SD service contract billing

[Former Member]

Hello

We are in phase of configuring SD service contracts for mining equipments. Following are SD service contract billing related requirements.

1. Contract is billed monthly with fixed amount. This fixed amount is getting corrected as  per usage of equipment ( service meter counter reading & Breakdown Hours). Can we handle this with explicitly by periodic (Monthly) billing plan method ?  Can we give respective correction to billing plan line item as per variable component in billing due list?
2. Beyond certain cost limiting value the spare parts to be supplied under contract are free of cost (FOC). How to configure this condition.

Sanjeev Dhavan

[jignesh_mehta3]

Hello,

In Monthly Billing Plan, system will create Invoice directly from Contract for a fixed Amount & will not allow you to increase or decrease based on Break Down Hours.

I would suggest the following process for your Requirement:

Contract - Release Order - Invoice.
Create a Contract with Billing Plan & a fixed Amount for every month.

Then create a Release Order & in this Release Order adjust the Increase or decrease in Monthly BIlling with respective Condition Types.

Now create a Invoice for every month.

For FoC Spare parts you can try Scales (which I doubt whether it will work) or you can define a Routine with ABAP code & assign the same in your Pricing Procedure.

Thanks,

Jignesh Mehta

[Former Member]

Hello Jignesh ,

Release order means you are refering  as Customer Service order   for variable component of service contract please confirm. This is for point No. 1.

For Point No. 2 .  Can we use contract price agrement  with following condition types. These two condition types as per my knowledge has controlling effect on Relaese order Billing.

                           PKAR : Header Price

                            PPSG – Based on material group

Regards

Sanjeev Dhavan

[jignesh_mehta3]

Hello,

1. You can create a Contract & then create Release order for the Contract. While creating Release Order, you will have to insert additional Items to adjust for Break Down Hours.

2. Try using the Condition Type that you have suggested & if it does not work, then you will have to create & assign a Routine.

Thanks,

Jignesh Mehta

[Former Member]

Hello Jignesh,

If you Elaborate creation of contract -> release order -> billing process with SAP transaction codes and SAP standard document types it is great help.

Regards

Sanjeev Dhavan

[former_member673316]

Sanjeev ,,

We can do automatic billing of routine services at regular intervals.

Standard Sales document type [SC] = Monthly maintenance , [QP] = Rental

Since no release order , It needs not to have delivery process and a have own pricing procedure.

Standard pricing procedure [PSER01]

Condition type = PPSV – Monthly fee (Based on material).

Condition type = PPSG – Monthly fee (Based on material group).

Item category – DIEN/KMAT

© Create Service material in MM01

u can determine © Base unit always DAY or HOUR

Define contract profile in IMG and we can assign it to document type.

Contract profile contains contract start date, (Rules) contract start rule, end rule, validity periods, cancellation procedure, action and action date value.