SAP Training

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2. Disclaimer • Core and End User Training sessions are mainly focused on IISc specific configured and customized SAP Applications. Request all the participants to concentrate on the training sessions and learn how to operate SAP Business Functions. • The purpose of this training is to enable Users to perform User Acceptance Testing and day-to-day activities on SAP System. • This training is not designed for any Business Scenarios discussion and demonstration. Kindly keep your mobile phones in silent mode and maintain moderate discussion

3. Indian Institute of Science SAP S/4HANA Implementation Project Project : ISTAR SAP Core User Training Sourcing & Procurement Wipro Team Oct 23, 2018

4. Course Overview 1 Course Goals 2 Course Objectives 3 Course Contents 4 Main Business Scenario 5 Introduction of Source to Procure Process for IISc

5. Course Goals This Course will prepare you to : • Understand how “Source to Procure Process” supports different business processes in IISc (Domestic, Import and Work Order) • Adopt and apply the customized S/4 HANA application on day to day operations.

6. Course Objective After Completing this Course, you will be able to : • Understand the IISc specific Source to Procure business processes (Domestic, Import and Work Order) • Apply this software to manage your day to day operations • Generate real time operational report to have better control • Prepare Business Users to conduct User Acceptance Test and End user Training

7. Course Content Preface: • Course Overview • Organization Structure • Master Data • Purchase Requisition • Request for Quotation • Vendor Selection • Purchase Contract • Purchase Order • Invoice Verification • Information Systems

8. Main Business Scenario • IISc procures material for their research and internal consumption purpose. All the procurement has own funds/grant from many different sponsors. Each procurement types has unique Approval Matrix (Purchase Powers) based on value and the nature of procurements. • The Institute wants to fulfill the requirements and pain points captured during the Business Blueprint. • It could be best, if approval process could remains unchanged and automated.

9. Introduction of Source to Procure

10. General Concepts: Apply Procurement Rule What kind of Material / Services will IISc Procure? Master Data : Material, Services and Business Partner; Purchase Requisition Request for Quotation; Vendor Quotation Comparison What stage will the decision takes place for Procurement? Purchase Order; Approvals, Automatic Commitment; Issues Purchase Order Local/Foreign What and which budget IISc consume for Procurement? How and where to receive and Issues the Material? Goods Receipt; Goods Issues How to check Quality and process for Vendor Payment? Quality Inspection ; Invoice Verification Which Reports are to control the inventory and due date? Reporting

11. Day - 1

12. ORGANIZATION STRUCTURE

13. Organizational Structure Company code is a Legal Entity which generates the Financial Statements of the Organization. Company Code (IISC) Purchasing organization is responsible for all procurement activities within the organization. Purchasing Org An operating area within a company. Purchasing Groups (IISC Depts.) Plant (IISC) A group of people who are responsible for Procurement. Storage Location is a place where you can store physical material. Stor. Loc (Library 2) Stor. Loc. (Library 1) Stor. Loc. (Raw materials) Stor. Loc. (Bio-chemistry Lab)

14. IISc Purchase Organizational Structure Company Code (1000-IISC) Purchasing Org 1000 – IISc Plant (IISC Department) Purchasing Groups (IISC Depts.) Stor. Loc. Main Storage Location

15. Vendor Payment Purchase Requisition Sourcing and Procurement IISc Source to Procure Request for Quotation Invoice Verification Goods Receipt & Inventory Management Vendor Selection Purchase Order • Local Procurement • Import Procurement • Work Order

16. MASTER DATA

17. Master Data 1 Material Master Data (Create, Change & Display) 2 Service Master Data (Create, Change & Display) 3 Business Partner Master Data (Create, Change & Display)

18. Master Data Material Master Definition The material master contains information of all the materials that IISc procures, stores and uses for internal consumption or projects. It is the company's central source for retrieving material specific data. This information is stored in individual material master records. For IISc Specific Configuration Material Group Industrial Sector Material Type

19. Material Master Structure Basic / General Information Storage Location Information Material Master Quality Management Information Plant Information Material Requirement Planning Information Accounting Information Sales and Distribution Information Purchasing Information Costing Information Following Fiori Apps are enabled to Create/Change/Display Material Master in IISc

20. Create Material Master Demo on SAP System Create/Change/Display Material Master Demo data • Industry Sector: Research Institute • Material Type: IISc Goods • Select Views: Basic Data1 / Purchasing / International Trade: Import / General Plant Data / Storage 1 / Accounting 1 / Costing 1 • Plant: 1044 • Stor. Location: MS01 • Description: • Base Unit of Measure: EA • Material Group: 007 – Stationary • Tax Indicator for Material: 1 – Tax Applicable • Control Code: 998111 • Valuation Class: 3109 • Price Control: V • Profit Center: AM01 Demo process on SAP System • Create Service Master • Change Service Master • Display Service Master

21. Master Data Service Master Definition • Service in a intangible goods, which can be procured from vendor. Service master contains the service number, description, characteristics etc. It supports the complete cycle with procurement as well as invoice verification.  • Services are meant for direct consumption instead of keeping them in inventory For IISc Specific Configuration Material/Service Group Service Category

22. Service Master Structure Service Category information Basic / General Information Service Master Internal Work information Accounting Information Long text information Purchasing Information Following Fiori Apps are enabled for Service Master in IISc

23. Create Service Master Demo on SAP System Create/Change/Display Service Master Demo data • Service Short Text: Excavation Service • Service Category: IISc Service • Base Unit of Measure: AU • Mat./Srv Grp: 099 • Valuation Class: 3201 • Tax Tariff Code (SAC Code): 997212 • Long Text: Demo process on SAP System • Create Service Master • Change Service Master • Display Service Master

24. Master Data Business Partner Master Definition Use of the business partner master data is to record and retrieve business partner (customers, vendors and leads) information and schedule business partner activities. Business partner information typically includes - Company details, addresses and telephone numbers. For IISc Specific Configuration Business Partner Role Following Fiori App enables For Business Partner Master

25. General dataAddress Communication Valid for the whole group Purchasing dataOrder currencyIncotermsMinimum order value Valid for one purchasing organization Accounting dataBank dataPayment transactionsAccount management Valid for the whole group or for one company code Business Partner (Vendor) Master Client Level Purchase Org Level Company Code Level

26. Create/Change/Display Business Partner Demo on SAP System Create/Change/Display Business Partner Demo data • Click on “Create Organization” • Grouping: DOMS – IISc Domestic Business Partner / FORE – IISc Foreign Business Partner • BP Roles: 000000 – (Business Partner General) FLVN00 – (Vendor Co. Code) FLVN01 – (Vendor Purchase Org) • Name: • Search Term: • Street/House number: • Postal Code/City: • Country: • Region: • Language: • Telephone: • Mobile Phone: • E-mail: • Tax Number Category: IN3 and enter Vendor GSTIN number

27. Create/Change/Display Business Partner Demo on SAP System Create/Change/Display Business Partner Demo data • Company Code: 1000 • Reconciliation Account: 100601 –Normal Creditor • Sort Key: 012 – Vendor Number • Payment Terms: 0001 - Pay immediately w/o deduction • Purch. Organization: 1000 - IISc Purchasing Org. • Order Currency: INR • GR Based Inv Verification: X • Service Based Inv. Verification: X • Schema Grp Supplier: “BLANK” - Standard schema vendor / “03” - IISc foreign schema vendor

28. Source to Procure Purchase Requisition

29. Source to Procure – Purchase Requisition Purchase Requisition Definition Purchase Requisition is a request that is made to purchasing organization to procure certain list of material. Purchase requisition is an internal document; specifically it remains within the organization. For IISc Specific Configuration Purchase Requisition Types

30. Demo on SAP System Create/Change/Display Purchase Requisition Demo data • Document Type: ZDPR – IISc Domestic PR • Material Number: 1000000080 • Quantity: 10 • Delivery Date: • Plant: 1044 • Purchase Group: A18 • Valuation Price: • Header Note: • Item Texts: Demo process on SAP System • Create Purchase Requisition • Change Purchase Requisition • Display Purchase Requisition

31. Thank you...! End of Day 2

32. Day - 3

33. Source to Procure Request for Quotation

34. Source to Procure– Request for Quotation Request for Quotation Definition Request for quotation is a form of invitation that is sent to vendors to submit quotation indicating pricing and their terms and conditions. RFQ contains details about goods or services, quantity, date of delivery and date of bid on which it is to be submitted. For IISc Specific Configuration Request for Quotation Types

35. Create/Change/Display Request for Quotation Demo on SAP System Create/Change/Display Request for Quotation Demo data • Document Type: ZR – IISc RFQ • Quotation Deadline: • Purchase Organization: 1000 • Purchase Group: A18 • Purchase Req.: 4000000026 • Collective No.: Put Purchase Requisition number • Delivery Date: 30.10.2018 • Vendor: Click on Supplier Address and select vendor • Header Texts: Terms of Delivery • Item Details: Demo process on SAP System • Create Request for Quotation • Change Request for Quotation • Display Request for Quotation

36. Source to Procure Quotation Comparisons

37. Source to Procure– Quotation Comparisons Quotation Comparisons Definition You can compare the prices from all quotations received as a result of a competitive bidding process using the Price Comparison List . The comparison list ranks the quotations by item from lowest to highest price.

38. Display Quotation Comparison Demo on SAP System Display Quotation Comparison

39. Source to Procure Purchase Contract

40. Source to Procure – Purchase Contract Purchase Contract Definition A purchasing contract defines the purchasing and supply of goods or services at agreed prices and conditions. The quantity and value of the purchase orders, limit confirmations, and invoices are released against the contract. For IISc Specific Configuration Purchase Contract

41. Create/Change/Display Purchase Contract Demo on SAP System Create/Change/Display Purchase Contract

42. Day - 4

43. Source to Procure Purchase Order

44. Source to Procure– Purchase Order Purchase Order Definition A purchase order is a formal request or instruction from a purchasing organization to a vendor or a plant to supply or provide a certain quantity of goods or services at or by a certain point in time. For IISc Specific Configuration Purchase Order

45. Create/Change/Display Purchase Order Demo on SAP System Create/Change/Display Purchase Order

46. Day - 5

47. Source to Procure Goods Receipt

48. Source to Procure – Goods Receipt Unrestricted-use stock Stock in quality inspection Blocked stock Goods Receipt Definition Goods receipt blocked stock Conditional Acceptance WBS A goods receipt is the physical inbound movement of goods or materials into the warehouse. It is a goods movement that is used to post goods received from external vendors. Storage Location Vendor Consumption Account Assignment object (Non Stock Materials) Cost center Order

49. Source to Procure Invoice Verification

50. Source to Procure – Invoice Verification Invoice Verification Definition Invoice Verification is a process which confirms in SAP that an invoice has been received by the Department. Goods receipt will have to have been entered on SAP prior to invoice verification unless that process has been by-passed at the raising of the purchase order..