Charges Synchronization Between Rental Agreement and PO

Background

The external header and line charges from the internal rental agreement automatically update matching purchase order charges at rental agreement activation. This is to enable an accurate calculation of the purchase order costs and to simplify matching the internal rental agreement invoice to the purchase order.

Limitations

  • For rental header charges, only fixed amount charges are supported. Use line charges if the charges should be based on another type, for example, weight, volume, and order value.
  • Rental line additional charges do not create or update any purchase order charges.
  • Debit frequency of the rental charge does not automatically set a corresponding charge invoicing value on the purchase order charge.
  • Charge synchronization only takes place at rental agreement activation.

Before you start

Rental header charges, line charges, and line charge models must be defined and configured for rental agreement processing. Charges can also be added manually to the temporary rental agreement, if a charge model is not used.

A purchase costing model must be defined for purchase order processing.

Setup

  • In 'Customer Order Charge. Open' (OIS030), connect each applicable rental header charge to a corresponding purchase costing element.

    The rental header charge must be an external fixed amount charge.

    The purchase costing element must be an external header charge with operator 20.

    The rental header charge debit frequency must correspond to the charge invoicing setting of the costing element.

  • In 'Order Line Charge. Open' (CRS275), connect each applicable rental line charge to a corresponding purchase costing element.

    The rental line charge must be an external charge, and the calculation method should correspond to the operator of the purchase costing element.

    The purchase costing element must be an external line charge with operators 10, 11, 12, or 20.

    The rental line charge debit frequency must correspond to the charge invoicing setting of the costing element.

  • Specify setting 280 in 'Purchase Order Type. Open' (PPS095). This determines how PO charges are calculated when the PO is created. If no charges should be retrieved when creating the PO, only from the internal rental agreement, this setting should not be activated.
  • In 'Settings - Purchase' (CRS780), setting 65, define a sequence number interval that should be used when creating new charges on a purchase order, if the internal rental agreement has a charge that does not match any already existing charge on the purchase order.

Updating PO charges at rental agreement activation

When an internal rental agreement is activated, purchase order charges are updated in these ways:

  • Amounts of rental charges are calculated and copied to the first corresponding charge of the PO, on both header and line level.
  • The PO charges are updated with the ID (CRID) of the rental charge from which the amount is copied, to make it possible to tell which rental charge updated which PO charge.
    Note:  A purchase costing element can be added several times to a PO.
  • External PO charges that have no matching rental charge have 0.00 as charge amount.
  • Rental charges with no matching equivalent on the PO are added to the PO.
  • Only external rental charges update any PO charges, and only external PO charges are updated.
Related topics