Credit Memo Request normally requires approval of the authorizes personnel.The presentation illustrates the procedure in standard SAP to automate the approval procedure.

1. SAP SD - Credit Memo Request
Authorization

2. Credit Memo and Credit Memo
Request

Credit Memo is a billing document which credits the customer's
account i.e. decreases customer's receivables.

A credit memo may be required when for example excess price has
been charged to the customer because of a discount not included in
the pricing or scaling of prices etc.

If the business requires, any such credit to be first approved by the
assigned employee the credit memo may be made to refer to a credit
memo request which is a sales document containing a default billing
block.

The approving official/person reviews the credit memo request and
accordingly removes the billing block(approval) or enters the rejection
reason(rejection) in the credit memo request.

After approval credit memo can be generated and processed like any
other billing document.

3. Work-flow for approval process

Credit memo requests are normally required
to be approved by authorized personnel.

The approving authority may also be
given,not directly to the employee, but to
some position or role in the organization for
example a billing specialist etc.

Levels of approvals may be required
according to the values.

Business work-flow helps in automating this
process.

4. Objects and Templates

The linkage between ERP and work-flow is created using object
technology.

The business object for credit memo request is BUS 2094.

To this object standard work-flow templates are assigned ( WS
20000009 and WS 20000019)

These templates incorporate standard logic for credit memo
request authorizations.

Once the linkage between object and template is activated
update / creation of a credit memo request will automatically
start the template(triggering event)

Work-flow container contains data required such as
limits,reference currency,terminating events etc.

Release credit memo request and Reject credit memo
request terminate the template(Terminating events).

5. Standard Work Flow

Two limits are specified Lower NetValue_Limit_1 and Upper
NetValue_Limit_2.

A reference currency is maintained to which the net values are
converted if they are in any other currency so as to maintain
uniformity in cross-company code processing.

If the net value of the credit memo request is lower than lower
limit then credit memo request will be released automatically.

If the net value is between the lower limit and the upper limit
then the system automatically informs (via mail in the integrated
inbox acessed by going to SAP business flow) the responsible
employee. He can either approve or reject the request.

If the net value exceeds the upper limit the system will then
inform another person(who has been assigned).This means the
authority is transferred to other employee with respect to
increase in the value.

6. Customizing steps

Editing Organizational plan :
IMG->SAP Netweaver->Application Server->Business
Managment->SAP Business Workflow->Edit
organizational plan
Consists various organizational units and their relationhsips
as described in organizational
unit,job,position,user,person etc.

Activating Linkage :
IMG->SAP Netweaver->Application Server->Business
Managment->SAP Business Workflow->Perform task
specific customizing->Sales and distribution → Sales →
Activate event linking).
This activates the event-receiver linkage.Once inside the
above path choose WS20000009 – BUS2049 and Click
on detail view to activate the linkage

7. Customizing steps

Once inside the above path choose WS20000009 – BUS2049 and Click on
detail view to activate the linkage.

Filling Container Data – Select WS20000009 and click on 'object'.Go to
container tab and enter limits and reference currency

Assigning agents – Choose Work Flow Builder,Go to the nodes of
respective limit check nodes. Double click for detail and go for assignment
of agent(sales org,user,position etc).