Supply Chain Finance with vendors

[former_member242326]

Hello all,

Last May we started a pilot to find out what advantages Supply Chain Finance could bring us.

By uploading the approved invoices to the SCF financial partner (bank), for participating vendors it is possible to get their payments earlier than the payment terms agreed upon,

For example: the vendor can "buy" the payment (from the SCF partner) as soon as it is approved and uploaded by us to the SCF portal, earlier than via payment terms is agreed.

We don't pay the vendor anymore, we pay the SCF partner after the agreed days, the vendor will be payed by the SCF partner.

During the pilot we created the upload manually.

At daily basis we manually created an upload file with the open items of a few selected vendors via transaction FBL1N.

Based on the result file from FBL1N, in Excel we made some adjustments to make the file suitable for the bank so they could process it.

The SCF partner sends us an Payment Pre-advice file (XML), so we are able to see which items must be payed.

We manually created a payment run based on this file.

Now we would like to proceed with SCF and are looking for a automated solution.

I have searched the forums, but by using a search to SCF of Supply Chain Finance, I can't find what I am looking for.

Is there a solution in SAP available for SCF?

This includes the (automatic) creation of an upload file and process the XML payment pre-advice file.

Where can I find documentation for this?

Thanks.

[former_member425473]

Hi

We are looking similar solution, Is there any automated functionality available to cater this requirement?

Many thanks

[gopalakrishnanrangaraj]

Hi,

Basically the company and the partner bank agrees to implement SCF. We need to create a specific payment method for SCF and assign it to the vendors and during the automatic payment run for the SCF vedors, only payment order number (no accounting document) gets generated and the file is sent to partner bank with all the invoice details. SCF vendors will reach the bank next day (instead of waiting till the due date) and get paid for the invoices (discounted price) and partner bank sends the clearing file to the company on the due date of the particular invoice. On the same day, partner bank will deduct the invoice amount on the same day it sents the clearing file to us.

We can clear the vendor (FF_5) based on the clearing file sent to us by the partner bank (like any other EBS files).

[former_member318765]

Hi,

You can search the WIKI page on Financial Supply Chain Management. Hope it is of some help.

Regards

Soumya Rao