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Inter-company Billing
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An inter-company sale may be described with the following example The customer orders stock from the sales organization (for example 3001) The sales organization (3001) belongs to a company code, for example, 3000 The sales organization (3001) then creates the sales order and indicates the delivering plant as a plant that belongs to a different company code, for example, company code 1000 The sales organization (3001) then invoices the customer for materials purchased The system automatically creates an inter-company billing document at the same time as the customer s billing document is created This inter-company invoice is sent from the delivering plant to the selling sales organization This is defined as an inter-company sales transaction The result of an inter-company sales transaction is that the system will create two billing documents The first is the standard customer billing document that is sent from the sales organization to the customer who receives the goods The second is the inter-company billing document that is sent from the delivering plant to the sales organization
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When dealing with different company codes, you may find a need to transfer stock between company codes Should the stock be transferred within the same company code, there is no need for an inter-company transaction However, should the stock be transferred between different company codes, then there is a transference of value and cost and thus an intercompany sale For example, company code 3000, which has plant 3000, creates a purchase order to purchase stock from plant 1000 based in company code 1000 The stock is then delivered to plant 3000 Company code 1000 then creates an inter-company invoice and bills company code 3000 for the stock This process is defined as an inter-company stock transfer
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Menu Path SAP Customizing Implementation Guide | Sales and Distribution | Billing |
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Inter-company Billing | Define Order Types for Inter-company Billing In order for an inter-company sales transaction to be carried out, you need to define which sales document types may be used in conjunction with inter-company sales The SAP standard for an inter-company sale billing document type is IV Thus, should intercompany sales be permitted for sales document type OR, you must assign an inter-company billing type for example IV to this sales document
Assigning Organizational Units by Plant
Select Assign Organizational Units by Plant In this process one assigns a sales area to the delivering plant, as seen in Figure 7-29 A sales area is the combination of sales organization, distribution channel and division The delivering plant then uses this assignment to process the inter-company billing
Implementing SAP ERP Sales & Distribution
Copyright by SAP AG
FIGURE 7-29
Assigning organizational units by plant
Defining Internal Customer Number by Sales Organization
Select Define Internal Customer Number by Sales Organization In this step you can define the internal customer number, which represents the sales organization that is to be invoiced in inter-company sales processing, as seen in Figure 7-30 This customer number must be created in the system for the sales area specified For inter-company sales processing to be functional there remains a number of master data maintenance tasks that must be done Following is a checklist for inter-company sales processing: The enterprise structure must be maintained correctly that is, the plants must be assigned to the correct company codes, as well as to the correct combination of sales organization and distribution channel
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Billing
FIGURE 7-30 De ning the internal customer number by sales organization
Copyright by SAP AG
The inter-company customer numbers must be assigned to the relevant sales organizations The delivering plant must be assigned the sales organization The material to be sold must exist in the original and delivering plant The sales order must be relevant for inter-company sales and have an assigned billing document type The copy control rules must be defined between the standard invoice for example, F2 and the inter-company invoice for example, IV The pricing procedure may have a special condition type assigned to it This special condition type may represent the price to the inter-company sales organization Or it may represent a special discount offered to the inter-company sales organization for the materials sold The SAP standard system has the following condition types: PI01 To represent inter-company price as quantity dependant PI02 To represent inter-company condition as a percentage
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