Rebate Processing Involves SD + FI integration Rebate: refers to a special discount.

The standard discounts are calculated upfront in sales and billing documents and passed to customer PR00 10,000 K004 1,000 Net 9,000 Where as in the case of Rebates, discounts are calculated with retrospective effects and provided to customer on achieving a particular target [qty / value] PR00 10,000 Rebate discount @ 1000/- if the sales is 100PCs Between 01.01.2010 to 31.03.2010 Then after validity discount is calculated as 1000 X 150 = 150000 and paid to customer Issue the discount through Credit memo Standard Upfront Condition record /manually [VK11] Rebate after the validity not directly through VK11 also can not be entered Manually Through agreement

How do you settle rebate a) partial credit memo : release credit amounts during the validity b) Final credit memo : Close the agreement and make the payment Business process a) prepare the agreement Using agreement type Pre defined OOO1 [material] group rebate Electrical group Discount % 5% OOO2 Material Rebate Specific material L-60C Qty based OOO3 Customer rebate Based on target value 10,00,000 3 % discount OOO4 Hierarchy rebate % discount Sales target OOO5 sales independent rebate If customer participated In a trade exhibition 1/11- 31/12 Lump sum 1,00, 000 Step1 Customize the rebate agreement Type Define Agreement Types VB(2 Select OOO2 and copy as ZA02 material System proposed validity dates

Starting date Current End date No proposal Condition type group OOO2 [Groups the rebate discount types to be used for the condition record] Manual R3 Partial credit memo request [This has to be configured] Final settlement B1 Final credit memo request R3 and B1 are credit memo requests sales documents [ similar to CR] and corresponding to these requests we have rebate memo document types [billing doc similar to G2] Continue save R3 sales - Billing doc type as B3 B1 sales - Billing doc types as B1 Step2 VOFA Select B3 and copy as ZAB3 + account determination procedure B1 copy as ZAB1 + maintain procedure Step3 VOV8 Copy R3 as ZAR3 + default billing ZAB3 Copy B1 as ZAB1 + Default billing ZAB1 Step4 VB(2 select agreement Type ZA02 And details Replace R3 and B1 with ZAR3 and ZAB1 Save Step5 V/08 Pricing procedure Select ZAMCO1 And control data From step 901 onwards we can see the standard Rebate discount types BO01 to BO05 Important : No manual Not statistical Requirement 24 Each has two account keys ERB and ERU [accrual] Step6 Check the controls for Rebate discount types Take BO02 and details V/06 Access seq BO02 Note: even though access sequence is available we can not use VK11 Condition class: C expense reimbursement

Step7 Access sequence BO02 V/07 Select accesses Table 1 customer / material Tables that are used in the access sequence are not maintained through V/03 But OV20 Same menu Select account determination Use Table 5 Details A002 ERB 884000 A002 ERU 884010

89000

End user a) create a new material 1507 b) VK11 PR00 c) Enter stock through MB1C d) Activate rebate in customer master e) Create the rebate agreement VBO1 Rebate recipient : Customer Payer What is accrual? Accruals are required if we are using partial credit memo payments If we maintain accrual [rate] as 100 Every time we create order delivery billing Calculate accrual amount 50 X 100 5000 100 X 100 10000 15000 So at any given amount of time we can what has been accrued up to that date Scenario We are not making any partial settlement Then system will find out how many bills were actually processed in this validity and calculate rebate discount 19.9 31.12 Close agreement What are the invoices 10 What is qty 200 X100? Line and select scales Create order / delivery / billings

How to make partial settlement In the order BO02 value is not searched due to requirement 24 [ 24 if the document is billing doc then only search] After billing VF02 Using the accrual account key system finds two GL 884010 debited 89000 credited ERB is not used VBO2 Open the agreement How to make partial settlement VBO2 Select pay button Enter the amount credit amount Save the agreement In the back ground system processes the partial credit memo request PartRebSettl.request 60000127 has been created VA02 Open the request doc and then remove the block VF01 credit memo VF02 accounting The accrual accounts are reverse posted The actual rebate discount is debited to GL account based on account key ERB Why ERB and ERU ERU is used to search GL accounts during accruals vide billing ERB is used to search the GL account during the booking of actual credit memo in the accounts

How to make final settlement When we want settle the agreement we have to run a Report for updating the values in a SIS table Option A = SE38 Program SDBONT06 Option B = VBOF VBO2 Set the rebate status as B Select settlement via payment screen Save Final rebate memo request is processed in background VA02 Remove the block Reports can be generated Settlement material Credit memo request [ sales document ] header + item Customer agreement X material specific Group agreement X material specific In such cases we are not entering any one particular material in the agreement

In order to process request and billing documents We use a DUMMY material as settlement material

Design new procedure copy from RVaa01 Remove mwst ZREBATE Design one new document pricing procedure as X A002+A1+A5+X+1+ZREBATE In the sales doc ZAR3 and ZAB1 maintain pricing pro as X