I know we need more SAP Training, but is this the answer?

 

Over the last week or so, I have gotten several sincere comments from a person, from a company that offers SAP Training.

Before I release a comment, I have to review it and without fail, I have released every post, every comment, positive or negative.

Until I received the last set of three comments.

The responses said things like:

you should focus the selected specialization where you already master on that functionalists.
You need to use the previous experience of project and simultaneously upgrade up to the sap market requirement.”

I am not sure that makes any sense to me. And seeing how it makes little to no sense to me, I would be doing a disservice to release these comments. This is really the problem we face in Training today whether it be SAP or Oracle or whatever software is being implemented.

Do the Implementation partners really understand the business they are working with or do they know how they set up the project at their last assignment?

This is the reason that so many new Enterprises failed to utilize SAP Report Painter and Report Writer.

This is the reason that so many Enterprises went without the flexibility of using the Business Area (I have been hearing for a decade that Business Areas are going away! Balderdash!), setting up the Assignment field, using quick text.

This is the reason so many Enterprises even fully utilize 1/5th of the vast power of the New General Ledger with using Roll-Up functionality, using Profit Centers in FI, avoiding for special ABAP reports or silly downloads to Excel Spreadsheets, Planning in FI and on and on and ON.

Consultants know how they did it at their last project and that it what many will recommend at their next project whether it is right or wrong!

I was teaching at a Client in the last month and the “Project Manager” came it to sit in the back row. I asked if I could help or bring him up to date and he uttered with disgust as he walked away “Well I can see that SAP Training is still screwed up! We are not even going to use (whatever my colleague was talking about).

That Project Manager had it all wrong. The Client did not order a special class to reinforce what the Project Manager has laid out as the right course of action. The Client was contacted MULTIPLE times prior to the beginning of class delivery to see if there were any specific areas the Client internal Project Managers wanted us to omit as Trainers, which we did!

But our job has NEVER been to tell a Client what SAP cannot do. Our job is not to hide other solutions to business processes just so the SAP Project Manager will look good.

Our job, first and foremost is to train, to educate, to let the Client know about all of the functionality that is availability right out of the BOX. We don’t deal with user exits, special interfaces to legacy systems; we don’t solve problems that arise from antiquated Business Processes. We show Clients how to use the tools that they have been provided

We Train. We Educate. We open doors and let the client look in, see what it available and only then can they make a decision on what is the right path to chose.

I understand that End User Training is End user Training and not Project Team Training. I understand that after the decision has been made on how the system with work and respond that my job is to understand your needs, how our software meets those needs, how is it configured and design courseware that COMPLEMENTS the project.

I’m sorry. I can’t in good conscious, post a comment that says something so off base as:

Training provided by functional consultant to end user before project go live. End user roles involves like a data entry level, who creates inquiry, quotation, order, shipping and billing transaction, i dont think so additional enduser training required..”

Imagine if they can’t write a simple marketing piece, how effectively will they train you end-users or your project team? And I really don’t care if they say their name is Peter…

Write back. Tell me I am off base. I still am puzzled if all of these Software companies are selling so much, just who is doing the training. I just know it is going to the lowest bidder. I am not blowing my own horn, but I have nearly 21 years of SAP implementation FI and Reporting experience. My colleagues have equal amounts of SD and MM and you name it. Each year we teach fewer and fewer courses. These teams and these users are being trained by someone. MANY of the companies I cross paths with or who contact me every day to represent them can spell SAP, but that is about it.

It is very distressing!

 

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How do you write off a Bad Debt in SAP Accounts Receivable?

Every class, someone asks “How are we supposed to write off Bad Debt or unpaid Receivables in SAP FI?”

Tough question. Should be easy, but….

With the Individual Value Adjustments (IVA) in SAP, the transaction allows the user to change the reconciliation account to a Uncollectible Reconciliation Account until it is settled or a credit is issued and matched to the unpaid item. Well I think that is how they use the functionality in IAS or IFRS countries of Europe.

I seem to believe, our North American Accounting office’s accrue Bad Debt as some factor each month or quarter end as maybe something like a periodic percentage of Sales. The Accounting Manager bases that accrual amount on some historical bad debt expense.

Documents seeking approval circulate through an Enterprise allowing the write off and then someone says: How do we write off this Bad Debt?

I thought I have suggested is to first create a new document type, oh something like “BD” for maybe Bad Debt. Post the credit to the customer’s account (I will let you figure out what you should debit and credit) but then use the Account Clear transaction and clear the Bad Debt Credit against the unpaid Bad Debt item(s).

Sounds easy enough.

I prefer creating the accrual posting to the Bad Debt Accrual; create a new BD document type. Then use the Incoming Payment Transaction in Accounts receivable. Put in your new Bad Debt Doc type in the transaction header, use the Bad Debt EXPENSE account (instead of where you would normally put in your Bank G/L account number and put in the amount of the total write-off. Perform the posting as normal. Maybe even get fancy and use a little quick text to indicate that this is a Bad Debt Write off so there is no confusion! Save and Voila!

At the end of the month, search for your SAP doc types “BD” (maybe a Document List from FB)# as a selection and there is your total monthly or quarterly bad debt write off totals!

Post your accrual against the Bad debt expense as an adjustment (Please use something other than doc type SA) and you have a neat, clean bad debt write off with a nice audit trail and even a few reports you can run to recap your Bad Debt history.

If you have any other thoughts on how you would write it off, share and let us know!

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