What's the meaning of Intercompany Process (ICP)?
What's the meaning of External or Third Party?
What are the steps of Intercompany Sales to External Customer? and
What are the accounting entries in the process
This process is also a type of Dropshipping (Product sold from one company and shipped from another)
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Good explanation, keep it up
Thank you, I will
Sir Can you make this video with sap sd platform demonstration as
Sorry i don’t understand
Does the process also called the drop ship or third party process?
Third party process is very generic, means any process with an external entity
Drop ship I don’t know
Yes, it’s also called drop ship
@Abdullah Galal – SAP, CMA thank you!!
@Dmitry Ovchinnikov thank you for confirming
Best thing about your videos is you make complex topics easy to understand in under 10 minutes. Great job.
Glad it was helpful! I like simplifying things 🙂
Hi AG, thanks for posting this very informative video. I have a query though, when u ship to the company in france, u incur costs. I guess u capture these expenses in France. Is there a way to analyze them from the US PoV..?
Great question!
Who is paying for the shipping? Is it US or France?
I would add another financial entry to account for this (Dr Freight / cr Freight vendor), we can either do this manually or configure transportation management to account for it
Good one
Thank you!
Hi AG, Thanks for sharing this video. very informative. I have a concern, i have made payment to your youtude channel. However i didn’t get the access to the content yet. Please can you guide me how do i get the access?
This is managed by YouTube, please contact their support team, and once you have your members badge let me know
Great
sir please tell me how to suppress (Message No. F2365) problem i.e confirmation of GL changes in demo practicing software. plsssssss sir
Hi Sridhar, I don’t understand your request, please share what you’re trying to do in which transaction code with the long description of the error
@Abdullah Galal – SAP, CMA hii sir, I’m using demo software, whenever I made any changes to vendor master data system is showing a message that changes must be confirmed by another user
Best quality as always! Would be great if you explain in one of the next video for IC process the part for IC AP invoice which we need to post to account based COPA. What needs to be done to set it up. Thx!
Hi Dmitry, why do you want to post the IC AP to Profitability Analysis? can you explain the business case?
fantastic explanation!!
Hello Abdulla,
I have a question
when company in France sold the product the entry will have Dr: AR Cr: Revenue/ Dr:COGS Cr:Inventory but for purchase
DR: Affiliate Cogs Cr: AP Affiliate
Does not this balance in inventory account as we credited the inventory in sales but did not debited it in the purchase
Hi Ahmed, the inventory never goes to the company in France, it goes from US directly to the french external customer
BUT the sales must be posted through France since it’s their region
Would be nice to show the IC profit elimination whereby the group valuation. I might help you to configure that if you need.
Thank you! can I reach you on LinkedIn for help on this topic?
@Abdullah Galal – SAP, CMA yes with pleasure
مستر عبدالله بعد اذنك ف الشركة عندي طالبين ابقي consultant in Microsoft dynamic 365 module commerce بعد اذنك اعمل اي عشان ابقي جاهز أو اذاكر من انهي ماتريال ؟!!
معنديش أي فكرة عن Dynamics
Hi Sir,
Hope you are doing good !!
Very nice explanation !!
I have been trying to understand Intercompany business scenario for a long time. Finally you made my day with such a amazing explanation..keep it up sir.
In this video, you have gone through only intercompany sales.Apart from sales, what are other scenarios??
Thanks in advance.
Hi, so far only the different sales processes
Thank you sir.
When France company raised sales order to US company, which address the goods will get transfer? External customer address or France company address??
Also, How billing process will be done?
Watch the demo video, I’ve showed all the process on S4hana 2020
Hi sir can you share journal entries or explain about for amount due to related company and amount due from. Thank you
Will do my best
Hi Sir, thanks a lot for sharing your knowledge and I really find your videos very interesting and easy to understand. May I know how can we be able to access those videos that are tagged as “members only”?
Hi Jeck, glad to help!
These videos are for paid members, check this link https://www.youtube.com/channel/UC3-XsUbadfy__sc1kM2jiaw/join
@Abdullah Galal – SAP, CMA Thanks for the reply. How to be a paid member?
this is so helpful. thank you. i have subscribed!
Awesome, thank you!
Amazing video thanks a lot, question, company in france sells to third party with selling price while the affiliate company in the US sells to france company with cost price, how do we deal with the difference
The difference is the profit margin of France, and by the way, the company in US sells to France with a profit margin too.
For example US produces one item at $10, sells to France at $12 ($2 profit margin) which becomes the cost in France, which then sells to the final customer at $15 ($3 profit margin)
@Abdullah Galal – SAP, CMA Thanks a lot
Nice video! Could you please also explain transfer pricing scenario in intercompany posting