The Vendor Master Data, also known as vendor master database is a database that contains all kinds of information regarding the vendors that form the supply chain of the enterprise. The information of their activities is stored and preserved in the vendor master records. Different types of details are recorded in the vendor master record, such as name and address of the vendor, the currency with which the vendor payments are made, the names of the sales staff and other important people and the terms of payment. As the accounting department always considers the vendors as creditors or the ones that represent accounts payable, important accounting information is also contained in the company’s vendor master record. This can include the reconciliation account or relevant control account in general ledger. procurement support

Hence it can be said that vendor master data is managed by the accounting as well as purchasing departments. Every company must carefully and accurately maintain essential vendor data on their vendor master records. The vendor master data record can also be used for managing important data that is associated with somespecific levels of organizational, such as the company code and the purchasing organization within the enterprise. There are primarily three essential areas that are covered within the vendor master data. These include general data, purchase data and company code data. The general data is associated with the various company codes within the business enterprise, such as address, the telephone number and even the language used for interacting with the vendor. The company code data involves details like payment transaction data and the numbers of the control accounts. The purchasing data includes all information regarding the purchasing activities carried out within the enterprise, like the terms of delivery and all contact persons.

By making use of a vendor master creation service, it is possible to maintain a thorough and comprehensive data on all aspects of data management. The vendor master data can also be used for managing data or information that are relevant to all kinds of trading and wholesaling activities below the level of purchasing organization. These include the vendor sub-range (VSR), the operational plant and the vendor sub-range/plant. Apart from the data that is relevant to a definite purchasing organization, the vendor master data can be used for keeping a detailed track of purchase data and the partner roles associated with specific some vendor sub-range or plant. This may include details like terms of payment.

The data that is stored in the vendor master data may sometimes differ that those included in the company’s purchasing organization level. It is important that relevant information about all the vendors associated with a company has to be included into the SAP system if the process is to deliver the right kind of results. The company must always stay updated with all the vendor related information since the products, materials and services offered by the vendors are crucial for the smooth handling of the business. Through the application of SAP, all data relating to the vendors can be streamlined and made ready for efficient use.  

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