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SAP Enterprise Structure

SAP enterprise structure is organizational structure that represents an enterprise in SAP ERP system. It consists of some organizational units which, for legal reasons or for other specific business-related reasons, are grouped together. Organizational units include legal company entities, sales offices, profit centers, etc. Organizational units handle specific business functions.

Organizational units may be assigned to a single module (such as a sales organization is assigned to Sales and Distribution (SD) module, or to several modules (such as a plant is assigned to Materials Management (MM) and Production Planning (PP) module). SAP ERP system can represent a complex enterprise structure.

Enterprise structure design is a fundamental process in a SAP implementation project. The design is mainly determined by the business scenarios performed in an enterprise. Once the design is determined, it will affect many things such as how to perform a transaction and generate reports on SAP system. Although it’s possible, it requires great effort to change the enterprise structure. So , we must ensure that the enterprise structure designed in the SAP implementation project can accommodate all business scenarios and enterprise’s requirements for current and future situation.

The SAP Enterprise Structure is a fundamental setting and needs a comprehensive understanding of the business processes and their integration. We have to work with other departments and SAP modules, such as Accounting department (FI), and Sales department (SD).

This book explains in details about the basic concept of SAP Enterprise Structure (MM and related modules such as FI, Logistics, and SD) and step by step how to configure it in SAP ERP system. To make it more understandable, it is supplied with a case study and  the screen shots of each configuration step.

It's written in a simple-to-understand way, so you can learn it easily. You don't need to have extensive SAP configuration skill and experience to be able to configure the SAP Enterprise Structure.

Table of contents of the e-book:
  • Chapter 1: Case Study Business Scenario
  • Chapter 2: SAP Enterprise Structure
    • Enterprise Structure in Financial Accounting
      • Enterprise Structure concept in Financial Accounting
      • Define Company
      • Define Company Code
      • Assign Company Code to Company
      • Define Business Area...page 13
    • Enterprise Structure in Logistics – General
      • Enterprise Structure concept in Logistics
      • Define Plant
      • Define Valuation Level
      • Define Division
      • Assign Plant to Company Code
      • Assign Business Area to Plant/Valuation Area and Division
    • Enterprise Structure in Sales and Distribution (SD)
      • Enterprise Structure concept in Sales and Distribution
      • Define Sales Organizations
      • Define Distribution Channel
      • Assign Sales Organization to Company Code
      • Assign Distribution Channel to Sales Organization
      • Assign Division to Sales Organization
      • Setup Sales Area
      • Assign Sales Organization – Distribution Channel - Plant
      • Business Area Account Assignment
    • Enterprise Structure in Material Management (MM)
      • Enterprise Structure concept in Material Management
      • Maintain Storage Location
      • Maintain Purchasing Organization
      • Assign Purchasing Organization to Company Code
      • Assign Purchasing Organization to Plant
      • Assign Standard Purchasing Organization to Plant
      • Assign Purchasing Organization to Reference Purchasing Organization
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