credit management

[Former Member]

hi,

sap gurus,

how to configure full dynamic credit managent

can any send the configuration steps

for that explaining the relevance of each and every field

in the credit management

in dynamic credit limit processing

my id is timmampalli@gmail.com

regards,

balaji.t

09990019711.

[Former Member · Accepted solution]

Plz refer to

[http://www.sap-img.com/sap-sd/credit-management.htm]

Hope this will help u or else revert with doubts.

Rgds

[Former Member]

This is very simple. In define automatic credit control,you select the combination of credit control area, static group, risk category.goto details, there you can select whether it is static or dynamic.

Regards,

Nithin.

[Former Member]

Credit Management

The customer’s credit limit is assigned to the customer by going to the Logistics overview screen, Accounting, Financial accounting, Accounts receivable, Master records, Credit management, Change.

A credit control area is an organizational unit that is comprised of one or more company codes.

Create a credit control area and assign it to a company code in the Enterprise structure under financial accounting.

A customer’s risk category is a grouping category that controls the credit checks when automatic credit control takes place.

In SD credit check can occur in only three places: sales order, delivery and goods issue.

The system can use a simple credit check, static credit check or a dynamic credit check.

The simple credit check is set at the document type level e.g., sales order, delivery etc.

Simple Credit Check

Assign credit limit check to the sales doc type:

A – warning message

B – Error message

C – Delivery block

D – Automatic credit control

SAP enables static and dynamic credit checks so that a sales order for a good customer with a low risk credit rating is created and a sales order for a high risk customer with a high risk rating for the same doc type is blocked.

Automatic credit control divides the sales doc types, delivery doc types, and goods issue into specific credit groups.

An outcome procedure is defined using the credit group, the customer’s risk category along with the credit control area.

Risk categories are defined in the FI module.

Create the different credit groups e.g., for sales order, delivery, goods issue.

Assign the credit groups to the sales and delivery doc types.

Now define the settings for automatic credit control -> combination of credit control area, customer’s risk category, and credit group.

All that remains is the assignment of the risk category to the customer master record. This occurs in Finance by going to the Logistics overview screen -> Accounting, Financial Accounting, Accounts receivable, Master records, Credit management, Change or FD32.

The static credit check is a check comparing the credit limit assigned to the customer to the total value of open sales orders, plus the total value of open deliveries not yet invoiced, plus the total value of open billing documents not yet passed on to accounting, plus the total value of billing documents that have been passed on to accounting, but which have not been paid by the customer.

The dynamic credit check is a check comparing the credit limit assigned to the customer to the total value of open sales orders not yet delivered, plus the total value of open deliveries not yet invoiced, plus the total value of open billing documents not yet passed on to accounting, plus the total value of billing documents that have been passed on to accounting, but which have not been paid by the customer. The dynamic credit check has an attached time period that states that the system is not to include sales orders in the total of outstanding items created after the specified time period.

The credit relevant data is updated into an information structure, where it is accessed and updated. Thus each automatic credit control must be assigned an update group. The system allows for no update, and update group 000012, 000015 and 000018. However, update group 000012 is thorough and used in most businesses.

To view the customer’s credit master sheet, proceed from the logistics screen and go to accounting, financial accounting, accounts receivable, environment, credit management, check, credit master sheet [F.35].

Configuration steps have already been covered by previous responding member.

Regards,

Rajesh Banka

[Former Member]

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.

[Former Member]

hi,

The customer's credit exposure is split into a static part; open items, open billing, and delivery values and a dynamic part, the open order value.

The open order value includes all undelivered or only partially delivered orders. The value is calculated on the shipping date and stored in an information structure according to a time period that you specify (days, weeks, or months).

When you define the credit check, you can then specify a particular horizon date in the future (for example: 10 days or 2 months, depending on the periods you specify).

For the purposes of evaluating credit, you want the system to ignore all open orders that are due for delivery after the horizon date. The sum of the static and dynamic parts of the check may not exceed the credit limit.

regards,

Siddharth

[Former Member]

Hi,

Explaining each & every fields are not possible here,

But u can try with the following T.codes which i have listed. It is sufficient to configure Credit management successfully.

• OB45 – To Define Credit control area

• Ob38 –Assign a Credit control area to a company code

• OVFL- Allocation of sales area to a credit control area.

• OVAK –Assign a Credit check and credit group to a Sales document type.

• Ob01 – View Credit management risk category

• OVA6 – view credit group

• OVAD – Assign credit group to a delivery type

• OVA8 – Automatic Credit control settings

• FD32 – Customer Credit control settings

• F.35 - Customer Credit sheet.

• F-28 – Posting of Incoming payments

• FBL5N – Customer line items display.

Hope it is useful...

Reward points

Regards

Kaleeswaran