1.0 Overview
The P&L (Profit and Loss) application it’s part of the Finance domain using data from SAP systems, non-ERP system and BFC information based on data from COPA (Controlling - Profitability Analysis) a component from SAP CO module. P&L application provides reports fully aligned with BFC structure (BFC Headings) down to REBIT/REBITDA able to analyze P&L starting from the BFC view (Company/Activity) and ability to drill down to Customer Material level. A profit and loss statement (P&L) is a financial statement that summarizes the revenues, costs and expenses incurred during a specific period of time, usually a fiscal quarter or year. These records provide information about a company's ability – or lack thereof – to generate profit by increasing revenue, reducing costs, or both. |
Target Users: GBU controllers, Site controllers and Marketing and Sales. |
VERSION | DATE | MODIFIED BY | DESCRIPTION |
0.01 | 24.07.2023 | Inês Vilares | Initial draft |
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2.0 Business Process
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3.0 Application Feature Overview
Below we have all the workbooks available:
| Reports | Definition | Prompts (some fields can be for multiple selections or a single value) | BW Workbook Query | Query Technical Name |
|---|---|---|---|---|
| P&L Query | In a single report, the P&L of all legal entities of the GBU are displayed. The user can analyze the different KPI's (e.g. Net Sales, Contribution Margin, EBITDA, etc) and check the costs and sales for the company or companies depending on the selection of the user. It's possible to analyze the data for one month or more. | Mandatory fields:
Optional:
| BW_WBK_PL_0001 | BW_QRY_MVCOPA01_0001 |
| P&L Monthly Query | In a single report, the P&L of all legal entities of the GBU are displayed. The user can analyze the different KPI's (e.g. Net Sales, Contribution Margin, EBITDA, etc) and check the costs and sales for the company or companies depending on the selection of the user. In this report the user will see the data not for a specific month but for all months for the year selected in the prompts. Also the user can check the data by Quarter. If no currency is selected, no conversion is applied and data is extracted in local currency. For month 06/2018:Conversion will be the average exchange rate from 1 to 07 2018 – Average exchange rate from 1 to 6 2018); | Mandatory fields:
Optional:
| BW_WBK_PL_0002 | BW_QRY_MVCOPA01_0002 |
| P&L Monthly Query (Month Selected) | Same layout and fields as the P&L Monthly Query but the user only can select one month for the analysis. | Mandatory fields:
Optional:
| BW_WBK_PL_0009 | BW_QRY_MVCOPA01_0008 |
| P&L Reconciliation Query | P&L report presenting information about the costs and revenues, different KPI's for the comparison between the YTD Actual BW values and BFC Pack amounts. | Mandatory fields:
Optional:
| BW_WBK_PL_0003 | BW_QRY_MVCOPA01_0003 |
| P&L Query - Period Comparison | BW_WBK_PL_0011 | |||
| P&L Fixed Costs analysis | BW_WBK_PL_0008 |
4.0 Functional Specification
4.1 General Data/Calculations
For these reports, it’s important to understand some general concepts which are transversal to all the reports which allows the users to work with the reports in the same way as the SAP system and BFC tool.
| Consolidation View | The query takes the integration rate of the company and the partner from a table managed by GAR (Group Accounting Reporting).
The formula to retrieve the consolidated sales is in line with BFC: Consolidated Sales = Amount * Max [ 0, Integration Rate of CY (tingsoc) - Integration Rate of Partner (tingpart) ] Internal Sales = Amount * Min [ Integration Rate of CY (tingsoc), Integration Rate of Partner (tingpart) ] The integration rate of the partner is managed on the TRADING PARTNER. For specific cases some external customer must be considered as internal for certain company code (joint venture for example) . For cases the Partner integration rate is taken at the crossing Sold To/Company code. 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) |
| Exchange Rate | The application BW P&L is using the Cumulated Average Rate (exchange rate type C) from BFC. Values can be checked In the finance team site. Under Exchange Rate. "Moyen / Average": https://aodocs.altirnao.com/?locale=en_US&aodocs-domain=solvay.com#Menu_listDoc/LibraryId_QLsALxhAuXNKLSz74H/ViewId_QLsANWb3lkRIe5nnjN/Filter_%257B%2522QLsALAy014DXTQRuXH%2522:%25220B0Km5zvG_rngN2p2YTBvSjEtSjQ%2522%257D Or in the Solia CICC Online, Financial And Credit Tools: http://solia.solvay.com/irj/portal/CICCOnline_FinancialAndCreditTools Definition for ech Exchange Rate: https://wiki.solvay.com/display/ISAPPSUP/Exchange+rates P&L Exchange: https://wiki.solvay.com/pages/viewpage.action?pageId=303006136#P&LExchangerates-BFCMethodology P&L Monthly exchange rates: If no currency is selected, no conversion is applied and data is extracted in local currency. For example: month 06/2018: Conversion will be the average exchange rate from 1 to 07 2018 minus Average exchange rate from 1 to 6 2018); |
| 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. |
| Value Fields concept | CO-PA is an hypercube (like a pivot table in excel) where figures are posted to value fields. Value fields are mapped to BFC accounts in the interface tables. |
| 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 P&L folder |
| Provider | MVCOPA01 (main P&L data) |
| Existing Documentation | https://wiki.solvay.com/pages/viewpage.action?pageId=20886860 https://wiki.solvay.com/pages/viewpage.action?pageId=20882904 |
XXX |
Activity and Partner Activity:
GBR Fields:
This is done via transaction ZPL_FILE in WBP. to be confirmed
Aero fields:
UPIS- Unrealized Profit in Inventories:
4.2.2. KPI's/Calculations/Indicators
Indicators available:
- XXX
- XXX
Indicatores/KPI's | Definition | Calculation/Extraction of data |
|---|---|---|
5.0 Non-functional Descriptions
5.1 Usability
Usability is about the ease with which a User can learn to start using the solution and the ease with which they can use the system. In addition to ease of learning and ease of use, usability also includes areas such as ease of recall, error avoidance and handling, accessibility among others e.g., 99% of metadata entry Users who have use the Maintenance Dashboard should be able to change filters, extract etc., when required. Maintenance data will be centrally stored in the Google Cloud platform, which will be available to other applications e.g., and Dashboards if needed.
5.2 Regulatory Compliance
Software systems must comply with legal and regulatory e.g., GDPR requirements, this can change depending on country, organisation industry and / or region. The software systems must be secure from unauthorized access. The Maintenance Dashboard will comply with Solvay’s regulations and compliance e.g., access only granted to authorized Users.
5.3 Security
Security refers to essential aspects that assure a solution and its components will be protected against unauthorized access or malware attacks. Important considerations related to security aspects of a system are User authentication, User authorization or User access privileges, data theft, malware attacks, data encryption, and maintaining audit trails, e.g., only Users with administrator access shall be able to create new accounts and assign data access privileges to the new accounts e.g.,
All data will be encrypted in the dashboard
Only authorised Users / Administrative Users will be able to access data.
Maintenance data will be split between either SCO or ECO, and Users will only have authority to one Entity data.
5.4 Performance
Performance defines how fast a software system or a particular section of it responds to certain User actions under a certain workload. In most cases, this metric explains how long a User must wait before the target operation happens e.g., the page renders, a transaction is processed, etc., given the overall number of Users now. Performance requirements may describe background processes invisible to Users, e.g., backup and speed of data transfers.
5.5 Reliability
Reliability is the ability of a solution or its component to perform its required functions without failure under predefined conditions for a specified time / period. Reliability can possibly be specified in terms of average time system runs before failure occurs, percentage of operations completed successfully within a time / period, maximum acceptable failure probability, or number of failures within a period. Reliability aspects are in reference to (but not limited to) evaluation of the system to be considered as reliable, classification of reliability defining failures vs. regular failures, and the impact of failure on business operations. The Maintenance Dashboard will display data from the previous refresh of data.
5.6 Scalability
Scalability refers to the degree to which a solution can evolve to handle increased amounts of work. The increased amount of work could be in terms of the user base, transactions, data, network traffic, or other factors e.g., the system should be able to handle an additional load of a maximum of 5,000 Users every month for the next 6 months without any noticeable performance impacts.
5.7 Compatibility
Interoperability is the degree to which the solution is compatible with other components. It is a measure of how effectively the system interoperates with other software systems and how easily it integrates with external hardware devices.
Interoperability aspects to be discussed during elicitation are in reference to (but not limited to) software systems to be interfaced with along with data / messages to be exchanged and any standard data formats, hardware components to be integrated with, and any standard communication protocols to be followed e.g., Order Management system will push the order file into a secured file transfer protocol server from where it will be loaded into the system through a daily job. To guarantee between Google Cloud platform and SAP BW Queries e.g., BW_QRY_MVPMOR01_0002, Solvay has introduced a new tool called Xtract (Xtract).
5.8 Availability
Availability is the degree to which the solution is operable and accessible when required. It is a measure of time during which the system is fully operational e.g., available for use and sometimes included as a Service Level Agreement (SLA) considering its criticality to the business, e.g., the system shall be at least 99% available on weekdays between 09:00 to 18:30 Central European Time (CET).
5.9 Refresh of the Data
Closing Time:
Outside of Closing: the reload of data is 1x/ day during in the night