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Function documentationManual Fulfillment

 

Certain business scenarios require that performance obligations can only be fulfilled manually. For example, the revenue can be recognized only when the company receives a confirmation letter from the customer.

Manual fulfillment of performance obligations is also a type of event-based fulfillment. The only difference is that the fulfillment is not automatically triggered by incoming events. Instead, the accountant manually specifies how much of a performance obligation is delivered. The system then calculates how much of that performance obligation is actually fulfilled, based on its dependency on other performance obligations.

Prerequisites

For a performance obligation to be fulfilled manually, the following settings are required:

  • The fulfillment type is either event-based (E) or the percentage of completion (O).

  • The event type is Manual (MA).

Even though you can define your own event types that progress performance obligations toward their fulfillment, Manual (MA) is a pre-delivered event type that indicates that the performance obligation is to be fulfilled manually.

Features

  • Manual fulfillment at contract level

    You can manually fulfill performance obligations across multiple revenue accounting contracts at the same time. The search function allows you to find contracts that contain performance obligations to be manually fulfilled. When you select multiple contracts to be fulfilled, the system fulfills the relevant performance obligations in those contracts to 100%. The system only processes performance obligations that require manual fulfillment, ignoring performance obligations that do not require manual fulfillment.

  • Manual Fulfillment at performance obligation level

    You can fulfill a specific performance obligation by a specified quantity. For example, this allows you to manually report a delivery for a performance obligation. You manually specify how much of a performance obligation is delivered, and the system then calculates how much of that performance obligation is actually fulfilled, based on its dependency on other performance obligations. In this case, the actually fulfilled quantity is simulated before the change is saved.

    Depending on the fulfillment type, either a quantity or a percentage of completion can be specified.

  • Reverse fulfillment

    For a performance obligation, you can perform a reverse fulfillment to deduct a quantity from the completely fulfilled quantity. For example, you can use this feature to report a goods return. When you specify a negative number as the quantity to be delivered, the system assumes that you are performing a reverse fulfillment.