|
Interview Questions: Explain your Organization Structure and Business Process e.g. P2P, O2C etc. By: Francis Your interview obviously was for a FICO position. If you are implementing FI and CO you need the following key organization structures: - The Company code (FI).
In addition and for the purpose of integration with other modules you will need other organization structures such as Plant (MM), sales area (sales organization, distribution channel, division-SD, purchasing organization. Concerning business processes: 1) P2P or Procure to Pay refers to the process of procuring goods or services with the following steps: - Business needs for goods or sevices are identified and the department issues a purchase requisition. -The purchase requisition is taken over by the purchasing organization which tries to identify possible suppliers of the goods or services. In this process a request for quotations RFQ is issued and forwarded to the potential suppliers. The responses received are analyzed and a supplier is selected based on price quoted, delivery date or product availability and quality. - Once a supplier is selected the Purchase Requisition is converted into Purchase order that is forwarded to the selected supplier. - Upon receipt of the goods, goods receipt GR is posted and goods are entered in the inventory. - Upon receipt of the invoice and following verification with PO and GR, Invoice receipt IR is posted and at the same time the liability to the supplier of goods is entered in FI in the form of a payable in the vendor's account. - Depending on the payment terms agreed upon, the invoice is paid and the payable is cleared ending the procurment process. 2) O2C or Order to Cash refers to the process of selling goods or services with the following steps: - Presales activities involving quoting a price to the customer. - Confirmation of an order from the customer leading to the creation of a Sales order specifying among other things items, quantities, delivery dates. - Delivey / shipping. - Goods issue (goods removed from inventory in MM). - Billing (invoice is created and sent to the customer and at the same time the billing document is transferred to FI to record the Receivable in the customer account) - The receivable in the customer account is converted to cash either by a cash payment, a check received from the customer directly or via the lockbox, a bank transfer, drafting or direct collection from the customer's bank account. The cash received clears the receivable and ends the OTC process.
SAP FICO Reference Books:
Goto SAP CO Tips:
Back to SAP FI Tips:
Return to :-
(c) www.gotothings.com All material on this site is Copyright.
|