ARMConfiguration Guide SAP S4 Hana SAP S4

S/4HANA
October 2020
English
Advanced Returns
Management -
Configuration Guide
SAP SE
Dietmar-Hopp-Allee 16
69190 Walldorf
Release S/4HANA 2020

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Typographic Conventions
Type Style Description
Example text Words or characters that appear on the screen. These include field
names, screen titles, pushbuttons as well as menu names, paths and
options.
Cross-references to other documentation.
Example text Emphasized words or phrases in body text, titles of graphics and tables.
EXAMPLE TEXT Names of elements in the system. These include report names,
program names, transaction codes, table names, and individual key
words of a programming language, when surrounded by body text, for
example, SELECT and INCLUDE.
Example text Screen output. This includes file and directory names and their paths,
messages, source code, names of variables and parameters as well as
names of installation, upgrade and database tools.
EXAMPLE TEXT Keys on the keyboard, for example, function keys (such as F2) or the
ENTER key.
Example text Exact user entry. These are words or characters that you enter in the
system exactly as they appear in the documentation.
<Example text> Variable user entry. Pointed brackets indicate that you replace these
words and characters with appropriate entries.

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Contents
1. Configuration Specific for Advanced Returns Management ................. 6
1.1 Configuration for Basic Scenarios ..............................................................6
1.1.1 Required Manual Settings for Returns Process IDs and Inspection ....................6
1.1.2 Required Manual Settings for Logistics in Customer Returns.............................7
1.1.3 Required Manual Settings for Common Features in Customer Returns..............9
1.1.4 Required Manual Settings for Supplier Returns Processes .................................9
1.2 Configuration for Additional Scenarios ....................................................11
1.2.1 Additional Settings for Customer Returns Processes........................................11
1.2.2 Additional Settings for Supplier Returns Processes ..........................................13
2. Configuration for Customer Returns ..................................................... 13
2.1 Returns Order .............................................................................................13
2.1.1 Configure the Returns Order as a Sales Document............................................13
2.1.2 Copying from Reference Documents...................................................................15
2.1.3 Specific Settings for Advanced Returns Management .......................................15
2.2 Returns Delivery and Goods Receipt ........................................................17
2.2.1 Returns Delivery...................................................................................................18
2.2.2 Settings for Goods Receipt Posting ....................................................................18
2.3 Material Inspection in Warehouse for Customer Returns........................19
2.3.1 Basic Settings.......................................................................................................20
2.3.2 Warehouse Management System (WMS) Settings..............................................22
2.4 Creation of Customer Returns Follow-Up Documents.............................22
2.5 Customer Refund Determination...............................................................25
2.5.1 Basic Settings for the Creation of Credit Memo Requests .................................26
2.5.2 Credit Memo Creation...........................................................................................27
3. Configuration for Returns to External Suppliers .................................. 29
3.1 Returns Purchase Order ............................................................................29
3.1.1 Configure the Returns Purchase Order as a Purchasing Document..................29
3.1.2 Specific Settings for Returns Purchase Order....................................................31
3.2 Outbound Delivery and Goods Issue ........................................................32
3.3 Material Inspection by Supplier .................................................................34
4. Configuration for Returns Stock Transfer ............................................. 35
4.1 Returns Stock Transport Orders ...............................................................35
4.1.1 Configure the Returns Stock Transport Order as a Purchasing Document ......35
4.1.2 Specific Settings for Enhanced Store Returns....................................................37

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4.2 Outbound Delivery and Goods Issue ........................................................38
4.2.1 Document Types, Item Categories, and Schedule Line Categories ...................39
4.2.2 Creation of Outbound Deliveries for Returns Stock Transport Orders..............40
4.3 Inbound Delivery and Goods Receipt........................................................42
4.3.1 Required Document Types and Item Categories for Inbound Deliveries...........42
4.3.2 Automatic Creation of Inbound Deliveries ..........................................................44
4.3.3 Settings for Goods Receipt Posting ....................................................................45
4.4 Material Inspection in Warehouse for Enhanced Store Returns .............47
4.5 Creation of Store Returns Follow-Up Documents ....................................47
4.6 Intercompany Billing for Cross-Company-Code Store Returns ..............48
4.6.1 Configure the Credit Memo as a Billing Document.............................................49
4.6.2 Settings Specific for Advanced Returns Management .......................................49
4.6.3 Maintain Master Data Settings .............................................................................50
4.6.4 Create the Credit Memo in the Material-Issuing Company Code........................50

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1. Configuration Specific for Advanced Returns Management
1.1 Configuration for Basic Scenarios
In S/4HANA, the on-premise and cloud switch state for business functions
OPS_ADVRETURNS_1 and OPS_ADVRETURNS_2 is always on. This means that corresponding
switch BC sets are already unpacked. The relevant switch BC sets can be identified by the
prefix ADVRET_. The switch BC sets already contain the majority of the required Customizing
settings to set up the basic scenarios for Advanced Returns Management. However, some
required Customizing settings such as number ranges, customer specific parameters such as
inspection codes, or plant-related settings cannot be delivered with switch BC sets. These
settings must be made manually to complete the configuration for basic scenarios in Advanced
Returns Management
This chapter describes these required Customizing settings to be maintained manually in order
to set up the basic scenarios for customer and supplier returns processes in Advanced Returns
Management.
You can maintain Customizing settings for Advanced Returns Management at three different
places in the Implementation Guide:
Since Advanced Returns Management comprises solutions for the customer returns and the
supplier returns process, you can maintain Customizing settings under Sales and Distribution
and Materials Management, respectively. However, since Advanced Returns Management
integrates sales and procurement processes, you can also maintain Customizing settings under
Logistics - General.
As a result, the following paths are available:
• In Customizing for Sales and Distribution under Sales Advanced Returns Management
for the customer returns business process.
• In Customizing for Materials Management under Purchasing Purchase Order
Returns Order Advanced Returns Management for the supplier returns business
process.
• In Customizing for Logistics - General under Advanced Returns Management , which is
independent from Sales and Distribution and Materials Management.
In the following, we use the Customizing paths for Sales and Materials Management.
1.1.1 Required Manual Settings for Returns Process IDs and Inspection
Number Ranges for Advanced Returns Process IDs
To define Advanced Returns Process IDs for process monitoring, choose in Customizing for
Sales and Distribution Sales Advanced Returns Management Define Number Ranges
for Advanced Returns Process IDs .
Note
The number range interval must be 01.

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Material Inspection
1. Define the number range
To define the number range for material inspection documents, choose in Customizing for
Sales and Distribution Sales Advanced Returns Management Material Inspection
Basic Settings Define Number Range for Inspection Outcome .
Note
o The number range object is /SPE/RETIN (Inspection Outcome Number for Returns
(SPM)).
o The number range interval must be 02.
o There is only one number range for all material inspection documents in Advanced
Returns Management. This means there is no number range differentiation for the
different kinds of material inspections: material inspection by supplier, material
inspection for store returns, material inspection for customer returns.
The Material Inspection function in Advanced Returns Management is based on the Quality
Inspection Engine (QIE) function. This QIE function is also used in the Returns Inspection
part of the Complaints and Returns solution within Service Parts Management (SPM).
To review the settings for QIE, choose in Customizing for Logistics Execution Service
Parts Management (SPM) Complaints and Returns (SPM) Returns Inspection
Define Number Range for Inspection Outcome . Both returns solutions share a common
number range object for inspection outcomes:
o Number range interval 01 is used for Service Parts Management.
o Number range interval 02 is used for Advanced Returns Management.
2. Setting up inspection codes
Setting up inspection codes comprises two steps. First, you define a catalog for inspection
codes and configure the inspection codes for a code group within this catalog. In the second
step, you specify that the catalog and code group of the first step are used for inspection
codes in Advanced Returns Management:
a. To define a catalog and code group, choose in Customizing for Sales and Distribution
Sales Advanced Returns Management Material Inspection Basic Settings
Define and Configure Catalog for Inspection Codes .
b. To specify the relevant catalog and code group, choose in Customizing for Sales and
Distribution Sales Advanced Returns Management Material Inspection Basic
Settings Specify Catalog and Code Group for Material Inspection .
The definition of inspection codes for the material inspection in Advanced Returns
Management is based on the same Customizing settings used for inspection lots in Quality
Management (QM). To review the settings in QM, choose in Customizing for Quality
Management Quality Inspection Inspection Lot Completion Maintain Catalogs for
Usage Decisions .
1.1.2 Required Manual Settings for Logistics in Customer Returns
Storage Locations and Stock Types
1. Configuring storage locations for the goods receipt and follow-up activities

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Advanced Returns Management has a special feature for determining the storage location
when posting the goods receipt of a customer return to the receiving plant. In addition to the
usual picking location determination, you can define a specific storage location in the
receiving plant to separate customer returns stock from other material stock, such as the
usual “free-available stock” (unrestricted-use stock).
You can also specify specific storage locations for the immediate goods receipt posting into
free-available stock and the immediate posting to scrap for the Advanced Returns Scenario:
Material Received.
a. To maintain the usual Customizing settings for picking location determination, choose in
Customizing for Logistics Execution Shipping Determine Picking Location
Assign Picking Locations .
If you do not want to use the additional option for Advanced Returns Management, the
storage locations configured in this Customizing activity are used for the goods receipt
posting for returns deliveries.
However, if you want to use the option for specific storage locations for the returns
stock, you have to perform the following two additional configuration steps.
b. To enter the specific storage locations for Advanced Returns Management, in
Customizing for Sales and Distribution choose Sales Advanced Returns
Management Follow-Up Documents Specify Storage Locations for Follow-Up
Activities . This Customizing activity extends the picking location determination
settings you enter in Customizing for Logistics Execution, in which you assign storage
locations to combinations of shipping point, plant, and storage condition. In Customizing
for Advanced Returns Management, you can redefine the storage location for the goods
receipt and for the specific logistical follow-up activities.
In the Recv. Plant column, enter the required storage location for the returns stock, and
in the Free/Scrap column, enter the storage locations for immediate goods receipt
postings into free-available stock and for the immediate posting to scrap.
c. The second additional configuration step is the activation of this special storage location
determination. The new rule MSRE Advanced Returns Inbound (Considers Follow-Up
Activity) has been created for determining the picking location. It controls whether the
special storage locations maintained for follow-up activities in Advanced Returns
Management are applied for returns processes instead of the usual storage locations
maintained in the Picking Location Determination transaction.
To activate this special storage location determination, you have to assign the new rule
MSRE to the delivery types you have defined for the returns deliveries in customer
returns scenarios.
To enter the assignment, choose in Customizing for Logistics Execution Shipping
Picking Determine Picking Location Define Rules for Picking Location
Determination .
In the standard system (with switch BC set ADVRET_TVLK_T), the picking location
determination rule MSRE is assigned to delivery type LR2.
2. Stock types for follow-up activities
Specify the stock type to be used for the goods movement posting when you choose
Transfer to Free Available Stock as the follow-up activity in the Material Inspection in
Warehouse transaction. In addition, specify the stock type for the goods receipt for store
returns.
To do so, choose in Customizing for Sales and Distribution Sales Advanced Returns
Management Follow-up Documents Specify Stock Types for Stock Transfers .

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1.1.3 Required Manual Settings for Common Features in Customer
Returns
In the following settings for two features are described which – from a technical perspective -
are not mandatory to process customer returns but are common practice.
Copying from Reference Document & Return Reasons
1. Maintain settings for copy control
If you want to create returns orders with reference to a preceding sales order or to an
invoice for a sales order, maintain the copying control for the returns order sales document
type as the target and the document type of the reference document as the source.
To do so, choose Customizing activity Maintain Copy Control for Sales Documents. Then
choose Copying Control: Sales Document to Sales Document to use a sales order as the
reference or Copying Control: Billing Document to Sales Document to use an invoice as the
reference.
Note
The standard system (with switch BC-Set ADVRET_TVCPA_S) contains settings for copy
control with RE2 as the target and sales order type OR (Standard Order) as the reference
document type (source) in connection with the corresponding item categories TAN and TAS.
It also contains settings for a copy control with RE2 as the target and billing type F2 Invoice
as the reference document type (source) in connection with the corresponding item
category TAN.
2. Specify return reasons (optional)
Although return reasons are not mandatory for processing customer returns in Advanced
Returns Management, they are an important parameter.
To use this option, choose in Customizing for Sales and Distribution Sales Advanced
Returns Management Define Return Reasons for Customer Returns .
1.1.4 Required Manual Settings for Supplier Returns Processes
1. Configure usage of delivery types for a return to supplier
In Advanced Returns Management, shipping processing for suppliers is mandatory. This
means that you must configure the delivery to the supplier.
Choose in Customizing for Materials Management Purchasing Purchase Order
Returns Order Return to Supplier to assign the appropriate returns delivery type to
purchasing document category F (Purchase order), purchasing document type NB2, and to
the plants from which you want to return materials to a supplier.
You can use returns delivery type RL Returns (pur.ord.), which already exists in the system.
Note
In the standard system (with switch BC set ADVRET_V_T161V_W_V) SAP provides an
example entry in which delivery type RL is assigned to purchasing document category F,
purchasing document type NB2 and plant 0001.
Note the prerequisites for returns to supplier with shipping processing as described in the
Customizing activity documentation:

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o You must choose the Returns Supplier indicator in the purchasing data (group box
Control data) of the business partner representing the relevant supplier.
o You must enter customer data for the business partner.
o You must maintain a shipping point for the plant that you enter on the returns purchase
order item (supplying plant) and you must configure the shipping point determination.
2. Configure usage of delivery types for store returns
Choose in Customizing for Materials Management Purchasing Purchase Order
Returns Order Store Return / Return Plant to Plant to assign the appropriate returns
delivery type to purchasing document category F (Purchase order), purchasing document
type LLR, and to the plants from which you want to return materials to another plant. Use
column Delivery Type for Outbound Delivery for Enhanced Store Return for the assignment.
Note the prerequisites for shipping processing for store returns that are also described in
the Customizing activity documentation:
o You must enter customer data for the material receiving plant entered in the document
header.
o The system must be able to find a shipping point for the supplying plant (plant in the
document item that sends the goods back to the receiving plant).
3. Settings for confirmations – define confirmation control key for receiving plants
Configuring confirmation control comprises three steps: settings for the confirmation
category, definition of confirmation control keys, and settings for the default confirmation
control for inbound deliveries. Default settings are delivered for the first two steps, so that
manual settings are only required for the third step.
The first step concerns internal confirmation categories. In Customizing for Materials
Management choose Purchasing Confirmations Define Internal Confirmation
Categories . Assign the inbound delivery types used for intracompany store returns (in the
DlTy.Intra column) and cross-company-code store returns (in the DlTy.Cross column) to the
confirmation category used for the internal confirmation category 2 (Shipping Notification).
In the standard system (with switch BC set ADVRET_V_T163D_V), the delivery types ELR
and ECR are assigned to confirmation category LA (Shipping Notificat.) used for the internal
confirmation category 2 (Shipping Notification).
The second step concerns confirmation control. In Customizing for Materials Management
choose Purchasing Confirmations Set Up Confirmation Control to define
confirmation control keys. The standard confirmation control key 0004 is reused for the
basic configuration.
For the third, required manual step, choose in Customizing for Logistics Execution
Shipping Deliveries Define Order Confirmations for Inbound Deliveries to define
which confirmation control key is used for the material receiving plant. Enter the
confirmation control key for purchasing document category F (Purchase Order), for the
purchasing order types UB2 and NB2C, and the (receiving) plant or, when you have
activated stock transfer between storage locations, combinations of (receiving) plant and
corresponding storage locations.
4. Configure goods receiving points
Choose in Customizing for Logistics Execution Shipping Basic Shipping Functions
Assign Goods Receiving Points for Inbound Deliveries .

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1.2 Configuration for Additional Scenarios
This chapter describes configuration settings for additional scenarios in Advanced Returns
Management. This includes for instance:
• Support of non-valuated returns stock in logistical processes and goods movement
posting for stock valuation
• Ability to send a replacement material as refund for customer returns
• In-house and external repair as logistical follow-up activities
The configuration settings for these scenarios delivered with the switch BC sets for
OPS_ADVRETURNS_2 are described in documents of KBA note 2967776.
1.2.1 Additional Settings for Customer Returns Processes
Non-Valuated Returns Stock
If you want to work with non-valuated returns stock in Advanced Returns Management, you
have to specify a specific requirement type that controls that the goods receipt of a returned
material is posted to the non-valuated returns order stock.
Choose Customizing activity Sales and Distribution Sales Advanced Returns
Management Specify Requirement Types for Non-Valuated Returns Stock .
You can use requirement type MSR that is delivered with the switch BC sets.
In-house and External Repair as Logistical Follow-up Activity
The switch BC sets already contain all relevant settings for in-house and external repair as
logistical follow-up activities, such as sales document types and copy control settings. This also
includes specific settings for the process in Advanced Returns Management, such as the
automatic creation of a goods movement posting from the returns order stock to the sales order
stock. If you want to use repair as the logistical follow-up activity, you should check these
settings.
1. Choose Customizing activity Sales and Distribution Sales Advanced Returns
Management Settings for Repair as Follow-Up Activity Specify Settings for In-House
Repair as Follow-Up Activity to check the settings for in-house repair as logistical follow-
up activity.
Management Settings for Repair as Follow-Up Activity Specify Settings for External
Repair as Follow-Up Activity to check the settings for external repair as logistical follow-
up activity.
Material Inspection by Customer
Setting up customer inspection codes
step, you specify that the catalog and code group of the first step are used for customer
inspection codes in Advanced Returns Management.
1. To define a catalog and code group, choose Customizing activity Sales and Distribution
Sales Advanced Returns Management Material Inspection Basic Settings
Define and Configure Catalog for Inspection Codes .

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2. To specify the relevant catalog and code group for the inspection by customer, choose
Customizing activity Sales and Distribution Sales Advanced Returns Management
Material Inspection Basic Settings Specify Catalog and Code Group for Inspection
by Customer .
The definition of inspection codes for the material inspection in Advanced Returns Management
is based on the same Customizing settings used for inspection lots in Quality Management
(QM). To review the settings in QM, choose the Customizing activity Quality Management
Quality Inspection Inspection Lot Completion Maintain Catalogs for Usage Decisions .
For the definition of customer inspection codes, you use the same Customizing activity as for
the definition of inspection codes for your own material inspection. You can either define one
inspection code catalog for your inspections and one for inspections by the customer, or you
can define one catalog for both inspections and then define different code groups.
Default values for returns refund code based on customer inspection codes
When you use returns refund codes to specify the refund for the customer, you can configure
default values for returns refund codes based on inspection codes of an inspection by the
customer and on return reasons.
Management Configure Default Values for Returns Refund Codes (Insp. by Customer)
(optional) to configure these default values.
Note that the configuration of default values for the returns refund codes based on inspection
codes for your own inspection have a higher priority.
Settings for the User Interface
You can hide fields specific for Advanced Returns Management on the user interface for the
returns order entry and for the Material Inspection in Warehouse transaction if you do not want
to use them. In particular, it is recommendable to hide fields related to the new features
delivered with Enhancement Package 6 if you do not want to use these features.
Management Define Screen Layout for Returns Order (optional) to hide fields for the
returns order entry.
You can differentiate between what is to be displayed on the Returns tab in the item
overview and what is to be displayed in the Item Detail view.
2. To specify the relevant catalog and code group for the inspection by customer, choose
Material Inspection Basic Settings Define Screen Layout for Material Inspection
to hide fields in the Material Inspection in Warehouse transaction.
Similar to the settings for logistical follow-up activities you can also activate and rename values
for the refund control parameters.
To do so, choose Customizing activity Sales and Distribution Sales Advanced Returns
Management Activate and Rename Refund Control (optional).
General Settings
Management Specify Settings at Client Level to specify new control parameters for
Advanced Returns Management at client level.

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1.2.2 Additional Settings for Supplier Returns Processes
Replacement Materials from Supplier
The switch BC sets already contain all relevant settings for this feature that enables you to
process replacement material deliveries from a supplier. However, you should check these
settings.
To do so, choose Materials Management Purchasing Purchase Order Returns Order
Advanced Returns Management Specify Settings for Replacement Materials from Supplier
.
2. Configuration for Customer Returns
2.1 Returns Order
This chapter describes Customizing settings required for the creation of returns orders in
Advanced Returns Management.
Prerequisites
This description focuses on specific aspects for the configuration of returns orders. We assume
that other Customizing settings for sales documents, such as pricing or output control, have
already been made.
Procedure
To configure the creation of returns orders for Advanced Returns Management you make the
usual settings for sales documents, specifically for returns orders. You maintain the copy control
from a reference document to the sales order, and you perform configuration steps specific for
2.1.1 Configure the Returns Order as a Sales Document
To make the required Customizing settings for sales documents, in Customizing choose
Sales and Distribution Sales Sales Documents .
Define sales document types for returns
To define sales document types used for returns orders, choose Customizing activity Sales
Documents Sales Document Header Define Sales Document Types .
Note the following specifics:
• Make sure that the SD document category of the sales document type is H Returns.
• If you want to arrive at the Returns overview screen after you enter data in the initial
sales document screen, in the FCode for overv.scr. field, enter UMSR Overview of
Returns.
• In the Delivery Type field in Shipping frame, enter the delivery type for the returns
delivery.

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In the delivered standard (Switch BC Sets ADVRET_TVAK_T and ADVRET_TVAKT_T), SAP
provides sales document type RE2.
Define sales document items used for returns
To define sales document items used for returns orders, choose Customizing activity Sales
Documents Sales Document Item Define Item Categories . Make sure that you have
selected the Returns checkbox.
In the delivered standard (Switch BC Set ADVRET_V_TVAP_V), SAP provides item categories
REN2 for the usual return of materials and ARTX for the special scenario that materials to be
returned are still unknown.
Note
Item category REN2 has billing category B Relevant for order related billing which enables the
immediate creation of the credit memo when you specify I Immediately for the refund control
parameter in the returns order item. When you enter another value for refund control parameter
the system initializes the billing relevance when saving the returns order so that you can create
one or more credit memo request(s) related to a returns order item.
Assign item categories to sales document types for returns orders
To assign item categories to sales document types, choose Customizing activity Sales
Documents Sales Document Item Assign Item Categories .
In the delivered standard (Switch BC Set ADVRET_V_T184_V), SAP provides the following
assignments:
• Item category assignment to sales document type RE2.
• Item category REN2 assignment for item category groups BANC, BANS, and NORM
• Item category ARTX assignment for an initial item category group and item usage TEXT
Define settings for schedule lines
To define schedule line categories for returns, choose Customizing activity Sales Documents
Schedule Lines Define Schedule Line Categories .
In the delivered standard (Switch BC Set ADVRET_V_TVEP_V), SAP provides schedule line
categories AR Advanced Returns for the usual return of materials and CT No inv.mgmt/no GdsIs
for the special scenario that materials to be returned are still unknown.
Note
There is a restriction for the Movement Type field. The movement type you specify for the usual
return of materials is used for the posting of the goods receipt into the returns stock. In
Advanced Returns Management, the usual non-valuated returns stock is not allowed. Therefore,
you cannot use movement type 651 GD ret.del. returns. Instead, for a posting into a valuated
returns stock, use movement type 653, 655, or 657, depending on the stock type you want to
use for the returns stock.
Assign schedule line categories to the item categories
To assign the schedule line categories to the item categories you created in step 2, choose
Customizing activity Sales Documents Schedule Lines Assign Schedule Line
Categories .
The following assignments are in the delivered standard (Switch BC Set ADVRET_V_TVEPZ_V):

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• Schedule-line category AR Advanced Returns is assigned to item category REN2.
• Schedule line category CT No inv.mgmt/no GdsIs is assigned to item category ARTX.
Define return reason and refund code in pricing
You can use return reasons and refund codes in pricing for the returns order (see Making
Specific Settings for Advanced Returns Management, step 4 and 5 respectively).
1. To make the required Customizing settings for pricing, in Customizing choose Sales and
Distribution Pricing Pricing Control .
2. To define condition tables with return reason or refund code as key fields, choose
Customizing activity Define Condition Tables.
The field catalog contains the MSR_RET_REASON Return Reason and MSR_REFUND_CODE
Returns Refund Code fields specifically for Advanced Returns Management.
3. To define condition types and corresponding access sequences, choose Customizing
activities Define Condition Types and Define Access Sequences.
4. To specify the created condition types in relevant pricing procedures, choose Customizing
activity Define And Assign Pricing Procedures.
2.1.2 Copying from Reference Documents
To create returns orders with reference to a preceding sales order or an invoice for a sales
order, you have to maintain the copying control for the document type of the returns order sales
as target and the document type of the reference document as source.
1. Choose Customizing activity Maintain Copy Control for Sales Documents.
2. Within this Customizing activity:
a. To use a sales order as reference, choose Copying Control: Sales Document to Sales
Document.
b. To use an invoice as reference, choose Copying Control: Billing Document to Sales
Document.
In the delivered standard (Switch BC Set ADVRET_TVCPA_S), SAP provides the following
settings for copy control:
• RE2 as target and sales order type TA (English OR) Standard Order as reference document
type (source) in connection with the corresponding item categories TAN and TAS
• RE2 as target and billing type F2 Invoice as reference document type (source) in connection
with the corresponding item category TAN
2.1.3 Specific Settings for Advanced Returns Management
To make the required Customizing settings for returns orders in Advanced Returns
Management, in Customizing choose Sales and Distribution Sales Advanced Returns
Management .
1. To activate returns order types for Advanced Returns Management, choose Customizing
activity Activate Advanced Returns Management for Returns Order Types.
In the delivered standard, Advanced Returns Management is activated for returns order
type RE2.

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2. To hide fields on the Returns tab page, choose Customizing activity Define Screen Layout
for Returns Order.
For more information, see chapter 1.2.1 Additional Settings for Customer Returns
Processes.
3. To specify requirement types for non-valuated returns stock (optional), choose Customizing
activity Specify Requirement Types for Non-Valuated Returns Stock.
4. To define relevant logistical follow-up activities (optional), choose Customizing activity
Activate and Rename Follow-Up Activities. Define which logistical follow-up activities you
want to use and enter your own descriptions for the follow-up activities.
Note that all logistical follow-up activities are active by default.
5. To define relevant refund control values (optional), choose Customizing activity Activate and
Rename Refund Control. Define which refund control values you want to use and enter your
own descriptions for the refund control values.
Note that all refund control values are active by default.
6. To define Advanced Returns Process IDs for process monitoring, choose Customizing
activity Define Number Ranges for Advanced Returns Process IDs.
Note that the number range interval must be 01.
7. To define return reasons, choose Customizing activity Define Return Reasons for Customer
Returns.
8. To define refund codes for returns (optional), choose Customizing activity Define Returns
Refund Codes.
9. To configure default values for returns refund codes (optional), choose Customizing activity
Configure Default Values for Returns Refund Codes or Configure Default Values for
Returns Refund Codes (New).
The system first analyses settings of this second Customizing activity. When the system does
not find an entry for a combination of inspection code, return reason and logistical follow-up
activity code here, it looks for a configuration setting for inspection code and return reason in the
first Customizing view
10. To configure default values for returns refund codes based on an inspection by customer
(optional), choose Customizing activity Configure Default Values for Returns Refund Codes
or
11. To configure default values for returns orders (optional), choose Customizing activity
Configure Default Values for Returns Orders.
In Customizing activity Specify Settings at Client Level, you can select the No
Redetermination of Default Values indicator which controls that the system does not
redetermine default values for a returns order item in when you change the receiving plant.
12. To specify sites requiring approval check (optional), choose Customizing activity Specify
Sites Requiring Approval Check.
In the delivered standard (Switch BC Set ADVRET_MSR_V_PLNCHK_V), SAP provides an
example in which an approval check is required for plant 0001.
13. To specify that the system shall evaluate the assignment of rejection reasons to the sales
document type of the credit memo request to be created with refund control P and the current
sales organization, choose Customizing activity Specify Settings at Client Level and choose
A for the Rejection Reasons f. Credit Memo Request field.

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14. To create returns orders for Advanced Returns Scenario: Material Received, which is
optional, you must configure the returns delivery creation and the corresponding goods
receipt posting. Proceed as described in chapter Returns Delivery and Goods Receipt.
optional, you must configure the material inspection for Advanced Returns Management.
Proceed as described in chapter Material Inspection in Warehouse for Customer Returns.
optional, you must configure the creation of follow-up documents. Proceed as described in
chapter Creation of Customer Returns Follow-Up Documents.
17. To make the settings for archiving advanced returns data related to customer returns
orders, choose Customizing activity Archiving Configure Archiving of Customer
Returns .
To implement enhancements for the different phases of the archiving program, go to the
following Customizing activities in Archiving Business Add-Ins (BAdIs) :
o BAdI: Enhancement for the Archiving Preprocessing Program
o BAdI: Enhancement for the Archiving Write Program
o BAdI: Enhancement for the Archiving Delete Program
o BAdI: Enhancement for the Archiving Reload Program
18. As system enhancements with Business Add-Ins (BAdIs), in Customizing activity
Business Add-Ins (BAdIs) BAdI: Configuration of Settings and Checks for Returns
Data , enter an implementation for BAdI method Get Default Values for Returns Data of
BAdI MSR_TRC that allows you to determine - in addition to your Customizing settings -
default values for returns-specific data, in particular for the follow-up activity or the
inspection code. To perform additional checks on returns-specific data, enter an
implementation for BAdI method Check Returns Data in Returns Order of BAdI MSR_TRC.
To set a billing block at the header or item level while taking into account returns-specific
data and other data of the returns order, in Customizing activity Business Add-Ins
(BAdIs) BAdI: Change Returns Data and Billing Block in Returns Order , enter an
implementation for BAdI method Change Header Billing Block or BAdI method Change Item
Billing Block of BAdI MSR_SD_SALES.
2.2 Returns Delivery and Goods Receipt
This chapter describes Customizing settings required for the creation of returns deliveries
related to returns orders and the corresponding goods receipt posting in Advanced Returns
Management.
Prerequisites
This description focuses on specific aspects for the configuration of returns delivery creation
and goods receipt posting configuration in Advanced Returns Management. We assume that
other Customizing settings for deliveries, such as partner determination or output control, have
already been made.
Procedure
To configure the creation of returns deliveries in Advanced Returns Management you make the
usual settings for delivery documents, and you maintain the copy control from the returns order

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to delivery document. There are no configuration steps specific for Advanced Returns
Management.
For the goods receipt posting, you define stock type and storage location for the returns stock.
2.2.1 Returns Delivery
Define delivery types for return deliveries
To define delivery types for returns deliveries, choose Customizing activity Logistics
Execution Shipping Deliveries Define Delivery Types .
Note the following if you create your own delivery types:
• Make sure that the document category of the delivery type is T Returns delivery for order.
• Select X Sales order required for the Order required field.
In the delivered standard (Switch BC Sets ADVRET_TVLK_T and ADVRET_TVLKT_T), SAP
provides delivery type LR2 Adv.Returns Delivery for returns deliveries.
With relation to returns orders: When you define sales document types for returns orders, in the
Delivery Type field in the Shipping frame, enter the delivery type for the returns delivery. In the
delivered standard (Switch BC Set ADVRET_TVAK_T), delivery type LR2 is assigned to returns
order type RE2.
Define settings for copy control
To make settings for copy control for the defined returns delivery type as the target and the
defined returns order types as source, choose Customizing activity Logistics Execution
Shipping Copying Control Specify Copy Control for Deliveries .
In the delivered standard (Switch BC Set ADVRET_TVCPL_S), SAP provides copy control
settings for delivery type LR2 as target delivery type and RE2 as reference document type in
connection with the corresponding item categories REN2 and ARTX.
2.2.2 Settings for Goods Receipt Posting
Configure stock type for good receipt posting
As explained in chapter Configuring Returns Orders, the stock type for the returns stock is
determined by the movement type that you enter for the schedule-line category assigned to the
item category for your returns order.
However, when you want to create returns order for the Advanced Returns Scenario: Material
Received, you can specify distinctive stock types for the immediate goods receipt postings into
free-available stock and into specified stock.
To enter distinctive movement types for the relevant schedule-line categories to specify the
stock type for the immediate goods receipt postings, choose Customizing activity Sales and
Distribution Sales Advanced Returns Management Follow-Up Documents Specify
Movement Types for Immediate Goods Receipts .
In the delivered standard (Switch BC Set ADVRET_MSR_V_TVEP_V), the movement type 653 is
assigned to the delivered schedule-line category AR for the immediate goods receipt posting
into free-available stock, and 655 is assigned for the immediate goods receipt posting into
specified stock.

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Configure storage location for the goods receipt
Advanced Returns Management has a special feature in the determination of the storage
location for the goods receipt posting in the receiving plant of a customer return. In addition to
the usual picking location determination, you can define a specific storage location for the
returns stock in the receiving plant of a customer return to separate returns stock from other
material stock, such as the usual free-available stock.
In the same way, you can specify specific storage locations for the immediate goods receipt
posting into free-available stock and the immediate scrap posting in connection with the
Advanced Returns Scenario: Material Received.
1. To maintain the usual customizing settings for picking location determination, choose
Customizing activity Logistics Execution Shipping Determine Picking Location
If you do not want to use the additional option for Advanced Returns Management, the
storage locations configured in this Customizing activity are taken for the goods receipt
posting for returns deliveries.
However, if you want to use the option for specific storage locations for the returns stock,
you have to perform the following two additional configuration steps.
2. To enter the specific storage location for the usual combinations of shipping point, plant,
storage condition, and storage location as of the picking location determination, choose
Follow-Up Documents Specify Storage Locations for Follow-Up Activities .
In the Recv. Plant column, enter the required storage location for the returns stock; in the
Free/Scrap column, enter the storage locations for immediate goods receipt postings into
free-available stock; in the Immd Scrap column (higher priority) or in the Free/Scrap column,
enter the storage location for the immediate scrap posting.
3. The second additional configuration step deals with the activation of this special storage
location determination. A new rule MSRE Advanced Returns Inbound (Considers Follow-Up
Activity) for picking location determination has been created. It controls whether the special
storage locations maintained for follow-up activities in Advanced Returns Management are
applied for returns processes instead of the usual storage locations maintained in the
Picking Location Determination transaction.
MSRE to the delivery types you have defined for the returns deliveries in customer returns
scenarios.
To enter the assignment, choose Customizing activity Logistics Execution Shipping
Picking Determine Picking Location Define Rules for Picking Location Determination
.
In the delivered standard (Switch BC Set ADVRET_TVLK_T), the picking location determination
rule MSRE is assigned to delivery type LR2.
2.3 Material Inspection in Warehouse for Customer Returns
This chapter describes Customizing settings required to perform the material inspection in the
Material Inspection in Warehouse transaction for return deliveries related to customer returns in
Prerequisites
This process step is specific for Advanced Returns Management. There are no prerequisites.

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Procedure
To make the required Customizing settings for the Material Inspection in Warehouse process
step, in Customizing choose Sales and Distribution Sales Advanced Returns
Management Material Inspection Basic Settings .
2.3.1 Basic Settings
Define a number range
To define the number range for material inspection documents, choose Customizing activity
Define Number Range for Inspection Outcome.
Note the following:
• The number range object is /SPE/RETIN Inspection Outcome Number for Returns (SPM).
• The number range number must be 02.
• There is only one number range for all material inspection documents in Advanced Returns
Management. This means there is no number range differentiation for the different kinds of
material inspections - material inspection by supplier, material inspection for store returns,
material inspection for customer returns - in Advanced Returns Management.
The Material Inspection function in Advanced Returns Management is related to the Quality
Inspection Engine (QIE) function. This QIE function is also used in the Returns Inspection part
of the Complaints and Returns solution within Service Parts Management (SPM).
To review the settings for QIE, choose Customizing activity Logistics Execution Service
Parts Management (SPM) Complaints and Returns (SPM) Returns Inspection Define
Number Range for Inspection Outcome . Both returns solutions share a common number
range object for inspection outcomes:
• Number range interval 01 is used for Service Parts Management.
• Number range interval 02 is used for Advanced Returns Management.
Set up inspection codes
step, you specify that the catalog and code group of the first step are used for inspection codes
in Advanced Returns Management.
1. To define catalog and code group, choose Customizing activity Define and Configure
Catalog for Inspection Codes.
2. To specify the relevant catalog and code group for your material inspection, choose
Customizing activity Specify Catalog and Code Group for Material Inspection, and to specify
the relevant catalog and code group for an inspection by customer, choose Customizing
activity Specify Catalog and Code Group for Inspection by Customer.
Management is based on the same Customizing settings used for inspection lots in Quality
Management (QM). To review the settings in QM, choose the Customizing activity
Quality Management Quality Inspection Inspection Lot Completion Maintain
Catalogs for Usage Decisions .

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Configure print settings
To choose an Adobe form for the output of inspection work lists, choose Customizing activity
Configure Print Settings.
Handling of materials with serial numbers
To support materials with serial numbers in the Material Inspection in Warehouse transaction
you have to add procedure ADVR Material Inspection in Adv. Returns Mgt. in your relevant serial
number profiles. This procedure enables that serial numbers are automatically copied to follow-
up documents when you confirm the logistical follow-up activity and that in case of an inspection
split, you can manually assign serial numbers to the inspection splits according to the partial
quantities.
To maintain serial number profiles, choose Sales and Distribution Basic Functions
Serial Numbers Determine Serial Number Profiles .
Integration with Quality Management
You can configure that you want to use the inspection lot from Quality Management for the
material inspection.
To activate this feature, perform the following steps:
• Choose Customizing activity Specify Settings at Client Level and select the Inspection Lot
for Material Inspection Active indicator.
• Specify an inspection type for a planned inspection and for ad-hoc inspection.
Each of the two inspection types is optional but you have to specify one of them.
Further Parameters in the General Settings on Client Level
In Customizing activity Specify Settings at Client Level, there are further parameters influencing
the material inspection.
• In field Additional Inspection Fields Table, you can specify a database table for additional
inspection fields.
• In field Rejection Reasons f. Credit Memo Request, you can specify whether the system shall
evaluate the assignment of rejection reasons to the current sales document type for the credit
memo request and the current sales organization.
You assign rejection reasons to combinations of sales document type and sales organization in
Customizing activity Sales and Distribution Sales Sales Documents Sales
document Item Assign Rejection Reasons to Sales Document Types and Sales
Organizations .
Implement system enhancements with business add-ins
In Customizing activity Business Add-Ins (BAdIs) BAdI: Enhancements for Processing
Inspection Data , you can use the different BAdI methods to implement enhancements for the
different processing steps in the Material Inspection in Warehouse transaction.

22
2.3.2 Warehouse Management System (WMS) Settings
If you use the Warehouse Management System (WMS) you have to make additional
customizing settings to integrate the material inspection in Advanced Returns Management with
WMS goods movement processing. To do so, choose Sales Advanced Returns
Management Material Inspection Warehouse Management Integration .
We assume that you have defined appropriate warehouse numbers and that you have assigned
the warehouse numbers to storage locations in your plants.
1. To define one or more special storage types for the returns stock in the relevant warehouse
numbers, choose Customizing activity Define Storage Type (optional).
2. To define storage sections for the storage types that you have defined for the returns stock
in your warehouse numbers, choose Customizing activity Define Storage Sections
(optional).
3. To define FIFO Strategy with GUID Priority, choose Customizing activity Define FIFO
Strategy with GUID Priority. As the putaway strategy, configure Q Dynamic coordinate
quant number; as the stock removal strategy, configure G FIFO (First in First out), GUID-
Based.
4. To define special WM movement types for the goods movement relevant for Advanced
Returns Management, choose Customizing activity Define Movement Types.
5. To configure settings that allow you to automatically find the storage type that you have
defined for the returns stock, choose Customizing activity Activate Storage Type Search.
6. To configure settings that allow you to automatically find the storage sections within the
storage types that you have defined for the returns stock, choose Customizing activity
Activate Storage Section Search.
7. To configure settings that allow you to automatically find the right storage bins using the
storage bin type feature, choose Customizing activity Activate Storage Bin Type Search.
2.4 Creation of Customer Returns Follow-Up Documents
This chapter describes Customizing settings required to automatically create follow-up
documents in the context of the Advanced Returns Scenario: Material Received or when you
confirm logistical follow-up activities in the Material Inspection in Warehouse transaction for
returns deliveries related to customer returns in Advanced Returns Management.
Prerequisites
This description focuses on specific settings for the automatic creation of follow-up documents
in Advanced Returns Management. We assume that other Customizing settings for these
documents, such as pricing or output control, have already been made.
Procedure
To make the required Customizing settings for the creation of follow-up documents, in
Customizing choose Sales and Distribution Sales Advanced Returns Management .
Note that the Customizing settings for goods receipt postings – for the usual goods receipt into
returns stock as well as for the immediate goods receipt posting in connection with the logistical
follow-up activities Immediately Move to Free Available Stock or Immediately Move to Scrap -
are already described in chapter Returns Delivery and Goods Receipt.

23
Settings for follow-up activities: Transfer to Free Available Stock / Specified Stock
Specify the stock type and storage location to be used for the goods movement posting when
you choose Transfer to Free Available Stock or as follow-up activity in the Material Inspection in
Warehouse transaction. For more information about the specifics for the determination of
storage locations, see chapter Returns Delivery and Goods Receipt.
1. To specify the stock type for the goods movement posting to free available stock, choose
Customizing activity Follow-up Documents Specify Stock Types for Stock Transfers .
2. In the StckT Free Available column, enter the stock type for the relevant plants.
3. To specify the storage location for both the goods movement postings, choose Customizing
activity Follow-up Documents Specify Storage Locations for Follow-Up Activities .
4. In the TransfFree column, enter the target storage location for the goods movement to free
available stock; in the TargetSLoc column, enter the target storage location for the goods
movement to specified stock.
Settings for returns purchase order and returns stock transport order
Specify the purchasing document types to be used in the following situations:
• For the returns purchase order when you choose Ship to Supplier as the follow-up activity.
• For the intracompany or cross-company-code returns stock transport order when you
choose Ship to Other Plant or Ship to Supplier via Other Plant as the follow-up activity.
1. To specify required document types, choose Customizing activity Follow-up Documents
Specify Follow-Up Document Types for Customer Returns .
2. Depending on the returns order types you use, do the following:
a. In the RTV column, enter the document type for the returns purchase order.
b. In the Store Ret. column, enter the purchasing document type for the intracompany
returns stock transport order.
c. In the ccStoreRet column, enter the purchasing document type for the cross-company-
code returns stock transport order.
Choose Specify Settings at Client Level to maintain the following parameters that effect the
returns purchase order creation:
• In field AcctAssCat Direct Return to Supplier, you can enter a special account assignment
category for the direct return to supplier.
You define and configure account assignment categories in Customizing activity Materials
Management → Purchasing → Account Assignment → Maintain Account Assignment
Categories. When you do not select the Goods receipt indicator for the account assignment
category used for direct return to supplier then the system will use a specified price
difference account for the credit memo posting instead of the GR/IR balancing account.
• In field AcctAssCat RTS Non-Valuated Material, you can enter a special account
assignment category for the return to supplier in case of non-valuated materials.
• In field Partner Function Return-To Address, you can enter a special partner function that
you use for maintaining return-to addresses in the business partner data (Sales and
Distribution view for the assigned customer) of a supplier.
If you do not specify a special partner function or you do not maintain business partner for
this partner function, then the system will evaluate ship-to addresses.
• In fields Partner Function Third Party Supplier and Partner Function Third Party Return-To,
you maintain partner functions for the scenario of a direct return to supplier.

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You use this partner functions to inform the customer about the involved supplier and the
address to which he shall send the material. In Customizing activity choose Sales and
Distribution Basic Functions Partner Determination Set Up Partner Determination
, you have to include these partner functions in the partner determination procedure for
the returns order item so that they appear on the Partner tab page.
• You select the Do Not Use Reference in Return PO Creation indicator when you want to
create the returns purchase order without reference to a preceding purchase order.
When you perform a third-party sales process, a purchase order is generated when requesting
goods from a supplier. In the returns process, this purchase order can be determined and used
as a reference for sending the goods back to the supplier. You can set this indicator when you
want to create a returns purchase order without reference to an existing purchase order.
Settings for repair as logistical follow-up activity
Specify the settings to be used in the following situations:
• For the in-house repair when you choose 0016 In-House Repair as the logistical follow-up
activity.
• For the external repair when you choose 0017 External Repair as the logistical follow-up
activity.
1. To specify settings for in-house repair, choose Customizing activity Settings for Repair as
Follow-Up Activity Specify Settings for In-House Repair as Follow-Up Activity .
Depending on the returns order types you use, do the following:
a. In the Repair Type column, enter the sales document type for the repair order for in-
house repair.
b. Select the Create Goods Mvmnt indicator, when you want that the system automatically
posts a goods movement from the returns order stock to the repair order stock.
c. Select the Create Repair Item indicator, when you want that the system automatically that
the system automatically creates a repair item in the repair order.
2. To specify settings for external repair, choose Customizing activity Settings for Repair as
Follow-Up Activity Specify Settings for External Repair as Follow-Up Activity .
Depending on the returns order types you use, do the following:
a. In the Repair Type column, enter the sales document type for the repair order for
external repair.
b. In the PO Type column, enter the purchase order type for the subcontracting purchase
order related to an external repair order.
c. Select the Create Goods Mvmnt indicator, when you want that the system automatically
posts a goods movement from the returns order stock to the repair order stock.
d. Select the Create GM (Vendor Stock) indicator, when you want that the system posts the
goods movement to the (virtual) storage location for the external repair order that represents
repair stock physically located at the subcontracting supplier.
Choose Specify Settings at Client Level to maintain the following parameters that effect the
returns purchase order creation:
• In field Allow Repair for Valuated Returns Stock, you can specify that you can also trigger
the in-house or external repair process from valuated returns stock.

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Specify the delivery type for an outbound delivery to send back materials to the
customer
1. Choose Customizing activity Activate Advanced Returns Management for Returns Order
Types.
2. In the DelivType field, enter the delivery type for the outbound delivery for relevant returns
order types.
Specify the delivery type for an outbound delivery to correct the goods receipt quantity
1. Choose Customizing activity Activate Advanced Returns Management for Returns Order
Types.
2. In the GRQC Del. field, enter the delivery type for the outbound delivery for relevant returns
order types.
Define default return reasons for returns purchase order and returns stock transport
order (optional)
To specify default return reasons for the returns purchase order and returns stock transport
order dependent on return reasons entered in the returns order, choose Customizing activity
Follow-up Documents Assign Supplier Return Reasons to Customer Return Reasons .
Configure authorization for follow-up activities (optional)
To configure the authorization settings that allow users to propose and confirm logistical follow-
up activities for returns delivery items, choose Customizing activity Material Inspection
Basic Settings Configure Authorization for Follow-Up Activities .
If you do not define user groups or do not assign a user to a user group, users are allowed to
propose and to confirm all possible follow-up activities, as long as their authorization profile is
not restricted.
Define Blocks for follow-up activities (optional)
To define blocks for follow-up activities that prevent the execution of the logistical follow-up
activities that have been specified for a returns delivery item or a corresponding inspection split
item, choose Customizing activity Material Inspection Basic Settings Define Blocks for
Follow-Up Activities .
2.5 Customer Refund Determination
This chapter describes Customizing settings required for the creation of credit memo requests
and credit memos to refund customers in Advanced Returns Management.
It also describes Customizing settings required for the creation of credit memos for
intercompany billing. In this case you create a returns order with one company code for the
sales organization as part of the sales area at the header level and receiving plants that belong
to a different company code at item level. In this scenario the company code of the receiving
plant must refund the company code associated with the sales organization for the returned
materials. This is required because the company code associated with the sales organization
actually refunds the customer. Intercompany billing is based on the returns delivery.

26
Prerequisites
This description focuses on specific aspects for the credit memo request and credit memo
configuration in Advanced Returns Management. We assume that other customizing settings for
these documents, such as pricing settings or output control, have already been made.
Procedure
To configure the creation of credit memo requests and credit memos for Advanced Returns
Management, do the following:
• Make the usual settings for sales and billing documents.
• Maintain the copy control from the returns order to the credit memo request and further to
the credit memo.
• Maintain the copy control from the returns order or from the returns delivery to the credit
memo for an immediate refund in the Advanced Returns Scenario: Material Received.
• Maintain the copy control from the returns delivery to the credit memo for intercompany
billing.
• Maintain configuration steps specific for Advanced Returns Management.
2.5.1 Basic Settings for the Creation of Credit Memo Requests
To make the required Customizing settings for creation of a credit memo request, in
Customizing choose Sales and Distribution Sales .
Define document types for credit memo requests
To define document types for credit memo requests, choose Customizing activity Sales
Documents Sales Document Header Define Sales Document Types .
Note
Make sure that the SD document category of the sales document type is K Credit memo
request.
To arrive at the Returns overview screen when you create credit memo requests in foreground
processing of the Customer Refund Determination transaction, in the FCode for overv.scr. field,
enter UMSR Overview of Returns.
In the delivered standard (Switch BC Sets ADVRET_TVAK_T and ADVRET_TALKT_T), SAP
provides document type GA2 Credit Memo Request for a credit memo request document.
Regarding the relation to the credit memo: When you define the document types for credit
memo requests, in the Order-rel-bill.type field in the Billing frame, enter the billing type for the
credit memo. In the delivered standard (Switch BC Set ADVRET_TVAK_T) the existing billing
type G2 is assigned to document type GA2.
Make settings for the sales document item used for credit memo requests
To define sales document types for returns, choose Customizing activity Sales Documents
Sales Document Item Define Item Categories . Make sure that you have selected the
Returns checkbox.
In the delivered standard (Switch BC Set ADVRET_V_TVAP_V), SAP provides item category
GAN2 for the item category of credit memo requests.

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Assign item categories to the sales document types for credit memo requests
Choose Customizing activity Sales Documents Sales Document Item Assign Item
Categories .
In the delivered standard (Switch BC Set ADVRET_V_T184_V), SAP provides an item category
assignment to sales document type GA2. Item category GAN2 is assigned for item category
groups BANC, BANS, and NORM. In addition, the existing item category G2TX is assigned to GA2
for an initial item category group and item usage TEXT to illustrate that you can also enter text
items in the credit memo requests in Advanced Returns Management.
Activate document type for credit memo requests for Advanced Returns Management
Choose Customizing activity Advanced Returns Management Activate Advanced Returns
Management for CMR Order Types .
In the delivered standard, Advanced Returns Management is activated for document type GA2.
Define a default document type for credit memo requests
To assign a document type for credit memo requests to relevant returns order types that is used
as default for the credit memo request creation when you use the Customer Refund
Determination transaction, choose Customizing activity Advanced Returns Management
Activate Advanced Returns Management for Returns Order Types .
Make settings for copy control to create credit memo requests
To make settings for copy control for the defined document type of the credit memo request as
target and the defined returns order types as source, choose Customizing activity Maintain
Copy Control for Sales Documents Copying Control: Sales Document to Sales Document .
In the delivered standard (Switch BC Set ADVRET_TVCPA_S), SAP provides copy control
settings for document type GA2 as target and RE2 as source type in connection with the
corresponding item category REN2.
2.5.2 Credit Memo Creation
Define billing types
SAP does not deliver a special billing type for credit memos for customer refunds as part of a
Switch BC Set related to Advanced Returns Management. However, the previously delivered
billing type G2 is appropriate or can be used as reference for creating your own billing types. It is
also used in the copy control settings (see next customizing step).
1. To define billing types for credit memos for customer refunds and for intercompany billing in
Advanced Returns Management, choose Customizing activity Sales and Distribution
Billing Billing Documents Define Billing Types .
2. In the Order-rel.bill.type field for the relevant credit memo request order types, enter the
desired billing type as the proposed billing type for an order-related billing document.
3. To create returns orders for the Advanced Returns Scenario: Material Received, enter the
desired billing type as follows:
o To configure an order- related billing, enter the billing type in the Order-rel.bill.type field.
o To configure a delivery-related billing, enter the billing type in the Dlv-rel.billing type.
In the delivered standard (Switch BC Sets ADVRET_TVFK_T and ADVRET_TVFKT_T) SAP
provides billing type IG2 for credit memos in intercompany billing.

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4. For intercompany billing, enter the desired billing type as the proposed billing type in the
Intercomp.bill.type field for the relevant returns order types.
In the delivered standard (Switch BC-Set ADVRET_TVAK_T), billing type IG2 is assigned to
returns order type RE2.
Configure copy control to create credit memos
1. To configure copy control for credit memo billing types defined in the previous section as
target, choose Customizing activity Sales and Distribution Billing Billing Documents
Maintain Copying Control For Billing Documents .
2. To configure copy control with the credit memo request order type as source, choose
subactivity Copying control: Sales document to billing document.
In the delivered standard (Switch BC Set ADVRET_TVCPF_S), SAP provides copy control
settings for billing type G2 as target and credit memo request order type GA2 as source type
in connection with the item category GAN2.
3. If you have configured an order-related billing relevance, choose subactivity Copying
control: Sales document to billing document to configure the copy control for the Advanced
Returns Scenario: Material Received with the returns order type and the corresponding item
category as source.
settings for billing type G2 as target and returns order type RE2 as source type in connection
with the item category REN2.
4. If you have configured a delivery-related billing relevance, choose subactivity Copying
control: Delivery document to billing document to configure the copy control for the
Advanced Returns Scenario: Material Received with the returns delivery type and the
corresponding item category as source.
5. To configure copy control for the intercompany billing scenario with the returns delivery type
and the corresponding item category as source, choose subactivity Copying control:
Delivery document to billing document.
settings for billing type IG2 as target and the returns delivery type LR2 and the
corresponding item category REN2 as source.

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3. Configuration for Returns to External Suppliers
3.1 Returns Purchase Order
This chapter describes Customizing settings required for the creation of returns purchase orders
Prerequisites
This description focuses on specific aspects for the configuration of returns purchase orders.
We assume that other Customizing settings for purchasing documents, such as pricing or output
control, have already been made.
Procedure
To configure the creation of returns purchase orders for Advanced Returns Management, you
make the usual settings for purchase documents, specifically for returns purchase orders, and
you perform configuration steps specific for Advanced Returns Management.
3.1.1 Configure the Returns Purchase Order as a Purchasing Document
To make the required Customizing settings for purchasing documents, in Customizing choose
Materials Management → Purchasing → Purchase Order .
Settings for the returns purchase order as purchasing document
...
1. To define purchasing document types for returns purchase orders, choose Customizing
activity Define Document Types.
2. Activate Advanced Returns Management for purchasing document types already defined
with this Customizing activity or use a special Customizing activity as described in step 1 of
“Making Specific Settings for Advanced Returns Management.”
In the delivered standard (Switch BC Set ADVRET_VVC_T161_VF_C), SAP provides
purchasing document type NB2 (see view VV_T161_VF Document types within the
Switch BC Set) with the allowed item categories 0 Standard, 2 Consignment, and 5 Third-
party (see view V_T161P Allowed Item Categories within the Switch BC Set).
Because purchase requisitions are not supported for returns purchase orders in Advanced
Returns Management, there is no link to purchase requisitions for purchasing document
type NB2.
Settings for the screen layout
The user interface for the creation of returns purchase orders in Advanced Returns
Management has been enhanced with the new Returns tab page in the item detail section and
with a similar Returns tab page in the header section that allows you to enter default values.
With the screen layout settings you specify the input attributes of the fields in these tab pages.
...
1. To make the settings for the screen layout, choose Customizing activity Define Screen
Layout at Document Level.

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2. To maintain settings for the fields in the Returns tab page, use field selection group Returns
Data as part of a field selection key.
3. To ensure that the screen layout attributes specific for Advanced Returns Management are
visible only in the screen layout maintenance dialogue after you activated the business
function OPS_ADVRETURNS_1 Advanced Returns Management, the enhancements for this
Customizing activity are delivered with the Switch BC Sets ADVRET_T162Y_T and
ADVRET_T162X_T.
There are two requirements concerning the Rejection Reason field. First, this field may not be
visible when you create or change a returns purchase order; it is visible only in the release
transaction ME29N. Second, input is mandatory when you reject a returns purchase order but
not when you release it.
To fulfill the first requirement:
• In the field selection keys AKTH Create, AKTV Change, and PT0F Standard item purchase
order, specify this field as optional.
• In the field selection key that you have assigned to the purchasing document type (ME21N
Purchase order), specify this field as suppressed.
• In field selection ME29N Release purchase order, specify the field as mandatory.
To fulfill the second requirement, special business logic has been implemented so that the input
is not mandatory when you release a returns purchase order in transaction ME29N although the
field input has been specified as mandatory.
Settings for pricing
You can use the return reason for supplier returns (see step 4 in Making Specific Settings for
Advanced Returns Management) in the pricing for the returns purchase order.
...
1. To make the required Customizing settings for pricing, in Customizing choose Materials
Management → Purchasing → Conditions .
2. To define condition tables with the return reason as a key field, choose Customizing activity
Maintain Condition Tables.
3. The field catalog contains the field MSR_RET_REASON Return Reason specific for Advanced
Returns Management.
5. To enter the created condition types in relevant pricing procedures, choose Customizing
activity Define Calculation Schema.
Settings for release procedures
...
1. To configure release procedures, choose Customizing activities below node Release
Procedure for Purchase Orders.
2. To define release strategies, choose Define Release Procedure for Purchase Orders →
Release Strategies.
A typical criterion in a release procedure for returns purchase orders is the total net order value.
When the value of materials to be returned exceeds a certain threshold, a returns purchase
order is blocked and can be released only by an authorized person. Special business logic has
been implemented in the definition of release strategies to fulfill this requirement: the total net
order value of a returns purchase order is negative but the definition of release strategies –

31
using function Classification – does not allow entering a negative threshold. To overcome this
restriction, you can enter a threshold for the absolute total net order value.
For example, when you specify for the total net order value >100 EUR, the returns purchase
order is blocked – provided the other criteria are fulfilled – when the total net order value is
below -100 EUR.
See step 5 in chapter Making Specific Settings for Advanced Returns Management for the
definition of rejection reasons.
3.1.2 Specific Settings for Returns Purchase Order
In Advanced Returns Management, shipping processing for suppliers is mandatory. The
configuration of the delivery to the supplier is also relevant for the Returns Purchase Order
process step as settings are checked. Missing or incorrect settings can prevent the creation of
the returns purchase order. For more information about the delivery configuration, see chapter
3.2 Outbound Delivery and Goods Issue.
To define whether missing or incorrect shipping processing data is treated as a warning or an
error, in Customizing choose Materials Management → Purchasing → Environment Data →
Define Attributes of System Messages → System Messages .
The following messages are relevant:
• ME 391: No shipping processing is defined for supplier
• ME 392: No delivery type for returns processing assigned to purchasing document category
F (purchase order), the relevant purchasing document type, and the relevant plant
• ME 393: No shipping data could be found for item
• ME 394: The supplier is not maintained as customer for the relevant sales area
• 06 280: Missing shipping data
• 06 850: Material flagged for deletion
• 06 855: Not possible to determine shipping point
To make the required Customizing settings for returns purchase orders in Advanced Returns
Management, in Customizing, choose Materials Management → Purchasing → Purchase
Order → Returns Order → Advanced Returns Management .
1. To activate returns purchase order types for Advanced Returns Management, choose
Customizing activity Activate Advanced Returns Management for Purchase Order Types.
In the delivered standard, Advanced Returns Management is activated for purchase order
type NB2.
Activate and Rename Follow-Up Activities.
3. To define Advanced Returns Management process IDs for process monitoring, choose
Customizing activity Define Number Ranges for Advanced Returns Process IDs.
Note that the interval number must be 01.
4. To define return reasons for supplier returns, choose Customizing activity Define Return
Reasons for Supplier Returns.
This view is called Reasons for Ordering and also lists reasons that are used for normal
purchasing.

32
5. To define rejection reasons for supplier returns (optional), choose Customizing activity
Define Rejection Reasons for Supplier Returns.
6. To make the settings for archiving the advanced returns data related to returns purchase
orders, choose Customizing activity Archiving → Configure Archiving of Supplier Returns.
To implement enhancements for the different phases of the archiving program, choose
Archiving → Business Add-Ins (BAdIs) → BAdI: Enhancement for the Archiving
Preprocessing Program, BAdI: Enhancement for the Archiving Write Program, BAdI:
Enhancement for the Archiving Delete Program, and BAdI: Enhancement for the Archiving
Reload Program.
7. To make system enhancements with business add-ins, in Customizing activity Business
Add-Ins (BAdIs) → BAdI: Configuration of Settings and Checks for Returns Data, enter an
implementation for BAdI method Check Returns Data in Returns POs and Returns STOs of
BAdI MSR_TRC that allows you to perform additional checks on this data.
In Customizing activity Business Add-Ins (BAdIs) → BAdI: Maintenance of Data for
Automatically Created Follow-Up Documents, you can enter an implementation for BAdI
methods Create Returns Purchase Order, Create Returns Purchase Order for Direct
Shipment, Determine Purchasing Group, and Determine Purchasing Organization for Plant
to change returns purchase order data when they are created automatically in the
background.
The system automatically selects the Supplier RMA checkbox on the Returns tab page in the
detail section according to the settings you made for the Supplier RMA Number Required field in
the supplier master record and the Supplier RMA Number Required field in the relevant
purchasing info record.
3.2 Outbound Delivery and Goods Issue
This chapter describes Customizing settings required for the delivery of materials for returns
purchase orders in Advanced Returns Management. In Advanced Returns Management,
shipping processing for suppliers is mandatory. This means that you must configure the delivery
to the supplier.
Prerequisites
You have maintained the delivery types that you want to use for outbound deliveries in the
return to supplier scenario, and you have made all the settings relevant for shipping.
Assign Delivery Type
1. To define the Customizing settings, choose Customizing activity Materials Management
→ Purchasing → Purchase Order → Returns Order → Return to Supplier .
2. Assign a delivery type to the following:
• Purchasing document category F Purchase order
• Purchasing document types that you have defined for returns purchase orders
• Plants from which you want to return materials to a supplier
Returns delivery type RL Returns (pur.ord.), which already exists in the system, is suitable
for this.

33
In the delivered standard (Switch BC Set ADVRET_V_T161V_W_V), SAP provides an
example entry in which delivery type RL is assigned to purchasing document category F,
purchasing document type NB2, and plant 0001.
Sett the Returns Supplier Indicator in the Business Partner Record
Consider the prerequisites for returns to supplier with shipping processing as mentioned in the
Customizing activity documentation:
...
1. In the purchasing data (frame Control data) as part of the Supplier view of the relevant
business partner master data records, choose the Returns Supplier indicator.
2. In the dialog box that appears, enter the customer number, the account group, and the
shipping conditions.
3. Save your changes to the business partner master record.
As a result, the system automatically creates the customer master record for sales area
according to the following logic:
• The system determines all plants that are associated with the purchasing organization of
the supplier master record for which you have activated the shipping processing.
• Then it collects all the sales areas that are related to these plants with respect to
intercompany billing (see figure). In SAP S/4HANA you assign the sales area for
intercompany billing to a plant in Customizing activity Materials Management →
Purchasing → Purchase Order → Set up Stock Transport Order → Define Shipping Data
for Plants . In SAP Retail you enter the sales area in the Organization/calendar tab page
in the site master record. Note that you may have to update customer master records for
returns to supplier shipping processing when you change the sales area assignment for
plants or when you create new plants with different sales area data.
Vendor V1
Purchasing data for
purchasing organization
P001
Plant P1
Assignment to
P001
Assignment to
sales area
V001/V1/S1
Plant P2
Assignment to
P001
Assignment to
sales area
V002/V2/S2
Customer VCU1
Sales area data for
sales areas
V001/V1/S1
V002/V2/S2
Shipping processing
for return to vendor
Associated
customer
Figure: Customer Master Record for a Supplier with Shipping Processing for Returns
Maintain Shipping Points
Maintain a shipping point for the plant that you enter on the returns purchase order item
(supplying plant) and configure the shipping point determination.

34
To maintain a shipping point, choose Customizing activity Logistics Execution → Shipping →
Basic Shipping Functions → Shipping Point and Goods Receiving Point Determination →
Assign Shipping Points .
Note the following for the determination of the shipping point:
• In the Default ord.ty. field, for the delivery type you want to use for the outbound delivery,
enter a default order type (a sales document type) for deliveries without reference to order.
For this order type that you have defined previously in Customizing for Sales and
Distribution, you maintain shipping conditions in the corresponding field. If maintained, this
shipping conditions value is used for the shipping point determination instead of the value
defined in the customer master record.
• The loading group is taken from the plant data of the material to be returned.
3.3 Material Inspection by Supplier
This chapter describes Customizing settings required to capture results from a supplier
inspection in the Material Inspection by Supplier transaction for outbound deliveries related to
returns purchase orders in Advanced Returns Management.
Prerequisites
Procedure
To make the required Customizing settings for the Material Inspection by Supplier process step,
in Customizing choose Materials Management → Purchasing → Purchase Order → Returns
Order → Advanced Returns Management → Material Inspection → Basic Settings .
Define a Number Range
To define the number range for material inspection documents, choose Customizing activity
Define Number Range for Inspection Outcome.
Note the following:
• The number range object is /SPE/RETIN Inspection Outcome Number for Returns (SPM).
• The number range interval must be 02.
• There is only one number range for all material inspection documents in Advanced Returns
Management. This means there is no number range differentiation for the different kinds of
material inspections – material inspection by supplier, material inspection for store returns,
material inspection for customer returns – in Advanced Returns Management.
The Material Inspection function in Advanced Returns Management is related to the Quality
Inspection Engine (QIE) function. This QIE function is also used in the Returns Inspection part
of the Complaints and Returns solution within Service Parts Management (SPM).
To review the settings for number ranges, choose Customizing activity Logistics Execution →
Service Parts Management (SPM) → Complaints and Returns (SPM) → Returns Inspection →
Define Number Range for Inspection Outcome . Both returns solutions share a common
number range object for inspection outcomes:
• Number range interval 01 is used for Service Parts Management.
• Number range interval 02 is used for Advanced Returns Management.

35
Set Up Inspection Codes
step, you specify that the catalog and code group of the first step are used for inspection codes
...
1. To define catalog and code group, choose Customizing activity Define and Configure
Catalog for Inspection Codes.
2. To specify the relevant catalog and code group, choose Customizing activity Specify
Catalog and Code Group for Material Inspection.
Management is based on the same customizing settings used for inspection lots in Quality
Management (QM). To review the settings in QM, choose the Customizing activity Quality
Management → Quality Inspection → Inspection Lot Completion → Maintain Catalogs for
Usage Decisions .
The other Customizing activities you find under the Basic Settings node are not applicable for
the Material Inspection by Supplier transaction. They are relevant for the material inspection in
the context of store returns.
4. Configuration for Returns Stock Transfer
4.1 Returns Stock Transport Orders
This chapter describes Customizing settings required for the creation of returns stock transport
orders in Advanced Returns Management for returns stock transfers between plants within a
company code and for cross-company-code returns stock transfers.
Prerequisites
This description focuses on specific aspects for the configuration of returns stock transport
orders. We assume that other customizing settings for purchasing documents, such as pricing
or output control, have already been made.
Procedure
To configure the creation of returns stock transport orders for Advanced Returns Management,
you make the usual settings for purchasing documents, specifically for store returns, and you
perform configuration steps specific for Advanced Returns Management.
4.1.1 Configure the Returns Stock Transport Order as a Purchasing
Document
To make the required Customizing settings for purchasing documents, in Customizing choose
Materials Management → Purchasing → Purchase Order .
Settings for the returns stock transport order as purchasing document
...

36
To define purchasing document types for returns purchase orders, choose Customizing activity
Define Document Types.
In the delivered standard (Switch BC Set ADVRET_VVC_T161_VF_C), SAP provides two
document types, as of view VV_T161_VF Document types within the Switch BC Set:
• For enhanced store returns within a company code: purchasing document type UB2
• For cross-company-code enhanced store returns: purchasing document type NB2C
Document type UB2 has the allowed item category 7 Stock transfer; document type NB2C has
the allowed item category 0 Standard (as of view V_T161P Allowed Item Categories within the
Switch BC Set).
Purchase requisitions are not supported for returns stock transfer orders in Advanced Returns
Management; therefore, there is no link to purchase requisitions for these purchasing document
types.
Settings for the screen layout
The user interface for the creation of returns purchase orders in Advanced Returns
Management has been enhanced with the new Returns tab page in the item detail section and
with a similar Returns tab page in the header section that allows you to enter default values.
With the screen layout settings, you specify the input attributes of the fields in these tab pages.
...
1. To make the settings for the screen layout, choose Customizing activity Define Screen
Layout at Document Level.
2. To maintain settings for the fields on the Returns tab page, use field selection group
Returns Data as part of a field selection key.
3. To ensure that the screen layout attributes specific for Advanced Returns Management are
visible only in the screen layout maintenance dialogue after you activate the business
function OPS_ADVRETURNS_1 Advanced Returns Management, the enhancements for this
Customizing activity are delivered with the Switch BC Sets ADVRET_T162Y_T and
ADVRET_T162X_T.
In the delivered standard (Switch BC Set ADVRET_VV_162_F_V), SAP provides the two new
field selection keys: UBF2 and NBF2. Field selection key UBF2 is assigned, as of Switch BC Set
ADVRET_VVC_T161_VF_C for the definition of purchasing document types, to purchasing
document type UB2, and the field selection key NBF2 is assigned to purchasing document type
NB2C.
There are two requirements concerning the Rejection Reason field. First, this field is usually not
visible when you create or change a returns purchase order; it is visible only in the release
transaction ME29N. Second, input is mandatory when you reject a returns purchase order but
not when you release it.
To fulfill the first requirement:
• In the field selection keys AKTH Create, AKTV Change, and PT7F Stock transport item PO
(intracompany code case) or PT0F Standard item purchase order (cross-company-code
case), specify this field as optional.
• In the field selection key that you have assigned to the purchasing document type (ME21N
Purchase order), specify this field as suppressed.
• In the field selection key ME29N Release purchase order, specify the field as mandatory.
To fulfill the second requirement, special business logic has been implemented so that the input
is not mandatory when you release a returns purchase order in transaction ME29N although the
field input has been specified as mandatory.
Settings for pricing

37
You can use the return reason for supplier returns (see step 4 in chapter 4.1.3 Specific Settings
for Advanced Returns Management) in the pricing for the returns purchase order.
...
1. To make the required Customizing settings for pricing, in Customizing choose Materials
Management → Purchasing → Conditions .
2. To define condition tables with the return reason as a key field, choose Customizing activity
Maintain Condition Tables.
The field catalog contains the field MSR_RET_REASON Return Reason specific for Advanced
Returns Management.
Settings for release procedures
...
1. To configure release procedures, choose Customizing activities below node Release
Procedure for Purchase Orders.
2. To define release strategies, choose Define Release Procedure for Purchase Orders →
Release Strategies.
A typical criterion in a release procedure for returns stock transport orders is the total net order
value. When the value of materials to be returned exceeds a certain threshold, a returns stock
transport order is blocked and can be released only by an authorized person. Special business
logic has been implemented in the definition of release strategies to fulfill this requirement: the
total net order value of a returns stock transport order is negative but the definition of release
strategies – using function Classification – does not allow entering a negative threshold. To
overcome this restriction, you can enter a threshold for the absolute total net order value.
Example: When you specify for the total net order value >100 EUR the returns stock transport
order is blocked – provided the other criteria are fulfilled – when the total net order value is
below -100 EUR.
See step 5 in chapter 4.1.3 Specific Settings for Advanced Returns Management for the
definition of rejection reasons.
4.1.2 Specific Settings for Enhanced Store Returns
In Advanced Returns Management, enhanced store returns processing with outbound and
inbound deliveries is mandatory. The configuration of the delivery to the supplier is already
relevant for the Returns Stock Transport Order process step as settings are checked. Missing or
incorrect settings can prevent the creation of the returns stock transport order. For more
information about the delivery configuration, see chapter Configuring Outbound Delivery and
Goods Issue.
To define whether missing or incorrect shipping processing data is treated as a warning or an
error, in Customizing choose Materials Management → Purchasing → Environment Data →
Define Attributes of System Messages → System Messages .
The following messages are relevant:
• ME 536: No suitable sales area found for supplying and receiving plants
• ME 392: No delivery type for returns processing assigned to purchasing document category
F (purchase order), the relevant purchasing document type, and the relevant plant
• 06 280 Missing shipping data
• 06 849: Customer does not exist for the receiving plant or customer is not maintained for
the relevant sales area
• 06 850: Material flagged for deletion

38
• 06 854: No sales and distribution data maintained for material
• 06 855: Not possible to determine shipping point
To make the required Customizing settings for returns stock transport orders in Advanced
Returns Management, in Customizing choose Materials Management → Purchasing →
Purchase Order → Returns Order → Advanced Returns Management .
1. To activate returns purchase order types for Advanced Returns Management, choose
Customizing activity Activate Advanced Returns Management for Purchase Order Types.
In the delivered standard, Advanced Returns Management is activated for purchase order
types UB2 and NB2C.
Activate and Rename Follow-Up Activities.
3. To define Advanced Returns Management process IDs for process monitoring, choose
Customizing activity Define Number Ranges for Advanced Returns Process IDs.
Note that the interval number must be 01.
4. To define return reasons for supplier returns, choose Customizing activity Define Return
Reasons for Supplier Returns.
5. To define rejection reasons for supplier returns (optional), choose Customizing activity
Define Rejection Reasons for Supplier Returns.
6. To make the settings for archiving the advanced returns data related to returns stock
transport orders, choose Customizing activity Archiving → Configure Archiving of Supplier
Returns.
To implement enhancements for the different phases of the archiving program, choose
Archiving → Business Add-Ins (BAdIs) → BAdI: Enhancement for the Archiving
Preprocessing Program, BAdI: Enhancement for the Archiving Write Program, BAdI:
Enhancement for the Archiving Delete Program, and BAdI: Enhancement for the Archiving
Reload Program.
7. To make system enhancements with Business Add-Ins, in Customizing activity Business
Add-Ins (BAdIs) → BAdI: Configuration of Settings and Checks for Returns Data, enter an
implementation for BAdI method Check Returns Data in Returns POs and Returns STOs of
BAdI MSR_TRC that allows you to perform additional checks on this data.
In Customizing activity Business Add-Ins (BAdIs) → BAdI: Maintenance of Data for
Automatically Created Follow-Up Documents, you can enter an implementation for BAdI
methods Create Returns Stock Transport Order, Create Stock Transport Order for “Send
Back to Other Plant", Determine Purchasing Group, and Determine Purchasing
Organization for Plant to change returns stock transport order data when they are created
automatically in the background.
4.2 Outbound Delivery and Goods Issue
This chapter describes Customizing settings required for the delivery of materials for returns
stock transport orders in Advanced Returns Management. In Advanced Returns Management,
enhanced store returns processing with outbound and inbound delivery is mandatory. This
means that you must configure the outbound delivery from the issuing plant to the receiving
plant.

39
Prerequisites
You have maintained the delivery types that you want to use for outbound deliveries in the
returns stock transfer scenario, and you have made all the settings relevant for shipping.
4.2.1 Document Types, Item Categories, and Schedule Line Categories
1. To define and configure item categories for outbound deliveries, choose Customizing
activity Sales and Distribution Sales Sales Documents Sales Document Items
Define Item Categories .
In the delivered standard (Switch BC Set ADVRET_TVAP_V), SAP provides item category
NLLR Enh. Stock Transfer.
2. To define and assign schedule line categories, choose Customizing activity Sales and
Distribution Sales Sales Documents Schedule Lines Define Schedule Line
Categories .
In the delivered standard, SAP provides a suitable schedule line category RN Returns w/o
planning.
3. To assign the schedule line categories to the item categories you have defined for outbound
deliveries, choose Customizing activity Sales and Distribution Sales Sales
Documents Schedule Lines Assign Schedule Line Categories .
In the delivered standard (Switch BC Set ADVRET_V_TVEPZ_V), SAP provides an entry for
this Customizing activity for which schedule line category RN is assigned to item category
NLLR.
4. To enhance item categories for outbound deliveries with data for logistics execution
purposes, choose Customizing activity Logistics Execution Shipping Deliveries
Define Item Categories for Deliveries .
5. In the item category, specify document category J Delivery.
In the delivered standard (Switch BC Set ADVRET_TVLP_S), SAP provides the
enhancements for item category NLLR Enh. Stock Transfer.
6. To define default order type for outbound delivery, choose Customizing activity Sales and
Distribution Sales Sales Documents Sales Document Header Define Sales
Document Types .
Define a sales document type of document category C Order that is used as the default
order type in the delivery types for inbound deliveries in enhanced store returns.
In the delivered standard (Switch BC Sets ADVRET_TVAK_T and ADVRET_TVAKT_T), SAP
provides the sales document type DLRE Ord.Type Returns Del. This sales document type is
used as the default order type both for outbound and inbound deliveries in enhanced store
returns.
7. To define delivery types for outbound deliveries used in enhanced store returns, choose
Customizing activity Logistics Execution Shipping Deliveries Define Delivery
Types .
In the delivered standard (Switch BC Sets ADVRET_TVLK_T and ADVRET_TVLKT_T), SAP
provides delivery type LLR Adv.Returns Delivery.
8. Enter the sales document type defined before (step 6) as the default order type in the
Default. ord.ty. field.
For delivery type LLR, use the default order type DLRE.

40
9. To assign item categories to the relevant delivery types, choose Customizing activity
Logistics Execution Shipping Deliveries Define Item Category Determination in
Deliveries .
Maintain the assignment for the item category groups you use and for usage V Purchase
Order.
In the delivered standard (Switch BC Set ADVRET_V_T184L_V), item category NLLR is
assigned to delivery type LLR, for item category group NORM Standard item and usage V
and for an initial item category group and usage V.
4.2.2 Creation of Outbound Deliveries for Returns Stock Transport Orders
Configure the usage of delivery types for store returns
1. Choose Customizing activity Materials Management Purchasing Purchase Order
Returns Order Store Return / Return Plant to Plant .
2. Use column Delivery Type for Outbound Delivery for Enhanced Store Return to assign the
appropriate returns delivery type to purchasing document category F Purchase order, the
purchasing document types you have defined for returns stock transport orders, and the
plants from which you want to return materials to another plant, for the assignment.
In the delivered standard, SAP provides an example for an assignment. Delivery type LLR is
assigned to a combination of
o purchasing document category F Purchase order
o purchasing document types UB2 for intracompany store returns and NB2C for cross-
company-code store returns
o supplying plant 0001
Prerequisites for shipping processing for store returns are also mentioned in this Customizing
activity documentation:
• You must enter customer data for the material receiving plant entered in the document
header.
• The system must be able to find a shipping point for the supplying plant (plant in the
document item that sends the goods back to the receiving plant).
In SAP S/4HANA you assign a customer to a plant in Customizing activity Materials
Management Purchasing Purchase Order Set up Stock Transport Order Define
Shipping Data for Plants using the Customer no. - plant field. In SAP Retail, in the Site
Maintenance application, you create the customer for a site (with the same ID and the same
address).
The customer must be maintained for those sales areas that are assigned to the relevant
supplying plants in the context of intercompany billing (see figure 1). In SAP S/4HANA you
assign the sales area for intercompany billing to a plant in Customizing activity Materials
Management Purchasing Purchase Order Set up Stock Transport Order Define
Shipping Data for Plants . In SAP Retail you enter the sales area in the Organization/calendar
tab page in the site master record.
Note that when you change the sales area assignment for plants or when you create new plants
with different sales area data, you may have to update customer master records for store
returns shipping processing.

41
Figure: Customer Master Record for Receiving Plant in the Context of Returns Stock
Transfers
Maintain shipping points
To maintain shipping points, choose Customizing activity Logistics Execution Shipping
Basic Shipping Functions Shipping Point and Goods Receiving Point Determination Assign
Shipping Points .
Note the following for the determination of the shipping point:
• For the default order type that you have to enter for the delivery type (see steps 6 and 7 in
Configuring Document Types, Item Categories, and Schedule Line Categories), you can
maintain shipping conditions in the corresponding field. If maintained, this shipping
conditions value - instead that of the customer master record - is used for the shipping point
determination.
• In the delivered standard, delivery type LLR has the default order type DLRE Ord.Type
Returns Del.. It does not contain a value for shipping conditions so that in this case the
shipping conditions of the customer become relevant.
• The loading group is taken from the plant data of the supplying plant and the material to be
returned.
Configure copy control for delivery creation
Configure the copy control from the default order type as source to the delivery types for
outbound delivery as target. To do so, choose Customizing activity Logistics Execution
Shipping Copying Control Specify Copy Control for Deliveries .
Issuing plant IP1
Assignment to
sales area
V001/V1/S1
Customer RPCU1
Sales area data for
sales areas
V001/V1/S1
V002/V2/S2
Shipping processing
for store returns
Associated
customer
Issuing plant IP2
Assignment to
sales area
V002/V2/S2
Receiving plant
RP1

42
In the delivered standard (Switch BC Set ADVRET_TVCPL_S), SAP provides the copy control for
target delivery type LLR and sales document type DLRE - together with item category NLLR.
Configure automatic creation of outbound deliveries
You can configure that the system creates the outbound delivery automatically when you save
the returns stock transport order. The configuration comprises two steps for the activation of the
automatic outbound delivery creation and a step to define parameters for the automatic
creation.
• Choose Customizing activity Materials Management Purchasing Purchase Order
Set up Stock Transport Order Activate Automatic Delivery Creation and CRM Billing to
activate the automatic creation for the purchasing document types you use for returns stock
transport orders and plants.
The plant entered in the header of the returns stock transport order, that is the material
receiving plant of the store return, is relevant for the activation.
• Choose Customizing activity Materials Management Purchasing Purchase Order
Set up Stock Transport Order Activate Automatic Delivery Creation for PO Type and
Shipping Point to activate the automatic creation for the purchasing document types you
use for returns stock transport orders and shipping points.
The shipping point of the plant entered in the returns stock transport order item is relevant
for the activation.
• Choose Customizing activity Logistics Execution Shipping Worklists Maintain
Parameters for Creating Deliveries to maintain parameters for the automatic creation.
The relevant profile for creating deliveries is STOA.
4.3 Inbound Delivery and Goods Receipt
This chapter describes Customizing settings required for the inbound delivery and goods receipt
processing of materials for intracompany or cross-company-code enhanced store returns in
Advanced Returns Management. In Advanced Returns Management, the enhanced store
returns processing with outbound and inbound delivery is mandatory. This means that you must
configure the automatic inbound delivery creation and the corresponding goods receipt for the
receiving plant.
Prerequisites
You have maintained the usual settings for inbound delivery processing that you want to use in
connection with the inbound delivery types in the enhanced store returns scenario.
4.3.1 Required Document Types and Item Categories for Inbound
Deliveries
1. To define and configure sales document item categories for inbound deliveries, choose
Customizing activity Sales and Distribution → Sales → Sales Documents → Sales
Document Items → Define Item Categories .
In the delivered standard (Switch BC Sets ADVRET_V_TVAP_V and ADVRET_TVAPT_S),
SAP provides item categories ELLR Advanced Returns IC for intracompany enhanced store
returns and ELCR Advanced Returns CC for cross-company-code enhanced store returns.

43
2. To enhance item categories for inbound deliveries with data for logistics execution
purposes, choose Customizing activity Logistics Execution → Shipping → Deliveries →
Define Item Categories for Deliveries .
3. For the item categories, specify document category 7 Delivery/shipping notification.
4. For the inbound delivery item category used in intracompany enhanced store returns, set
movement type 671 Tr to stck In trans. For the inbound delivery item category used in
cross-company-code enhanced store returns, set movement type 673 TF to cross
company.
In the delivered standard (Switch BC Set ADVRET_TVLP_S) SAP provides the
enhancements for item categories ELLR Advanced Returns IC defined for intracompany
enhanced store returns and ELCR Advanced Returns CC defined for cross-company-code
enhanced store returns.
To be able to post the goods receipt for cross-company-code enhanced store returns within
the inbound delivery processing, you must enable movement type 673 for transaction
VL32N Change Inbound Delivery. Choose Customizing activity Materials Management →
Inventory Management and Physical Inventory → Movement Types → Copy, Change
Movement Types . Select movement type 673, choose maintenance view Allowed
Transactions, and enter transaction VL32N.
In the delivered standard (Switch BC Set ADVRET_MB_156_C) SAP provides this required
entry.
5. To define a default order type for inbound deliveries, choose Customizing activity Sales
and Distribution → Sales → Sales Documents → Sales Document Header → Define Sales
Document Types .
Define a sales document type of document category C Order that is used as the default
order type in the delivery types for outbound deliveries in enhanced store returns.
In the delivered standard (Switch BC Sets ADVRET_TVAK_T and ADVRET_TVAKT_T) SAP
provides the sales document type DLRE Ord.Type Returns Del. This sales document type is
used as the default order type both for outbound and inbound deliveries in enhanced store
returns.
6. To define delivery types for inbound deliveries used in enhanced store returns, choose
Customizing activity Logistics Execution → Shipping → Deliveries → Define Delivery
Types .
In the delivered standard (Switch BC Sets ADVRET_TVLK_T and ADVRET_TVLKT_T) SAP
provides delivery type ELR IC Returns Delivery for intracompany enhanced store returns
and delivery type ECR CC Returns Delivery for cross-company-code enhanced store returns
7. Enter the sales document type defined previously (step 5) as the default order type in the
Default. ord.ty. field.
In the delivered standard (Switch BC Sets ADVRET_TVLK_T and ADVRET_TVLKT_T),
delivery types ELR and ECR have default order type DLRE.
8. To assign item categories to the relevant delivery types, choose Customizing activity
Logistics Execution → Shipping → Deliveries → Define Item Category Determination in
Deliveries .
Maintain the assignment for the item category groups you use and for usage V Purchase
Order.
In the delivered standard (Switch BC Set ADVRET_V_T184L_V) item category ELLR is
assigned to delivery type ELR, for item category group NORM and usage V and for an initial
item category group and usage V. Item category ELCR is assigned to delivery type ECR, for
item category group NORM and usage V and for an initial item category group and usage V.

44
9. Choose Customizing activity Logistics Execution → Shipping → Basic Shipping
Functions → Partners → Set Up Partner Determination for Deliveries to enter an
appropriate partner determination procedure for relevant delivery types.
In Dialog Structure, choose Partner Determination Procedure and Partner Functions in
Procedure to enter an appropriate partner determination procedure. In Dialog Structure,
choose Partner Determination Procedure Assignment to assign the partner determination
procedure to relevant delivery types.
When you use partner function VN Vendor in your partner determination procedure, you
must create a supplier master data record for the material issuing plant of the store return.
To link a supplier master data record with a plant, choose the purchasing data view of the
supplier master, choose Extras → Add.purchasing data from the menu, and enter the plant
in the Plant field on the following dialog screen.
4.3.2 Automatic Creation of Inbound Deliveries
Configure copy control for delivery creation
Configure the copy control from the default order type as source to the delivery types for
inbound delivery as target. To do so, choose Customizing activity Logistics Execution →
Shipping → Copying Control → Specify Copy Control for Deliveries .
In the delivered standard (Switch BC Set ADVRET_TVCPL_S), SAP provides – for the use in
intra-company-code enhanced store returns - the copy control for target delivery type ELR and
sales document type DLRE as source - together with item category ELLR. For the use in cross-
company-code enhanced store returns, SAP provides the copy control for target delivery type
ECR and sales document type DLRE as source - together with item category ELCR.
Maintain output control for outbound deliveries for automatic inbound delivery creation
(optional)
As an option in Advanced Returns Management, you can configure output determination for
outbound deliveries for the automatic creation of inbound deliveries in enhanced store returns.
Without such configuration, the system creates the inbound delivery using a posting framework
especially developed for Advanced Returns Management.
...
1. To make the required settings for output control for outbound deliveries, in Customizing
choose Logistics Execution → Basic Shipping Functions → Output Control → Output
Determination → Maintain Output Determination for Outbound Deliveries .
2. Choose Customizing activity Maintain Output Type to check the configuration of the output
type SPED Inbound Delv Creation as the standard setting.
3. Choose Customizing activity Assign Output Determination Procedures to assign an
appropriate output determination procedure and the output type SPED to the delivery type
for the outbound delivery defined before.
Configure settings for confirmations
There are three configuration steps: settings for the confirmation category and settings for the
default confirmation control for inbound deliveries.
...
1. To assign the inbound delivery types used for intracompany and cross-company-code store
returns to the confirmation category used for the internal confirmation category 2 Shipping
Notification, choose Customizing activity Materials Management → Purchasing →
Confirmations → Define Internal Confirmation Categories .

45
In the DlTy.Intra column, enter the delivery type for intracompany enhanced store returns. In
the DlTy.Cross column, enter the delivery type for cross-company-code enhanced store
returns.
In the delivered standard (Switch BC Set ADVRET_V_T163D_V), the delivery types ELR and
ECR are assigned to confirmation category LA Shipping Notificat. used for the internal
confirmation category 2 Shipping Notification.
2. To define a new confirmation control key to which this confirmation category is assigned,
choose Customizing activity Materials Management → Purchasing → Confirmations →
Set Up Confirmation Control .
The confirmation sequence must contain only one single entry with the internal confirmation
category 2 Shipping Notification. Additional entries of the same or other internal
confirmation categories are not allowed.
3. To define which confirmation control key is used for the material receiving plant, choose
Customizing activity Logistics Execution → Shipping → Deliveries → Define Order
Confirmations for Inbound Deliveries .
Enter the confirmation control key for purchasing document category F Purchase Order, for
the purchasing order types that you use in enhanced store returns, and combinations of
(receiving) plant and corresponding storage location.
Maintain supplier data for the material issuing plant (optional)
You can maintain supplier data for the issuing plant entered in the returns stock transport order
item. This supplier is used for the inbound delivery.
• In SAP S/4HANA you can create the required supplier data for the plant by assigning the
plant to a suitable supplier. To change the purchasing data for the supplier, choose
Add.purchasing data from the menu and enter the plant in corresponding field in the Plant
Assignment frame.
• In SAP Retail, you create the supplier for a site (with the same ID and the same address)
with the Supplier function in the site master data application. You must choose a suitable
site profile for the site that allows creating the required supplier data.
4.3.3 Settings for Goods Receipt Posting
Configure goods receiving points for inbound deliveries (optional)
The configuration of the storage location contains a special feature for the goods receipt posting
of the automatically created inbound delivery in enhanced store returns. On the one hand, you
need a storage location for the goods receiving point determination in the receiving plant. On
the other hand, the goods receiving point is required – as a shipping point – in the picking
location determination to determine the storage location.
To resolve this configuration dilemma, you can configure the goods receiving point for the
receiving plant with an initial storage location. Note, however, that the goods receiving point
determination is optional. The software can create the inbound delivery without a configured
goods receiving point. However, in this case, the picking location determination will not deliver a
storage location. As a result, you have to enter the storage location manually in the inbound
delivery before you can post the goods receipt.
...
1. To configure the goods receiving point, choose Logistics Execution → Shipping → Basic
Shipping Functions → Assign Goods Receiving Points for Inbound Deliveries .
2. Maintains entries for your receiving plants and the corresponding goods receiving points
without specifying a storage location.

46
The goods receiving points maintained in this way are used for picking location
determination described in the next step.
3. You can control the system behavior for a missing goods receiving point by setting the
message type for message VL 377 No goods receiving point for the combination of plant
&1 and stor.loc. &2 for application L Shipping processing and initial call type and work
phase. To do so, choose Logistics Execution → Shipping → System Modifications →
Specify Characteristics for System Messages → Define the message types of system
messages .
If you specify message type E to handle the missing goods receiving point as an error, the
software cannot create the inbound delivery when you post the goods issue for the
outbound delivery. If you specify message type I, W, or an initial message type, the software
creates the inbound delivery with initial goods receiving point (on header level) and storage
location (on item level).
Configure storage location for the goods receipt
Advanced Returns Management has a special feature in the determination of the storage
location for the goods receipt posting in the receiving plant of an enhanced store return. In
addition to the usual picking location determination, you can define a specific storage location
for the returns stock in the receiving plant of a store return to separate returns stock from other
material stocks, such as the usual free-available stock.
...
1. To maintain the usual customizing settings for picking location determination, choose
Customizing activity Logistics Execution → Shipping → Determine Picking Location →
If you do not want to use the additional option, the storage locations configured in this
Customizing activity are taken for the goods receipt posting for inbound deliveries.
However, if you want to use the option for specific storage locations for the returns stock
you have to perform the following two additional configuration steps.
2. To enter the specific storage location for the usual combinations of shipping point, plant,
and storage location as of the picking location determination, choose Customizing activity
Logistics – General → Advanced Returns Management → General Settings → Goods
Movement Settings for Follow-Up Activities → Specify Storage Locations for Follow-Up
Activities .
Enter the storage location in the Recv. Plant column.
3. The second step deals with the activation of this special storage location determination. A
new rule MSRE Advanced Returns Inbound (Considers Follow-Up Activity) for picking
location determination has been created. It controls whether the special storage locations
maintained for follow-up activities in Advanced Returns Management are applied for returns
processes instead of the usual storage locations maintained in the Picking Location
Determination.
MSRE to the delivery types you have defined for the inbound deliveries in enhanced store
returns.
To enter the assignment, choose Customizing activity Logistics Execution → Shipping →
Picking → Determine Picking Location → Define Rules for Picking Location Determination
.
In the delivered standard (Switch BC Set ADVRET_TVLK_T) the picking location
determination rule MSRE is assigned to delivery types ELR and ECR.
Configure the stock type for returns stock
...

47
1. To enter the stock type of the returns stock in the receiving plant that is used for the goods
receipt posting, choose Customizing activity Materials Management → Purchasing →
Purchase Order → Returns Order → Advanced Returns Management → Store Return →
Specify Stock Types for Stock Transfers .
2. In the Stock Type Rcv. Plant column, enter the stock type.
In the delivered standard (Switch BC Set ADVRET_MSR_V_T159L_V) SAP provides an
example entry for which stock type S Blocked stock is assigned to plant 0001.
4.4 Material Inspection in Warehouse for Enhanced Store Returns
This chapter describes Customizing settings required to perform the material inspection in the
Material Inspection in Warehouse transaction for inbound deliveries related to enhanced store
returns in Advanced Returns Management.
Prerequisites
Procedure
To make the required Customizing settings for the Material Inspection in Warehouse
transaction, in Customizing choose Materials Management → Purchasing → Purchase Order
→ Returns Order → Advanced Returns Management → Material Inspection → Basic Settings
.
Follow the procedure described in chapter 2.3 Material Inspection in Warehouse for Customer
Returns.
4.5 Creation of Store Returns Follow-Up Documents
This document describes Customizing settings required to automatically create follow-up
documents when you confirm logistical follow-up activities in the Material Inspection in
Warehouse transaction for inbound deliveries related to enhanced store returns in Advanced
Returns Management.
Prerequisites
This description focuses on specific settings for the automatic creation of follow-up documents
in Advanced Returns Management. We assume that other Customizing settings for these
documents, such as pricing or output control, have already been made.
Procedure
To make the required Customizing settings for the creation of follow-up documents, in
Customizing choose Materials Management Purchasing Purchase Order Returns
Order Advanced Returns Management .
Make settings for follow-up activity: Transfer to free available stock

48
Specify the stock type and storage location to be used for the goods movement posting when
you choose Transfer to Free Available Stock as follow-up activity in the Material Inspection in
Warehouse transaction.
1. To specify the stock type, choose Customizing activity Store Returns Specify Stock
Types for Stock Transfers .
2. Enter the stock type in the StckT Free Available column for the relevant plants.
3. To specify the storage location, choose Customizing activity Specify Storage Locations for
Follow-Up Activities.
4. In the TransfFree column, enter the specific storage location for the usual combinations of
shipping point, plant, storage condition, and storage location as of the picking location
determination.
Make settings for follow-up activities to forward the returned material
Specify the document type to be used for the returns purchase order when you choose 0005
Ship to Supplier as the follow-up activity, the document types to be used for the intracompany or
cross-company-code returns stock transport order when you choose 0004 Ship to Other Plant
or 0006 Ship to Supplier via Other Plant as the follow-up activity, and the document types to be
used for the intracompany or cross-company-code stock transport order when you choose Send
Back to Last Plant as the follow-up activity.
1. To specify required document types, choose Customizing activity Store Returns
Specify Document Type of Follow-up Docs for Store Returns .
2. Depending on the purchase order types you use, do the following:
a. In the RTV column, enter the document type for the returns purchase order.
b. In the Store Ret. column, enter the document type for the intracompany returns stock
transport order.
c. In the ccStoreRet column, enter the document type for the cross-company-code returns
stock transport order.
d. In the STO column, enter the document type for the intracompany stock transport order
to send back materials to the issuing plant.
e. In the cc STO column, enter the document type for the corresponding cross-company-
code stock transport order.
Configure authorization for follow-up activities (optional)
To configure the authorization settings that allow users to propose and confirm logistical follow-
up activities for returns delivery items, choose Customizing activity Material Inspection
Basic Settings Configure Authorization for Follow-Up Activities .
If you do not define user groups or do not assign a user to a user group, users are allowed to
propose and to confirm all possible follow-up activities, as long as their authorization profile is
not restricted.
Define blocks for follow-up activities (optional)
To define blocks for follow-up activities that prevent the execution of the logistical follow-up
activities that have been specified for an inbound delivery item or a corresponding inspection
split item, choose Customizing activity Material Inspection Basic Settings Define Blocks
for Follow-Up Activities .
4.6 Intercompany Billing for Cross-Company-Code Store Returns

49
This chapter describes Customizing settings required for intercompany billing related to cross-
company-code enhanced store returns in Advanced Returns Management. In intercompany
billing the material-receiving company code refunds the company code of the material-issuing
plant by creating a credit memo in the Billing application. The company code of the material-
issuing plant creates a corresponding credit memo in the Invoice Verification application.
Prerequisites
This description focuses on specific aspects for intercompany billing in Advanced Returns
Management. We assume that other Customizing settings for billing, such as pricing or output
control, have already been made.
Procedure
To configure intercompany billing related to cross-company-code store returns in Advanced
Returns Management:
• You make the usual settings for credit memos as billing documents.
• You perform configuration steps specific for the Internal Refund Determination process step
• You configure the creation of credit memos in the issuing company code.
4.6.1 Configure the Credit Memo as a Billing Document
To make the required Customizing settings for credit memos, in Customizing choose Sales
and Distribution Billing Billing Documents .
Configure settings for credit memo as a billing document
1. To define billing types for credit memo documents in intercompany billing related to cross-
company-code store returns, choose Customizing activity Define Billing Types.
2. As the SD document category, specify 6 Intercompany credit memo in the corresponding
field; in the Transaction group field specify 7 Billing documents.
In the delivered standard (Switch BC Sets ADVRET_TVFK_T and ADVRET_TVFKT_T), SAP
provides the billing type IG2.
For information about configuring default billing types, see Default billing type for credit memo.
Configure copy control for credit memo creation
To configure the creation of the credit memo as target document and the inbound delivery
document as source, choose Customizing activity Maintain Copying Control For Billing
Documents Copying control: Delivery document to billing document .
In the delivered standard (BC Set ADVRET_TVCPF_S), SAP provides the copy control for target
billing type IG2 and delivery type ECR together with item category ELCR.
4.6.2 Settings Specific for Advanced Returns Management
To make the required Customizing settings for intercompany billing in Advanced Returns
Management, in Customizing choose Materials Management Purchasing Purchase
Order Returns Order Advanced Returns Management Store Return .

50
Define default billing type for credit memo
To enter default billing types for the delivery types that you use for inbound deliveries in
enhanced store returns, choose Customizing activity Specify Default Billing Types for
Intercompany Store Returns.
In the delivered standard (Switch BC Set ADVRET_MSR_V_TVLK_V) SAP provides an entry in
which the billing type IG2 is assigned to delivery type ECR CC Returns Delivery.
Configure internal refund determination
For intercompany billing, you can create credit memos in the receiving company code for cross-
company-code store returns individually or collectively, or you can schedule a background job to
create pending credit memos. In Advanced Returns Management, you can also use the specific
Internal Refund Determination transaction to create credit memos in the receiving company
code. This transaction has been designed for cases in which the automatic creation of credit
memos, that is, without manual control, is not appropriate.
The configuration for Internal Refund Determination comprises three steps.
1. To define special cases of cross-company-code store returns - that are combinations of
inspection code and return reason - for which the use of the Internal Refund Determination
transaction is mandatory to create the credit memo, choose Customizing activity Configure
Refund Procedure for Intercompany Store Returns.
2. To define refund codes that can be used in the Internal Refund Determination transaction to
specify the refund amount, choose Customizing activity Define Returns Refund Codes.
3. To specify a default value for the refund code against a combination of inspection code and
return reason, choose Customizing activity Configure Default Values for Returns Refund
Codes.
4.6.3 Maintain Master Data Settings
You must configure intercompany billing of cross-company-code store returns similar to the
usual cross-company-code stock transfers.
You must enter supplier data for the material-receiving plant entered in the document header of
the returns stock transport order, and you must enter customer data for the material-issuing
plant entered in the returns stock transport order item, including sales area data for the sales
area maintained for the material-receiving plant entered in the document header.
4.6.4 Create the Credit Memo in the Material-Issuing Company Code
Optionally, to automatically create the credit memo in the material-issuing company code, you
can set up an EDI scenario. In this scenario, EDI outbound processing for intercompany billing
links to EDI inbound processing for invoice receipt in FI. Posting to a supplier account is carried
out in the selling company code. For cross-company-code store returns, an IDoc is created
when you enter the credit memo in the material-receiving company code and sent to the
material-issuing company code. The credit memo is then created in the IDoc inbound
processing. Sending the IDoc can happen within the same system running SAP S/4HANA.
For the following, compare the documentation of Customizing activity Sales and Distribution
Billing Intercompany Billing Automatic Posting To Supplier Account (SAP-EDI) .
Maintain message type
To maintain a suitable message type for posting to a supplier account in intercompany billing,
do one of the following:

51
• Choose Maintain output types in the Customizing activity mentioned above.
• Choose Sales and Distribution Basic Functions Output Control Output
Determination Using the Condition Technique Maintain Output Determination for Billing
Documents Maintain Output Types .
• Specify transaction V/40 (Maintain Condition Type Appl V3) directly.
You have to assign a partner function representing the bill-to party such as, for instance, partner
function BP Bill-to party delivered in the standard.
Note
As usual in the condition technique, you have to maintain as a prerequisite a suitable access
sequence - in connection with corresponding condition tables - that you want to use for the
message type.
Note
In the delivered standard, SAP provides message type RD04 Invoice Receipt MM. The assigned
access sequence is 0004 SalesOrg/Customer, which contains one access to condition table
001 Sales Organization/Customer Number. Partner function BP Bill-to party is already assigned
to this message type. If you want to use it, adapt this message type to your needs - for instance
by entering suitable default values (such as dispatch time) or suitable parameters for printing.
Maintain supplier assignment
1. You must assign a supplier per company code and customer for intercompany billing. Do
one of the following:
a. Choose Assign vendor in the Customizing activity mentioned above.
b. Specify transaction WEL1 (EDI: Interface Invoice for EDILOGADR) directly.
2. Create entries in the following way:
a. Enter the concatenated strings of the company code of the receiving plant in the store
return and the customer number of the issuing plant in the Logical address field.
b. Enter the concatenated strings of the company code of the issuing plant and the
supplier number of the receiving plant in the Destination in SAP system field.
The logical address must contain 14 digits. If the customer number does not contain 10
digits, pad the customer number with zeros at the beginning.
Example
You create a stock transport order to return materials from plant P001 (company code
CC01, assigned customer 001) to plant P101 (company code CC02, assigned supplier
101) using order type NB2. In the document header you enter 101 as supplier. For this
case you create a supplier assignment in the following way: logical address is
CC020000000101 and target in SAP system is CC01001.
Note
The activity Activate account assignment in the Customizing activity mentioned above
( Sales and Distribution Billing Intercompany Billing Automatic Posting To
Supplier Account (SAP-EDI) is an optional step.
Maintain output determination procedure

52
To maintain a suitable output determination procedure, choose Customizing activity Sales
and Distribution Basic Functions Output Control Output Determination Using the
Condition Technique Maintain Output Determination for Billing Documents Maintain Output
Determination Procedure .
In the delivered standard SAP provides output determination procedure V40000 Intercompany
billing for intercompany billing.
Assign output determination procedure and message type to billing types
Do one of the following:
• To assign the defined output determination procedure and the defined message type to the
relevant billing types you use for intercompany billing of enhanced store returns, choose
Customizing activity Sales and Distribution Basic Functions Output Control
Output Determination Using the Condition Technique Maintain Output Determination for
Billing Documents Assign Output Determination Procedures .
• To enter the previously defined output determination procedure and message type in the
maintenance view of billing types, choose Sales and Distribution Billing Billing
Documents Define Billing Types .
In the delivered standard (Switch BC Set ADVRET_MSR_V_TVLK_V) output determination
procedure V40000 and message type RD04 are assigned to billing type IG2.
Maintain condition records for the defined message type
1. To create condition records for the message type you have defined above, do one of the
following:
a. Choose Logistics Sales and Distribution Master Data Output Billing
document Create .
b. From SAP Easy Access menu, specify transaction VV31Create Output: Billing.
2. To change condition records, specify VV32 Change output: Billing.
3. To display condition records, specify VV33 Display Output: Billing.
If you use message type RD04, you maintain a condition record for the sales organization that is
assigned to the company code of the receiving plant and the customer that is assigned to the
issuing plant.
Maintain message control
In the administration of EDI processing, a partner agreement must be defined for message
control of inbound and outbound processing, since sender and receiver data is needed. The
outbound process code is used to initiate a function module version 5 (function module version
3.0 for initiating inbound processing).
To maintain partner profile settings for the outbound processing of the IDoc:
1. Do one of the following:
a. Choose Tools ALE ALE Administration Runtime settings Partner profiles .
b. From SAP Easy Access menu, specify transaction WE20 Partner Profiles.
2. Select Create.
3. For partner number enter the customer number of the customer assigned to the issuing
plant in the store return and KU Customer as partner type.
4. Specify parameters on the Post processing: permitted agent, Classification, and Telephony
tab page according to your needs.
5. In the Outbound parmtrs. table create an entry as follows:

53
a. In field Partner Role enter the partner function maintained for the defined message type
(that is BP in case of message type RD04); in Message Type, enter INVOIC
(Invoice/Billing Document); and in Message Code enter MM.
b. Let the message function initialize.
c. In Outbound Options tab page enter the required receiver port, an IDoc package size
(usually 1), a suitable output mode, and INVOIC01 (Invoice/Billing document) in the
Basic Type field.
d. We recommend you select the Cancel Processing After Syntax Error checkbox.
e. In the Message Control tab page, create an entry in the table with application V3 Billing,
the defined message type (such as RD04), and process code SD08 INVOIC: Internal
allocation.
f. Maintain the additional parameters according to your needs.
To maintain partner profile settings for inbound processing of the IDoc:
1. Do one of the following:
a. Choose Tools ALE ALE Administration Runtime settings Partner profiles .
b. From SAP Easy Access menu, specify transaction WE20 Partner Profiles.
2. Select Create.
3. As partner number, enter the supplier number of the supplier assigned to the receiving plant
in the store return and LI Vendor as partner type.
4. Specify parameters on the Post processing: permitted agent, Classification, and Telephony
tab page according to your needs.
5. In the Inbound parmtrs. table, create an entry as follows:
a. Let the partner function initialize.
b. In the Message Type field, enter INVOIC (Invoice/Billing Document); in the Message
Code field enter MM.
c. Let the message function initialize.
d. In Inbound options tab page enter INVL INVOIC MM Logistics invoice verification (MM)
in the Process code field.
e. We recommend that you select the Cancel Processing After Syntax Error checkbox.
f. In the Processing by Function Module frame, specify the trigger for IDoc processing by
function module.
Maintain settings in invoice verification for receiving credit memos per EDI
1. To make the required Customizing settings for receiving credit memos per EDI in Invoice
Verification, in Customizing choose Materials Management Logistics Invoice
Verification EDI .
2. To assign the company code - as defined in SAP S/4HANA - to the company code name
that your partner uses in invoices for your company, choose Customizing activity Assign
Company Code. In this case, the company code name stands for the customer name.
3. Make the following entries
a. LI Vendor as partner type
b. Supplier assigned to the receiving plant as partner number
c. Customer number assigned to the issuing plant as company code name
d. Company code of the issuing plant

54
4. To assign the tax rates transmitted by your EDI partner to the corresponding tax rates
defined in SAP S/4HANA, choose Customizing activity Assign Tax Codes.
5. Make the following entries:
c. Tax type, tax rate, and country as transmitted by your EDI partner
d. Tax on purchase code
6. To maintain the control parameters for posting EDI invoice or credit memo receipts, choose
Customizing activity Enter Program Parameters.
7. Make the following entries:
8. In the Cred.memo doc.type field assign a suitable credit memo document type, such as
document type KG Vendor Credit Memo, which is delivered as part of the standard.
You define the document type in Customizing activity Financial Accounting (New)
Financial Accounting Global Settings (New) Document Document Types Define
Document Types for Entry View .

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