Use

You use this function to allocate the budgets of different customer departments according to specific rules. Budgets are represented by funding IDs. You define the funding IDs for each extended contract at header level and then allocate the associated funds at item level, specifying how you want billable amounts to be distributed during billing (percentage, and order of priority). In this way, you can meet requirements regarding budget allocation and tracking.

Contractors who work with US Federal Government (Defense) organizations are required to submit invoices with detailed funding information (ACRN accounting requirements).

Integration

Funding information is subject to change even during fulfillment. How, where and when available budgets are allocated within the extended contract can all change. It is the contractor’s responsibility to maintain all such changes for tracking and reporting purposes, as well as to ensure that they are applied correctly during billing. Budget amounts, allocation, distribution rules, and validity periods are therefore subject to modification management by default. For more information, see Modification Management .

Fund assignment is implemented using the standard condition technique. For more information, see Pricing and Conditions .

Prerequisites

You have created and configured the budget condition type ACRN in Customizing for Sales and Distribution by choosing Basic Functions → Pricing → Pricing Control → Define Condition Types. You can copy it from the SAP Reference IMG in client 000.

You have created and configured the pricing procedure RVACRN and the document pricing procedure U , and have defined pricing procedure determination. You make these settings in Customizing for Sales and Distribution by choosing Basic Functions → Pricing → Pricing Control → Define and Assign Pricing Procedures. You can copy them from the SAP Reference IMG in client 000.

You have activated the ACRN condition for the sales document type CBWV in Customizing for Sales by choosing Sales Documents → Advanced Order Processing and Billing → Maintain Order Type

Activities

You create the funding IDs for each extended contract individually on the Header Fund Data tab page. Then, on the Item Fund Data tab page, you allocate the budgets of these funding IDs byspecifying what percentage of each funding budget is to be consumed by the line item in question.

You can only allocate funding budgets to those line items that are connected to a line item in the original sales document. For more information, see Extended Contract .

During data entry, the system checks to ensure that funding information is consistent:

You can only allocate a funding ID at item level if it has already been created at header level.

You cannot allocate more than 100% of a funding budget. This means thatthe sum of the percentages allocated to all line items for one funding ID cannot exceed 100%.

You can see how much of the budget of each funding ID has already been assigned in the Already Assigned Funding column of the Header Fund Data tab page.

If you allocate more than one funding ID to a line item, you can specify the order in which you want the funding budgets to be consumed. The budget of funding ID with priority 1 must be consumed before that of funding ID with priority 2, 3 and so on.

You can also specify a validity period for each funding allocation rule to be taken into consideration during billing.

During resource-related billing, the system retrieves the available budgets and distribution rules that apply at the time of billing and then calculates the amount billable to each funding ID per line item. The system also checks that this amount does not exceed the available budget per line item, taking already-billed values into consideration. For more information on what happens when budgets are exceeded, see Enhanced Resource-Related Billing .

You can see how much has already been billed to each funding ID in the Already Billed Value column of the Header Fund Data and Item Fund Data tab pages. The Item Billed Values tab page shows you the billing history of each item.

After you have performed resource-related billing, it is possible to change the funding allocation manually in the billing request, but only after you have created a billing document. You adjust the ACRN pricing condition directly in the billing request and then cancel and recreate the billing document. The system updates the ITD billed values in the Advanced Order Processing and Billing application accordingly.

For more information, see Manual Pricing and Enhanced Resource-Related Billing .