SAP Revenue Recognition and Reporting

Current challenges

1. IFRS15 is a new regulation that dictates when and in what amounts revenue and the corresponding expenditures from customer contracts have to be reported on the balance sheet and profit and loss statement.
2. As a result of these regulations, changes are required in accounting and reporting methods. They also affect product costing, tax assessments, and the calculation of commissions.

The solution

• Add-on in the form of a subledger for mapping IFRS15 requirements
• Clear solution for detailed and complex reports
• Use of BRFplus (Business Rule Framework plus) for the processing and personalization of business rules

The benefits

• Operational transactions from financial accounting are split to lower the overall operating costs
• Standardizing entries caused by revenue recognition and the use  of multiple parallel rule sets are avoided
• Data can be transferred and processed from multiple SAP and non-SAP systems
• Simple transition to the new solution
• Automation of the revenue recognition process