Creating a vendor master record

In the SAP system, you need a vendor master record in order to assign business transactions to an account. The vendor master record can be temporary; this is useful if you expect only one business transaction for the vendor, for example. In this case, you create a one-time vendor.

This enables you to reduce the number of vendor master records in the system. If you expect multiple business transactions for a vendor, you can set up a permanent vendor master record.

The vendor master record consists of the following parts:

• A purchasing part (created with transaction MK01): contains all
  of the data required to set up a purchase order
• An accounting part (created with transaction FK01): contains all
  of the data required to process the payment

The purchasing view is generally created by the procurement department in order to place the purchase order with a new vendor. The accounting view is usually created by the accounting department as soon as the vendor invoice with the required data is available. One of the reasons for this is segregation of duties (SoD); it is also required to satisfy audit requirements.

Now available! First Steps in the SAP Purchasing Processes (MM) – 2nd edition by Claudia Jost.

Do you know how to execute procurement processes in standard SAP without any errors? Find out how in this practical guide to the SAP Materials Management (MM) module and the purchasing process in SAP ERP. The author expertly introduces readers to the most frequently used functions in the procurement process, from setting up a purchase requisition to posting the vendor invoice. Walk through a step-by-step example with detailed SAP screenshots of the vendor master data on the purchase requisition to the purchase order. Then builds on this example to explore information on the goods receipt and invoice verification process. Identify opportunities for process optimization. Obtain a list of best practices for consistently maintaining data in SAP. Learn how to use master data, functions, and evaluations to work more productively with SAP MM. The updated second edition includes information on the approval process and credit approval procedures. By using practical examples, tips, and screenshots, the author brings readers up to speed on the fundamentals of SAP MM.

– Step-by-step instructions for creating a vendor master record and a purchase requisition
– How to convert a purchase requisition to a purchase order
– Approval process and credit approval procedure fundamentals
– Tips on how to create favorites

Start reading now! 

Author Claudia Jost has been involved in process design for 15 years. During this time, she has focused on designing processes with external business partners (concentrating on procurement processes), and mapping these processes in the SAP system. Her important core tasks have also included electronic integration via EDI and optimizing internal business processes based on SAP standard applications. With regard to the design of the Electronic Manufacturing Services (EMS) process, Claudia has been responsible for integrating the entire process, from the customer order, through production, up to delivery, in SAP.