on 08-20-2010 6:08 AM
Hi,
What are structures and what is the role of structures in SD?
Thank in advance.
Ramesh.
Hi,
You awarded me 6 points on 20th Aug and you took back those 6 points today..
Thanks
Anil
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Sales Office
The western division of the company might be having multiple sales offices in california. For example there could be one in the bay area and another in Los Angeles
Sales Group
Each sales office contains multiple sales groups who have a fixed set of responsibilities. It could be based on the products that they sell or the type of sales that they perform or the role they play in the actual sale. For example, a sales group could be responsible for selling consumables used in the X-Ray while the field-apps will be responsible for selling the software used in the machines.
Plant
A plant is where goods are manufactured. Sometimes, you might not even manufacture anything - Just trade goods. Still you would need a plant. So a plant could be a physical or virtual place where goods are manufactured or stored at a high level. For example, there could be a plant in New Jersey.
Storage Location
Each plant could be associated with multiple storage locations - A place where goods are stored before being sold. For example, the new jersey plant could have storage locations in Edison and Iselin.
Warehouse
A warehouse is an extension of the storage location. While a storage location represents a location where goods are stored, a warehouse goes much further and describes how the goods are sold, the topography of the storage, storage conditions etc. Goods can still be sold without using Warehouse Management, but a sales cannot happen without a storage location.
Sales Office
A combination of the sales organization, distribution channel and division is called the sales area.
Sales Organization + Distribution Channel + Division = Sales Area
Rgds
Raj
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Hi,
Go through the below link to better understand the OTC/SD process.
http://help.sap.com/bp_bblibrary/500/html/W40_EN_DE.htm
Hope this will help you.
Regards,
KRishna O
EXAMPLE -
Let's take the example of General Electric Healthcare ( or GE Medicals ) and discuss the enterprise structure in detail. We have taken GE just as an example, and this enterprise structure in no way represents GE's internal structure. In fact, GE Healthcare does not even use SAP as its ERP.
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Company
GE Medicals is the name of the company. This company has presence across the world. And when GE Healthcare declares profits in the US, it is not just including the US company but the entire world. In SAP parlance, GE Medicals is a Company.
Company Code
GE Medicals in the US will be run through a legal entity. A company code is an entity that has to report its financials to the government on a timely basis. For example an Incorporated entity can be called a company code. In this case, GE Medicals in the US is being called as a legal entity.
Sales Organization
Since the company has presence across the US, there will be sales organizations across the united states responsible for selling goods. For example, the Western division is responsible for selling goods in the Western states. The same organization is also responsible for handling returns, credits, availability of materials etc.
Distribution Channel
Just as the name speaks, a distribution channel is the sales channel through which products are distributed. In this case, the medical equipment could be sold through the direct channel or through an agency. Each of them will be represented as a distribution channel. A more common example could be Retail or Wholesale.
Division
Division is purely related to the product/service we are selling. Its a grouping of our products. For example all different types of X-Ray machines would fall under the X-Ray division.
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Edited by: RAJEEV SHARMA on Aug 20, 2010 8:13 PM
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Hi,
every thing is based on a structure like we are having skeleton similarly
SAP enterprise structure is organizational structure that represents an enterprise in SAP R/3 system. It consists of some organizational units which, for legal reasons or for other specific business-related reasons or purposes, are grouped together. Organizational units include legal company entities, sales offices, profit centers, etc. Organizational units handle specific business functions.
Organizational units may be assigned to a single module (such as a sales organization assigned to Sales and Distribution (SD) module, or to several modules (such as a plant assigned to Materials Management (MM) and Production Planning (PP) module).
SAP R/3 system can represent a complex enterprise structure. Its flexibility can integrate the structure of an enterprise by linking its organizational unit. Enterprise structure design is a fundamental process in a SAP implementation project. The design is mainly determined by the business scenarios performed in an enterprise. Once the design is determined, it will affect many things such as how to perform a transaction and generate reports on SAP system. Although itu2019s possible, it requires great effort to change the enterprise structure. So , we must ensure that the enterprise structure designed in the SAP implementation project can accommodate all business scenarios and enterpriseu2019s requirements for current and future situation.
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Hi,
Please go to this link
http://www.sapstudymaterials.com/2007/12/mm-001-sap-enterprise-structure.html
It will be helpful for you
Thanks
Anil Hooda
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