SUPPLIER RELATIONSHIP MANAGEMENT

SAP Supplier Relationship Management

Product Information
Product Release SAP Enhancement Package Based On SAP enhancement package 4 for SAP NetWeaver 7.0 Support Package Stack 06 BI Content Release Documentation Published BI Content 7.47 November, 2013 SAP Supplier Relationship Management 7.0 3, SP 02 for SAP SRM 7.0

Use
SAP Supplier Relationship Management (SAP SRM) provides you with innovative methods to coordinate your business processes with your key suppliers and make them more effective. SAP SRM enables you to optimize your procurement strategy, to work more effectively with your supplier pool, and thus to gain long-term benefits from all your supplier relationships. With SAP SRM you can examine and forecast purchasing behavior, shorten procurement cycles, and work with your partners in real time. This allows you to develop long-term relationships with all those suppliers that have proven themselves to be reliable partners. The efficient processes in SAP SRM enable you to cut down your procurement expenses and to work more intensively with more suppliers than ever before. SAP SRM is part of SAP Business Suite. The SAP SRM documentation offers a comprehensive description of the functional scope of SAP SRM, and highlights the relationship between the application and the underlying technologies.

More Information
For more information about SAP NetWeaver, see the SAP NetWeaver Getting Started Guide at http://help.sap.com SAP NetWeaver SAP NetWeaver Library Getting Started- Using SAP Software For more information about the implementation of an SAP SRM solution and associated business scenarios, see the SAP SRM Master Guide ( http://service.sap.com/srm-inst SAP SRM Server 7.13 ) For more information about SAP SRM configuration information, see SAP Solution Manager

1. Business Scenarios
Purpose
SAP Supplier Relationship Management (SAP SRM) offers the following business scenarios: Self-Service Procurement Plan-Driven Procurement Service Procurement Strategic Sourcing Operational Contract Management Supplier Qualification Catalog Content Management Analytics

1.1 Self-Service Procurement 1.1.1 Self-Service Procurement -- Classic

Your employees can use this business scenario to create and manage their own requisitions. This relieves your purchasing department of a huge administrative burden while making the procurement process faster and more responsive. In this scenario, only the shopping cart is created in the SAP Supplier Relationship Management (SAP SRM) system. All other procurement documents, such as purchase orders, goods receipts, and invoices, are located in the back-end system. This business scenario is modified if you have activated the SRM, PI-Independent Enterprise Services (SRM_WSRM_1) business function. This business function allows you to run the entire scenario without the need for the SAP NetWeaver Portal.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at service.sap.com/scl

Process
The business processes run as follows: 1. Processing Shopping Carts 2. Processing Purchase Requisitions in ERP

3. Processing Purchase Orders in ERP 4. Inbound Processing and Receipt Confirmation with Warehouse Management 5. Verifying Logistics Invoices Online/In Background 6. Analyzing Self-Service Procurement

1.1.1.1 Processing Shopping Carts

You can use this business process to create a shopping cart and add items to it. For recurring orders, you can also use previous shopping carts and templates provided by the purchasing department. Account assignment is then checked in the back-end system. You can order the shopping cart now or later, and check the status of the shopping cart at any time. If the shopping cart contains incomplete data, you can run a completion workflow to check and complete the necessary delivery data. Once the delivery data is complete, the approval workflow starts. You can also assign responsibility for requirements from a shopping cart to a different purchasing group. You can do this manually or automatically. You might want to do this, for example, if the person who was originally responsible is absent, or if changes have been made to the purchasing group structure.

Note
You can create a shopping cart using the Shopping Cart Wizard or the one-screen shopping cart with limited functionality.

Process

1.1.1.2 Processing Purchase Requisition in ERP

Prerequisite
The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application. You can only use the Web Dynpro application, if you have activated the Materials Management - Enhancements in Procurement (LOG_MM_CI_3) business function.

Purpose
You can use this business process to process purchase requisitions in ERP. A purchase requisition is a demand that is released to the purchasing department. The demand can be created as follows: Automatically, for example as result of a material requirement planning (MRP) run, or by assigning components or services to a maintenance or production order Alternatively, the purchase requisition may be: Entered manually Transferred from another system, for example from a shopping cart that has been approved: In a Supplier Relationship Management (SRM) classic scenario

From Supply Network Planning (SNP) or Production Planning and Detailed Scheduling (PP/DS) of a Supply Chain Management (SCM) module

The accounting data is assigned and checked during processing of the purchase requisition. Sourcing, including initiating a request for quotation (RFQ) process, can be executed based on a purchase requisition as well as assignment of documents. It is possible to establish approval processes for purchase requisitions. For purchase requisitions with long life cycles, a change management differs between several versions.

Process Flow
The following business process runs in SAP ERP: 1. Create/process purchase requisitions 2. Release purchase requisitions 3. Assign source to purchase requisitions 4. Generate/manage versions of purchase requisitions 5. Monitor/view list display of purchase requisitions The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application.

1.1.1.3 Processing Purchase Orders in ERP

Purpose
You can use this business process to process purchase orders. The purchase order processing is part of the (operational) procurement of materials and services. Its primary purpose is to convert demands (purchase requisitions, shopping carts) to purchase orders (with or without reference to a contract) or delivery schedules for a scheduling agreement and to monitor the fulfillment of these documents. Typical process steps for converting a demand to a purchase order are: 1. Assign/check a source of supply The source of supply defines the supplier or another plant that will deliver the requested item. If a source of supply is unknown, search for a possible source of supply, for example using a request for quotation (RFQ)with comparison of the incoming quotations. If multiple suppliers are assigned to the procurement process, you can arrange quotas and administrate them using the source list. The conversion process can also be fully automated if you have maintained all necessary master data. 2. Determine price and conditions Negotiate with a supplier, if necessary. 3. Check description of the demand Change description of the demand, if necessary, for example by creating attachments, adding long texts, drawings, and so forth. 4. Check account assignment data

5. Define incoterms and delivery instructions 6. Check release process for purchasing documents 7. Manage the versions of the purchasing documents 8. Monitor message output of the purchasing documents to the supplier The required process steps for creating one concrete purchase order may vary, depending on the following factors: Category of the procured products: Products selected from a vendors catalog are clearly specified. Products procured once without material master are roughly defined. A description in long texts may be useful in this case.

Procuring office supplies requires different process steps than procuring direct materials or services, for example, services for valuation or inventory management. Process variants: A subcontracting process needs additional steps compared to a standard contract-based procurement process. Industry-specific variants

In retail companies, assortments are maintained and replenishment planning is typically integrated into Purchase Order processing. The Goods Receipt Capacity Check is especially relevant for retail companies. With this check, the buyer is informed while creating the purchase order if the capacity at the warehouse is not sufficient for that particular date for the amount of merchandise on the goods receipt. In automotive companies, special message handling of delivery schedules for scheduling agreements is known.

Prerequisites
You can only use the industry-specific variants if you have activated the Goods Receipt Capacity Check function. To do this, you must have activated both the Retail, Buying (ISR_RETAIL_BUYING) business function, and theMaterials Management (LOG_MM_CI_1) business function.

The activation of the LOG_MM_CI_1 business function is a prerequisite for the activation of the ISR_RETAIL_BUYING business function. If both business functions are activated, the relevant customizing activities will be visible.

Process Flow
The business process runs in SAP ERP as follows: 1. Create or process purchase orders 2. Release purchasing documents 3. Find a new source of supply 4. Compare quotations 5. Generate or mmanage versions of purchase orders 6. Monitor output of messages

7. Monitor or view list display of purchase orders

1.1.1.4 Inbound Processing and Receipt Confirmation with WM

Purpose
You can use this business process for your inbound processing and receipt confirmation in conjunction with Warehouse Management (WM). Whenever a company requires a product to be procured from an external source of supply, whether for use in production (raw materials) or for direct consumption (C-materials), the product will be delivered according to the official procurement document (a PO) agreed between two business partners. The arrival of the goods could be announced by a message of the supplier (ASN). It will be delivered in a certain quantity at a defined date and time at a defined company location. For the delivered product an inbound delivery is selected and processed for putaway. Once the goods are taken into stock, a goods receipt must be posted. The actual physical receipt of materials at the warehouse or the receiving locations can be controlled on different levels of detail. From controlling the process on a document level only using purchase orders and stock transports orders to inbound deliveries and shipments and even to the pallet and material level, the receiving process is supported in different ways. Depending on specific customer needs, it is optional to use inbound deliveries and advanced material flow and process control capabilities. Inbound processing and goods receipts are key steps in any procurement or replenishment process. It is not industryspecific, but common practice for any company procuring products, whether for production of its own or direct consumption. Inbound processing reflects the receipt of materials that are delivered to a receiving location. This receipt can be processed based on purchase orders, stock transport orders, or even a returns order. It includes the notification of goods to be received, the putaway, goods receipt posting, and the proof-of-delivery message to the supplier. By viewing the goods receipt from two perspectives, it is possible to follow the purchase order process and the physical material movements separately. The processes described are good receipt against a purchase order (MIGO) using Warehouse Management and inbound processing using the inbound delivery, the ASN message and the POD of the customer. The good receipt posting can be processed prior to or after putaway of the materials. Both possibilities are described as alternatives in the business process procedure: Goods Receipt for Purchase Order Goods Receipt Posting for Inbound Delivery after Putaway If Handling Unit Management is used for packing, you must use in inbound delivery to pack against. An inbound delivery is also required if the warehouse is implemented in a decentralized environment (BAPI connection between Warehouse Management and the ERP System).

Process Flow

1. Receive advanced shipping notification (ASN) (SAP ECC) The arrival of goods procured and received is announced by a message of the supplier to the goods recipient. This message is called Advanced Shipping Notification (ASN) and it contains logistically relevant data, such as date and time of delivery, material, quantities, and packing information. The ASN is typically sent by the shipper of the goods. This can be the supplier (external or internal) or a third-party logistics service provider (3PL). The message is received by the ship-to-party and mapped into an inbound delivery in the SAP R/3 system. Alternatively, an inbound delivery can be created by the receiving party to reflect the planning and coordination of the inbound delivery processing. 2. Create inbound delivery (optional) (SAP ECC) When the actual shipment arrives, the inbound delivery is selected and processed for putaway. The putaway can be processed with or without Warehouse Management (see process Inbound Processing and Receipt Confirmation). 3. Post goods receipt (SAP ECC)

When a required product is delivered to a company from an external source of supply according to a purchase order, it must be integrated into the companys stock and a goods receipt must be posted. With this process description, you can also execute a goods receipt with reference to a production order. When a goods receipt is effected, the system supports: Message determination Depending on the settings in Customizing, the system initiates the printing of a material document and labels, for example for pallets or packages. Missing parts check For example, if a given product is identified as a missing part in production, the MRP controller is automatically informed by mail that a goods receipt for this critical product has been posted. Purchase order history The system updates the purchase order history, so that the purchasing department can monitor that the goods receipt to the PO has been posted and may check delivery date, time, and quantity. This information may also be relevant for Vendor Evaluation. Final delivery indicator If information about final delivery is desired, the system sets the final delivery indicator to inform the purchasing department that the last partial delivery has been effected. Material valuation A goods receipt posting triggers an update of stock balance and stock value. After a goods receipt, the system creates a material document serving as proof of the goods movement and an accounting document to initiate the update of the relevant G/L accounts. From goods receipt you can display the material document and from there the accounting document. When the product is valuated with moving average price, the material price is updated according to the price in the most recent PO. SAP APO update If you work with SAP APO, the new SAP R/3 stock balance data updates the SAP APO stocks, relevant for planning. SAP BW update If you work with SAP Business Warehouse, new SAP R/3 stock balance data updates user-defined figures in SAP BW, relevant for reporting. Depending on special procurement processes (identified by specific PO item categories), the consequences of posting a goods receipt are the following: Consignment The goods receipt is posted, but material valuation is not affected, because the supplier still is the material owner. Subcontracting The goods receipt is posted and effects the withdrawal of material components from special stock, necessary for the subcontractor to assemble the final product. For this business process, we will assume that all steps are carried out manually. Many of these steps can be processed in the background for more efficient processing, but it is important to understand which steps are required within the entire process before you can automate it. The Goods Receipt Posting can be processed before or after putaway of the materials. Following the Goods Receipt posting for an external purchase order, materials are located in the warehouse in an interim storage type of 902.

If Cross-Docking functionality is desired, see Cross Docking. For further information on Warehouse Management, see Warehousing and Storage. 4. Create WM transfer order (SAP ECC) The transfer order is required to move the materials to their final storage destination. It consists of items that contain the quantity of the material to move and specifies the source and destination storage bins. The transfer order logic finds an appropriate bin for storage based on configuration settings in the warehouse customizing. The transfer order will list the source (902) location as well as the destination location for the materials. 5. Confirm WM transfer order (SAP ECC) The transfer order must be confirmed for inbound delivery items using the Warehouse Management System (WMS). Upon confirmation of the transfer order, the materials are available at their final destination. If the placement logic is used, it searches for the Next Empty Bin, progressing through the storage type search sequence as configured to find the next available place appropriate to store this material. 6. Send proof of delivery (POD) (SAP ECC) To report the actual received quantities, times, and dates of delivery back to the supplier for invoicing, the message Proof-of-Delivery (POD) is sent. 7. Track and evaluate procurement process with SCEM (optional) (SAP SCM) Optionally, the process Inbound Processing/Receipt Confirmation can be monitored with the help of SAP EM. Since the visibility process Procurement describes the procurement process for production materials, it spreads Purchase Order Processing as well as Inbound Processing and Invoice Verification. A detailed description on the visibility steps as well as the configuration can be found in Procurement Visibility. Procurement visibility covers Events from purchase requisition to payment, including order acknowledgement, shipping notifications, goods receipt, and invoice functions Triggering of follow-up activities Analyzing the business process in the SAP Business Information Warehouse (SAP BW)

The application process step relevant for this is: Monitor the fulfillment of purchase orders. All relevant intermediate steps are reported by the buyer (or supplier) so that you get a complete picture of the application process: Order acknowledgement Advanced shipping notification Goods receipt ERS/invoice Payment Shipment delayed Quantity change Delivery quantity change Due date change Delivery date change Deletion indicator set

Furthermore, some unexpected events may be posted:

1.1.1.5 Verifying Logistics Invoices (Online/In Background)

Purpose
You can use this business process to verify incoming invoices in terms of their content, prices, and arithmetic. When the invoice is posted, the invoice data is saved in the system. The system updates the data saved in the invoice documents in Materials Management (MM) and Financial Accounting (FI). If you use the prepayment functions, the first FI document is created when the invoice is saved in the system. An invoice can be processed in Logistics invoice verification in online modus or in the background. Invoice Verification online You enter the contained information of an invoice into the system, comparing the data (such as quantities and values) suggested by the system with those in the invoice. You make necessary corrections and post the invoice. Document parking (online only) You receive an invoice. You enter the data in the system and save the invoice. The system does not yet create an FI document. You can change the parked document. When you have finished changing the document, you post the parked document. Invoice Verification in the background You receive an invoice, enter the total amount of the invoice and match the invoice with another system document. The system then checks the invoice in the background. If no errors occur, the system also saves the invoice in the background. If errors occur, the system saves the invoice and you process it in a separate step. The business process Verifying Logistics Invoice Online can be enhanced in terms of invoice validation, verification, and exception handling by the solution SAP Invoice Management by Open Text. Companies must process supplier invoices in a timely, accurate, and efficient manner to have a well-run business. The SAP Invoice Management application by Open Text helps you manage and control invoice processing, meet critical payment and compliance deadlines, and avoid risks resulting from inaccurate business information. SAP Invoice Management helps accounts payable personnel and suppliers to optimize the creation, management, monitoring, and routing of purchase orders and invoices. You can use SAP Invoice Management to improve the timeliness of payments, optimize productivity and cash flow, and limit fiscal and noncompliance risks. SAP Invoice Management is integrated with SAP ERP and the SAP NetWeaver technology platform, allowing you to streamline accounts payable operations across and beyond the enterprise. The integration available using SAP Invoice Management ensures the visibility of purchase orders, invoices, and payments. It also provides you with a central view of invoices instead of the disparate solutions you are left with without such integration. For more information, see SAP Service Marketplace at http://service.sap.com/instguides SAP Solution Extensions -> SAP Invoice Management by Open Text -> Version 5.2

You can post invoices with reference to purchase orders or to goods receipts. You can post invoices without reference to a purchase order as well. You can also create invoices with reference to contracts, if you have activated the Materials Management Enhancements in Procurement (LOG_MM_CI_3) business function. The following cases are supported: Invoices received via EDI or XML You can process invoices via Electronic Data Interchange (EDI) or eXtensible Markup Language (XML). An invoice reaches you via EDI, and SAP ERP posts the invoice automatically. Prepayment (only relevant for background processing) If you decide to prepay invoices for special vendors and company codes, the process is slightly different. You receive an invoice (as a hardcopy, via EDI, or via XML) that is verified in the background. As soon as the invoice is saved, an FI document is created. This posts an open item in the vendor account. The posting is not dependent on matching or verifying the invoice. Verification can be carried out at a later date. If errors occur, you might have to delete the invoice and create a credit memo.

Process Flow
The following business process runs in SAP ERP 1. Park invoice (online only) 2. Create or process invoices online or in background 3. Release invoice 4. System triggers prepayment in background (in the background only) 5. Cancel invoice 6. Transmit invoice 7. View list display of invoices 8. Perform revaluation

1.1.1.6 Analyzing Self-Service Procurement

You can use this business process to analyze the various aspects of self-service procurement. SAP Supplier Relationship Management (SAP SRM) delivers a number of reports focusing on this area, which can be published immediately, or used as a starting point for the creation of customer-designed reports. The user can monitor self-service procurement throughout the entire procurement process, and focus on analyzing shopping carts from different users and organizational areas.

Process

The following business process runs in SAP Business Intelligence (SAP BI): 1. System collects data 2. View reports 3. Work with reports

The following business process runs in SAP SRM Server: 1. Create shopping cart 2. Search for products or services You can select products and services (for example, external staffing) from catalogs, or enter a description or a product ID from the product master. 3. Select items and add to shopping cart 4. Display overview For example, you can display item details and add documents to the shopping cart. 5. Display account assignment 6. Order shopping cart 7. Check shopping cart status 8. Approve shopping cart

This process step is modified if you have activated the SRM, Approval Process (SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes, and use them more efficiently when you use the process-controlled workflow.

1.1.2 Self-Service Procurement -- Extended Classic

Your employees can use this business scenario to create and manage their own requisitions. This relieves your purchasing department of a huge administrative burden, while making the procurement process faster and more responsive. In this scenario, shopping carts and purchase orders are created in the SAP Supplier Relationship Management (SAP SRM) system and are then replicated to the back-end system. The purchase order in SAP SRM is the leading purchase order. It cannot be changed in the back-end system. Goods receipts and invoices can be pre-entered in SAP SRM or entered directly in the back-end system. Sourcing, pricing, and tax determination take place in SAP SRM.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at service.sap.com/scl

Process
The business processes run as follows: 1. Processing Shopping Carts 2. Searching for Sources of Supply Centrally 3. Processing Purchase Orders in SAP SRM 4. Inbound Processing and Receipt Confirmation without Warehouse Management 5. Confirming Receipt of Inbound Goods in SAP SRM 6. Processing Invoices in SAP SRM 7. Verifying Logistics Invoices (Online/In Background) 8. Analyzing Self-Service Procurement

1.1.2.1 Processing Shopping Carts

You can use this business process to create a shopping cart and add items to it. For recurring orders, you can also use previous shopping carts and templates provided by the purchasing department. Account assignment is then checked in the back-end system. You can order the shopping cart now or later, and check the status of the shopping cart at any time. If the shopping cart contains incomplete data, you can run a completion workflow to check and complete the necessary delivery data. Once the delivery data is complete, the approval workflow starts. You can also assign responsibility for requirements from a shopping cart to a different purchasing group. You can do this manually or automatically. You might want to do this, for example, if the person who was originally responsible is absent, or if changes have been made to the purchasing group structure.

Note
You can create a shopping cart using the Shopping Cart Wizard or the one-screen shopping cart with limited functionality.

Process

The following business process runs in SAP SRM Server: 1. Create shopping cart 2. Search for products or services You can select products and services (for example, external staffing) from catalogs, or enter a description or a product ID from the product master. 3. Select items and add to shopping cart 4. Display overview For example, you can display item details and add documents to the shopping cart.

5. Display account assignment 6. Order shopping cart 7. Check shopping cart status 8. Approve shopping cart This process step is modified if you have activated the SRM, Approval Process ( SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes, and use them more efficiently when you use the process-controlled workflow.

1.1.2.2 Searching for Sources of Supply Centrally

You can use this business process to process your requirements and to improve your source of supply by evaluating the ability of your suppliers to provide materials and services. To prioritize the requirements, you can define and display priority for your requirements in the Sourcing application accordingly. Once a requirement has been created, you can assign requirements to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for requirements, or organizational changes to the structure of your purchasing groups. You can assign the sources of supply proposed by the system to items automatically (for example, if there is a single contract for the item being procured) or manually in the case of a quota arrangement, contract, or supplier from a supplier list. You can also assign a source of supply from catalogs that you access in Sourcing. You can then create an RFx or an auction in the SAP Bidding Engine. In the case of an RFx, you can publish it immediately, or group multiple requirements together for publishing later. You can also disable the automatic assignment of a source of supply in requirements during sourcing. This enables you to add your preferred supplier as a source of supply in the requirement. The system displays a list of possible sources of supply defined either locally or in the back-end system for the products or user-defined texts you add to the requirement. When adding an item from a catalog, however, the system finds a unique source of supply for that item, and assigns the source of supply for the item automatically. If you deactivate the automatic source of supply, you can define your own supplier in the requirement. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order locally, or an incomplete purchase requisition in the back-end system, depending on the deployment scenario implemented. It is also possible to define the threshold for background processing in the Sourcing application so that requirements with a number of items exceeding the threshold will be processed in background mode. To do this, you must activate the Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC), and define the threshold value in a dialog box. Once the value defined under Number of Items is reached in the application, background processing is started immediately and the dialog box is not displayed to the purchaser.

This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. It brings additional features, such as enabling of info lines in contracts, central contract as default in the Sourcing application, and enabling of contracts with service hierarchies as source of supply in the Sourcing application.

Process

The following business process runs in SAP SRM Server: 1. Group related purchase requisitions and shopping cart items

2. Start sourcing application 3. Search for appropriate source of supply 4. Assign contract This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can also assign contracts with service hierarchies as sources of supply. 5. Assign supplier 6. Create RFx from sourcing application 7. Create auction from sourcing application 8. Process workload reassignment 9. Create purchase order from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create SAP ERP purchase orders in statuses park and hold in the Classic scenario. The hold function allows you to temporarily save data for example, line item information in purchasing documents, and resume editing at a later time. The park function requires that a document be checked by SAP ERP Materials Management (MM) in order for it to be saved temporarily. 10. Create contract from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, the SAP SRM central contract is the default contract. Otherwise, the SAP ERP contract is defaulted. If you want to modify the default settings, and create a contract directly in SAP ERP, you must implement the BAdI BBP_DETERMINE_LOGSYS.

1.1.2.3 Processing Purchase Orders in SAP SRM

You use this business process to process purchase orders. In the Self-Service Procurement Extended Classic and Service Procurement External Staffing business scenarios, when a shopping cart has been approved the system creates one or more purchase orders. If the purchase order is not complete, you must specify a supplier. You can do this either manually or by searching for a source of supply. In the Plan-Driven Procurement with Plant Maintenance business scenario, purchase requisitions are created either from material requirements planning (MRP) systems for production planning, project systems (PS) for project planning, or plant maintenance (PM) systems for maintenance and repair planning. Purchase requisitions are transferred to SAP SRM, and you can search for a source of supply centrally. If the purchase order is complete, you send it to the supplier, who enters it and issues a purchase order response. As a purchaser, you can redistribute your workload (that is, you can change the purchasing group assignments). You can also use SAP Workflow to set up a release procedure workflow for releasing a purchase order.

Process

The following business process runs in SAP SRM Server: 1. Select source of supply 2. Create or update purchase order 3. Process workload reassignment 4. Approve purchase order This process step is modified if you have activated the SRM, Approval Process ( SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes and use them more efficiently when you use the process-controlled workflow. 5. Send purchase order to supplier 6. Create purchase order response 7. Compare purchase order response with purchase order

1.1.2.4 Inbound Processing and Receipt Confirmation Without WM

Purpose
You can use this business process for your inbound processing and receipt confirmation. Whenever a company requires a product to be procured from an external source of supply, whether for use in production (raw materials) or for direct consumption (C-materials), the product will be delivered according to the official procurement document (a PO) agreed between two business partners. The arrival of the goods could be announced by an advanced shipping notification (ASN) from the supplier. This states that the goods are to be delivered in a certain quantity at a defined date and time at a defined company location. For the delivered product, an inbound delivery is selected and processed for putaway. Once the goods are taken into stock, a goods receipt must be posted. The actual physical receipt of materials at the warehouse or the receiving locations can be controlled in different levels of detail. For example, you can control the process only at a document level using purchase orders and stock transports orders for inbound deliveries and shipments, or you can go up to the pallet and material level. The receiving process is supported in different ways depending on your needs. Optionally, you can use inbound deliveries, advanced material flow, and process control functions. These options include yard management, and warehouse management with task and resource management controlling the process down to pallet and package level using advanced strategies (see also Inbound Processing and Receipt Confirmation with WM). Inbound processing and goods receipts are key steps in any procurement or replenishment process. They are industry-specific, but common practice for any company procuring products, whether for production of its own goods or direct consumption. Inbound processing reflects the receipt of materials that are delivered to a receiving location. This receipt can be processed based on purchase orders, stock transport orders, or even a returns order. It includes the notification of goods to be received, the putaway, goods receipt posting, and the proof-of-delivery (POD) message to the supplier. By viewing the goods receipt from two perspectives, it is possible to follow the purchase order process and the physical material movements separately. The processes described are goods receipt against a purchase order (in good movement transaction MIGO) without using Warehouse Management and inbound processing using the inbound delivery, the ASN message and the POD of the customer. The goods receipt posting can be processed prior to or after putaway of the materials. If Handling Unit Management is used for packing, you need to use an inbound delivery to pack against. An inbound delivery is also required if the warehouse is implemented in a decentralized environment.

Process Flow

1. Receive advanced shipping notification (ASN) (SAP ECC) The arrival of goods procured and received is announced by an advanced shipping notification (ASN) from the supplier to the goods recipient. The ASN contains logistically relevant data, such as date and time of delivery, material, quantities, and packing information. The ASN is typically sent by the shipper of the goods. This can be the supplier (external or internal) or a third-party logistics service provider (3PL). The message is received by the ship-to-party and mapped into an inbound delivery in SAP ECC. Alternatively, an inbound delivery can be created by the receiving party to reflect the planning and coordination of the inbound delivery processing. 2. Create inbound delivery (SAP ECC) (optional) When the actual shipment arrives, the inbound delivery is selected and processed for putaway. The putaway can be processed with or without Warehouse Management (see Inbound Processing and Receipt Confirmation with WM). 3. Post goods receipt (SAP ECC) When a required product is delivered to a company from an external source of supply according to a purchase order, it must be integrated into the companys stock and a goods receipt must be posted. With this process description, you can also execute a goods receipt with reference to a production order. When a goods receipt is effected, the system supports: Message determination Depending on the settings in Customizing, the system initiates the printing of a material document and labels, for example, for pallets or packages.

Missing parts check For example, if a given product is identified as a missing part in production, the MRP controller is automatically informed by e-mail that a goods receipt for this critical product has been posted.

Purchase order history The system updates the purchase order history, so that the purchasing department can monitor that the goods receipt to the PO has been posted and check delivery date, time, and quantity. This information may also be relevant for vendor evaluation.

Final delivery indicator If information about final delivery is desired, the system sets the final delivery indicator to inform the purchasing department that the last partial delivery has been effected.

Material valuation A goods receipt posting triggers an update of stock balance and stock value. After a goods receipt is posted, the system creates a material document serving as proof of the goods movement and an accounting document to initiate the update of the relevant G/L accounts. From the goods receipt you can display the material document and then the accounting document. When the product is valuated with moving average price, the material price is updated according to the price in the most recent PO.

SAP SCM update If you work with the Advanced Planner and Optimizer, the new SAP ECC stock balance data updates the SAP SCM stocks, relevant for planning.

SAP Business Information Warehouse update If you work with SAP Business Information Warehouse, new SAP ECC stock balance data updates userdefined figures in SAP BW that are relevant for reporting.

Depending on special procurement processes (identified by specific PO item categories), the consequences of posting a goods receipt are the following: Consignment The goods receipt is posted, but material valuation is not affected, because the supplier is still the material owner. Subcontracting The goods receipt is posted and affects the withdrawal of material components from special stock, which is necessary for the subcontractor to assemble the final product. 4. Send proof of delivery (POD) (SAP ECC) To report the actual received quantities, times, and dates of delivery to the supplier for invoicing, the POD is sent. 5. Track and evaluate procurement process with SCEM (optional) (SAP SCM) Optionally, the Inbound Processing/Receipt Confirmation process can be monitored with the help of SAP EM. Since the visibility process procurement describes the procurement process for production materials, it includes the purchase order processing process as well as inbound processing and invoice verification. A detailed description of the visibility steps as well as the configuration can be found in Procurement Visibility. Procurement visibility covers: Events from purchase requisition to payment, including order acknowledgement, shipping notifications, goods receipt, and invoice functions Triggering of follow-up activities Analyzing the business process in the SAP Business Information Warehouse (SAP BW)

All relevant intermediate steps are reported by the buyer (or supplier) so that you get a complete picture of the application process: Order acknowledgement Advanced shipping notification Goods receipt Evaluated receipt settlement (ERS)/invoice Payment Shipment delayed Quantity change Delivery quantity change Due date change Delivery date change Deletion indicator set

Furthermore, some unexpected events may be posted:

1.1.2.5 Confirming Receipt of Inbound Goods in SAP SRM

You can use this business process to confirm the receipt of goods. In SAP SRM, purchasers can create confirmations themselves, even if the purchase order is in the back-end system. It is possible to create express confirmations directly in the Check Status application without having to switch to another application. Alternatively, an internal dispatcher or shipping department can take delivery of goods and confirm centrally. In this case, an additional approval workflow through the supplier is possible. Then, the goods receipt is posted in the back-end system. You can also cancel an existing confirmation at item level. In addition to all of this, you can return partial quantities of individual items (or of all items) to your suppliers, and state the reasons for these return deliveries. These reasons are also transferred to the back-end system.

Process

1. Create confirmation 2. Approve confirmation This process step is modified if you have activated the SRM, Approval Process ( SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes and use them more efficiently when you use the process-controlled workflow. 3. Post goods receipt 4. Cancel goods receipt 5. Create return delivery

1.1.2.6 Processing Invoices in SAP SRM

You can use this business process to display and process invoices in SAP Supplier Relationship Management (SAP SRM) and supplier self-services. As a supplier or service provider, all invoices that you enter or process in SAP SRM must be approved by a responsible internal employee. For goods and services with a low purchase value, invoices and credit memos can also be created without a purchase order reference. Moreover, it is also possible to create express invoices in thecheck status application. In supplier self-services, you can enter an invoice with reference to a purchase order, shipping notification, or contact person before they are sent to the customer.

If, following a purchase order, the goods or services turn out to be defective, or the price charged is too high, you, as an internal employee, supplier, or service provider, can enter and process credit memos or subsequent debits/credits in SAP SRM.

Process

1. Enter invoice in SAP SRM 2. Enter invoice in supplier self-services 3. Simulate invoice 4. Verify invoice 5. Approve invoice This process step is modified if you have activated the SRM, Approval Process ( SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes and use them more efficiently when you use the process-controlled workflow. 6. Create credit memo 7. Create subsequent debit or credit 8. Cancel invoice

1.1.2.7 Verifying Logistics Invoices (Online/In Background)

Purpose
You can use this business process to verify incoming invoices in terms of their content, prices, and arithmetic. When the invoice is posted, the invoice data is saved in the system. The system updates the data saved in the invoice documents in Materials Management (MM) and Financial Accounting (FI). If you use the prepayment functions, the first FI document is created when the invoice is saved in the system. An invoice can be processed in Logistics invoice verification in online modus or in the background. Invoice Verification online You enter the contained information of an invoice into the system, comparing the data (such as quantities and values) suggested by the system with those in the invoice. You make necessary corrections and post the invoice. Document parking (online only) You receive an invoice. You enter the data in the system and save the invoice. The system does not yet create an FI document. You can change the parked document. When you have finished changing the document, you post the parked document. Invoice Verification in the background You receive an invoice, enter the total amount of the invoice and match the invoice with another system document. The system then checks the invoice in the background. If no errors occur, the system also saves the invoice in the background. If errors occur, the system saves the invoice and you process it in a separate step. The business process Verifying Logistics Invoice Online can be enhanced in terms of invoice validation, verification, and exception handling by the solution SAP Invoice Management by Open Text. Companies must process supplier invoices in a timely, accurate, and efficient manner to have a well-run business. The SAP Invoice Management application by Open Text helps you manage and control invoice processing, meet critical payment and compliance deadlines, and avoid risks resulting from inaccurate business information. SAP Invoice Management helps accounts payable personnel and suppliers to optimize the creation, management, monitoring, and routing of purchase orders and invoices. You can use SAP Invoice Management to improve the timeliness of payments, optimize productivity and cash flow, and limit fiscal and noncompliance risks. SAP Invoice Management is integrated with SAP ERP and the SAP NetWeaver technology platform, allowing you to streamline accounts payable operations across and beyond the enterprise. The integration available using SAP Invoice Management ensures the visibility of purchase orders, invoices, and payments. It also provides you with a central view of invoices instead of the disparate solutions you are left with without such integration. For more information, see SAP Service Marketplace at http://service.sap.com/instguides SAP Solution Extensions -> SAP Invoice Management by Open Text -> Version 5.2

You can post invoices with reference to purchase orders or to goods receipts. You can post invoices without reference to a purchase order as well. You can also create invoices with reference to contracts, if you have activated the Materials Management Enhancements in Procurement (LOG_MM_CI_3) business function. The following cases are supported: Invoices received via EDI or XML You can process invoices via Electronic Data Interchange (EDI) or eXtensible Markup Language (XML). An invoice reaches you via EDI, and SAP ERP posts the invoice automatically. Prepayment (only relevant for background processing) If you decide to prepay invoices for special vendors and company codes, the process is slightly different. You receive an invoice (as a hardcopy, via EDI, or via XML) that is verified in the background. As soon as the invoice is saved, an FI document is created. This posts an open item in the vendor account. The posting is not dependent on matching or verifying the invoice. Verification can be carried out at a later date. If errors occur, you might have to delete the invoice and create a credit memo.

Process Flow
The following business process runs in SAP ERP 1. Park invoice (online only) 2. Create or process invoices online or in background 3. Release invoice 4. System triggers prepayment in background (in the background only) 5. Cancel invoice 6. Transmit invoice 7. View list display of invoices 8. Perform revaluation

1.1.2.8 Analyzing Self-Service Procurement

You can use this business process to analyze the various aspects of self-service procurement. SAP Supplier Relationship Management (SAP SRM) delivers a number of reports focusing on this area, which can be published immediately, or used as a starting point for the creation of customer-designed reports. The user can monitor self-service procurement throughout the entire procurement process, and focus on analyzing shopping carts from different users and organizational areas.

Process

The following business process runs in SAP Business Intelligence (SAP BI): 1. System collects data 2. View reports 3. Work with reports

1.3 Service Procurement 1.3.1 Service Procurement Classic

You can use this business scenario to cover the entire service procurement process using structured service requirements for external procurement. A purchase requisition is created in Materials Management (MM) in SAP Enterprise Resource Planning (SAP ERP) and sent to Sourcing in SAP Supplier Relationship Management (SAP SRM), where it is converted to an RFx. Response modifications are allowed.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP Supplier Relationship Management Master Guide on SAP Service Marketplace at service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at service.sap.com/scl

Process
1. Processing Purchase Requisitions with Service Directories in ERP 2. Searching for Sources of Supply Centrally 3. Processing Bidding Events 4. Evaluating RFx Responses 5. Processing Follow-On Documents 6. Processing Purchase Orders in ERP 7. Processing Sales Orders in SUS 8. Entering Services in SRM 9. Entering Services in ERP 10. Processing Invoices by Supplier 11. Verifying Logistics Invoices (Online/In Background) 12. Processing Evaluated Receipt Settlements (ERS) in ERP 13. Analyzing Service Procurement

1.3.1.1 Processing Purchase Requisitions with Service Directories in ERP

Purpose
You can use this business process to trigger the external procurement of services within ERP. You can describe the services required by: Using a service master Using an individual short text Additionally, you can add text as an item text or an item note depending on whether you want to print it for the vendor or not. Alternatively, you can select services from:

 Standard service catalogs Model service specifications Contracts or other purchasing documents Standard service catalogs are general standardized catalogs of text modules that can be put together in various combinations to describe the services required. You can import standard service catalogs from external data sources into the ERP system. Model service specifications are collections of services with descriptions as well as pricing and quantity data. It is possible to set value limits if you cannot yet plan the services required in detail when entering the purchase requisition. You can set an overall limit or additional limits per model service specification or contract item. You can record the performance of rendered services in service entry sheets. For more information, see Entering Services in ERP.

Process Flow

The following business process runs in SAP R/3 Enterprise: 1. Process purchase requisitions 2. Release purchase requisitions

3. Monitor/view list display of purchase requisitions

1.3.1.2 Searching for Sources of Supply Centrally

You can use this business process to process your requirements and to improve your source of supply by evaluating the ability of your suppliers to provide materials and services. To prioritize the requirements, you can define and display priority for your requirements in the Sourcing application accordingly. Once a requirement has been created, you can assign requirements to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for requirements, or organizational changes to the structure of your purchasing groups. You can assign the sources of supply proposed by the system to items automatically (for example, if there is a single contract for the item being procured) or manually in the case of a quota arrangement, contract, or supplier from a supplier list. You can also assign a source of supply from catalogs that you access in Sourcing. You can then create an RFx or an auction in the SAP Bidding Engine. In the case of an RFx, you can publish it immediately, or group multiple requirements together for publishing later. You can also disable the automatic assignment of a source of supply in requirements during sourcing. This enables you to add your preferred supplier as a source of supply in the requirement. The system displays a list of possible sources of supply defined either locally or in the back-end system for the products or user-defined texts you add to the requirement. When adding an item from a catalog, however, the system finds a unique source of supply for that item, and assigns the source of supply for the item automatically. If you deactivate the automatic source of supply, you can define your own supplier in the requirement. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order locally, or an incomplete purchase requisition in the back-end system, depending on the deployment scenario implemented. It is also possible to define the threshold for background processing in the Sourcing application so that requirements with a number of items exceeding the threshold will be processed in background mode. To do this, you must activate the Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC), and define the threshold value in a dialog box. Once the value defined under Number of Items is reached in the application, background processing is started immediately and the dialog box is not displayed to the purchaser. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. It brings additional features, such as enabling of info lines in contracts, central contract as default in the Sourcing application, and enabling of contracts with service hierarchies as source of supply in the Sourcing application.

Process

The following business process runs in SAP SRM Server: 1. Group related purchase requisitions and shopping cart items 2. Start sourcing application 3. Search for appropriate source of supply 4. Assign contract

This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can also assign contracts with service hierarchies as sources of supply. 5. Assign supplier 6. Create RFx from sourcing application 7. Create auction from sourcing application 8. Process workload reassignment 9. Create purchase order from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create SAP ERP purchase orders in statuses park and hold in the Classic scenario. The hold function allows you to temporarily save data for example, line item information in purchasing documents, and resume editing at a later time. The park function requires that a document be checked by SAP ERP Materials Management (MM) in order for it to be saved temporarily. 10. Create contract from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, the SAP SRM central contract is the default contract. Otherwise, the SAP ERP contract is defaulted. If you want to modify the default settings, and create a contract directly in SAP ERP, you must implement the BAdI BBP_DETERMINE_LOGSYS.

1.3.1.3 Processing Bidding Events

You use this business process to create, publish, and change an RFx. You create an RFx as follows: By copying an existing RFx By creating a follow-on RFx (in the next round) after a first RFx From existing purchase requisitions From templates of a saved or published RFx From externally uploaded files

After you have completed an RFx, you can approve it and publish it. You can also set up a workflow to approve publication of the RFx. After you have published the RFx, the invited bidders submit their RFx responses. Bidders can indicate their participation prior to submitting an RFx response. To facilitate communication, a chat functionality is offered. As purchaser, you can allow bidders to change their RFx responses, thereby allowing bidders to update their RFx responses until the submission deadline. You can also bid on behalf of bidders. If you change the RFx after it has been published, bidders are informed of the change and can update their RFx responses accordingly. Changes made to RFxs and RFx responses result in the creation of a new version. You can use version comparison functionality to display the differences between versions. In addition, RFx response modification allows bidders to offer different products and services other than those requested by you. Bidders can withdraw a submitted RFx response if they are no longer able to participate. You can assign RFx to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for RFx, or organizational changes to the structure of your purchasing groups.

You can also enable tender fees and earnest money deposit (EMD) payment by the bidder.

Process
In Strategic Sourcing without bid decoupling, the following business process runs in SRM Server: 1. Create RFx This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function. If you have activated this business function, you can configure the RFx to support limit items so that limit items are available in RFx in the Service Procurement scenario during sourcing. 2. Upload RFx from file 3. Complete and save RFx This process step is modified if you have activated the SRM, Continuous Innovations (SRM_CONT_IMPR_1) business function and the Template from RFx and Contract (SRM_701_TEMPLATE) Customizing switch. If you have activated this switch, you can save an RFx template after you have saved or published the RFx. 4. Approve publication of RFx 5. Publish RFx 6. Change RFx 7. Process workload reassignment 8. Confirm participation 9. Create and submit RFx response online. Alternatively, you can also create and submit the RFx response offline. This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function and the Tender Fees (SRM_701_TENDER_FEE) and Earnest Money Deposit (SRM_701_EARNEST_MONEY_DEP) Customizing switches. If you have activated this business function, and the purchaser has specified the requirements in the RFx, then the bidder has to provide the tender fees, before creating the RFx response, and pay the earnest money deposit. 10. Change RFx response 11. Withdraw RFx response In Strategic Sourcing with bid decoupling, the following business process runs in SRM server: 1. Create RFx 2. Upload RFx from file 3. Complete and save RFx This process step is modified if you have activated the SRM, Continuous Innovations (SRM_CONT_IMPR_1) business function and the Template from RFx and Contract (SRM_701_TEMPLATE) Customizing switch. If you have activated this switch, you can save an RFx template after you have saved or published the RFx. 4. Approve publication of RFx. 5. Publish RFx 6. Change RFx 7. Process workload reassignment In Strategic Sourcing with bid decoupling, the following business process runs in the supplier system: 1. Replicate RFx

2. Confirm participation 3. Create and submit RFx response online

Note
You can also create and submit the RFx response offline. 4. Change RFx response 5. Withdraw RFx response

1.3.1.4 Evaluating Bids or RFx Responses

You use this business process to evaluate bids received in response to an auction, or RFx responses received in response to an RFx, and to decide and award the winning bid or RFx response. You can integrate the award of a winning bid or RFx response in an approval workflow.

Process

The following business process runs in the SRM Server system: 1. Open Bid or RFx Response Open the bid or RFx document and choose Responses and Awards to display all bids or RFx responses from all bidders. Select the bid or RFx response and open the bid or RFx response document to view the complete details. 2. Evaluate Bid or RFx Response You can open the responses from all bidders in the Bid Comparison view. In this view, the purchaser can compare the responses of all bidders. For each item, the submitted quantity, price, alternative and supplementary items added by the bidder, and the answers submitted in response to the qualification questionnaire are available. 3. Award Bid or RFx Response You can award bids or RFx responses in the Responses and Awards or the RFx Response Comparison views. You can accept some or all of the items from a bidder. You can also accept responses from multiple bidders.

4. Approve Bid or RFx Response After accepting the RFx response documents, they are sent to the responsible purchasing manager for approval. A work item appears in the approving managers inbox.

1.3.1.5 Processing Follow-On Documents

When creating an RFx or a live auction, you can decide if a purchase order and/or purchasing contract can be created as a follow-on document. After the submission deadline for the RFx or auction, you decide whether to reject or accept a bid. After the accepted bid has run through an approval workflow, you can use this business process to create the follow-on documents. In Customizing, you can determine whether the follow-on documents are generated locally or in a back-end system.

Process

1. Create purchase order in SAP SRM (SRM Server) 2. Create purchase order in SAP ERP (SAP ERP) 3. Create contract in SAP SRM (SRM Server). This process step is modified if you have activated the SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business function and the Central Contract Management (SRM_701_SERV_PROC_CCM) Customizing switch. 4. Create contract in SAP ERP (SAP ERP)

1.3.1.6 Processing Purchase Orders in ERP

Purpose
You can use this business process to process purchase orders. The purchase order processing is part of the (operational) procurement of materials and services. Its primary purpose is to convert demands (purchase requisitions, shopping carts) to purchase orders (with or without reference to a contract) or delivery schedules for a scheduling agreement and to monitor the fulfillment of these documents. Typical process steps for converting a demand to a purchase order are: 1. Assign/check a source of supply The source of supply defines the supplier or another plant that will deliver the requested item. If a source of supply is unknown, search for a possible source of supply, for example using a request for quotation (RFQ)with comparison of the incoming quotations. If multiple suppliers are assigned to the procurement process, you can arrange quotas and administrate them using the source list. The conversion process can also be fully automated if you have maintained all necessary master data. 2. Determine price and conditions Negotiate with a supplier, if necessary. 3. Check description of the demand Change description of the demand, if necessary, for example by creating attachments, adding long texts, drawings, and so forth. 4. Check account assignment data 5. Define incoterms and delivery instructions 6. Check release process for purchasing documents 7. Manage the versions of the purchasing documents 8. Monitor message output of the purchasing documents to the supplier The required process steps for creating one concrete purchase order may vary, depending on the following factors: Category of the procured products: Products selected from a vendors catalog are clearly specified. Products procured once without material master are roughly defined. A description in long texts may be useful in this case.

Procuring office supplies requires different process steps than procuring direct materials or services, for example, services for valuation or inventory management. Process variants: A subcontracting process needs additional steps compared to a standard contract-based procurement process. Industry-specific variants

In retail companies, assortments are maintained and replenishment planning is typically integrated into Purchase Order processing. The Goods Receipt Capacity Check is especially relevant for retail companies. With this check, the buyer is informed while creating the purchase order if the capacity at the warehouse is not sufficient for that particular date for the amount of merchandise on the goods receipt. In

automotive companies, special message handling of delivery schedules for scheduling agreements is known.

Prerequisites
You can only use the industry-specific variants if you have activated the Goods Receipt Capacity Check function. To do this, you must have activated both the Retail, Buying (ISR_RETAIL_BUYING) business function, and theMaterials Management (LOG_MM_CI_1) business function.

The activation of the LOG_MM_CI_1 business function is a prerequisite for the activation of the ISR_RETAIL_BUYING business function. If both business functions are activated, the relevant customizing activities will be visible.

Process Flow
The business process runs in SAP ERP as follows: 1. Create or process purchase orders 2. Release purchasing documents 3. Find a new source of supply 4. Compare quotations 5. Generate or mmanage versions of purchase orders 6. Monitor output of messages 7. Monitor or view list display of purchase orders

1.3.1.7 Processing Sales Orders in SUS

You can use this business process to perform principle steps of the procurement process in a supplier system such as supplier self-services (SUS) using sales orders. Sales orders are created automatically in the supplier system after purchase orders have been created in the procurement system and have been sent to the supplier system. Your procurement system can be SAP SRM, Materials Management, or a non-SAP procurement system, depending on which business scenario you have implemented. With SAP SRM, you can receive purchase order responses using XML. This can be a notification that the supplier accepts all purchase order items and can deliver them as ordered; or the supplier notifies of variances from the purchase order because he can only partly confirm it. This process is modified if you have activated the SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business function in SAP SRM and the Procurement - SRM Integration 2 (LOG_MM_P2PSE_2) business function in SAP ERP. With these business functions, you can use informatory lines and contract limits.

Process

The following business process runs in SUS: 1. Process sales order 2. Create and send purchase order response (SUS)

1.3.1.8 Entering Services in SRM

You can use this business process to allow supplier to enter services performed, either planned or unplanned, as well as expenses and overtime hours. If external staff has access to a supplier system such as SAP Supplier Self-Services (SUS), they can enter their services themselves and send this data to the purchaser as an XML message. Alternatively, external staff can send service entry sheets to purchasers by e-mail, fax, or regular mail. Purchasing assistants then enter the data in the service entry sheets in SAP SRM or SAP ERP. As a supplier or service provider, your service entry sheets must be approved by an internal employee. If a request for external staff has come from a cProjects system, the confirmation information in SAP Product Lifecycle Management (SAP PLM) is updated accordingly.

Process

1. Create service entry sheet in SRM 2. Create service entry sheet in SUS 3. Send confirmation (SUS) 4. Approve confirmation (SAP SRM Server) 5. Update fulfillment information in SAP PLM using cProjects (SAP cProject Suite)

1.3.1.9 Entering Services in ERP

Purpose
You can use this business process to enter services in ERP. The services actually performed (work actually done) by a service provider are recorded in a service entry sheet. You can enter both planned and unplanned services performed. As an alternative, Cross-Application Time Sheets (CATS) can be used for time recording by internal or external staff. After the services have been recorded, one or more responsible persons must check that the work is satisfactory and formally accept the service entry sheet. This acceptance constitutes the basis for invoice verification and triggers the update of accounting information.

Process Flow

The following business process runs in SAP R/3 Enterprise: 1. Process service entry sheets 2. Print and transmit service entry sheets 3. Release collective service entry sheets 4. Import CATS data

1.3.1.10 Processing Invoices by Supplier

You can use this business process to display and process invoices in Supplier Self-Services (SUS). As supplier or service provider, all invoices or processes must be approved by an internal employee. In SUS, invoices can be entered with reference to a purchase order, confirmation, shipping notification, or contact person before they are sent to the customer. If, following a purchase order, the goods supplied or the service provided turn out to be defective or the price charged is too high, you as an internal employee, supplier, or service provider, can enter and process credit memos or subsequent debits/credits.

Process

1. Enter invoice in SUS 2. Send Invoice (SUS) 3. Create credit memo (SUS)

1.3.1.11 Verifying Logistics Invoices (Online/In Background)

Purpose
You can use this business process to verify incoming invoices in terms of their content, prices, and arithmetic. When the invoice is posted, the invoice data is saved in the system. The system updates the data saved in the invoice documents in Materials Management (MM) and Financial Accounting (FI). If you use the prepayment functions, the first FI document is created when the invoice is saved in the system. An invoice can be processed in Logistics invoice verification in online modus or in the background. Invoice Verification online You enter the contained information of an invoice into the system, comparing the data (such as quantities and values) suggested by the system with those in the invoice. You make necessary corrections and post the invoice. Document parking (online only) You receive an invoice. You enter the data in the system and save the invoice. The system does not yet create an FI document. You can change the parked document. When you have finished changing the document, you post the parked document. Invoice Verification in the background You receive an invoice, enter the total amount of the invoice and match the invoice with another system document. The system then checks the invoice in the background. If no errors occur, the system also saves the invoice in the background. If errors occur, the system saves the invoice and you process it in a separate step. The business process Verifying Logistics Invoice Online can be enhanced in terms of invoice validation, verification, and exception handling by the solution SAP Invoice Management by Open Text.

Companies must process supplier invoices in a timely, accurate, and efficient manner to have a well-run business. The SAP Invoice Management application by Open Text helps you manage and control invoice processing, meet critical payment and compliance deadlines, and avoid risks resulting from inaccurate business information. SAP Invoice Management helps accounts payable personnel and suppliers to optimize the creation, management, monitoring, and routing of purchase orders and invoices. You can use SAP Invoice Management to improve the timeliness of payments, optimize productivity and cash flow, and limit fiscal and noncompliance risks. SAP Invoice Management is integrated with SAP ERP and the SAP NetWeaver technology platform, allowing you to streamline accounts payable operations across and beyond the enterprise. The integration available using SAP Invoice Management ensures the visibility of purchase orders, invoices, and payments. It also provides you with a central view of invoices instead of the disparate solutions you are left with without such integration. For more information, see SAP Service Marketplace at http://service.sap.com/instguides SAP Solution Extensions -> SAP Invoice Management by Open Text -> Version 5.2 You can post invoices with reference to purchase orders or to goods receipts. You can post invoices without reference to a purchase order as well. You can also create invoices with reference to contracts, if you have activated the Materials Management Enhancements in Procurement (LOG_MM_CI_3) business function. The following cases are supported: Invoices received via EDI or XML You can process invoices via Electronic Data Interchange (EDI) or eXtensible Markup Language (XML). An invoice reaches you via EDI, and SAP ERP posts the invoice automatically. Prepayment (only relevant for background processing) If you decide to prepay invoices for special vendors and company codes, the process is slightly different. You receive an invoice (as a hardcopy, via EDI, or via XML) that is verified in the background. As soon as the invoice is saved, an FI document is created. This posts an open item in the vendor account. The posting is not dependent on matching or verifying the invoice. Verification can be carried out at a later date. If errors occur, you might have to delete the invoice and create a credit memo.

Process Flow
The following business process runs in SAP ERP 1. Park invoice (online only) 2. Create or process invoices online or in background 3. Release invoice 4. System triggers prepayment in background (in the background only) 5. Cancel invoice 6. Transmit invoice 7. View list display of invoices 8. Perform revaluation

1.3.1.12 Processing Evaluated Receipt Settlements (ERS) in ERP

Purpose
You can use this business process to settle goods receipts automatically. When you use evaluated receipt settlement (ERS), the vendor creates no invoice for an ordering transaction, instead you post it on the vendors behalf based on information contained in purchase orders and goods receipts. ERS has the following advantages: Purchasing transactions are closed more quickly. Communication errors are avoided. There are no price or quantity variances in Invoice Verification.

Process Flow

The following business process runs in SAP R/3 Enterprise: 1. Perform evaluated receipt settlements 2. Monitor evaluated receipt settlements 3. Transmit invoices

1.3.1.13 Analyzing Service Procurement

You can use this business process to analyze service procurement from different aspects. SAP SRM delivers a number of reports focusing especially on this area. Based on best business practice, the

reports can be immediately deployed, or they can be used as a starting point to define customer designed reports. The user can monitor service procurement through the entire process requisitioning or creation of shopping cart, the issue of purchase orders, confirmation and invoicing. The system provides you with, for example, status reports for procurement, showing the status for each individual procurement document. You can also choose to work with exception reports, focusing only on items which need special attention.

Process

The following business process runs in SAP BI: 1. System collects data 2. View reports 3. Work with reports

1.4 STRATEGIC SOURCING

1.4.1 Strategic Sourcing with RFx

You can use this business scenario to source goods using RFx (request for information, request for proposal, and/or request for quotation). You can use this business scenario with or without integration of the sourcing application. The sourcing application helps you, as a professional purchaser, to process your requirements and to determine the best source of supply. You can also integrate document storage functionality maintained in cFolders in the RFx. After you have received bids from suppliers, you can create a purchase order or contract (local or global outline agreement) directly from the sourcing application or in SAP Bidding Engine as a result of the RFx.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl

Process
1. Processing Shopping Carts 2. Processing Purchase Requisitions in ERP 3. Searching for Sources of Supply Centrally 4. Negotiating Contracts 5. Processing Bidding Events 6. Processing Collaborative Bidding Events Using cFolders 7. Evaluating Bids or RFx Responses 8. Processing Bids and RFx Responses in Supplier Self-Services 9. Analyzing Sourcing with RFx

1.4.1.1 Processing Shopping Carts

You can use this business process to create a shopping cart and add items to it. For recurring orders, you can also use previous shopping carts and templates provided by the purchasing department. Account assignment is then checked in the back-end system. You can order the shopping cart now or later, and check the status of the shopping cart at any time. If the shopping cart contains incomplete data, you can run a completion workflow to check and complete the necessary delivery data. Once the delivery data is complete, the approval workflow starts.

You can also assign responsibility for requirements from a shopping cart to a different purchasing group. You can do this manually or automatically. You might want to do this, for example, if the person who was originally responsible is absent, or if changes have been made to the purchasing group structure.

Note
You can create a shopping cart using the Shopping Cart Wizard or the one-screen shopping cart with limited functionality.

Process

The following business process runs in SAP SRM Server: 1. Create shopping cart 2. Search for products or services

You can select products and services (for example, external staffing) from catalogs, or enter a description or a product ID from the product master. 3. Select items and add to shopping cart 4. Display overview For example, you can display item details and add documents to the shopping cart. 5. Display account assignment 6. Order shopping cart 7. Check shopping cart status 8. Approve shopping cart This process step is modified if you have activated the SRM, Approval Process (SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes, and use them more efficiently when you use the process-controlled workflow.

1.4.1.2 Processing Purchase Requisition in ERP

Prerequisite
The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application. You can only use the Web Dynpro application, if you have activated the Materials Management - Enhancements in Procurement (LOG_MM_CI_3) business function.

Purpose
You can use this business process to process purchase requisitions in ERP. A purchase requisition is a demand that is released to the purchasing department. The demand can be created as follows: Automatically, for example as result of a material requirement planning (MRP) run, or by assigning components or services to a maintenance or production order Alternatively, the purchase requisition may be: Entered manually Transferred from another system, for example from a shopping cart that has been approved: In a Supplier Relationship Management (SRM) classic scenario From Supply Network Planning (SNP) or Production Planning and Detailed Scheduling (PP/DS) of a Supply Chain Management (SCM) module The accounting data is assigned and checked during processing of the purchase requisition. Sourcing, including initiating a request for quotation (RFQ) process, can be executed based on a purchase requisition as well as assignment of documents. It is possible to establish approval processes for purchase requisitions. For purchase requisitions with long life cycles, a change management differs between several versions.

Process Flow
The following business process runs in SAP ERP: 1. Create/process purchase requisitions

2. Release purchase requisitions 3. Assign source to purchase requisitions 4. Generate/manage versions of purchase requisitions 5. Monitor/view list display of purchase requisitions The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application.

1.4.1.3 External Sourcing for Purchase Requisitions

In order to generate follow-on documents for purchase requisitions created in the SAP ERP system, you must assign a valid source of supply. If there are no valid sources of supply in SAP ERP, the purchaser can carry out external sourcing using the SAP SRM system. There are two processing modes available for transferring purchase requisitions to the SAP SRM system: Background mode Purchase requisitions are transferred to SAP SRM automatically, and are created as external requirement documents in the SAP SRM system. Subsequently, the purchaser can process and convert the external requirement document into a follow-on document (for example, a purchase order, contract, RFx or auction) directly in the SAP SRM sourcing application. Online mode Purchasers transfer purchase requisitions manually using the Collaborative Processing of Purchase Requisition (CPPR) application. In online mode, purchasers can choose to either transfer purchase requisitions to SAP SRM by creating an external requirement document in SAP SRM, as in background mode, or create an RFx for the purchase requisition directly in SAP SRM. If the purchaser chooses to create an RFx directly in SAP SRM, no external requirement is generated for the purchase requisition.

Note
Before you configure this process, you must first configure the basic settings for the Plan-Driven Procurement with Plant Maintenance business scenario. You do this in SAP Solution Manager under <project name> SAP SRM <release> Basic Settings for Plan-Driven Procurement Basic Settings for PlanDriven Procurement with Plant Maintenance .

Process
The following business process runs in SAP SRM: 1. Start Collaborative Processing of Purchase Requisitions (CPPR) application 2. Create RFx from CPPR 3. Transfer purchase requisition to SAP SRM sourcing application

More Information

For more information on Collaborative Processing of Purchase Requisitions, see Collaborative Processing of Purchase Requisition CPPR.

1.4.1.4 Searching for Sources of Supply Centrally

You can use this business process to process your requirements and to improve your source of supply by evaluating the ability of your suppliers to provide materials and services. To prioritize the requirements, you can define and display priority for your requirements in the Sourcing application accordingly. Once a requirement has been created, you can assign requirements to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for requirements, or organizational changes to the structure of your purchasing groups. You can assign the sources of supply proposed by the system to items automatically (for example, if there is a single contract for the item being procured) or manually in the case of a quota arrangement, contract, or supplier from a supplier list. You can also assign a source of supply from catalogs that you access in Sourcing. You can then create an RFx or an auction in the SAP Bidding Engine. In the case of an RFx, you can publish it immediately, or group multiple requirements together for publishing later. You can also disable the automatic assignment of a source of supply in requirements during sourcing. This enables you to add your preferred supplier as a source of supply in the requirement. The system displays a list of possible sources of supply defined either locally or in the back-end system for the products or user-defined texts you add to the requirement. When adding an item from a catalog, however, the system finds a unique source of supply for that item, and assigns the source of supply for the item automatically. If you deactivate the automatic source of supply, you can define your own supplier in the requirement. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order locally, or an incomplete purchase requisition in the back-end system, depending on the deployment scenario implemented. It is also possible to define the threshold for background processing in the Sourcing application so that requirements with a number of items exceeding the threshold will be processed in background mode. To do this, you must activate the Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC), and define the threshold value in a dialog box. Once the value defined under Number of Items is reached in the application, background processing is started immediately and the dialog box is not displayed to the purchaser. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. It brings additional features, such as enabling of info lines in contracts, central contract as default in the Sourcing application, and enabling of contracts with service hierarchies as source of supply in the Sourcing application.

Process

The following business process runs in SAP SRM Server: 1. Group related purchase requisitions and shopping cart items 2. Start sourcing application 3. Search for appropriate source of supply 4. Assign contract

This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can also assign contracts with service hierarchies as sources of supply. 5. Assign supplier 6. Create RFx from sourcing application 7. Create auction from sourcing application 8. Process workload reassignment 9. Create purchase order from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create SAP ERP purchase orders in statuses park and hold in the Classic scenario. The hold function allows you to temporarily save data for example, line item information in purchasing documents, and resume editing at a later time. The park function requires that a document be checked by SAP ERP Materials Management (MM) in order for it to be saved temporarily. 10. Create contract from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, the SAP SRM central contract is the default contract. Otherwise, the SAP ERP contract is defaulted. If you want to modify the default settings, and create a contract directly in SAP ERP, you must implement the BAdI BBP_DETERMINE_LOGSYS.

1.4.1.5 Negotiating Contracts

You use this business process to negotiate contracts in SAP Bidding Engine. You can: Negotiate a new contract Renew an existing contract that has been released already To renew a contract that has been released already, you trigger the renewal process in the contract application of SAP SRM and the system transfers the data to SAP Bidding Engine automatically. The supplier then submits new contract details or updates existing ones, such as target value or conditions. If you accept the updated data from the supplier, the data is transferred to the existing contract. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. See process steps Negotiate contract and Renew contract below.

Process

The following business process runs in SRM Server: 1. Search for contracts 2. Negotiate contract This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create a new contract with service hierarchies out of a winning bid. 3. Renew contract This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can update an existing contract with service hierarchies out of a winning bid. 4. Update contracts via mass update

1.4.1.6 Processing Bidding Events

You use this business process to create, publish, and change an RFx. You create an RFx as follows: By copying an existing RFx By creating a follow-on RFx (in the next round) after a first RFx From existing purchase requisitions From templates of a saved or published RFx From externally uploaded files

After you have completed an RFx, you can approve it and publish it. You can also set up a workflow to approve publication of the RFx. After you have published the RFx, the invited bidders submit their RFx responses. Bidders can indicate their participation prior to submitting an RFx response. To facilitate communication, a chat functionality is offered.

As purchaser, you can allow bidders to change their RFx responses, thereby allowing bidders to update their RFx responses until the submission deadline. You can also bid on behalf of bidders. If you change the RFx after it has been published, bidders are informed of the change and can update their RFx responses accordingly. Changes made to RFxs and RFx responses result in the creation of a new version. You can use version comparison functionality to display the differences between versions. In addition, RFx response modification allows bidders to offer different products and services other than those requested by you. Bidders can withdraw a submitted RFx response if they are no longer able to participate. You can assign RFx to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for RFx, or organizational changes to the structure of your purchasing groups. You can also enable tender fees and earnest money deposit (EMD) payment by the bidder.

Process
In Strategic Sourcing without bid decoupling, the following business process runs in SRM Server: 1. Create RFx This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function. If you have activated this business function, you can configure the RFx to support limit items so that limit items are available in RFx in the Service Procurement scenario during sourcing. 2. Upload RFx from file 3. Complete and save RFx This process step is modified if you have activated the SRM, Continuous Innovations (SRM_CONT_IMPR_1) business function and the Template from RFx and Contract (SRM_701_TEMPLATE) Customizing switch. If you have activated this switch, you can save an RFx template after you have saved or published the RFx. 4. Approve publication of RFx 5. Publish RFx 6. Change RFx 7. Process workload reassignment 8. Confirm participation 9. Create and submit RFx response online. Alternatively, you can also create and submit the RFx response offline. This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function and the Tender Fees (SRM_701_TENDER_FEE) and Earnest Money Deposit (SRM_701_EARNEST_MONEY_DEP) Customizing switches. If you have activated this business function, and the purchaser has specified the requirements in the RFx, then the bidder has to provide the tender fees, before creating the RFx response, and pay the earnest money deposit. 10. Change RFx response 11. Withdraw RFx response In Strategic Sourcing with bid decoupling, the following business process runs in SRM server: 1. Create RFx 2. Upload RFx from file

3. Complete and save RFx This process step is modified if you have activated the SRM, Continuous Innovations (SRM_CONT_IMPR_1) business function and the Template from RFx and Contract (SRM_701_TEMPLATE) Customizing switch. If you have activated this switch, you can save an RFx template after you have saved or published the RFx. 4. Approve publication of RFx. 5. Publish RFx 6. Change RFx 7. Process workload reassignment In Strategic Sourcing with bid decoupling, the following business process runs in the supplier system: 1. Replicate RFx 2. Confirm participation 3. Create and submit RFx response online

Note
You can also create and submit the RFx response offline. 4. Change RFx response 5. Withdraw RFx response

1.4.1.7 Processing Collaborative Bidding Events Using cFolders

You can use this business process to create RFx and to integrate them in a document storage functionality that is managed in cFolders. This document storage functionality supports RFx for complex technical products requiring specifications and plans. As a purchaser, you create an area in cFolders, which is accessible to all your bidders. In this area, you store your documents and specifications. When bidders submit RFx responses, a separate area of cFolders is created, which is accessible only to you and to the respective bidder. In these areas, bidders store the plans and documents that they have produced in response to the RFx.

Process

1. Create collaborative RFx (SRM Server)

This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function. If you have activated this business function, the bidder can bid offline and modify the RFx response they submit. 2. Update collaborative documents in SAP Product Lifecycle Management (SAP PLM) using cFolders (SAP cProject Suite) 3. Approve publication of collaborative RFx (SRM Server) 4. Publish collaborative RFx (SRM Server) 5. Create and submit RFx response for collaborative RFx (SRM Server) This process step is modified if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function. If you have activated this business function, the bidder can bid offline and modify the RFx response at line item level. 6. Update collaborative documents in SAP PLM using cFolders (SAP cProject Suite)

1.4.1.8 Evaluating Bids or RFx Responses

You use this business process to evaluate bids received in response to an auction, or RFx responses received in response to an RFx, and to decide and award the winning bid or RFx response. You can integrate the award of a winning bid or RFx response in an approval workflow.

Process

The following business process runs in the SRM Server system: 1. Open Bid or RFx Response Open the bid or RFx document and choose Responses and Awards to display all bids or RFx responses from all bidders. Select the bid or RFx response and open the bid or RFx response document to view the complete details. 2. Evaluate Bid or RFx Response You can open the responses from all bidders in the Bid Comparison view. In this view, the purchaser can compare the responses of all bidders. For each item, the submitted quantity, price, alternative

and supplementary items added by the bidder, and the answers submitted in response to the qualification questionnaire are available. 3. Award Bid or RFx Response You can award bids or RFx responses in the Responses and Awards or the RFx Response Comparison views. You can accept some or all of the items from a bidder. You can also accept responses from multiple bidders. 4. Approve Bid or RFx Response After accepting the RFx response documents, they are sent to the responsible purchasing manager for approval. A work item appears in the approving managers inbox.

1.4.1.9 Processing Bids and RFx Responses in the Supplier System

You use this business process to create, publish, and change a bid or an RFx response in the supplier system. This enhances the security of the system by allowing the bidder to submit their bids or RFx responses from outside the SAP Supplier Relationship Management (SAP SRM) firewall. After the RFx has been published by the strategic purchaser in SAP SRM, the invited bidders can create bids or RFx responses in the supplier system. You can also submit a bid or an RFx response on behalf of a supplier outside the firewall in the supplier system, through surrogate bidding. In the case of an auction and during RFx response submission outside the firewall in the supplier system, bidders can indicate their participation prior to submitting a bid. The chat functionality is not available during RFx response submission outside the firewall in the supplier system. Bidders are allowed to change their bids or RFx responses, and can make updates to their responses until the submission deadline. If the RFx is changed after it has been published, bidders are informed of the change by e-mail, and can make updates to their RFx response accordingly. Changes made to an RFx, bid, or RFx response result in the creation of a new version. You can use version comparison functionality to display the differences between versions. RFx response modification allows bidders to offer different products and services than those requested by the purchaser. The bidder (Bidder Company) master data object can be created in the SAP SRM system and replicated to the supplier system. A default logon and password is then automatically created. This password is emailed to the registered address of the bidder company. A representative from the bidder company can use this logon and password to create contact persons. When RFx response submission outside the firewall is switched on, bidders and purchasers can only create contact persons in the supplier system, not in the SAP SRM system.

Prerequisites
You have activated the SRM, Supplier Collaboration (SRM_SUCO_1) and the SRM, Supplier Collaboration 2(SRM_SUCO_2) business functions. You have also activated the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) and the RFx Response Submission Outside Firewall Improvements (SRM_702_BID_DECOUPLING_IMPR) Customizing switches.

You have completed the basic settings for SAP SRM in SAP Solution Manager under

<project

name> Configuration SAP SRM <release> Basic Settings for SAP SRM .
You have completed the basic settings for Strategic Sourcing in SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for Strategic Sourcing .

Note
When initializing the system, suppliers and bidders are replicated from the SAP SRM system to the supplier system in bulk using RFC modules.

Process
The following business process runs in the supplier system: 1. Create and submit bid or RFx response 2. Change bid or RFx response 3. Withdraw bid or RFx response 4.

1.4.1.10 Analyzing Sourcing with RFx

Purpose
You can use this business process to analyze sourcing with RFx from different aspects. SRM delivers a number of reports focusing especially on this area. Based on best business practice, the reports can be immediately deployed, or they can be used as a starting point to define customer designed reports. A complete list of all queries available in the standard for NetWeaver 2004s is provided under service.sap.com/srminst. Choose Sourcing with RFx in the column Area.

Process Flow

The following business process runs in SAP BI: 1. System collects data 2. View reports 3. Work with reports

1.4.1.11 Extended RFx Processing

You use this business process to assess technical and price-based RFx responses. This is part of a specialized process called tendering and includes two-envelope RFx response processing with the following optional steps: Tender fee payment Earnest money deposit payment Multiparty verification of RFx responses

Two-envelope RFx response processing is used when purchasing organizations want to evaluate RFx responses from bidders on not only price information, but also technical or other qualitative information.

This allows the purchasing organization to assess the RFx response by looking at the technical information first, before viewing the price information. Then, the purchasing organization decides whether or not to accept the RFx response. In this situation, the bidder must submit an RFx response containing technical information and price information. This differs from the standard RFx response, which contains price information only.

Prerequisites
You have activated the business functionSRM, Supplier Collaboration (SRM_SUCO_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have performed the following activities in Customizing for SAP Supplier Relationship Management (SAP SRM) under: SRM Server RFx Envelope RFx . SRM Server RFx SRM Server RFx SRM Server RFx SRM Server RFx Logon . You have also done the following: Activated two-envelope RFx response for the required transaction and publication type in transaction Maintain Table Views (SM30), view /SAPPSSRM/V_TNDR. Activated the simultaneous logon function for the required transaction and publication type in transaction Maintain Table Views (SM30), view /SAPPSSRM/V_TNDR. Extended RFx Process Two-Envelope RFx Response Define Basic Data for TwoExtended RFx Process Two-Envelope RFx Response Define Basic Data for . Extended RFx Process Simultaneous Logon Activate/Deactivate Simultaneous Logon Extended RFx Process Simultaneous Logon Define Basic Data for Simultaneous Envelope RFx Response . Technical RFx Response Folders at RFx Response Opening . Extended RFx Process Two-Envelope RFx Response Activate/Deactivate Two-

Process

The following business process runs in SAP SRM and SAP Product Lifecycle Management (SAP PLM) cFolders systems. You can navigate from one system to the other using the SAP NetWeaver portal or the SAP NetWeaver Business Client (NWBC). Purchaser Creates New RFx Document for Two-Envelope RFx Response 1. The purchaser creates an RFx document of a transaction type that is customized for two-envelope response. 2. The purchaser enters the submission deadline for the RFx document, and also sets two opening dates - one for the technical RFx response and another for the price response. 3. The purchaser adds bidder contacts who respond with the RFx response.

4. The purchaser adds items using product search or retrieves details from a catalog. 5. The purchaser can add and weight questions for the bidders to respond. 6. The purchaser chooses Technical RFx to create a cFolders collaboration room area for the RFx document, and to create the necessary subfolders. For example, the purchaser can create an external folder, where public documents are uploaded. 7. The purchaser can additionally add new users and assign read, write, or administrator authorizations to the users. Purchaser Defines Tender Fee Payment Details (Optional) If a tender fee is required from bidders before submitting their two-envelope RFx responses, the following steps must be performed before publishing the RFx document:. 1. The purchaser specifies whether or not the tender fee is required. 2. The purchaser specifies the tender fee amount. 3. The purchaser sets a submission deadline for tender fee payment. Purchaser Defines Earnest Money Deposit Details (Optional) If earnest money deposit must be paid by winning bidders, the following steps must be performed before publishing the RFx document: 1. The purchaser specifies whether or not the earnest money deposit is required. 2. The purchaser specifies the earnest money deposit amount. 3. The purchaser sets the submission deadline for earnest money deposit payment. Purchaser Defines Multiparty Verification Settings (Optional) If multiparty verification (simultaneous logon) is required to open the two-envelope RFx responses, the following steps must be performed before publishing the RFx document: 1. The purchaser chooses Permissions in the identification area to set the multiparty verification authorization. 2. The purchaser also sets his or her own user ID or that of an authorized purchasing officer and defines the user ID as Bid Floor Admin. 3. The purchaser can set the user ID of an authorized technical officer, from the purchasing company, to technical opener. 4. The purchaser can set the user ID of an authorized purchasing officer or manager, from the purchasing company, to price opener. 5. The purchaser can add one or more users as technical evaluators to evaluate technical RFx responses. 6. The purchaser can add additional users as stakeholders of the RFx document and they can participate in the multiparty verification process. Purchaser Publishes the Two- Envelope RFx Document 1. The purchaser publishes the RFx document. 2. The bidders who were invited to participate, are notified by e-mail or fax according to the settings for the bidder. Bidder Pays Tender Fee (Optional) The bidder must pay the tender fee before being allowed to submit the two-envelope RFx response. 1. The bidder opens the RFx document. 2. If tender fee payment is required, the bidder cannot create a response document until the tender fee is paid.

3. The bidder navigates to the payment gateway from the RFx document and pays the tender fee. 4. The bidder can then create a new RFx response. Bidder submits Two-Envelope RFx Response 1. The bidder receives a notification for the RFx document. 2. The bidder logs on to the SRM system to view the RFx document. 3. The bidder creates a new RFx response. 4. The system creates a unique folder for the bidder in the cFolders collaboration room and assigns write authorization for the bidder. 5. The bidder chooses Technical RFx Response, navigates to the cFolders collaboration room, and uploads the documents to the assigned folder. 6. The bidder enters the submitted quantity and price details in the Item Overview section. 7. The bidder then submits both the technical and price RFx responses. Bidder Makes Earnest Money Deposit (Optional) The bidder pays the earnest money deposit where required. 1. The bidder opens the RFx document. 2. If the earnest money deposit payment is required, then the bidder navigates to the payment gateway from the RFx document and pays the deposit amount. 3. Alternatively, the bidder can send payment by check or bank draft to the purchaser. 4. The purchaser updates the earnest money deposit payment in the system at a later stage. Two Envelope RFx Response Opening and Evaluation The following steps are required when multiparty verification is not enabled: 1. The purchaser initiates the technical RFx response opening. 2. The technical evaluation panel evaluates the technical RFx responses. 3. The technical evaluators navigate to the cFolders collaboration room and submit their feedback in the Evaluationfolder. 4. The purchaser then navigates to the technical RFx response overview and accepts or rejects each technical RFx response according to the decision of the evaluation panel. 5. Depending on the settings made in Customizing, an e-mail notification is sent to all bidders notifying them of the decision of the evaluation panel. And, if configured, the price RFx responses of bidders whose technical RFx responses were rejected by the evaluation panel are automatically rejected. 6. The purchaser then initiates price RFx response opening. 7. The price evaluation panel evaluates the price RFx responses of the bidders who were shortlisted by the technical evaluation panel. 8. An award is made. Two-Envelope Response Opening with Multiparty Verification (Optional) The following steps are required when multiparty verification is enabled. The verification happens before the actual response opening. 1. When the purchaser opens the technical RFx response, the system sends an e-mail notification to all users with the technical opener role informing them that they need to approve the process. They have a defined period of time to complete the approval process 2. The technical RFx response opener navigates to the Simultaneous Logon application and approves the process by entering his or her system password.

3. This step is repeated by all users who have been assigned the technical opener role by the purchaser. 4. The system updates the process overview with the users approval status. 5. When all RFx response openers have approved the opening process, the system gives the process the status successful and makes the RFx response available for the evaluation process.

Note
If the process has not been approved by all RFx response openers by the end of the approval period, the purchaser can either extend the process or the process fails and all users taking part in the process are informed of the failed opening. In this case, the process must be initiated again by the purchaser. 6. The technical RFx responses are evaluated by the evaluation panel and the above steps are repeated for the price RFx responses.

Note
After the technical and price RFx responses have been opened, you must complete steps 2 8 of the previous process Two Envelope RFx Response Opening and Evaluation. 7. An award is made.

1.4.2 Strategic Sourcing with Live Auction

You can use this business scenario to source goods using auctions. With auctions, you can, for example, define bidding rules. Bidders can submit bids in real time in a separate live auction application. You can use this business scenario with or without integration of the sourcing application. The sourcing application helps you, as a professional purchaser, to process your requirements and to determine the best source of supply. After you have received bids from suppliers, you can create a purchase order or contract (local or global outline agreement) directly from the sourcing application or in SAP Bidding Engine as a result of the auction.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl

Process
1. Processing Shopping Carts 2. Processing Purchase Requisitions in ERP 3. External Sourcing for Purchase Requisitions 4. Searching for Sources of Supply Centrally 5. Conducting Live Auctions 6. Evaluating Bids or RFx Responses 7. Processing Follow-On Documents 8. Analyzing Sourcing with Live Auction

1.4.2.1 Processing Shopping Carts

You can use this business process to create a shopping cart and add items to it. For recurring orders, you can also use previous shopping carts and templates provided by the purchasing department. Account assignment is then checked in the back-end system. You can order the shopping cart now or later, and check the status of the shopping cart at any time. If the shopping cart contains incomplete data, you can run a completion workflow to check and complete the necessary delivery data. Once the delivery data is complete, the approval workflow starts. You can also assign responsibility for requirements from a shopping cart to a different purchasing group. You can do this manually or automatically. You might want to do this, for example, if the person who was originally responsible is absent, or if changes have been made to the purchasing group structure.

Note
You can create a shopping cart using the Shopping Cart Wizard or the one-screen shopping cart with limited functionality.

Process

The following business process runs in SAP SRM Server: 1. Create shopping cart 2. Search for products or services You can select products and services (for example, external staffing) from catalogs, or enter a description or a product ID from the product master. 3. Select items and add to shopping cart 4. Display overview For example, you can display item details and add documents to the shopping cart. 5. Display account assignment 6. Order shopping cart 7. Check shopping cart status 8. Approve shopping cart

This process step is modified if you have activated the SRM, Approval Process ( SRM_APF_IMPR_1) business function. You can use this business function to accelerate your approval processes, and use them more efficiently when you use the process-controlled workflow.

1.4.2.2 Processing Purchase Requisition in ERP

Prerequisite
The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application. You can only use the Web Dynpro application, if you have activated the Materials Management - Enhancements in Procurement (LOG_MM_CI_3) business function.

Purpose
You can use this business process to process purchase requisitions in ERP. A purchase requisition is a demand that is released to the purchasing department. The demand can be created as follows: Automatically, for example as result of a material requirement planning (MRP) run, or by assigning components or services to a maintenance or production order Alternatively, the purchase requisition may be: Entered manually Transferred from another system, for example from a shopping cart that has been approved: In a Supplier Relationship Management (SRM) classic scenario From Supply Network Planning (SNP) or Production Planning and Detailed Scheduling (PP/DS) of a Supply Chain Management (SCM) module The accounting data is assigned and checked during processing of the purchase requisition. Sourcing, including initiating a request for quotation (RFQ) process, can be executed based on a purchase requisition as well as assignment of documents. It is possible to establish approval processes for purchase requisitions. For purchase requisitions with long life cycles, a change management differs between several versions.

Process Flow
The following business process runs in SAP ERP: 1. Create/process purchase requisitions 2. Release purchase requisitions 3. Assign source to purchase requisitions 4. Generate/manage versions of purchase requisitions 5. Monitor/view list display of purchase requisitions The manual creation or processing of purchase requisitions can be achieved in two ways: using the relevant backend transactions, or using the SPPR (Single Processing of Purchase Requisition) Web Dynpro application.

1.4.2.3 External Sourcing for Purchase Requisitions

In order to generate follow-on documents for purchase requisitions created in the SAP ERP system, you must assign a valid source of supply. If there are no valid sources of supply in SAP ERP, the purchaser can carry out external sourcing using the SAP SRM system. There are two processing modes available for transferring purchase requisitions to the SAP SRM system: Background mode Purchase requisitions are transferred to SAP SRM automatically, and are created as external requirement documents in the SAP SRM system. Subsequently, the purchaser can process and convert the external requirement document into a follow-on document (for example, a purchase order, contract, RFx or auction) directly in the SAP SRM sourcing application. Online mode Purchasers transfer purchase requisitions manually using the Collaborative Processing of Purchase Requisition (CPPR) application. In online mode, purchasers can choose to either transfer purchase requisitions to SAP SRM by creating an external requirement document in SAP SRM, as in background mode, or create an RFx for the purchase requisition directly in SAP SRM. If the purchaser chooses to create an RFx directly in SAP SRM, no external requirement is generated for the purchase requisition.

Note
Before you configure this process, you must first configure the basic settings for the Plan-Driven Procurement with Plant Maintenance business scenario. You do this in SAP Solution Manager under <project name> SAP SRM <release> Basic Settings for Plan-Driven Procurement Basic Settings for PlanDriven Procurement with Plant Maintenance .

Process
The following business process runs in SAP SRM: 1. Start Collaborative Processing of Purchase Requisitions (CPPR) application 2. Create RFx from CPPR 3. Transfer purchase requisition to SAP SRM sourcing application

More Information
For more information on Collaborative Processing of Purchase Requisitions, see Collaborative Processing of Purchase Requisition CPPR.

1.4.2.4 Searching for Sources of Supply Centrally

You can use this business process to process your requirements and to improve your source of supply by evaluating the ability of your suppliers to provide materials and services. To prioritize the requirements, you can define and display priority for your requirements in the Sourcing application accordingly.

Once a requirement has been created, you can assign requirements to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for requirements, or organizational changes to the structure of your purchasing groups. You can assign the sources of supply proposed by the system to items automatically (for example, if there is a single contract for the item being procured) or manually in the case of a quota arrangement, contract, or supplier from a supplier list. You can also assign a source of supply from catalogs that you access in Sourcing. You can then create an RFx or an auction in the SAP Bidding Engine. In the case of an RFx, you can publish it immediately, or group multiple requirements together for publishing later. You can also disable the automatic assignment of a source of supply in requirements during sourcing. This enables you to add your preferred supplier as a source of supply in the requirement. The system displays a list of possible sources of supply defined either locally or in the back-end system for the products or user-defined texts you add to the requirement. When adding an item from a catalog, however, the system finds a unique source of supply for that item, and assigns the source of supply for the item automatically. If you deactivate the automatic source of supply, you can define your own supplier in the requirement. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order locally, or an incomplete purchase requisition in the back-end system, depending on the deployment scenario implemented. It is also possible to define the threshold for background processing in the Sourcing application so that requirements with a number of items exceeding the threshold will be processed in background mode. To do this, you must activate the Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC), and define the threshold value in a dialog box. Once the value defined under Number of Items is reached in the application, background processing is started immediately and the dialog box is not displayed to the purchaser. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. It brings additional features, such as enabling of info lines in contracts, central contract as default in the Sourcing application, and enabling of contracts with service hierarchies as source of supply in the Sourcing application.

Process

The following business process runs in SAP SRM Server: 1. Group related purchase requisitions and shopping cart items 2. Start sourcing application 3. Search for appropriate source of supply 4. Assign contract

This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can also assign contracts with service hierarchies as sources of supply. 5. Assign supplier 6. Create RFx from sourcing application 7. Create auction from sourcing application 8. Process workload reassignment 9. Create purchase order from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create SAP ERP purchase orders in statuses park and hold in the Classic scenario. The hold function allows you to temporarily save data for example, line item information in purchasing documents, and resume editing at a later time. The park function requires that a document be checked by SAP ERP Materials Management (MM) in order for it to be saved temporarily. 10. Create contract from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, the SAP SRM central contract is the default contract. Otherwise, the SAP ERP contract is defaulted. If you want to modify the default settings, and create a contract directly in SAP ERP, you must implement the BAdI BBP_DETERMINE_LOGSYS.

1.4.2.5 Conducting Live Auctions

You can use this business process to host and manage online auctions in a real-time environment. Auctions can drive bottom-line results significantly by putting suppliers into direct competition with each other. You can generate an auction automatically, for example, via the sourcing application, add any information needed to start the bidding process, and notify all selected suppliers. You can also create auctions directly from an RFx, which enables you to include existing bids in the auction. You can also copy an existing auction or use a template to create a new auction, and download an auction for offline editing. You can set the following auction parameters: The level of bid decrement for each new bid submitted Whether items should end on a cascading basis Group together certain items as a lot Allow bidders to submit a minimum bid, which is used by the system to bid on their behalf Auction profiles, such as English Auction, Blind Bidding Auction, Rank Only Auction, Company Best Bid Auction, and Dutch Auction After you have activated the auction, the invited bidders can submit their bids. Based on the parameters you set when creating the auction, bidders can view the current best bid and how their bids rank in comparison with other bidders. The bid history is updated as new bids are received. The bid information, to which bidders also have access, is displayed graphically. Bidders can communicate with you via a chat message panel. You can use the chat message panel to communicate with individual bidders or to send a broadcast message to all bidders.

At the end of the auction, all bid information is copied to the SAP SRM back-end system. You can reject or accept bids, then create a purchase order or contract using a one-step approval workflow. The Live Auction Cockpit is available in both Java and ABAP. The following deployment options are available: Live Auction Cockpit on Java Web Server Live Auction Cockpit on ABAP Web Server Live Auction Cockpit on Java Web Server in supplier self-services Live Auction Cockpit on ABAP Web Server in supplier self-services

Note
Implementing Live Auction Cockpit on ABAP Web Server reduces Total Costs of Ownership (TCO) for customers who do not want to install and configure the Live Auction Web Presentation Server (WPS) separately.

Process
1. Convert RFx to auction 2. Create auction

3. Upload auction from file 4. Complete and save auction 5. Publish auction 6. Activate auction 7. Moderate auction 8. Access auction 9. Submit bid 10. End auction 11. Create RFx Responses 12. Evaluate and award Bid and RFx Responses 13. Create and submit bid for auction in supplier self-services

Note
This step is only available if you have activated the SRM, Strategic Sourcing Innovations(SRM_SOURCING_1) business function and the Live Auction on ABAP Server(SRM_701_LIVE_AUCTION_ABAP) Customizing switch.

Note
If you want to process bids outside the SAP SRM firewall, you must activate the SRM, Supplier Collaboration(SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall(SRM_701_SUCO_BIDDER_DECOUP) Customizing switch.

1.4.2.6 Evaluating Bids or RFx Responses

You use this business process to evaluate bids received in response to an auction, or RFx responses received in response to an RFx, and to decide and award the winning bid or RFx response. You can integrate the award of a winning bid or RFx response in an approval workflow.

Process

The following business process runs in the SRM Server system: 1. Open Bid or RFx Response Open the bid or RFx document and choose Responses and Awards to display all bids or RFx responses from all bidders. Select the bid or RFx response and open the bid or RFx response document to view the complete details. 2. Evaluate Bid or RFx Response You can open the responses from all bidders in the Bid Comparison view. In this view, the purchaser can compare the responses of all bidders. For each item, the submitted quantity, price, alternative and supplementary items added by the bidder, and the answers submitted in response to the qualification questionnaire are available. 3. Award Bid or RFx Response You can award bids or RFx responses in the Responses and Awards or the RFx Response Comparison views. You can accept some or all of the items from a bidder. You can also accept responses from multiple bidders. 4. Approve Bid or RFx Response After accepting the RFx response documents, they are sent to the responsible purchasing manager for approval. A work item appears in the approving managers inbox.

1.4.2.7 Processing Follow-On Documents

When creating an RFx or a live auction, you can decide if a purchase order and/or purchasing contract can be created as a follow-on document. After the submission deadline for the RFx or auction, you decide whether to reject or accept a bid. After the accepted bid has run through an approval workflow, you can use this business process to create the follow-on documents. In Customizing, you can determine whether the follow-on documents are generated locally or in a back-end system.

Process

1. Create purchase order in SAP SRM (SRM Server) 2. Create purchase order in SAP ERP (SAP ERP) 3. Create contract in SAP SRM (SRM Server). This process step is modified if you have activated the SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business function and the Central Contract Management (SRM_701_SERV_PROC_CCM) Customizing switch. 4. Create contract in SAP ERP (SAP ERP)

1.4.2.8 Analyzing Sourcing with Live Auction

Purpose
You can use this business process to analyze sourcing with live auction from different aspects. SRM delivers a number of reports focusing especially on this area. Based on best business practice, the reports can be immediately deployed, or they can be used as a starting point to define customer designed reports. A complete list of all queries available in the standard for NetWeaver 2004s is provided under service.sap.com/srminst. Choose Sourcing with Live Auction in the column Area.

Process Flow

The following business process runs in SAP BI: 1. System collects data 2. View reports 3. Work with reports

1.5 Operational Contract Management

You use this business scenario to access SAP SRM contract features, such as contract hierarchies, discount across contract hierarchies, contract negotiation, and contract monitoring and analysis. Contract management enables purchasers from various parts of a company at different locations to take advantage of the terms of globally-negotiated contracts for specific product categories. If a contract is categorized as confidential, you can provide users with specific levels of authorization. You create a central contract in SAP SRM, and from there it can be used as a source of supply in both SAP SRM and SAP ERP. Either the relevant data is sent to SAP ERP for source of supply determination, or a specific type of contract or scheduling agreement is sent to SAP ERP directly.

Note
The price is determined in SAP SRM before the SAP ERP purchase order is sent to the supplier. Central contracts are distributed to SAP ERP by release-authorized purchasing organizations, and these organizations can then use the corresponding contract and scheduling agreement documents as sources of supply in the appropriate SAP ERP system. Contract hierarchies can be used to organize, structure, display, and search for contracts. If you use SAP NetWeaver Business Intelligence (SAP BI), you can view various consolidated reports of contract management. For example, you can view aggregated value released against all contracts in a specific contract hierarchy. In addition, the new analytics functions of SAP SRM provide analysis of contract information, enabling purchasers to make strategic decisions.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at service.sap.com/scl

Process
The business processes run as follows: 1. Define Usage of Central Contracts 2. Developing Contracts 3. Processing Contracts and Sourcing Rules in ERP 4. Negotiating Contracts 5. Process Delivery Schedules 6. Searching for Sources of Supply Centrally 7. Monitoring Contracts

1.5.1 Define Usage of Central Contracts

You use this business process to further process central contracts that you have created in the business processDeveloping Contracts. This process allows you to use hierarchies to structure and organize your contracts, and use quota arrangement to determine the distribution of your contracts. Contract hierarchies consist of multiple levels; for example, contracts can be categorized into global, regional, or local contracts. A purchaser can use contract hierarchies or parts of hierarchies to make multiple changes to contracts. Contract hierarchies can also be used to define discounts based on the aggregated release values for contracts within a hierarchy.

Note
The discount provided within a contract hierarchy is in addition to any preexisting discounts defined in individual contracts in the hierarchy. Purchasers use quota arrangements to determine if a particular requirement is expected from a supplier in a product or product category, and to determine which contract to use as a source of supply. A contract with the highest priority according to the quote arrangement rules will always be selected first; that is, a contract with the greatest difference between target percentage and current percentage. If the sourcing result is ambiguous (for example, because there are several relevant quota arrangements), all of the possible sources of supply are displayed. The purchaser can then choose which of these is to be used to fulfill the purchase order, and can create a purchase order based on the relevant contract.

Process
Define Usage of Contracts

The business processes run in SAP SRM Server: 1. Define contract hierarchies 2. Define quota arrangements

1.5.2 Developing Contracts

You use this business process to create contracts, trigger the approval process, inform purchasing organizations about released contracts and output contracts, change existing contracts, and reassign the workload of employees involved in contract management. Purchasers can create contracts in a number of different ways: Copy an existing contract Use an existing template Upload an external file Upload a contract from the catalog Convert the result of an RFx response or auction

Use data from the Sourcing application Before implementing the Contract Management business scenario, the purchasing organization determines which purchasers should receive authorization to create and use contracts. It is also possible to categorize contracts as "confidential", which means that users need special authorization to access these contracts. In the contract itself, the purchaser can then decide whether or not other users should receive authorization to display or change certain parts of the contract. Users are therefore provided with different levels of authorization. You can use this business process to distribute the data of an approved central contract to authorized purchasing organizations in the back-end SAP ERP or SAP SRM system. You can send them an e-mail about the approved contract. The purchasing organizations can register themselves to use this central contract for their requisitions, purchase orders, limit confirmations, and invoices. After you have approved the contract, the system creates a purchasing contract or scheduling agreement that serves as a source of supply either in Sourcing or in business objects such as requisitions or purchase orders in the back-end SAP ERP system. You select the contract to create a requisition, purchase order, limit confirmation, and invoice. The system then updates the contract in the SAP SRM system with the released value. You can configure whether you would like to group items that belong to the same release-authorized purchasing organization together into a single back-end contract or purchasing agreement, even if they belong to different locations. This requires you to create a contract with a ternary relationship between item, release-authorized purchasing organization, and location. Once the contract is complete, a workflow is triggered and the contract is sent to the responsible manager for approval if applicable. Once approval has been granted, the authorized purchasers can use the contracts to process purchase orders or invoices. In addition, you can upload the approved contract to SRM-MDM Catalog. You can also use this process to reassign the responsibility for a contract to another purchasing organization. This is necessary, for example, if an employee is on holiday or due to organizational changes. Apart from the generic search function, you can use a full text search supported by TREX that includes text fragments in documents attached to the contract. You can either make individual changes to contracts, or use the mass change function to make multiple changes to more than one contract at a time.

Process
The following business process runs in SRM Server: 1. Assign general contract authorizations 2. Upload contracts from another system 3. Create contract 4. Use complex service hierarchies in contracts You can only use this step if you have activated the SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1) business function and the Central Contract Management(SRM_701_Serv_Proc_CCM) Customizing switch. 5. Define discounts based on released values 6. Activate contract upload to catalog You can upload contracts with service hierarchies to SRM-MDM Catalog if you have activated the SRM, Catalog Innovations (SRM_CATALOG_1) business function and the Service Procurement Enhancements for SRM-MDM Catalog (CAT_701_CTR_UPLOAD) Customizing switch.

Note
The Customizing switch can only be accessed as a standalone application, which you run using the following URL: http://(IP of the J2EE which catalog is Deployed on): HTTP Port/webdynpro/dispatcher/sap.com/tc~mdm~srmcat~enabler/MDM_SRM_SWITCH_APP ? To log on to this application and check the switch status, the user must have the following authorization on the J2EE server: Administrator role Catalog Configurator Action assigned to this role. This is assigned using UME.

7. Complete contract 8. Release contract 9. Approve contract 10. Distribute contract to SAP ERP 11. Distribute scheduling agreement to SAP ERP 12. Group back-end contract 13. Output contract 14. Process workload distribution 15. Mass change for contract

1.5.2 Creating Central Contracts from SAP Sourcing Master Agreements

You can use this business process to create a central contract from an SAP Sourcing master agreement. Purchasers use the SAP Sourcing application to carry out sourcing using auctions or RFxs. When an award is made to a supplier, an SAP Sourcing master agreement is created. Purchasers can then publish an SAP Sourcing master agreement to SAP Supplier Relationship Management (SAP SRM) as a central contract and distribute this contract document to one or more SAP

ERP backends in the form of outline agreements. Purchasers can use an outline agreement as a source of supply when processing purchase orders. Alternatively, purchasers can enter into an agreement with the supplier and the terms of this agreement can be captured in the SAP Sourcing master agreement and sent to SAP SRM to create a central contract. Purchasers can then extend this central contract with line items (material line items or service line items) in SAP SRM. They can then make the central contract operational and refer to it as a source of supply in open purchase orders.

Prerequisites
You have installed the Network Solutions add-on for SAP Sourcing (software component ESOSRMIN) on the purchasing system (SAP SRM). SAP Sourcing master agreement replication is supported on SAP SRM 7.0 as of Support Package (SP) 02, on SAP enhancement package 1 for SAP SRM 7.0 as of SP03, on SAP enhancement package 2 for SAP SRM 7.0 as of SP01, and on SAP Sourcing Wave 9.

Process

1. Create master agreement from SAP Sourcing You can create a new master agreement by logging on to the SAP Sourcing application and choosing Contract Management Agreements Create Master Agreement . Select the SRM Integrated Master Agreement agreement type and add or edit basic and control information, such as the effective date and expiration date, and assign a supplier name. You can also create material or service line items and assign pricing conditions if applicable. If sub agreements exist, you create these sub agreements below the master agreements. It is particularly important to add the following data: On the Integration tab, enter the purchasing organization and purchasing group (ensuring that the purchase organization and purchasing group are present in the SAP SRM system).

Select the transaction type of the central contract to be created, for example, Purchasing Contracts (PCTR).

2. Publish master agreement to SAP SRM as central contract You can trigger the publication of the master agreement to SAP SRM by choosing Agreement Documents

Master

Publish to SRM . A service-oriented architecture (SOA) message creates a

new SAP SRM central contract. The replicated central contract ID number is attached in the header section of the master agreement. The newly created SAP SRM central contract is created in the SAVED status. Purchasers can now logon to the SAP SRM system to release the central contract. 3. Add line items to central contract in SAP SRM created from master agreement You can customize a master agreement document type to allow purchasers to maintain line items on the central contract that is created when the master agreement is published to SAP SRM. You carry out these customizing steps in the SAP Sourcing application under Setup Document Setup Agreements Master Agreement Types . On the Integration Details tab of the Master Agreement Type ensure that the following is selected: 1. 2. Allow SAP SRM to maintain line items for Master Agreements Allow SAP SRM to maintain line items for Sub Agreements

When you create a master agreement and customize it in this way, purchasers can add and maintain line items in the SAP SRM central contract replicated from that master agreement. Update master agreement in SAP Sourcing A central contract is created when you logon to the SAP Sourcing application, choose Contract Management, and open a master agreement that has been published to SAP SRM. Purchasers can modify header and control info data, for example, extend the expiration date. Purchasers can also add new line items, modify existing line item details, add or change pricing and condition scales, and add or change sub agreements.

Note
Changes to the supplier name on the Supplier tab and changes to the transaction type of the central contract on the Integration tab are not supported during replication to an SAP SRM central contract. Publish master agreement updates to SAP SRM central contract You can trigger the publication of the master agreement to SAP SRM by choosing Agreement Documents Master

Publish to SRM . A SOA message then updates the already replicated SAP

SRM central contract. If the replicated central contract has been released, the update from the SAP Sourcing master agreement creates a new version of the SAP SRM central contract updated with these changes. The central contract is placed in the Saved status. The purchaser must then proceed to the central contract and set it to theReleased status. Cancel master agreement in SAP Sourcing and close SAP SRM central contract Logon to the SAP Sourcing application and go to Contract Management. When you open a master agreement that is already published to SAP SRM, a central contract is automatically created. Purchasers can cancel this master agreement by choosing Cancel under Documents. The purchaser is prompted to confirm the cancellation activity and proceed. The canceled master agreement becomes a read-only document and is removed from the list of active master agreements. A cancellation message is then sent by the system to SAP SRM, which closes the SAP SRM central contract.

Result
The master agreement data is replicated to SAP SRM and appears as a central contract. Modifications or updates to the master agreement can be sent to the SAP SRM application.

1.5.3 Processing Contracts and Sourcing Rules in ERP

Purpose
You can use this business process to process contracts and sourcing rules. In the Materials Management Purchasing component, a contract is a type of purchase agreement. Release orders (releases) are issued for materials or services as required during a certain overall timeframe. Contracts can take the following forms: Quantity contracts Use quantity contracts if the total quantity to be ordered during the validity period of the contract is known in advance. The contract is regarded as fulfilled when release orders totaling a given quantity have been issued. Value contracts Use value contracts if the total value of all release orders issued against the contract does not exceed a certain predefined value. The contract is regarded as fulfilled when release orders totaling a given value have been issued. You can also set up corporate buying contracts with your vendors. These are valid for all plants and company codes within a client. Info records are master data that you use to store information about a vendor and a material at purchasing organization or plant level. You can create purchasing info records for different procurement types (standard, subcontracting, pipeline, or consignment). The source list is used in the administration of sources of supply. It specifies the allowed (and disallowed) sources of a material for a certain plant within a predefined period for example a fixed vendor. A quota arrangement divides the total requirement of a material over a period among certain sources of supply by assigning a quota to each source. You can use source lists and quota arrangements to control which source will be assigned to a demand in the manual or automated source determination processes. Pricing is used to describe the calculation of prices for external use (by customers or vendors) and costs for internal use, such as cost accounting. In this surrounding conditions represent a set of circumstances that apply when a price is calculated. This master data is stored in the form of condition records. The system always carries out the message determination process when an RFQ, a purchase order, a contract, an outline agreement, a scheduling agreement release, or a standard delivery schedule is created. It means that the system searches a message record whose key combination matches up with the values from the relevant purchasing document. Vendor master records contain important data about your vendors. You can also store data in the vendor master record that applies to certain specific organizational level (for example, company code, purchasing organization, plant) within your enterprise.

Process Flow

The following business process runs in SAP R/3 Enterprise: 1. Process vendor master data 2. Process message conditions 3. Process contracts in ERP 4. Process purchasing info records 5. Process source list 6. Process quota arrangement 7. Process conditions for procurement

1.5.4 Negotiating Contracts

You use this business process to negotiate contracts in SAP Bidding Engine. You can: Negotiate a new contract Renew an existing contract that has been released already To renew a contract that has been released already, you trigger the renewal process in the contract application of SAP SRM and the system transfers the data to SAP Bidding Engine automatically. The supplier then submits new contract details or updates existing ones, such as target value or conditions. If you accept the updated data from the supplier, the data is transferred to the existing contract. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. See process steps Negotiate contract and Renew contract below.

Process

The following business process runs in SRM Server: 1. Search for contracts 2. Negotiate contract This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create a new contract with service hierarchies out of a winning bid. 3. Renew contract This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can update an existing contract with service hierarchies out of a winning bid.

4. Update contracts via mass update

1.5.5 Processing Delivery Schedules

Purpose
You can use this business process to process delivery schedules. Scheduling agreements are a form of purchase agreement for which the delivery of the total quantity is spread over a certain period in a delivery schedule, consisting of lines indicating the individual quantities with their corresponding planned delivery dates. Scheduling agreements support the following procurement forms: Standard Subcontracting Consignment Stock transfer Scheduling agreement releases are issued to the vendor, instructing the latter to effect deliveries of the relevant material on the dates shown. A creation profile determines which event triggers the creation of a scheduling agreement release, how the delivery dates are displayed (aggregation and release horizon), and whether backlogs and immediate requirements are determined. A tolerance check can be carried out for releases that are created due to changes to the overall delivery schedule in the system. Scheduling agreement processing is heavily integrated with planning functions: The scheduling agreement releases can result directly from a planning run without requiring further involvement of a purchaser. Before you can use scheduling agreements, you must maintain the source list, including the MRP indicator for relevant items. Vendors can issue confirmations (order responses) to the relevant purchasing organization indicating their compliance or non-compliance with the scheduled delivery dates. You can work with or without release documentation for scheduling agreements. With release documentation The schedule lines in the system have internal character and are not transmitted to the vendor until you explicitly create a scheduling agreement release. This may take one of two forms: Forecast (FRC) delivery schedule Just-in-time (JIT) delivery schedule

All scheduling agreement releases are stored in the system. Thus you can monitor the scheduling agreement releases, or compare selected scheduling agreement releases with each other. Without release documentation The schedule lines are immediately transmitted to the vendor.

Process Flow

The following business process runs in SAP R/3 Enterprise: 1. Create/process scheduling agreements 2. Release scheduling agreements 3. Transmit and monitor scheduling agreements 4. Process delivery schedules and releases 5. Transmit and monitor delivery schedules 6. Administrate scheduling agreements 7. Monitor/view list display of scheduling agreements

1.5.6 Searching for Sources of Supply Centrally

You can use this business process to process your requirements and to improve your source of supply by evaluating the ability of your suppliers to provide materials and services. To prioritize the requirements, you can define and display priority for your requirements in the Sourcing application accordingly. Once a requirement has been created, you can assign requirements to different purchasing groups manually or automatically. This enables you to react to temporary absences among persons responsible for requirements, or organizational changes to the structure of your purchasing groups. You can assign the sources of supply proposed by the system to items automatically (for example, if there is a single contract for the item being procured) or manually in the case of a quota arrangement, contract, or supplier from a supplier list. You can also assign a source of supply from catalogs that you access in Sourcing. You can then create an RFx or an auction in the SAP Bidding Engine. In the case of an RFx, you can publish it immediately, or group multiple requirements together for publishing later. You can also disable the automatic assignment of a source of supply in requirements during sourcing. This enables you to add your preferred supplier as a source of supply in the requirement. The system displays a list of possible sources of supply defined either locally or in the back-end system for the products or user-defined texts you add to the requirement. When adding an item from a catalog, however, the system finds a unique source of supply for that item, and assigns the source of supply for the item automatically. If you deactivate the automatic source of supply, you can define your own supplier in the requirement. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order locally, or an incomplete purchase requisition in the back-end system, depending on the deployment scenario implemented. It is also possible to define the threshold for background processing in the Sourcing application so that requirements with a number of items exceeding the threshold will be processed in background mode. To do this, you must activate the Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC), and define the threshold value in a dialog box. Once the value defined under Number of Items is reached in the application, background processing is started immediately and the dialog box is not displayed to the purchaser. This business process is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. It brings additional features, such as enabling of info lines in contracts, central contract as default in the Sourcing application, and enabling of contracts with service hierarchies as source of supply in the Sourcing application.

Process

The following business process runs in SAP SRM Server: 1. Group related purchase requisitions and shopping cart items 2. Start sourcing application 3. Search for appropriate source of supply 4. Assign contract

This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can also assign contracts with service hierarchies as sources of supply. 5. Assign supplier 6. Create RFx from sourcing application 7. Create auction from sourcing application 8. Process workload reassignment 9. Create purchase order from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, you can create SAP ERP purchase orders in statuses park and hold in the Classic scenario. The hold function allows you to temporarily save data for example, line item information in purchasing documents, and resume editing at a later time. The park function requires that a document be checked by SAP ERP Materials Management (MM) in order for it to be saved temporarily. 10. Create contract from sourcing application This process step is modified if you have activated the SRM Service Procurement Innovations (SRM_SERVICE_PROC_1) business function. In this case, the SAP SRM central contract is the default contract. Otherwise, the SAP ERP contract is defaulted. If you want to modify the default settings, and create a contract directly in SAP ERP, you must implement the BAdI BBP_DETERMINE_LOGSYS.

1.5.7 Monitoring Contracts

You use this business process to monitor contracts by using: Different types of alerts or e-mail messages concerning particular events in SAP SRM Reports in SAP NetWeaver Business Intelligence (SAP NetWeaver BI) Context-sensitive graphical reports in SAP SRM

Alerts and Messages

Examples of predefined, configurable events are: The validity period of a contract is about to expire The greatest possible release quantity will soon be reached A new contract has been released A purchaser has moved within the organization The processing time for a contract has been exceeded The type of alert or message the system should generate when a particular event happens, with an appropriate text and deadline for the event Who in your organization should receive that alert or message For more information, see SAP Help Portal at http://help.sap.com Supplier Relationship Management SAP Business Suite . SAP

You can determine:

Functions Administrative Functions SRM Alert Management

Reporting
Consolidated reports allow you to view the following in a hierarchical form: All the purchase orders and invoices created against all the contracts in SAP SRM and SAP ERP systems

All the purchase orders and invoices created with all the suppliers in SAP SRM and SAP ERP The product categories created in SAP SRM and SAP ERP

There is also a report where you can view the volume of spend released from purchase orders that were created with no reference to a contract. For more information, see SAP Help Portal at Supplier Relationship Management http://help.sap.com SAP Business Suite SAP

Functions Central Contract Management .

Context-Sensitive Graphical Reports

If you have activated the SRM, Analytics (SRM_ANALYTICS_1) business function and the Embedded Analytics for Purchasers (SRM_701_EMB_ANALYTICS) Customizing switch, a list of context-sensitive reports is available on a side panel. From there, you can drag a report into your work area whenever you want to perform an analysis on one or more contracts. The following graphical reports are available for the Contract Management work center: Contract Compliance (SAP NetWeaver BI) Contract Condition Compliance (SAP NetWeaver BI) Contract Spend (SAP NetWeaver BI) Maverick Buying (SAP NetWeaver BI) Contract Essentials (SAP SRM) Expiring Contracts (SAP SRM) Contract Lifecycle (SAP SRM) Alternative Sources of Supply (SAP SRM) Upcoming Activities (SAP SRM)

1.6 Supplier Qualification

You can use this business scenario to allow suppliers to register themselves using a link on your companys homepage. The suppliers assign themselves to one or more product categories upon registration. As a purchaser, you can define questionnaires pertaining to product categories, as well as questionnaires that are independent of product categories, to collect more general information. Once suppliers have registered, the registration system sends them one or more questionnaires. This way, you as a purchaser have additional detailed information available on potential suppliers. For you as a purchaser, the suppliers that register by means of this qualification process are all potential new business partners. Once you have accepted the suppliers as potential business partners, the suppliers can be transferred to SAP Supplier Relationship Management using a defined interface (as a desired participant in an RFx, or as part of a supplier list, for example). Suppliers can be locked either temporarily or completely because they have supplied goods or services of inferior quality, or because of a poor business relationship. The purchaser can also decide whether suppliers should be authorized to change their own data, and create follow-on documents such as invoices in supplier self-services. Any changes made to a supplier master record can then be transferred to the relevant back-end system using SAP NetWeaver Process Integration. This business scenario is modified if you have activated the SRM, Supplier Collaboration ( SRM_SUCO_1) business function, and the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG). If you have done so, you have the following additional options: 1. You can also transfer suppliers from the registration system to Materials Management. 2. You can use supplier self-services as the registration client for potential suppliers and do not need another system in addition to SRM Server to run this scenario.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at service.sap.com/scl

Process
The business processes run as follows: Registering Suppliers Managing Supplier Relationship

1.6.1

Registering Suppliers

You can use this business process to make it easier for you as a purchasing professional to identify and select qualified suppliers. Questionnaires that can be sent to potential suppliers enable you to gather relevant information on their qualification.

Suppliers get in contact with your company b y registering themselves, using a link on your companys homepage. At the same time, they can assign themselves to specific product categories. The questionnaires can be customized to include information such as compliance with required standards, support for relevant business practices, or logistical capabilities for the on-time delivery of quality products or services. The questionnaires are typically used to make initial contact, but can also be an invaluable source of information throughout the course of the relationship. Answers can be evaluated, stored, and used throughout the entire sourcing cycle to support additional supplier selection needs as they arise. After reviewing the questionnaires, you can accept the suppliers to integrate them into further processes, such as RFxs, or order processing. When you are searching for new suppliers for RFxs or order collaboration, you can access the supplier registration system and transfer suppliers into SAP Supplier Relationship Management (SAP SRM) using a standardized interface, the Open Partner Interface (OPI). In addition, external content providers, such as Hoppenstedt or Dun & Bradstreet, can also be connected using OPI. Currently, the business partners created using the OPI can be used in SRM business partner maintenance, in the Sourcing application, in SAP Bidding Engine, and in Live Auctions. This business process is modified if you have activated the SRM, Supplier Collaboration ( SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG). If you have activated the business function and the Customizing switch, you can also transfer suppliers from the supplier registration client (supplier self-services) to one or more ERP back-end systems. You can use the RFx process in SAP SRM as an optional qualification step, which you can integrate into the process. If you do so, you have a three-step qualification process, including supplier self-services, SAP SRM and Materials Management (MM). If you do not use RFx, you can also transfer suppliers directly from supplier self-services to MM. The transfer occurs using an ALE / IDOC interface (CREMAS). Since this is a standard technology for the transfer of business partners, it is also possible to use this interface for transfers to third party systems.

Note
After the transfer to ERP, the leading supplier master record is the one in the ERP system.

Process

1. Carry out self-registration Depending on whether you activate the SRM, Supplier Collaboration ( SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration ( SRM_701_SUCO_SUP_REG), you have the following options to carry out self-registration: Carry out self-registration (supplier self-services) If you have activated the business function and the Customizing switch, suppliers can register themselves using supplier self-services. Carry out self-registration (separate supplier registration system) If you have not activated the business function, suppliers have to register using a separate supplier registration system (ROS). 2. Answer questionnaires When you activate the SRM, Supplier Collaboration ( SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG), the questionnaires are sent with higher security. A link to the questionnaire URL is used instead of an html attachment. 3. Approve suppliers Depending on whether you activate the SRM, Supplier Collaboration ( SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration ( SRM_701_SUCO_SUP_REG), you have the following options to approve suppliers: Approve suppliers (supplier self-services) If you have activated the business function and the Customizing switch, you can log on to the supplier self-services client to approve the newly registered suppliers after you have checked their data and questionnaires in SAP SRM. Approve suppliers (separate supplier registration system) If you have not activated the business function, you approve newly registered suppliers in a separate supplier registration system (ROS).

4. Create business partner Depending on whether you activate the SRM, Supplier Collaboration ( SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG), you have the following options to create a business partner: Create business partner in SRM or MM (supplier self-services) If you have activated the business function, the supplier self-services client can still create the business partner in SAP SRM as described below, or additionally in Materials Management (MM). The strategic purchaser can replicate approved potential suppliers to MM from his or her worklist in supplier self-services. Depending on the system setup the supplier is now automatically transferred to MM using SAP NetWeaver Process Integration. Additionally, an e-mail to the account payable clerk is sent out. To enable the supplier to log on to supplier self-services, the supplier master data and user have to be transferred to supplier self-services. For more information, see SAP Help Portal at http://help.sap.com SAP Supplier Relationship Management Functions

Supplier Self-Services .
Create business partner in SRM (separate supplier registration system) If you have not activated the business function, the strategic purchaser can transfer approved potential suppliers from the supplier directory (in the supplier registration system, ROS) to the SAP SRM system using OPI. The business partner in the SAP SRM system is created automatically. To enable the supplier to log on to supplier self-services, a contact person has to be created in SAP SRM. The contact person generates both a user and a password for supplier self-services.

1.6.2 Managing Supplier Relationship

In this business process, suppliers can change their own data and send it to the purchaser for approval. If suppliers have sufficient authorization, they can log on to supplier self-services and make changes to their own data. These changes are passed on automatically to SAP Supplier Relationship Management (SAP SRM), where the purchaser has to approve the changes before they take effect. From SAP SRM, the changed data can be sent to the back-end system that is assigned to the supplier in question using SAP NetWeaver Process integration. Subsequently, the supplier's master data is updated with these changes automatically. A purchaser can lock suppliers in Materials Management or SAP SRM. When suppliers are locked, it is no longer possible to create documents for them. Suppliers might be locked because they provide poor quality, or because the purchaser has decided to use a different supplier. When suppliers are locked, the purchaser can still view the documents that already exist for this supplier. A purchaser can also change suppliers data. These changes are automatically transferred to supplier self-services. It is also possible to group together different suppliers to compile a supplier list. This list is based either on a product category, or on a specific product within a product category. The purchaser can prioritize the suppliers in the supplier list. This information is then made available to purchasers during sourcing.

Process

1. Assign supplier role (SRM Server) 2. Enable editing of own data (SRM Server) 3. Change own data (SRM Server) 4. Accept changes in supplier data (SRM Server) If you activate the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG), the purchaser can also monitor the changes done by the supplier in a change monitor in supplier self-services. After the purchaser accepts the changes, the accounts payable clerk is notified by an e-mail containing the data for a manual SAP ERP vendor update. New master data values in supplier self-services are valid only after the SAP ERP changes are replicated back to supplier self-services. 5. Change supplier data (SRM Server) 6. Lock supplier (SRM Server) 7. Create approved supplier list (SRM Server)

1.7 Catalog Content Management

You can use this business scenario to import and manage product content, make this content available in an MDM data repository, and access it via the Web browser in your SAP Supplier Relationship Management (SAP SRM) procurement processes.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM 7.01 Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl

Process
The business processes run as follows: 1. Managing Content in SRM-MDM Catalog 2. Searching in Catalog Data 3. Managing Service Content in SRM-MDM Catalog 4. Transferring Service Hierarchy from SAP ERP 5. Transferring Service Hierarchy and Non Hierarchical Items from RFx Response in SAP SRM 6. Displaying Flat Services 7. Storing and Displaying Sustainability Information

1.7.1 Managing Product Content in SRM-MDM Catalog

As a Catalog Manager, you use this business process to manage product information such as: Catalog files (classification data) Product content from suppliers Product content from procurement systems (SAP ERP, SAP SRM)

This data can originate from MS Excel, XML, and TXT files for example, or directly from running database systems such as MS Access, Oracle, and MS SQL Server. In this process, you import classification structures and product data to the predefined repository structure of the SRM-MDM Catalog. Using this process, you can also upload contracts. You can match and merge product data from backend systems with product data from suppliers. You can check and enrich the product data, for example, check whether new data has been assigned to the correct category in the taxonomy, and enrich data with additional information such as images and attachments. Moreover, you can use workflow rules for the approval of catalog content. Finally, by means of search patterns, you maintain masks (views) and assign them to certain user groups. Using validations, you can define complex tests for all types of conditions and then run those tests against one or more records.

As an administrator, you can use this process to enable Web content. You configure the search screens of the SRM-MDM Catalog and provide the environment for catalog users to search the content of an SRMMDM Catalog repository via Web browser.

Process

1. Import product hierarchy (SRM-MDM Catalog) 2. Upload supplier product data (SRM-MDM Catalog) 3. Map imported hierarchy and products to repository (SRM-MDM Catalog) 4. Transfer info records and contracts from ERP (SAP ERP) 5. Transfer product data from SRM (SAP SRM Server) 6. Transfer contract data from SRM (SAP SRM Server) 7. Enrich product data (SRM-MDM Catalog) 8. Approve product data (SRM-MDM Catalog) 9. Define masks (SRM-MDM Catalog) 10. Define validations (SRM-MDM Catalog) 11. Enable web content (SRM-MDM Catalog)

1.7.2 Searching in Catalog Data

As a catalog user, you use this business process to search for and select items in the data repository of the SRM-MDM Catalog. Once you have selected items, you transfer them to your procurement system, for example, to the shopping cart in SAP Supplier Relationship Management. This business process is modified if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) business function. This business function allows you to customize the UI by adding, for example, a global search pane, and gives you greater flexibility in comparing search results.

Prerequisites
The system administrator has configured the users in SAP MDM Console and the UI configuration manager has configured the search environment (Web Dynpro for Java) for the catalog users.

Process

The following business processes run in the SRM-MDM Catalog 1. Search for items. 2. Transfer data to procurement system.

Note
If you are a catalog user with a Display Only role, you can only search for items, and cannot transfer data to the procurement system.

1.7.3 Managing Service Content in SRM-MDM Catalog

As a Catalog Manager, you use this business process to manage service information such as: Catalog files (classification data) Service content from suppliers Service content from procurement systems (SAP ERP, SAP SRM)

This data can originate from MS Excel, XML, and TXT files for example, or directly from running database systems such as MS Access, Oracle, and MS SQL Server. In this process, an auto-import is available for: Service hierarchies from SAP ERP Service hierarchies and non hierarchical items (from RFx Responses) from SAP SRM

You import classification structures and service data to the predefined repository structure of the SRMMDM Catalog. Using this process, you can also upload contracts. You can match and merge product data from back-end systems with service data from suppliers. You can check and enrich the service data, for example, check whether new data has been assigned to the correct category in the taxonomy, and enrich data with additional information such as images and attachments. Moreover, you can use workflow rules for the approval of catalog content. Finally, by means of search patterns, you maintain masks (views) and assign them to certain user groups. Using validations, you can define complex tests for all types of conditions and then run those tests against one or more records. As an administrator, you can use this process to enable Web content. You configure the search screens of the SRM-MDM Catalog and provide the environment for catalog users to search the content of an SRMMDM Catalog repository via Web browser.

Process

1. Transfer service hierarchy from SAP ERP with transaction MECCM (SAP ERP) You can only use this step if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) and SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business

functions. In particular, the Customizing switches CAT_701_CTR_UPLOAD and SRM_701_Serv_Proc_CCM are relevant. 2. Transfer Service Hierarchy and Non-Hierarchical Items from Central Contracts (SAP SRM) You can only use this step if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) and SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business functions. In particular, the Customizing switches CAT_701_CTR_UPLOAD and SRM_701_Serv_Proc_CCM are relevant. 3. Import supplier service data from supplier (SRM-MDM Catalog) 4. Map imported service hierarchy and services from SAP ERP to repository (SRM-MDM Catalog) 5. Transfer service hierarchy from SAP ERP (SAP ERP) 6. Transfer service hierarchy and nonhierarchical items from RFx from SAP SRM (SAP SRM ) 7. Transfer contract data from SAP SRM (SAP SRM ) 8. Enrich service data (SRM-MDM Catalog) 9. Approve service data (SRM-MDM Catalog) 10. Define masks (SRM-MDM Catalog) 11. Define validations (SRM-MDM Catalog) 12. Enable web content (SRM-MDM Catalog)

1.7.4 Transferring Service Hierarchy from SAP ERP

Prerequisites
The Model Service Specification (MSS) to be uploaded exists in the SAP ERP system and does not have the status Blocked or Configurable MSS. The transaction MECCM is available in the SAP ERP system for uploading the MSS into the SRMMDM Catalog.

Procedure
1. Run MECCM in the SAP ERP system you are using for testing. 2. Enter the catalog name in the Catalog Designation sub-screen. This is a mandatory field. 3. Enter the date on which the price of the service master items is to be calculated. 4. Deselect the Test Run checkbox, and choose Execute. 5. Check the Log for any errors.

Result
The service hierarchy has been transferred from SAP ERP to SAP SRM. Use transaction sxmb_moni to check that the XML containing the hierarchical structure and the XML containing the service items have been passed. To check that the service hierarchy has been transferred to the catalog, you can check the catalog UI to see ifCategories displays the header that was imported into the repository. When you select the header, the entire hierarchy (outlines and services) is displayed in the services table. Check if the outlines, service items, and their prices correspond to the ones uploaded from SAP ERP.

1.7.5 Transferring Service Hierarchy and Non Hierarchical Items from RFx Response in SRM
Procedure
1. Log on as Purchaser. 2. Create a new RFx with hierarchical and non hierarchical items. 3. Publish the RFx. 4. Log on as Bidder. 5. Create an RFx Response. 6. Log on as Purchaser. 7. Accept the RFx Response. 8. Choose Responses and Awards and choose the RFx response from the bidder. 9. Choose Items tab. 10. Choose Publish to Catalog in the item table to transfer the items to the catalog.

Result
Items are transferred and published to the catalog. To check this: 1. Run transaction SXMB_MONI, and check that three XMLs have been passed from SAP SRM to SAP Process Integration (SAP PI). 2. Check that the transferred hierarchy has been passed to the catalog and is visible in the catalog UI.

1.7.6 Displaying Flat Services

You use this business function to display flat services in the service hierarchy catalog. You can quickly identify the service that is listed under various service structures and enable a one-click shopping. You can also view the structure details of the service line item in the service details view. You also have the flexibility to order a complete set of services in a service hierarchy or quick order individual services. The flat service view enables the display of only the service line item associated with various service hierarchy structures. This view focuses on displaying the service line item to the user, unlike the Hierarchy view that focuses more on the hierarchical structures.

Prerequisites
You have implemented SAP enhancement package 2 for SAP SRM 7.0 You have activated the switch CAT_702_UI_IMP. You have activated the Business function, SRM Catalog Innovations 2 (SRM_CATALOG_2).

1.7.7 Storing and Displaying Sustainability Information

You use this business process to store and display sustainability information in the SRM MDM catalog. You can upload or maintain sustainability data for the items stored in the catalog. This feature allows you to search and shop for sustainable items and transfer them to the procurement system, for example, to

the shopping cart in SAP SRM. You can also compare various products based on sustainability parameters. A new Sustainability Details tab page has been introduced on the Product Details screen that groups all the sustainability attributes for the items. This tab page displays the impact of these sustainability attributes by color coding them according to the rules defined in customization. The List view, Grid view and Thumbnail view have been enhanced to include columns for displaying images for sustainability indicator and certificates associated with the items. Additionally, on the Search Result screen, you can configure the sustainability indicators for better selection of products based on company sustainability policy.

Prerequisites
You have implemented SAP enhancement package 2 for SAP SRM 7.0. You have activated the Business Function, SRM, Catalog Innovations 2 (SRM_CATALOG_2) and the Customizing Switch Sustainability Enhancements for Catalog (SRM_702_CATALOG_SUSTAIN_ENH).

Process
Add the standard sustainability fields to the catalog. Configure the sustainability indicators in the catalog repository. Assign the rules of sustainability indicators to the catalog items. Configure the sustainability certificate Add the new sustainability fields

1.8 ANALYTICS

1.8.1 Spend Analysis

You can use this business scenario to analyze the expenditure of your company incorporating data from a wide range of heterogeneous systems as well as from all relevant business units and areas. SAP Supplier Relationship Management (SAP SRM) uses the business intelligence features of SAP NetWeaver to access connected systems and extract the information needed to gain insight into spending practices across the entire corporate group. The reports cover spending for direct and indirect material as well as for services. You can also configure your system to provide the following: 1. Capture of spend for procurement documents without any purchase order (PO) reference or other detailed information about the procurement 2. Harmonization of master data for reporting purposes, allowing for identification of duplicate suppliers and assignment of product to standard classification schemas such as the United Nations Standard Products and Services Code (UNSPSC) and eCl@ss. The harmonization can be done by using SAP NetWeaver Business Intelligence (SAP NetWeaver BI) Local Master Data Alignment (for limited data volumes). With these features, SAP SRM provides you with a clear view of procurement costs and supply-base data by highlighting consolidated spend volume, supplier redundancies, and demand aggregation opportunities.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more informations, see SAP SRM Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl SAP

The SAP SRM-specific content is described in the SAP NetWeaver documentation at http://help.sap.com SAP NetWeaver SAP NetWeaver <release> Library SAP Library NetWeaver Library . BI Content Supplier Relationship Management Spend Analysis

Process
1. Consolidating Master Data Using BI Master Data Alignment

2. Analyzing Spend

1.8.1.1 Consolidating Master Data Using BI Local Master Data Alignment

You can use this business process to consolidate and harmonize master data to support global spend analysis and other reporting. With SAP NetWeaver Business Intelligence (SAP NetWeaver BI) Local Master Data Alignment (LMDA) you can do the following: Identify and group duplicate suppliers providing visibility to spend volumes for the enterprise business partners using advanced matching strategies and automatic grouping Group similar products for reporting purposes Classify products and product categories to United Nations Standard Products and Services Code (UNSPSC) and eCl@ss, providing standardization of products across the enterprise The rules for the classification and cleansing need to be built into the LMDA functionality. The functionality resides entirely in SAP NetWeaver BI and can be used instantly for master data already extracted to SAP NetWeaver BI, regardless of the source system. The use of the solution is limited to cases where the data volumes are not very high.

Prerequisites
Procurement data must have already been extracted to SAP NetWeaver BI.

Process

The following business process runs in SAP NetWeaver BI: 1. Group suppliers 2. Group products 3. Assign products and product categories to UNSPSC and eCl@ss

1.8.1.2 Analyzing Spend

You use this business process to analyze your spend volume from multiple dimensions using a number of reports delivered out-of-the-box with SAP Supplier Relationship Management (SAP SRM). Based on best

business practice, the reports can be immediately deployed, or they can be used as a starting point to define customized reports suitable for the business processes within each customer's organization. The user can track business volume with different partners, product categories, and contracts. Analysis can be done across the entire enterprise as well as on a detailed level, for example, for specific regions or business areas.

Process

The following business process runs in SAP NetWeaver Business Intelligence: 1. System collects data 2. View reports 3. Work with reports

1.8.2 Supplier Evaluation

You can use this business scenario to evaluate your suppliers on the basis of Web-based surveys. To meet your specific requirements, you can configure individual surveys and questionnaires, select the criteria that you want to evaluate, and stipulate when the evaluation is to take place. After the data has been transferred to SAP NetWeaver Business Intelligence (SAP NetWeaver BI), several reports are available to help you to analyze the result, select suitable suppliers and negotiate best conditions. With the Supplier Survey Cockpit, you can create and distribute surveys. You can monitor incoming responses and send reminders to those who did not reply. SAP Supplier Evaluation is also integrated into the following SAP Supplier Relationship Management (SAP SRM) applications: Confirmation Invoice Supplier list

SAP Supplier Evaluation is used with the confirmation and invoice applications to evaluate day-to-day activities on the basis of operational documents. It is also applicable with the supplier list to improve the strategic and long-term supplier relationships.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl

Information about supplier evaluation and associated reports in BI is described in the NetWeaver Documentation at http://help.sap.com SAP NetWeaver BI Content SAP NetWeaver 7.0 BI Content Supplier Relationship Management Supplier Evaluation

Process
The following business process runs in SAP BI: Evaluating and Monitoring of Supplier Performance

1.8.2.1 Evaluating and Monitoring of Supplier Performance

Purpose
You can use this business process to evaluate suppliers using questionnaire-based surveys. In the Supplier Survey Cockpit you can easily create surveys and distribute them via e-mail. You define which suppliers should be evaluated, who should participate in the evaluation and which questionnaire should be sent out. You can monitor incoming responses and send out reminders to those who have not responded. Supplier Evaluation is also used with the confirmation and invoice applications to evaluate day-to-day activities on the basis of operational documents: Triggered when entering a confirmation in SAP Supplier Relationship Management (SAP SRM) Triggered when entering an invoice in SAP SRM It is also applicable in conjunction with the supplier list in SAP SRM.

Prerequisites
A questionnaire has been created using the SAP WebSurvey tool. Data has been extracted to SAP NetWeaver Business Intelligence (SAP NetWeaver BI) for reporting.

Process Flow

1. Create questionnaire (SRM Server) 2. Define Evaluation process (SRMServer) 3. Capture and consolidate internal data (SAP NetWeaver BI) 4. Capture evaluation data from external sources (SAP NetWeaver BI) 5. Analyze supplier performance (SAP NetWeaver BI)

2 Business Functions and Customizing Switches

You can selectively implement new functions or enhance existing ones by activating business functions. SAP Supplier Relationship Management (SAP SRM) favors a two-step activation process and a flexible approach for the implementation of new functions and the enhancement of existing functions. This approach uses business functions and Customizing switches. You use business functions to display Customizing activities and Customizing switches. Once the Customizing switches are visible, you use them to activate new fields or execute new code.

Business Functions
For general information about business functions, see Introduction: Enhancement Packages and Business Functions For information about individual business functions, see the related documentation that is linked from the Switch Framework: Change Business Function Status screen. The documentation describes the business value, possible limitations, and dependencies.

Activation of Business Functions

When you activate business functions, you activate Switch Framework switches (SFW switches). SFW switches directly control whether new Customizing activities and Customizing switches are visible. You can activate SAP SRM business functions in Customizing for SAP Supplier Relationship Management under SRM Server Activate Business Functions .

Deactivation of Business Functions

In SAP SRM, you can deactivate a business function if the following applies: The business function only activates Customizing switches and does not directly activate any code or fields. The Customizing switches corresponding to the business functions can be deactivated. For more information, see the documentation of the individual business functions. To deactivate a business function, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Customizing Switches
Customizing switches are Customizing activities that allow you to execute new code and display the related user interface elements, such as new fields, buttons, or columns. Customizing switches affect the user interface and the business logic as follows: They call soft switch methods in the code, so that some sections of the code are only executed if the Customizing switch is active. The Customizing switch framework provides table columns where Customizing switches can be entered. This has the following effect:

o o

If the Customizing switch is active, the table entries assigned to the Customizing switch are taken into account at runtime. If the Customizing switch is inactive, the table entries assigned to the Customizing switch are ignored at runtime.

Activation of Customizing Switches

You can find a list of all Customizing switches in Customizing for SAP Supplier Relationship Management under SRM Server Display Status of Customizing Switches . From here, you can also navigate to the Customizing activities where you activate or deactivate the Customizing switches. The documentation available with the Customizing activities provides further information, such as the initial status and the revertibility of the Customizing switch.

Deactivation of Customizing Switches

Most of the Customizing switches are revertible and can be deactivated. A Customizing switch is revertible if the following applies: The function switched on using the Customizing switch only affects the business process or user interface, but not the data that is written to the database. The function switched on using the Customizing switch does affect data written to the database, but you have not yet created a document with this function, so no data has yet been written to the database. To find out whether a Customizing switch is revertible, see the documentation of the Customizing activity that you use to activate or deactivate the Customizing switch.

Note
Some Customizing switches are active by default. You only have to deactivate them if you do not want to use the related function. Deactivating a Customizing switch can be useful, for example, to ensure that unused fields are not displayed unnecessarily. It also ensures that code sections are not executed unnecessarily, which can have a positive effect on system performance. In case of a one-to-one relationship of business function and Customizing switch, the Customizing switch is automatically activated when the business function is activated.

2.1 SRM, Strategic Sourcing Innovations

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_SOURCING_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 Technical Usage Application Component SRM RFx (SRM-EBP-BID)

Directly Dependent Business Function Requiring Activation in Addition

Not relevant

This business function enables you to speed up your sourcing cycle times: Suppliers can create RFx responses by entering data using an electronic form that closely resembles a paper form. This form is intuitive to use, thus minimizing supplier training. For more information, see the Offline Bidding section. You can grant higher flexibility to your suppliers when submitting RFx responses by enabling them to modify the RFx response at line item level. For more information, see the Bid and RFx Response Modification at Line-Item Level section. For purchasers, the comparison of bids and RFx responses has been enhanced. For more information, see theComparison of Bids and RFx Responses section. The Live Auction Cockpit, the user interface component for live auctions, can be implemented on an ABAP server. This allows you to avoid installing a Java server for this purpose. For more information, see the Live Auction on ABAP Server section.

Note
We strongly recommend that you use the Live Auction on ABAP server. As part of the extended RFx process, you can use functions for collecting tender fees and earnest money deposits (EMD) from the interested bidders. The extended RFx process also allows for two-envelope RFx responses that include technical and price RFx responses. It also provides a simultaneous logon feature, enabling multiple stakeholders to log on to SAP SRM and provide their consent for technical RFx response opening or the price RFx response opening. For more information, see the corresponding sections below.

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Component SRM_SERVER 701 Is Needed Only for the Following Features

Features

Offline Bidding
You can use an offline bidding form to allow your suppliers to respond to an RFx without having to log on to the SAP SRM application. When a purchaser publishes an RFx, an SAP Interactive Form by Adobe is sent as an e-mail attachment to all suppliers who are authorized for offline bidding. This document supports the following: Data entry for fields such as quantity, price, and price unit Possibility to ask and respond to questions

If the suppliers decide to bid offline, they complete and submit the form using e-mail. The purchaser's SAP SRM system receives the e-mail, reads the attachment, and creates the RFx response. The offline bidding form is a simplified alternative to, but not a general replacement for, the existing online creation of RFx responses. If the RFx and the supplier are enabled for offline bidding, suppliers can choose to submit an RFx response online or use the offline bidding form. To implement this function, activate the Customizing switch Offline Bidding (SRM_701_OFFLINE_BIDDING) under SRM Server RFx Offline Bidding Offline Bidding . For more information, see: Offline Bidding Enabling Offline Bidding

Activate/Deactivate

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted under certain conditions. For more information about reverting the Customizing switch, see the related Customizing documentation.

Bid and RFx Response Modification at Line-Item Level

You can allow your suppliers to modify their bids or RFx responses at line-item level. This provides them with greater flexibility when submitting their bids or RFx responses. To enhance this function, activate the Customizing switch Adaptable RFx Response Handling(SRM_701_RFX_RESP_FLEXIBILITY) under SRM Server RFx Extended RFx Process RFx Response Activate/Deactivate Adaptable RFx Response Handling . For more information, see Bid or RFx Response Processing.

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

Limits in Bidding Documents

Limit items in procurement documents represent unplanned services, which play an indispensable role in service industries. To enhance this function, activate the Customizing switch Limit Items in Bidding Documents(SRM_701_LIMITS_IN_BIDDING) under SRM Server RFx Activate/Deactivate Limit Items in Bidding Documents . For more information, see RFx.

Note

This Customizing switch can be reverted.

Tender Fee Processing

Tender fees are paid by prospective suppliers to access RFx documents and submit an RFx response. To implement this function, activate the Customizing switch Tender Fee (SRM_701_TENDER_FEE) under SRM Server RFx Tender Fee . Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Activate/Deactivate

For more information, see Tender Fee Processing.

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

Earnest Money Deposit Handling

Earnest money deposits are paid by prospective suppliers as a guarantee of fulfillment of contract. To implement this function, activate the Customizing switch Earnest Money Deposit(SRM_701_EARNEST_MONEY_DEP) under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Activate/Deactivate Earnest Money Deposit . For more information, see Earnest Money Deposit Processing.

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

Two-Envelope RFx Response

Two-envelope RFx responses allow suppliers to submit technical RFx response information separately from price information. To implement this function, activate the Customizing switch Two-Envelope RFx Response(SRM_701_TWO_ENVELOPE) under SRM Server RFx Extended RFx Process RFx Response Activate/Deactivate Two-Envelope RFx Response . For more information, see Two-Envelope RFx Response Processing.

Two-Envelope

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

Multi-Party Verification at RFx Response Opening

Multi-party verification uses the simultaneous logon process to allow multiple users to approve RFx response opening by logging on to the system. To implement this function, activate the Customizing switch Simultaneous Logon at RFx Response Opening(SRM_701_SIMULTANEOUS_LOGON) under SRM Server RFx Extended RFx Process Simultaneous Logon Activate/Deactivate Simultaneous Logon at RFx Response Opening . For more information, see Simultaneous Logon at RFx Response Opening.

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

Live Auction on ABAP Server

Live Auction on ABAP server provides you with an alternative to the Java-server-based live auction component and enables you to use the live auction functionality without installing and configuring the Live

Auction Web Presentation Server separately. For business users, working with live auctions on the ABAP server is identical to working on the Java server.

Note
We strongly recommend that you use the Live Auction on ABAP server. For more information, see Live Auction Cockpit.

Note
This Customizing switch is compatible with Procurement for Public Sector (PPS) and can be reverted.

2.2 SRM, Strategic Sourcing Innovations 2

Technical Data Technical Name of Business Function Type of Business Function Available From Technical Usage SAP enhancement package 2 for SAP SRM 7.0 SRM, Enterprise Portal, SAP NetWeaver Process Integration (SAP NetWeaver PI), SAP NetWeaver Business Warehouse (SAP NetWeaver BW) Application Component Required Business Function You can use this business function to do the following: Update purchasing info records and source list data automatically in SAP ERP Create an RFx from a shopping cart with the statuses awaiting approval or saved Change a purchase order for a direct material in SAP ERP Display, compare, and evaluate bidders based on certain criteria including price Review RFx responses from suppliers You can rank bidders and compile data into PDF files. This allows you to compare bidders and data. Filter and search external requirements and visual the results in pie-chart form Select fields in a shopping cart that trigger an approval workflow when they are edited SRM_SERVER SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) Enterprise Business Function SRM_SOURCING_2

For more information, see the Features section.

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for

SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Component SRM_SERVER 702 Required for the Following Features Only Not relevant

Features
Info Record Update
When you create or update a central contract, you can specify the purchasing info record update type on theDistribution tab page at item level. This allows the info record to be updated automatically in SAP ERP when the contract is released and distributed from SAP SRM. This feature is useful for purchasing departments involved in centralized sourcing and contract management. It automates the update of info records in SAP ERP, which ensures compliance with the prices negotiated in a central contract. To implement this function, activate the Customizing switch Info Record Update(SRM_702_UPDATE_INFO_RECORD) under Record Update SRM Server Sourcing Activate/Deactivate Info

Note
The Customizing switch Info Record Update (SRM_702_UPDATE_INFO_RECORD) is not compatible with Procurement for Public Sector (PPS) and cannot be reverted.

Source List Update

You can also specify the source list update type on the Distribution tab page. Similar to the info record update, this allows you to choose to update the source list record automatically in SAP ERP when the contract is distributed. This ensures compliance with new prices that are negotiated in the central contract. You can create or update a new source list record and decide if it should be fixed or blocked. A fixed source list consists of preferred sources that are valid over a certain period of time. A blocked source should not be used as a source of supply. To implement this function, activate the Customizing switch Source List (SRM_702_UPDATE_SOURCE_LIST) under Update SRM Server Sourcing Activate/Deactivate Source List

Note

The Customizing switch Source List Update (SRM_702_UPDATE_SOURCE_LIST) is not compatible with Procurement for Public Sector (PPS) and cannot be reverted. For more information about info records and source lists, see Central

Contract Distribution.

RFx Creation Before Shopping Cart Approval

You can create an RFx from a shopping cart that has not yet been approved, that is, it has the status of Awaiting Approval or Saved. This allows you to start the shopping cart approval process and the RFx creation process simultaneously, which reduces the procurement time. By creating an RFx directly from the shopping cart before accessing the Sourcing application, purchasers can get a good estimate of the true value of a shopping cart before it is approved or rejected. To implement this function, activate the Customizing switch RFx Creation Before Shopping Cart Approval(SRM_702_RFX_FROM_SC) under Before Shopping Cart Approval SRM Server Sourcing Activate/Deactivate RFx Creation

Note
The Customizing switch RFx Creation Before Shopping Cart Approval (SRM_702_RFX_FROM_SC) is not compatible with Procurement for Public Sector (PPS) and cannot be reverted.

Direct Material
This feature is enhanced to allow you to create purchase orders for direct materials in SAP ERP when performing the following actions: Ordering a shopping cart Carrying out sourcing for the shopping cart Carrying out sourcing for a purchase requisition transferred from the SAP ERP system

The user can create back-end documents such as, purchase requisitions or purchase orders in the relevant SAP ERP system, not just in the SAP SRM system. For a shopping cart with indirect or direct material, there is no longer any difference in creation of the follow-on documents. Features for direct materials are enabled or disabled in the follow-on documents, including in the documents created in SAP ERP. To implement this function, activate the Customizing switch Direct Material (SRM_702_DIRECT_MATERIAL) under Materials SRM Server Sourcing Activate/Deactivate Direct

Note
The Customizing switch Direct Materials (SRM_702_DIRECT_MATERIAL) is compatible with Procurement for Public Sector (PPS) and cannot be reverted.

Active Bidders
You can use the active bidders function to display, compare, and evaluate bidders based on certain criteria including price. By creating a prioritized list of bidders based on a specific parameter, you can tailor this list to reflect your current requirements. This information supports your decision making processes and lets you select and invite the appropriate bidder when you are creating an RFx. To implement this function, activate the Customizing switch Active Bidders (SRM_702_ACTIVE_BIDDERS) under Bidders SRM Server Analytics Activate/Deactivate Active

Note
The Customizing switch Active Bidders (SRM_702_ACTIVE_BIDDERS) is not compatible with Procurement for Public Sector (PPS) and can be reverted. For more information about this topic, see RFx.

RFx Response Simulation

This feature allows purchasers to do the following when comparing responses from suppliers in the SAP Bidding Engine: Create a ranked list of bidders, presented in descending order. This ranks the best bidder at number one. The purchaser can also create a ranked list of bidders for a particular item. Download the RFx response comparison results in PDF for traceability. Customize the RFx response comparison results screen by adding or removing user interface (UI) fields to suit their requirements. Avoid horizontal scrolling due to the reduced number of table columns on the RFx response comparison results screen. These enhancements give the purchaser a comprehensive overview of bidders so that they can decide which RFx response best suits their requirements. To implement this function, activate the Customizing switch RFx Response Simulation(SRM_702_BID_SIMULATION) under Activate/Deactivate RFx Response Simulation SRM Server RFx RFx Response Comparison

Note
The Customizing switch RFx Response Simulation (SRM_702_BID_SIMULATION) is not compatible with Procurement for Public Sector (PPS) and can be reverted. For more information about this topic, see Comparison of

Bids or RFx Responses.

Sourcing Graphical Search

You can use the sourcing graphical search to filter and search external requirements, based on various grouping categories, and to visualize the results in the form of a pie-chart. By graphically representing information about RFx documents in the SAP SRM system, sourcing graphical search provides a clearer view of sourcing events that lets you shortlist requisitions quickly and easily. The sourcing graphical search function allows you to list, search, and assign sources of supply for external requirements based on the following grouping categories: Priority Delivery time range Product category Document value Preferred Supplier Purchasing group Purchasing organization

You can click a pie-chart segment to search the requisitions in that category and to process the documents accordingly. You can then personalize these searches by saving groupings, filters, and default criteria for future use.

To implement this function, activate the Customizing switch Sourcing Graphical Search(SRM_702_SOURCING_GRAPH_SEARCH) under Sourcing Graphical Search SRM Server Analytics Activate/Deactivate

Note
The Customizing switch Sourcing Graphical Search (SRM_702_SOURCING_GRAPH_SEARCH) is not compatible with Procurement for Public Sector (PPS) and can be reverted. For more information about this topic, see Sourcing.

Approval Workflow for Changed Shopping Cart Fields

You can select which fields in a shopping cart should trigger an approval workflow when they are edited. When assigning sources of supply to shopping carts in the Sourcing application, operational purchasers are able to make changes to the shopping carts. In some business scenarios, approval for these changes is required before a follow-on document can be created.

Note
The default workflow is determined based on who creates the shopping cart. However, you can configure a separate workflow for this process. To implement this function, activate the Customizing switch Approval Workflow for Changed Shopping Cart Fields(SRM_702_SOURCING_SC_CHANGE) under Approval Workflow for Changed Shopping Cart Fields SRM Server Sourcing Activate/Deactivate

Note
The Customizing switch Approval Workflow for Changed Shopping Cart Fields(SRM_702_SOURCING_SC_CHANGE) is not compatible with Procurement for Public Sector (PPS) and can be reverted.

2.3 SRM, Catalog Innovations

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_CATALOG_1 Enterprise Business Function SAP enhancement package 1 for SAP Supplier Relationship Management 7.0 Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition You can use this business function to activate the following features: SRM SRM-CAT-MDM Not relevant

Enhancements in the SRM-MDM Catalog provided for Service Procurement, such as uploading service hierarchies to the catalog from central contracts in SAP ERP or SAP SRM. Functions enhancing the usability and flexibility of the SRM-MDM Catalog. Integrating the SRM-MDM catalog with SAP SRM, using ABAP FTP function modules.

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Java Software Component Component SRM_SERVER 701 SRM-MDM Catalog 7.01 Is Needed Only for the Following Features

Features
Service Procurement
In the area of Service Procurement, you can do the following: Upload service hierarchies to SRM-MDM Catalog from SAP ERP contracts and SAP SRM contracts. Transfer service hierarchies, together with the associated contract information, from SRM-MDM Catalog to SAP ERP and SAP SRM. For more information, see Transferring Service

Hierarchies from SRM-MDM Catalog to SAP SRM

Upload service hierarchies from Microsoft Excel files, using an MDM import manager function. For more information, see Transferring Service Hierarchies from Microsoft Excel.

To implement these functions, activate the Customizing switch Service Procurement Enhancements for SRMMDM Catalog (CAT_701_CTR_UPLOAD) in the MDM Catalog Enhancement Administration tool.

Caution
This Customizing switch is compatible with Procurement for Public Sector (PPS). It is not revertible.

Enhanced Flexibility and Usability

The following functions improve the usability and flexibility of the SRM-MDM Catalog: As a new entry point to the catalog, the Home screen is available, providing different options to browse the catalog.

Easier navigation, due to a navigation pane that provides search options and displays the state of the cart. It is available on every catalog screen. The comparison functions on the Item Details screen have been enhanced. New customizing allows you to expand sales packages on the cart preview screen by default.

A new screen allows you to display service item details. To use these functions, activate the Customizing switch SRM-MDM Catalog UI Redesign (CAT_701_UI_IMP) in theMDM Catalog Enhancement Administration tool.

Caution
This Customizing switch is compatible with Procurement for Public Sector (PPS). It is not revertible.

Catalog Integration Using ABAP FTP Function Modules

You can upload data available in the SAP Supplier Relationship Management (SAP SRM) system to a third-party catalog using APAP FTP function modules instead of SAP NetWeaver PI runtime settings. The system reads the file and FTP information you have defined in Customizing, not the information available in the Integration Directory. To implement this function, activate the Customizing switch Catalog Integration Using ABAP FTP(SRM_701_CAT_FTP_INTEGRATION) in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Integration with Other SAP Components Catalog Integration Activate/Deactivate Catalog Integration Using ABAP FTP . For more information, see Catalog Integration Using ABAP FTP

Function Modules.

Note
The Customizing switch Catalog Integration Using ABAP FTP (SRM_701_CAT_FTP_INTEGRATION) is compatible with Procurement for Public Sector (PPS) and can be reverted.

2.3.1 Configuring Catalog Configurator Action with a User in User Management Engine
To access the MDM Catalog Enhancement Administration tool, you must be either the J2EE administrator or you must have a role in the J2EE server to which the Catalog Configurator action has been assigned. You can use theUser Management Engine (UME) to make the assignment of the Catalog Configurator action to a role.

Prerequisites
The J2EE server is running.

Procedure
1. Start the URL for accessing the User Management: http://J2EEServer:J2EEPort/index.html. The system opens a logon screen. 2. Log on as Administrator. 3. In Get, choose the option Role from the list. 4. Click Create Role or choose a role from the list. To create a new role, specify Unique Name and Description.

5. Navigate to Assigned Actions tab. In Available Actions, search for Catalog Configurator action. The Catalog Configurator service displays. 6. Select the row containing Catalog Configurator service and click Add. The Catalog Configurator service is added in Assigned Actions. 7. In Get, select the option User from the list. 8. Click Create User or choose a user from the list. To create a new user, specify Logon ID, Password, and Last Name. 9. Navigate to Assigned Roles. In Available Roles, search for the role that you specified in step 4 and select it. 10. Click Add. The role is added in Assigned Roles. 11. Click Save.

2.3.2 Activating Business Function and Customizing Switches in the MDM Catalog Enhancement Administration Tool
You cannot activate the Java-based parts of the business function SRM, Catalog Innovations (SRM_CATALOG_1) and the related Customizing switches directly in the SAP SRM system. Instead, you do this in the MDM Catalog Enhancement Administration tool.

Prerequisites
To log on to the MDM Catalog Enhancement Administration tool in the SRM-MDM Catalog system, you must be either the J2EE administrator or you must have a role on the J2EE server to which the Catalog Configurator action has been assigned. You can use the user management engine (UME) to make the assignment. For more information, see Configuring Catalog Configurator Action with a User in User Management Engine.

Procedure
1. To call up the MDM Catalog Enhancement Administration tool, enter the following URL in your Web browser:http://<J2EEServer>:<J2EEPort>/webdynpro/dispatcher/sap.com/tc~mdm~s rmcat~enabler/MDM_SRM_SWITCH_APP? 2. Specify the User Name and Password. The business function, the corresponding Customizing switches, and their statuses are displayed. Note the following: Green indicates that the switch is enabled Red indicates that the switch is disabled 3. Activate the SRM, Catalog Innovations business function by activating the following Customizing switches: Service Procurement Enhancements for SRM-MDM Catalog (CAT_701_CTR_UPLOAD) As a prerequisite, you must have activated the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1) in the SAP SRM system. SRM-MDM Catalog UI Redesign (CAT_701_UI_IMP) 4. To enable the switch, click Activate in the Activation column.

2.4 SRM, Approval Process

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_APF_IMPR_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition You can use this business function to accelerate your approval processes and optimize them when you use theprocess-controlled workflow. SRM Workflow (SRM-EBP-WFL) Not relevant

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Component SRM_SERVER 701 Is Needed Only for the Following Features

Features
Asynchronous Processing of Workflow in Final Step
The system can process the final step of a workflow template asynchronously. You can use this function to process documents with a very large number of items more efficiently.

To enhance this function, activate the Customizing switch Asynchronous Processing of Workflow in Final Step(SRM_701_APF_ASYNC_PRC_FINISH) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Business Workflow . Activate Asynchronous Processing of Workflow

Note
The Customizing switch Asynchronous Processing of Workflow in Final Step(SRM_701_APF_ASYNC_PRC_FINISH) is compatible with Procurement for Public Sector (PPS) and can be reverted.

Parallel Approval with Overlapping Responsibility

Two or more agents approving a particular item can now receive the workflow work items in parallel at the same process level. This new function optimizes the approval process, as each agent receives a work item and can process it at any time. If all agents approve a work item, the document moves to the next approval level. If an agent rejects the work item, the approval process is reset and has to be restarted.

Note
You can use this function for all purchasing documents. To enhance this function, activate the Customizing switch Parallel Approval with Overlapping Responsibility(SRM_701_APF_IN_PARALLEL) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Business Workflow . Activate Parallel Approval with Overlapping Responsibility

For more information, see Agent Determination.

Note
The Customizing switch Parallel Approval with Overlapping Responsibility (SRM_701_APF_IN_PARALLEL) is compatible with Procurement for Public Sector (PPS) and can be reverted.

2.5 SRM, Continuous Improvement CC

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_CONT_IMPR Enterprise Business Function SAP enhancement package 3 for SAP Supplier Relationship Management 7.0, SP02 Technical Usage Application Component SRM Shopping Cart (SRM-EBP-SHP) Purchase Order (SRM-EBP-POR) Workflow (SRM-EBP-WFL) Notes and Attachments (SRM-EBP-CA-NA)

Sourcing Application (SRM-EBP-SOC) RFx (SRM-EBP-BID) Workload Redistribution(SRM-EBP-WKL) SRM-EBP-CA-UI Directly Dependent Business Function Requiring Activation in Addition You can use this business function to enhance certain features of shopping cart and purchase order in SAP Supplier Relationship Management (SAP SRM) functions, and to implement new functions. Not relevant

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Component SRM_SERVER_700

Features
Automatic Enlargement of Long Text Boxes
You can use Automatic Enlargement of Long Text Boxes to get enlarged long text boxes for overview screen of shopping carts and purchase orders, approval note in approval set of all objects and note set. This improves the readability of the long text, as you can view all of the text on the screen. You can also enter new text or modify existing text on the same screen. In earlier releases you use the scroll bar to view the text in the long text boxes.

Note
If the text entered exceeds the screen size, a vertical scrollbar will appear on the screen. To implement this function, activate the Customizing switch Automatic Enlargement of Long Text boxes (SRM_700_LONG_TEXT_POPUP) under SRM Server Cross Application Basic Setting Activate/Deactivate Automatic Enlargement of Long Text boxes.

Purchase Order Header Pricing

You can use Purchase Order Header Pricing, as a purchaser, to set a condition at the header level on the total amount of the order. In the Extended Classic Scenario, conditions from purchase orders in SAP SRM are not replicated in purchase requisitions in SAP ERP. Similarly, conditions that are set at header level in purchase orders in SAP SRM are not replicated when purchase orders are transferred to the Supplier Self-Service system. To implement this function, activate the Customizing switch Purchase Order Header Condition (SRM_700_PO_HEADER_PRICING) under SRM Server Cross Application Basic Setting Activate Purchase Order Header Pricing.

Workload Redistribution
You can use this function to redistribute workload for the shopping cart in the sourcing application. For individual shopping cart items, you can change the purchasing group or purchasing organization, designate shopping cart items to be assigned automatically, and redistribute shopping carts that are relevant for the sourcing application only. To implement this function, activate the Customizing switch Workload Redistribution (SRM_700_WKL_SOCO) under SRM Server Sourcing Activate/Deactivate Workload Redistribution in Sourcing Application.

Mandatory Fields
You can use this function to create and edit shopping cart or an RFx. When you activate this function the system displays an asterisk in all the fields that are marked as mandatory in the metadata. If any of the mandatory fields are empty, the system displays an error message and the corresponding field is highlighted with a red frame. When you click the link in the error message, the system redirects you to the corresponding empty field.

Note
Note that the error message is displayed when the user performs certain header level actions in shopping cart and RFx. The header level actions in shopping cart are as follows: Order Save Check Check Save Publish User Experience

The header level actions in RFx are as follows:

To implement this function, activate the Customizing switch Mandatory Fields (SRM_700_MAND_FIELDS) under SRM Server Cross Application Basic Settings Activate/Deactivate Workload Redistribution in Sourcing Application.

Central Substitution
You can use this function to specify another colleague as a substitute who can take over specific tasks assigned to you if you are absent from the office. You can create substitution rules for planned or unexpected absences. You can use substitution rules to specify another user as a substitute, to specify

what type of tasks a substitute can take over from you, and to specify a time period during which that user can act as a substitute. The substitution function has been centralized so that you can now use a single screen to create substitutes for: Team Purchasing Sourcing Application Workflow

To implement this function, activate the Customizing switch Central Substitution(SRM_700_SUBSTITUTION) under SRM Server Cross Application Basic Setting Activate/Deactivate Central Substitution.

System Messages
You can use this function to view the system messages (created in using transaction SM02 in the backend system) in Netweaver Portal and SAP NetWeaver Business Client (NWBC). To implement this function, activate the Customizing switch Display of System Messages (SRM_700_SYSTEM_MSG) under SRM Server Technical Basic Settings Activate/Deactivate System Messages.

2.6 SRM, Continuous Innovations

Technical Data Technical Name of Business Function Type of Business Function Available As Of Technical Usage Application Component SRM_CONT_IMPR_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 SRM RFx (SRM-EBP-BID) RFx Response (SRM-EBP-QUO) Local Purchase Order (SRM-EBP-POR) Contract Management ( SRM-EBP-CON) Sourcing (SRM-EBP-SOC) User Interface/Templates (SRM-EBP-CA-UI) Document Output / Forms (SRM-EBP-CAPRT) Purchase Document Methods (SRM-EBPPD) Directly Dependent Business Function Requiring Activation in Addition You can use this business function to enhance the usability and the performance of specific SAP Supplier Relationship Management (SAP SRM) functions, and to implement new state-of-the-art functions. Not relevant

Note

You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Enhancement Package SAP enhancement package 3 or higher for SAP ERP 6.0 Customizing switch Link to SAP ERP Documents(SRM_701_LINK_TO_ERP) SRM_SERVER 701 Component Is Needed Only for the Following Features

Features
Keyboard Navigation Redesign
You can navigate through the SAP SRM user interface (UI) by exclusively using the keyboard, as it has been redesigned to conform to the Web Content Accessibility Guidelines (WCAG) 2.0 published by the World Wide Web Consortium (W3C). To implement this function, activate the Customizing switch Keyboard Navigation Redesign(SRM_701_KEYBOARD_NAVIGATION) in Customizing for SAP Supplier Relationship Management under: Navigation Redesign . SRM Server Cross-Application Basic Settings User Experience Activate Keyboard

Caution
The keyboard innovations apply to SAP Supplier Relationship Management (SAP SRM) and are not compatible with Procurement for Public Sector (PPS). The Customizing switch Keyboard Navigation Redesign (SRM_701_KEYBOARD_NAVIGATION) is revertible.

Additional Dialog for Catalog Selection

You can access a list of catalogs in an additional dialog box when you choose to add an item from an internal catalog. The catalog itself is then opened in a separate window when you select it. To enhance the catalog selection function, activate the Customizing switch Additional Dialog for Catalog Selection(SRM_701_CAT_SEL_POPUP) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Extensions and Field Control (Personalization) Activate/Deactivate Additional Dialog for Catalog Selection .

Note
The Customizing switch Additional Dialog for Catalog Selection (SRM_701_CAT_SEL_POPUP) is compatible with Procurement for Public Sector (PPS) and is revertible.

Error Handling for Sourcing Requests

Error handling has been enhanced for the grouping of purchase orders or RFxs. An error message is issued when a follow-on document cannot be created after a shopping cart has been processed. The error message is sent to the Alert monitor and the shopping cart items are sent to the Sourcing application. To enhance error handling, activate the Customizing switch Error Handling for Sourcing Requests((SRM_701_EXTREQ_ERR_HANDLING) in Customizing for SAP Supplier Relationship Management under: SRM Server Sourcing Activate/Deactivate Error Handling f. Sourcing Requests .

Note
The Customizing switch Error Handling for Sourcing Requests (SRM_701_EXTREQ_ERR_HANDLING) is compatible with Procurement for Public Sector (PPS) and is revertible.

Advanced Background Processing Features

This function allows you to process purchasing documents with a large number of line items. You are prompted to confirm whether you want to start a background job when the threshold specified in Customizing is exceeded. Additionally, a warning is issued when users try to edit purchasing documents when a background job is scheduled or is running. To enhance this function, activate the Customizing switch Advanced Background Processing Features(SRM_701_BACKGROUND_PROC) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Background Processing Activate/Deactivate Advanced Background Processing . For more information, see Background Processing.

Note
The Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC) is compatible with Procurement for Public Sector (PPS) and is revertible.

Link to SAP ERP Documents

You can directly access back-end documents that are referenced in SAP SRM purchasing documents. By clicking the corresponding link, the back-end document is displayed in a separate window. To implement this function, activate the Customizing switch Link to SAP ERP Documents(SRM_701_LINK_TO_ERP) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Integration with Other SAP Components Integration with SAP ERP Activate Linking to SAP ERP Documents . For more information, see Links to SAP ERP Documents.

Note
The Customizing switch Link to SAP ERP Documents (SRM_701_LINK_TO_ERP) is compatible with Procurement for Public Sector (PPS) and is revertible.

Smart Forms
You can use Smart Forms instead of SAP Interactive Forms by Adobe to preview, print, send by e-mail, or fax the following documents: RFxs RFx responses Shopping carts

Contracts with hierarchical items To use Smart Forms instead of SAP Interactive Forms by Adobe, activate the Customizing switch Smart Forms(SRM_701_SMARTFORMS) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Set Output Actions and Output Format Activate / Deactivate Smart Form Innovations . For more information, see Output of Purchasing Documents.

Note
The Customizing switch Smart Forms (SRM_701_SMARTFORMS) does not have any impact on Procurement for Public Sector (PPS), as PPS has its own set of forms. This Customizing switch is revertible.

Dropdown Box for Transaction Type Selection

You can select the transaction type from a dropdown box when you create the following documents in your personal object worklist (POWL): Purchase order RFx Auction Central contract

Invoice To enhance this function, activate the Customizing switch Dropdown Box for Transaction Type Selection(SRM_701_DOC_TYPE_DROPDOWN) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Dropdown for Transaction Type Selection .

Note
The Customizing switch Dropdown Box for Transaction Type Selection (SRM_701_DOC_TYPE_DROPDOWN) is compatible with Procurement for Public Sector (PPS) and is revertible.

Progress Bar
As a system administrator, you can choose to display a progress bar when a user performs a timeconsuming activity on a large document, such as a purchase order, contract, RFx, or RFx response. The progress bar informs the user about the progress of this activity. For each business object, you can define the number of items above which the document is handled as a large document. Above this threshold, the progress bar is displayed. To implement this function, activate the Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) in Customizing for SAP Supplier Relationship Management under: Settings User Experience Activate/Deactivate Progress Bar . SRM Server Cross-Application Basic

For more information, see Features Available for Large Documents.

Note
The Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) is compatible with Procurement for Public Sector (PPS) and is revertible.

Optimistic Lock
You can use optimistic locking to improve system response time when you switch from display mode to edit mode. To implement this function, activate the Customizing switch Optimistic Lock (SRM_701_OPTIMISTIC_LOCK) in Customizing for SAP Supplier Relationship Management under: SRM Server Technical Basic Settings Activate/Deactivate Optimistic Lock . For more information, see Features Available for Large Documents.

Note
The Customizing switch Optimistic Lock (SRM_701_OPTIMISTIC_LOCK) is compatible with Procurement for Public Sector (PPS) and is revertible.

Browse Mode
You can use a browse mode for large contracts, RFxs, RFx responses, and purchase orders. You can customize the number of items above which the document should be handled as a large document. Above this threshold, the browse mode is then used instead of the display mode. To implement this function, activate the Customizing switch Browse Mode (SRM_701_DOCUMENT_BROWSING) in Customizing for SAP Supplier Relationship Management under: . For more information, see Features Available for Large Documents. SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Browse Mode

Note
The Customizing switch Browse Mode (SRM_701_DOCUMENT_BROWSING) is compatible with Procurement for Public Sector (PPS) and is revertible.

Contract and RFx Templates

You can create templates based on saved or released central contracts or saved or published RFxs. The saved template can then be used by all purchasers in your company as the basis for new contracts or RFxs. When you create a template from a central contract, line items and price information are copied, for example. Authorizations, discounts, and conditions, for example, are not copied, as this information can vary from contract to contract. To implement this function, activate the Customizing switch Template from RFx and Contract(SRM_701_TEMPLATE) in Customizing for SAP Supplier Relationship Management under: Contracts .

SRM

Server Cross-Application Basic Settings Templates Activate/Deactivate Creation of Templates from RFxs and

Note

The Customizing switch Template from RFx and Contract (SRM_701_TEMPLATE) is compatible with Procurement for Public Sector (PPS) and is revertible.

Additional Functions in Sourcing

You can do the following in Sourcing: Search for requirements by range. Search for sources of supply and assign them to requirements in your worklist. Define a contract as a source of supply in the work area by entering a contract number; the contract number is then validated to prevent errors when follow-on documents are processed. Enhance customer fields in search screens and item tables. Additionally, a warning message is issued when you have exceeded a customizable number of shopping cart items in Sourcing. The message informs you that you may experience increased processing time. To implement these functions, activate the Customizing switches Search by Range in Sourcing(SRM_701_MULTI_VALUE_SEARCH) and Progress Bar (SRM_701_PROGRESS_BAR) in Customizing for SAP Supplier Relationship Management under: SRM Server Sourcing Activate/Deactivate Search by Range in Sourcing

Note
The Customizing switch Search by Range in Sourcing (SRM_701_MULTI_VALUE_SEARCH) is compatible with Procurement for Public Sector (PPS) and is revertible. SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Progress Bar

Note
The Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) is compatible with Procurement for Public Sector (PPS) and is revertible. Additionally, you must perform the activity in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings User Experience Define Threshold Values for Large Documents .

Contract Item Insertion into Purchase Orders

You can search for contract items in a purchase order and add them to the purchase order. To implement this function, activate the Customizing switch Contract Item Insertion into Purchaser Order(SRM_701_PO_ADD_CTR_ITEM) in Customizing for SAP Supplier Relationship Management under: SRM Server Purchase Order Activate/Deactivate Contract Item Insertion into Purchase Order .

Note
The Customizing switch Contract Item Insertion into Purchaser Order (SRM_701_PO_ADD_CTR_ITEM) is compatible with Procurement for Public Sector (PPS) and is revertible.

Default Values for Purchase Order Items

You can use default values for the delivery address and account assignment of purchase order items. Initially, the values are filled automatically by the system settings defined in organizational management. However, if required, you can set your own default values for delivery address and account assignment

directly on the purchase order details screen.When you then add a new item to the purchase order, the defined values are copied to the new item. To implement this function, activate the Customizing switch Default Settings for Purchase Order Items(SRM_701_PO_ITEM_DEFAULTS) in Customizing for SAP Supplier Relationship Management under: SRM Server Purchase Order Activate/Deactivate Default Values for Purchase Order Items . For more information, see Purchase Orders.

Note
The Customizing switch Default Values for Purchase Order Items (SRM_701_PO_ITEM_DEFAULTS) is compatible with Procurement for Public Sector (PPS) and is revertible. When you deactivate this Customizing switch, the report Reset Personalized PO Item Default Values to System Default Values (/SAPSRM/CUSTMZ_SW_PO_DEFAULT) is automatically run to reset the user-specific default settings.

POWL User Interface Optimization

You can choose to display only the most important fields on the personal object worklist (POWL) user interface and restrict sorting to sorting-relevant fields. These changes apply to shopping carts and confirmations. By doing so, you optimize the available space on the user interface. You can unhide fields that are hidden by default by changing the POWL personalization settings. To implement this function, activate the Customizing switch POWL User Interface Optimization(SRM_701_POWL_UI_OPTIMIZATION) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings POWL and Advanced Search Activate/Deactivate POWL Optimization . For more information, see Personal Object Worklist.

2.7 SRM, Continuous Innovations

Technical Data Technical Name of Business Function Type of Business Function Available As Of Technical Usage Application Component SRM_CONT_IMPR_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 SRM RFx (SRM-EBP-BID) RFx Response (SRM-EBP-QUO) Local Purchase Order (SRM-EBP-POR) Contract Management ( SRM-EBP-CON) Sourcing (SRM-EBP-SOC) User Interface/Templates (SRM-EBP-CA-UI) Document Output / Forms (SRM-EBP-CAPRT) Purchase Document Methods (SRM-EBP-

PD) Directly Dependent Business Function Requiring Activation in Addition You can use this business function to enhance the usability and the performance of specific SAP Supplier Relationship Management (SAP SRM) functions, and to implement new state-of-the-art functions. Not relevant

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Enhancement Package SAP enhancement package 3 or higher for SAP ERP 6.0 Customizing switch Link to SAP ERP Documents(SRM_701_LINK_TO_ERP) SRM_SERVER 701 Component Is Needed Only for the Following Features

Features
Keyboard Navigation Redesign
You can navigate through the SAP SRM user interface (UI) by exclusively using the keyboard, as it has been redesigned to conform to the Web Content Accessibility Guidelines (WCAG) 2.0 published by the World Wide Web Consortium (W3C). To implement this function, activate the Customizing switch Keyboard Navigation Redesign(SRM_701_KEYBOARD_NAVIGATION) in Customizing for SAP Supplier Relationship Management under: Navigation Redesign . SRM Server Cross-Application Basic Settings User Experience Activate Keyboard

Caution
The keyboard innovations apply to SAP Supplier Relationship Management (SAP SRM) and are not compatible with Procurement for Public Sector (PPS).

The Customizing switch Keyboard Navigation Redesign (SRM_701_KEYBOARD_NAVIGATION) is revertible.

Additional Dialog for Catalog Selection

You can access a list of catalogs in an additional dialog box when you choose to add an item from an internal catalog. The catalog itself is then opened in a separate window when you select it. To enhance the catalog selection function, activate the Customizing switch Additional Dialog for Catalog Selection(SRM_701_CAT_SEL_POPUP) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Extensions and Field Control (Personalization) Activate/Deactivate Additional Dialog for Catalog Selection .

Note
The Customizing switch Additional Dialog for Catalog Selection (SRM_701_CAT_SEL_POPUP) is compatible with Procurement for Public Sector (PPS) and is revertible.

Error Handling for Sourcing Requests

Error handling has been enhanced for the grouping of purchase orders or RFxs. An error message is issued when a follow-on document cannot be created after a shopping cart has been processed. The error message is sent to the Alert monitor and the shopping cart items are sent to the Sourcing application. To enhance error handling, activate the Customizing switch Error Handling for Sourcing Requests((SRM_701_EXTREQ_ERR_HANDLING) in Customizing for SAP Supplier Relationship Management under: SRM Server Sourcing Activate/Deactivate Error Handling f. Sourcing Requests .

Note
The Customizing switch Error Handling for Sourcing Requests (SRM_701_EXTREQ_ERR_HANDLING) is compatible with Procurement for Public Sector (PPS) and is revertible.

Advanced Background Processing Features

This function allows you to process purchasing documents with a large number of line items. You are prompted to confirm whether you want to start a background job when the threshold specified in Customizing is exceeded. Additionally, a warning is issued when users try to edit purchasing documents when a background job is scheduled or is running. To enhance this function, activate the Customizing switch Advanced Background Processing Features(SRM_701_BACKGROUND_PROC) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Background Processing Activate/Deactivate Advanced Background Processing . For more information, see Background Processing.

Note
The Customizing switch Advanced Background Processing Features (SRM_701_BACKGROUND_PROC) is compatible with Procurement for Public Sector (PPS) and is revertible.

Link to SAP ERP Documents

You can directly access back-end documents that are referenced in SAP SRM purchasing documents. By clicking the corresponding link, the back-end document is displayed in a separate window.

To implement this function, activate the Customizing switch Link to SAP ERP Documents(SRM_701_LINK_TO_ERP) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Integration with Other SAP Components Integration with SAP ERP Activate Linking to SAP ERP Documents . For more information, see Links to SAP ERP Documents.

Note
The Customizing switch Link to SAP ERP Documents (SRM_701_LINK_TO_ERP) is compatible with Procurement for Public Sector (PPS) and is revertible.

Smart Forms
You can use Smart Forms instead of SAP Interactive Forms by Adobe to preview, print, send by e-mail, or fax the following documents: RFxs RFx responses Shopping carts

Contracts with hierarchical items To use Smart Forms instead of SAP Interactive Forms by Adobe, activate the Customizing switch Smart Forms(SRM_701_SMARTFORMS) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Set Output Actions and Output Format Activate / Deactivate Smart Form Innovations . For more information, see Output of Purchasing Documents.

Note
The Customizing switch Smart Forms (SRM_701_SMARTFORMS) does not have any impact on Procurement for Public Sector (PPS), as PPS has its own set of forms. This Customizing switch is revertible.

Dropdown Box for Transaction Type Selection

You can select the transaction type from a dropdown box when you create the following documents in your personal object worklist (POWL): Purchase order RFx Auction Central contract

Invoice To enhance this function, activate the Customizing switch Dropdown Box for Transaction Type Selection(SRM_701_DOC_TYPE_DROPDOWN) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Dropdown for Transaction Type Selection .

Note
The Customizing switch Dropdown Box for Transaction Type Selection (SRM_701_DOC_TYPE_DROPDOWN) is compatible with Procurement for Public Sector (PPS) and is revertible.

Progress Bar
As a system administrator, you can choose to display a progress bar when a user performs a timeconsuming activity on a large document, such as a purchase order, contract, RFx, or RFx response. The progress bar informs the user about the progress of this activity. For each business object, you can define the number of items above which the document is handled as a large document. Above this threshold, the progress bar is displayed. To implement this function, activate the Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) in Customizing for SAP Supplier Relationship Management under: Settings User Experience Activate/Deactivate Progress Bar . SRM Server Cross-Application Basic

For more information, see Features Available for Large Documents.

Note
The Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) is compatible with Procurement for Public Sector (PPS) and is revertible.

Optimistic Lock
You can use optimistic locking to improve system response time when you switch from display mode to edit mode. To implement this function, activate the Customizing switch Optimistic Lock (SRM_701_OPTIMISTIC_LOCK) in Customizing for SAP Supplier Relationship Management under: SRM Server Technical Basic Settings Activate/Deactivate Optimistic Lock . For more information, see Features Available for Large Documents.

Note
The Customizing switch Optimistic Lock (SRM_701_OPTIMISTIC_LOCK) is compatible with Procurement for Public Sector (PPS) and is revertible.

Browse Mode
You can use a browse mode for large contracts, RFxs, RFx responses, and purchase orders. You can customize the number of items above which the document should be handled as a large document. Above this threshold, the browse mode is then used instead of the display mode. To implement this function, activate the Customizing switch Browse Mode (SRM_701_DOCUMENT_BROWSING) in Customizing for SAP Supplier Relationship Management under: . For more information, see Features Available for Large Documents. SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Browse Mode

Note
The Customizing switch Browse Mode (SRM_701_DOCUMENT_BROWSING) is compatible with Procurement for Public Sector (PPS) and is revertible.

Contract and RFx Templates

You can create templates based on saved or released central contracts or saved or published RFxs. The saved template can then be used by all purchasers in your company as the basis for new contracts or RFxs.

When you create a template from a central contract, line items and price information are copied, for example. Authorizations, discounts, and conditions, for example, are not copied, as this information can vary from contract to contract. To implement this function, activate the Customizing switch Template from RFx and Contract(SRM_701_TEMPLATE) in Customizing for SAP Supplier Relationship Management under: Contracts .

SRM

Server Cross-Application Basic Settings Templates Activate/Deactivate Creation of Templates from RFxs and

Note
The Customizing switch Template from RFx and Contract (SRM_701_TEMPLATE) is compatible with Procurement for Public Sector (PPS) and is revertible.

Additional Functions in Sourcing

You can do the following in Sourcing: Search for requirements by range. Search for sources of supply and assign them to requirements in your worklist. Define a contract as a source of supply in the work area by entering a contract number; the contract number is then validated to prevent errors when follow-on documents are processed. Enhance customer fields in search screens and item tables. Additionally, a warning message is issued when you have exceeded a customizable number of shopping cart items in Sourcing. The message informs you that you may experience increased processing time. To implement these functions, activate the Customizing switches Search by Range in Sourcing(SRM_701_MULTI_VALUE_SEARCH) and Progress Bar (SRM_701_PROGRESS_BAR) in Customizing for SAP Supplier Relationship Management under: SRM Server Sourcing Activate/Deactivate Search by Range in Sourcing

Note
The Customizing switch Search by Range in Sourcing (SRM_701_MULTI_VALUE_SEARCH) is compatible with Procurement for Public Sector (PPS) and is revertible. SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Progress Bar

Note
The Customizing switch Progress Bar (SRM_701_PROGRESS_BAR) is compatible with Procurement for Public Sector (PPS) and is revertible. Additionally, you must perform the activity in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings User Experience Define Threshold Values for Large Documents .

Contract Item Insertion into Purchase Orders

You can search for contract items in a purchase order and add them to the purchase order. To implement this function, activate the Customizing switch Contract Item Insertion into Purchaser Order(SRM_701_PO_ADD_CTR_ITEM) in Customizing for SAP Supplier Relationship Management under: SRM Server Purchase Order Activate/Deactivate Contract Item Insertion into Purchase Order .

Note
The Customizing switch Contract Item Insertion into Purchaser Order (SRM_701_PO_ADD_CTR_ITEM) is compatible with Procurement for Public Sector (PPS) and is revertible.

Default Values for Purchase Order Items

You can use default values for the delivery address and account assignment of purchase order items. Initially, the values are filled automatically by the system settings defined in organizational management. However, if required, you can set your own default values for delivery address and account assignment directly on the purchase order details screen.When you then add a new item to the purchase order, the defined values are copied to the new item. To implement this function, activate the Customizing switch Default Settings for Purchase Order Items(SRM_701_PO_ITEM_DEFAULTS) in Customizing for SAP Supplier Relationship Management under: SRM Server Purchase Order Activate/Deactivate Default Values for Purchase Order Items . For more information, see Purchase Orders.

Note
The Customizing switch Default Values for Purchase Order Items (SRM_701_PO_ITEM_DEFAULTS) is compatible with Procurement for Public Sector (PPS) and is revertible. When you deactivate this Customizing switch, the report Reset Personalized PO Item Default Values to System Default Values (/SAPSRM/CUSTMZ_SW_PO_DEFAULT) is automatically run to reset the user-specific default settings.

POWL User Interface Optimization

You can choose to display only the most important fields on the personal object worklist (POWL) user interface and restrict sorting to sorting-relevant fields. These changes apply to shopping carts and confirmations. By doing so, you optimize the available space on the user interface. You can unhide fields that are hidden by default by changing the POWL personalization settings. To implement this function, activate the Customizing switch POWL User Interface Optimization(SRM_701_POWL_UI_OPTIMIZATION) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings POWL and Advanced Search Activate/Deactivate POWL Optimization . For more information, see Personal Object Worklist.

2.8 SRM, Implementation Simplification

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_IMPLEM_ACCEL_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 Technical Usage SRM

Application Component Directly Dependent Business Function Requiring Activation in Addition

Not relevant Not relevant

You can use this business function to access the documentation of various tools that help you reduce implementation costs. You do not have to activate this business function, as it does not contain any functions.

Integration Prerequisites
You have installed the following components as of the version mentioned: Type of Component Component Is Needed Only for the Following Features Software Component Technical component or business content, e.g. Portal Content SRM_SERVER Java Application Server SAP Solution Manager . Automated Configuration Templates (ACTs) Customizing synchronization

Features
Automated Configuration Templates (ACTs)
Automated Configuration Templates (ACTs) are XML-based scripts that allow you to automatically configure technical system settings, for example, RFC connections and users. To run ACTs, a Java Application Server is required. For more information, see Automated Configuration of the Portal Systems and Automated Configuration Templates.

Customizing Synchronization
Customizing Synchronization allows you to synchronize Customizing settings between SAP SRM and SAP ERP, for example, units of measure, currencies, and Incoterms. To use this function, you need SAP Solution Manager. For more information, see SAP Solution Manager for SAP Supplier Relationship Management under <project name> Configuration SAP SRM 7.0 EHP1 Basic Settings for SAP SRM Customizing Synchronization Synchronize Customizing .

2.9 SRM, Service Procurement Innovations

Technical Data Technical Name of Business Function Type of Business Function Enterprise Business Function SRM_SERVICE_PROC_1

Available As Of Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition

SAP enhancement package 1 for SAP SRM 7.0 SRM Enterprise Buyer (SRM-EBP) To use the contract handling for invoices functions, you must have activated the business function Procurement - SRM Integration 2 (LOG_MM_P2PSE_2).

You can use this business function to implement new functions or enhance existing ones in Service Procurement and Central Contract Management. This business function supports further integration with SAP ERP.

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Enhancement Package SAP enhancement package 5 for SAP ERP 6.0 Customizing switch Service Procurement(SRM_701_SERV_PROC_GE) Customizing switch Central Contract Management(SRM_701_SERV_PROC_CCM) SRM_SERVER 701 Component Is Needed Only for the Following Features

Features
Service Procurement
You can enhance the Service Procurement function by activating the Customizing switch Service Procurement(SRM_701_SERV_PROC_GE) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Service Procurement Activate Service Procurement Innovations .

Note
You must activate the Customizing switch Service Procurement (SRM_701_SERV_PROC_GE) in the SAP Supplier Relationship Management (SAP SRM) and supplier self-services (SUS) systems.

Caution
The Customizing switch Service Procurement (SRM_701_SERV_PROC_GE) is not compatible with Procurement for Public Sector (PPS), as PPS runs in extended classic mode and the Service Procurement business scenario in classic mode. This Customizing switch is revertible with the following limitations: You cannot revert it when you create documents with informatory lines. You cannot revert it when you use an RFx as a starting point. Park and hold for back-end purchase orders This function allows purchase orders to be created in parked or held status in the SAP ERP back-end system. The purchase orders can be created based on sourcing requests, RFx responses, or shopping carts in SAP SRM. For more information, see Park and Hold. Contract Handling for Invoices You can create invoices with reference to contracts in the following ways: o o o Invoice with a direct reference to an SAP ERP contract or SAP SRM central contract Invoice with reference to a limit PO item containing a reference to a contract Invoice with a reference to a limit PO item without a contract reference with the option to reference a contract during invoice verification For more information, see Contract Handling for Invoices. Transfer of informatory lines You can transfer informatory lines, which provide more detailed information in a service structure, from SAP ERP to SAP SRM, including supplier self-services. For more information, see Hierarchies. RFx as starting point You can create RFxs with hierarchical structures directly in SAP SRM without a preceding purchase requisition in SAP ERP. The service hierarchy then correctly fills the contract or back-end purchase order. For more information, see Hierarchies. Contract Limits You can transfer an SRM central contract available as a source of supply in SAP ERP from SAP ERP to supplier self-services to allow services to be entered against a contract limit using SRM-MDM Catalog. For more information, see Confirmation Processing.

The following features are available:

Central Contract Management

You can enhance the Central Contract Management function by activating the Customizing switch Central Contract Management (SRM_701_SERV_PROC_CCM) in Customizing for SAP Supplier Relationship

Management under:

SRM Server .

Cross-Application Basic Settings Service Procurement

Activate Central

Contract Management Innovations

Caution
The Customizing switch Central Contract Management (SRM_701_SERV_PROC_CCM) is not compatible with Procurement for Public Sector (PPS), as PPS runs in extended classic mode and the Service Procurementbusiness scenario in classic mode. It is revertible as long as you have not created central contracts using the HIER_SE template, as described in the Customizing for SAP Supplier Relationship Management under: Application Basic Settings Service Procurement You can do the following: Use central contracts as follow-on documents for requirements with external services. For more information, see Sourcing. Negotiate central contracts with service hierarchies through the SAP Bidding Engine. Upload central contracts with service hierarchies to SRM-MDM Catalog. For more information, see Uploading of Central Contracts to the SRM-MDM Catalog. Use SAP SRM central contracts as a source of supply for external services. For more information, see Central Contract Distribution. Create central contracts from scratch in the system, or as follow-on documents of an RFx and distribute them to the back-end systems. For more information, see Central Contract Distribution. Activate Service Procurement . SRM Server Cross-

2.10 SRM, PI-Independent Enterprise Services

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_WSRM_1 Enterprise Business Function

SAP enhancement package 1 for SAP SRM 7.0

SRM SRM Enterprise Services (SRM-EBP-ESA) Improvements for SOA reuse functions(FND_SOA_REUSE_1)

Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition

You can use this business function to exchange asynchronous enterprise services between SAP SRM and SAP ERP by means of the Web Service Reliable Messaging (WSRM) protocol. In this case, an integration server, for example, SAP NetWeaver Process Integration (SAP NetWeaver PI) is no longer required and you reduce installation costs.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Component Is Needed Only for the Following Features

Software Component

SRM_SERVER 701 Cross Application

You have activated the business function Improvements for SOA reuse functions (FND_SOA_REUSE_1) in the SAP Business Suite Foundation system and defined settings in Customizing under Components Processes and Tools for Enterprise Applications for Asynchronous Enterprise Services . Enterprise Services Point-to-Point Enablement

Features
For more information, see: Enterprise Services for Cross-System Data Exchange PI-Independent Enterprise Services

2.11 SRM, Supplier Collaboration

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_SUCO_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 Technical Usage Application Component SRM RFx (SRM-EBP-BID) RFx Response (SRM-EBP-QUO) Supplier Self-Services (SRM-SUS) Registration of Suppliers (SRM-ROS) Directly Dependent Business Function Requiring Activation in Addition You can use this business function to do the following: As a purchaser, you can allow bidders to submit RFx responses and bids outside the SAP SRM system firewall. As a purchaser and as a supplier, you can use the enhanced features of supplier self-services (SUS). As a supplier, you can register directly in supplier self-services (SUS).

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Enhancement Package SAP enhancement package 4 or higher for SAP ERP 6.0 Customizing switch Final Entry Checkbox in Confirmation(SRM_701_SUCO_FINAL_ENTRY) SRM_SERVER 701 Component Is Needed Only for the Following Features

Features
RFx Submission Outside SAP SRM Firewall
You can prevent bidders from accessing sensitive information in the SAP SRM system and reduce security risks by separating the bidding process from SAP SRM core processes. To implement this function, activate the Customizing switch RFx Response Submission Outside Firewall(SRM_701_SUCO_BIDDER_DECOUP) in Customizing for SAP Supplier Relationship Management under: Supplier Collaboration Activate/Deactivate RFx Response Submission Outside Firewall .

Note
The Customizing switch RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) is compatible with Procurement for Public Sector (PPS) and cannot be reverted.

Supplier Registration in Supplier Self-Services (SUS)

Suppliers can access the self-registration screen with its new harmonized Web Dynpro user interface (UI), for example, on a purchasing companys home page or by clicking a URL you received ele ctronically from a purchaser. Once suppliers have registered, the system does the following: A business partner with the Potential Supplier role is created in supplier self-services (SUS). Strategic purchasers can also create potential suppliers directly in SUS. Questionnaires are sent out to the contact person of the potential supplier. The questionnaires are created using the Web Survey tool provided by SAP NetWeaver. Additionally, strategic purchasers can access a work center for supplier preselection in SAP NetWeaver Portal. The work center contains a personal object worklist (POWL) from which strategic purchasers can, for example, display, edit, accept, or reject potential suppliers. To implement this function, activate the Customizing switch Supplier SelfRegistration (SRM_701_SUCO_SUP_REG) in Customizing for SAP Supplier Relationship Management under: Registration . Supplier Collaboration Supplier Self-Registration Activate/Deactivate Supplier Self-

Note

The Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG) is compatible with Procurement for Public Sector (PPS) and can be reverted.

Note
The following roles are available: SAP SRM: Supplier Preselection (/SAPSRM/SUCO_PROCESSOR) This role is required for strategic purchasers in the supplier self-services (SUS) system to access data of registered potential suppliers. SAP SRM: Anonymous User for Potential Supplier Registration Page (/SAPSRM/SUCO_ANON_REG) This role is required for users who want to access the registration page for potential suppliers. For more information, see: Business Partner Monitor Supplier Preselection Supplier Qualification Supplier Registration

SUS Innovations
You can improve communication between suppliers and purchasers, and enable suppliers to have greater control over follow-on documents such as purchase order responses and confirmations. In supplier self-services, you enable suppliers to do the following: Send long text replies and memos with purchase order responses. Subscribe and unsubscribe to e-mail notifications regarding changes to a business document. Specify that a confirmation or service entry sheet is final. Specify a reason for rejection when rejecting an item in a purchase order.

Supplier registration (ROS) is now connected to SAP ERP, allowing a user with the Purchasing Administrator role to monitor changes to supplier master data, accept or reject them, and transfer these changes to the back-end system. These enhancements increase the level of information available to both suppliers and purchasers, and improve the ability of suppliers and purchasers to fulfill their requirements through the procurement process. To implement the above functions, activate the Customizing switches Final Entry Checkbox in Confirmation(SRM_701_SUCO_FINAL_ENTRY), Transfer of Texts to SAP ERP (SRM_701_SUCO_TEXT_TRANSFER), andSupplier Notification (SRM_701_SUCO_NOTIF_FILTER) in Customizing for SAP Supplier Relationship Management under: Supplier Collaboration Activate/Deactivate Final Entry Checkbox in Confirmation

Note
The Customizing switch Final Entry Checkbox in Confirmation (SRM_701_SUCO_FINAL_ENTRY) is compatible with Procurement for Public Sector (PPS) and cannot be reverted. Additionally, it requires the installation of enhancement package 4 for SAP ERP 6.0. Supplier Collaboration Activate/Deactivate Text Transfer to SAP ERP

Note

The Customizing switch Transfer of Texts to SAP ERP (SRM_701_SUCO_TEXT_TRANSFER) is compatible with Procurement for Public Sector (PPS) and can be reverted. Supplier Collaboration Activate/Deactivate Supplier Notification

Note
The Customizing switch Supplier Notification (SRM_701_SUCO_NOTIF_FILTER) is compatible with Procurement for Public Sector (PPS) and can be reverted. For more information, see Supplier Master Data Self-Maintenance.

2.12 SRM, Self-Service Procurement

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_SELF_SERVICE_1 Enterprise Business Function SAP enhancement package 1 for SAP SRM 7.0 Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition You can use this business function to benefit from the new shopping cart features and to allow occasional users to order products or free-text items with a few clicks. SRM Shopping Cart (SRM-EBP-SHP)

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Component Is Needed Only for the Following Features

Software Component

SRM_SERVER 701

To use the new user interface, you must have assigned the role SAP SRM: Employee(/SAPSRM/EMPLOYEE_EHP1) to your employees.

Features
Simplified Shopping Cart
The simplified shopping cart is a one-screen shopping cart with a new, easy-to-use user interface that allows you to search for products in catalogs, compare the search results, and add items from the catalogs to the shopping cart. To implement this function, activate the Customizing switch Simplified Shopping Cart (SRM_701_SIMPLIFIED_SC) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Self-Service Procurement Shopping Cart . Activate/Deactivate Simplified

Note
The Customizing switch Simplified Shopping Cart (SRM_701_SIMPLIFIED_SC) is compatible with Procurement for Public Sector (PPS) with the following restriction: hierarchies are not supported. It can be reverted. For more information, see Simplified Shopping Cart.

Budget Check in Shopping Cart

You immediately receive an error or warning message when the budget for a newly created shopping cart is exceeded. To implement this function, activate the Customizing switch Budget Check for Shopping Cart(SRM_701_BUDGET_CHECK_SC) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Self-Service Procurement Activate/Deactivate Budget Check for Shopping Cart .

Note
The Customizing switch Budget Check for Shopping Cart (SRM_701_BUDGET_CHECK_SC) is compatible with Procurement for Public Sector (PPS) and can be reverted.

Automatic Assignment of Sources of Supply

You can automatically assign sources of supply in shopping carts. To implement this function, deactivate the Customizing switch Disable Auto Assignment of Source of Supply in SC(SRM_701_AUTO_SOS_ASSIGN_OFF) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Self-Service Procurement . Disable/Enable Automatic Assignment of Sources of Supply

Note
The Customizing switch Disable Auto Assignment of Source of Supply in SC(SRM_701_AUTO_SOS_ASSIGN_OFF) is compatible with Procurement for Public Sector (PPS) and can be reverted.

Ship-To Address for Shopping Cart

You can create individual ship-to addresses for multiple employees and use them as alternate addresses To implement this function, activate the Customizing switch Individual Ship-to Address in Shopping Cart(SRM_701_SHIP_TO_ADDRESS_SC) in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Individual Employee Address Activate/Deactivate Individual Ship-To Address in Shopping Cart .

2.13 SRM, Analytics

Technical Data Technical Name of Business Function Type of Business Function Available As Of SRM_ANALYTICS_1 Enterprise Business Function SAP Enhancement Package 1 for SAP SRM 7.0 Technical Usage Application Component Directly Dependent Business Function Requiring Activation in Addition You can use this business function to use a variety of reports and analyses that are available in the Contract Management and Business Partner work centers. The reports provide detailed information, helping you to make strategic decisions and take subsequent action, such as the following: Creating new contracts and renegotiating existing contracts Consolidating contracts Phasing out contracts and non-compliant suppliers Taking measures for risk mitigation SRM_SERVER SRM-EBP-REP Not relevant

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites

You have installed the following components as of the version mentioned: Type of Component Software Component Technical Component SAP NetWeaver Business Warehouse Contract-Related Analyses Contract Compliance Contract Condition Compliance Contract Spend Maverick Buying ABC Analysis of Suppliers Pareto Analysis According to Purchase Order Volume Top Suppliers Component SRM_SERVER 701 Is Needed Only for the Following Features

Supplier-Related Analyses

Features
Contract Management
The following reports are available for the Contract Management work center: Contract Compliance Contract Information (for example, expiring contracts) Lifecycle Events Sources of Supply Worklist for Upcoming Activities

Business Partner
The following reports are available for the Business Partner work center: Supplier Analyses (for example, ABC Analysis and top suppliers) Compliance of suppliers (for example, regarding conditions and delivery times) Procurement Analyses (for example, procurement value per supplier or alternative sources of supply)

Maverick Buying The Customizing switch related to this business function is Embedded Analytics for Purchasers(SRM_701_EMB_ANALYTICS). It is immediately active once you have activated the business function. You can deactivate the Customizing switch in Customizing for SAP Supplier Relationship Management under SRM Server Analytics Deactivate/Activate Embedded Analytics for Purchasers .

2.14 SRM, Analytics 2

Technical Data Technical Name of Business Function Type of Business Function Enterprise Business Function SRM_ANALYTICS_2

Available From

SAP enhancement package 2 for SAP Supplier Relationship Management 7.0

Technical Usage Application Component Required Business Function

SRM_SERVER SRM-EBP-REP Not relevant

You can use this business function to use a variety of reports and analyses that are now available in the Strategic Sourcing work center. The reports provide detailed information about RFxs against various parameters such as product category, average cycle time, and number of bidders. This information helps you to make strategic decisions and take subsequent action. You can also use a new feature in the Contract Management, Business Partner, and Strategic Sourcing work centers that lets you add your own reports to existing catalogs.

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Technical Component SRM_SERVER SRM_EXT_FUNC SAP NetWeaver Business Warehouse (SAP NetWeaver BW) Strategic Sourcing-Related Analyses o o o o Average Cycle Time Number of RFx Bidder Participation Spend from RFx Component Required for the Following Features Only Not applicable

Features
Strategic Sourcing
The following reports are available in the Strategic Sourcing work center:

Average Cycle Time Number of RFx Bidder Participation

Spend from RFx The Customizing switch related to this business function is POWL-Based Reports (SRM_702_POWL_COCKPIT). You can activate this customizing switch in Customizing for SAP Supplier Relationship Management under Based Reports . SRM Server Analytics Reports Activate/Deactivate POWL-

More Information
Analytics for Contract Management and Business Partner Work Centers Analytics for Strategic Sourcing Work Center

2.15 SRM, Leasing

Technical Data Technical Name of Business Function Type of Business Function Available From Enterprise Business Function SAP enhancement package 2 for SAP Supplier Relationship Management (SAP SRM) 7.0 Technical Usage SRM_SERVER SAP NetWeaver Process Integration (SAP NetWeaver PI) Application Component SRM-EBP-ESA SRM-EBP-CA-XML or SRM-XI (for SAP NetWeaver PI content relevant issues) Required Business Function Management (LAM). Not relevant SRM_LEASING_1

You can use this business function to use the cross-application component Leasing and Asset

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Technical Component SAP NetWeaver Process Integration (SAP NetWeaver PI) o Software component version: SRM SERVER IC 7.02 Not applicable SRM_SERVER Component Required for the Following Features Only Not applicable

Type of Component

Component

Required for the Following Features Only

Namespace: http://sap.com/xi/SRM/Leasing/IC

You have carried out the following Customizing activities:

Define Target Settings for Product Categories

You have set SAP SRM as the target system for product categories (for which lease quotations are sent from SAP Customer Relationship Management (SAP CRM)) in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Technical Basic Settings Define back-end system for product category .

Note
You can perform optional enhancements using the following Business Add-Ins (BAdIs) or enhancement spots: You can use enhancement spot Mapping for XML (BBP_BDI_MAPPING_SAPXML1) to map from XML to SAP SRM documents. You can select the External Approval checkbox through BAdI Internal BAdI for Changing Invoice Data Before Update (BBP_BDI_PD_IV_CHANGE) to select XML invoice output in SAP CRM. You can set the sk_scenario1 field in the document header to LAM using BAdI BBP_CUF_GENERAL_SSF.

Features
Leasing and Asset Management
Leasing and Asset Management (LAM) is a cross-application component that enables users to create purchase orders in SAP Supplier Relationship Management (SAP SRM), from lease quotations that originate in SAP Customer Relationship Management (CRM), and to generate invoices for the lease purchase. The Customizing switch related to this business function is Leasing and Asset Management (SRM_702_LEASING). It is immediately active once you have activated the business function.

More Information
For more information, see the following: SAP Library for SAP Customer Relationship Management on SAP Help Portal at http://help.sap.com under SAP Customer Relationship Management SAP CRM for Industries Financial Services SAP Leasing Leasing Document Creation of a Purchase Order . SAP Library for SAP Customer Relationship Management on SAP Help Portal at http://help.sap.com under SAP Customer Relationship Management SAP CRM for Industries Financial Services SAP Leasing Leasing Document Entering and Checking of Vendor Invoices . SAP SRM Scenarios Plan-Driven Procurement with Plant . Processing Leasing Invoices in SRM SAP Solution Manager under Maintenance Business Processes

2.16 SRM, Supplier Collaboration 2

Technical Data Technical Name of Business Function Type of Business Function Available From Enterprise Business Function SAP enhancement package 2 for SAP Supplier Relationship Management 7.0 Technical Usage Application Component SRM_SERVER SRM-EBP-REP SRM-EBP-BID Required Business Function SRM, Supplier Collaboration (SRM_SUCO_1) SRM_SUCO_2

You can use this business function to implement the improvements to RFx response submission outside the firewall. The improvements are the addition of bidder intent and surrogate bidding facilities.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Technical Component Supplier self-services (SUS) SAP NetWeaver Business Warehouse (SAP NetWeaver BW) SAP NetWeaver Process Integration (SAP NetWeaver PI) Not applicable SRM_SERVER Component Required for the Following Features Only Not applicable

Features
RFx Response Submission Outside Firewall Improvements
The following improvements have been made to RFx response submission outside the firewall: Bidder Intent Bidders can now indicate whether they intend to participate in a bidding event outside the firewall by using the bidder intent facility. They can choose from the following available statuses: Participate Do Not Participate Tentative

Surrogate Bidding Purchasers can submit RFx responses outside the firewall on behalf of bidders by using the new surrogate bidding feature. To implement these improvements, activate the Customizing switch RFx Response Submission Outside Firewall Improvements (SRM_702_BID_DECOUPLING_IMPR) in Customizing for SAP Supplier Relationship

Supplier Collaboration Activate/Deactivate RFx Response Submission Outside Firewall Improvements .

Management under

Note
The Customizing switch RFx Response Submission Outside Firewall Improvements(SRM_702_BID_DECOUPLING_IMPR) cannot be reverted.

More Information
SAP SRM Scenarios Strategic Sourcing with RFx Business Processes Processing Bids and RFx Responses in the Supplier System .
For more information, see SAP Solution Manager under

2.17 SRM, Catalog Innovations 2

Technical Data Technical Name of Business Function Type of Business Function Available From Enterprise Business Function SAP enhancement package 2 for SAP Supplier Relationship Management 7.0 Technical Usage Application Component Required Business Function Sustainability enhancements Flat view for items in service catalogs SRM SRM-CAT-MDM Not relevant SRM_CATALOG_2

You can use this business function to activate the following features:

Note
You can revert this business function. To do so, perform the following steps: 1. Check whether there are limitations at Customizing switch level. You can find this information in the business function description and in the documentation of the Customizing switch in Customizing for SAP Supplier Relationship Management. If there are no limitations, deactivate the Customizing switch or switches in Customizing for SAP Supplier Relationship Management. 2. Run transaction Switch Framework Customizing (SFW5), select the business function, and deselect theRevertible checkbox. To do this, you need special authorizations. 3. Save and activate your changes.

Note
If you do not deactivate all the Customizing switches assigned to a business function, a warning is issued.

Prerequisites

You have installed the following components as of the version mentioned: Type of Component Software Component Java Software Component Component SRM_SERVER 702 SRM-CAT-ENABLER Required for the Following Features Only

Features
Sustainability Enhancements
You can search for and compare catalog items based on sustainability criteria such as their carbon footprint, compliance with environmental standards, and energy consumption. To implement this function, activate the Customizing switch Sustainability Enhancements for Catalog(SRM_702_CATALOG_SUSTAIN_ENH) in the MDM Catalog Enhancement Administration tool.

Flat View for Items in Service Catalog

This view displays the service line items only. The hierarchy view is still viewable on the Details screen. To implement this function, activate the Customizing switch Flat View for Items in Service Catalog(CAT_702_UI_IMP) in the MDM Catalog Enhancement Administration tool.

More Information
Activating Business Function and Customizing Switches in the MDM Catalog Enhancement Administration tool

4. Overview
SAP Supplier Relationship Management (SAP SRM) is part of the SAP Business Suite. SAP SRM covers the full procurement cycle, from strategic sourcing to operational procurement and supplier enablement by making use of consolidating core business content and master data. SAP SRM is a purchasing application that offers sustainable savings and value generation through enterprise-wide supply management. With SAP SRM, you collaborate with suppliers in the process of purchasing goods and services. This means you can optimize supplier selection and devise focused sourcing and procurement strategies. The SAP SRM user interface is based on the SAP NetWeaver Portal and Web Dynpro technologies. It provides a clear and effective means of managing the divergent information required by the different users within an organization. The SAP NetWeaver Portal design features transparent and seamless integration by displaying information from many SAP SRM application sources in a single portal browser window. This means that from your SAP SRM Control Center (the starting point in the application), you have access to all SAP SRM applications that apply to your current work tasks. You can also use SAP SRM applications without the SAP NetWeaver Portal and its navigation frame (see Portal-Independent Navigation Frame). This overview provides you with an introduction to SAP SRM, including: An introduction to the SAP SRM concepts An overview of the SAP SRM user interface including basic navigation tips Information on getting started

3.1 Automated Configuration 3.1.1 Automated Configuration Templates

You can run automated configuration templates (ACTs) to automate the mandatory configuration steps necessary to connect the SAP Supplier Relationship Management (SAP SRM) system with other SAP systems.

Integration
ACTs run in SAP NetWeaver Application Server (SAP NetWeaver AS) Java. SAP NetWeaver AS Java can be either a standalone component of an SAP NetWeaver installation or part of the SAP NetWeaver component of an SAP Solution Manager installation.

More Information
For more information about automated configuration, see SAP Library for SAP NetWeaver on SAP Help Portal at http://help.sap.com Technology Consultants Guide Configuration Wizard Business Suite Connectivity Configuration - Overview . The following table lists the individual scenarios for which automated configuration is supported and where to find their corresponding connectivity guides. System Configuration SAP SRM on One Client in SAP ERP Path to Documentation on SAP Service Marketplace http://service.sap.com/instguides SAP SRM SAP SRM Server 7.01 SRM on One Client in SAP ERP Connecting SAP SRM to SAP ERP http://service.sap.com/instguides SAP Business Suite Applications SAP Business Suite Applications

Connectivity Guide for Automated Configuration: SAP

SAP SRM SAP SRM Server 7.01 Connectivity Guide for Automated Configuration: Connectivity Guide for Automated Configuration: SAP ERP to SAP Supplier Relationship Management http://service.sap.com/instguides SAP SRM SAP SRM Server 7.01

Connecting SAP SRM to SAP NetWeaver Business Warehouse (SAP NetWeaver BW)

SAP Business Suite Applications

Connectivity Guide for Automated Configuration: SAP

NetWeaver Business Warehouse to SAP Supplier Relationship Management

3.1.2 Automated Configuration of the Portal Systems

You can automate the configuration of the basic settings of SAP NetWeaver Portal used in SAP Supplier Relationship Management (SAP SRM). To integrate SAP SRM with SAP NetWeaver Portal, you must configure both the SAP SRM and SAP NetWeaver Portal systems, and you can use a wizard-based configuration tool to perform the mandatory configuration necessary in both systems for this integration.

More Information

For more information about automated configuration, see SAP Library for SAP NetWeaver on SAP Help Portal at http://help.sap.com Technology Consultants Guide Configuration Wizard Business Suite Connectivity Configuration - Overview . For more information about the automated configuration of SAP NetWeaver Portal used in SAP SRM, see SAP Service Marketplace at http://service.sap.com/instguides SAP Business Suite Applications SAP SRM SAP SRM Server 7.0 Guide for Automated Configuration: SAP SRM Portal .

3.2 Portal Concepts

This section explains the concepts of the SAP NetWeaver Portal that you need to understand when using the SAP Supplier Relationship Management (SAP SRM) application running in the portal. For information about the functions of the SAP SRM applications that are available in the SAP NetWeaver Portal for SAP SRM, see Functions. For information about the Portal content, that is, the roles, worksets, and iViews available for SAP SRM, seeBusiness Packages.

3.2.1 Control Center

The control center is available to all users, irrespective of the role they have been assigned. You access it by chossing Home Overview Today in the navigation of the SAP NetWeaver Portal. The control center provides clear organization of content. In the Universal Worklist available in the control center, you receive messages, alerts, or workflow work items prompting you to take appropriate action. The control center then provides direct navigation to the necessary pages, employee self-services, or SAP SRM applications. The Home Overview Today page provides an overview of company broadcast news, alerts, task items, and notifications.

Control Center and Work Centers in SAP SRM

3.2.2 Work Center

The work center is an area in the SAP NetWeaver Portal browser window that allows you to access the different work areas specific to your role(s). Each work center is represented by one or more tabs and is the place to start or resume work in a certain area. In SAP Supplier Relationship Management (SAP SRM), there are predefined user roles. Each user role has a tailored work center.

Example
The Strategic Purchaser role has many tasks that are handled in different work centers, such as Strategic Purchasing, and Purchasing. The following graphic shows where you can access work centers in the SAP NetWeaver portal browser window.

Control Center and Work Centers in SAP SRM

3.2.3 Universal Worklist

The Universal Worklist (UWL) is a list of work items and provides quick access to your critical work items and the relevant information within the context of the work center. Overview information is provided, but the main focus is on the list of work items. From the list, you can immediately complete the task or navigate directly to the SAP Supplier Relationship Management (SAP SRM) application where the task can be completed.

Features
The Universal Worklist (UWL) supports you in the following ways: It aggregates workflow task items from multiple systems in one universal list It displays additional information, as required, from document and object repositories, including attachments and other details It helps you to personalize how work items are presented It enables you to assign another user to your work items as a substitute in case of absence.

The UWL presents work lists resulting from workflows. The work item may be handled in any of the following ways: Using a single click, for example, an approval By starting a self-service application, for example, creating a confirmation By starting a transaction, for example, modifying a purchase order

The UWL allows you to manage your work by bringing together assignments from different workflow systems, including: Workflow Alerts Knowledge Management (KM) notifications Collaboration tasks

3.2.4 Personal Object Worklist

The Personal Object Worklist (POWL), which is located in the content area of the SAP NetWeaver Portal, is a query-driven worklist that contains procurement documents (business objects) from your work area. The list of objects is assembled so that you can work on a defined set of items. While adapting and saving queries is possible, the focus is on having predefined queries, which bring your work items to you. Simple, one-step actions are possible, but typically you navigate from the POWL to an application to work on the selected procurement document. The POWL with its flexible queries is particularly useful for users with the following work styles: Routine: repetitive work Calendar-driven: periodic tasks

If you are using the classic or extended classic scenario as well as roles that enable you to access SAP ERP and SAP SRM documents (Strategic Purchaser (ERP/SRM) and Operational Purchaser (ERP/SRM)), the POWLs contain predefined categories, queries, search criteria, and buttons that allow you to work with documents from both SAP ERP and SAP SRM. In this case, when creating a purchasing document from within the POWL, you see a screen that allows you to select the SAP ERP or the SAP SRM system where you want to create the document. The respective application is then started automatically in either SAP SRM or SAP ERP.

Prerequisites
To use the automatic refresh function of the POWL, your system must fulfill the following requirements: You use SAP NetWeaver 7.01 SPS 05 or higher. You use SAP NetWeaver Portal 7.0 SPS 17 or higher.

To use the POWL to access purchasing documents in both SAP SRM and SAP ERP, you have done the following in Customizing for SAP Supplier Relationship Management: You have defined in which SAP systems you want to search and whether you want to use the Embedded Search. You do this under SRM Server Technical Basic Settings Define System Landscape . You have specified the RFC destinations for the back-end systems (SAP ERP) where you want to search. You do this under SRM Server Technical Basic Settings Define RFC Destinations to SAP ERP for Input Help . If you use POWLs that allow you to access SAP ERP and SAP SRM objects, you have scheduled the report Get ERP Customizing Data for Business Suite (/SAPSRM/GET_BS_DATA) to replicate data from SAP ERP to SAP SRM. This data has been defined in Customizing of SAP ERP, and replication makes it available for the input help and dropdown lists of the POWLs.

Note

You must either start the report every time you make changes in Customizing for SAP ERP or schedule a job that runs the report regularly. You can adapt the layout of the worklists to include or exclude columns and actions for purchasing documents. You can also modify the search criteria that are available to users when defining queries for POWLs. You do this in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Pushbuttons . You can choose to display only the most important fields on the user interfaces of the shopping cart and confirmation personal object worklists (POWLs). You can also restrict sorting to sorting-relevant fields by activating the related Customizing switch in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings POWL and Advanced Search Activate/Deactivate POWL Optimization . To use this function, you must activate the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1). The following table lists the delivered settings for the shopping cart POWL: POWL and Advanced Search Adjust POWL Layout, Search Criteria, and

Sorting Sequence
1 2 3 4 5 6 7 8

Column ID
OBJECT_ID DESCRIPTION ITEM_NO ITEM_DESCR ITEM_STATUS CREATED_AT NET_VALUE ITEM_CURR CHANGED_AT CHANGED_BY CREATED_BY QUANTITY UNIT STEXT ORDERED_PROD POSTING_DATE TOTAL_VALUE CURRENCY EXLIN

Visible Hidden Fixed Column

x x x x x x x x x x x x x x x x x x x x

Filtering Allowed
x x x x x x x x x x x x x x x x x x x

Sorting Allowed
x

x x

x x x

The following table lists the delivered settings for the confirmation POWL:

Sorting Sequence
1 2 3 4 5 6 7

Column ID
OBJECT_ID DESCRIPTION ORDERED_PROD ITEM_DESCR QUAN_CF UNIT CREATED_ON REF_DOC_NUM POSTING_DATE QUAN_CF_E STATUS_DESCR ITEM_NO CREATED_BY_NAME

Visible Hidden Fixed Column

x x x x x x x x x x x x x x

Filtering Allowed
x x x x x x x x x x x x x

Sorting Allowed
x

x x x

Features
Automatic Refresh
By default, the personal object worklist (POWL) is automatically refreshed when you have created, changed, or deleted procurement documents within the POWL: Newly created documents are inserted, changed documents are updated, and deleted documents disappear from the POWL.

Note
The automatic refresh affects only those procurement documents that are listed in the query that you are currently accessing. This ensures that the list is refreshed with optimal performance. If you want to see the changes in other queries as well, you have to navigate to the query and choose Refresh. After the automatic refresh, the new or changed document is only displayed in the POWL if it meets the search criteria that you defined for the active query. You can deactivate the automatic refresh function in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings POWL and Advanced Search Deactivate/Activate Automatic Refresh of POWL display the changes. You can define the Customizing settings for the automatic refresh in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings POWL and Advanced Search Define Number and Intervals of Iterations for Automatic Refresh of POWL . . In this case, users have to choose Refresh manually to

More Information

For more information about the Personal Object Worklist, see SAP Help Portal at http://help.sap.com under SAP ERP SAP ERP Enhancement Packages Embedded Search

SAP ERP Cross-

Application Functions Cross-Application Components General Application Functions Personal Worklist

3.2.5 Portal Desktop

The SAP Supplier Relationship Management (SAP SRM) portal desktop refers to the entire portal screen, including any displayed content and its layout. It also contains the tools you need to personalize your portal.

SAP SRM Portal Desktop

The portal desktop is divided into the following areas: Header Area: This is the part of the SAP SRM portal that remains static when you navigate from one tab or page to another. This area contains the top-level navigation for getting around SAP SRM. Navigation Area: The left-hand pane just below the page title bar is reserved for navigation iViews. Content Area: The part of the desktop that displays content, containing one or more iViews. It changes when you navigate from one page or iView to another.

3.2.6 Navigation
Navigation in the SAP Supplier Relationship Management (SAP SRM) application is divided into the four following areas: Work Center navigation Detailed navigation Application navigation

Service Map navigation

Work Center Navigation

The tabs, such as Employee Self-Services or Purchasingin the Header area are the principal work centers for navigation. These are the entry points into the SAP SRM system areas and their sub menus.

Detailed Navigation
The content shown in this area depends on which Work Center tab you select. Selecting any of the worksets in theDetailed Navigation area, the corresponding personal object worklist (POWL) is displayed in the portal content area.

Services Area
Once you select any of the links in the Services area, a new page displays the corresponding SAP SRM application content for this link.

Application Navigation
You can navigate from within the SAP SRM applications by doing one of the following: Using the Advanced Search function (search by multiple criteria and open a document from the result list) Clicking on any link (click the purchase order number) Selecting a table row in UWL or POWL and clicking on an associated button

Service Map Navigation

In all work centers, there is a Service Map, which provides a detailed services site map of the available work options for the selected work area.

3.3 Portal-Independent Navigation Frame

You can use this function to work with the applications of SAP Supplier Relationship Management (SAP SRM) if you are not using SAP NetWeaver Portal and therefore cannot use its navigation frame. The look and feel of the Portal-independent navigation frame is similar to the Portal-based navigation frame. The functions available to the individual users depend on the PFCG roles, defined in the Role Maintenance transaction (PFCG), that you assign to the users. The standard PFCG roles delivered by SAP include all work centers, worksets, and service links that you need to perform the same procurement functions that are available in the standard SAP NetWeaver Portal roles for SAP SRM. For more information about the PFCG roles delivered by SAP, see Roles. The Portal-independent navigation frame is based on the SAP NetWeaver Business Client (HTML) and contains the following elements: Work centers Worksets Service link folders Service links

Unlike in SAP NetWeaver Portal, the Home work center contains the following entries: Work Overview Displays the content of the Portal-independent inbox. Shopping Area Corresponds to Employee Self-Service in SAP NetWeaver Portal. Personalization Here, users can change their personal settings, such as time zone or password, as well as their contact information, such as their department address or phone number. When users enter a work center, the service map for this work center is displayed in the content area, providing quick access to all procurement documents that are available for the role to which a user has been assigned.

Integration
If you choose to use the Portal-independent navigation frame, the roles that are delivered as part of the Business Package for SAP SRM cannot be used. Instead, existing authorization roles in SAP SRM are used to define the content of the navigation frame, such as the following screen elements: Menu structure, including work centers, worksets, and service link folders.

Service links necessary to start applications. Examples: RFx and Shopping Cart Applications that are started directly from a business object and not from the menu structure. ObjectBased Navigation (OBN) is used for indirect navigation in the Portal-independent navigation frame. The object model of the OBN provides a definition of all business objects and their operations. The semantic business objects are mapped in the roles to the available Web Dynpro applications. Example: Edit Shopping Cart started from a shopping cart listed in the POWL

Applications displayed in the content area to which users navigate from the navigation frame. Examples: Shopping Area and POWL The authorization roles, defined and maintained in the Role Maintenance transaction (PFCG), correspond to the SAP NetWeaver Portal roles as described in SAP Note 1261825.

Note
If you migrate from a system landscape with SAP NetWeaver Portal to a landscape without a Portal and you have customer-specific Portal roles, you cannot migrate these roles automatically. Instead, you can use theRole Maintenance transaction (PFCG) to either adapt the roles delivered by SAP or to model new roles that match the Portal roles you were previously using. Cross-Application Navigation Navigation from SAP SRM to the following applications is supported: SAP ERP cFolders SAP NetWeaver Business Warehouse (SAP NetWeaver BW)

Features
The navigation frame provides many of the same features as the navigation provided by SAP NetWeaver Portal. However, the following functional differences exist between running SAP SRM in SAP NetWeaver Portal and running it in the Portal-independent navigation frame: Universal Worklist Instead of the Universal Worklist (UWL) provided by SAP NetWeaver Portal, you can use a Portalindependent inbox. This inbox offers access to work items, alerts, and notifications from the SAP SRM system, but not from other systems. Mapping of User IDs Between Systems If you work with more than one SAP system, for example, an SAP ERP and an SAP SRM system, we recommend that users have the same ID in all systems. Otherwise, the users have to log on again when navigating between systems. Personalization Options o When users are about to leave an application, a confirmation dialog box appears, asking them whether they want to save their work before the application is closed. You cannot deactivate this dialog box. o o Users who want to work in a language different from the browser language must make this setting every time they log on. There is no option to save this setting. Only one style sheet theme is available; this effects, for example, the color scheme, font type, and size.

The following functions that are available when you run SAP SRM in SAP NetWeaver Portal are not supported: Business Package for Supplier Collaboration The roles that are delivered with the Business Package for Supplier Collaboration are not supported. User-Independent Customizing SAP SRM Administrators cannot make user-independent Customizing settings as described in SAP Library for SAP NetWeaver on SAP Help Portal at http://help.sap.com SAP NetWeaver by Key Capability Application Platform by Key Capability ABAP Technology UI Technology Web UI Technology Web Dynpro ABAP Wide Modifications. User Self-Registration The user self-registration function and the corresponding approval workflow are not supported. User self-registration is only available if you use SAP NetWeaver Portal. Accessibility Accessibility functions for the blind or visually impaired are neither supported by the navigation frame nor by SAP SRM applications running in the navigation frame. This is due to restrictions in the underlying technology, NetWeaver Business Client for HTML. For more information, see SAP Note 1029940. NetWeaver Business Client for Desktop To run SAP SRM applications in the Portal-independent navigation frame, you can only use the NetWeaver Business Client for HTML, not the NetWeaver Business Client for Desktop. Web Dynpro ABAP: Development in Detail Advanced Concepts under the section Customizing: User-Independent, Client-

Adjustments Personalization and Customizing

More Information
For information about the functions that are available when you run SAP SRM in SAP NetWeaver Portal, see SAP Help Portal at http://help.sap.com SAP Supplier Relationship Management Overview Portal Concepts . For more information about the SAP NetWeaver Business Client (HTML), see SAP Library for SAP NetWeaver on SAP Help Portal at http://help.sap.com SAP NetWeaver by Key Capability Application Platform by Key Capability ABAP Technology UI Technology SAP NetWeaver Business Client .

3.4 Roles
Roles describe the activities that internal employees or external business partners can perform in a business scenario. After logging on to the system, users see all functions that they need to process their tasks. Roles are defined using transaction code PFCG. For more information, see Customizing for SAP Supplier Relationship Management (SAP SRM) under Define Roles . You can find a complete list of all roles available for SAP SRM in SAP Note 1261825. SRM Server Cross-Application Basic Settings Roles

Implementation Considerations
You can access SAP SRM applications using either SAP NetWeaver Portal or the Portal-independent navigation frame. If you choose to use SAP NetWeaver Portal, the roles that are delivered as part of the Business Package for SAP SRM are used to define the content that is visible for each role. In this case, the PFCG roles described here are used as authorization roles only. For each Portal role, there is a corresponding PFCG role. For more information about the Portal roles, see Business Package for SAP Supplier Relationship Management. If you choose to use the Portal-independent navigation frame, the PFCG roles are used to define the content of the navigation frame, for example, the menu structure, service links, and Web Dynpro applications. For more information, see Portal-Independent Navigation Frame.

Integration
The Portal-independent navigation frame is based on SAP NetWeaver Business Client (HTML). For more information about how to define the menu structure for SAP NetWeaver Business Client, see SAP Help Portal at http://help.sap.com under SAP NetWeaver Library SAP NetWeaver by Key Capability Application Platform by Key Capability 5 Role Maintenance in PFCG . ABAP Technology UI Technology SAP NetWeaver Business Client

For more information about how to define the navigation for SAP NetWeaver Business Client, see 5.10 Object-Based Navigation (OBN) under the path above.

3.4.1 Roles for SAP SRM 7.0

The following sections describe the PFCG roles available for SAP Supplier Relationship Management 7.0 (SAP SRM 7.0).

Roles for SAP SRM

Name SAP SRM: Invoice Verification Clerk SAP SRM: Administrator SAP SRM: User Administrator SAP SRM: Bidder SAP SRM: Employee Technical Name /SAPSRM/ACCOUNTANT /SAPSRM/ADMINISTRATOR /SAPSRM/ADMINISTRATOR_USR /SAPSRM/BIDDER /SAPSRM/EMPLOYEE

Name SAP SRM: Manager SAP SRM: Operational Purchaser SAP SRM: Component Planner SAP SRM: Internal Dispatcher SAP SRM: Purchasing Assistant SAP SRM: Strategic Purchaser SAP SRM: Supplier SAP SRM: Survey Owner SAP SRM: Survey Reviewer Authorization for accessing SRM Enterprise Services

Technical Name /SAPSRM/MANAGER /SAPSRM/OP_PURCHASER /SAPSRM/PLANNER /SAPSRM/RECIPIENT /SAPSRM/SECRETARY /SAPSRM/ST_PURCHASER /SAPSRM/SUPPLIER /SAPSRM/SURVEY_OWNER /SAPSRM/SURVEY_REVIEWER /SAPSRM/ENTERPRISE_SERVICES

Roles for SAP SRM, Procurement for Public Sector (PPS)

Name SAP SRM PPS: Manager SAP SRM PPS: RFx Respondent SAP SRM PPS: Employee SAP SRM PPS: Procurement SAP SRM PPS: Requisitioning Technical Name /SAPPSSRM/MANAGER /SAPPSSRM/BIDDER /SAPPSSRM/EMPLOYEE /SAPPSSRM/PROCUREMENT /SAPPSSRM/REQUISITIONING

Roles for SAP SRM on One Client in SAP ERP

Name SAP SRM One Client: Invoice Verification Clerk SAP SRM One Client: Supplier Technical Name /SAPSRM/1C_INVOICER /SAPSRM/1C_SUPPLIER

Roles for Supplier Self-Services

Name SAP SRM SUS: Administrator Purchaser SAP SRM SUS: Administrator Supplier SAP SRM SUS: Bidder SAP SRM SUS: Dispatcher SAP SRM SUS: Invoicing Party SAP SRM SUS: Manager SAP SRM SUS: Order Processor SAP SRM SUS: Supplier Screener Technical Name /SAPSRM/SUS_ADMIN_PURCHASER /SAPSRM/SUS_ADMIN_SUPPLIER /SAPSRM/SUS_BIDDER /SAPSRM/SUS_DISPATCHER /SAPSRM/SUS_INVOICER /SAPSRM/SUS_MANAGER /SAPSRM/SUS_ORDER_PROCESSOR /SAPSRM/SUS_ROS_PROCESSOR

Name SAP SRM SUS: Scheduling Agreement Release Processor SAP SRM SUS: Service Agent SAP SRM SUS: Central Service Entry Clerk

Technical Name /SAPSRM/SUS_SAR_PROCESSOR /SAPSRM/SUS_SERVICE_AGENT /SAPSRM/SUS_SERVICE_MANAGER

3.4.2 Roles for SAP Enhancement Package 2 for SAP SRM 7.0
The following sections describe the PFCG roles that are new in SAP enhancement package 2 for SAP Supplier Relationship Management 7.0 (SAP SRM 7.0). These roles are intended to be used when all business functions are activated. If you do not use all business functions, you must make changes to the content of the roles. For more information, see Important Information About Roles in Enhancement Packages. Roles that are not listed here have not been changed for the enhancement package. You can find the documentation for the unchanged roles under Roles for SAP SRM 7.0. If you do not activate any business functions, you can use the SAP SRM 7.0 roles.

Recommendation
We recommend that you do not assign two versions of the same role to one user. For example, do not assign/SAPSRM/OP_PURCHASER_EHP1 and /SAPSRM/OP_PURCHASER_EHP2 to the same user.

Note
For roles containing transaction codes for an SAP ERP system, the authorizations are not assigned automatically. Only when you edit a role using transaction PFCG in the SAP ERP system does the system assign default authorizations for these transaction codes. You can then change the authorizations according to your needs.

Roles for SAP SRM

Name SAP SRM: Operational Purchaser SAP SRM: Strategic Purchaser Technical Name /SAPSRM/OP_PURCHASER_EHP2 /SAPSRM/ST_PURCHASER_EHP2

3.5 Enterprise Services for Cross-System Data Exchange

You can use either PI-based enterprise services or PI-independent enterprise services for asynchronous communication between SAP Supplier Relationship Management (SAP SRM), SAP ERP, and other systems.

Features
PI-Based Enterprise Services
PI-based enterprise services require the installation of an SAP NetWeaver Process Integration (SAP NetWeaver PI) server and are used in the following business scenarios: Service Procurement Classic Service Procurement External Staffing Strategic Sourcing Operational Contract Management SOA SAP SRM .

Plan-Driven Procurement with Supplier Integration For more information, see SAP Help Portal at http://help.sap.com

PI-Independent Enterprise Services

PI-independent (asynchronous) enterprise services are based on the Web Service Reliable Messaging (WSRM) protocol. They do not require the installation of an SAP NetWeaver Process Integration (SAP NetWeaver PI) server and are used in the following business scenarios: Service Procurement Classic Operational Contract Management

Note
The following restriction applies: supplier self-services (SUS) still requires the installation of SAP NetWeaver PI. For more information, see PI-Independent Enterprise Services.

3.5.1 PI-Independent Enterprise Services

SAP Supplier Relationship Management (SAP SRM) provides a number of PI-independent enterprise services. These are based on the Web Service Reliable Messaging (WSRM) protocol. WSRM enables point-to-point communication between SAP Business Suite applications for asynchronous enterprise services with compatible signatures. If you use WSRM, communication between the platform components no longer requires the installation of an integration server, such as SAP NetWeaver Process Integration (SAP NetWeaver PI).

Integration
All enterprise services listed below support both the WSRM protocol and the SAP NetWeaver PI 3.0 protocol. For more information about the enterprise services, see SAP Help Portal at http://help.sap.com SOA SAP SRM . This function is used in the Service Procurement and Contract Management business scenarios.

Note
The following restriction applies: Supplier self-services (SUS) still requires the installation of SAP NetWeaver PI.

Prerequisites
You have performed the configuration steps as described in SAP Solution Manager under name> Configuration SAP SRM <release> <project Basic Settings for SAP SRM Flexible Deployment Variants PIIndependent Services . You have activated the business function Improvements for SOA Reuse Functions (FND_SOA_REUSE_1) and you have defined settings in Customizing under Cross-Application Components Processes and Tools for . Enterprise Applications Enterprise Services Point-to-Point Enablement for Asynchronous Enterprise Services The business function SRM, PI-Independent Enterprise Services (SRM_WSRM_1) is then automatically activated.

Features
The services provided by SAP SRM that support the WSRM protocol can be grouped as follows:

WSRM for Point-to-Point Communication

The following enterprise services use the WSRM protocol for point-to-point communication only: PurchaseOrderERPContractReleaseNotification_In PurchaseRequestERPSourcingRequest_In PurchaseRequestERPSourcingConfirmation_Out RFQRequestSUITERequest_In RFQRequestSUITEConfirmation_Out PurchaseOrderERPRequest_Out_V1 PurchaseOrderERPConfirmation_In PurchasingContractERPRequest_Out_V1 PurchasingContractERPConfirmation_In PurchasingContractSRMReplicationConfirmation_In SupplierInvoiceSUITEContractReleaseNotification_In AuctionSRMReplicationConfirmation_In AuctionSRMReplicationRequest_In AuctionSRMReplicationConfirmation_Out AuctionSRMReplicationRequest_Out RFQRequestSRMBidderEnrollmentRequestConfirmation_In RFQRequestSRMBidderEnrollmentRequestConfirmation_Out RFQRequestSRMReplicationConfirmation_In RFQRequestSRMReplicationConfirmation_Out RFQRequestSRMReplicationRequest_In RFQRequestSRMReplicationRequest_Out SupplierQuoteSRMAwardNotification_In SupplierQuoteSRMAwardNotification_Out SupplierQuoteSRMCancellationRequest_In SupplierQuoteSRMCancellationRequest_Out

SupplierQuoteSRMConfirmation_In SupplierQuoteSRMConfirmation_Out SupplierQuoteSRMRequest_In SupplierQuoteSRMRequest_Out

WSRM for Point-to-Point Communication with In-Application Sequencing

These are services using the WSRM protocol for point-to-point communication and to simulate the Exactly Once In Order (EOIO) handling of SAP NetWeaver PI with the in-application sequencing feature of the reuse layer. EOIO describes the quality of service of a message. Messages with the same queue name are delivered in the same order in which the sender sent them. The following enterprise service uses the WSRM protocol for point-to-point communication with inapplication sequencing: PurchasingContractSRMReplicationRequest_Out

3.6 Getting Started

This section explains how to begin using the SAP Supplier Relationship Management (SAP SRM) application in the SAP NetWeaver Portal.

3.6.1 User Self-Registration

Through self-registration, a user can log on and work with the SAP Supplier Relationship Management (SAP SRM) application that is running within SAP NetWeaver Portal. User self-registration provides business users with the capability to create the required portal user, SAP SRM server user, and business partner within a selected organizational unit. The business user has access to an operational user for his or her daily work while the administrator tracks and manages active user accounts.

Activities
On the logon screen, choose Register Now and enter your user details.

3.6.2 Logging On
You access SAP Supplier Relationship Management (SAP SRM) from the SAP NetWeaver Portal that runs in a Web browser. Depending on administrator configurations, one of the following scenarios occurs once you have launched your portal: Options for Accessing the Portal

Option Portal for Anonymous Users User and Password

Description If your portal supports anonymous users, you see a portal that displays content approved for anonymous users.

If your portal does not support anonymous users (default setting), the portal Welcome screen opens. You can log on to the portal with the user name and password you have received from the administrator.

Single Sign-On (SSO)

If your administrator has properly set up your portal for client authentication, you can log on using a client certificate. If the certificate has not been mapped to your user ID, you need to map it the first time you log on to the portal.

Procedure
Logging Off
To end your portal session, we recommend clicking Log Off, and not simply closing your browser. Closing the browser leaves the portal still working until it times out.

Note

If you are in the portal as an anonymous user, you do not see a Log Off link. In this case, close the browser to end your portal session.

3.7 Technical Scenarios

SAP Supplier Relationship Management (SAP SRM) is a solution that you can implement in a heterogeneous system environment that includes SAP systems and other Enterprise Resource Planning (ERP) back-end systems. You must have the components Financial Accounting and Controlling in your system environment. There are different business scenarios that you can apply, depending on your role as a user and the kind of business you wish to conduct using SAP SRM. You can deploy each of these business scenarios using one of three different technical scenarios listed below.

Note
The scenario you choose depends on the system in which your purchasing department wants to work and, consequently, where you want the follow-on documents to be created.

Features
Classic Scenario The shopping cart is created and approved in the SAP SRM system. The remainder of the procurement process takes place in the back-end ERP system(s), and all other follow-on documents, such as the purchase order, goods receipt or service entry sheet and invoice, are located there. With SAP Supplier SelfServices, you have supplier involvement for the operational procurement business scenarios. Extended Classic Scenario The shopping cart is created in the SAP SRM system. The purchase order and follow-on documents are also created there and then replicated to the back-end system. The purchase order in the SAP SRM system is the leading purchase order and cannot be changed in the back-end system. Goods receipts and invoices can be pre-entered in the SAP SRM system or entered directly in the back-end system. With SAP Supplier Self-Services, you have partial supplier involvement for all your operational procurement scenarios. In these scenarios, you have supplier involvement for the purchase order and the purchase order response. Standalone Scenario The shopping cart and purchase order are processed directly in the SAP SRM system. You have no materials management functions in your ERP system and, instead, use those in SAP SRM for all procurement processes. The final invoice is sent to a back-end accounting system. With SAP Supplier SelfServices, you have complete supplier involvement for all your operational procurement scenarios.

Note
You can also run these scenarios in parallel. To do this, choose on the basis of the product category how you want the goods or services to be processed. This suits customers who already have a productive materials management back-end system, but wish to handle the procurement of some supplies locally and others within the back-end system. This makes sense, for example, if you have already defined a communication interface, such as EDI, to a particular supplier. To do this, you must define the back-end system you wish to use for each product category by making the relevant settings in Customizing for SAP SRM under SRM Server Technical Basic Settings Define

Backend System for Product Category . If you wish to use different rules, you define them using the Business Add-In (BAdI) BBP_DETERMINE_LOGSYS. The following table gives an overview of the differences between each of these scenarios in terms of where the main processes occur: Technical Scenarios Process Shopping Cart Approval Purchase Order SAP SRM System Back-end system SAP SRM System SAP SRM System (leading system) and back-end system Goods Receipt Back-end system (can be pre-entered in SAP SRM System) Invoice Back-end system (can be pre-entered in SAP SRM System) Back-end system (can be pre-entered in SAP SRM System) Back-end system (can be pre-entered in SAP SRM System) SAP SRM System (accounting information sent to back-end system) SAP SRM System SAP SRM System SAP SRM System Classic SAP SRM System Extended Classic SAP SRM System Standalone SAP SRM System

More Information
Settings for the Purchase Order in the Extended Classic Scenario Synchronization with the Back End

3.8 SAP SRM on One Client in SAP ERP

The above deployment option allows SAP ERP customers to run SAP Supplier Relationship Management (SAP SRM) on the same client as their ERP application. The following SAP SRM scenarios are available: Service Procurement Self-Service Procurement (classic scenario) Strategic Sourcing with RFx Strategic Sourcing with Live Auction Catalog Content Management Plan-Driven Procurement with Supplier Integration <project name> Configuration SAP SRM

Implementation Considerations
For more information, see SAP Solution Manager under <release> One Client Basic Settings for One Client

Constraints
The deployment option SAP SRM on one client in SAP ERP cannot be used for all SAP SRM business scenarios, nor are all functions supported as described in the SAP SRM documentation. For exact information on what scenarios and functions are supported for SAP SRM on one client in SAP ERP, see SAP Note 963000.

3.9 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 Operational Contract Management Strategic Sourcing with RFx

Prerequisites
You can use the harmonized processes under the following conditions: You are using the classic scenario. Your back-end system is SAP enhancement package 4 for SAP ERP 6.0 or higher. In Customizing for SAP ERP, you have activated the release-specific version of business function Procurement SRM Integration. For example, in SAP enhancement package 4 for SAP ERP 6.0, activate business function Procurement SRM Integration(LOG_MM_P2PSE_1). In SAP enhancement package 5 for SAP ERP 6.0, activate business functionProcurement SRM Integration 2 (LOG_MM_P2PSE_2). You have installed the release-specific version of Business Package for Buyer and Business Package for Common Parts. For example, if you are using SAP enhancement package 4 for SAP ERP 6.0, you have installed Business Package for Buyer 1.4 and Business Package for Common Parts 1.4 If you are using SAP enhancement package 5 for SAP ERP 6.0, you have installed Business Package for Buyer 1.5 and Business Package for Common Parts 1.5. You are using SAP SRM 7.0 or higher, and in Customizing for SAP Supplier Relationship Management you have defined the SAP systems belonging to your SAP Business Suite system landscape under SRM Server Technical Basic Settings Define System Landscape . You are using either the SAP NetWeaver Portal or the SAP NetWeaver Business Client as a single point of entry for users working with the harmonized scenarios running in SAP SRM and SAP ERP. For more information about the SAP NetWeaver Portal and the SAP NetWeaver Business Client, see SAP Help Portal athttp://help.sap.com under SAP NetWeaver SAP NetWeaver <release> Library SAP Library Getting Started Using SAP Software Getting Started .

Features
The following functions are fundamental to the integration of procure-to-pay within the SAP Business Suite:

Harmonized Roles in SAP ERP and SAP SRM

Operational purchasers and strategic purchasers who work with purchasing documents in both SAP ERP and SAP SRM can be assigned harmonized roles.

Using the Operational Purchaser (ERP/SRM) and Strategic Purchaser (ERP/SRM) roles, users have a single point of access to Personal Object Worklists (POWLs) and to services that allow them to create and process purchasing documents in either SAP SRM or SAP ERP. For each role, SAP offers two variants: SAP ERP and SAP SRM Systems The purchaser or strategic purchaser is working with procurement documents in one or more SAP ERP systemsand in an SAP SRM system. For this purpose, you use the roles Operational Purchaser (ERP/SRM) andStrategic Purchaser (ERP/SRM). Several SAP ERP Systems The purchaser or strategic purchaser is working with procurement documents in several SAP ERP systems, butnot in an SAP SRM system. For this purpose, you use the roles Operational Purchaser (ERP) and Strategic Purchaser (ERP).

Central Contract
Central contracts are available as sources of supply in all connected SAP Business Suite systems. A central contract is negotiated by a central purchasing organization and can then be used as a source of supply by all authorized purchasing organizations. For more information, see Central Contracts.

Integrated Sourcing
From SAP ERP purchase requisitions, you can start the process of RFx creation in SAP SRM. Purchase requisitions can be transferred from SAP ERP to SAP SRM in two ways: Automatically, based on various business criteria Manually, by the user

The entire process is transparent to users, provided they have been assigned the harmonized role Operational Purchaser (ERP/SRM). In SAP ERP, users can display status information about the progress of the sourcing process within SAP SRM.

Note
The above information applies to both material items and service items. For more information, see SAP Help Portal at http://help.sap.com under Component Logistics Materials Management (MM) Purchasing (MM-PUR) PUR-SQ) Source Determination Assigning Requisns. to Sources/Further Processing SAP ERP Central Manual Sourcing

Optimized Purchasing (MM-

Service Procurement
You can use the SAP SRM sourcing application to find sources of supply for service requirements that were created in SAP ERP materials management and have a hierarchical structure. Purchase orders and contracts can be created in SAP ERP, based on the RFx in SAP SRM. In addition, the supplier selfservices (SUS) component allows suppliers to create service entry sheets and invoices for the services performed. For more information, seeHierarchies.

Enterprise Services
Enterprise services provided by SAP are used for integrating procurement processes between SAP ERP and SAP SRM as of SAP Business Suite 2008. Enterprise services are available in the sourcing, service procurement, and contract management areas, for example. This allows for flexible deployment and facilitates integration of partner or third-party tools. For more information, see http://esoadocu.sap.com SAP Supplier Relationship Management .

3.10 Reports
There is a range of reports that you can run in the SAP SRM system. To access these reports, select System Services Reporting , or use the transaction SA38, and enter the technical name of the report as outlined in the tables below.

Features
The following table describes the general SAP SRM reports available to you: Function Update requirement coverage requests Report Name BBP_GET_STATUS_2 Description You should schedule this report to run daily in the SAP SRM system, so that information on the status of purchase requisitions, purchase orders, and reservations is up-to-date. For more information, read the report documentation. Update/synchronize SAP SRM document based on/with follow-on documents or back-end documents CLEAN_REQREQ_UP The report clears the entries in table BBP_DOCUMENT_TAB where specific documents are registered. You use this report if the documents have been changed in some way and need to be processed again. For example, the status of an invoice has to be updated in case the transfer of the invoice to the back-end system was successful. At the interval defined by you in Customizing, the system checks whether the documents have been updated and whether you can further process the documents. (The system reads the system tableBBP_DOCUMENT_TAB). Note: If you have defined an interval in Customizing, you have to delete the entry. (It is not sufficient to set the interval to zero.) Immediate update check BBP_GET_CURRENCY and BBP_GET_EXRATE BBP_CLEANER This program schedules a job to execute the reportCLEAN_REQREQ_UP, which is run immediately in the background. Currencies and exchange rates To ensure that the currencies and exchange rates in the SAP SRM System match those in the back-end system, you

Function

Report Name

Description must schedule both reports. You must run these reports each time that the currencies and exchange rates are changed in the back-end system.

Evaluated receipt settlement

BBPERS

If you use Evaluated Receipt Settlement for local purchase orders with existing confirmations, you must start this report. This executes the settlement. See Evaluated Receipt Settlement (ERS).

Synchronize invoice status

BBP_IV_UPDATE_PAYMENT_STATUS

You can use this report to synchronize the status of invoices in SAP SRM with the status in the back-end system. If an invoice in the back-end system has the statusPaid, the status in SAP SRM is adjusted; that is, the status changes from Approved to Paid. Note that invoices in SAP SRM with the status Paid cannot be canceled.

Check goods receipt for XML invoices

BBP_IV_AUTO_COMPLETE

This report checks for XML invoices with the status Waiting for Preceding Document, and whether appropriate documents have been posted in the meantime, and then attempts to post the relevant invoice.

Check purchasing contract data

BBP_CONTRACT_CHECK

You can use this report independently of SAP BI to check purchasing contracts. You might want to identify those contracts whose validity is about to end, those for which release quantity is approaching target quantity, or those for which release value is approaching target value, for example. In SRM Alert Management, you may need to trigger events for alerts and messages for contracts.

Replicate purchasing contracts to APO system

BBP_APO_CONTRACT_UPLOAD

You can use this report to transfer purchasing contracts (for example, purchasing contracts of a certain purchasing organization) to a connected SAP Advanced Planning and

Function

Report Name

Description Optimizer system.

Transform contracts

BBP_TRANSFORM_CONTRACT

This report transforms contracts that were created in SAP SRM releases prior to 3.5 (in SAP CRM tables) into SAP SRM tables.

Improve performance in the organizational plan

RHBAUPAT

The report carries out inheritance of attributes and saves the attributes so that they can be accessed directly. You can schedule the report to run every night.

Consistency check for organizational plan

BBP_CHECK_CONSISTENCY

You can use this report to check the consistency of the organizational plan as well as the user attributes for the individual applications.

Synchronize business partner data

BBP_VDSYNC_CUST

This report synchronizes data of business partners with the data in the back-end system. If a business partner is created or changed in the back-end system, the data is transferred automatically. You can make the settings for the synchronization in Customizing forSAP Supplier Relationship Management under SRM Server Technical Basic Settings . Settings for Supplier Synchronization

Change standard communication method of external business partners

BBP_UPDATE_PARTNER_PROT

This report allows you to carry out mass changes to the standard communication method for suppliers/bidders. This can be necessary when you change from RFCbased communication to SAP Exchange Infrastructure (XI), or when you incorporate a separate SRM system in a marketplace.

Forward work items to other mail clients Convert organizational units for vendors into vendor groups (only relevant for upgrade to SAP SRM 5.0 or

/SAPSRM/OFFLINEAPPROVALSEND

See Offline Approval

BBP_XPRA_ORGEH_TO_VENDOR_GROUP This report deletes all organizational units and organizational plans of the supplier from the internal organizational plan (transactionPPOMA_BBP) and groups these according to their attributes in new

Function higher)

Report Name

Description organizational objects (transactionPPOMV_BBP). If several suppliers (who were previously assigned to an organizational unit) have identical attributes, they are now assigned directly to a common supplier group. After an upgrade to SAP SRM 5.0 or higher, you must run this report in each client for each central organizational unit for suppliers (root organizational unit). This applies both to SAP SRM and to SUS (SAP Supplier Self-Services) systems.

Initial upload of contracts from SAP ERP to SAP SRM

BBP_CONTRACT_INITIAL_UPLOAD

You can use this report to upload the contracts and scheduling agreements from an SAP ERP system to an SAP SRM system.

Activate and reassign product category hierarchies

BBP_PCH_ACTIVATE_REASSIGNMENT

You can use this report to activate the function for reassignment of the product category hierarchies from the back-end system in your SAP SRM system. For more information, see SAP Solution Manager under SAP SRM Basic Settings for SAP SRM Cross-Application Settings Hierarchies Category Hierarchies Define Product .

Schedule reports to archive or delete transactional data

BBP_CONTRACT_MASS_UPDATE

You can schedule this report to archive and delete mass change work packages in the SAP SRM system. For more information, see SAP Solution Manager under <project name> Configuration SAP SRM <release> Settings for Contract Management Basic Display,

Delete, or Archive Mass Change Packages. Get SAP ERP Customizing Data for Business Suite /SAPSRM/GET_BS_DATA If you use Personal Object Worklists (POWLs) that allow you to access both SAP ERP and SAP SRM objects, you must schedule this report to replicate

Function

Report Name

Description data from SAP ERP to SAP SRM and make it available for the input help and dropdown lists of the POWLs. SeePersonal Object Worklist.

Replicate text mapping rules from SAP ERP

/SAPSRM/GET_TEXT_CUST_ERP

You must schedule this report to ensure that texts are transferred correctly between SAP ERP purchase requisitions and SAP ERP follow-on documents when the purchase requisitions are processed in SAP SRM sourcing. See Notes.

The following table describes the shopping cart reports available to you in the SAP SRM system. Function Report Name Monitor shopping cart status BBP_BW_SC2 You can use this report to monitor shopping carts that are erroneous, or that have not been processed for a long time. You can search for shopping carts using the following criteria: Evaluate shopping carts per cost center BBP_BW_SC4 Request date Shopping cart name Status You can choose how the search results are displayed. You can: Use the default layout Define your own layout, assigning a name Display all existing fields (No layout loaded) Description

Professional purchasers can use this report to evaluate shopping carts per cost center using the following search criteria: Posting date of a transaction Cost center Requester You can choose how the search results are displayed. You can: Use the default layout Define your own layout, assigning a name Display all existing fields (No layout loaded)

Evaluate shopping carts per product

BBP_BW_SC3

Professional purchasers can use this report to evaluate shopping carts per product using the following search criteria: Posting date of a transaction Catalog Product category Product Description

Function

Report Name

Description

Status You can choose how the search results are displayed. You can: Use the default layout Define your own layout, assigning a name Display all existing fields (No layout loaded)

5. Master Data
All master data is available locally in the SAP Supplier Relationship Management (SRM) system. This data includes, for example, product master records, business partner master records, and product categories. You copy the master data from the back-end system to SAP SRM.

Note
In SAP SRM, both materials and services are stored as products. However, you can distinguish materials from services by the product type. Product categories correspond to material groups in the SAP back-end system. Business partner master records correspond to supplier master records in the SAP back-end system.

Prerequisites
If the SAP SRM system communicates with an SAP back-end system, the length of the product ID has been restricted to a maximum of 18 characters. This should be the case even if the products are created locally, and not replicated from the back-end system. If you assign a product ID with more than 18 characters, a different number (with a maximum of 18 characters) has to be assigned in the back-end system. You have applied the delivered Business Add-Ins (BAdIs) to make sure that product IDs are unique across all systems. See Customizing: Cross-Application Components SAP Product Enhancements Influence Internal Number Assignment and Influence External Number Assignment.

Caution
If these recommendations are not observed, you could have mismatched product or material numbers between your back-end, SAP SRM, and other systems.

More Information
For information about the replication of supplier master records, see Manage External Business Partners. For information about the replication of material and supplier master records in the product master, see SAP Solution Manager under SAP SRM 2007 Basic Settings for SRM Master Data Replication , choose the Configuration tab and open the document Replication of Materials from SAP Backend Systems. For information about product categories, see Product Categories For more information about SRM-MDM Catalog, see SAP Help Portal at http://help.sap.com Supplier Relationship Management SAP Catalog Content Management SRM-MDM Catalog 2.0 . SAP

5.1 Product Categories

You can create or replicate product categories manually in the back-end system. When you create product categories, you can either manually configure the source system for the product category or select it using the search help. In the following Customizing activities, you can access the search help for the source system: Supplier Relationship Management SRM Server Technical Basic Settings Define Backend System for Product Category

Supplier Relationship Management Assignment Supplier Relationship Management Supplier Relationship Management

SRM Server SRM Server SRM Server

Cross-Application Basic Settings

Account

Define G/L Account for Product Category and Account Assignment Category Cross-Application Basic Settings Define Objects in the Sourcing Define Sourcing for Product Categories

Backend System (Purchase Requests, Reservations, Purchase Orders)

Activities
In the back-end system, use the transaction COMM_HIERARCHY to create new product hierarchies and product categories .

5.2 Product Category Hierarchies and Supplier Hierarchies

You can use hierarchies to group together related product categories and suppliers, making them easier to find and report on. SAP Supplier Relationship Management (SAP SRM) has three types of multilevel hierarchy: Product category hierarchies Supplier hierarchies Central contract hierarchies Central contract hierarchies are specific to central contract management and are described separately underCentral Contract Hierarchies.

Prerequisites
You have activated each type of hierarchy in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Activate Hierarchies for Product Categories, Suppliers, and Contracts . You have made all necessary configuration settings for the relevant hierarchy types in SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM Cross-Application Settings Hierarchies .

Features
You can use product category hierarchies and supplier hierarchies for reporting within SAP NetWeaver BI. To access the reports, go to the SAP NetWeaver documentation in SAP Help Portal at http://help.sap.com SAP NetWeaver SAP NetWeaver <release> Library SAP Library NetWeaver Library SAP NetWeaver by Key Capability Information Integration: Key Areas Supplier Relationship Management Product Category Hierarchies Product category hierarchies provide the following: Extended search of product categories Import of product category hierarchies into the SAP SRM system, for example: o o o Back-end material categories from SAP ERP Standard product category hierarchies (such as UNSPC, eClass) Customer-defined product categories Contract Management . SAP

BI Content

For information about importing external product category hierarchies, see SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM CrossApplication Settings Hierarchies Define Product Category Hierarchies . Automatic determination of supply sources During the sourcing process, the system selects all sources of supply that are assigned to the product category of a contract item or a supplier list entry. If no source of supply can be selected from the product category, the next superordinate product category level in the product category hierarchy is used. Supplier Hierarchies Supplier hierarchies provide the following: Structure and model of supplier relationships In the back-end system, use transaction BPH to structure and model supplier relationships (for example, you have a superordinate supplier and want to assign dependent, local subsidiaries to it). For more information about how to use transaction BPH, see SAP Help Portal at http://help.sap.com SAP Business Partner (SAP BP) Hierarchy upload and download Import of external supplier hierarchies into the SAP SRM system You can import external data sources, such as D&B family trees or your own existing supplier categories. This means that you can incorporate the latest market information into your supplier hierarchies. For example, new mergers and acquisitions in the supply base can immediately be taken into consideration in reporting. For information about importing external supplier hierarchies, go to SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM Cross-Application Settings Hierarchies Define Supplier Hierarchies . SAP ERP SAP ERP Central Component Concepts Cross-Application Components . Business Partner Group Hierarchy

5.3 Business Partners

SAP Supplier Relationship Management (SAP SRM) uses the SAP business partner concept. An internal or external business partner is created in SAP SRM for every person, organization, or group of people that could be involved in a business transaction, such as a bid invitation or a purchase order. Within the context of business transactions, business partners can adopt various partner functions, as long as they have fulfilled the relevant requirements. Business partners aggregate the master data of a person, organization, or group of people.

Prerequisites
The organizational structure exists. See SAP Solution Manager SAP SRM <release> Basic Settings for SAP SRM Organizational Structure Define Organizational Structure . <project name> Configuration Organizational Management User Management

The business partner functions have been created in partner processing. Here you can enter your own description for the partner function, within a partner function type. These texts are then displayed in the appropriate documents of a business transaction. For more information, see Customizing for SAP Supplier Relationship Management under Server Cross-Application Basic Settings Define Partner Functions . SRM

Features

A dynamic structure of partner functions is defined for the different business transactions in SAP SRM. For example, an internal employee can adopt the partner function Requester or Goods Recipient, when creating a shopping cart. The system automatically performs a semantic and syntactic check of data entered in partner processing. Among other things, the system checks whether the business partner may adopt the assigned partner function. Through the partner function, the corresponding business partner is assigned to the relevant documents of the business transaction. See also Addresses. External Business Partners The following table lists the partner functions for external business partners: External Business Partner Functions External Business Partner Function Bidder Supplier Contact person Ship-from address Company that can submit bids in response to a bid invitation Business partner from whom goods and services can be obtained Specific contact person from the bidder or supplier company Outbound delivery address of the company from where the goods are shipped Invoicing party Business partner that sends the invoice Description

Note
During invoice creation, you can enter an invoicing party that differs from the supplier. The invoicing party is a mandatory partner function. If you do not enter an invoicing party, the system uses the supplier. When you create a supplier or bidder, you can also define a contact person. A user is then created for the contact person in SAP SRM in the Maintain User transaction (SU01). The user ID and password are then sent to the contact person via e-mail. For every employee of a supplier or bidder, a contact person can be created in addition to the business partner for that company. Internal Business Partners The following table lists the partner functions for internal business partners: Internal Business Partner Functions Internal Business Partner Function Requester Employee in a company that requests a requirement. A requirement coverage request can also be created on behalf of another employee. Purchasing company Goods recipient Ship-to address Company that uses SAP SRM for procurement Employee in a company that confirms goods receipt or performance of service Address of a company to where the goods are delivered Description

Internal Business Partner Functions Internal Business Partner Function Invoice recipient Location Business partner to whom the invoice is sent Business partner that represents a delivery address or a plant in the back-end system Employee responsible Employee in the company who is responsible for the contract Description

Internal business partners, with the exception of locations, are created for an organizational unit or an employee in the organizational structure. When a business partner is created for an employee, this business partner is assigned to the relevant organizational unit within the organizational structure. A relationship is defined between the employee business partner and the business partner of the associated organizational unit. For example, when you create a sales employee's business partner, the employee relationship to the business partner of the organizational unit SALES is defined. The employee relationship includes the employee's business address that is used when goods are delivered, for example.

5.3.1 Locking of Business Partners

You can use this function to lock business partners for whom you want to suspend or terminate your business relationship. Locking a business partner means that you can no longer create procurement documents (shopping carts, purchase orders, auctions, or RFx, for example) in respect of this business partner. You have to end all procurement transactions before you can select the lock checkbox. Before you save the lock checkbox, the system displays a list of all affected procurement documents. You can branch to the detail view of the individual documents. You can archive a supplier after you have locked it.

Prerequisites
You have one of the following roles: SAP SRM: Strategic Purchaser (/SAPSRM/ST_PURCHASER_EHP1) SAP SRM: Administrator (/SAPSRM/ADMINISTRATOR_EHP1)

Activities
To lock a supplier, select the Central Lock checkbox in business partner maintenance. To delete the lock, deselect the Central Lock checkbox. To archive a supplier, select the Archiving checkbox in business partner maintenance.

5.3.2 Business Partner Change Monitor

Business Partner Change Monitor in SRM Server
You can use this function as a purchaser to check changes made to supplier master data. Master data changes can reach the SAP Supplier Relationship Management (SAP SRM) system in two ways: Suppliers change their own data in supplier self-services. Purchasers change supplier data in business partner management in SRM Server.

New supplier master data can reach the SAP SRM system in the following ways: You have created a supplier master record manually in the SRM Server. You have transferred a supplier from the Supplier Directory to the SRM Server.

You can transfer the changes automatically to the appropriate back-end system, provided that the supplier already exists in the back end.

Busines Partner Change Monitor in Supplier Self-Services

To use this function, you must activate the business function SRM, Supplier Collaboration (SRM_SUCO_1). The following Customizing activity is relevant: Collaboration Supplier Self-Registration SAP Supplier Relationship Management Supplier Activate/Deactivate Supplier Self-Registration . If you have

activated this Customizing switch, the Business Partner Change Monitor is also available in supplier selfservices. It displays the changes that suppliers have made to their own data.

Restrictions

Caution
Note the following restrictions for both, the Business Partner Change Monitor in the SRM Server and in supplier self-services: Data specific to SAP SRM, such as the purchasing organization, or data specific to SAP ERP, for example, FI data, are not transferred from the Business Partner Change Monitor. You can use the transfer function for general master data, for example telephone numbers, or e-mail addresses. You cannot transfer more than one additional address to the back-end system.

Activities
Activities in SAP SRM
In the SRM Administration work center, workset Application Monitors, select the Business Partner Change Monitor. To transfer the changes to the back-end system, select a business partner and click Transfer Changes to Backend.

Activities in Supplier Self-Services

The following activities apply if you have activated the business function SRM, Supplier Collaboration(SRM_SUCO_1).

Prerequisites
You have activated the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG).

Activities
In the Application Monitors work center in supplier self-services, select the Business Partner Change Monitor. To transfer the changes to the back-end system, select a business partner and click Transfer Changes to Backend. If you do not want to transfer the changes to the back end, and you want to delete them in supplier selfservices, click Delete.

5.4 User and Employee Data

The system administrator can use this function to maintain the personal, position, and user account data of an employee. The system administrator can also use this function to preconfigure user self-registration as follows: Create the first users and define them as managers Manage the user master records of employees working within the company

Internal and external employees can use the self-service application to request users and enter their personal data.

Prerequisites
You have configured the organizational plan in SAP Solution Manager under Configuration SAP SRM <release> Basic Settings for SAP SRM Management Organizational Structure Management under Create Organizational Plan . SAP Business Partner . Business Partner Basic Business Partner Basic <project name> User Organizational Management

You have maintained the business partner number ranges in Customizing for SAP Supplier Relationship Cross-Application Components Settings Number Ranges and Groupings Define Number Ranges Managementunder Cross-Application Components

You have defined the business partner groupings in Customizing for SAP Supplier Relationship SAP Business Partner Settings Number Ranges and Groupings Define Groupings and Assign Number Ranges . Check whether group 0001 exists and create it, if necessary. This group must use an internal number assignment (that is, a number range must be assigned). Make sure that at least one standard group is defined. Number ranges for address management have been set up in Customizing: Server Application Server Basis Services Range. Address Management

SAP Web Application

Maintain Address and Person Number

SAP Business Partner integration with Organizational Management has been set up in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Integration Business Partner-Organizational Management Set Up Integration with Organizational Management .

A corresponding business partner has been created for each node in the organizational plan in Customizing forSAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Integration Business Partner-Organizational Management Organizational Units and Persons with Business Partners . Match Up

Features
Create, copy, or change employee data Delete employee data and corresponding user account Assign or unassign an employee or user account

Note

You cannot delete employees and their user accounts if they are involved in open transactions. When you delete an employee, the system also deletes the user account. If HR integration is not active and the option Delete employee with positions is selected, the positions are deleted as well.

Activities
Personal Personal data is a combination of name and title of an employee. These details are required when you create a new employee master record. You maintain them on the application header. Position Position data comprises basic and address data. In Basic Data, you assign an organizational unit when you create an employee. If you have already maintained this organizational unit in the organizational plan, the system automatically adopts the appropriate parameter setting for the user. If the employee is a department head, select the department(s) under Department Head of. If the employee is a purchaser in a purchasing group that is not in his own department, you can specify the purchasing group in the field. User Account User account data contains standard settings, extended settings, and role assignment information. Enter the User ID and E-Mail address for the employee in the standard settings. You can enter a password for the user, if required. The password is deactivated by default and logon is only possible through the portal. You can make additional settings as required.

5.5 Addresses
You can create and manage addresses for a business partner. Purchasers can edit addresses for suppliers (external addresses). The system administrator can edit addresses for your own company (internal addresses) and for external business partners (external addresses). Suppliers can edit their own addresses.

Prerequisites
You have created address types and partner functions in the SAP Supplier Relationship Management (SRM) system and you have assigned business transactions to the address types. You can only set the ship-to address or invoice recipient address for companies, that is, business partners for whom the attribute IS_COMPANY is set in the master data. This applies to independent legal entities. For example, subsidiary companies.

Features
All addresses and address types are saved with the business partner. You can only add standard addresses to the system using master data maintenance. For more information, see Manage External Business Partners. If no additional address is available for a business partner, the system uses the standard address. You can define an ordering address, a ship-from address, or an invoicing party address as default. These do not replace the standard address. The standard address should not be changed. You can enter an address in the business document that differs from that in business partner master data and use the c/o field for the alternative name of the business partner. This address is only used once for the current transaction and is not saved in the master data.

If you want to use an address for a business partner on a long term basis that does not exist in the master data, you should enter the address in business partner maintenance. You should enter the alternative name in the c/ofield and enter further data in the other address fields. Later, you can assign this address to a business document using the search help.

Activities
Purchasers can set the following addresses and defaults for suppliers or for themselves: Ordering address Ship-from address Invoicing party address

System administrators can set the following addresses and defaults for their own company (purchasing side): Ship-to address Invoice recipient address

5.6 Revision Level Display

The revision level to which materials have been assigned in SAP ERP can also be displayed in the SAP SRM system. If different revision levels are available for a material replicated from SAP ERP, you can choose between them in the SAP SRM business objects.

Integration
This function is mainly used in the business scenario Plan-Driven Procurement with Plant Maintenance.

Prerequisites
You are using SAP ERP 2005 Support Pack 9 or higher The product type of the product for which you want to display the revision level is Material The product ID has been replicated from SAP ERP You are using a homogenous system landscape, that is, the revision level for the product is the same in all connected backend systems

Activities
You activate the Revision Level field from SAP ERP in Customizing for SAP Supplier Relationship Managementunder (Personalization) Shopping cart Purchase order Purchase order response Confirmation Invoice Central contract RFx RFx response Auction SRM Server Cross-Application Basic Settings Extensions and Field Control Configure Field Control Configure Control for Fields on Item Level . Revision level

activation is available for the following business objects:

Example

To activate the Revision Level field for the shopping cart, insert structure field name REV_LEV and Bus Obj TypBUS 2121 in the view /SAPSRM/V_MDF_IC and set the Visible and Enabled indicators.

6. Functions
This section contains functional descriptions for each area within SAP Supplier Relationship Management (SAP SRM). For specific configuration information for these areas, see the SAP Solution Manager.

6.1 Global Functions

This section explains functions that occur throughout SAP Supplier Relationship Management (SAP SRM). Even though the functions are normally used in similar fashion throughout the different SAP SRM areas, there are exceptions. The explanations in this section are provided as a general overview of the different functions. Transaction-specific details are described in the relevant documentation.

6.1.1 Advanced Search

You can use the advanced search in various SAP Supplier Relationship Management (SAP SRM) applications to search for documents. To do this, you can enter a range of search criteria, such as Number and Name of the document. If your organization uses the classic or the extended classic scenario and you have been assigned the Operational Purchaser (ERP/SRM) role or the Strategic Purchaser (ERP/SRM) role you can use the advanced search to find procurement documents in SAP SRM and in SAP ERP. In this case, the advanced search offers the same features and uses the same mechanisms as the Personal Object Worklist (POWL).

Prerequisites
For Restricting the Searched Objects
You use the authorization object BBP_ADVS to restrict the objects that business users can search for. This applies both to the objects that are part of the SAP standard and to customer-specific objects.

For Searching Across SAP Systems

To enable searching across SAP systems, you have done the following in Customizing for SAP Supplier Relationship Management: You have defined in which SAP systems you want to search for purchasing documents and whether you want to use the Embedded Search. You do this under SRM Server Technical Basic Settings Define System Landscape . You have specified the RFC destinations of the back-end systems (SAP ERP) where you want to search for purchasing documents. You do this under SRM Server Technical Basic Settings Define RFC Destinations to SAP ERP for Input Help .

You have listed the business objects that can be searched for and for which you want to enable the POWL-based search (see Customizing activity Define Default POWL Application for Advanced Search below). You do this under SRM Server Cross-Application Basic Settings POWL and Advanced Search Define . Object Types for Advanced Search

You have defined the default POWL layout that is displayed when users start the advanced search for a specific business object type. You have also defined which query is displayed by default and is used immediately for searching when users call the advanced search. You do this under SRM Server Cross-Application Basic Settings POWL and Advanced Search Define POWL Application for Advanced Search .

Features
Role Dependence
The advanced search provides various search criteria. The documents you can search for depend on the role assigned to you. For example, a user with the Operational Purchaser role can search for shopping carts, purchase orders, confirmations, purchase order responses, and incoming invoices. A user with the Strategic Purchaser role can search for the above objects and, in addition, for auctions, RFx documents, contracts, quota arrangements, and supplier lists.

Document Dependence
Depending on the type of document you want to search (for example, purchase order, auction, and so on), the search parameters change dynamically. For example, if in the Search For: field you select Auction, the system only displays parameters related to auctions, such as Auction Type. Similarly, if you select Incoming Invoice, the system dynamically displays the search parameters relevant for invoices, such as Invoice Number, Invoicing Party, and so on.

Editing from Results List

The result of your search is displayed as a list. By selecting the number of the document found, for example an invoice number, you can branch directly to that document and edit it.

6.1.2 Purchasing Documents

The following global functions are available for purchasing documents. Upload and Download of Purchasing Documents Output of Purchasing Documents Notes Attachments Output of Purchase Order Attachments Sending Purchasing Documents to External Business Partners Versions of Purchasing Documents Processing of Change Versions Features Available for Large Documents

6.1.2.1 Upload and Download of Purchasing Documents

In SAP Supplier Relationship Management (SAP SRM), a new format is available for editing purchasing documents that are downloaded to Microsoft Office Excel files. The format of the file allows you to easily add, edit, and delete the data locally, then upload the changes to the relevant purchasing document in the SAP SRM system. This feature is useful if you have many changes to make in a document at once and if you need to confer with colleagues on changes offline. You can download the following purchasing documents: Central contract Purchase order RFx RFx response Auction (purchaser view only)

Note
For more information, see SAP Note 1612239.

Integration
The function can be used with Microsoft Office Excel 2007 and upwards. Standard features, such as automatic filtering at row level and grouping are incorporated to optimize how you display data and navigate through the document.

Note
For earlier SAP SRM releases, a macro is required. For more information, see SAP Note 734060.

Prerequisites
You have done the following: Defined the settings for upload and download. For more information about the configuration, see SAP Solution Manager under SAP SRM Configuration Structures SAP SRM 7.0 EHP2 Basic Settings for SAP SRM Cross-Application Settings User Experience .

Note
If you require a file format, other than Microsoft Office Excel, you must create your own format. For more information, see SAP Solution Manager under SAP SRM Configuration Structures SAP SRM 7.0 EHP2 Basic Settings for Strategic Sourcing General Settings Set Up File Upload/Download. must do this before you download the document. Saved and closed the Microsoft Excel file after making changes. The downloaded document can be saved locally. . Created the relevant purchase document in the application and maintained the necessary details. You

Features

The following features support you in uploading and downloading data. They also allow for efficient management of purchasing data.

Exporting and Importing Data

You can export and import data in the following ways: Export and Import of Single Document When you open a purchasing document in display or edit mode, you can download its specific data by choosingExport and saving the file locally. After making changes to the downloaded excel file, it can be uploaded back to SRM purchasing document using Import.

Note
This feature is available for all purchasing documents mentioned above. Data Exchange You can select one or more files to download or upload by choosing Export or Import under Data Exchange in your personal object worklist.

Note
This feature is available for central contracts only. It allows you to make mass changes to multiple contracts simultaneously. When you upload the Microsoft Office Excel file to the system all the relevant documents are updated.

Editing Downloaded Content

The spreadsheet application consists of Header, Item, and Template worksheets. The Header and Item worksheets contain the data that is downloaded from the application. The Template worksheet provides you with the rows you need to create new entries for header and item data. You can use these worksheets as follows: Header and Item Rows that are blue represent fields in the application. Cells that are grayed out cannot be changed. All other cells can be edited. You can also filter the data and group related data entries together according to type. This is useful for finding the data you want to edit easily. The data that is available for editing in the Header and Item worksheets depends on the settings you define in Customizing. You can specify which fields on the user interface (UI) can be exported for editing.

Example
In the Header worksheet, add a new business partner by copying a PARTNERD row and pasting it under PARTNERH. Edit the data as required. In the Items worksheet, you can choose to add a new condition. You do this by copying a CONDITIOND row and pasting it under CONDITIONH and editing the data as required. Template If you want to create new header and item data, you can use the template worksheet to copy and paste the required rows into the Header and Item worksheets.

Example
You can create a new item by copying and pasting the rows ITEMH and ITEMD from the Template worksheet into the Items worksheet. You can then add partner data, a long text, conditions, and scales to the item details as required. Rows for the data are also available in the Template worksheet for you to copy. When you paste them under ITEMD, the item automatically becomes a group. The same process applies to editing theHeader worksheet. By copying and pasting the relevant rows from the template into the Header or Item worksheet, you can prepare the data that you want to later upload into the related purchasing document. You can download a document with only one item and add multiple items to it offline. This simplifies the creation of documents with numerous items and mass changes to large documents. Background processing is also supported in the case of large documents.

Restrictions
For more information about existing restrictions, see SAP Note 734946.

Example
You can export and import purchasing data in a central contract as follows: When you create or display an existing central contract in the SAP SRM system, you can choose Export to download the data and save it in a spreadsheet application file locally. When you open the file, three tab-separated worksheets are displayed. These are Header, Item, and Template. Make your changes and save the file locally. To import your changes, open the corresponding central contract in the SAP SRM system in edit mode. When you choose Import, you can browse to your saved file and upload it to the system. Your changed data is imported to the central contract in the SAP SRM system.

6.1.2.2 Output of Purchasing Documents

Using document output, users with the appropriate roles and authorizations can control the output of documents in their areas of responsibility. The SAP SRM server applications provide the following options: The Purchaser can output purchase orders and contracts. The Invoicer can output invoices and ERS credit memos. The Operational Purchaser and the Bidder/Supplier can output RFx documents (RFxs, auctions, RFx responses, and bids). The system requires an action (output action) for each document to be output. This should provide access to detail data (for example, purchase order number) as well as technical data of the document (for example, the processing type that determines the output medium). After processing, the system saves the processing status and a processing log in the output action. The processing log contains information on potential output errors. You can output documents (print, e-mail, fax, or XML) as follows: 1. Generate an output action 2. Process an output action

The actual output of the document does not take place until the output action has been processed. In the standard system, the SAP SRM system processes the output action using a selection report.

Prerequisites
The document must have one of the following statuses, respectively: o o o Purchase order: ordered Central contract: complete Invoice: posted

o RFx/Auction: published To send a document via e-mail, fax or XML, you must have set the appropriate standard communications protocolfor the business partner in the company data, and also the appropriate transmission medium in the supplier data. You can print a document without these additional settings.

Features
Output Media
The following table shows which documents can be output with which output media: Document Type Purchase Order Central Contract Invoice (including ERS) ERS Credit Memo RFx RFx Response Auction (Live Auction) Bid Confirmation Shopping Cart X X X X X X X X X X X X X X X X X X X X Print X X E-Mail X X Fax X X X XML X

Smart Forms are used for the output media print, fax, and e-mail. For more information, see SAP Help Portal athttp://help.sap.com SAP NetWeaver <release> Library SAP Library SAP NetWeaver Library SAP NetWeaver by Key Capability Application Platform by Key Capability Business Services Smart Forms . To change Smart Forms, run transaction SMARTFORMS. For RFxs, RFx responses, shopping carts, and central contracts, Smart Forms also support hierarchical items. To use this function, you must activate the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1). The following Customizing activity is relevant: Cross-Application Basic Settings Innovations (EHP1) . SAP Supplier Relationship Management SRM Server Set Output Actions and Output Format Activate / Deactivate Smart Form

For all documents, except for ERS credit memo, SAP Interactive Forms by Adobe are also supported. For output via XML (method call-up), you can replace the delivered method with one of your own from the customer name space (Z*).

Standard Output
You can create output actions using standard processing. This uses simple determination technology. You can create exactly one output action for each document. The type of processing can be used for the output of all documents mentioned above: For more information, see Customizing for SAP Supplier Relationship Management under Cross-Application Basic Settings Set Output Actions and Output Format . SRM Server

Condition-Dependent Output
You can generate output actions using a determination technology with transportable conditions. The type of processing can also be used for the output of all documents mentioned above: The conditions allow a precise control of your document output, for example, the use of different Smart Forms depending on organizational unit. You can create several output actions for each document. For example, for different address data: supplier as well as own company. You make the settings in Customizing for SAP Supplier Relationship Management under Cross-Application Basic Settings Output . SRM Server

Set Output Actions and Output Format Condition-Dependent Document

Select Output Actions

You can restrict selection of output actions to be processed by entering selection criteria.

Note
If you specify a document number, SAP SRM only displays actions for this document. You can also restrict selection, for example, via Status, so that only unprocessed output actions are displayed.

Display and Process Output Actions

The system displays an overview of output actions (Document Outputs) that correspond to the selection criteria that you defined. The system displays the processing status and information on previous processing. Using the list, you can recognize whether changes have been made (for example, the processing date has been postponed) or output actions have already been issued manually. For each output action, you can: Start a manual output Display output log This is only possible if an output has already been made. SAP SRM displays the processing log below the list of document outputs. It displays, for example, date and time of last output, the Smart Form used, and the processing method.

Notes
In the SAP SRM system, you can attach notes to procurement documents. These notes can be of the following types: Empty notes where users can enter free text to communicate information related to the purchase, for example:

o o o

Approval notes that employees send to the approvers of their shopping carts Notes to suppliers Reasons for return deliveries

Notes containing a standard text that users can select, for example:

o Rejection reasons in confirmations and invoices These notes are displayed on the Notes and Attachments tabs. For several document types, the two most commonly used notes are also displayed directly on the Overviewscreen. This allows users to see the most important notes when opening the document, without having to navigate.

Example
Procurement Document Purchase Order Notes Displayed on Overview Screen Shopping Cart Note to Supplier Internal Note Approval Note Note to Supplier

The Notes and Attachments tabs are available as follows: Location of Notes and Attachments Tab As part of the header data, on the same level asGeneral Data As part of the item details, on the same level asGeneral Data On the overview screen, on the same level as Overview Notes Available All notes that are relevant to the entire document are displayed, independent of whether users have entered text. All notes that are relevant to an item are displayed, independent of whether users have entered text. All notes are displayed where users have entered text. If users have not entered any notes texts, this tab is empty.

Note
The shopping cart wizard does not have any tabs providing additional functions. Therefore, all notes are displayed on the Overview screen.

Prerequisites
Text Schemas for Notes
To allow users to create note texts, SAP SRM provides a variety of text types by default. They have been combined in text schemas and have been assigned to transaction types. Also, several standard texts are provided with the default Customizing. To adapt the notes to the requirements of your organization and to create standard texts, perform the following activities in Customizing for SAP Supplier Relationship Management under SRM Server

Cross-Application Basic Settings Text Schema

Define Text Types Define Text Schema Define Fixed Values for Texts

Transfer of Notes Between Procurement Documents

You can use notes in procurement documents in SAP ERP and SAP SRM. If you use the classic or extended classic scenario, notes are transferred from SAP SRM to follow-on documents in SAP ERP and in the opposite direction.

Caution
Text transfer between SAP SRM and SAP ERP is supported as of SAP enhancement package 4 for SAP ERP 6.0. Regarding the transfer of note texts, you must be aware of the following settings: Sourcing of SAP ERP Purchase Requisitions To ensure that texts are transferred correctly between SAP ERP purchase requisitions and SAP ERP follow-on documents when the purchase requisitions are processed in SAP SRM sourcing, you have scheduled the report/SAPSRM/GET_TEXT_CUST_ERP. This report replicates the text mapping rules defined in Customizing of SAP ERP to the SAP SRM system.

Note
You must either start the report every time you make changes in Customizing for SAP ERP or schedule a job that runs the report regularly. Changing the Standard Transfer of Note Texts In Customizing, you can make settings that allow you to flexibly transfer notes from one text type to a different text type. For example, you can transfer texts of the type Header Text (HTXT) from the shopping cart header to texts of the type Internal Note (NOTE) on the purchase order header. The same applies to the text types available at item level of the procurement documents and to notes that are transferred to follow-on documents in SAP ERP.

Note
If items with notes of the same text type must be transferred from several procurement documents, for example SAP SRM shopping carts, to a single SAP SRM procurement document, for example an SAP SRM purchase order, only the note text of the first document is copied over to the follow-on document. To adapt the transfer of note texts between procurement documents to the requirements of your organization, you can use the following activities that are available in Customizing for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Text Mapping : Name of Customizing Activity Text Mapping for Inbound and Outbound Texts Defines transfer of notes texts between SAP ERP and SAP SRM procurement documents. Text Mapping for Internal Texts Defines transfer of notes texts between procurement documents within SAP SRM. Mandatory if you use either the classic or the extended classic scenario. Relevant for all technical scenarios. Purpose Comment

Example

By default (defined in the Customizing activity Define Text Schema) RFx documents offer, for example, the following notes on the Notes and Attachments tabs: Note Description Header Text Internal Note Supplier Remarks Approval Note Reason for Rejection Item Text Level on Which the Note is Available RFx Information Header and Item Header and Item Header and Item Item Item

6.1.2.3 Attachments
In SAP Supplier Relationship Management (SAP SRM), you can manage attachments for: All purchasing documents, at both item and header level.

Note
In the shopping cart, you can only manage attachments at item level. Products in a work item during the approval process.

SAP SRM supports all formats that can be uploaded from a file directory.

Integration
When transferring items from a catalog, SAP SRM copies the attachments of the catalog item into the purchasing document.

Prerequisites
To display attachments in your Internet browser, you have made one of the following settings in the HTTP Service Tree under <Virtual Host> sap ebp docserver : You have entered a user in the log on data. You have configured Single-Sign-On. See the path in the SAP menu: Tools System Administration HTTP Service Hierarchy Maintenance . Administration Network SICF

For the Single-Sign-On configuration, you have set up and carried out the following: The profile parameter login/create_sso2_ticket of your SRM Server system has the value 2 The profile parameter login/accept_sso2_ticket of your SRM Server system has the value 1 Following a system restart, you have run transaction SSO2 with the RFC destination NONE.

Features
Managing Attachments Feature Create attachments Description You can create attachments by uploading them from a file directory.

Display attachments

You can display existing attachments in the browser (as long as the file format supports this). If you have created attachments for shopping cart items in the SRM application Shop , you can display these in the application Check Status. You cannot change them, however.

Edit attachments offline

You can check out an attachment and edit it locally. Once you have finished editing, you can check the attachment back into the system. Checked-out attachments are locked by the system and cannot be changed by other users until you have checked them in again.

Versioning of attachments

When you check in a modified attachment, you can decide whether you want to create a new version of the attachment, or whether you want to save your modifications to the current version of the attachment by overwriting it. An attachment can contain a number of versions, including the active version and the obsolete ones. The active version is the most recent version of the attachment. The systems saves all of the versions and allows you to display them in the Document screen of the purchasing document.

Internal use

You can mark attachments as internal and in doing so prevent them from being sent to external recipients. SRM includes an attachment marked as internal in the corresponding purchase order, it does not, however, transfer it to the vendor system.

Attachments in work items

Users with the role Manager, or reviewers of an approval process can display existing attachments. However, they cannot delete existing attachments. They can add new attachments and subsequently delete these or mark them as internal.

Activities
1. To add attachments to a purchasing document, open the document for editing. 2. Click on Notes and Attachments 3. Click on Add Attachment 4. Browse for the local document that you want to attach and click on open. 5. Enter a description. 6. Check if the attachment is to remain internal. 7. Click on Save The system adds the attachment to the overview.

6.1.2.4 Output of Purchase Order Attachments

In SAP Supplier Relationship Management (SAP SRM), attachments of purchase orders can be output together with the purchase order using the following output media: E-mail XML

The method of processing differs depending on the output medium you select. SAP SRM provides a Business Add-In (BAdI) with which you can output purchase order attachments by print and fax. For more

information, see Customizing for SAP Supplier Relationship Management under Ins (BAdIs) Define External Print Formatting for Office Documents

SRM Server

Business Add-

Prerequisites
You have not selected the attachments to be Visible Internally only. You have installed a Webserver for transfer of attachments. See Customizing for SAP Supplier Relationship Management under Attachments . SRM Server Cross-Application Basic Settings Define Settings for

Features
Output via e-mail SAP SRM always outputs a purchase order as mail attachment when this type of processing is selected. The e-mail itself contains general header data for the purchase order; for example, the purchase order number and purchase order date. The purchase order attachments make up the other e-mail attachments. Output via XML You can use standard processing via a Web server for output of purchase order attachments with XML. The XML file contains the URLs that the recipient of the purchase order uses to access the attachments. See Customizing forSAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Settings for Attachments.

6.1.2.5 Sending Purchasing Documents to External Business Partners

As a Strategic Purchaser in SAP Supplier Relationship Management (SAP SRM), you use this function to determine which output medium the system uses to send purchasing documents to an external business partner, such as a supplier. You can specify an output medium per purchasing organization. You specify the output medium when creating an external business partner. You can subsequently change this medium from the Business Partner workset in the Strategic Purchasing work center. After selecting an existing business partner from the POWL, or when creating a new one, you must define the appropriate parameters for the communication protocol under Contact Data.

Integration
The settings described here for the business partner have the following effects: They serve as a default setting for the output of purchase orders. In purchase order processing, you can override this setting and choose another output medium. They control the output of contracts and documents that result from the procedure for evaluated receipt settlements (ERS).

Features
Besides the media print, e-mail or fax, you can specify that your documents be transferred by XML via the SAP NetWeaver Exchange Infrastructure.

Activities
1. Choose a business partner from the Business Partner workset. 2. Under Contact Data, specify the Output Medium you want.

To set the output medium e-mail, choose e-mail as medium and enter an e-mail address under EMail Addresses. To set the output medium Fax, choose fax as medium and enter a fax number under Fax Number. For the output medium XML, enter the technical details of the communication under Company Data. ChooseExchange Infrastructure as the communication protocol.

6.1.2.6 Versions of Purchasing Documents

SAP Supplier Relationship Management (SAP SRM) provides you with version management for purchasing documents. You can display versions of RFxs and central contracts. The system creates a version in the background if you, as a purchaser, carry out one of the following actions: You change a purchase order (PO) that has already been ordered You change a central contract that has already been released You change an RFx that has already been published You change a central contract hat has already been released

In contrast to the change documents that retain a change history, a version displays the status of a document at a specific point in time. Version management allows you to display a purchase order in the form in which you transferred it to the supplier on day X. A version provides clarity, for example, in negotiations on a central contract.

Note
For XML invoices, only a historical version is generated. If changes are made, only the active document is updated. Change versions are not available.

Integration
Using a Business Add-In, you can specify when the system is to create a change version, as described in SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM Cross-Application Settings Version Control .

Prerequisites
You have activated the version control, so that the system creates historical versions, as described in Customizing for SAP Supplier Relationship Management under <SRM Server> Cross-Application Basic Settings Switch On Version Control for Purchasing Documents . You have set up and activated the workflow for the approval of changes to active purchasing documents.

Features
You can use versions as follows: Display Compare The system lists differences in tabular form and arranges the comparison results in navigable areas: o o Header data (including organizational data, tax and payment data; partner data and documents) Item data (including taxes and limits if they exist; partner data, documents; account assignment and conditions)

Archive You can archive versions (transaction data) of purchase orders, but not central contract versions.

Note
You cannot change older versions. This is only possible for the active document. Print You can print the active document and the result of the version comparison.

Activities
In the selected document (purchase order or central contract), you can go to version management using the path Tracking Version Overview . The system displays existing versions; an active version and, if appropriate, a change version and further historical versions. To compare two versions, choose Compare. See also: Processing of Change Versions

6.1.2.7 Processing of Change Versions

SAP Supplier Relationship Management (SAP SRM) creates a change version whenever you, as a purchaser (or a user with the corresponding role), make changes to one of the following documents: Ordered purchase order Released central contract Published RFx You order a posted purchase order again You release an already released central contract again You publish an RFx that has already been published

The system starts an approval workflow after one of the following actions occurs:

Workflow When you make changes to a document, the system creates a change version. If a purchase order (PO) that has already been ordered is ordered again, a central contract that has already been released is released again, or an RFx is published again, the system starts an approval workflow for the change version. The workflow ends with the approver who chooses from the following options: Approve The system transfers the changes to the active document. The technical key (GUID) remains unchanged. At the same time the system deletes the change version and creates (with the appropriate Customizing settings) a historical version of the document in the version overview. See Versions of Purchasing Documents. Reject The change version attains the status Release Rejected. The system does not delete the change version. It can be processed further. In the case of a PO, the system transfers the change version with the status Held into the purchaser's worklist.

As a purchaser, you can react to the rejection with the following options: You remove the reason for rejection You delete the change version. This can then no longer be displayed.

Integration
Whereas the system always creates a change version in the situations described, you can also set the system up in such a way that it also creates historical versions as described in SAP Solution Manager under <project name> Configuration SAP SRM <release> Cross-Application Basic Settings Switch On Version Control for Purchasing Documents .

Prerequisites
You have set up and activated the workflow for the approval of changes to active purchasing documents.

Features
As long as the change version remains in approval, the system continues to use the active document for subsequent processing. Central Contract Releases continue with reference to the active document Purchase Order Quantities and values of the active document remain valid; You continue to enter confirmations and invoices with reference to the active document. RFx

Caution
If you change the active document of an RFx, bidders are not automatically notified. You have to inform the bidders and send back RFx responses that have already been submitted. Received RFx responses of the active document remain valid The RFx responses refer to the active document.

Note
Internal and external versions are used when changing an RFx. Internal versions are only for the purchaser. The system generates an internal version if you carry out changes to a published RFx. External versions are only for the bidder. The system generates an external version if you change data that is also relevant for the bidder.

Note
When you add a bidder to an RFx and then publish the RFx, the system only generates an internal version. When you add a new item to the RFx, the system generates an internal and external version since this change is relevant for the bidder. If a change version exists and users make changes to a purchasing document, all the changes affect the change version and not the active document.

Example

A change version of the released contract C is awaiting approval. User A changes document C and saves usingHold. User B subsequently also changes document C. Result: The change version contains the changes of users A and B. The list of search results in the application shows in the standard an existing change version. If the system can find a match for the search criteria in the active document and in the change version, it displays the change version. If the system can find a match for the search criteria in the active document only, it displays the active document.

6.1.2.8 Features Available for Large Documents

The following features are available when you work with contracts, RFxs, RFx responses, or purchase orders that are very large in size: Progress bar Browse mode Optimistic lock

Prerequisites
You have activated the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1). You have done the following: For the browse mode and the progress bar, you have defined the number of items above which a document is handled as a large document. You do so in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Cross-Application Basic Settings User Experience Define Threshold Values for Large Documents . You have activated the features described below, as required. You do so in Customizing for SAP SRM under the following: o SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Progress Bar o o SRM Server Cross-Application Basic Settings User Experience Activate/Deactivate Browse Mode SRM Server Technical Basic Settings Activate/Deactivate Optimistic Lock

Features
Progress Bar
When a user performs a time-consuming activity while working with a large document, the system displays a progress bar that informs the user about the progress of this activity. For each business object, you can customize the number of items above which the document is handled as a large document. Once the number of items reaches this threshold, the progress bar is displayed.

Browse Mode
The browse mode offers an overview of items in the document as well as the most important header data and does so at a much faster speed than is possible in display mode. A search field is available that offers a text-based search across the following columns of the items table: Product ID Product ID Description Product Category Product Category Description

For each business object, you can customize the number of items above which the document is handled as a large document. Above this threshold, the browse mode is used instead of the display mode. From the browse mode, you can switch to display mode or edit mode.

Optimistic Lock
With optimistic locking, a document is locked with a shared lock when you open it in display mode. When you switch to edit mode, the shared lock is upgraded to an exclusive lock. In this case, the buffers do not have to be refreshed since the shared optimistic lock ensures consistency between the data in the buffers and the data on the database. Therefore, the switch from display mode to edit mode happens at a much faster speed than without optimistic locking.

6.1.3 Hierarchies
You can use this function in SAP Supplier Relationship Management (SAP SRM) to support sourcing of purchase requisitions for service items from SAP ERP, including service item hierarchies. This allows you to support service structures with a maximum depth of five outline levels. In addition, hierarchies are supported in supplier self-services (SUS), allowing supplier collaboration for back-end purchase orders containing service item hierarchies. RFxs, RFx responses, shopping carts, and contracts are supported in SAP SRM, whereas sales orders and confirmations are supported in SUS. For shopping carts, however, hierarchies are only supported when they have been created based on external requirements with hierarchies. In other words, you cannot create shopping carts in SAP SRM and then build hierarchies. You can use outline items to structure service requirements, and break them down into their smallest components using configurable item numbering. Outline items are purely informational, and allow you to group subline items. They must contain at least one subline item, and do not trigger follow-on processes. Subline items can be either outline items or line items. Contrary to outline items, line items contain accounting information and trigger follow-on processes. You can roll down prices, and other information, such as business partners, delivery date, and account assignment, to lower levels. Similarly, you can roll up prices from lower levels and sum them up.

Note
You can transfer informatory lines in a service structure of an SAP ERP purchase to SAP SRM, add them in the Sourcing application, and transfer them from an awarded RFx response to an SAP ERP purchase order. To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1).

Note
You can create RFxs with hierarchical structures directly in SAP SRM without a preceding purchase requisition in SAP ERP. The service hierarchy correctly fills the contract or back-end purchase order.

To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1).

Prerequisites
You have performed the activity in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Service Procurement Activate Service Procurement Innovations . You have performed the activity in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Service Procurement Activate Service Procurement . You have defined settings as described in SAP Solution Manager under Configuration SAP SRM <release> Procurement Classic <project name> Activate Service Basic Settings for Service Procurement Classic

. This configuration step applies to both SAP SRM and Materials Management.

Example
You can structure a computer delivery as follows, using configurable line item numbers: 1 Outline IT Equipment 1.1 Outline Laptop 1.1.1 Material Hardware 1.1.1.1 Info line RAM 1.1.1.2 Info line DVD drive 1.1.2 Outline Software 1.1.2.1 Material Microsoft Office 1.1.2.2 Material CAD Values are entered at item level and rolled up to the superordinate outline level, whereas the delivery date is entered at outline level and rolled down to the item levels.

6.1.4 Configurable Line Item Numbers

You can use this function in SAP Supplier Relationship Management (SAP SRM) to support complex line item numbering in procurement documents, for example, for line item hierarchies, service requirements, or accounting lines. You can define your own numbering schemes that deviate from the standard SAP schemes. You can, for example, use different prefix numbers to distinguish service items from material items in a hierarchy, or use distinct alphanumeric numbers for optional line items and accounting lines, as described below: Lots and Works in a Building Maintenance Contracts A Concrete Work A.01 Delivery A.02 Pouring A.03 Drilling and other Treatments B Windows B.01 Measurement B.02 Manufacturing B.03 Delivery B.04 Fitting

C Paintwork and Plastering C.01 Scaffolding and Preparation C.02 Painting C.03 Plastering The system can assign numbers automatically. However, if you choose to manually assign numbers to your procurement document, the system checks whether the numbers are valid according to the configuration. For example, you can determine number ranges for internal and for manual (external) numbering within one numbering rule, for example, 001 899 for internal numbering and 900 999 for external numbering. When the user manually enters 777, the system does not recognize this number as valid and prompts him/her to only use numbers between 900 to 999. The system also checks that external numbers are not inadvertently duplicated per document. To customize line item and subline item numbering, you define the desired components of the number, for example, a hierarchical structure, and the related numbering rules. For automatic numbering, you assign numbering schemes to business processes. You can activate configurable line item numbering in Customizing by assigning version numbers to numbering schemes. For each transaction type of a business object, you can assign a specific numbering rule per line item hierarchy level, or per line item process type. Additionally, you can have the system automatically number accounting lines per procurement line item according to a distinct rule.

Prerequisites
To use this function, you must have defined settings in: Customizing for SAP Supplier Relationship Management under Settings Configurable Item Numbering Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic SRM Server Cross-Industry Define Configurable Item Numbering Scheme

Functions Attributes for Purchasing Documents Public Sector Item Type

6.1.5 Account Assignment

You can use the account assignment function in SAP Supplier Relationship Management (SAP SRM) for the following: Shopping carts Purchase orders Confirmations Invoices

The system proposes the account assignment category based on the values in the user master. When you check the status of the above documents, the system also displays the account assignment.

Prerequisites
To carry out account assignment in SAP SRM, you must have made the following settings: You have defined the required account assignment categories in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Account Assignment Define Account Assignment Categories . If you want to use the Unknown account assignment category, you must activate the business function SRM, Continuous Innovations 2 (SRM_CONT_IMPR_2) in Customizing for SAP Supplier Relationship Management under SRM Server Activate Business Functions . You must also activate the Customizing switch Additional Account Assignment Types (SRM_702_ACCOUNT_ASSIGNMENT) in Customizing for SAP Supplier Relationship Management under Settings Account Assignment SRM Server Cross-Application Basic Activate/Deactivate Unknown Account Assignment Category .

You have mapped the back-end account assignment categories to the account assignment categories in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Account Assignment Define Account Assignment Categories . You have defined rules according to which the G/L account is determined automatically. You have defined that the criteria for determining the G/L account are based on the product category and the account assignment category (optional). You have made the settings for this in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Account Assignment Define G/L Account for Product Category and Account Assignment Category .

You have defined your own criteria for determining the G/L account (optional). You have made the settings for this in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins Account Assignment Determine G/L Acct.

Features
Multiple account assignment You can distribute costs across accounts by percentage, by quantity, or by value.

Note
When data is transferred to an SAP back-end system, the cost distribution by quantity and value is not always retained. Instead, the system changes the cost distribution type as follows: o o Cost distribution by quantity: Service items are converted to percentages. Cost distribution by value: Material and service items are converted to percentages.

Flexible type of account assignment category The account assignment category only defines the type of account assignment data that is entered in the generic fields for account assignment information. The following account assignment categories are available: o o o o o o o Asset Cost center Network Order Sales order WBS element Unknown

In the SAP back-end system the account assignment category is part of the item data, whereas in SAP SRM the account assignment category is managed at account level. Modifiable texts for account assignment categories You can make the required settings for this in Customizing for SAP Supplier Relationship Management under Budget Check You can carry out a budget check in SAP SRM for certain account assignment objects, for example, for WBS elements or internal orders from Controlling. For more information, see Budget Check for Account Assignment Objects. Assigning to Assets In the shopping cart and in the purchase order, you can assign to assets and generate new assets in the back-end system, provided you have the appropriate authorization. For more information, see Assigning to Assets. Description of account assignment objects If your back-end system is SAP R/3 release 4.6c or higher, the SAP SRM system displays the description of an account assignment object or G/L account as well as the number, provided this has been maintained in the back-end system. The description is displayed in the account assignment overview, in the item overview and the account assignment detail view of the following applications: o Shop SRM Server Cross-Application Basic Settings Account Assignment Define Account Assignment Categories

Note
In the Shop application, the description in the Default Settings for Items can only be displayed for account assignment objects that are not company-code-specific (for example, a WBS element or o o o o an order). Approval (no account assignment overview) Create Purchase Order Confirm Goods Receipt/Service Enter Invoice

The description is also displayed if you select the account assignment object using F4.

6.1.6 Assigning to Assets

In SAP Supplier Relationship Management (SAP SRM), you can assign to existing asset accounts from the Detailsview of a purchase order or shopping cart item. You can also create new assets in the Asset Accounting of the back-end system, which you can then assign to.

Caution
You can only assign to assets for scenarios that lie behind the firewall.

Note
This function is only available to users with specific authorization and expert knowledge in Asset Accounting (FI-AA). New assets cannot be created within the following applications: Shopping carts with limit Limit purchase orders Purchase orders for direct materials

Prerequisites
You have made the following settings in SAP SRM: The authorization object M_BBP_ASS is set up and activated with the authorizations necessary for assigning to assets. In the basic attributes for the organizational plan, values are defined for the attribute Asset Classes. The asset classes defined in the organizational plan must also exist in the back-end system.

Note
The first part of the names of the asset classes in SAP SRM contain the name of the logical system with which the back-end system communicates. The recommended syntax pattern is as follows: <3 digit system name>CLNT<3 digit client name>\<key of asset class> You have entered a value for the account assignment category Asset in the user attribute KNT.

Note
In the user attributes, you can also set default values for assigning to assets, for example, in attribute AN1you can specify asset numbers. If the asset is created in SAP SRM, the following settings for the relevant company codes must have been made in the Asset Accounting of the back-end system: The asset classes that the SAP SRM system uses for attribute maintenance have been created. The business area balance sheet indicator has been selected in the settings for the business area balance sheet (transaction OB65) The valuation area and business area have been assigned (transaction OMJ7). The field group rules in the asset master record have been set up so that only account allocation is a mandatory entry for those assets that SAP SRM uses for assignment (Transaction AO22).

The fiscal year is set to the current year or the coming year. If necessary, the fiscal year has been adjusted by an Asset Fiscal Year Change (transaction ARJW) or Year-End Closing-Asset Accounting (transaction AJAB). For more information about the Asset Accounting component, see the back-end system documentation.

Activities
When you are processing a shopping cart or purchase order, you select an item from the item overview and chooseDetails. In Account Assignment, you choose an item and then assign the category Asset. To assign to an existing asset, you select an asset and enter a valid G/L account. To create a new asset for assignment, you go to the Detail screen of the account assignment item and choose an asset class. You choose OK. The system then displays the number of the newly created asset and in the purchase order, the result of the asset creation is output as a checklist.

6.1.7 Budget Check for Account Assignment Objects

SAP Supplier Relationship Management (SAP SRM) runs budget checks for the postable account assignment objects WBS elements and internal orders from Controlling (CO). The SAP SRM system accesses the availability control of the back-end system and runs checks for the following: Account assignment objects for which a budget can be created in the back-end system Account assignment objects for which the availability control has been activated in the back-end system

Note
If you use SAP Funds Management, you can also perform an availability check for the objects that you use in this component for account assignment.

Prerequisites
To be able to check WBS elements, the following conditions have to be met in the back-end system: A relevant project is defined, a budget profile assigned to it and the necessary Customizing settings made for this profile (for example, tolerance groups). A WBS element has been created for the project and the account assignment element indicator is set. A budget has been created, released, and the WBS element with the above-mentioned indicator has been assigned to it. The actions for the results of the check are set. For a shopping cart check, for example, the result of the check has to be output as an error message. You can make these settings in Customizing for SAP Enterprise Resource Planning (SAP ERP) under Project System Costs Budget . The necessary back-end settings for CO internal orders are the same, but are made in Customizing under Controlling Internal Orders Budgeting and Availability Control. . For more information about availability control, see the back-end system documentation.

Activities
The SAP SRM system runs budget checks in the following situations: You have been assigned the Employee role (com.sap.pct.srm.ro_employeeselfservice) and are ordering the shopping cart. SAP SRM checks in the back-end system whether the purchase requisition/purchase order exceeds the budget available. If this is the case, the system displays an error message (provided an action for error output is set for WBS elements, CO internal orders or Funds Management objects). The employee can modify the purchase order (for example, by reducing the number to be ordered) and thus eliminate the error. You have been assigned the Operational Purchaser role (com.sap.pct.srm.ro_operationalpurchaser) and are sending off the purchase order or calling up the Check function in the purchase order. SAP SRM checks in the back-end system whether the purchase requisition/purchase order exceeds the budget available. If this is the case, the SAP SRM system displays a checklist of all errors and warnings. The entries or errors marked in red have to be corrected (converted to green) by the purchaser, so that the purchase order can be processed. The purchaser does this by changing the account assignment, quantity, or price, for example. You have been assigned the Manager role (com.sap.pct.srm.ro_manager) and are approving a shopping cart in the Universal Worklist. The SAP SRM system checks whether budgets have been used up while the shopping cart was waiting for approval in the Universal Worklist.

6.1.8 Budget Display

This function provides the user with an overview of the available and assigned budget of an account assignment object. The user can see budget values, and can execute a report for the account assignment object.

Note
This function does not replace theavailability control Warning or error messages are not created. In some situations, budget display could show that the budget has been exceeded. Nonetheless, a further posting might be allowed, depending on the Customizing of the credit limit used. The data of the Budget overview and the Budget detail view can deviate from one another. This is becauseBudget overview displays data from the active availability check (from FI/CO), whereas Budget detail displays data from the passive availability check (from SAP NetWeaver Business Intelligence). Discrepancies involving this data can occur due to the time delays in data analysis. For more information, see Solution in SAP Note178837 (Availability Control: Incorrect Assigned Value?) Users can see a budget overview and a budget detail view for the document types shopping cart (SC), purchase order (PO), confirmation (CF) and invoice (IV) with the following information: Budget Overview The account assignment object column and, if it exists, the derived budget object (derived in accordance with account assignment logic in the back-end for the original account assignment object)

 Budget Detail View

The current value of the item to be assigned in SAP SRM The Budget for the account assignment object (from FI/CO back-end) or for the derived budget object The value that has already been expended. This is the value of the current item plus the value posted up till now (from FI/CO back-end) Credit Limit used as graphical representation after posting of the current value

Icons to start the SAP NetWeaver BI report (These are only visible to authorized persons.)

The budget display for SC, unlike for PO, CF, and IV, is on the header level (item overview). The account assignment values for all SC items per account assignment object and logical system are calculated and portrayed in a cumulative fashion.

Note
You can also display Funds Management account assignment elements from Funds Management (PSM-FM) in the budget display.

Features

Authorization Assignment Only those users with sufficient authorization can see the budget information in the budget display. The authorization object BBP_BUDGET is responsible for authorizations. It controls whether Display Budget and/orDisplay Budget Detail are allowed for certain account assignment objects (or not). The object consists of the fields Activity, Account Assignment Category, and Account Assignment Object. Activity Two possible characteristics: 03 For the overview display (via RFC from the CO system) and 28 For the detail display (via SAP NetWeaver BI report) (Enter * for both characteristics) Account Assignment Category Account assignment category, for which the user can see budget information. Object Account assignment object, for which the user can see budget information.

Activities
1. Mapping Compiling/filtering of the budget data.

2. Authorization check Evaluation of the authorization profile with the authorization object BBP_BUDGET (authorization for budget display) for the current user. 3. Determination of scenario/logical system Depending on the document type, account assignment/budget information for the different FI/CO back-end systems are filtered. 4. Access to METABAPI and driver via RFC The METABAPI interface has been designed in such a way that SAP FI/CO back-end systems and non-SAP systems can be read. 5. Function module BBP_BUDGET_READ in Plug-In (PI): Reads budget information in the FI/CO back-end and returns this information. 6. BI report A report for budget analysis starts in SAP NetWeaver Business Intelligence (SAP NetWeaver BI). Parameters for dynamically-created URLs can be set in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Logical Systems and Template Names for SAP NetWeaver BI Reports

6.1.9 Incoterms
Incoterms are internationally accepted rules for world trade. In this way, purchasers can collaborate with their suppliers to define delivery conditions and connected buyer and seller obligations.

Integration
Incoterms are integrated into the following SAP SRM applications. Shopping Cart: Incoterms are only used in display mode. The Incoterms are transferred from the catalog but are not contained in the standard. You therefore have to maintain the fields INCOTERM_KEY andINCOTERM_LOCATION in the catalog interface in the customer include CI_OCI_CUSTOMER_EXTENSIONaccordingly. Purchase Order: The Incoterms exist on both header and item level. Contract: The Incoterms exist on both header and item level. Bid: The Incoterms exist on both header and item level. The bidder can, for example, offer to pay the freight costs. This criterion is then transferred into the evaluation of bids in the SAP Business NetWeaver Business Intelligence (SAP NetWeaver BI). Invoice: Incoterms are only used in display mode. In SAP Supplier Self-Services (SUS), Incoterms are only displayed. The XML interface is enhanced with both fields INCOTERM_KEY and INCOTERM_LOCATION.

Activities
Incoterms are defaulted from the supplier master or from the contract when a source of supply is assigned to a purchase order. You can overwrite the defaulted values. The logic here corresponds to the default logic of the RosettaNet standard: If you enter an Incoterm on the header level, this is valid for all items that do not explicitly have an Incoterm. If you then enter an Incoterm on the item level, this overwrites the Incoterm entered on header level.

This default logic is resolved during print output. SAP supplies the following Incoterms as standard: EXW FAS FOB CFR CIF CPT DES DEQ DAF DDP DDU FCA CIP Ex Works Free Alongside Ship Free On Board Cost And Freight Cost, Insurance and Freight Carriage Paid To Delivered Ex Ship Delivered Ex Quay Delivered At Frontier Delivered Duty Paid Delivered Duty Unpaid Free Carrier Carriage and Insurance Paid to

If you want to define an Incoterm for a legal transaction with a supplier, for example, customize your system as follows in Customizing for SAP Supplier Relationship Management under SRM Server CrossApplication Basic Settings Create Incoterms.

Note
Here, the indicator for location (field INCOTERM_LOCATION) is set as standard. In this case, you must enter a location. If you deactivate an indicator or do not set an indicator when creating a new Incoterm, the system does not require you to enter a location.

6.1.10 Pricing
Pricing is a method of determining prices using the condition technique. SAP Supplier Relationship Management (SAP SRM ) uses Pricing when purchase documents are created. The system automatically determines the gross price and any surcharges and discounts that apply to a specific supplier according to defined conditions. The system uses the gross price and these surcharges or discounts to determine the net price.

Integration
Pricing uses the component Internet Pricing and Configuration (SAP IPC).

Note
In the SAP SRM classic scenario, pricing can occur without IPC in certain circumstances. You can find more information in SAP Note 539720 (Simplified Pricing - classic scenario) including which Business

Add-In (BAdI) implementations have to be activated or deactivated if you wish to implement this pricing variant. For more information about implementing and configuring SAP IPC, see the SAP Service Marketplace athttp://service.sap.com/instguides and follow the path: SAP CRM SAP CRM <Release No.> Installation and Upgrade Information .

Prerequisites
You have set the necessary elements for Pricing in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Pricing: Process Condition Types Process Calculation Schema Process Condition Groups Check Technical and Customizing Settings for Conditions

Features
Pricing consists of the following elements: Condition Type A condition type serves to differentiate between prices in the system. You can define a separate condition type for each type of price, surcharge or discount that may arise in your business transactions. The condition type defines, for example, a discount as a fixed amount or as a percentage. For example, you can apply release-based rebates that depend on former spend or volume, based on historical spend and not on a single purchase order. Therefore, you can assign a condition where the discounts are based on aggregated release value of the referenced contract or contract hierarchy (if the contract is part of a hierarchy) has been introduced. You can also define group conditions with which scales are used in several items of a purchase order. Calculation Schema The calculation schema describes a sequence of condition types that are used to determine prices. In SAP SRM, the calculation schema 0100 is defined as default. You can modify this and add your own condition types.

Caution
If you have created condition records in an SAP SRM system lower than Release 3.5, then your calculation schema contains condition type 0100 for downward compatibility reasons. As far as the access sequence in the calculation schema is concerned, this condition type has the lowest priority. It has a special logic that guarantees that a catalog price is correctly considered. Access Sequence An access sequence is a search strategy with which the system looks for valid data for a specific condition type. You can define an access sequence for each condition type. In SAP SRM, the access sequences are predefined. Condition Table A condition table contains price information on a master data type, for example, on a product master. If you define a product price or a special discount, for example, you create condition records in the relevant condition table.

Using the Delivered Condition Types The delivered Customizing settings handle the catalog price (condition type 01CG) in a special manner since, for technical reasons, it originates from an external data source and cannot be represented using an access sequence and condition tables. The delivered gross price condition types in the calculation schema are split based on their priority in relation to a catalog price: Condition types that have a higher priority than the catalog price, for example, a manual gross price or a gross price from a contract The condition type for the catalog price Condition types that have a lower priority than the catalog price, for example, prices in a product linkage or in a product. The system determines the gross prices and discounts for the condition types in the calculation schema. If the condition record contains a price/quantity scale, the system calculates the price according to the scale defined in the contract. For the gross price determination, the system uses the following prioritization of condition types (according to the delivered calculation schema): 1. Manual price 2. Contract price 3. Catalog price 4. Price from product linkage or from product. Pricing ensures that a manual price has priority over a contract price; that a contract price has priority over a catalog price, and that a catalog price, in turn, has priority over a product price.

Example
On 10.30.200X a user ordered 2,000 pencils. The system determines the contract to be the source and uses the condition record from the contract to determine the price. The system displays the gross price according to the stored scale. The net price is calculated less the percentage discount.

More Information
Conditions in Purchasing Contracts and Bids Purchase Order Processing

6.1.11 Conditions in Central Contracts and Bids

You can create pricing conditions in the item details of the central contract and the bid. You can also create conditions at header level; however, these can only be discounts or surcharges. These master conditions are used by Pricing in SAP Supplier Relationship Management (SAP SRM) to determine a net price. Central Contract The system takes released central contracts into account during sourcing (for example in a purchase order) and determines prices according to the ordered quantity. Bid If you create a contract from an accepted bid, the system transfers the master conditions to the central contract exactly as they were entered by the supplier/bidder. The conditions are then available for

sourcing. If you create a purchase order from an accepted bid, the system determines the net price in accordance with the existing master conditions. If the purchaser has specified additional currencies for bidding, bidders can enter conditions in the currencies permitted. In the case of lots, bidders can enter conditions in a bid on an item contained in a lot. However, these prices are not aggregated at lot level, because complex prices are permitted only at item level.

Prerequisites
You have configured conditions types and groups correctly. For more information, see Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Pricing o o o o Process Condition Types and Process Condition Groups. You have specified which condition types you are using for: Products/product linkages Normal items in contracts Product category items in contracts Bids from bidders

You have specified the references for scale types in the condition type (quantity or gross value). If you want to use value scales, you have changed a discount condition type accordingly, or used it as a template for a separate value scale condition type.

You have specified (in the calculation schema) how the system is to behave if you create a discount or a surcharge as a condition at header and item level. If you want bidders to use conditions in bids, you must have selected Complex Prices in the Detailed Price Information field at header level in the RFx.

Features
Check Report for Customizing You can check whether the conditions Customizing is complete. See Customizing for SAP Supplier Relationship Management under Settings Pricing Adding, Changing and Deleting Conditions Within the validity limits of the contract or bid, you can create and process the following condition types both with and without a location reference. Conditions can be: Item Price (Contract/Bid) Item Discount (Absolute) Item Discount (%) Item Group Discount (%) Item Price (Contract/Bid) Location-Dependent Item Discount (Absolute) Location-Dependent Item Discount (%) Location-Dependent Item Group Discount (%) Location-Dependent SRM Server Cross-Application Basic .

Check Technical and Customizing Settings for Conditions

If you have defined your own condition types, for example, an anniversary discount, you can use these for creating conditions. If a unique price exists, you can change the price in the Overview and Item tabs. The price is unique if exactly one price exists, without scales and without any discount, for the validity period of the price.

For existing conditions, you can change the amount, the price unit, (quantity) unit, and validity period.

Caution
For the condition types, you may not set any overlapping validity periods. For example, if the conditions overview for validity period January 1st 200X to June 30th 200X already contains a percentage discount, you cannot add a percentage discount as a condition for this period (or a period contained within this period). Restricting Location Reference Globally (Contract Only) For central contract items, you can define that they are only authorized for release for specific locations. If this is the case, you can assign location-dependent conditions exclusively to these locations. Quantity or Value Scales The delivered condition types have a scaling facility. You can navigate to a subscreen for scales, define quantity or value areas there (in a from-scale, for example) and you can define a different amount per price unit. The system proposes the first scale line based on existing conditions data. In the other scale lines, you can further differentiate the condition based on prices or quantities. For improved clarity, the system corrects the quantities or values to the previous scale interval.

Example
Product A has a (contract and bid) price of 100 euro per unit. You define the following scale: For 20 units, the price is 95 euro. SAP SRM supplements a scale line with quantity area 0 to 19 for the amount 100 euro. For each contract release order of more than 20 units, the system uses the scale price of 95 euro.

Caution
In the standard system, the scale type From-Scale is set up. You can change this to To-scale. To do this, go to Customizing for SAP Supplier Relationship Management under Settings Pricing Process Condition Types . SRM Server Cross-Application Basic

Note
Once you have created scales of a certain type, you can no longer change the scale type in Customizing. Refresh After you have added or changed a condition or scale, you can recalculate the values in the lines of the conditions overview. Clipboard for Conditions If you wish to create multiple condition lines (for example, identical conditions for different locations), you can reduce the amount of entries required by using a cross-item clipboard. You can use a condition as a template, store the values (all except the location) in the clipboard, and transfer them from the clipboard to all the new conditions.

Activities

If you are a purchaser in a central contract that already contains a price and you wish to add further conditions (for example, discounts) at item level, or if you are a bidder and you wish to add conditions to a bid, proceed as follows: 1. In the central contract, choose Edit, and then Conditions. 2. Select a condition category, for example, Item Discount (%). The system opens a condition line that is ready for input. 3. Assign the location to a location-dependent condition. 4. Enter a discount amount and change the validity period of the condition if necessary. 5. To create a scale for the discount, choose Create Scale. The system opens condition lines for the condition. 6. Create scale intervals 1. For quantity scales with an amount per quantity interval 2. For value scales with an amount per value interval.

Note
To create new condition lines using an existing condition as a template, use the clipboard. Note that this is cross-item. If, in contract item 1, for example, you have already added condition lines to the clipboard, then these are also available in contract item 2. If you no longer require values that you have added to the clipboard, then choose Delete Clipboard. To copy the contents into the conditions, choose Copy to Clipboard and then Copy from Clipboard.

6.1.12 Tax Calculation

You can calculate sales tax in SAP Supplier Relationship Management (SAP SRM). The tax is calculated when you create a shopping cart, enter a purchase order, or enter an invoice or a credit memo. You can use the tax calculation functions in the following applications: Create Shopping Cart The system determines a tax indicator. You can change the default tax indicator. You can display the tax amounts per item and as total amount. You can define whether the tax amount is to be taken into account with approval using workflow. Process Purchase Order You can change the default tax indicator. The system calculates the tax on the basis of the current data. You can display the tax amounts per item and as total amount. Enter Invoice You can change the default tax indicator. Depending on the legal requirements, the system calculates the taxes either per item or as a total amount. In addition, you can enter the taxes manually for each tax code or as a total tax amount. Enter Credit Memo You can change the default tax indicator. Depending on the legal requirements, the system calculates the taxes either per item or as a total amount. In addition, you can enter the taxes manually for each tax code or as a total tax amount. Evaluated Receipt Settlement

Tax is recalculated. You define the tax code in the purchase order.

Integration
Tax calculation can occur in the following systems: Back-end system: Tax calculation occurs in the financial accounting system External tax system Customer-specific implementation: Calculation occurs in SAP SRM

SAP Transaction Tax Engine (TTE) For more information on tax calculation and on the settings in the different systems, see Settings for Tax Calculation in SAP Solution Manager under the path EHP1 Basic Settings for SAP SRM SAP SRM Configuration Structures . SAP SRM 7.0 Cross-Application Settings

6.1.13 External Business Partners

SAP Supplier Relationship Management provides functions that help to integrate your external business partners further into your business processes. Business partners can: Enter bids in your system Enter invoices in your system Confirm goods delivery or performance of services in your system Display data in your system.

This includes purchasing document information, price information, goods receipt and scheduling agreement releases.

Prerequisites
The business partners must have a user master record. See Manage External Business Partners.

6.1.13.1 Manage External Business Partners

Users with the role SRM Administrator or Strategic Purchaser can manage master data for external business partners (such as company data for suppliers and bidders) and master data for individual contact persons from the company.

Features
Replication
To use existing master records for suppliers, you must replicate the suppler master records from the back-end system. To do this, the following prerequisites must be met: Back-end system: The supplier must be assigned to a purchasing organization. SAP SRM system: The organizational plan has to be in place. In the organizational plan, there has to be an organizational unit that represents the purchasing organization of the supplier in the back-end. (The suppliers themselves are assigned to supplier groups using transaction PPOMV_BBP.) The business partner groupings must be defined. To copy numbers from the back-end system, you must define a grouping as the external grouping in the Implementation Guide (IMG): CrossApplication Components SAP Business Partner Groupings of deletion. Business Partner Basic Settings Number Ranges and Define Groupings and Assign Number Ranges .

If you want to delete business partners, they must not be involved in any open transactions at the time

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.

Note
Call transaction BBPGETVD to transfer the data to the SAP SRM system. You can change the data after replicating it. However, you should not copy over any suppliers after doing that, or your changes are overwritten.

Transfer Supplier Master Records

In the back-end system, use transaction BBPGETVD to determine whether: The SAP SRM system is to assign numbers from the internal number range for business partners for the suppliers to be copied. The supplier numbers are to be copied from the back-end system. If the number already exists in the SAP SRM system, the system assigns a number internally for the supplier. In this case, configure the internal number range so that it does not overlap with the number range in the back-end system. Before the system performs the data replication, it informs you of any possible problems (such as missing purchasing organizations).

Note
Make sure you enter the correct supplier root node of the organizational structure.

Compare Suppler Master Records

If the master data in the back-end system is different to the replicated data, you can adapt the supplier data in the SAP SRM system by using transaction BBPUPDVD.

Synchronize Suppliers (Program BBP_VENDOR_SYNC)

Use this program to automatically synchronize the back-end suppliers with the SAP SRM system. To run this program, you must first make the following settings: Path in Customizing: SAP Supplier Relationship Management SRM Server Settings for Supplier Synchronization Supplier Relationship Management Make Global Settings SRM Server Technical Basic Settings Settings for Supplier Technical Basic Settings

Synchronization Define Settings for Each Backend System Then, you have to make the following settings in transaction SA38: 1. Enter program BBP_VENDOR_SYNC. 2. Choose Background. 3. Enter the report name BBP_VENDOR_SYNC. 4. Either define a new variant or use an existing variant 5. Choose Schedule. 6. Enter the job and define the start date. 7. Either schedule once or schedule periodically and define the period interval.

Manual Maintenance
Master data for external business partners (such as bidders and suppliers) can be created based on a registration application from an employee of the business partner company.

Registration applications are forwarded using workflow to the purchaser or system administrator responsible for approval. If approved, the user must create the appropriate master data or user data. The purchaser or system administrator responsible must be defined in the workflow as the employee responsible. The organizational plan must have been created and contains an organizational unit to which the employee can assign the external business partner. For more information, see Approval Workflow for Creating External Users.

Self-Registration of External Business Partners

If an external employee enters a registration application, the system differentiates between the following situations: Situation The company and the external employee are already registered in the SRM system. The external employee now wants to register an additional contact person in the SRM system. System Response The system automatically adds a position to the organizational unit of the supplier and adds a contact person for the external employee to the business partner for the company in the organizational plan. At the same time, the necessary user is created. The company has not yet been registered in theSRMsystem. The system automatically creates an organizational unit and a business partner for the company, as well as a contact person for the external employee. In both cases, the purchaser or system administrator (employee responsible) receives a work item with a link to theBusiness Partners application. The employee responsible can see the data that the requesting user entered and can complete it. After users have been created or maintained, contact persons receive an e-mail. If the user has been created, this e-mail contains the business partner number, user ID, and password.

Note
The text of the e-mail is stored in the general text PARTNER REQUEST ACCEPTED or PARTNER REQUEST DENIED, and is sent in the logon language. You can modify the text to suit your requirements. To do this, go to transaction se61 in the back-end SAP SRM system and select General Text.

Managing External and Internal Business Partners

The following functions are available: Create, change, and display company data for a bidder or supplier Delete business partner

Note
When a business partner is deleted, all contact persons that belong to the business partner are also deleted. Only SRM users can be deleted. Create, change, display, and delete contact persons for a bidder or supplier Process purchasing company, that is, all companies in the organizational structure for which the indicatorIS_COMPANY is set in the attributes in the organizational plan. Purchasing companies have the partner functionPurchasing Company.

Caution
Only use this function to modify purchasing companies. To create them, use the organizational plan. Create and change locations

6.1.14 Supplier List

Users can use a supplier list to search for sources of supply for their purchases. This supplier list is compiled by the purchaser for specific products or product categories and contains suppliers and backend contracts. When theOpen Partner Interface is connected, sourcing can also be extended to cover external supplier lists.

Integration
The supplier list is integrated into the Shop and Sourcing applications.

Prerequisites
The number range for the supplier list has been defined. For more information, see Customizing for SAP Supplier Relationship Management under SRM Server Number Ranges SRM Server Cross-Application Basic Settings Number Ranges Define Number Ranges for Supplier List.

Carry out the following settings in Customizing: For the Shop application, you can specify that only the supplier list is to be used, or that the entries from the supplier list are displayed in an additional column in the original source of supply list. In Customizing, see: SRM Server Sourcing Define Sourcing via Supplier List Only . You can use a Business Add-In (BAdI) to define detailed criteria to display the supplier list. In Customizing, see: SRM Server Business Add-Ins Sourcing Define Sourcing via Supplier List

Features
Purchasers compile supplier lists for their purchasing organization (or other purchasing organizations within their enterprise) on the basis of supplier evaluations, supplier master data, and contracts. Supplier lists can be created for products or for product categories. Product supplier lists take precedence over product category supplier lists. Using hierarchically-assigned product categories (for example eCl@ss or UNSPSC) you can create a supplier list for a subtree of a product category hierarchy. This supplier list is valid for several product categories. You can assign multiple release-authorized purchasing organizations to a supplier list. These purchasing organizations can use the suppliers selected in the supplier list as possible sources of supply. When you create a supplier list, the system proposes the appropriate purchasing organization as the release-authorized purchasing organization. If you do not select a release-authorized purchasing organization, all purchasing organizations in the SRM System are assigned as release-authorized. The following functions are available: Release SAP SRM only displays released supplier lists in the applications. Hold Check Refresh Display Sources of Supply

Possible sources of supply in the supplier list are:

Suppliers Back-end contracts You have the following options: o o o Assign suppliers that belong to the purchasing organization selected on header level. Deactivate individual suppliers or back-end contracts within a supplier list. These are then no longer shown in the applications. Search for contracts directly in the back-end system using the input help, and subsequently transfer them.

Process documents In change mode, you can append internal notes, supplier texts, or other attachments to the supplier list on header and item level.

Activities
As a purchaser, you compile supplier lists for your purchasing organization. You can base these lists on supplier evaluation reports, supplier master data, and contracts.

Creating Supplier Lists for Products or Product Categories

1. Under Business Partner, follow the path Create Documents Approved Supplier List . 2. Enter the suppliers that you want to include in the supplier list. You can use the search help. You can also search for suppliers in external lists and add these to your system. If necessary, enter existing contracts, items, and back-end systems. If you set a supplier to Inactive, it is not displayed when you use the supplier list. 3. Hold the supplier list or release it. You can only release it if at least one active item exists.

Searching Supplier Lists

The following search criteria are available to you: Purchasing Organization Product Category When searching for product categories, you can use the wildcard character * to search product category hierarchies also. Product

The following additional criteria are available to you in the advanced search: Description Timeframe Supplier Status Created by Me

Evaluating Suppliers
You can evaluate the supplier in the Detail Supplier List screen. The system then displays a questionnaire that you can complete and submit. The data can then be evaluated using SAP NetWeaver Business Intelligence. For more information, see Supplier Evaluation.

More Information
Assigning Existing Sources of Supply Sourcing via Supplier List

6.1.15 Synchronization with the Back-End

You can use this function for document types Shopping Cart, Purchase Order, Confirmation, and Invoice to trigger a synchronization with the associated documents in the back-end system. The system checks whether and how the (follow-on) documents were posted in the back-end, and updates the object link and references, as well as the document status. A job (background processing) is generated for the program CLEAN_REQREQ_UP. When you run this, the system queries a database table containing the transfer information of the documents to the back-end. The entries are checked with the data of the respective back-end systems. If the back-end transfer is successful, the respective entries are deleted and the prerequisites for further processing are created.

6.1.16 Integration with SAP Records Management

You can use this function to connect SAP Supplier Relationship Management (SAP SRM) to SAP Records Management (SAP RM). SAP Records Management is a document management system that allows you to store contracts, purchase orders, RFxs, and shopping carts centrally in the form of electronic records, and to access them any time. When you activate this function, records are automatically created for shopping carts, contracts, RFxs, bids as part of RFxs, purchase orders, and back-end goods receipts and purchase requisitions as well.

Prerequisites
To use this function, you must have: Set up SAP NetWeaver Portal Release 7.0 SP 16 or higher. Set up the SAP SRM system. Set up the SAP Records Management system as part of SAP NetWeaver 7.0, either in standalone or in an SAP ERP system (SAP ERP 2005). Performed the configuration activities in the SAP SRM and SAP RM systems, as described in SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM Cross-Application Settings Integration with Other SAP Components Integration with SAP Records Management .

6.1.17 Integration with SAP ERP 6.1.17.1 Links to SAP ERP Documents
You use this function to directly access back-end documents that are referenced in SAP Supplier Relationship Management (SAP SRM) business objects. You can jump to the referenced document by clicking its number under the Tracking tab of the procurement document. The following SAP SRM business objects support references to SAP ERP documents: Business Back-End Documents That Can Be Referenced

Object Shopping cart Purchase requisitions, purchase orders, contracts, goods receipts, service entry sheets, and invoices Purchase order Confirmation Contract Purchase requisitions, purchase orders, contracts, goods receipts, service entry sheets, and invoices Purchase requisitions, purchase orders, goods receipts, service entry sheets, and invoices Purchase requisitions, contracts, purchase orders, goods receipts, service entry sheets, and invoices RFx Auction Invoice Purchase requisitions, purchase orders, goods receipts, invoices, and contracts Purchase requisitions, purchase orders, goods receipts, invoices, and contracts Purchase requisitions, purchase orders, central contracts, goods receipts, and service entry sheets

Prerequisites
You have activated the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1). You have performed the Customizing activity under Server Cross-Application Basic Settings ERP Activate Linking to SAP ERP Documents . SAP Supplier Relationship Management SRM Integration with Other SAP Components Integration with SAP

You have connected the SAP SRM system to the SAP ERP system. You have implemented Business Add-In Send requisition to external sourcing system(ME_REQ_SOURCING_CUST) in the SAP ERP system to send purchase requisitions from SAP ERP to SAP SRM. You have performed the Customizing activity under Server Cross-Application Basic Settings

SAP Supplier Relationship Management SRM Activate Service Procurement .

Service Procurement

You have created the authorization object Back-End Document Display Authorization (/SAPSRM/BD) in the SAP SRM system.

6.1.17.2 Park and Hold

You use this function to allow purchase orders to be created with the status park or hold in SAP ERP. These statuses allow you to temporarily save incomplete documents.

Note
This function is restricted to the SAP SRM Classic scenario. To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1).

Prerequisites
You have connected the SAP SRM system to the SAP ERP system.

You have implemented Business Add-In Send requisition to external sourcing system(ME_REQ_SOURCING_CUST) in the SAP ERP system to send purchase requisitions from SAP ERP to SAP SRM.

You have performed the following Customizing activities under: SAP Supplier Relationship Management SRM Server

Cross-Application Basic Settings Service Procurement Activate Service Procurement Innovations SAP Supplier Relationship Management SRM Server Cross-Application Basic Settings Service Procurement Activate Service Procurement SAP Supplier Relationship Management SRM Server Cross-Application Basic Settings Service Procurement Define Status for Purchase Orders in Back-End System

6.1.17.3 Contract Limits

You use this function to transfer a central contract available as a source of supply in SAP ERP from SAP ERP to supplier self-services (SUS) to allow services to be entered against a contract limit using SRMMDM Catalog.

Prerequisites
You have connected the SAP Supplier Relationship Management (SAP SRM) system to the SAP ERP system. You have connected the supplier self-services (SUS) system to the SRM-MDM Catalog system. You have created a central contract with hierarchies and distributed it to SAP ERP. You have performed the following activity in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Service Procurement Activate Service Procurement Innovations .

Features
To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1).

6.1.17.4 Contract Handling for Invoices

You use this function to create invoices with a direct reference to an SAP ERP contract or SRM central contract. The invoice with the contract reference updates the history of the contract in SAP ERP. A release is then created for the reference central contract in SAP Supplier Relationship Management (SAP SRM). To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1).

Prerequisites
You have connected the SAP SRM system to the SAP ERP system. You have performed the Customizing activity under: SAP Supplier Relationship Management SRM Server Cross-Application Basic Settings Service Procurement . Activate Service Procurement Innovations

You have performed the Customizing activity under:

SAP Supplier Relationship Management SRM Activate Service Procurement .

Server Cross-Application Basic Settings Service Procurement

6.1.18 Catalog Integration 6.1.18.1 Catalog Integration Using ABAP FTP Function Modules
You use this function to upload data available in the SAP Supplier Relationship Management (SAP SRM) system to a third-party catalog using ABAP FTP function modules. The system reads the FTP server and the file information you have entered in Customizing instead of the SAP NetWeaver PI runtime settings, that is, the settings defined in the Integration Directory and their processing at runtime. You can check the status of the upload in transaction CCMS Monitoring (RZ20). To do so, expand the SAP Enterprise Monitors node, then expand the Others node.

Prerequisites
You have activated the business function SRM, Catalog Innovations (SRM_CATALOG_1). You have defined an RFC connection of type T (TCP/IP connections) called SAPFTPA to connect the SAP SRM system to the FTP server and you have defined the related security settings in transaction RFC Destinations(SM59). You have performed the following activities in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Cross-Application Basic Settings Integration with Other SAP Components o o o Catalog Integration : Activate/Deactivate Catalog Integration Using ABAP FTP Define FTP Servers Define FTP Files

6.1.19 Digital Signatures

You can use the digital signature function in SAP Supplier Relationship Management (SAP SRM) to encrypt data contained in RFxs, contracts, and purchase orders that are exchanged between bidders and suppliers. The digital signature function provides the following capabilities: Enhanced security Fraud prevention Document integrity Sender identification Created on purchase orders sent to suppliers Created on contracts sent to suppliers Received on bids

Digital signatures are:

The digital signature function is a web-only function. In other words, it can only be run in a browser.

Prerequisites
To use digital signatures in SAP SRM, the following is required:

A Public-Key Infrastructure (PKI) to manage digital certificates and public/private key pairs. A public/private key pair from the public-key infrastructure. You use the private key for encryption, and the public for decryption, a process known as asymmetric encryption. In case of digital signatures, a document is signed using the private key and verified using the public key.

A digital certificate, for suppliers to identify themselves to purchasers, for example. This certificate contains the supplier's distinguished name and his/her public key digitally signed by the certificate authority.

A Certificate Authority (CA) to manage the public-key infrastructure, to issue digital certificates, and to verify the suppliers' identity. To export certificates, run transaction Trust Manager (STRUST). A security provider for the System for Secure Store and Forward (SSF) application in SAP SRM, to trust the certificate issued by a certificate authority. To do so, run transaction SSF: Set Application Parameters (SSFA).

To complete configuration, activate the function in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Digital Signature Activate Digital Signatures .

Example
You want to use digital signatures for contracts. In Customizing, you specify digital signatures as optional for contracts (PCTR), meaning that you can either sign or not sign the contract. When you create a contract in SAP SRM, you can check whether the digital signature function is active by choosing Notes and Attachments on the contracts creation screen. If you make changes to your contract after releasing it, this indicator is removed. When you release your contract, your contract is displayed as a PDF document in a pop-up window and you can decide whether to sign it or not.

6.1.20 Background Processing

You use this function to determine whether procurement documents with a large number of items must be processed in the foreground or in the background. You do this by defining item thresholds. If the item thresholds are exceeded, the documents are automatically processed in the background. You can decide by means of a dialog box whether you want documents to be processed in the foreground even if the number of items exceeds the threshold or in the background. To use this function, you must activate the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1).

Note
Background processing improves end-to-end response time. The following actions can be performed in the background: Copy template Create RFx Create RFx from template Create follow-on RFx Copy RFx Download RFx

Upload RFx Show output preview of RFx Create/update contract from winning RFx response Copy contract Preview contract Negotiate/renew contract Download contract to Microsoft Excel Create purchase order from winning RFx response Upload data to RFx response Accept RFx response Release contract

Prerequisites
You have defined the threshold above which the actions are automatically processed in the background and specified whether you want a dialog box to be displayed to further control the process. You do this in Customizing for SAP Supplier Relationship Management under: SRM Server Cross-Application Basic Settings Background Processing Background Processing . SRM Server Cross-Application Basic Settings Background Processing Background Processing . Activate/Deactivate Advanced Define Threshold Value for

6.2 Administrative Functions

The functions listed in this section are those carried out by the user with the role SRM Administrator or the system administrator.

6.2.1 Application Monitors

A variety of application monitors are available that enable the SRM Administrator or application administrator to check the smooth running of the SAP SRM applications and system availability. Application monitors inform you when errors and problems occur during business transactions in the SAP SRM system or the back-end system. You have the option of displaying All Messages or Errors Only.

Prerequisites
The user must have been assigned the role of SRM Administrator. For more information, see SAP Solution Manager under <project name> Configuration SAP SRM <release> User Configuration . Basic Settings for SAP SRM Business Package for SAP SRM 7.0

Features
The monitors are: Shopping Cart Monitor After making a detailed selection using various search criteria, the application lists the shopping carts that were found in the system where you can then display items per shopping cart. The administrator can: Access and process erroneous shopping carts and items directly from the list Delete a shopping cart (depending on its status) Trigger the creation of follow-on documents Transfer items to the back-end system again

The system automatically sends a notification e-mail informing the requester of any changes to the shopping cart. Business Partner Change Monitor Here, you can search for and display changes to specific business partner data. Contract Distribution Monitor This application monitor lists all alerts that have been generated as a result of incorrectly-distributed global outline agreements and provides checking facility for an overview of the sources of error in contract distribution. In addition, the monitor serves to successfully distribute all global outline agreements from your SAP SRM system. From this list, you can display the contract where the error occurred. The following table lists the categories of error messages that the SRM Administrator can display and delete. Error Type Approval Errors Description This lists problems with approval workflows, such as starting conditions and approver assignments. Confirmation Errors Here, the administrator can check:

 Purchase Order Errors Invoice Errors Contract Management Errors

Back-end goods receipt errors IDoc communication errors Spooler communication errors Back-end service entry errors

Here, the administrator can check: Back-end application errors. The user can subsequently trigger the transfer again. IDoc communication errors Output errors. From here, the administrator can access the error log. Planning system errors Transfer communication errors

Here, the administrator can check: Back-end invoice errors Back-end commitment errors Output errors. From here, the administrator can access the error log. IDoc communication errors

Here, the administrator can: Delete specific error messages View a list of errors, such as processing errors in the back-end system or inconsistent processing times

Procurement Card Errors

Here, the administrator can check: Back-end application errors IDoc communication errors

Auction Errors

Here, the administrator can: Delete specific error messages View external auction tool errors

RFx Errors

Here, the administrator can: Delete specific error messages View back-end application errors, communication errors, local errors, output errors, planning system errors and automated grouping errors. Display the RFx Response details

RFx Response Errors

Here, the administrator can: Delete specific error messages View details of a specific error Transfer the item back to the processor

Component Planning

Here, the administrator can check: Back-end application errors Spooler communication errors

User Administration

Here, the administrator can check for errors that were made during the creation or modification of users.

6.2.2 Change Documents

A change document logs changes to a business object. The document is created independently of the actual database change.

Prerequisites
For changes to a business object to be logged in a change document, the object has been defined in the system as a change document object. The object class is the name under which a change document object is created. The object class in SAP Supplier Relationship Management (SAP SRM) is BBP_PRODOC.

Features
The change document header contains the header data of the change to an object ID in a particular object class. The change document number is automatically issued. The change document item contains the old and new values of a field for a particular change, and a change flag. The change flag shows that data has been updated or inserted. The change document number is issued when a change is logged, that is, when the change document header is created by the change document creation function module (function group SCD0). The change number is not the same as the change document number. The change document number is issued automatically when a change document is created for a change document object. The change number is issued by the user when changes are planned. The same change number can be used for various change document objects.

Activities
Users with the Purchaser role can access the changed document by selecting Display RFx and choosing Tracking. When you open Change Documents, you can view what has been changed, the old and new values of the item, who made the change, and when the change was made.

6.2.3 Assign Users Created in SAP NetWeaver Identity Management

If you use SAP NetWeaver Identity Management to create users for SAP Supplier Relationship Management (SAP SRM), you have to assign the user accounts created by SAP NetWeaver Identity Management to the employees created by SAP ERP Human Capital Management (SAP ERP HCM) in a manual step in SAP SRM.

Prerequisites
See the Prerequisites section in Identity Management for SAP Supplier Relationship Management (SAP SRM). You have been assigned the role SRM Administrator (/SAPSRM/ADMINISTRATOR).

Features
To assign user accounts to their corresponding HCM employees, choose SRM Administration in the Detailed Navigation in work center SRM Administration.

Open the query Internal Business Partner Unassigned User Accounts. Select a user account and click on Assign to Employee via Personal Number.

6.2.4 User Attributes

A set of user attributes is required for working with SAP Supplier Relationship Management (SRM). Each user attribute represents a value that is stored under a particular name within the organizational structure. Depending on a user's role, a different set of attributes is required.

Note
Employees must have certain user attributes to allow them to create shopping carts without having much information about the business background. A set of attributes is predefined for each of the standard roles supplied with SAP SRM, for example, company code, catalog ID, and purchasing organization. You maintain attributes by scenario. The scenario for SAP SRM is called BBP. You can define attributes either for a particular user (that is, per position) or for an organizational unit. System administrators can define the most important user attributes at organizational unit level. The purchasing organization and purchasing group are also defined using attributes. Managers can change the attributes defined for their organizational unit(s) or for users in their organizational unit(s). Users can change their own attributes, provided they are authorized.

Integration
The user attributes are integrated into the organizational plan.

Prerequisites
The root node for the organizational plan has been defined in Customizing for SAP SRM: Server Cross-Application Basic Settings Organizational Management A first user has been created and assigned to the root node of the organizational plan. Definition of multiple values for attributes Definition of default values for attributes with multiple values You maintain these default values in the organizational plan. Definition of different values for system-dependent attributes in different systems for configurations with several back-end systems. To see which attributes are system-dependent, refer to the table of attributes in SAP Solution Manager underAttributes for the SRM Scenario. SRM . Create Organizational Plan

Features

Note
If you define system-dependent attributes, you must enter the system name followed by a backslash in front of the attribute name. Different types of inheritance for attributes: o Normal or additive inheritance

o o o

Local values overwrite inherited values Local values do not overwrite inherited values. In this case, redefinition is not allowed. No inheritance

Activities
We recommend that the system administrator specify values for the main user attributes. For more information, refer to Customizing for SAP SRM under SRM Server Cross-Application Basic Settings Organizational Management Change Organizational Plan. Before an employee can create a shopping cart, for example, the following attributes must have values assigned to them: Attribute ACS BSA BUK BWA CUR KNT WGR WRK Description System alias for accounting (system in which account assignment is checked) Document type in back-end system Company code Movement type (if back-end system reservations have been created) Local currency Account assignment category Product category Plant in back-end system

Define the attributes Ship-to address (ADDR_SHIPT) and Company (COMPANY) at least once at a high level in the organizational plan. The number of the organizational unit is then copied to the COMPANY attribute. The Ship-to address and Company attributes are then inherited by organizational units at a lower level in the organizational plan. If you define other organizational units as subsidiaries, you can identify these as separate legal entities with different addresses using these attributes.

Assign attributes to roles and maintain the access rights for attributes by role. A set of roles with predefined user attributes is supplied. However, it is possible to create company-specific roles in the customer name range and assign user attributes to them. See Customizing under SRM Server Cross-Application Basic Settings Roles Maintain Attribute Access Rights per Role .

Display the attribute properties, such as attribute text, type of inheritance, priority, and whether the attribute is visible.

Caution
Do not change the properties of supplied user attributes.

6.2.4.1 Change Attributes

You can change attributes and define new attributes, provided you are authorized. For example, as an employee you can change your own attributes. In addition, managers can maintain the attributes for their organizational unit(s) or for users assigned to their organizational unit(s).

Prerequisites

The organizational plan has been defined. The user attributes have been defined at organizational unit level.

Features
Employees and managers can change: User attributes that the system determined from their organizational unit, for example, the plant, purchasing group, and cost center Both system-independent attributes (such as Local currency or Catalog ID) and attributes that have been defined for a particular system (such as Company code or Cost center) Attributes for a specific product category This is useful if the employee does not know the system name. The relevant back-end system is determined on the basis of the product category. Values for an attribute If multiple values are defined, they can define a default value or change the default value if one is already defined. The default value is stored in the organizational plan. They can add an additional value for an attribute. System administrators can: Define an additional value for an attribute already included in the list Delete defined user attributes and define new user attributes Managers can also exclude an attribute, for example, to ensure that it is not given to subordinate users or organizational units.

Activities
Selecting the User Attributes to be Changed Managers can change the attributes of an organizational unit or of a user assigned to one of their organizational units. Employees can only change their own user attributes. You can change either system-independent attributes or attributes defined for a particular system. If you do not know the name of the system, you can select a product category. All product categories for which the employee is authorized are displayed. The system is then determined on the basis of the product category.

Note
If there is only one system, you only have to choose whether you want to maintain system-dependent or system-specific attributes. A list of attributes is displayed corresponding to the selection you have made. Changing Existing User Attributes Providing you are authorized, you can make changes to attributes. You can change attribute values, enter new attribute values, or set a default from multiple attribute values. If a certain attribute value is not to be inherited, you can exclude it. If an attribute value is no longer required, you can delete it.

6.2.5 Workload Distribution

This process describes the automatic assignment of a purchasing group or purchasing organization to the following documents: External requirements

Purchase orders Contracts RFx

Use this process to distribute the workload of documents among the purchasers in your company. Assigned documents automatically appear for processing in the worklists of the purchasers that belong to the purchasing group or organization. The documents are automatically assigned to the purchasing group according to given criteria. This speeds up the entire procurement process, since documents do not have to be assigned manually in order for the purchasers responsible to process them. It is also possible to reassign documents that have already been assigned to a purchasing group or organization if the purchaser responsible for the group or organization is absent, for example.

Prerequisites
The system administrator has implemented and activated the Business Add-In (BAdI) BBP_PGRP_ASSIGN_BADI. Here the rules covering the assignment of purchasing groups to documents are defined. This BAdI contains a method for each type of document to be assigned: BBP_SC_PGRP_ASSIGN for external requirements BBP_PO_PGRP_ASSIGN for purchase orders BBP_CT_PGRP_ASSIGN for contracts SRM Server

BBP_BI_PGRP_ASSIGN for RFx For more information, see the Customizing for Supplier Relationship Management under Business Add-Ins Changes to Purchasing Group and Purchasing Organization Assignments .

Note
If you do not define any rules, the system distributes the documents to a standard purchasing group or organization, as defined in your organizational plan. You can reassign these documents manually or redefine assignment rules in the above-mentioned BAdI and rerun the automatic workload distribution. To do this, you set the filter value ONLINE in the BAdI BBP_PGRP_ASSIGN_BADI. For more information, see Workload Redistribution.

Process
Process Flow The workload distribution process is outlined below. The three diagrams show the process for requirements. Details of each diagram are described underneath each diagram.

Caution
Documents cannot be assigned to purchasing groups that are themselves assigned to different purchasing organizations. Besides, purchasing groups and organizations must reference the same logical system in the back-end. Workload Distribution for Requirements Part A

1. A purchasing requisition is sent to SAP SRM, where it is converted into an external requirement. 2. Upon creation of the external requirements, method BBP_SC_PGRP_ASSIGN of the BAdI BBP_PGRP_ASSIGN_BADI applies the distribution rules. 3. If the requirement conforms to the rules, it is automatically assigned to the correct purchasing group (in this example, purchasing group 01). 4. If no assignment rules are maintained in the BAdI, the standard purchasing group (as defined in the organizational plan in this example, 99) is assigned. The standard purchasing group is also assigned to the shopping carts that are created in SAP Supplier Relationship Management. In this case, you can proceed as follows: Assign a purchasing document manually Define the assignment rules and have the system automatically reassign a purchasing group.

If you do not redistribute the workload, the requirement retains the standard purchasing group.

Note

One purchase requisition can have multiple lines, each of which is assigned to a different purchasing group. This is not shown on the above diagram. For more information, see Workload Redistribution. Part B

The following applies to requirements to which a purchasing group or organization was assigned in Business-Add-In BBP_PRGP_ASSIGN_BADI and to requirements assigned a standard purchasing group or organization (as described above) that retain this group. 1. Depending on your Customizing settings (1/1a), the requirement is passed to the Sourcing application so that a source of supply can be assigned (either automatically or manually in the application Carry Out Sourcing). For more information, see Sourcing . 2. The method BBP_PO_PGRP_ASSIGN of Business-Add-In BBP_PGRP_ASSIGN_BADI applies the assignment rules. If necessary, a different purchasing group is reassigned to the external requirement (in this example, purchasing group 02). 3. A purchase order - with purchasing group 02 - is created from the requirement. This purchase order appears for processing in the worklist of the purchaser(s) responsible for purchasing group 02.

PART C

1. You have created a purchase requisition and sent it to SAP SRM, where the system converts it into an external requirement. 2. You order a shopping cart in the SAP SRM system. 3. The purchase requirement is available in the sourcing application. 4. You can manually assign a purchasing organization or a purchasing group Workload Distribution for POs, Contracts, and RFx A purchasing group is assigned to the PO when it is created from a requirement in the Sourcing application. For more information, see above, section B points 2 and 3. The contract or RFx is handled in the same way. The method BBP_CT_PGRP_ASSIGN of BusinessAdd-In BBP_PGRP_ASSIGN_BADI is applied when a contract is created and a purchasing group or organization is assigned. When you create an RFx, a purchasing group or organization is assigned by means of method BBP_BI_PGRP_ASSIGN.

Note

A PO, RFx, or contract can contain multiple items. Since the purchasing group or organization is maintained at header level, each purchasing group or organization is assigned to the same item. Restrictions Changing the purchasing group or organization by means of workload distribution and redistribution does not require approval that is, no change version is generated. If a document is changed, the historical version is automatically assigned to the new purchasing group or organization. In the standard settings, changes to the active document are updated to the change version. If variances between the active document and the change version are permitted, you can set the appropriate flag in the function module. Reporting For more information, see Workload Redistribution.

Result
External Requirements Depending on your Customizing settings, external requirements to which the system could not automatically assign a valid source of supply appear in the worklist of the user(s) belonging to the assigned purchasing group or organization. For more information, see Sourcing . For more information on configuring sourcing, see the Customizing for SAP Supplier Relationship Managementunder SRM Server Sourcing. Contracts, Purchase Orders, and RFx Contracts and purchase orders appear in the worklists (in the applications Process Contract and Process Purchase Order respectively) of the user(s) belonging to the assigned purchasing group. From here, they can be processed as normal. For more information, see Purchase Orders, Central Contracts, and RFx

Note
In the header data of the contract and purchase order, you can choose the link in the Purchasing Group field to display the members of the assigned purchasing group, plus their telephone numbers.

6.2.6 Workload Redistribution

You use this function to manually assign, or have the system automatically assign, the following documents to the purchasing group responsible for processing them: RFx Requirements Contracts

Purchase orders Workload is redistributed by users who are assigned the role of Purchaser. Documents are redistributed in background processing.

Integration
Documents may have to be manually assigned for the following reasons: The person responsible for the given purchasing group is temporarily absent. The structure of the purchasing group in your organization has changed.

The documents fail the automatic assignment rules. The rules for the automatic assignment of documents to purchasing groups are not maintained. If you do not maintain the assignment rule, documents are assigned to a default purchasing group that has to be processed manually.

Note
You can set up assignment rules and rerun the workload distribution to have the system automatically distribute the affected documents. For more information, see the Customizing for Supplier Relationship Management under Server Business Add-Ins SRM

Changes to Purchasing Group and Purchasing Organization Assignments

Prerequisites
You have maintained standard purchasing groups in the organizational plan. If you want to have the system automatically reassign documents that were assigned to the standard purchasing group as defined in the organizational plan, you must have maintained or remaintained, as necessary the assignment in the Business Add-In BBP_PGRP_ASSIGN_BADI. For more information , see the Customizing for Supplier Relationship Management under Server Business Add-Ins SRM

Changes to Purchasing Group and Purchasing Organization Assignments .

Features
Search for Documents
You can use the search to search for purchase requisitions, contracts, RFx, and purchase orders.

Note
Using the Reporting Workload hyperlink in the search, you can access worklist evaluations. For more information, see below.

List of Results
You can: Sort the results list. Use the hyperlinks in the column headers to sort the documents in ascending or descending order. Click the hyperlinks in the Item column to view the detailed display for the document. Select documents from the results list for assignment. Have the system automatically assign the selected documents to purchasing groups, based on the assignment rules defined in the BAdI BBP_PGRP_ASSIGN_BADI. You see an overview of the reassigned documents that shows the source and target purchasing groups. The system redistributes the documents among the new purchasing groups in the background, and displays any relevant messages. A success message is displayed when processing is complete. Manually assign the selected documents to a purchasing group. Use the input help to select a purchasing group and click OK. The system displays a list of the selected documents. Here you have the option of deselecting individual documents these documents are not reassigned. This means you can simulate workload redistribution before the system changes the purchasing groups.

When you have completed the selection, choose Go. The system reassigns the documents to the new purchasing groups in the background, and displays a success message when processing is complete.

6.2.7 Component Planning

You use this function to perform component-based planning with web-based catalogs proposed by means of the Internet/Intranet for the following objects: Maintenance or service orders Projects You have been assigned to the role Component Planner (SAP_EC_BBP_PLANNER) in the back-end system. You process the roles in Customizing for Supplier Relationship Management under Cross-Application Basic Settings Roles Define Roles . SRM Server

Prerequisites

You have assigned certain values to attributes. For more information, see SAP Solution Manager under <project name> Configuration Structures SAP SRM <release> Basic Settings for SAP SRM Component Planning Defining User Attributes in the Organizational Plan .

Features
The Component Planner can: List and select orders/projects created in the back-end system Select, or if required, change components from web-based catalogs and add them to an order/project transaction Add components manually to an order/project transaction Transport data for components from SAP SRM to the back-end system.

Activities
To search for orders entered in the back-end system or to select orders to which you want to add components, you can enter: Order type Order status Planning plant Location, and so on.

To search for projects entered in the back-end system or to select projects to which you want to add components, you can enter: Search criteria for the order Project definition Work Breakdown Structure (WBS) element Orders and the associated activity numbers Projects or Work Breakdown Structure elements with associated activity numbers

The system displays an overview tree containing the following:

Separate screen areas display the relevant header data and an overview of the components for the first transaction in the overview tree. This data originates from the back-end system.

To add a component to an order, choose the order or the order/project-based activity in the overview tree. The system displays the current header data and the component overview. To add the components to the components overview, either: Copy the components from the web catalog displayed and copy the components to the component overview or Enter the components manually and add the components so that the added components are added to the component overview. To change the component data, choose the component description. The system displays the detail view for the component. Make the relevant changes in this screen and return to the component overview screen. To delete a component, select the appropriate component and choose Delete. However, this is only possible for newly-added components. No action can be performed on existing components in the order when it is called from the back-end.

6.2.8 SRM Alert Management

In SAP Supplier Relationship Management, the Alert Management function allows you to monitor business processes in your SAP SRM system. If events cause changes, the system evaluates them and triggers alerts, messages, or tasks to inform the responsible employees, who can then react quickly and directly.

Integration
Alert Management is composed of functions from the SAP standard component Alert Management but offers extended functionality. Alerts are processed and distributed using the Alert Framework. By default, notifications and alerts are transmitted by e-mail, but it is also possible to view alerts in the universal worklist (UWL) under the Alertstab.

6.2.8.1 Events
SAP SRM provides predefined technical events for business objects. Events can be triggered by any of the following: Business changes made in the system The results of report runs Key performance indicators Passed deadlines

Event schemas are used to control the effects of the events that belong to the business objects. They can be used to define the deadline for triggering a reaction to the event. Event categories are used to define the nature of this reaction. The system determines the recipient for event category Alert using alert category; it sends one of the following: An alert, using alert category. A message, using SAP Smart Form. A work item, using workflow.

Features
The following tables show the SAP SRM events that trigger alerts and messages, grouped according to object types and alert categories. Note that an event always occurs at a predefined time. However, you can trigger an alert or message before or after this time by specifying a negative or positive value. If you enter no deadline, the system assumes that the value is zero and the alert is triggered at the moment of the event. The values suggested in the tables are recommended settings. For the object type Employee (BUS1006003) and alert category SRM_EMPLOYEE: Event ADRESS_CHANGED Comment Triggered if the department of an employee is changed, such as after a change of department or after the initial assignment of a department. The affected employee is informed and is requested to check his or her address data. Enter the value zero to trigger the alert immediately. DEPARTMENT_CHANGED Triggered if the department of an employee having the role of Purchaser is changed,

Event

Comment such as after a change of department or after the initial assignment of a department, or after the employee's position is changed. The administrator is informed and is requested to check the employee's authorizations for the purchasing organization and the purchasing group. Enter the value zero to trigger the alert immediately.

ERROR_OCURRED

Triggered if an error occurs after making a change to the department. Enter the value zero to trigger the alert immediately.

Note
If no alert category is specified, the ADRESS_CHANGED and DEPARTMENT_CHANGED events only trigger messages. For this reason, you cannot define in Customizing that an alert is to be triggered. Note also that these events are not triggered in the case of mass changes, for example, when a whole department is moved, including all employees within the organizational structure. For the object type Purchasing contract (BUS2000113) and alert category SRM_CONTRACT: Comment Triggered if the release-authorized purchasing organization for the contract is changed. Enter the value zero to trigger the alert immediately. BUY_ORGANIZATION_DELETED Triggered if the release-authorized purchasing organization for the contract is deleted. Enter the value zero to trigger the alert immediately. GOING_TO_EXPIRE Triggered by the BBP_CONTRACT_CHECK report if the contract is about to reach its value limit. Enter the value zero to trigger the alert immediately. THRESHOLD_EXCEEDED Triggered by the BBP_CONTRACT_CHECK report if the value limit of a contract has been exceeded. Enter the value zero to trigger the alert immediately. EXPIRE_TASK_NOT_PROCESSED Triggered if a contract is nearing the value limit and a reminder work item has been sent but not checked within the specified time. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. LOCKED Triggered if a contract is locked. Enter the value zero to trigger the alert immediately. UNLOCKED Triggered if a contract is unlocked. Enter the value zero to trigger the alert immediately. RELEASED_NEWLY Triggered if a contract is released for the first time.

Event BUY_ORGANIZATION_CHANGED

Event

Comment Enter the value zero to trigger the alert immediately.

RELEASED_AGAIN

Triggered if a contract is re-released, for example, after a renegotiation. Enter the value zero to trigger the alert immediately.

WF_COMPL_LATEST_START

Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

WF_COMPL_LATEST_END

Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

WF_COMPL_REQUESTED_END

Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

WF_APPR_LATEST_START

Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

WF_APPR_LATEST_END

Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

WF_APPR_REQUESTED_END

Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

APPROVAL_PROCESS_DOC_APPROVED Triggered if the approval process ends with the document being approved. APPROVAL_PROCESS_DOC_REJECTED Triggered if the approval process ends with the document being rejected. For the object type RFx (BUS2200) and alert category SRM_BID_INV: Comment Triggered if not all RFx responses received have been accepted or rejected at the end of the RFx period. Enter a negative value for the deadline to define how long before the

Event NOT_ALL_BIDS_APPROVED

Event

Comment event the alert should be triggered.

NO_BID_SUBMITTED

Triggered if a bidder has not submitted an RFx response before the end of the RFx period. Enter a negative value for the deadline to define how long before the event the alert should be triggered.

PUBLISHED

Triggered if an RFx is published, for example, after it has been approved by a manager. Enter the value zero to trigger the alert immediately.

PUBLISHED_AGAIN

Triggered if an RFx is published again, for example, after it has been changed. Enter the value zero to trigger the alert immediately.

APPROVAL_PROCESS_DOC_APPROVED Triggered if the approval process ends with the document being approved. APPROVAL_PROCESS_DOC_REJECTED Triggered if the approval process ends with the document being rejected. For the object type Purchase order (BUS2201) : Comment Triggered if the purchase order of a purchaser is transferred. Enter the value zero to trigger the message immediately. SENT_AGAIN Triggered if the purchase order of a purchaser is transferred again. Enter the value zero to trigger the message immediately. APPROVAL_PROCESS_DOC_APPROVED Triggered if the approval process ends with the document being approved. APPROVAL_PROCESS_DOC_REJECTED Triggered if the approval process ends with the document being rejected. For the object type Supplier RFx response (BUS2202) and alert category SRM_QUOTATION: Comment Triggered if an RFx response is accepted, for example, by the manager of the purchasing organization. The recipients of the message are the supplier and the purchaser. Enter the value zero to trigger the message immediately. REJECTED Triggered if an RFx response is rejected, for example, by the manager of the purchasing organization. The recipients of the message are the supplier and the purchaser. Enter the value zero to trigger the message immediately.

Event SENT

Event ACCEPTED

Event RETURNED

Comment Triggered if a submitted RFx response is returned. The recipient of the message is the purchaser for the RFx. Enter the value zero to trigger the message immediately.

SUBMITTED

Triggered if an RFx response is submitted by a supplier. The recipient of the message is the purchaser for the RFx. Enter the value zero to trigger the message immediately.

APPROVAL_PROCESS_DOC_APPROVED Triggered if the approval process ends with the document being approved. APPROVAL_PROCESS_DOC_REJECTED Triggered if the approval process ends with the document being rejected. For the object type Confirmation (BUS2203) and alert category SRM_CONFIRMATION: Comment Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_COMPL_LATEST_END Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_COMPL_REQUESTED_END Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_LATEST_START Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_LATEST_END Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_REQUESTED_END Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. APPROVAL_PROCESS_DOC_APPROVED Triggered if the approval process ends with the document being

Event WF_COMPL_LATEST_START

Event

Comment approved.

APPROVAL_PROCESS_DOC_REJECTED Triggered if the approval process ends with the document being rejected. For the object type Auction (BUS2208) and alert category SRM_AUCTION: Comment Triggered if an auction is published, for example, after it has been approved by a manager. The recipients of the alert are the invited bidders. Enter the value zero to trigger the alert immediately. WITH_DRAWED Triggered if a published auction is withdrawn. The recipients of the alert are the invited bidders, including those who have already submitted bids. Enter the value zero to trigger the alert immediately. For the object type Purchase order response (BUS2209) and alert category SRM_PO_RESPONSE: Event WF_COMPL_LATEST_START Comment Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_COMPL_LATEST_END Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_COMPL_REQUESTED_END Triggered if the work item for completing the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_LATEST_START Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_LATEST_END Triggered if the work item for approving the document is not completed by the deadline. Enter a positive value for the deadline to define the time that elapses before an alert is triggered. WF_APPR_REQUESTED_END Triggered if the work item for approving the document is not completed by the deadline.

Event PUBLISHED

Event

Comment Enter a positive value for the deadline to define the time that elapses before an alert is triggered.

For the object type Purchase order SUS (BUS2230) and alert categories as shown in the table below.

Note
All events relating to SAP Supplier Self-Services (SUS) are triggered by the SUS purchase order, since this document is the basis of all follow-on documents. A SUS event is always triggered by an action that failed to occur with respect to a SUS purchase order. The recipients of alerts in SUS are always the supplier's users. In role maintenance (accessed with transactionPFCG), you can use the personalization object BBP_SUS_ROLE_ATTRIBUTES to define by role the recipients of the alerts or messages of specific events. Alert Category SRM_SUS_AVIS Event ASN_FOR_PO_NOT_CREATED Comment Triggered if no shipping notification is created on time by a supplier for an order. The delivery dates are stated in the purchase order. Enter a negative value for the deadline to define how long before the event the alert should be triggered. SRM_SUS_CONFIRMATION CONF_FOR_PO_NOT_CREATED Triggered if no service confirmation (service entry sheet) is created on time by a supplier or service agent for an order. The end date is stated in the purchase order. Enter a positive/negative value for the deadline to define how long after/before the event the alert should be triggered. SRM_SUS_INVOICE INV_FOR_PO_NOT_CREATED Triggered if no invoice is created on time by a supplier for an order. The last delivery date as stated in the purchase order is crucial. Enter a positive/negative value for the deadline to define how long after/before the event the alert should be triggered. SRM_SUS_PO_CONF PCO_FOR_PO_NOT_CREATED Triggered if no purchase order response is created on time by a supplier for an order. The time of receipt of the purchase order is crucial. Enter a positive value for the deadline to define how long after the event the alert should be triggered.

Alert Category SRM_SUS_PO

Event PO_NOT_VIEWED

Comment Triggered if a new order is not displayed on time by the supplier. The time of receipt of the purchase order is crucial. Enter a positive value for the deadline to define how long after the event the alert should be triggered.

6.2.8.2 Processing of Alerts

Alerts are displayed in the universal worklist (UWL) under the Alerts tab in the SAP SRM portal. Depending on your portal configuration, you may also have access to an Alerts tab page that displays the alerts assigned to you. In the portal, you can display detailed information for a selected alert and navigate to the affected SAP SRM documents to correct the cause of the alert. You can personalize your alert inbox and subscribe to alert categories. Note that messages are delivered neither to the alert inbox nor to the UWL; rather, they are distributed by e-mail.

Integration
The alerts service is based on the standard alert inbox service.

More Information
For more information, see the SAP Help Portal under NetWeaver Library Key Areas of SAP NetWeaver Business Communication Services http://help.sap.com SAP NetWeaver SAP Key Areas of Application Platform Business Services Alert Inbox . Alert Management (BC-SRV-GBT-ALM)

6.2.9 Central Substitution

This function allows you to specify another colleague as a substitute who can take over specific tasks assigned to you if you are absent from the office. You can create substitution rules for planned or unexpected absences. Previously it was possible to specify a substitute for team purchasing tasks as part of SRM user settings. Workflow substitutions were maintained in UWL or SRM Inbox. There was no substitution function for sourcing application. The substitution function has been centralized so that you can now use a single screen to create substitutes for: Team purchasing This function allows an employee to take over a team shopping cart from another employee. As a prerequisite, either the original requester or an SRM administrator must nominate the user as a purchasing substitute. For more information, see Team Purchasing Sourcing If the buyer in the sourcing application wants to define substitute, who can take over the SC which are saved by the buyer from his or her worklist those substitute should be defined here. Workflow Depending upon the use of SRM inbox or UWL the substitutes are defined. Now there is one central location where the substitutes can be defined irrespective of the place. Data is harmonized to ensure that the central substitution and SRM inbox or UWL show consistent data

Features
Substitution Rules You can use substitution rules to specify another user as a substitute and to specify what type of tasks a substitute can take over from you. For each substitute you can specify a start and end date, defining the period during which that user is authorized to act as your substitute. For Workflow Tasks, there are two possible settings: Receives My Tasks: The substitute receives all tasks that are assigned to you. Fill in For Me: The substitute can choose to take over all tasks assigned to you.

You can also see any substitution rules that specify you as a substitute for another user. For workflow tasks you can take over tasks currently assigned to a user who has authorized you as a substitute with the substitution type Fill in For Me. If the other user has specified your substitution type as Receives My Task, you automatically receive all of that users tasks. For workflow, you can see substitution rules that specify you as a substitute for another user only when the rule is active.

6.3 Central Contract Management

You can use this function to manage central contracts in SAP Supplier Relationship Management (SAP SRM) and connected SAP ERP systems. The features of contract management allow you to negotiate new contracts with new and existing suppliers, as well as renegotiate expiring contracts with existing suppliers.

Integration
Initial Upload from SAP ERP to SAP SRM
You can use program BBP_CONTRACT_INITIAL_UPLOAD to upload purchasing contracts and scheduling agreements from an SAP ERP system to an SAP SRM system to use as the basis for a central contract. This upload is a one-time activity performed at the time of installation in the SAP SRM back-end system. For more information, see the program documentation using transaction SE38.

Search and Classification (TREX)

In central contracts, you can use the TREX Search Engine to carry out full-text searches in attachments, supplier texts, and notes. The TREX Search Engine is delivered with SAP SRM, but you must first install it and run programBBP_TREX_INDEX_ADMIN. This program creates a new index for existing documents and enables all new or changed documents to be indexed automatically when you save the central contract. The documents must be indexed for the full-text search to work.

SAP NetWeaver Business Warehouse

You can integrate SAP NetWeaver Business Warehouse, to use reports to evaluate and analyze your central contracts. For more information, see the SAP Help Portal at http://help.sap.com SAP NetWeaver BI Content Supplier Relationship Management Contract Management .

Archiving
You can archive complete hierarchies by running a report in the system. To do this, the contracts within the hierarchy must all have the status of Can be Archived. For more information, see Archiving Central Contracts (SRM-EBP-CON).

Features
In the Central Contract Management application, you can use the following features: Create and change a central contract and renegotiate an existing central contract directly with suppliers by creating an RFx (see Central Contracts and Creating Central Contracts). Use a central contract as source of supply across all connected systems, accumulating buying power into a superordinate contract using contract hierarchies (see Central Contract Hierarchies). Update data in purchasing info records and source list records automatically when you create or change a central contract then distribute it from SAP SRM to SAP ERP (see Central Contract Distribution). Control access to a central contract through the assignment of authorizations (see Authorizations in a Central Contract). Configure the system to generate alerts for release quantity or expiring contracts, for example. This helps you to tailor your central contract and define its conditions as you develop it. For more information, see Alert Management. Check the status of a central contract throughout its lifecycle (see, Status Management)

Export and import data from central contracts. This allows you to create or edit data offline and then update it in the system (see Upload and Download of Purchasing Documents). Check the change history for all fields on the user interface in central contract management and select versions of a central contract and compare changes at header and item level (see Central Contracts).

6.3.1 Central Contract

A long-term purchase agreement by which materials or services are procured over a certain predefined period. This contract is negotiated by a central purchasing organization and is used by all authorized purchasing organizations. A strategic purchaser creates a central contract as soon as it becomes clear that the relationship with a supplier is long-term. The system releases the quantity and value of purchase orders (POs), limit confirmations, and invoices against the central contract.

Structure
A central contract is structured using several tab pages that store detailed information. The following tables and sections outline these tab pages.

Overview
Section General Header Data Field Target Value/Currency Release Value Basic Contract Description The value that you expect to purchase from a supplier in a specified currency and within the time period of the central contract. The accumulated value of all POs against this central contract. If you select this checkbox, the contract contains only header data and conditions, but no line items. Basic contracts cannot be distributed to a catalog. Items Item Category You have the following options without assignment of a hierarchy template: Normal Contains a product category Product Category A complete product category. For product category items, you must define a target value. You cannot restrict a product category item to a single catalog. The item always refers to all connected catalogs. You can add the following types when the hierarchy template is assigned: Material Outline Service

This is used to create a service hierarchy. Product Category You cannot change the product category of product category items if a contract release order exists.

Header
Section Basic Data Description You can edit contract details, including name, purchasing organization, validity dates, currency, and delivery timeline. Conditions You can create conditions such as discounts for a central contract (see, Conditions in Central Contracts and Bids). Exchange Rate Thresholds Hierarchy You can assign a contract to a superordinate contract. This allows you to group similar contracts together and negotiate more favorable terms. Distribution You can see the aggregated list of all distribution entries at item level, which indicates the contract that will be created in the SAP ERP system based on the purchasing organization and plant. Notes and Attachments You can assign notes for the supplier or create internal notes. You can also add attachments to the general header data of a contract or to individual items. You can also access notes and attachment from the main Notes and Attachments tab page. You can send the contract to a printer, by fax, or by e-mail. You can also print the contract to send by post to a supplier. You can add currencies and set lower and upper limits for thresholds.

Output

Items
You can open this tab page directly, or you can choose Details on the Overview tab page. The details for the selected item are displayed. These details include information on pricing conditions, approval status, distribution, and release status.

Conditions
On the Conditions tab page, you can add conditions on both header and item level. All items that are available on the Overview tab page are available. This gives you the opportunity to add conditions to various items on a single user interface (UI). It is also possible to copy and paste conditions.

Authorization
This tab page allows you to apply conditions and authorizations to specific users. This determines the type of authorization a user has for the main information in the contract, the notes and attachments, and the conditions. You can also define who has permission to change authorizations. The authorizations are No Access, Display, andChange. For more information, see Authorizations in a Central Contract.

Approval
Depending on the terms agreed on in the contract and based on the workflow settings, the system automatically approves a contract or selects an approver. You also have the option to add additional approvers, if required.

Tracking
This tab page allows you to access change documents for all fields in central contract management providing a change history. You can also select versions of a central contract and compare changes at header level and item level. To display change documents, and to compare versions of a central contract, choose Tracking when you display the central contract.

Note
This requires version control to be switched on in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Switch On Version Control for Purchasing Documents .

Integration
Business Scenarios
Central contracts are used in the following business scenarios: Operational Contract Management Strategic Sourcing with RFx

SAP NetWeaver Business Warehouse (SAP NetWeaver BW)

If you integrate SAP NetWeaver BW, you can use the following evaluations for central contracts: Supplier evaluation For more information, see Customizing for Integration with Other SAP Components under to the SAP Business Information Warehouse Events for Supplier Evaluation in SRM . Maverick evaluation For more information, see Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Cross-Application Basic Settings Define Logical Systems and Template Names for BI Reports . The system transfers only information about the responsible purchasing organization to SAP NetWeaver BW. The responsible purchasing organization is stored in the central contract together with the purchasing group. The system does not transfer information about the release-authorized purchasing organization. You can use SAP NetWeaver BW alerts to start workflows, for example, to start a workflow when 90% of the target value or quantity is reached. Data Transfer Define

Settings for Application-Specific DataSources (SRM)

6.3.1.1 Creating Central Contracts

You can create a new central contract in the SAP Supplier Relationship Management (SAP SRM) system, add conditions, define distribution, and release the contract as a source of supply. If you need to create similar contracts, you can also firstly create a template, or you can copy an existing contract

Note
You can also create central contracts in the following: Sourcing You can create a central contract locally or in the back-end system using a Business Add-In (BAdI). For more information about creating central contracts in the back-end system, see Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Shopping Carts and Requirement Items Determine Back-End System/Company Code . For more information, see Sourcing. Using the SAP Bidding Engine application (see SAP Bidding Engine)

Procedure
1. Choose 2. Choose Strategic Purchasing CCTR Create . Contract Management Contract . 3. On the Overview tab page, under General Header Data, enter a supplier ID and specify the validity period for the contract.

Note
You can also choose Basic Contract. This allows you to create a valid contract that has header details, but does not include items details. If you do not create a basic contract, you must add at least one line item to your contract. 4. In the Items section, enter a product ID, product category, target quantity, target value, price and press Enter to confirm your entries. 5. ChooseDetails to open the item. 6. On the Conditions tab page in the item details, choose Add Condition. 7. Choose Discount (%), for example, under Condition Type and enter an amount. This allows you to offer a percentage discount on the contract item. 8. On the Distribution tab page, select a release-authorized purchasing organization. This allows you to choose what back-end systems you want to distribute the central contract to.

Note
At this point, you can also decide if you want to update the info record and source list, which are associated with the contract item, automatically in the target system(s). You can also mark the source as blocked or fixed. For more information, see Central Contract Distribution. 9. On the Header tab page, choose Distribution and enter a target value. 10. Choose Check. 11. Proceed as follows: If you want to save the central contract, but do not yet want to make it available as a source of supply, for example, because you want to add details or make changes, choose Save. If you are ready to release the central contract and want to make it available as a source of supply, chooseRelease. For more information, see Status Management.

Note
Once a central contract has been released, it can no longer be assigned to a hierarchy

Create a Contract Template

1. Choose 2. Choose Strategic Purchasing CCTR Create . Contract Management Contract Template .

3. Enter the details you require in the template. When you are finished this template can be used to create other similar contracts.

Note

A contract template does not contain an Authorizations tab page. The Conditions tab page is also not available, however you can still create conditions from the Header and Items tab pages.

Copy an Existing Contract

To copy an existing contract, you can select a contract in the Central Contracts table and choose Copy, then Save.

Note
You can also copy an existing contract by displaying the contract and choosing Copy Save .

6.3.1.2 Central Contract Distribution

You can use this function to distribute central contracts from SAP Supplier Relationship Management (SAP SRM) to SAP ERP systems. This allows release-authorized purchasing organizations to use central contracts that are negotiated by the central purchasing department as a source of supply. Local purchasing organizations have the opportunity to order materials and services on the terms agreed centrally within the central contract. The option to automatically update of the source list records and info records is another useful feature of central contract distribution. In SAP SRM, you can choose an update type for each record in the contract or you can decide to not update the record. When you distribute the contract, the records are updated automatically in the target system(s), according their status in SAP SRM. This removes the manual effort of updating the records after distribution.

Note
You can also distribute central contracts with service hierarchies into SAP ERP. To use this function, you must activate the business function SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1). The following Customizing activity is relevant: Cross-Application Basic Settings SAP Supplier Relationship Management SRM Server Service Procurement Activate Central Contract Management Innovations

(EHP1) . If you have not activated the business function SRM_SERVICE_PROC_1, you have to assign the distribution values on item level, as the overall Distribution tab page is not available.

Prerequisites
You have been assigned the Strategic Purchaser role (portal rolecom.sap.pct.srm.ro_strategicpurchaser, SRM Server role SAP_EC_BBP_ST_PURCHASER). Purchasing organizations must be authorized to create releases against contracts. You have defined the relevant back-end systems in Customizing.

Features
Distribution
Release-authorized purchasing organizations and the assigned items with their corresponding values are available on the Distribution tab page at header and item level in the contract. At header level, you can see the target values for the whole contract, with all items aggregated. At item level, you can see which release value for each item is assigned to which purchasing organization.

The central contract exists in each specified release-authorized purchasing organization with a different number. The contract numbers (SAP SRM contracts and SAP ERP contracts) are displayed on the Tracking tab page. When you subsequently search for contracts, the system displays both the SAP SRM contract number and the number under which it is known in the respective SAP ERP systems.

Note
By default, every item in a central contract is available locally as a source of supply. If you do not want the items to be available locally, select Block Local Sourcing under Items General Data . For more information about the upload and management of central contracts in SAP ERP see SAP Help Portal at http://help.sap.com SAP ERP Enhancement Packages SAP ERP Central Component Logistics Materials Management (MM) OA) Contract Purchasing (MM-PUR) Outline Purchase Agreements with Vendors (MM-PUR. Central Contract SRM Central Contract

Purchasing Info Records

When you create or update a contract, you can specify the info record update type on the Distribution tab page at item level. This allows you to decide if you want the info record to be updated automatically or not updated in the back-end system. The update happens when the contract is released and distributed from the SAP SRM system. The following update types are available: No update Update with or without plant Update with plant SAP ERP SAP ERP Central Purchasing (MM-PUR) Purchasing

Update without plant For more information, see SAP Help Portal at http://help.sap.com SAP ERP Central Component Logistics Info Records (MM-PUR-VM) . Materials Management (MM)

Component SAP ERP Enhancement Packages ERP Central Component Enhancement Package 4 SAP ERP

If the price history is configured for an update in back-end system, it is updated at the same time as the info record. Info records are created only for materials. If a distribution entry does not relate to a material you cannot select an info record update type.

Note
Info records are not linked to the contract from which they were created or updated. For this reason, the following actions have no effect on info records in the back-end system: Locking of central contract Changing the status of a contract item to active or inactive Archiving a contract Closing a contract

Source List Records

You can also have the option to update the source list automatically in the back-end system when the contract is distributed. You do this by selecting or deselecting the Source List Update checkbox on the Distribution tab page.

You can also decide if the source list record should be fixed or blocked. A fixed source list consists of preferred sources that are valid over a certain period of time. A blocked source should not be used as a source of supply. For more information, see SAP Help Portal at http://help.sap.com SAP ERP Central Component Logistics Purchasing (MM-PUR-SQ) Materials Management (MM) Source List . SAP ERP SAP ERP Central Purchasing (MM-PUR) Optimized

Component SAP ERP Enhancement Packages ERP Central Component Enhancement Package 4 SAP ERP Source Determination

6.3.1.3 Alert Management

When you create a contract in the SAP Supplier Relationship Management (SAP SRM) system, certain default release values are displayed in the contract. As a strategic purchaser, you can overwrite these default values in each contract. When the contract is released, the release values trigger alerts when the following applies: The validity of the contract has almost expired. The release quantity is approaching the target quantity. The release value is approaching the target value.

Once alerted, strategic purchasers can renegotiate contracts in a timely fashion.

Prerequisites
You have specified the default alert thresholds for contract expiry dates, release quantities, and release values in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Enter Alert Threshold Data for Contracts SRM Define Transaction Types Event and Event Schema for Alert You have defined transaction types in Customizing for SAP Supplier Relationship Management under Server Cross-Application Basic Settings Management under SRM Server You have defined who you want to receive alerts in Customizing for SAP Supplier Relationship Cross-Application Basic Settings Management Define Recipient of Notifications

Activities
In the central contract, you can enter the following values: On header level, you can enter new values for the alert release value and alert expiration. On item level, you can enter new values for the alert release value and alert release quantity. This is done on theGeneral Data tab page. Sent by e-mail to the purchaser and to the entire purchasing team Displayed in a BI report in the SAP SRM system under Strategic Purchasing Expiring Contracts Displayed on the Alerts tab page in the Work Overview

Depending on the settings that you have made in Customizing, the alert can be: Reports Contracts

Example
The following table shows how you could configure two alerts in a central contract: Field on Header Level Percentage Number of days Alert is output when

Field on Header Level Alert Release Value Alert Expiration

Percentage

Number of days

Alert is output when

80%

NA

The release value of the contract is equal to or exceeds 80% of the contract value

NA

30 days

The contract is due to expire in 30 days or less

More Information

6.3.1.4 Status Management

This function manages the status of a central contract throughout its lifecycle in the SAP Supplier Relationship Management (SAP SRM) system.

Integration
Central contracts are used in the following business scenarios: Operational Contract Management Strategic Sourcing with RFx Your system administrator has made all necessary basic settings for contract management and for the business scenarios outlined under the Integration section of this document. For more information about the configuration of these scenarios, see SAP Solution Manager. To preview contracts, you have installed an application on your PC that can display PDF files.

Prerequisites

Features
Throughout the life of a contract, you can perform various actions that affect the status, such as releasing or deleting a contract. The following table describes the possible statuses that the system sets in response to these actions: Central Contract Statuses Status Awaiting Approval Description Depending on how your system is configured, an approval workflow may be started when you chooseRelease. In this case, the system sets the status Awaiting Approval. For more information, see Process-Controlled Workflows. Can Be Archived The system sets this status if a central contract was deleted and if all archiving parameters are fulfilled. The system checks that no follow-on processes exist and that the residence time is met. By maintaining theResidence Time, you can define the period after which a central contract can be archived. A contract that has been archived can be displayed, but it can no longer be changed. Central contracts are archived and deleted using the archiving object BBP_CTR. You can use the transactionArchiving Objects (AOBJ) to display all archiving objects in SAP SRM and their associated tables. You manage document archiving with the transaction Document Archiving (SARA). For more information, see Customizing for SAP SRM under SRM Server Cross-Application

Central Contract Statuses Status Description Basic Settings Document Archiving . Completed The system sets this status when you choose Close Contract for a central contract in status Expired or in status Released. This status is irreversible. You can search for contracts in status Completed and use them as templates. A central contract in status Completed can be archived if all archiving parameters are fulfilled. The system checks that no follow-on processes exist and that the residence time is met. By maintaining the Residence Time, you can define the period after which a central contract can be archived. A contract that has been archived can be displayed, but it can no longer be changed. Deleted You can set this status only if the contract has not yet been released. A central contract in status Deleted can be archived. The system sets this status if the distribution of a central contract to the back-end systems failed. The system sets this status if the validity period has expired, or if the target value in the header is exceeded. If you want to automatically enable the owner of the contract to receive an inbox message when the contract expires, ask your system administrator to schedule the report Check Central Contract Data(BBP_CONTRACT_CHECK). Alternatively, you can specify the default alert thresholds for contract expiry dates. For more information, see Customizing for SAP SRM under Basic Settings Enter Alert Threshold Data for Contracts . SRM Server Cross-Application

Distribution Incorrect Expired

By choosing Renew, you can create an RFx for an expired contract to improve conditions with existing suppliers or to determine new suppliers. Using the SAP Bidding Engine, you can then either create a new contract or update an existing one. In Distribution In Negotiation In Process The system sets this status when a central contract has just been created and is in the process of being edited. In Renewal Locked The system sets this status when you choose Renewfor a central contract in status Released. The system sets this status when you choose Lock to make a central contract temporarily unavailable as a source of supply. To unlock a locked central contract, choose Unlock. Release Rejected The system sets this status if the central contract was not approved for release. The system sets this status if a central contract is in the process of being distributed to the back-end systems. The system sets this status when you choose Renewfor a central contract in status Saved.

Central Contract Statuses Status Released Description The system sets this status after you choose Releaseand after the central contract has been approved. The central contract can now be used for sourcing by the following: Strategic purchasers to find sources of supply to meet POs Employees when ordering from a company catalog

For more information, see Uploading of Central Contracts to a Catalog. Saved The system sets this status when you save the central contract. The contract is not available for sourcing until you release it and it is approved.

6.3.1.5 Exchange Rate Thresholds

To reduce the risk of exchange rate fluctuations, you can define exchange rate thresholds in contracts. In the contract, you enter the currencies in which a purchase order (PO) is likely to be created, and enter a lower and upper exchange rate threshold. When you create a PO against this contract, the system checks the PO to see if the exchange rate is between the lower and upper exchange rate threshold and displays a warning or error message, if required.

Note
Where an error message is displayed, you must update these thresholds manually in the contract before you can save or release it, or post a PO. When you create a PO against this contract, an information, warning, or error message is also displayed if the PO currency was not specified in the contract.

Prerequisites
You must do the following: Assign the strategic purchaser role to your user. Decide what type of message (information, warning, or error) you want to appear. You have made the corresponding setting in Customizing for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Message Control Influence Message Control

6.3.1.6 Central Contract Hierarchies

When you create or change a central contract in Central Contract Management, you can assign it to a central contract hierarchy. This enables you to do the following: Group together similar contracts, making them easier to find and process Make consistent changes to all central contracts in a central contract hierarchy or in part of a central contract hierarchy For more information, see Mass Changes in Central Contracts.

Stipulate terms and conditions that apply to a central contract hierarchy, and negotiate, for example, more favorable discounts for your entire organization

Integration
You can use central contract hierarchies in SAP NetWeaver Business Warehouse (BW) reports, for example, to display the aggregated release value across a central contract hierarchy. For more information, see SAP Help Portal at http://help.sap.com SAP NetWeaver BI Content SAP Supplier Relationship Management Central Contract Management .

Prerequisites
You have activated central contract hierarchies in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Activate Hierarchies for Product . Categories, Suppliers, and Contracts

Features
A central contract hierarchy is subject to the following rules: The top node of the hierarchy cannot have a superordinate contract Each central contract except the top node has exactly one superordinate contract Each central contract can have one or more subordinate contracts, or no subordinate contracts A central contract can belong to only one hierarchy or no hierarchy

Activities
Assigning a Central Contract to Central Contract Hierarchy
When creating or changing a contract in Central Contract Management, assign the contract to a superordinate contract on the Hierarchy tab page. Only central contracts that are not already released can be assigned to a central contract hierarchy.

Releasing Central Contracts in Central Contract Hierarchy

Always release central contracts in a central contract hierarchy from the top down, that is, start with the superordinate contract and subsequently release each subordinate contract.

Note
Once a central contract has been released, it can no longer be reassigned within a central contract hierarchy.

Determining the Aggregated Release Value and Discounts Based On the Aggregated Release Value
The aggregated release value is the sum of all values that have been ordered against a particular central contract. The system determines the release value for each hierarchy level automatically and updates the aggregated release value for the entire central contract hierarchy. The system can determine discounts that are based on the aggregated release value for the entire central contract hierarchy. To use this special condition type in the calculation schema, you must make the appropriate settings in Customizing for SAP Supplier Relationship Management under SRM Server CrossApplication Basic Settings Pricing Process Condition Types .

Archiving
You can archive central contract hierarchies or parts of central contract hierarchies. This requires you to assign the status Can be Archived to all central contracts in the hierarchy. You must assign this status from

the bottom up, that is, you start with the lowest contract in the hierarchy and end with the highest contract in the hierarchy. This status can be assigned only if the following criteria are met: The central contract has the status Completed. In Central Contract Management, the status Completed must be assigned from the bottom up, that is, you start with the lowest central contract in the hierarchy and end with the highest central contract in the hierarchy. The central contract has the status Deleted. All corresponding purchase orders (including all purchase order items) can be archived.

6.3.1.7 Changing Suppliers in Central Contracts

You can transfer some or all central contracts and purchase orders from one supplier to another in the case of a merger or buyout. This is known as novation. In addition to changing the number of a supplier in a contract, you can define a new validity period for the contract. The system recalculates the validity period for the old supplier. Roles Role Name Operational Purchaser Strategic Purchaser SAP SRM Administrator Portal Role SAP SRM Server Role

Note
You can also use this function to search for central contracts with a particular supplier.

Prerequisites
You are assigned to one of the roles in the following table:

com.sap.pct.srm.ro_operationalpurchaser SAP_EC_BBP_OP_PURCHASER com.sap.pct.srm.ro_strategicpurchaser com.sap.pct.srm.ro_srmadministrator SAP_EC_BBP_ST_PURCHASER SAP_EC_BBP_ADMINISTRATOR

Activities
In Contract Management, you can enter the names of the old and new suppliers. You can also enter information on the date, time zone, and contract name.

Note
It is possible to perform this action in the backend using transaction BBP_CTR_01. When you execute the action, the system displays all contracts with the number of the old supplier. You can select the contracts in which you want to replace the number of the old supplier with the number of the new supplier and then choose Carry Out Novation.

Note
If you want to simulate the changes, be sure to select Test Run.

6.3.2 Authorizations in a Central Contract

You can configure the system to authorize limited access to a central contract for departments outside of strategic purchasing. You can authorize all users assigned to a role to create, change or display specific sections of a standard or confidential central contract.

Example
The legal department needs to assess the Notes and Attachments of a contract before it can be approved for final release. You can assign a user in the legal department Display or Change access to Notes and Attachments, and No Access to other fields, such as Conditions, which guarantees the confidentiality of the purchasing conditions of the central contract.

Prerequisites
Your system administrator has assigned create or change authorization to authorization object BBP_CTR_2 or to the role to which you are assigned, as described in SAP Solution Manager under Contracts SAP SRM Scenarios Operational Contract Management Configuration Business Processes Developing . Contract. Assign general contract authorizations Assigning Authorizations

Activities
You assign authorizations in SAP SRM under authorizations to the user as required. Strategic Purchasing Contract Management In the contract, open the Authorization tab page, enter a new user or select an existing user, and assign

6.3.3 Mass Changes in Central Contracts

You can use this function to apply the same changes to the following: One or more central contracts A central contract hierarchy or part of a central contract hierarchy

Example
It is the end of the year and time for you to renew your central contracts with Supplier X. During the past year, you have increased your order volume with Supplier X by 20%. As a result, you have agreed an additional 2% rebate on all of your orders and a reduction in delivery time of 2 days. Since you have many central contracts with Supplier X, you want to change all of them at one time.

Features
You can enhance the mass change function in the standard system with your own mass change parameters. For more information, see SAP Solution Manager under SAP SRM Scenarios Operational Contract Management Business Processes Configuring Mass Change Parameters . Developing Contracts Change Contract Configuration

Activities
You can make mass changes for central contracts and central contract hierarchies in the same way. You first find and select the relevant contracts. You cannot change contracts that have the status Completed. Choose Mass Change to see the list of contracts you have selected.

Note

The system locks the central contracts that you have selected so that other users cannot change them until you have made your mass changes. Define your mass changes by selecting a mass change parameter and specifying the change. Select the next mass change parameter and specify the change, and so on. A flag next to the mass change parameter indicates that you have specified a change for this parameter. As an optional step, you can also simulate your mass changes.

Recommendation
We recommend that you carry out the simulation to check whether your changes can be applied successfully. If your changes cannot be applied successfully, a message tells you why. The simulation allows you to go back and to correct your data, if necessary, before applying the mass changes. The system simulates the changes in the background. Depending on the number of central contracts to be processed, this could take some time to complete. In this case, you can close the mass change window. After the system has simulated the changes, it sends you an e-mail with a link to the mass change window, where you can check whether your changes can be applied successfully. If you have left the SAP Supplier Relationship Management (SAP SRM) application, you can return to the mass change window only using this link.

Caution
You cannot reverse the Apply Mass Changes step. For this reason, we recommend simulating your mass changes before proceeding. The system leaves the status of the central contracts unchanged, except if the changes need to be approved, in which case it sets the status to Awaiting Approval. If the central contract was already in status Released, the system creates a new version of the central contract. For more information, see Versions of Purchasing Documents.

6.3.4 Quota Arrangements

You can use this function in both a manual process and an automated process as part of sourcing to generate purchase orders (POs). Quota arrangements allow you to define target percentages and distribute them between two or more purchasing contracts. A quota arrangement ensures that a contract is guaranteed both a minimum sales volume and a defined percentage of the total purchasing volume of a product category or product. A quota arrangement has the highest priority in the sourcing process. During the validity period of a quota arrangement, there are two phases. These are as follows: Fulfillment of guaranteed minimums Before the system assigns contracts based on target percentages, the quota arrangement ensures that all guaranteed minimums of contracts participating in that quota arrangement are fulfilled. The sequence in which the guaranteed minimums are fulfilled is determined by the target percentages defined in the quota arrangement. Guaranteed minimums are defined in the contract. Assignment of contracts based on target percentages Once all of the guaranteed minimums of contracts participating in a quota arrangement have been fulfilled, the system continues to automatically assign contracts based on the target percentages

defined in that quota arrangement. The winning contract is then determined by the relative difference between the actual release value and the target value of the quota arrangement.

Integration
You use this function in the following applications: Contract Management When you order a purchase order against a contract that is part of a quota arrangement, the system automatically updates the release values for each contract line item. Sourcing The system shows the winning contract for a quota arrangement in the manual sourcing process. During manual sourcing, you can access quota arrangement details from the sourcing application.

Prerequisites
You can only create a quota arrangement if a product category or a product is saved in the system, and a contract is available so that you can assign target percentages for the quota arrangement.

Features
The system allows the source of supply to be selected automatically, based on the fulfillment of guaranteed minimums and target percentages defined in the quota arrangement. A quota arrangement uses standard rules to determine the winning contract in the sourcing process. However, the system can redetermine a winning contract with your own logic if you implement a Business Add-In (BAdI) from Customizing. To access this BAdI in Customizing for SAP Supplier Relationship Management, choose SRM Server Business Add-Ins (BAdIs) Sourcing Redetermination of the Contract to be Used (Quota Arrangement) . Strategic Purchasing

Activities
You can create a new arrangement in Contract Management by choosing Contract Management Create Documents Quota Arrangements adding further contracts (with or without a quota base quantity) . You can change an existing quota arrangement, for example, by modifying the target percentages or

Caution
The contracts in a quota arrangement must have the same base unit of measure.

Note
In the Quota Base Quantity column, you can enter a nominal released quantity for contracts joining an ongoing quota arrangement. This allows you to simulate participation of the new contract in the quota arrangement immediately. If you leave this field blank, the system assigns the new contract with all sourcing requirements, until it catches up with the other contracts participating in the quota arrangement.

6.3.5 Upload and Download of Purchasing Documents

In SAP Supplier Relationship Management (SAP SRM), a new format is available for editing purchasing documents that are downloaded to Microsoft Office Excel files. The format of the file allows you to easily

add, edit, and delete the data locally, then upload the changes to the relevant purchasing document in the SAP SRM system. This feature is useful if you have many changes to make in a document at once and if you need to confer with colleagues on changes offline. You can download the following purchasing documents: Central contract Purchase order RFx RFx response Auction (purchaser view only)

Note
For more information, see SAP Note 1612239.

Integration
The function can be used with Microsoft Office Excel 2007 and upwards. Standard features, such as automatic filtering at row level and grouping are incorporated to optimize how you display data and navigate through the document.

Note
For earlier SAP SRM releases, a macro is required. For more information, see SAP Note 734060.

Prerequisites
You have done the following: Defined the settings for upload and download. For more information about the configuration, see SAP Solution Manager under SAP SRM Configuration Structures SAP SRM 7.0 EHP2 Basic Settings for SAP SRM Cross-Application Settings User Experience .

Note
If you require a file format, other than Microsoft Office Excel, you must create your own format. For more information, see SAP Solution Manager under SAP SRM Configuration Structures SAP SRM 7.0 EHP2 Basic Settings for Strategic Sourcing General Settings Set Up File Upload/Download. must do this before you download the document. Saved and closed the Microsoft Excel file after making changes. The downloaded document can be saved locally. . Created the relevant purchase document in the application and maintained the necessary details. You

Features
The following features support you in uploading and downloading data. They also allow for efficient management of purchasing data.

Exporting and Importing Data

You can export and import data in the following ways: Export and Import of Single Document

When you open a purchasing document in display or edit mode, you can download its specific data by choosingExport and saving the file locally. After making changes to the downloaded excel file, it can be uploaded back to SRM purchasing document using Import.

Note
This feature is available for all purchasing documents mentioned above. Data Exchange You can select one or more files to download or upload by choosing Export or Import under Data Exchange in your personal object worklist.

Note
This feature is available for central contracts only. It allows you to make mass changes to multiple contracts simultaneously. When you upload the Microsoft Office Excel file to the system all the relevant documents are updated.

Editing Downloaded Content

The spreadsheet application consists of Header, Item, and Template worksheets. The Header and Item worksheets contain the data that is downloaded from the application. The Template worksheet provides you with the rows you need to create new entries for header and item data. You can use these worksheets as follows: Header and Item Rows that are blue represent fields in the application. Cells that are grayed out cannot be changed. All other cells can be edited. You can also filter the data and group related data entries together according to type. This is useful for finding the data you want to edit easily. The data that is available for editing in the Header and Item worksheets depends on the settings you define in Customizing. You can specify which fields on the user interface (UI) can be exported for editing.

Example
In the Header worksheet, add a new business partner by copying a PARTNERD row and pasting it under PARTNERH. Edit the data as required. In the Items worksheet, you can choose to add a new condition. You do this by copying a CONDITIOND row and pasting it under CONDITIONH and editing the data as required. Template If you want to create new header and item data, you can use the template worksheet to copy and paste the required rows into the Header and Item worksheets.

Example
You can create a new item by copying and pasting the rows ITEMH and ITEMD from the Template worksheet into the Items worksheet. You can then add partner data, a long text, conditions, and scales to the item details as required. Rows for the data are also available in

the Template worksheet for you to copy. When you paste them under ITEMD, the item automatically becomes a group. The same process applies to editing theHeader worksheet. By copying and pasting the relevant rows from the template into the Header or Item worksheet, you can prepare the data that you want to later upload into the related purchasing document. You can download a document with only one item and add multiple items to it offline. This simplifies the creation of documents with numerous items and mass changes to large documents. Background processing is also supported in the case of large documents.

Restrictions
For more information about existing restrictions, see SAP Note 734946.

Example
You can export and import purchasing data in a central contract as follows: When you create or display an existing central contract in the SAP SRM system, you can choose Export to download the data and save it in a spreadsheet application file locally. When you open the file, three tab-separated worksheets are displayed. These are Header, Item, and Template. Make your changes and save the file locally. To import your changes, open the corresponding central contract in the SAP SRM system in edit mode. When you choose Import, you can browse to your saved file and upload it to the system. Your changed data is imported to the central contract in the SAP SRM system.

6.3.6 Searching for Purchase Orders With/Without a Central Contract

You can use this function to search for the following purchasing documents for a specific supplier: Central contracts with purchase orders (POs) POs without a central contract

This allows you to evaluate these purchasing documents.

Example
Supplier A has been bought out by Supplier B. Before you transfer all of Supplier A's contracts to Supplier B, you want to list all of Supplier A's contracts so you can check whether there are any POs without a contract. This way you can decide how to proceed with these POs.

Prerequisites
You are assigned to one of the following roles: Roles Role Name Operational Purchaser Strategic Purchaser Portal Role com.sap.pct.srm.ro_operationalpurchaser com.sap.pct.srm.ro_strategicpurchaser SAP SRM Server Role SAP_EC_BBP_OP_PURCHASER SAP_EC_BBP_ST_PURCHASER

Roles Role Name SRM Administrator Portal Role com.sap.pct.srm.ro_srmadministrator SAP SRM Server Role SAP_EC_BBP_ADMINISTRATOR

Activities
In the SAP Supplier Relationship Management (SAP SRM) system, you can choose Management Changing Suppliers in Central Contracts enter a contract name. Contract and enter the number of the supplier. You can also

Note
It is possible to perform this action in the backend using transaction BBP_CTR_03. When you execute the action, the system displays all purchasing documents related to the selected supplier.

6.3.7 Uploading of Central Contracts to the SRM-MDM Catalog

You can specify whether you want a contract to be uploaded to a catalog when it is released. You do this by maintaining the Distribute Contract to Catalog field on the Header tab page of a central contract. If a central contract is uploaded to a catalog, employees can use it as a source of supply from the catalog. This has the advantage that employees can choose items that are subject to the agreed terms and conditions of a central contract.

Uploading Central Contracts with Service Hierarchies to the SRM-MDM Catalog

You can also upload central contracts with service hierarchies to the SRM-MDM Catalog. To use this function, you must activate the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1). The following Customizing activity is relevant: Cross-Application Basic Settings (EHP1) . SAP Supplier Relationship Management SRM Server Service Procurement Activate Central Contract Management Innovations

Prerequisites
You must have implemented the SRM-MDM Catalog. The SRM-MDM Catalog is delivered with SAP Supplier Relationship Management (SAP SRM), however, some installation and configuration effort is required. For more information, see: SAP Note 1057316. SAP Solution Manager under SAP Solution Manager under SAP SRM Basic Settings for SRM-MDM Catalog (Catalog Content SAP SRM Scenarios Catalog Content Management Business Processes

Management) System Connections Managing Product Content in SRM-MDM Catalog Transfer Contract Data from SRM

In the SAP SRM system, you must define the back-end system for transferring contract data. You do this in Customizing for SAP Supplier Relationship Management under SRM Server Technical Basic Settings Define System Landscape . In the System Type field, enter CATALOG.

Activities
The system transfers the central contract data to the SRM-MDM Catalog using SAP NetWeaver Process Integration 7.0.

6.4 Shopping Cart

Using the shopping cart, company employees can procure the goods and services that they need for their work area. This takes the pressure off the purchasing department, who in turn can concentrate on strategic tasks, such as contractual negotiation.

Integration
This function is used in the business scenario Self-Service Procurement. If shopping carts contain incomplete items (for example the supplier is not entered), purchasers receive a work item in their Universal Worklist (UWL) for completion.

Prerequisites
To use shopping carts, you must have made the following settings in Customizing for SAP Supplier Relationship Management: You have defined the organizational structure and the attributes of the organizational units in Customizing forSAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Change Organizational Plan . You have defined the back-end system where you create purchase orders, purchase requisitions, and reservations. You do this in Customizing of SAP Supplier Relationship Management under SRM Server Technical Basic Settings Category. You have set up the catalogs in Customizing for SAP Supplier Relationship Management under Server Master Data Content Management Define External Web Services . SRM Define System Landscape and Define Back-End System for Product

You have specified which follow-on documents the back-end system or SAP SRM creates from the shopping cart in Customizing for SAP Supplier Relationship Management under SRM Server CrossApplication Basic Settings Define Objects in Back-End System (Purch. Reqs, Reservations, Purch. Orders) .

Note
To create service purchase orders in the back-end system, you use a back-end system with release SAP R/3 4.0B or higher. To order using procurement cards, ensure the following: The procurement cards have been configured in Customizing for SAP Supplier Relationship Management under SRM Server Procurement Card Purchase orders are created locally in the SAP SRM system The supplier accepts the procurement card. When creating the shopping cart, the purchaser selects the product category that has been defined for the procurement card in Customizing.

Features
User Interface Variants
In the Shop application, there are three user interface variants: Shopping Cart (Professional) Purchasers or purchasing assistants can use the Professional user interface to fill shopping carts with products quickly and easily.

Shopping Cart (Wizard) Employees can order products simply by using the Wizard user interface. Simplified Shopping Cart Employees who occasionally request products or free-text items can use the simplified shopping cart

to order products in a fast and self-explaining way. You can use the Business Add-In (BAdI) Change Display in Shopping Cart to override the standard settings of the interface and tailor the interface to fit the requirements of your enterprise. You can access this BAdI in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Shopping Cart and Requirement Items Change Display in Shopping Cart .

Workflow
A workflow starts once the shopping cart is ordered. This workflow checks whether approval is required. If an approval is required, a work item is sent to the universal worklist (UWL) of the relevant approver. If no approval is required, the system creates the necessary follow-on documents, such as purchase requisitions, purchase orders, or reservations, for the shopping cart. The shopping cart information and the Customizing settings in your SRM system determine what types of documents are created and what system they are created in. For more information about approval workflows, see Process-Controlled Workflows.

Caution
You cannot delete items that have been approved and for which follow-on documents exist in the backend system. This applies under the following circumstances: A purchase requisition has been created and the Completed indicator has been set for it, or the quantity received for the purchase order is equal to or greater than the quantity requested. A reservation has been created and the Final Issue indicator has been set for it, or the quantity withdrawn is equal to the quantity requested. A purchase order has been created and the Delivery Completed indicator has been set for it, or a goods receipt has been entered.

6.4.1 Shopping Cart (Wizard)

The Wizard is the default user interface for employees and is used for creating shopping carts in the Employee Self-Services Work Center in the SAP NetWeaver Portal. It helps employees to find, select, and add goods or services to their shopping carts quickly and easily.

Integration
This function is used in the business scenario Self-Service Procurement. You can use the Business Add-In (BAdI) Change Display in Shopping Cart to override the standard settings of the interface and tailor the interface to fit the requirements of your enterprise. You can access this BAdI in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Shopping Cart and Requirement Items Change Display in Shopping Cart .

Features
You can fill a shopping cart in the following ways:

Find: The catalogs that support cross-catalog searches are displayed in a separate field. You can enter a search term and start the search. Browse: You can search for products in individual catalogs, or you can transfer individual items or even entire shopping carts from old purchase orders and templates to your new shopping cart. Free Text: If you have not been able to find an appropriate product in the catalogs, you can enter a description of the required goods or services.

Once you have filled your shopping cart, you can display an overview of the budget, including the overall budget and how much of the budget amount has been assigned. You can either order the shopping cart straight away or save it for subsequent completion. Once you choose Order, you receive a confirmation that states the number and the name of the shopping cart. You can then: Print the shopping cart Create a new shopping cart

6.4.2 Shopping Cart (Professional)

This user interface is available to users who have been assigned the Purchaser or Purchasing Assistant role to fill shopping carts with products quickly and easily.

Integration
This function is used in the business scenario Self-Service Procurement.

Features
Identification Pane
You can see the number of the shopping cart, its name, status, creation date, the creator, and the total value of all items in the cart.

General Data
You can do the following: Enter a unique name for the cart to facilitate subsequent searches Add a note to the person who is to approve the purchase and to the supplier Enter or change Default Settings for subsequent items in your shopping cart, such as cost assignments and delivery addresses

Caution
These settings are not transferred to any existing items in the shopping cart. Preview the details of the approval process in your enterprise and add or remove a reviewer or approver, as appropriate Display an overview of the budget, including the overall budget and how much of the budget amount has been assigned Display changes to the procurement document

Item Overview Adding Items

Under Item Overview, you can see a list of all items in the shopping cart. To fill your shopping cart, you can either choose Add Item or specify free text and other entries manually.

Add Item After choosing Add Item, you can select, for example, from the following options: Limit Item You can create items with value limit and/or validity period. In this way, you can execute simple procurement transactions quickly and easily. Such planned procurements are in the form of a general description with a value limit. Up to this limit, confirmations for goods receipts or services, as well as invoices can be entered. You can use the Business Add-In (BAdI) Change Display in Shopping Cart to show or hide this link. Old Shopping Carts and Templates You can transfer individual items or even entire shopping carts from old shopping carts and templates to your new shopping cart. Cross-Catalog Search If you select this option, the catalogs that support cross-catalog search are displayed in a separate dialog box. You can enter a search term and start the search. As Service Order You can order external staff or services. You can use the BAdI Change Display in Shopping Cart to show or hide this link. As Service Request You can request information on external staff or services from suppliers. You can use the BAdI Change Display in Shopping Cart to show or hide this link. <Name of a specific catalog> You can search for products in the individual catalogs that are listed. Free Description If you have not been able to find an appropriate product in the catalogs, you can enter a free text description of the required goods or services in the Description field.

Item Details
For each of the items, several tabs are available where you can display and edit further details of the item. Typically, the tabs comprise: Item Data Lists the description, the product ID, the price, the delivery date, and so on. Notes and Attachments Lists notes and attachments, such as: o Note to Supplier: You can enter a text that is sent to the supplier. o o Internal Note: You can create internal notes to provide the approver or purchaser with more information. Attachments: You can attach documents containing additional information for approvers.

Delivery Address/Performance Location Here, you can change the delivery address for the item. Account Assignment You can display or change your account assignment data. You can assign accounts (also multiple account assignment) to the following objects: o o Asset cost center Network

o o o

Order Sales Order WBS Element

You can copy the entered account assignment data to a clipboard and use it for further items in the shopping cart. Partner Overview Availability If the requested quantity is not available at the requested date, you can change the values, and check the availability for a different quantity and date. Approval Process Overview Adding or deleting an approver or a reviewer here only affects the displayed item, not all items in the shopping cart. Related Documents System Info Displays technical information about the SAP system that you are using, for example its name. Sources of Supply/Service Agents The system displays the possible sources of supply (existing either in the back-end system or locally) for the product or user-defined text items. If the system finds a unique source of supply, the source of supply is assigned. If you do not want to use this source of supply, you can replace it by a preferred supplier. If no preferred supplier or source of supply is assigned, the system creates an incomplete purchase order (locally) or a purchase requisition (in the back-end).

Note
o If you are adding an item to the shopping cart: You can either enter a preferred supplier or select a supplier from the supplier overview. The suppliers from the supplier overview have a valid contract or purchasing info record, for example, for the product. You can undo this assignment by choosing Delete, and then selecting another supplier. You can also access supplier lists compiled by your purchaser. The suppliers contained in a supplier list are highlighted in the sources of supply list. Depending on the Customizing settings, the system displays either all suppliers or just those in a supplier list. o o If you are changing an item in the shopping cart: When you change a product category, company code, or plant, sourcing is carried out again. If the item you are adding or changing is a service item: Only local sources of supply are available for local services. In the back-end system, no sources of supply are available. You can select a supplier either via the sources of supply list or the supplier list. In addition, you can also select a service provider. If you select the service provider first, the supplier is assigned automatically. o If the item you are adding or changing is a limit item: The follow-on document can be a blanket purchase order. For blanket purchase orders, no sources of supply are available. You can, however, select a supplier from the supplier list.

Follow-On Activities
Once you choose Order, you can: Print the shopping cart Check the status of the shopping cart Create a new shopping cart

6.4.3 Simplified Shopping Cart

You use this function to create shopping carts in a two-step process. The simplified shopping cart addresses occasional users who need to purchase everyday items, such as office supplies. Typically, simplified shopping carts contain a limited number of items.

Integration
This function is used in the Self-Service Procurement scenario.

Prerequisites
You have activated the business function SRM, Self-Service Procurement (SRM_SELF_SERVICE_1). The role SAP SRM: Employee (/SAPSRM/EMPLOYEE_EHP1) is required for employees who occasionally order goods and services. You have performed the following activities in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Cross-Application Basic Settings : o o o o o Self-Service Procurement Self-Service Procurement Self-Service Procurement Activate/Deactivate Simplified Shopping Cart Activate/Deactivate Budget Check for Shopping Cart Disable/Enable Automatic Assignment of Sources of Supply

Individual Employee Address Activate/Deactivate Individual Ship-To Address in Shopping Cart Individual Employee Address Create Ship-To Addresses for Multiple Employees

Features
You can do the following: Search for items in catalogs. Compare items. Preview items. Add items to your shopping cart from the results list, free text, or catalogs. Add free-text items. Order items. Check the status of your shopping carts. Check and modify your user settings. Shop My Shopping Carts My User Settings You can search for items in all catalogs or in single catalogs. You can add items from the results list, a catalog, or free text to your shopping cart. Once you have done this, the items are displayed in the right pane. You can either edit further information or order

The simplified shopping cart uses the following services:

Shop

items from here. Additional information consists of shopping cart, account assignment, approver, and delivery information. You can also display item information. You can order from here or continue shopping. When you place your order, an information message is issued and you can print the order: an SAP Interactive Form by Adobe is opened, which you can save and print.

My Shopping Carts
You can view your shopping carts and check their status. You can create confirmations once you have received your goods. This type of confirmation differs from the one used in the professional shopping cart, as it does not contain detailed information. To create a confirmation, select a shopping cart in the POWL and choose Create Confirmation. Enter the required information and choose Confirm.

My User Settings
You can do the following: View your organizational assignment. Change your personal and address data. You can create ship-to addresses for multiple employees and use them as alternate addresses in the shopping cart. Change specific settings, such as time zone, default log-on language, date format, and decimal notation. Enter a procurement substitute or check whether you have been entered as a procurement substitute for someone else.

6.4.4 Shopping on Behalf of Other Users

Purchasing assistants and purchasers can buy products on behalf of other users, for example, their managers. Thus, they can save their managers time that they can use for more strategic tasks. Shopping on behalf of other users can also be advantageous when employees are absent or have not yet started in the company, but need certain products such as PC configuration.

Prerequisites
Shopping on behalf of other users is only possible if the following conditions are met: You use the professional shopping cart. The users for whom purchasing assistants or purchasers can shop have been specified as values for the attribute REQUESTER in the organizational structure. For more information, see the Customizing documentation for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Change Organizational Plan .

Procedure
1. Using the search help, specify the user for whom you want to place an order. 2. Proceed according to the details in Shopping Cart (Professional).

Note
You can only change the user for whom you want to place an order as long as you have not added any items to the shopping cart.

6.4.5 Shopping Cart Templates

To process recurring procurement transactions efficiently, you can define templates that your employees can use as references when creating and processing their shopping carts. For example, you can create templates for: Procuring PCs. You enter a standard configuration. Equipping work stations for new employees.

Note
If a shopping cart template contains an item from a product category for which the employee has no authorization, then this template is not included in the employee's selection. Using attributes, you can specify those product categories from which employees may order products in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Change Organizational Plan .

Prerequisites
To be able to create templates, users must have been assigned the Purchasing Assistant or the Purchaser role. The templates can then be used by all employees.

Note
You can edit the roles in Customizing for SAP Supplier Relationship Management under Cross-Application Basic Settings Roles Define Roles . SRM Server

Features
Identification Pane
Here, you can see the number of the shopping cart, its name, status, creation date, the creator, and the total value of all items in the cart.

General Data
Here, you can do the following: Enter a unique name for the cart to facilitate subsequent searches Enter or change Default Settings for subsequent items in your shopping cart, such as cost assignments and delivery addresses

Caution
These settings are not transferred to any existing items in the shopping cart. Display an overview of the budget, including the overall budget and how much of the budget amount has been assigned Display changes to the procurement document

Item Data
For information about adding items to your shopping cart, the details you can specify for each item, and possible follow-on activities, see Shopping Cart (Professional).

6.4.6 Team Purchasing

This function allows an employee to take over a team shopping cart from another employee. As a prerequisite, either the original requester or an SRM administrator must nominate the user as a purchasing substitute.

Integration
This function is used in the business scenario Self-Service Procurement. You have to use the process-controlled workflow framework to use team purchasing. Team purchasing is not available with the application-controlled workflow framework.

Differences with Shopping on Behalf of Other Users

In both team purchasing and shopping on behalf of other users, a person other than the requester is involved in processing the shopping cart. However, the two functions are used in different situations: If someone shops on behalf of another user, typically a single person works with the shopping cart from the start of the requisitioning process. For example, a purchasing assistant or secretary creates a shopping cart for a manager and follows the process through until the confirmation or invoice is created. Only the person on whose behalf the shopping cart is created can take over the shopping cart or the follow-on documents. In team purchasing, any user who is defined as a procurement substitute can take over the shopping cart. Within this process, several users can be involved and can take over the team shopping cart from each other. This can be useful, for example, in the following situations: An employee leaves the company, and the successor later takes over this person's responsibilities. An employee is sick, and a colleague takes over the shopping cart. A team of employees works in shifts, and a shopping cart that is time-critical must be processed by a colleague working in a different shift.

Prerequisites
For the Organization
You have made the following settings in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Transaction Types : You have allowed team purchasing. You have defined whether all employees can define purchasing substitutes or whether only administrators are allowed to do this. You have defined whether purchasing substitutes must be in the same organizational unit of the company as the original requester of the shopping cart.

For Individual Employees

For employees, the following additional prerequisites apply for working with team shopping carts: What You Want to Do Mark a shopping cart that you have created as a team shopping cart Find and edit team shopping carts created by other users Prerequisite A purchasing substitute has been defined for you, either by yourself or by the SRM administrator You have been defined as a purchasing substitute for the users whose shopping carts you want to find and edit.

As an employee, you can define purchasing substitutes and see for whom you are a substitute in the SAP NetWeaver Portal under Home Personalization SRM User Settings User Account .

Features
Working with Team Shopping Carts
When creating or changing a shopping cart, you can mark the shopping cart as a team shopping cart. By doing this, you allow purchasing substitutes to take over and process the shopping cart, if necessary. As a purchasing substitute, you can perform the same activities as the original requester, once you have taken over the team shopping cart. For example, you can edit the team shopping cart, create related confirmations or goods receipts, and delete the team shopping cart. You can display information about who has taken over and processed a team shopping cart in the General Dataarea of the shopping cart under Document Changes: Display.

Finding Team Shopping Carts

The retrieval mechanisms provided in the SAP NetWeaver Portal, that is, the Personal Objects Worklist (POWL) and the advanced search, allow you to find team shopping carts if you are a purchasing substitute. You can use a predefined POWL query that lists team shopping carts and a query that lists confirmations related to team shopping carts.

Note
You can only see team shopping carts that belong to colleagues for whom you are a purchasing substitute. If you use the advanced search to find a team shopping cart or its follow-on documents, you can refine the search in the following ways: What You Want to Do Find team shopping carts that belong to specific team members What You Should Know You must select the Show Only Team Shopping Cartscheckbox before you can enter the name of the team member to whom the shopping cart belongs. Find only confirmations that are related to team shopping carts You must select the Show Only Team Cart Confirmations checkbox that is available as part of the search criteria for confirmations.

Taking Over Team Shopping Carts

If you are a purchasing substitute and want to take over a team shopping cart, you have the following options: You display the Shopping Cart Details and take over the cart from there. You select a team shopping cart in the POWL and take it over.

Note
The Take-Over button is only active for team shopping carts. You can only take over team shopping carts that have the status saved.

Functions for SRM Administrators

As an SRM administrator, you can do the following in the SAP NetWeaver Portal under SRM Administration:

You can specify purchasing substitutes for employees under SRM Administration: In the POWL category Internal Business Partner, choose the Employee query. Click on the number of a specific employee, and choose User Account.

You can search for a shopping cart and mark it as a team shopping cart. You can do this under Application Monitors Shopping Cart Monitor Search for Shopping Carts . From the search results, select a shopping cart and choose the Team Cart pushbutton.

6.4.7 Service Request and Service Order

You can request or order external staff or services using the professional shopping cart. Depending on your requirements, you can use one of the following options: To decide on a supplier, or to request more detailed information from a supplier before ordering, you can send a service request to one or more suppliers by adding a service request as an item to your shopping cart. After selecting the product category and entering the required data, the system displays a list of suppliers based on the approved supplier list and contracts. You can add service agents here, if required. Once you have completed your service request by adding it to the item overview in your shopping cart, the system generates an RFx and sends it to the relevant suppliers. The suppliers enter their RFx responses in SAP Bidding Engine. They can name the service agents and they can reject individual items in the request. Based on the supplier responses, which are now displayed in the item details of your shopping cart, you can select a supplier by choosing Commission and the system creates a purchase order for the service. If you already know the availability of staff or services and have all the details you require, you can directly place a service order. You order external staff or services by adding a service order as an item to your shopping cart.

Integration
This function is used in the business scenario Service Procurement.

Prerequisites
To create service requests or service orders, you must have one of the following roles assigned to you: Operational Purchaser (com.sap.pct.srm.ro_operationalpurchaser) Purchasing Assistant (com.sap.pct.srm.ro_purchasingassistant) To be able to use the Skills Profile feature, you must have Adobe Reader version 8.1 or higher installed on your system.

Features
Service Request and Service Order
The majority of the features of the service request and the service order are identical. You can find the following features in both the service request and the service order: Skills Profile You can attach a detailed profile of the required skills or qualifications the service agent should have by choosingCreate Profile. The profile is attached to the service request as a PDF file.

For more information about how to customize the Skills Profile, see Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Create Skills

Profile
Lump Sums/Limits You can define lump sums for each service unit, for example, to limit the amount per hour or per day. You can also specify limits for specific items for the overall task or project. This can be used, for example, to set an upper limit for any unscheduled items for which a supplier may not be able to quote the exact costs in advance. Supplier/Service Agents Once you have selected a supplier, you can enter specific service agents by name. Notes and Attachments You can attach further documents that may be relevant for suppliers when preparing their RFx responses. Performance Location You can enter detailed information about where the service is to be performed.

Service Request
The following feature is specific to the service request: RFx Response Deadline Date/Time You can enter a specific date and time by which suppliers should respond to the RFx.

Service Order
The following feature is specific to the service order: Pricing If you have created a new service order, the SAP SRM system automatically carries out pricing according to a set sequence of priorities. 1. The system starts by checking for a manually entered price. If you have entered one in the service order, the system uses it to calculate the service order price. 2. If you have not entered a price manually, the system checks if there is a contract price available for the service and uses this for pricing. 3. If no price has been entered manually and there is no contract price saved in SAP SRM for the service, the system carries out pricing based on the price from the product linkage.

6.5 Purchase Orders

In SAP Supplier Relationship Management (SAP SRM), you process purchase orders selecting the Purchasing tab and choosing Purchasing in the Detailed Navigation area. You can also create purchase orders from scratch, using the service Create Documents Purchase Order . In this case, the details such as the purchasers organizational data are transferred from the user attributes to the purchase order. You use the purchase order either for local procurement (standalone scenario) or in the extended classic scenario. For more information, see Technical Scenarios.

Integration
This function is used in the following business scenarios: Self-Service Procurement Service Procurement Plan-Driven Procurement

Sourcing
By default, SAP SRM does not transfer requirement items to the purchaser's Sourcing application. If you activateSourcing for product categories, SAP SRM does not immediately create local purchase orders from shopping cart items. Using the functions of the purchaser's Sourcing application, you can process items from different shopping carts and combine these into purchasing contracts, purchase orders, live auctions, or RFx. For more information, see Customizing for SAP SRM under Product Categories . SRM Server Sourcing Define Sourcing for

Prerequisites
If you want to generate back-end purchase orders from all local purchase orders, you must have activated the extended classic scenario. For more information, see Customizing for SAP SRM under Extended Classic Scenario Activate Extended Classic Scenario . SRM Server Business Add-Ins Control

Features
You can create purchase orders in the following ways: From shopping cart items If the shopping cart is complete and approved, a purchase order is generated automatically and is transferred directly to the approval workflow before it is sent to the supplier. If the shopping cart items are incomplete, the system creates separate purchase orders. Using a Business Add-In, you can combine incomplete items into one purchase order. For more information, see Customizing for SAP SRM under SRM Server Business Add-Ins (BAdIs) Define Grouping Criteria for Local Purchase Orders . From RFx responses For more information, see SAP Bidding Engine.

From live auctions For more information, see Live Auction Cockpit. From requirements from external systems, for example, planning systems. For more information, see Procurement of External Requirements. Manually

Depending on whether the purchase order is complete or incomplete, it is sent into the approval workflow or it appears in your POWL.

Overview
The purchase order Overview displays all the required header and item data of the purchase order. Note the following functions: Add/Remove Condition You can add or remove prices and conditions (percentage discounts and absolute discounts) per item and on header level. See Price Data Processing in the Purchase Order. Propose Sources of Supply You can have the system determine and assign sources of supply, for example, contracts, and supplier-specific prices. For more information, see Assigning Existing Sources of Supply and Central Contracts. Default Settings You can enter default values for the delivery address and account assignment values of purchase order items. If you enter values here, these values are defaulted to any new item you add afterwards. The values are retained for subsequent items unless you change the settings again. As the delivery address or company address, you can use a master data address. To display master data addresses, choose the search help for the Name field. In the popup, select Find Ship-To Adresses of Employeesor Find Ship-To Addresses of Companies from the More Search Helps drop-down box and choose Start Search. Your personal master data addresses are displayed then. If you want to reset the values to the settings defined in organizational management, you can run report/SAPSRM/CUSTMZ_SW_PO_DEFAULT. For more information, see the report documentation. The following Customizing activity is relevant: SAP Supplier Relationship Management SRM Server Purchase Order Activate/Deactivate Default Values for Purchase Order Items . To enter default values for the delivery address and account assignment values of purchase order items, you must activate the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1).

Header
Note the following functions: General Data o Partner You can accept a preferred supplier if it has been suggested by the requester of a shopping cart: In the partner table, select the line Preferred Supplier and then click on Select as Supplier. o Procurement Card If you want to pay by procurement card, enter your card information here. Output You can choose a medium other than the suppliers default output medium if you need to, provided the relevant fax, e-mail and XML data exists in the supplier master record. You can change the data for

fax and e-mail and, if necessary, can set a different printer. If you choose Order and Send immediately, the purchase order output starts immediately (according to the current Customizing settings). To create an output for a completed purchase orders, use the query Document Output in your POWL. For more information, see Output of Purchasing Documents and Customizing under Cross-Application Basic Settings Output . SRM Server Set Output Actions and Output Format Define Actions for Document

Note
If you have defined and activated your own form for the selected output medium, SAP SRM uses this in place of the standard form. Budget If you are authorized to view the budget, a table shows, for each selected account assignment object, the budget and the credit limit used.

Items
Note the following functions: Add items You can add items to your purchase order from catalog, shopping cart, product master, or as free description.

Note
You cannot transfer ordered items to a purchase order. When you have added an item, you can change the delivery date and the price in the item overview. The description and unit of measure can, however, only be changed if the item does not contain a product master record. You can only change the quantity unit for existing items to a unit of the same dimension, for example, from a kilogram to a gram. o Limit items o You can process the value limit (maximum purchase order value that goods or services must not exceed) and the expected value (estimated value of the purchaser, either under or the same as the value limit). The expected value serves to update the commitment in Controlling and the budget is reduced by this amount. o You can spread the value limit over partial limits (contract limits and remaining limits) or establish an undefined value limit. The sum of the contract limits created may be greater than the value limit. The system checks and ensures that the value of the ordered items is not greater than the value limit. o You can assign the relevant product category and define the period in which the goods should be delivered or the service performed.

Note
If you do not specify a value limit or a remaining limit, the system designates the remaining limit by default as unlimited. Order as Direct Material

If you click on this button, the selected item is ordered as stock item and you do not need to assign an account.

Item Details
Note the following functions: General Data Material items that have been replicated from the ERP system can have their revision level displayed in theGeneral Data of the item. o Basic You can define tolerances for over- and underdelivery and the system uses these to check the confirmation. o Partner The system takes into account both, sources of supply (for example, contracts) with a location that you assign here, and sources of supply without location. In the extended classic scenario case, the system derives the plant in the back-end system from the location.

Note
You can combine requirements that contain different partners in one purchase order. At header level, you can enter partners that are valid for all items. Prices and Conditions You can add or remove prices and conditions (percentage discounts and absolute discounts). See Price Data Processing in the Purchase Order. Account Assignment The account assignment is transferred from the preceding document, if existing. You can assign the following types of accounts (also multiple account assignment): o o o o o o Asset Cost center Network Order Sales order WBS element

You can copy the account assignment data to a clipboard and use it for further items in the purchase order. Related Documents o Document Control You can define the follow-on documents that the system expects for this item. This definition o overrules the settings made in the supplier master data. Statistics You can display the value of the goods received and services rendered to date, as well as the o value of the invoices received to date. History

The purchase order and its related documents are displayed. The history is item-specific. Delivery

Delivery Schedule You can specify delivery dates for each individual item in a purchase order.

Example
o o If you order three trucks, you can specify that one truck is delivered per month. Purchase Order Response Delivery Schedule You can accept or reject changes the supplier made in the purchase order response. Shipping Notification You can display the following data (further details are available from the carrier's system via the URL): o o o Delivered quantity with unit of measure and delivery date Shipping notification number, item number, and tracking number Sales document number and item number (of the supplier)

o Call URL of the carrier You can use the BAdI Calculate Schedule Lines for Deliveriesto set up the system in such a way that it automatically suggests distributed scheduling agreements when you enter shopping cart items in a purchase order. For more information, see Customizing for SAP SRM under (BAdIs) Calculation of Phased Deliveries. SRM Server Business Add-Ins

Notes and Attachments

You can attach files of any document type. You can also specify text notes at header and item level.

Approval
You can see the current state in the approval workflow that the purchase order is in. In the item details underApproval Preview, you can see the approval status per item.

Tracking
History The purchase order and its preceding and follow-on documents (for example, shopping cart and confirmation) are displayed. Version Overview You can access the different versions of the purchase order. Change Documents All changes are tracked, whether initiated by the system or by a user.

6.5.1 Price Data Processing in the Purchase Order

You can display item price details in the purchase order. In particular, you can find out from which master data the system takes the gross price and whether any discounts apply. You can also overwrite gross prices that have been determined via pricing or prices that have been entered previously, and you can add discounts, either as absolute values or as percentages.. The gross price can result from master conditions that can be defined (optional) in the system in the following places:

Catalog Contract Product Product linkage

Prerequisites
You have entered master conditions for Pricing, for example for the following objects: For products and product linkages Via the SAP menu Master data Product For contracts In the application Sourcing Process Products .

Process Contract

Features
Display Conditions
You can display item price details in the item details of the purchase order under Prices and Conditions. Item Price Details

Field Label Price

Information Provided If the system could find a price, this price is shown here. In this case, the source is displayed as well.

Price (Manual) Gross

The manual price you can enter here overrides the price from a catalog, contract, or product master. The gross price serves as the basis for possible discounts found in contracts or discounts that the purchaser enters directly.

Discount Amount Net

Discount Amount fields show any discounts that exist (absolute and percentage).

This field contains the net price (gross price minus the total discount) which is the result after pricing is carried out.

Add and Change Conditions

You can add conditions of the following categories (unlike master conditions, these are only valid for the currentdocument.): A manual price A percentage discount An absolute discount

If the price overview contains entries of the named conditions, you can change the amounts, currencies, and units there.

Note
You can enter one of these condition categories each time. If the price overview contains a product price, a percentage discount, and an absolute discount, you can only enter a manual price as a further condition. The system overwrites the price from the product master.

Remove Conditions
You can delete the manual price and the discounts from the price overview.

Display Details Concerning Aggregated Release Value

If the system has found a contract-based price, a link to the contract is provided and you can see how much you have already purchased against the contract or against the whole contract hierarchy (aggregated release value). Possible rebates based on the contract hierarchy are also displayed. To see how the aggregated release value is distributed among the different contract hierarchy levels, click on Details Aggregated Release Value.

Activities
1. In the item details, choose the Prices and Conditions tab. The system displays an overview of existing conditions. 2. To add a condition, open the Add Condition dropdown menu and select the type of price or condition you want to add.

6.5.2 Settings for the Purchase Order in the Extended Classic Scenario
If you have activated the extended classic scenario in Customizing, the system creates an additional purchase order in the back-end system as a copy of the SAP Supplier Relationship Management (SAP SRM) purchase order . Later on, the goods receipt, provision of services, and the invoice are entered with reference to this back-end purchase order.

Prerequisites
You have performed the following activities in Customizing for Supplier Relationship Management: SRM Server Cross-Application Basic Settings Activate Extended Classic Scenario SRM Server Business Add-Ins (BAdIs) Scenario You can use an SRM Server Business Add-In (BAdI) to change data that you transfer into the logistics back end. For more information, see the Customizing documentation for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Control Extended Classic Scenario Transfer Purchase Order Data to Logistics Back-End . Control Extended Classic Scenario Activate Extended Classic

Features
Purchase Order Consistency Check
You can define in Customizing that the system performs a consistency check before replicating the purchase order from SAP SRM to SAP ERP. The consistency check simulates the replication. Depending on the settings you made in Customizing, purchasers receive an error or a warning message if the simulation is not successful. As a result, either of the following happens: In case of an error message, the purchaser must solve the problem before the purchase order is replicated to SAP ERP and subsequently transmitted to the supplier. In case of a warning message, the purchase order is replicated to SAP ERP and subsequently transmitted to the supplier, despite the inconsistencies.

Data Synchronization
In the extended classic scenario, the follow-on documents of the purchase order, that is, confirmation and invoice, can be created either in SAP SRM or in the back-end system (SAP ERP). The data is synchronized between the two systems, so that the document history is always up-to-date in both systems. The data synchronization between the back-end system and SAP SRM has an effect on the following search options for the purchase order: Purchase orders with confirmations pending Purchase orders with invoices pending

As soon as a confirmation or invoice exists in the back end for a purchase order, the purchase order is no longer found using the above search options.

Creation of Follow-On Documents

When the purchase order is created in SAP SRM and replicated to the back-end, the back-end purchase order triggers the creation of corresponding accounting documents in FI/CO, for example of a commitment document.

Transfer of Follow-On Document Data from SAP ERP to SAP SRM

You must ensure that the data of follow-on documents to a purchase order is transferred from the backend to the SAP SRM system. To do this, run transaction FIBF in the back-end system. In this way, you activate the application SRMNTY in table TBE11. As a result, the SAP SRM system is notified when followon documents are created in the back-end system. In the SAP SRM system, you must schedule a background job for the program CLEAN_REQREQ_UP (using transaction SA38), or vary an existing job in such a way that entries of type AV are processed in the tableBBP_DOCUMENT_TAB. The background job calls the purchase order follow-on data from the database of the back-end system. For more information about the program CLEAN_REQREQ_UP see Reports.

Changing Data Transferred to Logistics Back End

You can use an SRM Server Business Add-In (BAdI) to change data that you transfer into the logistics back end. For more information, see the Customizing documentation for SAP Supplier Relationship Management under SRM Server Business Add-Ins (BAdIs) Control Extended Classic Scenario Transfer Purchase Order Data to Logistics Back-End .

6.5.3 Purchase Order Responses

With SAP Supplier Relationship Management (SAP SRM), you can receive purchase order responses (POR) via XML, or create them manually when the supplier has transmitted the purchase order response data, for example, by fax, letter, or telephone. The POR can contain the information that the supplier accepts all purchase order items and can deliver them as ordered; or the information that the supplier completely rejects all purchase order items; or information about variations from the purchase order (PO) that occur because the supplier can confirm the PO only in part. You use the Purchaser role to manually create a purchase order response. As the purchaser, you decide whether POR variations need to be transferred to the PO.

The purchase order response can also be created by a central role, for example, by the purchasing assistant. If you as the purchasing assistant enter POR variations, the purchaser must approve the data transfer to the purchase order.

Integration
This function is used in the following business scenarios: Self-Service Procurement Service Procurement Plan-Driven Procurement

Tolerance Limits
You can define your own tolerance limits for the purchase order response, for example, for a greater or lesser quantity; and integrate these in your procurement process. For more information, see Customizing for Supplier Relationship Management Application Basic Settings Set Tolerance Checks. : SRM Server Cross-

XML Processing and Automatic Data Transfer

The XML inbound interface of the SAP SRM system enables suppliers to transmit a POR to confirm (with or without changes) or reject the PO. In accordance with any defined tolerance limits, the SAP SRM system automatically transfers the following data from the first inbound purchase order response into the purchase order: Quantity Price Delivery date

Note
Note the following information about the XML processing: o There is no multiple automatic transfer; that is, if the system receives many inbound PORs (with values that in each case exhaust the tolerance limit), it does not transfer variations to the PO that in total exceed the tolerance limit. o Suppliers can transfer additional data fields as change proposals that are not available when PORs are created manually, for example, Incoterms, Terms of Payment.

Follow-on Document Control

The purchase order response is closely integrated with the purchase order. You can set a flag in the purchase order indicating whether a purchase order response is expected as a follow-on document. Once you have set the flag, the SAP SRM system expects a purchase order response from the supplier for each outbound purchase order or purchase order change. If you have not set the flag, the SAP SRM system does not expect a purchase order response; but you can still enter one. Since the purchase order response is an optional feature in SAP SRM, you can create confirmations and invoices even when no purchase order response has been received.

Prerequisites
The settings required for your business scenario have been made as described in the Solution Manager. For automatic entry of purchase order responses in XML format, you have configured the SAP SRM interface for XML input.

Features
Note
Instead of you as a purchaser creating the POR, it can be sent by the supplier in XML format or entered by a person with the purchasing assistant role. In these cases, if the POR data differs from the PO data (and the difference exceeds the tolerance limit), you as a purchaser must accept or reject the POR. You thus decide whether you want to transfer the data into the PO or not. You are notified about PORs awaiting your approval by e-mail and in the UWL. A link to the POR is provided in the notification. Click on confirm response or reject response to confirm or reject the POR on header level. You can also confirm or reject the POR on item level selecting the item status accepted or rejected. Once you accept the POR, it is treated just like a POR that you have created manually as a purchaser. You can do the following: You can create a purchase order response manually You can completely accept the purchase order You can completely reject the purchase order You can search for a purchase order response

Creating a POR Manually

For a purchase order that has already been transmitted to the supplier, the Purchase Order Response dropdown menu is activated when you select the purchase order in your POWL. To create a POR, select Create Manually from the Purchase Order Response dropdown menu. You can edit the following fields: Quantity Price Delivery Date and, in the case of service items: Service Provider Items Details Delivery .

You enter the changes to delivery date and quantity under

The system proposes values. If a purchase order response for the purchase order does not yet exist, the proposal comes from the purchase order; otherwise it comes from the purchase order response. Under Delivery in the item details, you can set a schedule line when entering purchase order responses. This way a supplier can distribute quantities over multiple delivery dates, or services over multiple performance periods.

Example
For example, a quantity of 20 has been requested for May 5. In line 1 of the schedule line, the supplier confirms fulfillment of the request with a quantity of 15 on May 5, and in line 2, the supplier confirms the remaining quantity of 5 for May 25. You can set the acceptance status per item in the POR. When you accept an item, the item data is transferred to the PO. You can also add Notes and Attachments to your POR and trace the document history under Related Documents.

Completely Accepting a PO
Choosing Confirm Completely, you can create a new purchase order response document that confirms all items of the related purchase order as ordered. The system carries out this function in the background.

Completely Rejecting a PO
Choosing Reject Completely, you can create a new purchase order response document that completely rejects all items of the related purchase order. The system carries out this function in the background.

Searching for a POR

In your POWL, you can search for purchase order responses. The search does not find out-of-date PORs.

Note
The supplier is not bound by any regulations concerning how many PORs he transmits in XML format for each purchase order. The purchase order response can relate to all PO items (the entire purchase order) or to single PO items. As soon as a new purchase order response is received for an item, the system flags previous purchase order responses at item level as out-of-date. If all items are flagged as out-of-date, the system flags the purchase order response at header level as out-of-date. SAP SRM does not create any versions of purchase order responses (as it does do for POs). The system always only uses the active document. A manually created POR always refers to the entire purchase order. When you save the POR, the system flags all existing purchase order responses as out-of-date.

Comparing POR with PO

When you select a POR in your POWL, you can compare it with the corresponding PO by clicking on Compare with Purchase Order. Select the version of the PO that you want to compare. The variances between POR and PO are displayed.

Note
In this comparison the system determines only data variations relevant for the supplier that can be changed in the purchase order response. For example, account assignment data is not compared.

6.5.4 Service Bundling

Service Bundling enables you to procure two or more service line items from a single supplier, whereas previously services were bundled into the first service line item. Enabling Service Bundling means that the system no longer bundles service line items into the first service line by default.

Prerequisites
You have activated the Service Bundling Customizing switch under Customizing for SAP Supplier Relationship Management under SRM Server Continuous Improvement Activate/Deactivate Service Bundling

Features
The features of Service Bundling are the following: Indicators can be assigned for each of the service line items in the related documents so that there are no restrictions imposed on which follow-on document can be created based on the other service line

items. This means that in a purchase order document with two service line items, you can now have the different combinations of follow-on documents for each of the service line items. For example, if you have created a purchase order document with two services, you can select the Invoice checkbox for one service line item and for the other service line item you can leave the Invoice checkbox deselected and select another checkbox. Data object values can now be assigned for different service line items in a purchase order document. For example, we can have different incoterm values, tax code values, account assignment values for each of the services. All of the service line items and limit line items are now replicated in the SAP ERP system with category D (Service type) This means that with this service bundling feature you can now procure service line items without being restricted by other service line items and each service line item is treated differently. The feature makes business much smoother and more efficient and flexible.

6.6 Sourcing
You can source goods using auctions or RFxs (requests for information, requests for proposal, and/or requests for quotation). You can source goods with or without the integration of the sourcing application. As a professional purchaser you can use the sourcing application to process requirements and to determine the best source of supply.

6.6.1 Sourcing
The sourcing application is the main entry point for purchasers to identify sources of supply. Here, you can create: Purchase orders Auctions Contracts Sourcing Carry Out

RFxs To access the sourcing application, go to the Purchasing work center and choose Sourcing .

Integration
Sourcing uses the SAP Bidding Engine. Sourcing is used in the following business scenarios: Strategic Sourcing with RFx Strategic Sourcing with Live Auction Sourcing also handles external requirements that come from processes outside SAP Supplier Relationship Management (SAP SRM). For example, the external requirements can be created by a Materials Requirements Planning (MRP) run in SAP ERP. For more information, see Procurement of External Requirements. You can link supplier directories from commercial providers with SAP SRM via the Open Partner Interface (OPI), and transfer partner data as sources of supply. For more information, see: SAP Solution Manager under <project name> Configuration SAP SRM <release> Strategic Sourcing General Settings Open Partner Interface Configuration Customizing for SAP Supplier Relationship Management under Management Define External Web Services SRM Server Master Data Content Basic Settings for

Prerequisites
You have determined if and when the system accepts requirements for sourcing (for example, only for items without a source of supply) in Customizing for SAP Supplier Relationship Management under SRM Server Sourcing Define Sourcing for Product Categories .

Note
If sourcing is not activated for a product category, the system creates incomplete purchase orders in SAP SRM. The purchase orders are incomplete because the source of supply is missing.

The requirements to be processed in sourcing have been approved. If they are external requirements, they have been approved in the back-end system. If you want to process purchase orders, RFxs, contracts, and auctions in the background to improve the performance of the front-end system, you have defined the number of shopping cart items above which follow-on documents are processed in the background. You have done this in Customizing for SAP Supplier Relationship Management under SRM Server Cross Application Basic Settings Define Threshold Value for Background Processing .

If you want to use a graphical search facility to search requisitions for external requirements at step 1 of the sourcing application four-step wizard, you have activated the business function SRM, Sourcing Innovations 2(SRM_SOURCING_2) and the Customizing switch Sourcing Graphical Search(SRM_702_SOURCING_GRAPH_SEARCH). You have done this in Customizing for SAP Supplier Relationship Management under Search . SRM Server Analytics Activate/Deactivate Sourcing Graphical

For additional prerequisites, see: SAP Solution Manager under for Plan-Driven Procurement .

<project name>

Configuration

SAP SRM <release>

Basic Settings

Features
The sourcing application consists of a four-step wizard:

1. Select Requisition
In this step, you can search for shopping carts, based on specific search criteria that you enter by selectingSettings. Here, you can define how the initial search screen will appear. In addition, you can decide whether the search should be performed as soon as the screen is opened. In addition to the search criteria, there are two checkboxes: Intended for Grouping: If you select this checkbox, the system also displays shopping carts that are intended for automatic grouping, for example into one purchase order. For more information about the automatic grouping of requirements, see Assigning Existing Sources of Supply. Include Locked Items: Locked items are, for example, shopping carts that are being edited by another user. If you do not select this checkbox, the system only displays the items that have no associated document (RFx or auction, for example). As a result of the search, the system displays all shopping cart items that match your search criteria.

Note
If you select one or more shopping cart items and choose Reject Items, the selected items are removed from the list, and processing is canceled for this shopping cart item. Then, the system sends an e-mail to the user who created the shopping cart. You can change a shopping cart directly from the sourcing application. During configuration, you can specify the shopping cart fields that are editable from the sourcing application. You can also configure the workflow to specify that any change to a shopping cart subsequent to approval, requires renewed approval. You can also use a graphical search facility to search requisitions for external requirements, based on various grouping categories, and to visualize the results in the form of a pie-chart. You can click a pie-

chart segment to search the requisitions in that category and to process the documents accordingly. You can then personalize these searches by saving groupings, filters, and default criteria for future use. When you select a shopping cart item and choose Next, the system moves the item out of the list of step 1 (Select Requisition) and into the list of step 2 (Assign Sources of Supply). The number of items moved is displayed in the header in the step Assign Sources of Supply.

2. Assign Sources of Supply

In this step, you see the selected items from the previous screen. You can select a supplier by choosing Propose Sources of Supply, or you can create a new supplier in the system and order from this supplier.

Note
If a contract already exists for a supplier, the system finds and displays it automatically. The option Submit to Grouping allows you to automatically group the item with similar items into one purchase order. For example, if you have several new employees who need a laptop, the system combines all laptop shopping cart items into a single purchase order for one supplier. You can also search for the lowest price (this is the default setting) and compare suppliers. Alternatively, you can select Replace Item With Catalog Item, which displays a list of relevant SAP and nonSAP catalogs from which to choose the replacement. You can then create drafts of the following procurement documents: RFx RFxs that you create in sourcing can only be processed in SAP SRM, in the SAP Bidding Engine. Contract The system creates a central contract for each supplier and purchasing organization. If you want the system to create back-end contracts in SAP ERP from the sourcing application, you can implement the BAdIBBP_DETERMINE_LOGSYS. You do this in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins Shopping Cart and Requirement Items Determine Backend System / Company Code .

Note
In SAP SRM 7.0, if the item you want to source is a hierarchical service that originates from the SAP ERP system (MM-SRV), the system automatically creates a back-end contract. As of enhancement package 1 for SAP SRM 7.0, if you have activated the business function SRM, Service Procurement Innovations(SRM_SERVICE_PROC_1) and the Customizing switch Central Contract Management(SRM_701_SERV_PROC_CCM), a central contract is created by default in SAP SRM. In the central contract, the strategic purchaser can define to which back-end system or systems the contract is replicated. This means a contract is created in a back-end system with reference to the central contract in SAP SRM. If you still want the contract to be automatically created in the back-end system and not in SAP SRM when the business function is active, you can implement the BAdI BBP_DETERMINE_LOGSYS. You can complete and release the contract using the Process Contracts application. In the SAP Bidding Engine, you can negotiate the details of a central contract as part of an RFx. For more information, see Central Contracts.

Purchase Order The system creates purchase orders for the requirements. If it creates a local purchase order, you can edit it. If the purchase order is created in the back-end system, you cannot edit it in the SAP SRM sourcing application, only in the back-end system. If the item that you want to order is a hierarchical service item that originates from the SAP ERP system, the system automatically creates a back-end purchase order in this system.

Auction

You can create an auction for the selected requirements. You remain on step 2 (Assign Sources of Supply) until you have processed all the items on this screen. You can save requirements to process them later. Requirements that you have saved also appear in the worklist of the other members of your purchasing group. When you leave the application, other purchasers can process these requirements.

3. Review Drafts
In this step, the item is locked for other users. You can now process selected drafts of RFxs, contracts, purchase orders, or auctions.

4. Summary Screen
In this final step, you can display the purchasing documents that you have created. If the document is displayed as a link, you can call up the details of the document and make changes, if required.

Note
Once you create a purchase order or a contract for a requirement, the requirement no longer appears in sourcing. If you want to display requirements for which follow-on contracts exist, you can create a BAdI implementation in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins Sourcing Do not Allow Requirements to be Met Through Contracts If you create an RFx or an auction with the SAP Bidding Engine, the requirement remains in sourcing.

6.6.2 Split Criteria for Sourcing

In the sourcing application, you can create four types of documents: Purchase orders (local or back-end) Contracts (local or back-end) RFxs Auctions

For shopping cart items that you have selected for sourcing, specific split criteria are used. These split criteria cause the system to create one or more follow-on documents from the selected items. An example of a split criterion is the supplier ID: For items with different supplier IDs, the system creates separate follow-on documents.

Note
The split criteria are fixed and cannot be changed.

Features
Effects on Purchase Orders

The split criterion that determines whether a local purchase order or a back-end purchase order is created is contained in the field Logical System of Logistics Back-end (BBP_PDBEI-BE_LOG_SYS) of the shopping cart item. If the field value corresponds with the current system name, the system creates a local purchase order. If the field value does not correspond, the system creates a back-end purchase order. If a shopping cart is relevant for sourcing, a value must exist in this field to allow the system to determine where the purchase order is created. The value in this field depends on the settings you have made in Customizing for SAP Supplier Relationship Management under Technical Basic Settings Define Backend System for Product Category . Effects on Contracts You can create either a local or a back-end contract. You can manually program the target system (that is, the system in which the contract is created) by using the Business Add-In (BAdI) Exit While Determining Target System of Item (BBP_DETERMINE_LOGSYS), using the method CONTRACT_LOGSYS_DETERMINE. You can find this BAdI in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins Shopping Carts and Requirement Items Determine Backend System / Company Code . If the item that you want to source is a hierarchical service item that originates in the SAP ERP system, the fieldBBP_PDBEI-BE_LOG_SYS is automatically filled with the data for the correct back-end system when the external requirement is created in SAP SRM. The contract is then automatically created in that SAP ERP system. Effects on RFxs No split criteria exist. Effects on Auctions No split criteria exist.

6.6.3 Procurement of External Requirements

As the central purchasing system, SAP Supplier Relationship Management (SAP SRM) can work together with different SAP and non-SAP systems (planning and executing systems), and procure any requirements for direct and indirect materials as well as for services. The requirements can originate in SAP SRM or in other systems, such as SAP ERP.

Integration
This function is used in the following business scenarios: Plan-Driven Procurement. Service Procurement Strategic Sourcing Material Requirements Planning (PP-MRP) Consumption-Based Planning (MM-CBP) Plant Maintenance (PM) Project System (PS) Materials Management (MM)

SAP ERP Application Components for Procurement of Direct Materials

SAP ERP Application Components for Procurement of Other External Requirements

Requirements in the form of purchase requisitions are transferred from SAP ERP to SAP SRM, for example by using the Collective Processing of Purchase Requisitions function of SAP ERP . As of SAP

SRM 7.0, requirements containing service items with a hierarchical structure can also be transferred to SAP SRM.

SAP SRM and Non-SAP Systems

Integration of non-SAP systems is possible with the open XML interface. The XML inbound interface can process direct and indirect external requirements, and generate purchase orders from them in SAP SRM.

Sourcing
Sourcing is carried out for the external requirements. Depending on your settings in Customizing, SAP SRM either generates purchase orders immediately or transfers the items to the purchaser's sourcing application. (For more information, see Sourcing). For more information, see Customizing for SAP Supplier Relationship Management under Server Sourcing Define Sourcing for Product Categories. SRM

Third-Party Order Processing

The interface supports the procurement type third-party order processing. SAP SRM 7.0 currently carries out third-party processing for external requirements only. Manual creation of a purchase order for third-party processing is not possible.

Hierarchical Service Items

In the sourcing application, the system displays hierarchical service items that have been transferred from back-end systems.

Technical Scenarios
You can carry out procurement of external requirements in the following SAP SRM technical scenarios: Standalone scenario Classic scenario Extended classic scenario

Note
Hierarchical service items can only be procured in the classic scenario.

6.6.3.1 Procurement of External Requirements: How it Works

This process describes the procurement of external requirements; that is, the procurement of requirements for direct and indirect materials as well as for services originating in systems other than SAP SRM, for example in SAP ERP.

Prerequisites
The external requirements have been approved in the back-end system.

Process
The procurement of an external requirement proceeds, for example, as follows:

1. An SAP back-end system sends an external requirement to SAP SRM, or a non-SAP system sends an external requirement, using the open-XML interface. 2. SAP SRM carries out sourcing for the requested product and, depending on the settings in Customizing, transfers the requirement to the purchaser's sourcing application. Here, purchasers have numerous sourcing functions available. They can use these, for example, to create contracts for requirements, or to start an RFx process. For more information about the settings available for sourcing, see Customizing for SAP Supplier Relationship Management under SRM Server Sourcing Define Sourcing for Product Categories. 3. SAP SRM generates the purchase orders. Depending on the technical scenario, follow-on processing of the purchase order occurs either locally in SAP SRM or in a back-end system. 4. After a purchase order has been created or changed, SAP SRM informs the back-end system that the requirement has been ordered. See also: Procurement of External Requirements Sourcing

6.6.4 Assigning Existing Sources of Supply

SAP Supplier Relationship Management (SAP SRM) automatically determines existing sources of supply for requirements. As the strategic purchaser, or employee responsible for sourcing, you can have the system propose sources of supply, and assign them to an item. The system provides the following starting points for the sourcing proposal: The item overview of the purchase order (in change mode only) For more information, see Purchase Orders. The purchaser's sourcing application For more information, see Sourcing. The supplier list This shows the source of supply for informational purposes only; no transfer occurs here. For more information, see Supplier List.

Prerequisites
You have created sources of supply. These could be: Contract items in SAP SRM Entries in the SAP SRM supplier list

Features
Sourcing Criteria
During the sourcing operation, the system checks the requirement for the validity of specific sourcing criteria. Primary Sourcing Criteria The system checks automatically whether the criteria in the contract match those in the requirement. Sources of supply that do not have matching primary criteria are not proposed for assignment. In the standard system, the following criteria are relevant: The product must be identical in the requirement and the contract. The product category must be identical in the requirement and the contract. The supplier must be identical in the requirement and the contract. Procurement takes place for the same company with which the contract exists. The purchasing organization responsible for the requirement is authorized to use the contract. The location specified in the requirement is release-authorized for the contract. The goods recipient has not been deleted and has not been excluded from a goods delivery for this contract. For more information, excluding goods recipients in contracts, see Central Contracts. Secondary Sourcing Criteria These are additional customer-specific criteria that you can define for your company. You can only apply secondary criteria to contracts that fulfill the primary criteria. However, you can manually select sources of supply that do not fulfill all the secondary criteria. You can display to what extent the source of supply does not match the criteria. You can define secondary sourcing criteria by implementing the Business Add-in (BAdI) Determine Sourcing for an Item (BBP_SRC_DETERMINE). You find this BAdI in Customizing for SAP Supplier

SRM Server Business Add-Ins Sourcing Find and Check Sources of Supply . Automatic Grouping of Requirements
Relationship Management under You can use the report Automatic Grouping of Requirements for POs and RFxs (BBP_SC_TRANSFER_GROUPED) to enhance automatic sourcing by grouping requirements together. We recommend that you use this report. You should only use the manual assignment of a source of supply in exceptional cases. The report groups requirements with status Held and an assigned (automatically or manually) source of supply, and attempts to combine them in large purchase orders or by supplier. The requirements must belong to product categories for which you have assigned an appropriate sourcing option in Customizing for SAP Supplier Relationship Management under SRM Server Sourcing Define Sourcing for

Product Categories. .
We recommend that you schedule the report to run periodically.

Note
If requirements have the same supplier but different purchasing organizations, you cannot combine them in a single purchase order. There are several other criteria that influence whether the system creates one or several purchase orders for requirements. For information about these criteria, see Split Criteria for Sourcing and SAP Note 1052650.

6.6.5 Quota Arrangements

You can use this function in both a manual process and an automated process as part of sourcing to generate purchase orders (POs). Quota arrangements allow you to define target percentages and distribute them between two or more purchasing contracts. A quota arrangement ensures that a contract is guaranteed both a minimum sales volume and a defined percentage of the total purchasing volume of a product category or product. A quota arrangement has the highest priority in the sourcing process. During the validity period of a quota arrangement, there are two phases. These are as follows: Fulfillment of guaranteed minimums Before the system assigns contracts based on target percentages, the quota arrangement ensures that all guaranteed minimums of contracts participating in that quota arrangement are fulfilled. The sequence in which the guaranteed minimums are fulfilled is determined by the target percentages defined in the quota arrangement. Guaranteed minimums are defined in the contract. Assignment of contracts based on target percentages Once all of the guaranteed minimums of contracts participating in a quota arrangement have been fulfilled, the system continues to automatically assign contracts based on the target percentages defined in that quota arrangement. The winning contract is then determined by the relative difference between the actual release value and the target value of the quota arrangement.

Integration
You use this function in the following applications: Contract Management

When you order a purchase order against a contract that is part of a quota arrangement, the system automatically updates the release values for each contract line item. Sourcing The system shows the winning contract for a quota arrangement in the manual sourcing process. During manual sourcing, you can access quota arrangement details from the sourcing application.

Prerequisites
You can only create a quota arrangement if a product category or a product is saved in the system, and a contract is available so that you can assign target percentages for the quota arrangement.

Features
The system allows the source of supply to be selected automatically, based on the fulfillment of guaranteed minimums and target percentages defined in the quota arrangement. A quota arrangement uses standard rules to determine the winning contract in the sourcing process. However, the system can redetermine a winning contract with your own logic if you implement a Business Add-In (BAdI) from Customizing. To access this BAdI in Customizing for SAP Supplier Relationship Management, choose SRM Server Business Add-Ins (BAdIs) Sourcing Redetermination of the Contract to be Used (Quota Arrangement) . Strategic Purchasing

Activities
You can create a new arrangement in Contract Management by choosing Contract Management Create Documents Quota Arrangements adding further contracts (with or without a quota base quantity) . You can change an existing quota arrangement, for example, by modifying the target percentages or

Caution
The contracts in a quota arrangement must have the same base unit of measure.

Note
In the Quota Base Quantity column, you can enter a nominal released quantity for contracts joining an ongoing quota arrangement. This allows you to simulate participation of the new contract in the quota arrangement immediately. If you leave this field blank, the system assigns the new contract with all sourcing requirements, until it catches up with the other contracts participating in the quota arrangement.

6.6.6 Sourcing Using Supplier Lists

As part of the sourcing process, SAP SRM checks if entries in supplier lists exist for requested items. The system compares the requirement data with that of the supplier lists and, if there is a match, it proposes one or more suppliers for selection. In supplier lists, you can also manually allocate back-end contracts from specific systems. This enables more effective sourcing for back-end contracts.

Integration
This function is integrated with the following scenarios: Selection of back-end contracts from a supplier list is supported only in the Classic deployment mode in SAP SRM.

Direct material procurement is supported in a SAP SRM shopping cart or purchase order only in the Extended Classic deployment mode in SAP SRM.

Prerequisites
The supplier list must be released.

Features
The system verifies that the following criteria match in the requirement list and the supplier list: Purchasing organization Product category Product (does not have to be in the supplier list, but if it is, it must match the requirement)

Note
If you enter a supplier when searching for a source of supply, the system checks if this supplier matches an entry in the supplier list. As a result of the verification, the system proposes all sources of supply for which the criteria match.

Example
The following examples illustrate how the system evaluates the criteria and, as a result, proposes sources of supply.

Example 1
Field (Mandatory criteria = M) (Optional criteria = O) Purchasing organization (M) Product category (M) Product (O) 1000 4711 0815 1000 4711 0815 Data Specified for Requirement 1 (Search) Data Specified for Supplier List A

The system proposes the suppliers from supplier list A as sources of supply for requirement 1. Reason: The data specified in the requirement and in the supplier list match exactly.

Example 2
Field (Mandatory criteria = M) (Optional criteria = O) Purchasing organization (M) Product category (M) Product (O) 1000 4711 0815 1000 4711 Not specified Data Specified for Requirement 1 (Search) Data Specified for Supplier List B

The system proposes the suppliers from supplier list B as sources of supply for requirement 1. Reason: Since no product is specified in the supplier list, the system assumes that the suppliers in supplier list Bare suitable for providing all products in product category 4711, including product 0815.

Example 3
Field (Mandatory criteria = M) (Optional criteria = O) Purchasing organization (M) Product category (M) Product (O) 1000 4711 1234 1000 4711 0815 Data Specified for Requirement 2 (Search) Data Specified for Supplier List A

The system proposes no suppliers from supplier list A for requirement 2. Reason: The product specified in the requirement differs from the product specified in the supplier list.

Example 4
Field (Mandatory criteria = M) (Optional criteria = O) Purchasing organization (M) Product category (M) Product (O) The system proposes no suppliers from supplier list A for requirement 3. Reason: The suppliers in supplier list A are suitable for providing product 0185, but not for all products in the product category 4711. Since the requirement contains no entry for the product, the system cannot determine whether the supplier can provide the requested product. 1000 4711 1000 4711 0815 Data Specified for Requirement 3 (Search) Data Specified for Supplier List A

6.6.7 RFx
In SAP Supplier Relationship Management (SAP SRM), purchasers can create RFx documents for products and services. RFx can be created from scratch, in the SAP Bidding Engine, or directly from a central contract. Using RFx as a basis, suppliers bid on the products and services that are required, allowing the purchaser to determine the most suitable source of supply. You can create two types of RFx: Public RFx are accessible online to all potential bidders, and are published on portals, for example. The bidders can reach your Web page directly using a hyperlink from the portal. If you are expecting a bid from a particular bidder, you can e-mail them directly. Restricted RFx are made accessible to known bidders by e-mail only. Bidders can reach your webpage directly using a hyperlink in the e-mail. For more information, see Bidder Notification.

Note
The term RFx is used in this documentation as a general term for the type of document a purchaser sends out to potential bidders. Purchasers can create any type of document, or transaction type they choose, such as a simple request for information, or a request for a quote. For more information, see

Customizing for SAP Supplier Relationship Management under Settings Define Transaction Types .

SRM Server Cross-Application Basic

Prerequisites
You have created user master-records for bidders and portal providers. In the user master record for the portal provider, you specify how you communicate with the provider. For example, you can specify that the portal provider only receives an e-mail, or that the RFx is published directly on the provider's web page. You have set up the roles Bidder and Supplier for the relevant business partners so that you can immediately create a purchase order or a contract for an accepted bid. For more information, see SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for Strategic Sourcing General Settings Organizational Configuration Adjust Roles . If you want the system to automatically group requirements and create corresponding RFx documents, you must have done the following: o Scheduled report BBP_SC_TRANSFER_GROUPED to run regularly for RFx o Selected the option Automatic Grouping and Creation of Bid Inv. w/o SOS for all categories for which you want automatic grouping of requirements and creation of RFx to apply. You make this setting in Customizing for SAP Supplier Relationship Management, under SRM Server Sourcing Define Sourcing for Product Categories. If you want to permit bidding in multiple currencies, you must have made settings for exchange rates in Customizing under SAP Web Application Server General Settings Currencies . If you want to use limits in RFxs, you must have performed the following activities in Customizing for SAP Supplier Relationship Management under SRM Server: o o RFx Activate/Deactivate Limits in Bidding Documents . Cross-Application Basic Settings Define Transaction Types . In this activity, define limits for the RFx transaction category ( BUS2200).

If you want to create an RFx from a shopping cart before the shopping cart has been approved, you must perform the following Customizing activities: o Activate the business function SRM, Strategic Sourcing Innovations 2 (SRM_SOURCING_2) in Customizing for SAP Supplier Relationship Management under o SRM Server Activate Business Functions . Activate the RFx Creation Before Shopping Cart Approval (SRM_702_RFX_FROM_SC) Customizing switch in Customizing for SAP Supplier Relationship Management under Activate/Deactivate RFx Creation Before Shopping Cart Approval . SRM Server Sourcing

If you want to display, compare, and evaluate bidders based on certain criteria (for example, price), you must perform the following Customizing activities: o Activate the business function SRM, Strategic Sourcing Innovations 2 (SRM_SOURCING_2) in Customizing for SAP Supplier Relationship Management under o SRM Server Activate Business Functions . Activate the Active Bidders (SRM_702_ACTIVE_BIDDERS) Customizing switch in Customizing for SAP Supplier Relationship Management under Bidders . SRM Server Analytics Activate/Deactivate Active

Features

In Customizing, you can specify that the system carries out sourcing using RFx only. If you do this, the system automatically creates RFx in the background for requirements (including external ones, such as purchase requisitions from Materials Management) for which no sources of supply have yet been assigned. For more information, see Customizing for SAP SRM under SRM Server Sourcing Define Sourcing for Product Categories .

The system can automatically group requirements, and create an RFx for all requirements in the group. For more information, see the system documentation for report BBP_SC_TRANSFER_GROUPED and the Business AddInsBBP_TRANSFER_GROUP and BBP_SAVE_BID_ON_HOLD.

Note
You can use SAP SRM Alert Management to send alerts and notifications based on predefined events. For more information, see SAP SRM Alert Management. You can create templates in SAP Bidding Engine to process recurring transactions more quickly and efficiently. You can use supplier lists when inviting selected bidders. You can compile these lists based on evaluation reports that have been carried out with SAP NetWeaver Business Intelligence (SAP Netweaver BI). You can only include active supplier lists. You can display, compare, and evaluate bidders based on certain criteria (for example, price). By creating a prioritized list of bidders based on a specific parameter, you can tailor this list to reflect your current requirements. This information supports your decision making processes and lets you select and invite the appropriate bidder when you are creating an RFx. Bidders are displayed in the Active Bidders table. Further information on the bidders listed in the Active Bidders table is displayed in the form of the following charts: Bidder Overall Score, Score Based on Evaluation Criteria, and Bidder Spend. A direct link from the application to SAP NetWeaver BI means that you can now generate reports quickly and easily. You can add your own reports to the ones delivered by SAP in Customizing for SAP SRM under your own. Requester and delivery point: the system suggests the current user as the requester. You can overwrite the proposal. Here, and as goods recipient too, you can assign any person contained in the business partner master. You can enter any organizational unit of the business partner as delivery point if an address has been maintained. You can change RFx documents for which the submission deadline has not yet been reached. However, you cannot change the purchasing organization and the document number. If you make changes to the RFx, you can inform all previous bidders of these changes by e-mail, or send individual bidders an e-mail. You can display changes (for example, when a date has been changed) to the RFx. You can communicate with the supplier using chat to seek clarification on any aspects of the RFx. All chat messages are saved. You can use limits in RFxs and RFx responses. SRM Server Cross-Application Basic Settings Define Logical Systems and Template Names for BW Reports . If you do not wish to use the delivered reports, you can replace them with reports of

You can create RFxs from shopping carts that have not yet been approved, that is, without accessing the Sourcing application.

Activities
You access SAP Bidding Engine as a purchaser in SAP SRM. You can search for an existing RFx or create a new one.

Create RFx
You enter the name and number of the RFx. The header data contains the basic information for the RFx, such as the creation time, created by, status, and so on. The parameters include the type of publication (public or restricted), start date and time for submitting bids, submission deadline and detailed pricing information, among others.

Note
You must decide here if you want to use the weighting and ranking functions, which allow you to evaluate and compare the bids you receive on your RFx. For more information, see Weighting and Ranking. You can enter the following information: Partners and Approvers Add information regarding the approval recipient, shipping address and location, and add a note for the approver. Bidders Here you can search for bidders or portals (in the case of public RFx) from internal and external directories and transfer them to the RFx. You can also transfer different contact persons from the same organization. Depending on the settings in Customizing, you can choose to display catalog data in the integrated catalog, in other words the data is displayed in the same window. See Customizing for SAP SRM under SRM Server Master Data Define External Web Services . Documents You can enter an internal note or a supplier text, and create attachments by uploading documents from your PC. You can also create an area in cFolders, where you can share, for example, specifications and design documents with potential bidders. You can create long texts at header, outline, and item levels. In the case of public RFx, the long text is displayed in the portal on header level, and is transferred to the bidder in the e-mail. Additional Currencies Here, you select the currency in which the RFx is issued to bidders, plus acceptable alternative currencies. The bidders can bid in the currency of their choice, but the bid is displayed to the purchaser in the currency of the RFx. You can specify a date on which currencies are converted so, when you compare bids, you have a record of the exchange rates.

Note
Currency exchange rates vary by date. If you specify currency conversion date that is earlier than the start date of the RFx, the exchange rates of your selected currencies remain fixed for the duration of bidding. If you specify a date that is later than the start date, the exchange at the time of comparing bids may differ from the exchange rate when the RFx is published. If you do not specify a currency conversion date, the system compares bids using the exchange rate on that date.

Questions You can define questions that are required as additional information for the current RFx.

Maintain Items
Outline levels You create outline levels for your RFx by entering a description for the outline level, and an internal note or supplier text. You can then add any number of items at each level. You must enter items at every outline level, since the bidder can only enter quantities and prices at item level. If you do not want to enter an outline, you can enter the items directly under Item Data. Items You can transfer items from a catalog, or from the product master. You can specify whether products replicated as material from the back-end system and assigned to a plant can be ordered as direct material. Lots You can use the outline mechanism to create lots that group related items together. Bidders must have bid on every item in a lot before they can submit their bid. Bid prices that are entered at item level are aggregated at lot level. You can select and duplicate items.

Note
If you create an RFx from the sourcing application, you cannot add new items.

Send the RFx

Once you have entered data in the RFx, you: 1. Verify that you have completed all mandatory fields (these fields are marked as being mandatory) by choosingCheck. 2. Save the RFx by choosing Hold. 3. Complete the RFx This means that the RFx has been completed and checked and is ready to publish. 4. Publish the RFx Bidders assigned to a restricted RFx receive an e-mail containing a link to the RFx. A public RFx is published on the assigned portal. Any assigned bidders receive an e-mail.

Create RFx as Follow-On Document for Another RFx

You can create an RFx as a follow-on document for another RFx, if, for example, the first RFx did not result in any acceptable bids. When you do this, the system closes the original RFx and creates a new one. The original remains in the document history for further reference. A follow-on RFx can only be created if the original one has been published, and if no follow-on documents exist for the bids resulting from the first RFx.

Create RFx Directly from Shopping Cart Without Accessing Sourcing

Purchasers can create an RFx directly from a shopping cart before the shopping cart has been approved, that is, when the shopping cart has either the status Awaiting Approval or Saved. This allows you to start the shopping cart approval process and the RFx creation process simultaneously. Also, by creating an RFx directly from the shopping cart before accessing the Sourcing application, purchasers can see the approximate value of a shopping cart before it is approved or rejected.

When an employee orders a shopping cart, the shopping cart appears in the purchaser's universal worklist (UWL). The purchaser can then choose Create RFx on the shopping cart Item Overview tab page to create an RFx directly from the shopping cart. Purchasers can receive RFx responses based on an RFx created directly from a shopping cart, but no RFx responses can be accepted until a shopping cart has been approved. Purchasers can also update the value of a shopping cart based on the RFx responses before the shopping cart is approved. The purchaser is notified once a shopping cart has been approved. A work item is then available in the purchaser's worklist with a link to the RFx that was created from the approved shopping cart.

Close RFx
Once you have closed the RFx, it can no longer be changed, and no more bids can be submitted. The bids already received are assigned the status Completed.

6.6.7.1 Weighting and Ranking

You use the weighting and ranking functions to compare different bids that are submitted in response to an RFx. You can perform these evaluations at attribute, item, outline, and bid levels. This means you have complete freedom and flexibility in prioritizing the items and attributes in your RFx.

Note
You must decide when you are creating an RFx whether or not you want to use the weighting and ranking function. You must use this function to be able to analyze the bids in terms of their scores.

Features
Weighting You can weight attributes or standard fields according to how important they are for your requirements, using a weighting factor. If you do not fill all the fields, you can use the distribution function to distribute the remaining weights uniformly.

Note
The sum of the weighting factors must be 100% per item. Depending on the settings you choose in the RFx, bidders can view the weighting you have applied, and can make their offers accordingly. Valuation Factors You also assign a number of points to the attribute values you want to appear in the bid. You do this by specifying a valuation function and parameters for each of the attributes or fields you wish to include in the weighting and ranking function. If you do not specify these, the attribute or field is excluded from the calculations, and the checkbox on the interface is deactivated. The valuation factor is calculated on the basis of what you specify in the valuation function, and the entry made by the bidder. You can also include standard fields in the valuation process, for example, Incoterm at header level or Price at item level. You can set a default for these in Customizing for SAP Supplier Relationship Management under Server RFx Valuation Default for Valuation Records . You can use the following four valuation functions to calculate valuation factors: SRM

Linear This function is especially suitable for amount fields. The parameters of this function are minimum and maximum attribute values, together with minimum and maximum function values. If a bidder enters a value that is outside of the defined range, the minimum or maximum value is taken as the score value.

Example
In a given Price field, the following values can apply: o o o o Min. attribute value = 1,000 Euro Max. attribute value = 9,000 Euro Max. number of points = 100 Min. number of points = 0 If the bidder enters a price of 1000 Euro or less, this generates a valuation factor of 100. A price of 5,000 Euro generates a valuation factor of 50 and any price equal to or greater than 9,000 Euro generates a valuation factor of zero. Step This can be used for information such as delivery times. When you are entering the intervals, you must ensure that the new interval begins where the previous interval ends, for example 1-10 and 10-20.

Example
If a bidder promises delivery within 1 and 5 days, this generates a score of 100 points. Delivery within 5 and 10 days generates a score of 50 points, and between 10 and 21 days generates a score of zero. Fixed This function is especially suitable for attributes with determined fixed values. If fixed values are defined for an attribute, the score values can be assigned to particular fixed values.

Example
A purchaser may wish to buy a car of a particular color. Bidders receive more favorable scores depending on the colors they can deliver. For example, the following colors can generate different scores as follows: Blue = 20 points Red = 60 points Yellow = 100 points Manual This function is especially suitable for text fields with no fixed values. In this case, the purchaser manually valuates the contents of the fields in the bid document once this has been received from the bidder. Generating Scores The bidder enters values for the particular attributes or standard fields, and submits the bid. The valuation factor and the weighting factor are multiplied together to give a score. Scores are calculated in this way at header, outline, and item levels for the individual items, and for the individual attributes of an item. You can also determine a score for the RFx header. This, together with the score for the items, gives you a

score for the whole bid. Each bid receives a maximum of 100 points. In this way, you have an overview of all the bids received for an RFx, and can quickly determine the winning bid. Ranking Scores You can view and compare all the incoming information as soon as you start to receive bids for your RFx. All the scores that have been calculated at the different levels are clearly sorted and displayed. To get the best overview for your requirements, you can include or exclude certain bids in the overview, and freeze the information from certain bidders to allow for easier comparison with the other bidders.

Activities
1. You specify a weighting factor in percentage form for the item header (optional), and for each item attribute or standard field that is to be used for the function. 2. You choose Distribute weights to automatically distribute the weighting among all the items in the RFx. 3. You select a valuation function for each item field or attribute that you want to include in the valuation, and fill in the fields that are displayed for that particular valuation function. 4. You choose whether you want the bidder to be aware that certain criteria have been weighted. 5. Once the opening date has been reached and you start to receive bids, you can view and compare them. You can do this by choosing Bid Comparison.

Example
In the figure below, you can see how the overall score for an item is calculated. The item in the example has been given a weight of 60% within the bid as a whole. Three attributes have been used to generate a score for that item. The scores for the individual attributes are calculated using the weight assigned to them multiplied by the valuation factor. This factor is calculated on the basis of the valuation function defined for the attribute and the actual value entered by the bidder in the bid document.

6.6.7.2 Create Questions

This function gives purchasers greater flexibility when seeking information about the product or service they are sourcing. The questions you ask refer to specific characteristics of products and services, and can be incorporated into the bidding process in the SAP Bidding Engine. They are used to customize RFx documents, and appear as additional fields requesting specific information. To the bidder, they appear as input fields that are used to provide a precise description of the products or services being offered.

Prerequisites
The system administrator has set up your system in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Bid Invitation Questions as follows: Define Data Types for Questions: The data types defined here are used when the purchaser creates questions directly from the RFx. In the standard system, there are five types, and you can create as many additional types as you wish. The five standard types are: o MENG13 for quantities o WERT7 for currency amounts

o o o

BBP_YESNO for yes/no fields CUF_VALUE for text of max. 130 characters DATUM for dates

Define Groups : The questions are subsequently assigned either centrally by the system administrator, or directly from the RFx to the different groups defined here. Assign Groups to Product Categories : When you enter a product category in the RFx, a group of questions is offered for selection, on the basis of the settings specified here. You can also set the header/item indicator here. This means that, for the same product category, different questions are proposed depending on whether the attributes are at the header or item level.

Note
If there is no entry in the product category field, this means that the group is assigned to all product categories. If you want questions to be proposed on the basis of an element other than the product category you have entered in the RFx, your system administrator can define your criteria using the Business AddIn Questions in Bid Invitations.

Features
Questions in RFx allow you to: Create new attributes at the header level for each individual item directly from the RFx. You can then reuse these in other RFx documents. Assign these new attributes to groups and product categories directly from the RFx Change the characteristics of an attribute for a particular RFx; for example, whether it appears as a required field in the bid document. Bidders can: Display all the questions specified by the purchaser (at the header and item levels) See whether the information they are being asked to supply is required or optional Enter the information they have regarding the specified question.

Activities
Purchaser Activities surrounding the creation and maintenance of questions are done partly by the system administrator in Customizing for SAP SRM, and partly by the purchaser, directly from the RFx in the SAP Bidding Engine. When you create an RFx, a selection of questions is offered to you on the basis of the product category you have entered in the RFx. If you wish to add a new question to this list, you do so directly from the RFx. Creating questions: You create a question directly from the RFx on the Questions tab. Depending on where you are in the RFx, the question is created at header or item level accordingly. You then assign the question to a data type and group that have been defined by the system administrator. You can create the question for use: o o In that particular RFx only. In this case, you need only to enter a description and assign it to a type. For other RFx documents also. In this case you give it a name, assign it to a group, and determine: o Whether it is available only to you, or to everybody

o o

Whether the bidder has to address it in the bid document Whether the bidder can provide a comment in the bid document

Maintaining questions: The system administrator can change the following centrally in Customizing. Changes made here apply to all RFx documents. o o o o o o Name Type Description Whether the question is public or private; that is, whether it is available to everybody or only to the person who created it Whether the bidder has to address it in the bid document Whether the bidder can provide a comment in the bid document

The purchaser can change the following directly from the RFx. Any changes made here apply to that RFx onl. o o o o Description: You can use up to 130 characters to specify the information you require. Whether the bidder has to address it in the bid document Whether the bidder can provide a comment in the bid document Sequence: You can change the order in which questions appear in the RFx by entering a lower number than the first in the list, and choosing Refresh.

Bidder Potential bidders can see the purchaser's questions by choosing Questions in the RFx. Bidders can enter information in the fields under Reply in the requested format (for example, date format, text format, or indicators). If the purchaser has allowed for a comment field, bidders can enter additional details.

6.6.7.3 Integration with SAP PLM cFolders

SAP Supplier Relationship Management (SAP SRM) supports integration with SAP Product Lifecycle Management (PLM) cFolders 2.0 or higher. Once SAP PLM cFolders has been installed, purchasers can create a folder there to store information, and share it with potential suppliers. A template function is also available for both parties. This information includes, for example, specifications and design documents on particularly complex goods or services for which an RFx is being issued. Bidders can store information about their offer in a private area of the folder. From here, it can be reviewed by the purchasing side and the bidder in question. Confidentiality is assured, as the information is accessible only to those parties.

Prerequisites
You have installed SRM Server. You have installed and configured SAP PLM cFolders Release 2.0 or higher. You have ensured that any users defined in both systems have exactly the same user name in each system. If this is not the case, the system is unable to identify which users are involved in which folders and RFx documents. You have established the RFC destination between SRM Server and SAP PLM cFolders in Customizing for SAP SRM under SRM Server Technical Basic Settings Define RFC Destinations .

You have defined the SAP PLM cFolders system in Customizing for SAP SRM under

SRM Server

Technical Basic Settings Define Backend Systems . Here you have defined a logical destination using the system typePLM cFolder from Release 2.0 and the RFC destination you defined above.

Recommendation
SAP recommends that you install Single Sign-On so that you can switch more easily between the systems.

Process
The following figure shows the points of integration between SAP PLM and SAP SRM:

1. The purchaser creates an RFx in SAP SRM, and then creates a cFolder for that RFx. The purchaser can do this under Collaboration in the Documents area of the Header data tab page in SAP SRM. When the purchaser chooses Create, a folder is set up automatically in a public area in cFolders, as part of the competitive scenario.

Caution

It is important at this point to save the RFx by choosing Save. If the RFx is not saved and subsequently gets lost, the link to the folder in cFolders will also be lost and you will be unable to retrieve it. 2. The purchaser goes to the cFolder and invites the engineers on the purchasing side to place all the relevant design and specification information in the folder for potential bidders to view. Only the purchasing side can make changes to the public area of the folder. 3. When potential bidders access an RFx, they can see whether or not a folder has been created for that RFx. If it has, they can follow the link to the folder in the public area in cFolders, view the project information, and decide if they wish to submit a bid. 4. Once a bidder chooses Create bid, a private area is created automatically in cFolders and all the data is copied from the public area to the private area. In this private area, bidders can place all the information surrounding their offer, and revise and update it at any time. 5. The purchasing side determines a winning bid. 6. All project participants on both the purchasing and supply sides can access the work area in cFolders, and add to and correct the data until all parties have agreed on the final and binding specifications. Methods for working together include: Documents Bookmarks Data sheets

Discussions forums The link to cFolders is included in the bid and also in the follow-on purchase order or contract. The collaboration area remains open, allowing the purchaser and the supplier to refine the design documents even after the winning bid has been determined.

6.6.7.4 Extended RFx Process

In this area, you find information about enhanced features for the RFx process. You can use functions for collecting tender fees or earnest money deposits from the interested bidders. The extended RFx process also allows for two-envelope RFx responses that include technical and price RFx responses. It also provides a simultaneous logon feature, enabling multiple stakeholders to log on to SAP SRM and provide their consent for technical RFx response opening or the price RFx response opening.

6.6.7.4.1 Tender Fee Processing

You use this process to collect a non-refundable tender fee from potential suppliers as a means of limiting the number of RFx responses that are submitted for an RFx. Typically, the purchaser informs potential suppliers of the published RFx, which they can then view in SAP Bidding Engine. After viewing the RFx, suppliers can decide whether or not they want to pay the tender fee and submit an RFx response.

Tender Fee Payment

Suppliers can pay the tender fee either directly to the purchasing organization or using an online payment gateway. For more information about configuring an online payment gateway, see the Business Add-In (BAdI) documentation in Customizing for SAP Supplier Relationship Management under SRM Server

Business Add-Ins RFx Online Payment .

Extended RFx Process Tender Fee and Earnest Money Deposit

Enhance Tender Fee

You can also define how the system stores a supplier's tender fee payment information, for example, you can automatically transfer payment information from SAP Supplier Relationship Management (SAP SRM) to Financial Accounting (FI) in SAP ERP. For more information, see the BAdI documentation in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins RFx Extended RFx Process Tender Fee and Earnest Money Deposit Enhance Tender Fee Payment .

Waiving Tender Fees

If a supplier is exempt from paying the tender fee, the purchaser can manually assign the supplier the tender fee payment status 'waived'. The supplier can then submit an RFx response without the tender fee.

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following: You have activated tender fee payment in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Activate/Deactivate Tender Fee . You have activated tender fees for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options . You have configured the tender fee amount and currency in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Define Basic Data for Tender Fee Payment . You have defined tender fee payment methods in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Define Tender Fee and EMD Payment Methods .

Process
1. The purchaser creates an RFx and enters the tender fee amount and a deadline for the payment of the tender fee. 2. The supplier pays the tender fee, either offline or online: Offline Payment 1. The supplier pays the purchasing organization using one of the configured payment methods. 2. The purchaser enters the suppliers payment information in SAP SRM and manually updates the suppliers tender fee payment status. Online Payment 1. In SAP Bidding Engine, the supplier navigates to the online payment gateway from the RFx document. 2. The supplier enters the payment information in the payment gateway and submits the payment.

3. The system stores the supplier's payment information in SAP SRM and updates the supplier's tender fee payment status.

Result
Once the purchasing organization has received the suppliers tender fee payment and the supplier has been given the payment status 'paid' in the system, the supplier can access the complete RFx and submit an RFx response.

6.6.7.4.2 Earnest Money Deposit Processing

You can use this process to specify that an earnest money deposit (EMD) is required for an RFx and to track the status of earnest money deposit payments by RFx respondents (= bidders). Typically, an RFx respondent must submit the EMD with their RFx response. If an RFx respondent does not submit the EMD before the deadline, their RFx response may not be accepted by the purchasing organization.

Earnest Money Deposit Payment

When an RFx respondent pays an earnest money deposit, you can manage their payment status in the EMD payment overview for the RFx document. You can also define how the system stores a supplier's earnest money deposit payment information, for example, you can automatically transfer the payment information from SAP Supplier Relationship Management to Financial Accounting (FI) in SAP ERP. For more information, see the Business Add-In (BAdI) documentation in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins RFx Extended RFx Process Tender Fee and Earnest Money Deposit Enhance Earnest Money Deposit Payment .

Earnest Money Deposit Reversal

You typically refund earnest money deposits submitted by unsuccessful RFx respondents after the RFx process is completed and an award has been made. You can place the earnest money deposits of successful RFx respondents in accounts receivable and return the amount when the purchase order or contract is completed.

Waiving Earnest Money Deposits

If a supplier is exempt from paying the earnest money deposit, the purchaser can manually assign the supplier the payment status 'waived'. The supplier can then submit an RFx response without an EMD.

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following: You have activated earnest money deposit in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Activate/Deactivate Earnest Money Deposit . You have activated earnest money deposits for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options .

You have specified the default earnest money deposit amount and currency in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Define Basic Data for Earnest Money Deposits . You have defined earnest money deposit payment methods in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tender Fee and Earnest Money Deposit (EMD) Define Tender Fee and EMD Payment Methods .

Process
1. The purchaser creates an RFx and enters an earnest money deposit amount and a deadline for the payment of the deposit. 2. The purchaser publishes the RFx. 3. The supplier pays the earnest money deposit to the purchasing organization using one of the configured payment methods. 4. In the earnest money deposit payment overview for the RFx, the purchaser enters the payment information for the supplier and manually updates the suppliers payment status. 5. The supplier submits an RFx response and an award is made. 6. The purchaser refunds the earnest money deposit to the unsuccessful RFx respondents and updates the RFx respondents' payment status. 7. The purchaser places the successful RFx respondent's EMD in accounts receivable. 8. On completion of the contract or order, the purchaser returns the EMD to the successful RFx respondent.

6.6.7.4.3 Two-Envelope RFx Response Processing

You use this process to handle two-envelope RFx responses. Two-envelope RFx responses are typically used to collect and evaluate technical RFx response information separately from price RFx response information. This allows the purchasing organization to evaluate RFx responses based on factors such as technical capabilities before viewing the price information. RFx respondents (= bidders) submit a technical RFx response and a price RFx response. You can influence the way in which technical RFx responses are stored, accessed, opened, and evaluated. When the purchaser creates an RFx with two-envelope RFx response, the system automatically creates a collaboration room in SAP Product Lifecycle Management (SAP PLM) cFolders for the RFx. When an RFx respondent creates an RFx response, the system creates a folder in this collaboration room to which the RFx respondent can upload their technical RFx response. RFx respondents can edit or upload new versions of their RFx response until the RFx closing date. For more information about cFolders for technical RFx responses, seecFolders for Technical RFx Responses.

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following:

You have activated the two-envelope RFx response function in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response) Activate/Deactivate Two-Envelope RFx Response . You have activated two-envelope RFx response for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options . You have configured optional two-envelope RFx response settings in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Two-Envelope RFx Response . You have created folders for storing technical RFx responses in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Technical RFx Response Folders .

Process
Purchaser creates RFx with two-envelope RFx response
1. The purchaser creates an RFx for a transaction type for which the two-envelope RFx response function has been activated. 2. The purchaser enters a submission deadline for RFx responses and specifies a technical RFx response opening date and a price RFx response opening date. 3. On creation of the RFx, the system creates a cFolder collaboration room containing predefined folders. 4. The purchaser navigates to cFolders and uploads documents to the folders. 5. In cFolders, the purchaser assigns read and write authorizations to users who require access to the folders. 6. The purchaser publishes the RFx.

RFx respondent submits two-envelope RFx response

1. In SAP Bidding Engine, the RFx respondent views the RFx and creates an RFx response. 2. The system creates a supplier-specific folder under the technical RFx responses folder in cFolders. 3. The RFx respondent enters price-related information in the RFx response. 4. The RFx respondent navigates to the technical RFx response folder. The system opens the supplier's technical RFx response folder in cFolders. 5. The RFx respondent uploads the technical RFx response. 6. The RFx respondent submits both parts of the RFx response.

Two-Envelope RFx response opening and evaluation

Note
For more information about using multi-party verification at two-envelope RFx response opening, seeSimultaneous Logon at RFx Response Opening. 1. The purchaser initiates technical RFx response opening. 2. The technical evaluation panel evaluates the technical RFx responses. 3. The purchaser navigates to the technical RFx response overview and accepts or rejects each technical RFx response according to the decision of the evaluation panel.

Depending on the settings made in Customizing, an e-mail notification is sent to all RFx respondents notifying them of the decision of the evaluation panel. And, if configured, the price RFx responses of respondents whose technical RFx responses were rejected by the evaluation panel are automatically rejected. 4. The purchaser initiates price RFx response opening. 5. The price evaluation panel evaluates the price RFx responses of the RFx respondents who were shortlisted by the technical evaluation panel. 6. An award is made.

6.6.7.4.3.1 cFolders for Technical RFx Responses

When you create an RFx with two-envelope RFx response, the system creates a collaboration room in SAP Product Lifecycle Management (SAP PLM) cFolders containing the following default folders: External Contains documents that are to be shared with the RFx respondents (= bidders). Internal Contains documents that are only to be viewed by users from the purchasing organization. Evaluators Contains evaluator comments. Collaboration Used by RFx respondents and evaluators to exchange information, for example, the RFx respondents can ask questions that are answered by the evaluators. Technical_Bids When the RFx respondent creates an RFx response, a folder is created under Technical_Bids in which the RFx respondent can store technical RFx response documents.

Note
You can rename these folders or create your own folders in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Technical RFx Response Folders .

You use these folders to store all documents relating to the RFx. Before an RFx is published, the purchaser can upload documents to the folders and assign users read and write authorizations for the folders. For more information about SAP Supplier Relationship Management (SAP SRM) integration with cFolders, see Integration with SAP PLM cFolders. The following default folder authorizations are provided: Purchaser Authorizations Before the RFx is published Authorization Read Write Create Folders Internal Yes Yes Yes External Yes Yes Yes Collaboration Yes Yes Yes Evaluators No No No Technical_Bids No No No

RFx Respondent Authorizations

Authorization Read Write Create Folders

Internal No No No

External Yes No No

Collaboration Yes Yes Yes

Evaluators No No No

Technical_Bids Yes Yes Yes

Purchaser Authorizations After RFx Response Opening Authorization Read Write Create Folders Internal Yes Yes Yes External Yes Yes Yes Collaboration Yes Yes Yes Evaluators Yes No No Technical_Bids Yes No No

For more information about creating additional folder authorizations, see the Business Add-In (BAdI) documentation in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-ins RFx Extended RFx Process Two-Envelope RFx Response Enhance Folder Authorization .

6.6.7.4.4 Simultaneous Logon at RFx Response Opening

You can use this process to allow multiple users to approve the RFx response opening process by simultaneously logging on to the system within a given time period. This allows you to introduce multiparty verification into the RFx response opening process. By default, simultaneous logon is only available for RFxs with two-envelope RFx responses. Before starting the simultaneous logon process, the purchaser must assign participants the necessary permissions for their role in the process. For more information about user roles, see User Roles in the Simultaneous Logon Process. The purchaser then initiates the simultaneous logon process. After initiation, the approvers, in this case, the RFx response openers, must approve the opening process by logging on to the Simultaneous Logon Application. Only after all RFx response openers have verified the process by logging on, is it possible to view and evaluate the RFx responses.

E-Mail Notifications
You can adapt the e-mail notifications sent to users during different stages of the simultaneous logon process. For more information about adapting the content of these notification e-mails, see the Business Add-In (BAdI) documentation iin Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins RFx Extended RFx Process Simultaneous Logon Enhance Simultaneous Logon .

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following:

You have activated simultaneous logon in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Simultaneous Logon Activate/Deactivate Simultaneous Logon at RFx Response Opening . You have activated the simultaneous logon function for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options . You have configured the duration of the process and specified when you require an e-mail notification to be sent to participants in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Simultaneous Logon Define Basic Data for Simultaneous Logon .

Process
1. The purchaser creates an RFx using a transaction type for which the two-envelope RFx response has been activated, and in the permissions overview for the RFx, assigns authorizations to all participants in the simultaneous logon process. 2. The purchaser publishes the RFx and receives RFx responses. 3. The purchaser initiates the technical RFx response opening process by choosing the corresponding button on the RFx document. 4. The system sends an e-mail notification to all users with the role technical opener informing them that they need to approve the process. 5. The technical RFx response opener navigates to the Simultaneous Logon Application and approves the process by entering his/her system password. This step is repeated by all users who have been assigned the role technical opener by the purchaser. 6. The system updates the process overview with the users approval status. 7. When all RFx response openers have approved the opening process, the system gives the process the status 'successful' and makes the RFx response available for the evaluation process.

Note
If the process has not been approved by all RFx response openers by the end of the approval interval, the purchaser can either extend the process or the process fails and all users taking part in the process are informed of the failed opening. In this case, the process must be initiated again by the purchaser. 8. The technical RFx responses are evaluated by the evaluation panel and steps 3 to 7 are repeated for the price RFx responses.

6.6.7.4.4.1 Users Roles in the Simultaneous Logon Process

Before starting the simultaneous logon process, the purchaser must assign the participants a particular role in the process. The purchaser can assign permissions before and after the publication of an RFx. The permissions are only valid for the selected RFx. The purchaser can assign users the following roles for an RFx: Technical Opener

The user must approve the opening of technical RFx responses. Price Opener The user must approve the opening of price RFx responses. Technical Evaluator The user is an evaluator of technical RFx responses. Bid Floor Administrator By default, this is the purchaser. The bid floor administrator can extend the duration of the simultaneous logon process. After the purchaser has created or changed the assignment of permissions, the system sends the participants an e-mail notification.

6.6.8 Live Auctions

The Live Auction Cockpit interface allows you to conduct your live auctions in a real-time environment that mimics the activity and process of an actual auction floor.

Prerequisites
You are an authorized purchaser for the live auction created in SAP Bidding Engine. For more information, seeCreating Live Auctions.

Features
Header Data
This area of the cockpit interface contains basic auction information such as name and ID, requestor, and start and end dates. In addition, you can also manage the auction status and extend the auction.

Item Data
This area of the cockpit interface includes the line item table as well as overall cost and savings information and options for bid data display. For more information, see Savings Calculation. The line item table lists all auction items along with basic information such as quantity and unit. You can resize the column widths or rearrange their order using drag and drop. The following table describes some of the fields that may be displayed for each item. Some fields are not relevant for all auction types. Field Unit Price Unit Description Unit of measure defined for an item, for example, each, gallons, or hours. Subdivision of the item quantity upon which bids are based.

Example
If the price unit is equal to 10, then the bid price is per 10 units. In calculations, for example for savings, the price unit functions as the denominator of the item quantity. Start Price Defined during auction creation, it is the upper limit for bid prices.

If a reserve price exists, the start price value is preceded by This Item Has a Reserve Price. Reserve Price Best Bid Defined during auction creation, it is the highest price the purchaser is willing to pay for an item or service. Overall best, or lowest, bid for an item to date. Defined factors, if any, affect this value so that the best bid for an item may be different when viewed as a raw price from when viewed as a normalized price. If a reserve price exists, the best bid value is preceded by one of the following quick info texts : Quick info text Reserve Price Not Yet Met Reference Price Savings Quick info text Reserve Price Met

Defined during auction creation, it is the historical or other benchmark price used to calculate savings. Indicates the amount of savings for an item, based on best bid and reference price. This value is affected by factors, if defined.

Savings (%)

Indicates the savings, in percentage, for an item. This value is affected by factors, if defined.

Charts
This area of the cockpit interface includes the following tools: Tool Details History Description Displays the details for the item currently selected in the line item table. Displays the bid history for the item currently selected in the line item table. To sort the table by any of the columns, click the column header. Charts Displays the available charts for the item currently selected in the line item table. You can doubleclick a chart to open it in a separate window, which enables you to do a side-by-side comparison of multiple line items. The charts are instantly updated with each new bid. Best Bid by Bidder This bar chart indicates reference points for the line item start price and reserve price. The bid price is represented on the y-axis; each bidder is represented by a distinct color along the x-axis. A colorcoded key is included at the bottom of the chart indicating which color is associated with each bidder. Bid Volume This line chart indicates the volume of total bids received for the selected line item at any given time during the bidding process. Bids are tracked by equal time intervals, beginning at the start date and time, along the x-axis. The number of bids received during each interval is represented on the y-axis. Bids This line graph tracks the bid price for the selected line item and includes reference points for the start price and reserve price. The bid price is represented on the y-axis; equal time intervals are represented along the x-axis. Bidder information is not included in this chart. Factors Displays the adders and multipliers defined for bidders for the item currently selected in the line item table. For more information, see Factored-Cost Bidding.

Participants List
This area of the cockpit interface includes the list of invited bidders and their connection status.

Activities
To launch the Live Auction Cockpit from SAP Bidding Engine, display the auction details and choose Live Auction. The cockpit interface opens in a new browser window and is loaded with the data for the live auction you selected.

Note
By default, all activities are assigned to all users with a purchaser role. Use transaction PFCG to restrict purchasers from performing one or more of the following activities: Start, pause, and resume auctions Extend auctions Delete bids Ban and reinstate bidders Perform surrogate bidding Description To start an auction before the specified start date and time, choose Start.

Activity Starting an auction

Caution
Starting the auction before the specified start date and time does not automatically send a notification to invited bidders. Therefore, it is likely that some or all invited bidders have not connected to the auction when it begins. For more information, see Bidder Notification. Pausing and resuming an auction Once an auction starts, you can pause it by choosingPause. The time remaining and end date are not affected or extended by simply pausing the auction; the countdown for time remaining continues. To resume the paused auction, choose Resume. Extending an auction Ending an auction This is used to extend an auction manually. The cockpit interface includes an action link to end an auction manually. The system only allows you to end an auction once or after the end date and time have been reached. Switching between raw and normalized bid data If factors have been assigned to bidders, you have the option of viewing bid data in raw or normalized form. For more information, see Factored-Cost Bidding. The default view displays raw bid data. To switch to normalized bid data, select Normalized Prices. To return to raw bid data, select Raw Prices. You can only delete one bid at a time but there is no limit to how many bids you can delete in total. Deleted bids remain in the bid history table but are indicated by the quick info text Bid Deleted. If the deleted bid was a surrogate bid, it is indicated by the quick info

Deleting bids

text Surrogate Bid Deleted. Displaying supplier details Chatting Banning and reinstating bidders Surrogate bidding See also: Bid Processing You can send and receive messages to other users You can ban bidders and if a bidder's auction cockpit closes, you can reinstate that bidder. By logging on as a bidder, you can submit a bid on his or her behalf. This does not affect the bidder's connection status or ability to access the cockpit. You can view supplier details

6.6.8.1 Live Auction Cockpit

Live Auction Cockpit provides a real-time environment for direct bidding on reverse live auctions, which are typically fast-paced and highly competitive. Live auctions simulate the experience of an actual auction by utilizing technology to provide instantly updated information on all auction activity.

Integration
You can choose the following technical platforms for the Live Auction Cockpit: Live Auction on Java Server With this option, live auctions are handled by a Java-compliant applet that is fully integrated with SAP Bidding Engine and cannot be implemented independently. Live Auction on ABAP Server To use this function, you must activate business function SRM, Strategic Sourcing Innovations(SRM_SOURCING_1). This allows you to use the ABAP server automatically. If you want to use the Java server, you can switch to it in Customizing under Activate/Deactivate Live Auction on ABAP Server . SRM Server Live Auction

With this option, you can use live auctions without installing and configuring the Live Auction Web Presentation Server separately. For business users, working with live auctions on the ABAP server is identical to working on the Java server.

Note
The Live Auction on ABAP server is available with the Java Applet UI. Consequently, the Live Auction Cockpit on ABAP server has the same user interface as the Live Auction on Java server. The Java Applet UI consists of compiled UI code that is written in the Java programming language. It is defined as Multipurpose Internet Mail Extensions (MIME) content, which is any content above HTML content that is embedded in the HTML page. The Java Applet mime content is stored and hosted on the ABAP server and does not require the Java Enterprise Server for conducting live auctions. This reduces your cost of ownership. We therefore strongly recommend that you use Live Auction on ABAP server.

Prerequisites

You have defined the properties for live auctions in Customizing for SAP Supplier Relationship Management under SRM Server Live Auction Define Properties for Live Auctions .

Features
Both purchasers and bidders can monitor one or more auctions and the associated bidding activity in real time. The cockpit displays continually updated auction data, including item price information and charts, to reflect each new bid received as well as any status or time changes. Purchasers have the option of manually starting, pausing, resuming, extending, and ending the auction directly from the cockpit interface. By default, the purchaser is provided with a full range of bid management tools including activities such as deleting bids, banning or reinstating bidders, and surrogate bidding. A participants list provides the purchaser with the connection status per bidder and company as well as access to supplier details. Purchasers can send chat messages to individual participants or to all participants while bidders can only chat with purchasers. Live Auction Cockpit can be hosted and run on the supplier system, which is deployed on the demilitarized zone (DMZ) or outside the firewall. This deployment is useful if your company wants to grant access to the supplier system for bidders who participate in bidding, auctioning, and order collaboration. In this case, the purchaser must be provided with access to the supplier system.

Activities
Activity Launching the Live Auction Cockpit Description Purchaser: From the auction detail page, choose Live Auction. Bidder: From the search result page, choose Display Auction, or from the auction detail page, choose Live Auction. Conducting an auction Bidding at an auction For more information, see Live Auctions. For more information, see Live Auction Transaction Types.

6.6.8.2 Creating Live Auctions

Purchasers can use SAP Bidding Engine to create live auctions for products and services. The auction itself takes place in the Live Auction Cockpit. For more information, see Conducting Live Auctions. You can create a live auction: Manually, as an initial step in SAP Bidding Engine

Note
The process for creating an auction template is similar to that for creating an auction. From an auction template By copying an auction By converting an RFx to a live auction For more information, see Conversion of RFx into Auction. From the Sourcing application

Prerequisites

You have created user master records for bidders. You have set up the roles bidder and supplier for relevant business partners so that you can immediately create a purchase order or a contract for an accepted bid. For more information, see SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for Strategic Sourcing You have installed Live Auction Cockpit. For more information regarding installation and configuration of the cockpit, see the Solution Manager Content on SAP Service Marketplace at http://service.sap.com/instguides Business Suite Applications SAP SRM <release> .

Features
Auction Rules
These enable you to adjust the bid validation logic and information disclosure parameters for auctions to best suit your specific business requirement. For more information, see Live Auction Transaction Types.

Auction Data
At both the header and item level, you can define auction data that provides information and controls the auction behavior (for example, start and end dates). Examples of what you can define at auction header level include: Binding Period Currency Bid Decrement Bid Validation Hide bid monitoring until first valid bid Tied Rank Possible Proxy Bidding Allowed

Availability of limits Partner Includes, for example, the requestor and ship-to address for the auction. Partner information can be set at both the auction header and item levels. The system suggests the current user as requestor but you can overwrite the proposal. Here, and as goods recipient too, you can assign any person contained in the business partner master. You can enter any organizational unit of the business partner as delivery point if an address has been maintained. Bidder Bidders must be invited to participate in an auction. To add bidders to the auction, you can search for bidders from internal and external directories and transfer them to the auction using multiple selection. For example, you can load supplier data from Supplier Directory. You can also select and transfer different contact persons from one and the same organization. Once the live auction ends, you can display the detailed bid information and depending on the auction status, approve or reject bids. Notes and Attachments You can enter terms and conditions, an internal note, or a supplier text and you can create attachments by uploading documents from your PC. Documents can be included at both the auction header and item levels. Additional Currencies

By default, the bid currency for an auction is the auction (header) currency defined under Auction Information. You can select additional currencies bidders can use to submit bids for this auction. You can also define a currency conversion date to specify the currency exchange rate used during bid comparison. For more information, seeMultiple Bid Currency Auctions. Factors You can enter multipliers and adders at both the auction header and item levels. If defined at both, the settings at item level take precedence over those at header level. For more information, see FactoredCost Bidding. Bidder View You can modify the default information disclosure rules associated with an auction. Lotting You can create lots to group related line items to structure complex auctions by first creating an outline. You create an outline by choosing outline in the Add Item on the Items tab. tab and entering a description before selecting theLot checkbox to enable lotting. You then add documents, including internal notes or a supplier text, to the outline before adding line items to the lot. You define item start price, reserve price, and bid decrement at lot level and define reference price at item level. To create multiple lots, repeat this process again. For more information, seeLotting. Item Data The following are examples of the item data that you can define for an auction: Items Start Price Reserve Price Reference Price Bid Decrement Price Unit

History
Once an auction has been published, the History information is available. This gives you an overview of all the follow-on documents pertaining to an auction. It contains some details, such as the name and the number of the document, and can be displayed in the form of a table or graphic.

Reporting
You can schedule the transfer of data from completed auctions from SAP Bidding Engine to SAP NetWeaver Business Intelligence for analysis across auctions. SAP delivers five reports: Auctions Analysis Auction Item Analysis Bidders Analysis Auction Details

Detailed Analysis of Bids by Category The first three reports are available directly from a link in the Reporting area of the application navigation panel in SAP Bidding Engine. From any of these aggregate reports, you can access the last two detailed reports by clicking the secondary mouse button and selecting a report from the context menu. You can also create new reports of your own and add them to, or replace the SAP-delivered reports accessible from, the navigation panel. For more information, see the documentation on SAP Help Portal:

http://help.sap.com/nw2004s NetWeaver Library Supplier Relationship Management

Documentation

SAP NetWeaver 2004s

SAP Library

SAP

SAP NetWeaver by Key Capability Live Auction Cockpit

Information Integration: Key Areas

BI Content

6.6.8.3 Live Auction Transaction Types

Purchasers select a transaction type when creating live auctions in SAP Bidding Engine. Auction transaction types act as auction profiles, defining the initial bid validation and information disclosure rules for the auction. You can also define custom auction transaction types in Customizing for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Transaction Types .

Features
The following predefined auction profiles are available as transaction types: English Auction Blind Bidding Auction Rank Only Auction Company Best Bid Auction Dutch Auction

Bid Validation
The bid validation logic associated with each transaction type controls the way in which the system validates each incoming bid for an auction. Although you cannot change the transaction type of an auction, you can select a different bid validation parameter until the auction becomes active. Bid validation occurs at line item level. If bids are entered and submitted for several line items at once, the system still validates them individually at item level. To validate a new bid, the system compares it to the appropriate value, as defined by the validation logic, and determines whether it is valid or invalid. If valid, the system saves the bid price to the auction data and instantly updates all relevant information in the Live Auction Cockpit, for both purchasers and bidders. If the bid is deemed invalid, the system sends a message to the bidder informing him or her that the bid was rejected. The following table describes the default bid validation options.

Note
If factored-cost bidding settings have been defined, the validation logic uses the normalized values to determine bid validity. For more information, see Factored-Cost Bidding. Bid Validation Logic Description Used by Transaction Type New Bid Must Beat Overall Best Bid Each new bid submitted is compared by the system to the current overall best (lowest price) bid. There is no distinction between bidders or companies with this logic. The lowest price among all bids submitted by all bidders is considered the English Auction

overall best bid. Bid ranking follows this logic as well: The lowest bid price is equal to rank one, and so on. If no best bid value exists, so for the first bid submitted in an auction, the bid price gets validated against the start price. New Bid Must Beat Bidders Last Bid Each new bid submitted is compared by the system to the current best bid by the submitting bidder. Although this logic pits bidders against themselves, the bid ranking is still across all bids and bidders. So even though a bid is considered valid, it is not equal to rank one unless it is the lowest bid overall. If it is the first bid submitted by a bidder, the bid price gets validated against the start price. New Bid Must Beat Best Bid from Bidders Company Each new bid submitted is compared by the system to the current best bid by the company of the submitting bidder. Although this logic pits bidders against other bidders in the same company, the individual bid ranking is still across all bids and companies. So even though a bid is considered valid, it is not equal to rank one unless it is the lowest bid overall. Company rank however, is calculated across the auction using the best bid from each company. It is possible for a bidder to have a rank lower than his or her company rank but not higher. If it is the first bid submitted by any bidders in the same company, the bid price gets validated against the start price. Dutch Auction Dutch Auction Company Best Bid Blind Bidding Rank-Only

Information Disclosure
Each transaction type is associated with certain information disclosure rules that control the level of information displayed to bidders in the Live Auction Cockpit. Although you cannot change the transaction type of an auction, you can select different information parameters until the auction becomes active. The following table describes the information disclosure parameters that can be selected on the Bidder

View tab page as well as which parameters are selected by default for each transaction types.

Note
By selecting a parameter, you are actually hiding that information from bidders by restricting the cockpit display. Bidder View Parameter Do not display reserve price Indicates that the reserve price column is not included in the line item table for bidders. This does not have any effect on the display of reserve price indicators. Do not display Indicates that the company rank X X X N/A Description English Auction X Blind Bidding X RankOnly X Company Best Bid X Dutch Auction X

company ranking

column is not included in the line item table for bidders.

Do not display ranking

Indicates that the rank column is not included in the line item table for bidders.

N/A

Do not display best bid price

Indicates that the best bid column is not included in the line item table for bidders.

N/A

Do not display best company bid price Do not display next bid price

Indicates that the company best bid column is not included in the line item table for bidders. Indicates that the next valid bid column is not displayed in the line item table for bidders.

N/A

N/A

Hide ranking, display first place only

Indicates that the rank column is displayed in the line item table but that it is not populated with any values until or unless the bidder is ranked one. If both this rule and theDo not display ranking rule are deselected, this rule takes precedence.

N/A

Do not display company names in bid history

Indicates that other company names will not be populated in the bid history table for bidders. Only a bidder"s own bids will include the company information.

Do not display bidder name in bid history

Indicates that other bidder names will not be populated in the bid history table for bidders. Only a bidder"s own bids will include the name information.

Do not display bid price in bid history

Indicates that the bid history table includes a record of all bids received, but that the price field will only be populated for a bidder"s own bids and not for the bids submitted by other bidders.

Do not display

Indicates that the extension details

N/A

extension details Do not display number of participating bidders Do not display bids from other bidders in bid history Do not display bid chart Do not display bid volume chart Do not display best bid per bidder chart Bidders cannot send chat messages

are not available for bidders. The number of participating bidders is considered to be the number of invited bidders minus any banned bidders. Indicates that only a bidder"s own bids will be included in the bid history table for bidders. X X

Indicates that the bid chart will not be available to bidders. Indicates that the bid volume chart will not be available to bidders. Indicates that the best bid per bidder chart will not be available to bidders. X

N/A

N/A

N/A

Indicates that the chat feature will be disabled for bidders.

6.6.8.4 Live Auction Bidding

The Live Auction Cockpit allows you to participate in live auctions in a real-time environment that simulates the fast-paced interaction and competition of a classic auction floor.

Prerequisites
If bidders wish to submit a bid they must have a user master record. No user is required to receive information about a bid, as the registered supplier receives this information by email.

Features
The interface includes several distinct areas, each providing specific information and features.

Header Data
This area of the cockpit interface contains basic auction information such as name and ID, requestor, and start and end dates. You can also review any automatic extensions settings associated with the auction by placing your mouse cursor over (Details of the Current Auction). Manual extensions by the purchaser do not impact the number of automatic extensions allowed. To display the frequently asked questions (FAQ) available for the bidder cockpit, click go to the FAQ page) . (Click here to

Item Data
This area of the cockpit interface consists of the line item table where you enter your bids for submission.

The line item table lists all auction items along with basic information such as quantity and unit. You can resize the column widths or rearrange their order via drag and drop. The following table describes some of the fields that may be displayed for each item. Some fields are not relevant for all auction types. Field Unit Description It is the unit of measure defined for an item. Some examples could include, each, gallons, or hours. Price Unit Start Price Specifies how many units the bid price is valid for. Defined during auction creation, it is the upper limit for bid prices. If a reserve price exists, the start price value is preceded by (This Item Has a Reserve Price). Defined during auction creation, it is the highest price the purchaser is willing to pay for an item or service. Unless specifically enabled by the purchaser, the reserve price for an item in not typically included in the line item table. Decrement Rank It is the absolute or percentage value that each bid must be lower than the last. It is the bidder's rank among all bidders participating in the auction. The lower the rank number, the higher the standing in the auction. For example, a rank equal to one is the leading bid in an auction. Company Rank Total Bid Price It is the rank of a bidder's company among all companies participating in the auction. This is the sum of all line item totals, based on the Bid Price entered. This value is displayed under the line item table if the bidder presses Enter on his keyboard prior to submitting a bid. My Bid My Bid Value Best Bid This is the price of the bidder's last successfully submitted bid for an item. This is the value of each bid submitted per line item. It is the overall best, or lowest, bid received for an item to date. If a reserve price exists, the best bid value is preceded by one of the following: (Reserve Price Not Yet Met) Company Best Bid Next Valid Bid It is the highest bid currently permitted for an item. The next valid bid is calculated by applying the decrement to one of the following, depending on the auction profile: Bid Price Overall best bid Company best bid Each bidder's own best bid (Reserve Price Met)

Reserve Price

It is the overall best bid submitted to date by the bidder's company.

This is the field where you enter your actual bid price for an item. Your bid price is based on the price unit, which can be anything from a single unit to the

whole quantity. Total Value of My Bids Total Bid Value This is the total value of bids submitted on all line items. This value is displayed under the line item table. This is the value of bids on line items prior to submitting bids. This value is displayed under the line item table.

Note
Bid value is the product of multiplying the bid price by the quantity and dividing by the price unit: Bid value = (price * quantity) / price unit. After bidding, the value of each bid per line item is displayed to the bidder in the line item table in the My Bid Value column (displayed in the My Current Bid Value column if proxy bidding is enabled). My Minimum Bid In auctions with proxy bidding, a minimum bid is the lowest bid a bidder is willing to submit for a line item. My Minimum Bid is the price of the bidder's successfully submitted minimum bid for an item. A bidder's minimum bid is only visible to the bidder. My Current Bid In auctions with proxy bidding, it is the most recent actual bid calculated and submitted by the system for a line item. A bidder's current bid is always larger than or equal to his minimum bid. My Current Bid Value In auctions with proxy bidding, it is the value of each current bid submitted per line item.

Charts
This area of the cockpit interface includes the following tools: Tool Details History Description This displays the details for the item currently selected in the line item table. This displays the bid history for the item currently selected in the line item table. To sort the table by any of the columns, click the column header. Charts This displays the available charts for the item currently selected in the line item table. Not all charts are available for all auction types. You can double-click on a chart to open it in a separate window, which enables you to do a sideby-side comparison of multiple line items. The charts are instantly updated with each new bid. Bid Volume This line chart indicates the volume of total bids received for the selected line item at any given time during the bidding process. Bids are tracked by equal time intervals, beginning at the start date and time, along the x-axis. The number of bids received during each interval is represented on the y-axis. Bids This line graph tracks the bid price for the selected line item and includes a reference point for the start price. The bid price is represented on the y-axis; equal time intervals are represented along

the x-axis. Bidder information is not included in this chart. Calculation This displays the total bid price for the item currently selected in the line item table. Total bid price is calculated by multiplying the bid price by the quantity divided by price unit.

Example
If the bid price = 400, quantity = 100, and price unit = 100, then the total bid price = 400 * 100/100, or 400. If instead the price unit = 1, then the total bid price = 400 * 100/1 or 40000. The overall total bid price, the sum of all item total bid prices, is displayed at the bottom of the line item table.

Chat and System Messages

This area of the cockpit interface displays all chat and system messages, the number of invited bidders (depending on auction settings), and the connection status of the purchaser. It is also where you enter new chat messages.

Example
The following are some examples of common system message and their meaning. Message Bid rejected for line item < > Description This message is typically the result of your entered bid price being higher than the next valid bid price. It is possible that when you enter bids for multiple line items, some of those bids will be accepted while others are rejected for being too high. Auction status changed from < > to < > Anytime the auction status changes, for example from active to paused or the reverse, the system informs you of the change with this message. In addition, the auction status is updated in the header area of the cockpit interface. Auction end date extended from < > to < > The following bid has been deleted for line item < >: Anytime the auction is extended, whether automatically or manually, the system informs you of the new end date and time. This information is also updated in the header area of the cockpit interface along with the time remaining. This message informs you that the purchaser has deleted a bid, regardless of whether or not that bid was yours.

Activities
Activity Launching the Live Auction Cockpit Description An auction must be published before you can access the cockpit. 1. Locate the auction of interest in SAP Bidding Engine, for example by following the link contained in a notification e-mail. 2. In the search results table, you can launch the Live Auction Cockpit directly or go to the auction detail page first.

If the auction is active, you can click cockpit.

(Display Auction) to go directly to the

Otherwise, you can choose the auction to view the details. Once the auction is active, you can launch the cockpit from the auction detail page by clicking Live Auction.

The cockpit opens in a new window and is loaded with the data for the live auction you selected. If terms or conditions have been set, you are presented with an agreement page before the cockpit itself loads. To continue, choose Accept. Submitting a bid 1. Select the item for which you wish to enter a bid. 2. Click within the Bid Price entry field. 3. Enter your bid price. If you choose Enter , the system updates the total bid price value without actually submitting your bid. You may enter bids for one or more items before submitting them. 4. To submit your bid or bids, click Submit. 5. Depending on the purchaser's system configuration, a confirmation message may appear. To submit your bid, click OK. If your bid was successfully validated, a system message appears and the relevant auction data is updated. If your bid was not successfully validated, a system message appears and your bid entries remain in the table. In this case, adjust your bid entries before submitting them again.

6.6.8.5 Proxy Bidding

Proxy bidding enables the system to automatically bid on a bidder"s behalf, promoting competitive bidding by allowing bidders to more easily monitor the auction, since it is not necessary for them to enter bids manually. Proxy bidding can only be enabled for auctions that use the overall best bid validation. Proxy bidding can only be enabled if bid decrements greater than zero have been defined on all line items. Proxy bidding is not available in auctions with lots. When proxy bidding is enabled, bidders submit a minimum bid to indicate the lowest they are willing to submit for a line item. The system then acts as a proxy agent and rapidly bids on line items on the bidder's behalf during the auction, placing bids according to bidding parameters such as next valid bid, bid decrement, and reserve price to maintain the bidder's leading position in an active auction until the auction ends or the minimum bid is reached.

Integration
Proxy bids are recorded in the bid history and displayed in the chart data, available to both purchasers and bidders. However, a bidder's minimum bid is only visible to the bidder.

If a purchaser is logged on to the system as a bidder to perform surrogate bidding, the bidder's minimum bid is not displayed to the purchaser in order to maintain the bidding confidentiality. When proxy bidding is enabled, columns are added to the line item table in the bidder's cockpit to distinguish the difference between his minimum bid and current bid as well as the current bid value. You can inform bidders that proxy bidding is enabled for an auction by adding supplier text on the Documents tab (when defining basic data at header level during auction creation). Bidders can submit multiple minimum bids prior to the auction end time but subsequent bids must be less than the previous minimum bid. In addition, subsequent bids take precedence, disabling the previous bid's proxy agent.

Features

If the purchaser deletes a bid in an auction with proxy bidding, the proxy agent for that bid is disabled and the system stops bidding on behalf of that bidder. In order for the system to resume bidding on this bidder's behalf, the bidder must submit a new, valid minimum bid.

Example
Following are some examples of how the system submits bids during proxy bidding, based on a bidder's minimum bid and calculations determined by defined bidding parameters. If a bidder places a minimum bid that is less than the reserve price, the system automatically places the current bid on the bidder's behalf at the reserve price, even though the amount reduced may be larger than the bid decrement defined in the auction. If prior to Bidder 1 submitting his minimum bid, the system receives a minimum bid from Bidder 2 that is lower than that of Bidder 1 by less than the bid decrement, the minimum bid of Bidder 1 may be outbid by a bid with a difference less than the bid decrement amount posted. In this case, the system grants the minimum bid of Bidder 2 (by disregarding the bid decrement ) since it was placed before that of Bidder 1 and is lower. If two minimum bids of the same value are submitted in an auction, the bid that was placed first takes precedence. Even if the minimum bid of Bidder 1 is equal to or less than the next valid bid, it is possible that Bidder 2 entered the same minimum bid price before Bidder 1, and so the system recognizes the bid of Bidder 2 before that of Bidder 1; in this case, Bidder 1 is outbid by a bid with the same value as the minimum bid of Bidder 2.

6.6.8.6 Cascading Line Item Auctions

Cascading line item auctions make the bidding process more efficient for bidders and thus promote competitive bidding. In cascaded auctions, lots and line items open to bidding at the same time, but close to bidding one at a time based on parameters set by the purchaser. Therefore, rather than monitoring and bidding on all lots and line items simultaneously, bidders can focus their attention on a single lot or line item at a time.

Integration
In order to set an automatic extension in a cascaded auction, the minimum duration and end-time gap must be greater than the auction inactivity period defined. Auction extensions affect active cascading lines only; end times are recalculated while maintaining the defined end-time gap between cascading lines.

Features
The bidding period for items in lots is set at lot level; all line items in a lot have the same end time. The next lot or line item to end in an auction is marked in boldface type in the line item table; in addition, time remaining for active lots and line items is displayed in the line item table for easy monitoring.

Note
You can inform bidders that cascaded bidding is enabled for an auction by adding supplier text on theDocuments tab when defining basic data at header level during auction creation. You can enable cascading auctions during auction creation by setting the cascading auction indicator as well as defining a minimum duration for bidding on the first line and a minimum end-time gap for each subsequent line to establish different end dates for each lot or line item in the auction. When the auction starts, bidding is open on all lines; but, as the auction progresses and set bidding periods end, bidding ceases in a cascading fashion, making it permissible to bid only on active lots and line items. You cannot enable the cascading feature for Dutch Auctions

6.6.8.7 Dutch Auction

A Dutch Auction is a type of reverse (buy-side) auction with one buyer and multiple suppliers. In Dutch Auction the auctioneer raises the price from a low starting point until a bidder agrees to sell at that price. The purchaser enters a start price, a time increment and a price increment. Bidding begins at the start price. If no supplier is willing to sell at the starting price, the price automatically goes up by the price increment, after the time increment has passed. The first supplier that raises his or her hand is the winner, and the auction line item is closed at that point.

Integration
To use Dutch Auctions, you must make customizing settings in the Implementation Guide (IMG) activity Supplier Relationship Management Supplier Self-Services Cross-Application Basic Settings Settings for Documents Define Transaction Types.

Example
An airline is overbooked. To resolve the overbooking, an attendant may look for a person willing to give up his or her current seat assignment (sell the seat) and delay his or her travel plans. The attendant may offer to buy the seat for $100. If no one replies in a minute or two, the attendant may raise the offer to $200. This continues until a passenger raises his or her hand. The passenger is paid, leaves, and the auction is over.

6.6.8.8 Savings Calculation

If an auction includes reference prices (defined at item level during auction creation), the system uses them to calculate savings at item and auction levels. Savings are calculated both as absolute and percentage values both of which are displayed to purchasers in the Live Auction Cockpit.

Features
As soon as the system receives a new bid, the savings information for the line item as well as for the auction as a whole is updated. If there is no reference price for an item, the savings amount is zero. If

there is no bid for an item, the savings amount is also zero. The calculations to determine the savings amount and percentage are listed below.

Note
If factored-cost bidding settings have been defined for bidders, and the cockpit has been set to displayNormalized Prices, the savings information is based on the normalized value of the best bid for each item. If the cockpit is set to display Raw Prices, the savings information is based on the raw value of the best bid for each item. Factored-cost bidding settings may actually affect which bid is considered the best bid. For more information, see Factored-Cost Bidding.

Item Savings Calculations

The savings amount for each item is determined by first subtracting the best bid price from the reference price, then multiplying the result by the quantity divided by the price unit: Savings = (reference price best bid price) * (quantity/price unit) The savings percentage for each item is determined by first subtracting the best bid price from the reference price then dividing the result by the reference price and finally multiplying that result by one hundred: Savings (%) = ((reference price best bid price) / reference price) * 100

Total Savings Calculations

The total savings amount for an auction is simply the sum of all individual item savings amounts: Total savings amount = (savings amounts) The total savings percentage for an auction is determined by first adding across all line items the result of multiplying the reference price by the quantity divided by the price unit. Once that sum is calculated, divide it into the total savings amount. Multiply the resulting figure by one hundred to achieve the total savings percentage: Total savings percentage = (total savings amount / (reference price * (quantity / price unit))) * 100

Example
The following table contains savings calculations at item level where no factors exist. Item Quantity Price Unit Item 1 = (500-550) * (1000/1) Item 2 = (2000-1800) * (1000/10) Item 3 = (800-650) * (1000/1) 1000 = ((500-550) / 500) * 100 1000 = ((2000-1800) / 2000) * 100 1000 = ((800-650) / 800) * 100 1 800 650 150000 18.75% 10 2000 1800 20000 10% 1 Reference Price ($) 500 Best Bid ($) 550 Savings ($) / Actual Calculation -50000 Savings (%) / Actual Calculation -10%

The corresponding savings at auction level are as follows:

Total Savings ($) 120000

Total Savings Calculation 150000 + 20000 50000

Total Savings (%) 8%

Total Savings (%) Calculation

= (120000 / ((500*(1000/1)) + (2000*(1000/10)) + (800*(1000/1))) * 100

6.6.8.9 Factored-Cost Bidding

Factored-cost bidding enables the purchaser to assign a competitive advantage or disadvantage to bidders through the use of adders and multipliers defined at auction header level, item level, or both. If factors exist at both header and item levels... In auctions with lotting, factors cannot be assigned to line items included in lots, but... You can assign factors during auction creation and until the auction becomes active... Factors are... Bidders only see... not visible to bidders, nor are the effects of factored-cost bidding. the transformed auction price information in the Live Auction Cockpit and their own raw bid prices (based on the transformed next valid bid price). Purchasers can choose to view the auction and bid price information in either... To see the transformed values displayed for a particular bidder, purchasers can log on as that bidder as they would when submitting surrogate bids. For more information, see Conducting Live Auctions. raw or normalized values. after which no further changes to factored-cost bidding settings are allowed. the values assigned at item level have precedence over those at header level. are instead assigned at lot level and header level; any lot-level factors take precedence over those defined at the auction header.

Integration
The settings for factored-cost bidding affect both the bid validation function and savings calculations for live auctions. For more information, see: Live Auction Transaction Types Savings Calculation

Features
Adders
Adders are positive or negative integer values (expressed in the auction currency) that when assigned to a bidder, get added to that bidder's bids. A positive adder value places the bidder at a competitive disadvantage while a negative adder value lends the bidder a competitive advantage. An adder value of zero is considered neutral. Purchasers assign adders on the Factors tab page at header and/or item level when creating an auction.

Note

If you select a company in the Factors table without maintaining adder or multiplier values, the system automatically applies zero factors. If this occurs at item level, after you have maintained factors at header level, the applied zero factors take precedence over those you set at header level. To remove a company (and any factors set) from the Factors table, choose Delete. Typically, adders should not exceed the positive or negative equivalent of the start price defined for an item.

Example
If the start price for an item is 1400, the adder should be limited to a value between -1400 and 1400.

Multipliers
Multipliers are positive or negative percentage values that when assigned to a bidder, are multiplied by that bidder's bids. Percentage values above zero place the bidder at a competitive disadvantage while percentage values below zero place the bidder at a competitive advantage. A multiplier value of zero is considered neutral. Purchasers assign multipliers on the Factors tab page at header and/or item level when creating an auction. The allowed value range for entering multipliers is -99 to 100, inclusively. The calculations based on multipliers actually use a positive decimal form of the multiplier value.

Example
A multiplier entered as 10 (%) is calculated as a value of 1.1. A multiplier entered as -10 (%) is calculated as a value of 0.9. A multiplier entered as 0 (%) is calculated as a value of 1.

Calculations
The system uses factors to calculate auction and bid price information. The foundations of these calculations are the normalized price and transformed price.

Normalized Prices
Normalized price = (raw price * multiplier) + adder Normalized prices are the result of applying the defined adder and multiplier values to the raw value of the price being normalized. For example, the normalized bid price is the result of applying the factors assigned to a bidder to the raw bid price submitted by that bidder. Normalized prices are used by the system to validate bids. If normalized prices extend beyond the number of decimal points allowed for a currency, the system rounds up the price and uses the rounded price for bid validation.

Example
Before validating the bids submitted by each bidder, the system first normalizes the next valid bid price based on the best bid price used in the validation logic. If the calculated normalized next valid bid for Bidder A is 990.1298, the system rounds up the value to 990.13. If the calculated normalized next valid bid for Bidder B is 990.1201, the system still rounds up the value to 990.13.

In the purchaser view of the cockpit, normalized prices are calculated per line item according to the factors defined for the bidder who submitted the best bid for the item. By setting the cockpit to display normalized prices instead of raw prices, purchasers may notice a difference in the following values: Best bid price Savings amount Savings percentage

Transformed Prices
Transformed price = (normalized price - adder ) / multiplier Transformed prices are the result of applying defined adder and multiplier values to the normalized value of the price being transformed. In the case of prices set by the purchaser when creating the auction, that is, start price and reserve price, the normalized price is equal to the raw price since the system uses neutral factors to normalize those price values. If transformed prices extend beyond the number of decimal points allowed for a currency, the system ignores all values beyond the allowed decimal point.

Example
Auction A uses a currency limited to two decimal points. Auction B uses a currency limited to three decimal points. If the calculated transformed start price for both auction A and auction B is 1954.45183, the transformed start price displayed in the cockpit for auction A is 1954.45, whereas for auction B it is 1954.451. The bid decrement values are not directly affected by adders but are by multipliers. The decrement value displayed to bidders with multipliers assigned differs depending on whether the purchaser defined an absolute or percentage bid decrement. For absolute bid decrement values: Transformed bid decrement = bid decrement / multiplier For percentage decrement values: Transformed bid decrement = (normalized best bid price * bid decrement %) / multiplier If there are no bids yet, the decrement value is equal to zero.

Factored-Cost Bidding in Auctions with Multiple Currencies

In auctions with multiple currencies, bid prices (including those from proxy bidding) and factors are calculated in auction currency but displayed to bidders in their selected bid currency. Bids are normalized to the auction currency for bid validation and ranking. When a bidder submits a bid in the selected bid currency, the system converts the bid price into the auction currency before factors are applied and the bid price is normalized. The system uses this normalized bid price to rank the bid and then calculates the next valid bid based on the normalized price less the bid decrement. Factors are then applied to the next valid bid before the system converts the resulting transformed price into bid currency and displays the bid rank and next valid bid to the bidder.

Example
Transformed Prices
The following auction item values are defined by the purchaser: Start Absolute Reference Quantity / Price Bidder A: Bidder B: Bidder C: No

Price 1000

Decrement 5

Price 915

Unit 500 / 1

Adder 10

Multiplier 10

Factors --

The following transformed values are displayed to the bidders: Bidder Bidder A Start Price 990 = 1000 - 10 Bidder B 909.09 = 1000 /* 1.1 Bidder C 1000 Decrement 5 No change 4.54 = 5 / 1.1 5 Best Bid Next Valid Bid 990 = start price 909.09 = start price 1000

Bidder C submits a bid for 900: Bidder Bidder A Start Price 990 Decrement 5 Best Bid 890 = 900 10 Bidder B 909.09 4.54 818.18 = 900 / 1.1 Bidder C 1000 5 900 Next Valid Bid 885 = 890 5 813.64 = 818.18 4.54 895

Normalized Prices
In the same auction, with the same settings, Bidder B submits a bid for 800. The purchaser sees the following normalized values: Start Price 1000 Best Bid 880 = 800 * 1.1 Reference Price 915 Savings 17500 = (915 880) * 500 Savings (%) 3.82% = ((915-880) / 915) * 100

Raw Prices
In the same auction for the same bid but with the raw prices displayed instead of normalized: Start Price 1000 Best Bid 800 Reference Price 915 Savings 57500 = (915 800) * 500 Savings (%) 12.56% = ((915-800) / 915) * 100

6.6.8.10 Lotting
You can create lots via the outline mechanism to group related line items in order to structure complex auctions. Lots give bidders the flexibility to distribute bid price among line items in the lot, thus promoting competitive bidding.

Integration
Factored-cost bidding can be used in auctions with lotting; for those line items included in lots, factors are assigned at lot level. Any lot-level factors take precedence over those defined at auction header level.

Note
When converting a RFx with lots into an auction, bids with conditions are not copied to the auction. Lots cannot be used with Dutch Auctions Bidders must bid on every item in a lot before they can submit their bid; bid prices entered at line item level are aggregated at the lot level where bid validation, comparison, and monitoring occur. Bid ranking is based on the total bid value of the lot.

Features

Activities
During auction creation, purchasers define line item start price, reserve price, and bid decrement at lot level, while the reference price is defined at item level. For more information, see Creating Live Auctions. Purchasers award auctions at lot level only.

6.6.8.11 Multiple Bid Currency Auctions

You can define multiple acceptable bid currencies at auction level, per auction, to enable bidders to bid on an auction in a currency other than the auction currency you set. This function makes the bidding process more efficient for bidders by allowing them to bid in their currency of choice.

Integration
Bid prices (including those from proxy bidding) and factors are calculated in the auction currency but displayed to bidders in their selected currency. Bids are normalized to the auction currency for bid validation and ranking. When converting a RFx with bids in multiple currencies into an auction, the currency exchange rate on the date of auction publication is used to rank any bids copied during conversion unless a currency conversion date is defined prior to publication. Changes made to the auction prior to publication (such as the start price) may cause the system to rerank bids copied during conversion. Bids are ranked again during the auction according to the currency exchange rates available on the auction start date or the currency conversion date maintained, if it is earlier than the start date. Currencies in which no bids have been submitted can be deleted when the RFx is converted into an auction; you can define additional acceptable, alternative bid currencies prior to auction publication.

Prerequisites
You have maintained currency exchange rates in SAP Bidding Engine by making the appropriate settings in Customizing: SAP Implementation Guide SAP Web Application Server General Settings Currencies Enter Exchange Rates .

Features
Once a bidder submits a bid, it is not possible to change the selected currency. The currency selection applies to all lots and line items in the auction; all price fields displayed to the bidder in the cockpit reflect the selected currency. Currency exchange maintained in SAP Bidding Engine vary by date. You can define a currency conversion date to specify the currency exchange rate used during bid comparison. If the currency conversion date is defined as prior to the auction start date, the currency exchange rate displayed in

the auction reflects that setting as well. If you choose a conversion date that is after the auction start date, the currency exchange rates used during bid comparison may differ from that of the start date that is displayed during the auction. If no conversion date is set, the currency exchange rate used during the auction is that of the auction start date and the currency exchange rate is used during bid comparison is that of the date on which bid comparison is performed. Quotes created at the end of the auction process reflect the bidder's selected currency. The currency exchange rate used in the auction is not fixed for follow-on processes. Multiple currencies can be maintained in auction templates; however, currency conversion dates cannot. Multiple currencies and the corresponding exchange dates from bid comparison are reflected in auction reporting.

Activities
During auction creation, purchasers select an auction currency and acceptable bid currencies at header level. You can define a currency conversion date to specify the currency exchange rate used during bid comparison. The bidder selects a bid currency prior to submitting bids.

6.6.8.12 Conversion of RFx to Auction

You can create an auction by converting an RFx into an auction. This enables you to process converted auctions more efficiently and use bids copied from an RFx to drive competitive bidding. You can choose to copy full-quantity bids without attributes from the RFx to the auction; only valid bids created for the current external version of the RFx are transferred during conversion.

Integration
Converting an RFx with bids in multiple currencies into an auction affects the currency exchange rate used to rank bids. Changes made to the resulting auction prior to publication may cause the system to rerank bids copied during conversion. For more information, see Multiple Bid Currency Auctions.

Activities
1. You can create a live auction from an RFx by choosing Convert to Auction. 2. You then choose the auction transaction type as well as select which bids, if any, to copy to the auction. 3. After conversion, the RFx is set to the status Completed and no further changes can be made to it.

Recommendation
You can inform bidders that the bids they submitted on an RFx were copied to an auction during conversion by adding supplier text on the Documents tab when changing basic data at header level during further processing of the auction. The resulting auction is created in Held status for further processing. Bids with conditions are not copied to the auction. When converting an RFx that includes line items with attributes, the line item is copied to the auction but its attributes are not. Bids copied during conversion appear in the auction's bid history.

When an RFx with lots or outlines is converted, the resulting auction maintains the lot or outline structure from the original RFx. When this auction is launched in the Live Auction Cockpit, all line items and lots are displayed, but the outline titles are hidden.

If an auction resulting from an RFx conversion includes a bid that is less than the auction start price, that bid amount less the bid decrement becomes the next valid bid. You can change, add, or delete auction line items or lots once bid details are copied during conversion. Changes made to pricing information, such as the auction start price, will not affect copied bids. Any change to item-related data, such as quantity, results in the removal of bids from the auction.

6.6.8.13 Frequently Asked Questions: Live Auction For Bidders

Submitting Your Bid Where do I enter and submit my bid? What if I submit an erroneous bid price? Is it possible to enter bids in a different currency? The Bid Price entry field has become inoperable but there is still time remaining for the auction. What happened? Is it possible to enter a Bid Price that is not the lowest price? I want to place a bid, but the Bid Price field seems does not seem to be enabled for all rows. Why? Is it possible to have someone other than myself enter bids on my behalf? Why is the Minimum Bid Price I entered different from My Current Bid? Can I submit one bid for all items in a lot? Can I submit bids for only some items in a lot? The auction shows that I have submitted a bid, but the auction has not yet started. Why is this? Calculating Your Bid How can I tell if there is a reserve price? What is the Next Valid Bid and how is it calculated? What is a Price Unit and how does it affect my bid price? After I enter my minimum bid, how does the system calculate bids on my behalf? How do I know how much to bid on each item in a lot? What is the difference between the Total Bid Value and Total Value of My Bids displayed under the line item table? Monitoring Line Items Can I change the line item table so that I do not have to scroll to see all of the columns? Can I monitor the charts for more than one line item at a time? I placed a bid on a line item, so why are the following fields Best Bid, Rank, and Next Valid Bid in the line item table empty? I cannot view the Bid History for a line item on which I placed a bid. Why not? Why was my Minimum Bid outbid by a bid with a difference less than the decrement amount posted? My Minimum Bid was outbid by a bid of the same amount. How is that possible? Why did My Current Bid drop more than the decrement? How can I tell which line is the next line to end in a cascading line item auction? What is the difference between Best Bid and Company Best Bid? What is the difference between Company Rank and Rank? How can I tell which bids are my own when looking at the Bid History? Monitoring the Auction

Can I chat with other participants? If I use the chat to ask the purchaser a question, can other bidders see my question? Can they see the purchaser's answer? Is the Rule Profile the same for each auction? Is it possible to see any attached files for the auction or line items within the cockpit? Why has the Time Remaining for the auction increased? How am I notified if I win the auction? Can I view the auction data, for example the Bid History and Charts, after the auction has ended? What kind of information is saved and remains accessible in the cockpit after the auction ends?

Technical Issues Can I change the display language of the cockpit? Icon Legend Icon Legend

Submitting Your Bid

Where do I enter and submit my bid? You enter your bid in the Bid Price column of the line item table. To submit the bid, click Submit. Depending on your system settings, you may have to scroll to the right to see the Bid Price column in the table. If this is the case, you may want to reposition the column further to the left to see and use it without scrolling. For more information, see the section Monitoring Line Items. What if I submit an erroneous bid price? You should contact the purchaser immediately. The chat feature allows you to communicate directly with the purchaser when he is online. The purchaser may then choose from several options to remedy the situation. Among them is that of pausing the auction while he deletes your bid. This action also causes all related auction information to be reset, such as Rank and Best Bid. Any bids that have been deleted, yours or others, are indicated as such in the Bid History table with the auction to start the process over. Is it possible to enter bids in a different currency? If a purchaser allows multiple currencies for an auction, you are prompted to select a bid currency when you first launch the auction cockpit. You can change currencies prior to submitting your first bid; afterwards, all bids are made, and auction information is displayed, in the selected currency. The bid currency is listed in the header information for the auction and is the only currency recognized for your Bid Price entries. The Bid Price entry field has become inoperable but there is still time remaining for the auction. What happened? Check the auction Status in the header information. It is likely that the auction has been Paused by the purchaser. If that is the case, watch the chat area for any messages from the purchaser. A system message appears once the auction is resumed and set back to Active. In cascading line item auctions, lots and line items close to bidding one at a time based on the time parameters set by the purchaser. Check the Time Remaining column; it is likely that the end-time for this item has been reached. Is it possible to enter a Bid Price that is not the lowest price? Your Bid Price must be equal to or less than the Next Valid Bid price to be accepted in the auction. This may or may not be the overall lowest price in the auction, depending on the bid validation rules selected by the purchaser. icon. If significant additional bidding occurred after you submitted your erroneous bid price, the purchaser may also choose to end the

I want to place a bid, but the Bid Price field seems does not seem to be enabled for all rows. Why? In auctions with lots, the Bid Price field is open for input only for line items. The Bid Price field for the lot rows display aggregated bid information for all line items in the lot. Is it possible to have someone other than myself enter bids on my behalf? Yes. You can ask the purchaser to log on as your surrogate bidder and place bids on your behalf. You can tell which bids were placed by the purchaser in the Bid History table because they are displayed along with this icon: Why is the Minimum Bid Price I entered different from My Current Bid? When enabled by the purchaser, the system functions as a proxy agent and automatically places bids on your behalf. When you place a bid, the Minimum Bid Price you enter indicates the lowest bid you are willing to submit for a line item. My Current Bid is the most recent actual bid price calculated and submitted by the system on your behalf for that line item; it is always larger than or equal to your minimum bid. For information on how the system calculates bids on your behalf, see the section below. Can I submit one bid for all items in a lot? Can I submit bids for only some items in a lot? No. You have the flexibility to distribute bid price among line items in the lot, but you must enter a bid price for every item before you can submit your bid on the lot. The auction shows that I have submitted a bid, but the auction has not yet started. Why is this? You submitted a bid on an RFx that was converted to an auction. Your bid on the RFx was copied to the auction and is notated in the Bid History table with this icon: . Your bid remains active unless the purchaser changes auction item data, at which point your bid is then removed.

Calculating Your Bid

How can I tell if there is a reserve price? The following icons are used to indicate reserve price status: in the Start Price column indicates that the line item includes a reserve price in the Best Bid column indicates that the reserve price has not yet been met

in the Best Bid column indicates that the reserve price has been met What is the Next Valid Bid and how is it calculated? The Next Valid Bid indicates to which amount your bid price must be equal to or less than in order to be considered valid. It is calculated in several ways, based on a calculation or the type of auction the purchaser defined. Best Bid less the Decrement Company Best Bid less the Decrement

My Bid less the Decrement What is a Price Unit and how does it affect my bid price? The Price Unit is a subdivision of the quantity upon which bid prices are based. This means that the Bid Price you enter is for the quantity listed under Price Unit rather than the full Quantity. So, if the Price Unit is equal to 1, you are entering your price per single unit of that item. If the Price Unit is equal to 10, your Bid Price is for 10 units of that item. After entering prices per line item, you can update the Total Bid Value displayed under the line item table prior to actually submitting your bid, by pressing Enter on your keyboard to see the sum of all line item values. After I enter my minimum bid, how does the system calculate bids on my behalf? After you submit a minimum bid, the system calculates your current bid by considering bidding parameters such as the next valid bid, bid decrement, and reserve price. The system then places bids on

your behalf, using only as much of your bid as is necessary to maintain your lead position (or to meet the reserve price) until the auction ends or your minimum bid price is reached. If another bidder has a lower minimum, you will be outbid. How do I know how much to bid on each item in a lot? Bid prices are entered at the line item level and are aggregated at the lot level. Bid Start Price and Reserve Priceare defined at the lot level, where bid validation, ranking, and monitoring occur. Before submitting a bid, you should consider the Next Valid Bid and Bid Decrement to ensure that the total bid value of the lot complies with these parameters. What is the difference between the Total Bid Value and Total Value of My Bids displayed under the line item table? Bid value is the product of multiplying the bid price by the quantity and dividing by the price unit: Bid value = (price * quantity) / price unit. The Total Bid Value is the sum of all line item values, based on the Bid Price you entered; this value is displayed if you press Enter on your keyboard prior to submitting your bid. After bidding, the value of each bid per line item is displayed in the line item table under My Bid Value. The Total Value of My Bidsdisplayed under the line item table indicates the total value of your bids on all line items.

Monitoring Line Items

Can I change the line item table so that I do not have to scroll to see all of the columns? Your browser window may be open to a size that does not allow you to see the entire item table at a glance. You have several options to choose from: Resize your browser window Resize the columns Rearrange the columns

To resize a column, click on the column's right border and drag it to the desired width. To reposition a column, click on the column header and drag it to the desired location before releasing the mouse button. Layout settings you make are saved locally when the browser is closed; when you subsequently log on to the system, the saved settings are reflected in the user interface. Can I monitor the charts for more than one line item at a time? Yes! Once you have the charts displayed for a line item, double-click anywhere inside the chart area to open it in a separate window. In this way, you can open as many chart windows as you like and arrange them on your desktop to allow continuous monitoring of multiple line items. I placed a bid on a line item, so why are the following fields Best Bid, Rank, and Next Valid Bid in the line item table empty? In auctions with lots, the data associated with those fields are aggregated at the lot level. If relevant for the auction type, you can monitor Best Bid, Rank, and Next Valid Bid at the lot level. I cannot view the Bid History for a line item on which I placed a bid. Why not? In auctions with lots, bid information for line items is aggregated at the lot level. As a result, you can only monitor the Bid History at the lot level. Why was my Minimum Bid outbid by a bid with a difference less than the decrement amount posted? This behavior occurs if, prior to submitting your minimum bid, the system receives a minimum bid from one of your competitors that is lower than yours by less than the bid decrement. In this case, the system grants your competitor's minimum bid (by disregarding the bid decrement) since it was placed before yours and is lower. My Minimum Bid was outbid by a bid of the same amount. How is that possible?

If two minimum bids of the same value are submitted in an auction, the bid that was placed first takes precedence. Even if your minimum bid is equal to or less than the Next Valid Bid, it is possible that a competitor entered the same minimum bid price before you and, so, the system recognizes his bid before yours; in this case, you are outbid by a bid with the same value as your Minimum Bid. Why did My Current Bid drop more than the decrement? This behavior occurs if your Minimum Bid is less than the reserve price for an item. In this case, the system automatically places a bid on your behalf at the reserve price even though it is lower than the decrement set by the purchaser. How can I tell which line is the next line to end in a cascading line item auction? The next lot or line item to end in an auction is marked in boldface type in the line item table. Time remaining for active lots and line items is displayed in the line item table for easy monitoring. What is the difference between Best Bid and Company Best Bid? The Best Bid is the lowest bid submitted by any participating bidder in the auction. The Company Best Bid is the lowest bid submitted so far by your company. What is the difference between Company Rank and Rank? The Rank indicates your position among all bidders participating in the auction. The Company Rank indicates your company's position among all companies participating in the auction. Depending on the rule profile and other settings selected by the purchaser, you may only see one or the other. How can I tell which bids are my own when looking at the Bid History? Depending on the rule profile used for the auction, and customized settings by the purchaser, your own bids may be listed in the Bid History along with your name and/or company name. The other bidders' bids would still be listed without any identifying information however. Also, if the purchaser submitted a bid on your behalf, this surrogate bid is indicated in the Bid History with the icon:

Monitoring the Auction

Can I chat with other participants? You can only chat with the purchasers participating in the auction, not with other bidders. To send the purchaser a message, simply type it in the Chat field and click Send. If there are multiple purchasers participating in the auction, they are all able to see your message. The only exception to this is if the purchaser has specifically restricted bidder chat capabilities. This means that you cannot send messages but you can still receive messages from purchasers. If I use the chat to ask the purchaser a question, can other bidders see my question? Can they see the purchaser's answer? No. Only the purchaser can see the messages you send. The purchaser's reply is only visible to you unless the purchaser chooses to reply with a broadcast message, in which case all participants can see the message. This might be the case if, for example, the purchaser believes the answer to your question is relevant to all bidders. Is the Rule Profile the same for each auction? No. There are four basic rule profiles: English Auction: the basic auction template in which bids are validated against the overall best bid; no restrictions on price or rank information Rank-Only: bids are validated against each bidder's own best bid; line item price information is restricted; your rank in the auction per line item is displayed

Blind Bidding: bids are validated against each bidder's own best bid; line item price information is restricted; your rank in the auction per line item is only displayed when it is equal to 1 Company Best Bid: bids are validated against the best bid submitted so far by bidders from the same company; rank per line item is displayed for the company, not for individual bidders, so each bidder from the same company sees the same rank regardless of his or her own bid price

Each of these rule profiles can be customized by the purchaser to display more or less information. The purchaser may also define customized rule profiles. Is it possible to see any attached files for the auction or line items within the cockpit? No, you cannot display attachments within the cockpit itself. You can however, use the Auction Details link in the header area to return to the main system where you can display any attachments. Why has the Time Remaining for the auction increased? The purchaser may have manually extended the auction or defined one or more automatic extensions to occur if late bids are received. The purchaser can set automatic extensions to extend the duration of the auction when last minute bids are received. So if a bid is received during the defined inactivity period, for example 15 minutes before the scheduled end date and time, the auction is automatically extended by the extension duration defined by the purchaser. Typically, the extension duration is longer than the inactivity period. The purchaser also defines how often the automatic extension cycle runs. You can view these automatic extension parameters by moving your cursor over the Extension Details text in the header area (unless the purchaser has specifically restricted that information). How am I notified if I win the auction? The purchaser configures the process for winner notification in the purchaser's system. One example is that you receive an e-mail with all the relevant information and instructions. Can I view the auction data, for example the Bid History and Charts, after the auction has ended? Yes. The cockpit remains accessible after the auction ends until the auction is completed or archived. What kind of information is saved and remains accessible in the cockpit after the auction ends? Everything except the system messages

Technical Issues
Can I change the display language of the cockpit? The display language of the cockpit is dependent upon your logon language. If you wish to view the cockpit in a different language, select that language at logon.

Icon Legend
Icon Legend Reserve Price Exists Reserve Price Met Reserve Price not Yet Met Bid Submitted by Surrogate Bidder Surrogate Bid Deleted Bid Deleted Extension Details Bid Converted from RFx Bid Converted from RFx Was Deleted

6.6.9 SAP Bidding Engine

SAP Bidding Engine is part of SAP Supplier Relationship Management (SAP SRM). Purchasers can use SAP Bidding Engine to create and process an RFx and live auction for products and services. Bidders can use SAP Bidding Engine to participate in auctions and respond to an RFx. You can make SAP Bidding Engine available for the following roles: Purchaser Operational Purchaser Strategic Purchaser Purchasing Assistant Bidder

Caution
Role assignment is not delivered. To adjust the roles, see the SAP Solution Manager under <project name> Configuration SAP SRM 7.0 Basic Settings for Strategic Sourcing General Settings Organizational Configuration Adjust Roles .

Integration
SAP Bidding Engine is integrated with the purchasing sourcing application and the contract processing function in SAP SRM. It can also be integrated with SAP NetWeaver Portal, Supplier Self-Services, SAP Business Information Warehouse, SAP Product Lifecycle Management, product catalogs, contracts, and external requirements.

6.6.9.1 Integration of SAP Bidding Engine and Sourcing

Using SAP Bidding Engine, you can create an RFx directly from Sourcing. This is especially useful if you have open requirements and need to find a source of supply. SAP Bidding Engine supports the Extended Classic Scenario for all RFx documents that are created from Sourcing. For more information, see Technical Scenarios.

Features
You can create an RFx for any item that is in the Sourcing work area. When you do this, the system automatically copies relevant data from the item in Sourcing to the item in the RFx. Any additional texts and attachments are also transferred to the RFx.

Note
You can only add items to the RFx that have been automatically transferred from Sourcing. Outlines are not transferred to the purchase order or contract any attachments and text at outline level are transferred to the items on that level. The items continue to appear in Sourcing, however, you can no longer select them. There is a link next to the line item that takes you directly to the relevant RFx.

Before you can publish an RFx, you must add information, such as a submission deadline and selected suppliers. Once you have determined a winner for the RFx, you can complete the process by creating a purchase order or a contract. When you do this, data specific to the contract or purchase order that is not already in the RFx is transferred automatically from the item in Sourcing, for example, account assignment data. The system recognizes when it is not possible to create just one purchase order for the items in the RFx. In this case, the system creates several purchase orders automatically. If, for example, the Extended Classic Scenario is set for the items, and the system must create the purchase order in different back-end systems, the system does this. You can create contracts in your back-end system from the RFx. The system can automatically carry out sourcing using RFxs. If you do this, the system automatically creates RFx documents in the background for requirements (including external ones, such as purchase requisitions from Materials Management (MM)) for which no sources of supply have yet been assigned. For more information, see Customizing for SAP Supplier Relationship Managementunder SRM Server Sourcing Define Sourcing for Product Categories.

6.6.9.2 Bidding
As a bidder, you can use SAP Bidding Engine to create bids for auctions and RFx responses for RFxs. The RFx can be: Public These are made available on the Web and published on portals, for example. You can access the RFx through a hyperlink and enter the RFx responses in the purchaser's SAP Bidding Engine. Restricted These are made accessible only to known bidders via e-mail. You can access the RFx through a hyperlink provided in the e-mail. Only auctions are restricted. You can access SAP Bidding Engine through the hyperlink provided in the email, and from there you can go to the live auction.

Prerequisites
You already have a user master record to submit a bid or RFx response. You do not need a user to receive information about a bid, since registered suppliers receive this information automatically by email. You have fulfilled the requirements for installing and using the Live Auction Cockpit. For more information, see the SAP SRM Server installation documentation on SAP Service Marketplace athttp://service.sap.com/srm-inst. To receive e-mails regarding any changes made to a public RFx, you have to be registered for the RFx. However, you can submit an RFx response without registering. To create RFx modification items, the purchaser has enabled the option RFx respondent can change RFx Responses on the RFx.

Activities
In the SAP Bidding Engine you can search for a new RFx or auction, create a bid or RFx response, or search for bids or RFx responses that you have already created. You can bid on items in any of the currencies selected by the purchaser for bidding.

If the RFx or auction contains lots, you must bid on all items in the lot before submitting the bid. For more information, see Lotting. Once the auction has ended, you can view your last bid in SAP Bidding Engine. You can display the history of the auction in the Live Auction Cockpit. Bidding in Response to Auctions You can access the auction through the link provided in the e-mail or by choosing Launch Auction in SAP Bidding Engine. This brings you directly to the Live Auction Cockpit where you can follow the bidding process. For more information, see: Live Auction Cockpit Multiple Bid Currency Auctions

Bidding in Response to RFx You can download the RFx, display documents for the RFx, and save them to your PC. Depending on the information required by the RFx, you can enter the following: Details on price and conditions, such as scale prices Changes to quantity Comments To provide further information, you can also upload documents from your PC at header and item levels. Information on any questions For more information, see Create Questions Further items, if this option has been granted in the RFx Service providers, in the case of service items, if these have been entered in your SAP Supplier Relationship Management (SAP SRM) or Supplier Self-Services systems If the purchaser has created a cFolder you can view the information by following the link under Collaboration. For more information, see Integration with SAP PLM cFolders. Once you have entered the correct information in your RFx response you can: Save the RFx response for further processing The system saves the RFx response without checking it. Check that you have completed the RFx response Delete saved RFx responses Change the RFx response You can only change the RFx response if you have not yet submitted it. However, if the purchaser changes the RFx and returns your original RFx response, you can revise it.

Caution
If the purchaser changes the RFx before the opening date is reached, the purchaser cannot send back the RFx responses. Submit the RFx response Submitted RFx responses are binding. The purchaser who created the RFx sees that RFx responses have been received and can display them once the opening date has passed. Create a print preview of the RFx as a PDF Surrogate Bidding

The purchaser can enter a bid or RFx response on behalf of a bidder. For example, if you as bidder are not able to access the system, you can contact the purchaser to enter a bid or RFx response as your substitute.

6.6.9.2 .1 Offline Bidding

You can use an offline bidding form to allow your suppliers to respond to an RFx without having to log on to the SAP Supplier Relationship Management (SAP SRM) application. When a purchaser publishes an RFx, an SAP Interactive Form is sent as an e-mail attachment to all suppliers who are authorized for offline bidding. This document supports the following: Data entry for fields such as Quantity, Price, and Price Unit Purchaser attachments (attached to the supplier notification e-mail) Purchaser and supplier notes Possibility to ask and respond to questions

If the suppliers decide to bid offline, they complete and submit the form using e-mail. The purchaser's SAP SRM system receives the e-mail, reads the attachment, and creates the RFx response. The offline bidding form is a simplified alternative to, but not a general replacement for, the existing method of creating RFx responses. If the RFx and the supplier are enabled for offline bidding, suppliers can choose whether to submit an RFx response using the SAP SRM application or the offline bidding form.

Restrictions
The following is not supported in offline bidding: Intent to bid (Participate, Do not Participate, and Tentative) Excel export/import Response modification (expressive bidding) Add a new line item or subline Catalog integration cFolder integration Send e-mails or call partners Check errors Supplier-added attachments Complex prices (conditions)

Prerequisites
To use this function, you must activate the business function SRM, Strategic Sourcing Innovations(SRM_SOURCING_1). You have activated the Customizing switch SRM_701_SUCO_OFFLINE_BIDDING. For further prerequisites, see Enabling Offline Bidding. The purchaser enables offline bidding when they publish an RFx. For more information, see Enabling Offline Bidding. The supplier receives the SAP Interactive Form as an e-mail attachment, enters the relevant data, and sends the form back to the purchaser.

Activities

The purchasers system reads the data from the SAP Interactive Form, and creates an RFx response.

Note
If the supplier enters incorrect data, such as a minus quantity or a minus price, the purchaser is informed by an error message along with the form.

6.6.9.2 .2 Enabling Offline Bidding

You use this procedure to allow suppliers to respond to an RFx using offline bidding.

Prerequisites
To use this function, you must activate the business function SRM, Strategic Sourcing Innovations(SRM_SOURCING_1). You have been assigned the Strategic Purchaser role in SAP Supplier Relationship Management (SAP SRM). You have defined the e-mail ID to be used in the offline bidding process in Customizing for SAP SRM under SRM Server RFx Offline Bidding Proxy Settings Define Offline User . You have defined the security settings and proxy settings for your third-party encryption tool in Customizing for SAP SRM under SRM Server RFx Offline Bidding Proxy Settings Specify Host and Port Information andSelect Encryption and Digital Signature Checkboxes. If you want to configure a customer-specific SAP Interactive Form for the offline bidding process, you have done so in Customizing for SAP SRM under SRM Server Cross-Application Basic Settings Set Output Actions and Output Format Define Actions for Document Output . Strategic Purchasing Business Partner Supplier .

Procedure
1. Log on to SAP SRM, and choose 3. Choose Strategic Purchasing 2. Choose the Bidder Data tab, and select the Allow Offline Bidding checkbox. Strategic Sourcing . 4. Search for your RFx, and choose Edit. 5. Select the Allow Multiple Bids per Company and Allow Offline Bidding checkboxes. 6. Publish your RFx.

Result
An e-mail is sent to suppliers with an SAP Interactive Form as an attachment.

6.6.9.3 Bidder Notification

An e-mail created with Smart Form BBP_BIDINV_BID notifies bidders of RFxs, auctions, and bids in the form of an e-mail.

Features
You can change the Smart Form delivered by SAP to design the information in your notification exactly the way you want, without having to modify code. For more information, see the Smart Form documentation in SAP Help Portal at http://help.sap.com.

Note
If your system runs in multiple languages, you must translate any text changes you make.

Activities
In Customizing for SAP Supplier Relationship Management, choose Document Output Change Smart Forms for Document Output BBP_CHANGE_SF_BID. . SRM Server Business Add-Ins (BAdIs) Enter the name of the new Smart Form you created in Customizing in the Business Add-In (BAdI)

Note
The import parameters for this BAdI are: Business transaction category (BUS2200 for RFx or BUS2202 for bid) Individual object status Document's GUID

The export parameter is the name of the Smart Form being used.

6.6.9.4 Customer Fields in SAP Bidding Engine

You can use customer fields in SAP Bidding Engine to enhance standard structures, thereby creating your own (customer-specific) solution to display, change, and forward the contents of non-standardized fields. This gives you the flexibility to implement a corporate look and feel across all RFx documents that are produced within your company. While attributes within SAP Bidding Engine are only relevant for the specific RFx in which they are selected, customer fields are displayed in every RFx and cannot be selected or deselected for an individual RFx.

Prerequisites
The system administrator has created the following structures in the ABAP Dictionary and defined the required fields: CI_BBP_HDR_BID for the header data of the bid invitation CI_BBP_ITEM_BID for the item data of the bid invitation CI_BBP_HDR_QUOT for the header data of the bid CI_BBP_ITEM_QUOT for the item data of the bid

The relevant fields are only displayed in RFx documents and bids once these steps have been performed by the system administrator. To have an identical set of customer fields in the RFx and in the bid, the content set-up must be the same in the relevant structures. In the default setting, the system fills the customer fields in the bid from the RFx and the fields are display-only. You do not have to change the Dynpro template to display the fields. For more information, see 458591.

6.6.9.5 Bid or RFx Response Processing

As a purchaser, you can check and process the bids or RFx responses you have received in response to your RFx or auction.

Integration
When a bid or RFx response has the status Approved and Accepted, it can be used to create a contract or purchase order. For more information, see Contract Creation and Purchase Order Creation.

Features
You can: Conduct a search for your RFx or auction to see how many bids or RFx responses have been received and from which bidders. View bid or RFX response details, grouped according to Header Data, Item Data, and Approval Preview. In live auctions, after the auction has ended, the Live Auction Cockpit transfers the most recent bid to the SAP Bidding Engine, where you can view the bid details. Display the status of the approval process in the form of a table or a graphic. Depending on the workflow settings, the purchaser's manager may need to approve the bid or RFx response before it can be successfully accepted. Download RFx documents with all bids and compare them. For more information, see Comparison of Bids or RFx Responses. Create a print preview of the RFx as a PDF. Accept and reject o Individual items If you do not want to accept certain items of the bid or RFx response, you can reject them accordingly. The bidder then receives acceptance for all other items. o Entire bid Bidders are automatically informed via e-mail, generated using Smart Form BBP_BIDINV_BID. For more information, see Bidder Notification. o Several bids, for example, if you want to accept items from different bids. Create a new RFx as a follow-on document. For more information, see RFx Enable bidders to use RFx response modification (adding substitute or alternative items) on RFx documents based on a preceding SAP ERP purchase requisition, or shopping cart in SAP Supplier Relationship Management (SAP SRM). Use outlines to organize complex service requirements. To use this feature, you must have an RFx document created from a template that allows hierarchical structures. In addition, features are also available that provide your purchasers with an improved overview of the best bid or RFx response, and also allow your suppliers greater flexibility when submitting their RFx response.

Note
If you want to use the features listed below, the following prerequisite applies:

You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You can specify if you want your suppliers to modify a bid or RFx response at line-item level. Additional functions allow you to better compare the bids or RFx responses submitted. For example, you can directly display line items added by the bidder. For more information, see Comparison of Bids or RFx Responses.

6.6.9.5.1 Comparison of Bids or RFx Responses

In the SAP Bidding Engine, enhanced features of the function for comparing bids or RFx responses enable you to better compare the bids or RFx responses submitted by bidders in response to your auction or RFx. These features provide you with a more comprehensive overview of which bid or RFx response best suits your requirements and also allows you greater flexibility when accepting their bid or RFx response.

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You have activated the business function SRM, Strategic Sourcing Innovations 2 (SRM_SOURCING_2). You have been assigned the Strategic Purchaser role in SAP Supplier Relationship Management (SAP SRM). You have activated the Customizing switch Adaptable RFx Response Handling(SRM_701_RFX_RESP_FLEXIBILITY) in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process RFx Response Activate/Deactivate Adaptable RFx Response Handling . You have activated the Customizing switch RFx Response Simulation (SRM_702_BID_SIMULATION) in Customizing for SAP Supplier Relationship Management under Comparison Activate/Deactivate RFx Response Simulation . SRM Server RFx RFx Response

Activities
As a purchaser, you can perform the following activities when reviewing and comparing bids or RFx responses. Open a bid or RFx response directly in change mode Include line items added by bidders You can directly display line items added by the bidder. You can also specify if you want your suppliers to modify a bid or RFx response at line-item level. Display payment terms and Incoterms Display tooltips for icons Adjust the weights, which recalculates the scores automatically

Note
When you compare bids or RFx responses, it is possible to adjust the weighting factors you have entered in the corresponding RFx. If you adjust the weighting factors, the system recalculates the weighted scores automatically. To adjust the weighting factors, proceed as follows: 1. Select the RFx responses for comparison and choose the Response Comparison tab. 2. ChooseSimulate Weight.

3. In the Weight Simulation Window, change the values of the weight percentages assigned to the questions as required, and choose Simulate. The system now recalculates the weighted scores. 4. To reset the weight percentages back to their original values, choose Reset Weight Simulation. Download the response comparison in an easy-to-read format You can download the comparison information to a Microsoft Excel file and then save this file locally on your computer. Create a ranked list of bidders, on the new results screen, presented in descending order. You can also create a ranked list of bidders for a particular item. Download the RFx response comparison results as a PDF for traceability. Customize the RFx response comparison screen by adding or removing user interface (UI) fields to suit your requirements. Avoid horizontal scrolling due to the reduced number of table columns on the RFx response comparison screen.

6.6.9.5.2 Contract Creation

As a purchaser, you can generate contracts from RFx responses. This RFx itself can be created manually or from a purchase requisition in SAP ERP, or from the shopping cart in SAP Supplier Relationship Management (SAP SRM). The purchase order can also contain RFx response modification items.

Prerequisites
The RFx response has the status Accepted and, if required, Approved. In the RFx, the Follow-On Document field must contain the entry Contract, or Purchase Order or Contract.

Features
You can create a contract for the supplier of an accepted RFx response from the bid view. Data from the RFx response and the RFx is transferred automatically to the contract, for example: Business partner data, for example supplier, goods recipient, and location Item data, for example product category, quantity, price, and price unit Purchasing organization of the purchaser RFx texts (supplier texts), however not internal notes and bid texts RFx currency Bid header data

If items are user-defined, you may have to add data, for example product or supplier product number. If the RFx was not created from Sourcing, you may have to add the purchasing group. In the case of an RFx with outline, the supplier text and documents are inherited to lower items. You can create an RFx from a contract. Data from the contract is copied to the RFx. It is created with the statusSaved.

6.6.9.5.3 Purchase Order Creation

This function is available to purchasers and generates purchase orders from RFx responses. This RFx itself can be created manually, from a purchase requisition in SAP ERP, or in the shopping cart in SAP Supplier Relationship Management (SAP SRM).

The purchase order can also contain RFx response modification items. For more information, see Purchase Orders.

Prerequisites
The RFx response has the status Approved and Accepted. To transfer the purchase order to the contract, the bidder is assigned the role of Supplier In the RFx, the Follow-On Document field must contain the entry Purchase Order or Contract. When you create an RFx manually, purchase orders are local only (product category is not relevant). Outline levels can be displayed in a local purchase order. The system transfers RFx texts, RFx response texts, RFx response modification items, and documents to the purchase order (not internal notes, however). With direct material purchase orders, the system creates a copy (that cannot be changed) in the backend system. Regardless of whether it is a direct material, this needs to be stated in the item details in the RFx. You must specify the goods recipient and purchasing group. When an RFx is created from Sourcing, the system creates purchase orders in the back-end system (direct and extended scenarios). Outline levels are not transferred. Texts and documents for outline levels are inherited to lower items. The system displays ordering party, goods recipient, and issuing point in the RFx and in the RFx response only if these were the same in the preceding documents. If not, they are read from Sourcing to create the purchase order in the background. When a purchase order is created, the system checks whether the delivery time is realistic based on the date entered by the purchaser in the original RFx and the delivery time as stated by the bidder in the RFx response.

Activities

6.6.9.5.4 Two-Envelope RFx Response Processing

You use this process to handle two-envelope RFx responses. Two-envelope RFx responses are typically used to collect and evaluate technical RFx response information separately from price RFx response information. This allows the purchasing organization to evaluate RFx responses based on factors such as technical capabilities before viewing the price information. RFx respondents (= bidders) submit a technical RFx response and a price RFx response. You can influence the way in which technical RFx responses are stored, accessed, opened, and evaluated. When the purchaser creates an RFx with two-envelope RFx response, the system automatically creates a collaboration room in SAP Product Lifecycle Management (SAP PLM) cFolders for the RFx. When an RFx respondent creates an RFx response, the system creates a folder in this collaboration room to which the RFx respondent can upload their technical RFx response. RFx respondents can edit or upload new versions of their RFx response until the RFx closing date. For more information about cFolders for technical RFx responses, seecFolders for Technical RFx Responses.

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1).

You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following: You have activated the two-envelope RFx response function in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response) Activate/Deactivate Two-Envelope RFx Response . You have activated two-envelope RFx response for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options . You have configured optional two-envelope RFx response settings in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Two-Envelope RFx Response . You have created folders for storing technical RFx responses in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Technical RFx Response Folders .

Process
Purchaser creates RFx with two-envelope RFx response
1. The purchaser creates an RFx for a transaction type for which the two-envelope RFx response function has been activated. 2. The purchaser enters a submission deadline for RFx responses and specifies a technical RFx response opening date and a price RFx response opening date. 3. On creation of the RFx, the system creates a cFolder collaboration room containing predefined folders. 4. The purchaser navigates to cFolders and uploads documents to the folders. 5. In cFolders, the purchaser assigns read and write authorizations to users who require access to the folders. 6. The purchaser publishes the RFx.

RFx respondent submits two-envelope RFx response

1. In SAP Bidding Engine, the RFx respondent views the RFx and creates an RFx response. 2. The system creates a supplier-specific folder under the technical RFx responses folder in cFolders. 3. The RFx respondent enters price-related information in the RFx response. 4. The RFx respondent navigates to the technical RFx response folder. The system opens the supplier's technical RFx response folder in cFolders. 5. The RFx respondent uploads the technical RFx response. 6. The RFx respondent submits both parts of the RFx response.

Two-Envelope RFx response opening and evaluation

Note
For more information about using multi-party verification at two-envelope RFx response opening, seeSimultaneous Logon at RFx Response Opening. 1. The purchaser initiates technical RFx response opening.

2. The technical evaluation panel evaluates the technical RFx responses. 3. The purchaser navigates to the technical RFx response overview and accepts or rejects each technical RFx response according to the decision of the evaluation panel. Depending on the settings made in Customizing, an e-mail notification is sent to all RFx respondents notifying them of the decision of the evaluation panel. And, if configured, the price RFx responses of respondents whose technical RFx responses were rejected by the evaluation panel are automatically rejected. 4. The purchaser initiates price RFx response opening. 5. The price evaluation panel evaluates the price RFx responses of the RFx respondents who were shortlisted by the technical evaluation panel. 6. An award is made.

6.6.9.5.5 cFolders for Technical RFx Responses

When you create an RFx with two-envelope RFx response, the system creates a collaboration room in SAP Product Lifecycle Management (SAP PLM) cFolders containing the following default folders: External Contains documents that are to be shared with the RFx respondents (= bidders). Internal Contains documents that are only to be viewed by users from the purchasing organization. Evaluators Contains evaluator comments. Collaboration Used by RFx respondents and evaluators to exchange information, for example, the RFx respondents can ask questions that are answered by the evaluators. Technical_Bids When the RFx respondent creates an RFx response, a folder is created under Technical_Bids in which the RFx respondent can store technical RFx response documents.

Note
You can rename these folders or create your own folders in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Two-Envelope RFx Response Define Basic Data for Technical RFx Response Folders .

You use these folders to store all documents relating to the RFx. Before an RFx is published, the purchaser can upload documents to the folders and assign users read and write authorizations for the folders. For more information about SAP Supplier Relationship Management (SAP SRM) integration with cFolders, see Integration with SAP PLM cFolders. The following default folder authorizations are provided: Purchaser Authorizations Before the RFx is published Authorization Read Internal Yes External Yes Collaboration Yes Evaluators No Technical_Bids No

Authorization Write Create Folders

Internal Yes Yes

External Yes Yes

Collaboration Yes Yes

Evaluators No No

Technical_Bids No No

RFx Respondent Authorizations Authorization Read Write Create Folders Internal No No No External Yes No No Collaboration Yes Yes Yes Evaluators No No No Technical_Bids Yes Yes Yes

Purchaser Authorizations After RFx Response Opening Authorization Read Write Create Folders Internal Yes Yes Yes External Yes Yes Yes Collaboration Yes Yes Yes Evaluators Yes No No Technical_Bids Yes No No

For more information about creating additional folder authorizations, see the Business Add-In (BAdI) documentation in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-ins RFx Extended RFx Process Two-Envelope RFx Response Enhance Folder Authorization .

6.6.9.5.6 Simultaneous Logon at RFx Response Opening

You can use this process to allow multiple users to approve the RFx response opening process by simultaneously logging on to the system within a given time period. This allows you to introduce multiparty verification into the RFx response opening process. By default, simultaneous logon is only available for RFxs with two-envelope RFx responses. Before starting the simultaneous logon process, the purchaser must assign participants the necessary permissions for their role in the process. For more information about user roles, see User Roles in the Simultaneous Logon Process. The purchaser then initiates the simultaneous logon process. After initiation, the approvers, in this case, the RFx response openers, must approve the opening process by logging on to the Simultaneous Logon Application. Only after all RFx response openers have verified the process by logging on, is it possible to view and evaluate the RFx responses.

E-Mail Notifications
You can adapt the e-mail notifications sent to users during different stages of the simultaneous logon process. For more information about adapting the content of these notification e-mails, see the Business Add-In (BAdI) documentation iin Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins RFx Extended RFx Process Simultaneous Logon Enhance Simultaneous Logon .

Prerequisites
You have activated the business function SRM, Strategic Sourcing Innovations (SRM_SOURCING_1). You do not have to activate the business function SAP SRM Procurement for Public Sector Functions(/SAPPSSRM/SRM_PPS). If you have previously activated this business function, it remains active. You have done the following: You have activated simultaneous logon in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Simultaneous Logon Activate/Deactivate Simultaneous Logon at RFx Response Opening . You have activated the simultaneous logon function for the required transaction and publication type in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Tendering Options Define Tendering Options . You have configured the duration of the process and specified when you require an e-mail notification to be sent to participants in Customizing for SAP Supplier Relationship Management under SRM Server RFx Extended RFx Process Simultaneous Logon Define Basic Data for Simultaneous Logon .

Process
1. The purchaser creates an RFx using a transaction type for which the two-envelope RFx response has been activated, and in the permissions overview for the RFx, assigns authorizations to all participants in the simultaneous logon process. 2. The purchaser publishes the RFx and receives RFx responses. 3. The purchaser initiates the technical RFx response opening process by choosing the corresponding button on the RFx document. 4. The system sends an e-mail notification to all users with the role technical opener informing them that they need to approve the process. 5. The technical RFx response opener navigates to the Simultaneous Logon Application and approves the process by entering his/her system password. This step is repeated by all users who have been assigned the role technical opener by the purchaser. 6. The system updates the process overview with the users approval status. 7. When all RFx response openers have approved the opening process, the system gives the process the status 'successful' and makes the RFx response available for the evaluation process.

Note
If the process has not been approved by all RFx response openers by the end of the approval interval, the purchaser can either extend the process or the process fails and all users taking part in the process are informed of the failed opening. In this case, the process must be initiated again by the purchaser. 8. The technical RFx responses are evaluated by the evaluation panel and steps 3 to 7 are repeated for the price RFx responses.

6.6.9.5.7 Users Roles in the Simultaneous Logon Process

Before starting the simultaneous logon process, the purchaser must assign the participants a particular role in the process. The purchaser can assign permissions before and after the publication of an RFx. The permissions are only valid for the selected RFx. The purchaser can assign users the following roles for an RFx: Technical Opener The user must approve the opening of technical RFx responses. Price Opener The user must approve the opening of price RFx responses. Technical Evaluator The user is an evaluator of technical RFx responses. Bid Floor Administrator By default, this is the purchaser. The bid floor administrator can extend the duration of the simultaneous logon process. After the purchaser has created or changed the assignment of permissions, the system sends the participants an e-mail notification.

6.7 Confirmations
You can use this function in SAP Supplier Relationship Management (SAP SRM) to confirm the delivery of goods, and enter services rendered and hours worked.

Integration
This function is used in the following business scenarios: Self Service Procurement Service Procurement Plan-Driven Procurement

In SAP SRM, the goods receipt and the service entry sheet are represented by a single confirmation document. Confirmations can refer either to purchase orders created in SAP SRM, or to purchase orders created outside SAP SRM in the back-end system.

Prerequisites
Roles
You must have one of the following roles assigned to you before you can perform any of the confirmation procedures: Role Name Employee Operational Purchaser Supplier Goods Recipient Portal Role com.sap.pct.srm.ro_employeeselfservice com.sap.pct.srm.ro_operationalpurchaser com.sap.pct.srm.ro_supplier com.sap.pct.srm.ro_goodsrecipient SAP SRM Server Role /SAPSRM/EMPLOYEE /SAPSRM/OP_PURCHASER /SAPSRM/SUPPLIER /SAPSRM/RECIPIENT

Depending on the roles assigned to you in SAP SRM, different options are available for confirming goods and services, as well as for entering time data for services rendered. If you have been assigned the Employee or Operational Purchaser role, you can enter confirmations for goods receipts and services performed. You can do so for items in your own shopping cart, or for which you are the requester or the goods recipient. If you have been assigned the Supplier role, you can do the following: Confirm that goods have been delivered or services have been rendered Enter times for services rendered

For more information, see Confirmation Processing.

System Requirements
To create a confirmation from a back-end service purchase order item, you must have installed SAP R/3 4.0 or a later release.

Confirmations Relating to Purchase Orders for Materials Created in a Back-End System

To transfer confirmation documents to the back-end system using the ALE interface, you must have made the ALE settings in Customizing for SAP Supplier Relationship Management under SRM Server Technical Basic Settings ALE Settings (Logical System) .

Confirmations Relating to Purchase Orders for Services Created in a Back-End System

SAP SRM assigns the confirmation a number from the number range set in Customizing for SAP Supplier Relationship Management under SRM Server Cross Application Basic Settings Number Ranges SRM

Server Number Ranges sheet.

. When you transfer the confirmation to the back-end system and create it there,

the system copies the number from SAP SRM to the communication number field on the service entry The number range in SAP SRM for the confirmation must not overlap with the number in the communication number field of the service entry sheet that was transferred to the back-end system by data exchange. If the number ranges do overlap, the service entry sheet will not be created.

Features
The functions available for confirmations include the following: Function Revert Details Description Restores items that have been deleted from the purchase order. Opens the Item Details Basic Data Item Data Account Assignment You can see who bears the costs and, if necessary, you can distribute the cost among several cost centers. In the case of confirmations referring to back-end purchase orders, you cannot change the account assignment unless you are creating an unplanned item for the limit item of a service purchase order. Notes and Attachments You can attach documents providing additional information for the approver. You can also enter a text that is sent to the supplier, or an internal note to send the approver or purchaser a message. Final Delivery Indicates whether the confirmation represents the final delivery of the item. SAP SRM transfers this information to the purchase order item and, in the case of unplanned items, to the total limit for the purchase order. Save Confirm Temporarily saves an incomplete confirmation. It can be reprocessed at any point. Posts the confirmation after you have entered all confirmation information. The approval workflow starts in the background.

Activities
You use the goods, services, and time confirmation to confirm, for example, the receipt of goods or services. The outcome of the workflow depends on your technical scenario. A local purchase order is saved in SAP SRM as a confirmation. A purchase order entered outside SAP SRM is copied to the backend system as either a goods receipt or a service entry sheet.

6.7.1 Service Time Entry

This function allows a service agent to enter times for services rendered. If the service agent can access a supplier system, they can enter their time data and send it to the purchaser. For services in an SAP ERP purchase order, the supplier self-services component (previously SUS) can also be used to create a service entry sheet directly in the SAP ERP system. For more information, see Confirmation Processing.

Note

If the service agent does not have access to a supplier system, they can send their time recording sheets to the purchaser using e-mail, fax, or regular mail. Purchasing assistants then enter the time recording sheets.

Prerequisites
You have been assigned one of the following roles: Employee (portal role com.sap.pct.srm.ro_employeeselfservice, SAP SRM Server role/SAPSRM/EMPLOYEE) Goods Recipient (portal role com.sap.pct.srm.ro_goodsrecipient, SAP SRM Server role/SAPSRM/RECIPIENT)

Defining Default Settings for Time Recording

You can enter default values for time recording in Customizing for SAP Supplier Relationship Management under SRM Server Confirmation and Invoice Verification Define Defaults

for

Time Recording Defining Default Settings for Limit Items

If you want to create limit items in SAP SRM for unplanned costs such as overtime hours or expenses, you can also define default settings in Customizing. For more information, see Customizing for SAP Supplier Relationship Management under SRM Server Confirmation and Invoice Verification

Define Default Setting for Limit Items

Procedure
To enter times for services rendered, proceed as follows: 1. Choose Create Confirmation. 2. Enter a purchase order number in the Search Purchase Order field. 3. Choose the Item Number to display the service item details. 4. Choose the Service Timesheet. 5. Enter a range of dates in the From and To field for which you want to enter service times. 6. Choose Generate Timesheet. 7. Enter a start time and end time for each day. The time format is HH:MM:SS based on the 24 hour clock. 8. Choose Update and then one of the following: Save to save the time entries. You can edit the time entry list at a later time. Confirm to confirm the time entries. The service time entries are sent for confirmation.

6.7.2 Goods Recipient Notification

At the unloading point, you can use the Notify Goods Recipient function to identify and notify the recipient that a shipment has arrived.

Prerequisites
You have been assigned the Goods Recipient role.

Activities
You can search for purchase orders with outstanding quantities to confirm. To e-mail the goods recipient that the goods have arrived, choose Notify Recipient.

The Notify Recipient window includes the requester and e-mail details. If the purchase order comes from a plant, the requester is notified instead.

Note
The default text of the e-mail is stored in the general GOODS RECEIVED text. You can individually change this text for each e-mail. However, the system administrator can change the default text by choosing Tools ABAP Workbench Utilities Documentation .

6.7.3 Return Deliveries

Once a confirmation has been approved, you can return any part of the purchase order to the supplier if not satisfied with the goods.

Prerequisites
You have been assigned one of the following roles: Operational Purchaser (portal role com.sap.pct.srm.ro_operationalpurchaser, SAP SRM Server role/SAPSRM/OP_PURCHASER) Goods Recipient (portal role com.sap.pct.srm.ro_goodsrecipient, SAP SRM Server role/SAPSRM/RECIPIENT)

Activities
To return an item from a purchase order, you must create a Return Delivery document, clearly stating the reason for return. Once you return some or all of the items in a purchase order, the Return Delivery document is posted in the system. The quantity that is being returned is once again visible in the purchase order and is available for confirmation. This is because the system now expects a new delivery for this quantity from the supplier.

Note
Once an invoice is created, it is no longer possible to use the Return Delivery function.

6.8 Business Workflow

SAP Supplier Relationship Management (SAP SRM) provides two frameworks for approval workflows, application-controlled and process-controlled. The application-controlled workflow framework was used in SAP SRM 5.0 and earlier, and the process-controlled workflow framework was introduced in SAP SRM 2007 (SAP SRM 6.0).

Note
The application-controlled workflow framework is supported for customers of SAP SRM 5.0 or earlier to maintain their older workflows. New SAP SRM customers must use the process-controlled workflow framework. It is not supported that new customers use application-controlled workflows!

Prerequisites
Process-controlled workflows are used by default in new SAP SRM systems. You can switch the workflow framework setting to application-controlled workflows in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Business Workflow Select Workflow Framework .

Features
Application-Controlled Workflows
These are approval workflows based on SAP Business Workflow, in which the application is in control over the SAP Business Workflow templates. Multiple workflow templates can be used, using defined start conditions.

Process-Controlled Workflows
These are approval workflows based on SAP Business Workflow, in which the modeled 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 a process schema containing a set of distinct process levels. The Business Rule Framework can be applied to control further the process flow.

6.8.1 Process-Controlled Workflows

In SAP Supplier Relationship Management (SAP SRM), you use process-controlled workflows to model and carry out approval processes for purchasing documents, such as shopping carts. Workflows provide easy and flexible implementation of approval processes. Approval processes 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, for example: A purchaser must complete a document lacking important information. A specialist must check and approve technical or other product-related information in the document. A manager must give financial approval, for example, if a shopping cart exceeds an employee's individual spending limit. Responsibility for approving the items of a document can be distributed among several agents. However, at each process level, all items of the document must be decided upon. Therefore, the next process level cannot start until all agents have processed their respective items.

Users can only make decisions in an approval process if they have received a workflow work item in their Universal Worklist (UWL). If there is more than one responsible agent for the items of a document on one process level, each agent receives a workflow work item. As soon as one of them accesses his or her work item, the document is locked for other users. Process-controlled workflows are available for the following business objects: Shopping cart Purchase order Contract RFx Quote Invoice Confirmation

Note
Purchase order responses do not use the process-controlled workflow framework. Instead, the process logic is hard-coded. For more information, see Approval Workflow for Purchase Order Responses.

Integration
This function is used in the following business scenarios: Self-Service Procurement Plan-Driven Procurement Service Procurement Sourcing Contract Management SAP Business Workflow The SAP Business Workflow provides workflow templates that drive and control the approval process. The SAP Business Workflow also creates the work items that are displayed in the responsible agent's UWL. For more information about SAP Business Workflow, see the related documentation for SAP NetWeaver 7.0 on SAP Help Portal at http://help.sap.com SAP NetWeaver Library SAP NetWeaver by Key Capability Workflow . Application Platform by Key Capability Business Services SAP Business

The process-controlled workflow uses the following SAP NetWeaver technologies:

SAP Business Rule Framework (BRF) You use the BRF to define triggering events and expressions that serve as start conditions for the different process levels. You define expressions in the BRF at design time. Expressions return a result; for example, the shopping cart limit or the total shopping cart amount. At runtime, by using these expressions, the system checks whether or not a predefined process level must be activated. For example, the system checks whether a shopping cart limit has been exceeded. For more information about the BRF, see SAP Help Portal at Central Component Cross-Application Services http://help.sap.com . SAP ERP

Business Rule Framework (BRF)

Note
You define settings for the SAP Business Workflow, BRF, and process-controlled workflows in SAP Solution Manager under <project name> Configuration SAP SRM <release> Basic Settings for SAP SRM Cross-Application Settings Business Workflow Process-Controlled Workflow . Universal Worklist (UWL) The UWL in the SAP NetWeaver Portal is used for delivering workflow work items to the responsible agents. From the UWL, the responsible agent can navigate directly to the application in which the task can be completed. In addition, you can use the Approve or Reject pushbuttons provided by the UWL to approve or reject a document immediately. Alternatively, users can access their work items directly from the document. When they open a document using the personal object worklist (POWL), the Show My Tasks button is available. Choosing the button opens a popup that displays the users current work items for this document.

Features
Simple Configuration at Design Time
Simple options for implementing complex business processes, for example, with the help of the BRF. Predefined standard process level types: o o o o o o o Approval with completion Approval Automatic Main SRM Approval Process Template (WS40000014) Process Level Control (WS40000015) Completion Subworkflow (WS40000017) Approval Subworkflow (WS40000016)

Generic set of SAP Business Workflow templates, on which all processes are based:

Flexible Adaptation at Runtime

Adding ad hoc agents Adding ad hoc reviewers Forwarding work items Assigning substitutes Using the back-and-forth function

For more information, see Approval Workflow Features.

Approval Process Overview

An approval process overview is available for all users involved in the approval process. The process overview gives the following information: History of the document: all completed process levels and any restart of the process Current status of the document: all work items at the current process level Forecast of further required decision steps

The approval process overview shows all work items that have been created for a process level.

Decision Sets
Responsibility for the items of a document can be distributed among several agents. The items are grouped according to the area of responsibility to which they are assigned. Each group of items

represents one decision set. A work item is created for each decision set so that the responsible agents can approve or reject their respective items. For more information, see Decision Sets.

6.8.1.1 Approval Workflow

You can use this process to check, approve, or reject items of purchasing documents. You can also discuss any open questions about the items of the document with the requester. This document focuses on the approval of shopping carts, as this is the most sophisticated process in terms of configuration variants. As a document creator, you can approve your own documents if one of the following conditions is met: The approval process has been customized accordingly. The document creator has been specified as substitute. The approval work item has been forwarded to the document creator.

The document creator has been added as an ad hoc approver. To use this function, you must activate the Customizing switch Approval by Document Creator(SRM_700_APF_APPR_BY_CREATOR) in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Business Workflow Activate/Deactivate Approval by Document Creator .

Prerequisites
You have made the appropriate settings in SAP Solution Manager under Configuration SAP SRM <release> Workflow Basic Settings for SAP SRM . Process-Controlled Workflow <project name> Business Cross-Application Settings

In particular, you have carried out the following configuration steps: You have defined at least one process schema containing the whole sequence of all possible completion and approval levels. You have assigned a Business Rules Framework (BRF) event ID (used for level validation), the subworkflow ID, and the work-item task ID (both used for agent determination) to each process level.

Process
The process-controlled workflow framework integrates tightly with the SAP Business Workflow during the workflow process. The SAP Business Workflow drives the process with templates and is responsible for creating work items. The process-controlled workflow provides the process schema containing all possible process levels. 1. The system determines the process schema using the rules defined in the BRF, and starts a new instance of this schema. 2. The SAP Business Workflow starts a new instance of the main workflow template WS40000014, which is responsible for the overall process control. The template works through the process levels defined in the process schema. 3. The subworkflow template WS40000015 is responsible for process level evaluation. It determines whether the process schema contains further process levels to be carried out. The process level evaluation runs in loop cycles and is repeated each time a process level has been finished, provided that no level restart has been requested.

This subworkflow contains only background tasks that communicate with the process-controlled workflow. Based on rules or Business Add-Ins (BAdI), the system checks whether or not a specific process level must be activated. In addition, the items of the shopping cart are assigned to decision sets, if necessary. 4. Depending on the process level type of the activated process level, the system starts one of the following subtemplates: WS40000017 (Completion Subworkflow) for process level type approval with completion WS40000016 (Approval Subworkflow) for process level type approval

Note
If there is more than one decision set for the shopping cart, the corresponding number of subworkflow template instances is started. 5. The system determines the agent for the current process level and generates work items, as described in Agent Determination. The agent receives the work item in the Universal Worklist (UWL) in the SAP NetWeaver Portal. 6. To process the work item, the agent can access the appropriate application window directly from the work item and approve or reject the items of the document. As an alternative, the agent can use the shortcut decision function of the UWL. To do this, the UWL provides pushbuttons that can be used to approve or reject the document immediately without checking the items. 7. Steps 3 through 6 are repeated for each process level of the current process schema. 8. Depending on the settings in Customizing, users involved in the approval process, for example, document creators or approvers, receive a notification when the approval process is completed. For more information, see Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Event and Event Schema for Alert Management Define Recipient of Notifications document. You can configure the system accordingly in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Business Workflow Process-Controlled Workflow Business Process Configuration Define Process Levels . The requester can also select Work Item to Requester at Process End in the approval process overview while creating a shopping cart. The system then sends a work item at process end even if this has not been configured in Customizing. . 9. At process end, the system can send a work item for acceptance to the contact person for the

Note
In most cases, the contact person for a document is the document creator. This is the case for requesters of shopping carts and purchase orders. However, some documents, such as invoices entered in the Supplier Self-Services application, are sent to the SAP SRM system in XML format and are created there by a technical user. For these documents, the system determines a user to assume responsibility for the document and to serve as contact person. This user can be, for example, the creator of the preceding purchase order. The system also determines an internal contact person if a

supplier, that is, an external business partner, enters a document directly in the SAP SRM application. The contact person is responsible for verifying the document data. 10. The recipient of the work item can now accept the decision, which ends the process. However, as long as the recipient has not yet accepted the decision, it is possible to change the document, even if all items have been rejected. Changing the document results in the system calling back all work items, creating a new work item for the contact person, and possibly restarting the approval process.

6.8.1.1 .1 Process Level Evaluation

The subworkflow template WS40000015 is responsible for process level evaluation. This subworkflow contains only background tasks that communicate with the process-controlled workflow. It determines whether or not the process schema contains further process levels to carry out, and whether or not a process level must be activated.

Process Schema and Process Levels

You define the process schema at design time, specifying all possible process levels a document has to pass through before it can be released. The process schema distinguishes between the two process level types approval with completion and approval. For each business object, one or more process schemas can be defined. For instance, for purchase orders, contracts, and RFx, you can define separate process schemas for original documents and for change versions of documents. If there is more than one process schema for one business object, the system chooses the appropriate one using the rules defined in the Business Rule Framework (BRF). In the example above, a BRF expression checks whether or not the document is a change version, and triggers the corresponding process schema.

Note
You define process schemas and process levels in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Business Workflow Process-Controlled Workflow Business Process Configuration Define Processes .

Process Level Activation

With the help of the BRF, the system determines whether or not a specific process level needs to be carried out. At design time, BRF events are defined and business rules are assigned to them. The events are assigned to process levels so that, at runtime, the process-controlled workflow can use them as entry points to the BRF. The business rules contain expressions that analyze document data and return a result, for example, the total shopping cart value or the product category of an item. Depending on this result, the corresponding process level is either activated or not activated. The process level evaluation runs in loop cycles and is repeated each time a process level is finished, provided that no level restart has been requested. You can also use the BRF for stochastic document checks, that is, for a random check of documents according to a percentage defined in a BRF expression. You can apply this check for all business object types. For example, you can determine that only 30% of all invoices should be checked. The process

level to which you assign the corresponding expression is then only activated with a probability of 30%. Stochastic document checks can be combined with other BRF rules. For example, you can determine that 30% of all invoices below USD 500 be checked. For more information about the BRF, see SAP Help Portal at http://help.sap.com . SAP ERP SAP

ERP Central Component Cross-Application Services Business Rule Framework (BRF)

Automatic Decision
An automatic decision by the system is necessary if the system cannot determine a responsible agent for a process schema. This is the case if one of the following conditions applies: The process schema contains only a process level of the type automatic. You can configure whether the system approves or rejects the document. The process schema contains several process levels, but only the process level of the type automatic is activated at runtime. You can configure whether the system approves or rejects the document. The process schema contains several process levels, but none of them is activated at runtime. The system then automatically rejects the document.

6.8.1.1.2 Approval with Completion

The approval process design takes into account that documents are often incomplete and require completion or at least a document check by a specialist. This is especially true for shopping carts. In such cases, the process schema provides process levels of the type approval with completion, subsequently called completion levels. If the process schema contains a completion level, it always precedes the approval levels. For completion levels, the SAP Business Workflow starts template WS40000017 (Completion Subworkflow).

Process
1. The completion level is triggered if one of the start conditions defined in Customizing applies, for example: Free text items exist Items without supplier exist Items without price exist Requester of the shopping cart is not a purchaser

2. The system determines the alternative responsible agents for the document and generates work items that the agents can access in the Universal Worklist (UWL). Typically, the responsible agent is a purchaser from a specific purchasing department or a category manager responsible for a specific product category. During the completion level, only decision types 1 and 2 are possible, that is, the document cannot be split into several decision sets. For more information, see Decision Types. 3. One of the responsible agents accesses and processes the work item, which is then locked for the other users. During the completion level, the agent can change the document.

If the agent changes the shopping cart, a work item is sent back to the requester. However, to accelerate the process, the agent can also release the document immediately without involving the requester again. The following table shows the typical actions taken in a completion level and their consequences for the process flow: Agent Work Item Type Approver Decide Rejects shopping cart If configured, work item of type adjust sent to requester for acceptance Rejects at least one but not all shopping cart items Completes and approves shopping cart Approval process not complete: next process level determined Approval process complete: if configured, work item of type adjustsent to requester Changes shopping cart and sends back to requester (Inquirefunction) Requester Adjust Accepts rejection Accepts partial rejection Work item of type adjustsent to requester Work item of type adjustsent to requester Action Consequence

Shopping cart not released Rejected items deleted; next process level determined

Accepts changes Makes further changes Not applicable Revise Changes shopping cart Edits shopping cart using POWL

Next process level determined Process level restart Open work items called back; work item of typerevise created for requester Complete restart

Note
In general, changes to a document can only be made if the agent has a work item for this document in his or her UWL. Therefore, if a requester wants to make changes to a shopping cart, the system calls back all generated work items and creates a new work item for the requester.

6.8.1.1.3 Approval
A process schema can contain one or more process levels of the type approval. During the approval level, the responsible agents can approve or reject items of a shopping cart. The number of approval process levels depends on the process schema and on whether the start conditions for a given process level apply for the shopping cart. For approval levels, the SAP Business Workflow starts template WS40000017 (Approval Subworkflow).

Process
1. The approval process is triggered if one of the start conditions defined in Customizing applies, for example: Total value exceeds defined value Line item value exceeds defined value (line item approval)

2. The system determines the (alternative) responsible agents for the relevant decision set and creates a work item for them. During the approval level, a number of decision types are possible. For more information, see Decision Types. 3. One of the responsible agents accesses and processes the work item, which is then locked for the other users. The following table shows the typical actions taken in an approval level and their consequences for the process flow: Agent Work Item Type Approver Decide Rejects shopping cart If configured, work item of type adjust sent to requester for acceptance Rejects at least one but not all shopping cart items Approves shopping cart Approval process not complete: next process level determined Approval process complete: if configured, work item of type adjustsent to requester Requester Adjust Accepts rejection Accepts partial rejection Not applicable Revise Edits shopping cart using POWL Changes shopping cart Shopping cart not released Next process level determined Open work items called back; work item of typerevise created for requester Complete restart Work item of type adjustsent to requester Action Consequence

Note
By default, document changes are not allowed during the approval process, except for rejecting items, and adding or changing approval notes and attachments. However, the system can be configured in a way to allow single fields of the document to be changed, or actions to be used, even during the approval process. For more information, see SAP Note 1277921 and SAP Solution Manager under Configuration SAP SRM <release> Workflow Process Definition. Basic Settings for SAP SRM Process-Controlled Workflow Process-Controlled Workflow Settings <project name> Business

Cross-Application Settings

, in the section Approval

6.8.1.1.4 Approval Workflow Features

You can use the following features to adapt flexibly the approval workflow process flow at runtime.

Back-and-Forth Processing
In a process level of the type approval with completion, this property enables the creator of a purchasing document and the currently responsible agent to communicate with each other, for example, in the case of open questions or changes to the document. By using the Inquire pushbutton provided by the Universal Worklist (UWL), the approver can send the work item back to the creator including, if necessary, a comment or question. The creator can then change the document and send it again. In a process level of the type approval, back-and-forth processing is possible in the case of rejected items: In the case of a partial rejection, the requester receives a work item informing him or her about the rejection. The requester can then change the document. In the case of a complete rejection, the requester receives a work item if the system has been configured accordingly in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Cross-Application Basic Settings Business Workflow Process-Controlled Workflow Business Process Configuration Define Process Levels . The requester can then change the document. The requester can also select Work Item to Requester at Process End in the approval process overview while creating a shopping cart. The system then sends a work item even if this has not been configured in Customizing.

Inserting Ad Hoc Agents

Any person participating in a workflow process can insert ad hoc agents in addition to the responsible agents that the system determines based on the process schema. The system creates a work item for the ad hoc agent on any process level after the current one. The decision set and the decision type for the ad hoc agent are identical to the ones in the current process level.

Inserting Reviewers
You can add reviewers to the approval process. Reviewers can follow the entire approval process for a procurement document, independent of which decision type applies. In particular, they can do the following: Display the document Display existing attachments or create new ones Add notes Insert further reviewers

Reviewers cannot approve or reject the document and they cannot add further approvers. The system records whether the reviewer has accessed the work item or taken any action. The following options are provided to add reviewers: User adds ad hoc reviewer Document creators and approvers who are assigned a work item can add ad hoc reviewers to the approval process. The Business Add-In (BAdI) Adjust Search Help for Reviewer (/SAPSRM/BD_WF_REVIEWER_F4) allows you to specify who is authorized to add ad hoc reviewers and who can be added as an ad hoc reviewer.

System adds reviewers based on rules Apart from adding ad hoc reviewers, it is also possible to configure the system such that reviewers are inserted automatically into the approval process, according to rules. The system determines reviewers in the same way that it determines approvers, for instance, by specific document fields, such as product category or accounting type, by business object attributes, or by specific roles or users. The BAdI Define Reviewers (/SAPSRM/BD_WF_REVIEWER_RULE) is supplied to assign documents to groups of agents for review.

Note
Document changes during an approval process can have an impact on the reviewer assignment.

Forwarding Work Items

Forwarding work items is a feature provided by the UWL. Any recipient of a work item can use the Forwardpushbutton in the UWL to forward the work item to another user. You can search for a certain user in a list and forward the work item to this user. The selected user can then process the work item.

Caution
The list of users is not restricted to the possible agents of a work item.

Note
Forwarding work items can also be done using the Business Workplace (transaction code SBWP).

Forwarding for Administrators

Administrators may want to forward work items that they have not received themselves in their UWL. For instance, forwarding work items might be necessary if the responsible agent assigned to the work item is not available. You can forward work items as an administrator by using transaction SWIA, a feature of the SAP Business Workflow. Enter selection criteria to search for a specific work item. Select the work item and choose theAdministrator Forward pushbutton. Administrators can also process the work item or send it back to the requester.

Assigning Substitutes
Assigning substitutes, for example, for periods of absence, is a feature provided by the UWL. Depending on the substitution rules you set, substitutes can receive your work items directly in their UWL, or they can actively take over your work items. For more information, see SAP Help Portal at http://help.sap.com under SAP Library Getting Started Using SAP Software and Features Using Universal Worklist Features in the UWL Substitution . Working with Tools

Process Restart
Restarting an approval process is necessary if the requester or the responsible agent changes the document. Using the BAdI Manage Process Restarts (/SAPSRM/BD_WF_PROCESS_RESTART), the system can override the standard system behavior for process restarts. The process is then restarted at the same active level.

Note

In the case of a complete process restart, ad hoc agents that have previously been added are not taken into account. They must be added again. If you override the standard process, you cannot add an ad hoc approver at the process level that precedes the active process level. If a process restart takes place, all existing work items are called back and deleted. The system does not start a new process instance. Process levels that have already been processed are not removed from the process history.

6.8.1.1.5 Approval Workflow for Purchase Order Responses

Approval processes for purchase order responses (POR) do not use the process-controlled workflow framework and consequently do not require the related business process configuration or Business AddIns (BAdIs). Instead, the process logic is hard-coded. The following start conditions are checked: The data is within the tolerances defined in Customizing for Supplier Relationship Management (SRM) under SRM Server Cross-Application Basic Settings Set Tolerance Checks . No differences exist between purchase order (PO) and POR.

If both start conditions are true, the POR data is transferred to the PO without the need for any further manual data entry. If one of the start conditions is not fulfilled, the purchaser receives a workflow work item. E-mail notifications or alerts are not sent. If you want to modify the logic for agent determination or the start conditions, you can implement the BAdI POR Start Conditions and Agent Determination (BBP_PCO_WFL_BADI). This BAdI contains the following methods: DETERMINE_AGENT (to determine agents) START_WORKFLOW (to define start conditions)

Note
If you have switched from application-controlled workflow framework to process-controlled workflow framework, you must deactivate the start conditions for the templates WS14500001 and WS14500019.

6.8.1.1.6 Offline Approval

Approvers of shopping carts can process work items without logging on to the SAP Supplier Relationship Management (SAP SRM) system. The system can send work items by e-mail so that users can process them in their Microsoft Outlook mail client.

Note
The work items that are selected for offline approval remain in the approver's Universal Worklist (UWL) until the reply e-mails containing the decisions are received and processed by the SAP SRM system. If the work items have since been processed online, the system ignores the reply e-mails.

Prerequisites
In the Customizing activity Change Organizational Plan (transaction PPOMA_BBP), you have set the attributeFORWARD_WI to 'X' for all users that are to use the offline approval function. Alternatively, users can set the attribute by maintaining their user settings in the SAP SRM application under Personalize SRM User Settings . In the Personal Data area, on the Position tab page, select Flag: Forward Work Item from the Attributes dropdown box. Select the Yes radio button for Forward Work Item. Using the User Maintenance transaction (SU01), you have entered the following: o o The e-mail address of the system user WF-BATCH The e-mail addresses of all users that are to use the offline approval function

Features
E-Mail Settings
You can use report /SAPSRM/OFFLINEAPPROVALSEND to define settings for the e-mails that the system sends for offline approval. These settings can be specified for certain tasks, business objects, or work items. You can, for example, set the message frequency to be one e-mail per work item.

Note
To ensure that the e-mails are generated with the correct hyperlink, follow the instructions described in SAP note 1502282. You can also do the following: Define whether e-mails are sent in HTML or plain text Choose whether approval pushbuttons should be displayed in the e-mail

Note
If you choose Not Available in the report, the recipient cannot approve or reject the document offline but must use a link to log on to the SAP SRM system to process the work item there. Choose whether the e-mails contain a short text (work item text) or a full text (task description of the workflow task) Choose the e-mail language Select whether a print version of the document and other document attachments is to be attached to the e-mail Define a standard notification text Define that only work items created after a certain time or created by a certain user are to be considered

Note
This function is only available if you start the report manually. If a periodic run has taken place before you start the report manually, it is possible that e-mails are sent again that had already been sent during the periodic run. Enter the return address of the e-mails. The return address must be identical to the recipient address in SAPconnect.

Choose whether you want to encrypt and/or digitally sign e-mails when you send them. For more information, see SAP note 149926. In the method APPEND_TO_SUBJECT of Business Add-In Connect External Security Proxies to SAPconnect (SX_SECURE_EMAIL), you can specify the information that the mail system needs for encryption and digital signatures.

Outbound Processing
You use the Business Add-In (BAdI) Customer Enhancement of Offline Approval (BBP_OFFLINE_APP_BADI) for outbound processing. For more information, see the BAdI documentation in Customizing for SAP SRM under Process-Controlled Workflow SRM Server Business Add-Ins Business Workflow Customer Enhancement of Offline Approval .

Offline Approval by the Recipient

The approver can use a link to log on to the system directly and process the work item online. Depending on the settings made in report /SAPSRM/OFFLINEAPPROVALSEND, the e-mail can also contain two pushbuttons used to approve or reject offline. The decision then applies to the entire decision set, that is, the approver cannot decide individually for each item. When the approver chooses one of the pushbuttons, the system sends a reply e-mail.

Note
If the approver wants to add an approval note, he or she must do so before choosing the Approve or Rejectpushbutton.

Caution
It is possible to forward the e-mail to third parties. However, we do not recommend doing so. Provided that they have valid system logon data, other recipients can also use the link contained in the e-mail to log on to the SAP SRM system. For security reasons, the SAP SRM system only accepts reply e-mails from the e-mail address of the original recipient.

Inbound Processing
You use SAPconnect for inbound processing. For more information on SAPconnect, see SAP Help Portal at http://help.sap.com SAP NetWeaver Library SAP NetWeaver by Key Capabilities Application Platform by Key Capabilities Platform-Wide Services Connectivity Communication Interfaces for Mail and Telephony SAPconnect (BC-SRV-COM) . To activate inbound processing, go to transaction SO50 and create an entry with the following data: Communication Type: Internet Mail Recipient Address: valid e-mail address to which reply e-mails from approvers are to be delivered Exit Name: /SAPSRM/CL_OFFLINEAPP_INBOUND

Note
The following roles must be given to the SAPconnect user for offline approval: /SAPSRM/EMPLOYEE /SAPSRM/OP_PURCHASER When the system receives a reply e-mail from an approver, the specified class (Exit Name entered in transactionSO50) is used for processing. The work item ID, status, and the decision of the approver are evaluated. The system only processes reply e-mails from a sender that is identical to the recipient of the

corresponding notification e-mail. If the document is locked when the e-mail is received, or if immediate processing fails for any other reason, the reply e-mail is forwarded to the SAP Business Workplace inbox of the user who is assigned to the specified address.

Note
The processing parameters in inbound processing can be overridden using the BAdI Customer Enhancement of Offline Approval (BBP_OFFLINE_APP_BADI), method RECIPIENTS_GET CHK_SENDER_IND_SET.

6.8.1.2 Decision Sets

Decision sets are groups of items of a purchasing document in an approval process. Purchasing documents, such as shopping carts, can contain items belonging to different areas of responsibility, for example different product categories. Each area can have a different responsible agent. Instead of sending work items to a single agent, or to one after the other until the whole document is approved, the items of the document can be grouped into disjoint decision sets. A work item is created for each decision set. The responsible agents can view all items of the document, but can edit only the ones they have been assigned. All other items are inactive. The next process level can only be activated if all decision sets have been decided upon. The system can determine the number of decision sets in two different ways, depending on your Customizing settings: By way of a context function that analyzes item data By way of the organizational plan

Note
In the common line manager approval, the system does not create several decision sets. This is because the entire document is decided upon by the requester's direct line manager.

6.8.1.3Decision Types
During an approval process, agents can decide on purchasing documents in different ways, depending on the following criteria: Are the items of the document grouped into decision sets? Is the decision taken per decision set or per item?

There are four decision types:

Decision Type 1: Decision for Entire Document

The document is approved by a single agent as a single, indivisible unit of decision.

Decision Type 1

Decision Type 2: Item-Based Decision for Entire Document

The document is approved by a single agent. The decision is made individually for each item of the document.

Decision Type 2

Decision Type 3: Overall Decision for Partial Document

The items of the document are grouped into decision sets. Each decision set is approved by a separate agent. The decision applies to the entire decision set.

Decision Type 3

Decision Type 4: Item-Based Decision for Partial Document

The items of the document are grouped into decision sets. Each decision set is approved by a separate agent. The decision is made individually for each item of the decision set.

Decision Type 4

Decision type 4 is used, for example, for parallel approval with overlapping responsibility. In this case, however, an item of a shopping cart is part of several decision sets because it needs to be approved by several agents on one process level. For more information, see Agent Determination.

Note
Each process level is assigned one decision type. However, if the decision type chosen provides for an item-based decision (as in decision type 2 and 4), the user can still use the shortcut decision function in the Universal Worklist (UWL) and thus approve or reject all items at one time, just as in decision types 1 and 3.

When choosing decision type 3 or 4, the system creates several decision sets, depending on the areas of responsibility the items of the document belong to. For more information, see Decision Sets.

Note
For completion levels, only decision types 1 and 2 are available. When choosing decision type 1 or 3, the responsible agent makes a decision for the entire document or decision set, whereas with decision type 2 or 4, each item can be decided upon individually.

6.8.1.4 Agent Determination

For each process level, the system determines the agents responsible for completing or approving purchasing documents. Depending on your Customizing settings, more than one person can be responsible for the items in one document (see Decision Types). Agent determination is performed using the Business Add-In (BAdI) Define Agents(/SAPSRM/BD_WF_RESP_RESOLVER), which you can use to make your own process levelspecific implementations. SAP Supplier Relationship Management (SAP SRM) delivers implementations for the following typical scenarios: Responsible purchasers for shopping cart completion Line managers (by evaluating the reporting line) Users with a specific role Spending limit approval SRM Server

Parallel approval with overlapping responsibility For more information, see the BAdI documentation in Customizing for SAP SRM under Business Add-Ins Business Workflow Process-Controlled Workflow Define Agents .

For more information about the strategies on which these implementations are based, see SAP Service Marketplace at http://service.sap.com/instguides SAP Business Suite Applications SAP SRM SAP SRM Server 7.0 Workflow Guide SAP SRM 7.0 . You can also use this BAdI to specify fallback agents. Fallback agents receive a specific work item when the system cannot determine a responsible agent for this work item.

Caution
Note that you should use the fallback agents function with caution. Fallback agents are able to forward work items to the appropriate agents, but they can also process work items themselves, that is, they can approve or reject the items in a document.

Parallel Approval with Overlapping Responsibility

Instead of configuring a process schema with one process level for each responsible agent, you can also allow several agents to approve a specific item of a shopping cart on one process level. If you do so, all approvers receive a work item in parallel instead of one after the other in a fixed sequence. The approvers can then process their work items independently of each other. However, while a work item is being processed, the document is locked for other users.

The document can only receive the status Approved or enter the next process level after each agent has approved it. As soon as one agent rejects an item, all open work items are called back and the document status is set toRejected. Parallel approval with overlapping responsibility is possible for decision type 4 only. For more information about configuring parallel approval, see SAP Solution Manager under name> Configuration SAP SRM <release> . Business Workflow Process-Controlled Workflow Approval with Overlapping Responsibility Define Business Process Configuration <project

Basic Settings for SAP SRM Cross-Application Settings Configuring Parallel

To use this function, you must activate the business function SRM, Approval Process (SRM_APF_IMPR_1). The following Customizing activity is relevant: Cross-Application Basic Settings Responsibility (EHP1) . SAP Supplier Relationship Management SRM Server Business Workflow Activate Parallel Approval with Overlapping

Example
Parallel approval is possible for items with multiple account assignment. You can distribute costs across accounts by percentage, by quantity, or by value. If the responsibility for approving items with multiple account assignment is divided among several approvers, the system can create one work item for each approver.

6.8.1.4.1 Spending Limit Approval

A spending limit is the maximum value a shopping cart can have before it needs approval by a manager. You can configure your process schema for approval of shopping carts or purchase orders in such a way that a workflow is started when an employee's spending limit is exceeded. Agent determination is based on the approval limit of the possible approvers, that is, the limit up to which an approver is allowed to approve shopping carts or purchase orders. The Business Add-In (BAdI) Define Agentsprovides the BAdI implementations /SAPSRM/BD_WF_SC_RR_SL (for shopping cart) and/SAPSRM/BD_WF_PO_RR_SL (for purchase order) to determine the responsible agents, depending on their approval limits.

Note
Both spending limits and approval limits can be defined for individual users, organizational units, or roles. For individual users and organizational units, you define the limits in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Organizational Management Change Organizational Plan . For individual users, you can also use transaction SU01. You define roles under SRM Server Cross-Application Basic Settings Roles Define Roles . As soon as the process schema for spending limit approval is initiated, the BAdI Process Level Configurationdetermines the number of necessary process levels, depending on the total value of the shopping cart or purchase order. The BAdI provides the BAdI

implementations /SAPSRM/BD_WF_CONFIG_SC_SL (for shopping cart) and/SAPSRM/BD_WF_CONFIG_PO_SL (for purchase order). You can implement spending limit approval in two ways: Approval by one manager only Only the approver with the highest approval limit in the list of all determined approvers receives a work item. All approvers with approval limits that are lower than the total value of the shopping cart or purchase order are omitted. Step-by-step approval in ascending order of the approval limits of the managers of the organizational unit All determined approvers receive, one after the other, a work item with a request to approve it or reject it. The total value of the shopping cart determines the number of steps in the approval process. The list of approvers is updated dynamically after each process level. This allows flexible reaction to changes in the total value of the shopping cart. For example, approvers can be added if, during the approval process itself, the total value of the shopping cart increases beyond the approval limit of the current final approver.

Example
You have defined the following approval limits: Manager 1: USD 1,000 Manager 2: USD 5,000 Manager 3: USD 10,000 Manager 4: USD 100,000

If the total value of the shopping cart is less than USD 1,000, manager 1 can approve the shopping cart, as his or her approval limit is sufficient. If the total value of the shopping cart is USD 90,000, agent determination depends on the way in which you have implemented spending limit approval: Approval by one manager only Only manager 4 needs to approve the shopping cart. All other approvers are skipped. Step-by-step approval All four managers have to approve the shopping cart. However, each manager can change the shopping cart. If, for example, manager 3 deletes items from the shopping cart so that the total value becomes less than USD 10,000, manager 4 is no longer required in the approval process.

6.8.1.5 Deadline Monitoring

Deadline monitoring is a workflow runtime system function that monitors the start and end deadlines for the processing of selected work items in an approval process. The following deadlines are already considered in the workflow templates WS40000016 (Approval Workflow) and WS40000017 (Completion Workflow): Latest Start Date/Time Requested End Date/Time Latest End Date/Time

Note

This function does not affect the monitoring workflow WS14500035.

Prerequisites
You have set your deadlines in Customizing for SAP Supplier Relationship Management by choosing SRM Server Cross-Application Basic Settings Event and Event Schema for Alert Management Define Events . If you want to calculate your deadlines dynamically, you have implemented the Business Add-In (BAdI) Define Deadlines for Events (/SAPSRM/BD_WF_DEADLINES).

Features
If a certain deadline has past, the system informs the user of this with either a message or an alert, depending on your Customizing settings. Whether you choose to send a message or an alert depends on how critical the event is. Messages are reminders that are delivered by e-mail and do not require immediate action. Alerts inform the user about critical events. They contain a link to the affected document so that the recipient can react immediately. Alerts are delivered to the alert inbox in the Universal Worklist (UWL).

6.8.1.6 Business Configuration Sets

SAP Supplier Relationship Management (SAP SRM) provides configuration settings for processcontrolled workflows by way of Business Configuration Sets (BC Sets). Using a BC Set to configure a workflow means you do not need to configure the Business Rule Framework (BRF) nor define a process schema for this process; this is done automatically.

Prerequisites
To use a BC Set, you must first activate it using the transaction Business Configuration Sets: Activation (SCPR20).

Features
BC Sets are available for the following business objects: Shopping cart Purchase order Confirmation Invoice Contract Quote RFx

For each of these business objects, there is one BC Set to customize a process without approval, and one to customize a process with one-step manager approval. When you activate a BC Set, the system automatically creates a process schema and configures all necessary process levels. For each business object, you can activate one BC Set only.

6.8.1.7Application-Controlled Workflows
SAP Supplier Relationship Management (SAP SRM) uses process-controlled workflows for approval processes since release SAP SRM 2007 (SAP SRM 6.0); see Process-Controlled Workflows. However,

some of the application-controlled workflows (used in releases SAP SRM 5.0 and earlier) are not affected by the new workflow framework. This section lists the workflows that are still based on the applicationcontrolled workflow framework. Workflow for: Contract (CTR) WS10400022 Alert workflow New bidder/supplier WS10000209 Transfer of SC to PM system WS10000202 Lock SUS suppliers WS145000021 Procurement card WS10000093 First approval WS10000100 Second approval Approval of card charges: The cardholder is responsible for approval unless the settlement value exceeds the spending limit set in Customizing. If this is the case, the manager is responsible for approval. For more information, see Customizing for SAP Supplier Relationship Management under SRM Server Procurement Card Process Procurement Card . This is a notification workflow used after a SUS supplier has been locked. All purchasers of the purchasing organization of the locked supplier receive a notification by e-mail. This workflow causes a shopping cart to be transported as requirement coverage request to the PM back-end (only for classic scenario). This workflow starts when a bidder or supplier requests a new user for the SAP SRM system. For more information, see Approval Workflow for Creating External Users. Scenario The alert workflow reacts to certain events that are evaluated by SRM Alert Management. For more information, see Alert Workflow for Contracts.

Activities
You configure the application-controlled workflow settings in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Business Workflow ApplicationControlled Workflow .

6.8.1.7.1 Alert Workflow for Contracts

The alert workflow for contracts (WS10400022) is triggered if value limits of contracts are exceeded (THRESHOLD_EXCEEDED), contracts have expired (GOING_TO_EXPIRE) or evaluations in the SAP NetWeaver Business Intelligence create the event ALERTBUSINESSWAREHOUSE. (The first two events are triggered by the contract report BBP_CONTRACT_CHECK.) These events are evaluated by SRM Alert Management. Depending on the Customizing settings (for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Event and Event Schema for Alert Management Define Event Schema ) this workflow task is started or an alert or a notification message is sent. The workflow notification contains a link to the affected contract. All purchasers of a purchasing group that are assigned to the contract are potential recipients of this workflow. Activate the appropriate workflow events to use this workflow.

6.8.1.7.2 Approval Workflows for Creating External Users

In SAP Supplier Relationship Management (SAP SRM), registered employees of external business partners, for example, suppliers and bidders, can submit additional employees from their company to be registered as contact persons in the SAP SRM system. If the external business partner and employee have not yet been registered, external employees can register the company as a supplier, bidder, or portal bidder and register themselves as the contact person of that company. When the registration application is saved, the approver responsible (a professional purchaser or system administrator) receives a work item in the SAP SRM system. Using the work item, approvers reach the application Managing External Business Partners, where they can adopt and complete the data from the registration application. Approvers must inform the applicants of the approval or rejection of their registration application and of the logon data for the SAP SRM system. This can be done by e-mail using the application Managing External Business Partners.

Prerequisites
You have defined the processor responsible. To do so, copy standard workflow WS10000209 (Approving the registration of external business partners (suppliers, and bidders)) and define the approver in the workflow. Then activate the event linkage for the newly created workflow.

6.9 Supplier Qualification

Supplier Qualification with SAP SRM
The business scenario Supplier Qualification comprises the following functions: Supplier registration Supplier preselection

Supplier directory You can use Supplier Qualification with SAP SRM and SAP ERP as a back-end system, or only using SAP ERP. The following tables show the relationship between the above functions. The first table (Supplier Registration, Supplier Preselection, and Supplier Directory without Separate Registration System) is valid if you have activated the business function SRM, Supplier Collaboration (SRM_SUCO_1). The second table (Supplier Registration, Supplier Preselection, and Supplier Directory with Separate Registration System) is valid if you have not activated the business function SRM, Supplier Collaboration (SRM_SUCO_1).

Supplier Registration, Supplier Preselection, and Supplier Directory without Separate Registration System
The following Customizing activity is relevant: Collaboration Supplier Self-Registration Steps Supplier registration Sub-Steps The purchaser sends an invitation e-mail to a potential supplier, or a potential supplier calls up the Web site of the purchasing company. The potential supplier calls up a URL that opens the selfregistration page in the supplier self-services system. The potential supplier enters their master data and assigns themselves to one or more product categories. The potential supplier is registered in the supplier selfservices system as a business partner with thePotential Supplierrole. The potential supplier automatically receives a link to one or more questionnaires (a general questionnaire and one questionnaire for each product category). You can define which questionnaire to use for which product category in Customizing for SAP Supplier Relationship Management under Supplier Collaboration Supplier Self-Registration Questionnaire Settings Assign Questionnaire and Language to Product Category The potential supplier fills out the questionnaires. The questionnaires are stored in the supplier self-services system. SAP Supplier Relationship Management . Supplier Activate/Deactivate Supplier Self-Registration

Results -

Steps Supplier preselection -

Sub-Steps The purchaser calls up Supplier Preselection in the SRM Server system. The purchaser reviews the master data and the questionnaires in the supplier self-services system and either accepts or rejects the potential supplier.

Results -

Accepted potential suppliers appear in the supplier directory.

Supplier transfer

The purchaser selects a supplier from the supplier directory in SAP SRM and transfers this supplier into the SRM Server System using OPI.

Supplier master records are created in the SRM Server system. An XML message is sent to supplier self-services. The supplier data is transferred to the Business Partner Change Monitor (SAP SRM) and can be transferred from there to the SAP ERP system.

Supplier enablement -

The supplier self-services system sends an e-mail with a registration number to the supplier. The supplier uses the registration number to create a user in supplier self-services.

The supplier can change his or her master data in supplier self-services.

The changes are transferred to the supplier directory. -

Data transfer

The purchaser sees these changes in the Business Partner Change Monitor.

In the Business Partner Change Monitor, the purchaser triggers the automatic update of master data using the Transfer Change to Backend button.

The master data is automatically updated in SAP ERP.

Supplier Registration, Supplier Preselection, and Supplier Directory with Separate Registration System
Steps Supplier registration Sub-Steps The purchaser sends an invitation e-mail to a potential supplier, or a potential supplier calls up the Web site of the purchasing company. The potential supplier calls up a URL that opens the selfregistration page in the supplier registration system (ROS system). The potential supplier enters their master data and assigns themselves to one or more product categories. The potential supplier is registered in the ROS system as a business partner with the Potential Supplierrole. Results -

The potential supplier automatically receives one or more questionnaires (a general questionnaire and one questionnaire for each product category). You can define which questionnaire to use for which product category in Customizing for SAP Supplier Relationship Management under SRM Server Supplier Registration Basic Settings Assign Questionnaire and Language to Product Category

The potential supplier fills out the questionnaires and returns them.

The questionnaires are stored in the ROS system. -

Supplier preselection -

The purchaser calls up Supplier Preselection in the SRM Server system. The purchaser reviews the master data and the questionnaires in the ROS system and either accepts or rejects the potential supplier.

Accepted potential suppliers appear in the supplier directory.

Supplier transfer

The purchaser selects a supplier from the supplier directory in SAP SRM and transfers this supplier into the SRM Server System using OPI.

Supplier master records are created in the SRM Server system. If a supplier in the master data record is flagged as a portal supplier, an XML message is sent to supplier self-services. The supplier data is transferred to the Business Partner Change Monitor (SRM Server) and can be transferred manually from there to the SAP ERP system.

Supplier enablement -

The supplier self-services system sends an e-mail with a registration number to the supplier. The supplier uses the registration number to create a user in supplier self-services.

The supplier can change his or her master data in supplier self-services.

The changes are transferred to the supplier directory. -

Data transfer

The purchaser sees these changes in the Business Partner Change Monitor.

In the Business Partner Change Monitor, the purchaser triggers the automatic update of master data using the Transfer Change to Backend button.

The master data is automatically updated in SAP ERP.

Supplier Qualification with SAP ERP

For more information, see Supplier Qualification with SAP ERP.

Prerequisites
You have carried out the necessary configuration steps. See SAP Solution Manager under name> Configuration SAP SRM <release> Basic Settings for Supplier Qualification . <project

6.9.1 Supplier Qualification with SAP ERP

The first section (Supplier Qualification with Automatic Transfer to SAP ERP) is valid if you have activated the business function SRM, Supplier Collaboration (SRM_SUCO_1). The second section (Supplier Qualification with Manual Transfer to SAP ERP) is valid if you have not activated the business function SRM, Supplier Collaboration (SRM_SUCO_1).

Supplier Qualification with Automatic Transfer to SAP ERP

After you have accepted a supplier in Supplier Preselection, the Transfer button is active in the Supplier Preselection work center in supplier self-services. You require the role /SAPSRM/SUCO_PROCESSOR. Using the button, you can automatically transfer such a supplier to the SAP ERP system. The following table shows the relationship between supplier registration, supplier preselection, and SAP ERP functions: The following Customizing activity is relevant: Collaboration Supplier Self-Registration Steps Supplier registration Sub-Steps The purchaser sends an invitation e-mail to a potential supplier, or a potential supplier calls up the Web site of the purchasing company. The potential supplier calls up a URL that opens the self-registration page in supplier supplier self-services. The potential supplier enters their master data and assigns themselves to one or more product categories. The potential supplier automatically receives a link to one or more questionnaires (a general questionnaire and one questionnaire for each product category). You can define which questionnaire to use for which product category in Customizing for SAP Supplier Relationship Management under SRM Server Supplier Registration Basic Settings Assign Questionnaire and Language to Product Category The potential supplier fills out the questionnaires. The questionnaires are stored supplier selfservices. The potential supplier is registered in the supplier self-services system as a business partner with thePotential Supplier role. SAP Supplier Relationship Management . Supplier

Activate/Deactivate Supplier Self-Registration Results -

Steps Supplier preselection -

Sub-Steps The purchaser calls up Supplier Preselection in supplier self-services. The purchaser reviews the master data and the questionnaires in supplier self-services and either accepts or rejects the potential supplier.

Results The Purchaser can display all potential suppliers. For accepted potential suppliers, the Transfer button is enabled in supplier self-services.

Supplier transfer

The purchaser selects accepted potential suppliers and transfers them to SAP ERP.

An XML/IDoc message is sent to SAP ERP and/or an e-mail is sent to the accounts payable clerk in SAP ERP. You define the transfer settings in Customizing for SAP Supplier Relationship Management (SAP SRM) under Supplier Collaboration Supplier Self-Registration Define Transfer Settings . Supplier Transfer

The accounts payable clerk checks the IDoc list (we05), completes the missing data in the IDoc and restarts the inbound IDoc, if necessary.

The supplier data is transferred to SAP ERP.

Data transfer from SAP ERP to supplier selfservices Supplier enablement

After classifying the supplier as a supplier self-services supplier in SAP ERP, the generated vendor number is sent back to supplier self-services. The supplier receives an e-mail with logon information for the supplier self-services system.

The supplier can change his or her own data in the supplier self-services system.

The changes to the supplier data are copied to the Business Partner Change Monitor. There, the purchaser can trigger the automatic update of master data using theTransfer Change to Backendbutton.

The master data is automatically updated in SAP ERP.

Supplier Qualification with Manual Transfer to SAP ERP

After you have accepted a supplier in Supplier Preselection, the supplier is visible when you call Transfer Supplier in the side menu of the supplier registration (ROS) system. You require the role /SAPSRM/SUS_ROS_PROCESSOR. Suppliers that you transfer using Transfer Supplier appear in the supplier monitor of the supplier registration system. You can import these suppliers manually into the SAP ERP system. The following table shows the relationship between supplier registration, supplier preselection, and SAP ERP functions:

Steps Supplier registration

Sub-Steps The purchaser sends an invitation e-mail to a potential supplier, or a potential supplier calls up the Web site of the purchasing company.

Results -

The potential supplier calls up a URL that opens the selfregistration page in the supplier registration system (ROS system).

The potential supplier enters their master data and assigns themselves to one or more product categories.

The potential supplier is registered in the ROS system as a business partner with the Potential Supplierrole.

The potential supplier automatically receives one or more questionnaires (a general questionnaire and one questionnaire for each product category). You can define which questionnaire to use for which product category in Customizing for SAP Supplier Relationship Management under SRM Server Supplier Registration Basic Settings Assign Questionnaire and Language to Product Category

The potential supplier fills out the questionnaires and returns them.

The questionnaires are stored in the ROS system. Purchaser displays all potential suppliers. Accepted potential suppliers appear under Transfer Supplier in the side menu of the ROS system.

Supplier preselection -

The purchaser calls up Supplier Preselection in the ROS system. The purchaser reviews the master data and the questionnaires in the ROS system and either accepts or rejects the potential supplier.

Supplier transfer

The purchaser selects accepted potential suppliers and converts them to suppliers.

Converted suppliers are visible in the supplier monitor in the ROS system.

The purchaser checks the supplier monitor and sees new suppliers.

The purchaser transfers suppliers manually into the SAP ERP System.

Data transfer from SAP ERP to the ROS system

The business partner ID of the accepted suppliers is sent to the ROS system using SAP NetWeaver Process Integration.

Supplier enablement

The supplier receives an e-mail with logon information for the supplier self-services system.

The supplier can change his or her own data in the supplier self-services system.

The changes to the supplier data are copied to the Business Partner Change Monitor. There, the purchaser can trigger the automatic update of master data using theTransfer Change to Backendbutton.

The master data is automatically updated in SAP ERP.

6.9.2 Supplier Registration

This function is described in the process description of the business process Registering Suppliers. For more information about defining questionnaires, see Customizing for SAP Supplier Relationship Management (SAP SRM) under Supplier Registration Basic Settings Create/Change Questionnaire .

Integration
You can use supplier registration with SAP SRM and SAP ERP as a back-end system, or only using SAP ERP. Upon registration of potential suppliers, a duplicate check based on the company e-mail address is performed to check whether they already exist in SAP SRM or SAP ERP. Existing suppliers are prevented from registration. For you as a purchaser, the suppliers that come through supplier registration are all potential new business partners. However, the data pertaining to these suppliers is not immediately available to you in SAP SRM or SAP ERP.

Note
A supplier from supplier registration does not become a business partner in SAP SRM until the following steps have been carried out: You have accepted the supplier in Supplier Preselection. You have called up the Supplier Directory using OPI and transferred the supplier into the SRM Server System.

6.9.3 Supplier Preselection

If you have activated the business function SRM, Supplier Collaboration (SRM_SUCO_1), you can use Supplier Preselection in Supplier Self-Services. If you have not activated the business function SRM, Supplier Collaboration (SRM_SUCO_1) the text following below applies. In supplier preselection you can select from those suppliers that have entered their data in Supplier Registration. By accepting suppliers, you decide the following: Which suppliers are to be visible to the purchaser in SAP Supplier Relationship Management (SAP SRM) using the OPI link. This applies if you use supplier registration with SAP SRM.

Which suppliers can be transferred to the SAP ERP back-end system. This applies if you use supplier registration with SAP ERP and without SAP SRM.

Supplier Preselection with SRM Server

The suppliers that you have accepted in supplier preselection appear in the Supplier Directory. From the supplier directory, the purchaser can transfer suppliers as operational suppliers into SAP SRM using an Open Partner Interface (OPI). For example, you can access accepted potential suppliers while creating suppliers. You do this using the Add External Supplier From button.

Note
A supplier's data only becomes available for business partner management after you have transferred the supplier from the supplier directory into the SAP SRM system. You do this using the Add External Supplier Frombutton.

Supplier Preselection with SAP ERP

You can find accepted suppliers in the supplier registration (ROS) system under Transfer Suppliers. After transfer, the suppliers are displayed in the supplier monitor for manual transfer to SAP ERP.

Prerequisites
Supplier Preselection with SRM Server
You have been assigned at least one of the following roles: Purchasing Assistant Professional Purchaser Operational Purchaser

Strategic Purchaser The Preselect Suppliers transaction is delivered with single roles. To use the transaction, you must enter the URL for supplier preselection in the single role. Then you must update and activate the composite role.

Supplier Preselection with SAP ERP

You have logged on to the supplier registration system with the role /SAPSRM/SUS_ROS_PROCESSOR.

Features
You can view the supplier data including the completed questionnaire. All newly registered suppliers have the statusNew. You can assign the following statuses: Accepted You assign this status to suppliers that are of interest to your company. Rejected Rejected suppliers do not appear in the supplier directory and are not visible in the supplier registration system underTransfer Supplier. In addition, suppliers in supplier preselection can have the following statuses: Released These suppliers are already operational suppliers in SAP SRM. Locked These suppliers have already been operational but have been locked in SAP SRM business partner management.

Activities

Supplier Preselection with SAP SRM

In the Strategic Purchasing work center, select Business Partner Preselect Suppliers . To display details for a supplier, click the supplier name.

Supplier Preselection with SAP ERP

Select Supplier Preselection in the supplier registration system.

6.9.4 Supplier Preselection in Supplier SelfServices

To use this function, you must activate the business function SRM, Supplier Collaboration (SRM_SUCO_1). With the enhanced supplier preselection functions, you use the potential suppliers overview in supplier self-services to accept or reject suppliers. From this overview, you can also transfer accepted potential suppliers to SAP ERP automatically. The following Customizing activity is relevant: Collaboration Supplier Self-Registration SAP Supplier Relationship Management . Supplier

Activate/Deactivate Supplier Self-Registration

In supplier preselection you can select from those suppliers that have entered their data in Supplier Registration. By accepting suppliers, you decide the following: Which suppliers are to be visible to the purchaser in SAP Supplier Relationship Management (SAP SRM) using the OPI link. This applies if you use supplier registration with SAP SRM. Which suppliers can be transferred to the SAP ERP back-end system. This applies if you use supplier registration with SAP ERP and without SAP SRM.

Supplier Preselection with SRM Server

The suppliers that you have accepted in supplier preselection appear in the Supplier Directory. From the supplier directory, the purchaser can transfer suppliers as operational suppliers into SAP SRM using an Open Partner Interface (OPI). For example, you can access accepted potential suppliers while creating suppliers. You do this using the Add External Supplier From button.

Note
A supplier's data only becomes available for business partner management after you have transferred the supplier from the supplier directory into the SAP SRM system. You do this using the Add External Supplier Frombutton.

Supplier Preselection with SAP ERP

You can transfer accepted potential suppliers automatically to SAP ERP. You do this using the Transfer button in the potential suppliers overview in supplier self-services.

Caution
If you specify more than one back-end system, you can only transfer suppliers from the supplier details, not from the POWL displaying the potential supplier overview.

Prerequisites

Supplier Preselection with SRM Server

You have been assigned at least one of the following roles: Purchasing Assistant Professional Purchaser Operational Purchaser

Strategic Purchaser The Preselect Suppliers transaction is delivered with single roles. To use the transaction, you must enter the URL for supplier preselection in the single role. Then you must update and activate the composite role.

Supplier Preselection with SAP ERP

You have logged on to supplier self-services with the role /SAPSRM/SUCO_PROCESSOR.

Features
The statuses that are available for potential suppliers in supplier self-services are displayed in the following graphic:

Activities

Supplier Preselection with SAP SRM

In the Strategic Purchasing work center, select Business Partner Preselect Suppliers . To display details for a supplier, click the supplier name.

Supplier Preselection with SAP ERP

Select the Supplier Preselection work center in supplier self-services.

6.9.5 Supplier Directory

The suppliers that you have accepted in Supplier Preselection appear in the Supplier Directory. You can call up the supplier directory from the following functions: When you create a bidder in the RFx maintenance In the approved supplier list In business partner maintenance

The supplier directory displays the master data of potential suppliers such as name, address and contact information - in tabular form. You can look at the contents - if available - of the product-related questionnaires that a supplier has filled out on registration. You can transfer the potential suppliers from the supplier directory as bidders or suppliers into the SRM Server System (pushbutton Transfer Supplier).

Note
A supplier's data only becomes available for business partner management after you have transferred the supplier from the supplier directory into the SRM Server System.

Integration
This function is used in the business scenarios Strategic Sourcing with Live Auction and Strategic Sourcing with RFx.

6.9.6 Business Partner Change Monitor

Business Partner Change Monitor in SRM Server
You can use this function as a purchaser to check changes made to supplier master data. Master data changes can reach the SAP Supplier Relationship Management (SAP SRM) system in two ways: Suppliers change their own data in supplier self-services. Purchasers change supplier data in business partner management in SRM Server. You have created a supplier master record manually in the SRM Server. You have transferred a supplier from the Supplier Directory to the SRM Server.

New supplier master data can reach the SAP SRM system in the following ways:

You can transfer the changes automatically to the appropriate back-end system, provided that the supplier already exists in the back end.

Busines Partner Change Monitor in Supplier Self-Services

To use this function, you must activate the business function SRM, Supplier Collaboration (SRM_SUCO_1).

The following Customizing activity is relevant: Collaboration Supplier Self-Registration

SAP Supplier Relationship Management

Supplier

Activate/Deactivate Supplier Self-Registration

. If you have

activated this Customizing switch, the Business Partner Change Monitor is also available in supplier selfservices. It displays the changes that suppliers have made to their own data.

Restrictions

Caution
Note the following restrictions for both, the Business Partner Change Monitor in the SRM Server and in supplier self-services: Data specific to SAP SRM, such as the purchasing organization, or data specific to SAP ERP, for example, FI data, are not transferred from the Business Partner Change Monitor. You can use the transfer function for general master data, for example telephone numbers, or e-mail addresses. You cannot transfer more than one additional address to the back-end system.

Activities
Activities in SAP SRM
In the SRM Administration work center, workset Application Monitors, select the Business Partner Change Monitor. To transfer the changes to the back-end system, select a business partner and click Transfer Changes to Backend.

Activities in Supplier Self-Services

The following activities apply if you have activated the business function SRM, Supplier Collaboration(SRM_SUCO_1).

Prerequisites
You have activated the Customizing switch Supplier Self-Registration (SRM_701_SUCO_SUP_REG).

Activities
In the Application Monitors work center in supplier self-services, select the Business Partner Change Monitor. To transfer the changes to the back-end system, select a business partner and click Transfer Changes to Backend. If you do not want to transfer the changes to the back end, and you want to delete them in supplier selfservices, click Delete.

6.10 Supplier Self-Services

Supplier self-services (SUS) is a solution that reduces the costs of procurement cycles by improving the exchange of business documents and shortening the time it takes to process the content of these documents. While purchasers use familiar methods to order goods and services, SUS integrates suppliers into the procurement process to a much larger extent. Using SUS, suppliers do not need their own systems to supply goods and services, but have direct Internet access to the purchaser's procurement system via a Web browser. By this means, they are able to rapidly react to order functions received from the host.

Integration
You can use supplier selfservices with the following business scenarios: Service Procurement SUS is installed separately, and configured to work together with SAP SRM or SAP ERP as procurement system. From a technical aspect, the connection to SAP SRM represents a standalone scenario with aFinancial Accounting (FI) back-end system. Connecting to an SAP ERP system allows the user to collaborate on purchase orders containing service item hierarchies. Plan-Driven Procurement with Supplier Integration SUS is installed separately, and configured to work together with Materials Management (MM) as procurement system. This enables the procurement of direct materials. From a technical aspect, this represents a classicscenario with one or more MM back-end systems. In both scenarios, purchasers can enhance their selected procurement system to grant suppliers access to SUS. As of SAP SRM 7.0 and enhancement package 4 for SAP ERP 6.0, purchase orders, advanced shipping notifications (ASN), invoices, confirmations (service entry sheets), and evaluated receipt settlement (ERS) invoices (see the following sections) are transferred using the eSOA interface.

6.10.1 Business Partner Administration

Only after the initial business partner administration has been performed by the purchaser administrator, is the procurement process between the suppliers using Supplier Self-Services (SUS), and the purchaser's system possible. For this purpose, the purchaser must first obtain necessary information from the supplier including details about the services or products (direct materials) which the supplier is able to provide.

Prerequisites
As a purchaser administrator, you must have performed the following: Generated the relevant roles. For more information about roles, see Roles. Created the user with the user type Service, as well as the appropriate roles in transaction SU01

Process
The business partner administration process entails the following steps: 1. The supplier sends a registration application. 2. The system automatically forwards general and service-category-related questionnaires to the supplier to obtain the required information for the purchaser.

3. Based on the received questionnaires, the purchaser accepts a particular supplier. 4. A purchaser administrator centrally creates and replicates essential master data. 5. The purchaser determines whether accepted suppliers are authorized to administer their own user data and to create follow-on documents such as invoices. 6. The system informs the supplier how to access the procurement system.

Result
The suppliers can do the following: Participate in the procurement process Change their own user data (Can only be performed by a supplier administrator, or optionally by the purchaser.) Perform Analyses, see http://help.sap.com SAP NetWeaver BI Content Supplier Relationship SAP

Management Supplier Self-Services Participate in RFx (only in connection with the Service Procurement business scenario), see Library SAP Supplier Relationship Management Functions Sourcing RFx

6.10.1.1 Business Partner Administration for Service Procurement

SUS business partner administration involves the creation and replication of supplier master data by purchasers. This description handles the corresponding processes necessary for accepted service suppliers.

Process
Creation of Purchaser Master Data
The standard process applies.

Replication of Purchaser Master Data

To carry out a replication, call transaction BBP_SP_COMP_INI.

Creation of Supplier Master Data

To create supplier master data, you must select the Portal Supplier indicator. Afterwards, the following process then starts automatically: 1. SUS sends an e-mail notification to the supplier administrator. This e-mail contains the registration number (registration ID) and the URL required to log on to SUS. 2. The supplier administrator logs on to SUS and uses the registration number to create one or more users. 3. SUS automatically sends a registration e-mail, containing a registration number and URL, to each of the created users. 4. The supplier users log on to SUS.

Replication of Supplier Master Data

1. To replicate supplier master data, you must select the Portal Supplier indicator. This selection can be made before replication. When this indicator is set, the data is replicated automatically. 2. You must then call transaction BBP_SP_SUPP_INI.

6.10.1.2 Business Partner Administration for Plan-Driven Procurement

Supplier self-services (SUS) business partner administration involves the creation and replication of supplier master data by purchasers. This description handles the corresponding processes necessary for accepted product suppliers.

Process
Creation of Purchaser Master Data
The SAP_EC_SUS_ADMIN_PURCHASER role must exist in the SU01 or PFCG transaction. 1. Call the BBP_SUS_BP_ADM transaction. 2. Choose Business Partner Business Partner as Company Code . 3. Create a business partner as a purchaser in SUS. 4. Assign a role that corresponds to the company code in the Materials Management (MM) procurement system. 5. Select the required company code. 6. Select the MM system that contains the company code in the Sending System field. 7. Enter a name.

Note
If you do not enter a name (Name, Name 2), the SUS system copies the company code into the Name field. 8. Enter the address information in Detailed Information. 9. If required, enter information in Tax Information.

Replication of Purchaser Master Data

In this case, no data replication is necessary.

Creation of Supplier Master Data

1. In the Supplier Data Maintenance view, choose 2. Choose Lists for Supplier Master Distribution. 3. Assign the relevant class. For more information, see Configuration for SAP Solution Manager under 2007 Basic Settings for Plan-Driven Procurement Class for Master Data Distribution. A background job starts automatically. 4. SUS sends an e-mail notification to the supplier administrator. This e-mail contains the registration number (registration ID) and the URL required to log on to SUS. 5. The supplier administrator logs on to SUS and uses the registration number to create one or more users. 6. The supplier users log on to SUS. Settings for SAP MM Configuration IDocs SAP SRM Environment Classification .

Defining an Object

Replication of Supplier Master Data

To replicate supplier data, call the BD14 transaction.

Supplier Registration
In Customizing for SUS, you must remove the Use Self-Registration Component indicator in the customizing activityDefine Settings for Business Partners. 1. The supplier registers in SUS. 2. SUS automatically sends an e-mail containing the supplier registration data to the administrator responsible forMaterials Management (MM). 3. The administrator creates user data for the relevant supplier in MM. 4. The user data is automatically replicated from MM to SUS. 5. SUS sends an e-mail notification to the supplier administrator. This e-mail contains the registration number (registration ID) and the URL required to log on to SUS. 6. The supplier administrator logs on to SUS. Using the registration number, the supplier administrator creates one or more users. 7. The supplier users receive a registration e-mail containing the registration number and URL. 8. The supplier users log on to SUS.

6.10.1.3 Manual Processing of Business Partners

In the Plan-Driven Procurement with Supplier Integration business scenario, when several Materials Management(MM) systems are connected, you can process business partners manually in the SUS system using the BBP_SUS_BP_ADM transaction.

Prerequisites
You have the SAP_EC_SUS_ADMIN_PURCHASER role for the BBP_SUS_BP_ADM transaction. A correct supplier's e-mail address is available.

Procedure
The following procedures are handled below: Create business partner as company code Process duplicate business partner Notify new business partner (single and collective notifications)

Create Business Partner as Company Code

1. Choose Business Partner as Company Code. The system cannot replicate the company code automatically from the MM system. You create a business partner as a purchaser in the SUS system. Assign a role that corresponds to the company code in the MM procurement system. 2. Select the MM system that contains the company code, under Logical System. If you do not enter a name (Name, Name 2), the SUS system copies the company code into the Name field. 3. Enter the address information in Detailed information. 4. Enter information, if required, in Tax Information.

Process Duplicate Business Partner

If you replicate business partners from several purchasing systems, you can consolidate these in the SUS system. For more information, see Handling of Duplicate Business Partners.

Notify New Business Partner

New business partners are always notified by the SUS system when their data is replicated. For more information, see Notifying New Business Partners.

6.10.1.4 Handling of Duplicate Business Partners

You can use this procedure to consolidate the business partner data replicated from several procurement systems.

Prerequisites
You have the SAP_EC_SUS_ADMIN_PURCHASER role for the BBP_SUS_BP_ADM transaction.

Procedure
Consolidating Business Partner Data
1. Implement the Business Add-In (BAdI) Extension for Duplication Check (BBP_SUS_BP_DUPLCHECK). For more information, see Customizing for SAP Supplier Relationship Management under Implementation Guide SAP Supplier Relationship Management Master Data Extension for Duplication Check . Supplier Self-Services SAP Business Add-Ins

2. Start the BBP_SUS_BP_ADM transaction to consolidate business partners in the SUS 1:n scenario. 3. Choose Business Partner Duplicate Check SUS checks if the business partner already exists. For example, it looks for duplicate e-mail addresses. You can set the criteria for the checks using the BBP_SUS_BP_DUPLCHECK BAdI. Once this check has run, the purchaser administrator has the following options: Assign the partner to an existing entry, that is, consolidate the partners Create a new business partner 3. Select Consolidate Existing Business Partner to consolidate existing business partners. 4. Select New Business Partner to create a new business partner. If you select this indicator, you must manually replicate the business partner again in the Materials Management (MM) procurement system. Choose Save.

6.10.1.5 Notifying New Business Partners

Supplier Self-Services (SUS) automatically sends a notification e-mail to a new supplier. This always occurs when the business partner data is replicated to the SUS system. If you do not want such e-mails to be sent automatically, you can send them manually as single or collective notifications. If you have a Materials Management (MM) procurement system that runs on a release prior to 4.6C, you must use a collective notification.

Prerequisites
You have the SAP_EC_SUS_ADMIN_PURCHASER role for the BBP_SUS_BP_ADM transaction. A correct supplier's e-mail address is available.

Procedure

Sending Single Notifications

1. Choose Single. 2. Enter the business partner's number. 3. If you do not have a valid registration number for the supplier: 1. Choose Generate Registered Users The SUS system generates a user for the registered supplier. The Send Notification E-Mail to Suppliersscreen is displayed. 2. Enter the supplier's e-mail address. 4. If you already have a valid registration number for the supplier: 1. Choose Add User. A dialog box appears. 2. Enter the registration number (name) and password of your choice. You must enter the first part of the registration number (11 characters) in the User field, and the second part (8 characters) in the Password field. If, for example, you know that the registration number is F80110B6111 WAEO1DCA, you enter F80110B6111 in the User field and WAEO1DCA in the Password field. The result of these entries is that the Send Notification E-Mail to Suppliers screen is displayed. 3. Enter the supplier's e-mail address.

Sending Collective Notifications

In R/3 releases prior to 4.6C, it is not possible to transmit the supplier's e-mail address automatically to SUS. Instead, you send the notification e-mail as follows: 1. Choose Collec. A list appears showing all of the business partners without an e-mail address. 2. For each business partner in the list, you can then enter an e-mail address and send a notification. You can also change and delete any e-mail address that you have entered.

6.10.1.6 User Administration in Supplier SelfServices

In Supplier Self-Services (SUS), you can assign various roles and authorizations to users.

Prerequisites
The administrator role must be assigned to your user so that you can create users in the SUS system. This role is available within the Service Procurement and Plan-Driven Procurement with Supplier Integration business scenarios. For more information about SUS single roles, see Roles.

Features
All user management functions are available to the administrator for creating and changing users in SUS. As a supplier, you can register, for example, as a business partner for a reverse auction. You then receive an e-mail that contains your registration ID. You can use this activation key to create a supplier administrator user during initial user registration. This administrator user can then create further users. For more information, see Business Partner Administration.

Activities

To create roles, first type in your user data in the initial user registration screen (compulsory fields are marked with an asterisk). SUS creates an administrator and automatically transfers it to the SUS User Management. You can then assign roles to your users, and thus determine which functions they are authorized to use.

Example
As a SUS administrator, you can authorize certain users to view analytical data by assigning them the role SAP_EC_SUS_MANAGER. For more information, see SAP Help Portal at Supplier Relationship Management http://help.sap.com . SAP Business Suite SAP

Functions Supplier Self-Services

6.10.1.7 Connection of Several Procurement Systems

SUS-1:n connects the Service Procurement and Plan-Driven Procurement with Supplier Integration business scenarios. This means you can deploy supplier self-services (SUS) with multiple SAP Supplier Relationship Management (SAP SRM) systems and Materials Management (MM).

Prerequisites
The master data in SUS and MM must be consistent.

Process
You can use the full range of processes that are available in the Service Procurement and Plan-Driven Procurement with Supplier Integration business scenarios for the procurement of services, indirect materials, and direct materials, respectively. For more information about the business scenarios, see SAP Solution Manager. SUS-1:n uses the SAP NetWeaver Process Integration (SAP NetWeaver PI) to exchange and route the documents between SUS and SAP SRM, and between SUS and MM. Documents are exchanged between SUS and SAP SRM using proxies. MM does not support proxies, so intermediate documents (IDoc) are used instead. All documents remain the same. SUS-1:n can handle documents from all of the connected SAP SRM and MM systems simultaneously. Suppliers can always view all of their orders, regardless of the system of origin. When documents are exchanged, the documents are always sent to the correct system.

Caution
You cannot use SUS -1:n in combination with SAP NetWeaver Business Intelligence or SAP Bidding Engine.

6.10.2 Basic Functions

Supplier Self-Services (SUS) provides several basic functions for processing procurement documents (see below). Where not otherwise specifically stated, these basic functions are available for the full range of procurement documents. For information on document-specific functions, see the descriptions of the individual procurement documents.

Features

Display a document flow list (detailed view) containing all documents connected with a particular procurement document and indicating their statuses. For example, you can determine whether invoices have been created for a purchase order.

Download any type of document in the CSV, or XML formats.

Note
When you download documents, ensure that your SUS user and your computer have the same language and country settings. If this is not the case, the time, date, and numbers appear incorrectly. Print documents in the CSV, XML, or PDF formats. Hold (save) invoices, credit memos, and confirmations locally and then edit them later, before sending them. Copy an ASN or invoice, and use it respectively as the basis (template) for a new ASN or invoice. Display a detailed list of all changes (history) concerning an item (purchase order or confirmation). This can, for example, include the type of change, the user who made the change, and the time at which it was made. Update price data at header and item level in invoices, purchase orders, confirmations, and credit memos, if you have added new items, changed item quantities or tax rates. Add a new item by entering a line with the corresponding product data or add items directly from the catalog, when you process confirmations or invoices with limit items. To update price information after you have added items, select Refresh Prices.

6.10.3 Purchase Order Processing

This function enables you to map the entire procurement process in supplier self-services (SUS) using sales orders (SUS purchase orders).

Integration
The system automatically creates a purchase order in supplier self-services when a purchaser enters the purchase order in the procurement system and sends it to SUS.

Note
The procurement system can be either SAP Supplier Relationship Management (SAP SRM), Materials Management (MM), or a non-SAP procurement system, depending on which business scenario you have implemented.

Features
You can display and edit purchase orders including purchase orders with a service item with hierarchical structure, and send purchase order responses to the purchaser. In a purchase order response, you can confirm or reject each individual item or all items in the purchase order. You can also create or edit schedule lines. You can create follow-on documents, such as advanced shipping notifications (ASN), confirmations (service entry sheet), and invoices, on the basis of a purchase order. The follow-on documents that can be created depend on the procurement system used, and on the document control settings the purchaser has made in the purchase order.

Note
In the Service Procurement business scenario, you use confirmations. In the Plan-Driven Procurement with Supplier Integration business scenario, you use ASNs.

Select Purchase Orders

You have the following options for selecting purchase orders: All purchase orders According to status With the extended search function, which in this case, also includes the purchase order number as search criterion

Note
The status of a purchase order is shown in bold type if the customer has made changes to the purchase order and you have not opened it yet. In the side menu, you can choose the option Changed in the Purchase Orderssection to show a list of all changed purchase orders.

Display and Change Purchase Orders

Caution
The change options described here might depend on the settings you have made in the SUS system or in the Customizing for SAP SRM. You can carry out the following at header level: Under Basic Data, you can assign your own document number to the purchase order. Under Messages, you can enter messages to the purchaser Under Attachments, when the Service Procurement business scenario is being used, you can add files for the purchaser. You can display price information, terms of payment, and attachments from the purchaser. Under Basic Data, you can enter the confirmed quantity. Under Enter Delivery Times, you can enter the delivery dates for a new schedule line, as well as the separate confirmed quantities for each delivery date. Under Service Performance Period (Confirmed), you can change the period requested by the purchaser for the delivery of goods. Under Price Information, you can change the price and the price unit. Under Messages, you can enter item-specific messages to the purchaser. Under Attachments, when the Service Procurement business scenario is being used, you can attach a file for the purchaser to the purchase order. You can display attachments from the purchaser, contract references, and bid references. You can carry out the following at item level:

6.10.4 Confirmation Processing

This function allows you to create and edit confirmations for services performed in supplier selfservices (SUS), and send them to customers. This generates a confirmation if the receiving buying system

is connected to SAP SRM, or a service entry sheet if the receiving buying system is connected to SAP ERP. When you process confirmations for a purchase order with limit items, you can use a link at header level to navigate to the catalog from which you can select items or manually enter services towards the limit. You can also transfer an SRM central contract available as a source of supply in SAP ERP from SAP ERP to supplier self-services to allow services to be entered against a contract limit using SRM-MDM Catalog. To use this function, you must activate the business function SRM, Continuous Innovations (SRM_CONT_IMPR_1).

Integration
This function is only relevant for the Service Procurement business scenario.

Prerequisites
If you want to use a catalog connection to process confirmations that contain limit items, you must have worked through the Customizing activity Define External Web Services. For more information about SAP Catalog Content Management, see the SAP Help Portal athttp://help.sap.com SAP Business Suite SAP Supplier Relationship

Management Functions

SRM-MDM-Catalog .

Features
Create Confirmations
You can create confirmations for purchase orders with the statuses In Process, Changed, or Confirmed. The document control settings in the purchase order determine whether or not you can create a confirmation for an item. Purchasers use these document control settings to specify which follow-on documents they expect. The SUS system copies all of the items for which a purchaser expects a confirmation from the purchase order to the confirmation. Confirmations can also be created by a substitute. In this case, the substitute can select the appropriate service agent from a list.

Select Confirmations
You have the following options for selecting confirmations: All confirmations According to status With the extended search function

Display and Change Confirmations

Caution
The change options described here depend on the settings you make in the SUS system, or in Customizing for SAP SRM. You can change the following confirmation data at header level: Under Basic Data, you can change the confirmation number, and the document name. Under Messages, you can enter messages to the purchaser. Under Partner Information, you can edit or add service agents.

Note

When you add a new service agent at header level, this service is relevant for all service items. Under Attachments, when the Service Procurement business scenario is used, you can attach a file for the purchaser to a confirmation.

You can change the following confirmation data at item level: Under Basic Data, you can change the description of the item, the quantity you want to confirm, and in the case of limit items, the product type as well as the unit of measure. Under Service Times, you can enter service times that only apply to the specific service item. Under Price Information, you can change the price, and the price unit. Under Messages, you can enter item-specific messages for the purchaser. Under Partner Information, you can edit or add service agents for each item. Under Attachments, when the Service Procurement business scenario is used, you can attach a file for the purchaser to a confirmation.

Confirm Times for Services

You can confirm times for services if connected to the SAP SRM system by creating a confirmation based on a purchase order. You can then display the service item details, and after selecting the Service Performance Timesbox, you can enter the date, quantity, and time under Enter Performance Time. Now choose Back to Item Overviewfollowed by Confirm, to automatically send the confirmation to the procurement system.

Cancel Confirmations
You can cancel an entire confirmation if its status is Completion Reported or Accepted by Customer, and if no follow-on documents have been generated for it. Once you have canceled the confirmation, you can create a new confirmation for the purchase order quantity or part of it.

6.10.5 Advanced Shipping Notification Processing

You can use this function to create, edit, and send advanced shipping notifications (ASN) in Supplier SelfServices(SUS).

Integration
This function is only relevant for the Plan-Driven Procurement with Supplier Integration business scenario. When you create an ASN in SUS and send it to the purchaser, an inbound delivery is automatically created inMaterials Management (MM).

Features
Create ASNs
You can create ASNs on the basis of a purchase order. The document control settings in the purchase order determine whether or not you can create an ASN for an item. Purchasers use these document control settings to specify which follow-on documents they expect. The SUS system copies all of the items for which a purchaser expects a confirmation from the purchase order to the ASN.

Select ASNs
You have the following options for selecting ASNs: All ASNs According to status

With the extended search function

You can select ASNs by status as follows: Status In Process Sent This status is set automatically once you have delivered the goods and selected Shipped to Customer. Meaning This status is set automatically when you create an ASN.

Change ASN

Caution
The change options described here might depend on the settings you have made in the SUS system or in the Customizing for SRM. You can change or extend the following ASN data at header level: Under Basic Data, you can change the number, or the document name of an ASN. Under Delivery Information, you can enter the expected date and time for the delivery as well as for the actual shipping of direct materials. In addition, you must stipulate and classify a means of transport, as well as enter the description or number of a bill of lading. You can change or extend the following ASN data at item level: Under Basic Data, you can change the entered quantity if necessary. Under Mass, you can change the net weight of an item, enter the gross weight of an item, enter a unit of weight, as well as change the volume of an item, and enter a unit of volume. The following functions are also available: Select Goods Shipped to Recipient, to automatically create an inbound delivery document for the purchaser. Create ASN on the basis of scheduling agreement releases. See Displaying Scheduling Agreement Releases

6.10.6 Goods Receipt Processing

You can use this function to edit messages from the purchaser in Supplier Self-Services (SUS). These messages include goods receipt notifications, cancellations of goods receipts, and return deliveries. You can access these messages via a link on the start screen, or by clicking the Notifications from Purchaser option in the side menu.

Integration
This function is only relevant for the Plan-Driven Procurement with Supplier Integration business scenario.

Features
Select Notifications from Purchaser
You have the following options for selecting notifications from the purchaser: All goods receipts All cancellations of goods receipts All return deliveries

According to status With the extended search function

You can select notifications from the purchaser by status as follows: Status New Meaning This status is set automatically when the message from the purchaser is received by the SUS system. Document Read When you accept goods receipt notifications and cancellations of good receipts, their statuses change from New toDocument Read. This status is set automatically when you have accepted the message.

6.10.7 Invoice Processing

This function enables you to create and edit invoices in Supplier Self-Services (SUS), and send them to customers. When you process invoices with limit items, you can use a link at header level to navigate to the catalog, from which you can take items.

Features
Create Invoices
You can create invoices with references to purchase orders, confirmations, advanced shipping notifications (ASN), or goods receipt notifications. The document control settings in the purchase order determine whether or not you can create an invoice for an item. Purchasers use these document control settings to specify which follow-on documents they expect. The SUS system copies all of the items for which a purchaser has specified that an invoice is expected from the preceding document to the invoice. Furthermore, in the Service Procurement business scenario, you can create invoices with references to contact persons regardless of the settings that have been made in the procurement system.

Note
You can create and process invoices with references to ASNs only in the Plan-Driven Procurement with Supplier Integration business scenario (see Advanced Shipping Notification Processing).

Create Collective Invoices

You can create a collective invoice by selecting several documents from the list of purchase orders, confirmations, ASNs, or goods receipt notifications, and then choosing Create Invoice. However, the purchaser, currency, and logical system must be identical in the documents you select. You can create collective invoices on the basis of several ASNs, providing that there is no more than one ASN per purchase order item.

Select Invoices
You can select invoices as follows: All invoices According to status With the extended search function

You can select invoices by status as follows: Status In Process Meaning This status is set automatically when an invoice is created. This status remains as long as the invoice is not sent. Document Sent This status is set automatically when you chooseSend. The invoice is sent to the purchaser. Accepted by Customer Rejected by Customer Payment Made You can set this status manually if the purchaser has initiated the payment. This status is set automatically if the purchaser rejects an invoice. This status is set automatically if the purchaser accepts an invoice.

Note
The statuses Accepted by Customer and Rejected by Customer are not set automatically in the Plan-Driven Procurement with Supplier Integration business scenario. However, after being informed about the acceptance or rejection of the invoice by the purchaser, the supplier can set them manually.

Change Invoices

Caution
The change options described here might depend on the settings you make in the SUS system or in the Customizing for SRM. You can change or extend the following invoice data at header level: Under Basic Data, you can change the invoice number, and the description of the document, as well as enter unplanned delivery costs. Under Messages, you can enter messages to the purchaser. Under Price Information, you can enter the tax manually, or change the already entered default tax value, and specify payment targets as well as cash discount rates. Under Attachments, when the Service Procurement business scenario is being used, you can attach a file for the purchaser to the invoice. You can also change the following invoice data at item level: Under Products and Services, you can change the product type, the product name, as well as the quantity and tax rate for each item.

Check Payment Status of an Invoice

If the relevant function has been activated during customization, you can request information about the status of an invoice, the invoice amount, the amount paid, and the financial accounting (FI) invoice date directly from the FI system. In this case, the Payment Status box with the Check Payment Status pushbutton is displayed so that you can call up this information from the FI system. In this way, you can determine whether an invoice has been completely or partly paid, or whether it is still open. For more information, see the Implementation Guide (IMG) for Supplier Relationship Management Supplier Self-Services Settings for the User Interface Customer Settings .

Make sure that you have specified a back-end system of at least SAP ERP Release 4.6C in the following IMG activity: Landscape . Supplier Relationship Management SRM Server Technical Basic Settings Define System

6.10.8 Evaluated Receipt Settlement Invoices Display

You can use this function to display Evaluated Receipt Settlement (ERS) invoices in Supplier SelfServices (SUS) for the Service Procurement and Plan-Driven Procurement with Supplier Integration business scenarios.

Prerequisites
The purchaser has made the necessary settings for automatic settlement: In Supplier Relationship Management (SRM): under Enter Invoice Credit Memo In Materials Management (MM): in transaction MRIS

Features
Credit memos from SRM arrive automatically with the status Accepted. ERS invoices from MM arrive automatically with the status Invoiced.

Example
You have a contract with a purchaser to perform a certain service at a fixed rate. The purchaser can specify that the system should automatically create an ERS invoice, and send it to you when you confirm a service. Instead of creating invoices yourself each time, you can simply display the ERS invoice in the SUS system.

6.10.9 Credit Memo Processing

You can use this function in Supplier Self-Services (SUS) to create credit memos with references to existing invoices.

Features
Create Credit Memos
You can create one or more credit memos with references to an invoice if the status of this invoice is Document Sent, Accepted by Customer, or Payment Made.

Select Credit Memos

You have the following options for selecting credit memos: All credit memos According to status With the extended search function

You can select credit memos by status as follows: Status In Process Meaning This status is set automatically when the credit memo is created. This status remains as long as the credit memo is not sent.

Status Document Sent

Meaning This status is set automatically when you chooseSend. The credit memo is sent to the purchaser.

Accepted by Customer Rejected by Customer Payment Made

This status is set automatically if the purchaser accepts a credit memo.

This status is set automatically if the purchaser rejects a credit memo.

You can set this status manually if you have initiated the payment.

Note
The statuses Accepted by Customer and Rejected by Customer are not set automatically in the Plan-Driven Procurement with Supplier Integration business scenario. However, the supplier can set them manually if the purchaser informs him or her about the approval or rejection.

Change Credit Memo

Caution
The change options described here might depend on the settings you make in the SUS system or in the Customizing for SRM. You can change or extend the following credit memo data at header level: Under Basic Data, you can change the credit memo number, status, description, unplanned delivery costs, and tax rate for unplanned delivery costs entries. Under Messages, you can enter messages to the purchaser. Under Attachments, you can add files for the purchaser. Under Products and Services, you can change the description, quantity of each item, and tax rate for each item. Under Price Information, you can change the price, and price units.

You can also change the following credit memo data at item level:

6.10.10 Displaying Scheduling Agreement Releases

You can use this function to display scheduling agreement releases that you receive from Materials Management(MM).

Integration
You use transaction ME84 to transfer scheduling agreement releases created in MM to Supplier SelfServices(SUS).

Prerequisites
You have been assigned the scheduling agreement release processor role (SAP_EC_SUS_SAR_PROCESSOR).

Features
Display scheduling agreement releases
You have the following options for displaying scheduling agreement releases: All scheduling agreement releases, or restricted to those with the status New, or In Process With the extended search function Scheduling agreement releases can have the following statuses at header level: Status New In Process Meaning Scheduling agreement release is New. The scheduling agreement release processor (user with this role) has set the status to In Process manually, or created a shipping notification on the basis of this scheduling agreement release. In the latter case, the system automatically sets the status to In Process. Delivery Block When a new scheduling agreement release is received in the SUS system for the same scheduling agreement and same item, the new one replaces the preceding scheduling agreement release. The preceding scheduling agreement release then gets the Delivery Block status, which indicates that its useful life has ended, and the receipt of other associated documents is complete.

Display details
You can display the details of a scheduling agreement release by clicking on the document number. If the scheduling agreement release has the status New or In Process, you can create a shipping notification on the basis of the scheduling agreement release. If the scheduling agreement release has the status New, you can set the status to In Process.

6.10.11 Supplier Master Data Self-Maintenance

Supplier registration (ROS) is now connected to SAP ERP, allowing purchasers to monitor changes to supplier master data, accept or reject them, and transfer these changes to the back-end system.

Prerequisites
You have activated the business function SRM, Supplier Collaboration (SRM_SUCO_1). The supplier has been assigned the Supplier Administrator role. The purchaser has been assigned the Purchasing Administrator role. Administrator Company

Process
1. The supplier logs on to the supplier self-services system and chooses Data . Application Monitor BP 2. The supplier updates their master data, uploads any necessary attachments, and chooses Save. 3. The purchaser logs on to the supplier self-services system and chooses Change Monitor . 4. The purchaser reviews the changes to the supplier's master data, and, if he decides to accept them, choosesTransfer to Backend.

6.11 Analytics
You can find information on how to integrate SAP NetWeaver Business Warehouse (SAP NetWeaver BW) reports into SAP NetWeaver Portal in the SAP NetWeaver documentation on SAP Help Portal at http://help.sap.com SAP NetWeaver SAP NetWeaver <release> Library SAP Library SAP NetWeaver Library SAP NetWeaver by Key Capability Information Integration by Key Capability Business Intelligence BI Suite: Business Explorer Integrating Content from BI into the Portal.

You can also use several reports directly in the SAP Supplier Relationship Management (SAP SRM) system without installing an SAP NetWeaver BW system (see BW-Independent Analytics).

6.11.1 BW-Independent Analytics

You can use several reports that allow you to analyze data directly in your SAP Supplier Relationship Management (SAP SRM) system. To use these reports, you do not have to install an SAP NetWeaver Business Warehouse (SAP NetWeaver BW) system. The reports are available both in the SAP NetWeaver Portal and in the Portal-independent navigation frame. For users, handling one of these reports is identical to working with a Personal Object Worklist (POWL): using Quick Criteria Maintenance, users can specify additional criteria to create more detailed views of the data.

Integration
Microsoft Excel If you want to work with the reports in Microsoft Excel, you can use the Download to MS Excel function that is available with each POWL. Crystal Reports You can integrate BW-independent reports with Crystal Reports technology to use advanced layout and visualization functions.

Prerequisites
To use BW-independent analytics, you must activate the Customizing switch in Customizing for SAP Supplier Relationship Management under SRM Server Analytics Activate/Deactivate BW-Independent Analytics .

Features
The following reports are available regardless of whether or not you use SAP NetWeaver BW. You can access the reports using the Operational Purchaser and the Strategic Purchaser roles. BW-independent reports are available for both the authorization roles, defined in transaction PFCG, and the roles available in the Business Package for SAP SRM 7.0. Report Providing an Overview of: Available in Role Operational Purchaser Shopping Cart Status All shopping carts that users are authorized to see, including the shopping cart status (for example, Awaiting Approval or Approved) and other header information, such as Total Value. Shopping Cart Details Confirmation Details Supplier Overview Contract for Supplier Contract for Product Purchase Order Status All contracts, with supplier name and other information, such as target value and release value. All contracts, with product names and other information, such as target release and target value for the product. All purchase orders, with status and other header information, such as supplier and total value of the purchase. Purchase Order Details RFx Details All purchase orders, with line item details such as product, GL account, and cost center. All RFxs, with details such as bidder name, product, quantity, and price. Auction Details Printing To print one of the reports on a local printer, you have the following options: Download the report to Microsoft Excel and use the print function. Display the report using Crystal Reports and use the print function. All auctions, with details such as bidder name, product, quantity, and price. No Yes No Yes No Yes No Yes Yes Yes Yes Yes All shopping carts, with line item details such as quantity and price. All confirmations, with status and other information, such as confirmed value and quantity. All suppliers, with data from the supplier master data. No Yes No Yes Yes Yes Yes Available in Role Strategic Purchaser Yes

Safeguarding Performance by Limiting Number of Records If users do not specify any selection parameters when using the reports, the system displays all relevant records that are available in the database. If the data volume is large, this can lead to high response times or even to a time-out of the report. To reduce response times, you can define a maximum number

of records to be found by each of the reports. To do so, start the Call View Maintenance transaction (SM30) and call view /SAPSRM/C_REP_MX. Select the reports you want to run and the maximum number of records you want to be displayed by each report. Customer-Specific Reports If you want to create additional reports, you can define customer-specific InfoSets using the SAP Query technology. For more information, see SAP Library for SAP NetWeaver on SAP Help Portal at http://help.sap.com SAP NetWeaver by Key Capability Application Platform by Key Capability ABAP Technology ABAP Workbench (BC-DWB) SAP Query .

More Information
For more information about the POWL, see SAP Library for SAP ERP on SAP Help Portal at http://help.sap.com SAP ERP Enhancement Packages SAP ERP Cross-Application Functions CrossApplication Components General Application Functions Personal Worklist .

6.11.2 Supplier Evaluation

You can use Supplier Evaluation in SAP Supplier Relationship Management (SAP SRM) to evaluate your suppliers by means of Web-based surveys. You can tailor individual surveys and questionnaires, and select the criteria to evaluate. You can then transfer the data that you gather from the questionnaires and surveys to SAP NetWeaver Business Intelligence (SAP BI). You can use this information to help you select suppliers and negotiate conditions. For more information on reporting in SAP BI, see the SAP NetWeaver documentation on SAP Help Portal at http://help.sap.com SAP NetWeaver SAP NetWeaver <release> Library SAP Library SAP NetWeaver Library BI Content Supplier Relationship Management Supplier Evaluation .

Prerequisites
You need to compile questionnaires using the WebSurvey Cockpit. For more information, see the SAP NetWeaver documentation on SAP Help Portal at http://help.sap.com SAP NetWeaver SAP NetWeaver <release> Library SAP Library SAP NetWeaver Library Web Survey SAP NetWeaver by Key Capability . Application Platform by Key Capability Business Services

When you use the Supplier Survey Cockpit (see below), you can access the WebSurvey Cockpit from the SAP NetWeaver Portal. To compile a questionnaire, in this case, click on the Supplier Evaluation tab strip. Then click onCreate Questionnaire.

Features
There are two different methods to collect data to evaluate supplier performance: Event-driven evaluation. For example, when saving an invoice, a questionnaire is presented to the user Ad-hoc evaluation through surveys managed with the Supplier Survey Cockpit

6.11.2.1 Event-Driven Evaluation

SAP Supplier Relationship Management (SAP SRM) supports event-driven questionnaires for two specific occasions: Saving of a confirmation Saving of an invoice

Note
The event-driven evaluation and the ad-hoc evaluation use separate InfoProviders in SAP NetWeaver BI. The InfoProvider that is used for event-driven evaluation is also used for evaluation triggered from out of the Advanced Supplier List. These events trigger a questionnaire, which pops up on the screen or enable a button to open the questionnaire. To carry out event-driven evaluation, you first have to specify in Customizing when and under which circumstances you want the evaluation to take place. For example, you can define that the evaluation is to occur for certain product categories, or suppliers, or purchasing organizations. You can also define the frequency (for example, every invoice/confirmation, or every second invoice/confirmation, and so on). For more information, see Customizing: Integration with Other SAP Components Data Transfer to the SAP Business Information Warehouse Define Events for Supplier Evaluation in SRM Settings for Application-Specific DataSources (SRM)

Process
Supplier Evaluation is used in the Confirmation and Invoice applications to evaluate day-to-day activities on the basis of operational documents. It can also be used from the Approved Supplier List. Supplier Evaluation Examples

Application Confirmation

Possible Questionnaire Evaluation of goods

Possible Criteria Delivery on time? Condition of packaging?

Confirmation

Evaluation of services*

Was the service performed in a timely fashion? Quality of service performed?

Invoice

Evaluation of invoice

Invoice quantity = confirmed quantity? Was the invoice clearly presented?

Approved Supplier List

Evaluation of supplier

Reliability of supplier? Price transparency of supplier?

Note
*Note the data protection regulations that apply when evaluating services. For more information about SAP NetWeaver BI Reporting, see SAP Help Portal at http://help.sap.com SAP NetWeaver BI Content Supplier Relationship Management Evaluation Supplier

6.11.2.2 Ad-Hoc Evaluation: Supplier Survey Cockpit

The Supplier Survey Cockpit is an application with which you can manage surveys to gain information about your suppliers. After completion of a survey, the survey data is transferred to SAP NetWeaver Business Intelligence (SAP NetWeaver BI) for reporting. Analyzing the survey outcomes in SAP

NetWeaver BI helps you to always be up on your suppliers' performance regarding, for example, reliability, quality, and service. The Supplier Survey Cockpit enables you to gather information independently of a certain purchasing event. With the Supplier Survey Cockpit, you can do the following: 1. Set up a survey 2. Assign a questionnaire to the survey 3. Distribute the questionnaire via e-mail and 4. Monitor the responses

Features
To access the Supplier Survey Cockpit, choose Supplier Evaluation and then Survey Management under Detailed Navigation. By default, you find three queries: A survey query, a survey package query, and a survey monitor query. Depending on the query you choose, the table below the queries displays different information. To manage surveys, choose the survey query. Click on Create to create a new survey. Select a survey from the table and click on Display, Edit, or Delete to display, change, or delete a survey. To manage survey packages, choose the survey package query and click on the corresponding buttons. To download the table contents in MS Excel format, click on Export. For more information on the queries, which serve to monitor surveys, see Survey Monitoring.

6.11.3 Analytics for Contract Management and Business Partner Work Centers
This function enables you to use a variety of reports and analyses that are available in the Contract Management and Business Partner work centers. The reports provide detailed information, helping you to make strategic decisions and take subsequent action, such as consolidating contracts and taking measures for risk mitigation.

Prerequisites
You have activated the business function SRM, Analytics (SRM_ANALYTICS_1). Ensure that the Customizing switch for this function is active. You do so in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Analytics Deactivate/Activate Embedded Analytics for Purchasers .

Features
A list of reports is available on a side panel. To perform an analysis for two contracts, for example, highlight them and then move the report you want to run to your work area using drag and drop. The following reports provide detailed information by analyzing contracts or suppliers: Contract Management Work Center Compliance o o o Contract Compliance Usage against time is displayed. Contract Condition Compliance Shows the purchase order price against the invoice price. Contract Spend

The contract spend is displayed, either by purchasing organization or purchasing group. o Maverick Buying Shows the amount of maverick buying per product, product category, purchasing organization, or purchasing group. Contract Information o o o Contract Essentials Shows the essential data of a contract. Expiring Contracts Contract Lifecycle The negotiation, approval, and validity against time are displayed. Alternative Sources of Supply Shows alternative sources of supply that are available for products and product categories. Worklist Upcoming Activities Business Partner Work Center Supplier Analysis o o o ABC Analysis of Suppliers Shows the distribution of the purchase volume to the most important suppliers. Pareto Analysis According to Purchase Order Volume The volume of purchase orders against the value of purchase orders is displayed. Top Suppliers Shows the total invoice value for the top 15 suppliers. Compliance o o Supplier Condition Compliance The purchase order item price against the invoice item price is displayed. Supplier Delivery Time Compliance Shows the delivery delays for ordered items. Procurement Analysis o o o o Procurement Value Analysis Shows the total purchase order value over the last three months. Supplier Spend The total spend per product category, year, quarter, or month is displayed. Alternative Sources of Supply The alternative sources of supply that are available for all suppliers are displayed. Maverick Buying Shows the amount of maverick buying per product, product category, purchasing organization, or purchasing group. Lifecycle Events

6.11.3.1 Analytics for Strategic Sourcing Work Center

This function enables you to use a variety of reports and analyses that are available in the Strategic Sourcing work center. The reports provide detailed information, helping you to make strategic decisions and take subsequent action.

Prerequisites
You have done the following: You have activated the business function SRM, Analytics 2 (SRM_ANALYTICS_2). You have ensured that the Customizing switch for this function is active. You do so in Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Analytics Reports Activate/Deactivate POWL-Based Reports .

Features
A list of reports is available on a side panel. To perform an analysis for two RFxs, for example, highlight them and then move the report you want to run to your work area using drag and drop. The following reports, available in the Strategic Sourcing work center, provide detailed information by analyzing RFxs: Average Cycle Time: Product categories against average cycle time (the length of time between RFx creation and completion) are displayed. Number of RFx: RFx status (In Process, In Approval, Published) against the number of bidders is displayed for each product category. Bidder Participation: The number of RFxs with a particular status against the number of bidders is displayed for each product category. Spend from RFx: RFx spend against total spend for each purchasing organization is displayed in euros.

6.11.4 Analytics for the Sourcing Application

The following query, TransientProvider, and search and analytics model differ from regular SAP NetWeaver Business Warehouse content as they are delivered by, and used within, the SAP Supplier Relationship Management (SAP SRM) system. As these entities reside in the SAP SRM system, there is no need to maintain any data in the SAP NetWeaver Business Warehouse system. This eliminates the expense of running a separate system for reporting. An additional benefit is the immediate availability of SAP SRM data for reporting without the delay involved in using the SAP NetWeaver Business Warehouse system, which loads at predefined intervals.

6.11.4.1 Search and Analytics Model: Sourcing Graphical Search

: 0SRM_SOURCING_ITM Technical Data

Model Usage Software Component for Search and Analytics

Application Model SRM_SERVER

Root Node: Data Source For Sourcing Relevant Items

Technical Name DataSource 0BBP_TD_SOURCING_ITEMS 0BBP_TD_SOURCING_ITEMS The search and analytics model uses all the fields belonging to the DataSource.

Operational Data Provider Data Source For Sourcing Relevant Items

Technical Name ODP Semantics Direct Access Enabled 0SRM_SOURCIN Transaction data Yes

6.11.4.2 TransientProvider: Sourcing Graphical Search

: 2O0SRM_SOURCIN This TransientProvider provides procurement data on sourcing relevant document items and can be categorized according to the priority, delivery date, purchasing group, and purchasing organization of the document. Extensive procurement data from sourcing relevant items is extracted using this TransientProvider.

Prerequisites
You have activated the DataSource DataSource for Sourcing Relevant Items (0BBP_TD_SOURCING_ITEMS).

Structure Data Modeling

Object Type Operational Data Provider Name Technical Name Data Source

Key Figures Used

Name Name Technical Name Technical Name Operational Data Provider Navigation Attribute Yes No Name Technical Name Operational Data Provider Data Origin Operational Data Provider Data Origin Data Origin

6.11.4.3 Query: Sourcing Graphical Search

Query: REP_SOUR This query provides data on requisitions that require a source of supply. The query supplies results to the graphical search pie chart at the first step, Select Requisitions, of the sourcing application four-step wizard: .

Structure
Rows Object Type Name Technical Name Value Restriction / Calculation Purchasing Group Characteristic Purchasing Organization Characteristic Item Delivery Date Characteristic Document Priority Characteristic Parent GUID Characteristic Header GUID Characteristic Vendor GUID Characteristic Product Category ID Characteristic Document Value Indicator Characteristic Item Category 2O0SRM_SOURCINVENDOR_GUID 2O0SRM_SOURCINCATEGORY_ID 2O0SRM_SOURCINDOC_VAL_IND 2O0SRM_SOURCIN-ITM_TYPE 2O0SRM_SOURCIN-HEADER_C 2O0SRM_SOURCINDELIV_DATE 2O0SRM_SOURCINDOC_PRIORITY 2O0SRM_SOURCIN-PARENT_C 2O0SRM_SOURCIN-PUR_ORG 2O0SRM_SOURCIN-PUR_GRP

Rows Object Type Name Technical Name Value Restriction / Calculation Characteristic Start Date Characteristic End Date Characteristic Item Number in Document Characteristic Columns Object Type Name Technical Name Value Restriction / Calculation No Switch Required Characteristic Total Value of the Characteristic Shopping Cart 20-TOTAL_VALUE-CURRENCY Technical Name 2O0SRM_SOURCINVPER_START 2O0SRM_SOURCINNUMBER_INT 2O0SRM_SOURCIN-VPER_END

6.11.5 Analytics for RFxs

The following query, TransientProvider, and search and analytics model differ from regular SAP NetWeaver Business Warehouse content as they are delivered by, and used within, the SAP Supplier Relationship Management (SAP SRM) system. As these entities reside in the SAP SRM system, there is no need to maintain any data in the SAP NetWeaver Business Warehouse system. This eliminates the expense of running a separate system for reporting. An additional benefit is the immediate availability of SAP SRM data for reporting without the delay involved in using the SAP NetWeaver Business Warehouse system, which loads at predefined intervals.

6.11.5.1 Search and Analytics Model: Active Bidders

: 0SRM_ASL Technical Data

Model Usage Software Component for Search and Analytics

Application Model SRM_SERVER

Root Node: Procurement Items Relevant for Active Bidders List Evaluation
Technical Name DataSource 0BBP_TD_ITEMS_EV_ASL 0BBP_TD_ITEMS_EV_ASL The search and analytics model uses all the fields belonging to the DataSource.

Operational Data Provider Procurement Items relevant for Active Bidders List Evaluation
Technical Name ODP Semantics Direct Access Enabled 0SRM_ASL Transaction data Yes

6.11.5.2 TransientProvider: Active Bidders

: 2O0SRM_ASL This TransientProvider provides contract and RFx header and item information to determine the active contracts and RFxs for a bidder based on the product category.

Prerequisites
You have activated the DataSource Procurement Items Relevant for Active Bidders List Evaluation(0BBP_TD_ITEMS_EV_ASL).

Structure Data Modeling

Object Type Operational Data Provider Name Technical Name Data Source

Key Figures Used

Name Name Technical Name Technical Name Operational Data Provider Navigation Attribute Yes No Name Technical Name Operational Data Provider Data Origin Operational Data Provider Data Origin Data Origin

6.11.5.3 Query: Active Bidders

Query: REP_ASL01 This query provides data to the Active Bidders table.

Structure
Rows

Object Type

Name

Technical Name

Value Restriction / Calculation

Bidder GUID Characteristic Partner Number Characteristic Product Category ID Characteristic Contract Number Characteristic Number of Contract Item Characteristic Status of Item Characteristic Item Number in Characteristic Document Item Process Type Characteristic Header GUID Characteristic Parent GUID Characteristic Product Description Characteristic Item Object Type Characteristic Columns Object Type Name

2O0SRM_ASL-BIDDER_GUID

2O0SRM_ASL-PARTNER_NO

2O0SRM_ASL-CATEGORY_ID

2O0SRM_ASLCTR_HDR_NUMB 2O0SRM_ASLCTR_ITEM_NUM 2O0SRM_ASLITM_RELEASED 2O0SRM_ASL-NUMBER_INT

2O0SRM_ASLITEM_PROCESS 2O0SRM_ASL-HEADER_C

2O0SRM_ASL-PARENT_C

2O0SRM_ASL-DESCRIPTION

2O0SRM_ASL-OBJECT_TYPE

Technical Name

Value Restriction / Calculation

Net Value Characteristic Net Price Characteristic

20-VALUE-CURRENCY

20-PRICE-CURRENCY

6.12 Integration with Collaboration Projects (cProjects)

You can use this process to integrate SAP Supplier Relationship Management (SAP SRM) with cProjects. This enables you to handle your entire purchasing process for materials and services from sourcing to time and expense recording using cProjects and SAP SRM. The process is used in the business scenario Service Procurement External Staffing.

Prerequisites
To integrate SAP SRM with cProjects, you have made the necessary configuration settings as described in SAP Solution Manager under Scenarios Service Procurement External Staffing Business Processes Requesting External Staff .

Process
1. You send an external requirement from cProjects to the SAP SRM sourcing application. 2. The SAP SRM system creates a requirement and sends a confirmation to cProjects. 3. As a purchaser, you process this requirement in the sourcing application and create a purchase order. Alternatively, you create an RFx using SAP Bidding Engine. The system sends the purchase order number and the item number to cProjects. 4. SAP SRM records the times worked and the expenses incurred and sends them to cProjects. The time recording in SAP SRM is a prerequisite for the complete mapping of the RFx in cProjects. The time recording in supplier self-services (SUS) cannot be mapped.

More Information
For more information about Collaboration Projects, see SAP Help Portal at http://help.sap.com/ SAP ERP SAP cProject Suite Project and Portfolio Management . Collaboration Projects Integration with Supplier Relationship Management

7.0 SRM-MDM Catalog 7.1 Catalog Content Management

You can use this business scenario to import and manage product content, make this content available in an MDM data repository, and access it via the Web browser in your SAP Supplier Relationship Management (SAP SRM) procurement processes.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see: SAP SRM 7.01 Master Guide on SAP Service Marketplace at http://service.sap.com/instguides Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl

Process
The business processes run as follows: 1. Managing Content in SRM-MDM Catalog 2. Searching in Catalog Data 3. Managing Service Content in SRM-MDM Catalog 4. Transferring Service Hierarchy from SAP ERP 5. Transferring Service Hierarchy and Non Hierarchical Items from RFx Response in SAP SRM 6. Displaying Flat Services 7. Storing and Displaying Sustainability Information

7.1.1 Managing Product Content in SRM-MDM Catalog

As a Catalog Manager, you use this business process to manage product information such as: Catalog files (classification data) Product content from suppliers Product content from procurement systems (SAP ERP, SAP SRM)

This data can originate from MS Excel, XML, and TXT files for example, or directly from running database systems such as MS Access, Oracle, and MS SQL Server. In this process, you import classification structures and product data to the predefined repository structure of the SRM-MDM Catalog. Using this process, you can also upload contracts. You can match and merge product data from backend systems with product data from suppliers. You can check and enrich the product data, for example, check whether new data has been assigned to the correct category in the taxonomy, and enrich data with additional information such as images and attachments. Moreover, you can use workflow rules for the approval of catalog content. Finally, by means of search patterns, you maintain masks (views) and assign them to certain user groups.

Using validations, you can define complex tests for all types of conditions and then run those tests against one or more records. As an administrator, you can use this process to enable Web content. You configure the search screens of the SRM-MDM Catalog and provide the environment for catalog users to search the content of an SRMMDM Catalog repository via Web browser.

Process

1. Import product hierarchy (SRM-MDM Catalog) 2. Upload supplier product data (SRM-MDM Catalog) 3. Map imported hierarchy and products to repository (SRM-MDM Catalog)

4. Transfer info records and contracts from ERP (SAP ERP) 5. Transfer product data from SRM (SAP SRM Server) 6. Transfer contract data from SRM (SAP SRM Server) 7. Enrich product data (SRM-MDM Catalog) 8. Approve product data (SRM-MDM Catalog) 9. Define masks (SRM-MDM Catalog) 10. Define validations (SRM-MDM Catalog) 11. Enable web content (SRM-MDM Catalog)

7.1.2 Searching in Catalog Data

As a catalog user, you use this business process to search for and select items in the data repository of the SRM-MDM Catalog. Once you have selected items, you transfer them to your procurement system, for example, to the shopping cart in SAP Supplier Relationship Management. This business process is modified if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) business function. This business function allows you to customize the UI by adding, for example, a global search pane, and gives you greater flexibility in comparing search results.

Prerequisites
The system administrator has configured the users in SAP MDM Console and the UI configuration manager has configured the search environment (Web Dynpro for Java) for the catalog users.

Process

The following business processes run in the SRM-MDM Catalog 1. Search for items. 2. Transfer data to procurement system.

Note
If you are a catalog user with a Display Only role, you can only search for items, and cannot transfer data to the procurement system.

7.1.3 Managing Service Content in SRM-MDM Catalog

As a Catalog Manager, you use this business process to manage service information such as: Catalog files (classification data) Service content from suppliers Service content from procurement systems (SAP ERP, SAP SRM)

This data can originate from MS Excel, XML, and TXT files for example, or directly from running database systems such as MS Access, Oracle, and MS SQL Server. In this process, an auto-import is available for: Service hierarchies from SAP ERP Service hierarchies and non hierarchical items (from RFx Responses) from SAP SRM

You import classification structures and service data to the predefined repository structure of the SRMMDM Catalog. Using this process, you can also upload contracts. You can match and merge product data from back-end systems with service data from suppliers. You can check and enrich the service data, for example, check whether new data has been assigned to the correct category in the taxonomy, and enrich data with additional information such as images and attachments. Moreover, you can use workflow rules for the approval of catalog content. Finally, by means of search patterns, you maintain masks (views) and assign them to certain user groups. Using validations, you can define complex tests for all types of conditions and then run those tests against one or more records. As an administrator, you can use this process to enable Web content. You configure the search screens of the SRM-MDM Catalog and provide the environment for catalog users to search the content of an SRMMDM Catalog repository via Web browser.

Process

1. Transfer service hierarchy from SAP ERP with transaction MECCM (SAP ERP) You can only use this step if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) and SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business

functions. In particular, the Customizing switches CAT_701_CTR_UPLOAD and SRM_701_Serv_Proc_CCM are relevant. 2. Transfer Service Hierarchy and Non-Hierarchical Items from Central Contracts (SAP SRM) You can only use this step if you have activated the SRM, MDM Catalog Innovations (SRM_CATALOG_1) and SRM, Service Procurement Innovations (SRM_SERVICE_PROC_1) business functions. In particular, the Customizing switches CAT_701_CTR_UPLOAD and SRM_701_Serv_Proc_CCM are relevant. 3. Import supplier service data from supplier (SRM-MDM Catalog) 4. Map imported service hierarchy and services from SAP ERP to repository (SRM-MDM Catalog) 5. Transfer service hierarchy from SAP ERP (SAP ERP) 6. Transfer service hierarchy and nonhierarchical items from RFx from SAP SRM (SAP SRM ) 7. Transfer contract data from SAP SRM (SAP SRM ) 8. Enrich service data (SRM-MDM Catalog) 9. Approve service data (SRM-MDM Catalog) 10. Define masks (SRM-MDM Catalog) 11. Define validations (SRM-MDM Catalog) 12. Enable web content (SRM-MDM Catalog)

7.1.4 Transferring Service Hierarchy from SAP ERP

Prerequisites
The Model Service Specification (MSS) to be uploaded exists in the SAP ERP system and does not have the status Blocked or Configurable MSS. The transaction MECCM is available in the SAP ERP system for uploading the MSS into the SRMMDM Catalog.

Procedure
1. Run MECCM in the SAP ERP system you are using for testing. 2. Enter the catalog name in the Catalog Designation sub-screen. This is a mandatory field. 3. Enter the date on which the price of the service master items is to be calculated. 4. Deselect the Test Run checkbox, and choose Execute. 5. Check the Log for any errors.

Result
The service hierarchy has been transferred from SAP ERP to SAP SRM. Use transaction sxmb_moni to check that the XML containing the hierarchical structure and the XML containing the service items have been passed. To check that the service hierarchy has been transferred to the catalog, you can check the catalog UI to see ifCategories displays the header that was imported into the repository. When you select the header, the entire hierarchy (outlines and services) is displayed in the services table. Check if the outlines, service items, and their prices correspond to the ones uploaded from SAP ERP.

7.1.5 Transferring Service Hierarchy and Non Hierarchical Items from RFx Response in SRM
Procedure
1. Log on as Purchaser. 2. Create a new RFx with hierarchical and non hierarchical items. 3. Publish the RFx. 4. Log on as Bidder. 5. Create an RFx Response. 6. Log on as Purchaser. 7. Accept the RFx Response. 8. Choose Responses and Awards and choose the RFx response from the bidder. 9. Choose Items tab. 10. Choose Publish to Catalog in the item table to transfer the items to the catalog.

Result
Items are transferred and published to the catalog. To check this: 1. Run transaction SXMB_MONI, and check that three XMLs have been passed from SAP SRM to SAP Process Integration (SAP PI). 2. Check that the transferred hierarchy has been passed to the catalog and is visible in the catalog UI.

7.1.6 Displaying Flat Services

You use this business function to display flat services in the service hierarchy catalog. You can quickly identify the service that is listed under various service structures and enable a one-click shopping. You can also view the structure details of the service line item in the service details view. You also have the flexibility to order a complete set of services in a service hierarchy or quick order individual services. The flat service view enables the display of only the service line item associated with various service hierarchy structures. This view focuses on displaying the service line item to the user, unlike the Hierarchy view that focuses more on the hierarchical structures.

Prerequisites
You have implemented SAP enhancement package 2 for SAP SRM 7.0 You have activated the switch CAT_702_UI_IMP. You have activated the Business function, SRM Catalog Innovations 2 (SRM_CATALOG_2).

7.1.7 Storing and Displaying Sustainability Information

You use this business process to store and display sustainability information in the SRM MDM catalog. You can upload or maintain sustainability data for the items stored in the catalog. This feature allows you to search and shop for sustainable items and transfer them to the procurement system, for example, to

the shopping cart in SAP SRM. You can also compare various products based on sustainability parameters. A new Sustainability Details tab page has been introduced on the Product Details screen that groups all the sustainability attributes for the items. This tab page displays the impact of these sustainability attributes by color coding them according to the rules defined in customization. The List view, Grid view and Thumbnail view have been enhanced to include columns for displaying images for sustainability indicator and certificates associated with the items. Additionally, on the Search Result screen, you can configure the sustainability indicators for better selection of products based on company sustainability policy.

Prerequisites
You have implemented SAP enhancement package 2 for SAP SRM 7.0. You have activated the Business Function, SRM, Catalog Innovations 2 (SRM_CATALOG_2) and the Customizing Switch Sustainability Enhancements for Catalog (SRM_702_CATALOG_SUSTAIN_ENH).

Process
Add the standard sustainability fields to the catalog. Configure the sustainability indicators in the catalog repository. Assign the rules of sustainability indicators to the catalog items. Configure the sustainability certificate Add the new sustainability fields

7.2 SRM-MDM Catalog for Product Procurement

You use the SRM-MDM Catalog to search, compare, and procure products from suppliers. It provides: Catalog content management functions, such as the import of catalog structures or data, the transfer of catalog items to a procurement application, and search functions Procurement catalogs Supplier catalogs in a Web-based environment

The SRM-MDM Catalog is based on functions provided by SAP NetWeaver Master Data Management (SAP NetWeaver MDM) and bundles together in one specific application those SAP NetWeaver MDM functions required for catalog content management. The figure below displays an overview of the SRM-MDM Catalog.

SRM-MDM Catalog: Overview

Integration
The following table shows the SAP NetWeaver MDM modules included in the SRM-MDM Catalog: MDM Server MDM Import Server MDM Console MDM Import Manager MDM Workflow MDM Data Manager MDM Business Content MDM Java API

Business Scenarios
The search in the catalog repository is integrated with the following SAP SRM and SAP ERP business scenarios: SAP SRM: Self-Service Procurement SAP SRM: Service Procurement SAP SRM: Contract Management SAP ERP: Purchase Requisition (as of SAP ERP 2005) SAP ERP: Purchase Order (as of SAP ERP 2005)

SAP ERP: Work Order (SAP Plant Maintenance (SAP PM) / SAP Project System (SAP PS))

Features
Importing and Mapping Catalog Data
Using the MDM Import Manager, you can: Import data from suppliers such as o o Product catalogs Product hierarchies

The supplier catalogs and product hierarchies can have any format supported by the standard SAP NetWeaver MDM application, such as MS EXCEL, XML, or content from running database systems such as MS SQL, MS ACCESS, or Oracle. The catalog content is compatible with standard classifications such as UNSPSC and eClass. Import product master data, purchasing contracts, and suppliers from SAP SRM Import purchasing contracts and purchasing info records from SAP ERP Upload contract data from SAP SRM 2007 and SAP ERP. For more information, see Import and Mapping of Catalog Data. The system stores contract prices per catalog item together with the contract ID, the amount, and the contract item category. Perform a value and key mapping between the supplier's source and the destination structure. Wherever both are in sync, you can auto-map this data. A matching function ensures that no duplicate data occurs.

Enriching Data from Supplier

Using the MDM Data Manager, you can enrich imported data. For example, you can add images and attachments to records, add new items manually, perform a mass change, or reassign records to another category.

Approval of Supplier Catalog Data

Using the MDM Workflow Manager, you have a framework for defining workflows. You can create your own workflow rules to establish role-based workflows using Microsoft Visio 2003 Standard. When designing your workflow, you can use MDM validations and assign the workflow steps to users or roles.

Providing Data for a Web-Enabled Catalog Search

Using the MDM Data Manager, you can determine the necessary parameters for collecting the data for your procurement catalog(s) and making them accessible on the Web. From the procurement application of the supported business scenarios you can open the SRM-MDM Catalog, select catalog items, and transfer the data.

Fully Configurable User-Specific Search UI

All aspects of the Search UI are configurable to meet user-specific requirements. See User-Specific Configuration for Product Procurement for more details.

Business Add-In (BAdI) for the Open Catalog Interface (OCI) Outbound Process
SAP Supplier Relationship Management (SAP SRM) provides a BAdI for the OCI outbound process for passing dynamic parameters calculated at runtime. For example, you can pass a parameter that restricts the set of product items the user is allowed to retrieve in a search. For more information about transferring additional parameters, see Customizing for Supplier Relationship Management (SAP SRM) under SRM Server Business Add-Ins (BAdIs) External Web

Services (Catalogs, Vendor Lists etc.)

Transfer Additional Parameters

Predefined Catalog Repository

The SRM-MDM Catalog includes a predefined data repository for your catalog data. This standard repository comprises the main table Catalog Items and a number of additional sub-tables, for example, for value lookups or classification. For more information, see Loading Predefined Repositories for Product Procurement and Extending Predefined Repositories.

Inheritance Levels for Supported Languages

The system enables inheritance levels for the supported languages.

Example
US is to be used as the primary language. FR as the secondary language in case US is unavailable. DEsubstitutes the secondary language if FR is unavailable. On the other hand, the language of your content (the data language in fields and tables, for example) can be in any language supported by SAP NetWeaver MDM 7.1. The following table shows the supported languages: Chinese (ZH) Czech (CS) Danish (DA) Dutch (NL) English (US) Finnish (FI) French (FR) German (DE) Greek (EL) Hebrew (HE) Hungarian (HU) Italian (IT) Japanese (JA) Korean (KO) Norwegian (NO) Polish (PL) Portuguese (PT) Russian (RU) Slovakian (SK) Spanish (ES) Swedish (SV) Thai (TH) Turkish (TR)

Constraints
The SRM-MDM Catalog component uses SAP NetWeaver MDM technology. However, it does not cover the full scope of functions provided by SAP NetWeaver MDM.

7.2.1 Roles
The following roles are available for the SRM-MDM Catalog: User Interface (UI) Configuration Manager Can set up user-specific configuration for users who are assigned the Catalog User role. The owner of this role is authorized to configure the Java-based Web Dynpro search UI and the open catalog interface (OCI) mapping. For more information, see SAP Solution Manager under <release> Catalog Content Management Business Processes . to Procurement System Catalog Manager Responsible for importing, managing, and classifying product and contract data in the MDM Import Manager and MDM Data Manager. The Catalog Manager configures masks and named searches. Catalog Content Approver Responsible for approving or rejecting catalog items in the SRM-MDM Catalog workflow. Catalog User Searches for products in the catalog and adds them to a procurement application such as the cart. <project name> Scenario SAP SRM

Searching in Catalog Data Transfer Data

Administrator Has full administrative rights to manage the available functions, maintain roles in the MDM Console, and link them to masks (views). For more information, see Masks. External Integration A technical role that is used for the automatic upload of data via the MDM Import Server. The system user is assigned to this role.

7.2.2 Loading Predefined Repositories for Product Procurement

You use this procedure to make a predefined repository available in your SRM-MDM Catalog.

Prerequisites
In the user-specific configuration UI, the shopping option Product has been selected as the catalog type. For more information, see User-Specific Configuration: Shopping Options. The database server, such as the SQL server, has been started. The MDM server has been installed and started in the MDM Console. For more information, see SAP Service Marketplace at http://service.sap.com/installmdm The predefined catalog repository is stored in the Archives folder of the MDM server installation directory.

Example
The file SRM_MDM_Catalog_.a2a is stored on C:\Program Files\SAP MDM <release>\Server\Archives.

Procedure
1. In the MDM Console, select the compressed file containing the predefined repository and, in the context menu, choose Unarchive Repository. 1. Enter your logon data for the DBMS server. 2. Specify a repository name.

Recommendation
We recommend using a name without spaces or using underscores, such asSRM_MDM_Catalog_<date_info>. 3. Select an archive file from the Archives folder.

Note
The archive files are displayed without the file extension *.a2a. 2. The system unarchives the file and displays the catalog repository in the console hierarchy. 3. Expand the console hierarchy to view the content of the repository and, if required, extend the repository. For more information, see Extending Predelivered Repositories.

Note
To create a new SRM-MDM repository, you must extend the predelivered repository. 4. Select the unarchived catalog repository and, in the context menu, choose Load Repository.

7.2.3 Extending Predefined Repositories

To create a new SRM-MDM Catalog repository, you extend the predefined repository.

Prerequisites
See the prerequisites in Loading Predefined Repositories for Product Procurement. See SAP Note 1454369.

Procedure
1. See step 1 of Loading Predefined Repositories for Product Procurement. 2. Expand the console hierarchy to view the content of the repository. 3. Extend the repository as required. The following options are available: Create tables Add fields to tables Modify fields (for example to become multilingual)

Caution
This option is only available to fields that you have added to the predefined SRM-MDM Catalog repository. Do not modify or delete fields in the predefined SRM-MDM Catalog repository as this can result in errors in the SRM-MDM Catalog search user interface. Reorder fields 4. Select the unarchived catalog repository and, in the context menu, choose Load Repository.

More Information
For more information about extending repositories, see SAP Service Marketplace at http://service.sap.com/installmdm

7.2.4 Import and Mapping of Catalog Data

You use this function to import and map items and item data to the SRM-MDM Catalog.

Integration
To use this function, you need the following SAP NetWeaver Master Data Management (SAP NetWeaver MDM) components: MDM Import Manager Provides data transformation capabilities to preprocess the source data one field at a time prior to the import. For more information about using the MDM Import Manager, see SAP Service Marketplace at http://service.sap.com/installmdm SAP Netweaver MDM 7.1 MDM Import Manager MDM Import Server Provides an automatic upload of data.

Prerequisites
To use the MDM Server for an automatic upload of data: The import maps have been set up with the MDM Import Manager. References from MDM inbound ports to the import maps have been created. The automatic import has started and is dependent on your operating system. For example in Microsoft Windows, the automatic import is started as a service.

Activities
In the MDM Import Manager, you can do the following: Perform parametric imports that list the distinct values for each field in the source data.

Note
If you change a value during the import in a mapping or converting step, this changes the value in all records. Save your mappings and conversions in an import map in the catalog repository for reuse during future imports.

Example
You can create import maps structured according to the following catalog and classification standards: BMEcat UNSPSC Transfer service hierarchies from a Microsoft Excel sheet to SRM-MDM Catalog. Automatic upload of data Record Filtering for Catalog Import In the MDM Import Server, the following activities take place:

To ensure data integrity and consistency of uploaded data, define a workflow that saves records with the statusChecked Out. This allows you to monitor checked out catalog items. These checked out items are inactive records that temporarily exist parallel to active catalog items. For more information, see SAP Service Marketplace at http://service.sap.com/installmdm SAP Netweaver MDM 7.1 MDM Import Manager

More Information
Import of Products, Contracts, and Suppliers from SAP Supplier Relationship Management (SAP SRM) Import of Contracts and Purchase Information Records from SAP ERP

7.2.4.1 Using Record Filtering For Catalog Import

Procedure
1. In the MDM Import Manager, open the Match Records tab. 2. In the Value matching frame, select the relevant mapped destination fields (for example, Supplier and Supplier Part Number) and add them to the Matching Fields frame. 3. In the Records menu, select the Set Filter option.

A dialog window opens where you can select available filter values. 4. Select the relevant value(s) representing the supplier(s) available in your import data.

Note
In the matching step of your catalog import you can set a supplier filter (for example, Supplier 1000) and use it in combination with specific matching fields. The record matching only considers fields assigned to a lookup table. According to the filter criteria, the system selects in the source (import file) and the destination data (catalog repository) either all or only a subset of the available catalog item records. Using the match class Filtered and the match types source and destination, you can completely replace a supplier catalog. 5. Set the match class Filtered and the relevant match type: You can set the following default import actions as listed in the table below: Default Import Actions Match Class Filtered Match Type Source Default Import Action Create This grouping contains all catalog items that are to be newly created in the catalog repository. Filtered Destination Delete This grouping contains all catalog items that are to be deleted in the catalog repository. Comment

7.2.4.2 Import of Products, Contracts, and Suppliers from SAP SRM

You use this function to transfer product, contract, and supplier data from SAP Supplier Relationship Management (SAP SRM) to the SRM-MDM Catalog repository using the MDM Import Manager.

Prerequisites
SAP Note 1454367 has been applied and the SRM-MDM Catalog repository (extraction of currencies, units of measure, and product groups) has been initialized. To ensure that changes to a product such as price, availability, and so on are updated when a new SRM document is being created, the field NEW_ITEM-EXT_PRODUCT_ID must be filled with the catalog database key of the product when the product is transferred for the first time from the product catalog to the SRM server system. The flag Validate Product Data from SAP ERP must be set for the relevant catalog. To include price scales, discounts, and discount scales in your catalog data, contract data must be enriched. For more information, see SAP Solution Manager under <project name> Scenarios SAP SRM <release> MDM Catalog Catalog Content Management Business Processes Enrich Catalog Data. Managing Product Content in SRM-

To transfer additional data together with a contract, such as price scales, discounts, and discount scales, the standard implementation of Business Add-In (BAdI), BBP_SAPXML1_OUT_BADI must be

modified. The BAdI is available in the Customizing for SAP Supplier Relationship Management: Supplier Relationship Management SRM Server Business Add-Ins (BAdIs) SAP XML Outbound Mapping (BBP_SAPXML1_OUT_BADI). SAP XML Interfaces

SAP

Change

Each time a user selects items from the catalog, adds them to the shopping cart, and posts the purchase order, this BAdI updates contract data in the SAP SRM system. For more information, see SAP Solution Manager under <project name> <release> . Catalog Content Management Business Processes and Catalog Transfer Product Data from SRM Scenarios SAP SRM

Managing Product Content in SRM-MDM

Transfer Contract Data from SRM

Features
The SRM-MDM Catalog stores contract prices per catalog item together with the contract ID, the amount, and the contract item category (normal or product category).

Activities
The table below contains the reports and transactions used in the activities for import of products, contracts and suppliers from SAP SRM. Report BBP_CCM_TRANSFER_CATALOG Transaction BBP_CCM_TRANSFER Description Product data is sent from the SAP SRM system to the SRM-MDM Catalog repository. SRMMDM_CTR_TRANSFER SRMMDM_CTR_TRANSFER Contracts are sent from the SAP SRM system to the SRM-MDM Catalog repository. ROS_SUPPLIER_SEND_TO_CATALOG Not Available Suppliers are uploaded from the SAP SRM system to the SRMMDM Catalog repository.

7.2.4.3 Import of Contracts and Purchasing Info Records from SAP ERP
You use this function to import contracts and purchasing info records (PIR) from SAP ERP to the SRMMDM Catalog repository using the MDM Import Manager.

Integration
The following table shows the message interface that is used by the system to transfer contract items and PIRs from SAP ERP: Message Interface for transfer of contract items and PIRs

XI Message Type CatalogueUpdateNotification

XI Outbound Interface

MDM Inbound Interface

MDM M

CatalogueUpdateNotification_Out MDMContractDataTransmission4ProductID_In

MDMC

Message Interface for transfer of contract items and PIRs

XI Message Type CatalogueUpdateNotification

XI Outbound Interface

MDM Inbound Interface

MDM M

CatalogueUpdateNotification_Out MDMContractDataTransmission4ProductID_In

MDMIn

Note
To export the PIR and contract item data together in one message, select them together in the export transaction.

Prerequisites
SAP Note 1454367 has been applied and the SRM-MDM Catalog repository (extraction of currencies, units of measure, product groups, and purchasing organizations) has been initialized.

Activities
The SAP ERP system transfers the values of the following fields: o Material number o o o o o o o o Material/service group Price Order unit Planned delivery time Vendor number Contract number and contract item number Number of purchasing info record Purchasing organization

The SRM-MDM Catalog stores contract prices per catalog item together with the contract ID, the

amount, and the contract item category (normal or product category). Using the transaction MECCM in the SAP ERP system, you replicate the supplier and material information from contract items or PIRs to the SRM-MDM Catalog repository.

7.2.5 Restriction of Access to Catalog Items

You use this function to hide specified database records from view, restrict catalog access to specific parts of the catalog, or to a limited subset of items for specific users.

Prerequisites
You have been assigned the role Catalog Manager or Administrator.

Activities
To restrict access to the catalog, you define: Masks <project name> SAP SRM <release> Named Searches For more information, see SAP Solution Manager under Scenarios Catalog Content Management Business Processes Catalog Define Masks and Named Searches

Managing Product Content in the SRM-MDM

7.2.5.1 Masks
You use this function to partition a single product repository into a number of custom subset repositories without duplicating product records. You can use masks as an alternative to Named Searches. You can set up masks for the following user groups: Employee (users who are assigned the role Employee) Catalog access of the corresponding users is restricted to items in the category Office material. Manager (users who are assigned the role Manager) Catalog access of the corresponding users is unrestricted or includes all categories to which users have procurement authorization.

Prerequisites
You have been assigned the role Catalog Manager or Administrator SAP For user-specific catalog access, masks must be created as part of the system configuration. For more information about masks, see SAP Solution Manager under <project name> Scenarios SRM <release> MDM Catalog Catalog Content Management Business Processes Define Masks and Named Searches

Managing Product Content in the SRM-

Activities
To define masks in the MDM Data Manager, you create an empty mask with a name and language details, and add records to it.

Note
On the search user interface (UI) of the SRM-MDM Catalog, the mask parameter is independent of the user parameter. You can create multiple masks and assign each to a different user. For more information, see SAP Service Marketplace at http://service.sap.com/installmdm

Note
Masks are static objects in contrast to named searches that are dynamic. When you import catalog items and the import replaces existing destination records with incoming source records you must update any masks that contain the replaced records.

7.2.5.2 Named Searches

You use this function to partition a single product repository into a number of custom subset repositories without duplicating product records. You can use them as an alternative to masks. You can, for example, create the following named searches for specific target groups: Employee Catalog The searchable catalog items may be restricted to items of the category Office material. Manager Catalog The searchable catalog items may be unrestricted.

Prerequisites

You have been assigned the role Catalog Manager or Administrator. For more information about named searches, see SAP Solution Manager under Scenarios SAP SRM <release> Catalog Content Management Business Processes Content in the SRM-MDM Catalog Define Masks and Named Searches <project name> Managing Product

Activities
To define a named search in the MDM Data Manager, you run a search either by selecting search parameters or by using the free-form search and save the current search selection as a named search. For more information about defining a search in the MDM Data Manager, see http://service.sap.com/installmdm .

Note
Named searches are dynamic objects. When you import catalog items and the import replaces existing destination records with incoming source records, you do not need to update any named searches. The named search retrieves up-to-date product data.

7.2.6 Validations
You use this SAP NetWeaver Master Data Management (SAP NetWeaver MDM) function to test whether certain conditions are true or false. Price validations, for example, can be set up to: Compare the list price of a catalog item to the contract price Compare the price update of a catalog item transferred by a supplier to the existing price of this item in the catalog

Integration
Assignments You can use assignments in combination with validations or as an alternative to validations. Like validations, assignments are also Excel-like formulas. However, in contrast to validations, assignments do not simply return a TRUE or FALSE value but write the result value of the validation expression into an assigned field. For example the value of the Item Status field of the main table.

Example
You can set up an assignment that calculates the exact percentage of a price change in the catalog items imported from a supplier.

Prerequisites
You have defined the validations. For more information, see SAP Solution Manager under <release> Catalog Content Management Business Processes Catalog Define Validations <project name> Scenarios SAP SRM Managing Product Content in the SRM-MDM

Activities

You define and execute validations in the MDM Data Manager by specifying a corresponding validation expression in the MDM expression editor. An expression comprises field names, attribute names, lookup values, attribute text values, operators, and, functions that you either select or enter manually. You can execute validations interactively, automatically (in workflows), or via APIs. Validations are used to: Approve catalog content in workflows Define complex tests for all types of conditions, and then run those tests against one or more records.

If you select all records, the validation runs against the complete catalog. In Record Mode, validations are used to: Check a record for consistency or wrong field values Check whether a record has the correct values so that it can be successfully transferred to a client

system (such as the Open Catalog Interface (OCI) interface) For more information, see SAP Service Marketplace at http://service.sap.com/installmdm SAP Netweaver MDM 7.1 MDM Data Manager

7.2.7 Enrichment of Catalog Data

You use this function to enrich product data in the MDM Data Manager. Examples of enriching data include: Editing the product classification structure (the taxonomy), for example, adding a new node to the category table Adding new images to the repository Adding validations or assignments and running them against records. For more information, see Validations.

Activities
You can, for example: Add a new category to the taxonomy. To do so, open the taxonomy mode, select a category name, and add a sibling. Afterwards, you create new attributes for the selected category. For more information, see SAP Service Marketplace at http://service.sap.com/installmdm SAP Netweaver MDM 7.1 MDM Data Manager Add new images For more information, see SAP Service Marketplace at http://service.sap.com/installmdm SAP Netweaver MDM 7.1 MDM Data Manager .

Enrich the product data. To do so, match items sent by suppliers with existing product and material IDs (imported either from SAP Supplier Relationship Management (SAP SRM) or SAP ERP), and add the product IDs to the records that the supplier submitted.

Run a validation against a record (in the MDM Data Manager) and execute it either manually or automatically. Add back-end product IDs to catalog items

Note

You do this after: o o Importing product IDs (from SAP SRM) or material IDs (from SAP ERP) Matching them against the catalog items in your repository

7.2.8 MDM Workflows and Approval of Catalog Content

You use these functions in the MDM Data Manager to create, design, and, execute workflows. The import, change, or creation of records triggers MDM workflows. You use these MDM workflows for functions such as approving catalog content, for example a workflow Automatic Approval leads to the following result: All supplier items containing a price change of less than 5% are automatically updated and receive the statusApproved. Supplier items that did not successfully pass the check specified in the validation expression receive the statusTo Be Approved.

Integration
MDM workflows are designed using Microsoft Visio 2003 Standard. These workflows comprise predefined steps for user activities and workflow elements such as validations, approvals, and notifications.

Caution
MDM workflows run independently of the SAP workflow framework and are not the same as other SAP SRM workflows.

Features
You can define MDM workflows, add records, or add model workflow steps that include, for example, validations or assignments. For more information, see SAP Service Marketplace at SAP NetWeaver MDM 7.1 MDM Data Manager Reference http://service.sap.com/installmdm

Activities
Based on specific trigger actions (such as import or update) you can start workflows automatically. For example, in the MDM Import Manager, you can configure a map that launches and assigns records to a workflow after import. After the workflow job has been launched, a workflow job task appears for the responsible user, for example, the owner of the catalog approver role. On completion of the workflow step, the user sends the workflow to the next step.

7.2.9 Search User Interface for Product Procurement

This function provides search strategies for locating products, displaying product item details, and transferring items to procurement applications such as the cart. The Search User Interface (UI) can be configured to meet individual user requirements.

Prerequisites
The User Interface (UI) Configuration Manager is responsible for configuring the search UI. If you cannot access some of the functions and features listed below, check that your user has been correctly configured. For more information, see User-Specific Configuration: Product Procurement

Features
On the Search tab page: Keyword search Advanced Search Hierarchy (category) View Allows you to drilldown when searching. This view also displays product attributes, if they have been maintained. List View (for displaying search results) Displays results with images and a URL to item details Thumbail View (for displaying search results) Navigating up and down the list is possible, and item images are also available. Grid View (for displaying search results) Navigating up and down the list is possible, and item images are also available. In the List View, Grid View, and the Thumbnail View, the following functions are available: Add To Cart Compare for price comparisons. For more information, see Compare Function Cart Preview On the Cart Preview page, the following functions are available: o o o o o o Transfer All Delete Selected Items Empty Cart Back to Search Result Add to Shopping List Recalculate

Add to Shopping List Remove from Shopping List Current search parameters are displayed on the Search Criteria page. Shopping Lists can be maintained on the Shopping Lists page.

7.2.9.1 Shopping Lists

You can use this function as a: Template for orders that are made regularly Search criterion Your User Interface (UI) Configuration Manager has given you shopping list authorization. A shopping list must have at least one item in it to serve as a search criterion.

Prerequisites

To display all items in a shopping list, the search criterion must be reset before the shopping list is selected. This is because the search UI treats the shopping list as a search criterion. Consequently, any other active search criterion reduces the items displayed to a subset of all the items in the shopping list. To display all shopping lists, including empty ones, on the Shopping List page, one of the following conditions must be met: o o No other search criterion has been entered The search has been reset

Activities
When a shopping list is selected as a search criterion, the system restricts the search by removing any items not included in the list from the search result. Items can be added or removed from shopping lists in the shopping cart preview.

Note
Depending on authorization, users can modify either their own shopping lists or those of others.

7.2.10 User-Specific Configuration for Product Procurement

You use this function to configure the search user interface (UI) to meet individual user requirements.

Prerequisites
You are assigned the role UI Configuration Manager in the MDM console.

Features
You can configure the: Shopping options, such as the catalog type (product or service procurement). For more information, see User-Specific Configuration: Shopping Options Item display criteria, such as the available views and availability of electronic forms. For more information, see Item Display Options for Product Procurement Search options, such as the use of attributes, and field types in advanced search fields. For more information, see Search Options for Product Procurement The use of attributes and priorities in the compare function For more information, see Compare Function Shopping Lists Available on the General tab page, you use this function to authorize users to display, create, or maintain their own or others' shopping lists. For more information, see Shopping Lists. Open Catalog Interface (OCI) Mapping For more information, see SAP Solution Manager Business Process Display options Procurement System <project name> Scenarios SAP SRM <release>

Catalog Content Management Searching in Catalog Data Transferring Data to

Available on the Customize Display tab page, you can configure the fields displayed in item lists, grid view, shopping cart preview, compare function, item details, and the thumbnail view.

7.2.10.1 Search Options for Product Procurement

You can use this function to configure search options for individual users.

Prerequisites
You are assigned the role of UI Configuration Manager in the MDM console. You have set the priorities for attributes in the MDM Data Manager in the taxonomy mode.

Features
In the Customize Search tab page: Aspects of search tab such as the list type, hierarchy or selection, availability of advance search and so on can be configured. The search criteria types, dropdown, ranges, or free text are available for the configuration of advanced search fields The following operators are available: Operator Type Text or Hierarchy Field Operators Contains Starts with Ends with Equals Excludes Sounds like Is Null Is Not Null Normalized Text Contains Starts with Ends with Equals Sounds like Is Null Is Not Null Integer or Real Field = < <= > >= <> Is Null

Operator Type

Operators Is Not Null

Boolean Field

True False Is Null Is Not Null

On the General tab page, the following searches are available: Attribute search. This searches for categories and suppliers, and the attribute priority feature is also available. Contract ID search. This searches for items and their prices. AllLookupFields search. This searches using all the lookup fields of the lookup table, instead of only the display field.

More Information
See SAP Solution Manager <project name> Scenarios SAP SRM <release> Search for Items Catalog Content Management Business Processes Searching in Catalog Data

7.2.10.2 User-Specific Configuration: Shopping Options

You can use this function to configure shopping options for individual users.

Prerequisites
You are assigned the role of User-Interface (UI) Configuration Manager in the MDM console.

Features
You can configure the following shopping options: Catalog type The catalog supports the product procurement and the service procurement scenarios. Product procurement is represented by Product and service procurement by Service (MSS)

Note
A catalog is either for product or for service procurement. It is not possible for one catalog to contain both products and services. Cart Enables users to transfer items to a procurement application. Cart Preview Provides: o o o o o A running total with each line item added A recalculate function for updating totals when an item quantity is changed The option of adding selected items to the shopping list Images for sales package items A Delete All Items button for removing items from the shopping cart

A scale price for each line total

Catalog Exploring Display Only Allows users to browse for items in the catalog. However, user cannot procure items, add items to a shopping list, or access the shopping cart preview.

7.2.10.3 Item Display Options for Product Procurement

You can use this function to configure the item display for individual users.

Prerequisites
You are assigned the role of User Interface (UI) Configuration Manager in the MDM console.

Features
On the General tab page, the following features are available: View types A list view provides a URL to item details. A thumbnail view enables navigation up and down. A grid view enables grid mode display All views provide item images. The system issues a warning message if the user adds an item to the shopping cart with an order quantity less than the minimum order specified with the option Use Minimum Quantity as Default. The system restricts the number of items in the hit list with the option Number of Results. The system calculates the scale price of the items for comparison purposes.

Example
CDs are available for purchase in packs of 10, costing 10 euros per pack. The scale price displayed is the price per CD of one euro. Electronic forms (e-forms) For more information, see Integrating Electronic Forms.

7.2.10.5 Integrating Electronic Forms

To order items that require information in a structured manner, such as business cards, electronic forms (e-forms) can be called from the shopping cart preview (SCP).

Prerequisites
Your electronic forms application must be available and the e-forms application archive (JSP, HTML, or Servelet) file is deployed on the web server on the application pathhttp://Server:MessagePort/Webcontext/ApplicationName

Note
If you are not using this application path, check that the path you are using is accessible from the SRM-MDM catalog.

Procedure
1. In the configuration search user interface (UI), choose General. 2. In Shopping Options, choose Cart Preview. 3. In Item Display Criteria, choose Yes for Enable Use of Electronic Forms. 4. In the MDM Data Manager, add the entry Eform to the lookup table Hyperlink Types.

7.2.10.6 Compare Function

5. 6. You use this function for price comparisons between sales packages, accessories, and substitute items.

7. Prerequisites
8. To use Display Product Attributes as part of the comparison, the hierarchy (category) view must also be configured as a visible field. 9. You are assigned the role of UI Configuration Manager in the MDM console. 10. To use attributes and priorities as part of this function, settings must be made in the General tab page of the user-specific configuration.

7.2.11 Catalog Item Types

You use this function to model the different flavors of relationships between: Sales Packages Accessories Substitute Items

Prerequisites
Item types are maintained in the MDM Data Manager

Features
Item Types

Item Type Code N

Item Type Name Normal

Use

Default item type for any item. It refers to an item in the catalog that can be purchased individually. Can also be a component of the item type code SK1 (Fixed Sales Package), SK2 (Configurable Sales Package) or BOM (Bill of Materials). This item type can have accessories and substitutes.

SK1

Fixed Sales Package

Header item of a fixed sales package. This item type can have accessories and substitutes. Header item of configurable sales package. This item type can have accessories and substitutes and optional components assigned to it. Header item of a bill of materials sales package. This item type can have

SK2

Configurable Sales Package

BOM

Bill of Material

Item Types

Item Type Code

Item Type Name

Use

accessories and substitutes. Component C Component of item types SK1, SK2 or BOM. This item type cannot be purchased individually.

7.2.11.1 Sales Packages

You use this function to tell customers about special offers, discounts or the opportunity of buying the selected item with related items at a price cheaper than purchasing the items separately.

Features
The following sales package types are available Fixed Sales Package A group of items in which the header price has a designated price that can be different from the sum of the individual items in the sales package. From a marketing point of view it is expected that the header price would be cheaper than buying the items individually. The user cannot change the quantity of an individual item nor delete any items from this type of sales package. Configurable Sales Package A group of items in which the header price is the same as the sum of the individual items in sales package. The user can delete items or change the quantity of optional items in this sales package. In contrast to a fixed sales package, the header price is calculated. Bill of Materials (BOM) A group of items in which the header price is the same as the sum of the individual items in a sales package. The user can delete items or change the quantity of items in this type of sales package.

7.2.11.2 Substitute Items

You use this function to tell users about items that for business and technical reasons, and within the boundaries of a given industrial concept are acceptable alternatives to the item initially selected.

Integration
Substitute items are defined by the relationship type Substitutes in the MDM Data Manager.

7.2.11.3 Accessories
You use this function to upsell products and services.

Integration
Accessories are defined by the relationship type Accessories in the MDM Data Manager.

Features
An accessory is offered as an optional item and can be ordered individually.

Example
Once a camera of a particular make has been selected for procurement, accessories such as a memory card, camera bag and so on are displayed for purchase.

7.3 SRM-MDM Catalog: Service Procurement

You use the SRM-MDM Catalog to search and procure services from suppliers. It provides: Uploads of service hierarchies from the SAP Supplier Relationship Management (SAP SRM) RFx Uploads of service hierarchies from SAP ERP using the transaction MECCM Upload of service hierarchies and contract details from SAP SRM central contracts Service procurement catalogs Web-enabled catalog search Fully configurable search user interface (UI) Cart Preview. For more information, see User-Specific Configuration: Shopping Options.

The SRM-MDM Catalog is based on functions provided by SAP NetWeaver Master Data Management (SAP NetWeaver MDM) and bundles together in one specific application those SAP NetWeaver MDM functions required for the service procurement scenario. The figure below displays an overview of the upload scenario for service procurement and the service procurement scenario for the SRM-MDM Catalog.

Service Procurement

Legend XML 1 = Hierarchy structure (headers and outlines) XML 2 = Service Items (functional location, infolines and free text) XML 3= Non-hierarchical items (not applicable for service data transferred from SAP ERP)

Integration
The following table shows the SAP NetWeaver MDM components included in the SRM-MDM Catalog for service procurement: MDM Server MDM Import Server MDM Console MDM Data Manager MDM Import Manager MDM Business Content MDM Java API

Business Scenarios
The search in the catalog repository is integrated with the following SAP SRM and SAP ERP business scenarios: SAP SRM: Self-Service Procurement SAP SRM: Service Procurement SAP SRM: Contract Management Import of service hierarchies using the MDM Import Manager with SAP Process Integration (SAP PI) The MDM Import Manager with SAP Process Integration (SAP PI) is used for importing service hierarchies based on the SAP SRM RFx. XML is supported. For more information, see Transferring Service Hierarchies from SAP SRM. Import of service hierarchies from SAP ERP The transaction MECCM is used for importing service hierarchies from SAP ERP. XML is supported. Provision of data for a web-enabled catalog search Using the MDM Data Manager, you can determine the necessary parameters for collecting the data for your procurement catalog and making them accessible on the Web. From the procurement application of the supported business scenarios you can open the SRM-MDM Catalog, select catalog items, and transfer the data. Predefined catalog repository The SRM-MDM Catalog includes a predefined data repository for your catalog data. This standard repository comprises the main table Catalog Items and a number of additional sub-tables, for example, for value lookups or classification. For more information, see Loading Predefined Repositories for Service Procurement. Fully configurable user-specific search UI All aspects of the Search UI are configurable to meet user-specific requirements. For more information, see User-Specific Configuration for Service Procurement.

Features

Inheritance Levels for Supported Languages

The system enables inheritance levels for the supported languages.

Example
US is to be used as the primary language. FR as the secondary language in case US is unavailable. DEsubstitutes the secondary language if FR is unavailable. On the other hand, the language of your content (the data language in fields and tables, for example) can be in any language supported by SAP NetWeaver MDM 7.1. The following table shows the supported languages: Chinese (ZH) Czech (CS) Danish (DA) Dutch (NL) English (US) Finnish (FI) French (FR) German (DE) Greek (EL) Hebrew (HE) Hungarian (HU) Italian (IT) Japanese (JA) Korean (KO) Norwegian (NO) Polish (PL) Portuguese (PT) Russian (RU) Slovakian (SK) Spanish (ES) Swedish (SV) Thai (TH) Turkish (TR)

Constraints
The SRM-MDM Catalog component for service procurement uses SAP NetWeaver MDM technology. However, it does not cover the full scope of functions provided by SAP NetWeaver MDM.

Note
Service procurement data can only be uploaded from SAP SRM or SAP ERP. For more information, see: Transferring Service Hierarchies from SAP SRM Transferring Service Hierarchies from SAP ERP SAP Note 1250442

7.3.1 Roles
The following roles are available for the SRM-MDM Catalog: User Interface (UI) Configuration Manager Can set up user-specific configuration for users who are assigned the Catalog User role. The owner of this role is authorized to configure the Java-based Web Dynpro search UI and the open catalog interface (OCI) mapping. For more information, see SAP Solution Manager under <release> Catalog Content Management Business Processes . to Procurement System Catalog Manager Responsible for importing, managing, and classifying product and contract data in the MDM Import Manager and MDM Data Manager. The Catalog Manager configures masks and named searches. Catalog Content Approver Responsible for approving or rejecting catalog items in the SRM-MDM Catalog workflow. Catalog User Searches for products in the catalog and adds them to a procurement application such as the cart. Administrator Has full administrative rights to manage the available functions, maintain roles in the MDM Console, and link them to masks (views). For more information, see Masks. External Integration A technical role that is used for the automatic upload of data via the MDM Import Server. The system user is assigned to this role. <project name> Scenario SAP SRM

Searching in Catalog Data Transfer Data

7.3.2 Loading Predefined Repositories for Service Procurement

You use this procedure to make a predefined repository available in your SRM-MDM Catalog for the service procurement scenario.

Prerequisites

In the user-specific configuration UI, the shopping option Service (MSS) has been selected as the catalog type. For more information, see User-Specific Configuration: Shopping Options. The database server, such as the SQL server, has been started. The MDM server has been installed and started in the MDM Console. For more information, see SAP Service Marketplace at http://service.sap.com/installmdm The predefined catalog repository is stored in the Archives folder of the MDM server installation directory.

Example
The file SRM_MDM_Catalog_.a2a is stored on C:\usr\sap\<Instance name >\MDS<no.>\mdm\archives.

Procedure
1. In the MDM Console, select the compressed file containing the predefined repository and, in the context menu, choose Unarchive Repository. 1. Enter your logon data for the DBMS server. 2. Specify a repository name.

Recommendation
We recommend using a name without spaces or using underscores, such asSRM_MDM_Catalog_<date_info>. 3. Select an archive file from the Archives folder.

Note
The archive files are displayed without the file extension *.a2a. 2. The system unarchives the file and displays the catalog repository in the console hierarchy. 3. Expand the console hierarchy to view the content of the repository. 4. Select the unarchived catalog repository and, in the context menu, choose Load Repository.

7.3.3 Transferring Service Hierarchies from SAP SRM

You use this procedure to transfer a service hierarchy based on an RFx from SAP SRM to the SRM-MDM Catalog in the service procurement scenario. It is possible to transfer hierarchical and non-hierarchical items from an RFx to the SRM-MDM Catalog.

Prerequisites
You are a purchaser. You are in the Strategic Sourcing navigation area. The RFx response has been accepted.

Procedure
1. Select the RFx response and choose Responses and Awards. 2. Choose the Items tab page.

3. Choose Publish to Catalog to transfer the items to the catalog.

Result
To check that items have been transferred to the catalog, run transaction SXMB_MONI, and check that at least two XMLs have been passed from SAP SRM to SAP Process Integration (SAP PI). An XML containing the hierarchical structure (headers and outlines) and an XML containing service items (functional location and free text) must have been passed. The other XML is passed only if you have transferred non-hierarchical items. For more information about catalog item types, see Catalog Item Types for Service Procurement.

7.3.4 Transferring Service Hierarchies from SAP ERP

You use this procedure to transfer service hierarchies from SAP ERP to SRM-MDM Catalog.

Procedure
1. Logon to SAP ERP, and run transaction MECCM. 2. Select the Select Contract Items checkbox. 3. Enter data in the Vendor, Purchasing Organization, Material, and Plant fields. 4. In the Language-Indep. Catalog Name field, enter the catalog name. 5. In the Date of Price Determination field, enter a date on which the price of service items should be calculated. 6. Deselect the Test Run checkbox. 7. Choose Execute.

7.3.5 Restriction of Access to Catalog Items

You use this function to hide specified database records from view, restrict catalog access to specific parts of the catalog, or to a limited subset of items for specific users.

Prerequisites
You have been assigned the role Catalog Manager or Administrator.

Activities
To restrict access to the catalog, you define: Masks <project name> SAP SRM <release> Named Searches For more information, see SAP Solution Manager under Scenarios Catalog Content Management Business Processes Catalog Define Masks and Named Searches

Managing Product Content in the SRM-MDM

7.3.6 Search User Interface for Service Procurement

This function provides search strategies for locating services, service item details, and transferring service items to procurement applications such as the cart. The Search User Interface (UI) can be configured to meet individual user requirements.

Prerequisites
The User Interface (UI) Configuration Manager is responsible for configuring the search UI. If you cannot access some of the functions and features listed below, check that your user has been correctly configured. For more information, see User-Specific Configuration: Service Procurement.

Features
On the Search page: Keyword search Advanced search MSS Hierarchy/Selection list

The search results are displayed in a hierarchical list On the Results page, you can do the following: Expand the selected headers to display outline items Add items to the cart preview Display the cart preview. This feature displays the services selected on the Preview tab page. The Preview tab page comprises the functions Transfer All Services (to a procurement application), Delete Selected Services,Delete All Services, Back to Search Result, Recalculate Price. Display the current search parameters on the Search Criteria page.

7.3.7 User-Specific Configuration for Service Procurement

You use this function to configure the search user interface (UI) to meet individual user requirements.

Prerequisites
You are assigned the role UI Configuration Manager in the MDM console.

Features
You can configure the: Shopping options, such as the catalog type (product or service procurement). For more information, see User-Specific Configuration: Shopping Options Open Catalog Interface (OCI) Mapping For more information, see SAP Solution Manager Catalog Content Management Procurement System Search options, such as the use of field types in advanced search fields. For more information, see Search Options for Service Procurement. Business Processes <project name> Scenarios SAP SRM <release>

Searching in Catalog Data Transferring Data to

7.3.7.1 Search Options for Service Procurement

You can use this function to configure search options for individual users.

Prerequisites
You are assigned the role of UI Configuration Manager in the MDM console.

Features
In the Customize Search tab page: Aspects of search tab such as the list type, hierarchy or selection, availability of advance search and so on can be configured. The search criteria types, dropdown, ranges, or free text are available for the configuration of advanced search fields The following operators are available: Operator Type Text or Hierarchy Field Operators Contains Starts with Ends with Equals Excludes Sounds like Is Null Is Not Null Normalized Text Contains Starts with Ends with Equals Sounds like Is Null Is Not Null Integer or Real Field = < <= > >= <> Is Null Is Not Null Boolean Field True False Is Null Is Not Null

More Information
See SAP Solution Manager <project name> SAP SRM <release> Scenarios Catalog Content Management Business Processes Searching in Catalog Data Search for Items

7.3.7.2 User-Specific Configuration: Shopping Options

You can use this function to configure shopping options for individual users.

Prerequisites
You are assigned the role of User-Interface (UI) Configuration Manager in the MDM console.

Features
You can configure the following shopping options: Catalog type The catalog supports the product procurement and the service procurement scenarios. Product procurement is represented by Product and service procurement by Service (MSS)

Note
A catalog is either for product or for service procurement. It is not possible for one catalog to contain both products and services. Cart Enables users to transfer items to a procurement application. Cart Preview Provides: o o o o o o A running total with each line item added A recalculate function for updating totals when an item quantity is changed The option of adding selected items to the shopping list Images for sales package items A Delete All Items button for removing items from the shopping cart A scale price for each line total

Catalog Exploring Display Only Allows users to browse for items in the catalog. However, user cannot procure items, add items to a shopping list, or access the shopping cart preview.

More Information
See SAP Solution Manager under Management Business Process <project name> Scenarios SAP SRM <release> . Catalog Content Searching in Catalog Data Search for Items

7.3.8 Catalog Item Types for Service Procurement

Prerequisites
Item Types are maintained in the MDM Data Manager.

Features
Item Type Code R O F Item Type Name Header Outlines Functional Location L Free Text By default each hierarchy has a header and it acts as a root for the hierarchy. Outlines are attached below this header and can exist at different levels Refers to an item type of service items. Service items of this type are maintained in the service master data of either SAP ERP or SAP SRM Refers to a service item type but these can be added as needed as no master data is maintained for them in either SAP ERP or SAP SRM. I Info lines Refers to a service item type. These are added to provide more information about the hierarchy. These items cannot be shopped. Use

7.3.9 Transferring Service Hierarchies from Microsoft Excel

You use this procedure to transfer service hierarchies from a Microsoft Excel sheet to the SRM-MDM Catalog. The relevant Customizing switch is Service Procurement Enhancements for SRM-MDM Catalog (CAT_701_CTR_UPLOAD),

Prerequisites
You have prepared the data to be imported using the XML templates. You have identified the service repository to which the data must be imported, and have been assigned the Administrator role for that repository.

Procedure
1. Using SAP MDM Import Manager, connect to the service repository using the following data: Type: Excel Remote system: SRM File Open , and select the map _XLS_Structure. 2. In the File name field, select the Microsoft Excel file to be exported, and choose Finish. 3. Choose

Note
Ensure that the source is XLS1, and the destination table is MSS Hierarchy. 4. Choose the Import Status tab, and ensure that the status is Ready to Import.

Note
If the status is Map MSS Hierarchy <Split Hierarchy> field Value(s), proceed as follows: 1. On the Map Fields/Values tab, select the corresponding map. 2. Choose Add Add Branch as Child . 3. Choose the Import Status tab, and ensure that the status is Ready to Import.

Choose Execute Import. Repeat steps 3-5 for the following maps: _XLS_Structure_Price _XLS_MSS_ITEM _XLS_MSS_ITEM_PRICE Using SAP MDM Data Manager, logon to the service repository and ensure that the data has been imported.

7.3.10 Transferring Service Hierarchies from SRM-MDM Catalog to SAP SRM Central Contracts
You use this procedure to transfer service hierarchies from SRM-MDM Catalog to a SAP Supplier Relationship Management (SAP SRM) central contract in the service procurement scenario.

Prerequisites
You have been assigned the Strategic Purchaser role.

Procedure
1. Logon to SAP SRM, and choose 2. Choose Create Contract. 3. Choose services. . Overview/Items Add Line From Catalog . Add to Cart Cart Preview Transfer 4. Select a service item with a hierarchical structure, and choose This transfers the service item from SRM-MDM Catalog. 5. Enter the required data, and save the contract. Strategic Purchasing Contract Management Contract .

8.

Procurement for Public Sector (PPS)

Procurement for Public Sector (PPS) is tailored to meet the procurement needs of public sector organizations. PPS is based on SAP Supplier Relationship Management (SAP SRM), in many cases extending and augmenting standard SAP SRM functionality to meet the demands of public sector organizations. PPS offers cost savings and improved efficiency through seamless integration between the contract management and financial processes, while complying with international procurement policies and public regulations.

Prerequisites
In SAP ERP, you have activated the Enterprise Extension Public Services (EA-PS). Depending on the required functions in PPS, you have activated a selection of the following business functions: Required Function in PPS Configurable item hierarchies Shopping cart commitment Pricing arrangements Period of performance Fast Pay Acceptance period Earmarked funds Smart number Account assignment distribution Incremental funding system. In SAP SRM, you have activated the following business functions: SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1) SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1) Business Function in SAP ERP PS_GOVPROC_ITEMTYPES PS_GOVPROC_SCCMT PSM_GOVPROC_PA PSM_GOVPROC_JFMIP PSM_GOVPROC_JFMIP PSM_GOVPROC_JFMIP PSM_PPS_INTEGRATION PSM_PPS_INTEGRATION PSM_PPS_INTEGRATION PSM_PPS_INTEGRATION Available From SAP_APPL, SAP ERP 6.0, EHP 3 SAP_APPL, SAP ERP 6.0, EHP 3 EA-PS in SAP ERP 6.0, EHP 3 EA-PS in SAP ERP 6.0, EHP 3 EA-PS in SAP ERP 6.0, EHP 3 EA-PS in SAP ERP 6.0, EHP 3 EA-PS in SAP ERP 6.0, EHP 4 EA-PS in SAP ERP 6.0, EHP 4 EA-PS in SAP ERP 6.0, EHP 4 EA-PS in SAP ERP 6.0, EHP 4

For more information about the individual business functions, see the documentation in the SAP ERP

Integration
Extended Classic Scenario
PPS procurement documents are created in SAP SRM, and financial processes, such as goods receipt (GR) and invoice receipt (IR), occur in SAP ERP. Therefore, to be able to take advantage of PPS functionality, you must have SAP ERP installed on your system and activated the extended classic scenario. For more information about the extended classic scenario, see Technical Scenarios.

Note
The following technical scenarios are not supported for SAP PPS: Classic scenario (prerequisite for the Service Procurement business scenario)

Standalone scenario SAP SRM in one client in SAP ERP

SAP Document Builder

You can use SAP Document Builder to create and manage complex procurement documents that are frequently used in public sector organizations to meet legal requirements. SAP Document Builder is a content-driven, cross-application solution powered by SAP Net Weaver. You can create complex documents, utilizing business content from the procurement application, text clauses based on legal regulations, and definable rules. Within PPS, you can create contracts, RFx documents, and purchase orders with SAP Document Builder. For more information, see the documentation for SAP Document Builder at Builder . SAP xApps SAP Document

SAP Records Management

SAP Records Management is a document management system that allows you to store electronic records of purchasing documents, follow-on processes, and of related documentation. It also provides central access to these electronic records at any time. For example, SAP Records Management automatically creates a record for a purchase order. In the course of the procurement process, data from goods receipts and from invoices is added to the record. Moreover, the record also contains documentation complementing the procurement data, such as contractual agreements, e-mails, or correspondence with your supplier. Thus, SAP Records Management supports you in fulfilling your requirements regarding document storage, for example audit requirements. Within PPS, electronic records can be created automatically for purchase requisitions, RFx documents, purchase orders, and contracts. The system provides navigation from procurement documents to the related electronic record, as well as from the record in SAP Records Management to the procurement document in the procurement application. SAP Records Management is part of SAP NetWeaver. To use SAP Records Management for SAP SRM, you must use an SAP ERP system (minimum SAP ERP 6.0). SAP does not support that you use the SAP Records Management that is located in the SAP SRM system. For more information, see the Configuration documentation in SAP Solution Manager under <project name> SAP SRM 7.0 EHP1 Basic Settings for SAP SRM Cross-Application Settings Integration with other SAP Components Integration with SAP Records Management

Features
For an overview of the functions that are available with Procurement for Public Sector, see the following documents: Features of SRM, Cross-Industry Functions Features of SRM, Procurement for Public Sector

8.1 SRM-PPS: Business Scenario Descriptions 8.1.1 Public Sourcing and Tendering

You use this business scenario to manage complex, highly-regulated, competitive RFx processes. You can create legally-compliant documents within a secure infrastructure that integrates SAP Records Management and procurement processes to fulfill audit requirements. This business scenario is modified if you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the Customizing switch RFx Response Submission Outside Firewall(SRM_701_SUCO_BIDDER_DECOUP). In this case, RFx respondents can create and submit their RFx responses in an SAP Supplier Relationship Management (SAP SRM) system outside the firewall of your organization. This further enhances the security of the SAP SRM system, as it prevents RFx respondents from being able to log on directly to the purchaser's instance of the SAP SRM system, which may contain other sensitive information.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see the Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl. You have activated the SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) business function and the Customizing switches that are mentioned in the documentation of the business processes listed below.

Process
The following business processes are available: Prequalification of RFx Respondents Public RFx Publishing Tender Fee Processing Earnest Money Deposit Handling Two-Envelope RFx Response Multi-Party Verification at RFx Response Opening RFx Response Evaluation Electronic Contract File Creation Analyzing Public Sourcing and Tendering

8.1.1.1 Prequalification of RFx Respondents

You use this business process to identify and select qualified suppliers, who are then allowed to submit RFx responses as part of a competitive procurement process. Prequalification questionnaires can be customized to include information such as compliance to required standards, demonstration of financial capability, or proof of past performance. Typically, prequalification questionnaires are used on first contact as a means of evaluating prospective RFx respondents. The suppliers answers are evaluated based on predefined criteria, and can be used throughout the entire sourcing cycle to support additional supplier selection needs as they arise.

Note
This standard business process is not supported if you have activated the SRM, Supplier Collaboration(SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall(SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. To enable creation and submission of prequalification questionnaires in an SAP Supplier Relationship Management (SAP SRM) system outside

the firewall of your organization, you can establish a remote function call (RFC) connection between the SRM Server system outside the firewall and the purchaser's SRM Server system. Note that this is a customer enhancement.

Prerequisites
You have activated the Procurement for Public Sector: Prequalification Questionnaire(PPS_701_PREQUALIF_QUEST) Customizing switch.

Process

The following business process runs in SRM Server: 1. Define prequalification criteria 2. Publish prequalification questionnaire 3. Receive supplier responses 4. Evaluate supplier responses 5. Accept or reject RFx response based on prequalification questionnaire

8.1.1.2 Public RFx Publishing

You use this business process to publish public sector business opportunities that are available for response by private companies. You can publish an RFx document containing information about an opportunity according to the publication requirements of the country or region. Public sector RFx documents are usually published on a governmental or organizational Web site, or in a hardcopy format such as a journal or other periodical.

This business process is modified if you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. In this case, the published RFx is sent to the RFx respondent's SRM Server system outside the firewall using an SAP NetWeaver Process Integration (SAP NetWeaver PI) system.

Process

1. Create RFx (SRM Server) 2. Define options information (SRM Server) 3. Upload RFx from file (SRM Server) 4. Complete and save RFx (SAP Document Builder) 5. Approve publication of RFx (SRM Server)

8.1.1.3 Tender Fee Processing

You use this business process when your organization requires that an RFx respondent pays a tender fee in order to download or receive a print copy of an RFx document. RFx respondents can use an online, electronic payment option to simultaneously pay the tender fee and download the RFx documents. An offline payment of the tender fee is also possible. This business process is modified if you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. In this case, RFx respondents can create and submit their RFxs responses in an SAP Supplier Relationship Management (SAP SRM) system outside the firewall of your organization.

Note
If you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch, online payment of tender fees is not supported from the SRM Server systems where RFx respondents submit their responses. If you want to implement online payment, you can establish an RFC connection between the SRM Server system outside the firewall and the purchaser's SRM Server system (for recording the payment). Note that this is a customer enhancement.

Prerequisites
You have activated the SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) business function and the Tender Fee (SRM_701_TENDER_FEE) Customizing switch. You have created an RFx that requires the potential RFx respondent to pay a tender fee before receiving the RFx document.

Process

1. Submit tender fee (RFx respondent) (Public Sector Accounting) 2. Process tender fee (Public Sector Accounting) 3. Confirm tender fee receipt (Public Sector Accounting) 4. Download RFx (RFx respondent) (SAP SRM)

8.1.1.4 Earnest Money Deposit Handling

You use this business process when your organization requires that an RFx respondent pays a deposit in order to submit an RFx response. This earnest money deposit acts as a guarantee of performance if the RFx respondent is awarded the purchase order or contract. After a contract or purchase order has been

awarded, you can refund the earnest money deposits to unsuccessful RFx respondents. The deposit of the successful respondent can be placed in accounts receivable and then returned on completion of the order or contract. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. This is because earnest money deposits are not made online, but manually. Alternatively, the deposits can be made , for example, as bank guarantees.

Prerequisites
You have activated the SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) business function and theEarnest Money Deposit (SRM_701_EARNEST_MONEY_DEP) Customizing switch. You have created an RFx document that requires payment of an earnest money deposit.

Process

1. Submit earnest money deposit payment (RFx respondent) (Public Sector Accounting) 2. Process earnest money deposit (Public Sector Accounting) 3. Confirm earnest money deposit (Public Sector Accounting) 4. Submit RFx response (RFx respondent) (SRM Server) 5. Evaluate RFx responses (SRM Server) 6. Award order or contract to successful respondent (SRM Server) 7. Refund earnest money deposit to unsuccessful respondents (Public Sector Accounting) 8. Place successful respondent's earnest money deposit in accounts receivable (Public Sector Accounting)

9. Return earnest money deposit to successful respondent at end of order or contract (Public Sector Accounting)

8.1.1.5 Two-Envelope RFx Response

You use this business process to create and publish RFx documents that require separate price and technical RFx responses. Typically, the technical evaluation panel is denied access to the price RFx response. This prevents the evaluation team of technical and functional reviewers from seeing the pricing and administrative data submitted by the RFx respondent. This supports the public sector practice of negotiated procurements that are conducted to give equal or more weight to non-price factors when choosing a supplier. This business process is modified if you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. In this case, RFx respondents can create and submit their technical RFx responses in an instance of cFolders that is located in the SAP Supplier Relationship Management (SAP SRM) system outside the firewall of your organization. As a result, documents are transmitted between the systems using an SAP NetWeaver Process Integration (SAP NetWeaver PI) system. This affects, for example: The technical RFx response that is returned to the purchaser's SRM Server system The documents contained in a technical RFx response folder (or its subfolders) that a purchaser has created within a two-envelope RFx The documents contained in a technical RFx response folder (or its subfolders) that an RFx respondent has created within a two-envelope RFx response

Prerequisites
You have activated the SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) business function and the Two-Envelope RFx Response (SRM_701_TWO_ENVELOPE) Customizing switch.

Process

1. Create RFx (PPS) (SRM Server) 2. Upload RFx from file (PPS) (SRM Server) 3. Complete and save RFx (PPS) (SAP Document Builder) 4. Approve publication of RFx (PPS) (SRM Server) 5. Submit technical RFx response (envelope 1) (SRM Server) The RFx respondent submits a technical response. 6. Submit price RFx response (envelope 2) (SRM Server) The RFx respondent submits a price RFx response.

8.1.1.6 Multi-Party Verification at RFx Response Opening

You use this business process to control access to RFx responses. In order to view an RFx response, at least two parties have to log on to the system within a defined time period. These parties could be, for example, two purchasers, or a purchaser and the RFx respondent. Multi-party verification at RFx response opening helps to prevent fraud during the evaluation of RFx responses. This business process is modified if you have activated the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the Customizing switch RFx Response Submission Outside

Firewall(SRM_701_SUCO_BIDDER_DECOUP). In this case, RFx respondents cannot directly participate in the RFx response opening process, since they do not have access to the purchaser's SRM Server system.

Prerequisites
You have activated the SRM, Strategic Sourcing Innovations (SRM_SOURCING_1) business function and theSimultaneous Logon at RFx Response Opening (SRM_701_SIMULTANEOUS_LOGON) Customizing switch.

Process

The following business process runs in SRM Server: 1. Simultaneous logon at RFx response opening (supplier and purchaser) 2. Simultaneous logon at RFx response opening (two government officials)

8.1.1.7 RFx Response Evaluation

You use this business process to compare RFx responses from different suppliers and to decide on a supplier. The RFx responses can be displayed side-by-side allowing you to easily compare the data contained in each response. The exact evaluation procedure varies depending on the requirements of your organization and the evaluation schema used.

Prerequisites
You have created an RFx in SRM Server and have received RFx responses from several RFx respondents. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. This is because the RFx response evaluation is performed exclusively in the purchaser's SRM Server system.

Process

The following business process runs in SRM Server: 1. Evaluate RFx response 2. Accept RFx response 3. Approve RFx response

8.1.1.8 Electronic Contract File Creation

You can use this business process to allow the system to create an electronic file for each contract or purchase order. This file is used as the basis for evaluation and award, the performance of the contract or purchase order, and goods receipts and payments. The file also captures versions (changes) to the contract or purchase order, closeout, and other information required by contracting agency regulations. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. This is because the information relevant for electronic contract file creation is available in the purchaser's SRM Server system, and access to an RFx respondent's system is not relevant.

Prerequisites
You have created a purchase requisition, RFx, RFx response, contract, purchase order, change version, goods receipt, invoice receipt, or closeout.

Process

The following business process runs in Application Server ABAP: 1. Capture purchase request 2. Capture RFx 3. Capture RFx response 4. Capture contract or purchase order 5. Capture contract or purchase order versions 6. Capture goods receipts 7. Capture invoice receipts 8. Capture payment information

9. Capture closeout records

Result
As a result of this process, the electronic contract file contains copies of all documents (for example, purchase requisitions, RFxs, successful and unsuccessful RFx responses, contracts or purchase orders, approvals, goods receipts, invoices, and external notifications) created in the procurement process.

8.1.1.9 Analyzing Public Sourcing and Tendering

You use this business process to analyze information about the way in which public sourcing and tendering is conducted. The purchasing organization can analyze procurement information and use the information to respond to management queries, ensure compliance with applicable procurement regulations, identify areas for process improvements, such as reducing procurement cycle time, and achieve savings over a large spend volume. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and of the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. This is because the analyses occur exclusively in the purchaser's SRM Server system and not in the supplier's system outside the firewall.

Prerequisites
You have created a purchase requisition.

Process

The following business process runs in SAP NetWeaver Business Intelligence 1. System collects data 2. View reports 3. Work with reports

8.1.2 Contract Management and Administration

You can use this business scenario to allow a professional purchaser to negotiate a contract or purchase order with a supplier. This negotiation may be based on the outcome of the tendering process as described in the Public Sourcing and Tendering business scenario. Once pricing arrangements, clauses, payment, terms, and delivery conditions have been agreed upon, the contract or purchase order enters an approval workflow. Upon approval, the contract or purchase order is centrally created in SAP Supplier Relationship Management (SAP SRM). Operational purchasers can take advantage of the conditions negotiated. When users seek a specific product or service from a contract or contract-type line item in a mixed-use purchase order, a purchase order is created, which is then sent to the supplier. The supplier ships the required goods or provides the service to the designated recipient. The user then completes a goods receipt or service entry on the basis of which the supplier creates an invoice. The invoice is then paid by the organization in charge of payment. Additionally, the system automatically creates an electronic contract file that contains all procurement documents created. After award, any contract or purchase order modifications, as well as their supporting documentation, are also automatically added to the electronic contract file. The file continues to capture contractual information through closeout.

Prerequisites Process
The following business processes are available: Complex Contract Creation (SAP Document Builder) Guaranteed Minimum Definition Closeout Execution Contract Tracking and Monitoring Electronic Contract File Creation Post-Award Procedure Options Definition Incremental Funding

8.1.2.1 Complex Contract Creation with SAP Document Builder

You can use this business process to create a contract from a successful bid and solicitation. This process allows the incorporation of clauses required by public sector regulations using SAP Document Builder. You then approve a contract or purchase order. In this process, you fulfill public sector-specific financial obligations, notify unsuccessful bidders, and report award of contracts to external public sector entities.

Prerequisites
A complex contract is created in this process to fulfill a requirement identified in the Public Sourcing and Tendering scenario.

Process

1. Create contract (SRM Server) 2. Engage SAP Document Builder (SAP Document Builder) 3. Select terms and conditions (SAP Document Builder)

4. Negotiate contracts (SRM Server) 5. Renew contract (SRM Server) 6. Define contract hierarchies (SRM Server) 7. Define supplier hierarchies (SRM Server) 8. Define product category hierarchies (SRM Server) 9. Define discounts based on released values (SRM Server) 10. Define quota arrangements (SRM Server) 11. Execute contracts (SRM Server)

Result
The result of this business process is the creation and execution of a legally compliant contract.

8.1.2.2 Guaranteed Minimum Definition

You can use this business process to ensure that a contract-specified minimum order amount is awarded to the supplier during the course of the contract, or to commit, obligate, and pay the supplier the difference between the guaranteed minimum amount and the amount of actual orders at contract completion.

Process

1. Determine account assignment for guaranteed minimum amount (SRM Server) 2. Enter guaranteed minimum amount (SRM Server) 3. Monitor value of release orders against contract or purchase order (SRM Server)

4. Verify whether guaranteed minimum has been met (SRM Server) 5. Process payment for unmet minimum (SAP ECC)

Result
The result of this business process is that the supplier receives a contract-specified order amount.

8.1.2.3 Closeout Execution

You can use this business process to ensure that all administrative and contractual requirements mandated by the public sector are fulfilled after the goods or services have been received and the supplier has been paid upon completion of a contract or purchase order.

Prerequisites
All contractual requirements have been fulfilled, good and services have been received, and the supplier has been paid.

Process

The following business process runs in SRM Server: 1. Identify contract or purchase order eligible for closeout 2. Close out contract or purchase order

Result
The result of this business process is to help ensure that appropriate legal requirements for closeout of a contract or purchase order are fulfilled.

8.1.2.4 Contract Tracking and Monitoring

You can use this business process to allow the business user and professional purchaser to track the status of a requirement, from requirements description through the award and post-award of a contract.

Process

1. Send and receive alerts (SRM Server) 2. Process reports in Business Warehouse (SAP NetWeaver: Business Intelligence) 3. Analyze procurement data (SAP NetWeaver: Business Intelligence) 4. Perform operational reporting (SAP NetWeaver: Business Intelligence) 5. Perform strategic reporting (SAP NetWeaver: Business Intelligence)

Result
The result of this business process is active and timely tracking information about a requirement.

8.1.2.5 Electronic Contract File Creation

You can use this business process to allow the system to create an electronic file for each contract or purchase order. This file is used as the basis for evaluation and award, the performance of the contract or purchase order, and goods receipts and payments. The file also captures versions (changes) to the contract or purchase order, closeout, and other information required by contracting agency regulations. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP) Customizing switch. This is because the information relevant for electronic contract file creation is available in the purchaser's SRM Server system, and access to an RFx respondent's system is not relevant.

Prerequisites

You have created a purchase requisition, RFx, RFx response, contract, purchase order, change version, goods receipt, invoice receipt, or closeout.

Process

The following business process runs in Application Server ABAP: 1. Capture purchase request 2. Capture RFx 3. Capture RFx response 4. Capture contract or purchase order 5. Capture contract or purchase order versions

6. Capture goods receipts 7. Capture invoice receipts 8. Capture payment information 9. Capture closeout records

Result
As a result of this process, the electronic contract file contains copies of all documents (for example, purchase requisitions, RFxs, successful and unsuccessful RFx responses, contracts or purchase orders, approvals, goods receipts, invoices, and external notifications) created in the procurement process.

8.1.2.6 Post-Award Procedure

You can use this business process to respond to requests for post-award contract and purchase order change versions. Non-transactional information such as e-mails and records of meetings and telephone calls are associated with the contract or purchase order and stored as part of the electronic file. A record of all information about the incident, including reviews, approvals, and modifications, is linked to the original contract or purchase order and accessible as part of the electronic contract file.

Process

1. Receive request for post-award contractual action (Application Server ABAP) 2. Initiate a case referencing appropriate contract or purchase order (Application Server ABAP) 3. Route case as necessary for approval (SAP ECC) 4. Create change version (SRM Server)

5. Release change version (SRM Server)

Result
The result of this business process is the creation of a change version of a contract or purchase order.

8.1.2.7 Options Definition

You can use this business process to include optional line items in contracts and purchase orders.

Prerequisites
You have a requirement that includes optional line items.

Process

The following business process runs in SRM Server: 1. Create contract or purchase order with options information 2. Process contract or purchase order 3. Receive notification of option lines due for exercise

4. Select contract or purchase order 5. Change contract or purchase order 6. Exercise option 7. Approve contract or purchase order version 8. Send contract or purchase order version to supplier

Result
The result of this business process is a contract or purchase order version that activates optional line items.

8.1.2.8 Incremental Funding

You can use this business process to award a contract or purchase order for an amount greater than the funding that is currently available. This business process supports the public sector practice of awarding contracts for multi-year efforts while providing actual funding as appropriated funds are approved.

Prerequisites
You have created a purchase request.

Process

The following business process runs in SRM Server: 1. Create incrementally funded order 2. Issue modification to increase funding

Result
The result of this business process is a modification to a contract or purchase order that increases funding.

8.1.3 Operational Procurement

You can use this business scenario to process the requirements that have been created and released for procurement (for example, demands for spare parts coming from plant maintenance, demands for raw materials determined in a planning run, or requests for office supplies entered by an employee.) Requirements are transferred to the purchasing department as purchase requisitions. They are presented to the purchaser in work lists that support him in converting the requisitions into contracts or purchase orders. The purchaser can check the source of supply and the price and conditions that have been assigned to a requisition and start a request for quotation or bidding process if necessary. Release procedures are available to control critical procurement processes.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see the Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl.

Process
The following business processes are available: Complex Sourcing Exercise Options Electronic Contract File Creation Budget Integration Order Tracking Acceptance at Origin for PPS Acknowledgement and Delivery Invoice Verification Selective Release Workload Prioritization Workload Redistribution

Result
As a result of this scenario, requirements are converted into contracts or purchase orders. Supervisors can prioritize workload or redistribute workload among purchasers, depending upon personnel availability. Purchase orders are acknowledged and invoices are verified, and purchase orders are processed for payment.

8.1.3.1 Complex Sourcing

You can use this business process to evaluate business user requirements and automatically create purchase orders against existing long-term contracts, automatically create RFx responses, or route the requirements to the purchaser for manual RFx and contract or purchase order creation.

Process

1. Create shopping cart (SRM Server) or create purchase requisition (SAP ECC) 2. Search for products or services (SRM Server) 3. Select service agent (SRM Server) 4. Select items and add to shopping cart (SRM Server) 5. Display overview (SRM Server) 6. Display account assignment (SRM Server) 7. Order shopping cart (SRM Server) 8. Check shopping cart status (SRM Server) 9. Approve shopping cart (SRM Server) 10. Commit funds (Central Applications) 11. Search for source of supply (SRM Server) 12. Create RFx (SRM Server) 13. Engage Document Builder (SAP Document Builder) 14. Select terms and conditions (SAP Document Builder) 15. Publish RFx (SRM Server) 16. Receive supplier responses (SRM Server) 17. Evaluate supplier responses (SRM Server) 18. Create contract or purchase order document (SRM Server) 19. Engage document builder (SAP Document Builder) 20. Select terms and conditions (SAP Document Builder) 21. Approve contract or purchase order (SRM Server) 22. Send contract or purchase order to supplier (SRM Server)

Result
As a result of this business process, requirements are evaluated. Depending on criteria defined by the public sector customers, such as material group, requirement value, or delivery schedule, purchase orders can either be automatically created against existing long-term contracts and RFxs are automatically created, or requirements are routed to the purchaser for manual creation of RFxs and contracts or purchase orders.

8.1.3.2 Exercise Options

This business process is used to exercise optional contract or purchase order line items.

Prerequisites
You have created a contract or purchase order with optional line items in SAP SRM.

Process

1. Receive notification of optional lines due for exercising (SRM Server) 2. Select purchase order (SRM Server) 3. Change purchase order (SRM Server) 4. Exercise option (SRM Server) 5. Approve purchase order version (SRM Server) 6. Send purchase order version to supplier (SRM Server)

Result
Change versions of the optional lines of the purchase orders and contracts are approved and transmitted to the supplier who acknowledges receipt of the change version and delivers the optional items.

8.1.3.3 Electronic Contract File Creation

You can use this business process to allow the system to create an electronic file for each contract or purchase order. This file is used as the basis for evaluation and award, the performance of the contract or purchase order, and goods receipts and payments. The file also captures versions (changes) to the contract or purchase order, closeout, and other information required by contracting agency regulations. This business process is not affected by the activation of the SRM, Supplier Collaboration (SRM_SUCO_1) business function and the RFx Response Submission Outside Firewall (SRM_701_SUCO_BIDDER_DECOUP)

Customizing switch. This is because the information relevant for electronic contract file creation is available in the purchaser's SRM Server system, and access to an RFx respondent's system is not relevant.

Prerequisites
You have created a purchase requisition, RFx, RFx response, contract, purchase order, change version, goods receipt, invoice receipt, or closeout.

Process

The following business process runs in Application Server ABAP: 1. Capture purchase request

2. Capture RFx 3. Capture RFx response 4. Capture contract or purchase order 5. Capture contract or purchase order versions 6. Capture goods receipts 7. Capture invoice receipts 8. Capture payment information 9. Capture closeout records

Result
As a result of this process, the electronic contract file contains copies of all documents (for example, purchase requisitions, RFxs, successful and unsuccessful RFx responses, contracts or purchase orders, approvals, goods receipts, invoices, and external notifications) created in the procurement process.

8.1.3.4 Budget Integration

You can use this business process to achieve real-time integration of the procurement process with Funds Management. The Funds Management data is updated automatically.

Prerequisites
You have created a purchase requisition in SAP ERP and it has been replicated to SAP SRM, or you have created a shopping cart in SAP SRM.

Process

The following business process runs in SAP ECC: 1. Create commitment of purchase request 2. Create obligation at order release

3. Clear commitment 4. Create expenditure

Result
Purchase requisitions, shopping carts, contracts with guaranteed minimum, purchase orders, invoices, and payments automatically update the respective budget.

8.1.3.5 Order Tracking

You can use this business process to enable users to track the status of a requirement throughout the procurement process, from requisition to RFx to order, and subsequently through the receipt and invoicing transactions.

Prerequisites
You have created a purchase requisition in SAP ECC, and it has been replicated to SAP SRM, or you have created a shopping cart in SAP SRM.

Process

1. Search for purchase requisition (SRM Server) 2. View purchase requisition status (SRM Server) 3. View purchase order status in purchase order history (SRM Server)

8.1.3.6 Acceptance at Origin for PPS

You can use this business process to support the procedure in which a public sector entity accepts goods at the supplier's plant prior to their receipt, testing, and final acceptance at the public sector requester's location. The risk of losing goods, usually assumed by the supplier, is assumed by the public sector entity, especially when the risk of loss is expected to be high (for example, in a war zone or disaster area.)

Prerequisites

You have created a purchase order in SAP SRM which specifies acceptance at origin.

Process

The following business process runs in SAP ECC: 1. Post goods receipt at origin 2. Cancel goods receipt at origin

8.1.3.7 Acknowledgement and Delivery

You can use this business process to document acknowledgement and delivery of a purchase order.

Prerequisites
You have created a purchase order in SAP SRM.

Process

The following business process runs in SAP ECC: 1. Post goods receipt 2. Cancel goods receipt

Result

As a result of this business process, purchase orders are acknowledged by the supplier and delivery is documented. Acknowledgement and delivery form the basis for updating of SAP Financials, the stock situation, and the valuation. Delivery can also invoke follow-on processes in Warehouse Management and Quality Management.

8.1.3.8 Invoice Verification

You can use this business process to carry out follow-on activities to purchase order. Invoice verification is the basis for updating of conditions and quantities between purchase order, goods receipt, and invoice.

Prerequisites
You have created a purchase order in SAP SRM for which a vendor has submitted an invoice.

Process

The following business process runs in SAP ECC: 1. Receive invoice 2. Enter invoice 3. Verify invoice 4. Approve invoice

Result
Invoice verification is the basis for updating accounts payable and is followed by the funds release process and payment.

8.1.3.9 Selective Release

You can use this business process to allow a public sector entity to release orders (and obligate funds), based on a number of customer-defined rules which encompass the end of the accounting period, budget availability, the value of the order, and the relative priority of the requirement.

Prerequisites
You have created a purchase order in SAP SRM which meets the criteria set in Customizing for selective release.

Process

1. Create purchase order (SRM Server) 2. Block purchase order based on selective release criteria (SRM Server) 3. Release orders via selective release (SRM Server)

8.1.3.10 Workload Prioritization

You can use this business process to allow for prioritizing requirements. The prioritization determines the sequence in which requirements will be converted to purchase orders.

Prerequisites
You have created a purchase requisition in SAP ECC, and it has been replicated to SAP SRM, or you have created a shopping cart in SAP SRM.

Process

1. Review requirements in sourcing cockpit (supervisor) (SRM Server) 2. Prioritize workload in sourcing cockpit (SRM Server)

8.1.3.11 Workload Redistribution

You can use this business process to allow a manager to transfer workload from one purchaser to another, based upon workload or personnel availability.

Prerequisites
You have created a purchase requisition in SAP ECC, and it has been replicated to SAP SRM Server, or you have created a shopping cart in SAP SRM Server.

Process

1. Review requirements in sourcing cockpit (supervisor) (SRM Server) 2. Reallocate requirements based upon workload or availability of purchasers (supervisor) (SRM Server)

8.1.4 Procurement Services

This business scenario has two variants: Procurement Services with Automated Sourcing Procurement Services with Manual Sourcing

8.1.4.1 Procurement Services (Automated Sourcing)

You can use this business scenario to satisfy requirements from external customers. In this scenario the purchasing agency satisfies the requirements either by delivery from stock, by creation of a release order against an existing contract, or by creation of a purchase order.

Prerequisites
You can implement this business scenario with different releases of the relevant application components. However, only certain combinations are valid. For more information, see the Scenario & Process Component List on SAP Service Marketplace at http://service.sap.com/scl.

Process
The following business processes are available: Processing of External Requirements (Automated Sourcing) Third-Party Processing Inventory Management and Delivery from Stock

Result
The result of this Procurement Services scenario is the satisfaction of requirements from external customers.

8.1.4.1.1 Processing of External Requirements (Automated Sourcing)

You can use this business process to satisfy material requirements planning (MRP) or sales orders that create purchase requisitions. This MRP can take place in an SAP system or an external planning system. The requisitions are loaded into SAP SRM via an interface. The purchase requisitions are sourced against valid sources of supply. The processing of release orders against existing long-term contracts and the creation of purchase orders are automatic.

Process

1. Process sales orders (SAP ECC) 2. Create or process purchase requisitions (SAP ECC) 3. Release purchase requisitions (SAP ECC)

4. Transfer requisitions to SAP SRM (SAP ECC) 5. Start sourcing (automatic) (SAP SRM Server) 6. Create purchase order (automatic) (SAP SRM Server)

Result
The result of this process is the successful sourcing of requirements from external customers.

8.1.4.1.2 Third Party Processing

You can use this business process when requirements from external customers are ordered from a supplier, but delivered directly to the customer. This process is used for non-stocked items. A third party purchase requisition is created out of a sales order. The purchase requisition can either be sourced against an existing long term contract or processed via RFx. RFx responses are evaluated to create a purchase order. The goods are delivered directly from the supplier to the external customer. The goods receipt is processed by the external customer and confirmed by the purchasing agency. The invoice is sent from the supplier to the purchasing agency where it is processed for payment.

Process

1. Process sales orders (SAP ECC) 2. Create or process purchase requisitions (SAP ECC) 3. Release purchase requisitions (SAP ECC) 4. Transfer requisitions to SAP SRM (SAP ECC) 5. Start sourcing (SRM Server) 6. Search for source of supply (SRM Server) 7. Create RFx from sourcing (SRM Server) 8. Engage SAP Document Builder (SAP Document Builder) 9. Select clauses, terms and conditions (SAP Document Builder) 10. Publish RFx (SRM Server) 11. Submit RFx response (supplier) (SRM Server) 12. Receive RFx responses (SRM Server) 13. Evaluate RFx responses (SRM Server) 14. Select successful RFx response (SRM Server) 15. Process purchase order (SRM Server) 16. Confirm goods receipt at third party location (SAP ECC) 17. Create invoice (SAP ECC) 18. Process payment (SAP ECC)

8.1.4.1.3 Inventory Management and Delivery from Stock

You can use this business process to support management of the inventory and the delivery of goods to customers to fulfill material reservations.

Process

The following business process runs in ECC: 1. Create outbound delivery 2. Issue goods from stock

8.2 Business Function SRM, Cross-Industry Functions

Technical Data Technical Name of Business Function Type of Business Function Available From Technical Usage Application Component Required Business Function Incompatible Business Function You can use this business function to streamline complex procurement processes across all industries. For more information about the individual functions, see Features of SRM, Cross-Industry Functions. SRM_CROSS_INDUSTRY_1 Enterprise Business Function SAP enhancement package 2 for SAP SRM 7.0 SRM SRM-EBP-CRI SRM, Procurement for Public Sector(SRM_PUBLIC_SECTOR_1)

Integration
Note
You cannot revert this business function.

Note
You can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Note
The business function SAP SRM Procurement for Public Sector Basis (/SAPSRM/SRM_CROSS_INDUSTRIES), which is used in lower releases, has become obsolete in the current release. You can neither activate it nor deactivate it.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Software Component Component SRM_SERVER 702 Required for the Following Features Only

You have implemented the extended classic scenario. Other SAP SRM technical scenarios (classic, standalone, and SAP SRM in one client in SAP ERP) are not supported for PPS. You are using SAP ERP 6.0 enhancement package 4 or higher.

You have activated the relevant business functions in SAP ERP. For more information, see Procurement for Public Sector (PPS).

8.3 Features of SRM, Cross-Industry Functions

The business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1) allows you to use the following functions: SAP Document Builder Integration Sourcing Rules Smart Numbering Line Item Hierarchies Business Partner Grouping for Multiple Suppliers User-Specified Status and Closeout Period of Performance Maximum Quantity per Period Pricing Arrangements Delivery Priorities Reason Codes Acceptance at Origin Subcontracting Supplier-Specific Unit of Measure Manufacturer Part Number Phased Deliveries Options Order Types and Mixed-Use Purchase Orders Financial Commitment for Shopping Carts Retention Down Payments Payment Plans Thresholds Cancellation of Purchase Orders at Header Level Prequalification of Suppliers Mass Change and Novation

More Information
For more information, see the release notes on SAP Service Marketplace athttp://service.sap.com/support under Release and Upgrade Info Solutions SAP Supplier Relationship Management (SAP SRM) SRM 7.0 . Release Notes SAP Release Notes SAP Enhancement Package 2 for

8.3.1SAP Document Builder Integration

You use this function to attach documents created in SAP Document Builder to Procurement for Public Sector (PPS) purchasing documents. These documents are automatically attached when you release the purchasing documents. Additionally, you can import PPS data into SAP Document Builder documents, such as product name, price, name of business partner, and address of business partner. This is done in the background when you save your document.

Asynchronous integration
Asynchronous integration consists in mapping PPS and SAP Document Builder messages on the Exchange Infrastructure (XI) server. You can monitor the messages in transaction Integration Engine Monitoring(SXMB_MONI).

Note
This step is optional.

Synchronous integration
Synchronous integration consists in generating client proxies in the PPS and SAP Document Builder systems, and a Web Services Description Language (WSDL) file in the SAP Document Builder system in Customizing under Cross-Application Components Document Builder Basic Functions Variables Information Systems Display Output as WSDL . You use this file, which contains an XML schema describing the structure of a document, to exchange data between PPS and SAP Document Builder. In case of changes to Customizing, you must generate the WDSL file and the client proxy client again in the PPS system.

Integration
This function enables integration with SAP Document Builder.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You are using SAP Document Builder 2.0 or higher. You have created remote function calls in transaction RFC Destinations (Display/Maintain) (SM59) to connect the PPS and SAP Document Builder systems to each other. You have performed the following activities in Customizing for SAP Supplier Relationship Management: o SRM Server Cross-Industry Functions Integration with SAP Document Builder Define Uniform Resource Locators for SAP Document Builder o o o SRM Server Cross-Industry Functions Integration with SAP Document Builder Define Reference Data SRM Server Cross-Industry Functions Integration with SAP Document Builder Map fields SRM Server Cross-Industry Functions Customer Enhancements (BAdIs) Document Builder Set Up Integration with SAP Document Builder Integration with SAP

8.3.2 Sourcing Rules

You use this function to define customer-specific sourcing rules in addition to the standard ones to determine sources of supply in SAP Supplier Relationship Management (SAP SRM). You implement customer-specific sourcing rules with Business Add-In Implement Sourcing Rules(/SAPPSSRM/SOS_BADI), which you can find in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Industry Functions Customer Enhancements (BAdIs) Sourcing Rules Implement Sourcing Rules . You can define sourcing rules either in ABAP or using Formula Builder.

You can implement additional checks using criteria such as delivery priority and contract type and assign a message to be displayed in the Sourcing application. If you decide to use the Formula Builder, the parameters of the interface method are used as the available fields in Formula Builder. To extend Formula Builder with user-defined functions, you must implement Business Add-In Appl. Specific Functions for Formula Builder Method Implem. (METH_FOBU_CONNECTOR) and define a new class. The related implementation is /SAPPSSRM/SOS_FOBU_I, the related implementing class /SAPPSSRM/CL_IM_SOS_FOBU_I.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

8.3.3 Smart Numbering

This function enables the generation of smart numbers (formerly called long procurement numbers) as identifiers for SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS) procurement documents. Smart numbers are generated by the system for purchase orders (POs), RFxs, and contracts.

Integration
When you create a PO in PPS, the smart number generated on the PO is transferred to the replicated PO in SAP ERP. Smart numbers are also displayed on goods receipts (GRs) and invoice receipts (IRs) in SAP ERP.

Prerequisites
In Customizing for SAP ERP, you have done the following: You have activated the business function PSM, Additional Functions in SAP SRM and PPS(PSM_PPS_INTEGRATION). You have activated smart number and extended smart number in Customizing for Public Sector Managementunder Procurement for Public Sector Activate Functions for Procurement for Public Sector . You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In Customizing for SAP Supplier Relationship Management, you have done the following:

You have defined a smart numbering scheme under Attributes for Purchasing Documents Smart Numbering

SRM Server

Cross-Industry Functions

Define Smart Numbering Scheme SRM Server Cross-Industry

You have defined customer-specific organizational IDs under

Functions Attributes for Purchasing Documents Smart Numbering Define Customer-Specific Settings

Features
Smart numbers are highly configurable and can contain organizational, temporal, or factual data that relates to the procurement document. You can define smart numbering schemes by process or by transaction type. If you define a smart numbering scheme for the process of creating procurement documents, a new serial number is generated with each newly created document. If you assign a smart numbering scheme to the change process, a new serial number is generated with each approved document change. If you define a smart numbering scheme based on transaction type, for example, purchase order type or business-to-business (B2B) event type, you first need to create distinct transaction types in Customizing for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Transaction Types

8.3.4 Line Item Hierarchies

This function provides customizable line item hierarchies for SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS) procurement documents. To customize hierarchies, you first define public sector item types (PS item types), which are attributes at line item level or subline item level that control business and follow-on processes for line items in a procurement document. You then assign item types to a hierarchy template, thereby determining how a hierarchy is structured.

Integration
The following features are available in SAP ERP purchase orders: External document numbers External item numbers Complete hierarchy information Service lines Selectable mapping of services, either as individual or packed Numbering compatible with financial issues

The following features are available in SAP ERP Goods Receipts (GRs), Invoice Verifications, and Service Entry Sheets: External document number External item number Complete hierarchy information

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In Customizing for SAP Supplier Relationship Management , you have done the following:

You have defined public sector item types and hierarchy templates and configured data set visibility under SRM Server Cross-Industry Functions Attributes for Purchasing Documents Public Sector Item Type Define Hierarchy Templates and Assign Transaction Types . SRM Server Public Sector Item Type Define Rollup and You have defined rollup and rolldown rules for your procurement documents under Cross-Industry Functions Attributes for Purchasing Documents Rolldown Rules .

In Customizing for SAP ERP, you have activated the business function PS, Configurable Item Hierarchies in PPS(PS_GOVPROC_ITEMTYPES).

Features
Configurable hierarchies make it possible to reflect complex procurement documents the way they were written. The hierarchies are flexible, allowing the control of follow-on functions at line item level. Flexibility in hierarchies is made possible by defining PS item types. PS item types, for example, material, outline, and service item types, can be customized to control business and follow-on processes in a document. You can use different item types in a procurement document depending on the hierarchy template you choose for the document. Item types control the following: Field visibility and enablement on item level (for example, accounting fields are visible but not enabled for an outline item) Activation of sets (for example, partners and attachments) Position of line items in a hierarchy Rollup and rolldown of fields Goods receipt and invoice receipt processes Mapping of line items to SAP ERP Whether line items are functional or statistical

Caution
If you assign the item type Outline to a line item in a procurement document, the item type becomes static, meaning you can no longer change the item type to Material or Service.

Note
Once a procurement document has been approved and follow-on documents have been created, you cannot change an item type.

Statistical Line Items and Subline Items

Statistical line and subline items are purely informational and have no relevance for goods receipt or invoice receipt. An outline line item is an example of a statistical line item. It is possible to customize statistical line items so that they provide, for example, information about price and quantity; however, this information has no influence on valuation or back-end processes.

Functional Line and Subline Items

Functional line and subline items provide quantity, price, and currency information in a procurement document. Material and service line items are examples of functional line items. Functional line items trigger goods receipts and invoice receipts and pertain to financial processes.

Rollup and Rolldown of Values

You can customize hierarchies in procurement documents to adhere to customizable rollup and rolldown rules for values and fields in the hierarchy. Fields and sets can be rolled down from a higher-level statistical line item to a lower-level line item in the hierarchy. Values can also be rolled up from lower-level line items to higher-level statistical line items. Because rolling up involves summing up the information, only values and quantities can be rolled up. The system does not allow you to change any value that has been rolled up. The system ensures that the hierarchies conform to the rollup and rolldown rules that you define for and apply to your procurement documents.

8.3.5 Business Partner Grouping for Multiple Suppliers

You can use this function in SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS), to create contracts or purchase orders with more than one supplier. You can include a main supplier or legal representative, whom you always pay directly, and additional suppliers, whom you can pay either directly or via the main supplier. All suppliers are listed as business partners in your document, and you can specify the data at header or at item level, depending on your Customizing settings.

Example
In construction projects, it is common practice that you cooperate with a main supplier, also referred to as main contractor, who works with severa l additional suppliers, also referred to as co-contractors or subcontractors. For each line item in a contract or purchase order, you can list all suppliers that are involved in delivering the product or service, and you can specify whether they are paid directly or via the main supplier.

Integration
You can use this function in the following business scenarios: Contract Management and Administration Operational Procurement Procurement Services

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In addition, you have done the following: In Customizing for SAP SRM Defined partner functions in SAP SRM for suppliers with and without direct payment, under Server Cross-Application Basic Settings Define Partner Functions . SRM

Created one or several partner grouping schemas for these partner functions and mapped the schema(s) to transaction types under SRM Server Cross-Industry Functions Attributes for Purchasing

Documents Partner Grouping for Multiple Suppliers Transaction Types .

Define Partner Grouping Schema and Map to

Mapped the SAP SRM partner functions to the SAP ERP partner roles (defined in SAP ERP Customizing, see below) under SRM Server Cross-Industry Functions Attributes for Purchasing Map Partner Function to Partner Role .

Documents Partner Grouping for Multiple Suppliers In Customizing for SAP ERP Management Purchasing Partner Determination

Created partner roles that correspond to the partner functions in SAP SRM under Partner Roles Define Partner Roles Created partner schemas under Settings in Vendor Master Record Logistics Invoice Verification Materials Management Define Partner Schemas .

Materials . Partner

Purchasing Partner Determination

Allowed the partner roles in SAP ERP to receive direct payment under

Materials Management Materials

Incoming Invoice Define Partner Role as Allowed Payee . Define Attributes of System Messages .

Configured the corresponding error or warning messages (messages 776 and 777) under Management Logistics Invoice Verification

You have also implemented the following BAdIs that enable multi-supplier functions (known as multivendor functions in SAP ERP) for SAP ERP purchase orders, goods receipts, and for Logistics Invoice Verification (LIV). BAdIs in SAP SRM BAdI BBP_ECS_PO_OUT_BADI Exports the purchase order from SAP SRM and hands it over to the BAPI ME_BAPI_PO_CUST. BAdIs in SAP ERP BAPI ME_BAPI_PO_CUST Creates the purchase order in SAP ERP. BAdI ME_BAPI_PO_IBS Enables and checks the multi-vendor functions in the SAP ERP purchase order, creates the BAPI, and triggers the follow-on processing. BAdI ME_PROCESS_PO_CUST Processes the purchase order in SAP ERP, enables the partner screens at line item level, and displays the partners. BAdI ME_GUI_PO_CUST Enables the partner screens at line item level and displays the partners. BAdI MB_MIGO_BADI Reads the partners from header or item and enables the popup for selecting the partner in transaction Goods Movement (MIGO). BAdI MRM_PARTNER_CHECK Checks if the partners on the line items of purchase orders are the same partners to whom the invoice is paid. For more information, see SAP Solution Manager under current release>, PPS Business Partner Grouping . SAP SRM Configuration SAP SRM <number of

Features
Business partner grouping for multiple suppliers in PPS complements the partner schema that you define in core SAP SRM and that provides for the main supplier who always receives direct payment. (This supplier is based on the business partner function type 0012.)

Business partner grouping for multiple suppliers in PPS offers the following additional features:

Suppliers With and Without Direct Payment

You can create additional business partner functions for your suppliers and define names that reflect the business relationship you have with them. To distinguish between suppliers with direct payment and suppliers without direct payment, you can base the additional business partner functions on the following business partner function types: Contractor w/o direct payment (type 0112) Contractor with direct payment (type 0113) To display the additional suppliers in your procurement documents, you must include the partner functions in a business partner grouping schema and make the schema available for a transaction type. If purchasers want to specify more than one supplier, they can select the corresponding partner grouping schema when creating a contract or purchase order.

Note
Purchase orders are always sent to the main supplier, who then forwards them to the co-contractors or subcontractors.

Copying of Business Partner Number to Lower Hierarchy Levels

In procurement documents with hierarchical structures, you can define whether a business partner number that you have specified at a higher level is automatically copied to lower levels. For example, a business partner number can be copied from header level to item level, or from item level to sub-item level. You can also define whether users can change or delete the business partner data that was copied to a lower level.

Note
You can only delete or change business partners at header level of a document if the same partner is not used at item level within the same procurement document.

Copying of Supplier Data to Release Orders

For release orders that are created against contracts or mixed-use purchase order items with a different supplier than the main supplier, you can specify in Customizing that supplier data is copied from the referenced item to the header of the release order. This way, users do not have to enter the supplier data manually in the release order. You have the following options: The system copies the supplier data only to the Partner tab and not to the Supplier field on the General Header Data tab. This means that the field still contains the main supplier of the reference document (who is based on the business partner function type 0012). The system copies the supplier data both to the Partner tab and to the Supplier field on the General Header Data tab. This means that the main supplier of the reference document is replaced by a supplier that was originally a co-contractor or sub-contractor in the reference document

Note

When you create a release order, the system copies the supplier data of the first referenced line item to the header of the releasing purchase order. You cannot create additional line items with reference to contract or purchase order items that have a different supplier.

Logistics Invoice Verification System (LIV)

In Logistic Invoice Verification you can customize two messages that control the process flow. The messages are presented to the user if the supplier in the invoice is either not part of the purchase order at all or if he has the wrong partner role. You can customize the two messages separately. You can implement a BAdI that enables the Logistics Invoice Verification (LIV) of SAP ERP to check whether payment is made only to the suppliers that you have specified to be paid at purchase order line item level.

8.3.6 User-Specified Status

This function enables you to create user-specified status profiles and assign them to procurement documents. User-specified statuses make it possible to fully customize certain processes, such as closeout and termination, or you can use user-specified statuses to display the overall status of a document. You can assign user-specified statuses to the following SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS) procurement documents: Purchase order (at header or item level) Contract (at header or item level) RFx (at header or item level) Shopping cart External Requirement (EXTREQ)

Integration
User-specified statuses depend on the link between SAP SRM and SAP Records Management (RM). Make sure that you have SAP Records Management installed on your SAP SRM system. You can configure the integration of SAP SRM with RM in the Customizing activities for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Integration with Other SAP Components Integration with SAP Records Management .

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. To use user-specified statuses in your procurement documents, do the following: Define user-specified status profiles in Customizing for Supplier Relationship Management under SRM Server Cross-Industry Functions Application Settings User-Specified Status Create Status Profile for User-Specified Status .

Note
You can define up to 10 different user-specified status profiles. There is no limit as to how many statuses you can assign to each user-specified status profile. No user-specified statuses are

mandated except for if you plan to use closeout in the procurement process, in which case you must define a user-specified status profile. Assign user-specified status profiles to procurement documents in Customizing for Supplier Relationship Management under SRM Server Cross-Industry Functions Application Settings UserSpecified Status Assign User-Specified Status Profiles to Purchasing Documents . Assign user-specified status profiles for each transaction type in Customizing for Supplier Relationship Management under SRM Server Cross-Application Basic Settings Define Transaction Types .

For additional checks and activities during purchase order and contract processing, goods receipt, and sourcing, you can implement the Business Add-In (BAdI) in Customizing for Supplier Relationship Management under SRM Server Cross-Industry Functions Customer Enhancements (BAdIs) UserSpecified Status Enhance User-Specified Status and Closeout Processing writing if someone tries to change a terminated contract. . For example, implement this BAdI

if you want the supplier to be notified in writing when termination is started, or to notify the contractor in

Features
The SAP system differentiates between system statuses and user-specified statuses. System statuses inform you that a business transaction has been performed for an object. User-specified statuses complement system statuses by enabling you to extend the control of business transactions defined by system statuses. An example of how you can use user-specified statuses is if you want to track document changes. You can assign a user-specified status profile to a field, for example, where you want to see all changes made to a document. Or, you can define a user-specified status profile for the termination process at both line item and header level of a document. If termination has been started for a line item, you can, for example, have the system automatically notify the supplier in writing, or you can see if anyone tries to change the line item after the termination process begins. Another useful application of user-specified status is for maintaining the status of a document if you are working offline. For example, you can define a user-specified status to an RFx to show that an employee is doing market research on the project. The employee is not changing the document in the system, but the document is being worked on offline, and this can be reflected using user-specified status. Or, for example, if a supplier takes you to court, you can define a legal user-specified status profile and apply it to a procurement document to show if a case has been filed about the document in question, or if the case was perhaps settled out of court. This is particularly useful, for example, if you want to create a release order against the document. If you can see on the document that it is at the center of a legal battle, you can refrain from using the document until the case is settled.

More Information
To use closeout, you have to define a user-specified status profile. For more information, see Closeout.

8.3.7 Period of Performance

You can use this function to define a period of performance for procurement documents such as, shopping carts, purchase orders, contracts, and Rfx documents. Commitment and spending are valid only during the period of performance that the user defines. The period of performance is used in receipt, invoice, and payment documents to validate the dates that goods were delivered or services performed

against the validity period defined in the purchase order. This prevents the payment of invoices where the period does not match that of the spending document.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
This function contains the following features: The user can define a start and end date for goods delivery or service performance The system makes checks against the period of performance Used to validate dates that goods were delivered or services performed

8.3.8 Pricing Arrangements

You use this function to define risk-sharing models, from simple to complex and regardless of industry.

Integration
Price components are replicated to SAP ERP as individual line items. You can import them into service entry sheets and use them in invoices. Pricing arrangements are displayed in the extended purchase order history. You have activated business function Pricing arrangements (PSM_GOVPROC_PA) in the SAP ERP system. You have performed the activity Define and Activate Pricing Arrangements in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Industry Functions Application

Prerequisites

Settings Pricing Arrangements . You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
You can define pricing arrangements for shopping carts, RFxs, shopping carts, and purchase orders. You can define a pricing arrangement at header level that applies to all new line items in the document. You can enter the ceiling manually at header level or have it calculated from the line items. You can assign only one pricing arrangement to a line item. However, a document can contain multiple pricing arrangements. Pricing arrangements are copied to follow-on documents. You can, however, change them in follow-on documents. You define the account assignment at pricing component level. You define invoicing and receipt at individual pricing component level.

Example

Firm Fixed Price (FFP) is the simplest and most commonly used pricing arrangement. It is based on the quantity * unit price formula. On the other hand, complex pricing arrangements take into account a great variety of factors that can increase or decrease the total cost, as described in the examples below.

Fixed Price with Economic Price Adjustment (FPEP)

FPEP is suitable for long-term contracts and takes into account price variations of, for example, fuel. The price is adjusted according to market evolution. FPEP allows for more flexibility and offers protection against strong fluctuations.

Cost
Cost reimbursement contracts represent more risks for the purchasing organization but offer more flexibility. For example, when you plan to build a new aircraft, new developments are involved. Your budget has been approved but many unknown factors remain. The contract is nonetheless executed. The pricing is fluctuating and there are no preset delivery and order schedules.

Cost Sharing
In research and development, the contracting parties can share research costs and share profits afterwards.

Cost Plus Award Fee (CPAF)

Cost Plus Award Fee is suitable for contracts with a great number of variables that need to be constantly adjusted, for example, when you plan to build hospitals for a great number of patients in a limited number of months.

Cost Plus Incentive Fee (CPIF)

You can use CPIF to encourage the executing party to keep costs under control and award incentive fees if the cost-saving objectives are met.

Cost Plus Fixed Fee (CPFF)

You can use CPFF to grant a fixed fee when the executing party completes its tasks in due time.

Award Fees
You can use award fees to stipulate that no profit is generated unless the supplier meets certain criteria. This is common practice in aerospace and defense. As a result, the risks of misuse are minimized and cost-controlling is optimized.

Combined Pricing Arrangements

You can combine pricing arrangements, for example, in construction contracts. You can combine cost reimbursement, fixed-priced items, and labor hours.

8.3.9 Maximum Quantity per Period

You can use this function on contract line items to limit the volume of goods or services that you can order within specified time periods. This is useful, for example, if the supplier has a limited production capacity or if quotas must be observed.

Note
You cannot use this function together with the phased delivery function. The system uses the maximum quantity per period as a constraint in the sourcing function. If the maximum quantity specified for a contract item is exceeded by release orders, the system prevents the contract from being used as a source of supply.

Integration
You can use this function in the following business scenarios: Public Sourcing and Tendering Contract Management and Administration Operational Procurement Procurement Services

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In Customizing for SAP Supplier Relationship Management under defined the conditions under which the constraint is active. SRM Server Cross-Industry Functions

Application Settings Maximum Quantity per Period , you have activated the corresponding fields and

Features
This function includes the following features: When creating a line item in a contract, you can specify maximum quantities per period. If a contract has been released and you change this data, the system creates a change version of the contract. You can specify a number of days for an initial period and another number of days for all follow-on periods. You can enter only one number for all follow-on periods, meaning that the duration of all follow-on periods is the same. You can specify periods of days but no specific calendar dates. The system automatically derives the start date of a period from the ordering date of the first release order within that period. This implies the following: o o The initial period starts on the date when you order the first release order against a contract item. A follow-on period starts on the date when you order the first release order against the contract item after the initial period is over. It does not automatically start when the initial period has ended. This means that the periods recorded by the system do not necessarily follow each other immediately. There can be intervals when you do not place any orders, and during those the system does not start a new follow-on period.

Example
Example 1
You create a contract line item for ordering office chairs, and you specify the following on the Maximum Quantity per Period tab: For the initial period of 4 weeks, you define a maximum quantity of 20 chairs. For all follow-on periods of 4 weeks, you define a maximum quantity of 50 chairs.

During the first 4 weeks, you receive three requirements for 8 chairs per requirement. The system reacts in the following way: The first two requirements can be fulfilled during the initial period, and the corresponding purchase orders can be created. The third requirement cannot be ordered against this contract during the initial period because the open quantity is only 4 chairs. You can only create a release order for more than 4 chairs against this

contract after the initial period is over. The system takes the order date of the next release order as the start of the first follow-on period.

Example 2
You create a contract line item for ordering office chairs and, again, you specify the following on the Maximum Quantity per Period tab: For the initial period of 4 weeks, you define a maximum quantity of 20 chairs. For all follow-on periods of 4 weeks, you define a maximum quantity of 50 chairs.

During the first 4 weeks, between January 1st and January 28th, you receive two requirements for 8 chairs per requirement. The system reacts in the following way: The requirements can be fulfilled and you can create the corresponding purchase orders. During the following 8 weeks, between January 29th and March 26th, you receive no requirements for office chairs. On March 27th, you receive a requirement for 15 chairs and you place a corresponding release order on the same date. The system reacts in the following way: March 27 is taken as the beginning of the four-week follow-on period. As a result, you can only order another 35 chairs during the following 4 weeks.

8.3.10 Delivery Priorities

You use this function to define delivery priorities for requirements and contract line items. You can use these delivery priorities in Sourcing to determine that a requirement with a specific delivery priority is sourced against a contract line item with the same priority. To ensure that the delivery priorities of external requirements can be processed in Sourcing, you must define a sourcing rule that maps the delivery priorities defined for contract items to the delivery priorities originating from the SAP ERP sales order. For more information, see Sourcing Rules.

Integration
This function enables integration with SAP ERP.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have performed the following activities in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Industry Functions : under Application Settings Priority of Purchasing Documents Define Delivery Priorities Customer Enhancements (BAdIs) Sourcing Rules Implement Sourcing Rules Master Data Business Partners Customers Shipping Define Delivery Priorities .

You have performed the activity Define Delivery Priorities in Customizing for Sales and Distribution

8.3.11 Reason Codes

You use this function to create a nomenclature of codes that allows you to specify the reason for creating or changing purchase requisitions, shopping carts, contracts, RFxs, and purchase orders. You can then use these codes for various purposes. You can, for example, use them to:

Classify purchasing documents for statistical and reporting purposes. Define specific workflows. Issue warning or error messages linked to reason codes.

Integration
You can use reason codes either in SAP Supplier Relationship Management (SAP SRM) or in SAP ERP.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have performed the activity Define Reason Codes and Related Messages in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Industry Functions Attributes for . Purchasing Documents Back-End Purchasing Documents Processing

You have implemented the Business Add-In General BAdI in Cross-Check for Message Returns(BBP_DOC_CHECK_BADI) in Customizing for SAP Supplier Relationship Management under SRM Server Business Add-Ins Purchasing Document Check Check Purchasing Document .

8.3.12 Acceptance at Origin

This function enables a public-sector entity to accept goods at the supplier's plant prior to their receipt, testing, and final acceptance at the public sector requester's location. The risk of losing goods, usually assumed by the supplier, is assumed by the public sector entity, especially when the risk of loss is expected to be high (for example, in a war zone or disaster area). The acceptance at origin function can be combined with the quality management (QM) inspection function to provide an end-to-end Origin Inspection and Acceptance process. Acceptance at origin includes Funds Management (FM) integration for the proper timing of the posting of invoices and payments.

Integration
Information about retention is transferred from the SAP ERP material master to the SAP Supplier Relationship Management (SAP SRM) product master table.

Prerequisites
You have done the following: In SAP ERP: You have added the Origin Acceptance checkbox to the SAP ERP material master table and you have replicated the data to the SAP SRM product master. To add this checkbox to the material master table, enter Customizing for Material Master (transaction OMT3), select screen sequence 21, choose screen 14, and exchange subscreen 2313 for subscreen 2314 (line 4). You can now see the Origin Acceptance checkbox on the Purchasing view. In SAP SRM: You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

You have enhanced the SAP SRM product master table by adding the Origin Acceptance checkbox. You can do this in Customizing for SAP Supplier Relationship Management under Cross Application Components SAP Product Settings for Product Maintenance Define Views . Create the view ISPS_PRODUCT with the description Procurement for Public Sector, position 22 (Customizing activity COM_PRODUCT_VIEWS). To use the set type ISPS_MARA in the product master table, you must assign it to material types, product subtype MAT_, in hierarchy R3PRODSTYP using transaction COMM_HIERARCHY. Integration of SAP ERP and SAP SRM: You have integrated SAP ERP with SAP SRM by implementing the Business Transaction Event (BTE) exitPROCESSCRM0_200 (function module /SAPPSPRO/MATE_PROCESSCRM0_200 and BTE Customizing) in SAP ERP and the Business Add-In (BAdI) PRODUCT_R3_ADAPTER in SAP SRM. For more information, see SAP Note 1098232.

Features
Acceptance at origin allows acceptance of goods at the supplier facility before shipment to destination. It can be combined with the quality management inspection functionality to provide an end-to-end Origin Inspection and Acceptance process. The function includes FM integration for proper timing of posting of invoices and payments. When you enter a goods movement in the system, you must enter a movement type to differentiate between the various goods movements. The movement type enables the system to find predefined posting rules determining how the accounts of the financial accounting system (stock and consumption accounts) are to be posted and how the stock fields in the material master record are to be updated. The standard SAP ERP movement types 105 (release from goods receipt blocked stock for purchase order) and 103 (goods receipt for purchase order into goods receipt blocked stock) did not meet the requirements for acceptance at origin. The new movement types 107 and 109 (reversals 108,110) have been introduced for these purposes.

Example
1. The purchaser inspects and accepts the goods at origin (at the supplier's facility). 2. The supplier ships the goods to the destination. 3. The purchaser acknowledges acceptance but does not perform the final goods receipt until the goods arrive at the final destination. 4. The system acknowledges the origin acceptance posting by updating the purchase order history. 5. The system shows that the items are IN TRANSIT to their final destination and prevents them from being available for use. 6. When origin acceptance is posted, the system allows proper financial postings. The system also allows for payments prior to the arrival of the goods at the purchaser's location. 7. When the items arrive, the system posts the final goods receipt in the logistics system and acknowledges their final receipt. The system then updates the PO history. The system only posts a final receipt quantity that is equal to or less than the amount that was accepted at origin. It is only at this point that the items become available for use in the logistics system (that is, the items change from status in transit to available for use). There are no financial postings here, as these occurred earlier (however, a reversal transaction can be posted here).

8.3.13 Subcontracting

Subcontracting allows you to order a product from a supplier who requires certain components to manufacture this product. The components are provided by the ordering party. They are consumed or transformed during the production. The subcontracting components you provide to the supplier are based on a bill of material for the product that is stored in the SAP ERP system. Therefore, subcontracting in the SAP Supplier Relationship Management (SAP SRM) system is limited to fulfilling requirements that are based on purchase requisitions created in SAP ERP where the component data is available. The component information is routed through the procurement process in SAP SRM. In sourcing, the subcontracting requisition can be sourced against a suitable subcontracting contract. Goods issue of the components as well as goods receipt for the product is carried out in the SAP ERP system.

Integration
This function is used in the following business scenarios: Public Sourcing and Tendering Contract Management and Administration Operational Procurement

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In Customizing for SAP ERP, you have activated restricted subcontracting under Management Procurement for Public Sector Activate Restricted Subcontracting . Public Sector

Features
You can create a bill of material for a product in the SAP ERP system. It automatically provides the components for a subcontracting purchase requisition (line item type L). The system routes the subcontracting purchase requisition through the procurement process in SAP SRM (if you use the extended classic scenario with PPS functionality). In SAP SRM, you can create a contract line item as a subcontracting line item. This line item can then be used as source of supply for a subcontracting purchase requisition. In SAP SRM, you can display the subcontracting components, but you cannot change them. After the purchase order is replicated to the SAP ERP system, follow-on activities, such as inventory management activities, can be carried out there.

8.3.14 Supplier-Specific Unit of Measure

You can use this function to define supplier-specific units of measure (UoM) and conversion factors for product items in SAP Supplier Relationship Management (SAP SRM). Suppliers can manually change UoM and conversion factors in a central contract and purchase order to allow them to sell the same product items in different package sizes and quantities.

Prerequisites

You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have maintained alternative UoM and conversion factors for the product item in the SAP ERP product master and replicated the data to SAP SRM. Examples of UoM are as follows: Pallet (PAL) Each (EA) Dozen (DZ)

Conversion factors are the numerical values used to determine quantities. For example, 1 PAL equals 20 EA. In this case, the conversion factor is 1 multiplied by 20, so 1 pallet delivers 20 each or pieces.

Features
Defining supplier-specific UoM and conversion factors involves the following tasks.

Central Contract Creation in SAP SRM

The purchaser creates a central contract when a long-term relationship is established with a supplier. After the product master data is replicated from SAP ERP to SAP SRM, you can create a central contract and choose the appropriate product master. The UoM and conversion factors from SAP ERP are now available in the contract. You can change the data to suit your specific requirements.

Example
System SAP ERP (product master) SAP SRM (contract item) B 1 PAL = 40 EA Supplier A UoM and Conversion Factor 1 PAL = 20 EA

Note
Only UoM that are maintained in SAP ERP can be changed in SAP SRM. In this case, different suppliers can sell different quantities of the same product. The values defined on Item level are also transferred to the Conditions tab page. You can define conditions for individual contract items, such as validity periods for a particular unit of measure and conversion factor.

Note
It is not possible to change UoM or conversion factors in a released central contract where follow-on documents exist such as, purchase orders.

Purchase Order with Assignment to Central Contract in SAP SRM

When a sales order is created in SAP ERP, the purchaser enters the base UoM and conversion factor manually or the values defined in the product master are adopted. It is then used to generate a purchase requisition, which is replicated to SAP SRM. During sourcing, the purchaser creates a purchase order and

the appropriate central contract item is assigned. The supplier-specific UoM and conversion factors that were entered into the contract are updated in the resulting purchase order. All details are replicated from SAP SRM back to SAP ERP.

Example
A customer creates a sales order in SAP ERP for 150 bottles of tomato ketchup. As a result, a purchase requisition is created with the UoM Box and is replicated to SAP SRM. The supplier creates a central contract and adapts the details to suit the order. In this case, 20 bottles per box become 50 bottles per box. When the purchase order is created, the contract item is assigned and the resulting purchase order adopts the contract values. To fulfill the customer order, 3 boxes are required. System SAP ERP (product master) SAP SRM (contract Item) SAP SRM (purchaser order) 3 Boxes < > 150 Bottles Order UOM = Box 1 Box <> 50 Bottles UoM Base UOM = Box Alternative UOM = Bottle Order UOM = Box 1 Box <> 50 Bottles Result 1 Box <> 20 Bottles

Purchase Order without Assignment to Central Contract in SAP SRM

You can maintain supplier-specific UoM and conversion factors for a purchase order that is not assigned to a central contract in SAP SRM. You do this by creating a purchase requisition in SAP ERP and distributing it to the SAP SRM system as an external requirement. Using the purchase requisition, you then create a purchase order with a line item by selecting a product for which the UoM and conversion factor has already been defined. You can change these values and send the purchase order for approval.

8.3.15 Manufacturer Part Number

You can use this function to inform your suppliers, through a purchase order, which manufacturers you wish to use in the procurement of materials. You can also include the manufacturer part number and description in the purchase order to provide the supplier with specific information about the parts that you want to procure. This ensures that you get the quality of materials you want from your preferred source. In SAP Supplier Relationship Management the manufacturer part number information is enabled on the item level for RFxs, contracts, External Requirement documents, sourcing, and purchasing orders.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
This function contains the following features:

Creating Sales Orders and Purchase Requisitions

The system transfers purchase requisition data from SAP ERP to SAP SRM using external requirements based on Manufacturer Part Number (MPN) information. The external requirement contains information about the manufacturer and manufacturer part number which is transferred to SAP SRM.

Maintaining Contracts
When maintaining contracts the information about manufacturer and manufacturer part number must be part of contract item data. The SAP SRM system fills in the information about the manufacturer and MPN on the contract item level and search help is available for both manufacturer and MPN fields to make searching easier. Once a manufacturer part number has been entered or selected, the corresponding SAP SRM short text and product number is displayed.

Maintaining Purchase Orders

When manually maintaining a purchase order the MPN data has to be correct. The SAP SRM system fills in the data for manufacturer and manufacturer part number on purchase order item level and enables search help for both manufacturer and manufacturer part number fields. Once a manufacturer part number has been entered or selected, the corresponding short text and product number is displayed.

Sourcing
The SAP SRM system provides the definition and development of sourcing rules that process manufacturer and manufacturer part number information.

Purchase Order Replication

If goods receipt and invoice receipt take place in SAP ERP, the corresponding purchase order is created automatically by replication from the SAP SRM system. The replication takes place when purchase order is released and approved in the SAP SRM system.

Rfx
The user can manually start the RFx process if no contract exists for the MPN. The RFx document has to be enabled to copy the information about MPN and manufacturer on line item level. The SAP SRM system fills the data fields for manufacturer and manufacturer part number on RFx item level. The SAP SRM system enables search help for both manufacturer and manufacturer part number fields. Once a manufacturer part number has been entered or selected, the corresponding SAP SRM short text and product number are displayed.

8.3.16 Phased Deliveries

You use this function to make delivery schedules for material items. In Procurement for Public Sector, schedule lines are available in purchase orders, RFxs, and RFx responses.

Note
The delivery schedule unit must be identical to the line item schedule unit.

Integration
In SAP ERP, delivery schedules and good receipts are used. Purchase order delivery schedules are automatically updated in SAP ERP.

Prerequisites

You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
You can enter, change, and delete delivery dates in Procurement for Public Sector (PPS). You can generate delivery dates using Business Add-In Exit to Change Schedule Line (BBP_PD_SDLN_BADI).

Example
You can spread the delivery of 1,000 searchlights as follows: Line item 1: 600 searchlights to be delivered on October 1 Line item 2: 300 searchlights to be delivered on November 1 Line item 3: 100 searchlights to be delivered on December 1

8.3.17 Options
You can use options, that is, optional line items, to specify purchase details for a product or service when you want to make the final purchase decision at a later date. An optional line item in an SAP SRM, Procurement for Public Sector (PPS) purchasing document allows you to stipulate the details necessary for ordering the item, for example, quantity, price, and conditions. However, you can decide whether or not to exercise the option later, depending on market or business conditions. The prices and conditions specified when creating the line items still apply when you exercise the option. By including optional line items with standard line items in the same procurement document, you can bundle the purchase of goods and services that logically belong together, even if you have not yet made a purchasing decision for all items. You use optional line items in the following cases: You want to order a service over a certain period of time and you want to allow for extending the timeline later. However, you want the price and conditions to apply that were agreed on when ordering the first period of the service delivery.

Example
You want to order a certain number of language classes for your employees. If necessary, you want to extend the training at a similarly favorable price in the future. You want to order some goods or services only if you are satisfied with the delivery of another line item.

Example
You want to build a low-energy office building. You order a preliminary design of the building from several specialized construction companies. Your orders include optional lines for the actual construction of the building. After evaluating the preliminary design, you can exercise the options to order from the company who submitted the most suitable preliminary design. As a purchaser, you can use optional line items in the following ways:

If you include options in purchase orders, you can later exercise the options to order the goods or services. The optional line items are ordered as soon as the period of performance starts. If you include surge options in purchase orders, you can later create release orders against the optional line items. If you include options in contracts, you can later create release orders against the optional line items.

Note
Purchasing documents cannot consist exclusively of optional line items, they must always contain at least onestandard line item that you order definitely.

Integration
You can use this function in the following business scenarios: Public Sourcing and Tendering Contract Management and Administration Operational Procurement Procurement Services

Replication of Option Data to the SAP ERP Back End

Data for optional line items in purchase orders is replicated to the SAP ERP back-end system when an optional line item is activated and ordered in the SAP SRM system. At this stage, the corresponding purchase order in the back end is updated. The system uses the purchase order in the SAP ERP back end to start follow-on processes, such as: Transmission of data to the supplier Funds reservation Goods receipt Invoice receipt

Data for optional line items in contracts is not replicated to the SAP ERP back-end system. Only the purchase order that is used as a release order for goods or services is replicated.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. To use optional line items in your purchasing documents, you have done the following in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Industry Functions Application Settings Options : You have specified for which transaction types users can create optional line items. You do this under Allow Optional Line Items. You have scheduled the options handler report to perform automatic status updates for optional line items. You do this under Schedule Options Handler Report. You have defined whether to include the value of optional line items in the header values of a procurement document. You do this under Include Options in Header Values.

You have considered implementing Business Add-Ins (BAdIs) that allow you to do the following: o Relate Option Data to Other Data of Business Process You use this BAdI to relate certain data of an optional line item to each other, for example, the o exercise period of a line item to its period of performance. Limit Non-Optional Lines on Purchase Order and Contract SRM Customer Enhancements (BAdIs) Options .

You implement the BAdIs in Customizing for SAP Supplier Relationship Management under Server Cross-Industry Functions

Features
Options have the following features:

Availability in Procurement Documents

You can create optional line items in the following procurement documents: RFx Contract Purchase order Shopping cart

Note
o o You can define optional line items only in the shopping cart (professional), not in the shopping cart (wizard). For optional line items in a shopping cart, you must specify an option reference item. This is a technical prerequisite for the sourcing process.

Exercise Period
By specifying an exercise period for an optional line item that starts before the period of performance of the line item, you can grant suppliers a certain amount of time to prepare before delivering the goods or providing the services you want to order.

Period of Performance
By specifying a period of performance for your optional line items that is subsequent to the period of performance of the option reference item, you can extend the validity of the contract or purchase order for the specific line item. The supplier will then provide the additional goods or services during a later period of time than the standard line items.

More Information
Option Status Options in Tendering Exercising of Options Use of Surge Options Funds Commitment for Options

8.3.17.1 Options in Tendering

As a purchaser, you can use this business process when you receive a shopping cart or purchase requisition containing options, and you do not yet have a purchase order or contract that fulfills the requirement.

Process
1. On the basis of a requirement, you create an RFx with at least one standard and one optional line item. The system transfers both the standard and optional line items from the requirement to the RFx.

Note
You cannot select the Bidder Can Add New Items indicator when creating the RFx because the system does not allow the bidder to add items to an RFx response with optional line items. 2. You check the option data and, if necessary, change the exercise period, the period of performance, or theoption reference item. You cannot change the option type. 3. You release the RFx. 4. The bidder creates an RFx response. The bidder can make the following changes to the optional line item: Define an exercise period if the purchaser has not done so Change the period of performance specified by the purchaser

Note
A bidder cannot change optional items to standard items nor standard items to optional items. You can add optional line items to an RFx that did not contain any optional line items when it was first published. In the RFx response, the system then automatically removes any item variants that the bidder has created in the initial RFx response. The system informs the bidder about this before the RFx response is submitted. 5. The bidder confirms his ability and willingness to deliver the line items and specifies his bidding prices, or he omits line items that he does not want to bid for, and submits the RFx response. 6. You compare the RFx responses that you receive. You can choose to include or exclude the optional line items during the comparison. 7. You accept an RFx response. 8. Based on the RFx response, you create a purchase order or a contract containing the standard and the optional line items.

Result
A purchase order or contract with optional line items has been created. When the exercise period starts, you can exercise the option.

8.3.17.2 Exercising of Options

You use this process to definitely order options in purchase orders or to make options in contracts and surge options in purchase orders available as a source of supply in Sourcing.

Prerequisites
You have done the following: You have created and released a purchase order or a contract with at least one optional line item. You have scheduled status updates for options and specified the details for sending notifications to purchasers in the options handler report. For more information, see Customizing for SAP Supplier

Relationship Managementunder Schedule Options Handler Report

SRM Server Cross-Industry Functions Application Settings Options .

Process
The following steps occur: 1. When the exercise period of an option is about to start, the SAP SRM system notifies you that the option can be exercised. Depending on the settings made in the options handler report, you receive either an e-mail or a notification in the Universal Worklist (UWL) of the SAP NetWeaver Procurement Portal, on the Alerts tab. 2. You exercise the option within the exercise period. 3. When the period of performance starts, the SAP SRM system automatically activates the option.

Result
What happens after the option has been exercised varies according to procurement document containing the optional line item: Options in Purchase Orders The optional line items are replicated to the SAP ERP back-end system and ordered. They undergo the standard follow-on procurement processes for order confirmation, goods receipt, and invoice receipt. Options in Contracts You can create release orders with reference to the option. In Sourcing, you can assign the option to requirements as a source of supply.

8.3.17.3 Use of Surge Options

Surge options are a specific type of optional line items that you can create in shopping carts and in purchase orders to provide for an unforeseen increase in demand. Surge options are identified in Sourcing as potential sources of supply if their period of performance has started.

Note
You can create an RFx or a contract to source a surge option that was created in a shopping cart. However, in the RFx and the contract, the option type surge option does not exist. Suppliers only see that the item you want to order is optional. This feature allows you to avoid disclosing any details about the potentially sensitive character of an optional line item to potential suppliers. In Sourcing, you can create releases against purchase orders containing surge options to meet the demand for certain goods or services. You can do the following: Order the full quantity of the surge option at once Order partial quantities over a period of time

Prerequisites
You can create release orders against surge options if the following conditions apply: You have created a purchase order containing at least one surge option. You have defined a reference item for the surge option. You have ordered the purchase order.

The period of performance of the surge option has started. Propose Sources

Process
1. In Sourcing, you search for a source of supply to fulfill the requirement by choosing of Supply Contract and Info Record . The system displays potential sources of supply, including the surge option. You have the following alternatives: If the surge option is active, you can assign the surge option immediately as a source of supply. If the surge option is inactive, it is marked as eligible. To be able to select it as a source of supply, you must do the following: 1. Edit the purchase order that contains the surge option and exercise the option.

Note
If you have implemented an approval workflow, the purchase order change must be approved. 2. In Sourcing, search again for a source of supply for the requirement. 2. You assign the surge option as a source of supply, create a draft purchase order, and process the draft. 3. The system adds a new standard line item to the existing purchase order that contains the surge option and replicates the line item to the SAP ERP back-end system. The line item is transferred to the supplier to release the goods or services.

Note
Both the original surge option line item and the newly created standard line item are listed in the Item Overview of the purchase order. In the Item Details of the surge option line item, you see the open quantity that can still be ordered against the surge option.

Result
The supplier has received the standard line item that has been added to the purchase order. The standard follow-on procurement processes for the goods receipt and invoice receipt apply.

8.3.17.4 Option Status

The status of an option indicates how you can use an optional line item and what follow-on activities you or the system can perform. The following table illustrates this: Option Status Inactive The option has not been activated. If the exercise period has started, you can exercise the option. If the period of performance has started, exercising the option activates it immediately. Exercised The option has been exercised and thus been The option is automatically activated as soon Explanation Follow-On Activities

Option Status

Explanation

Follow-On Activities

marked for activation. The period of performance has notstarted. Active The option has been exercised and the period of performance hasstarted.

as the period of performance starts.

Depending on the type of purchasing document, either of the following happens: An option in a purchase order is ordered when you release the document. An option in a contract or a surge option in a purchase order becomes available for sourcing when you release the document.

Expired

The option has not been exercised and can no longer be exercised because the exercise period has ended.

None

Finished

The option has been active. The period of performance has ended.

None

For surge options, the status inactive is further differentiated in the sourcing process as follows: Inactive surge options are not identified as potential sources of supply if their period of performance has not started. Inactive surge options are identified as potential sources of supply if their period of performance has started . They are marked as eligible. You must exercise the eligible surge option to make it available for sourcing. For more information, see Use of Surge Options.

8.3.17.5 Funds Commitment for Options

For optional line items in purchase orders, funds are committed in SAP ERP Funds Management in the following way, depending on the option type of the purchase order line item: Normal Option No funds are committed when an inactive option is ordered. You can exercise the option to have it automatically activated and ordered when the period of performance starts. At this point, the line item is replicated to the SAP ERP back-end system where it is processed as a standard line item, and the corresponding funds are committed. Surge Option No funds are committed when an inactive surge option is released as part of the purchase order in the SAP SRM system. You can exercise the surge option to fulfill a requirement. This creates a new standard line item in the purchase order, which releases goods or services against the surge option. When you order the standard line item, it is replicated to the SAP ERP back-end system, and funds are committed.

8.3.18 Order Types and Mixed-Use Purchase Orders

You can use order types if you want to combine line items that you definitely order with line items that you want to realize later by creating follow-on orders, as you would do with items in a contract. The purchasing document that lets you create both order type line items and standard, definite types of line items in a single document is the mixed-use purchase order. In Customizing, you can freely specify order types and their names to suit your business requirements. However, independent of the names of the order types, all line items with the order type attribute have the following characteristics that are typical of contract line items: When creating the order type line item, you can leave certain details unspecified, for example, the delivery address and the account assignment. Instead, you can state a target quantity and possibly a guaranteed minimum value. When concrete requirements for the item arise, you can create new release orders against that line item for the requested quantity and with the designated account assignment.

Integration
You can use this function in the following business scenarios: Public Sourcing and Tendering Contract Management and Administration Operational Procurement Procurement Services

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have done the following in Customizing for SAP Supplier Relationship Management under Server Cross-Industry Functions Application Settings Order Types : SRM

You have created an identifier and a semantic description for each order type that you want to use, for exampleIDIQ for Indefinite Delivery Indefinite Quantity. You do this in the activity Define Order Types. Note that in this activity, you can also deactivate the order type. By doing this, you ensure that the order type can no longer be selected. However, it is still visible in existing procurement documents to reflect the history of the procurement document.

You have specified in which type of procurement document business users can use order types. You have also specified whether the values of the order type line items are included in the total value on the document header. You do this in the activity Define Transact. Types for Order Types and Their Influence on Header Values.

If you want to allow purchasers to specify a guaranteed minimum value, you have activated the related fields and tabs in Customizing for SAP Supplier Relationship Management under SRM Server Procurement for Public Sector Functions Application Settings Fields . Guaranteed Minimum Activate Tabs and

If you use guaranteed minimum, you can also implement the following BAdIs in Customizing for SAP Supplier Relationship Management under Order Types : SRM Server Cross-Industry Functions Application Settings

Compare Guaranteed Minimum of Contract or PO with Minimum Value Fill Guaranteed Minimum of Contract or PO with Minimum Value

Features
Order type line items have the following features:

Definition of Details in Release Order

In order type line items as in contract line items you can leave many details undefined when creating the item, for example: Delivery address Delivery date Account assignment

Only when you create a release order must you make a definite decision and specify these details. This is common to all order type line items. In Customizing, you can create various order types with different names, depending on the semantic meaning that you intend to convey by the name. However, they do not differ in their technical,contract-like characteristics.

Availability in Procurement Documents

Business users can select order types, for example Indefinite following procurement documents: Document Shopping Cart RFx Item Data Note: When you create an RFx, you can select an order type. On their RFx responses, bidders can only create a response using the same order type, they cannot change the order type. Purchase Order Contract Item Details General Data Item Overview and Item Details General Data Location Where You Select Order Type Item Overview

Delivery, Definite Quantity, in the

Order Types in Purchase Orders

For order type line items, the following additional UI elements (fields, groups of fields, or tabs) are available: UI Element Purpose Location (Item Level) Minimum Value field Minimum total amount that you intend to order against this line item Minimum Quantity field Maximum Order Minimum total quantity that you intend to order against this line item Maximum value that you are allowed to order in a single release Item Details General Data Item Details General Data Item Details

UI Element

Purpose

Location (Item Level)

Value field Maximum Order Quantity field Target Value field

order Maximum quantity that you are allowed to order in a single release order Total value for which you intend to order products in one or several release orders

General Data Item Details General Data Item Details General Data Item Details General Data Account Assignment tab

Target Quantity field

Total quantity that you intend to order in one or several release orders

Guaranteed Minimum group of fields Releases tab

Minimum amount for which you intend to create release orders. For more information. see Guaranteed Minimum.

Details of release orders that have been created against this line item. The information includes, for example, the document numbers, dates, quantities ordered, and values.

Tab is displayed at item level.

Order Types in Contracts

If you select an order type in a contract line item, the following of the above fields are also displayed on the General Data of the line item: Minimum Value Minimum Quantity

If you create an order type line item in a contract, the order type does not change the behavior of the line item since all order type line items are typical of contract line items in that several details can remain undefined. The main benefit of using order types in contracts is that you can use this attribute in sourcing. By implementing the BAdI /SAPPSSRM/SOS_BADI, you can identify contract line items with specific order types and, for example, display them at the top in the list of proposed sources of supply.

Funding and Follow-On Processes

Order type line items remain unfunded. This means that you do not have to specify account assignment information until you create the release order. If you use SAP ERP Funds Management, funds are only reserved when you create a release order. Follow-on processes, such as goods receipt and invoice receipt, are triggered by the release order, not by the order type line item.

Considerations Regarding Order Types

Note the following aspects of order type line items: When creating a mixed-use purchase order, you must include at least one definite line item. If want to create a purchasing document with order type line items only, use a contract instead of a purchase order. If you use hierarchical line items, note the following: o o Below non-order type line items, you can create subline items with or without order types. Below order type line items, you can only create subline items with order types.

You can create an order type line item and make it optional. However, you cannot use the option type surge option. For more information about options, see Options. Regarding the availability of order type line items in sourcing, note the following: o o Order type line items in contracts are automatically suggested as sources of supply by the sourcing logic. Order type line items in purchase orders are not automatically suggested as sources of supply by the sourcing logic.

Example
You want to order a software solution. You do this by creating the mixed-use purchase order shown below. Your company uses the following order types: Indefinite Delivery Indefinite Quantity (IDIQ) This order type means that a definite quantity and the delivery address are specified in the release order.

Requirements
This order type represents an exclusive arrangement with a supplier for a particular commodity or service. The line item itself has maximum values regarding quantity and the monetary amount.

Your purchase order includes the following data: Line No. 0001 0002 n/a n/a Software Licenses Custom Development 0003 0004 0005 IDIQ IDIQ Software Installation Additional Licenses 1 10000 n/a EA EA Hrs $ 100000 $ 5000 n/a n/a n/a $ 500 5000 1 EA EA Order Type Description Quantity Unit Target Value $ 3000 $ 100000 Guaranteed Minimum Amt n/a n/a

Requirements Training

8.3.19 Shopping Cart Commitment

You can use this function to ensure that a financial commitment be made in SAP ERP Funds Management (FM) and/or Controllling (CO) upon approval of a shopping cart created in SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS). Public sector organizations are required to commit funds when they submit a purchase request. By recording the funds commitment in FM, you have appropriate accounting controls throughout the SAP SRM requisitioning process.

Prerequisites
In Customizing for SAP ERP, you have activated the business function PS, Shopping Cart Commitment in PPS(PS_GOVPROC_SCCMT). In Customizing for SAP SRM, you have activated the following business functions: o SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1) o SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1)

In Customizing for SAP SRM, you have activated the use of financial commitment for shopping carts under SRM Server Cross-Industry Functions Application Settings Accounting Activate Shopping Cart Commitment .

8.3.20 Retention
This function enables the use of retention (formerly called withholds) in procurement documents. Retention is available at header and item level on the following SAP Supplier Relationship Management (SAP SRM) Procurement for Public Sector (PPS) document types: Purchase order RFx RFx Response Contract

Integration
Information about retention is transferred from the originating SAP SRM procurement document to SAP ERP for the invoice and payment processes.

Prerequisites
In SAP SRM, you have done the following: You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have defined transaction types in Customizing for Supplier Relationship Management under Server Cross-Industry Functions Retention . In SAP ERP, you have done the following: Activated the business function MM, Integration of Materials Management and Financial Accounting(LOG_MMFI_P2P) in the Customizing activity Activate Business Functions. Performed the following Customizing activities for Materials Management under Verification o Incoming Invoice Retention : Define Default Due Date for Retention In this Customizing activity, you define how long security retention is retained for each material o group. Define Tax Handling for Retention In this Customizing activity, you define country-specific parameters for tax calculation in the o security retention document. Define Control Parameters for Retention In this Customizing activity, you define company-code specific settings for retention. You can further customize retentions using the following Business Add-Ins (BAdIs): You can disable retention fields in Customizing for Supplier Relationship Management under Server Cross-Industry Functions Customer Enhancements (BAdIs) Payments SRM Logistics Invoice Application Settings Payments SRM

Retention Define Transaction Types for

Disable Retention Fields .

You can define default values and input parameters for retention in Customizing for Materials Management under Logistics Invoice Verification Maintain Customer Exits and Business Add-Ins BAdI: . Default Values and Input Parameters for Retention

Features
Retention refers to the ability to hold back a portion of a requested or planned payment. Terms and conditions are agreed upon in the contract, and as long as the special conditions set out in the contract are not met, the receiving invoices are not completely paid. When the retention period passes, the agreed percentage is paid. You can set a default percentage or a definite amount to hold back from invoices and payment, either on a pre-tax or a post-tax basis, but you can always manually change retention amounts on invoices, purchase orders, or payments. Also, you can apply retention to new line item structures, including cost-reimbursement line item types. When you order the purchase order, two documents are created: the receiving invoice and the retention document. The retention document posts the calculated retention amount from the supplier to a special ledger account. By default, retention amounts appear at header level of the special ledger account. The retention amount is paid at the time of the due date entered in the incoming invoice and can be posted with or without tax. In some cases, the retention amount is not paid out as a lump sum. Under certain circumstances, a partial payout of a retention amount is necessary. For example, under terms of a contract, you retain 5% from each of 12 invoices to a contractor. If the contractor has unplanned expenses after the sixth invoice, a partial payout of the retained funds to the contractor is possible, after which you can return to normal processing. You can choose from the following retention options: Not Applicable Select this option if you do not wish to use retention in your procurement document. Secured by Guarantee Select this option if you want retentions to be covered by bank guarantee and not by money withheld from an invoice. If you secure your retention by guarantee, the retention amount is zero. The supplier submits a Bank Guarantee on First Demand that gives the purchaser the right to withdraw money from the bank in case of incidents that require payments under the retention terms of the contract. Applicable (Header) Select this option if you want to enter a retention percentage at header level of a procurement document. The retention percentages are copied to each line item and cannot be changed at line item level. Use this option if you want to apply the same retention percentage to all line items in a procurement document. Applicable (Item) Select this option if you want to enter a retention percentage at line item level of a procurement document. Retention percentages are maintained at line item level. Retention percentages can differ from line item to line item depending, for example, on the type of service being rendered.

Example
Retention is common practice in certain areas, for example, construction. In construction projects, it is standard to withhold a percentage of the invoices sent by contractors because, at the time of invoice, the quality of the goods cannot be assessed. Typically, about six months after construction projects are

finished, quality issues appear and can be assessed. If no quality problems arise, the money that was withheld is paid to the contractor.

8.3.21 Down Payments

This function enables the use of down payments in SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS) purchase orders.

Integration
Down payment values are copied to financial accounting in SAP ERP as default values. You can change the values in financial accounting before the down payment is posted. Down payments are posted with reference to the purchase order. Once the invoice is posted, the system issues a warning that one or more down payments have not been cleared. Down payment clearing is posted with reference to the purchase order and to the invoices that have been posted. During the payment run, the system offsets the down payment made against the invoices.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. In Customizing for SAP Supplier Relationship Management, you have also done the following: Defined down payment types under SRM Server Cross-Industry Functions Application Settings Payments Down Payments Define Down Payment Types . SRM Server Cross-Industry Functions Down Payments Define Transaction Types for Down Payments . Activated down payments for transaction types under Application Settings Payments

In Customizing for SAP ERP, you have activated the business function MM, Integration of Materials Management and Financial Accounting (LOG_MMFI_P2P) under Activate Business Functions. You can also compile, change, and check down payment information by implementing the Business AddIn (BAdI) in Customizing for Supplier Relationship Management under SRM Server Cross-Industry Functions Customer Enhancements (BAdIs) Payments Check Down Payments .

Features
The following four down payment types are available at header and line item level in PPS purchase orders: Initial Use this down payment type if you choose not to enter any down payment information. The down payment due date, amount, and percentage are left blank in the purchase order, and you cannot edit the down payment fields. Not Relevant Use this down payment type if down payments have not been granted to the holder of a contract. The down payment due date, amount, and percentage are left blank in the purchase order, and you cannot edit the down payment fields. By implementing the BAdI Check Down Payments, you can use this down payment type to identify line items for which no default values must be displayed.

Mandatory Use this down payment type if the supplier has been granted a down payment because special conditions have been met. For example, if the value of the contract exceeds a certain monetary amount, many agencies and governments require that a down payment be made. The down payment due date, amount, and percentage must be specified in the purchase order. Voluntary Use this down payment type if the supplier has been granted a down payment even if a down payment is not mandatory. The down payment due date, amount, and percentage must be specified in the purchase order.

8.3.22 Payment Plans

You can use this function to define payment plans (also known as invoicing plans) at functional line item level in SAP Supplier Relationship Management (SAP SRM), Procurement for Public Sector (PPS) purchase orders. Payment plans support complex procurement processes which extend over long periods of time and involve payment milestones instead of the traditional process, which involves goods receipts and invoice receipts and is based on supplier shipments. Using payment plans, you can better steer and track payments from purchase orders.

Integration
PPS uses the same payment plan functions as Materials Management (MM). You can now use payment plans on PPS purchase orders, and all invoice handling is done in SAP ERP. Payment plan functions in SAP ERP purchase orders and in Logistics Invoice Verification (LIV) have remained unchanged.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. To use payment plans in PPS procurement documents, you must perform the Customizing activities in SAP ERP for Materials Management under Purchasing Purchase Order Invoicing Plan . Make sure that the following are customized: Type of payment plan List of possible date descriptions for a planned payment Assignment of date descriptions to invoice types List of possible reasons for blocking a planned payment

Features
Payment plan data is replicated from SAP SRM to SAP ERP and can be used for invoice verification. Billing documents can be automatically generated in SAP ERP based on the payment plans you specify, reducing manual error and eliminating unintentional delays in payments. This leads in turn to good relationships with your suppliers. Payment plans cannot be used with the following: Incremental funding Order type line items

Pricing arrangement components Retentions Down payments

Partial Payment Plans A partial payment plan is made up of a list of scheduled dates on which invoices related to an item are to be entered into the system and subsequently paid. The total value of the item is broken down into amounts or percentages and distributed over the individual dates of the payment plan. Partial payment plans are useful for invoicing high-cost material or for projects involving the procurement of external services that are to be paid in stages, for example, for large construction projects.

Example
A purchase order item refers to a construction project with a total value of USD 500,000. Half of the total value (USD 250,000) is due to be invoiced and paid upon completion of the first phase of construction, and the other half (USD 250,000) is due to be invoiced and paid following completion of the project. The system checks that the sum of all partial payments does not exceed the price of the line item. Because you schedule the payment plan dates with your supplier, the system does not propose dates to you when you create a new partial payment plan. However, if you would like to have due dates suggested to you by the system as an entry aid, you can reference an existing payment plan and adapt it to your needs. Periodic Payment Plans Periodic payment plans support recurring payments like rent or lease payments, where one fixed amount, representing the total value of a line item, can be automatically invoiced and paid out for a specific period, for example, monthly or quarterly.

Example
A monthly sum of USD 500 is charged for a leased car. The transaction is invoiced and paid on the last day of every month. You can define whether the dates are to be manually defined or whether you want the system to suggest dates according to specific rules.

8.3.23 Thresholds
You can use this function to define purchasing thresholds to limit the monetary amount spent, depending on different elements, such as organizational elements, cost accounting objects, or homogenous categories. You can use thresholds to: Control maverick buying by limiting the value of purchases that are made without contractual reference Enforce legally defined maximum budgets for purchases without contractual reference Ensure that purchases do not exceed the limit below which simplified acquisition procedures apply

The system adds up the total amounts of all purchase order items and contract items to which the threshold applies, and validates the total against the amount defined in the threshold. When a purchase

order or contract is created that exceeds the threshold, the system issues either an error or a warning message, depending on your customizing settings.

Example
You can define a threshold amount of USD 5,000 that limits the spending of purchasing organization 0001 on a homogeneous category Apparel for calendar year 2009.

Integration
You can use this function in the following business scenarios: Contract Management and Administration Operational Procurement Procurement Services

You can set up a workflow that informs a user, for example the manager of a purchasing team, when a threshold is exceeded. If the user has specific authorizations, he can prevent the threshold from being taken into account for a specific purchase by selecting the Threshold not Relevant checkbox.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have done the following: In Customizing for SAP ERP Customized the cost accounting objects that you want to use for thresholds. Defined product categories under Logistics General Material Master Settings for Key Fields Define Material Groups . You have ensured that the product categories are replicated to the SAP SRM

system. In Customizing for SAP SRM Activated the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). Created an organizational plan under Performed the activities under Thresholds . SAP SRM Configuration SAP SRM <number of Payment Thresholds . SRM Server Cross-Application Basic Settings Organizational Management Create Organizational Plan . SRM Server Cross-Industry Functions Application Settings

For more information, see SAP Solution Manager under current release>, PPS

Features
Working with purchasing thresholds in SAP SRM involves tasks at three different levels: In Customizing, you implement generic business decisions, such as defining the threshold types and the homogeneous categories to be used in your organization. In the SAP GUI, users with special authorization define actual threshold values for specific purchasing organizations, homogeneous categories, and time periods. They can use the following transactions: Transaction Name Transaction Code Purpose

Transaction Name Threshold Threshold Single Maintenance

Transaction Code /SAPPSSRM/THRESH_MAI /SAPPSSRM/THR_SI_MAI

Purpose Defining several thresholds at once Defining a single threshold

In the procurement applications that are available in the SAP NetWeaver Portal, business users create purchase orders and contracts. The values of these purchases count towards the threshold value.

Thresholds in the Procurement Applications

The following threshold-related fields are available at item level in contracts and purchase orders: Field Name Threshold not Relevant Purpose Users with special authorization can indicate that the amount of this particular purchase does not count towards the threshold. Threshold Number Threshold Type Remaining Threshold Amount Note the following differences between contracts and purchase orders regarding the threshold-related fields: Contracts o The fields are available on the General Data tab, in the Basic area. o Purchasers must enter the threshold number manually. Purchase Orders o The fields are available on the Account Assignment tab, in the Details area. o The system automatically derives the threshold number from the account assignment information that purchasers enter for the item. Identifies a specific threshold. Indicates the threshold type on which the threshold is based. Indicates the amount for which you can purchase until the threshold value is reached.

Example
Your company plans a project for implementing SAP Software. To control the spending, you want to set thresholds. You proceed as follows: 1. You create two different threshold types for costs related to office equipment and for costs related to third-party services. You specify the following data when creating the threshold types: Purchasing Org. 5600012 5600012 Threshold Type A B Acct. Assignmt Object Cost Center WBS Element Time Period Calendar Year Start Date/ End Date Currency USD USD

2. You specify several thresholds to achieve the following: You want the costs for long-term office equipment, such as furniture, and for consumable office supplies, such as paper, to be distributed to different cost centers. You want to account for costs for third-party services on a project basis. Therefore, you specify three different thresholds, based on two threshold types, as follows.

Purch. Org. 5600012

Threshold Type A

Threshold No. 1000567

Threshold Name Office Equipment

Cost Center 1000345

WBS Element n/a

Start Date 01-012009

End Date 31122009

Amount in USD 20,000

5600012

1000568

Office Supplies

1000367

n/a

01-012009

31122009

3,000

5600012

1000701

Third-Party Services

n/a

100456

1-102008

31092009

150,000

8.3.24 Cancellation of Purchase Orders at Header Level

You can use this function to cancel all open line items in a purchase order in one step. The system only cancels line items with open quantities, that is, line items that have not yet been invoiced. If the purchase order contains line items for which a goods or service receipt or an invoice has already been received, these line items are not canceled; they are processed as usual. If you want to take back the cancellation of the purchase order, you can use the Reverse button.

Integration
This function is used in the Operational Procurement business scenario.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
This function includes the following features: From the document header, you can cancel all open line items of a purchase order in one step. The system automatically deobligates the funds for all canceled line items in the SAP ERP system. The system prevents adding new line items to this purchase order. You can reverse the cancellation of the line items in one step, from the document header.

8.3.25 Sourcing and Tendering

Sourcing and tendering integrates functions used in the public sector for competitive procurement into the standard SAP Supplier Relationship Management (SAP SRM) procurement scenario.

Features
Sourcing and tendering provides the following functions:

Synopsis Organizations can create synopses for business opportunities. For more information, see Synopsis. Prequalification questionnaires Purchasing organizations use prequalification questionnaires to evaluate which suppliers are best suited to submit RFx responses for an RFx. For more information, see Prequalification of Suppliers.

Tender fees Tender fees are paid by prospective suppliers to access RFx documents and submit an RFx response. For more information, see Tender Fee Processing.

Earnest money deposits Earnest money deposits are paid by prospective suppliers as a guarantee of fulfillment of contract. For more information, see Earnest Money Deposit Processing.

Two-envelope RFx responses Two-envelope RFx responses allow suppliers to submit technical bid information separately from price information. For more information, see Two-Envelope RFx Response Processing.

Multi-party verification at RFx response opening Multi-party verification uses the simultaneous logon process to allow multiple users to approve RFx response opening by logging on to the system. For more information, see Simultaneous Logon at RFx Response Opening

8.3.25.1 Prequalification of Suppliers

You use this process to evaluate potential suppliers before allowing them to respond to an RFx. This allows you to limit bidding to those suppliers who are best suited to your requirements. Suppliers submit a prequalification questionnaire (PQQ) that is evaluated based on the predefined evaluation criteria. Only those suppliers whose PQQ is accepted are allowed to create RFx responses against the RFx. You can customize questionnaires to meet your organization's criteria. A prequalification questionnaire can contain questions about, for example, standards compliance, support of relevant business practices, or logistical capabilities. For more information about creating prequalification questionnaires, see Customizing for SAP Supplier Relationship Management (SAP SRM) under SRM Server Procurement for Public Sector Functions Application Settings Questionnaire .

Evaluating PQQs
You can either manually evaluate PQQ responses or let the system automatically reject or accept them. When a supplier submits a PQQ, the system compares the supplier's answers against the criteria defined in Customizing. Based on the weighting factor defined for each question, the system calculates a total score for the questionnaire. If you want to use automatic evaluation of PQQ responses, you must activate the option in the RFx and specify a threshold value. The threshold value is the minimum score required by a supplier to qualify. The system compares the supplier's total score against the threshold value and automatically rejects or accepts the PQQ response. If you choose to evaluate the responses manually, the purchaser accepts or rejects the responses manually.

Resubmitting PQQs
You can allow suppliers to resubmit a PQQ if it was rejected before the submission deadline.

Prerequisites

You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions. You have done the following: You have activated prequalification questionnaires for the required transaction and publication type in Customizing for Supplier Relationship Management under SRM Server Cross-Industry Functions Application Settings Tendering Server Cross-Industry Functions Define Tendering Options . SRM You have created the questionnaire in Customizing for Supplier Relationship Management under Application Settings Prequalification Questionnaire . You have specified the default PQQ for the transaction type and any optional PQQ settings in Customizing forSupplier Relationship Management under SRM Server Cross-Industry Functions Application Settings Prequalification Questionnaire Define Basic Data for Prequalification Questionnaires .

Process
1. The purchaser creates an RFx, selects a prequalification questionnaire for the RFx, and enters a submission deadline. 2. If required, the purchaser specifies that the suppliers' PQQ responses should be evaluated automatically and specifies a threshold value. 3. The purchaser publishes the RFx. 4. The supplier views the RFx in SAP Bidding Engine and decides to submit an RFx response. 5. The supplier fills out and submits the PQQ in SAP Bidding Engine. 6. The system calculates the supplier's score based on the weighting factors defined in Customizing. 7. One of the following takes place: The purchaser evaluates the PQQ responses by viewing each PQQ response and manually accepting or rejecting the PQQ. If automatic evaluation has been selected, the system automatically rejects or accepts the PQQ based on the threshold value. 8. The system notifies the supplier of the decision.

Note
The standard prequalification process is not supported if you have activated the SRM, Supplier Collaboration(SRM_SUCO_1) business function and the Customizing switch RFx Response Submission Outside Firewall(SRM_701_SUCO_BIDDER_DECOUP). If you want to implement this process, you can establish an RFC connection to enable the data exchange between the purchaser's system and the supplier's system outside the firewall. For more information, see consulting note 1446109. The implementation of this note is a customer enhancement.

Result
Suppliers whose PQQ was accepted can now view the complete RFx and create an RFx response.

8.3.26 Mass Change and Novation

You use this function to make mass changes to purchasing documents, for example, the quantity of a selection of items, and to novate contracts and purchase orders.

Note
You can only novate contracts and purchase orders if there are no follow-on documents associated with them.

Integration
You can use SAP Records Management to electronically store the original and novated contracts and purchase orders.

Prerequisites
You have activated the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). Note that you can only use this business function in conjunction with the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). In other words, you must activate both business functions.

Features
Mass Changes
You can change the header, item, partner, and accounting data of purchase orders, contracts, and RFxs. You do this with transaction Mass Change/Novation (/SAPPSSRM/MCN). This easy-to-use transaction is highly configurable, as you can add a wide range of selection criteria to retrieve the required purchasing documents. You can simulate changes before actually changing the data. Once you have changed and saved the data, an approval workflow is triggered.

Novation
You can change the supplier on all previously awarded contracts or purchase orders. You also do this with transaction Mass Change/Novation (/SAPPSSRM/MCN). You can simulate changes before actually changing the data. Once you have changed and saved the data, an approval workflow is triggered. After the approval, you must execute the novation to complete to process.

Contract Novation
From a technical point of view, the system creates a new contract version when you novate a contract.

Purchase Order Novation

From a technical point of view, the system creates a new purchase order when you novate a purchase order. The process is identical to contract novation, except that at the end of the process, the original purchase order is listed with the NOVATION suffix, whereas the new purchase order is listed with a new number. This is also reflected in SAP Records Management, if applicable.

8.4 Business Function SRM, Procurement for Public Sector

Technical Data Technical Name of Business Function Type of Business Function Available From Technical Usage Application Component Required Business Function Incompatible Business Function You can use this business function to streamline your public-sector-specific financial processes and tendering processes. For more information about the individual functions, see Features of SRM, Procurement for Public Sector. SRM_PUBLIC_SECTOR_1 Enterprise Business Function SAP enhancement package 2 for SAP SRM 7.0 SRM SRM-EBP-PPS SRM, Cross-Industry Functions(SRM_CROSS_INDUSTRY_1)

Integration
The business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1) provides publicsector and financial functions for the following business scenarios: Public Sourcing and Tendering Contract Management and Administration Operational Procurement Procurement Services

Note
You cannot revert this business function.

Note
You can only use this business function in conjunction with the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). In other words, you must activate both business functions.

Note
The business function SAP SRM Procurement for Public Sector Functions (/SAPSRM/SRM_PPS), which is used in lower releases, has become obsolete in the current release. You can neither activate it nor deactivate it.

Prerequisites
You have installed the following components as of the version mentioned: Type of Component Component Required for the Following Features Only

Type of Component Software Component

Component SRM_SERVER 702

Required for the Following Features Only

You have implemented the extended classic scenario. Other SAP SRM technical scenarios (classic, standalone, SAP SRM in one client in SAP ERP) are not supported for SAP PPS. You are using SAP ERP 6.0 enhancement package 4 or higher. You have activated the relevant business functions in SAP ERP. For more information, see Procurement for Public Sector (PPS). You have performed the following Customizing activities in SAP ERP: o You have activated the enterprise extension EA-PS Public Services. o o

Public Sector Management Procurement for Public Sector Activate Functions for Procurement for Public Sector . You have defined any other settings you require under Public Sector Management Procurement for Public Sector .

You are using Funds Management. You have activated the required functions in Customizing under

8.5 Features of SRM, Procurement for Public Sector

The business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1) allows you to use functions that support specific requirements of the public sector: These functions belong to the area of Financials and to the tendering process.

Financials
The following functions provided for Financials are highly integrated with Funds Management in SAP ERP (seeIntegration with SAP ERP Funds Management): Document Totals Extended Purchase Order History Procurement of Direct Materials with Use of Funds Management Funds Commitment for Options Incremental Funding Guaranteed Minimum o Earmarked Funds Parking Documents Posting Documents with a Future Date Budget Period Selective Release This function prevents the earmarked funds document of a contract with a guaranteed minimum from being transferred automatically to the SAP ERP back-end system when the approval process is complete. As an additional step in the approval workflow, contracts are filtered and are then either released or blocked, depending on the defined selective release criteria. Blocked contracts remain blocked and no funds are reserved in the back-end system until the contract is released either manually or automatically. A report is used to display contracts where user intervention is required.

Authorized users can either return contracts for further processing or manually release contracts individually or as part of a mass release. The earmarked fund documents of released contracts with a guaranteed minimum are posted to the back-end system after a successful funds check has been performed. Account Assignment Distribution You can automatically distribute costs between multiple accounts when processing purchase orders or contracts with a guaranteed minimum. Large projects or purchases in the public sector often receive funding from multiple sources. Account assignment distribution allows you to enter an account assignment for distributing the costs between multiple accounts. You define cost distribution in Customizing for SAP ERP. Prerequisite: In Customizing of SAP ERP, you have activated the business function PSM, Additional Functions in SAP SRM and PPS (PSM_PPS_INTEGRATION).

Tendering
This business function also comprises the following functions that support the tendering process specific to the public sector and related organizations. Synopsis RFx Response Evaluation Using Short Lists You can use short listing of eligible suppliers when evaluating RFx responses as part of the twoenvelope RFx response process. When processing two-envelope RFx responses, the technical RFx response is placed in a cFolder accessible for review by a technical evaluation panel of a tender committee. The technical evaluation panel evaluates technical RFx responses submitted by suppliers. If a technical RFx response meets the technical criteria published as part of the RFx, then the RFx respondent is placed on a short list of eligible suppliers. Afterwards, the price information submitted by the RFx respondents on the short list is opened for review by the price evaluation panel. If a technical RFx response is rejected, then the supplier is rejected and the price response is not evaluated. This process ensures that the evaluation of the technical RFx response is not influenced by knowledge of the price information.

8.5.1 Document Totals

The Document Totals tab is available on purchase orders and contracts. It gives you an overview of the total value of all items in your procurement document. It comprises: Total value of all line items within the procurement document, detailed as follows: o o o Net value (excluding tax) Tax value If several tax types apply, the amounts are also displayed per tax code. Gross value (including tax) Total of minimum values that you have specified in contracts or mixed-use purchase orders. To calculate the minimum values of mixed-use purchase orders, the system totals the following values: o o Value of all line items that are definitely ordered Minimum value of all order-type line items

Note that the values of inactive options are not included in the total values.

Prerequisites
You have activated the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). Note that you can only use this business function in conjunction with the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). In other words, you must activate both business functions. You have performed the Customizing activities in SAP SRM that are listed and documented in SAP Solution Manager under SAP SRM Configuration SAP SRM <number of current release>, PPS Document Totals .

Example
The SAP SRM system calculates the minimum values on the Document Totals tab of a mixed-use purchase order as described below. Note that for this example the tax value is not relevant. You have created a purchase order with the following line items: Item No. 1 2 3 Standard Optional with option status inactive Order type Indefinite Delivery Definite Quantity On the Document Totals tab, the minimum values (gross and net) of this purchase order are calculated as the total values of all line items that are definitely ordered: USD 100 (total value of the standard line item 1) + USD 360 (minimum value of the order-type line item 2) = USD 460. Type of Line Item Tax Value n/a n/a n/a Total Value (Gross and Net) USD 100 USD 200 USD 500 Minimum Value n/a n/a USD 360

8.5.2 Extended Purchase Order History

You can use the Extended Purchase Order History function both on the document header and the line item level. From this tab, users can display SAP ERP back-end documents, such as: Goods receipts Service entry sheets Invoice receipts Payment documents Clearing documents Funds Management (FM) accounting documents If you have not activated FM in the SAP ERP back end, instead of FM accounting documents users can access regular accounting documents (FI-GL). You can use Smart Forms to capture a snapshot of the information available in the Extended Purchase Order History. This snapshot is sent to SAP Records Management and stored as a PDF file that you can display and, for example, take as a record of payments from the organization to the supplier. (More sophisticated reporting capabilities are available through SAP NetWeaver Business Intelligence (SAP NetWeaver BI)).

Integration
This function is used in the following business scenarios: Operational Procurement Procurement Services

Prerequisites
You have activated the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). Note that you can only use this business function in conjunction with the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). In other words, you must activate both business functions. To display the Smart Form contents in SAP Records Management, you have specified the name of the Smart Form to be used by implementing the Business Add-In (BAdI) Determine SmartForm for Extended PO History(/SAPPSSRM/PO_HSMRTF1) in Customizing for SAP Supplier Relationship Management under SRM Server Procurement for Public Sector Functions Customer Enhancements (BAdIs) SmartForms .

8.5.3 Integration with SAP ERP Funds Management

For purchases in SAP Supplier Relationship Management (SAP SRM), including Procurement for Public Sector (PPS), funds can be committed in Funds Management (PSM-FM) of the back-end system (SAP ERP).

Principles of Funds Commitment in SAP SRM

In the extended classic scenario of SAP SRM, purchase orders created in SAP SRM are replicated to the back-end system. The replicated back-end purchase order is the document that triggers follow-on processes in Financials, Controlling, and Funds Management, thus obligating funds. Before an SAP SRM purchase order is replicated to SAP ERP, the system checks whether sufficient budget is available for the item. This check is performed using the active availability control function in SAP ERP Funds Management. Availability of budget and approval of the SAP SRM purchase order are prerequisites for the replication of the purchase order to SAP ERP. You make the settings relevant for posting commitments in the SAP ERP system in Customizing for Public Sector Management under Funds Management Government Actual and Commitment Update/Integration General Settings .

Funds Commitment for Standard Line Items

For purchasing documents created in SAP SRM, funds commitment in the back-end system is performed as follows: Purchaser Orders (in SAP SRM, including PPS) Funds are committed for purchase-order line items when the purchase order is approved and replicated to the back-end system. Shopping Carts (in PPS Only) Funds are committed for shopping cart line items when the shopping cart is approved. For more information, seeShopping Cart Commitment. Other Purchasing Documents (in SAP SRM, including PPS) For other purchasing documents, such as RFxs, auctions, and contracts, no funds are committed.

Funds Commitment for Line Items With Enhanced Functions (PPS Only)
For purchase order line items that offer enhanced functions provided by Procurement for Public Sector (PPS), such as order type line items or optional line items, funds commitment is performed in the following way: Order Type Line Items For order type line items in mixed-use purchase orders, no funds are committed when the PPS purchase order is ordered. When a release order is created and its purchase order line items are replicated to SAP ERP, the back-end purchase order triggers the funds commitment. If you want to commit funds for order-type line items at the moment when they are created, you can use the guaranteed minimum function. For more information, see Guaranteed Minimum. Options For inactive options, no funds are committed when the PPS purchase order is ordered. When the optional line item is exercised and activated, the line item is replicated to SAP ERP. The back-end purchase order then triggers funds commitment. For more information, see Funds Commitment for Options.

PPS Functions Integrated with SAP ERP Funds Management

The following topics describe the functions that are available in SAP SRM, PPS, to manage funding of your procurement activities: Procurement of Direct Material with Use of Funds Management Shopping Cart Commitment Incremental Funding Guaranteed Minimum Earmarked Funds (relevant for incremental funding and guaranteed minimum) Funds Commitment for Options Parking Documents For more information, see Features of SAP SRM Procurement for Public Sector Functions. Posting Documents with a Future Date For more information, see Features of SAP SRM Procurement for Public Sector Functions.

Note
While this document focuses on the integration with Funds Management in SAP ERP Public Sector, note that, to create commitments, you can use one or several of the following SAP ERP components, depending on your configuration: Commitments Management (CO) General Ledger Accounting (FI-GL) Special Ledger Accounting (FI-SL)

8.5.4 Synopsis
You use this function to create synopses for business opportunities. Synopses are summaries in the form of texts and data fields that can contain the following information on which you are legally required to report: Advance notice of a future business opportunity

Details of an RFx regarding the opportunity or the RFx itself Notification of an RFx award, a contract, or a purchase order Details of a change to an existing synopsis

Synopses are issued at several stages during a business opportunity's lifecycle, presenting different information at each stage. You can generate synopses from an RFx, a contract, or a purchase order. Before you publish them, you can view them as attachments in XML format. The XML format complies with the legal reporting requirements and can be read by online publishing systems.

Integration
You can use SAP Document Builder to generate synopses and SAP Records Management to store them electronically. You can specify this in Customizing.

Prerequisites
You have activated the business function SRM, Procurement for Public Sector (SRM_PUBLIC_SECTOR_1). Note that you can only use this business function in conjunction with the business function SRM, Cross-Industry Functions (SRM_CROSS_INDUSTRY_1). In other words, you must activate both business functions. You have performed the following activities in Customizing for SAP Supplier Relationship Management under SRM Server Procurement for Public Sector Functions Application Settings Synopsis : Define Schemas Synopsis schemas provides a set of templates that you can use to format the information in the synopses at each stage. SAP delivers a predefined schema, FBO. FBO stands for Federal Business Opportunities (also known as FedBizOpps), which is an online publishing system addressing U.S. Federal Government and U.S. Defense suppliers and notifying them of opportunities valued over USD 25,000.00. Examples of other possible schemas are MERX, for the Canadian online publishing system for public-sector opportunities, or OJEU, for the Supplement Official Journal of the European Union that publishes all RFxs for public-sector contracts at EU level. Define Classification Codes A classification system is a nomenclature that categorizes goods and services. It enables potential bidders to search for synopses on online publication systems and to determine whether they are eligible or not. Currently, the following classification systems are the most commonly used procurement classification systems throughout the world: o o o o Federal Supply Code (FSC) North American Industry Classification System (NAICS) United Nations Standard Products and Services Codes (UNSPSC) Common Procurement Vocabulary (CPV)

Define Recipients You set up communications between your purchasing organization and online publication systems, allowing synopses to be sent to specified recipients automatically, via e-mail or SAP NetWeaver Process Integration (SAP NetWeaver PI).

You can implement several Business Add-Ins. You do this in Customizing for SAP Supplier Relationship Management under SRM Server Procurement for Public Sector Functions Customer Enhancements (BAdIs) Synopsis :

o o o

Customer-Specific Synopsis Map SRM Procurement Document Data to SAP Document Builder Transfer of Synopsis without SAP PI or E-Mail