Hello, thank you yeah Hello Can you hear me do something Hello Can you hear me Hello Hello. Can you hear me again? I didn't get you out Hello, can you hear me now? Hello, can you hear me? No no one. I'm not The new one second.

Hello. Just kidding me. No. Yeah, I didn't even hear me. Can you hear me now? Yes, yeah.

Wait a minute, I rejoin Guess we know No, yes and no. Yeah, no, it is fine. I told you and then disconnect and come back. Yeah. So I think that day we have seen the material master up to medela Master, right? Yeah, I guess I'll simply I'll simply say we'll take a small section of Warner okay.

Regularly and probably will come. We'll complete it soon. So today I'll show you the normal process of purchasing datian creation and RFU. Okay. And this way we'll move forward. Yeah, sure.

So, what is RFP RFP simply requirement document. Suppose if you're indenter and you want some material so you'll raise one RFP or indent. For creation, we used A 51 year we'll have a different type of documents like we have seen the devil you can create them different document of clear different we are document and you can assign these documents or you can assign a different number and just to the document the reason is that first if you want a separate number engine for different doctype okay like for raw material purchase liquidation you want that number should start from one zero for the packaging, it should start from zero it means it will make clarity it will make your system transparent. Secondly, if you want some some type of enhancement on let's say raw material type of purchasing tradition, okay. So you have a bifurcation so you can go for an assessment for particular type of document rather than on all labels.

Now, what are what are the things required to create a Purchase Requisition? First of all, a material master is required to create a Purchase Requisition. In a purchasing collision has indented what what will we enter, we simply enter what material I want, how much I want the quantity part and secondly when I want, so I'm simply selecting any one. Let's say I'm taking this pathetic crescendo right now here I'm searching my material saying that this material I'm going to press enter a new place and press enter here. If you can type your details directly now material master is a planned abundant master. There are two categories first is planned dependents second is planned dependent.

So, now I'm going to press enter it will ask me to enter the plant code because fertile master is a plant dependent master. So, I entered my plant, si si and permanent system puppet all detail from my material master like short description of material bases, Naser material group by our code or purchasing group, and it is also copied delivery date or calculated delivery date on basis of material, material master sector. In material master setup we have seen that in material master we can enter Line delivery time which is nothing but our lead time. Okay, so now I'm putting quantity of numbers Okay. Now, see, this is your, this screen is divided into three parts first is your header, this is your header, this is your item label screen second one. And third one is your item detail screen.

Participation can have may have more than one items. So, in our header screen if you want to pass some kind of information for your buyer, so you can type there. Then your item label then your item level scan you'll simply enter your material code your quantity then predate that's it. Now, this is your detail screen about item Okay. Now here first thing is material data it will be copied from your material master. Now here if your material is batch managed if you're using batch management in your post industry, so, you have to enter a batch number also for this material.

Then terms your quantity and dates see here see in SAP every good thing is linked to each year yeah, this batch manage see Michel will be already in batch management so it will automatically get picked up over here right? Me see there are two options in batch management. Intel batch internally batch manager externally batch when it's okay for internal baggage management will go for bag searches. Strategy okay. In case of Intel management system will generate batch numbers automatically in a series like 1234 Okay. So, in case of Intel batch managed we can configure a back surgery procedure, okay?

And that can be on basis of that procedure system can pick up automatically fine. But in case of external batch management, like in many industries, they're using external batch management. I suppose they'll create their own vectors like x y Zed 01 x y Zed zero to express it. Okay, in that case, you have to select it I think I just check on this one because I remember I vote for one. Farmer Klein. Yeah.

There they are through all your meetings when we batch manage, yeah, we don't enter anything manually. Yeah. See, that's why I said internally, internally managed or externally managed to get agree in case of farmer backs management isn't mandatory. Yeah, because the role of batch management is not only related to procurement, but in case of farmer they wanted complete traceability of their product. Okay, so, to achieve this traceability, batch management becomes mandatory for them. And they'll have their unique badge numbers.

Okay. The book is what material is still gold, so it will have a unique batch numbers. It means this coil will have multiple batches 123467 like this okay. So in case a farmer it is it is only internally generated but in case of other industry like I give example. In industry there were three product okay three finished goods on the Okay. One was there, some kind of chemical light soda that sewed up a second is 10th solar third is refined bicarbonate that is three type of soda, okay.

So, to achieve their SD perspective, to pick up the pricing procedure they need, they want to use batch management, okay. In that case, what they did they used external bashment as Management okay. And for first product they give an external batch numbers, LSA batch, second DSA bas third RBC batch, okay. So, here see the batch is extremely manage but it is only used to for pricing procedures that said that there is the role of bachelor's management is limited to as the only but you're activated once you active batch management then you can withdraw it okay. So, it is again based on the application area or how the how the company wants to use this batch which then comes your quantity and dates So here this is this is a quantity you want to order you want to purge but just then come to your ordered count count ordered quantity and open quantity see but it's a step first step a proper treatment is to raise one, but there is a condition okay after that it will be converted to purchase order.

So, that data after giving a purchase order system will update this field as a quantity ordered okay and the remaining quantity will be considered as open country. Fine now, yes, see we have a dates, first delivery date, it will simply copy from material screen. Then comes your request request date. What is request that request date is a date of creation of this pathetic position. Okay. What happened we have a suppose if you want to get a list of Purchase Requisition which was created or which were created in last six month, definitely you'll search by date okay and this date will be stored in the event table okay.

So, this is a date on which this Purchase Requisition is created. Then second comes its release date See, when we create Purchase Requisition then we need is a time period in which this Purchase Requisition should be converted to a purchase orders. Okay, so this lease date indicates a date by which says we must can convert this Purchase Requisition into pipes. Order okay because buyer will have one KPI suppose as a buyer, if I receive a Purchase Requisition, then I must convert that Purchase Requisition into po within seven days. This is my KPI. Okay, so how how will you monitor this?

Okay, for that first of all you'll have a creation date. Secondly, this lease date is considered as a guideline. Okay. So, by you using this release date, you will have a well look about the conversion of Pr Pr into po okay, but once it is converted to B, then you will have a actual date of po. Okay, so the difference between your creation date and PR creation date isn't kPa Oh, but it should be let's say it should be less than Seven days then dancer blind delivery time See if I talk about the complete delivery period or the complete lead time for a product okay so in here in this case what is done we simply entered 30 days I'm in muddle masters they will simply in 30 days as a blind delivery lead time okay. Like there is no any breakup.

Now what is this plant? What is this total lead time and what what what will be the different components for that I'll show you but the whole you got to produce in time and then During this activity the Arbitration Act will go for approval time assuming three days after that, it will go to buyer full document. So, buyer will take his own time to convert this so lectric say seven days after that this bill will be signed to vendor Okay. So now here actual supply Li m star Let's say 20 days okay. Once you received the material that you're placed, it is not like that you received the material now and you simply make the grn immediately. Okay, so second gums this year looks the same, let's say three days.

So here I have so many so many kPa for my total procurement team as well as protein that says this will be a PA for buyer This is for buyer as well as vendor performance indicator okay and this is GL processing payments for much Tolkien. So, but here I have only entered simply 30 days, okay because we cannot buy forget that time complete time into these many categories so we'll simply enter total of radiation approval in virgin lead that is that is coming 31 days it finally leads to And this lead m will vary from item to item okay. So in sa p will simply enter a total lead time in our material master and on basis of this total lead time system will calculate our delivery date but we can enter GL processing time separately here in our material master under the MRP to view we can enter DLL processing time.

Okay. You can also enter the processing time in the dictionary like I have added to this okay then cancel the illusion. See this lasing will be will be picked up from your material master accounting one view okay all incoming materials will be on violation category as as V okay while all outgoing items for all outgoing I don't see us the category s which is standard price okay now this is this is a default tick for goods recipient and invoice recipt okay good recipient means for this purchase education goods recipt is mandatory as well as inverse recipt is also mandatory okay this this boat pics will be copied to purchase orders once you create a purchase order like this, these tapes will be copied to purchase order so that your purchase order will be bound to take a recept as well as the invoices. Then next comes is also supplied if you are a source of supply suppose for this item for this particular item I want to fix up a sole source binder okay that was I have this item 934 and I want a vendor material elationship Okay.

So put that we use the word master which we call source list maintain source list okay so this what we do? We maintain a relationship between material and vendor. Okay. And the period the validity period Let's say one thing here was this, this period This is one source list, okay? During this period, material should be purchased from this vendor only. Okay.

Then we'll save it at the time of souls at the time of budget creation creation. You can have List of source list okay, you can have an automatic list of source list here okay. So, this basically this socialist evil option gives the option to the user or the actual shop floor user to select their preferred source, okay. See here I haven't made this source list as a mandatory one, but you can fix up it suppose for particular period, you want that the steel coil must be purchased from a banker only then what we can do in a purchasing view, that is optional source list. Okay. In fact, check this out.

If I take this then system will understand that source determination is mandatory for this material Okay, first thing source determination will be mandatory second thing system will allow me to purchase material from this vendor only if I tried to purchase from any other vendor, there will be simply a error message. Okay, so this goes first of all by using this source list concept we can fix up a vendor and metallic relationship stay can lead this low source list is very important if you have shading agreements in place okay because see why we use Sydney agreement shedule agreement is purely used to reduce workload of your buyer okay. After this either participation creation next step is RF creation that comparison and all that, but in if you want to avoid this then what we can do we can create a shuttle II agreement okay. So, you should remain will have your rates, your delivery conditions and your purchasing terms okay.

So, on basis of this suddenly agreement you can create or you can go for automatic purchase order creation. Okay. Now if you want if you want to go for automation anywhere then you Have to fulfill some prerequisite Okay, then only you can make your process optimize fine. So, this source list source list play a very important role in automatic generate automatic generation of purchase order. Then I'll show you this as a separate topic, which is automatic and automatic purchase order creation. At that time we'll see the will have this agreement topic as a big one.

Okay. Then, I can enter a fixed vendor or desired vendor here also Did he know that cert is given no problem then comes a status see, every transaction document will change his status as per progress okay. So in a similar way, this is processing the status option not edited to created RFU created contract created shouldn't agreement created service entity created an RFP sent to external system associate Okay, these all are a status this system change automatically as per process. Now what is the advantage of this status to me? Okay. See, by using by we can use this status in our reporting purpose.

So, both if you want to know if you want to have a list of first of all you want List of Purchase Requisition which was created in last six months okay. So, just go by RF to PR creation date after that if you want to know that how many purchase condition into converted how many Purchase Requisition you converted into purchase order. So, for that purpose you can use this status is simply read the status from table okay. So, you will have a reporting so this this is purely informative part and use for reporting in a similar way, ordered quantity if it is the voltage the status to created then here you'll have a order quantity and whether the status is active and release overall release that I'll show you during release strategy. Okay, this is good delivered to approval. Then next is consider next is your blocking ID suppose you have raised one Purchase Requisition, but you want to hold it for any reason, or you want to block syncing.

So you can use this locking ID here. Okay? If I block it, let's say I'm breaking this block by requester and I'm putting any reason then buyer won't be allowed to create purchase order against this because it is on hold. Okay, how they use how we can use it suppose as indented IRAs one here But now by I will purchase it but the information provided by me is not sufficient for procurement or that material is not available in same it's under the same specification okay, but remember buyer has to convert the spear into pure in seven days okay. So, if information is not sufficient in my particular creation and definitely a struggle to get it and this time will increase. Okay.

So in that case what he can do, he can return this fear to indenter by putting the reason, let's say vacation not direct vacation insufficient for procurement. In this way they can block procurement for this Purchase Requisition. So it is purely used for blocking and bluffing but purpose. I'm not blocking it. Then comes your contact person. Okay?

See this contact person. Here you will have to person. Okay. First of all the person who is indented, select them put in pick this, you want this much Then we have birthdays, okay, which is added by our good then concert text what comes under this text, see if you want to purchase anything any material so definitely that material will have some kind of specification. Okay, so here we'll have a specification it will get copied from here. I'm opening material master will get copied from this area, but these are the text right now I haven't entered anything in my purchase order text.

Because of that reason system is not showing me here, but other vectors will show Mike my tail Master Long text here and same thing will be copied to my purchase order okay because in my purchase order print I'll simply write what item what what items do I want and purchase order is a one external document. Okay so in Gainesville internal document system will copy every time this text from your material Master, but in case of Excel document you have to print it or you have to store it somewhere okay. So this this text will be printed in purchase order print. But if you want to add any other some kind of information apart from this text we can enter here like the diagnosis or thing directly Okay, then comes our delivery at this delivery This is simply address of your plant Okay. See here this purchase it creation is an initial document.

Suppose if you maintained a delivery address here in your purchase equation then it is not necessary that same address We'll be we'll go to winter. This after budget equation you have a purchase order so you can change in your purchase order also, delivery text. Okay, now I'm going to save it. So we'll have our petition petition which is my document for Now you have a Purchase Requisition as in hand Okay. Now, buyer role will start but buyer will do buyer will create one RFP, which is request for quotation, and he'll search potential buyers in market and they will try to collect their prices for comparison. So what I do I'm not just to push in here, this Purchase Requisition we are raising and then it's RF Q.

And if q is raised internally by the company Yeah, I'll show you gotta tell you this complete cycle Okay, which will accept the responsibility Okay, this is a complete cycle or major test that steps okay. So here I am writing a name this is where our end user or end users and buyer by will create this RFP meaning of agencies internal means my own company or external party. Okay, then comparison is again, responsibility of buyer. It isn't an anomaly Yo the nation. Again via internal thing to winter iron, but it may be manual or automatic by email and delivery follow up again, bias but here we can go for manual delivery follow up or automated then we'll tell the tip here. We'll have that says your store department internal, the invoicing and payment invoicing.

Here we have two option invoicing to store or invoicing can also be done by a fight that says again in turn, so in this way, we can say that we can exhibit responsibility of different person okay?