SAP PFMS PAYMENT USER

MANUAL

SAP PFMS User Manual

Project Name eDISHA Project

Document Name End User Manual – SAP PFMS Payment Procedure

Prepared By (Author) Akhilesh Kumar

Prepared On 02-12-2020

Type of Document End User Manual - PFMS

Module FICO

Revision History

Version Date Updated Action* Name Summary of Major Reviewer

Number (dd/mm/yyyy) Changes Made
1.0 02-12-2020 Author Akhilesh Initial document Abhijit Kulkarni
Kumar created.
1.2 23-01-2021 Changes as Akhilesh Reviewed by MoC Naveen Coomar
suggested Kumar

1.3 02-02-2021 Changes as Akhilesh Reviewed by PMU BB Choubey

suggested kumar

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Table of Contents

1. Objective 3

2. Understanding Memorandum of Payment 3

3. Features

3.1. Create Vendors 11

3.2. Change Vendor Bank Details in SAP 13

3.3. Update vendor Details in PFMS 14

3.4. Create Sanction Transaction 15

3.5. Sanction Approval by DDO 17

3.6. Change Details of Sanction (Revoke Functionality) 22

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1. Objective

Process of Project creation, Schedule H creation, Bill creation etc. has been automated in
MoRTH using ERP-SAP. PFMS is also integrated with ERP-SAP.

The document is intended to provide required guidelines to use newly deployed integrated
system. Before automation and integration, the Bill Sanction and its approval was being
done directly in PFMS after entering the data manually. Now the Sanction generation and
approval would be done on ERP-SAP and pushed to PFMS automatically for further
processing. In PFMS, working process will remain same.

Target Users

a) PD (Project Director)

• Create Vendor
• Change Vendor Bank Details in SAP
• Update vendor Details in PFMS
• Create Sanction
• Change Sanction details (revoke functionality)

b) DDO (Drawing and Disbursement Officer)

• Sanction Approval
• Change Sanction Details revoke functionality.

2. Understanding Memorandum of Payment (MOP)

PD would be able to initiate the PFMS Sanction for Payment once the MOP is
Approved by PEA (Project Executing Agency) and DDO. Below is the MOP screen to
understand the bill.

Transaction Code- ZMM_MOP

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Hit Enter

Click on Execute button as shown below:

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Please input the PS Number (Payment Schedule Number) and RA Bill No. as above.

Click on execute button ( ), keep the options as Display Mode.

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Please check the Gross amount here and then deductions as specified in the MOP, for
reference a printout of the MOP can also be taken.

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We can click on Print Form as per the Screenshot below to get a PDF copy as well.

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So as per the MOP there will be a bill of INR 3360 and a 60% withheld of INR 2016 as per
above bill.
So Net Payable = Gross – Deduction
i.e., 3360-2016 = 1344 is the bill Amount.
Since We have the gross payment amount and deductions applicable so we can proceed for
the generation of the PFMS sanction, to be initiated by Project Director (PD).
Go to Transaction code –> ZFI_Sanction, by typing in the Transaction code box on SAP
Screen as shown in the image below and then hit Enter.

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Hit Enter
The Following Screen Will Appear

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3. Features

• Create Vendors on PFMS Screen (For registering the vendor to PFMS and get
Unique code from PFMS)
• Change Vendors bank Details SAP (For changing details in Vendors like Bank
Accounts etc.)
• Create Sanction (For the Purpose of Generating the Sanction Letter by PD)
• Change/Approve Sanction (For Modifying details in Sanction Letter or Approval
by DDO)
• Display (For Displaying Sanction created Earlier)

3.1 Create Vendors (PFMS System)

Transaction Code – ZFI_Sanction

Click on Create Vendor and Execute

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The following screen will appear, please input the RA Bill number of related bills as below
& Hit Enter.

When we enter RA Bill No., and hit Enter, Vendor details with bank account will come
automatically from vendor master (maintained in SAP).
Update the City and Beneficiary type.

Save the details. After saving, it will go to PFMS system for updating the vendor details
in it. If Vendor is available in PFMS, it will return Unique Code to SAP.
New Bank Account number can also be added/updated, using update Vendor Master in
SAP. For that change, please exit the above screen and open the following Transaction.

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3.2 Change Vendor Bank Details in SAP

Transaction Code – XK02

If there is a need of changing bank details or other parameters into the vendor master, user
needs to modify the SAP Vendor change transaction.

Hit Enter

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Update or Add the new Bank Account Numbers SAP and hit Enter, following screen will
appear.

Click on Yes and Vendor details will be updated.

The following message will appear.

Again, we can switch back to Sanction Screen to carry out the vendor create transaction.
3.3 Update vendor Details in PFMS
Transaction Code – ZFI_Sanction

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Click on change vendor and execute. Click on Execute button.

When it is Saved, the values will be transmitted to PFMS for saving/Checking vendors in
PFMS it returns the Unique Vendor number maintained in PFMS.

Once Vendor has been created successfully, next step would be Sanction generation for
PFMS.
For Sanction Generation, Next step would be “Create Sanction.” PD needs to generate the
sanction in SAP.
2.4 Create Sanction Transaction

Click on Execute

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Put the RA Bill number and Hit enter.

If you put a RA Bill for which sanction has already been generated, system will flag an error.
Do the selections, Certain fields will be automatically fetched from MOP.
1. PFMS Vendor Number
2. Sum Amount i.e., Gross amount to be paid.
3. Created By
and input the rest of details as per actual bills as specified below:

Remaining details need to be filled manually. All the fields are mandatory. Please select
Grant, Functional head, object head and category from the Drop Down.
Then select the bank Account number and then put Beneficiary Gross Amount.

Click on the Save button , The following screen will appear.

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Click on yes and the Bill will be submitted to DDO for Further Actions and Email will be
sent to DDO with RA Bill number.
Now DDO needs to login with his credentials and then Approve the Bill.

2.5 Sanction Approval by DDO

Now DDO needs to approve the sanction created by PD. He needs to login as below:
Go to Transaction code –> ZFI_Sanction, by typing in the Transaction code box on SAP
Screen as shown in the image below and then hit Enter.

Hit Enter
The Following Screen Will Appear:

DDO is required to select the Change/Approve Sanction radio button and then click on
execute ( ) button and input the RA Bill No as below:

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The details will be displayed as above screen, what needs to be verified by DDO and later
the Deductions needs to be input by DDO.
DDO will click on Deductions & Update the following by selecting against each box:

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Note: - The Agency charges and Labor cess will be maintained under PAO Suspense head.
DDO will update the Grant No. | Functional Head | Object head| Category | Amount |
Remarks.
Multiple deduction can be added here.

Then Hit Continue

If DDO found some discrepancy with the bill, he can return the bill back to PD by using
Revoke button, an email will be sent to PD with detailed remarks by DDO as below and bill
can be edited by the PD once again.

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If the bill is correct DDO can approve the bill and the same will be submitted to the PFMS
system.
The bill status will be set to “Bill Generated” and delivered to Dealing Hand Login as below.

Click on log In after entering UserId and password.

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Now from Left hand side click on Sanctions and Receive as below

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Note: SAP PFMS integration covers steps till DDO approval, post DDO approval, sanction
would be landed to PFMS system and will be available for post processes directly over
PFMS system.
As of now, As decided by Ministry, only project-based payments would be routed via SAP
PFMS Integration.

2.6 Change Details of Sanction (Revoke Functionality)

If In case the Bill is not Successfully submitted to PFMS i.e., it is not available at Dealing
hand Receive page, then SAP System will issue error message with concerned error.
e.g. -
Sum of Expenditure amount should be equal to sanction amount. Beneficiary-wise gross
amount should be equal to sum of deduction amount and net amount.
Or
Bill Number (BillReq4) already exists in PFMS for DDO_CODE (200124). Beneficiary-wise
gross amount should be equal to sum of deduction amount and net amount etc.

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In those cases, DDO needs to revoke the bill, with applicable comments. The RA Bill number
will be once again available for editing and then resend.
If the bill is not revoked by DDO and PD tries to resend the bill, then in that case the
following error will be displayed:

Sanction No is already Approved.

Note – Revoke functionality is only available till bill is not successfully landed to PFMS
system. Once the bill has already landed to PFMS system then we should not attempt to
Revoke the bill. Please use PFMS system to delete or edit the Sanction.

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Procedure of changing the Bill (Revoke Bill Functionality)

DDO needs to open the transaction ZFI_SANCTION

Choose Change/Approve Sanction.

And click on Execute ,

Provide the RA Bill number as below:

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And then Hit enter.

Now Click on Revoke button as Below:

A screen will appear where DDO can put his comment and hit enter. The bill will be
revoked, and an email will be triggered to PD for modification.
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Now the create sanction option is open for PD again for resubmitting the bill.

Now the PD can log in to the SAP system and open the transaction.
T.code – ZFI_SANCTION -> create sanction
Note: - Once Revoke is exercised by DDO, PD’s are requested to create the Whole
Sanction again via Create Sanction Option only and input details once again

Execute

Hit Enter

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Make the necessary changes and click on save.

Note – Please Do not hit enter, instead of that click on save button so that the values will be
updated.

Please check the following

• RA Bill no is same, but The Sanction no will be changed from 0012000057/001/001
to 0012000057/001/002 because PFMS system doesn’t accept duplicate values.
• Sanction Amount has been changed.
Click on Save button as below, do not hit enter.

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Click on save.

Now DDO have to login again and reapprove the Sanction.

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Click on Execute

Hit enter, the following screen will be displayed. DDO needs to Confirm the following :

Now DDO will add deductions as usual and at the end he will Approve the sanction. The
data will be sent to PFMS.
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The sanction has been created.

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