Note 308989 - Consultant note for cross-company transactions

Symptom General information

1. In section I, you find an overview of the process flow and

functions in the standard system to answer general questions on
cross-company transactions/cross-company processing and
intercompany billing.
2. Section II specifies the Customizing settings and required
master data for the cross-company code sales with deliveryrelated intercompany billing by means of a sample process.
Other terms

Intercompany billing, cross-company, cross-company code sales, crosscompany code stock transfer
Reason and Prerequisites

Advice is required. Program errors occur.

Solution I. Process overview

A characteristic of the cross-company code sales is that the

sales organization in which the sales order is created and the
delivering plant are assigned to different company codes and as a
result, a revenue/cost allocation is required.
I.1 DeliveryDelivery-related cross company process
I.1.1 Sales order - delivery - customer billing document - intercompany
billing document (CROSS-COMPANY CODE SALES)
Relevancy for billing (TVAP-FKREL) = A
EXAMPLE:
The customer orders from sales organization 0001 (selling
company code 0001), the goods are delivered from plant LY02 (company
code of the delivering plant LY02). The delivery occurs in the shipping
point specified in the sales order which is assigned to the delivering
plant. The customer billing document (delivery-related) is created by
sales organization 0001, the intercompany billing document (deliveryrelated) is created by the sales organization of the delivering company
code and issued to the selling company code.
So that sales organization 0001 can sell goods delivered by
plant LY02, delivering plant LY02 has to be assigned to sales
organization 0001. Here, plant LY02 can be assigned to several sales
organizations since the relationship sales organization : plant is a 1
: n relationship.
It is possible that the sales organization of the delivering
company code (for example, LY01) belongs to a different company code
than the delivering plant LY02 that is, there is one sales organization
of the delivering company code via which the intercompany billing
occurs, the delivering plants themselves belong to different company
codes.
For this, also consider Note 99641.
Restriction: the statistics update and the business area
determination for the business area (that is, with the "original"

organizational data and not with the data of sales area IV which
enables a grouping of several materials from plants from several
company codes in a delivery) are only possible by means of a
workaround.
With the dependency on the distribution channel, you can
further differentiate the plants of a sales organization.

I.1.2 Sales order - delivery - intercompany billing document - customer

billing document
You can only create the intercompany billing document before
the customer billing document using Transaction VF01 (Create billing
document) and the specification of billing type "Intercompany billing".
You can only bill via the billing due list (Transactions VF04 and VF06)
if Note 38501 is implemented in your system.

I.1.3 Purchase order - replenishment delivery - intercompany billing

document (CROSS-COMPANY CODE STOCK TRANFER, STOCK TRANSPORT ORDER)
Relevancy for billing (TVAP-FKREL) = D
A plant procures material from the stocks of a different
plant which belongs to a different company code. Note 109254 contains
the relevant Customizing settings.

I.1.4 Intercompany billing document - internal credit memo

(CANCELLATION)
The document types of intercompany billing are not cancelled
using the usual document type "S1" but:
- IV with IVS
- IG with IGS

I.1.5 Returns request (IR) - returns delivery - customers credit memo intercompany credit memo (IG) (RETURNS)
The customer credit memo is created for the returns request
and the intercompany credit memo is created for the returns delivery.
I.2 ORDERORDER-RELATED CROSS COMPANY PROCESS
PROCESS
Sales order - customer billing document - intercompany billing
document
Relevancy for billing (TVAP-FKREL) = B
Currently, this process is not implemented in the standard
system. However, you have the option to implement this request by means
of a modification. For this, see Note 63459.
Further relevant notes: 157881, 84800, 207021, 206408, 172733, 202377,
203876, 137953, 207570, 209212, 211532.
Consider that this note will NOT deal with this process in
the following text.
I.3 ORDERTHIRD-PARTY BUSINESS
ORDER-RELATED CROSSCROSS-COMPANY PROCESS FOR THIRD
TRANSACTIONS

Sales order - purchase order - invoice

Relevancy for billing (TVAP-FKREL) = F
The vendor who delivers the sales order is assigned to a
sales organization which works in a different company code than the
sales organization which received the sales order. You can also only
implement this process by means of the modification solution of Note
63459.
Consider that this note will NOT deal with this process in
the following text.
***********************************************************************
II. DETAILS ON THE CROSS-COMPANY CODE SALES WITH DELIVERY-RELATED INTERCOMPANY
BILLING
II.1 SAMPLE PROCESS:

Customer 11 orders a material from sales organization 0001

in company code 0001. The goods are delivered by plant LY02.
VBAK-VKORG

0001

VBAK-VTWEG

01

VBAK-SPART

01

VBAK-KUNNR

11

VBAP-WERKS

LY02

In the delivery, the fields for the intercompany billing are

filled.
Rule: is the intercompany billing configured completely, the system
fills all fields listed below. If the configuration is incorrect, the
system does not fill any (!) field.
LIKP-VKORG

0001

LIKP-KUNNR

11

LIKP-VKOIV

LY01 !!

LIKP-VTWIV

L1 !!

LIKP-SPAIV

L1 !!

LIKP-KUNIV

22 !!

LIKP-FKDIV

dd.mm.yyyy

LIPS-VTWEG

01

LIPS-SPART

01

LIPS-WERKS

LY02

In status tables VBUK (header status) and VBUP (item

status), the system sets the billing totals status and intercompany
billing respectively.
VBUK-FKIVK

VBUP-FKIVP

After the goods are delivered, you can create the customer
billing document (external billing document) for customer 11. The
overall processing status VBUK-GBSTK of the delivery remains "B" (In
process) after the customer billing document since the intercompany
billing document has not been created.
VBRK-VKORG

0001

VBRK-VTWEG

01

VBRK-BUKRS

0001

VBRK-KUNAG

11

VBRK-SPART

01

VBRP-WERKS

LY02

To settle the costs and revenues, you create the

intercompany billing document in the company code of delivering plant
GB02 and issue it to internal customer 22. Internal customer 22
represents selling sales organization 0001 and is created for sales
organization LY01 in the company code of delivering plant GB02.
VBRK-VKORG

LY01

VBRK-VTWEG

L1

VBRK-BUKRS

GB02

VBRK-KUNAG

22

VBRK-SPART

L1

VBRP-WERKS

LY02

If you create the intercompany billing document, the system

updates the status.
VBUK-FKIVK

VBUK-GBSTK

VBUP-FKIVP

VBUP-GBSTA

SHORT:

Selling organizational data

organizational data
Company code
GB02

code

Sales organization
organization
LY01
channel

Distribution channel
L1

01

Division
Division
Plant

Delivering

0001

Company

0001

Sales

01

Distribution

L1
LY02

Plant

LY02
Customer
customer

11

Internal

22

II.2 CUSTOMIZING FOR THE SAMPLE PROCESS:

II.2.1 Enterprise structure

Plant - Allocate company code: Transaction OX18

Company code

Plant

0001

0001

GB02

LY02

Sales organizations -> company code: Transaction OVX3

Company code

Sales organization

0001

0001

GB01

LY01

GB02

LY02

Plants -> sales organization/distribution channel: Transaction

OVX6
Sales organization/distribution channel

Plant

0001 / 01

0001
LY02

LY01 / L1

LY01
LY02

For this, compare the table entries of Transaction

OVV9. Both table entries have to be maintained!

Sales organization -> assign internal customer number:

Transaction OVX5
Sales organization

Customer numberIV

0001

22

This table entry is identical with the entry in

Transaction OVVA.

II.2.2 Sales and distribution/billing/intercompany billing

Define order types for intercompany billing: Transaction OVV8

Dependingon the order types used, the corresponding

billing document types for intercompany billing are maintained here.

Assign organizational units per plant: Transaction OVV9

channel IB

Plant
Division IB
LY02

Sales organization IB

Distribution

LY01

L1

L1
Note: For IS-R, these assignments have to be
defined in plan maintenance (Transaction WB01 or WB02) directly.

Define internal customer number per sales organization:

Transaction OVVA

Sales organization

Customer IB

0001

22

Automatic posting to vendor account with SAP-EDI:

Transaction VOFC; Transaction WEL1; Transaction

V/40
If you do not want to post the invoice receipt to
accounting manually but directly by means of SAP-EDI, you have to
maintain the settings according to the documentation. You find more
explanations in Notes 137686 and 31126. Problem messages for this are

edited under the component SD-EDI.

II.3 MASTER DATA FOR THE SAMPLE PROCESS:

Create master data of customer 11 in the selling sales

organization: Transaction XD01
Customer

11

Company code

0001

Sales organization

0001

Distribution channel

01

Division

01

Create customer master record of internal customer 22 in the

sales organization of the delivering company code (Sales and
Distribution segment): Transaction XD01
Important: the customer master record has to be created with the
account group of the sold-to party completely.
Customer

22

Sales organization

LY01

Distribution channel

L1

Division

L1

The Accounting segment of the customer master of the

internal customer has to be created in the company code of the
delivering plant so that the intercompany billing document can be
transferred to Accounting.
Customer

22

Company code

GB02

Create material master record in the sales organization of the

selling and of the delivering company code: Transaction MM01
Material
Plant

LY02

Sales organization
Distribution channel

and

LY02

0001

LY01

01

L1

Condition master record PI01 or IV01 (quantity-dependent) /

PI02 or IV02 (percentage)
Create: Transaction VK11

Sales organization order

0001

Plant
LY02

Material
PUMP

The corresponding condition type is included in the pricing

procedure used with requirement 22.
Remark on pricing:

Condition type PI01/PI02 (condition category = I) is

indicated as a statistical condition in the sales order/customer
billing document. As a result, it has no effect on the pricing for the
customer. Up to Release 4.0, no particular pricing procedures were used
for intercompany billing (standard procedure RVAA01 only) but a fixed
logic was defined in the program.
As of Release 4.0, you are recommended to define and assign a
particular pricing procedure (procedure ICAA01, document pricing
procedure I). For reasons of upward compatibility, however, you should
still be able to use the old logic. Thus if you want to use a separate
pricing procedure, you should set the "Specific procedure" indicator so
that the program does not use the fixed logic.
In the intercompany billing document, the price PR00 is set
inactive and the condition type PI01/PI02 is replaced with condition
category IV01/IV02. Due to the reference to condition type PI01/PI02
defined in the definition of condition type IV01/IV02, the system
determines identical condition values. Condition type PI01/PI02
represents the costs of the selling company code in the customer
billing document whereas condition type IV01/IV02 is the price in the
intercompany billing document and as a result, represents the revenues
of the delivering company code. If you use these two condition types, a
correct transfer to the profitability analysis (CO-PA) is ensured.

Related Notes
543821 - FAQ: cross-company processing
394481 - Intercompany with make-to-order production
354290 - Message KI100 adj.for statistical accnt assignment
338922 - Analysis note for cross-company transactions (delivery)
69314 - Cross company without intercompany billing