Fundamentals of SAP Sales and Distribution (SD) Module
SAP Sales and Distribution (SD) is one of the most popularly used modules that is imparted in SAP SD Certification program towards better data and work management in enterprises. SAP (System Application and Products) was initiated by SAP AG originated in Germany. It is an enterprise resource planning software product that enables organizations in integrating various business processes through a single unified system. Since SAP started its journey concentrating on inventory management, it has come a long way adopting various modules for different processes in an organization. Today, SAP has been adopted by host of companies from across the globe to enhance the process works in various departments. From human resource management to sales and distribution and from financial accounting to controlling, SAP has a wide range of modules for different job areas. The SAP SD module is one of the primary ERP module developed by SAP. SAP service and distribution deals in better management of sales and customer distribution data and processes in organizations. It works closely with other SAP modules towards effective process work. Other modules that SAP SD integrates are financial accounting (FI), controlling (CO), materials management (MM), and production planning (PP) and so on. All these collaborate together and enhance the work process in enterprises. SAP SD configuration requires adequate knowledge on handling SAP developed software products. It is widely advised by experts to undertake SAP SD training in order to build a strong base on SAP SD user. SAP SD module has multiple components that integrate different processes within the job area.
Components of SAP SD Module
- SAP-SD-MD: Master Data
- SAP-SD-BF: Basic Functions
- SAP-SD-SLS: Sales
- SAP-SD-SHP: Shipping
- SAP-SD-TBA: Transportation
- SAP-SD-FTT: Foreign Trade
- SAP-SD-BIL: Billing
- SAP-SD-CAS: Sales Support
SAP-SD-MD (Master Data): SAP SD user includes master data and the process involves track of each and every transactions within the data. The sales and distribution master data includes data of customer master data, material master data, pricing conditions record, output records and credit management. From order to cash process, entire flow is being recorded in this module.
SAP-SD-BF (Basic Functions): SAP SD configuration results effective process across all basic functions involved in sales and distribution area. Here, examples of basic functions can be pricing, output etc. The amount of pricing used for a particular sale and the output result from the same and so on.
SAP-SD-SLS (Sales): As the term suggests, SAP SD sales handles minute details of every sale that is taken place. From recording the product to customer details, pricing, feedback and the sales process, everything is tracked through this module.
SAP-SD-SHP (Shipping): Sales are closely related to shipping and delivery. Product needs to be rightly shipped and delivered to customer. There are different methods of shipping and this module track each one used for each delivery. The entire process from being shipped to delivered or return back is recorded through this module.
SAP-SD-TBA (Transportation): This SAP SD component works closely with the above shipping module. A product can be either couriered or manually delivered. The mode of transportation is different for each one and is being tracked through this module.
SAP-SD-FTT (Foreign Trade): This component helps a department to handle the data related to foreign trade including both imported products and products exported outside. This module works best for enterprises involved with trade across nations.
SAP-SD-BIL (Billing): Billing is a major part in sales. Customers can pay either online using debit or credit card, through cash on delivery, or by using pay pal account and so on. To maintain a proper track for future reference, each bill detail is recorded through this module.
SAP-SD-CAS (Sales Support): From selling a product to maintaining it for a process, customers constantly interact with the sales team. The data exchanged between the sales team and customers while delivering support for a product is recorded and reported through this module.
These are some of the multiple components involved in SAP SD user for effective process work within sales and distribution job area. There are various advantages of SAP SD configuration and few of these are mentioned as below.
Advantages of SAP SD Configuration in Enterprises:
- Track of sales transactions
- Record or pre-sale and post-sale process
- Tracks sales data along with team performance
- Defined process for sales and distribution
- Categorization of diverse sales and process
- Effective management of sales documents in an unified system
Owing to all the above benefits and many more, SAP SD module is adopted by huge number of enterprises across the globe and today it is one of the most popular of ERP systems globally used. As organizations are moving towards SAP implementation, the need for SAP training is growing immensely among professionals.