Cash Management

Position of SAP Cash Management in the

overall Treasury solution map of SAP
Treasury Management Solution
• Basic Cash Management offers only basic functions on managing bank
account master data, and any customer who uses the SAP S/4HANA
Finance can use this functionality. Previously this was known the be
Bank Account Management light.
• Features
• Manage banks and house banks (only a subset of fields that are needed
for enabling the payment process) 
• Define bank accounts and house bank accounts (only common
attributes are supported) 
• Display bank accounts in a list view 
• Import and export bank accounts 
• Monitor cash positions and liquidity forecasts
• Manage memo records using the app or transactions FF63 and FF65 
 Advanced
Cash
Management
Cash Operations   -  Cash Pooling
• With the Manage Cash Pools app end users can directly create a cash
pool structure on the productive landscape without the need to
transport configuration. The direct integration with the Bank
Relationship Management creates the option to have header and sub-
accounts directly assigned in the Bank Account Master Data. Each
sub-account is configured with a target balance and minimal transfer
amount. To control the Cash Pool maintenance it can be included into
the overall workflow process of Bank Accounts. Detailed tracking of
funds and movements of each cash pool participants is also available,
so that each participant account's contribution to the pool is visible. 
Cash Reporting Process
• The Cash Flow Analyzer gives an overview of cash management data.
Several different views are available ranging from Liquidity forecast,
cash position or cash pool related information. 
• The Cash Flow Analyzer monitor the cash position, liquidity forecast in
your company and analyze the details with the following advantages:
● Various dimensions and filters. 
         ●  Dynamic data source: SD/MM, AP/AR, Memo Record, TRM/CML, Payment Request. 
● Hierarchical structures for Bank Account Group and Liquidity Item with amounts for a specific time
period. 
● Currency comparison between Display currency and Transaction currency (or Account currency). 
● Switch between the balance view and delta (cash flows only) view. Finally the Cash Flow Analyzer gives
you a combination of "Cash Position Details", "Liquidity Forecast Detail" and "Actual Cash Flow" functions.
• The Cash Flow Analyzer app is the central entity to analyze cash flows over days,
weeks, months, quarters, or years for all bank accounts and liquidity items. It is
possible to display the report in a bank account groups hierarchy view or liquidity item
hierarchy view. The bank account groups are defined in the Manage Bank Accounts
app. The liquidity items and the hierarchy are defined in the Liquidity Item Hierarchy
app. Besides the bank account group, you can also display the report in cash pools.
Cash pools can be selected from the list of bank account groups.
• Another feature of the tile is to display the report in bank account groups hierarchy
and liquidity item hierarchy. The data presented in the app can be used to give a high-
level overview and detailed insight into the cash flow status to the management.
• Within the Liquidity Item Hierarchy view you also need to choose the Display Currency
for the result list. This feature supports various currencies and the user is free to
switch between the values. 
Cash Flow Analyzer - Variants 
• The Cash Flow Analyzer app comes with three predefined variants.
Since the Cash Flow Analyzer app is providing functionality in terms of
the Cash Position Details, Liquidity Forecast and the Actual Cash Flow
for all of these scenarios a variant is shipped. With the Cash Flow
Analyzer function, you can display the cash position, liquidity forecast
and actual cash flows with more organizational units, in addition to
the company code. These are: ●Business Area ●Segment ●Profit
Center ●Trading Partner
• In SAP S/4HANA, Cash Management allows the end user to check cash flows with a
historical version, for example, the user can check the cash position with a defined
historical timestamp so that he/she can understand what have been forecasted in
cash position at that point of time. The Fiori Apps Cash Flow Analyzer and Check
Cash Flow Items allows the end user to select historical timestamps in SAP
S/4HANA, for all other processes and apps, the system will always get the current
version of cash flows from One Exposure. The Snapshot function is only supported
in Advanced Cash Management scope, and by default, it is switched Off, you can
switch it on at any point of time. You can do so in Fiori App Manage Your Solution -
Configure Your Solution - Define Basic Settings. However, after switching on
snapshot and system has snapshot data created, you want to switch off the
snapshot, which is possible, but you need to follow the instruction to
cleanup snapshot data from all systems.
Cash Flow Comparison Report
• With the tile Cash Flow Comparison - Actual/Forecast you can compare
actual cash flows with your forecasts in the past as well as compare different
forecast records that were made on different snapshot dates. It helps you
understand the accuracy of your past forecast records and assists you in
improving your cash flow forecasts continuously. You will be enabled to
make actual-to-forecast comparison and forecast-to-forecast comparison for
cash flows of the specified time range. Use various dimensions and filters to
personalize the report. For example, you can display cash flow figures in
date hierarchies such as Week/Day, Year/Month/Day, or Year/Quarter/
Month/Day using the Value Date (Hierarchy) filter. This way, cash flow
figures are aggregated according to the defined hierarchy. You can then
choose to expand the hierarchy for details. 
• From the Cash Flow Analyzer app you have the possibility to view a cash
concentration simulation for the selected Cash Pool. For the cash pool
structure especially find the following fields from the simulation - Balance
Before Simulation
   - Balance After Simulation
   - Transfer Amount
   - Max Target Amount
   - Min Target Amount
This feature will help the Cash Manager to evaluate the cash pooling
consequences and helps to further optimize the cash flow in the enterprise. 
Cash Pooling Process
You can create cash pools using the
Manage Cash Pools app and make
cash concentrations using the
Manage Cash Concentration app to
centrally manage your cash. After
your concentration you can
manage transactions with the Cash
Pool Transfer Report to understand
the movement of funds. 
Bank Transfer Cash Operations Process
• When sending payments with the Advanced Cash Operations you can
integrate the approval workflow available through the Bank
Communication Management functionality. The payment batches
created need to be approved by the signatories and can be passed
further to e.g. the SAP Multi-Bank Connectivity solution or via file
integration to the external house banks. Tracking of outgoing
payments is always ensured with cash reports showing the most up to
date information.
Bank Transfer Process
• With the app Make Bank Transfer you can conduct bank-to-bank
transfers of cash. You can view information about the bank account
from which or to which you want to make the transfer.
• Track Bank Transfer 
• The app Track Bank Transfer enables you to view information about
the bank-to-bank transfers of cash that you have made during the
past 3 months. You can filter or sort such information by several
dimensions. This app is available for the role Cash Manager and Cash
Management Specialist.
• Approve Bank Transfer 
Reports  
• Bank Risk App It can help cash managers to analyze cash deposits,
distribution, interest on bank ratings and identify deposits in high risk bank
accounts. 

• Payment Statistics
Bank Account Balance Reconciliation
Supported Applications
• Manage Banks 
• Manage Bank Accounts 
• Cash Flow Analyzer
• Manage Memo Records 
• Manage Payment Media 
• Monitor Payments 
• Bank Account Balance
Centralized Bank
Management
• Typically, organizations lack a centralized process for the
bank account management. Inconsistent processes across
subsidiaries create challenges in terms of overall
governance, audit and transparency. Furthermore,
processes are often not harmonized and lack of integration
with related processes (such as management of payments).
• With BAM, cash managers and bank accountants can
centralize the management of bank accounts using bank
account master data, a table view of banks and bank
accounts, workflow processes (for opening, changing or
closing bank accounts), and workflow processes for
periodic review of master data.
 • Hierarchies, Manage banks hierarchies for banks and accounts help
organizations to manage the bank accounts. 
• Integration with Bank Communication Management, The signatories
maintained in the Bank account Management master data can be
integrated with Bank Communication Management (BCM) payment

Bank approval so that it simplifies signatory management, which was

previously maintained in the release strategy of the BCM component
for the payment approval. 
Account • Revision Process, For the approval process of bank accounts opening,
changing, and closing, the solution provides a workflow to manage
Management the approval process for the company wherein SAP delivers the
predefined workflow steps. The bank account review process helps
Process the customer to easily manage and review bank accounts yearly or
quarterly
• Mass Maintenance We also provide the Upload and the Download
Bank Accounts functionality to help the customers to migrate bank
account or make mass changes to bank accounts. Customers can
download all the bank accounts into an Excel file, make the mass
exchange, and upload the file again to the system.
•Bank Relationship Management enables the central
management of bank accounts. 
•● Maintaining bank account master data
•    - Common account properties such as bank account number,
IBAN, bank                     statement data, contact persons, and so
on 
•    - Payment signatories with Integration to Bank
Communication                                      Management
•    - Overdraft limits
•    - Connectivity path that enables the integration  with house
bank accounts                or  bank accounts in remote SAP or non-
SAP systems
•    - Possibility to add attachments
•● Managing bank accounts by
•     - Standard Views (Bank Hierarchy, Account List, …)
•     - Custom Views (Cash Pools, Cash Centers, …)
•● Workflow processes for opening, modifying, closing and
reviewing bank                    accounts 
Manage Bank Accounts - Bank Hierarchy View app
Manage Global Accounting Hierarchies app
• With the app Manage Global Accounting Hierarchies, you can create and edit bank account group hierarchies
and their validity timeframes. You can also quickly create hierarchies based on existing hierarchies in case of
structure changes or changing reporting needs.
• 1. Define New Hierarchies To define a bank account group hierarchy choose the Add (+) icon. To add bank
accounts to the hierarchy, select the hierarchy from the list to display it, and then choose the Edit button to
edit it. If the hierarchy is ready for use in business, choose the Activate button. Only activated bank account
group hierarchies can appear in related apps and be used in business. 
• 2. Copy Existing Hierarchies If you want to create a hierarchy that resembles an existing hierarchy, you can do
so by copying the existing hierarchy. Open the hierarchy that you want to copy from. On the detail screen,
choose Copy To New Hierarchy. In the dialog, enter an hierarchy ID and a description, and choose Copy. 
• 3. Import Existing Bank Account Groups If you have defined bank account groups in the Manage Bank
Accounts - Bank Hierarchy View app in earlier releases, you can migrate the bank account groups or nodes of
the bank account groups to this app by using the import function. To do so choose the Import Hierarchy
button. Use the default source Bank Account Group, and then specify a bank account group that you want to
import. Specify required information for the new hierarchy and then choose Create. The complete bank
account group is migrated to this app as a new bank account group hierarchy.
House Banks
• The house banks of your company are the banks that your company
has an account with. You can use them to process payment
transactions. 
• They are assigned to company codes. 
•  Each company code can have multiple house banks. 
•  Each house bank of a company code is represented by a bank ID. 
•  Every account at a house bank is represented by an account ID.
In the Manage Bank Accounts app, open a bank account.
Bank Account Master Data - Manage Bank
Accounts
Manage Bank Accounts
Payment Signatories
Cash Pool

After cash pools are defined in theManage Cash Pools app, you can maintain bank account and other related
information for the cash pools in the bank account master data. For this, you need to specify if the bank
account serves as the header account of a cash pool or as a as a subaccount. Furthermore, the following
values are only relevant when the cash pool is a physical cash pool: 
● Target balance ● Minimum transfer amount ● Payment method
Bank Accounts - Document Management
• The Managing Documents function for bank accounts provides the
Cash Manager with the functionality to upload documents to the SAP
S/4HANA System. For bank accounts you want to enhance the stored
information with e.g. the contract papers from your bank or the
information about signatories. With the SAP Document Management
System, you can upload documents or URLs as attachments to bank
accounts. 
Bank Correspondence
• In some circumstances, companies need to communicate with banks
in written format regarding important changes in their bank accounts,
for example, the decision to close a bank account, or an update about
authorized signatories. To assist companies in bank correspondence
automation, SAP provides a business rule Bank Correspondence for
generating email or PDF correspondence letters automatically. The
following scenarios are supported: Template
FCLM_BAM_ACCOUNT_CLOSE: When a bank account is closed in the
system, an email is generated and sent to the defined contact persons.
Template FCLM_BAM_SIGNATORY_UPDATE: When the signatories are
updated in the system, a PDF correspondence letter is generated.
Bank Correspondence
Bank Account Review
• To ensure the bank accounts in your system are up to date, you may need to organize
bank account reviews from time to time. While working with thousands of bank accounts,
it is very important to ensure that the data is correct and up-to-date. Therefore, cash
managers have to perform regular bank account reviews to ensure that all of the data is
correct. To do so, follow the process below: In the Manage Bank Accounts app, a review
initiator starts a review process. The designated reviewers then receive a notification from
the SAP Fiori Launchpad. By clicking the notification, they are navigated to the review
request. Note: Only people who have the authorization to change a bank account can
initiate a review process. In the Review Bank Accounts app, reviewers check the account
information, make necessary changes, and then mark the bank accounts as review
completed. After all the bank accounts in a review request are marked as review
completed, the review request is set to completed. In the Review Bank Accounts app, the
review initiator can check the review requests, monitor the review status, and check
review notes from reviewers. 
Initiate Review
Process for Bank
Accounts 
• For risk control reasons, most companies implement approval
processes for master data management. In general there are three
options for the bank account revision process 
● Activate directly 
● Dual control method 
● You can use SAP Business Workflow or a simple dual control process to
safeguard your bank account master data.
Bank Fee Management
• The Bank Fee Management provides comprehensive functionality in the area
of bank fee management, such as the maintenance of the bank fee conditions
and monitoring in addition to the validation of bank fees. 
• Importing the bank service billing files 
• Create, edit, or delete the bank fee calculation conditions as per agreements
you have with the banks and assign them to the corresponding bank fee
items. 
• Check the bank fees in different views/dimensions and with different detail
levels. 
• Also validate them based on the assigned conditions and set the validation
status accordingly.
• Use the app Import Bank Services Billing Files to load bank fee data to
your system for analytical purposes. The content and format of the
files you import must follow the Bank Services Billing (BSB) standard
that was defined by ISO 20022 (camt.086). 
• With the app Monitor Bank Fee, you can oversee the imported bank
fee data and keep a track of your bank service charges using various
drill-down dimensions.
Bank Fee Analysis - Overview with Chart 
Bank Fee Analysis - Overview with Table
Cash Management Reporting
• Foreign Bank Account Report
• Check and process your workflow tasks 
• Track bank-account-related requests