Company codes

[Former Member]

Hello,

1) As an example, if a company has its presence in every country of the world. Then do we need to create separate company code for each country Is it mandatory. If not, can you give one example where for two countries we can have one company code ?

2) If plant located in one country has a stock shortage, the same can be procured from another country plant . then it will be treated as a normal inter company billing. Is this correct or one needs a plant aborad functionality ?

3) We are starting off with a new project for our client which has presence in various countries. We will be developing a global template in which we will be writing things such as business process etc. Additionally we will also be mentioning things like order types etc. Only 5 countries will be put on SAP first and then after a yr or so, renaming countries will be on SAP.

My questions are

3a) if we define the order type ZOR for normal orders in the globe template, then do order type ZOR becomes valid for all the countries(present 5 and then later for balance ) and do all the countries have to follow ZOR order type for normal sales sceanrio ?

3b) If for the present 5 countries for which SAP is being installed have some of their own local requirments/unique business processes, then do we need to define every countries local unique business process in the global template or each of the five country will have its own local template ?

Put simply We need to know whether global template will have general business processes/config valid for all the countries and then any local specialised business processes will be part of each countries template or do we need to have a global template valid for all countries with modifications done in the global template itself for all the countries unique requirements and so there will be no need for local country template ? In this was we have global template modified for all the 10 countries ??

regds

[csaba_szommer · Accepted solution]

(sorry for the format of the post, it seems something is wrong with the web application of SDN)

1) As an example, if a company has its presence in every country of the world. Then do we need to create separate company code for each country Is it mandatory. If not, can you give one example where for two countries we can have one company code ?

Normally you need a separate company in SAP for each country in which the real company exists as a legal entity.

2) If plant located in one country has a stock shortage, the same can be procured from another country plant . then it will be treated as a normal inter company billing. Is this correct or one needs a plant aborad functionality ?

If there's a separate company in the other country (=separate legal entity) and it is mapped in SAP as a company code you should not use the plants abroad functionality.

http://help.sap.com/erp2005_ehp_04/helpdata/EN/e5/077f984acd11d182b90000e829fbfe/frameset.htm

3) We are starting off with a new project for our client which has presence in various countries. We will be developing a global template in which we will be writing things such as business process etc. Additionally we will also be mentioning things like order types etc. Only 5 countries will be put on SAP first and then after a yr or so, renaming countries will be on SAP.
My questions are 
3a) if we define the order type ZOR for normal orders in the globe template, then do order type ZOR becomes valid for all the countries(present 5 and then later for balance ) and do all the countries have to follow ZOR order type for normal sales sceanrio ?

The use of order type is not controlled at country / company level, it can be controlled at sales area level. Please examine this customizing node:

SPRO > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Assign Sales Area To Sales Document Types

3b) If for the present 5 countries for which SAP is being installed have some of their own local requirments/unique business processes, then do we need to define every countries local unique business process in the global template or each of the five country will have its own local template ?
Put simply We need to know whether global template will have general business processes/config valid for all the countries and then any local specialised business processes will be part of each countries template or do we need to have a global template valid for all countries with modifications done in the global template itself for all the countries unique requirements and so there will be no need for local country template ? In this was we have global template modified for all the 10 countries ??

In my opinion you should distnguish between the global processes and the local processes. Whether you do it in the same or separate document it's your decision.

(e.g. you may have one document for sales global template and after that you can add new chapters in relation to each country and you can discuss in those chapters what are the local processes / settings - what are the things which deviate from the global template)

Edited by: Csaba Szommer on Aug 30, 2010 11:51 AM

Edited by: Csaba Szommer on Aug 30, 2010 11:52 AM