S_ALR_87012176 - AR, Customer Evaluation with OI Sorted List

[Former Member]

Hi,

Can someone tell how to read S_ALR_87012176 - Customer Evaluation with OI Sorted List in AR. What do the old, ovd and omt mean.

Thanks,

Ram

[Former Member · Accepted solution]

This is a standard report.

Enter the Customer range and Company Code.

You can change the open item at key date forward, back or keep it as today.

You then need to make any other selections.

In terms of the output it is determined by the summarization levels. use the Information icon "I" to see the settings.

Lastly you can change the bucket view by changing the days overdue groupings.

Here is the information:

The program displays the following payment history information:

Sales figures such as annual sales and authorized deductions. This data is available in the system and only issued by this program.

Information on whether the customer is a net payer or a cash discount payer. This information is displayed in the field "Type".

The type of payer is determined by means of the payment volume:

A net payer is a customer who usually exhausts the payment term and does not take any cash discounts.

A cash discount payer is a customer who usually makes use of the cash discount deduction.

Days in arrears. The average days in arrears are determined as follows:

For each of the last five periods in which payments took place, the payment amount from each period is multiplied by the average days in arrears from each period. The results are added together and then divided by the total of the payments from the periods.

The days in arrears are thus weighted with the payment amount.

Last payment period. The period and the year (for example, 5 93) are displayed.

In addition to analyzing payment history, this program evaluates customer open items. It structures the items it selects using a time schedule that you can define as you like, and displays them according to business area.

The criteria you can choose for this analysis are as follows:

Aging schedule for open items by due date for net payment

Displayed next to "Net"

Calculation: Due date for net payment - key date

Due date forecast using the first cash discount days

Displayed next to "Dsc"

Calculation: Baseline date for payment + cash discount days 1 - key date

Probability of payment based on the weighted incoming payments in the past

Displayed next to "Pay"

Calculation: Baseline date for pmnt + cash disc.days 1 + average days in arrears

Days overdue of items that are due

Displayed next to "Ovd"

Calculation: Key date - due date for net payment

Examples of the open item analysis

The item used in these examples contains the following data:

Document date 04/01/1992

Baseline date for payment 04/05/1992

Terms of payment 8 days 5% / 14 days 2% / 21 days net

Key date 04/15/1992

The due date for net payment of this item is determined as follows:

Baseline date for payment + net days

The sorted list for this item would appear as follows:

The (*) indicates in which column in the sorted list the item would appear for the different evaluations.

Due date for net payment

Due date for net payment - key date = number of days until the due date for net payment

04/26 - 04/15 = 11 days

Display in the list:

-

---

I 1 I 2 I 3 I 4 I 5 I 6 I -

---

I I from 1 I from 11 I from 21 I from 31 I from 41 I I to 0 I to 10 I to 20 I to 30 I to 40 I I -

---

(*)

Explanation of column 1:

Items displayed here are overdue.

Explanation of column 6:

Items displayed here are due in 41 days or more.

Cash discount 1 due date

Baseline date for payment + cash discount days-1 - key date

04/05 + 8 - 04/15 = -2 days

Display in the list:

-

---

I 1 I 2 I 3 I 4 I 5 I 6 I -

---

I I from 1 I from 11 I from 21 I from 31 I from 41 I I to 0 I to 10 I to 20 I to 30 I to 40 I I -

---

(*)

Explanation of column 1:

Items displayed here are overdue for the first cash discount.

Explanation of column 6:

Items displayed here are due in 41 or more days for the first cash discount.

Forecast of incoming payments

Baseline date for payt + cash disc.days 1 - key date + days in arrears

04/05 + 8 - 04/15 + 25 = 23 days

Display in the list

-

---

I 1 I 2 I 3 I 4 I 5 I 6 I -

---

I I from 1 I from 11 I from 21 I from 31 I from 41 I I to 0 I to 10 I to 20 I to 30 I to 40 I I -

---

(*)

Explanation of column 1:

Items displayed here are overdue as regards cash discount 1.

Explanation for column 6:

Items displayed here are due in 41 or more days for the first cash discount.

Days overdue

Key date - due date for net payment

04/15 - 04/26 = -11 days

Display in the list:

-

---

I 1 I 2 I 3 I 4 I 5 I 6 I -

---

I I from 1 I from 11 I from 21 I from 31 I from 41 I I to 0 I to 10 I to 20 I to 30 I to 40 I I -

---

(*)

Explanation of column 1:

Items displayed in this column are open but not yet due.

Explanation of column 6:

Items displayed here have been overdue for 41 or more days.

Note

The analysis types "Net", "Dsc", "Pay" are a future time frame for forecasting incoming payments. "Ovd" is the time frame for the past for analyzing overdue items.

To estimate the probability of incoming payments, you should always request a sorted list by due date, cash discount days 1, and incoming payments forecast. Normally, the cash discount days 1 due date shows the earliest incoming payment, the latest due date and for the forecast of incoming payments the probable time of the incoming payment.

[Former Member · Accepted solution]

This is great! Thanks.