SAP S/4HANA
What is Procure to Pay (P2P)?
The end-to-end purchasing process from requisition through purchase order, goods receipt, invoice, and payment.
In SAP this covers MM purchasing, inventory management, logistics invoice verification, and FI-AP payment. Three-way match and GR/IR clearing are typical failure points. Variants include services, consignment, subcontracting, and stock transport orders.
Related terms
Purchase Requisition
An internal request to procure goods or services, created manually or by MRP.
Purchase Order
A formal request to a supplier to deliver goods or services under specified conditions.
Goods Receipt
The goods movement recording receipt of goods from a supplier or production, increasing stock.
Logistics Invoice Verification
The MM process for entering and checking supplier invoices against purchase orders and goods receipts.
Automatic Payment Program
The FI program that selects due open items and creates outgoing payments and payment media for suppliers or customers.
Three-Way Match
Validating that purchase order, goods receipt, and invoice agree on quantities and prices before payment.
End-to-End Process
A cross-module business process such as order-to-cash that runs from trigger to financial outcome.
More in SAP S/4HANA
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