The SAP digital payments add-on enables you to connect SAP and non-SAP consumer applications with non-SAP payment service providers (PSPs). Its function is to facilitate secure, end-to-end processing of digital payments.
The diagrammatic overview, SAP S/4HANA Cloud Consumer Applications, shows which SAP S/4HANA Cloud consumer applications can currently be used with the SAP digital payments add-on.
The SAP digital payments add-on can be used for the following:
- Credit card payment processing: Card creation, card deletion, payment authorization, payment authorization cancellation, payment settlement, or payment refund.
- External payment processing digital payment advice.
- PSP activation: You can choose which of the available PSPs you want to activate.
- PSP determination: You can define routings to determine which PSP is used for each payment.
The scope item illustrates the use of electronic payments while creating a new sales order. This is enabled via the S/4HANA Cloud Platform application for SAP digital payment, called Payment Hub which provides an integration between payment service providers (PSP) and SAP components, solutions, or applications that process incoming credit card payments.
Payment card information available in the business partner master data can be used when creating the sales order or new payment card data (one-time payment card) can be used in the sales order. When you save the sales order, the authorization of the payment card is executed through the payment hub service.
The credit card authorization can be canceled by deleting the authorized amount in the sales order. Then, a re-authorization can be completed after changing the order quantity. The SAP digital payments add-on offers a service for the cancellation of credit card authorizations, which is now called in the sales order. If the authorization in sales order is canceled, the service is called so that the corresponding authorizations of the payment service provider are canceled as well. The benefit for the end user and retailer is that the canceled amount will not block the credit card. The employee can check the authorization history within the order to see the current status of the authorizations and the response from the SAP digital payments add-on
The system landscape for payment scenarios using the SAP digital payments add-on is composed of the following three elements:
- Consumer application: The connection between the consumer application, such as SAP S/4HANA Cloud, and the SAP digital payments add-on is set up here, for example using a communication arrangement. These connections are always machine to machine. The communication between the consumer application, such as SAP S/4HANA Cloud, and the customer account in the SAP Cloud Platform works using REST Web services and is generally triggered by the consumer application.
- Another integration point is the card entry user interface provided to the end user (your customer), who has no dedicated user in the SAP systems.
- SAP digital payments add-on: The connectivity between the SAP digital payments add-on and the external payment service providers (PSPs) is set up here.
- Payment service provider: The SAP digital payments add-on and the external PSPs communicate using Web services. Most of this communication is synchronous.
The SAP digital payments add-on does not set up the connectivity to the consumer applications. The consumer applications connect to the SAP digital payments add-on by means of OAuth 2.0 authentication. Basic authentication is used until the OAuth 2.0 client server can be used.
The SAP digital payments add-on is designed in such a way that neither the add-on itself nor the consumer application that is connected to it, such as SAP S/4HANA Cloud, stores or even processes credit card numbers. The SAP digital payments add-on solution uses PCI DSS-certified external partners known as payment service providers or PSPs, which process and store the original card data. The PSPs replace the credit card number with a token. The token is the only identification that is processed and stored in the SAP software.
The consumer application sends a request to the SAP digital payments add-on. Based on the details of the request, the SAP digital payments add-on determines the relevant PSP in a process called routing. The request is then forwarded to the relevant PSP adapter where it is mapped into the appropriate format. Then, the connection to the PSP is established using the credentials already maintained by the system administrator and the request is sent using the technical protocol required by the PSP.
Key Process Steps
The process starts with the creation of a customer business partner master record in which the applicable credit card details are entered. This authorizes the card data via the payment hub service. The customer's sales order is captured and depending on the customer and the material, various special events take place during order entry, such as route determination and material pricing. A job is scheduled to check and release the authorized sales documents.
If enough material exists in the required storage location, the delivery process proceeds normally. Picking slips are generated to stage the product for shipment to the customer. When picked, the physically shipped quantity must be registered in the system to ensure that there are no differences between the sales order and the delivery document.
After the completion of picking, the shipping specialist releases the inventory. This inventory release is the actual recording of the physical quantity that is being shipped to the customer. The cost of goods sold is recorded in financial accounting.
When the inventory is issued, you can invoice the delivery and record the revenue and the cost of goods sold in management accounting.
This is the process diagram for scope item 1Z1, Digital Payments - Sales.
The following are the main steps of the process:
The Add & Register Credit Card Data in Business Partner step prepares the customer master data required for credit card based order processing.
The Create Sales Documents step initiates the ordering process in the SAP S/4HANA Cloud system and the SAP Digital Payments Add-on.
The Release Sales Documents with Payment Card step schedules the sales document for processing.
The BD9 - Sell from Stock step represents all succeeding steps until the billing document can be created.
The Create Billing Document step sends the invoice to the customer for payment.
The step in ancillary process 1S2 applies the electronic payment from the customer's credit card.
- Provide customers the option of using electronic payments using an integration with the payment hub.
- Use electronic payments securely and simply
Main Fiori apps Used
Key Process Steps
|Process Step||Role Name||Fiori App Name|
|Add & Register Credit Card Data in Business Partner||Master Data Specialist - Business Partner Data||Manage Customer Master Data|
|Create Sales Documents||Internal Sales Representative||Manage Sales Orders|
|Release Sales Payments with Payment Card||Internal Sales Representative||Resolve Payment Card Issues - Schedule Job|
|Create Billing Document||Billing Clerk||Create Billing Documents|
This table lists the Fiori Apps used in each of the main process steps.
The Master Data Specialist adds the credit card data in the Business Partner master record using the app Manage Customer Master Data.
The Internal Sales Representative creates the Sales Order using the app Manage Sales Orders.
The Internal Sales Representative releases the Sales Documents using the app Resolve Payment Card Issues - Schedule Job.
Finally, the Billing Clerk creates the Billing Document using the app Create Billing Documents.