Lokesh M Subadhra
Hi Everyone, This article is a continuation to my earlier article on S/4 conversion checklist. I would like to cover the importance of reconciling Asset Accounting sub-ledger with General Ledger before conversion.
FI- AA value = 1000 $ and the FI-GL Recon balance = 970$ ; We could see the delta of 30. When you execute ABST and ABST2 we can narrow down which particular G/L account has this discrepancies. This report will also fetch the difference in parallel ledger and parallel currencies as well .
Now the Billion Dollar question comes into mind? What balance will S/4 take into consideration during S/4 migration will it take 1000$ and update the same 1000$ in G/L or since you financials are already audited and reported with 970$ . Hence S/4 will migrated 970$ in both Asset and G/L. ( Remember Single Source of Truth )
To Answer this question, I would like to explain with the below case
From the above image, it is clear that we have a discrepancy in the 2nd LC amount between AA and GL and report fetches the accurate delta between them.
Now let us take the first Account into consideration, what will be the balance that will get migrated to S/4 will it be 25,555.21 or 26,767.87 . Secondly what will happen to the delta?
The data migration program, MUJ – Migrated Data to universal Journal is intelligent enough to negotiate the delta. Note: The actual data migration to ACDOCA happens post SUM (System Update Manager). As a Finance consultant we are responsible for migrating the data into S/4 tables . (ACDOCA, MATDOC, MLDOC etc) All these are sequentially executed in data migration phase of S/4 post conversion ( I will cover this part in a separate article later).
Now let us come back to our original question, What balance will get migrated to ACDOCA. The Answer to the question is that system will migration all the balances into ACDOCA. 2nd LC of AA , 2nd LC balance of G/L as well as the Delta. I will explain the same with the screenshots below.
From the above screen, we can understand how system migrates the balance into ACDOCA. System will update the balance of Asset with reference to Asset number and with the document number “DA”
System will migrate the FI-GL balance without reference to Asset with the document number “DG”;
System will migrate the Delta without reference to Asset with the document number ” DU” where U- Total Correction for G/L
The field Migration Source plays a very important role in identify source of the data.
By this , after S/4 conversion when we execute any same asset report in source ECC and Target S/4 both the report will match perfectly. As in S/4 Only the document DA will be pulled for Asset report.
Later, when you execute any of the G/L balance report in both ECC and target S/4. The balance of G/L will match correctly. As the system will compute the balance using the value of DG documents.
The Delta DU- will remain in ACDOCA forever. This Delta can never be reconciled in S/4 Hana post conversion .
Hence as a finance consultant one should understand the importance of ABST and ABST2 before S/4 conversion and decide wisely on how to handle the delta.
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