This blog will detail the important points to consider for a conversion.
As a first step we need to determine the business processes that will be impacted when making the conversion to S/4. For that you need to check the simplification list Simplification
As approach it is important to know the following points:
• Business Partner Approach (Customer/Vendor integration) mandatory in S/4HANA
• The FI-AR-CR Credit Management has been replaced by SAP Credit Management (FIN-FSCM-CR)
• Material Ledger mandatory for material valuation
• Classic Cash Management has been replaced by new SAP Cash Management.
• New Asset Accounting Required
• Classic Real Estate has been replaced by New Real Estate
• Fiori 2.0 required if Fiori is used in 1709
• Traditional Foreign Trade functionality in SD/MM replaced by Global Trade Server
• Revenue Recognition in SD (SD-RR) has been replaced by free of charge add on Revenue Accounting and Reporting
Check this link:
Now it is necessary to understand that: S/4 HANA Conversion is not a technical upgrade only. It includes functional changes. This must be considered appropriately in the project plan.
And now talking about Finance Conversion you need know:
- SAP conversion programs read data from old tables and transfer them to new structures.
- Compatibility views (tables) are created to make old reports / transaction codes work.
- Configuration/customizing has to be adapted in some areas (see Simplification List).
- For Finance the customizing has to be done during Conversion. It cannot be prepared in the old system.
- With a system Conversion it is not possible to activate new functionalities like document split, parallel ledgers etc. Classic general ledger is transferred technically to new general ledger/ACDOCA without activating new functionalitie
The tasks to be performed in the source system before conversion are the following:
- Identify and review the relevant Simplification items
- Prepare Asset Accounting and Material Ledger
- Run Customizing pre-checks and adapt settings, if needed
- Check consistency and reconcile data
- Period end closing activities
- Document your posting data
- Archive data no longer need
Preparing Application Specific Tasks
Finally at the time of making the conversion it is important to know 2 things:
1- During the migration of information, errors of information inconsistencies can be detected:
- Inconsistencies caused by hardware defect (e.g. corrupt blocks)
- Inconsistencies caused by user handling errors (e.g. switching off line item display in FI
- without line item deletion, missing balance carry forward, etc.)
- Customer reports without consistent updates on the database
- Manipulation on the database (e.g. direct postings on reconciliation accounts)
- Improper customizing changes (without respecting warning messages)
- Wrong migration (from former migrations)
- Wrong data management strategy (e.g. deletion of wrong data, archiving of FI data of the current fiscal year)
2- Recon Reports (to be run before and after conversion)
- The financial statements (program RFBILA00)
- The asset history sheet (program RAGITT_ALV01)
- The depreciation run for the planned depreciations (program RAHAFA_ALV01)
- The totals report for cost centers (transaction S_ALR_87013611)
- Sales order selection (program RKKBSELL)
- The G/L account balance list (program RFSSLD00)
- The general ledger line items list (program RFSOPO00)
- The compact document journal (program RFBELJ00)
- The vendor sales (program RFKUML00)
- The vendor open item list (program RFKEPL00)
- The customer sales (program RFKUML00)
- The customer open item list (program RFDEPL00)
- The customer recurring entry original documents (program RFDAUB00)
- The cost centers: actual/plan/variance (transaction GR55 with report group 1SIP)