Table of Contents SAP S4/HANA Bank Account Management Bank Account Management In SAP S4/HANA Finance house banks are merged into Bank Account Management (BAM) in SAP Cash Management powered by SAP HANA Bank Account Management is provided in 2 versions. Bank Account Management lite (BAM) Bank Account Management Full version Bank Account Management Lite […]
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SAP S4/HANA Finance Accounts Payable
Accounts Payable in S4/HANA
Define Account Groups with Screen layout (Vendors)
Path: Financial Accounting-Accounts Receivable /Accounts Payable- Vendor accounts – Master data – Preparation for creating vendor master data – Define Account Groups with Screen Layout
Acct Group: MKV
Company Code data- Account Management – Reconciliation account is mandatory.
Create Number Range for Vendor Accounts
Path: Financial Accounting-Accounts Receivable /Accounts Payable - Vendor accounts – master data – Preparation for creating vendor master data- Create Number Range for vendor Accounts
External Number Range: MV
Assign Number Range to Vendor Account Group
Path: Financial Accounting-Accounts Receivable /Accounts Payable - Vendor accounts – master data – Preparation for creating vendor master data
MKV assign Number range MV.
Define Number Ranges (Business Partner)-HANA
Path: Cross Application Components – SAP Business Partner – Business Partner – Basic Settings – Number Range and Groupings – Define Number Ranges
Define Number Range MV
Define Groupings & Assign Number Ranges-HANA
Path: Cross Application Components – SAP Business Partner – Business Partner – Basic Settings – Number Range and Groupings
Grouping: MKV
No. Range: MV
Master Data Synchronization - HANA
Path: Cross Application Components- Master Data Synchronization – Customer / Vendor Integration – Business Partner Settings – Settings for Vendor Integration – Field assignment for vendor integration – Assign Keys – Define Number assignment for direction BP to vendor
This is because we want BP to act as FI customer.
Please refer SAP AP Tutorial: SAP AP
Create Business Partner / Create Vendor Master Data
Transaction code: XK01 – This takes to Tcode BP
In S4/HANA FI vendor is replaced with Business Partner to remove data redundancy. When Business Partner is created FI vendor is automatically created by system. Thus, SAP ECC transaction code XK01, XK02, XK03 are all replaced by transaction code BP
Business partner 6000000 created.
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SAP S4/HANA Finance Accounts Receivable
Changes in AR in S4/HANA
Customer Master replaced with BP. In ECC FI customer master is created in XD01 than extended to FSCM, Joint venture accounting etc. as Business Partner. This is data duplicity. In HANA FI Customer master created as BP. Now this BP can be saved in various roles like FSCM Credit Management, Treasury Business Partner, FI Customer master etc. This removes data redundancy and thus speed up SAP system performance.
AR Credit Management is replaced with FSCM Credit Management
Below steps to be followed to configure Accounts Receivable in SAP S4/HANA Finance
Activation switch for function
Path: Cross application component – SAP Business Partner – Activation switch for Functions
Define Account Groups with Screen layout (Customers)
Account Group determine number range of customer account and screen layout of fields in customer records.
Path: Financial Accounting -Accounts Receivable/AP- Customer accounts – Master data – Preparation for creating customer master data – Define Account Groups with Screen Layout
Acct Group: MK21
Company Code data- Account Management – Reconciliation account is mandatory.
Create Number Range for Customer Accounts
Path: FA-AR/AP- Customer accounts – master data – Preparation for creating customer master data- Create Number Range for Customer Accounts
External Number Range: HC, MC
Assign Number Range to Customer Account Group
Path: Financial Accounting-Accounts Receivable/AP- Customer accounts – master data – Preparation for creating customer master data
MK21 assign Number range MC
Create Customer Reconciliation Account
Transaction Code: FS00
Select Account Type as Balance sheet Account. Account group as Balance sheet. Sort key as 001 and Field status variant as G067. Shown below.
Define Number Ranges (Business Partner)
Path: Cross Application Components – SAP Business Partner – Business Partner – Basic Settings – Number Range and Groupings – Define Number Ranges
Define Number Range MC
Define Groupings & Assign Number Ranges
Path: Cross Application Components – SAP Business Partner – Business Partner – Basic Settings – Number Range and Groupings
Grouping: MK21
No. Range: MC
Master Data Synchronization
Here we map Business partner group to Customer Account group. Thus, BP automatically works as SAP FI customer
Path: Cross Application Components- Master Data Synchronization – Customer / Vendor Integration – Business Partner Settings – Settings for Customer Integration – Field assignment for customer integration – Assign Keys – Define Number assignment for direction BP to Customer
Create Business Partner / Create Customer Master Data
Transaction code: XD01 – This takes to Tcode BP.
In S4/HANA FI customer is replaced with Business Partner to remove data redundancy. When Business Partner is created FI customer is automatically created by system. Thus, SAP ECC transaction code XD01, XD02, XD03, VD01, VD02, VD03 are all replaced by transaction code BP
Save – BP#800002 has been created.
Now click the company code tab and enter Company code and Reconciliation account.
There are two different numbers.
1st is Business Partner number: 800002.
2nd is AR Customer number: 400001.
These are linked as per configuration done in earlier steps.
Now in the Business Partner you can create multiple roles like Clerk, contact, subsidiary etc. These are than linked to each other through relationship button. Please see example below
Define Tolerances (Vendors/ Customers)
Transaction code: OBA3
Tolerances up to which difference in payment to vendor invoices are automatically posted to expense or revenue accounts when clearing Open Invoices.
Payment terms for residual items, if posted during clearing
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SAP S4/HANA Finance Part 1
SAP S4/HANA Finance
S4/HANA finance is the most matured finance solution from SAP. Key advancement of S4/HANA finance over SAP ECC 6.0 as below:
Universal Journal
Material Ledger
Account based Profitability Analysis
New Asset Accounting
Group Reporting
Universal Journal
Universal Journal combine all financial information in one Table # ACDOCA. It is also called single source of truth. Each posting creates line item in Universal journal that combine data entered in different financial components into one single structure.
As you can see table ACDOC has fields from both Financial and Controlling module. Thus below tables have become obsolete in S4/HANA Finance
Table Index Tables Removed
BSIS Index for GL Accounts
BSAS Index for GL Accounts – Clearing Postings
BSID Index for Customers
BSAD Index for Customers – Clearing Postings
BSIK Index for Vendors
BSAK Index for Vendors- Clearing Postings
BSIM Index document for Material
FAGLBSIS Index for GL Accounts (New GL)
FAGLBSAS Index for GL Accounts – Clearing Postings (New GL)
FAGLFLEXA New GL Line-item table
ANEP Asset Line Items
ANLP Asset Line Items
ANEA Asset Line Items
Table Aggregate Tables Removed
GLT0 Classic GL Totals table
FAGLFLEXT New GL totals table
KNC1 Customer Master transaction figures
LFC1 Vendor Master transaction figures
KNC3 Customer Master Special GL transaction figures
LFC13 Vendor Master Special GL transaction figures
COSS Cost Total Internal Postings
COSP Cost Total External Postings
SAP has replaced above deleted tables with CDS views. This ensures existing custom program works. Customers existing investment in SAP is fully safeguarded.
Custom programs read access to these deleted tables is automatically directed to Universal Journal by CDS views
Material Ledger
Material Ledger provide valuations in multiple currencies and valuation principles. In S4/HANA it is mandatory to activate parallel currencies valuation functionality of material ledger.
Account Based Profitability
Profit center accounting is a tool used for management reporting. It provides financial statement in dimension other than company code. It provides below functionalities:
Provide profitability information based on the physical or management structure of the business.
Provide information and allow planning based on responsibility areas such as region, business function, or product.
Use a structure defined in terms of profit centers and arranged in a standard hierarchy Easily achieve a full profit and loss (P&L) statement by profit center.
In S4/HANA account-based profitability analysis is mandatory, whereas costing based profitability analysis is optional. Account based profitability analysis is fully integrated with Universal Ledger.
For details on SAP Configuration, Business Process, testing etc. in Profit Center Accounting please refer to tutorial: SAP Profit Center Accounting
New Asset Accounting
In SAP ECC new asset accounting is available as an add on. In S4/HANA new asset accounting is mandatory. It offers real time integration with Universal Journal. New asset accounting facilitates asset reporting under different accounting principles like IFRS, US GAAP, in real time
Now we will start configuration of S4/HANA Finance in SAP
Financial Accounting Global Settings
Create Company Code
Explanation: A company code is an organizational unit in SAP. It is a separate legal entity. Complete set of financial statements like Balance sheet, Profit & Loss account can be prepared of a company code.
Transaction code: OX02
Path: SPRO-ES-Definition – FA- Edit, Copy, Del Company Code
We can also copy from SAP standard Company code US01: EC01.
Company code: MK20, HPC
Define Field Status Variants
Field status variants hold the Field Status Groups in SAP. A Field Status Group defines the screen layout for a general ledger account entry. Based on your specification, the Field Status Groups determine which fields accept input during document entry (FB60, FB50, FB65…), as well as whether a field should be suppressed, required, and optional.
Tcode: OBC4
Path: SPRO- FA(N)-FAGS- Ledgers-Fields – Define Field Status Variant
FSV: HPC
Assign Company Code to Field Status Variant
Tcode: OBC5
HPC-HPC
Maintain Fiscal Year Variant
Fiscal Year means accounting year. An accounting year is a period of 12 months
The fiscal Year may be a calendar year (Jan to December).
Fiscal Year variant can be non-Calendar year. A non-calendar year fiscal year variant contains 12 months starting from any month and ending in next year, one month before the start month. For e.g., period 1 is April and end on 31st March. Also, it can begin from 15th April and end 14th April.
Year-end closing may require adjustment accounting entries which could be required to be posted in month after last period. To allow for these posting SAP allows for 4 special periods. Thus, a Fiscal Year variant can have maximum of 16 periods with 4 special periods. The special postings are a part of the last posting period.
Tcode: OB29
FSV: We will use SAP Standard K4
Please refer tutorial SAP Finance Enterprise Structure for more details on Fiscal Year variant
Assign Company Code to Fiscal Year Variant
Tcode: OB37
Define Variants for Open Posting periods
The benefit of defining variants to open periods is to avoid the problem of posting accounting transactions to the wrong period. This is achieved by opening current periods and closing all other periods. At the end of the current period, the period is closed and the next period is opened.
In SAP ERP, opening and closing periods are differentiated by account types. This allows you to determine which accounts are posted to a specific posting period. For example, posting can be permitted for accounts payable but not to accounts receivable.
As part of customizing opening and closing periods, the following items are defined:
Define variants for open posting periods.
Assign variants to company codes.
Specify open and close posting periods.
Tcode: OBBO
PPV: HPC
Assign Variant to Company Code
Tcode: OBBP
Open & Close Posting periods
Copy SAP Standard Variant 0001
Period 1: For posting to regular posting period.
Period 2: For posting to Special Periods. Periods 13 to 16 represent the special periods of four months for posting year-end adjustments to a closed fiscal year.
For each interval specify
Lower limit of interval
Upper limit of interval
Fiscal Year
Tcode: OB52
Activities:
Create a minimum entry for all posting periods that you want to be open (account type +).
If you want to restrict the periods further for specific accounts, complete the entries for account types or account areas.
If you want to limit user access, enter an authorization group for each time period 1.
Period 3: This is there only in S4/HANA. It is not required for greenfield implementation. It is used for migration/ brown field implementation. Period interval 3 is used for postings from Controlling (CO) to Financial Accounting (FI). Used for CO transactions that should not be posted to FI
Define Accounting principles
Path: Financial Accounting-Financial Accounting Global Settings – Ledgers – Parallel Accounting
In S4/HANA we can assign multiple accounting principles to leading ledger. So, there is no need for Non-leading ledgers in S4/HANA.
Deactivate Document Splitting
Path: Financial Accounting – GL-BT – Doc Splitting – Activate Doc Splitting
This is done to facilitate posting in initial implementation. Can be activated later.
Define Document Type for Entry View
Every posting in the SAP system generates a document, and the document remains open until it is cleared and archived. For example, when an invoice is posted in the system, the system generates a document and assigns a document number. The invoice remains in the system as an open item. When payment is received for the invoice, the amount received is entered into the system and cleared with the outstanding invoice. A document is uniquely identified using:
Document number: This is a unique number that is assigned to a document automatically by the system during document posting or manually by the user during data input.
Company code: This is your company’s identification code.
Fiscal year: This is your company’s accounting year code. This is usually a 12-month period.
A document has two main components. Header and Line Items. Header is made up of below fields
Document Date: This is the original document / vendor invoice date
Posting date: Date on which document is accounted in the GL account
Document Type: This determine the type of accounts (S, K, D,A) to which the document can be posted. It also control the field status of the document during entry
Company code: Legal entity to which the transaction belongs
Currency/ Exchange rate: If the document currency is different from company code currency system uses the exchange rate configured in the system. If we want a different rate to be used specify the rate in this field
Translation date: If system has to use an exchange which is different from the document date enter the date in this field
Period: This is derived from posting date. Documents can be posted only in open posting periods. Typically period is the month in which a document is posted. However a document can be posted in period 14 (special period) with a posting date of Dec 10, 2018 (Fiscal year = Calendar Year)
Reference: Generally external document number is entered here. Can be made mandatory in document type configuration
Transaction code: OBA7
Will use SAP standard.
Define Doc Number Ranges for Entry View
Tcode: FBN1
Copy Number Range from Company Code or Fiscal Year
Copy Number Range from Company Code from US01 to HPC: OBH1
Copy Number Range from Fiscal Year: OBH2
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