SUPPLY CHAIN MANAGEMENT WITH SAP
REFLECTIONS DAY 3

JANUARY 2012

DAY 3 KEY TAKEAWAYS

* Basic data is created at the enterprise (client) level. General data is at the client level and is therefore the same for the entire enterprise. Purchasing data is created at the purchasing organization level. MRP’s are created at the plant level.

* A company code is the smallest organizational unit for which accounting can be carried out. The balance sheet and income statement are generated at this level. With no cost center, there would be no accounting data.

* The Organizational Structure for Financial Accounting (FI) consists of Client (entire enterprise), Company Code, and Credit Control Area.

* The Material Management Organizational Structure consists of Client, Company Code, Plant, Valuation Area, Storage Locations, Purchasing Organization, and Purchasing Group.

* Reconciliation Accounts are part of the General Ledger. Examples are Accounts Receivable (customers) and Accounts Payable (vendors). Entries to these accounts are system generated.

* Account Groups include Balance Sheet Accounts, Reconciliation Accounts, and Income Statement/Profit and Loss Accounts. They are grouped by similar characteristics.

* The Vendor Master can be created in accounting or in purchasing. The vendor master can also be created centrally, in which it will be created in both accounting and purchasing.

* The Fiscal Year Variant determines the organization’s fiscal year. For example, K1 = Calendar year and one closing period.

* Application Service Provider is a company that owns/maintains the application program and provides services. It is accessed through the client (computer).

* A Field Status Variant shows the status of a field. Field can be an account. Status can be optional, required, or display only. Variant is