SAP S/4HANA: Benefits and Implementation

Running Head SAP S/4HANA 0
SAP S/4HANA

Essay 1
SAP S/4HANA is an updated version of ERP used by the businesses in order to perform
the transactions and real-time analysis of the data in business. SAP has released the S/4 HANA
version in February 2015 and now the company understanding it as one of the best products
which the customers will like the most in the next generation in the ERP system. It is very easy
to use and also helps administer to solve the complex problems and easily handle a large amount
of data. SAP S/4HANA version is also available on-premises, cloud and hybrid models and SAP
strongly wants from customers to choose the cloud option (Vosough, 2017). The purpose of the
report is to understand the SAP S/4HANA finance for business and how it will benefit them in
financial terms. Companies who have adopted the SAP S/4HANA for future development and
making the financial work easy will be discussed in this report. Companies like Wipro, IBM
Services, KPMG, and Deloitte has adopted and implemented in the company to make the best
use of the system and make the analyses of the information in real time so that they can take
decisions in real-time after analyzing the financial report (Cocca, et al, 2018. SAP helps in
making the business digital and its operations can be digitalized across the pillars including
customers, workplace, assets, operations, and supply chain. Companies face the various
challenges and issues while implementing and migrating from existing legacy system to new
software but after proper implementation, companies get the many benefits which increase the
profits and growth of the businesses.
It was originally created from the SAP HANA which was released in 2011. SAP HANA
made it possible for businesses to process a large amount of operational information in real time.
After that in 2013, SAP also launched the business suite on HANA; it included the CRM, SRM,
PLM, and SCM in the ERP Systems (Coronel, et al, 2016). It required the concept of the
database with rethinking and rewriting the millions of code. SAP has made the changes in the
ERP system to make it easier to understand and use it easily by the business and more responsive
to developers. It is an opportunity for businesses to invest in a new business model and can make
new revenues by taking the more benefits of the internet and can connect with people with big
data, devices and business networks.
SAP S/4HANA will not require the batch processing of data, so the businesses can make
easier their businesses and drive them in real time. It also supports the businesses to access the

Essay 2
information from anywhere in real time for planning, executing, prediction and simulating the
information.
SAP finance is the key component of SAP S/HANA which is simple finance and its aim
is to make the financial process simple and also enable to analysis of the financial data in real
time. It helps in analyzing the financial and non-financial data. Business suite users are
deploying SAP finance as the first step for the S/4HANA. It is a financial application for
businesses. From the enterprise resource planning applications it helps in providing the real-time
data with a set of interconnected management of financials (Fleig, et al, 2015). SAP has designed
to remove the traditional barriers during the transactional, analytics and planning systems to
analyses the financial data at all levels of businesses. SAP finance is been used to create a model
data and for making the potential decisions using the financial information form the number of
systems. All the industrial specialists and professionals use the SAP S/4HANA for taking the
decisions in accounting, tax, treasury, risks, financial operations, and compliance. It consists of
components which provide the various financial abilities and helps in enhancing the functional
component (Surahrasal, et al, 2017).
SAP S/4HANA and SAP ERP FICO are dissimilar from each other. SAP S/4HANA
finance is the area which specifically deals in solving the Financial management problems. It
also enables in giving the common view of financial data and helps in maximizing the
reconciliation efforts of the business. It also enables us to generate a universal journal for
financial information.
It helps in consolidating the back end data from the various sources. SAP ERP FICO is the
component of SAP which allows the business to manage all of its financial data. SAP ERP FICO
is implemented in business to help them in generating and managing the financial statements for
analyzing and reporting the information in systems (Kollar and Martisko, 2016). It also helps in
making an effective business plan and taking the various decisions in the finance department. It
also consists of two modules which are SAP finance and SAP controlling and these are used for
the purpose of financial processes.
When we talk about SAP FI, it contracts with all the financial reporting and accounting
and SAP CO mainly focus on the planning and monitoring of the various costs which are
included in the business. It is considered as a single module as many people require it to integrate

Essay 3
into the system. SAP FI helps an organization to make the financial statements such as the
balance sheets and Profits and loss statements which helps in reporting and analysis.
SAP S/4HANA finance helps the business to run it smoothly. It helps in combining the
integrated features of the finance for processing at the same time as financial accounting and
management accounting. It allows an organization to reconcile the financial processes much
faster and also provides one source of financial truth as a whole for an organization. SAP
S/HANA has an ability to run the information in real time by analyzing the model and it also
predicts the changes that may occur in business that they may want to do, it can be acquisitions.
It also helps the financial professional as well as the CEO's to make the corporate decisions more
prominently (Eilers and Stark, 2016). Advanced SAP helps in providing financial benefits and in
enhancing the financial systems. It also enables to share of the wide data and accelerating closing
and reporting by taking the decisions and by doing the transactions faster.
It helps the users in generating the real-time report and generating reports faster helps in
closing the books faster. As SAP S/4 HANA helps the business to close the financial reporting
books in only two weeks. It helps in treasury and financial risk managing by accessing the real-
time information as it is easy and cash flows provided by SAP helps in reducing their cash
management cost (KPMG, 2017). The financial market which is fluctuating will not affect the
decisions as they are updated by the SAPS/4HANA tools. SAP finance helps the businesses in
managing the receivable and payable accounts so the firm will not spend much time in waiting
for the payments. By using the SAP finance, they will keep an eye on fraud which may take
place in financial faults and dubious data by automating compliance and enterprise risks. It
enables in detecting the frauds and mitigating in real time. SAP S/4HANA finance will help in
preparing the innovation in the future as it is the most important thing for the users, as the SAP
application will help in developing the perspective in mind of users and it has an ability to make
the better use of latest technology and demand. As nowadays technology is changing with great
speed and it is important for any firm to catch up with the same (Singh, 2017). SAP finance
serves advancement in technology that enables the firm to match up with the latest technology. It
helps in financial planning and analysis is one of the most important finance functions of any
business which helps in boosting up the planning cycles and that will help in the profitability of
the functions. It helped in improving the flexibility within the system.