Define Dunning Areas

Define Dunning Areas

Path: SPRO - Financial Accounting - Accounts Receivable and Accounts Payable - Business Transactions - Dunning - Basic Settings for Dunning - Define Dunning Areas (Transaction code is OB61)

In the menu path select

Step 1) Select New Entries button

Step 2) Give Company code and Text
Leave Area blank

Step 3) Select the save buttonwe receive a message below

Press enter to save in your request we get a message below

Dunning in SAP

Dunning
When goods or services are sold to the customers, payment is expected to be received. From this moment, incoming payments are monitored to make sure customer debts are paid on time. When there is delay in payment company needs to remind outstanding liabilities of the customers.
Dunning enables generation of letter to the all the A/R outstanding invoices. If customer does not make the payment as per terms of payment system will issue dunning letters. For sending the letter we can collect dunning charges from the customer. Charges are shown in the letter.
Example:
Maximum dun levels - 9 levels
We are using - 4 levels
Dunning frequency - 10 days
Grace period - 3 days
Payment terms - Payable immediately (0001)
Sales on 16.11.2018

1st Letter	2nd Letter	3rd Letter	4th Letter
20.11.2018	30.11.2018	10.12.2018	20.12.2018

Configuration Settings

1) Define Dunning Areas

2) Define Dunning Procedure

3) Assign Dunning Procedure in Customer Master

End User Area

1) Sales Invoice Posting

2) Dunning Run 

Dunning Run In SAP

Dunning Run

Path: Accounting - Financial Accounting - Accounts Receivable - Periodic Processing - Dunning (Transaction code is F150)

Step 1) Populate the fields: Run On and Identification
Select the Parameter tab

Step 2) Populate the fields: Dunning date, Documents posted up to and Company Code
Select Customer from the drop down menu

Select the save buttonwe receive message below

Step 3) Select the back arrow
Select Schedule button
Give Output device
Press Continue

Step 4) Select Start Immediately check box
Select the Schedule button

Keep pressing enter until status changes to Dun selection is completed

Step 5) Select Dunning printout button
Give Output device
Press Continue

Select print button in the pop up window
Keep pressing enter until status changes to Dun printout is completed

Step 6) Select Dunning history button
Give Company code
Execute

Step 7) Place the cursor on 50000/-
Select Display dunning notice button

Keep the cursor on document number
Select Print preview button

Give Output device
Press Continue

Letter is Generated

Sales Invoice Posting

Sales Invoice Posting

Path: Accounting - Financial Accounting - Accounts Receivable - Document Entry - Invoice - General (Transaction code is F-22)

Step 1) Populate the following fields: Document Date, Type, Company Code, Posting Date, Period, Currency and Posting key.
Select the Customer Account from the drop down button and press enter

Step 2) Populate the following fields: Amount, Business Area, Text, Posting key and Account in the next screen and press enter

Step 3) Populate the following fields: Amount, Business Area and Text in the next screen

Step 4) From the menu select document and press simulate to view the document details

Step 5) Select the save buttonwe get a message below

Assign the Dunning Procedure in the Customer Master

Assign the Dunning Procedure in the Customer Master

Path: Accounting - Financial Accounting - Accounts Receivable - Master Records - Maintain Centrally - Change (Transaction code is XD02)

Step 1) Give Customer account number and Company code
Press enter

Step 2) Select Company Code Data button in the next screen

Step 3) Select the Correspondence tab
Select the Dunning Procedure defined previously from the drop down menu

Step 4) Select the save buttonwe receive a message below

Define Dunning Procedures

Define Dunning Procedures

Path: SPRO - Financial Accounting - Accounts Receivable and Accounts Payable - Business Transactions - Dunning - Basic Settings for Dunning - Define Dunning Areas (Transaction code is FBMP)

In the menu path select

Step 1) Select New Procedure button in the next screen

Populate the fields: Dunning procedure, Name, Dunning intervals in days, No.of dunning levels and Line item grace periods

Select Interest indicator for the drop down menu

Select Standard Transaction Dunning check box
Select Dunning Texts Button

Ignore the warning message
Press enter

Step 2) Give company code and select customer radio button

Press enter

Step 3) Select new company code buttonin the next screen

Give the Company code 

Enter

For the Company code MML select Separate notice per dunning level check box

Select the back arrow twice
Select yes button for the message to save data

Press enter to save in your request

Step 4) Select Dunning levels button
Select Always dun check box for all four levels
Select charges button

Give the currency INR
Press enter

Step 5) Give the Dunning levels and Dunning charges
Select Dunning texts button

Give company code and select customer radio button

Press enter

Step 6) Give Dun level and Form name
Select the charges button

Give currency INR
Press enter

Select the back arrow

Press save button
Ignore the warning message press enter

Press enter to save in your request
We receive a message below