The Management Accounting-Results Integration ES bundle provides services that streamline and accelerate the accounting process for systems that are external to SAP. The bundle delivers key accounting figures for two main tasks in one central place. Internal data includes wide-ranging types of profitability analysis, such as factoring risk costs. Financial accounting figures are valuations for instruments, such as loans, that are later published. By integrating this complex process, streams of key figures are pulled quickly together from many other operations for easy access. Data needed for management accounting can be transferred into SAP Bank Analyzer where it can be used with SAP Bank Analyzer 6.0's management accounting feature.
The Management Accounting-Results Integration ES bundle leverages enterprise SOA by providing enterprise service-based integration between SAP Bank Analyzer and third-party valuation systems from which data is required for management reporting.
Any bank that wants to seamlessly integrate its internal and external management accounting process will find this ES bundle highly useful. System administrators can quickly pull data from various internal operational banking applications, such as loan management, into one hub. And key external figures that are slated for use in financial statements can be smoothly placed in double-entry postings.
Management Accounting - Results Integration (click to enlarge)
For details on Service Operations, Business Objects and Process Components, please check the ES Workplace.
How To Use This ES Bundle
Pulling accounting data from many different applications can be a cumbersome, time-consuming process. System administrators must tap into many different operational systems bearing multiple sets of numbers that may not be compatible. If they need financial figures for their balance sheets, for example, one set of valuations for instruments like mortgages must be retrieved from one application. Then it's placed on double-entry postings in the general ledger, which is separate from internal data. Aside from being time-consuming, this fragmented process can slow down the accounting process.
The SAP Management Accounting - Results Integration ES bundle offers a means of integrating diverse accounting processes. Data used for gauging internal profitability, such as analyzing funding costs, can be calculated and transferred to SAP Bank Analyzer using services in this bundle. Data can flow in from many different operations or departments into one place. Also, key financial figures that are already calculated and slated for external use, say, in quarterly financial statements can be seamlessly transferred into double-entry postings. Valuations for financial instruments, for example, are readily accessible from other external applications. Managers can thus access a whole range of both profitability and financial data quickly and easily.
Use Case 1: Sending Operational Data to SAP Bank Analyzer
Once a day, or according to a schedule decided upon by the bank, data from external valuation systems must be sent to SAP Bank Analyzer. From there, this data can be sent to the general ledger for reporting as needed.
Depending on the nature of the financial instrument being reported on, different enterprise services may be invoked. For example, for checking accounts, the average balance is an important factor. To transfer data about accounts where average volume is important, the Create Results enterprise service is invoked, which uses the Financial Instrument Position Period Average Volume Analytical Result business object. In addition to the average amount, valuation for such accounts is also done using the total for a given period, the net of all inflows and outflows for a period such as a month or a quarter. For this purpose, SAP Bank Analyzer invokes a different enterprise service by the same name, Create Results, this time on the Financial Instrument Position Accounting Period Total Analytical Result business object.
To send the value of loans from the operational systems to SAP Bank Analyzer, the accountant invokes another service called Create Results that uses the Financial Instrument Position Fair Value Analytical Result business object. This business object handles valuations for financial instruments such as mortgages.
When banks lend money to customers, they do so at a higher interest rate than they pay to the central treasury. The rate the bank pays is captured in the business object Funds Transfer Pricing Rate Analytical Result. Invoking Create Results on that business object sends information about the rate the bank paid for a certain loan from the valuation systems to SAP Bank Analyzer, where it can be used as input for management accounting.
Future directions for this ES bundle will be market-driven.
- SAP Bank Analyzer 6.0
- SAP Banking Services 6.0