Intercompany Billing Configuration

[Former Member]

Hello All

I am trying to configure for Intercompany billing, but when I execute VF01 to create the billing document it continues to default to RD00 and not RD04.

I have configured as follows:

Defined the order type for intercompany billing to IV

Assigned organizational until by plant

Defined internal customer number by sales organization - does this mean that when this customer is used it knows to post as an IV billing?

Created a customer to represent the receiving company

Created a vendor to represent the supplying company

Created a port

Maintained the output type RD00

Created a logical address

Created a partner profile for both customer and vendor

FI customizing as required.

However, I can't seem to get past the point of the system actually recognizing that I want to create and IV document - not sure what I am missing or doing incorrectly.

Any assistance would be appreciated at this point.

Thank you in advance.

Pat

[claudia_neudeck]

> close the thread, because there was no reaction the last 3 months

[Former Member]

Hi Patricia,

Did you manage to solve the issue?

Cheers,

Shailabh

[Former Member]

Hi Patricia,

The configuration seems to be alright from what you have explained. Could you also explain the business process that you are executing ( the document flow).

Cheers,

Shailabh

[Former Member]

Hi Shailabh

Thank you for responding to my query.

Our SD process is very basic, with a few customizations along the way.

We start our SD process at the Sales Order, via VA01 an order is created and then upon saving the order is WF'd to the approver who then sets the biling block to blank. VF01 is then executed and the biling and accounting documents are created. It is at this point that I would expect the system to select output type RD04, but it is still selecting RD00 so it does not seem to be recognizing the configuration I have set for IV. I am clearly missing something but I'm not sure what.

As well, I have not been able to acertain exactly how the IDOC gets generated - is it suppose to generate at the same time that I execute the billing document - this is what I would expect. I keep on checking WE05, but no IDOCS are created. I've pulled up various documents on this subject and although many are similar, they all have a little something that the other documents don't have - so I"m trying to piece it all together and detrmine exactly how this should work.

Any assistance is greatly appreciated.

Pat

[Former Member]

Hi Patricia,

There seems to be a gap in what you are trying to achieve and the functionality for which the intercompany process is used.

Intercompany scenario is used in situations where a customer places an order on a sales organization/plant (say S1, plant P1) and S1 is unable to ship the requested quantity (for any business reason such as shortage of quantity etc).

In such a case S1 ships the goods from another plant, say P2 (which is attached to sales organization S2). Plants P1 and P2 belong to two different company codes in SAP (hence the name intercompany).

Goods are delivered to the customer from P2.

S1 raises an invoice to the customer

S2 raises an intercompany invoice (document type IV in SAP) for S1 as its internal customer

Following steps describe how this works in SAP -

Intercompany sales processing consists of the following three stages:

u2022 Processing sales orders

u2022 Processing deliveries

u2022 Billing

Following SAP elements are involved u2013

Two company codes u2013 Ordering Company code C1, Delivering company code C2

Two Sales organizations u2013 Ordering Sales organization S1, Delivering sales organization S2

Two plants u2013 Ordering plant P1, Delivering plant P2

1) Sales order

Create the sales order the usual way. In the sales order overwrite the plant to P2 (this will be the delivering plant)

2) Create Delivery and post good issue as usual

3) Create invoice with reference to the delivery.

This creates a customer invoice (this invoice is sent to the customer)

In the next step the intercompany invoice is created.

4) Once again create an invoice (using VF01) with reference to the delivery created in step 2. This time SAP will by default select invoice type IV and create the intercompany invoice.

The above 4 steps will work assuming all the relevant customizing settings are correct.

In the business scenario you have described, there is no mention of a delivery; the invoice is directly created from the sales order. In such a scenario intercompany sales might not be the SAP solution that fits the business process. Or if you are indeed doing intercompany business process then a delivery will have to be created inorder to trigger the intercompany invoice.

I also noticed in your first post that you have created a vendor to represent the supplying company; this is not required as the supplying plant belongs to the same company (but to a different company code).

Given below are some links from SAP help on intercompany u2013

http://help.sap.com/saphelp_erp60_sp/helpdata/en/4a/ac853478616434e10000009b38f83b/frameset.htm

http://help.sap.com/saphelp_erp60_sp/helpdata/en/dd/5614e7545a11d1a7020000e829fd11/content.htm

http://help.sap.com/saphelp_erp60_sp/helpdata/en/dd/561535545a11d1a7020000e829fd11/content.htm

http://help.sap.com/saphelp_erp60_sp/helpdata/en/dd/561542545a11d1a7020000e829fd11/content.htm

http://help.sap.com/saphelp_erp60_sp/helpdata/en/dd/56154f545a11d1a7020000e829fd11/content.htm

Hope this helps. Do let me know if you have any more queries.

Cheers,

Shailabh

[Former Member]

Hi Shailabh

Based on the way you explain intercompany billing I think I may be using the incorrect tool for what I am trying to achieve.

What I am trying to do is create is as RE(AP vendor document) in one company code(B) at the same time that I am creating the biling(SD/AR document) document in company code (A) - I don't think intercompany will give this to me.

Essentialy I have company code (A) billing company code (B) for services rendered(no stock transfer) and due to timing I am running into foreign exchange(FX) issues as B inputs the invoice a day or 2 later so FX issues arise and journal entries are required to correct. We thought that by processing intercompany we could create the billing document in company code A and also create the AP document in company code B via the IDOC process at the same time, thus the exchange rates would be the same and no journal entries would be required.

If intercompany if not the solution would you happen to know a process that would work?

Thank you so much for what you have provided me with so far, it makes more sense now.

Pat

[Former Member]

Hi Shailabh

I have a document that I was provided with as my guide for setting up intercompany to create an automatic posting to the vendor account via EDI. If you have time I would like to show you this document but this is my first time posting on this forum so I am not certain how to send it to you.

How do I attach a document on this forum?

Thanks

Patricia

[Former Member]

Hi Shailabh

I have copied the solution I have configured below.

This is the configuration I was asked to do - which is a bit differnt than the way intercompany seems to work, but this process seems to create a vendor document via EDI, however I am now stuck as It doesn't appear to be working - not sure if you can help at this point, but any suggestions you can offer would be appreciated - yet again.

Inter-Company Billing - Automatic Posting To Vendor Account (SAP-EDI)

Automatic posting to vendor account is done by EDI. In our case where both companies

are processed in the same system (& client), it is sufficient to create Idoc.

This process requires several steps:

1. Creating a Customer to represent the receiving Company.

2. Creating a Vendor to represent the supplying company.

3. Creating a Port

4. Maintain an Output Type

5. Creating a Logical Address

6. Creating a Partner Profile for both Customer & Vendor

7. The relevant MM customizing is maintained.

8. The relevant FI customizing is maintained.

1. Creating a Customer to represent the receiving Company.

The customer has already been created (XD01) for the purpose of Intercompany

processing and entered in the appropriate transaction in customizing (Sales and

Distribution a Billing a Intercompany Billing a Define Internal Customer Number By

Sales Organization).

Note: The customer has been created in the supplying company code.

The organizational data in this case is:

Supplying Company Code: 1180

Supplying Plant: 1180

Supplying Sales Organization: 1180

Supplying Distribution Channel: 01

Supplying Division: 00

Receiving Company Code: 3100

Customer representing the receiving Company Code: P3100

2. Creating a Vendor to represent the supplying company.

The Vendor is created with the standard transaction (XK01).

Note: The Vendor is created in the receiving Company Code. The organizational data in

this case is the same as above.

Vendor representing the supplying Company Code: P1180

NOTE: There is NO need to "connect" vendor to customer in the control screen.

3. Creating a Port

Tools a Business Communication a IDoc Basis a Idoc a Port Definition (T. Code WE21)

Maintain Transactional RFC: (Choose Transactional RFC and press the create icon).

A dialog box will open asking whether you want the system to generate an automatic

name or whether you wish to use your own name.

Port name: Automatically generated

Version: 4.x

RFC destination: PLD (This was defined by the basis people).

4. Maintain output type

Output Type RD04 - Invoice Receipt MM is a special function, responsible for the execution of the Idoc and will be entered in the Partner Profile later on.

Output type RD04 is maintained: IMG: Sales and Distribution -> Basic functions -> Output control -> Output Determination -> Output Determination Using the Condition Technique -> Maintain Output Determination for Billing Documents a Maintain Output Types (T. Code V/40).

Partner functions

Sales and Distribution -> Basic Functions -> Output Control -> Output Determination a

Output Determination Using the Condition Technique -> Maintain Output Determination

for Billing Documents.

Assign Output Types To Partner Functions

Maintain Output Determination Procedure

Assign Output Determination Procedures

Master Data

Maintain output Master Data

Logistics -> Sales and Distribution -> Master Data -> Output -> (T. Code VV31)

5. Create Logical Address

IMG: Sales and Distribution -> Billing a Intercompany Billing -> Automatic Posting To

Vendor Account (SAP-EDI) -> Assign vendor. (T. CodeWEL1)

Logical address 1180P3100 is made of the supplying Company Code (1180) and the

receiving Customer (P3100).

Note: If the receiving Customer is a numeric number you must add zeros between the

Company code and Customer number so the Logical Address will be 14 digits.

E.g. if the customer number was 3100, than the logical address would have been

11800000003100 as can be seen in the second line.

(In our case the customer is an alpha numeric number so the second line was not necessary. It was created just for this documentation and was not saved)

The Logical address is completed when the receiving Company Code and the Vendor are

entered in the detail screen.

It is also necessary to activate the account assignment.

IMG: Sales and Distribution -> Billing -> Intercompany Billing -> Automatic Posting To

Vendor Account (SAP-EDI) -> Activate account assignment.

6. Creating a Partner Profile for both Customer & Vendor

Tools a Business Communication -> IDoc Basis -> Idoc -> Partner Profile (T. Code

WE20)

Customer:

Put cursor on Partner type KU and press create.

Enter type, Agent & Lang,

SAVE

Pressin outbound parameters. Section, to maintain detail screens

The following screen will appear.

Enter the following data in the appropriate fields:

Partn.funct. BP

Message type INVOIC

Message Code FI

Receiving port A000000001

Basic Type INVOIC01

Press enter and the screen will change to the following:

Enter PocketSize 1

Go to the Message Control tab press and enter the data as specified in the following

screen.

You can repeat the process for cases where invoice verification is done against purchase

order. in this case enter MM in "message code field.

As you can see the only difference between the FI & MM invoice is in the message code

and output type.

NOTE: You cannot use output type RD04 again therefore you must copy it in

customizing to another output type (in this case RD00)

Vendor

Follow the same procedures but maintain the inbound parameter Screen as follows:

7. FI CUSTOMIZING

Financial Accounting a Accounts Receivable and Accounts Payable a Business

Transactions -> Incoming Invoices/Credit Memos -> EDI -> Enter Program Parameters

for EDI Incoming Invoice (T. Code OBCE)

Make sure to maintain posting types, tax code and invoice doc.type.

Use KR when not using purchase order & RE when using purchase order

Assign Company Code for EDI Incoming Invoice

By leaving the field CoCd blank, all company codes are available.

Assign G/L Accounts for EDI Procedures (T. Code OBCB)

P1180 = Vendor

3100 = Company Code of receiving company (of customer)

NOTE:

G/L account should not be connected to CO. Assign Tax Codes for EDI Procedures (T.Code OBCD) It is necessary to match the output tax from the sales order to the input tax.

Tax type = Output Tax

Tx = Input Tax

Accounting -> Financial Accounting -> General Ledger -> Master Records -> Individual

Processing -> Centrally (T.Code FS00)

G/L account no. = account number that was entered in transaction OBCB (page 24)

Tax category must allow for input tax.

Make sure manual posting is allowed for the G/L account. ("Create/Bank/Interest"

screen).

TEXT

In many cases the G/L account has been configured so that text is mandatory. This could

be either Header Text or Item Text.

Header Text

No special configuration is necessary. Just enter text in the "Header note". You may use

the following access sequence.

Item Text

It is necessary to implement a userexit in order to fill the item text field. Detailed

instructions are found in note 39503

8. MM Customizing:

Make sure the Unit of Measure's ISO Codes are configured correctly.

General Settings a Check units of measurement (T. Code CUNI)

Optional MM Customizing:

NOTE: This is only necessary for logistics invoice verification.

Materials Management a Logistics Invoice Verification a EDI a Enter Program

Parameters

Monitoring

There are several transaction that allow you to monitor the IDoc. First you need to know

the IDoc number. You can see the IDoc number in the processing log in the "Header

output" screen in the billing document.

You can use transaction WE02 or WE05. Enter the IDoc number in the selection screen. If you have an error in the IDoc, you could analyze it with transaction WE19

thanks

Pat

Edited by: Patricia Powers on Jun 23, 2010 4:45 PM

Edited by: Patricia Powers on Jun 23, 2010 4:45 PM

Edited by: Patricia Powers on Jun 23, 2010 4:46 PM

[Former Member]

Hi Shailabh

Sorry about the last posting, it is quite a mess the way it actually gets presented. If you view it via Edit then it presents itself the way I put it in - otherwise I apologize - that's what happens when a newbie posts.

Patricia

[Former Member]

Hi Patricia,

From the information it does seem that intercompany might not be the solution in this case. The business scenario you have described looks more like u201CCustomer Serviceu201D scenario.

The below links give more details on the customer service scenario.

http://help.sap.com/saphelp_erp60_sp/helpdata/en/3c/abae15413911d1893d0000e8323c4f/frameset.htm

http://help.sap.com/saphelp_erp60_sp/helpdata/en/3b/02953401024735e10000009b38f83b/frameset.htm

The other thing that can be looked at is taking some ABAP help in this case. From your post I understand that the problem is only with the foreign exchange due to the 2 day delay in creating the invoice. By default SAP calculates the value of foreign exchange on the day billing is done, but if with some ABAP/user exit tweaking we could make a change such that the value of the foreign exchange is picked up what it was 2 days earlier then problem could be solved. You would need the help of an ABAP person to get this done.

P.S. I do not think it is possible to attach a document in the forum, the only way to do is to post all details like you have done.

Cheers,

Shailabh