Channel Revenue Management Claim Creation and Settlement for Batch Receipts

You can initiate claim investigations in Channel Revenue Management from receipts created in batch, for both invoice-related underpayments and non-invoice-related overpayments.

Use the Create Receipt Batches ADFDI spreadsheet to create a batch of receipts. The receipt applications created using AutoApply and the active AutoMatch rule set initiate claim investigations for related underpayments and overpayments.

Settings That Affect Claim Creation and Settlement for Batch Receipts

These settings affect Channel Revenue Management claim creation and settlement for batch receipts:

• Ensure that the corresponding setups in Channel Revenue Management are completed:

  • Manage channel settings.

  • Manage user statuses.

  • Create claim types and map them to Receivables invoices and credit memos.

  • Create claim reasons and map them to Receivables credit memo reasons.

  • Define claim sources for the Receivables settlement methods of Deduction and Overpayment.

• Predefined Channel Revenue Management transaction source: This transaction source is assigned to Receivables credit memos and invoices created by the Settle Customer Claims process when a claim is settled.

  Note: Don't copy or update this transaction source.

• Predefined Subledger Journal Entry Rule for the Event Class of Receipt and Accounting Class of Claim Investigation.

• Claim Investigation Receivables activity type: Update the predefined Claim Investigation Receivables activity type for the applicable business unit:

  1. Navigate to the Create Receivables Activity page.

  2. Enter the business unit and activity name.

  3. In the Activity Type field, select Claim Investigation. The GL Account Source field displays the Activity GL Account by default.

  4. In the Activity GL Account field, enter the GL account code combination to allocate the expense or revenue for claim investigations.

• Receipt Application Exception Rule: Update a receipt application exception rule for claims of underpayments and overpayments.

  1. In the Mange Receipt Application Exception Rules page, create or select the application exception rule you want.

  2. In the Exception Rules section of the Edit Receipt Application Exception Rules page, create underpayment and overpayment conditions for invoice-related claim investigations:

     1. Click the Plus (+) icon to create a condition.

     2. Select the Underpayment condition you want, and enter the Amount and Percentage.

     3. In the Action field, select Claim.

     4. Ensure that the User Review Required option isn't enabled for transaction claim investigations.

     5. Repeat steps 1-4 for the Overpayment condition.

     Note: You must ensure that the application exception rule doesn't have overlapping or duplicate conditions.

• Receivables System Options: Update Receivables system options for the applicable business unit for claim investigations:

  1. In the Manage Receivables System Options page, select the system options record for the business unit you want.

  2. In the Edit System Options page, navigate to the Cash Processing tab.

  3. In the Cash Processing tabbed region:

     1. Enable the Enable channel revenue management integration option.

     2. In the Application Exception Rule Set field of the Application Exception Rule section, select the application exception rule set that you defined above for claim investigations.

• Customer Profiles: Update the profiles of the applicable customer accounts and sites for claim investigations:

  1. In the Manage Customers page, search for and select the customer you want.

  2. Select the profile for the applicable account or site.

  3. In the Receipt Matching section of the Edit Profile page, enter in the Application Exception Rule Set field, the application exception rule set that you defined above for claim investigations.

  4. Repeat these steps for each applicable account or site.

     Note: The receipt batch process uses the settings of the Match Receipts By rules for exact matches with Invoice transactions only. If the receipt batch process can match receipts to invoices, then the process automatically applies the receipts and creates a claim for the remaining underpayment or overpayment. The receipt batch process doesn't automatically create claims for remittance reference recommendations for receipt application; you must manually create the claim investigation using the Edit Receipt page.

  5. Repeat these steps for each applicable customer.

• Receipt Method: Update the remittance bank account in the receipt class and method you will use for the receipt batch for the applicable business unit:

  1. In the Manage Receipt Classes and Methods page, search for and select the receipt class you want.

  2. In the Receipt Methods section of the Edit Receipt Class and Methods page, create or select the receipt method you want for batch receipts.

  3. In the Remittance Bank Accounts section, create or select the remittance bank account you want for the applicable business unit.

  4. In the GL Account section of the Edit Remittance Bank Account page, select in the Claim Investigation field the Claim Investigation receivables activity that you updated with the GL account code combination for the applicable business unit.

How Claims are Created and Settled for Batch Receipts

To initiate Channel Revenue Management claim investigations during processing of a receipt batch:

1. Download the Create Receipt Batches ADFDI spreadsheet.

2. Enter the required data for the receipt batch.

3. Optionally enter the customer reason and customer reference for each remit reference in the reference section of the spreadsheet.

4. Submit the batch.

The process to initiate invoice-related claims during receipt batch processing includes:

• After matching and applying receipts to invoices using AutoApply and AutoMatch, initiate a claim for the invoice underpayment.

• Use the Underpayment and Overpayment conditions in the Receipt Application Exception Rule for the claims.

• Use the invoice business unit and currency for the claim amount. For underpayments, the claim amount is the outstanding amount due on the invoice.

The process to initiate non-invoice-related claim investigations during receipt batch processing includes:

• After applying a receipt to the open customer balance, initiate a claim for the overpayment.

• Use the Underpayment and Overpayment conditions in the Receipt Application Exception Rule for the claims.

• Use the business unit and currency of the receipt for an overpayment claim. The remaining unapplied amount on the receipt after receipt application is the claim amount.

• Claim Investigation Receivables activity type defined in the remittance bank account of the receipt batch receipt method is used as the default activity for the claim investigation application to the imported receipt.

The processes related to the resolution and settlement of invoice-related and non-invoice-related claims in Channel Revenue Management created during receipt batch processing are the same as for claims created using the Edit Receipt page.

Note: External tax partner calculation services are currently not available for credit memo or invoice creation to settle claims in Channel Revenue Management.

You can review the details of the Channel Revenue Management deduction or overpayment claims in the Activity tab of the Receipt Details section of the Edit Receipt page.