Vendors
Vendor management in MM concerns the vendor master data, now the Business Partner in S/4HANA, that procurement depends on. Accurate vendor data is essential for ordering, receiving and paying suppliers correctly.
Poor vendor data blocks or misdirects procurement, wrong payment terms cost money, a missing accounting view stops payment, duplicates cause confusion.
- In S/4HANA, vendors are Business Partners with a supplier (vendor) role, carrying general data (name, address), purchasing data…
- Business Partner roles (FI vendor, purchasing).
- Purchasing data: terms, currencies, partner functions.
- Watch out: Incomplete BP roles/views blocking process steps.
Vendor data (Business Partner)
In S/4HANA, vendors are Business Partners with a supplier (vendor) role, carrying general data (name, address), purchasing data (purchasing organization terms), and accounting data (reconciliation account, payment terms) maintained by the respective functions. This master data drives every purchase order and payment.
Key aspects
- Business Partner roles (FI vendor, purchasing).
- Purchasing data: terms, currencies, partner functions.
- Accounting data: reconciliation account, payment terms.
- Vendor evaluation of performance.
Why it matters
Poor vendor data blocks or misdirects procurement, wrong payment terms cost money, a missing accounting view stops payment, duplicates cause confusion. Governing vendor/BP data (increasingly with MDG) keeps procurement smooth and payments correct. The BP model in S/4HANA is a key change from ECC’s separate vendor master.
Common pitfalls
- Incomplete BP roles/views blocking process steps.
- Duplicate vendors without governance.
- Wrong payment terms costing money.