OTC

[Former Member]

so, i have a question regarding OTC. what exactly is order-to-cash? I've seen a ton of jobs out there that require otc and i get confused on if i've actually done otc. i've done 2 projects the last 2 years and both projects used the standard sap sales process; order, deliver, billing and invoicing. and i've read that is what otc is but then i've also read that otc is a specific process in the system? i can never get a straight answer on this from colleagues at work. when i asked my SD lead, she said her understanding was that it was the standard sales process which we used on our last project, hence we have OTC experience, but during the project no one ever mentioned OTC? could someone help clarify this for me?

thank you!

[Lakshmipathi]

From birds eye point of view, I can say that there is nothing specific configuration in SAP as for as Order To Cash scenario is concerned. The normal sales process like

a) Submitting quotation on buyer if need be

b) Buyer place the order on Supplier

c) Supplier creates a sale order

d) Production of those items takes place

e) Create DA and do PGI

f) Create a billing document and pass on to FI

g) Create an Excise Invoice

h) Pay the relevant duty and taxes if applicable

i) Buyer release the payment on due date

h) Seller updates the payment in SAP and close the loop

Configuration differs on case to case basis.

thanks

G. Lakshmipathi

[former_member184555]

Hi Astromar79,

you have raised a good question. I do have a confusion regarding the term OTC (Order To Cash).

In realtime business process, the sale is considered as closed/completed only when the payment is received for that sale. This process/cycle can be called as OTC because the process starts with order and ends with payment for the sale. But in SAP, as per my knowledge, the role of SD ends with releasing the values to FI only and realisation of sales revenue (AR) comes under FI. Many a times, I thought of raising this question in forums and somehow forgot to do that. Now, this is an opportunity to get more clarity on this.

Regards,

Ravi

[former_member182609]

Refer Below link you will get idea

http://help.sap.com/bp_bblibrary/500/html/W40_EN_DE.htm