An Introduction to SAP S/4 HANA – Simple FinanceCategory: SAP S/4HANA Simple Finance Training Posted:Dec 08, 2016 By: Robert
There is no doubt that SAP HANA is becoming the hottest technology platform in the market of IT. More than 1200 companies from 58 countries developing applications on this platform. If you have ever considered how SAP S/4 HANA works and how it helps the client to enhance their business, then continue to read this article. Before getting deep into the SAP HANA, let us look at SAP and the importance of SAP training.
SAP is one of the world’s leading business software providers. Today, more than 500 companies are using SAP. SAP is abbreviated as applications, products, and systems in Data Processing. SAP includes several modules and each module signifies a business process. Organizations show more interest in using this software to meet the requirement of their business. With the SAP features like a high level of accuracy and efficiency, people find it effortless to carry out their business processes.
The applications of SAP are accumulated in such a manner, which almost all the departments in a company carry out their activities in a unified way. Because of this effective functionality, the major software organizations use the products of SAP to process their business activities.
Several companies provide SAP courses. If you like to have a complete understanding of extensive functionalities of SAP, it is essential to undertake training. The software professionals have to take SAP training to effectively deal with the applications of SAP in their environment. Organizations are showing more interest on employing SAP certified professionals. If anyone wants to shine in the ERP sector, it is worth to have a certified training in any of the SAP business suite.
SAP S/4 HANA Simple Finance – The Beginning
S/4 HANA, the new business suite of SAP is designed especially for the digital economy. SAP HANA was introduced by SAP in 2010. This fast database made a significant change and revolutionized the method to storage of the database record. This platform can support row-based storage as well as column-based storage. This is the main strength of SAP HANA. The main difference of these two storage methods is that row-based method stores records of tables in a row sequence while the column based method stores the data in columns. The benefits of this feature are better compression, faster data access and enhanced parallel processing that means fast ad-hoc reporting, on-the-fly aggregations.
Haroon Arshad, a solution lead finance on the implementation of S/4 HANA Finance, states that it was the time to utilize this business suite due to its capability to retrieve data as well as information quicker. With the code optimization and shifting processing logic, it is possible to save time since all the calculations are made at the level of the database itself. This enhances the large calculations like variance calculations, month-end settlements, and interest calculations.
S/4 HANA Simple Finance
SAP S/4 HANA simple finance also known as the Simple Finance/ sFIN is the first module of S/4 HANA. It includes the redesigned data structures as well as the application layer. This module includes some new concepts. They are as follows:
- Central Finance
- Universal Finance
- Cash Management
- Integrated Business Planning (IBP)
- New Asset Accounting
As a result, of these new concepts, all the financial details can be obtained from the single table, called “ACDOCA”. Based on the words of SAP S/4 HANA Finance expert, Prashant Pimpalekar, this module of SAP allows bringing data from Asset Accounting, General Ledger, Material Ledger and controlling coding block and CO-PA into one journal. With this main advantage, SAP has satisfied the requirement of reconciliation (CO & FI), has satisfied the requirement of the settlement of entire cost elements and has finished away with aggregate tables and index tables.
This extensive feature has a direct influence on data presentation since it allows having the possibility to utilize the content of Fiori, BI, and SAP HANA greater in S/4 HANA simple finance when compared to previous ECC version.
Myths about SAP HANA
As Haroon said, there are several myths about the SAP HANA that are wrong. The two most famous myths are:
Myth 1: It is just a SAP appliance or database. It is wrong. SAP HANA is a complete ecosystem.
Myth 2: It is very expensive. It seems true if you consider its upfront costs; however, if you take into account the long-term return with this software, it is far countless than was you have been invested.
Things Need to know on Implementation
When it comes to preparation for implementation, people need to aware some essential facts. The implementation of this software is not going to be a traditional finance implementation. The organization and professional need to have a clear understanding of the technical architecture. If you want to have a better presentation, it is essential to examine each bit of data send to the system.
In S/4 HANA simple finance, it is essential to evaluate the detail requirements and then support the processes. Since there will be important adaptations for users, it is essential to have the change management.