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SAP Sales & Distribution
  General Terms



Monojit Banerjee
monojit.net@gmail.com
SD ORGANIZATIONAL STRUCTURE




                              2
Sales Area                Example: Titan (Company Code)


    Sales Organization      India (East)



   Distribution Channel      Own Outlet



         Division            Fast Track



       Sales Office           Kolkata


       Sales Group           Corporate     Retail


       Sales Person            XYZ


                                                      3
Client
    An independent environment in the system
Company Code
    Smallest org unit for which you can maintain a legal set of books
Credit Control Area
    An organizational entity which grants and monitors a credit limit for
    customers.
    It can include one or more company codes
Sales Organization
    An organizational unit responsible for the sale of certain products or
    services.
    The responsibility of a sales organization may include legal liability for
    products and customer claims
Distribution Channel
    The way in which products or services reach the customer
    Typical examples of distribution channels are wholesale, retail, or
    direct sales


                                                                                 4
Division
    A way of grouping materials, products, or services
Sales Area
    Combination of Sales Organization, Distribution Channel and
    Division
    Determines conditions (i.e. pricing) for sales activities
Plant (here: Delivering Plant)
    Plant from which the goods should be delivered to the
    customer
Other SD organization units:
    Shipping Point
    Loading Point
    Sales Office
    Sales Group
    Sales Person


                                                                  5
Plant




 Freight Dock   Express Dock   Rail Dock   Shipping Point




LP1      LP2        LP3           LP4      Loading Point




                                                        6
Plant: any place where we run an MRP (i.e.
anywhere there is inflow or outflow of materials)
  Manufacturing unit
  Warehouse
  Sales Office
  Dockyard
  Stockyard




                                               7
Shipping Point: gateway through which
delivery is made (i.e. location for all delivery
related activities of a product)
A delivery can be processed from only one
shipping point




                                               8
Loading Point: Ramp / platform from which
material gets loaded

Different loading points may be required for:
 Different products
 Different modes of transport
 Different security requirements
 Specialized handling




                                                9
10

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SAP SD General Terms

  • 1. SAP Sales & Distribution General Terms Monojit Banerjee monojit.net@gmail.com
  • 3. Sales Area Example: Titan (Company Code) Sales Organization India (East) Distribution Channel Own Outlet Division Fast Track Sales Office Kolkata Sales Group Corporate Retail Sales Person XYZ 3
  • 4. Client An independent environment in the system Company Code Smallest org unit for which you can maintain a legal set of books Credit Control Area An organizational entity which grants and monitors a credit limit for customers. It can include one or more company codes Sales Organization An organizational unit responsible for the sale of certain products or services. The responsibility of a sales organization may include legal liability for products and customer claims Distribution Channel The way in which products or services reach the customer Typical examples of distribution channels are wholesale, retail, or direct sales 4
  • 5. Division A way of grouping materials, products, or services Sales Area Combination of Sales Organization, Distribution Channel and Division Determines conditions (i.e. pricing) for sales activities Plant (here: Delivering Plant) Plant from which the goods should be delivered to the customer Other SD organization units: Shipping Point Loading Point Sales Office Sales Group Sales Person 5
  • 6. Plant Freight Dock Express Dock Rail Dock Shipping Point LP1 LP2 LP3 LP4 Loading Point 6
  • 7. Plant: any place where we run an MRP (i.e. anywhere there is inflow or outflow of materials) Manufacturing unit Warehouse Sales Office Dockyard Stockyard 7
  • 8. Shipping Point: gateway through which delivery is made (i.e. location for all delivery related activities of a product) A delivery can be processed from only one shipping point 8
  • 9. Loading Point: Ramp / platform from which material gets loaded Different loading points may be required for: Different products Different modes of transport Different security requirements Specialized handling 9
  • 10. 10