Solved: please define distrbution channel ,division , sale...

Former Member · ‎12-18-2007

Hi all,

Can anybody help me in understanding the following business terms in a more clear way.

distrbution channel

division

sales office

sales group

plant

sales Organization

Thanks and Regards,

Syed.

Former Member · ‎12-18-2007

distrbution channel

Means through which products and services reach the customer

A distribution channel:

Defines responsibilities

Helps in achieve flexible pricing

Differentiate Sales statistics

division

A division is used to group products and services.

A division represents a product line.

plant

A Plant is a location where stock is maintained

Plant and storage location are used by all logistic area of R/3 System

A Plant is uniquely assigned to a company code

sales Organization

Responsible for:

Distribution of goods and services

Negotiating Sales Conditions

Product Liability and rights of recourse

A sales organization is uniquely assigned to a company code

Master data’s are separately maintained for a sales organization

All items in the Sales and Distribution document belong to a sales organization

REWARD POINTS IF USEFUL

Regards,

Sreenivas

Former Member · ‎12-18-2007

Often abbreviated 4GL, fourth-generation languages are programming languages closer to human languages than typical high-level programming languages. Most 4GLs are used to access databases. For example, a typical 4GL command is

FIND ALL RECORDS WHERE NAME IS "SMITH"

Former Member · ‎12-18-2007

Hi

Syed

Sales Organization

An organizational unit responsible for the sale of certain products or services. The responsibility of a sales organization may include legal liability for products and customer claims.

Distribution Channel

The way in which products or services reach the customer. Typical examples of distribution channels are wholesale, retail, or direct sales.

Division

A way of grouping materials, products, or services. The system uses divisions to determine the sales areas and the business areas for a material, product, or service.

Sales Office

A physical location (for example, a branch office) that has responsibility for the sale of certain products or services within a given geographical area.

Sales Group

A group of sales people who are responsible for processing sales of certain products or services.

Plzz reward if my information is useful

feel free tyo ask any quiries an dont forget to reward plzzz if helpful.....

Former Member · ‎12-18-2007

Hi Syed,

Sales organization

This represents a selling unit, as defined by R/3. That is, the organizational unit responsible for a sale, returns, and product liability. A company code can have several sales organizations

Distribution Channel

This is the means by which the product is supplied to the customer. Examples of distribution channels are wholesale, retail

Division

This represents a company's product line

Sales Area

A sales area is a unique combination of sales organization, distribution channel, and division

Plant

A plant is a location where goods are manufactured or stored. A plant can be used by several sales areas

Rgds,

Pankaj

Former Member · ‎12-18-2007

Sales Organization is an organizational unit, that structures the company according to its sales requirement

A Sales Organization is responsible for the sale and distribution of goods and services

It represents the selling unit as a legal entity. It is responsible for product guarantees and other rights to recourse

Each business transaction is processed within a sales organization

The distribution channel represents the channel through which saleable materials or services reach customers. Typical distribution channels include wholesale, retail and direct sales

Divisions, can be defined for a wide-ranging spectrum of products. For every division you can make customer-specific agreements or set up separate marketing procedures

A plant can either be a place of production or a single storage location, or a combination of closely situated storage locations where stock is kept.

Hope dis helps..

Reward if it does

Former Member · ‎12-18-2007

Enterprise Structure components:

Sales Organisation:

It is a unit responsible for selling the materials.

Distribution Channel:

It is a channel through which selable material or services reach customers.

Division:

It is the range of products available for distribution.

Sales Area:

Sales organisation + Distribution Channel + Division.

Plant:

it is an opeerating area / branch with in a company.

Storage Location:

A Storage location allows differenciation between various stocks of a material with in a plant.

Shipping Point:

A shipping Point is a unit in logiscics that performs shipping process from where to ship the goods to the shipping vehicles. It is a combination of shipping conditions, loading group and delivery point.

Reward Points if useful.

Former Member · ‎12-18-2007

hi,

suppose SAP Trust(Operation concern) is the head and it has SAP india and SAP australlia as company then india and aus is called controlling area.

if the australia SAP(sales organization) can have sa1 in NSW and sa2 in Vicroria which is called Sales Area .where sa1 can act as sales office by itself which is directly related to plant(Valuation Area)

hope this is useful...

regards,

karthik

former_member585865 · ‎12-18-2007

Hi Syed,

Sales organization,division,distribution channel together known as sales area.

generally only one sales organization sits at the top.

sales office is directly related to plant and the sales group.

plant is a valuation area.

plant is directly associated with sales group and sales office.

plant will describe where the delivery goods from.

sales office is a place where the sales order takes place.

plant will come in inventory management.

Former Member · ‎12-18-2007

hi,

3.1.1.2. Sales Order Type:

A classification that distinguishes between different types of sales documents for example: Inquiry, Quotation or Standard Sales Order.

3.1.1.3. Sales Organization: