RE:[sap-log-mm] Procurement scenario

Posted by Sap Land Saturday 3 September 2011 10:22

Posted by rakz19
on Sep 3 at 1:37 PM

Case 1) Saudi Arab Company procures material directly form Indian Vendor and Indian Vendor delivers to Saudi.

This is a direct procurement scenario, so you can raise purchase order to Indian Vendor from Saudi company code. Subsequently, you can create the pricing conditions in the PO for any costs related to shipping, taxes, etc.

Case 2) Saudi Arab Company orders material from Indian vendor. Indian Vendor delivers material at Indian company premises and then they are shipped to Saudi company by its Indian Counterpart.

Answer: This case can be mapped in SAP in several different ways:

1) Instead of Saudi company, let the Indian Company raise the PO for Vendor. Once the goods are delivered to Indian location, create a STO between Saudi and Indian Plant. But you need to decide who is going to take the shipping costs and taxes. (To include on Vendor PO or STO PO as this is STO process between two company codes).

2) Other case is, if Saudi company creates a PO, let the delivery be sent to Indian Company and from that location create a delivery document without Sales order (VL01n) and ship it to Saudi company.

3) Other case is create virtual plant in Saudi company code, with its address at India and from here create a STO and the financial postings will be in one company code. Let the freight and other one time taxes hit a common cost center for these two plants, so while auditing finance team can consider it has expenses to plant in Saudi.

---------------Original Message---------------
From: manoj raut
Sent: Saturday, September 03, 2011 12:20 PM
Subject: Procurement scenario

Hi,

We have following scenario which we are trying to map in SAP.

Our company is India and Saudi Arab.
We are planning to create two separate company codes for this.

Business scenario is as follow.
Case 1) Saudi Arab Company procures material directly form Indian Vendor and Indian Vendor delivers to Saudi.
Case 2) Saudi Arab Company orders material from Indian vendor. Indian Vendor delivers material at Indian company premises and then they are shipped to Saudi company by its Indian Counterpart.

Any idea how this second scenario can be mapped in SAP?

Thanks,
Manoj

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