SAP HANA and SAP Controlling – New Opportunities and New Challenges

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SAP HANA and SAP Controlling – New Opportunities and New Challenges

Janet Salmon

SAP AG

Introduction

• SAP is using SAP HANA to make significant changes to the Controlling modules

• Find out here what SAP HANA is and how its architecture can potentially help handle the “big data” in applications such as CO-PA

• Understand what SAP is doing going forward

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Topics

• For The Techies – What is SAP HANA?• For The Finance Folk – Will SAP HANA help?• Line-Item Based Reporting – What It Means to Select by Column• Taking Out the Aggregates – Aggregation On-the-Fly • New Options for Analytics – Virtual Data Model• Mobile on HANA - When Not Fast Enough Isn’t an Option• The End of Batch – Accelerating the Period Close• What Comes Next – A Preview• Summary

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SAP HANA Technology Innovations

+In-Memoryrow and column Store Column = Fast queries

Compression 5 – 20x

Partitioning; In-Database computing

Analyze large data sets;Complex computations

No aggregate tablesFlexible modeling;No data duplication

++++

Real-Time replicationinsert only on delta Fast data loads

AUp to 2 TB DRAM incommodity servers Large data sets in-memory

Multi-core architecture Parallel execution on a huge scale

Technology is available now, but how does SAP HANA create value for your business?

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Maximizing the Boundaries of Each of 5 Dimensions…

Go Deep { complex questions, interactive questions, multi-dimensional

And Broad { large amounts of data, many types of data, all necessary data

In Real-time { recent data, real-time data

With Agility { no data prep, no pre-aggregates, no-tuning

ASAP { fast response, interactive, within window of opportunity

Just-in-time Information Processing: The End of Batch.

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SAP HANA Innovation Overview: Leveraging the Strengths of HANA

Side-by-side scenarios Integrated scenario

AnyDB

AnyDB

SAP HANA DB

SAP HANA DB

Client

Client

SAP Business

Suite

AnyDB

AnyDB

Client

Client

SAP Business

Suite

AnyDB

AnyDB

SAP HANA DB

SAP HANA DB

BW

BWSAP

BusinessSuiteSAP HANA DB

SAP HANA DB

Analytics

Analytics

AnyDB

AnyDB

SAP HANA DB

SAP HANA DB

Apps

AppsSAP

BusinessSuite

SAP HANA Analytics

(via Analytics Foundation)

SAP HANAAccelerators

BW on SAP HANA

Business Suiteon SAP HANA

Apps on SAP HANA

(Next Generation & Strategic

Investments)

SAP HANA DB

SAP HANA DB

CRM

SCM

SRM

PLM

ERP

AnalyticsAnalytics

SAP Business Suite

BW

BW

Apps

Apps

Innovation:Functional applications natively built on SAP HANA, with & without Business Suite integration

Supercharged BW : Fasten up your BW without disruption

More Insight: Exploring data loaded from Business Suite on any level of detail

In seconds: Accelerating existing transactions of the Business Suite

All in One – Ultimate: Business Suite solution fully integrated with and optimized for SAP HANA as database

Client

Client

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Topics


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The Reality of the New Normal for Finance Professionals

Increasing globalization

Increased focus on risk

Volatility in economic conditions

Ability to Make Sound Decisions to

Benefit the Organization

Pressure on margins

Innovative business modelsOn-going

changes to regulatory requirements

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Delivering Real-Time Value to Your Business

Simpler

Faster

Smarter

Business Processes

Business Interactions

BusinessInnovation

Financialspowered by SAP HANA

Smarter Business InnovationsSupport new growth opportunities and business models from Financials

Simpler Business InteractionsEmpower people to get the information they need to decide and act in the business moment

Faster Business ProcessesDrive your business at the speed of the market

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Empowering More Efficient Finance with SAP HANA

The Most Modern Platform for Real-Time Financial Excellence

Employees

Customers Shareholders

Vendors

Real-Time Financial Close

Real-TimeFinance

Operations

Real-TimeTreasury

Management

Real-TimeCompliance

Real-TimePerformance Management

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Financials on HANA

Easy to adaptSingle source of truth

One source for Financial and Management Accounting

Customer-specific dimensions can be added easily and consistently

Line item based

Highest granularity

Not limited by totals orpre-configuration

Based on single source of truth No data replication necessary Consolidation methods are

available where needed

All reporting information on line-item-level is available

All relevant dimensions

Quick and flexible Beautiful User Interface

Reporting

Reduce month-end closing process and postings

Intra-month simulations

Closing on the fly Consolidation

SAP Labs Preview

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Topics


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SAP HANA – A Game

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• Imagine Your Biggest Table - Which Are The Key Fields?

• Picture the Other Fields – What Would It Mean to Select Any One of Them?

• Imagine Sorting Via That Field, Now Aggregate Via That Field

Selecting CO line items - Transactions KSB1N, KSB1L and KOB1N

• Select by object, partner object or source object

• Selection options under „Further Selection Criteria“ become viable

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Aggregating CO Line Items - Transactions KSB1N and KOB1N

• Aggregate by Cost Element and Other Dimensions on the Fly

• Change Layouts with One Click

• Navigate between Cost Center Groups and Cost Centers

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Aggregating CO Line Items - Transactions CJI3N and CJ14N

• CO Line Item Browser for Project System

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In Summary

Line item based


• New Line Item Reporting available for...• General Ledger (new and classic)• Customer Accounts/Vendor Accounts• Cost Centers, Orders, Projects (actual and planned)• Profitability Analysis (costing and account-based)

• All line item fields available for• Dynamic Selections• Display in ALV Layouts• Adding a Field to the Layout Triggers a New Select

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Topics


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Summarization Levels in Profitability Analysis

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• Where IT used to predefine summarization levels for e.g. distribution channel, sales organization and material group, now these totals are captured on the fly

Summarization Objects in Product Cost Controlling

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• Where IT used to run period close jobs to calculate aggregates per plant, product group, product, and so on and store as „summarization objects“ now these are aggregated on the fly.

New Aggregate Options in Material Ledger

• Material Price Analysis (CKM3) aggregates documents by inputs and outputs. New tables allow quick aggregation.

• In this context drill-down reporting (KKML0) is practical for multiple materials.

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Simpler and More Intuitive for Fast Business Insights

Modern and familiar Microsoft Office user experience

Modern and familiar Microsoft Office user experience

Simplified drag-&-drop to filter, and

slice-&-dice

Simplified drag-&-drop to filter, and

slice-&-dice

Few simple clicks to fast business

insights

Few simple clicks to fast business

insights

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Reporting On the Virtual Info Provider (BW Structures in SAP ERP)

BO Analysis, Select Info Source

ERP Backend, RSA1

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In Summary


• New Aggregated Reporting available for• Financial Statements• Segment and Profit Center Reports• Special Ledger• CO-PA Reporting • CO-PC Reporting • Material Ledger Reporting

• Virtual InfoProviders Available For• General Ledger• FI-AP/FI-AR• Material Ledger Reporting• CO-PA Reporting

Reporting

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Topics


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Real-TimeReporting and

Analysis

Fast Intuitive monitoring & analysis

Immediateresults- to-actions

Empowerment for front-line employees

Physical Tables

Private Views

Re-use Views

CustomerExtensions

Virtual Data Model

SAP-deliveredQuery Views

PersonalizedViews

PersonalizedViews

Out-of-the-Box

Custom-builtOpenInterface

SAP HANA Analytics Foundation is a separate package for SAP Business Suite

Unveils real-time vision across business processesEliminates fragmented reporting on operational activities

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Virtual Data Model – Management Accouting

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Transformations in Virtual Data Model

• Renaming of field names

• Selection of relevant (non-technical) fields only

• Periods from columns to rows

• Joining multiple (technical) tables into one view

• Replacing technical keys by business keys

• Interpret customizing data

• Determining currency key for amount fields

• Handling fiscal year variants

MANDT Client

KOKRS ControllingArea

KOSTL CostCenter

KSTAR CostElement

HRKFT

VRGNG

FiscalPeriod CurrencyAmount

WKG001 … WKG016 001 100.00

100.00 … 710.50 …

016 710.50

COSP COSS COKEY COKEY2 CostCenterCosts

OBJNR ControllingArea

CostCenter

CSKS WAERS CurrencyCode1

TKA01 WAERS CurrencyCode2

TKA01 CTYP CurrencyType

TKA01-KOKRS FromDate

T009-XKALE Todate

T009-BUMON

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Production Cost Analysis

• Drill-Down by Cost Center, Cost Element, Fiscal Period,...• New Options to Drill-Down by Operation, Work Center, ...

In Summary

• New Options for• Cost Center Reporting• Production Cost Analysis

• SAP delivers reuse views for• General Ledger Reporting• Cost Center Accounting• Customers and partners can extend

these to meet business requirements

Reporting

Easy to adapt

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Topics


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Manage Your BudgetMore Effectively

SpendStrategically

Identify ExpenseIssues Quickly

SAP RealSpend

Get real-time budget and spend information anywhere, any time with an app that’s powerful and simple to use

Analyze and benchmark detailed spending data by department, project or expense type over any time period

Receive alerts to identify spending issues and communicate quickly with team members to resolve them

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SAP RealSpend Application

http:/s/itunes.apple.com/us/app/sap-realspend/id54236533634

CO-PA Accelerator on Mobile Device

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In Summary

Reporting

• Mobile Reporting for• Cost Center Managers• Receivables Managers

On Device

• Financials Information Any Time Any Where

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Topics


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Real-TimePlatform

Accelerates core business processes Enhances performance through In-memory computations

Push down of calculation to database

On the fly extensibility

On the fly aggregation

Calculation

Traditional

Calculation

SAP HANA

ApplicationLayer

DatabaseLayer

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Information provisioning from the SAP Financial Closing cockpit

and other applications

Financial Close Management powered by SAP HANA

• KPI-oriented management cockpit for monitoring the status and progress of the financial close for the entities of your group

• Get an overview on your mobile about the closing tasks completed, in process, ready for execution, or non-executable

• Easily identify the tasks overdue and the potential overall delay in the closing cycle

• Scroll through the tasks or filter by status and see the time line and task owner

• Trigger problem resolution by sending emails with annotations and creating jam sessions

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Accelerated Close Tasks in Controlling

Allocations (assessment cycles, distribution cycles, periodic reposting cycles)

Overhead calculation (all receiver objects)

Material Ledger (material selection, posting run)

Allocations and Top-Down Distribution in CO-PA

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In Summary

Closing on the Fly

• Acceleration of...• Allocations in CO-OM• Overhead Calculation• Allocations in/to CO-PA • Costing Run in Material Ledger

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Topics


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Integrated Financial and Management Accounting

• One data source linking FI line item (BSEG) and CO line item (COEP) to provide complete profit and loss statement

• Combined line item document allows selection from around 400 fields using the speed of HANA

• New reports allow drill-down from aggregate profit and loss statement to detailed line items by customer/product/region etc and detailed querying across all spend categories

• All period close transactions revisited to aggregate on-the-fly

• HANA-based approach

• WIP Calculation at Actual Costs

• Results Analysis (revenue based and percentage of completion

• Variance calculation (order-related)

Account as leading dimension for both “FI” and “CO” views.

Additional dimensions in FI: company code, business area, segment, profit center, …

Additional dimensions in CO: cost center, order, WBS element, product, customer, region, …

Single source of truth


SAP Labs Preview

Closing on the fly

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Integrated Profit and Loss Planning

• Integrated planning model providing different user groups with appropriate views on central data repository

• Single source of truth for planning and reporting

• Plan targets by company code, business area, segment, profit centers,…

• Plan detailed costs by cost center, order, WBS element, product, customer, region, …


SAP Labs Preview

Single source of truth

Easy to adapt

• Extensible model to which customer dimensions can be added

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Topics


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Five Key Ideas

• HANA and Mobile Are Driving Innovation in Financials• Line Item Reporting Provides Previously Impossible Levels of

Insight • Removing Aggregates Stops IT Having to Guess What Finance

Wants• The Virtual Data Model Reveals What’s Hidden in the ERP

Tables• HANA Makes Mobile Reporting Scenarios Practical• The End of Batch is Coming Soon

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Resources

• Rapid Deployment Solution for SAP HANA Finance and Controlling• http://www54.sap.com/solution/rapid-deployment/software/

hana-erp-financial-reporting/index.html• SAP Financials Expert: Accelerated Finance and Controlling in

SAP ERP with SAP HANA• http://sapexperts.wispubs.com/Financials/Articles/

Accelerated-Finance-and-Controlling-in-SAP-ERP-with-SAP-HANA?id=4C7DF2D78EAD41DA80D93B416320E062

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Resources (cont.)

• Rapid Deployment Solution for SAP HANA Profitability Analysis• http://www54.sap.com/solution/rapid-deployment/software/

hana-erp-profitability-analysis/index.html• SAP Financials Expert: Speed Up Your Profitability Analysis

Performance with SAP HANA’s CO-PA Accelerator• http://sapexperts.wispubs.com/Financials/Articles/Speed-Up-

Your-Profitability-Analysis-Performance-with-SAP-HANA-s-CO-PA-Accelerator?id=D892F39019794EF69F14BB27104A5ADF

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Resources (cont.)

• Profitability Analysis: Documentary Notes• 1559994 - Profitability analysis with Accelerated CO-PA• 1667584 – Virtual InfoProvider CO-PA• 1823814 - Account-based profitability analysis with Accelerated

CO-PA• Overhead Management: Documentary Notes

• 1636416 - CO-OM Tools: Functionality of SE16H • 1651469 - ERP Accelerators: General Settings for All Applications • 1644201 – KAEP: Functionality of new line item reports• 1652021 - Investment Management: Active Availability Control

Monitor • 1658547 - ERP Accelerators: Overheads with SAP-HANA • 1658611 - ERP Accelerators: Accruals with SAP-HANA

Resources (cont.)

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• Product Costing: Documentary Notes• 1643260 - CO-PC Accelerator • 1659414 - CO-PC Accelerator Customizing

• Material Ledger: Documentary Notes• 1654778 - ERP Accelerators: Material Ledger - Period End Closing• 1654255 - ERP Accelerators: Material Ledger - Drill-Down Reporting• 1654843 - ERP Accelerators: Material Ledger - Virtual Info Provider• 1654782 - ERP Accelerators: Material Ledger - Price Analysis• 1664155 - ERP Accelerators: Material Ledger - BW Extraction• 1654225 – Derivation of customer specific fields in table

Questions

• Now:• Ask questions now for immediate answers

• Later:• [email protected]

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Q&A

Disclaimer

SAP®, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver®, Duet®, PartnerEdge, and other SAP® products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. ERP Corp is neither owned nor controlled by SAP.

SAP HANA and SAP Controlling – New Opportunities and New Challenges

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Transcript of SAP HANA and SAP Controlling – New Opportunities and New Challenges