Skip to Content
avatar image
Former Member

Credit Management Process based on Terms of Payment.

Hi All,

My Client wants to use SAP Credit Managment Process. The SAP is currently being used but without Credit Management. As per my initial discussion I have enclosed the requirments below. Your Kind Help will be highly appreciated.

1. The Process has to be implemented in a 2 Step Process.

2. The Initial Requirement is based on Terms of Payment. If the Number of Days is Overdue for the Invoice for a particular Customer, the system should issue a warning message (in the Form of Mail or any other way) which can be shown as evidence to the Customer for collection of Payment so that further Sales Transactions can take place.

(Is there the standard Process in Credit Management based on Terms of Payment)

3. In the next step Value Base Credit Check has to be implemented. The Value will be set for a particular Customer in Credit Master. When the Sales Order is raised and if the Credit Limit is exceeded the System should issue the warning message. Based on the Warning Message Issued an email should triggered to the particular person in Finance that the Credit Limit for a particular person has been exceeded and Credit Limit needs to be increased.

Thanks & Regards,

Sam.

Add comment
10|10000 characters needed characters exceeded

  • Get RSS Feed

2 Answers

  • Aug 06, 2011 at 02:44 PM

    Hi All,

    2. The Initial Requirement is based on Terms of Payment. If the Number of Days is Overdue for the Invoice for a particular Customer, the system should issue a warning message (in the Form of Mail or any other way) which can be shown as evidence to the Customer for collection of Payment so that further Sales Transactions can take place.

    (Is there the standard Process in Credit Management based on Terms of Payment)

    I think is Done Through Dunning procedure try to Check with FI consultant

    and also Kindly Check the Following link

    http://www.slideshare.net/eddai/sap-fi-dunning-httpsapdocsinfo

    3. In the next step Value Base Credit Check has to be implemented. The Value will be set for a particular Customer in Credit Master. When the Sales Order is raised and if the Credit Limit is exceeded the System should issue the warning message. Based on the Warning Message Issued an email should triggered to the particular person in Finance that the Credit Limit for a particular person has been exceeded and Credit Limit needs to be increased.

    I think it not possible to IN SAP , i think u have to go for enhancement

    and also one more option is but it is not suit exact your requirement

    give the Approval to FI person to release the Document

    Regards,

    Prasanna

    Add comment
    10|10000 characters needed characters exceeded

  • avatar image
    Former Member
    Aug 06, 2011 at 07:43 PM

    Dear Mr F Farooq,

    1. The Process has to be implemented in a 2 Step Process.

    Do the following configurations for credit management :

    Refer the following link.

    http://wiki.sdn.sap.com/wiki/display/ERPLO/CreditManagementConfigaration

    2. The Initial Requirement is based on Terms of Payment. If the Number of Days is Overdue for the Invoice for a particular Customer, the system should issue a warning message (in the Form of Mail or any other way) which can be shown as evidence to the Customer for collection of Payment so that further Sales Transactions can take place.

    (Is there the standard Process in Credit Management based on Terms of Payment)

    Now for this requirement, since different billing documents for the same customer can have different payment terms (whcih means different billing will be due on different date) , please make the following changes in OVA8

    Check for 'oldest open item'

    Now follow my reply in the below thread.

    Sales order to be blocked based on customer payment terms and credit limit

    You can use WORKFLOW to trigger mail when such a message is triggered in the sales order , due to credit check.

    Ask your ABAP-er for details on workflow.

    3. In the next step Value Base Credit Check has to be implemented. The Value will be set for a particular Customer in Credit Master. When the Sales Order is raised and if the Credit Limit is exceeded the System should issue the warning message. Based on the Warning Message Issued an email should triggered to the particular person in Finance that the Credit Limit for a particular person has been exceeded and Credit Limit needs to be increased.

    Just configure according to the thread given for 1st POINT.

    CHECK FOR DYNAMIC and set reaction as 'C' and check STATUS /BLOCK.

    Maintain the credit limit in the FD32.

    Now when the sales order value exceeds the credit limit , a message will be triggered.

    Use the concept of WORKFLOW to create mail based on this message .

    When the user gets mail, he can maintain the new credit limit in FD32 and release the document for delivery/billing in VKM3.

    Revert back if there is any issues.

    Thanks & Regards,

    Hegal K Charles

    Edited by: Hegal . K . Charles on Aug 7, 2011 1:19 AM

    Add comment
    10|10000 characters needed characters exceeded