Early Marrige
Lecture Notes in SBI401I (Major Elective 1)
1st trimester, School Year 2012-2013 (FINAL PORTION)
Logistics
SAP Logistics is an enterprise software application that helps automate supply chain operations related to logistics. Logistics refers to the process of getting a product or service to its desired location upon request. There are many tasks that are involved in this process including transportation, purchasing, warehousing, and others. If all these tasks work efficiently, the product or service gets to its desired destination on time and at the lowest possible cost.
Integration of SAP modules in Logistics
1. MM – Material Management
Purchasing Process
The SAP purchasing processes allow the purchasing department to use the best practices that are found in world-class purchasing organizations.
Purchasing Best Practices
In the procurement of materials and services, the purchasing department does more than just process orders. The modern purchasing department manages a process that ensures the items the company purchases are of the highest quality, at the lowest cost, delivered in a timely manner. The following subsections describe the best practices used in world-class purchasing department.
The following are the best purchasing practices that should be observed during purchasing processes:
a. Information Gathering
When a new product has been developed, design engineers often require materials or services to be procured that may be new to the company. The purchasing department is responsible for searching for suppliers who can satisfy the requirements. Purchasing departments start with their current vendors who offer the best discounts to ensure that the new material or service is procured at the best possible price.
b. Request for Quotation
If the material can’t be procured from contracted vendors, or the price and quality aren’t acceptable, the purchasing department advertises or sends
1st trimester, School Year 2012-2013 (FINAL PORTION)
Logistics
SAP Logistics is an enterprise software application that helps automate supply chain operations related to logistics. Logistics refers to the process of getting a product or service to its desired location upon request. There are many tasks that are involved in this process including transportation, purchasing, warehousing, and others. If all these tasks work efficiently, the product or service gets to its desired destination on time and at the lowest possible cost.
Integration of SAP modules in Logistics
1. MM – Material Management
Purchasing Process
The SAP purchasing processes allow the purchasing department to use the best practices that are found in world-class purchasing organizations.
Purchasing Best Practices
In the procurement of materials and services, the purchasing department does more than just process orders. The modern purchasing department manages a process that ensures the items the company purchases are of the highest quality, at the lowest cost, delivered in a timely manner. The following subsections describe the best practices used in world-class purchasing department.
The following are the best purchasing practices that should be observed during purchasing processes:
a. Information Gathering
When a new product has been developed, design engineers often require materials or services to be procured that may be new to the company. The purchasing department is responsible for searching for suppliers who can satisfy the requirements. Purchasing departments start with their current vendors who offer the best discounts to ensure that the new material or service is procured at the best possible price.
b. Request for Quotation
If the material can’t be procured from contracted vendors, or the price and quality aren’t acceptable, the purchasing department advertises or sends