In last week’s blog post I gave some insight into the fundamentals of SAP® vendor payment terms. In this article I will continue based on that and highlight some things that should be considered when analyzing payment terms in SAP® vendor master data. One of the issues which we solved in our pre-defined analytic solutions dab:AnalyticSuite is to analyze cases where payment terms are missing or where differences exist between payment terms. The key message is – casually formulated - not to compare apples with oranges when interpreting the results.
To sum up, payment term differences can happen. It can happen within each level (within procurement, within accounting), or between the levels (procurement vs. accounting):
This could lead to unintended behaviors, but not necessarily, considering the circumstances:
- Different payment terms within the levels can make sense (because of different regions with different payment practices), or because of contracts etc.
- Different payment terms between procurement and accounting for the same vendor can have negative impact, but it should be checked whether the purchase organizations are even assigned to the company codes in question.
I hope you found that blog post interesting. In my next (and last) blog post regarding payment terms I want to stress one important detail when analyzing which payment terms are used in transactions: Don´t judge a book by its cover! Stay tuned.
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