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Hi All,


With my recent experience in a project of implementing Central Finance i would like to give some insights and steps required to configure Central Finance

  1. Central Finance is considered as a way of moving to S/4HANA as a phased approach rather than a big bang replacement. (de-risk approach)

  2. Fiori apps, Universal Ledger ,New GL and off course the HANA speed and flexible reporting are some of the motivations which makes customer think of Central finance.

  3. Its non disruptive nature enable customers to adopt to HANA as a phased approach and sequentially migrating phase by phase in S/4HANA Finance.

  4. Customer starts realizing the benefits of HANA immediately after implementation of Central finance like FIORI,Universal Ledger,etc.

With Central Finance becoming the single source of truth for finance data, it makes it easier for customers to report at group level and reduces the dependency of multiple satellite systems which acts as ETL (Extract transfer and Load) to move data for group level reporting .

Both SAP and Non SAP systems can be replicated in real time in Central Finance and thus giving a benefit of streamlining the heterogeneous landscape with phase by phase decommissioning of source system which are out of support/not updated .

Steps to Configure Central Finance:

-->Activate the Central Finance Business Function

Central Finance  (FINS_CFIN)

-->Configure Error Handling

This is useful to track document which have not been posted because of some mapping issues or master data being blocked. SAP help is self explanatory for the configuration.

-->Setup RFC Connection for Source System :

Self explanatory in SAP help

-->Define Logical System for Source and central finance systems:

In this maintain all the logical systems (Both source and Central Finance system)

-->Assign RFC destination to Logical system for source system:

Self explanatory in SAP help


This is one of the most important part of central finance where by mappings are performed.

-->Define Business Systems:

In this maintain all the system which have been updated in step 'Define Logical System for Source and central finance systems' .Business system is the name of each logical system which will be part of replication process (all system including Central finance system) .

-->Define Mapping actions:

Maintain mapping entity as obligatory if there is a value mapping in place,then system tries to post to the target mapped parameters . If this is kept blank, then system do not check if mappings have been maintained and tries to post with same source parameters.

Eg: If you want source system company code SF01 to be posted in Target system company code SF02 then maintain this mapping entity as 'Mapping Obligatory'

-->Define Key Mappings:

This is master data mapping maintained regularly for eg : GL account mappings, Cost center Mappings and Profit center Mappings

SAP has given 2 option to update key mappings :

1)Using T-Code: MDG_KM_Manage (it is a webdynpro page requiring MDG services to be activated)

2)Using T-Code: FINS_CFIN_MAP_MANAGE (This is for mass upload of mappings using .CSV files)

Download the predefined template for mapping in .csv using Download mapping option .Below is the example of GL account mapping template fields.

Source: Chart of Accounts;Source: G/L Account;Source: Company Code;Target: Chart of Accounts;Target: G/L

Upload the file with above details


.-->Define Value Mappings :

This are like customizing and more stable in nature for eg : Company code mappings, ledger mapping,document type mapping,etc

Click on 



In my next blog i will try to explain the Business partner Vendor customer Integration.

Thanks and Regards,

Praful Jain.
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