Intelligent ERP Update: SAP S/4HANA Cloud 1911 Release for Finance
Welcome to release SAP S/4HANA Cloud 1911. This blog provides you with a selection of highlights in finance, such as Embedded Analytics powered by SAP Analytics Cloud and SAP Fiori, Product Cost Simulation and Profitability Planning with SAP Analytics Cloud, Top Down Distribution and brand new Asset Accounting app.
Watch my video and get a quick overview of the 1911 highlights including demos:
Video 1: Release Highlight Video on Finance
Embedded analytics powered by SAP Analytics Cloud and SAP Fiori
You can now use reporting and data visualization via dashboards and multidimensional reports based on SAP Analytics Cloud. The reporting is fully embedded into the SAP S/4HANA Cloud user experience which allows for a seamless navigation between your SAP Fiori Launchpad, SAP Analytics Cloud reports and SAP S/4HANA Cloud apps. This way, the system provides you with an overview of your most important KPIs of interest and with the possibility of creating a custom dashboard which can be linked as a tile in the SAP Fiori Launchpad. Using the intuitive dashboard creation capabilities of SAP Analytics Cloud you can ultimately increase efficiency and effectiveness of management reporting and decision making.
Video 2: Embedded Analytics in SAP S/4HANA Cloud for Finance
Product cost simulation and profitability planning with SAP Analytics
Product cost simulation and profitability planning are now part of the financial planning process in SAP Analytics Cloud. They are delivered with the ‘Integrated Financial Planning’ business content in SAP Analytics Cloud. Like the existing content, the new features are based on the SAP S/4HANA data model in Accounting and are fully integrated with it. Data from SAP S/4HANA Cloud are loaded into SAP Analytics Cloud and planning results are written back to SAP S/4HANA Cloud. The product cost simulation and profitability planning consider the quantity structure, raw material price, lot size and overhead costs for product cost rates and combines the outcome of cost and activity planning, product cost simulation, and revenue planning in profitability planning. You can easily apply simulations with different business parameters and create plans for future expectations.
Picture 1: Profitability Simulation and Planning
Top down distribution with Universal Allocation
Profitability Analysis, sales revenues, sales deductions, and costs of goods manufactured are generally posted and analyzed at customer or product level. However, many business transactions – such as freight invoices, insurance expenses, or advertising – cannot easily be assigned to such a detailed level. Consequently, these need to be posted at a summarized level, such as the customer group, sales organization, or even company code level and need to be distributed periodically to product and customer level. The new Top-down distribution is a periodic function where you distribute the aggregated transaction data to more detailed levels based on reference information. It has been integrated into the universal allocation framework and is built on the data structures of the Universal Journal.
Picture 2: Top-Down Distribution
Further highlights not covered in the video
Manage Fixed Assets
There is a new SAP Fiori user experience to manage your fixed assets master data, work lists and to get a picture of your assets valuations. You can create a main asset from scratch or create an asset with reference to an existing asset. Furthermore you can create a sub asset of an existing main asset. And you can change existing assets, block an asset from further acquisition, and delete an asset for which there are not journal entries posted yet. The app allows you to effectively manage a work list of fixed assets and quickly get an overview of the status of all assets in the list. According to specific criteria such as company code or asset class, you can quickly refine the list to show, for example, only incomplete assets, capitalized assets, or retired assets. Moreover you easily get a complete picture of the valuation for an asset. In the Value Display section, you can see the asset’s values per depreciation area and ledger, navigate to the relevant journal entries, and even change some deprecation parameters to simulate the depreciation results.
SAP S/4HANA Cloud is delivered with two currency types that you can use for your company code currency and your group currency. With this release, if your business requires an additional currency, you can configure your own currency type, e. g. a functional currency. Per company code, you can configure one currency in addition to the two pre-delivered SAP currency types . The new currencies are converted in real time for each journal entry according to the specified currency conversion settings.
For more information on SAP S/4HANA Cloud, check out the following links:
- SAP S/4HANA Cloud release info: http://www.sap.com/s4-cloudrelease
- Sven Denecken’s SAP S/4HANA Cloud 1911 Release Blog
- Rolf Sieberg’s Blog on Embedded Analytics Powered by SAP Analytics Cloud and SAP Fiori
- Katharina Doerr’s Blog on Finance Reports with Embedded Analytics Powered by SAP Analytics Cloud and SAP Fiori
- Best practices for SAP S/4HANA Cloud here
- Best practices for SAP Best Practices for SAP Intelligent Robotic Process Automation integration with SAP S/4HANA here
- SAP S/4HANA Cloud User Community here
- Feature Scope Description here
- Implementation Portal here
- What’s New here
- Help Portal Product Page here
- SAP S/4HANA Podcast Series ‘Inside SAP S/4HANA’
- Check out release blogs from earlier releases here