I Hate U
I Hate U
I Hate U
Bank Communication
Management
www.zarantech.com
2 Disclaimer
• This presentation, including examples, images, and references are provided for
informational purposes only.
• Complying with all applicable copyrights laws is the responsibility of the user.
• Without limiting the rights under copyright, no part of this document may be
reproduced, stored or introduced into a retrieval system, or transmitted in any
form or by any means.
• Credits shall be given to the images taken from the open-source and cannot be
used for promotional activities
• Understand how SAP BCM module can be used for payment approvals and
monitoring.
• See How cash balance tracking and bank statement monitoring can be
implemented to track missing statements or reconciliation problems in SAP.
4
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 Payment Approval Process – Option 1
5
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 Payment Approval Process – Option 2
6
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 Payment Approval Process – Option 3
7
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 Payment Approval Process – Option 4
8
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 BCM and Connectivity Overview
9
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 BCM and Connectivity Overview
10
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 BCM and Connectivity Overview
11
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 BCM Introduction
12
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 BCM Flow
13
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM - Integration
• The SAP Bank Communication Management application forms part of the SAP FSCM (Financial
Supply Chain Management) Solution
• This allows for close integration of payment processing in ERP Financials with the Payment
Medium Workbench.
14
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM - Features
• Merge Payments
• Approve payments
• Payment status monitor
• Bank statement monitor
• Display incoming status messages
• Reservation for cross-payment run payment media
• Status of collector payments
• Define alerts
15
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM - Benefits
• With this function, you can group together payments from several payment runs into one
payment run and transfer them together on payment media.
• The required functions are supported in the payment programs for vendors and customers
(F110), for payment requests (F111) and also in all Data Medium Exchange (DME) preliminary
programs for payroll and travel expenses.
17
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
• You can use this function to display a work list of payment batches for processing. You can then
choose to approve or reject batches from the worklist. This work list is the link between payment
program and payment medium creation. After full approval, the payment medium for the batch
will be created and sent to your bank.
• After the payment program run, execution of program SAPFPAYM_MERGE creates the batches.
Depending on your settings, some of those batches (typically low value ones) are released
automatically. They do not appear in the work list. All other batches create workflow items, which
you can approve or reject.
18
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
19
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
20
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
21
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
22
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Approve Payments
23
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Status Monitor
• With this function you can access an overview of batches (groups of payments) and see their
current status.
• You can drill down to the payments in each batch and access information on their release
(approval) process and status history.
24
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Bank Statement Monitor
• The bank statement monitor displays the status of bank statements from individual house bank
accounts.
• Information from an external bank statement is adapted using internal bank account information
from Financial Accounting, and then different statuses are determined.
• A bank statement that is delayed or that does not reach the monitor can be identified with this
function just as quickly as any differences occurring between the bank statement balance and the
internal G/L account balance.
• Any items that are not assigned as well as differences in posting are also recognized in this way.
25
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Display Incoming Status Message
• You can use this function to display status messages containing status codes and status reason
texts for particular batches.
• The function can be used for error investigations, such as when a batch status has not been
updated after receiving notification for that batch.
26
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Cross-Payment
• You can define the identifications that you use to summarize payments from different payment
runs into batches.
• In order to process these payment runs, you use the program for creating cross-payment run
payment media (transaction SAPFPAYM_MERGE).
• This will create the batches (groups of payments) and start their release process.
• On release of the batch, the payment media for the payments contained in this group are created
automatically.
27
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Cross-Payment
Reservation for Cross-Payment Run Payment Media – Used for Following Functions
• Payments from the payment program for Accounts Receivable/Accounts Payable Accounting
(transaction F110)
• Payments from the payment program for payment orders (transaction F111), in particular
• Online payments and payments with repetitive code
28
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Define Alerts
• With this function, you can define the different alerts that can be used for Bank
Communication Management. Such alerts include payment alerts, and timeouts.
• BCM has the ability to receive transmission confirmations and update status for files in an easy to
use monitor.
29
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM - File Transmission Status
30
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM - File Comparison
31
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Status Report
• SAP Provides a Standard program that can be used to read XML confirmation files and update
payment status in BCM.
32
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Status Report
• T code: S_EBJ_98000208
• Depending on your process, you can pick up ACK files
manually or via PI. In either case, SAP standard
transaction S_EBJ_98000208 can import the
acknowledgement files. If you have different levels of
ACK files, then you can have acceptance and rejection
statuses on each of them. For example, your
payment file may be accepted in general, but one
payment in it may be rejected for some reason.
33
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Status Report
34
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Automation
35
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuration
• Implementing Payment Medium Workbench (PMW). PMW is a tool to configure and created
payment media sent by organizations to house banks.
• Configuring BCM workflows providing double / treble / quadruple levels of payment approvals.
36
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuration
• PMW is a tool used to create payment file formats for transferring to banks.
• The payment medium formats can be either a classic payment medium program or through the
PMW.
• There are few SAP standard PMW file formats for various countries.
• A new format can also be created if there is a need for custom file format or if there are no
other formats available for that bank/country.
• This customization can be either done through modifying the standard function modules of an
existing PMW format or through developing via Data Medium Exchange Engine (DMEE).
37
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Medium Format
Path - SPRO > IMG > Financial Accounting (New) > Accounts Receivable and Accounts Payable >
Business Transactions > Outgoing Payments > Automatic Outgoing Payments > Payment Media >
Make Settings for Payment Medium Formats from Payment Medium Workbench
The above path can also be accessed through the T. Codes OBPM1 / OBPM2 / OBPM3 / OBPM4.
38
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Maintain PMF
The payment medium formats can be changed according to the user needs in TA OBPM1. Also the
user can create new format by using “New Entry”.
39
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Maintain PMF
• The formats have been defined using function modules in the form of events.
• SAP has predefined the following events and any customizations to the codes have to be routed
through the Sample Function Modules 01, 06, 11, 21 etc.
• For instance, if there are some changes in Event 20, the same has to be incorporated in Sample
Function module in Event 21. Once event 20 is reached, event 21 will also be triggered.
40
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Maintain PMF
• Maintain Variants for payment medium formats: The variant for the payment medium format
have to be maintained for the combination of Company Code & House Bank. This has to be
done in the TA OBPM4.
• Assign payment medium format to payment method: In the T Code OBVCU, select the payment
method for the country & assign the payment medium format as per PMW.
41
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Maintain PMF
• Reserve identification for Cross Payment Run Payment Media: For the purpose of batch creation,
we should also configure the unique identifiers. This is done in T Code OBPM5.
• The payment runs, with the run ID (in F110) beginning with the identifiers reserved above, are
alone considered for batching in the BCM process.
• For the payment module, select FI AP/AR Payment Program for customers and vendors, and
create new entries.
42
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuring
• Before looking into the basic configurations relevant for BCM, we have to first activate BCM
using T Code SFW5.
43
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuring
Configuration:
The relevant settings for BCM can be configured in the following path:
• SPRO > IMG > Financial Supply Chain Management > Bank Communication Management
44
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuring
Path: SPRO > BCM > Basic Settings > Basic Settings for Approval
In this activity, we need to maintain the “Rule Currency”, “Exchange Rate Type”, “Days resubmission”
and whether “Signature” is required or not.
• Rule Currency: For batching rules consisting of various currencies, the currency specified here is
considered as the default currency. In our illustration, it is INR.
• Exchange Rate Type: This is used to define different exchange rates. You can use the average rate
for foreign currency translation, and the buying and selling rates for the valuation of foreign
currency amounts.
45
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Configuring
• Days‟ resubmission: For resubmission of payments, the date of resubmission from the current
date can be set here. In the illustration, it is given as “1”, which means that the default
resubmission date = current date + 1 day.
• Signature required: If you tick this check-box, then the batch approval system follows a digital sig
nature process. Every time before a batch is approved; a pop-up for the user signature appears.
46
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Grouping
• This is the activity where we maintain the rules for batching the payments. We need to create
rules by defining a unique Rule ID, giving a description to it and marking a priority. Once the rules
are prioritized, the batching happens according to the priority set in the rules.
47
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Grouping
48
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Payment Grouping
• Then we need to maintain the Attributes to define rules for batches. The attributes can be
selected from any of the given fields like, Amount, vendor, business area etc, depending upon
the requirements of the user.
• In our illustration, Amount in Local currency has been used. This means that any payment run am
ount falling within the given rang will form part of a single batch.
• The same way, any number of rules can be framed to fit the user requirements.
• We can also set additional criteria apart from the attributes mentioned above. Two grouping
fields can be added which will ensure further batching.
• For instance, if our Additional criterion is “SRTGB”, then the payments are first batched on the
basis of Amounts as set earlier and then further batched based on “Business Area (SRTGB)”.
49
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Bank Statement Monitor
Path: SPRO > BCM > Bank Statement Monitor > Settings for Bank Statement Monitor
• In this activity, we define the settings for bank statement monitor, particular to various house
banks.
50
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Bank Statement Monitor
The above fields are discussed below: Company code, House Bank, Account ID for which the bank
monitor settings are required are to be entered.
• Process Status: The processing status indicates whether the bank statement has been processed
correctly.
• It may be Red, Green or Yellow depending upon the status. To set this status, tick the check box.
51
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Bank Statement Monitor
• Difference Status: The difference status displays whether the bank statement has the same
balance as the corresponding internal bank account. To set this status, tick the check box.
• Serial number status: The serial number status shows whether the sequence of the last five bank
statements is complete. In case the same is not complete, Red symbol is displayed in the monitor
• Reconciliation status: The reconciliation status displays whether there are open items in the
internal account.
52
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Bank Statement Monitor
• Interval & Interval Unit: The intervals in which the bank statements are to be expected, for the
corresponding set of Company code, house bank & Account ID, are maintained here. The interval
unit can be either days, weeks, months or year.
• Factory Calendar ID: It is used to distinguish between working days and non-working days. In the
above illustration, “IN” has been chosen as the factory calendar ID, which means that settings
relevant for India will be considered.
• Item: The display position of the account in the bank statement monitor. In the above illustration
,IBPOCITIC-CA has been marked as Item 1, which means that account will be displayed at the top
of the bank statement monitor.
53
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
• This is where the crux of BCM lies, because release strategy is the point at which the approval
workflow comes into place.
• Automatic Payments - Path: SPRO > BCM > Release Strategy > Mark rules for Automatic Payment
• We also have the option to mark any or all of the rules for automatic payment (without using the
approval workflow). This is done in this step:
• Against the particular rules, if the “Auto” check-box is ticked, then the batches which fall under
the specified rule would not flow through the approval system.
54
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
• Change and Release - Path: SPRO > BCM > Release Strategy > Change and Release
• The workflow comes into use at this stage. Basically, the workflow system uses two types of
objects for the approval mechanism – BNK_INI and BNK_COM.
• The change and release procedure makes use of the first object (BNK_INI) while the additional
release procedure uses the other object (BNK_COM).
• This is called as „change and release‟ step because only at this stage the user has the option to “
Change” the batch before “releasing” it to the next level of approver for his approval.
55
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
• In the second and later levels, the users cannot edit the batch. They only have the option to „Ap
prove‟ or „Return‟ the batch.
• In the change and release option, first we assign role to the release steps:
– Any user is treated as a role and workflow is assigned for the particular role.
– The objects pick up the role from the rule ID specified in this step.
56
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
• Release Object: Since the change and release function uses the BNK_INI object, assign the same
in this field.
• Release step: This means the Release procedure, i.e., how many processing steps are carried out.
It can be either, dual (01), treble (02) or quadruple (03) controls. This is to be given based on the
user requirements.
• 01 in the above illustration indicates that it is a Dual control, which means “Creation” plus “one r
elease step”.
57
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
• WF Release Step: For change and release, assign the same as 1st Release Step.
• Rule: Identifies a rule for user determination in the Framework for the Principle of Dual Control.
In this field you store the eight-digit numeric ID of a rule for user determination.
58
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Release Strategy
After saving the entry, select the entry and press „create rule‟ icon, which takes to the next screen:
59
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Additional Release
60
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Additional Release
61
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Additional Release
62
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Digital Signatures
63
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Digital Signatures
64
© Copyright 2020, ZaranTech LLC. All rights reserved.
2 SAP BCM – Digital Signatures
65
© Copyright 2020, ZaranTech LLC. All rights reserved.
Thank you
Subscribe to our Channel for more Informative Videos.
https://www.youtube.com/user/ZaranTech