Z FSC020_Col92 Processes in Biller Direct, Dispute, Credit and Collection Management

SAP AG 2009

FSC020 Processes in SAP Credit Management, SAP Biller Direct, SAP Dispute & SAP Collections Management

THE BEST-RUN BUSINESSES RUN SAP

© SAP AG 2009

FSC020Processes in SAP Credit Management, SAP Biller Direct, SAP Dispute & SAP Collections Management

SAP ERP

Version 92

Material number: 50094085

SAP AG 2008

Copyright 2008 SAP AG. All rights reserved.

No part of this publication may be transmitted or reproduced in any way and for any purpose without the express written permission of SAP AG. The information contained in this publication is subject to change without prior notice.

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Target Group

Project Managers

Key-User

Project team members

Sales Employees

Consultants

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Course Prerequisites

Required:

Fundamental knowledge of sales and financial processes

Recommended:

SAP ERP knowledge in the area of sales order processing and A/R Accounting

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Course Goal

This course will prepare you to:

Obtain an overview of SAP Financial Supply Chain Management (SAP FSCM) and define SAP's approach to developing this solution

Outline the SAP FSCM components SAP Credit Management, Biller Direct, Dispute Management, and Collections Management, and define how these components allow an organization to improve its efficiency within the financial supply chain

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Course Objectives

At the end of this course, you will be able to:

Explain the features and benefits of SAP FSCM and the SAP FSCM components SAP Credit Management, Biller Direct, Dispute Management, and Collections Management

Describe the functions, architecture options, and integration options of these SAP FSCM components

Describe how an organization can actually implement these SAP FSCM components in its sales order processing

Apply the basic steps of the SAP FSCM components listed above

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Course Overview

Preface

Unit 1 SAP Financial Supply Chain Management

Unit 2 SAP Credit Management

Unit 3 SAP Biller Direct

Unit 4 SAP Dispute Management

Unit 5 SAP Collections Management

Attachment IAttachment II

© SAP AG FSC020 1-1

SAP AG 2006

SAP Financial SCM – Course Overview

Preface








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SAP FSCM – Overview

Topics from this unit:

Definition and components of the Financial Supply Chain (FSC)

Optimization potential in the financial supply chain as a starting point for Financial Supply Chain Management (FSCM)

Introduction of the SAP FSCM components as a solution set for supporting or implementing financial supply chain management within an organization

Definition of the course content


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Definition of the Financial Supply Chain

… parallels the physical or material supply chain and represents all transaction activities related to the flow of cash from the customer‘s initial order through reconciliation and payment to the seller.

(from: Killen & Associates, 2001 / 2002)

„… a range of […] intra- and inter-company financial transaction-based functions and processes. They begin before buyers and suppliers establish contact and proceed beyond the settlement process.

(from: Aberdeen Group, 2001)

„“

“


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Financial Supply Chain Components

Qua

lify

Fina

nce

Pric

e

As s

ure

Inv o

ice

Rev

iew

Dis

pute

F u

l f i

l l m

e n

t

P ay

Source: Aberdeen Group, 2001

Financial Trade Enablement Financial Trade SettlementSupply Chain Management

Analysis & Cash ManagementAnalysis & Cash Management


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Financial Trade Enablement

Fina

nce

Pric

e

Qua

lify

A ssu

re

QualifikationSelectionAuthenticationCreditworthiness

check

FinanceFinancing the

transactionLending

PricingContractual negotiation regarding:

PricePayment and delivery

conditions)Dispute process

Order to Cash

Purchase to Pay

F u

l f i

l l m

e n

t

HedgingMinimize risks:Delay or failure topay/Acceptanceof damaged goodsCurrency fluctuationsInterest rate fluctuations

Cross Component Analysis Liquidity Management Risk Management

Selection,Authentication

Creditworthiness check:- Financial feasibility- Opportunities & risks

Financing check

Negotiation(Price, payment and delivery conditions)

Contract agreement(Agreement on price, payment and deliveryconditions)

This slide shows the processes before the Production of goods and services has actually been created.


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Financial Trade Settlement

Che

ck

Dis

pute

Inv o

ice

Pay

ReviewReview goods receipt/service providedReview invoiceReview the payments against the invoices

DisputeComplaint with a negative check result

PayInitiate payments with a particular payment method,possibly aggregatedProcess paymentsDebt recognition steps

Invoicing

Review invoice

Order to Cash

Purchase to Pay

Dispute

Resolution ofdisputes

CollectingPayment (initiation/processing of payments)

Payment (initiation / processing of payments)F

u l f

i l l

m e

n t

Cross Component Analysis Liquidity Management Risk Management

Invoice verificationInvoice issue

This slide shows the processes after the service has actually been created.


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Cash Flow Cycle as an FSC Key Figure

Time

Order the service

Storage period

Cash Flow Cycle

Service acceptance & invoice verification

Pay for service

Expected incoming payment (due date)

Service performance & invoice issue

Actual incoming payment

Payment targetRetention period of the payable

Period outstanding

Order to CashPurchase to Pay

The cash flow cycle describes the period in which capital is tied up from the time a material is purchased to the time the customer pays for the service. It is also known as the working capital cycle.

The following capital-related key figures affect the average duration of the cash flow cycle for an organization:

• Average payment target: describes the usual date of payment granted to the customer by the organization

• Average retention period of vendor liabilities (DPO – Days Payables Outstanding): describes the vendor credit (payment target and utilization) used on average by the organization

• Average period outstanding (DSO - Days Sales Outstanding): describes the average retention period of the receivables from deliveries and services (that is, the average vendor credit [payment target + payment delays] that the organization grants to its customers)


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Utilization/Assignment of vendor creditPayment delays/non-paymentsProcess conditioned payment delays

Optimizing the cash flow cycle

Optimizing the monitoring & analysis of the cash flow cycle

Optimizing the FSC processeswith regard to

Minimizing the process costsIncreasing customer satisfaction

Optimizing the Financial Supply Chain I

CostsMinimization

Financing capital tie-upwith cash flow cycle

Process costs

Using vendor credit as a demand mgmt instrument

LiquidityHedging

RevenuMaximization

Planning the cash flow cycle

FSC processes that directly affect customer satisfaction


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Optimization potentialBilling and reconciliation(resources, time, and so on) are expensive.Many invoices arein paper form.Invoices are paid slowly (high DSO).There is a large number of disputed invoices.It takes days before a disputed invoice is resolved.Many receivables are uncollectible.Processes and systems are not linked with those of the business partners.It is difficult to project the cash flow.

Utilization/assignment of vendor creditPayment delays/non-paymentsProcess-related payment delays



Optimizing the FSC processeswith regard to

Minimizing the process costsIncreasing customer satisfaction

Optimizing the Financial Supply Chain II

CostsMinimization

LiquidityHedging

RevenueMaximization

The potential for optimizing the financial supply chain is attributed to the following: • Logistical processes in organizations have been optimized over the past decades. Examples would

be the precise scheduling of deliveries, parallel product development etc. This has already resulted in significant cost savings and process optimization. Meanwhile the company's financial processes have remained unchanged, i.e. the processes in the areas of outstanding amounts and credit management are still executed as before. That means there is significant optimization potential with FSCM.


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Optimization potential in FSCExpensive billing and reconciliationHigh DSO, high non-payment rateDifficulty in projecting cash flow…



Optimizing the FSC processeswith regard to...

Definition of Financial Supply Chain Management

CostsMinimization

LiquidityHedging

RevenuMaximization

Financial Supply Chain Management is designed to optimize the financial supply chain with the aim of maximizing and retaining long-term profits.

Financial Supply Chain Management (FSCM) is therefore an integrated approachto increased transparency, control, and supervision of all processes linked to the flow of capital, the result of which is (for example) a reduction of working capital, an increase in cash flow projection, and a reduction of process costs.


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SAP Financial Supply Chain Management

SAP CRM

SAP SRM

In-House CashCash and Liquidity

Management

Biller Direct

Credit Management

Dispute Management Collections

Management

Treasury and Risk Management

SAP ERP

CashProjection

FinanceWorking Capital

DisputeCases PaymentsInvoicingManagement

Credit RisksManagementMarket Risks Collecting

The application portfolio of SAP Financial Supply Chain Management as part of mySAP ERP consists of different components, which can be used to optimize the financial supply chain either independently of one another or in combination with one another.


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SAP CREDIT MANAGEMENT

SAP Financial Supply Chain Management in Detail


Credit Management Biller Direct Collections

ManagementDispute Mgmt.

In-House Cash

Cash & Liquidity Management

Treasury & Risk Mgmt.

CashProjection


DisputeCases

PaymentsInvoicingManagement Credit Risks

ManagementMarket Risks

Collecting

Better credit control

Optimized terms and conditions for customers

Fewer doubtful or irrecoverable receivables

SAP Credit Management provides the tools for evaluating the creditworthiness of customers using internal rating policies and external credit data and enables fast and consistent credit decisions. Organizations can use SAP Credit Management to reduce their delays in payments, non-payments, and process costs, as well as to improve relations with their top customers.


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SAP BILLER DIRECT

Enhancement of conventional invoicing procedures through electronic invoicing, electronic payment by customers and integration of customer service and financial management




In-House Cash



Invoice/push model (e-mail notification)

Invoice/pull model

CashProjection



Credit RisksManagementMarket Risks

Collecting

BillerBiller

CustomerCustomer

CustomerCustomer

CustomerCustomer

SAP Biller Direct enables you to send electronic invoices to the invoice recipient using a link to a server provided by the biller, or directly as a file in an e-mail attachment.

SAP Biller Direct enables the invoice recipient to obtain an overview of his payables (open items, paid invoices, credit memos) to the biller, download invoice data or execute online payments.


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In-House Cash



CashProjection


DisputeCases



Collecting

SAP COLLECTIONS MANAGEMENT

Implementation of customer-specific receivables management through

Identification, prioritization and valuation of accounts

Proactive processing of receivables

Process optimization and automation for high volumes of open items

SAP Collections Management supports the identification, prioritization and valuation of accounts from the risk management and customer relationship perspectives. It continues to support the proactive processing of receivables and enables process optimization and automation for large volumes of open items.


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In-House Cash



CashProjection




Collecting

SAP DISPUTE MANAGEMENT

Increases customer profitability and decreases DSO by

Recognizing problems in the payment cycle at an early stage

Monitoring factors that influence the DSO

Minimizing price reductions and underpayments

SAP Dispute Management allows you to resolve disagreements between the vendor and the customer quickly and efficiently, taking into account the customer's existing financial obligations. It enables analysis of the problems and reasons for the structure of outstanding amounts and serves as an entry point for a company's quality management, reduction of the DSO and improved customer satisfaction.


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In-House Cash



CashProjection




Collecting

SAP IN-HOUSE CASH

Reduced costs of banking relationships through

Consolidation of banking relationships

Aggregation of transactions

Reduced costs for internal payments

SAP In-House Cash enables global organizations to manage their internal and external payment processes more efficiently.

SAP In-House Cash is set up at the company's headquarters as a virtual bank (In-House Cash Center) in which the branches run accounts; it enables the following:

• Control of payment transactions at regional and global level

• Cost-effective processing of internal payment transactions

• Reduced number of required bank accounts

• Optimized international payment transactions

• Automation and standardization of business processes

• Less capital tied up in the individual internal trading partners


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In-House Cash



CashProjection


DisputeCases



Collecting

SAP CASH AND LIQUIDITY MANAGEMENT

Better predictability and transparency of cash flows through

Planning and control of free cash flows

Reconciliation with bank accounts

Liquidity forecasts

SAP Cash and Liquidity Management integrates the treasury functions with electronic banking, Customer Relationship Management, and financial accounting processes. It enables improved liquidity, maximization of revenue from financial assets and simplified management of various currencies.


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In-House Cash



CashProjection



Credit RisksManagementMarket Risks Collecting

SAP TREASURY AND RISK MANAGEMENT

Administration of investments in securities and deposits through

Overview of financial statements and cash position

Management of interest and currency risks

Control and limitation of market risks

SAP Treasury and Risk Management enables you to finance and make high-revenue use of current assets as well as monitor and hedge the various market risks.


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Guarantees long-term planning security with a stable platform

SAP Enhancement Packages ensure continuous innovation

Minimizes the need for extensive upgrades

Precludes extensive changes in core ERP systems

New Release Strategy

6

Next


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Course Content

SAP CRM

SAP SRM

In-House CashCash and Liquidity

Management

Biller Direct

Credit Management

Dispute Management Collections

Management

Treasury and Risk Management

SAP ERP

CashProjection


DisputeCases


ManagementMarket Risks Collecting

The SAP FSCM components Credit Management, Biller Direct, and Dispute & Collections Management, are dealt within this course.


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SAP Financial SCM – Course Scenario

Integration with SAP Sales & Service, SAP Financials and SAP Analytics

Create sales orderCheck currency

Release sales order

Electronic invoicing

Processing payments

Clarifying complaints

Proactivereceivablesprocessing(collecting)

Processing customer payment

Enterprise – order to cash processing

Business partner

SAP Credit Management SAP Biller Direct SAP Dispute

ManagementSAP Collections

Management

Purchase order

Invoice / payments Complaint Communicating

the problemCommunication

about the receivable Payment

The SAP FSCM components Credit Management, Biller Direct, and Dispute & Collections Management, which are dealt within this course, are represented in the following B2C scenario (private customer scenario):

When creating a sales order (SO) for a customer in the SAP Sales and Distribution component (SAP Sales), the customer's creditworthiness (CW) is checked online using SAP Credit Management; subsequently the order is processed and released in SAP Sales if there is a block set by SAP Credit Management.

The sales order is then invoiced electronically using SAP Biller Direct; payments and complaints entered by the customer using SAP Biller Direct are processed using the integrated SAP Financial Accounting (SAP Financials) and SAP Dispute Management applications.

SAP Dispute Management is used to clarify customer problems that have been entered using SAP Biller Direct

SAP Collections Management is used for active communication regarding the overdue receivable that resulted from the sales order The receivables for the sales order are then cleared by means of a customer payment



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SAP Credit Management – Course Overview

Preface








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SAP Credit Management – Course Scenario


Create sales orderCheck currencyRelease sales

order

Electronic billing

Processing payments





Business partner



Management

PurchaseOrder




This unit examines the following component of the B2C scenario in question (private customer scenario):

When creating a sales order (SO) for a customer in the SAP Sales and Distribution component (SAP Sales), the customer's creditworthiness (CW) is checked online using SAP Credit Management; subsequently the order is processed and released in (SAP Sales) if there is a block set by SAP Credit Management.


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2 SAP Credit Management (Course Overview)

Preface


Unit 2 SAP Credit Management2.1 Overview2.2 Credit Data2.3 Process Integration2.4 Credit Rules Engine2.5 External Credit Information2.6 Reporting & Mass Change2.7 Integration of SAP NetWeaver BI and Portal2.8 Architecture






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2.1 SAP Credit Management (Course Overview)

Topics of this unit:

Definition of SAP Credit Management

Current optimization potential in credit management processes, and their particular significance for organizations with low yields

Strategies and process steps for managing the credit risk (requirements for the credit management process)

Functions and integration overview of SAP Credit Management


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Definition of SAP Credit Management

SAP Credit Management is a component of SAP Financial Supply Chain Management.

SAP Credit Management provides functions for integrating external credit information, scoring, categorizing new and existing customers on the basis of their credit data, and converting thisinformation into quick credit decisions.

SAP Credit Management allows organizations to monitor and control their customer's credit risk in one central system.

SAP Credit Management is particularly suitable for handling credit management processes in extremely distributed system landscapes.


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Optimization potentialAverage DSO in western Europe: 38 (Switzerland) to 85 days (Italy) Ineffective credit managementin distributed sales systemsInformation that is necessary for credit decisions is spread across the entire organization (sales, financial accounting, customer services)Customers are treated differently in different areas of an organization; large, international organizations in particular have difficulty in establishing and monitoring an exact, overall credit limit for their customersCommunication between sales, credit management, and finance departments is very time-consuming


Utilization/Assignment of vendor creditPayment delays/Non-paymentsProcess conditioned payment delays


Optimizing the FSC processeswith regard to:

Minimizing process costsIncreasing customer satisfaction

Optimization Potential in Credit Management Processes

CostsMinimization

LiquidityHedging

RevenueMaximization


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Profit Margin Versus Sales

Profit (in € m)

Sales (in € m)100

110

1

0.5

200 240

Sale must be increased

by €10m (10%)

Sale must be increased by €40m

(20%)

Sales €200,000,000Sales yield 5 %Profit €10,000,000Default probability 1 %Loss on receivables €2,000,000

Sales required for profit target before lossSales required for profit target after loss

Sales €100,000,000Sales yield 10 %Profit €10,000,000Default probability 1 %Loss on receivables €1,000,000

Organizations with a low profit margin suffer particularly from the default probability of receivables from their deliveries and services. Compensation for losses on receivables is much more difficult for organizations with low profit margins than for organizations with higher profit margins.


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Probability of Default Defines Hedge

External credit check

Risk class II

No payt target

Payt guarantee

Advance payment

Risk class III

Invoice

Risk class I

Probability of Default

Very good Very poor

10 %

20 %

30 %= Customer

Risk Class

Credit managers often classify their customers in risk classes, which are derived from the customer's score (represents the customer's credit status).

The risk class dictates how the customer's credit risk is controlled and monitored. It therefore controls the specification of payment conditions, including the allocation of payment targets and provision of collateral.


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Customer Sales Versus Credit Risk

Customer Sales

Credit Risk

High Sales Vol.

Low Sales Vol.

High Risk Low Risk

Customer A

Customer B

Customer C Customer D

Possible action for customer A: Greater use of collateral instruments

Increase the sales price

Possible action for (optimal) customer B:

Not use collateral instruments

Improve the customer relationship

Possible action for customer C:

Manually control the transaction

Change the dunning procedure

Continually monitor the credit risk

Possible action for customer D:

Reduced use of collateral instruments

Decrease the sales price


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Credit Management Process

Customer-related credit decision

Monitoring of warning signs+ Credit limit utilization+ Payment history+ Sales history+ External information

Customer's risk valuation

+ scoring + risk category

Internal and external customer information

Comparison of credit portfolio with the strategic goals of

the company

Customer-relatedcredit decision

+ credit limit

Information used in the entire company

(sales, financial department, …)

Securing the conclusion of transactions (e.g. advance payments)

with "risky customers"

Permitting generous payment conditions for

"low risk" or attractive customers


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Features

Credit limit managementImplementation of an organization-wide credit policyCentral management of credit limits in a distributed system landscape

Credit caseCentral, electronic creation of credit limit applicationsStatus and result monitoring of credit limit applications

Credit rules engineCategorization of customers using valuation rulesAutomatic calculation and assignment of customer-specific scores and credit limitsCheck rule for credit decisions that are relevant to an order (order check)

Credit informationInterface for external credit agenciesInput parameters for scoring formulasSAP BW content

Credit manager portalRole-based access to credit management information and analyses


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Integration Overview

SAP Financial Accounting(FI-AR/FI-CA)

SAP Financial Accounting(FI-AR/FI-CA)

SAP Distribution

SAP Distribution

SAP CRM SAP CRM

SAP SalesSAP Sales

External credit information (D&B)

External credit information (D&B)

Non-SAPsystem

Non-SAPsystem

SAP Credit ManagementSAP Credit Management

XI

Inbound

Outbound

Credit exposure update

Payment historyupdateRequestcredit limit checkResult of credit limit check

Master data


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Summary

SAP Credit Management is a component of SAP Financial Supply Chain Management.A high number of non-payments represents a significant threat, especially to organizations with a small profit margin.

Customers are rated according to their credit risk and their sales volume potential (scoring, risk class) in order to avoid non-payments, and also to improve the organization's relationship to particularly appealing customers.The result is a credit limit, on which the credit decision for the sales order is based (specification of the payment and delivery conditions).

SAP Credit Management enables automated scoring, risk class, and credit limit calculations using formulas; central management of these evaluations; integration of external credit information; and connection to SAP BW and SAP NetWeaver Portal.SAP Credit Management can be connected as a central system to various external systems (for example, SAP systems, non-SAP systems, or external credit agencies) using the SAP NetWeaver technology SAP XI (Exchange Infrastructure).


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Preface








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2.2 Credit Master Data


Concept and storage of credit master data in SAP Credit Management

Content of the credit profile within SAP Business Partner

Concept and content of the credit segments within SAP Business Partner


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Credit Data

SAP Business Partner (credit management role)

General dataCREDIT PROFILE

CREDIT SEGMENT data

Rule for scoring and credit limit calculation

ScoreRisk category

Check rule

Main credit segment 0Credit limitTotal credit exposurePayment history

Credit segment 1Credit limitTotal credit exposurePayment history


The credit data encompasses all business partner data that is necessary for credit risk monitoring of this business partner using the functions of SAP Credit Management. The SAP business partner is used in role UKM000 (BPartner credit management) to store this data in SAP Credit Management.

The credit data consists of credit profile data (credit-relevant data that is generally valid for the business partner) and credit segment data (credit-relevant data that is only valid for the business partner in a particular area (in the credit segment):

• The credit profile contains data such as the rule for scoring and credit limit calculation, scoring and, if necessary, external valuations of the business partners, the risk category, the checking rule for controlling the credit limit check for the business partner when creating the order, notes and other information on the business partner such as negative characteristics, credit security or collateral.

• The credit segment data encompasses all data that is necessary for the credit check when accepting a sales order (check of credit limit utilization and other criteria) and the resulting order-related credit decision (decision on order release and terms of payment).


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Credit Segment Concept

0000 0000 Main credit segmentMain credit segment

1000 1000 BU1 credit segmentBU1 credit segment

2000 2000 BU2 credit segmentBU2 credit segment

Business unit 1 total commitment: € 30,000

Business unit 1 total commitment: € 30,000Business unit 2 total commitment: € 20,000

Company total commitment: € 50,000

Business unit 1 credit limit: € 35,000

Customizing: Credit segment 1000 + 2000

Additive contribution for main credit segment

Company credit limit: € 60,000

Business partner FSCM00Business partner FSCM00Credit profileCredit profile

Business unit 2 total commitment: € 20.000

Business unit 2 credit limit: € 30.000

SAP Credit Management provides the option of maintaining several credit limits for one customer using credit segments (one credit limit for each credit segment). The credit segment corresponds to one or several credit control areas – a credit control area relates to a company code or sales area, for example, depending on its configuration. This credit segment is assigned to a main credit segment that can be used to define a total credit limit on company level for the customer in addition to the individual credit limits on "subsegment level". In the course of the credit limit check (for example creating an order)

The credit limit utilization of the customer in the corresponding credit segment (customer's credit limit in this credit segment minus customer commitments that are assigned to this credit segment) are checked along with

The credit limit utilization of the customer in the main credit segment (customer credit limit in the whole company minus commitments of the customer that have accrued in terms of the whole company).


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Credit Segment Data

Credit segment data for a business partnerData for checking the creditworthiness of this business partner for an order or delivery within this credit segment

CREDIT LIMIT AND CONTROLCredit limitTotal credit exposureCredit insurance, collateral...Credit block

PAYMENT HISTORY key figuresHighest dunning levelOldest open itemLast paymentFurther key figures for payment history, for example, DSO

Check of credit limit utilization and manual credit control Payment history check

When creating an order or delivery for a business partner, the corresponding credit segment data of this business partner is used to check

• The current credit limit utilization (credit limit – total credit exposure, including credit insurance, collateral), the manually set credit block (if present) and

• The payment history of the business partner

The credit segment data thereby forms the basis for the order-related credit decision for this business partner, which includes the release (or not) of the order (or delivery or non-delivery) and the characteristics of the payment and delivery condition including any payment terms (credit).

The information on the payment history of the business partner is summarized on the “Payment History Key Figures” tab and contains standard information on the highest dunning level, the oldest open item, the last payment and other key figures, such as the average period outstanding (DSO) or the highest turnover of the customer in the last 12 months.


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Relationships

Business partner FSCM00Business partner FSCM00Segment 0000Segment 0000Credit exp.: 1,000,000 Credit exp.: 1,000,000 €€

Is the higherIs the higher--level level credit management credit management account of...account of...

“Higher-Level Credit Management Account of...”

Business partner FSCM01Business partner FSCM01Segment 0000Segment 0000Credit exposure: 1,500,000 Credit exposure: 1,500,000 €€

Business partner FSCM02Business partner FSCM02Segment 0000Segment 0000Credit exposure: 700,000 Credit exposure: 700,000 €€Is the higherIs the higher--level level

credit management credit management account of...account of...

Total credit exposure: 700,000 €

Total credit exposure: 3,200,000 €

Total credit exposure: 2,200,000 €

You can maintain relationships between different SAP business partners. In SAP Credit Management you can use the following relationship types, among others (in each case to be maintained on the credit segment level):

• The relationship types Higher-level Credit Management Account of (FUKM001) or Lower-level Credit Management Account of (TUKM001) can be used to define customer hierarchies (up to max. 10 hierarchies). The credit exposure data of the lower-level credit accounts is added to the total of the respective higher-level credit account.

• The relationship type in Credit Management is managed by (TUKMSB0) can be used to assign the responsible credit analysts (per credit segment) for the business partner. The credit analyst must also exist as an SAP business partner (person) in the Employee role.

• The relationship type is in credit analyst group (TUKMSBG) serves to organize credit analysts in groups.


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Summary

Credit data is a component of SAP Credit Managementand is stored in SAP Business Partner. It consists of the credit profile

data and the credit segment data.

The credit profile is used for the central storage of customer data relevant for risk assessment (scoring, risk class, external rating, credit check rule).

Credit segments can map various areas of a company (such as sales areas, countries, company codes). They are used for area-specific administration of credit limits (and their utilization) and to store information on the payment behaviour of the customer. The corresponding credit segment data is used for credit checking when the order is created or on delivery within a company area.

By using relationships you have the possibility of creating customer hierarchies.


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Preface








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2.3 Process Integration

Topics of this lesson:

Updating the credit segment data with sales and financial accounting processes

Credit check during sales order entry or on delivery and goods issue posting as an integral component of the sales process

Cross-department processing of credit limit requests


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Credit segment data for a business partner

Updating Credit Segment Data

CREDIT LIMIT AND CONTROLCredit limit

Total credit exposureCredit insurance,

collateral…Credit block

PAYMENT HISTORYHighest dunning levelOldest open itemLast paymentOther key figures for paymenthistory, such as DSO

SAP SalesSAP SalesSales order Open items

SAP Fin. AccountingSAP Fin. Accounting

PaymentsBilling document


Delivery

This section examines the underlined component of the B2C scenario in question (private customer scenario):


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Automatic

Using report

UKM_TRANSFER_ITEMS

Updating Commitment Data


SAP Exchange Infrastructure (XI)

Tot. cred. exp.

TransferSAP SalesSAP Sales

Sales order Bill. doc. Open items


Increase cred. exposure

(cat.: “Order value”)

CREDIT SEGMENT Payment history

Delivery

Changecred. expos. cat.(cat.:“Delivery valu”)

Changecred. expos. cat. (cat.:“Billing valu”)

Changecred. expos. cat. (cat.: “Open items”)

When creating a sales order, a delivery and invoice in the SAP SD system, the corresponding sales commitment data in SAP Credit Management is automatically updated.

The update of the credit exposure in SAP Credit Management according to the data from the SAP accounting system must be triggered manually using a report (UKM_TRANSFER_ITEMS). Here, either all FI items that have not yet been transported to SAP Credit Management (normal mode) or all current FI items (rebuild mode) are transferred into SAP Credit Management.

Note: Updating the credit exposure when a delivery is created in SAP Sales & Distribution is only available as a standard function in SAP Sales & Distribution as of SAP ERP 6.0.


SAP AG 2006

Using report

UKM_TRANSFER_VECTOR

Payment History Update


SAP Exchange Infrastructure (XI)SAP Exchange Infrastructure (XI)

Total cred. exp.




Update of credit exposure data: cred. exp. value, cred. exp. cat., cred. exp. details

CREDIT SEGMENT Payment history

Delivery

Update of thekey figures for thepayment history

Add. FI data


SAP AG 2006


Total cred. exp.CREDIT SEGMENT Payment history

Configuration of the Update





Update of credit exposure data: cred. exp. value, cred. exp. cat., cred. exp. details

Delivery

Update of thekey figures for thepayment history

Add. FI data

SAP Sales BAdI: BADI_SD_CM

SAP FI-AR BAdI: UKM_FILL

SAP CR BAdI: UKM_COMMITMENT_PUSH

SAP CR BAdI: UKM_VECTOR_PUSH

The SAP BAdIs (Business Add-Ins) BADI_SD_CM and UKM_FILL are used to configure the integration of the SAP Sales system and SAP Financial Accounting. This configuration can be used to derive and calculate specific financial key figures for the update of the payment history in SAP Credit Management.


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Credit Check in SAP Sales

1. Create / ChangeSales order

5. Order credit statusaccording to check result:

released / blockedSales order / Delivery / Goods issue


Credit limit utilization / blockCREDIT SEGMENT Payment behaviour key figures

Check ruleCREDIT PROFILE

3. Credit check in accordance with check rule & send check result

2. If nec. callcredit check

1. Query risk class

Risk category

Critical fields

AUTOMATIC CREDIT CONTROL:Credit control area / credit group / risk categoryX

SAP Credit Management X

Warning? / error? X

Credit status: blocked? X

SAP SalesSAP Sales

4. Set order credit statusreleased / blocked

7. Update credit exposure


6. Send commitment if sales document is released

1. When creating / changing the sales order, creating / changing a delivery of posing a goods issue, firstly the current risk class of the customer is queried in SAP Credit Management.

2. The credit check in SAP Credit Management is called, if the automatic credit control in set accordingly in the SAP Sales components. (A corresponding configuration entry must be present for the credit control area of the current sales document which is assigned to the credit group of the sales document and the queried risk category).

3. SAP Credit Management conducts the credit check in accordance with the check rule stored in the credit profile and sends the check result back to the sales system.

4. The credit status of the sales document is set to "blocked" in the event of a negative result (depending on the configuration in the automatic credit control in the SAP Sales component).

Using report UKM_LOGS_DISPLAY, it is possible to display a detailed credit check protocol. The protocol shows every credit checking step for every credit segment according to the check rule stored in the customer master data. With transaction VKM1, it is possible to display and release blocked orders.

6. + 7. After the sales document is stored in the database (as released), the commitment is updated correspondingly in SAP Credit Management.

The credit check is performed synchronously, updating the commitment is asynchronous.


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Credit Limit Application (Credit Case)

The credit case is used to process credit limit applications in a structured manner across departments.

The credit case is based on SAP Case Management (SCASE).

A credit case contains:

Central customer master data and credit profile

Status

Organizational data

Documents

Orders

Notes

Inbox

One credit case can be assigned to several processors.

The credit case allows organizations to process credit limit applications, which are sent from sales and distribution to the credit management department.

A credit case can trigger a workflow. You simply add customer-specific fields to this.


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Integration with Credit Profile

Information transferred automatically from the credit profile to the credit limit application:

Scoring

Risk class

Current credit limit

Current liability

Current credit limit utilization in percent (%)

Information to enter manually:

Sales Person / Credit Manager Customer and credit segmentRequired credit limit Approved credit limitExpected sales Status

When a credit limit application is created, certain data is imported automatically into the credit case from the customer master record (see slide).


SAP AG 2003

For example, Credit Limit Application with Credit Case

SD employee creates credit limit application

(credit case)

Further informationrequired?

Credit case returned with finance data

Approval/Refusal of credit limit application

yes

Manual/Automatic assignment of

credit manager

Workflow sent to credit manager

Credit case forwarded to finance analyst

(Manual) Adjustment of credit limit in customer master

Customer exceeds credit limit

Finance analyst's workflow notification

Closure of credit limit application

SD employee's notification (workflow)

no


SAP AG 2006

Summary

The credit segment data in SAP Credit Management, in particular the commitment data and information on the customer's payment history, are updated by SD processes (order entry / delivery / billing) and accounting processes (posting open items / balancing open items). When using SAP sales and accounting components, the update can be described as follows:

Automatic update of the credit exposure in SAP Credit Management with order creation / delivery / billing in the SAP sales system

Regular updating of the credit exposure and key figures for the payment behaviour in SAP Credit Management with SAP FI information by means of program run (UKM_TRANSFER_ITEMS & UKM_TRANSFER_VECTOR)

As part of the credit check, when entering or changing an order, entering or changing a delivery or when posting goods issue in the sales system it is possible to check online the credit limit utilization, the payment behaviour and any blocks present for the customer in SAP Credit Management. Depending on the check result, the credit status of the sales document can be set to released or blocked.

Credit limit requests can be structured electronically and processed in a cross-department way using SAP Credit Case.


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Preface








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2.4 Credit Rules Engine


Formula editor: fields and functions, enhancement possibilities using BAdIs

Creation of creditworthiness and credit limit formulas using the formula editor

Rule for the credit check

Events and Follow-Up Actions


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Risk Evaluation Control

SAP Business Partner (credit management role)

General dataCREDIT PROFILE

CREDIT SEGMENT data

Rule for scoring and credit limit calculation

Score intervalRisk category

Check rule

Main credit segment 0Credit limitTotal credit exposurePayment history



Credit standing formula

Credit limit formula 0



Risk cat. department

Definition of check steps


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Business PartnerIndustryRisk classCredit groupCountry

External ratingAgeAnnual salesGRADE2RANKSTRING2NUM

Parameters Functions

Formula

Industry = "IT" ANDCountry = DE

Calculation steps

- Scoring for industryAdd 10 points to the score

- Scoring for credit groupAdd 15 points to the score

- Negative list checkEnd of valuation

- Scoring for external ratingFinal score = 25

Condition

Substitution

Exception

Formula editor

A scoring formula or credit limit formula is derived from several calculation steps. A formula step can be:

A condition (checking the value)

A substitution (setting scoring value)

An exception (ignoring the calculation)

A formula uses:

Parameters (values filled at runtime)

Functions

You can enhance functions and parameters by implementing customer-specific BAdIs.


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Scoring Formula

The scoring rules define the way a customer is scored. The result is a creditworthiness value or score.

You define the scoring rules in the formula editor using the following input parameters:

SAP Business Partner – Master Data (preconfigured field selection)

Input parameters can be enhanced by BAdI implementation

Result of the scoring formula:

Creditworthiness value/Score (numeric or alphanumeric)

"Valid to" date

Risk class determined

A valuation log is available to clarify the results.


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Credit Limit Formula

The credit limit formula determines how the credit limit proposed by the system is calculated.

You define the credit limit formula in the formula editor using the following input parameters:

SAP Business Partner – Master Data (preconfigured field selection)

Input parameters can be enhanced by BAdI implementation

Result of the credit limit formula:

Credit limit (numeric or alphanumeric)

"Valid to" date

A credit limit formula can be assigned for each rating procedure and credit segment.

A calculation log is available to explain the credit limit proposal.


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Check Rule

The check rule determines the steps that are taken to check the creditworthiness of a customer when a sales order is created, and leads to a credit decision about the order.

Available check steps:

Dynamic/Static credit limit check

Check for collateral, credit insurance

Check for the maximum dunning level

Check for the oldest open item

Check for an order block set centrally by credit management

Check for key figures for the customer's payment behavior (for example, DSO)


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Events and Follow-Up Actions

Applications(CRM, Sales)

SAP Credit Management

Master data

changed

Credit eventing

SAP Workflow

Billing Financials

Credit limit check

Events

Credit limit exceededCredit master data changedCredit score changedCredit limit changedExternal rating changed…

Functions for structuring a customer-specific process chain in SAP Credit Management.

Credit limit monitoring

Credit limitmanagement

Follow-Up ActionsTrigger process steps

Recalculate score/credit limitRedetermine risk class

Trigger internal workflowApprove credit limitCheck external rating

Trigger external applicationsBlock customer account


SAP AG 2006

Summary

You create scoring and credit limit formulas using the formula editor.Parameters (for example, business partner data) and functions are used as input parameters.

One scoring formula and several credit limit formulas (for each credit segment) are assigned to the rule for scoring and credit limit calculation, which is assigned to each customer in the credit profile (SAP business partner). The risk class is determined directly from the score.

In Customizing, specific score ranges that do not overlap are assignedto each risk class. In Customizing for the check rule, the system determines the steps that are taken to check the creditworthiness of a customer when a sales order is created. This may include (for example) the static check of the credit limit or the check of the highest dunning level.

You can set up customer-specific process chains in SAP Credit Management using events and the follow-up actions that they trigger.


SAP AG 2006


Preface








SAP AG 2008

2.5 External Credit Information


Connecting to credit agencies using XI or XML

Integrating external credit agency information and the creditworthiness key figure from SAP FI-CA into the business partner master data

Integrating the external ratings into the scoring formula


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Integration of External Credit Agency

SAP Business Partner-----

SAP Business Partner-----

System X

XI


System Y

MailboxMailbox

1 Entering credit agency data manually (in SAP Business Partner) triggers request for new customers to rate.

2 Monitoring information from the credit agencies about particular customers is read automatically.

3 Credit report from the credit agency is saved in SAP Business Partner.

4 Values from the credit report (such as external ratings or financial statement data) are imported into SAP Business Partner fields.

3 4

Ext. credit

agencies

Ext. credit

agencies

2

1XI

1: A credit report can be requested directly from the customer master of the SAP Credit Management server. The request, including the customer ID, is sent to the credit agency over the Internet. The credit agency then returns the relevant credit report.

2. Credit agencies offer organizations a "monitoring service", which means that if relevant customer data changes, the agency sends a credit report to the organization without the organization having requested it explicitly. By configuring the XI, the scenario occurs as follows: The credit report is sent to a specific mailbox belonging to the organization; this is then scanned periodically using SAP XI, and the report is read automatically in SAP Credit Management.

3: The credit report (XML document) is saved in the customer master in SAP Credit Management.

4: In addition, the system reads the external rating contained in the credit report, which is then saved in the customer master (credit profile: external ratings). By enhancing the XML interface and configuring SAP Business Partner, you can import other data (such as financial statement data) and fill the fields for SAP Business Partner automatically.

Each XML-based information provider can be connected to SAP Credit Management. In future, the specific XML mapping of SAP partners to be connected will be made available as XI content.


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Integrating External Credit Agencies II

If you do not have the customer ID, you can use FSCM Credit Management to send a request for the customer ID to the XML interface of the credit agency before requesting the credit report.

You can start this request directly from the master data of the business partner.

If the business partner is found in the database of the credit agency, the corresponding customer ID is transferred and can be saved directly in the business partner master.


SAP AG 2003

For example, D&B/Credit Reform Integration

Real time

SAP Credit SAP Credit ManagementManagement

SAP Enterprise SAP Enterprise PortalPortal

Credit Manager Portal


Credit agencyD&B

Real timeXML

D&BCredit reform


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Replicating creditworthiness:Mass activity in FI-CA system (FPCM2)

Importing Creditworthiness from SAP FI-CA

FI-CA SAP Credit Management

FI-CA creditworthiness External rating

ScoreCalculation

Score

FI-CACreditworthiness

Credit score from SAP Credit

Management

+

The FI-CA creditworthiness is treated as an external rating in SAP Credit Management. You must activate integration to SAP Credit Management in the FI-CA system.


SAP AG 2006

Integration of external valuations in the creditworthiness formula

D&BCredit-reform

Int. ranking

1A1

1A2

1A3

1

2

3

10 < x

20 < x < 30

30 < x

1. Definition of an internal ranking for external rating (Customizing).

2. Check whether the external rating is available.

IF RATING (4711, ‘D&B’) = ‘ ’

3. Conversion of the external rating into the assigned internal ranking (rating conversion function).

4. Calculation of the scoring based on the internal ranking.


SAP AG 2003

Summary

Each XML-based information provider can be connected to SAP Credit Management.

When you connect credit agencies to SAP Credit Management, you can send credit reports that have or have not been requested by the organization to the organization's SAP Credit Management system when the customer data is changed (monitoring). The credit report is then saved automatically as a document in SAP Business Partner, and the external rating from the report is stored as an external valuation in the SAP business partner's credit profile.

The key figure for a customer's creditworthiness, which is available in SAP Contract Accounts Receivable and Payable, can be imported as an external rating into the credit profile of the corresponding SAP business partner in SAP Credit Management.

The external rating contained in the credit profile can be taken into account when calculating the score (use of the internal rating within the formula configuration).


SAP AG 2006


Preface








SAP AG 2006

2.6 Reporting & Mass Changes


List displays, such as displays for credit profile data, credit segment data, credit limit utilization (warning list and details)

Mass changes, such as, changes for assigning valuation procedures, credit standing and risk category calculation, credit limit calculation and requesting external credit information


SAP AG 2003

Reporting I

UKM_MASS_DISP1 – Report for credit profile data:Risk class, score, rating procedure, validity date

UKM_MASS_DISP2 – Report for credit segment data:Credit limit (current/calculated) + validity dateBlock in SAP Credit ManagementCustomers to monitorResubmission dateAssigned credit analystPlus all UKM_MASS_DISP1 fields

UKM_MALUS_DSP – Report for credit limit utilization:Credit exposure (%)Credit limit still available/Amount by which credit limit exceeded (absolute)Customer credit groupCredit analyst or groupResubmission dateBlock in SAP Credit Management

SAP recommends that you work with the ALV (ABAP List Viewer) layouts so that the system does not display unfilled fields.

You can use the report for credit limit utilization to set threshold values that trigger a warning list (for example, of all customers with a credit exposure greater than 80%).


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Reporting II

UKM_BP_DISPLAY – master data listDisplay of general and credit-specific business partner master data Display of due or overdue items on a key date in a due and overdue selection grid

UKM_VECTORS - display / correction of payment behavior summaryUKM_COMMITMENTS – display / correction of commitment data

Display of commitments, for example, by commitment type or credit horizonDetail view of commitment items (for example, open items, open orders) Due date for open items and orders

UKM_LOGS_DISPLAY – protocol for incorrect credit checks and commitment updates

Display of all conducted steps of the order-related credit check incl. the result of each stepDisplay of all errors that occurred during the commitment update (for example customer not yet created in SAP Credit Management)Protocols can be deleted or archived

UKM_MASS_SHOW – display of extractsDisplay of extracts written by mass updates


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Mass Changes

UKM_MASS_UPD4:for defining the rule in the Credit Management data of the business partner

UKM_MASS_UPD3:for updating the credit limit in the credit account

UKM_MASS_UPD2:for updating the score of the business partner

UKM_MASS_UPD1:for updating the external credit information for the business partner

When you display the change results, the system displays the changed entries only.


SAP AG 2003

Summary

Various reporting and analysis options are available in SAP Credit Management, such as creating warning lists, analyzing liability data for one or more customers, or logging the last order-related credit checkfor a customer.

Various mass changes are available in SAP Credit Management, such as calculating the creditworthiness, risk class, or credit limit for the first time for a number of customers.


SAP AG 2006


Preface








SAP AG 2006

2.7 Integration of SAP NetWeaver BI and Portal


BI extractors for SAP Credit Management

BI Business Content for SAP Credit Management: Info Provider & Queries

BI analysis process: Credit standing calculation for SAP Credit Management by means of SAP BW

SAP NetWeaver Portal: Architecture overview, availableSAP Credit Management iViews (Credit Manager Portal)


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BI Extractors


General Master Records

InfoProvider and Queries

SAP Business Information Warehouse

SAP ERP Sales & Financials

SAP BusinessPartner

Credit ProfileCred. Exp. Data

Payment HistoryOrder History


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BW Content

InfoProviders (0CDM*)Credit profile

Credit segment data

Credit profile history

Credit Limit History

Total Exposure

Collective Processing

Queries (0CDM*)Risk Class Revaluation/Simulation Analysis

Credit profile analysis

Credit limit analysis

Risk class analysis

Credit limit history (daily/monthly basis)

Risk Class/Score history (daily/monthly basis)

Credit Exposure by Country

Early Warning List

Portfolio


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SAP BW Analysis Process


SAP BW

1. Data transfer to BW(periodic)

2. Analysis process (0CR_AP0)

Result: Score

3. Transfer Score to SAP Credit Management (UKM_MASS_UPD2)

Score

Score

FI

CRM

CR

Process Analysis Parameters (0CR_AP0)

DunningPayment arrearsUnjustified disputesDSO

Process Analysis Parameters (0CR_AP0)

DunningPayment arrearsUnjustified disputesDSO

Scoring in BW


SAP AG 2006



SAP BW

Credit Manager PortalCombines information from different source systems

Users do not have to log on to different systems.

iView: blocked ordersiView: blocked orders

iView: Early Warning ListiView: Early Warning List

iView: Credit Limit HistoryiView: Credit Limit History

iView: master dataiView: master data


Cust. analysis Strategic analysis

mySAP ERP Sales

By using Single Sign On (SSO) in Enterprise Portal 6.0, you can display information from different source systems on a single Web page. External services based on HTML can be included in the credit manager's role (for example, DUNS number search).

You can define your own iViews in addition to those delivered in the Business Package (BP). The BP for SAP Credit Management 60.1 is available at https://www.sdn.sap.com/sdn/contentportfolio.sdn and contains the following iViews:

Credit Exposure by Country (Absolute)

Credit Exposure by Country (Percentage)

Portfolio

Risk Profile

Credit Limit History

Early Warning List

Business Partner Master Data


SAP AG 2003

Summary

SAP BW allows you to analyze credit management data using requests available in the BW content for SAP Credit Management, as well as to calculate complex creditworthiness formulas based on data from SAP Credit Management, the result of which is returned to SAP Credit Management.

Using SAP Enterprise Portal 6.0, a personalized Web page can be set up for credit managers (business package for SAP Credit Management 60.1). Credit managers can then use this page to access information and analyses relevant for the credit decision from different source systems, without having to log on to the individual systems.


SAP AG 2006


Preface








SAP AG 2008

2.8 Architecture


Architecture Scenarios (dependent on the release of the integrated systems)


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One System – Scenario

SAP Credit Management 6.0SAP Credit Management 6.0(Financial Basis 6.0)(Financial Basis 6.0)

SAP ERP 6.0SAP ERP 6.0(ECC 6.0)(ECC 6.0)

WebAS 7.0 WebAS 7.0

Exchange Infrastructure 7.0 Exchange Infrastructure 7.0 (incl. XI Content)(incl. XI Content)

BW 3.5BW 3.5 EP 6.0EP 6.0

BP BP Credit Credit

Manager Manager PortalPortal

BW BW Content Content

3.5.23.5.2

BI System*BI System* Portal Server*Portal Server*

* optional* optional

RFC


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Multiple Systems – Scenario

SAP ERP 2004/6.0SAP ERP 2004/6.0(ECC 5.0/6.0)(ECC 5.0/6.0)

ororSAP R/3 EnterpriseSAP R/3 Enterprise

ororSAP R/3 4.6CSAP R/3 4.6C

ororSAP FISAP FI--CA (from 4.72)CA (from 4.72)

BI System*BI System* Portal Server*Portal Server*


WebAS 7.0WebAS 7.0

Exchange Infrastructure 7.0 (incl. Exchange Infrastructure 7.0 (incl. XI Content)XI Content)

BW 3.5BW 3.5 EP 6.0EP 6.0

BP BP Credit Credit



3.5.23.5.2

RFC


SAP AG 2003

SAP Credit Management – Unit Summary

You can integrate SAP Credit Management as a single system or multiple system landscape, regardless of the SAP Sales and Distribution, or SAP Financial Accounting systems that you use.

In all cases, SAP Credit Management is integrated into other systems using SAP XI.


Exercises 1

Unit: SAP FSCM Credit Management – Credit Master Data

At the conclusion of this exercise, you will be able to:

Create a credit profile for a customer.

Assign a credit limit to a customer.

Credit-relevant master data is maintained and stored in the SAP business partner. This contains the scoring, risk class and external valuations for the customer. Different credit limits can be assigned to the customer for each credit segment.

Task 1: Setting up credit profile data for a business partner

a) First determine the general business partner (role 0000) defined in the system with business partner number FSCM##. Display the business partner in the system.

b) Now create this business partner in the role for credit management (UKM000 Credit Mgt Business Part.).

Now maintain the credit profile data. Use the rule for existing private customers. The score should be determined by the system automatically (“Calculate with formula”).

c) Determine the customer’s score.

d) Which risk class is suggested by the system?


e) Now you want to get an overview of what happens to the system data if you are aware that the business partner has made an affidavit about his assets and you store this data in the system. You have found out that the business partner made an affidavit 7 days ago.

Activate the “Affidavit” and have the system calculate the score again. Determine the extent to which the level of the customer’s score has changed.

f) Now remove the “Affidavit” entry and make one or two of the following settings:

Set the region to Baden-Wuerttemberg, Bavaria, Saarland or Lower Saxony

Change the occupation to “001”

Change the sex to “Female”

Change the date of birth so that the customer is older than 25

Change the customer’s nationality

Afterwards, calculate the score again. Have your settings affected the system calculation?

g) Now reverse your changes. Calculate the score again and save the customer data (the score should now be 50 again and the risk class should be “Medium Default Risk”).


Task 2: Setting up credit segment data for a business partner

a) First display the credit segment data of the business partner FSCM## (credit management role) in change mode. Now you want to determine the credit limit from the main credit segment. Initiate a system calculation for this. How high is the credit limit calculated by the system in the main credit segment?

b) You want to release the credit limit calculated by the system. Perform the corresponding action in the system.

c) You are interested in the credit limit of IDES AG. Calculate the credit limit for the credit segment IDES AG. How high is the credit limit calculated by the system in this segment?

d) Now release the credit limit calculated by the system.

e) Save all of the data and exit the master data maintenance area.



Solutions 1

Unit: SAP FSCM Credit Management –

Credit Master Data

Task 1: Setting up credit profile data for a business partner

a) First determine the general business partner (role 0000) defined in the system with business partner number FSCM##. Display the business partner in the system.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Credit Management Master Data Business Partner Master Data

Enter the following values:

Field Name or Data Type Value

Business Partner FSCM## (where ## is your PC or group number)

Choose Enter.

The address data for Mr. Felsmann## who lives in Berlin is displayed.


b) Now create this business partner in the role for credit management (UKM000 Credit Mgt Business Part.).

Use the menu Business Partner Change or the corresponding icon to switch from display to change mode. Enter the following values:


Change in BP role Credit Mgt Business Part. (UKM000)

Choose Save (“disk” icon) in the standard toolbar.

Now maintain the credit profile data. Use the rule for existing private customers. The score should be determined by the system automatically (“Calculate with formula”).

Switch to the “Credit Profile” tab page and enter the following values.

GENERAL DATA

Credit Profile – Scoring screen area

Rules Rule for Existing Private Customers

Score Click on the “Calc. with Formula” button (calculator symbol): the score is calculated automatically by the system

Valid To Automatically suggested by the system

Risk Class Automatically suggested by the system

c) Determine the customer’s score.

The score is 50.

d) Which risk class is suggested by the system?

The risk class is “Medium Default Risk (C)”.


e) Now you want to get an overview of what happens to the system data if you are aware that the business partner has made an affidavit about his assets and you store this data in the system. You have found out that your business partner made an affidavit 7 days ago.

Activate the “Affidavit” and have the system calculate the score again. Determine the extent to which the level of the customer’s score has changed. On the “Credit Profile” tab, scroll to the creditworthiness data. Set the “Affidavit” checkbox and fill the data field with today’s data minus 7 days. Click again on the “Calc. with Formula” button (calculator symbol) in the Scoring area. The score is calculated again by the system.

The score is now “0” and the risk class has now changed to “Very High Default Risk (E)”.

f) Now remove the “Affidavit” entry and make one or two of the following settings:

Set the region to Baden-Wuerttemberg, Bavaria, Saarland or Lower Saxony

Change the occupation to “001”

Change the sex to “Female”

Change the date of birth so that the customer is older than 25

Change the customer’s nationality

Afterwards, calculate the score again. Have your settings affected the system calculation?

Yes. The settings result in an increased score and eventually also to an increase in risk class.

g) Now reverse your changes. Calculate the score again and save the customer data (the score should now be 50 again and the risk class should be “Medium Default Risk”).

The score should be at 50 again and the risk class set to medium default risk (C).

Choose Save.


Task 2: Setting up credit segment data for a business partner

a) First display the credit segment data of the business partner FSCM## (credit management role) in change mode. Now you want to determine the credit limit from the main credit segment. Initiate a system calculation for this. How high is the credit limit calculated by the system in the main credit segment?





Display in BP role Credit Mgt Business Part. (UKM000)

Choose Enter.

The address data for Mr. Felsmann## who lives in Berlin is displayed.

Make sure that you are in the change mode of the master data.

Click the “Credit Segment Data” button in the application toolbar.



Credit Segment Main Credit Segment (0000)

Now click the “Limit Calc. with Formula” button (calculator symbol) in the “Credit Limit” area on the “Credit Limit and Control” tab.

The “Limit Defined” checkbox is set automatically by the system and EUR 100,000 is displayed as the recoverable amount for today’s date.

The credit limit calculated by the system in the main credit segment is therefore EUR 100,000.

b) You want to release the credit limit calculated by the system. Perform the corresponding action in the system. Release the calculated credit limit by clicking the “Release Limit” button (green checkmark symbol).

The system message “Credit limit increased” appears in the standard toolbar.

c) You are interested in the credit limit of IDES AG. Calculate the credit limit for the credit segment IDES AG. How high is the credit limit calculated by the system in this segment?




Credit Segment IDES AG (1000)

Now click the “Limit Calc. with Formula” button (calculator symbol) in the “Credit Limit” area on the “Credit Limit and Control” tab.

The “Limit Defined” checkbox is set automatically by the system and EUR 50,000 is displayed as the recoverable amount for today’s date.

The credit limit calculated by the system in the main credit segment is therefore EUR 50,000.

d) Now release the credit limit calculated by the system.

Release the calculated credit limit by clicking the “Release Limit” button (green checkmark symbol).

The system message “Credit limit increased” appears in the standard toolbar.

e) Save all of the data and exit the master data maintenance area.

Choose Save (“disk” icon) in the standard toolbar and exit the display by selecting “Back” (green arrow symbol) in the standard toolbar.



Exercises 2

Unit: SAP Credit Management – Process Integration


Transfer the financial accounting information for a customer regarding open items (Update Commitment) and key figures for payment history to SAP Credit Management.

Check the results of the credit check for incoming orders and release blocked orders.

Understand and perform updates of liability information in SAP Credit Management from the SAP sales component and SAP financial accounting.

SAP Credit Management is integrated in sales and distribution and financial accounting processes. This integration makes it possible to check incoming orders with respect to the creditworthiness of the payer in real time. Open items from accounting systems are sent to SAP Credit Management and are used to update the liability data of a business partner.

Task 1: Transferring liability data from the financial accounting system to SAP Credit Management

a) First, you would like to ensure whether liability data has already been updated from the

sales / financial accounting systems in the business partner FSCM## you have created in SAP Credit Management. You check this in the master record for your business partner FSCM##.

b) Now you would like to get an overview of what liabilities and payables are already present (open items + credit notes) for the business partner FSCM## in company code 1000. (Business partner FSCM## corresponds to customer FSCM##).

Check this using the line item display of SAP Accounts Receivable Accounting.

What is the amount of the financial obligation (balance) of the business partner as shown in the item line display?


c) Now you would like to apply the liability data from accounts receivable accounting (only the data for your customer FSCM##!) in the business partner data in Credit Management. Use a suitable report for this. First conduct a test run and have the details displayed in an output list.

Check the items that are displayed in the output list. Do the items to be sent in the output list correspond with the items shown in the accounts receivable accounting line item display?

Now start the report as an update run.

d) Check the updated liability data in the credit segment data of your business partner FSCM## for credit segment 1000.

Does the updated amount from credit segment 1000 in the “Total Cr. Expo.” field correspond with the balance transferred from company code from accounts receivable accounting? Using the information button, display the individual items which make up the total credit exposure.


Task 2: Transferring the payment behavior key figures to SAP Credit Management

a) In the business partner FSCM## you have created in SAP Credit Management, no payment

behavior key figures have been updated from the finance system. You check this in the master record for your business partner FSCM## in the data for credit segment 1000.

b) Check the line item display of your customer FSCM## in SAP Financial Accounting again. What information can be gleaned from the display with regard to the payment history of your customer?

What is the oldest open item (document number, amount, due date)?

_______________________________________________________________

What was the last payment of the customer (document number, amount, due date)?

_______________________________________________________________

c) Use a report (for updating the payment behavior key figures) to transfer the key figures of the payment history from accounts receivable accounting to the business partner data in SAP Credit Management (only the data for your customer FSCM##!). First conduct a test run and have the details displayed in an output list.

Check the data that is displayed in the output list. Does the data correspond to the information you received in the line item display of accounts receivable accounting?


d) Now check the updated payment behavior key figures in the credit segment data of your business partner FSCM for credit segment 1000.

Does the updated data, for example, the oldest open item and the last payment correspond with the data transferred from accounts receivable accounting?


Task 3: Credit check using SAP Credit Management when entering a sales order in the SAP sales components

When entering a sales order in the SAP sales accounting a credit check (credit limit check and check of other credit-relevant data) is conducted automatically by SAP Credit Management. In the event of a negative check result, a warning message can be output and the order blocked.

a) The credit check is performed using the check rule stored in the SAP business partner. In the credit profile data of your business partner FSCM## (role Credit Mgt Business Part.) store the standard check rule according to which all check steps are active and a static credit limit check is performed.

b) To ensure that the credit check returns a negative result during the subsequent entry of an order for your customer FSCM##, block your business partner for further vendor credit in credit segment 1000 with the block reason “Manual Block”.

c) Your customer FSCM## orders a monitor from you today (material M-12). In the SAP sales system create a cross-division standard order within the Frankfurt sales organization for your business partner who has been specified as the end customer with the following data:

Sold-to party FSCM##

Purchase order number: 050708##

Purchase order data: today’s date

Requested delivery date: today’s date

Material: M-12

Order quantity: 1

Save your entries using the button in the standard toolbar.

When saving the order, the credit check is run automatically in SAP Credit Management. The block you set in the credit master data of the customer results in a negative check result. This result is displayed by a system message.

Confirm the system message with “Enter”. The status bar shows the message "Standard order xy has been saved.”

Note the order number__________________________.


d) Navigate within the display of the sales order you created to the status data of the order via Goto Header Status.

What is the credit status of the order?

Is the order blocked for further processing?

e) As an employee of a credit department you wish to gain an overview of which credit checks have resulted in a negative check result today. Check the log of the credit checks which have taken place for your customer FSCM## in credit segment 1000. Open the credit check log of the sales order you have just created and have a look at the check messages assigned to it.

Which check step caused the negative check result?

f) Display the credit management data for your customer FSCM## and check if a corresponding commitment has been updated for your customer in credit segment 1000 in the (blocked) order you created.

In addition, also check if there have been any changes in the control data in credit segment 1000 of your customer FSCM##.

g) Display all blocked sales documents for your customer in the SAP sales component. The sales order you created is displayed in the list – release it manually.

h) Now display your released order again and check the status of your order again – what is the credit and overall block status of your order now?

i) The manual release of the order in the SAP sales component has resulted in an update of the (gross) order value of the corresponding liability value for the customer FSCM## in SAP Credit Management. Display the “Total Cr. Expo.” field and the liability details in the segment data for credit segment 1000 of your customer FSCM## and check the liability update.

Which credit exposure category does the created order have in the liability data in SAP Credit Management?


Task 4: Delivery and billing of the sales order

In order for the customer to be billed for the order, the ordered goods must be taken from the warehouse, packaged and checked out of the warehouse and dispatched. The resulting billing in the SAP system is accompanied by an automatic transfer into financial accounting (generation of a corresponding open item).

These actions trigger a corresponding change in the credit exposure category for your order (until now credit exposure category: “100 – Open Orders”) in SAP Credit Management.

a) The material ordered by the customer is to be shipped from the shipping point in Dresden. Create an outbound delivery with a reference to your sales order.

Save the delivery with the data suggested by the system by using the button in the system toolbar. The status bar shows the message “Delivery xy has been saved.”

Note the number of the delivery __________________________.

b) The material ordered by the customer must now be removed from the warehouse in Dresden (warehouse number 012) before it is packaged and can leave the warehouse. Create a transfer order with a reference to the delivery you created.

Save the transfer order with the data suggested by the system by using the button in the system toolbar. The status bar shows the message “Transfer order XY has been saved.”

Note the number of the transfer order __________________________.

c) Now the order to be delivered can be packed and shipped. To do this, change the outbound delivery that you created (using the delivery number you noted).

Check if the material for your delivery has been taken correctly from the warehouse.

In the menu choose the function Edit Pack and package your material with packaging material “T-ZS401”.

d) After saving the delivery, you are returned to the initial screen for changing deliveries. Click the “Post Goods Issue” button.

e) Display the detail view of the liability data of your customer FSCM## in credit segment 1000.

Which credit exposure category does the order of your customer have in SAP Credit Management?


f) After your delivery has left the warehouse, an invoice must be creating for creating a corresponding billing document. When creating the invoice, confirm the data suggested by the system and save your entries.


g) When billing your order, an open item is automatically created for the invoice in SAP Financial Accounting. Display your order and navigate to the display of the follow-on document using Environment Display document flow.

Note the document number _______________ and the amount _______ of the generated open item.

h) Display all open items for your customer FSCM## in SAP Accounts Receivable Accounting.

Does the list of open items contain the open items generated by the system for your order?

i) The liability information for the order of your customer FSCM## is forwarded by the billing for the order and the generation of an open item from the SAP sales component to SAP Financial Accounting. Unlike the liability data from the SAP sales component, the liability information from SAP Financial Accounting is periodically transferred to SAP Credit Management using a report. In the same way as in task 1(c) transfer the liability data from SAP Financial Accounting to SAP Credit Management and check the liability data of your customer in SAP Credit Management.




Solutions 2

Unit: SAP Credit Management – Process Integration

a. Task 1: Transferring liability data from the financial accounting system to SAP Credit

Management

a) First, you would like to ensure whether liability data has already been updated from the sales / financial accounting systems in the business partner FSCM## you have created in SAP Credit Management. You check this in the master record for your business partner FSCM##.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Credit Management Master Data Business Partner Master Data.




Choose Enter. The data for your business partner FSCM## is displayed.

Click the Credit Segment Data button at the top right of the screen.


Field Name or Data Type

Value

Credit Segment Main Credit Segment (0000)

Go to the Credit Limit and Control tab page. In the Total Cr. Expo. field a value of 0.00 is displayed – no liability data from the sales / finance systems of the company has been updated to SAP Credit Management.


b) Now you would like to get an overview of what liabilities and payables are already present (open items + credit notes) for the business partner FSCM## in company code 1000. (Business partner FSCM## corresponds to customer FSCM##).

You check this using the line item display of SAP Accounts Receivable Accounting.

Choose SAP Easy Access: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items



Customer account FSCM## (where ## is your PC or group number)

Company code 1000

Open items X – Select option

Open at key date Current date

Choose Execute (green check mark on a clock).

What is the amount of the financial obligation (balance) of the business partner as shown in the item line display? The business partner's balance is EUR 1,710.00.


c) Now you would like to apply the liability data from accounts receivable accounting (only the data for your customer FSCM##!) in the business partner data in Credit Management. Use a suitable report for this. First conduct a test run and have the details displayed in an output list.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Credit Management Integration of Credit Management with FI-AR Asynchronous Liability Update

On the screen Create XI Messages for Credit Exposure Update in Credit Management, please enter the following values:


No. of Docs per XI Message 1,000

Test Run – No Send X – Select option

Company Code 1000

Customer FSCM##

Output Details X – Select option

In the Rebuild Collective Table from Open Items area, enter the following:


Start Rebuild X – Select option

Company Code 1000

Customer FSCM##

Choose Execute (green checkmark with a clock).

Check the items that are displayed in the output list. Do the items to be sent in the output list correspond to the items shown in the accounts receivable accounting line item display?

Yes, exactly the same items are selected and displayed. A check can also be performed by totaling the individual commitment amounts (highlight the Liabilities column and select the Total icon in the system toolbar) – the total corresponds to the previously determined balance of EUR 1,710.00.


Now go Back to the report entry screen and remove the checkmark at Test Run – No Send. This turns the next start of the program into an update run.



d) Check the updated liability data in the credit segment data of your business partner FSCM## for credit segment 1000.






Click the Credit Segment Data button at the top right of the screen. Enter the following values:


Value


Go to the Credit Limit and Control tab page. An amount of 1,710.00 is displayed in the Total Cr. Expo. field.

Does the updated amount from credit segment 1000 in the Total Cr. Expo. field correspond to the balance transferred from company code from accounts receivable accounting? Display the individual items which make up the total liability.

Yes, the total credit exposure corresponds to the business partner balance of EUR 1,710.

To display the detail display to view of the individual items of the total liability, select the blue information button Display Liability on the right next to the Total Cr. Expo. field and double-click the displayed liability total with the category Open Items from FI.


b. Task 2: Transferring the payment behavior key figures to SAP Credit Management

a) In the business partner FSCM## you have created in SAP Credit Management, no payment behavior key figures have been updated from the finance system. You check this in the master record for your business partner FSCM## in the data for credit segment 1000.








Value


Go to the Payment Behavior Key Figures tab page. The fields are not filled.

b) Check the line item display of your customer FSCM## in SAP Financial Accounting again. What information can be gleaned from the display with regard to the payment history of your customer?





Company Code 1000

All items X – Select option



What is the oldest open item (document number, amount, due date)? Document number: see document number field, amount = EUR 220, due date = around 70 days ago

What was the last payment of the customer (document number, amount, due date)?


Document number: see document number field, amount = EUR 350, document date = around 60 days ago

c) Use a report (for updating the payment behavior key figures) to transfer the key figures of the payment history from accounts receivable accounting to the business partner data in SAP Credit Management (only the data for your customer FSCM##!). First conduct a test run and have the details displayed in an output list.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Credit Management Integration of Credit Management with FI-AR Update Key Figures for Payment History

On the Send Payment Behavior Summary screen, please enter the following values:


No. of Docs per XI Message 1.000

Test Run – No Send X – Select option

Company Code 1000

Customer FSCM##

Output Details X – Select option

In the Rebuild Collective Table from Open Items area, enter the following:


Start Rebuild X – Select option

Company Code 1000

Customer FSCM##


Check the data that is displayed in the output list. Does the data correspond to the information you received in the line item display of accounts receivable accounting?

Yes.

Now start the report as an update run. Now go Back to the report entry screen and remove the checkmark at Test Run – No Send. This turns the next start of the program into an update run.



d) Now check the updated payment behavior key figures in the credit segment data of your business partner FSCM for credit segment 1000.








Value


Go to the Payment Behavior Key Figures tab page. The fields are now filled.

Does the updated data, for example, the oldest open item and the last payment correspond to the data transferred from accounts receivable accounting?

Yes.


c. Task 3: Credit check using SAP Credit Management when entering a sales order in the

SAP sales component

When entering a sales order in the SAP sales accounting a credit check (credit limit check and check of other credit-relevant data) is conducted automatically by SAP Credit Management. In the event of a negative check result, a warning message can be output and the order blocked.

a) The credit check is performed using the check rule stored in the SAP business partner. In the credit profile data of your business partner FSCM## (role Credit Mgt Business Part.) store the standard check rule according to which all check steps are active and a static credit limit check is performed.


Open business partner FSCM## in change mode (role Credit Mgt Business Part.).

If you are not already in the general data, now click the General Data button in the application toolbar and go to the Credit Profile tab.



Check Rule 01 Default – All Checks Active (Stat. Credit Limit)

Save your entries using the Save (disk) button in the standard toolbar.

b) To ensure that the credit check returns a negative result during the subsequent entry of an order for your customer FSCM##, block your business partner for further vendor credit in credit segment 1000 with the block reason “Manual Block”.

You are already in change mode in the business partner data of FSCM## (role Credit Mgt Business Part.).

If you are not already in the credit segment data, now click the Credit Segment Data button in the application toolbar and go to the Credit Limit and Control tab. Make sure that you are in credit segment 1000.

Enter the following values in the Control area:


Blocked in Credit Management X – Select option

Block Reason Manual Block (Z9)



c) Your customer FSCM## orders a monitor from you today (material M-12). In the SAP sales system create a cross-division forward order within the Frankfurt sales organization for your business partner who has been specified as the end customer with the following data:

Sold-to party: FSCM##

Purchase order number: 050708##

Order date: Today's date

Requested delivery date: Today's date

Material: M-12

Order quantity: 1

Choose SAP Easy Access: Logistics Sales and Distribution Sales Order Create (VA01).

Creating a Sales Order: Initial Screen

Order Type OR (standard order)

Sales Organization 1000

Distribution Channel 10

Division 00

Press Enter.

Creating a Rush Order: Overview

Sold-to party FSCM##

PO Number 050708##

PO date Today

All items area (Sales tab)

Req. deliv. date Today (day format)

Material M-12

Order Quantity 1

Press Enter and confirm the system message displayed (“Billing schedule change: billing date rescheduled.”) with Enter.


When saving the order, the credit check is run automatically in SAP Credit Management. The block you set in the credit master data of the customer results in a negative check result. This result is displayed by a system message.

Confirm the system message with Enter. The status bar shows the message “Standard order xy has been saved”.

Note the order number__________________________.


d) Navigate within the display of the sales order you created to the status data of the order via Goto Header Status.

Choose SAP Easy Access: Logistics Sales and Distribution Sales Order Display (VA03).

The system proposes the order number of your order (alternatively: enter the order number you noted). Choose Enter.

From the SAP menu now choose: Goto Header Status. The Processing status area contains information on the credit status and the overall block status.

What is the credit status of the order? The credit status “Transaction is not OK” is displayed.

Is the order blocked for further processing? Yes, the order has been blocked for further processing. The overall block status “Blocked” is displayed.


e) As an employee of a credit department you wish to gain an overview of which credit checks have resulted in a negative check result today. Check the log of the credit checks which have taken place for your customer FSCM## in credit segment 1000. Open the credit check log of the sales order you have just created and have a look at the check messages assigned to it.

Choose SAP Easy Access Accounting Financial Supply Chain Management Credit Management List Displays Logs for Credit Check and Credit Exposure Update (UKM_LOGS_DISPLAY).

Log Display

Business Partner FSCM##

Date Today’s date

Credit Check

Double-click the bottom log – the message text of the credit check for your order appears in the bottom screen area. The top message displays the test rule with which the credit check was conducted. The bottom message displays the overall results (“Check was not successful”).

The messages between the top and bottom line show the results of the individual check steps – the green status indicates that the check condition has been met, the red status indicates that the check yielded a negative result. Just one negative check means that the overall check result was not successful.

Which check step caused the negative check result? In this case, the manual block that you set for the business partner caused the overall negative check result.


f) Display the credit management data for your customer FSCM## and check if a corresponding credit exposure has been updated for your customer in credit segment 100 in the order you created.






Choose Enter. Make sure that you are in the change mode of the master data.

Click the Credit Segment Data button in the application toolbar.



Value


Click the Credit Limit and Control tab page.

The value in the Total Cr. Expo. field in the Credit Limit area has not changed the value of the order you created has not been updated to the liability data of your customer in SAP Credit Management, as the order has the status “blocked” in the SAP sales component.

In addition, also check if there have been any changes in the control data in credit segment 1000 of your customer FSCM##. The block of the order you created causes the Special Attention flag (Control area) to be set automatically in the credit management data of your customer FSCM##; this flag can now also be used as a selection criterion in the reports of SAP Credit Management.


g) Display all blocked sales documents for your customer in the SAP sales component. The sales order you created is displayed in the list – release it manually.

Choose SAP Easy Access: Logistics Sales and Distribution Credit Management Exceptions Blocked SD documents (VKM1)


Blocked SD Documents

Credit account FSCM##


Select the order, by setting the corresponding switch at the start of the item and choose the Release button (green flag) in the application toolbar.


You will receive the message: “SD document XY has been released” on the Sales Documents screen. Exit this display with clicking the green arrow symbol in the menu bar, until you are in the SAP Easy Access menu again.

h) Now display your released order again and check the status of your order again – what is the credit and overall block status of your order now?


The system proposes the order number of your order (alternatively: enter the order number you noted). Press Enter.

From the SAP menu now choose: Goto Header Status. The credit status is now “Transaction released”, the overall block status reads “Not blocked”.


i) The manual release of the order in the SAP sales component has resulted in an update of the (gross) order value of the corresponding liability value for the customer FSCM## in SAP Credit Management. Display the Total Cr. Expo. field and the liability details in the segment data for credit segment 1000 of your customer FSCM## and check the liability update.






Choose Enter.

Click the Credit Segment Data button in the application toolbar.



Value


Click the Credit Limit and Control tab page. The total amount of the liability (Total Cr. Expo. field) is displayed in the Credit Limit area. This total amount is increased by its gross value when the sales order is released.

On the right, next to this field there is a blue information button, which leads to a detail display of the liability data.

Which credit exposure category does the created order have in the liability data in SAP Credit Management? The order value has been transferred online with credit exposure category “100 – Open Orders” to SAP Credit Management.


d. Task 4: Delivery and billing of the sales order

In order for the customer to be billed for the order, the ordered goods must be taken from the warehouse, packaged and checked out of the warehouse and dispatched. The resulting billing in the SAP system is accompanied by an automatic transfer into financial accounting (generation of a corresponding open item).

These actions trigger a corresponding change in the credit exposure category for your order (until now credit exposure category: “100 – Open Orders”) in SAP Credit Management.

a) The material ordered by the customer is to be shipped from the shipping point in Dresden. Create an outbound delivery with a reference to your sales order.

Choose SAP Easy Access: Logistics Sales and Distribution Shipping and Transportation Outbound Delivery Create Single Document With Reference to Sales Order (VL01N).

Create an Outbound Delivery with Order Reference (initial screen)

Shipping point 1200 (shipping point in Dresden)

Selection date Tomorrow (automatically proposed by the system)

Order Number of the order you created (may already have been suggested by the system)

Choose Enter.

Save the delivery with the data suggested by the system by using the button in the system toolbar. The status bar shows the message “Delivery xy has been saved.”

Note the number of the delivery __________________________.

b) The material ordered by the customer must now be picked in the warehouse in Dresden (warehouse number 012) before it is packaged and can leave the warehouse. Create a transfer order with a reference to the delivery you created.

Choose SAP Easy Access: Logistics Sales and Distribution Shipping and Transportation Picking Create Transfer Order Single Document (LT03).

Create Transfer Order for Delivery (initial screen)

Warehouse Number 012 (Dresden)

Delivery Number of the delivery you created (may already have been suggested by the system)

Control Do not change the data suggested by the system.

Choose Enter.

Save the transfer order with the data suggested by the system by using the button in the system toolbar. The status bar shows the message “Transfer order XY has been saved.”

© SAP AG FSC020 2-100

Note the number of the transfer order __________________________.

c) Now the order to be delivered can be packed and shipped. To do this, change the outbound delivery that you created (using the delivery number you noted).

Choose SAP Easy Access: Logistics Sales and Distribution Shipping and Transportation Pack Outbound Delivery (VL02N).

Change Outbound Delivery (initial screen)

Outbound Delivery Number of the delivery (may already have been suggested by the system)

Choose Enter.

Check if the material for your delivery has been taken correctly from the warehouse. Go to the Picking tab page to check the picked quantity (= delivery quantity). The stock removal was entered when you created the transport order.

In the menu choose the function Edit Pack and package your material with packaging material T-ZS401. In the menu choose the function Edit Pack.

On the next screen enter the following values on the Pack Material tab:


Value

Packaging Material T-ZS401

Choose Enter.

Select the handling unit generated for the specified packaging material in the top area of the screen AND your material to be packaged in the bottom area of the screen and use the menu to choose the function Edit Pack Pack. The system message “Material has been packed.” appears.

Save your data.

d) After saving the delivery, you are returned to the initial screen for changing deliveries. Click the Post Goods Issue button.

© SAP AG FSC020 2-101

e) Display the detail view of the liability data of your customer FSCM## in credit segment 1000.






Choose Enter. Click the Credit Segment Data button in the application toolbar.



Value


Click the Credit Limit and Control tab page. Use the blue information button on the right of the Total Cr. Expo. field to display the detail view of the liability data for the customer FSCM##.

Which credit exposure category does the order of your customer have in SAP Credit Management? The order value is moved online within SAP Credit Management from credit exposure category “100 – Open Orders” to credit exposure category “400 – Delivery Value”.

f) After your delivery has left the warehouse, an invoice must be creating for creating a corresponding billing document. When creating the invoice, confirm the data suggested by the system and save your entries.

Choose SAP Easy Access: Logistics Sales and Distribution Billing Billing Document Create.

In the Docs to be processed area, your delivery has already been suggested by the system in the Document field (otherwise, enter the number of your delivery that you noted in this field). Choose Enter. The billing data is suggested by the system.

Save the invoice and record the document number.


The order value is moved online within SAP Credit Management from credit exposure category “400 – Delivery Value” to credit exposure category “500 – Billing Value”.

© SAP AG FSC020 2-102

g) When billing your order, an open item is automatically created for the invoice in SAP Financial Accounting. Display your order and navigate to the display of the follow-on document using Environment Display document flow.


Enter your order number and press Enter. Navigate in the menu to the display of the follow-on document for the order Environment Display document flow.

Note the document number _______________ and the amount _______ of the generated open item. Double-click the accounting document. Note the document number (Doc. no. field) and the amount (Ref. value field).

h) Display all open items for your customer FSCM## in SAP Accounts Receivable Accounting.





Company code 1000

Open items


Choose Execute (green check mark on a clock).

Does the list of open items contain the open items generated by the system for your order? Yes. The noted document is in the display.

i) The liability information for the order of your customer FSCM## is forwarded by the billing for the order and the generation of an open item from the SAP sales component to SAP Financial Accounting. Unlike the liability data from the SAP sales component, the liability information from SAP Financial Accounting is periodically transferred to SAP Credit Management using a report. In the same way as in task 1(c), transfer the liability data from SAP Financial Accounting to SAP Credit Management and check the liability data of your customer in SAP Credit Management.

Which credit exposure category does the order of your customer have in SAP Credit Management? The order value is transferred within SAP Credit Management by the report you started from SAP Financial Accounting for credit exposure update for credit exposure category “500 – Billing Value” to credit exposure category “200 – Open Items from FI”.


SAP AG 2006

SAP Biller Direct – Course Overview

Preface








SAP AG 2006

SAP Biller Direct – Course Scenario



Release sales order

Electronic billing

Processing payments





Business partner



Management

PO Invoice / payments Complaint Communicating




Electronic billing for the sales order via SAP Biller Direct;

Processing of payments and complaints created by the customer via Biller Direct, integrated with SAP Financials and SAP Dispute Management.


SAP AG 2006

3 Biller Direct (Course Overview)

Preface



Unit 3 SAP Biller Direct3.1 Overview3.2 User Management3.3 Functions in the B2C Scenario3.4 Functions in the B2B Scenario3.5 Customer Communication3.6 Integration of SAP BI – BI Content3.7 System Configuration3.8 Architecture





SAP AG 2006

3.1 SAP Biller Direct – Overview


Definition of SAP Biller Direct and differentiation from SAP Biller Consolidator

Optimization potential in the Financial Supply Chain that formed the background to SAP Biller Direct

Features of SAP Biller Direct and scenarios that can be used for Biller Direct


SAP AG 2006

Definition of SAP Biller Direct

SAP Biller Direct is a component of the SAP Financial Supply Chain Management and represents an SAP solution for Electronic Bill Presentment and Payment (EBPP).

SAP Biller Direct enables companies to use, by means of an Internet portal, functions for electronic invoicing and electronic payment, and for the integration of customer service and financial management.

SAP Biller Direct supports the entire communication process, from the invoice presentation, through the clarification of inconsistencies, to the account and payment reconciliation.

SAP Biller Direct is a Java-based application that enables companies to collaborate closely with their customers and partners.


SAP AG 2003

Definition of EBPP

Electronic delivery and receipt, that is, on the Internet

Bills, credit display, debit display, and dunning notice

Presentment directly in the ERP system (B2B) or on the Web (B2C)

Clearing payments, receiving credit or debit display

Electronic:

Bill:

Presentment:

Payment:&

EBPP is a platform used by billers and customers to send and pay bills electronically.


SAP AG 2006

Biller Direct – Relevant Optimization Potential

Optimization potentialBilling is expensive:

Many bills arein paper form

High shipping times andcosts

A large number of disputed invoices, which take days to resolve.Optimization potential in payment or payment processing procedureProcesses and systems are

not linked with those of thebusiness partners.






CostsMinimization

LiquidityHedging

RevenueMaximization


SAP AG 2006

SAP Biller Direct: Features

Display of invoice and payment history as well as account balance

Filter and search options

(Partial) payment using SAP Biller Direct

Payment stopping

Allocation of credit memos with open items

Customer notification

Assignment of collection authorization

Integration with SAP Dispute Management and SAP Cash Management

e-Invoicing (Biller Direct Buy Side)


SAP AG 2006

SAP Biller Direct (B2C): Functions

ERP Back End (ECC6.0 / SAP DM)Online integration with Accounts Receivable Accounting

Comments and dispute casesMethod of payment entry in line item

Partial payment + commentand dispute case

SAP Biller DirectOpen items (lists view)

DetailsPrintDownload (XML, Excel, CSV)PDF (billing document)Comment / dispute case

PaymentChange to amountClearing credit memosAutomatic debitCredit card paymentDownload

Paid invoicesCredit memosDispute casesChange user data Internal Service Request

The following unit explains the functions of the B2C area in more detail.


SAP AG 2003

SAP Biller Direct (B2B): Features

ERP Back End (ECC5.0 / SAP DM)Online integration in accounts receivable accounting

Payment advice as suggestion for assigning open items

Mail person responsibleInternal service request

SAP Biller DirectOpen items (credit/debit view)

DetailsPrintDownload (XML, Excel, CSV)

Payment adviceCreate, edit, display

Balance list, line items

Balance comparisonChange user data


SAP AG 2006

SAP Biller Direct: B2C Scenario (Overview)

Business Benefit Business Benefit

Optimized invoice -processing workflow

Faster payment by customers

Controlling the payment time and the outbound cash flow

More profit thanks to greater customer loyalty

Advantage of moreprecise cash management

Improved cash flow Payable Accounting /faster invoice

Invoices linkedelectronically to theAccounts(capital less tied up

Improved payment and exceptions processing

Reduction of the invoicing costs

Fewer accounting errors

Convenient access 24/7 from anywhere

Integrating data with vendors, no duplicate data entry

Different message -formats (EDI, XML, ...)

Profit thanks to greatercustomer satisfaction

Electronic trade even for companies with no EDI

Customer Vendor

Places order

Provides delivery / performance

Sends e-mail with link to invoice

Log on in the Biller Direct portal

Approving theinvoice

Receiving the payment

This slide describes how, in a business-to-customer scenario, the customer can use SAP Biller Direct on the biller's portal to view and release invoices.

The next unit focuses on the functions in this B2C scenario.


SAP AG 2006

SAP Biller Direct: B2B Scenario (Assigning Line Items)

Profit Potential

BusinessBenefit

BusinessBenefit

Info for the clearing process is quick and simple to receive Up to 30%*

Profit Potential

Misunderstandings with the seller are avoided

Up to 10%*

Up to 20%*

Less time required to contact customers

Dunning notices from sellers are avoided

Up to 25%*Up to 25%*

Information about whether the seller has received the payment

Up to 10%*

Reduction in telephone and postal costs

* Source: discussions with customers

Up to 10%*You receive clear and precise info from customers

Vendor Customer

Cannot assign open items

and payments

Customernotified by

e-mail


Assigning the payments and

open items

Automatic confirmation

Checking theassignment

This slide describes how a bill-to party and a biller cooperate to solve dispute cases that have arisen as a result of problems assigning payments to open items in a business-to-business scenario.

Often in business processes, there is uncertainty about the purpose of inbound payments. SAP Biller Direct also provides an efficient function for this scenario, together with SAP Accounts Receivable Accounting. This leads to more efficient business processes and avoids redundant communication between business partners. On the biller's portal page, the user can see a clearly structured comparison of the payments he or she has made and the open invoices. Users can assign payments and invoices themselves, can attach comments to them if there are any discrepancies and send the finished assignments to their business partner. A payment advice note is initially created for this purpose in Accounts Receivable Accounting in the SAP back end.

SAP Biller Direct users can view advice notes that they have created and which the biller has not yet posted. Until an advice note is posted in Accounts Receivable Accounting, users can still edit or delete it. After it is deleted, the invoice and payment reappear in the list of open items.

The next unit but one focuses on the functions in this B2B scenario.


SAP AG 2006

SAP Biller Direct: B2B Scenario (Reports for Partners)Profit Potential

BusinessBenefit

BusinessBenefit

Customer receives reports directly over the Internet – saves resources

Up to 10%*

Profit Potential

Real time info in the seller's systemUp to 5%*

Up to 20%*Reduced costs for sending reports

Report format can be changed Up to 5%*

Up to 5%*

Account balances from the seller's system can be analyzed

Up to 5%*Customer receives up-to-date information

Access to reports without unnecessary call/request to seller

Up to 10%*


Vendor Customer

Different reports on offer

Checking the logon data


Selecting a report

Adjusting the layout and analysis

This slide describes how billers can provide their customers with account information over the Internet in a business-to-business scenario.


SAP AG 2006

SAP Biller Direct: Master Data Maintenance Scenario

Profit Potential

Business Benefit

Business Benefit

Customer re-ceives information about master data quickly and simply

Up to 5%*

Profit Potential

Simple to use, fast and clear information about master data

Up to 5%*

Up to 50%*

Reduced postage costs for transferring the new main data

New seller master data can be automatically transferred by copying to the SAP system

Up to 20%*

Automatic receipt of changes from the seller and processing in the system

Up to 10%*

SAP ERP system is required for communication


Vendor Customer

Selecting the form

Log on in customer's Biller Direct

portal

Checking the vendor's logon

data

Changing the vendor master data

in the form

Receiving theform and

adjusting the master data

This slide describes how companies can use SAP Biller Direct to offer their customers self-service scenarios for adjusting customer master data and for configuring different preferences.


SAP AG 2006

Conclusion

SAP Biller Direct is a Java-based component of the SAP Financial Supply Chain Management and represents, along with Biller Consolidator, an SAP solution for Electronic Bill Presentment and Payment (EBPP).

With SAP Biller Direct, the customer receives an electronic invoice, which can be downloaded via a link (by sms or mail) to a server managed by the biller, or sent directly by e-mail as a file attachment. Then the recipient can perform electronic actions such as approval, payment or credit memo clearance of invoices or recording queries or complaints.

Along with this process, which is mainly used in B2C scenarios, Biller Direct can also be used for various B2B scenarios, such as the assignment of open items, balance comparison, master data maintenance, and the provision of reports. As an alternative to the services named, provided to customers by service providers, Biller Direct can also be used by customers for their service providers, to track the invoices submitted to consumers on the customer system (SAP Biller Direct Buy Side).


SAP AG 2006


Preface








SAP AG 2008

3.2 User Management


User types in SAP Biller Direct

User logon and authentication in SAP Biller Direct


SAP AG 2009

User types in SAP Biller Direct

Business partner/

customer

Web user

Pool user

Reference user

In SAP Biller Direct, there are the following types of users: Web user: a user who logs on via the Web browser and processes data from there (for example, the

accounting clerk of a business partner who pays the invoices via the Web browser); the Web user is created as a user in the back end - however, no individual roles or profiles can be assigned to him

Reference user (also: communication user): a user in the back end (attribute: "reference user") who is assigned to the Web user in master data maintenance and to whom the authorizations and roles that the Web user ought to have are assigned (for example, a separate communication user can be created for read accesses only); for performance reasons, the authorization profiles are not directly assigned to the user master record of the individual Web user, rather they are assigned indirectly using reference users

Pool user: a technical user through whom the data transfer runs; used for read (or, in specific scenarios, also write) accesses to the back end (better load control and performance)

To manage Web users who display and pay their bills using SAP Biller Direct, you have to make the following settings in the master data:

A user master record for each Web user: for each Web user who is to access accounts receivable accounting, you have to create a user master record, which is assigned the associated customer (via references to object BUS3007) and a reference user corresponding to the required authorizations.

Several reference user master records: a reference user master record is created for each authorization profile.

A pool user master record: is used for read accesses to the back end; by bundling the Web users who only require display functions, you can improve performance with no risk of compromising data security.


SAP AG 2006

Pooled Connections

SAP Application

Server

SAP Web Application Server

Web user 1

Web user 2

Web user 3

Connection Pool

"Read" accesses that do not lead to any data changes in the back end are processed using a "pooled connection". In the case of "pooled connections", the RFC connection from the Biller Direct front end (web application server) to the Financial Accounting back end (SAP Application Server) is not terminated as soon as it is no longer required (when the user logs off, for example). Instead, the RFC connection is saved in a "pool" of existing RFC connections between the Biller Direct front end and the Financial Accounting back end. It is then used for the next request. This means that loads are controlled better and performance is improved.

"Pooled connection" therefore do not use the current Biller Direct user's web use; instead, they use the "pool user" – a technical service user. This user has a separate password and authorization profile – all access as part of a pooled connection is therefore under the pool user's name and authorizations.


SAP AG 2006

Named Connections

Web user 2

Web user 3

SAP Web Application Server

SAP Application

Server

Web user 1

"Write" accesses that change tables in the back end are carried out using a "named connection" for logging purposes. This means that an RFC connection is used named after the Biller Direct user who is currently logged on. This includes actions such as triggering or stopping payments or creating complaints or dispute cases via Biller Direct.

For the "named connection", the Biller Direct application opens up a separate RFC connection to the back end for each web user. This connection exists only for the duration of the "write action" (such as partial payment of an invoice).

The "named connection" ensures that all the necessary authorization checks are carried out for the Biller Direct user who is logged on and that all the change documents are assigned to the current Biller Direct user.

"Named connections" require more resources (network connections, memory) than "pooled connections" and also have a lower performance (RFC connection to the back end is constantly stopped and started), partly because of the back end's greater load.


SAP AG 2006

User Logon to SAP Biller Direct

SAP ERP

SAP Biller Direct

Web user < Reference user< Business partner / customer

Web user

12

In the scenario shown here, web users are created in the SAP ERP system directly: All web users are authenticated against their web user accounts (user name, password) stored in the

SAP ERP system.

During logon, the corresponding authorizations are exported by the Java front end from the reference user assigned to the web user.

The customers belonging to the web user (assigned during master data maintenance) are exported from table USAPPLREF in the SAP ERP system.


SAP AG 2006

User Logon via UME

SAP ERP

Biller Direct

Web user

User ID/password

Reference userBusiness partner / customer

LDAP Database

UME (part of SAP NetWeaver2004s)

2

1

4

3

Business partnerCompany codeReference user...

SAP Biller Direct also supports authentication against external directory services (LDAP). In this case, the data about a user is saved on a server that is accessed via LDAP (Lightweight Directory Access Protocol), instead of on the SAP ERP system. LDAP was conceived as an open standard for global or local directory services in a network or in the Internet. In principle, this treats a directory like a telephone book. The directories are designed to support a high volume of requests, but where the data in each directory is not changed very often. LDAP is therefore the solution we recommend to map large numbers of users:

LDAP is optimized to reading large numbers of users

LDAP has better performance than user administration in SAP (with its technical limitations)

LDAP includes the outsourcing of user data from the SAP system, thereby making it easier to administer user data

All web users are authenticated against the User Management Engine (UME). Settings in the UME specify which data is stored in the company's database, whether LDAP is used, and which data should be stored on the LDAP.

Normally, if LDAP is used, the user ID and the password from the LDAP and the associated customers/business partners, together with the company code and the reference user, are read from a separate database (steps 1 and 2).

The reference user that has been identified is now used to read the authorizations from the SAP ERP system (step 3), which are then processed in the Biller Direct front end. (Step 4).


SAP AG 2006

Authenticating the Web User

User: KwanD

Password: Apple

Customer/Business partner 4711

SSO Ticket

1 2

All Web users who display and pay bills using SAP Biller Direct have to authenticate themselves. This can be done in the following ways:

The Web user enters a user name and password. The system then carries out an authentication check with the user master record (of the Web user), which is created in the back-end system.

A single sign-on ticket (SAP SSO2 ticket) is transferred. If the Web user has already logged on to a portal and called SAP Biller Direct in this portal, no further logon is necessary if the portal supports the SAP SSO2 ticket. The portal system (for example, SAP Workplace) has already authenticated the user and retains the user data in the form of an X.509 certificate. SAP Biller Direct then evaluates this SSO2 ticket and grants the user access.


SAP AG 2006

User Administration via UME

Administration GUI based on iViewsAdministration functions within the User Management Engine (UME):

Create / copy / edit user dataFind user dataCreate / administer groupsAuthorization administrationCreate / generate passwordsSchedule customer account activationsLock / unlock user dataDisplay user data historyApprove / reject user applicationsE-mail notification of specified events


SAP AG 2006

Company Administrator

Company AdministratorXYZ AG

Company AdministratorUVW Inc.

User XYZ AG User UVW Inc.

The company administrator of the User Management Engine (UME) can be used to group SAP Biller Direct users into companies. Authorizations can be used to specify administrators, who are assigned to exactly one company and can manage that company's users.

SAP Biller Direct uses this concept to specify one (or more) user administrator(s) for each company that receives invoices via Biller Direct (B2B scenario). Each Company Administrator can create, maintain or delete users for which he or she is responsible (in other words, for the users who are assigned to the same "company" as the administrator).


SAP AG 2006

Maintaining Subobjects in SAP Biller Direct

Payer: Miller

Bill-to: Smith

Bill-to: Myers

Jones Inc. US, head office

Branch 1: Jones UK

Branch 2: Jones FR

Biller DirectUser

Sold-to: Frank

Before SAP Biller Direct , it was only possible to display invoices assigned to the "SD Payer" (Financial Accounting customer). Now, SAP provides an enhancement concept that makes it possible to create any kind of subobject for a customer (such as bill-to, branch, ship-to) and to make these filtered objects available via Biller Direct.

There are two main scenarios in which this function can be used to best effect:

Representing head office - branch hierarchies

Representing different SD roles (ship-to/bill-to/sold-to) in addition to the "payer" role

The SAP's enhancement concept for FI-AR back ends uses two Business Add-Ins: EBPP_USAPPLREF and APAR_EBPP_GET_DATA.

If FI-CA is used, existing events (such as 1237, 1245) are used for this enhancement.


SAP AG 2003

Summary

In order to manage Web users, who display and edit their bills using SAP Biller Direct, you must create a user record for each Web user in the SAP ERP system used as a back-end system. You have to assign the corresponding customer and reference user to this record to control the authorization. In addition, a pool user is defined in the SAP system to manage the technical data transfer from the back-end system to the SAP Biller Direct front end (above all for read access).

The authentication of the SAP Biller Direct user can be checked against the SAP system defined as the back-end system, or against other, external directory servers. The authentication in SAP Biller Direct can also be linked to the single sign-on process.


SAP AG 2006


Preface








SAP AG 2008

3.3 Functions in B2C Scenario


Displaying objects in SAP Biller Direct

Administrative data in SAP Biller Direct

Full and partial payment and clearing

Canceling payments

Approving bills


SAP AG 2003

Displaying Objects in SAP Biller Direct

Bill (Open) Items

Master Data

100.00Customer

20.00

Inquiries/Complaints

The following objects from SAP Accounts Receivable Accounting or other components are displayed in SAP Biller Direct:

Bills: can come from different billing components (for examples, SAP Sales or CRM). To display the bills in the Web application, the components transfer their billing data to a shared interface.

Open items: items in the customer account of SAP Accounts Receivable Accounting (outstanding receivables, payments made, credit memos, payments on account, down payments, and bill of exchange)

Inquiries/Complaints from a customer entered using SAP Biller Direct are stored in the customer's account as texts for the original bill, or as a dispute case in SAP Dispute Management.

Master Data: (for example, addresses, bank details, control parameters) is primarily displayed in master data fields.


SAP AG 2006

Maintaining User Data in SAP Biller Direct

Address data

PW FSC020

User FSC99

Password

SAP Biller Direct data

Credit cards

Bank details

Along with the address, bank details and so on, the following control parameters are displayed and managed in the user data in SAP Biller Direct:

Notification of a new bill or credit

Type of notification (text message, e-mail) and corresponding addresses

Notification period

Additional creation of a paper bill

If you change the master data in the Web application (for example, you create new bank or credit card details for payment or in the user data), the corresponding master data objects are immediately updated in the SAP back-end system. Therefore (for example) if you change the customer's address, the address is changed immediately in the SAP ERP system, and new bank or credit card master data is defined immediately for the SAP customer.

Alongside these immediate updates in the SAP system, you can also configure the use of an internal service request for the master data changes, so that a processor along with the biller must first release the changes before they take effect.

If a customer adds new bank or credit card master data, an internal plausibility check is carried out in the SAP system. For example, the validity of the bank number and account number is checked, or whether a credit card number belongs to the correct credit card organization (this is done using the credit card check digit).


SAP AG 2003

Displaying Bills: Standard View

Bill Due Billed Amount Open Payt Amount

RE 4511 05/25/2005 EUR 300 EUR 300 EUR 300

RE 4511 05/25/2005 EUR 500 EUR 200

RE 4511 05/25/2005 EUR 250 EUR 200

Total: EUR 700 EUR 300 Credits EUR 50 EUR 50

In standard mode, a customer can use SAP Biller Direct to:

Select individual bills

Clear credit memos (individually or together)

Pay bills partially or in full


SAP AG 2003

Downloading Bills (PDF and XML)

Bill Due Billed Amount Open Payt Amount

RE 4511 06/25/2005 EUR 300 EUR 300 EUR 300

RE 4512 06/25/2005 EUR 500 EUR 200 EUR 50

RE 4513 06/13/2005 EUR 250 EUR 200

Total: EUR 700 EUR 350 Credits: EUR 50 EUR 50

Download Selected Entries

XML file XML and PDF file

SAP Biller Direct allows you to download one or more bills (optionally with the PDF file of the bill as well) as an SAP XML file. All files are saved as ZIP files with date on the local hard disk.


SAP AG 2003

Displaying Bill Details

Billing amount EUR 750

Payment amountsCredit card EUR 250Bank collection EUR 450

Credit memos usedCredit 1212 EUR 50

In the detailed display for a bill, the customer can, for example, display the payment amounts and the credit memos that have been used to clear an invoice.


SAP AG 2009

Payment of Invoices

Open invoices Credit memos Paid invoices Payments Log offUser data FAQ

List of invoices selected for payment

You pay the listed invoices with the bank details:

Sparkasse Musternau,DE,12345678,45677654

If you now want to make the payment, choose Pay.

Invoice Due on Invoice amount Open Payment amount

Invoice 1600000001 from 20.02.2005 20.02.2005 260 EUR 160 EUR 160 EUR

Invoice 1600000321 from 25.02.2005 25.02.2005 118 EUR 50 EUR 50 EUR

210 EUR210 EUR

210 EUR

Back Pay

Invoice total

Credit memos 0.00 EUR

Net payment amount

The Web user has the following options to pay his invoices: Select (one or more) invoices Pay the invoicein full or in part by selecting the invoices and entering the payment amounts

Use credit memos for clearing by selecting the field Credits; the system then automatically selects the credit memos according to their due date; credit memos due in the future cannot be cleared.

Selection of bank details saved in the master records or credit cards – optionally, payments can be made using a new credit card or bank details; a decision is made as to whether the details for later payments are to be saved or whether the payment card data is to be used for this one payment only – in this case, one can set the indicator Only use for this payment transaction.

(in particular in relation to partial payment) Entering a comment or a dispute case

In the SAP back end and in the SAP Biller Direct front end, the following activities take place in relation to the payment instruction for bills:

The details entered by the Web user (SAP Biller Direct payment method, bank details) are saved in the selected open items in SAP Accounts Receivable Accounting. An accounting clerk cannot change this payment method manually and the items are no longer taken into account in the dunning run. In Biller Direct, the payment assigned to the invoice has the status In Process.

In the next payment run executed in the SAP back end for which the due date of the assigned invoice is reached, the actual payment is made – the open item is cleared and, in the Biller Direct front end, the invoice that is now actually paid receives the status Paid.


SAP AG 2008

Canceling Payments

600

Julie Martin

Biller DirectDeutsche BankA/N 27727222X

600

Julie Martin

Biller DirectDeutsche BankA/N 27727222

600

X

The customer payments that have been confirmed in the Web application appear in the application as allocated. Only when having run a payment program are the relevant bills cleared and payments can no longer be reversed.

As long as the allocated bill has the status In Process (until the payment run is carried out), the only account-based difference between the allocated bill and an open bill is that the allocated bill has the specific payment method for SAP Biller Direct.

For these bills, the Web user can stop the payment by displaying the bill, choosing Paid Bills, and clicking Cancel Payment in the Action column.

The payment method and the bank details are then removed from the relevant item, the bill is reassigned the status Open and it reappears on the Open Bills tab page.


SAP AG 2008

Approving Bills

Biller DirectCustomer session- Standard session- Balance session

600

Julie Martin

Setpayment block

600

Julie Martin

Remove payment blockby approval

X

The bill approval function can be activated in the customer's user data in SAP Biller Direct.

During billing, a payment block is then set automatically for documents posted in SAP Accounts Receivable Accounting. This payment block is removed only when the customer has approved the bill in SAP Biller Direct (under "Invoices to approve").


SAP AG 2003

Summary

A customer can use SAP Biller Direct to display open and paid bills, credit memos, and payments. Bills can be downloaded in XML (and PDF) format.

Customers can display and maintain their own administrative data(address data, bank data, credit cards, user name, and password).

To settle open bills, the customer can pay one or more of the bills in full or in part, or clear it/them using a credit memo. The customer can select payment by credit card or automatic debit, or enter new payment details. In the case of inquiries or complaints, comments or dispute cases can be created for the bills.

Provided that the bill selected for payment is still In Process, the customer can cancel the payment.

An additional payment approval function can be activated.


SAP AG 2006


Preface








SAP AG 2006

3.4 Functions in the B2B Scenario

Topics of this lesson

Balance and HTML document display in SAP Biller Direct

Balance comparison in SAP Biller Direct


SAP AG 2006

Balance Display

Thomas Muster's balanceMonth Debit Credit... ... ...

08/2002 1,500 40009/2002 800 1,20010/2002 2,350 2,00011/2002 1,900 50012/2002 200 475

Total 6,750 4,575

SAP Financial Accounting (FI-AR) provides SAP Biller Direct users with a further portal function: they can view the current balance of their customer account.

The balance display shows the previous six or twelve months and is not linked to the fiscal year. The initial screen shows a monthly summarization and is separated into receivables and payments. Customers can display the line item level if they require detailed information. They can also change the layout of the information – for example, change the order of the columns.

In addition to this, users can carry out a balance comparison, send a balance confirmation or an objection, or they can save or print out the balance list by Excel locally on their computers.


SAP AG 2008

Displaying Accounting Documents in HTML

Payments & Credit Memos Invoices

Reference Reference date Document no. Action Reference Reference date Document no. ActionAB387 25.05.03 654545 CD457 01.06.03 895433

The accounting documents can be displayed in HTML format from balance confirmation, open item display and single line item display.

The following data is output here

Texts

Dunning data

Clearing data

Contact person

Header and document data

Terms of payment

This function is only supported if FI-AR (Accounts Receivable Accounting) is used as the back end.


SAP AG 2006

Balance Comparison

Balance comparison on the key date June 12th, 2005

Activity Due Reference Reference date Amount Action Confirmation

167 20.06.2003 ABC 20.06.2003 - 150 USD Yes/No168 30.06.2003 DEF 30.06.2003 200 USD Yes/No169 01.07.2003 GHI 01.07.2003 500 EUR Yes/No

Balance in our favor 50 USDin our favor 500 EUR

Contact person: Kevin Ryan tel. +1 666 3664 [email protected]

Print Excel CSV

E-mail to external auditor

E-mail to biller

The balance confirmation function (which is part of the end of year balance sheet) is equivalent to the work carried out by an Accounts Receivable accountant after receiving the request in paper form. However, the process in SAP Biller Direct is paperless and enables the customer to compare the open items for the current day with his or her accounting.

The open items for the current day (= key date) are displayed in the same way as open items. In addition to open invoices, credit memos, payments and payments on account, they also include non-cleared payments and bills of exchange.

The customer has the following options:

Confirm all the balances

Not confirm all the balances

Not reply, or specify reasons why he or she cannot process the balance confirmation

Print the list or download it in Excel or CSV format

In addition to this, the customer can enter reasons for balance difference (or comments) and return the balance confirmation to the clerk and the external auditor by e-mail.

The balance confirmation function is only available if FI-AR (Account Receivable Accounting) is being used as the back end.


SAP AG 2006

Assigning Open Items

Payments Invoices

Reference Reference date Document no. Amount Reference Reference date Document no. Amount

ABC 21.05.2003 4711 150 EUR DEF 20.05.2003 5694 200 EURGHI 25.05.2003 8889 450 USD KUH 27.05.2003 8436 300 EURLGB 28.05.2003 3214 90 EUR ZZT 20.05.2003 5694 250 USD

Assigned Payments Assigned PaymentsReference Reference date Document no. Amount Reference Reference date Document no. Amount

ABC 21.05.2003 4711 150 EUR KUH 27.05.2003 8436 300 EUR

E-mail to biller

Often in business processes, there is uncertainty about the purpose of inbound payments. SAP Biller Direct enables the external business partner (customer) to assign his or her payments to the related invoices and to send a corresponding payment advice note to the biller.

The assigned items remain displayed in the SAP Biller Direct as an advice note and can be altered until the clerk responsible at the biller's company has posted or processed the payment advice note. At this point, the note is removed from the list.

A payment advice note is displayed in the biller's Accounts Receivable Accounting (FI-AR only). This note is then sent to the responsible clerk's workplace inbox. The clerk can then continue to process the advice note from the inbox directly. Alternatively, the clerk can navigate to the transaction: Accounting Financial Accounting Accounts Receivable Account Assignment

Assign/Clear Open Items.


SAP AG 2006

Browser

Firewall

SAP Application Server

My SAP ERP Back EndSecurity Tool

(Non-SAP)

SAP Web Application

Server

SAP BillerDirect Front

End

Invoice Download (PDF / XML)

1. Customer selects invoice(s) to

download

2. Biller Direct requests invoice data from back end according

to selection

JCO

3. Invoice data is generated in XML / PDF format

SSF

4. Invoice data is digitally signed

5. Invoice data compressed to ZIP

format

(1) From the Biller Direct portal, the customer selects one or more invoices to download in XML or PDF format.

(2) SAP Biller Direct calls via Java Connector (JCO) for the invoice data for the selected invoices to be created in the back end.

(3) The requested invoice data is generated in the back end in XML or PDF format.

(4) First the digital signature service from the “SAP NetWeaver Secure, Store and Forward-Interface” (SSF) is called. Then the generated invoice data is digitally signed using an external security product (to be configured in the SSF parameters in the back end).

(5) The invoice files generated (XML file, PDF file, signature file) are sent back to the SAP Biller Direct front end and converted into a ZIP file there. This can now be saved locally by the SAP Biller Direct user.


SAP AG 2006

600

Invoice Upload to SAP Accounts Payable

Vendor

XML file

XML and PDF file

Upload

Object Services:- XML- PDF

After the bill-to party has downloaded the XML file (and, if applicable, the PDF file) from SAP Biller Direct (and saved it locally as a ZIP file), the bill-to party can open the ZIP file and upload it to his or her SAP system (FI-AP Accounts Payable).

To do this, the user has to start the EBPP_RI report and specify the local directory where the ZIP file is stored. The XML file is sent to the relevant vendor account via an IDoc interface. The report archives the file and also triggers a link between the file and the newly created accounting document. The user can also choose whether the ZIP file is deleted from the local directory immediately after this process.

SAP provides Business Add-Ins that make it possible to check the invoice file(s), reject them or enrich them (to check the digital signature, for example).


SAP AG 2006

Summary

Customers can use SAP Biller Direct to view their open items in balance format and carry out a balance comparison or balance confirmation.

Customers can use SAP Biller Direct to see their open items and payments. Customers can assign these to each other and send these assignments to the biller. The biller can use these assignments in the form of a payment advice note to directly clear the items that are assigned to one another.

If Biller Direct customers use their own SAP system in the accounts payable area, they can download invoices from the Biller Direct portal (digitally signed, if necessary) and upload these to their SAP system, where they can have the invoice automatically posted to the accounts payable accounting.


SAP AG 2006


Preface








SAP AG 2008

3.4 Customer Communication


Notification concept

Contact Management in SAP Biller Direct

Integration with SAP Dispute Management


SAP AG 2006

Notification Concepts in SAP Biller Direct

E-mail

SMS

Invoice

Credit memo

600

Thomas Muster

30

Thomas Muster

Customers who use SAP Biller Direct to display their account and invoice information can be automatically informed about changes to their account using different methods of communication. These changes can be triggered by new invoices or credit memos.

The methods of communication supported here include SMS messages (short message service) for mobile telephones and e-mails (encoded, if necessary). In the latter case, the customer receives an e-mail with general information about the invoice and that can include a hyperlink, which takes the customer to the biller's portal site. In this way, the biller can avoid having to send a paper invoice. The following notification formats are possible for the e-mail:

Text only (simple e-mail with links)

HTML

PDF attachment (SAP Accounts Receivable Accounting only)

Combination of text only or HTML and PDF attachment

For the notifications to be sent from the SAP system, you require one of the certified RDI system interfaces: either SAPconnect or the SAP spool system.


SAP AG 2006

Contact Management in SAP Biller Direct

Financial Accounting Document

Customer's comment incoming

outgoing

Clerk's answer

"The goods were damaged"

....

"We will post a credit memo"...

Note

Customer historydisplay in SAPBiller Direct

Customer queries

If SAP Accounts Receivable Accounting is used, the bill-to party can use SAP Biller Direct to make a query about an invoice, credit memo or partial payment. SAP Biller Direct stores a text about the item with the comment entered by the customer. The clerk can view this text under Extras

Texts and react to it – by sending a reply, for example.

Additionally to this, there is a report – EBPP_AR_CONTACTS – that returns a list of documents for which there are Biller Direct texts:

The clerk can select according to the date on which the comment was created and so find the relevant documents.

To write a reply, the clerk has to select the relevant document from the list and choose the Display text function.

A screen appears containing the customer's text. A reply can be written on the same screen. Before the clerk writes a reply, a heading is generated that identifies the text as a reply.


SAP AG 2006

Integration with SAP Dispute Management

Customer query

SAP Biller Direct

Short paymentThomas Muster

350 250

600 600

Dispute case

Reply / display uploaded documents /link to new documents

Invoice EUR 600.00

SAP Accounts Receivable Accounting

SAP Dispute Management

Description / upload documents

Display / download document

As of SAP Biller Direct 3.0, customers can create dispute cases in SAP Dispute Management directly, via SAP Biller Direct. It is possible to create dispute cases for both partial payments and for the entire invoice. The minimum system requirement for this scenario is R/3 Enterprise (4.7) or FI-CA 4.72.

Integration enables customers to:

Enter a reason

Create an initial note

Select customer contact data

View the status of a dispute case

Communicate with the dispute case department using notes

Internal processing of the dispute case can begin as soon as the dispute case is stored in the SAP back end system.

As of SAP Biller Direct 6.0, the bill-to party can add documents (such as letters) to the dispute case (by creating or changing). These documents are then uploaded directly into the biller's back end system and linked to the dispute case there. Furthermore, the Biller Direct user can view or download documents that were provided by the biller and are connected to the dispute case.

If SAP Dispute Management has been activated, the (simple) contact management application can no longer be used.


SAP AG 2006

Integration with SAP Dispute Management(Entire bill)

Customer inquiry

SAP Biller Direct

No paymentDavid Kwan

600

Dispute case

Reply

Description

Bill EUR 600

Accounts Receivable Accounting



SAP AG 2003

Summary

The customer, who uses SAP Biller Direct to display account and bill information, can be informed automatically of changes to the account (for example, of new credits or bills) by various means of communication (text message or e-mail).

Inquiries or complaints can be entered on the SAP Biller Direct interface directly as a comment (contact management integrated in SAP Accounts Receivable Accounting) or as a dispute case in SAP Dispute Management.


SAP AG 2006


Preface








SAP AG 2006


Analysis scenarios in SAP Biller Direct

BI content for SAP Collections Management: queries and characteristics

3.6 Integration of SAP BI Data Warehouse


SAP AG 2006

Scenario: Event Log AnalysisQuery: 0BD_DS01_Q0001

Shows the distribution of the various SAP Biller Direct log categories over one day, one month or one year

Number of different users who have worked with SAP Biller Direct

Frequency of the actions performed (payments, payment returns, changes to user data,...)

Scenario: Peak AnalysisQuery: 0BD_DS01_Q0002

Representation of the number of (active) users, segmented into hours over one day

BI Content for Biller Direct: Scenarios I

The 0BD_DS01_Q0001 query contains all log categories that are supplied by the SAP Biller Direct in the standard version.

The 0BD_DS01_Q0002 query shows which actions the logged-on users have used, distributed over one day, one week or one month.

The counter is the log entry (key figure: 0BD_LCT).

This query is available from SAP ERP Enhancement Package 2 on.


SAP AG 2006

Scenario: Top N UserQuery: 0BD_DS01_Q0003

Representation of the ‘Top N User’ (number of logons) per day / week

Scenario: User AnalysisQuery: 0BD_DS01_Q0004

Representation of the number of log entries per user

BI Content for Biller Direct: Scenario II

The 0BD_DS01_Q0003 query shows the top N distribution of the users who have logged on to SAP Biller Direct in one day, one week or one month.

The top N factor is variable and can be specified in the selection parameters when starting the query.

The 0BD_DS01_Q0004 query shows the users who have worked with SAP Biller Direct more than x times in one day, one week or one month.

The selection options can be used here to specify the relevant log category for the evaluation and the threshold value x.

The counter is the log entry (key figure: 0BD_LCT).

This query is available from SAP ERP Enhancement Package 2 on.


SAP AG 2006

BI Content for Biller Direct: Characteristics I

Object key Identifier for an object processed in an action

0BD_KEY

Time of the log entryTime at which a log entry was written

0BD_LTIM

Number of the log entryUnique key for the log entry

0BD_LOGID

Log category describes the various actions possible in SAP Biller Direct

0BD_LCAT

DescriptionCharacteristic

Available DataSources: Log Category 0BD_ CATEGORY_TEXT

Extraction of texts of the log category

Biller Direct Event Log 0BD_LOG_DATA Extraction of log entries that users generate when using SAP Biller Direct for various actions


SAP AG 2006

BI Content for Biller Direct: Characteristics II

External procedure as bracket for log entriesBrackets multiple procedures within an action (as with the payment of multiple invoices in one action)

OBD_REF

User IDContains the logon name of the user of SAP Biller Direct

OBD_UID

Object Type Type of an object processed using an action

0BD_OTYP

DescriptionCharacteristic

Available DataSources:

Log category 0BD_ CATEGORY_TEXT

Extraction of texts of the log category

Biller Direct Event Log 0BD_LOG_DATA

Extraction of log entries that users generate when using SAP Biller Direct for various actions


SAP AG 2006


Preface








SAP AG 2006

3.7 System Configuration


Configuration options for SAP Biller Direct


SAP AG 2008

Customizing the Java Component

Web user documentationChange/Enter/Delete textsDeactivate individual/whole documentation typeChange design

ColorsTextSpacingGraphics Interface texts

Change/Enter/Delete texts

Interface designColorsTextSpacingGraphics


SAP AG 2006

Installation Procedure

2

3

1

4

*.css*.jsp

sca file

In te rn et SA PGU I

R FCC li en t/Se rv er

IC M

D isp a tch e r

G a te -w ay

R D B M S

W orkP ro ces s e s

DIA

G

RF

C

HTT

P

SDM tool J2EE server

The installation guide, which is shipped with the system, describes the procedure for installing the Java component for SAP Biller Direct. First, you must unpack the SAP.ear file using the configuration tool. The corresponding files are then changed in accordance with the customer's requirements:

Obligatory system settings in Customizing can be set in the application_config.xml and web.xml files.

Colors and fonts can be changed in the *.css files.

Graphical changes to the HTML pages can be made in the .jsp files.

The Java application can also be enhanced with your own functions or menu options.

Finally, the configured application must be assembled with the configuration tool and installed on the SAP J2EE server or Web AS.


SAP AG 2008

Setting the Language

English

English

SAP Biller Direct supports several languages. Depending on the setting in Java Customizing, the application is started either in the language set in the user's Internet browser, or in the language set in the user master record in the SAP ERP system. In each case, if the language is not available in the Java application, the system resorts to English as the default language.

The main priority when selecting the language is the Web user's logon language. The system then uses the communication language that is defined in the user's master record. Only then does the system use the language that is set as default in the browser.


SAP AG 2008

Setting the SAP Biller Direct Mode

Biller Direct Accounting Clerk Mode

Biller Direct Agent Mode*

- Standard Mode- Balance Mode

Biller Direct Customer Mode

* Contract A/R and A/P only

SAP Biller Direct was not designed for customer self-service only. Accounting clerks within the company can also operate it (in a call center, for example). In Accounting Clerk Mode (call center mode), clerks can search for customers first by specifying the address data, for example. Once the invoices that have to be settled are displayed, the clerks can accept customer orders for pay-in or pay-out transactions (cash payments are also possible for Contract A/R and A/P). The clerks can also print out or send receipts for the customer (with information such as the customer's name, address, data, amount and payment currency, as well as the paid invoices). The employee actions are logged in the same way as the corresponding customer actions.

Another mode is the Agent Mode, which enables third-parties (agents) to collect payment. An agent can also search for customers using address data (the same as in call center mode) and then collect their invoices on behalf of the company. Unlike the call center mode, the customer's payment methods (credit card, bank details) are not available. Instead, the agent collects the receivables in cash from the customer and, in subsequent processes, transfers this to the company. The agent can also procure an overview of the payments that he or she has already collected but not yet settled with the company.

The mode is determined by a parameter in the file: application-config.xml. If different modes are defined for different users, it is possible to add ?ebppMode=N& (mode N for standard-, B for balances, C or D for the call center mode) directly to the address in the browser's URL address line.


SAP AG 2006

BAdIs (SAP Accounts Receivable Accounting)

Biller Direct

Bill Credit

Payment

600 30

120

David Kwan

Along with the system settings stated, additional Business Add-Ins (BAdIs) are available in SAP Accounts Receivable Accounting, which you can use to directly customize the SAP Biller Direct functions to meet the organization's requirements.

The main BAdI is APAR_EBPP_GET_DATA, in which the system constructs the Web user's view of the bills, payments, and credits. Further information about functions and the tables involved is available from the configuration guide.

In addition, the EBPP_INVOICEDETAIL BAdI is the interface for determining bills, and is part of the financial accounting back-end system of SAP Biller Direct.


SAP AG 2003

Summary

By configuring the Java components in SAP Biller Direct and by implementing BAdIs in SAP Accounts Receivable Accounting, the following settings for SAP Biller Direct can be made:

Setting the Web user documentation, the interface texts, and the interface design

Setting the language

Setting the SAP Biller Direct session and the Web user's display of bills, payments, and credits


SAP AG 2006


Preface








SAP AG 2006

3.8 Architecture


Architecture variants (depending on the Release levels of the integrated systems)


SAP AG 2006

Architecture Variants

RFC

One-System Scenario Multi-System Scenario

SAPSAP ERP 2005ERP 2005(ECC 6.0)(ECC 6.0)

WebAS 7.0WebAS 7.0

SAP Biller Direct 6.0SAP Biller Direct 6.0(Java)(Java)

mySAP ERP mySAP ERP 2004/2004/SAP ERP 2005SAP ERP 2005



ororSAP FISAP FI--CA (min. 4.72)CA (min. 4.72)


WebAS 7.0WebAS 7.0

The following SAP components can be connected as the back end: SAP Accounts Receivable Accounting (at least FI-AR as a part of SAP R/3 4.6C)

SAP Contract Accounts Receivable and Payable (at least SAP FI-CA 4.72)

In addition to this, it is also possible to integrate the following FSCM components:

SAP Cash Management



SAP AG 2006

SAP Application Server

SAP Back End

(FI-AR)

Browser

SAP WebAS 7.0

SAP Biller Direct 6.0 Front End (Java)

JCO

Firewall

RFC

Firewall

WebServer

Invoicing systems (such as SD, CRM

Billing)

Invoice detailsand logistical data

Display open items

SSL

+

HTTPS

SSL

+

HTTPS

Company Network

Example Architecture (Multi-System Scenario)

The biller is, for example, using SAP Accounts Receivable Accounting in release SAP R/3 4.6C: In addition to this, the biller uses an SAP Web Application Server that the SAP Biller Direct is installed on.

Communication between the back end on the SAP Application Server ("ABAP environment") and the front end SAP Biller Direct ("Java environment") is via RFC.

The customer / bill-to party needs a web browser to view the invoices and customer information.

The customer logs on to the web server with his or her user ID and password to reach the Biller Direct front end.


SAP AG 2003

SAP Biller Direct – Summary

SAP Biller Direct can be set up as a single or multiple system landscape, regardless of the SAP Financial Accounting system used.



Exercises

Chapter: SAP Biller Direct


Set up a user for a customer who wants to display his or her billing information using SAP Biller.

Use SAP Biller Direct to display a customer’s invoices, credit memos and payments.

Use SAP Biller Direct to create a complaint about an invoice.

Trigger payments using SAP Biller Direct.

SAP Biller Direct makes it possible for companies to offer their customers the option of displaying their invoices online. Customers can use functions such as maintaining their user data, paying and settling their invoices, displaying their invoice documents in HTML or PDF format and making queries or complaints.

Task 1: Setting Up a Biller Direct User for a Customer

a) Customer FSCM## has decided to take up your offer of viewing his or her invoices via your company portal. The customer master record has already been created. Now you have to assign the customer a user for the company portal.

Assign the customer your user so that you can take on the role of the customer in the following exercises. To do this, navigate to the user master record maintenance for your FSC-## user and use the “References” function to refer to customer FSCM## from company code 1000.

b) Check that you have set up Biller Direct correctly by logging onto the invoicing party’s portal as the customer. To do this, open Internet Explorer and log on to the portal with your user name and password. (This is the same user name as you use in the SAP system.) Use the URL for the Biller Direct application that your instructor gave you, or go to SAP Easy Access Office Workplace Inbox Unread Documents

and cut and paste the URL supplied in the relevant message.

(You can add the URL to your Favorites in SAP Easy Access, as you will need it often during this course.)


Task 2: Displaying Biller Direct Data

a) Display open bills, credits, paid bills (status: processed) and payments (status: processed) at the Biller Direct front end. At the same time, display all of the customer’s line items in the SAP accounts receivable accounting, using line item display.

Is the data displayed in Biller Direct the same as the accounting data?

b) Display the paid invoices (status: Processed) in the Biller Direct front end again. Click on the invoice amount (field: Already Paid) in the details to see which payment settled the invoice.

Is this the same as the payment displayed in the Biller Direct front end on the Payments view (status: Processed)?

c) Click on the payment amount to show the detailed data for the payment and payment usage. Does this view refer back to the invoice shown above?

d) Display all of the customer’s open invoices in the Biller Direct front end. The invoice you created in the last exercise for the delivery of an M-12 monitor to customer FSCM## is also included in the list. Display the invoice document in HTML format and in PDF format.


Task 3: Making a Complaint via Biller Direct

a) The customer thinks that the monitor he or she ordered was delivered too late. Create a complaint about the invoice in question, using ‘Complaint ## Biller Direct’ as the reference information and make any other notes of your choice.

This automatically creates a dispute case in the back end in the SAP Dispute Management component. Display the new dispute case in the Biller Direct front end in the Dispute Cases view.


Task 4: Paying via Biller Direct

a) Display the customer’s open invoices in the Biller Direct front end and select the oldest invoice that is still open (amount: 220.00 EUR) for payment.

Is the net payment amount reported there the same as the amount of the invoice selected?

b) For the payment, specify new bank details with the following data:

Account Description: Current account ##

Bank Number: 10050033

Account Number: 12345678##

Account holder: Felsmann##

Country: Germany

Confirm the information you entered for the payment with the Continue function. Check the list displaying the invoices selected for payment and select the Pay function.

c) Now check if the invoice or the payment is displayed in the Paid Bills or Payments views, respectively.

What status is the invoice or payment displayed as having?

d) Check if the bank details you entered have been updated to your user data.

e) In the backend system, payment method ‘0 – Biller Direct Automatic Debit’ was auto-matically set in the open items for the invoice you released for payment. This means that the open item is no longer used to create dunning notices in the backend system and can no longer be cleared manually either.

Check the payment method that was set by displaying the accounting document in the SAP accounts receivable accounting.

f) In the backend system, trigger the automatic debit of the invoice specified for payment in Biller Direct. To do this, use the payment program.

g) Check the line item display in the back end to verify whether the open item was cleared by the payment document generated in the payment program.

h) Now check how the invoice or the payment is displayed in the Biller Direct front end in the Paid Bills or Payments views, respectively.

What status are the invoice and the payment now shown as having?


Solutions

Chapter: SAP FSCM Biller Direct

Task 1: Setting Up a Biller Direct User for a Customer

a) Customer FSCM## has decided to take up your offer of viewing his or her invoices via your company portal. The customer master record has already been created. Now you have to assign the customer a user for the company portal.

Assign the customer your user so that you can take on the role of the customer in the following exercises. To do this, navigate to the user master record maintenance for your FSC-## user and use the “References” function to refer to customer FSCM## from company code 1000.

In SAP Easy Access, go to: Tools Administration User Maintenance Users.

Enter your user name (FSC-##) and click on the ‘change’ icon in the application toolbar (pencil).

Now select: Goto References.

Use the “Insert Row” (button with green cross) to insert a row with the customer you just created:


Obj. type BUS3007

Name Filled automatically

Key 1000FSCM## (where ## is your PC or group number)

Make sure that you enter the key in upper case.

Save your data.

Click on the yellow arrow to return to the SAP Easy Access menu.


b) Check that you have set up Biller Direct correctly by logging onto the invoicing party’s portal as the customer. To do this, open Internet Explorer and log on to the portal with your user name and password. (This is the same user name as you use in the SAP system.) Use the URL for the Biller Direct application that your instructor gave you, or go to SAP Easy Access Office Workplace Inbox Unread Documents

and cut and paste the URL supplied there.

(You can add the URL to your Favorites in SAP Easy Access, as you will need it often during this course.) Open Internet Explorer by going to START INTERNET.

Then use the URL for the Biller Direct application that your instructor gave you.


Task 2: Displaying Biller Direct Data

a) Display open bills, credits, paid bills (status: processed) and payments (status: processed) at the Biller Direct front end. At the same time, display all of the customer’s line items in the SAP accounts receivable accounting, using line item display.

Is the data displayed in Biller Direct the same as the accounting data? Yes.

To display the Open Bills, Credits, Paid Bills (status: Processed) and Payments (status: Processed) in the Biller Direct front end go to the tab page with the same name and, where appropriate, select the value ‘Processed’ in the status field.

To display the line items in SAP accounts receivable accounting, go to SAP Easy Access: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items.




Company code 1000

All items Select this option


Click on Execute (green check mark on a clock).

b) Display the paid bills (status: Processed) in the Biller Direct front end again. Click on the invoice amount (field: Already Paid) in the details to see which payment settled the invoice.

Is this the same as the payment displayed in the Biller Direct front end on the Payments view (status: Processed)?

Yes.

To display the paid bills, open the Paid bills tab page and set the value in the Status field to ‘Processed’. To display the details, click on the amount shown as a link in the Already Paid field.

To display the payments, open the Payments tab page and set the value in the Status field to ‘Processed’.


c) Click on the Payment Amount to show the detailed data for the payment and payment usage. Does this view refer back to the invoice shown above?

Yes.

To display the details, click on the amount shown as a link in the Payment Amount field.

d) Display all of the customer’s Open Bills in the Biller Direct front end. The invoice you created in the last exercise for the delivery of an M-12 monitor to customer FSCM## is also included in the list. Display the invoice document in HTML format and in PDF format.

You can find the customer’s open bills on the Open Bills tab page. To display the invoice document in HTML format, click directly on the invoice shown as a link. You can display the invoice document in PDF format by clicking on the relevant button in the Action field.


Task 3: Making a Complaint via Biller Direct

a) The customer thinks that the monitor he or she ordered was delivered too late. Create a complaint about the invoice in question, using ‘Complaint ## from Biller Direct’ as the reference information and make any other notes of your choice.

This automatically creates a dispute case in the back end in the SAP Dispute Management component. Display the new dispute case in the Biller Direct front end in the Dispute Cases view.

The invoice for the monitor ordered (amount: 913.38 EUR) is on the tab page for open bills. You can create a complaint by clicking on the Create Inquiry button in the Action field. Select the reason ‘The delivery was too late’ and enter ‘Complaint ## Biller Direct’ in the Reference field. Enter any Comment of your choice and click on Send.


Task 4: Paying via Biller Direct

a) Display the customer’s open invoices in the Biller Direct front end and select the oldest invoice that is still open (amount: 220.00 EUR) for payment .

Is the net payment amount reported there the same as the amount of the invoice selected? Yes.

To display open invoices, go to the Open Bills tab and select the invoice in question by setting a check mark. The invoice amount is copied to the net payment amount field.

b) For the payment, specify new bank details with the following data:

Account Description: Current account ##

Bank Number: 10050033

Account Number: 12345678##

Account Holder: Felsmann##

Country: Germany

In the area for selecting the payment method, select the option New bank details. Fields appear for specifying bank details – fill these fields with the information specified above.

Confirm the information you entered for the payment with the Continue function. Check the list displaying the invoices selected for payment and select the Pay function.

c) Now check if the invoice or the payment is displayed in the Paid Bills or Payments views, respectively.

What status is the invoice or payment displayed as having?

The invoice and payment each have the status ‘In process’ in the Paid Bills and Payments views, respectively. The invoice also has the more concrete status ‘Web Payment Arranged'.


d) Check if the bank details you entered have been updated to your user data. Yes.

e) In the backend system, payment method ‘0 – Biller Direct Automatic Debit’ was automatically set in the open items for the invoice you released for payment. This means that the open item is no longer used to create dunning notices in the backend system and can no longer be cleared manually either.

Check the payment method that was set by displaying the accounting document in the SAP accounts receivable accounting.

In the SAP Easy Access menu, select: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items.




Company code 1000

Open items Select this option



Double-click on the line item that you selected for payment in Biller Direct. The document display appears.

Click on the Additional Data button. The payment method field contains the value ‘0’.


f) In the backend system, trigger the automatic debit of the invoice specified for payment in Biller Direct. To do this, use the payment program.

In the SAP Easy Access menu, select: Accounting Financial Accounting Accounts Receivable Periodic Processing Payments.



Run Date Today's date

Identification

##-1 (where ## is your PC or group number)

Parameter tab page


Posting Date Today's date

Docs entered up to Today's date

Payments control area

Company codes 1000

Payment methods 0

Next posting date A month from today

Accounts area

Customer FSCM##

Save.

Go to the Status tab page.

Select the Schedule Payment Run function, confirm the subsequent system message, set the ‘Start immediately’ flag and start the payment program (green check mark).

Update the status until the payment run has been executed and the posting orders have been generated and completed.


g) Check the line item display in the back end to verify whether the open item was cleared by the payment document generated in the payment program.

In the SAP Easy Access menu, select: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items.




Company code 1000

All items Select this option



The corresponding invoice is now displayed as being balanced (status: green) and contains the payment generated by the payment program as its clearing document (with the same amount).

h) Now check how the invoice or the payment is displayed in the Biller Direct front end in the Paid Bills or Payments views, respectively.

What status are the invoice and the payment now shown as having?

The invoice and payment each have the status ‘Processed’ in the Paid Bills and Payments views, respectively. The customer can now no longer stop the payment.



SAP AG 2006

SAP Dispute Management – Course Overview

Preface








SAP AG 2006

SAP Dispute Management – Course Scenario


Create sales ord.Check currency

Release sales ord.

Electronic billing

Processing payments





Business Partner



Management

Purchaseorder





• SAP Dispute Management is used to clarify customer problems that have been entered using Biller Direct

.


SAP AG 2006

4 SAP Dispute Management (Course Overview)

Preface




Unit 4 SAP Dispute Management4.1 Dispute Management Overview4.2 Finance Process Integration4.3 Dispute Case Details4.4 Dispute Management Functions4.5 System Configuration4.6 Architecture


Attachment I

Attachment II


SAP AG 2008

4.1 SAP Dispute Management (Course Overview)


Definition of SAP Dispute Management

Problems in dispute case processes

Events that cause dispute cases

SAP Dispute Management functions

Example of a dispute process


SAP AG 2008

Definition of SAP Dispute Management

SAP Dispute Management is part of SAP Financial Supply Chain Management.

SAP Dispute Management provides functions to process discrepancies between organizations and customers regarding the customer's financial obligation (in other words, the dispute case).

It enhances the following logistical process chains in the stage between billing and payment, if discrepancies arise with the customer:

> Customer order – Delivery – Billing – Payment > Contract – Service provision – Billing – Payment


SAP AG 2008

ProblemHigh number of dispute cases

Difficulty in projecting thecash flow

High costs of resolving disputed bills

Disputed bills can lead to difficulties in customer relationships due to:

Quality problems

Logistical problems

Pricing

Customer relationships

…

Problems in Dispute Case Processes


Payment delays/Non-paymentsProcess conditioned payment delays




CostsMinimization

LiquidityHedging

RevenueMaximization

There is a range of problems in the dispute case process, which indicate the optimization potential of Financial Supply Chain Management, and which served as a starting point for developing SAP Dispute Management:

If customers pay reduced amounts or do not pay at all, the length of time that the receivable is outstanding increases (DSO). This is the case particularly when the customer's payment behavior worsens.

In the case of deductions, the due date for net payment is no longer valid for the cash flow projection. This causes difficulties in the cash flow projection.

Resolving dispute cases is currently a very manual, high-cost process. The increasing number of dispute cases therefore has a duplicate effect on the costs.

In addition, dispute cases can indicate problems in the customer relationship or within the organization, and they are therefore an important starting point of departure for quality management.


SAP AG 2006

Visibility of Dispute Cases

When do selling companies notice the existence of dispute cases?

The customer informs them about the deduction.Call center contactContact with the Accounts Receivable clerk

The incoming payment is an underpayment.Postprocessing of incoming payments (account statement)Manual posting of incoming payments

The customer does not pay an invoice.There are valid reasons:

Goods were damagedIncorrect pricingLate delivery…

There are invalid reasons:Delivery was on timePricing was correct…


SAP AG 2006

Conclusion

Dispute cases can arise in various types of organizational units such as accounts receivable accounting or in a call center.

The selling organization must be able to enter and process dispute cases across different departments.

The integration of dispute case processing in financial and logistical processes is the basis for process optimization.


SAP AG 2003

SAP Dispute Management Functions

SAP Dispute Management controls and streamlines processing of dispute cases.SAP Dispute Management organizes and stores all information and documentation relating to a dispute case centrally.As the central component for handling dispute cases, SAP Dispute Management facilitates a solution for resolving dispute cases across departments.SAP Dispute Management is integrated into financial and logistical processes.SAP Dispute Management provides reporting for:

Recognizing problems with quality

Controlling the workload

Tracking the dispute process


SAP AG 2006

Example: Dispute Case for Incoming Payment

Processincoming payments

Underpayment?

Clear billand post remaining items

Open dispute casefor residual items

Reasonknown?

Clearbill

Obtain information fromresponsible processor

Reductionjustified?

Write off residualamount?

Requestamount

Write off andclose dispute

case

no

yes

yes

no

no

noyes

Assign reason andattach relevant documents

(fax, letter, and so on)Clarification

yesCreatecredit

Clear residual items; closedispute case

An example of how a dispute case develops: An employee posts incoming payments and discovers a reduced payment that exceeds the defined tolerance.

The employee then assigns the relevant bill and creates a residual item.

At the same time, the employee creates a dispute case for the residual item.

If the reason for the difference is known, this can be assigned to the dispute case immediately; otherwise the employee must assign a person responsible as the next processor, who must then determine the reason.

As soon as the reason has been determined, the processor must check whether the reduction is authorized.

If the reason is justified, the processor then creates a credit memo and closes the case.

If the reason is not justified, the amount can be demanded from the customer or written off.


SAP AG 2006

Summary

Dispute cases can arise for various reasons, and can appear in the company in various processes and in various organizational units, such as accounts receivable accounting or in a call center.

SAP Dispute Management provides functions for processing dispute cases across departments and processes.

SAP Dispute Management organizes and centrally stores all information and documents related to a dispute case.


SAP AG 2006


Preface








SAP AG 2008

4.2 Process Integration of SAP Dispute Management


Integration in financial processes

Integration with SAP Biller Direct


SAP AG 2006

Process Integration

FI-AR system DM system

Transactions in A/R accounting:• Create/display/change document

• Display line item list• Account maintenance• Post incomingpayments

• Postprocessing of bank statements

- Attributes- Case record- Notes- Functions- Log

Create dispute case

Display dispute caseChange dispute case

Transactions in SAP Dispute Management:• Organizer

Change amount fieldsAdd documentsNotesChange attributes: clerk administration, status administration (escalation, close),mass changes trigger…… functions: workflow, correspondence

Actions in accountsreceivable for the linked receivable

SAP Dispute ManagementSAP Accounts Receivable Accounting

Customer message Customer message

Manual

Automatic

Process integration into financial processes has the following aspects: • Integration of Dispute Management functions (creation, display, and editing of dispute cases) in

financial processes/transactions

• Automatic update of dispute cases by certain financial transactions

• Automatic update of items in dispute cases by certain actions in Dispute Management


SAP AG 2006

Dispute Case Processing from Accounts Receivable Accounting

SAP Dispute Management is integrated into the areas of SAP Financials Accounts Receivable Accounting where disputed invoices typically become visible:

Post incoming payments (create residual items)

Line item display

Clear account (create residual item)

Bank statement postprocessing (create residual item)

Create/display/change document

Automatic creation of residual items, for example processing electronic bank statement

You can manually create, change, and/or display dispute cases from the following transactions, by means of a specific button or in the menu:

• Post incoming payments: Residual items (F-28)

• Line item display (FBL5N) – in order to display which item is assigned to a dispute case, dispute case attributes (such as case ID, processor, status) can also be included in the layout of the line item list

• Clear account: Residual items (F-32)

• Create/change/display document (FB01 / FB02 / FB03)

• Postprocessing bank statement: Residual items (FEBAN)

By starting a program run, you can automatically create dispute cases for residual items that have been created by automatic incoming payment (for example, electronic or manual bank statement, lock box file or check deposit transaction).

Notes on creating dispute cases:

• Debits can be included in a dispute case as “disputed items”. All other items (credits, clearances) are entered as “customer-disputed objects”.

• When a dispute case is being created from the line item display, multiple items (including credit memos) can also be included in the dispute case as “disputed items” as long as the total amount is a debit amount. However, a document can only be included in one dispute case as a “disputed item”. If additional disputed cases are created for this document, it is included as a “customer-disputed object”.


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Manual Creation of Dispute Cases from Financial Transactions

User ActionEnter data for new fieldsWrite note

Process IntegrationAutomatic derivation of the customer and company code fieldsUpdate amount field ‘Original Disputed Amount’Link document to ‘Disputed Objects’ folderLink document to 'Customer-Disputed Objects' folderLink billing document for disputed document to 'Other Objects' folder

Financial Transaction

Create Dispute Case

The user can perform the following actions when creating a dispute case: Enter data, such as the reason, the coordinator, and so on

Select a contact person (not possible with integration to SAP R/3 4.6C)

Write a note

Creating a dispute case from a financial transaction leads to the following automatic actions:

The system copies amounts from FI document(s) (‘disputed document’ type) into the amount fields ‘Original disputed amount’ and ‘Disputed amount’ of the dispute case.

The system populates the dispute case attributes ‘customer’ and ‘company code’ by deriving them from the FI document.

The selected FI document(s) is (are) linked to the folder ‘Disputed Objects’ or ‘Customer-Disputed Objects’, depending on their type.

The customer is assigned to the folder ‘Business Partner’.

If a billing document is available, it is assigned to the folder ‘Other Objects’ (for the ‘disputed document’ type).

Attributes of the dispute case, such as status, priority, or coordinator, can be filled automatically according to the rules defined in the Business Add-Ins.

Note: You can also create a dispute case in Dispute Case Processing of SAP Dispute Management and add open items to it from there.


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Assignment of Open Items to Dispute Cases

When creating dispute cases for an open item, the system checks whether dispute cases already exist. The following possible functions are provided:

Creating a new dispute case for the selected open item

Assigning the open item to an existing dispute case

When you select the assign function, existing dispute cases are evaluated and made available for selection in list form.

In the standard system, the following are used as evaluation criteria:

Customer

Company code

Invoice reference

Customer-disputed amount (in tolerance limits)

You can use an implementation for the BAdI definition FDM_AR_CDIS_ASSIGNMENT to make customer-specific adjustments to evaluation criteria.

Open items can also be assigned automatically to existing dispute cases (for example, residual items from payment processing can be assigned to a dispute case with a customer-disputed amount that was created before the payment run):

The report RFDM4000 creates an assignment proposal (and assigns if unique)

The report RFDM4010 is used for manual postprocessing of assignment proposals


SAP AG 2009

Automatic Creation of Dispute Cases

Selection of residual itemsCompany codeHouse bankAccountetc.

Selection of open itemsAmountReason codeetc.

Output controlDispute case depending on residual items / document itemDispute case depending on reason code

Process IntegrationFill ‘Original Disputed Amount’Link accounting document to folder ‘Disputed Objects’Link billing document to folder ‘Other Objects’Automatic derivation of field content

Residual items fromElectronic and manual bank statementLock box fileCheck deposit transaction

Postprocessing open receivables

Create Dispute Cases

The automatic creation of dispute cases by a program run is enabled for residual items that were created by

Electronic and manual bank statement

Lockbox processing

Check deposit transaction

Alternatively, you can create dispute cases for open receivables items. You can restrict the amount of open items using selection conditions.

Process integration works in the same way as manually creating dispute cases.


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Displaying Dispute Case Attributes in Line Item Display

Dispute case attributes can be made available as fields in the line item layout, for example:

Case ID

Processor

Priority

Status

All items assigned to a dispute case are easy to recognize.

The information about a dispute case is available on one screen.

The accounts receivable accountant must be able to see which items belong to a dispute case. For this purpose, the Case ID, Processor, Priority, and Status fields can be made available for the line item display, and then transferred to the layout definition.

If you require more attributes than the four mentioned above, enhance the RFPOS and RFPOSX structures.


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Updating Dispute Management Information

Dispute cases are automatically updated by financial transactions such as

Incoming payment for disputed item

Offset credit memo for disputed amount

Manual clearing of disputed item

The update is visible in the dispute caseIn corresponding amount fields (overview)

As linked objects in specific folders (detail)

The following transactions update the dispute case:

Incoming payment (F-28, F-26)

Credit memo with reference to disputed document (F-27, FB75) plus clearing credit memo with disputed document (F-32)

Other clearings (F-32), for example, to manually write off the disputed amount

Reverse document (FB08)

Reset clearing document (FBRA)

Note: Automatic updating within the process integration is performed only for dispute cases with "disputed objects" (<> "customer-disputed objects")


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Updating Dispute Management Information

Amount fieldsOriginal Disputed AmountDisputed AmountCreditedPaidCleared Manually

FolderResolved ObjectsItems Assigned during Clearing

Financial transaction

Dispute case update

Incoming payments update the "Paid" field. Cleared credits with reference to dispute cases update the "Credited" field. Further clearings update the "Cleared Manually" field.

Reversing the clearing updates the field that was updated before the clearing.

Finance transactions update the linked documents in the "Resolved Objects" and "Items Assigned during Clearing" folders.

Documents are reversed by a cancellation. This means that the document is removed from the folder and the corresponding amount fields are updated.

Note: The next unit contains a more detailed description of all amount fields and folders.


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Integration with SAP Biller Direct

The integration of SAP Dispute Management with SAP Biller Direct allows customers to send inquiries and notes to the organization directly from the bill display on the Internet, and also to trigger a review.

As soon as the bill is displayed on the Internet, the customer can enter information for the review.

The organization's employees can process dispute cases immediately and work together with the customer using the same channel of communication.

A customer can view bills on the Internet using SAP Biller Direct. If the customer does not agree with the bill, a note can be entered to make the organization aware of the error.

In this case, the system creates a dispute case automatically in SAP Dispute Management, which forwards the information to the person responsible.


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Summary

You can create, change, or display dispute cases in different financial accounting transactions. The relevant dispute case information is updated automatically through financial accounting integration.

Through integration with SAP Biller Direct, customers are able to enter their own information about the dispute and thereby initiate the dispute process.


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Preface








SAP AG 2008

4.3 Dispute Case Details


Dispute case definition

Dispute case attributes

Structure of the linked objects

Notes and action log


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Dispute Case Definition

A dispute case is a new business object that:

Uses descriptive attributes to summarize the information at header level (case attributes)

Links all of the documents and objects that are relevant to resolving a dispute case in an electronic file

Can be processed by several departments

Can be entered using various channels of communication


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Setting Up the SAP Dispute Case

Linked objects

Roles

Amount fields

Status

Notes

Action log

Contact person

Reason

A dispute case contains: Different case attributes in the form of information fields, such as customer and company-code, amount fields, roles, status and reason, and contact person

A case record in which objects such as SAP documents or office documents are linked to the dispute case and structured into corresponding folders.

Notes Action log


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Cause

Damaged goods

Cause Incorrect invoice

Short delivery

…

The cause is a clarification attribute that specifies the reason for a dispute case when the dispute case is created. This could be, for example:

Damaged goods

Incorrect invoice

…

A cause will have significant impact on the resolution process. If the cause of a dispute case is a short delivery, the next process steps will most likely be taken in the logistical department.

You can define selectable causes for a dispute case in Customizing.

Besides the cause there is the "final cause" as an additional dispute case attribute. This cause specifies the actual cause of the problem and should be filled when closing every dispute case (if possible) so that it can be used for analyses with regard to the reasons for dispute cases.


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Status

New

Status In Process

Completed

…

The status shows the current state of processing, for example: New

In Process

Completed

Voided

You can define your own status in Customizing according to your business requirements.

A status can be set manually or automatically. For example, you can make Customizing settings so that dispute cases are completed automatically if the dispute case has no more items to be clarified.


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Amount Fields of Dispute Case

Original disputed amount

Amount Fields

Disputed amount

Paid

Credited

Cleared manually

Automatically written off

Customer-disputed amount

Customer-disputed amount: Can be calculated (as the total of the customer-disputed documents) or entered as a partial amount of the total.

Original disputed amount:

• Amount disputed when the dispute case was created

• This is the sum of all disputed items (e.g. invoice, residual item)

Disputed amount:

• Amount that is currently disputed

• It is different to the original disputed amount because of payments, credit memos, write-offs

Paid: Amount of the original disputed amount that has been paid

Credited: Amount of the original disputed amount that has been credited

Manually cleared:

• Amount that has been cleared manually

• Cash discount and bank charges for incoming payments (not if partial payment)

Automatically written off: Amount that has been written off by write-off program of Dispute Management


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Roles

Coordinator Processor Person responsible

Roles

Up to three roles can be assigned to each dispute case: The coordinator monitors, coordinates, and takes responsibility for processing the dispute case, and is the contact person for the processor (for example, the dispute manager of a business area).

The processor is the person currently assigned to processing the dispute case. For example, a shipping manager who clarifies whether errors occurred during delivery, or a head of department who approves credit memos.

Whereas the coordinator generally controls the entire forwarding process, the processor is usually responsible for a particular task only, and returns the dispute case to the coordinator after having completed the task.

The person responsible is the person to whom the dispute case is escalated and who is responsible for resolving the dispute case in terms of the costs involved. When dispute cases are written off automatically, a corresponding cost center can be debited with the amount written off.

Note:

A user can have several roles at the same time.

The users assigned to the different roles must be system users.


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Contact Person

Name

E-mail

Telephone number

Fax number

Contact person

You can save the name, e-mail, telephone number, and fax number of a customer's contact person directly in the dispute case. The contact person's data is used, for example, when sending correspondence about a dispute case.

You can copy the contact person directly from the customer master data or enter the person manually in the dispute case.


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Structure of Linked Objects (Case Record)

Disputed Objects

Resolved Objects

Items Assigned During Clearing

Other Objects

Business Partner

Miscellaneous

Customer-Disputed Objects

The dispute case offers a pre-defined folder structure, also known as a case record, for storing related SAP business objects and other documents assigned to the dispute case, such as Office documents or PDF files. The standard case record provided by SAP contains the following folders:

• Business Partner: Contains customer master (automatically linked)

• Customer-Disputed Objects: Contains objects (such as open items, residual items, cleared items, ...) that were linked to the disputed case as “customer-disputed objects” when the disputed case was created.

• Disputed Objects: Contains objects (such as open items, residual items, ...) that were linked to the case (automatically linked) when the disputed case was created.


• Resolved Objects: If documents from the Disputed Objects folder are partly or completely cleared, for example through payment or a credit memo, the system automatically moves these documents to the Resolved Objects folder.

• Items Assigned During Clearing: Contains documents that have been used to clear disputed items, such as credit memos and partial payments (automatically linked)

• Other Objects: Contains documents that are useful in solving disputed cases, such as billing documents (Sales or CRM) for the disputed items, the original FI invoice for a disputed residual item, linked disputed cases (in a disputed case split), account statement items (automatically linked)

• Miscellaneous: Contains all other types of documents that help resolve a disputed case, such as Office documents, SAP business objects, SAP transactions - which can be manually added to the folder

The folder structure, including the folder names, can be configured specifically for the user (especially in the manual folder area).


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Notes

Description Reply Concluding remark …

You can use external notes for correspondence.

Notes

You can create notes to document activities connected to the dispute case. To do so, you can define note types in Customizing, such as remark, reply, instruction, or other.

In Customizing, you can also define which note types are external note types. External notes can be added to the customer correspondence.

Notes are saved in the note history with the name of the user, the time, and the note type.


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Action Log

MILLERBROWNPROCESSORBROWNChange attribute

09:10:2004/18/2005

BROWNAccess case notes

09:12:4504/18/2005

MILLERDisplay case11:45:1204/12/2005

Value newValue oldAttributeUserActivityTimeDate

Action log shows

• All transactions for each dispute case

• All changes to attributes

• Selected view on changes (example, filter changes by user, by field)

The log offers functions to

• Sort

• Set filters

• Find

• Define views for layout

• Export and send

Note: You specify in Customizing which attribute changes are to be logged.


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Summary

The SAP dispute case is an object that links together all of the information, documents, and objects that are relevant for the resolution of a dispute case.

A descriptive attribute at header level (dispute case fields) summarizes the information.

Users with different roles (coordinator, processor, and person responsible) can be assigned to a dispute case.

The dispute case provides a predefined folder structure to save linked SAP business objects and other documents linked to a dispute case, such as Office documents or PDF files.

You can enter notes of different types for a dispute case.

Customizing settings define which attribute changes should be logged.


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Preface








SAP AG 2008

4.4 Dispute Management Functions

Topics of this unit:Dispute Case Processing in SAP Dispute Management

Creating a dispute case

Finding a dispute case (locator)

My Dispute Cases

Mass Changes

History

Resubmission

Processing a dispute caseChanging attributes

Maintaining contact person data

Linking objects and attaching documents

Corresponding

Integrating manual workflow and SAP workflow

Automatic posting

Reporting options


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Structure for Processing Dispute Cases


Record and case record models

Documents

Cases

Dispute case

Find dispute case

My dispute cases

Role-Based ViewFavoritesResubmission (10)Inbox

History

Incorrect goods delivered

Discount incorrect

Subsequent delivery of missing goods

Dispute case 70

(1) Case search (selection)(2) My dispute cases (list)(3) Dispute case (header data)

(1) Case search result (list)(3) Dispute case

• Linked objects• Notes• Log

Organizer Results Area

The Dispute Case Processing (accessed with transaction UDM_DISPUTE) is where all users functioning as coordinators or (professional) agents (such as dispute managers and dispute specialists) perform their tasks.

The Dispute Case Processing has two main areas: one where actions are started (left-hand side: Organizer) and one for the Results area (right-hand side)

In the Role-Based View, users can work on the record and case record models (only for Customizing users) as well as on dispute cases. Different role-based views can be defined for processing dispute cases, say, to restrict the end user's view to the Cases folder.

The History enables quick access to dispute cases and other objects you have been working on before.

The Results area display depends on the action performed in the editing area:

• Find Dispute Case Selection criteria for case search

• My Dispute Cases List of dispute cases (search result)

• Create dispute case Screen for creating dispute cases

• ..


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Create Dispute Case in Dispute Case Processing

Dispute Management

Record and Record Case Management

Cases

Dispute Case

Find Dispute Case

My Dispute Cases

Documents

FindCreateInformation

Dispute cases can be created from Dispute Case Processing using the context menu of the ‘Dispute Case’ folder.

After saving the dispute case, you can assign additional items using the specified button. To do this, you perform the following steps:

Select the customer and the company code

Select the open item and assign it to the case using the button ‘Create Dispute Case’

Process integration automatically updates the case (amount fields and business objects in folders – the latter after re-entering the case)

You can subsequently assign additional items to an existing dispute case if it does not have the system status ‘Closed’ or ‘Voided’.


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Change field contents

Find Dispute Case and Mass Changes

Planned Close Date

Disputed Amount

PriorityMishraCoordinator

ReasonProcessor

NewStatus4711Customer

Late delivery

MediumNewPartial payment938736304

Late delivery

HighNewUnderpayment536777101

ReasonPriorityStatusHeadingExt.Ref.Case

Find dispute case allows you to search for dispute cases with specific case attributes that you defined in Customizing.

For each search, you can combine different search fields with one another (for example, all of the dispute cases with the status New for customer 4711).

The system displays the search results in a list:

You can filter and sort the list.

You can define a specific layout for the list display.

You can double-click the relevant case to access the dispute case directly from the results list.

The results list can be used for mass changes, such as setting an escalation reason or replacing a processor. In Customizing, you can define the fields that are relevant for mass changes.


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My Dispute Cases

Late deliveryMediumNewDeduction245556354

Incorrect price

LowIn ProcessUnderpayment234144544

Damaged goods

HighIn ProcessCustomer Call321555608

Late deliveryMediumNewPartial payment938736304

Late deliveryHighNewUnderpayment536777101

ReasonPriorityStatusCase HeaderExt.ref.Case ID

Update List Processor Change Field Content

My Dispute Cases is a predefined search that displays all of the dispute cases to which the user is assigned as the processor, coordinator, or person responsible. You can change the display between these three roles (using Processor).

You can double-click the relevant case to access the dispute case directly from the results list.

The search result can be refreshed and used as the basis for mass changes.


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History

History

Case 101

Case 354

Case 45

Record model xxx

The history logs the business objects that a user last processed. If you double-click the relevant item in the history, the system returns to the corresponding transaction and the relevant object. Furthermore, you can start the following activities from the history (for each context menu):

Display, change, delete

Resubmit

Information

Delete from history

…


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LowNew05/04/200505/04/2005Proof of delivery

High

Very High

High

Priority

In Process06/01/200505/04/2005Customer Call - Glenn

In Process05/21/200505/04/2005Damaged goods

New05/19/200505/04/2005Underpayment Mishra

StatusDuedate

Submissiondate

ElementIcon

Resubmission

The system can display dispute cases, as well as other elements such as documents, in a resubmission list.

The resubmission list contains only elements whose submission data is the same as or older than the current date. Elements whose due date has passed are highlighted.


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Processing a Dispute Case

Change status, priority, and so on

Read and create notesCreate a customer contact person

Assign a customer contact to the case

Dispute Case

Assign next processor

Create correspondence

Read document

Download document

Link SAP objects

You can carry out various activities in the dispute case: Change the status, priority, and so on.

Assign the next processor, to forward the case to someone else.

Assign customer contact data to the case.

Create a customer contact in the customer master data.

Read notes.

Enter notes.

Read documents.

Define an escalation reason.

…


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Uploading Documents

Various

Various All element types

Documents

Documents with template

To select fixed element types

…

General transactions

ArchiveLink documents

You can attach a document (Microsoft [MS] Office document or PDF document) to a dispute case from a local file as follows:

Open the Various folder.

Double-click the Various node.

A dialog box appears Select Document with Template.

On the next screen Select the application From File.

Select the document that you want to upload.

Enter a document name.

Choose the green arrow to return to the dispute case.

Save the dispute case.

Note:

You can read further documents by clicking the secondary mouse button on the Various folder and choosing Create.

Documents that are linked to a dispute case can be downloaded to a local file as well.


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Available functions:

• Change• Save as a new version• Send document (with Microsoft Outlook)• Close/Reopen• Display log• Download• Upload

Attaching Microsoft Office Documents

Application

Microsoft Excel

Microsoft PowerPoint

Microsoft Word

from file

--

Microsoft Office documents can be attached directly from a dispute case: Steps 1 – 3: See previous Uploading Documents slide.

Select the application that you want to use to attach the documents and enter the relevant data.

Save the document: Enter a document name and create a unique ID.

The following functions are available:

- Change and save a document

- Save the versions (you can change only the current version - previous versions can be displayed only).

- Close the document.

- Open the document again.

- Send the document to an e-mail address (using MS Outlook).

- Display log entries.

- Download/Upload

If you have to create similar documents for a large number of dispute cases, you can define a document template and make it available in Customizing.


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Linking Other Objects

Miscellaneous

Miscellaneous All Element Types

Documents

Documents with Templates

Element Types for Selection

…

General Transactions

Archive Link Documents

Customer

You can also link transactions, SAP objects or archive link documents to a dispute case: Open the folder 'Miscellaneous' Double-click the node 'Miscellaneous' A popup menu is displayed

Select the relevant element type:

SAP object, for example, Customer, Billing Document, CRM Billing

Archive Link Documents

General transactions, for example, FB75 (Enter Customer Credit Memo)

The next step depends on the selected element type:

For SAP objects, it depends on the BOR method ‘Display’. Example: Customer provides a search function

For archive link documents, you can choose between the functions Find, Create, Load Local File, Create with Scan Program

You must enter the transaction code for general transactions

Note: To link more than one object to the folder 'Miscellaneous', right-click the folder and select the activity 'Create'.


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Correspondence

Action correspondence

Manually Automatically

Create correspondence

Send/Printimmediately

Send/Print asynchronously

You can create correspondence for dispute cases manually or automatically: Manually by the user Automatically by trigger events such as:

- Creating a dispute case (status New)

- Closing a dispute case (status Completed)

- Planned closing data exceeded dispute case is therefore escalated

Customizing settings define whether correspondence should be sent or printed immediately or asynchronously.

With asynchronous processing, one of the following conditions occurs:

The RSPPFPROCESS program is scheduled as a regular background job.

In the SAP Dispute Management menu under "Periodic Processing in Dispute Case Processing", the "Processing of Actions" transaction is called.

From dispute case processing, you can request or create manual correspondence:

Customizing settings define whether the requested correspondence should be sent or printed immediately or at a later time.

The system provides all notes intended for external communication for the selection of manual correspondence.


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Manual Workflow Within Dispute Management (Example)

Dispute case

Create dispute caseAssign next processorCreate note about actions taken and request for next activitySet processing deadline for next activity

Access dispute inboxRead instructions for next activityTake action to clarify caseNote activityAssign next processor (if necessary)

Next processor

Dispute case

Next processor

A dispute case is usually processed by several people across different departments. If a person is assigned to a case as processor, the dispute case is in his or her dispute case inbox. The processor opens the dispute case and reads the note created by the previous processor to find out what he or she needs to do to resolve the case.

The processor performs his or her part to resolve the dispute.

He or she notes down the results, changes dispute case attributes accordingly, uploads documents and links objects that help to resolve the case, and if necessary instructs the next processor how to proceed.

The next processor is assigned and sees the dispute case as a new case in his or her dispute case inbox.

This procedure reflects a manual workflow.

The coordinator can track whether the processing deadlines have been met and can escalate overdue dispute cases.

Note: Along with this manual workflow, SAP Dispute Management can also be integrated with the SAP Workflow.


SAP AG 2003

SAP Workflow Integration

Occasionalprocessor

Regularprocessor

Excluded fromSAP workflow integration

SAP WorkflowIntegration

Shipping associate

Account manager

AR accountant

Dispute case manager

Occasional processors are used during the dispute process only in unique cases. They do not usually process dispute cases. They should therefore be informed by e-mail when an activity is required from them. They require a simplified interface with reduced functions.

When workflow integration is activated, all users are assigned automatically as occasional processors. To allow information to be e-mailed, you must defined e-mail addresses in the user master record.

Regular processors are users who work directly with the SAP Dispute Management system, and whose task is to process dispute cases. They are usually dispute case coordinators and do not require any specific information to be defined.

With the current settings for dispute case processing, these users can be excluded from the SAP workflow integration (with mySAP ERP 2004).


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Automatic Write Off

Assignreason for escalation

Start write off run

Close dispute case/Write off disputed amount

In SAP Dispute Management, disputed amounts can be written off automatically if the cases cannot be resolved.

Automatic write off is done in two stages:

In the first stage, an escalation reason is assigned to the dispute case using the mass changes function.

In the second stage, the automatic write-off run is started for the escalation reason set and for a number of dispute cases (optional).

Result: The disputed amount is written off automatically and the dispute case is closed.


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Reporting I

Ad hoc reporting in Dispute Management:

List-based reporting

Flexible layout

Search, filter function

Data available for reporting:

All dispute case attributes

Processing dispute cases from the list is possible


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Reporting II

Integration with the SAP BI Data Warehouse

Online Analytical Processing (OLAP) reportingDrilldown

Slice and dice

Available data for reportingAll attributes

Linked business partners

Disputed and resolved items (history)

Cross-component data, for example, master data of business partners


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Summary

Dispute case processing provides a central interface for finding, analyzing, and processing dispute cases. Mass changes are also supported.

You can create and link documents from dispute case processing.

Correspondence can be created manually by the user or automatically by trigger events.

Occasional processors can be integrated using SAP workflow integration.

Unresolved cases can be written off automatically.

SAP Dispute Management provides the option of ad hoc reporting. For a more complex analysis, BI content is also available.


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Preface








SAP AG 2008



Records Management in SAP Dispute Management

Case records

Case type

Role-based views

Workflow

Customer-enhancements with Business Add-Ins


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Customizing in Two Components

Step 1:

Customizing in SAP Dispute Management

Step 2:Customizing in AR Accounting

for integration with SAP Dispute Management

Before you configure the financial accounting components for integration with SAP Dispute Management, you must fully execute the Customizing settings required by SAP Dispute Management.

Customizing for dispute case processing is contained in the Implementation Guide under SAP Financial Supply Chain Management SAP Dispute Management.

Customizing for integrating AR Accounting with SAP Dispute Management is contained in the Implementation Guide under Financial Accounting Accounts Receivable and Accounts Payable

SAP Financial Supply Chain Management SAP Dispute Management Process Integration.


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Records Management System (RMS)

RMS IDFor SAP Dispute Management:

UDM_DISPUTE

A Records Management System (RMS) is a special view on Records Management – comparable to a client in the SAP system.

The standard RMS for SAP Dispute Management has RMS ID UDM_DISPUTE.

For Dispute Management you can define one or more Records Management systems. However, there is no cross-RMS search for dispute cases and you cannot use dispute cases or other elements of an RMS as linked objects.

Note: In the most cases SAP recommends to use only one RMS. If you want to use element types of the standard delivery you must use RMS UDM_DISPUTE.


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Case Records

Business Partner

Disputed Objects

Residual Items

Invoice

Miscellaneous

Post Credit Memo

Miscellaneous All element types

Document line of accounting document

Document line of accounting document

Element Type

(Customer)

Cust.-Disputed Objects

The case record of a disputed case contains all the objects linked to the disputed case, such as FI documents or Office documents.

The folder structure for this case record is specified using a record model. The “Dispute Management” case record model supplied in the standard system can be used as a template when creating a user-specific case record model.

You can control the visibility of the user roles at node level.


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Case Type

Case Type

RMS ID

Record model

Element type ID (case)

Element type ID (file)

Element type ID (note)

Attribute profile

Function profile

Status profile

Text profile

Action profile

Values for reason and category

Number range

The case type is a central feature of a dispute case that brings together different Customizing settings (attribute profile, status profile, and so on). SAP delivers the F_DM case type as a Customizing example, which the customer can then use as a copy template to create a customer-specific case type.

Note:

The user authorizations for processing dispute cases can be controlled on a case-by-case basis. The case type is a field (CASETYPE) in the authorization object for Case Management (S_SCMG_CAS).


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Role-Based View

SAP Dispute ManagementRecord & Case Record ModelsDocumentsCases

Dispute caseFind Dispute CaseMy Dispute Cases


History

Dispute case 34Dispute case 45Dispute case 59Dispute case 70Proof of deliveryDispute case 78Dispute case 20

Role: Expert User

SAP Dispute ManagementDispute case

Dispute caseFind Dispute CaseMy Dispute Cases


History

Dispute case 88Dispute case 87

Role: End user (example)

In Customizing, you can define role-based views for processing dispute cases. Special roles must be defined for this purpose.

Example: You can limit the processing options for end users (no maintenance of records and case record models, no direct access to element types, and so on).


SAP AG 2003

Workflow Integration

Maintain standard workflow settings

Customize task-specific workflow

Examples of SAP workflow:WF01700044 (work item plus e-mail)WF01700051 (e-mails only)

Steps:a) Assign processorb) Activate workflow

Define regular processors

To be able to use SAP Workflow for SAP Dispute Management, you must maintain the standard settings for SAP Workflow. You can use automatic Customizing for a quicker implementation.

The type linkage for the relevant workflow must be activated for Customizing task-specific workflow. The processor is assigned using the dispute case.

To enhance the workflow examples delivered by SAP, you can use a Business Add-In to trigger events.

Note:

The user master data must contain a valid e-mail address for all occasional processors.

SAPconnect must be configured to allow e-mails to be sent.


SAP AG 2003

Customer Enhancements

BAdI: Change the cases during initialization

BAdI: Change the cases before validation

BAdI: Customer-specific validation of cases

BAdI: Change the cases before saving

BAdI: Customer-specific validation before saving

BAdI: Save customer-specific data when saving the cases

BAdI: Mass activities for dispute cases

SAP Dispute Management provides a range of Business Add-Ins (predefined, unmaintained programming modules no modifications) to create customer-specific enhancements.

Note: Transaction SE18 allows you to display Business Add-Ins (Definition of Business Add-In) Searching for SCMG* returns a list of all BAdIs in Case Management. From the BAdI definition, you can also use the menu path Goto Sample code Display to check the example source text.


SAP AG 2003

Customer Enhancements for Correspondence

BAdI: Partner determination

BAdI: Definition of partner roles

BAdI: Printer determination

BAdI: Completion of processing


SAP AG 2003

Summary

SAP Dispute Management is based on SAP Records Management.

Customizing is carried out in two areas:

Dispute case processing (Records management)

Process integration with SAP Accounts Receivable Accounting

You can define the case file structure for processing dispute cases numerous times.

Processing options for individual users can be limited using role based views.

SAP delivers sample workflows for sending work items and e-mails.

Business Add-Ins, which can be reconfigured, are provided in many cases to allow customer enhancements.


SAP AG 2006


Preface








SAP AG 2008

4.6 Architecture


Architecture variants (dependent on the release of the integrated systems)


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mySAP ERP

RFC

SAP ERP 6.0SAP ERP 6.0

WebAS 7.0WebAS 7.0

SAP Dispute Management 6.0 *SAP Dispute Management 6.0 *(Financial Basis 6.0)(Financial Basis 6.0)

SAP ERP 6.0 or mySAP ERP 2004SAP ERP 6.0 or mySAP ERP 2004oror

SAP R/3 EnterpriseSAP R/3 Enterpriseoror

SAP R/3 4.6CSAP R/3 4.6Coror

SAP FISAP FI--CA (at least 4.72)CA (at least 4.72)


WebAS 7.0WebAS 7.0

If SAP Collections Management and SAP Dispute Management are to be used in integrated form, both components must be installed on the same system.


SAP AG 2003

SAP Dispute Management – Summary

SAP Dispute Management can be set up as a single or multiple system landscape, regardless of the SAP Financial Accounting system used.



Exercises

Unit: SAP Dispute Management Topic: Creating, Displaying and Processing Dispute

Cases

At the conclusion of this exercise you will be able to:

Display and process dispute cases from accounts receivable processing

Create and maintain a dispute case from financial accounting

Use the different functions of dispute case processing and the workflow to analyze and process dispute cases.

There are various ways in which you can create and maintain dispute cases in the system. Thanks to the integration, you can create, display and maintain dispute cases in Biller Direct as well as in Dispute Management.

Furthermore, dispute cases can be forwarded and processed using the SAP Workflow and other functions within SAP Dispute Management.

Task 1: Display/Change the Dispute Case from the Customer Line Item Display

a) To get an overview of the open items of your customer FSCM## in company code 1000,

call up the line item display in Accounts Receivable Accounting.

b) Check the items for which dispute cases have been created and display the corresponding data (directly from the line item display).

Please write down the dispute case number (case ID) ________.


c) You now make the following required changes to the dispute case:


Title Gr.## (## = group number) Biller Direct

Status In Process

Priority Very high

Processor FSC-## (your user ID)

Coordinator FSC-## (your user ID)

Responsible Accountant1

Please save your data and return to SAP Easy Access.


Task 2: Create a Dispute Case from the Customer Line Item Display

Customer FSCM## has received an invoice for 200 Euro for recycling an old device. He calls up and explains that he will only pay the invoice once he has received a document confirming the orderly disposal. The responsible customer contact person is Ms. Jane Bucket.

Create a corresponding dispute case for customer FSCM## in company code 1000. The contact person is also stored. If possible, perform these actions directly from the line item display of the customer. Enter the dispute case with the following information:

Linked Objects tab


Title Gr.## missing document

Reason Unknown (0000)

Priority Medium (3)

Processor User ID of the group with the next highest group number (for example, group 02 enters FSC-03) (Note: The group with the highest group number enters the user ID of the group with the lowest number.)


Responsible FSC-## (your user ID)

Customer-disputed Calculate the amount

Contact Person and Notes tab


Contact person Your choice

Fax Number Your choice

E-mail (Possibly your e-mail address)

Telephone No. Your choice

Long Text The customer will only pay the bill when he has received the disposal receipt. Please clarify why no receipt has been created.

Write down the new dispute case number (case ID) ________ and return to the SAP Easy Access menu.


Task 3: Functions of Dispute Case Processing

a) You are processing a dispute case and see that additional invoices are logically connected with your dispute case. You want to add these items to your dispute case.

b) Your customer FSCM## (whose role you played in the “SAP Biller Direct” chapter) has used Biller Direct to enter a complaint about an invoice of EUR 913.38. In this complaint he told you that he did not receive the goods on time. As the processor of the dispute case, a colleague now tells you on the phone that the goods were handed to another employee of the customer this time. You want to save this information in the notes on the dispute case as a “customer reply” and send it to the customer.

c) Displaying dispute cases in Biller Direct

To look at the result from the customer perspective, go directly to the Biller Direct display using the link from the preceding chapter.

d) Processing dispute cases using the workflow (from the perspective of the occasional processor)

You are now active as an “occasional processor” and receive the dispute cases to be processed by you through the workflow. Display your worklist using the SAP Business Workflow and continue processing the dispute case of your neighboring group there.

You have a copy of the document and want to link it with the dispute case (for this you use the Word document that you stored in drive C in exercise a)).

For your neighboring group (the coordinator) you want to save the information that the customer has received the document, and enter an appropriate note for the dispute case. You close the activity by returning the dispute case to the coordinator.

e) Processing dispute case

In the next step you continue processing the dispute case (external reference: “Recycling” / header: “Gr. ## Missing document”). Look at the information from your neighboring group and possibly the Word document and create a reply for the customer. Also update the status of the dispute case.


Solutions

Unit: SAP Dispute Management Topic: Creating, Displaying and Processing Dispute

Cases

Task 1: Display/Change the Dispute Case from the Customer Line Item Display

a) To get an overview of the open items of your customer FSCM## in company code 1000, call up the line item display in Accounts Receivable Accounting.

In the SAP Easy Access menu, choose: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items.




Company code 1000

Line item selection Select the open items (key date: current date).

Choose Execute.

Now check the dispute cases.

You can display the dispute cases from the line item list. To display the documents for which a dispute case has been created, use the layout “/Dispute”.

You can assign default values under Settings Layout Administration by double-clicking on layout /Dispute to select it. The dispute case information then appears in the line item list.

b) Check the items for which dispute cases have been created and display the corresponding data (directly from the line item display).

Please write down the dispute case number (case ID) ________.

In the line item display you can see an item that is part of a dispute case. This is the item for EUR 913.38, which you have disputed in Biller Direct invoice display as the customer because of the delayed delivery. In the corresponding column for this item, you find an entry for the dispute case number (Case ID).


c) You now make the following required changes to the dispute case:



Status In Process

Priority Very High



Person Responsible Accountant1

Double-click on the row with the requested dispute case. You are now in the document display. In the application toolbar, press the Additional Components button and then select an entry from the displayed Dispute Case dialog box. The system then displays a window containing the details. Choose Dispute Case so that you can edit the dispute case.

Switch to change mode and change the following entries:



Status In Process

Priority Very high



Person Responsible Accountant1

Save your data using the corresponding button and return to the SAP Easy Access menu.


Task 2: Create a Dispute Case from the Customer Line Item Display

Customer FSCM## has received an invoice for 200 euros for recycling an old device. He calls up and explains that he will only pay the invoice once he has received a document confirming the orderly disposal. The responsible customer contact person is Ms. Jane Bucket.

Create a corresponding dispute case for customer FSCM## in company code 1000. The contact person is also stored. If possible, perform these actions directly from the line item display of the customer.

Call up the line item display for customer FSCM## in company code 1000 and display all open items.

In the SAP Easy Access menu, choose: Accounting Financial Accounting Accounts Receivable Account Display/Change Line Items.




Company code 1000

Line item selection Select the “open items” (key date: current date).

Choose Execute.

Find the corresponding invoice via the line item display of the customer account (in the same way as in the last exercise). In the line item display, select the document with the “Recycling” reference by clicking on the checkmark at the start of the row. To create a dispute case for this document, now choose Dispute Case in the application toolbar.


Enter the dispute case with the following information:


Title Gr.## missing document

Reason Unknown (0000)

Priority Medium (3)

Processor User ID of the group with the next highest group number (for example, group 02 enters FSC-03) (Note: The group with the highest group number enters the user ID of the group with the lowest number.)


Person Responsible FSC-## (your user ID)

In the Disputed Items area, select the document and press Remove disputed item .

In the Customer-Disputed Objects area, press Calculate . Confirm the highlighted information about the amount calculated.

The document amount and the currency are now displayed in the Calculated field.

Now switch to the Contact Person and Notes tab.

Now choose the Contact Person button (phone icon) and then Get Contact Person. A dialog box with the available contact persons appears.

In this dialog box choose the Create icon.

You are now in the Create contact person transaction.

Assign the following contact person to the dispute case:


Last name Your choice

First name Your choice

Language English

E-Mail (Possibly your e-mail address)

Comm. Meth (communication method) E-mail


The list of available contact persons that you called up previously appears on the screen again. By refreshing or clicking the corresponding button your newly created contact person is also displayed in the list. You can double-click on it to select it and copy it to the dispute case.


Now enter the long text for the dispute case


Long Text The customer will only pay the bill when he has received the disposal receipt. Please clarify why no receipt has been created.

Press the Save button. A dispute case is created.

In the status bar the message “Dispute case created” appears.

You now see the line item list of the customer on the screen again. Your changes are not visible yet.

In the menu, choose List Refresh to get the current state of your line item list.

Write down the new dispute case number (case ID) ________ and return to the SAP Easy Access menu.


Task 3: Functions of Dispute Case Processing

a) You are the coordinator for the dispute case that you created in task 2), and you see that another invoice is logically connected with this dispute case.

You want to add this item to your dispute case.

In the SAP Easy Access menu, choose: Accounting Financial Supply Chain Management Dispute Management Dispute Case Processing.

On the left part of the screen, now choose Dispute Management Contract Accounts Receivable and Payable Cases My Dispute Cases.

You can select the “Coordinator” role view by pressing the Change role view button on the right side of the screen. The system will then display the cases to which you are assigned as the coordinator.

Place the cursor on the dispute case with the header “Gr.## Missing document” and double-click. The data of the case is copied to the right side of the screen.

Use the button in the right screen area to switch to change mode and press the FI Objects button. Choose the Add customer-disputed objects function.

In the ‘Invoices’ area of the dialog box displayed, select the document for € 913.38 and press the Add button .

Save the dispute case.


b) Your customer FSCM## (whose role you played in the “SAP Biller Direct” chapter) has used Biller Direct to enter a complaint about an invoice of EUR 913.38. In this complaint he told you that he did not receive the goods on time. As the processor of the dispute case, a colleague now tells you on the phone that the goods were handed to another employee of the customer this time.

You want to save this information in the notes on the dispute case as a “customer reply” and send it to the customer.

In the SAP Easy Access menu, choose: Accounting Financial Supply Chain Management Dispute Management Dispute Case Processing.

On the left part of the screen, now choose SAP Dispute Management Cases My Dispute Cases.

You can select the “Coordinator” role view by pressing the Change role view button on the right side of the screen. The system will then display the cases to which you are assigned as the coordinator.

Place the cursor on the dispute case with the header “Gr.## Biller Direct” and double-click. The data of the case is copied to the right side of the screen.

Use the button in the right screen area to switch to change mode and enter the following information:


Reason Transport problem

Priority Medium

Status To Be Collected

Now press the Attributes button to shrink the attributes and enter a note for the customer. Press the Notes button to get to the note entry function. Above the entry window, the currently selected text type (for example, description) is displayed. Use the Change text type button to select the text type Customer reply. Enter the information for the customer, for example:

“Dear Customer,

According to Ms. Chan the goods were handed to Mr. Smith.

Yours sincerely

Carlos Carefree”

Save your entries.

In the status bar the message “Case has been saved successfully” appears.


c) Displaying dispute cases in Biller Direct

To look at the result from the customer perspective, go directly to the Biller Direct display using the link from the preceding chapter.

Select the Dispute cases tab page and double-click the dispute case number to display the information about this case.

Return to the SAP Easy Access menu.

d) Processing dispute cases using the workflow (from the perspective of the occasional

processor)

You are now active as an “occasional processor” and receive the dispute cases to be processed by you through the workflow. Display your worklist using the SAP Business Workflow and continue processing the dispute case of your neighboring group there.

In the role of occasional processor you contribute to processing the dispute case of your neighboring group. This is possible without calling up dispute case processing. You do this

by closing dispute case processing, then choosing the button in the application toolbar in the SAP main menu, to get to the SAP Business Workplace.

There, branch to the Inbox and then to Workflow Grouped according to task Process dispute case by clicking the triangle in front of it or by double-clicking it.

On the right side of the screen, you now see the dispute cases to which you are assigned as the processor. Double-click on the respective row to branch to the dispute case of your neighboring group (Text Gr.## Missing document; where ## corresponds to the group number of your neighbor).

You have a copy of the document and want to link it with the dispute case (for this you use the Word document that you stored in drive C in exercise a)).

Click the Create attachment button. Select your Word file from exercise a) and double-click to link it to the dispute case.

In the status bar the message “Attachment added to dispute case” appears.

For your neighboring group (the coordinator) you want to save the information that the customer has received the document, and enter an appropriate note for the dispute case. You close the activity by returning the dispute case to the coordinator.

You can enter different notes in the lower part of the screen. Above the input window choose the text type Internal Note (field in the lower part of the screen on the right side of the trashcan) and then enter the information in the input window, for example:

“Mr. Smith has personally received the document and signed for it.”

Return the case to your neighboring group by choosing the Return to Coordinator button.


In the status bar the message “Dispute case saved” appears.

Return to the SAP Easy Access menu.

e) Processing dispute case

In the next step you continue processing the dispute case (external reference: “Recycling” / header: “Gr. ## Missing document”). Look at the information from your neighboring group and possibly the Word document and create a reply for the customer. Also update the status of the dispute case.

On the left part of the screen, now choose SAP Dispute Management Cases My Dispute Cases.

Switch between the Processor and Coordinator role views.

While your neighboring group is still processing your dispute case, it is only displayed in the Coordinator role view. If the neighboring group has returned the dispute case to you, it also appears in the list of the Processor role view. Take a look at the information that the neighboring group has entered for your dispute case. To do so, double-click to branch to the dispute case.

In the right part of the screen, choose the Attributes button to shrink the attributes. The Various folder is now displayed in the folder view.

Open the Various folder by clicking on the triangle in front of it. Double-click to select the

displayed Word document and display the content. Choose the button to return to processing your dispute case. If you click on the Notes button, you see the comment of your neighboring group.

Use the button to switch to change mode.

Use the Change text type button to select the text type Customer reply. Enter the information for the customer, for example:

“Dear Customer!

The document has been given to Mr. Smith and he has signed for it. Your customer service representative will give you a copy this afternoon.

Best regards

Carlos Carefree”

Set the status of your dispute case to “To Be Collected” and save your entries.

Now press the Attributes button to enlarge the attributes and update the status:


Status To Be Collected

Save your entries.



SAP AG 2006

SAP Collections Management – Course Overview

Preface








SAP AG 2006

SAP Collections Management – Course Scenario



Release sales order

Electronic billing

Processing payments



Processing customer payments


Business partner



Management

Purchase order





SAP Collections Management is used for active communication regarding the overdue receivable that resulted from the sales order.


SAP AG 2006

5 SAP Collections Management (Course Overview)

Preface





Unit 5 SAP Collections Management5.1 Overview5.2 Organizational Structure and Master Data5.3 Generation of Worklists5.4 Functions for Collecting Receivables5.5 Integration of SAP BI Data Warehouse5.6 System Configuration5.7 Architecture



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5.1 Overview


Definition and delimitation of SAP Collections Management

Current problems and business requirements

Features of SAP Collections Management


SAP AG 2006

Definition SAP Collections Management

SAP Collections Management is part of SAP Financial Supply Chain Management.SAP Collections Management supports

Evaluation, identification, stratification and prioritization ofaccounts

From a risk management perspectiveFrom a customer relationship perspective

Proactive processing of receivablesPayment remindersPromise to pay agreementsFollow ups…

Process optimization and automation for high volumes of open itemsWorkforce management


SAP AG 2006

Opportunity/problems

The difficult economic climate leads to poor payment behavior:

Increasing DSONo reaction to automaticcorrespondence such asdunning noticesFinancial situation affectscustomer relationships

Collections Management isnow mostly a time-consuming, high-cost, and labored process

Searching for customers toprocessSearching for accountinformationHigh volume

Problems in the Collections ManagementProcesses






CostsMinimization

LiquidityHedging

RevenueMaximization


SAP AG 2006

Features of SAP Collections Management

SAP Collections Management provides collection strategies which enable you to select and prioritize customers actively collect receivables – this is achieved by means of the automatic generation of the daily worklists that are based on the collection strategies.

SAP Collections Management offers various collection functions, which enable you to document customer contacts or integrate theminto the collection process:

Promise to pay agreementsCreation of dispute cases (integration with SAP Dispute Management)Documentation for the 'Customer contact' objectGeneration of resubmission

Collections manager have various options for controlling the collection process:

Definition and adjustment of collection strategiesMaintenance of collection groupsAssigning worklist entries and monitoring the processing of worklists


SAP AG 2008

Summary

SAP Collections Management allows you to automatically generate daily worklists based on collection strategies, that principally contain collection-relevant customers receive and which are used as the basis for receivable collection by the collection specialists.

Various functions are available for the process of collecting receivables by collection specialists, in which the worklist serves as the initial access point. These are, for example, agreeing on promises to pay, creating dispute cases and documenting customer contacts.

The receivables collection process by the collection specialists can be controlled and monitored by the collection manager, for example, by defining collection strategies and collection groups.


SAP AG 2006


Preface








SAP AG 2006

5.2 Organizational Structure and Master Data


Overall concept of SAP Collections Management

Organizational structure within this concept: collection profile, collection segment, collection group, collection strategy

Storing the master data that is relevant for the collection process and connecting this data with the organizational structure stored inCustomizing


SAP AG 2006

Receivable processing by collection-specialist by means ofworklists with provided functions (promise to pay, dispute cases, customer contacts etc.)

SAP Collections Management – Overall Concept

Organizational structure – to be defined in Customizing

Collection PROFILE

Collection GROUPCollection SEGMENT Collection STRATEGY

SAP Business Partner Collection PROFILE

Collection-relevant key figures, used for generating worklists

Collection segment 1 Collection group "Segment 1“ Key figures from SAP Credit, Dispute, Clerk A Collections Mgmt. and Fin. Accounting

Collection segment 2 Collection group "Segment 2“ Key figures from SAP Credit, Dispute, Clerk B Collections Mgmt. and Fin. Accounting

Automatic generation of worklists for individual collection specialistsWorklist entry for each business partner and segment


SAP AG 2006


Organizational Structure

Collection PROFILE

Collection GROUP

Collection STRATEGY

CC 1CC 2CC …CC n

Collection SEGMENT

Credit segment 1Credit segment 2Credit segment ...Credit segment n

Specialist 1Specialist 2Specialist …Specialist n

Several collection segments can be assigned to one collection profile under the condition that there is no overlap in the company codes or credit segments assigned in the collection segments.


SAP AG 2006

Collection Master Data

SAP business partner (role collections management UDM000) Collection PROFILE

CC 1CC 2

Credit segment 1 Collection STRATEGY 1

Collection segment 1 Collection group 1 Processor A

Collection STRATEGY 2CC 3CC 4

Credit segment 2

Collection segment 2 Collection group 2 Processor B

In the customer-specific master data in the Collection Management area, the SAP business partner is used in the “Collection Management” (UDM000) role to enter the following in the Collection Profile tab:

To do so, the business partner is first assigned a collection profile (manually or by using the “Assign Profiles” report).

The corresponding collection segments (that are assigned to the collection profile in Customizing) and the collection groups assigned to these segments as “standard” are derived from the collection profile and automatically suggested by the system.

The collection group can be overwritten and the customer can be assigned a fixed processor (both can be done manually or by means of the report “Change segment data”).

A specialist that is assigned to several customers as the fixed processor can be replaced with a different specialist using the “Assign Collection Specialists” report (that is, specialist B is to take over the customers of specialist A, for example, because A no longer works for the company).

Furthermore, you can temporarily assign the customer a different collection group in the SAP business partner, for example, if the payment behavior deteriorates and the customer is thus to be temporarily contacted with the specifically designed strategy.

The person who was contacted during the last contact with the customer in SAP Collections Management, is automatically set as the main contact person in the business partner data (for each segment).


SAP AG 2009

Taking into account the Head Office/Branch Office Relationships

200,-BRANCH-02HEAD-01220,-BRANCH-02HEAD-01300,-HEAD-01

120,-BRANCH-01HEAD-01100,-BRANCH-01HEAD-01AmountBranchCustomer

CustomerBRANCH-01

CustomerBRANCH-02

CustomerHEAD-01

Is a branch of

Is a branch of

Open items

FI-AR

SAP Collections Management

Worklist Worklist

…960,-HEAD-01

…AmountBusiness partner

HEAD-01

HEAD-01

Head office

220,-BRANCH-01

420,-BRANCH-02

…300,-HEAD-01

…AmountBusiness partner

Transfer Open Items & Create Worklists

Taking into account Head Office/Branch:

ACTIVE

Taking into account Head Office/Branch: INACTIVE

Open items can be collected in SAP Collections Management taking into account the head office/branch office relationships of the customers.

You have the following alternatives:

Head office-related collection of receivables

The system generates worklists for business partners that are entered in the invoice items as the head office or customer without a branch office relationship.

This procedure is recommended if collection specialists are to contact head offices predominantly.

Branch office-related collection of receivables

The system generates worklists for business partners that are entered in the invoice items as the branch office or customer without a branch office relationship.

This procedure is recommended if collection specialists are likely to be in more contact with branch offices.


SAP AG 2009

Collection strategy

Collection strategy

Determines which customers are to be contacted in Collections Management

Prioritizes the customers to be contacted on the worklist

Defines the currency in which the amounts are displayed on the worklist

Determines the time intervals for the display of the receivables in the due date and overdue list

Determines the type of the integration to dunning in accounts receivable accounting

Determines the influence of the payment conditions on the collection process (inclusion of discounts)

The collection strategy consists of different individual collection roles: A worklist entry is then generated for the customers (in the collection segment) if

at least one collection rule is fulfilled within the relevant strategy.

Each collection rule is assigned a specific number of points (valuation) - the points total that a customer (in the collection segment) receives after all the rules contained in the strategy are checked determines the priority of the worklist entry created for the customer (in the segment) (for example, the higher the number of points, the higher the priority).

The collection rules use different data sources - they use key figures from the areas of SAP accounts receivable accounting (for example, total of overdue open items, Dispute Management (for example, ‘Disputed Amount’ figure), Collection Management (for example, promise to pay figure) and Credit Management (for example, risk class).

Furthermore, the following is specified in the strategy:

the currency in which the amounts are displayed on the worklist

the time intervals in which the receivables are to be displayed in the graphic (available in the worklist) for analyzing the due date breakdown or overdue date breakdown

whether items for which legal proceedings have been initiated are excluded from the generation of the worklist and whether tolerance days after the dunning of the items are to be included in the generation of the worklist

whether the due date for net payment or the due date are to be taken into account in the case of cash discounts for the calculation of strategies and amounts displayed on the worklist


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Replication of Customer Data

Business partnerElectronics Inc.

'has contact person'

CustomerElectronics Inc.

Contact person:- Henry Smith- Helen Back

Business partnerHelen Back

Business partnerHenry Smith

Relationship

'has contact person'Relationship

Attributes of the relationship:

Telephone No.Contact hoursVisiting hoursEmail…

Used by SAP Collections Management in the worklist

The creation of worklists requires the replication of the customer data to SAP business partners. You can perform this replication in the standard system using the function 'Customer Vendor Integration' as part of the new function for master data synchronization (part of ECC 6.0).

Replicating customer data can mean:

newly created customers are replicated as SAP business partners

changes to customer data are synchronized with SAP business partner data

newly created SAP business partners are replicated as customers

changes to SAP business partner data are synchronized with customer data

Furthermore, the contact persons included in the customer data are also replicated as separate SAP business partner objects. These are then linked to the SAP business partner object of the customer via the relationship 'has contact person'.

If receivables from different FI-AR systems are collected using the central SAP Collections Management and if the customer numbers are not unique from a cross-system perspective, you can use the Unified Key Mapping Service (UKMS; as of Basis 7.0) to ensure uniqueness. In Collections Management, when creating a business partner, the business partner number is taken from a separate number range. The assignment between the business partner number, the customer number, and the system are saved and taken into account during receivables processing.


SAP AG 2009

Master Data Replication in Multiple System Scenario

FINBASIS + SAP ECC 6.0 (or higher)

SAP Collections Management

SAP BP CustomerCVI

FI-AR

Customer

SAP ECC 4.70 (or higher)

NetWeaver 7.01

ProcessIntegration

Routing / Mapping In UKMS for PI

Asynchronous data distribution via ALE

If the customers in a multi-system landscape are processed decentrally in the respective accounting systems and ifif the number ranges for the customers or the business partners overlap, the messages for master data replication may be sent to SAP NetWeaver Process Integration (SAP NetWeaver PI).

In PI, in relation torecipient determination (routing) and key mapping, the link of the Unified Key Mapping Service (UKMS) to SAP NetWeaver PI is used.

In the scenario displayed (example), the (central) CVI usage takes place in the SAP Collections Management system. The customer master data is distributed asynchronously using the UKMS link to PI.

Technological Prerequisites:

You have installed the accounting systems separately (separate systems or separate clients) from the SAP Collections Management system

You have installed an SAP NetWeaver PI system with an ABAP stack as of SAP 7.01 (or higher)

You have installed a release as of Enhancement Package 4 for SAP ERP 6.0 in the accounting systems or

You have transferred the required standard implementation of BAdI mapping of the master data (FDM_PARTNER_MAPPING) to the accounting systems


SAP AG 2009

Completing the Business Partner Data

Creating the role ‘Collections

Management’

Assigning the collection profile

Assigning another collection group

(optional)

Assigning a collectionspecialist (optional)

Report: Assigning / changing profiles

Report: Changing segment data

The following steps are required to make the customer data available to SAP Collections Management


SAP AG 2006


Preface








SAP AG 2006

5.3 Generation of Worklists


Positioning the generation of worklists in the overall concept of SAP Collections Management

Prerequisite for the generation of worklists: transfer of FI key figures from accounts receivable accounting

Logic of the program for the automatic generation of worklists


SAP AG 2006

Receivables processing by collection specialist usingworklists with provided functions (Promise to pay, dispute cases, customer contacts etc.)



Collection PROFILE




Collection segment 1 Collection group "Segment 1“ Key figures from SAP Credit, Dispute, Processor A Collections Mgmt. and Fin. Accounting

Collection segment 2 Collection group "Segment 2“ Key figures from SAP Credit, Dispute, Processor B Collections Mgmt. and Fin. Accounting



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Transferring Data from Accounts Receivable Accounting

Three types of data transfer

Initial data transferTransfers the data of all company codes that are "involved“ in SAP Collections Management. The transfer activates the delta update.Periodic data transferOnly new or changed data is transferred (delta transfer). This option is used for regular transfers from accounting.Data transfer by selectionThis type of transfer is used in exceptional situations in order to regenerate the data of one or several specific customers in SAP Collections Management.


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Generating Worklists in Two Steps

Generating the

worklistentries

Distributingthe non-assigned

worklist entries

Worklists are automatically generated by means of a program run – within the program the worklist entries are first generated (step 1) and, if they could not be assigned to a fixed agent, they are distributed to the individual agents according to a specified logic (step 2).


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Generating the Worklist Entries

Selecting the business partners

Reading the collection segments for each business partner

Reading the collection strategy for each business partner in the

segment

Evaluating the business partner for each segment according to the

collection strategy

Saving the valuated business partner in the segment

= worklist entry*

*Worklist entry is assigned to a specialist, if this assignment has been maintained in the master data of the business partner


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Distribution of Non-Assigned Entries

Collection specialistHenry Smith

Collection specialistTom Miller

47 WL entries(Average valuation 76 %)

50 worklist items(Average valuation 71 %)

WL entries: assigned directly

WL entry 1 98 %

WL entry 2 95 %

WL entry 3 92 %

WL entry 4 89 %

WL entry 5 87 %

Non-assignedWL entries

WL entry 1 98 %

WL entry 2 95 %

WL entry 3 92 %

WL entry 4 89 %

WL entry 5 88 %

WL entries:assigned during WL generation

1

11

2

1

Distribution according to the following logic:1. Assignment to the specialist with the smallest number of WL entries2. If the numbers are the same: assignment to the specialist with the

lowest average valuation

1

2


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Preface








SAP AG 2006

5.4 Functions for Collecting Receivables

Topics of this lesson:Receivable collection process

Functions for preparing the customer contact

Functions for performing the customer contact

Functions for monitoring the receivable collection


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Receivables processing by collection specialist usingworklists with functions provided (promise to pay, dispute cases, customer contacts etc.)



Collection PROFILE




Collection segment 1 Collection group “Segment 1” Key figures from SAP Credit, Dispute, Processor A Collections Mgmt. and Fin. Accounting

Collection segment 2 Collection group “Segment 2” Key figures from SAP Credit, Dispute, Processor B Collections Mgmt. and Fin. Accounting



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Receivable Collection Process

Calls upworklist

Prepares customer contact

Performs customer contact

Gets overview of WL entriesMonitors the closing process

Checks the customer evaluation according to Overview of customer data:- History of customer contacts- Payment history- ResubmissionsSelection of contact persons…

Creates/renews the promise to pay Clarifies the dispute caseCreates the resubmissionDocuments the customer contact

…

Collection specialist


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Preparing Customer Contacts

Within the worklist:

• Display customer-specific dataFI key figures (amount to be collected)Past collection activitiesCredit management key figures

• Display the customer's evaluation according to the strategy

• Display the due date table of the customer's open items

Within the "Process receivables" function:

• Display open invoices and the invoice history• Display the payment history• Display existing promises to pay• Display existing dispute cases• Display past customer contacts• Display existing resubmissions• Assign a contact person (if not available already)


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Collection Worklist: Functions

Due date list of open items

Detail view for evaluating the business partner

Link to the business partner

Other worklist / other business partner

Assignment of a different specialist/deletion of the assignment


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Personal Settings and Statistics

Administrating the worklist:

Definition• Number of entries in worklist• Display of processed entries• Display of all own groups

Display for each collection group• Number of all worklist entries• Number of successful contacts• Number of unsuccessful contacts• Number of open worklist entries


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Process Receivables

Invoice view

Create promise to pay

Createdispute case

Displaypromises to pay

per invoice

Display dispute cases per

invoice

Invoice history Navigate to FI document

Display promise to pay

Change promise to pay

Withdraw promise to pay

Voidpromise to pay

Display dispute cases Change dispute case

Change FI document

The invoice view containing all open invoices of a customer is the main starting point to process a customer’s receivables.

In addition to open receivables, cleared receivables of a customer can also be displayed and processed for a selected period (creating dispute cases).

The graphic displayed above shows the different options for receivables processing. The dashed boxes show which additional steps are possible if the user has the corresponding authorities.


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Invoice History

Invoice

Invoice

Incoming payment

Payment difference

Credit

Other receivables

Doc Item Total Currency Assigned

Invoice history for:Company code XXXXDocument number 1111111Fiscal year YYYYLine items 001

OpenCleared

Total document item,for example, credit amount

The amount assignedto the invoice

You can navigate from the invoice view to the invoice history of an invoice. The invoice history displays all of the items regarding the invoice:

Partial payments (with or without residual items)

Credits (with invoice reference and cleared with invoice)

Other clearings

You can double-click to perform a drilldown to a specific financial accounting document.


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Promise to Pay Process

Hello Mr. Nielsen,You may have noticed that

invoice number 4711 isoverdue by four weeks?

Hello Ms. Moore, thank you for reminding me. We will

pay the full amount by next Wednesday.

Ms. MooreReceivables processor

Mr. NielsenAccounts payable accounting manager

Promise to pay

Amount promisedPromised For datePromised ByNoteInvoice reference...

Ms. Moore enters the promise to pay into the system.

You can use SAP Collections Management to create a promise to pay given by a customer in the system.


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State and Status I

StatusState

Open

Broken

Partially Kept

Withdrawn

Kept

In Process

Confirmed

Voided

Promise to pay


The state makes the status of the promise to pay visible from a business processes perspective:

Open: The customer has not paid and the agreed Promised For date (plus tolerance days) has not yet been reached, or the periodic valuation has not yet been carried out.

Broken: The customer has not paid, the agreed time for the incoming payment (Promised For date plus tolerance days) has been reached, and periodic valuation has been carried out.

Partially Kept: The customer has paid part of the amount promised within the agreed time

Kept: The customer has paid the full amount promised within the agreed time.

Withdrawn: The customer withdraws the promise to pay or opens a new promise to pay.


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State and Status II

StatusState

Open

Broken

Partially Kept

Withdrawn

Kept

In Process

Confirmed

Voided

Promise to pay


The status displays the technical status of the promise to pay: In Process: This status is created automatically when you create a new promise to pay. The promise

to pay can be evaluated and updated with the incoming payment.

Confirmed: This status is created automatically when a promise to pay is withdrawn or renewed. The promise to pay can no longer be evaluated or updated with the incoming payment, and cannot usually be changed again.

Voided: The processor must set this status manually. The promise to pay can no longer be evaluated or updated with the incoming payment, and cannot usually be changed again.

Notes:

The term "active promise to pay" is used also in SAP Collections Management. Active promises to pay have the status "In Process" - they are "actively waiting" for updates from financial accounting and can be evaluated.


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Renewing Promises to Pay

State• Open Withdrawn• Broken Broken• Partially Kept Partially Kept• Withdrawn Withdrawn

Status•Open Confirmed

Level•The level does not change.

Old promise to pay

State• Open

Status• In Process

Level• Old level plus one

New promise to pay

New arrangement

Renewing a promise to pay means that an existing promise to pay is replaced by a new one. When you create a new promise to pay for an invoice that the customer has previously promised to pay, the system sets the following attributes in the old promise to pay:

The old promise to pay is given the status "Confirmed" (system status 008). This means that it is no longer an active promise waiting for a financial transaction.

The state of the old promise to pay set by the system depends on the state that the promise had previously:

- The state "Open" becomes "Withdrawn".

- The state "Partially Kept" stays the same.

- The state "Broken" stays the same.

- The state "Withdrawn" stays the same.

The new promise to pay is given a promise level that is one level higher than before. This shows how often the customer has promised to pay the invoice. If the old promise to pay has been voided, the level of the new promise to pay is not raised.


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Changing, Withdrawing, & Voiding Promises to Pay

Change

Withdraw

Void

Promise to pay


You can make changes only if the status of the promise to pay is "In Process". The possible changes depend on the state: Open and no incoming payment: possible to change attributes and enter notes

Open and incoming payment (later than agreed, but periodic valuation has not yet taken place): possible to enter notes

Broken or Partially Kept: possible to enter notes and change the state

Kept: possible to enter notes

A promise to pay can be withdrawn if the customer requests this from the organization. Withdrawn promises to pay have the state "Withdrawn" and the status "Confirmed". If the customer promises to pay the invoice again, this is treated as a renewed promise to pay and affects the level of the promise.

A promise to pay can be voided if the processor makes an error (for example, an incorrect invoice is selected). You can void a promise to pay only by displaying the promise to pay and then manually changing the status. Voided promises to pay do not affect the level of a new promise to pay.


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Updates Through Incoming Payments

Incoming payment

Promise to pay

Status: Kept, Partially Kept

Last payment: MMDDYYYY

Paid: Amount paid

Incoming payments update the status of a promise to pay if the promise to pay has the status "In Process" and the promise has not yet been upheld.

If payment is made within the time stated (Promised For date plus the number of tolerance days defined in Customizing), the following updates take place:

- If the paid amount is the same as the amount promised, the status is set to "Kept".

- If the amount paid is smaller than the amount promised, the status is set to "Partially Kept".

- Furthermore, the "Last payment" and "Paid" fields are updated.

If payment is made after the time agreed, the fields "Paid" and "Last payment" only are updated. The status of the promise to pay is then evaluated by periodic valuation.

If you cancel an incoming payment document, reverse a cleared item, or delete the invoice reference in a payment document, the updates in the promise to pay are also canceled.

Note:

Setting the status in a promise to pay is referred to as "valuating the promise to pay". You can also valuate a promise to pay report alongside the incoming payments. Both methods use the same valuation rules.


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Valuating Promises to Pay

Date in the

past?

Select all promises

with the state "Open"

and a Promised For date

in the past

Add tolerance days

to Promised For

date

Set state

to "Broken"Do not evaluate

YesNo

You can valuate promises to pay with the state "Open" using the FDM_JUDGE program, if the "Promised For" date has

been reached:

The customer and the company code can be entered as selection criteria.

The program selects all promises to pay with a Promised For date in the past and an Open state.

The valuation takes into account the tolerance days defined in Customizing: If no incoming payment has been posted within the time agreed (including the tolerance days), the valuation sets the state to "Broken".

The valuation program should be scheduled at least once a day.


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Confirm Promise to Pay

Invoice ClearedSince X Days

Promise to pay

Status: Confirmed

The FDM_P2P_CONFIRM program sets promises to pay automatically to "Confirmed" if the corresponding invoice is cleared and it is not expected that the invoice will be reopened. Therefore the selection criteria contain the "Invoice Cleared Since ... Days" field.

When you have confirmed the promise to pay, the process integration with SAP Financial Accounting is closed.

You can schedule the report for the confirmation as a regular background job.


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Creating Dispute Cases


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….

Creating and Processing Resubmissions

The customer is not included in the worklist again until the resubmission date

You can display created resubmissions in the "Resubmissions" tab – where the last resubmission can always be changed.


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Documentation for the Customer Contact

Controls whether the worklist entry stays on the worklist or is deleted

Memo automatically suggested by the system

If an action was executed within a customer contact (for example, entry of a dispute case or promise to pay), then documenting the customer contact is mandatory – the user can't leave the "Process receivables" screen without filling out the dialog box for the customer contact.

Here, the system already suggests memos that document the actions performed, that is, that a promise to pay or a dispute case have been entered.

Furthermore, it is documented who has been contacted (contact person), when and how (contact type: e.g. customer has called/called customer), as well as the result of the contact.

The result entered in the customer contact controls whether the worklist entry disappears from today’s worklist and is then displayed in the category "Completed entries" or whether it will still be displayed as an "open entry" on today's worklist. Furthermore, the results of the entered customer contacts can be included in the creation of worklist via the strategies (e.g. with a rule "Generate worklist entry for customers for whom a successful customer contact has been created in the last 3 days").


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Summary

SAP Collections Management provides worklists that are automatically generated every day and which serve as the basis for further sequential processing of the individual accounts by means of SAP Collections Management.

Within a worklist, non-assigned entries can be assigned to specialists (especially by the collection manager) or already assigned entries can be distributed to other specialists (by the manager or the actual specialist).

In the worklist special functions are available, which mainly server for preparing the customer contact:

Display of customer-specific data from the areas of Credit Management (e.g. risk category), Collections Management (e.g. number of promises to pay) and Accounts Receivable Accounting (e.g. amount to be collected, due date list)

Display of the detailed customer evaluation in the segment according to the collection strategy

You can branch from the worklist to the direct receivables processing of a customer. For processing this, SAP Collections Management offers variousfunctions:

Display of open invoices, invoice and payment history

Display, processing and creation of promises to pay, dispute cases, resubmissions and documentation of the individual customer contacts


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Preface








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Topics of this lesson:Analysis scenarios in SAP Collections Management

BI content for SAP Collections Management: InfoProvider and Queries

5.5 Integration of SAP BI Data Warehouse


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Scenario: Analysis of worklistsQueries:

0CLM_MC_Q0001 (degree of worklist processing)

0CLM_MC_Q0002 (processed amount / day)

InfoProvider:

MultiProvider 0CLM_MC1 (worklist entry)

InfoCube 0CLM_C01 (worklist entry)

DataStoreObject 0CLM_DS01 (worklist entry)

BI Content for Collections Management:

Business key figures: Measuring the performance and productivity of the collection groups / collection specialists Main key figures

Number of worklist entries

Number of processed worklist entries

% of processed worklist entries

Amount to be collected

Processed amount (including promised amounts and amounts in dispute cases)

Main characteristics


Collection group

Collection segment

Collection strategy


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Scenario: Analysis of customer contactsQueries:

0CLM_MC2_Q0001 (analysis of contacts)

0CLM_MC2_Q0002 (analysis of collection activities)

InfoProvider:

MultiProvider 0CLM_MC2 (customer contact)

InfoCube 0CLM_C02 (customer contact)

DataStoreObject 0CLM_DS02 (customer contact)


Business key figure: Measuring the performance and productivity of the collection specialists

Main key figures: Number of customer contacts

Amount promised during customer contact

Original disputed amount of dispute case created during customer contact

Number of promises to pay created during customer contact

Number of dispute cases created during customer contact

Number of resubmissions

Main characteristics:

Date of contact

Contact result

Contact type

Collection group


Collection segment

Collection strategy

Business partner


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Scenario: Analysis of invoices and promises to payQueries:

0CLM_IS02_Q0001 (analysis of invoices and promises to pay)

InfoProvider:

InfoSet 0CLM_IS02 (promise to pay/status of invoice)

DataStoreObject 0CLM_DS03 (business partner in Collections Management)

DataStoreObject 0CLM_DS04 (promise to pay)

DataStoreObject 0CLM_DS05 (status of invoice)

DataStoreObject 0CLM_DS06 (customer in Collections Management)

Business key figure: Measures the effectiveness of the collection strategies and the number of invoices processed in Collections

Management


Main key figures:

Amount promised

Amount paid (with reference to promise to pay)

Amount invoiced

Amount paid (invoice)

Number of invoices

Number of promises to pay

% kept/ % broken

Actual DSO

Days overdue


Level of promises to pay

Status of promises to pay

Invoice number

Document date

Date of payment receipt (for invoice) Customer


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Scenario: Analysis of open items in connection with organizational units of Collection Management

Queries:0CLM_IS01_Q0001 (due date analysis)0CLM_IS03_Q0001 (age of receivables)

InfoProvider:InfoSet 0CLM_IS01 (receivables in connection with organizationalstructures in Collections Management)

DataStoreObject 0CLM_DS03 (business partner in Collections Management)DataStoreObject 0FIAR_O03 (FI-AR: document item)DataStoreObject 0CLM_DS05 (status of invoice)DataStoreObject 0CLM_DS06 (customer in Collections Management)

Business key figure: Due data analysis for organizational units of Collection Management

Main key figures: More than 90 days overdue

61 to 90 days overdue



Due in 30 days

Due in 30 to 61 days

Due in 61 to 90 days

Due in more than 90 days


Collection segment

Collection group


Business partner


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0CLM_BPARTNERBusiness partner in Collections Management –0FSCM_CLM_3

Business partner in Collections Management –0CLM_DS03

0CLM_CCTCustomer contact –0FSCM_CLM_2

Customer contact –0CLM_DS02

0CLM_WL_ITEMWorklist entry –0FSCM_CLM_1

Worklist entry –0CLM_DS01

DataSourceInfoSourceDataStore Object


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0CLM_CUSTOMERCustomer in Collections Management –0FSCM_CLM_6

Customer in Collections Management –0CLM_DS06

0CLM_P2P_INVOICEPromise to pay with reference to invoice –0FSCM_CLM_7

0CLM_INVOICE*Invoice status –0FSCM_CLM_5

Invoice status –0CLM_DS05

0CLM_P2PPromise to pay –0FSCM_CLM_4

Promise to pay –0CLM_DS04

DataSourceInfoSourceDataStore Object


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SAP BI Data Warehouse enables the analysis of data in Collections Management and thus provides the basis for increasing efficiency in the collection of receivables.

Conclusion


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Preface








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Topics of this lesson:Settings in SAP Collections Management

Settings for receivables processing in accounts receivable accounting


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Customizing in Two Software Components

Step 1:

Customizing SAPFinancials Basis for

promises to pay

Step 2:Customizing the AR forprocessing receivables

Before you make the Customizing settings required by the SAP Financial Accounting components for integrating SAP Collections Management, you must first make the Customizing settings required in SAP Financials Basis.

Customizing basic data for SAP Collections Management is done in the Implementation Guide (IMG) under SAP Financial Supply Chain Management SAP Collections Management Basic Data.

Customizing for processing receivables in SAP Financial Accounting is available in the IMG under: SAP Financial Supply Chain Management SAP Collections Management Receivables Processing in Accounts Receivable Accounting or under Financial Accounting Accounts Receivable and Accounts Payable SAP Financial Supply Chain Management Receivables Processing SAP Collections Management.


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Records Management System (RMS)

RMS IDfor SAP Collections Management

UDM_COLLECTIONS

SAP Collections Management uses functions from Records & Case Management for promises to pay.

The standard RMS for SAP Collections has the RMS ID UDM_COLLECTIONS.

SAP recommends that you use one RMS ID only. You must use the RMS ID UDM_COLLECTIONS to use the element types shipped with the system.


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Case Type

Case TypeF_PP

RMS ID

Element type ID (case)

Element type ID (note)

Attribute profile

Status profile

Text profile Number range

Process

The case type is the central feature of a promise to pay and summarizes various features in Customizing. SAP provides the F_PP case type as a Customizing example. SAP recommends that you create a customer-specific case type by using the standard case type as a copy template.


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Activating Process Integration

SAP Collections ManagementFI-CM

TextActiveApplication

Before you can use SAP Collections Management in SAP Accounts Receivable Accounting, you must first activate the process integration. The process integration from SAP Collections Management is not activated by default.


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Customer Enhancements

BAdI: Evaluation of promises to pay

A BAdI is available for you to set up evaluations of promises to pay that differ from those in the standard system.

The BAdI is accessed:

In the program for valuating open promises to pay

When assigning a payment to a promise to pay

When withdrawing the assignment of a payment to a promise to pay


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Summary

To fully configure SAP Collections Management, you must make theCustomizing settings in the SAP Financial Basis and the SAP Financial Accounting components.

To use the master data synchronization (Customer Vendor Integration –CVI) for replicating the business partners for SAP Collections Management, which is available in ECC 6.0, you need to make additional settings.


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Preface








SAP AG 2006

5.7 Architecture

Topics of this lesson:Architecture variants (depending on the release levels of the integrated systems)


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RFC


WebAS 7.0WebAS 7.0

SAP Collections Management 6.0 SAP Collections Management 6.0 (Financial Basis 6.0)(Financial Basis 6.0)

SAP ERP 6.0 or mySAP ERP 2004SAP ERP 6.0 or mySAP ERP 2004oror

SAP R/3 EnterpriseSAP R/3 Enterprise

SAP Collections Management 6.0 SAP Collections Management 6.0 (Financial Basis 6.0)(Financial Basis 6.0)

WebAS 7.0WebAS 7.0



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Summary

Depending on the SAP accounting system used, SAP Collections Management can be used as a single or multiple system landscape.


Exercises

Unit: SAP Collections Management Topic: Organizational Structures and Master Data/

Generation of Worklists/ Collecting Receivables

At the conclusion of these exercises, you will be able to:

Activate business partners for SAP Collections Management and maintain the relevant master data entries

Trigger automatic worklist generation

Process receivables using automatically generated worklists

You can generate worklists automatically using Collections Management. This is done on the basis of the business partner data (master data) and the organizational structure that is maintained (groups, segments, strategies, and so on).

Task 1: Preparing Organizational Data

a) Create your own collection strategy STRAT_## called “Collection Strategy Europe ##” as a copy of strategy STRAT_EU.

b) Define a new collection group GROUP_## called “Collection Strategy Europe ##” and assign it your strategy STRAT_##, which you have just defined, as well as yourself (user FSC-##) as the only processor.

c) Assign your new group GROUP_## to the collection segment SEGMENT_EU.


i. Task 2: Preparing the Master Data

a) Create your business partner FSCM## in the role “BP Collections Mgt“ (UDM000) and maintain the data on the ‘Collection Profile’ tab page, so that the customers are assigned the collection profile for Europe and you are assigned as the collection specialist in the collection segment SEGMENT_EU.

Maintain the business partner master data of customers FSCOL##-A, FSCOL##-B, FSCOL##-C, FSHEAD##, FSBR##-A, FSBR##-B, and FSBR##-C, which have already been created in the role “BP Collections Mgt”. Here, simply adjust the data on the ‘Collection Profile’ tab page so that the customers are assigned the collection profile for Europe and you are assigned as the collection specialist in the collection segment SEGMENT_EU.

b) For your assigned business partners FSCM##, FSCOL##-A, FSCOL##-B, and FSCOL##-C, use the report ‘Distribution of data to Collections Management’ to transfer relevant data from FI-AR (Accounts Receivable Accounting) to SAP Collections Management.

Use "Data transfer as per selection" as the type of data transfer and enter the above customer numbers as selection criteria via the multiple selection. Display the details and run the report as a test run first if you want.

c) Display the strategy that you have created STRAT_## and simulate (by choosing: Edit Simulate), whether a worklist entry would be generated for your business partner FSCM## with this strategy. *

*If you have followed the preceding exercises exactly, a worklist entry will definitely be generated for your business partner and you do not have to do task 2d).

d) If no worklist entry was generated for your business partner, perform an action that belongs to a rule of your strategy.

For example, you can do so by posting an open item for your customer FSCM## in company code 1000 with an invoice and posting date that is five weeks in the past and has a value of more than EUR 1000. You can use G/L account 800200 to post this invoice.

Then transfer the FI data of your business partner FSCM## to SAP Collections Management again (using the report ‘Distribute Data into Collections Management’) and then simulate again whether a worklist entry would be generated for your business partner FSCM##.


ii. Task 3: Processing receivables

Your instructor has now started the program run for generating worklists.

a) Display your worklists. Can you see all business partners to whom you are assigned as the collection specialist? With which priority? For each customer, use the function Valuation according to Strategy to analyze why a worklist entry was generated with which priority and which valuation (from which the priority is derived) the customer has received according to the applied collection strategy:

iii. Business� partner

iv. Priority v. Valuation vi.

vii. viii. ix. x.

xi.

xii.

xiii. xiv. xv. xvi.

xvii.

xviii.

xix. xx. xxi. xxii.

xxiii.

xxiv.

xxv. xxvi. xxvii. xxviii.

xxix.

xxx.


b) Analyze the worklist entry for business partner FSCOL##-C. To do so, analyze the total of the customer’s outstanding amounts, the due date grid of these outstanding amounts and the customer’s risk class from Credit Management. Enter your findings in this table:

xxxi. Analysis of FSCOL##-C

xxxii. Result of the Analysis

xxxiii. Total Balance Owing xxxiv. _______________________

xxxv. Due date grid of the outstanding amounts:

xxxvi. - due now or in the future

xxxvii. - overdue by 1 to 30 days

xxxviii. - overdue by 31 to 60 days

xxxix. - overdue by 61 to 90 days

xl. - more than 90 days overdu e

xli.

xlii. _______________________

xliii. _______________________

xliv. _______________________

xlv. _______________________

xlvi. _______________________

xlvii. Credit Management Risk Class

xlviii. _______________________

Now that you have analyzed the due date grid of the outstanding amounts of customer FSCOL##-C (within Europe), you want to know how these outstanding amounts are distributed to the different company codes. Switch to the “Process Receivables” function, in which the outstanding amounts are displayed in detail. Enter your findings in the following table:

xlix. Analysis of Outstanding Amounts of FSCOL##-C

l. Amount

li. Total Balance Owing lii. See above (first part of the exercise)

liii. Company code _______

liv. _______________________

lv. Company code _______

lvi. _______________________

You want to edit the other entries of your worklist first. To do so, leave the “Process Receivables” function without generating a customer contact. To do so, close the “Customer Contact” dialog box with F7 (‘Continue without Customer Contact’).


c) Your customer FSCM## is the second entry on your worklist. He has a large “amount to be collected”, which matches the total of the outstanding amounts and a relatively large “disputed amount”:

Outstanding amounts: _________________

Amount to be collected: _________________

Disputed amount: _________________

The available “disputed amount” shows that there is at least one dispute case for this customer. What does the fact that the outstanding amounts and the sum to be collected match say about the status of these disputed cases?

You now want to check the customer’s obligations and dispute cases in detail and then contact the customer. To do so, choose the “Process Receivables” function. For the analysis, you mainly use the ‘Invoices’ and ‘Dispute Cases’ tab pages.

On the 'Invoices’ tab page, you can see which invoices are included in which dispute case (“Case ID”) and with which amount (“Disputed”). You can also see the status of this dispute case. Enter your findings in the following table:

lvii. 'Invoices' tab page: Analysis of the Invoices Included in Dispute Case s

lviii. Document number

lix. Invoice amount

lx. Disputed lxi. CI

lxiii. lxiv. lxv. lxvi.

lxviii. lxix. lxx. lxxi.

lxxiii. Total: ______________

lxxiv. (corresponds to the “disputed amount“ from the worklist)

Display the two dispute cases in detail.

Assign a contact person to your customer and then contact the customer. The customer accepts the two receivables contained in dispute cases and tells you that he will arrange for the two open invoices to be paid today. Create a promise to pay for these two invoices. Since the customer has promised to pay today, enter today's date in the "Promised For" field.


Leave the "Process Receivables" function and enter the following data in the customer contact:

Contact type: outbound call

Result: customer reached

Note: proposed by the system

Save your entries. This takes you back to the worklist. Is the worklist entry that you have processed still available?

d) You now want to process the worklist entry for business partner FSCOL##-B.

Here, it is also noticeable that the “amount to be collected” is 0, the outstanding amount is 1170.10 EUR however, and the “disputed amount” is also 1170.10 EUR. Now find out why the “amount to be collected” is 0. To do so, switch to the “Process Receivables” function and use the “Invoices” tab page. Does it have something to do with the "disputed amount"?

Since the amount to be collected is 0, you do not wish to contact the customer for the time being. Close the “Process Receivables” function without generating a customer contact. To do so, close the “Customer Contact” dialog box with F7 (‘Continue without Customer Contact’).


e) You now want to process the worklist entry for business partner FSCOL##-A. To do so, choose the “Process Receivables” function.

In the “Payments” view, display all of the customer's payments over the last year, and analyze the history for the oldest payments.

This customer has reappeared on your worklist because you were unable to reach him/her on the previous occasion and you therefore created a resubmission. You just tried calling the customer again, but you were unable to get through to him/her. Therefore, you create another resubmission for one week from today. You do not wish to contact the customer again until then.



Result: customer cannot be reached today



f) Personalize your worklist so that you can also see completed worklist entries. The "disappeared” worklist entries are then displayed in the lower part of the screen under the category “Completed Entries”.


lxxv. Task 4: Incoming Payment and Updating the Promise to Pay (optional)

a) Your customer FSCM## sends you a check for EUR 1,000. The text on the payment medium tells you that the recycling invoice for EUR 200 is to be paid completely and the remaining amount credited to the outstanding invoice for EUR 913.38. Enter the incoming payment accordingly.

b) Display the current status of the promise to pay in Collections Management. What effect has the the incoming payment had?

c) You display the current status of your dispute cases in Dispute Management. What effect has the the incoming payment had?


lxxvi. Task 5: Taking into account the Head Office/Branch Office Relationships in Receivables Processing

a) For your assigned business partners FSHEAD##, FSBR##-A, FSBR##-B, and FSBR##-C, use the report ‘Distribution of data to Collections Management’ to transfer relevant data from FI-AR (Accounts Receivable Accounting) to SAP Collections Management.

Use "Data transfer as per selection" as the type of data transfer and enter the above customer numbers as selection criteria via the multiple selection. Display the details and run the report as a test run first, if you wish.


b) Display the worklist and analyze the worklist entry for business partner FSHEAD##. Analyze the list of open items in the “Process Receivables” function and compare the entries with the line item list of the customer in question. What caused the differences?

__________________________________________________________________________

__________________________________________________________________________

__________________________________________________________________________

__________________________________________________________________________


c) Now return to the worklist, select the worklist entry for business partner FSBR##-B for processing, and carry out the following activities:

Create a promise to pay for the invoice for EUR 260.

Create a dispute case for the invoice for EUR 250.

Check which customers or business partners these objects are saved to.

Freely select the parameters required for entry (see previous exercises).

__________________________________________________________________________

Close your customer contact and return to the worklist.

d) Now select the worklist entry for business partner FSBR##-A for processing, and carry out the following activities:

Create a resubmission since you were unable to reach the contact person.

Check which business partner the resubmission was saved to.

__________________________________________________________________________


Solutions

Unit: SAP Collections Management

Topic: Organizational Structures and Master Data/ Generation of Worklists/ Collecting Receivables

Task 1: Preparing Organizational Data

a) Create your own collection strategy STRAT_## called “Collection Strategy Europe ##” as a copy of strategy STRAT_EU.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Current Settings Strategies.



Strategy STRAT_EU

Choose Enter. Double-click the search result that is then displayed in the left screen area. The data of strategy STRAT_EU is displayed in the right area of the screen.

In the menu bar, choose Strategy Copy Strategy and enter the following values:


Strategy STRAT_##

Description field next to the “Strategy” field

Collection Strategy Europe 00

Save your entries using the "Save" (disk) pushbutton in the standard toolbar, and confirm the message that is displayed (message text "Check the maximum valuation of this strategy") by choosing Enter.


b) Define a new collection group GROUP_## called “Collection Strategy Europe ##” and assign it your strategy STRAT_##, which you have just defined, as well as yourself (user FSC-##) as the only processor.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Current Settings Groups.

Choose the New Entries button and enter the following values:


Group GROUP_##

Group Name Collection group ##

Strategy STRAT_##

Name of Collection Strategy Filled automatically

Select the entry you created for your strategy and select the "Assign Processor to Collection Group" folder in the left area of the screen. Choose the New Entries button again and enter the following values:


Collection specialist FSC-## (your system user)

Name of collection specialist Filled automatically

Save your entries the “Save” (disk) button in the standard toolbar.


c) Assign your new group GROUP_## to the collection segment SEGMENT_EU.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Current Settings Assign Groups to Segments.

Select the entry for the segment ‘SEGMENT_EU’ and choose the folder Assign Collection Group to Segment’ in the left screen area. Choose the New Entries button and enter the following values:


Group GROUP_##

Save your entries the “Save” (disk) button in the standard toolbar.


Task 2: Preparing the Master Data

a) Create your business partner FSCM## in the role “BP Collections Mgt“ (UDM000) and maintain the data on the ‘Collection Profile’ tab page, so that the customers are assigned the collection profile for Europe and you are assigned as the collection specialist in the collection segment SEGMENT_EU. Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Master Data Business Partner Master Data.



Business partner FSCM## (where ## is your PC or group number)

Choose Enter.

From the menu choose Business partner Change or use the corresponding icon to switch from display to change mode. Enter the following values:


Change in BP role Collections Management (New) (UDM000)

Switch to the “Collection Profile” tab page and enter the following values:

Collection Profile - Collection Profile Screen Area

Collection Profile

PROFILE_EU

Choose Enter and enter the following additional values:

Collection Profile - Collection Segments Screen Area

Segment SEGMENT_EU (filled automatically)

Name of Segment Collection segment Europe (filled automatically)

Collection Group GROUP_##

Group Filled automatically

Collection specialist FSC-## (your user)

Choose Save (“Disk” icon) in the standard toolbar.


Maintain the business partner master data of customers FSCOL##-A, FSCOL##-B, FSCOL##-C, FSHEAD##, FSBR##-A, FSBR##-B and FSBR##-C, which have already been created in the role “BP Collections Mgt”. Here, simply adjust the data on the ‘Collection Profile’ tab page so that the customers are assigned the collection profile for Europe and you are assigned as the collection specialist in the collection segment SEGMENT_EU. Proceed in the same way as in the first part of the exercise.

b) For your assigned business partners FSCM##, FSCOL##-A, FSCOL##-B, and FSCOL##-C, use the report ‘Distribution of data to Collections Management’ to transfer relevant data from FI-AR (Accounts Receivable Accounting) to SAP Collections Management.


Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Integration with Accounts Receivable Accounting Periodic Processing Distribution of Data to Collections Management.

On the “Distribution of FI-AR data into Collections Management” screen, enter the following values in the “Type of Data Transfer” area:


Data Tfer According to Selectn Set X indicator

Use the Multiple selection button (button with yellow arrow on the right side of the input fields for the selection criteria "Customer") to specify the customers FSCM##, FSCOL##-A, and FSCOL##-B as individual values and choose Enter (F8 - (green checkmark with a clock). Depending on whether you are executing a test run or an update run, select or don’t select the Test run field in the “Output Control” area. Choose “Execute” (green checkmark with a clock).


c) Display the strategy that you have created STRAT_## and simulate (by choosing: Edit Simulate), whether a worklist entry would be generated for your business partner FSCM## with this strategy. *

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Current Settings Strategies.



Strategy STRAT_##

Choose Enter. Double-click the search result that is then displayed in the left screen area. The data of your strategy STRAT_## is displayed in the right screen area.

In the menu bar, choose Strategy Simulate Strategy and enter the following values:


Business partner FSCM##

Date Today (proposed by the system)

Choose Enter.

You will see a log that lists the collection rules of the collection strategy that apply to your business partner FSCM## and those that do not.

If you have created two dispute cases for your customer FSCM## according to the preceding exercises, the log will tell you that collection rule CR00000014 applies and is valuated with 15 points.

If that is not the case, the last two entries of the log will tell you that no worklist entries will be generated for your business partner.

Confirm with Enter.

If worklist entries are generated, you will see a simulated worklist, if they are not generated, you are taken back to the display of the strategy (in the latter case, carry out the specified actions).**

*If you have followed the preceding exercises exactly, a worklist entry will definitely be generated for your business partner and you do not have to do task 2d).


d) If no worklist entry was generated for your business partner, perform an action that belongs to a rule of your strategy.

For example, you can do so by posting an open item for your customer FSCM## in company code 1000 with an invoice and posting date that is five weeks in the past and has a value of more than EUR 1000. You can use G/L account 800200 to post this invoice.

Choose SAP Easy Access: Accounting Financial Accounting Accounts Receivable Document Entry Invoice.

A dialog box prompts you to enter the company code. Enter the value 1000 and confirm with Enter. If that is not the case, check, in the screen"Enter Customer Invoice", whether company code 1000 is assigned using the menu path Edit Change Company Code and change it, if required.

Enter the following values in the ‘Basic Data’ area:


Customer FSCM##

Invoice date Today minus 5 weeks

Posting date Today minus 5 weeks

Value 1200

Enter the following values in the table in the lower part of the screen:


G/L account 800200

Amount in doc. curr. *

Choose Save (“disk” icon) in the standard toolbar and confirm the warnings that appear (check for tax-relevancy/ net due date in the past).

Then transfer the FI data of your business partner FSCM## to SAP Collections Management again (using the report ‘Distribute Data into Collections Management’) and then simulate again whether a worklist entry would be generated for your business partner FSCM##.

In doing so, proceed as you did for the first part of the exercise or exercise b). This time, select only (!) your business partner FSCM##. Collection rule CR00000003 now applies to your business partner and a worklist entry is generated for your business partner.


Task 3: Processing Receivables


a) Display your worklists. Can you see all business partners to whom you are assigned as the collection specialist? With which priority? For each customer, use the function Valuation according to Strategy to analyze why a worklist entry was generated with which priority and which valuation (from which the priority is derived) the customer has received according to the applied collection strategy.

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Worklists My Worklist.

Your worklist is displayed with all business partners to whom you have assigned yourself as the collection specialist in the last exercise, including the assigned priority for the collection specialist. You can display the exact valuation of the business partners and the reasons that have led to this valuation by selecting the worklist entry and choosing Extras

Valuation according to Strategy:

Business� partner

Priority Valuation Reasons (Applicable Collection Rules)

FSCOL##-C High 50 The customer has several very high outstanding payments that are overdue by more than 30 days and a credit limit utilization of almost 90%. (Collection rules CR0000002A, CR00000003, and CR0000007 apply)

FSCM## Low 15* The disputed amount (that is, the outstanding amount assigned to the dispute cases) is EUR 1138.38 (collection rule CR00000014 applies)*

FSCOL##-B Low 15 All outstanding amounts of the customer are thus marked internally as “Disputed” that is, they are still included in open dispute cases. (Collection rule CR00000014 applies)

FSCOL##-A Low 5 The collection agent was unable to get through to the customer last time and has thus created a resubmission for this customer contact, which should now lead to a repeated customer contact. (Collection rule CR00000018 applies)

* The value can deviate if the actions of the exercises of the preceding chapters differ and you have thus created a worklist entry with task 2d)


b) Analyze the worklist entry for business partner FSCOL##-C. To do so, analyze the total of the customer’s outstanding amounts, the due date grid of these outstanding amounts and the customer’s risk class from Credit Management. Enter your findings in this table:

Analysis of FSCOL##-C Result of the Analysis

Total Balance Owing 63,764.79 EUR

Due date grid of the outstanding amounts:

- due now or in the future

- overdue by 1 to 30 days



- more than 90 days overdue

0 EUR

56,000 EUR

7,764.79 EUR

0 EUR

0 EUR

Credit Management Risk Class B

The “Balance Owing” field contains the total amount outstanding. The Credit Management risk class is contained in the "Risk Class” field at the end of the entry and can be displayed by scrolling to the right.

To display the due date grid for the worklist entry, select the worklist entry and then choose from the menu Extras Display Due Date Grid. In the graphic that is displayed, you can see the outstanding amounts listed by due date in the form of bars. Click once within this graphic and position your mouse on the individual bars. This displays the exact amounts corresponding to the bars.

Now that you have analyzed the due date grid of the outstanding amounts of customer FSCOL##-C (within Europe), you want to know how these outstanding amounts are distributed to the different company codes. Switch to the “Process Receivables” function where the outstanding amounts are displayed in detail. Enter your findings in the following table:


Analysis of Outstanding Amounts of FSCOL##-C

Amount

Total Balance Owing 63,764.79 EUR

Company code 1000 60,400.00 EUR

Company code 2000 £ 2,300.00

You are taken to the “Process Receivables” function either by double-clicking the relevant worklist entry, using the corresponding button above the worklist (far left), or by selecting the respective worklist entry and choosing Edit Process Receivables Selected Entry from the menu.

On the ‘Invoices' tab page, the individual invoices of the customer, which make up the the

outstanding amounts, are displayed in their respective currencies. You can use the icon to change the layout for the invoice display and include the “Company Code” field, and thus display which invoices are assigned to which company code.

You want to edit the other entries of your worklist first. To do so, leave the “Process Receivables” function without generating a customer contact.

Choose the yellow arrow in the toolbar.

To do so, close the “Customer Contact” dialog box with F7 (‘Continue without Customer Contact’).


c) Your customer FSCM## is the second entry on your worklist. He has a large “amount to be collected”, which matches the total of the outstanding amounts and a relatively large “disputed amount”: Outstanding amounts: 2,403.38 EUR

Amount to be collected: 2,403.38 EUR

Disputed amount: 1,113.38 EUR

The available “disputed amount” shows that there is at least one dispute case for this customer. What does the fact that the outstanding amounts and the sum to be collected match say about the status of these disputed cases? It shows that the “disputed amount" (that is, the invoices for which a dispute case has been created) has been included in the calculation of the amount “to be collected”, and you can therefore conclude that corresponding dispute cases correspond to the status “to be collected”.

You now want to check the customer’s obligations and dispute cases in detail and then contact the customer. To do so, choose the “Process Receivables” function. For the analysis, you mainly use the ‘Invoices’ and ‘Dispute Cases’ tab pages. You are taken to the “Process Receivables” function either by double-clicking the relevant worklist entry, using the corresponding button above the worklist (far left), or by selecting the respective worklist entry and choosing Edit Process Receivables Selected Entry from the menu.

On the 'Invoices’ tab page, you can see which invoices are included in which dispute case (“Case ID”) and with which amount (“Disputed”). You can also see the status of this dispute case. Enter your findings in the following table:

'Invoices' tab page: Analysis of the Invoices Included in Dispute Cases

Document number

Invoice Amount

Disputed Case ID Status

Specific 200.00 EUR 200.00 EUR Specific To Be Collected

Specific 913.38 EUR 913.38 EUR Specific To Be Collected

Total: 1,113.38 EUR

(corresponds to the “disputed amount“ from the worklist)

Display the two dispute cases in detail. To do so, you have the following options:

Select one of the relevant invoices and choose : Then select the dispute case displayed on the lower part of the screen and choose “Display Dispute Case” (above the lower screen area).


Choose the “Dispute Cases” tab page: Select one of the dispute cases that is displayed and choose the “Display Dispute Case” (above the displayed entries).

Assign a contact person to your customer and then contact the customer. The customer accepts the two receivables contained in dispute cases and tells you that he will arrange for the two open invoices to be paid today.

Create a promise to pay for these two invoices. Since the customer has promised to pay today, enter today's date in the "Promised For" field.

In the top right screen area “Customer Contact Person”, choose and choose the function Get Contact Person. Double-click to select a contact person. If the list does not contain a contact person, cancel this function (F12) and manually enter a name and phone number of your choice.

Choose the “Invoices” tab page. Select the two “disputed” invoices (you can select several entries at the same time by holding down the Ctrl button) and choose “Create Promise to Pay“. In the “Promised for” field, enter today’s date (the other field values are proposed correctly) and choose “Save”. The confirmation “Promise to pay was created” is displayed in the standard toolbar.

Choose the “Promise to Pay” tab page. Here, you can see that the system has automatically created a promise to pay for each invoice..



Result: customer reached


Choose the yellow arrow in the toolbar. All you have to do now is select the result “customer reached”. The other data is already correctly proposed by the system.

Save your entries. This takes you back to the worklist. Is the worklist entry that you have processed still available? Choose “Save Customer Contact” (F5). The worklist entry has disappeared from your worklist for today.


d) You now want to process the worklist entry for business partner FSCOL##-B. Here, it is also noticeable that the “amount to be collected” is 0, the outstanding amount is 1,170 EUR however, and the “disputed amount” is also 1,170.10 EUR. Now find out why the “amount to be collected” is 0. To do so, switch to the “Process Receivables” function and use the “Invoices” tab page. Does it have something to do with the "disputed amount"?

You are taken to the “Process Receivables” function either by double-clicking the relevant worklist entry, using the corresponding button above the worklist (far left), or by selecting the respective worklist entry and choosing Edit Process Receivables Selected Entry from the menu.

In the “Invoices” view, you can see that the outstanding receivable is a residual item from a partially paid invoice and that this residual item is part of a dispute case with the status “to be collected”. This means that the dispute case is not the reason for the amount to be collected being 0. The reason for that is in the due date of the receivable. As you can see in the "Invoices” view, this is 50 days in the future, and receivables due in the future are not included in the calculation of the “amount to be collected”.

Since the amount to be collected is 0, you do not wish to contact the customer for the time being. Close the “Process Receivables” function without generating a customer contact.

Choose the yellow arrow in the toolbar.

To do so, close the “Customer Contact” dialog box with F7 (‘Continue without Customer Contact’).

e) You now want to process the worklist entry for business partner FSCOL##-A. To do so, choose the “Process Receivables” function.

You are taken to the "Process Receivables" function either by double-clicking the relevant worklist entry, using the corresponding button above the worklist (far left), or by selecting the respective worklist entry and choosingEdit Process Receivables Selected Entry.

In the “Payments” view, display all of the customer's payments over the last year, and analyze the history for the oldest payments.

Choose the “Payments” tab page and in the field "Payments Since", enter a year ago today as the date. Select the oldest (bottom) payment of EUR 3,500 and choose “History”. In the history, you can see that this payment covered two invoices, one of EUR 1,400 and one of EUR 2,100. You can branch to the detailed display of the individual invoice or payment documents by double-clicking.

This customer has reappeared on your worklist because you were unable to reach him/her on the previous occasion and you therefore created a resubmission. You just tried calling the customer again, but you were unable to get through to him/her. Therefore, you create another resubmission for one week from today. You do not wish to contact the customer again until then.

In the “Resubmissions” view, choose the “Create Resubmission” button and make the following entries:


Resubmission Date: Today + 1 week

Reason: Contact Person Absent

No Contact until Resubmission: select

Choose “Save“.

Close the “Process Receivables” function. Enter the following data in the customer contact:


Result: customer cannot be reached today


Choose the yellow arrow in the toolbar. All you have to do now is select the result "Customer Not Reached". The other data is already correctly proposed by the system.


Choose "Save Customer Contact" (F5). The worklist entry has disappeared from your worklist for today.

f) Personalize your worklist so that you can also see completed worklist entries. The "disappeared” worklist entries are then displayed in the lower part of the screen under the category “Completed Entries”.


In the menu of your worklist, choose Settings Personalization. In the dialog box that is displayed, select the “Completed Entries” entry and choose “Save”.

Task 4: Incoming Payment and Updating the Promise to Pay (optional)

a) Your customer FSCM## sends you a check for EUR 1,000. The text on the payment

medium tells you that the recycling invoice for EUR 200 is to be paid completely and the remaining amount credited to the outstanding invoice for EUR 913.38. Enter the incoming payment accordingly.

Choose SAP Easy Access Accounting Financial Accounting Accounts Receivable Document Entry Incoming Payment.



Document Date Current date

Company code 1000

Currency EUR

Account (bank data) 113109

Amount 1000

Account (open item selection) FSCM## (where ## is your PC or group number)

Otherwise, copy the proposed values and select the items using the “Process Open Items” button.

On the “Standard” tab page, choose the icon ("Select All") followed by (deactivate items). Now select the recycling invoice of EUR 200 by double-clicking on the amount. To generate a residual item for the partially paid second invoice, choose the “Res. items” tab page. Here, you first select the respective invoice by double-clicking the amount (913.38). The field in the ‘Residual items’ column now becomes ready for input. When you double-click this field, the system calculates the amount for the residual item. You choose

to post the document.


b) Display the current status of the promise to pay in Collections Management. What effect has the the incoming payment had?

Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Worklists My Worklist.

Double-click in the lower screen area to choose the completed worklist entry for your customer FSCM## and branch to the “Process Receivables” function.

The RECYCLING invoice for EUR 200 no longer appears in the “Invoices” view because it has been paid.

For the invoice for EUR 913.38, the amounts have been updated: only the amount of EUR 113.38 is “outstanding” and EUR 113.38 is also displayed as “promised (rest)”.

Select the invoice for EUR 913.38 and choose the icon . The details of the promise to pay are displayed in the lower screen area. In these details, you can see that the system has automatically set the status of the promise to “Partially Kept” .

c) You display the current status of your dispute cases in Dispute Management. What effect has the the incoming payment had?

Choose SAP Easy Access: Accounting Financial Supply Chain Management Dispute Management Dispute Case Processing.

On the left of the screen, choose SAP Dispute Management Cases My Dispute Cases. In the overview, you can see that a dispute case (the one for the RECYCLING invoice for EUR 200) has been closed. In the second dispute case (for the invoice for EUR 913.38), the “disputed amount” has been reduced to EUR 113.38. By double-clicking the line, you obtain additional information (payment amount, document number of the residual item, and so on).


Task 5: Taking into account Head Office/Branch Office Relationships in Receivables Processing

a) For your assigned business partners FSHEAD##, FSBR##-A, FSBR##-B, and FSBR##-C, use the report ‘Distribution of data to Collections Management’ to transfer relevant data from FI-AR (Accounts Receivable Accounting) to SAP Collections Management.


Choose SAP Easy Access: Accounting Financial Supply Chain Management Collections Management Integration with Accounts Receivable Accounting Periodic Processing Distribution of Data to Collections Management.

On the “Distribution of FI-AR data into Collections Management” screen, enter the following values in the “Type of Data Transfer” area:


Data Tfer According to Selectn Set X indicator

Use the Multiple selection button (button with yellow arrow on the right side of the input fields for the selection criteria "Customer") to specify the customers FSHEAD##, FSBR##-A, FSBR##-B and FSBR##-C as individual values and choose Enter (F8 - (green checkmark with a clock). Depending on whether you are executing a test run or an update run, select or don’t select the Test Run field in the “Output Control” area. Choose “Execute” (green checkmark with a clock).


b) Display the worklist and analyze the worklist entry for business partner FSHEAD##. Analyze the list of open items in the “Process Receivables” function and compare the entries with the line item list of the customer in question.

Call transaction UDM_SPECIALIST and double-click the entry for the business partner FSHEAD##.

In a separate session, call transaction FBL5N (Customer Line Item Display) and select the line items for the customer account FSHEAD## in the company code 1000. Execute the transaction (function key F8)

What caused the differences?

The receivable for EUR 190 that appears in the worklist is the only receivable that does not display a branch account.


All other postings for the customer FSHEAD## are posted taking into consideration the branch accounts that belong to the head office FSHEAD##.

When you use the head office/branch office relationships in SAP Collections Management, documents that were posted to a branch are taken into account in the corresponding branches.

However, documents in FI-AR are actually posted to the customer account of the head office.

c) Now return to the worklist, select the worklist entry for business partner FSBR##-B for processing, and carry out the following activities:

Create a promise to pay for the invoice for EUR 260.

Create a dispute case for the invoice for EUR 250.

Freely select the parameters required for entry (see previous exercises).

Select the relevant document in the list and choose the function Create Promise to Pay or Create Dispute Case.

Check which customers or business partners these objects are saved to.

To check the promise to pay, switch to the tab page Promise to Pay. Select the promise to pay that was created previously and choose the function Display Promise to Pay.

Check the value of the customer case attribute in the window that is displayed: The promise to pay was created for the head office FSHEAD## because it corresponds with the (posted to) customer account.

However, since, from the business view in the present scenario, the branch FSBR##-B is responsible for the receivable, the promise to pay is displayed in SAP Collections Management for the branch.

To check the dispute cases, switch to the tab page Dispute Cases. Select the dispute case that was created previously and choose the function Display Dispute Case.

Check the value of the customer case attribute in the window that is displayed: The dispute case was created for the branch account FSBR##-B.

Close your customer contact and return to the worklist.

Choose the green arrow to return to the worklist.

Complete the customer contact in the window that is displayed and save it.


d) Now select the worklist entry for business partner FSBR##-A for processing, and carry out the following activities:

Create a resubmission since you were unable to reach the contact person.

In the “Resubmissions” view, choose the “Create Resubmission” button and make the following entries:

Resubmission Date: Today + 1 week

Reason: Contact Person Absent

No Contact until Resubmission: select

Choose “Save“.

Check which business partner the resubmission was saved to.

In the entry for the resubmission that is displayed after you save, check the value in the field Customer: The resubmission applies to the processed branch FSBR##-A.



SAP AG 2008

Attachment I

Additional Information


SAP AG 2008

Comparison of Credit Management with SAP Credit Management

SAP Customer

Not available

SAP AR

Not available

With partner products only

Not available

Only in sales components (blocked order)Customer fact sheet

SAP Business Partner

SAP AR, FI-CA, and so on

Formula editorEach XML based information service

Formula editor

Workflow for each SAP Credit Management eventCredit Manager Portal (incl.reportingVia XI server

Credit Management SAP Credit Management

Master Data

FI Data

Scoring (Creditworthiness calc.)

External credit information(for example, D&B)

Formula-based definition of credit limits

Workflow

Analysis

Connection of NON-SAP systems

Not available Credit case application/Eventing/Mass changes

Credit limit application/Aut. new evaluations

Only at the level of the credit control area I (decentral OR central); only for single system environments (1xFI, 1xSD)

At segment and main segment level (overall credit limit) (decentral AND central); distributed system environments possible (several FI, SD, and CRM systems)

Credit check/Monitoring credit limit utilization


SAP AG 2008

Attachment II

Additional Release Information


SAP AG 2006

Credit segment data for a business partner

Updating Credit Segment Data (ERP2004)

CREDIT LIMIT AND CONTROLCredit limitTotal credit exposureCredit insurance, collateral...Credit block

A/R SUMMARYHighest reminder levelOldest open itemLast paymentKey figures for payment history,for example, DSO

SAP SalesSAP Sales

Sales order Open items


PaymentsBilling document

CREDIT MANAGEMENTCREDIT MANAGEMENT

The credit segment data consists of the update of commitment data and A/R summary data: Commitment data is updated using the data from Sales and Distribution and Accounting

systems.

A/R summary data is updated using the data from Accounting.


SAP AG 2003

AutomaticFor each report

UKM_TRANSFER_ITEMS

Updating Liability Data


SAP XISAP XI

Total liability


Sales order Invoice Open items


Liability increase

Liability decrease

Liability increase

CREDIT SEGMENT Payt behavior sum.

When you create a sales order and invoice in the SAP Sales and Distribution system, the corresponding SD liability data is updated automatically in SAP Credit Management.

Updating the liability in SAP Credit Management in accordance with the data from the SAP Financial Accounting system must be triggered manually using the UKM_TRANSFER_ITEMS report. You can transfer all of the FI items that have not yet been transported to SAP Credit Management (normal mode), or you can transfer all of the current FI items to SAP Credit Management (rebuild mode).


SAP AG 2006

Updating A/R Summary Data (ERP2004)


Sales order Billing document

Open items


Increase commitment

Reduce commitment

Increase commitment

A/R summary

SAP XISAP XI

using report UKM_TRANSFER_VECTOR

Update A/R summary


Total credit exposureCREDIT SEGMENT A/R summary

The A/R summary data from SAP accounting is also periodically transferred to SAP Credit Management using a report (UKM_TRANSFER_VECTOR). In doing so you can again choose whether you want to transport the information delta (normal mode) or all the information (rebuild mode).


SAP AG 2006

Credit Check for Order Creation in SAP Sales (ERP2004)

1. Create or changesales order

5. Order credit statusaccording to check result:

released or blockedSAP SalesSAP SalesSales order


Credit limit or total commit-ment or other

CREDIT SEGMENT

A/R summary

Check RuleCREDIT PROFILE

3. Credit check as per check rule

7. Update commitment

4. Send checkresult

2. Call credit check 6. Send commitment if order is released

SAP XISAP XI

SD BAdI: badi_sd_cm

1. + 2. If an order is created or changed in SAP Sales and Distribution, the credit check is called in SAP Credit Management.

3. SAP Credit Management performs the credit check according to the check rule stored in the credit profile.

4. + 5. The check result is returned to Sales and Distribution. If the result is negative, the order can be locked in Sales and Distribution (depending on the configuration of BAdI BADI_SD_CM).

Report UKM_LOGS_DISPLAY enables you to display a detailed credit check log. The log shows every credit checking step for every credit segment according to the check rule stored in the customer master data.

Transaction VKM1 enables you to display and release blocked orders.

6. + 7. After the order is stored in the database (as released), the commitment is updated correspondingly in SAP Credit Management.

The credit check is performed synchronously, updating the commitment takes place asynchronously.


SAP AG 2006

One-System Scenario (SAP CR – ERP2004)


mySAP ERP 2004mySAP ERP 2004(ECC 5.0)(ECC 5.0)

WebAS 6.40WebAS 6.40

Exchange Infrastructure 3.0 Exchange Infrastructure 3.0 (incl. XI Content)(incl. XI Content)

BW 3.5BW 3.5 EP 6.0EP 6.0

BP BP Credit Credit



3.5.23.5.2

BW System* Portal Server*

* optional

RFC


SAP AG 2006

Multi-System Scenario (SAP CR – ERP2004)




ororSAP FISAP FI--CA (from 4.72)CA (from 4.72)

BW System*BW System* Portal Server*Portal Server*



Exchange Infrastructure 3.0 Exchange Infrastructure 3.0 (including XI Content)(including XI Content)

BW 3.5BW 3.5 EP 6.0EP 6.0

BP BP Credit Credit



3.5.23.5.2

RFC

* optional


SAP AG 2006

Architecture Variants (SAP BD – ERP2004)

SAP R/3 Enterpriseor

SAP R/3 4.6C or

FI-CA (min. 4.64)

RFC





mySAP ERP 2004mySAP ERP 2004oror

SAP R/3 EnterpriseSAP R/3 Enterpriseoror

SAP R/3 4.6C*SAP R/3 4.6C*oror

SAP FISAP FI--CA (min. 4.64)*CA (min. 4.64)*



* Integration with SAP Dispute Management is only available as of R/3 Enterprise or FI-CA 4.72 The following SAP components can be connected as the back end:

SAP accounts receivable accounting (at least FI-AR as a part of SAP R/3 4.6C)

SAP contract accounts receivable and payable (at least SAP FI-CA 4.64)

In addition to this, it is also possible to integrate the following FSCM components

SAP Cash Management



SAP AG 2006

Architecture Variants (SAP DM - ERP2004)

RFC








ororSAP FISAP FI--CA**CA**



* If SAP Collections Management and SAP Dispute Management are to be used in integrated form, both components must be installed on the same system. We recommend installing SAP ECC 5.0 in addition to SAP Dispute Management and SAP Collections Management, because SAP Collections Management 6.0 requires SAP ECC to enable the full scope of functions.

** At least FI-CA 4.72

SAP Dispute Management consists of two main software components

One component for Dispute Case Processing: Software component Financial Basis 3.0

One component for the process integration with accounts receivable accounting: software component R/3 Plug-In 2004.1 for SAP R/3 4.6C, SAP Enterprise 4.70 and mySAP ERP 2004

SAP Dispute Management can be set up in two ways:

One-system scenario: Accounts Receivable Accounting and Dispute Case Processing run on one system

Multi-system scenario: Accounts Receivable Accounting and Dispute Case Processing run on separate systems

Prerequisite for a one system scenario is that Accounts Receivable Accounting is running on mySAP ERP 2004 since Financial Basis 3.0 needs the SAP Web Application Server 6.40 (SAP Web AS) as basis


SAP AG 2006

Architecture Variants (SAP COL – ERP2004)

RFC




SAP Collections Management 3.0 *SAP Collections Management 3.0 *(Financial Basis 3.0)(Financial Basis 3.0)

mySAP ERP 2004mySAP ERP 2004oror

SAP R/3 EnterpriseSAP R/3 Enterprise

SAP Collections Management 3.0 *SAP Collections Management 3.0 *(Financial Basis 3.0)(Financial Basis 3.0)


SAP ECC 5.0 (FISAP ECC 5.0 (FI--AR)**AR)**

* If SAP Collections Management and SAP Dispute Management are to be used in integrated form, both components must be installed on the same system.

** We recommend installing SAP ECC 5.0 in addition to SAP Dispute Management and SAP Collections Management because SAP Collections Management 6.0 requires SAP ECC to enable the full scope of functions.

SAP Collections Management consists of two main software components:

Software component for Promise to Pay Financial Basis 3.0

Software component for receivables processing in accounts receivable accounting (FI-AR): R/3 Plug-In 2004.1 for SAP Enterprise 4.70 and mySAP ERP 2004

SAP Collections Management can be set up in two ways:

One system scenario accounts receivable accounting and promise to pay run on one system.

Multiple system scenario accounts receivable accounting and promise to pay run on different systems.

Prerequisite for a one system scenario is that accounts receivable accounting is running on mySAP ERP 2004 since Financial Basis 3.0 needs the SAP Web Application Server 6.40 (SAP Web AS) as basis.

Z FSC020_Col92 Processes in Biller Direct, Dispute, Credit and Collection Management

Documents

accounts receivable

sap netweaver

early warning

vendor creditpayment

financial

cash flow

cash flow

cash flow