Validating Data

Objective

After completing this lesson, you will be able to discuss the available validation tasks

Data Validation in Group Reporting

End-to-End Data Validation Solution

Balance validation is a required step in both the data preparation phase and the consolidation phase.

The consistency of reported, standardized, and consolidated financial data must be checked according to the balance validation rules bundled in rule groups that are assigned to each consolidation unit or consolidation group.

The figure describes the problems of the accountant before and during consolidation. It also describes the validation apps necessary to set up and run the validations.

Groups of subsidiaries generally have to verify financial data before or during consolidation but group accountants performing this task routinely face some specific problems.

To avoid such problems the validation solution delivered with SAP S/4HANA for Group Reporting provides:

An intuitive user interface, that enables the user to create validation rules easily without using complex programming languages.
Validation tasks that can run faster and can be scheduled, delivering immediate results.
The possibility to freely define drill-through reports to investigate why a validation fails.
Instant communication of results and entering comments for reference and explanation of validation results.

With the help of the three apps mentioned in the figure above, the Balance Validation in group reporting can be set up and executed.

Data Validation Stages

You can execute Balance Validations at different stages of the group reporting process.

Next to the Balance Validations you also need to execute the Line Item Validation shown below.

This figure explains which task in the data monitor or consolidation monitor has to be executed for data validation depending on the business step in the consolidation process.

Line Item Validation - Key Points

After data release from ACDOCA to ACDOCU, data upload and posting of group journal entries, you can run the Line Item Validation task in the Data Monitor to check if errors exist like:

Standard Validation: checks against the breakdown category. Example: are there missing or incorrect sub-assignments for FS items?
Custom Validation: Example: is there a trading partner in an intercompany posting?

Balance Validation - Key Points

Several off-the-shelf data validation rules exist, for example:

Rule SB00002 (Assets = Liabilities and Equity) checks if Assets = Liabilities + Owners Equity.
Rule SC00002 (Net income BS = Net income P&L) checks if annual net income = current year retained earnings.

You can also create data validation rules on your own.

Data validation rules can be imported and exported.

Comments can be required for a validation to pass.

Reported Data: data validation checks local currency values and posting levels 00, 01 and 0C.

Standardized Data: data validation checks group currency and posting levels 00, 01, 0C and 10

Consolidated Data: data validation checks group currency and all posting levels.

To proceed with further consolidation tasks, this validation task must run without errors.

To be able to block subsequent tasks, this validation task must run without errors.

Summary

Several validation stages exist: Line Item Validation to be executed after data release, data upload and creation of Group Journal entries. Reported Data validation, Standardized Data Validation and Consolidated Data Validation.
Line Item validation checks for missing subassignments and customer specific validation rules.
Validation tasks must complete without errors before blocking subsequent tasks.

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