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(This is co-authored with Marlene Katzschner)

SAP S/4HANA for central finance is an X-Field deployment option for our current and new customers. It is a data platform that builds processes, analytics and orchestration for closing and automation of tasks using machine learning, chat bots and RPA.

During deployment, a customer may choose to deploy a single or multiple ledger approach to meet its legal and management requirements. If the customer chooses to deploy multiple ledgers with different fiscal years, data has to be extracted consistently by SAP S/4HANA for central finance from the source system. Whilst a single ledger or a single fiscal year variant is straightforward, data loads can often be misunderstood during implementation. Here, we outline how to visualise potential conceptual and understanding issues that can be misinterpreted as a product error when it is a simple case of design during project phase.

This challenge of exesis occurs only during the initial load of balances and open items as of data transfer date. When using new G/L in the source system, it is possible that the system has a different fiscal year variant to the one assigned in the source system. The source system leading ledger (0L) has a different fiscal year variant compared to the non-leading ledger.  Data load does not fail but the behaviour of determining posting period and year needs to be understood in SAP S/4HANA for central finance.

You intend to load data from source system to SAP S/4HANA for central finance. The fiscal year variant in SAP S/4HANA for central finance new GL is different to the one in new GL of the source system. In addition, there is at least one non-leading ledger with a different fiscal year variant to the one in the leading ledger of the source system.

Before starting the data load, one must determine the scope of initial data load. The scope of data load must cover the timeframe for which the conversion is required. The timeframe is the year and period in SAP S/4HANA for central finance system for which documents are required. This data transfer timeframe is maintained in view vcfin_source_set.

Example: in SAP S/4HANA for central finance, the fiscal year is defined from January to December (standard variant K4) for the leading ledger and the non-leading is using fiscal year from April to March (standard V3). Assuming current calendar year is 2021. If the customer wants to load balances from end of 2020 and all line items from 1st January to 30th June 2021, the corresponding entry in the vcfin_source_set should be set as follows.



    • Start Year - Balances = 2020

    • Start Year - Documents = 2021

    • Period - Documents = 1




 

Leading Ledger in SAP S/4HANA for central finance

Therefore, the opening balances for 1st January 2021 for the leading ledger would be derived from balances as at end of 2020 (31st December 2020) that are made up of all movements from 1st January 2020 to end of 2020 (see table below). In other words, the periodic balance is the movement that is loaded with balance load. All open items from 1st January 2021 are transferred as normal as these are not balances but line items. For the document load the posting date in the source system is most relevant for determining the year and period in SAP S/4HANA for central finance. Based on our data transfer settings above, all documents with a posting date starting from 1st January 2021 are extracted and loaded into SAP S/4HANA for central finance. See column 2 of table below based on SAP S/4HANA for central finance fiscal year K4.

 

Non-Leading Ledger in SAP S/4HANA for central finance

For non-leading ledger, the handling is different to the leading ledger in SAP S/4HANA for central finance for balances only. As extraction is per ledger, SAP S/4HANA for central finance will extract data to cover the fiscal year 2020 for non-leading ledger (April 2019 to March 2020) and also the periods that cover the go live date of end of 2020. Therefore, SAP S/4HANA for central finance will also extract from April 2019 (period 1 of year 2020 as per FYV V3) to December 2019 (period 9 of year 2020 as per FYV V3).































































Leading Ledger
(FY Variant K4)
Non-Leading Ledger
(FY Variant V3)
Transfer with
January 2020 01/2020 10/2020 Balance Load
February 2020 02/2020 11/2020 Balance Load
March 2020 03/2020 12/2020 Balance Load
April 04/2020 01/2021 Balance Load
.... .... ... ...
January 2021 01/2021 10/2021 Document Load
February 2021 02/2021 11/2021 Document Load
March 2021 03/2021 12/2021 Document Load
April 04/2021 01/2022 Document Load

 

As per above, this takes care of the balances.

Document Line Items

for line items, the standard line document load is triggered from 1st Jan 2021 that will construct balances for both fiscal years up to end of June 2021. After this, the standard replication is used for line items.

 

In summary, the set up the fiscal year variant is below.


 

When data is loaded, the periods are extracted as follows.


This way consistency is maintained for each fiscal year and the leading ledger is in sync with the non-leading ledger too.

Remark:

When the non-leading ledger has a fiscal year variant, which has more periods or is not shifted by full months (e.g. 4-4-5) the selection of the documents works as described above and also the additional periods will be loaded, but the results have to be checked carefully.

Leaning tip: SAP S/4HANA for central finance is full suite of S/4HANA so treat it like S/4HANA for purposes of Finance and Risk.