SAP S/4HANA Finance Process – New Additions, Changes, Features and Functionality

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Overview

Objective of this document is to give the Basic overview of S/4Hana features. This document covers GL, AR, AP ,Asset and other topic in S/4Hana. Only Basic things are covered with some Screenshots. Content of this document is original and screenshots are taken from system.

This blog covers below topics.

A. Benefits of S/4Hana with Few examples

B. Value Addition

C. Scope

D. Detail Explanation.

A. Benefits of S/4Hana with few examples.

Process efficiency

Elimination of Transaction type configuration for ABSO transaction code.
Introduction of LTMC functionality

Faster closing

Addition of Controlling period in OB52.
AJRW step eliminated.
ASKB step eliminated

Web based version.

Fiori Apps for each process.
Mobile/Tab login.

Cumulative/Graphical reporting.

Analytical Apps in Fiori for Accounts Receivable/Payable, Asset Accounting, General ledger.
Graphical Apps for each module.

Cloud version.

Option to shift from On Premise edition to cloud version.
Reduced Infrastructure Dependency.

Faster Processing

Introduction of ACDOCA table.
Elimination of many tables.

System independence.

Laptop/Computer dependency reduced.
Document posting irrespective of Geographical location.

Ease of Master Data creation.

Cost element/ GL creation step merged.
Bank master creation in Fiori.
Vendor/Customer merged in BP.

Enhanced Document Details

Asset details in Depreciation posting document.
Accounting Principle Document posting.
Ledger Specific Settlement.

……….and many more.

B. Value Addition

C. Scope.

D. Detail Explanation

Fiori

Fiori is the new feature introduced in S/4Hana. Purpose of Fiori is to provide web based posting in S/4Hana. Mobile base application is also available. You can access any Fiori apps from your desktops/Laptops/Tablets and Mobiles. Below screen shot is related to Fiori. This scenarios have to be activated by technical team before it can be used through below screen. When you double click on any box, it will take you to the transaction screen.

When you double click on Manage G/L Account Master Data, below screenshot appears. In same way other scenarios can be used.

Gl Accounts

In S/4Hana, GL accounting features have been modified to accommodate cost element features. Previously Cost element has to be created in CO through KA01. Now in S/4Hana, FS00 have option to create the Cost element.

In below screen, there are 4 options. Balance Sheet Account, Non-operating Expense, Primary cost or Revenue and Secondary Costs. Now no need to use KA01 transaction to create Cost element.

If option Primary Cost or Revenue is selected, field for cost element category appears. This field have same value as cost element in Controlling.

If you see below path for cost element, transaction code FS00 is appearing instead of KA01, KA02 and KA03.

Table

ACDOCA table has been introduced in S/4Hana which have all the fields which were in separate tables before. BSIS, BSAS, BSID, BSAD, BSIK, BSAK, BSIM table and many more are now obsolete. They are available in system but will not be used further. Even FAGLFLEXA is obsolete now.

Below is the screen for ACDOCA table

If you see below screen, all important fields like Cost Centre, Profit centre, Segment, Purchase document, Sales order, vendor, customer, Asset Number, Personnel number are in one table. This will benefit for creating reports and any ABAP developments.

Customer

In SAP S/4Hana, transaction code for Customer have changed to BP. If you see below screenshot, Transaction code is FD01. If you click on it, this will take you to transaction Code BP.

Below screen appears for Customer. Here you have 3 options – Person, Organization and Group.

If you see on left hand side, it shows you as Business Partner. One business Partner can have multiple roles like MM, FI, SD, etc.

Vendor

In SAP S/4Hana, transaction code for Vendor have changed to BP. If you see below screenshot, Transaction code is FK01. If you click on it, this will take you to transaction Code BP.

Below screen appears for Customer. Here you have 3 options – Person, Organization and Group.

If you see on left hand side, it shows you as Business Partner. One business Partner can have multiple roles like MM, FI, SD, etc.

Central Finance

Central Finance is the new concept introduced in SAP S/4Hana. This new concept will bring revolution in the world of consolidation. This revolution will be in the form of Cost as well as time. With Central Finance concept, it’s now no need to acquire new software for consolidation. Central finance itself can connect will multiple system and bring data in the system. This will be real time. Central Finance will connect with SAP as well as Non SAP system. Best part of Central Finance is the drill down option. There would be source system and Target system. Any document posted in source system will flow to Target system with new document number. If you click on new document number it will take you to source document number. Also real time reconciliation feature is available in Central finance. This denote that data in your source and target systems are in sync.

Asset Accounting

Below are few important points for Asset Accounting in SAP S/4Hana.

Delta Depreciation area is no more needed.

Each ledger will have one depreciation area in Asset Accounting. Each ledger will have Accounting principle assigned to it. Each Depreciation Area will have Accounting Principle. If Depreciation area is not created for corresponding ledger, system will give error.

ASKB transaction code is redundant now as all depreciation area will be real depreciation area.

Depreciation posted document will have asset number in it. In S/4Hana, it’s easy to track the depreciation document for each Asset. Previously amount was coming in totality and it was difficult to track the same.

In ABSO, ABZO, ABUMN and many other transactions Accounting Principle and Depreciation area field are available. This are new fields.

Asset Balance carry forward step is not required any more. Once you transfer GL balance, Asset balance will also be transferred. Problem is there would be dependency on GL team to do the Carry forward. In large organisation Asset teams are separate and they can execute AJRW on their own. But this is a good feature as less transaction code have to be managed.

In S/4Hana, there is an integration/Link between FI and Asset Accounting document. Please see below screenshot.

Also it has an option of displaying document for different ledgers. Please see below screenshot.

Transaction code which are not in S/4HANA – AJRW, ABUB,ABMW, ABB1, AB02, ABF1, ABF1L, AW01_AFAR,OASV, ASKB, ASKBN, ABST, ABST2, ABSTL

LTMC

In ECC, LSMW was used to upload the Data in the system. This includes both, Master data as well as Transaction Data. But in S/4Hana, LSMW is not in use anymore. LSMW is replaced with LTMC. LSMW is not recommended to be used in S/4Hana.

In LTMC, ready data templates are available for upload. This is for Master data as well as Transaction data. With LTMC, it is easier to upload data in the system then using LSMW. Here there is no need to do recording for any object as ready templates are available. Even end user can also use this functionality.

Please refer blog https://blogs.sap.com/2020/01/18/ltmc-s-4-hana-replacing-lsmw/ for detail steps.

To conclude, S/4Hana is upgraded to exclude most of tables and synchronizing many transactions. Also addition of Central finance to it will make S/4Hana more successful than it is supposed to be.

Please pardon if any points is missed out. I hope you like this document.

Regards

CA Zunaid Hingora

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