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Enterprise Structure

The document defines the key organizational units in the SAP enterprise structure for materials management. These include the client, company, company code, plant, storage location, purchasing organization, and purchasing group. It provides steps to create and assign each of these units, such as assigning a company code to a company, a plant to a company code, and a purchasing organization to a plant.

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Mohammed Nawaz Shariff
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28 views24 pages

Enterprise Structure

The document defines the key organizational units in the SAP enterprise structure for materials management. These include the client, company, company code, plant, storage location, purchasing organization, and purchasing group. It provides steps to create and assign each of these units, such as assigning a company code to a company, a plant to a company code, and a purchasing organization to a plant.

Uploaded by

Mohammed Nawaz Shariff
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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ENTERPRISE STRUCTURE

Definition: The terminology Enterprise or Organizational Structure in SAP System refers to


mapping the functional departments of a company in a hierarchical way to run the business
smoothly using SAP system. The SAP Organizational Structure consists of Organizational
Elements or Units.

Related to SAP MM module, the Organizational units are as follows:

1. Client/Company
2. Company Code
3. Plant
4. Storage Location
5. Purchasing Organization
6. Purchasing Group
1. CLIENT/COMPANY: The Client/Company is the highest organizational unit in SAP
System. The Client can be a corporate group and can represent a company or a group of
companies. Ex: TATA Groups of Companies. A Company in SAP can be represented
with 6 Characters.

COMPANY: RANE MYSORE T-CODE


SPRO PATH : SPRO > SAP IMG > Enterprise Structure > Definition > OX15
Financial Accounting > Define Company

STEP 1: Follow the SPRO path to view the create company screen.
STEP 2: Enter Company name, 6 character key, old company name, address of the Company and
Currency.
STEP 3: Enter all details and click on save. The created company is reflected on this page.
2. COMPANY CODE: The Company Code is the smallest unit in an enterprise structure
for which we can have an independent SAP General Ledger accounting, Balance sheet
and Profit and Loss statements /Accounts.

COMPANY CODE: 1947-RANE GEARS MYSORE T-CODE

SPRO PATH : SPRO > SAP IMG > Enterprise Structure > OX02
Defintion > Financial Accounting > Edit, Copy, Delete, Check
Company code

STEP 1: Follow the SPRO path to create the Company code.


STEP 2: Enter the Company Code and name of the Company.
3. PLANTS: A Plant is a unit in organization structure where the actual operations takes
place. A Plant can be a manufacturing facility, sales office, corporate head office,
maintenance plant or central delivery warehouse.

PLANT: 1947-GEAR PLANT MYSORE T-CODE


SPRO PATH > Display SAP Reference IMG > Enterprise Structure > OX10
Definition > Logistics-General > Define, Copy, Delete, Check Plant >
Define Plant 

STEP 1: Follow the SPRO path to create a new plant.


STEP 2: Enter a 4 character code and plant name with all the details like address, Country code,
Tax code and Postal code.
STEP 3: After entering all the necessary details click on save and the new plant is reflected.
4. STORAGE LOCATION: A Storage location is a place within a plant where physical
materials are kept or stored. Different types of materials have different storage locations.
Ex: Raw Material Goods, Semi-finished Goods, Finished Goods etc.

STORAGE LOCATIONS:- 0001-ROH,0002-HALB,0003-FERT T-CODE


SPRO PATH: SPRO > SAP IMG > Enterprise Structure > OX09
Definition > Materials Management > Maintain Storage Location

STEP 1: Follow the SPRO path to create a new Storage Location.


STEP 2: Enter the storage locations specific to a plant. Number of Storage locations can be
created within a plant.
5. PURCHASING ORGANIZATION: A purchase department in SAP language is known as
Purchasing Organization. Purchasing Organization handles all kinds of procurement
activities like vendor negotiations, agreements etc.

PURCHASING ORG.: PURCH. ORG. FOR RANE - 1947 T-CODE


SPRO PATH: SPRO > SAP IMG > Enterprise Structure > Definition > OX08
Materials Management > Maintain Purchasing Organization

STEP 1: Follow the SPRO path to create the Purchasing Organization.


STEP 2: Enter 4 character key and the description for the Purchasing organization.
6. PURCHASING GROUP: A buyer or group of buyers handling the buying activities for
the company is called the Purchasing Group.

PURCHASING GROUP: 111- RANE PURCHASING GROUP T-CODE


SPROPATH: SPRO > SAP IMG > Materials Management>Purchasing>Create OME4
Purchasing Group

STEP 1: Follow the SPRO path to create a new Purchasing group.


STEP 2: Enter 3 character key and the description for the purchasing group.
7. VALUATION AREA: A Valuation Area can either be a Plant (Recommended) or a
Company Code. It means valuation for the materials can be done either at Plant level or
Company Code level.

VALUATION AREA: PLANT-1947 T-CODE


SPRO PATH: SPRO > SAP IMG > Enterprise Structure > Definition > OX14
Logistics – General > Define Valuation Level

STEP 1: Follow the SPRO path to set the Valuation Area.


STEP 2: Set the Valuation area to plant or to Company code.
ASSIGNMENTS

1. ASSIGNMENT OF COMPANY CODE TO COMPANY - Multiple Company


Codes with different currencies can be assigned to a Company.

ASSIGNMENT OF COMPANY CODE TO COMPANY T-CODE


SPRO PATH: SPRO > SAP IMG > Enterprise Structure > Assignment > OX16
Financial Accounting > Assign Company Code to Company

STEP 1: Follow the SPRO path to assign the Company code to the company.
STEP 2: Assign the Company code to the Company.
2. ASSIGNMENT OF PLANT TO COMPANY CODE- Multiple plants can be assigned to
a Company Code. Multiple Company Codes cannot be assigned to a single Plant.

ASSIGNMENT OF PLANT TO COMPANY CODE T-CODE

SPRO PATH: SPRO > SAP IMG > Enterprise Structure > Assignment > Logistics OX18
– General > Assign Plant to Company Code

STEP 1: Follow the SPRO path to create assign the plant to the company code.
STEP 3: Assign the plant to the company code and save the assignment.
3. ASSIGNMENT OF PURCHASING ORGANIZATION TO PLANT- Only a single
Purchasing Organization can be assigned to a Plant (Plant specific Purchasing
Organization). A single Purchasing Organization can be assigned to multiple plants
(Cross Plant specific Purchasing Organization).

ASSIGNMENT OF PURCHASING ORGANIZATION TO PLANT T-CODE

SPRO PATH: SPRO > SAP IMG > Enterprise Structure > Assignment > OX01
Materials Management > Assign Purchasing Organization to Plant

STEP 1: Follow the SPRO path to assign the Purchasing organization to the Plant.
STEP 2: Assign the Purchasing organization to company code and save the
assignment.
STEP 3: The assignment is reflected on this screen.

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