7059 TSCM 50 2 parte (12 16)

E-MSG

MÁSTER EN SOFTWARE DE GESTIÓN DE EMPRESA
SAP R/3

2003-2004
Certificación MM (7059)
Juan Carlos Sarrasi-Xavier Rovira
TSCM 50-2ª parte (12-16)

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SAP AG 1999

Source Determination

Source Lists

Quota Arrangements

Source Determination

Contents:

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SAP AG 2002

Source Determination: Unit Objectives

Describe the different kinds of master data for
source determination.

Carry out maintenance of source lists and
quota arrangements.

Demonstrate the process of automatic source
determination.

At the conclusion of this unit, you will be able to:

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SAP AG 2002

Source Determination: Overview Diagram

Master Data for

Purchasing

Sources of Supply 1:

Info Records

Sources of Supply 2:

Outline Purchase Agreements

Source Determination

Optimized Purchasing

Document Release

(Approval) Procedure

Purchasing

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More than one possible source exists for some of
your materials.

Use source lists and quota arrangements to
manage these sources. When a requisition is
created manually or through MRP, the R/3 System
determines the correct source.

Source Determination: Business Scenario

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SAP AG 2002

Outline
agmt. with

Plant 1000

Material

Vendor A

Vendor B

Vendor C

Info record

Permissible

source

Permissible

source

10% of

requirements

90% of

requirements

Source list

Quota arr.

Master Data for Source Determination

In the SAP R/3 System, a source of supply can be a vendor (external supplier) or an outline
agreement.

Sources are administered using source lists and quota arrangements.

With the source list, you define the preferred or allowed sources of a material. With the quota
arrangement, you specify the share of total requirements over a period to be procured from each
source.

Source list records and quota arrangements are used in source determination. The purpose of source
determination is to make it possible for a purchase requisition to be assigned to a source
automatically.

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SAP AG 2002

Source list

Material 1
Plant 1000

01.01. - 12.31.
Vendor A allowed
Vendor B allowed

Vendor C blocked

Material 2
Plant 1000

01.01. - 06.30.
Vendor Z fixed

07.01 - 12.31.
Vendor Y fixed

Plant 1000
Source list reqt.

Material 1
Source list reqt.

Material

Source List

The source list contains the allowed, preferred, or blocked sources of supply for a material in a plant
that are valid within a certain period. Each source is defined in the source list by a source list record.

Source list records enable you to determine and check sources.

Fixed sources are always preferred over other sources in the relevant validity period. Only one fixed
source may exist for a material within a certain validity period.

Buyers are not allowed to procure from blocked sources. Blocked sources are not taken into account
in source determination.

The MRP indicator in the source list stipulates how the source defined in a source list record is taken
into account in materials planning.

If a source list requirement exists, a material may not be procured from sources other than those
included in the source list. A source list requirement can be specified either for an individual material
(in the material master), or for all the materials of a plant (using a Customizing parameter).

Source list analysis enables you to list the materials of a plant for which no source list records exist
during a certain period. This function is useful in the case of a source list requirement (use of source
list mandatory).

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SAP AG 2002

Source list

Manual

maintenance

Maintenance from

outline agreement

Maintenance from

purchasing info

record

Automatic

generation

Sourcing suggestion in

requisition via source

determination function

Check in PO and

requisition that source

is allowed

Source List Maintenance

Source list records facilitate the source determination process and the checking of sources.

Source list records can be created manually, either directly or from within outline agreement or info
record maintenance.

If you maintain the source list from within a centrally agreed contract or a cross-plant info record,
you can create source lists for several plants in a single process.

You can create the source list for a material by referencing another material.

You can have source list records generated automatically on the basis of info records or outline
agreement items for a single material (individual procedure) or several materials (collective
procedure).

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SAP AG 1999

Maintain

source list

Contract no. ...
Item ...

Mat.
group

OFFICE

Plant

1000

Valid from 01.01.
Valid until 12.31.

Exclusion of
materials:

- Material 1
- Material 2
- Material 6

Contract

Item
cat.

Short
text

Mat.
group

Office
supplies

OFFICE

Source List Record for Material Group

Within the contract maintenance function, you can create source list records for a material group for
contract items with the item category M (material unknown) or W (material group).

Source list records for material groups define which materials can be released against a contract item
with item category M or W.

You can list either all disallowed materials (exclusion of materials) or all allowed materials
(inclusion of materials). To exclude materials, you must retain the standard setting of the exclusion
indicator. To include materials, you must deselect the exclusion indicator.

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SAP AG 1999

Defaults in requisn.

via source deter-

mination function

Manual maintenance

Quota

arrangement

Vendor

60%

40%

Updating from

purchasing documents

and planned orders

Quota file

Validity period
Procurement type

Special proc. type

Vendor

Procurement plant

Quota

Quota base quantity

Quota-allocated qty.

Updating of Quota Arrangement

In the case of procurement from sources for which quotas have been specified in the current validity
period, the system calculates which source is the next in line with respect to a certain requirement.
This assessment is carried out when you have the source for a requested material determined by the
system. The calculation is made on the basis of the specified quota, the continually updated quota-
allocated quantity and, in certain cases, the quota base quantity.

The quota-allocated quantity is the total quantity from all requisitions, purchase orders, contract
release orders, scheduling agreement delivery schedules and planned orders that are assigned to a
source of supply (provided that these documents are to be taken into account according to the quota
arrangement usage indicator). The quota-allocated quantity is updated automatically for each order
proposal to which a quota arrangement is applied.

Among other things, the quota arrangement usage indicator stipulates the business application areas
from which the quota-allocated quantity is updated progressively.

The quota base quantity is treated as an additional quota-allocated quantity. The quota base quantity
can be used when a source is newly included in an existing quota arrangement, for example, to
prevent the new source being assigned all requirements until its quota-allocated quantity exceeds the
quota-allocated quantity of one of the old sources.

A quota arrangement item is no longer suggested as the source if the quota-allocated quantity is
equal to or greater than the maximum quantity.

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SAP AG 2002

Quota arrangement

Material

Plant

1000

Valid from:

Valid until:

07.01

12.31

Vendor

A
B

Quota

4
1

Quota-alloc. qty.

1000

100

Quota

arrangement

Vendor

60%

40%

Quota rating =

Quota-alloc qty./quota

Calculation of the Quota Rating

In the case of sources for which a quota has been defined in the current validity period, the system
calculates which one is to be selected next to cover a requirement.

The system calculates a quota rating for each source as follows:

Quota rating = (quota-allocated quantity + quota base quantity) / quota

The source with the lowest quota rating represents the effective source, even in the case of a quota
rating of zero (the quota-allocated quantity and quota base quantity have the value zero). If more
than one source has a quota rating of zero, the one with the highest quota is the effective source.

The quota base quantity should be used if a new source is included in an existing quota arrangement.
The quota base quantity enables you to prevent a situation in which the new source is assigned all
requirements until its quota-allocated quantity exceeds the quota-allocated quantity of one of the old
sources.

You can instruct the system to calculate the quota base quantity for a new source within an existing
quota arrangement.

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SAP AG 1999

Outline agreement item

Fixed vendor

Outline agreement item

Source List

Source list

Pc.

Conditions

Pc.

Conditions

Info record

Purchase
requisition

Outline

agmt.

Quota

arrangement

Vendor

60%

40%

Priorities in Source Determination

Possible sources are determined and suggested by the system according to the following priorities:

The system first checks whether a quota arrangement whose validity period covers the delivery

date in the purchase requisition exists for the material. If so, the system calculates from which
vendor the material is to be procured on the basis of the quotas stipulated for the vendors.

If no quota arrangement exists, the system attempts to determine a suitable source on the basis of

the source list.

If the source list contains neither a vendor nor an outline agreement item, the system attempts to

find a contract or a scheduling agreement for the material. If outline agreements exist for the
material, these will be suggested as possible sources. The system also searches for suitable info
records and suggests these for the material.

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SAP AG 1999

Info record

Materials Without a Master Record

User

dept.

User

dept.

PReq

Notepad,
unruled
Mat. group:
OFFICE

Vend. A

PReq

Notepad,
unruled
Mat. group:
OFFICE

Vendor B
Contract no. 1

Info record

Vend. A
Notepad,
unruled
Mat. group:
OFFICE
Price 2.50

Source

determination

Source

assignment

Info record

Contract

no. 1

Vend. B
Asst. notepads
Mat. group:
OFFICE
Price 2.40

Source

determination

Source

assignment

If there is a possible source of a material without a master record whose material group is identical to
that of the requested material, you can instruct the R/3 System to find this source and assign it to the
requisition.

If there are several sources of a material without a master record whose material group is identical to
that of the requested material, you can choose the source you want to use from the list.

If a material-group contract and an info record without a material master record exist for a material
without a master record, the contract is suggested as the preferred source.

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SAP AG 2002

RFQ

Sch. agmt.

Contract

Blocking of Sources

Quota arr. for material 3

Vend.

C
D

Quota

1
1

Quot.-all. qty.

1000

PReq

Mat. 3
10 pcs.

Source

Vend. D

Pur. order

Vend. B
Mat. 1 10 pcs.
Mat. 2 10 pcs.

Vendor A

Blocked
Pur. org.

Pur. order

Mat. 1

Vend. A

Quota arr. for mat. 2

Vendor A

10%

Mat. 1

Vendor B

Mat. 2

Vendor B
blocked

Mat. 3

Vendor C
blocked

Source list

Vendor D
allowed

Source list

Vendor

60%

40%

In certain cases, you want to prevent materials from continuing to be procured from a particular
vendor (for example, if the latter has recently supplied goods of unsatisfactory quality). You can
block such a vendor for procurement purposes by making the appropriate entry in the vendor master
record. The block applies to all purchasing organizations or to one selected purchasing organization.

You can impose a block specifically for quality reasons from within Quality Management.

You can impose a block on a vendor with respect to a single material in the source list.

The block in the source list is taken into account when purchase requisitions are created manually.
The blocked vendor or outline agreement is not suggested as the source of supply even if it happens
to be the effective source according to the quota arrangement.

You cannot issue purchase orders to blocked sources.

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You are now able to:

Source Determination: Unit Summary

Describe the different kinds of master data for
source determination.

Carry out maintenance of source lists and quota
arrangements.

Demonstrate the process of automatic source
determination.

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Exercises

Unit: Source Determination
Topic: Source Determination for Purchase Requisitions

At the conclusion of this exercise, you will be able to:
• Describe the different kinds of master data for source determination.
• Carry out maintenance of source lists and quota arrangements.
• Demonstrate the process of automatic source determination.

For some of your materials, there exists more than one possible source. In
order to manage these sources, you will use source lists and quota
arrangements. When a purchase requisition is created manually or by
MRP, the SAP R/3 system can then determine the correct source.

1-1

Create a new material master with the following data:
Material number:

T-REZ##

Industry sector:

Mechanical Engineering

Material type:

Raw material

Views:

Purchasing, MRP 1, MRP 2, Accounting 1

Plant:

1000

Description:

(Make your own)

Base unit of measure:

Purchasing group:

Z##

Material group:

LO520

Purchasing value key:

MRP type:

Planned delivery time:

Valuation class:

3000

Price control:

Moving average price: 12

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1-2

Create a purchase requisition for your new material T-REZ##. Ensure that the
source determination indicator is set. Assign the requirement tracking number
LO520 to your requisition.

You can set your tracking number LO520 as the default value in
your personal settings or enter it in each line item.

Plant:

1000

Quantity:

100 pc

Delivery date: in

four weeks

Go to the item detail screen.
1-2-1 Was a source assigned by the system?

______________________________________________________
Save your purchase requisition.
Requisition number: _____________________________________

1-2-2 Add this task to your Favorites.

1-3

Create an info record for your new material:
Vendor:

T-L20A##

Material:

T-REZ##

Purchasing organization: 1000
Plant:

1000

Standard quantity:

100 pc

Purchasing group

Z##

Net price:

12.20

1-4

Create another purchase requisition for your material. Ensure that the source
determination indicator is set. Assign the requirement tracking number LO520 to
this purchase requisition, too.
Plant:

1000

Quantity:

100 pc.

Delivery date: in

four weeks

1-4-1 Was a source assigned by the system? If so, which?

______________________________________________________
Save your purchase requisition.
Requisition number: ________________________________________

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1-5

Create a second info record for your new material.
Vendor:

T-L20B##

Purchasing organization: 1000
Plant:

1000

Standard quantity:

100 pc

Purchasing group:

Z##

Net price:

11.90

1-6

1000

Quantity:

100 pc

Delivery date: in

four weeks

1-6-1 Was a source assigned by the

system?_______________________________________________
How would you assign a source? _____________________________
Save your purchase requisition.
Requisition number: ________________________________________

1-7

Create a source list for your material T-REZ## in plant 1000.
1-7-1 The validity period of the source list records is to begin today and end on

December 31 of next year.

1-7-2 Enter the vendors T-L20A## and T-L20B## as possible sources in

purchasing organization 1000. Set your vendor T-L20B## as a fixed source.

1-7-3 Add this menu to your Favorites.

1-8

Create another purchase requisition for your material. Ensure that the source
determination indicator is set.
Quantity:

50 pc

Delivery date: in

four weeks time

1-8-1 Was a source assigned by the system? If so, which?

______________________________________________________
Save your purchase requisition.
Requisition number: ________________________________________

1-8-2 Create a PO referencing this requisition. What vendor was automatically

chosen?

__________________________________________________________

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1-9

Change the material master record for material T-REZ## in plant 1000.
Enter usage indicator 3 for quota arrangement on the Purchasing view and save
your change. This entry determines how the total order quantity will be determined
in the quota arrangement, and thus which source of supply is subsequently
determined. Usage indicator 3 includes all purchasing documents except production
orders.

1-10 Maintain the quota arrangement for your material T-REZ## in plant 1000.

1-10-1 The quota arrangement is to be valid until the end of next year.
1-10-2 Assign the quota 2 to your vendor T-L20A## and the quota 1 to your

second vendor T-L20B##. The quota arrangement is to apply to external
procurement.

1-10-3 Add this task to your Favorites.

1-11 Create another purchase requisition for your material. Ensure that the source

determination indicator is set.
Quantity:

50 pc

Delivery date: in

four weeks

1-11-1 Was a source assigned by the system? If so, which?

______________________________________________________

1-11-2 Why? ________________________________________________

Save your purchase requisition.
Requisition number: ________________________________________

1-12 Vendor

T-L20B## should no longer be marked as a fixed vendor in the source list.

Change the source list record by deselecting the Fixed indicator.

1-13 Create another purchase requisition for your material. Ensure that the source

determination indicator is set.
Quantity:

10 pc

Delivery date: in

four weeks

1-13-1 Was a source assigned by the system? If so, which?

______________________________________________________
Save your purchase requisition.
Requisition number: ________________________________________

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12-19

1-14 Display the quota arrangement for your material.

1-14-1 What are the quota-allocated quantities for your two vendors?

Vendor T-L20A##:_____________________________________
Vendor T-L20B##: _____________________________________

1-15 Create another purchase requisition for your material. Ensure that the source

determination indicator is set.
Quantity:

1000 pc

Delivery date: in

four weeks

1-15-1 Was a source assigned by the system? If so, which?

______________________________________________________
Save your purchase requisition.
Requisition number: ________________________________________

*1-16 In three weeks, you need the following materials for plant 1000:

Material

Quantity

T-REA##

50 pc

T-REB##

80 pc

T-REC##

0 pc

T-RED##

10 pc

1-16-1 Create a purchase requisition with automatic source determination.

Ensure that the source determination indicator is set.
Check the source determination for each item. If a list of possible sources is
suggested, select one.

1-16-2 Record the suggested/chosen sources in the following table, by checking the

item details screen for each item:

Material Vendor Contract/sch.

agmt./info record?

T-REA##

T-REB##

T-REC##

T-RED##

Requisition number: ________________________________________

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12-20

*1-17 In addition to your materials for production, you need the following non-stock

materials in three weeks for plant 1000 and cost center T-L20
Material

Quantity Mat.

group.

Price

T-ZN1##

cartons

Mechanical pencils 0.7mm

5 cartons

ZT##

Packing case, size 4

10 pc.

008

1-17-1 Create a purchase requisition with automatic source determination. For all

items, use account assignment category K, charging to G/L account 400000
and cost center T-L20.

Only the first material has a master record.

Activate the Repeat account assignment function when you
enter the account assignment data for the first item. Select
Repeat Acc. Ass. On.

1-17-2 Check the results of the source determination process for each item. If a list

of possible sources is suggested, select one.

1-17-3 Note the suggested/chosen sources for the three items:

Material Vendor Contract/sch.

agmt./info record?

T-ZN1##

Mechanical pencil
0.7mm

Packing case, size
4

Requisition number: ________________________________________

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12-21

Solutions

Unit: Source Determination
Topic: Source Determination for Purchase Requisitions

1-1 Favorites

→ Material Master → Material → Create (General) → Immediately

1-2 SAP

→ Logistics → Materials Management → Purchasing → Purchase

Requisition

→ Create

1-2-1 A source was not assigned by the system.

1-2-2 Favorites

→ Add

1-3

Favorites

→ Purchasing → Master Data → Info Record → Create

1-4

Favorites

→ Materials Management → Purchasing → PurchaseRequisition →

Create

1-4-1 Yes. The info record for vendor T-L20A## is assigned by the system.

1-5

Favorites

→ Purchasing → Master Data → Info Record → Create

1-6

Favorites

→ Materials Management → Purchasing →

Purchase

Requisition → Create

1-6-1 No, a source is not automatically assigned by the system as more than one

source exists for the material. A list of possible sources is displayed
Assign a source by selecting it.

1-7

SAP menu

→ Logistics → Materials Management → Purchasing → Master

Data

→

Source list

→ Maintain

1-7-3 Favorites

→ Add

1-8

Favorites

→ Materials Management → Purchasing →

Purchase

Requisition → Create

1-8-1 Yes,

vendor

T-L20B## is assigned by the system.

Favorites

→ Materials Management → Purchasing →

Purchase

Order → Create Vendor/Supplying Plant Known

Vendor T-L20B## is taken from the requisition.

1-9

Favorites

→ Material Master → Material → Change → Immediately

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12-22

1-10

SAP menu

→ Logistics → Materials Management → Purchasing → Master

Data

→

Quota Arrangement

→ Maintain

Enter the material and plant and choose Enter. On the next screen, enter the Valid to
date and select Item.
Enter F (external) in the P column. Enter the vendors and the quotas.

1-10-3 Favorites

→ Add.

1-11

Favorites

→ Materials Management → Purchasing → Purchase

Requisition

→ Create

1-11-1 Yes, the vendor T-L20A## is assigned by the system.
1-11-2 A quota arrangement has the higher priority in the source determination

process.

1-12

Favorites

→ Purchasing → Master Data→ Source list → Maintain

1-13

Favorites

→ Materials Management → Purchasing → Purchase

Requisition

→ Create

1-13-1 Yes, the vendor T-L20B## is assigned by the system. The vendor was

determined based on the quota arrangement calculation.

1-14

SAP menu

→ Logistics → Materials Management → Purchasing → Master

Data

→

Quota Arrangement

→ Display

Select the line and choose Item.
1-14-1 The quota-allocated quantities for the two vendors are:

Vendor T-L20A##:

Vendor T-L20B##:

1-15

Favorites

→ Materials Management → Purchasing → Purchase

Requisition

→ Create

1-15-1 Yes, the vendor T-L20B## is assigned by the system due to the lower quota

rating.

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*1-16

Favorites

→ Materials Management → Purchasing → Purchase

Requisition

→ Create

1-16-2

Please note that participants’ answers may vary based on
completion of prior exercises.

Material Vendor Contract/sch.

agmt./info record?

T-REA##

T-L20A## / T-
L20C##
(Manually selected)

Info Record

T-REB## T-L20B## Contract

T-REC## T-L20B## Scheduling

agreement

T-RED## T-L20C## Contract

*1-17

Favorites

→ Materials Management → Purchasing → Purchase

Requisition

→ Create

1-17-3

Please note that participants’ answers may vary based on
completion of prior exercises.

Material Vendor Contract/sch.

agmt./info record?

T-ZN1## T-L20E## Info

Record

Mechanical pencil
0.7mm

T-L20E## Info

Record

Packing case, size
4

T-L20C## Contract

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SAP AG 2002

Optimized Purchasing

Contents:

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SAP AG 2002

Define the prerequisites for optimized
purchasing

Recognize the differences between and the
uses of the various functions for optimized
purchasing

At the conclusion of this unit, you will be able to:

Optimized Purchasing: Unit Objectives

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Optimized Purchasing: Overview Diagram

Master Data for

Purchasing

Sources of Supply 1:

Info Records

Sources of Supply 2:

Outline Purchase Agreements

Source Determination

Optimized Purchasing

Document Release

(Approval) Procedure

Purchasing

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SAP AG 2002

Your company wants to generate purchase orders,
release orders, and scheduling agreement delivery
schedule lines with as little manual effort as
possible. Since your company creates assigned
and unassigned requisitions, and requirements are
also reported by phone, you use the R/3 System’s
different optimizing functions.

Optimized Purchasing: Business Scenario

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SAP AG 1999

Optimized Purchasing: Overview

Ordering: assigned requisitions

Automatic PO generation

Assignment and processing of requisitions

Ordering with source determination

Sch. agmt.

delivery

schedule

Contract

release

order

Purchase
order

PReq
Source

Contract

release

order

Purchase
order

PReq
Source

Sch. agmt.

delivery

schedule

Contract

release

order

Purchase
order

PReq

RFQ

Sch. agmt.

delivery

schedule

Contract

release

order

Purchase
order

PReq

Four functions are available for the purpose of optimized purchasing. They differ in the following
respects:

Prerequisites

Manual effort

Result

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Requisn.

Material

Quantity

Delivery date

Source:
Vendor A

Requisn.

Material

Quantity

Delivery date

Source:
Vendor C

Requisn.

Material

Quantity

Delivery date

Pur. order
Vendor A

Pur. order
Vendor C

List of assigned requisns.

Vendor A
4 PReqs.

Vendor B
Contract 999
1 PReq.

Vendor C
3 PReqs.

Process

assignment

Process

assignment

Process

assignment

Source:

Contract 999

Vendor B

Item 10

Release
order
Vendor B
Contract 999

Item

Item 10

Ordering: Assigned Purchase Requisitions

A prerequisite for the Ordering: Assigned Purchase Requisitions function is the existence of
requisitions that have been assigned to sources of supply. The R/3 System can assign sources if, for
example, quota arrangements or source list records exist.

You get a list showing the number of assigned purchase requisitions per source.

You can convert all requisitions assigned to the same source into standard purchase orders, contract
release orders or lines of delivery schedules (issued under scheduling agreements) in a single step.

You cannot convert requisitions into RFQs using this function.

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PO
Vendor A

PO
Vendor C

Release
order
Vendor B
Contract 999

Item

Item 10

Prerequisites

Vendor master

Vendor

POrg

Autom

. PO

Material master

Material

Plant

Autom

. PO

1000

PReq.

Source:

Contract 999

Vendor B

Source:

Vendor A

Material

Quantity

Delivery date

Material

Quantity

Delivery date

Source:

Vendor C

Material

Quantity

Delivery date

Log

Vendor A
4 PReqs.
PO no.: 1234

Vendor B
Contract 999
1 PReq.
PO no.: 1235
...
1 PReq.
faulty

Autom.

generation

Automatic Generation of POs

You can have purchase orders generated automatically from requisitions to which a source has been
assigned. You can perform the function either online or, in the case of large volumes of data, in the
background.

For the purposes of automatic PO generation, the R/3 System selects only those requisitions in
respect of which the Automatic PO indicator has been set for the material and vendor.

A log shows the purchase orders generated, indicates which ones are faulty, and provides detailed
information on the source of the error for each faulty requisition item.

The R/3 System cannot convert a requisition item if data is faulty or incomplete. Possible sources of
errors include:

Master data is faulty or incomplete (for example, the vendor is blocked or the current order price is

not available).

Input data is missing (for example, account assignment unknown).

You cannot generate RFQs or scheduling agreement delivery schedules using this function.

Up to Release 4.6B, you were able to specify that requisitions could be consolidated by purchasing
group or storage location, for example, to create a new purchase order. From Release 4.6C forward,
additional criteria are available, namely purchase requisition and company code. As of Release 4.6C,
items in purchase orders can belong to different company codes. Therefore, you can also group
together purchase requisitions with different company codes in a single purchase order during
automatic purchase order generation.

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Purchase
requisition

W/o source

Change

requisition

Process

assignment

Assignment

overview

Assign source

List requisitions (for purchasing group)

Assign source

Outline agreement

Info record (vendor)

Flag for RFQ processing

List of assigned requisitions

Purchase
requisition

With source

RFQ

Pur. order

Assigning and Processing Requisitions

The Assign and process purchase requisitions function is a combination of the Assign purchase
requisitions and Ordering: Assigned Purchase Requisitions functions.

From a list of open requisitions, you can initiate the automatic assignment of sources for all selected
requisition items. If there is more than one source for a requested material, you can choose your
desired source from the list.

If requisitions have already been assigned, the previous source is overwritten.

You can flag for RFQ processing any requisitions for which no source is found.

After the assignment phase, you can save your requisitions with the assigned sources or generate
standard purchase orders, contract release orders, scheduling agreement delivery schedules or RFQs.

Assignment and processing can take place as separate processes and be carried out by different
people.

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Info record

Assign source:
outl. agreement/info rec.

Enter item data:
material, quantity, delivery date

Pc.

Conditions

Pc.

Conditions

Outline

agmt.

Generate POs or requisitions

Pur. order

Requisn.

With/without
source

Release (approve)

Process

RFQ

Pur. order

Purchase Order with Source Determination

The Purchase order with source determination (= PO with unknown vendor) function is a
combination of the Create purchase requisition and Create purchase order functions.

With this function, you:

Enter the materials to be ordered.

Assign sources to the items.

Generate the purchase orders for the assigned items (or purchase requisitions for any items for

which no sources can be determined or which must first be released).

As in the case of requisitions, the R/3 System suggests possible sources of a material on the basis of
existing quota arrangements, source list records, outline agreements, or info records.

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You are now able to:

Optimized Purchasing: Unit Summary

Define the prerequisites for optimized purchasing

Recognize the differences between and the uses
of the various functions for optimized purchasing

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Optimized Purchasing

Exercises

Unit: Optimized Purchasing
Topic: Optimized Purchasing

At the conclusion of this exercise, you will be able to:
• Define the prerequisites for optimized purchasing.
• Recognize the differences between and the uses of, the

various functions for optimized purchasing.

In your organization, you wish to have purchase orders, release
orders, and scheduling agreement delivery schedule lines
generated with the least possible manual effort. Since both
assigned and unassigned requisitions are created in your
company, and some requirements are even reported by phone,
you will need to make use of the different optimizing functions in
the SAP R/3 System.

1-1

The plant manager has reported the following requirement to you by phone:
10 pc. of material T-REB##
20 pc. of material T-REA##
Both materials are needed by your plant 1000 in two weeks.
You want to record the requirement in the system, have the automatic source
determination process carried out, and, if possible, generate a purchase order
immediately, all in one operation. Therefore, you will create a purchase order with
source determination.
1-1-1 How do you have the source determined automatically and (if possible)

assigned to the item after you have entered the item data?
______________________________________________________

1-1-2 Enter the data for the two items.
1-1-3 Check the results of the source determination process for each item.

If no source has been suggested for a material, have the
system generate a list of possible sources, by choosing

Edit

→ Assign source

and choose any source from the list.

1-1-4 Generate a purchase order for each required item by selecting items one

after the other and using the Generate purchase order function.
Purchase order number(s): ____________________________________

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1-2

There are already some assigned purchase requisitions in the system. Convert these
assigned requisitions into purchase orders, release orders, or lines of scheduling
agreement delivery schedules depending on their sources.
1-2-1 Which menu path do you use? _____________________________

Use your purchasing group Z## as the selection criteria.

1-2-2 How many requisition items have been assigned to your sources?

Vendor Contract/sch.

agmt./info record?

Number of
requisitions

1-2-3 Convert the assigned purchase requisitions for each source into purchase

orders.

You can choose Enter to acknowledge any warning messages
you get.

1-2-4 How many purchase orders have you generated?

______________________________________________________

1-3

Finally, you must process your non-assigned requisitions. Choose the Assign and
Process function. First have a source determined for each requisition and then
convert the requisitions into purchase orders, release orders, or scheduling
agreement delivery schedules.
1-3-1 Choose all the purchase requisitions of your purchasing group Z## for the

plants 1000, 1100 and 1300. Ensure that the Released requisitions only
indicator is set.

1-3-2 How

many

requisition

items does your list contain?

_______________________________________________

1-3-3 Select all the requisition items in the list one after the other. Try to assign a

source to each item.

Choose

Edit → Source of supply → Assign automatically

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1-3-4 Now generate the list of assignments.

Choose

Goto

→ Assignment overview.

How many requisition items are assigned to your sources?
_______________________________________________

Vendor Contract/sch.

agmt./info record?

Number of
requisitions

1-3-5 Convert the assigned requisitions for each source into purchase orders,

release orders, or scheduling agreement delivery schedules.

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Optimized Purchasing

Solutions

Unit: Optimized Purchasing
Topic: Optimized Purchasing Functions

1-1

SAP menu

→ Logistics → Materials Management → Purchasing → Purchase

Order

→ Create → Vendor Unknown

1-1-1 If you set the source determination indicator on the initial screen, a source

of supply will be determined automatically (if possible).

1-1-4

The Generate purchase order function will result in an open
purchase requisition being placed in the Document overview
of the EnjoySAP Create Purchase Order transaction. Adopt
the open requisition and save.

1-2

SAP menu

→ Logistics → Materials Management → Purchasing → Purchase

order

→ Create → Via Requisition Assignment List

1-2-1 Enter purchasing group Z##.
1-2-2 Sources may vary by participant.
1-2-3 To convert each requisition, select the source and choose Process

Assignment.

For items assigned to vendors or vendor contracts, the
Generate purchase order function will result in an open
purchase requisition being placed in the Document overview
of the EnjoySAP Create Purchase Order transaction. Adopt
the open requisition and save.
For items assignmed to scheduling agreements, the Generate
purchase order function will result in the delivery schedule
automatically being updated. Save the new schedule lines.

1-2-4 One for each source in the table (a Source being a vendor or vendor outline

agreement.).

1-3

SAP menu

→ Logistics → Materials Management → Purchasing →

Purchase

Requisition

→ Follow on Functions → Assign and Process

1-3-1 Use

the

Multiple Selection feature to select the three plants.

1-3-2 Answers may vary by participant.

1-3-3

Edit

→ Source of supply → Assign automatically

1-3-4

Goto

→ Assignment overview

1-3-5 Select each source assignment and then choose Process Assignment.

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Release Procedures

Contents:

Document Release (Approval) Procedure

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Describe the functions and operation of
release procedures.

Carry out the release (approval) of requisitions
and external purchasing documents.

Outline the process of customizing release
procedures.

At the conclusion of this unit, you will be able to:

Document Release Procedure: Unit Objectives

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Document Release Procedure: Overview Diagram

Master Data for

Purchasing

Sources of Supply 1:

Info Records

Sources of Supply 2:

Outline Purchase Agreements

Source Determination

Optimized Purchasing

Document Release

(Approval) Procedure

Purchasing

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You wish to ensure that the appropriate people
approve purchase requisitions that exceed a
certain value limit (among other criteria) before the
requested material can be ordered.

You also want to have purchase orders above a
certain maximum value approved before being
issued to vendors. The release procedure enables
you to achieve these goals.

Document Release Procedure: Business Scenario

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What is a release procedure in the SAP R/3 System?

How does your company currently handle this approval
process?

What criteria currently drive your approval process?

Who currently has to approve your documents?

Do certain people have to approve before others?

What happens if your documents are not approved?

Release Procedure: Introduction

In the SAP R/3 System, the release procedure refers to the approval process for purchase requisitions
and external purchasing documents. It involves checking the correctness of the data, and giving the
authorization to purchase. The objective of the release procedure is to use an on-line approval
system, rather than relying on manual signatures.

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Release Procedure: Key Terms

Release strategy

Release conditions/criteria

Release code/point

Release prerequisite

Release status/indicator

The release strategy defines the entire approval or release process. It contains the release conditions,
the release codes, and the release prerequisites.

The release conditions (or criteria) determine which release strategy applies. For example, if the
value of a requisition item is 1000, this may require one particular strategy. However, if the value of
an item is 100,000, this may require a different strategy (since approval from different people may be
necessary).

The release point represents an individual or department that must give their approval. The release
point is represented in the system by a release code. If a given strategy requires approval by a
manager and a controller, they are assigned release codes and become release points.

Release prerequisites tell the system the order in which approval must take place. In other words, if
the manager must approve before the controller, the prerequisite for the controller approving is that
the manager has already approved.

The release indicator is a code that represents a release status. The release status is the current
“standing” of the item or document. For example, if the proper approval has not yet been received,
the release status may be blocked. The status tells the system what is allowed for the item or
document (for example, whether or not a purchase order can be created from it).

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Pur. order

RFQ

Item

Requisn.
Doc. type
Item

SAP System Rel. 3.X

SAP System Rel. 4.0

10
20
30

Approval

o.k.

o.k. 9
o.k. 9

Approval

o.k.

Pur. order

RFQ

Requisn.
Doc. type
Item 10

20
30

Release Procedure for Purchase Requisitions

If a purchase requisition (an internal document) or an external purchasing document (such as a
purchase order) fulfills certain conditions, it may be necessary for the document to be approved
before it can be processed further. This approval (clearance or authorization) process is replicated in
SAP R/3 by the release procedure.

The release of a purchase requisition means the process of approving (or giving the green light) to
the items of the requisition for the purpose of issuing RFQs or POs covering the relevant materials or
services. The purpose of this approval procedure is to check the data on the materials, quantities and
delivery dates for correctness and to ensure that the right account assignment and source of supply
are specified.

You have the option of setting up release (approval) strategies for purchase requisitions on the basis
of freely definable classification characteristics or on the basis of predefined criteria. If you set up
the release procedure with classification for purchase requisitions, the procedure without
classification is deactivated.

Up to SAP R/3 Release 4.0, purchase requisitions could be released (approved) only on an item-by-
item basis. As of SAP R/3 Release 4.0A, you can also release (approve) a complete requisition. This
can be useful in the case of requisitions whose individual items all relate to a requirement that should
be viewed as a whole. Whether a requisition has to be released item-by-item or in its entirety is
determined by the document type. In the latter case (that is, if the requisition is subject to overall
release), item-by-item release is not possible. For the purpose of determining a release strategy, the
data from the items is aggregated.

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Release Procedure for External Documents

Message

RFQ

Sch. agmt.

Contract

Pur. order

10
20
30

Item

Approval

o.k.

The release of external purchasing documents (purchase order, contract, scheduling agreement, RFQ
and service entry sheet) means the process of checking the correctness of the document data and
approving the documents prior to their transmission to vendors. The objective of this approval
procedure is to replace a manual system of authorized signatures with an electronic one.

Each purchasing document is checked for relevant conditions. A strategy is assigned automatically to
a document if the conditions are fulfilled.

External purchasing documents are released at header level. Item-by-item release is not possible.

External purchasing documents can only be released using the release procedure with classification.

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Release code = Release point
Release indicator = Release status

Value

Plant

Strategy S1

Value from 10,000
Plant 1000

Release points
1. Engineering
2. Purchasing
3. Controlling

Classification:
Definition
Release criteria

Customizing:
Definition
Release strategy

Released for PO

Released for RFQ

Blocked

Release status

Requisn.

Item 10

Strategy S1
blocked

Create requisn.

Overview of the Business Process

The release strategy defines the release (clearance, approval or authorization) process. The strategy
specifies the conditions under which a requisition or external purchasing document must be
approved, the individuals or departments required to approve it and the sequence in which the
approvals must be granted.

The assignment of a release strategy to a purchase requisition is carried out automatically and is
based on the release conditions. In the case of the procedure with classification, the conditions are
defined using characteristic values and are stored in Customizing. If a requisition or an external
purchasing document fulfills the conditions, the document has to be released in accordance with the
release strategy.

Each individual or department required to approve a requisition within the framework of a release
strategy represents a release point. A release strategy can include up to eight such release points. A
release point is identified by a two-character key (the release code). Each person involved in the
release procedure signifies approval (gives the green light) using their release code. You can also
cancel a previously effected release (that is, reset the original release status) using this code.

The release indicator reflects the current release status. It is determined automatically and defines
whether, for example, an RFQ or a PO can be created with reference to the item in question.

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Definition of Release Criteria

Dictionary

Communication
structure

Plant
Mat. group
Item category
Acct. assgt. cat.
Value
...

Classification

Definition of
characteristic

Definition of class

Customizing

Definition of

release group

Charact. PLANT

Charact. VALUE

Class FRBANF

Class type 032

Charact- : PLANT
eristics : VALUE

Release

group

Rel.

obj.

PReq.

Release

class

FRBANF

• Multi-value
• Ref.

table field

• Unformatted

• Multi-value
• Ref.

table field

• Unformatted

• Interval values

allowed

To be able to work with the release procedure with classification, you must create a release class
with characteristics in addition to making the other Customizing settings. You set up a release class
with characteristics via the classification system.

The communication structures CEBAN (for purchase requisitions) and CEKKO (for external
purchasing documents) contain all the fields that can be defined as release characteristics. If you
have additional requirements, take advantage of the user exit made available by the SAP system.

All release conditions must be defined as classification characteristics. Part of the characteristic
definition is a link to a field of the communication structures CEBAN or CEKKO. The classification
characteristics should have the attribute multi-value, so that you not only maintain the characteristic
values as single values but also can enter several values, if necessary. For characteristics of the data
type NUM or CURR, you should also allow interval values.

You group together all characteristics that you wish to use in release strategies for purchase
requisitions or external purchasing documents in a class. The class must be assigned to the class type
032. You can define a class for purchase requisitions, a class for external purchasing documents, and
a class for service entry sheets. The release class is assigned to the release object in Customizing (1 =
purchase requisition, 2 = external purchasing documents, 3 = service acceptance).

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Customizing the Release Procedure

Definition of release codes

Rel. group

01
01

Rel. code

Workflow Description

Controlling
Technical

Definition of release indicators

Rel. ind.

1
2

...

Description

Not released

Fixed

RFQ

Field ref.

F203

Chgbl.

Val. chg.

Definition of release strategy

Release group 01, strategy S1

Release codes: CO, TK

Release
prerequisite

Release
statuses

Classification

CO TK Rel. ind.

1 Not released
1 Not released
2 Released

Char.

PLANT

VALUE

Value
1000, 2000
> 1000

Code/prerequisite

CO TK

CO
TK

You define release codes, release indicators, and release strategies in Customizing for Purchasing. A
prerequisite for customizing a release strategy is the definition of release classes with release
characteristics.

The release code is a two-character key identifying a release point. Each person involved in the
release procedure signifies approval in a release transaction using his or her release code.

The release indicator reflects the current release status. Depending on the release indicator, specify
whether it is possible to change documents that have been partially or completely released, or
whether a document must pass through the release procedure all over again if it is changed.

The release strategy defines the approval process. The definition of a release strategy comprises
specification of the prerequisites for release points (that is the order in which the release points must
signify approval), the release status, and the release conditions in the form of characteristic values for
classification.

Release strategies are uniquely identified via a four-character key. The first two characters of this
key denote the release group, the last two the strategy. A release group must be assigned to a release
object (for example, two equals purchasing documents) and a release class.

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User Authorizations and Release Procedures

PReq

Release CO 9

TK 9

Controlling

Department

Technical Services

Department

User
authorizations

Authorization object
M_EINK_FRG
Value: CO

User
authorizations

Authorization object
M_EINK_FRG
Value: TK

Meyer

Smith

Release CO

Release TK

The authorization object Release code and group in Purchasing (M_EINK_FRG) determines which
users can release requisitions and external purchasing documents with which release code.

If you use the release procedure for purchase requisitions without classification, you must create
authorizations for the authorization object Release code in purchase requisitions (M_BANF_FRG).

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PReq.

Item 10

Starting situation

Effect releases (signify approval)

Release
point 1

o.k.

Release
point 3

o.k.

PReq.

Item 10

Individual release

PReq.

Item 10

Collective release

Release point

o.k.

Release point

o.k.

Strategy S1

blocked

Release
point 2

o.k.

Release
point 4

o.k.

Convert requisition

into RFQ

Convert requisition

into PO

Release of Requisitions and Ext. Purchasing Docs.

Purchase requisitions can be released (cleared or approved) individually or collectively. If you use
the collective procedure, you process all the requisitions awaiting release using your release code on
the basis of a list. This method is recommended for frequent releases.

The release (clearance or approval) of purchase orders, contracts, scheduling agreements, and so on
is effected from a list.

Only those documents that satisfy the release prerequisites can be released.

Each release point involved in the release procedure must approve a document that is subject to
release. In the course of the approval process, the release status of the document changes. This status
is shown by the release indicator, which also governs the further processing of the requisition. You
can also make field selection control dependent on the release indicator.

Cancel a previously effected release and reset the former release status.

Display the release status of a document to obtain details of the name of the release strategy, releases
effected to date and the release codes with which the document has to be released.

Simulate which release status a document would have if you released it with a certain release code.
This enables you to determine how the document can be processed further after you have released it.

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You are now able to:

Document Release Procedure: Unit Summary

Describe the functions and operation of release
procedures.

Carry out the release (approval) of requisitions
and external purchasing documents.

Outline the process of customizing release
procedures.

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Exercises

Unit: Document Release (Approval) Procedure
Topic: Terms and Concepts

At the conclusion of this exercise, you will be able to:
• Define specific terms that relate to release procedures.
• Relate your organization’s current approval process to the SAP R/3

System’s approval process.

• Outline the basic features of release procedures.

You are about to begin the implementation of release procedures. Before
you do this, you would like a basic understanding of some terms and
concepts.

1-1

Define the following terms in your own words:
1-1-1 Release

code:

______________________________________________________
______________________________________________________

1-1-2 Release

indicator:

______________________________________________________
______________________________________________________

1-1-3 Release

prerequisite:

______________________________________________________
______________________________________________________

1-1-4 Release

strategy:

______________________________________________________
______________________________________________________

1-1-5 Release

conditions:

______________________________________________________
______________________________________________________

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1-2

One goal of release procedures in the SAP R/3 System is to replace manual
signatures with on-line approval. Outline the approval process that is currently in
place in your organization.
____________________________________________________________
____________________________________________________________
____________________________________________________________
____________________________________________________________
____________________________________________________________
____________________________________________________________
1-2-1 Can you relate your current procedure to the terms you defined above?

______________________________________________________
______________________________________________________
______________________________________________________

1-2-2 What are some of the factors in your organization that cause an item to need

approval?
______________________________________________________
______________________________________________________
______________________________________________________

1-3

A user in your company creates a purchase requisition with multiple line items. It is
determined that one item on this requisition needs approval (it needs to be released).
If the appropriate approval is not received, how can this affect the status of the
requisition?

*1-4 Open the R/3 System Library and read the section on Release (Approval)

Procedures.

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Exercises

Unit: Document Release (Approval) Procedure
Topic: Release of Requisitions and Purchase Orders

At the conclusion of this exercise, you will be able to:
• Describe the function and operation of release procedures.
• Carry out the release (approval) of requisitions and external

purchasing documents.

• Outline the process of customizing release procedures by viewing

existing configuration.

You want to ensure that the appropriate people approve purchase
requisitions that exceed a certain value limit (among other criteria)
before the requested materials can be ordered. You also want to have
purchase orders above a certain maximum value approved before
being issued to vendors. The release procedure enables you to
achieve these goals.

2-1

You have created a number of purchase requisitions already, some of which require
approval. Start by finding out how many purchase requisition items exist for your
purchasing group.
2-1-1 Number of requisition items: ____________________________________
2-1-2 Check the following information on the release status of one of your

requisition items:
Release indicator: _______________________________________
Release strategy: ________________________________________
Release points or codes: __________________________________

2-2

Next, take a look at the Customizing settings for the release procedures for purchase
requisitions (with classification).
2-2-1 Read the IMG activity documentation for the node Set Up Procedure with

Classification.

2-2-2 On the basis of which criteria was the release strategy ZZ assigned to your

requisition items?
Criteria: _______________________________________________
______________________________________________________
______________________________________________________

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To change the language while viewing the characteristics, choose

Extras

→ User settings

. Then select the tab for General settings.

Enter your language code (such as EN) and save.

2-2-3 Look at the setting for the release prerequisites.

Which release point can effect release without prerequisites?
Release point: __________________________________________

2-2-4 Which prerequisite must be fulfilled before Z2 is able to release an item of a

purchase requisition?
Prerequisite: ___________________________________________

2-3

Approve the requisition items of your purchasing group Z## that are awaiting
release. To start with, release them for the issue of RFQs.

Use the Collective release function.

Enter your purchasing group Z## as selection criteria! Otherwise,
you might release the requisitions of all class participants.

2-3-1 Which release code did you use to effect release?

Release code: __________________________________________

2-3-2 After release has been effected, check how the release indicator and the

release status of your requisition items has changed.
Release indicator: _______________________________________
Release status: _________________________________________

2-4

Now approve the requisition items of your purchasing group Z## for the issuance
of purchase orders.

Use the Collective release function.

Enter your purchasing group Z## as selection criteria! Otherwise,
you might release the requisitions of all class participants.

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2-4-1 Which release code did you use to effect release?

Release code: __________________________________________

2-4-2 After release has been effected, check how the release indicator and the

release status of your requisition items has changed.
Release indicator: _______________________________________
Release status: _________________________________________

2-5

Some of your released purchase requisitions are assigned to a source. You’d like to
automatically convert these into purchase orders.
Before you generate the purchase orders, you first gather some information on your
purchase requisitions. Run the List Display of Purchase Requisitions for your
purchasing group Z## and determine the following:
2-5-1 Number of assigned requisitions: ________________________
2-5-2 Which materials are requested in these requisitions:

___________________________________________________

2-5-3 Which vendors have been assigned as sources:

___________________________________________________

2-6

Next, check whether the Automatic PO indicators are set in the material and vendor
master records, for the requested materials and the assigned vendors from the above
exercise. These indicators must be set in order to use the automatic purchase order
function. If necessary, set the indicator and save your change.

The indicator is found on the purchasing view of the material
master and the purchasing data screen of the vendor master.

2-7

Now, convert your released and assigned requisitions automatically into purchase
orders.
2-7-1 What menu path do you choose?

_______________________________________________

2-7-2 Run the program using your purchasing group and your vendor numbers.
2-7-3 Purchase order number(s): _______________________________

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2-8

The purchase orders you created automatically, as well as other purchase orders you
have created, may need to be approved.
The responsible release point uses the release code Z3.
2-8-1 First generate a list of all purchase orders of your purchasing group Z## that

need to be released with release code Z3.

2-8-2 Which release strategy has been assigned to these purchase orders?

Release strategy: ________________________________________

2-8-3 Which release indicator is assigned to the purchase orders awaiting release?

Release indicator: _______________________________________

2-8-4 Release your purchase orders and save.

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Exercises

Unit: Document Release (Approval) Procedure
Topic: Customizing

At the conclusion of this exercise, you will be able to:
• Configure a simple release procedure by creating a new release code

and release strategy.

• Release a purchase requisition subject to your new strategy.

Your organization would like you to understand the customizing of release
procedures. Therefore, you decide to configure a new release procedure
for purchase requisitions.

*3-1 Your company requires that users enter requirement tracking numbers on all

requisitions. For requisitions created with tracking number LO520-##, you require
a new release strategy, complete with a new release code. Therefore, you will need
to define a new release strategy for purchase requisitions.
3-1-1 First

define

your own release code ## for release group 01.

3-1-2 Now define the new release strategy ##. This should also be assigned to

release group 01.

3-1-3 Assign the release code ## to your release strategy. Confirm the release

prerequisites and release statuses suggested by the system.

3-1-4 Define the criteria of your release strategy as follows:

Choose Classification to enter the values for the release criteria.

Account assignment category:

(Blank)

Material group:

LO520

Plant:

1000

Purchasing group:

Z##

Requirement tracking no.:

LO520-##

Total value of item:

>1000

Requisition document type:

Purchase requisition (NB)

Save your release strategy.

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*3-2 Create a purchase requisition for your material T-REZ## in order to test your new

release strategy. On the initial screen, enter your purchasing group Z## and the
requirement tracking number LO520-##. You need 100 pc for plant 1000 in four
weeks.
Check whether a release strategy has been assigned to the requisition.
3-2-1 Which strategy has been assigned? _________________________

Save your purchase requisition.
Requisition number: ________________________________________

*3-3 Release your purchase requisition using the Individual release function. Use your

release code ##.

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Solutions

Unit: Document Release (Approval) Procedure
Topic: Terms and Concepts

1-1

For help with the definitions, use the SAP Library:

Help

→ SAP Library → Logistics → Materials Management (MM) →

Purchasing

→ Release Procedure

You can also refer to the notes in the unit

1-3

Release can be effected at the line item or document level for purchase requisitions,
depending on the settings for the release procedure. In this example, the unapproved
item would be blocked, but the other line items could be processed, assuming
release is at the line item level.

1-4

Help

→ SAP Library → Logistics → Materials Management (MM) V

Purchasing

→ Release Procedure

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14-24

Solutions

Unit: Document Release (Approval) Procedure
Topic: Release of Requisitions and Purchase Orders

2-1 SAP

→ Logistics → Materials Management → Purchasing → Purchase

Requisition

→ List Displays → General

Enter your purchasing group Z## as selection criteria. Choose Execute.

2-1-2 From the list, choose a requisition number and then choose

Goto

→ Release

strategy.

Release indicator:

S (Blocked)

Release strategy:

Release points or codes: Z1, Z2

2-2

2-2-1

SAP menu

→ Tools → AcceleratedSAP → Customizing → Edit Project

Choose SAP Reference IMG.

IMG

→ Materials Management → Purchasing → Purchase Requisition

→ Release Procedure → Procedure with Classification

Select IMG activity documentation

next to the node

Procedure with

Classification.

2-2-2

SAP menu

→ Tools → AcceleratedSAP → Customizing → Edit Project

Choose SAP Reference IMG.

IMG

→ Materials Management → Purchasing → Purchase Requisition

→ Release Procedure → Procedure with Classification → Set Up

Procedure with Classification

Choose

Release strategy.

Select Strategy ZZ.
Choose Classification.

Criteria:

Account assign:

blank

Material group:

LO520

Plant:

1000 (Hamburg)

Purchasing group:

Z## and others

Req tracking number:

LO520

Total value of item:

> 1000

Req document type:

Purchase requisition (NB).

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14-25

2-2-3

SAP menu

→ Tools → AcceleratedSAP → Customizing → Edit Project

Choose SAP Reference IMG.

IMG

→Materials Management → Purchasing → Purchase Requisition

→ Release Procedure → Procedure with Classification → Set Up

Procedure with Classification

Choose

Release strategy.

Select Strategy ZZ.
Choose Release prerequisites.
Release point Z1 can release without a prerequisite.

2-2-4 Prerequisite: Z1 must release before Z2 can release.

2-3

SAP menu

→ Logistics → Materials Management → Purchasing → Purchase

→

Requisition

→ Release → Collective Release

Enter your purchasing group Z## as selection criteria! Otherwise,
you might release the requisitions of all class participants.

Enter Release code Z1 and Purchasing group Z##.
Choose Execute.
Select the requisition items from the list and Save.
2-3-1 Release code:

2-3-2 Release indicator:

Release status:

Fixed RFQ

2-4

SAP menu

→ Logistics → Materials Management → Purchasing → Purchase

Requisition

→ Release → Collective Release

Enter your purchasing group Z## as selection criteria! Otherwise,
you might release the requisitions of all class participants.

Enter Release code Z2 and Purchasing group Z##.
Choose Execute.
Select the requisition items from the list and Save.
2-4-1 Release code:

2-4-2 Release indicator:

Release status:

Fixed RFQ/PO Release effected

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2-5

SAP menu

→ Logistics → Materials Management → Purchasing → Purchase

Requisition

→ List Displays → General

Enter your purchasing group Z## as selection criteria.
Choose Execute.
2-5-1 Answers may vary by participant based on completion of prior exercises.
2-5-2 Answers may vary by participant based on completion of prior exercises.
2-5-3 Answers may vary by participant based on completion of prior exercises.

2-6 Material

Master:

Favorites

→ Material Master → Material → Change → Immediately.

Select the Purchasing view and plant 1000.
Vendor Master:

Favorites

→ Purchasing → Master Data → Vendor → Purchasing → Change

(Current).

Enter

purchasing organization 1000.

Select Purchasing data.

2-7

2-7-1

SAP menu

→ Logistics → Materials Management → Purchasing →

Purchase Requisition

→ Follow-On Functions → Create Purchase

Order

→ Automatically via Purchase Requisitions.

2-7-2 On the initial screen, enter your purchasing group Z## and vendor(s) from

above and then choose Execute.

2-8

2-8-1

SAP menu

→ Logistics → Materials Management → Purchasing →

Purchase Order

→ Release

Enter release code Z3 and your purchasing group Z##.
Choose Execute.

2-8-2 Release strategy: 02/ZY
2-8-3 Release indicator: B (Blocked), changeable with Release possible
2-8-4 Return

the

Release (Approve) Purchasing Documents list.

Select each purchase order and then choose Release.
Save after releasing all documents.

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Solutions

Unit: Document Release (Approval) Procedure
Topic: Customizing

*3-1

SAP menu

→ Tools → AcceleratedSAP → Customizing → Edit project

Choose SAP Reference IMG.

IMG

→ Materials Management → Purchasing → Purchase Requisition →

Release Procedure

→ Procedure with Classification → Set Up Procedure with

Classification

3-1-1 Select

Release Code.

Click New Entries.

3-1-2 Select

Release Strategy.

Click New Entries.
Enter Release group 01 and Release strategy ##.

3-1-3 Enter

code ##.

Select Release prerequisites and Release statuses to confirm.

3-1-4 Select

Classification.

Choose

Extras

→ User settings

to change the language format if

required. Select the General Settings tab and enter the language
code.

*3-2

Favorites

→ Materials Management→ Purchasing→ Purchase Requisition →

Create

3-2-1 Choose

the

Release Strategy tab from the item details section to see the

strategy.
Strategy ## has been assigned.

*3-3

Logistics

→ Materials Management→ Purchasing→ Purchase Requisition →

Release

→ Individual Release.

Enter your requisition number and release code ##. Choose Enter.
On the next screen, select the item and choose Release and save.

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

SAP AG 2002

Course: Customizing - Purchasing



SAP AG 2002

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

SAP AG 2002

Customizing - Purchasing: Unit Objectives

At the conclusion of this unit, you will be able to:

Create new document types for purchasing
transactions

Describe the influencing factors for purchasing
document screen layouts and modify the field
selection for purchasing transactions

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

SAP AG 2002

Customizing - Purchasing: Business Scenario

In your company, some of your buyers manage
subcontracting purchasing documents only.
Since the item category field is not an
authorization object, but the purchasing
document is an authorization object, you have
been asked to create a new document type that
only allows the use of the subcontracting item
category.

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

SAP AG 1999

Transaction

Purchase requisition

RFQ

Purchase order

Contract

Scheduling agreement

Sch. agmt

RFQ

4.1.2000

6.1.2000

Number range internal no. assgt

Number range external no. assgt

Number Assignment in Purchasing Transactions

Document type

The document category is used to characterize the attributes of purchasing documents – purchase
requisition, request for quotation, purchase order, and so on.

You can define separate document types for each purchasing transaction document category.
You can assign one number range for internal number assignment and another number range for
external number assignment to each document type.

For contract types that are distributed in decentralized systems, you must define a number range for
internal number assignment. The numbers of release orders in the local systems are not unique in the
central system and therefore have to be assigned new keys.

For each number range, you configure the following:

The interval from which the number is assigned

Whether number assignment is internal or external

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

SAP AG 1999

Purchasing
document

Doc. type

Allowed

item categories

Description

Item interval

Field selection reference key

Number ranges

Contract:
Standard rel. order quantity

Control

Document Types for Purchasing Transactions

Reference to

requisition

Interval

maintenance

You configure separate document types for each category of purchasing document. In the document
type assignment, you can store follow-on relationships between the document types of different
purchasing document categories.

If several item categories are possible for a document category, you can eliminate individual item
categories for a document type in this document category.

You can assign a number range for internal number assignment and a number range for external
number assignment for each document type. You must assign at least one number range.

You can create new document types.

You can assign authorizations for individual document types in a document category (objects
M_ANFR_BSA, M_BANF_BSA, and so on).

The control indicator allows you to specify that a certain document type is used for stock transfer
processing. In the case of purchase requisitions, you can use this indicator to specify that this
document type requires the setting up of an outline agreement.

Further settings are necessary in the case of document types for stock transport orders.

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

SAP AG 1999

Screen Layout for Purchasing Transactions

........
........

........

Document type

Item category

Acct assignment

category

Authorization to

display prices

Release status

Transaction

Field selection

The R/3 System stores separate control strings for each influencing factor.

In the case of field selection for a purchasing transaction, the relevant control strings are linked at
item level. The same linkage rules apply as for the material master record.

If you select F2, you can view information on the meaning of the individual reference keys and the
fields that are assigned to a position in the control string.

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

SAP AG 1999

Purchasing

transaction item

Account assignment

category

Account Assignment Categories

Screen sequence

IR for item

Account grouping

Consumption posting

Non-valuated GR

GR for item

Acct assgt can be changed at IR

Acct assgt can be changed after GR/IR

Description

The account assignment category is used for each item of a purchasing document.

You can specify the account assignment categories that are allowed for the individual item
categories.

The account grouping code for the account assignment category allows you to have the R/3 System
suggest a consumption account number when you enter a purchasing document item subject to
account assignment.
You specify this account number when you make the settings for the automatic postings for the
transaction Offsetting entry for inventory posting (GBB).

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

SAP AG 2002

Enter data on initial screen

Select requisition items

X_ __ _ __ _
X_ __ _ __ _

Purchase order
overview screen

Adopt requisition items

Establish link

Adopt

Pur. order
acknowl.
reqt.: X

Default value:
Order acknowl.
requirement = X

Establish
link to
PReq. no: 155

10 _ _ __ ___
20 _ _ __ ___
30 _ _ __ ___

Default value:
Select all = X

Default value:
Single-line
overview = X

User Parameter EVO

The user parameter EVO allows you to specify default values for certain fields and functions for
each user. For example, you can specify default values for:

Various indicators

The overview screen display

The fast entry functions

Whether or not delivery time is taken into account during source determination.

You define the default values in Customizing and assign them to a user by entering the key for the
default values in the user master record under the parameter ID EVO.

User parameter EVO also has implications in price determination.

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

SAP AG 1999

With ref. to

To contract

To info record

Create requisition/

purchase order

Without ref.

Condition

maintenance

Condition

display

W/o material

Manual source

assignment

Requisition
RFQ
PO
Contract

User Parameter EFB

User parameter EFB allows you to define the authorizations for certain functions that may be
required during the processing of requisitions or purchase orders. For example, you can define the
authorizations for:

Manual source assignment

Display and/or maintenance of conditions

Creating documents with reference to a certain existing document

Changing the source after creating a document by referencing a requisition

You define the authorizations in Customizing and assign them to a user by entering the key for the
authorizations in the user master record under the parameter ID EFB.

User parameter EFB does not provide authorization protection but facilitates the control of complex
purchasing functions.

User parameter EFB enables you to implement delegated purchasing.

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

SAP AG 2002

Customizing - Purchasing: Unit Summary

You are now able to:

Create new document types for purchasing
transactions

Describe the influencing factors for purchasing
document screen layouts and modify the field
selection for purchasing transactions

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15-11

Customizing - Purchasing:

Exercises

Unit: Cross-Functional Customizing in Material

Management - Purchasing

Topic: Purchasing Document Types and Number Assignment

At the end of this exercise, you will be able to:
• Check and modify the settings for purchasing document types
• Define a new purchasing document type and configure the number

assignment for this document type

You have established that a special document type is to be used for
procurement via subcontracting in your company.
This enables you to use a different field selection and a separate number
range for subcontracting orders. In addition, you can assign different
headings and texts for message output.
As a member of the project team, you are responsible for implementing this.

1-1

Number Assignment for Purchasing Documents
1-1-1 In the standard system, which of the keys listed below does the number

assignment for purchasing documents depend on?
– Purchasing organization

YES / NO?

– Purchasing group

YES / NO?

– Document type

YES / NO?

– Company code

YES / NO?

1-1-2 Which

number ranges are assigned for number assignment for purchase

orders and purchase requisitions of document type NB?

Internal

External

Purchase requisitions

Purchase orders

1-2

New Document Types for Purchase Requisitions and Purchase Orders

Use the following information to define a new document type for purchase
requisitions and a new document type for purchase orders.

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15-12

Recommendation: Copy

Without dependent entries

and

maintain these entries manually. (You require only
individual entries and would have to delete a lot of entries
otherwise. In addition, you avoid conflicting with the other
groups.)

1-2-1 Create a new document type, X##, for purchase requisitions. Do this by

copying the document type NB. When executing the copy, select

Only

copy entry

when prompted. Name your document type X##-Preq.

1-2-2 Configure the system so that only internal number assignment is defined

for purchase requisitions with the document type X##.
Use the number range group that is assigned to the interval
010000000 ... 019999999.
Which number range do you assign your document type?
______________________________________________________

1-2-3 Only

subcontracting items are allowed for your document type X##. Make

the necessary restriction for this. What do you have to do?
______________________________________________________

1-2-4 Configure the system so that items in a purchase requisition with document

type X## can only be converted to RFQ items (document type AN) or
purchase order items with your new purchase order type Y##.

Note that you have not yet created document type Y##, so it
will not be possible to establish this link until after the new
purchasing document type Y## has been created.

1-2-5 What are the effects of the decision to copy with or without dependent

entries?
______________________________________________________
______________________________________________________

1-2-6 Create a new document type, Y##, for purchase orders. Name this document

type

Y##-PO

1-2-7 Configure the system so that it assigns the numbers for purchase orders with

document type Y## internally from the interval
4700000000 ... 4799999999.

1-2-8 Only

subcontracting items and text items are allowed for your document

type Y##. Make the necessary setting for this. What do you have to do?
______________________________________________________

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15-13

1-2-9 Configure the system so that items with purchase order type Y## can be

created with reference to items with purchase requisition document types
NB and X##. Note the permitted item categories for the purchase requisition
document types. Which entries do you need to maintain?
______________________________________________________
______________________________________________________
______________________________________________________

1-3

Characteristics of Item Categories
1-3-1 Find out which indicators are defined for the item category

Subcontracting

Internal display: _____________________________________
External display: _____________________________________

1-3-2 Which characteristics are defined for the item category

Subcontracting

For items belonging to this item category, can you or must you:
a)

Use material master records? __________________

Enter goods receipts? ______________________

c) Enter

invoice receipts? ___________________

Are additional account assignments allowed?
____________________

Give reasons for your answer to question b):
______________________________________________________
______________________________________________________

1-4

Check whether your settings are correct for the document types X## and Y## by
doing a test in purchasing.
1-4-1 Create a purchase requisition with document type NB and two items for

purchasing group L##. In each item, request 100 pieces of material T-B1##
for plant 1000, once as a standard item and once using subcontracting.
First purchase requisition number: _________________________________

1-4-2 Create a second purchase requisition with document type X## for

purchasing group L##. Request 100 pieces of material T-B1## for plant
1000 again.
Which item categories are allowed?
______________________________________________________
Second purchase requisition number: _______________________________

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15-14

1-4-3 Check if it is possible to convert your second purchase requisition to a

purchase order with document type NB, vendor T-L20C##, purchasing
organization IDES Deutschland (1000), purchasing group L##.
Give a reason for the result.
______________________________________________________

1-4-4 Create a purchase order of type Y## using vendor T-L20C##, purchasing

organization IDES Deutschland (1000), and purchasing group L## for
plant 1000. Refer to both of your purchase requisitions. The unit price is
150.00 UNI. It will be necessary to manually change the standard item
category to subcontracting for the item on the requisition that was ordered
using document type NB.
Purchase order number: _____________________________________

1-4-5 Can you extend this purchase order by a standard item (item category “_”)?

______________________________________________________
______________________________________________________

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Exercises

Unit: Purchasing
Topic: Account Assignment Categories and Field Selection

At the end of this exercise, you will be able to:
• Check and modify settings for account assignment categories
• Check and modify the field selection depending on the account assignment