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 Logistics-Treasury Integration (Reversible)

 

Technical Data

Technical Name of Business Function

LOG_TRM_INT_1

Type of Business Function

Enterprise Business Function

Available From

SAP enhancement package 6 for SAP ERP 6.0

Technical Usage

Financial Services

Application Component

Materials Management (MM)

Sales and Distribution (SD)

Required Business Function

Financial Risk Management for Commodities 2 (FIN_TRM_COMM_RM_2)

Incompatible Business Function

Not relevant

You can use this business function to enable the automatic integration of SAP Logistics applications with SAP Treasury and Risk Management in a one-system landscape for the management of exposures related to the sale and purchase of specified commodities and the pricing procedures for these commodities. By automatically reporting commodity exposures from Logistics to Treasury and Risk Management this business function enables you to analyze the corresponding raw exposures in Exposure Management 2.0 regarding the risks involved. Afterwards you can hedge the risks of these exposure positions using the financial instruments of the Transaction Manager. New commodity exposures are sent to the risk management interface directly and can then be handled by Exposure Management 2.0. Existing raw exposures are updated when changes occur in the related purchase order or sales order items, for example:

  • Pricing changes related to pricing developments during the relevant quotation period

  • Differences between the ordered quantity and the actual quantity received

  • Differences in the commodity characteristics (as determined on the basis of batch assays)

Prerequisites

Features

BAdI-based Relevance Determination

The filter dependent BAdI Relevance Determination on Source Document Item Level (ITEM_RELVANCE_DETERMINATION) is used to determine and set the relevance of purchase order/sales order items from logistics for integration with Exposure Management 2.0 in Treasury and Risk Management.

With this business function the default BAdI implementation Relevance Determination for Logistics-TRM Integration is installed and activated. Relevance determination is carried out for MM and SD via the respective default implementations. By modifying or supplementing the BAdI implementation you can adapt the relevance determination for TRM integration based on your own requirements.

For further details, see the documentation of the default implementation in Customizing for Logistics-General under Start of the navigation path Treasury and Risk Management Integration Next navigation step Customer Specific Business Add-Ins End of the navigation path

BAdI-based Exposure Modification

You can use the Change Raw Exposures (LOG_TRM_UPDATE_EXPOSURE_CUST) BAdI to modify posted raw exposures and exposure items before they are sent to Treasury and Risk Management.

Report for Initial Load and Correction of Commodity Exposures

The DET_CTY_EXPOSURE_OF_LOG_DOC report is used to determine the commodity exposure of Logistics documents and send these exposures to Treasury and Risk Management. The report can be used for initial load of existing exposures and as a correction measure to resolve inconsistencies between Logistics (document items) and Treasury (raw exposures).

For further details, refer to the report documentation.

More Information

For more information about the integration of Logistics with Treasury and Risk Management, see under Start of the navigation path Treasury and Risk Management Next navigation step Transaction Manager Next navigation step General Information about the Transaction Manager End of the navigation path Integration of Logistics with Treasury and Risk Management.