B&M SOP 4 - Impact of Change in PIR on Sales and Inventory

B&M SOP 4 - Impact of Change in PIR on Sales and Inventory

PIR Maintainance


Impact of Change in PIR





Table of Contents

1. PIR Maintenance    

1.1. Approach    

1.2. Highlights:    

1.3. Impact on transaction:    

1.4. Impact on downstream system    

1.5. Question and Answers:    

2. Sign-off    





  1. PIR Maintenance


Overview:

A Purchase Info Record, usually called PIR, is the link between a material procured externally and the vendor that will effectively supply it. 


PIR can be maintained at the plant level or Supplying DC level or at the purchasing organization level.



Info record can be maintained for following procurement types, which are:-


Standard − Standard info record has information on standard orders (orders include details of vendor and material). This info record will include vendor’s price for supplying the particular material.


Consignment − Consignment info record has information on material that is kept at ordering party premises. This info record contains vendor’s price that is to be paid for withdrawing material from consignment stock.



Note: - Info records of Vistex enable vendor contains 0 price.







  1. Approach


Objective

This document is to define PIR change process in S4 system

Impact:

This will impact vendor wise stock and future sale; post PIR change is done in system

This will also impact on Vendor margin calculation & recovery

Initiator:

B&M Team 

Approver:

Business Head and Finance Team (Bhavesh Shroff)

Process

B&M to upload following documents in MDM portal (i.e. spandhan) post approval

  1. Approval mails
  2. New PIR detail (as per the format)
  3. New Contract detail (for Vistex vendor only) 

Format:

Executer:

MDM Team

Pre Check:

All site PIR should be in place and vendor A/C group should be same as article valuation class.

Action:
  1. Maintain New PIR in S4
  2. End Old Contracts and maintain new contracts (for Vistex vendor only)

Post Check:

Make sure that Old vendor should not be last PIR for any article.

Change Log

Master data -> Info record -> Change log




MDM team will use following tCodes for maintaining PIR’s in S4.

t-Code

Remark

/nZMM_PIR

Bulk PIR addition utility is available.

/nME13

PIR Inquiry – Article wise

/nME1L

PIR Inquiry – Multiple article

/nZPIR_DUMP

PIR Report






  1. Highlights:


Points to be noted while maintaining PIR are:-

  1. Vendor account group should be same as article valuation class (means if vendor is outright then its associated article should be outright only.)

Business Model

Vendor A/C group

Article V-Class desc

Out Right

ZOUT

Z310

Consignment

ZCON

Z314

Concessionaire

ZCOR

Z313

Sale Or Return

ZSOR

Z311

OR180 (Outright 180)

ZROR

Z312

Import Vendor

ZIMP

Z310



  1. PIR detail and Price detail should be in place before creating any article in system

Sn

Article Type

PIR should be in place means

1

Out Right

Maintain PIR with Standard flag as ‘0’

2

Consignment

Maintain PIR with Consignment  flag as ‘2’

3

Concessionaire

Maintain Rack-Jobber PIR

4

Sale Or Return

Maintain PIR with Standard flag as ‘0’

5

Returnable outright

Maintain PIR with Standard flag as ‘0’

6

Import Vendor

Maintain PIR with Standard flag as ‘0’



  1. Standard Business 
  • If article is DC Delivery then PIR should be maintain for all DC’s
  • If article is Store delivery then PIR should be maintain for all Store


  1. Consignment Business 
  • If article is DC Delivery then PIR should be maintain for all DC and Store
  • If article is Store delivery then PIR should be maintain for all Store








  1. Impact on transaction:


Given that multiple PIRs can be available in the system at any given time for an article plant combination. So the highest priority records with the latest timestamp is to be considered as the active vendor in following precedence

  • Consignment Article :- Site Level > Org. Level PIR
  • Non-Consignment article :- Site Level > Supplying DC level PIR > Org. Level PIR (Means, If PIR is not maintained at store itself, then PIR at supplying DC level, will be taken into consideration)

Change PIR will impact on new transaction only. It will not reflect in open transaction.


Transaction

In case of Missing PIR

PO or RPO 

System will restrict user on creating PO or RPO

STO

System will restrict user on raising STO

PIC or SAV

System doesn’t look for PIR, so “#” (means *Blank) value will appear in vendor column of  stock report 

Sales or Sale Return (POS / eCom)

Sales posting will stuck in S4.

BW – Report

System consider latest PIR vendor for reporting.



  1. Impact on downstream system


Sn

System

Impact

Comment

1

POS

No

No impact

2

CRM

No

No impact

3

eScheme

No

No impact

4

eVRF

No

No impact

5

Hybris

No

No impact

6

WMS

No

No impact

7

B2B

Yes

Vendor wise stock report consider latest PIR

8

Loyalty

No

No impact

9

BW

Yes

Vendor wise stock , Sales

10

Vistex

Yes

Margin and Recovery report 

11

DIAL + MIAL

No

No impact








  1. Question and Answers:


Tobe answer by TCS


Q.1

What will be the impact of PIR change on reports in S4, BW & B2B – For Historic Sales

A.1

BW shows always with Latest PIR only in Report. In History sales transaction NO impact of PIR change. 



Q.2

What will be the impact of PIR change on reports in S4, BW & B2B – For Future Sales

A.2

It will reflect with Valid from Date of PIR in Sales Report. 



Q.3

What will be the impact of PIR change on reports in S4, BW & B2B – For Historic Inventory

A.3




Q.4

What will be the impact of PIR change on reports in S4, BW & B2B – For Future Inventory

A.4




Q.5

Should Old PIR be closed? If Yes what will be the impact? If not what will be the impact?

A.5

NO. We will take up as Cleaning Activity 



Q.6

If vendor Business model is getting changed can this be managed by change in PIR by using the same articles?

A.6

Yes, Any Business model change scenario, It needs to create a new vendor & new PIR set up. So in any condition, It will treat as new PIR creation process. Also If changes like Consignment to concessionaire or vice versa, It will change PIR to Rack jobber data. 



Q.7

If vendor is getting changed can this be managed by change in PIR by using the same articles?

A.7

No, It will route through new PIR creation only. No change recommendation in existing one.






  1. Sign-off

SSL Business Approval


Sr. No.

Date

Name

Signature

1


Planning Head - Archish Raghunathan <Archish.Raghunathan@shoppersstop.com>


2


Project Head - Krishnan Parameswaran <Krishnan.Param@shoppersstop.com>


3


Project Head - Mandavi Singh <Mandavi.Singh@shoppersstop.com>


4


Bhavesh Shroff <bhavesh.Shroff@shoppersstop.com>


5


Governance & Compliance - Ramnath Kamath <ramnath.kamath@shoppersstop.com>





NAME

DATE

Initial Draft

Vishal Varlyani <Vishal.Varlyani@shoppersstop.com>

07-07-2020

Reviewer

Uttam Rawat <Uttam.Rawat@shoppersstop.com>

07-07-2020


TEAMS Path

DISHA Collaboration -> General -> 03 Realize -> 3.8 Draft SOPs for B&M -> 3.8.1 To be release for DocuSign




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