Sales Processing using Third Party (w.

Shipping Notification)
In third-party order processing, your company does not deliver the items requested by a customer. Instead, you pass the order
along to a third-party vendor who then ships the goods directly to the customer and bills you. The standard sales order automatically
creates a purchase requisition for the materials to be delivered by the third-party vendor.
In this scenario, the vendor sends a shipping notification, after which a statistical goods receipt is posted. The incoming invoice from
the vendor updates the billing quantity, so that the customer-billing document can only be created after entering the invoice from the
vendor.
Sales Order Processing: Sale from Stock
This scenario describes the entire process sequence for a standard sales process (sale from stock) with a customer. The business
process encompasses all the steps between creating an order to the clearing of a customer account after payment is received.
The process starts with the creation of a customer's standard sales order. Depending on the customer and the material, various
special events take place during the order entry, such as customer/material pricing, insertion of applicable discounts, checking the
availability of the materials, and checking the customers credit history.
It is checked whether enough material exists in the required storage location. If not, a stock movement takes place then the picking
slips are generated to the warehouse clerks to stage the product for shipment to the customer.
Once picked, the physically shipped quantity has to be registered in the system to ensure that there are no differences between the
sales order and the delivery document. If there are actual differences, they can also be documented which ensures correct postings.
After the completion of picking, the warehouse clerk will have to systematically review the inventory. This review of the inventory is
the actual recording of the physical quantity that is being shipped to the customer, allows the recording of the cost of goods sold in
financial accounting.
Once the inventory has been reviewed, the delivery can be invoiced and the revenue together with the cost of goods sold recorded
in management accounting. This step signifies the end of the business transaction within Sales and Distribution.

Free of Charge Delivery

This scenario describes the process for providing goods to a customer at no cost. A unique sales order type is created that is not
relevant for billing. The order is confirmed based on the availability of the goods. A delivery is then created; the goods are then
subsequently picked, confirmed, and finally delivered to the customer.

Returns and Complaints

This scenario describes the sales order returns processing. The process starts with a returned sales order with reference to the
original invoice for the goods. An RMA document is printed, and forwarded to the customer to be attached to the incoming goods.
The goods are shipped back, a return delivery is created with reference to the RMA, and the material is moved into returned stock.
The returned stock location is set to non-MRP relevant. The goods are inspected, and a decision made as to whether they should
be returned to stock, or scrapped. A credit memo is created from the billing run, and posted to the customers account.
Sales Quotation
This scenario describes the process for a standard sales quotation. The process starts when a request for quotation (RFQ) is
received from a customer. In response to the customers RFQ, a quotation is created in the SAP system. After that, the customer
can either accept the quotation, or reject it.

Sales Order Processing for Prospect

In this scenario, you will process sales order documents without having a customer master record for the prospective customer
available at the beginning of the order process.
A dummy customer is used when your sales order processors need to investigate an order prospect. The sales order can be saved,
but remains incomplete until a valid customer account number has been entered in the sales order. This function is particularly
useful for companies that take phone orders. For example, a prospective customer calls and requests pricing and information on a
catalog item. The order processor can build the entire order without needing an account number until the end. Then, once built, your
employee can ask the prospect for the data needed to create the customer master record (Dear Madam/dear Sir, thank you for
your order. To fulfill it, we now need some additional information from you. Please let me know your name, address ). Once the
customers account number has been created, it can be assigned to the sales order and replaces the dummy customer entry.

Sales Processing using Third Party (without Shipping Notification)

In third-party order processing, your company does not deliver the items requested by a customer. Instead, you pass the order
along to a third-party vendor who then ships the goods directly to the customer and bills you. The standard sales order automatically
creates a purchase requisition for the materials to be delivered by the third-party vendor.
The incoming invoice from the vendor updates the billing quantity, so that the customer-billing document can only be created after
entering the invoice from the vendor.
Sales of Nonstock Item with Order Specific Procurement
In this scenario, a customer orders a material that is currently not in stock. The material is therefore procured from an external
supplier.
Example:
Customer 100003 orders 100 PC of material H14 from the sales organization 1000.
The material is not in stock and must be procured through an external supplier.
When you create the sales order, a purchase requisition is generated. In the next step, the purchase requisition is converted into a
purchase order for the supplier 300000.
The goods receipt is created on a customers special stock for the customer 100003. The delivery and the invoice follow from here.
Finally the invoice verification for the goods receipt is created.
For customer 100003, credit management is activated

Debit Memo Processing

The Debit Memo process is used for applying a debit to a customer account once it has been determined that a customer has been
undercharged due to a pricing or sales tax rate error. An Invoice Increase Request is then created, with the amount to be debited,
and placed on a billing block for review. It must then be released in order to be billing-relevant, and to appear on the billing due list.
The periodic billing process creates a debit memo to be sent to the customer, and then posts an accounting document.

Batch Management
The purpose of this document is to explain the business process of Batch Management in detail. The target group for this document
is a companys logistics personnel.

Scenario
If materials were handled in batches, it might be necessary to change the batch master data, or to find out where a batch was used
(for example, to perform a batch recall or report to government).

Foreign Trade Export Processing

As markets become increasingly global, and business structures more complex, the need for accuracy in handling the foreign trade
needs of a business is gaining rapidly in importance. SAPs Foreign Trade/Customs application (FT) provides the tools that you
need to compete effectively in todays fast-paced market. It is designed to help you meet the rapidly changing foreign trade
requirements of your business.
This scenario describes the steps involved in receiving customs forms, and how the system performs completeness checks to make
sure that all essential information is in the system.
The document explains how easy reporting is with Intrastat and Extrastat, once you have maintained the necessary settings and
master data.

Customer Consignment Processing

This scenario describes how finished products and trading goods are handled within a consignment process, such as when the
products shipped to the customer are still owned by the company until they are sold by the customer to a third party. The materials,
which are usually stored in the customers store or warehouse, are posted in a stock (consignment stock) that is assigned to the
corresponding customer. This allows the customers current stock to be viewed at any time.

Rebate Processing: Free Goods

This scenario describes the entire process sequence for a standard sales process (sale from stock) with a customer including free
goods. The free goods are inclusive, which means that the customer receives the ordered quantity but only has to pay for a part of
the ordered quantity. The business process encompasses all steps from creating an order to the clearing of a customer account
after payment is received.
The process starts with the creation of a customer's standard sales order. A free goods condition record has been created for the
used material. So the customer receives a certain amount of free goods depending on the ordered quantity.
It is checked whether enough material exists in the required storage location. If not, a stock movement takes place. Then, the
picking slips are generated to the warehouse clerks to stage the product for shipment to the customer.
Once picked, the physically shipped quantity has to be registered in the system to ensure that there are no differences between the
sales order and the delivery document. In the case of actual differences, this can also be documented and ensures correct postings.
After the completion of picking, the warehouse clerk will have to systematically relieve the inventory. This relief of inventory is the
actual recording of the physical quantity that is being shipped to the customer. These results in the recording of the cost of goods
sold in financial accounting.
Once the inventory has been relieved, the delivery can be invoiced and the revenue together with the cost of goods sold is recorded
in management accounting. This step signifies the end of the business transaction in Sales and Distribution.
Batch Recall
In this scenario, a defect batch is identified and must be recalled from customers and prospects who have received the batch.
A program is executed to identify all customers who received a defect batch. The user then chooses the addresses of the
appropriate contact persons, and the system prints a standard letter to each customer to inform them of the recall. The subsequent
activities for each customer are stored in the system. Return deliveries are also entered and documented, if necessary.
To ensure that you contact all customers affected by a defect batch, you must identify if subsequent batches are affected by the
defect batch. For this purpose, you can use the standard system function Batch where-used list that is described in detail in the
standard SAP ERP documentation. This scenario recalls a batch from a finished product or wholesale product. Therefore you can
simply find all customers who received these products. However, a vendor could report that a raw, semi-finished, trading, or other
material used in your production, does not meet quality standards. In this case, you must determine which finished or trading
materials were produced with these defect batches.

Cross-Company Sales Order Processing

This scenario shows how sales are processed across company codes.
A customer orders goods from their vendors sales organization. The vendor has a production / warehouse plant that belongs to a
different company code. The goods are produced / contained here and delivered from the production/warehouse plant directly to the
customer.
Focus:
Delivering plant belongs to a different company code
Direct delivery from delivering plant to customer
Customer invoice and intercompany billing document
Internal transfer prices
Customer 100009 sends a purchase order to their vendors sales organization. A standard order is created here with the
production/warehouse plant from a different company code as a delivering plant.
The goods are delivered from the production/warehouse plant directly to the customer.
The delivery is billed twice: once to create the customer invoice and again to carry out intercompany billing.
The customer pays their invoice by transferring the amount to the bank account. A manual account statement is posted, and the
open item on the customers account is cleared.

Lean Warehouse Management

Document
This document describes the business process of Lean Warehouse Management

Scenario
Lean Warehouse Management is used in order to create a picking document during the shipping process.
A picking document is printed when a delivery is created for a storage location which is assigned to a warehouse. This is done
automatically. There is no need for a user to deal with transport orders from the warehouse management.