Service Procurement step by step – Special Procurement

Service Procurement

Step 1: Create PO

Create a PO with ME21N Add vendor name, Purchasing Organization, Company Code & Purchasing Group.
In PO there will always be account assignment category because service can not be stored physically and it is always consumption. Hence account assignment category in PO is always present.
Item category used in PO is “D” i.e. services
For the example given below, we have taken account assignment category as K i.e. cost center and item category as D i.e. services

At the item level we mention only one item.
Detailed services are mentioned in Services tab in the item details section of the PO.
After maintaining the service lines, pop up window will appear to maintain the account assignment details for each service lines.

Maintain the account assignment.
There is auto repeat account assignment button, which can copy the same account assignment to all items
Enter the details and save the PO which will generate PO number.

Step 2: Create Service Entry Sheet

Transaction code to create the service entry sheet is ML81N
After entering in the transaction, it will show the last PO or SES (Service Entry Sheet) created.
Click on Other Purchase Order button in application toolbar and enter the PO no. as shown in screen below.

Click on continue from this window.
To create a new SES for this PO, click on the New Button in application toolbar, this will create a new entry sheet for the PO.
Enter the other details required in the SES as shown below.

After entering the header level details, we need to select services from PO. For this click on the service selection button at the bottom of the screen.
A pop up will appear selecting the PO no. Click on continue.

Next screen will show the services available in PO. Select the services and click on copy services button in the application toolbar.

After copying the required services in SES, we can change the quantity of the individual services and then save the SES

Step 3: Release SES (Service Entry Sheet)

SES created needs the approval or release. Then only the account posting happens and the liability is generated.
For releasing / approving the SES, click on change button(Button having Pencil image with a glass) . The status of the PO now is ‘No acceptance’ which can be seen the SES after SES number
Click on release flag(Green color flag) . Status of the PO will become, ‘will be accepted’ i.e. it will be released after saving. Save the SES.
Now the SES is approved and the status becomes ‘Accepted’ i.e released.
Invoice Verification is same as normal Goods receipts i.e. through transaction MIRO. It can be done with reference to PO or SES.
SES Created is also updated in Purchased Order History Tab in PO.
Invoice posting will complete the Service procurement cycle.