What is the Concept of Dunning Area.

Concept of Dunning area: The standard procedure for configuring and carrying out the process of dunning is at company code level, we generally assign dunning procedures, dunning levels and other configuration steps at company code level. There is a concept called dunning area which is used when the dunning configuration is to be done below company code level for example at business area or segment level or at an organizational unit level. This is generally used for the organizations which are involved in production of complex or bulk products generally fertilizers, bulk drug chemicals or pharma products. Dunning area helps you to configure the settings below company code level.

The path for defining a dunning area: is financial accounting new---- accounts receivable and accounts payable----business transactions----dunning----basic settings for dunning---define dunning areas.

After creating the dunning area one has to define the dunning procedure in the above specified path and then assign the dunning procedure to the dunning area. Once this configuration is complete the dunning procedure key is to be assigned to the customer master records in the correspondence tab page which are to be considered for dunning.