No release to accounting until PGI

[Former Member]

Hi All,

  I have a requirement where for order related billing, the invoice should not be released to accounting until the delivery has been PGI'd.

Any ideas on how to achieve this?

Appreciate your valuable input.

Regards.

[former_member212707 · Accepted solution]

Siddharth,

Are you saying in your business case, you have a sales order> Delivery > Invoice but you do the invoicing with respect to the Sales order?  Please clarify.

You can click on the posting block on your custom invoice type as shown below. This will prevent any billing document from posting to accounting.

Thanks,
Ravin

[Former Member · Accepted solution]

Yes, that is correct. There is a delivery involved too but the invoice is generated off of the sales order.

We cannot block it at the document type because this document type is used company wide and the requirement we have is for a specific part of the business. We want this only for Order related Invoices.

To be specific, we are using ZF2 invoice type (export) but not all export invoices are order related.

Thanks for your input.

Regards.

[Lakshmipathi · Accepted solution]

Not sure why the process has been configured as Order related billing when you want to have a control for delivery.  Ideally, it should have been delivery related billing.  Nevertheless, you need to go with USEREXIT_FILL_VBRK_VBRP in the program RV60AFZC if you want to continue with the existing configuration.

G. Lakshmipathi

[Former Member · Accepted solution]

Thanks Lakshmipathi. Some of our customers ask for the Invoice in advance of the Shipment. That is the reason it is set up this way.

If its not too much trouble, can you briefly explain what the above user exit does? I cannot understand it from the code.

Regards.

[Lakshmipathi · Accepted solution]

Some of our customers ask for the Invoice in advance of the Shipment

For that purpose only, SAP has provided you Delivery related Proforma (F8) which you can make use of it.  

can you briefly explain what the above user exit does?

The exit I referred would be used in case where the standard configurations does not meet the Business requirement as in your case.  This exit can be validated both at header level and item level in billing document.

G. Lakshmipathi

[naveen_kaluti]

Hello Siddarth,

Why don't you go with PRO FORMA(F5) invoice which will be order related and it can be generated and given to customer along with order confirmation and later generate the normal invoice (delivery related) which can be generated once deliveries are PGI'ed.

Regards

Naveen K.

[Former Member]

Hi Siddarth,

         I guess the business requirement is to issue the customer invoice before delivery and hit the revenue after the PGI happens. I assume because of this reason business is asking you to block the invoice until PGI happens.

If the requierement is as above, u can map it by enabling revenue recognition for the item category as "B-Service Related Revenue recognition" .  There will be few Account determination setings need to be done in FI.By doing this even though invoice is released to accounts it wont hit the revenue account, rather it hits the defered revenue account. You dont need to block the invoice from releasing to accounts. The invoice will be hit to revenue account when the rev rec job is run by FI.

Thanks,

Lakshmi Narayana.G

[former_member765323]

Can you explain how to do above mentioned process

[Lakshmipathi]

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[phanikumar_v3]

""""Some of our customers ask for the Invoice in advance of the Shipment. That is the reason it is set up this way"""

any way the value will be known at the time of sales order creation itself(if required you can send this via mail through your output)

think if there is a variation of stocks among sales order and delivery--then what will you do?

Phanikumar