Logistics Invoice Verification

Logistics Invoice Verification

Purpose

Logistics Invoice Verification is a part of Materials Management (MM). It is situated at the end of the logistics supply chain that includes Purchasing, Inventory Management, and Invoice Verification; it is in Logistics Invoice Verification that invoices are verified in terms of their content, prices and arithmetic. When the invoice is posted, the invoice data is saved in the system. The system updates the data saved in the invoice documents in Materials Management and Financial Accounting.

Integration

Logistics Invoice Verification is closely integrated with the components Financial Accounting (FI) and Controlling (CO). It passes on the relevant information about payments or invoice analyses to these components.

Features

In Materials Management, Logistics Invoice Verification has the following features:

It completes the material procurement process, which started with the purchase requisition and resulted in a goods receipt.
It allows invoices that do not originate in materials procurement (such as services, expenses, course costs) to be processed.
It allows credit memos to be processed, either as invoice reversals or return deliveries.

An invoice can be processed in Logistics Invoice Verification in various ways:

Invoice Verification Online

You receive an invoice and enter the information contained in it in the system, comparing the data (such as quantities and values) suggested by the system with that in the invoice and making any necessary corrections. You then post the invoice.

Invoice Verification in the Background

You receive an invoice, only enter the total amount of the invoice and match the invoice up with another system document. The system then checks the invoice in the background. If no errors occur, the system also posts the invoice in the background. If errors do occur, the system saves the invoice and you then have to process it in a separate step.

Invoices Received via EDI

The invoice information enters the R/3 System via electronic data interchange and the system tries to post the invoice automatically. If errors occur, you have to process the invoices manually.

Evaluated Receipt Settlement (ERS)

Here, you do not receive any invoices from your vendors, but post them yourself based on information contained in purchase orders and goods receipts.

Invoice Verification on the Internet (MM-IV)

Vendors can display, enter and post invoices directly in your system via the Internet for purchase orders placed with their company.

Comparison with Conventional Invoice Verification

Logistics Invoice Verification was developed to take into account requirements such as distributing MM and FI to separate systems, that were technically not possible in the conventional Invoice Verification component.

Certain functions that were possible in conventional Invoice Verification have deliberately been omitted in Logistics Invoice Verification:

Verification of invoices with no reference in the system to a purchase order or a goods receipt

Other functions, on the other hand, have not yet been implemented:

Settlement of consignment withdrawals
Posting directly to G/L accounts

Some new functions are only possible in Logistics Invoice Verification, including:

Unlimited multiple selection
Manual invoice reduction
Total-based invoice reduction
Invoice Verification in the Background
Verification of invoices with installment conditions
Posting across company codes

You can use the conventional Invoice Verification component and Logistics Invoice Verification alongside each other.

In the medium term, Logistics Invoice Verification will replace conventional Invoice Verification.