Entire O2C cycle with integration to MM & FI

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Accepted Answer

O2C cycle involves sales order processing, delivery, billing, and payment. Integration with MM involves procurement of goods, and with FI involves accounting for transactions.

O2C cycle starts with creation of sales order based on customer requirements
Delivery is made to the customer after picking and packing the goods
Billing is done based on delivery and payment terms agreed upon
Integration with MM involves procurement of goods based on sales order requirements
Integration with FI involves accounting for sales, delivery, and payment transactions

Accepted Answer

Order to Cash cycle start with Inquiry IN, with ref to inquiry Quotation is created, with ref to Quotation QT sales order is created then Outbound Delivery, picking , PGI and creation of Billing, accounting.
Integration with MM - While creating sales order line item info is copied from material master, procurement of material, after PGI two docs created COGS Debit ( FI SD Integration) Inventory of finished goods Credit ( MM doc), Availability Chek, ATP.
FI Integration - customer related info picked up from customer master data like customer accnt groups, tax, after billing accounting info, COGS - Debit after PGI, after invoice customer accnt Debit, revenue accnt credit. After creation of invoice some important accounting docs created like accounting doc, special purpose ledger doc, co document, profit center doc, profitability analysis doc etc.

Entire O2C cycle with integration to MM &amp; FI

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Entire O2C cycle with integration to MM & FI