Credit Management issue

[Former Member]

Hello,

I've a question on Credit Management check. My Credit control Area follows below settings:

Updates : 000012

Static check : A       Open Order  (unchecked)   Open Deliveries (Unchecked)

Risk Category : 700

Credit group : 01 (Order)

FD32 Credit account has credit limit ($10,000).

Scenario:- Sales order with $11,000 goes for a Credit Block as per the setting, which is fine. Second Sales Order is created with $8000 which is under the Credit limit and can be delivered but system doesn't allow me to deliver it because exposure has been updated with the first Sales Order value. Is there any setting available which considers the lower value Sales order and release it.

Business wants to release the lower value Orders if credit limit is consume by a single sales order.

Any positive answer will be much appreciated.

Thanks,

Naveen

[joao_sousa2]

I don't have the answer but I think the requirement is very clear.

• Sales Orders which are blocked because of credit check shouldn't decrease the amount of credit value available.

That way the 8000$ sales order would go through, because the 10000 $ were available. As the system is now, 0 $ is available because of the 11000$ blocked order.

[Former Member]

Thanks all for your valuable suggestions:

We are using RVKRED06 program to release the credit block documents when incoming payment is received.

Business says: When customer agrees to pay $8000 for the second sales order, program should release the second sales order automatically. Manually this is possible thru VKM1/3 but thru RVKRED06 program how can we achieve this. Please throw some light on it. Is there any way thru RC or OVA8 configuration.

Positive answer will be appreciated.

Thanks in advance.

Naveen

[Former Member]

Hello Naveen,

RVKRED06 will update the payment history and remove the block if there is payment made by the customer. You can put RVKRED06 in the periodic batch job for automatic updates of payment and release of blocks. Please let me now if i understand your requirement correctly

Regards

Tabish

[former_member184080]

 Business says: When customer agrees to pay $8000 for the second sales order, program should release the second sales order automatically. 

Hi Naveen,

If i understand your question correctly, if customer commits to pay the money the order has to be released automatically by using BG job. Yes, I agree that we can release them by using VKm1/3 as user would be knowing. But, how system knows that your customer is ready to make the payment? Has he paid already ?

Please correct me if i din't understand your question..

Regards, Sai Krishna.

[Former Member]

HI ..Naveen

When the customer has crossed his credit limit than he has to order within the limit or if still he wants to continue with the orders which cross his limits than the credit manager has to release it by VKM4 ..

and for further business the customer credit limit has to be enhanced for further transactions ...

NOW according to your requirement the first order it self is getting blocked because of credit limit exceed..you need to simply release it with VKM4 ...later enhanced the customer limit by his performance by FD32..

Regards,

ash

[rahul_vishwakarma2]

Hi Naveen,

    As per your requirement, i understood that, if credit limit for customer is $ 11,000 and that customer had buy a product of $8000, then automatically it is update in Credit Exposure . So according to me, do one thing just keep the credit limit $1 and check the  sales order. Surely it will help you.

Regards,

Kundan Vishwakarma

[Former Member]

Hello Naveen,

As you have mainatined the Customer Credit Limit $10000 in FD32 and you have already created an 1st order and delivered that, So how ???? system will accept the 2nd order of $8000.

Either you increase the credit limit or realise the new created orders manually through the VKM3 or VKM4 tcodes.

Regards

[Former Member]

Hi Naveen,

Your business requirement is not clear from your post...if business requirement is to get the lower value order processed (obviously it means highre level orders are not allowed) than you better change the settings of your risk category so that system should not allow to save a order beyond available credit limit (i.e. customer balance plus credit limit).

Rd's

Sanjay

[former_member182378]

Sanjay,

Could you please convey the steps for doing the below?

than you better change the settings of your risk category so that system should not allow to save a order beyond available credit limit (i.e. customer balance plus credit limit).

[Former Member]

if your total credit limit exceeded in first order itself, how can you think about second sales order, if you want to release blocked sales order you can use for documents release VKM3 OR VKM4 accordingly. you will not release the same.

as per your understanding go with Moazzam suggestion, you can understand the concept well.

warm regards,

jagadeesh

[moazzam_ali]

Dear

Please test this with a new customer. Create a new customer and assign credit limit of any amount. Create a sale order and check in FD32 whether system updates sales value or not? Please check this and update here.

Thank$

[former_member186385]

Hi,

use static credit check, which will allow you to process the open orders, under OVA8, check the static check and put the Reaction field and click on Open sales order and uncheck Open deliveries

Now system will allow you to release

try and update

regards,

santosh

[Former Member]

Hi Naveen Kumar

The best you can do when you are using automatic credit control that you can manually release the blocked order or delivery for further processing, in this case user have to choose the sales document and then have to release manually.

VKM4 : To release all the document, under this you can take any blocked (via credit management)                     document.

VKM3: Used to release sales document

VKM5: Used to release delivery.

Note: This will work best in automatic credit control.

Thank$

A M