Incoterms Use Incoterms are internationally accepted rules for world trade.

In this way, purchasers can collaborate with their vendors to define delivery conditions and connected buyer and seller obligations. Integration Incoterms are integrated into the following SAP Enterprise Buyer applications. Shopping cart: Incoterms are only used in display mode. The Incoterms are transferred from the catalog but are not contained in the standard. You therefore have to maintain the fields INCOTERM_KEY and INCOTERM_LOCATION in the catalog interface in the customer include 'CI_OCI_CUSTOMER_EXTENSION' accordingly. Purchase order: The Incoterms exist on both header and item level. Contract: The Incoterms exist on both header and item level. Bid: The Incoterms exist on both header and item level. The bidder can, for example, offer to pay the freight costs. This criterion is then transferred into the evaluation of bids in the SAP Business Information Warehouse (BW). Invoice: Incoterms are only used in display mode. In SAP Supplier Self-Services (SUS), Incoterms are only displayed. The XML interface is enhanced with both fields INCOTERM _KEY and INCOTERM_LOCATION.

Activities Incoterms are defaulted from the vendor master or from the contract when a source of supply is assigned to a purchase order. You can overwrite the defaulted values manually. The logic here corresponds to the default logic of the Rosetta Net standard: If you enter an Incoterm on header level, this is valid for all items that do not explicitly have an Incoterm. If you then enter an Incoterm on item level, this overwrites the Incoterm entered on header level. This default logic is resolved during print output.

SAP supplies the following 13 Incoterms as standard: EXW FAS FOB CFR CIF CPT DES DEQ EX WORKS FREE ALONG SIDE SHIP FREE ON BOARD COST AND FREIGHT COST, INSURANCE AND FREIGHT CARRIAGE PAID TO DELIVERED EX SHIP DELIVERED EX

DAF DDP DDU FCA CIP

QUAY DELIVERED AT FRONTIER DELIVERED DUTY PAID DELIVERED DUTY UNPAID FREE CARRIER CARRIAGE AND INSURANCE PAID TO

If you want to define an Incoterm for a legal transaction with a vendor, for example, carry out the following activity in the Implementation Guide (IMG) of Supplier Relationship Management : SRM Server Cross-Application Basic Settings Create Incoterms. In Customizing, the indicator for location (field INCOTERM_LOCATION) is set as standard. In this case, you must enter a location. If you deactivate an indicator or do not set an indicator when creating a new Incoterm, the system does not require you to enter a location.