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Former Member
Jun 18, 2009 at 04:36 AM

Org Structure for a Service Industry (BPO)


Hi All,

We are discussing the Org Structure for a Service Industry (BPO).

We are having one Head Office in Delhi & two Branch Offices in Mumbai & Ranchi.

We will do procurement of the following:

Hardware, Software, Office Consumable, Services like AMC for Printers, PC Hiring, EPBX Systems & Maintenance etc.

The decision of procurement is done by the Central Procurement Team here in Delhi where as the respective Materials (service & asset) are received at the respective locations Mumbai & Ranchi.

We are going to create Purchase Orders for Service & Asset, Consumable Purchase will be handled directly by FI.

We will be defining the following Org Structure:

Company Code: 1000

Purchasing Organization: 1000

Plant u2013 1000 (Delhi Office)

Purchasing Group: 100 u2013 Asset, 101 u2013 Service, 102 u2013 Consumable

Storage Location: NONE

Business Area: 1001 - Delhi Office, 1002 - Mumbai Office, 1003 - Ranchi Office

The FI Team is of the view that we should create only one Plant, for Delhi Office.

Mumbai & Ranchi Office, he is not treating as Plants, he is going to treat as Business Areas. All the tracking related with Service/ Asset/ Consumables purchjase will be tract using Business Areas only.

Since there is no Material (like raw materials, packaging) involved, we are not planning to create Storage Location.

My questions are:

1. Should we not treat Mumbai & Ranchi Offices as Plants?

2. In case of creating Single Plant, will we able to track all the reports with respect to MM?

3. Is the above Org Structure is OK?

(Note: I have posted the same Query earlier also)


P K Karn