SAP Credit Management – SAP Training March 2011 batch

In today’s SAP Training class, we have discussed SAP Credit Management, its different configuration options and here are some exercises to solve to understand those concepts better.

Sap credit management sap training – sap sd training http://static.slidesharecdn.com/swf/ssplayer2.swf?doc=sapcreditmanagement-saptraining-sapsdtraining-110317231303-phpapp01&stripped_title=sap-credit-management-sap-training-sap-sd-training&userName=magnatraining 

Question 1. Create a new Customer ( of SAP Customer Account Group –   001 ) in the sales area of your choice. Specify the SAP Customer Number
Question 2. Find out the SAP Credit Control Area that is associated with the Customer’s Organizational Structure
Question 3. Assign a Credit limit of 1,00,000 to the customer created in Q.1 above.
Question 4. Create a new SAP Sales Document Type ( as a copy of standard order type OR if possible )  and give the document type -Z019
Question 5. Set the Credit Management to the document type you created in Q.4 to Simple Credit Check. What are the different options available in Simple Credit Check ?
Question 6. Create a Sales Order for the Document type ( Created in Q.4 ) and the Customer ( Created in Q.1 ) for a material ( say M-01 ) for a value of 30,000. Specify the SAP Order Number
Question 7. What is the Credit Exposure for the Customer ?
Question 8. What percentage of the credit limit is used ?
Question 9. Create another order for the same customer and Order type – Only this time, create the order with a value of around 90,000 ( It does not need to be exactly 80,000 ).   What is the System Response ? Did the credit limit warning come up ?
Question 10. What is the credit exposure for the Customer now ?
Question 11. What percentage of the credit limit is used now ?
Question 12. Explain why the credit limit is not exceeded for Q.9 above even though the order value in Q.6 and Q.9 together exceeded the Credit Limit set by you in Q.3 ?
Question 13. This time create another order for the same customer and Order type – Only this time, create the order with a value of around 1,20,000 ( It does not need to be exactly 1,20,000 ).   What is the System Response ? Did the credit limit warning come up ?
Question 14. Explain in your own words difference between the system response for Q.9 vs Q.13 ?
Question 15. Delivery and Bill the Order you have created in Q.6. Make sure the Accounts are being posted to.
Question 16. Check the total receivables for the Customer. What is the value ?
Question 17. After performing Q.15 above, what is the new effective Credit limit for the Customer ?
Addendum 1 :
The following is advanced SAP Credit Management Exercises that talks about Automatic Credit Management. This exercise should only be done after completing the SAP Simple Credit Management Exercises listed above. 

Hint : If you get confused in the middle, always start with a new customer, set a credit limit to a fixed value say 100,000 and start the transactions from scratch. This eases the pain of understanding SAP Credit Management configuration a bit. 🙂

Question 18.  Repeat Q.1 through Q.4 specified in  and specify the answers.
Question 19. Create a new SAP Credit Group Zx and assign it to the new SAP Sales Document Type configuration you have created in Q.18
Question 20. This time set the Credit Management settings to Automatic
Question 21. Create a new Risk Category ( How to create a new Risk Category in SAP ? ) say Zxx and assign it to the Credit Control area you have chosen in Q.18 above.
Question 22. What are the 3 parameters used to determine Automatic Credit Control in SAP ?
Question 23. Specify the Automatic Credit Management settings to “Static” and specify the system reaction to Warning in case the limit exceeds. What configuration have you done to effect this ?
Question 24. Set the scenario in Q.23 to block the order in case of credit overage
Question 25. Create the following Sales Orders with the Customer and Order type you have crated in Q.18
-> Order 1 – 30,000 Value
-> Order 2 – 80,000 Value

What is the system reaction to the second order ? How is this different from SAP credit Management Reaction in Q.9 above ?
Question 26. Release the order from credit block for Order # 2 in Q.25 above. ( How to release an SAP Sales Order from Credit Block )

Addendum 2 :

The following exercise in on SAP Automatic Credit Management with Dynamic Credit Horizon. It’s a little tricky especially with testing it and understanding the Dynamic Credit Horizon.

Hint : Please try  not to do all the questions in this post the same day – especially Addendum 2. We are not responsible if you pull your hair out 🙂

Question 27. Create another Customer, a new Risk Category . Specify the same.
Question 28. For the data in Q.27, set the Credit limit to100,000, apply the newly created Risk Category to the Customer.
Question 29. In Automatic Credit Management, specify the configuration for the corresponding Credit Control Area, Risk Category and Credit Group  as follows

-Dynamic Credit Management with “Warning” as the system response
-the order should be blocked for credit in case the credit limit exceeds.
-The SAP Dynamic Credit horizon should be 2 months.

Specify the configuration you have done for the same.

** Watch out – Here comes the tricky part **

Question 30.  Create a new Sale order for a value of 50,000, set the delivery date 4 months out into the future. Specify the SAP Sales Order and the delivery date
Question 31. Create another Sales Order for a value of 50,000, set the delivery date 5 months out into the future. Specify the SAP Sales Order and the delivery date.
Question 32. Create another sales Order for a value of 30,000 – do NOT change the SAP system proposed delivery date. Specify the SAP Sales Order
Question 33. Specify the Credit Exposure for this customer and explain in your own words why it is so ?

Advertisements

83 thoughts on “SAP Credit Management – SAP Training March 2011 batch

  1. Murali Kotikalapoodi says:

    Question 1: Customer number
    Ans: 100232 in sales area 1000 with CCode 1000 created

    Question 2. Find out the SAP Credit Control Area that is associated with the Customer’s Organizational Structure
    Ans: Credit Control area for CCode 1000 is 1000

    Question 3. Assign a Credit limit of 1,00,000 to the customer created in Q.1 above.
    Ans: Credit Limit 100000 is set

    Question 4. Create a new SAP Sales Document Type ( as a copy of standard order type OR if possible ) and give the document type -Z019
    Ans: Z0CM is created

    Question 5. Set the Credit Management to the document type you created in Q.4 to Simple Credit Check. What are the different options available in Simple Credit Check ?
    Ans: Have three options Selected B
    A Run Simple credit check and warning message
    B Run Simple credit limit check and error message
    C Run simple credit limit check and delivery block

    Question 6. Create a Sales Order for the Document type ( Created in Q.4 ) and the Customer ( Created in Q.1 ) for a material ( say M-01 ) for a value of 30,000. Specify the SAP Order Number
    Ans: Order # 15637 is created for 30,000 EUR

    Question 7. What is the Credit Exposure for the Customer ?
    Ans: 30,000
    Question 8. What percentage of the credit limit is used ?
    Ans: 30%

    Question 9. Create another order for the same customer and Order type – Only this time, create the order with a value of around 90,000 ( It does not need to be exactly 80,000 ). What is the System Response ? Did the credit limit warning come up ?
    Ans: No It created an order # 13658 for a value of 82,500 was accepted.

    Question 10. What is the credit exposure for the Customer now ?
    Ans: The Credit exposure of the customer is 112,500

    Question 11. What percentage of the credit limit is used now ?
    Ans: 112.5 %

    Question 12. Explain why the credit limit is not exceeded for Q.9 above even though the order value in Q.6 and Q.9 together exceeded the Credit Limit set by you in Q.3 ?
    Simple credit limit only checks the credit limit when the combined value of open items and the current order is above the credit limit. Here there is no open items as no delivery and no invoice was generate and sent to A/C hence the credit limit was never checked.

    Question 13. This time create another order for the same customer and Order type – Only this time, create the order with a value of around 1,20,000 ( It does not need to be exactly 1,20,000 ). What is the System Response ? Did the credit limit warning come up ?
    Ans: Yes the credit limit error came up saying that this order exceeded the limit by 12,500 and order did not go through.

    Question 14. Explain in your own words difference between the system response for Q.9 vs Q.13 ?
    Ans: In Q9 the sum of open items and current orders did not exceed the credit limit and hence the order went through. Here in Q13 the current order exceeded the credit limit and hence order did not go through. Also I have selected the simple credit check to B which means there will be an error and hence the order did not go through.

    Question 15. Delivery and Bill the Order you have created in Q.6. Make sure the Accounts are being posted to.
    ********Ans: Not able to Deliver as some issue with the scheduled lines.***********
    Question 16. Check the total receivables for the Customer. What is the value ?
    Question 17. After performing Q.15 above, what is the new effective Credit limit for the Customer ?

    Like

  2. jitesh says:

    Question 1. Create a new Customer ( of SAP Customer Account Group – 001 ) in the sales area of your choice. Specify the SAP Customer Number
    Answer: Customer created ; 15(1000/10/00)

    Question 2. Find out the SAP Credit Control Area that is associated with the Customer’s Organizational Structure
    Answer: CCar: 1000 in enterprise structure under assignment> Financial accounting

    Question 3. Assign a Credit limit of 1,00,000 to the customer created in Q.1 above.
    Answer: used T code FD32: assigned 100000 to customer 15

    Question 4. Create a new SAP Sales Document Type ( as a copy of standard order type OR if possible ) and give the document type -Z019

    Answer: created new YOR7.

    Question 5. Set the Credit Management to the document type you created in Q.4 to Simple Credit Check. What are the different options available in Simple Credit Check ?
    Answer: Set option B for doc type YOR7

    Options: no credit management
    A: Simple credit management with warning
    B: Simple credit management with error message
    C: Simple credit management and delivery block
    D: automatic Credit Mnagament

    Question 6. Create a Sales Order for the Document type ( Created in Q.4 ) and the Customer ( Created in Q.1 ) for a material ( say M-01 ) for a value of 30,000. Specify the SAP Order Number
    Answer; YOR7 (13358)

    Question 7. What is the Credit Exposure for the Customer ?
    Answer: 30000 (EUR)

    Question 8. What percentage of the credit limit is used ?
    Answer: 30%

    Question 9. Create another order for the same customer and Order type – Only this time, create the order with a value of around 90,000 ( It does not need to be exactly 80,000 ). What is the System Response ? Did the credit limit warning come up ?
    Answer: No

    Question 12. Explain why the credit limit is not exceeded for Q.9 above even though the order value in Q.6 and Q.9 together exceeded the Credit Limit set by you in Q.3 ?
    Answer: Because in Simple Credit Management: credit Exposure: = Current order value+ open item

    In Order1 and order 2 We created order for EUR 30000 and 90000 respectively but we didnt delivered it or billed it and not posted to account. so order 1 and order 2 has been gone through without warning. If we have billed order 1 and also posted to account then we would not able to create order 2.

    This is a kind of flaw in simple credit management

    Question 13. This time create another order for the same customer and Order type – Only this time, create the order with a value of around 1,20,000 ( It does not need to be exactly 1,20,000 ). What is the System Response ? Did the credit limit warning come up ?

    answer: Error message of credit limit is exceeded by £xxxxxxx

    Question 14. Explain in your own words difference between the system response for Q.9 vs Q.13 ?
    Answer: Because in Simple Credit Management: credit Exposure: = Current order value+ open item

    In Order1 and order 2 We created order for EUR 30000 and 90000 respectively but we didnt delivered it or billed it and not posted to account. so order 1 and order 2 has been gone through without warning. If we have billed order 1 and also posted to account then we would not able to create order 2.

    This is a kind of flaw in simple credit management

    Question 15. Delivery and Bill the Order you have created in Q.6. Make sure the Accounts are being posted to.
    Answer: delivery: 80016242
    Billing: 90038039
    accounting: 1400000007
    Question 16. Check the total receivables for the Customer. What is the value ?
    answer: 58500

    Question 17. After performing Q.15 above, what is the new effective Credit limit for the Customer ?
    Answer: 40500
    Addendum 1 :

    The following is advanced SAP Credit Management Exercises that talks about Automatic Credit Management. This exercise should only be done after completing the SAP Simple Credit Management Exercises listed above.
    Hint : If you get confused in the middle, always start with a new customer, set a credit limit to a fixed value say 100,000 and start the transactions from scratch. This eases the pain of understanding SAP Credit Management configuration a bit.

    Question 18. Repeat Q.1 through Q.4 specified in and specify the answers.
    Answer: Created new customer: 16
    Document type:yor6
    FD32: 10000

    Question 19. Create a new SAP Credit Group Zx and assign it to the new SAP Sales Document Type configuration you have created in Q.18
    answer: created new credit group Z1

    Question 20. This time set the Credit Management settings to Automatic
    answer: assign category D to Sales doc type : YOR6 and credit group : Z1

    Question 21. Create a new Risk Category ( How to create a new Risk Category in SAP ? ) say Zxx and assign it to the Credit Control area you have chosen in Q.18 above.
    Answer: created New Risk category : Finance>acc receivable> Credit management> Define risk category: Zj3

    Question 22. What are the 3 parameters used to determine Automatic Credit Control in SAP ?(OVA8)

    Answer: Credit control Area+ Credit group+ Risk category

    Question 23. Specify the Automatic Credit Management settings to “Static” and specify the system reaction to Warning in case the limit exceeds. What configuration have you done to effect this ?
    Answer: Hit T-code : OVA8 , check mark static and then set reaction to C or A and status blocked.

    Also assigned risk category in FD32 and check mark block field

    Answer:
    Question 24. Set the scenario in Q.23 to block the order in case of credit overage
    Question 25. Create the following Sales Orders with the Customer and Order type you have crated in Q.18
    -> Order 1 – 30,000 Value
    -> Order 2 – 80,000 Value

    Answer: created order 13363 its gone through. second order 13364 got blocked by issuing error message.

    What is the system reaction to the second order ? How is this different from SAP credit Management Reaction in Q.9 above ?
    Answer: second order didnt go through. System threw a error message saying that it can’t be processed due to credit limit exceed by 5000

    Question 26. Release the order from credit block for Order # 2 in Q.25 above. ( How to release an SAP Sales Order from Credit Block )

    Answer: VKm3 to release the order from the credit block

    Addendum 2 :

    The following exercise in on SAP Automatic Credit Management with Dynamic Credit Horizon. It’s a little tricky especially with testing it and understanding the Dynamic Credit Horizon.

    Hint : Please try not to do all the questions in this post the same day – especially Addendum 2. We are not responsible if you pull your hair out

    Question 27. Create another Customer, a new Risk Category . Specify the same.

    Answer: created customer 17, new Risk category ZJ4: moderate risk

    Question 28. For the data in Q.27, set the Credit limit to100,000, apply the newly created Risk Category to the Customer.

    Answer: Assigned Zj4 and 100000 under FD32 to customer 17 and Cr control area: 1000

    Question 29. In Automatic Credit Management, specify the configuration for the corresponding Credit Control Area, Risk Category and Credit Group as follows

    -Dynamic Credit Management with “Warning” as the system response
    -the order should be blocked for credit in case the credit limit exceeds.
    -The SAP Dynamic Credit horizon should be 2 months.

    Specify the configuration you have done for the same.

    ** Watch out – Here comes the tricky part **

    Answer: following configuration has been done

    Goto OVA8

    Checked: dynamic, reaction set to D, Stautu/blocked tiked,Open delivery and open order ticked, Horizon 2

    then saved the changes

    Question 30. Create a new Sale order for a value of 50,000, set the delivery date 4 months out into the future. Specify the SAP Sales Order and the delivery date
    Answer: Order YOR8 13368 < delivery date: 26/05/2012

    Question 31. Create another Sales Order for a value of 50,000, set the delivery date 5 months out into the future. Specify the SAP Sales Order and the delivery date
    answer: 13368/Yor8. delivery date: 22/06/2012
    .
    Question 32. Create another sales Order for a value of 30,000 – do NOT change the SAP system proposed delivery date. Specify the SAP Sales Order
    Answer:13369/yor8, delivery date: 01/02/2012

    Question 33. Specify the Credit Exposure for this customer and explain in your own words why it is so ?

    answer: Credit exposure for the customer is EUR 30000

    Dynamic credit management = Open order+ open delivery+ Open billing+ Open item+ current order value+ horizon

    here horizon is for 2 months so any order beyond 2 month wont be considered . so first two orders are meant to deliver far out in future(4 & 5 months). it wont be considered in Dynamic credit management. Only order for 30000 eur would have been considered.

    Like

  3. Mahsh says:

    Siva,

    I have created Customer 80

    There are two orders 14018 and 14019 are created

    Del 80016493, 80016494

    After deliveries I am getting errors while doing PGI or trying to create Billing.

    Please clarify whats wrong.
    Thanks

    Like

  4. Ronaldo says:

    Siva

    Can you please check the order 14029 and tell me why am I getting the message ” The accounting document has not yet been created” on the billing?

    Thanks.

    Like

    • siva says:

      The customer 51 used in the order 14029 does NOT have the corresponding Company Code view defined. If you do not define the company code view in the customer master, the associated reconciliation account will be missing. Hence, the invoice could not be posted. The way I found it out is as follows.

      I opened the invoice in change mode ( VF02 ) and tried to post the invoice to accounts by clicking on the “Green Flag” as shown in the class. The error message that I got was
      Screenshot is Copyright© of SAP® AG. All rights reserved.
      Then I checked out if the customer master had Company code data and it did NOT have.

      Like

  5. Ronaldo says:

    Question 1- Create a new Customer (of SAP Customer Account Group – 0001) in the sales area of your choice. Specify the SAP Customer Number
    Answer: Customer 79 created in 1000/10/00 with 0001(Customer Account Group)
    ———————————————————————————————————————
    Question 2- Find out the SAP Credit Control Area that is associated with the Customer’s Organizational Structure

    Answer: SOrg =1000 Credit control Area = 3600
    ———————————————————————————————————————
    Question 3- Assign a Credit limit of 100,000.00 to the customer created in Q.1 above.
    Answer: I set the customers credit limit to 100,000.00 USD using FD32 for customer 79/credit control area 3600.
    ———————————————————————————————————————
    Question 4 – Create a new SAP Sales Document Type (as a copy of standard order type OR if possible) and give the document type -Z019
    Answer: I created Sales document Type “ZO88” as a copy of “OR” using VOV8
    —————————————————————————————————————————-
    Question 5. Set the Credit Management to the document type you created in Q.4 to Simple Credit Check. What are the different options available in Simple Credit Check?
    Answer: Set the credit check on ZO88 to option “A” (simple credit check with warning message). The following other credit options are available in simple credit check.
    B. Run simple credit check – error message.
    C. Run simple credit check – Delivery block
    —————————————————————————————————————————-
    Question 6.-Create a Sales Order for the Document type (Created in Q.4) and the Customer (Created in Q.1) for a material (say M-01) for a value of 30,000. Specify the SAP Order Number
    Answer: Order created 14014 with above requirements.
    —————————————————————————————————————————-
    Question 7 – What is the Credit Exposure for the Customer?
    Answer: 30,000 Euro
    ———————————————————————————————————————
    Question 8.-What percentage of the credit limit is used?
    Answer: 30%
    ———————————————————————————————————————
    Question 9 – Create another order for the same customer and Order type – Only this time, create the order with a value of around 90,000 (It does not need to be exactly 80,000). What is the System Response? Did the credit limit warning come up?
    Answer: Created another order 14015 without getting any system warning message, that means simple credit check is not checking any open and unbilled order value, it’s check only current order value against credit limit value.
    Question 10. What is the credit exposure for the Customer now?
    Answer: Credit exposure- 120,000 Euro
    ———————————————————————————————————————
    Question 11. What percentage of the credit limit is used now?
    Answer: Credit limit is used now-120%
    ———————————————————————————————————————
    Question 12. Explain why the credit limit is not exceeded for Q.9 above even though the order value in Q.6 and Q.9 together exceeded the Credit Limit set by you in Q.3?
    Answer: “Simple credit check” checks only order completed and billed + current order value, it’s not checking any open order value without billing.
    Ex-1st Order value 30,000 Euro so it’s less than 100000 Euro credit limit so order created.
    Ex- 2nd Order Value 90,000 Euro, still less than 100000 Euro credit limit so again order saved.
    ———————————————————————————————————————
    Question 13 This time create another order for the same customer and Order type – Only this time, create the order with a value of around 1,20,000 ( It does not need to be exactly 1,20,000 ). What is the System Response? Did the credit limit warning come up?
    Answer: This time system response with warning message “The credit limit has been exceeded by 20000 Euro” but order saved – “14016”
    —————————————————————————————————————————-
    Question 14. Explain in your own words difference between the system responses for Q.9 vs Q.13?
    Answer: In 2nd order value which is less than credit limit and there is no outstanding complete order invoice so system response no warning message while in 3rd order value is more than credit limit so system response with warning message “The credit limit has been exceeded by 20000 Euro
    ———————————————————————————————————————
    Question 15. Delivery and Bill the Order you have created in Q.6. Make sure the Accounts are being posted to.
    Answer: Delivery 80016492 created and billing invoice- 90038548 created.
    Accounting document
    ———————————————————————————————————————
    Question 16 Check the total receivables for the Customer. What is the value?
    Answer: Total receivables for customer 79 – 30,000 Euro
    ———————————————————————————————————————
    Question 17 after performing Q.15 above, what is the new effective Credit limit for the Customer?
    Answer: New credit limit for customer 79 is 70,000 Euro

    Like

  6. Ilana says:

    1.customer 84
    2. 3600
    3. assigned
    4. ZIL
    5. set to simple
    6. 14031
    7. 9,449
    8. 47.25%
    9. 14,032
    10. still the same amount 9,449
    11. the same 47,25%
    13. 14033
    16. del 80016503

    Issue: I was not able to complete PGI and billing.

    Like

  7. satya says:

    1. Customer Number — 100260
    2. 3600
    3. In FD32 assigned the credit limit to 100.000 EUR.
    4. ZST
    5. Set to Credit Check = ‘c’, got an error message that there is no need of credit group for simple credit check so removed the credit group.
    6. Order no is 14044
    7. Credit exposure is 3150000
    8. Exceeded by 20,000 Eur, about 15%
    9. Order no is 14046
    10. Exceeded 30.000,00 EUR
    13. Order no is 14052, exceeded by 10.000,00 EUR, and with that warning message it got saved.
    14. In both the orders got warning messages, that there is excess amount of credit.
    15. Getting an error message that “Sales order is blocked for delivery: Credit limits”

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s