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SAP-TO BE Process

New Allenberrry Works


FICO NAW
Finance and Controlling

Version 1.0
28.09.2006

STATEMENT OF CONFIDENTIALITY /
DISCLAIMER
This document is the property of Caritor, Inc. No
part of this document shall be reproduced, stored
in a retrieval system, or transmitted by any means,
electronic, mechanical, photocopying, recording,
or otherwise without prior written permission from
Caritor, Inc.

Table of Contents

Table of Contents
Account Clearing......................................................................................................................................3
AS IS Process.........................................................................................................................................................4

Core to Be Process..........................................................................................................................5
Changes to Existing Organization..........................................................................................................................7
Description of Improvements and Key Metrics.......................................................................................................7
Notes on Further Improvements.............................................................................................................................7
Functional Deficit and Method to Remove That......................................................................................................7
Interface Requirement............................................................................................................................................7
System Configuration Considerations....................................................................................................................7
File Conversion Considerations..............................................................................................................................7
Any reports required related to current business process......................................................................................7
Any document/output would be printed for this business process..........................................................................7
Authorization Considerations..................................................................................................................................8
End User Training Requirements............................................................................................................................8

A. SAP Standard Reports...................................................................................................................9


B. Custom Developments................................................................................................................10

Caritor

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SAP-TO BE Process
Account Clearing
TO-BE Document
For SAP R/3 Implementation at New Allenberry Works.
Date: 28.09 2006
Sr. No of TO BE document

Ref. Sr. No. Of AS-IS document


Name of Business Process:

Account Clearing

Module: Finance

Sub module: General Ledger, Customers,


Vendors

Version no of document:

Date: 28.09.2006

Version Management This Document is subject to change control. Every change of the document has
to Undergo change control procedure and has to be registered in the following table
Version

Caritor

Change

Prepared By

Confidential

Date

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SAP-TO BE Process

1. AS IS Process
There is no clearing concept in the legacy system and the reconciliation of vendors or customers in arriving list of
pending bills is tedious.

Caritor

Confidential

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SAP-TO BE Process

2. Core to Be Process
Open line item management option in the General ledger master will be used to maintain open item
management for accounts which requires offsetting postings for a given business transaction. Open item
management is maintained for bank clearing accounts, clearing accounts for goods receipt/invoice receipt.
Automatic Clearing

In SAP there is a facility of automatic clearing of accounts. This feature we use it for clearing of GL
accounts like GR/IR (Goods receipt or IR receipt) A/C. The program clears open items of a group if the
balance in local and foreign currency is zero.
In the case of GL Accounts that are in Foreign Currency, the GL Account numbers of the revenue and
expense accounts to which realized exchange rate differences (gains and losses) are posted when open
items are cleared have to be specified. One GL Account will be defined in the chart of accounts to which the
rounding difference amounts are posted.
Manual Clearing
Manual clearing of open items is also possible, for which the criteria of selection, search and sort fields will
be set.
GL manual clearing is done with T Code F-03
Customer clearing is done with T Code F-32.
Vendor clearing is done through T Code F-44.
Post with Clearing
If an AR transaction is done via Post with clearing it will be T Code F-30.
If an AP transaction is done via Post with clearing it will be T Code F-51.
If an AP transaction is done via Post with clearing it will be T Code F-04.
Clearing of customers/vendors
Vendor/Customer line item can be cleared in full or make partial/residual clearing.
The tolerances in one or more tolerance groups are specific and these tolerance groups are assigned to
each customer/vendor using the master record.

Caritor

Confidential

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SAP-TO BE Process
The tolerances for customers/vendors are used for dealing with payment differences and residual items
that may arise when payment clearing is carried out. When clearing customer/vendor accounts, these
tolerance groups specify limits within which differences are accepted and automatically posted to
predefined expense or revenue account. For each tolerance group the treatment of terms of payment for
residual items if they are to be posted during clearing.
So, manual or automatic process clears the open items.

Caritor

Confidential

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SAP-TO BE Process
Further Notes

Changes to Existing Organization


Introduction of new feature Clearing Concept

Description of Improvements and Key Metrics


Clearing concept helps in easy reconciliation of GL accounts that are maintained on open basis or of
Vendors/Customers and in arriving the list of pending bills.

Notes on Further Improvements


NA

Functional Deficit and Method to Remove That


NA

Interface Requirement
NA

System Configuration Considerations


NA

File Conversion Considerations


NA

Any reports required related to current business process


NA

Any document/output would be printed for this business process


NA

Caritor

Confidential

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SAP-TO BE Process

Authorization Considerations
Detailed Authorization matrix will be defined for all users in the common file for all
modules. The high level Authorization requirements are as below.
Business Roles

Number of Users

Business Manager
Operations Manager
Transaction Owners

End User Training Requirements


<E.g.:
Business User Segments

Number of
Users

Type of Transaction

Business Manager

Display, Reports

Operations Manager

Change, Display,
Reports

Transaction Owners

Create, Display, Reports

Geographical
Location

Sign-off (Approval) for this document:


Name of Team members:

Organization / Bus. Unit

FI/CO Consultant-Vinod Atmakuri

Caritor Inc

Business Process Owners-C.M.Duggar

New Allenberry Works

Key User-Balbir Khanna

New Allenberry Works

Key User-Vishal Sharma

New Allenberry Works

Caritor

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Signature

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SAP-TO BE Process

A. SAP Standard Reports


<E.g.:
SAP Standard Reports
Sl No:
01

Report Description
List of Vendor open items

Selection Criteria
S_ALR_87012083/FBL1N

Output
Screen View/Output

02
03
04
05
06
07
08
09
10
11

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SAP-TO BE Process

B. Custom Developments
<E.g.:
Print Requirements
Sl No:

Report Description

Selection Criteria

Output

1.0
2.0

Development Requirements
Sl No:

Report Description

Selection Criteria

Output

1.0

Report Requirements
Sl No:

Report Description

Selection Criteria

Output

1.
2.
3.

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