The Working Capital BW Reports are part of the Finance domain and utilize data sourced from SAP systems associated with Receivables, Payables, and Inventories originating from the Financial (FI) module along with submodules AP, AR, and GL.
It’s a FI oriented solution, mainly based on SAP accounting documents widely enhanced in BW (ex. CO assignment of Vendor postings).
It mainly aims at providing GBUs with detailed Payables, Receivables and Inventory data for Industrial WC analysis and piloting, including reconciliation with BFC. This solution has been in WBP since 2015.
VERSION | DATE | MODIFIED BY | DESCRIPTION |
0.01 | 08.08.2023 | Inês Vilares | Initial draft |
| Data Product Type |
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| Technologies |
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Data Sources Note: list of all applications and various environment |
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2.0 Business Process
The working capital is a financial indicator used to measure the Free Cash Flow of the enterprise. - To be completed
It is equal to the sum of:
- Value of the stocks
- Value of the customer receivables
- Value of the vendor payables
For this, the users can check on the SAP side the data for Receivables, Payables and Inventories but not with a high level view for all the dimensions in the same place or to have detail view for each part of the Working Capital with some additional information which is important for their analysis on a daily and monthly basis, as example to have aview of the values by GBU which only exists in BFC and BW side or for the factoring concept where with the transfer of the documents in the source systems they lose information and in BW it’s possible to track this easily.
3.0 Application Feature Overview
For this application find below all the workbooks available:
1- For GBU Conso. View
| Reports | Definition | Prompts | BW Workbook Query | Query Technical Name |
|---|---|---|---|---|
| WC GBU Solvay Group - BFC vs BW extract (Core Workbook) | Report to compare the data from BW with the BFC data from FC pack. The user can compare the Receivables, Payables and Inventories data for one specific period and see the values to be able to check the final values for BFC Conso and BW and analyze the diferences if exists. | Mandatory:
Optional:
| BW_WBK_WCAP_0010 | BW_QRY_MVFIWC01_0006 |
| WC GBU Solvay Group - Inventory extract (Core Workbook) | It's possible to see detail information for Inventories such as material division,, material group, PIF code, plant among others and analyze the Total Stock value, Total Stock Quantity and Unit price for different months. | Mandatory:
Optional:
| BW_WBK_WCAP_0007 | BW_QRY_MVFIWC01_0005 |
| WC GBU Solvay Group - Payables extract (Core Workbook) | It's possible to see detail information for Payables such as vendor number, PRS vendor number, name, among other fields that is possible to add to analyze the total balance for vendors and the values overdue and due depending on the calendar selection. | Mandatory:
Optional:
| BW_WBK_WCAP_0008 | BW_QRY_MVFIWC01_0004 |
| WC GBU Solvay Group - Rec. Aged balance (Core Workbook) | The report allows the users to see the total balance of the accounts and the overdue values information by aging until >180 days. | Mandatory:
Optional:
| BW_WBK_WCAP_0012 | BW_QRY_MVFIWC01_0012 |
| WC GBU Solvay Group - Receivables extract (Core Workbook) | It's possible to see detail information for Receivables such as customer number, PRS customer number, name, among other fields that is possible to add to analyze the total balance for customers and the values overdue and due depending on the calendar selection. | Mandatory:
Optional:
| BW_WBK_WCAP_0009 | BW_QRY_MVFIWC01_0003 |
| WC GBU Solvay Group - Synthesis extract (Core Workbook) | Report to check the total balance for Receivables, Payables and Inventories data for one specific period and also to check the amounts for Overdue and Due information by Company in the 1º sheet and by WC Sub Type in the 2º sheet. | Mandatory:
Optional:
| BW_WBK_WCAP_0006 | BW_QRY_MVFIWC01_0002 |
| WC GBU Solvay Group (Core Workbook) | This Workbook combine the several reports in the same place divided by the different sheets:
| Mandatory:
Optional:
| BW_WBK_WCAP_0002 | BW_QRY_MVFIWC01_0002 |
| WC Solvay Group - Payables in Doc/Loc/EUR curr. (Core Workbook) | Shows the list of all vendors and the total balance in Document currency, Local currency and EUR currency. | Mandatory:
Optional:
| BW_WBK_WCAP_0005 | BW_QRY_MVFIWC01_0011 |
2- For Accounting/Legal BFC View
| Reports | Definition | Prompts | BW Workbook Query | Query Technical Name |
|---|---|---|---|---|
| NEW WC CICC BFC Interface (Core Workbook) | some cases, BFC is manually populated by users thanks to dedicated workbooks in which WC data can be checked and formatted in a way compliant with BFC. In this Workbook we can see the values with the BFC layout for WC for CICC companies in the 1º, 2º ad 3º sheets and perform already some checks based in the existent sheets with the Headings from BFC. The user populate the data in these sheets and this will be uploaded in BFC side. | Mandatory:
Optional:
| BW_WBK_WCAP_0013 | BW_QRY_MVFIWC01_0009 |
| WC Accounting Solvay Group (Core Workbook) | Balance information for receivables, payables and inventories where we can analyze the values by accounting view or legal view. Intercompany and Lease/FAS amounts are possible to check and the measures can be checked for last year period, the period selected and the previous period from the selection. | Mandatory:
Optional:
| BW_WBK_WCAP_0003 | BW_QRY_MVFIWC01_0010 |
| WC Detailed FAS transfer (Core Workbook) | Information about the amounts related with Fixed Asset Supplier (CAPEX) to be completed | BW_WBK_WCAP_0017 | BW_QRY_MVFIWC03_0002 | |
| WC RCS BFC interface (Core Workbook) | to be completed | BW_WBK_WCAP_0001 | BW_QRY_MVFIWC01_0009 | |
| WC Solvay Group Annual Overdues interface (Core Workbook) | same logic as the workbook for NEW WC CICC BFC Interface the BFC will be manually populated by the users and in here we have the Receivables aging balances (Legal BFC view) by Company/Activtiy (X04051 key fig.) 1º sheet we have the overdue information to check what will be updated in BFC; 2º sheet it's information regarding the accounts in the scope; 3º sheet theu users will populate this with the relevant data to be uploaded in BFC. | Mandatory:
Optional:
| BW_WBK_WCAP_0004 | BW_QRY_MVFIWC01_0009 |
Notes:
1- The folder WCAP - Working Capital in Accounting (not conso.) view - This is a report for companies which already left Solvay Group but they are working with the system PF1 or WP1 (agreement with Solvay for this).
2- Due to volume of data and for performance purposes, lowest level of detail in postings (including FI Doc. number) is not available in workbooks. Nevertheless, this lowest level of detail can be reached from each of them by selecting jump standard function (Based on BW_QRY_MVFIWC03_0001):
4.0 Functional Specification
4.1 General Data/Calculations
For these reports, it’s important to understand some concepts which will allow the user to work with the reports in the same way as the SAP system and BFC tool.| Working Capital Accounts | Components for Payables, Receivables, and Inventory Working Capital (WC) are established based on a BFC Account list, which is maintained in each ERP system within the ZZF_BFC_SETACCT table, categorized by Family WC. For each Heading (BFC Account), there’s at least 1 corresponding Sets of accounts in which are listed at least 1 GL account (Cf. tr. GS03). Those data are uploaded in BW to update GL Account attributes used in reporting.
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| Consolidation View | The query takes the integration rate of the company and the partner from a table managed by GAR.
In this way, the user has 4 options:
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| GBU Assignment | The concept for GBU doesn't exist in SAP but it’s a requirement to have in BW since in BFC we have this definition. WP1 Logic: (to be completed) PF1 Logic: (to be completed) | ||||||||||||
| Currency Conversion | Key figures are always available in Local (Company) currency, and in some queries in Document currency. | ||||||||||||
| UoM Conversion | In Inventory analysis, UoM can be converted according to alternative UoM managed in Material master data (ex.: L → Kg). | ||||||||||||
| PRS Concept | The PRS is one dedicated SAP environment (based on PF1) whose aim is to unify some structural information as Master Data information for customers, vendors, company codes, etc. For this, depending on each master data we are referring to, we have specific tables created to maintain the data and have the configuration from source systems to BFC definition and alignment. | ||||||||||||
| Customers and Vendors | All Solvay Group Customers/Vendors (internal and external) are also managed both in PRS (PF1_050) and in local ERPs.
Example: Go to FK03 transaction and when the master data is displayed click on "Additional data" and in the 2º tab we can see the PRS vendor code:
Note: For reporting convenience, in BW most of PRS attributes are replicated as Customer/Vendor attributes (incl. PRS Vendor Interco flag). | ||||||||||||
| Trading Partner | Information stored in FI document:
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| Balance Calculations | WC figures are mostly open items (balances) calculated in reporting the following way: Open items at Calendar day = entries with: Posting date =< Calendar date and (Clearing date > Calendar date and Clearing date = #) | ||||||||||||
| Annual Closing | Each end of year, the main BW master data (about the structure) which are not time-dependent need to be frozen = no more loading from ECC or flat file on these main master data. To avoid the impact of the new evolution scheduled for next year on the yearly closing a freeze is applied to block the loading to allow the yearly closing period with the same scope done for the year and not with inputs for next year, for some master data, the loading are freeze in the middle of December until end of January. So when there is a new organization, historical data is restated in BW (not in SAP and BFC). |
4.2 Process Detail
4.2.1. Report/Process Definition
| Domain | Finance |
|---|---|
| Application | BW reports under WCAP - Working Capital Solvay Group |
| Provider | MVFIWC01 |
Source of data
Working Capital data is updated from ERPs FI entries, but also from BFC for reconciliation purposes. See below for each source how are the characteristics:
| ERPs | BFC | |
|---|---|---|
| Payables | FI postings on Vendor Payables accounts (K) → BSIK/BSAK FI postings on GL Payables accounts (S) → BKPF/BSEG FI postings on Customer Payables accounts (D)* → BSID/BSAD | Flat Files |
| Receivables | FI postings on Customer Receivables accounts (D) → BSID/BSAD FI postings on GL Receivables accounts (S) → BKPF/BSEG | |
Inventory (WP1/PF1/RHO only) | FI postings on Material Inventory accounts (M) → BKPF/BSEG FI postings on GL Inventory accounts (S) → BKPF/BSEG MM document** → MKPF/MSEG |
- BFC data are updated 1 time a day between D4 and D20; 1 file for closing period (Magnitude-BW-SCA_Month.txt), 1 file for previous one (Magnitude-BW-SCA_Month-1.txt);
- SAP data are updated 3 times a day (6 AM, 12 PM and 6PM French time) + for WP1 4 additional time a day (10 AM, 2PM, 4 PM, 10 PM) during closing period (D-1 to D4).
Reporting Views:
Depending on workbook definition (Cf. WC Query synthesis.xlsx) check with Pierre WC data are displayed according 3 different views:
- In Legal BFC/Conso. view, external companies are excluded from display
- In Conso. view, SAP balances of entities which are proportionally integrated (PRS Comp. Conso. Method = 30) are revaluated according corresponding integration rate
- In Legal BFC/Conso. view, entries with internal partner are eliminated from balance calculation
NB: some (Company + Customer/Vendor) combinations, that do not respect those standard elimination rules, are specifically managed as restricted key figures in query definition (Cf. WC Intercos specific business rules.xlsx) check with Pierre
| ERPs | BFC | |
|---|---|---|
| Payables | FI postings on Vendor Payables accounts (K) FI postings on GL Payables accounts (S) FI postings on Customer Payables accounts (D) | PRS Vendor Interco flag = X (master data) PRS TP Interco flag = X (document entry) PRS Customer Interco flag = X (master data) |
| Receivables | FI postings on Customer Receivables accounts (D) FI postings on GL Receivables accounts (S) | PRS Customer Interco flag = X (master data) PRS TP Interco flag = X (document entry) |
| Inventory | FI postings on Material Inventory accounts (M) FI postings on GL Inventory accounts (S) MM document | N/A |
SAP BW High level view
To see the data from the source systems see below how the information is organized in the BW perspective:
The cubes where we have the reference “factoring” are specific for data involved in the factoring process according to CAMS which will be explained further in this section.
Receivables Scope
Specific business rules:
- A41100, A49100 and L41160 BFC Accounts related entries;
- Receivables formula calculation detailed in WC Query synthesis.xlsx (ask Pierre), including:
- Entries forced as internal
- Acetow (6450) external Customer WVK displayed at 49,9%
- Butachimie external (0560) Customer Invista managed as internal
- Solvay Sodi external (3438) Customers SODASANA and SISECAM managed as internal
- Carryforward Document types S7, S8 and ZU in Italian companies excluded from display
Dedicated workbooks → Queries (1)
- BW_WBK_WCAP_0002 BW - NEW WC Solvay Group GBU (Core Workbook) + BW_WBK_WCAP_0009 BW - NEW WC GBU Solvay Group - BFC vs BW extract (Core Workbook) → BW_QRY_MVFIWC01_0003
- Due/Overdue classification
- L41160 and A49100 related entries are excluded from categorization
- Customer entries are classified as Due/Overdue according to Calculated Net due Date which is not different from Original Net due Date issued from SAP (BSID/BSAD)
- Cash in/out = Customer cleared entries (excluding payment documents). NB: Clearing date is considered as Payment date
- Due/Overdue classification
Dedicated workbooks → Queries (2)
- BW_WBK_WCAP_0012 BW - NEW WC GBU Solvay Group - Rec. Aged balance (Core Workbook) → BW_QRY_MVFIWC01_0012
- Outstanding: whole Receivables balance
- Overdues: Net due date =< Key date
Payables Scope
Specific business rules:
- L40100 and A40160 BFC Accounts related entries;
- WP1 Payables entries are net of Investment and Lease open items as reposted during month-end closing process:
- Fixed Asset Suppliers: Vendor and GL entries assigned in BW to an invest. WBSE, or to a PM order assigned in its settlement rules to an invest. WBSE
- Lease Suppliers: Vendor entries assigned in BW to a Lease contract (relevant for IFRS16 valuation)
NB: both are valuated Net of tax
- Payables formula calculation detailed in WC Query synthesis.xlsx, including:
- Entries forced as internal
- Acetow (6450) external Vendor WVK displayed at 49,9%
- Butachimie (0560) external Vendor Invista managed as internal
- Carryforward Document types S7, S8 and ZU in Italian companies excluded from display
Dedicated workbooks → Queries
- BW_WBK_WCAP_0002 BW - NEW WC Solvay Group GBU (Core Workbook) + BW_WBK_WCAP_0008 BW - NEW WC GBU Solvay Group - Payables extract (Core Workbook) → BW_QRY_MVFIWC01_0004
- Due/Overdue classification (1)
- A40160 related entries are excluded from categorization
- Vendor entries are classified as Overdue according to Original. Net due Date directly issued from SAP (BSIK/BSAK)
- Due/Overdue classification (2)
- They are classified as Due according to Net due Date, which is a calculated due date issued from table ZZF_BSEG → For all FI doc. item not maintained in ZZF_BSEG, Net due date = Original. Net due Date, else Net due date <> Original. Net due Date (Cf. entries with Calc.<>Orig. Net due date (Pay.) = X)
NB: for Customer entries which are part of PF1/PI1 Payables balances, there’s no difference between Net due Date and Original. Net due Date
- BW_WBK_WCAP_0005 BW - NEW WC Solvay Group - Payables in Doc/Loc/EUR curr. (Core Workbook) → BW_QRY_MVFIWC01_0011
Factoring Process (CAMS rules)
In working capital we have the factoring concept, where due to specific conditions we have some cases where the postings are transferred to the CICC company and the data in the SAP systems (PF1/WP1) will be cleared.
- when the invoices are transferred to CICC according to CAMS process are considered to be paid when they are cleared in CICC (PI1 Legal company 0231/4044), and not when they are cleared in the original company (ex. WP1 Affiliate ZFR3) at the time of the transfer.
- FI documents in Affiliate (origin) WP1/PF1 companies and in Legal PI1 companies are linked by a unique factoring contract number managed in table ZZF_BSEG.
For specific business rules:
- In Consolidated reports, data are displayed in an Affiliate point of view:
- For ex. if 4274 company is selected, not only open items in 4274 are displayed, but also cleared items linked to PI1 open items
- In other reports (Legal BFC and Accounting views), they are displayed in Legal company point of view:
- For ex. if 4274 company is selected, only open items in 4274 are displayed
- NB: to get the same whole affiliate point of view as described in previous point, it needs to select 4274 + 0231/4044 Legal companies, and then to filter on 4274 affiliate.
Inventories Scope
missing data
BFC Scope
missing data
Intercompany Scope
missing data
4.2.2. KPI's/Calculations/Indicators
Indicators available:
- XXXX
- XXXX
Indicatores/KPI's | Definition | Calculation/Extraction of data |
|---|---|---|
Can be a field, a program, something that was created or the report | What are we looking for ? Why has this KPI been created/developed? What is the goal of monitoring this data ? | How is the calculation, or if it's a program what are the steps or how the data is extracted if it's by files |
5.0 Non-functional Descriptions
5.1 Usability
5.2 Regulatory Compliance
5.3 Security
After Po2 the access was separated to guarantee that the users will only see the data under their scope.
5.4 Performance
5.5 Reliability
5.6 Scalability
5.7 Compatibility
5.8 Availability
5.9 Refresh of the Data
The Working Capital data is updated from ERPs Financial entries, but also from BFC for reconciliation purposes. So in this way we have the following loads times:
- BFC data is updated 1 time a day between D4 and D20;
- 1 file for closing period (Magnitude-BW-SCA_Month.txt);
- 1 file for the previous one (Magnitude-BW-SCA_Month-1.txt).
- SAP data is updated 3 times a day (6 AM, 12 PM and 6PM French time) + for WP1 4 additional time a day (10 AM, 2PM, 4 PM, 10 PM) during closing period (D-1 to D4)
The load normally takes approximately 90 minutes and when the data is refreshed it’s uploaded only the delta information.