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Generic Introduction:-

  • Vistex is a third-party tool developed by Vistex Inc.  Which was founded in early 1999 and headquartered in Chicago, USA, Vistex solutions have been developed to cater special business needs based on different Industry.

  • It is an embedded SAP Add-On; it is NOT an external application. In other words, it sits on top of ECC itself and which means there is no system interface development (ECC-Vistex). The most recent release of the Vistex is IP.v 6.0D and just like ECC, It has a different set of objects and tables.

  • It is best suited to handle complex calculation like processing rebates, sales commissions, Bill backs, chargeback and Price deals in ECC and Incentives and Paybacks (IP) Module have been branded as Global Solution Extension Product by SAP, licensed and supported by SAP through the SAP Service Marketplace since mid-2004.

  • With the Incentives and Paybacks (IP) Module, the concept of an 'order to cash' process has been extended and an additional document - IP (Incentive and Payback) document is introduced and there is no need to include calculation for rebate, chargeback and sales incentive at Billing document.

  • This concept covers all possible scenarios that a business is typically challenged with during its purchases and sales activities and the following sub-modules are included in the IP module:


A Chargeback is an amount claimed by a distributor from a manufacturer or vendor for the difference between their initial acquisition price and the actual agreed upon price for products/services sold to a specific end customer or partner.

Consumer product manufacturers engage in contracts with distributors to offer special or discounted pricing to specific end customers or end customer groups (retailers, operators).  This special pricing creates bigger market share, product recognition and customer loyalty for both the manufacturer and the distributor.

Since distributors do not normally procure special stock or inventory for specific end customers and because they must provide documented proof to the manufacturer that they actually sold the product to an end customer that qualified for the discount, the distributor ends up selling the product at or below their normal acquisition price and in turn must then file a claim with the manufacturer to recoup the money for the difference.

The Chargeback application of the IP Module enables distributors to execute their claim process efficiently and comprehensively.


Billbacks occur when a manufacturer negotiates an agreement with a channel partner or directly with an end customer for special pricing or spending programs. The product is sold to the end customer through a channel partner or the channel partner incurs expenses based on the negotiated spending program. The channel partner files a claim with the manufacturer. The manufacturer audits the claim and sends a payment to the channel partner. The end customer may also be eligible for a payment from the manufactures

Sales Commission and Incentive Compensation:-

Sales Incentive is the commission paid to personnel, including internal sales employees and non-employees such as dealers, distributors, and contract sales representatives, brokers, and so on, who are directly or indirectly responsible for the sale of the company's product or services.

Sales Rebates:-

Sales rebates are refunds or outgoing payments made to customers, channel partners and or group purchasing organizations for various reasons such as volume sales commitments, loyalty and revenue growth as agreed upon by the company and the customer or channel partner.

Purchasing Rebates:-

Purchasing rebates are incoming refunds or payments received from a manufacturer, vendor, or channel partner for various reasons, such as volume purchasing commitments, loyalty, and purchasing growth as agreed upon between the manufacturer/vendor/channel partners and purchasing company.

Landscape Overview with Integration of ECC and Vistex:

Vistex provides valuable solutions to organization that operates in one of the following sectors:

  •  Wholesale Distribution
  •  Consumer and Commercial Products
  •  Pharmaceutical and Medical Devices
  •  Industrial Machinery and Components
  •  High Tech and Electronics
  •  Process Manufacturing
  •  Retail

Benefits of Vistex Solution:-

  • Provides unprecedented visibility into the breadth and depth of go-to-market programs and enabling businesses with insightful information that drive revenue, control costs and increase margins.
  • Accelerate cash flow and reduce vendor receivables by eliminating errors,disputes, delays and Reduce administrative labor overhead costs.
  • Streamline maintenance of master data that drive business transactions
  • Serving businesses of all sizes worldwide across a spectrum of industries
  • Automation of claims and payouts

Reference link :-