on 12-17-2014 11:23 AM
Hi Experts,
I need your support to validate financial functionality in By Design.
Functional requirement : Ability to recognise revenue only after confirmation goods receipt by customer as per accounting standard.
Functionality validation : We have checked and found that ByDesign allow to recognise the revenue based on delivery but that delivery will confirmed at warehouse outbound confirmation only. (not on the basis of confirmation from customer)
Help center : Accrual Methods
When you start a revenue recognition run, revenue is recognized based on the assigned accrual methods as follows:
Accrual Method | Sales Order Items | Customer Return Items |
Recognize at point of invoice | If the invoice has been posted, the revenue and cost of sales are recognized. | If the credit memo has been posted, the revenue reduction and the reduction of the cost of sales are recognized. |
Recognize at point of delivery | If the warehouse confirmation or service confirmation has been posted, the revenue and the cost of sales are recognized:
| If the goods receipt has been posted, the revenue reduction and the reduction of the cost of sales are recognized:
|
We don’t have any process to accept the qty confirmation from the customer to recognise the revenue.
Business user are keen to have this feature in ByDesign, can you provide your thought on this or suggest any workaround to capture this requirement?
Govind Sharma
Note: In ECC : Revenue Recognition by Proof of Delivery - Revenue Recognition - SAP Library
Dear Govind,
We don't have a process in ByD which confirms whether customer accepted the delivery we made.Even if there is a process atleast there is no communication to FIN.
In any case if the users want they can use Manual Entry for recognized Quantities and make an entry of the actual values once they are received at customers site. Atleast with this work-around possibly this can be acheived.
Confirmed with Development.
Thanks
Lokesh Sharma
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Dear Govind,
Am discussing your requirement with our Development and will update you soon on the same.
Thanks
Lokesh Sharma
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