SD Topics

1. Credit Management
2. EDI
3. Contracts
4. Scheduling agreements
5. Third party sales
6. Intercompany sales
7. Intercompany stock transfer
8. Transportation
9. Rush orders/Cash sales
10. Batch determination
11. Documents types – Sales documents/Item category/Scheduling category
12. Consignment process
13. Return orders
14. Credit/Debit memos
15. Pricing
16. Output determination
17. Text determination
18. Partner determination
19. Material determination
20. Listing/Exclusion
21. Delivery processing
22. Billing
23. Rebate process
24. ATP/MRP
25. Free orders
26. Enterprise structure
27. LSMW
28. BDC
29. BAPI
30. Enhancements
31. Standard documents types/item categories/scheduling categories
32. Standard output types
33. Standard pricing procedure
34. Standard programs
35. Standard reports
36. Transaction codes
37. Standard tables
 Credit Management
A credit check is a comparison of the customer’s credit exposure with the customer’s available credit limit
defined in credit master data.

Credit exposure is a sum total of customers open orders; open deliveries; open invoices; open receivables and
open special liabilities.
Credit limit is maximum amount for which you allow your customer to purchase goods from you on credit.

Whenever you create a new document that is relevant for credit checks, SAP calculates the current credit
exposure for the customer and compares it with the customer’s available credit limit that is maintained in the
customer’s credit master. If the exposure is more than the credit limit, the credit check fails.

In SAP, a credit limit check is carried out whenever a document is created or changed. You can perform credit
checks at three points, namely, when a sales order is created or changed, when a delivery document is created
or changed, and at the time of PGI. When the check is performed at the time of the order or delivery, the
resultant document gives a warning, triggers an error message, or may even be blocked, based on the
customization settings defined in IMG. When a check is performed at PGI, it behaves a bit differently. Since
PGI is the last step in delivery processing, a credit check failure at the time of PGI cannot block the delivery
document. Rather, it triggers an error message and stops the PGI from posting.

The Link between a Credit Check and the Pricing Procedure

A SAP credit check is linked to SD pricing via the Subtotal field. For SAP to be able to derive the credit value
(VBAP-CMPRE) from the sales document, the net value (final price + tax) line in the pricing procedure must
have selection A in the Subtotal field. Without this setting in the pricing procedure, the credit check will not
work.

The customization at a high level involves the following steps:

Defining a credit control area (OB45)

Assign the credit control area to a company code (OB38)
Assign permitted credit control area to company code (OBZK)
Assign sales area to credit control area (OVFL)
Define credit risk categories (OB01)
Define credit representative groups (OB02)
Define credit representatives (OB51)
Define credit groups (OVA6)
Define credit limit check by sales documents (OVAK)
Define credit limit check by delivery (OVAD)
Define credit limit check by item category (OVA7)
Define automatic credit control (OVA8)
V/08 pricing – in PP, subtotal must have “A”
Set credit horizon date check period
How to execute report
Specify a credit limit to customer (FD32)
OMO1