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SAP SD Interview Questions and Answers

SAP SD Interview Questions and Answers

Question - 11 : - What do you understand by SAP SD? What are the functions related to it?

Answer - 11 : -

SAP SD (Sales Distribution) is all about the process of order to delivery. Further, it is essential for executing all kinds of business procedures like shipping, selling, and billing of products. It is also used for –

  • Sales orders
  • Consignment
  • Credit & Debit memo requests
  • Backorder
  • Inquiries and Quotes
  • Sales return
  • Contract & Scheduling agreements
  • Rush orders & Cash sales

Question - 12 : - Is it possible to allocate different sales organizations within a similar company code?

Answer - 12 : - Yes! It is possible to assign the same company code.

Question - 13 : - What is the prominence of the shipping process? And how can you define the modes of transport?

Answer - 13 : -

We all know that shipping is an essential part of any manufacturing company to ensure efficient customer services and delivery of products. Shipping is required for outbound delivery, planning and monitoring, post goods issues, picking and packaging of goods, and shipping communication.

Talking about the modes of transport, there are few ways of defining them –

  • Using T-code SPRO.
  • Visit IMG> Logistics Execution > Transportation > Basic Transportation Function > Routes > Define Routes > Define modes of transport > Click on ‘Execute’

Question - 14 : - Can you tell me about the difference between milestone and periodic billing?

Answer - 14 : - Firstly, about the periodic, it is a full amount mentioned in each bill and continues until the contract period. In contrast, the milestone is about the partial amount, which is mentioned until the full amount is billed.

Question - 15 : - Can you explain organizational elements that create the sales area and their function?

Answer - 15 : - Basically, the product groups are generally defined as a wide-ranging spectrum of products. In every division, it is possible to create a customer-specific agreement. Moreover, it is also possible to carry out statistical analyses and setting up separate marketing.

Question - 16 : - What is the co-relation between Credit Control Area and Company Codes?

Answer - 16 : - A credit control is necessary for assigning more than one company code to more than one credit control area. Credit Control Area is present as an organizational unit used for specifying and checking credit limits for customers.

Question - 17 : - What are the methods used in delivery scheduling?

Answer - 17 : -

In general, there are two types of techniques available in delivery Scheduling. These are mentioned as –

  • Forward scheduling – In this system, you can calculate the earliest possible date dependent on the material available date.
  • Backward Scdg – This is about calculating the requested delivery date.

Question - 18 : - What is meant by the Outline Agreement and its different types?

Answer - 18 : -

Ans – Well, an Outline Agreement is defined as a long-term purchasing agreement done with the vendors. In this agreement, you will find general terms and conditions related to the material that is usually supplied by the vendors. Outline agreements have two types that are involved in the SAP SD course.

  • Scheduling Agreement: It is known as an external agreement comprising the details of services, products, and delivery dates.
  • Contract: The contracts usually exist between ordering parties and vendors over a specified period. You will find two types of contracts mentioned as value contracts and quantity contracts.

Question - 19 : - How you can use product proposals in SAP SD?

Answer - 19 : - Product proposals are known as critical aspects whenever we discuss SAP SD. Such proposals are used in various companies needed for revamping the sales quotient by endorsing the products at the time of sales document processing. Moreover, these proposals can easily be mapped depending on the specific requirement of business partners so that they can easily match the market demands.

Question - 20 : - Can you tell the difference between an inquiry and a quotation?

Answer - 20 : - Firstly, the inquiry is the process that includes registration of the customer’s probable requirements. On the other hand, the proposal is a kind of legally abiding document, which is offered to customers following the terms and conditions for delivering the service as well as the product.


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