Automating Purchasing Approval Release Strategy Implementation

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Automate Purchasing Approval — Dos and Don’ts When Designing and Implementing SAP Release Strategy

Isaac MazliachS.D.M. Israel

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What We’ll Cover …

• Release Strategy – what is it?• Classification system: Search, select, and

define parameters• Which parameters to use and which NOT to use• A simple Workflow customization• Wrap-up

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Release Strategy – What is It?

• Release Strategy is SAP’s process to approve purchasing documents from the early releases of SAP R/3 up to the latest releases of ECC

• IMG link: IMG > Materials Management > Purchasing > Purchase

Requisition > Release Procedure IMG > Materials Management > Purchasing > Purchase Order >

Release Procedure for Purchase Orders IMG > Materials Management > Purchasing > Contract > Release

Procedure for Contracts IMG > Materials Management > External Services

Management > Define release Procedure for Service Entry Sheet

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• Release Strategy is not so difficult to configure – as long as maintaining it is taken into consideration at the design phase

• We will talk about: Classification in Release Strategy Which fields should be used and which ones should not How to easily introduce Workflow into the process

Release Strategy Configuration

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Release Strategy Implementation

• Release Strategy may be implemented for the following documents: Purchase Order Purchase Requisition Contracts Service Entry Sheet

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What We’ll Cover …

• Release Strategy – what is it?• Classification system: Search, select, and

define parameters• Which parameters to use and which NOT to use• A simple Workflow customization• Wrap-up

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Classification – What is It?

• Classification is a general method in R/3 and ECC to search and select objects It is part of the cross application component

• The classification system allows you to use characteristics to describe all types of objects and to group similar objects in classes – to classify objects, so that you can find them easily

• SAP has predefined a number of object types (for example, materials and equipment) The settings for these object types have already been defined

during customization, so you can start to set up your classification system for these object types without defining further settings

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Steps to Use the Classification Mechanism

• SAP also uses the classification mechanism to define the parameters of the Release Strategy Use characteristics to describe the properties of objects

Create characteristics centrally in the SAP R/3 system Create classes to classify objects

Classes must be set up Assign characteristics to the classes

Assign objects to the classes you require for classification Use the characteristics of the class to describe the objects

you classify

Release Strategy uses class type = 032

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Communication Structures Characteristics

• Characteristics for Release Strategy use the following communication structures: Purchase Order and Contracts: CEKKO Purchase Requisition: CEBAN Service Entry Sheet: CESSR

Warning

Purchase Order and Contracts use the same class in Release Strategy. Therefore, analyze them both when you design the characteristics values!

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Classification – Create Class and Assign Characteristics

• SAP Menu > Cross-Application Components > Classification System > Master Data > Characteristics

Data type assigned

from reference field data

Make sure these

parameters are correct to your needs

Enter the table name (e.g.,

Purchase Order data = CEKKO)

Enter the field name (from the table).

See all table fields in txn SE11.

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Classification – Create Class and Assign Characteristics (cont.)

• SAP Menu > Cross-Application Components > Classification System > Master Data > Classes

Class type for Release Strategy

must be 032

Assign the characteristics to

the class

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Classification – User Exit Enhancement

• In the case that the standard fields in CEKKO, CEBAN, CESSR are not sufficient, use your own logic to enhance these communication structures with the following user exits: M06B0001: Changes to communication structure for release

of requisitions M06B0005: Changes to communication structure for overall

release of purchase requisitions M06E0004: Changes to communication structure for release of

purchasing document (Purchase Orders and Contracts) SRVREL: Changes to communication structure for release

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Options to Use Release Strategy

• There are two options: With or without classification Option 1 – Without classification

An overly simplified solution Includes constant parameters (e.g., price)

Option 2 – With classification Characteristics Class (class type 032) Allows much more functionality than without classification Very flexible Allows fine-tuning with user exit

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Q: What happens when no correspondingRelease Strategy is found?

A: The document is released immediately!

How Does it Work?

• When one creates a document, SAP checks if it corresponds to a Release Strategy and applies the Release Strategy to it automatically

• Assign the authorization M_EINK_FRG to the persons who are to be involved in the release procedure

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There is a Release strategy tab; therefore the Purchase Order

is subject to Release Strategy

Purchase Order with Release Strategy

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There is no Release strategy tab; therefore the Purchase Order

is released

Purchase Order Without Release Strategy

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Choose parameters

Define characteristics

Define class

Assign characteristics

to class

Assign class to Release

Group

Create ReleaseCodes

Create ReleaseIndicators

Combine all above in Release

Strategies

Release Strategy – Setup

• The process:

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Important Release Strategy Setup Tips!

• Classification data is treated in SAP as Master Data Therefore it is not transferred with Transport Request – Use

Application Link Enabling (ALE) for that purpose Use the following paths:

BD91 - SAP Menu > Tools > ALE > Master Data Distribution > Logistics > Classification > Characteristic > Send

BD92 - SAP Menu > Tools > ALE > Master Data Distribution > Logistics > Classification > Class > Send

BD93 - SAP Menu > Tools > ALE > Master Data Distribution > Logistics > Classification > Classification > Send

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Release Strategy – Classification Setup

• 1.1 – Define Characteristics (txn CT04)

• 1.2 – Define Class and assign Characteristics (txn CL02)

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1.3 in IMG for Release Group

• Assign the class you created

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1.4 Create Release Codes

• A 2-digit identifier of a person to release a document

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1.5 Create Release Indicator

• 1-digit identifier of the release status (e.g., not released, partially released, released)

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1.6 Create Release Strategies

• Combine all of the previous Release Strategies: List the Release Codes per specific Release Strategy Create the Release Sequence Per each Release, define its relevant Release Indicator Assign the values of the assigned characteristics

(e.g., value 0 $10,000)

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Release prerequisite: • These settings mean that

the order of release is MR, then SM, and last MN

Release statuses: • These settings mean that if

not released, the indicator will be “2”

• If MR released, the indicator will be “4” and so on

Release Prerequisite and Status

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These settings mean that MR, SM, and MN will release the orders that have the characteristics:• Company code = 1000• Order type: NB• Purchasing organization =

1000• Order value > $200,000• Purchasing group = 101

Release Strategy Classification

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What We’ll Cover …

• Release Strategy – what is it?• Classification system: Search, select, and

define parameters• Which parameters to use and which NOT to use• A simple Workflow customization• Wrap-up

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Which Parameters to Use

• The following points should be considered when deciding which parameters to use: Parameters needed by the organization’s rules Mostly document value (price × quantity) is used

Use range Do not override values Make sure no ranges are missed (e.g., 0-100, > 100)

If both contracts and POs are implemented – use document type or document category as one of the parameters

Add parameters that do not change often, such as plant, company code, account assignment category, item category, etc.

Why? Because when the parameter changes – the release strategy will have to be modified.

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Which Parameters NOT to Use

• Consider the following points when deciding on parameters not to use: Do not use parameters that may change too often, such as cost

center, purchasing group, material group, etc. Why? If a release strategy is not found – the document is

immediately released. For example: A cost center is used, and a new cost center

is added – the new requisition to this cost center may be released immediately!

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What We’ll Cover …

• Release Strategy – what is it?• Classification system: Search, select, and

define parameters• Which parameters to use and which NOT to use• A simple Workflow customization• Wrap-up

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Important Workflow is built on the ground of the

Release Strategy; first you create the Release Strategy, then you add the Workflow to it

Release Strategy or Workflow?

• Release Strategy Works on “pull” strategy, i.e., the user should enter a

transaction, enter his/her Release Code, and receive a list of the appointed documents waiting to be released

• Workflow Works on the “push” strategy, i.e., a document that is waiting to

be released is sent via email to the person’s mailbox. After releasing the document, it is sent to the next person’s mailbox.

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Workflow – is it Complicated?

• Many SAP customers think that Workflow is very difficult to configure and set

• It may be true only if Workflow is implemented from scratch ... this process may take a few months

BUT …• SAP provides a simple Workflow in Release Strategy to

be used without any programming• This Workflow may be implemented faster and easier!

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Workflow Activation

• Before implementing the Release Strategy Workflow, Workflow must be activated Txn SWU3

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Workflow Activation (cont.)

• Txn SWETYPV For PO – enable (activate) event BUS2012 For PR – enable (activate) event BUS2009

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Workflow Activation (cont.)

• Txn PFTC Task type: Workflow template Task (PO release): 20000075 display

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Use the Following Link (e.g., Purchase Order)

• IMG > Materials Management > Purchase Order > Release Procedure for Purchase Order > Define …

• In the opened window – choose Release Codes and enter “1” in the “Workflow” field

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Use the Following Link (e.g., Purchase Order) (cont.)

• IMG > Materials Management > Purchase Order > Release Procedure for Purchase Order > Define …

• In the opened window, choose Workflow and enter the relationship between a Release Code and an SAP user

• Result: All releases will be directed to the user email

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What We’ll Cover …

• Release Strategy – what is it?• Classification system: Search, select, and

define parameters• Which parameters to use and which NOT to use• A simple Workflow customization• Wrap-up

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Resources

• www.workflowbook.com Assign agent to task Activate events

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7 Key Points to Take Home

• Release Strategy uses the “pull” strategy as opposed to Workflow, which uses the “push” strategy

• Select parameters that do not have too many values or change too often – this will reduce your maintenance

• If a purchasing document did not “find” a suitable Release Strategy – it will be released automatically

• When “standard” parameters are not enough – use user exits to enhance your release selection options

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7 Key Points to Take Home (cont.)

• Make sure there are no redundancies – you may end up with unexpected results

• Avoid going live with Workflow. Use Release Strategy first, allow the system to be stabilized, and then introduce Workflow.

• Design is the key. Good design will reduce your maintenance efforts long into the future.

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Your Turn!

How to contact me:Isaac Mazliach

isaac@sdm-c.com