SAP MM Interview Question:

What is the difference bet standard & reference purchasing organization?

Submitted by: Administrator

You have to assign standard purchasing organization to your
specific plants.

but you have to assign std pur. org to reference purchasing
organization to avail conditions and release order's of
reference purchasing organization.

you can assign number of purchasing org. to reference
purchasing organization.
Submitted by: Administrator

Standrard P.Org : Can only be assigned to a single plant or we can say one plant can have only of standard P.Org.
Whereas it is not necessary to assign the reference P.Org to any plant or company code.
This reference P.Org acts as central P.Org.
Whenever any P.Org of one or more plants want to take refernece of a central cotracts which are done by reference P.Org, they can be assigned to this reference P.Org to copy the conditions from the central contract and later they can change the condidtions in accordance with their negotiations and agreed conditions with the vendor.
Submitted by: M Gopalkrishna