Sales and Distribution is a core module in SAP ERP Central Component (ECC). This software solution handles all the tasks in the sales and distribution cycle. Right from raising a quotation, purchase, and billing the sale – SAP SD oversees it all. First, SAP SD generates a sales quote. Then, the customers place an order for a product or service. The goods will be picked up from a warehouse and will be sent to the customer. An invoice is prepared and the payment is received from the customer.
All these steps generate a lot of transaction data. The SAP SD module stores and processes all this data. SAP SD is designed to carry out these important functions in any company
- Customer Master and Material Master Data– It collects and maintains databases of client products, orders, shipping details, addresses, and preferences. The software handles all related data about the sales and distribution department.
- Sales– Aspects such as making sales forecasts, developing marketing strategies, and creating ads, are handled by SAP SD.
- Pricing– It maintains pricing information, price lists, product pricing, and associated data.
- Billing and Invoice– SAP SD generates invoices, bills, statements for product deliveries and orders.
- Credit Management– It manages the credit issues of the customers and settles credit limits.
- Availability Check– It keeps track of the company’s inventory of products. Moreover, it handles the placement of orders when goods run out of stock.
- Shipping and transportation– SD even takes care of order delivery processing, shipping, and transportation.
- Output Determination– It handles all the communicative documents such as printouts, emails, telexes, faxes, or EDI that is exchanged between two companies
- Batch and serial number management– This software manages and issues all product serial numbers.
- Foreign Trade– Tackles all the information related to trading. This includes imported and exported products.