usually, this would be somewhere close to the actual process flow followed by each and every organization.
1. Material Determination: Material determination is done either bye the concerned departmets or through the planning and control of materials. This can cover both MRP and goods demand with the approach based on inventory control. The regular monitoring of stock levels of materials is defined in the master records. You can enter your requests for purchase, or they can be generated automatically by the materials planning and control.
2. Source Determination: The Purchasing component allows you to identify potential sources of supply based on existing orders and longer-term purchase agreements. This speeds up the process of creating requests for quotation (requests) that can be sent to vendors electronically.
3. Vendor selection and comparison of estimates: The system is capable of simulating scenarios of pricing, so you can compare a number of citations. Rejection letters can be sent automatically.
4. Order processing system adopts the acquisition of information in demand and supply to help you create a purchase order. As with purchase requisitions, you can generate your own or Planning and Controlling system generates it automatically.
5. Order Tracking: The system checks the reminder periods you have specified and - if necessary - automatically prints reminders or expediters at predefined intervals. It also offers an update on the status of all purchase requisitions, quotations, and purchase orders.
6. Receipt of goods and inventory management of goods receipt staff is able to confirm receipt of goods simply by entering the number of Purchase Orders by specifying permissible tolerances.
7. Invoice Verification: The system supports control and matching of invoices. Accounts payable is informed of the quantity and price changes because the system has access to PO and goods receipt data. This speeds up the verification process and compensation for the payment of invoices.
Posted by: sapDB.info
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