Business Planning and
Consolidation

Companies determined to pursue international expansion are faced with a critical, long-term issue  – managing their assets efficiently on a global scale. Managing the challenges, the business side and the IT department must work toward a convergence of their financial and managerial accounting reflecting the needs of IFRS requirements. Legal and managerial consolidation for reporting business segments, different dimensions and delivering real-time projections of business data is needed.

Solution

Balancing the interconnections between compliance and flexibility, a unified financial system must be established in which legal and management reports are created from a single data source.

Within S/4 HANA Finance the component SAP BPC is integrated on the innovative in-memory platform, enabling business processes such as consolidation, planning and forecasting. BPC supports simulations to help manage operational, tactical and strategic performance. Running BPC on the single source of harmonized data, the central journal – financial excellence is provided. In S/4 HANA Finance software the ledger technique can portray one or more valuation views containing also the group-valuation view.

Offering

Advising S/4 HANA Finance BPC implementations integrated in the Group Management concept on the basis of a Universal Journal, allowing non occurrence of data replication.

Business Planning

Business Planning with BPC is especially suited to support high-volume operational and centrally administrated planning. Top-down and bottom-up planning/forecasting without any aggregation levels within the data-model that was set up. Evaluation of new in–memory planning functions, such as disaggregation, enabling users to perform true top-down/bottom-up planning and forecasting with just a click of a button and dimension formulas to be optimally executed in–memory.

Legal and Managerial Consolidation

Consolidation which works on the same data model as the central journal-provides complete functionality to produce legally required consolidated financial statements, supporting different accounting standards and international Financial reporting Standards (IFRS). It helps companies provide timely information to management and adhere to external reporting requirements.

Enabling companies to carry out management consolidations based on user-defined organizational units and user-defined hierarchies. Consolidation simulations are possible, for example, to determine the effects of a merger or acquisition, different currency translation methods, or changed consolidation rules.