Académique Documents
Professionnel Documents
Culture Documents
Implementation
Approach
3. End-to-End Processes
3. End-to-End Processes
Overview of
the Solution Set
Implementation
Approach
3. End-to-End Processes
Overview of
the Solution Set
Implementation
Approach
Process 2
(eg. Send
Call-off)
=
Input for another process
Process 3
(eg. Enter Goods
Receipt)
Process 4
(eg. Perform
Payment of
Vendor Invoice)
3. End-to-End Processes
Overview of
the Solution Set
Implementation
Approach
Purchasing of S&IM
Subcontracting
Vendor Managed Inventory (VMI)
P-Card Management
Vendor Life Cycle
Overview of
the Solution Set
Purchasing S&IM
Detailed Route map
& Best Practices
O
C
O
U
T
P
U
T
S
Introduction
Definition
Benefits
Triggers
Business Rules
Assumptions
Key Decisions
Change Impacts
High Level Process Flow
Key Roles
Process Variants
Links to other End-to-End
Understand Business Benefits
Understand Business Rules
Understand Key Decisions
Implementation
Approach
Table of Contents
1.
Introduction
2.
Definition
3.
Benefits
4.
Triggers
5.
Business Rules
6.
Assumptions
7.
Key Decisions
8.
Change Impacts
9.
10.
Key Roles
11.
Process Variants
12.
Purchasing S&IM
1. Introduction
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
2. Definition
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
3. Benefits
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
4. Triggers
Overview of
the Solution Set
Implementation
Approach
Supply replenishment
Breakage replacement
Transportation of goods
Maintenance
New Capex
Marketing and sales campaign
Training need
Outsourced service
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
Relevant KPIs
- Purchasing Organization scorecard
- Vendor scorecard
Heritage Systems
There are no interfaces to legacy systems in this
End-to-End process.
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
Custom Developments
There is a custom development in Enterprise
Buyer Professional (EBP) to permit use of PCards.
Separation of Duties
This End-to-End process is designed to ensure clear separation of
duties via different roles e.g. order raiser, order approver, goods
receiver, accounts payable clerk.
Purchasing S&IM
6. Assumptions 1/2
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
6. Assumptions 2/2
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
7. Key decisions
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
8. Change impacts 1/2
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
2. Agree on
Spend
Category
3. Collect &
Analyze History
Purchase Data
4. Collect &
Analyze Future
Operational
Requirements
8. Develop
Procurement
Strategy
7. Consolidate
Spend &
Market Analysis
Data
6. Conduct
Supply Market
Research
5. Create Total
Cost of
Ownership
Model
9.
Communicate &
Manage
Procurement
Policy
10. Process
Request for
Information
11. Process
Request for
Proposal
12. Process
Request for
Quotation
13. Negotiate
with Selected
Vendor
14. Maintain
Schedule
Agreements
15. Maintain
Contracts
1. Rationalize
Materials
Procure
to
Pay
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
4. Create
Requisition
1. Create
Contract
Procure
5. Requisition
released
to
Pay
Vendor
Materials
Handling /
Finance &
Control
2.Contract
authorised
through
workflow
3.Contract
transmitted to
Vendor
6. Requisition
assigned onto a
PO
7.PO
authorised
through
workflow
11. Invoice
queries directed
through invoice
workflow
8. PO
transmitted to
Vendor
9. Post Goods
Receipt
10. Invoice
received and
posted
Purchasing S&IM
Overview of
the Solution Set
P2P
Strategic Buyer
P2P
Operational Buyer
Implementation
Approach
P2P
Purchase Requester
P2P
Purchase Approver
MH
Stock Goods Issue
& Receipts
F&C
Accounts
Payable Clerk
Purchasing S&IM
11. Process variants
Overview of
the Solution Set
Implementation
Approach
MRO Items
Procurement spare parts and services (stocked and nonstocked)
Temporary Labor
Procurement of services (fixed price, estimated quantity)
Media
Procurement of services (variable price, variable quantity)
Telephone
Procurement of telephone services (variable price, variable
quantity)
Capex
Procurement of assets
Promotional Items
Procurement of expensed items
Purchasing S&IM
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Subcontracting
Detailed Route map
& Best Practices
P
R
O
C
E
S
S
Introduction
Definition
Business Obj. & Benefits
Triggers
Assumptions
Key Decisions
Change Impacts
High Level Process Flow
Key Roles
Process Variants
KPIs
Links to other End-to-End
Understand business
O
objectives
U
T Understand business
benefits
P
Understand Key
U
decision
T
S
Implementation
Approach
Table of Contents
1.
Introduction
2.
Definition
3.
4.
Triggers
5.
Assumptions
6.
Key Decisions
7.
Change Impacts
8.
9.
Key Roles
10.
Process Variants
11.
KPIs
12.
Subcontracting
1. Introduction
Overview of
the Solution Set
Implementation
Approach
Subcontracting
2. Definition 1/2
Overview of
the Solution Set
Implementation
Approach
Subcontracting
2. Definition 2/2
Overview of
the Solution Set
Implementation
Approach
Subcontracting includes
Co-manufacturing: i.e. the production of a base product
by a vendor, which may also complete the process of
packing the finished product.
Co-packing: i.e. the packing of a semi-finished product
by a vendor or re-packing of an existing product into a
different packaging format.
Subcontracting
Overview of
the Solution Set
Implementation
Approach
Subcontracting
4. Triggers
Overview of
the Solution Set
Implementation
Approach
Subcontracting
5. Assumptions
Overview of
the Solution Set
Implementation
Approach
Subcontracting
6. Key Decisions
Overview of
the Solution Set
Implementation
Approach
Subcontracting
7. Change impacts
Overview of
the Solution Set
Implementation
Approach
Subcontracting
Procure
to
Pay
Materials
Handling /
Quality
Management
Implementation
Approach
1. Calculate
Requirements
for Subcontracted
finished product
2. Run MRP
on Components /
Explode BOMs
3. Purchase Requisitions
for Subcontracting
product
4. Convert Purchase
Requisition to
Subcontract PO
5. Release
Subcontract
Purchase Order
6. Purchase
Requisitions
for components
7. Convert Purchase
Requisition to
PO / STO
8. Release Purchase
Order / Stock
Transport Order
QM Audit of
Subcontractor &
Approval by all parties
Supply Strategy
Demand
and
Supply Planning
Overview of
the Solution Set
1111. Receipt of
components
in Subcontractor
premises
12. Receipt of
12
Subcontracting Goods
Consumption of
Components
14. Invoice
handling
9. Create
Outbound delivery
13. Quality
Inspection
Subcontracting
Overview of
the Solution Set
9. Key Roles
Implementation
Approach
Strategic Sourcing
Cross Functional
Teams
DSP
Demand Planner
MRP Planner
Technical &
Production
P2P
Strategic Buyer
P2P
Operational Buyer
QM
QM Material Batch
Maintenance
MH
Stock Goods Issue
& Receipts
Finance &
Control
F&C
Accounts
Payable Clerk
CS
Order Processing
Clerk
To DC
or
Customer Sales
Subcontracting
Overview of
the Solution Set
Implementation
Approach
Subcontracting
11. KPIs
Overview of
the Solution Set
Implementation
Approach
Quality scores
When a usage decision is taken for an inspection lot
created for goods receipt, the quality score must also be
determined for the lot. A quality score is a statistical value
that describes the quality of an inspection lot.
Vendor confidence
Based on the Vendor's track record, a confidence level is
assigned to the Vendor. The three confidence levels used
are: high, medium and low.
Service
Manual scores can be added to reflect the Vendor's
performance. These are also aggregated by plant within a
BW report.
Subcontracting
Overview of
the Solution Set
Implementation
Approach
Planning to Produce
Collaborative Replenishment Planning
Order to Cash
Concept to Consumption
Business Planning
Costing Integration Scenario
Overview of
the Solution Set
O
U
T
P
U
T
S
Introduction
Definition
Benefits
Business Requirements & Constraints
Business Rules
Assumptions
Key Decisions
Change Impacts
High Level Process Flow
Marketplace Messages
MP Message Rules
Key Roles
Process Variant
Understand Business Benefits
Understand Business Rules
Understand Key Decisions
Implementation
Approach
Table of Contents
1.
Introduction
2.
Definition
3.
Benefits
4.
5.
Business Rules
6.
Assumptions
7.
Key Decisions
8.
Change Impacts
9.
MP Message Rules
Overview of
the Solution Set
Implementation
Approach
Vendor
Nestl
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Scalability:
Not all messages/transactions need to be implemented
from the beginning of the VMI relationship.
Overview of
the Solution Set
Implementation
Approach
VMI Agreement:
is a document created for VMI operating rules.
This will be referenced in the SAP generated
contract.
Contract:
is a system generated contract which covers price, contract
validity, volume, specification number and terms & conditions.
Overview of
the Solution Set
Implementation
Approach
Purchase Orders :
Every purchase order generated by a vendor is linked to an
existing contract.
In order to create a purchase order, the Vendor is only allowed
to specify the quantity and delivery date for each purchase
order item. All other information are defaulted from the contract.
Overview of
the Solution Set
Implementation
Approach
Invoices:
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Decision Making
VMI purchasing is a strategic decision based on
strategic/operational needs of a Nestl market to perform an
enhanced relationship scope which goes beyond the basic
service level expectations with a vendor.
Workload Shifts
The Vendor monitors the stock levels and initiates stock
replenishment when necessary.
The Vendor may have authority to perform the following:
Create purchase orders.
Review purchase documents, i.e. POs and contracts (SWP only).
Monitor and check stock levels and planning schedules.
Create Advance Shipping Notifications (ASN) and final delivery
documents (MP only).
Generate invoices.
Overview of
the Solution Set
Implementation
Approach
Communication
Structure of communication and feedback to and from vendors is
defined in the VMI agreement.
Vendor's compliance to the VMI agreement is monitored closely
and regular feedback on performance data is given to vendors so
that action plans can be developed.
Overview of
the Solution Set
Implementation
Approach
1. Calculate
Time Phased
Material
Requirements
2. Maintain
Contracts
13 Exchange
Self-billing Data
(MP)
15. Accounts
Payable
12. Goods
Receipt
Confirmation
(MP)
14. Generate
Invoice
11. Quality
Inspection
5. Exchange
Planning
Schedule
Vendor
4. Exchange
Stock Level
7. Generate
Purchase Order
8. Generate
ASN Document
(MP)
Materials
Handling /
Quality
Management
3. Periodic
Stock Analysis
9. Goods Arrive
Overview of
the Solution Set
Implementation
Approach
Agreement
Planning Schedule*
* Synchronized messages
Vendor
Vendor
Inventory Levels*
Sales Order / Purchase Order /
Purchase Order Change
Nestl
Remittance Advice
Marketplace
Vendor
Vendor
Vendor
Vendor
Vendor
Vendor
Vendor
Vendor
Vendor
Vendor
Overview of
the Solution Set
Implementation
Approach
P2P
Strategic Buyer
Overview of
the Solution Set
Implementation
Approach
P2P
Operational Buyer
P2P
Vendor/VMI Vendor
(SWP only)
MH
Materials Handling
Display
MH
Stock Goods Issue
& Receipts
QM
QM Material Batch
Maintenance
F&C
Accounts
Payable Clerk
Overview of
the Solution Set
Implementation
Approach
Consignment stock :
The major difference with Consignment Stock is that
the ownership of the stock passes to Nestl only at the
point of consumption and not on receipt into the
warehouse.
Self-billing Invoices must be used with Consignment
Stock.
Overview of
the Solution Set
P-Card Management
Detailed Route map
& Best Practices
Introduction
Definition
Business Objectives
Benefits
Assumptions
Key Decisions
Change Impacts
High Level Process Flow
Working Process
Key Roles
Process Variants
Links to other End-to-End
Understand business
objectives
Understand business
benefits
Understand Key
decisions
P
R
O
C
E
S
S
O
U
T
P
U
T
S
Implementation
Approach
Table of Contents
1.
Introduction
2.
Definition
3.
Business Objectives
4.
Benefits
5.
Assumptions
6.
Key Decisions
7.
Change Impacts
8.
9.
Working Process
10.
Key Roles
11.
Process Variants
12.
P-Card management
1. Introduction
Overview of
the Solution Set
Implementation
Approach
P-Card management
2. Definition
Overview of
the Solution Set
Implementation
Approach
P-Card management
3. Business Objectives
Overview of
the Solution Set
Implementation
Approach
P-Card management
4. Benefits 1/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
4. Benefits 2/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
5. Assumptions 1/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
5. Assumptions 2/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
6. Key decisions
Overview of
the Solution Set
Implementation
Approach
6.1.
6.2.
6.3.
6.4.
6.5.
6.6.
6.7.
6.8.
P-Card Providers
Use of P-Cards
CPC Vendors
P-Card Holders
P-Card Limits
Service & Goods Receipt
Statement Reconciliation
Tax Reporting and Documentation
P-Card management
7. Change impacts 1/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
7. Change impacts 2/2
Overview of
the Solution Set
Implementation
Approach
P-Card management
Overview of
the Solution Set
No
3. Manage
P-Card
Revisions /
Renewal
6. Order Goods
& Services with
P-Card
AMEX
AMEX
Transaction
Transaction
Approval
Approval
No
4. Manage
P-Card
Transfers &
Terminations
8. Handle
Returns,
Credits &
Disputed Items
7. Receive
Goods &
Services
OK
OK
9. Reconcile
P-Card
Statements
Yes
5. Monitor
P-Card Usage
14. Transfer
Payment File
Yes
Yes
2. Manage
P-Card Holder
Enrolment
Finance
& Control
End
1. Manage
P-Card Vendor
Enrolment
Procure
To Pay
Implementation
Approach
13. Execute
Payment Run &
Create
Payment File
No
Reconciled
Reconciled
11. Create
Payment
Proposal
10.Register 3rd
Party/Intercompany
Commitments
12. Approve
Payment
Proposal
Yes
P-Card management
9. Working Process
Overview of
the Solution Set
Implementation
Approach
P-Card management
10. Key Roles
P2P
P-Card Administrator
Implementation
Approach
P2P
P-Card Approver
F&C
Controller
HR
HR Administrator
F&C
Treasury Back
Office
P2P
P-Card Holder
F&C
Accounts Payable
Supervisor
P2P
P-Card
Reconciliation
Administrator
F&C
Accounts Payable
Clerk
P2P
Strategic Buyer
P2P
Purchasing
Manager
Overview of
the Solution Set
P-Card management
11. Process Variants
Overview of
the Solution Set
Implementation
Approach
2.
3. Misused Card
4. Offline Procurement
Card Type P (Product Card)
Card Type B (Buyer Card)
P-Card management
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
C
E
O
U
T
P
U
T
S
Introduction
Definition
Benefits
Triggers
Business Requirements &
Constraints
Business Rules
Assumptions
Key Decisions
Change Impacts
High Level Process Flow
Key Roles
Understand Business Benefits
Understand Business Rules
Understand Key Decisions
Implementation
Approach
Table of Contents
1.
Introduction
2.
Definition
3.
Benefits
4.
Triggers
5.
6.
Business Rules
7.
Assumptions
8.
Key Decisions
9.
Change Impacts
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
introduced
changed
blocked
unblocked
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Scalability:
This process covers the Vendor life cycle, either locally or
globally, managed by Procurement.
Sharing the information through other tools (e-mail, fax,
intranet) will enhance the process, because it will reduce
the workload of other organizations.
Usability:
The speed at which requests may arise and approval
decisions are taken in local or global organizations, is a
key element of this process.
Every role and stream involved in the process must be
efficient and effective.
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Overview of
the Solution Set
Implementation
Approach
Procure
to
Pay
2. Business
Authorization Create
Vendor
Finance
and
Control
Local
Data
Organization
Implementation
Approach
3. Completeness
Correctness and
Uniqueness Check
exists
Yes
7. Complete
Purchasing
Accounting Views
9. Complete Bank
Details Views
End
No
4. Create Vendor in
Master Data
Repository (MDR)
MDR
6. Start Local
Workflow
8. Complete
Accounting Views
already?
Globe
Center
Overview of
the Solution Set
5. Replicate MDR to
Secondary Data
Repository (SDR) and
local SAP system
SDR
Overview of
the Solution Set
Implementation
Approach
Procure
to
Pay
Finance
and
Control
Local
Data
Organization
Globe
Center
2. Completeness Correctness
and Uniqueness Check
2. Completeness Correctness
and Uniqueness Check
3. Change Vendor in
Secondary Data Repository
(SDR)
INFORM MARKET
USERS
4. Replicate Changes in
Local SAP System
5. Replicate MDR to
Secondary Data Repository
(SDR) and local SAP system
Overview of
the Solution Set
Initiator
Implementation
Approach
P2P
Vendor Master
Business Authorizer
P2P
Master Data Entry
Purchasing
LDO
Vendor Master Local
Data Approver
F&C
Master Data Entry
Banking
GC
Vendor Master MDR
Data Approver
F&C
Master Data Entry
Accounting