>Inv management & PI >Number assignment > Define no. range assignment for accounting docs (T-

code:OMBA & Program:SAPMOMB0)

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory> >Goods Receipt>Set Tolerance Limits (T-code:OMC0

& Program:SAPL0MRP)

Path: SPRO>IMG>Material Management>Inventory Management and Physical Inventory>Physical Inventory>Inventory Sampling>Create

Inventory Sampling Profiles (T-code:OMCK & Program:SAPL0MI0)

Valuation area 'EM36' - Co code 'EM36' - Company name - Chart of accounts 'COA' - Val grouping code '0001'


>Configure automatic postings (T-code:OMWB & Program:SAPMO20M)




account management >Separating account document for purchase account postings >Activate separate account document in valuation area (T-

code:SPRO & Program:SAPL0MB6)


account management >Separating account document for purchase account postings >Create new doc type for separate document (T-code:OBF4 &

Program:SAPL0F62)


account management >Separating account document for purchase account postings >Configure no. range for document type (T-code:FBN1 &

Program:SAPLSNR0)


valuation class (T-code:OMWD, DMSK, OMSK & Program:SAPM0MBW)


account grouping for movement types (T-code:OMWN & Program:SAPL0MB4)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Activate

purchase account in company code (T-code:SPRO & Program:SAPM0MBW)




account management >Separating account document for purchase account postings >Inventory management ; configure document type for separate

F (T-code:SPRO & Program:SAPL0MB6)


account management >Separating account document for purchase account postings >Invoice verification ; configure document type for separate F

(T-code:SPRO & Program:SAPL0MRP)

Path: SPRO>IMG>Material Management>Valuation and Account Assignment> Account determination >Account determination w/o wizard >Group

together valuation areas (T-code:OMWD & Program:SAPM0MBW)

170 170000

TO Rawmaterial Inventory Account

CIN

IMG SETTINGS :

(1) FINANCIAL ACCOUNTING:

Path: SPRO> F.Accounting > FI Global Settings > Tax on Sales & Purchase >

- Basic Settings : Please have a look on following nodes ( Please do not change any settings here as these are general FI Settings)

- Check Calculation Procedure.

Have a close look in Define procedures. On TAXINJ Control data, which is the pivotal point for all Indian Tax Calculations

Access sequence

JST1 & JTAX

Define Condition Types

Define Procedures ZTAXIN

- Assign Country to Calculation Procedure Please cross-check that the TAXINJ is assigned to India

- Specify Structure of Tax Juridiction Code (Have a look)

- Define Tax Jurdictions : If you want to add any separate Tax Juridiction code, create it in TAXINJ.

- At node India >

Activate Country version for fiscal years Check the account interface components are in valid fiscal year period

Settings are done at Logistics General

(2) LOGISTICS - GENERAL

Path: SPRO> Log.General > Tax on Goods Movements > India >

1 Basic Settings :

- Maintain Excise Registrations :

- Maintain Company Code settings : Create the settings relevant for your company code.

Cenvat doc type 'SA', xchange rate type for CVD 'M', CVD account ' '

Create Excise Registration details here. (eg. X) Please indicate the duty applicability (aed, sed, cess), Options and number of

excise line items in excise invoice

-Plant - exc registration - multiple goods receipt

-

-

- Maintain Excise Duty Indicators : All possible Indicators are to be maintained like 100% Duty, 50%, etc

Plant settings: Create your Plant Setting with excise registration (X) you have created, If your Plant is operating as a Depot, Please

give the tick.

Maintain Excise Groups : Create your own excise group for your Plant with the excise registration (X) already created. Please have

a thorough look on the requirement and set accordingly like creation of EI, settings at MIGO, Automatic posting etc for your Plant

(exc group, exc reg '1', no. of grs '2')

Maintain Series Groups : (Relevant for Outbound deliveries, but applicable in MM for Subcontracting) : Create Series group for the

excise registration (X) created already

- Maintain Postal address : Excise related address Management (Not maintained)

- Determination of Excise Duty :

- Define Tax Calculation Procedure : Please see that TAXINJ is assigned to India

- Maintain Excise Defaults : Check the defaults created in the system.

Tax procedureCVD condition type A/PEx. tax codeTax juris.codeAccount payable BED condition typeAccount payable SED condition typeAccount payable AED condition typeAccount receivable BED condition type

TAXINJ JCV1 A0 9900 JMO1 JSO1 JAO1 JEX2

ZTAXIN JCV1 A0 JMX1 JSX1 JAX1 JEXP

BED Perc AED Perc SED Perc Cess Perc NCCD Condition type APNCCD Condition type ARNCCD PercECS Condition type AP

JMOD JAED JSED JCED

JMOP JAOP JSOP JEX1

ADC condition type A/PAccount payable AT1 condition typeAccount receivable AT1 condition typeAT1 Perc Account payable AT2 condition typeAccount receivable AT2 condition typeAT2 Perc Account payable AT3 condition type

JADC JHX1 JESC JSEP

- Condition based Excise Determination :

-

FTXP

- Assign Tax Code to Company code

EM36 - A0 & C0

- Classify Condition types : No input here.

ZTAXIN - JMOP etc

Define Tax Code for Purchasing Document - It is basically creation of Tax Code FTXP Create as many Tax codes with

the combination of A/P BED, AED & SED as 100% (It means that we are declaring that the material is 100% excisable) and

respective Tax % for CST/ LST for your working scenarios. This Tax code we will be attaching in PO for populating EDs &

Taxes.

2 Master Data

- Maintain Chapter Ids : Maintain the Chapter ID with Excise UOM

- Assign Users to M master screen sequence for ED Not used

Chaitanya, Hemkumar, Msrinivas, Rajesh

- Define Form Types - No Input

3 Account Determination

-

- Maintain Excise Account per excise transactions No data entry

57FC, 57NR

Define G/L Account for Taxes It is OB 40 We are not using this because the accounts are assigned during the creation of Tax

code in FTXP

- Specify G/L account per Excise transaction All 256 accounts are to be entered by FI.

4 Business Transactions

- Incoming Excise Invoices

1) Select fields - no input

2)

3) Define Reference document per transaction No Input here

4) Maintain Rejection Codes Maintain some rejection codes, which is used while reversing the transactions

5) Specify Movement types involve Excise Invoices Enter the movement types and select the Registers for each combination

- Outgoing Invoices - (Its mainly for SD)

1) Assign Billing Type to Delivery Types

2) Maintain default Excise Groups and Series Groups

Define processing modes per transaction Check the transaction role and activate accordingly. For Transaction code J1IEX,

activate all.

- Subcontracting

1)

2)

- Exports under Excise Regulations - SD Functionality

1) Exports

2) Deemed Exports

3) Printouts of ARE docs

4) Transaction config

5) Exports

- Utilization

1)

2) Maintain minimum balances for excise accounts It is not applicable now.

- Excise Registers

Maintain movement type groups Please check/ enter for the combination of Movement type group and Movement types

involved in Subcontracting

Utilization Determination It is basically fixing the % of CENVAT accounts are to be debited by the fortnightly Utilization of

CENVAT Report. Please note that the total of distribution should be 100.

Subcontracting Attributes Enter all relevant subcontracting attributes here. Please check the Challan type (57FC),

Subcontracting period (Presently it is 180 days), Number of Excise Invoice line items and Number range

1) Specify SAP Script Forms You can specify the Form Layout/ Forms here with the help of ABAP/ Basis.

5 Tools

- Long Texts Management of Texts on Excise transactions/ screens

- Number Ranges - All relevant number ranges for each Excise group is assigned here.

- Message Control All messages related to CIN are configured here.

(3) MM

1 Making Transfer posting for subcontracting - IMG setting

MM > Inventory Management & Physical Inventory > Goods Issue & Transfer Posting > Define Screen Lay out

In Change view field selection overview, Select Movement type 541 nad mark the Purchase Order field as an optional entry

CREATION OF MATERIAL AND VENDOR MASTER RECORDS

Create the Material which are liable for Excise Duty in normal MM01 transaction

MAINTAINING OF MASTER DATA

Transaction Code J1ID

Basically Excise Mater Data for a Material, Plant & Vendor/ Customer

1 MASTER DATA

1 Chapter ID Just check the Chapter ID created in IMG setting under Master Data is appearing here or not.

2

3 Material assessable Value You can fix up the Net Dealer Value and assessable Value of the Material at a particular Plant

4 CENVAT Determination Here you are declaring the input and Output material for a particular Plant. Tick on default Modvat Indicator

2 EXCISE STATUS

1

2 Customer Excise Details - SD Functionality

3 SSI Rate If the Vendor is SSI, enter the SSI status, Excise duty and SSI rating.

4 Excise Indicator for Plant Enter the Excise detail of your Plant with Excise Indicator and Number range group.

5 Excise Indicator for Plant & Vendor Enter the combination

6 Excise Indicator for Plant and Customer SD functionality

3 EXCISE RATES

1 Excise Tax Rate Specify the excise rates for BED, AED & SED along with Chapter ID and Excise Indicator.

2 Cess Rate Enter the Cess rate, if existing.

3

4 Sales Tax set off percentages Can enter the data, if applicable.

5 Quantity based AED & SED If the quantity base AED & SED is applicable for a material at a Plant in Chapter ID can enter here.

BUSINESS SCENARIOS

1 INTERNAL PROCUREMENT OF RAW MATERIAL

Its a normal Procurement cycle but with Excise transactions:

Pre-requisite

Customization and creation of Vendor, Material and Maintaining Excise Master Records in J1ID.

Step 1. Creation of Purchase Order

Material and Chapter ID combination - Make the entry for Material and Chapter ID for your Plant. If you are using this Material for

Subcontracting, give the tick in Subcontracting box. Dont forget to give X mark if the material is declared to Excise at appropriate

column. Please select the proper material type.

Exceptional Material Excise Rate If the material is having any exceptional rates, enter here. Please note that this rate will be

picked up on priority, even if you are maintaining another rate in Excise Tax rate.

Its a normal ME21N activity, but make sure that you have selected GR based Invoice Verification and a proper Tax Code (Created in

FTXP with BED, AED, SED, CST, etc) in Invoice tab of Item detail. Check and Save the PO and note the PO Number

Create Vendors in XK01 and dont forget to enter the CIN Details of the Vendor by clicking on the icon CIN Details on the Header. You are

entering the CST & LST Numbers, Excise Registration details and Pan Number. But dont forget to enter Excise Indicator of the Vendor and

click on CENVAT Scheme participant on Excise duty Tab.

Vendor Excise Details Enter your Vendor details created in XK01. Please dont forget to put the Excise Indicator and CENVAT determination

tick.

Step 2 Capturing Excise Invoice

Step 3 Goods Receipt

Step 4 Posting Excise Invoice

Step 5 Vendor Invoice Verification

Step 6 Data and Reporting

1 For Checking CENVAT Register Transaction code J2I9

2 For Printing Excise Registers Transaction Code J2I6 (Any Excise Register can be printed)

2 PROCUREMENT OF CAPITAL GOODS

3 PROCUREMENT - IMPORTS

Pre-Requisite

1 Create a Vendor as Customs Normal schema group

2 Create a (Import) Vendor with a separate Vendor Schema(Y) in customizing

3 Attach the Pur Orgn and Vendor Schema(Y) and assign the IMPORT Pricing procedure in Customizing

Step 1 Creation of Purchase Order

Step 2 Invoice verification for the CVD

Check and Save the document. See that the amount is posted in CVD/ customs clearing account

Step 3 Capturing of excise Invoice for Bill of Entry

Step 4 Posting of Goods Receipt

MIGO transaction w.r.to PO. Enter the Excise Invoice and commercial invoice number . Check and save the document.

The procedure is same, but use an asset material in Purchase Order. The difference is the duties are posted in RG23C Part I&II. Also

note that the credits will be 50% for the current year and the balance is credited in CENVAT on Hold account.

Select the Vendor (Import) for the PO. Enter the data. In Invoice tab, Dont select GR based Invoice verification and select a Tax Code

V0. In Conditions tab, In condition JCV1 (In CVD) enter the percentage of CVD to be remitted to Customs. Select the condition go to

details and attach the Vendor as Customs. Check and save.

Its an ordinary J1IEX transaction. But while entering the PO system will ask for a commercial invoice number, enter the document

number which is created during step2. Enter the PO number and capture excise Invoice. Please see that the CVD is treated as ordinary

BED. Note the Excise Invoice number.

Practically when material is arrived at Customs, they will issue Bill of Lading. This BOL invoice value in MIRO. Select the PO and select

Planned Delivery cost tab. In header enter the CVD amount and in details tab, check the Invoicing party as Vendor Customs.

It is the same transaction J1IEX Select the tab POST tab and enter the internal excise number. No data entry is required. Check

the document. Click on Simulate CENVAT icon and see the posting. If satisfactory, click on Post CENVAT to saving. Note the

Accounting document Number and serial Number. Excise Invoice is posted now. Register RG23A Part I & II are updated

Transaction code is J1IEX. Select the tab of Capture excise invoice. Enter the Po number. Enter your Excise Invoice Number ad date

in respective tabs and check the BED, AED & SED values and rates in Item Detail, Item and Header data. Check and Save the Data.

Note the Internal Excise Invoice Number. Note the Excise Invoice number system-generated messages.

Do the normal MIGO transaction for that Purchase Order. On allocating the Storage Location and Flagging the Item OK, Excise Tab is

coming in Header and Item. On Excise tab in Header select Only capture excise Invoice tab and drill down on Excise Invoice Number

and select the Excise Invoice number created in step 2. Enter the date, check and save the document. Note the material document

Number.

Its a normal MIRO transaction. Enter the tax amount separately. Simulate and then Post the Invoice. Check the postings of BED, AED

& SED, CENVAT clearing account and GR/IR clearing account.

Step 5 Posting of Excise Invoice

Ordinary J1IEX transaction. Check the data and save the document. Note the Serial number and Accounting document number.

Step 6 - Invoice Verification

Standard MIRO transaction for Vendor Invoice.

Check the Reports.

4 SUBCONTRACTING WITH ED

Step 1 Create a Subcontracting Order

Select Tax code as V0 and select GR based IV.

In Item conditions, In condition type JEXC IN Manual excise %- Enter the excise percentage and Save the order.

Step 2 Transfer posting of components

It is also an ordinary MB1B transaction. You can refer the PO and post.

Step 3 Creation of Excise Invoice

You can take the print of this Invoice by transaction code J1IV

Step 4 Capture of Excise Invoice


Step 6 Posting the excise invoice

Normal J1IEX function same as that of domestic procurement. Post the Invoice.

Step 7 Vendor Invoice verification

Ordinary MIRO function. Post the Invoice and check all repots.

5 SUBCONTRACTING WITHOUT ED

Step 1 Create a Subcontracting Order

Select Tax code as V0 and select GR based IV.

Step 2 Transfer posting of components

It is also an ordinary MB1B transaction. You can refer the PO and post.

Step 3 Creation of Subcontracting Challan -

Now the processing is completed and he is supplying the finished product

It is an ordinary ME21N functionality for creating SC Order. See that Components are attached in CS01 or in PO Materials data itself.

Also see that the material is declared as a subcontracting material in Master Data (Material and Chapter ID combination)

On receipt of material from the Vendor, Capture the Invoice using Transaction code J1IEX. Enter the required data and Save the

document. Note the document number.

It is an ordinary ME21N functionality for creating SC Order. See that Components are attached in CS01 or in PO Materials data itself.

Also see that the material is declared as a subcontracting material in Master Data (Material and Chapter ID combination)

In CIN role go to creation of subcontracting challan (Transaction Code J1IF01). The screen will display the material document

number created in transfer posting. Input other required detail, if nay and save the document. Material will go to subcontractor along

Go to CIN easy access select Sales/ Outbound movements > Excise Invoice > For other movements > Excise Invoice for other

movements ( Transaction code J1IS)

Select the Reference Document type as MATD and enter other data. Also see that It is refereeing the transfer posting document

number. Save the excise Invoice. Note the Excise Invoice number and FI document number created by system.

Its the same procedure what we have done in normal domestic procurement. Enter the required data and Save the document. Note the

document number.


Step 5 Reconciling the Subcontracting challan Quantity

Step 6 Completing the Subcontracting Challan

6 STOCK TRANSPORT ORDER

Pre-Requisites :

1 Creation of Customer Master data Create both the Plants are Customers in XD01

2

3 IMG Settings : In MM > Purchasing > Purchasing Order > Set up Stock Transport Order > Define Shipping data for Plants.

Select each Plant and enter Customer number of the other plant created in Step1 along with the data of Sales Org, etc.

4 Excise Master Data - In J1ID, see that the material data is entered for both the Plants.

Process Flow

Step 1 - Creation of Stock Transport Order.

In ME21N, mention the Issuing Plant. Please check the item tab Invoice and see the Tax juridiction code as IN00. Check and Save the PO.

Step 2 Transfer Posting

Step 3 Creation of Excise Invoice

Step 4 Posting of Excise Invoice

The Transaction code is J1IV. Save the document and take the print.

Now the Material is reached at 2nd Plant. The activities at that Plants are :

Step 5 Capturing of Excise Invoice


It is also an ordinary MIGO transaction. Enter the excise invoice details, save the document and note the material document number.

Step 7 Posting the Excise Invoice

Transaction code J1IF13. Screen will show the detail of challan with a status In process, check the data and save the document.

System will give a message that the challan is completed

Its the same procedure what we have done in normal domestic procurement. But after entering the details, excise tab will appear in

header and item details. In header tab select the option of Refer Subcontracting challan. Go to the details icon and enter the

subcontracting challan number created in step 3. Save the GR and note the document number.

Transaction code is J1IFQ. Screen will display the material document of Goods receipt. Click on reconcile icon, a new screen

appears. Enter the assigned quantity at item detail and save the document.

Do the transfer posting in MB1B with proper Plant selection and movement type 351. Refer the PO and adopt the details. Note the

Material document number.

Create Excise Invoice for other movements in J1IS. Select the document type as MATD. See that the system is automatically creating

the Invoice. Note the Excise Invoice Number and FI document number created by the system.

Its an ordinary J1IEX transaction. Capture the Invoice against the stock Transport Order. See that Plant 2 is automatically appeared.

Enter the required detail and save the document and note the internal number.

J1IED transaction. Select the tab as posting against Vendor Excise Invoice. Input the required detail. Click on SIMULATE CENVAT and

see the postings. If it is OK, Post the Invoice. Note the serial number and Accounting document number.

Creation of Vendor Mater data Create both the Plants are Vendors. For each Vendor select the other Plant as the Customer

(already created in Serial No.1).

Excise registers

RG1

RG23A

RG23C

RG23D

RT-12 (ER1)

Basic Settings : Please have a look on following nodes ( Please do not change any settings here as these are general FI Settings)

Have a close look in Define procedures. On TAXINJ Control data, which is the pivotal point for all Indian Tax Calculations

Assign Country to Calculation Procedure Please cross-check that the TAXINJ is assigned to India

Define Tax Jurdictions : If you want to add any separate Tax Juridiction code, create it in TAXINJ.

Activate Country version for fiscal years Check the account interface components are in valid fiscal year period

Create Excise Registration details here. (eg. X) Please indicate the duty applicability (aed, sed, cess), Options and number of

excise line items in excise invoice

Maintain Excise Duty Indicators : All possible Indicators are to be maintained like 100% Duty, 50%, etc

Plant settings: Create your Plant Setting with excise registration (X) you have created, If your Plant is operating as a Depot, Please

give the tick.

Maintain Excise Groups : Create your own excise group for your Plant with the excise registration (X) already created. Please have

a thorough look on the requirement and set accordingly like creation of EI, settings at MIGO, Automatic posting etc for your Plant

(exc group, exc reg '1', no. of grs '2')

Maintain Series Groups : (Relevant for Outbound deliveries, but applicable in MM for Subcontracting) : Create Series group for the

excise registration (X) created already

Account receivable SED condition typeAccount receivable AED condition typeAccount receivable CESS condition type

JEXS JEXA JCES

JEXS JEAP JEXP

ECS Condition type ARECS percentageECS condition type A/P - Imports

JECS JEC1 JECV

Account receivable AT3 condition typeAT3 Perc

Define Tax Code for Purchasing Document - It is basically creation of Tax Code FTXP Create as many Tax codes with

the combination of A/P BED, AED & SED as 100% (It means that we are declaring that the material is 100% excisable) and

respective Tax % for CST/ LST for your working scenarios. This Tax code we will be attaching in PO for populating EDs &

Taxes.

Define G/L Account for Taxes It is OB 40 We are not using this because the accounts are assigned during the creation of Tax

code in FTXP

Maintain Rejection Codes Maintain some rejection codes, which is used while reversing the transactions

Specify Movement types involve Excise Invoices Enter the movement types and select the Registers for each combination

Define processing modes per transaction Check the transaction role and activate accordingly. For Transaction code J1IEX,

activate all.

Maintain movement type groups Please check/ enter for the combination of Movement type group and Movement types

involved in Subcontracti

ecc6.pdf

Documents

code data

code assign

check company code tcode

purchasing organisation

storage location tcode

check plant tcode

digits alphanumcompany

digit alphanuplant code