Release Procedure for Purchase requisition(PR)-SAP MM

Release procedure for Purchase requisition

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Release procedure defines, how the document is going to release. The document can be PR, PO, Contract, Scheduled agreement, RFQ. Here we study about the purchase requisition.

Purchase requisition will be created by the respective stake holders of there plant, if a request is created it will go to buyers Que to create purchase order and before that who ever is created purchase requisition he should approve and after that respective manager should approve.

We can create an N number of approvers for the documents like PR, where as an SAP MM consultant its their duty to maintain the release approvers.

We can maintain the release process for respective documents also.

Eg: we can maintain the release strategy for plant or material group also.

Release procedure:

we have 2 types of release procedures, defined below.

1.     With Classification

2.     Without Classification

1.With Classification:

We have 2 sub-terms in with classification.

Where we can release these documents in Document header level or Item level as per our business requirement.

1.Header Level

2.Item level

Header Level:

Header level contains PR, PO, Contract, Scheduled Agreement, RFQ

Item Level:

Item level contains PR.

2. Without Classification:

Without classification we have only 1 type of release process

            1.Item level

Flow-chart for above 2 Classifications

Release procedure--

            With Classification--

                        Header            ---                                                        Item--

                            PR, PO, Contract, SA, RFQ            

                                      PR       

Release procedure--

            Without Classification--

                                    Item--

                                                PR

To maintain the release procedure for particular document types in SAP MM, we have communication tables/Structure for document types, mentioned below

Document type                       Communication table

PR-                                          CEBAN

PR, PO, CO, SA, RFQ           CEKKO

SES                                          CESSR

In the above-mentioned communication tables are used to know the details for respective document type field component.

We have T-code to help to find the component for the respective field in the communication table, that is SE11, where we can only display the data (ABAP Data), its mainly used to find the component for the document type with the help of communication table.

Eg: CEBAN is used for PR, if we are maintaining the release procedure with respect to plant than we need to find the respective component for the plant filed in PR.

So, go to SE11, maintain the communication table as CEBAN if you are working for PR or else you can maintain CEKKO, CESSR for the remaining data field components.

As mentioned in the example, we have only one condition (Plant) to maintain the release strategy, if I would like to maintain the release strategy with combination of conditions then we need to define as mentioned below.

Note: Important Note: 1 condition = 1 Characteristic

                                    2 Condition =  2 Characteristic

Note: Maintaining the release strategy we need to follow the below steps.

1.     Edit Characteristic

2.     Edit Class

3.     Setup procedure with classification

1.     Release Groups

2.     Release Codes

3.     Release indicator

4.     Release strategies

1.     Release prerequisites

2.     Release statues

3.     Classification

Path to go to above release procedure (OLME)

SPRO--

            IMG--

                        Materials Management--

                                                            Purchasing--

                                                                        Purchase requisition--

                                                                                       Release procedure--

                                                                                                             With Classification—

Practicing:

Now will maintain the release procedure with respect to purchase group and Item category.

Follow the steps as mentioned above:

Edit Characteristic:

Where 1 condition is equal to 1 characteristic

We have 2 conditions here (purchase group and Item category), so we need to maintain 2 characteristics in the path I mentioned above.

OLME-With Classification

Characteristics: M1(Enter M1 and check whether its maintained already or not by clicking specs icon), if not created already then click on create icon next to the spec.

Here we should maintain the field components (Purchase group and item cat from SE11)

Go to additional data and maintain the table name as: CEBAN

Go to SE11 and take the field components by selecting the Purchase group and item cat.

P.group-EKGRP

Item cat-PSTYP

Now in this characteristic, we need to maintain either P.group filed component or Item cat component, because we mentioned above 1 condition =1 characteristics.

Maintain field name as: PSTYP

Now create an another characteristics for P.group

M2(Enter M2 and check whether its maintained already or not by clicking specs icon), if not created already then click on create icon next to the spec.

Here we should maintain the field components (Purchase group and item cat from SE11)

Go to additional data and maintain the table name as: CEBAN

Go to SE11 and take the field components by selecting the Purchase group and item cat.

P.group-EKGRP

Item cat-PSTYP

Now in this characteristic, we need to maintain either P.group filed component or Item cat component, because we mentioned above 1 condition =1 characteristics.

Maintain field name as: EKGRP

Note: Now we maintained the two characteristics that we want to use for release strategy.

Edit Classes:

Here we should define the class for characteristics, where we maintained 2 characteristics and we cannot maintain all characteristics directly to release strategy.

We need to define a class and we need to link all the characteristics in that class, so that in the next steps we can use class instead of all characteristics.

Go to Edit Class-

Class-M3

Class type-Release strategy

Click on create icon

Maintain the description as “Something relevant like this is for PR to convert to PO”

Go to characteristics-maintain the both Char numbers we created above.

M1

M2

Save

Select “setup procedure with classification”

Here we need to do some functions like-release groups, release codes, release indicator, release strategies.

Select-Release group:

We need to maintain a new group in release group and we need to assign the class to this release group

M4 (Newley created group) assigned to M3(Class we defined)

Save

Release Codes

Maintain the release codes.

Group we maintained is M4-code is CR and maintain the description.

Here if we want two approvers then we need to maintain 2 column’s M4 and next to maintain CR-creator and MN-Manager and maintain the description as same.

M4-CR

M4-MN

Release Indicator

Maintain new entries, where we need to maintain the Block and release fields here

B-Block

R-Release

Release Strategy

Maintain release group what we maintained-M3 and release strategy number as 10.

Release codes-Mention

CR

MN

Select Prerequisites—

Select the last tab and continue—

Select release statuses---

Select the last tab as R-so that once we get all approvals PR will allow to create PO.

Select Classification

Item cat-Z

P.group-000

Maintain few values for the fields we defined for release strategy.

Now create the PR with above combination, we will see a new tab in the item level…. Release strategy

Go to ME54N and open the PR and release the PR to create PO.

‘

                       

Vendor master Configuration/Implementation Process - SAP MM

Vendor master Configuration Process: SAP MM

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Vendor and material masters are the important master data for every organization, were each vendor having business with the organization, the data will be updated in the company vendor master data were each details of vendor will be updated in the vendor master.

Because the company will be procuring goods and services from the vendors and to maintain their business run smoothly and if any changes made to the details that’s needs to be updated in the vendor master. E.g.: the company use to manufacture the cars and basically, we use to receive the few external parts from suppliers and if we don’t receive in time then production is impacting, and sales will impact and finally business will impact, to overcome this every details of vendor will be maintained in vendor master.

Vendor master is also called as business partner data

Some of the useful T-codes are

Xk01-Vendor master creation

Xk02-Vendor master changes

Xk02-Display vendor master

Xk04-Display the changes

Xk05-Block the vendor

Xk06-Flag for deletion

MKVZ-list of vendors-report

Difference between block and flag:

Block -temporary

Flag for deletion-Permanent

We have 3-Tcodes to create a vendor

XK01- vendor creating centrally

FK01- vendor maintained at company code level by FI team

MK01- vendor maintained at purchase organization level level by MM team

We have 3 types of data in vendor master.

1.     Basic data

2.     Financial data

3.     Purchasing data

Basic Data:

Basic data is a central data for the organization where it contains the basic details like: vendor name, Address, Email, contact persons will fax numbers.

Basically, this data will be filled by MDM team or vendor management team and here in this case all 3 departments can create this vendor master data.

If Vendor master is creating this new vendor, then financial data and purchasing data will be provided by respective FI, MM Consultants to them, and the transition they will use is XK01.

Financial Data:

Financial data will be purely for FI people and they have all the details of those fields and thy will be providing the details to Vendor master team.

Here we will be filling Reconciliation number: ---the number which belongs to GL account

Cash management group: the payment details like whether it’s an international payment, one-time vendor payment, standard vendor payment, domestic payment.

The T-code to create only vendor master financial data is FK01.

Purchasing Data:

Purchasing data will be always part of MM department, they use to get the details related to purchasing fields.

Few fields are:

Order currency: The currency of the vendor needs to be maintained as per the country of vendor supplying goods.

Terms of payment: it explains the payment terms of the vendor, like data of payment after the goods has been shipped.

Like 30 days after shipping, 45 days after shipping.

We can even the customize the payment terms as per the organization standards.

Controlling data- Where it explains the controlling like

GRbasedIV- IV will be posted wrt GR

Auto ERS-GR and IR will be posted wrt PO

Returns order- applicable or Not

We can create the purchasing data of vendor master in MK01.

Explanation:

Every team (MM and FI) will meet and fill the details in vendor master as per their respective accounts.

Vendor master is a part of Materials management and Financial accounting

We can create the vendor master as per department wise (MM-MK01) and (FI-FK01) or else we can create centrally XK01.

Number Assignment-Theory:

Each vendor in SAP will be created with respective number assignments, like will divide the vendor like international vendors, Domestic, Single time, service vendor.

We will divide all the respective vendors by using account group in the vendor master.

Number assignment is two types:

Internal

External

 Internal: In internal we need to define the number range and system will propose the free numbers while maintaining and while creating vendor master it will give automatically in that selected series.

Eg: selected series is 10000-10009 the number given by vendor master while creation is 10001 as first number.

External: Same as internal we need to define the external number range, where we can define the number range as alphabetical A-ZZZZ

System will not propose number range automatically, but we need to give the numbers manually within the number range selected for external.

We will be creating the number ranges because we need to separate different kind of vendors into one group and remaining into other groups which we can find easily.

We will be creating the vendor master in 3 levels

Client level

Company code level

Purchase organization level

Client level:

We will be maintaining the vendor master in client level where few fields will be same for few purchase organizations and company codes (basic data)

The data maintained in this level in client level

Few fields we will maintain in client level is:

Vendor full name

Fax

Telephone

Bank details

Country

Company code level:

All information maintained in this level will be equal to certain company codes and it will be maintained by FI team with t-code FK01 and few of the fields are as follows.

Reconciliation account

Tax information

Payment terms

Purchase organisation level:

We will maintain this data in MK01 and MM team will be maintaining this and will maintain these data in Purchase organisation level, we will able to create PO if there is purchasing info through purchase organisation level.

Few of the fields are:

Order currency

Terms of payment

Controlling data like -Auto ERS, GR based IV, Returns order

Account Group:

Account group determines vendor account group through which we can group certain vendors into one group and maintain certain configuration for that.

We have material type in material master where we use select the fields and number ranges with the help of material type-its act as a bridge, coming to vendor master in similar to material master we have account group here, where we use to define the account group select the field selecting as per that and we will maintain the number ranges in the intervals and we will apply that interval to account group.

Vendor -Account group

Interval-Number range

Number range-Account group

Field settings: we can select the fields in vendor master, which one to be optional or mandatory and hide these customization we can do in vendor master.

SPRO

    Logistics general

                        Business partner

                                    Vendor

                                                Control

                                                            Define Account group and field selection

Select the define account groups and take the copy reference or new/Existing account group

Enter and inside we can find the fields of all the basic, Financials and accounting data.

Once you the which fields you need to customize then click on that data and select the fields where you can find the options like Hide, Optional, mandatary.

Select and save the screen

Number ranges:

In number ranges same as material master we need to define the number ranges as per the account group reference

We can define external and internal for these same as material master

Where for Internal- system will specify the number range to select whereas for External we need to define the alpha number ranges as required for that account group

SPRO

    Logistics general

                        Business partner

                                    Vendor

                                                Control

                                                            Define number ranges for account group

Once you enter into define number ranges as per account group then you can find two fields

Intervals

Number range

Intervals: Intervals we need to define the range of the number like 1000-1009

We need to select the number which is not occupied and maintain the number ranges as system proposes.

You can enter either Internal or External but not both whereas in material master you can enter both internal and external.

Select the number ranges and accept the check button external or Not.

Once you done with this part come back and go to number range

In number range you can find the account group you created and in number ranges you have given a number for ranges so give that number to the account group and save.

Material types/Number ranges/Field Selection/Output format/MM-FI Integration

Integration of All Material Master Concepts:

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In last blog we covered the material master theory part and here we can learn about the concepts of all material master for Integration.

https://criccircle143.blogspot.com/    -Material creation

Before that learn some T-codes Basic, which will be very useful in the Integration.

/n-To go back to the home screen (SAP home page)

/nspro-to go the screen directly without going to home page

/ospro-to open the new screen with new t-code

/i-to close the existing screen

/nend-to close the whole SAP session with pop up

/nex-to close the whole SAP without pop up.

·       You can open a Maximum of 6 sessions at a time in SAP (For 1 user) to increase the efficiency for speed.

·       Every organization will customize the sessions as per there users.

There are 5 master data in SAP

·       1.Material master

·       2.vendor master

·       3.PIR-Purchase info record.

·       4.Source List

·       5.Quota Arrangement

In SAP MM we can two concepts in Material master

1.Purchasing

2.Inventory

Purchasing

In purchasing we have many things for creating/Defining/Assigning, we will start will few creation parts.

·       1.Creation of Material type

·       2.Creation of Material Group

·       3.Defining field selection

·       4.Number ranges for the Material types

·       5.Internal/External procurement

·       6.Fixed/Moving average price

·       7.Automatic account determination

Creation of Material type:

Material type is the first part you will define in the material master, where without material type you cannot maintain material group or material-1^st mandatory in material master.

Material master will be used by the different department in the whole organization like sales team, Accounting, purchasing, Costing, Quality, ware house, Production.

By Material type we can define the fields selection and number ranges.

Creating Material type: we cannot create a new material type, where we can copy cat the existing material type and can make changes respectively and change the Material type to new material type and material description.

We need to maintain the material type starting letters to Z or Y-We cannot define other than that.

SPRO-

     Logistics general-

                  Material master-

                              Basic settings-

                                          Material types-

                                                      Define attributes of new material types

You can directly use the T-code: OMS2

Once you done with creating material type, select the field selection there (Fields you selected will be displayed in the material master for that material type)

Below that you have check button- maintain Ext material range w/o

You will be selecting this option, so that no need to maintain external number ranges,           you can define the externa numbers here itself, so that material will be created from this sequence.

Below that you have filed reference and S.reference field

The field reference and s.field reference will be taken when you copy the one material type to other material type and if you don’t change the filed refence tab to new material type then the field selection will not be possible for 2 different kinds.

We need to define the new material type in both the fields, so that we can maintain separate field settings for both.

We can change the material/Extend the material/Flag the material for deletion/Display by normal T-codes, no need of any configuration for that.

Creation of Material Group:

Material group defines the equal attributes/group of materials with same flavor will combine to one group and create a new material group in that.

We can create a N number of materials in one Material group

We can extract the reports easily by using material group.

Creation steps of material group

SPRO-

            Logistics General-

                        Material master-

                                    Settings for Key fields-

                                                            Define a new material group-

T-code to enter directly-OMSF

Please select the new entries in the top of the page and select the new material group by entering the new number and mention the description of material (Short text) and mention the long text which describes the material type.

Creation of Material: https://criccircle143.blogspot.com/     refer to the link)

Field Selection for Material master:

In SAP environment every transaction and every screen will contain few fields and few of the screens will be mandatory to fill by the organization users as per there system, and few fields are optional and few of the them will be grey out.

As a consultant we need to define the fields like which fields to be optional, mandatory, grey out.

Every field contains instructions like “what it defines” and to know the instructions you need to place the cursor in the field and press F1 ot Fn+F1

Select the technical information from the pop-up tab and press the icon and it will show the field reference name like NMNR_KNLPK(Eg)

Once you got the field reference name we need to find out the field reference number through SAP IMG-SPRO

SPRO-

     Logistic general-

            Material master-

                        Field selection-

                                    Assign fields to field selection-

Here you can place the filed name you got from above step and try to check the field reference number -which will be like numeric digit.

Once you got the number then follow the below steps to maintain those.

SPRO-

     Logistic general-

            Material master-

                        Field selection-

                                    Assign fields to field selection-

                                                                        Maintain field selection for Data screens

Once you get the number then go to maintain field selection and mention the number there, so that you will get all the key fields in one screen, where you need to customize everything here.

Always keep MM01,MM02,MM03 in optional mode if you want the respective field should to one type for all material types

Or else if you require different options for different material types then mention MM01, MM02,MM03 in optional mode and select the ROH-one option, ZROH-other optioning-other option.

So that each material type will be having their respective field selection.

If you copy any material type while creating a new material type, then system will allow only 1 type of field settings for both the material types.

If you want to overcome that, then create a new entry by taking the copy option from existing material type and create the new material type you defined in new material type screen.

After that change the field refence and sreference in material type creation and mention the new one you defined.

So that you can define the different type of options for Copied material type.

Note: To make the below scenario work, please maintain the new material type in maintain field selection and close the SAP and after go to OMS2 and change the filed reference to new material type, then its work.

2^nd scenario: if you want to select the same table options to different things(No:52 contains purchase group and gross weight), so if you make mandatory for 1 option then automatically 2^nd field will be also mandatory. To avoid this please make a new entry in assign field selection and change the number to new number and try the same process, now you can process the field selection.

T-code for filed selection for material master-OMS9

4)Number ranges for the Material types:

Each material in the material master must contains material numbers except for services, so we need to define the material number ranges as per the material type.

As we spoken in the last blog, material type controls few functions in that material number range in one.

We have 2 types of number ranges.

Internal

External

Internal: where internal numbers will be given by the system, but we need to define the number range like series of number eg:1000100-1000500

While arranging the number range please try to check that numbers are already defined in the system, if yes please maintain new range.

Internal numbers should be always maintained with numbers-It will not accept the alpha-num or any special char.

External number range: External numbers are two types one is you should define the number range which can be Alpha-numerical or Alphabetic.

The second one is while creating the material type we have one check option like External number W/o, if we check that option then we need to maintain the material name as per our wish, like alpha numerical or Alpha.

If we don’t check that option, then we need to define the new internal or external range for that material type.

To define the material number ranges, we need to follow the below steps

SPRO-

     Logistics general-

                  Material master-

                              Basic settings-

                                          Material types-

                                                      Define number rays for each material group

T-code to enter directly is: TA04

Once you have entered the t-code and opened the screen, select the groups where if you want to maintain a new number range for your organization for a material type.

Eg: your organization requires number range as follows.

Raw material -ROH= 1000100-1000200

Semi-finished- HALB=2000100-2000300

Finished- FERT=3000100-3000200

Create a new group(insert) and mention the group name, and below that enter the number range from -to and next to that you can see one-tab Ext, will be for explain that’s for internal or external number range.

Maintain the internal number range and save and click on + icon on the top of the screen to maintain the external number ranges.

Maintain the external number ranges like eg: A111-Z111

Once you finished with all these then you need to assign the material type to the group you have created.

Click on the material type Fn+F2 then go to the group and press Fn+F5, so that material type will move to that group.

Please save the screen and let’s test.

As we already defined the number ranges to the group then no need to maintain again.

System will pick the numbers as you mentioned for that material type.

Internal/External procurement:

Internal/external procurement defines the procuring of goods from vendor is allowed or not and it explain it’s a production order or external purchase order and we can control those settings.

There are 3 numbers to define the procurement type

1.Not allowed any purchase order

2.Allowded but with a warning

3.Allowded

We can maintain the number as per our wish and 1 defines no purchase orders allowed and 2 defines purchase orders are allowed but with a warning and 3 defines all purchase orders are allowed.

Fixed/Moving average price:

Every material has certain price which will be used for certain reasons for the organisation, every material we have either fixed price or moving price.

Fixed price: it describes price for the material will not be changed for a certain period like raw materials will be same.

Moving Average price: it describes the price of the material which will be changed frequently, like semi-finished and finished products

S-defines the fixed price

V-defines moving average price

If we buy a material for which we already defined fixed price and not moving price, in those cases if we purchase the product for 15 for which material price is 10, the difference will be posted in price difference account

While coming to the same material if we maintain the moving average price then price difference will be posted in purchase account for that particular GL account.

Output Format of Material numbers:

       Output format of material numbers describes the output of material display, like how the material should looks like.

The maximum digits of material we can maintain is 18 and minimum as per the company standards.

If we want any format we can define in the next tab as

_____@____(9 characters)

____-_____(8 numbers with semicolon)

Once we maintain all these then we can see the number format of a material creation.

Leading Zeros-it will cover the remaining digits of an space to the mentioned digits

Like if we maintain the maximum digits as 12 and in material range you have created the material sequence with only 8 then the remaining 4 digits will be mentioned with Zeros

by system automatically.

MM-FI =integration will come with new blog-

Thank you and let me know if you find any improvements needs to do for the blog or do you want any specific concept!!!!! Please comment, so that will come up with those concepts