It is very important to have excel template to post massive line items in one transaction, in S/4 HANA 1709 On-premise we have two options for JV upload, they are
- Use “Upload General Journal Entries” Fiori app (App ID – F2548)
- Use “LTMC” – S/4HANA Migration Cockpit – Migrate your Data to SAP S/4HANA
1. Use “Upload General Journal Entries” Fiori app (App ID – F2548)
you can post journal entries by uploading a templated file that contains entry header and line item information. Postings can be made in all relevant ledgers for the accounts for which you are responsible. If not all the journal entries in a file are uploaded successfully, you must correct errors, copy the batch ID of the initial upload to the file, and then repeat upload. You can perform posting journal entries that are successfully uploaded. You can also navigate from the Post General Journal Entries app to the Upload General Journal Entries app by clicking the Upload New Entry button.
Click here to view the App on Fiori library
Click here to view App information F2548
2. Use “LTMC” – S/4HANA Migration Cockpit – Migrate your Data to SAP S/4HANA
Source : SAP
It’s high time to learn new Finance automation process and accept changes that comes with SAP Leonardo for faster decision making, adaptability, innovation, business acceleration, better outcomes.
Let’s go through the “Finance – Innovations”
- Universal Journal: Subsequent implementation of document split
- Parallel valuation: 3rd currency in Controlling and Cost of Goods Manufactured.
- Accounting: General ledger document split
- Financial Planning: Basic Sales Planning (Activity Price, Consumption)
- Cash Management: Bank relationship management including bank fee analysis; Improved Integration with Bank Communication Management and In-House Cash
- Machine Learning for Cash Application – Invoice Matching clear incoming payments by matching them with the corresponding receivables
- Soft close and prediction: Minimum closing time; Early insight into business trends
- Integration: Seller-side integration with Ariba Network (invoice and discount management); Cost center (SuccessFactors); Payment advice (Fieldglass); Ariba Pay/ Supply Chain Finance
- Central finance
- Shared Services in Accounts Payables/Receivables
- Central reversal and correction capabilities
- financial reporting scenarios
- SAP Fiori apps Roles
- Accounts Payable/Receivable Accountant
- Accounts Receivable Manager
- Controller (Production Costs, Credit)
- Treasury Risk Manager
- Asset Accountant
- General Ledger Accountant
- Inventory Accountant
Topic – 1: Universal Journal – subsequent introduction of document splitting
To fulfill the IFRS reporting requirements, you need to report your financial data at a lower level of detail than your company code. With this feature, you can introduce new account assignment objects, such as segment or profit center, and add these account assignments to your journal entries when you post them. To ensure that you have a complete reporting view of each account assignment object, the opening balance is enriched and split, per account. The enrichment of relevant accounting data is carried out in the project cockpit, according to the new account assignment information. To ensure correct processing of open items, at the time document splitting is active, this feature allows you to enrich open items.
Topic – 2: Machine Learning – SAP Cash Application Integration
SAP Cash Application is a cloud service that integrates with S/4HANA Cloud Edition as of 1702 and S/4HANA on-premises as of 1709 (hybrid model).
The integration to SAP Cash Application solution intends to automate the invoice-matching process and provide the prediction results back to the SAP S/4HANA system with the help of machine learning.
SAP Cash Application enables you to match open receivables to incoming bank statement items using machine learning.
In the finance area, and more specifically in the area of accounts receivables, incoming bank statement items are ideally matched automatically to open receivables such as invoices. Any manual post-processing of incoming bank statement items that could not be matched to open receivables takes time and effort. SAP Cash Application uses machine learning procedures to train financial applications in order to learn from manual matchings, and thus achieve higher automatic matching rates.
Key functionalities of SAP Cash Application:
⊕ Proposing open receivables for incoming bank statement items
You can schedule jobs to receive a list of Machine Learning proposals for matching receivables to existing bank statement items
⊕ Clearing incoming bank statement items.
You can schedule jobs to automatically clear incoming bank statement items based on Machine Learning proposals, if the following conditions are met:
- The matching rate of the proposal is higher than specified in the configurations
- The proposed receivables are still open
- All other clearing rules are fulfilled
⊕ Proposing customer accounts for incoming bank statement items
You can schedule jobs to receive a list of Machine Learning proposals for matching accounts to existing bank statement items.
- The matching rate of the proposal is higher than specified in the configurations
- The proposed account is a valid existing account
⊕ Posting incoming bank statement items
You can schedule jobs to automatically post incoming bank statement items to accounts based on Machine Learning proposals.
SAP Cash application detailed workflow:
Topic – 3: Intercompany Reporting
- Shows reconciliation amount and difference in object group for company and its partner
- Drills down to line item details
- Displays detailed information of document
- Shows the reconciliation processing status
- Navigates to reconciliation monitoring page for manual reconciliation
- Sends mail and reminder to contact person
Topic – 4: Profitability Analysis in the Universal Journal
Splitting Cost of Goods Sold in SAP S/4HANA
Enhanced functionality enables to split costs of goods sold during more processing such as third party or other processes with account assignment to internal orders or projects
COGS Splitting customizing has been adjusted
Previous COGS Split functionality which processed the splitting only for goods movements with reference to a sales order is still available
Splitting Cost of Goods Sold in SAP S/4HANA 1610 Screen and 1709 Screen
Topic – 5: Material Valuation in S/4HANA – Material Ledger
- Up to 3 currencies
- Tracking historic rates in material master
- Local legal valuation & e.g. hard or trading currency
- Actual Costing
- Optional revaluation of stock and COGS
- Leverage Actual cost component split
Source: SAP, JAM, ML, AI and Other.
Accounting and Financial Close
SAP’s accounting and financial close solutions streamlines the accounting for multiple companies, currencies, charts of accounts, and reporting standards. The solutions enable finance to efficiently close books on time, and create financial statements at the entity and corporate levels for IFRS, U.S. GAAP, or other local and global requirements.
- SAP offers a modern accounting system for finance teams needing to streamline core financial and closing processes to meet increasingly complex business and disclosure demands.
- It accelerates your company’s path to financial transformation by eliminating boundaries between transactional and analytical processes combined with proven excellence in accounting and closing capabilities.
- SAP Financial Closing cockpit = Transactions codes “FCLOCOx“
Top 10 Benefits of SAP Accounting and Financial Close Solutions
1. Lower Cost of Finance
Accelerated processes increase productivity and reduce cost. Automate manual steps to reduce staff workloads which lowers the cost of their work and increases productivity.
2. Accelerated Closing
Reduce cycle time via automation, integration and collaboration. Virtual soft close provides better insight at anytime from anywhere. Accelerate accounting by integrating GL, fixed assets, accounts payables, accounts receivables, inventory, revenue, and costs in real-time.
3. Real-Time Business Insight
Enables fast issue resolution and gets you closer to the business. Monitor in real-time the progress, quality, and financial results of the closing cycle to avoid bottlenecks and address business concerns
Closes the gap between insight and action. Achieve fast, multi-dimensional reporting without replicating information to a data warehouse Instant access anywhere with drill-down from the highest to the lowest level of detail.
Harmonize internal and external reporting without redundancy. Unify financial, regulatory, managerial and operational data in a single repository across multiple systems. Eliminate redundant data aggregation for easy analysis down to the lowest level of detail. Reduction of memory footprint through elimination of redundancy. Unite OLTP and OLAP together for simplified landscape, processes, and analysis.
6. Seamless Access
Self-service access to transactions and analytics anywhere, at any time. Past, present and future analysis at your fingertips to answer tough questions in briefings and meeting.
7. Modern User Experience
State-of-the-art user experience using the latest technology innovations. Intuitive end user training interfaces and guided processes eliminate complex teaching undertakings. Customize templates for event-driven closing tasks and collaboration.
8. Compliance You Can Count On
Efficiently meet the demands of complex compliance regulations. Generate high-quality financial statements and management reports required by international and local reporting standards.
9. Boundless Extensibility
Unlimited potential to extend system to customer’s specific business needs.
10. Foundation for Finance Transformation and Innovation
A seamless path to your finance transformation. Choose your path towards finance transformation with real-time software available in on-premise, cloud or hybrid options.
Reconciliation Functionality in SAP ERP
Execute Entity Close Tasks
Financial Closing Cockpit on Fiori
⊕ Cockpit to monitor the progress of the entity close via KPIs, also on a mobile device
⊕ Analyze the completion rate of closing tasks by multiple dimensions like region, country, company, milestone, working day, etc
⊕ Monitor the tasks delayed or in error with easy collaboration to respective task owners
⊕ Analysis of historic closing cycles
Source : SAP ™
Assets under Construction (AuC) are a special form of tangible assets. They are usually displayed as a separate balance sheet item, requiring separate account determination and their own asset classes. During the construction phase of an asset, all actual postings are assigned to the AuC. Once the asset is completed, a transfer is made to the final fixed asset.
Internal orders are used to capture the costs of AuC during the construction phase. Once the AuC is completed, the final asset is created in the appropriate asset class, and the internal order is set to complete. The next settlement transfers the AuC asset value to the completed asset.
Asset Under Construction Process:
|Asset Acquisition for Constructed Assets (External Procurment)|
|· Create Assets|
|· Posting the Closing Invoice|
|· Define Distribution Rules for Asset Under Construction|
|· Settle Asset under Construction|
|Asset Acquisition for Constructed Asset (Investment Orders)|
|· Creating Investment Order|
|· Releasing Investment Order|
|· Accounts Payable – Posting Invoice to Investment Order|
|· Monitoring Order Progress|
|· Asset under Construction Settlement (collective processing)|
|· Creating Assets for Complete AuC Settlement|
|· Maintaining Settlement Rule for Final Settlement|
|· Final Settlement of the Investment Order (Collective Processing)|
|· Completion of Investment Order|
1.1 Create Assets – Asset under construction
1.2 Create Assets – for Final Settlement
We have created two asset master records, one Asset under Construction and one for the final settlement.
1. 3 Posting the Closing Invoice – Acquisition without order – FB01
In this step, you post the acquisition from purchase with vendor.
1.4 Define Distribution Rules for Asset Under Construction AIAB
In this process step, you maintain the settlement rules for the Asset under Construction created in the previous steps.
You have maintained the rules for the settlement. The execution of the settlement is part of the periodic processing.
1.5 Settle Asset under Construction – AIBU
With the execution of this step, Assets under Construction are settled according to their settlement rules.
Note Under certain conditions, you may need to capitalize an asset under construction before all suppliers have presented their closing invoices. This can cause a few difficulties, especially if the closing invoice cannot be posted until the fiscal year following the capitalization of the asset under construction, and down payments were already posted to the asset under construction.
Initially, you post the down payment normally. If you then need to capitalize the asset under construction at the end of the fiscal year, but before the closing invoice is received, you post reserves for the total amount of the expected invoice. You post these reserves directly to the capitalized asset (external acquisition with vendor, transaction type 100). In the case where you plan to distribute the values from the asset under construction to several final assets, it makes sense to post the reserve to the asset under construction first, and then capitalize it. Whichever method you use, you must reverse the down payment on the asset under construction, because the down payment is not allowed to appear in the account for down payments to fixed assets. Instead, it must appear in the account for completed assets.
To settle the asset under construction, down payments must be cleared with invoice or forecasted invoice (reserve). The asset under construction can only be settled after this clearing
2.1 Asset Acquisition for Constructed Asset (Investment Orders /Internal Order)
2.1 Create Internal Order – KO01
2.2 Release Investment Order / Internal Order – KO02
This activity releases investment order.
2.3 Accounts Payable – Posting Invoice to Investment Order – FB60
In this activity, you can enter a supplier invoice without reference to a purchase order.
2.4 Asset under Construction Settlement – KO8G
In contrast to assessment, you cannot perform settlement across fiscal year boundaries. The system automatically determines the posting date from the posting period/fiscal year using the last day of the posting period. There are three processing types defined for settlement:
- Automatic: The system selects all the distribution rules for a sender.
- Periodic: All distribution rules with settlement types PER and AuC are selected. PER rules are applied first. In investment measures, this is followed by settlement to assets under construction.
- Partial capitalization: Use this processing type if you want to partially capitalize an investment measure which is not yet complete, that is, if you want to settle part of the overall cost to finished assets.
With this process step a periodic settlement is executed. All costs collected on the investment order will be settled to the automatically created AuC.
2.5 Create Internal order Settlement Rule – KO02
In this process step the settlement rules for the final settlement are maintained and the status of the investment order will be set to technical completed, which allows the final settlement of the order.
2.6 Final Settlement of the Investment Order (Collective Processing) – KO8G
The final settlement transfers the costs from the AuC asset to the completed asset and to the cost center as specified in the settlement rules. After the final settlement the balance of the investment order and of the AuC is zero.
2.7 Completion of Investment Order -KO02
In this process step the investment order is closed by changing its status to Closed.