VAOYO, LLC www.vaoyo.

com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

SAP BPC Consolidation Business Rules

BPC 11.1 on BW/4HANA Standard/Classic

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 1

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

SAP BPC Business Rules

1) Currency Conversion ( Planning & Consolidation applications)

2) Account Transformation
3) Balance Carry Forward
4) Inter company matching
5) Inter company Booking
6) US / Intercompany Eliminations
7) Eliminations & Adjustments
8) Equity Pick up

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 2

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Steps To Create Business Rules

Every Business Rule is Model Specific

Assign Business Rule to a Fill the values for the Business Create Script logic for the Create DM package for the Run the DM package to
Model rule table Business Rule Script logic execute Business Rule

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 3

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Configuring Currency Conversion ( FX Translation) Business Rule

In the Reporting Model In the Non Reporting Model(RATE)

Dimension Properties We maintain Rates

Values in the table

Script Logic

Process Chain

DM Package

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 4

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

P&L Accounts – We maintain AVG Rate Type

Balance Sheet Accounts – We maintain END Rate Type
AVG END Rates Types
Dimensions & properties Required for Currency Translation For the entire Rate/ 30 What ever rate we P&L = AVG
days have on the last day of BAL = END
the Month

Account
Rate Model INR INR

Rate Type TIME (2020.01) AVG ( 71.02) END ( 72.00)

AVG / END
CC_PLAN (Entity) CURRENCY REGION Division

Entity (Type) CC_56710 EUR GERMANY Sales &Dis

CC_55000 GBP UK Sales &Dis

Cost center

Company Code ACCOUNT COSTCENTER DATASRC RPT TIME AMOUNT

CURRENCY

Country / Region 615000 CC_56710 INPUT LC 2020.03 67000

615000 CC_55000 INPUT LC 2020.03 70000

Currency

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 5

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Dimensions & properties Required for Currency Translation

ID Reporting Currency Type

Account Rpt Currency USD Y R
EUR
Rate Type Reporting ( Y)
INR

AVG / END Currency Type

G, R , T , LC G – Group Currency
Entity (Type)
R – Reporting
T – Transaction Currency
LC – local Currency
Cost center Time

Company Code YEAR TIME ID PERIOD YEAR MONTHNUM

Country / Region PERIOD 2020.03 MONTH 2020 03

Currency TIME ID

MONTH NUM

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 6

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Dimensions & properties Required for Currency Translation

Account Rpt Currency Input Currency

Rate Type Reporting ( Y) MD ( M / D)

AVG / END Currency Type

Entity (Type) G, R , T , L
Audit Trail /Datasrc

Cost center Time

IS_CONVERTED
(Y)
Company Code YEAR
ID IS_CONVERTED
Country / Region PERIOD
INPUT Y

Currency TIME ID SAP Y

MONTH NUM

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 7

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Main Model & Supporting model

CC_PLAN RATE

ACCOUNT_C (A) ACCOUNT_R ( A)

(AVG , END)
COSTCENTER ( E) RATE_E ( E )
(GLOBAL)
AUDITTRAIL (D) AUDITTRAIL (D)

RPTCURRENCY ( R ) INPUTCURRENCY ( R)

VERISON / CATEGORY VERISON / CATEGORY

(C) (C)
TIME ( T) TIME ( T)

USERDEFINED ( U )

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 8

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Currency Conversion table

ID Description Source flow Destination Account Destination flow Formula Force closing Periodic calc Entity FX Type

AVG Average Rate Balance Opening [AVG]

Increase
Other
Or Leave it blank

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 9

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Currency Conversion Script Logic

*RUN_PROGRAM CURR_CONVERSION
CATEGORY = %CATEGORY_SET%
CURRENCY = %RPTCURRENCY_SET% FXTRANS.LGF
TID_RA =%TIME_SET%
OTHER = [ ENTITY = %ENTITY_SET%]
RATEENTITY = GLOBAL
*END RUN_PROGRAM

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 10

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

DM Package & Process chain

Create DM package

Assign Process Chain /CPMB/FX_RESTAMENT_LOGIC

Go to Modify DM Package & Assign ACCOUNT COSTCENTER DATASRC RPT TIME AMOUNT
FXTRANS.LGF CURRENCY

615000 CC_56710 INPUT LC 2020.03 67000

615000 CC_56710 INPUT USD 2020.03 45000

Run the FXTRANS DM Package

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 11

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

It captures both Profit & Expenses

Profit center

Project ( Construction of new

facility)
CC1

WBS – Work
CC2 CC1 based structure CC2

Project 1 CC1

12
CC Plan ( Budget Allocation)
IT Consultant ( 40 CC2 CC1 – 5000
15 Project 2
hrs) CC2 – 10000
CC3- 12000
13
Project 3 CC3

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 12

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Currency Conversion exercise

In the Reporting Model In the Non Reporting Model(RATE)

Dimension Properties We maintain Rates

Values in the table

Script Logic

Process Chain

DM Package

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 13

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Transaction data in the Rate Model is the

Exchange Rates of Currencies
We load Currencies on Monthly basis

ECC (TCURR) BW4 HANA RATE

We load Currencies on Monthly basis

Flat File RATE

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 14

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Currency Conversion Exercise

Step1 : Load Currencies into Rate Model

Step2 : Assign Currency Conversion Business rule

Step 3: Define rule in the Currency Conversion Table

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 15

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Currency Conversion Exercise *RUN_PROGRAM CURR_CONVERSION

CATEGORY=%CATEGORY_SET%
Step1 : Load Currencies into Rate Model CURRENCY=%CURRENCY_SET%
TID_RA=%TIME_SET%
RATEENTITY=Global
OTHER=[ENTITY=%ENTITY_SET%]
Step2 : Assign Currency Conversion Business rule
*ENDRUN_PROGRAM

Step 3: Define rule in the Currency Conversion Table

Step 4: Define value Properties in the Dimensions

Step 5: Define Currency Conversion Script Logic

Step 6: Define DM Package & assign Process chain & Script logic

Step 7: Submit Actual transaction data using Input schedule

Step 8:Run the Currency Conversion DM package

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 16

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Sign data View in BPC & BWHANA

ACCTYPE Input value BW Sign Reporting Value
AST - - -
AST + + +
LEQ - + -
LEQ + - +
INC - + -
INC + - +
EXP - - -
EXP + + +

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 17

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Properties in Dimensions based on Business Rule

  Currency Translation IC Matching US Eliminations Eliminations and Adjustments Carry Forward Journal IC Booking Account Based Caluclation
Account Rate Type PINTCO Elimacc Type Elim, Elimacc        

Rate_category,Rate_year,Rate_period,
FX_difference_only,FX_Source_Categor Own_Category,Own_year,Own_Pe Opening_Period,Opening_year,Cat
Category y     riod,Entity egory_for_ope      
Time                

Entity Currency , Fxtype (optional)   Elim,Intco IntCo        

IS_Consolidation, DataSrc_Type,
DataSrc IS_Converted IC_ORIGINE   Datasrc_Stage Copy Opening , Opening datasrc Enable JRN    
Flow       Flow_Type Flow_type Enable JRN    

Group Currency_Type,Group_Currency     Conso_Type        

InterCompany   Entity Entity Entity        

Rpt Currency Entity (optional) , Currency Type              

Input Currency Reporting         Enable JRN    
User defined                

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 18

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

DM & Process chain Configuration

Consolidation Task Process Chain Script logic Business Rule

Currency Conversion /CPMB/FX_RESTATEMENT FXTRANS.LGF CURRENCY TRANSLATION

Account calculation /CPMB/RUNCALCULATION CALCACCOUNT.LGF ACCOUNT BASED-

TRANSFORMATION
Balance Carry forward /CPMB/OPENING_BALANCE COPY.OPENING.LGF CARRY FORWARD

Intercompany Matching /CPMB/ICDATA ICDATA.LGF No Business Rule

Intercompany Booking /CPMB/ICBOOKING ICBOOKING.LGF INTERCOMPANY BOOKING

US Eliminations / Intercompany /CPMB/ICELIMINATION ICELIM.LGF US ELIMINATION

Elimination
Legal consolidation /CPMB/LEGAL_CONSOLIDATION CONSOLIDATION.LGF ELIMINATIONS & ADJUSTMENTS

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 19

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Consolidation Process

APPLE ( US)

APPLE ( EMEA) APPLE ( APAC)

APPLE ( CHI) APPLE ( IND)

APPLE ( UK) APPLE ( GER) APPLE ( FRA)

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 20

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Consolidation Process - Legal Consolidation

XYZ 1 Billion( US)

AUTO ( EMEA) OIL ( APAC)

ABC (20%)
DELL( 35%) MSFT ( 15%) TATA(60%) Reliance( 25%) Company
Company Value is 100M ( Company Value is Company Value is Value is 100M ( 25
Company Value is
20 Million) 100M ( 49 Million) 100M ( 60 Million) Million)
100M ( 15 Million)
Company value goes to
120M – 24 M

Minority Interest

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 21

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Two Types of Consolidations

When the Subsidiaries are 100% owned by the parent Company. That is when we use intercompany Eliminations to
US Eliminations report at the Parent Level Company

IC matching
IC Booking

IC Eliminations

Legal Consolidation When the Subsidiaries are not fully owned by parent and to calculated Minority Interest & Good will.

Minority
IC matching
Interest(Ownership)

IC Booking Good Will

IC Eliminations

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 22

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Microsoft
Tangible Assets
Intangible Assets
To buy 49% of the Company

Git Hub
Linkedin ( 200 M)
Good Will – 50 M
Minority Interest– 100 M

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 23

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Depreciation

CAR 30K Car value

Yr1 ( 15%) 25K Car value

Yr2 ( 25%) 20K Car value

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 24

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Method of Investment 51% percent of their

company – Reason is Voting
rights & decision power
20% < Equity Method

49% Proportionate Method

60% -100% Purchase Method

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 25

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Business Rule - Account Transformation

To define the Account Reclassification

ANI transfer account as Net Income
Depreciation of machinery as Add back into
Depreciation account

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 26

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Business Rule - Balance Carry Forward

PL & Statement – Balance Sheet

Net Income Retained Earnings

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 27

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

US ELIMINATIONS
1) Inter company matching
2) Inter company Booking
3) US / Intercompany Eliminations

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 28

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Legal Consolidation

Legal
Consolidation

Ownership
Rate Model
Model

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 29

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Methods

Methods based Multipliers

Eliminations & Adjustment

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 30

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 31

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 32

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 33

VAOYO, LLC www.vaoyo.com
SAP BPC 11.1 ON BW/4HANA Competency Development Program Ph:732-397-6273

Thank You

Author:
www.vaoyo.com
Venu Tikkavarapu
Ph:732-397-6273
SAP BPC Architect

20200315 Vaoyo LLC, http://www.vaoyo.com 34