SAP FICO

SAP New GL Migration – A Quick Overview

What is SAP New GL Migration?

SAP New GL Migration is the migration of data from the classic General Ledger Accounting to New General Ledger Accounting in SAP FICO. It helps to integrate Managerial Accounting and Financial Accounting while reducing the cost of the project.

When do we need to do this Migration?

Let’s understand this thing with a situation.

Suppose we look at new transactions and reports and compare totals records in the classic General ledger with those in New G/L.

Now here, the activation of New GL depends on whether you are a new customer or an existing customer.

During a new installation of SAP FICO, New G/Accounting in the standard system is set to active. While the use of classic General Ledger is theoretically also possible for new customers.

How does the Need for SAP New GL Migration arise in ECC?

During the release upgrade for an SAP R/3 system to SAP ERP, the classic General Ledger initially continues to remain active. Total table GLT0 remains in effect.

Thus, if you want to upgrade from the classic General Ledger to New G/L in SAP FICO, you can do this, by activating and using New GL.

Functionality becomes better this way

The already known classic financial accounting paths continue to remain available in SAP FICO for better orientation. You will also see new menu paths in the application and the SAP Easy Access menu as a result of the activation of New G/L transactions appear such as FB50L or FB50L.

Start from the Basics: Beginners Guide to SAP ERP Financials

How is the New GL Migration useful for you?

When you activate New G/L accounting in SAP FICO, the system updates the balances also in the tables of the Classic General Ledger accounting. This is in addition to the tables of New G/L accounting.

This parallel updating is useful for a period of time from a security point of view.

You can use Transaction GCAC (Ledger Comparison) to compare the total records of any two ledgers. You can also compare local and global ledgers with each other as well as those ledgers with differing fiscal year variants and charts of accounts.

Using the report called Transaction GCAC, you can compare the totals records in the table of New G/L accounting with the totals records in the tables of the classic General Ledger accounting ( GLT0).

Without a data migration, the differences shown are those arising from transactions prior to the activation of New G/L.

New GL Migration Projects

Naturally, activating New G/L is not simply a question of flicking a switch. Migration always involves a project.

A Project involves multiple activities. Like:-

  • New GL Migration
  • Activation of Migration Cockpit
  • Document Splitting
  • Activation of Segment Reporting
  • Activation of Parallel Accounting
  • Etc.

Particularly if you are an existing customer in SAP, New G/L may under no circumstances simply be switched on. If you update a document during the start-up process, you cannot undo the activity and, in the worst case, it may lead to data inconsistency.

The SAP New GL Migration Project is itself a vast subject of FICO. Since the purpose of this article is to provide you with a quick snapshot, I will cover the GL Migration Project topic in detail in a separate article later on.

So, let’s move ahead now.

Other Dependent Projects

The following are the self-contained projects. These are not part of a migration project.

  1. Introduction of a parallel accounting system
  2. Introduction of segment reporting
  3. Adjustment of the leading valuation, if a parallel valuation is already performed
  4. Adjustment of the leading valuation area in the asset accounting
  5. Conversion of the Chart of Accounts
  6. Currency conversion, such as the introduction of new currencies

SAP New GL Migration Cockpit

The Migration cockpit is a tool for performing the migration. It consists of three parts that support the structured and efficient processing of migration activities.

From here, you implement all activities that are not directly part of a specific migration package. For example, you can create a project or package or register selected users.

Heads-Up: If you are in NCR, Checkout – SAP FICO Course on S/4HANA Classroom Training

SAP System Landscape

Customers usually have a three-stage SAP ERP system architecture which comprises the development, quality assurance and production system. These systems generally involve separate SAP installations, each of which is connected to a transport system.

With regard to migration, the individual systems assume the following functions:-

Development System

In the development system, you configure New G/L development of BAPI or your own programs also occur in this system

Quality assurance system

The quality assurance system is a copy of the production system. Additionally, the system transports the new configuration and programming from the test system to the quality assurance system.

So in principle, this system is suitable for test migrations to New G/L.

Production System

In the production system, you can access the configuration only to a very limited extent. Only when the last test migration completes successfully should you change to the live operation.

Do Read: SAP S/4HANA Finance Architecture

The key points that you should remember while doing the New GL Migration

During the migration project, you must ensure that customizing for New G/L Accounting has no negative effects on your current day-to-day activities.

You must prevent an “accidental activation” by all means.

If you use a scenario with document splitting in SAP FICO, it is necessary and useful to transport the configuration (without activating New G/L) before the migration to the production system.

Only under these conditions, you can perform the validation and logging of document splitting rules.

You also need to consider an identical procedure for scenario migration from the accounts approach to the ledger approach.

New GL Migration Scenarios in SAP

Scenarios in SAP New GL are used to define, which ledger is to be updated during posting. The migrations primarily involve moving existing data.

Suppose you want an existing Classic Profit Center Accounting to map in New G/L in the future. For this, you must copy the data from table GLPCT into the new totals table FAGLFLEXT.

Therefore, you must deliver the Standardized methods and program packages with the scenarios, that SAP created. This finally helps to provide secure and effective support for the migration within a project.

Related: Interview Questions on Profit Center Accounting

Conclusion

You must be aware that the New GL Migration is also an integral part of the SAP HANA Migration too.

So the detailed design of New G/L and planning of migration form a platform for a successful project on both platforms. The migration service ensures the quality of the data and minimizes possible risks associated with the project.

The migration cockpit simplifies the handling of data that you migrated and worked upon.

This further allows you to minimize risk and successfully implement the functional added value of New G/L in SAP FICO.

Also Read on: SAP S4 HANA Finance – Ledgers

Learn What is SAP New GL with This Detailed Video

Pradeep

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