Complete Guide to the Order Book in SAP-MM

Introduction to the Order Book in SAP-MM

He Order-book It is a fundamental tool within the module SAP-MM (Materials Management), which allows for efficient purchasing management. Its main function is to ensure that product or service purchases are made through specific suppliers within a specific period.

Proper administration of the Order Book allows companies to:

• Optimize purchasing processes.
• Secure agreements with specific suppliers.
• Improve planning and cost control.
• Ensure adequate supply of materials.

This configuration is carried out on a per-location basis within the company, called Center, which facilitates a better distribution of resources.

Purchasing is essential to the success of any business. Effective management can make a significant difference in how a company responds to market demands and manages its costs. The order book provides companies with greater flexibility and control over their purchasing processes.

Access and Configuration of the Order Book in SAP

To manage the Order Book in SAP, the following transactions are used:

• ME01: Create or update Order Book records.
• ME03: View existing records.

We will have to indicate the material and the center where we want to intervene:

Once the data has been entered, the system displays the main screen with the available configuration options:

Key parameters of the Order Book:

In the Order Book configuration, it is important to define the following fields:

Registration Validity Dates

• Valid from: Date the registration becomes effective.
• Valid until: Registration end date.

Supplier and Purchasing Information

• Supplier account number: Unique supplier identifier.
• Purchasing organization: Defines the purchasing structure within the company.
• Supply center: Location from which the material will be managed.
• Order unit of measure: Defines the minimum or standard quantity in which the material is requested.
• Contract number: It refers to a pre-existing framework contract.

Sources of Supply

• Fixed source of supply: Defines the preferred supplier within the validity period.
• Supply source blocked: If active, blocks the purchase of materials from this source.

If a source of supply is blocked, the system will not allow it to be used in purchase requisitions or purchase orders.

Using the Order Book in Material Requirements Planning (MRP)

He Order-book is essential for the materials requirements planning (MRP), since it allows you to define the source of supply that will be used in the planning process.

This ensures that materials are acquired in a structured manner and according to previously defined conditions, avoiding unplanned purchases or purchases outside of established agreements with suppliers.

Customizing the Order Book according to the purchasing organization

In large companies, purchasing management can be divided into different departments, each with its own order book and specific suppliers.

For example:

• A raw materials purchasing department will work with global suppliers specializing in the specific raw material.
• A internal supplies department will manage the acquisition of materials such as paper, folios or office supplies.

To control access to these Order Books, SAP allows you to establish permissions and credentials which ensure that each area can only manage the records corresponding to its purchasing area.

To control this tool, SAP has a details tab:

Audit and monitoring of modifications

Every modification to an Order Book is recorded in a log. This provides an audit trail of the changes.

He audit log sample:

• The date on which the modification was made.
• The user responsible for the change.
• The old and new values of the modified data.

For check the changes made In an Order Book, proceed as follows:

On the initial screen, specify the selection criteria for the changes. You can enter:

• Material number and center key (required).
  • Username of the responsible person whose modifications you want to view (optional).
  • Date from which the modifications should be displayed (optional).

Validation of the Order Book in the Material Master

In it Materials Master, within the tab of shopping, it is possible to check if a material is subject to an Order Book:

If the material and plant are not correctly configured in the Order Book, the system will not allow the creation of firm orders, ensuring that purchases are only made under the defined parameters.

In summary, the Order Book in SAP-MM It is a key tool for purchasing management in companies, as it facilitates procurement planning and control. Proper configuration allows for:

• Optimize procurement processes.
• Define specific suppliers for each material.
• Integrate material requirements planning (MRP).
• Conduct audits and follow-up of modifications.

Implementing proper order book management in SAP ensures greater efficiency in purchasing management and contributes to better organization within the company.

Become an expert in SAP-MM in EIP International Business School. Find out everything on our blog and get trained in SAP with our cOfficial Sap S/4Hana Finance certificate.