In Vistex, Reconciliation process is much used to resolve the difference in amount claimed by the customer towards the manufacturer which is outside the tolerance limit set by the manufacturer as per the mutual agreement. It means that amount difference between proposed rebate amount and accepted amount. After reconciliation process, the amount which got adjusted i.e., the accepted amount by the customer is updated in the sales rebate document which is nothing but the IP document value.
We have two methods to process the Reconciliation process;
- Reconciliation for Line Item Settlement
- Reconciliation for Payment Schedule.
- Reconciliation for Line Item Settlement:
This method basically depends on the rebate settlement which based on how the amount paid out at line Item level. By this way we have 2 methods to process the reconciliation for line item settlement as follows;
- Before Settlement:
It is to check the partner responses on the to be paid amount, whether pay out amount is within or outside the tolerance limit. If pay out amount is within the tolerance then settlement is carried out. If to be paid is outside the tolerance then reconciliation will take place. The amount will be adjusted for the line item of the sales rebate document and sent back to partner review for the confirmation on the settlement amount. - After Settlement:
If there is any change to be made to the settled sales rebate amount, then reconciliation is carried out as Post Settlement Adjustment. For this a Claim Document has to be created for the difference amount and sent to the partner.
- Reconciliation for Payment Schedule:
This method of reconciliation will get effect or initiated based upon the initial setup of master data maintenance made in the customer’s payment schedule parameters. Whenever the rebate pay-out is done to the customer with more or less than the actual amount to be paid. Based on the tolerance limit set, reconciliation process is taken place to adjust the amount.
This method of reconciliation is done through the customer payment schedule parameters and tracked in the payment schedule parameter of the sales rebate document.
Reconciliation Process TCodes:
- Individual Reconciliation(/IRM/IPCR35)
- To retrieve single sales rebate document.
- Collective Reconciliation(/IRM/IPCR34)
- To retrieve multiple sales rebate documents.
Benefits of Reconciliation Process:
Using reconciliation process provides more flexible in tracking the payments or pay-outs, instant visibility on business, increased transparency on the business process between the manufacturer and partner.
