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Former Member

credit management

Dear expert,

I config credit management in OVA8. I know about dynamic, static, oldest open item; but I don't know how to use open items. Can you tell me about this and its effect? When we use it? what things it can be managed?

Thanks you very much. I read in document about credit management but It's not clear enough.

Kelly Minh

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2 Answers

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    Former Member
    Sep 06, 2010 at 04:24 AM

    Hi Kelly,

    Open items mgmt refers to Invoices which are not cleared for a specific duration of time. You can define the same in OVA8.

    The horizon specified in OVA8 or FD32 will enable the system to check the credit of the customer under either the credit control area level or customer level respectively.

    For Eg: Even if a customer's credit limit is say $5000 and there is an open invoice of $8000 which is 2 months old, if u activate credit mgmt for open items and specify a horizon of 90 days(3 Months) the system will throw a warning/error (as per config) while creating a new sales order for that customer.

    Hope its clear now.

    Regards,

    Amit

    Edited by: Amit Iyer on Sep 6, 2010 9:54 AM

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    Former Member
    Sep 07, 2010 at 06:17 AM

    Hi kelly,

    The open item is all invoices for which accounting doucment has uncleared status. The open item may be overdue or non overdue.

    This type of credit check works in conjunction with two values that you specify in the adjacent fields:

    Maximum % of overdue items in open items

    Number of days which the open items are overdue

    The proportion of overdue open items (that exceed the specified number of days) in the total of open items should not exceed the percentage specified.

    Hope it is clear.

    Regards

    Sanjay

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    • Former Member

      Hi. Do you know if is it possible the system considers only part of open items. For example, I want to avoid the FI documents, like DG or DR. Basically, I need the system only consider the invoices with posting key 01.

      Thanks!!!