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FSCM Credit Management – Q&A

SAP S/4HANA FSCM Credit Management – Interview Questions & Answers (Complete Guide)

FSCM Credit Management – Q&A

1. What is the difference between Classic Credit Management and FSCM Credit Management in S/4HANA?
Classic CM uses OVA8 and traditional FI-AR structures. FSCM uses SAP Credit Management (FIN-FSCM-CR) with real‑time checks, BP-based credit master data, risk scoring, and integration with Collections & Dispute Management.
2. How is the Credit Master maintained in S/4HANA?
Through BP → Role UKM000 (SAP Credit Management). Key fields: Credit limit, risk category, credit segment, exposure.
3. What is a Credit Segment?
Used to maintain multiple credit limits for the same BP for different company codes or business areas.
4. What types of Credit Checks are available in S/4HANA FSCM?
Static check, dynamic check, maximum document value, oldest open item, overdue item, credit insurance, rating‑based, risk category check.
5. How does Credit Exposure work in S/4HANA?
Exposure considers: open orders, deliveries, billing, FI items, special liabilities, commitments. Data flows via UKM_TRANSFER and stored in UKM_ITEMS, UKM_BP.
6. How do you activate and integrate FSCM Credit Management with SD?
Activate FSCM in SPRO, assign credit segments, maintain BP role UKM000, configure BAdI UKM_R3_ACTIVATE, setup credit rules, integrate SD via OVA8 + BP Credit Master settings.
7. What is the role of Documented Credit Decisions (DCD)?
When a credit check fails, a DCD is created. Credit controllers review and release/reject via UKM_CASE or UKM_MY_DCDS.
8. What is the role of BAdIs in FSCM?
Common BAdIs: UKM_R3_ACTIVATE (switch from classic CM), UKM_CHECK_BADI (custom rules), FDM_COLL_SEND_ITEMS (FI integration).
9. How do you handle Temporary Credit Limit Increases?
Credit controller updates temporary limit with validity dates in BP → UKM000. System recalculates credit exposure instantly.
10. What is the Credit Status in Sales Documents?
Credit check happens in order, delivery, PGI. Status values: A = Not Checked, B = Passed, C = Failed.
11. How are Credit Blocks handled?
Failed checks block the document and create DCD. Credit controller releases via UKM_CASE.
12. How do you migrate credit data from ECC to S/4HANA?
FD32 data converted to BP (UKM000), exposure moved through UKM_TRANSFERP, CCA mapped to credit segments.
13. Difference between Static and Dynamic Credit Check?
Static: compares total exposure vs. limit. Dynamic: considers checking horizon and due‑in‑future items.
14. How do you configure Credit Rules in S/4HANA?
Define risk class, check rule, checking horizon, credit segment, and block types (A, B, C).
15. How does FSCM support Risk Management?
Uses risk categories, scoring, rating rules, workflows, and proposals for credit limits.

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