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SAP S/4 HANA Finance

– Powered by SAP HANA

May 2016

Next Generation - SAP S/4 HANA Finance

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Training Details

Training Purpose

To gain SAP S/4 HANA Finance overview, and key points for SAP S/4 HANA Finance implementations/Migrations.

Target Attendants

FI-CO Consultants
Team leads
Project managers
FI-CO Business users

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Agenda

DAY 1

Introduction - 15 Mins
Overview of S/4 HANA - 30 Mins
Overview of S/4 HANA Finance - 120 Mins
Impact in General Ledger - 120 Mins
Impact in Bank Management - 30 Mins

DAY 2

Re-cap - 15 Mins
Impact in Controlling - 150 Mins
Impact in Asset Accounting - 90 Mins
Period End Closing - 15 Mins
Migration Roadmap - 30 Mins
Migration Cookbook - 15 Mins

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Agenda

DAY 3

Re-cap - 15 Mins
SAP FIORI - demo - 30 Mins
SAP LIVE access -105 Mins
Self reading / Live access hands-on - 60 Mins
Assessment - 60 Mins
Management update and closing note - 30 Mins

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Agenda Topic

Introductions

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Agenda Topic

Overview of SAP S/4 HANA

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Typical Challenges raised by CxOs……..

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How In-Memory Paradigm is Transforming IT & Business

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SAP ERP Evolution

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Roadmap : The Path to S/4 HANA - Simplified Enterprise Application for Business

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S/4 HANA – The next Generation Business Suite

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What Makes this possible?

In Memory Database … RDMS will never be supported for S/4 HANA
Support for Columnar Database tables
Ability to move logic to database layer via stored procedures

What Changes with S/4 HANA?

A complete rewrite of the old ECC code for that functional area, and includes moving application code down to the database as stored procedures
New data model with removal of all old tables, aggregates and indices to fewer columnar based tables – So Real Single Version of the Truth
Transactions are automatically enabled with new SAP Fiori front end for anytime, anywhere access
Real Time Operational Analytics on the ERP platform versus data latency with SAP BW reporting.,

Key Benefits?

Move OLAP back into ERP
Bring in many data sources from inside and outside the business into the HANA platform
Use Speed of In-Memory to match & cleanse data on the fly
Build business rules in the Platform to create a new Data Model and new processes
Optimization of business processes including removal of unnecessary steps, and some batch processing
Deliver actionable insight and innovation fast from “Big Data
Simplified User Interface via SAP Fiori

Key pre-Reqs

ECC on RDMS will only provide limited benefits versus S/4 HANA
Suite on HANA will provide some benefits
Full IT and Business Benefits from S/4 HANA and enablement of S-Innovations

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S/4 HANA – ERP Platform of the Future

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Hybris

Cloud4Sales, Cloud4Service

Ariba, Concur

SuccessFactors,

Fieldglass

HCM �(HR & Talent)

Marketing &�E-Commerce

Procurement�& Travel

Sales & �Service

SAP S/4HANA applications and extensions

Simple Finance (New)
Simple Logistics (New)
Industry & LOB Solutions (Core)

SAP HANA Platform

SAP Fiori User Interface (role-based user expérience for all devices)
HANA Cloud Platform (HCP) (DevOps Platform for SAP HANA Extensions)
Analytics Platform
Integration Platform (e.g. HANA Cloud Integration (HCI) for SaaS; BigData Integration)

(New Simple ERP)

People

Devices

Big Data

Internet �of Things

Business �networks

Social �networks

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SAP S/4 HANA – Delivers unique value to Business and IT

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Reimagined �Business Models

Simplicity to connect to people, devices, business networks

No more complex collaboration – all business connected

Reimagined Business Processes

Simplicity to focus on the essential tasks and change business processes

No more batch – �all processes in real time

Reimagined Business �Decisions

Simplicity to focus on the essential tasks and change business processes

No more manual consolidation – all decisions on the fly and at the highest level of granularity

Reimagined �User Experience

Simplicity to focus on the essential tasks and change business processes

Function oriented

Role oriented

System driven configuration

Reimagined System Configuration

Simplicity to configure the system with guided configuration

Reimagined �Data Model

Simplicity to reduce data footprint with in-memory technology – no indices, no aggregates, no redundancies

Traditional databases

In-memory platform

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Agenda Topic

Overview of SAP S/4 HANA Finance

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What is SAP S/4 HANA Finance (formerly SAP Simple Finance)

SAP Simple Finance is a comprehensive finance solution based on SAP HANA, available with SAP Business Suite 4 HANA, or S/4 HANA allowing “real-time” analytics at “most granular level” across all financial dimensions with a new data model and new user experience.

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It should not be interpreted as merely a simplified version of SAP FI/CO , contrary to what the name suggests.

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What is HANA

In-Memory is a technology that …

Allows processing of massive quantities of real-time data
Provides immediate results from analysis and transactions
Utilises main memory (RAM) of the system for faster processing

Column Based Storage

Relational Databases traditional use row-based data storage
HANA support both row-based and column-based storage, and is optimised for column-based
Colum-based storage has benefits such as faster data access, better compression, better parallel processing

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What is HANA?

Acronym for "High-Performance Analytic Appliance“
The HANA platform brings processes and analytics together, enabling clients to use real-time data for fast decisions and outperform the competition
HANA is a combination of technologies:

In-Memory data storage
Column-based storage
Optimisation and compression
Data logic moved from application layer to data layer

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SAP S/4 HANA Finance – Product View

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What’s in it for …..

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+ Simple Data Model

+ Reduced Data Footprint

+ High Data throughput

+ Multiple Deployment Options

+ Non-disruptive

+ Inline with latest trends

+ Single Source of Truth

+ Quick and Flexible Reporting

+ Accelerated Close

+ On the fly Capabilities

+ New functionalities

+ Integrated Planning

+ NextGen User Experience

Predictive Business data
Period Close Simulation
Fraud & Risk Management
Deeper real-time insights across organization
Support for Database platforms

…..much more

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Simplified Data Model

Classic approach: 2 tables, 8 materialized views and 9 materialized aggregates

materialized views: BSIS, BSAS, BSID, BSAD, BSIK, BSAK, FAGLBSIS, FAGLBSAS
materialized aggregates: GLT0, GLT3, FAGLFLEXT, KNC1, LFC1, KNC3, LFC3, COSS, COSP.

New Simple Finance approach: 2 tables with corresponding compatibility views

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S/4 HANA – Example of dramatic Simplification : Invoice Posting

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Universal Journal - Single Version of Truth

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Tables that are removed (now views)

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ANEA	Fixed Assets: Line items for proportional values
ANEK	Fixed Assets: Document header
ANEP	Fixed Assets: Line items
ANLC	Fixed Assets: Cumulative values
BSAD	Index for Customers (Cleared Items)
BSAK	Index for Vendors (Cleared Items)
BSAS	Index for G/L Accounts (Cleared Items)
BSID	Index for Customers
BSIK	Index for Vendors
BSIM	Index, Documents for Material
BSIM	Secondary index for documents on material
BSIS	Index for G/L Accounts
CKMI1	Index for accounting documents
COEP	Cost Line Items
COSP	Cost Totals for External Postings
COSS	Cost Totals for Internal Postings

FAGLBSAS	Index for G/L Accounts – New G/L (Cleared Items)
FAGLBSIS	Index for G/L Accounts – New G/L
FAGLFLEXA	New General Ledger: Line items
FAGLFLEXT	New General Ledger: Totals
GLT0	General Ledger: Totals
GLT3	Summary Data Preparations for Consolidation
KNC1	Customer master (transaction figures)
KNC3	Customer master (special G/L transaction figures)
LFC1	Vendor master (transaction figures)
LFC3	Vendor master (special G/L transaction figures)
MLCD	Material ledger
MLCR	Material ledger
MLCRF	Material ledger
MLHD	Material ledger: Document header
MLIT	Material ledger: Line items
MLPP	Material ledger
MLPPF	Material ledger

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Database Footprint Reduction (theoretical model)

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Non Disruptiveness

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Safeguarding customer investments

From the perspective of an ABAP program nothing changed (read access)
We provide so called “compatibility views”.
Via this views the select is redirected to the new persistency in HANA
In the example given, an access to table COEP is redirected via the view V_COEP to the new Universal Journal Entry
Consequence: Customer ABAP programs that read directly “COEP” via select statements continue to run as before

All programs with write access to those deleted tables replaced by CDS views will create issues and can not be used anymore without adaptation. Remove all write accesses in the views replaced by tables. Use the code inspector (note 1976487)

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Optimization by Code Pushdown Approach

Select orders data

Loop each orders

Endloop

UI display

ABAP

Select valid orders

Do aggregation

Do calculation

DB update

UI display

ABAP

Select valid orders

HANA

Select orders data

Do aggregation for all orders

Old

Code Pushdown

Loop aggregated data

Endloop

Do calculation

DB update

Traditionally, application logic is executed in the ABAP application server and data is copied between the data and application server. This is an expensive process for data intensive processes. With AS ABAP 7.4 for HANA , it is possible to “Push Down “ calculation intensive logic on data within the data set from the application server to the database server. SAP HANA database then performs the calculations and sends the resulting data set.

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In the traditional period close, the system created a list of valid orders and then looped through this order list to calculate e.g. WIP for each order in turn. This resulted in relatively small selects with an aggregation per order. This procedure did not benefit from the HANA architecture (in fact sometimes it was slower than on a classic database).

In the new approach, stored procedures on HANA are used to select the valid orders, then the costs per order and to aggregate this data so that it is ready for use in the relevant calculation <WIP calculation/variance calculation/results analysis>

Instead of performing a <WIP calculation> for each order in turn the system returns to ABAP to perform the calculation on the whole data set and update the tables with the results of the calculation. This results in significant performance improvements.

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New Capabilities

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Function	Business Value
New: Universal Journal	SAP’s new definition of “single source of truth” with a new data model that combines CO, FI, CO-PA and other financial data into one Universal Journal Entry, all represented in one line item table with full detail for all components. As all data is now provided real-time from this single journal, effort on period-end reconciliations and financial reporting preparation is expected to reduce.
New: Ad-hoc Capabilities	On-the-fly computations for converting periodic transactions, such as month-end activities, from batch to real time, without needing data to be replicated first to other systems like BI. Reporting is simplified, fast and multi-dimensional, making the “drill-down” reports almost redundant.
New: Accelerated Financial Close	The ability to move away from batch to event-based processing enables period end processes to be run on a daily or weekly basis. This provides a more real-time view of their P&L, providing the business with early visibility of emerging trends.
New: Integrated Business Planning in ECC	New, more user-friendly process to plan in Excel with real-time data and load plans back to ECC for reporting, with templates for Cost Centre, Internal Order, Project, Profit Centre, Cost of Sales, and P&L planning. With HANA Live!, real-time reporting on actual vs. plan inside ECC or Excel. Historically this was done in external SAP BW system with a time lag on actuals.
Replacement: New Asset Accounting	Mandatory replacement for old Asset Accounting with simplified posting logic and tight integration with Universal Journal.
New: Smart Cash Management	Optional replacement for Cash & Liquidity Management. Adds bank account management, short-term cash position & forecast reports, and real-time liquidity planning, allowing for tighter cash management (for optimising working capital). Provides on-the-fly reporting capabilities about cash position and liquidity forecast.
New: Smart Financials Reporting	Optional replacements for many of SAP’s traditional “drill-down reports”.
Replacement: Data Aging	A technical change that replaces SAP data archiving
Obsolete: Classic GL	Functionality will be completely replaced by New G/L. Classic GL is only supported up until Simple Finance is introduced.

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Recommendation for Customers Using Special Ledger

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SAP Cash Management Powered by SAP HANA

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Integrated Business Planning Powered by SAP HANA

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S/4 HANA Product Name

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Two new code lines – S/4 HANA Finance & S/4 HANA Enterprise Edition

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Versioning Scheme

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As of May 2015, SAP Simple Finance add-on 2.0 is named SAP Simple Finance, on-premise edition 1503
Additionally, the numbering of product versions has been changed.
SAP Note 2171868 provides the latest details.
Further, the name has been changed as below

Old Product Name	New Product Name	Technical Product Name
SAP Simple Finance add-on for SAP Business Suite powered by SAP HANA�	Currently available product version:�SAP Simple Finance, on-premise edition , cloud edition�– now renamed to SAP S/4 Finance	SAP SFINANCIALS
	SAP S/4 HANA Enterprise Edition ( This is the new product with S/4 FIN + Logistics ). Customer cannot choose only to activate S4 FIN in Enterprise Edition & not use Slog .	SAP S/4 HANA Enterprise Edition ( 1511)

Change of Product Version Numbers

Old Product Version Number	New Product Version Number
Simple Finance 2.0	1503 – Released
Simple Finance 3.0 ( May not be called by this name ) but 1605 as per new naming convention	1605 – (planned)

Product Version	Old SPS Number	New SPS Number
SAP Simple Finance 1503	SPS 00	Initial Shipment Stack
	SPS 01	SPS 1505
	SPS 02	SPS 1508
	SPS 03	SPS 1511
	SPS 04	SPS 04 ( released Feb 16)

For an intermediate period in time during 2015, Support Package stack numbers had been changed to reflect the month/year of availability.
This change has been reverted back to the former schema in order to avoid confusion with the above product version numbers.
S/4 HANA Enterprise Edition 1511 has all features of 1503 SP03 + SLog

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SAP S/4 HANA – General Adoption Paths for On-Premise

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Early Adopter Experience

The configuration takes more or less similar time frame .
In few areas the configuration and master data set up have moved to NWBC ( Net weaver client portal) e.g. Bank Account Management, Cash and liquidity planning
Account Based COPA preferred
GL or Cost center planning has moved to Integrated Business Planning
Observed system error in few areas like coding Block
Real time entry to both leading and non leading ledgers
Introduction of Appendix ledger with enhanced functionality
The asset migration has been simplified , 3 step process instead of one step process.

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S/4 HANA Finance – Reasons for Caution

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Relatively new product and there are legitimate questions about its maturity
HANA forces a vendor lock-in for the Database
Costs/licensing implications still not very clear
Full impact of Simple Finance enablement, including business benefits, integration with connected applications and technical migration still not convincing
Certain IS and specific components are not yet supported – JVA , FM, Lease Accounting, Public Sector
Transfer Pricing, Multiple valuations of COGM is not yet supported
Solution for complex localizations may be a challenge – Brazil, China , Russia.

New implementations should consider “Why not S/4 HANA”
Some caution should be adopted when discussing HANA with large-scale global SAP customers, until a more detailed evaluation is carried out

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Agenda Topic

Impact in General Ledger

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Accounting Before Simple Finance : Multiple Sources of Truth

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Accounting After Simple Finance : The New Principle Of One

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General Ledger – Technical Changes with Simple Finance

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General Ledger – Technical Changes with Simple Finance

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Summary of Tables Changes in GL, AR, AP

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Link between FI and CO with the classic logic

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Limitation with the classic logic

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Link between FI and CO with the NEW logic

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FI Postings with Simple Finance

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Simple Finance - Ledgers

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Standard Ledger

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Appendix Ledger

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Appendix Ledger

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Appendix Ledger - Example

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Appendix Ledger 15

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Appendix Ledger - Example

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Appendix Ledger 15

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Configuration Changes - Ledgers

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Configuration Changes - Ledgers

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Configuration Changes - Ledgers

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Configuration Changes - Ledgers

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Configuration Changes - Ledgers

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Configuration Changes - Ledgers

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Currencies

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Currencies

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Currencies

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Currencies

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Amount Fields of Universal Journal Entry

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Agenda Topic

Impact in Bank Management

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Function Overview – Bank Account Management

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Workflow for Bank Account

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Bank Account Management (BAM) in SAP Cash Management powered by SAP HANA leverages SAP’s NetWeaver Workflow to standardize the process and link all involved people together.

In fourth step, house bank account can be directly maintained in the BAM UI.

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Process Impact – Bank Account Management

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Process Impact – Bank Account Management

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T-code Impact – Bank Account Management

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Table Changes Impact – Bank Account Management

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Configuration Changes Impact – Bank Account Management

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Bank Account Management Configuration – Basic Settings

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IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Bank Account Master Data Setting

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Account Type Definition

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Sensitive Fields for Modification Process

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Define Import Method for Bank Statement

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Define Signatory Groups

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Define Approval Patterns

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Maintain Non Sequential Approval Patterns

IMG > Financial Supply Chain Management > Cash & Liquidity Management > Bank Account Management > Basic Settings > Assign Approval Patterns

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Recap of Day 1

SAP HANA Finance is a new product with a new code line designed specifically for use with SAP HANA

It has a new data model which has reduced data footprint.

It uses Line items instead of totals tables allowing for faster updates and removing redundancy.

It links the FI line items with the CO line items by using a Universal Journal.

It is non disruptive in nature with regards to historical data or custom developments

There are new functionalities which smoothens the business process execution.

It has a new next-generation user experience.

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Earlier

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Now

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Agenda Topic

Impact in Controlling

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Controlling – Technical Changes with Simple Finance

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Changes to COEP table

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Controlling – Fiscal Year Variant in Simple Finance

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The Fiscal Year Variants of all productive controlling areas and their assigned company code have to be the same.

Example # 1 - FI: K1 Cal. Year, 1 Spec. Period

CO: K4 Cal. Year, 4 Spec. Periods

Example # 2 - FI: K4 Cal. Year, 4 Spec. Periods

CO: K1 Cal. Year, 1 Spec. Period

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Controlling – Fiscal Year Variant in Simple Finance

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Example # 3 - FI: K4 Cal. Year, 4 Spec. Periods

CO: K5 Cal. Year, 4 Spec. Periods

FI and CO: both Cal. Year, 4 Special Periods, but different keys

Example # 4 - FI: K4 Cal. Year, 4 Spec. Periods

CO: V3 Non- Cal. Year, 4 Spec. Periods

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Controlling – Fiscal Year Variant in Simple Finance

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Example # 5 - FI: V3 Non- Cal. Year, 4 Spec. Periods

CO: K4 Cal. Year, 4 Spec. Periods

Note:

System will not able to determine or propose any change if one of FYV is not following Calendar Year.
Differences in the posting periods cannot be changed. In this case fiscal year variant to equalize the posting periods.

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Merge of GL Accounts and Cost Elements in CoA

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Unified Master data for GL Accounts and Cost Elements

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Unified Master data for GL Accounts and Cost Elements

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Cost Element Category 90 for Balance Sheet Accounts

“Statistical” cost elements of category 90 are created automatically when:

You create a Balance Sheet G/L Account and the Account Group is one used for fixed asset or material accounts
The Account is a reconciliation account for asset or material
The accounts have been set-up in the Asset or Material Management account assignment
You select the checkbox “Apply Acct Assignments Statistically in Fixed Asset Acct/Material Acct”.

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Merge of GL Accounts and Cost Elements – Effects in Reporting

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Integration with Controlling & Financial Accounting

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Integration with Controlling & Financial Accounting

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Ledger in Controlling

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Inventory Accounting and the Universal Journal

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Technical Changes to Material Ledger

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Existing Cost of Goods Sold Postings

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Cost of Goods Sold Postings in Simple Finance

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COPA in Simple Finance

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SAP Accounting focuses on the enhancement and integration of Account-Based CO-PA

Account-Based CO-PA

Significant enhancements delivered – closing critical gaps of the past, and providing new real-time insight. Planned to continue in this direction
Split of cost-of-goods-sold posting on multiple accounts (by cost component)
Split of production variances posting on multiple accounts (differentiation of price / quantity effects)
Three new quantity fields in the line items + BAdI for conversion of logistic quantities to common quantities (e.g. products sold in different box sizes – but KPI in Finance is calculated on tons/KG of products)
Real-time derivation of market segment information from cost postings (cost center, order, WBS element).

Costing-Based CO-PA

Product continues to exist and be supported, but no enhancements with SAP Accounting.
Customers can run account-based and costing-based CO-PA in parallel.
Existing customers should assess if account-based CO-PA can cover their needs.
If yes, consider switching to account-based CO-PA. If no, continue using costing-based CO-PA.

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COPA changes

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HANA Acceleration of COPA report Execution

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Agenda Topic

Impact in Asset Accounting

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New Asset Accounting in SAP S/4 HANA Finance

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New Asset Accounting is the only Asset Accounting solution in SAP Accounting on HANA ; classic Asset Accounting is not available any more.

Configuration and activation is on the client level.

Both multiple valuation approaches are possible : Ledger Approach and Accounts Approach.

Periodic posting runs are fully obsolete due to real-time update.

Transparent assignment of depreciation area to accounting principle

For every additional currency defined on the company code, a corresponding depreciation area needs to be set up.

Significant speed-up of asset depreciation run (amounts to be posted are calculated real-time and no more as part of the depreciation run itself).

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New Asset Accounting in SAP S/4 HANA Finance

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Posting Options in Depreciation Area

Fixed Asset Accounting based on Universal Journal –

No redundancy in data storage
Reconciliation between G/L and AA is ensured by design

– No reconciliation-step in financial close needed anymore.

– All non-statistical items are updated as Universal Journal Entries.

Even after migration, reporting for previous fiscal years is possible due to compatibility

views.

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Technical Changes to the table structure

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New technical clearing account for integrated asset acquisition

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Posting Logic in New Asset Accounting

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Sample Posting – Ledger Approach

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Sample Posting – Account Approach

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Document types for integrated transactions

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Adapt value take over and parameter take over

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New Depreciation Run

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Check Transaction Types

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Out of Scope for New Asset Accounting

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Agenda Topic

Period End Closing

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Financial Close and Reporting Acceleration

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Accelerated Close

Real time integration of Asset with GL, Elimination of reconciliation steps

No separate program to be executed for balance carry forward in asset accounting. This would be done along the GL close process FAGLGVTR

Continuous Intercompany Reconciliation.

Planned depreciation will automatically be calculated for the new year after having performed the balance carry forward (Year-end Close)Fast depreciation posting run due to simple processing logic, new data structures and parallel processing

Complex calculations that are performed at period close, for example, the calculation of work in process at actual costs, determination of production variances for production orders, and results analysis for sales orders, are pushed down to the SAP HANA database in order to accelerate the close.

In addition, the selection of the relevant data for period close processes such as overhead calculation and settlement has been adjusted to take advantage of the SAP HANA database in-memory capabilities.

Eliminates end-of-period batch job bottlenecks.

Enhanced reports use a logical view that combines the financial accounting (FI) line item, the CO line item, and the CO-PA dimensions (where available) to provide an income statement broken down by market segments.

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Leverage Soft Close and Hard Close

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Effect on Period Lock

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New and obsolete programs in FI-AA and Year end closing changes

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Intercompany Recon – Batch Loading and Matching eliminated

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Period Close Transactions

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New Period Close Transactions in Simple Finance

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FIORI Analytical Apps for Monitoring Closing Process

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Agenda Topic

Migration Roadmap

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ECC , Business Suite on HANA , S/4 HANA

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………

Simple Logistics

ECC 6.0

RDMS ECC Data�(e.g. Oracle, DB2)

Suite on HANA

HANA �ECC Data

Database Layer

Application Layer

Technical Migration to �Suite on HANA DB

S/4 HANA (Present)

HANA �ECC Data

HANA �S/4 Data

Simple Finance

S-Innovations Enablement

SAP ECC

Enhancement Pack 7

SAP ECC6.0 Enhancement Pack 7 (or above)

Pre-Reqs

HANA SPS09
ECC EHP7 SPS7
NetWeaver 740 SPS10
Additional Simple Finance 2.0 pre-reqs

Pre-reqs:

See SAP Simple Finance Add-On for SAP Business Suite powered by SAP HANA – SAP Help Portal Page

Pre-requisites EHP, Kernel and NetWeaver version:

SAP Simple Finance add-on 2.0 for SAP Business Suite powered by SAP HANA 1.0 http://Service.sap.com/sap/support/notes/2117481
Financials processes released for usage with SAP Simple Finance add-on 2.0: http://Service.sap.com/sap/support/notes/2119188

SAP ECC

Enhancement Pack 7

SAP ECC

Enhancement Pack 7

S/4 HANA (Future)

HANA �S/4 Data

SAP ECC

Enhancement Pack 8+

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Moving to S/4 HANA (On Premise)�Technical Upgrade & Migration … and S/4 HANA Transformation

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ECC 6.0

AnyDB

Suite on HANA

HANA �Database

Technical Migration to HANA DB

S/4 HANA Finance 1503

HANA �Database

S-Fin 2.0/1503

S-Innovations Enablement

SAP ECC

Enhancement Pack 7

SAP ECC6.0 Enhancement Pack 7 (or above)

HANA SPS09
ECC EHP7 SPS7
NetWeaver 740 SPS10
Additional Simple Finance 2.0 pre-reqs

SAP ECC

Enhancement Pack 7

SAP ECC

Enhancement Pack 7

HANA SPS09
ECC EHP7 SPS7
NetWeaver 740 SPS10

HANA SPSxx
ECC EHP8 SPSx
NetWeaver 750 SPSx

S/4 HANA Finance 1605

HANA �Database

S-Fin 3.0/1605

SAP ECC

Enhancement Pack 8

EHP 8 Upgrade
S-Innovations Enablement

HANA SPSxx
NetWeaver 750 SPSx

1611 Upgrade

S/4 HANA CORE 1511

Migration via SUM/DMO

HANA �Database

S/4 HANA 1511

S/4 HANA 1610

S/4 HANA CORE 1610

S/4 HANA Finance YYMM

New Product optimised for HANA Database
S/4 Innovations for Finance
Classic ECC for other Line of Business functionality.
Technical Add-On to ECC

S/4 HANA Enterprise Edition YYMM

New Product optimised for HANA Database
S/4 Innovations for Finance and all other Line of Business functionality
New Component S4CORE

ECC 6.0 & Suite on HANA

Classic ECC
Optimised transactions for SoH
No additional major innovations (besides legal requirements)

Low Complexity

Medium Complexity

High Complexity

Medium Complexity?

Legend:

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S/4 HANA Finance Migration Phases – Overview

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Import check reports into the system
Check functional scope and Restrictions
Check Sizing
Consistency Checks Before Installation and Migration
Check custom code and modifications
Handling Customer-Defined Fields and Interfaces
Business Reconciliation Before Migration
Period-End Closing Activities
Apply important bug fixes
Prepare installation

Install the SAP Simple Finance OP Edition 1503
Deploy SAP FIORI and HANA Live content
Activate Financials Extensions (EA-FIN) and Business Functions
Customizing in the General Ledger
Customizing New Asset Accounting
Preparations and Migration of Customizing for Controlling
Configuration of SAP Fiori infrastructure
System backs-up index and totals tables automatically

Regenerate CDS Views and Field Mapping
Migration of Cost Elements and Customizing
Technical Check of Transaction Data
Migration - Enrichment of Data
Migration of Documents and Line Items to the Data Structure
Migration of Balances
Completing the Migration
Business Reconciliation After Migration
Set the indicator Migration completed
Prepare for Productive Start

Pre-Installation

Installation

Data Migration

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Length of the Migration Project

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G/L Migration to SAP S/4 HANA Finance is Fast and Easy

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New G/L is not a pre-requisite
The duration and effort is relatively small. It can be executed at any period-end
It is supported by a migration guide and monitor.
No New GL (or other) Migration Service is needed to migrate.
As part of the migration, classic G/L data is automatically transferred to the new data structures.
Migration scope is comparable to migration to new G/L scenario 1 (Merge of the FI Ledger).
Existing PCA (profit center) and SL (special ledger) functions and features can remain in place.
Changes to coding blocks, external interfaces, security, reporting etc. are optional
Customers already running a migration project to new G/L in SAP ERP should continue this project. The same goes for customer urgently requiring document splitting.

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Migration : from Classic G/L and from New G/L

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*Note: There are as of March 2015, no SAP services for subsequent introduction of ledgers or document splitting. These are planned.

Classic

G/L in ERP

G/L in S/4

HANA Finance

Recommended

Approach

Subsequent Optimization*

Introduction of additional ledgers
Change from parallel accounts to parallel ledgers.
Introduction of document splitting

At any period end

Classic

G/L in ERP

G/L in S/4

HANA Finance

Alternative

Approach

At any period end

New G/L

At any fiscal year end

(If New GL migration already

started or functionality required urgently)

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Agenda Topic

Migration Guide / Cookbook

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Procedure: Data Migration to Simple Finance

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Preparations in G/L

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Perform reconciliation, period-end activities, and gather reporting snapshots for before/after comparisons
Create the back-up tables
Customize general ledger in New GL Accounting

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Preparations in AA

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Perform Period-End closing activities
Run special check report for FI-AA via note 1939592

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Preparations in CO

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Generate CDS Views

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Migration of Cost Elements

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Technical Checks

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Enrich Data

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Migrate Line Items

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Migrate Balances

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Complete Migration

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Post Migration Activities

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Central Finance – Deployment Option

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Centralization in a distributed system landscape as less disruptive approach

For customers running a large distributed system landscape not yet ready to upgrade their systems, SAP offers the “Central Finance“ as a deployment option.

This makes it possible to benefit from SAP Simple Finance without touching the existing system landscape by using Central Journal facilities to connect legacy SAP and non-SAP systems to a SAP Simple Finance Based SAP environment as depicted below

Innovations

Real-time replication of FI and secondary CO postings from several source systems into a central simple finance system
Document drill back to the original FI document in the source system
Replication of cost objects (production orders, product cost collectors, and internal orders) from source systems to the central system
Mapping functionality for harmonization of master data before posting into central finance
Access to existing master data mapping from SAP Master Data Governance (optional)
Centralized error handling with the error correction and suspense tool

Benefit from SAP Simple Finance while not touching your existing system landscape

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Real time repost financial transactions in to Central Finance Instance

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Recap of Day 2

Impacts in Controlling and Asset Accounting

Accelerated Financial Close

Migration Path and Cookbook

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Agenda Topic

SAP FIORI

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SAP FIORI Apps

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A collection of transactional/analytical apps with a simple and easy to use experience for broadly and frequently used SAP business functions that work seamlessly across devices – desktop, tablet, or smartphone

Intuitive User Experience
Simple design focused on the task at hand , reduces work completion time
Line item based operational reporting

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Efficiency on Transaction FIORI Apps

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FIORI App – Open and Close Posting Period

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Click here

Select the item where posting period needs to be changed

Click here

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FIORI App – Posting Journal Voucher

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Click here

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FIORI App – Approve Bank Payment

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References and Supporting Material

IBM Connections Community for SAP S/4 HANA and Simple Finance

https://w3-connections.ibm.com/forums/html/forum?id=72c2ddb0-7781-495e-9366-f9ebcdb87789

S/4 HANA and Simple Finance Detailed "Why, What, How" overview:�https://w3-connections.ibm.com/forums/html/topic?id=866adca9-8b37-4e1c-a4e1-d64ed54b2743&ps=

Supporting Simple Finance Point of View developed of the back of the main document that has a summary PoV on Simple Finance:�https://w3-connections.ibm.com/forums/html/topic?id=8f686916-467c-42d4-b50f-388c3667a49c&ps=

User Assistance for SAP S/4HANA, on-premise edition 1511

https://help.sap.com/s4hana_op_1511

All trainings/docs related to Simple Finance 2.0 are available in the SAP Learning Hub

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