Book Image

Implementing Order to Cash Process in SAP

By : Chandrakant Agarwal
Book Image

Implementing Order to Cash Process in SAP

By: Chandrakant Agarwal

Overview of this book

Using different SAP systems in an integrated way to gain maximum benefits while running your business is made possible by this book, which covers how to effectively implement SAP Order to Cash Process with SAP Customer Relationship Management (CRM), SAP Advanced Planning and Optimization (APO), SAP Transportation Management System (TMS), SAP Logistics Execution System (LES), and SAP Enterprise Central Component (ECC). You’ll understand the integration of different systems and how to optimize the complete Order to Cash Process with mySAP Business Suite. With the help of this book, you'll learn to implement mySAP Business Suite and understand the shortcomings in your existing SAP ECC environment. As you advance through the chapters, you'll get to grips with master data attributes in different SAP environments and then shift focus to the Order to Cash cycle, including order management in SAP CRM, order fulfillment in SAP APO, transportation planning in SAP TMS, logistics execution in SAP LES, and billing in SAP ECC. By the end of this SAP book, you'll have gained a thorough understanding of how different SAP systems work together with the Order to Cash process.
Table of Contents (15 chapters)

Sales contracts

A sales contract is an agreement between a customer and a supplier stating a specific price or discount for a specific period of time. Once the sales contract's validity period expires, the contract can no longer be used to sell the product for the contracted price. The functionality of sales contracts in SAP CRM is the same as in SAP ECC.

Sales contracts provide functionality such that a supplier can offer a lower price than the market price to extend their customer base and improve customer retention. Figure 7.1 shows a representation of contract management in SAP CRM:

Figure 7.1 – Contract management in SAP CRM

Figure 7.1 – Contract management in SAP CRM

Here are the steps involved in the sales contract management cycle in SAP CRM:

  1. The sales representative negotiates a price with the customer based on certain terms and conditions for a specific period.
  2. The sales representative creates a contract based on their discussion with the customer and certain...