free goods

[former_member949397]

HI,

PLease give me how to do customization process of freegoods for a customer.

Thanks,

Rajendra.

[Former Member]

Hi,

FREE GOODS DETERMINATION:

Free Goods Determination Types

Inclusive Exclusive

Free goods with in order quantity Free goods excluding order quantity

Free goods same as ordered product Free goods may be or may not be same as ordered product

Constraints:

Free goods is currently only supported on a 1:1 basis.

Free goods is not currently supported in combination with material structures (e.g. product selection, BOM, variants with BOM selection)

Free goods is currently only supported for sales orders with doc category ‘C’ (not for quotations, for e.g.)

Free goods is not currently supported for deliveries without ref to sales order

Free goods is not currently supported for make to order prodn, third party order processing & scheduling agreements.

Maintaining Free Goods:

Go to VK11 and click on free goods icon on the tool bar & enter sales orgn, distbn & div. Now maintain the following data

Material: material for which free goods is to be granted.

Minimum Quantity: min qty for which free goods can be granted

From: qty of sales material

Free goods: qty of free goods material

Calculation Type: pro rata, unit reference, whole units

Delivery Controlling

Additional Material: only available for entry in exclusive free goods.

The system automatically calculates the percentage amount of the free goods with regards to the quantity. If the sales material & free goods use different units of measure, then this calculation is not possible.

If you do not enter an exclusive free goods material, the system automatically uses the sales material.

If you want to use scales, select ‘Scales’

You can also enter free goods manually by entering item category TANN as the item category in the double line entry. In this case, however the system will not access the master data & the control parameters contained there in.

You can change free goods quantity. The system issues an error message if the free goods exceeds the quantity of the material ordered. Other than the qty, no other data is available for entry in the free goods item.

Subsequent changes to quantities or dates can be made to the main item. This means that free goods det is carried out again. This means that manual changes to the free goods qty are lost.

You can define different rules for determining the free goods quantity:

Proportional rule

Related to no of units

Only for whole units

• Activate free goods determination, if you are using your own sales orgn.

regards

sadhu kishore

[Former Member]

Dear Rajendra,

please gothrough this

FREE GOODS:

It can be configure in SAP by following two methods

A) Manually B) Automatically

A) Manually:

By specifying higher level item category for a line item, we can determine free goods as a free of charge items during sale order processing.

B) Automatically:

System proposes free of goods items automatically in the sale order. In automatic free goods configuration system follows two methods

a) Exclusive b) Inclusive

Exclusive:

System configures free goods in exclusive option by free goods quantity is going to be excluded in order quantity ex: 10 items, line item is free, then system configures free goods as a “ten plus one”.

Inclusive:

System configures free goods in inclusive option by free goods quantity is going to be included in order quantity ex: for 10 items, one item is free, and then system configures free goods as “Nine plus one”

Note: In exclusive method, other items can be given as a free of charge items for order item

Configuration steps:

Inclusive:

SAP follows condition techniques to configure free goods automatically

Maintain pricing procedure:

IMG  SD  Basic functions  Free goods  Condition technique for free goods  maintain pricing procedure

Choose standard pricing procedure “NA0001”- free goods (SD) and click on copy as button and re-name it.

Condition type – NA00; access sequence -- NA00

Step 2: Activate free goods determination:

IMG  SD  Basic functions  Free goods  Condition technique for free goods  Activate free goods determination

Go to new entries and specify our sales area, specify document PP- as A, customer PP as ‘one’ and assign free goods procedure ex: NA0001.

Step 3: control free goods pricing:

Control pricing for free goods item category

Choose item category “TAN” and specify the pricing as a “X” (pricing standard)

Choose item category “TANN” and specify the pricing as “B” (100% discount)

Step 4: Maintain condition type for 100 % discount:

Choose condition type R100 – (100% discount)

Step 5: Maintain pricing procedure for pricing:

Choose our PP from position button , select it and click on control data icon and include condition type “R100” between steps of discounts & specify requirement = 5 and specify item no: 28 as a 100% discount in alternative formula for condition base value (AltcBV)

The requirement = 55 can be assign to condition type R100. If the user wants to look both

Revenues and sales deductions for the free item since the product that we are going to give as a free of charge item can be sold separately in same sales order the item category of free goods (TANN) has the pricing value as a “B” then the system calculate value of free goods as 100 % discounts . As we discussed above the same material (that is going to be given as a free of charge item). Some times the same item is going to be given as a normal item, then system calculate price for normal item, system item ( free of charge item ) so here to perform this calculation we have to assign requirement = 55 for condition type “R100”

Alternative Condition Base Value = (100% discount)

Condition type R100 should be taken as “0” value the formula 28 calculate condition type R100 values as a “0”

Set Transfer of cost to maintain (copy and control)

IMG  SD  Basic functions  Free goods  Control free goods pricing  Set transfer of cost to maintain (copy control)

Copy control is a concept by which the system copies the data from source document to target document.

Choose billing type as F2 and delivery document type “LF”,

Select it & click on item icon & choose item category TAN, click on details icon and

Click on display-change icon and choose item category “TAN” again select it & click on details icon and check cumulate cost.

Cumulate cost controls whether the cost value (VPRS) is to be copied from relevant for sub-item into main items sub-item cost are not relevant for billing. Save & exit

Maintain copying control:

IMG  SD  Basic functions  Free goods Control free goods pricing  Maintain copy control

We maintain copying control at item level category for free goods. In this field, we can control whether the free goods should also be transferred when we copy from one document to another document.

Choose source document type as a “QT” & target document type as a “OR” &

Select it & click on item control button under dialogue structure

Choose AGN item category from position button & click on display or change button, again click on AGN & click on details icon and

Checks re-explode structure/ free goods (this indicator controls whether the free goods are coped from source document to target documents or determined again.)

Save and exit.

Maintain condition records for free goods:

Logistics  SD  Master data  Conditions  Free goods—VBN1 (create)

--Specify condition type NA00 & specify sales org. distribution channel, customer number, valid periods and

--Chose option as inclusive.

--Specify the material number and

--Specify the minimum order quantity,

--Specify the quantity from which the free goods should be applied

--Specify the unit of measure and

--Specify free goods (are free goods) as a one.

Calculation procedure:

We can specify the routines for calculation procedure as a ‘A’- (1- pro- rata- proportionate)

A) Pro-rata:

Ex: if the customer places order for 100 cases of material “A”, that customer receives “20” cases of same material is free. That is the business can say that buy 100 and get 20.

If customer orders for 162 cases, then the system automatically calculate 32 cases as a free of cost. 162 *20/100 = 32.

“B”- Unit of reference:

When customer order for 100 cases of material A , then the customer receives additional 20 cases of A as a free of goods items that is the business can sign that buy 100 and get 20 free, by inventing 20 free for every full of 100 cases.

If the customer places order for 162, then system automatically grants only 20 cases.

Formula: 100*20/100 = 20

“C”- Whole Units:

When customer places order for 100 cases of material of A, then customer receives additional 20 cases of material A that is business can say that buy 100 and get 20 free of charge items.

If customer order for increment of 100 that is ex: for 152 items, he get only 20 . If place the order 200 items, the he gets 40 that inclusive.

Condition records for exclusive:

--Specify the discount type NA001 &

--Click on exclusive option and

--specify the sales organization, distribution channel, customer number, validity periods and materials, minimum quantity, order quantity, unit of measure, and calculation procedure, free goods and

--Specify additional material free goods (if other goods are going to be given as free of charge item) save it and exit.

--Go to VA01 and raise the sales order for inclusive and exclusive and see the free goods effects

Condition Type: ‘NRAB’ free goods; requiremet-55; AltCBV-29(only for inclusive)

When the customer doesn’t want physically fee goods and the free goods price should be deducted from total price ten we can use condition type NRAB, which hides free goods line item in the sales document

Settings:

Pricing for inclusive free goods w/o item generation

--Choose our pricing procedure

Include condition type ‘NRAB’ with requirement – ‘59’ and alternative formula for condition base value- ‘29’ between discount condition steps.

--Go to VBN1, maintain condition record for free goods with Inclusive method and make sure that ‘free goods’ category should be ‘3’( inclusive rebate w/o item generation)

--save it

--Go to VA01, raise the sales order and check ‘NRAB’ condition type effect.

Requirement 59:

We have to assign requirement 59 to the condition type NRAB. If the customer buys 100 cases of product “A” then we receives 10 cases of product free.

If the user would not like the additional like items in the sales order for free goods rather than he discount of 10 cases be represented in the same line item as the other 90 cases. If the free goods discount should not applied as credit for return that doesn’t make reference previous discounts.

Alt formula for condition base value-29:

The condition type NRAB is to be assigned with 29 formulas to support inclusive free goods agreements where the user would have to apply the discount to the order item rather than having a sub-item generated for the free quality. Ex: the customer having a free sub-item generated by the system to represent the 10 free cases. The user could like to have a discount applied to the 100 cases like item equal to the value of the 10 cases.

Note: Free goods can only be configuring on only document type “C” that means. We can’t configure free goods inquiries in quotations.

rewards pls

kishore.

[Former Member]

hi rajendra

free goods we configure through conditon technique . I hope you know conditon technique in spro in sales and distirbuion basic function in that free goods you can get it from it after finally you have to create conditon records on vbn1 for the specific customer means you have to select fields in the conditon tables. what ever you maintain in your condtion table it will come in to the conditon records.

Thanks