Authorization of price differences and additional costs

Price differences in automatic matching

For automatic matching, you can define the tolerated price differences in the following sessions:

• ACP Parameters (tfacp0100m000)

  In this session, you can define global tolerances for automatic matching.

• Automatic Matching Settings by Invoice-from BP (tfacp0107m000)

  In this session, you can define tolerances by invoice-from business partner, for automatic matching. For business partners for which you do not define tolerances in this session, LN uses the tolerances you define in the ACP Parameters (tfacp0100m000) session.

You can define a maximum tolerated price difference amount and a maximum difference percentage, or you can assign full authorization. For details, refer to To use full authorization. If you do not define the tolerances in either of these sessions, the automatic matching procedure does not match invoices when a price difference is found. An authorized user must manually authorize the price difference and the additional costs.

During automatic matching of invoices, LN compares the price difference with the tolerated differences. If the difference falls within the defined tolerances for the invoice amount and the percentage, LN matches the invoice. The price difference is posted to the Price Differences control account and dimensions of the financial business partner group

Approving price differences

Use the Purchase Invoice Authorizations (tfacp0150m000) session to authorize specific users to approve price differences and to create additional costs transactions. For each user, you can define the maximum price difference they can approve, or you can assign full authorization to a user.

In the Assigned Approvers (tfacp0130m000) session, create assigned approvers for the authorized users. You can define each individual authorized user as an assigned approver, or you can create a single assigned approver to represent the authorized users of a team or a department.

If during matching of a purchase invoice in the Process Purchase Invoices (tfacp2107m000) session, one of the tolerances that apply is exceeded, an authorized user can approve the price difference. To assign the invoice to an authorized user, in the Purchase Invoice Inquiry (tfacp2600m100) details session, enter the assigned approver in the Assigned Approver field. You can start the Purchase Invoice Inquiry (tfacp2600m100) details session from the LN menu of the Authorize Purchase Invoices (tfacp1142m000) session.

In the Authorize Purchase Invoices (tfacp1142m000) session, a user authorized to approve the price difference amount must select the Invoice Approved check box for the invoice. Next, the approved invoice must again be processed in the automatic or manual matching and approval procedure.

Approving additional costs

For differences between the invoice amount and the order amount that are not caused by a price difference, authorized users can create additional costs transactions. In the Purchase Invoice Authorizations (tfacp0150m000) session, you can define a maximum amount for the additional costs transactions a user can create, or you can assign full authorization to a user.

To create additional costs transactions, take the following steps:

1. In the Authorize Purchase Invoices (tfacp1142m000) session, on the appropriate menu click Additional Cost. The Matched Purchase Invoice/Statement Line Transactions (tfacp1133s000) session starts.
2. Create the additional costs transaction. You must enter the ledger account and dimensions for each transaction.

Reassigning the invoice

If the price difference or the additional costs exceed the matching tolerances, the invoice is not approved. You must assign the invoice to an authorized user. In the Assigned Approver field of the Purchase Invoice Entry (tfacp2600m000) session, select an assigned approver for the purchase invoice.