Services

SAP Courses and Training

SAPeduc can help your company to develop a more efficient and cost-effective training. We offer our program to your organization in two levels:

1- Knowledge management and self-directed learning. Your Employees can access our knowledge base management and courses to train at their own pace with or without an instructor according their needs.

2- Onsite Training and Workshop done at the company location. We staff, organize, and manage your employees training.

SAPEDUC can provide to your company:

- Training Materials/Manuals/Books (Latest release versions)

- Option for tailor made training or Academy

- Class exercises

-Training server configuration, and many more services and features that make unique your corporate training.

- Best SAP Instructors

Before contracting a corporate training talk first to us. Send us your training Request, now.

SAPeduc has a solid experience on Hands on Training Lead for large projects across all SAP modules. Can build your company detailed training plan that includes SAP activities as required (policies, procedures, steps, etc) with a detailed training course matrix.

During each project we maintain excellent communication and strong management skills driven to meet date and deliverable targets time.
Our instructors have experience on using RWD, SAP Tutor, and other training tools to deliver high quality tailored training upon request.

1 Introduction to SAP R/3 and the ERP Concept

· The concept of Enterprise Resource Planning (ERP) software. ERP is a form of Client/Server software that integrates different functional areas. These include:

· Sales and Distribution (SD)

· Materials Management (MM)

· Production Planning (PP)

· Financial Accounting (FI)

· Controlling (CO)

· Asset Management (AM)

· Quality Management (QM)

· Human Resource Management (HR)

· Reporting, and others

· The architecture of R/3-based systems is an interesting contrast to typical organizational 2-tier and 3-tier systems. The functionality and integration in R/3 reduces the need for extensive interface development between different functional software, as in many older systems.

· R/3 achieves integration of different business processes through the following ways:

· Integration using a single database and data model;

· Integration between different applications i.e., the functional modules;

· Integration with 3^rd-party software and desktop applications, such as Access, Word, and Excel; and

· Integration using object-oriented Business APIs (or BAPIs).

1.1 Views within SAP R/3

· There are several views of SAP R/3, from both the developers’ and the users’ perspectives. These views include the:

· Functional view: which is enables the user to access and use the functions within R/3.

· The “Configuration” view: which is mostly accomplished through R/3’s Implementation Guide (IMG). This is used primarily used by R/3 consultants in configuring R/3.

· The ABAP Workbench: is used by developers to create code routines in the ABAP language that add new functionality to R/3.

1.2 R/3’s Sales and Distribution Module

· The Sales and Distribution Module covers the path of an order from initiation (and even pre-initiation), to order fulfillment. All the different processes of the order life-cycle are linked within SD and to relevant processes outside SD e.g., Financial Accounting and Materials Management. Characteristics of SD are:

· Multilingual/Multicurrency: Several languages can be used. Conversion between currencies is automatic and connecting to SAP's realtime currency rate database in Germany enables operational use.

· Customization. R/3 allows you to customize the product to meet the specific requirements of your organization. This is done through the IMG (Implementation Guide) and other functions.

· Pricing Flexibility. In SD, you can create complex pricing schemes that are dependent on customers, goods sold, special promotions etc. Rebate processing options are also very sophisticated and comprehensive.

· Simple Order Entry. The user enters basic order details all on one window. From this window, there is simple access to all the levels of the order, namely header, item, and schedule line information.

· Comprehensive Reporting. The Sales Information System (SIS) allows data to be stored, consolidated, and reported upon by the user in a variety of formats.

· Flexible Batch Processing of Orders. Orders, deliveries, shipments, invoices and other sales documents can be generated in batch form, based on order types (e.g., incomplete orders) or customer, or material. Processing of batched orders can also be made to run as background tasks to balance processing load.

1.3 SD Organizational Structures in R/3

R/3 is extremely configurable and able to model many types of organizational structure. However, these must be defined in R/3 terms, involving Business Process Reengineering (BPR) and organizational restructuring (or redefining). The following are R/3's SD-related organizational structures.

· Client. This is one instance of R/3, representing a company. Usually, an organization will have a minimum of 3 active clients. All clients can be active simultaneously. They are:

1. The Development Client: This client is an instance of the organizational processes and data that is used during development.

2. The Test Client: The development client is 'transported' to the Test Client, a separate instance, where it is tested.

3. The Production Client: Following testing, the test client is migrated to the production client, which is the one that users see and use.

· Company Code. A company code is an independent accounting unit that represents an individual company. It has a set of Profit/Loss Statements and one balance sheet.

· Sales Organization. This represents a selling unit, as defined by R/3. That is, the organizational unit responsible for a sale, returns, and product liability. A company code can have several sales organizations.

· Distribution Channel. This is the means by which the product is supplied to the customer. Examples of distribution channels are wholesale, retail, catalog, web-based, etc.

· Division. This represents a company's product line. So for example, personal computers might represent one product line, minicomputers another. However, corporations have great flexibility in defining divisions and other elements.

· Sales Area. A sales area is a unique combination of sales organization, distribution channel, and division.

· Plant. A plant is a location where goods are manufactured or stored. A plant can be used by several sales areas.

Other organizational units, such as salesgroups will be defined later.

2 Create a Basic Order in R/3

The path is:

LogisticsàSales and Distribution à SalesàOrderàCreate

(Transaction Code: VA01)

Order Type	OR
Sales Organization	3000
Distribution Channel	10
Division	00

Hit <Enter> to proceed to the order entry screen. GG represents the instructor-assigned number of your group. Group 1 is 01, group 2, 02, and so on.

Customer #	8GG
Order Date	today's date
Customer PO#	po-ex1-GG
Item 1 Material	R-1150
Item 1 Quantity	10
Item 2 Material	R-1151
Item 2 Quantity	5

In this order, the customer is ordering a quantity of 10 of material R-1150 and 5 of material R-1151. The order date is today and the purchase order number is assigned by the customer. R/3 performs no checks on the PO#.

· Click on <Header> to see details at the header level of the order, such as the total price, sold-to party, the document currency, and the pricing structure for the entire order.

· Click on <Item> to see details of each item in the order. Data includes the material number, item pricing, plant and storage locations, and the ship-to address.

· Click on <Schedule Lines> to see details of multiple schedule lines for an item. Information provided includes delivery dates for each part of the item quantity e.g., 10 items now and 10 later. It shows schedule line quantity and confirmed quantity also.

Click on the <Save> Button to save the order. Record the assigned order #.

2.1 Order Types

There are several types of orders in R/3. In addition, the systems analyst can create customized order types that behave in desired ways. The most common type of order is the OR order type or standard order. Another order type is the CS order type, which is a cash sale. Each order behaves differently in regard to delivery times, billing, payments etc.

2.2 Checking Available Stock

The various modules of SAP R/3 are interconnected, so that changes made in one module "ripple though" to other modules. Checking available stock before and then after the order is made is a way to demonstrate these interconnections. To do so, use the path:

LogisticsàMaterials ManagementàInventory ManagementàEnvironmentàStockàStock Overview

(Transaction Code: MMBE)

Field

Value

Material

R-1150

Plant

3800

How much stock is available for orders and how much stock is scheduled for delivery?

2.3 Create a Second Sales Order

The objective of this exercise is to create a sales order, comprising two items: R-1150 and R-1151. (GG is the group number.)

LogisticsàSales and Distribution à SalesàOrderàCreate

(Transaction Code: VA01)

Field

Value

Sales Order

OR (standard order)

Sales Organization

3000

Distribution Channel

10 (final sales)

Division

00 (cross division)

In the materials form, enter the two materials and quantities (15 and 5):

Material

Quantity

R-1150

R-1151

1. Click on the save icon to save the sales order.

2. Record the sales order number that appears at the bottom of the window.

3. Using the path: Header à Business Data, record the payment terms.

4. Using the path: Item à Business Data, record the plant and route.

5. Using the path: Item à Schedule Lines, record the scheduled delivery dates.

6. View the document flow using the path: Environmentà Document Flow.

A Plant is a place where goods are made or distributed, while a Shipping Point is a point from which goods leave the plant for the customer. It is also the start of the route. Each plant can have many shipping points.

2.4 Re-checking Available Stock

Create and/or go to an alternate session to re-check inventory. Checking available stock after the order is possible using the path:

LogisticsàMaterials ManagementàInventory Management à Environment à StockàStock Overview

(Transaction Code: MMBE)

Field

Value

Material

R-1150

Plant

30GG

· How much stock is now available for orders and how much stock is scheduled for delivery? Does this differ from your initial inventory levels and why?

3 Creating Deliveries

In the Customer Order Management (COM) Cycle, there are two ways to create a delivery after the order is created. You may proceed through the main menu:

LogisticsàSales and Distribution àShipping and Transportation à OutBound DeliveryàCreate à Single Document à With Reference to a Sales Order

(Transaction Code: VL01N)

Alternatively, within the order, go to:

Sales Document à Deliver

This takes you to the delivery screen. There are three fields that must be entered, namely, shipping point, selection date, and the order number.

Field

Value

Shipping Point

30GG

Selection date

{10 days from today}

Sales Order

Order No. {should default to order #}

The selection date is the date up to which you are looking for a delivery to be made from the order. The standard order type in R/3, OR, is configured with a delivery time of seven days, so the date must be pushed out to "catch" the order's delivery.

The next activities in the creation of the delivery are to save and record the delivery, and then examine the document flow of the order to see how the delivery has been recorded by R/3.

1. Click on the <Save> Button to save the delivery.

2. A delivery number is generated and displayed at the bottom of the screen. Record this number.

3. Create and/or switch to another session.

4. Pull up the order being processed using its order number:

Re-examine the order using the following path:

LogisticsàSales and Distribution à SalesàOrderàChange

(Transaction Code: VA02)

5. Go to the document flow for the order: EnvironmentàDocument Flow . What is the current status of the order? What is the status of the delivery?

The order should be Completed, while the Delivery should be labeled: Being Processed.

3.1 Picking, Packing, and Post Goods Issue in Deliveries

After the delivery has been created, three activities are needed to complete the delivery process within R/3. They are:

1. Picking. Here the factory personnel physically transfer the ordered goods out of their storage location in readiness for shipping to the customer and record this activity within R/3. Picking is mandatory for deliveries.

2. Packing. Some materials require packing within boxes, cartons, or other enclosures prior to shipment to the customer. Packing within R/3 documents this activity. This process is optional, as not every item requires packing.

3. Post Goods Issue. This is the last of the three stages and occurs when the goods leave the plant through a shipping point. At this stage, an accounting document is created that is used for the next stage in Order Management, Billing. Post Goods Issue is mandatory for deliveries.

· Return to your delivery screen using the following path:

LogisticsàSales and Distribution àShipping and Transportation à OutBound DeliveryàChange

(Transaction Code: VL02N)

· Go to the picking screen using the following path:

Subsequent Functionsà Transfer Order

· Hit <Enter>

· Check the following pick quantities in the Transfer Order:

Material

Pick Quantity

R-1150

R-1151

· Click on <Enter> and then <Save>.

· In another session, pull up the order and examine document flow using the path: Environmentà Document Flow. What is the new activity shown in the document flow?

· Return to the Delivery in the previous session. Use Deliveries à Change Delivery.

· Click on <Post Goods Issue>. Write down the document number for the accounting document generated.

3.2 Checking Available Stock

Checking available stock after the delivery is completed to check if the amount of stock slated for delivery has changed. To do so, use the path:

LogisticsàMaterials ManagementàInventory Management à Environment à StockàStock Overview

(Transaction Code: MMBE)

Field

Value

Material

R-1150

Plant

30GG

· How much stock is now scheduled for delivery?

4 Partner Functions

R/3 refers to entities involved in a transaction with your company as partners or 'business partners'. Each customer may represent several functions, each of which is specific to accomplishing part of the transaction. These 'personalities' or functions are thereby referred to as partner functions. The different partner functions are stored within the customer master record. There are four (4) business partners that are mandatory for a customer, namely:

· Sold-to party. The sold-to party (or partner function)is the central partner function through which all the other functions are referenced. The sold-to party is the party that places the order and to whom sales and product prices are recorded against (e.g., for reporting purposes).

· Ship-to Party. The ship-to party is the party (and address) to whom the order is shipped. Can the ship-to differ from the sold-to? Yes, the ship-to party could be at a totally different location e.g., at a shipping/receiving location.

· Bill-to Party. The bill-to is the party to whom the bill is sent. Again, the bill-to can differ from the sold-to and ship-to. For example, it might be the accounts payable department at the customer's company.

· Payer. The fourth mandatory partner is the payer. The payer is the party that pays the bill. This could again be an entity distinct from any of the three parties, with a unique address.

4.1 Examine Business Partners

This exercise involves identifying the business partners for customer 13GG. To do so, create and/or use a new session and use the path:

LogisticsàSales and Distribution àOrdersàChange Order

(Transaction Code: VA02)

Menu: <GoTo> à Header à Partner

· Examine and list the four major partner functions and any others that appear. Use the matchcode to see the whole range of partner functions.

5 Billing

The next stage in the COM (Customer Order Management) Cycle is billing. In R/3, it is possible to perform order-related billing, delivery-related billing and other types of billing. In billing, you can also:

· Cancel created bills,

· Issue debit and credit memos,

· Generate pro-forma invoices,

· Issue rebates, and

· Transfer accounting information to the FI (Financial) module.

5.1 Creating a Delivery-Related Bill

The object of this exercise is to create a delivery-related bill for the customer and transfer it to FI. The steps are as follows:

· In one session, pull up the order and examine document flow using the path: Environmentà Document Flow. Note the different processes shown in the COM cycle.

· Proceed to delivery related billing using the following path:

Logistics à Sales and Distribution à Billing à Billing Document à Create.

(Transaction Code: VF01)

This brings up the Create Bill screen, with the delivery number shown in the leftmost column. This is the column that holds the name of the document from which the bill is created (in this case, the delivery).

· Click on <Enter> to go to the bill creation screen. On this screen, the amount of the bill and the items billed are displayed.

· On the bill creation screen, click on the <Save> button to create the invoice. The bill number is shown at the bottom of the screen.

· Return to the order screen and check the document flow one more time. What has changed? {Answer: A bill has been generated for the order.}

6 Applying Payments

The final stage in the COM Cycle is payments. Payments are not applied in the SD module, but more appropriately, in Financial Accounting (FI). In the FI module, payments may be applied to one invoice or to several. Overpayments and underpayments are also handled in different ways, as defined in configuration.

6.1 Apply a Customer Payment

· To apply a customer payment, use the following path:

Accounting à Financial Accountingà Accounts Receivable à Document Entryà Incoming Payment.

(Transaction Code: F-28)

· This takes you to the <Post Incoming Payments: Header Data> screen and form.

· Enter the following data:

Field	Value
Document Date	{Today’s date}
Document Type	DZ (customer payment)
Company Code	3000
Posting Date	{Today’s date}
Currency/Rate	USD
Bank Data: Account	100000 (dummy Checking Account)
Value Date	{Today’s date}
Open Item Selection: Account	8GG

This takes you to the <Post Incoming Payments: Process Open Items> screens. This shows the list of open items, i.e., open invoices requiring payment. There should be one invoice requiring payment in the Open Items list. If there is more than one invoice listed, make all the other invoices inactive in order to pay on the relevant invoice. The process is as follows:

· In the Open Items list, click on the line with the item to be made inactive.

· Click on <Select Beginning> and then on <Select End>. Finally, click on the <Inactive> Button.

· Repeat the above process until only the desired open item remains active. The total in the Assigned field should now equal the total of the open item, and the Number of Items should equal 1.

· The Amount Entered should equal the value in Assigned. If it does not, the difference will appear in Not Assigned. A negative number means that the customer has underpaid and this difference is still owed. A positive number represents an overpayment, which is owed to the customer.

· Enter the same value in Difference Postings. This represents an additional customer payment or a refund to make up the difference.

7 Free items

In sales, promotions are frequently run that give the customer a free item for the purchase of a fixed number of items. In addition, sales representatives may have the latitude to include a free item with a substantial purchase by a customer. Sample items might also be included as free items within a purchase.

R/3 allows the salesperson to manually include a free item within order entry. This is done by “attaching” the free item to another, paid item in the order using the <higher-level item> field. In the example below, one free item, the

MSI CD-RW Drive

(Material R-1151) is given free with the purchase of an

MSI CD-ROM Drive

(Material R-1150).

7.1 Include a Free Item

· To include a free item in a purchase, use the following path:

Logisticsà Sales and Distribution à Sales à Order à Create.

(Transaction Code: VA01)

· Enter the following data:

Field	Value
Order Type	OR {standard order}
Sales Organization	3000
Distribution Channel	10
Division	00

· Hit <Enter>

· Enter the following data:

Field

Value

Customer #

8GG

Order Date

today’s date

Customer PO#

po-ex2-GG

Item 1 Material

R-1150

Item 1 Quantity

· Use the path, Overviewà Double-line Entry to go to an alternative screen for order entry.

· For the second material, enter the item number for the first material (in this case, 10), in the higher-level item field. For the material, enter R-1151 and for the quantity, enter 1.

· Hit <Enter>

Viewing the order shows that no pricing has been performed for the additional, free item. To view pricing, click on the second item check box, and click on the Pricing icon. Confirm that the price is $0.

· Save the order and record the order number.

8 Examining Transaction Types in the IMG

The standard order we have used in the preceding sections represents a sales document that behaves in a specific way and has certain attributes. For example, when an order (type OR) is created, a delivery interval of 7 days is proposed. When the order is saved also, the assigned order number falls within a specific range. This range is also different from number ranges used by deliveries (LF) and other document types. These ranges are stored within a schema of document types in the IMG.

This chapter examines the structure of the order type, OR, as stored in the IMG to better understand its configuration details and how they may be reconfigured in response to business requirements.

8.1 Viewing the Order Type, OR

· To view the structure of the order type, use the following path:

Toolsà AcceleratedSAP à Customizing à Project Management à SAP Reference IMG

(Transaction Code: SPRO)

This takes you into the customizing area of R/3, where many of the maintenance and configuration options of R/3 are to be found.

The SAP Reference IMG represents the initial unconfigured state of R/3’s structures and document types and is not changed in configuration. The SAP Reference IMG is modified to meet the unique needs of the organization.

· To examine the structure of the OR document, use the path:

Sales and Distribution à Sales Documents à Sales à Sales Document Header à Define Sales Document Types

· Click on <Position> and Type OR in the Sales Document Type field.

· Hit <Enter> and the OR document is listed as the first entry.

· Click to the left of the OR entry to highlight the entire line.

· Click on GoTo à Details to go to the OR entry.

The shown view illustrates various elements of the standard order document and its behavior. The entries are arranged into eight major groups, as listed below:

1. Number Systems.

2. General Control.

3. Transaction Flow.

4. Scheduling Agreement

5. Shipping.

6. Billing.

7. Requested Delivery Date/Pricing Date.

8. Contract.

These configuration groups specify various options that can be changed to conform to the organization’s specific processes and activities. For example, <Item No. Increment> in Number Systems sets the increment by which subsequent line item numbers increase e.g. an increment of 10 will result in line items 10, 20, 30 and so on.

Also, in General Control, <Check Credit Limit> for example determines whether the limit of credit is checked for this order type. The credit group is also specified as are export license details and checking of the line item’s division. The next exercise demonstrates how changing the order configuration in the IMG changes the behavior of the order.

8.2 Changing the Behavior of the Standard Order

In this exercise, we have the following business scenario: Due to increased efficiencies in managing materials, the business can now deliver standard orders in 6 days and need the order type to reflect this. In addition, to retain consistency with the old system, the business wants items to be listed in the order in incremens of 5, not 10, as in the default.

9 Cash Sales and rush orders

Orders we have entered until now been the standard order type, OR. This has a preset delivery duration, such as seven days. However, R/3 also includes other order types to handle many other types of transactions, such as credit memos, returns, product exchanges, and cash purchases. In this exercise, we will use the cash purchase order type, CS as the order type for our transaction.

In a cash transaction, the customer must have an immediate delivery, as they will be leaving the store with the ordered material. Therefore, a cash transaction automatically generates a delivery, unlike the standard order type, OR.

9.1 Create a Cash Sale

To enter a cash order, create a new session or backtrack to the top of R/3’s menu structure and use the following path:

LogisticsàSales and Distribution à SalesàOrderàCreate

(Transaction Code: VA01)

Field

Value

Order Type

Sales Organization

3000

Distribution Channel

Division

Hit <Enter> to proceed to the order entry screen.

Field

Value

Customer #

8GG

Order Date

today's date

Customer PO#

po-ex3-GG

Item 1 Material

R-1150

Item 1 Quantity

In this particular order, the customer is ordering a quantity of 1 of material R-1150. The order date is today. Hit <Enter>. What message does R/3 give at the bottom of the screen?

· R/3 creates a delivery automatically with the order. The delivery number is given, along with the order number.

· Proceed through the main menu on a different screen to examine the delivery. Use the following path:

LogisticsàSales and Distribution àShipping and Transportation à OutBound DeliveryàChange

(Transaction Code: VL02N)

· Go to <OverviewàPicking> and pick one item, corresponding to the order. Click on <Post Goods Issue>

· At this stage, work in the delivery phase is completed. Billing follows.

9.2 Billing For a Cash Sale

Billing works much differently in a cash sale (BV) than in a standard order. In the latter case, delivery-based billing is used as freight charges and other transport-related charges are required from the delivery. However, with a cash sale, an invoice is automatically produced. This is in fact, a cash receipt for the customer.

To bill, use the following path:

Logistics à Sales and Distribution à Billing à Billing Document à Create.

(Transaction Code: VF01)

This brings up the Create Bill screen, with the delivery number shown in the leftmost column. This is the column that holds the name of the document from which the bill is created (in this case, the delivery).

· Change the delivery number to the order number for order-related billing.

· Click on <Enter> to go to the bill creation screen. On this screen, the amount of the bill and the items billed are displayed.

· On the bill creation screen, click on the <Save> button to create the invoice. The bill number is shown at the bottom of the screen.

· Return to the order screen and check the document flow one more time. What has changed? {Answer: A bill has been generated for the order.}

9.3 Rush Orders

Another order that is used within R/3 is the rush order, RO. This order is used when a company must have the material right away, but wants the billing process to follow the regular pattern. It is different from the cash order, BV, because, although the material is picked up right away and a delivery created, no receipt is generated for the customer. Billing occurs later using individual billing or a billing due list.

In this exercise, we will use the rush order type, RO as the order type for our transaction.

9.4 Create a Rush Order

To enter a rush order, create a new session or backtrack to the top of R/3’s menu structure and use the following path:

LogisticsàSales and Distribution à SalesàOrderàCreate

Field

Value

Order Type

Sales Organization

3000

Distribution Channel

Division

Hit <Enter> to proceed to the order entry screen.

Field

Value

Customer #

8GG

Order Date

today's date

Customer PO#

po-ex4-GG

Item 1 Material

R-1151

Item 1 Quantity

In this particular order, the customer is ordering a quantity of 3 of material R-1151. The order date is today. Hit <Enter>. What message does R/3 give at the bottom of the screen?

· R/3 creates a delivery automatically with the order. The delivery number is shown, along with the order number.

· Proceed through the main menu on a different screen to examine the delivery. Use the following path:

LogisticsàSales and Distribution àShippingàDeliveriesàChange Delivery

· Go to <OverviewàPicking> and pick the item that corresponds to the order. Click on <Post Goods Issue>

· At this stage, work in the delivery phase is completed. Billing follows.

9.5 Billing a Rush Order

Billing works similarly to that of a cash sale, BV, in that order-based billing is used. Freight charges and other transport-related charges are not required as the customer already picked up the item. However, unlike a cash sale, no invoice is automatically produced.

To bill, use the following path:

Logistics à Sales and Distribution à Billing à Billing Document à Create.

(Transaction Code: VF01)

· Change the delivery number to the order number for order-related billing.

· Click on <Enter> to go to the bill creation screen. On this screen, the amount of the bill and the items billed are displayed.

· On the bill creation screen, click on the <Save> button to create the invoice. The bill number is shown at the bottom of the screen.

· Return to the order screen and check the document flow one more time. What has changed? {Answer: A bill has been generated for the order.}

10 Inquiries and Quotations

In the normal course of selling, customers contact the organization to make inquiries or to request quotations for specific quantities of materials. In R/3, there are several transaction types used to record these transactions.

The purpose of having inquiry and quotation transaction types is twofold. First is simply to record the specific customer transaction. Second, if customers place orders in the future, information from inquiries and quotations may be imported into the order, reducing data entry. Third, customers may use quotation to obtain guaranteed pricing on quoted materials. Lastly, they provide a means of evaluating future income from sales represented by past inquiries and quotations. In the following exercises, we examine the two transaction types.

10.1 Creating an Inquiry

To create an inquiry, create a new session or backtrack to the top of R/3’s menu structure and use the following path:

LogisticsàSales and Distribution à SalesàInquiryàCreate

(Transaction Code: VA11)

<><><><><><><><><><>

Field

Value

Inquiry Type

Sales Organization

3000

Distribution Channel

Division

Hit <Enter> to proceed to the inquiry data entry screen.

<><><><><><><><><><><><>

Field

Value

Customer #

8GG

From Date

today's date

To Date

end of the month

Item 1 Material

R-1150

Item 1 Quantity

In this transaction, the customer is placing an inquiry for a quantity of 3 of material R-1150 (a

CDROM Drive

· Examine the PRB field. What probability is assigned to the inquiry?

· Examine the Expected Order Amount field. How is this number calculated? {It is the probability multiplied by the inquiry total $ amount.}

Click on the <Save> Button to save the inquiry. Record the assigned inquiry #.

10.2 Create an Order Referencing the Inquiry

Some time after making an inquiry, the customer may call back to place an order that may be based on the inquiry. They may not remember their inquiry number. In that case R/3 automatically brings up stored inquiries (and quotations also). In the next example, we will assume that the customer remembers the inquiry number.

To create an order that references the inquiry, backtrack to the top of R/3’s menu structure and use the following path:

LogisticsàSales and Distribution à SalesàOrderàCreate with Reference toàInquiry

(Transaction Code: VA01)

· When prompted, enter the inquiry number.

· Click on <Copy> to copy all the items and quantities into the order.

· When the order form comes up, make sure the material R-1150 has been pulled up with a quantity of 1.

· Enter the purchase order number, po-in1-GG.

· Click on the <Save> Button to save the inquiry. Record the assigned inquiry#.

· Check the document flow for the order. What does it show? {It shows that the order was created from the Inquiry.}

10.3 Partially Reference a Second Inquiry

Return to the <Inquiry> option in the Sales screen and create another inquiry using the following data.

<><><><><><><><><><><><><><><><>

Field

Value

Customer #

8GG

From Date

today's date

To Date

end of the month

Item 1 Material

R-1151

Item 1 Quantity

Item 2 Material

R-1150

Item 2 Quantity

In this case, the customer is placing an inquiry for 3 CDROM drives and 2 CD-RW Drives. The object of this exercise is to determine the effect of partially referencing an inquiry.

Create an order that partially references the inquiry using the following path:

LogisticsàSales and Distribution à SalesàOrderàCreate with Reference toàInquiry

(Transaction Code: VA01)

· When prompted, enter the inquiry number.

· Click on <Copy> to copy all the items and quantities into the order.

· When the order form comes up, change the material quantity for material; R-1151 from 3 to 2, as the customer indicates they now require only 2 headlights.

· Check the box to the left of the Material 2 (

CR-RW Drive

), and select <Edit> and <Delete Line Item>. This ensures the second material is not referenced.

· Enter the purchase order number, po-in2-GG.

· Click on the <Save> Button to save the inquiry. Record the assigned inquiry#.

Performing these actions means that the first line item in the Inquiry has only been partially referenced. There should be a quantity of 1 remaining in that line item. The second material (the

CR-RW Drive

) has not been referenced at all.

To attempt to reference the inquiry again, create another order that references the inquiry using the path:

LogisticsàSales and Distribution à SalesàOrderàCreate with Reference toàInquiry

(Transaction Code: VA01)

· When prompted, enter the inquiry number.

· Click on <Copy> to copy all the items and quantities into the order.

· Did the first material come up?

· Did the second material come up?

In R/3, partially referencing an inquiry’s line item completely references that line item, regardless of remaining quantities. However, other line items in the inquiry may be referenced if they have never been referenced before. This behavior is unique to inquiries, as we will see in the next section on quotations.

10.4 Creating a Quotation

To create a quotation, create a new session or backtrack to the top of R/3’s menu structure and use the following path:

LogisticsàSales and Distribution à SalesàQuotationàCreate

(Transaction Code: VA21)

<><><><><><><><><><>

Field

Value

Inquiry Type

Sales Organization

3000

Distribution Channel

Division

Hit <Enter> to proceed to the quotation data entry screen and enter the following data:

<><><><><><><><><><><><>

Field

Value

Customer #

8GG

From Date

today's date

To Date

end of the month

Item 1 Material

R-1150

Item 1 Quantity

In this transaction, the customer is requesting a quotation for a quantity of 2 of material R-1150 (a CDROM drive).

· Examine the PRB field. What probability is assigned to the quotation?

· Examine the Expected Order Amount field. How is this number calculated? {It is the probability multiplied by the quotation total $ amount.}

· Click on the <Save> Button to save the quotation. Record the assigned quotation #.

The probability of a quotation is generally assumed to be higher than that of a more casual inquiry i.e., 70% vs. 30%. In truth, they will differ from company to company and are arrived at by a study of historical data, such as how many inquiries and quotations were later referenced by orders.

10.5 Create an Order Referencing the quotation

Similar to an inquiry, the customer may call back to place an order referencing the quotation. Again, they may not remember their quotation number, but again, we assume that the customer remembers the quotation number.

To create an order that references the quotation, use the following path:

LogisticsàSales and Distribution à SalesàOrderàCreate with Reference toàQuotation

(Transaction Code: VA01)

· When prompted, enter the quotation number.

· Click on <Copy> to copy all the items and quantities into the order.

· When the order form comes up, make sure the material R-1150 has been pulled up with a quantity of 2.

· Enter the purchase order number, po-qt1-GG.

· Click on the <Save> Button to save the quotation. Record the assigned quotation#.

· Check the document flow for the order. What does it show? {It shows that the order was created from the Quotation.}

10.6 Partially Reference a Second Quotation

Return to the <Quotation> option in the Sales screen and create another quotation using the following data.

<><><><><><><><><><><><>

Field

Value

Customer #

8GG

From Date

today's date

To Date

end of the month

Item 1 Material

R-1151

Item 1 Quantity

In this case, the customer is placing an quotation for 4 headlights. The object of this exercise is to determine the effect of partially referencing a quotation.

Create an order that partially references the quotation using the following path: