Managing SAP Credit Management Master Data

Your business partners’ Credit Master Data is essential for SAP Credit Management, controlling all credit-relevant evaluations and analysis. To process your customers’ credit master data, the business partner role for SAP Credit Management (UKM000 SAP Credit Management) must be active. This role can be assigned manually using the Manage Business Partner app. To do this, select the business partner, such as S4C001, and in edit mode, assign the new role "SAP Credit Management in the roles tab."

The credit profile is an enhancement to the SAP business partner, utilized for the centralized storage of customer data relevant to risk assessment. It includes information such as scoring rules, checking rules for credit limit checks during order creation, scoring results, risk class, customer credit group, and credit limit calculations. Additionally, it may incorporate external evaluations of the business partner, notes, and other details like negative characteristics, credit security, or collateral. This credit profile can be accessed through the "Manage Credit Accounts - Credit Profile" app.

Credit profiles contain all necessary data for conducting credit checks when accepting sales orders (including checks on credit limit utilization and other criteria) and making order-related credit decisions (such as approving order releases and setting payment terms). These profiles can be updated with new information and can be used by any application that utilizes the SAP Business Partner, allowing for the sharing of customer creditworthiness information across different applications. A detailed change log is maintained and made available for each field.

One scoring formula and several credit limit formulas (for each credit segment) are assigned to the rule for scoring and credit limit calculation, which is then assigned to each customer within the credit profile. The risk class is determined directly from the score.

For the checking rule, the system defines the steps taken to assess a customer's creditworthiness during the creation of a sales order. This may include static checks of the credit limit or checks on the highest dunning level. In the Credit Profile tab, you must assign a rule to this role. Additionally, you can configure other settings such as Risk Class, Check Rule, or Credit Group.

These settings have the following effects:

• Rule for Calculating Score and Credit Limit: An alphanumeric key for the procedure used in SAP Credit Management to calculate the score and credit limit of a business partner.
• Risk Class: Indicates the score assigned to the business partner from the perspective of SAP Credit Management. The risk class is a classification of the score.
• Rule for Credit Check: The rule for credit checks in SAP Credit Management. A check rule consists of individual check steps and defines which parameters or threshold values are used to execute the individual steps and to what extent they are logged.
• Customer Credit Group: Key that specifies the assignment of a business partner to a customer credit group.

Credit segments can represent different areas of a company, such as sales areas, countries, or company codes. They are used for managing area-specific credit limits and tracking customer payment behavior. The relevant credit segment data is utilized for credit checks during order creation or delivery within a specific company area. SAP Credit Management allows for the maintenance of multiple credit limits for a single customer using credit segments (one credit limit per segment). A credit segment corresponds to one or more credit control areas, which can be linked to company codes or sales areas, depending on the configuration.

Each credit segment is assigned to a main credit segment, enabling the definition of a total credit limit for the customer at the company level and individual credit limits at sub-segment levels.

During the credit limit check (for instance, when creating an order), the system evaluates the customer's credit utilization within both the corresponding credit segment and the main credit segment.

In this example, three external ratings were manually assigned to the business partner. Simultaneously, a calculation rule, "SAP_ALL" in this case, must also be assigned to the business partner. Calculation Rules are defined in the customizing path "Create Rule for Scoring and Limit Calculation." This includes specifying the formula to be used for scoring, which is defined in the customizing path "Defining Formulas." Additionally, it can be specified that the formula from the Fiori app should be used for the formula definition. In this case, the formula can be created and utilized directly in the Manage Formulas in the Credit Management app.

Based on this calculation rule (SAP_ALL), our business partner received a score of 85.