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 Contract-to-Cash for Commodities


Technical Data

Technical Name of Business Function


Type of Business Function

Enterprise Business Function

Available From

SAP enhancement package 6 for SAP ERP 6.0

Technical Usage

Central Applications

Application Component

Sales and Distribution – Billing (SD-BIL)

Required Business Function

Commodity Pricing Engine: BAdI-Based Formula Handling (LOG_CPE_FA_FE)

You can use this business function to activate the process of differential billing within Sales and Distribution (SD) billing.

The key feature of this process is that you can repeatedly bill a delivery or sales order item with its full quantity. The business background for this functionality is commodity trading. The final price and invoice for the goods delivered is typically agreed upon weeks or months after the loading process. Within this time frame a long term average of price quotations for the commodity is calculated to account for the price risk of the deal. Moreover, the quantity and quality of the goods may be redetermined. On the other hand it is common business practice to have an early provisional invoice shortly after loading based on plausible values for price, quantity and quality. Differential invoices may occur in between whenever appropriate.


  • You have installed the following components as of the version mentioned:

    Type of Component


    Required for the Following Features Only

    Software Component

    SAP_APPL 606

Within Customizing of Sales and Distribution Start of the navigation path Billing Next navigation step Billing Documents Next navigation step Define Billing Types End of the navigation path two new billing types, F2D1 with billing category N for provisional/differential and F2D2 with billing category O for final, are delivered as standard to enable this process. Corresponding copying control entries are delivered within Maintain Copying Control for Billing Documents for delivery type LF and item category TAN.

For more information see Business Function Commoditiy Pricing Engine.


Differential Billing Within SD Billing

The differential functionality is established by billing the delivery or sales order item as of new and copying the immediate predecessor invoice item negatively into the invoice. The pair then represents the difference.

Within the billing dialogue, a new screen is provided to visualize the difference in pricing conditions of the item pair.

As of standard, two new billing types, F2D1 for provisional/differential and F2D2 for final, are delivered to enable this process. The billing status of delivery or sales order item is set to an intermediate state by the provisional/differential invoices and finalized by the final invoice.

SAP Commodity Pricing Engine is required to allow for the provisional and final pricing based on price quotations.