SAP SD Module

SAP Sales and Distribution (SD) is one of the most popularly used modules that is imparted in the SAP SD Certification program towards better data and work management in enterprises. SAP (System Application and Products) was initiated by SAP AG that originated in Germany. It has come a long way in adopting various modules for different processes in an organization. Today, SAP has been adopted by a host of companies from across the globe to enhance the process works in various departments.

SAP SD MODULE

The SAP SD module is one of the primary ERP modules developed by SAP. SAP service and distribution deals in better management of sales and customer distribution data and processes in organizations.SAP service and distribution deals with better management of sales and customer distribution data and processes in organizations. It works closely with other SAP modules towards effective process work. Other modules that SAP SD integrates are financial accounting (FI), controlling (CO), materials management (MM), and production planning (PP), and so on. SAP SD configuration requires adequate knowledge of handling SAP-developed software products. It is widely advised by experts to undertake SAP SD training in order to build a strong base on the SAP SD users.

The SAP SD module has multiple components that integrate different processes within the job area.

Components of SAP SD MODULE

• SAP-SD-MD: Master Data
• SAP-SD-BF: Basic Functions
• SAP-SD-SLS: Sales
• SAP-SD-SHP: Shipping
• SAP-SD-TBA: Transportation
• SAP-SD-FTT: Foreign Trade
• SAP-SD-BIL: Billing
• SAP-SD-CAS: Sales Support

SAP-SD-MD (Master Data): 

Master data is very important for all SAP modules. These are data records that remain in the database for a long period of time. And also has an organizational aspect as it is assigned to organizational units.

The sales and distribution master data include data of customer master data, material master data, pricing conditions record, output records, and credit management. From order to cash process, the entire flow is recorded in this module.

SAP-SD-BF: (Basic Functions):

SAP SD configuration results from an effective process across all basic functions involved in the sales and distribution area. Here, examples of basic functions can be pricing, output, etc.

The basic functions of SD

• Pricing
• Availability Check
• Credit Management
• Material Determination
• Output Determination
• Text Processing
• Tax Determination
• Account Determination

SAP-SD-SLS (Sales):

Sales allow you to execute different business transactions based on sales documents defined in the system. Deliveries and billing documents can be created and processed from the sales document.

Four groups of sales documents are differentiated

• Customer inquiries and quotations
• Sales orders
• Outline agreements, such as contracts and scheduling agreements
• Complaints, such as free-of-charge deliveries, credit and debit memo requests, and returns.

SAP-SD-SHP: (Shipping)

Shipping is defined as a very important activity in the sales process. It comes under the logistics chain and guarantees customer service and distribution of goods. It is a significant component of the Sales and Distribution module. It is used to perform outbound delivery and other shipping activities like picking and packing of the goods.

In the shipping process, there are a few key sub-processes, which include:

• Delivery processing of the goods
• Picking of items
• Packing of the goods
• Post goods issue
• Shipping communication
• Planning & monitoring of shipping
• Other functions like batch determination, serial numbers, inspection, etc.

The shipping point's key characteristics include

• It is under the client's location.
• An Outbound Delivery is processed from a single Shipping point.
• The shipping point is determined at the Item level in the order.
• The shipping point can process outbound deliveries of several plants.

SAP-SD-TBA: (Transportation)

This SAP SD Transportation component works closely with the above shipping module. A product can be either couriered or manually delivered. The mode of transportation is different for each one and is being tracked through this module.

SAP-SD-FTT: (Foreign Trade)

Data that describes the export or dispatch characteristics of a sales and distribution (SD) transaction. This component helps a department to handle the data related to foreign trade including both imported products and products exported outside. This module works best for enterprises involved with trade across nations.

SAP's Foreign Trade/Customs application (FT) is

• Cost-effective
• Easy to use
• Integrated with the total SAP system
• Automatically identify licensing requirements for importing and exporting goods based on current regulations
• Simplify reporting with automatic procedures for creating, printing, and submitting declarations
• Determine which of your products qualify for preference handling
• Provide an active interface for sending or retrieving data via internationally available EDI systems and other electronic media
• Update or change data in all relevant foreign trade documents at any time prior to the final goods issue. Even after you have posted the goods issue, you can still change the data in the invoice.

Checkout our Blog: [ SAP SD Interview Questions ] 

SAP-SD-BIL: (Billing)

Controls processing of billing documents such as invoices, credit, and debit memos as well as cancellation documents. This component is responsible for creating the invoices or credit/debit memos based on the goods deliveries.

The billing document type controls the entire billing document.

You can use billing document types to deal with the different business transactions carried out during billing processing.

The different billing document types available are listed in the following table:

For In-depth knowledge of SAP SD click on:

• Rebate Process In SAP SD
• Sales Document Processing in SAP SD
• Batch Management in SAP SD