Free Goods

In SAP ECC system you can configure the free goods in following two methods.

1)      Manually: During sales order processing by specifying higher level item category for a line item you can define an item as a free of charge item.

2)      Automatically: in the sales document the system will propose the free of goods automatically either as an Incluive or as an exclusive bonous quantity.

Free goods are usually delivered to the customer for free of charge, along with the ordered goods.

In the master data for free goods you can specify a validity period, minimum quantity, calculation rule and scales.

By specifying calculation rule you can decide how the system needs to determine the free goods quantity for the ordered quantity.

The item category determines how the the item is controlled later in the business process. These item categories are determined by accessing the relevant condition records.

The system re-reads the free goods master record in the sales order if the quantities in the main item change or if the pricing date changes.

If pricing is re-run in the sales order, it does not affect the free goods determination.

SAP uses the condition technique to determine the free goods automatically in a sales document.

Like in pricing the system access the free goods deerminaion procedure based on the sales area, document pricing procedure and customer pricing procedure.

0.2Free goods in deliveries

1)      The free goods are automatically copied into the delivery.

2)      Free goods determination does not take place in the delivery.

3)      Once partial deliveries have been shipped, you cannot change any quantities or dates in the order.

0.3Inclusive Bonous quantity

1)      Free goods can be part of the order quantity not included in the invoice, is called as inclusive bonus quantity.

2)       In inclusive bonous quantity the ordered goods and the free goods both involve the same material.

3)      The quantity units of the free goods and ordered goods must be the same.

4)      It is also possible to automatically record inclusive bonus quantities of an item on one line in a sales document (since SAP R3 release 4.5 onwards).

5)      To activate one-line inclusive bonus quantities, you must set a flag “Inclusive bonus quantity without generating item” on the free goods master record.

0.4Exclusive Bonous quantity

1)      Free goods can also take the form of extra goods that are free of charge. These are called exclusive bonus quantities.

2)      The extra goods are delivered free of charge and not included in the invoice.

3)      This can either be an additional quantity of the goods ordered or it can be another article.

4)      The exclusive free goods appear in the SD document as an individual, free-of-charge item.