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Liquidity planning by company departments

May 23, 2017 at 01:35 PM


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Hi experts.

I study the creation of a liquidity plan in Cash management S / 4 HANA.

If I understand correctly, in the new Cash management the lowest level of organizational units for creating a liquidity plan is the company code.

But in my company it is not so.

In my company in the creation of the liquidity plan involving units are the owners of the revenue and expenditure contracts (for example, the sales Department, procurement, etc.).

Does anyone know if it is possible to create the structure of organizational units in the new Cash management so that it includes not only company codes, but also the departments entering these company codes (and configure workflow for approval liquidity plan for this departments)?

Thanks in advance.
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1 Answer

Ken Consultancy Sep 20, 2017 at 07:31 PM

Hi Sergey Pryanishnikov,

I may not call myself expert in the treasury management, Still my 2 Cents,

Cash management and liquidity planning is a corporate finance activity where they are expected to match the inflow of cash from receipts with outflow from payments. If there is going to be gap then corporate finance and especially treasury executives will act by delaying few payments or short term borrowings to meet the payments.

As the best practice listed above does not include individual business functions to manage the cash flow, SAP has not designed it below company code level.

You may argue that individual business owners in your company are responsible for cash management, hence you require it Business Unit level. but that will hamper the overall objective of cash management and individual BU will borrow from outside even though surplus cash is available in the system.

I hope I clarified...


Ken consultancy

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