COPA in SAP S/4HANA: Introductory Presentation

COPA stands for Costing-based Profitability Analysis, a tool that allows companies to analyze their profitability by different segments, such as products, customers, regions, etc. SAP S/4 HANA offers two approaches of COPA: account-based and costing-based. The main difference between them is that account-based COPA uses the general ledger as the single source of truth, while costing-based COPA uses a separate data model that can be customized with different valuation methods and characteristics.

This document provides an overview of profitability analysis (COPA) in SAP S/4HANA. It compares account-based, costing-based, and combined COPA approaches. Advantages of costing-based COPA include flexibility, additional planning features, and using separate tables. S/4HANA enhancements make account-based COPA advantageous with capabilities like cost component splits. A combined approach integrates with FI to avoid reconciliation issues. Examples demonstrate mapping of costs, revenue conditions, order entries, and reporting for each approach.

  • Introduction to COPA for profitability analysis
  • Types of COPA – account-based, costing-based, combined
  • Comparison of account-based and costing-based approaches
  • SAP S/4HANA changes impacting COPA
  • Advantages of account-based COPA in S/4HANA
  • Examples of mapping costs, revenue, orders for each approach
  • Reporting and analytics capabilities for each approach
  • Conclusion on recommended COPA approach for S/4HANA

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SAP Revenue Recognition: Quick Reference Guide

In SAP, Revenue Recognition is the process of recording the income and expenses related to a sale or service in the accounting period in which they occur.

This document provides an overview of revenue recognition concepts and implementation in SAP. It covers revenue recognition principles, methods and their financial statement implications, key differences between US GAAP and IFRS, and business benefits. Steps are provided to activate revenue recognition in SAP including system requirements. Configuration of GL accounts, account determination, and item categories is explained. Examples demonstrate transactional and month-end revenue recognition postings.

  • Introduction to revenue and revenue recognition concepts
  • Revenue recognition principles and methods with financial statement impacts
  • Comparison of revenue recognition between US GAAP and IFRS
  • Business benefits of accurate revenue recognition
  • Steps to activate revenue recognition in SAP
  • Configuration of GL accounts, account determination, item categories
  • Transactional and month-end revenue recognition posting examples
  • Enhancement options using BTEs

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TRM in SAP S4HANA: Overview Presentation

The document provides an overview of SAP Treasury and Risk Management (TRM), which is a module within the SAP S/4HANA enterprise resource planning system. The purpose of SAP TRM is to help organizations effectively manage their treasury operations and mitigate financial risks.

The main topics covered in the document include:

  • Introduction to SAP TRM
  • Purpose and benefits of SAP TRM
  • Role and key functions of Treasury and Risk Management
  • Cash management
  • Payment management
  • Multi-bank connectivity
  • Working capital management
  • Market rates management
  • Integration of SAP TRM with other systems

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SAP MM-SD and SD-FI Integration Points

The integration of SAP modules is essential for efficient business operations. This article explores the key touch points between Materials Management (MM), Sales and Distribution (SD), and Financial Accounting (FI).

Integration PointDescriptionKey Considerations for SAP Consultants
Sales OrderSD triggers the creation of a sales order, prompting MM to check material availability in stock or initiate procurement.Ensure consistent pricing and data across MM and SD.
DeliveryOnce a delivery is created in SD, MM ensures the correct goods are picked, packed, and shipped to customers.Automate delivery processes to minimize manual interventions and errors.
Stock UpdatesAfter goods issue in SD, MM updates inventory levels and triggers relevant accounting entries.Implement regular stock reconciliation to ensure accurate inventory records.
ReturnsWhen returns occur, MM and SD work together to manage reverse logistics and stock updates.Establish clear and efficient return procedures to ensure timely and accurate processing.
Revenue RecognitionSD provides data on sales transactions, enabling FI to recognize revenue and record relevant accounts receivable.Configure revenue recognition rules in FI to align with your accounting policies.
Customer InvoicingSD generates customer invoices, with FI managing accounts receivable and subsequent cash entries.Automate the invoicing process to ensure timely and accurate invoices are sent to customers.
Sales TaxSD calculates taxes like VAT, and FI ensures proper accounting and compliance with tax regulations.Configure tax codes and rates in FI to ensure accurate tax calculations and compliance.
Credit ManagementSD’s credit limits influence FI’s credit exposure and bad debt provisions.Implement robust credit management policies and procedures to minimize risk and bad debts.

Implications for SAP Consultants

SAP consultants can help businesses achieve seamless and efficient business processes by:

  • Maintaining consistent and accurate master data across MM, SD, and FI.
  • Thoroughly testing end-to-end processes to identify and resolve any integration issues.
  • Encouraging cross-functional training to foster better understanding and collaboration between MM, SD, and FI teams.
  • Continuously optimizing MM-SD and SD-FI processes to enhance efficiency, reduce manual interventions, and boost productivity.
  • Staying abreast of SAP updates and advancements.

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GST Configuration in SAP S4HANA: Complete Guide

GST is a comprehensive indirect tax system implemented in India. All businesses need to obtain a GST Identification Number (GSTIN) and configure GST in their ERP system.
This PDF document provides a comprehensive guide for configuring GST in SAP S/4HANA step-by-step following the IMG menu path. Key configurations covered include business place, condition types, account keys, G/L accounts, account determination, tax procedure definition and assignment.
List of steps covered in the document are:

  1. Activate business place and define business places for company codes.
  2. Define access sequence for GST condition types.
  3. Create condition types for input and output GST – CGST, SGST, IGST.
  4. Define transaction tax account keys for input and output GST accounting.
  5. Create G/L accounts to post GST amounts.
  6. Do account determination to map G/L accounts to tax account keys.
  7. Define tax calculation procedure with condition types, access keys, calculation steps.
  8. Assign GST tax procedure to India in SAP.

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SAP CO: End User Manual Sample for Cement Industry

This document [132 Pages PDF] provides an overview of key SAP Controlling processes and transactions for end users in the cement industry. It covers essential day-to-day Controlling activities required for cost tracking, reporting, and management decision making. The manual is intended to serve as a hands-on reference guide for Controlling trainers to educate cement company users on utilizing SAP functionality.

Following list of processes are covered with step-by-step instructions and screenshots in this document:

  • Maintenance of Master Data
    • Cost Center
    • Cost Center Group
    • Profit Center
    • Profit Center Group
    • Cost Element
    • Cost Element Group
    • Activity Type & Activity Type Groups
    • Posting Keys
    • Document Type
  • Costing Process
    • Planning Process
      • Cost Center Planning
      • Internal Order Planning
      • Manufacturing Cost Center Planning
      • Product Cost Planning
      • Activity Type Planning
      • Cost Element Planning
      • Standard Cost Estimation for Products
    • Actual Processing
      • Internal Order Actual Calculation
      • Overhead Cost Calculation
      • Actual Cost Calculation
    • Period End Closing Transactions
  • Reports
    • Cost Centers Report
    • Internal Orders Report

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SAP S/4 HANA Finance New Asset Accounting Depreciation Guide

This document provides an overview of the changes and enhancements in the New Asset Accounting module in SAP S/4 HANA Finance, specifically focusing on depreciation.

The New Asset Accounting module in SAP S/4 HANA Finance replaces the classic Asset Accounting found in ECC 6.0. One of the key changes in the New Asset Accounting module is the introduction of a new depreciation program, FAA_Depreciation_Post, which posts pre-calculated planned values. This is a shift from the ECC 6.0 approach where depreciation was calculated in real-time.

The new functionality is consistent across both S/4 HANA OP Edition 1709 and S/4 HANA Finance OP Edition 1503. Other changes in the New Asset Accounting module include:

  • Planned depreciation is now updated with each master record change and every posting to the asset.
  • The depreciation run now posts these pre-calculated values.
  • Journal entries are updated at the asset level in financial accounting.
  • Period-end closing can be executed even if there are errors on individual assets.
  • The depreciation run screen (transaction code AFAB) has undergone changes, including options to run depreciation for multiple company codes and a new tab to display details of the last depreciation run.
  • The document also discusses the depreciation posting rules in New Asset Accounting, including the removal of the “Smoothing” option.

The document provides a structured approach to understanding the enhancements in the New Asset Accounting module in SAP S/4 HANA Finance, with a focus on depreciation.

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Automatic Account Determination Process in SAP MM-FI (ECC / S4HANA)

This document is a detailed guide on the Automatic Account Determination Process in SAP MM-FI (ECC / S4HANA). Here’s a summary of the key points from the document:

  1. Integration with SAP MM and FI Module: The FI Module is linked with the MM Module because operations like Goods Receipt and Invoice Receipt directly impact the financial operation of the organization. Inventory postings update the G/L Accounts online in the background.
  2. Roles of Automatic Account Determination: In SAP MM, the procurement process involves costs that need to be paid to the vendor. Some configuration for account determination is done so that the system will automatically determine the correct G/L account that needs to be posted.
  3. Customizing: This involves several steps including:
    • Assigning the Company Code to Chart of Accounts
    • Setting the Valuation level (T-code OX14)
    • Grouping Together Valuation Areas
    • Defining Material type (T-code OMS2) and Valuation class
    • Defining Account Grouping for Movements Types
    • Configuring Automatic Postings
  4. Managing Message number no M8147 Account determination: This issue means that the system cannot update a G/L account for a transaction. You cannot post the transaction. This issue can occur in MIGO (goods receipt) and MI07 (when you post inventory difference in physical inventory). The solution is to use the OBYC t-code and go to the GR/IR clearing account (WRX).
  5. Table (T030) to get the details of OBYC: If you want to know transaction keys based on G/L Account or the G/L Accounts based on Transaction keys / valuation grouping code /Account modifier / chart of accounts, you can use two t-codes: SE11 (to display the structure of the tables (T030)) and SE16N (to see the content of table (T030)).

The document also provides several examples and simulations to illustrate the concepts and steps involved in the Automatic Account Determination Process.

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SAP Funds Management for Public Sector: End-to-End Implementation Scenario

Funds Management component is a part of the SAP Public Sector Management (SAP-PSM) module, which is primarily used by public institutions, agencies, and non-profit organizations to manage their finances. This module integrates various functions such as budget formulation, preparation, execution, and reporting, while adhering to management standards. Funds management involves tracking the flow of funds from source to application and is a crucial task for public sector organizations.
In this implementation guide, a business scenario with an end to end cycle in Funds Management is discussed under following configuration tasks:

  • Organization Structure
  • Master Data
  • Accounting Assignment
  • Controlling Assignment
  • Budget Structure
  • Derivation Rules
  • Availability Control
  • Status Management

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