Friday, June 19, 2009

SAP Tutorial - Sales & Order - Part 4

Sales and Distribution - Transfer of Requirements

The MRP department is informed about the quantities and deadlines by which incoming orders
should be delivered. The system checks the availability of the goods based on the requested
delivery date of the customer and creates MRP records which contain all necessary information
for passing on to planning. It ensures that the goods are available in time for the delivery.
Materials planning transfers the reported requirements and creates orders or purchase
requisitions from them etc.

For controlling transfer of requirements, you have to carry out the following steps:

1. Each requirement type has to be allocated to one requirement class only.
2. The transfer of requirements must be switched on at requirements class level, the sales
documents at schedule line level.
3. You must define a check group. It is possible to have this check group proposed for the
initial creation of a material master record.
4. Note that a plant must exist for transfer of requirements to be carried out at document
item level.

OVZG - Requirement class

It specifies the following points:

- whether an availability check and a transfer of requirements is carried out for a
transaction (for sales documents, fine tuning using the schedule line category is possible),
- whether the requirements are relevant for MRP,
- the allocation indicator from the sales view which controls the settlement of customer
requirements with requirements
- whether an item is to be settled to an auxiliary account assignment,
- the settlement profile,
- the results analysis key.

(Use transaction SM30 for V_* configuration)
OVZH - Requirements type
V_TVEPZ_V - Assignment of requirement type to Transaction
V_TVEP_V - Schedule line category
OVZ2 - Define Checking Group
V_TMVFU - Define the checking group that the system proposes when you create a new material
master record. You can overwrite the default value for the checking group in the
material master record.

Wednesday, June 17, 2009

SAP Tutorial - Sales & Order - Part 3

Define whether the Material can be used at which Sales and Distribution process

Here you define how the system responds when entering a sales and distribution document
with this material in the different Sales and Distribution Process Flow..

You can use the material status, for example, to prevent orders from being entered for
parts to be discontinued.

OR

To temporary block the creation of Sales Order for a certain materials.


Set the material status parameters in transaction SM30, Table Views V_TVMS.



Assign a Cost Center manually in a Sales Order (VBAK-KOSTL)

The Cost Center Determination settings is in OVF3 - but there are some cases where the Cost Center must be exceptionally changed.

If the document category for order type in IMG VOV8 is defined to be "I" which belong to order type FD - Deliv. Free of Charge, then the field cost center is active for input during transaction VA01.

Alternatively, you can specify an order reason and assign a cost center to an order reason.

However the standard SAP works only at the header level though, so it would not work if cost center is needed on the line item.

The cost center are assign for such business transactions as :

- Free deliveries
- Returns
- Deliveries of advertising materials

You can also make cost center allocation dependent on the order reason, for example:

Order reason: Damage in transit
Order reason: Free sample

Both the IMG settings are done in transaction OVF3, either with/without the order reason.

Monday, June 15, 2009

SAP Tutorial - Sales & Order - Part 2

Auto proposed all the dates when creating Sales Order

How can I make the system auto create all the Sales Order date during creation?

Each Sales Order can have different date proposal settings.

Follows this step to set the default Sales Order Type proposal date:

- Goto VOV8, double click on sales order type.

- Look and tick the fields Propose delivery date and Propose PO date.

After making the necessary IMG changes, you need to input the Delivery Plant field for each Materials that you want the system to propose the default date.

To change the Materials field Delivery Plant:

Goto MM02, Select the View Sales: Sales Org. Data 1 and fill in the Delivery Plant.

Testing:

Now, try creating a new sales order for the material and SAP will auto proposed all the dates in the sales order.

Saturday, June 13, 2009

SAP Tutorial - Sales Order - Part 1

Default First Date is not Today

When end user created a new sales order with VA01, default First Date wasn't today, why?

Note:
1. Before today, default First Date was always today.
2. Nobody change system configuration.

Although you mention that nobody change the system configuration, it is very unlikely that the system will mis-behaved after one day.

Usually, after checking, you will find that someone have actually change the configuration as it could not be a software bug since you have been using it for quite sometime without any problems.

The date is control by each Sales Order Type for each Sales Document type whether is it a
- OR - Standard Order,
- RE - Returns etc.

Verify the Sales order type configuration with the following path:

IMG: Sales and Distribution --> Sales --> Sales Docs --> Sales Doc Hdr --> Define Sales Doc Types (transaction vov8) will let you control this by sales document type.

There is one field (Lead time in days) which "specify the number of days after the current date that the proposal for the requested delivery date in the sales document should be".

This should be blank if you want the system to propose current day for delivery date.

Thursday, June 11, 2009

SAP Tutorial - Credit Management - Part 4

Dunning Process In Credit Management

Explain about dunning process in credit management?

Let me explain in simple terms:

1) You have a Customer which you had felt, he is doing good business and supplied material on Credit of 45 days.

2) Since this customer is good as you felt, you have not managed Credit Checks as well. So, he had comfortably reached to the fullest credit (or even more) which you can afford for any customer.

3) One fine day you got realized that, there is very bad debt with this customer and need to recover from him and till then, there will be no further supply to the customer.

4) Your company's legal department has laid a policy that, in order to recover any bad debts, like:
a) We will send a normal payment reminder.
b) In case customer doesn't respond, we will send at least further reminder (dunning notice) may be 9 times
(9 reminders) (Dunning level) and what intervals of time (dunning frequency)
c) Still if the customer doesn't respond for the reminders, you will file a law suit against the customer for recovering
the Payments.
d) Finally, after getting verdict, you may proceed for auction of his property or as per the order for Law.

Now in SAP, the definition of Dunning procedure is a pre-defined procedure specifying how customers or vendors are dunned.

For each procedure, the user defines
- Number of dunning levels
- Dunning frequency
- Amount limits
- Texts for the dunning notices

In SAP, you will maintain the Dunning Procedure at customer master. Referring to this your SD Team / FI Team (user team) will effect Dunning

PS: You might remembered the dunning procedure laid by Reliance Mobile, sometime back, sending street rowdies for recovering the bad debts from users. That is dunning. Remember Reliance, you will not forget dunning forever.

Tuesday, June 9, 2009

SAP Tutorial - Credit Management - Part 3

Set Up for Credit Card Payment Processing

Given below is the set up for credit card payment processing:

Set Up Credit Control Areas:

Define Credit Control Area
Transaction: OB45
Tables: T014
Action: Define a credit control area and its associated currency. The Update Group should be ‘00012’. This entry is required so the sales order will calculate the value to authorize

Assign Company Code to Credit Control Area
Transaction: OB38
Tables: T001
Action: Assign a default credit control area for each company code

Define Permitted Credit Control Area for a Company
Code
Transaction:
Tables: T001CM
Action: For each company code enter every credit control area that can be used

Identify Credit Price
Transaction: V/08
Tables: T683S
Action: Towards the end of the pricing procedure, after all pricing and tax determination, create a subtotal line to store the value of the price plus any sales tax. Make the following entries:
Sub to: “A”
Reqt: “2”
AltCTy: “4”

Automatic Credit Checking
Transaction: OVA8
Tables: T691F
Action: Select each combination of credit control areas, risk categories and document types for which credit checking should be bypassed. You need to mark the field “no Credit Check” with the valid number for sales documents.

Set Up Payment Guarantees

Define Forms of Payment Guarantee
Transaction: OVFD
Tables: T691K
Action: R/3 is delivered with form “02” defined for payment cards. Other than the descriptor, the only other entry should be “3” in the column labeled “PymtGuaCat”

Define Payment Guarantee Procedure
Transaction:
Tables: T691M/T691O
Action: Define a procedure and a description.
Forms of Payment Guarantee and make the following entries Sequential Number “1”
Payment Guarantee Form “02”
Routine Number “0” Routine Number can be used to validate payment card presence.

Define Customer Payment Guarantee Flag
Transaction:
Tables: T691P
Action: Define a flag to be stored in table.
Create Customer Payment Guarantee = “Payment Card Payment Cards (All Customers can use Payment Cards)”.

Define Sales Document Payment Guarantee Flag
Transaction:
Tables: T691R
Action: Define the flag that will be associated with sales document types that are relevant for payment cards

Assign Sales Document Payment Guarantee Flag
Transaction:
Tables: TVAK
Action: Assign the document flag type the sales documents types that are relevant for payment cards.

Determine Payment Guarantee Procedure
Transaction: OVFJ
Tables: T691U
Action: Combine the Customer flag and the sales document flag to derive the payment guarantee procedure

Payment Card Configuration

Define Card Types
Transaction:
Tables: TVCIN
Action: Create the different card types plus the routine that validates the card for length and prefix (etc…)
Visa , Mastercard, American Express, and Discover
Create the following entries for each payment card
AMEX American Express ZCCARD_CHECK_AMEX Month
DC Discover Card ZCCARD_CHECK_DC Month*****
MC Mastercard ZCCARD_CHECK_MC Month
VISA Visa ZCCARD_CHECK_VISA Month

The Routines can be created based on the original routines delivered by SAP.

*****SAP does not deliver a card check for Discover Card. We created our own routine.

Define Card Categories
Transaction:
Tables: TVCTY
Action: Define the card category to determine if a
payment card is a credit card or a procurement card.
Create the following two entries
Cat Description One Card Additional Data
CC Credit Cards No-check No-check
PC Procurement Cards No-check Check

Determine Card Categories
Transaction:
Tables: TVCTD
Action: For each card category map the account number range to a card category. Multiple ranges are possible for each card category or a masking technique can be used. Get the card number ranges from user community. Below is just a sample of what I am aware are the different types of cards.

Visa Credit Expires in 7 days.
400000 405500
405505 405549
405555 415927
415929 424603
424606 427532
427534 428799
428900 471699
471700 499999
Visa Procurement Expires in 7 days.
405501 405504
405550 405554
415928 415928
424604 424605
427533 427533
428800 428899
Mastercard Credit Expires in 30 days
500000 540499
540600 554999
557000 599999
Mastercard Procurement Expires in 30 days
540500 540599
555000 556999

American Express Credit Expires in 30 days
340000 349999
370000 379999

Discover Card Credit Expires in 30 days
601100 601199

Set Sales Documents to accept Payment Card Information Transaction:
Tables: TVAK
Action: Review the listing of Sales Document types and enter “03” in the column labeled “PT” for each type which can accept a payment card

Configuration for Authorization Request

Maintain Authorization Requirements
Transaction: OV9A
Tables: TFRM
Action: Define and activate the abap requirement that determines when an authorization is sent. Note that the following tables are available to be used in the abap requirement (VBAK, VBAP, VBKD, VBUK, and VBUP).

Define Checking Group
Transaction:
Tables: CCPGA
Action: Define a checking group and enter the
description. Then follow the below guidelines for the remaining fields to be filled.
AuthReq Routine 901 is set here.
PreAu If checked R/3 will request an authorization for a .01 and the authorization will be flagged as such. (Insight does not use pre-authorization check).
A horizon This is the days in the future SAP will use to determine the value to authorize
(Insight does not use auth horizon period).
Valid You will get warning message if the payment card is expiring within 30 days of order entry date.

Assign Checking Group to Sales Document
Transaction:
Tables: TVAK
Action: Assign the checking group to the sales order types relevant for payment cards

Define Authorization Validity Periods
Transaction:
Tables: TVCIN
Action: For each card type enter the authorization validity period in days.

AMEX American Express 30
DC Discover card 30
MC Master card 30
VISA Visa 7

Configuration for clearing houses

Create new General Ledger Accounts
Transaction: FS01
Tables:
Action: Two General Ledger accounts need to be created for each payment card type. One for A/R reconciliation purposes and one for credit card clearing.

Maintain Condition Types
Transaction: OV85
Tables: T685
Action: Define a condition type for account determination and assign it to access sequence “A001”

Define account determination procedure
Transaction: OV86
Tables: T683 / T683S
Action: Define procedure name and select the procedure for control. Enter the condition type defined in the previous step.

Assign account determination procedure
Transaction:
Tables:
Action: Determine which billing type we are using for payment card process.

Authorization and Settlement Control

Transaction:
Tables: TCCAA
Action: Define the general ledger accounts for reconciliation and clearing and assign the function modules for authorization and settlement along with the proper RFC destinations for each.

Enter Merchant ID’s
Transaction:
Tables: TCCM
Action: Create the merchant id’s that the company uses to process payment cards

Assign merchant id’s
Transaction:
Tables: TCCAA
Action: Enter the merchant id’s with each clearinghouse account

Sunday, June 7, 2009

SAP Tutorial - Credit Management - Part 2

Difference Between Simple and Automatic Credit Check Types

Explain in detail difference between simple and automatic credit check types. In automatic check, difference between static and dynamic checks.

SIMPLE CREDIT CHECK : Tr.Code - FD32

It Considers the Doc.Value + Open Items.

Doc.Value : Sales Order Has been saved but not delivered

Open Item : Sales Order has been saved , Delivered, Billed & Transfered to FI, but not received the payment from the customer.

Eg: Customer Credit Limit is Rs.1,00,000/-
Suppose Doc.Value + Open Item Value is Rs.1,10,000/-

Here credit limit exceeds then system reacts.

Options : A) Warning Message
B) Error Message (Sales Order won't be saved)
C) Error Message with Delivery Block

AUTOMATIC CREDIT CHECK : Give extra credit facilities to the particular customer.

STATIC CREDIT LIMIT DETERMINATION :Checking Group + Risk Category + Credit Control Area.

A) Credit Checking Groups : Types of Checking Groups.

01) Sales
02) Deliveries
03) Goods Issue
At all the above 3 levels orders can be blocked.

B) Risk Category : Based on the risk categories company decide how much credit has to give to the customer.

HIGH RISK (0001) : LOW CREDIT
LOW RISK (0002) : MORE CREDIT
MEDIUM RISK(0003) : Average Credit

Static Credit Check it checks all these doc value & check with the credit limit

1) Open Doc.Value / Sales Order Value : Which is save but not delivered

2) Open Delivery Doc.Value : Which is delivered but not billed

3) Open Billing Doc.Value : Which is billed but not posted to FI

4) Open Item : Which is transferred to FI but not received from the customer.

DYNAMIC CREDIT CHECK : 1) Open Doc
2) Open Delivery
3) Open Billing
4) Open Items
5) Horizon Period = Eg.3Months

Here the System will not consider the above 1,2,3& 4 values for the lost 3 months

Then assign the Sales Doc & Del Documents.

Sales Doc. Type(OR) + credit Check(0) + Credit Group (01)

Credit Limit Check for Delivery Type : Del. Type (LF) + Del Credit
Group (02) + Goods Issue Credit Group (03)

Friday, June 5, 2009

SAP Tutorial - Credit Management - Part 1

How To Do Configuration For Credit Management

Credit and risk management takes place in the credit control area. According to your corporate requirements, you can implement credit management that is centralized, decentralized, or somewhere in between.

An organizational unit that represents the area where customer credit is awarded and monitored. This organizational unit can either be a single or several company codes, if credit control is performed across several company codes. One credit control area contains credit control information for each customer.

For example, if your credit management is centralized, you can define one credit control area for all of your company codes.

If, on the other hand, your credit policy requires decentralized credit management, you can define credit control areas for each company code or each group of company codes.

Credit limits and credit exposure are managed at both credit control area and customer level. You set up credit control areas and other data related to credit management in Customizing for Financial Accounting. The implementation guide is under Enterprise Structure -> Definition or Assignment -> Financial Accounting and then Maintain credit control area. You assign customers to specific credit control areas and specify the appropriate credit limits in the customer master record.

Settings for determining the credit control area of a document. The settings of items 1 - 4 are taken into account according to their priority. The credit control area found is stored in field VBAK-KKBER.

1. Transaction OB38
Check which credit control area is assigned to the company code.
Company code:
Credit control area:

2. Transaction OVFL
Check which credit control area is assigned to the sales area.
Sales area:
Credit control area:

3. Transaction XD02 or VD02
Check which credit control area is assigned to the payer.
Payer:
Credit control area:

4. Transaction SE37
Is user exit EXIT_SAPV45K_001 being used?

5. Transaction OBZK
For the settings under items 2 - 4, field "All company codes" must be marked in Transaction
OB45, or the credit control area must be entered under the relevant company code in table
T001CM of the credit control areas allowed.
Company code:
Credit control areas allowed:

6. Settings for the credit checks

7. Transaction OVAK
Which settings do exist for the sales document type used?
Sales document:
Check credit:
Credit group:

8. Transaction OVAD
Which settings do exist for the delivery type used?
Delivery type:
Credit group for delivery:
Credit group for goods issue:

9. Transaction OB01
Credit management/Change risk category
Definition of the risk category for each credit control area. This risk category can be assigned to a credit account by using Transaction FD32.

10. Transaction OVA8
Here, the individual credit checks for key fields
o credit control area
o risk category
o credit group are set. Take these key fields from the above settings and go to the detail
screen. In particular, check whether fields "Reaction" and "Status/block" are set
correctly. To carry out follow-up actions in case of a credit block, the credit check
status must be set (field "Status/block").

11. Transaction FD32
Credit master data for the payer of the relevant document.
Credit account:
Credit limit:
Risk category:
Currency:

12. Settings for updating the credit values Update of the credit values is required for the limit check (static or dynamic credit limit check).

13. Transaction OVA7
Update of the credit value is active for the corresponding item type if the check box is marked. This field corresponds to
field "Active receivable" in Transaction VOV7.
Item type:
Active receivable:

14. Transaction V/08, Pricing
In the pricing procedure used for pricing, subtotal "A" must be entered in a line for determining the credit value (mark the pricing procedure and doubleclick on "Control").
Usually, the net value plus taxes is used. This way the system is determined to use this subtotal for credit pricing. The credit price is stored in field VBAP-CMPRE and used for update and credit check.
You can find the used pricing procedure of the order under "Item -> Condition -> Analysis".
Pricing procedure:
Line with subtotal = 'A':

15. Transaction OB45
Which update group (field "Update") do you use in the relevant credit control area? The
default setting is "12". If you use another update group, check whether this is fine with
you. If you open an OSS message, please tell us the alternative update group.
Credit control area:
Update:

16. Transaction OMO1
Which kind of update did you choose for structure S066?
In any case, "Synchronous update (1)" has to be chosen as the kind of update.
All other settings will lead to errors.