The document provides information on shipment costs in SAP. It discusses how shipment costs are calculated based on transportation charges, handling fees, and other costs. It outlines the key steps in shipment cost processing, including creating a shipment cost document, settling costs with transport providers, and billing customers. It also describes how to configure pricing procedures and condition types to determine shipment costs.
as per my experinece i have prepared this docuemnt for future referenec and also this document will help to leart GST impact in SAP SD and S4 HANA
Kindly comment your feedback and suggistions
Contains most of the standard SAP CS process, related data objects, configuration aspects in Logistics modules SD, PM, and integration touchpoints with FI-CO.
Fleet management in Oracle Transport Management(otm)Satyam Rai
Fleet Management in Oracle Transport Management. This slide will give you an idea and overview about OTM Fleet Management and based on that you can start.
Transportation management setup in AX 2012 R3Sonata Software
The massive mobilization of tech savy individuals across India has been on the rise for their inclusion in the "Technically sound" category in the organization raises vital questions on their technical knowledge contributing to the business acumen.
For decades, bloggers and the media at large have avoided serious debate on what qualifies as good knowledge? Simple, easy to read technical content? Or pages of data sounding very smart and difficult to comprehend?
This blog attempts to be a simple, step by step, understandable take on picking the right TMS for one’s business. Dynamics AX as an ERP system will the the technology base for the blog.
as per my experinece i have prepared this docuemnt for future referenec and also this document will help to leart GST impact in SAP SD and S4 HANA
Kindly comment your feedback and suggistions
Contains most of the standard SAP CS process, related data objects, configuration aspects in Logistics modules SD, PM, and integration touchpoints with FI-CO.
Fleet management in Oracle Transport Management(otm)Satyam Rai
Fleet Management in Oracle Transport Management. This slide will give you an idea and overview about OTM Fleet Management and based on that you can start.
Transportation management setup in AX 2012 R3Sonata Software
The massive mobilization of tech savy individuals across India has been on the rise for their inclusion in the "Technically sound" category in the organization raises vital questions on their technical knowledge contributing to the business acumen.
For decades, bloggers and the media at large have avoided serious debate on what qualifies as good knowledge? Simple, easy to read technical content? Or pages of data sounding very smart and difficult to comprehend?
This blog attempts to be a simple, step by step, understandable take on picking the right TMS for one’s business. Dynamics AX as an ERP system will the the technology base for the blog.
It is becoming increasingly important that companies have tight financial control over their operations.
WebXpress FTAT provides shippers with the means to effectively manage their freight audit processes in-house and increase productivity, reduce freight expenses and stay compliant with tight financial regulations.
WebXpress is an IT and Solutions company that offers services in the domain of Logistics.
Founded in 2004 the company has a presence in India, Saudi Arabia, East Africa, and South Asia.
Our idea is to connect all stakeholders in supply chain and provide visibility.
2. India SAP CoE, Slide 2
Shipment Costs…?
A shipment can have costs which represent the charges
of the Transportation Service Provider (TSP, carrier),
possible handling charges, surcharges such as fuel, and
other accessorial or direct transportation costs.
The Shipment Costs are calculated for any given
shipment
5. India SAP CoE, Slide 5
Shipping fees are based upon the cost of processing and
shipping the Customer order
This includes the cost of labor, supplies, facilities and equipment
necessary to fulfill your order
It becomes necessary that all these costs, including the Freights
and other Surcharges are -
Settled to the Transporter
Charged to the customer
Purpose
6. India SAP CoE, Slide 6
Shipment cost functionality is used primarily for the following;
Calculating shipment costs
Settling shipment costs to the Transporter
Charging the Shipment Costs to the Customer
Using this functionality, it becomes possible for the transportation
planner to estimate the Freight cost before they are incurred. This
helps in making important decisions in transportation planning.
Use
7. India SAP CoE, Slide 7
How to calculate shipment costs for a specific shipment
How to split shipment costs if there is more than one
customer for a shipment
How to settle the shipment costs with transport service
provider
How to charge shipment costs to a customer
Internal settlement of shipment costs between group
companies.. is it possible ?
Challenges
9. India SAP CoE, Slide 9
The Activities in Shipment Cost Processing can be broadly broken
down in the following headers:
Shipment Cost Document Creation
Transmission of Shipment Costs to Accounting
Settlement of Shipment Cost with Service Provider
Billing The Shipment costs to the customer.
Process Steps
10. India SAP CoE, Slide 10
Sales Order
Creation
Delivery and
Shipment Completion
Shipment Cost
Document
Creation.
Service Entry Sheet
Created.
Logistics Invoice
Verification
Settlement
Billing Document
Creation
Process Flow
11. India SAP CoE, Slide 11
Structure:
Shipment cost header:
The shipment cost header contains general information on the entire
document. You can view status, reference and administration
information. The status information is the cumulative status that is
calculated from the individual item
Shipment cost item:
The items refer either to a shipment header or a shipment stage. The
items contain general data for shipment costing and settlement, such
as service agent, pricing date and settlement date, tax amount and
tax basis as well as organizational data such as company code, plant
and purchasing organization
There is an individual status at item level for each of the shipment
costing, account assignment and forwarding to FI functions.
Shipment Cost Document
12. India SAP CoE, Slide 12
Shipment cost sub-items:
Calculation of the shipment costs is carried out at the level of the
shipment cost sub-items and this is also the level at which the result
of the calculation is stored. Depending upon the calculation basis that
was determined, this can involve single delivery items, deliveries,
shipping units or the entire shipment cost item. Different information is
received depending on the type of sub-item involved. The delivery
item, for example, has no information on the handling units.
Shipment Cost Document (continued)
13. India SAP CoE, Slide 13
In Addition to Standard Pricing, The following functions are
possible during Shipment Cost Calculation
Pricing procedure determination : This is Done Differently as
compared to Standard Pricing
Determination of calculation basis : It is Possible to Set the
Base Upon which
Freight cost determination/Shipment cost simulation
Shipment comparisons
Determination of geographical factors
Pricing date and settlement date determination
Tax determination
Shipment Cost Calculation
14. India SAP CoE, Slide 14
If the shipment is marked as relevant for shipment costing and when
the shipment attains the requisite status , the system determines the
appropriate shipment cost pricing procedure based on the
transportation planning point,shipment cost item category,shipping
type and the forwarding agent.
The pricing procedure contains all condition types that are to be used
for shipment costing and it defines the sequence in which calculation
is carried out in the shipment document.
Pricing Procedure Determination
15. India SAP CoE, Slide 15
This function includes:
• Calculation and display of shipment costs
• Display of shipment cost document
• Display of processing log
• Calculation of maximum price that should not be exceeded by
the forwarding agent(termed as Transportation tendering)
Using this functionality, it is possible to execute a Freight cost
Estimate during Shipment Processing. It gives an Idea
regarding what shipment costs might be incurred by the
Shipment. Using this, the transportation Planner can change
data such as forwarding agent, mode of transport, shipping
conditions etc, and calculate the shipment costs till it falls
under the allowed expenditure limit.
Freight Cost Estimate
16. India SAP CoE, Slide 16
Depending on the calculation base defined in each condition type
of the pricing procedure , the shipment Cost sub-items are
determined.
Eg: If calculation basis is delivery , the system creates shipment
cost sub items for all the delivery headers(i.e no delivery item or
handling unit related information) is considered.
The other calculation bases are :
• Delivery item
• Handling unit
• Shipment cost item
• All (i.e if you want to consider the deliveries as well as the
handling units as base for calculation. )
• Handling units including delivery item
Calculation Base Determination
17. India SAP CoE, Slide 17
If it’s required to compare two different shipment costs after
calculation and then determine the most/least favourable of the
two , the condition exclusion functionality of SAP can be used.
The system will automatically dectivate the condition type which
is not required (Depending on the customising settings and from
results of comparison)
Shipment Comparisons
18. India SAP CoE, Slide 18
Geographical factors like distance and location or tariff zone influence
the shipment costs including taxes.
The distance can be used as a scale for calculating the shipment
cost. It can either be automatically determined using scale basis or
from the routes of the shipment header or the stages, or can be
manually entered in the shipment.
The tariff zone can be automatically determined based on the postal
code area of a country.Besides it’s possible to maintain the condition
records based on adress data such as postal code, transportation
zone, country, region etc.
Determination Of Geographical
Factors
19. India SAP CoE, Slide 19
The pricing date and the settlement date can be customized to be
determined automatically
Date rules can be defined in customising indicating the possible
dates that can be proposed automatically during the shipment
cost document processing (depending on the shipment cost item
category)
The pricing and settlement date can be maintained manually in the
shipment cost document header.
Date Determination
20. India SAP CoE, Slide 20
Inorder to determine the taxes during shipment cost
determination, the system determines the destination and
departure countries based on the following rules:
Departure country:
The system checks if the departure country of all the
deliveries in the shipment is the same, if yes, then it uses
that as the departure tax country.
Else if the shipment cost item refers to the shipment
header,then the departure country from the first shipment
leg is used as the departure tax country else if shipment
cost item refers to the shipment stage(i.e. either a shipment
leg or a load transfer point or border crossing point), then
the departure country of that stage is used as the tax
departure country.
Tax Determination
21. India SAP CoE, Slide 21
Destination country:
The system checks if the destination country of all the
deliveries in the shipment is the same, if yes, then it uses
that as the destination tax country
Else if the shipment cost item refers to the shipment
header,then the receiving country of the last shipment leg
is used as the destination tax country else if shipment cost
item refers to a shipment leg, then the receiving country of
that leg is used as the tax country but if the shipment cost
item refers to the load transfer point or border crossing
point then the receiving country of the shipment stage is
used as the destination tax country
Tax Determination (continued)
23. India SAP CoE, Slide 23
The shipment type for which the shipment costs need to be
calculated should be marked as relevant for shipment
costing.
The appropriate shipment cost type should be assigned to
the shipment type.
The shipment cost type contains control elements that allow
different processing options for shipment cost documents.
These control elements include the overall status that the
shipment must have before the shipment cost document can
be created.
Prerequisites
24. India SAP CoE, Slide 24
1. Define Date Rules
2. Define Item Category
3. Define Shipment Cost Type
4. Assign Shipment Cost Document Type to Item Categories
5. Assign Shipment Cost Type to Shipment Type
6. Define Shipment Cost Relevance for Shipment Types
7. Set up Pricing for Shipment Cost Calculation.
8. Assign Purchasing Data
9. Set up Automatic G/L Account Determination
Configuration Steps
25. India SAP CoE, Slide 25
Date rules determine which dates are chosen for determining the
pricing date and the settlement date and the sequence in which they
are accessed.
Create a Date Rule
here By specifying
an Alphanumeric
Key
Define the Dates for
the Date Rule, in the
required Sequence
IMG Path : Logistics Execution > Transportation > Shipment Costs > Basic
Functions > Define Date Rules
Define Date Rules
26. India SAP CoE, Slide 26
The Item Category Governs various control aspects of the Costing Line Item
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Shipment Cost Document > Shipment Cost Types and Item
Categories
Date Rule For
Pricing Date
Determination
Date Rule For
Settlement Date
Determination
Define Item Category
27. India SAP CoE, Slide 27
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Shipment Cost Document > Shipment Cost Types and Item
Categories
The Status the shipment Must attain to
enable shipment cost document creation
is defined here
Define Shipment Cost Type
28. India SAP CoE, Slide 28
Defines which Item categories can be used in a particular Cost Type
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Shipment Cost Document > Shipment Cost Types and Item
Categories
Assign Shipment Cost Types
and Item Categories
29. India SAP CoE, Slide 29
Defines the Cost Types that can be created against particular Shipment
Types
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Shipment Cost Document >Shipment Cost Relevance and Default
for Shipment Cost Type
Assign Shipment Cost Type to
Shipment Type
30. India SAP CoE, Slide 30
Defines if the Particular Cost type is Relevant for Shipment Costing
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Shipment Cost Document >Shipment Cost Relevance and Default
for Shipment Cost Type
Define Shipment Cost
Relevance for Shipment Types
31. India SAP CoE, Slide 31
Pricing for Shipment Cost calculation
Pricing Configuration Includes the following Steps
1. Define Condition table ( Similar to Standard Pricing )
2. Define Access Sequence ( Similar to Standard Pricing )
3. Define Condition Type ( Similar to Standard Pricing )
4. Define Pricing Procedure ( Similar to Standard Pricing )
5. Assign Pricing procedure ( This is different from Standard
Pricing. The different steps of Pricing Procedure
Assignment have been Illustrated in the following Slides )
Set Up Pricing
33. India SAP CoE, Slide 33
Define Shipping Type Procedure Group
Assign Shipping Type Procedure Group To
Shipping Type
IMG Path : Logistics Execution > Transportation > Shipment Costs > Pricing >
Pricing Control > Define And Assign Pricing Procedures > Define
and assign shipping type procedure group
Pricing Procedure Determination
34. India SAP CoE, Slide 34
Define Item Procedure Group
Assign Item Procedure Group To Item
Category
IMG Path : Logistics Execution > Transportation > Shipment Costs > Pricing >
Pricing Control > Define And Assign Pricing Procedures > Define
and assign item procedure group
Pricing Procedure Determination
35. India SAP CoE, Slide 35
Define Service Agent Procedure Group
IMG Path : Logistics Execution > Transportation > Shipment Costs > Pricing >
Pricing Control > Define And Assign Pricing Procedures > Define
service agent procedure group
Pricing Procedure Determination
36. India SAP CoE, Slide 36
Assign Service Agent Procedure Group to Service Agent ( Control Data )
Transaction Code : XK01 ( Create Vendor ) / XK02 ( Change Vendor )
Enter Service
Agent
procedure
Group
Pricing Procedure Determination
37. India SAP CoE, Slide 37
For Each transportation Planning Point, Pricing Procedure is assigned
against the combination of
• Shipping Procedure Group
• Item Procedure Group
• Service Agent Procedure Group
IMG Path : Logistics Execution > Transportation > Shipment Costs > Pricing >
Pricing Control > Define And Assign Pricing Procedures > Define
service agent procedure group
Pricing Procedure Determination
38. India SAP CoE, Slide 38
Assign Purchasing Data : Each Pair of Transportation Planning Point is
assigned to a combination of
• Purchasing Organization
• Purchasing Group
• Plant
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Settlement > Assign Purchasing Data
Settlement
39. India SAP CoE, Slide 39
This is done to ensure Posting of the Shipment cost to correct G/L
Accounts.
IMG Path : Logistics Execution > Transportation > Shipment Costs >
Settlement > Automatic G/L Account Determination
G/L Account Determination
40. India SAP CoE, Slide 40
Shipment Cost Processing
Master Data
41. India SAP CoE, Slide 41
1. Enter Condition Type
2. Choose Key Combination ( If Access sequence contains multiple tables )
Condition Record Creation
3. Create Condition Record and Save
Maintain the condition records for
the condition types which will
determine the various costs and
discounts applicable during the
shipment or shipment stages
Transaction Code : TK11
43. India SAP CoE, Slide 43
Prerequisite to Shipment Cost
Document Creation
Shipment end status
should be set in the
Shipment to enable
shipment cost
calculation
44. India SAP CoE, Slide 44
The Shipment Cost Document is created against a Transportation
document after shipment completion.
Shipment Cost Document
Enter Shipment Number here
Enter Shipment Cost Type here
Transaction Code : VI01
45. India SAP CoE, Slide 45
Shipment Cost Document will be created
Double Click to View the Item
and sub-item Details
Shipment Cost Document (continued)
46. India SAP CoE, Slide 46
Item Details
Sub-Item Details
Click here to View
the Price Details
Shipment Cost Document (continued)
47. India SAP CoE, Slide 47
Shipment Cost Document (continued)
Condition Type
Net Shipment Cost Amount
Net amount of Taxes
48. India SAP CoE, Slide 48
Check this check box and save
the document to Create Service
Entry Sheet
Shipment Cost Document (continued)
49. India SAP CoE, Slide 49
Logistics Invoice Verification
After creation of the service entry sheet, Logistics Invoice Verification
is done to Post the amount to Financial accounting for Settlement to
Service agent.
Choose
Service Entry
Sheet Enter Service entry
sheet number
Transaction Code : MIRO
50. India SAP CoE, Slide 50
Invoicing The Customer
After creation of the Shipment cost document, the Billing document is
created. The Shipment cost amount is charged from the customer in the
Bill. The Conditions tab of the Billing document Line item has been shown
below.
Basic
Freight
Condition
from
Shipment
Cost
Transaction Code : VF01
52. India SAP CoE, Slide 52
Use the following Transaction codes for viewing the settings that are
required for Shipment Cost Processing.
T_60 Define Date Rules
T_56 Define and Assign Shipment Cost Types and Item Categories
T_57 Shipment Cost Relevance and Default for Shipment Cost Type
T_05 Display pricing Condition Tables fro Shipment Costing
T_06 Define Condition Types for Shipment Costing
T_07 Define Access Sequence for Shipment Costing
T_72 Define and assign shipping type procedure group
T_71 Define and assign item procedure group
T_70 Define service agent procedure group
T_08 Maintain pricing procedure for Shipment Costing
T_73 Define pricing procedure determination for shipment costs
Shipment Costs
53. India SAP CoE, Slide 53
Use the following Transaction codes for viewing the settings that are
required for Shipment Cost Processing.
T_53 Assign Purchasing Data
OBYC Automatic Account Assignment
Shipment Costs
54. India SAP CoE, Slide 54
Use the following Transaction codes for Maintaining master Data for
Shipment Cost Processing
TK11 Maintain Condition Records
Shipment Costs
55. India SAP CoE, Slide 55
Use the following Transaction codes for Creation of Shipment Cost
Document and Subsequent Processing
VT03N View Shipment Document
VI01 Create Shipment Cost Document
ME23N View Purchase Order
MIRO Logistics Invoice Verification
VF01 Create Billing Document
Shipment Costs