shipping pt

[Former Member]

1.What is the purpose of shipping point determination not menu path?

2. Which organizational element is central in shipping? Give a definition of it.

3. How many shipping points can you assign to a sales organization?

4.What is purpose of maintaining common distribution channels and common divisions

5. In R/3 you can represent a company's structure by defining and assigning corporate structure elements. What is the purpose of doing that?

[Former Member · Accepted solution]

Hi Rajesh

1) The shipping point determination helps us the identify from which location a particular item has to be moved out or into a plant. The shipping point is determined based on the Storage Condition, Loading Group and Plant.

2) Shipping points are independent organizational entities within which processing and monitoring of the deliveries as well as goods issue is carried out. A delivery is processed by one shipping point only

3) You cannot assign a shipping point to a sales organization. A shipping point is assigned to a plant.

4) The common dist channel and division are maintained in order to reduce the number of master records to be created. Assume you have to maintain the same customer master record for two different division 01 and 02. Instead of doing this you can create a common division, say 00, and create the master record for only the divison 00. So instead of having two records you would have to maintain only one. Consider the no. of records that you would reduce when you have many division and customers.

Regards

Nadarajah Pratheb

[Former Member]

) shipping point is the central onganizational unit is shipping.

3) a shipping point is assigned to a plant.

4)having common distribution channel and common division prevents duplication of master data.

5) organizational structure provides a framework in which business transactions are executed.

[Former Member]

Hi,

<b>5. Organization structure:</b>

This is called as enterprise structure in SAP R/3. Here as per the module you create the unit. Starts from FICO, MM, SD, PP.

<b>FICO:</b> Company code -related G/L accounts, controlling area, credit control area, business area.

<b>MM:</b> Plant, storage location, purchasing organization, purchase group

<b>SD:</b> Sales organization, distribution channels, divisions, sales group, sales office, shipping point.

<b>PP:</b> Work centres, plant parameters

<b>Purpose:</b>

This structure represents the corporate elements so that the flow is streamlined for each & every process. Customer gives PO, customer is there, material is there - if not there then MM will purchase material, sales order is created, MRP is run, production is done, material is delivered, invoice is generated, customer gives payment. So full cycle flows properly if all the structure elements are properly maintained.

Reward points if solution helps.

Regards,

Allabaqsh G. Patil

[Former Member]

Hi,

<b>1. Shipping point determination:</b>

For each item, the SAP System determines the shipping point when processing a sales document. You can change the shipping point in the sales document manually. Shipping points are maintained in Customizing in Section "Create shipping point".

The specification of a shipping point is required for creating a delivery for an order item. The automatic determination of the shipping point depends on the following criteria:

<b>Delivering plant of the item</b>

The delivering plant is automatically determined by the SAP System in the sales document item, on the basis of the ship-to party and the material. You can manually change the delivering plant of an item.

<b>Shipping conditions:</b>

Of the sold-to party or the sales document type

<b>Loading group:</b>

Of the material in question

<b>Significance:</b>

Shipping point is a point from where the goods are actually shipped out from the plant. When creating the sales order the shipping point has to be determined otherwise the delivery cannot be created. The shipping point is determined using transaction code <b>"OVL2"</b>

<b>2. Organizational element:</b>

Plant is central in shipping point. For one plant there can be multiple shipping points. Shipping conditions can change from customer to customer so is the case with loading group as far as material is concerned.

<b>Definition:</b>

In Logistics a plant is an organizational unit for dividing an enterprise according to production, procurement, maintenance, and materials planning. A place where materials are produced, or goods and services are provided.

<b>3. Number of shipping points:</b>

The answer for this question is "NIL" You assign the shipping point to the plant and not the sales organization.

<b>4. Common Dis Channel & Common Division:</b>

You can use this menu item to define distribution channels which have common master data. The allocation is valid within a sales organization.

<b>Example</b>

You can, for example, create customer master data for distribution channel "01" and define it so that it is valid for distribution channels "02" and "03".

<b>Note</b>

The master data shared by several distribution channels applies to conditions and customer and material master data.

This helps you minimize the cost of creating and maintaining the master data.

You can also update statistics for each distribution channel and division without creating the master data for the different sub-areas of the organization.

<b>Common Division:</b>

In this step, you define the divisions that common master data should apply to. The definition is valid within each sales organization.

<b>Example</b>

You can determine, for example, that the conditions which are valid in division "01" also apply to divisions "05" and "06".

<b>Note</b>

The common master data across various divisions refer to the conditions and the customer master data.

You thus minimize the effort of entering and managing master data.

In addition, you can extrapolate your own statistics per division without having to create master data in the different organizational subareas.

<b>Action</b>

For the divisions, define from which other division the master data should be copied.

Reward points if solution helps.

Regards,

Allabaqsh G. Patil

[Former Member]

4.Common Distribution Channel and Common Divison are maintained so that if any master data like customer or material maintained with respect to one distribution channel can be used in other DCh. It prevents the multiplication of master records.

Eg: A customer is created for say sales area 1000/20/00 then the same customer can be used in sales area 1000/30/00 if we maintain 20 as common distribution channel. Hence no need for extending the customers...the same for materials also.

5.Enterprise organization diagram. Chart showing the organizational structure of an enterprise, its organization units and how they are related. A combined structure can be created from the point of view of accounting, MM, SD. This structure forms a framework in which all business transactions can be processed.

3.None.

2.Shipping point---->Shipping Point: Organizational unit at a fixed location that carries out shipping activities. A shipping point could, for example, be a company's mail department or a plant's rail depot. Each delivery is processed by only one shipping point.

1.Shipping point determination will help to determine wear the stock shuold shiip and helps in route determination

[Former Member]

hi

Which organizational element is central in shipping? Give a definition of it.

Shipping Point: Organizational unit at a fixed location that carries out shipping activities. A shipping point could, for example, be a company's mail department or a plant's rail depot. Each delivery is processed by only one shipping point.

Defining Common Distribution channels

The purpose of this activity is to define distribution channels which have common master data. The allocation is valid within a sales organization

In R/3 you can represent a company's structure by defining and assigning corporate structure elements. What is the purpose of doing that?

Enterprise organization diagram. Chart showing the organizational structure of an enterprise, its organization units and how they are related. A combined structure can be created from the point of view of accounting, MM, SD. This structure forms a framework in which all business transactions can be processed

How many shipping points can you assign to a sales organization?

None. u have to assign it to plant

[Former Member]

Hi,

The main use of shipping point is,the system automatically gives the place the shipping activities will takes place.If you want system to give shipping point automatically in order level,you have to do shipping point determination.

Shipping point is the central one in shipping.

we have assign shipping point to Plant not to sales org.....