What is 'ship-to party' in SAP SD - Sales and Distribution?
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Component: SD
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Component Name: Sales and Distribution
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Description: A person or company that receives goods. The ship-to party may not necessarily be the sold-to party, the bill-to party, or the payer.
ship-to party - Details
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Term: Ship-to Party
Component: SD - Sales and Distribution
Definition: A ship-to party in SAP is a business partner or customer location where goods are physically delivered. It represents the destination address for shipments and can be different from the sold-to party, who is the customer placing the order.
How It’s Used: In real SAP projects, the ship-to party is used to specify the exact delivery location for sales orders, deliveries, and billing. For example, a company might sell products to a corporate customer (sold-to party) but ship the goods to one of their branch offices or warehouses (ship-to party). This distinction allows flexibility in logistics and billing processes.
Important Configuration:
- Define ship-to party as a partner function in the customer master using T-code VD02 (Change Customer) or XD02 (Change Customer Central Data).
- Assign partner functions (including ship-to party) in the sales document types via T-code VOV8.
- Maintain partner determination procedures in T-code VOPA to control how ship-to parties are assigned automatically in sales documents.
- Ensure correct address and delivery data are maintained for the ship-to party in the customer master.
ship-to party - Related SAP Terms
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