Third party Procurement/Sales

Can anybody please explain me third party/sales/procurement?
Amit

http://help.sap.com/erp2005_ehp_04/helpdata/EN/dd/560287545a11d1a7020000e829fd11/frameset.htm

Similar Messages

  • Third Party Procurement Goods Receipt

    For Third party procurement, where goods are ordered from a vendor and drop-shipped to a customer, how does SAP recommend the goods receipt process take place by the customer? (We are using CRM/ECC/SRM)
    For example, normal PO creation requires a plant to be specified.  However in third party procurement, there is no goods receipt into a plant, as the materials are shipped from the vendor directly to a customer. 
    Please provide any insight on if or how a goods receipt is performed in third party procurement scenario.  I believe SRM enables a new 107 movement, if this is true can someone please elaborate on this process.
    Thanks

    Hi,
    In 3rd party sales, the preq so generated in SD got to have plant at any cost no matter we receive into our plant or not.  This is because, we need to be able to pay to vendor subsequently (whether we receive into our system by active GR for the PO or not  and MIRO uses PO reference and that becomes the data (in most cases of 3rd party sales process) for SD billing.  So, plant must be there.  However, processing GR is optional.  But, a good solution is:
    Customer places order with us so, SO# created.  Being 3rd party order, creates 3rd party PReq and I would recommend a shipping notification (or Inbound Delivery) be EDI'ed to our system from vendor's system when he dispatches goods to customer.  When customer confirms receipt in his receiving location, based on customer's communication (by phone/email/fax etc) we process GR logically. 
    Now, billing part whether before or after the vendor invoice processing is suggested in both the ways in best practices in two different scenarios.  However, it is recommended to have vendor invoice processed before customer invoice.  Hope, this helps..

  • Third party procurement

    In third party procurement scenario, I understand the material is directly sent to customer and the vendor sends only invoice to the purchasing plant.
    If this is right, how the

    Hi Balaji,
    Third party sales process as follows:
    1. Create Sales Order : Based on the customeru2019s purchase order we create sales order in the SAP system. Sales order creation can be automated if supplier supports EDI.
    While creating the sales order we need to specify the item category . TAS is a standard item category provided by SAP for 3rd Party Sales Order. Ideally we copy and create our own u201CZTASu201D item category.
    Now while saving the sales order system automatically creates purchase requisition against the sales order in the background due to TAS/ZTAS item category.
    2. Automatically PO will be created: The PR to PO conversion can be happened automatically by maintaining certain Master data.
    In this case the account assignment category in the purchase order should be u201CYu201D and item category in the purchase order should be u201CSu201D.These account assignment category and item category will control subsequent flow in the process.
    3. Delivering Goods to Customer: Once vendor receives the PO, vendor ships the goods directly to the customer as per the guideline provided on the PO.
    4. Goods Receipt (GR):
    GR can be done either of following 2 ways.
    Fully automated way u2013 Customer can send the ASN to SAP system which can trigger the inbound delivery and GR.
    Manual u2013 Customer sends the customer confirmation and based on that GR is carried out manually in the system; physically material will be send to customer by third party.
    5. Entering a Vendor Invoice
    The vendor sends you an invoice. You enter the invoice receipt in Invoice Verification. The invoice receipt is necessary (Based on the setting made at item category level) before a billing document can be created in SD or we can bill the customer as soon as order is created in the system.
    But bill the customer only after the invoice verification is done. This minimizes the discrepancies later.
    6. Creating a Billing Document for the Customer:
    In SD, you create a billing document for the sales order. Depending on the Customizing settings , you draw up the billing document on the basis of the order quantity or on the basis of the quantity specified in the vendor invoice. If the customer is billed on the basis of the order quantity, you can create the billing document immediately after the sales order is entered. If the customer is billed on the basis of the quantity specified in the vendor invoice, you cannot create the billing document until the vendor invoice has been entered in Invoice Verification.
    Hope this helps
    Thanks & Regards,
    Rahul.

  • Sales returns in third party & intercompanty sales

    hi friends,
    In third party & intercompany sales how customer will return the goods.??
    what is the business flow???
    how credit note will Raise for customer???
    thanks

    Hi,
    As per standard procedure in SAP sales returns in third party is not possible.Please refer OSS note no 751609.You need authorization to access this  notes.
    Please refer this link on sales returns in intercompany sales.
    http://help.sap.com/erp2005_ehp_03/helpdata/EN/6f/28322ac77911d4b57d006094b9b9dd/content.htm
    Thanks,
    Vrajesh

  • THIRD PARTY RETURN SALES

    hi friends,
    In third party  RETURN SALES
    what is the business flow???
    After returning the goods to vendor, How we create creit note ??
    means which reference( OR,PO,RE)???
    thanks

    Third Party Return Process
    Please check this extract from the sap library :
    If the vendor grants you a credit memo on a quantity or a value basis, you can then send this credit memo directly to your customer.
    The billing type Third-party credit memo (G2S) is available for this. The billing type Third-party credit memo works with the item category TASG (third-party credit memo item). The Billing-relevance indicator F is set in Customizing for Sales for this item category. This means that the cost is not created. In Customizing for Sales, the item category TASG is set at item level in copying control for the billing type G2S (copying control sales document by billing document) as the target item category (source: TAS-> Target:> TASG.)
    Process Flow
    Create a billing documente with billing type Third-party credit memo (for further information, see the section Creating a billing document in the Billing document). Enter the third-party order as a document still to be processed. The quantities are automatically removed from the invoice.
    The above is the process for giving a credit memo which can be adapted for return goods.
    Regards,
    Rajesh Banka

  • Third party Procurement process

    Hi all,
    Can anyone explain me the third party procurement process steps involved in MM .
    Thanks ,
    Srinivas Nomula .

    Dear Srinivas,
    Do you think of third party process or subcontracting?
    In both cases you can use (and please use) the search function of the forum and SAP online help before opening your own thread.
    E.g.
    http://help.sap.com/saphelp_erp2005/helpdata/en/4d/2b91be43ad11d189410000e829fbbd/frameset.htm
    http://help.sap.com/saphelp_erp2005/helpdata/en/dd/560287545a11d1a7020000e829fd11/frameset.htm
    Third party process in MM
    Third party process - error
    Regards,
    Csaba

  • Can a Third-Party Consignment Sale Exist?

    Can a Third-Party Consignment Sale Exist? If it exists could anyone provide the flow of the scenario that is basically done in the system? Points will be rewarded for the answers.

    Dear Kiran,
    It does exists.
    Visit the following link for flow:
    http://www.sap-img.com/sap-sd/process-flow-for-3rd-party-sales.htm
    Regards,
    Naveen.

  • Third party export sale

    Hello,
                Can anyone elaborate on the definition of third party export sale.......
    It is where an exporter exports on behalf of another third party exporter........here who is the seller and who is the vendor...???how to go about with this scenario....??....kindly provide a solution...

    Hi
       Third Party Exports
              In terms of para 2.34 read with para 9.62  of the Foreign Trade Policy, 2004-09, u201CThird Party Exportsu201D have been defined to mean exports made by an exporter or manufacturer on behalf of another exporter(s).  In such cases, export documents such as shipping bills etc. shall indicate the name of both the manufacturing exporter/ manufacturer and third party exporter(s).  The BRC, GR declaration, export order and the invoice should be in the name of the third party exporter.  The definition of u201CThird Party Exportsu201D in Circular No.120/95-Cus. dated 23.11.1995 accordingly stands amended to fall in line with the definition of third party exports given under the Foreign Trade Policy. The other conditions of the  Circular will remain unchanged. 
    Just search in the google
    regards
    Prashanth

  • Unable to enter SC vendor as Delivery address in Third party procurement

    Hi all,
    Im creating a Third party Purchase order against sales order i.e. Account assignemnt cat as E and Item cat as S.
    But my delivery address is my subcontractor. In item details Delivery Address tab if I enter the Vendor number and Put a tick mark on SC vendor, when I do GR against this order Stock will will be posted to Subcontracting vendor stock.
    But in Third party PO tht tick mark is in display mode.
    If I create Purchase Order without account assignment and Item cat Im able to select the SC vendor field.
    I checked the screen lay out Account assignment E tht field is optional entry.
    regards
    Durga Ram
    can any one tell me wht configs I missed ?

    Hi
    do this.
    First enter your vendor,PO,PG,CC and then dont directly enter item category and account assgt category.
    first enter material,qty,price ,plant etc.
    then go to item detail screen for del. addresss and enter vendor and tick SC.
    after that enter item category and acct assgt category.
    reward if it helps
    rb

  • Third party order sales- final invoice

    Dear Guru's
    I wanted to know that how the values in VPRS is flowing in final billing in case of Third party sales order?
    what setting needs to be done to get the material cost as well as the Delivery cost at final billing ?
    Both is captured at the time of MIRO. Help!!!!!!!!!!
    Thank you
    Soma Ganesh

    can you please tell me how you can resolve this issue....
    Regards,
    Danish Alam

  • Third Party and Sales Deal Combination

    A Client has a business process where the vendor normally delivers goods to the client and the client sends it to the customer with some secial promotional pricing. But at times the vendor is not able to deliver the goods on time to the client so they send it directly to the end customer to save time. I was wondering if this could be acheived with a different item category like in third party with a combination with sales deals to handle the promotional pricing. Please suggest if this is a viable option or if we have to go anyother route.
    Also since I am new to sales deals, I would like to know if there is any identifier/indicator in sales orders which tells us that it is using a sales deal?

    Hello George,
    1. A Client has a business process where the vendor normally delivers goods to the client and the client sends it to the customer with some special promotional pricing.
    For this you can use individual purchase order process with item category "TAB" and use it with sales deals.
    2. But at times the vendor is not able to deliver the goods on time to the client so they send it directly to the end customer to save time. I was wondering if this could be achieved with a different item category like in third party with a combination with sales deals to handle the promotional pricing.
    Yes, you can definitely use third party process to fulfill your second requirement by using "TAS" item category in the sales order. 
    The only difference between the two process will be the ship to party address on the PR & PO. Based on the item category system determines which ship to party address it should copy on to the PR & PO.
    If its customer's address vendor delivers the goods directly to customer (Third party process) and sends you a notification, and if its client's address then vendor delivers the goods to client and later the client delivers the goods to customer ( individual purchase order process)
    3.  Now coming to sales deals.
    Yes you can use it with both the processes and you won't be able to see sales deal number at document level in the sales order, however you will be able to see it at invoice document level.
    If you wish to see the sales order associated to a particular sales deal then you check them at table level in VBAP and for billing documents in VBRP.
    You will be able to see the sales deals which has been determined in the sales order, based on the condition type and condition record triggered. You can see them at item level of sales document by going in the additional data screen from the condition records details screen.
    Regards
    Naveen K.

  • Third party procurement  configuration steps

    Hi all,
    I have process flow knowledge.
    Can some body explain me congifuration steps  & key elements that are to be taken care in the process.
    thanks

    Hi,
    3rd Party is nothing but trading business. you Receive a order from your customer (sales Order) n Issue/raise Purchase Order on Vendor. and ask ur vendor to delivery the goods directly to your customer.
    steps in R/3
    1. Create Sales Order (VA01)
    2. System will create PR in backgroud (ME53N)
    3. Convert PR into PO. (ME21N)
    4. Create GR (Optional) (MIGO-101)
    5. Create IV(Vendor Invoice) (MIRO)
    6. and finally Generate SD Billing (VF01)
    This is SD-MM Integrated business process.
    hope this will clear you.
    Regards,
    Hareesha k

  • Problem in third party sales scenario

    Hi all,
    When i'm creating sales order for third party i'm not getting purchase requistion number and when i'm enter third party in sales order system displaying message like " Puchase requistion can only be created for items assigned to plant. Please solve my issue.
    Thanks and regards
    Keshav

    Hi
    In standard SAP, item category TAS is used for this. The schedule line category is CS. Here you can see a field 'order type' with value 'NB'. This triggers the automatic creation of the PR.
    Plus in the material master also you need to do certain settings.
    1) If you are always following a third party process for a material then you have to create the material using item category group BANS. The procurement type should be marked as external procurement (F) in MRP 2 view of the material master record.
    2) If you are not always allowing third party order processing then you can create a material master record with item category group as NORM and the procurement type should be marked as (X) meaning both types of procurement (in house manufacturing and external procurement).
    In the item category the billing relevance should be 'F'.
    With Regards
    baalakrushnan.da

  • Issue in third party sale

    Dear All,
    Issue is that i m doing third party sale.
    Made sales order with Item Catagory TAS.Quantity 10.Linr item 10.PR created.
    Then i've made PO with refrence of line item 10,quantity 5 EA.Quantity 5 remains open.
    Then with the refrence of PO i've made invoice .
    Then i've bill the line item 10 in sales oreder with va02.
    The problem is that it selecting the quantity 10 even only 5 quantity is invoiced and 5 in PO is
    still open.
    The requirement is that only envoiced quentity should be avilable for billing.
    Provide ur feedbacks.
    Sukhveer.

    Dear Sri,
                 Billing relevance is F, Order related billing subject to invoice quantity.
                 PO is created w.r. to PR but MIGO is not to be done coz its third party E1 sale and MIRO
                 is completed for 2 quantity ,so only 2 quantity should be avilable for billing.
                 Needs ur feedback.
    Sukhveer.

  • MIGO- in Third party sale

    Hi,
    We will do migo in third party  customer sales(SD),
    once we do migo, what are effects of migo, i mean value updation or quantity.
    What is diff of this migo when compare to vendor suppllies good to company plant.
    Is migo is nessasary in third party sale
    regards
    chidambaram

    Hi,
    Posting MIGO is necessary in Third Party PO as it is in the case of Standard PO.
    The customer or your representative at customer's site confirms you that the material from vendor has been reached the customer's site. The papers are handed to you & you then post the MIGO. The effect of PO is that the material supplied to the customer is updated.
    The FI entries at the time of MIGO are -
    Debit entry to COGS (Cost of Goods Sold) Account
    Credit entry to GR/IR Clearing Account
    For the excisable material supplied by vendor in third party PO, you can not post the excise invoice (part 2 entry). You can only capture the same (Part 1 entry). This is because, you are neither receiveing material physically to your plant nor processing it. You pay your vendor for the excise duty & bill your customer. The customer may however take the excise modvat.
    After you post MIGO & MIRO (Invoice) then only you can bill on your customer for the material supplied by the vendor (directly to the customer.)
    Other effects of the MIGO are same in third party PO as well as Standard PO.
    Hope this clears your query.
    Regards,
    Prashant

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