Credit horizon not working

[Former Member]

Hi friends,

I am having the issue with credit horizon.

The credit horizon we maintained in the sstem is for 2 months.

But the system is considering the order values beyond the 2 months orders also, which is effectig the credit limit used field in FD32.

EX:-

Credit limit is 100000/-

Say the horizon we maintained is 2 months in the risk categeories and using the dynamic check.

The sales order created on Jan 1st and the delivery date is 28th march for the value of 50000/- which sould not consider by the system. But it is considering this value and effecting the credit limit used field in FD32.

Now the credit limit used is 50% in FD32 which should not happen.

I saw the changes of the FD32 and understand that my client has changed the risk categeories very frequently.

Is it becaus of changing the risk categeories we are facing this incosistency?

How to come out of this situation and why the system is considering the order values beyond the credit horizon.

Thank you,

Ram

[former_member184555]

Hi

The purpose of using Horizon period is to minimise risk. The horizon period will be more for low risk customers and will be very less for high risk customers. This is a future period from current date. If your horizon period is two months, then any open orders which are due for delivery after that horizon date (current date+two months) are not considered for calculating the credit utilised. Your example is not related to future deliveries and it is related to past. Since the delivery is not done, it is still considred as an open sales order and until you assign a reason for rejection in the sales order, the values will be considred in credit management calculations.

Regards,

Ravi

[Former Member]

Hi Ravi,

My example is related to future delivery only and not the past.

The sales order has been created on Jan 1 2009

The delivery date is due for March 8th 2009

Which is beyond the horizon date of 2 months. Hence the system should not consider the value but it is considering why?

Thank you,

Ram

[former_member184555]

Hi

Horizon period is calculated from the current date and not from the sales order creation date. The credit check happens while creating the sales document. In your case, if you are creating a sales order today, the system considers only those open sales orders that are due for delivery (delivery dates in schedule lines) within two months from current date will be considered for calculating the credit limit used and it will not consider the other open sales orders which are due for delivery beyond two months from today. The horizon period is not based on the date of creation of the sales document.

Thanks,

Ravi

[Former Member]

To confirm this you might want to create a Sales Order dated today (aug 12th) and then create the delivery date for November 12th and see what's going on with credit

[former_member184555]

Hi

The sales order created on Jan 1st and the delivery date is 28th march for the value of 50000/- which 
sould not consider by the system.

As per the credit horizon the system will not consider those orders which are due for delivery after two months in future and not in the past and hence it considers all the orders. If the delivery document is not created, then go to the sales order and assign reason for rejection to all the line items, save the changes and check the credit limit.

Thanks,

Ravi

[Former Member]

Hi Ravi,

The deliveries are in future only.

Ex:- sales order created on Jan1st

Delivery due on April 1st which is beyond the horizon perion 2 months.

Thank you,

Ram

[Former Member]

Hi Ravi,

To make you more clear.

I am using dynamic check with the horizon period of 2 months.

For ex:- I created the sales order on Jan 1st and in the schedule lines the delivery date is showing as March 8th which is beyond the horizon date. So the system should not consider this value for credit check but it is considering why?

I checked all my settings and every thing looks good

I ran the transaction F.28 also even though no use.

Thank you

Ram

[former_member188076]

Hi

If you have made this change in Credit Horizon recently and then doing the testing, then I would suggest that run F.28 first. This transaction is used to recreate Credit Data if you made any changes in SD or FI Part.

Hope this will resolve your issue.

Regards

Amitesh

[Former Member]

Hi,

Thanks for your reply.

Even after I ran F.28, still the system is taking the future deliveries into account which should not happen.

Thank you,

Ram.

[former_member188076]

Hi

Pl. go through this link [https://wiki.sdn.sap.com/wiki/display/ERPLO/Credit%20Management]

and check your customising one by one. Also check the update group you are using , it should be 00012.

Regards

Amitesh