SAP CCM: Royalty Settlement in SAP Standard

Financial experts analyze royalty processes in SAP CCM – Symbol for automated and transparent settlement in SAP Standard

Royalty settlement can be fully mapped in SAP Standard using Settlement Management. This allows you to manage and track your licenses and optimize the value of intellectual property.

What is SAP CCM Royalty Settlement?

You can use the royalty settlement functions in Settlement Management to manage royalty agreements and track financial obligations, thereby optimizing the value of intellectual property. These functions assist you in creating, monitoring, and settling condition contracts and agreements for royalty settlements. SAP CCM supports the entire lifecycle of your intellectual property.

How can companies implement effective and transparent SAP royalty settlement?

Manage Royalty Agreements:
With SAP Condition Contract Management, SAP provides you with a tool to centrally maintain your royalty agreements. For this purpose, you can easily create customer or vendor condition contracts. These condition contracts allow you to organize and store the negotiated fees in one place. The condition contract includes all relevant data for your license agreement, such as the license partner, the validity period, and the conditions for calculating the settlement amount.

Monitor Royalty Agreements:
You can monitor your royalty agreements and their lifecycle using the condition contracts for your license agreements, and even view the underlying revenues. The tool offers a variety of options to find your condition contracts and gain an overview.
Through various release processes, you can control your condition contracts and make them available for operational use and settlement. A workflow can be configured individually for each customer here.

Accrual Postings for Royalties:
Your condition contracts with the license agreements provide you with the option to post all accruals for your license agreements on a daily basis. There is the option to integrate the accruals into your MM and SD schemes or to post them separately in CCM via delta accrual.
Delta accruals can be posted in a cumulative form during settlement. During this settlement run, the system creates special settlement documents to determine the delta accruals based on the corresponding revenue.

 

Royalty Settlement Process in SAP CCM – from contract entry and calculation to automatic invoicing in SAP Standard

Royalty Settlement in SAP CCM

Settle Royalties:
For the settlement of your license condition contracts, SAP CCM generates its own settlement documents to show the corresponding amounts payable or receivable for your license agreements. These can be posted directly to accounting, either immediately or via a release process. These settlements can be performed flexibly on a periodic basis or period-accurately via a job.

What advantages does CCM offer for your royalty agreements?

Complete transparency in your royalty agreements
The condition contract is the “single point of truth” in SAP’s new royalty agreements. All relevant data for royalty agreements can be found here. Every settlement of the condition contract is seamlessly displayed in the document flow.

Automation of Royalty Agreements
All settlement processes (delta accruals, delta settlements, partial settlements, final settlements, accrual reversals) can be automated and, if required, output via print or email (archive connection possible).

High Flexibility in Settlement Logic
Royalty settlement in SAP CCM is highly flexible and user-friendly. In addition to the flexibility in settlement documents, information from other modules can be accessed at any point (extension of document information), and the logic can be customized at relevant points using standard functionalities.

Continuous Development of Logic by SAP
SAP Condition Contract Management (CCM) is continuously being developed, and with each release, new functionalities become available that increase the flexibility of royalty settlement.

Would you like to integrate your royalty settlement into SAP S/4HANA in SAP Standard? Our XEPTUM experts will be happy to advise you and present individual solutions. Let us work together to ensure greater transparency!