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Service in S/4HANA Cloud is continuously expanding its scope to support more business requirements and increase service excellence. In this release 2005, I’d like to highlight the enhancements from In-House repair process, Service order management and Service contract management.

You can watch this 5 min video to get a first impression on the innovations.

Innovation Highlights 

Repair Quotation in In-House Repair process

To increase service excellence with in-house repair processes, we’re releasing repair quotations as part of our SAP S/4HANA Cloud 2005 release for Service. Having this feature in place, can provide cost estimates to customers for requested repair objects. The resulting benefit is not only the ability for you to plan with cost estimates prior to repair order creation, and enhanced operational efficiency, but the more transparent service delivery​ will also lead to a higher customer satisfaction.

Take a look at a short demo here.

Demo 1: Creating a service quotation for a repair object

We have also some more improvements in IHR. Fixed price scenario is supported in quotation and order. And it is Possible to utilize service teams in In-House Repair by enabling these for your organization.

Flexible Service Order handling with Service bundle

One of the important capabilities that we have brought in Service 2005 is the flexibility on Service order handling. You would know the Service bundle functionality on Service order. This feature allows to cluster several items under one service bundle and make one profit margin analysis, but it was limited only to fixed price scenario. In 2005, its capability is expanded. You can combine service bundles with fixed price item and also Time & Material items all together in one single Service order. This capability especially supports the business scenario, where a service includes both fixed price and T&M item and it can be handled within a single Service order. You don’t have to split the service orders due to this. I believe this capability will help to run service ordering process more efficiently.

Demo 2: Flexible handling of Service order with service bundle and T&M items

Improvement on External workforce handling in Service Order

The capability of handling external labor was introduced in the previous release. In 2005, it was improved to handle this more efficiently. When using external workforce, we need to use the procurement process to create a PO and Service entry sheet to record the time used by the third party technician. It is also possible to get the Service entry sheet from the vendor, then to allow Service managers to approve the Service entry sheet. In order to support this business scenario, we could create a workflow for approval by Service managers. When SES is approved, then a service confirmation is generated automatically.

Notification for Service orders with pending confirmation

It would be useful for Service managers to inform themselves with the service confirmations which require actions. With this feature, you can set up the notification for service orders with the purchased items included, and with the status when Service orders have either Good Receipt or SES but still service confirmations do not exist. This will reduce effort to check individual service orders for the status of procurement process.

Contract Renewal for Entire Contract

In 2005, we enabled to perform the contract renewal process on the entire contract level, instead of going through individual item level. When you use ‘Change Process’, it is now possible to trigger the Contract renewal for Entire Contract. Then it will validate Service contracts against the prerequisite of renewal process like errors, contract status, and pre-defined conditions. And this feature supports both to generate new renewal items on the same contract and to create a new contract.

  • Enable Service contract renewal on header level

  • Extend the validity period of all items contained in a released service contract

  • Create new items in the original service contract with the status released by using Release Automatically flag

This new capability will certainly reduce the effort with repetitive transactions, but also benefit service revenue by capitalizing renewal opportunities.

Demo 3: Service Contract renewal for entire contract 

Editing Profit Center in Service Contracts

In 2005, users can manually change the profit center assigned to a service contract item. This capability provides now better controlling options by assigning profit center. You can define profit center substitution rules for service contract items in the Profit Center Substitution app.

Demo 4: Service Contract profit center editing

My last blog on Service in SAP S/4HANA Cloud 2002 here
My last blog on Service in SAP S/4HANA Cloud1911 here

The link collection – SAP S/4HANA Cloud for Service here

For more information on SAP S/4HANA Cloud, check out the following links:

  • SAP S/4HANA Cloud release info: http://www.sap.com/s4-cloudrelease

  • SAP S/4HANA During the COVID-19-Era here

  • SAP S/4HANA Cloud Blog by Sven Denecken here

  • SAP S/4HANA Cloud Release Blogs here

  • Inside SAP S/4HANA Podcast here

  • Best practices for SAP S/4HANA Cloud here

  • SAP S/4HANA Cloud Customer Community: register here

  • Feature Scope Description here

  • What’s New here

  • Help Portal Product Page here

  • Implementation Portal here