Milestone based PO

[sivadm]

Hello Experts,

Hope you can help me with this.

In the current scenario, we pay to vendor based on the time which the consultants enter in SUS. The self bill gets generated when entries are approved and payment cycle is then processed. Currently within company we have it as a monthly cycle. In case of milestone based billing, instead paying the vendor at the regular frequency, the requirement is to pay him based on completion of certain milestones. For example, assume a work package amounting to 1000 Euros has been awarded to a vendor. Payment terms are as follows:

1. 10% on resource mobilization / advance

2. 25% on business blueprint completion

3. 35% on realization

4. 20% on User Acceptance Testing

5. 10% on going live

Can this scenario be handled using SUS?

Thanks ,

Siva.

[rani_ap]

Hi Siva,

Partial Invoicing Plan

The total value of the item to be invoiced is broken down and distributed over the individual dates of the invoicing plan.

For example, payment with respect to a certain construction project is to be effected in three stages as follows: 30% of the value of a PO item is to be invoiced and paid following completion of the first construction phase, another 30% after the second phase, and the rest on completion and acceptance of the final phase of the work.

And SUS is component of SRM Right?

Anil patreddy

[Former Member]

Hi Sivashankar ,

I am not aware what u mean by SUS , but for sure this can be done via partial invoicing plan.

Regards

Ramesh Ch

[sivadm]

Hi,

SUS is Supplier Selff Service . . . how ever , it will be helpful if you could explain Partial Invoicing plan.

Thanks,

Siva.

[Former Member]

Hi Sivashankar,

Refer the below link :

http://help.sap.com/saphelp_47x200/helpdata/en/75/ee1fa755c811d189900000e8322d00/frameset.htm

Click on Purchase Orders and then Invoicing Plan.

In the case of the partial invoicing plan, the total value of the PO item is broken down and spread over the individual dates of the invoicing plan.

A purchase order item relates to building project no. 1 with a total value of $900,000. 33.3% ($300,000) of the total value is due to be invoiced and paid on completion of the first phase of construction, a further 33.3% ($300,000) on completion of the second phase, and the rest ($300,000) following completion and acceptance of the 3rd and final phase.

In the partial invoicing plan, you wish to maintain the invoicing dates agreed with the vendor yourself. Therefore there is no system support in the form of date proposals.

Regards

Ramesh Ch