SAP

DOCUMENT
SPLITTING
SAP AP Overview

Master Data

Key Features CONTENTS

Business Process

Configuration
BENEFIT
..

Document splitting is a powerful and mature tool in S/4 Hana that can be used for the 3 followings
reasons:
1.To issue complete financial statement by specific characteristic: Profit center, Segment, Joint venture,
Segment (To meet some legal requirement: Segment reporting for IFRS8).
2.To help manager to analyze Working capital for profit center or segments and measure their
performance.
3.To meet some legal business requirement like segment reporting
DOCUMENT SPLITTING PROCESS
General process

Check Splitting Rule

Account assignment
Check Document Type -> Check (How & Which Line New docs inherit
inheritance or Splitting
Item Category (Per individual items depend on from preceding Zero Balance
standard account characteristics
items) classification of document.
assignment
document).
HOW IT WORKS
..

In SAP S/4 Hana new GL is activated by design but document splitting still optional.
If you want to go with document splitting you need to activate it before going live, otherwise a subsequent activation will need more efforts and can
cause some inconsistencies in the production system.
When you activate document splitting, the general ledger view of the document will display additional line items by document splitting characteristics
defined for GL accounting. (GL view data is read from BKPF and ACDOCA table).
In the GL view, with document splitting even BS account can be splitted
by profit center and segment depending on the basis item category
(Expense account in this case).

We can choose to use the basic document splitting with the standard
splitting method or to create our own splitting method to meet the
business requirement.