For new Plant should we have to create a new sales organization?

[Former Member]

Hi Experts,

I am going for one roll out project. In that we have to create new plant, so should i have to create new sales organization or else we can use the same. And also tell me what are the benefits & disadvantages of that.

Thanks & Regards

Chavi Patle

Edited by: chavipatlesd on Jan 30, 2011 8:33 AM

[Former Member]

Dear Chavi,

Depends on customeru2019s business, You can use existing sales org or can create new sales org for the new plant as there is many to many relations between sales org and plant. But pls note that you can not use existing sales org with the new plant if the company code of the both are different (or else if will be inter company scenerio).

If possible try to use existing sales org to make the enterprise structure simple.

Give us your feedback.

Cheers!!

[Former Member]

Hi,

If the operations are in a different country then its better to create new sales area altogether.discuss with your client and do accordingly.

Regards,

Ramesh.

[Former Member]

Hi,

Let me explain with an example:

You have already Implemented SAP in place AAAA. Now the roll out is going on in place BBBB. You are creating a Plant for BBBB. If the sales activities are carried out in BBBB, you have to create a new sales organization for BBBB. If the sales activites are solely controlled by AAAA, there is no need of sales organization in BBBB.

Regards,

K Bharathi

[Former Member]

hi

i will say only one logic here.

if you define the plant or new plant you need to extend all the other organisational units for it right.

then i there is no need for creation of new SALES ORGANISATION on the same.

please take the advice of your PM in this regard he might be having different views from reporting perspective and might be your roll out project needs a new sales orgn or not.

if you ask us thre is no need for creating a new sales organisation on the same.

advantages:

if there is a really need for creating a new sales orgn as wellas plant this mihgt be for reporting perspective only & analysis will be very clear.

disadvantages:

this is not a disadvantage but from Enterprise Structure point of view master data will increase ofcourse this master data is needed for smooth processing of SYSTEM

hope this clears your issue.

balajia

[Former Member]

It depends on how you design.

Discuss with your client, take the requirements & configure accordingly.

Rgds

Sumanth.G

[Former Member]

Hello,

If you creating a new plant with same company code, it is not necessary to create new sales organisation.

In SAP structure sales organisation is always assigned to one and only one company code. A Sales Organization is the highest level of organizational Unit in SD. A campnay code can have one or more sales organisation.

You can also assign one or More than one Plant can be assigned to combination of Sales Organization and Distributional Channel and vice-versa.

Always remmeber that definition of organization units is a fundamental step in your project. It is a critical factor in how the project will be structured. You should not use more organization units than necessary. Once you have decided on an organizational structure it is not easy to change it.

I hope this helps.

Br,

Tushar

[Former Member]

Hi

There is no need to create and assign a new sales organization for that.

You can use the existing the VKORG and assign the new plant to VKORG & VTWEG.

Also assign your shipping point to plant. etc

regards

Prashanth