Intercompany Reconciliation Process (40Y)
SAP S/4HANA/Private cloud/ Rise with SAP - Process
Overview & Implementation
Rajesh Rabari – SAP FICO/R2R Solution Architect
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Overview
• Automates reconciliation for corporate groups
• Enables early analysis to reduce closing pressure
• Ensures accurate financial reporting and alignment
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Scope & Objectives
• Automate reconciliation activities
• Provide real-time visibility into intercompany balances
• Reduce manual adjustments and operational costs
• Accelerate the month-end closing process
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Business Benefits
• Real-time reconciliation and error detection
• Faster month-end close
• Improved integration between company and corporate closing
• Cost savings with automated reconciliation
• Multi-dimensional reconciliation supporting legal and
managerial reporting
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Process Flow - Advanced Intercompany Sales (5D2) 1/2
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Process Flow - Advanced Intercompany Sales (5D2) 2/2
Key Process Flow:
• Create Sales Order
• Create Purchase Order
• Create Intercompany Sales Order
• Create Outbound delivery
• Post Stock Transfer (Valuated Stock in Transit) from Delivering to Selling
Company and from Selling Company to Customer
• Create Intercompany Billing document
• Create Supplier Invoice
• Create Customer Invoice
• Use Value Chain Monitor to track postings
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Process Flow – Intercompany Reconciliation Process 40Y
• Run Matching
• Check Reconciliation Status
• Check Reconciliation
Balance
• Manage Assignment
• Display Matching Item
• Approve Adjustment
posting by WF
• Approve the Reconciliation
results
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System Prerequisites & Setup 1/2
• System Access via SAP Fiori Launchpad
• Required Roles:-
✓ General Ledger Accountant - Intercompany (SAP_BR_RECON_ACCOUNTANT)
✓ General Ledger Accountant (SAP_BR_GL_ACCOUNTANT)
• Additional Configuration: Define hierarchies, maintain
exchange rates, assign posting rules
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System Prerequisites & Setup 2/2
• Configure AIF Content –
✓ Log on your back-end system. Run t-code SE38 to execute the program
ICA_MATCHING_AIF_DOWNPORT to configure AIF content.
✓ On the next screen, deselect Test Mode and choose Execute. Make sure you get
the result Configuration for AIF content completed.
• Configure WEB Service
• Test API – refer Sap note: 2815332
• Extend API with Custom Fields
✓ Create Custom Field
✓ Extend CDS View
✓ Update Data Source
✓ Test Custom fields in API
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SAP Fiori Apps & Transactions
• Manage Global Hierarchies (F2918)
• Define Matching Methods (F3862)
• Schedule Matching Run Jobs (F5011)
• Reconciliation Status Overview (F3865)
• Manage Assignments - By Reconciliation Case
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Test Procedures & Reporting 1/2
Process Step Role FIORI App/Tile Use of FIORI Tile
Prepare Intercompany General Ledger Manage Global Create hierarchy for
Reconciliation Accountant - Hierarchies (F2918) company code
Intercompany
Run Matching Jobs General Ledger Define Matching This app helps
Accountant - Methods (F3862) or businesses automate
Intercompany Schedule Matching Run financial reconciliation
Jobs (F5011) and intercompany
matching by scheduling
document matching
jobs with flexible filter
criteria.
The APP shows the
detail of how many
partner companies are
General Ledger reconciled, reconciled
Check Reconciliation Accountant - Reconciliation Status within tolerance or not
Status overview Intercompany Overview (F3865) reconciled.
Reconciliation balance
General Ledger for selected company
Check Reconciliation Accountant - Reconciliation Balances and selected group is
Intercompany Reconciliation Process -
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Balance Intercompany (F3865)
Rajesh Rabari displayed. 11
Test Procedures & Reporting 2/2
Process Role FIORI App/Tile Use of FIORI Tile
Manage Assignments General Ledger Manage Assignments - Displayed
Accountant - By Reconciliation Case reconciliation results
Intercompany and assigned items.
Also send the
notification for
assigned items.
Display Matching Items General Ledger Display Matching Items - Matching items are
Accountant - By Matching Method displayed properly.
Intercompany (F3869)
Manage Teams and General Ledger Manage Teams and Add new team
Responsibilities Accountant - Responsibilities member
(Optional) Intercompany (Intercompany)
Approve Workflow for General Ledger Manage Assignments - Verify and approve
Adjustment posting Accountant - By Matching Method assigned item
(Optional) Intercompany (F3870)
Matrix Reconciliation General Ledger Manage Your Solution Maintain data source
(Optional) Accountant - (F1241) attribute, define matrix
Intercompany Define Matching matching method ,
Methods (F3862) create recon case.
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Sub-Process Steps 1/3
Process Step Process FIORI App and Procedure
1.1 Preparation for Intercompany Reconciliation FIORI -Define New Hierarchy
1.2 Preparation for Intercompany Reconciliation Assign Company to the New Hierarchy
1.3 Preparation for Intercompany Reconciliation FIORI - Maintain Exchange Rate (Optional)
1.4 Preparation for Intercompany Reconciliation Assign Posting Rules
2.1 Schedule Matching Run Jobs FIORI- Run Matching Job
2.2 Schedule Matching Run Jobs Enter Details
2.3 Schedule Matching Run Jobs Enter Details
3.1 Check Reconciliation Status Overview FIORI -Display Reconciliation Report
3.2 Check Reconciliation Status Overview On the Fly Translation
3.3 Check Reconciliation Balances Report FIORI -Check Reconciliation Balance Report
3.4 Check Reconciliation Balances Report Display Other Group and Switch View
4.1 Manage Assignments FIORI- Manage Assignments
4.2 Manage Assignments Manage Assignments - Display Assigned Items
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Sub-Process Steps 2/3
Process Process FIORI App and Procedure
Step
4.3 Manage Assignments Send Email for Query
4.4 Manage Assignments Manage Assignment - Communication
4.5 Manage Assignments Manage Assignment - Manual Assign Documents
4.6 Manage Assignments Assignment for auto posting
4.7 Manage Assignments Trigger Auto Posting
4.8 Manage Assignments Manage Reconciliation Close with Workflow (Optional)
4.9 Manage Assignments Manage Reconciliation Close
4.10 Manage Assignments Approve Reconciliation Close with workflow (Optional)
5.1 Display Matching Items FIORI - Display Matching Items
6.1 Manage Teams and Responsibilities (Optional) FIORI -Create New Team
6.2 Manage Teams and Responsibilities (Optional) Define Team Members
6.3 Manage Teams and Responsibilities (Optional) Enter Function
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Sub-Process Steps 3/3
Process Step Process FIORI App and Procedure
6.4 Manage Teams and Responsibilities (Optional) Create New Team
6.4 Manage Teams and Responsibilities (Optional) Define Team Members
6.6 Manage Teams and Responsibilities (Optional) Enter Function
7.1 Approve Adjustment Postings by Workflow FIORI - Manage Assignments By Matching Method
(Optional)
7.2 Approve Adjustment Postings by Workflow Switch to approver role and log on to the SAP Fiori launchpad
(Optional)
7.3 Approve Adjustment Postings by Workflow Manage Assignments By Matching Method
(Optional)
8.1 Matrix Reconciliation (Optional) Transaction - ICADS - Cérate Matrix Réconciliation Data Source
8.2 Matrix Reconciliation (Optional) Maintain Data Source Attribute
8.3 Matrix Reconciliation (Optional) FIORI - Define Matching Method
8.4 Matrix Reconciliation (Optional) New method
8.5 Matrix Reconciliation (Optional) Create Recon Case
8.6 Matrix Reconciliation (Optional) Maintain Reconciliation Case
8.7 Matrix Reconciliation (Optional) Run matrix reconciliation process
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Conclusion & Next Steps
• SAP S/4HANA Intercompany Reconciliation streamlines closing
• Automated workflows & real-time reporting reduce manual
efforts
• Ensure correct system setup before execution
• API enhancements & CDS extensions for customization
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