Definition

Distribution of an IP right, which is restricted by content, in a license revenues contract item

(IR contract item) into several partial rights.

Revenue distribution controls which account assignment objects have produced the revenues and are also to be posted during posting in Accounting.

A BTA (business transaction allocation) item is created for each partial right.

Revenue distribution always takes place before revenue recognition , but is optional. You can edit distribution in the license sales contract if necessary.

Example of Usage

If a right is sold throughout Europe, the corresponding license fees can be distributed using BTA items at country level (e.g. Germany, France, Italy etc). Revenues are therefore distributed before they are transferred to revenue recognition.

A BTA, which contains all information required to determine a revenue object as a sub-item for a royalties item, (this information is the relevant rights dimensions, a percentage rate or relative weight for the revenue object and the revenue recognition time), is created for each country.

Example:

A total of 100 % must always be distributed.

Prerequisites

Distribution attributes must be a sub-quantity of the royalties dimensions. You only need to edit the distribution-relevant attributes. The system copies the remaining attributes from the royalties dimension.

Example:

You want to sell the TV, Portugal, Portuguese and TV, Brazil, Portuguese rights in a contract item: In this situation, you only need to specify distribution for the countries Portugal and Brazil. The system reads the market and language here automatically.

The revenue recognition method is defined at the royalties item level. If a billing plan has been assigned to a sales item, the BTA items apply to each billing request item, even though they have only been assigned to the sales item once.

Integration

If settlement of IPM outgoing royalties is performed at a more detailed level or IPM data is to be represented in Controlling or SAP NetWeaver Business Intelligence (BI) using reporting, distribution into BTAs must be performed even if revenue recognition is not required.

Note

When you maintain a revenue distribution for a variable royalties item (usage-dependent item) the system will always allocate the revenues according to the static allocation in the sales contract regardless what you maintained in the usage confirmation