SAP Financial Supply Chain Management is a set of applications from SAP that manages customer-related financial functions such as risk assessment, billing, receivables, and collections, within an SAP ERP environment. SAP Financial Supply Chain Management is designed to increase visibility into and control of cash-related processes between a company and its business partners.Content Continues Below
The goal of SAP Financial Supply Chain Management is to predict cash flow, reduce working capital and operating expenses by increasing the number of timely customer payments and reducing the number of debtors, and integrating business processes throughout the financial supply chain.The product consists of different components: Credit Management, Biller Direct, Cash and Liquidity Management, Dispute Management, Collections Management, Treasury and Risk Management, and In-House Cash. These can be used independently or together.
Credit Management - evaluates customers' creditworthiness using internal and external rating data to facilitate quick credit decisions.
Biller Direct - enables companies to send electronic bills via a link or by attaching a file as an e-mail attachment. The billed customer can then view account information and make payments online.
Collection Management - supports proactive receivables management, including account evaluation and processing of receivables.
Dispute Management - addresses disputes over receivables and provides monitoring that can help detect payment problems early on.
Treasury and Risk Management - provides functions to manage interrelated areas of cash, payments, liquidity, risk and compliance, along with financial reporting integration.
In-House Cash - processes internal and external payment transactions. It can help to reduce the number of bank accounts a company must hold and the volume of foreign payments that it needs to make.