Chapter 4 Integrated BP

Chapter The Fulfillment Process Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Learning Objectives Describe the organizational levels associated with the fulfillment process List and explain the master data associated with the fulfillment process Identify the key steps in the fulfillment process and the data, documents, and information associated with each step Discuss the role of the credit management process in fulfillment Effectively use SAP® ERP to execute the key steps in the fulfillment process Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Learning Objectives (Continued) Explain how and why fulfillment is integrated with other processes Utilize SAP ERP to extract meaningful information about the fulfillment process Magal and Word | Integrated Business Processes with ERP Systems | © 2011 A Basic Fulfillment Process Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Organizational Data  Client  Company code  Sales organization  Distribution channel  Division  Sales area  Plant (shipping plant)  Storage location  Shipping point  Credit control area Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Sales Organization  Responsible for  Distributing goods and services  Negotiating sales conditions  Product liability and rights of recourse  Used to divide the market based on geographic regions  Highest level of aggregation in sales-related reporting  A company code must have at least one sales organization Magal and Word | Integrated Business Processes with ERP Systems | © 2011 GBI Sales Organizations Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Distribution Channel  Responsible for getting materials to customers  Used to  Differentiate distribution strategies or approaches  Different pricing, responsibilities  Wholesale sales, retail sales, Internet sales  Statistics and reporting at the DC level  A sales organization must have at least one distribution channel Magal and Word | Integrated Business Processes with ERP Systems | © 2011 GBI US Distribution Channels Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Division  Used to consolidate materials with similar characteristics  Different sales strategies, pricing agreements  Statistics and reporting at the DC level  Associated with product lines  A sales organization must have at least one division  Can be assigned to multiple sales organizations 10 Magal and Word | Integrated Business Processes with ERP Systems | © 2011 ... | Integrated Business Processes with ERP Systems | © 2011 GBI US Divisions 11 Magal and Word | Integrated Business Processes with ERP Systems | © 2011 GBI DE Divisions 12 Magal and Word | Integrated. .. Distribution channel  Division 13 Magal and Word | Integrated Business Processes with ERP Systems | © 2011 GBI Sales Areas 14 Magal and Word | Integrated Business Processes with ERP Systems | ©... credit for one or more company codes 24 Magal and Word | Integrated Business Processes with ERP Systems | © 2011 Centralized Credit Control Area 25 Magal and Word | Integrated Business Processes with