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Author's profile photo Dhananjay Singh

What’s New in S/4HANA 2023 for IS-Oil and Gas

S/4HANA 2023 was released this month and is available both for the SAP S/4HANA cloud private edition as part of RISE with SAP and for on-premise S/4HANA. I have picked up the innovation and functionality introduced in the area of IS-Oil and Gas. In this release, a total of seventeen functionality were introduced or changed exclusively for the oil and gas business. Generic innovation applicable across industries is not covered in this blog post.

Below are the details of the key innovations of S/4HANA 2023 IS-Oil & Gas till FPS01 introduced in this blog post.

New features and functionalities in S/4HANA 2023 which are specifically designed for the Oil and Gas sector:

  1. Collective Division of Interest – New – This is a new functionality added to the Production and Revenue Accounting area. Using this new feature, all the relevant information related to DOI can be maintained on a single dashboard. This includes new attributes added to division order, like ownership attribute group and dynamic SD instruction.
  2. Serial Number and Item Distribution in Process Receipts: Stock and Non-Stock Items – New – This feature has been added to the Field Logistics area. This feature offers the ability to view serial number information in the serial number facet. This facet can be used to view existing serial numbers, assign serial numbers, and auto-create serial numbers for stock items. For non-warehouse scenarios, you can view item distribution information in the item distribution facet. This facet can be used to distribute the delivered quantity into different storage locations, stock types, batches, and serial numbers for stock items.
  3. Initiate Returns by Maintenance Order Enhancements – New – This feature is added in the Field Logistics area. By using this feature, you can create a return draft automatically while performing a return to remote stock. In the configuration setting, create Outbound Delivery checkbox is selected by default, and the recommended action is defaulted.
  4. Dynamic Settlement Diversity Instruction – New – This is a new functionality added to the Production and Revenue Accounting area. You can use the standard extension options to provide dynamic rule-based assignment of settlement variation formulas to owners of PRA revenue. The dynamic changes in SDF also support the new concept of a smart formula for those cases where the SDF formula construction itself can also be derived through business rules. Smart formulas can enable customers to calculate the designated owner settlement using an alternate contract price or the new maximum or base value price. Additional smart formula controls allow you to apply a condition: override bearer groups, alter the tax allocation basis, or alter the level of payable detail.
  5. Enhancement to Handle Account Assigned Stock Transfer Requisition with Item Category N in Maintenance Order-New Again, this feature is added in the Field Logistics area. This newly added innovation will enables you to procure components using SP12 supply processes with item category non-stock and create account-assigned stock transport requisitions from maintenance orders.
  6. Enhance the Supply Process Document Flow to Support All Stock Supply Processes (Forwards)—New – This feature has been added to the Field Logistics area. This feature enables you to get a view of all the documents created in the supply process when a request is raised for a maintenance order by the demand plant. It tracks the documents in the process until receipt at the remote location for all stock supply processes.
  7. Process – Cross Plant Receipts Enhancements – New – This feature has been added to the Field Logistics area. Below is a new innovation introduced in this area:
    • View the auto-determined storage location when receiving items at a receiving plant with only one storage location.
    • Maintain the data manually as per the requirement.
    • Without an activated kitting feature for the supply process, you can view maintenance order, reservation, and reservation items in the Process for Cross-Plant Receipts application.
    • Scan functionality for handling unit and products for GS1-compliant bar codes in addition to the existing QR code support
    • Receive stock transfers from one base location to another.
  8. Logistics Tracking – New – This feature has been added to the Field Logistics area. Below are the innovations included in the logistics tracking area:
    • Track the logistics items throughout the supply and return process, where demand originates from the maintenance orders.
    • Track the logistics milestone events and progress of stock, non-stock, and supplier items associated with a service.
    • Track the details of the risks that occurred in the logistics journey, navigate to the related business documents, and take action on them.
    • Delivered milestone events and associated risks, adjusting the risk and irregularities or threats for a given milestone completion can be configured as per business requirements.
  9. PRA Division Order Interest – Changed – This is a change in the features in the Production and Revenue Accounting area. A new field for assignment of Ownership Attribute Group and Dynamic SD Instruction was added to the PRA division order interest data migration object and API.
  10. Initiate Returns by Product Enhancements – New – Again, this feature is added in the Field Logistics area. This innovation streamlines the current return process, below are the functionality added:
    • In addition to existing QR code support, scan functionality for handling units, products, and batch or serialized material items for GS1-compliant bar codes was added.
    • Using the Print Preview option, labels can be tracked from the object page. From the worklist page, a view of options available for print product or handling unit labels for multiple items
    • Autoconfirm available for any warehouse tasks for non-stock and service items using the load quantity.
    • By using the Process Warehouse application, you can perform picking for non-stock and service items.
    • An option to create an outbound delivery checkbox will be selected by default.
  11. TM-Based Shipment Cost Calculation – New – Again, this feature is added in the Field Logistics area for the customer who are using TM in their landscape. Integration Customizing to be setup for BgRFC setup to enable the data transfer between IS-OIL and TM. Location for TSW and transportation connection points master data objects to be mapped You will have the option of mapping vehicle and event types based on your business requirements. An application integration is to be set up between IS-OIL and TM. In TM cost calculation, settlement, and distribution can be configured as per the customer requirement.
  12. Field Logistics Voyages Enhancements – New – This feature has been added to the Field Logistics area. These new features improve the voyage set-up functionality within field logistics:
    • The voyage summary document can be configured with custom fields.
    • In the voyage stages, planned departure and arrival times can be maintained.
    • On the worklist page, a voyage summary for multiple items can be viewed.
  13. Ownership Attribute Group – New – This is a new functionality added to the Production and Revenue Accounting area. A new entity called an Owner Attribute Group was introduced, which can be assigned to owners within a division of interest (DOI). This feature will simplify the maintenance of common or lease-specific marketing-free attributes for PRA owners.
  14. Maintain ACM Applications – Changed – A new app was introduced, ‘Maintain ACM Applications’, which will replace ‘Manage Applications’ apps. The Manage Applications app will be deleted from the SAP Fiori launchpad in the SAP S/4HANA 2024 release, so plan for the transition if you are using this app in your business. This new app comes with features like:
    • Within the contracts, apply and reverse documents to or from contracts and pricing lots.
    • View the details of the application document, and you can request spot contracts and accumulate them into your own contracts.
  15. Enable Goods Receipt from Valuated Blocked Stock (Movement Type 109) in Process Receipts – Stock and Non-Stock Items – New – This feature has been added to the Field Logistics area. In the business process, a two-step goods receipt is being used for stock materials. This new added feature enables you to perform goods receipts with movement type 109 in the Process Receipts—Stock and Non-Stock Items application.
  16. Objects Released for Developer Extensibility in Field Logistics – New – Again this feature is added in the Field Logistics area. A bunch of ABAP objects were added, changed, or deprecated in field logistics for developer extensibility with the current release of S/4HANA 2023 in the form of BAdIs, CDS views, and business object interfaces. Released objects in the ABAP Development Tools (ADT) can be accessed once connected to SAP S/4HANA. These can be used for integration, custom code, and predefined extension points.
  17. Archiving and ILM Object for Field Logistics Container – New – Again, this feature is added in the Field Logistics area. This new feature enables you to create and enable policies related to containers with attachments. Also display the archived items in Archive Explorer with attachment data.

You can use these new features of IS-Oil & Gas to meet customer requirements, especially in Field Logistics and PRA. New innovation in S/4HANA 2023 for Oil & gas Industry in nutshell:


Summary of S4HANA Innovation for Oil and Gas Industry by Dhananjay Singh

Source: Time to time release of information by SAP O&G product leads and help documents provided by SAP.

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