This video provides a comprehensive guide on how to customize the Sales and Distribution (SD) organizational structure in SAP S4 HANA. The key points discussed in the video are:

  1. SD Organizational Structure: The video begins by explaining the SD organizational structure, which includes the client at the top, followed by the company code, sales organization, distribution channel, division, sales office, sales group, and finally the delivering plant and shipping point.
  2. Company Code: The video explains that a company code is the smallest organizational unit in financial accounting. Profit and loss statements are created at the company code level. Different company codes can be assigned to one company.
  3. Sales Organization: A sales organization represents a selling unit as a legal entity. It can divide markets into regions and is assigned to exactly one company code. Each sales organization has its own master data.
  4. Distribution Channel: The distribution channel is defined as a medium used to send goods and services to the customer. It can be assigned to a single or many sales organizations.
  5. Division: A division represents a product line or grouping of services or materials. It can be assigned to one or more sales organizations.
  6. Plant: From the SD point of view, a plant represents the location from which the materials are distributed and services are provided. Relevant stocks are kept here. One company code can have one or more plants.
  7. Storage Location: A storage location is a subdivision of the plant where the stocks are physically stored and maintained. A plant can have multiple storage locations.
  8. Shipping Point: The shipping point is the place from where goods are sent to the customer. It processes and monitors the deliveries as well as carries out the goods issue. A shipping point is assigned to a plant.

The video provides step-by-step instructions on how to define and customize each of these organizational units in SAP S4 HANA. The presenter emphasizes the importance of understanding the relationships between these units and their roles in the SD process.

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