Outsourcing of vendor payments

[Former Member]

Hello Gurus

I need some undertanding

Currently we make payment to Vendors either thro f-53 / f-58. We intend to outsource cheque printing externally to the third party now.

Please let us know if it is possible in SAP. If yes please provide us with the process and the procedure to be followed to achieve the objective.

In my testing stage I have been using F110. The external parties say's that they will access our system and take the data. Due to security reasons we would like to avoid giving access to our system.

Here's an opportunity for you to score marks. Therefore please give us complete solution

Many Thanks

Paul

[Former Member]

Hi

You could do this is SAP. For the external vendors who are asking for access to the server, you could explore the options of using DME, or direct debit payment methods.

There is a new option of Check outsourcing, where in you run the payment program and then provide the list to the bank who would print the checks for you and send it to the vendor. You should look into these options.

It will not be possible to give you a detailed configuration on this without looking at the system. Please explore the leads provided above.

Karthik

[Former Member]

Dear Karthik,

First let me thank you for a prompt response.

Are you suggesting we use the APP ( Transaction code F110).We are comfortable with it as it clears the open item immediately after the Payment Run list is executed , a document is created and posted in FI as cleared item.

We need your advise on how can or what are the various options the External Vendor i.e. the banker can use to fetch the details of the payment run list along with the payment advice from our SAP system.

Cheers...

Regards

Paul

[Former Member]

Dear Paul,

If you are running the complete APP process and getting the FI clearing document posted, then can you let me know what is the out put you are getting from the system, as without any out put SAP will not post any FI document in APP.

Regards!

Pulak Das.

[Former Member]

Dear Pulak,

Thanks for your views.

From the Payment Run list we get the Payment Advice which shows the Invoices we have selected for making the payments. And in the spool we get the summary of Payment list with details like the Vendor A/c number, Vendor Name and the Amount payable to the vendor. Please advice how we can send this information to the Bank. The Bank insists that they would take the data directly from our system which is highly riskly.

Best Regards

Paul

[Former Member]

You can push the file to the Bank. But this will have to be with an arrangement with the bank. The file can be sent by EDI may be...There are lot of such options these days. One of the latest methods is check outsourcing. You can talk to the Bank for the various options. However you would have to have an abapper work on the requirements.

Karthik

[Former Member]

Dear Karthik,

Please give us those options available so that we can understand the same and then go for it. Please can you explain the concept of EDI?

Many Thanks

Paul

[Former Member]

Hi

Please see the links below:

They could help you with the concepts.

http://help.sap.com/saphelp_sm32/helpdata/EN/4c/378fb2c25c11d295f600a0c9426c73/content.htm

http://www.nordea.com/sitemod/upload/Root/www.nordea.com%20-%20uk/Productsservices/Cashmanagement/EG...

http://www.financialsexpertonline.com/archive/Volume_05_(2006)/Issue_05_(May)/V5I5A1.cfm?session=5a0...

This will surely help you. The last link will need access to SAP financials experts online magzine...But tells you in detail about the concept.