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What is the relation/definition for Vendor, Supplier, Business Partner and Customer in SAP?

former_member206388
Contributor
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Hi Friends,

I used to get confused on the terminology used to identify Supplier and Vendor in SAP master data space.

Can you explain in detail what is the relation/definition for Vendor, Supplier, Customer and Business Partner in SAP?

Is Supplier and Vendor same as definition or same in terms of the master data?

Thanks

Bala

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Answers (3)

Answers (3)

Former Member
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Strictly talking in terms of Master Data, yes Supplier and Vendor do mean the same thing. As explained above a customer is a person or organization who buys your company's offerings, be it products or services. A business partner is a party which has an interest in your company. he can be a freight forwarder, carrier or someone else who is involved in your company's business.

Former Member
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Hi,

Vendor : is not to be a manufacturer & vendor who vend material/item from principle supplier/manufacturer. Vendors appointed by manufacturer's/suppliers as authorized distribution person or center. Vendor who vend material/items from principle supplier. And finally Vendor who is local person who can easily available for local requirements easily.

Supplier: can be a manufacturer or principle supplier for the territory/country. Supplier who owns huge volume of stocks of material/items. Supplier monitor all over vendor capabilities and sale targets.

Vendor monitor his local area requirements and Supplier monitor his country/territory specific requirements. Businesses prefer to rely on local vendor than Principle supplier considering distance, delays, conflicts etc.

Business partner is a partner of business. He owns a share in business investments, risks and profit and losses. This business partner sometimes may be play a role of supplier, vendor, customer to sell your products and provide services to your business. For all his acts he will charge accordingly, but also a business partner for client financial aspects.

Customer in general a person who buys products or services from a principle business. Customer always liable to business and can avail loan facilities from principle business. Similar customer is eligible to get benefits from business like promotions, incentives and special discounts on sales.

These as per SCM and hope covered your requirement.

former_member184701
Active Contributor
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