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SettlementsManagementinS/4
HANA
February17,2017 | 1,615Views |
AbhinavJain
morebythisauthor

SAPS/4HANA
Conditioncontract | rebateagreement | SettlementsManagement

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Objective

AswemovefromtheworldofERPBusinesssuittotheworldofS/4
HANA,therearemanythingswhicharechanginginvariousmoduleslike
FI,SD,PP,Outputmanagementetc.andthequestionalwaysariseshow
ismybusinessgoingtobeimpacted,whatisthewayforwardandamI
gettingintoatotallyunknownterritory?Thefirstthingwhichanybody
woulddoistosearchfortopicsonSCNblogs,Google,JAMpageswhich
actuallyagoodstartingpoint.Howeversometimes(ormostofthetimes)
onefindsitabitdifficulttorunahandsonendtoendscenarioforthenew
featureswhichisgoingtobepartofS/4HANA.Ifacedsimilarproblems
whiletryingtounderstandConditionContractManagementwithin
SettlementsManagementwhichisthereplacementfortraditional
RebatesManagementandhenceIthoughtitwouldbenicetosharemy
experiences.

Description

Theblogwillcoverthefollowingtopics

1.Prerequisites
2.Introduction
3.TraditionalRebateProcessing
4.Comparison:OldVsNew
5.GeneralProcess
6.Steptocreateconditioncontract
7.SalesFlow
8.ActualSettlement
9.CreditMemoDisplay
10.BusinessVolumeDisplay
11.ImportantTransactions
12.UsefulTips&Links

Prerequisites

KnowledgeofSDRebateProcessing(tobeabletounderstandthe
advantagesofthenewsolution)

Introduction

MovingintoS/41610,NewRebateAgreementsarenolongeravailable
forcreation.Yes,youhearditright!YoucantcreateanewRebate
Agreementneithercanyouextendexistingones.Subsequentlogical
questionwhichanysanepersonwouldasknowisHowdoIprovide
rebatestomycustomersthen?

TheanswerisviaSettlementsManagement.
NextlogicalquestionwhichwouldbeaskedisAlright,butwhyRebates
ManagementhasbeendoneawaywithinS/4?

TheanswerliesinthedifferencebetweenthearchitecturesofS/4HANA
andtraditionalERPbusinesssuite.So,beforewemoveintoSettlements
Management,letstouchuponhowthetraditionalRebateprocessing
workstobeabletoappreciatetheadvantageSettlementsManagement
offers.

TraditionalRebateProcessing

Asareferencefromhelp.sap.com

Arebateisaspecialdiscountwhichispaidretroactivelytoacustomer.
Thisdiscountisbasedonthecustomerssalesvolumeoveraspecified
timeperiod.Youdefinethedetailsoftherebateinarebateagreement.In
theagreementyouspecify,forexample

whoreceivestherebatepayment
onwhatcriteriatherebateisbased(customer,customerand
material,andsoon).howlongtherebateagreementisvalid

Withintherebateagreementyoucreateseparateconditionrecords
foreachproductthecustomerbuys.Theserecordsspecifythe
rebateamountorpercentageforeachproduct.Youcanalso
specifyapricingscalesothatthecustomercanearnabetter
rebatebyorderingmore.Becauserebatesarealwayspaid
retroactively,thesystemkeepstrackofallbillingdocuments
(invoices,creditanddebitmemos)thatarerelevantforrebate
processing.Thesystemcan,ifyouwish,automatically
postaccrualssothattheaccumulatedvalueofarebateisrecorded
foraccountingpurposes.
Arebateagreementisfinallysettledwhenyouissueacreditmemo
tothecustomerfortheaccumulatedrebatetotal.

Comparison:OldVsNew
Letsfocusonthelineinboldintheabovesection.

Question.Howdoesthesystemkeeptrackoftheinvoiceswhichrelevant
forrebateprocessing?

Answer.TableVBOXstoresallrebaterelevantinvoices.Thecustomer
runstransactionVBOFtoapplytherebateconditionsintheinvoices.

Problems:

1.Size:ThisRebateindextablecouldcontainhundredsofthousands
tomillionstobillionsofentriesinthesystemInfactforoneofthe
customerswenoticed1TBofdatabeingoccupiedintotalDBsize
of5TB.ItwontnottakelongforourBASIS,DB&ABAP
colleaguestounderstandtherepercussionsofsuchasituation.
2.Locks:Ifchangesinonecustomersconditionsoccurthetable
needstorebuildwhilethisrebuildisgoingon,allrebatedatais
lockedthroughouttheorganization

ThesolutiontotheseissueslieintheSettlementsManagement

1.ThetableVBOXitselfhasbeendoneawaywithinS/4HANA
becausetherebateconditionsareappliedinstantlyduetopowerof
HANA.HenceRebateIndexneednotberebuildwhennew
customersbecomeeligibleforrebatesandpreviousbusinesscan
beretroactivelyconsidered.
2.Thissignificantlyreducesdatafootprintandmemory.
3.Salesdocumentnolongerreduceoperationsimpairmentinsales
processes

HavealookatasidebysidearchitectureofRebateManagementin
TraditionalERPVsSettlementsManagementinS/4.

GeneralProcess
ThegeneralprocessintheCCMdiffersfromthestandardRebate
processinginthesensethattherearenorebateAgreementsatthefirst
step.ThereareConditioncontractswhichneedtobecreatedand
released.ThestepsforthesameareexplainedinStep8.

StepstocreateConditionContract

1.ExecutetransactionWCOCO(Wkoko )andclickonCreate.

2.Selectthetypeofcontractyouwouldwanttocreate

 3.Enterthecustomerandperiodforwhichyouwanttocreatethe
conditioncontract.

4.EntertheSalesdataonthe2ndtab

5.Enterthebusinessvolumeselectioncriteria.Thisstepsdefines
whichinvoicesarerelevantforapplicationofthisconditioncontract.

6.EnterthesettlementMaterial

7.EntertheSettlementCalendar.Thisstepdefineswhenyouwould
liketocarryoutpartial/finalsettlements.

8.CreateRebateAccrualcondition

9.ChangeconditionTable

10.CreateRebatecondition
 11.SavetheConditionContract

12.Onethingisofutmostimportistoreleasethecontract.Hence
releasethecontractinWCOCO

13.OncedonethelightwillbecomeGreen.Saveit.

SalesFlow

IwontbeexplaininghowtocreateaSalesdocument,Delivery,PGI,
Invoiceetcbutwhatneedstobementionedisthateitherthese
documentscanbecreatedbeforetheconditioncontractcreationorafter
theconditioncontractcreation.IncaseSalesdocumentiscreatedafter
thecontractcreation,REBAaccrualconditionwouldbeavailableinthe
conditionstab.

Dontworryaboutthe7%asopposedto10%Icreatedearlierasthisis
fromadifferentexample.

IncasetheSalesdocumentisalreadycreatedbeforethecontract
creation,therebatewouldbeprovidedaspartofthesettlementprocess
andrebateconditionwouldbevisibleinCreditmemowhichwillbookthe
correctaccrualamounttotherespectiveaccounts.Sothereisnoneedto
adopttheSalesorderanymore.

ActualSettlement

RuntransactionWB2R_SCandenterrelevantvalues.Pleasenotethat
RunTypeCheckRundoesnotpostanydata.Foractualsettlementuse
LiveRun.

Onceexecuted,youwillgetamessagelikeshownbelow

CreditMemo

InWCOCO,youcanseeacreditmemocreatedwithrelaventvalues
IntheHeaderconditions,youwillfindtheRebateconditionwehad
createdaspartoftheconditioncontract.

BusinessVolume

RuntransactionWB2R_BUSVOL,

Asyoucanseebelow,businessvolume1.5isupdatedagainstthe
conditioncontract

ImportantTransactions

ThereisawholelistofimportanttransactionsforthenewSettlement
managementsolution.


UsefultipsandLinks

1.ConditioncontractsettlementisalsoavailableintheSAPBusiness
Suite.Thereforeyouuseconditioncontractsettlementifyouare
planningtocreatenewrebateagreementsbeforeyouupgradeto
SAPS/4HANA.
2.SAPBusinessSuitecustomerscanmovefromvariousreleasesto
SAPS/4HANA,onpremiseeditionandstillprocesstheexisting
rebateagreements.Itisnotpossibletocreateorextendthe
existingtyperebateagreements.
3.HelpSAPConditionContractLINK
4.HelpSAPConditionContractBasedSettlementLINK
5.S/4HANAOP1610simplificationlistLINK
6.SettlementsmanagementisalsoavailableonFIORIapartfrom
SAPGUI.

AlertModerator

11Comments
 YoumustbeLoggedontocommentorreplytoapost.

SahilJain

February21,2017at10:55am

ThanksalotAbhinavItsnicelyconsolidated.Iwassearchingfordocumenton
SettlementManagementandthislooksperfect

AbhinavJain Postauthor

February23,2017at7:44pm

ThanksSahil!

JasjeetSinghSachdeva

February23,2017at3:02am

VerywellcompiledandwrittenAbhinav!!Greatjob.

AbhinavJain Postauthor

February23,2017at7:44pm

ThanksSir!

AndreDrabbe

March1,2017at5:18am

ThankssomuchforthisAbhinav.Willyoubeabletosharetheconfigurationfor
this?IamnowhavinganerrorNocalculationschemaassignedinCustomizing.
CheckCustomizingwhenexecutingthesettlementinWB2R_SC.
Hopeyoucanhelpmeonthis.Thankssomuch.

TwinergyOSSHORSA

March7,2017at2:57pm

Thanksforexplanation.
WhichisthestandardconfigurationofMMpricingprocedureandconditions
REBA,REBTandBUVO.Imworkinginasystemwhereallofthemaremissing.
Thanksalot

SaurabhSawant

March8,2017at1:35pm

ThankYousomuchforthis!Helpedalot.!

HuyenTran

March13,2017at9:00am

Thanksforsharing.Veryclearandwellstructured!

ZahidAnwar

March15,2017at9:19am

HI,

canyoupleasesharehowRetroactiverebateswillworkinS4H.canyouplease
explaintheprocessindetail.


AnaFleisch

March16,2017at4:05pm

ThankyouAbhinav.FinallyIhavesomeanswers
Ihavesomeothersquestions,doyouknowhowtheextendedrebatesettlement
forindirectsaleswillworkinS4H?
HowcanweupdateIndirectsalestothesystemandusethisconditions
contracts?
ThestructureS469canstillbeused?
Thanks,BR

FrancescaMilardo

March29,2017at2:06pm

Hi,

Thanksalotforyouramazingexplanation!

Dohaveanyideahowtomanagethelumpsumatfixedvaluewithcondition
contractmanagement?
IsawthatstillexisttheconditionBO06,canbeuseful?

thanks,
Francesca

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