What is distribution method in SAP FS-MCM-CSL - Combined Settlement?

SAP Term: distribution method

• Component: FS-MCM-CSL

• Component Name: Combined Settlement

• Description: A procedure used by the system to post the compensation result when distributing the interest, depending on the distribution category. In the standard system, the result can, for example, be posted only to one account as specified in the payment details for the master contract. Customer distribution methods enable the interest result share to be distributed as a percentage. &EXAMPLE& You want the interest result to be distributed to two participant accounts, who are to receive 50% each.

Smart SAP Assistant

• Key Concepts: 
  Distribution method is a feature of the FS-MCM-CSL Combined Settlement component of SAP. It allows users to define how the settlement costs are distributed among the different cost objects. This feature is used to ensure that the costs are allocated in a fair and accurate manner. 
  
  How to use it: 
  In order to use the distribution method, users must first define the cost objects that will be involved in the settlement process. Once this is done, users can then define the distribution rules for each cost object. These rules can be based on a variety of factors such as quantity, value, or time. Once these rules are defined, the system will automatically calculate and distribute the settlement costs accordingly. 
  
  Tips & Tricks: 
  When setting up the distribution rules, it is important to consider how each cost object will be affected by the settlement process. This will help ensure that the costs are allocated in an equitable manner. Additionally, it is important to review and adjust the distribution rules periodically to ensure that they remain up-to-date and accurate. 
  
  Related Information: 
  For more information about the FS-MCM-CSL Combined Settlement component of SAP, please refer to the official SAP documentation. Additionally, there are many online resources available that provide detailed tutorials and best practices for using this feature.