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What is Structured Service Procurement in SAP
Learn about Structured Service Procurement in SAP
🏗️ What is Structured Service Procurement in SAP?
Structured service procurement refers to the organized and detailed way of purchasing external services in SAP. Instead of just buying a service as a single line item (like “Consulting – 10 hours”), structured procurement uses a hierarchical service specification to define what exactly is being done, how much, and at what rate.
✅ Key Features of Structured Service Procurement:
| Feature | Description |
|---|---|
| Service Specifications | A detailed breakdown of services into tasks, quantities, units, and prices. |
| Outline Structure | Uses a hierarchical structure (outline levels) to organize services logically. |
| Service Master Records | Reusable service definitions (e.g., “Installation per hour”, “Wiring per meter”). |
| Service Entry Sheets | Actual performed services are confirmed using ML81N based on service specs. |
| Item Category “D” | In Purchase Orders, item category D = Service is used to trigger this process. |
🛠 Example:
Instead of:
- “Construction Work – $10,000”
You define:
- Earthwork – 50 m³ – $15/m³
- Foundation – 20 m³ – $100/m³
- Wall construction – 30 m² – $50/m²
This allows:
- Transparent billing
- Easier verification
- Better control and audit
🔄 Difference From Unstructured (Simple) Service Procurement:
| Feature | Structured | Unstructured |
|---|---|---|
| Service Detail | Detailed line items (specs) | Single general line item |
| Reusability | Uses service master records | Ad-hoc descriptions |
| Entry Sheet Validation | Based on service specs | Manual validation |
| SAP Material Type Used | SERV |
DIEN |