How to mark Business Partners for Deletion in S4 HANA

 The following blog provides a comparison of how the process of marking vendors for deletion is different between legacy ECC system and new S4 HANA system.

How we used to Flag for Deletion in ECC

In legacy ECC environment, vendors could be flagged for deletion at the vendor master level using transaction XK02. At the vendor master level you could go to Extras -> Deletion Flags

      

At the following screen, the users could selectively flag for deletion at All Areas, Selected Company Code and Selected Purchasing Organization

 

The other option users had was to use transaction XK06 to flag for deletion Centrally  

The third option users had was to use transaction MK06 to flag for deletion at the Purchasing Organization level.

 

How we now have to flag Business Partners for deletion in S4 HANA

With S4 HANA 1511 and above SAP has introduced the concept of business partners and the concept of vendors is obsolete. So the way to flag vendors for deletion has changed as well.

Here is a Business Partner which is a vendor and is displayed via T Code BP. Notice that under the Extras menu there is no option of flagging the Business Partner for deletion

The Archiving Flag can now be found in the General View -> Status tab. This will flag the Business Partner for deletion at an overall level.

 

The other option is to flag Business Partners for deletion is at the company code level. Users can selectively choose for which company codes the Business Partner needs to be flagged

 

With the concept of Business Partners the transactions XK06 and MK06 are obsolete. Now you can use the transaction BUPA_PRE_DA to flag multiple Business Partners for deletion as the same time.

The e.g. shown below is for one Business Partner. Execute the transaction with the Test Run flagged and review the log

  

 

Once successful, run the transaction without the test run flag

 

The system will prompt and ask for confirmation. Select Yes

 

The log will show that the run was successful

 

At the BP transaction, the same Business Partner has a STOP sign and at the Status tab the “Archiving Flag” is flagged

 

At the BP table, BUT000 – XDELE is flagged

 

At the vendor table, LFA1 – LOEVM is flagged

Source: https://blogs.sap.com/2016/06/27/how-to-mark-business-partners-for-deletion-in-s4-hana/

How to create a SAP Workflow Report which has all the Items Pending in SAP User’s Inbox for Action?

Introduction

Every Customer who uses SAP will eventually use SAP Workflow for some Approval or Dialog process that requires timely Action. Every Project I go after implementing SAP Workflow I have to Implement a Workflow Report which has all the Items pending in SAP User’s Inbox for Action. This Blog can be used both in SAP ECC and SAP S/4HANA

 

Solution

 

Login to SAP.

 

Create an ABAP Query using the following Join Condition.

 

Below is the Selection Screen

 

Below is the Report Layout

 

 

Execute with the Following Selection Screen Parameter.

 

 

Below is the Output

 

Conclusion

You can use this blog in any SAP Environment

 

Below is the Video Version

 

 

 

 Source: https://blogs.sap.com/2020/12/19/how-to-create-a-sap-workflow-report-which-has-all-the-items-pending-in-sap-users-inbox-for-action/

Comparison for SAP S/4HANA Basic Credit Management and Advanced Credit Management

 When we are talking about new SAP Credit Management solution in SAP S/4HANA, It is a system to implement a company-wide credit policy and it helps companies to run central credit management in a distributed system landscape. The Credit Manager can monitor a customer’s credit exposure in one central system. Normally it is comprised of three parts, Basic Credit Management, Advanced Credit Management, and SAP S/4HANA Cloud for Credit Integration. This blog is going to compare Basic Credit Management and Advanced Credit Management from process, operation and configuration aspects, you will also get to know how SAP S/4HANA Cloud for Credit Integration helps.

 

You must know before the content

• The classic credit management(FI-AR-CR) is not available as part of SAP S/4HANA, The functional equivalent in SAP S/4HANA is SAP Credit Management (FIN-FSCM-CR). Using FSCM and classic credit management (FI-AR) in parallel is not supported.
• You can activate/deactivate SAP Credit Management by implementing BAdI UKM_R3_ACTIVATE. Please note, for product versions of SAP S/4HANA 1610 and above, SAP Credit Management is implemented as standard, so deactivation will turn off the functionality completely. 2760814
• In SAP Credit Management (FIN-FSCM-CR), customer credit master data is centralized managed by Business Partner(BP Role: UKM000 Credit Management). You can reach the data by running tcode BP then switch BP role to UKM000, or running tcode UKM_BP directly.
• FSCM requires the configuration of the communication between the Sales and Distribution (SD) and SAP Credit Management (FSCM) system components. You need to activate the integration by BAdI BADI_SD_CM. 2315269

 

Basic Credit Management

Function Overview

• Set credit limits for a business partner manually
• Set the risk class for a business partner manually
• Do credit checks on sales documents
• Process credit blocked sales documents as documented cedit decision
• Calculate payment behavior key figures
• Define relationships for a business partner (like “in Credit Management is managed by…”, “Higher level Credit Management Account of…”)

You do not need additional license for above functions in SAP Credit Management.

Main process and Operations

The main process for Basic Credit Management(BD6)

The credit controller maintains customer score, risk class, check rule and credit limit manually by running tcode BP then switch BP role to UKM000 or running UKM_BP directly.

You can click Simulate button to simulate customer credit check. Then assign a credit analyst to a customer by click Relationships on top of the screen.

When you create a sales document for credit managed customer, credit checks can be executed for sales documents with different steps, depending the configuration of Credit Checking Rules.

If there is a credit check with negative outcome, the system triggers the creation of a ‘Documented Credit Decision’ (DCD) as per configuration. Credit analyst or processor can check the DCDs via tcode SCASE, UKM_CASE or UKM_MY_DCDS. They can recheck, release or reject the sales document, and leave note on DCD.

If your sales order or delivery is blocked but DCD is missing. Please refer to Note 2616393.

Configurations

1. Activate BAdI UKM_R3_ACTIVATE and BADI_SD_CM

 

2. Credit segment is the organizational unit of FSCM. it needs to be created and assigned to the equivalent credit control area. In FSCM you can use a ‘Main Credit Segment’ (0000) and flag the setting on the sub-segments to ‘Add. contribution to main segment’, so the liabilities of the sub-segments will be collected at the main segment level. Create credit segment, and assign to the equivalent credit control area.

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Create Credit Segments

SPRO -> Financial Supply Chain Management -> Credit Management -> Integration with Accounts Receivable Accounting and Sales and Distribution -> Integration with Sales and Distribution -> Assign Credit Control Area and Credit Segment

3. Risk class is maintained for the whole business partner in UKM_BP on ‘General Data’ -> ‘Credit profile’ tab. A distinction is made between the risk category in classic CM and the risk class in SAP Credit Management (FSCM). For each risk category you need to define a risk class with the same ID. The risk class is directly mapped to risk category during the credit master data determination when creating sales documents.

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Create Risk Class

If you need to create a new risk class, then you should create the equivalent risk category as well and assign it to the relevant credit control areas.

SPRO -> Financial Supply Chain Management -> Credit Management -> Integration with Accounts Receivable Accounting and Sales and Distribution -> Integration with Sales and Distribution -> Define Risk Categories

4. Credit checks are executed on three levels: sales order, delivery and post goods issue. This is controlled the same way as in classic CM.

SPRO -> Financial Supply Chain Management -> Credit Management -> Integration with Accounts Receivable Accounting and Sales and Distribution -> Integration with Sales and Distribution -> Assign Sales Documents and Delivery Documents

5. In order to perform the automatic credit check you need to maintain the relevant CCAr – Risk cat. – Credit Group combination in OVA8 transaction. 2207394

SPRO -> Financial Supply Chain Management -> Credit Management -> Integration with Accounts Receivable Accounting and Sales and Distribution -> Integration with Sales and Distribution -> Define Automatic Credit Control

Credit control is defined by control area/risk category/credit group in classic CM for sales documents credit checking criteria. It performs like a trigger between SD and FSCM, to enable credit check rule maintained in FSCM for sales documents credit checking.

6. Flag the item category type “credit active” by OVA7 or VOV7.

In the pricing procedure, subtotal ‘A’ must be entered in a line for determining the credit value (VBAP-CMPRE), it’s the same with classic CM.

7. FSCM is using the liability categories to distinguish between the credit value of sales orders (100), deliveries (400), billing documents (500) and FI documents (200).

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Credit Exposure Update -> Define Liability Categorie

Advanced Credit Management

Function Overview

• All capabilities of Basic Credit Management plus:
• Calculate the internal credit score of a business partner automatically
• Derive the risk class automatically from the internal score
• Store external credit information like a rating from credit agencies on the business partner or to integrate credit agencies in another manner
• Import credit score, credit risk class or credit limits from 3rd party systems and assign it to a business partner
• Automatically calculate credit limits
• Work with credit limit requests
• Work with documented credit decisions (DCD) that are not automatically generated by the system for a sales document
• Use the credit event / follow-on process functionality
• Setup a central Credit Management in a multi-system landscape

You need additional license for above functions in SAP Credit Management. SAP note 2696793.

Main process and operations

Main process for Advanced Credit Management(1QM)

In Advanced Credit Management, it is possible to calculate the internal credit score of a business partner automatically, then derive the risk class automatically from the internal score, and calculate credit limits automatically using credit rule engine and formula editor.

Note The credit limit currency in all company codes is set to use the group currency, which is defined when the solution is activated.

Credit Limit and Risk class can be automatically calculated based on internal and external rating. You can define own calculation logic for internal rating, either import the rating from external 3^rd party agencies.

For the link to an external credit agency, an xml formatted file can be added as project work or the data can be input manually on the Business Partner as a part of the base license. An additional license is required for using SAP S/4HANA Cloud for credit integration, access the Configure Credit Agency Integration app and go to Credit Rating under the Maintain Mapping section. The cloud-based service provides about 20-30 credit agencies such as Dun & Bradstreet right out of the box. (SAP Blog: SAP Credit Management in S/4HANA 1909)

Also, additional role authorization may be required for the Credit Controller role to provide access to the credit integration solution app. For more information, see the SAP Help Portal.

The sales representatives are able to access the web-based customer credit information via Display Credit Master Data app(tcode UKM_BP_DISPLAY).

Then they can request a new credit limit for the business partner. The request can be documented as Credit Limit Request in Manage Credit Cases app(tcode SCASE or UKM_CASE).

The credit controller will review the request, monitor customer exposure/limits in a central system, then determine to approve or reject the request with comments.

Configurations

The credit rules engine helps you automate the processes within your credit management. It provides rules for:

1. Credit Scoring Rule: automatically calculate the scoring and the Risk Class of your customer. Please check 2803189 for customer credit score calculation.

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Create Rule for Scoring and Credit Limit Calculation

2. Credit Limit Rule: automatically propose a credit limit

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Create Rule for Scoring and Credit Limit Calculation

3. Rating procedure selection:

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Create Rule for Scoring and Credit Limit Calculation

4. Credit Check Rule: which credit check steps should be applied for a customer when an external system calls the credit check (e.g. dynamic credit limit check, static credit limit check, oldest open item…) See note 2761313 and 2926009

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Credit Limit Check -> Define Checking Rules

The following check steps are delivered in the standard FSCM:

• 010 Statistical Check of Credit Exposure
• 030 Dynamic Limit Check with Credit Horizon
• 020 Check for Maximum Document Value
• 100 Check for Maximum Dunning Level
• 110 Check for Age of Oldest Open Item
• 120 Check of Payment Behavior Index
• 130 Check for Overdue Open Items

The following five parameters can be maintained on segment level:

• CREDIT_HORIZON      –     Credit Horizon in Days
• MAX_OVDUE_PC         –     Percentage Overdue
• MAX_OVDUE_DAYS    –     Number of Days
• PAY_HIST_LIMIT          –     Limit for Amt from Payment Behavior
• MAX_DOC_VAL            –     Maximum Doc. Value

5. Define formulas for scoring rule, credit limit calculation and risk class determination.

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Master Data -> Define Formulas

6. Credit Check Workflow: which follow up activities should be triggered after a credit check has been executed (e.g. trigger workflow, block customer account)

SPRO -> Financial Supply Chain Management -> Credit Management -> Credit Risk Monitoring -> Processes -> Define Events and Follow-On Processes

Reporting

Display Credit Data – Segment

Display Credit Exposure

Analyze Credit Exposure

Display Credit Log

Display Credit Limit Utilization

Credit Limit Utilization (SAP S/4HANA)

 

Summary

This blog compared the Basic Credit Management and Advanced Credit Management in SAP S/4HANA from process, operations, and configurations aspects. You may find that the Advanced Credit Management is more flexible and automatic to manage customer credit info, you will get to know the status of your customer at early stage then reduce the risk of financial losses. Advanced Credit Management supports your company with making an early determination of the risk of losses on receivables from your business partners and with efficiently making credit decisions.

 

Other Fiori Credit Management Apps

• Analyze Credit Loss Allowances
• Create Credit/Debit Memos (Mass Processing)
• Schedule Credit Management Jobs
• Manage Sales Document Workflows / Manage Credit Memo Request Workflow
• Confirm Customer List (Accounting)
• Display Business Partner
• Display Credit Data – Credit Profile
• Display Credit Management Log
• Display Credit Master Data
• Display Payment Behavior
• Import External Credit Information
• Manage Business Partner – Credit Profile
• Manage Credit Cases
• Manage Credit Rules
• Manage Documented Credit Decisions
• Navigate to specific DCD

What’s New in SAP S/4HANA 2020

• Additional Information in Credit Management
• Check Configuration of Documented Credit Decisions
• Manage Credit Accounts – Fiori App
• Delete Credit Management Data – Fiori App
• Rebuild Credit Management Data – Fiori App
• Display Credit Exposure – Fiori App
• Display Credit Account Data – Fiori App

Find more innovations in What’s New Viewer – SAP S/4HANA

 

References

Blogs in SAP community:

https://blogs.sap.com/2019/11/06/sap-credit-management-in-s-4hana-1909/

https://blogs.sap.com/2018/03/30/s4-hana-credit-management-configuration-process/

https://blogs.sap.com/2020/04/17/conversion-of-credit-management-to-sap-s-4hana/

https://blogs.sap.com/2020/05/13/3ws-of-credit-management-high-level-comparison-of-fscm-with-ecc-credit-managment-and-baseline-s-4-cm-configuration/

https://blogs.sap.com/2020/04/30/list-of-s4hana-credit-management-reports-tables-some-issues-we-faced-in-our-recent-s4hana-implementation/

https://sap4tech.net/sap-fscm-credit-management-tables/

SAP Notes

2270544 – S4TWL – Credit Management

2788718 – Configuration checklist for SAP Credit Management (FSCM)

SAP Help

SAP Credit Management Configuration Guide

What’s New Viewer – SAP S/4HANA

Source: https://blogs.sap.com/2020/10/14/comparison-for-sap-s-4hana-basic-credit-management-and-advanced-credit-management/