Procedure on rejecting an order for credit

[Former Member]

What is the correct procedure for rejecting a sales order and then releasing it using VKM1 or VKM3 transactions?

I ask because VKM transaction allows rejection of the sales order and updates the line item with a rejection code. The order may later be released using VKM3, but the rejection code stays on the line item. The sales order is then updated using VA02 to remove the rejection code, but the order goes back on credit hold. This is because the order started with a net value, reduced to 0 because line was rejected and then back to a net amount > 0 when the rejection code was removed.

1) Is it possible to update the rejection code on the line item without having to go into VA02? (automatically via credit transaction just as it did when it went on reject).

2) If order is released by credit transaction, not to have the system re-determine the credit block?

Thanks,

[Former Member]

Ian,

Your answer was very helpful, but the confusion was not as you interpreted.

When an order is rejected via VKM1/3, then the order rejection code does indeed get updated with the rejection code at the line item level. This must then be manually removed.

The OVAG configuration helped in that making the statistical blank helped to maintain the order value for the credit rejection; however, it still did not permit me to create delivery because of the line item being rejected. Even after releasing through VKM1, once I removed the rejection code, it went back into credit block.

This was good suggestion, but still did not provide resolution. I will pursue further.

Thanks,

Bela

[Former Member]

We have elected to create a custom transaction that lists credit hold orders. These will be flagged as 'rejected' for visibility that order is not to be processed. The release of the order will permit further processing without requiring additional effort in VA02 to remove the rejection code and cause a redetermination of credit.

[former_member101890]

How did you do this?

[Former Member]

Basically, we created a new transaction that mimicked the VKM1 to list our credit orders. We then customized the transaction to send out an email to the plants that under no situation was the order to be shipped. This was a requirement because plants would still ship orders although they were on credit block. The order is then flagged as 'no-ship'.

When order gets approval, credit department goes back into transaction and sets it back to 'ship' status and the orders is released from credit block.

Obviously, it gets much more technical than above and someone familiar with ABAP and workflow is required to assist.

[ian_kehoe]

Hello Anabela,

I think there might be some confusion here about credit block (part of credit management) and reason for rejection.

If an order goes into credit block (according to the credit management settings and the credit price of the sales order) then it can be released using VKM1.

A reason for rejection is different.

A reason for rejection is placed on a line item by a user (for example the customer rejects a quotation because the price is too high). Your company can maintain a list of reasons that might be applicable to your business (Transaction OVAG) . In this transaction there is a field called BIC or not relevant for billing (TVAG-FK_ERL). If this is set then when you have that reason for rejection on the line item the credit price will be zero.

When you remove the reason for rejection the credit management customising (FD32) would check the credit limit and assign a credit block.

I hope this information helps explain the system behaviour.

Best regards,

Ian Kehoe