SAP S/4HANA Conversion : A Guide to Executing and Simplifying Your Conversion

Succeed in your conversion to SAP S/4HANA. This book will help you understand the core aspects and implement a conversion project. You will start with an overview of the SAP S/4HANA conversion tools: Readiness Check, Simplification Item Check report, Maintenance Planner, Custom Code Analysis, SUM (Software Update Manager), and more. You will understand the preparation activities for SAP FI (Finance), SAP CO (Controlling), SAP AA (Asset Accounting), Material Ledger, and COPA (Controlling–Profitability Analysis). And you will find the SAP CVI (Customer/Vendor Integration) steps that can help consultants understand the mandatory activities to be completed as a part of preparation on the SAP ECC (ERP Central Component) system. You will learn the preparation activities for conversion of accounting to SAP S/4HANA, and migration activities: customizing, asset accounting, controlling, and house bank accounts. You will gain knowledge on data migration activities such as the migration of cost elements, technical check of transactional data, material ledger migration enrichment of data, migration of line items, balances, and general ledger allocations to journal entry tables. After reading this book, you will know how to use the Migration Cockpit for data migration and post-conversion activities to successfully execute and implement an SAP S/4 HANA conversion. What You Will Learn Choose an ideal path and planning tools for SAP S/4HANA Start with the preparation step: General Ledger Accounting, Asset Accounting, Controlling, Material Ledger, and so on Use Migration Cockpit for conversion preparation, migration, and post-migration activities Who This Book Is For SAP application consultants, finance consultants, and CVI consultants who need help with SAP S/4HANA conversion Table of Contents About the Author About the Technical Reviewers Acknowledgments Preface Overview of the Book Introduction Chapter 1: An Overview of SAP S/4HANA Cloud Options RISE with SAP S/4HANA Cloud RISE with SAP S/4HANA Cloud, Private Edition Key Features SAP S/4HANA Cloud, Extended Edition Key Features On-Premises Options SAP S/4HANA Hosted in the Customer’s Data Center SAP S/4HANA Hosted by an IaaS Provider (Hyperscaler) Data Center SAP S/4HANA Hosted in SAP HANA Enterprise Cloud (HEC) in an SAP Data Center SAP S/4HANA Hosted in SAP HANA Enterprise Cloud (HEC) in a Hyperscaler Data Center Choosing a Deployment Option SAP S/4HANA Move Planning Tools SAP Readiness Check for SAP S/4HANA Process Discovery Tool SAP Transformation Navigator SAP Fiori App Recommendation Report Conclusions Overview of SAP S/4HANA Capabilities of SAP Accounting Powered by HANA (SAP S/4 HANA Finance) Converting an SAP ECC System to SAP S/4HANA Advantages of the SAP HANA Technology Advantages of SAP S/4HANA Improvements in the Data Model Advantages of the New Data Model Planning Table Fixed Asset Accounting Transparent Depreciation Areas One Document per Valuation Ledger and Accounting Principle Postings S/4HANA Cash Management Bank Relationship Management Transfer Prices Business Partner Approach Now Mandatory Accrual Engine Flexible Workflow MRP Live Lean Service Procurement OLAP and OLTP Together SAP S/4HANA Financial Closing Cockpit New Depreciation Run FI-AR Based Credit Management Is No Longer Recommended SAP S/4HANA Sales Simplified Areas in SAP S/4HANA Sales Foreign Trade Revenue Recognition Financial Consolidation Through Group Reporting SAP Fiori Apps SAP S/4HANA Deployment Options Conclusions Advantages of Cloud Computing Types of Cloud Computing Services Chapter 2: Planning for a Conversion to SAP S/4HANA SAP Readiness Check for SAP S/4HANA Handling Inconsistencies Generating the SAP Readiness Check 2.0 Tool 2: Process Discovery (Formerly Known as SAP Business Scenario Recommendations) An Overview of the Custom Code Analysis Custom Code Analysis and Adoption How Custom Code Analysis Is Performed Tools for Custom Code Analysis Tool for Identifying Unused Custom Code: SCMON Extended Program Check-SLIN Code Inspector -SCI Maintain System Group Information Custom Code Adaptation Conclusions Chapter 3: An Overview of SAP ECC System Conversion Overview of the Conversion Process The Preparation Phase 1. The Readiness Check 2. Maintenance Planner 3. Simplification Item Check (SI Check) Implement 2399707 - Simplification Item Check Update Data Using SAP Note 2568736 – SAP Readiness Check for SAP S/4HANA – Copy ST03N Data 4. Custom Code Analysis The Realization Phase 1. Software Update Manager Software Update Manager 2.0 Software Logistic Tools SUM Maintenance Scenarios: Performing Steps from the SUM Guide Software Update/Upgrade with SUM 1.0/SUM 2.0 Database Migration Option (DMO) Using SUM System Conversion to SAP S/4HANA Using SUM 2.0 2. Unicode Conversion Areas Affected by Unicode Conversion SAP Unicode Conversion Guides Relevancy of Guides Scan Your ABAP Code Software Provisioning Manager (SWPM) Adjustments During and After Conversion or an Upgrade Modifications Carrying Modifications Forward After the Upgrade Process How Modifications Are Adjusted Who Is Responsible for Performing Modification Adjustments? SAP S/4HANA Conversion Project Activities Overview Conclusions Chapter 4: The Customer Vendor Integration (CVI) The SAP Business Partner Concept Customer Vendor Integration (CVI) Executing the SI Check Program Preparing for CVI 1. Implement the Prechecks 2. Archive the Master Data with a Deletion Flag 3. Activate the Business Functions 4. Run the Master Data Consistency Prechecks 4.a. Master Data Inconsistencies Can Be Analyzed Using CVI_MIGRATION_PRECHK 4.b. Field Checks Suppression 5. Set Any Necessary Customizing Settings 5.a. Activate Creation of Post Processing Order (PPO) 5.b. Activate Synchronization Options 5.c. Activate Creation of Post Processing Order (PPO) Customer/Vendor Synchronization: Preparation Phase Customer-Related Preparations Vendor-Related Preparations BP Synchronization Phase Define Number Ranges and Grouping for BP Define Number Ranges and Grouping for BP Mapping Tasks Assign Business Partner Roles to Account Groups Number Assignments (CVI-Target: Business Partner) Value Mapping Activate Assignment of Contact Persons Assign Department Numbers for Contact Person Assign Functions of Contact Person Assign Authority of Contact Person Assign VIP Indicator for Contact Person Assign Marital Statuses Assign Legal Form to Legal Status Assign Payment Cards Assign Industries Assign Business Partner Roles to Account Groups Number Assignments (CVI-Target: Business Partner) Vendor Value Mapping Activate Creation of Post Processing Order (PPO) Activate Synchronization Options Check Synchronization Objects Using the Synchronization Cockpit Maintaining a Business Partner Create a Sold-To Account General Data: Finance Role Company Code Header Set Up the Customer Role – Sales Area Create Ship-To Account Set Up the Customer role - Ship to Sales Area Link the Ship-to Partner to the Sold-to Partner Single Employee-BP Synchronization The Data Model in SAP S/4HANA Business Partner BP Master Data Protection Business Data Toolset (BDT) BP Maser Data Archiving Conclusions Chapter 5: Preparation Phase (Preparations in SAP ECC System Before SUM) – Part 1 Discovery Activities Before Starting the Preparation Activities Fixing Financial Data Inconsistencies Before Conversion Example 1: Error Message FIN_FB_RECON220: Fields in BSIS and BSEG Do Not Match Example 2: Error Message FIN_FB_RECON372: Entry in BSIS with Missing Archiving Flag (Field xarch) Example 3: Error Message FIN_FB_RECON74: Inconsistent Amount for Updating in G/L for this Line Item (Ldg 0L) Example 4: Error Message FIN_FB_RECON76: Inconsistent Amount in the Second Local Currency For This Line Item (Ldg 0L) Example 5: Error Message FIN_FB_RECON517: Fields Mismatch Between BSEG and NewGL Line Item Table Example 6: Error FIN_FB_RECON 376: Entry on BSIK with Missing Archiving Flag (Field xarch) Example 7: Error FIN_FB_RECON 374: Entry on BSID with Missing Archiving Flag (Field xarch) Example 8: Error FIN_FB_RECON 398: Second Local Currency in BKPF Inconsistent Preparation Phase SI Checks Execution (Functional) Error Messages Module – Finance SI2: FIN_MISC_ML SI22: GENERIC_CHECKS SI1: FIN_GL SI2: FIN_AA Sub ID FI_AA_CUST_LEDGER Sub ID FI_AA_CUST_DEPRCHART Sub ID FI_AA_CUST_DEPRAREA Sub ID FI_AA_COMPONENTS Sub ID FI_AA_CUST_ACCOUNT Sub ID FI_AA_CUST_FISCYEAR Sub ID FI_AA_CUST_DEPRAREA_CURRENCY Module - HR SI3: HR_LEARN Module – Material Management SI5: Logistics_MM-IM SI12: Logistics: MM-IM SI1: Logistics MM-IM Module – PP SI2: Logistics: PP_MRP SI5: MasterData_PM SI32: Logistics_PLM SI5: Masterdata_PM SI2: Logistics_PP-MRP Module SD Warnings SI5: CT_OM Important Checks in FI-GL Before Conversion in the ECC System Conclusions Chapter 6: Preparation Phase (Preparation for Conversion of SAP ECC Asset Accounting to SAP S/4HANA New Asset Accounting) – Part 2 Conversion/Migration Scenarios EA-FIN Financial Extension Example 2 Preparation Activity SAP Note 2406313 Shows Two Alternatives Alternative 1: Archiving No Migration (Conversion) Alternative 2: Manual Migration of Chart of Depreciation and Migration of Transaction Data Checking the Prerequisites Before Starting SUM for Conversion Check Item “SI2: FIN_AA” Correction Action An Overview of the SAP Asset Accounting Migration Flow Configuration of Chart of Depreciation Under Ledger Approach Parallel Accounting Using the Ledger Approach Specify Transfer of APC Values Technical Clearing Account for Integrated Asset Acquisition Configuration of a Chart of Depreciation Using the Account Approach Conclusions Chapter 7: Preparation Phase (Preparation Prior to Conversion) – Part 3 Credit Management Preparations for Conversion Determining if the Source System Has Credit Management Functionality Identifying the Use of FSCM-CR (FSM-Based Credit Management) Prerequisites for Migrating to SAP Credit Management The Influence on User Activity and Business Processes Credit Management Preparation and Migration Activities After SUM Material Ledger Preparation for Conversion Before SUM (Before System Conversion) Material Ledger Preparation Activities Material Ledger Data Migration Start and Monitor Data Migration Step M10 of the Migration Monitor Step M11 of the Migration Monitor Step M21 of the Migration Monitor Actual Costing Preparation for Conversion Trade Finance Preparation for Conversion Pre-Transition Checks Preparing for Migration of Financial Documents to Trade Finance Business Case 2 Revenue Recognition Preparation for Conversion Business Process Which Transaction Codes Are Affected? How Do You Resolve This Error? Preparation for Classic Cash Management for Conversion Cash and Liquidity Management to SAP S/4HANA After Accounting Conversion Conclusions Chapter 8: Realization Phase (Preparation and Migration of Customizing) The Role of the Software Update Manager (SUM) Tool When Is the SPDD Activity Completed? How Do Users Know When SUM Reaches Downtime and What Activities Will Be Done by the Administrator? When Will the SPAU Activities Be Done? What Is the Menu Path for the Conversion Cockpit? Converting Accounting to SAP S/4HANA Special Authorizations to Execute the Cockpit Preparations and Migration of Customizing Data Migration Activities After Migration Tasks Before Starting Preparation Activities for the Cockpit Preparations and Migration of Customizing Preparations and Migration of Customizing for GL Check and Adopt Fiscal Year Variants Define Currency Settings for Migration Migrate General Ledger Customizing Define Settings for Ledgers and Currency Types Additional Settings Review the Assignment of Ledger and Company Code to Acc.-Principles Define Ledger for CO Version Define Document Types for Postings in CO Defining the CO Document Type Define Document Type Mapping for CO Business Transactions Check and Define Default Values for Postings in CO Define Offsetting Account Determination Type Define Source Ledger for Migration of Balances Check and Define Settings for Substitution for Cost-of-Sales Accounting Check and Define Settings of Controlling Area Execute Consistency Check of GL Settings Preparation and Migration of Customizing: Accrual Engine Migration Precheck for Customizing Migration of Customizing and Migration of Transactional Data Manual Migration Steps for Account Determination Can You Use the System Before the Migration of Accrual Engine Data? Does the Authorization Change? Preparation and Migration of Customizing for AA Is Migration of Chart of Depreciation Needed for All Systems? Migrating a Chart of Depreciation Performing Additional Manual Activities What Is a Technical Clearing Account? Activate Asset Accounting (New) Preparation and Migration of Customizing for Controlling Step 1: Execute BW-Delta Extraction for Account-Based CO-PA Step 2: Adapt Settings for Profitability Segment Characteristics Step 3: Maintain Operating Concern Important Points Preparations and Migration of Customizing for ML Preparations for Migration of House Bank Accounts Data Migration Process Introduction Data Migration What Is Partitioning of Universal Journal Entry Line Items Table? Executing the “Regenerate CDS Views and Field Mapping” Step Analyzing the Transactional Data Step Migration of Cost Elements Technical Check of Transactional Data Material Ledger Migration Migration of Line Items Migration of Balances House Bank Migration Migration of House Bank Accounts Migration of General Ledger Allocations to Journal Entry Tables Complete Migration Post-Conversion Activities Activities After Migration Introduction Transfer Application Indexes Display Status of Transfer of Application Indexes Fill the Offsetting Account in FI Documents Display Status of Filling the Offsetting Account in Finance Transactions Enrichment of Balance Carry Forward Migration of Accrual Engine Data Run Project - Migrating Transactional Data - Accrual Engine Conclusions Chapter 9: An Overview of SAP S/4HANA Conversion Project ­Tasks Index