Sales Order Management
SAP Best Practices for Retail (Brazil)
SAP Best Practices
Scenario Overview – 1
Purpose and Benefits:
Purpose

Sales Order Management describes a Business-to-Business (B2B) scenario: you sell to your known customer(s)
(with master data record), who in turn sell(s) the merchandise to their customers (wholesale function). In addition
to sales order processing functions, this scenario also includes the following process steps: credit limit check and
availability check, consignment, backorder processing, customer contract, product catalog, online store, customer
billing document, payment handling, and subsequent settlement.
Benefits

The entire document chain - presales phase, order, follow-up actions - forms a document flow or history. The flow
of data from one document to another reduces manual processing and facilitates problem solving.

Backorder fulfillment from returns stock allows you to manage how returns are to be allocated for backorders and
stock transfers: If the article is unused and can be readily shipped again, then it is quicker and more cost-effective
to use it to fill sales backorders or stock transfer orders rather than to move it back to unrestricted-use stock and
for subsequent picking and reshipment.
Key process flows covered









Creation of Standard Orders, Rush Orders, Third-Party Orders
Backorder Processing and Rescheduling
Creation of Customer Billing Documents
Payment Handling
Customer Returns Handling
Subsequent Settlement
Customer Consignment Handling
Customer Contract Handling
Product Catalog Handling
Scenario Overview – 2
SAP Applications Required:
Required

SAP EHP3 for SAP ERP 6.0
Company roles involved in process flows





Retail Sales Person
Retail Store Manager
Retail Warehouse Clerk
Accounts Payable Assistant
Accounts Receivable Assistant
Process Flow Diagram
Retail Warehouse
Clerk
Retail Store Manager
Retail Sales Person
Sales Order / Backorder Processing and Rescheduling
Standard Order/
Rush Order/
Third Party Order
Steps 3.3-3.5
3.8
Credit Limit
Check
3.9
Availability
Check
5.6
Analyze Sales
Document
Rescheduling
4
Backorder
Processing and
Rescheduling
4.1
Run CATT
4.2
Monitor the
Returns Stock
4.4
Monitor the
Returns Stock
after Distribution
4.3
Dirstibute
Returns Stock to
Backorders
4.5
Reschedule Sales
Documents
Sales Order: Alternatives
A Sales order is a customer request to the company for
the delivery of goods or services at a certain time.
The request is received by a sales area, which is then
responsible for fulfilling the order.
Standard order:
Merchandise will be collected or rather delivered and invoiced
afterwards.
Rush order:
Merchandise will be collected or rather delivered immediately and invoiced afterwards.
Third-party order:
Merchandise will be delivered directly by the vendor to the
customer. The ordering enterprise invoices to the customer
Cash sales order:
Merchandise will be collected and payed immediately.
Options in the order creation - 1
Cross Selling:
due to the entered article
additional related articles are
suggested
Dynamic Product Proposal:
due to the entered customer
the articles (History, PP...)
connected with this customer
number are suggested
Options in the order creation - 2
The credit limit check is a check, whether
a customer has already covered his credit limit
and which consequences are connected
with it (warning, fault, delivery block).
This check can be carried out in every sales document.
The delivery of a product to a delivery date is only possible
if this product is available for all processing steps to be
carried out before the delivery.
To guarantee this the availability check is used in the
order.
Backorder Processing
Check the returns stocks on goods
not damaged and not used
Listing of relevant requirements for
sales documents
Manual processing
Assignment of the ATPquantities
Backorder processing with a
selective list for sales
documents
Select and process
backorders for a particular
article
Rescheduling
Selection of the open sales document
Positions of the selected article
and
availability check
Analysis of the last rescheduling run
Customer Billing Document
“Customer billing document” is an umbrella term
for invoices, credit memos, debit memos, proforma invoices, and cancellation documents.
Billing represents the final processing stage for a
business transaction in Sales and Distribution
Process Flow Diagram
Customer Billing Document
Retail Sales Person
Alternative 1
5.4
Create Billing
Documnet Online
on the basis of
the Outbound
Delivery
5.3
Generate
Preceeding
Documents via
ECATT
5.6
Incoming
Payment in FI
Alternative 2
5.5
Generate
Collective billing
Document in the
Background
Payment Handling
The milestone billing in the billing plan is used for
the
payment processing of a deposit.
Milestone billing means, that the total value, which
should be
invoiced, is divided in several partial amounts in
the billing
plan (percentage/absolute), they are to be paid
at certain dates.
A milestone billing is a schedule with particular
billing dates.
Process Flow Diagram
Accounts Receivable
Assistant
Accounts Payable
Assistant
Retail Sales Person
Payment Handling
6.3
Down Payment
Agreement in the
Sales Oder
6.3.1
Down Payment
request in SD
6.3.2
Print the Down
Payment Request
(Screen)
6.3.4
Final Billing with
Down Payment
Clearing in SD)
6.3.5
Print the Final
Billing Document
(Screen)
6.3.3
Incomimg
Payment for the
Down Payment
Request in FI
6.3.6
Clear the
Payment that has
already been
made in FI
6.3.7
Incomimg
Payment in FI
Customer Return
There are various reasons for returning goods:
- The goods are damaged in some way so that they cannot be
transferred back into normal stock, but have to be returned
to the vendor.
- The customer did not like the goods and wants to replace
them. The goods can, however, be reused either fully or
partially.
- The customer did not like the goods and wants their money
back or a credit memo. The goods can be reused either
fully or partially.
When the returned goods are received from the customer,
they are initially posted into blocked returns stock. The
returned goods are checked and a decision is made as to what
to do with them, for example: breakage stock (returned
to vendor or destroyed), staff sales, transfer to
normal stock/distribution to backorders.
Process Flow Diagram
Customer Return
7.3
Preparations
Retail Sales Person
7.4
Execution
7.4.1
Create a Return
7.4.2
Create a
Returns
Delivery
7.4.3
Post the Goods
receipt for the
Returned Goods
7.4.4
Remove the
Billing Block
7.4.5
Create Credit
Memo
7.5.1
Full Transfer
Postingto
Unrestricted-Use
Stcok
7.4.6.2
Monitor the
Returns Stock
7.4.6.1
Issue the Credit
Memo
7.4.6
Release to
Accounting
7.5.5
Transfer from
Blocked Stock to
Return Delivery
Storage location
7.5.6
Stock Control
7.6
Create a Return
with Free of
Charge
Subsequent
Delivery
7.6.1
Create Returns
Order
7.6.2
Create a
Returns
Delivery
7.7.2
Create a Delivery
for the Free of
Charge
Subsequent
Delivery
7.7.1
Create a Free of
Charge
Subsequent
Delivery
7.6.6
Release the
Returns for
Subsequent
Processing
7.7.3
Goods Issue for
the Free of
Charge
Subsequent
Delivery
7.7.4
Check the
Document Flow
7.5.3
Transfer from
Rerurns Stock to
Blocked Stock
7.5.4
Stock Control
7.5.2
Monitor the
Returns Stock
7.6.5
Stock Display
7.6.4
Post the Goods
Receipt for the
Returns
7.6.3
Post the
Returns
Delivery
Process of Returns Handling
Finance:

Logistics:
Input of customer returns
Credit

note or

Subsequent delivery free of
charge

Stock

Input of customer returns

Goods receipt

Creation of customer returns order
Stock transfer posting

into unrestricted stock or

Dispatching to backorders

Transfer posting to returns stock

Stock correction (Input to
blocked stock)

Following processes

Log. invoice verification

Following processes

Return delivery to vendor

Invoice verification
Arrival of the return goods
Goods receipt posting
Posting in blocked stock
Evaluation of the return goods
Control of the goods
Decision of further use
Transfer back to
unrestricted stock
Transfer to
returns stock
Additional use I – unrestricted stock

Tranfer back to unrestricted stock

Allocate to open orders
Additional use II – returns stock

Transfer back to returns stock

Disposal
Subsequent process
Return delivery to vendor
Subsequent Settlement
As part of the subsequent settlement procedure,
you can offer a reduced price, for example,
when a customer buys certain quantities of
particular articles together, uses a customer
card for payment, or reaches or exceeds the
sales volume in a period that has been agreed
upon in advance.
Process Flow Diagram
Subsequent Settlement
8.3
Rebate
Processing (in
SD)
Retail Sales Person
8.3.1
Display the
Status of Rebate
Agreement
8
Subsequent
Settlement
8.3.1.1
Settlemenr of the
Agreement(s)
8.3.5
Display Sales
Volume Data
8.3.4.3
Create Billing
Document
8.3.6
Display Drill
Downs
8.3.7
Carry out
partcial
Settlement
8.3.2
Create Rebate
Agreement
8.3.4.2.3
Document Flow
8.3.7.1
Release Credit
Memo Request
for the Partial
Rebate
Settlement
8.3.3
Update the
Sales Volume
8.3.4.2.2
Create Transfer
Order and
Corfirm with GI
8.3.7.2
Bill Credit Memo
Request for the
Partial rebate
Settlement
8.3.10
Display
Payment
History
8.3.4
Generate ‚New‘
Sales Volume
8.3.4.2.1
Create Delivery
8.3.8
Release
Agreement for
Settlement
8.3.9.2
Bill Rebate Credit
Memo Request
for the Final
Settlement
8.3.4.1
Create Sales
Order
8.3.4.2
Outbound
Delivery
8.3.9
Create Final
Settlement
8.3.9.1
Release Rebate
Credit Memo
Request for the
Final Settlement
Customer Consignment
Consignment goods are goods that are stored at a customer
location but that are still owned by your company. From a
planning point of view this stock is no longer available and
is managed independently.
The customer is not obliged to pay for these goods until they
remove them from consignment stock. Otherwise, the
customer can usually return consignment goods that are not
required.
Consignment processing is advantageous to both parties.
Customers store the consignment goods at their own
warehouses. The customer can access the goods in the
consignment warehouse at any time. They are only billed
for the goods when they are removed from the warehouse
and only for the actual quantity taken.
Process Flow Diagram
Customer Consignment
Retail Sales Person
9.3
Consignment
Fill-Up
9.3.1
Create Delivery
9.4.1.2
Billing
9.3.2
Create and
Corfirm
Transfer Order
9.4.1.1
Goods Issue
9.3.3
Document Flow
9.3.4
Consignment
Stock
9.4.1
Alternative 1:
Consignment
Issue
9.4
Reduce the
Consignment
Stock at
Customer
9.5.3
Billing or Credit
Memo for the
Consignment
Return Created
9.5.2
Remove the
Billing Block
9.5.1
Goods Receipt
9.5
Optional Process
after
Consignment
Issue:
Consignment
Returns
9.4.2
Alternative 2:
Consignment
Pick-Up
Customer Contract
Customer contracts are outline customer
agreements that display when goods are
purchased within a certain time period.
Contracts are concluded with the customer so that
the purchasing/production and sale of goods
can be estimated better, which in turn enables
better conditions to be negotiated.
Process Flow Diagram
Retail Sales Person
Customer Contract
10.3.1
Quantity
Contract
10.3.2
Create Contract
release Order for
Quantity Contract
10.4.1
Value Contract
10.4.2
Create Contract
release Order for
Value Contract
Product Catalog
The product catalog is the basis for printed and
electronic catalogs. The catalog is maintained in
the SAP ERP System and can be transported to
external systems and processed as templates
for print catalogs or electronic catalogs (CDROM or Internet). IDocs and BAPIs are
available for exporting the catalog data.
Process Flow Diagram
Product Catalog
11.4
Maintain
Documents and
Texts in the
Article Master
Retail Sales Person
11.3
Create
Document Info
Records
11.5.3.1.2
Add Artcles
Layout Areas
Manually
11.5.3.1.3
Add Artcles
Layout Areas
Using the Default
Article
11.5.3.1.1
Create LowerLevel Layout
Areas
11.5.3.2
Alternative:
Create Layout
Hierarchy
Automatically
11.5.3.1
Create a Layout
Hierarchy
Manually
11.5.4
Maintain Texts
and Documents
for Articles and
Layout Areas
11.6.4
Link between
Promotion and
Product Catalog
11.5
Create a
Product
Catalog
11.5.3
Create the Layout
Hierarchy of the
Product Catalog
11.5.4.1
Maintain
Layout Areas
11.6.3
Promotional
Sales Prices
11.5.1
Create Basic
Data
11.5.2.2
Determine the
Pricing
Procedure
11.5.4.2
Maintain
Articles
11.6.2
Create layout
Hierarchy
11.5.2
Pricing in the
Product
Catalog
11.5.2.1
Customer
Pricing
Procedure
11.6
Create a
Promotion
Product Catalog
11.6.1
Create Basic
Data
Legend
<Function>
Symbol
Description
Usage
Comments
Band: Identifies a user role, such as Accounts
Payable Clerk or Sales Representative. This band
can also identify an organization unit or group,
rather than a specific role.
Role band
contains tasks
common to that
role.
Symbol
Diagram
Connection
The other process flow symbols in this table go into
these rows. You have as many rows as required to
cover all of the roles in the scenario.
Hardcopy /
Document
External
to SAP
External Events: Contains events that start or end the
scenario, or influence the course of events in the
scenario.
Business
Activity /
Event
Flow line (solid): Line indicates the normal sequence
of steps and direction of flow in the scenario.
Flow line (dashed): Line indicates flow to infrequentlyused or conditional tasks in a scenario. Line can
also lead to documents involved in the process flow.
Connects two
tasks in a
scenario
process or a
non-step event
Business Activity / Event: Identifies an action that
either leads into or out of the scenario, or an outside
Process that happens during the scenario
Does not
correspond to a
task step in the
document
Unit Process: Identifies a task that is covered in a
step-by-step manner in the scenario
Corresponds to
a task step in
the document
SubProcess
Reference
Proces
s
Decisio
n
Usage Comments
To next / From last Diagram: Leads
to the next / previous page of the
Diagram
Flow chart continues on the next /
previous page
Hardcopy / Document: Identifies a
printed document, report, or form
Does not correspond to a task
step in a document; instead, it is
used to reflect a document
generated by a task step; this
shape does not have any outgoing
flow lines
Financial Actuals: Indicates a
financial posting document
Does not correspond to a task
step in a document; instead, it is
used to reflect a document
generated by a task step; this
shape does not have any outgoing
flow lines
Budget Planning: Indicates a
budget planning document
Does not correspond to a task
step in a document; instead, it is
used to reflect a document
generated by a task step; this
shape does not have any outgoing
flow lines
Manual Process: Covers a task
that is manually done
Does not generally correspond to
a task step in a document;
instead, it is used to reflect a task
that is manually performed, such
as unloading a truck in the
warehouse, which affects the
process flow.
Existing Version / Data: This block
covers data that feeds in from an
external process
Does not generally correspond to
a task step in a document;
instead, this shape reflects data
coming from an external source;
this step does not have any
incoming flow lines
System Pass / Fail Decision: This
block covers an automatic
decision made by the software
Does not generally correspond to
a task step in the document;
instead it is used to reflect an
automatic decision by the system
that is made after a step has been
executed.
Financial
Actuals
Budget
Planning
Manual
Proces
s
Unit Process
Process
Reference
Description
Process Reference: If the scenario references another
scenario in total, put the scenario number and name
here.
Sub-Process Reference: If the scenario references
another scenario in part, put the scenario number,
name, and the step numbers from that scenario here
Process Decision: Identifies a decision / branching
point, signifying a choice to be made by the end
user. Lines represent different choices emerging
from different parts of the diamond.
Corresponds to
a task step in
the document
Corresponds to
a task step in
the document
Does not
usually
correspond to a
task step in the
document;
Reflects a
choice to be
made after step
execution
Existing
Version /
Data
System
Pass/F
ail
Decisio
n