Sometimes customers may fall behind on payments by not meeting the payment terms you set out in your invoices. You can send them a dunning notice to remind them of their outstanding debts on overdue items.
The SAP S/4HANA application allows you to dun business partners automatically. The system duns the open items from customer and vendor accounts in which the overdue items create a debit balance. The dunning program selects the overdue open items, determines the dunning level of the account in question, and creates a dunning notice.
It may be necessary to dun a vendor if he or she has a debit balance as a result of a credit memo.
Note
The four steps of the dunning process in the SAP system are as follows:
- Maintain the parameters:
By entering parameters in the dunning program, you can specify how it runs. You can also copy the parameters from an existing dunning run and adjust the dates as necessary.
- Schedule the dunning run:
During the dunning run, the dunning program determines the accounts and items that must be dunned, the dunning level and all other details required for dunning. It checks whether a payment reminder or a dunning notice (to remind business partners of their outstanding debts) needs to be sent. All the dunning data is saved in one dunning proposal.
- Change the dunning proposal:
You can edit, delete, and re-create the dunning proposal as often as you need until the accounting clerk is satisfied with the result.
- Start the dunning printout:
Dunning notices are printed and dunning data is updated in the master records and associated documents in just one step.
Note