Robert Mayerhofer - xa.yimg.comxa.yimg.com/.../name/sappress_business_one.pdf · Robert Mayerhofer Introduction to SAP ... 8 Introduction to Financial Accounting ... 14.3 Customizing

Bonn � Boston

Robert Mayerhofer

Introduction to SAP® Business One

142.book Seite 3 Freitag, 6. Juli 2007 10:33 10

Contents at a Glance

1 How to Use This Book ............................................ 11

2 Introduction to SAP Business One ......................... 19

3 Basic Program Operation ........................................ 23

4 Master Data ............................................................ 49

5 Purchasing .............................................................. 119

6 Sales ........................................................................ 179

7 Inventory ................................................................. 229

8 Introduction to Financial Accounting ..................... 305

9 Financial Accounting .............................................. 317

10 Banking ................................................................... 361

11 Sales Opportunities ................................................ 373

12 Service ..................................................................... 395

13 Human Resources ................................................... 427

14 Highlights in SAP Business One ............................. 433

A SAP Business One at a Glance ................................ 449

B The Author .............................................................. 457


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Contents

1 How to Use This Book .............................................. 11

1.1 Overview .................................................................... 111.2 Scope of this Book ...................................................... 131.3 Methods ..................................................................... 161.4 Information — Exercises ............................................. 171.5 Materials on the Web ................................................. 18

2 Introduction to SAP Business One .......................... 19

2.1 What is SAP Business One? ......................................... 192.2 Who Uses SAP Business One? ..................................... 21

3 Basic Program Operation ......................................... 23

3.1 Installation Process ..................................................... 243.1.1 Initial Start ..................................................... 253.1.2 Second Start .................................................. 26

3.2 Navigation .................................................................. 273.3 Working with Data Records ........................................ 32

3.3.1 Adding Data Records ..................................... 323.3.2 Searching for Existing Data Records ............... 343.3.3 Duplicating Data Records ............................... 413.3.4 Changing and Removing Data Records ........... 42

3.4 Right Mouse Button — Using the Context Menu ........ 423.4.1 Drop-Down Lists — Defining New Values ...... 43

3.5 General Settings ......................................................... 443.6 Exercises ..................................................................... 47

4 Master Data ............................................................. 49

4.1 What is Master Data? ................................................. 504.2 Users .......................................................................... 504.3 Business Partners ........................................................ 534.4 Payment Terms ........................................................... 764.5 Activity ....................................................................... 834.6 Items .......................................................................... 914.7 Document Numbering ................................................ 1054.8 Company Master Data ................................................ 1114.9 Business Partner Reports ............................................ 1134.10 Exercises ..................................................................... 114


Contents

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5 Purchasing ................................................................ 119

5.1 Business Aspects of Purchasing .................................. 1205.2 From Purchase Order to Outgoing Payment ............... 121

5.2.1 Document Header ......................................... 1225.2.2 Document Body ............................................ 1275.2.3 Document Footer .......................................... 1405.2.4 Other Functions in the Document ................. 1425.2.5 The Document Chain in Purchasing ............... 152

5.3 Reports in Purchasing ................................................ 1705.4 Exercises .................................................................... 176

6 Sales ......................................................................... 179

6.1 Business Aspects of Sales ........................................... 1806.2 From Sales Quotation to Incoming Payment .............. 180

6.2.1 Document Header ......................................... 1816.2.2 Document Body ............................................ 1816.2.3 Document Footer .......................................... 1916.2.4 The Sales Document Chain ............................ 1926.2.5 Other Sales Functions .................................... 1966.2.6 Gross Profit as a Sales Indicator ..................... 208

6.3 Sales Reports ............................................................. 2156.4 Dunning in SAP Business One .................................... 2176.5 Exercises .................................................................... 227

7 Inventory .................................................................. 229

7.1 Business Aspects of Inventory .................................... 2307.2 Inventory in SAP Business One ................................... 2317.3 Inventory Valuation Methods ..................................... 235

7.3.1 Overview ...................................................... 2367.3.2 Standard Price ............................................... 2387.3.3 Moving Average Price ................................... 2397.3.4 FIFO: First In — First Out .............................. 240

7.4 Pricing in SAP Business One ....................................... 2457.5 Units of Measure in SAP Business One ....................... 2627.6 Catalog Numbers in SAP Business One ....................... 2677.7 Management of Serial and Batch Numbers ................. 272

7.7.1 Serial Numbers .............................................. 2727.7.2 Batch Numbers .............................................. 280

7.8 Manual Inventory Transactions .................................. 2827.9 Physical Inventory ...................................................... 287


Contents

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7.9.1 Initial Quantities ............................................ 2887.9.2 Physical Inventory and Inventory Valuation .... 2907.9.3 Cycle Count Recommendations ...................... 294

7.10 Inventory Reports ....................................................... 2967.11 Exercises ..................................................................... 302

8 Introduction to Financial Accounting ...................... 305

8.1 The Four Principal Issues of Financial Accounting ....... 3068.2 Basic Principles of Financial Accounting ...................... 307

8.2.1 The Account .................................................. 3088.2.2 The Double-Entry Accounting System ............ 309

8.3 From Opening Balance Sheet to Closing Balance Sheet .......................................................................... 3118.3.1 Opening Accounts at the Beginning of the

Fiscal Year ...................................................... 3128.3.2 Current Postings ............................................ 312

8.4 Exercises ..................................................................... 316

9 Financial Accounting ................................................ 317

9.1 Chart of Accounts ....................................................... 3189.2 The Posting Cycle in SAP Business One ....................... 3249.3 Journal Entries ............................................................ 3309.4 Journal Vouchers ........................................................ 3379.5 Posting Templates ...................................................... 3389.6 Recurring Postings ...................................................... 3409.7 Foreign Currency Postings .......................................... 3429.8 Integrating Cost Accounting ....................................... 3489.9 Financial Reports ........................................................ 3539.10 Exercises ..................................................................... 358

10 Banking .................................................................... 361

10.1 Banking Master Data .................................................. 36110.2 Incoming and Outgoing Payments .............................. 36310.3 Posting Bank Charges ................................................. 36910.4 Linking Invoices to Payments ...................................... 37010.5 Exercises ..................................................................... 371

11 Sales Opportunities .................................................. 373

11.1 Sales-Related Aspects in Small and Medium-Sized Businesses .................................................................. 374


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11.2 Sales Opportunities — Setup ..................................... 37411.3 Sales Opportunities — Managing Sales

Opportunities ............................................................ 37911.4 Sales Opportunities Reports ....................................... 38611.5 Exercises .................................................................... 392

12 Service ...................................................................... 395

12.1 Service Structure Components ................................... 39612.1.1 Service Contract as the Basis .......................... 39612.1.2 Service Calls as Daily Contact to Customer .... 40112.1.3 Customer Equipment Card — Managing

Customer Equipment ..................................... 41512.1.4 Solutions Knowledge Base as a By-Product .... 41712.1.5 Service Reports ............................................. 420

12.2 Exercises .................................................................... 424

13 Human Resources ..................................................... 427

13.1 Human Resources Management in SMBs ................... 42813.2 Employee Master Data ............................................... 42813.3 Human Resources Reports ......................................... 43113.4 Exercises .................................................................... 432

14 Highlights in SAP Business One .............................. 433

14.1 Drag & Relate ............................................................ 43314.2 Exporting to Microsoft Excel ...................................... 43714.3 Customizing Options .................................................. 44014.4 Change Log ................................................................ 44414.5 Exercises .................................................................... 446

Appendix .................................................................. 447

A SAP Business One at a Glance .............................................. 449A.1 Shortcuts ................................................................... 449A.2 Icons and Buttons ...................................................... 451A.3 Document Abbreviations in SAP Business One ........... 454

B The Author ........................................................................... 457

Index ........................................................................................... 459


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The main elements of the sales process in small and midsize enterprises are the pre-sales phase, order processing and order filling, invoicing, and dunning. This chapter deals with these elements of the sales process.

6 Sales

We will now add the fourth piece to our Introduction to SAP BusinessOne jigsaw puzzle by looking in this chapter at the whole area ofSales.

Figure 6.1 Introduction to SAP Business One: Fourth Piece of the Jigsaw Puzzle

This chapter starts by seeing where sales fit into the overall businessstructure. It then presents the sales-specific differences between thestructure of sales documents and purchasing documents. Because thedocument structure is quite similar to that of purchasing, and thisarea has already been covered in detail in Chapter 5, Purchasing, thischapter focuses on the differences and sales-specific characteristics.

SAP Business One Basic

ProgramOperation

Master Data Purchasing

Sales


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Similarly to the structure of Chapter 5, this chapter then goes on topresent an overview of the sales document chain and the specificcharacteristics of the individual document levels. The chapter alsofocuses on the system of gross profit, which is a costing-based indi-cator of sales success. The chapter closes with a look at sales reports.

6.1 Business Aspects of Sales

Although their meanings overlap, the business concepts of turnover,sales, and sales and distribution in small and medium-sized (SMB)enterprises refer to different activities within the enterprise. Turn-over is a generic term for the selling of goods and services by anenterprise, while sales and sales and distribution are sub-areas of theoverall sales process. Sales comprises all activities that have as theirgoal the economic and legal transfer of goods and services fromseller to buyer. This includes the completion of a contract, order pro-cessing, packaging, and shipment. Sales and distribution, for its part,deals with the technical aspects of service consumption needed forthe sale to happen in the first place. With this difference in mind,this chapter deals with sales, while sales and distribution form thesubject of Chapter 11, Sales Opportunities.

6.2 From Sales Quotation to Incoming Payment

The sales process in SAP Business One leverages a high degree ofintegration between the individual sales document levels, as well asclose links between purchasing and warehouse management. Thesales document chain contains the following document levels:

1. Sales quotation

2. Sales order

3. Delivery (for inventory items only)

4. If required: returns (reverse of delivery, for inventory items only)

5. A/R invoice

6. If required: A/R credit memo (reverse of A/R invoice and delivery)

7. Incoming payment


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From Sales Quotation to Incoming Payment 6.2

Apart from the incoming payment level, located in the Banking mod-ule, the structure of the windows is very similar. Therefore, in thefollowing sections, we will present their individual characteristics inrelation to a document level. Any minor differences with documentlevels in the purchasing area are presented separately.

Program operation in the document window is based on the sameconcept as described in Section 3.4. When the window is opened, itis in Add mode. Once you have entered all the required data, click onthe Add button to create the document (for example, the sales quota-tion). To call existing documents, click on the button (Find DataRecord) or press Ctrl + F to switch to Find mode.

You also can browse the document using the data record buttons (seeFigure 3.4.2). Because the most recently created document has thehighest document number, you can go to this document very quicklyby clicking the (Last Data Record) button. As soon as you modifyan existing document, the button in the lower left-hand part of thescreen changes from OK to Update. Click on this button to confirmthe changes you have made. Then, click on OK or Cancel to close thedocument window.

6.2.1 Document Header

The structure and functions of the document headers of sales docu-ments are similar to those of purchasing documents. One differenceis that, in the Sales Quotation document level, the usual DeliveryDate field is replaced by the Valid Until field, which is used to spec-ify the validity period of a quotation. This is the date until which thecustomer can place an order under the conditions specified in thequotation.

6.2.2 Document Body

All functions in the sales document body and their uses are basicallyidentical to those in the document body of the Purchasing module.

Note

When you switch to Find mode, the cursor automatically jumps to theDocument Number field, because the document search is often based onthe document number.


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For this reason, we will deal here either with functionality thatoccurs in sales documents only, such as Availability check of inven-tory items and Create a purchase order from a sales order. We’llalso describe those that are more frequently used in sales documentsthan in other documents, such as List of last prices and Summarizedocument rows.

“Contents” tab The order of items in the Contents tab is more or less the same as theorder in purchasing documents. All columns and fields that you needto add from the pool can be added using the button (Form Set-tings) in the Table Format tab.

Availability check SAP Business One provides an efficient instrument for quickly check-ing the availability of an item used in the document row. You canswitch this functionality on or off by checking or unchecking theActivate Automatic Availability Check checkbox. The menu path toreach this is Administration � System Initialization � Document Set-tings � Per Document tab � “Sales Order” document). Figure 6.2 illus-trates these parameters.

The availability-check function is activated by default and is visible inthe document row in the sales order. As soon as you use an item inthe document row whose available stock is in danger of falling belowzero because of the sales order that has just been created, the avail-ability check is activated. A window then opens, as shown in Figure6.3, where you now have a range of options.

Figure 6.2 Document Settings: Activate Availability Check


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Figure 6.3 Availability Check in “Quantity” Field (Sales Order)

In the example shown in Figure 6.3, the Quantity Available is madeup of the following figures: In Stock (2 items) — Committed (5 items)+ Quantity Ordered (9 items) = Quantity Available (6 items). Becausethis situation could cause a delivery bottleneck later on, the auto-matic availability check is started. As you can see in the Item Avail-ability Check window shown in Figure 6.3, you have five optionshere:

� ContinueBy choosing this option, you ignore the possible bottleneck andreturn to the document.

� Change to Available QuantityThis option automatically uses the available quantity so that thequantity does not fall below zero.

Tab Key in “Quantity” Field


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� Display Quantities in Other WarehousesDisplays the Warehouse quantity of the selected item in otherwarehouses.

� Display Alternative ItemsIf alternative items were created for this item, this option lists thealternative items based on their percentage similarity with theoriginal item.

� Delete RowThis option removes the checked row.

Select one of these options and confirm the item availability check byclicking the OK button.

Last prices The quotation is the most important document level from the salespoint of view. SAP Business One supports the pre-sales phase in par-ticular, especially by means of the Opportunities module, describedIn Chapter 11, Sales Opportunities). For this reason, the Last PricesReport is provided as a useful tool for pricing in sales quotations. Atthe touch of a button, this report provides you with an overview ofthe last prices you assigned to the selected items, sorted by businesspartner and sales document level.

To call the Last Prices Report, use the Ctrl + Tab key combination inthe Price After Discount field (see Figure 6.4).

This report can also be called using the menu path: Inventory �

Inventory Reports � Last Prices Report. If this report is called directlyfrom within the sales quotation, the BP Code (business partner code)and Item No. fields are pre-populated. In Figure 6.4, the contents ofthese fields are business partner “C23900” and item number“LM4029,” and only the information relevant to these fields is dis-played.

Example

You need to create a sales quotation for a high-profile customer. The priceof each item requested is negotiable. To ensure that you are offering thecustomer consistently good terms, you quickly compare the prices thatyou assigned to this item in your last three quotations.


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Figure 6.4 Last Prices Report Called from Sales Quotation

Besides selecting or pre-selecting the business partner and item num-ber, the Last Prices Report window also allows you to specify the fol-lowing options (see Figure 6.4 in each case):

� Sales document levelThe upper left-hand side of the window contains a list of all possi-ble sales document levels, from A/R Invoices to Delivery Notes,Sales Orders, and Sales Quotations. Check the levels for whichyou want the prices of the selected items to be displayed.

� Display number of last pricesIn this field in the middle of the window, enter the number of pastprices that the report should return. The default value for this fieldis 10.

� Special Prices checkboxCheck this box to also display the last-used special prices for thisitem.

Ctrl + Tab Keys in “Priceafter Discount” Field


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� Date, QuantityThese fields also refer to special prices in cases where scale pricesand a validity period are relevant to this item.

� Document columnThis column displays the document type with the internal SAPBusiness One ID of the document level. The Appendix in Section15.2.3 contains a list of these document IDs. The historical docu-ment number is shown to the right of each document ID. Click onthe orange-colored arrow in this column to call each docu-ment.

� Date columnThis column displays the date of the document.

� Quantity columnThis column displays the quantity of the selected item in the his-torical document.

� Price after DiscountThis displays the historical price of the selected item.

Summarizingdocument rows

With the Summary Type, SAP Business One gives users the option ofsummarizing document rows by similar characteristics. The Sum-mary Type field is located in the upper right-hand area of the Con-tents tab (see Figure 6.5).

This summary function can be used for documents with the Itemdocument type only, and has two forms:

� By ItemsAll document rows with the same items are summarized to form asingle document row. However, document rows can be summa-rized only if the properties of the item rows are the same. Thisapplies first and foremost to item number, item description, price,and warehouse. If all these properties are the same in all itemrows, the individual quantities are totaled, and only a single itemrow remains after the summarizing has taken place.

Example

The example in Figure 6.4 shows that a planned price of USD 400.00 forthe selected item LM4029 for business partner C23900 is not consistentwith past prices. The item has previously been offered at USD 500.00, asthe sales quotation (QU 8) and both sales orders (OR 5 and 7) show.


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� By DocumentsAll document rows with the same base documents are summa-rized to form a single document row. All item-specific fields arehidden in this case. This summary type cannot be used for the firstdocument level (that is, sales quotation).

Figure 6.5 Summary of Document Rows

The document summary function is useful in the case of a documentthat is created from multiple base documents with multiple docu-ment rows. The document can also be printed in this summarizedform. If summary “by items” is used, item rows that are the same aresummarized into one row to maintain the clarity of the document.

“Logistics” tabThe Sales Order document level provides a special function in addi-tion to the usual fields we already have explained for the purchasing

Example

For a customer, you create a delivery note consisting of four similar salesorders, each with 10 document rows. Before summarizing, the deliverynote would have 40 document rows. After summarizing, this number isconsiderably smaller. Because the customer uses the delivery note tocheck the delivery, there cannot be four versions of an item row.


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documents. This function enables you to create a valid purchaseorder directly from within the sales order. To do this, fill the Pur-chase Orders checkbox in the Logistics tab. Once you have added thepurchase order, the Purchase Order Confirmation window opens, asshown in Figure 6.6.

Figure 6.6 Purchase Order Confirmation Started from Sales Order

The Purchase Order Confirmation window is subdivided into theOrder table on the left-hand side and the Purchase Order table onthe right-hand side. The Order table displays all item data of the salesorder that you just created, and contains the following columns:

� BP CodeThis column shows the business partner code of the preferredvendor who is entered for this item in the Purchasing tab underItem Master Data (see Section 4.6).

� WarehouseThis column indicates the warehouse to which the vendor deliversthe item. By default, the same warehouse is used as in the salesorder you just created.

� Item No., Quantity, Price after DiscountThese columns display the corresponding item attributes from thesales order.

The item rows in the Order table are grouped into the columns fromleft to right. First, all item rows with the same preferred vendor aresummarized, then all item rows with the same warehouse, and last


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all item rows with the same attributes. The total of the quantities isadded up at the top of each tree structure. This means that the totalis displayed after the warehouse and the preferred vendor item rows.You can open and close the tree structure in both windows by click-ing Expand and Collapse, respectively. You can do the same for eachrow by clicking on the orange-colored triangle . You also have theoption to change the quantity and the price in each item row and tochange the warehouse and the preferred vendor. If the preferredvendor is changed to a vendor that already exists in this table, theitem rows of this preferred vendor are added to the existing one.

You can now transfer the proposed item rows in the Order table onthe left-hand side to the Purchase Order table on the right-hand side,either individually or as a group. To do this, select the required itemrows on the left-hand side (use the Ctrl or Shift key to select multiplerows). The warehouse and preferred vendor rows are automaticallyselected. Then, click on the button to assign the selected itemrows to the purchase order (see Figure 6.6). To transfer all proposeditem rows to the purchase order at the same time, use the button.

This method also works in reverse. Select the item row you requirein the right-hand Purchase Order table and click on the button.Use the button if you want to delete all item rows from the pur-chase order at the same time. Use the and buttons to changethe order of item rows in the table; that is, to move individual itemrows up or down. Finally, click on the Add button to create the pur-chase order. One purchase order is then created for each preferredvendor. This purchase order has the corresponding sales order as itsbase document. From within the purchase order, you can click onthe (base document) button to open this sales order.

Alternatively, you can cancel the purchase-order creation process. Ifyou want to carry out this process from within the sales order againat a later date, simply open the sales order, de-select and re-select thePurchase Orders checkbox on the Logistics tab and click on theUpdate button. The system then reopens the Purchase Order Confir-mation window.

You can check the Split Purchase Order box in the upper right-handpart of the window to create one purchase order per warehouse. TheCreate Draft Doc. option creates a draft version of the purchaseorder that you can call up again and add later.


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“Accounting” tab The Accounting tab contains the same fields as the A/P Invoice doc-ument level. The Journal Remark field allows you to you enter aposting text for the A/R invoice posting. The document type (A/Rinvoice) and the customer number are specified by default here.

Invoice withinstallment

payments

In Section 4.4, we saw how a due date with multiple installments canbe incorporated into payment terms. We will now demonstrate howto set up a situation where a buyer can pay an A/R invoice in install-ments. In the Accounting tab, apart from the Payment Terms, thenumber of Installments is shown in the field of the same name (seeFigure 6.7).

Figure 6.7 A/R Invoice with Installment Payments

If you select payment terms with installment payments, the install-ments are calculated immediately and automatically. Click theorange-colored arrow next to the Installments field to open theInstallments window with the set installments and due dates. In the


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example in Figure 6.7, a payment with six installments is defined,with the installments payable at monthly intervals. Every installmentrepresents 15% of the total payable amount, except for the lastinstallment, which is 25%.

You also can use the Installments window to change all the settingsbefore adding the A/R invoice. In other words, besides the Numberof Installments, you can also change the Due Date, the Percentage,and the Total. After you add the A/R invoice, on the other hand, theonly option open to you is to change the Due Date. If you select theApply Tax in First Installment option, the tax due on the wholeamount of the document, plus the 15% net amount, is due with thefirst installment. The remaining net amount is then distributed overthe remaining installments in accordance with the specified percent-ages. The Apply Tax Proportionally option, on the other hand, sim-ply distributes the gross amount across the installments in accor-dance with the percentages.

6.2.3 Document Footer

SAP Business One enables you to create what are known as zero deliv-ery notes and zero invoices in the sales document chain. These aredelivery notes and invoices with the document total zero. After youadd these, the system outputs the system security message shown inFigure 6.8.

Figure 6.8 Security Message with Document Total Zero

Click Yes to add the document despite the zero total.

Example

If you offer your customers free samples or goods, these are usually deliv-ered with a delivery note or an A/R invoice. A zero delivery note or zeroinvoice is used in such a case.


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6.2.4 The Sales Document Chain

Chapter 5, Purchasing, and Section 6.2 already dealt in detail with thestructure and functions of the individual document levels. Section5.2.5 thoroughly explained the further processing options betweenthe document levels. Now, in this section, we will deal with thesales-specific characteristics. First, we will look at where the individ-ual documents fit into the sales document chain overall. Then, wewill deal with the characteristic differences between the sales and thepurchasing areas.

Figure 6.9 provides an overview of the sales document chain.

Figure 6.9 Sales Document Chain

Document chain The sales document chain consists mainly of elements that are basedin the Sales module: sales quotation, sales order, delivery, A/Rinvoice, returns, and credit memo. The exception is the IncomingPayments window, which is located in the Banking module. In termsof content, however, it belongs to Purchasing, as the purchasingchain is completed only once the purchase is paid for. Section 10.2deals in detail with the functions and uses of incoming payments.

The basic structure of the document chain in SAP Business One isvery flexible. It enables you to start the document chain at any pointyou like, and also to resume it at any point without having to repeatall the levels in the chain.

Credit Memo

Return

IncomingPayment

A/RInvoice

SalesOrder DeliverySales

Quotation

Example

You do not have to start the document chain with the sales quotation.You also can start with the sales order, the delivery, or the A/R invoice.Also, a sales order does not necessarily have to be followed by a delivery.You also can create an A/R invoice directly from a sales quotation or asales order.


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Further processing of documents

Table 6.1 contains an overview of the options for “pushing forward”and “pulling forward” elements to the individual document levels ofthe sales document chain. It also describes the specific features ofindividual levels.

Like Purchasing, Sales is closely linked to the Inventory and Finan-cials modules. Which of the latter two modules is more involvedwith Sales depends on whether the items used in the document lev-els are inventory items or non-inventory items. This is determined bywhether the Inventory Items checkbox in the Item Master Data win-

Document Level

Copy From (Base Document)

Copy To (Target Document)

Specific Features

Sales quota-tion

– Order, delivery, reserve invoice, A/R invoice

Quotation can be modi-fied after being added

Sales order Sales quotation Delivery, reserve invoice, A/R invoice

Purchase order can be automatically created and can be modified after being added

Delivery Sales quotation, sales order, returns, reserve invoice

Returns, A/R invoice

Document cannot be modified after being added

Returns Delivery Goods receipt Document cannot be modified after being added

A/R invoice Sales quotation, sales order, deliv-ery

Credit memo Document cannot be modified after being added; instant payment possible, reference to document with subse-quent document num-ber

Credit memo A/R invoice – Document cannot be modified after being added

Incoming payment

A/R invoice – Document cannot be modified after being added

Table 6.1 Sales Document Processing


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dow is checked. Table 6.3 explains the effect of each individual doc-ument level on inventory quantity and accounting.

The sales order leads only to a reduction in the available quantity; itdoes not modify the inventory quantity. In other words, it reservesthe quantity, but does not post it. Thus, nor is there any journal entryfor sales orders. With a delivery, the actual inventory quantity isposted, and the value-based goods usage reposting is posted inAccounting to the goods-usage account and the inventory account.

The Returns document level is simply the reverse of this process. Ifno delivery is created and the sales order is processed directly in theA/R invoice, the inventory quantity reduction and the automaticgoods usage reposting do not take place until the A/R invoice docu-ment stage. On the A/R invoice level, the delivery is created in

Document Level

Effect on Inventory Manage-ment (Quantity)

Effect on Accounting (Value)

Sales quota-tion

No inventory movement and no reservation

None

Sales order No inventory movement, increase in confirmed quantity, leading to reduction in available quantity (see Item Master Data window, Inventory Data tab, Section 4.6)

None

Delivery Reduction in inventory quantity Automatic cost of goods sold posting

Returns Increased inventory quantity Retroactive posting of cost of goods sold posting

A/R invoice No inventory movement if pre-ceded by goods receipt, other-wise reduction in inventory quan-tity

Posting of receivables on cus-tomer’s side, revenue post-ing, and automatic cost of goods sold posting if not pre-ceded by goods receipt

Credit memo Increase in inventory quantity if not preceded by returns

Retroactive posting of receiv-able, revenue correction, and retroactive posting of cost of goods sold posting (if not preceded by returns)

Incoming payment

No inventory movement Clearing of receivable on cus-tomer’s side; increase in cash

Table 6.2 Sales Document Effects on Inventory Quantity and Accounting for “Inventory Items“


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advance, and all that remains to be done is the value-based posting ofthe receivable on the customer’s side. With credit memos, both thedelivery process and the A/R invoice are (partially) reversed. In otherwords, the receivable on the customer’s side is cleared, the inventoryquantity is increased again, and the goods-usage reposting is retroac-tively posted. The incoming payment clears the customer receivable;it has no effect on value-based and quantity-based inventory man-agement. Section 9.2 provides an overview of the automatic journalentries in the sales chain.

Table 6.3 shows the effects on accounting of the individual sales doc-uments that contain only non-inventory items.

There are no value-based and quantity-based inventory movementsfor non-inventory items. Thus, the delivery document level isskipped in its entirety. Accordingly, the posting of the receivable forthe remaining document levels (except for quotation and sales order)is started automatically.

Reserve invoiceThe A/R reserve invoice has a special position within the sales docu-ment chain. If you issue a reserve invoice to a customer, this altersthe usual sales-document chain. Figure 6.10 illustrates this modifieddocument chain.

Figure 6.10 Sales Document Chain with Reserve Invoice

Document Level Effect on Accounting

Sales quotation None

Sales order None

A/R invoice Posting of receivable on customer’s side, revenue posting

Credit memo Retroactive posting of receivable on customer’s side, revenue posting

Outgoing payment Clearing of receivable on customer’s side, increase in cash

Table 6.3 Sales Document Effects on Accounting for “Non-Inventory Items“

Credit Memo

IncomingPayment

ReserveInvoice

SalesOrder DeliverySales

Quotation


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The difference to the normal sales document chain is that the reserveinvoice is issued directly after the sales order. This is then followedby the delivery from the warehouse and the goods issue. The reserveinvoice can be regarded as the reverse of the credit memo. The salesprocess is completed by the delivery and the incoming payment; thatis, the payment of the reserve invoice. In practice, it is very commonfor the delivery to be made to the customer only when the incomingpayment has been made and received. However, the variant shownin Figure 6.10, in which the incoming payment is made only afterthe delivery, is also possible.

6.2.5 Other Sales Functions

This section describes other sales-specific features besides the stand-ard functions of the sales document chain. These include A/R invoice+ payment, document date check, the Document Generation Wiz-ard, consolidation of sales documents, and drop shipment.

A/R invoice andpayment

A/R invoice and payment is another document type used differentlythan in the classic sales document chain. This document type is usu-ally used only for casual customers; that is, customers not part ofyour company’s regular customer base. Therefore, the A/R invoiceand payment document type does not require you to create a cus-tomer in the Business Partner Master Data window. All you need isa dummy customer, which you have to create in the business partnermaster data. This customer functions as a “normal” customer. Onceyou have created the dummy customer, you have to define it as suchin the Default Customer for A/R Invoice + Payment field underAdministration � Setup � Accounting � G/L Account Determination•Sales / General tab (see Figure 6.11, left-hand window).

Use the Tab key to open the Business Partner Selection List andselect your dummy customer from this list. This customer is auto-matically inserted into the Customer and Name fields when the A/RInvoice and Payment window is opened. You can now change the

Note

A reserve invoice only can be created using the document type Item,because only in this case does it make sense to reverse the documentchain. In the case of service documents, there is no delivery, and so it issufficient to create an A/R invoice.


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Name field and enter the actual name of the customer, so that theactual name is also shown on the printout. Naturally, this name isnot written back to the business partner master data. Other thanthese steps, you handle the A/R Invoice and Payment window as youwould in the classic A/R invoice scenario.

Figure 6.11 Defining Dummy Customer and Using It in A/R Invoice and Payment Window

The only exception arises after you add the A/R invoice: The A/Rinvoice in this case is paid directly after it is added. The PaymentMeans window is opened automatically when you select the pay-ment method and the amount, as shown in Figure 6.12.

With casual customers, payments are usually made in cash, and sowe will now look briefly at the Cash payment means. Section 10.2deals in detail with the topic of incoming payments.

G/L Account Determination

A/R Invoice and Payment


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Figure 6.12 Cash Payment Means: A/R Invoice and Payment

The Payment Means window is automatically opened after the A/Rinvoice is added. Then, proceed as follows:

1. Select the tab for the required payment means, which in our caseis Cash.

2. Position the cursor in the Total field.

3. Using the key combination Ctrl + B, copy the total amount of theinvoice to this field.

4. Confirm your entries by clicking the OK button. The PaymentMeans window is then closed and you are taken back to the A/Rinvoice window.

5. Click on the button Add in the A/R Invoice window to create theA/R invoice.

When the invoice is added, the postings for the A/R invoice and theincoming payment are sent in the background (see Tables 6.2 and6.3).

Documents withlater posting date

If you want to add an A/R invoice or a delivery note, but there arealready documents in existence with later days and lower documentnumbers, the system outputs the message shown in Figure 6.13.


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Figure 6.13 System Message Output When Document with Earlier Posting Date is Created

Legal requirements dictate that document numbers be sequential,without gaps, in increasing order, and chronological; in other words,each date has to be later than the previous one.

Document Generation Wizard

The Document Generation Wizard (Sales � Document GenerationWizard) is a tool for automatically creating target documents fromexisting, open base documents. The wizard supports you in thisprocess by taking you through the steps involved in creating a docu-ment and selecting a range of parameters.

The documents are automatically created in the following eightsteps:

1. Step 1 of 8 — document creation options: Choose one of theoptions New Parameter Set or Existing Parameter Set (see Figure6.14). The parameters from all steps in the Document GenerationWizard are saved once you have used the wizard for the first time(with the New Parameter Set option). From the second useonwards, you can then choose either option; that is, start a newparameter set or call an existing one. The latter option enables youto reuse an existing selection.

For the New Parameter Set option (Figure 6.14, first option), cre-ate a suitable Name and an explanatory Description, and click onNext. For Existing Parameter Set (Figure 6.14, second option),select the existing parameter set from the table, and click on Nextas before.

Example

Once a month, you want to create a single A/R invoice for all deliverynotes created in that month that are still open. Alternatively, you want tocreate a collective delivery for a specific customer from all open salesorders for this customer.


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Figure 6.14 Document Generation Wizard Step 1: Two Document Generation Options

The Next and Back buttons take you a step forward or back in theprocess, respectively, or you can close the wizard at any time byclicking on Cancel.

2. Step 2 of 8 — target document: Select a range of options to do withthe target document:

� Target document: for the target document, choose sales order,delivery, returns, or A/R invoice.

� Posting date, document date: choose the required dates for thetarget document.

� Series: Choose a document number series from the list of val-ues. The next free document number in this series is used forthe target document.

� Item or service: Check the relevant document type and selectwhether you want to summarize the document rows.

� Exchange rate: In the case of foreign-currency documents,select whether the currency of the base document or the cur-rent exchange rate should be used.

Step 1: “New Parameter Set” Option

Step 1: “Existing Parameter Set” Option


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� Create draft documents: Check this box if you want to save thedocuments you create in draft format rather than adding themright away.

3. Step 3 of 8 — base documents: In this step, select all parametersthat are relevant to the base document. On the left-hand side of thescreen, check the base documents that you want to use as a basisfor new target documents. On the right-hand side of the screen,you can restrict the selection of base documents by posting date,delivery date, document number series, and so on.

4. Step 4 of 8 — consolidation options: If you select the No Consoli-dation option, one target document is created per base document.Select the Consolidate By: option to summarize the target docu-ments by the criteria underneath them. By default, the SystemDefaults option is checked automatically. This option consolidatesthe target documents by base document type, customer, and itemtype or service type. You can also select other consolidationoptions such as recipient name, payment terms, payment means,and extended consolidation options such as sales employee,among others.

5. Step 5 of 8 — customers: Select the customers for whom you wantto create target documents. To do this, click on the Add Custom-ers button, as shown in Figure 6.15.

Figure 6.15 Document Generation Wizard, Step 5: Select Customers


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The Business Partners — Selection Criteria window opens. Here,use the Tab key in the Code From and To fields to select the busi-ness partners for which you want to create target documents. Youcan also restrict your selection by Customer Group and even Prop-erties. Confirm your selection by clicking on OK. The selected cus-tomers are then entered into the table. You can now continue byselecting or deselecting customers, if required.

6. Step 6 of 8 — messages and alerts: Select how you want to handlemissing data and its effect on accounting and inventory manage-ment. The default option here, which is pre-set, is Go to Next Doc-ument. This option is the recommended one. Alternatively, youcan go to the next customer automatically or request a confirma-tion from the user if an error occurs.

7. Step 7 of 8 — save and execute options: At this point, you can runthe wizard, save and execute the parameter sets, or save and closethe parameter sets (you may execute them at a later stage).

Before the last step, SAP Business One notifies the user by meansof a system message — shown in Figure 6.16 — that he or sheshould back up the database at this point. This data backup shouldbe made by a key user or with the support of a consultant or data-base administrator. Click on the Yes button to start generating thetarget documents.

Figure 6.16 Document Generation Wizard: Message About Database Backup

8. Step 8 of 8 — summary report: After the target documents aregenerated, a summary report like the one in Figure 6.17 is dis-played.


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The result of our sample scenario — as shown in Figure 6.18 — isthat delivery 120 (target document) is created on the basis of salesorders 14, 15, and 16 (base documents).

Figure 6.17 Document Generation Wizard Step 8: Summary Report

Consolidating sales documents

Non-standard business partners can be assigned in the ConsolidatingBP field in the Accounting — General tab in the Business PartnerMaster Data window. These business partners can then handle A/Rinvoices or payments if a delivery consolidation or payment consoli-dation process in the sales chain is carried out. For a detailed over-view of how to define business partners, see the treatment of busi-ness partners in Section 4.3, particularly in Tables 4.5 and 4.6.

We will now look at the effects of the example created from thesources mentioned above. For the purposes of this example, we willuse customer 20000 (Norm Thompson), and the consolidation part-ner that is entered for this customer: C40003 (Stoneware Systems).We will also use the delivery consolidation function, and the deliv-ery note, A/R invoice, and incoming payment documents. Take alook at Figure 6.19 to remind yourself how to define a business part-ner.


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Figure 6.18 Result of Document Generation Wizard: Delivery 120

Figure 6.19 Delivery Consolidation for Customer C20000: Norm Thompson

Base Documents

Target Document


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The Consolidating BP field shows the business partner for which theA/R invoice can be additionally created in the delivery consolidationprocess. The Delivery Consolidation option is selected.

Figure 6.20 shows the delivery note created for customer C20000:Norm Thompson.

Figure 6.20 Delivery for Customer C20000

If an A/R invoice is subsequently created on the basis of the deliverynote shown in Figure 6.20, the original business partner C20000(Norm Thompson) and the consolidation partner entered as C40003(Stoneware Systems) can be used in the delivery consolidation pro-cess.

Figure 6.21 clearly shows that both the original business partnerfrom the delivery note (C20000, Norm Thompson, left-hand win-dow) and the consolidation partner (C40003, Stoneware Systems)can further process the delivery note.

Example

Your customer, C20000 (Norm Thompson), commissions you to deliverprinters. However, the invoice and payment are handled by the parentcompany of C20000, customer C40003 (Stoneware Systems).


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Figure 6.21 Consolidation Based on A/R Invoice

The List of Deliveries window in Figure 6.21 opens after you click onthe Copy From button. This window shows that delivery note 121from Figure 6.20 can be copied to the A/R invoice for each businesspartner. The final incoming payment in each case can then be madeonly by the business partner named in the A/R invoice as the busi-ness partner.

Drop shipment A drop shipment is a transaction in which your company acts as theagent and executor of the transaction, but never stores the goodsitself.

Note

If the document is “pushed” (Copy To button in Delivery window), theoriginal business partner is used. Only when the document is “pulled”(Copy From in A/R Invoice window) can the user choose between theoriginal business partner and the consolidation business partner. What ismore, the consolidation function works only if the sales document chainremains “closed.” In other words, you cannot select a non-standard busi-ness partner in the A/R invoice if no delivery note has been created.


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In practice, this means that you accept a sales order and, at the sametime, place a purchase order with your vendor for the same goods.Unlike a conventional transaction, your vendor does not deliver thegoods to your warehouse; instead, the goods go straight to your cus-tomer’s warehouse. For this reason, no inventory movement is trig-gered in SAP Business One; only a value-based posting is made; thatis, a payable to the vendor or a receivable to the customer.

A prerequisite for a drop shipment in SAP Business One is that awarehouse first has to be defined as the warehouse for the transac-tion. To do this, check the Drop Ship checkbox for the relevant ware-house, as shown in Figure 6.22.

Figure 6.22 Defining Warehouse for Drop Shipment

The warehouse for the drop shipment is not actually used; it func-tions merely as a dummy warehouse for the sales order, the purchaseorder, the delivery, and the A/R invoice.

The drop-shipment process comprises the following general steps:

1. Create a sales order with the required items, and use the drop ship-ment warehouse for the item rows.


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2. After you add the sales order, the Order Confirmation windowopens. Transfer all item rows to the Order table, and add the pur-chase order.

3. The delivery is made directly from the vendor to the customerwithout any involvement of your warehouse. As soon as the deliv-ery is completed, create the A/R invoice for your customer on thebasis of the sales order. The drop-shipment warehouse is retainedup to the A/R invoice stage.

4. As soon as the incoming invoice is received and paid, and yourcustomer pays the A/R invoice, the drop-shipment process iscompleted.

6.2.6 Gross Profit as a Sales Indicator

Useful informationabout gross profit

In the sales area, it is essential to have an indicator that providesinformation about the degree of success of a sales transaction, andthe degree to which success or failure has contributed to the com-pany’s overall results. In SAP Business One, just such an indicator ofsales success is gross profit.

Gross profit, or gross revenue, is a measurable indicator of success atthe lowest level of the enterprise. This is because the minimum con-tribution that each individual sales transaction can make to the enter-prise is to cover its costs. If possible, it should also make a profit.

Gross profit is calculated as revenue minus the (directly attributable)material costs of a sales transaction. If the gross profit is positive, itcontributes to covering other costs in the enterprise. If it is negative,this is an alarm signal that the material costs of this sales transactionhave exceeded any profit made. In a retail enterprise, this wouldmean that the sales price of the sold goods would be less than thecost price (which equals the purchase price plus purchase costs), Inother words, you would buy the goods at a higher price than that atwhich you sell them on to your customers. In normal business oper-ations, this should occur in exceptional cases only; for example, if thesale in question is a particularly prestigious one that will enhanceyour company’s reputation, or will open up the possibility of furthersales, or help to ward off competitors.

Naturally, the actual sales revenues calculated from the gross profitare determined by the sales price. The sales price, for its part, is set in


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negotiations with your customer, or in periodically-issued price lists,and is usually based on the market price built around the interactionof supply and demand. The material costs depend on the nature ofyour company’s business.

� Retail companiesIn retail companies, the material costs are the cost prices (or itemcosts) of the purchased goods. The cost price of a good is calcu-lated on the basis of its purchase price plus purchase costs. Pur-chase costs are all the costs that are incurred in obtaining a goodfor your company, such as transport, insurance, customs, andcharges. Because these costs are incurred specifically to purchasethis good, they are included in the calculation of the value of thegood at goods receipt, and are not classified as another operatingcost of the enterprise. This approach also makes sense because thecosts incurred by the retail good must also be recouped in the saleprice of this good. It seems logical that a good with the same pur-chasing price costs more when it is purchased from Tokyo thanfrom Detroit, because the purchasing costs of goods from Tokyoare considerably more than those from Detroit. SAP Business Onetakes this situation into account in its calculation of item costs inthe purchasing area, based on the purchasing price and the addi-tional outlays (purchasing costs).

� Service companiesIn service companies, there are usually no material costs that canbe directly attributed to the sales transaction. The exception isexternal services, which are regarded as inventory items whenthey are defined, purchased, stored, and withdrawn from storagefor sale. The classic direct costs of a service provider are the man-hours required for a project (sales transaction). These hours areusually attributed to the sales transaction by means of aplanned/actual hourly charge calculation for partial or full costs.However, this calculation is not available in this form in SAP Busi-ness One. Instead, the planned service hours can be entered man-ually — for example, in a table calculation program — as the baseprice for gross profit calculation.

� Production companiesIn production companies, the material costs of the sales transac-tion arise from the costs of the produced good. Assigning a valueto production items in the production process is part of the Pro-


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duction module and is an advanced topic beyond the scope of thisintroductory book.

Gross profit in SAPBusiness One

In this section, we will use a comprehensive example to illustrate theprocess involved in calculating gross profit, from purchasing thegood to the sales order to delivery of the good.

Initial situation: OEC Computers has introduced a new product to itsrange, the Nokia N800 Organizer, which has a purchasing price ofUSD 200.00 and a standard sales price of USD 350.00. Twenty itemsof this good are purchased at the USD 200.00 price by means of anA/P invoice (see Figure 6.23).

Based on the A/P invoice (with automatic goods receipt), the inven-tory situation of the good is as follows: in stock: 20 items; ordered: 0items; committed: 0 items; available quantity: 20 items; item cost:USD 200.00, valued at the moving average price as the purchasingprice is the same (no purchasing costs!).

Figure 6.23 Purchasing Goods By Means of an A/P Invoice

After the purchase has been made, a customer commissions the pur-chase of a single Nokia device at a price of USD 350.00. The salesorder for this purchase is shown in Figure 6.24.


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Figure 6.24 Sales Order for One Item

To view the gross profit calculation for the entire document, openthe Gross Profit of Order window by clicking on the button(Gross Profit...) in the toolbar (see Figure 6.25).

Figure 6.25 Gross Profit for Entire Order

Note

Besides the quantity (1 item) and the item price (USD 350.00), the salesorder in Figure 6.24 also shows the Gross Profit Base Price (USD 200.00= item cost). This lets us calculate the actual gross profit from the informa-tion in the two right-hand columns: USD 150.00 (item price of USD350.00 minus item cost of USD 200.00 ). These two columns are hiddenby default. To display them, click on the button (Form Settings), thenselect the Table Format tab.


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You can modify the calculated base price by yourself in the GrossProfit window. If you have more accurate information on the mate-rial costs of the sales transaction that would yield a more accurategross profit figure, manually enter this new base price (materialcosts) in the Base Price field. You also have the option to modify thebasis of the calculation in the Base Price By field. Simply select a suit-able basis from the selection list. The default setting for base price(Item Cost; see Figure 6.25) is derived from the General tab in theDocument Settings window (Administration � System Initialization �

Document Settings). Fill the Calculate Gross Profit checkbox to acti-vate the gross profit calculation function for your company in gen-eral. From the selection list, select the calculation basis that — asshown in Figure 6.25 — can be modified in the Gross Profit windowof the Sales Order.

By definition, whatever calculation basis you select, can only be anapproximation. The actual gross profit can be determined only bymeans of a thorough final costing of the sales transaction. How muchthe advance calculation differs from the final costing depends on thetype of business. In a retail company with prices that do not fluctuategreatly, the error rate is lower than in a project-based company,where it is extremely difficult to calculate gross profit in advance.Therefore, it is important to select the calculation basis that bestapproximates the cost structure of your enterprise. SAP BusinessOne provides the following options on which to base your calcula-tion:

� Price listsAny price list can be used as a calculation basis. Purchase price listsare best suited for this purpose. If your company’s purchase pricesdo not fluctuate greatly, this option is without doubt the mostsuitable.

� Last purchase priceAfter every purchase is completed, the last purchase price for thisitem is written to the Last purchase price list. Particularly in casesof fluctuating purchase prices, you can use the latest price listedhere as a calculation basis.

� Last evaluated priceThis inventory valuation report (under Inventory � InventoryReports � Inventory Valuation Report) enables you to re-evaluate


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your current inventory during the year, using a variety of evalua-tion methods. The calculated inventory values of the evaluateditems are written to the Last evaluated price list. These newly-evaluated prices can then be used as a calculation basis for thebase price.

� Item costsItem costs are stock values that are continuously calculated inaccordance with the evaluation methods defined for the items(moving average price method, FIFO method), which aredescribed in detail in Section 7.3. Because you are legally obligedto use one of these methods to evaluate your inventory, thisoption is usually also very suitable for calculating your base price.This is the variant that we use in our example.

To demonstrate the effects on gross profit in sales orders, we willnow create another purchase of the same good, this time at a differ-ent price (see Figure 6.26).

Figure 6.26 Another Goods Purchase via A/P Invoice

This time, the 10 Nokia PDAs in Figure 6.26 will be purchased fromanother vendor at the cheaper price of USD 180.00 (instead of thelist price of USD 200.00). Correspondingly, the item master data forthe Nokia PDA now reflects the inventory situation shown in Figure6.27.


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Figure 6.27 Inventory Situation After Second Purchase

The inventory situation in Figure 6.27 clearly shows that 30 items(20 items from the first purchase and 10 from the second) are now InStock. One item in the sales order is Committed, and no furtheritems have been Ordered. However, much more interesting for ourpurposes is the Item Cost of USD 193.33, because this item was pur-chased more cheaply this time around. The item cost based on themoving average price is calculated in this case as follows: total itemcost (= 20 x USD 200.00 + 10 x USD 180.00 = USD 5,800.00) dividedby total quantity in stock (= 30 items). The result is USD 193.33.

The results of this are as follows. The calculation basis in the previ-ously created sales order is not touched, but can be manuallychanged. If you want to create a delivery note from the sales order,however, the actual item costs are included in the gross profit calcu-lation, as shown in Figure 6.28.

Figure 6.28 clearly shows that the latest item cost of the good, USD193.33, was used as the base price for the creation of the deliveryfrom the sales order. Correspondingly, if the sales price stays thesame, the gross profit increases in relation to the sales order.


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Figure 6.28 Goods Delivery: Adaptation of Base Price (Item Cost)

This means that by the delivery-document phase at the latest — orthe A/R invoice, if no delivery is created — the gross profit is fixedand can no longer be changed. To view the item costs, click on the

(Form Settings) button in the Delivery window to display theItem Costs column. If the delivery is further processed to become anA/R invoice, the base price is not changed, even if the item costchanges in the meantime due to new purchases or new evaluations.

The sales analysis report provides an overview of gross profitsachieved in the sales area. See Section 6.3 for detailed informationon this subject.

6.3 Sales Reports

SAP Business One provides reports in the Sales module that have awide range of selection criteria. This section deals with these reportsand their various criteria.


459

Index

Index

A

A.B.A numberbank name 362

A/P credit memo 121A/P invoice 121, 139, 167, 169,

210, 213, 243, 264, 314A/P reserve invoice 169A/R credit memo 180A/R invoice 180, 193, 315

payment 196payment means 197

A/R reserve invoice 195Absence 430Absence report 431Access to SAP Business One 24Account 308Account number 320Account type 321Activities overview

document 145Activity 83

attachment 86calendar 89document 145follow up 85linked document 85linking 87overview 87, 113, 114reminder 85source object number 86source object type 86subject 83type 83

Add mode 32Add-on 22, 362Addresses 63Adjust column width 37Aging

vendor liability 175Alternative item 104

define 105Amount for payment on account

367And link 172Asset comparison 309

Assets 306, 310Automatic batch creation 281Automatic posting 327Automatic purchase order 188Availability check 182, 183Average time until completion 422

B

Backgroundset 46

Backlog 167Backorder report 216Backorders 166Balance 308Balance due 365Balance sheet 306, 309, 310, 356

closing balance sheet 311opening balance sheet 311

Balance sheet comparison 357Bank

definition 362Bank charges 369Bank code 362Bank Identifier Code (BIC) 67Bank name 362Bank posting 325Banking 361Bar code 92Base document 163Base key 166Base price 215Base price list 247Base row 166Base type 157, 166Base unit 266Basic ref. 157Basic reference 166Basic user 13Batch numbers 280, 281

selection 282transactions report 302

Batchessetup 281

Billing 413Bill-to address 63


460

Index

Block negative inventory 102Blueprint 14BP catalog number 270, 271Business Partner

dunning date 73Business partner 55, 56

account balance 58activities 88address 63assign image 76code 54, 55contact person 62currency 57dunning level 73group 56opportunities 59price list 65properties 74remarks 75tax status 74type 55

Business partner catalog numbers 267defining 268

Business partner group 56Business partner report 113Business partners 53Buttons 451Buyer 140

C

Calculation mode for interest on arrears 221

Calendar 88Call status 402Capital 310Cash account 321Cash accounting 306Cash discount period 80, 81

define 81Cash discount term 76Cash flow report 357Cash posting 325Catalog numbers 267

update 270Category 322Cause 419Change log 444, 445

show differences 445Chart of accounts 318

active account 319add subordinate account 324confidential 320create account on same level 323editing 323exchange rate differences 322external code 320indexed 321level 320rate conversion 322relevant to budget 322title 319

Closing data of the balance sheetphysical inventory 288

Closing percentage 377Closing probability 377Closing remark 144Code for exporting 322Company

choose 25, 26Company details 112Company master data 111Company name 26Comparison of expenses and reve-

nues 309Competitors 386Configure 440Confirmed 165Consolidating sales documents 203Consolidation 70

delivery consolidation 70payments consolidation 70

Consultant 13Contact person 60, 61Context menu 42, 43Contract template 396, 399

coverage 398reminder 398renewal 398

Contract type 397Control account 72, 321Control account transfer 315Cost accounting 307, 348Credit Card Type 67Credit limit 66Credit memo 167, 193, 409Credits side 308Customer 53


461

Index

Customer equipment 415, 417Customer equipment card 415, 422

status 416Customers 73Customize 160Customizing 14Customs group 97Cycle count recommendations 294,

296

D

Dataalphanumeric 39numeric 39

Data record 32search 34

Data record buttons 34, 37, 38Data records

adding 32change 42duplicating 41remove 42

Database name 26Debits 308Debits side 308Debts 306Default valuation method 233

defining 236Default vendor 97Default warehouse 101Delivery 180, 193, 409

to the customer 411Delivery consolidation 72, 203, 204Delivery date 126Delivery note balance 58Deviating annual inventory 288Direct determination of consump-

tion 236Discount 80Discount group 260Disposition of funds 310Distribution rule 321, 350Document 155, 158

approved 137copy from 142copy to 142duplicate 142move back 154

move forward 154Document abbreviations 454Document chain

purchasing 152, 153purchasing with advance payment

169sales 192, 195

Document codes 332Document footer 140Document Generation Wizard 199,

200, 201, 202, 203, 204Document journal 355Document number 105

series 107, 108, 110Document numbers 107Document printing 149, 150Document processing 154, 193Document row 132, 133

summarizing 187Document row type 132Document status 124, 164Document type 111

several per series 106Double-entry accounting 309Drag & Relate 34, 433, 436Draw document wizard 160Drill-down function 29Drop ship 232Drop shipment 206, 207Drop-down list 43, 44Dummy customer 197Dummy warehouse 207Dunning 217

document processing 219print layout designer 219

Dunning date 226Dunning history overview 113Dunning history report 227Dunning letters

block 73, 226blocking 225

Dunning level 218, 226Dunning method 220Dunning run 217, 221Dunning term 66Dunning terms 219, 220Dunning Wizard 217, 222, 223Dynamic Opportunity Analysis 390

form settings 391


462

Index

E

Education 430Employee

department 429manager 429position 429role 430team 430team role 430

Employee list 431Employee master data 428

address 428education 431

Employmentstatus 430

EnterPassword 26user code 26

Enterprise SOA 20Entry screen 330Equality of debits and credits 312Exchange rate differences 348Expense 310Export

JPG format 439Microsoft Excel 437, 438TXT format 439XML format 439

F

Factoring indicator 59Federal tax ID 57Fee per letter 218Field 38Filing cabinet 318Filter table 34, 39, 40

rule 39value 39

Financial accounting 305, 317Find mode 33, 34First in – first out (FIFO) 240Fixed asset account 73Fixed assets 94Foreign currency posting 342Foreign currency revaluation 345Form setting 130

G

G/L account 135define 101determining G/L accounts 329

G/L account method 329General ledger 309General settings 44, 45Goods consumption account 313Goods inspection 230Goods receipt 121, 156, 157, 159,

167, 230Goods received not invoiced account

328Goods usage

posting 328Gross price 134Gross profit 208, 210, 211

calculation basis 212production companies 209retail companies 209service companies 209

Gross revenue 208Group calendar 90

H

Header account 315Hide quantity stored 291Hierarchies 253Hierarchies and expansions 258Highlighting prices 260House bank accounts 362Human resources 427

reports 431Human resources management 428

I

Icons 451Identity price method 242In stock 135, 165Inactive customers 113Inactive items 297Incoming payment 181, 193, 363Incoming posting 325Indirect determination of consump-

tion 235Initial quantities 288, 289


463

Index

opening inventory account 290Initial quantity 240, 242Insert predefined texts 144Insolvency 217Installation 24Installment payments 78, 79Installments 139, 190, 191Instant shortcut 29, 30, 31Interest 218Interest on arrears 221Interest range 382Interface 26Interim G/L account 362Inventory 229, 230

bridge 230transformation 230warehouse value 293

Inventory audit report 300, 301Inventory cycle 294Inventory data 99

available 100committed 99in stock 99item costs 100locked warehouse 100ordered 100

Inventory item 93Inventory posting list 297, 298Inventory quantity 291Inventory revaluation 286

Cost change 287revaluation type 287Stock debit/credit entry 287

Inventory status 298, 299Inventory status report 299, 300Inventory tracking 291Inventory transaction 284Inventory transfer 286Inventory unit of measure 101Inventory valuation 290Inventory valuation method 238

changing 237Inventory valuation report 302Inventory value 292Invoice 409Item availability check 183Item category 93Item cost 243

per warehouse 234Item group 93

Item list 297Item master data 34, 91, 239, 272,

295batch numbers management 280inventory data 100properties 104purchasing analysis 98

Item number 92Item properties 103Item query 297Item type 92, 398Items 91

J

Job title 429Journal entry 46, 330

canceling 336display in foreign currency 334display in system currency 334exchange rate 333frequency 341next execution 342origin 332reverse 334template 333template type 333transaction code 331valid until 342

Journal remark 138Journal vouchers 337

K

Key user 13

L

Language 60defining 45

Last prices report 184, 297Last purchase price 250Lead 53Level of interest 382Linked document 85Linking invoices to payments 370Liquidity 306Liquidity calculation 307Liquidity problem 217


464

Index

Location 232Losses 311

M

Main address 63Main menu 27Maintenance 230Management method 273, 280Manager 429Managing customer equipment 415Manufacturer 95Master data 49, 50

business partners 54create 50

Material cost 208Material flow 230Material receipt 230Maximum inventory level 101meetings 83Mfr catalog number 267Microsoft Excel 437Minimum balance 218Minimum inventory level 101Missing items 166Moving average price 239Multi-language support 94My activities 113My closed opportunities 388My open opportunities 388My open service calls 424My overdue service calls 424My service calls 424

N

Named user licenses 51Navigation 27

main menu 27module 27, 28subfolder 27window 27

Net assets 306Nettable 232Notes 83Number of packages 264Numbering series 110

O

Ongoing posting 324Open deliveries 58Open document rows 164Open documents 166, 174, 216Open documents/document rows

resource 167Open orders 58Open quantity 134, 165Opening remarks 144Opportunities Pipeline 389Opportunity

statistics report 388Or link 172Orange-colored arrow 29Ordered 165Originator catalog number 97Outgoing payment 121, 368Outgoing posting 325Outside capital 306

P

Packaging unit 97Packaging UoM 263Partial delivery 69Partners 385Password 50

changing 53Payable account 72Payment block 138Payment draft 368Payment Engine 362Payment means 366

bank transfer 366cash 198, 366

Payment on account 367Payment term 65Payment terms 76Payments consolidation 70Pay-to address 63Period indicator 106Permanent physical inventory 288Phases of a material flow 230Phone book 432Phone calls 83Pipeline in sales 378Posting categories 326


465

Index

Posting flow 324Posting journal report 355Posting period 125

change 126Posting template

template 340template type 340using 339

Posting templates 338cancel template 340

Potential amount 381Predicted closing date 381Preferred vendor 188Previous employment 430Price differences 168Price list

defining 245definition 246linked 248selection criteria 249

Price list factor 247Price list group 247Price list item details 252Pricing 245, 260, 261, 262Print

document 149Print preview

document 149Priority 68Problem type 403Procurement control 121Procurement decision 121Procurement planning 121Procurement preparation 121Procurement process 120Procurement � Purchasing 119Profit and loss statement 306, 311,

357Profits 311Properties 172Public holiday 68, 113Purchase 240Purchase analysis 170, 174Purchase Order

form setting 131Purchase order 121, 167

add row 136cancel 151create activity 146document draft 147

document footer 140document header 122item description 129item selection 128save changes 144service document 135split 137, 189volume and weight 146

Purchase order confirmation 188Purchase order from sales order

188Purchased item 94Purchasing 119, 120

business objective 120document body 127document header 122technical objective 120

Purchasing analysis 98Purchasing document 167Purchasing process 121Purchasing report 170Purchasing unit of measure 97Purchasing UoM 263

Q

Queue 404, 405definition 404manager 404members 405

R

Receivables account 72Recurring postings 340

defining 341Relate series to document 110Required inventory level 101Reserve invoice 195, 196Resolution 404, 410Resolution time 397Response 404Response time 397, 422Re-transfer from repair warehouse

411Return 121, 167, 180, 193, 409,

411Returned from technician 409Revenue 310


466

Index

Review 430Right mouse button 42, 43Rounding method 247Row details 132Row status 166

S

Salary posting 326Sales 179, 180

document body 181document footer 191document header 181

Sales analysis 99, 216Sales and distribution 180Sales document 194, 195Sales item 94Sales opportunity 373, 374, 379

forecast over time report 387forecast report 387lost 386lost report 388report 388won 386won report 388

Sales order 180, 193, 211, 270Sales order balance 59Sales process 180, 376Sales quotation 180, 193Sales reports 215Sales stage 376Sales territory 375Sales UoM 263Sample inventory 288SAP All-in-One 20SAP Business One 21SAP Business Suite 20SAP ERP 19SAP NetWeaver 19SAP R/2 19SAP R/3 19Scaled special prices 253Serial number 272, 275

automatic creation 274available 278creation 276definition 274detail report 279select 277

selected 278Transactions report 276transactions report 278, 302

Serial number items 274Serial number management 279Serial number table 274Service call 401

activity 407assignee 404by queue 421call type 403document type 408, 409expenses 412forwarding 406history 410origin 403priority 403report 420subject 402

Service contract 396, 414approved 401creating 399labor 398parked document 401parts 398report 422status 401travel 398

Service monitor 422, 423Service process 405Service reports 420Service structure 396Service type 400

regular 400warranty 400

Set font 46Shipping type 59Shortcut keys 449Shortcuts 449Small and Medium-Sized Businesses

(SMB) 21Solution

recommending 419status 419

Solutions knowledge base 417, 419Solvency 306, 307Source distribution over time report

388Source of funds 310Special price 250


467

Index

copy to selection criteria 255copying 254defining 251, 252quantity scale 253updating 257updating globally 256validity 254

Stage analysis 388Start date 430Stock account 312Stock removal 230Stockholders' equity 306Storage 230Subsidiary ledgers 309Summarizing document rows 186Summary type 186Super user 51

T

Target document 163Target key 164, 166Target stock 240Target type 164, 166Task 83Tax report 355Tax status 74Technician 404Threat of insolvency 217Tolerance days 78Total payment 365Total rounding 366Transaction data 50Transaction number serial report

417Transfer 285

to repair warehouse 411Transfer date 367Transferred to technician 409Translatable fields 95Translate 94Translation 94, 95Trial balance 356Trip 93Turnover 180

U

Unit price 134, 263

Units of measure 262UoM

defining 263User 13, 50

creating 51manager 51password 52, 53

User code 50User interface 26User menu 441, 442User shortcut 440

V

Validity perioddefining 258

VAT group 98Vendor 53, 73Vendor reference number 123Version number 26Volume & weight calculation 145

W

Warehouse 231manage inventory by warehouse

101minimum inventory level 101, 102negative inventory 103setup 232

Warehouse code 232Warehouse name 232Warehouse settings 234Warehousing 230Warranty template 96Weighted amount 381Wildcard search 35, 36Window size

changing 28Withdrawal 240, 244, 245

Z

Zero delivery notes 191Zero invoices 191
