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Background documentationProcurement for Public Sector (PPS) Locate this document in the navigation structure


Procurement for Public Sector (PPS) is tailored to meet the procurement needs of public sector organizations. PPS is based on SAP Supplier Relationship Management (SAP SRM), in many cases extending and augmenting standard SAP SRM functionality to meet the demands of public sector organizations. PPS offers cost savings and improved efficiency through seamless integration between the contract management and financial processes, while complying with international procurement policies and public regulations.


In SAP ERP, you have activated the Enterprise Extension Public Services (EA-PS). Depending on the required functions in PPS, you have activated a selection of the following business functions:

Required Function in PPS

Business Function in SAP ERP

Available From

Configurable item hierarchies



Shopping cart commitment



Pricing arrangements


EA-PS in SAP ERP 6.0, EHP 3

Period of performance


EA-PS in SAP ERP 6.0, EHP 3

Fast Pay


EA-PS in SAP ERP 6.0, EHP 3

Acceptance period


EA-PS in SAP ERP 6.0, EHP 3

Earmarked funds


EA-PS in SAP ERP 6.0, EHP 4

Smart number


EA-PS in SAP ERP 6.0, EHP 4

Account assignment distribution


EA-PS in SAP ERP 6.0, EHP 4

Incremental funding


EA-PS in SAP ERP 6.0, EHP 4

For more information about the individual business functions, see the documentation in the SAP ERP system.

In SAP SRM, you have activated the following business functions:


Extended Classic Scenario

PPS procurement documents are created in SAP SRM, and financial processes, such as goods receipt (GR) and invoice receipt (IR), occur in SAP ERP. Therefore, to be able to take advantage of PPS functionality, you must have SAP ERP installed on your system and activated the extended classic scenario. For more information about the extended classic scenario, see Technical Scenarios.

Note Note

The following technical scenarios are not supported for SAP PPS:

  • Classic scenario (prerequisite for the Service Procurement business scenario)

  • Standalone scenario

  • SAP SRM in one client in SAP ERP

End of the note.
SAP Document Builder

You can use SAP Document Builder to create and manage complex procurement documents that are frequently used in public sector organizations to meet legal requirements. SAP Document Builder is a content-driven, cross-application solution powered by SAP Net Weaver. You can create complex documents, utilizing business content from the procurement application, text clauses based on legal regulations, and definable rules. Within PPS, you can create contracts, RFx documents, and purchase orders with SAP Document Builder.

For more information, see the documentation for SAP Document Builder at   SAP xApps   SAP Document Builder  .

SAP Records Management

SAP Records Management is a document management system that allows you to store electronic records of purchasing documents, follow-on processes, and of related documentation. It also provides central access to these electronic records at any time. For example, SAP Records Management automatically creates a record for a purchase order. In the course of the procurement process, data from goods receipts and from invoices is added to the record. Moreover, the record also contains documentation complementing the procurement data, such as contractual agreements, e-mails, or correspondence with your supplier. Thus, SAP Records Management supports you in fulfilling your requirements regarding document storage, for example audit requirements.

Within PPS, electronic records can be created automatically for purchase requisitions, RFx documents, purchase orders, and contracts. The system provides navigation from procurement documents to the related electronic record, as well as from the record in SAP Records Management to the procurement document in the procurement application.

SAP Records Management is part of SAP NetWeaver. To use SAP Records Management for SAP SRM, you must use an SAP ERP system (minimum SAP ERP 6.0). SAP does not support that you use the SAP Records Management that is located in the SAP SRM system. For more information, see the Configuration documentation in SAP Solution Manager under   <project name>   SAP SRM 7.0   Basic Settings for SAP SRM   Cross-Application Settings   Integration with other SAP Components   Integration with SAP Records Management  


For an overview of the functions that are available with Procurement for Public Sector, see the following documents:

More Information

For the technical setup and system landscape information, see the Master Guide for SAP SRM, section on Procurement for Public Sector, at

For more information about SAP SRM, see SAP Help Portal at   SAP Business Suite   SAP Supplier Relationship Management  .

For more information about SAP SRM and PPS configuration information, see SAP Solution Manager.