SRM Overview - Part I V1.0

IBM Global Business Services
2007 IBM Corporation

SRM Overview
SRM Overview Mar-2011
Objectives
Upon Completing the course the participant will be able to:

Know the basic structure of SRM
Master data maintenance
Creation of SC and PO
A little bit on workflows
Plan Driven procurement
Know how of Contract Management

2 Mar-2011 SRM Overview
Course Outline
Module 1. SRM Architecture Overview
Module 2. SAP Procurement Portfolio Overview
Module 3. Self-Service Procurement
Module 4. Service Procurement
Module 5. Direct/Plan-Driven Procurement
Module 6. Catalog Content Management
Module 7. Central Sourcing Hub
Module 8. RFx/Auctioning
Module 9. Supplier Collaboration
Module 10. Contract Management
Module 1: SRM Architecture
Lesson Overview
This lesson will provide an overview of the different software components that
make up the SAP SRM solution.
Lesson Objective
After completing this lesson, you will be able to:

Explain the SAP Business Suite
Describe the main features of SAP Supplier Relationship Management
Describe the SRM Application and Technology Components
Business Scenario
You company will be implementing SAP Supplier Relationship Management
(SAP SRM) and you have been assigned to the project team. As a project team
member, you need to become familiar with the different software components that
make up this solution and their integration points.
Business Suite 7

No more stovepipes : Flexible end-to-end processes
Deploy as you go : Stepwise projects and installation
No more upgrades : Enhance Pack = Innovation Packages
Dynamic : Re-usable enterprise services
Industry focused : Delivers integrated industry solutions
Extensible : Easy expansion beyond ERP

Companies Require Process Excellence to Meet Business
Requirements New Reality

Driving a need to
Develop loyalty and trust in
Business
Improve execution speed, reduce
complexity, optimize assets
Take action through insight
Requiring Business To:
Ensure Global
Process Excellence
Improve Efficiency and
Reduce Costs
Making Better Decisions to
Capture Opportunities
SAP Business Suite 7

Process excellence
Introducing value scenarios
Consolidated industry
capabilities
Reduce cost
Delivering best-run Now
packages
Extending enhancement
packages
Capture opportunities
Creating better insight
Enabling faster flexibility
SAP Business Suite 7 contd
As part of SAP Business Suite, SAP SRM provides a single, consolidated view of
the procure-to- pay process including purchasing data from the SAP ERP
application, which can be viewed as a single display via a personalized
dashboard

Harmonization of Procure-To-Pay within the SAP
Business Suite
Procurement processes in your enterprise, from the creation of a purchase
requisition or shopping cart up to payment, are optimally supported by the
procure-to-pay scenarios that integrate functions of SAP Supplier Relationship
Management (SAP SRM) and SAP ERP and allow you to leverage the
strengths of both systems to optimize your procurement processes.

The following business scenarios specifically benefit from the
harmonization:

Service Procurement: Extend sourcing to MM customers and enhance
services via catalogs
Central Contract Management: Central contracts repository in both SRM
and ERP
Strategic Sourcing with RFx: Making use of SRM RFx from ERP

Harmonization of Roles Across SRM and ERP
Traditional Approach

With New SAP Business
Suite

ERP Role SRM Role One Role
ERP SRM ERP SRM
Harmonization of Procure-To-Pay within the SAP
Business Suite contd
Harmonized UI via NetWeaver Portal
Release Strategy for SRM One Client
Business Suite 7.0: SRM Landscape
SRM Architecture Overview
SRM 5.0 was using ITS User Interface technology.
SRM 7.0 uses NetWeaver Dynpro User Interface Technology along with the NetWeaver
Enterprise Portal.
For SRM 7.0, the Enterprise Portal is mandatory component.
Internet Pricing Configurator (IPC) 7.0 is part of the component AP 7.0
RFC-> Remote function Call
Data exchange via the application gateway using ABAP Web Dynpro Applications or
Business Server Pages (BSP) technology
Data exchange via Java applet Live Auction Cockpit WPS (also via application gateway)
The following SAP SRM scenarios, where the Web front-end is based on ABAP Web
Dynpro technology, work on Data Exchange via the Application Gateway for
Applications with Web Frontends principle:
Self-Service Procurement, Plan-Driven Procurement, Service Procurement, Catalog
Content Management, Spend Analysis, Strategic Sourcing with Bidding Engine but
without LAC WPS & Contract Management

SRM Architecture Overview contd
SAP NetWeaver Process Integration (PI)
It comprises core components for modeling, designing, automating, and integrating the
processes of one or more application systems.
SAP Process Integration requires a dedicated SAP Web Application Server.
This means that running applications in other clients of the same Web AS is not supported.

SAP GUI
The latest release of the SAP GUI software (such as SAP GUI 6.20) can be used with all
the previous SAP component releases.

SAP R/3 Plug-In
The SAP R/3 Plug-In is an interface for exchanging data between one or several SAP R/3
systems and other SAP components. All SAP-industry-specific components based on SAP
R/3 4.7 and higher SAP R/3 releases require an SAP R/3 Plug-In.

SAP NetWeaver Application Server (JAVA)
Application Server (AS) is the application platform of SAP NetWeaver and, consequently, of
the SAP Business Suite. It provides the technological foundation for all other SAP software
units. Since AS comprises the ABAP Engine, Java Engine or both, it can provide a runtime
environment for both ABAP and Java applications.

SRM Architecture Overview contd
Software Component Matrix
Software Instance Self Service
Procurement
Strategic
Sourcing
Service
Procurement

Analytics
(Spend Analysis
& Supplier
Evaluation)
Contract Mgnt
SAP SRM Server M M M O M

SAP NetWeaver
BI and BI Content
O O O M O
SAP NetWeaver
EP and EP Content
M M M M M
SAP NetWeaver &
Adobe Document
Services
M M M N.A. M
SAP NetWeaver PI & XI
Content
M M M N.A. M
SAP NetWeaver
TREX
O O O O O
Software Instance Self Service
Procurement
Strategic
Sourcing
Service
Procurement

Analytics

Contract
Mgnt
SAP ERP M M M O O
SAP SRM-MDM
Catalog
M O O O O
Legend: O = Optional (Business or Technology enhancement for this scenario)
M = Mandetory (minimum requirement for the deployment variants of this scenario)
N.A. Not applicable to this scenario
Software Component Matrix contd
SRM Scenarios
Course Overview
There are three basic SRM business and deployment scenarios depending on the
kind of business you are in and what process is currently being used.
Course Objectives
After completing this course, you will be able to:

Explain the different SRM Deployment scenarios
Explain the SRM Business scenarios
Describe the roles utilized in different business scenarios
Business Example
You need to identify the Deployment and Business scenarios of SRM that will
best meet your company.s requirements.
Classic
The Classic Integration
scenario supports
end users in
retrieving desired
goods and services
from predefined
catalogs
The back-end
software is the
leading application
for the PO document
and subsequent
documents
Goods receipt or
invoice creation can
take place in SAP
SRM

Back-end Software
Accounting
Materials
Management
Create
PReq
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
Consulting
information
Accounts
Payable
SAP SRM
Create
Shopping
Cart
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
SAP SRM
Server
Extended Classic
The extended classic integration scenario
supports the end-to-end procurement cycle
in SAP SRM; a copy of the necessary
documents is stored in the back-end
software
SAP SRM is the leading application for
the PO document and subsequent
documents
A copy is the maintained in the back-end
software
Changes can only be made to the PO in
SRM. The changes are then replicated to
the copy in the backend
Users of the back-end software have full
visibility; even without touching SAP SRM
Goods receipt or invoice creation can take
place in SAP SRM or the back-end

Back-end Software
Accounting
Materials
Management
Create
PReq
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
Consulting
information
Accounts
Payable
SAP SRM
Create
Shopping
Cart
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
SAP SRM
Server
Replication
of PO
Standalone
The stand-alone integration scenario
supports back-end software
integration that is require only to
keep the underlying financial
systems synchronized

SAP SRM is the leading application
for the PO document and
subsequent documents
All tasks and activities take place
within SAP SRM
Purchasing invoices are posted to
the underlying accounts payable
system

Back-end Software
Accounting
Materials
Management
Create
PReq
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
Consulting
information
Accounts
Payable
SAP SRM
Create
Shopping
Cart
Create
Purchase
Order
Create
Invoice
Create
Goods
Receipt
SAP SRM
Server
2011 IBM Corporation 29 Mar-2011 SRM Overview
Classic Extended Classic Standalone
Shopping Cart SAP SRM SAP SRM SAP SRM
Approval SAP SRM SAP SRM SAP SRM
Purchase Order Backend system SAP SRM
(leading system)
and backend
system

SAP SRM

Goods Receipt

Backend
system (can be
pre-entered in
SAP SRM)
Backend
system (can be
pre-entered in
SAP SRM)
SAP SRM (no
accounting posting
made in backend
system)
Invoice Backend
system (can be
pre-entered in
SAP SRM)
Backend
system (can be
pre-entered in
SAP SRM)
SAP SRM
(accounting
information sent to
backend system)
Various Business Scenarios
SRM Roles
User Mapping
User mapping is used for Single Sign-On (SSO) to back-end systems. User
mapping maps a portal user ID to the user ID of the back-end system.

Module 2: SAP Procurement Portfolio
Overview
Lesson Overview

SAP offers a variety of solutions to support the Source to Pay process. This lesson
will introduce you to these different solutions.
Lesson Objective
After completing this lesson, you will be able to:

Describe the features and integration aspects of SAP E-Sourcing.
Understand the master data maintenance
Business Example
As a member of the Source to Pay team, you need to understand the other
SAP solutions that can build on your core Supplier Relationship Management
functionality. You want to evaluate the features and benefits of SAP E-Sourcing,
Contract Lifecycle Management and Spend Analytics.
SAP Procurement Excellence:
Bridges the gap between strategic and operational to create greater time to value,
increased compliance and sustainable savings.

SAP Procurement Portfolio
SAP Procurement End to End Coverage
Key Focus Areas
SAP Spend Analytics
SAP Spend Analytics is SAP.s next-generation end-to-end spend analysis solution.
It is an analytical application that helps companies gain a comprehensive view
of their spend data. It aggregates data from heterogeneous sources, supports da
cleansing and classification activities and provides a rich reporting and analysis
environment that offers both out-of-the-box and ad hoc analysis capabilities for
analyzing all spend data.
SAP e-Sourcing
The SAP E-Sourcing application is Web-based software that helps you maximize
savings by automating and streamlining the strategic sourcing process across all
of your supplier expenditures.

SAP E-Sourcing enables you to perform processes such as reporting,
collaborative project management, online bidding, contract negotiation, and
contract management.

You can deploy SAP E-Sourcing according to your needs. For example, to get up
and running quickly, the application can be hosted by SAP. Or, you can choose to
deploy SAP E-Sourcing on your own infrastructure.

Suppliers can be given access to E-Sourcing to participate in processes such as
RFx, Auctions and Contract reviews.
SAP e-Sourcing contd.
SRM E-Sourcing
For Legal clause libraries and document
management functionality in contracts you
need to use Document Builder which as of
SRM 5.0 is not a standard delivered
solution with SRM
The E-Sourcing contracts have an advantage
over the SRM contracts primarily due to the
legal clause libraries and document
management functionality that does not exist
in SRM
No projects exists in SRM The Sourcing Projects can be used to enforce
standard procedures throughout the sourcing
process. The Projects in E-Sourcing are
completely independent of Projects in the ERP
system.
Supports Self service procurement Does not Support Self service procurement

It is integrated to SAP ECC using RFCs It is integrated with the SAP ECC system to
support master data and process integration.
This integration is made possible via PI.
The workbench is the default view for all users within E-Sourcing. The workbench
provides channels of information to help users manage activity within the
application. These include:

Event calendars and To Do lists
Activity / Management reports
Search functionality
Shared files
Alerts
Discussions
Training materials
Technical support information
Links to internal and external websites
SAP Contract Lifecycle Management
The SAP Contract Lifecycle Management (SAP CLM) application supports
your companys entire contract management process. The application
supports all contract types and can integrate with back-end systems in
support of contract compliance.

SAP Contract Lifecycle Management (CLM) contains all of the features and
functionality of the Contract Management module within SAP E-Sourcing. The
main difference is that CLM can be used for the creating of Enterprise-wide
contracts, such as Sales contracts.

CLM also includes the following features from E-Sourcing:

Projects
Business Partner Management (Supplier Management)
System Libraries (Clauses, Sections and Templates.)
Master Data Maintenance
Course Overview:

Understanding the Material /Product Master maintenance
What is a business partner and how are they used
The basic organization structure of the company

Course Objective:

You should be ale to create and use the master data in your SRM system
objectively

Business Example
Your company needs to utilize the vendors and materials that already exist in its
ERP system within SAP SRM. Therefore, you need to explore the options for
creating and utilizing this master data in SAP SRM. You also need to understand
the role of the Organization Plan in SRM.
Business Partners:

An internal or external business partner is created in SRM for every person,
organization, or group of people that could be involved in a business
transaction.

Internal Requisitioner, Purchasing company, location, ship-to address,
strategic buyer. They are normally attached to the organization structure

External With role vendor or bidder. They are attached to the contact
person.
Master Data Maintenance contd
Business Partners contd

Addresses: All addresses and address types are saved with the business
partner. Vendors can be given permission to change their own addresses

Address Type Description
Ordering : The purchase order goes to this address
Ship-from : The goods are sent from this address
Invoicing party : The invoice is sent from this address
Ship-to : Goods are delivered here
Invoice recipient : The invoicing party sends the invoice here
Goods recipient : Internal address of the receiving party

Vendors

Through Backend
BBPGETVD
BBPUPDVD
BBP_VENDOR_SYNC

The vendors themselves are assigned to vendor groups; transaction
PPOMV_BBP

Vendor Hierarchies : Vendor Hierarchies can be employed for reporting
purposes (mergers and acquisitions)

Terms of payment and Quality Management systems are only transferred if
they have first been replicated. To do this, use the following reports:
BBP_UPLOAD_PAYMENT_TERMS and BBP_UPLOAD_QM_SYSTEMS.

Vendor Master in SRM : PPOMV_BBP

Product Replication:

For Product categories: COMM_HIERARCHY

For direct materials: COMMPR01

Organization Structure
Root Node
Company Code Company Code Company Code
Departments Departments Departments
Local
Purchasing
Organization
Backend
Purchasing
Organization
Purchasing
Group
Purchasing
Group
Purchasing
Group
Purchasing
Group
Organization Structure
Purchasing Organization and Groups in the organization structure can be defined
as follows:

Attributes
Attributes are predefined values that are maintained for the various Org Units.
Company Codes
Plants
Storage Locations
Account Assignment Categories
Cost Centers
Catalogs
Purchasing Document Type

Attributes maintained at the Root Node in the Organization Plan are usually
inherited by the nodes below it.
Changes or additions to inherited attributes at the lower nodes is also possible.
The attributes are utilized by users creating shopping carts. It may be possible for
a user to have multiple values for a give attribute. For example, a user may more
than one account assignment category to choose from when creating a shopping
cart, such as Cost Center, Asset and WBS Element. In this case they could set
one of these as their default and choose from the other options as needed.

Module 3: Self-Service Procurement

Self Service Procurement:
Shopping Carts
Confirmations
Invoices

Self Service Procurement Shopping Carts
Lesson Overview

One of the main goal of SAP SRM implementation is to facilitate the process of
requesting goods and services for the employee

This is achieved by providing a user-friendly Web interface for shopping where
the user can add items from the catalogues and also by other means like free text
carts, old shopping carts and templates etc.

This lesson details about the process of an employee ordering their own items

Self Service Procurement Shopping Carts contd
Lesson Objectives

To describe the different ways to create shopping cart in SAP SRM

To explain the purpose of using catalogues in SAP SRM

To describe the approval workflows for shopping carts

Self Service Procurement empowers the employees of the organization to create
and manage their own requirements by creating shopping carts

It helps procurement departments to concentrate on more strategic
purchasing activities

Helps to abolish manual paper-based process which are error prone

Helps to reduce the transaction costs which are extremely high as compared
to the values of goods and services

Ensures compliance and reduces process costs by decentralizing the
purchasing process while maintaining central control with SAP Business
Workflow
Self Service Procurement in SAP SRM provides the following:

A purchasing platform that complements a typical ERP based procure-to-pay
process and adds integrated, catalogue based requisitioning to the process

An easy to use procurement environment, empowering every employee in the
enterprise to search for and buy items. It also ensures that transactions done
comply with the corporate purchasing policies and internal controls

It helps in decentralization of the process which enables to reduce overhead
and allows purchasing professionals to focus on managing relationships
instead of transaction

Role based tasks and workflows that free purchasing professionals to spend
more time on high-value sourcing and procurement tasks

End users can create their own requisitions without intervention of the purchasing department
Key Features:
Wizard approach for occasional users
Support of direct and indirect business scenarios
Generation of a requisition, reservation or purchase order and even on behalf of other users
Team Purchasing concept
Availability check and assignment of source of supply
Specification of preferred vendor
Contracts and budget checks
Procurement cards
Old shopping carts and Public templates
Attachments and customer fields
Ship-to address at item level
Cost Assignment to cost center, assets, orders and projects
Automatic lead time adjustment of delivery date
Distribute account assignment

Create a Shopping Cart:
The employee initiates the shopping process by creating a shopping cart
Employees can fill their shopping cart with goods / services
They can search for a suitable product in the catalogue or can describe the
requirement
They can hold the requirement or can place the order immediately

Catalogues in SAP SRM can be of following types:
Internally hosted catalogues: Purchasing control over the content that is
delivered by the supplier
Internal catalogs: Publishing of stock materials
External supplier catalogs: Its also know as Punch-out catalogs which is
accessed by the internet and managed by the supplier

Navigation Areas:
The shopping cart has navigational designs to accommodate the needs of the causal
user, the frequent user and the purchaser user
The three interfaces are called wizard, simplified form and extended form
These screens are designed to be used by different category of users based upon the
level of experience and needs

Below mentioned are the different shopping cart transactions:
Shopping Cart (Wizard): This template is for causal users with step by step instructions.
It helps employees find, select and add goods or services to their shopping carts quickly
and easily
Shopping Cart (Professional): This template is used for more experienced users like
purchasers / purchasing assistants. This will have less steps as compared to the wizard
Shopping Cart on behalf of other users: This template helps the purchasers /
purchasing assistants to buy goods on behalf of other users
Shopping Cart Templates: It helps to process recurring procurement transactions
efficiently

Wizard:

The wizard navigational screen is intended for the occasional user who
doesnt spend much time ordering and doesnt get repetitive practice to
become familiar with the screens

It consists of three steps viz: Select goods / service, shopping cart, complete
and order

Users can see only one view at a time and therefore they can easily identify
what stage of the purchasing process they have reached

Step 1: Select Goods / Services

In this step, users can select products through four methods:
Search catalogs
Reference existing templates
Directly enter an internal product number
Describe requirement

Step 2: Shopping Cart

Step 2 displays the information
on the screen in concise
format:
The system only displays
the information that is
actually required for the
purchasing process
You can modify the
information, delete / add
line items, check shopping
cart data for correctness
etc.

Step 3: Complete and Order:
Step 3 gives the user the below choices:
Order
Save
Giving meaningful name to the shopping cart
See the approval wokflow
Check the validity of the information

Step 4: Confirmation:

Step 4 is the final step:
It displays a success message along with the shopping cart number
Print Preview
Shop again
Close

Purchaser / purchasing assistant template:

The purchaser navigational screen is intended for the purchaser user

It consists of a vertical layered, single screen

This screen format allows the user to see all the steps in the shopping cart
process and quickly jump between area

This screen possesses additional functionality that doesnt exist in the wizard

The Professional Shopping Cart:

Additional features in shopping cart:

Account assignment: Cost center / asset / project / order / sales order /
network. Also provision for cost distribution (Percentage, quantity or value)
Documents and Attachments: Vendor Text / Internal Note / Attachments
Ship-To Address
Availability: For stock materials only
Source of supply
Approval preview
Procurement cards: Only for local purchase order in standalone scenario
Budget display

Shopping Cart Status and Processing:

Employees can check the status of the individual items in their shopping carts

The following statuses exist:

Saved Held / Incomplete
Awaiting Approval Subject to an approval procedure
In Your Inbox View Items
Rejected
Contains Error
My Personal Template: Belongs to a template
Public Template (created centrally): Belongs to a public template
My Favourites (single item): Belongs to your favourite
Open for Confirmation
Open for Invoice

Follow-on documents:

When shopping cart items are completely approved, it gets converted to one
of the below mentioned follow-on documents.

Purchase requisition

Purchase order

Reservation

Goods receipt / Service entry sheets

Invoices

Changes and Deleting

Changes: Employees can change the shopping cart under the following
conditions:

Follow-on documents are not yet created
Shopping cart kept on hold
Shopping cart awaiting approval
Shopping cart has not been accepted

Deleting: Employees can delete the shopping cart if they no longer need the
items they have requested provided the shopping cart has no follow-on
documents created
Catalog Scenarios
One of the main benefits of an e-procurement solution is the facility to use
catalogs. Catalogs provide a product listing along with extended product
information, including link to manufacturer and supplier data.

The following catalog scenarios are supported:

External catalogs: Maintained by the vendor and hosted at the vendor site

Multi-supplier catalogs: Managed by a third-party content aggregator / a
marketplace

Catalogs hosted by the customer (Intranet): Managed by the customer itself.
This needs a catalog management tool e.g. SRM-MDM

Internal catalogs: Allows employees to request items from their own stock

Workflow:
A flexible approval workflow enables organizations to manage the requisitioning of
goods and services in full compliance with purchasing policies
SAP SRM provides two frameworks for approval workflows:
Application-controlled (Used in SAP SRM 5.0 and earlier versions)
Process-controlled (Introduced in SAP SRM 2007)

Process Controlled Workflow:

Process Controlled Workflows are approval workflows based on SAP
Business Workflow, in which the modelled or configured process, and not the
application itself, controls the process flow.
A unified workflow template is used, and a process is evaluated by way of
process schema containing a set of distinct process levels.
The Business Rule Framework (BRF) can be applied to control further the
process flow.
Process controlled workflows model and carry out approval processes for
purchasing documents, such as shopping carts.
Approval process typically run on several process levels.
Throughout these process levels, a document can require different kinds of
checks and can involve agents with different roles.

Application Controlled Workflow:

Application Controlled Workflows are approval workflows based on SAP
Business Workflow, in which the application itself is in control over the SAP
Business Workflow templates.
Multiple workflow templates can be used using different start conditions.
Standard Application-Controlled Workflows in SRM include either two levels of
approval, one level of approval or no approval based upon the value of the
shopping cart
In addition to this, Value limit workflow, Value limit n-step workflow, Multi-step
approval workflow, Shopping cart completion workflow, User budget workflow
etc. are also there.
Approval process typically run on several process levels.
Throughout these process levels, a document can require different kinds of
checks and can involve agents with different roles.

Check Status:

Check status functionality of SAP SRM allows monitoring the status and
workflow of shopping carts and follow-on documents.

Key Features are:
Checking the approval status
Changing and editing the shopping carts
Extensive search
Link to follow-on documents
Express confirmation and invoice

Self Service Procurement: Confirmations
Self Service Procurement Confirmations contd
Lesson Overview

This lesson provides an overview of confirmations in SAP Supplier
Relationship Management
Lesson Objectives

To outline the different scenarios for confirmations in SAP SRM

To define the roles and their functions for processing confirmations

Business Example:

This function is used in SAP SRM to confirm the delivery of goods, and enter services rendered and
hours worked.

Confirmation Scenarios:

Goods receipt, Service entry and Time entry are handled by one confirmation scenario
These are replaced by a single document: the confirmation
Confirmations can refer either to purchase orders created in SAP SRM, or to purchase orders
created outside SAP SRM in the back-end system.


Two ways for employees or central goods recipients to save their confirmations:

Confirm Posts a document that has been processed completely.
Save It saves the confirmation as incomplete which can be completed at a later date.

Confirmations can be entered for purchase orders created in local or in backend
systems:

Local purchase orders create local confirmations
Backend purchase orders produce backend goods receipts

You can search for purchase orders that contain items yet to be confirmed or
confirmations that already have been created

Return Delivery from Confirmations:

Return deliveries can be generated from confirmations
Reasons for the return delivery of goods can be entered

Confirmation Functions:
Other functions become available after the confirmation is saved as mentioned below:

Display A list of confirmations is displayed
Change Confirmations can be changed that are in the status Held.
Delete Confirmations can be deleted if the status is held, awaiting approval or saved

Roles in Confirmations:


There are several groups of users who can process confirmations:

Employees: Employees can confirm the receipt of goods or services they ordered,
modify the account assignment, add items, change confirmations before they are
approved and display confirmations. Confirmations entered by vendors or central
recipients are approved by the requestor
Vendors: Vendors can confirm the delivery of their goods. Service providers can enter
services that they performed
Central Recipients: Central recipients enter confirmations for groups of users. E.g.
Administrators who record all of the receipts for their departments
Internal Dispatchers: Internal dispatchers work at the receiving point. They distribute
the products to the recipients using their room number, or notify the actual receivers by
e-mail that their goods have arrived.

Self Service Procurement: Invoices
Self Service Procurement Invoices
Lesson Overview

Invoices from vendors can be recorded in SAP SRM to complete the
procurement process

Self Service Procurement Invoices contd
Lesson Objectives

To outline the different scenarios for invoices in SAP SRM

To define the roles and their functions for processing invoices

Invoice scenarios:

In SAP SRM, there are several functions for invoices or credit memos
The documents are created in the local or back-end system, depending on the location of the
previous documents such as purchase orders and confirmations
The approval process may be required based on business requirements
After the invoice is posted and approved or the credit memo is posted, the payment information is
transferred to corresponding back-end systems that contain the components Financial Accounting
(FI) and Controlling (CO)

Invoice for Back-End Purchase Orders:

Invoices can be entered for back-end purchase orders.
The data from the purchase order history is read automatically from the backend
system.
The invoice and the accounting document are posted in the backend system.

Invoice for Local Purchase Orders:

Invoices can be entered for local purchase orders.
The data from the purchase order history is read automatically from the local SRM
system.
The quantities ordered and received display in the browser for invoice entry
Only the accounting documents are posted in the backend system

Invoice without Purchase Order Reference:

Invoices can be entered for which no purchase orders or confirmations exist in the
system.
For these types of invoices, data is entered normally from the vendor invoice that have
been received by means of fax / paper form.
The invoice remains in SRM system and the accounting information is posted in the
backend system.

Roles in Invoices:

Invoice entry is controlled by employees, vendors or accountants depending upon
the business scenarios:

Employee:
Enter invoices and credit memos with or without reference to their purchase orders
Display, delete or reverse their invoices
Approve invoices enter by vendors or accountants
Vendors:
Vendors can enter invoices and credit memos with or without reference to their purchase orders
Send invoice documents in XML format or choose to print, fax or e-mail as the output form
Accountants:
Enter invoices and credit memos centrally with or without reference to purchase orders from
multiple employees
Send invoice documents in XML format or choose to print, fax or e-mail as the output form

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SRM Overview - Part I V1.0

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