Purchasing: Purchasing communicates with other modules in the SAP System to ensure a constant flow of information.

For example, it works side by side with the following modules: Controlling (CO): The interface to the cost accounting system !ontrolling" can be seen abo#e all in the case of P$s for materials intended for direct consumption and for ser#ices, since these can be directly assigned to a cost center or a production order. Financial Accounting (FI): Purchasing maintains data on the #endors that are defined in the system %ointly with Financial Accounting. &nformation on each #endor is stored in a #endor master record, which contains both accounting and procurement information. The #endor master record represents the creditor account in financial accounting. Through P$ a'c assignment, Purchasing can also specify which (') accounts are to be charged in the financial accounting system. Sales & Distribution (SD): *ithin the framework of materials planning and control, a re+uirement that has arisen in the Sales area can be passed on to Purchasing. &n addition, when a P, is created, it can be directly assigned to a S$. Procurement for Stock -ersus Procurement for .irect !onsumption : *hen you order a material for stock, the system does not re+uire an a'c assignment as it occurs automatically after each (/. Furthermore, the #alue and the +uantity of the stocked material are updated in the // record. To order a material for stock, the material must ha#e a // record. *hen you procure for direct consumption, you specify the consumption purpose by entering an account assignment for example, a cost center" .A'c assignments are possible for the following purchasing documents: PRs, POs, OAs

Master Records fro

the Purchasing !ie" : /aterial /aster .ata, -endor /aster .ata, Purchasing /aster

.ata such as Purchasing &nfo ,ecord, Source )ist, 0uota Arrangement, !onditions, -endor e#aluation". Material Master Data: The following list shows some types of information a // record contains. 1asic .ata, Accounting, /aterials planning and control, Purchasing, Storage, Forecasting, Sales 2 distribution# Purchasing $alue %e&: 3ey defining #arious #alues for purchasing functions, such as reminder inter#als and tolerances. The system generates the reminders or urging letters expediters" to be sent to a #endor with regard to outstanding +uotations, outstanding order acknowledgments, or o#erdue deli#eries, automatically. Alternati$e 'nits of Measure:

Order unit : 4nit of measure in which a material is ordered. &t is the default unit in purchasing functions.
Order (rice unit: 4nit in which the #endor in#oices you. The order price unit is defined in the P$ or in the purchasing info record. &f you ha#e defined an order price unit in the P$, the (, will be recorded in both the order unit and the $P4.

Sales unit: 4nit of measure in which a material is sold. &t appears as default in a sales order and can be changed there.
'nit of issue: 4nit of measure in which a material is issued from the warehouse'stores. 5ou can use this unit of measure in con%unction with goods issues and physical in#entory acti#ities.

!ariable 'nits of Measure: &n the // record, you can specify that the material can be procured in a unit of measure that
differs from the order unit. &f the material can be ordered in more than one unit of measure, enter 1 in the Variable order unit field. This setting is then adopted in the purchasing info record and allows you to enter an order unit that differs from the one in the purchasing info record when creating or maintaining a P$ or source list. &f you do not allow a #ariable order unit in the // record, you must use the order unit from the // record. !endor Master Data(6378): A #endor master record contains the #endor9s name and address, as well as data such as:The currency used for ordering from the #endor, Terms of payment, :ames of important contact persons sales staff". The #endor master record also contains accounting information, such as the rele#ant control account reconciliation account" in the general ledger. Therefore, the #endor master record is maintained by both Accounting and Purchasing. The account group determines, for example, that only those screens and fields of the #endor master record that are needed for the rele#ant role of your business partner are displayed and ready to accept user input. The account group determines: The type of number assignment and the number range from which the account number used by the system to identify the #endor is assigned

 *hether or not a one;time #endor is in#ol#ed *hich data retention le#els below the purchasing organi<ation are allowed for example, #endor sub;range" *hich partner determination schemas are #alid The 1usiness Partner =#endor= can assume different roles in its dealings with another enterprise. Accordingly, in a procurement transaction, the #endor is first the ordering address, then the su((lier of goods, then the in$oicing (art&, and finally the (a&ee. For this reason, se#eral partner roles partner functions" can be assigned to the #endor. The following partner roles are used in //: -endor )F", $rdering address 1A", (oods supplier *)", &n#oicing party ,S" -endor Sub;,anges -S,s" subdi#ide a #endor9s total product range according to a #ariety of criteria. 5ou can specify which materials or articles belong to which -S, in the info records of the rele#ant #endor. 5ou can maintain certain data at #endor sub;range le#el. For each sub;range: o o 5ou can maintain different data !ertain conditions apply, you can maintain and change separate conditions for each #endor sub;range.

5ou can enter a #endor9s sub;ranges in the #endor master record. -endor sub;range assignment in the info record enables the system to reduce multiple relationships e.g. where se#eral #endor ordering addresses exist for a plant" to a uni+ue one. $ne;Time -endor /aster ,ecords: A =one;time #endor= master record is used for se#eral #endors. *hen creating a )one* ti e $endor) aster record, you must assign a one;time account group. This account group determines that the #endor; specific fields are suppressed. &nfo records are created automatically when you order a material. 5ou can also create, change, and delete info records.

Purchase Re+uisitions(/>?8:): ,e+uisitions can be created either directly or indirectly. The creation indicator
in the re+uisition shows whether the re+uisition was created directly or indirectly. &t is displayed in analyses of re+uisitions and in the statistical data of a re+uisition item. ,e+uisitions can be created indirectly in the following ways: -ia -ia aintenance orders, -ia (roduction orders# aterials (lanning and control, -ia net"or%s,

A P, consists of a number of items, for each of which a procurement type is defined. The following procurement types exist: Standard, Subcontracting, !onsignment, Stock transfer, >xternal ser#ice. 1efore you create a P,, you need to consider the following: If &ou "ant to ### specify an a'c assignment for the item order a material "ith a master record order a material "ithout a master record order a material for a manufacturer part number /P:" enter a #endor as a preferred source of supply create a large number of re+uisitions for the same re+uirement e.g. for a sales order" -hen &ou need ### the a'c assignment category and a'c assignment data the material number the a'c assignment category and a'c assignment data, the P(, the #aluation price, the /(, and the short text. the /P: material number the #endor number a number, which you can specify yourself, to monitor the progress of the re+uisitions the re+uirement tracking no."

ha#e the deli#ery date determined by the system make no entry in the Delivery date field .eli#ery date @ current date A planned deli#ery time for material A purchasing department processing time"
Creating a PR * "ith Master Record: 5ou can specify that Purchasing is to enter into a longer;term purchase agreement with a #endor $As" on the basis of the P,. &f you do so, Purchasing cannot issue a P$ against the re+uisition, it can only set up such an agreement either a =contract= or a =scheduling agreement=".&n this case, enter rv for =outline agreement=" in the Document type field.

For each item, enter the following data: B /aterial no., B P(, B 0uantity, B .eli#ery date &f Purchasing is to set up an outline agreement, you will not be able to specify a deli#ery date.", B Plant and storage location if known".

Creating a PR . "ithout Master Record: For each item enter the following information: Bshort text, B P(, B A'! assignment category, B 0uantity and unit of measure, B .eli#ery date, B /(, B Plant and storage location, B !urrency local or foreign". !hoose Goto Details to enter the #aluation price for the material on the item details screen. The price should reflect the #alue based on the order unit. &f you entered an account assignment category other than u unknown", press ENTER in order to enter additional account assignment data for example, the (') account number". To change a purchase re+uisition, you need to consider the following: If the re+uisition ### has already had a P$ issued against it has been appro#ed was created by /aterials Planning then you must inform the purchasing group changes are only possible to a limited extent and may themsel#es be sub%ect to appro#al you may not be able to change the re+uisition the re+uisition +uantity and deli#ery date may be critical. 5ou may ha#e to notify the materials planner before making any changes. /o" do &ou chec% the re+uisition status0 .isplay the re+uisition statistics. .isplay the release status. !heck the re+uisition creation indicator

Creating RF1s:

/anually, !opying using the referencing techni+ue, automatically. 1efore creating an ,F0, you should consider the following: -endors, .eadlines, :umber assignment, !ollecti#e number, /P:. The collecti#e number 87" enables you to track all ,F0s for a gi#en competiti#e bidding process. &t is same as other purchasing docs except that you cannot enter an account assignment in an ,F0. A +uotation is legally binding on the #endor for a certain period. Creating an RF1 Manuall&( />C8): &n the initial screen enter the deadline for submission of +uotations, the purchasing organi<ation, and the purchasing group. .ocument data: RFQ type, RFQ, $rgani<ational data: >nter the key for your purchasing organi<ation and purchasing group. .efault data: An entry in any of these fields, the #alue becomes the default #alue in each item. 5ou can change this #alue at any time. &n the item o#er#iew screen for each item, enter: The number of the material, +uantity, deli#ery date, plant and that of the

storage location if known". And then enter the #endor number.

Creating an RF1 b& Co(&ing or Referencing: ,F0 by copying an already existing one or adopting items from a P, or an $A. Creating a Deli$er& Schedule for an RF1: >nter this data in the deli#ery schedule for the rele#ant P$ item. Select the desired

item in the item o#er#iew. !hoose Item Delivery schedule.

2ntering a 1uotation Against an RF1(M234): 5ou can enter a #endorDs +uoted prices in one of two ways:

5ou enter the net price per unit in the Net price field. This price includes the #endorDs normal discounts and surcharges only. !ash discounts for prompt payment" and taxes e.g. #alue;added tax" are calculated separately. 5ou enter the gross price in the Net price field, and maintain the conditions for the item. Then the system automatically replaces the entered gross price with the calculated net price

$rder Price 4nit of /easure": &f the +uotation price is based on a different unit of measure than the one you normally use that is, the order unit", enter the order price unit next to the net price in the OPUn field on the item o#er#iew screen. >nter the code for any rele#ant taxes for example, #alue;added tax ; -AT" in the Tax code field !reating an &nfo ,ecord: 5ou should create an info record for +uotations that you decide to accept. &f an info record is a#ailable, the conditions from the +uotation are automatically suggested when a purchase order is created. &f the +uotation is to be stored in a purchasing info record, fill the In oUpdate field on the item detail screen.

Co (aring 1uotations: 5ou can compare the prices from all +uotations recei#ed as a result of a competiti#e bidding process

using the (rice co (arison list . The comparison list ranks the +uotations by item from lowest to highest price. &f a +uotation is submitted in a foreign currency, the price is automatically translated into the currency of the company code, which is determined by your purchasing organi<ation. 5ou should therefore make certain that up;to;date exchange rates are defined in your system. !hoose the comparison #alues to be used. o Reference +uotation: 5ou can compare the +uotations within the list with a sample +uotation. The system displays the percentage de#iation between each +uotation in the list and the sample +uotation. o Mean5 ini u $alue +uotation: The price comparison list can also display a =fictitious= +uotation reflecting the a#erage or minimum #alue of all +uotations. Select either the !ean or !inimum value "uotation field to choose the type of fictitious +uotation. o Percentage basis: The price comparison list displays the percentage of each item in relation to the maximum, minimum, or a#erage price. To determine the display type, enter one of the following: 6 Eighest #alue for each item is the 877F #alue * )owest #alue for each item is the 877F #alue =G= /ean #alue for each item is the 877F #alue Price co (utations: Select the appropriate field to specify which of the following should be taken into account in determining the comparison price: B !ash discount, B .eli#ery costs, B >ffecti#e price. Then #$ecute. The price comparison list displays the price per item in the base unit stored in the material master record. From the price comparison list, you can do the following: .isplay additional information about the material master record for a particular material .isplay additional information on the +uotations in the price comparison .isplay a certain +uotation .isplay a #endor master record &n#oke #endor e#aluation functionsHby positioning the cursor on A #endor, A material, he +uotation data e.g. price or rank"I.

Sa#ing the /arket Price: The market price is the basis for appraising the #endorDs price le#el for a material and is used for #endor e#aluation purposes. A market price can apply to a material or a material group. 5ou can store a price as the market price from within the price comparison list. Position the cursor on the desired price and choose #dit %ave mar&et price. ,e%ecting 0uotations: 'hoose RFQ("uotation Quotation !aintain or from Price !omparison Edit !aintain Quotation >nter the ,F0 number for the +uotation and press ENTER .The +uotation item o#er#iew appears. Set the re%ection indicator column R) for each item you wish to re%ect. 1y choosing #dit Fast chan*e, you can set the indicator for all items in a single step. Sa#e the +uotation.

Purchase Orders:

A purchase order P$" consists of a document header and a number of items. The information shown in the header relates to the entire P$. A procurement type is defined for each of the document items. The following procurement types exist: Standard, Subcontracting, !onsignment, Stock transfer, >xternal ser#ice. !onditions: !onditions can apply at #arious le#els: To the entire purchase order, at item le#el to the material. Account Assignment: !osts can be apportioned among #arious !ontrolling ob%ects #ia the account assignment. -endor !onfirmations: -endors can issue confirmations to the rele#ant purchasing organi<ation indicating their compliance or non;compliance with scheduled deli#ery dates. P$ Eistory: The transactions following on from a P$ are documented in the P$ history on an item;specific basis. Partner ,oles: &nstead of the #endor as the order recipient, other business partners can appear in #arious partner roles. Plant: &n the purchase order, each item is destined for a certain plant. >ach plant belongs to a company code. Texts: 5ou can enter text in a P$ directly or change texts that are suggested by the system. There are two kinds of text: Eeader text, &tem text. ,elease Appro#al" Procedure: P$ can be sub%ect to a release clearance, or appro#al" procedure. The item category determines whether the material defined in a purchase order item: ,e+uires a material number, ,e+uires an a'c assignment, &s to be managed as a stock item, ,e+uires a (, and'or an &,. Standard Ite Categories in POs:

Ite

categor& Characteristics (oods and in#oices can be recei#ed /aterial necessary, :o a'c assignments, /aterial kept in stock, (, necessary, &n#oice receipt not necessary. /aterial number necessary, (, necessary, :o in#oice receipt, Account assignment necessary, (, and &, can take place Account assignment not necessary, (, not necessary, &, necessary, .ocument type F$ necessary

Standard !onsignment Stock transfer Third;party )imit

Subcontracting (oods can be recei#ed, &n#oice receipt necessary

Creating a Purchase Order: 5ou ha#e the following options: !endor %no"n, !endor un%no"n, Creation of POs fro assigned re+uisitions, Stoc% transfer, !endor*Managed In$entor& (!MI)# Creating a Purchase Order Manuall& (!endor 7no"n): To create a P$ manually, you re+uire the following information: Deli$er& date: >ither enter or lea#e the field empty. &f the field is empty, the system determines the deli#ery date from the current date plus the planned deli#ery time for the material. Account assign ent: For each item to be posted to a consumption account, you need the account assignment category and the account assignment data for example, the number of the cost center to be charged". Material nu ber: &f no material master record exists a short description of the material, the a'c assignment, and the /(. MP8 aterial nu ber, Plant, 8u ber assign ent, Price#

!endor: The #endor must ha#e a master record. &f the firm that will in#oice you differs from the firm that will actually supply the goods, enter the #endor number of the former in the Invoicin* party field in the P$ header data. &f you specify the in#oicing party, the latter9s number is used instead of the supplying #endor9s number when the in#oice is entered in your system. Creating a PO * 9ith Master Record: $n the initial screen, enter the necessary data or change the existing default #alues as necessary. &f you enter the -endor Sub;,ange on the P$ item details, the system will determine any #ariant data stored in the #endor master record by means of this -S, an ordering address that differs from the #endorDs address, or different terms of payment". &n the item o#er#iew for each item, you must enter the following: Material, Order +uantit&, Plant5storage location, 8et (rice# The default #alue for the net price is taken from the purchasing info record. &f no info record is a#ailable, it is taken from the last document. &f the price should de#iate from the net price of the last document, enter the net price on the item detail screen. Price unit5order (rice unit: &f the specified price relates to a unit that differs from the order unit, here you can enter the order price unit OPUn column" and the price unit per column)+ 5ou can use the 'ash bud*et mana*ement function in Purchasing to enter a financing entity, a funds center, and a commitment item. Creating a PO * 9ithout a Master Record: Material: )ea#e the !aterial column blank. >nter a short description of the material in the ,e$t field and the material group in the !aterial *roup field. Account assign ent, Order +uantit&, Price, Price unit5order (rice unit, Deli$er& date, Plant5storage location Creating a PO b& Co(&ing or Referencing: Creating a Purchase Order 9ith :ero !alue: &f you wish to monitor the deli#ery dates of a material which is not sub%ect to #alue;based in#entory management e.g. samples", you can create a <ero;#alue purchase order for the material. Eowe#er, you additionally set the Free o char*e indicator in the item o#er#iew. The system will then set the net price of the P$ item to 7 and cancel the IR in#oice receipt" indicator on the item o#er#iew screen. The indicator is automatically set in the standard system." The system will not now accept any incoming in#oices relating to this purchase order. Account Assign ent: Specification of the ob%ects e.g. cost center, sales order, pro%ect" that are charged in the case of a purchase order for a material that is intended for direct usage or consumption.5ou can specify one account assignment for an

item, or se#eral./ultiple account assignment allows you to apportion the cost of a material co#ered by a P$ among your own cost center and se#eral others. Account Assign ent Categor&: The account assignment category determines: The nature of the account assignment cost center, sales order, and so on" *hich accounts are to be charged when the incoming in#oice or goods receipt is posted *hich account assignment data you must pro#ide Account Assign ent Categories: Descri(tion Asset $rder Production order 1usiness process !ost center Sales order &ndi#idual customer re+uirement Pro%ect 4nknown Re+uired account assign ent data /ain asset number and sub;number $rder and (') account number Production order number 1usiness process and (') account number !ost center and (') account number Sales order and (') account number Sales order and (') account number Pro%ect and (') account number :one

5ou can change the account assignment category after entering the item pro#ided that field selection has been set up accordingly in !ustomi<ing. Auto atic Account Deter ination: The system attempts to suggest a specific (') account for a gi#en preliminary account assignment. The number of the (') account to be charged can be automatically suggested by the system pro#ided that automatic account determination has been defined for the chart of accounts of the rele#ant company code. S(ecif&ing Multi(le Account Assign ent: This procedure allows to apportion the costs associated with a P$ item among se$eral cost centers, for example".*ith multiple account assignment, the account assignment data entered takes the form of indi#idual account assign ent ite s. *hen specifying multiple account assignment for an item, you must consider the following points: Eow is the net #alue of a P$ item to be distributed apportioned", on a +uantity or percentage basis. Eow is the partial in#oice amount part of the ordered +uantity has been deli#ered and in#oiced" can be distributed, proportionally or on a =progressi#e fill;up= basis. Put Jk9 in the a'c assignement, and Jcost centre9 in the a'c assignment category of item detail, &n the Distribution field, specify whether the costs are to be apportioned on a +uantity basis or by percentage B &n the Partial invoice field, specify whether the #alue of a partial in#oice is to be allocated to indi#idual account assignment items successi#ely, whereby one is debited in full before a posting is made to another one in which case, some account assignment items may not be debited at all as a result of a particular in#oice", or whether the #alue of such a partial in#oice is to be distributed among all account assignment items in e+ual portions. B Select the GR non-val+ field to designate the (, for this item as non;#aluated as the item has been ordered for direct consumption" in the deli#ery sub;tab of item detail screen. 'nits of Measure in Purchase Orders: A purchase order contains two units of measure: ;$rder unit. ;$rder (rice unit: This is the unit that applies in connection with the net price and which is taken as the basis for in#oice #erification. &f the order price unit does not correspond to the order unit, and if no con#ersion factor is specified in the system, you must enter a con#ersion factor on the item detail screen.

$rder +uantity $rder unit (ross price per unit $rder price unit number" $rder price unit !on#ersion factor

KC 1ox L87 8 kg KC boxes @ 8 kg

'nits of Measure in the Info Record: 5ou can store the order unit and the order price unit in an info record. This enables the

system to automatically adopt the ou, op, opu, and con#ersion factor from the info record for use in purchasing documents.
!ariable Order 'nit: 5ou specify it in the material master record purchasing data";for any #endor or the purchasing info record

B for a particular #endor The entry in the info record has priority". &n a purchasing document, you can enter an order unit that differs from the order unit defined in the material master record. As a result, the order unit is not o#erwritten when you enter a P$ item with a material number. &f you work with #ariable order units, you should consider the following -hird*(art& order: &f a third;party order is generated from a sales document, the sales unit is adopted as the order unit. Re+uisition: 5ou can also enter an order unit that differs from the base unit of measure stored in the material master record in a purchase re+uisition. 5ou will find the order unit on the re+uisition item detail screen. *hen a re+uisition is con#erted into a P$, the Variable order unit field must set to acti#e. $therwise, the order unit in the re+uisition is o#erwritten by the order unit in the info record. 2A8: &nternational article numbers such as the >uropean Article :umber #.N or the 4ni#ersal Product !ode UP'" with different units of measure may ha#e been defined for the material. 5ou can enter >A: or 4P! units of measure in the purchasing document if: o o The base unit of measure and the order unit in the material master record differ The #ariable order unit in the material master record is acti#e

Incoter s and Shi((ing5Deli$er& Instructions:

Incoter s: &ncoterms are internationally;recogni<ed terms of deli#ery reflecting the standards set by the &nternational !hamber

of !ommerce &!!". For example, the term Free on /oard 0FO/) means that seller fulfills his obligation to deli#er when the goods ha#e passed o#er the ship9s rail at the named port of shipment. 5ou can specify &ncoterms for an order item that differ from those in the P$ header. The rele#ant defaults come from the purchasing info record. *hen the document is outputted, the item;specific &ncoterms are set out in addition to the generally applicable ones at header le#el.
Shi((ing Instructions: These are the packing instructions the #endor has to comply with when shipping the ordered materials.

5ou specify them for an item by entering the predefined code for shipping instructions. The corresponding text is then included in the purchasing document printout.
Deli$er& Instructions: 5ou enter deli#ery instructions as either header or item text:

;oods*Recei(t*<ased In$oice !erification: &n goods;receipt;based (,;based" in#oice #erification, the in#oice relates not to the purchase order, but to indi#idual deli#eries. The reference document for the in#oice is not the P$ but the deli#ery note or the goods receipt document. This depends on your billing arrangement with the #endor. This method can be ad#antageous, for example, when you know the order will be fulfilled by means of many partial deli#eries. 1efore you can use (,;based in#oice #erification, the following prere+uisites must be satisfied: The indicator for (,;based in#oice #erification (,;based &-" must be selected for the rele#ant item in the purchase order item detail screen". A goods receipt must occur before the in#oice is entered in the system.

Materials Sub=ect to S(lit !aluation: A material that is sub%ect to split #aluation is one that is #aluated at different prices. &nstead of ha#ing a single #aluation type, it has se#eral. &f the material is split;#aluated, you can specify the #aluation type in the P$. *hich #aluation type you can enter for a material is determined by the #aluation category. The #aluation category is defined in the master record of a material. &t determines whether the material is sub%ect to split #aluation. The specified material type must also be maintained in the material master record. ;R "ithout Reference to PO: (oods receipt must ha#e a reference a P$ ; most often case". The reference data is then normally stated on the deli#ery documents. $ther documents that can be referred are, shipping notification or a rough goods receipt, a deli#ery, a shipping unit, a merchandise distribution, without reference to a system document. Returns to !endor and Store Returns: ,eturns to #endor and store returns returns from plant to plant, or for SAP ,etail site to site" can be necessary for the following reasons. (oods remain at the end of a promotion (oods remain at the end of a season The #endor asks for the merchandise to be returned (oods ha#e to be returned'destroyed because they are spoiled, broken or of inferior +uality ,eturning discontinued articles to the #endor. The merchandise in#ol#es empties or returnable transport packaging 5ou can mark articles to be returned when you are entering an item in a purchase order by selecting the R indicator 0returns item) on the item o#er#iew screen of the purchase order. ,eturns order items can be entered in a purchase order alongside other order items. This enables you to order goods from and return goods to a #endor in the same purchase order. ,eturns to #endor can be managed completely on the procurement side: They lea#e the site at the recei#ing dock i.e. when the #endor makes a deli#ery" and the rele#ant items are handled as negati#e #alues in &n#oice -erification. In$oicing Plan: The in#oicing plan is a facility that allows you to schedule desired in#oicing dates for planned procurements independently of the receipt of the rele#ant goods. &t lists the dates on which you wish to create and then pay the in#oices in +uestion. 5ou do not wait each time for the #endor to submit an in#oice for goods supplied, but can ha#e in#oices created automatically by the system on the basis of the data a#ailable in the purchase order and then release them for payment to the #endor.
Integration: *hen you sa#e the in#oicing plan, data is passed on to purchase order commitments, and to !ash /anagement

and Forecast. To be able to work with in#oicing plans: 5ou must maintain certain settings in !ustomi<ing for Purchasin* under Purchase Order Invoicin* Plan, such as the following: &n#oicing plan type, .ate categories, .ate descriptions, .ate proposals. The P$ item must ha#e account assignment 5ou must use )ogistics &n#oice -erification

&f you wish to use automatic settlement for periodic in#oicing plans, automatic in#oice creation must be agreed with your #endor. #val+ receipt sett+ delivery must be selected in the #endor master record. SAP recommends working with the order type FO framework order"+ An extended #alidity period and a =reason for cancellation= are defined in the header of this type of purchase order. The specified #alidity period is adopted for the in#oicing plan. &f you work with standard purchase orders, you must maintain the date determination rules accordingly in !ustomi<ing, since there is no predefined #alidity period that can be adopted in the in#oicing plan. The following two types of in#oicing plan are a#ailable: Periodic in#oicing plan , Partial in#oicing plan

Periodic &n#oicing Plan: The periodic in#oicing plan can be used for regularly recurring procurement transactions e.g. rental, leasing, or subscriptions". &t facilitates the largely automatic creation and payment of in#oices within the framework of the in#oice #erification process. The periodic in#oicing plan uses e#aluated receipt settlement >,S" program functionality. &n the case of the periodic in#oicing plan, the total #alue of the P$ item is in#oiced on each due date. &n !ustomi<ing for Purchasing, you can define whether the dates are to be maintained manually or whether the system is to suggest in#oicing dates according to the specified rules. Partial &n#oicing Plan: The partial in#oicing plan can be used for the in#oicing of high;cost material or pro%ects in#ol#ing the procurement of external ser#ices that are to be sub%ect to stage payments such as plant construction pro%ects, or the in#oicing of indi#idual stages of a building pro%ect following completion in each case". 5ou can also flag due dates in a partial in#oicing plan as dates for ad#ance payments. The amounts corresponding to these dates are then not taken into account in the sum total of the in#oice items because ad#ance payments are set off against later in#oices. &n the case of the partial in#oicing plan, the total #alue of the P$ item is broken down and spread o#er the indi#idual dates of the in#oicing plan. &n the partial in#oicing plan, you wish to maintain the in#oicing dates agreed with the #endor yourself. Therefore there is no system support in the form of date proposals. Eowe#er, if you wish to ha#e due dates suggested by the system as an entry aid, you can reference an existing plan when creating a new in#oicing plan. .ate proposals can then be adopted from the former.

Outline Purchase Agree ents: &t is a longer;term agreement between a purchasing organi<ation and a #endor
regarding the supply of materials within a certain period according to predefined terms and conditions. =blanket=, =master=, =framework= or =umbrella= agreements". Such agreements are subdi#ided into: !ontracts: !entrally agreed contracts , .istributed contracts Scheduling agreements: Scheduling agreement referencing a centrally agreed contract An outline agreement consists of the following elements: Docu ent header, Ite s# Creating an OA b& Co(&ing or Referencing: by copying an already existing one or adopting items from an existing P, or ,F0. *hen creating a SA, you can reference a contract. 1efore creating an outline purchase agreement using the referencing techni+ue, you must consider the following: The #endor and purchasing organi<ation of the reference document must be the same as those of the agreement you are creating. &f you are creating an outline agreement by referencing a purchase re+uisition, the re+uisition must ha#e a document type for which the link to the rele#ant outline agreement has been defined.

>nter the #alidity period and the target #alue of the contract mandatory for #alue contracts". Outline Agree ent Price !ersus Order Price: The net price in an outline agreement and the net price in a contract release order are two different prices. The net price of an item listed in an outline agreement is based on the conditions stored in the agreement. &f you change the conditions, the net price of the outline agreement is recalculated and the pricing date ad%usted accordingly. $n the other hand, the price in a contract release order may be calculated taking the following into account: The +uantity;dependent discount in a price'+uantity scale A discount or surcharge defined in the document header

:ormally, the conditions in a contract release order correspond to those of the outline agreement. Eowe#er, if a price'+uantity scale exists, the price for the rele#ant +uantity in the release order is taken from this scale. 5ou can run a price simulation at item le#el in outline agreements.

Contracts: A contract is a type of outline purchase agreement against which release orders releases" can be issued for
agreed materials or ser#ices as and when re+uired during a certain o#erall time;frame. =systems contract=, =blanket order agreement=, =blanket contract=, and =period contract=." The contract consists of items defining the indi#idual materials, material groups, or ser#ices with prices and in many cases +uantities. An item is assigned to an item cate*ory, which defines the type of procurement e.g. item category 1 for consignment, or 2 for subcontracting". An item of the procurement type =external ser#ice= contains a set of ser#ice specifications. Such specifications may be hierarchically structured. The summary #iew of such a hierarchical structure is termed an =outline=, and the indi#idual le#els of the hierarchy are referred to as =outline le#els=. 0uantities are specified in ser#ice lines. Ser#ices can be released ordered, or called off against the contract" at item le#el or at the le#el of the ser#ice line. !osts can be apportioned among #arious !ontrolling ob%ects #ia the account assignment. ,elease orders issued against the contract are logged in the release documentation. !ontracts can take the following forms: 1uantit& contracts, !alue contracts# Distributed Contracts: &n one particular SAP system you can create contracts that are to be made a#ailable to other independent SAP systems that is, you can =distribute= contracts to these systems". The central system in which the contract is created" and the local systems in which procurement is also carried out using this contract" are all separate, inde(endent SAP s&ste s. &dentical data must therefore be kept in each system. &n order for changes to be continuously reflected in all systems and for correct data to be a#ailable to participating systems at all times, data is exchanged A)>.

Centrall& Agreed Contract: A centrally agreed contract is created without specification of a plant. The plant is not
specified until a contract release order is created. 5ou can maintain different conditions for indi#idual plants in the central contract or different ordering addresses or goods suppliers in the #endor master record, for example. An enterprise with a central purchasing department @ ,eference Purchasing $rgani<ation" buying materials for se#eral plants can agree a high;le#el contract which may apply to a #endorDs entire corporate group and which can be utili<ed by other purchasing organi<ations within the enterprise. The use of such centrally agreed contracts usually results in more fa#orable conditions of purchase. such contracts may also be referred to as =national=, =group=, or =corporate= contracts." A centrally agreed contract is in#ol#ed if: A single purchasing organi<ation procures for an entire corporate group, or A reference purchasing organi<ation makes a contract a#ailable to other associated purchasing organi<ations, enabling the latter to issue release orders against this contract

Plant Conditions: The centrally agreed contract allows prices and conditions to be determined indi#idually for each recei#ing plant #ia the Plant conditions function. $ne ad#antage of this is that differences in transport costs due to #arying distances between #endor and recei#ing plant locations can be taken into account. *hen you create contract release orders for plants without plant conditions, the conditions of the contract item are used. &f certain plants are not to issue release orders against the contract, you should block the central contract from use as a source of supply by these plants in the source list. Partner Roles: Partner roles'partner functions include the roles of =ordering address=, =goods supplier=, and =in#oicing party=. The partners you can store in the #endor master record in the Partner Roles #iew apply to a certain purchasing organi<ation.&n addition , you can maintain different partners for indi#idual plants or #endor sub;ranges. 5ou can also assign se#eral partners with the same role to a plant e.g. two ordering addresses". *hen you create the release order, you are then asked to decide on one of them. ; &f you use a reference purchasing organi<ation in the contract, it is also possible to use #endors @ partners" of the purchasing organi<ations assigned to this reference organi<ation in the partner roles.

; &f you do not use a reference purchasing organi<ation in the contract, the Purchasin* or*ani3ation field is not ready to accept input at the time the different partner roles are maintained. Creating a Contract: 5ou can create a contract as follows: Manuall&, 'sing the referencing techni+ue ( Purchase re+uisitions, ,F0s'+uotations , $ther contracts". 1efore you create a contract Account assign ent, MP8 anuall&, you need the following information: aterial nu ber, PO5P;, Source list, !endor#

Plant> &t is needed, howe#er, it is also possible to create a contract without specifying a plant a =centrally agreed contract=". Ite Categor&5Account Assgt# Categor& in Contracts: The following table shows you when to use which item or account assignment category in contracts: M- the material is unknown for similar materials with the same price but with differing, material numbers", W- #alue and +uantity are unknown, D- an external ser#ice, K- consignment material is in#ol#ed, Lsubcontracting material is in#ol#ed, U- the account assignment is unknown &tem category W allows you to enter a material group without entering the #alue or +uantity of the contract item. &tem category W is for #alue contracts only. *hen you create the contract item, enter the item category W, the short text, and the material group. 5ou do not enter a price or conditions for the item. Eowe#er, it is possible to specify conditions in the document header. For example, you can enter a discount in the header conditions if the #endor grants a discount on all Pos relating to the contract. The discount is automatically taken into account when the release order is created. 5ou can enter a material number in the contract release order. The corresponding material master record must be assigned to the same material group specified in the referenced contract item. &f the release order does not ha#e a material number, then it must contain a #alid account assignment, such as a cost center. 4se the account assignment category U if you are creating contract items for which an account assignment is re+uired but cannot be specified in the contract. 5ou must then specify a #alid account assignment when creating the corresponding release orders. &n the contract item, you specify the material data with or without reference to a material master record", u as the account assignment category, the +uantity, and the price. The person creating the release order against the contract must specify a #alid account assignment, such as a cost center. Creating a Contract Release Order: 1efore creating a contract release order, you need the following information: :umber of the contract, 0uantity to be released ordered", .eli#ery date The price, #endor data, terms of payment, deli#ery costs, and any instructions to the #endor are adopted from the contract automatically. *hen you create a release order, you can add items that are not specified in the contract. The entries you must make for a contract release order depend on the item category and the account assignment category: M * Set the item category to = =, 9 * Set the item category to = =, ' * a different a'c assignment category than 4 and the a'c assignment Scheduling Agree ent: A form of outline purchase agreement under which materials are procured on predetermined dates within a certain time period. A scheduling agreement consists of a number of items, for each of which a procurement type is defined. The following procurement types exist: Standard, Subcontracting, !onsignment, Stock transfer. .eli#ery of the total +uantity of material specified in a scheduling agreement item is spread o#er a certain period in a deli#ery schedule, consisting of lines indicating the indi#idual +uantities with their corresponding planned deli#ery dates. For scheduling agreement items in#ol#ing subcontracting, you can specify the materials or components to be pro#ided to the subcontractor with respect to each scheduled deli#ery of the ordered item. Scheduling agreement releases comprising a header and the actual deli#ery schedule" are issued to the #endor, instructing the latter to effect deli#eries of the rele#ant material on the dates shown. !osts can be apportioned among #arious !ontrolling ob%ects #ia the account assignment.

-endors can issue confirmations to the rele#ant purchasing organi<ation indicating their compliance or non;compliance with scheduled deli#ery dates. &f you are using scheduling agreements, you can work "ith or "ithout release documentation. This is controlled #ia the document type. *orking with such documentation affords the ad#antage that you can display the #alid scheduling agreement releases transmitted to a #endor o#er a certain period whene#er necessary. Note on the term "release": In !! Purchasin*, this term is used A) as a *eneric term coverin* various &inds o order document issued a*ainst outline a*reements, and B) in connection 4ith an internal approval or e$penditure authori3ation process or purchasin* documents+ In both cases, 5releasin*5 can be re*arded as e"uivalent to 5*ivin* the *reen li*ht5 to *o ahead 4ith a certain action 0e+*+ to the vendor to deliver a certain "uantity o materials, or to Purchasin* to create or issue a PO or items re"uested by a user department)+ 9ith release docu entation )PA": The schedule lines in the system ha#e internal character. This means that you can change them in any way you wish. The schedule lines stored in the system are not transmitted to the #endor until you explicitly create a scheduling agreement release which may take one of two forms: a forecast deli#ery schedule or a M&T deli#ery schedule". The release documentation allows you to display the releases transmitted to a #endor o#er a certain period in order to establish exactly when you transmitted which information to the #endor. 9ithout release docu entation )P": The schedule lines immediately ha#e official character, i.e. they are immediately transmitted to the #endor the moment you sa#e them transmission time;spot 6 for messages". There is no release documentation in this case.

Procure ent 'sing SA: *orking with scheduling agreements can shorten processing times and reduce the amount of paperwork you are faced with. &n#entories can be reduced to a minimum. 5ou can carry out your manufacturing operations on the Must;in;Time M&T" principle. 5our #endors re+uire shorter lead times. Smaller deli#eries are re+uired, which can be spaced out o#er a longer period. .eli#ery scheduling enables #endors to plan and allocate their resources more efficiently. &n repetiti#e manufacturing in#ol#ing large +uantities, it is desirable for releases to be generated against a scheduling agreement automatically. &n the SAP System, you can use the application component PP /aterial ,e+uirements Planning for this purpose. SAP recommends working with scheduling agreements with release documentation. &n this case you can make use of the scheduling agreement release types orecast 0FR') delivery schedule and 7ust-in-,ime 07I,) delivery schedule. Integration: !ustomers using the .dvanced Planner and Optimi3er AP$" can generate schedule lines and releases against scheduling agreements in the AP$ system. 5ou can either generate schedule lines and SA releases in the AP$ system, or use the AP$ system exclusi#ely for planning and generate the releases in the ,'N system. 5ou specify this by means of the #$t+ plannin* indicator in the additional data for the scheduling agreement item. &n both cases, the goods receipt is posted in the ,'N system. &f you generate scheduling agreement deli#ery schedule lines in the AP$ system, you cannot create or change schedule lines in the ,'N System. Prere+uisites: 4se a document type for scheduling agreements with release documentation. &n the standard system, document type )PA is supplied for this purpose. &n the standard system, the Release docu+ indicator is selected for document type )PA in !ustomi<ing for Purchasin* under %chedulin* .*reement De ine Document ,ypes." To work with M&T deli#ery schedules, you must set the M&T deli#ery schedule indicator in the material master record Purchasin* or !RP 8 #iew". The indicator must also be selected in the additional data for the SA item. &f scheduling agreement releases are to be generated automatically #ia planning runs, Purchasing must designate a certain scheduling agreement as the uni+ue source using the source list facility. Procure ent Process 'sing SA "ith Release Docu entation: A planning run takes place for the re+uired materials at regular inter#als. This automatically generates deli#ery schedule lines for scheduling agreements. Scheduling agreement releases are created on the basis of these schedule lines. These are then issued to the #endor.

 The materials planner'in#entory controller can first check the schedule lines and then manually create a release F,! or M&T deli#ery schedule" from within the scheduling agreement. Alternati#ely, the releases F,! or M&T schedules" can be generated automatically by the system. This is normally done directly after the planning run. 5ou ha#e the option of working with both forecast and M&T schedules or only with forecast schedules. &f you work with both types of schedule, the ad#antage is that the #endor recei#es more detailed deli#ery data from you at shorter time inter#als in the form of M&T schedules. &n addition, he recei#es a rougher indication of your deli#ery re+uirements at longer inter#als in the form of forecast deli#ery schedules. After the scheduling agreement releases ha#e been created, they are transmitted to the #endor #ia the message control program ,S:AST77. The releases can be transmitted either directly they are sa#ed or at a later point in time. &t is sensible to carry out the planning run daily and generate deli#ery schedules automatically once a week, for example. 5ou can set up the system in such a way that releases are generated for changed scheduling agreement items materials" only. Creating a Scheduling Agree ent: 5ou can create /anually or 4sing the referencing techni+ue P,s, ,F0s'+uotations, $ther scheduling agreements, !entrally Agreed !ontracts) &f you wish to set up a scheduling agreement not with one of your #endors but with one of your own plants, you should create a stoc% trans(ort scheduling agree ent scheduling agreement for longer;distance stock transfers". 1efore you create a scheduling agreement manually, you need the following information: A'c assignment, /P:, P$'P(. Creating a Scheduling Agree ent Manuall&: &n the .*reement type field specify )PA or )P. >nter De ault Data+. &n the header data screen enter the duration of the SA. !heck the other fields on this screen. /ake any necessary changes e.g. the terms of payment" and define the header conditions. &n the item o#er#iew screen enter the data for each item material, target +uantity, price, plant, a'c assignment etc.". /aterial without material master record: enter B A short description,B /(, a'c assignment category column ." and a'c assignment, The target +uantity and the order unit. Defining the Fir , -rade*Off, and Planning :ones: ,olling deli#ery schedules created under SAs are di#ided into different time <ones indicating the degree to which the lines of the schedule are binding. 5ou can define the following time <ones: Fir ?one (?one @) go;ahead for production": The schedule lines within this <one count as firm and thus as fully binding. &f you cancel a schedule line that falls within the firm <one, the #endor is entitled to charge you with both production costs and the costs of procuring input materials incurred by him as a result of the cancellation. -rade*off ?one (?one A) go;ahead for procurement of input materials": This is the =semi;firm= <one, gi#ing the #endor the go;ahead to procure necessary input materials to manufacture the item ordered. &f you cancel a schedule line within this semi;firm <one, the #endor is onl& entitled to charge you the material costs. Schedule lines falling within this time <one are thus less binding that those falling within the firm <one. Planning ?one (?one B) forecast" : All schedule lines that lie beyond the first two <ones that is, deli#ery is tentati#ely scheduled for +uite a long way into the future" fall within the planning <one. The firm and trade;off <ones are printed out in the schedule for the user9s information. For each schedule line that falls within a certain <one, it is assumed that the rele#ant material is procured in accordance with the conditions that apply to this <one 5ou can specify whether /aterials Planning may change schedule lines that fall within the firm or trade;off <ones. !hoose Item !ore unctions .dditional data: &n the Firm 3one field, enter a number of days calculated from the current date" defining the period after whose expiration the firm <one ends and the trade;off <one begins. &n the ,rade-o 3one field, enter the number of days calculated from the current date" defining the period after whose expiration the trade;off <one ends and the planning <one begins. &n the /indin* or !aterials Plannin* field, specify whether /aterials Planning may change schedule lines that fall within the firm or trade;off <ones.

Creating a Standard Deli$er& Schedule for an SA Ite : To create deli#ery schedule lines for a SA item, you need the following information: The scheduling agreement number and the number of the item to be scheduled A list of the deli#ery dates, times, and +uantities you ha#e negotiated with the #endor &f you are using scheduling agreements "ithout release documentation document type )P", the message is generated directly. &f you are using scheduling agreements "ith release documentation document type )PA", you must explicitly generate SA releases. Scheduling Agree ent Releases: SA releases pro#ide information to #endors regarding the +uantities of a material that are to be deli#ered and the desired deli#ery dates. A scheduling agreement release enables you to record the current status of the lines of a deli#ery schedule stored in the system for a scheduling agreement item and then transmit this status to the #endor. /aterials Planning generates deli#ery schedule lines for SA items. 5ou can also create schedule lines manually. 5ou create scheduling agreement SA" releases deli#ery schedules" comprising the schedule lines for a certain scheduling agreement item. These are snapshots of the o#erall deli#ery schedule stored in the system at gi#en points in time. &n creating such releases, the system proceeds as follows: a. &f a creation profile exists, it aggregates the release i.e. scheduled" dates and +uantities. b. &t generates an SA release in accordance with the creation strategy and the entries on the initial screen for SA release creation. c. &f a creation profile exists, it determines any backlogs and immediate re+uirements. d. &f a creation profile exists, it checks any applicable tolerances in the case of SA releases created due to changes to the o#erall schedule in the system. The releases deli#ery schedules" are transmitted as messages to the #endor. Materials Planning and SA Release: The Planning ,un continually changes the o#erall deli#ery schedule for a scheduling agreement as a result of new or changed material re+uirements e.g. dependent re+uirements". The +uantities and dates in the current schedule stored in the system thus directly reflect current re+uirements of materials. Snapshots of the current o#erall schedule are transmitted to the #endor as SA releases F,! or M&T schedules". The purpose of using SA releases is to pro#ide the #endor with the information he needs to deli#er the desired +uantities of the rele#ant materials on the dates they are re+uired. &n the procurement of materials using scheduling agreements, re+uirements with regard to deli#ery and production lead times are usually handled as follows: The #endor is pro#ided with forecasts monthwise" on the basis of which he can plan and initiate his procurement and production acti#ities. Subse+uently, a more detailed breakdown is pro#ided, showing the exact +uantities re+uired by the buying entity plus the corresponding deli#ery dates. SAP recommends the following settings: o o o o o Material Master Record: .eterministic planning procedure e.g. P.". >xact lot;si<e calculation e.g. >6". Separate /,P group for materials you wish to procure by means of scheduling agreement releases. !hoose the 7I, delivery schedule indicator 1 in the Purchasin* #iew if you want to work with M&T schedules. !hoose Procurement type F external procurement" in the !RP 8 #iew to ha#e SA deli#ery schedule lines generated in materials planning. Source Cist and 1uota Arrange ent: !reate a source list record for each scheduling agreement item and set the indicator for rele#ance to materials planning to K. /aterials Planning then continually updates the o#erall deli#ery schedule. &f you ha#e se#eral SAs for a material, use the +uota arrangement to apportion the re+uirements among the different #endors.

Custo i?ing Materials Planning Plant Para eters: !hoose one of the following options in order to ha#e /aterials Planning generate schedule lines for scheduling agreement items in accordance with re+uired +uantities and dates: a. All ti e (ortions of for"ard scheduling are D: Set the planned deli#ery time and the (, processing time to 7 in the .dditional data for the scheduling agreement item. Set the purchasing department processing time to 7 in !ustomi<ing for Production under !aterial Re"uirements Plannin* Plant Parameters 'arry Out Overall !aintenance o Plant Parameters in the Plannin* Run area under #$ternal Procurement. &f the re+uirement date lies in the past, the system takes the current date date on which the planning run takes place" as the deli#ery date. $therwise, the deli#ery date corresponds to the re+uirement date. b. Start date lies in the (ast: &n this case, the system always generates SA deli#ery schedule lines whose deli#ery dates correspond to the re+uirement dates because the system ne#er carries out forward scheduling. 5ou specify in the /,P group that a start date that lies in the past is allowed. MRP ;rou( (for Materials Ordered $ia SA Releases) /aintain the following settings in !ustomi<ing for Production under !aterial Re"uirements Plannin* !RP Groups 'arry Out Overall !aintenance o !RP Groups: #$ternal procurement

%chedulin*(document type9 &f you set the %ched+ in o+(a*mt+ indicator, the system adopts the (, processing time and the planned deli#ery time from the scheduling agreement item for scheduling purposes see option a"". Plannin* run9 o 'reation indicator9 Set the %. sched+ lines indicator to N as a general precondition for the generation of deli#ery schedule lines under scheduling agreements. %tart in past9 4sing the %tart in past field, you can also specify that the system is to work with a deli#ery date that lies in the past see option b". Assign this /,P group in the master records of the materials ordered #ia SA releases.

The schedule lines of a SA release contain finali<ed information for the #endor regarding +uantities and deli#ery dates. The schedule lines are recorded with the aid of the release documentation and can thus be displayed and #erified at any time. The release documentation enables you to see which schedules you transmitted to the #endor during the last two weeks, for example, and check the correctness of goods receipts against the rele#ant schedule lines.
SA Releases (Forecast or EI- Deli$er& Schedules): There are two kinds of scheduling agreement release: Forecast F,!" deli#ery schedule: Pro#ides the #endor with longer*ter data regarding the +uantities needed of a material and when deli#ery is re+uired. &n such schedules, the timing of deli#ery is usually expressed in terms of calendar months or weeks. Must;in;Time M&T" deli#ery schedule: Pro#ides the #endor with data on re+uired +uantities and desired deli#ery dates'times co#ering the near future#&n such schedules, the timing of deli#ery is usually expressed in terms of specific days or e#en times of the day.

Using creation profiles, you can define the criteria for the creation of SA releases (for example, you can influence the quantities and dates transmitted). SAP recommends defining the Creation profile field as a mandatory-entry field (in ustomi!ing for Purchasing: Scheduling Agreement Define Screen Layout at Document Level). "f you use the Supplier #or$place, you can ma$e scheduling agreement releases (%& and '"( ) a)aila*le to your )endors )ia the "nternet.

Scheduling agreement releases F,! and M&T schedules" can only be generated for scheduling agreements "ith release documentation in the standard system, document type )PA". &n the standard system, the Release docu+ indicator is selected for document type )PA in !ustomi<ing for Purchasin* under %chedulin* .*reement De ine Document ,ypes." &f you wish to work with M&T deli#ery schedules, the M&T schedule indicator must be set in the material master record Purchasin* or !RP 8 #iew" and the .dditional data of the scheduling agreement item.

Internet Release: Creation Profile: The creation profile determines: *hich e#ent triggers the creation of a SA release changes in#ol#ing the lines of the o#erall schedule and'or the reaching of the next transmission date" Eow the deli#ery dates are shown aggregation and release hori<on" *hether 1acklogs and &mmediate ,e+uirements are determined and shown in the scheduling agreement SA" release *hether a tolerance check is carried out for SA releases that are created due to changes to the o#erall deli#ery schedule in the system The tolerance check is only carried out if lines of the o#erall schedule for an item ha#e been changed and if you create SA releases using the release creation program #ia %chedulin* a*reement 'reate %. release)+ A creation profile is defined on a plant;dependent basis and consists of the following areas: (eneral parameters, Aggregation hori<ons, !reation periodicity and Tolerance profile. Messages for SA Releases: The system can generate a separate message for each release created for a scheduling agreement item. i.e. the #endor recei#es one document per scheduling agreement release. This enables you to output indi#idual SA releases or re;output an already transmitted release. /essage determination at release le#el." &t is also possible to create %ust one message per scheduling agreement. This message transmitted to the #endor then includes all releases relating to all scheduling agreement items i.e. the #endor recei#es %ust one document per scheduling agreement". /essage determination at header le#el." For SA releases to be transmitted as messages to the #endor, the following settings must be made in !ustomi<ing for Purchasin*: Releases (Message Deter ination) at Ite Define )Main Message -&(e) Out(utting Releases in the Main Message -&(e Ce$el

The cu ulati$e +uantit& represents the total +uantity that has been deli#ered to date after each deli#ery of a scheduled +uantity. Deter ining the Agreed Cu ulati$e 1uantit&#

Purchasing Info Records: The info record contains:

.ata such as prices and conditions that you can store for the rele#ant purchasing organi<ation or plant The number of the last purchase order Tolerance limits for o#erdeli#eries and underdeli#eries The planned deli#ery time lead time re+uired by the #endor to deli#er the material" -endor e#aluation data An indicator showing whether the #endor counts as the regular #endor for the material The #endor sub;range to which the material belongs The a#ailability period during which the #endor can supply the material

The info record contains +uotation and ordering data. The data in the info record prices for example" is also used as default data for purchase orders. For instance, you can store the current and future +uotation conditions discounts, fixed costs etc." in the info record, in order to be able to copy them into P$s. 5ou can also maintain the #endor9s conditions directly in the info record. Organi?ational Ce$els: An info record can apply to the following organi<ational le#els: Purchasing organi<ation, Plant. Procure ent -&(es in Info Records: Standard, Subcontracting, Pi(eline, Consign ent, Order Price /istor&: The purchase order price history logs the #arious prices charged for a material by a #endor. -eFts in the Info Record: Info record e o, PO teFt in info record, Short teFt

PO -eFt in Info Record !ersus PO -eFt in Material Master Record: For an info record linked to a material master record, you can specify for each purchasing organi<ation whether: $nly the info record P$ text is to be displayed and printed in purchasing documents set the indicator No m+ te$t in the purchasing organi<ation data of the info record." 1oth the info record P$ text and the material master record P$ text are to be displayed and printed in purchasing documents. 1oth texts are displayed and printed if the indicator No m+ te$t is not set. Conditions in Info Records: Conditions Per Order 'nit: 5ou can enter separate conditions for each order unit in the info record. .uring the source determination process, the system will then suggest the order unit for which prices ha#e been maintained. &f an info record contains prices for the order units =crate= and =pallet=, for example, you can only order from this #endor in these units. &f no conditions ha#e been maintained for the order unit, you can order in the units maintained in the info record or in the material master record. 5ou determine whether conditions per order unit are used #ia the field Variable Oun in the general data of the info record. Points S&ste for Conditions: 5ou can arrange for sums due on the basis of agreed conditions to be determined using a points system. This enables you to weight the materials supplied by a #endor independently of their price.
-endor Smith charges a price of L877 per pc. for material =Steel 8=, and L?77 per pc. for material =Steel K=. This #endor grants a #olume;based incenti#e rebate retrospecti#e cumulati#e discount" of NF on the total #olume of purchases at the end of the year if at least 877,777 points;worth of materials were ordered from him in the course of the twel#e months. 5ou are awarded 87 points for each piece of material =Steel 8= and K7 points for each piece of =Steel K= ordered o#er this period. &n placing your purchase orders, you can take into consideration how many pieces of =Steel 8= and how many of =Steel K= you need to order to reach the 877,777 points mark by the end of the year and thus satisfy the criterion for the award of the rebate.

Info Record Price !ersus PO Price: The net price of an item in the info record is based on the conditions stipulated in the info record. &f you change the conditions, the net price in the info record is recalculated and the pricing date ad%usted accordingly. &n contrast, the price in the purchase order may reflect the deduction of a +uantity discount according to a price'+uantity scale. As a rule, the conditions from the info record are adopted in the P$. Eowe#er, if a price'+uantity scale has been defined, the price for the rele#ant order +uantity is taken. Condition ;rou(s: The use of condition groups allows you to regulate the price determination process on a #ariable basis. For example, you can assign info records showing the same price changes to a certain condition group by gi#ing them the same alphanumeric character string. 5ou order a material whose price is based upon a market price index. &f the index increases by fi#e percentage points, the prices of all #endors increase accordingly by the same percentage. :ow assign all info records relating to this material to the same condition group. &f the price index changes, you need only enter the change in the condition group. The current price index is then applied in the case of purchase orders based on any of the info records belonging to this condition group. !ariant Conditions: 5ou can maintain #ariant conditions for configurable materials. 4sing #ariant conditions, you can define discounts and surcharges for different material finishes for instance. '(dating Info Records (Info'(date): *hen creating or changing +uotations, scheduling agreements, contracts, and purchase orders, you can use the In oUpdate field to specify that the info record is to be created or updated.

Acti$ities: &f this is the case, the system performs the following actions: Situation &nfo record already eFists InfoUpdate in (urchasing doc## 0uotation Scheduling agreement !ontract Purchase order &nfo record does not eFist 0uotation Scheduling agreement !ontract Purchase order S&ste action

Time;dependent conditions and their supplementary conditions are adopted &s set as last documentO order price history is updated :one Note: the contract release order is set as last document" &s set as last documentO order price history is updated Time;dependent conditions and their supplementary conditions are adopted &s set as last documentO order price history is updated Time;dependent conditions and their supplementary conditions are adopted &s set as last documentO order price history is updated

The order price history is updated e#en if the In oUpdate indicator is not set. The #alues of the In oUpdate indicator #ary according to the type of purchasing document in +uestion. &n +uotations, contracts, scheduling agreements, and in the con#entional purchase order transactions />K8, />KK, and />KN", the In oUpdate indicator can ha#e one of four different #alues: D D The info record is not updated. DAD &f an info record exists at plant le#el, it is updated. >lse an info record at purchasing organi<ation le#el is updated. D1D &f plant conditions are allowed for the plant, an info record at plant le#el is updated. D!D &f plant conditions are not necessary for the plant, an info record at purchasing organi<ation le#el is updated. &n the >n%oy purchase order SAP transactions />K8:, />KK:, and />KN:", the In oUpdate indicator has only two possible #alues. Eere it determines whether an info record is updated or newly created. &f the indicator is selected, the following cases are possible: &f %ust one info record with or without a plant" exists, the record is updated. &f no info record exists and =Plant condition re+uirement= has been specified in !ustomi<ing, an info record with a plant is created. $therwise an info record without a plant is created. &f two info records exist, one record with a plant and one without a plant, the info record with the plant is updated.

Creating Info Records: Manuall&: 5ou create an info record for a purchasing organi<ation or for a plant. Auto aticall&: 5ou set the In o update indicator when maintaining a +uotation, a purchase order, or an outline agreement. $rdering data is recorded'updated automatically in an info record. 1efore creating an info record, you need the following information: Material nu ber: For a material without a material master record, we need: /aterial short text description", $rder unit, /aterial group, Sort term key", for finding the info record once it has been created MP8 aterial nu ber: &f you wish to order a material with a manufacturer part number /P:", you need the /P:.

!endor nu ber: This is the number of the #endor master record. Organi?ational le$el: &f the info record applies to specific purchasing organi<ations and plants.

Creating Info Record for Material "# Master Record: $n the initial screen: B -endor number, B /aterial number, B :umber of purchasing organi<ation or plant, number of the info record external, internal". $n the general data screen: data on #endor, order unit, origin data, supply option. 5ou can enter the customs tariff number without a certificate category. $n the screen showing the purchasing organi<ation data: B -endorDs planned deli#ery time used for scheduling" B ,esponsible P(, B Standard P$ +uantity used for price determination in con%unction with price scales" !heck the control data. The tolerance data and the responsible P( are taken as default #alues from the material master record. >nter the net price. 5ou ha#e two options: B 5ou enter the net price per unit in the Net price field. This price includes the #endorDs normal discounts or surcharges only ; cash discounts for prompt payment, for example, are calculated separately. B 5ou enter the gross price in the Net price field and then maintain the pricing conditions. The system automatically replaces the entered gross price with the calculated net price.

!heck the texts. 5ou can enter the info memo or the P$ text. &f the P$ text is already defined in the material master record, it appears as a default #alue. &f you change the P$ text from the material master record, your new text is stored directly in the info record. The changed text is suggested as the info record P$ text when a P$ is created, and can be adopted in the new P$. &f you store the text in the info record unchanged, subse+uent changes made to the P$ text in the material master record will not be included in P$s. To do this, select the P$ text, then choose #dit

,e$ts .dopt te$t.

Creating Info Record f# Material "5o Master Record: &n the initial screen, enter the #endor. .o not fill the !aterial field Specify the following: B *hether the info record applies to a certain plant enter the purchasing organi<ation and plant" or B *hether the info record is plant;independent enter the purchasing organi<ation only" B The info record category &n the General Data #iew, enter the following : B Short description of the info record or material in the first entry field B /aterial group to which the info record is assigned B $rder unit used for the material B Sort term key" co#ering se#eral info records that belong to a material group >nter the #endor data if it is not already suggested by the system, ha#ing been taken from the #endor master record", the origin data, and the supply options. &n the Purchasin* Or*ani3ation Data #iew, 5ou must enter the following data:

B -endorDs planned deli#ery time used for scheduling" B ,esponsible purchasing group B Standard P$ +uantity used for price determination in con%unction with price scales" 5ou can enter data such as tolerances allowed for underdeli#eries and o#erdeli#eries. >nter the net price and conditions. >nter texts internal info record memo and purchase order text". Carr&ing Out a 8et Price Si ulation: The net price simulation enables you to compare prices and conditions as follows: Prices of different #endors for a material and'or a material group Prices of all materials supplied by a specific #endor Dis(la&ing the Order Price /istor&: A price history record is generated for each P$ item. >ach price change affecting an item that is linked to an info record causes the price history record to be updated. 5ou can analy<e the order price history and display the indi#idual documents it is based on. 5ou obtain information on a particular #endor9s past price changes with regard to a certain material, for example. !hoose !aster data In o record 2ist displays Order price history Dis(la&ing the 1uotation Price /istor&: 5ou can check how conditions in info records ha#e de#eloped o#er time. &f se#eral #alidity periods ha#e been specified for the info record conditions, you see *hich prices were or are #alid on which date The percentage price #ariance compared with the pre#ious date !hoose !aster data In o record 2ist displays Quotation price history. Creating a <u&erGs 8egotiation Sheet: 5ou can print out information about #endors and the materials they supply in a buyerDs negotiation sheet. &t is a summary of important #endor and material data taken from the purchasing info record", which buyers may need to print out and take with them for the purposes of contract negotiations. The buyerDs negotiation sheet contains information such as: -endor9s current prices and conditions &nternal consumption'usage statistics on the material Total #alue of P$s issued to the rele#ant #endor to date -endor e#aluations 5ou can output the buyer9s negotiation sheet in the following forms: For a aterial ; pro#ides an o#er#iew of conditions and ordering transactions with regard to all #endors that ha#e supplied the material and for whom purchasing info records exist For a $endor ; pro#ides ordering data from all purchasing info records relating to the rele#ant #endor with regard to one or more materials

!hoose !aster data In o record /uyer:s ne*+ sheet For vendor or For material.

O(ti i?ed Purchasing:

Source Deter ination: The following ob%ects represent the basic data upon which the source determination process for re+uisitions and purchase orders depends: 1uota arrange ent, Source list, Plant, Outline agree ent, Info record# The system determines the source of supply of a re+uested material or /P:" on the basis of the following factors in the order shown": 1uota arrange ent, Source list, Outline agree ent and info record# The system searches for contracts, scheduling agreements, and info records for the material and suggests these. &f info records with more than one purchasing organi<ation exist, all info records of the purchasing organi<ation s" that is'are responsible for procurement for the re+uesting plant are also suggested."

&f se#eral outline agreements and perhaps info records exist, all possible sources are offered for selection in a box. *hen an info record is found, the following two additional checks are carried out: o !heck of su((l& region: The system checks whether a certain supply region is specified in the associated #endor master record. &f so, the system checks whether the plant in the P, belongs to this region. &f not, the info record is discarded as a possible source. o !heck of regular $endor: The system checks whether a regular #endor has been specified for the material that is, a #endor #alid for the entire corporate group, or client". &f this is the case, and it has been specified in !ustomi<ing that the regular #endor takes precedence, the info record for this #endor will be preferred as the source. Source Deter ination in the <ac%ground: &f you carry out the source determination process online and the system finds se#eral possible sources, a box appears with the sourcing suggestions. From these, you can choose and assign one source. &f you carry out the source determination process in the background, the system must determine a uni"ue source to enable a purchase order to subse+uently be generated automatically. &f se#eral sources are found in the third step, the system gi#es the outline agreement precedence o#er the info record in order to arri#e at a uni+ue source. &f two outline agreements are found, the system checks whether one of them is with a regular #endor. &f so, this agreement is assigned as the uni+ue source. &f not, the system does not assign a source at all. The source must then be assigned manually. Source Cist: &t specifies the allowed and disallowed" sources of a material for a certain plant within a predefined period. The source list ser#es: To define a source of supply as =fixed= or =blocked=. As an aid in selecting the preferred source during the source determination process. To block the external procurement of a material. Maintaining the Source Cist: 5ou can maintain source list records for indi#idual sources of a material as follows: Manual aintenance, Maintenance fro "ithin an outline agree ent, Maintenance fro "ithin an info record, Auto atic aintenance# 5ou can ha#e a source list for a material created automatically. The system creates a source list record for each info record that has been defined for the material or for each outline agreement item in which the material is specified. 1efore you create a source list, you must consider the following points: Material and (lant, !alidit& (eriod, Source list re+uire ent for (lant(in &/(", Source list re+uire ent for aterial // record". Creating a Source Cist Manuall&: &n the initial screen enter the material and plant number. &n the source list o#er#iew screen enter the indi#idual source list records. Specify the following data for each source list record: o !alidit& (eriod, o Characteristics of the source of su((l&( -endor, purchasing organi<ation, or ; :umber of the outline agreement", o FiFed5<loc%ed source(*ithin a #alidity period, there may be no more than one fixed source of supply of the same type that is, one #endor or outline agreement", o Procure ent (lant (su((l&ing (lant): &f the material can be procured from a plant or site within your company, enter the plant number in the PPl field and lea#e the #endor number and'or contract number blank. o <loc%ed source: Select the /l& field to define a source of supply as blocked. The #endor or outline agreement is then not suggested during the source determination process.&f you set the /loc&ed indicator and enter a #alidity period, the material is excluded from external procurement that is, it cannot be ordered during this period". o Materials (lanning5control: >nter 1 in the !RP field if re+uisitions generated by the materials planning'in#entory control system are to be assigned to the source automatically. >nter 2 if you entered a scheduling agreement as the source of supply and you want the re+uisitions generated by the materials planning and control system to be automatically con#erted into deli#ery schedule lines. !heck whether source list records o#erlap. &f any records do o#erlap, the rele#ant ones are listed. 5ou must then change the #alidity periods of the source list records so that each #alidity period is uni+ue. Maintaining a Source Cist fro 9ithin an Info Record: !hoose #$tras

%ource list when maintaining an info record.

Maintaining a Source Cist fro 9ithin an Outline Agree ent: The outline agreement item can relate to either a material master record or a material group. @# Maintaining a Source Cist for an Outline Agree ent Ite "ith a Material Master Record: $n the $A o#er#iew screen, select an item and then choose Item !aintain source list. >nter dates of the period in which release orders may be created against the $A item #alidity period of the agreement". 5ou can enter se#eral periods. B &f you ha#e not entered a plant in the agreement item, you must enter one for each source list record. A# Maintaining a Source Cist for an Outline Agree ent Ite "ith a Material ;rou(: !ertain outline agreement items may not specify a definite material. >xamples are agreement items with the item category M material unknown" or 9 material group". 5ou must decide whether to include certain materials of the material group in the source list or exclude them from it. !hoose Item !aintain source list. The o#er#iew screen of the source list for the material appears. &f you want to eFclude the materials from the source list, lea#e the #$clusion field selected. &f you want to include the materials in the source list, set the Exclusion field to =G=. 2ither the material number s" to be excluded or the material number s" to be included. The material must belong to the material group specified in the agreement item.&f all materials of the material group co#ered by the outline agreement item may be procured, lea#e the #$clusion field selected. Auto atic ;eneration of Source Cist: *ith this procedure, a source list record can be created for each info record and'or each outline agreement item for one or more materials. 5ou can create the source list for se#eral materials collecti#e procedure" or a single material indi#idual procedure". 1efore you create source list records, consider the following: For which materials'plants are the source list records to be generatedP Are only outline agreement items, only info records, or both be taken into accountP .ecision only in the case of the collecti#e procedure." *hat is the #alidity period of the source list records to be generatedP .o source list records already exist for the materials for which you want to create source list recordsP &f so, you must decide whether the old records: o o o /ay not be changed Are to be deleted Are to be excluded from the #alidity period of the generated source list records

!ollecti#e Procedure: *ith this procedure, you generate the source list for se$eral materials. !hoose !aster data %ource list Follo4-on unctions0!#;<) Generate. >nter the necessary data. (enerate the source list. A list of the source records to be generated is displayed. Already;existing source list records whose #alidity periods are thus changed are also listed. Select the source list records you want to include in the source list. FiFed or bloc%ed source list records: 5ou can mark a source list record as =fixed= or block it. A =fixed= source represents the preferred source of supply, whereas a =blocked= source is one from which you are not allowed to order. Select the desired source list record. Then choose #dit Fi$, or #dit /loc&. Then Sa#e. >xception messages are displayed by the system. Press ENTER to continue the sa#ing process. &ndi#idual Procedure: *ith this procedure, you generate the source list for a single material. !aster data %ource list !aintain. >nter the material and plant number. Then go to o#er#iew screen. !hoose #dit

Generate records.
5ou can restore the source list to its original status. To do so, choose #dit Reset. The newly generated source lists records are then deleted.

Creating Source Cist 'sing Referencing -echni+ue: !hoose !aster data %ource list !aintain. >nter the material and plant number. &n the o#er#iew screen !hoose #dit 'opy re erence. Deleting Source Cist Records: A source list record can become inacti#e for the following reasons: The #alidity period has expired. The outline agreement item has been deleted. The info record has been deleted. The #endor master record has been deleted. Deleting Source Cist Records for a Material5Plant: !aster data %ource list !aintain.#dit Delete. Deleting Source Cist Records for Se$eral Materials5Plants: !aster data %ource list Follo4-on unctions Delete. Monitoring the Source Cist: This section shows you how to: .isplay changes to a source list, )ist and maintain the source list for se#eral materials, Simulate automatic source determination, Analy<e source list records e.g. check the materials in a plant with source list re+uirement that ha#e no source list records within a specified period" Dis(la&ing the Source Cist: choose #dit Position+ &n the dialog box, specify the date. 5ou can display details of the desired source list records by choosing Goto Details+ Dis(la&ing Changes to a Source Cist: >ach change to a source list is logged. This pro#ides an audit trail of changes. The log shows: *hen the rele#ant source list record was changed, *ho changed it, *hat was changed with the old and new #alues". To display the changes made to a source list: !aster data %ource list 'han*es. Dis(la&ing the Source Cist for Se$eral Materials: 5ou can also maintain the source list from within the 2ist displays.5ou can display the #endor or material master record that the selected source list record relates to by choosing #nvironment !aterial or #nvironment Vendor.&f you wish to change the source list record, choose #dit %ource list on the source list you wish to change. The chosen source list record is displayed. Si ulating Source Deter ination: The source list is used to determine which source of supply is suggested for a purchase re+uisition item. &n the source list for a material, you can carry out a simulation showing which source would be suggested in a purchase re+uisition for the material on a certain date. &n this way, you can check whether the source list records on which the process of automatic determination of the source of supply is based ha#e been correctly maintained.
-&(es of Si ulation: 5ou can simulate the following:

*hich sources of supply would be suggested by the system in re+uisitions or purchase orders that is, taking outline agreements, info records, and +uota arrangements into account" *hich sources of supply would be suggested if the source list were the only source identification option that is, source determination is carried out "ithout taking outline agreements, info records, or +uota arrangements into account"

Procedure:

8. From the o#er#iew screen for the source list, choose: #$tras %imulation process.

%ource list, if only the source list should be taken into account in the source determination

#$tras %imulation %ource o supply, if outline agreements, info records, and +uota arrangement should be taken into account in determining the source. K. >nter the order date for which the simulation is to be carried out to display the effecti#e source of supply i.e. the source that the system would determine according to the source list or other procurement options". Anal&?ing the Source Cist(M2DH): 4se the source list analysis option to list the materials of a plant for which no source list records exist within a certain period. &n this way, you can determine for which materials source list records are missing in the case of plants with a source list re+uirement.

!hoose !aster data %ource list Follo4-on unctions .naly3e. K. >nter the inter#al of material numbers or the plants for which you wish to analy<e the source list records. N. Specify the scope of the analysis. 5ou can narrow it down according to the following criteria:
8.

Validity period: >nter the start and end dates of a #alidity period containing source list records for the specified material. Plants 4ith source list re"uirement only: &f you set this indicator, all materials of those plants that are sub%ect to a source list re+uirement and which are incompletely maintained are displayed. ,hreshold value: All those materials in the chosen plants whose number of source list records is less than this #alue are displayed. This enables you to determine the materials for which few sources exist in the system.
C. ?.

Maintain source list: Select the material master record whose source list you wish to maintain. !hoose #dit

%ource list to maintain the source list for the material.

Dis(la& aterial aster record: Select the material master record whose source list you wish to display. !hoose #nvironment !aterial, to display the material master record.

Quota Arrangement: The +uota specifies which portion of the total re+uirement should be procured from a gi#en
source. &f a +uota arrangement exists for a material, it is taken into account in the source determination process. A +uota arrangement is specified for a certain period. A +uota arrangement item is created for each source within the period. The existence of a +uota arrangement does not in#ol#e the apportioning among different sources" of an indi#idual material re+uirement that is the +uantity set out in an indi#idual purchase re+uisition". The entire re+uested +uantity in a re+uisition is assigned to one source under the +uota arrangement. Maintaining a 1uota Arrange ent: 5ou establish the +uota arrangement for a material o#er a certain period by entering +uotas for the #arious sources of supply in a +uota arrangement item. 1efore creating a +uota arrangement, you re+uire the following information: :umber of the material or the plant to which the +uota arrangement applies /P: material &f you are maintaining a +uota arrangement for a material with a manufacturer part number". Procurement type of the material that is, whether the material is manufactured in;house or procured externally" -endor number 0uota arrangement #alidity period 0uota to be assigned to each source of supply Special procurement type defining, for example, whether a consignment arrangement exists with the source of supply"

Furthermore, you must define the applications in which the +uota arrangement of the material is used for example, in /aterials Planning or in purchase re+uisitions". !heck the Quota arran*ement usa*e field in the purchasing or materials planning and control data of the material master record. &n connection with the +uota arrangement, the splitting +uota is only rele#ant to /aterials Planning, not to Purchasing. &n /aterials Planning, re+uirements can be split up among #arious #endors. This is not possible in Purchasing. To set up a +uota arrangement for the procurement of a material, proceed as follows:
8. K.

!hoose !aster data Quota arran*ement !aintain. >nter a #alidity period for the +uota arrangement. Select the +uota arrangement and choose Goto Item overvie4.

>nter a +uota arrangement item for each source of supply you want to include in the +uota arrangement. 5ou must enter the following data. Procure ent t&(e, S(ecial (rocure ent t&(e, !endor nu ber, Procure ent (lant, 1uota: Deter ining the Source 'nder a 1uota Arrange ent: The system calculates the next source from which a specific material re+uirement is to be procured from among the sources that ha#e been assigned a +uota in the current #alidity period. This calculation is carried out if you ha#e the source of supply for a re+uested material determined by the system.

Calculating the 1uota Rating: The system assigns a +uota rating as calculated below" to each source of supply. 0, @ 0uota;allocated +uantity A 0uota base +uantity" ' 0uota. *here,

1uota*allocated +uantit& @ Total +uantity from all purchase re+uisitions, purchase orders, release orders, and scheduling agreement schedules allocated to a gi#en source of supply. The +uantities of +uota;allocated planned orders are also taken into account." 1uota base +uantit& @ 0uantity used to control the +uota arrangement when new sources of supply are included. 1uota @ A number specifying which portion of a total re+uirement should be obtained from a certain source.

The source with the lowest +uota rating represents the #alid source, e#en if it has a +uota rating of 7 that is, the +uota; allocated +uantity and the +uota base +uantity ha#e the #alue 7". &f more than one source of supply has a +uota rating of 7, the item with the highest +uota is the #alid source of supply. According to the formula, the following applies: The higher the +uota, the lower the +uota rating and the higher the likelihood that the rele#ant source will be determined as the #alid source. Deter ining the 1uota <ase 1uantit&: The +uota base +uantity is used only when you include a new source in an existing +uota arrangement. The +uota base +uantity enables you to pre#ent the new source from being assigned all re+uirements in the form of re+uisitions or Pos, for example" until its +uota;allocated +uantity exceeds the +uota;allocated +uantity of one of the existing sources. This is achie#ed as a result of the fact that the +uota base +uantity acts as an additional +uota;allocated +uantity in the calculation of the +uota rating. Suppose you include a new #endor in an already existing +uota arrangement for a material. The existing +uota arrangement consists of two #endors, each of which has been allocated ?7F of the total re+uirement of a material o#er a period. >ach of these #endors has a large +uota;allocated +uantity because a lot of material has been ordered from them to date during the course of the +uota arrangement period. The new #endor is to be assigned a share of the total re+uirement of the material e+ual to that of the two other #endors in the +uota arrangement. Eowe#er, in accordance with the formula for the calculation of the +uota rating, all subse+uent re+uisitions will be assigned to the new #endor until such time as the latter9s +uota rating exceeds the +uota rating of one of the other #endors. Eowe#er, if the re+uisitions are to be assigned on an e+ual basis that is, as though the new #endor had always participated in the +uota arrangement", you must ha#e the +uota base +uantity for the new #endor determined by the system. Indi$idual and Collecti$e Calculation: Two procedures for determining the +uota base +uantity are a#ailable in the system: Indi$idual calculation: !alculation of the +uota base +uantity of the selected +uota arrangement items. Select the items whose +uota base +uantity is to be calculated and choose #dit /ase "uantities Indiv+ calculation. Collecti$e calculation: !alculation of the +uota base +uantity of all +uota arrangement items. 4se this procedure if the assignment of indi#idual re+uirements is to be effected on an e+ual basis for all sources of supply. !hoose #dit /ase "uantities

'ollect+ 'alculation.

As a result of the calculation of the +uota basis +uantity, the +uota rating of a new source exceeds the +uota rating of the source representing the #alid source that is, the source to which the next indi#idual re+uirement is assigned because it has the lowest +uota rating". Calculating the 1uota Rating: 2Fa (le: 5ou wish to include the new #endor ! in an existing +uota arrangement that has been in effect for a year and pre#iously only included #endors A and 1. >ach #endor has the +uota set out in the following table:

1uota arrange ent for $endors A, <, and C !endor A 1 ! 1uota N K 8 1uota*allocated +uantit& QR7 NR7 7 1uota base +uantit& 7 7 KS7

The +uota base +uantity KS7 for #endor ! was set with #dit

/ase "uantities Indiv+ calculation.

According to the pre#iously;discussed formula, the +uota ratings for #endors A, 1, and ! are as follows:
A=(780 + 0)/3 = 260, B=(380 + 0)/2 = 190, C=(0 + 260)/1 = 260

,esult: The next re+uisition will be assigned to -endor 1 because this #endor has the lowest +uota rating. Re$ision of 1uota Arrange ent: &f you ha#e changed the #alidity period of an already existing +uota arrangement, for example, you should subse+uently re#ise the +uota arrangement. *hen you do this, the +uota;allocated +uantities of the indi#idual sources of supply are ad%usted accordingly. This means that the total +uantity from all purchasing documents and planned orders assigned to a source of supply is updated in the +uota; allocated +uantity of the +uota arrangement items. The document types to be included in the calculation of the total +uantity are determined #ia the Quota arran*ement usa*e field in the material master record." The re#ision of +uota arrangements is carried out in the background because re#ising them online can slow down system response times. !hoose !aster data Quota arran*ement #ariant. Schedule the %ob.

Follo4-on unctions Revise 0bac&*r". .efine the selection criteria in a

Monitoring 1uota Arrange ents: This section shows you how to: .isplay the +uota arrangement for a material .isplay changes to a +uota arrangement )ist and maintain the +uota arrangements of se#eral materials Simulate automatic source determination Analy<e +uota arrangement items for example, check the +uota arrangements that contain no +uota arrangement records in a specified period" ,e#ise a +uota arrangement
Dis(la&ing a 1uota Arrange ent: 5ou can display indi#idual records +uota arrangement records by selecting a +uota

arrangement and choosing Goto Item overvie4+

Dis(la&ing Changes to a 1uota Arrange ent:

Dis(la&ing 1uota Arrange ents for Se$eral Materials: Si ulating Source Deter ination 'nder 1uota Arrange ents: 5ou can simulate the process of source determination for a

material sub%ect to a +uota arrangement. That is to say, you can determine which source would be suggested in a purchase re+uisition for the material on a certain date. &n this way, you can check whether the +uota arrangement items on which the process of automatic determination of the source of supply is based ha#e been correctly maintained.
-&(es of Si ulation: 5ou can simulate the following:

*hich sources of supply would be determined if the +uota arrangement were the only source identification option that is, source determination is carried out without taking outline agreements, info records, or source lists into account"

*hich sources of supply would be determined by the system that is, taking outline agreements, info records, +uota arrangements, and source lists into account" To simulate the source determination process, proceed as follows From the o#er#iew screen for +uota arrangement periods, choose: #$tras %imulation Quota arran*ement, if only the +uota arrangement is to be taken into account in the source determination process. #$tras %imulation %ource o supply, if outline agreements, info records, +uota arrangement, and source lists are to be taken into account.
1uota Arrange ent Anal&sis: 4se the +uota arrangement analysis option to list the materials of a plant for which no +uota

arrangements exist within a certain period. &n this way, you can find out which materials ha#e +uota arrangements that are incompletely maintained. !hoose !aster data

Quota arran*ement Follo4-on unctions .naly3e.

>nter the inter#al of material numbers or the plants for which you wish to analy<e the +uota arrangement items. Specify the scope of the analysis. 5ou can narrow it down according to the following criteria: B Start and end dates of a #alidity period containing a +uota arrangement for the specified material B &nter#al of +uota arrangement numbers B Time frame for the +uota arrangements to be analy<ed !hoose Pro*ram #$ecute. The materials whose +uota arrangements are incompletely maintained are displayed. Maintain +uota arrange ent: Select the +uota arrangement item to be changed or maintained, and choose #dit Quota arran*ement. Dis(la& aterial aster record: Select the +uota arrangement item whose material master record you wish to display. !hoose #nvironment !aterial. Assigning PR to Sources5Further Processing: This section explains con#erting re+uisitions into external purchasing documents purchase orders, contract release orders, scheduling agreement deli#ery schedules, ,F0s", and the processing options thereby a#ailable to you: Assign (urchase re+uisitions: This in#ol#es assigning sources of supply to indi#idual re+uisition items. Re"uisition Follo4-on unctions .ssi*n for the first step" Further (rocessing of (urchase re+uisitions $ia the assign ent list: This in#ol#es the manual creation of purchase orders or deli#ery schedule lines from a list of re+uisitions with assigned sources. Re"uisition Follo4-on unctions 'reate purchase order Via assi*nment list 0 or the second step) Assign 6 (rocess (urchase re+uisitions: This in#ol#es assigning sources to listed purchase re+uisitions and creating ,F0s, P$s, and deli#ery schedule lines. This function is a combination of =Assign Purchase ,e+uisitions= and =Further Processing of Purchase ,e+uisitions #ia the Assignment )ist=." 5ou can also change order +uantities and deli#ery dates." Re"uisition Follo4-on unctions .ssi*n = process+ Assigning Re+uisitions to Sources: Indi$iduall& online": 5ou assign an indi#idual P, to a source when creating or changing a P,. Collecti$el& online": Eere you assign the source s" to all re+uisitions on a list during the processing of re+uisitions In the bac%ground: To do so, you must run report ,/7S1T87.

5ou can then process the re+uisitions with assigned sources in the system.

Indi$idual Assign ent of Re+uisitions: To permit a source to be determined for a certain material or material group", an

outline purchase agreement or an info record must ha#e pre#iously been created in the system.
Procedure: Enjoy Purchase Requisition (ME51N, ME52N :
...

8. !hoose the %ource o %upply tab page in the item details while creating or changing a purchase re+uisition. &f se#eral sources exist, they are offered to you for selection. To assign a different #alid source, click .ssi*n source in the detail #iew.&f you ha#e set the %ource determination indicator, the system attempts to assign a source automatically. K. To choose a source, click on the one desired in the .ssi*n source o supply column. The source has been assigned. To switch to the detail #iew, click .ssi*ned source. symbol shows which

To determine the most fa#orable #endor, click Price simulation+ &f you are using the -endor >#aluation component, you can display the results of the #endor e#aluation process. !lick Vendor evaluation+ The system then generates a ranking list of the #endors displayed, in relation to the material or material group. N. !heck your data and sa#e the purchase re+uisition.

!o""ecti#e Assignment o$ Requisitions: +ou can choose one of t,o options: &f you onl& wish to assign re+uisitions, choose Re"uisition Follo4-on unctions .ssi*n+ 5ou will then get your worklist in the form of a basic list.
&f you wish to assign and (rocess re+uisitions in a single step, choose Re"uisition Follo4-on unctions > .ssi*n = process+

&n this case, starting from the basic list of all re+uisitions to be processed, you can change indi#idual re+uisitions directly, assign sources, and then generate purchase orders, deli#ery schedule lines under scheduling agreements, or ,F0s.

Processing a Requisition from the Basic ist

5ou ha#e the following options: 5ou can display the results of the #endor e#aluation for each purchase re+uisition #ia #nvironment Vendor evaluation)+ 5ou then obtain a ranking list of all #endors that can supply the material. &n addition to the functions you can call up #ia the buttons in the dialog box, you can in#oke functions such as the following by pressing the right;hand mouse button: .isplay &nfo ,ecords, .isplay -endor >#aluation, or .isplay ,elease Strategy. 5ou can re;sort the list by selecting the appropriate sort key #dit %ort". For example, if the re+uisitions are to be sorted chronologically by the date they ha#e been released for ordering purposes, choose #dit %ort %ort by release date. 4se the function #dit Update 4or&list to update the basic list your worklist" during processing. The re+uisitions that you ha#e in the meantime assigned to sources and which you ha#e sa#ed then no longer appear in the list. 5ou can change the +uantity to be deli#ered, the deli#ery date, or the procurement options for a selected item, for example. !hoose Goto Detailed data. A box appears, allowing you to change the rele#ant data. 5ou can only change deli#ery +uantities and dates if you ha#e chosen .ssi*n = process." !hoose Goto .ssi*nment overvie4 to display an o#er#iew of the re+uisitions that ha#e been assigned. The o#er#iew shows the #endors to whom re+uisitions ha#e been assigned and the number of re+uisitions assigned to each one. For example: ? purchase re+uisitions ha#e been assigned to contract no. 8K." &f you ha#e chosen Re"uisition Follo4-on unctions .ssi*n = process, you can flag a re+uisition for ,F0 processing. Select the re+uisition and choose #dit Fla* or RFQ ?ith vendor or ?ithout vendor+ 5ou can generate an ,F0 from a re+uisition that has been flagged for ,F0 processing on the assignment o#er#iew screen. &f you ha#e chosen Re"uisition Follo4-on unctions .ssi*n = process and ha#e assigned a source to the re+uisition, you can generate purchase orders and scheduling agreement schedule lines from the assignment o#er#iew screen.
&n order to be able to select re+uisitions for processing using the mouse, you must set the %election indicator in !ustomi<ing for Purchasing. 0Reportin* !aintain Purchase Re"uisition 2ists under De ault 0%.P ,ransactions". Procedure:
...

8.

!hoose Re"uisition Follo4-on unctions .ssi*n or .ssi*n = process.

The selection screen on which you enter the criteria for selecting the re+uisitions to be assigned appears. K. >nter the selection criteria for the re+uisitions to be assigned. For example, enter the purchasing group key to list all re+uisitions that ha#e been assigned to your purchasing group for processing. N. &f you wish to assign more than one re+uisition, you must first select the rele#ant ones. -ia the #dit %elect menu you can select all or a block of re+uisitions. C. 5ou can assign sources manually or automatically. Auto atic assignment means that the system determines possible sources. 5ou can also enter the source of supply for a re+uisition directly, i.e. anuall&. For example, you can use this function to assign the re+uisition to a #endor from whom you ha#e not pre#iously ordered anything. a. !hoose #dit %ource o supply .ssi*n automatically to determine possible sources for the pre#iously selected re+uisition s". The system determines the possible sources for each re+uested material on the list. &f more than one possible source exists for a re+uisition, a dialog box listing them appears. >ither click on 'hoose to pick out the desired source, or choose 'ancel if none of the sources is suitable. &f you selected more than one re+uisition for assignment, the box for the next re+uisition with more than one possible source appears. ,epeat the process until all re+uisitions ha#e been assigned to sources. a. !hoose #dit %ource o supply .ssi*n manually if you wish to enter the source directly. &f any re+uisitions ha#e already been assigned to a source, the system o#erwrites the old source with the new one. !hoose #dit 'ancel assi*nment if you want to reinstate the original assignments of the re+uisitions. S. To confirm the assignment of selected items from within the basic list, choose #dit 'han*e re"uisitions. The system issues a message confirming that the re+uisition s" has'ha#e been changed.

Entering %e&t, Printing and %ransmitting 'ocuments :

This section deals with the formatting and output of

purchasing documents. &t discusses the following topics: Creating and For atting -eFts, Messages, Ca&out of Purchasing Docu ents

-eFt -&(es: Text types represent different structuring options for texts used in purchase re+uisitions and external
purchasing documents. >xamples of text types are the info record P$ text, material master P$ text, or the deli#ery text. The text types are assigned to header and item texts. *ithin the header and item texts, there is also a text type in each case that is called header or item text. /eader -eFts: &n !ustomi<ing for Purchasing, you specify for each text type whether the text is to appear at the beginning or end of the document. Text types for header texts include the following: /eader -eFt: &f the header text appears at the beginning of the printed document, you should reser#e it for important information that the #endor should take special notice of. An example of header text would be special bidding instructions that should appear at the beginning of an ,F0. /eader Me o: The header memo is for internal use onlyO the text does not appear on the printed document. 5ou can use the header memo to record a comment relating to the rele#ant purchasing document. For example, a note indicating that the #endor has had a +uality control problem. $ther users displaying the document can #iew this information, but it is not sent to the #endor. Su((le ent -eFts: >xamples of supplement texts are standard disclaimers and =boilerplate= texts that often appear in small print on the back of a purchase order. Ite -eFts: &tem text is printed after the item data material number, short descripti#e text, +uantity, etc.". Text types for item texts include the following: Ite -eFt: .etailed description of an ordered material. 5ou can enter this text in addition to the item text copied from the info record or material master record. Info Record PO -eFt: Text from the purchasing info record. This text can replace or supplement the P$ text from the material master record. Material Master Record PO -eFt: .escription from the material master record. This text is taken from the purchasing data of the material master record. Deli$er& -eFt: Text comprising deli#ery instructions. &f the deli#ery instructions for the item differ from those for the rest of the document, you can enter them here.

2diting -eFts: 1asic knowledge of SAP%cript, the SAP text editor. 5ou must be in document change mode. Selecting the -eFt -&(e and 2ntering -eFt: &tem text: choose Item ,e$ts ,e$t overvie4 Eeader or supplement text: 'hoose @eader ,e$ts ,e$t overvie4. Alternati#ely, enter such texts for a purchasing document directly from the Purchasing menu: !hoose APurchasin* documentB !aintain supplement and enter the document number. >nter and edit your text on the text o#er#iew screen. &f the text is too long, or you wish to format it, switch to the long text screen. For atting -eFt: *hen text is outputted, it is formatted automatically. The format depends on type of purchasing form layout set" chosen purchase order, order acknowledgment, etc.". The purchasing form contains predefined paragraph formats, which determine the indentation and fonts for text, for example. &f an asterisk U" appears on the left in the text editor, the standard paragraph format from the form applies. 5ou can also apply your own paragraph formatting to texts. 9or%ing "ith Fre+uentl& 'sed -eFts: 5ou can copy texts from #arious sources to create P$ texts: Standard texts: !ertain standard texts are supplied with the system and can be assigned to a purchasing document in !ustomi<ing. o o The content of some standard texts is predefined by your system administrator. 5ou can also create standard texts yourself and copy them into purchasing documents.

/aster records .atabase fields

5ou can create your own standard texts #ia ,ools %.Pscript %tandard te$t. To insert Insert ,e$t %tandard+ To display the print pre#iew #ia ,e$t Print Print previe4. Inserting -eFts fro the Master Record: There are three ways of linking texts from a master record with a purchasing document. The rele#ant settings are made for each text type in !ustomi<ing for Purchasing. The indicator in the status column shows the nature of the linkage. O(tion The text is co(ied: &t is then independent of the text in the master record. !hanges to the text in the material master record ha#e no influence on the text in the document. The text is dis(la&ed only: &t cannot be adopted. The text is offered for co(&ing: &t can be copied #ia @eader or Item ,e$ts .dopt te$t+ &n re+uisitions: Goto ,e$ts .dopt te$t." !hanges made in the master record will also be adopted in the document until such time as you copy the text. Indicator in status colu n :one :
U

Inserting -eFts fro Database Fields: 5ou can include the content of a database field at any point in the text on the long text screen. A #alue specific to the rele#ant document is displayed in the printed document. !hoose Insert %ymbols Pro*ram symbols+ !hoose DDI' ields. Search for the rele#ant table'structure in the case of P$ items, this is >3P$" and then choose ENTER . !hoose the rele#ant table field. !hoose ,e$t Print previe+ Messages: &n order that the purchasing documents can be transmitted to the #endor the system generates a messa*e for each document. &n this context, a message is a document in output format for communication to #endors." The generation of messages is based on the condition techni+ue. >ach time you create an ,F0, a P$, a contract, a SA, a SA release, or a standard deli#ery schedule issued under a SA, the system creates a message for the rele#ant document. This message is placed in the message +ueue. The message +ueue contains all the messages that ha#e not yet been transmitted to the #endor.

5ou create messages for expediters and reminders including order acknowledgment expediters" #ia the report =Purchasing .ocuments: ,eminders and 4rging )etters=. The following options are a#ailable for outputting messages e.g. as hardcopy printout, as a fax or e;mail, or #ia >.&" from the message +ueue: &mmediate output: The system outputs the message from the +ueue directly the document is sa#ed. )ater output: 5ou can either schedule a background %ob ,S:AST77", which processes the message +ueue at predefined inter#als, or initiate outputting directly #ia the Purchasing menu V Purchasin* documentW !essa*es Print(transmit or using the program ,/7S>:.,GA)-". As a rule, you will use the background %ob to output messages and only use the manual output facility in exceptional cases e.g. rush orders".
Structure: A message contains information such as the following:

Transmission medium e.g. printer, >.&, or telematic ser#ices fax, telex, or teletex"". Transmission time;spot 5ou can define one of the following times for outputting from the message +ueue: -i e*s(ot 8 K N C Meaning $utput next time program ,S:AST77 is run. $utput next time program ,S:AST77 is run. 5ou can enter a date and time. /anual output #ia the Purchasing menu !essa*es Print(transmit+ &mmediate output upon sa#ing the document.

:umber of the purchasing document to which the message relates. Processing status not yet processed, successfully or unsuccessfully processed". Partner to whom the message is to be sent. 4ser who created the message.

Message $ia 2*Mail: 5ou can send purchasing documents to a #endor by e;mail. 5ou can also send memos to an internal user from within the purchasing document, in which case the recipient can directly access the rele#ant document when processing the e;mail executable mail". 2Fternal -rans ission(2-): Ma%e the necessar& Custo i?ing settings The SAP system is configured for the transmission of external mails. The message determination facility has been set up in !ustomi<ing for Purchasin*. 5ou ha#e defined a communication strategy in !ustomi<ing under !essa*es Output 'ontrol !essa*e ,ypes De ine !essa*e ,ypes or APurchasin* DocumentB !aintain !essa*e ,ypes or APurchasin* DocumentB on the De ault Values tab page, so that if no e;mail address can be found, for example, the system sends a fax. The following information is necessary: Data Message t&(e !ommunication strategy !alue >.g. :>4 !hoose a communication strategy or create a new one. -ia the input help, you can branch to the maintenance function for communication strategies. !hoose in the following window. 5 0e$ternal transmission) SAPF7SP Co ent

>nter the necessary data on the De ault Values tab page on the detail screen for the message type ". The entries are identical to those of the print output.

Processing routines /edium Program

F$,/ routine Partner roles Maintain aster data:

e.g. for P$" >.g. external transmission')F

>:T,5G:>4

/essage records must ha#e been created through master data maintenance Purchasin* menu". >nter the necessary data B for example, role LF #endor", medium 5 e$ternal transmission" and time spot 4 send immediately upon savin*". SAP recommends that you work with time spot C, so that the e;mails generated are sent immediately. &f you work with processing time spot 8 send #ia periodically scheduled %ob", you must schedule the program ,S:AST77 periodically for message output, so that messages are generated and e;mails sent. An e;mail address is stored in the #endor master record. An e;mail address is stored in the user master record.Please note that you must also maintain an e;mail address for user &.s with which batch;%obs are carried out. Internal -rans ission(I-): Ma%e the necessar& Custo i?ing settings 5ou ha#e maintained the !ustomi<ing settings for Purchasin* under !essa*es, Output 'ontrol !essa*e ,ypes De ine !essa*e ,ypes or APurchasin* DocumentB !aintain !essa*e ,ypes or APurchasin* DocumentB . The following information is necessary: Data Message t&(e Time; spot Transmission medium output medium" Partner role Mail title and teFts Processing routines Program F$,/ routine Partner roles /edium SAPoffice" SAP$FF&!>GA4F,4F >.g. SAPoffice'/P, SAPoffice')F !alue >.g. /A&) 4 send immediately upon savin*) (SAPoffice) mail partner" >.g. mail from purchase order Q ,S:ASTS$ >.g. Q MP Co ent

>nter the necessary data on the De ault Values tab page on the detail screen for the message type ".

Maintain aster data: /essage records must ha#e been created for the message type !.I2 through master data maintenance Purchasin* menu". >T: 5ou see the documents generated in the SAP system under O ice ?or& center Outbo$ Documents. &T: !hoose !eans o communication and enter your text on the following screen APurchasin* documentB9 %end 4ith note". >nter the user9s first and last names, for example, in the Recipient field. &f you wish to insert a transaction because you want the recipient to #iew a purchase order, for example", choose (oto #$ecution parameters. >nter the necessary data, such as execution type T @ transaction", execution element ME22N @ !hange Purchase $rder", execution system, and the S>T'(>T parameters BES for purchase order". &f you ha#e specified send immediately as the processing time;spot, the user will immediately recei#e a message or document when the purchase order is sa#ed. The user can #iew the message sent to him or her #ia O ice ?or& center Inbo$. &f the document in your inbox is an executable mail, you can click the right;hand mouse button and directly access the rele#ant purchase order, for example, #ia the menu thus displayed. Message -&(e:

Message -&(e :>4

Meaning :ew documents. The complete purchasing document is outputted as a message. !hange document. !hanges to an existing, already;outputted document are outputted. The change indicator is set in the message.

)P>T )P>K

)PFT .eli#ery schedules with already deli#ered +uantity. )PFK schedules with cumulati#e +uantities. schedules including the open (, +uantity. schedules with cumulati#e +uantities. )PEK Forecast F,!" deli#ery schedules type of SA release" per >.&. F,!" deli#ery schedules type of SA release" as printout. )PMK Must;in;Time M&T" deli#ery schedules type of SA release" per >.&. in;Time M&T" deli#ery schedules type of SA release" as printout. .istributed contracts.

.eli#ery .eli#ery .eli#ery Forecast Must;

)PE8 )PM8 -:>4 )P/A )P/F /AE: A4F1

,eminders and urging messages relating to deli#ery schedules with cumulati#e +uantities. and urging messages relating to deli#ery schedules without cumulati#e +uantities. ,eminders and urging messages relating to a purchasing document. Acknowledgment expediter.

,eminders

5ou create message types external messages for communication with #endors" in !ustomi<ing for Purchasing. 5ou can define default #alues for each message type e.g. the transmission medium or the transmission time;spot". 5ou maintain a print program and a form for each message type. 5ou can define a different form layout for each company code, for example, by defining separate message types for each company code. Message -&(e: Fine*-uned Control: For each message type you create, you must specify the purpose for which it is to be used. For example, outputting printing'transmission" of new documents, outputting of change documents, outputting of urging messages expediters". 5ou make the settings for fine;tuned control with regard to the #arious message types in !ustomi<ing for Purchasin*. &f you wish to use different message types for each type of scheduling agreement release, you should specify which message type updates the print;rele#ant data e.g. date of last transmission". Message Record: ,ecord belonging to a condition table containing default #alues relating to how, when, and to whom a message is to be outputted. &n order for the system to be able to generate a message for a purchasing document, a message record must exist whose key combination matches up with the #alues from the purchasing document. &n the standard system, you can define default #alues for a message type e.g. output of new document, urging message" at the following le#els i.e. for the following key combinations": .ocument type: e.g. :1 standard purchase order", A: ,F0"" .ocument type'purchasing organi<ation'#endor Purchasing organi<ation'#endor for >.& 5ou can also define other le#els in !ustomi<ing for Purchasin* under !essa*es Output 'ontrol 'ondition ,ables. :ote that you can only use fields from the header data of purchasing documents. $ther fields such as !aterial or Plant" displayed in the field catalog cannot be used. 5ou can create message records for the following situations: All new purchase orders to the #endor /eyer !o. are to be transmitted #ia >.& immediately the P$ is sa#ed. All new ,F0s issued to the #endor /iller !orp. are to be placed in the message +ueue after being sa#ed. From there, they are to be printed out manually.

5ou create message records as master data #ia the Purchasing menu. Out(ut of Purchasing Docs# (Message Deter ination): The system always carries out the message determination process when you create an ,F0, a purchase order, a contract, an outline agreement, a scheduling agreement release, or a standard deli#ery schedule under a scheduling agreement. =/essage determination= means that the system searches for a message record whose key combination matches up with the #alues from the rele#ant purchasing document. &f the appropriate settings ha#e been made in !ustomi<ing, a new message determination process can be carried out when purchasing documents are changed. Prere+uisites The message determination facility has been set up in !ustomi<ing for Purchasin*. 5ou can also work with the standard settings. &f a new message determination process is to be carried out when purchasing documents are changed, you must set the indicator N new message determination in the case of change messages" in !ustomi<ing for Purchasin* under !essa*es Output 'ontrol De ine !essa*e %hema or %. Release(#$pediter .ssi*n %chema9 %. Release(#$pediter. 5ou must ha#e created message records #ia master data maintenance in the Purchasing menu.

Process Flo" 8. 5ou create a purchasing document. K. The system carries out the message determination process. This is based on the condition techni+ue. a. The system assigns the message determination schema that is #alid for the purchasing document. The schema contains the message type. b. The system searches the condition tables for a #alid message record e.g. for the document type" #ia the access se+uence assigned to the message type. N. &f a message record is found, the system generates a message for the purchasing document using the data of the record transmission medium, transmission time;spot etc." and places it in the message +ueue. 5ou can #iew an analysis log of the message determination process as well as the message itself in the purchasing document #ia @eader !essa*es+ At this point, you can also change the output criteria for the message. :ote that the analysis log is not sa#ed and is only a#ailable immediately following the message determination process. C. The message is outputted from the message +ueue in accordance with the specified transmission time;spot. &f the associated document is sub%ect to a release procedure and has not yet been released, the system generates a message. 5ou can display this message but not output it. The message is initially blocked. Creating Message Records: 8. !hoose !aster data !essa*es APurchasin* documentB 'reate. K. >nter the message type e.g. :>4 for purchasing documents that are to be outputted for the first time" for which you wish to specify criteria such as the transmission time;spot, transmission medium etc. N. !hoose #dit 1ey combination, select the le#el at which you wish to create message records, and then choose 'ontinue. C. >nter your criteria. &f data on the transmission time;spot etc. has been maintained for the message type in !ustomi<ing for Purchasing, this is pre;set. &f the message is to be transmitted #ia fax, teletex, or telex, and data on the fax, telex, or teletex number is a#ailable in the #endor master record, this is pre;set. &f you ha#e chosen Print or Fa$ as the transmission medium, you can enter a printer address or a fax number #ia Goto !eans o communication+ ?. Sa#e your data. 5ou ha#e maintained the message type :>4 for purchase orders and ha#e entered Print as transmission medium, the printer $y3 as means of communication, and Immediately as the transmission time;spot. *hen you next sa#e a newly created purchase order, the system will immediately output the message for this P$ on the printer xy<.

Out(utting Messages: Prere+uisites: The message output +ueue must contain messages. 2 The purchasing documents represented by the messages must ha#e been released appro#ed". 5ou can either schedule a background %ob ,S:AST77", which processes the message +ueue at predefined inter#als, or initiate outputting directly #ia the Purchasing menu V Purchasin* documentW !essa*es Print(transmit) or using the program ,/7S>:.,GA)-. As a rule, you will use the background %ob to output messages and only use the manual output facility in exceptional cases e.g. rush orders". Out(utting Messages in the <ac%ground "ith RS8AS-DD: !hoose %ystem %ervices Reportin*+ >nter rsnast00. .efine the selection criteria in a #ariant. Schedule the %ob. Out(utting Messages Manuall&: 8. !hoose APurchasin* documentB !essa*es Print(transmit+ The message selection screen appears. K. >nter the selection criteria for the documents to be outputted. *hether further input fields are a#ailable depends on the selected application. N. !hoose Pro*ram #$ecute. The message output +ueue is displayed. C. Dis(la& out(ut: to print out or fax a document, Select the desired document and choose Goto Display messa*es+ ?. -rial (rintout: Goto ,rial printout. A trial printout has no influence on the processing status of the document. S. Select the desired document s" and choose #dit Print(transmit+ Changing Out(ut Criteria: Prere+uisites: The message output +ueue must contain messages. 8. 5ou in#oke the !essa*es screen as follows: B -ia the purchasing document itself @eader !essa*es" or B -ia VPurchasin* documentB !essa*es Print(transmit. .isplay the messages. Select the desired message and choose Goto !essa*e details+ K. $n the o#er#iew screen, change the transmission medium or the partner, for instance. &f the message is to be printed out or faxed, you can change the printer address or the fax number #ia #dit !eans o communication. 5ou change the transmission time;spot #ia #dit .dditional data. 5ou can also enter a date and time here. Re*Out(utting of Messages5Change Messages: 5ou can re;output a message that has already been outputted. -arious options are a#ailable including the following: )Re(eat essage) function: 5ou use this function if you wish to print out or transmit again a complete purchasing document that has already been outputted. :ote that the system takes account in the message of any changes made to the purchasing document since it was last outputted ; i.e. the system always outputs the current status of the document. &f you wish to ha#e old statuses a#ailable, you must optically archi#e the purchasing document. Change essage: 5ou use this function if you only wish to output the changes made to the purchasing document since the last message output. :ote that these changes must be output;rele#ant, otherwise, although the system generates a message in the +ueue, it is not outputted because there are no print;rele#ant changes. The status of the message is then =successfully processed=. Print;rele#ant output;rele#ant" changes are changes made to the fields listed in table T8SS!.

8. 5ou in#oke the !essa*es screen as follows: -ia the purchasing document itself @eader !essa*es" or -ia VPurchasin* documentB !essa*es Print(transmit. >nter the processing status 8 successfully processed" and display the messages. Select the desired message and choose Goto !essa*e details+

!hoose #dit Repeat messa*e or 'han*e messa*e+ The system inserts the new message. &f a change message is in#ol#ed, the system sets the 'han*e indicator. Sa#e data. Re inders and 'rging Cetters (2F(editers): &f you ha#e specified reminder le#els under the item details of a purchasing document, the system is able to generate reminders and urging letters expediters" automatically. 5ou can enter up to three reminder le#els. For example, the reminder le#els 87;K7;N7 mean that urging letters are issued 87, K7, and N7 days after the due date for submission of a +uotation or for the deli#ery of ordered goods. :ote: in the SAP System the term =reminders= is often used to denote such messages issued before the due date, whereas the term =urging letter= or =expediter= commonly stands for a perhaps more strongly worded admonitory message issued after the due date. Eowe#er, this distinction is not consistent, and may not apply outside the SAP en#ironment. The corresponding term for =urging letter= in the F& component is =dunning letter=, and relates to o#erdue payments." A negati#e number means that a reminder is to be issued (rior to the deadline for submission of +uotations or the deli#ery date for ordered goods. For example, if you enter I* as the reminder le#el, a reminder will be sent ? days prior to the +uotation submission date. Prere+uisites The message determination facility has been set up in !ustomi<ing for Purchasin*. /essage records must ha#e been created through master data maintenance Purchasin* menu". The purchasing document in#ol#ed must ha#e pre#iously been transmitted to the #endor.

5ou first generate messages for all purchasing documents for which reminders or urging letters need to be issued and then output these messages. ;enerating a Message: 8. !hoose APurchasin* documentB !essa*es Ur*in*(reminders+ K. >nter the selection criteria for the documents that should be checked with regard to the necessity of issuing reminders or urging letters. >nter a reference date. The system takes this date as the basis for calculating the periods after which reminders or expediters are due.Select the 2ist untransmitted messa*es field to ensure that the list also includes those documents whose reminders and urging letters are in the message +ueue but ha#e not yet been outputted. N. !hoose Pro*ram #$ecute. 5ou see the documents in respect of which due dates are approaching or ha#e been exceeded. C. Select the documents for which you want to generate reminders or urging letters. Then choose #dit Generate messa*es. Sa#e your selections. Out(utting Re inders or 'rging Cetters ?. To output the message, choose APurchasin* documentB !essa*es Print(transmit. S. >nter the same selection criteria as in step K and then execute the program. Q. Select the messages to be outputted printed or transmitted" and then choose #dit Output messa*e. ;eneration of Messages: S&ste Procedure: The system checks which documents re+uire expediting on the basis of the reference date. &n the process, it also takes account of $endor confir ations. A prere+uisite is that the confirmation category has been flagged as =sub%ect to reminder= expediting" in !ustomi<ing for Purchasin*. 5ou ha#e ordered 877 tons of Steel 8 for 7?.8?. 5ou ha#e specified 87;K7;N7 as the reminder urging" le#els. The #endor confirms that deli#ery of the 877 tons will take place on 7?.8Q. &f you then wish to expedite this item and enter 7?.KS as the reference date, the item will not be suggested for expediting. Eowe#er, if you enter 7?.KR as the reference date, it will be suggested. &n the case of scheduling agree ents "ith release docu entation, the dates from the last;transmitted SA release are taken as a basis, not the dates shown in the current o#erall deli#ery schedule stored in the system. 'rging !endors to Sub it Outstanding Ac%no"ledg ents: 5ou can re+uire a #endor to submit an acknowledgment for each indi#idual item of a purchasing document P$, scheduling agreement, contract". This function allows you to select for expediting purposes purchasing documents for which no acknowledgment has yet been recei#ed.

&n the case of P$s, the settings for the confirmation control key in !ustomi<ing are taken into account. &n the case of contracts and scheduling agreements, the system checks only whether an order acknowledgment number exists at item le#el. Prere+uisites: The external messages ha#e been set up in !ustomi<ing for Purchasing. 5ou can also work with the standard. /essage records must ha#e been created through master data maintenance Purchasin* menu". The .c&no4led*ment re"uired indicator has been set in the rele#ant item of the purchasing document. The purchasing document in#ol#ed must ha#e pre#iously been transmitted to the #endor.

5ou first generate messages for all purchasing documents for which acknowledgment expediting is necessary and then output these messages.

(enerating a Message:
...

!hoose APurchasin* documentB !essa*es !onitor order ac&no4led*ment+>nter the criteria for selecting the purchasing documents to be checked with regard to outstanding order acknowledgments. &f you select 2ist non-transmitted messa*es, the resulting list will also contain documents for which an acknowledgment expediter has already been generated but not yet outputted. &f you run the reminder program in the background, you must select Generate and save messa*es+ The system will then generate and sa#e the messages directly. The output list is for information purposes only. !hoose Pro*ram #$ecute. 5ou will see the purchasing documents your #endor has not yet acknowledged. Select the documents for which you wish to issue order acknowledgment expediters. Sa#e your selections. &f you ha#e set up the message determination process in such a way that the acknowledgment expediter is outputted immediately the application document is posted transmission time;spot C", you need not perform the following steps. )ut*utting Messages +rging ,u-mission o$ )#erdue Ac.no/"edgments:
...

To output the message, choose APurchasin* documentB !essa*es Print(transmit. >nter the same selection criteria as in step K and specify message type AUFB for acknowledgment expediters. !hoose Pro*ram #$ecute. Procedure in ,ystem: (he procedure depends upon ,hether you are ,or$ing ,ith or ,ithout a confirmation control $ey. !ithout confirmation control "e#: The system suggests a purchasing document for expediting if there is no confirmation number in the case of purchase orders and outline agreements", e#en if the #endor has already deli#ered part of the total +uantity. 9ith confir ation control %e&: The system suggests a purchase order for expediting if the confirmed +uantity is less than the ordered +uantity.
The system takes into account the monitoring period you ha#e defined in !ustomi<ing for Purchasin* 'on irmations %et Up 'on irmation 'ontrol 'on irmation %e"uence" if the confirmation category e.g. ./" has been flagged as rele#ant to reminder'expediting. The system suggests outline agreements for acknowledgment expediting if no acknowledgment number has been entered.

Ca&out of Purchasing Docu ents: This section describes how purchasing documents are formatted for communication purposes that is, for outputting as messages". Specifically, it explains: The basic functions of the purchasing form layout set", and The positioning of text and data in a purchasing document ;eneral Infor ation on the Purchasing For : &n the standard system, the purchasing form is called =/>.,4!3=. &t is a multi;purpose form controlling the output of ,F0s, P$s, outline agreements, deli#ery schedules, reminders'urging letters, re%ection letters, change notices, and order acknowledgment expediters. The purchasing form offers two page formats: FIRST and NEXT . The page format FIRST defines the format of the first printed page. The page format NEXT defines the format of all subse+uent pages.The purchasing print program recogni<es the page window names of the standard form only . Thus if you change the standard form, you must use the page window names. -he MAIN 9indo": The page window MAIN controls the printing of items, including +uantities, prices, deli#ery schedules, etc. &t is therefore the most complex page window of the layout set.

This section describes how to tailor the output of your purchasing documents to suit your re+uirements by changing the standard form />.,4!3. 1efore you make any changes to the standard form, you should consider the following.
or Create 8e" One: 5ou can either change the standard form or create a new form by copying the standard one.*hen you change the standard purchasing form, you must first create a correction number, because changing the standard form represents a customer modification. Thereafter, the system maintains both your changed #ersion and the SAP #ersion of the form. Change 2Fisting For

&f you create a new form, you must assign it to the appropriate message type P$, re%ection letter, etc." before the system can use it for printing. *e recommend that you always create your own form. This makes it easier to distinguish between your customi<ed form and the standard form pro#ided by SAP. The standard form contains formatting specifications for all purchasing documents to be outputted as messages. 5ou also ha#e the option of creating your own forms for indi#idual message types for example, if you wish to output outline agreements and purchase orders on different forms". &f a number of separate forms are needed, you must first create them and then assign them to the appropriate message types. 1efore changing an existing form or creating a new one, carefully consider which information is to be included on the form. .esign your layout using the page window structure of the standard form as a guide. /easure the exact position on the form in which the information is to be placed. 5ou can position information using #arious units of measurement characters and lines, centimeters, etc.". &f your form uses #aried type face si<es and proportional fonts such as Times ,oman or Eel#etica extensi#ely, you should position fonts using an absolute unit of measurement that is, one other than characters or lines". 5ou should also check that the page format of the printer corresponds with that of the form. 5ou should also identify the field names of the data you want to include on the form.
Creating For s for Purchasing Docu ents: 8. K.

N.
C.

?. S. Q.

From the system menu, choose ,ools %.Pscript Form. >nter the name of the new form to be created. !hoose Form 'reate. >nter the transport'correction details in the dialog box that appears. The form header appears. !heck the header information, such as the page format and orientation. To copy the standard form, choose Form .dopt, enter the name of the standard form (M2DR'C7), and press ENTER . The standard form is adopted as the new form. /ake any necessary changes to the form. ,efer to the example below for further tips on making changes. !hoose Form .ctivate to acti#ate the form with your changes. &f you created a new form, you must assign it to the appropriate message type. For further details, refer to the section =Assigning Forms=." &f you ha#e modified the standard form and the standard form is currently being used for purchasing documents, you need not assign the form.

*hen you ha#e adapted your forms, they must be assigned to the rele#ant message type. This is done in !ustomi<ing under !essa*es Forms or !essa*es .ssi*n Form and Output Pro*ram or APurchasin* DocumentB .

Re(orting in Purchasing:
*hich purchase orders were issued to a certain #endor during a gi#en period For how many purchase orders goods ha#e already been recei#ed *hether a #endor deli#ered ordered materials in full or only in part *hich #endors did or did not adhere to their deli#ery dates *hether goods recei#ed from #endors conform to re+uirements and in#oices submitted are correct The a#erage #alue of purchase orders issued by a gi#en purchasing organi<ation or purchasing group

The reports and analyses a#ailable in the SAP System pro#ide this o#er#iew in a fast and straightforward manner. System administrator is responsible for setting up reporting and analysis parameters. !ontact this person if you need other settings. For more comprehensi#e analyses, particularly the analysis of order #alues, you can use the %.P /usiness In ormation ?arehouse or the 2o*istics In ormation %ystem 02I%). The SAP /usiness In ormation ?arehouse facilitates the detailed analysis of the purchasing acti#ities and procurement processes taking place within your enterprise. The selection options are based on the rele#ant purchasing document. That means that the list can #ary to some extent from document to document. ,un and print out #oluminous reports and analyses only in the background. For more information on analyses and reports in the SAP System, refer to the documentation Gettin* %tarted 4ith the %.P %ystem.There you will obtain details on: Eow to find reports and analyses 2The steps you must perform to print out lists Creating and Running Re(orts and Anal&ses: !onsider which information you need, then delimit the report by entering the appropriate selection criteria so that the information pro#ided is as concise and pertinent as possible. 5ou can define the layout and content of your list #ia the scope;of;list and selection parameters.

5ou can branch from the report to the following functions: .isplay document, .isplay schedule lines, .isplay changes, /onitor P$ history To display details on a certain purchase order from within the list display, position the cursor on the P$ number and choose #nvironment Display document. The system branches to the P$ display. ,eturn to the report.To find out whether anything has been changed in a P$, choose Goto 'han*es from within the list display. The system displays a change document listing the changed data, the date of change, and the name of the user who made the change. 5ou can monitor the P$ history of an item by positioning the cursor on the item and selecting Goto PO history. All goods and in#oice receipts in#ol#ing the item are displayed. ,eturn to the report. Ad=usting Cist Anal&ses: This section describes how to change the scope and layout of a list in accordance with your re+uirements. The following two parameters determine which information is displayed or omitted: Selection parameter Scope;of;list parameter

The keys for the scope;of;list and selection parameters must be maintained in !ustomi<ing for Purchasing. 0Reportin* !aintain purchasin* lists+)
Selection Para eter: This parameter allows you to determine which purchasing documents the system analy<es. For example,

you can run analyses to create lists of $pen purchase orders >xpired scheduling agreements Scheduling agreements or purchase orders with (, +uantity less than order +uantity Purchase orders with in#oice #alue greater than the order #alue Purchase orders with late deli#eries

Sco(e*of*Cist Para eter: This parameter determines which data is displayed for a document. 5ou can decide whether you

wish to ha#e a list in short form, or whether the list should contain more information for example, lines including the open P$ +uantity and #alue, or the #alidity period of outline agreements". Furthermore, you can also display the P$ history or the documentation of pre#ious release orders as additional lines in the list.

The more comprehensi#e list contains not only the indi#idual items, but also the name of the #endor and the material description short text" for each purchase order. &n the lower part of the list, the documents for goods receipt and in#oice receipt are also displayed. &n addition, the list contains lines with the following information: !on#ersion of base unit into S34 Schedule lines Total of goods receipts Total of in#oices $pen deli#ery +uantity $pen in#oice +uantity

;eneral Anal&ses: This section describes the analyses you can create, how to run an analysis, and how to define the layout of the information in the list yourself. 5ou can run analyses of certain purchasing documents and create #arious sum totals. For example, you can determine the order #alue for a single material o#er a certain period, or which purchasing organi<ation is responsible for the largest portion of the total order #alue for all materials. :ote that purchase orders that ha#e been put =on hold= are not taken into account in general analyses because the data they contain is incomplete. Furthermore, you can compare se#eral plants, purchasing groups, or #endors with each other. To do so, proceed as follows: Select criteria for the analysis, ,un the analysis, .efine the list display. To generate an analysis, PO Reportin* General analyses. !hoose #dit Dynamic selections to enter further criteria for your analysis. A screen appears on which you can choose and enter additional criteria from header and item data. From within the basic list, you can define how the results of your analysis are shown yourself. &n the process, you can switch between three #iews: Eeader and item data Schedule lines Purchase order P$" history. !lick

'han*e vie4 to switch between the indi#idual #iews.

5ou can define the structure of your list yourself with the aid of a display #ariant, thereby stipulating which fields are to be displayed to you and which are not. !hoose 'hoose display variant 'han*e display variant to show or hide indi#idual fields, or Position the cursor on the rele#ant column heading and choose %ho4 or @ide after clicking the right mouse button. 5ou can re;use a display #ariant by sa#ing it and defining it as an initial #ariant. 5ou return to the basic list if you re;choose the display #ariant you used or change the display #ariant and cancel the totaling indicator after the totaling process.
Filtering Data: &f you wish to see only purchasing documents belonging to certain purchasing organi<ations, purchasing

groups, or plants in the basic list, you can set a filter. To use se#eral filtering criteria, click %et ilter. A window appears in which you can enter data such as the purchasing group and the plant as filtering criteria. !lick .dopt to call up a further window. Eere you can enter either an indi#idual #alue or an inter#al. !lick . As a result, only those documents that satisfy your filtering criteria are displayed. &f you wish to use %ust one filtering criterion, position the cursor on the desired field and choose %et ilter option a#ailable #ia the right mouse button".
Sorting Data:

For numeric fields, such as net #alue or +uantity, you can create totals. Select the rele#ant column in the basic list and choose ,otal. 5ou can also display the totals for se#eral columns simultaneously, so that the total net #alue and the total order +uantity are displayed at the same time in the totals line.

For other data, such as material or #endor, you can create subtotals. 1efore you can create subtotals, you must already ha#e created a total. Select the rele#ant column and click %ubtotals. 5ou can also create subtotals for se#eral columns. For example, you may wish to first see the subtotal per #endor and then, in addition, the subtotal per material. To create totals, proceed as follows: 8. Select the Net value column in the basic list and choose ,otal. K. Then select the Purchasin* *roup column and choose %ubtotals. The system then calculates the subtotals for the net order #alue per purchasing group. &f you only wish to see the lines with the total #alues, you can hide the indi#idual lines by clicking the dots in front of the totals in the totals lines. Anal&sis of Order !alues:This section describes analysis options a#ailable in the system: Totals analysis A1! analysis Analysis using comparison periods Fre+uency analysis 5ou can choose one of the four options, combine se#eral of the analyses, or use all the options in one analysis.
Running an Anal&sis of Order !alues: 5ou in#oke all four of the abo#e analyses as follows:

!hoose Purchase order Reportin* Order value analysis. >nter your selection criteria. The screen is subdi#ided into four parts. 5ou can enter the following data: The currency for the analysis The net order #alues for the fre+uenc& anal&sis Periods for the anal&sis of co (arison (eriods Selection criteria to which the analyses relate

#dit Dynamic selections if you need further criteria from header and item data for your analysis. run the analysis. -otals Anal&sis: !arry out the order #alue analysis as described in the section Runnin* an .nalysis o Order Values.5ou obtain a list of all documents that satisfy your criteria. &n this list, you can perform sorting, filtering, and totaling functions, etc.
A<C Anal&sis: The A1! Analysis is used for classifying #endors or materials by order #alue. The A1! indicator has the

following #alues: A Percentage with a high order #alue. < Percentage with a medium order #alue. C Percentage with a low order #alue. The A1! analysis allows you to determine the relati#e importance of the indi#idual #endors in your #endor base, for example. &t pro#ides you with an o#er#iew of any changes that may occur in your relationships with #endors. To run an A1! analysis, proceed as follows: 8. !arry out the order #alue analysis as described in the section Runnin* an .nalysis o Order Values. :ote that filters are not taken into account when an A1! analysis is run. &nstead, use suitable selection criteria or an appropriate display #ariant. K. Select a numeric key figure column in the list e.g. Net value". N. !hoose ./' to run the A1! analysis. A window appears, in which you can choose between the following analyses for 3ey Figures e.g. net #alue" and !haracteristics e.g. #endor, material": 3ey figure percentage" , 3ey figure absolute" , !haracteristics absolute", !haracteristics percentage". !lick . 5ou obtain a list in which all selected data records are allocated to the rele#ant segments. &f, for example, you ha#e chosen the analysis 1ey i*ure 0percenta*e), the default #alues for the A1! analyses are ?7 B N7 B K7 percent.

Anal&sis 'sing Co (arison Periods: This analysis allows you to easily detect changes in purchasing acti#ities. For example, you can determine how much was ordered from which #endor by which purchasing organi<ation or purchasing group, and by how much the total order #alue of one period differs from that of a comparison period To compare two periods, proceed as follows: PO .nalyses Order value analysis, >nter the necessary data and specify the two periods you wish to compare in the fields Period C - to and Period 8 ; to. ,un the analysis. 5ou cannot compare o#erlapping periods. Fre+uenc& Anal&sis: 4se this analysis to determine which net order #alues most fre+uently occur for which purchasing organi<ation or #endor, for example. The fre+uency analysis can be used as a basis for negotiations with #endors. For example, you may find that you ha#e issued many discrete purchase orders with a #alue greater than LK777 to #endor 6, and an indi#idual percentage +uantity discount would be more fa#orable than the existing period;end rebate based on total business #olume o#er a period. To run a fre+uency analysis, proceed as follows: PO .nalyses Order value analysis >nter the necessary data and specify in the fields Net value C to Net value 6 the limits for net #alues that are to be taken into account in the analysis. For example, enter the following inter#als in the fields Net value C to 6: B :et #alue 8 up to ?77, B :et #alue K up to 8777, B :et #alue N up to K777, B :et #alue C up to ?777 &f you specify four net #alue limits, document items with a net #alue exceeding net #alue C will be analy<ed in an additional column 0BNet value 6". ,un the analysis. ;oods Recei(t Forecast: This analysis allows you to determine the number of anticipated deli#eries e.g. for each plant on a certain date". This data, and data on #olumes and gross'net weights, enables you to schedule your (oods ,ecei#ing manpower more effecti#ely. 5ou can aggregate summari<e" the information at the following le#els: (eneral o#er#iew , Per day , Per hour ,Per document To display the expected deli#eries, PO .nalyses GR orecast. >nter the necessary data and choose Pro*ram #$ecute. &nbound deli#eries against shipping notifications are not taken into account because this would ha#e a detrimental influence on system performance.

Conditions and Price Deter ination:

This component enables to store pricing stipulations agreed with the #endor discounts or surcharges, or freight costs". 5ou can enter these conditions in +uotations, $As, and info records. 5ou also ha#e the option of entering general conditions at #endor le#el, for example. The system then applies the conditions in determining the price in purchase orders P$s". 5ou can enter further conditions in the P$ itself. There are three kinds of price in Purchasing:
;ross (rice 8et (rice 2ffecti$e (rice

: Price without taking any possible discounts and surcharges into account. : Price taking any applicable discounts and surcharges into account. : :et price after deduction of cash discount, with allowance for any miscellaneous pro#isions, deli#ery costs, and non;deductible taxes.

5ou can enter conditions for items in respect of which you do not expect to recei#e an in#oice in P$s and $As. !ustomer exit CM2JFDD@ is a#ailable for this purpose.
Conditions Re+uiring Subse+uent (2nd*of*Period) Settle ent: 5ou can also store conditions that do not take effect immediately,

but only at the end of a certain period. Settlement with regard to such conditions takes place subse+uent to the settlement of #endor in#oices relating to indi#idual purchase orders.

-i e*De(endent Conditions up to Release D+C@, 5master conditions5+): -alidity periods and scales can be specified for
these conditions. 5ou can also define a price range upper and lower limits". &f the system adopts such a condition in a purchase order and the condition is then changed manually in the P$ so that the price range is not adhered to, the system issues an error message. :o subtotals net price, effecti#e price" are created in the case of time;dependent conditions.

Conditions in Info Record and Purchasing Docu ents: !onditions in info records and contracts are always time;dependent.

5ou can determine whether time;dependent or time;independent conditions can be maintained in +uotations and SAs #ia the document type in !ustomi<ing VDocumentB De ine document types". &n the standard system, +uotations and SAs are pro#ided with time;dependent conditions. SAP recommends working with time;dependent conditions for +uotations and SAs, since these pro#ide a wider range of processing options.
;eneral Conditions: &n addition to time;dependent conditions applicable to indi#idual +uotations, outline agreements, and info

records, you can store time;dependent conditions representing more general pricing stipulations in the system. 5ou can specify general conditions at the following le#els:
!endor: The purchasing department negotiates a KF discount with a #endor, which the latter agrees to grant on all

purchase orders placed with that company during the next half;year.
!endor sub*range: The conditions apply to all materials from a #endor9s sub;range. This sa#es you considerable time

and effort with regard to data entry, since you need not maintain conditions for indi#idual materials.
Condition grou(: The conditions apply to all materials offered by a #endor that belong to the same condition group

according to assignment in the rele#ant info records". This reduces your data;entry effort.
Material grou(, aterial t&(e, Incoter s, in$oicing (art&

-i e*Inde(endent Conditions0up to Release D+C@ 5document conditions5)+: :o #alidity periods and scales can be
defined for these conditions. The conditions in P$s are always time;independent. Subtotals net price, effecti#e price" are created in the case of time;independent conditions. Conditions for se$eral P# Orgns: As a rule, conditions are negotiated and maintained indi#idually by each P.$rgn. Eowe#er, we can make a#ailable the conditions negotiated by one P.$rgn to other organi<ations. The goal is for ad#antageous terms negotiated by the reference P.$rgn and stored in the system in the form of conditions and contracts to be made generally a#ailable to other predefined P.$rgn. Prere+uisites: 5ou can make the following settings in !ustomi<ing for the enterprise structure: The general conditions of a reference P.$rgn can also be used for price determination purposes by other P.$rgns. Se#eral purchasing organi<ations can access the contracts of a certain reference purchasing organi<ation.

Condition -echni+ue: The condition techni+ue is used to determine the purchase price by systematic consideration of
all the rele#ant pricing elements. A feature of the techni+ue is the formulation of rules and re+uirements. 1y applying conditions defined by means of the condition techni+ue, the system arri#es at a suggested price for purchase transactions. The most important elements in price determination are the following: !ondition type, !ondition table, Access se+uence, !alculation schema.
Condition -&(e: !ondition types represent price factors in the system. There are condition types for absolute and percentage

discounts, freight costs, customs duties, or taxes, for example. -ia the condition type, you specify how the price factor is calculated e.g. percentage or absolute amount". ;rou( Condition: 5ou can define a condition type as a group condition. &f the same condition occurs in different document items, the item #alues are added up and the result used as the basis for determining the scale le#el. &f the condition type is entered at header le#el, the #alue is apportioned among the items. Su((le entar& Condition: Supplementary conditions are time;dependent conditions that are usually maintained for a certain condition type main condition". Supplementary conditions are stored with their associated main condition in one data record in a condition table @condition record". :o access se+uence is assigned to condition types for supplementary conditions because no separate condition record has to be found for them. All supplementary conditions that the system is to suggest for a certain condition type must be grouped together in a separate calculation schema. This calculation schema must be stored for this condition type main condition". .iscounts'surcharges and freight costs are fre+uently maintained in relation to the gross price P177". They are therefore entered as supplementary conditions belonging to the gross price. The supplementary conditions are grouped together in calculation schema ,/777K. This schema is assigned to condition type P177.

Condition Categor&: 5ou can assign a condition category to a condition type. The condition category has #arious control

functions. For example, condition category 4 causes a new price determination process to be carried out at the time of (,, and condition category > causes the discount to be deri#ed from the terms of payment. The following condition categories are rele#ant to Purchasing:

Cat# Descri(tion / 1ase price

Assigned to CP177

Further infor ation A condition type with the condition category E must always exist in the calculation schema. >xception: Stock transfers. &f an access se+uence is assigned to the condition type, you must assign a supplementary calculation schema to the condition type. $therwise, the system is not able to calculate a net or effecti#e price. &f you manually enter a price in the purchasing document, it is inserted into the condition type.

<

.eli#ery costs

F,A8

&f you use this condition category, you can enter separate in#oices for material costs and deli#ery costs e.g. freight charges". 5ou must flag the condition type as =pro#ision;rele#ant=. 5ou must assign a transaction'e#ent key in the schema for account determination purposes".

:on;deductible input tax

:A-S

.epending on the tax code in the P$ item and the tax calculation schema, the system calculates the non;deductible tax portion and inserts it in the condition type with the category :. The condition type has the calculation rule =absolute amount=. :ormally, the access se+uence that regulates tax code determination is assigned to the condition type.

d 2

-endor9s confirmed >.&8, >.&K price !ash discount S3T$

&f the #endor confirms a price #ia >.&, the system inserts the price in the condition type with category d. The system deri#es a percentage from the terms of payment and inserts it in the condition type with the category >. The condition type is included in the calculation on a statistical basis only. See .aily ,uling Prices for Precious /etals The system inserts the mo#ing a#erage price'#aluation price of the material in the condition type with category (. This makes sense if no purchase price exists e.g. in the case of stock transfers". The system inserts the currently #alid sales price excluding tax" for the ordering store in the condition type with category M. &f sales price #aluation is acti#e in the #aluation area of the store, the condition type should exist in the calculation schema used for determining the purchase price. The system inserts the currently #alid sales price including tax" for the ordering store in the condition type with category *. &f sales price #aluation is acti#e in the #aluation area of the store, the condition type should exist in the calculation schema used for determining the purchase price.

' ;

Precious metal (A48, (A4K discount'surcharge /o#ing a#erage price Sales price excl. taxes only for ,etail" Sales price incl. taxes only for ,etail" P878

/-3K prior to ,elease C.?A, /-38"

/-37

Condition -&(es in the Standard S&ste : The condition types supplied include the following:

Condition t&(e P177 ,177 T177 F,18 T$A8 S3T$ :A-S

Condition class Price .iscount'surcharge .iscount'surcharge .iscount'surcharge .iscount'surcharge .iscount'surcharge Taxes

Descri(tion (ross price: Price without taking any possible discounts and surcharges into account Absolute discount Absolute surcharge Absolute freight amount Percentage duty amount !ash discount :on;deductible input tax

The purchasing department has agreed with #endor /iller !o. that the latter will grant a discount of L87 on the normal price of LK?7 for each office chair purchased. An info record with the following conditions is created for this purpose: P177: K?7, ,177: 87 supplementary condition". The system writes this information to a condition record and stores the latter in a condition table.
Condition -able: A condition table consists of one or more condition keys and a data part. The data part contains a number

that references a record in another table. The latter table contains the condition records. &n the standard system, table 78Q is a#ailable for the condition record created by Purchasing. This has the condition keys Vendor, !aterial, P+Or*n and Purchasin* in o record cate*ory. 5ou can also create your own condition tables. Access Se+uence: An access se+uence is a search strategy by means of which the system searches for #alid records in #arious condition tables. &t consists of one or more accesses. The se+uence of accesses controls the priority of the indi#idual condition records among each other. Through the accesses, the system is told where to look first and where to look next for a #alid condition record in each case. !ondition type P177 has the access se+uence 777K. The following accesses are defined within this access se+uence among others": a" Accessing of condition table 7SR .oes a plant;specific agreement item existP" b" Accessing of condition table 78S .oes a contract item existP" c" Accessing of condition table 78Q .oes a purchasing info record existP" *ith this access, the condition record created in the example for the condition type is found and the search ended. There are some condition types for which no condition tables are created for example, header discounts, which are only entered manually, or supplementary conditions". :o access se+uence need be specified for these condition types. Calculation Sche a: A calculation schema groups together all condition types that play a part in calculating the price. &t sets out the order in which the condition types are taken into account in the calculation. &n addition, the calculation schema specifies the following: *hich subtotals are arri#ed at To what extent the price determination process can be carried out manually The basis upon which the system calculates percentage discounts and surcharges *hich re+uirements must be satisfied in order for a certain condition type to be taken into account

5ou can define a #ariety of calculation schemas for indi#idual purchasing organi<ations and'or #endors, for example".&n the standard system, calculation schema ,/7777 is defined for determining the purchase price in purchasing documents.

Price Deter ination: *hen you create a P$ or SA with time;independent conditions, the system searches for #alid
conditions and inserts them into the new document this is the process of price determination". &n the case of P$s, the system searches for conditions in info records and contracts for contract release orders", and for general conditions. &n the case of scheduling agreements with time;independent conditions, the system searches for conditions in info records and for general conditions.

&f no conditions are found, but the last P$ is noted in the info record, the system can adopt the conditions from this P$. 5ou can specify how the system treats the conditions from the last P$ in !ustomi<ing for Purchasing default #alues for buyers". The system can proceed in similar fashion in the e#ent that a SA with time;independent conditions is noted in the info record. Price determination in#ol#es the process of determining already existing conditions only. Thus, if the buyer enters further conditions in the purchase order ; o#er and abo#e those inserted by the system ; and a new effecti#e price results, the latter is not calculated #ia the price determination process. &f the conditions were adopted from the last document and the buyer performs the Ne4 price determination function, these conditions will not be inserted again. Date of Price Deter ination: &n the automatic price determination process, the price can be calculated as at the document date of the P$, or as at another date such as the current day9s date, the deli#ery date, or the goods receipt date". 5ou can specify the date to which the price that is determined relates at the following points: &n the #endor master record, in the Pricin* date control field, if you wish to use the same price determination date for all a #endor9s materials. &n the purchasing info record, in the Pricin* date cate*ory field, if you wish to use a different pricing date for a certain material supplied by a particular #endor. The #alue in the purchasing info record takes precedence o#er the #alue in the #endor master record. &n the purchase order, in the Pricin* date cate*ory field found #ia Item !ore unctions .dditional data". The #alue from the info or #endor master record is preset when a P$ is created. Eowe#er, this is only used if you change it in the P$ and carry out a new price determination process. The pricing date category in the P$ takes precedence. Deter ination of Purchase Price (2Fa (le): Purchasing creates a P$ for 877 swi#el chairs at LK?7 each, to be supplied by #endor /iller !o. :o outline purchase agreement exists with this #endor. The agreed condition discount of L87 granted on each chair purchased" is stored in an info record. :o general price stipulations apply. The system carries out the following price determination process: 8. Assignment of price calculation schema: ,/7777 K. Search for condition records belonging to the condition types listed in the calculation schema: The system searches only for condition records belonging to condition types that are marked in the schema as non-manual. !ondition type P177 a. .etermination of access se+uence 777K b. Accesses within access se+uence 777K Accessing of condition table 7SR plant;specific agreement item" is not carried out Accessing of 78S contract item" is not carried out. Table 78Q info record" is accessed and the condition record is found. !ondition records belonging to the other condition types are then sought. &n the example, no further condition records are found because condition type ,177 discount" is a supplementary condition belonging to condition type P177 and thus has no access se+uence of its own. The system then suggests a price of LKC7 per chair in the purchase order. The buyer can then enter further conditions co#ering deli#ery costs, for example".

So e Selected Conditions: Taxes, Planned .eli#ery !osts, Foreign !urrency, .ifferent !urrency, Price -ariance, *eight; or -olume;.ependent !onditions, !onditions that are .ependent on the $rder 4nit, .aily ,uling Prices for Precious

/etals, >stimated Price. &n addition, the discount in %ind discounts in the form of bonus goods" and order +uantit& o(ti i?ing functions are a#ailable from the ,etail en#ironment. -aFes: The rele#ant tax rate is taken into consideration in the P$ automatically. The tax rate is deri#ed from the key in the ,a$es field in the rele#ant P$ item. The tax code is suggested at the time of &-. 5ou can thus check the #endor9s net price when the in#oice is recei#ed. :on;deductible tax portions are displayed in the conditions and taken into account in material #aluation. .uring the price determination process, it is possible to ha#e the system find the rele#ant tax code #ia the conditions. This is useful, for example, if different tax rates apply, depending on whether a material is taken into stock or consumed directly. 5ou can determine how the tax amount was calculated in the item conditions from within a P$, a +uotation, or an outline agreement. To display the calculation of the tax amount, proceed as follows for items ha#ing a #alid tax key.": Select an item on the item o#er#iew screen. !hoose Item !ore unctions ,a$es. The system lists all amounts and condition types included in the calculation of the tax amount. The condition types and their amounts are determined from the tax calculation schema defined for the country in !ustomi<ing. The base amount, from which the indi#idual tax amounts are deducted, represents the net #alue of the item. Planned Deli$er& Costs: Planned deli#ery costs are deli#ery costs incidental procurement costs" agreed with or stipulated by the #endor, a forwarder or carrier, or a customs office before the P$ is placed, which are entered in the P$ when the latter is created. Planned deli#ery costs can be subdi#ided according to the following criteria: Source of the costs o Freight charges o .uty !alculation of costs o Fixed amount, independent of +uantity o 0uantity;dependent amount o Percentage of #alue of goods deli#ered Planned freight and duty costs are linked to a #endor. &f they are not to be in#oiced by the #endor who recei#es the P$, a different #endor must be entered at the time the deli#ery costs are planned in the P$. This so;called =freight #endor= may be a forwarder'carrier or a customs office, for example." At the time of (r, the #endor can be changed. &n contrast, at the time of &-, only the =freight #endor= can in#oice you in respect of the deli#ery costs. Planned deli#ery costs are entered in the P$ for each order item. Such costs can only be posted in an in#oice if there has been a (, for the rele#ant order item, that is to say, the deli#ery costs ha#e actually been incurred." 5ou can store planned deli#ery costs in the purchase order on the Item conditions screen. To enter a different #endor i.e. a =freight #endor= or a customs office", select the desired condition on the condition screen and choose Goto Details+ $#erwrite the content of the Vendor 0creditor) field. Foreign Currenc&: &f the P$ is issued in a foreign currency, the system calculates the net #alue of the order based on the ruling exchange rate defined in your system. The rate can be changed when the in#oice is entered if it differs from the rate specified when the P$ was created. Eowe#er, if the rate in the P$ is to be the basis for the in#oice amount, you can specify a fixed exchange rate in the P$. This way, the in#oice amount has to be based on the exchange rate specified in the P$. To specify a fixed exchange rate for a foreign currency, branch to the P$ header data, enter the exchange rate, and select the Fi$ rate field. Different Currenc&: &f you wish to create a P$ in a currency that differs from the default currency taken from the #endor master record, you must change the currency before creating the P$ items. To maintain a different currency in the purchase order, branch to the P$ header data before entering the rele#ant item and change the content of the 'urrency field. Price !ariance: A price #ariance occurs when the net price of the P$ item differs from the standard or mo#ing a#erage price defined in the material master record. &f the price you enter does not e+ual the price in the master record for the material, the system issues a warning message.

9eight* or !olu e*De(endent Conditions: 5ou ha#e the option of maintaining weight; or #olume;dependent conditions. The condition types for weights and #olumes are then taken into account during the purchase price determination process. Conditions De(endent on the Order 'nit: 5ou can enter separate conditions for indi#idual order units. .uring the source determination process, the system offers you the order units for which prices ha#e been maintained. &f no order;unit; dependent conditions ha#e been maintained, you can order in the units that ha#e been maintained in the info record or the material master record. &n order to work with conditions for each order unit, you must set the Variable OUn indicator on the general data screen in the info record. Dail& Ruling Prices for Precious Metals: There is a separate condition category for pricing components that #ary according to daily fluctuations in ruling rates. &t causes the price for the material to be redetermined according to the day9s ruling price at the time a purchase order is created or a goods receipt posted. &n the case of the P$, the date chosen by you is taken. &n the case of a (,, the key date is the posting date. 5ou must make the following settings for each precious metal in !ustomi<ing: .efine a non;dimensional unit of measurement Global settin*s 'hec& units o measurement" Set up two new condition types Purchasin* 'onditions De ine price determination process De ine condition types" /ake new entries in the calculation schemas Purchasin* 'ondition De ine price determination process De ine calculation schema" The settings for one precious metal are supplied in the standard system. &f further precious metals are to be taken into account in the price determination process, they must be set up beforehand in !ustomi<ing. 5ou can use the settings supplied in the standard system as a reference for copying purposes.
8on*Di ensional 'nit of Measure ent: 5ou must create a unit of measurement that links the precious metal with the unit of

measurement. >.g. (A4 for =gram of gold=". =(= stands for =gram= and =A4= is the symbol for the chemical element =gold=." The proportion of the precious metal is specified for this unit of measurement in the material master record e.g. 8 piece of wire @ N (A4".
-"o 8e" Condition -&(es

8. For the precious metal price portion (A48" included in the material price. K. For the current ruling price of the precious metal (A4K". 1oth condition types ha#e condition class A, condition category 4, and calculation rule ! +uantity;dependent", and the same unit of measurement e.g. (A4" must be assigned to each. An access se+uence must be assigned to the condition type for the current daily ruling price (A4K". &n the standard system, access se+uence 7778 is defined for this purpose. 8e" 2ntries in Calculation Sche as
Docu ent Sche a: The

two new condition types must be included in the document schema. .ocument schema ,/7777 is a#ailable in the standard system. The two condition types must be entered in the document schema in the abo#e se+uence. .ifferent but directly consecuti#e steps must be assigned for both. The %tatistical indicator may not be set for either. The first condition type must be flagged as =manual= and ha#e the calculation formula =N8=. The second condition type may not be flagged as =manual=. &t must ha#e the calculation formula =NK= and the re+uirement =N8=.
Su((le entar& Calculation Sche a for Price:

.ocument schema ,/777K is a#ailable in the standard system.

Eere you must enter the first condition type (A48". The %tatistical indicator must be set. 2sti ated Price(2P): &nstead of a net order price, you can enter an estimated price and flag it as such. At the time of &-, higher tolerances will then apply in the e#ent of price #ariances than in the case of purchase orders issued with an exact price.

The tolerances must be defined accordingly in !ustomi<ing for &n#oice -erification. Invoice bloc& %et tolerance limits+" To maintain an >P, in P$ enter the amount in the Net price field on the item detail screen and select the #stimated price field+

Maintaining Conditions: 5ou ha#e the following options:

5ou maintain time;dependent conditions for info records, ,F0s, SAs, and contracts directly in the info record or P.. 5ou can also enter document conditions for contracts and info records #ia the master data menu. SAP recommends maintaining such conditions #ia the rele#ant document. Time;dependent general conditions are always maintained #ia the master data menu. Time;independent conditions are always maintained directly within the rele#ant document. &n addition, you can do the following #ia the master data menu o .efine the market price for a material. The -endor >#aluation component uses this figure to compute a #endor9s price le#el. o /aintain condition records for condition types you ha#e created yourself o !hange the prices in info records, contracts, or scheduling agreements on a collecti#e basis Eow conditions are maintained depends on whether they are time;dependent or time;independent. The following table shows which conditions can be maintained for which documents. -i e*de(endent conditions &nfo record 0uotation !ontract Purchase order 5es .epends on document type 5es :o -i e*inde(endent conditions :o .epends on document type .epends on document type :o 5es

Scheduling agreement .epends on document type

5ou can specify both time;dependent and time;independent conditions at header and item le#el. The conditions in the info record are an exception: these are stored at info record le#el. &n the case of time;dependent conditions, you can additionally enter: Supplementary conditions, -alidity periods, Scales, 4pper and lower limits Maintaining -i e*Inde(endent Conditions: !reate the desired document P$, +uotation, SA" or choose one you wish to change. !hoose one of the following menu paths: a+ @eader 'onditions b. after selecting an item" Item 'onditions &n the condition screen if conditions can be adopted from an already existing document, or general conditions are #alid, these are inserted. >nter the desired condition types with their amounts. Sa#e your data. Maintaining -i e*De(endent Conditions: !reate the desired document info record, +uotation, contract, scheduling agreement" or choose one you wish to change. !hoose one of the following menu paths: a+ @eader 'onditions b. After selecting an item" Item 'onditions c. #$tras 'onditions from the Purchasin* Or*ani3ation Data C #iew in the info record" &f se#eral main conditions exist, you will see a dialog box allowing you to choose the desired condition. &f se#eral #alidity periods ha#e been defined, you will see a dialog box containing the existing ones. !hoose an existing period or create a new one. The condition screen appears. The main condition has been inserted. 8. >nter the #alidity period and the amount of the main condition. K. .isplay the su((le entar& conditions belonging to the main condition:

!hoose the De ault condition supplement button from the button bar at the end of the screen and enter the rele#ant amounts. 5ou can delete conditions for which you do not wish to enter any amounts. To do so, choose the Restore supplementary conditions button and click Ees to confirm in the dialog box which then appears. &f desired, you can create scales for conditions: Select the condition. !hoose Goto %cales. Specify which amount applies as of which +uantity or #alue. :ote that the first +uantity or #alue" should normally be 7. 0uantity Amount 7 87 877 X K77 R

&f the +uantity 7 were not specified, the system would not determine a price for +uantities below 877. &f desired, specify a price range on the detail screen for a condition. !hoose Goto Details and enter the necessary data in the 2o4er and Upper limit fields. &f the condition in the purchase order is changed manually and the price range is not adhered to, the system issues an error message. Sa#e your data. Setting the Mar%et Price: 8. !aster data 'onditions Prices !ar&et price. >nter the material for which you wish to maintain a market price. K. !hoose Pro*ram #$ecute. &f a price has already been maintained, it is displayed. N. To enter a new price or change an existing one, position the cursor on the material and choose 'ondition 'reate or 'han*e. C. >nter the amount and specify a #alidity period if applicable". The remaining functions on this screen ha#e no significance with regard to the market price. Sa#e your data. Cisting and Processing Conditions (;eneral O$er$ie"): There are #arious ways of processing conditions. 5ou can call up a screen with a general o#er#iew of all selection criteria. 5ou can call up screens with restricted selection criteria and thus select by contract or material group only, for ex.". !hoose !aster data 'onditions Prices or Discounts(surchar*es General overvie4. K. >nter your selection criteria. 5ou enter a contract and an item number or a #endor and a material group. N. Pro*ram #$ecute. Process the conditions See !reating !onditions on the Price $#er#iew Screen and !hanging !onditions on the Price $#er#iew Screen.
8.

Cisting Conditions for an Info Record: 8. !hoose !aster data 'onditions Prices /y in o record. K. >nter: B The #endor and material or material group, or B The info record, B The plants N. !hoose Pro*ram #$ecute. Process the conditions Cisting Conditions for a Contract: 8. !hoose !aster data 'onditions Prices /y contract. K. >nter: B The contract only to list the header conditions" B The contract and the item number to list both header and item conditions" N. !hoose Pro*ram #$ecute. Process the conditions 5ou can also list further contracts to be processed. 5ou can then transfer contracts from this list to your original list and process them there. To do so, choose #dit !ore contracts For material. After #$ecute, you see the other contracts for this material. Select the desired contracts and adopt them in your original list. Cisting ;eneral Conditions: 8. !hoose !aster data 'onditions Prices /y material *roup or Discounts(surchar*es and then the desired le#el e.g. /y vendor sub-ran*e". K. >nter your selection criteria. N. !hoose Pro*ram #$ecute. Process the conditions

Maintaining Custo ersG O"n Conditions: &f you need your own key combinations for conditions and ha#e therefore created your own condition tables, you can create condition records in these. An access se+uence must be assigned to the condition. &f you use this function to enter conditions for condition types that are not defined in the standard system, please ensure that the link to the condition type is established in your calculation schema. This also applies if you ha#e changed the calculation schemas in the standard system.
Dail& Ruling Prices for Metals: 5ou also maintain ruling metal prices at this point. *hen you maintain the gross price in the

purchasing info record, you must maintain a condition for the precious metal price on which this gross price is based. !ondition type (A48 is a#ailable in the standard system. /aintain a gold price of LK7 per gram for this condition type, for ex. 8. !hoose !aster data 'onditions Other 'reate. >nter the condition type. K. !hoose one of the following menu paths: B )ist all condition records for the condition type according to your selection criteria !hoose #nvironment 'ondition in o and enter the selection criteria. After #$ecute, you will see all the condition tables that contain records for the rele#ant condition type. 5ou can also make changes at this point. B !reate condition records in a certain condition table !hoose #dit 1ey combination, select the key for the desired condition table, and press #N,#R. !reate the conditions. Sa#e your input. Changing Prices Collecti$el&: 5ou can change a #endor9s prices in info records, contracts, or SAs only those with time; dependent conditions" in two ways: ;ross (rice: The price change is applied directly to the gross price. Condition t&(e: The price change relates to one particular condition type only. &f the price change solely affects the freight costs, you can restrict the change to the condition type for freight costs. &f price scales exist and the period in which the changes are to be effecti#e o#erlaps the #alidity periods of the scale le#els, only the price in the first scale le#el is changed and this #alue is adopted in the remaining le#els. The info record for the material Steel 8 and #endor /iller !orp. contains the following price scale: 8K.78.8XXQ to 8K.N8.8XXQ: L877, 78.78.8XXR to N8.8K.8XXR: L8K7

5ou increase the prices of the conditions in the period 8K.78.8XXQ to 8K.N8.8XXR by 87F. The price scale is then as follows:
8.

8K.78.8XXQ to 8K.N8.8XXQ: L887,

78.78.8XXR to N8.8K.8XXR: L887

!hoose !aster data 'onditions Vendor price chan*e ADocumentB+ The initial screen appears. K. >nter the purchasing organi<ation, #endor, and your remaining selection criteria. N. Specify whether the price change relates to the gross price or a condition type. ;ross (rice: >nter either an absolute #alue or a percentage. Condition t&(e: !ancel the selection of the Gross price field and enter the condition type and an absolute #alue or F. C. -ia the %i*n 0=(-) field, specify whether the #alue to be changed is positi#e or negati#e, or whether the pre#ious condition but not the A'; sign" is to be replaced by the new one. ?. &f the change is not to apply to the price le#els of a scale, cancel the selection of the %cale lines field. Price changes in scales are only possible if they are expressed as percentages. S. .efine the #alidity of the price change in one of the following two ways: B >nter the #alidity period in the 'onditions valid rom(to fields if the price change applies to a certain time period.SAP recommends this procedure.

Please note that the existing #alidity periods are changed in accordance with the newly entered time period. &f, for example, the conditions of an info record apply to the current year, but the price change applies to the months /ay and Mune only, the system di#ides the pre#ious time period into three sub;periods: Manuary ; April, /ay B Mune, and Muly ; .ecember. B >nter the date as of which the change is to take effect in the 'onditions valid on field. The change is then effecti#e for all conditions that are #alid on this key date. Q. &n the standard system, price changes are initially only simulated. To implement the changes, you must cancel the selection of the ,est run field. R. !hoose Pro*ram #$ecute. The old and new prices are displayed with the #alidity period. X. Sa#e the changes. *hen you apply price changes to scheduling agreements, contracts, or info records of your #endors, you can display the changes made in the rele#ant documents. &n outline agreements: Item 'ondition #nvironment 'han*es Per condition record+ &n info records: #$tras 'onditions #nvironment 'han*es Per condition record+ Changing -i e*De(# Conditions Collecti$el& (Condition IndeF): 5ou can change time;dependent conditions and their #alidity periods, administrati#e data etc. in info records, contracts, or #endor SAs on a collecti#e basis. &f you use condition indexes, you can define criteria e.g. #endor'purchasing organi<ation" by which conditions are to be selected yourself. The conditions to be processed are selected #ia condition tables, which are created in !ustomi<ing. For more information, refer to !ustomi<ing for Purchasing under 'onditions %et up 'ondition Inde$. 8. !hoose Purchasin* !aster data 'onditions Prices 'ondition inde$. K. >nter the desired condition type e.g. gross price PB00) and choose #dit %election via inde$. Another window appears, in which you can choose the desired condition index from a list of all those currently a#ailable in the system, e.g. Vendor(purch+ or*+ N. >nter your selection criteria e.g. purchasing organi<ation 0001) and then execute+ C. !hange the conditions e.g. the gross price" and sa#e your input. &n order that your changes are adopted in the rele#ant documents, you must now change the prices in the background. &n the case of price changes carried out in the background, select the Do not chec& validity indicator, so that the prices are updated in all selected documents. &f you do not set the indicator, the price will not be updated in all selected documents, but only in those in which a new #alidity period has been reached. Changing the Currenc&: 5ou can !on#ert the default order currency in the #endor master record to =&:,=. The minimum order +uantity is ad%usted accordingly. To do this, choose #nvironment 'urrency conversion Vendor. !on#ert the currency in time;dependent conditions in info records, contracts, and scheduling agreements and in customers9 own conditions to =&:,= as of a certain key date. To do this, choose #nvironment 'urrency conversion 'onditions. Maintaining !ariant Conditions in the Info Record: The material for which the info record is to be created or changed is configurable. 8. !hoose !aster data In o record 'reate or 'han*e. >nter the #endor, configurable material, P.$rgn and plant. Press ENTER. /ake the necessary specifications. !hoose #$tras Variant conditions. >nter a #ariant key. Select the #ariant key and press ENTER . A box containing the condition types defined for the #ariant key appears. C. !hoose the desired condition type and specify the period during which the discounts and surcharges are to apply. ?. >nter the amount and sa#e.
K. N.

The next time the material is needed in a sales order i.e. the configurable material is either reconfigured in such a way that a characteristic #alue is reached or it is already so configured", a re+uisition is generated for it and con#erted into a purchase order, the system applies the #ariant conditions when determining the purchase order price.

'(dating Prices in the <ac%ground: 5ou ha#e created a %ob #ariant in which you ha#e defined contracts, SAs, or info records that are to be processed. Scheduling agreements must ha#e time;dependent conditions. &t is not absolutely necessary to use this function, since the system updates prices automatically as of ,elease C.7. !hoose Outline a*reement or /aster data 'ontract or %. or In o record Follo4-on unctions %et prices in bac&*round. .efine the criteria for the %ob and sa#e. The system carries out a new price determination process for the documents specified in the %ob #ariant that is to say, the currently #alid conditions are applied in order to determine the current price". &f you did not carry out a test run and the price that is determined #aries from the price in the contract, scheduling agreement, or info record, the pre#iously existing price is replaced by the new, up;to;date price. Auto atic Docu ent Ad=ust ent "hen Conditions Change: &f conditions change after a P$ has been created and if the new conditions are to apply, the system can change the conditions automatically in all the documents concerned. This a#oids in#oice differences occurring, for example, or the wrong mo#ing a#erage price being updated.The #endor changes the order price before the in#oice is paid. .ocuments can only be changed automatically by the system as long as no follow;on documents ha#e been generated. $rder data, for example, can be changed as long as no in#oices ha#e been recei#ed or labels printed. &f a goods receipt has been posted, the mo#ement data is corrected during &n#oice -erification. This is also the case for conditions re+uiring subse+uent settlement. The system does not take any conditions into account, and no prices are determined. The system looks for the documents in which the changed conditions are to apply and ad%usts them accordingly. .ocuments are changed automatically in the same way as if you had changed the documents manually. &n the case of a purchase order, the document is completely re#aluated. This also occurs e#en if only one condition has changed, since the condition could be a header or group condition. *hen you sa#e a document, the system updates all the data that would normally ha#e been updated if you had changed the document manually. Since the system is aware of the exact conditions in#ol#ed, it does not carry out a complete new price calculation but uses a pricing #ariant to determine the changed condition records. For this to take place, howe#er, both the old and the new pricing data must be a#ailable in the system. 5ou trigger ad%ustment of the document from the Purchasing menu by choosing Purchase order Follo4-on unctions .utomatic document adFustment or if you are working in a ,etail system Purchasin* Purchase order and then Purchase order .utomatic document adFustment+

Release Procedure: To set up appro#al procedures for P,s or other purchasing documents. &t is sensible to define separate release procedures for different groups of materials for which different departments are responsible, and to define separate procedures for in#estment goods and consumption goods.
>ach person in#ol#ed in the release procedure effects release #ia a release transaction, using his release code. $nce effected, a release can also be cancelled with the same code. &f linkage to SAP 1usiness *orkflow has been defined for a release code, re%ection is also possible. This is only possible for purchase re+uisitions. ,elease procedures can be defined for the following documents: P,, P$, contract, SA, ,F0, and ser#ice entry sheet. Release Procedure for PRs: Two different procedures are a#ailable for re+uisitions: *ith classification: P,s can be released both at ite le$el i.e. item;by;item" and in total. *ithout classification: re+uisitions can only be released at ite le$el.

Release Procedure for 2Fternal Purchasing Docu ents: >xternal purchasing documents are released at header le$el# &tem;by;item release is not possible. These documents can only be released using the release procedure with classification.

Release Conditions: The release conditions determine the release strategy in accordance with which a purchasing document is to be released. &f a purchasing document does not meet the conditions for a release strategy, it is automatically released for further processing. Procedure 9ithout Classification (Re+uisition Ite s Onl&): The conditions can be based on one of the following item characteristics or a combination of these: Account assignment category, /aterial group, Plant, Total #alue. Procedure "ith Classification (Re+uisitions and 2Fternal Purchasing Docu ents): The conditions are formulated #ia characteristic #alues and are stored in the Purchasing !ustomi<ing facility under the release strategy". A precondition for this is that the characteristics are first created and then assigned to classes. To enable a release strategy to be assigned to it, a re+uisition or an external purchasing document must ha#e one of the possible #alues for each characteristic. Release Strateg&: The release strategy defines the appro#al process for purchase re+uisitions or external purchasing documents. The strategy specifies the release codes necessary and the se+uence in which releases ha#e to be effected. 5ou can define a maximum of eight release codes. The assignment of the release strategy to a re+uisition or a purchasing document is based on the release conditions. Release Code: The release code is a two;character &. allowing a person to release clear, or appro#e" a re+uisition or an external purchasing document. *ho may work with which release codes is basically controlled #ia a system of authori<ations authori<ation ob%ect /G>&:3GF,(". &n addition, the assignment of release code to indi#idual processor processing staff member" is defined according to organi<ational re+uirements. &n the case of the release procedure with classification for purchase re+uisitions, the assignment of release code to processor can also be made #ia !ustomi<ing for Purchasing. The release codes are assigned to an $rgani<ation /anagement ob%ect in each case . The system then determines the responsible processor in each concrete case. Release Prere+uisites: The release prere+uisites indicate the se+uence in which a purchase re+uisition or an external purchasing document must be appro#ed #ia the release codes. Release Indicator: *hen a re+uisition or an external purchasing document has been processed #ia a release code, a release indicator is assigned to it. *hen the system sets which release indicator is defined in the !ustomi<ing facility for Purchasing in the release strategy #ia the release statuses". 9hat does the release indicator deter ine0 Re+uisitions### 2Fternal (urchasing docu ents####

*hether the item may be changed by Purchasing or /aterials *hether the document may be changed by Purchasing after Planning and !ontrol after the start of the release procedure the start of the release procedure *hether a new strategy is determined and whether existing releases must be cancelled in the e#ent of changes *hether a new strategy is determined and whether existing releases must be cancelled in the e#ent of changes

*hether an ,F0 or a P$ may be created with reference to the *hether the purchasing document is released for transmission item

Alternati$e Release: *ithin the release se+uence, you can define alternati#es. This means that se#eral employees can effect release at a certain point in the se+uence. &f %ust one of these employees has effected release, the next release status is reached. The other employees thus need take no action. The box with the information on the release strategy also offers you the possible alternati#es for selection. An alternati#e release cannot be a prere+uisite for the next release code. Release Procedure "5o Classification (Pur# Re+s#): This procedure ser#es as a correction and appro#al procedure for purchase re+uisitions only. &ts purpose is to check the correctness of the material data, +uantities, deli#ery dates, source of supply, and account assignment shown in the re+uisition. ,e+uisitions are released on an item;by;item basis. The release points shown in the following table are defined for release strategy S8, which is assigned to re+uisition items with a total #alue exceeding L87,777.

,elease prere+uisites in the case of release strategy S8: Strateg& S8 Release code 8 B Pro%ect /anager K B .epartment /anager N B !ost !enter /anager C B !ontroller ? B !hief >xecuti#e The following additional release prere+uisites apply: ,elease must ha#e been effected by release points 8 to C before release is effected by the !>$. ,elease can be effected by release point C at any time as long as it is before release point ?. After release by release points 8 to N, Purchasing may issue ,F0s relating to the re+uisition to potential suppliers.
Prere+uisites: The Release Procedure ?ithout 'lassi ication must ha#e been set up in !ustomi<ing for Purchasing.

Release (rere+uisites :one. :one. 78, 7K :one. 8, K, N, C

Release "# Classification (PRe+s#52Ft# Pur# Docs#):

Prere+uisites: The

release procedure with classification must ha#e been set up in !ustomi<ing for Purchasing. &n addition, a class with characteristics must ha#e been created for each document re+uisition, purchase order, etc.". &f you wish to set up both the o#erall release procedure and the item;wise procedure for re+uisitions, you must create one class for each procedure. This procedure offers a wide range of possible combinations of release criteria. Should you ne#ertheless ha#e other re+uirements, use the enhancement pro#ided by SAP. O(eration of Release Procedure "# Classification: The characteristic #alues from a re+uisition or external purchasing document are passed on to the classification system. The system checks whether the #alues correspond with release conditions. &f so, it assigns a release strategy. The persons responsible for the release codes process the document in the se+uence defined in the release strategy. The following graphic illustrates the process, taking a re+uisition item that is sub%ect to the release strategy SC as an example: Changes After the Start of the Release Procedure: The following cases can arise when a purchase re+uisition or external purchasing document for which the release procedure has already started is changed: Case @: &nsignificant change that does not necessitate a different release strategy. Case A: ,ele#ant change that does not necessitate a different release strategy. Case B: ,ele#ant change that necessitates a different release strategy

&n each case, the system issues a message to the user after the change has been made. Case @: &nstead of 87 tons of Steel 8 at a total price of L877, only R tons are needed, at a total price of LR7. This subse+uent change to the document is possible. The release procedure continues uninterrupted. Case A: A user has the authori<ation for purchase orders #alued between L8,777 and L8K7,777. ,elease strategy FS is assigned in this case.

The user has ordered 87 cameras at a price of L8777 each. The release procedure has already started and the release indicator 78 free for issue of ,F0" has been set. The settings made in !ustomi<ing for Purchasing for release indicator 78 are such that the system will issue a warning message if the original P$ #alue is exceeded by more than ?7F. The user then changes the P$ to 877 cameras, causing the P$ #alue to increase by more than ?7F. The system re;assigns release strategy FS and issues the warning message. The user has the following options: !orrect the P$, so that the percentage is not exceeded. The release procedure then continues. :o correction to P$. The system then cancels the pre#ious releases and the release procedure starts all o#er again from the beginning.

Case B: An electron beam welding machine assigned to pro%ect A is to be subse+uently reassigned to cost center N. Again, it is not possible to simply go ahead and make this change. The system will issue an error message. >ither the change must be cancelled, or the release strategy redetermined and the appro#al procedure restarted. Release "ith Cin% to 9or%flo": *hen you set up the release procedure with classification for purchase re+uisitions or purchase orders, you can define a link to the %.P /usiness ?or& lo4. This is particularly ad#isable if employees whose daily duties include tasks other than the appro#al of re+uisitions or purchase orders are in#ol#ed in the release procedure. The employee is automatically ad#ised when a release is to be effected. A work item appears in his inbox, which beprocess directly. *hen the item is processed, the SAP release transaction is automatically in#oked with the rele#ant release code. Releasing Purchase Re+uisitions: here are two ways of releasing purchase re+uisitions: Indi$idual release, Collecti$e release Dis(la&ing Release Infor ation: Indi$idual Release of Purchase Re+uisitions: Purchase re"uisition Release Individual release. >nter the re+uisition number and your release code.
ENTER.

&n the item o#er#iew you can make changes. !hoose Goto Release in o

Release options to establish which items you can release.

Select the item to be released and choose #dit Release %et to release the item. &f the item belongs to a !omplete Purchase ,e+uisition, releasing the item will simultaneously cause all other items to be released. 5ou can cancel re#oke" the release and reinstate the pre#ious release status. !hoose #dit-BRelease -B 'ancel. Sa#e the release. Collecti$e Release of Purchase Re+uisitions: Re"uisition Release 'ollective release. >nter code and any other

selection criteria. Pro*ram #$ecute to display the re+uisition items or !omplete Purchase ,e+uisitions awaiting release. .ecide whether you wish to release all items or complete re+uisitions at once or release ; and possibly change ; indi#idual items. B All, !hoose #dit %elect %elect all. B &ndi#idual, Goto Individual release. &n the item detail screen you can make changes. 5ou can cancel re#oke" the release and reinstate the pre#ious release status. !hoose #dit-BRelease -B 'ancel. Sa#e the release. Si ulating Release: 5ou can simulate which release status an external purchasing document or purchase re+uisition would ha#e if you released the document with a certain release code. This allows you to see how a document can be further processed after you ha#e released it. 8. $pen the purchasing document in display mode. K. &n the case of a P, with item;wise release, select the desired item. &n the case of a purchase re+uisition with o#erall release, purchase orders, contracts, and scheduling agreements, you need not select any items since release is effected at header le#el. N. .isplay the release strategy by clicking . C. &n the box that appears, choose %imulate release+ A dialog box containing the release codes for the rele#ant release strategy appears. C. -ia %et(reset release, you can simulate the situation for different release codes one after the other.

&n the purchasing applications with the new interacti#e design redesigned purchase order and re+uisition", you cannot simulate the release of a purchasing document. &n these applications, you can display the release options and the possible combinations for final release. Dis(la&ing the Release Re inder Cist: 5ou can display a list of the purchase re+uisitions awaiting processing by a certain release code. 8. !hoose Re"uisition Release Release reminder. K. >nter your release code and any other rele#ant selection criteria 2 #$ecute. The P,s to be released are displayed. Releasing 2Fternal Purchasing Docu ents: &n order to release a document, you need to know your release code.. APurchasin* documentB Release+ >nter release code and any other selection criteria. Pro*ram #$ecute. The list of purchasing documents awaiting release appears. Position the cursor on the desired purchasing document and choose #dit Release. 5ou can cancel re#oke" the release and reinstate the pre#ious release status. !hoose #dit-BRelease -B 'ancel. Sa#e the release. Si ulating Release: , . Release strate*y. The dialog box with information on the release strategy appears. 5ou can simulate release in this box.