short presentation title customers’ credit and receivables situation review and respond to alerts...

Working Capital Management with S/4HANA Finance Elmar Hassler, Business Transformation Service, SAP Österreich GmbH , SAP Summit 2016, Linz, 26. April

S/4HANA Finance

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SAP S/4HANA reimagines how businesses manage working capital

The entire value chain is

digitized, including the digital

core that serves as the foundation

for business innovation and

optimization.

The digital enterprise

interconnects all aspects of the

value chain to drive and

anticipate business outcomes in

real time.

Enterprises across industries can

lead the digital transformation by

completely reimagining business

models, business processes,

and work.


No latency

Unrestricted granularity

Built-in harmonization

Continuous processing

Real-time analytics

Process intelligence

Integrated planning

Predictive forecasting

Embedded simulation

The Nature of Instant InsightInstant insight-to-action based on real-time information

Single Source of Truth

Real-time Processes

Planning, Forecasting

and Simulation

From siloed data to

From periodic processing to

From historic data to


The entire value chain is

digitized, including the digital

core that serves as the foundation

for business innovation and

optimization.

The digital enterprise

interconnects all aspects of the

value chain to drive and

anticipate business outcomes in

real time.

Enterprises across industries can

lead the digital transformation by

completely reimagining business

models, business processes,

and work.

In your new digital business

you always know exactly

…how much cash is coming in and going

out

…and exactly when the flows will take

place

SAP S/4HANA reimagines how businesses manage working capital

you collaborate with your suppliers and customers to create new

financing possibilities

support and strengthen your supply chain

sell your receivables to get paid faster

your Finance team always gets the best return on their

cash with active management strategies


A comprehensive Portfolio for the CFOCovering All Business Areas Across All Roles

Financial Planning & Analysis

Accounting &

Financial Close

Treasury &

Financial Risk

Management

Finance

Operations

Enterprise Risk &

Compliance Management

Strategy Development and

Translation Accounting

Payments and Bank

CommunicationsReceivables Management Enterprise Risk Management

Planning, Budgeting

and ForecastingEntity Close

Cash and Liquidity

ManagementInvoice Management Controls and Compliance

Management

Profitability and Cost

ManagementCorporate Close

Debt and Investment

ManagementTravel Management

International Trade

Management

Monitoring and Reporting Reporting and Disclosure Financial Risk Management Real Estate Management Fraud Management

Financial Close Governance Commodity Risk Management Financial Shared Services Audit Management

VP of FinanceHead of Corporate Reporting

Corporate Treasurer

Head of Finance Operations

Chief Compliance Officer

SAP S/4HANA Finance - delivers functional completeness across all financial rolesChief Financial Officer

Solutions that particularly support companies’ working capital initiatives Solutions with SAP S/4HANA Finance innovations

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 7Public 7

Example of continuous processing

Preparation

Clarification with

customer

Review Open

Cases

Monthly1

2

3

4

Automated AR processing

Resolution with customer

Continuous and alert-driven

Challenges

Resource intense

Manual preparation

High error rate

Multiple process flows

No situation context for resolution

Low resolution rate

Results

Executive operations cockpit

Real-time field alerts & collaboration on cash collections

Proactive field resolution of invoice disputes

Improved rates of automated payment matching


Operational alerts and reporting eliminate bottlenecks Smart Business for A/R and A/P

Personalized – from executives to accountants,

get the real-time status information you need

Collaborative – extend processes on any device

and beyond the core Finance team to get the job

done

Actionable – respond immediately with

a single click

Detailed – direct drill down to line item detail

or transactional applications


Gain more insight into sources of cashSAP Cash Management

Analyze global bank balances and

cash positions based on data from

SAP and non-SAP systems

Create more accurate mid-and

long-term cash forecasts via real

time analysis

Use money wisely, invest surplus

part to get return and reduce

financial cost

Supporting group treasury

functions to ensure liquidity and

optimize financing activities


And Fiori any-device technology shares these insights beyond your

Finance team

Push sales teams and managers key insights

into customers’ credit and receivables situation

Review and respond to alerts on customer

payment behavior to manage risks and

guarantee efficient cash collections

Anywhere, anytime access for CFOs, cash collection teams and sales teams to work together to

improve working capital management


Accounts Receivable – standard process automationBuilt-in analytics and transactional efficiency

Personalized launchpad with key apps for

accountants and managers

Color coding alerts users when thresholds are

exceeded

Fiori analytics are available on any device

Example: Clear incoming payments

Layout variants allow users to save favorites from

hundreds of data columns

Fuzzy search and type-ahead features

Worklists structure processes

Context-sensitive navigation points within processes

ANALYTICS TRANSACTION PROCESSING


App-to-app navigation moves you through the process flow

With a customer in “focus”, you are offered different navigation options to continue

investigations (view balances, master data) or process transactions (clear/post incoming

payments, process receivables), subject to your system authorizations.

Fiori App: Manage Customer

Line ItemsUnallocated cash for customer

Mark and Sons

Fiori App Observations

Fiori App: Clear Incoming

Payments

Clearing individual open items


SAP Receivables Management is a portfolio of automation solutions

Accounts Receivable – standard process automation

Manage all financial accounting–related aspects of customer accounts receivable.

Credit Evaluation and Management

Embed proactive credit management in transactional processes and portfolio analysis.

Billing and E-Invoicing

Deploy a customer bill payment portal or an e-billing process.

Collections Management

Proactively manage customer collections and customer service.

Dispute Resolution

Clarify and resolve customer payment disputes quickly and efficiently.


Functional overview: SAP Credit Management

Credit Limit Management

Implement a company wide credit policy

Manage a customer credit profile

Central credit management in a distributed system

landscape

Credit Case

Credit case for structured processing of credit limit

applications

Track status and result of credit limit applications

Credit Rules Engine

Categorize customers by scoring rules

Automatically calculate and assign a customer-

specific credit limit

Credit check rules

Model and implement own customer credit score

cards

Credit Information

Interface to external credit agencies

Input parameters for scoring rules

Credit Manager Analytics

Role-based access to credit management information and

analysis

Credit

Limit

JanuaryFebruary

March April

Credit

Exposure

AlertAlert


Collections managementCollections management capabilities prioritize customers

Customer-centric collections

Identify overdue accounts and critical trends

Prioritize collections activities based on strategies

Generate, monitor and balance worklists

Leverage complete integration (credit, disputes, billing,

analysis)

Extend the receivables processes beyond the finance

team

19%Lower overdue accounts receivables when companies take a holistic view of their customers at

the time of interaction Source: SAP Performance Benchmarking


Real-Time

Working Capital

Management

Real-time processes

Accelerated collaboration with

customers and suppliers to optimize

transactions that affect working

capital

Real-time personalized

analytics

Flexible analytics for instant data

access with drill-down along any

dimension down to line item level

Beautiful user experience

New role based user interfaces with

embedded real time analytics and

mobile access for business users

Elmar Hassler

Business Transformation Service

SAP Österreich GmbH

Lassallestraße 7b | 1021 Wien | Austria

M +43 664 620 7324


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developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time

for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-

looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place

undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

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