Contents

BP level............................................................................................................................................................................ 1
Credit management in BP master data.......................................................................................................................1
Credit limit types.....................................................................................................................................................3
Credit limit per BP calculation.....................................................................................................................................4
Credit exposure within one CC....................................................................................................................................4
Simulation of credit limit check in BP..........................................................................................................................5
Standard report...........................................................................................................................................................6
SD Order level.................................................................................................................................................................7
Credit limit per SD orders............................................................................................................................................7
Total credit limit per BP and SD order.............................................................................................................................7
Reporting.........................................................................................................................................................................7
Detail credit instruments (CI) per BP and SD order.....................................................................................................7
Agregated credit instruments (limit at CC (segment level)..........................................................................................7

BP level
Credit management in BP master data
For credit management maintenance, there is necessary to choose UKM000 role and of course FI customers FLCU00
role for proper exposure calculation

There are two tabs for Credit management on BP:

 Credit Profile
 Credit Segment data (button on the top of the screen)

Credit Profile:

There is necessary to set two fields. Below stated fields influence the formulas and check steps for credit
management calculation.
  Rule - > please select just highlighted rule (it is currently set in Kingspan sand box)

 Check Rule – please select just 01 Check rule in Kingspan sand box. This identify

There are two other classifications, for reporting only – not used for Kingspan.

Credit Segment data: Choose Credit Segment data button.

Choose in which Credit segment data will be maintained for this business partner.

Credit segment 0000 is always in EUR with daily rate M and is used for this example Kingspan will use segment with
name like CC, with the same local currency and local FX rate. Segment 000 will not be used in Kingspam for credit

limit specification.

So if Customer is used for PL10 – there could be limit for PL10 and if it is parallel used in CZ10 it could have different
limit in CZ10 segment.
Credit limit types
1) To set a specific general credit limit. This limit is static, really stored in database and could be presented in
standard reports. Must be in segment currency.

2) To set Kingspan additional credit instruments.

First choose value 50 – Kingspan – additional data in Information Category field

Then you can choose from the list of following values:

- There is possible to specify amount, currency (which could be in different currency than Credit segment),
validity from – to (if an instrument is not valid in time of credit limit calculation, than it is not taken into
account).
- You can exclude appropriate instrument from credit limit check calculation, if you leave field Relevant

empty … its independent on validity date interval above

Amounts could be in different currency! Translation into dynamical credit limit is made with daily average FX
rate M.
It could be stored the same credit instrument type more times (in different days) with different validity and
amount.

This example: Hoes limit is not relevant and Guearantee letter is out of date  200PLN+20USD = 51,2+21,28
EUR = 72,48
 This Kingspan additional credit instruments is independent with General credit limit. So it could be defined

or not defined. .
Kingspan approach: there will not be general limit used in Kingspan!

3) You can block credit limit from various reasons

List of Kingspan credit limit blocks – Veronika (till 11.10.)

Credit limit per BP calculation

There is Total credit limit per BP which is not stored anywhere, it is calculated value, which could be changed every
day according M FX rate changes. So this is not stored anywhere and is not mentioned in standard reports

Total credit limit per BP for specific date XY =

General credit limit + (Kingspan will not used this)

Kingspan credit instruments

o All relevant and

o with appropriate from-to interval – covering specific date XY
o translated into EUR (segment currency) by FX rate (M)
Above example with current date = 10 EUR + 72,48 EUR = 82,48

Credit exposure within one CC

There is in BP sum of all exposure INTO segment assigned to CC
Details is visible in , in this case only open invoices.

Utilization is mentioned only with relation to general limit (so for Kingspan it is not valid sense

Simulation of credit limit check in BP

Credit check rule:

Total credit exposure + Checked amount <= Total credit limit per BP

If it is proper relation, check is OK. If it is not true or if there is credit block check is unsuccessful.

Simulation could be performed via Simulate Credit Check button .

You can set an amount e.g. of invoice, sales order etc; currency and date of posting. Posting date is necessary for
evaluate validity of credit instruments. If you leave this field empty than actual date, will be used for recalculation.

Check log will appear: In this case business partner 48 is maintained in credit segment 0000 (EUR currency).

Total credit exposure + Checked amount <= Total credit limit per BP

7,56 EUR + 10 EUR <= 82,48 EUR

7,56 EUR + 80 EUR > 82,48 EUR Unsuccessful

Kingspan requires additional check for 60 days delay within all open issue – any such item existence in both control
points (soft / hard) launch appropriate action.

Standard report
Not showing detailed Kingspan CI
SD Order level
Radek will prepare correctly – here only indicatively

Credit limit per SD orders

Customer solution … i.e. not SAP standard solution

There are similarly stored credit instruments per SD orders. Other tool, other transaction.

Total credit limit per sales order = sum of credit instruments in the order … similar approach, translation. … But
similarly it means, that this Total credit limit per sales order is not stored at the database, is dynamically calculated.

Total credit limit per BP and SD order

Within sales order ZZZZ check there is standardly checked only Credit limit per BP (dynamical one), independently
on SD order. Not confirmed from SD yet.

For Kingspan there will be customer solution which change standard check and to Credit limit per BP will add
amount of Total credit limit per sales order (possibly translated)

Reporting
Because of using not standard solution in SD order, the standard reporting could not be used

Detail credit instruments (CI) per BP and SD order

Because of separated maintenance of SD order and BP CI limits there MUST be report with VERY FRESH DATA acces
(standard BW approach with 1 day old data is not relevant)

Filtering:

 Key date,
 CC (segment), BP, SD order,
 Valid CI flag (for only relevant CI and at Key date valid)

CC BP SD Credit Limit Currency Translated amount into Relevant From To Description

(segment) order instruments type amount credit segment currency flag

SUM

Agregated credit instruments (limit at CC (segment level)

Sum of CI from BP (on apropriate segment) and all open SD orders asigned to CC (Sales organization)

Credit limit: Total credit limit

Insured limit: Insured part of limit which contains from following limit types: insurance fixed limit, insurance
discretionary

Additional security: Bank guarantee, payment guarantee, BOE, Zadluznica, BBD, letter of credit

Exposure: difference between Total limit and sum of Insured limit and Ad. security (internal limit given to the
customer)

Unsettled prepayment … down payment (Special GL indicator A)

 Unallocated payment … payment items (doc type) on customer without any reference to any invoice

FIT INTO PAYMENT TERMS means that credit check is succesfull and could be posted with apropriate payment terms

Approval, review … it is out of SAP activity

Transaction codes for FSCM

Following are T-Codes in FSCM Credit Mgmt

UKM_ADDINFOS_DISPLAY     Additional Info in Credit Management
UKM_BLACK_WHITE     Simple Black + White Lists
UKM_BL_REASON     Lock Reasons
UKM_BOL_COMMS     Display Credit Exposure
UKM_BP     Credit Management Business Partner
UKM_BP_BP021     Display Bus. Partner Finance Data
UKM_BP_DISPLAY     Master Data List
UKM_BP_PROFILE     Display BP Credit Profile
UKM_BP_SEGMENT     Block/Unblock Customer Credit Acct
UKM_CASE_DETAIL     Display Details of Cr. Limit Request
UKM_CHECK_PARA     Field Groups for Check Parameters
UKM_CHECK_RULE     Events/Follow-On Processes
UKM_CHECK_SIMU     Simulation of Credit Check
UKM_COMMITMENTS     Credit Exposure
UKM_COMM_TYPES     Liability Categories
UKM_CREDIT_SGMT     Credit Segment
UKM_CUST_GRP     Credit Group
UKM_EVENT     Events/Follow-On Processes
UKM_FORMULAS     Formula Maintenance
UKM_INFOCAT     Info Categories
UKM_LIMIT_RULE     Scoring/Credit Limit Calc. Rules
UKM_LOGS_DISPLAY     Display Logs
UKM_MALUS_DSP     List of Credit Limit Utilization
UKM_MASS_DSP1     Credit Mgt: Display Credit Data
UKM_MASS_DSP2     Credit Mgt: Display BP Credit Data
UKM_MASS_SHOW     Credit Management - Display Extracts
UKM_MASS_UPD1     Credit Mgt: Mass Change to Ext. Ratg
UKM_MASS_UPD2     Credit Mgt: Mass Change to Score
UKM_MASS_UPD3     Credit Mgt: Mass Change to Cr. Limit
UKM_MASS_UPD4     Credit Mgt: Mass Change to Rule
UKM_MONITOR     Update Entries for Ext. Credit Info.
UKM_RATING_PROC     Rating Procedure
UKM_RISK_CLASS     Maintain Risk Class
UKM_SEARCH_ID     ID Search at Information Provider
UKM_SEGMENT     Credit Segment for Control Area
UKM_TRANSFER_ITEMS     Liability Update
UKM_TRANSFER_VECTOR     Update FI Summaries
UKM_VECTORS     Payment Behavior Summary
 
Hope this helps