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SAP SD (Sales and Distribution)

Definition or Meaning - What is SAP SD?

Full form or SAP SD stands for (Sales and Distribution), a comprehensive sales management solution impacting a broad range of verticals, is an integral part of the logistics module which supports client organizations. This SAP module takes care of the processes inked to quotations, sales orders, billing and everything in between. Tightly integrated with the PP and MM functional modules, SAP SD also helps companies manage their customer sales price, keep a track of open orders and get their hands on accurate forecasts.

Dedicated to the cause of maximizing profits and bringing about positive improvements in sales figures, this innovative programming platform for sales and distribution processes makes each department of an organization perform in a smooth and efficient manner. Along with managing the distribution chain of a company’s products, SAP SD is largely responsible for tackling other sales management activities like marketing, sales promotion, advertisements, pricing and so forth.

SAP, a popular Enterprise Resource Planning (ERP) program that is useful for automating the work of all kinds of enterprises, is typically made up of numerous modules—with the SAP Sales and Distribution module ranking high on the list of the most advanced and popularly used ones. The main areas of application of SAP SD are in the fields of day to day sales transactions, marketing of products and services, research on sales and distribution management. It is being largely used for streamlining order delivery, packing, billing, processing of orders, risk management and shipping of products too. In a nutshell, this module is used for automating and managing the activities and processes that complete the entire chain of events linked with customer orders to their payment, and beyond.

Sub Components of SAP SD (Sales and Distribution)

  • Material Master / Customer Master Data: accumulates and maintains client product data bases, preferences, customer orders, shipping details, addresses and all other data appertaining to the department of sales and distribution.
  • Availability check: keeping a track of the availability of product in the inventory, placement of back orders and so forth.
  • Sales: sales forecast, marketing, advertisements and management of the overall sales information system.
  • Billing and invoice: generation of invoices, bills, statements for orders as well as product deliveries.
  • Credit Management: setting of credit limits and management of customer specific credit issues.
  • Batch and serial number management: issue and management of product serial numbers.
  • Pricing and taxation: product pricing, evaluation and maintenance of price lists and other allied data.
  • Shipping and transportation: shipping, order delivery processing, transportation and associated personnel.

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Tutorials

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  • Incoterms and how to Configure Incoterms?Incoterms and how to Configure Incoterms?
    Incoterms is an international commercial term which defines the terms of sale and the passing of risks for import and export of merchandise. Incoterms plays an important role in global business. In ot ...

  • User Exits available for SAP SD (Sales and Distribution)
    To find out various User Exits available for SD applications go through this path:SPRO > IMG > Sales and Distribution > System Modifications > User exits. Sales related exitsCust ...

  • Movement Type Concept Movement Type Concept
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  • SD Transaction Codes (Sales and Distribution)SD Transaction Codes (Sales and Distribution)
    List of all the important transaction codes used in SAP SD are below:SPRO – Enterprise IMGVS00 – Master dataVC00 – Sales SupportVA00 – SalesVL00 – ShippingVT00 -–Tr ...

  • Define Debit note and Credit note. Define Debit note and Credit note.
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  • Define Account Assignment Group Define Account Assignment Group
    Field found in Material Master Sales Organization 2. To define the General Ledger Posting:- IMG -> Sales and Distribution -> Account Assignment/Costing -> Revenue Account Determination ...

  • Availability Check Configuration in SAP SDAvailability Check Configuration in SAP SD
    What is Availability Check and How to Configure it?When we create a sales order, there are several basic functions which are executed automatically for the dynamic order management . among these basic ...

  • Invoice Splitting Criteria in Billing DocumentInvoice Splitting Criteria in Billing Document
    From a number of deliveries or sales orders more than one billing document is created. As a rule, the system combines into one billing document all transactions for the same customer, default billing ...

  • Difference between User Exit and RoutinesDifference between User Exit and Routines
    Routines vs User Exit in SAPUser exitIn this step, you can implement the user exits listed below.You should carry out this step only if both of the followings apply: The SAP standard processes do ...

  • Delivery Split during Delivery Creation
    To understand the split reasons displayed in the log, you must know the basic approach of the system during the creation of deliveries:When you create the delivery, an interim delivery header with the ...

  • Order to Cash Cycle
    A customer orders some items from your company by creating a sales order (Tcodes: VA01, VA02, VA03, Tables: VBAK, VBAP etc). Your company decides to deliver the items ordered by the customer. This ...

  • How to Create and Process Rebate Agreement?
    Following explains how to create a rebate agreement, test it using a sales order and billing it. Then settling it partially or fully using a rebate credit memo. Please use the basic procedure and twea ...

  • SAP SD (Sales and Distribution) Certification Cost and Course Duration in India
    The course provides live training using real world scenarios. The cost of the course depends on the time duration and the institute. Some institutes offers 25 hrs duration for 25000/- to 3 lakhs for 3 ...

  • Difference between Sales Area and Sales Organization Difference between Sales Area and Sales Organization
    Sales Area vs Sales OrganizationWhen you're talking about a company, based on which thing should we take?Is it different company codes for different locations or is it based on the product group?S ...

  • Logistics Information System (LIS) in SAP
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  • SAP SD Configuration Step by Step Guide
    This tutorial explains SAP SD Configuration Step by Step Guide which includes topics such as Creating Sales Relevent Organisation Units, Assigning Organisational Units, Creating Master Data, Sales Ord ...

  • Types of Sales Documents ExistsTypes of Sales Documents Exists
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