1. Define / information about organisation structure!!

At the first time client or a company we have to implement SAP then we need to create firstly organization / Enterprise Structure.
Organization structure provides you with a model for the structural and personal environment in your organization. Any
successful ERP system must allow the business process to be efficiently mapped into it. SAP facilities this mapping by standard
organizational elements like client, company, company code, plant, fiscal year variant, etc. All these organizational elements
with their own significant roles are configured and integrated to present the actual business process.
It defines the location of manufacturing plants and storage location within the plant. At the top of the structure you
have the company and company code, and each company code contains different plant and each plant we have to maintain
multiple storage location.

CLIENT

COMPANY

COMPANY CODE

PLANT

STORAGE LOCATION

SL
NO Description T-Code
Definition
01 Define company OX15
02 Define company code OX02
03 Define plant OX10
04 Define storage location OX09
05 Define purchasing organization OX08
06 Define purchasing groups OME4
Assignments
07 Assign company code to company OX16
08 Assign plant to company code OX18

09 Assign purchasing organization to company code OX01

10 Assign purchasing organization to plant. OX17
11 Define person responsible OPS6
12 Define business area. OX03
13 Maintain company code to global data OBY6
14 Assign controlling area to company code. OKKP
15 Define cost center. KS01
16 Define cost center group KSH1
17 Define profit center. KE51
Define Company – (OX15)

Company is the smallest unit of business organization for which financial statement like balance sheet and profit and loss account reports
can be generated. It is not necessary / mandatory to define company in a sap system. Company is also called as groups of company codes.

For example Tata Group is a company, but TATA Steel, TATA Motors, TATA Auto are the company codes under TATA Group Company.

Run T-code OX15 or you can go through SPRO Enterprise StructureDefinitionFinancial Accounting  Define Company.

Enter the below information.

Company Key: Enter company key up to 6 digit.

Company Name: Enter the name of the company.

Company Name2: Optional

Street:

Postal Code:

City:

Country:

Language Key:

Currency:

Then save it.

Define Company Code: (OX02)

Company code is the most important business organizational unit which is required to be registered under the companies’ act 1956. It is
mandatory to define company code in a SAP by implementing the SAP FI module.

At company code level balance sheet and profit and loss account can be generated for external reporting. Execute the t-code OX02 and
define your own company code.

Click on New Entry and update the information.

Company Code: - Enter the Company code key up to 4 digit.

Company Name: Enter Name of Company

Country:

Currency:

Language:

Street Address:

Postal code:

Telephone:

Email ID:

Time Zone:

Region

Save it.
Define Plant (OX10)

Plant in Sap is a physical location of company where the finished goods are stored for easy distributing the goods to the customer. Plant is a
manufacturing location where all the production of a material and products takes place. It is also the place where these products temporally
stored in the warehouse before they are exported to the customer.

Depending upon the usage, you can define three types of plants

1. Production Plant
Production facilities are available.
2. Inventory Plant
Stock of Materials are Managed.
3. Maintenance Plant.
Where the maintenance of goods takes place.

Note: Under one company code we can create and assign multiple plants.

If PP module is not implemented in sap then company code can be used as valuation area otherwise plant should be defined as valuation
area.

Path:  SPROEnterprise Structure Definition Logistics GeneralDefine copy delete check Plant.

Click on the new entries and maintain the plant key, Plant Name, country code, city code and assign factory calendar here and then save the
plant.

Define Storage Location: - (OX09)

Storage location are the places where stock is physically kept within a plant. It describes the exact place in the warehouse where goods are
located or can be stored. SAP inventory management is done at storage location level, storage location is assigned to a plant when the
organization structure is defined. We can create multiple storage location at one plant. Storage location key define up to 4 digit and this key
is unique for the plant.

Before defining the storage location, first we need to select the plant which the storage location is associated. This is mandatory because
storage location are assigned to plant.

PathSPROEnterprise structure DefinitionMaterial ManagementMaintain Storage Location double click on it.

Maintain the details of storage location and save it.

Note: By using MMSC –T-code we can extend the material to different storage location within the same plant.

Assignments

Assign Company code to company :( OX16)

After successfully create a company code and a company in the SAP System you must assign them. In SAP the link between the company
code and company is established by assigning a company code to company.

Path: - SPRO Enterprise Structure Assignment Financial Accounting Assign Company code to company.