SAP ISU Training Material

SAP IS-U is SAP’s Industry Specific Solution for Utilities Industry. It is also referred to as SAP IS-U/CCS (Customer Care and Services) SAP Utilities (SAP IS-U) is a sales and information system that supports utility and waste disposal companies. It is also referred to as CR&B (Customer Relations and Billing).

ABOUT THE AUTHOR

Venkat. B was born and educated in Andhra Pradesh, India. He is a SAP Consultant, with years of IT and Managerial experience including SAP ERP design, development and implementation of Business applications, processes and re-engineering in SAP 4.6B 4.6C, 4.7, ECC5.0, ECC6.0 involving several Complete Life Cycle implementations utilizing Industry specific solution for Utilities, Sales & Distribution, Logistics and Materials Management Modules.

Participation in full life cycle implementations, production support, upgrade with experience in various Industries like High tech, Manufacturing, Utilities, Distribution, Automotive, Pharmaceutical Contributed in various phases of solution implementation which includes requirements gathering, impact assessment, solution configuring, development and testing and post go-live support.

His extensive experience and knowledge of SAP allows the sharing of fantastic time saving tips, as well as easy to understand assistance in customizing SAP Utilities.

ACKNOWLEDGMENT

A book of this proportion would not have been possible without the support of family (Mommy and Daddy), friends and colleagues. I would thus like to say thank you to my darling wife, for her support. And finally to my Lord Sri Venkateswara, thank you —- for everything.

1. INTRODUCTION TO SAP 3
2. USE OF SAP 3
3. SOLUTION FROM TRADITIONAL APPROACH 3
3.1 Multiple country implementation 4
3.2 Flexibility 4
4. ENTERPRISE-WIDE INTEGRATION 4
5. REAL-TIME INFORMATION 4
6. SAP R/3 SYSTEM 4
7. SAP APPLICATION PRODUCTS 5
7.1 FINANCIAL APPLICATIONS 5
7.1.1 Financial Accounting (FI) 5
7.1.2 Enterprise Controlling (EC) 5
7.1.3 Capital Investment Management (IM) 5
7.1.4 Controlling (CO) 5
7.1.5 Treasury (TR) 6
7.2 LOGISTICS APPLICATIONS 6
7.2.1 Material Management (MM) 6
7.2.2 Production Planning (PP) 6
7.2.3 General Logistics (LO) 6
7.2.4 Sales and Distribution (SD) 6
7.2.5 Plant Maintenance (PM) 6
7.3 HUMAN RESOURCES APPLICATIONS 6
7.3.1 Personnel Administration (PA) 6
7.3.2 Personnel Development (PD) 6
8. SAP R/3 SYSTEM ARCHITECTURE 7
8.1 Presentation Layer 7
8.2 Application Layer 7
8.3 Database Layer 7
9. THE APPLICATION SERVER 8
10. THE CENTRAL INSTANCE 8

1. Introduction to SAP

The SAP system is a collection of software that performs standard business functions for corporations. The system has become very popular because it provides a complete solution to standard business requirement such as manufacturing, accounting, financial management and human resources. It incorporates the concepts of enterprise resource planning (ERP) and business process reengineering (BPR) into an integrated solution for business applications.

SAP is a product developed and marketed by the Germen Company SAP AG. SAP is a German acronym for “Systemanalyse und Programmentwicklug” which can be translated into “System and Application Products in Data Processing”. Found in 1972 by IBM application developers.

SAP is the leading Enterprise Information and Management Package worldwide. Use of this package makes it possible to track and manage, in real-time, sales, production, finance accounting and human resources in an enterprise.

SAP is the third-largest software company in the world. Founded in 1972, The company now employs more than 22,000 people in more than 50 countries. SAP global headquarters are located in Walldorf, Germany, and the company is listed on several stock exchanges, including the Frankfurt DAX and the New York Stock Exchange, under the symbol “SAP.”

SAP America is a subsidiary of SAP AG, the recognized leader in providing collaborative, inter-enterprise software and e-business solutions. A truly global software provider, SAP AG has more than 1000 partners, 22 industry solutions and 10 million users at 30,000 installations around the world. SAP America has contributed significantly to this leadership position and it is the foremost provider of e-business and enterprise software in the United States.

2. Use of SAP

SAP software was developed to be modular, scaleable, open and flexible, allowing companies to tailor it specifically to their needs. SAP calls this approach to implementing software “configure to order” because each implementation will be different according to each customer’s needs.

But SAP solutions don’t stop there. Information integration is a major tenet of the SAP philosophy, and SAP places great emphasis on the creation of tools that facilitate it. SAP provides integration tools and methods for linking legacy and distributed systems as well as a host of third party software solutions, to get your information into the right hands, internally and externally.

3. Solution from Traditional approach

Traditional Information technology systems used by many business today have been developed to accomplish some specific task and provide reports and analysis of events that have already taken place. Examples are accounting general ledger systems. Occasionally, some systems operate in a “real-time” mode that is, have up to date information in them and can be used to actually control events. A typical company has many separate systems to manage different processes like production, sales and accounting. Each of these systems has its own databases and seldom passes information to other systems in a timely manner.

SAP takes a different approach. There is only one information system in an enterprise, SAP. All applications access common data. Real events in the business initiate transactions. Accounting is done automatically by events in sales and production. Sales can see when products can be delivered. Production schedules are driven by sales. The whole system is designed to be real-time and not historical.

SAP structure embodies what are considered the “best business practices”. A company implementing SAP adapts it operations to it to achieve its efficiencies and power.

The process of adapting procedures to the SAP model involves “Business Process Re-engineering” which is a logical analysis of the events and relationships that exist in an enterprise’s operations.

3.1 Multiple country implementation
• Comprehensive multi-currency translation
• Multiple language support
• Customized reporting and document generation for individual countries
• Multi-company support
• Local support in most major industrialized countries
• Country specific functionality

3.2 Flexibility
• Customers can customize business modules to realize best business practices
• System provides necessary interfaces to incorporate external software.
• Scalability, accommodates acquisitions and growth
• System can be configured the way you want to do business in the future
• Allows customized screens processing and reports
• System runs on multiple hardware platforms

4. Enterprise-Wide Integration
Enterprise-wide integrationis the main functionality of SAP R/3 System. No other application software offers the breadth of open systems, client/server functionality, and functional links between processes that multiply the power of each person’s work. The R/3 System’s components are fully integrated. Once you enter data, it resides in the central database shared by all R/3 components. Transaction-related process chains trigger the next activity as needed from engineering to production planning to sales and distribution. The R/3 System’s full integration pulls your enterprise together, promoting data access, flexibility, and productivity.

5. Real-Time Information
SAP provides up-to-the-minute, real-time information.

6. SAP R/3 System

During 1990s, companies of all sizes began to embrace the concept to ERP systems and to gravitate towards prewritten business applications. With the introduction of its client/server in 1992, SAP AG, which already had a sizeable lead in the ERP market, unveiled a system that was attractive to medium and small-sized companies as well as to the large companies already using SAP software. The SAP R/3 system runs on virtually any hardware/software platform and can use many different database management systems. One SAP system might be based on an IBM AS/400 running OS/400 using DB2; another might be based on a Sun Solaris (a dialect of UNIX) using Oracle RDBMS.

7. SAP Application Products

The SAP R/3 application offers end users the ability to run their entire business from a single application vendor, some SAP customers choose to run their entire enterprise form SAP, while others run SAP only for specific business processes, such as sales and distribution or finance. In SAP R/3 data can be transported or imported from any system to any system. For example SAP R/3 system to SAP R/3 or SAP R/3 to Legacy System (non SAP system).

SAP products are distributed as applications with functional modules inside each application. Applications are generally focused on particular business functions. The modules within each application perform specific business tasks such as capital Investment Management, Sales and Distribution, Personnel Administration etc…. The major applications are financial, human resources, and logistics, described briefly in the following sections.

In addition to basic business functions, SAP also offers products in the following areas (http://www.sap.com/products/ for details)

SAP Business Intelligence initiative
SAP Supply chain Management initiative
SAP Customer Relationship Management initiative
SAP Electronic Commerce
SAP Human Resources
SAP Treasury

When an SAP application is purchased with Oracle, each of the modules is delivered with a complete Oracle schema consisting of thousands of tables and indexes. Because the end user may purchase one or more components or SAP.

SAP has also branched out from traditional Online Transaction Processing (OLTP) products into data warehousing with its. Business Information Warehouse (BIW) and Supply Chain Optimization, Planning and Execution (SCOPE) products.

SAP Applications are mainly classified into three

7.1 Financial Applications
The SAP Financial Applications contain all the functionality needed for enterprise-wide financial management. The modules with in Financial Application include the following:

7.1.1 Financial Accounting (FI)
This module provides a complete financial accounting solution which includes income statements, balance sheets, journals, ledgers, and all areas of financial accounting.

7.1.2 Enterprise Controlling (EC)
Assists in controller tasks.

7.1.3 Capital Investment Management (IM)
Assists finance organizations in their capital investments and tracking.

7.1.4 Controlling (CO)
Assists the controller Organization.

7.1.5 Treasury (TR)
Assists with transactions related to the U.S. Treasury.

7.2 Logistics Applications
The SAP Logistics Applications include SAP’s most popular modules. Logistics was the first area of entry for SAP. This includes virtually every area of manufacturing, from the initial acquisition of raw materials to the delivery of finished goods. The modules in this area include the following products:

7.2.1 Material Management (MM)
This module manages raw materials, inventory, and all aspects of goods manufacturing.

7.2.2 Production Planning (PP)
Offers sophisticated tools for planning large production environments.

7.2.3 General Logistics (LO)
Manages logistics for companies that require large-scale deployment ofgoods and resources.

7.2.4 Sales and Distribution (SD)
Manages the inventory and distribution of finished goods

7.2.5 Plant Maintenance (PM)
Manages the resources required for large manufacturing pants.

7.3 Human Resources Applications
The SAP Human Resources (HR) applications are designed to provide a fully functioning HR system. They include two primary modules:

7.3.1 Personnel Administration (PA)
It assists with all areas of personnel administration, including applicant tracking and personnel history.

7.3.2 Personnel Development (PD)
It assists with training and educational status of employees.

This system handle all of the mundane HR tasks, such as personnel and payroll, and also a number of more esoteric HR functions, such as seminar and convention management.

8. SAP R/3 System Architecture

All SAP R/3applications are delivered in three-tier client/server architecture, shown in the following figure.

Presentation Layer
The PC-based GUI interface that is used by the end-user community.

Application Layer
The SAP application servers that service requests for data and manage the interface to the presentation layer.

Database Layer
The actual DBMS that communicates with the application servers to fulfill their requests for data.

A piece of “middleware” called BASIS links the applications to the database and the operating system. BASIS is most commonly associated with the GUI interface to SAP (called SAPGUI), and the BASIS Administrator is an SAP professional who is responsible for configuring the SAP environment, including the GUI screens and the SAP application servers.

SAP end users log into their PCs using SAPGUI, and are connected to a specific application server, this application server has pre-established connections with the Oracle database, and it services all requests for data. The access language for Oracle data is sap ABAP, ABAP generates Oracle SQL (Structured Query Language), which is then used to service the end user’s request for data. The communication between the application servers and the database, and between the client and the application servers, is TCP/IP.

While SAP is available for many different hardware platforms and operating systems, the majority of SAP systems use UNIX-based servers for hosting SAP and the Oracle database.

9. The Application Server

While SAP uses the generic term application server to define a computer that receives connections from SAP clients, the actual connections are managed by SAP dialog servers.

A dialog instance is a software program that is running the SAP kernel (similar to an Oracle instance), and it is the job of the dialog instance to execute the ABAP (Advanced Business Application Programming) programs and manage the requests for data and services. While there is generally a one-one mapping between an application server and a dialog instance, it is possible to have more than one dialog instance on an application server.

10. The central instance

The central instance is a concept that is unique to SAP. The central instance is a combination of hardware and software. It contains a physical server (the application server) and numerous software components, including a message server, a database gateway (a pre-established connection between SAP and Oracle-or another database), and various update, dialog, and spool facility software. In most generic SAP architectures, there are numerous application servers but only a single central instance. However, in addition to managing the SAP interfaces, the central instance can also serve as an application server.

Bear in mind that SAP is very flexible, and there are many different ways to configure and SAP architecture to meet your business needs. However, most companies that implement SAPwisely choose to alter their business practices to accommodate SAP. By avoiding customization of its SAP application, a company can more easily upgrade its SAP software.

The mySAP Business suite is generally industry-independent. However, many industry sectors require specific functions and processes. In order to meet these requirements, SAP provides Industry-specific solutions. These industry-specific solutions are, for example, partly developed in cooperation with strategic development partners. Within these industry solutions, industry-specific functions are developed and provided as a mySAP solution.

Industry specific development for utilities enables the use of SAP standard components Plant Maintenance (PM) and customer service (CS). This provides an optional environment for managing of service transactions. The integration of the standard software means that manual reconciliation of data table from system to system is not necessary. Workflows consist of a sequence of tasks that are processed by human agents or mechanical processing units. The flow of these tasks from one step to the next is administrated by the workflow functions.

11. SAP Industry Solutions Utilities

SAP ISU is a business process oriented sales and information system for all types of utilities and service offered by a utility company, waste Disposal Company and service company. The core application is consumption billing systems that valuate both measured and flat-rate consumption and services. Additional services are billed and invoiced using the standard component sales and distribution.

Since the scope of SAP functionality is very broad, it can complete transactions throughout the life cycle of data. For example, the system provides transactions to create a record of a piece of equipment track its life cycle and retire that piece of equipment from service.

In addition to the most common divisions like Electricity, Gas, Water etc., sales and distribution components like service orders, service contracts and sale of goods can also be billed.

The customer is the center of focus in the data model (SAP business partner model). Several contract accounts can be managed for each customer, these contract accounts can also contain several billable contracts.

Throughout the document, we will use typical utility business processes to illustrate IS-U functions specific to Electricity and water utilities business scenarios. These scenarios will show you step-by-step how to model your data as master data in the system and how to customize the basic functions according to the specific requirements of you company.

In our example, the service territory of a utility company is to be extended. First of all the responsible agents integrate the new service territory into the existing regional structure and plan schedule for meter reading and billing in the new territory. Before they can process the move-ins for the new customers, they must first maintain the technical and business master data for the new business partners.
An electric utility is a company in the electric power industry (often a public utility) that engages in electricity generation and distribution of electricity for sale generally in a regulated market. The electrical utility industry is a major provider of energy in most countries.
Electric utilities include investor owned, publicly owned, cooperatives, and nationalized entities. They may be engaged in all or only some aspects of the industry. Electricity markets are also considered electric utilities—these entities buy and sell electricity, acting as brokers, but usually do not own or operate generation, transmission, or distribution facilities. Utilities are regulated by local and national authorities.

Figure: Physical Pathway of Power Flow
Generation

Electricity generation is the process of generating electric power from sources of primary energy. For electric utilities in the electric power industry, it is the first stage in the delivery of electricity to end users.

Transmission

Electric power transmission is the bulk movement of electrical energy from a generating site, such as a power plant, to an electrical substation. The interconnected lines which facilitate this movement are known as a transmission network. This is distinct from the local wiring between high-voltage substations and customers, which is typically referred to as electric power distribution.

Distribution

Electric power distribution is the final stage in the delivery of electric power; it carries electricity from the transmission system to individual consumers. Distribution substations connect to the transmission system and lower the transmission voltage to medium voltage with the use of transformer. Primary distribution lines carry this medium voltage power to distribution transformers located near the customer’s premises. Distribution transformers again lower the voltage to the utilization voltage used by lighting, industrial equipment or household appliances. Often several customers are supplied from one transformer through secondary distribution lines. Commercial and residential customers are connected to the secondary distribution lines through service drops.

SAP ISU Data model

SAP R/3 system can represent a complex enterprise structure. Its flexibility can integrate the structure of an enterprise by linking its organizational unit. Enterprise structure design is a fundamental process in a SAP implementation project. The design is mainly determined by the business scenarios performed in an enterprise. Once the design is determined, it will affect many things such as how to perform a transaction and generate reports on SAP system. Although it’s possible, it requires great effort to change the enterprise structure. So, we must ensure that the enterprise structure designed in the SAP implementation project can accommodate all business scenarios and enterprise’s requirements for current and future situation.

Organization master data
 Regional structure
 Business master data
 Technical master data

Organization Master Data
Every company is structured in a certain way. In order to work with the SAP System your company structure has to be represented in the system. This is done with the help of various organizational structures.
While defining company structure in SAP we have to start with client.
Client: In commercial, organizational and technical terms, a self-contained unit in an R/3 System with separate master records and its own set of tables. A client will be represented with three digit numerical code, maintained by BASIS consultant.
Golden client: It is the main client as it consists of all standard functionalities of SAP. While creating our own client we can copy the client from golden client. If something goes wrong in own defined client, again we can copy the client from golden client.

To customize your own company structure and deferent business procedures in SAP we need authorization (User ID and Password), which will be provided by BASIS consultant.

To log on into SAP we need to enter User Id and Password along with client. As SAP is multi lingual, we can logon into SAP with deferent languages. You can see the logon screen below.

As we enter User Id and password, then click Enter, you will enter into SAP Easy Access screen, which we normally call it as End User screen, as shown below.

To customize your own company settings, you have to select IMG (Implementation Guide).

To access IMG Guide either we can select menu path or by entering Transaction Code (T-Code).

Menu Path Easy Access  Tools  Customizing  IMG  Edit Project
T-Code SPRO

After selecting Edit Project you will enter into Customizing Edit project where you need to select SAP Reference IMG (Function Key F5) then you will enter into IMG screen as shown below.

Enterprise Structure: To help you portray your company structure, different Accounting, Logistics and Human Resources organization units are provided.

DEFINITION

1. Define Company
Company: A company is an organizational unit in Accounting which represents a business organization according to the requirements of commercial law in a particular country.
You store basic data for each company in company definition. You only specify particular functions when you customize in Financial Accounting.
Menu Path IMG Enterprise Structure Definition  Financial Account  Define Company
T-Code –

Select activity and then select New Entry button to maintain your own company. For example we select XYZ Company Ltd as company.

Once you select New Entry enter max 6 digit alphanumeric code as per your convenience. For example XYZC. Enter all the information along with country, language and currency.

Then click Enter and save.

2. Define Credit Control Area
Credit control area is an organizational area responsible to maintain, monitor and control credit limits.Credit and risk management takes place in the credit control area. According to your corporate requirements, you can implement credit management that is centralized, decentralized, or somewhere in between.

For example, if your credit management is centralized, you can define one credit control area for all of your company codes. If, on the other hand, your credit policy requires decentralized credit management, you can define credit control areas for each company code or each group of company codes.

Menu Path IMG  Enterprise Structure  Definition  Financial Account Define Credit Control Area
T-Code –

Select activity and then select New Entry button to maintain your own company. For example we select XYZ Credit control Area.

Once you select New Entry enter max 4 digit alphanumeric code as per your convenience. Enter all the information, like currency, Update group and FY Variant.
In SAP standard system, 3 updates groups were provided.

Update Groups: The credit relevant data is updated into an information structure, where it is accessed and updated. Then each automatic credit control must be assigned an update group. The system allows for no update and update group 000012, 000015, and 000018. Thedifference between the three update groups is as follows:

Update groups – 000012:
Sales Order: Increase the open order value from delivery- relevant schedule line
Delivery: Reduces the open order value from delivery relevant schedule lines and increase open delivery value.
Billing document: Reduces the open delivery value and increases the open billing document values.
Financial accounting document: Reduce the open billing document value and increase open items

Update group 000015:
Sales order: Increases the open delivery value and increase the open billing documents value.
Financial accounting document: Reduces the open billing document value and increase open items

Update group 000018:
Sales orders: Increases the open delivery value
Billing document: Reduces the open delivery value and increases the open billing document value.
Financial accounting document reduce the open billing document value and increase open item
3. Edit, copy, delete, and check Company Code
Company Code: The smallest organizational unit for which a complete self-contained set of accounts can be drawn up for purposes of external reporting.
The process of external reporting involves recording all relevant transactions and generating all supporting documents for financial statements such as balance sheets and profit and loss statements.
SAP recommends the following procedure when creating company codes:
1. Create the company code using the function “Copy Company Code”.
2. Enter special company code data with the function “Edit Company Code Data”.
You can also use the function “Edit Company Code Data” to create a company code. However, in this instance, the company code “global data” is not copied. If you create a company code using the “Copy” function, most of the “global data” is also copied.
Menu Path IMG Enterprise Structure Definition  Financial Account  Edit, Copy, Delete, and Check Company Code
T-Code –

Once you select activity you will get two options

 Copy, Delete, Check Company Code
 Edit Company Code data

Then select Edit Company Code, select 1000 company (SAP standard) and select copy button

Then change company code, description, country to IN, Language EN, Currency INR. For example Company code XYZC, description XYZ Company Ltd, etc…

Once you change the entire information then click Enter, you will get a popup where you need to enter address of the company as shown below.

After entering the information click enter and save. Then go back to choose activity and select Copy, Delete, Check company code, where you will get a blank screen.
Then select button after few minutes system will propose a popup, where you need to enter from company 1000 and to company XYZC (as we are creating company XYZC) then go on clicking Yes/Enter.

4. Define Business Area

An organizational unit of financial accounting that represents a separate area of operations or responsibilities within an organization and to which value changes recorded in Financial Accounting can be allocated.You can create financial statements for business areas, and you can use these statements for various internal reporting purposes.

Menu Path IMG  Enterprise Structure  Definition  Financial Account Define Business Area
T-Code –

Select activity and then select New Entry button to maintain your own company. For example we select 5001 – Electricity Service area.

5. Maintain Consolidation business Area
An organizational unit within accounting that corresponds to a limited area of operations or responsibility, from a consolidation point of view. Companies and consolidation business areas together make up the consolidation units that are the basis for business area consolidation.
Menu Path IMG  Enterprise Structure  Definition  Financial Account Maintain Consolidation business area
T-Code –

Select activity and then select New Entry button to maintain your own company. For example we select 5001 – Electricity Service area.

6. Maintain FM area
The financial management area is an organizational unit within accounting which structures the business organization from the perspective of Cash Budget Management and Funds Management.
You define the functional characteristics of FM areas separately for both Cash Budget Management and Funds Management in the implementation guide for each of these areas.

Menu Path IMG  Enterprise Structure  Definition  Financial Account Maintain FM area
T-Code –

Select activity and then select New Entry button to maintain your own company. For example we select 5000 – US Electricity Company.

7. Define Copy, Delete, and Check Plant:

A Plant is an organizational unit for dividing an enterprise according to production, procurement, maintenance, and materials planning.

A place where materials are produced, or goods and services are provided.

Menu Path IMG Enterprise Structure Definition  Logistics-General  Edit, Copy, Delete, and Check Plant Define Plant
T-Code –

After Selecting Activity select New Entry and enter 4 digits alphanumeric code and factory calendar 01 (Factory calendar Germany standard), then click Enter and save. System will propose a popup window where you need to enter Address of the plant. After filling all the information, Click Enter, save and go back to IMG

8. Define, Copy, Delete, Check Division

An Organizational unit based on responsibility for sales or profits form saleable materials or services. Division is range of products produced or procured by the company.

Menu Path IMG Enterprise Structure Definition  Logistics-General  Edit, Copy, Delete, and Check Division  Define Division
T-Code –

After Selecting Activity select New Entry and enter 2 digits alphanumeric code and description. Click Enter, save and go back to IMG

9. Define Copy, Delete, and Check Sales Organization:
A Sales Organization is an organizational unit geographically maintained in Logistics (Sales and Distribution) which is responsible to sell the goods and services of a company.It represents the selling unit as a legal entity. It is responsible for product guarantees and other rights to recourse, for example. Regional subdividing of the market can also be carried out with the help of sales organizations. Each business transaction is processed within a sales organization.

The sales organization must be specified in all sales documents. It is therefore available for all basic functions of SD (such as pricing, availability, etc.).

Menu Path IMG Enterprise Structure Definition Sales and DistributionDefine, Copy, Delete, and Check Sales Organization
T-Code –

After Selecting Activity select Define Sales Organization and select New Entry and enter 4 digits alphanumeric code and description. Then click Enter and save. System will propose a popup window where you need to enter Address of the Sales organization. After filling all the information, Click Enter, save and go back to IMG

10. Define, Copy, Delete, Check Distribution Channel

It is a channel through which saleable materials or services reach customer, which include wholesale, retail, and direct sales. You can assign a distribution channel to one or more sales organizations.

Use: Within a sales organization a customer can be supplied through several distribution channels. In addition, the material master data relevant for sales, such as prices, minimum order quantity, minimum quantity to be delivered and delivering plant, can differ for each sales organization and distribution channel.

Menu Path IMG Enterprise Structure Definition Sales and DistributionDefine, Copy, Delete, and Check Distribution Channel Define Distribution Channel
T-Code –
After Selecting Activity select New Entry and enter 2 digits alphanumeric code and description. Click Enter, save and go back to IMG

11. Maintain Storage Location

It is an organizational unit allowing differentiation between the various stocks of a material in a plant.

Menu Path IMG Enterprise Structure Definition  Material Management Maintain Storage Location
T-Code –

After Selecting Activity System will propose a popup window where you need to select your plant, then Click Enter. Select New Entries enter 4 digits alphanumeric code and description.Save and go back to IMG.

12. Define Copy, Delete, and Check Shipping Point:
The shipping point is the part of the company responsible for the type of shipping, the necessary shipping materials and the means of transport. For example: Shipping points are a company mail depot or plant rail station.
Menu Path IMG Enterprise Structure Definition Logistics Execution Define, Copy, Delete, and Check Shipping Point
T-Code –

After Selecting Activity select Define Shipping Point and select New Entry and enter 4 digits alphanumeric code and description. Then click Enter and save. System will propose a popup window where you need to enter Address of the Shipping Point. After filling all the information, Click Enter, save and go back to IMG

13. Maintain maintenance planning plant:
In Plant Maintenance, a distinction is made between the organizational units “planning plant” and “maintenance plant”.

Maintenance plant: In a maintenance plant, you can manage technical objects and main work centers.
Planning plant: In the planning plant, maintenance task lists are defined for the respective maintenance plants are managed and scheduled, maintenance notifications are created and maintenance orders can be handled.

Technical objects and main work centers can be created in the planning plant just as in the maintenance plant.

Menu Path IMG  Enterprise Structure  Definition Plant MaintenanceMaintain maintenance planning plant
T-Code –

After Selecting Activity select Maintain maintenance planning plantand select New Entry and enter 4 digits alphanumeric code and description. After filling all the information, Click Enter, save and go back to IMG

ASSIGNMENTS

In this section you create references between theorganization units you have defined. Once you have linked the organizational units, you have built the framework for processing business transactions.

1. Assign company code to company

Menu Path IMG  Enterprise Structure Assignment  Financial Accounting  Assign Company code to Company
Relationship Many to One

Select your company code by using position button and assign your company.

2. Assign company code to credit control area

Menu Path IMG  Enterprise Structure  Assignment  Financial Accounting  Assign Company code to Credit control area
Relationship Many to One

Select your company code by using position button and assign your Credit control area.

3. Assign business area to consolidation business area

Menu Path IMG  Enterprise Structure  Assignment  Financial Accounting  Assign Business area to consolidation business area
Relationship Many to One

Select your Business area by using position button and assign your Consolidation business area.

4. Assign company code to FM area

Menu Path IMG  Enterprise Structure  Assignment  Financial Accounting  Assign Company code to FM area
Relationship Many to One

Select your company code by using position button and assign your FM area.

5. Assign Plant to company code

Menu Path IMG  Enterprise Structure Assignment  Logistics GeneralAssign Plant to company code
Relationship Many to One

Choose new entries then choose your company code and plant from drop down list. Choose Enter and save.

6. Assign Business area to Plat/Valuation Area and Division

Menu Path IMG  Enterprise Structure Assignment  Logistics GeneralAssign Business area to Plant/Valuation Area and Division
Relationship Many to One

Choose option Plant-Division from list proposed by system

Choose new entries then choose your Plant, Division and Business area from drop down list. Choose Enter and save.

7. Assign Sales Organization to company code

Menu Path IMG  Enterprise Structure  Assignment  Sales and Distribution Assign Sales organization to company code
Relationship Many to One

Find your Sales organization using find Position button , Choose your Sales Organization from the list of Sales Organization proposed by the system, click enter, save and back to IMG.

8. Assign Distribution Channel to Sales Organization

Menu Path IMG  Enterprise Structure  Assignments Sales and Distribution Assign Distribution channel to Sales Organization
Relationship Many to Many

Choose New Entries, select your Sales organization and Distribution channelsfrom the list of Distribution channelsproposed by the system, click enter, save and back to IMG.

9. Assign Division to Sales Organization

Menu Path IMG  Enterprise Structure  Assignments  Sales and Distribution Assign Divisions to Sales Organization
Relationship Many to Many

Choose New Entries and select your Sales Organization and Divisions from the list of Divisions proposed by the system, click enter, save and back to IMG.

10. Setup Sales Area

Menu Path IMG  Enterprise Structure  Assignments  Sales and Distribution Setup Sales Area

Find your Sales Organization using find (Ctrl + F), double click on Sales Organization – select your Distribution Channel from the list of Distribution Channels proposed by the system, then double click on Distribution Channel – select your Divisions from the list of Divisions proposed by the system, click enter, save and back to IMG.

11. Assign Sales Organization, Distribution Channel, Plant

Menu Path IMG  Enterprise Structure  Assignments  Sales and Distribution Assign Sales Organization – Distribution Channel – Plant

Choose New Entries and select your Sales Organization and Plant from the list of Plants proposed by the system, click enter, save and back to IMG.

12. Assign Shipping Point to Plant

Menu Path IMG  Enterprise Structure  Assignments  Logistics Execution  Assign Shipping Point to Plant
Relationship Many to Many

Find your Plant using find (Ctrl + F), double click on Plant – select your Shipping Point from the list of Shipping points proposed by the system, click enter, save and back to IMG.

13. Allocate Company code to Divisions

Menu Path IMG UtilitiesBasic Settings/Enterprise StructureAllocate Company Codes to Divisions
Relationship Many to Many

Choose New Entries and select your Company Code and Divisions from the drop-down list.

Joint Invoicing: It is a provision to invoice all the service contracts together. For example, if your utility company has more than one service contract, like contract for electricity, water and waste water, in which only two contracts got billed and waiting on the third contract to be billed, Invoice will not be performed.

SAP has provided multiple options to handle joint invoicing as mentioned below.
1. Contract must be invoiced jointly with other contracts
If you choose this option in joint invoicing, system will not allow the contract account to be invoiced until all associated contracts billed.

2. Contract can be invoiced jointly with other contracts
If you choose this option in joint invoicing, system will allow the contract account to be invoice, even one of the bill document is missing.

3. Contract must not be invoiced with other contracts
This option will allow contract account to invoice individual contract.

14. Allocate Divisions to Division Categories

Menu Path IMG UtilitiesBasic Settings/Enterprise StructureAllocate Divisions to Division Categories
Relationship Many to Many

Choose New Entries and select your Company Code and Divisions from the drop-down list.

Division Category:SAP ISU pre-defined service type with respect to divisions associated to utility industries.

To help you portray your company service address, business and technical data, different Accounting and Logistics organization units are provided.

Regional Structure: A regional structure grouping consists of elements of the regional structure (cities, streets, street sections). It enables the system to determine the regional structure group of a street and can be used for agent determination.

The regional structure is integrated in central address management. However, it can be called separately. Once the postal regional structure is maintained completely, the address of IS-U object can be allocated to the different elements of the structure (city, street, street section, P.O box). The address elements are stored centrally in the system, and appear only once in the system as a data record.

1. Define Regional Structure Groupings:

Regional structure grouping integrates elements of the regional structure. The agent determination function of SAP IS-U, for example Franchise contract, calorific values, water hardness/pressure area and temperature area.

Menu Path IMG SAP Utilities  Basic Functions  Regional Structure  Postal Regional Structure  Define Regional Structure Groupings
Transaction SPRO

After Selecting Activity select Define Regional Structure Groupings and select New Entry and enter 4 digits alphanumeric code and description. After filling all the information, Click Enter, save and go back to IMG

2. Define Regional Structure Areas for Roles:

The regional structure area can be used, for example, for meter reading order creation in order to determine maintenance planning plants.

Menu Path IMG SAP Utilities  Basic Functions  Regional Structure  Postal Regional Structure  Define Regional Structure area Define Regional Structure Areas for Roles
Transaction SPRO

After Selecting Activity select Define Regional Structure Areas for Rolesand select New Entry, choose Roles, and enter 4 digits alphanumeric code and description. After filling all the information, Click Enter, save and go back to IMG.

3. Allocate Regional Structure Groups to Regional Structure Areas:

Allocate the regional structure groups to the regional structure areas by role. This means you merge certain areas (the regional structure groups) on the basis of business criteria to form larger entities, the regional structure areas. This has a number of advantages.

For example, in plant determination you no longer have to allocate a maintenance planning plant to every regional structure group. Instead, you only have to allocate it once, to the regional structure area.

Menu Path IMG SAP Utilities  Basic Functions  Regional Structure  Postal Regional Structure  Define Regional Structure area Allocate Regional Structure Groups to Regional Structure Areas
Transaction SPRO

After Selecting Activity select Allocate Regional Structure Groups to Regional Structure Areasand select New Entry, choose Roles, and enter 4 digits alphanumeric code and description. After filling all the information, Click Enter, save and go back to IMG.

4. Create Postal code:

It is one of the elements in hierarchical structure that divides the service territory according to the following criteria.

Menu Path SAP Easy Access  SAP Utilities  Regional Structure  Postal Postal Code  Create
Transaction SR30

Choose alpha numeric values and country as per your utilities company specification. Choose any/all options like delivery postal code, PO Box and Group Manoj customer.

5. Create City:

It is one of the elements in hierarchical structure that divides the service territory for modeling cities in your system.

Menu Path SAP Easy Access  SAP Utilities  Regional Structure  Postal City Create
Transaction SR10

Choose country and language as per your utilities company specification. Fill mandatory information, press enter and save.

Note: Once city is defined, you can also assign postal codes defined in create postal code.

6. Create Street:

It is one of the elements in hierarchical structure that divides the service territory for modeling cities in your system.
Menu Path SAP Easy Access  SAP Utilities  Regional Structure  Postal Street  Create
Transaction SR20

Choose country and language as per your utilities company specification. Fill mandatory information, press enter and save.

7. Maintain Hierarchy

It is one of the elements in the hierarchical structure that divides the service territory according to political or administrative criteria.

Menu Path SAP Easy Access  SAP Utilities  Regional Structure PoliticalMaintain Hierarchy
Transaction ER30

Choose country and language as per your utilities company specification.
Choose create option and maintain the information. Choose the main element to maintain sub-hierarchy elements.

8. Maintain Elements

It is one of the elements in hierarchical structure that divides the service territory according to political or administrative criteria.

Menu Path SAP Easy Access  SAP Utilities  Regional Structure PoliticalMaintain Elements
Transaction ER30

Choose country and language as per your utilities company specification.
Choose to create option and maintain the information. Choose the main element to maintain sub-hierarchy elements.

Meter Reading Units and Portion

Portion
The portion groups utility contracts according to regional and organizational criteria for billing purposes. You usually allocate contracts to a portion indirectly by allocating that portion to a meter reading unit. You store the meter reading unit in the installation. A single contract is allocated to an installation.

The period length of the portion, which you specify in months or days, to define how often the contract is billed as well as the budget billing period. The number of billing runs refers to one year for the month portion. The day portion, however, can be larger than one year. If the day portion is larger than a year, the end is equal to the defined number of days.

1. Define Parameter Record

The parameter record controls the scheduling of budget billing. In a parameter record, you define how many budget billings are to occur between two periodic billings (the budget billing cycle). You must define all the budget billing cycles you wish to use in the portion

Menu Path IMG SAP Utilities Basic FunctionsPortioning and SchedulingDefine Parameter Records for Portions
Transaction E42B

2. Define Portion

Menu Path IMG  SAP Utilities Basic FunctionsPortioning and SchedulingDefine Portion  Create
Transaction E41B

Choose alfa numerical code and press enter. Provide description as per your business requirement and choose parameter recording created in previous step.

End Billing Period: The period-end billing date is the base date for the end of the period-end billing periods or the floating back billing periods. The date must not be earlier than the end of the meter reading period or the scheduled reading date of all allocated meter reading units.
Allocation date for Billing: This allocation date is used to allocate billing statistically. The date is used in multiple-contract billing to allocate billing orders and documents. It is also copied to the billing order
Scheduled billing date: Date on which the billing of contracts belonging to a portion is to be started. When the schedule record is generated, this date is calculated by subtracting the number of days between the end of the billing period and the scheduled billing date of the schedule master record from the end of billing period date of the schedule record.
Scheduled Invoice Print date: You can enter the date for the scheduled bill print here. This date is shown for information during evaluations in scheduling.
Period Characteristics: The interval in which the corresponding contracts are to be billed. If you enter the period length in months, the system includes the meter reading schedule in the list of meter reading units for the whole year.
Meter Reading Units
Street route defines the sequence in which the devices in a service territory are to be read. Doing this can optimize the meter reader’s route. Meter reading units group together installations according to regional criteria. Contains all the data relevant to the scheduling of the meter reading. Can only create meter reading units if a portion already exists.

MRU’s are assigned and held on the Installation. These will provide information about billing area, frequency, type of installation, etc. this will be associated to one Portion.

Define Meter Reading Unit

Menu Path IMG  SAP Utilities Basic FunctionsPortioning and SchedulingDefine Meter Reading Unit Create
Transaction E41H

Choose alfa numerical code and press enter. Provide description as per your business requirement and choose parameter recording created in previous step.