SD process in SAP

[Former Member]

For implementing SAP in a software consulting firm, I need to understand in detail the steps involved in configuring CONTRACT - SALES ORDER ( release order ) - BILLING REQUEST - BILLING ( using billing plan type ). Also revenue recognition is to be involved in some part. Can you please help with DETAILS...

Rgds.,

Tommy.

[Former Member]

Hi Tommy John,

In software consulting firm the typical scenario's are as under:

1. Resource Related Billing

2. Milestone Billing

3. Periodic Billing

Important Modules are:

1. Project Systems

2. SD

3. FI

4. MM (atleast partially)

<u><b>1. Resource Related Billing</b></u>

Configuration at Broad level will be as under:

1. Configuration of Project System to create Projects. (PS)

2. Sales Order Type as Main Order (SD)

3. Configuration for Hours maintainance (PS)

4. Sales Order Type for Dependend Order (SD). This order should be having control as automatic. It will be taken automatically in Billing Request through DIP Profile.

5. DIP Profile (PS / SD)

6. Billing Type (SD)

7. VKOA setting for G/L account Determination (SD / FI)

<b>2. Milestone Billing</b>

This can be configured using Milestone Billing.

1. Create New Sales Order Type, say ZOR (Copy of OR) through T.Code: VOV8

Maintain Delivery Type as LF & Billing Type As 'F1' - Order Related / 'F2' Delivery Related.

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Define Sales Documents Types

2. Assign New Sales Document Type to Sales Area, For Eg:

1000 (S.Org) / 10 (D.Channel) / 10 (Division) / ZOR (S.O Type)

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Assign Sales Area to Sales Document Type

3. Create New Item Category, say ZTAN - Copy of TAN (For delivery Related) / ZTAD - Copy of TAD (For Order realted) / ZTAS - copy of TAS (For Third Party)

Maintain as under (others remaining same)

Billing Relevance: I

Billing Plan Type: 01

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Define Item Category

4. Assign Item Category, for ex (assuming Usage & higher level item category as blank):

Sales Document Type | Item Category Group | Default Item Category

ZOR | NORM | ZTAN

ZOR | DEIN | ZTAD

ZOR | BANS | ZTAS

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Assign Item Category

Note: In the above Billing Type '01' plays the main controller for milestone billing. In Sales order, at item level, we require to maintain the billing plan.

Follow the Sales cycle as normal sales cycle for particular Scenarios

<b>3. Periodic Billing</b>

This can be configured using Periodic Billing.

1. Create New Sales Order Type, say ZOR (Copy of OR) through T.Code: VOV8

Maintain Delivery Type as LF & Billing Type As 'F1' - Order Related / 'F2' Delivery Related.

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Define Sales Documents Types

2. Assign New Sales Document Type to Sales Area, For Eg:

1000 (S.Org) / 10 (D.Channel) / 10 (Division) / ZOR (S.O Type)

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Assign Sales Area to Sales Document Type

3. Create New Item Category, say ZTAN - Copy of TAN (For delivery Related) / ZTAD - Copy of TAD (For Order realted) / ZTAS - copy of TAS (For Third Party)

Maintain as under (others remaining same)

Billing Relevance: I

Billing Plan Type: 02

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Define Item Category

4. Assign Item Category, for ex (assuming Usage & higher level item category as blank):

Sales Document Type | Item Category Group | Default Item Category

ZOR | NORM | ZTAN

ZOR | DEIN | ZTAD

ZOR | BANS | ZTAS

IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Assign Item Category

Note: In the above Billing Type '02' plays the main controller for periodic billing. In Sales order, at item level, we require to maintain the billing plan.

Follow the Sales cycle as normal sales cycle for particular Scenarios

Regards,

Rajesh Banka

Reward point if Helpful

• Consulting should be maitained as service material & all resources should also be maintained as service material.

[Former Member]

Thank you so much. Shall reward points shortly.

Please let me know if it is mandetory for involvement of PS. Can we not manage in SD module itself by using contracts...

Also how should we configure pricing for resource related billing...kindly share your thoughts...

Appreciate your valuable time once again.

Thanks,

Tommy.