hi,
Free goods determination
In many sectors of industry it is common to provide products free of charge, or not to charge the customer for some of the goods sold when a customer purchases certain goods.
The following forms of free goods exist:
Inclusive
Exclusive
1.Inclusive Agreement
The customer only pays for a part of the goods required. The rest of the goods are free. This is called Inclusive free goods and means that part of the purchase quantity is designated as free goods and is not billed.
The material supplied as free goods always has the same unit of measure as the purchased quantity.
E.g.
Of ten bottles of wine, two are designated as free goods. If you order ten bottles, then ten are delivered but you are not billed for two of them. You have received inclusive free goods.
2. Exclusive agreement
The customer pays for the goods ordered and receives additional goods. This is known as exclusive free goods and means that free goods is granted for an additional quantity to that in the purchase order. More is delivered than was ordered and the additional quantity is not billed.
The goods delivered as free goods do not have to be the same as material ordered.
E.g
When four coffee machines are ordered, the vendor supplies a packet of coffee as free goods. Therefore, if you order four coffee machines, you receive a free packet of coffee.
Free Goods using Condition Technique :-
1. A condition table defines the combination of fields (the key) that identifies an individual condition record.
Path for condition table ( T- Code V/N2)
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Maintain Condition Tables.
2. A condition record is how the system stores the specific condition data that you enter in the system as condition records.
Path for Condition Records ( T- Code VBN1)
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Free Goods Determination.
3. The access sequence determines the sequence in which the condition records for a condition type are found and read.
It contains the required condition tables in the required order.
The order in which the condition table are placed in access sequence is important . Generally it is most specific to most generic.
After creating the access sequence, it is assigned to a condition type
Path For Access Sequence
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Maintain Access Sequence .
4. A condition type is a representation in the system of some aspect of your daily pricing activities .
Access Sequence is assigned to the condition types.
The Standard condition type used in Free Goods Determination is NA00 .
The path for the condition type is
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Maintain Condition Types.
5. The Path for Pricing Is :
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Maintain Pricing Procedure
In the pricing procedure we enter the condition type
The Pricing Procedure Should Contain the Condition type R100 that is Free Goods Condition Type. This Condition Type in the Procedure has requirement as 55.
55 means only if the item is Free Goods then only value of R100 to be used in Calculation. Value = Controlled by ALT Condition Base Value 28 which states that discount should be 100%.
Activate Free goods Determination
The path for activating free goods determination is
Display Img Sales And Distribution Basic Function Free Goods Condition Technique For Free Goods Activate free goods determination.
In activating free goods determination the Pricing procedure is assigned to the combination of the Sales Area , The Customer Pricing Procedure And the Document Pricing Procedure.
Save the Changes .
Free Goods
Path For Maintaining Free Goods Determination ( T-Code VBN1)
SAP Easy Access Logistic Sales and Distribution Master Data Conditions Free Goods Create
Enter the Discount Type as NA00
You Enter into Free Goods View INCLUSIVE
Mention Sales Organization as XXX
Mention Distribution Channel as XX
Mention the customer as 12325
Important Fields On The Screen (Free Goods Inclusive)
1. Min. Qty : This is the minimum Quantity which should be ordered so that the order is eligible for free goods .
2.From : From give the quantity after which the free goods will be given .
E.g.
Minimum Quantity is 1000
10 free goods for every 100 goods .
The document quantity is 1300 as ordered be the customer , hence the quantity is greater than 1000 so it is relevant for free goods the number of free goods is 130
If the customer has ordered for 999 there would not be any free goods as 999 is less than min quantity 1000
3. Are free goods : This number shows the number of quantity which should be given as free goods to the customer.
4. Calculation rule : This Rule Tell that on what basis the amount of free goods which are to be given to the customer . The Calculation Rule can be any of the following .
Proportional
Unit Reference
Whole Unit
5. Free Goods Category : This tell that whether the free goods is Inclusive Or Exclusive
6. Free Goods Delivery Control : This Controls the delivery of free Goods .
This Tells that whether the free goods are delivered in conjunction with the main Item or are delivered alone .
Enter the data in the required data.
Enter the data and press on Save .
The effect can be observed in the sales order screen
regards
bhaskar
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