Rebate ProcessingInvolves SD + FI integrationRebate: refers to a special discount. The standard discounts are calculated upfront in sales and billing documents and passed to customerPR00 10,000K004 1,000Net 9,000Where as in the case of Rebates, discounts are calculated with retrospective effects and provided to customer on achieving a particular target [qty / value]PR00 10,000Rebate discount @ 1000/- if the sales is 100PCsBetween 01.01.2010 to 31.03.2010Then after validity discount is calculated as 1000 X 150 = 150000 and paid to customerIssue the discount through Credit memo

Standard RebateUpfront after the validityCondition record not directly through VK11/manually [VK11] also can not be entered

ManuallyThrough agreement

How do you settle rebatea) partial credit memo : release credit amounts during the validityb) Final credit memo : Close the agreement and make the payment

Business processa) prepare the agreementUsing agreement typePre definedOOO1 [material] group rebate

Electrical groupDiscount % 5%

OOO2 Material RebateSpecific material L-60C Qty based

OOO3 Customer rebateBased on target value 10,00,0003 % discount

OOO4 Hierarchy rebate% discount

Sales targetOOO5 sales independent rebate

If customer participatedIn a trade exhibition 1/11- 31/12Lump sum 1,00, 000

Step1Customize the rebate agreement TypeDefine Agreement Types VB(2Select OOO2 and copy as ZA02 material System proposed validity dates

Starting date CurrentEnd date No proposalCondition type group OOO2[Groups the rebate discount types to be used for the condition record]ManualR3 Partial credit memo request[This has to be configured]Final settlementB1 Final credit memo requestR3 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 saveR3 sales - Billing doc type as B3B1 sales - Billing doc types as B1

Step2VOFASelect B3 and copy as ZAB3 + account determination procedureB1 copy as ZAB1 + maintain procedure

Step3VOV8Copy R3 as ZAR3 + default billing ZAB3Copy B1 as ZAB1 + Default billing ZAB1

Step4VB(2 select agreement Type ZA02 And detailsReplace R3 and B1 with ZAR3 and ZAB1Save

Step5V/08Pricing procedureSelect ZAMCO1And control dataFrom step 901 onwards we can see the standardRebate discount types BO01 to BO05Important : No manualNot statisticalRequirement 24 Each has two account keys ERB and ERU [accrual]

Step6Check the controls for Rebate discount typesTake BO02 and detailsV/06Access seq BO02Note: even though access sequence is available we can not use VK11Condition class: “C expense reimbursement”

Step7Access sequenceBO02V/07Select accessesTable 1 customer / material“Tables that are used in the access sequence are not maintained through V/03”But OV20

Same menuSelect account determinationUse Table 5DetailsA002 ERB 884000A002 ERU 884010 89000

End usera) create a new material 1507b) VK11 PR00c) Enter stock through MB1Cd) Activate rebate in customer mastere) Create the rebate agreement

VBO1Rebate recipient : Customer Payer

What is accrual?Accruals are required if we are using partial credit memo paymentsIf we maintain accrual [rate] as 100 Every time we create order –delivery –billingCalculate accrual amount

50 X 100 5000100 X 100 10000 15000

So at any given amount of time we can what has been accrued up to that date

ScenarioWe are not making any partial settlementThen system will find out how many bills were actually processed in this validity and calculate rebate discount19.9 31.12Close agreementWhat are the invoices 10What is qty 200 X100? Line and select scalesCreate order / delivery / billings

How to make partial settlementIn the order BO02 value is not searched due to requirement 24 [ 24 – if the document is billing doc then only search]After billing VF02Using the accrual account key system finds two GL884010 debited89000 creditedERB is not used

VBO2 Open the agreementHow to make partial settlementVBO2Select pay buttonEnter the amount – credit amountSave the agreementIn the back ground system processes the “ partial credit memo request”PartRebSettl.request 60000127 has been createdVA02Open the request doc and then remove the blockVF01 credit memoVF02 accountingThe accrual accounts are reverse postedThe actual rebate discount is debited to GL account based on account key ERB

Why ERB and ERUERU is used to search GL accounts during accruals vide billingERB is used to search the GL account during the booking of actual credit memo in the accounts

How to make final settlementWhen we want settle the agreement we have to run a Report for updating the values in a SIS table

Option A = SE38 Program SDBONT06Option B = VBOFVBO2Set the rebate status as BSelect settlement via payment screenSaveFinal rebate memo request is processed in backgroundVA02Remove the blockReports can be generatedSettlement materialCredit memo request [ sales document ] –header + item

Customer agreement –X material specificGroup agreement – X material specificIn 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 RVaa01Remove mwstZREBATEDesign one new document pricing procedure as XA002+A1+A5+X+1+ZREBATEIn the sales doc ZAR3 and ZAB1 maintain pricing pro as X