Are you a professional interested in sales and distribution? Well, we're here to help you and guide you. The growing demand for management logistics among the companies has led SAP in developing a number of modules aimed at sales and distribution. So there is a demand for professionals seeking opportunities in this domain. We have come up with the most frequently asked interview questions in SAP SD that can help you succeed in your interview. So, without further delay, let's get into the most frequently asked interview questions.
SAP SD refers to the SAP Sales and Distribution module. This is an important component of SAP ERP. In an organization, the SAP Sales and Distribution module is used for the management of selling, billing, shipping and transportation of the products and services. SAP SD module belongs to SAP Logistics module. It will manage the customer relationships that are from raising the quotation to the sales order as well as the billing of the product or services. It is associated with other SAP modules like Material Management and Product Planning.
SAP SD organization structure mainly involves two steps:
Following are the modules included in SAP Sales and Distribution:
Distribution channel: It is the medium using which the products and services will be distributed to the end-users by the organizations.
Sales Area: It is an entity in an organization that is necessary for the processing of an order in a company. It includes Sales organization, division and distribution channel.
Division: It indicates a product or service line of the organization.
In the SAP SD organizational structure, every sales organization is allocated to the company code. Division and distribution channels are allocated to the Sales organization, and all these form a sales area.
Partner functions enable us to identify what functions are to be done by the partner in the business process. Let us consider a case in which a partner customer performs all the custom functions. These functions are compulsory functions, so in the SD system, they have to be defined as the obligatory functions.
There are two kinds of methods in the delivery schedule. They are
Forward scheduling: Here, we can calculate the earliest possible date according to the availability date of the material.
Backward scheduling: This is related to the delivery date requested.
Sales support is an important component in the SAP Sales and Distribution module. It is also referred to as Computer-Aided Selling. This module enables the organization in creating new sales, track existing sales and performance and finally assist in enhancing the sales and marketing in an organization. The sales support module in SAP SD gives an option to create an email list of customers and send emails to the new leads directly. Sales support also stores the data related to the customer's sales and distribution, products, competitors, material, etc.
Following are the Sales Document types in SAP:
Customer account groups that can be created in SAP SD are:
Material management is an important module of SAP ERP that is associated with the other modules of the SAP R/3. Its main functions are to record and track daily business operations as well as the requirements of the inventory. All these modules of SAP are interconnected with one another. Price details and availability checks of a product are taken from the material management module. For sales orders, creating inbound and outbound delivery of goods, loading point, shipping details and so on are included in material management.
The wholesale side of the organization is the main area to be concerned for the sales order. Its main functions are:
Sales activities in the SAP Sales and Distribution module are divided into pre-sales and post-sales activities.
Pre-sales activities: The activities that take place before selling the product to the customers are called Pre-sales activities. Examples for Pre-sales activities are inquiry, quotation, etc.
Post-sales activities: The activities that take place after selling the product to the customers are called Post-sales activities. Examples of Post-sales activities are support, relationship management.
In the SAP Sales and Distribution module, Copy controls are responsible for copying the data from the source document to the target document. It includes the program known as routing, which determines the way the data is transferred by the system. The end-users who don't want to repeat the control parameters from order, billing and delivery, can use Copy controls.
Copy controls can be performed by:
Some of the features that can be controlled by sales document type are:
The purpose of the posting period in SAP is to ensure that the business sales Order posting period is matched to the financial posting date where financial accounting is prepared for closure and payment. S_alr_87003642 is the transactional code for opening and closing posting periods.
The Proforma invoice serves as a reference document for importing and exporting negotiations. The standard proforma invoice document types are
F5 - regarding the order
F8 - regarding the delivery.
Generally, based on the Credit memo request, an SAP credit memo is created. It may be created when you need to pay the client. The return order is related to receiving the returned goods from the clients. Return orders are created by the sales department. According to the return delivery, the document will be created.
Invoice correction is a type of sales document. This is a documented process that introduces a new approach to dealing with complaints and issuing debit and credit memos. It enables the users to modify the quantity and price for any faulty items that are present on the invoice. The request for every invoice is made by the invoice. In every invoice correction request, there are two items. Quality and value is the first thing that is copied from the invoices. A debit item is another thing that gives the correct quality and value.
Various transactions in the SAP system indicate various sales document types. The business transactions are categorized into sales documents in different categories, which include the following:
Sales activities in the SAP Sales and Distribution module are divided into pre-sales and post-sales activities. It includes the activities when you sell material instead of making your sales preparation with the customer. Example: Sales letter, sales calls, post-sales activities such as support and relationship, etc.
Sales documents are regarded as sales when we sell the materials to the clients and are created within the SAP system to handle the sales process. Examples: quotations, sales orders, etc.
Pricing in SAP Sales and distribution is used to determine the cost for external suppliers or clients. The condition is defined as a set of requirements while calculating the price.
Structure of Sales order:
A customer inquiry may involve one or more items which include the service or material quality included in the order. Sales order quality is divided into the business lines, and it is made up of different subsets and delivery dates. The items in the sales order are clubbed in a hierarchy and enable to distinguish between the batches or for using the combinations of materials. Valid conditions of the items will be specified in the item condition. These conditions can be derived through a full condition for an item and may be valid for the complete sales order.
An item can be split into several billing plan deadlines, and every billing plan indicates the time while a fixed amount of items should be billed.
Creating a sales order - VA01 (t-code)
Editing a sales order - VA02 (t-code)
Displaying a Sales order - VA03 (t-code)
An inquiry is an investigation, and it is not a legal document. It is used to record the delivery or service information of the clients. The information that is collected by an inquiry is connected with the materials and quality of goods.
Menu path > logistics > Sales and Distribution > sales > inquiry > create
VA11 - T-code
A quotation is a legal document to the clients about the delivery of products and services. Usually, this is given after the inquiry from the client.
In SAP R/3 Menu,
Logistics > Sales and Distribution > Sales > Quotation > create
VA21 - t-code
Related Article: SAP SD Modules
Inquiry: (Only for information purposes)
The factors that must be considered when we define various item categories are:
A long-term purchase agreement signed with a provider is referred to as an online agreement. The terms and conditions are set out in the agreement indicating what materials are provided by the vendors. SAP SD includes two types of outline agreements. They are
Coming up with a new product is always a great strategy to enhance the sales performance of an organization. The recommended products can be cheaper, costly or the same as the products that are demanded by the customer. Automatic Product Proposal is a powerful tool that is used by the system to market the products online. They have the ability to respond to their market needs. SAP CRM module is really useful because it comprises data for making such proposals.
Enterprise structure is the structure of the business in real life. Various organizational units are defined by the requirements like company code location, client, distribution channel, etc.
Cash sale: In a cash sale, order delivery and billing will be performed on the same day.
Rush order: In a rush order, order delivery will be performed on the same day and billing will be performed later.
All the above are some of the most frequently asked SAP Sales and Distribution interview questions. Learning these questions will help you to know the type of questions asked in the interview. So, We wish you to Prepare well and hope you will succeed in your interview.
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