Dispute Management in SAP S/4 HANA – Receivables Management
1. Receivables Management – Introduction
Receivables Management in line with its title is self-explanatory. In SAP S/4 HANA enterprise management it enhances management of Accounts Receivables. Incoming cash flow from sales is the heartbeat of every organization. Managing this sales cash flow is effort an intensive process and often complex.
Receivables Management (RM) has excellent system functions to evaluate a Business Partners credit situation before a sale is initiated. It also allows proactively managing delayed payments. It streamlines management of disputes in the Business Partner’s sales invoices. It ultimately reduces Days sales outstanding (DSO), improves the working capital. Assists in lowering operating costs and minimize bad debt and write-offs. In the earlier SAP ECC 6.0, RM was referred to as Financial Supply Chain Management (FSCM).
1.1 Document scope
This document attempts to explain the Collection and Dispute management related business functions that are available in SAP S/4 HANA Enterprise management.
2. Dispute Management
Dispute Management is a part of Receivables Management in the SAP S/4 HANA Enterprise management.
- It facilitates effective management of Disputes and better service to Business partners (BP)
- Within SAP S/4 HANA Enterprise management it has standard ingratiation with Collections Management, Accounts Receivables and the Banking applications.
2.1 Creation of a Dispute
In S/4 HANA Enterprise management the dispute records are created from the process receivables APP
Here the disputes can be recorded against respective Invoice(s).
2.2 Processing and Resolution of a Dispute
In S/4 HANA Enterprise management the dispute records are processed from the below APP
- Dispute Case processing
- Manage Dispute cases
The apps take us to a list of Dispute cases. Each case can be individually accessed and process from here.
|1||Case Type, Reason, Status|
|2||Personnel Involved||Creator, Processor|
|3||Amounts||Disputed Amount, Payments etc.|
|4||Customer Contact||Person to be contacted at the customer side|
|5||Linked Objects||SAP documents Invoice, Payment|
There are analytical APPs what can be used by supervisory personnel
S/4 HANA dispute management retains all the workflow functions from ECC 6. Apart from these there are native mechanisms to email the BP at each step. When the Dispute record is created, escalated, resolved etc.
2.3 Dispute Escalation and Closure
In S/4 HANA Enterprise management the dispute escalation and closure is no different from how it was done in ECC 6.
- When the dispute processor is still not able to resolve it by the deadline date the system automatically escalates the same to the Dispute owner.
- Disputes can be manually voided when the BP accepts closure.
- Otherwise when there is no outstanding amount (100% payments, residual amount cleared / adjusted with credit memos etc..) the S/4 HANA Enterprise management system automatically closes the dispute.
Dispute Management in S/4 HANA is definitely a very intuitive solution. The user experience with the UX FIORI apps are impeccable, same is the experience with real-time time analytics in the same system. The integration within the other areas like collection management is definitely commendable.
Do you know if it's available in S4Hana on premise?
I couldn't find it on best practices.
Yes this was done onpremise, the above blog was created in 1610. Yes it is definitely in the best practice. However of all tthese processes have been only listed in the cloud and not in 1809 on premise.
Hi, I would like to know which is the FIORI Role that you have accessed because I can´t find a role with the Disputes option. Thank you for your support.
Hi Anton, I would like to know which Role are you using in order to have the Disputes apps available in FIORI, also I am working with S/4 Hana + Customer Management AddOn and I though I will have the Disputes transactions into the Customer Management but I can´t find it, do you know if Disputes is only part of the S/4 Hana ? do you have any idea if I can have disputes into the Customer Mgnt webUI ? thank you so much for your help.
We used the accounts receivaable manager role to get the APP in FIORI. I believe you are referring the CRB side / utilities side sorry I'm not sure if the same is available the Customer Management WebUI.
I am facing one issue (as below) when I click on the Fiori Tile "Manage Dispute" processor.
Checked in google and also SAP Notes but did not find any clue. The OData services are running correctly.
Thanks a lot for sharing such a valuable information. I am unable to find Best Practice for 1809 on premises version. Please advice where to get the information.