Settlement of Revenue Bearing Project

Hi,
Please tell me where can we settle a Revenue Bearing Project to ? I don't want to settle it to a PSG segment . Is it possible settle to the sales order line item (SDI) . Revenues or customer down payments can only be settled to G/L accounts, profitability segments, sales documents (SDI). so please anyone explain how to settle against sales document (SDI) what is prerequisite for this. Please explain step by step if possible.
Regards

Hi Nivrutti ,
You are repeating your question so many times.
Please study about settlement and check why you want to settle your projects.
Muzamil

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Revenue bearing service order and non-revenue bearing service order

Hi Gurus,
1) Please let me know the difference between Revenue Bearing Service orders and Non-Revene bearing service orders.
2) What is the difference in settlement of both?
3) It will be helpful for me to understand if you can give examples for each.
Regards,
Sam

can you tell me the difference revenue bearing service order and non-revenue bearing service order with example.
how to handle the repair and return process in a gear business company. i m servicing the gear box which i supplied one year before to a customer. now i m returning back to my comany and do some repair, quoting the customer and charging them.
how to caputure this process in customer service module.
regards
vinoth

Result Analysis , Settlement and Revenue

Dear Gurus,
I really appreciate if you can help me in resolving the below issue.
We are using results analysis and settlement processes in our project
We want to recognize the revenue before billing.
Is there any way I can post actual revene to financial accounting before doing
billing through Settlement.
I would be greatul to you guys if some one can help me at the earliest .
Thanks,
Viswas Anantharangachar

Hi,
In my understanding this is the requirement of Revenue recognition functionality implementation. This is more SD than PS function. Please use T-Code VF44 , or VF47.
Please remember that the RR functionality was not enough stable in the ver 4.7 so you must have ECC5 in place.
Enjoy SAP.
Dont forget to give points if its useful ans.
Namskar,
Ketan Dave

Settlements from revenues/debit-side down payments to receiver fixed asset

Hi
while settling the WBS to AUC i am getting the below error
settlements from revenues/debit-side down payments to receiver fixed asset is not allowed
please advise how to resolve the issue
Thanks
Rao...

Hi Rao,
As a matter of system design revenues must not be settled to assets under construction and/or regular assets.
Please see the note #741828 which explains the problem more detailed.
In some cases it is sufficient to maintain a "dummy" settlement rule (e.g. internal order as a receiver for the revenues) if the BALANCE of the revenue cost element in the settlement period is "0". The note #741828 advises in detail on how to proceed.
As a last resort the note also offers a coding change in case you do not want to follow the workaround (so that message KD561 is suppressed during settlement). You may thus remove the coding change again after you have successfully settled.
Regards Bernhard

Reports to check the settled costs/revenues

Hi All,
Can you please suggust me some reports to check settled costs/revenues with sender and reciver details.
Muzamil

Hi,
Try this:
Tcode CJ13, Input the fields.
Execute amd hit F7, Now hit Shift+F7.
This screen will take you to the settlement hierarchy screen.
Hoope its useful.
Reward point if useful. Revert back if any other issue.
Thanks..

Settlement of Revenues from IO to CC

Hey there,
We are on ECC6.0 with New GL Doc Splitting active. We would like to:
1. Book the Revenues on an Internal Order as real object hitting NO cost center at all.
2. Settle the IO by giving the Revenues in some % to 3 or 4 different Cost Centers.
3. The receiver Cost Centers are allowed for Revenue Postings.
4. On running the Settlement we receive the message as: Either the sender is already settled, or there is nothing to settle
5. Does this mean that there is no way we can settle the Revenues from IO to CC?
Please Help...

Thanks for your reply Ram. I already had updated those fields...
I found out that it would eventually not be possible as I got this error with a Note stating that:
Note
Revenues can only be settled to G/L accounts, profitability segments, sales documents, real estate objects, orders with revenues, or WBS elements.
So now I think that Revenues cannot be settled on a Cost Center.
What are your thoughts on it Ram?
Thanks...

Settlement message in service project settlement

Hi,
I am having issue during period end closing. Settlement say no accrued amount found for settlement. But when I see report project has the following values,
(rev)-2000
(cost)1500
Total= -500
Should these costs/ rev need to be settled some where as a period end closing? If yes then where? CJB2 generates profitability segment rule.
Do I need to run WIP before settlement? Project is already billed. (When I go there WIP shows this error 'KJ217 revenue are not planned')
When I do not bill customer only charge employee hours in project. WIP shows value and allow executing. And so the Settlement of project. So can settle expanses to PA and see report.
Addition Info:
We are creating projects from contract. There are services provided to customer in this particular scenario.
We are assigning employee hours from CATS and activity planning from CJR2 on WBS.
Billing customer using RRB and creating billing doc and invoice from there.
WBS has RA key assigned for RRB
Settlement rule automatically generate rule to settle in PA segment.

Thanks you for the quick response. When I run KKA2 it gives me the following message:
"Planned revenue for valuation is zero". I already have revenue planned in the project from cj42.
Please explain
Thanks

Migration of Revenue and Project Invoices

Hi,
We are implementing Oracle Projects (Costing and Billing) but AR is already implemented and using since long. We are migrating Revenue and Invoice data for open projects.
For revenue migration, we are uploading summarized cost and generating revenue and will reverse the entry in GL.
For Billing : We are entering one billing event per project and generating Invoice and then interfacing it to AR. In AR, we are making invoice Incomplete and then deleting the invoice from AR transaction form. We want to understand, is this the correct approach?
Regards,
Kalpesh

hi
Right click the Migrated wedynpro development component, Selece the Development component and select the deploy. If you have configured the j2ee engine , then the developed component will deployed to the j2ee engine
Regards,
Arun

Error while Settlement to AUC from Project CJ88

Hi,
ECC 6.00/PSM-BCS
While settling the Project to AUC I am getting the below error. Please advice.
*Asset DAML 000009000004 0000: no subnumber with FM assignment CAPEX / /*
Message no. AW851
Diagnosis
During settlement of sender WBS DAMEPL 1.1.1.1 there was an attempt to settle a posting that has account assignment CAPEX / / (fund/functional area/grant) to an asset subnumber. However, the receiving asset DAML 000009000004 0000 does not have an asset subnumber with this assignment.
System Response
The posting on this sender cannot be settled to an asset subnumber.
Procedure
Either create an asset subnumber with account assignment CAPEX / / for asset DAML 000009000004 0000, or settle to a different receiver.
If this message appears as a warning only, then the posting from this sender is settled to the asset main number.
Fund Capex : CAPEX
Company Code : DAML
WBS Element : DAMEPL 1.1.1.1
Best Regards
Shekhar
Edited by: Chandrashekher Yellapragada on Jun 5, 2010 7:00 PM

I am facing the same error and find this OSS Note 440396 - Missing entries for configurable messages in IS-PS-FM where you can deactivate the error message.
Hope this will solve your issue too.
Regards,
OSS Note 440396
Symptom
System issues messages AW851,AW852,AW856 or AW857 as Error even though
functionality exists to make these configurable.
Other terms
LAIMBFM1, OBA5, AW, AW851, AW852, AW856, AW857
Reason and Prerequisites
Missing entries in tables.
Solution
Create Application Area for Customizable messages for 'AW' using transcation SM30 with view V_T100SA.
Next using transaction SM34, enter view cluster VC_T100S, click maintain and select Application Area AW and double click Messages. Add the following entries:
AppArea     No. Allowed Values     Std     Switch off
AW     851    EWI     E          X
AW     852    EWI     E          X
AW     856    EWI     E          X
AW     857    EWI     E          X
Afterwards with Transaction OBA5 insert the entries for the messages you want to customize, and set them to the error level the behaviour should be for your particular case.

Order Settlement Process in Discrete/Project

Hi,
a)I would like to know the Production Order Settlement Process in Discrete Industries and for a Production Order with respect to a Project.
B) What configuration steps are required to do the Production Order Settlement?
c) I have completed Confirmation of the Production Order and "Delivery Completed" indicator is marked in Goods Receipt Tab of the PRoduction Order.
Can anyone tell me the steps to be followed one by one to do the Production Order Settlement.
d) From where we can check whether Production ORder Settlement Rule is created or not?. What configuration steps are required to create this rule for a Production order and what steps are to be performed after this rule is created.
Appreciate if someone provide me inputs to my above queries.
Thanks in advance for your support.

Hi,
Find the answers for your questions..
a)I would like to know the Production Order Settlement Process in Discrete Industries and for a Production Order with respect to a Project.
After all PP activities are done production order techo is done... then controlling people will do following activities..
Variance calculation - KKS2
Settlement - KO88
B) What configuration steps are required to do the Production Order Settlement?
For this lot of configuration is required from controlling module..check with FI/CO consultant on this..from PP side they will give settlement profile..you need to maintain this in order type configuration on OPJH
c) I have completed Confirmation of the Production Order and "Delivery Completed" indicator is marked in Goods Receipt Tab of the PRoduction Order.
Can anyone tell me the steps to be followed one by one to do the Production Order Settlement.
you need to change the status of the order to TECO then inform controlling they will do following activities...
Variance calculation - KKS2
Settlement - KO88
d) From where we can check whether Production ORder Settlement Rule is created or not?. What configuration steps are required to create this rule for a Production order and what steps are to be performed after this rule is created.
in the order header status you can see settlement rule is created or not. It will have the status SETC. Settlement rule is created during order creation stage only..no separate configuration required for this..
Hope this helps...
Thanks
Kumar

Production ordre settlement to revenue G/L account

Dear All,
The user has created one production order with order type PP05 that is for "Repair Work Order". The settlement rule receiver category is the G/L account Income statement account group and it has been created as a cost element with cost element category "1".
we assume that the receiver G/L account is "S999710099" that is "   Total Production Credits - Manual Adj".
the production order has been created without material because of this is for repairs for production machines. for this some materials are issued and labours are also posted to this production order.
in the allocation structure, settlement cost elements folder we have given the settlement cost element "S999720003" that is "Over/Under Absorbed-Manufact (Cost Elem Ca" with the cost element category "22".
when we do the production order settlement by using the KO88, the document has generated as below:-
Itm PK Account    Account short text   Cost ctr   Tr.prt Profit ctr           Amount Text
1 40 S999710099 Total Prod Credits   JX09A00180        JX09                106,75 ORD 6002531
2 50 S999720003 Ovr/Und Abs (CEC=22)                   JX09                106,75- ORD 6002531
Here the 2nd lind item is not updated the Cost Center. The user is also don't know weather the cost center is requied are not for the 2nd line item. I am also don't know weather the cost center is requied or not?
Could any body help me in this the cost center is required or not for the 2nd line item cost element, category is 22.
Thanks and regards,
Mr.Rao.

Hello Mr. Rao,
Cost Element Category 22 is for external settlement which means that they are used to settle order costs, project costs, or cost object costs to objects outside of CO. These objects could be assets (Asset Management), materials (Materials Management), or general ledger accounts (Financial Accounting). The System creates an accounting document when the costs are settled. Therefore the system is right in not posting that to an cost object.
However, what I feel is that the credit entry should have been posted to the order with GL S999710099 and the debit should have been to this one. Is the order having a credit balance or its incorrect configuration.
If you want to analyse the repair costs by cost centers then you should have defined secondary cost element with category 21 and then you could have settled this to cost center.
My personal opinion is you should take the repair cost to some cost object either Cost center or PSG in COPA (in case you have COPA) to analyse the information on some basis.
Kind Regards // Shaubhik

Settlement of material on Project

Hi
How WBS settle on material ? as per my knowledge material can not settle on project WBS or network order and it only settle on production order. Is it right way to settle material on project or it is not possible. when I maintain settlement rule receiver as material system throw error message material receiver only in production order as in prerequisite settlement profile I maintain material as receiver. can any one focus on above issue.
Regards

Hi Pramila
Thats correct... Material as settlement receiver is only possible for Prod Order.. You can not settle WBS on a material...
You can create a prod order in relation to WBS.. All costs posted on production order... Later on when you settle the prod order, it gets settled onto material and the stock from production order gets assigned against the WBS element
Thats the way it works....
Regards
Ajay M

Deferred Revenue in Projects

Hi
Can any one tell me how to handle deferred revenue in Oracle Projects .
Here a situation:
Customer Agreement for $ 20000. Customer has paid the full amount at the project begining and just would want monthly invoice as work is completed.
There are cases when monthly amount is fixed for some projects and for some it varies. How can we recognize revenue for such cases
Request to also tell about how the accounting -I'm sure we can set the auto accounting to our need but would want Experts Opinion.
Thanks
PVTK
Edited by: PVTK on Aug 10, 2009 4:23 PM

Hi
Deferred Revenue classification of an event means that the event amount will be included in an invoice but will not have direct effect on revenue. Manning it should not be included in a draft revenue.
I see two issues in your original question -
A) How to manage the project invoicing where payment was collected up front?
B) How to generate revenue?
For the first issue you may go with the suggestion to capture the cash receipt from the customer in On Account status, and later on apply the appropriate amounts to the monthly invoices. This is an AR challenge, as described in prior discussion.
Alternative, we took another approach. When customer is prepaying all or part of the contract amount, we generate an invoice in Projects Billing based on Event (could be a deferred revenue event class). We apply in AR the prepayment amount to that invoice. Later on when project is executed, we generate invoices based on contract terms. We have developed a billing extension which calculates the prepayment reduction amount from that invoice, and generate a negative event. As a result the invoice has regular lines based on work done or milestones, and an extra negative line for the prepayment reduction. The net amount sent to the customer is zero, in case the gross amount of the invoice was already prepaid.
Revenue generation should be based on the accounting regulations governing your projects. Revenue could be generated based on expenditures charged to the project (WORK method) or based on progress percentage, or on completed milestones and deliverables amounts.
Dina

About Generating Settlement Rule in Customer Project

Hi Experts,
I am doing the exercise of customer project T-100## in CA830.
While generating the settlement rule, the error log appeared: No profitability segment could be determined for the billing elements. So the settlement rule generation failured.
May somebody guide me how to solve this problem.
Thanks in advance!

Hi Balakrishman,
In my case, the fields of Business Area/Profit center have already been maintained. I think there must be other reasons that result in these error. Hope we can discuss further. Thank you for your help!
Regards,
Allen

Cost / Revenue for Project Role Types

Dear All,
I need your suggestion on cost / revenue rate for multiple project roles type of the project elements. I am defining various project roles such as account manager / project manager / Team leader / Team members etc. which will be assigned to project. There will be different cost / revenue hourly rate for each role type. I have defined hourly cost / revenue rate for organisation management. But i oberved that hourly rate is getting copied to all type of role in project & the same is update as planned cost.
Request you to suggest how to mainatin different hourly rate for various project roles in side project.
Thank you in advance.
Regards,
Ranjan

Hi,
Make sure you have done following settings
SPRO>Collaboration Projects >Connection to External Systems>Accounting Integration>Define Cost/Revenue Rates
here you define Cost revenue rates
Now i feel you have assigned these rates in define Task types in SPRO>Cproj>structure>define task types
in this case it ll take same cost revenue rates.
you remove these
and in SPRO >Collaboration Projects > Resource Management>Basic Settings for Project Roles> Role types
assign the rates.
clear the browser Cache, cookies.
Make sure you log off and then try to create new Project with the settings
It shd help.
P.s. Zhenbo plz correct me if im wrong...
Niranjan
Award points if useful.

Settlement of Revenue Bearing Project

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