Process documentationProcurement Card Payment Process Locate this document in the navigation structure

 

In the SAP Supplier Relationship Management (SAP SRM) system, you can specify procurement card as the payment method when purchasing items provided you are using the Materials Management functions in SAP SRM. In addition, you can manage settlements for purchases made using a procurement card, that is, you can transfer the settlement file that the bank or card company sends you to the SAP SRM system to check that the contents are correct and specify account assignments.

Prerequisites

To specify procurement card as payment method:

  • You must be using the Materials Management functions in the SAP SRM component.

  • You must have entered your procurement card details using the Create User transaction.

  • The settlement files are transferred to SAP SRM and invoices and transaction figures are transferred from SAP SRM to the back-end system via the ALE interface.

    You have set up the ALE distribution model in Customizing for SAP SRM and the back-end system.

    Menu path in Customizing:   Supplier Relationship Management   SRM Server   Technical Basic Settings   ALE Settings (Logical System)  

    The procurement cards must be set up so that the system can transfer the settlement information from the card company and carry out updates in Accounting in the back-end system.

    You can use the information on the procurement cards to control the postings in Accounting and validate the procurement card numbers on the bank's settlement file. This information also provides an overview of the cards issued, the assignment of cards to employees and an overview of information such as the transaction limit or overall limit of a card and the approval workflow.

    Menu path in Customizing:   Supplier Relationship Management   SRM Server   Procurement Card  

    In the back-end system, Accounting should be set up and the card company should be created as a vendor.

    If you want to create commitments, you must have specified this in Customizing:

    Menu path in Customizing:   Supplier Relationship Management   SRM Server   Procurement Card   Manage Commitments  

Process

  1. You specify procurement card as payment method when creating a requirement coverage request.

  2. The settlement data is transferred to SAP SRM.

  3. At the same time, the system generates an invoice for all purchases that were made using a procurement card. The invoice is updated in accounts payable accounting in the back-end system and blocked for payment. The system can then pay the invoice during the payment run.

  4. If the value of purchases made using the procurement card exceeds the value specified in Customizing, the system places a work item in the cardholder's SAP SRM inbox when updating the invoice. The cardholder checks the purchases made and can change the account assignment if necessary.

  5. If you want the manager to monitor expenditure as well, he or she receives a work item in his or her inbox. When the manager has given his or her approval, the system posts the invoice to a G/L account in Accounting.

    Note Note

    The cardholder and the manager cannot reject items. If the settlement data contains errors, you can leave the work item in its current status and take organizational measures.

    The system always generates the invoice.

    End of the note.

Result

The transaction figures in Accounting in the back-end system are updated. The system also generates an invoice that it can pay in the payment run.

More Information

See Archiving Procurement Cards for more information.