Show TOC

 The Process of Extended Rebate Processing


You use Extended Rebate Processing (for example, in the beverage industry) to process and settle rebate conditions that are defined in written or oral agreements.

Extended Rebate Processing helps you ensure that the information from the rebate agreement in the ERP system is processed correctly. The corresponding settlements with your customers are performed on time and with the appropriate amounts.


The following prerequisites must be met for you to use Extended Rebate Processing:

  • You have to activate rebate information structure S469 and information structure S136 in Customizing.

  • You have to activate the billing document type for rebate processing.

  • You have to set the Rebate flag for the rebate recipient.

  • You have to activate Extended Rebate Processing in Customizing for billing.

  • You have to define whether or not each customer is relevant for rebates in the sales area data of the customer master. This means rebate processing must be active in the “payer’s” billing screen.

  • If you want to use customer-specific rebate groups (for example, house brand beer, trading goods, and so on), you will have to define them in Customizing. You can then assign these customer-specific rebate groups to a material in the material master (tab Sales: sales org. 2).

  • If you want to use a rebate-relevant product hierarchy, you will have to define it in Customizing. You can then assign this rebate-relevant product hierarchy to a material in the material master (tab Sales: sales org. 2).

Process Flow

  1. First enter the rebate agreements with the rebate conditions you wish to grant.

  2. When the system generates rebate-relevant billing documents (Customizing: Define Billing Types), the system determines all the valid rebate conditions, based on the assigned pricing procedure. The system updates rebate information structure S469. Rebate information structure S469 is the basis for rebate settlement.

  3. The system uses rebate information structure S469 to save the rebate basis, the accruals, and the payment amount for each condition and variable key.

    Note Note

    If you want to define retroactive rebate agreements, you can use transaction VBOF to include billing documents that you entered in the past. The system then updates the rebate information structure for the conditions of this agreement.

    End of the note.
  4. Rebate settlement generates credit memos based on rebate information structure S469. The system updates the payments and release of accruals in rebate information structure S469, taking the variable key into account.

  5. To enable rebate processing for indirect sales, the rebate information structure also has to be set up for the rebate conditions of indirect agreements. The system sets up the rebate information structure with the aid of pro forma billing documents, which are generated as the result of reported sales. The indirect sales must be supplied to the system through a previously defined, customer-specific information structure (Customizing: Generate Update of Indirect Sales ). Indirect sales data can be retrieved using the component Pendulum List Indirect Sales. If you want to create accruals, you will have to use this SIS structure to supply the system with the planning data as well.

  6. Extended Rebate Processing is supplied with structure BON_ENH_S1 to enable the system to determine which data has already been updated. You have to append structure BON_ENH_S1 to the customer-specific information structure. The system saves the values that have already been updated in the fields of structure BON_ENH_S1.

  7. Because the information structure for indirect data is a customer-specific structure, the reports for creating the pro forma billing documents are supplied as templates. If you need to modify the reports for generating the pro forma billing documents to meet your needs, Extended Rebate Processing provides a report that generates the appropriate update routines for the actual and planning data, based on your own definitions (field assignment in Customizing).

Note Note

Each billing document triggers an update. The system updates the rebate information structure in accordance with the key field settings in Customizing. Each item in a billing document is uniquely assigned to a variable key.

End of the note.