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 Detection Method: Split Invoices Exceed Limit

 

This detection method examines the invoice items related to a vendor to check that payments are not being split into many small payments instead of one bigger payment that is greater than a permitted level. If split payments that exceed the permitted level are present, then the invoice items of the vendor are suspicious.

Detection Method Based on SQLScript Procedure FRA_IA_PUR_V_II_SPLI

Logic

To allow comparisons, the amounts of thresholds are converted to the currency of the company code. For the invoice item, the amount in company code currency from the invoice is used.

The invoice items are summed in accordance with the debit/credit sign of the record. The debit sum is subtracted from the credit sum and the real amount of the invoices is determined. If the amount of a single invoice item is smaller than the threshold for a single invoice (defined by the user), then the invoice amounts are aggregated by vendor and company code. If the sum of all invoices related to this vendor is greater than the threshold for the sum of the invoices (defined by the user), then the invoice items of the vendor are suspicious.

The risk amount is defined as the sum of the amounts of the selected invoice items of the vendor.

Note Note

  • The currency conversion uses the standard conversion at average type of type ‘M’.

  • The functionality is restricted to invoice items with posting keys Reverse Invoice, Credit Invoice, Invoice, Reverse Credit Memo (21 OR 22 OR 31 OR 32) that are not intracompany, and Account Type Vendor.

  • Alerts are created only for invoice items with posting key Invoice and Reverse Credit Memo.

End of the note.
Investigation and Detection Object Types

  • Investigation object type: FRA_VEND (Vendor)

  • Detection object type: FRA_VEINVI (Vendor Invoice Item)

ERP Tables Used

  • BKPF: Accounting Document Header

  • BSEG: Accounting Document Segment

  • T001: Company Codes

  • TCUR… tables for currency conversion

Procedures for Detection Methods

Procedure Category

Procedure Name

Procedure Type

Package

Selection

PR_INVOICE_ITEM_SELE

SQLScript Procedure

sap.hana-app.fra.suite.pur.dt.vendor.invoiceitem.se

Execution

PR_SPLIT_INVOICES_EXEC

SQLScript Procedure

sap.hana-app.fra.suite.pur.dt.vendor.invoiceitem.ex

Additional Information

PR_SPLIT_INVOICES_ADDINF

SQLScript Procedure

sap.hana-app.fra.suite.pur.dt.vendor.invoiceitem.ai
Detection Method Parameters

  • THRESHOLD_SINGLE: The maximum amount of an invoice item that is checked. If the invoice item amount exceeds this threshold, then the invoice item is ignored for detection purposes. All amounts (threshold and invoice item amounts) are converted into the currency of the company code in order to compare the amounts in the same currency.

  • THRESHOLD_SINGLE_CURRENCY: The currency of the threshold single amount.

  • THRESHOLD_SUM: The amount that the sum of the invoice items of a vendor must exceed to indicate suspicion of split invoices. If the sum of the invoice item amounts for the vendor is lower than this threshold, then the invoice items are deemed to be not suspicious. All amounts are converted into the currency of the company code in order to compare the amounts in the same currency.

  • THRESHOLD_SUM_CURRENCY: Sets the currency of the threshold sum amount.

Alert Messages

  • Message ID FRA_INTERNAL_AUDIT, message 078, Several invoices under threshold exist; sum exceeds given limit: &1 &2