Professional Documents
Culture Documents
toaz.info-business-blueprint-mm-pr_2b63824d1876ee7f6691bfeedab7d677
toaz.info-business-blueprint-mm-pr_2b63824d1876ee7f6691bfeedab7d677
Changed by:
Version:
Structure level
Project documentation
Include Comments ]
Table of Contents
A. Master Data............................................................................................................................... 5
1. General Master Records.................................................................................................... 5
1.1. Material Master................................................................................................................ 5
1.2. Service Master................................................................................................................. 9
1.3. Vendor Master Record..................................................................................................... 9
2. Procurement....................................................................................................................... 11
2.1. Manufacturer Part Number..............................................................................................11
2.2. Conditions........................................................................................................................ 11
2.3. Source List....................................................................................................................... 12
2.4. Quota Arrangement......................................................................................................... 13
2.5. Delivery Address.............................................................................................................. 13
2.6. Vendor Rebate Arrangements......................................................................................... 17
2.7. Release Strategy with Classification................................................................................17
2.8. Vendor Evaluation........................................................................................................... 17
3. Inventory Management, Warehouse Management and Transportation..............................18
3.1. Hazardous Material......................................................................................................... 18
3.2. Batch............................................................................................................................... 18
3.3. Batch Search Strategy..................................................................................................... 21
B. Business Processes................................................................................................................... 22
1. Procurement....................................................................................................................... 22
1.1. Procurement of Materials and External Services.............................................................22
1.1.1. Purchase Requisition.................................................................................................... 22
1.1.1.1. Purchase Requisition Processing..............................................................................22
1.1.1.2. Purchase Requisition Assignment.............................................................................23
1.1.1.3. Release Purchase Requisition...................................................................................24
1.1.2. Purchasing.................................................................................................................... 24
1.1.2.1. Purchase Order Processing.......................................................................................24
1.1.2.2. Contract Release Order............................................................................................. 27
1.1.2.3. Release of Purchase Orders.....................................................................................28
1.1.2.4. Transmission of Purchase Orders.............................................................................28
1.1.2.5. Scheduling Agreement Delivery Schedule.................................................................28
1.1.2.6. Delivery and Acknowledgment Expediter..................................................................28
1.1.2.7. Inbound EDI Processing............................................................................................ 30
1.1.2.8. Processing of Shipping Notifications/Confirmations..................................................31
1.1.3. Transportation.............................................................................................................. 32
1.1.3.1. Message Transmission for Transport Documents......................................................32
1.1.3.2. Transportation Planning and Processing...................................................................32
1.1.3.3. Freight Cost Invoicing and Settlement.......................................................................35
1.1.4. Goods Receipt.............................................................................................................. 36
1.1.4.1. Reservation Processing............................................................................................. 36
1.1.4.2. Goods Receipt Processing........................................................................................36
1.1.4.3. Goods Receipt Processing with Reference...............................................................36
1.1.5. Service Entry Sheet...................................................................................................... 42
1.1.5.1. Service Entry Sheet................................................................................................... 42
1.1.6. Invoice Verification........................................................................................................ 42
1.1.6.1. Evaluated Receipt Settlement (ERS).........................................................................42
1.1.6.2. Invoicing Plan Settlement.......................................................................................... 43
1.1.6.3. Inbound EDI Processing............................................................................................ 43
1.1.6.4. Invoice Processing with Reference............................................................................44
1.1.6.5. Invoice Overview....................................................................................................... 46
1.1.6.6. Invoice Release......................................................................................................... 47
1.2. Procurement via Subcontracting......................................................................................48
1.2.1. Purchasing.................................................................................................................... 48
1.2.1.1. Scheduling Agreement Delivery Schedule.................................................................48
1.2.1.2. Inbound EDI Processing............................................................................................ 48
1.2.2. Transportation.............................................................................................................. 50
2
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
4
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Master Data
1. General Master Records
1.1. Material Master
Q: 1) Which departments/organizational units are responsible for maintaining the material
data?
Q: 3) What is the default sales unit in sales processing and what are alternative sales
units?
A: Stock management is based on type of materials. For e.g Oil is stored in tanks.
Procurement of process materials is based on requirement.
Q: 6) Do you group similar products together (for example, in divisions or material groups)?
A: Yes.
Q: 7) Do you maintain additional statuses for your materials (such as sales status)?
Q: 8) If you have multiple plants, is your material normally supplied by a specific plant?
A: No
5
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 9) Do you maintain additional types of grouping for other processes (for example, rebate,
statistics, commission or pricing)?
A: Yes.
Q: 10) Is the creation of a multi-level hierarchy necessary for materials (product hierarchy)?
A: No.
Q: 11) Do you record a minimum delivery quantity on your materials? If so, what happens
during sales order processing if a violation occurs?
A: No.
Q: 12) Are there materials that must be shipped in certain multiples (delivery units)?
A: No.
A: Yes.
Q: 14) Can a material have different values in one plant? What are the criteria for the
different values?
Q: 15) According to which criteria, does your material master data let you select with regard
to planned QM processes (for example, goods receipt inspection only for raw materials etc)?
Q: 17) Are the technical delivery terms stored online, and will you print these terms with
each purchase order?
A: Yes.
Analysis certificate & Load port survey report are required for imported oil.
Food grade test certificate for refinery chemicals.
6
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 19) Do you require your vendors to provide samples for approval prior to actual delivery?
Please describe.
Q: 20) Do you block a vendor invoice for payment until the quality inspection has been
successfully completed?
A: Yes. It is manually released after negotiations for rebate/discounts with the vendor, if the
quality of the material supplied is found to be below the standard.
This is not applicable in the case of overseas vendors.
Q: 21) Will you process recurring inspections for materials? (Note: This is only possible for
batch-managed materials). Please provide an example.
Q: 23) Do you want to maintain a source list for the material types you will procure?
A: Yes.
Q: 24) Do you value your materials using a standard price, a moving average price, or
different valuation methods for different materials?
A: All manufactured goods will be valuated on standard price and all raw materials will be
valuated on a moving average price control.
Different valuation method to be followed for materials whenever necessary.
Q: 25) Each material must belong to exactly one material group. Which material groups do
you need to organize your materials?
A: The different material groups are - Oils, Chemicals, Services, Engineering, Electrical,
Packaging, Consumables, Gases, Miscellaneous, Vehicles, Office materials etc.
A: Yes
Q: 27) How many different G/L accounts do you need for inventory?
7
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 28) Will you maintain specification data for your hazardous substances?
Q: 29) Are separate material master records (perhaps with a separate material type or
numbering system) used in the development and engineering/design processes? How and
when are they converted to operational material number and type)?
A: Not applicable.
Q: 30) Do you use other systems (such as service management or costing) that need
material master records from R/3 and therefore a permanent interface?
Q: 31) Describe the structure and numbering system for material numbers
(internal/external, specific to material type, other criteria).
A: Oils, Packaging Materials & Chemicals: Alpha numeric external numbering with a
maximum of 18 Chars.
All other items: Internal numbering with a maximum of 18 Chars.
Q: 32) Which material types do you use (please complete): FERT, HALB, ROH, KMAT,
HAWA, FMHI, ...?
Q: 33) Do you maintain multilingual descriptions for materials? Which languages are
relevant? How and when are they translated?
A: No.
Q: 35) Please describe the process for creating and adding to material data. Include release
procedure/status, important sequences, automatic notifications (workflow), responsibilities,
authorizations, involved systems, and so on.
8
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 38) Do you need to customize the appearance of or add data fields to the material
master record (additional fields, customized material master, field selection, customer-specific
field checks)?
Q: 39) Do you use classification for your material masters? For what reasons (storing
addition information, search functionality, or variant configuration)?
A: No.
Q: 40) Do you classify standardized parts by loading DIN classes and characteristic data
records?
A: No.
Q: 41) Do you have different valuation techniques (for example, standard versus moving
average)? If so, please explain which.
A: All manufactured goods will be valuated on standard price and all raw materials will be
valuated on a moving average price control.
Different valuation method to be followed for materials whenever necessary.
Q: 42) Do you have inventory valued in different currencies at the same facility?
A: No.
A: Yes.
Q: 44) For a material is there a main delivery location for a sales department?
A: No.
Q: 45) PM/CS: Do you need a material master especially for plant maintenance / customer
service with reduced information (just basic data and classification data)?
A: No.
9
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 46) PM/CS: Do your maintenance or service equipment include major components that
you want to deal with individually to compile separate histories? If so, describe these
components.
A: Yes.
Yes.
Services - Consultancy, Clearing & Forwarding, Brokerage, Commission Agents, Ship Survey,
Vessel Handling, Annual Maintenance, Gardening, Labour Contract, House-Keeping.
A: N.A.
Questions:
Q: 3) How do you want vendor numbers assigned in the R/3 System? Name your criteria for
manual and automatic number assignment. Describe the format of manually assigned vendor
numbers.
Q: 4) Do you have plants that supply materials or services to other plants in other company
codes?
A: Yes.
Q: 5) Do stock transport orders take place between stores or between the DC and store? If
so, for which sites?
10
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Both.
The Stock transport order arrives from the C & F Agent (Plant) to our Production Plant. With
reference to this, the materials will be provided.
Q: 6) Do you want to reflect the organizational structure of your vendors in the R/3 System?
A: No.
Q: 7) Is it necessary for you to maintain different purchasing vendor master data for different
plants?
A: No.
Q: 8) When working with your suppliers, do you deal with people with different roles? If yes,
indicate the appropriate roles.
A: Yes. For consignment vendors, if the payment is made in advance, the discount of 1% is
allowed by the vendor.
For Overseas vendor, the payment terms are fixed in L/C as 90 days from BL.
Q: 10) Are there any vendor-specific instructions or information that you want to include in
purchasing documents?
A: No
Q: 11) Do your vendors offer discounts for prompt payment (for example, 1% cash discount
within 10 days)? Provide a list of the payment terms you require.
A: Yes. For consignment vendors, if the payment is made earlier, the discount of 1% is
allowed by the vendor.
For Overseas vendor, the payment terms are fixed in L/C as 90 days from BL.
A: Yes.
Q: 13) Do you have vendors with several/different ordering addresses, payees, carriers, and
so on? If so, what do these depend on (assortment, supply region)?
A: Yes.
Depending on supply region & supplying group, the ordering addresses, payees and carriers
differs.
11
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 14) Do you need to maintain default data for the article master (such as planned delivery
time, purchasing group) at vendor level?
A: Yes
Q: 15) Brazil only: Do you need a CGC/CPF check for vendors? If so, how do you want the
system to act (information message, warning, error message)?
A: N.A.
A: Yes.
2. Procurement
Q: 1) How many different materials do you procure on a regular basis?
A: No.
2.2. Conditions
Q: 1) Which price components do you use in purchasing documents (e.g. gross price,
surcharges, discounts, freight, duty, import)?
A: Gross price, Taxes, Surcharges, Discounts, Freight, Excise Duty, Insurance, Packing &
Forwarding.
12
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 2) Do prices depend on the quantity ordered (e.g. quantity discounts or price scales)? If
so, specify price components, quantity, and other factors.
A: No.
Q: 3) To which date does the price determination process relate? (E.g. delivery date, PO
date, other.)
A: PO date.
Q: 4) Is pricing information from other systems to be used for price computation purposes in
R/3?
A: No.
Q: 5) Do you manually change the price at header level for the entire purchasing
document?
A: No.
Q: 6) Do you allow changes to the gross price that is automatically determined by the R/3
System?
A: Yes.
A: N.A.
A: No.
Q: 9) Specifically for Brazil indexation: Which indexes and forms are necessary?
A: N.A
A: Yes.
Q: 2) Do you want to maintain a list of approved vendors? This means that if a material is
subject to a source list requirement, it can only be procured from the vendors included on the
source list.
A: Yes
13
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 3) Do you need a source list for: (1) all materials (2) all materials of a plant (3) certain
materials only? Please explain.
Q: 4) Is there a fixed vendor for some materials? (1) No. (1) Yes, in certain plants (specify)
(2) Yes, across the entire enterprise (3) Yes, everywhere except in certain plants (specify).
Q: 5) Do some vendors cover certain geogr. regions? (1) No. (2) Yes. Warning if vendor
does not cover relevant region. (3) Yes. Prevent issue of POs in latter case.
o
Explanation: Are some of your suppliers specific to a geographic region? Are some of your
suppliers specific to a geographic region? Example : ACME Widgets supplies plants in the
western region; ABC Widgets supplies plants in the eastern region. A western plant should
not order widgets from an eastern region supplier. not order widgets from an eastern region
supplier. (1) Do not need this feature. (2) Want this feature, warning only if vendor does not
cover the plant's region. (3) Want this feature, preventing orders from vendors that do not
cover a plant's region. a plant's region. If you want to use this feature, indicate the region to
which each of your plants belong.
A: No.
A: Yes
A: Yes
A: No.
Q: 2) Do any storage locations have an address that varies from the assigned plant? If yes,
provide a list of the additional specific storage location addresses.
A: Yes.
COMPANY CODE: 1000
Plant 1100
Godown at 18, T.C.Street. G001
Godown at 2, K.M.Street G002
Godown at 8, Andiappan St. G003
A: No
Q: 2) Do you grant your vendors volume rebates based on the volume of business done
over a period of time?
A: No.
A: Yes.
A: No Procedure.
Q: 3) How do you rate the scores for these criteria? If the criteria are not weighted equally,
indicate the individual weightings.
A: Weighted Equally.
3.2. Batch
Q: 1) General: Do you manage your materials in batches? In what areas (inventory
management, production, sales and distribution, warehouse management, quality
management) do you use batches?
A: No.
A: N.A.
Q: 3) General: Do you want to copy the batch numbers from your vendors into the SAP
System? Do you want this to be entered using a batch master record or a characteristic
(classification)?
A: No.
A: N.A.
Q: 5) Batch level: Do your batches have to be unique at a plant level, cross-plant at material
level or customer level?
A: N.A.
Q: 6) Batch level: Do you want some materials to be handled in batches in some plants and
not in others?
A: N.A.
Q: 7) Batch level: Do you transfer batches among different plants? Do you want the
transferred batch to be known in the receiving plant? (plant level or cross-plant level)
A: N.A.
Q: 8) Batch level: If it is cross-plant, is it possible that you must assign the same batch
number to different materials? (material level or customer level)
A: N.A.
19
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: N.A.
Q: 10) Batch number: Do want to automatically create batches for goods movement or for
the material you want to produce in the order?
A: N.A.
Q: 11) Batch number: Do you want to explain how your batch numbers are set up?
A: N.A.
Q: 12) Batch status management: Do you want to represent the usability of a batch using
batch status management?
A: N.A.
Q: 13) Batch status management: In what way are batches released and who is responsible
for their release?
A: N.A.
Q: 14) Batch status management: Do you have to manage the status of a batch as a cross-
storage location or a cross-stock type?
A: N.A.
Q: 15) Batch specifications: Do you want to describe the technical, physical and/or chemical
properties of a batch using characteristics and characteristic values?
A: N.A.
Q: 16) Batch specifications: Can you group certain materials based on a common
specification to classes?
A: N.A.
Q: 17) Batch specifications: When do you assign values to characteristics? Where does the
information for the value assignment come from? (for example, from the result summary in
QM)
A: N.A.
Q: 18) Batch determination: Do you need batch determination in order to find goods
movements from a warehouse that have a certain specification? In which areas (inventory ma
nagement, production, sales and distribution) do you use batch determination?
A: N.A.
20
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 19) Batch determination: What criteria do you want to use to find and sort the batches?
(batch-find strategy)
A: N.A.
Q: 20) Batch determination: Define a batch-find strategy in order to set which conditions
(criteria) you want to use to find batches.
A: N.A.
Q: 21) Batch determination: For performance reasons, it is recommended that some SAP
standard characteristics, such as deletion indicator or batch status, are included in th e
selection class,
A: N.A.
Q: 22) Batch where-used list: Do you want to document the path of a batch through the
enterprise using a batch where-used list? (for liability reasons)
A: N.A.
Q: 23) Active ingredient management: Do you want to manage materials with active
ingredients that are to be handled with batches?
A: N.A.
Q: 24) Active ingredient management: Do you have materials that have the amount of
active ingredients or fixed components managed in percent (%)?
A: N.A.
Q: 25) Active ingredient management: Do you have material that must be managed using
two different measuring units, such as ounces and grams? Is the relationship between them a
percent or can it be defined freely?
A: N.A.
Q: 26) Active ingredient management: Is the price based on the amount of ingredients? Do
you order raw materials in ingredient units of measure?
A: N.A.
Q: 27) Active ingredient management: Do you want to carry out a batch determination
based on ingredient amounts?
A: N.A.
Q: 28) Do you want to manage and track materials by batch? If yes, specify the materials
or groups of material.
21
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: N.A.
Q: 29) Do you want to manage and track materials by expiration date? If yes, specify the
materials or groups of material, also specify if you wish to see the total shelf life of the
material, or the remining shelf life.
A: N.A.
Q: 30) Do you have any materials where you keep track of the amount of active ingredients;
or percent solids?
A: N.A.
A: N.A.
Q: 2) Define the characteristics that are important when searching for a batch of a material,
such as color, weight, expiration date (selection class).
A: N.A.
Q: 3) When selecting material from batches that have met the criteria in the previous
question, what rules do you follow (FIFO or LIFO, quality, other)?
A: N.A.
Q: 4) When searching for a batch, what key information do you use (strategy type)?
A: N.A.
A: N.A.
A: N.A.
Q: 7) Does the material for a sales order have to be taken from only one batch, or are batch
splits allowed?
A: N.A.
22
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
B. Business Processes
1. Procurement
Q: 1) How many different materials do you procure on a regular basis?
Questions:
Q: 1) How are purchase requisitions created in the case of stock material, material for direct
consumption, external services?
A: [X] Manually
[X] MRP
[X] Sales order
[ ] Replenishment
[X] Store order
[ ] Outside R/3
Q: 2) Will you use a purchase requisition to trigger creation of for a contract or scheduling
agreement (Outline Agreement Request)?
A: Yes
Q: 3) How many days does it take, typically, before a purchase requisition becomes
demand in a purchasing document given to a supplier? Please indicate processing time per
plant.
23
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: This would be used by the system to calculate replenishment lead times.
Example : In plant A, within two days the purchasing department will convert a requisition for
widgets into a purchase order issued to a supoplier.Please indicate processing times per
plant.
Explanation: Problematic if dynamic rounding profiles are used, because these only take
effect at the time of conversion into POs. You post-process the result, which is changed again
after the manual post-processing (via rounding profiles). (via rounding profiles).
A: Yes
A: 1. Plant Requirement
2. Price
24
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
3. Quality
4. Delivery Time
Q: 3) What support (e.g. price simulation) does the buyer need in order to assign the
purchase requisition?
A: 1. Plant Requirement
2. Price
3. Quality
4. Delivery Time
A: Yes
Q: 5) Which sources of supply will you use for purchase requisitions? Are these sources of
supply internal and/or external to your company?
Explanation: Example: all requisitions for over $1000 must be approved by the purchasing
department manager, all requisitions for over $10000 must be approved by the department
manager and the chief financial officer. If yes, describe the approval process, and under what
circumstances the approval process applies - for stock material - for consumable material -
for external services
A: Yes.
Q: 2) Are the purchase requisitions subject to a release strategy? If so, which criteria apply?
Questions:
Q: 3) How is the person responsible for releasing the purchase requisition to be notified?
25
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
1.1.2. Purchasing
1.1.2.1. Purchase Order Processing
Questions:
A: [X] Manually
[X] From purchase requisitions (manual or automatic)
[X] From store order
[ ] From replenishment
[ ] From allocation table
[ ] From load-building run
[ ] From SAP Retail Store
[X] For stock material
[X] For consumable material
[X] For external services
Q: 2) Do you want the system to check whether the purchase price is within a predefined
tolerance in your system, compared with the material valuation price?
A: Yes.
Q: 3) Describe how the source of supply is determined for manually created purchase
requisitions!
Q: 4) Specify the consumption categories for which you will procure external services and
material directly: Asset, cost center, production order, project, sales order, other (please
specify).
A: [X] Standard
[X] Consignment
[X] Subcontracting
[X] Stock transfer
Q: 7) Do you order material in a unit of measure that differs from the one used for
stockkeeping purposes?
A: Yes
26
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 8) Do you pay for material in a different unit of measure than the one that is shown in the
PO/and or used for stock putaway?
A: No
A: Yes.
A: Yes
Q: 11) Are purchasing info records to be updated automatically with every purchase order?
Explanation: If updating is desired and you use rounding profiles in the case of stock
transport orders, after the first purchase order created the logistic data on the article is no
longer read for the rounding profile. Instead the newly created purchasing info records are
read! profile. Instead the newly created purchasing info records are read!
A: Yes
Q: 12) Do you wish to analyze/evaluate purchase transactions according to the reasons for
ordering?
A: No
Q: 13) Do you plan and enter freight costs in the PO? If yes, describe the basis of the costs.
Also indicate if any types of costs can be determined automatically (for example, freight costs
per piece, per unit of weight, as a percentage of the value).
Q: 14) Do you want to prevent users from changing the account assignment of items in
purchasing documents for which they have no authorizations? If so, for which purchasing
documents?
Q: 15) Do you sometimes order stock material directly for a cost center or another
consumption category?
A: Yes
Q: 16) Do you have to declare your ordering activities to the authorities? If so, describe.
27
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes.
If the material is imported and if it is to be bonded, then the same should be informed to the
Customs Authorties for getting necessary licenses.
While transporting, storing and handling hazardous materials.
Q: 17) Do you allow overdeliveries? If so, specify the percentage variance for the individual
materials/material types.
A: Yes.
For all the materials (+/-) 3% to 5% allowed.
Q: 18) On the occasion that a vendor sent you less than the quantity ordered, would you
ever want this shortfall to be considered an under delivery, with no further deliveries
expected? Please list the values for each material/material group.
Explanation: In case of exceeding this value, it will be a partial delivery. In case the value
stayed below, it will be an under delivery
A: Yes.
For all the materials (+/-) 3% to 5% allowed.
Q: 19) Can the materials you purchase be subject to different tax types? (For example,
based upon the material purchased, based upon the plant for which the material is
purchased, etc)? o
A: Yes.
Q: 20) Do your POs issued to vendors contain specific transport or packing instructions? Is
vendors' compliance with the transport and packing instructions to be recorded when the
goods are received ?
A: Yes.
Explanation: Define the movement types for which this should be allowed.
A: No.
A: [ ] Head office
[ ] Store
[X] Both
28
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 1) Will contract release orders be created in R/3 manually, with reference to purchase
requisitions, and/or automatically? (For more details, refer to the Source Administration
Scenario.) - for stock material - for consumable material - for external services
A: Yes. Manually.
Explanation: Example: all purchase orders for over $100,000 must be approved by the
purchasing department manager, all purchase orders over $1 million must be approved by
the President. Describe the approval process, and under what circumstances the approval
process applies. - for stock material - for consumable material - for external services
A: Yes.
Managing Director, Director, General Manager, Plant Manager.
Q: 2) How is the person responsible for approval to be notified? - Approver checks R/3
regularly, by phone, by e-mail, by workflow, other.
Explanation: Background: Workflow for release procedure Background: Workflow for release
procedure
A: No
A: Yes. Manually.
Q: 2) How do you wish to synchronize (monitor) the delivery schedules/SA releases with
respect to the quantities delivered?
Q: 3) Do you want to offer your vendors the option of viewing the scheduling agreement
releases via the Internet?
Explanation: The prerequisites for using Internet release are that the Supplier Workplace is
installed in your system and that the vendors concerned can access it via the Internet. In the
29
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
release creation profile you can specify which release type is to be handled as an Internet
release.
A: No.
Q: 1) How many days after the due delivery date will you send messages to your vendors
urging delivery of the overdue goods?
Q: 2) Should this deadline monitoring vary for different materials or articles? If so, please
explain.
A: No.
Q: 3) Will you send out reminders regarding outstanding vendor confirmations if the due
date is exceeded? Acknowledgment deadline is exceeded?
A: Yes
Explanation: What kinds of purchasing document output (for example printouts, fax
messages, EDI) will you send to your vendors? 1) Complete purchasing document 2) Change
notice (When a purchasing document which has already been outputted and sent to a vendor
is changed, you can only output the changes instead of the entire document) 3) Reminders
(send before the due date) 4) Urging letters or "expeditors" (send after a due date) 4) Urging
letters or "expeditors" (send after a due date) If you use order confirmations and/or shipping
notifications: 5) Urging Letter for Outstanding Acknowledgement or Shipping notification
notification If you use scheduling agreements: 6) Rolling Delivery Schedule 7) Urging Letter
Related to Rolling Delivery schedules
Q: 5) Will you send urging messages (expediters) to your vendors in the case of overdue
deliveries. If so, how many days after the due date will you do this?
A: Yes. Immediately.
30
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Questions:
Q: 6) How are reminders and urging letters (expediters) to be sent to your vendors?
A: [X] By post
[X] By fax
[ ] By EDI
[X] By e-mail
[ ] Other, please describe
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
31
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
A: N.A.
A: Yes
Q: 2) Once you have issued a purchasing document to a vendor, do you want to track
"confirmations" your vendor may return to you regarding the order?
Explanation: Examples: 1) Order acknowledgements which confirm the order dates and
quantities. 2) Shipping notifications, informing you that the vendor has shipped the goods
(you can have goods receipts with reference to shipping notifications). 3) Any other - please
describe.
A: Yes.
32
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 3) What do you do if the order acknowledgment contains quantity and/or delivery date
variances vis à vis the purchase order or a previous acknowledgment?
A: N.A.
Q: 4) Which type of vendor confirmation do you need and at which time intervals? Which
events should trigger a confirmation?
1.1.3. Transportation
1.1.3.1. Message Transmission for Transport Documents
A: Yes, paper.
Explanation: Note: Collect sample printouts for billing documents, credit memos and debit
memos, and decide which information (data fields) these documents should contain.
Questions:
A: [X] Paper
[ ] Telephone
[X] Fax
[X] E-mail
[ ] EDI
A: Yes.
A: Yes
33
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: - Vans
- Trucks
- Container trucks
- Tanker lorries
- Bullock cart
- Tri-Cycles
- Tempos
A: - All deliverable orders are shipped to customer based on the availability of stock.
- Goods are loaded in the carrier as instructed in Delivery Note to loading point, created
through
out-bound delivery from pending sales orders.
- A carrier may deliver goods to different customers on the same route.
- A carrier may carry goods of different different sister concerns to same or different
customers.
- Delivery Challan is printed out.
- Billing is done based on delivery and Invoice document is created.
- 2 copies (1 Customer copy + 1 verification copy) of Printed Delivery Challans and Invoices
are
handed over to driver of the carrier, who carries the goods to customers, after verification.
- In case of out satation delivery, Transit pass is also sent along with other documents.
Q: 8) Do you use one mode of transport per route or a combination of modes per route, e.g.
road, rail, sea?
A: Generally we use one mode of transport per route, but in some cases, we may use
combination of modes per route during export, strike,etc.,
A: Yes.
34
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes.
A: Both.
Q: 14) Do you need to be able to enter your actual transportation data at a later point in
time (for example, time taken, distance travelled)?
A: Yes.
Q: 15) How do you determine shipment costs (for example, kilometers, volume)?
A: Shipment cost is determined by the volume of the cargo and distance to be travelled.
Q: 16) How do you carry out settlement accounting with the external carrier?
Q: 17) Do you charge stores for the costs of using your own vehicles?
A: No.
Q: 18) Do you handle several deliveries for different ship-to parties in one single shipment?
A: Yes.
Q: 19) According to which criteria do you group deliveries for one shipment?
35
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 20) Do you have your own vehicles or do you use external carriers?
Q: 21) What do you use as a basis for scheduling your vehicles or the vehicles of your
external carrier?
Q: 22) How do you respond to capacity constraints? Describe the contractual conditions.
A: During peak season if some customers gives bulk order, the vehicle is accordingly
arranged to supply the stock in time. In case in a lean season 2 to 3 orders are combined in
one delivery.
During import the tolerance limit of (+/-) 2% is allowed. If it exceeds the tolerance limits due
to the capacity of the vessel, the vendor should get concurrence from us. Based on the
approval it has been loaded.
Q: 23) Do you require shipment documents for physically transporting the merchandise? If
so, what form of document (e.g. paper, EDI)?
A: Yes.
Form 27 for Local transfers.
Form 20 for Interstate transfers.
A: 1. Commodity.
2. Consignee.
3. Quantity.
4. Value.
5. Tax details.
6. Vehicle number.
7. Destination.
Q: 1) Is freight charged to the customer or does the company absorb the cost?
A: Both.
A: Yes.
36
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Freight costs will be posted to the accounts once the bill received from the transporters
as below.
Q: 5) Do you verify invoices for your forwarding agents? If so, which rules do you use?
Q: 1) Will you maintain specific material reservations (for sales, for production) for your
stock materials?
A: Yes.
A: 2 days in advance.
Q: 4) How long after the reservation date are open reservations canceled?
A: Immediately.
Q: 1) The material stock balances shown in your legacy system are to be transferred to the
R/3 System. Will the stocks be valuated at the prices specified in the R/3 e total value of the
former system be taken over?
A: Yes.
Q: 2) If you do not use the R/3 Purchasing functionality, describe the process of receiving
goods from a vendor.
A: N.A.
37
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 3) If you do not use production orders of the R/3 System, describe the process of
receiving goods from production.
A: N.A.
Q: 4) Should the person who posts a goods receipt be able to use a different account
assignment than the one specified via the automatic account determination process?
A: No.
Q: 1) Describe the process for receiving goods with reference to a purchase order.
A: When the material arrives, the commodity, quality, quantity, delivery date are checked
against the Purchase Order before unloading.
For material like oil the Empty Truck weight is also taken into consideration to arrive at the
total quantity delivered.
Q: 3) How do you inform the Purchasing Department that goods have been received?
Q: 4) Do you receive quantities less than the ordered quantity? If yes, is the purchase order
considered complete then or do you receive the missing quantities later?
A: Yes.
Materials other than Oil will be considered as pending.
Q: 5) Do you physically store the goods you have received into "stock in quality inspection"
at a different location than those posted to normal stock?
A: No
Q: 6) Do you allow every material to be stored at all storage locations? Please describe!
A: No. As per material type, the materials are stored in the respective locations.
Q: 7) Do you use a unit of measure for the pricing of the goods other than the unit you order
in? If yes, you can define the variances in customizing.
A: Yes.
Q: 8) Do the materials you receive have to be stored for a certain time before they can be
used or do they have an expiration date that you want to keep in the system?
A: No.
Q: 9) Do you refuse to accept deliveries if the vendor has not complied with the shipping
instructions? (Can be used to evaluate vendors.)
A: No
Questions:
42
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 12) If a goods receipt quantity is assigned to a goods issue, do you want the person who
enters the goods receipt to receive a corresponding message?
A: Yes.
Q: 13) Will you inspect the material/article at the time of goods receipt? If so, do you enter
the goods receipt and the inspection result or do you only enter the goods receipt after the
inspection has been carried out?
Explanation: QM module
A: Yes
Q: 14) If you are using batch management, how is the batch number determined at the time
of goods receipt?
A: N.A.
Q: 15) Do you classify the batches at the time of goods receipt? Please specify the criteria.
A: N.A.
A: Yes.
Q: 17) Do you wish to print out the material document as evidence of a goods movement?
Which information should be included in the printout?
A: Yes.
1. Name of Plant
2. Name of the Vendor/Customer
43
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
3. Quantity
4. Rate
5. Value
6. Date of movement
7. Vehicle No.
8. Related Form No.
A: Yes
Q: 1) According to which rules do you effect automatic settlement with regard to goods
receipts?
A: N.A.
A: No.
A: 1. Advance Payment
2. Partial payment
3. Immediate payment
4. Payment after the credit period. (from 10 to 120 days)
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
44
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
45
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: N.A.
Q: 1) Do you reduce the amount of your vendors' invoices automatically in the event of
variances?
A: Yes.
A: 1. Exise Duty
2. Central Sales Tax
3. Local Sales Tax
4. Surcharge
5. Re-Sale Tax
6. Customs Duty
7. CESS
8. CVD
9. Entry Tax
10. APMC
11. Service Tax
12. VAT (Value added Tax)
Q: 3) List the types of tax that are generally applicable and should therefore be
automatically suggested in the standard system when an invoice is entered.
A: 1. Exise Duty
2. Central Sales Tax
3. Local Sales Tax
4. Surcharge
5. Re-Sale Tax
6. Customs Duty
7. CESS
8. CVD
9. Entry Tax
10. APMC
11. Service Tax
12. VAT (Value added Tax)
Q: 4) If there are different types of tax, can groups of these tax types occur together under
certain circumstances?
Q: 5) If you are implementing QM, do you always require that goods receipts have passed
QM inspection before being paid ?
A: Yes.
Explanation: Notes: Delivery costs are additional costs such as for express delivery.
Q: 7) Do you sometimes have to change the account assignment for a certain purchase
order at the time of invoice verification?
A: Yes.
A: Yes.
Q: 9) Which other messages do you want to send to your vendors or to people within your
organization with respect to the invoice receipt?
Q: 10) Is a goods receipt always necessary for invoice verification purposes? If so, do you
allow reversal of the goods issue after the invoice has been posted? has been entered?
A: Yes.
Q: 12) Do you wish to notify Purchasing if the invoice price varies from the purchase order
price?
A: Yes.
Q: 13) Specific to Brazil: Describe the Nota Fiscal process including special situations such
as future delivery, importation, returnable transport packing, and freight.
A: N.A.
Q: 14) Do you use tax jurisdiction codes? Specify the codes used.
A: N.A.
47
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 15) Do you receive invoices with a large volume of data for which no checking is
necessary?
A: No.
Q: 16) Do you receive invoices relating to transactions that are not administered in the
system?
A: No.
Q: 2) Describe the information flow between Purchasing, Logistics and Invoice Verification
in the case of errors.
A: In case of errors, the information should be communicated via telephone, internal mail.
Questions:
Q: 2) Do you want to block invoices for late delivery of goods? If so, block the invoice when
the number of days late times the value of the late items is greater than X. Specify a value for
X.
Q: 3) Invoices can be entered in the system but may be automatically blocked due to
variances. Specify the maximum quantity and price variances that are allowed.
Explanation: When using purchase order price unit of measure, how big is the quantity
difference between GR quantity and IV quantity (in purchase order price unit of measue) you
tolerate without warning or error messages?
48
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 4) Do you want to block invoice items whose value exceeds a certain amount? What is
the threshold value for invoice items 1) with reference to a purchase order 2) without
reference to a purchase order?
Q: 5) Who is to be notified in the event of variances between the purchase order price and
the invoice price? How is this person to be notified?
Q: 7) Who checks and processes invoices that have been blocked for payment?
le manager)
A: Yes. Manually.
Q: 2) How do you wish to synchronize (monitor) the delivery schedules/SA releases with
respect to the quantities delivered?
Q: 3) Do you want to offer your vendors the option of viewing the scheduling agreement
releases via the Internet?
Explanation: The prerequisites for using Internet release are that the Supplier Workplace is
installed in your system and that the vendors concerned can access it via the Internet. In the
49
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
release creation profile you can specify which release type is to be handled as an Internet
release.
A: No.
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
50
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
A: N.A.
1.2.2. Transportation
1.2.2.1. Transportation Planning and Processing
A: Yes.
A: Yes
A: - Vans
- Trucks
- Container trucks
- Tanker lorries
- Bullock cart
- Tri-Cycles
- Tempos
51
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: - All deliverable orders are shipped to customer based on the availability of stock.
- Goods are loaded in the carrier as instructed in Delivery Note to loading point, created
through
out-bound delivery from pending sales orders.
- A carrier may deliver goods to different customers on the same route.
- A carrier may carry goods of different different sister concerns to same or different
customers.
- Delivery Challan is printed out.
- Billing is done based on delivery and Invoice document is created.
- 2 copies (1 Customer copy + 1 verification copy) of Printed Delivery Challans and Invoices
are
handed over to driver of the carrier, who carries the goods to customers, after verification.
- In case of out satation delivery, Transit pass is also sent along with other documents.
Q: 8) Do you use one mode of transport per route or a combination of modes per route, e.g.
road, rail, sea?
A: Generally we use one mode of transport per route, but in some cases, we may use
combination of modes per route during export, strike,etc.,
A: Yes.
A: Yes.
A: Both.
Q: 14) Do you need to be able to enter your actual transportation data at a later point in
time (for example, time taken, distance travelled)?
A: Yes.
Q: 15) How do you determine shipment costs (for example, kilometers, volume)?
A: Shipment cost is determined by the volume of the cargo and distance to be travelled.
Q: 16) How do you carry out settlement accounting with the external carrier?
Q: 17) Do you charge stores for the costs of using your own vehicles?
A: No.
Q: 18) Do you handle several deliveries for different ship-to parties in one single shipment?
A: Yes.
Q: 19) According to which criteria do you group deliveries for one shipment?
Q: 20) Do you have your own vehicles or do you use external carriers?
Q: 21) What do you use as a basis for scheduling your vehicles or the vehicles of your
external carrier?
Q: 22) How do you respond to capacity constraints? Describe the contractual conditions.
53
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: During peak season if some customers gives bulk order, the vehicle is accordingly
arranged to supply the stock in time. In case in a lean season 2 to 3 orders are combined in
one delivery.
During import the tolerance limit of (+/-) 2% is allowed. If it exceeds the tolerance limits due
to the capacity of the vessel, the vendor should get concurrence from us. Based on the
approval it has been loaded.
Q: 23) Do you require shipment documents for physically transporting the merchandise? If
so, what form of document (e.g. paper, EDI)?
A: Yes.
Form 27 for Local transfers.
Form 20 for Interstate transfers.
A: 1. Commodity.
2. Consignee.
3. Quantity.
4. Value.
5. Tax details.
6. Vehicle number.
7. Destination.
Q: 1) Is freight charged to the customer or does the company absorb the cost?
A: Both.
A: Yes.
A: Freight costs will be posted to the accounts once the bill received from the transporters
as below.
Q: 5) Do you verify invoices for your forwarding agents? If so, which rules do you use?
VehicleNo
Place of delivery
Date of delivery
Acknowledge by the receiver
A: N.A.
Q: 2) How will the consumption of these parts be entered and who will post the return in the
system?
Q: 3) How do you record which materials were received specifically for a work order?
A: N.A.
Q: 4) How much time elapses between the actual goods issue and its posting in the
system?
A: One day. Mostly, the material will be sent to the subcontractor directly from the vendor for
processing.
A: Online.
A: Individually.
Q: 7) Which documents are generated in conjunction with this posting and what information
do they contain?
Explanation: 1-step goods issue in which the GR at the receiving site is posted
simultaneously to the GI at the DC. simultaneously to the GI at the DC.
55
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: A Goods Issue slip at the issuing end and simultaneously the stock will be updated at the
receiving end as well as the at issuing end.
A: Not applicable
Q: 1) List all documents required to complete the delivery process (e.g. picking list, packing
list or bill of loading) and what information they contain.
Explanation: Note: For each document, collect sample printouts and decide which
information (data fields) the documents must contain.
A: After sale order processing the folowing documents are required to complete the
delivery :
- Delivery Note to shipping point which contains :-
- Delivery note number & date
- Customer name
- Place
- Product
- Quantity
- Vehicle Number
- Driver's name
- If more than one party, product summary, weight, etc.,
- Delivery challan
- Delivery challan number & date
- Customer name and header details
- Product name and quantity
- Vehicle number
- Company name and address, if necessary
- Person name who loaded, etc.,
Q: 2) If you have multiple plants, how do you determine what plant a product is delivered
from?
A: Delivery plant is determined based on the geographical location of the customer , type of
sales and avalilability of stock.
Explanation: Note: In R/3, shipping point determination depends on the following objects: -
Plant - Shipping condition (goods recipient) and - Loading group (material master). Decide
which shipping point you want the system to offer as a default, or the alternative shipping
points you would like to overwrite the default with.
56
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: Note: The route with transit time and transit lead time is used for delivery
scheduling, for example. In the delivery, an alternative route for the sales order or scheduling
agreement can be selected depending on different weight groups.
A: Yes.
Q: 5) Do you compute different lead times (for example, picking, packing, loading or
replenishment lead times)? Please describe in detail.
Explanation: Note: Describe the lead times you use for delivery scheduling, and the objects
(customer, route, material, shipping conditions) that these lead times depend on.
A: Yes.
Lead time used for delivery schedling are,
- Material : Lead time for production and packing.
- Customer : Lead time to reach the customer destination.
Q: 6) Do you have a standard lead time in days for the customer#s requested delivery
date?
A: Yes.
Explanation: Note: Serial numbers can be assigned at various points such as at the goods
receipt posting (from the production line) or later when the delivery is created.
Q: 9) Do you add additional prices at the delivery time (for example, packing or postage
costs)?
A: No.
Questions:
A: [X] Online
[X] Background processing
[X] Display both
57
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 11) Do you ever group deliveries together for different reason (e.g. freight lists, loading
list, collective picking)?
A: Yes.
Explanation: Note: With multilevel packing, you can print out labels for different packaging
levels. Examples of packaging levels are boxes, wire baskets, and pallets. Decide on the
information and format for the labels. Note the special printer requirements.
Q: 13) Do you allow items that weren't in the sales order to be added to a delivery?
A: No.
Q: 15) What information do you consider necessary for a delivery and would like to appear
on an incompletion log if missing?
A: [X] Address
[X] Incoterms
[X] Terms of payment
[X] Material
[ ] Order quantity
[ ] Net price
[ ] Plant
[ ] Shipping point
[ ] Pricing date
[ ] Others
Q: 16) Do your customers accept partial deliveries in case of lack of availability and what
are the rules for creating them?
Q: 17) Do you allow sales orders to be combined or split for delivery and what are the
rules?
Explanation: Note: The standard R/3 system always attempts to merge deliveries with certain
identical header data (such as identical partners, Incoterms, terms of payment, etc.). You can
program additional merging or splitting criteria into the copying control between delivery and
invoice.
Explanation: Note: When you check the availability, you should also decide what your ATP
quantity should be. For example, should it only include the physical stock quantity, or should it
also include goods receipts, production orders, and purchase orders?
A: Yes.
Q: 19) Do you track Over Delivery or Under Delivery tolerance percentages for your
customers?
Q: 20) What should happen if the delivery quantity differs from the order quantity?
A: [ ] Nothing
[X] Warning
[ ] Error message
[X] Various
Q: 21) What are the reasons you would ever block a sales document from delivery?
Q: 22) How do you allocate merchandise which is in short supply (delivery priorities)?
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
59
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
A: N.A.
A: Yes. Manually.
Q: 2) How do you wish to synchronize (monitor) the delivery schedules/SA releases with
respect to the quantities delivered?
Q: 3) Do you want to offer your vendors the option of viewing the scheduling agreement
releases via the Internet?
Explanation: The prerequisites for using Internet release are that the Supplier Workplace is
installed in your system and that the vendors concerned can access it via the Internet. In the
release creation profile you can specify which release type is to be handled as an Internet
release.
A: No.
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
61
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 3) Describe the changes you want to make to the standard EDI messages.
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
A: N.A.
A: Yes. Manually.
Q: 2) How do you wish to synchronize (monitor) the delivery schedules/SA releases with
respect to the quantities delivered?
Q: 3) Do you want to offer your vendors the option of viewing the scheduling agreement
releases via the Internet?
Explanation: The prerequisites for using Internet release are that the Supplier Workplace is
installed in your system and that the vendors concerned can access it via the Internet. In the
release creation profile you can specify which release type is to be handled as an Internet
release.
A: No.
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
63
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
64
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: N.A.
Q: 1) Create a list of which R/3 messages are sent to which business partners, which IDoc
type is used, and which EDI standards the messages are to be converted into.
A: N.A.
Q: 2) From how many different business partners will you receive EDI messages?
A: N.A.
Q: 3) Describe the changes you want to make to the standard EDI messages.
Explanation: If your customer or vendor uses message fields differently from the way you
use them, you need to make assignment changes. In some cases, you may need to add
more fields. Remember to distinguish between adjustments re mapping and adjustments re
function modules in R/3.
A: N.A.
Q: 4) Under which operating system do you want your EDI subsystem to run?
A: N.A.
Q: 5) Which interface technique do you want to use for exchanging messages between R/3
and your subsystem?
A: N.A.
Explanation: For information on which EDI subsystems have been certified by SAP, look
under http://www.sap.com/products/compsoft/certify/solution.htm#cross_apps or in SAPNet -
R/3 Frontend (formerly OSS) under note number 0114714
A: N.A.
65
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 7) Make a list showing the number of all outgoing messages (customer-specific) and the
desired send time.
A: N.A.
Q: 8) Create a list showing the number of all incoming EDI messages (customer-specific)
and the desired processing time
A: N.A.
A: Yes.
A: N.A.
Q: 1) Do you generally request several vendors to submit prices, terms and conditions in
the form of a tender/bid/quotation?
A: Yes
A: Yes
Q: 3) Can an article be procured from several vendors? If so, is this the rule or an
exception? (Or specify percentage.)
Q: 4) Do you carry out requirements planning for structured articles (e.g. prepack, display)?
A: Yes
66
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 5) How do you determine the requirement quantities at header level in the case of
structured articles?
Q: 6) Do you exclude articles from requirements planning? If so, which (e.g. import,
seasonal, promotion, etc.)?
A: Yes.
A: Yes.
Questions:
A: Yes
Q: 1) Will you use contracts in R/3? If so, what will you use contracts for (e.g. stock
materials, consumable materials, external services)?
A: Yes.
For stock materials, consumable materials, external services.
Q: 2) Which types of contract do you need (e.g. value contracts, quantity contracts)?
Q: 3) Are the contracts to be valid for: - more than one plant - more than one company
code?
67
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: It can be for a plant and also for more than one plant.
Q: 4) Do you also allow a consumption account in the case of contracts for stock materials?
A: Yes
Q: 1) Will you use scheduling agreements to procure materials from external suppliers or
supplying plants? If so, which types of scheduling agreement will you use? Should these
scheduling agreements be maintained centrally?
Explanation: Will you maintain scheduling agreements in SAP with either an external vendor
or a plant supplying the materials? If yes, - what type of scheduling agreements are you
maintaining? (for example, standard, subcontracting, consignment, stock transfer. - will any of
these scheduling agreements reference a centrally maintained contract?
A: Yes.
Standard scheduling agreement.
The scheduling agreement is not maintained centrally.
The scheduling agreements is maintained in SAP with either an external vendor or a plant
supplying the materials.
Standard.
Q: 2) Do you want to reconcile the quantity requested and the quantity actually delivered
with your vendor (monitoring function)? If so, how are the lines of the scheduling agreement
delivery schedule generated: manually or via materials planning (MRP)? M
A: Yes.
Manually.
Q: 3) Do you need release documents (e.g., call-offs) and master conditions to manage
your scheduling lines? If yes, are any of these JIT delivery schedules?
A: No.
Q: 4) Do you want to offer your vendors the option of viewing the scheduling agreement
releases via the Internet?
Explanation: The prerequisites for using Internet release are that the Supplier Workplace is
installed in your system and that the vendors concerned can access it via the Internet. In the
release creation profile you can specify which release type is to be handled as an Internet
release.
A: No.
A: No.
68
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 1) In your company, who is responsible for the receipt or creation of quality notifications?
A: No.
A: No.
A: 1. Very High
2. High
A: No.
Q: 6) List the business partners (internal and/or external) whose address information you
require when creating the notification. Add other business partners, if necessary.
A: Co-ordinator, Vendor
Q: 7) How do you describe the problem? Do you use a verbal description or standard
codes?
69
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 8) Do you want to attach electronic documents (for example, inspection reports) to the
notification?
A: No.
Explanation: Note: An incorrect assignment is usually the result of a problem with the
documentation.
A: Yes.
Q: 10) Do you have ad-hoc tasks that you always carry out for different notification types or
priorities? If so, describe these tasks.
A: No.
Q: 11) Do you want the person or coordinator responsible for a task to be notified
automatically by the system?
Explanation: Set the "approval required" indicator for the required notification type (IMG
activity: OLQN_CL). An additional notification status "Submit for approval" will be created. be
created.
A: No.
Q: 13) How do you want to structure the layout of your notification with regard to the
problem description, execution, items, tasks, activities?
A: 1. Problem description
70
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
2. Execution
3. Items
4. Tasks
5. Activities
Q: 14) Do you record costs arising from complaints? Describe how you record these.
Explanation: Costs, for example, for wages, material, telephone costs, travel expenses etc.
A: No.
Q: 15) Do you want to create and activate the QM order, based on the notification? Where
are these costs to be settled?
A: N.A.
Q: 16) How many notifications do you receive each day or each year?
A: Ten/Week
Q: 17) Do you record the performed activities that solved the customer problem in a
standardized way (for example, using standardized codes) in order to evaluate possible
solutions for a problem?
A: Yes.
Q: 18) How is a quality notification processed in your company? Describe the process for
external or internal notifications.
A: Purchase order assigning, Transfer posting to Blocked, Material for reprocess, Reject
Transfer posting to Unrestricted.
Q: 19) Do you allow your customers to create complaints in your system using the Internet?
A: No.
A: Yes.
71
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes
A: - Vans
- Trucks
- Container trucks
- Tanker lorries
- Bullock cart
- Tri-Cycles
- Tempos
A: - All deliverable orders are shipped to customer based on the availability of stock.
- Goods are loaded in the carrier as instructed in Delivery Note to loading point, created
through
out-bound delivery from pending sales orders.
- A carrier may deliver goods to different customers on the same route.
- A carrier may carry goods of different different sister concerns to same or different
customers.
- Delivery Challan is printed out.
- Billing is done based on delivery and Invoice document is created.
- 2 copies (1 Customer copy + 1 verification copy) of Printed Delivery Challans and Invoices
are
handed over to driver of the carrier, who carries the goods to customers, after verification.
- In case of out satation delivery, Transit pass is also sent along with other documents.
Q: 8) Do you use one mode of transport per route or a combination of modes per route, e.g.
road, rail, sea?
A: Generally we use one mode of transport per route, but in some cases, we may use
combination of modes per route during export, strike,etc.,
72
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes.
A: Yes.
A: Both.
Q: 14) Do you need to be able to enter your actual transportation data at a later point in
time (for example, time taken, distance travelled)?
A: Yes.
Q: 15) How do you determine shipment costs (for example, kilometers, volume)?
A: Shipment cost is determined by the volume of the cargo and distance to be travelled.
Q: 16) How do you carry out settlement accounting with the external carrier?
Q: 17) Do you charge stores for the costs of using your own vehicles?
A: No.
Q: 18) Do you handle several deliveries for different ship-to parties in one single shipment?
A: Yes.
73
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 19) According to which criteria do you group deliveries for one shipment?
Q: 20) Do you have your own vehicles or do you use external carriers?
Q: 21) What do you use as a basis for scheduling your vehicles or the vehicles of your
external carrier?
Q: 22) How do you respond to capacity constraints? Describe the contractual conditions.
A: During peak season if some customers gives bulk order, the vehicle is accordingly
arranged to supply the stock in time. In case in a lean season 2 to 3 orders are combined in
one delivery.
During import the tolerance limit of (+/-) 2% is allowed. If it exceeds the tolerance limits due
to the capacity of the vessel, the vendor should get concurrence from us. Based on the
approval it has been loaded.
Q: 23) Do you require shipment documents for physically transporting the merchandise? If
so, what form of document (e.g. paper, EDI)?
A: Yes.
Form 27 for Local transfers.
Form 20 for Interstate transfers.
A: 1. Commodity.
2. Consignee.
3. Quantity.
4. Value.
5. Tax details.
6. Vehicle number.
7. Destination.
Q: 1) Is freight charged to the customer or does the company absorb the cost?
A: Both.
A: Yes.
A: Freight costs will be posted to the accounts once the bill received from the transporters
as below.
Debit - Freight outward A/c
Credit - Transporter A/c
Q: 5) Do you verify invoices for your forwarding agents? If so, which rules do you use?
1.6.3. Shipping
1.6.3.1. Packing Processing
A: Normaly no further packing after the pouches are packed. In some cases, the product to
be supplied to a customer, who is located a long distance place ( Chennai to Delhi ), further
packing is done to enable to avoid extra transpotation cost, loading and unloading expenses
and leakages & damages.
A: Yes.
Q: 3) Do you want to use multi-level packing? That is, do you combine materials in other
units?
A: No
75
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: No.
Q: 5) Do you combine packed materials into other units (shipping units), for example,
several packages into one container?
A: Yes
A: Yes
Q: 8) Do you need direct verification for information on the physical packaging transaction
on the packing station for the R/3 System?
A: Yes
A: Not applicable
Q: 1) How much time elapses between the actual goods issue and its posting in the
system?
A: Immediately
A: Online.
A: Individually
76
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 4) Which documents are generated in conjunction with this posting and what information
do they contain?
Explanation: 1-step goods issue in which the GR at the receiving site is posted
simultaneously to the GI at the DC. simultaneously to the GI at the DC.
A: Not applicable
A: Plant.
Q: 2) At which level do you valuate material (for example, company level, plant level)?
A: Plant.
A: No
Q: 6) Do you use picking and packaging functions with scanners (radio frequency)?
A: No
Q: 7) Do you prepare raw materials for a production order on a scale and do you have to
ensure that exactly this material combination is used in the order?
A: No
77
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes.
A: Yes
A: - Vans
- Trucks
- Container trucks
- Tanker lorries
- Bullock cart
- Tri-Cycles
- Tempos
A: - All deliverable orders are shipped to customer based on the availability of stock.
- Goods are loaded in the carrier as instructed in Delivery Note to loading point, created
through
out-bound delivery from pending sales orders.
- A carrier may deliver goods to different customers on the same route.
- A carrier may carry goods of different different sister concerns to same or different
customers.
- Delivery Challan is printed out.
- Billing is done based on delivery and Invoice document is created.
- 2 copies (1 Customer copy + 1 verification copy) of Printed Delivery Challans and Invoices
are
handed over to driver of the carrier, who carries the goods to customers, after verification.
- In case of out satation delivery, Transit pass is also sent along with other documents.
78
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 8) Do you use one mode of transport per route or a combination of modes per route, e.g.
road, rail, sea?
A: Generally we use one mode of transport per route, but in some cases, we may use
combination of modes per route during export, strike,etc.,
A: Yes.
A: Yes.
A: Both.
Q: 14) Do you need to be able to enter your actual transportation data at a later point in
time (for example, time taken, distance travelled)?
A: Yes.
Q: 15) How do you determine shipment costs (for example, kilometers, volume)?
A: Shipment cost is determined by the volume of the cargo and distance to be travelled.
Q: 16) How do you carry out settlement accounting with the external carrier?
Q: 17) Do you charge stores for the costs of using your own vehicles?
79
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: No.
Q: 18) Do you handle several deliveries for different ship-to parties in one single shipment?
A: Yes.
Q: 19) According to which criteria do you group deliveries for one shipment?
Q: 20) Do you have your own vehicles or do you use external carriers?
Q: 21) What do you use as a basis for scheduling your vehicles or the vehicles of your
external carrier?
Q: 22) How do you respond to capacity constraints? Describe the contractual conditions.
A: During peak season if some customers gives bulk order, the vehicle is accordingly
arranged to supply the stock in time. In case in a lean season 2 to 3 orders are combined in
one delivery.
During import the tolerance limit of (+/-) 2% is allowed. If it exceeds the tolerance limits due
to the capacity of the vessel, the vendor should get concurrence from us. Based on the
approval it has been loaded.
Q: 23) Do you require shipment documents for physically transporting the merchandise? If
so, what form of document (e.g. paper, EDI)?
A: Yes.
Form 27 for Local transfers.
Form 20 for Interstate transfers.
A: 1. Commodity.
2. Consignee.
3. Quantity.
4. Value.
5. Tax details.
6. Vehicle number.
7. Destination.
80
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 1) Is freight charged to the customer or does the company absorb the cost?
A: Both.
A: Yes.
A: Freight costs will be posted to the accounts once the bill received from the transporters
as below.
Q: 5) Do you verify invoices for your forwarding agents? If so, which rules do you use?
A: No
Questions:
Q: 2) Are materials posted to quality inspection after goods receipt, or are they in
unrestricted-use stock?
Comments: QI for specific materials only. others are available for use directly after
receipt.
81
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes
A: Yes
A: No
Q: 6) Describe the individual steps from external goods receipt to final placement in storage
(putaway).
A: For Oil, Chemicals & Packing materials - Receive the truck, put the stock in quality
inspection,after QI the truck is weighed with the contents and unloaded in the respective tank
for unrestricted use.
For other items such as Electrical & Engineering spares - Receive the materials and place
them in unrestricted use stock.
Q: 7) Do you have capacity limits for your storage bins, for example, weight, volume...?
Explanation: Index for storage bin structure Index for storage bin structure
A: No
A: NA
A: NA
Q: 10) What kind of form (printout) do you need for stock putaways (GR slip, transfer order
form, sticker, etc.)?
A: N.A.
Q: 11) Is procured material pending inspection posted to stock or does it remain in the
goods receipt storage area? What happens with the samples: - Keep in GR area - post to
stock - move to inspection area?
82
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: Will procured material pending inspection be placed into permanent storage or
remain in the goods receipt storage area? What happens with the sample: - Keep in GR area
- place into warehouse - move to inspection area?
A: N.A.
Q: 13) Do you print the stock placement (putaway) document when the transfer order is
created?
A: No
A: N.A.
Q: 15) Please list the storage types that will have placement confirmation.
A: N.A.
Q: 16) Does your legacy system automatically determine the storage bin in which to place
the materials? Is this done manually?
A: N.A.
A: N.A.
Q: 18) Will you maintain placement strategies (for example, storage types, storage sections,
storage bins) for your stock materials?
A: NA
Q: 19) How many storage bins do you have per storage type?
A: N.A.
Q: 20) How many stock putaways (items) do you have per day?
A: N.A.
83
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Yes
Q: 22) Do you receive articles that have batch or serial numbers from vendors?
A: No.
A: No
Q: 24) Do you group together your pick list for multiple processing for a particular shipping
point, route, pick date, stock placement, stock removal?
A: NA
Q: 25) Do you receive materials with batch or serial numbers from vendors?
A: No.
Q: 1) Will you be required to retain costs for material that is inspected as a result of a stock
purge?
A: No
A: Yes
Q: 3) Do you enter data (for example, defects, characteristic results, specific findings) on
the defective material found in the stockroom or on the shop floor?
A: Yes
A: Yes
Q: 5) Which documentation should accompany the goods that are returned to the vendor?
Q: 6) Describe the handling of inspection lots where the usage decision has determined that
they are to be rejected and returned to the vendor.
A: The lot will be kept separately and returned to the vendor with the return delivery challan
84
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 1) Do you want to transport goods receipts to more than one physical storage facility?
A: Yes.
Q: 1) In the case of stock transfers, do you wish the material to be immediately available at
the receiving plant?
A: Yes
Q: 1) Do you inform the vendor of differences in your favor arising at the time of goods
receipt?
A: Yes.
Q: 2) Is the vendor supplied with a special document confirming the merchandise received
(or signature on corrected delivery note)?
A: Yes.
Q: 3) How do you handle stock differences that are noticed either at the time of transfer
order confirmation or continuous inventory based on bin-to-bin transfer?
A: N.A.
Q: 1) Do you maintain removal strategies (for example, storage types, storage sections,
storage bins)?
A: N.A.
Q: 2) Will you carry out multiple removals of stock from storage at one time?
A: No
Questions:
Q: 3) Which of these stock removal strategies are used for internal procurement?
A: [ ] Fixed bin
[ ] Large/small quantities
[ ] Random (manual)
[X] FIFO
[ ] User exit
[ ] Strict FIFO
[ ] Expiration date
[ ] Batch determination
85
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Q: 4) Do you currently create deliveries for internal procurement of materials from plant to
plant?
A: No
A: N.A.
Q: 6) Upon what does the your choice of strategy depend (only in the case of several
different strategies)?
A: NA
Q: 7) On which parameters does the storage bin search process depend when items are
removed from storage (e.g. article, type of movement, etc.)?
A: NA
Q: 8) Do you carry out complete pallet removals and subsequent return transfers? If so, to
which location is the merchandise returned?
A: NA
Q: 9) Which documents are generated, at which times, and with which information, when
stock is taken out of storage?
A: NA
A: NA
A: NA
Q: 1) How much time elapses between the actual goods issue and its posting in the
system?
86
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
A: Immediately.
A: Online
A: Individually
Q: 4) Which documents are generated in conjunction with this posting and what information
do they contain?
Explanation: 1-step goods issue in which the GR at the receiving site is posted
simultaneously to the GI at the DC. simultaneously to the GI at the DC.
Q: 2) Describe the cycle counting intervals. Specify plant, material, and interval.
Q: 1) Do you block the relevant stock during the physical inventory count?
87
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Explanation: Setting of flag when creating physical inventory Setting of flag when creating
physical inventory
A: Yes
Questions:
A: [ ] Other
[X] Unrestricted-use material
[X] Stock in quality inspection
[X] Blocked stock
[X] Consignment stock at customer
[X] Vendor consignment stock
[X] Vendors' returnable packaging
[X] Empties
Q: 3) Which types of physical inventory do you wish to use to count the materials in your
warehouses/stores?
Explanation: Linkage via ALE may be necessary Linkage via ALE may be necessary
A: NA
Q: 2) At what level do you analyze the results of inventory sampling (merchandise category,
layout, etc.)
A: NA
Q: 3) Will you use random sample profiles when carrying out physical inventories of
materials?
A: NA
88
Business Blueprint_MM.doc
ValueSAP - Business Blueprint
Plant,plant description, material, material description, date, stock type, location, UOM,
created by, physical inventory document number, status of the item / document, reference,
counted quantity.
A: N.A.
Q: 1) How do you carry out the physical inventory count (e.g. manually, using bar code
scanners)?
A: Manually.
A: No.
A: Yes. Tolerances will be specified at a later date in consultation with the Management
Q: 1) Who is responsible for posting physical inventory differences? Specify the persons
responsible and the maximum differences allowed.
89
Business Blueprint_MM.doc