Hi Chandra Sekhar,
Thanks for your advice about S_ALR_87012177. I know it but the our flowchart is so complicated that the t-code doesn’t run exactly as we want to.
I’m going to try to answer some of your questions, or at least to give you our own workaround.
1. Payment terms maintained at master level or document level.
We use the payment terms at master level (at both “SD and FI” levels, depending on the source of the invoice), and in case of mistake they are modified in the document item.
For us the “master level payment terms” are supposed to be an agreement between the customer and our company.
But what to do when you know the customer is going to pay you later than the agreed date: We used the “Planning date” to indicate it.
2. Partial clearing ( Paid Date)
We use the Document Date of the new customer line item created. To link the original line item and the new one, we “pursue” the “Invoice ref.” field.
3. Residual clearing ( Invoice Date)
If you are referring to the last clearing, we use the clearing date of the original line item.
4. if invoice clearing against Credit memo
We use the clearing date.
As a simplification, we consider the invoice as an element that increases the “Average days” meanwhile the Credit memo as an element that decreases it. That’s to say, each one is analysed independently of the other.
5. Invoice Related credit memo cleared ( fully cleared or partially cleared )
As I have just commented we treat the invoice and the credit memo as two independent elements, and each one has a different effect in the “Average days”.
6. Credit memo issued against cleared invoices or future invoice ( what is the treatment )
The same answer.
7. My client is using lock Box (Hit rate is 80%)
We don’t use it.
8. 20% of the incoming payments through On Account ( With out clearing)
For us the percentage is very high.
In our businesses we don’t have a huge number of customers. Our main businesses are Construction, Real Estate, Public Services (garbage treatment, park maintenance, …) and Building Materials.
Our main clients are government bodies and you don’t know when they are going to pay you ;-)
9. Cheque payments on Account with out clearing.
We have to post them manually, but after that the clearing is automatic.
I completely agree with you in: “if We develop the report. accuracy of the report is based on how efficiently client is managing their customer transactions data on regular time intervals.”
Best regards,
Paco M