#Credit memo vs refund how to#
#Credit memo vs refund code#

Tab, fill in the Referenced Document, Click Copy Afterward Select Correct Order Type, Then Fill in Sales AreaĬlick on the “Create with Reference button”, and input the billing document number, click the “Copy” button. Run the transaction VA01 and select the Advance Returns document type, along with its sales area. The sales representative will be immediately advised to create a refund for this process. He decided to return the material by himself to our premise (one of the sales counter). A customer wants to return the goods he already bought because they don’t have more space for the remaining item.

#Credit memo vs refund how to#

In this section, I am going to explain how to create the whole SAP advanced returns order process with a simple scenario. SAP Advanced Returns Management Step by Step

#Credit memo vs refund code#

We can monitor the whole customer return process via a single transaction code that has statuses for each process plus the tree process of each item.

Customer refund will be processed faster through a credit memo (which you will define at the return order creation).

The logistics follow-up documents will be created automatically (goods receipt, goods issue document, etc.).

The warehouse inspection will be done based on the value setting from the return order.

The Delivery Order will be also created automatically. The data entry will be integrated once you save the Return Order document.

The Return Order is the main entry point.

SAP Advanced Returns Management General Flow What are the features of SAP Advance Returns Management? What makes it advanced compare to its brother, the “regular” returns processing? Let’s have a look for the general process flow first.

IMG – Logistics General – Advance return Management.

IMG – Sales and Distribution – Sales – Advanced Return Management.

You also should make the prerequisite customizing in SAP Advanced Returns Management via: This tutorial is part of our SAP SD course. You should have basic understanding how to create order to cash process followed by complaint handling processing creation ( credit memo / debit memo / invoice correction request).

This tutorial assumes you have familiarity with SAP terminologies especially with Sales and Distribution module. This tutorial will only address the customer return process. SAP Advance Returns Management has two types: customer and supplier return. SAP Advanced Returns Management integrates the whole process from creation of a return order, to inspection management, followed by creation of a credit memo. Also, if we face a complex situation which involves third-party supplier, the efficiency of the process will become an issue. However, this is not sufficient because we can lose track in regards with the follow-up documents. We have learned that customer returns could be processed in SAP by creating separate documents (return order, return delivery, return stock, credit memo, etc.). There is an old phrase which is still relevant in the business world, “customer is the king, and service wins the game.” Making new sales every now and then is good, but to retain the current customer is also crucial.īecause the customer expects high quality products, the return process is also expected as a service process which will be handled transparently, efficient with an immediate refund process.

In today’s world, the company is expected to have a reliable after sales process which includes complaints processing, repair, and return processing. Welcome to the tutorial about SAP Advanced Returns Management.