|
Your SAP Resource » Publications » SAP Experts » SCM Expert Online |
|
|
SAP supply chain
|
Part of the
|
|
|
|
|
|
|
|
Knowledgebase » Volume 3 (2005) » Issue 10 (December) Avoid These 11 Common Unit-of-Measure Errors
|
|
To keep your SCM operations running smoothly, learn how to avoid and correct these 11 common unit-of-measure errors that can bring them to a standstill. |
Categories: Implementations, Upgrades, and Migrations, Logistics, Master Data, SCM
Key Concept |
| The crucial role of units of measure (UoMs) in SAP is to give context to quantities. A key activity of an SAP system is maintaining clear communication with external business partners (e.g., sending a purchase order to a vendor for raw materials or sending an invoice to a customer). You can accomplish this communication in a number of ways, such as paper invoice, EDI purchase order, or XML delivery confirmation. Quantity is one of the most important aspects of that communication: You need to be sure that an order for five cases of a material is not interpreted as five pieces or five pallets. |
Units of measure (UoMs) are a key part of global configuration affecting all SAP R/3 modules, SAP New Dimension products, and interfaces to external systems. The importance of this configuration is signified by its position at the top of the IMG. Despite this, little attention is often paid to UoMs during the configuration of SAP systems. More often than not, the SAP default values are accepted without much concern. Luckily, these work correctly for most companies.
As you roll out your SAP system across multiple companies and countries, however, needs like conversion from metric to US/British Imperial measure arise that necessitate a more detailed analysis of the UoM configuration. Lack of attention to the conversion factor for a UoM or other local settings can, at least, irritate or confuse users. At worst, miscalculated documents can be sent to customers or foreign customs officials, resulting in blocked shipments or expensive disputes.
Another major area of concern is the conversion of quantities from one UoM to another and the problems unfavorable rounding differences can cause. This happens most often with conversion between two US or British Imperial UoMs (e.g., pounds to ounces). In extreme cases, this type of rounding error can bring your warehouse operations to a halt.
Would you like to see the full version of this article?If you are an electronic license holder to SCM Expert, please click here to log in. If you would like information about becoming an electronic license holder — and having 24/7 unrestricted access to all articles and content in the SCM Expert online knowledgebase — click here to see the available subscription options. Or call 1-781-751-8799 to speak directly with a subscription and licensing specialist about customized access for you and your team. Isn't your SAP implementation worth world-class information support? |
|
Copyright © 2010 Wellesley Information Services. All rights reserved. Email: customer.service@scmexpertonline.com.
|
