Phase 4 — Procure-to-Pay
🎯 In plain words
❓ Why it matters
This is the heart of MM. Almost every other scenario — returns, subcontracting, consignment, STOs — is just a variation of this same cycle. Master P2P and the rest of the course becomes "P2P, but with one step changed."
🧠 Key concepts you must know
1. The 5 steps & their documents
- Purchase Requisition (ME51N) — internal "please buy this." No FI.
- Purchase Order (ME21N) — the legal order to the vendor. You can adopt from the PR; data sits on header + item tabs. No FI yet.
- Goods Receipt (MIGO, mvt 101) — stock arrives. Posts to FI (Stock ↑ / GR-IR ↑).
- Invoice (MIRO) — verify the bill via 3-way match. Posts to FI (GR-IR cleared / Vendor payable).
- Payment (F-53) — pay the vendor & clear the open item. Posts to FI.
Before a PO you may run an RFQ / quotation (ME41) to compare vendor prices.
2. Document control
- Document types (OMEC) — drive number ranges & allowed fields per doc.
- Field selection (OMEB) — make fields required / optional / hidden.
- Item category — what kind of line (standard, subcontracting L, consignment K, third-party S…).
- Account assignment category — where the cost goes: K = cost center, A = asset, blank = into stock.
3. Outline agreements (longer-term deals)
- Contract (ME31K) — agreed total value/quantity over time; you release against it.
- Scheduling agreement (ME31L) — same idea but with a delivery schedule; you maintain delivery lines with ME38.
4. The 3-way match
Before paying, MIRO compares three documents — the PO (what you ordered & agreed price), the Goods Receipt (what arrived), and the Invoice (what the vendor billed). If quantity and price agree within tolerance, the invoice posts; otherwise it blocks. After payment (F-53) you can trace & clear the open items.
🛠️ Do it now — practise alongside
Don't just read — run the full cycle once in your IDES. P2P only clicks when you've watched each document link to the next:
PO Reference Scenario 1 (full P2P) Outline Agreements (15)Do one end-to-end run: ME51N → ME21N (adopt the PR) → MIGO 101 → MIRO → F-53, checking the FI document at each posting step.
🔗 Connects to
- Phase 3 — Master Data: PR/PO pull material, vendor, price and source from the cards you built.
- Phase 6 — Inventory Management: the goods receipt step is pure IM (movement 101).
- Phase 7 — Invoice Verification: the invoice step, the 3-way match in detail.
- Accounting 101: which steps post to FI and why.
🎓 Cert focus & quick recall
C_TS452 area ③. Expect questions on the document flow, which steps post to FI, the 3-way match, and contracts vs scheduling agreements.
What are the 5 P2P steps, and which post to FI?
PR (ME51N) → PO (ME21N) → GR (MIGO) → Invoice (MIRO) → Payment (F-53). PR and PO do not post to FI; GR, Invoice and Payment do.
The 3-way match compares which three documents?
The Purchase Order, the Goods Receipt, and the Invoice — quantity and price must agree within tolerance before the invoice posts.
Account assignment category K vs A — what's the difference?
K charges the cost to a cost center (consumed, not stocked); A capitalises it to an asset. A blank category means the goods go into valuated stock.
Contract vs scheduling agreement?
Both are outline agreements. A contract (ME31K) fixes total value/quantity and you release POs against it. A scheduling agreement (ME31L) adds firm delivery dates/quantities you maintain via ME38.
✅ You're ready to move on when…
- You can recite the 5 P2P steps and say which three post to FI.
- You've run a full PR→PO→GR→Invoice→Payment cycle in IDES and traced the documents.
- You can explain the 3-way match and the difference between a contract and a scheduling agreement.