sales organization

Sales & Distribution (SD)

An organizational unit within Logistics which structures the company according to its sales requirements.

A sales organization is responsible for selling materials and services.


Business object


A sales organization can be subdivided into several distribution chains which determine the responsibility for a distribution channel.

Several divisions can be assigned to a sales organization which is responsible for the materials or services provided.

A sales area determines which distribution channel can be used to sell the products from one division in a sales organization.


Each sales organization is assigned exactly one company code for which you enter all accounting details of the sales organization.

A distribution chain can be active for several plants and the plants can be assigned to different company codes. If the sales organization and plant are assigned to different company codes, an internal billing document is sent between the company codes before the sales transactions are entered for accounting purposes.