1.

➔ Settlement Management ➔ Condition contract ➔ Sales Rebates Settlement Management is

the key solution within S/4 HANA to handle subsequent settlement of Customer and Vendor
rebates. Condition Contract Management provides a central, standardized solution for
administration of supplier and customer conditions. Accruals can be calculated and posted as
a statistical condition in an Extension Ledger in FI. Pricing conditions can be mapped to value
fields in Combined COPA to provide detailed Gross-to-Net Revenue analysis. Prerequisites
Understanding of Rebate Management in ECC. Understanding of Condition Contracts in SAP
S/4HANA 1709. For details on what condition contracts are, you may please refer to my blog.
Understanding of basic SD terms Condition Type, Condition table, access sequence, pricing
procedure etc. Some of the key pain points of ERP rebates were: Lack of flexibility in defining
the business criteria for rebates. This was pretty much restricted to billing data for sales. From
a Sales side, data was redundantly duplicated into giant tables (VBOX, S030, S136). Change in
rebate conditions required regeneration that locked down tables. Separate processes (area of
configuration, transaction codes) for both supplier and customer Condition contract types as
per business scenarios Basic scenario with a condition contract for one customer (0S01)
Condition contract for multiple customers (0S02) Condition contract for one customer with a
two-step settlement (0S03) Condition contract for multiple customers with a two-step
settlement (0S04) Condition contract for one customer with goods-related rebate taxation
(0SG1) Condition contract for multiple customer and goods-related rebate taxation (0SG2)
Condition contract for one customer, goods-related taxation, 2Step settlement (0SG3)
Condition contract for multiple customer, goods-related taxation, 2Step settlement (0SG4)
Condition contract for TPM integration, one customers (0ST1) Condition contract for TPM
integration, multiple customers (0ST2) Condition contract for TPM integration with claims, one
customers (0ST3) Condition contract for TPM integration with claims, multiple customers
(0ST4)
2. TARLANA GANESH 2 2. Configuration ➔ Condition contract ➔ Sales Rebates i) 1. Configure
Pricing including Condition Contract Conditions In this step, you define pricing conditions that
are relevant for the calculation of the settlement amount during the condition contract
settlement. In particular, we make specific settings for the so-called condition contract
conditions which you enter in the condition contract maintenance in the Conditions screen
area. Contract conditions usually comprise the rebate and accrual conditions. ii) 2. Configure
Condition Contract Maintenance In this step, you first define and configure parameters for
condition contract types and then the condition contract types themselves. iii) 3. Configure
Condition Contract Settlement In this step, you first define and configure parameters for
condition contract settlement. Then you enhance existing condition contract types with these
parameters 2.1. Configure Pricing & Conditions 2.1.1. The Following settings are mandatory in
rebate processing: A. Activate Rebate processing in the Sales Organization IMG Path Enterprise
structure ➔ Definition ➔ Sales and distribution ➔ Define Copy, Delete, Check Sales Org.
Transaction code OVX5 Select your sales org. click on detail button and then Tick the Rebate
Processing active check box.
3. TARLANA GANESH 3 B. Activate Rebate processing in Billing Document type IMG Path Sales
and distribution ➔ Billing-Billing documents ➔ Billing type Transaction code VOFA Select the
billing type go to details (T-code- VOFA) and then Tick the checkbox- relevant for rebate
processing C. Activate Rebate in Payer Master Record Open the Business Partner master record
-T-Code: BP ➔ Business Partner
4. TARLANA GANESH 4 go to Sales and Distribution tab ➔ Order tab ➔ check relevant for
settlement management Go to billing tab and then check Rebate tick ( ) Save it. 2.1.2.
Condition Tables Creation IMG Path Logistics General ➔ Settlement Management ➔ Basic
Settings ➔ Pricing ➔Sales (SD) ➔ Define Condition Tables Display Condition Tables
Transaction code V/03 We have created new condition table as 501 & 502 ➔ Condition contract
and COCO- Material ➔ COCO_NUM
5. TARLANA GANESH 5 2.1.3. Access Sequences Creation IMG Path Logistics General ➔
Settlement Management ➔ Basic Settings ➔ Pricing ➔Sales (SD) ➔ Define Access Sequences
Transaction code V/07 SAP has given standard access sequence COMP Here we have created
our own access sequence ZOMP instead of COMP We have assigned two tables ➔ 501 & 502
2.1.4. Condition types Creation and Assignment of access sequence to Condition types IMG
Path Logistics General ➔ Settlement Management ➔ Basic Settings ➔ Pricing ➔Sales (SD) ➔
Define Condition types Transaction code V/06 We have standard condition types but we are
created own condition types as per business scenarios as below
6. TARLANA GANESH 6 Condition type Description Access seq Description ZAST SF: Already
Settled N/A ZBSO SF: Business Volume N/A ZRA1 Rebate Accruals_REA1 ZOMP Condition
Contract & CC/Mat. ZRBA Bonus Accrual ZOMP Condition Contract & CC/Mat. ZRBD Rebate
BusVol_REBD ZOMP Condition Contract & CC/Mat. ZRBT Rebate ZOMP Condition Contract &
CC/Mat. ZREB Bonus Accrual ZOMP Condition Contract & CC/Mat. ZRJ1 Rebate AdjusT_REJ1
ZOMP Condition Contract & CC/Mat. ZRS1 Rebate_RES1 ZOMP Condition Contract & CC/Mat.
ZRSA Rebate AccrualsSettl N/A ZRU1 Rebate Unlike_REU1 ZOMP Condition Contract & CC/Mat.
ZRV1 Rebate Verified_REV1 ZOMP Condition Contract & CC/Mat. Same condition types created
in SD side, MM side and we have assigned access sequence to required condition types 2.1.5.
Maintaining Pricing procedure IMG Path Logistics General ➔ Settlement Management ➔ Basic
Settings ➔ Pricing ➔Sales (SD) ➔ Define Pricing procedures Transaction code V/08 We have
created two pricing procedures for below business scenarios Sales Rebate Condition contract
➔ A10005 ➔ Z10005 (Only SD) Settle Bonus (MM & SD) ➔ BSETTL ➔ ZBSTTL OTC procedure
➔ RVAA01➔ ZSDPRO (Maint Req condition types) Sales Rebates Pricing procedures ➔ Z10005
Note: - Need to maintain gross amount step and Maintain subtotal as 9 then only rebates
values posted into accounting document including tax
7. TARLANA GANESH 7 Assigned required condition types and This procedure will be determine
while generating credit memo after executing Contracts settlement ➔ WB2R_SC Order to cash
Pricing procedure ➔ ZSDPRO (Factory sales) We have assigned required rebate condition type
ZRS1 in OTC procedure When we create sales order the rebate condition values copied from
sales rebate contract (ZS12) to sales order 2.1.6. Specify CC-Relevance for Condition Types IMG
Path Logistics General ➔ Settlement Management ➔ Basic Settings ➔ Condition Contract
Management ➔Condition Contract conditions ➔ Sales ➔Specify CC Determination Relevance
and Copy Control for Condition Types Transaction code VM17 We need to activate the
condition types are relevant for Condition contract or not Check the Relevant for Condition
Contract Determination in Pricing indicator and the Usage parameter for the following
condition types
8. TARLANA GANESH 8 2.1.7. Define Condition type group IMG Path Logistics General ➔
Settlement Management ➔ Basic Settings ➔ Condition Contract Management ➔Condition
Contract conditions ➔ Sales ➔Define Condition type group Transaction code VM12 We have
created our own condition group ZS01 instead of 0S01 2.1.8. Assign condition type to
Condition type group IMG Path Logistics General ➔ Settlement Management ➔ Basic Settings
➔ Condition Contract Management ➔Condition Contract conditions ➔ Sales ➔Assign
Condition Types to Condition Type Groups Transaction code VM13 Here we are assigning our
rebate condition types to Condition type group ➔ ZS01 Select entry ZS01 and then double
click Condition Types for Group as below
9. TARLANA GANESH 9 Here we must assign our required rebate condition types and tables
2.1.9. Define Account Keys for rebate conditions IMG Path Logistics General ➔ Settlement
Management ➔ Basic Settings ➔ Account Determination ➔ Revenue Account Determination
(SD) ➔ Define and Assign Account Keys Transaction code VOK11 We are standard account key
for rebate condition type Assigning account keys to sales rebate condition types This setup will
help to post rebate credit memo to accounting document
10. TARLANA GANESH 10 2.1.10. Assign GL accounts ➔ OS1, ERB, ERU IMG Path Logistics General
➔ Settlement Management ➔ Basic Settings ➔ Account Determination ➔ Revenue Account
Determination (SD) ➔ Define and Assign Account Keys Transaction code SPRO Select entry
Account key table and assign g/l Account for sales rebate This setup will help determine G/L
accounts to post accounting documents 2.1.11. Define Document Schema Groups for
Settlement Document Types IMG Path Logistics General ➔ Settlement Management ➔ Basic
Settings ➔ Pricing ➔ Sales ➔ Define Document Schema Groups for Settlement Document
Types Transaction code SPRO We have created two document schema groups ZS instead of OS
for sales rebate process and Bonus settlement process ZB instead of FB
11. TARLANA GANESH 11 2.1.12. Pricing Procedure Determination IMG Path Logistics General ➔
Settlement Management ➔ Basic Settings ➔ Pricing ➔ Sales ➔ Specify Pricing Procedure
Determination Transaction code SPRO This setup will help to determine sales rebates pricing
procedure while creating credit memo after rebate actual settlement WB2R_SC This setup like
our SD pricing procedure determination 2.2.Configure Condition Contract Maintenance 2.2.1.
Define Number Ranges IMG Path Logistics General ➔ Settlement Management ➔ Condition
Contract Management ➔ Condition Contract Maintenance ➔ Define Number Ranges
Transaction code SPRO We have maintained separate number range for our own contract type
We have created CH for sales rebate contract and SD for Sales bonus process
12. TARLANA GANESH 12 2.2.2. Define condition category (Optional) IMG Path Logistics General
➔ Settlement Management ➔ Condition Contract Management ➔ Condition Contract
Maintenance ➔ Define Condition Contract Categories Transaction code SPRO This setup
behaves like sales document category 2.2.3. Define and Configure Field Status Groups for
Header Fields (Optional) IMG Path Logistics General ➔ Settlement Management ➔ Condition
Contract Management ➔ Condition Contract Maintenance ➔ Define and Configure Field
Status Groups for Header Fields Transaction code SPRO This setup will help to control the
fields in condition contract type Its similarly looks like BP role field control
13. TARLANA GANESH 13 2.2.4. Define Condition Contract Types IMG Path Logistics General ➔
Settlement Management ➔ Condition Contract Management ➔ Condition Contract
Maintenance ➔ Define Condition contract types Transaction code SPRO We have created ZS01
contract type instead of 0S01 for sales rebate condition contract type as below Here we have
changed some fields like as below Number ranges ➔ 01 to CH Condition type group ➔ 0S01 to
ZS01 Note: - This setup like sales document controls and if you create any new value need to
assign here and then this contract type behaves as our own contract type.
14. TARLANA GANESH 14 2.2.5. Activate Additional Functions IMG Path Logistics General ➔
Settlement Management ➔ Condition Contract Management ➔ Condition Contract
Maintenance ➔ Additional checks ➔ Activate Additional Functions Transaction code SPRO
The additional features for the maintenance of conditions in a condition contract are active in
the Cloud delivery.
15. TARLANA GANESH 15 2.3. Configuration for Settlement document process 2.3.1. Maintaining
settlement document types IMG Path Logistics General ➔ Settlement Management ➔ Basic
Settings ➔ Settlement Documents ➔Settlement Document Types Transaction code SPRO We
have standard settlement document type 0S12 and we have created ZS12 copied from 0S12
Here we have changed some values Document schema group ➔ ZS instead of 0S Account
determination procedure ➔ KOFI00 Here document schema group as like document pricing
procedure in sales document type controls and We need to GL account against account key
“0S1” for rebate credit memo account documents.
16. TARLANA GANESH 16 2.3.2. Maintaining settlement document types IMG Path Logistics
General ➔ Settlement Management ➔ Basic Settings ➔ Settlement Documents ➔Settlement
process type Transaction code SPRO Here we have assigned our settlement document ZS12
➔ZS10
17. TARLANA GANESH 17 2.3.3. Allowed Combinations Settlement Process Type / Settlement
Document Type Here we are assigning settlement document type to settlement process type
IMG Path Logistics General ➔ Settlement Management ➔ Basic Settings ➔ Settlement
Documents ➔Allowed Combinations Settlement Process Type / Settlement Document Type
Transaction code SPRO This setup will help to maintaining link between Settlement document
type to settlement process type Note :- When we create settlement documents, it will the entry
whether the settlement document type is allowed for the settlement process type or not and
these fields will help to display our customized settlement doc and process types while
creating condition contract.
18. TARLANA GANESH 18 2.3.4. Specify Settlement Settings for Condition Contract Types IMG
Path Logistics General ➔ Settlement Management ➔ Condition Contract Management ➔
Condition Contract Settlement ➔ Specify Settlement Settings for Condition Contract Types
Transaction code SPRO Select our condition contract type ZS01 click to open detail mode as
below Here we need to assign our Settlement Proc. Type (Accounts Receiv) ➔ ZS10 Settlement
Doc. Type (Accounts Receiv) ➔ ZS12
19. TARLANA GANESH 19 3. Order to cash Process with condition contract settlement The general
process in the CCM differs from the standard Rebate processing in the sense that there is no
rebate Agreements at the first step. There are Condition contracts which need to be created
and released. 3.1.Steps to create Condition Contract Now we are creating condition contract
for sales rebate and release the contract then our rebate value will be determining while
creating sales order 3.1.1. Execute transaction WCOCO and click on ‘Create’ Select the type of
contract you would want to create like ZS01 which is created as our own contract type Note: -
We have SAP standard contract type 0S01 and we have created our own contract type as ZS01
because of we should not disturb SAP standard document types. Enter the customer, validity
period and our sales area for which you want to create the condition contract
20. TARLANA GANESH 20 Enter the business volume selection criteria. This step defines which
invoices are relevant for application of this condition contract We have multiple combination
of business volume selection criteria. Click this option to add business volume selection
criteria line and here We have selected “0001” customer and need add details as below
screenshot Now Go to settlement data tab and add material number
21. TARLANA GANESH 21 Go to settlement calendar Enter the Settlement Calendar. This step
denes when you would like to carry out partial/final settlements Here we have different
options to maintain for settlement calendars and settlement date types and we have added
manually this entry. Create rebate condition as below screen shot
22. TARLANA GANESH 22 Earlier we have created two combinations of condition tables those will
be appear as dropdown list as above screen shot Here we need to select any one combination
to create rebate condition while creating condition contract This step defines as we are
creating new condition record in condition contract level and save it . If we enter any incorrect
data, then system will throw the below error pop up
23. TARLANA GANESH 23 Click button then system will show the incorrect data screen as below
Now we need correct the data and save the contract then system will allow to save the
contract as below pop up Condition contract number generated “3000000004” Go to change
mode ➔ WCOCO ➔ 3000000004
24. TARLANA GANESH 24 Click and then contract will open as below screen shot Click to release
the contract for further process and One thing is of utmost import is to release the contract.
Hence release the contract in WCOCO
25. TARLANA GANESH 25 Once sales rebate condition contract is released the we need to start
O2C process as below I won’t be explaining how to create a Delivery, PGI, Invoice etc but what
needs to be mentioned is that either these documents can be created before the condition
contract creation or after the condition contract creation. In case Sales document is created
after the contract creation, ZRS1 rebate condition would be available in the conditions tab
 automatically Sales process flow Creating sales order ➔ VA01 Double click the line item and go
to condition tab
26. TARLANA GANESH 26 See here the rebate condition is determined from contract to sales
order as above screen shot Note: - In case the Sales document is already created before the
contract creation, the rebate would be provided as part of the settlement process and rebate
condition would be visible in Credit memo which will book the correct accrual amount to the
respective accounts. So there is no need to adopt the Sales order anymore. . Creating delivery
document ➔ VL01N Delivery document is created with reference to sales order “19” . Creating
billing document ➔ VF01 Billing document is created with reference to delivery document as
below See the below pricing conditions along with rebate amount
27. TARLANA GANESH 27 and accounting document has been created automatically. Go to
change mode of billing document ➔ VF02 Click account document
28. TARLANA GANESH 28 Now we need to do customer payment for this invoice. Receipt of
money- Customer Payment ➔ F-28 Enter required input data and then click enter button
29. TARLANA GANESH 29 ➔ Payment is completed. We have successfully completed Order to
cash process.
30. TARLANA GANESH 30 Condition contract Actual settlement Run SAPGUI transaction
WB2R_SC – Settle Condition Contracts Click system will give pop up as below
31. TARLANA GANESH 31 Settlement Results as below screen shot Credit memo “8” has been
created with reference to sales rebate condition contract 3000000004 Credit Memo In WCOCO,
you can see a credit memo created with relevant values as below
32. TARLANA GANESH 32 After settlement running the ZRS1 ➔ 15% Rebate condition in the
credit memo In the Header conditions, you will find the Rebate condition we had created as
part of the condition contract as below Accounting document “1600000001” posted with
reference to credit memo “0000000008” Accounting document is posted
33. TARLANA GANESH 33 Business Volume ➔ WB2R_BUSVOL As you can see below, business
volume 1.379.999,38 is updated against the condition contract I have done rebate settlement
for SD module side and I have prepared config document for our reference and update to all
my team members. If I missed any step please revert me anytime.
34. TARLANA GANESH 34 Important transactions for Settlement Management
35. TARLANA GANESH 35 Settlement Management  Report WB2R_BVDETAIL ➔ Detailed
Statement for CC Settlement Important Transactions - Settlement Management WCOCO
Contract settlement Creation WB2R_SV_CORR Correct Supplier Contract Settlement
WB2R_BUSVOL Business Volume for Contracts WB2R_UAC Update Accruals Customer
Settlement WB2R_BVDETAIL Detailed Statement for CC Settlement WB2R_UAV Update
Accruals Supplier Settlement WB2R_BVDETAIL_IDA Detailed Statement CC Settlement IDA
WB2SEL_AB Settle. Mgmt. Doc Selection (seltool) WB2R_CANCEL_DOCS Cancel documents for
contracts WB2SEL_AB_LST Settlement Management Selection tool WB2R_DOC_ENTRY
Contract Settlement: Manual Entry WB2SEL_AC Accounting Document Selection
WB2R_EXTENSION Condition Contract Extension WB2SEL_IV Inbound Invoice Selection
WB2R_IMG Customizing Contract Settlement WB2SEL_MD Material Doc. Selection (seltool)
WB2R_RAC Reverse Accruals Customer Settlement WB2SEL_OD Delivery Selection (for seltool)
WB2R_RAV Reverse Accruals Supplier Settlement WB2SEL_PO Purchasing Document Selection
WB2R_SC Customer Contract Settlement WB2SEL_SHD Shadow Selection (for seltool)
WB2R_SC_CORR Correct Customer Contract Settlement WB2SEL_SI Customer Billing
Document Selection WB2R_SETTL_CAL Settlement Calendar List WB2SEL_SI_LST Customer
Billing Doc. List Selection WB2R_SETTL_VAL_IDA Settlement Amounts CC Settlements
WB2SEL_SO Sales Order Selection (for seltool) WB2R_SV Supplier Contract Settlement
WB2SEL_TC Tr. Contract Selection (for seltool) WB2R_AB_DOCS Settlement Mgmt. Docs for
Contracts WB2SEL_Z1 Selection for Add-On z1 WB2SEL_Z2 Selection for Add-On z2
WB2TEW_FULL Dummy for ALV Variants (Fullscreen) WB2SEL_Z3 Selection for Add-On z3 WB2V
 Messages for Supplier WB2TEW_HEAD Dummy for ALV Variants Header WB2TEW_ITEM Dummy
for ALV Variants Item
36. TARLANA GANESH 36 Enter credit Memo number “8” and execute it Report output
WB2R_BVDETAIL_IDA ➔ Detailed Statement CC Settlement IDA
37. TARLANA GANESH 37 Report Output
38. TARLANA GANESH 38 WB2R_CANCEL_DOCS ➔ Cancel documents for contracts Report
Output Example purpose
39. TARLANA GANESH 39 WB2R_DOC_ENTRY Contract Settlement: Manual Entry Click create
This is manual entry for contract settlement document
40. TARLANA GANESH 40 WB2R_EXTENSION ➔ Condition Contract Extension Click execution
button then your contract will be extended as below output
41. TARLANA GANESH 41 Our Condition Contract 3000000004 extended: Contract 3000000005
with validity 24.02.2020 to 31.12.2020 Contract is created as below WB2R_IMG ➔Customizing
Contract Settlement
42. TARLANA GANESH 42 Entire config in single screen WB2R_RAC ➔ Reverse Accruals Customer
Settlement
43. TARLANA GANESH 43 Report output Output
44. TARLANA GANESH 44 WB2R_RAV ➔ Reverse Accruals Supplier Settlement Input screen There
is no output results for this report WB2R_SC_CORR ➔ Correct Customer Contract Settlement
Output
45. TARLANA GANESH 45 WCOCOALL ➔ All contracts list Report Output Results We can release,
Lock, Delete, Prepare Archiving, reverse in single screen like delivery documents monitoring
like “VL06”
46. TARLANA GANESH 46 WCOLI ➔ Condition Overview Input screen Output
47. TARLANA GANESH 47 We can see overview of all the contracts in single screen Settlement
Management Tables Table Name Description WBRC Complaints in Settlement Management
WBRCCF Complaints in Settlement Management - Chan WBRD Bank Data Suspense Account
WBREGISTRY Registry ABAP Workbench WBRF Document Flow for Settlement Management
Doc WBRFN Document Flow of Reference Document to Set WBRK Settlement Management
Document Header WBRL Item in Document List WBRP Settlement Management Document
Item WBRR Settlement Document List Data for Settlement WBRRE Settlement Document List
Data for External