What is open item management?
Open item management is the process of tracking individual transactions as outstanding until they are matched and cleared. It is commonly used for customer, supplier and selected balance sheet accounts where finance teams need to know which specific amounts remain unresolved.
An item is open after it has been posted but before an offsetting or related item has been matched and cleared against it. Once clearing takes place, SAP records the clearing information and the item is no longer included in the open-item balance.
How is open item management used in SAP?
Customer and vendor accounts are managed using open items. Selected G/L accounts can also be configured for open item management, including:
- Bank clearing accounts
- GR/IR clearing accounts
- Payroll clearing accounts
- Other accounts where individual debits and credits must be matched
Open item management is generally relevant to balance sheet accounts. It is not required for every G/L account because many accounts are reviewed by period balance rather than by clearing individual transactions.
How does open item management work?
A typical process is:
- A transaction is posted to an open-item-managed account.
- The item remains open and contributes to the outstanding balance.
- SAP or a user identifies the related offsetting item.
- The items are selected and cleared.
- SAP records the clearing document and clearing date.
Example: A temporary balance is posted to a clearing account when money moves between two bank accounts. The outgoing and incoming entries remain open until both sides are available and can be cleared.
Why do open items remain uncleared?
Items may remain open because:
- The corresponding transaction has not yet been posted
- References differ between the two entries
- Amounts do not agree
- Items sit in different accounts or company codes
- A payment difference or exception requires review
- Standard clearing criteria do not identify the relationship
Large open-item balances can therefore include both valid timing differences and items that need correction.
How can open item clearing be automated?
Standard SAP supports manual and automatic clearing. Standard automatic clearing works well where items meet the configured criteria, but complex relationships across fields, accounts or company codes can require additional processing.
The BEST Open Item Clearing module supports automated matching and bulk clearing directly within SAP. It can apply flexible matching rules across company codes, balance sheet accounts, customer accounts and vendor accounts. Exceptions remain available for review.
Frequently asked questions
What is the difference between an open item and a cleared item?
An open item is still outstanding. A cleared item has been matched with one or more related entries and contains clearing information in SAP.
Is open item management the same as open item clearing?
No. Open item management is the way SAP tracks outstanding items. Open item clearing is the process used to match and clear them.
What is extended open item management?
Extended open item management is an SAP S/4HANA capability for selected G/L accounts, including GR/IR accounts. Its behaviour and prerequisites differ from standard open item management and should be reviewed before activation.