SAP Globalization Services

Letter of Credit and Bank Guarantee Localization Solution - MENA

Ahmed Khalifa
Localization Product Manager
 Technical Release Information and Prerequisites:
Prerequisites: perform an Add-on installation on SAP ERP 6.0 with Enhancement Package 6 or 7.
Software Package: MEEXIM and EXIM_CORE
Software component: LOCINLOG
Role: EXIM_MENA
Message Component: BC-UPG-ADDON & XX-CSC-OM-EI
It can be downloaded from SAP Software Download Center browsing to support Packages and Patches Browse our Download Catalog
Country Specific add-ons & Legal Changes SAP ERP LOCINEXIM SAP ERP LOCINEXIM 1.0 Comprised Software Component Versions
LOCINLOG 606 Support Packages

More technical details about the solution has been added to the following of SAP notes
Phase 1
Support Package: SP04 (phase1)
1733618 ,2105996

Phase2
2175309

2015 SAP SE or an SAP affiliate company. All rights reserved.

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

Letter of Credit Bank Guarantee

q Manage the letters of credit in imports process - from application to
creation, amendments and closing.
q Create letter of credit application while referring to purchase orders
q Manage the status of a Letter of Credit while it is sent for approval
internally or to a bank
q Capture the essential dates in a Letter of Credit and manage the
usage and validity
q Manage amendments to a Letter of Credit in values and validity
dates
q Post FI documents for any changing of the status in Letter of Credit
(create, amendment and close) considering the bank charges of each
status.
q Record incoming letter of credit
q Create letter of credit without letter of credit request
q Liquidating of letter of credit
q Manage the bank guarantee in exports process - from application to
creation, amendments and closing.
q Create bank Guarantee application while referring to sales orders
q Manage the status of a Bank Guarantee while it is sent for approval
internally or to a bank
q Capture the essential dates in a Bank Guarantee and manage the
usage and validity
q Manage amendments to a Bank Guarantee in values and validity
dates
q Post FI documents for any changing of the status in Bank Guarantee
(create, amendment and close) considering the bank charges of each
status.
q Record incoming bank guarantee
q Create bank guarantee without bank guarantee request
q Generate bank guarantee request form
q Liquidating bank guarantee

2015 SAP SE or an SAP affiliate company. All rights reserved. 3

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

2015 SAP SE or an SAP affiliate company. All rights reserved. 4

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

Manage the letters of credit in imports process - from application to creation,

amendments and closing.

Close LC LC Request
Close LC
Incoming
5 1 Choose PO/s
Post LCFI document Create LC request
Generate request
form
Internal Approve

Outgoing
LC Amend LC Bank Approval
Create 4 2 Send to
Amend Bank
Request Approved by
Amend LC Bank
Approve
Create LC
Post FI Add LC details
document 3 Add Bank Charges
Internal Approve
Post FI document

2015 SAP SE or an SAP affiliate company. All rights reserved. 5

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

Manage the incoming letters of credit for Export Process

Incoming LC Amend Close

incoming LC incoming LC
Close the LC
Export process Extend the LC after deliver all
Assign SO/s Increase or shipments to
Capture decrease the the customer
Incoming information amount

LC
Verify the
validity dates

2015 SAP SE or an SAP affiliate company. All rights reserved. 6

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

Manage the bank guarantee in exports process - from application to creation,

amendments and closing.

Close BG BG Request
Close LC 5 1 Choose SO/s
Post FI document Create BG
request
Generate
request form
Outgoing Internal
Approve
BG Amend BG Bank Approval
Create Amend 4 2 Send to Bank
Request Approved by
Amend BG Bank
Approve
Post FI
Create BG
document Add BG details
3 Add Bank Charges
Internal Approve
Post FI document

2015 SAP SE or an SAP affiliate company. All rights reserved. 7

Letter Of Credit and Bank Guarantee Solution Overview

The localized product Letter of Credit and Bank Guarantee is developed to help all organizations that have import and export
operations

Manage the incoming Bank Guarantee for Import Process

Incoming BG Amend Close

incoming BG incoming BG
Export process Extend the BG Close the BG
Assign SO/s Increase or after receive all
Capture decrease the shipments
information amount from the
Incoming Verify the
vendor

BG validity dates

2015 SAP SE or an SAP affiliate company. All rights reserved. 8

Thank you

Ahmed Khalifa

Localization Product Manager

Globalization Services
M +971 56 656 2575
E ahmed.khalifa@sap.com

2015 SAP SE or an SAP affiliate company. All rights reserved.