Make Settings for Accruals
Use
You want to create accruals for future outgoing royalties settlements. Values are available in the OR data collector, which lead to a payment to the licensor during the next settlement. Since this settlement takes place at a later stage as opposed to being performed during the current period, you want to create accruals in FI for the corresponding license acquisition contract. The accruals created here are to be written off during the actual settlement.
Creating accruals corresponds to an OR settlement using the current values available. Values determined in this way are transferred to the Accrual Engine (ERP), which makes the corresponding postings to the accrual and expense accounts. The Accrual Engine contains an IPMO component which manages these postings for each license acquisition contract. If account assignment objects are available for the billing request item, the system creates accruals at this level.
During actual outgoing royalties settlement, the Billing Engine posts the actual payables and expenses. The Accrual Engine writes off the accruals created completely.
Procedure
Make Customizing settings for the IMG activities listed below (SAP CRM and SAP ERP Central Component) to ensure that accruals are determined and updated correctly from the SAP CRM System.
Settings in the SAP CRM System
Make additional settings in the following IMG activities, which are not specific to accruals:
Date Types for Accruals
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Basic Functions ® Date Management ® Define Date Profile |
The date types IPM_ACCR_INV Billing (IPM_ACCR_INV) and Periodicity for Accruals (IPM_ACCR_PER) date types must be available in the date profiles. |
Feature for Accruals in the Billing Engine Application IPMO
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Industry-Specific Solutions ® Media ® Intellectual Property Management ® Billing and Settlement ® Outgoing Royalties ® Adjust Billing Engine Application for Settlement of Outgoing Royalties |
The features IPM_IC_STL IPM: Accruals and ACE Accrual Engine Transfer must be activated for the IPMO application and the DL Billing Due List and BD Billing Document objects.
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Refer to the notes in the feature documentation, specifically the notes on the special features that apply when processing contract items for which accruals are to be created.
Billing Type for Accruals
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Industry-Specific Solutions® Media® Intellectual Property Management ® Billing and Settlement ® Define Billing Types for IPM License Settlements |
You require a specialist billing type for accruals in the IPMO application with the Accrual “billing document category”. |
Customizing settings supplied for the accruals billing type:
Billing Type |
Description |
OR02 |
OR Standard Accruals |
Enhanced Item Category Determination for the Billing Engine Application IPMO
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Master Data ® Conditions and Condition Technique ® Create Access Sequences |
You require an access sequence in the BEA application with the DD usage for enhanced item category determination. |
Customizing settings supplied for the access sequence for enhanced item category determination:
Access Sequence |
Description |
1700 |
Access sequence 1700 |
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Master Data ® Conditions and Condition Technique ® Condition Tables |
You require a condition table in the BEA application with the DD usage for enhanced item category determination. |
Customizing settings supplied for the condition table for enhanced item category determination:
Condition Table |
Description |
SAP17001 |
Application/billing item category ® Accrual item category |
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Master Data ® Conditions and Condition Technique ® Condition Types |
You require a condition type in the BEA application with the DD usage for enhanced item category determination. |
Customizing settings supplied for the condition type for enhanced item category determination:
Condition Type |
Description |
Access Sequence |
1700 |
Accrual item category |
1700 |
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Industry-Specific Solutions® Media® Intellectual Property Management ® Billing and Settlement ® Item Category Determination ® Enhanced Item Category Determination for IPM License Settlements ® Maintain Enhanced Item Category Determination |
Set up enhanced item category determination for the IPMO application. Assign a determination procedure to the condition type. |
Customizing settings supplied for enhanced item category determination:
Application |
Determination Procedure |
Determination Step |
Condition Type |
Access Sequence |
BEA |
1SAP_ITC_ACR |
10 |
1700 |
1700 |
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Industry-Specific Solutions® Media® Intellectual Property Management ® Billing and Settlement ® Item Category Determination ® Enhanced Item Category Determination for IPM License Settlements ® Maintain Enhanced Item Category Determination |
Enhanced item category determination for the IPMO application must be maintained for the determination procedure 1SAP_ITC_ACR. |
Customizing settings supplied for enhanced item category determination:
Billing Item Category |
Item Category for Accruals |
IEB2 |
IER2 |
Note that the system creates accruals for exploitation-dependent royalties BRIs from license acquisition and service contracts.
Clearing Control
Customizing Activity (SAP CRM) |
Setting |
Customer Relationship Management ® Industry-Specific Solutions ® Media ® Intellectual Property Management ® Billing and Settlement ® Clearing Control |
The system observes advances during creation of accruals. Updating the unrecouped advance from an advance item is dependent on requirement 1OA1. |
Customizing settings supplied for clearing control
Update rules:
BItmCat |
Billing Item Field Name |
CondType |
Data Value |
ItmCatRef |
TargItmCat |
Requirement |
IBA1 |
NET_VALUE |
|
2OA1 |
Current billing due list item ('self') |
|
1OA1 |
IEA1 |
NET_VALUE |
|
2OA1 |
Current billing due list item ('self') |
|
1OA1 |
Clearing rules:
BItmCat |
ItmCatRef |
RefitmCat |
SortPrio |
IER2 |
BEA Item Category |
IEA1 |
20 |
BAdI Implementation
The implementation CRM_IPM_OR_ACCRUALS must be activated for the CRM BAdI Enhancement During Transfer to the Accrual Engine CRM_IPM_CAE_BADI. This BAdI is available to you in the SAP CRM Implementation Guide under Customer Relationship Management ®Industry-Specific Solutions ® Media ® Intellectual Property Management ® Transactions ® Settings for IPM Transactions ® Settings for Revenue Recognition ® BAdI Enhancement During Transfer to the Accrual Engine.
Settings in the SAP ERP System
To ensure that functions operate correctly, you must execute the IMG activities for the Accrual Engine (SAP ERP Central Component), which are listed below this document.
You can also make additional settings in the following IMG section: Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions.
To do this, proceed as follows:
...
1. Analyze the SAP Customizing settings provided.
2. Copy the Customizing settings provided and create your own Customizing entries in the customer namespace.
To copy the example Customizing settings for the Accrual Engine (SAP ERP Central Component) from client 000 to other clients, refer to note 628362 (example Customizing settings for the Accrual Engine component).
Define Accrual Methods
You must develop your own function modules and assign these accordingly if you want to define your own accrual calculations.
Customizing Activity (SAP ERP Central Component) |
Setting |
Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions ® Accruals Calculation ® Accrual Methods ® Define Accrual Methods |
This accrual method specifies the way in which the accrual is to be made, i.e. linear or declining. You must assign each accrual method in a function module in which the accrual calculation is specified.
|
Example Customizing settings on accrual methods:
Accrual Method |
Function Name |
Text |
ORACCRUALS |
IPMO_ACE_DS_METHOD_ORACCRUALS |
Create and release accruals for license acquisition |
Customizing Activity (SAP ERP Central Component) |
Setting |
Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions ® Accruals Calculation ® Accrual Methods ® Develop Function Modules for Accrual Methods |
Enter the function modules that can be assigned to your accrual methods here. |
Example Customizing settings for function modules:
Function Name |
Text |
IPMO_ACE_DS_METHOD_ORACCRUALS |
Create and release accruals for license acquisition |
Assign Condition Type to Accrual Type
Customizing Activity (SAP ERP Central Component) |
Setting |
Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions ® Basic Settings ® Data Transfer from CRM ® Maintain Condition Types That are Relevant to Accruals |
Assign the relevant condition types to the accrual types and accounting principles.
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Example Customizing settings for Assign Condition Type to Accrual Type
Component |
Accrual Type |
Accounting Principle |
Condition Type |
IPMO |
ORACCR |
IAS |
17CO |
IPMO |
ORCLR |
IAS |
17V2 |
Values for recoupment of advances are collected in the condition type ORCLR. The system does not post values in the ORACCR accrual type until the advance has been exhausted.
Define Account Determination
Definition of the set of rules for account determination:
Customizing Activity (SAP ERP Central Component) |
Setting |
Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions ® Accrual Posting ® Account Determination ® Define Set of Rules |
You can define the following rules here: Rule for determining document type: Source field = ACCRULE, target field = DOCTYPE Rule for account determination: Source field = ACRTYPE, target field = GLACCT_T, GLACCT_A |
Define values for the set of rules:
Customizing Activity (SAP ERP Central Component) |
Setting |
Financial Accounting ® General Ledger Accounting ® Business Transactions ® Accruals for Rights Management ® Accruals for License Acquisitions ® Accrual Posting ® Account Determination ® Define Values for Set of Rules |
Record the values for the rules that you specified in the previous Customizing activity.
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Define the values as follows:
For the document type:
Accounting Principle |
Document Type |
IAS |
Assign a corresponding document type. |
For account determination:
Accrual Type |
Transaction |
Start Account (to which the posting is to be made) |
Target Account (to which the posting is to be made) |
ORACCR |
I |
|
|
ORACCR |
P |
|
|
ORACCR |
U |
|
|
ORCLR |
I |
|
|
ORCLR |
U |
|
|
The start account corresponds to the account to which the value is posted in the Accrual Engine. This value is positive for accrual type ORACCR. This means that the start account corresponds to the target account for the credit posting. The exact opposite applies for accrual type ORCLR.Values are negative here. This means that the start account corresponds to the credit posting and the target account is the debit posting.
BAdI Implementation
The implementation IPMO_ACE_ACRTYPE “Set Accrual Types for Accruals with Settlement to Zero” must be activated for the ERP BAdI CRM Accruals: Change Data for the Accrual Engine (CRM_ACE_INBOUND_BADI). This BAdI is available to you in the SAP ERP Central Component Implementation Guide under: Financial Accounting ® Business Transactions ®Accruals for Rights Management ® Basic Settings ® Data Transfer from CRM ® BAdIs ® BAdI: CRM Data Transfer.