If the Basic Cash Management scope item has been implemented, after the payment run is executed, the payment medium file is created automatically, provided the payment method is using the PMW format. In Bank Integration with File, you download the payment files that have been generated by SAP S/4HANA for outgoing payments to your local computer. You can then upload these payment files to your banking portal or treasury workstation for payment processing. You can also upload the electronic bank statements sent from your bank. The statements are further processed using SAP S/4HANA.
The following business benefits are covered:
Electronic processing of payment and bank statements
Practical approach for electronic processing of payment instructions and bank statements
Key process flows for this scope item include the download of the payment instruction file created by SAP S/4HANA, and the upload of the bank statement from the bank to SAP S/4HANA.
This scenario is in contrast to the full Cash Management solution which comes together with Bank Communication Management (BCM), and where after the outgoing payment is executed. After the BCM batch of this outgoing payment is approved the payment medium file is created automatically.
Bank Integration with File Process
For the bank integration with file interface, the following process steps will be executed at the outbound sector:
- Business partner payables or receivables are posted in the system.
- These payable or receivable items are cleared using the Manage Automatic Payments functionality in SAP Fiori. According to the payment method and the assigned payment medium format, the Payment Medium Workbench creates the payment medium file.
- This payment medium file can now either be saved on the SAP file system or directly downloaded to the local computer for further processing.
- The actual file transfer from the local computer to the external bank can be achieved through various means. This could be done using file transfer, online banking, and other means.
- The bank accepts the payment medium and processes the payment orders.
In a simplified overview, the enterprise receives bank statements from its external bank, imports them to the SAP system, and posts the transactions to the G/L and subledgers.
If the transaction is recorded on the actual bank account, the bank sends a cash management message back to the customer (for example on the following day). These messages, when using the SWIFT standard for bank statements, are MT940 for all entries booked on the account or MT942 for intraday information. If the enterprise is located in the United States, the statement information is likely provided in the BAI2 format.
The bank statement is automatically or manually uploaded to the SAP system depending on the process implemented.
From the external information of the bank statement (especially via the Business Transaction Code), the internal posting logic is derived as it was configured.
Finally, the items of the bank statement get posted in accordance to the configuration to the G/L or subledger where open items are cleared.
The payment formats are used for collecting incoming and outgoing payment data into a predefined format. The figure gives an overview of the country specific payment formats available in the SAP S/4HANA Cloud System.
The formats shown are only an excerpt of the full list. Several other formats are available for many other countries such as France, Australia, China, and South Africa.