Skip to main content

~ P2P

Purchase-to-Pay (P2P) Process in SAP S/4HANA

The Purchase-to-Pay process in SAP S/4HANA is a streamlined workflow that automates the procurement cycle, from identifying a need to paying a supplier. Here's a simplified overview of the process:

  1. Create Purchase Requisition:

    • A user in a department identifies a need for goods or services.
    • They create a purchase requisition in SAP, specifying the items, quantities, and delivery dates.

  2. Create Purchase Order:

    • The purchase requisition is approved, and a purchase order is generated.
    • The purchase order includes details like supplier information, pricing, delivery terms, and payment terms.

  3. Goods Receipt:

    • When the goods are received, a goods receipt document is created in SAP.
    • The system verifies the quantity and quality of the goods against the purchase order.

  4. Invoice Verification:

    • The supplier sends an invoice to Company XYZ.
    • The invoice is entered into SAP and compared to the purchase order and goods receipt document.
    • Any discrepancies are identified and resolved.

  5. Payment Processing:

    • Once the invoice is verified, the system generates a payment document.
    • The payment is processed, either manually or automatically, and sent to the supplier.


Comments

Post a Comment

Popular posts from this blog

Primary & Secondary

A key aspect of how CO and FI are integrated within the SAP S/4HANA system: 1. Primary Cost Elements: • Example:  ○ FI: Salaries expense in the P&L statement. ○ CO: Salaries expense used in cost center accounting to track labor costs. 2. Secondary Cost Elements: • Example:  ○ Depreciation: While depreciation is tracked in FI, a secondary cost element might be created to allocate depreciation costs to specific cost centers or internal orders based on factors like asset usage.   In SAP S/4HANA, the distinction between cost elements and costs, whether primary or secondary, is fundamental to how Financial Accounting (FI) and Controlling (CO) interact and provide granular insights into an organization's financial performance. Here's a breakdown of the differences: 1. Primary Cost Elements What they are: Primary cost elements are essentially General Ledger (G/L) accounts from Financial Accounting (FI) that are relevant for cost accounting in Controlling (CO) ....
Post a Comment
Read more

~ Currency Types in ECC vs. S/4

Currency Types in ECC and S/4HANA FI: ECC: There are indeed only 3 Currency Types in ECC: Company Code Currency: The primary currency used for financial transactions in the company code. Group Currency: The currency used for consolidation purposes at the group level. Hard Currency (or Additional Currency) S/4HANA FI: There are 10 Currency fields available in the ACDOCA: Company Code Currency Group Currency Document Currency Global Currency Free-Defined Currency 1 .  .  . Free-Defined Currency 6 Differences Between OB22 and FINSC_LEDGER: OB22: Primarily used for setting currencies at the company code level. Allows you to define and manage local currencies for a specific company code. The screen for "Change view additional local currencies for a company code: details" is specifically for ECC, as it only lists three local currencies. FINSC_LEDGER: A more comprehensive transaction for managing currencies and other financial ledger settings. Offers a wider range of options and f...
Post a Comment
Read more

~ CO Area Assignment and Currency Type Settings

~  The choice between "Controlling Area Same as Company Code" and "Cross-Company-Code Cost Accounting" in transaction OKKP does indeed affect the currency type options available. Here's a breakdown of the currency type options for each scenario: Controlling Area Same as Company Code: Only one option is available: Company Code Currency . This means that the controlling area will always use the same currency as the company code it is assigned to. Cross-Company-Code Cost Accounting: Six currency type options are available: Company Code Currency: The default currency of the company code. Controlling Area Currency: A currency defined at the controlling area level, allowing for different currencies within a single controlling area. Group Currency: A currency defined at a higher organizational level (e.g., a corporate group). Hard Currency: A currency typically considered stable and less prone to fluctuations (e.g., USD, EUR). Index-Based Currency: ...
Post a Comment
Read more