cancel
Showing results for 
Search instead for 
Did you mean: 

#COE #BA01 Intercompany asset transfer across countries best practice

RyanMuller
Participant
0 Kudos

Hello,

We have a lot of assets being transferred between entities in different countries (prime example being employee laptops moving with transferring employees) and I don't see anything in the Best Practice explorer or within the SAP help pages for S/4HANA Cloud to define the best practice steps and apps that should be used for these cross border transactions like they are for Intracompany and Intercompany transfers in the same country.

Does anyone have these laid out or can they provide a link for S/4HANA Cloud?

Additionally, what applications or processes do you use/recommend for the receiving country to track assets that need to be added to their books. Currently for us, an asset accountant in the sending country will not have access to post anything or see the books in the receiving country (and visa versa). How would the receiving country systematically know that an asset was being transferred to them in order to acquire it on their books?

Thanks for your help,

Ryan

OwenLiu
Product and Topic Expert
Product and Topic Expert
0 Kudos

We helped you to accept the answer, since there were no updates after 7 days.

You can unaccept it anytime if you have further questions.

Accepted Solutions (1)

Accepted Solutions (1)

Ernesto_Cepeda
Product and Topic Expert
Product and Topic Expert

Hi Ryan!

There is no best practice to perform an Intercompany Asset Transfer Across Countries (yet). The available transactions are documented in the following Transactions help link.

What I’ve seen in the example of the laptop assigned to an employee is that the asset has to be returned in the country that the employee is leaving, and a new laptop has to be provided to the employee in the receiving country. In addition to the accounting entries that need to be recorded, there are implications of IT varying policies and IT security implications, therefore the re-assignment of an asset makes sense.

That said, I see other potential asset examples where the transfer across countries could be needed… I would recommend the evaluation of the following App alternatives to see if they support the customer requirements:

Sender company:

For the sender company I would test the following apps (all the apps are part of scope item Asset Accounting - J62 😞

- “Post Retirement (Integrated AR) with Customer” App – if the receiver Company code has been created as a Customer in the system. If the Company doesn’t have a customer record (and there is no interest to create it) then I would use “Post Retirement (Non-Integrated) Without Customer”.

Receiving company:

For the receiving company I would use the “Post Acquisition (Integrated AP) Without Purchase Order” if the sender company has a Supplier record. If a supplier doesn’t exist (and, again, there is no interest to create it) then the “Post Acquisition (Non-Integrated) with Automatic Offsetting Entry”.

In order to keep a link between the asset I would use one of the available fields to link the Old asset to the new one and it's not being used (e.g. Serial Number, Inventory Note, ) or the Origin section. Please see the screenshots I added from an internal SAP system.

I hope this helps.

Ernesto Cepeda

RyanMuller
Participant
0 Kudos

Hi Ernesto, good to hear from you!

Thanks for your response. I really wish there was a blog or sample docs walking thru this procedure because any multinational with assets in SAP is going to encounter this and have similar concerns about how to maintain visibility and auditability/traceability of the asset throughout the process.

While I appreciate the applications, the steps within those applications which I assume to be selling at net book value of the asset to the other company code as a trading partner and then somehow acquiring it from the same GL account as an offset and clearing is where it gets murky procedurally, and again from a visibility standpoint with users which will not have access to see the other countries books and identify what is coming or needing to be acquired systematically.

Best,

Ryan

Answers (1)

Answers (1)

Neeraj_Jain
Active Contributor
RyanMuller
Participant
0 Kudos

Thanks Neeraj but transfer within a country between legal entities is not the scenario I'm after.

Regards,

Ryan

Neeraj_Jain
Active Contributor
0 Kudos

Ok, will check the solution for cross countries if found then share.

Regards, Neeraj Jain