Remove old incoterms and adding new incoterms impact

[former_member317998]

Dear All,

As per my client requirement , need to remove old incoterms and add new incoterms. what is the impact if transactions created with old incoterms.

Regards

SKumar

[Former Member · Accepted solution]

Removing IncoTerms is not a good idea. I believe 4 terms were made obsolete and 2 are added for 2011. The new standards are commonly referred to IncoTerm 2010.

In consultation with your business, you may retire these obsolete terms in an year or two, may be by changing the descriptions to...for example "DES - Delivered Ex Ship (Inco 2000)". Incoterm 2000 is the old standard.

You may also want to refer to your print outs (order / delivery / invoice etc) and make sure there are no hardcoded references for incoterms.

Hope it helps.

[former_member183879]

Hi,

You should not remove the old incoterms from the system as such. Otherwise you can change incoterms in the documents and this will not have any implication in the system.

However this will have some implication in the delivery and shipment process outside SAP as teh incoterms with the customers need to be adhered to during transit.

Also when you change the incoterms, you should change the incoterms only for those sales orders which are open. If you change incoterms for a sales order which is already delivered, it will not allow the change. In that case, it is not advisable to change this data. Otherwise if you are chaning the incoterms for all the open sales orders, or the sales orders for which the delivery or invoice or both is cancelled, there are no implications in the system.

[Lakshmipathi]

I hope, you were not confused with Inco Term and Payment Term

Coming to the issue, let us assume, if the inco term in old sale order is CIF and as per the new terms, it should be Ex Works. Here unless, your pricing condition is based on Inco Terms, definitely, the client would absorb the freight charges instead of debiting to their customer account.

thanks

G. Lakshmipathi