1. SUMITOMO CHEMICAL ASIA PTE LTD
FI – Cash Management
FI Training
September 2007
IBM Confidential

2. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 2
IBM Confidential 2

3. Introduction to SAP Cash Management
Real-time integration with the General Ledger
Integration with Accounts Receivable and Accounts Payable sub-module.
Electronic Bank Statement
Cash Position and Liquidity Forecast report.

4. Introduction to SAP Cash ManagementFI
Cash Management
Electronic
Bank Statement
Bank
Master
Records
Liquidity Forecast
Memo records
Cash Position

5. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 5 5
IBM Confidential 5

6. Overseas Banks Bank Master Local Singapore banks
Bank key should be the 7 digit code
4 digit bank code + 3 digit branch code
E.g. bank key
7144 = Standard Chartered bank code
004 = Tampines Central branch code
SWIFT code, bank name, branch name fields are optional fields.
Overseas Banks
For overseas banks, bank key will be the SWIFT code
E.g. CHAUS33
JP Morgan Chase Bank in United States
Bank name and branch name are mandatory fields.
SWIFT code is optional field. 6

7. CM-01 Bank Master Maintenance

8. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 8 8
IBM Confidential 8

9. Electronic Bank Statement
Upload MT940 HSBC bank file into SAP
System finds a matching customer open item to be cleared (for payments made directly to SCA’s bank account)
Amount and matching key (Quotation #) are equal
Automatic postings
Posting Area #1
Dr HSBC Bank
Cr HSBC Bank Clearing
Posting Area #2
Dr HSBC Bank Clearing
Cr Customer

10. Electronic Bank Statement
System does not find a matching customer open item (for payments made directly to SCA’s bank account)
Automatic postings for Posting Area #1
Dr HSBC Bank
Cr HSBC Bank Clearing
Manual clearing of Customer open item via Reprocessing Bank Statement function for Posting Area #2
Dr HSBC Bank Clearing
Cr Customer

11. Electronic Bank Statement
Cheque received from customers
NB: Take note that when SCA receive the cheque from the customers, the following postings will be done via Incoming Payment process (covered in AR BPP)
Dr HSBC Bank Clearing
Cr Customer
When SCA cashes in the cheque, SCA’s electronic bank statement will reflect the entry and automatic postings as below will be generated during importing of electronic bank statement.
Dr HSBC Bank
Cr HSBC Bank Clearing

12. Electronic Bank Statement
Automatic posting of bank charges, bank interest revenue, bank interest expense.
Dr Bank Charges – Bank
Cr HSBC Bank
Dr HSBC Bank
Cr Interest Income – Bank
Dr Interest Expense – Bank
NOTE: These postings are not made to HSBC Bank ‘Clearing’ account

13. CM-04 Electronic Bank Statement

14. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 14 14
IBM Confidential 14

15. Planning level
The planning level is used to categorize different types of accounts or noted items into analysis groups which can then be displayed in the Cash Position and Liquidity Forecast reports
The planning level explains the origin of the data and thus enables users to better estimate its reliability.

16. Level F0 for bank accounts
SCA Planning levels
Level F0 for bank accounts
Level B1 for outgoing bank clearing accounts (SMBC Bank Clearing accounts)
Level B9 for incoming bank clearing accounts (HSBC Bank Clearing account)
Level F1 for Customer accounts
Level V1 for Vendor accounts
Level AB for payment advices that are confirmed (used when entering memo records)

17. A report to show the cash position of the company at any one time.
Cash Position Report
A report to show the cash position of the company at any one time.
Includes all bank and bank clearing accounts.

18. CM-02 Cash Position report

19. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 19 19
IBM Confidential 19

20. A report to show the liquidity of the company at any point in time.
Liquidity Forecast
A report to show the liquidity of the company at any point in time.
Includes all customer incoming payments and all vendors outgoing payments.

21. CM-03 Liquidity Forecast report

22. Agenda Introduction to SAP Cash Management
Bank Master Data Maintenance
Electronic Bank Statement
Cash Position report
Liquidity Forecast report
Memo records CM
SAP
ECC 6 22 22
IBM Confidential 22

23. Planning level for memo records = AB
Memo records are used to anticipate any outgoing or incoming payments that are not currently reflected in the bank and bank clearing accounts.
Planning level for memo records = AB

24. Q&A / Exercise 24