Simplify Your M&A Deals
Do you need an accelerated deployment approach to enable scalable growth to meet your business objectives? Are you looking to bring together financial information from any and all sources to provide centralized visibility and operational control? Do you want to harmonize and standardize real time information, resulting in one source of truth and reducing the need for separate reporting solutions? If so, this information is for you.
What are your transformation needs?
Business norms have abruptly changed and speed to market has become essential. Our customers are finding they need continuous improvement across multiple ERP landscapes through standardization, centralization, and automation, especially when considering business growth through acquisitions. They desire systems that support self-service, greater transparency, data quality, and unified reporting. Consolidation and reporting are simplified through gathering all data under one umbrella. This simplification, exception-only interaction, and robotics process automation (think about a transactional activity such as cash application) enhances the ability of shared service centers to function more efficiently and effectively.
When considering a merger, acquisition, or even a divestiture, our customers are looking for reduced risk through a phased transformation aligned with organizational readiness. They also need a simplified governance model and IT landscape during an organizational transformation.
When embarking on a merger, acquisition, or divestiture, it is imperative to have the following:
- Real-time financial statement reporting
- Data harmonization
- Finance and operational shared services (central application of payables and receivables)
- Global tax reporting and compliance
- Centralized finance environment as an M&A hub
- Platform for detailed analysis before, during, and after M&A
- Acceleration of integration and consolidation without disruption
- Simplified consolidated financial and management reporting/planning
- Centralized processing and planning
- Compliance with existing and new regulatory standards
What Differentiates SAP?
SAP offers solutions to help as you may be considering different business models. S/4 HANA-based Central Finance is a technical and business optimization platform. Central Finance is one of our most popular tools and is unique and unparalleled in the marketplace! Numerous organizations are leveraging this invaluable solution to address requirements related to central reporting, scalable process execution and finance business transformation in multi-ERP system landscapes. It has been seen as a silver bullet for organizations with legacy system technology that also need to make process and procedural changes due to the age of their systems. It serves as a catalyst for M&A deals and to adopt innovations that further evolve the finance business model, capabilities and service levels of the organization. Central Finance is a tool for supporting the broader enterprise, not just finance.
Notably, Central Finance is a stepping stone to help companies adopt finance innovation cross-system and enterprise-wide at their own speed because local processes can remain intact while replicating the financial transactions universally with the following value-driven results:
- Faster closing process
- Tax optimization
- Harmonization of higher-quality data across regions and company departments
- New real-time planning opportunities and predictive outcomes
- Lower total cost of ownership through a simplified landscape
- Integrated and streamlined financial processes and increased visibility and transparency
- Enhanced reconciliation and profitability analysis
- Unified view of data and processes for a single version of the truth
- Real-time insights into all business financial information
- Innovation and growth and support for mergers, acquisitions and divestitures
A complementary tool, SAP Transaction replication by Magnitude is co-innovated with SAP and is utilized for non-SAP ERP integration of systems. It facilitates the pass-through financial transactions from non-SAP systems to Central Finance. It is highly scalable with feature-rich integration using SAP technology. It uses a 3rd party staging area architected for minimal impact to the sources. It provides real-time replication of data so information is available quickly and accurately. Utilizing Magnitude lowers total cost of ownership through quick installation and utilization of prebuilt source-to-target mappings for non-SAP systems. Magnitude interacts with Central Finance by creating a foundation for master data, loading financial documents, allowing the ability to view original transactional details and documents, and write back to source.
The unique opportunity for M&A deals created by economic uncertainty across the globe accelerates the need for efficient, simplified digital execution of deal closures. SAP’s Finance and Risk Value Advisory would welcome a conversation with you to demonstrate the most important aspects of SAP S/4HANA and Central Finance value and how you can accomplish your strategic objectives in this dynamically changing environment.