Order-to-Cash (Third Party Order Processing - Material) SAP Business ByDesign
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1 Order-to-Cash (Third Party Order Processing - Material) SAP Business ByDesign
2 Table of Content 1 About this Document Purpose Reference System and Model Company Master and Organizational Data Business Process Tasks Third-Party Order Processing with Direct Sourcing Fast Track Create Sales Order Enter Third-Party Order Fulfillment Create Customer Invoice Exceptional Third-Party Order Processing for Stock Item Create Sales Quote Approve Sales Quote Create Sales Order Consider further Procurement Possibilities (optional) Enter Third-Party Order Fulfillment Create Customer Invoice Create Supplier Invoice Perform Goods Receipt and Invoice Receipt Clearing for Third Party Order Processing (optional) Connected Scenarios July 28,
3 1 About this Document 1.1 Purpose The objective of this business scenario document is to give you hands-on experience of running the chosen business processes in a realistic business environment using the SAP Business ByDesign system. It allows you to quickly become familiar with this business scenario by guiding you through the steps that you need to carry out in the reference system. To obtain a better understanding of the business processes that make up this scenario, also refer to the Scenario Outline for this scenario. 1.2 Reference System and Model Company A reference system is a system that is preconfigured and loaded with fictitious users and sample data. The users and sample data are based on the model company Almika Inc.. By following the step-by-step instructions in this document, you can assume the identity of the Almika users and use the built-in sample data to carry out each of the business process tasks. This hands-on experience will help you to understand the relevance and benefits of this business scenario. To learn more about the model company that uses the business processes described in this document, read the Company Fact Sheet, which contains an overview of the reference company, its organizational set up, employees and their different roles and work centers, as well as a comprehensive list of the master data used in your system. You can find the Company Fact Sheet in the Help Center of your reference system. To access this document, choose Help Help Center and open the link under the heading Company- Specific Help. July 28,
4 2 Master and Organizational Data Each SAP Business ByDesign Reference System contains essential master and organizational data, which reflect the typical organizational structure of a mid-size company of a specific industry allow you to run the industry specific processes using the appropriate master data, for example, materials, vendors or customers. For this scenario, use the master data as described below. If you want to run the scenario with customer and project-specific values, you can copy master data with certain characteristics from the sample entries in the table and adapt this data. For an illustration of the organizational data as well as additional information (bill of material, logistics layout) about the reference company, refer to the Company Fact Sheet. Master / Org. Data Type Name and Value Usage Customer Supplier Luxury Heating & Cooling Co. (CP100120) Technical Components Inc. (S100401) Standard customer Standard / contract item Exceptional drop shipment / list price Product Regulation Unit 90 (P100202) Product Regulation Unit 70 (P100205) Third party order processing fast track Exceptional third-party or Drop shipment for stock item Can be used for returns from customer and to supplier Contract ID 13 Third-party order with S List Price ID Third-Party Order with S Product/supplier: P S July 28,
5 3 Business Process Tasks 3.1 Third-Party Order Processing with Direct Sourcing Fast Track What You Should Know The sales representative receives a customer order for a product and enters the requirement into the system. After the sales order has been released, the system starts a sourcing procedure which can vary depending on the scenario setup. In this case, the system uses an automated procedure to create a purchase request and convert it into a purchase order (supplier contract). This document is automatically sent to the supplier with the relevant ship-to information. When the supplier has fulfilled the delivery, the sales representative receives a notification. He enters the corresponding delivery notification information into the system. The follow-up documents are created automatically and can be further processed. An electronic data exchange process supports the data exchange between different SAP systems (for example, ERP, ByDesign). It can be set up so that purchase orders, purchase order acknowledgements, advanced shipping notifications and invoices are automatically dispatched between systems. This capability is used in various scenarios, including Intercompany Logistics. Please refer to the respective scenario documentation for details. In case of a return process you can refer to the standard return process functionality in the system. In case of further guidance needed, please check the business scenario documents for customer and supplier return processes or help center information. Please be aware that for the return process the used product must be known as a logistic product which is not the case for the used product in the following demo case. The product used in the next demo case can be used for end-to-end return process, too Create Sales Order SALES02P (Sales Representative / Kate Jacob) Sales Orders Common Tasks: New Sales Order New Sales Order view Name Product ID Luxury Heating & Cooling Co. (CP100120) Regulation Unit 90 (P100202) July 28,
6 Quantity Requested Date 5 EA <Today s date + 5 days> Click Submit, and then choose Release Order. Make a note of the sales order ID Enter Third-Party Order Fulfillment SALES02P (Sales Representative / Kate Jacob) Third-Party Order Fulfillment Third-Party Purchase Orders Third-Party Purchase Orders view Show Open Purchase Orders and Find < sales order ID > Click Go. Third-Party Purchase Orders view Delivery Notification ID < any ID > Select the line item with the sales order created in the previous step. Click New Third-Party Delivery Notification. Click Check Consistency. Click Release and then click Close. July 28,
7 3.1.3 Create Customer Invoice SALES02P (Sales Representative / Kate Jacob) Customer Invoicing Invoice Requests Invoice Requests view Show Today s Invoice Request and Find < sales order ID > Click Go. Click Invoice to open the New Invoice window and review the displayed data. For processes involving third-party order processing, a general tax code clarification warning shows up. Click Release. Make a note of the invoice number. 3.2 Exceptional Third-Party Order Processing for Stock Item Create Sales Quote SALES02P (Sales Representative / Kate Jacob) New Business Common Tasks: New Sales Quote New Sales Quote screen Name Luxury Heating & Cooling Co. July 28,
8 (CP100120) Product ID Regulation Unit 70 (P100205) List price item, ID P Quantity 30 EA Discount (%) 15% Requested date <Today s date + 10 days> Valid To date <Today s date + 10 days> Click Check Availability per line item to check if the product is available. In this case, you will see a green ATP check symbol. In the Third-Party Order Processing scenario, the ATP check actually executes ATP scheduling in order to check the fulfillment of the customer request date. Click Submit. Make a note of the created sales quote ID Approve Sales Quote SALES01P (Sales Manager / Bob Menson) Managing My Area Approvals Approvals view Show Open Tasks Select the task item of the created sales quote and click Approve. July 28,
9 3.2.3 Create Sales Order SALES02P (Sales Representative / Kate Jacob) New Business Sales Quotes Sales Quotes view Show All Quotes Highlight the sales quote from the previous step and click Follow-Up Sales Order. New Sales Orders view Requested Date <today s date +2 days> Based on a requested update by customer, change the requested date and press Enter. The requested date you have entered will yield a yellow ATP-Scheduling result, which indicates that further adjustments are needed to deliver the product in time. Click Assign Source of Supply. On the Assign Source of Supply to Item XX view, you can find the defaulted Ship-From location. This indicates that the regular fulfillment is handled internally. Assign Source of Supply to Item XX view Fulfillment External Due to the accelerated third-party process and the maintained master data parameter, the ATP-Scheduling changes from yellow to green. The customer s requested date can be met. Click Submit Release Order. Make a note of the sales order ID. July 28,
10 3.2.4 Consider further Procurement Possibilities (optional) What You Should Know Basically, Third-Party Order Processing creates purchase order requests for external procurement. Whether purchase orders are created automatically depends on the system setup, which you can define on product category layer. You can find the settings in the work center Purchase Requests and Orders Common Tasks Define Automatic Creation of Purchase Orders. In a standard reference system, the setup for most product categories is such that the creation of purchase orders is automatically triggered. When you monitor created purchase orders, you have the following procurement options: Cancelling the purchase order (prerequisite to adjust the following procurement options) Assigning different source of supply Processing purchase requests bundle and order Initiating and processing an RFQ scenario Grouping sourcing request items For detailed description of procurement variants and options see the business scenario document for Procure-to-Pay. PURCHASE02 (Buyer / Bill Warner) Purchase Requests and Orders Purchase Orders Purchase Orders view Show Purchase Orders Created Automatically Click Advanced to enter further query selection options. Process Type Third-Party In the right section of the variables overview. Assigned to Sales Order ID Sales Order < ID of the sales order you created > Click Go for the query results. Click Edit to open the purchase order details Review the purchase order information and Close the window. July 28,
11 3.2.5 Enter Third-Party Order Fulfillment SALES02P (Sales Representative / Kate Jacob) Third-Party Order Fulfillment Third-Party Purchase Orders Third-Party Purchase Orders view Show Open Purchase Orders and Find < sales order ID > Click Go. Third-Party Delivery Notification view Delivery Notification ID < any > Select the line item with the sales order created in the previous step. Click New Third-Party Delivery Notification. Select Check Consistency. Click Release and then Close Create Customer Invoice SALES02P (Sales Representative / Kate Jacob) Customer Invoicing Invoice Requests Invoice Requests view Show Today s Invoice Request and Find < sales order ID > Click Go. July 28,
12 Click Invoice to open the New Invoice view and review the displayed data. For processes involving third-party order processing, a general tax code clarification warning shows up. Click Release. Make a note of the invoice number Create Supplier Invoice FINANCIAL02 (Accountant / Iris Green) Supplier Invoicing Invoice Entry Invoice Entry view Show All Deliveries to be Invoiced and Find < your sales order ID > Click Go. Click New Invoice. New Invoice screen External Document ID < any > Invoice Date < Today s date > Click Post Perform Goods Receipt and Invoice Receipt Clearing for Third Party Order Processing (optional) What You Should Know You use goods receipt and invoice receipt (GR/IR) clearing to calculate the balances of those balance sheet accounts containing goods that have been delivered and goods that have been invoiced. With GR/IR clearing, you compare received and invoiced quantities along with their valuation on the level of single deliveries. For quantities that have been delivered and invoiced the system clears the clearing July 28,
13 accounts and passes any differences in valuation to the receiver of the goods, such as material stock or cost accounting object. Any remaining balance on the clearing accounts indicates that some of the invoiced goods have not yet been delivered or that invoices have not yet been received for some of the delivered goods. The run compares the delivered and invoiced quantities and debits or credits any differences in their valuation to the receiver of the goods. GR/IR clearing distinguishes differences that are due to changes in valuation between goods receipt and invoice receipt and differences that are due to foreign currency conversion at goods receipt time compared to invoice receipt time. FINANCIAL02 (Accountant / Iris Green) Inventory Valuation Periodic Tasks: GR/IR Clearing GR/IR Clearing view Description Test Run Company ID 1000 Set of Books ID - GR/IR Clearing <today s date> check box deselected Purchasing Document ID < keep empty > Closing Step 010 Operational postings Select the New GR/IR Clearing Run. Period / Year < current period and year > for example, 007/2012 for July 2012 Click Start Now. 3.3 Connected Scenarios What You Should Know In case of a return process you can refer to the standard return process functionality in the system. In case of further guidance needed check the dedicated business process procedures for customer and supplier return processes or use the given information in help center. The subsequent steps such as posting the payment and clearing the payment against the invoices are documented in the business scenario document Cash and Liquidity Management (Processing July 28,
14 Payables and Payments) and Cash and Liquidity Management (Processing Receivables and Payments). The receivable steps are typically done for a batch of invoices and payments and not for one specific payment or invoice. In addition to that you can explore more details for procurement variants in the business scenario document for Procure-to-Pay. July 28,
15 Icons Caution Example Tip Note User ID and User Role Work Center and Work Center View Copyright 2012 SAP AG. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vend ors. Microsoft, Windows, Excel, Outlook, PowerPoint, Silverlight, and Visual Studio are registered trademarks of Microsoft Corporation. IBM, DB2, DB2 Universal Database, System i, System i5, System p, System p5, System x, System z, System z10, z10, z/vm, z/os, OS/390, zenterprise, PowerVM, Power Architecture, Power Systems, POWER7, POWER6+, POWER6, POWER, PowerHA, purescale, PowerPC, BladeCenter, System Storage, Storwize, XIV, GPFS, HACMP, RETAIN, DB2 Connec t, RACF, Redbooks, OS/2, AIX, Intelligent Miner, WebSphere, Tivoli, Informix, and Smarter Planet are trademarks or registered trademarks of IBM Corporation. Linux is the registered trademark of Linus Torvalds in the United States and other countries. Adobe, the Adobe logo, Acrobat, PostScript, and Reader are trademarks or registered trademarks of Adobe Systems Incorporated in the United States and other countries. Oracle and Java are registered trademarks of Oracle and its affiliates. UNIX, X/Open, OSF/1, and Motif are registered trademarks of the Open Group. Citrix, ICA, Program Neighborhood, MetaFrame, WinFrame, VideoFrame, and MultiWin are trademarks or registered trademarks of Citrix Systems Inc. HTML, XML, XHTML, and W3C are trademarks or registered trademarks of W3C, World Wide Web Consortium, Massachusetts Institute of Technology. Apple, App Store, ibooks, ipad, iphone, iphoto, ipod, itunes, Multi-Touch, Objective-C, Retina, Safari, Siri, and Xcode are trademarks or registered trademarks of Apple Inc. IOS is a registered trademark of Cisco Systems Inc. RIM, BlackBerry, BBM, BlackBerry Curve, BlackBerry Bold, BlackBerry Pearl, BlackBerry Torch, BlackBerry Storm, BlackBerry Sto rm2, BlackBerry PlayBook, and BlackBerry App World are trademarks or registered trademarks of Research in Motion Limited. Google App Engine, Google Apps, Google Checkout, Google Data API, Google Maps, Google Mobile Ads, Google Mobile Updater, Google Mobile, Google Store, Google Sync, Google Updater, Google Voice, Google Mail, Gmail, YouTube, Dalvik and Android are trademarks or registered trademarks of Google Inc. INTERMEC is a registered trademark of Intermec Technologies Corporation. Wi-Fi is a registered trademark of Wi-Fi Alliance. Bluetooth is a registered trademark of Bluetooth SIG Inc. Motorola is a registered trademark of Motorola Trademark Holdings LLC. Computop is a registered trademark of Computop Wirtschaftsinformatik GmbH. SAP, R/3, SAP NetWeaver, Duet, PartnerEdge, ByDesign, SAP BusinessObjects Explorer, StreamWork, SAP HANA, and other SAP produ cts and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and other countries. Business Objects and the Business Objects logo, BusinessObjects, Crystal Reports, Crystal Decisions, Web Intelligence, Xcelsius, and other Business Objects products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Business Objects Software Ltd. Business Objects is an SAP company. Sybase and Adaptive Server, ianywhere, Sybase 365, SQL Anywhere, and other Sybase products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Sybase Inc. Sybase is an SAP company. Crossgate, m@gic EDDY, B2B 360, and B2B 360 Services are registered trademarks of Crossgate AG in Germany and other countries. Crossgate is an SAP company. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this docume nt serves informational purposes only. National product specifications may vary. These materials are subject to change without notice. These materials are provided by SAP AG and its affiliated companies ("S AP Group") for informational purposes only, without representation or warranty of any kind, and SAP Group shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP Group pro ducts and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. July 28,
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