12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
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SAP Threeway Match
Functionality & configuration
March 19, 2012 | 1,876 Views |
Madhavan Krishnamurthi
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MM (Materials Management)
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Scope of the Blog:
The purpose of the blog is to provide the overview of three way
match Functionality & how SAP configuration can be utilized to
achieve three way match functionality. SAP Three way match is one
of the most common Purchase to Pay Business Process for Direct
Materials (Stock Items) which exists across all industries.
SAP Three-way match overview:
The Quantity & Price is matched between PO, GR & IR. (Three
Levels)
SAP Three way match is based on PO Line item (If a PO has
multiple line items, Three way match is achieved in each line
https://blogs.sap.com/2012/03/19/sap-threeway-match-functionality-configuration/ 1/11
12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
items)
Buyer of the Purchase order ensures three way match in SAP &
Buyer resolves the discrepancy by correcting PO,GR or IR.
SAP Provides configuration & Reports (MRBR Report) to
achieve three way match Functionality during Business
transactions.
Configuration for Three-way Match
The Configuration for Three way match is done in the Following path is
done in the following path.
SPRO-> Materials Management-> Logistics Invoice Verification->
Invoice Block-> Set Tolerance Limits
Configuration for Quantity Variance (Q):
Tolerance Key DW:
Tolerance Key DW blocks the Invoice when there is no corresponding
GR for a line item of a PO.
It prevents the invoice to be paid immediately to vendor.
Example:
PO Qty -100
Vendor Provides Invoice first for 100 Qty .
GR is Posted after few days of invoice Posting
Result:
As soon as the invoice is posted in the system the invoice gets blocked
due to DW tolerance key & doesn’t allow the system to pay the invoice
immediately. The Blocked invoice appears in MRBR report & Buyer of
the Purchase order takes the suitable Decision to ensure three way
match.
https://blogs.sap.com/2012/03/19/sap-threeway-match-functionality-configuration/ 2/11
12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
Tolerance Key DQ :
Tolerance Key DQ Blocks invoice when there is Quantity discrepancy
Example:
DQ tolerance Config-5%
PO Qty-100
GR Qty-100
Invoice Qty-150
Result:
Since the invoice quantity is higher than the PO quantity the invoice
gets blocked due to DQ tolerance Key. The Blocked invoice appears in
MRBR report & Buyer corrects the discrepancy by taking suitable
organisational decisions.
https://blogs.sap.com/2012/03/19/sap-threeway-match-functionality-configuration/ 3/11
12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
Configuration for Price Variance (P)
Tolerance Key PP:
Tolerance Key PP compares the price between purchase order &
invoice with the Tolerance limit specified in the configuration.
Example:
PP tolerance in Config-200 $
PO Price -1000$ Qty-1
GR-Qty1
Invoice Price- 1400 $
Result:
Invoice is blocked since the Invoice price is higher than the PO price
(More than Tolerance Specified.) The blocked invoice appears in MRBR
report & Buyer corrects the discrepancy by taking suitable decisions.
https://blogs.sap.com/2012/03/19/sap-threeway-match-functionality-configuration/ 4/11
12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
Configuration for Order Price Quantity (OPQ)
SAP provides two Tolerance Keys Tolerance Key BR (IR before GR) &
Tolerance Key BW (GR before IR) to address the order price quantity
scenarios.
Tolerance Key BR (IR before GR) :
Invoice gets blocked if the Order Price Quantity variation is more than
the value specified in configuration.
The system compares the ratio between quantities invoiced in order
price quantity units: quantity invoiced in order units Vs quantity ordered
in order price quantity units: quantity ordered in order units
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12/2/2016 SAP Threeway Match Functionality & configuration - SAP Blogs
MRBR (Program RM08RELEASE)Report
This report is run by Buyer of the Purchase order (Purchasing group wise)
to verify the list of invoices blocked due to Quanty & Price variance for a
given company code.
This program doesnot remove the block if the discrepancy is not
resolved.The best pracce is to run this report in background by company
code so that the program removes the block automacally aer the
correcve acon taken by Buyer.
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23 Comments
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Arvind Kumar
April 4, 2012 at 10:00 am
Good one!!
Carlos Wagner Moçatto
https://blogs.sap.com/2012/03/19/sap-threeway-match-functionality-configuration/ 6/11
