SAP Enterprise Structure

The following tutorial guides you how to define or create a company in SAP step by step with screen
shots. Let us discuss briefly about company.
1. Define Company Code

2.

Assign Company Code to Company

3. Define Plant
4. Assign Plant to Company Code
5. Maintain Storage Locations
6. Maintain Purchase Organisation
7. Create Purchasing groups
8. Assign Purchasing Organization to Company Code
9. Assign purchasing organisation to reference purchasing organisation
10. Assign Purchase Organization to Plant

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1. Define Company in SAP

About Company in SAP:- Company is the organizational unit for which individual financial
statements can be drawn according to the relevant commercial law. A company can comprise of one
or more company codes. A Company has local currencies in which its transactions are recorded. All
company codes within a company must use the same transaction Chart of accounts and the same
Fiscal Year. Creation of company in sap is optional.
Path to Define Company in SAP:SAP IMG Path:
SPRO > Implementation Guide for R/3 Customizing (IMG) > Enterprise Structure
> Definition > Financial Accounting > Define Company
Transaction code to Define Company in SAP:- OX15
Steps for creation of a Company:
Step 1:- Enter Transaction Code SPRO in the commend field and press enter on the Keyboard

Step 2:- Next Customizing execute project screen select SAP Reference IMG

Step 3:- After Selecting SAP Reference IMG, a new screen IMG Path will be displayed. Select
Define Company execute icon for creating a company

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Next Screen will be displayed after selecting the define company execute icon

Step 4: Now select new entries icon to create a new company and enter the company details

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The following details are to be entered for creating a new company

1. Enter 6 character alphanumeric code key that represents the group of company
2. Enter name of your company.
3. In the Detailed information update the address Street name, PO Box#, Postal code, City.
4. Enter Country Code of the company
5. Enter language key
6. Enter local currency for the company (also known as Company code currency)
7. Click on Save icon or CTRL+S after updating the required information
Thus new Company ADARSH is created in SAP.

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2. Define Company Code in FICO

Define Company Code
About Company Code: Company Code in SAP is the smallest organizational unit of Financial
Accounting for which you draw individual financial statements like Balance Sheet and Profit & Loss
Account for purpose of external reporting. The Creation of company code in sap is mandatory.
PATH: - IMG Reference > Enterprise Structure > Definition > Financial Accounting > Edit,
Copy, Delete Company Code
Transaction code to Define company Code: - OX02
Steps to Define Company Code:
Step 1:- Enter Transaction Code SPRO in the commend field and press enter

Steps 2:- In customizing execute project screen select SAP Reference IMG

Step 3:- In next screen select Edit, Copy, And Delete check Company Code

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Step 4:- The below screen displays after selecting Edit, Copy, Delete Company Code (Define
Company Code)

We can create company code by selecting above two options. By selecting first option copy, Delete,
company code all the configuration and tables get copied automatically along with assignments.
Here we are creating company code manually configure all the assignments by selecting second
option Edit Company Code Data . Double click on Edit Company Code Data

Step 5:- Click on New Entries

and update the following details

1. Update new Company code key AD06

2. Give the company name Adarsh Technologies for identifying the company code key
3. In Additional Data update the details of City, Country, local Currency of company, Language.
Click on Address and Update the following fields

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After updating Address enter Click on Save icon

SAP.

Thus the company code AD06 is created in

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3. Assign Company Code to Company

Menu Path :SPRO > IMG Reference > Enterprise Structure > Assignment > Financial Accounting >
Assign Company Code To Company
Transaction Code :- OX16
The following are the steps to Assign the Company Code to Company in SAP FICO
Step 1 :- Enter the T-Code SPRO in the commend field

Step 2 :- Click SAP Reference IMG

Step 3 :- Follow the Path as per below screen shot

Step 4 :- Click Position

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Update company code for which you wants to assign and Enter

Step 5 :- Update Company ID in Company field and click on save icon

Thus company code AD06 was assigned to Company ADARSH.

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4. Define Plant
This tutorial guides you how to create/Define Plant in SAP step by step.
Steps to Define Plant :IMG Menu Path :SPRO > SAP Customizing Implementation Guide (IMG) > Enterprise Structure > Definition >
Logistics General > Define copy, delete, check plant
Transaction Code to Define Plant :- OX10
Step 1 :- Enter Transaction Code SPRO in the command field and press enter

Step 2 :- Click on SAP Reference IMG

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Step 3:- Follow the Menu Path as per below screen shot

Step 4 : Click on Define Plant

Step 5 :- Click on New Entries

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Step 6 :- Enter new plant code and update the name of the Plant and press enter

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Step 7 :- Update the address of the plant and press enter

.
Step 8 :- After updating all mandatory fields click on save icon

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5. Assign Plant to Company Code

Configuration steps:Transaction code Assign Plant to Company Code :- OX18
IMG Menu Path :- SPRO > SAP Customizing Implementation Guide (IMG) > Enterprise Structure
> Assignment > Logistics General >Assign Plant to Company Code
Step 1 : Enter Transaction Code SPRO in the command field and press enter

Step 2 :- Click on SAP Reference IMG

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Step 3 :- Follow the Menu Path as per below screen shot

Step 4 :- Click on New entries

Step 5 :- Update Company code in cocd field,and update plant code in plnt field and press enter

Step 6 :- Click on save icon

Thus Plant is successfully assigned to Company code

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6. Storage Location in SAP MM

Tutorials Guides you Step by Step how to create storage location in SAP
Transaction code :- OX09
IMG Menu Path :- SPRO> SAP Customizing Implementation Guide >Enterprise Structure
Definition > Material Management > Maintain storage Location
Step 1: Enter Transaction Code SPRO in the command field and press enter

Step 2: Click on SAP Reference IMG

Step 3:- Follow the menu path as per below screen shot and click on maintain storage location

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Step 4:- Enter the Plant key where the storage location is to be maintained and press enter

Step 5:- Click on new entries for creation new storage location

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Step 6 :- Enter Key in Sloc and description of storage location

Step 7 :- Select storage locations and double click on address of storage locations
Step 8 : After double click on address of storage locations, click on new entries and give 1 in NO
field.

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Step 9 :- Update the address of the storage locations

After updating address click on save icon.Thus New storage locations are configured.

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7. Maintain Purchasing Organisation in SAP MM

This Tutorial guides you how to Maintain Purchasing Organisation in SAP MM
Create Purchasing Organisation in SAP Step by Step
IMG Menu Path :- Customizing Implementation Guide > Enterprise Structure > Definition >
Material Management > Maintain > Maintain Purchasing Organisation
T Code for Maintain Purchasing Organisation :- OX08
Step 1 :- Enter T Code SPRO in the SAP Command Field
Step 2 :- Click on SAP Referrence IMG

Step 3 :- Follow the menu path as per below screen shot for creating new purchase organisation

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Step 4 :- Click on new entries

Step 5 :- Update the following data and press enter

Purch. Organisation :- Enter 4 digits Key that identifying the purchase organisation
Purch. Org. descr. :- Update the description of the purchase organisation
Step 6 :- Click on save icon

Thus Purchasing Organisation is successfully configured in SAP Material Management

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8. Purchasing groups in SAP

The following tutorial guides how to create purchasing groups in SAP MM step by step.
A purchasing group is a unit of a purchasing organization which is responsible for day to day
certain buying activities and control a particular type of procurement activity based on some
classification.
Steps to create purchasing groups
SAP IMG Path: SPRO >> SAP Reference IMG(F5) >>Materials Management >> Purchasing >>
Create Purchasing Groups
Transaction code: OME4

Click on new entries to create new purchasing groups

In next screen enter the following data.

In the purchasing group field enter the three digits purch. group key

In the desc. pur. grp field enter the description of purchasing group

Enter the telephone contact details and press enter to continue

After updating all the required information, choose save icon to save the entries. Successfully you
have configured purchasing groups.

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9. Assign Purchase Organisation to Company Code

This Tutorial guides you the Configuration Settings for the assign purchase organisation to Company
Code
Steps to Assign Purchase Organisation to Company Code :IMG Menu Path :SPRO > SAP Customizing Implementation Guide (IMG) > Enterprise Structure > Assignment >
Material Management > Assign Purchase Organisation to Company Code
T Code Assign Purchase Organisation to Company Code :- OX01
Step 1 :- Enter transaction code SPRO in the command field and press enter

Step 2 :- Click on SAP Reference IMG

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Step 3 :- Follow the IMG Menu Path and click on Assign Purchasing Organisation to Company
Code

Step 4 :- Click on Position and update the desired purchase organisation code to find out

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Step 5 :- Update the company code in the CoCd field and press enter

Step 6 :- Click on Save icon

Thus successfully purchase organisation is assigned to company code.

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10. Assign purchasing organization to reference purchasing

organization
Reference purchasing organization is that purchasing organization where the procurement done for
all the plant of purchasing organizations. Reference purchasing organization is used in the case of
global contract preparation which can be referenced by any local purchasing organization.
IMG Path: SPRO >> SAP Reference IMG(F5) >> Enterprise structure >> Assignment >> Materials
Management >> Assign purchasing organisation to reference purchasing organization

Click on New Entries and make the entries for assignment

In next screen, enter the following information

In the purchasing organisation field enter your purchase organization code

Enter the reference purchase organization code

Release order specifies that release orders issued against contracts set up by the reference
purchasing organizations

Conditions under reference data check the conditions of the reference purchasing
organization to be accessed.

Choose save icon to save the configured data.

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11. Assign Purchase Organisation to Plant in SAP

This Tutorial guides you the Configuration Settings for the Assign purchase organisation to Plant in
SAP step by step
Steps for Assign purchase organisation to Plant
IMG Path :SPRO > SAP Customizing Implementation Guide (IMG) > Enterprise Structure > Assignment >
Material Management > Assign Purchase Organisation to Plant
T Code for Assign purchase organisation to Plant :- OX17
Step 1 :
Enter T Code SPRO in the command field and Press Enter on the Key Board

Step 2 :- Click on SAP Reference IMG

Step 3 :Follow the menu path as per below screen shot for Assign Purchase Organisation to Plant

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Step 4 :- Click on new entries

Step 5 :Update the following data and press enter

POrg :- Update
Purchase organisation that you want to assign to pant
Plnt :- Update the Plant key
Step 6:Click on Save icon

Thus successfully Purchase Organisation is assigned to Plant

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