A Comprehensive Guide to OTC Flow in SAP

A Comprehensive Guide to OTC Flow in SAP

11 November 2011

Download Full Guide: Comprehensive OTC Flow Document

Managing an Order-to-Cash (OTC) process can be challenging, but it’s a crucial part of any business operation. In the world of SAP, understanding how to manage this flow effectively can significantly improve your business processes. Here’s a step-by-step guide on how to navigate through Sales Order, Delivery, and Billing stages within SAP.

1. Creating a Sales Order #

Essential Details:

  • Company Code: 4700
  • Sales Document Type: ZOR
  • Sales Area: 4700/10/10

Steps:

  1. At Header Level:

    • Fill in Sold-to-party as 1000991
    • Fill in Ship-to-party as 1000991
    • For PO Number, you can enter ‘Test’
    • Payment term should be entered as 0001

  2. At Item Level:

    • Input the Material code: 1000309
    • Input the Order Quantity as 1
    • Enter Plant code: 4702
    • Hit the ‘Enter’ key

  3. Proceed to Item Billing:

    • Specify the INCOTerms as CFR (Cost and Freight)
    • Save your changes

2. Managing Delivery #

Essential Details:

  • Delivery Document Type: ZLF
  • T-Code: VL01N

Steps:

  1. Input Shipping Point as 4702

  2. Input the Sales Document number from earlier

  3. Note: Make sure to set the Delivery Date. (This should be fetched from Schedule Lines in Sales Order.)

  4. Hit ‘Enter’, and then:

    • Input Picking Quantity and Storage Location
    • Click on ‘Post Goods Issue’

3. Handling Billing #

Essential Details:

  • Billing Document Type: F2
  • T-Code: VF01

Steps:

  1. Enter the Delivery Document number generated previously
  2. Click ‘Enter’ and then Save
  3. To display the Billing Document, navigate to T-Code: VF03
    • Enter the Billing Document number (it should be visible from the prior steps)
    • Access the Accounting Document tab to get a complete view

For further clarification, you can check the screenshots available here.