Difference between ECC 6.0 vs 4.

7EE - SAP FI

Some of the differences FI Module side:

1. ECC 6.0 enables Business area posting - Segment reporting made easy.
2. Profit center accounting is through new GL.
3. Document splitting: Split of entry to post assets and liabilities to respective profit centers.
(Balance sheet items)
4. Enables commitment of FM, improved CRM feature & Mobile sales feature

Here are the list of Transactions not their in ECC 6.0

QAS1 Download Insp. Specs. (Obsolete)

QAS2 Download Basic Data (Obsolete)
QAS3 Upload Results (Obsolete)
QAS4 Upload UD (Obsolete)

WLF1K Report used to generate WLF1K is: SAPLWLF1

O07C Report used to generate O07C is: SSFPSEMAINT

What is meant by Document Splitting in SAP

Document Splitting is activated when u want your inter unit
entries to be posted automatically at the time of fi entry.
Thus it helps to avoid inter unit reconcillation.
Document Splitting is a new feature SAP to be able to
bifurcate costs incurred in one Document for different
accounting and controlling purposes.
e.g. - You import an Item from China for $100000. And you
pay Freight from China to US for $5000. The total cost
incurred becomes $105000. Now, You would want to settle the
cost of freight in your book of accounts by Treating them
as a seperate cost (Line Item) still pertaining to One
Document (transaction). Based upon your configuration need,
you will set up the document splitting.

Document splitting in the sense refers to functionality found in ECC

5.0 (ERP 2004) and ECC 6.0 (ERP2005) Document Splitting in 4.7, 4.6
and prior is only performed when using the document splitter found in
the FI Special Purpose Ledger GCL1>

SAP New G/L Document Splitting

Document splitting is a new feature in the new General Ledger that enables you to create balanced
financial statements for entities such as profit centers and segments.

The predefined splitting method (0000000012) covers the majority of business scenarios but some cases
still require you to go beyond the standard splitting functions. With document splitting activated, the
system splits accounting line items according to splitting rules.

Setting in Document Splitting

• Splitting Method : Standard method used 0000000012, Modifiable

• Splitting Rule : Combination of Document Splitting Method, Business Transactions and Variants –
Modifiable
• Item Categories – System Defined
• Standard Variants – Standard 0001, Modifiable

Document Splitting Structure :

Steps 1 :
The system checks if the entry for the account has been maintained in the document splitting
setting : “Classify G/L Accounts for Document Splitting”, the “Category” defined for the relevant
account is then identified.

Steps 2 :
The system then checks the “Classify Document Types for Document Splitting” for the document type
setting as per the document type that was entered. In this case it is “KR”.

Steps 3:
The system then checks the “Define Document Splitting Rule” to check for the transaction “0300” :

The system then checks the “Item categories assigned to this (higher level)” in the same window to
the left:

The system then checks the “Base item categories” under the above item category, and if this category
has been specified in the first setting in Step 1, this is taken as the base in calculating how the Vendor
value should be splitted.

The above was a brief on how the Document Splitting functionality works in SAP

Comparative Analysis between New GL and Classic GL

New GL and Classic GL are two ways to implement General Ledger functionality in SAP ECC5 and ECC6. New GL
provides lot of benefits over classic GL. The New GL benefits
- Provide an extension to the existing functionality in classic GL, or
- Provide new functionality compared to classic GL, or
- Provide a technologically superior way to perform a functionality in Classic GL
It is imperative to understand the differences between Classic and New GL to be able to understand which solution
addresses the business requirements better. I am providing a comparative analysis of the basic differences between
Classic and New GL.

(1) Extended Data Structure provides flexibility

SAP has consolidated the multiple totals table (GLT0, GLPCT, etc) in classic GL into a single FAGLFLEXT Totals
table with New GL. One Summary Table provides flexibility and faster response time for reporting. FAGLFLEXT can
also be enhanced by adding customer defined fields.

(2) Segment Reporting to ensure Statutory Requirements

IAS accounting standards define the statutory requirements for segment reporting. New GL has document splitting
functionality that enables segment reporting. Standard Segment Reporting functionality is not available in Classic GL.

(3) Real Time Integration between FI and CO

Classic GL has the period-close reconciliation ledger functionality to synchronize FI and CO for cost transfers across
functional area, business area and company code originating in CO. New GL has a real-time integration between FI
and CO that happens with each transaction originating in CO instead of a summary posting done by reconciliation
ledger during period-close.

(4) Parallel Accounting

New GL provides Non-leading ledgers for parallel accounting like IFRS and GAAP. Parallel accounting can also be
implemented using Account based approach which is also available in classic GL.

(5) Reduce TCO by Faster Period Close Activities

Faster Period Close is possible with New GL as,
(a) Reconciliation Ledger is not required
(b) Balance sheet Adjustments are not required
(c) Profit and Loss Adjustment are not required
(d) Activities related to Special Purpose Ledger are not required
(e) Depreciation posting is online instead of a batch session

(6) Flexible Drill-down Reporting in New GL

New GL has advanced drill-down capabilities by segment and other characteristics.