Sales and Distribution integrates with a variety of other modules. Your company manages customer orders from initial request for product to the receipt and posting of customer payment as part of the Customer Order Management cycle.

To begin the cycle, your company typically enters customer orders which contain customer and product information, as well as delivery schedules. Order entry personnel use this information to advise customers about prices and delivery dates before they confirm an order. Here Sales and Distribution integrates with Materials Management for availability checking. For make to order product, Sales and Distribution integrates with Production Planning so that the product is made to satisfy the customer order requirement. Delivery and billing processing both integrate with Project Systems. [...]

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In this user guide, the major exercise steps will be implemented using the International Demonstration and Education System (IDES) Model Company that has been set up in the R/3 System. The IDES corporate group is comprised of a number of companies that operate in various industries (automobile production, financial services, aerospace etc.) and countries. [...]

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During goods issue in the sales cycle, the system is usually configured to update the relevant GL accounts automatically and to create the relevant accounting documents. This customization in IMG is also called material account assignment and is achieved through a number of steps as detailed below:

1. Determine ‘valuation level’ (Company Code or plant).
2. Activate ‘valuation grouping code’ and link it with the ‘chart of accounts’ for each ‘valuation area.’
3. Link ‘valuation class’ with ‘material type’ (FERT, HAWA, HALB, etc.) with the ‘account category reference’ (combination of valuation classes).
4. Maintain ‘account modification codes’ for ‘movement types.’
5. Link ‘account modification codes’ with ‘process keys’ (transaction/event keys).
6. Maintain a GL account for a given combination of ‘chart of accounts’+ ‘valuation grouping code ‘+’ account modification code ‘+’ valuation classes.’

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The goods/services from a plant can be sold by one or more sales organizations. It is also possible that single sales organizations sells goods/services for several plants. When the sales organizations sells for more than one plant belonging to one or more Company Codes, then this is called inter-company sales, and will require you to make some special configurations in the system. A sales organization, attached to a Company Code, is further divided into distribution channels and divisions in SD. A division typically represents a product line, and is assigned to a material in the material master.

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A ‘Sales Order’ is a contract between your Sales Organization and a Customer for supply of specified goods and/services over a specified timeframe and in an agreed upon quantity or unit. All the relevant information from the customer master record and the material master record, for a specific sales area, are copied to the sales order. The sales order may be created with reference
to a ‘preceding document’ such as a quotation, then all the initial data from the preceding document is copied to the sales order. [...]

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The billing document represents the final function in the SD process chain. Billing is an important part of the financials interface. This allows documents to be created automatically in Financials Accounting and Controlling when you create billing documents. A billing document has structure similar to that of a sales document, with header and item. the billing type controls the billing document. The following is a list of billing types in SAP Systems: [...]

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In sap there is specific transaction flow for a particular Manufacturing Process. It all depends upon the requirement of client and process.

Here is the basic flow of transactions which is req. for creating master data, planning and order processing…

The Made TO Order Cycle:

The sale department passes on the Made to order-Sales Order to the Material department so that material requirement is analyzed. This is done in SAP by carrying on an MRP Run for all the levels of the product BOM. This MRP Run would create Planned Orders for the shortages. Here the planned orders for fert sub assemblies, Components etc, are created. [...]

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