The SAP Billing and Revenue Innovation Management solution supports a fully integrated Lead-to-Cash process.
The SAP S/4HANA Cloud for Contract Accounting and Invoicing supports a fully integrated Consume-to-Cash process.
The SAP S/4HANA Cloud for Contract Accounting and Invoicing is covered in course BR250.
SAP BRIM is subdivided into SAP Subscription Billing and SAP S/4HANA Cloud for Contract Accounting and Invoicing.
SAP Subscription Billing connects the front-office applications for customer engagement like sales, service, and marketing to the digital core back-end.
SAP Subscription Billing covers the following steps:
- Business Model Design enables the design of subscription services and pricing attributes.
- Subscription Capture enables to sell more by dynamically bundling products and services.
- Subscription Management enables the subscription monitoring and lifecycle adjustment.
- The usage data from mediation systems is uploaded to calculate usage-based charges.
- Subscription Monetization enables recurring and usage-based rating and charging.
- The rated and charged items are transferred to an invoicing system.
The SAP S/4HANA Cloud for Contract Accounting and Invoicing processes the rated and charged items from source systems such as SAP Subscription Billing.
SAP S/4HANA Cloud for Contract Accounting and Invoicing covers the following steps:
- Billing and Invoicing supports the selection and aggregation of billable items to create well structured invoicing documents which are the source for the receivables management.
- Contract Accounting supports the management of receivables, payments and collections.
- Contract Accounting is integrated to the General Ledger of SAP S/4HANA Finance to fulfill the legal requirements of accounting and revenue recognition.
- The calculation of partner revenue share and the partner payment is covered as well.
SAP Subscription Billing is running on the SAP Business Technology Platform and therefore seamlessly integrated into the SAP S/4HANA Cloud for Contract Accounting and Invoicing.
Convergent Invoicing (CI) enables the consolidation of large numbers of billable items from different billing streams, converging into one single and common invoice.
Convergent Invoicing (CI) has a strong integration with the open item management of Finance Contract Accounting (FI-CA).
Contract Accounting postings are transferred to the receivables and revenue accounts of the General Ledger in SAP S/4HANA Finance (FI-GL).
The value proposition of this combination is the monetization of subscription-based business models by managing subscriptions and usage-based services in an integrated Lead-to-Cash process for high-volume scenarios.
The improvements of this architecture are:
- Integration of a contract-based revenue recognition.
- Integration of settings control on the level of subscription profiles.
- Integration of bills into billable items with provider contract information.