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Where actually SAP ACM (Agricultural Contract Management) is used ?

Former Member
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Hi Experts,

Where actually SAP ACM (Agricultural Contract Management) is used ? What is the scope of this module in future ?

Regards,

Sneha

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Answers (1)

Answers (1)

jivagoribas
Explorer
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Dear Sneha,

ACM is actually used by trading companies for origination processes. It is a module to manage commodity trading and risk management. ACM uses GTM contracts to capture negotiations and it calls in the backend MM and SD by using junction functions. The following processes are covered by the solution:

- Third-party commodity procurement and sale;

- Back to back trading for intercompany scenarios and Third-Party processes with load diversion;

- Comingled Stock handling;

- Spot purchase;

- Intracompany stock transfer with and without Settlement;

- Product transformation;

- Risk management and Risk Analytics for commodities;

To give you a scoop, SAP divides the ACM module in four main components such as: Contract Maintenance, Load Data Capture, Application and Settlement with Revenue Recognition. ACM natively uses BRFPlus , process orchestration framework and revenue recognition dashboards to allow automatization of processes and agility. On the other hand from the back office perspective ACM allows you to have position reporting, mark-to-market analysis and profit and loss analysis.

I notice that in just few years ACM has grown a lot. Now we have TM integration, inventory QA, daily grain report, fee frameworks, prepayments, mass pricing, and auto application. In the Q1 of 2020 ACM has delivered more Fiori UX and contract analytical queries.

From my point of view the main idea for SAP customers is to have S4 Hana as a core solution and use some workarounds such as Brisken market data, Bloomberg, Oanda, etc. to create a hub supporting fast decision taking, and enhancing global trading by using the power of S4H DB.

To keep following the changes in ACM I always read the simplification list for each support package and “What's New” articles.

Best Regards,

Jivago Ribas.