assignment of pur org

[Former Member]

if i assign purch org at plant level then is it important assign it at comp code level.and if I also assign it at comp code level whats is the advantage.

[Former Member · Accepted solution]

Hello,

You have the following options:

You can assign a purchasing organization to several company codes. This is corporate-group-wide purchasing.

You can assign a purchasing organization to one company code. This is company-specific purchasing.

You can assign a purchasing organization to no company code. This purchasing organization can then procure for all plants assigned to it, irrespective of the company code to which it belongs.

Since each plant must be assigned to a company code, the company code can be determined via the plant in each procurement transaction, even if the procuring purchasing organization is not assigned to a company code

For Plant

You have the following options:

One purchasing organization procures for one plant.

This is plant-specific purchasing.

One purchasing organization procures for several plants.

Several purchasing organizations procure for one plant.

Hope the information is useful

Regards,

[kailas_ugale]

HI,

1 ) Corporate-group-wide purchasing

In this case, we must not assign the purchasing organization to any company code.

2) Company-specific purchasing:

In this case, we assign the purchasing organization to one company code only.

3) Plant-specific purchasing:

In this case, we assign the purchasing organization to one plant only. We also should assign the purchasing organization to the company code of the plant. The purchasing organization canu2019t purchase for other plant.

Regards

Kailas Ugale

[Former Member]

If you assigned purchase org to one company code that it will be specific for that company code only. So at the time of creation of PO you need to use same Purch og only.

It will be very difficult and complicated if every company has different Purch org in terms of finical impact.

[tejyadav]

Hi, it is mandatory to assign Pur. Org. to both plant & company code, reason is when you do purchasing for plant in a company system should have assignment for plant to know that this Pur. Org is authorized to do the Purchasing for these Plant, Similarly 1 Company can have many plants, & 1 Pur. Org. can be responsible for purchasing of many plants in the company.

Company & Plant are both different entity in Organization structure, Similarly Pur. Org. is also 1 kind of entity, so assignment & linkage of all of these is important with each other, Y don't you do the testing by removing the assignment as per your choice, you will understand the reason of assignments.