Optimizing Supplier Invoices Processing


After completing this lesson, you will be able to:

  • Evaluate document editing options for improved efficiency
  • Enter recurring incoming invoices
  • Execute the entry of invoices in foreign currency to ensure accurate financial records
  • Utilize the import function for mass uploading of invoices to enhance productivity
  • Perform changes in payables postings

Edit Options for Supplier Invoice Settings

Edit Options for Supplier Invoice Settings

Jennifer has now gained a lot of knowledge about the basic functions of Accounts Payable Accounting. Now she wants to find out what tools and techniques the accounts payable accountants can use to speed up their work, make them more efficient and help to do more difficult tasks.

As part of the onboarding, Jennifer met various colleagues and their way of working. She noticed that even with the same apps, small things can look different on the screen of the colleagues. There appear to be settings that a user can choose for themselves. A colleague shows her the app Edit Supplier Invoice Settings.

With this app, it's possible to select user-specific parameters for supplier invoices. This app provides the following parameters:

  • Display Journal Entry: If activated, post or park a supplier invoice: You get as information both the invoice number and the journal entry)

  • Apply Company Code as Default Value: If activated, the company code entered for the invoice is defaulted in the value help for purchase order references within the app Manage Supplier Invoices (view Create Supplier Invoice).

  • Apply Supplier as Default Value: If activated, the supplier entered for the invoice is defaulted in the value help for purchase order references within the app Manage Supplier Invoices (view Create Supplier Invoice).

  • Deactivate Default Currency from Finance: If activated, the currency is not defaulted for the invoice.

Enter Recurring Incoming Invoices

Jennifer keeps getting better at processing incoming supplier invoices. Now she would like to streamline this process and thinks about the way to automate some recurring tasks. For example, she would like to learn if there's a way to automatically generate the same incoming supplier invoice, for example, month by month.

Let’s say the landlord that rents out the office building for the Bike Company sends an invoice for every month of rent. Every month this invoice includes the same information. So, in order not to enter the same recurring invoice information month by month, Jennifer uses the recurring entries functionality of SAP S/4HANA.

Recurring Entries

With the recurring entries functionality, it's possible to create an invoice template that will be used to generate recurring invoices on a daily, weekly, or monthly basis. The system will then create accounting documents for each posting date based on the information inputted.

In addition to the regular invoice data, some data needs to specify:

  • Recurrence start date

  • Recurrence pattern

This first document is the template from which the FI documents are generated (in a daily, weekly, or monthly bases). This is done by the recurring entry program. This program does not have to be started manually but can also be scheduled by a trained employee for the other colleagues' documents.

If the recurring entry program runs for May, the FI documents are created for the month of May, and so on.

Discover how to enter recurring supplier invoices in the SAP S/4HANA system by viewing the video provided.

Create Recurring Entries

Practice yourself using the interactive simulation to create a recurring entry using the Fiori app Manage Recurring Supplier Invoices.

Invoices in Foreign Currency

Foreign Currency Invoices

The suppliers of Jennifer’s company are located all over the world. Supplier invoices come from different countries and in different currencies. Jennifer wants to learn how to post supplier invoices in different currencies.

You can enter documents in any foreign currency for which a currency key is defined in the system. When you post a vendor invoice in foreign currency, the system stores the amount in both local and foreign currency for each line item. When entering the amount in foreign currency, the system translates the items to the local currency at the same time, using the exchange rate that is valid on the posting date.

To post a vendor invoice in a foreign currency in SAP S/4HANA, you can use the same apps as for postings in the local currency. You'll come across a field labeled 'currency key'. While in many scenarios, the local currency is suggested by default, it's essential to know that this can be modified. If you're familiar with the desired currency key, for instance, USD for United States Dollar, you can enter it directly or choose the search function.

To learn more about supplier postings in foreign currency, watch the video:

Import and Upload Supplier Invoices

Jennifer is very surprised that supplier invoices arrive at the company in very different channels and ways. She now wants to know what options there are, for example, for posting vendor invoices, which are also in an Excel file or are available in electronic form, quickly and effectively in the system.

The screen describes possible techniques for posting supplier invoices from Excel or supplier invoices that are available in electronic form in the system.

Import Supplier Invoices

In addition to the invoices, a supplier has sent an Excel file with the invoice data. Jennifer is now asked to post the invoices and would like to use the Excel and reduce the time and effort. A colleague gives her the tip that there is an import function for importing vendor invoices in the SAP system. Jennifer now wants to know more about how the import works.

Jennifer, watch this video to learn how to do the import of supplier invoices.

With this app, you can import multiple supplier invoices into the system all at once. You can download a template file, enter the invoice information, and upload the completed file back to the app. You can then post the invoices or save them as complete. It's possible to check for errors in the invoices before posting.

Upload Supplier Invoices

Upload Supplier Invoices

With this app, you can upload attachments, that you have stored as electronic invoice documents on your directory. It is possible to link each uploaded file as an attachment to the corresponding invoice.

Business Benefits:

  • Simplify invoice processing right from the start with a customer grade upload user interface.

  • Increase process efficiency by automating image data recognition and invoice creation in the digital core.

  • Prioritize invoices requiring expert attention.

  • Create instant access to the invoice image in SAP S/4 HANA Cloud for Accounts Payable clerks and auditors.

  • Prevent missing links between document and transaction.

Steps of Uploading Supplier Invoices:

  1. Open the app Upload Supplier Invoices.
  2. Choose Create Upload.
  3. Assign the Company Code, and choose Upload.
  4. Select the prepared file, and choose open.

If all things went fine, you get the message All files were uploaded.

If you would like to get the details to the upload and the status of the supplier invoices shown on your screen, go to the filter bar of the app Upload Supplier Invoices, insert Company Code and Creation Day, and choose Go.

Changes in Payables Postings

Jennifer has received an order to change the reference number in a vendor invoice that has already been posted because the entered is incorrect. In addition, a colleague has reported that the terms of payment of a vendor have improved for us, and that the terms of payment are now to be adjusted in all vendor items that are still open for this vendor. The vendor master record has already been adjusted. Jennifer sees a lot of work to be done because the supplier has many open invoices in the system.

Therefore, she is looking for information on how to make these changes in the system as effectively as possible.

First some background information to changes of posted documents:

Accounting principles require that accounting journal entry modifications are kept to a minimum once an FI document has been posted in SAP S/4HANA. In any case, all accounting related information, like posting keys, account numbers, posting date, amounts, and so on, can never be modified under any circumstance as this data has already led to an update of account balances.

Additionally, it is possible to customize SAP to apply certain rules so that the changes to fields are only allowed under certain conditions. For example, the changes are accepted only if the posting period is open or if the line item has not been reconciled yet. The reason for this is to prevent undesired modifications of data that would make reconciliation impossible or could jeopardize the auditability of the data.

Changes In Supplier Invoices

To learn more about the possible changes (single and mass) in posted supplier invoices, watch the video:

Changes in Payables Postings – Single and Mass

Practice yourself using the interactive simulation to find out how single and mass change work using the app Manage Supplier Line Items.

Exercise 1: Changes in Payables Postings - SINGLE

Exercise 2: Changes in Payables Postings - MASS

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