How many Purchase organizations I should have

[prashantatri]

Hi all,

Pleaes suggest me whether I whould have one Purchasing Organization or two.

My client has 2 companies and we are creating 2 company codes for them. One compnay is doing Infrastructure construction Projects Business and the other is doing Packaged Mineral Water manufacturing busuiness.

Thanks

Prashant Atri

[former_member540826 · Accepted solution]

Please consider the following point before going for the decision for the purchase organization:

1) The purchasing activities are controlled for the purchase organization separately or centrally

2) Is there local purchase available at the plant?

3) Is it that all the plants are using the same contacts for the purchases? Is there grouping of the plants for the purchase activities?

4) How is the release strategy ? Is it different for the separate company codes?

5) The price negotiations are based on the plant? Purchase organization?

6) Authorization restriction!

Then you can take a call whether you want the company code specific purchase organization/ plant specific purchase organization.

[Former Member]

Hi,

Since it is totally two different companies, it would be better to have two different purchase organizations provided your client is able to support both.

Regards,

Divya

[ashish_andani]

hi..

it totally depends upon the client requirement...

if they want to valuate both company separate unit...then purchasing org also should be separate ...

or logically once purchasing org can also handle the procurement for both the companies...

Hope it helps.

Thanks

[Former Member]

If the purchasing activities will be common for both the companies then there should be one purchase Org.

Regds,

Sandesh Sawant

[Former Member]

This message was moderated.

[former_member212745]

Hi,

Please go through the following link which will give you a clearcut idea.

[http://help.sap.com/saphelp_46c/helpdata/en/d3/4b4f79843b11d29c5c0000e8a51c6e/content.htm]

Regards,

Amol

[Former Member]

Its totally depend upon how the client presently does procuring activities in their non-SAP system. Since you have a client having two different types of industries then you can always go for 2 seperate purchase organizations.

Thanks & Regards,

Indranil