Accounts Payable

1. Accounts Payable SAP Best Practices

2. Purpose, Benefits, and Key Process Steps • Purpose • This scenario deals with posting accounting data for vendors in Accounts Payable. • Benefits • The Accounts Payable are also an integral part of the purchasing system. • All postings in Accounts Payable are also recorded directly in the General Ledger. • The payment program can automatically carry out bank transfers and down payments. • Key Process Steps • Post Accounts Payable Documents • Manual and automatic clearing of open items • Post down payments using the payment program • Post manual and automatic outgoing payments.

3. Required SAP Applications and Company Roles • Required • Enhancement package 5 for SAP ERP 6.0 • Company Roles • Accounts Payable Accountant 1 • Accounts Payable Accountant 2

4. Detailed Process Description • Accounts Payable • When you post data in Accounts Payable, the system creates a document and passes the data entered to the general ledger. General ledger accounts and vendor accounts are then updated according to the transaction concerned (payable, down payment, credit memo and so on) vendor payment activities. All business transactions are posted to and managed by means of accounts and for this a vendor master records are created. One time vendors are used to avoid building up of huge master data volume.

5. No Yes Yes Process Flow Diagram Accounts Payable Event Master Records Down Payment Document Entry Clearing Accounts Payable Accountant 1 Post Vendor Invoices Creating a Vendor Master Record Posting Down Payment Request Review and Release Blocked Invoices Down Payments Exist? Down Payment Clearing Vendor Credit Memos Exist? Enter Vendor Credit Memo with Reference to Invoice Accounts Payable Accountant 2 Select Invoices to be Paid Creation of Payment Media Using Payment Media Workbench (Altern. 1) Creation of Payment Media Using Classical Payment Medium Program (Altern. 2) Review and Block Invoices for Payment as needed Posting Down Payment Using the Payment Program Post Manual Outgoing Payment Choose Payment Method Manual Bank Statement Processing

6. Diagram Connection Legend <Function> Hardcopy / Document External to SAP Financial Actuals Business Activity / Event Budget Planning Unit Process Manual Process Process Reference Existing Version / Data Sub-Process Reference Process Decision System Pass/Fail Decision