Lesson 2 of 5
Credit master data: segments, limits and risk
10 min
In SAP Credit Management, everything about a customer's credit sits on the business partner. To take part, a business partner needs the role SAP Credit Management (UKM000). The data then has two parts: a credit profile that describes the customer as a whole, and one or more credit segments that hold limits and exposure.
The credit profile
| Field | What it does | Great Lakes Fleet Services |
|---|---|---|
| Rule for score and credit limit calculation | Which formula calculates the score and, optionally, the limit | Contoso's rule for domestic fleet customers |
| Score | A number expressing creditworthiness, with a validity date | 78, valid until year end |
| Risk class | A classification derived from the score, for example low, medium, high | Medium risk |
| Check rule | Which credit check steps apply to this customer's documents | Standard check: static limit plus oldest open item |
| Customer credit group | A grouping that, with the document credit group, decides when checks run | Fleet customers |
The credit profile. Values are fictional.
You can display and maintain this in SAP GUI with UKM_BP, or in the Fiori launchpad with Manage Credit Accounts, which shows the credit profile, segments, limit utilization and links to credit limit requests. The role itself is added in Manage Business Partner on the Roles tab.
Credit segments and limits
A credit segment is the unit credit is managed in. It can represent a company code, a country, a division or any grouping the business wants. Each segment has its own credit limit and its own exposure. Every segment is linked to a main credit segment, which holds the customer's total limit across all segments. A credit check can therefore fail on the segment, on the main segment, or on both.
Which segment a sales document belongs to is determined by configuration, typically from the credit control area of the sales area. For Contoso, sales area 1710 / 10 / 00 maps to the US alternators segment. If the mapping is wrong, an order is checked against the wrong limit, so include segment assignment in your tests.
Limits, validity and blocking
- A credit limit can carry a validity date. After it expires, the check rule decides what happens, for example treating the limit as zero.
- A segment can be flagged as blocked in credit management, which stops new business regardless of the limit.
- Limits can be changed directly by an authorized user or through a credit limit request, which records the requested amount, reason and approval. The Manage Credit Limit Requests app supports multi-level approval where configured.
- Scores can be calculated by rule and refreshed periodically; the risk class follows the score.
- RequestSales asks to raise Great Lakes Fleet Services' segment limit from $250,000 to $300,000
- Credit limit requestCreated with requested amount, segment and reason; status new
- ApprovalCredit analyst and, above a threshold, the finance manager approve; validity set
- Limit updatedThe segment shows $300,000 and the change is documented
- Next orderThe credit check uses the new limit
New customers deserve a deliberate default. When Contoso creates a new fleet customer, does it get the credit role automatically, and with which limit: zero, a small starter limit, or a limit calculated from its score? A zero default is safe but blocks the first order; a generous default is convenient but risky. Whatever the business decides, write it down, make it part of the customer onboarding process, and test it with a brand-new business partner, not only with long-standing customers like Great Lakes Fleet Services.
What would you do?
After migration, Maria finds that a new Contoso order for Great Lakes Fleet Services is checked against a limit of $0, although the customer had a $250,000 limit in ECC. What should she check first?
- A business partner needs role UKM000 (SAP Credit Management) to take part.
- The credit profile holds score, risk class, check rule and customer credit group.
- Limits and exposure are per credit segment, with a main segment for the total.
- Use UKM_BP or Manage Credit Accounts; change limits through controlled credit limit requests.
Check your understanding · not graded
Lesson check
1. Which business partner role is needed for SAP Credit Management?
2. What is the main credit segment for?
3. What is the risk class derived from?
4. Which app shows a customer's credit profile, segments and utilization?