SD Disputes & Complaints
Every Now and then one of the customers complains about the
goods they have been sent regarding Quality , Quantity and price. The Business
in that case will be inclined to
·
Receive short payment
·
Cancellation of Billing .
·
Credit and Debit Memo processing .
·
Correction of Invoice
·
Return process
·
Pro forma invoices
View Dispute Case from Display Document
Disputes & Complaints Usages
The business needs to notify the concerned department on any
short payment against receivables through a dispute case
The business needs to cancel an invoice when customer is
asking for a fresh invoice So the old
invoice needs to be cancelled with creation of a new one .
Credit or debit memo are issued when there is a difference
in amount in the invoice as reported by the customer .
Invoice correction we
do for quantity and Price change of a Item in an invoice.
When quality or quantity of goods are not satisfactory and
customer wants to return the goods then Return process configuration is
required in SD .
If a customer needs / business require a dummy invoice then
we create a Pro Forma Invoices .
Lets understand what
is disputes & Complaints management
cases in SD
Disputes
·
Cash
Manager discovers a reduced payment that exceeds the tolerances defined.
·
He
clears the corresponding invoice and creates a residual item
·
In the
same step he creates a dispute case for the residual item
·
If he
knows the reason for the dispute, he can assign it immediately, otherwise he
assigns an account manager as the next processor to find out the reason
·
Once the
reason has been determined, the processor has to determine whether the dispute
was justified
·
If the
reason was justified, the processor can create a credit memo and close the case
·
If the
reason was not justified, the processor can pass the amount to collections or
write the amount off
Complaints
Damaged goods or incorrect invoices lead to complaints.
If the complaint concerns valuable goods, the goods must
first of all be checked .To do this , it is stored in a specific place .
Customers receive a credit memo when they have had just
reason to complain . You must ensure that the correct amount is credited to the
customer account. Before a credit memo is issued, approval from an authorized
person is required .
Debit Memos
Process required on
below scenarios
·
Customer is less billed .
·
Quantity delivered is more than quantity ordered
.
·
Charged wrongly ( less price charged )
·
Debit Memo request created referenced to Order
or invoice.
·
To create a Debit Memo needs approval .
Credit Memos
Process required on
below scenarios
Approver needs to Release / reject the billing block form
Sales Document after analyzing following points :
·
Complaint is valid or not .
·
Amount is correct or not .
·
Customer is eligible for debit or credit memo .
If Debit / Credit Memo request is not approved then credit /
Debit memo cannot be raised .
Invoice Correction
Invoice need to correct instead of cancelling for following
cases :
·
Customer Don’t need a separate invoice No.
·
Customer don’t allow to cancel the invoice .
Invoice correction request is a combination of Debit and
Credit Memo .
Invoice correction request must be created in reference with
billing document only .
For every Item of
Billing document a second item is created .
Credit memo items are created followed by all Debit memo
items .
Credit memo item cannot be changed . Only debit memo item
can be changed
You can delete the credit and debit memos in pairs .
Invoice Correction Quantity Difference
Invoice correction for quantity difference happens –
·
Quantity delivered is more than order quantity
·
Quantity delivered is less than order quantity
Only debit memo item quantity can be changed.
Debit or credit memo can be generated for difference amount
only.
Invoice Cancellation
Invoice cancellation happens –
·
Customer asked for reject the invoice .
·
Invoice wrongly raised to the customer .
·
New invoice requirement .
After invoice cancellation Document flow ( Status ) will be
changed.
After cancellation only a new invoice can be generated
reference to the same delivery document .
Account Document posting will happen for cancellation
Document .
