SAP SRM Interview Questions And Answers prepared from Codingcompiler experts. These SAP SRM Interview Questions were asked in various interviews conducted by top multinational companies across the globe. We hope that these interview questions on SAP SRM will help you in cracking your next job interview. All the best and happy learning.
In this article, you’ll learn
SAP SRM Interview Questions
SAP SRM Interview Questions And Answers
Advanced SAP SRM Interview Questions And Answers
The Best SAP SRM Interview Questions And Answers
SAP SRM Interview Questions
- What Is Srm And Why Should A Company Add This Module To Its Sap Application?
- What Does Srm Handle?
- Discuss about the benefits that SAP SRM brings to a business
- How do we define ITS URL?
- What number ranges must be configured in SRM ?
- Why do we configure number ranges in SRM ?
- What purpose does the SRM org structure serve?
- Is there anything, in particular, that needs to be done to a user or a vendor to make them a valid part of SRM?
- How Is Srm Used?
- What Is A Company Code For?
SAP SRM Interview Questions And Answers
Q. What Is Srm And Why Should A Company Add This Module To Its Sap Application?
Answer :
SRM means supplier relationship management. Just as a robust company puts in an effort to develop customer relationships, the company should strengthen its procurement processes by automation and efficiency. SRM can examine and forecast the company’s purchasing pattern, work with vendors in real time, and shorten procurement cycles.
Q What Does Srm Handle?
Answer :
SRM handles analytics, supplier collaboration, operational contracts, service purchasing, self-service procurement, catalog content, supplier qualification, strategic sourcing, and plan-driven procurement.
Q. Discuss about the benefits that SAP SRM brings to a business
Answer: 1. SAP SRM enables the organization to achieve the following business benefits: Sustainable cost savings- which enables the companies to achieve a closed loop from source-to-pay.
2. Contract compliance – provides visibility into enterprise expenditures and enables the procurement organization to effectively demonstrate according to corporate guidelines.
3. Competitive advantage – gives the tools to partner with key suppliers, define supplier management approach, and determine the key metrics.
Q. How do we define ITS URL?
Answer; Before the Internet Transaction Server (ITS) can process EBP requests, entries in table must be maintained to initiate a connection to a physical URL, which controls the menu on the left hand side of the screen that shows all of the transactions users have access to. The URL varies depending on which the EBP client the configuration is performed in and it also consists of base address for the integrated ITS instance. To enable EBP purchasing for each client, this configuration needs to be performed once.
Q. What number ranges must be configured in SRM ?
Answer: Entries should be created in the EBP system to link the EBP purchase orders, requisition and reservation to the backend R/3 system. The logical system ID should reflect that of the EBP application server and client in which the number ranges are being configured. PO, RQ, RS were used to easily distinguish each number range.
Q. Why do we configure number ranges in SRM ?
Answer: Number ranges must be established for EBP shopping carts as well as any potential purchasing document so that unique numbers can be generated in the backend R/3 system from EBP. The EBP system needs a number range established that automatically takes the next available number and assigns it to the document which will be created in R/3.configuration must also be established in R/3 to correlate with the ranges in EBP so that conflict never arise when purchasing document.
Q. What purpose does the SRM org structure serve?
Answer: Organizational attributes serve many purposes in EBP system. The primary purpose is to set attributes that define the users` shopping experience. Examples of such attributes are company code, plant and cost centers that the user can order against, etc.
Q. Is there anything, in particular, that needs to be done to a user or a vendor to make them a valid part of SRM?
Answer: A user or supplier record cannot be assigned to an organizational unit it has a business partner recorded. This means, if Business Partner relationships are not established, users cannot be imported into the organizational structure from the User_Gen Transaction. Then the following error occurs: ‘Business partner of the organizational unit does not exist’.
Q. How Is Srm Used?
Answer :
SRM can be used two ways. First, employees can purchase materials and services they need to complete the company’s goals. This process is simplified by a Web-based GUI that simultaneously filters by corporate spending and purchasing compliance. The second way is by an automated system which procures materials as part of a company’s supply-chain workflow.
Q. What Is A Company Code For?
Answer :
Many large corporations actually consist of separate companies (plants) with separate functions and accounting. By assigning a code to each company, its financial and legal parameters and reports can remain separate.
Advanced SAP SRM Interview Questions And Answers
Q. What Is The Import Status Tab For?
Answer :
When you are importing and customizing an import scenario, this tab will give you information on the status of the import – how many fields from the source have been mapped to the destination, what source is involved, and what the destination is. It also will tell you what table joins and field look ups are being used.
Q. What are the key business process in SAP SRM ?
Answer: The key business process in SAP SRM includes:
1. Procure to pay- we can integrate catalogue based requisition and gain the benefits of e-procurement.
2. Catalogue management- manages catalogue data as master data that is deeply integrated.
3. Centralize sourcing- gain visibility into the demand for goods and services.
4. Centralized contract management- consolidates contract information.
5. Supplier collaboration- links supplier to our purchasing processes through the supplier portal.
Q. Why Do We Configure Number Ranges In Srm?
Answer :
Number ranges must be established for EBP shopping carts as well as any potential purchasing document so that unique numbers can be generated in the backend R/3 system from EBP. The EBP system needs a number range established that automatically takes the next available number and assigns it to the document which will be created in R/3.configuration must also be established in R/3 to correlate with the ranges in EBP so that conflict never arise when purchasing document.
Q. What Purpose Does The Srm Org Structure Serve?
Answer :
Organizational attributes serve many purposes in EBP system. The primary purpose is to set attributes that define the users` shopping experience. Examples of such attributes are company code, plant and cost centers that the user can order against, etc.
Q. Why Do We Create The Internal Number Range For Local Bid Invitation?
Answer :
An internal number range must be defined to build numerically local bid invitation for RFQ`s and Auction in the Bidding Engine and Live Auction application. These bids does not have a link to any R/3 purchasing document, they are completely local to the ERP system.
Q. What Is The Difference Between A Business Partner And A Partner Function?
Answer :
Generally in SRM business, partner means the entire stake Holders. Example: suppliers, customers, vendors, employee, etc. The function of partner is to make the vendors as reference, and then there will be invoicing party, supplying party, etc. Business partner means those who supply the raw material to the customer i.e. buyer.
Q. What Is A Purchasing Organization?
Answer :
A Purchasing Organization is the organizational unit within a business responsible for the procurement of goods and services for plants belonging to a particular region. It also negotiates terms and conditions of contracts and purchases from vendors and also assumes legal responsibility for those purchases for the Plants that PO is responsible for. Those Plants are dependent on its assignment.
Q. Why Client implemented EC but not Classic when they have strong ECC?
Answer:
The reason is to save time and reduce dependency on purchasing department that usually focuses on core purchasing tasks.
For example in classic scenario, purchase order is generated in ECC. For any changes to PO, we need to contact purchasing department. So still we have a dependency.
But in ECS, we can edit the PO in SRM system itself and changes will be replicated to ECC. So we need not contact purchasing team and burden on purchasing team for such requests will totally be eliminated.
So for low spend purchase we need depend on purchasing department at all.
Q. In SAP SRM, where do you create quotations and process them?
Answer: Bidding Engine
Q. If you want to search a particular product or a supplier, how can you do this?
Answer: In SAP SRM portal, you can easily perform search for different products and suppliers. Search criteria is easy to use. You can also restrict the number of entries in search.
Q. What is the use of workflows in SAP Supplier Relationship Management?
Answe: Workflows are used to perform easy approvals of PO’s allows organization to perform goods requisition easy and simple.
The Best SAP SRM Interview Questions And Answers
Q. If we replicated a vendor from R/3 to SRM and assigned to wrong Account grp/purcase organisation. How can we Correct it(assign to correct Account grp/purcase organization), please prove answer in detail.
Answer: You can do the changes in vendor master in R/3 and then replicate the vendor changes to SRM system using transaction BBUPDVD(update vendor).
Q. What Are The Types Of Update Requests?
Answer :
An update request can be divided into one primary (V1) and several Secondary update components (V2). Time-critical operations are placed in V1 component and those whose timing is less critical are placed in V2 components. If a V1 update fails, V2 components will not be processed.
Q. Explain How Sap Gui Handles Output Screen For The User?
Answer :
The SAP front-end s/w can either run on the same computer or on different computers provided for that purpose. User terminal input is accepted by the SAP terminal program SAP GUI, converted to SAP proprietary format and sent to the SAP dispatcher. The dispatcher coordinates the information exchange between the SAP GUIs and the work processes. The dispatcher first places the processing request in request queues, which it then processes. The dispatcher dispatches the requests one after another, to the available work process. The actual processing takes place in the work process. When processing is complete, the result of a work process is returned via the dispatcher to the SAP GUI. The SAP GUI interprets the received data and generates the output screen for the user.
Q. What is a Contract? Can you place multiple contracts for similar goods in SAP SRM Contract Management?
Answer: In SAP SRM, contract is defined as a negotiation between a supplier and an organization for supply of goods and material or delivery of services within defined terms and conditions in a specific time period. These contracts are placed at central secure location to resolve the lack of visibility into contract across the different groups.
This allows you to manage different local contracts with different terms and conditions for the similar type of goods.
Q. What is the benefit of using Central Contract management process?
Answer: Central contract management allows buyers form different part of company from different locations to take advantage of negotiated terms and conditions. The terms and conditions are transitioned into a central contract and to be distributed to local purchasing group to perform procurement process for the company.
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