Session Title

What is SAP Simple Finance?Carsten HilkerSAP 2014 ERP Corp. All rights reserved.Introduction3Since the official release of SAP Simple Finance during SAPPHIRE, there has been tremendous interest in the latest, next generation SAP Finance solutionWell cover:A quick overviewSimple Finance, SAP Accounting powered by SAP HANA, Central Journal scenarioSimplifications and innovationsTechnical components and prerequisitesDeployment optionsMake sure to join / attend:Controlling 2014 September 21-24 San DiegoFinancial Excellence Forum, October 7-8 PhiladelphiaCustomer Engagement Initiative: Simple Finance / Central Journal

AlignedSingle Source of TruthProvide one-stop access to all financial and non-financial dataEnsure harmonized data without manual reconciliationEnable flexible data drill-down to actionable information2014 SAP AG or an SAP affiliate company. All rights reserved.4

2014 SAP AG or an SAP affiliate company. All rights reserved.#Alignment is a key prerequisite for any real time organization. An organization can only act in real-time if everyone is sitting in the same boat, rowing in the same direction. In our context, this means that everyone is working from a common set of information, provided by a single source of truth.

Such a single source of truth comprises three major elements:First, it provides seamless access to all data, not only financial data, from a single access point. HANA Live, a virtual semantic data model on top of SAP HANA is providing this capabilitySecond, it is about ensuring data consistency across all solutions. This consistency is being provided by SAP HANA as the single repository of shared data and shared methods across all Finance solutionsLast not least, in order to ensure data consistency, Finance solutions have to support all personalized analytics within the system of record. Otherwise, users will continue to extract and maintain data in local spreadsheets. This change requires an unprecedented flexibility and adaptability in reporting as provided by SAP ERP when powered by SAP HANA. 4One data instance as common basis for Transactions, Analysis, and ReportingA single data copy in a shared data modelAggregation of elementary records in real timeFrom serial processes to event driven collaborationVarious copies of data in different data modelsInherent data latency and alignment issuesSerial processes to ensure data qualitySeparation of Transactions, Analysis, and Accelerated Reporting

SAP HANA(DRAM)

TransactAnalyze

Accelerate

Cache

SAP HANA Enables a Single Source of Truth

2014 SAP AG or an SAP affiliate company. All rights reserved.5

2014 SAP AG or an SAP affiliate company. All rights reserved.#Alignment is a key prerequisite for any real time organization. An organization can only act in real-time if everyone is sitting in the same boat, rowing in the same direction. In our context, this means that everyone is working from a common set of information, provided by a single source of truth.

Today there are several barriers that prevent realization of a single source of truth, e.g., Several copies of dataIn different data modelsInherent data latencySeparate cashes for performance optimization

In recent years, computer systems have increased the number of processing cores with large integrated caches. Main memory space has become practically unlimited with the ability to hold all the business data of enterprises of any size. Falling prices have moved processing from Disk/SSD to In-Memory. Memory access is 1M 10M times faster than disk.

Disk-centric computing was also one of the major factors that forced separation of transactional and analytical workloads. Moving data to various locations was necessary for reporting to circumvent network issues. Pre-processing of data then became the necessity to optimize linear data transfers. We do not have to live with those limitations any more.

Through advances in data sciences combined with relevant hardware trends, SAP is leading the real-time computing revolution leveraging the power of in-memory computing to bringing analytics and transactional processing back in one database.

This transforms how we construct business applications and our expectations in consuming them. 5Architecture of SAP Accounting powered by SAP HANALogisticsDocumentCODocumentFIDocumentTotals & Indices

Financial AccountingTotals & Indices

Management Account.From StabilityProcessingAnalyticsCO DocumentFI DocumentFlexibilityAggregation on the flyvia HANA viewsPre-Defined Aggregates

Flexibility

StabilityProcessingAnalyticsLogical documentLogisticsDocument ToCustomer BenefitsHarmonized internal and external reportingHigher flexibility in reporting and analysisSignificantly reduced reconciliation effortSignificantly reduced memory consumptionCentral journal for heterogeneous system landscapes

2014 SAP AG or an SAP affiliate company. All rights reserved.6

2014 SAP AG or an SAP affiliate company. All rights reserved.#SAP Accounting powered by SAP HANA is one of the most important innovations in 2014. It is essentially an entirely new architecture for SAP ERP Financials. Its main characteristics are:

Convergence of FI and CO. There will be one logical document that is the common basis for both regulatory and managerial accounting. Thereby, a much higher degree of consistency between FI and CO has been created abolishing the need for time consuming and error prone manual reconciliation.

Abolishment of pre-defined aggregates. All aggregation and transaction processing is now performed on the fly based on HANA Live views. The totals and indices in FI and CO will be a matter of the past. This fact is a further move to preserve data consistency throughout the entire technology stack. As a side effect and due to HANA, memory consumption is drastically reduced, helping to reduce TCO.

More flexible reporting. As a beneficial side effect, reports can now be configured by the end user in a very flexible way without requiring any assistance from IT.

Especially large customers are interested in leveraging SAP Accounting powered by SAP HANA for harmonized real-time internal reporting (so-called central journal approach) prior to consolidating their full system landscape into a single ERP system.6FISAP HANA Live (Virtual Data Model Logical Documents)COCO-PAMasterMaster DataWeb DynproFiori AppsBusinessObjects BI

Physical DocumentsReporting InterfacesEmbedded BW (queries)

Reporting Architecture

2014 SAP AG or an SAP affiliate company. All rights reserved.#SAP Accounting powered by SAP HANA will no longer rely on SAP GUI for reporting and analytics, but leverage new, flexible, state-of-the-art user interfaces.

Web dynpro reports which run in SAP NetWeaver Business ClientFiori apps with HTML5 UI e.g. Financial Statement reportingSAP BusinessObjects Business Intelligence solutions with direct access to SAP HANA 7Reporting with Fiori Applications

Lab preview

Customer BenefitsReporting of the Financial Statement, Balances, Line Items Simple and easy to use experienceWork seamlessly across devices desktop or tabletCollaboration functionality

2014 SAP AG or an SAP affiliate company. All rights reserved.#8

Discovery and analysisLumiraExplorerAnalysis for Office / for OLAPDiscover. Predict. Create.Dashboards and appsBuild engaging experiencesReportingCrystal ReportsWeb IntelligenceShare information

Design StudioDashboards Reporting with SAP BusinessObjects Business Intelligence

2014 SAP AG or an SAP affiliate company. All rights reserved.#SAP BusinessObjects Business Intelligence provides a full suite for solutions for different use cases in reporting and analysis.

Most solutions can run directly against the HANA Live views. Alternatively, the solutions can access data via BW queries which are then fed from HANA Live.

Remark: only few solutions like Web Intelligence require a separate BusinessObjects universe.

9

Reporting and Analysis Flexibility

User-defined reportingUsers can explore data on the fly by restricting financial statements to self-defined data sub-segmentsSAP will continue to provide standard reports but with focus on frequently used reports Available informationAll record dimensions can be used for segmentationUnrestricted selection of multiple dimensions for segmentationCustomer-specific dimensions can be easily added and are available for segmentation *

* planned

2014 SAP AG or an SAP affiliate company. All rights reserved.#Here is further detail on how SAP Accounting by SAP HANA provides more flexibility in end user-defined reporting.

An important tool in this context is SAP Analysis for Office, SAPs Excel client for reporting purposes, which is part of the SAP BusinessObjects Business Intelligence suite.

End users can define their own personalized reporting view in a side panel within Microsoft Excel.

10Harmonized Internal and External Reporting Example WIP

Customer BenefitsInsight into the work in process accountin the balance sheetDetail by production orders not finished at period-endDrilldown to deeper levels like cost elements

2014 SAP AG or an SAP affiliate company. All rights reserved.#This a specific report delivered with SAP Accounting powered by SAP HANA. It analyzes information stored in the assignment field of G/L documents for the account work in process and joins it with information from respective CO documents.11Significantly Reduced Reconciliation EffortObsolete Reconciliation of multiple ledgers ** because redundancy has been eliminatedObsolete Reconciliation Ledger ** due to real-time integration from CO to FIObsolete Reconciliation of totals vs. line items because totals are droppedObsolete Reconciliation of OLTP and OLAP due to real-time analytics on OLTP Drastically simplified FI versus CO due to 1:1 link on line item levelDrastically simplified FI versus CO-PA * due to link to CO-PA characteristics table

Faster financial close and lower costs* for account-based CO-PA and primary cost elements

** already available with New G/L in SAP ERP

2014 SAP AG or an SAP affiliate company. All rights reserved.#Reconciliation is one of the key obstacles in todays system landscapes. It takes considerable effort and slows down the financial close and other processes.

With the new architecture of Smar Accounting, several reconciliation tasks are obsolete, and others are drastically simplified.

12Significantly Reduced Memory ConsumptionHANA data base compressionNo more persistent indices and aggregates/totalsNo replication to OLAP system for operational reporting

Lower TCO and higher through-put

18,5xSmaller data footprint observed based on real customer dataLab preview

2014 SAP AG or an SAP affiliate company. All rights reserved.#Memory consumption of SAP Accounting powered by SAP HANA is dramatically lower than with accounting in SAP ERP. This is a combined effect of data base compression in HANA (up to factor 7) and the new accounting architecture (up to factor 5).

Further reduction in memory consumption can be achieved when making OLAP (e.g. SAP BW) obsolete for operational reporting.13

AgileReal time finance processesRun event-driven processes with real-time executionProvide instant insight to action based on real-time informationEnable comprehensive process oversight and risk management2014 SAP AG or an SAP affiliate company. All rights reserved.142014 SAP AG or an SAP affiliate company. All rights reserved.#Presumably the most important characteristic of acting in real time is agility. The skiing lady in the picture is a great example of what it takes to be agile. First, you need fast gear, in this case fast skiing equipmentHowever, without the ability to recognize bumps in the slope instantly and being able to change the course without delay it is not very likely that the skiing person will reach the finishing line within a competitive timeLast not least, in the case of an unavoidable crash it is necessary to wear protective gear like the helmet to prevent serious damage

The same applies to real time finance processes. Real time processes are about speed and you need to be able to execute transactional processes in real timeBut you also need to provide instant insight to action to the business to respond to changed economic conditions without delayFinally, you better have real time process oversight and risk management capabilities in place to make sure that the impact of potential process failures is limited as much as possible14

The Real Time Process RevolutionProcess status analyticsTransaction monitoringControl and risk analyticsReal-time process oversightPersonalanalyticsElimination ofbatch executionReal-timereportingIntra-periodsimulationsContinuous intra-period executionAcceleration ofbottleneck stepsInstant insight to actionReal-time processexecutionContinuousProcess

2014 SAP AG or an SAP affiliate company. All rights reserved.#15The migration to real time Finance processes, based on SAP HANA, will constitute no less than a next process revolution. Sequential processes of today may be replaced by continuous processes where activities are happening simultaneously, driven only by events rather than being driven by an orchestrated sequence of process steps.

This is only possible if any process execution, transactional or analytical, is happening in real-time and if the associated insight to action is made available to decision makers in real time as well. We also believe that novel mechanisms for real-time process oversight will be necessary to ensure compliance and mitigate risks in such novel real-time processes.

As you can see from the diagram, acceleration of process bottleneck steps will be an important element and the starting point of the evolution towards real-time processes. But many more enhancements will be necessary and are in fact on SAPs innovation agenda. These include further process automation as well as new analytical user interfaces in order to make sure that the processed information reaches the end user in real time, anytime, anywhere.

Financial Close: Transition to Continuous ProcessingProcesses designed for real-time operations eliminate close bottlenecksReal-time analytics for process oversightClose processes involve >100 tasks per entity with complex dependencies and batch bottlenecksBenefit DriversEliminate end of period batch bottlenecksContinuous intercompany reconciliationContinuous financial reporting visibilityCO-PA & line item detail reconciliationAutomation for routine tasksFull management visibility of close tasksChallengesMultiple batch run dependenciesBatch bottlenecks delay downstream activitiesHigh error correction effortsComplex issues delayed till post closeTime pressured resolutionsDelayed visibility to reporting

EntityCloseCorporateClosePeriod End CloseWithin the periodTraditional Financial CloseReporting on-demandFinancial Close on SAP HANAWithin the periodPeriod End Close

2014 SAP AG or an SAP affiliate company. All rights reserved.#A major investment focus is the establishment of the (near) real-time period end close. We are referring here only to the preparation of the financial information that is typically being collected at the month end close. The additional activities that are needed to prepare a full blown quarterly or annual report will still require several days of additional work.

Accelerating the month end close substantially will bring several business benefits. It can provideMore timely information for managerial reportingThe ability to forecast the period end close more often and with higher accurayThe ability to simulate accounting decisions on the fly

The transition to a continuous (soft) close also helps the Finance organization to better balance their workload throughout the entire period avoiding todays stressful and error prone month end crunch.

16

Financial Close: Intercompany Reconciliation on the Fly

FBICR3Reconcile Documents

FBICS3Select DocumentsFBICA3Assign Documents Automatically

ObsoleteObsoleteReal Time Processing

New user experienceImproved data drill downReduced time to close booksImproved and accelerated automated matchingNo more batch jobs, real time analysis supports continuous intra-period process executionImproved user experience and enhanced data drill down reduce manual reconciliation effortBetter process oversight through new management dashboard

2014 SAP AG or an SAP affiliate company. All rights reserved.#One important example of real-time acceleration within the period end close is intercompany reconciliation.

Intercompany reconciliation is often one of the most labor intensive and time consuming activities at period end. SAP has released new enhancements for SAP ERP that turn intercompany reconciliation from a batch process at period end into a continuous process that can be executed on the fly intra-period.

For this purpose SAP has not only accelerated the processing of information and eliminated several batch jobs, it is also providing new user interfaces.

The new intercompany reconciliation capabilities require SAP HANA and can be run side-by-side to a current SAP ERP installation.17

Next Gen User Experience

Fully Renewed User RolesGeneral Ledger AccountantCost Center ManagerCollection SpecialistCredit ManagerMore roles planned to followLAB PREVIEW2014 SAP AG or an SAP affiliate company. All rights reserved.18

We have seen in previous slides how important the right user interfaces are in providing real-time information to end users anytime anywhere.

However, SAP is also investing significantly in renewing the entire usability of SAP ERP as part of the Fiori program, i.e. also for transactional activities. SAP plans to release a renewed user experience of SAP ERP Financials initially for the roles of the

General Ledger AccountantCost Center Manager (as successor to SAP RealSpend)Collection SpecialistCredit Manager

Further renewed roles are planned to follow in the mid-term.18

TransactionalInsights to ActionSearch and ExploreSAP Smart BusinessFactsheetTask-based Access

*Next Gen User Experience Types of Fiori Applications

19Transaction Fiori Applications Examples 20

Collections WorklistLab previewPrioritize activities automatically based on collections strategiesTrack progress against daily collections goalsTrigger reassignment of items to balance workload

Process ReceivablesDive deep into details of customer accountView receivables aging informationCapture and track customers promises to pay invoicesLab preview

Smart Business Cockpits

Available Cockpits forFinancial Close ManagerReceivables Manager Planned Cockpits forChief Financial OfficerCash ManagerPayables Manager2014 SAP AG or an SAP affiliate company. All rights reserved.21LAB PREVIEW

To further improve and accelerate the consumption of information by business users, SAP plans to release Smart Business Cockpits. These new cockpits aim to provide key decision managers in the Finance organization with a 360 overview on their relevant financial data.

There are already Smart Business cockpits for the Financial Close and the Receivables Manager, and it is planned to release initially three more cockpits that address the CFO, the Cash Manager as well as Payables Managers. These end user configurable cockpits provide real-time visualization of the most important KPIs for these roles. They also support drill down to several layers of additional information.

The new cockpits will require SAP HANA and in most cases also SAP Accounting powered by SAP HANA.21

SAP Smart Business for Financial Close

Cockpit to monitor the progress of the entity close via KPIs, also on a mobile deviceAnalyze the completion rate of closing tasks by multiple dimensions like region, country, company, milestone, working day, etc.Monitor the tasks delayed and tasks in error with easy collaboration to respective task ownersAnalysis of historic closing cyclesSolution shall expanded to other SAP solutions for the financial close

One of the most significant planned innovations is the release of SAP Smart Cash Management, a newly developed cash management solution.

The new solution is not tied to a single SAP ERP system and is able to provide consolidated global cash positions in real time even in the presence of heterogeneous backend systems.

It provides new functional capabilities, e.g., in the areas of liquidity forecasting and bank account management, as well as new data visualization capabilities through a dedicated smart business cockpit for cash managers.

SAP Smart Cash Management is powered by SAP HANA and can be run side-by-side to an existing SAP ERP solution.22

New Solutions for Real Time Receivables ManagementSAP Receivables Manager

supporting the Receivables Manager in Finance to monitor a continuous processSAP Customer Financial Fact Sheet

enabling sales representatives to resolveopen issues directly with the customer

Real time

SAP offers with SAP Receivables Manager and SAP Customer Financial Fact Sheet, both powered by SAP HANA, the necessary tools to support the transition of the collections process from a sequential into a continuous process with direct involvement of the sales agents.

SAP Customer Financial Fact Sheet equips sales agents with a real-time, always up-to-date 360 overview of the payment status of their customers. This information is made available on multiple mobile devices ranging from smart phones to tablets. With this information at their fingertips, sales agents have the right tools in their hand to engage with their customers to resolve an open collections case.

On the other hand, SAP Receivables Manager provides the receivables with an up-to-date overview on the overall status of open collection cases. This enables the receivables manager to continuously steer the overall collections process without the need for a periodic review of open collection cases.23

Introducing SAP Cash Management powered by SAP HANALAB PREVIEW

Analyzing global bank balances and cash positions based on data from SAP and non-SAP systemsIntegrated liquidity forecasting including cash flow analysis using multi dimensional real-time analyticsCentral Bank Account Management including overdraft limit analysis, bank risk analysis, signatory management and workflow support Smart Business for Cash Managers, a cockpit to monitor critical KPIs, also on a mobile device

One of the most significant planned innovations is the release of SAP Smart Cash Management, a newly developed cash management solution.

The new solution is not tied to a single SAP ERP system and is able to provide consolidated global cash positions in real time even in the presence of heterogeneous backend systems.

It provides new functional capabilities, e.g., in the areas of liquidity forecasting and bank account management, as well as new data visualization capabilities through a dedicated smart business cockpit for cash managers.

SAP Smart Cash Management is powered by SAP HANA and can be run side-by-side to an existing SAP ERP solution.24

Easy Migration to SAP Accounting powered by SAP HANAInstall Financials add-on for SAP ERP 6.0 EhP 7 Compatibility of new accounting solution with other SAP ERP modules*Current SAP ERP processes and reporting run on new accounting solution with little or no changesMigrate to new solution at any month end with low effort* SAP Accounting powered by SAP HANA does not provide all capabilities of current FI/CO2014 SAP AG or an SAP affiliate company. All rights reserved.25

2014 SAP AG or an SAP affiliate company. All rights reserved.#While SAP Accounting powered by SAP HANA will offer a next-gen accounting architecture, the migration is largely non-disruptive. Migration within a weekend is the goal, and has been proven by SAP migrating its core ERP system in April 2014.

This is possible because only the inner mechanics of FI/CO are being replaced. A merely technical migration to New GL is included. However, the accounting setup does only need to be slightly adapted to make use of the additional capabilities of New GL.

All connections to other SAP ERP modules are being preserved. Current processes and reporting will run with no or only little changes. There are additional reporting interfaces in order to make use of the new reporting capabilities.

SAP plans to migrate its own accounting system to SAP Accounting powered by SAP HANA in the near future.25SAP Business Planning and Consolidation 10.1Unification of current BPC and BW capabilities in a single model for planning and consolidationUnified models based on BW meta-data utilizing proven data harmonization services provided by BWSeamless integration with SAP Accounting powered by SAP HANA (no data replication, business content)End-user centric plan configuration and planning capabilities (incl. UI) provided by BPC NW 10.1Support for integrated business planning, dynamic modeling and simulationHTML5 UI support for device-independent planningSAP HANA PlatformSAP ERP / 3rd party ERPSAP NetWeaver /SAP Business WarehouseEPM Excel Add-in / Analysis for Office / HTML 5 Web UISAP Business Planning and Consolidation 10.1, version for SAP NetWeaverBPC NW and BW-IP come together in Unified BW-based modelSAP Planning and Consolidation

BPCBWLAB PREVIEW

2014 SAP AG or an SAP affiliate company. All rights reserved.#This situation will completely change with the release of SAP Business Planning and Consolidation 10.1 and the planned release of SAP Smart Accounting.

SAP Business Planning and Consolidation 10.1 will provide all necessary capabilities for integrated business planning in one single solution which will give it a strong differentiation in the market. It will do so by providing a new unified planning model that combines the strengths of both current SAP Business Planning and Consolidation and SAP BW-IP in one single solution. By virtue of a tight embedding in SAP Smart Accounting it will also replace the current planning capabilities in SAP ERP.

Functional HighlightsUnified models based on BW meta-data for enterprise wide planning scenariosRich set of pre-defined planning functions and reporting capabilities, e.g. disaggregation, repost, revaluation, currency translation, unit conversion, inverse formula calculationsHighly flexible session based simulations, including e.g. master data planning Unified user interface for planning and reporting

Key DifferentiatorsBW data warehousing capabilities provide well established and proven data consolidation and harmonization services Best-of-breed data extraction for SAP Business Suite increases flexibility, reduces maintenance and lowers TCODeep integration with SAP ERP for closed loop scenarios, e.g. extraction of actuals and write-back of planning resultsHigh performance due to the use of dedicated EPM operators within HANAPlatform for various planning applications, e.g. SAP CRM-TPM and Planning for Retail

26Architecture for Integrated Business PlanningSAP HANA PlatformSingle source of truthSAP ERP SAP BPCBWAdditional customer benefitsFully harmonized master data and data between accounting, planning, and financial risk managementSeamless integration of planning into SAP ERP user interface and workflowsEnd-to-end simulation capabilitiesShared data and methodsMaster data (e.g., cost centers)Planning modelActuals, plans, budgets, forecastsPlanning engineEntry of transactional and master dataVariance analysis actuals vs. planEntry of planning models and plan dataFlexible reporting and analysis of actuals

LAB PREVIEW

2014 SAP AG or an SAP affiliate company. All rights reserved.#The ultimate step of unification with SAP ERP will be achieved if SAP ERP (with SAP Smart Accounting) and SAP Business Planning and Consolidation are deployed on the same HANA platform.

In this case, no data replication between both solution is necessary any longer. SAP ERP and SAP BPC will be sharing the same data.

Planning capabilities provided by SAP BPC will be seamlessly integrated in SAP ERP user interfaces and workflows, effectively replacing the current planning capabilities in SAP ERP. Plans developed in SAP BPC will be accessible in SAP ERP for variance analysis.

On the other hand, SAP BPC will provide embedded access to master data and actuals that are being maintained in SAP ERP.

Both capabilities combined will provide novel end-to-end simulation capabilities.27Architecture for Integrated Business Planning Detail HANA Views ERP Tables: Actual DataMultiProviderVirtualProviderHANA Views InfoObjectsIn-Memory Cube:Plan DataERP Tables: Master DataSAP Accounting powered by SAP HANASAP Planning and Consolidation 10.1Same Architectural Design as ActualsSingle Planning application resulting in real time plan integrationFully supports top down / bottom up at desired level of detailPure Line Item Data Storage FI and CO Dimensions combined into a single record100% Account based planning concept - even for CO-PA plan data.Shares Master data directly with SAP ERPCan apply standard ERP derivation logic.LAB PREVIEW

2014 SAP AG or an SAP affiliate company. All rights reserved.#28Example: Integrated Financial PlanningSingle planning solution for group P&L plan and individual cost center plans, fully embedded in ERPReal time access to ERP master data and actualsPlanning for years or entire account segments and disaggregation to periods and individual accounts

Plan data from departmental plans roll up into group plan in real time, no batch updates required

Accounts

2014 SAP AG or an SAP affiliate company. All rights reserved.#This particular example demonstrates how group level P&L planning (that used to be the domain of SAP BPC) and operational cost center planning (that used to be the domain of SAP ERP) will be supported by a single, very user-friendly planning environment, SAP Business Planning and Consolidation 10.1.

The general ledger accounts are the structural dimension that ensure alignment between top-level P&L planning and bottom-level cost center planning. Updated plan data from departmental plans can roll up into group plans in real-time without the need for any batch updates.29ERPCentral Journal WhiteboardA traditional BW option also does not allow for central transaction execution, shared use of data between transaction processing, planning, consolidation and reporting, or process optimizationsBW

ERPsource system(s)central BW systemprocess optimizationsreportingbusiness transactionslatency, aggregation

shared data, planning / consolidation features2014 SAP SE or an SAP affiliate company. All rights reserved.#PublicCentral Journal WhiteboardA consolidation ledger also does not allow for central transaction execution, shared use of data between transaction processing, planning, consolidation and reporting, or process optimizationsConsolidationLedgers like HyperionERPsource system(s)consolidation ledger process optimizationsbusiness transactionslatency, aggregation

reporting, consolidation

shared data, planning / consolidation featuresERPERP2014 SAP SE or an SAP affiliate company. All rights reserved.#PublicERPplan, consolidate, report ** requires respective SAP products and licensesCentral Journal WhiteboardCentral transaction execution, shared use of data between transaction processing, planning, consolidation and reporting, or process optimizations with central journalSuite on HANASAP HANA(platform)

ERPsource system(s)central journal instancesource system(s)FinancialAdd-onsprocess optimizationsbusiness transactionsconsolidated financial reportingshared data, planning / consolidation featuresReal-timeReconciled2014 SAP SE or an SAP affiliate company. All rights reserved.#PublicValue Driver: Central process executionAccounting and Financial CloseFinancial Planning and AnalysisTreasury and Financial Risk ManagementCollaborativeFinance OperationsEnterprise Risk and Compliance ManagementCollaborativeInvoice to PayTravel ManagementReceivables ManagementEnterprise Risk ManagementControls & Compliance ManagementAccess GovernanceAccountingEntity CloseCorporate CloseDevelop and Translate StrategyPlanning, Budgeting and ForecastingProfitability and Cost AnalysisPayments and Bank CommunicationsCash and Liquidity ManagementDebt and Investment ManagementMonitoring and ReportingReporting and DisclosureFinancial Close GovernanceCommodity Risk ManagementShared Services FrameworkFinancial Risk ManagementInternational Trade Managementdark blue = prime candidate (straight-forward, few customizing or MD requirements), light blue = customer option (more difficult, higher customizing and MD requirements, closer to logistics processes / operational nature, grey = not applicable or recommendedFraud ManagementAudit Management2014 SAP SE or an SAP affiliate company. All rights reserved.#PublicValue Driver: Central execution (process categories)Financial reportingManagement reportingTax reportingMaster Data GovernanceGroup cash managementPlanning and BudgetingTreasury ManagementRisk ManagementFraud ManagementShared ServicesTravel ManagementIntercompanyCash ManagementReceivables ManagementBilling & InvoicingCollections ManagementDispute resolutionPayments processingAccounts PayableBank CommunicationReportingAnalysis / ProcessingOptimization2014 SAP SE or an SAP affiliate company. All rights reserved.#PublicCustomer Engagement Initiative: Simple Finance / Central Journal35

https://influence.sap.com/ct/s.bix?c=55C80A75-EBD7-481B-A4B6-6C2F8C214248

Contact carsten.hilker@sap.com to participateUpcoming Events for SAP Controlling ProfessionalsFinancial Excellence ForumOctober 7 8, 2014Newtown Square, PAhttp://fm.sap.com/1mobile/SECHPE512_38870_ban.htm

36Controlling 2014 September 21-24, 2014San Diego, CAhttp://controlling2014.erpcorp.com/Dont miss outregister today !!!QuestionsNow:Ask questions now for immediate answersLater:carsten.hilker@sap.com37Q&A37Disclaimer

SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver, Duet, PartnerEdge, and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. ERP Corp is neither owned nor controlled by SAP.