Monday, October 31, 2016 Page : 1 Project “TATWEER” L3 TRAINING - SD Session No #1 Topic – Enterprise Structure Date : 27 th June 2015

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 2 Enterprise Structure SAP enterprise structure is organizational structure that represents an enterprise in SAP R/3 system. It consists of some organizational units which, for legal reasons or for other specific business-related reasons or purposes, are grouped together. Organizational units include legal company entities, sales offices, profit centers, etc. Organizational units handle specific business functions. Organizational units handle specific business functions.

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 3 Equipment Master - Creation Organization Elements of Sales & Distributions Following are some of the organizational units related to SAP Sales & Distribution module. Organizational units handle specific business functions. Sales Organization Distribution Channel Division Sales Area Plant & Storage Location Shipping Point Warehouse

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 4 Sales Organization Sales Structures Sales Organization Organizational unit responsible for the sale of certain products / services Selling unit in the legal sense, being responsible for product liability and customer claims Included in exactly one Company Code Maintains an address

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 5 IHSC (Ibrahim Hassan Shaker Company) Shaker Group ISC (Ibrahim Shaker Company) Sales Organization HGISC (Hassan Ghazi Ibrahim Shaker Company) ASDA Company Code Sales Organization HGISC (Hassan Ghazi Ibrahim Shaker Company) IHSC (Ibrahim Hussein Shaker Company) ISC (Ibrahim Shaker Company) ASDA

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 6 Sales Structures Distribution Channel The way products / services reach customers (wholesale, retail, direct sales, etc.) Information about customers and materials can be maintained by Sales Organization and Distribution Channel Within a Sales Organization, goods can be delivered to a given customer through more than one Distribution Channel Mandatory entry for creation of a Sales order & master data like Customer & Material Master

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 7 Division Grouping of materials, products, or services for accounting and reporting purposes Assigned in the material master Used to determine the Sales Areas and Business Areas for a material or service Mandatory entry for creation of a Sales order & master data like Customer & Material Master

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 8 Sales Area The sales area is the combination of a distribution chain (a sales organization and a distribution channel) and a division. Sales Areas are required for carrying out any transactions in sales or any master data in sales section. Mandatory entry for creation of a Sales order & master data like Customer & Material Master Graphical representation of the sales areas are shown in the following slide

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 9 Sales Areas in Shaker Group –OverView

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 10 Sales Structures Plant & Storage Locations Plant is Usually a manufacturing facility, warehouse, or a location within a company that stocks, manages and valuates inventory. The plant are defined to be based on location Jeddah Riyadh Al Khobar Khamis Mushait Qassim Plant & Storage location are organizational units that can be used by all logistic area in the system.

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 11 Sales Structures Plant & Storage Locations Below are few of the plants defined currently to be based on location Around 270 plants currently in the system Below are the storage locations that exist for the plant These storage locations exists for every plants defined currently. Storage locations are categorized based on type of the material. Plant & storage locations are mandatory entries in sales order

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 12 Sales Structures Organizational unit that reflects the geographical aspects of a sales organization. A sales office would be considered as a separate team who establishes contact between Shaker Groups and the regional market. The definition of sales offices is optional. You can use the SD System without creating sales offices. You assign a sales office to one or more sales areas. Sales Offices

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 13 Sales Structures The shipping point is the top level in the organization for shipping. Each plant would be assigned to a shipping point. Shipping points in Shaker Group share the same name as their respective plants Shipping Point

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 14 Sales Structures Sales Groups The sales groups can be defined in terms of different teams HGISC, IBC Etc. Or the Sales group can be defined in terms of teams like CAC, LG etc. The decision is to be based upon Sales team Shaker Group. The further segregation of sales area on base of their Geographical Location. We can have combination of both the above criterions to prepare a details list of all the teams or Groups of people who are responsible for the sales

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 15 Credit Control Area Grouping of materials, products, or services for accounting and reporting purposes Organizational unit for specifying and controlling customer credit limits Can span one or more Company Codes Not possible to divide a Company Code into several Credit Control Areas Customer credit limits can be maintained at two levels Across Credit Control Areas Within a specific Credit Control Area Sales Structures

SAP L3 Training - CUSTOMER SERVICE Monday, October 31, 2016 Page : 16 Thank You Equipment Master - Creation