MDM System in SAP Central Finance – Master Data Management

MDM system in SAP supports you to replicate transactional data into Central Finance. A good master’s in data management is the backbone of transition. The practice of creating, synchronizing and updating master data across multiple systems is not easy. And thus we should not underestimate it.

Data Load in the MDM System in SAP Central Finance

Data Load is one of the important activities in the MDM system in SAP Central Finance. In this, we perform Transactional Data Replication from a source system to a Central Finance system.

Though it takes two major steps – Initial Load and Delta Load.

However, in this article, we will discuss the initial data load in detail.

Know What is SAP Central Finance

Initial Data Load

The initial data load is a critical phase in any Central Finance project. Thus, the best way to approach the initial data load is to plan for multiple data loads with a data drop in between. The reason is simple.

Suppose we carry a full data load for all company codes including balances and document replication. So, this could generate thousands/Millions of error messages in the SAP application interface Framework (AIF Tool).

Consequently solving so many errors can be overwhelming. Since resolution may require changes to both configuration. This is to say the number ranges, organizational structure, exchange rates, units of measures etc. all may require changes.

Related Post: SAP Central Finance Initial Data Load

Agile Approach to Initial Loads in Central Finance projects

Steps to perform Initial loads in SAP MDM System (Central Finance)

Execute the following step-by-step process:

1. SAP LT Replication server – Define a simulation of replication objects for table AUFK
2. Central System – Perform smoke testing and/or simulate an initial load of cost object mappings.
3. Central system/SAP Application Interface Framework – Handle errors from table AUFK under CO_OBJ_SIM
4. SAP LT Replication server – Start the load and replication of table AUFK
5. Central System/SAP Application Interface Framework – Handle errors from table AUFK under CO_OBJ
6. Source system – Configure company codes in view VCFIN_Source_SET
7. SAP LT Replication Server – Define replication objects for table CFIN_ACCHD
8. SAP LT Replication server- the start load and replication of table CFIN_ACCHD
9. Central system – Extract/monitor data for the initial load
10. Central system – Extract/monitor delta load for the initial load
11. Source system – Select the Initial Load Finished checkbox in view VCFIN_SOURCE_SET
12. Central System – Simulate/monitor the mapping
13. Then Central System- Execute/monitor the mapping
14. Central System – Execute/monitor the postings
15. Central System- Compare initial load postings for FI & CO
16. SAP LT Replication Server – Activate replication for the table CFIN_ACCHD
17. Central System/SAP Application Interface Framework- Handle errors from table CFIN_ACCHD under AC_DOC
18. Central System-Prepare/monitor the Initial load of CO postings
19. SAP LT Replication Server-Define replication objects for table COBK
20. Central System-Perform smoke testing and /or simulation for CO documents replication
21. SAP LT Replication – Start the load and replication for the table for COBK
22. Central system/SAP Application interface Framework – Handle errors from table COBK under CO_DOC
23. SAP LT Replication Server – Define replication objects for table CFIN_CMT_H
24. Central System – Simulate/execute the initial load of commitments
25. Central system/SAP Application Interface Framework – Handle errors from table CFIN_CMT_H under CMT_DOC
26. Finally, Central System – Reconcile journal entries, balances and line items for FI & CO.

Also Read: SAP Central Finance System Set-Up

Master Data Objects in MDM System in SAP Central Finance

Master Data Object is a sub-part of Initial Data Loads under the MDM system in SAP Central Finance.

Central Finance can automatically create orders based on order types maintained in configuration settings.

In addition to SAP S/4 HANA FPS, we can replicate WBS elements can into central Finance for reporting purposes.

However, for other master data, automatic replication does not exist as other tools already perform this function.

In general, we have Four Main Tools for ensuring master data synchronisation between your source systems and central finance. I will explain them below.

You may want to read: Data Replication Process in SAP Central Finance

Manual Process

In a manual process, you would use a CSV file that uses central finance mapping maintenance programs. Further, the actual creation and change of master data between systems for most master data are manual.

Noteworthy, this process requires users to confirm the output before posting a transaction. Thus, if you post a transaction without following the process, the likelihood of an error arising is quite high.

IDOCS (Intermediate documents)

IDOCS could be used to send data from the source system to central Finance, and vice versa.

Indeed, this method works well during the initial cutover when harmonization is not critical for the relevant object. Since IDOCS are purely IT solutions, it does not help manage master data.

Third-party tools

Third-party tools are a partner solution. To clarify, those offered by Magnitude can be used for SAP and non-SAP data for the initial load during the cutover period.

Furthermore, this solution can also assist with profiling data and removing duplicates in legacy data.

SAP MDG (Master Data Governance) – Important part of the MDM System in SAP

Using SAP MDG allows for initial loads and online replication based on change requests that comply with the optimal four-step process.

These are – Request, Validate, Approve and Execute.

In addition, SAP MDG is used by Central Finance to maintain the mapping.

SAP MDG will also allow a full governance process for master data. This includes the creation of the golden record, replication and notification of changes to user groups. Certainly, this tool is built and maintained by the IT department but owned and used by business users.

Consider SAP MDG as just another business application that happens to manage master data.

There is a lot to say about MDG itself. Thus I post a separate article on MDG and its functioning. Stay in touch about this.

SAP Central Finance Training on S/4 HANA

In the End

MDM system in SAP is not just working in Central Finance but in other modules also like SAP FICO, and SAP S4 HANA Finance too.

It is a support system for SAP Applications. Though, it is a bit complicated in Central Finance for beginners. However, once you start digging into it things will start coming easily to you.

You will surely get more articles on SAP Central Finance and its functioning in this blog. So keep checking it.

Also Visit Page: SAP S4 HANA Finance Training