What is resource related billing?

[Former Member]

Hi Gurus,

What is resource related billing?

Ravi

[Lakshmipathi · Accepted solution]

Dear Ravi

In many cases, the prices for customer-specific activities are neither stored in the form of fixed prices nor calculated using standard pricing. This is because it may be the first time that you are carrying out particular activities. This means that you have no reference values on which to calculate a costing before you close the contract. Examples of where this might happen include:

=> make-to-order production

=> external maintenance in the service sector

=> specific services, such as consulting

Orders of this kind are billed according to the resources consumed in executing them. In resource-related billing, individual materials, internal company services and costs are passed on to the customer.

Billing requests during resource-related billing serve as the basis for creating billing documents. You can create billing requests for customer orders, customer projects and service orders. Items are created in the billing request on the basis of information on the resources to be billed.

Thanks

G. Lakshmipathi

[Former Member]

Hi Ravi,

The concept of Resource related billing is used most widely for Customer Services.

The important question here is that in what way this differ from the normal billing ?

Normally we have some constant material numbers or services offered, for which you can have a price maintained. However, think of a service scenario, wherein the resources you use are quite dynamic in nature and hence the bill you produce. To be simple i cannot have price maintained for every operation i perform, hence i need something which recognizes these.

You need a system which recognizes these Dynamic resources (usually the time you have spent on servicing a component and materials consumed during the process) suitably so that you can price them and give a bill to your customer. This is what your RRB does.

Let me know in case of any questions.

[Former Member]

Hi Vijaya,

Do you have any Business Blue print and Config documents on this Scenario.

Beoz i need to prepare BPP and do the configurations in the system.

So that I can better understand.

Thanks

Angks

[Former Member]

hi ravi,

The price for customer-specific services are not always defined in a contract as fixed prices, nor can they always be determined using standard pricing. This is the case if, for example, no empirical values exist for specific services, and therefore the services cannot be calculated adequately before conclusion of a contract. Typical examples of this are:

Make-to-order production

External plant maintenance in the service company

Specific services such as consulting

You carry out resource-related billing for these orders. In the billing document, single material, internal activities, and costs are assigned to the customer afterwards. The basis for creating a billing document is the billing request.

regards

sadhu kishore

[Former Member]

Hi Sadhu,

Could you please provide me any extra info on RRB to better understand.

email id: nandagopal_angks this for yahoo

Bye

ANGKS