is 604: contemporary issues in is banking enterprise systems · posting control overview 7 is 604...

Chair of Information Systems IV (ERIS)

Institute for Enterprise Systems (InES)

IS 604: Contemporary Issues in IS

Banking Enterprise Systems

Prof. Dr. Alexander Mädche

Chair of Information Systems IV

Institute for Enterprise Systems

Lecture

supported by:

Agenda – Session III

IS 604 Banking Enterprise Systems

2

Agenda

1 B2tec Company Overview

2 Introduction to SAP Banking Services

3 SAP Business Partner

4 Contract Management

5 Product Configuration

6 Financial Conditions & Pricing

… …

9 Posting Control Management

10 Settlement Management

3 Posting Control Processing

Co

rre

spo

nd

en

ce

Pe

riod

ic

Pro

cessin

g

Double,

Triple,

Quadruple

Control

Archiving

Product Configuration

Accounting

Financial Conditions/Pricing

Contract Management

Financial

Customer

Information

Management

Reporting

Collateral

Insurance

Order Management/

Business Operation

Posting Control Processing/

Exception Handling

Open Item Management

Combined Settlement

Payment Distribution & Monitoring

Master Contract Management

Posting Lock

Management Settlement

Currency

Conversion

Cash Flow Item Management/

Payment Services

Billing and Invoicing Payment Distribution

Pooling

Credit Facilities


Posting Control Processing 4 F

ron

t-O

ffic

e

Mid

-Off

ice

Ba

ck-O

ffic

e

Contact Advisory Offer Deal Mainte

nance

Create BP

Create

Account

Maintain

BP

Maintain

Account

Settle

Account

Create

Product Maintain

Product

Maintain

Conditions

Create

Conditions Assign

Product

Define Ind.

Conditions

Manage

Payments

Maintain Product

Pricing List

Create Product

Pricing List

Account

Settlement

Posting

Control

Business

Processes

Business

Events

Business

Transactions

Book on internal

accounts Reporting

Account

Closure

Current account life-cycle

Order

Management

Payments


Posting Control Processing


5

Understand posting control functions

Explain formal and material check processing

Explain posting control rule processing

Define functional scope of posting control office and

processing of posting control orders

GOALS OF THIS UNIT

Agenda: Posting Control Processing 6

Agenda

1 Posting Control Overview

2 Posting Control Rules

3 Posting Control Office


Posting Control Overview 7


Posting Control Management is a component that supports rational processing of mass payment transactions in the Account

Management (AM) system in SAP BaS.

During posting or creation, every payment item and prenote in the AM system is subjected to a number of formal and material

checks. If Posting Lock Management is active, it can as well cause posting errors by locking features (ex: debit postings are

locked) and objects (ex: account is locked) with posting lock documents.

Identified posting errors are subject to posting control rules, where user can configure desired first responses to various posting

problems.

If Posting Control Office (PCO) is active then the system automatically sends posting-related details to PCO and generates

Posting Control Order. In PCO posting control orders can be processed automatically or manually in Posting Control Desktop.

Posting Control Office

Posting Control Order

Automatic

Processing

Posting Control

Desktop

Posting L

ock M

anagem

ent

Account Management

Posting Checks

Posting Control Rules

Payment Form

Locks, Card Locks,

Account Locks Busin

ess T

ransactions

Payment

Transactions


Agenda





Posting Control Rules: Posting Checks 9

Depending on the error type identified by formal check, formal

error to which posting control can be applied and to which it

cannot be applied, system has the following reaction possibilities:

Formal Checks: Material Checks:

Value (mandatory attribute not entered)

Value range (entered value is not within value range)

Format (entered value does not match to the

allowed format)

Account Posting Check

Limit (available amount)

Access Limit

Account Name Check

Prenote

Formal Checks Material Checks

Formal error to which posting

control cannot be applied


control can be applied

Formal object check

Default response:

Reject

According to Posting

Control Rules Cancel

No rule

Account Posting

Check

Available

amount check

…

Default response:

Routing Items: Reject

Other Items: Post-

processing

According to Posting

Control Rules

No rule


If formal checks did not identify any errors, payment item is

checked further for material errors. Depending on the

material error system performs following actions:

Posting Control Rules: Rule Processing 10

Incoming Payment Item Through Dialog/BAPI/Services/…

Formal Checks

Material Checks

Post

Reallocate

Reject

Post-processing

Redirect

Return

Cancel

Post

Respond

according to

Posting Control

Rules


control rule cannot be applied

No Material error

Material error

Formal

error to

which

posting

control

rule can

be applied



The posting control rules in banking services from SAP

enable automatic processing of payment transactions if

there are posting problems. In many scenarios, incorrect

postings can be processed automatically without requiring

any manual processing.

The posting control rules are applied according to specific

input parameters. Input parameters include: error types

payment item type

transaction type group

product

posting control group (this defines your customer groups)

channel

Based on these parameters, the corresponding response

is automatically determined by the system.

The response is determined based on the input

parameters. This means the system uses the input

parameters of the payment item to determine the

response that best suits these input parameters. If the

system does not find a matching entry, it looks for the one

with the most matching criteria.

Input parameters

Posting Control

Rules

Responces



Rule Determination

During processing of a payment item several checks may fail. This may result in an item with several error

types being submitted to the posting control rules. Different responses can then be determined in the set of

rules.

Fully qualified access takes priority over partially qualified access. The appropriate rule is determined

according to a sequence defined by a customer. The default determination sequence is as follows:

Channel

Posting control group

Product

Transaction type group

Item type

Error type

If more than one rule appropriate, the valid rule is determined according to the priority of responses

received, where reject takes highest priority whereas post has a lowest priority:

Reject Redirect Reallocate Return Post Post-processing



Agenda





Posting Control Office 14

Posting Control Office (PCO) - supports efficient processing of mass payment transactions in the account

managing system. It enables both automatic and manual processing of posting control orders.

Aim:

Reduction of the manual post-processing

Cost saving due to reduction in post-processing

Functional Scope:

Enables efficient processing of mass payment transactions

Takes over manual and automatic processing if posting problems are identified when you try to

post a payment item as for example:

• Insufficient funds

• Value date variances and others

Takes into account prenotes, which can also lead to insufficient funds

Manual Processing Automatic Processing

Preparation of all information relevant for

making posting control decision

Post/ return/ reject/ transfer post turnover

Transfer to automatic processing function

Temporally postpone processing

Close posting control order

Resubmission Check limits

Item in post-processing: Renewed posting

Item in reallocation: Renewed check of

posted item

Execute final processing Renewed resubmission

Execution of final response from posting

control rules



All exceptions that cannot be resolved automatically by the posting control rules are sent to

post-processing. This means that a posting control order is created and the person

responsible has to process the payment item manually.

Posting control orders are assigned to different worklists according to specific parameters.

User

Assignment

to Worklist



Order Category

The category of posting control order defines whether the posting control decision affects a

single payment item or the whole account . There are two order categories:

Item Order

Account Order

1. Payment Item

Processing

2. Posting

Control Order

3. Worklist

Assignment

4. PCO

Processing

5. Possible

Actions

Payment

Item

Posting

Control

Order

Worklist 1

User

Automatic

Processing

Res

po

nse

s

Resubmit

Reject/

Return Item

Post Item

Transfer Post

Item

Reverse Item

Complete

Order

Check finds

errors

Posting Control Order Processing


Posting Control Processing 17

Posting Control Management is a component that supports rational

processing of mass payment transactions in the Account

Management (AM) system in SAP BaS.

Every payment item and prenote in the AM system is subjected to a

number of formal and material checks. The formal checks are

accomplished before the material checks. In case if checks

identified errors posting control is used.

The posting control rules in banking services from SAP enable

automatic processing of payment transactions if there are posting

problems. In many scenarios, incorrect postings can be processed

automatically without requiring any manual processing.

The posting control rules are applied according to specific input

parameters.

Posting Control Office supports efficient processing of mass

payment transactions by enabling both automatic and manual

processing of posting control orders. Manual processing is done

with the help of worklists, to which posting control orders are sent if

they cannot be handled automatically according to posting control

rules.


is 604: contemporary issues in is banking enterprise systems · posting control overview 7 is 604...

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