What is settlement in SAP ICM - Incentive and Commission Management (ICM)?

SAP Term: settlement

• Component: ICM

• Component Name: Incentive and Commission Management (ICM)

• Description: Incentive and Commission Management Check for disbursement or recall of amounts due. In addition to performance-related remuneration, flat-rate remuneration and guarantees are settled once they have been posted and are due. This means settlement can take place without periodic tasks, such as monthly guarantee settlements, being carried out. Commission contract partners with multiple commission contracts receive at least as many settlements individual listings. However these can only be paid out over the same disbursement account. It is also possible to summarize payments on one commission contract with several different items and to make these payments to one or several disbursement accounts. Settlement information is taken from the settlement agreement. Cost account assignment is controlled by the remuneration type. Only the due amounts from valid documents are settled together. Invalid documents are not included. If a document has not yet been settled, but is set as invalid, it will be rever

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• Key Concepts: 
  Settlement in ICM Incentive and Commission Management (ICM) is the process of calculating and distributing payments to sales representatives based on their performance. It involves collecting data from various sources, such as sales orders, customer accounts, and product catalogs, and then using this data to calculate the commission amounts due to each sales representative. The settlement process also includes the payment of these commissions to the sales representatives. 
  
  How to use it: 
  The settlement process in ICM is automated and can be configured to meet the specific needs of an organization. The process begins with the collection of data from various sources, such as sales orders, customer accounts, and product catalogs. This data is then used to calculate the commission amounts due to each sales representative. Once the commission amounts have been calculated, they are then paid out to the sales representatives. 
  
  Tips & Tricks: 
  When configuring the settlement process in ICM, it is important to ensure that all relevant data sources are included in the calculation. This will ensure that all commissions are accurately calculated and paid out. Additionally, it is important to ensure that all payment methods are supported by ICM so that payments can be made quickly and easily. 
  
  Related Information: 
  For more information on settlement in ICM Incentive and Commission Management (ICM), please refer to SAP’s official documentation on the topic. Additionally, there are a number of third-party resources available that provide additional information on how to configure and use ICM for settlement purposes.