Understanding the Importance of Sales Organization in SAP SD
In SAP Sales and Distribution (SD), a Sales Organization is a central organizational unit responsible for a specific sales area and the sales activities performed within that area. The Sales Organization is responsible for creating and managing customer master data, pricing and discounts, sales activities and processes, sales document creation, and delivery and billing processes.
In SAP SD, a Sales Organization can be assigned to multiple distribution channels and can be divided into multiple sales offices, each with its own sales area and specific responsibilities. The Sales Organization is a fundamental unit in SAP SD and serves as the basis for organizing and managing the entire sales process, from customer engagement to order fulfillment and invoicing.
Here are the steps to create a Sales Organization in SAP Sales and Distribution (SD):
Access the SAP transaction code “OVXD” to enter the SAP IMG (Implementation Guide).
Navigate to the path Sales and Distribution (SD) -> Basic Functions -> Sales -> Define, Copy, Delete, Check Sales Organizations.
Choose the option “Create” to create a new Sales Organization.
Enter a unique Sales Organization code, a description, and the company code it is assigned to.
Assign a distribution channel and a division to the Sales Organization. A distribution channel represents the type of sales channel (e.g. retail, wholesale, etc.) and a division represents a specific product line or service offering.
Specify the default settings for the sales area, such as the currency, the order type, and the delivery type.
Assign the Sales Organization to a sales group. A sales group is a collection of Sales Organizations that have similar sales processes and procedures.
Determine the shipping and billing conditions for the Sales Organization.
Save the changes.
Use transaction code “OVXK” to assign the Sales Organization to a sales office and sales group.
These are the basic steps to create a Sales Organization in SAP SD. Keep in mind that the specific steps and details may vary based on your SAP version and customization. It is recommended to consult with an SAP consultant or refer to SAP documentation for additional information.