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Event based revenue recognition -project based sales

Nikhil1905
Explorer
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132

Hi,

While creating a  standard sales order against a EPPM project , i want to use same item category for eg. TAN in cost based POC method and completed contract method .

But here, i'm restricted by config node Derivation of recognition key for projects to use only 1 recognition key against the item category.

Also, if the recognition key is already defined at project definition level and we don't want to use the derivation logic for recognition key .Is it possible ?

@LaurenzoC 

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Chenchu_Zhong
Product and Topic Expert
Product and Topic Expert

Hi @Nikhil1905 ,

Currently, the configuration doesn’t allow for different revenue recognition keys for the same item category. However, you can further define the revenue recognition key at the material level within the SSCUI for the same item category. For example, you can set up a cost-based POC key for material A under item category TAN, and a completed contract method key for material B for the same item category. Another workaround in the current design is to define one revenue recognition key as the default, such as the cost-based POC key, since it covers most scenarios. You can then change the key to the completed contract method individually at WBS billing element level in the Event-Based Revenue Recognition - Projects app using the "Change Revenue Recognition Key" feature based on manual decisions. Regarding your second question, when a revenue recognition key is defined, your shall ensure that the derived recognition key matches the existing recognition key to proceed with project account assignment to a sales order item. Additionally, for manual decisions on the revenue recognition key at the project/WBS billing element level, there is a CIP: https://influence.sap.com/sap/ino/#/idea/339380.  If your customer wishes for the same, please encourage them to vote for it to support its inclusion in the future roadmap. 

With best regards, Chenchu

Nikhil1905
Explorer
0 Kudos
Thanks @Chenchu , for your prompt reply. This helps a lot!