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gayathrikrish
Advisor
Advisor
Group Reporting is the newest tool embedded in SAP S/4HANA providing statutory as well as managerial financial consolidation capabilities for both On-Premise and Cloud customers.

What you will learn from the Blog Post


Overview and Positioning of Group Reporting and know more about the basic building blocks.

Summary


The blog post covers the Rationale for Group Reporting, Product positioning and differentiation, and a detailed look at the key Building Blocks in terms of Key Configuration Elements and Master Data.

The focus is on On-Premise solution as of release 1809. This document touches on the pre-configured settings of the best practice content.

I will aim at covering the Consolidation Processes, Settings and Reporting in my subsequent blog post.

 

Why Group Reporting


Preparation of Consolidated Financial Statements is mandatory for Statutory compliance, example IFRS10. Applicable Accounting Principles outline the requirements for producing such statements.

SAP’s Group Reporting tool facilitates not just in the preparation Financial Statements as per Statutory regulations, but also has added capabilities for facilitating managerial consolidation and analytics.

 

Overview of Key Capabilities



  • Local and Group Close in the same tool

  • Flexible rules for Data Validation

  • Currency Translation

  • Inter-Unit Elimination

  • Consolidation of Investments

  • Data Collection options - Release from Universal Journal, Flexible Upload of Reported Financial Data, or Published APIs from Other SAP or Customer applications.

  • Possibility to perform Data entry at desired level within the consolidation system.

  • Record Ownership information using Journal entries on Statistical items.

  • Manual Top-up Adjustment for Elimination where ever needed


Details of these will be covered in a separate blog post.

 

Product Positioning


SAP S/4HANA for Group reporting is SAP’s strategic consolidation solution moving forward, in particular for customers implementing SAP S/4HANA irrespective of deployment option (cloud or on premise) as well as for customers looking for a public cloud stand-alone offering. Group reporting can be used independently from operational accounting or other ERP functions in SAP S/4HANA if desired.

The picture below taken from SAP’s presentation on product vision, explains how Group Reporting fits into the landscape.


Group Reporting vis-à-vis other Consolidation Products


The new Group Reporting Tool combines the best of the features and capabilities of existing tools, leveraging and well-integrated with Sap Analytics for Cloud.

  • Embedded in S4HANA, hence no need of an ETL or Data Warehousing Tool like BW to intermediate between the transaction system and the consolidation system. Data flow from transaction system to the Consolidation system is Realtime.

  • Fully enabled drill-through from Group Reporting to the line-items of the entity, leveraging all details of the underlying Universal Journal.

  • Introducing FS Items, replacing the Group CoA. The set up and maintenance of FS Items is managed inside Group Reporting, which means Operating Chart of Accounts are not disturbed.

  • Rule based Eliminations and Reports, with data generation by desired breakdown items.

  • Local close and group close share the same master data / rules.

  • SAP Group Reporting Data Collection is an additional Cloud-based Data Collection application delivered on the SAP Cloud Platform, with native integration to S/4 HANA Group Reporting

  • Roadmap for integration to Disclosure Management.


 

 

 

Building Blocks


Technical


A mandatory prerequisite for running S4H Group Reporting is to install the best practices configuration content for the solution. You can only make changes to consolidation-relevant settings in Customizing for SAP S/4HANA for Group Reporting afterwards. For more information on installing the best practices content, see the administration guide on SAP Help Portal

Relevant Scope Item in the Building Block Builder is XX_1SG_OP.


Functional


Key configurable Elements in Group Reporting are explained below

  1. Consolidation Ledger: A ledger to store documents generated by the consolidation tool.


A consolidation Ledger contains the Source Ledger and the Currency. So for consolidation as per differing accounting principles, you can create requisite number of consolidation ledgers.

Notes:

  • As of the current release, system allows creation of Consolidation Ledger code starting with “C”.

  • All Consolidation Groups should carry the same Ledger in one Version, to ensure consistency in Global parameters.




2.  Version: A consolidation version is used for identifying a separate data area in the consolidation database. Versions make it possible to consolidate different sets of financial data.

A Version may also be created if you want to perform separate methods of consolidation on the same set of underlying data.

For example – You create a version for consolidating Plan Data alongside one for consolidating Actual Data.

You may also create a new version for performing Restatement of Actual Data.

Notes:

  • Further specifications of Special Version allows you to use different methods or rules for achieving the specific Consolidation effect.




3.  Dimension : Dimension reflects the basis for consolidation. Default delivered dimension is Company. So as of the current release, Consolidation process happens at Company level.



 

4.  Financial Statement Items: This is the most crucial element in Group Reporting.

FS Items replaces the old world ‘Group CoA’. FS Items are linked to the Operating accounts in the Consolidation system. The basic accounting system (ex: SAP FICO) remains untouched by the FS Item.

SAP delivers a comprehensive set of FS items as part of the best practice content. FS items form the backbone of the consolidation process. Definition of FS Item contains:

  • Types of the Item – Classification on the basis of Nature of the Item

    • INC: Income items in P&L statements

    • EXP: Expense items in P&L statements

    • AST: Asset items in balance sheets

    • LEQ: Liabilities and equity items in balance sheets

    • STAT: Statistical items that can be used to record financial and non-financial data. This data is not directly linked into P&L statements or balance sheets, such as headcount information.

    • REPT: Reporting items that are used in reporting. Dedicated hierarchies can be defined for reporting items, and respective reporting rules can be defined to derive values of the reporting items.



  • Attributes relevant for automating the consolidation processes like Currency Translation, Elimination and Consolidation of Investment (CoI).

  • Controls input of further parameters such as consolidation transaction types, Functional Areas, Partner Unit etc – called Breakdown Category

  • Balance Sheet and P&L structure in hierarchical fashion


Notes:

  • Fiori App ‘Import Master Data for Consolidation Fields’ has predefined template of FS Items with all these associated attributes. Click on ‘Download Template’ and select ‘Financial Statement Item’ in the Master Data Type Selection dropdown.

  • Creation of New FS Items should carefully consider all parameters starting from transaction recording up until reporting.

  • Tagging FS Item to Operational Chart of Accounts is a prerequisite to read data directly from the Universal Journal. App ‘Assign FS Item Mapping’ can be used. For mass load, you can download the template and upload it with relevant data using App ‘Import Master Data for Consolidation Fields’.

  • There are separate settings to specify how the FS Items should be Carried forward to the next year.

  • Separate configuration setting is available to specify Automatic posting FS Items, like FS Item for P&L Net Income, FS Item for Rolling that up into a Balance Sheet, FS Items for posting Deferred Tax, etc.

  • Every newly created GL account should be mapped to an FS Item (existing or new FS Item). So the periodic Operating CoA maintenance activity should include this important step.


FS Items are grouped into Reporting Items, which in turn are grouped into reporting Hierarchies. ‘Manage Global Accounting Hierarchies’ App allows a quick look into understanding the construct, making edits or even creating your own Reporting Hierarchies.



On expanding an item, you see the details like below





Mass upload of mapping of FS Items to GL account is done using below app



The dropdown has the following options



 

5.  Sub items : Sub items help in getting a horizontal build of an account. Consolidation Transaction Types are for Balance sheet accounts and Functional Area are for Profit and Loss accounts.

It is possible to add more sub items by way of configuration.

The Sub items are largely organized into Categories.

SAP Best Practices provides the following two Sub item Categories –

  • Transaction Types

  • Functional Areas


At the Sub item level, some could be reserved for exclusive use in the consolidation system. This can be realized by checking ‘No Posting/Entry’ check box.

Notes:

  • Sub items are linked to the FS Items through ‘Breakdown Categories’. Breakdown categories define the status and permissible list of sub items for an FS Item, and are assigned to FS Item.


Example : For FS Item denoting ‘Provisions’, transaction types (Sub item category 1) are mandatory. So the Breakdown Category tagged to the FS Item should have Transaction type as mandatory and could additionally specify a set of permissible transaction types as well.

  • Default value assignment for sub items is possible too.




Default Sub Item assignment ensures population of default values for the data in consolidation system



 

6.  Document types : Like in the SAP transaction system (SAP FICO), document types are used to segregate operations within the consolidation system.

Controls within Document Type -

  • Posting level – indicates the type and level of consolidation adjustment. Posting level enables a selection of data by content.

  • Data Source - manual or automatic posting, file upload, or API

  • Automatic Reversal and Reversal spilled over to next year– whether the document is valid only for one period of the current year, and whether the reversal should be restricted to the current year alone.

  • Currencies – Control on the currency relevant for the posting

  • Deferred Income Tax – whether the document type is relevant for deferred tax posting

  • Balance check – whether the document needs to balance to zero and consequent reaction if it doesn’t.


List of pre-delivered document types -



Controls provided in the Document Type definition





 

7.  Selection IDs : Selections are a group or set of consolidation master data like FS Items, Sub items, Document types etc to be used in consolidation-related settings.

They resemble the "set" in the SAP FICO system, just that Selection IDs can contain more than one field parameter.

Example : For a requirement where Opening balances on certain Balance sheet items are to be translated at Average Rate – you would define a Selection ID with the specific FS Items representing the Balance sheet items and add the transaction type that denotes Opening balance. Now this Selection ID could be called inside the Currency Translation Method and tagged to the Average Rate.

 

Selection ID with more than one field parameter, namely FS Items and Transaction type is shown below



Selection ID with single field parameter - Transaction Type is shown below



Where-used list helps in tracing down the usage of a particular Selection ID


Roadmap


Below interesting features part of the product vision will simplify complex and advanced processes in Consolidation :

Matrix Consolidation

Group Structure and Ownership Manager

Multiple subgroup currencies

Integration into Financial Closing Cockpit,

Automated InterUnit Profit Elimination from Inventory

Integration Scenarios with planning applications

Advanced Intercompany Reconciliation

Intelligent Data Validation leveraging Machine Learning

Some of these features are already available in the Cloud Edition, for instance Matrix Consolidation, Group Structure & Ownership Manager.

 

Further References


SAP Help

SAP Best Practice

 

This post intends to give a round up on Group Reporting and the basic elements.

Thank you for going through the post.Your feedback and comments will help me make it more relevant to the community.
73 Comments
0 Kudos
Hello Gayathri,

First of all, nice post. With the context of this, would like to ask a question on version 1909.

I am using this version and have created CUs with respect to companies. Let's talk about 2 of them.

  1. CU X - Company X - 'Release Universal Journal' active on Data Monitor.

  2. CU Y - Company Y - 'Release Universal Journals' NOT active/enabled on Data Monitor.


Both of the CUs are having same setting - with reading from universal document selected as data collection method and difference in local currency(for CU X: HRK and for CU Y:EUR). Both of them are having exactly same setting under FINSC_LEDGER, with respect to local and global currency types.

With your experience in GR and with this limited information. do you suspect any missing element or misalignment?

Regards & all the best for your future explorations !
fizah1010
Explorer
0 Kudos
Hi Gayathri,

 

Based on your GR implementation experience, will business focal configure the Special Version assignment, or still the consultant will perform this activity?

Thank you.

 

 
gayathrikrish
Advisor
Advisor
0 Kudos
Hi

Hope the issue is solved, if not try by changing the CU Y data collection method (again bring it back to Read from UJ).

The reset the data monitor - the issue should be solved.

 

thanks

Gayathri
gayathrikrish
Advisor
Advisor
0 Kudos
Hi Hafizah

Special Version and assignment is part of IMG.

Anything with IMG is mostly dealt with by the functional consultant, should be no different in here as well.

 

thanks

Gayathri
gayathrikrish
Advisor
Advisor
0 Kudos
Hi Kapil

  1. there are many, to name one is Fiori.

  2. check note 2833748.


thanks

Gayathri
fizah1010
Explorer
0 Kudos
hi Gayathri,

Currently im checking the configuration in our sandbox which EC-CS and GRP co-exist.
I cannot access/use function "Configuration of Additional Characteristic" in Group Reporting. The note 2833748 given shown the process steps to solve the issue, but if i install SAP best practice content or or initialize the global settings for consolidation, will it help resolve this issue? or i still need to go through the note.

Thanks for your reply and great post!

 

 
gayathrikrish
Advisor
Advisor
0 Kudos
Hi Hafizah

The note details out on what needs to be done to activate GR if EC-CS is already active.

There are prerequisites like the 'From year' considering the desired system state.

GR config will not be enabled till the pre-requisites are met.

Suggest you to take a closer look of the note.

If a migration of production system is the final goal, please raise an OSS incident to SAP support.

thanks

Gayathri
fizah1010
Explorer
0 Kudos
Thanks for your prompt reply. Will refer to the note.
manish_jain7
Active Participant
0 Kudos

Hi Gayathri,

Good blog. Do you have any information on how to transport Group reporting objects. For eg. global setting objects like: Consolidation COA- Y1, Consolidation Ledger-Y1, Dimension-Y1. There is no option to transport them. There is no clear information available anywhere on SAP help or other document on what can be transported or what needs to be maintained directly in target system?

Why doesn’t SAP provide access to URLs in section 1.17 on transport in SAP note 2659672 (FAQ about S/4 HANA for Group Reporting): Master data and configuration settings ?

Appreciate your response.

Kind Regards,

Manish

 

ashwin_kulkarni2
Contributor
0 Kudos

Hi Manish,
Have you found any information on the transport guide? Even I have some issues with the transport to the next landscape.

Regards,

Ashwin.

 

ashwin_kulkarni2
Contributor
0 Kudos
Hi Gayatri,
Very information blog, thanks.

Is there any documentation available on how to transport the objects from one environment to another?

Regards,

Ashwin.
0 Kudos
Hi

Yes I do except for Consolidation ledger which I could transport if it is other than Y1and other CL in SAP namespace. I think it is a bug.
ashwin_kulkarni2
Contributor
0 Kudos
Hi Manish,
If there is a transport guide, can you share?

I could use SCC1 to copy most of the configs but would like to know if there is any guide.

Regards,

Ashwin.
former_member731616
Discoverer
0 Kudos
Very useful blog Gayathri, Thank you!. Do you know where in group reporting I can find the control percentages for the group shares, like the ownership manager? Do you know if still exists that option or SAP removed it?
gayathrikrish
Advisor
Advisor
0 Kudos

Hi Cynthia

The tool is structured slightly different from BPC.

The Corporate Group structure can be readily viewed in the Fiori app 'Manage Group Structure'.

For % holding being a 'varying' info, see below:

  • If you are using Rule based method - you can find the ownership percentage on FSI S00001 (standard content) in the backend table ACDOCU, under the field Quantity..
  • If its Activity based - you find it on the Investment FSI (172000 - standard content) in the backend table ACDOCU, under the field Quantity.

Let me know if that answers your query.

 

thanks

Gayathri

shanthi_bhaskar
Active Contributor
0 Kudos
Hi Pavan,

Most the Std Fiori reports would give basic KPI's like Monthly Amounts, But if you need QTR, YTD Previous months KPI's then you have to go for customization of CDS views. In our implementation we had to create Z* CDS views as non of the std CDS is helpful. We use Std reports for some data reconciliation purposes. Please let me know if any questions on Technical side of Group reporting.

Thanks,

Shanthi.

 

 
shanthi_bhaskar
Active Contributor
Very nice blog Gayathri, Learned a lot on functional.

If anybody needs any pointers on CDS side you can try to reach to me, I have done lot of crazy KPI's for the Consolidation reporting..

 

Thanks,

Shanthi.
sumitjais
Active Contributor
0 Kudos
Thanks for this article gayathrikrish
I am looking to connect the ECC system to S/4 HANA On-premise for Group Reporting (Not GRDC).


For connecting  an ECC system to  S/4 HANA Cloud for GR, we have Fiori apps such as  Maintain Communication User   and  Communication Systems  as mentioned in this link




However, these Fiori apps are not available for S/4 HANA On-premise. 


Even the attachment in FAQ 2659672 Set-up_Guide_APIs_S4_Group Reporting.pdf  refers to only these S/4 HANA Cloud based apps.


Do we have an equivalent setup document to connect ECC system to S/4 HANA On-premise for Group Reporting via API ?
gayathrikrish
Advisor
Advisor
0 Kudos
Hi Sumit

Integration of ECC data into On Prem GR seems available through GRDC as part of Q1-2021.

https://roadmaps.sap.com/board?SC=6EAE8B27FCC11ED892E92223759220CC&range=2021Q1-2022Q4#;INNO=000D3A4...

thanks

Gayathri
sumitjais
Active Contributor
0 Kudos
Thanks Gayathri,

However, we don't have license of GRDC  but of GR only with  on-premise S/4 HANA .

I understand that we can use GR alone with online S/4 HANA too.

The relevant APIs for on-premise are available.

https://help.sap.com/viewer/44ec04bc8de24103b400d261fde99462/2020.000/en-US/569960bcd8da4191a0bef41d...

But, I am not finding any setup document to connect ECC to S/4 HANA on-premise via these APIs .

The setup doc Set-up_Guide_APIs_S4_Group Reporting.pdf (attachment in  2659672 - FAQ About SAP S/4HANA Finance for Group Reporting (On Premise)) is for connecting ECC to  S/4 HANA cloud as the Fiori apps "Maintain Communication User" etc. are available for cloud version only ( confirmed in Fiori library).

I am not sure why SAP has attached ECC to S/4 HANA cloud setup document in the note related to GR On-premise.

Do we have any setup document to connect ECC system to S/4 HANA On-premise for Group Reporting via API ( not through flexi upload)?
MartinJul
Active Participant
0 Kudos
Hi Sumit and Gayathri

This blog:

https://blogs.sap.com/2021/04/07/using-remote-data-source-in-icmr/

Describes how to use SDA to read data for intercompany matching. Could the same process be used together with API_GRTRANSACTIONDATA_SRV to get real-time access to transactions in SAP ECC?

Br

Martin Jul

krishnaprasad123
Explorer
0 Kudos

wow..too good and informative!!! Thanks Gayathri

arbraghu
Associate
Associate
0 Kudos
great insights, informative blog