Executing Condition Contract Settlement

The figure sketches a typical settlement sequence applied for a document.

You can see both delta accruals and also partial settlements being posted.

In a partial or final settlement, you also determine the business volume beginning with the 'CC Valid from' date. You reverse the accruals from previous delta accruals settlement.

The use of Settlement Management to create the settlement documents also contributes to optimum run times because the system can process a high volume of documents and items. Thanks to a strict separation between the determination of the business volume base and the definition of the rebate condition, it is possible to work with a very small number of conditions and condition types. As a result, the pricing procedures for settlement contain only a small number of condition types, which also leads to improved system run times.

You can distribute the rebate amounts from subsequent settlement to the eligible partners according to their business volume base contribution. For this purpose, you can define plants or customers as eligible partners.

The granularity defined in Customizing depends on the business volume level in the relevant business volume table. If business volume has been determined at plant, cost center, or material level, for example, and has been stored and updated in the corresponding business volume table, then a balanced distribution of the rebate amount is possible down to this level. This means that a posting is automatically made at account assignment object level at the time of settlement in accordance with the share at the time the service was provided.

You perform delta accruals settlements, partial settlement and in the end final settlement. After final settlement, the process ends. The document flow provide a perfect overview of the whole settlement process.