sap s/4hana for finance: the functionalities you cannot miss
TRANSCRIPT
PUBLIC
SAP S/4HANA for Finance: the Functionalities You Cannot Miss
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The context
Change Fast
More agile
More intelligently
More efficiently
Resilience to
the new normal
Make
the right decision
Execute
the transformation
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Today's Speakers
Nathalie Vallez
SAP S/4HANA and Innovation
Team Principal Consultant,
SAP Services EMEA South
Andrea Pagliari
Head of Business Development
SAP Services EMEA South
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The value
Most innovative projects
Most complex challenges
Most creative solutions
Privilege
SAP Customers
SAP Partners
SAP Services
Duty
Real-life experiences
Difficulties
Solutions
Methods
Accelerators
Tools
Witness
and shareMake SAP
innovation
easy to
consume
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Let's Build the Intelligent Enterprise Together – May, June, July!
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The Anti-fragile Supply Chain:
the Functionalities You Cannot
Miss in SAP S/4HANA, SAP IBP
and SAP LBN
September 7th
The good, the bad and the ugly: a
thrilling story about Embedded
Analytics, Date Warehousing and
the Cloud
September 21st
Discover how SAP Intelligent
Asset Management can support
the entire engineer-to-operate
asset lifecycle
October 5th
Industry 4.Now
SAP S/4HANA
SAP S/4HANA for Sales
and Services: the
Functionalities You Cannot
Miss
October 19th
Predictive Maintenance &
Predictive Quality in Support to
Production Optimization
November 2nd
Customer Experience
How One of the Largest Retailer
Went Live with SAP Commerce
Cloud
November 16nd
Intelligent Technologies for
Intelligent ERP: How to
Start Immediately
December 14th
Manufacturing in the Cloud
November 30th
Let's Build the Intelligent Enterprise Together – September → December
BTP
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Speed Deployment and User Productivity with SAP Training and Adoption
Experience SAP S/4HANA with
S/4 HANA Simulation by Baton
Available On Demand
Learning Hub for S/4HANA
(Italian)
Disponibile On Demand
Overview on SAP Courses, online
and instructor-led training
Available On Demand
SAP Learning Hub
June 10th
Upgrade your skills in SAP
SuccessFactors!
Available On Demand
CX Training Overview
Available On Demand
Enable your Intelligent Enterprise to
Succeed with SAP Global Certification
Available On Demand
Ariba Training Overview
Available On Demand
Learning Journeys for
RISE with SAP
Available On Demand
Satisfy regulators and remotely
meet compliance requirements
Available On Demand
People to Work: Public Funded
Education Partner Program
(Spanish)
Disponible on Demand
SAP Enable Now
June 16thRealize the value of your SAP
S/4HANA project with
continuous enablement
services
July 14th
User Experience, the power of
insight for your S/4HANA
project
July 20th
The Key to a Successful SAP
S/4HANA Transformation?
Empowered Workforce (SEN)
Aug 5th
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We will review the challenges of Finance transformation, and share SAP's vision for addressing
them.
We will then move on to:
The major innovations integrated in the S/4 HANA platform, at the service of Finance.
▪ Intuitive and assisted user experience (with Fiori)
▪ Technology contribution: simplification of the data platform
▪ Fundamental functional enhancements to the solution for financial processes
Innovative technologies (intelligent analysis, machine learning) to which have been added many
advanced automation scenarios based on artificial intelligence.
Agenda
PUBLIC
The challenges of Finance transformationSAP’s vision
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SAP’s Vision of Finance TransformationFrom daily routine to supporting growth and forward looking insight
The Groups' findings
▪ Complex landscapes, too many different systems and integration points
▪ High and expensive maintenance, difficult to add systems and features
▪ Too much time spent transferring data and reconciling them
SAP’s vision
ERP must provide better support for
operational tasks by increasing
automation, in order to :
• create new, innovative and high
value-added roles by getting rid of
repetitive tasks
• obtain more, better and more
detailed information in real time
(to calculate profitability, transfer
prices, manage financial and
management reports)
• anticipate the future, with forward-
looking, business-related
information within the ERP, not in
complex external systems
PUBLIC
SAP S/4HANA supports SAP’s vision for Finance TransformationReduces complexity and increases automation
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Benefits for Finance from SAP S/4HANA
Consistent, Intuitive
& Efficient
User Experience
delivering a positive experience
working with both Analytics and
Transactions
Fundamental
Enhancements to Core
Finance Processes
that will make your life
easier
An Integrated Data
Platform
providing a single version of
financial truth
The S/4HANA platform incorporates major innovations that can be used to transform finance departments. These
innovations constitute the fundamentals of the S/4HANA Finance solution.
It is the combination of these three areas that makes them valuable for Finance
This platform is adapted to the deployment of new innovative technologies
Reinvented user experience Data architecture for agility Comprehensive and integrated
coverage of financial processes
15PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Benefits for Finance from SAP S/4HANA
Consistent, Intuitive
& Efficient
User Experience
Fundamental
Enhancements to Core
Finance Processes
that will make your life
easier
An Integrated Data
Platform
providing a single version of
financial truth
delivering a positive experience
working with both Analytics and
Transactions
The new SAP Fiori user experience puts the user at the center of the process, aligning the interface with the way
teams do their work.
It aims to significantly increase user productivity.
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Intuitive Assisted User ExperienceFiori will help extend the use of S/4HANA to even casual users…
My spaceWorkspace Notifications
▪ A single point of entry to all applications used in routine business
functions and daily operations.
▪ By domain, users can quickly get an overview of what needs their
attention through personalized overview pages, showing valid work lists
or exceptions (for further action or research)
▪ Transactions and analyses have been brought together in Fiori, which
means that a user can enter and explore details in depth (and correct
without waiting for the end of the month).▪ 1700+ Fiori applications for SAP S/4HANA, including 600+ specific to Finance
▪ Fiori requires activity and deployment
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My space NotificationsWork space
My space
▪ Tile and application search tool
▪ Access to settings
▪ Help
▪ Activity history
Replaces the old header menu
Displays recent activities
Notifications
▪ Instant messaging, Copilot...
Display in the separate window that opens
by clicking on the corresponding icon in
the header
Navigation in the top bar
Replaces the group menu
Header
Provides a navigation menu when the
application is launched by clicking on the
title
Flexible and user-friendly user interface
Facilitates collaboration between usersFacilitates adoption of the solution Improves user productivity
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SAP S/4HANA Embedded Analytics
▪ One-click access from the Fiori
dashboard, with role-based
analytical insights.
Embedded analytics are important
for S/4HANA users because they
provide insight into key performance
indicators and processes relevant
to their role from the Fiori
dashboard, which focuses on daily
operations.
▪ An enterprise-wide key figure
repository based on SAP
virtual data models.
The integrated analysis makes it easy
to navigate from reports to detail.
This provides full transparency into
these key processes and enables
areas that need attention to be
identified quickly.
Example from the accounts payable overview
19PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Process receivables
SAP GUI SAP Fiori
Duration: 2:12 min Duration: 0:47 min
Clicks: 39 Clicks: 11
Screen changes: 8 Screen changes: 2
Fields filled: 5 Fields filled: 2
64% (85 sec) reduction in duration
71% (28) reduction of clicks
75% (6) reduction in screen changes
60% (3) reduction of fields filled
Clear incoming payments
SAP GUI SAP Fiori
Duration: 2:25 min Duration: 1:07 min
Clicks: 49 Clicks: 22
Screen changes: 26 Screen changes: 1
Fields filled: 9 Fields filled: 3
53% (78 sec) reduction in duration
55% (27) reduction of clicks
96% (25) reduction in screen changes
66% (6) reduction of fields filled
Post incoming payments
SAP GUI SAP Fiori
Duration: 1:26 min Duration: 0:59 min
Clicks/Tabs: 27/2 Clicks/Tabs: 17/2
Screen changes: 14 Screen changes: 2
Fields filled: 14 Fields filled: 7
31% (27 sec) reduction in duration
37% (10) reduction of clicks/tabs
86% (12) reduction in screen changes
50% (7) reduction of fields filled
Post General Journal Entry
SAP GUI SAP Fiori
Duration: 49 sec Duration: 49 sec
Clicks: 12 Clicks: 13
Screen changes: 7 Screen changes: 4
Fields filled: 17 Fields filled: 12
0% (0) reduction of clicks
43% (3) reduction in screen changes
29% (5) reduction of fields filled
Analyze Financial Balance Sheet
SAP GUI SAP Fiori
Duration: 7:10 min Duration: 4:40 min
Clicks: 97 Clicks: 57
Screen changes: 7 Screen changes: 4
Fields filled: 7 Fields filled: 2
35% (150 sec) reduction in duration
41% (40) reduction of clicks
43% (3) reduction in screen changes
71% (5) reduction of fields filled
Manage vendor line item
SAP GUI SAP Fiori
Duration: 52 sec Duration: 50 sec
Clicks: 26 Clicks: 11
Screen changes: 9 Screen changes: 2
Fields filled: 7 Fields filled: 2
4% (2 sec) reduction in duration
58% (15) reduction of clicks
78% (7) reduction in screen changes
71% (5) reduction of fields filled
The efficiency of the new Fiori interface has been measured and it has been proven that the same business process is actually faster and
easier to execute than in the SAP GUI (creation of monthly accounting journals, data requests, generation of financial reports, closing).
Adding up the savings in process time, screen change time, fields to be filled in and number of clicks, results in hundreds of hours of savings.
SAP S/4HANA with Fiori accelerated Business ProcessesReduces manual interactions, increases business efficiency and simplifies users life
20PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Benefits for Finance from SAP S/4HANA
Consistent, Intuitive
& Efficient User
Experience
Fundamental
Enhancements to Core
Finance Processes
that will make your life
easier
An Integrated Data
Platform
providing a single version of
financial truth
delivering a positive experience
working with both Analytics and
Transactions
At the heart of S/4HANA is an entirely new data platform, powered by in-memory technology, which combines virtually
unlimited real-time storage with extremely fast processing time and a simpler data model. It is this colossal technical
change, which has made all the improvements possible.
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On-the-fly aggregations and compatibility views for
obsolete indices and tables
SAP
Business Suite
Used for Master Data only
MATDOC_
EXTRACTMSEGMATDOC
DocumentHeader
incl. StatusItem incl.
Status
VBFA
(simplified)
PRCD_
ELEMENTS (new)
FAAT_PLAN
_VALUES
ACDOCA
FAAT_YODA
FAAT_DOC_IT
Document
Header Item
MSPR
MARC
MKOL MSLB
MARD
MSKA
MSKUMCHB
CKMLPP
CKMLCRMBEW
QBEW
OBEW
EBEW
BSEGBKPF
VBRPVBRP
VBAPVBAK
LIKP
VBRK
KIPS
VBAPVBAK
VBUP
LIKP
VBRK
LIPS
VBUK
Material Quantities
VRPMA
VBOX
VAKPA
VLKPA
VAPMA
LKPMA
KONV
VRKPA
VBFA
Header Item Indices
FAGLF
LEXA*
BKPF
LFC3
COSSCOBK
FAGLF
LEXT*
KNC1
COEP
ANEK ANEA
GLT0 KNC3
ANEP
BSEG
MLHD*
LFC1
MLIT*
Sales
MLCR*
ANLC
COSP
ANLP
MLCD*
BSAD
FAGL
BSIS
BSIKBSIS BSAS
BSID
CKMI1*
BSAK
FAGL
BSAS
BSIM*
Document Totals Indices
Finance
MSTEMKPF
MSLB
MSSLMSSA MSSQ
MSTQ
MSKUH
MSTB
MARC MCHBH
MKOL
MCHB MSKUMARD
MSKA MSPR
MSTQH
MKOLHMARCH
MSSQHMSSAH MSTBH
MSTEH
MSPRH
MARDH
MSLBH
MSKAH
Material Document
Stock Aggregates
History
Sales Order
Delivery
Billing Document
Status Info
Conditions
Document Flow
GL, AR, AP
New GL
CO
AA
ML
Index for Rebates
Header Item
Hybrid: Master Data with Stock Aggregates
Aggregates
MBEWHMBEW
OBEWH
EBEW
QBEW QBEWH
EBEWH
OBEW
CKMLCR
CKMLPP
Valuation in MM or Valuation in MLValuation in ML
Material Values
Aggregates
Document
Inventory
movements
HistoryUsed for Master Data onlyHybrid: Master Data with
Valuated StockML Valuation
The way in which data is stored and processed has been considerably simplified: all aggregation tables and indexes have been eliminated,
because HANA can calculate data when required.
Simplification of the Data Platform
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Used for Master Data only
MATDOC_
EXTRACTMATDOC
On the fly aggregation and compatibility views
for indices and obsolete tables
DocumentHeader
incl. StatusItem incl.
Status
VBFA
(simplified)
PRCD_
ELEMENTS (new)
FAAT_PLAN
_VALUES
ACDOCA
FAAT_YODA
FAAT_DOC_IT
DocumentItem
MSPR
MARC
MKOL MSLB
MARD
MSKA
MSKUMCHB
CKMLPP
CKMLCRMBEW
QBEW
OBEW
EBEW
BSEGBKPF
VBRP
VBAPVBAK
LIKP
VBRK
KIPS
Material Quantities
Sales Finance
Material Document
Header Item
Material Values
Used for Master Data only ML Valuation
Simplification of the Data Platform
This simplified data platform enables
users to access information in a radically
different way:
▪ faster access to transactional data,
because the aggregate value is directly
derived from the underlying transactions
▪ real-time ad hoc analysis, as
aggregation is done on the fly
▪ Update processing is faster, as there is
no need to update multiple index tables
and there is no longer a row lock when an
update is processed (no overnight batch
runs).
S/4HANA can therefore act as a single
source for operations AND analysis.
This eliminates unnecessary data redundancy, thereby dramatically increasing the speed of
operations and analysis, continuously and in real time rather than in batches.
Reduction of the database by 5 to 8 times, up to 85% of the data is no longer stored.
23PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Business Suite - Modular Data Platform
Asset Accounting
Company Fixed Asset …
General Ledger
Ledger Company AccountProfit
Center…
Management Accounting
Controlling
AreaCost Element …
Profitability Analysis
Operating
Concern
Market
Segment…
Material Ledger
Company Product …
S
▪ No real-time reconciliations
▪ No real-time aggregations
Usually, the various accounting and management control modules are fed via dedicated tables.
This segmentation of data implies numerous reconciliation tasks between the different modules, which are only possible at the end of the
month, updates between modules, and difficult production of reports and cross-analyses.
24PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Instant Insight
▪ Flexible Real Time Analytics
SAP S/4HANA Finance Universal Journal
▪ No Reconciliation needed
▪ No Replication needed
▪ No Stored Aggregations
▪ Drill to Detail
General Ledger
Ledger Company AccountProfit
Center…
Management Accounting
Controlling
AreaCost Element …
Profitability Analysis
Operating
Concern
Market
Segment…
Material Ledger
Company Product …
Asset Accounting
Company Fixed Asset …
Universal Journal
Powered by SAP HANA
Ledger CompanyAccount/Cost
ElementProfit
Center
CodingBlock
FixedAsset
Market Segment
ProductCustomer
Fields
The modular design has been rethought. The all-new design is a fully integrated data platform, essentially one gigantic table, large enough to
store every field, every transaction, called the Universal Journal.
It is the backbone of the S/4HANA Finance financial accounting and business model, ensuring the unicity of the financial data.
25PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
It allows information from sub-ledgers, general ledger, cost accounting and margin analysis to be combined in a single table, guaranteeing the
unicity of the financial data.
All SAP S/4HANA financial applications access this single data source, combining transactional and analytical data in a single
system.
This reliable and unique source of natively reconciled data,
▪ allows larger volumes to be processed in real time,
▪ provides full flexibility, in-depth analysis of transactions without
the need for a separate subsidiary ledger,
▪ contributes to the acceleration of processes such as budget
planning, financial reporting and account closing, where time
savings can be considerable.
Beyond its architecture, the universal journal also embeds major
innovations such as:
▪ predictive analysis (e.g. generation of a predictive turnover
based on the sales book),
▪ The ability to manage up to 8 additional reporting currencies,
in addition to the initial currency,
▪ Scalability to +180 axes, particularly for management reporting
needs (multi-dimensionality).
Here is a screenshot of a trial balance, a fairly standard report, with the
Universal Journal as source, we can :
▪ view it by profit center, by territory, by product or by customer
▪ filter, sort, break down by any available field, navigate from the
synthetic to the most detailed level and change view at will, extremely
quickly.
Benefits of the Universal Journal
26PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Imagine being able to:
▪ Build a steering model where the profit and loss statement and
detailed profitability reporting are sourced from the same
document
▪ Access asset and inventory details without jumping to a
separate sub-ledger
▪ Improve transparency into production and maintenance
thanks to additional reporting fields, such as work center and
operation, in the journal entry
▪ Enrich project reports with customer and product details
Benefits of the Universal Journal
27PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
27Public
Customers Drive Efficiency and Automation
“With SAP S/4HANA, we’ve built
a cornerstone for successfully
expanding our global market
share and business operations.”
Jongmin Kim, General Manager of the Planning Team, Huvitz Co. Ltd.
Business Transformation Study, Customer Reference Slide
“SAP S/4HANA is helping us to
drive digitization across the company,
allowing us to work in a more
streamlined and integrated way.”
Wolfgang Sabelgunst, SAP Project Manager, Bundesdruckerei GmbH
Business Transformation Study, Customer Reference Slide
30%Improved accuracy of
cost analysis by product
60xFaster creation of monthly
accounting journals
7 daysTo complete the accounting
closing process
10xFaster data inquiries
40%Time saved on generation
of financial reports
10xFaster calculation
of salaries
>3xFaster security
authorization reviews
28PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Benefits for Finance from SAP S/4HANA
Consistent, Intuitive
& Efficient User
Experience
Fundamental
Enhancements to Core
Finance Processes
that will make your life
easier
An Integrated Data
Platform
providing a single version of
financial truth
delivering a positive experience
working with both Analytics and
Transactions
Benefits impacting functional coverage, user benefits and business processes.
29PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Continuous CloseHigh-quality multidimensional insight, earlier and with less effort
Integrated IntercompanyReconcile intercompany transactions at source before consolidation elims
Inventory AccountingSimplifying material valuation, product cost analysis and actual costing
Transfer PriceUnderstand the true cost of production to optimise Group Profitability
Universal AllocationsIncreased transparency in cost allocation modeling and execution
Margin AnalysisContinuous, high granular analytics of margin, reconciled by design
Predictive AccountingFuture-fact-based decision making based on operational information
Embedded Secure Data AccessBusiness role concept enabling effective management & control
Advanced Compliance ReportingCentralised Legal and Tax Reporting increases compliance
Managing ReceivablesUnified view, real-time analytics, and streamlined design
SD Credit Management Unified master data
Cash ManagementBetter data architecture and UI for reporting & monitoring Cash
Key Benefits for Finance moving to SAP S/4HANA
Embedded Reporting and Analytics
Intuitive Assisted User ExperienceFiori simplifies learn and use for both Analytics and Operational transactions,
coherent across all devices
Flexible ad-hoc reporting and insight to action, based on live transactional
data in a single financial truth
30PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
In S/4HANA, the Universal Journal is natively reconciled, eliminating the multiple tasks
associated with reconciling the general ledger and subsidiary ledgers after month-end.
Many key programs benefit from HANA's in-memory data calculation, so that those that used
to take several hours can now be run in minutes.
Many tasks can now be run in real time, providing better visibility throughout the period and
reducing the period-end workload.
Financial users have the ability to drill down into transaction details to produce statutory
reports, cash flow analysis, etc.
Early, high-quality, multi-dimensional management information is obtained based on real-
time calculations and predictive accounting for certain scenarios.
All this results in a smoother and less time-consuming closing.
Continuous Close – Reduction of deadlinesFaster or even continuous closing, with less effort
Period-
end
time
Period-
end
time
Clôture rapide Clôture continue
Single source
of data
Accelerated
process
Consistency
of data
Multi-
dimensional
capabilities
Prospective
vision
Transparency
Analysis at
the beginning
of the process
Real time
Simplified
reports
31PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
In S/4HANA, there is no need to replicate data to a separate database, no need to wait until the
end of the month, the intercompany transaction-level matching is available in real time,
eliminating tedious ETL processes, offline month-end reconciliations, difficult searches of
inconsistencies or differences, and subsequent adjustments.
The new Fiori applications:
• Allow business users to create and maintain matching rules, without relying on IT, in a
seamless manner.
• Provide a single user interface and a fully automated process, with built-in workflow and
approvals to facilitate communication between teams.
• Intercompany process at the group level is only a matter of eliminating reconciled transactions,
resulting in a significant reduction in cost.
No need for
external
systems
Accelerated
process
Exploration
& analysis
features
Business user
involvement
Integrated inter-company correspondence and reconciliationReconcile intercompany transactions before consolidation eliminations for a smooth closing
Transparency
Traceability
Automatization
Real time
32PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Multiple storage options for inventory
valuation, resulting in unnecessarily
complexity and risk of high data
footprint.
▪ Complex processes and reporting,
limiting the way in which details can
be reported on as well as currencies
in which analyses can be performed.
▪ Due to performance constraints
additional systems are leveraged to
provide visibility to understand cost
structures at considerable effort and
expense
Inventory AccountingExtending and simplifying the understanding of your inventory value
▪ SAP S/4HANA integrates material
ledger in the Universal Journal,
resulting in a simplified data
structure and reporting, making
inventory accounting available in
three currencies by default
▪ Valuation based on a single material
documents table, radically improving
system performance.
▪ Radically simplified actual costing
setup, gaining more interest due to
limitations of standard costing in
volatile business environment
Current Challenges SAP S/4HANA Benefits
33PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Transfer pricing is difficult to
report and reconcile, as ECC
requires the material ledger
(ML)
▪ Due to performance constraints
additional systems are
leveraged to provide visibility to
understand cost structures at
considerable effort and
expense
▪ ECC creates inconsistencies
in reporting as a legal view,
profit centre and group view
are required
Transfer PricingUnderstand the true cost of production to optimise Group Profitability
▪ SAP S/4HANA optimizes the
Material Ledger as part of the
Universal Journal with a
simplified data structure
▪ With S/4HANA, volumes are not
an issue and multiple views
across the value chain are
available
▪ Multiple ledgers and views are
available to provide flexibility
and visibility across the supply
chain
Current Challenges SAP S/4HANA Benefits
34PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Universal AllocationsDeliver a standard approach to allocations
▪ Allocations are run in multiple places
requiring extensive maintenance
typically managed by IT
▪ No orchestration across different
allocations which may overlap
causing errors
▪ External systems or spreadsheets
replicate data requiring time
consuming reconciliations
▪ The business user can configure all the
different steps in a new Fiori
application.
▪ The process is simplified and
harmonized allowing the creation of
different types of allocations, by cost
centers and profit centers, using the
same methodology.
▪ A step by step approach is available
providing transparency and
auditability, across actuals and plan
▪ Reconciliations are no longer required,
saving time for more value-added
activities
Current Challenges SAP S/4HANA Benefits
Cost center allocation:
24 transactions
Profit center allocation:
24 transactions
Top down distribution:
separate transactions
…
• Manage
• Run
• Results
traceability
• Flow
Universal
Allocation
Harmonized
applications:
35PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Margin AnalysisDetermine gross margin faster, simpler and with more granularity
▪ Full visibility across all elements of
margin, including a comprehensive
multi-dimensional reporting
available by market segments.
▪ CO-PA derivation of market
segments for balance sheet items,
facilitating the matching of cost-
based analysis with financial data
▪ More flexibility to deal with
organizational changes and to run
simulations.
▪ Embedded Analytics in SAP
S/4HANA makes information easily
accessible.
Current Challenges
▪ Difficult to get end-to-end visibility as
the elements of margin are split
across modules, resulting in high
reconciliation efforts
▪ While CO-PA can be used it lacks
flexibility
▪ Large complex Excel spreadsheets
are built using extracted information
and are arduous and error prone
SAP S/4HANA Benefits
36PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ No visibility to the financial impacts of
operational activity recorded in the
ERP system
▪ Forecasting the impact of sales orders
& purchase orders is manual, time
consuming & error prone
▪ Simulating transactions is limited and
not possible cross application
Predictive AccountingProvide forward looking financial insights based on operational transactions
Current Challenges SAP S/4HANA Benefits
▪ Predictive entries are generated
from sales order transactions,
reducing forecasting efforts
▪ Simulated transactions can be
generated in a additional ledger – the
extension ledger – to calculate
possible scenarios and be used for
internal reporting purposes
▪ A more accurate view of future
financial impact, thanks to drill-
down capabilities to the operational
transactions and analysis
37PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Ensuring data protection and
security is a complex moving target
▪ Limited visibility into system
activities
▪ Difficult to determine business
impact of traditional security
processes
▪ Limited controls and automation for
privacy compliance
Managing Security, Protection and PrivacyAdminister and control security and privacy risk
▪ Security and governance are
simplified with integrated access
governance and HANA-based real
time monitoring
▪ Data is protected with policy-based
access, key management, and native
encryption
▪ Enhanced reporting and analytics
provide unified actionable features
(creation of dashboards and risk
detection rules by looking at a single
table, intelligent analysis in real time)
▪ Support privacy-by-design when
integrated with privacy governance
Current Challenges SAP S/4HANA Benefits
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▪ Cumbersome processes with
no common user interface
and heterogeneous single
point solutions for every
country
▪ Error prone manual report
data extraction, collection and
generation
▪ Lack of visibility to reporting
status and cumbersome data
display and review
Legal and Tax ReportingA centralised solution
▪ More efficient statutory reporting
process with automated creation
of reporting tasks and a single
entry point
▪ Broader range of reports, real
time, without data replication
and reconciliation with better
auditability
▪ Dashboard provides streamlined
overview of due dates, reporting
status, including corrections.
Current ChallengesSAP S/4HANA Benefits(Basic Advanced Compliance
Reporting - included)
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▪ Decentralized view on customer
accounts (including expensive, hard
to maintain, 3rd party solutions)
result in limited insight into team
efficiency and effectiveness
▪ ERP screens and transactions
overloaded with unnecessary
entry fields not needed for task
execution
▪ Transactions, forecasts,
recommendations and simulations
often after-the-fact based instead of
predictive
Managing ReceivablesUnified view, real-time analytics, and streamlined design
▪ Unified Master Data – single view of
the customer account, allowing for a
guided focus on key customer
accounts and management of
receivables across multiple business
units
▪ Unique combination of operational
and transactional data for better
decisions – in real time, on any device
▪ Enhanced ease of use and improved
productivity
▪ Option to upgrade to S/4HANA
Receivables Management with
enhanced automation for cash
collection and credit processes.
Current Challenges SAP S/4HANA Benefits
40PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Lots of manual and often
customized processes can be
error prone
▪ No single view of the customer
as information is scattered across
various systems
▪ Expensive, hard to maintain, 3rd
party solutions are often leveraged
which don’t provide real-time
exposures
▪ Unified Master Data – provides one
single view of the customer to manage
credit limits across multiple business units
▪ Up to date exposures available to
control credit in real time making use of
embedded Fiori analytics
▪ Determine the financial situation of a
customer or group of companies
and recognize early warning signals
▪ Easy upgrade to Full Version (add-on
license) with advanced automated credit
management including automatic credit
risk assessment
Current Challenges for customers
using SD Credit Management
SAP S/4HANA Credit
Management Benefits
SD Credit Management Unified master data
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▪ ECC data structures are
complex and disparate and not
all the information for a full cash
flow is available
▪ Only basic house bank account
mgmt., basic cash position
and liquidity are available
▪ Missing flexible Bank Account
Management (BAM)
Cash ManagementBetter data architecture and UI for reporting/monitoring Cash
▪ S/4 One Exposure table combines
more data sources allowing for a full
cash flow
▪ Extended functionality available with
Fiori Theme interfaces and Apps such
as Monitor Payments app, basic Bank
Account Management and Liquidity
forecast
▪ Option to upgrade to S/4HANA Cash
Management
Current Challenges SAP S/4HANA Benefits
PUBLIC
Enhanced automation& Extended innovations
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SAP GR/IR Reconciliation (Incoming Service & Goods Receipts / Invoice Receipts )
Intelligent Liability Management Automation with Modern User Experience
Historical Actions
Purchase Orders
Invoices
Goods Movements
Analytics
Working Capital Mgt
Accuracy Improvement
SAP S/4HANAML GR/IR
SAP GR/IR monitor provides insights using different apps and
criteria from your history, reads and analyses procurement &
accounting data with minimal intervention.
Analytics
Improvements 100%Manual Effort 70%
Incorrect
Write Offs 80%Liability Mgt 70%
During the closing period, supplier accountants have to reconcile invoices with goods and services received, identify the most critical discrepancies, analyze the causes and steer corrective actions,
which involves discussions with the various departments affected: general accounting/suppliers, management control and purchasing. The productivity of these tasks can be improved.
This allows intelligent processing of invoice & goods receipt reconciliation and unpaid invoices account reconciliation.
Clear visibility of the status of the
reconciliation of Outstanding Invoices
accounts through integrated reports fed in
real time by logistics and finance.
Automatic classification of deviations by
reason, with recommendations based on
the Machine Learning for actions to be
taken to resolve the deviations. Direct
notifications to managers.
Effective clearance of open balances on NPF
accounts.Improved supplier relations.
Increased productivity.
Allows managers to focus on higher value-
added tasks.
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SAP Cash ApplicationNext-generation intelligent invoice matching powered by machine learning
History
Payments
Invoices
Matching
Proposals
SAP Cash Application intelligently learns matching criteria
from historical data and automatically clears payments.
Automation
✓ Increase efficiency
✓ Reduce errors
✓ Enable finance to focus
on strategic tasks
Reduce TCO
✓ Learns from historical data
✓ Learns from accountant
behavior
✓ Does not require ongoing
maintenance
Speed
✓ Faster payment matching
✓ Reduce DSO
✓ Increase liquidity
✓ Improve customer service
Integrated with S/4HANA
✓ Integrated with S/4HANA
Cloud and On-premise
✓ Compliments standard rules
✓ Maintain current processing
workflow
Intelligent Finance
Automate
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▪ Can do the minimum - manage daily
cash position and cash forecast
▪ Liquidity planning is done off-line or
with customized planning tools
▪ Only Basic Bank Account
Management capabilities
▪ Non-standardised/harmonised
payment processes with different
tools and portals
SAP S/4HANA Cash ManagementFull visibility of company-wide cash position, cash forecast and global Bank account Management
▪ Manage complete day-in-the-life of a cash
manager with advanced monitoring, cash
positioning and analytics
▪ Manage complete lifecycle of payments with
end-to-end visibility utilizing workflow-based
collaboration and control
▪ Centralize bank account management
processes integrated with cash and payment
management processes
▪ Initiate FX and Money market trades from
cash management views
▪ Monitor & analyse data – with deep
drilldowns into cash flows utilizing intuitive
user interfaces
▪ Leverage bank connectivity for seamless
processing of payments, payment statuses
and account statements
S/4HANA Conversion with
only Basic Cash Management
With full
S/4HANA Cash Management
S/4HANA
Business Integrity Screening
Governance and Control
Bank Account Management and Cash Management
Manage
Bank
Account
s
Capture
Bank
Balance
s
Forecast
/
Planning
Process
Paymen
t
Bank
Message
Transmission
s
• AP/AR
• Payroll
• Treasury
• In-house
Cash
• Other… SAP Multi-
Bank
Connectivity*
Alliance Lite 2
Direct Bank Integration
* SAP Multi-Bank Connectivity offers seamless connectivity with the banks
for payments, statuses and account statements for ECC and all S/4
landscapes. Required for S/4HANA Cloud deployments.
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Collaborative
Enterprise Planning
Sales
IT
Supply
Chain
Marketing
Workforce
Accounting/Local close
Consolidation/
Group close
Integrated platform supporting pro-active business steeringIntelligent Analytics, Planning & Consolidation, Integrated to the Source
Single financial truth
Integrated entity
and group close
Finance
Integrated Planning and Consolidation
Across all
domains &
company-wide
Collaborative
enterprise planning,
from Strategy to
Operations
Horizontally integrated
(Analytics/Planning/
Consolidation)
&
Vertically integrated
(to the source
transactional data)
47PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Traditional consolidation tools require multiple
extract, transform and load steps – inefficient,
time-consuming and restricted to period-end
▪ Limited dimensionality in the consolidation
system for financial analysis with limited
drilldown
▪ Frequent black box for items in consolidated
financial statement
▪ Distinct technologies with separate data models
and user experience
SAP S/4HANA Finance for Group ReportingMore transparent, more efficient group consolidation
Converting to S/4HANA
Without S/4HANA Group
Reporting
With S/4HANA Finance for
Group Reporting
▪ Group consolidation is in the ERP –
working directly on the Universal
Journal ensuring accelerated
processing and full drilldown to detailed
entries
▪ Sophisticated financial analysis across
dimensional detail of universal journal
▪ Consolidated financial statement fully
substantiated by accounting journals
▪ Shared technology, data model, apps,
master data, user experience
48PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ Traditional planning tools require
multiple extract, transform and load
steps – inefficient and time
consuming
▪ Master data must be maintained in
multiple places
▪ Allocation logic has to be duplicated for
actuals and plans
▪ Roles and security have to be
maintained in multiple systems – and
kept synchronised to avoid breaches
SAP Analytics Cloud for Financial Planning
Converting to S/4HANA without
SAP Analytics Cloud
SAP Analytics Cloud
for Financial Planning
▪ Live analytics means data does not
have to be transferred between
systems
▪ Out-of-the-box templates for Real-
time analysis of plan vs actual
▪ Multiple iterations of plan and budget
can be stored in the Cloud without
impact on the ERP
▪ Flexible private versioning by user
prior to submission
▪ Shared master data between
S/4HANA and the FP&A process
Analytical
Reports
Planning
Content
SAC/DBR
dashboards
Financial statement
planning & capex
planning
KPI and financial
statement reports
Sales and
Profitability
Planning
Trend reportsProduct cost
simulation
Variance reports
(Actual vs. Plan,
YOY)
Cost and Activity
Planning
Reconciliation
Headcount &
Employee-related
Expense Planning
Local & Global Currency
PUBLIC
SAP S/4HANA for Finance: Reasons to move
50PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA’s Unique Formula for an Intelligent FinanceThe unbeatable combination of ingredients creates the power to transform core finance processes
• Redesigned, simplified & automated processes
• Embedded anytime Analytics with prediction
• Cross-company integration
• Proactive business contextual assistance
• Business situation support and alerts
• Speech controlled assistance
Intelligent Finance Applications
Assisted User Interface
Single
Financial
Truth
• Single journal entry – no redundancy
• Actual, plan, simulation data
• Reconciled and consistent by design
• Transactional and analytical data
• Real-time speed
• Unlimited drill-down Integrated Data Platform
Universal Journal
Intelligent Technologies• AI / Machine learning
• Predictive analytics
It’s time to
move to
SAP
S/4HANA !
PUBLIC
SAP S/4HANA for Finance: Discovery Workshop
52PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Discovery Service - Move to Intelligent Enterprise
Outcomes / Value Mapping
Discovery Service Modules
Business Process Assessment Service
Pre
-sa
les / I
VA
Bu
sin
ess C
ase
Cloud secure and compliant check
SAP Business Technology Platform (BTP)
S/4HANA
Discovery
Typical outputs:
Value Management Framework
aligning business outcomes /
benefits with solution capabilities
Potential transformation paths
Heat map on scope and potential
benefits
Roadmap with prioritized
intelligent scenarios
Mapped and prioritized
innovative scenarios
High-level effort and time line
estimates
CUSTOMER QUESTIONS
Pre-defined services:• Easy to deploy• Rapid value• Scalable
Minimum foundation service
Determined by Customer scope, module selection and scheduling availability
Business
NetworkAN
AIN LBN
WHY
WHAT
HOW
53PUBLIC© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Discovery Workshop for S/4HANA
Business Value
▪ SAP S/4HANA incremental value potential
matched to business scenarios and today’s
usage of SAP ERP
▪ Initial guidance and high-level
roadmap/timeline to start a successful SAP
S/4HANA adoption
With the S/4HANA discovery workshop service, customers can assess the relevant scope of SAP S/4HANA, including embedded
innovation scenarios, and the readiness to adopt it. Using a value-based approach, an on-site workshop provides guidance
about the benefits and transformation paths of adopting SAP S/4HANA
Business needs
▪ Understand the scope and benefits of SAP S/4HANA
▪ Identify most beneficial areas of your current value chain impacted by SAP S/4HANA
▪ Ascertain how to start your transition to SAP S/4HANA
▪ Understand functional and technical changes of SAP S/4HANA
▪ Understand what intelligent capabilities are embedded in S/4HANA, and what’s available beyond S/4HANA
to support realization of customer’s strategy in each business domain
Delivery approach and scope
▪ Relevant customer and system information are gathered in an up-front validation providing a Business
Scenario Recommendation + Spotlight Report, a Readiness Check and a Custom Code Analyzer based
on current process and system usage
▪ Onsite/virtual workshop (10-12 meetings, 5 weeks elapsed time) follows a comprehensive framework, and
outlines to the tailored SAP S/4HANA scope the improvements & innovative business scenarios enabled
by SAP S/4HANA*; furthermore, an initial discussion on how to handle HR processes will take place
▪ Outline of potential transformation paths to S/4HANA
▪ Benefit analysis with heat map on customer’s relevant scope and potential benefits of SAP S/4HANA
▪ High-level roadmap with prioritized intelligent scenarios – to be included into S/4HANA project plans, or
prototyped/ deployed in separate projects
Deliverables
▪ Mapping of pain points against opportunities, heatmap for each functional domain
▪ Suggested transition path
▪ High-level architecture
▪ High-level roadmap and timeline * Refers to full-fledged functional domains (Finance,
Order to Cash, Procure to Pay, Plan to Product)
https://webinars.sap.com/mea/sap-services-emea-south-intelligent-enterprise/en/home
Contact information:
Nathalie Vallez
Project Chief Consultant,
DBS EMEA South S/4HANA & Innovation
SAP France, 35 Rue d'Alsace, 92300 Levallois-Perret
+ 33 6 11 14 26 14
Thank you.
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