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Recycling Administration

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Table of content

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Table of content
1 Recycling Administration
1.1 Recycling Administration
1.2 Transparency of Payment Flows
1.3 Checking Legal Requirements with REA
1.4 Recycling Master Data
1.4.1 Overview: Master Data
1.4.1.1 Recycling Partner
1.4.1.2 Price List
1.4.1.2.1 Processing of Price Lists
1.4.1.3 Fraction
1.4.1.4 Packaging
1.4.1.5 Article
1.4.1.5.1 Reference Article
1.4.2 Data Entry
1.5 Recycling Contract Management
1.5.1 Splitting
1.5.2 Recycling Conditions
1.6 Declaration Administration
1.6.1 Recycling Declaration Type
1.6.2 Sustainability Report
1.7 Analysis of Recycling Processes
1.8 Consistency Check

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1.1 Recycling Administration

In many countries, environmental law obliges companies to provide certification to account for the packaging materials produced and the number of finished
products manufactured and brought to the market, and to collect and dispose of these at the end of the product life cycle. These kinds of regulations, along
with an increased public awareness of environmental issues, provides companies today with new challenges.
In addition to the standard manufacture and sale of products, companies are often now responsible for the correct disposal and recycling of their waste
products. Most companies absolve themselves of the duty to perform these tasks themselves by collaborating with recycling partners such as the Duales
System Deutschland (DSD), who provide a general collection system in return for a license fee. The recycling partner organizes the collection, sorting,
processing, and recycling of the waste packaging.
The focus of the Recycling Administration (REA) component is the item-based or weight-based fee calculation for specific materials, as well as end-to-end
transparency and implementation of the legal reporting requirements to environmental authorities. REA supports you when entering, managing, and billing the
necessary recycling data.
REA affords your company quality, control, and flexibility when settling quantity flows with recycling partners in recycling administration. It also caters for
transparent quantity and cash flows in the company. This allows you to reduce your process costs and manage articles and packaging more efficiently.
Consequently, REA supports you in minimizing the costs incurred during recycling administration.
With REA, you can include projected recycling fees in your price calculation. REA uses ERP standard conditions with which the system calculates fees for
articles or accruals in Sales and Distribution (SD) or Materials Management (MM) price determination.
Using individually configurable interfaces, REA can import data from third-party systems and process it further with REA-specific declaration and analysis
functions.

Note
You can use the Recycling Administration (REA) component to fulfill the legal requirements for Germany and other EU countries in the SAP system.
For more information about countries and recycling partners covered by REA, see SAP Note 1157821.
Note that alongside REA, SAP provides other standalone components that cover recycling processes, each with a different focus:
Environment, Health and Safety (EHS)
The component provides functions for companies who create and dispose of waste products themselves.
Waste Disposal Industry (IS-U-WA)
This component provides municipal waste disposal companies with functions that handle public waste disposal.

Implementation Considerations
To be able to use REA to its full extent, you have implemented the components Materials Management (MM) and Sales and Distribution (SD) .
You have activated the business function REA Recycling Administration (J_7L_REA_CORE).
You have configured the necessary settings for REA in Customizing for Sales and Distribution under Billing Recycling Administration . The various
IMG activities in Customizing for REA are listed in the sequence of the process flow.

Integration
The Recycling Administration (REA) component is integrated in the standard SAP system. It is compatible with industry solutions (such as SAP Retail) and
other SAP application components (such as SAP EHS Management).

Features
Determination of the most price-effective recycling partner
REA provides functions to analyze the data material (for example, condition and price analyses), which you can use to compare the performance of
different recycling partners.
Automatic generation of forms for the selected recycling partner according to requirements regarding the data to be declared
REA can issue the data to be declared either electronically in the form of data medium exchange (DME) or on paper as a form. For the declaration, REA
first generates a document that is posted in the REA declaration system. You can then generate the required documents from this document in
accordance with the requirements of the recycling partners.
Certified verification
REA fulfills country-specific reporting requirements with its recycling partners. In your periodical declaration, you state the information and totals for all
declared articles as a quantity flow in the period under consideration. REA enables a certified verification at the level of individual documents and items.
Use of the material information available in the standard SAP system
REA accesses existing master data in the standard SAP system and enhances it. This allows for optimal integration with the standard SAP functions.
Automatic determination of quantity flow from Sales and Distribution (SD) and Materials Management (MM)
REA automatically obtains important information for generating the declaration from Sales and Distribution (SD) and Materials Management (MM) .
Cost control and controlling with Sales and Distribution (SD) , Materials Management (MM) , Financial Accounting (FI) , and Controlling (CO)
In Financial Accounting (FI) , you enter a recycling partner as a vendor. In Controlling (CO) , a budget is generated for settlement with recycling
partners on the basis of the data processed in REA. In Sales and Distribution (SD) , you can evaluate the corresponding billing documents.

Example
An environmental authority instructs your company to generate recycling declarations for article battery A , taking into account the applicable, country-specific
reporting requirements. To do this, you use the reporting process Create Declaration in REA, which combines and evaluates the data in the material master
with the sales figures and the consumption data records from goods movements.

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The system calculates the due amount of the product-specific environmental fee for each declaration and transfers the result to financial reporting for further
processing. The system also provides other ERP processes (sales, purchasing, and accounting) with the result.

1.1 Recycling Administration

The recycling process is the complete process from creating the settlement basis (master data, Customizing, contracts), through calculating costs incurred, to
generating the declaration for the recycling partner. The Recycling Administration (REA) component supports this process by providing numerous reports.
You define an article with its packaging and fraction components in the system and assign your recycling partner. Actual recycling is then carried out by the
recycling partner or contract partner. With the breakdown, declaration, and payment of the fee, your recycling process is complete.
The REA process begins before the product is actually consumed and therefore anticipates the material product life cycle.

Prerequisites
You have configured the necessary settings in Customizing for Sales and Distribution under Billing Recycling Administration .
You have entered the material master data.
You have activated the business function REA Recycling Administration (J_7L_REA_CORE).

Process
The ideal processing of REA activities is as follows:
1. Manage recycling master data
REA expands on the standard SAP material master and enhances it. You create the following REA-specific master data:
Recycling partner
A recycling partner is a logical extension of a vendor master record and allows you to configure the corresponding information for generating the
declaration.
Price list
You can use price lists to define how the costs for individual fractions are calculated. A price list is always valid for a particular period and
company code. This enables you to define in advance that different prices are settled in different periods.
Fraction
Packaging
Article

Note
The special feature of REA is a three-level master data model based on article, packaging, and fraction. This allows the individual components
of an article to be broken down differently, thus allowing an optimal calculation of the recycling costs incurred.
An article in REA models a product that has to be included in reporting as a result of the contract between a company and a recycling partner.
The article is composed of packaging and fractions. Packaging represents a component that comprises any number of internal fractions and
that can be settled with any number of recycling partners.

2. Recycling contract management


You model recycling partner contracts in the system. The master data for the price lists and recycling partners forms the basis for modeling the
recycling contracts.
3. Create and manage declarations
Creating declarations is the central process of REA. REA uses movement data and REA master data to generate and post a declaration for the recycling
partner.
4. Analysis of recycling processes
REA provides extensive reporting functions to aggregate data, analyze costs, and minimize expenses. These functions ensure that relationships and
dependencies between packaging and articles are transparent.

Note
Regardless of the business process (long/short-lived assortment), REA supports time dependencies when processing REA master data by taking into
account time-based settings when the most important data is entered (for example, conditions or assignments between packaging and recycling partners).
Depending on the business processes of a company, you may have to adapt or reenter master data on a more frequent basis. This affects you in particular
if you frequently change your assortment or parts of your assortment, or have to take into consideration temporary sales promotions (for example, bonuses
during festive promotions or price lists that are restricted by time).

Example
Example 1:
You have included a new article in your assortment and have to settle it with an existing recycling partner.
1. You enter the master data for the article, including the associated packaging and fractions. You assign the fractions to the packaging and the packaging
to the article.
2. You then configure the settings for the associated recycling partner and its price lists.
3. You have then completed the actual entry process and can generate the first declarations for the period Mar as shown here (for example, assortment or
periodical declaration).
4. Independently of this, you can carry out different analyses (for example, in relation to the assignments or cost structure). This allows you to determine,
for example, that another recycling partner offers better conditions for certain packaging within this period. As a result, you may enter into renegotiation
with your current recycling partner.

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Example 2:
You want to work with a new recycling partner.
1. You enter the master data, including the valid price list, for the recycling partner. To do so, you enter the address, communication, and tax data in the
vendor master along with the contact person, and if necessary activate account determination if documents from REA declaration administration are to
be posted to Financial Accounting (FI) .
2. If, as in this example, the articles to be settled (including packaging and fractions) already exist, you must make the corresponding assignments.
3. You can now generate the necessary declarations for the required times (in this case, starting from May ).
4. You can carry out different declarations and analyses regardless of time periods, articles, or recycling partners.

REA Events in Chronological Order

1.2 Transparency of Payment Flows

Alongside the proper calculation and processing of recycling fees with the recycling partner, the Recycling Administration (REA) component can also use this
data for further, company-internal pricing to the point of settlement in financial accounting. In this way, REA enables optimal integration and transparency of
the payment flows across the components of Materials Management, Sales and Distribution, and Financial Accounting.
The main purpose of this integration is to transfer the result of REA price determination to price determination in Materials Management (MM) or Sales and
Distribution (SD) in order to generate provisions for the calculated recycling fees, or add them to the price calculation for the articles (SD/MM documents). In
the further process flow, the SD/MM documents and the REA documents are transferred to Financial Accounting (FI) where they are compared to reverse the
provisions, for example.

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Example of an Integrated REA Process

The above figure illustrates the following: REA generates SD conditions in Sales and Distribution (SD) for an article created in REA. When this article is sold,
the system includes the license fee calculated by REA using an SD condition (for example, ZREA) as price information in price determination. The system
uses the standard SAP document flow to forward the determined price to accounting as an outbound document for the provisions.
In Financial Accounting (FI) , provisions can be created for the license fee to be paid (provision ZREA). In this case, ZREA corresponds to a standard SAP
condition type, which has been assigned to a recycling partner in REA. In an ideal scenario, the article was created correctly at the time of sale so that the SD
condition modeled for it has the correct license fee, which leads to a correct provision amount.
The provisions are reversed using a REA document, which is linked with Financial Accounting (FI) as a REA reporting component. The REA document is
posted as an amount in Financial Accounting and ideally clears the provisions in full. The REA document is also transferred to the recycling partner as a
declaration to certify the adherence to the recycling contract.

1.3 Checking Legal Requirements with REA

The Recycling Administration (REA) component supports you in fulfilling the relevant legal regulations in the area of environmental protection, based on the
following EU Directives:
EU Directive on packaging and packaging waste (94/62/EC)
EU Directive on batteries and accumulators and waste batteries and accumulators (2006/66/EC)
EU Directive on on waste electrical and electronic equipment (2002/96/EC), also known as WEEE
Alongside European directives, you can also use REA for similar environmental reporting requirements in countries outside Europe. For more information about
countries and recycling partners covered by REA, see SAP Note 1157821.
REA helps you to better consider your business requirements by providing extensive functions for data aggregation to analyze costs and support you in
minimizing them.
To model legal requirements in the system, numerous configuration options are available in Customizing for REA. Customizing forms the basis for
implementing the legal requirements and therefore for working productively with REA.
REA supports you with making the REA-specific settings by providing special system tables and control tables that generally do not require any manual
actions. The content of these tables is adjusted regularly with REA Customizing transports during the installation and upgrade of REA. In addition, you can
enter data in the system and control tables in the customer-specific namespace.
For more information, see Customizing for Sales and Distribution under Billing Recycling Administration Adjustment System and Control
Tables .
The following table provides some examples of how REA can be used to implement legally required declarations to environmental authorities.
Overview of the German and European Laws (Excerpt) Supported by REA

Legal Regulations Content

Closed Substance Cycle Waste Management Act (EU Directive 94/62) for Raw According to this European directive, all production and trading companies are
Material Recycling required to collect sales or transport packaging from products brought to market and
to recycle it outside of the public waste disposal system.
The law allows companies to participate in a general collection system. Examples
of general collection systems are:
Duales System Deutschland AG (DSD) in Germany
Altstoff Recycling Austria AG (ARA) in Austria
Eco-Emballages (ECE) in France

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Ordinance regarding the collection and disposal of used batteries and This ordinance governs the collection of used batteries from the end consumer.
accumulators (battery ordinance)

Waste Electrical and Electronic Equipment directive (WEEE directive; EC Directive This directive requires companies (manufacturers) to collect used equipment from
2002/96/EC) designated municipal collection facilities and to dispose of it. Companies are further
required to report to their respective clearinghouse at regular predefined intervals
the number of electrical and electronic devices manufactured.

Overview of the Non-European Laws (Excerpt) Supported by REA

Legal Regulations Content

Canada (specifically for the province of Ontario):

Ontario Municipal Hazardous / Special Waste (MHSW) Program The Municipal Hazardous or Special Waste program controls the correct disposal of
hazardous household waste and other materials that require special handling, such
as paint, single-use batteries, and antifreeze, to divert them away from landfill sites,
incinerators, and drinking water.
Under this program, the companies that manufacture and market these hazardous
products are taking stewardship responsibility and sharing in the cost of recovering
left-over products or waste for reuse and recycling, and, if necessary, for proper
disposal.

Ontario Electronic Stewardship (OES) Program Ontario Electronic Stewardship (OES) is a not-for-profit organization formed by
leading leading retail, information technology, and consumer electronic companies
to implement the Waste Electrical and Electronic Equipment (WEEE) Program Plan.
The plan requires brand owners, first importers, franchisors, and assemblers to pay
fees for electrical and electronic equipment (EEE) supplied to Ontario.

Stewardship Ontario's Blue Box Program This plan requires brand owners, first importers, and assemblers to pay fees for
packaging and printed material introduced into Ontario.

Canada (specifically for the province of British Columbia):

Electronics Product Stewardship Canada's (EPSC) Stewardship Plan This regulation requires manufacturers, importers, and brand owners of electrical
and electronic products introduced into British Columbia to participate in the EPSC
Stewardship Plan. These end-of-life products are collected responsibly and their
reuse and recycling is supported. The plan includes a requirement for relevant
reporting and is funded by the fees paid by the companies.

United States (specifically for the state of California):

Electronic Waste Recycling (Ewaste) This legislation requires all manufacturers and distributors of electrical and
electronic products introduced into California to participate in statutory reporting
and regular fee payment. Its aim is to fund collection, processing, and recycling
systems.

Packaging reporting (Rigid Plastic Packaging Container) This packaging legislation requires companies that manufacture, produce, or
generate products with plastic packaging (RPPC) that are sold or offered for sale in
the state of California report regularly to the authorities. Its aim is to promote
collection and recycling systems and minimize the impact on the environment.

1.4 Recycling Master Data

The additional data for the material master record in the form of recycling-specific materials, recycling partners, and conditions to model the recycling process.

Recycling master data is the basis of the recycling process and models it throughout the entire process chain: from entering the master data, through
relationships between data records, to creating the declaration. Depending on how it is used, recycling master data is distinguished as follows:
Master data to model the product to be recycled or declared in the system. To do this, REA uses articles, packaging, and fractions, and therefore
enables the different product components to be broken down to optimally calculate the recycling costs incurred.
Master data that models the recycling partners involved in the recycling process along with their fees (price list). For their part, price lists and recycling
partners form the basis of modeling the recycling contracts.
To provide a better overview and controls, REA includes separate reporting functions that you can use to evaluate the respective master data according to
specific criteria. These reports (for example, consistency check) enable you to ensure that no data is missing or invalid, which would otherwise result in an
error when the declaration was created.

Structure
REA-specific master data has the following features in common: REA manages its specific master data in separate master records. These reference existing
master data in Materials Management. This means that REA-specific master data requires an associated standard SAP material master. REA reads the
standard SAP material master and adds its own separate fields to it. It thus ensures that the data in REA always corresponds to that in Materials Management
(MM).

Example
The following graphic uses an example to illustrate the relationships required to model a product that has to be declared in REA:

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Article Structure

REA models relationships between the recycling master data (including recycling partners and price lists) using assignments.
For example, you assign articles to the packaging with which they are dispatched. At least one, but usually several packaging items are assigned to each
article. You use this assignment to determine which packaging has to be settled for the corresponding article.
At least one or more fractions are assigned to the packaging. Fractions are the materials from which the packaging is composed. Individual packaging items or
entire articles are assigned to recycling partners, who dispose of and settle them.

1.4.1 Overview: Master Data

1.4.1.1 Recycling Partner

The contract partner with whom a company processes recycling fees. The recycling partner can be an (environmental) authority for which you must fulfill
certain reporting obligations or a company that collects and processes material for recycling on behalf of your company (licensee).
These companies are licensors (recyclers), who assume your recycling responsibility for a fee. Licensors either recycle the material themselves or contract
another company to recycle it. The recycling partner is therefore an external interface with which a company processes the administrative and financial
aspects of the recycling process.

By configuring the settings for the recycling partner, you establish the basis for the following processes:
Creating article and packaging master data
A recycling partner is required before you can create master data for articles and packaging.
Assigning a recycling partner to price lists, articles, packaging, and fractions
This relationship network is essential for the continued declaration and settlement process, since a valid price list for each recycling partner enables you
to determine how the cost structure for the article and its components is configured.
Defining fee splitting
You can choose to recycle an entire article with one recycling partner or have each individual packaging or fraction recycled by the recycling partner with
the most favorable rates.
Determining prices
The recycling partner is a central component of price determination. Price lists are assigned to the recycling partner, thus allowing the system to
evaluate the articles in question.
Creating documents (declarations)
The recycling partner for whom the declaration in question is intended is always specified in the documents.
Evaluating information specific to recycling partners
Using various reports, the system can collate detailed information about the recycling partner.
If you want to edit a recycling partner, configure the necessary settings from the SAP Easy Access menu for Billing by choosing Recycling Administration
Tools Recycling Partner (transaction J7LE).
If you want to create new recycling partners more quickly, you can copy existing ones and then edit the copies.
The system carries out the following checks in relation to the recycling partner:
It does not allow you to change the recycling partner if you have changed the settings for fee splitting (splitting and regional processing) at the same
time.
It does not allow you to delete the recycling partner if the partner is still being used in the packaging master, packaging groups, or articles.

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Structure
REA-specific data in the master record of a recycling partner is, for example, the following:
REA-specific declaration keys
Weight-dependent fee
Regional splitting

Integration
A master record for a recycling partner always refers to a vendor master record in the standard SAP system. REA evaluates the settings for address,
communication, and tax data, for example, from the vendor master data.
You can also configure settings for account determination in the vendor master if documents are to be posted from REA declaration administration to Financial
Accounting (FI).
Using the data entered for the country defined in the vendor's address, the system determines the country-dependent tax code. Using the data for the
communication language, the system generates texts in the documents in the appropriate language.
You can branch from the recycling partner to the associated vendor master record of the recycling partner ( Goto Vendor Master ).

1.4.1.2 Price List

A list that contains the prices of articles for a specific recycling partner.
A price list is subject to certain validity conditions: Price lists apply to a specific company code, country, or validity period. This allows you to define in
advance the different prices to be settled for different periods.
In addition, you can define versioned price lists for each recycling partner that you create (unique version number).

You define the price lists as part of the contract conditions, which the system uses to calculate the costs for the individual fractions.

1.4.1.2.1 Processing of Price Lists

The Recycling Administration (REA) component uses the price list during price determination to calculate fees.

Features
The price list contains all important criteria that the system requires to determine prices, divided between the price list header and price list items. You define a
price list in REA for a validity period for the key fields Recycling Partner , Country , and Company Code .
Note that you must first complete the required entry fields in the price list header. Only then can you edit the individual items.

Activities
If you want to edit a price list, configure the necessary settings in the SAP Easy Access menu under Logistics Sales and Distribution Billing
Recycling Administration Tools Price Lists (transaction J7LP).
In the price list header, configure the following settings:
Recycling Partner

Note
If the price list of your recycling partner changes, you must create a new price list version with a corresponding validity period.

Company Code
Currency

Note
You can define up to three currencies in a price list:
Partner Currency (Part.Crcy)
Company Code Currency (Ccd.Crcy)
Alternative Currency (Alt.Crcy)

If you process declarations in one of the three price list currencies, the system automatically converts the currency accordingly. This means that
rounding differences are avoided.
Tax Indicator
Header Discount
Version Number

Note
In Customizing, you specify how REA is to handle version numbers in price lists: In general, versions are counted numerically and automatically
[ Automatic (A) mode]. If you choose the Manual (M) mode for the version count, you must enter a unique, alphanumeric version number.

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For more information, see Customizing for Sales and Distribution under Billing Recycling Administration General Control Define
General Control .

In the respective price list item, configure the following settings:


Recycling Partner Fractions
Volume/Area Classes
Item Discounts/Weightings (for example, reductions on the overall license fee)
Weightings/Prices per Trade Level
Scale Records for the Use of Fee Formulas
You can also copy an existing price list version and then further process it. In this case, the system copies the price list header and all price list items. The
system fills the Valid From date field with Date To +1 of the copy template and the Date To field with December 31, 9999.
The validity period must not overlap with any existing validity periods with the key fields (Recycling Partner, Company Code, and Country).
If you have changed an existing price list, the system does not automatically adjust the SD or MM conditions (due to performance reasons). The IMG activity
Update Conditions enables you to manually update SD and MM conditions that were generated in REA. Configure the required settings in Customizing for
Sales and Distribution under Billing Recycling Administration Adjustment Update Conditions .
Note that you can delete price lists logically but not physically. A price list version that has already been posted with a valid REA declaration cannot be
deleted. The declaration must first be canceled.
Configure the necessary settings for the price list in the SAP Easy Access menu under Logistics Sales and Distribution Billing Recycling
Administration Tools Price Lists (transaction J7LP).

1.4.1.3 Fraction

The recycling-specific packaging material that is settled with the recycling partner. A fraction is the individual packaging material used and represents the
smallest unit of an article that can be settled.

The system uses the consumption basis of the individual fractions to settle the costs for the respective recycling partner. To do so, the different descriptions
of the fractions must be broken down between your company and the recycling partner. Individual internal fractions can be entered and defined freely and can
therefore mirror the scenarios of the respective company. The significance and quantity of partner fractions is entirely at the discretion of your recycling
partner. For settlement with your respective partner, you must have assigned all of the corresponding partner fractions to your internal fractions.

Structure
Internal Fraction
An internal fraction is the company-internal description for materials or substances of which packaging comprises. Internal fractions mirror the packaging
structure of a licensee and are assigned to partner fractions. This ensures a unique description within REA, regardless of the recycling partner descriptions.

Note
In REA, an internal fraction is a packaging component that can be assigned to REA packaging in a unit of weight any number of times. REA packaging
represents a component that comprises any number of internal fractions and that can be settled with any number of recycling partners. The assignment of
packaging and internal fractions/recycling partners is always restricted by time.

Partner Fraction
Alphanumeric term that uniquely identifies the recycling partner fraction in the system. A partner fraction is a category into which a recycling partner divides
the packaging components that are to be settled. A price is usually assigned to a partner fraction, and the system uses this price to calculate the weight-
dependent fee. You assign the corresponding recycling partner fractions to standard internal fractions within your company so that you can work with your
usual descriptions and keys.

Note
You must assign at least one internal fraction to a packaging item. An internal fraction can be assigned to a packaging item in one version only once.
When you assign the recycling partner fraction to an internal fraction, the system provides an input help of the partner fractions used.

Example
The following diagram displays the relationship between an internal fraction and a recycling partner fraction using the example of the fraction plastic:

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Relationship Between Internal Fraction and Partner Fraction

In this example, you have an internal fraction Plastic , which specifies a certain type of plastic in more detail (for example, PVC). You manage this internal
fraction in your REA process with three recycling partners. However, each of these recycling partners has a different name for the plastic (recycling partner
fraction). You therefore use assignments to specify which internal fraction corresponds to which recycling partner fraction.

1.4.1.4 Packaging

The material components from which an article is composed or that directly surround an article. Packaging comprises any number of fractions and can be
settled with any number of recycling partners.

Note
In Materials Management, REA packaging is often termed packaging due to its material type. Generally, assignments can be made to all material types.
In REA, this means, for example, that batteries, electronic waste, or copyright fees can be classified as packaging.

You use packaging to specify the materials of an article in more detail. This is important for the assignment to recycling partners and the calculation of fees
during price determination.
In the same way as articles, each packaging item must already exist in the material master before it can be created in REA. Unlike articles, you create
packaging exclusively in the MM base units of measure. You can define different validity periods for packaging items and assign version numbers for them. If
you select packaging to edit without explicitly stating the validity period, the system selects the version that is valid on the current date.
If you want to create packaging for a material for which packaging is excluded by the REA data filter material type , the system issues a warning message.
However, you can still create the packaging.
REA enables you to use REA-specific packaging groups as an input help when you create packaging. A packaging group combines multiple, individual
packaging items so that they represent all packaging components of an article. You can assign a packaging group to any number of articles. Note that
changing a packaging group automatically updates the associated master data of all assigned articles.
In addition, REA includes consistency checks that verify the accuracy of your packaging data and determine possible sources of error.
Note that at least one internal fraction must be assigned to a packaging item. An internal fraction can be assigned to a packaging item in one version only
once. In addition, you must assign recycling partners to the packaging. Packaging, internal fractions, and recycling partners must be within the same, valid
settlement period.

Example
Packaging can be a bottle but also the box in which the bottles are transported. Therefore, multiple packaging items can be assigned to an article. You sell a
mixed-goods pallet with various types of wine. The boxes are secured in the warehouse by shrink-wrap. You can assign bottles and boxes uniquely to an
article, but the shrink-wrap around the pallet cannot be divided among the individual articles. Therefore, the use of the shrink-wrap is not determined using
billing documents. Instead, the actual consumption is used, that is, the stock withdrawals for the material number shrink-wrap are evaluated using material
withdrawal documents.

1.4.1.5 Article

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The completed product that is marketed by a (production) company, which also holds responsibility for the product. An article master record contains all
information required to manage an article and forms the basis of the contract between your company and a recycling partner.

An article has several properties that are relevant for price determination and the declaration system of the recycling process. You use the article to organize
all necessary information by combining it using corresponding assignments (for example, to packaging or recycling partners), regardless of the level of
granularity in the assignments. Using these assignments, you can easily and transparently define articles that, for example, comprise 5 packaging items with
12 fractions that must be settled with 7 recycling partners.
To do this, you assign the relevant recycling partners and packaging to an article. Articles and recycling partners must be within the same, valid settlement
period.
If multiple recycling partners are assigned to an article, you can use license fee splitting to divide the packaging settlement among the individual recycling
partners, depending on the business process. An article can then be entered in a declaration using the declaration system.
REA enables you to use bills of material as input help when you create articles. Bills of material can be used to summarize and group the various components
of a product. For example, consider the product wine bottle as a bill of material to which the various components (glass, label, wine, and so on) belong. If you
also want to use the bill of material to process the packaging that belongs to a product, REA can access bills of material to model the REA article wine
bottle, and use the material type from the bill of material to filter out the packaging and assign it as REA packaging.

Note
If you want to create an article for a material, the system uses a REA-specific data filter to check whether the selected material type has to be included in
REA. If the data filter excludes a material, the system issues a warning message. You can still create the article.

The article information that is relevant for REA generally includes the base units of measure and the weight or volume. Since REA uses the material master as
a basis, it does not allow you to process an article in a unit of measure that is not defined in the material master as an alternative or base unit of measure.

Note
If a material is marked for deletion in the standard SAP material master, you can still create and edit a REA article for it. However, the system issues a
corresponding message during processing.
If you delete an article, all versions of the article are deleted. Deletion is not possible if the article is still referenced by reference articles.

You can also reference existing articles (known as REA reference articles). This makes the processing of master data easier. The referencing article then
assumes all or certain properties of the referenced REA article. If the referenced REA article changes, the reference articles also change.
You can use the consistency check to verify the accuracy of a large number of articles and determine possible sources of error (that is, whether certain entries
in the article master record or assignments are incorrect or missing). When you save the article, the system checks the consistency of the saved data. It then
issues the result of this check as an information or error message.

Example
You sell bottles of perfume. You create the article perfume in version 0001 . For a special promotion during the festive season, you add a red bow to the
bottle. In REA, you therefore create the perfume as additional version 0002 for the month of December . For the time after this validity period, REA
automatically creates version 0003 of the article, which again has the properties of version 0001 .

1.4.1.5.1 Reference Article

A special form of an article to simplify the processing of REA master data by means of reuse of existing data records. One or more reference articles
reference a REA article. The referencing article then assumes all properties of the referenced article. If the referenced article changes, the reference articles
also change.
You can use an article referencing type to specify the validity of company codes and state boundaries for each reference. That allows you to select a different
referenced article depending on the company code or country.
You also use the article referencing type to specify whether the reference is dependent on an activation. If the activation is independent of the activation of the
referenced article, you can set the activation separately using an indicator (status Active or Inactive). The status indicator is only ready for input if the
article referencing type Activation is independent.

Example

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Article Referencing: Article B References Article A

Bottle A already exists in the REA master data. You want to add another bottle B to the REA master data. You know that bottle B only differs from bottle A in
two fractions (plastic B and glass B). To simplify manual data entry, you can copy over the master data from article A to the new master data record for article
B using article referencing. Now you only need to change the plastic and glass fractions from type A to type B in the article master and you have completed
the data entry for the new article B.

1.4.2 Data Entry

You require REA data entry to enter and edit all relevant data for REA reporting centrally. REA facilitates fast and direct input of REA-relevant master data and
execution and evaluation of declarations. There are two different procedures available for this, which differ mainly in their handling:
Standard data entry using the SAP GUI
Lean data entry using Web Dynpro ABAP
The portal provides the most important REA functions via a central interface based on Web Dynpro ABAP and SAP GUI for HTML.

Prerequisites
To be able to use the portal functions, you must install SAP NetWeaver Business Client and assign the relevant roles. By assigning an Enterprise Portal role,
you specify for each REA portal application which users can open and use each portal function.

Features

Standard Data Entry


The prerequisite for being able to use the reporting functions is that the corresponding master data must exist. There are a range of transactions available to
edit the recycling master data, for example, Create Packaging (transaction J7L5) and Create Article (transaction J7L1). To use them, you have to call each
transaction individually in the SAP Easy Access menu under Sales and Distribution Billing Recycling Administration .
When you have created all the necessary master data, use the central transaction Create REA Declaration (J7LMS) to start creating the REA declarations.
Depending on your SAP authorization concept, each user can use a different range of functions in REA.

Lean Data Entry


On the basis of a Web-based interface (Web Dynpro ABAP) and four REA-specific roles, you can perform the classic tasks for managing master data in REA
using optimized work steps. Data entry is simplified not only by a central interface, but also by the fact that a user with the respective role can execute
different functions (transactions) in the same work step.
Lean data entry also makes increased use of REA reference articles and provides appropriate input help. You can therefore select articles you already created
from a list of favorites and transfer their data to a similarly structured article. Finally, you simply need to enter the differences manually, for example, different
dimensions for a bottle.
Lean data entry optimizes the editing of REA master data and reduces your master data management effort.

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Note
The following functions are available in Web Dynpro ABAP only in SAP GUI for HTML:
Checking the consistency of the REA master data
Information about the splitting of the license fee
Displaying changed declarations

The following four predefined roles each define a specific task profile with the corresponding visible fields on the interface and the respective functions:
Superadministrator Master Data
The person with the highest administrative competence for REA. The Superadministrator Master Data has full authorization for managing REA master
data and declarations, including control and analysis functions.
Person Responsible Master Data
The person who enters the master data in REA and keeps the data up-to-date in the product life cycle.
Compliance Manager
The person who controls, analyzes, and optimizes the state of all products throughout their life cycle. The Compliance Manager role is a special variant
for creating reports based on internal and external requirements in the recycling administration (REA) process.
Financial Accountant
The person who evaluates REA data, checks REA declarations, and carries out follow-on activities. These activities can be canceling REA declarations,
transferring declarations to accounting, and posting them there.
For more information about lean data entry in REA, see SAP ERP SAP ERP Cross-Application Functions Roles Business Package for Recycling
Administration in SAP Library.

1.5 Recycling Contract Management

You use recycling contracts in REA for any recycling partner to model all necessary data and contract conditions (such as payment method, payment form,
declaration form, or price lists) that form the settlement basis between your company and the recycling partner.

Prerequisites
To organize the contract data between a REA company and the recycling partner, you have completed the following activities:
Process vendor
Since a recycling partner is a logical extension of a vendor master record in REA, you must first create the vendor master record.
Process recycling partner
In the master data for the recycling partner, define all attributes and their characteristics that are required according to the contract with the recycling
partner (for example, fractions, REA conditions, or splitting). The focus is on documents that have to be created as contract elements for the recycling
partner in reporting and that also form the basis for fee payment.
Make Customizing settings
Configure the following settings for the recycling partner in Customizing:
Assignment of recycling partner fractions to internal fractions
Special conditions that are used as item discounts in the price list
License fee splitting
Data filter
Trade level
For more information, see the respective documentation in the IMG activities for Sales and Distribution under Billing Recycling Administration
.
Process price list
In the price list, you define conditions for a specific period for the keys recycling partner , country , and company code .

Features
You manage recycling contracts on the basis of recycling partners, their price lists, and their relationship to one another.
In the recycling partner, you define all contract data for a company or an institution to which you report environmental issues or with whom you have to settle
articles.
In the price list, you define the price data provided by the corresponding recycling partner. The system refers to these price lists when calculating the costs for
your company.
Using versioned price lists, you can assign several price lists to one recycling partner. The system then uses the price list version that, for example, is
required for the period of a periodical declaration.

1.5.1 Splitting

The Recycling Administration (REA) component enables you to define specific rules to calculate and split the license fee between multiple recycling partners:
The license fee is split between two or more recycling partners
Individual sales areas are excluded fully or partially from the fee calculation
Individual REA packaging is settled fully or partially and exclusively with one recycling partner
Individual compliance systems are depicted
Purchasing transactions are excluded fully or partially from the fee calculation
Splitting the license fee is dependent on the business process, the recycling partner settings, and the REA master data.

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Prerequisites
The requirements depend on the method of splitting used:
In Customizing for Sales and Distribution, you have made the settings for the respective method of splitting used under Billing Recycling Administration
Condition Types and Splitting :
Splitting between recycling partners at article level
You have authorized all recycling partners involved for this method of splitting. You have therefore set the indicator Use Splitting .
You have authorized all recycling partners (with the key combination recycling partner/company code/country) for splitting between recycling
partners (the SF indicator is set).
Regional processing
You have set the Regional Splitting indicator for the recycling partner.
The recycling partner must then be activated for regional processing in a sales or purchasing area in Customizing for REA. If the recycling partner
is to use regional processing at article level, the RG indicator must be set.
Splitting with an additional recycling partner
Recycling partners can be used for regional processing only if you have set the Add. Splitting indicator.

Features
Splitting is based on splitting factors. The splitting factor is a percentage that specifies which portion of an article is to be settled with a recycling partner.
This value is specified for each recycling partner and is independent of time. REA condition types allow you to define splitting factors that are time-
dependent. In this case, the splitting factor is modeled by a combination of condition types. The overall percentage of a splitting factor can be divided into
individual percentage values, which are each assigned to a condition type key. You can calculate these sub-percentages separately within a REA
declaration, and therefore precisely determine the effects on the license fee calculation.
Condition types have a condition type category, which specifies the fee calculation level on which the condition can be used. For splitting, you can use only
conditions of category Quantity Condition (M) .
REA distinguishes between three splitting methods:
Splitting between recycling partners at article level
Splitting between two or more recycling partners at article level enables you to settle an article independently of its purchasing or sales area so that the
license fees are divided among the recycling partners involved according to the splitting quotas. The system can (optionally) check whether 100% of the
license fee has been settled.
Regional processing
Depending on the purchasing or sales area, the system settles the license fee for the article according to the splitting quota of the relevant recycling
partner. The system does not check whether 100% of the license fee has been settled. You configure regional processing in Customizing for REA. You
can then override the Customizing settings by entering new settings at article level.
Splitting with an additional recycling partner
Splitting with an additional recycling partner means that specific packaging for an article can be settled exclusively with one recycling partner according
to the splitting quota. Settlement is dependent on the purchasing or sales area. You can configure this splitting method so that any unsettled license
fees are either forfeited in part or in full, or assigned to another recycling partner in part or in full. You can also use this splitting method to automatically
assign all license fees that are not settled at company code level to a recycling partner.
For more information about condition types and splitting, see the documentation for the corresponding IMG activity in Customizing under Sales and
Distribution Billing Recycling Administration Condition Types and Splitting .

Activities
As a rule, REA calculates the splitting of the license fee for each article in two stages:
1. The individual splitting factors of all recycling partners involved are calculated using predefined access schemas.
2. The actual splitting quota to be settled for each assigned packaging is calculated using article, recycling partner, and Customizing data.

Note
Each recycling partner can participate simultaneously in multiple splitting methods. All three splitting methods can be combined with one another, although
specific rules must be adhered to.

Example

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Variants When Splitting Fees

On the one hand, with recycling partner DSD you can settle 100% of the packaging seal , including the associated fractions. On the other hand, recycling
partner XXX settles 100% of the packaging bottle , including the associated fractions.
However, you can also settle all fractions with DSD and XXX based on different quotas (60% to 40%).
REA is designed so that you can choose any recycling partners for any article. You can choose to recycle an entire article with one recycling partner or have
individual packaging recycled by the recycling partner with the most favorable rates.

1.5.2 Recycling Conditions

Recycling conditions are time-dependent percentages that the system uses as reductions or surcharges in price determination.

A recycling condition is uniquely defined by the condition type. The condition type category defines the location in which the condition is taken into account in
price determination. REA distinguishes between the following condition type categories:
Quantity condition that changes the percentage of the quantity flow
Price condition that changes the percentage of the fraction price through the relationship with a special condition type
Header (or customer-specific) condition that changes the percentage of the overall license fee
If you use splitting methods in REA to determine prices, you can define the splitting that is actually time-independent time-dependently using REA condition
types.
For more information about condition types and splitting, see the documentation for the corresponding IMG activity in Customizing under Sales and
Distribution Billing Recycling Administration Condition Types and Splitting .

Note
The recycling conditions and the SD/MM conditions differ from one another. You can use both condition concepts with REA independently of or in
combination with one another.
REA can generate SD/MM conditions and provide them with SD/MM price determination if you want to calculate the value of an article, packaging, or
material. Recycling conditions, on the other hand, are a time-restricted reduction or surcharge when calculating the fee with a recycling partner.

1.6 Declaration Administration

The declaration recipient is the respective recycling partner of an article. Based on the legel requirements, the contractual relationship with your recycling
partner governs in detail which data the declarations are to contain and at which intervals they are to be submitted.
Creating declarations is the central process of Recycling Administration (REA) . All information that you manage regarding the REA article and the recycling
contracts for the recycling partner is consolidated in declaration administration and forms the basis of the declarations to be issued. On the basis of movement
data (such as goods issues) and recycling master data, REA generates declarations and posts them (FI document).
The declaration regarding quantity flows is made at the level defined by your recycling partner, which may be that of fraction, packaging, or article.
REA supports various declaration types. You use the respective document category to define which declaration the system manages by which declaration
type.

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If declarations are incorrect, you can cancel them and recreate them.
REA can issue the data to be declared either electronically in the form of data medium exchange (DME) or as a form. For the declaration, REA first generates
a document that is posted in the REA declaration system. You can then generate the required documents from this document in accordance with the
requirements of the recycling partners.

Note
PDF-based print forms are set up as standard in the output routines for creating declarations for your recycling partner. To improve handling, you can
exchange the existing Smart Forms for PDF-based print forms. For more information about this exchange, see SAP Note 1344918.

Process
To organize declarations for the recycling partner, complete the following process steps:
1. Prepare declaration
You choose your selection criteria (for example, periodical declaration) and data sources with which you want to specify the type of declaration in more
detail. Once you have entered the framework parameters, the system checks the consistency of the fields Recycling Partner, Company Code, and
Country. Upon successful completion of these checks, you select a document category and enter further data in the form of single criteria, depending
on the document category.
2. Execute the declaration
You can start the actual declaration run in the foreground or as a background job. To check the results, we recommend that you first perform a test run.
If the result is OK, you can start the productive run. The system then updates the corresponding REA document.

Note
If you want to carry out another productive run at the same time, you must first cancel the documents from the previous productive run.

3. Generate document for recycling partner


You specify whether the system is to issue the document as a hard copy or as an electronic copy in the format specific to the recycling partner.
Documents and data medium exchange of a productive run correspond to the regulations contractually agreed with the recycling partner and can be sent
to the recycling partner directly. In a productive run, the system generates version-based declaration keys and stores them in the article master.
4. Generate document in Financial Accounting
As a result of the declaration run, the system forwards the corresponding financial amount to SAP Financial Accounting.

1.6.1 Recycling Declaration Type

The detailed format of a declaration, specifying how the associated setup, calculation, and content of the declaration is to look for the recycling partner. A
specific declaration of this type is based on a contract agreed between your company and a recycling partner.

Declarations are created and managed in the Recycling Administration (REA) component as documents using the declaration system, and are transferred to
the recycling partner at regular intervals. Once you have generated a declaration (for the declaration types periodical declaration, declaration consolidation,
and assortment declaration), the system saves the declaration result and if necessary generates the appropriate FI document.

Structure
REA supports various declaration types that the system uses to create the respective declaration depending on the document category.
Periodical Declaration
The system generates a declaration including all article, packaging, or fraction quantity data based on the following criteria:
Movement data from Sales and Distribution (SD billing documents) or Materials Management (MM goods issue) in the SAP standard system and the
recycling contracts
The selection criteria you entered, for example, data filter or splitting methods
In your periodical declaration, you provide your recycling partner with the information and totals for each fraction from the period under consideration. For
example, you declare five tons of glass and three tons of paper for all declared articles as the quantity flow. In this quantity-based declaration, the system
considers fraction discounts, item-dependent fees, and other price calculation parameters (for example, splitting). You can check this data at individual
document and item level.

Note
So that the system does not have to calculate the quantity flow for packaging from the individual billing documents during the periodical or final annual
declaration, which would be extremely time-intensive, you can use the Logistics Information System (LIS) or Sales Information System (SIS) of the
standard SAP system.
You can create an information structure with the characteristics and key figures relevant for REA.
You can configure the update for billing documents, taking into account the data filters and basis article master information defined in REA.

Declaration Consolidation
The system combines multiple periodical declarations into one document and can then post this in a consolidated format.
Declarations are consolidated to minimize the effort required to create declarations that are valid across several periods, whereby the system accesses
periods already declared and generates a new, common declaration from them.
Assortment Declaration
The system searches the recycling master data (for example, packaging) for new items, changes, and deletions, and then generates a list based on the
assortment of changed master data. The declaration can be for a period or a key date.

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Note
An assortment declaration is a special type of declaration from Duales System Deutschland (DSD) .

Annual Prepaid Declaration


Based on your estimates, you manually enter the quantity of fractions or volume/area classes in the system in advance. Your estimate is the basis of the
prepaid declaration to the recycling partner. As the recipient of this declaration, your recycling partner can then plan a whole year ahead.
Possible variances between the declarations based on estimates and the data actually collected during the period in question are identified in the periodical
declaration.
Mid-Year Prepaid Declaration
A subtype of the annual prepaid declaration, in which the period under consideration is less than 12 months. This allows you to document estimates (for
example, for the next six months) in declarations, which your recycling partner (as the recipient of these declarations) can include in planning.

1.6.2 Sustainability Report

You can use this report a special type of declaration to collate specific data on packaging materials with respect to their sustainability. The sustainability
report is mainly intended to comply with industry standards that require reporting on the sustainability of products and their packaging in the product life cycle.
In contrast to the standard reporting functions, fees or price lists are not relevant for the REA sustainability report.

Features

Standard Sustainability Declaration


With the REA sustainability report, you can create detailed lists of important REA data according to the type and quantity of each of the packaging materials
used and the articles to be reported, and make them available to third parties.

Note
If you want to create a sustainability report, proceed in the same way as to create a declaration (transaction J7LMS). Choose a document type for
sustainability and continue the process with a test run or a production run.

The sustainability report is predefined to contain many required items of information already available in SAP REA.
For example, the sustainability report issues information on the following parameters:
Material
Volume and unit of volume
Sales unit
Number of packaging materials
Primary packaging fraction

Customer-Specific Sustainability Report


If you want to run further evaluations on the subject of sustainability, there are a number of BW extractors available that provide SAP NetWeaver Business
Warehouse (BW) with the REA data required for the report from SAP ERP. In BW, you can then create your own BW content with this REA data together with
data from the BW system.

Note
Note that REA does not provide its own BW content.

The following BW extractors are available:


Extractors for Movement Data
REA extractor for assortment declarations (0REA_ASSORTMENT_DECL_TD)
With this extractor, you can extract the REA declarations for an assortment declaration or a sustainability report with the respective contents. The
system controls the delta process used for the selection of the current declarations using the created-on or changed-on date.
REA extractor for cost analysis (0REA_COSTANALYSIS_TD)
This extractor provides cost information about REA articles, independent of a REA declaration. In contrast to a declaration, the extracted data is not
based on saved REA documents, but is determined at runtime by the system depending on the selection parameters. You can select billing documents,
material documents, and their corresponding info structures as the data sources. If you use the interface for external data, this can also be used as a
data source.
REA extractor for declarations (0REA_DECLARATIONS_TD)
With this extractor, you can extract REA declarations that are not classified as assortment declarations and are to be taken into account for analysis for
sustainability in SAP NetWeaver Business Warehouse. The system controls the delta process used via the created-on or changed-on date.
Extractors for Master Data
With the following extractors, you can extract REA master data in SAP NetWeaver Business Warehouse as attributes, if necessary with the corresponding
texts. The BW system loads the complete master data in accordance with the selection criteria.
REA extractor for fractions (0REA_FRACTIONS_ATTR)
With this extractor the internal REA fractions are extracted.
REA extractor for fractions (short text) (0REA_FRACTIONS_TXT)
With this extractor the texts for the REA fractions are extracted.

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REA extractor for partner fractions (0REA_FRACTIONS_PARTNER_ATTR)
With this extractor the REA partner fractions are extracted.
REA extractor for partner fractions (short text) (0REA_FRACTIONS_PARTNER_TXT)
With this extractor the texts for the REA partner fractions are extracted.
REA extractor for material characteristic groupings (0REA_GROUP_ATTR)
With this extractor the internal attributes in REA for the grouping of material characteristics are extracted.
REA extractor for characteristics groupings (short text) (0REA_GROUP_TXT)
With this extractor the text elements for the material characteristic groupings are extracted.
REA extractor for partners (0REA_PARTNERNAME_ATTR)
With this extractor the names of the partner are extracted as an attribute.
REA extractor for partners general data (0REA_PARTNER_ATTR)
With this extractor the country-specific master data for the partner information is extracted.
REA extractor for partner names (text) (0REA_PARTNER_TXT)
With this extractor the names of the partner are extracted.

1.7 Analysis of Recycling Processes

Recycling Administration (REA) provides extensive reporting functions that enable you to analyze the recycling processes with your recycling partner more
effectively and optimize the cost of recycling in your company. The reports are based on the principle of data aggregation, thus enabling the relationships and
dependencies between any packaging and articles requiring settlement to be displayed more transparently. You can use this information, for example, to
identify ineffective cost structures and implement countermeasures to leverage savings potential.
REA provides a large range of parameters (such as sales organization or billing type) so that you can configure your analysis individually and check your
recycling costs across the board.
You can display the results of your selection as an ALV grid control or an ALV list.

Note
If you choose ALV grid control, you must first have restricted the selection criteria to one recycling partner in one company code and one country.

Prerequisites
You have configured the necessary authorizations for the REA info system role (SAP_EP_ISREA_INFO) in the role maintenance settings (transaction PFCG).

Note
You must have the necessary authorization to include all of the required data in the analyses. Note that if you have insufficient authorization, the system
still includes the relevant data records in the respective analysis, but they are not displayed in the output lists.

Features
The reporting functions are divided into four groups:
Analysis of aggregated recycling master data
Analysis of REA-specific assignments
Analysis of changed master data
Analysis of cost structure
Analysis of aggregated recycling master data
This type of report analyzes data at the level of the individual master data types (for example, all materials with the sales unit PAL ).
To enable you to do this, various selection criteria are available for all REA master data. These can be combined in any way. The system groups the result in
a list (ALV grid control) using the selected criteria and therefore provides you with a complete overview (unlike standard master data maintenance, which
provides an individual overview of a single material). From the list generated automatically by the system, you can branch to the respective master data record
and make any changes there directly.

Example
You select all recycling partners with whom you work in Germany (country key DE ). From the results list, you branch to the master record of the
respective recycling partner, where you can make changes (for example, include the weight-dependent fee when calculating a price).

Analysis of REA-specific assignments


This group of reports analyzes the relationships between master data types (for example, articles and recycling partners).
REA master data is linked using assignments. By analyzing REA-specific assignments, you can obtain an overview of the assignments that you made when
organizing articles, packaging, or contracts.
Each entry in the list represents a time-dependent combination of article and packaging within the set of hits.

Note
As a rule, the system displays only those assignments that are completely within the selection period. By default, the system fills the Valid From field
with the current date and the Valid To field with December 31, 9999.

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Assignments and Their Dependencies in REA

Analysis of changed master data


This report returns a list of any changes made to articles or packaging in the standard SAP system, provided that these changes affect REA. Any standard
SAP tables, objects, or fields can be taken into consideration. Depending on your selection, you can generate an interactive list that displays all changes to
standard SAP fields that are relevant for you.
REA master data is based on standard SAP master data. Since changes to the standard SAP master data can have an effect on REA, it is important that
your company is able to identify these changes and respond to them appropriately.
On the one hand, you can search the REA master data for changes to articles and packaging by analyzing standard SAP change documents using predefined
criteria. On the other hand, you can check the standard SAP master data, which is necessary since changes that are made in the material master may have
an effect on REA articles and packaging.
Based on your selection criteria, the system generates a list of all changes made to articles or packaging in the standard SAP system, provided that these
changes have an effect on REA. If necessary, you can branch to the respective REA master data from this list and make any necessary changes to the data.

Example
A change report states that the gross weight of an article has changed. Once you have determined the reason for this, you may have to change the
definition of the packaging if, for example, a different seal is used for the article. This may affect the data that is to be reported to the recycling partner.

Analysis of cost structure


This group of reports provides a detailed analysis of the cost structure. The system can break down the license fees due at the level of REA master data
(article or packaging) and identify them separately (price analysis of articles and packaging). It can also do this based on the underlying movement data.
REA can analyze the movement data as follows:
Based on REA master data (cost analysis of articles and packaging)
Based on movement data (customer analysis)
You can also examine the standard SAP conditions created by REA.
This group of reports summarizes several analysis tools for various monetary themes:
Cost analysis
These reports provide an overview of costs for individual or multiple articles and packaging over a freely definable period.
Unlike article and packaging administration, where you manage individual articles or packaging, you can use these analysis reports to examine your
recycling costs across the board.
Price analysis
These reports display the cost structure based on existing master data for the article or packaging. In each case, the system displays the price on a key
date for the respective recycling partner.
Note that the system does not include splitting agreements, since these are dependent on the distribution channel and therefore the movement data (for
example, goods issue).
Condition analysis
This report enables you to select, display, and evaluate the Sales and Distribution (SD) and Materials Management (MM) conditions that are
generated by REA.
Customer analysis
This report is used for customer-based evaluations of individual billing documents or information structure billing documents from the logistics or sales
information system (LIS/SIS) of the standard SAP system. Depending on your selection criteria, the report can display the following information in a list:
Data about the article quantity flows to be settled
Data about the fraction quantity flows introduced with the article quantity flow

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Data about the license fees to be settled, based on the article and fraction quantity flows
Data about the customer hierarchies, based on the article and fraction quantity flows

1.8 Consistency Check

The consistency check enables you to check the accuracy of your data and localize possible sources of error. The system checks to ensure that all data
relating to an article, bill of material, and packaging exists and complies with the settings defined in Customizing, and to determine whether this data can be
settled.
From the results list, you can branch to a detailed display. For each article version, packaging version, or packaging group, the system lists all recycling
partners. It also shows whether the existing data can be settled or whether a correction is required. To facilitate the analysis of the data and any errors, the
system also provides information about correcting the problem.

Prerequisites
In Customizing, you have defined the settings for issuing the consistency check under Billing Recycling Administration General Control
Define Consistency Check and Log File for Declaration .
The data for which you want to check the consistency is already saved. The system does not check data from test runs.
Consistency is checked depending on the period. Make sure that the periods of the assignment versions for packaging, recycling partners, and
dependent price lists to be checked are identical.

Features
The system can carry out the check for all recycling partners of an article or packaging, or restrict the check to individual recycling partners. The result is
displayed as a traffic-light icon.
The following consistency checks exist:
Collective and individual checks for articles
Collective and individual checks for packaging
With a collective consistency check, you can check multiple articles and packaging at once, and if required, in relation to a recycling partner. From the list of
selected articles and packaging, you can branch from each line to the respective individual consistency check, which lists all declarations in detail (for
example, Price information for int. fract. X: incomplete ).
You run the collective consistency check for packaging from the SAP Easy Access menu for Sales and Distribution by choosing Billing Recycling
Administration Packaging Consistency Check (transaction J7LKCV).
You run the collective consistency check for articles from the SAP Easy Access menu for Sales and Distribution by choosing Billing Recycling
Administration Article Consistency Check (transaction J7LKC).

Example
You sell the article milk and settle this with recycling partner DSD . There are two price lists for this article:
Price list version 1: valid from November 14, 2005 through December 31, 2005
Price list version 2: valid from January 1, 2006 through November 13, 2006
The consistency check returns a positive result (green traffic light) for price list version 1 of the article milk , but not for price list version 2 (red traffic light).
The system also informs you that the corresponding price list for this period has not been created in full for the associated recycling partner. You can now
switch to the price list (transaction J7LP) and make the required changes. The system has optimally indicated all sources of error and enables you to find the
error more easily.

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