SIF 8035 Informasjonssystemer Våren 2001 Øving 6 SAP Innlevering: Fredag 6. april Case description The company IDES AG is a German-based car producer, which buys car parts (bumpers) from BMW and Volkswagen. The company is managed from Hamburg, though there are production facilities in both Hamburg and Frankfurt. The two factories operate independently of each other and have their own sales and purchasing organizations. The currency they use is DEM. In order to introduce SAP R/3, the company has to analyze its process flows and decide what the flows should be. In terms of procurement processes, two different proposals are considered. (1) Alternative one (Tight control). A purchasing requisition is generated from the production department and sent to the purchasing department. The purchasing requisition needs to be approved. There are three levels of approvals: if the purchasing amount is less than 1000 DEM, a personal approval is required; if the amount is between 1000 and 10000 DEM, approval of the head of the purchasing department is required; if the amount is greater than 10000 DEM, it must be approved by the plant manager. The purchasing department then assigns the requirement to a pre-planned source of supply, a contract. If there is no contract available for that material, the purchasing process is blocked until the purchasing manager negotiates a contract with some vendor. A purchasing order is then issued according to that purchasing requisition. After that, the purchasing department sends the purchasing order to the vendor. For important materials, the company also requires that the vendor return an acknowledgement telling that they can deliver the goods on the specified date. Also for important materials, a reminder will be sent out to the vendor if the material is not arrived on time. Once the goods arrive, with a shipping notification, the goods receipt 1
processing begins. First, the purchasing department has to make sure that the correct number of the correct material is delivered. If it is OK, the warehouse people post the goods receipt and the invoice is sent to the financial department for registration. (2) Alternative two (Loose control). Main differences are: 1) The purchasing requisition is assigned to an info record or a contract. Info records can be set up directly by purchaser without involving the manager. 2) No approval is needed for purchasing requisitions. 3) No reminders or acknowledgements are used. Exercise 1) Construct an ARIS organization model (view) of IDEC AG and EPC models (control view) of the two alternative flows in the company. 2) Assess the two alternatives with respect to cost and speed (which one is more costly, which is slower). Justify your answer. 3) Run the process on SAP for the second flow (instruction follows). 2
S A P R / 3 E X E R C I S E S C O U R S E S I F 8 0 3 5 S P R I N G 2 0 0 1 ( I N S T R U C T I O N F O R E X E R C I S E 3 ) 3
BRIEF INTRODUCTION This document is the instruction for Exercise 3. You are supposed to go through the exercise with SAP R/3 client. The server you are using now is located at Stockholm University. You user name would be ntnu-xx (where XX is the number of your group, like ntnu-05 for group 5) your initial password would be wmguld. You may need to change your password the first time you log on the system. This exercise consists of two parts. The first part Initial exercise is aimed to help you get acquainted with SAP R/S basic navigation paths and usage of different icons. No report is required at this part. The second part Procurement is made to help you run the procurement flow of alternative two on SAP. You will be required to document some of the numbers during the execution, for example, purchase order number. Also some questions are presented. Answering these questions may help you gain some insight of SAP R/3 system. 4
Initial exercise In this exercise, you will learn the basic navigation in SAP R/3 by displaying information about a particular material. This part will help you get acquainted with SAP R/3 user interface style and functions of different icons. How to log on to SAP SAP clients are installed in D1, D3, D5 at vm-brakka. There will be an icon SAPlogon on desktop. Run the program by double clicking. If there is a server in the Description column, then click logon, otherwise you may need to add a connection with SAP server. The server we are using now locates at Sweden. Click on button new and fill the dialog box as follow. Your user name would be ntnu-xx (where XX is the number of your group, like ntnu-05 for group 5) your initial password would be wmguld. You may need to change your password the first time you log on the system 5
a) Make sure that the client is 500. Enter your user name and password and click Enter. You user name would be ntnu-xx (where XX is the number of your group, like ntnu-05 for group 5) your initial password would be wmguld. You may need to change your password the first time you log on the system. Language is en (for English). b) Click Enter. c) In R/3, you can navigate to the transactions by menus. Follow the menu path: 6
Logistics Materials management Material master d) Follow the menu path: Material Display Display current 7
e) Double click to execute the command. You will see the Display Material: Initial Screen as follow. 8
f) Click the icon to the right of the yellow material field in order to choose one of the available materials. The dialog box below will be displayed. 9
g) Click the Continue icon or press Enter. A list of materials in the IDES system is displayed as below. h) Choose material 40-110F by double-clicking it or by marking it and clicking the Continue icon. If this material doesn t exist for new version of R3, try another one that is listed(for example AS-100 ). 1 0
i) After chose the right material, click the Enter icon or press Enter to display that material. In the following dialog box, mark the check boxes as below (we do this to choose the views we need). 1 1
j) Press Enter or click the Continue icon. k) Click the icon to the right of the yellow plant field to display the plants that store this material. 1 2
l) Choose plant 1200 by double-clicking it. m) Press Enter. The material information will be displayed as follow. 1 3
n) Investigate the material by clicking on different tabs. Experiment with the Online Help by clicking in various fields and click F1. o) In order to return to the main menu, click the Back icon repeated times (the green icon with a back arrow). If you get lost, you can always return to a familiar place by backing in this way. Sometimes, the back icon is disabled; you can then use the Exit icon (yellow icon) or the Cancel icon (red icon). p) Log off the system by choosing System Log off 1 4
Exercise 2 Procurment In this exercise, you will work through a standard purchasing process. The process consists of several steps: 1. An employee requires that a certain material be purchased. 2. A purchase order manager selects the most appropriate vendor for the requested material. 3. A purchase order manager accepts the purchase requisition and creates a purchase order, which is sent to the vendor. 4. When the material arrives, a goods receiver registers the goods receipt. 5. When the invoice arrives, a financial staff registers the invoice. Employee makes a purchase request Purchase Order Manager assigns a vendor Purchase Order Manager makes a purchase order Goods Receiver registers goods receipt Financial staff registers invoice You will take on several different roles in this exercise, but note that you will always work with the same underlying data although it may be presented in different views depending on your particular role. 1 5
2.1 Creating the Purchase Requisition You now play the role of an employee who requests that a particular material bumper be purchased. Call up the transaction as follows: You can choose either follow the menu path or use a transaction code to call the transaction directly(click on the system menu bar: Favorites Insert transaction) Menu Path Transaction Code Logistics Material Management Purchasing Purchase Requisition Create ME51 On the Create Purchase Requisition: Initial Screen, enter the following data: Field Document type NB Delivery date Two weeks from today Plant 1000 Storage location 0001 Purchasing group 001 Press Enter. If the system asks whether the delivery date can be met, confirm. On the Create Purchase Requisition: Item Overview screen, enter the following data: Field Material BUMPER Quantity requested 100 Confirm your entries by pressing Enter. If any warning messages appear, choose Enter. Choose Save (an icon looking like a floppy disk). The system confirms the posting and assigns a purchase requisition number. Make a note of this number. Choose Back (the green back arrow at the top). 1 6
2.2 Source Determination for the Purchase Requisition via Price Simulation You now play the role of a purchase order manager. There are several vendors that can supply the requested material, and your task is to determine which one to choose. You will do this by comparing the prices of all vendors. Call up the transaction as follows: Menu Path Transaction Code Logistics Material Management Purchasing Purchase Requisition Follow-on Functions Assign and process ME57 On the Assign and Process Purchase Requisitions screen, enter the following data: Field Material BUMPER Plant 1000 Fixed vendor No entry Press Execute (an icon resembling a clock, positioned leftmost at the top). Select your purchase requisition number, i.e. mark the check box to the left of the purchase requisition number, then choose Assign automatically. The dialog box Source Overview for Purchase Requisition contains a list of all possible vendors for the material in the purchase requisition. Choose Price simulation/all. The dialog box Price Simulation for Material BUMPER that now appears contains the parameters for the price simulation. Select all three parameters Incl. cash discount, Delivery costs, and Effective price. Press the Enter key on your keyboard to confirm your entries. On the Price Simulation for Sources of Supply screen, make a note of the most favorable vendor name in the list.the first line for this vendor reads: Best price in this comparison. Select the vendor number for the most favorable vendor and then choose Info record. 1 7
Explain the notion of an info record. Use the info record you are looking at in order to illustrate your explanation with a concrete example. On the Display Info. Record: Purch. Organization Data 1 screen choose Back. On the Price Simulation for Sources of Supply screen, choose Back to return to the dialog box Source Overview for Purchase Requisition ### Position your cursor on the vendor number of the most favorable vendor, then click Choose (the green mark to the left at the bottom). Make sure that the check box is marked. Choose Save. The information record for the source determination is assigned to the vendor. Click Back until the overview tree appears. 1 8
2.3 Creating a Purchase Order (from the Purchase Requisition) You continue to play the role of a Purchase Order Manager, but this time your task is to actually create the purchase order. Call up the transaction as follows: Menu Path Transaction Code Logistics Material Management Purchasing 8 Purchase Order8 Create Via Requisition Assignment List ME58 On the Ordering: Assigned Purchase Requisitions screen, enter the following data: Field Purchasing group 001 Purchasing organization 1000 Vendor 20010 Plant 1000 Choose Execute. On the Ordering for Assigned Requisitions: Overview of Assignments screen, position your cursor on the second line for your vendor, then choose Process assignment. If the Process Assignment: Create PO dialog box appears, enter NB in the Order type field. What does NB mean? What other order types are there? Press Enter. Skip any warning messages by pressing Enter. If the Create Purchase Order: Extension Option dialog box appears, choose New Purchase Order. 1 9
On the Create Purchase Order: Selection List: Purchase Requisitions screen, select your requisition (you do this by marking the leftmost rectangle on the chosen line) and choose Adopt + details. Skip any warning messages by pressing Enter. Why are the fields Plant and Storage Location included in a Purchase Order? How will they be used? Choose Enter. Make a note of the Net Price. Write a few sentences in natural language that express the contents of the screen Create Purchase Order: Item Overview. You need to consider the different tab pages. Choose Save. The system confirms the posting and assigns a purchase order document number. Make a note of this number. Skip any warning messages by pressing Enter. Click Back until the overview tree appears. 2.4 Entering the Goods Receipt for the Purchase Order 2 0
The goods have now arrived at your company. You play the role of a Goods Receiver and your task is to register the Goods Receipt. Call up the transaction as follows: Menu Path Transaction Code Logistics Material Management Inventory Management 8 Goods Movement 8 Goods Receipts For Purchase Order PO Number Known MIGO The Goods Receipt <User> screen appears. Enter the following data: Field Purchase order Data Your purchase order number Press Enter. The system copies the header data of the purchase order into the header data area of the GR document. The purchase order items appear in the GR item overview. The PO number you entered appears in the Current purchase order field, and the PO number field is once again ready to accept input. If you click on individual items, the system displays an item data screen (allowing you to change the incoming quantity, for example). In the header data area of the tab page General, enter the following data: Field Data Document date Today's date (default) Posting date Today's date (default) Select your item, then choose the tab page Where at the bottom of the screen to check your organizational data. If necessary, enter the following data: Field Data Storage location 0001 Select Item OK,(in the left bottom area) then choose Save. The system confirms the posting and assigns a material document number. Make a note of this number. 2 1
2.5 Entering Invoice for the Purchase Order The Invoice have now arrived at your company. You play the role of a Financial Assistant and your task is to register the Invoice. Call up the transaction as follows: Menu Path Logistics Material Management Invoice Verification 8 Invoice Verification8 Document Entry Enter Invoice Transaction Code MRHR The Enter Invoice: Initial Screen screen appears. Enter the following data: Field Date Document date Today s date Company code 1000 Currency DEM PO Your Purchase Order number Press Enter In the Enter Invoice: Vendor Items Screen, you will enter the following data Field Data Amount Net Price from PO (Recorded at 2.3) Blin Date Today's date Select Enter icon to continue to next screen. Select the Simulation icon to continue to the next screen. Press Enter. Escape any warning message by pressing Enter. In this screen, note the debits and credits should be equal. Select the Post(Save) icon to complete this transaction. The system confirms the posting and assigns a document number. Make a note of this number. Escape any warning message by pressing Enter. Till now you have worked through the basic parts of a procurement process. You can check the steps you have done and find their positions in the following procurement flow. Employee makes a purchase request Purchase Order Manager assigns a vendor Purchase Order Manager makes a purchase order Goods Receiver registers goods receipt Financial staff registers invoice ---------------------------------------------------END ----------------------------------------------- 2 2