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Status

  Approved

OwnerAnil Para
Stakeholders

Purpose

The purpose of this document is to define the conversion approach for RE-FX Contract and Lease Management (CLM) master data and balances in S/4 HANA.

The main object of RE-FX migration is Lease contract master and balances. Due to the technical structure of RE-FX, there are also several tightly connected migration objects such as Business Partners  (i.e., Vendors), Right of Use (RoU) Assets & their balances, and GL Liability balances. The scope of this conversion specification is the Lease contract master records. Migration of Lease contracts are however dependent on the other objects mentioned above to migrate Lease contracts and their balances completely and accurately.

Group entities currently using SAP ECC solution shall use S/4 HANA CLM for IFRS 16 Lease Accounting in SyWay. S/4 HANA CLM provides a standardized framework, single source of truth and processes for a streamlined management of lease contracts across all Syensqo group entities directly in S/4 HANA  


Conversion Scope

The scope of this document covers the approach for converting active IFRS 16 Lease Contracts from Legacy Source Systems into S/4HANA following the RE-FX Contracts MDS Standard. The BPML process for RE-FX contracts will be followed as below

Level-1Level-2Level-3Level-4




9. Finance

9.5 Perform Transactional Accounting9.5.6 Perform Lease Accounting9.5.6.2 Manage Finance Lease Contracts
9.5.6.3 Manage Lease Contract Adjustments
9.5.6.4 Manage Lease Contract Terminations
9.7 Perform Financial Close9.7.1 Period-End Close9.7.1.11 Manage Real Estate Close
9.12 Perform Financial Reporting9.12.1 Perform Operational Reporting9.12.1.4 Perform Operational Reporting for Lease Accounting

The following ROU Asset Classes from legacy are applicable for this conversion. Corresponding S/4 HANA asset classes will be added later.

SystemAsset ClassDescription
WP2AC231001Leasing - Real Estate - Land
WP2AC233001Leasing - Real Estate - Office Building
WP2AC233002Leasing - Real Estate - Employee Lease Apartments
WP2AC233003Leasing - Real Estate - Storage Space
WP2AC234001Leasing - Real Estate - Cars
WP2AC234002Leasing - Real Estate - Railcars
WP2AC234003Leasing - Real Estate - Containers / Trailers
WP2AC234004Leasing - Real Estate - Other Vehicles
WP2AC235001Leasing - Real Estate - IT Hardware
WP2AC235002Leasing - Real Estate - Computers
WP2AC235003Leasing - Real Estate - Office Equipment
WP2AC235004Leasing - Real Estate - Others Tangible
WP2AC237001Leasing - Real Estate - Industrial Equipment
PF2ZLE23101Leasing - Real Estate - Land
PF2ZLE23301Leasing - Real Estate - Office Building
PF2ZLE23302Leasing - Real Estate - Employee Lease Apartments
PF2ZLE23303Leasing - Real Estate - Storage Space
PF2ZLE23401Leasing - Real Estate - Cars
PF2ZLE23402Leasing - Real Estate - Railcars
PF2ZLE23403Leasing - Real Estate - Containers / Trailers
PF2ZLE23404Leasing - Real Estate - Other Vehicles
PF2ZLE23501Leasing - Real Estate - IT Hardware
PF2ZLE23502Leasing - Real Estate - Computers
PF2ZLE23503Leasing - Real Estate - Office Equipment
PF2ZLE23504Leasing - Real Estate - Others Tangible
PF2ZLE23701Leasing - Real Estate - Industrial Equipment

The data from legacy system includes:

  1. IFRS 16 Lease contracts - Lease contract master data and balances
  2. ROU Assets - Right of Use Assets and Balances
  3. Lease Liabilities - Short Term and Long Term Lease Liability Balances
  4. Accrued Lease Liability - Intermediatory Lease liability balance
  5. Business Partners - Vendor Business Partner master data with a specific RE-FX role
  6. Purchase Order - Need a further check on the Lease POs strategy?

The data from legacy system excludes:

  1. Inactive Lease Contracts
  2. Deactivated ROU Assets
  3. Lease contracts will be ended equal to go-live date


List of source systems and approximate number of records
SourceScope

Source Approx No. of Records

Target SystemTarget Approx

No. of Records

PF2RE-FX Lease Contracts and ROU Assets1,781S/4 HANAWill be same as Source, unless any deactivation before Go-live
WF2RE-FX Lease Contracts and ROU Assets2,022S/4 HANAWill be same as Source, unless any deactivation before Go-live

Additional Information

Multi-language Requirement

IFRS 16 Lease Contracts will primarily be managed in English

Document Management

N/A

Legal Requirement

There are no legal requirements relevant to data migration of IFRS 16 Lease Contracts

Special Requirements




Target Design

The technical design of the target for this conversion approach.

TableFieldData ElementField DescriptionData TypeLengthRequirement
VICNCNBUKRS
Company CodeCHAR4Mandatory
VICNCNRECNNR
Contract NumberCHAR13Mandatory
VICNCNRECNTYPE
Contract TypeCHAR4Mandatory
VICNCNRECNTXT
Contract DescriptionCHAR80Optional
VICNCNRELEVANTEVAL
Valuation RelevanceCHAR10Optional
VICNCN

Purchasing Document


VICNCNRECNTXTOLD
Number of Old ContractCHAR20Optional
VICNCNRECNCNCURR
CurrencyCHAR5Optional
VICNCNKEY_ID
Line IDCHAR2Mandatory
VICNCNTERM_NO
Term NumberCHAR4Optional
VICNCNOBJTYPECN
Business Object Type of ContractCHAR2Optional
VICNCNOBJDCN
ID Part of Contract ObjectCHAR45Optional
VICNCNXCNSUBJECT
Name for Contract TermText60Optional
VICERULEACCTOBJNR
Account Assignment ObjectCHAR45Mandatory
VICERULECNSUBJECTTYPE
Type of Contract ObjectCHAR6Optional

















































































































Data Cleansing

IDCriticalityError Message/Report DescriptionRuleOutputSource System
DC-1Medium
Terminated or concluded lease contracts must be closed and all related postings need to be completed.Data cleansing to deactivate and exclude terminated or concluded contractsSAP ECC
DC-2Medium
Lease - Suspense account balances to be clearedThe balances are to be closed to 0 for any terminated or concluded contracts. Open items are to be cleared as much as possible.SAP ECC



Conversion Process

The high-level process is illustrate by the diagram below:

Data Privacy and Sensitivity


Extraction

The IFRS 16 Lease contract master data records shall be extracted from SAP ECC and shall be migrated using the Syniti Migrate / lease migration template. There are 2 possibilities:

  1. The data exists. Syniti Migrate connects to the source and loads the data into Syniti Migrate. There are 3 methods:
    1. Perform full data extraction from relevant tables in the source system(s).
    2. Perform extraction through the application layer.
    3. Only if ; cannot connect to the source, data is loaded to the repository from the provided source system extract/report.
  2. The data does not exist (or cannot be converted from its current state). The data is manually collected by the business directly in Syniti Migrate. This is to be conducted using DCT (Data Collection Template) in Syniti Migrate

The agreed Relevancy criteria is applied to the extracted records to identify the records that are applicable for the Target loads

Extraction Run Sheet

Req #Requirement DescriptionTeam Responsible
ERS-1Firstly, go to table ANLA (Asset Master Record Segment) and filter based on BUKRS (company code) and ANLKL (Asset Class) that are in scope during the deployment. Ensure that the DEAKT (deactivation date) is blank. After, retrieve the table results.Data team
ERS-2Based on the result from ERS-1, proceed to table ANLZ (Time-Dependent Depreciation Terms). Filter the details based on BUKRS (company code), ANLN1 (main asset number) and ANLN2 (asset sub number). Next obtain the entries for asset master data time-dependent details.Data team
ERS-3Based on the result from ERS-1, proceed to table ANLB (Depreciation terms). Filter the details based on BUKRS (company code, ANLN1 (main asset number) and ANLN2 (asset sub number). Next obtain the entries for asset master data depreciation areas details. 
Note: 
i. One asset will consist more than one line item depending on the number of depreciation areas that is setup in the legacy ECC system
ii. Take note of NDJAR (planned useful life) and NDPER (planned useful life in periods)		Data team
ERS-4

Based on the result from ERS-1 and ERS-3, proceed to table ANLC (Asset Value Fields). Filter based on BUKRS (company code), ANLN1 (main asset number), ANLN2 (asset sub number), GJAHR (Fiscal year) and AFABE (depreciation area). Take note of AFBLPE (Period for the last depreciation posting). For filtering on GJAHR (Fiscal year). 

Then, retrieve the cumulative values. Some of the important values are as follows:

i. KANSW (Cumulative acquisition and production costs) 
ii. KNAFA (Accumulated ordinary depreciation)

Note the following:
a. For year end migration, the accumulated ordinary depreciation will equals to KNAFA + NAFAG as the accumulated ordinary depreciation

b. For mid-year migration, the accumulated ordinary depreciation is only KNAFA


iii. NAFAG (Ordinary depreciation posted in the fiscal year)

Data team


Selection Screen

Selection Ref ScreenParameter NameSelection TypeRequirementValue to be entered/set





















Data Collection Template (DCT)

Target Ready Data Collection Template will be created for data with exception of some fields which require transformation as mentioned in the transformation rule.

DCT Rules

Field NameField DescriptionRule












Extraction Dependencies

Item #Step DescriptionTeam Responsible













Transformation

The Target fields are mapped to the applicable Legacy field that will be its source, this is a 3-way activity involving the Business, Functional team and Data team. This identifies the transformation activity required to allow to make the data Target ready:

  1. Perform value mapping and data transformation rules.
    1. Legacy values are mapped to the to-be values (this could include a default value)
    2. Values are transformed according to the rules defined in
  2. Prepare target-ready data in the structure and format that is required for loading via prescribed Load Tool. This step also produces the load data ready for business to perform Pre-load Data Validation

Transformation Run Sheet

Item #Step DescriptionTeam Responsible













Transformation Rules

Rule #Source systemSource TableSource FieldSource DescriptionTarget SystemTarget TableTarget FieldTarget DescriptionTransformation Logic









































Transformation Mapping

Mapping Table NameMapping Table Description








Transformation Dependencies

List the steps that need to occur before transformation can commence
Item #Step DescriptionTeam Responsible













Pre-Load Validation

Project Team

Completeness

TaskAction





Accuracy

TaskAction





Business

Completeness

TaskAction





Accuracy

TaskAction





Load

The load process includes:

  1. Execute the automated data load into target system using load tool or product the load file if the load must be done manually
  2. Once the data is loaded to the target system, it will be extracted and prepared for Post Load Data Validation

Load Run Sheet

Item #Step DescriptionTeam Responsible













Load Phase and Dependencies

Configuration

Item #Configuration Item






Conversion Objects

Object #Preceding Object Conversion Approach

list the exact title of the conversion object of only the immediate predecessor – this will then confirm the DDD (Data Dependency Diagram)




Error Handling

Error TypeError DescriptionAction Taken










Post-Load Validation

Project Team

Completeness

TaskAction





Accuracy

TaskAction





Business

Completeness

TaskAction





Accuracy

TaskAction





Key Assumptions

  • Master Data Standard is up to date as on the date of documenting this conversion approach and data load.
  • is in scope based on data design and any exception requested by business.


See also

Change log

Version Published Changed By Comment
CURRENT (v. 12) Apr 08, 2026 15:45 PARA-ext, Anil
v. 118 Mar 30, 2026 17:52 PARA-ext, Anil
v. 117 Feb 13, 2026 15:17 PARA-ext, Anil
v. 116 Feb 11, 2026 12:35 PARA-ext, Anil
v. 115 Dec 08, 2025 12:23 PARA-ext, Anil
v. 114 Dec 08, 2025 09:00 PARA-ext, Anil
v. 113 Dec 05, 2025 19:28 PARA-ext, Anil
v. 112 Dec 05, 2025 16:02 PARA-ext, Anil
v. 111 Dec 05, 2025 15:59 PARA-ext, Anil
v. 110 Dec 05, 2025 12:07 PARA-ext, Anil

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