Objective:
In this training article we will learn about the Supplier Model and Supplier Site assignments.
Supplier Model:
Supplier model are modeled as a global entity and are not created within a business unit or in any other Organizational context. A procurement business unit establishes a relationship with a supplier through the creation of a site which maintains internal controls for how procure to pay transactions are executed with the supplier. The other entities of the supplier profile capture mostly external information that is provided by the supplier, such as tax identifiers, addresses, contact information, and so on.
Supplier Site and Supplier Site Assignments:
The site represents a business relationship between a procurement business unit and the supplier. Supplier sites are associated with a procurement business unit. It represents the relation between a procurement business unit and a supplier. A procurement business unit represents a specific purchasing or sourcing organization that is responsible for establishing and maintaining supplier relationships. It set terms, controls and policies which govern how procure to pay transactions are executed between its client business units and the supplier. The site has following information:
- Procurement business unit
- Site Name
- Site Address
- Site Purposes- whether its Procurement, Pay, Purchase, etc.
The following snap shot would give an insight of Supplier Site Setup.
Navigation >> Suppliers work area > Search for Supplier > Site tab
Supplier Site assignments directs which client business units can transact with the site. It also defines the sold-to business unit associated with the client business unit. In this case sold-to business unit represents the organisation that assumes the liability for the purchases made on behalf of the client business unit. It is to be noted that in most cases, the client business unit and sold-to business unit are the same. The following snap shot would give an insight of Supplier Site Setup.
Navigation >> Suppliers work area > Supplier > Site tab > Site link > Site Assignments tab
