Managing SAP transaction data and cash flow

In this book chapter excerpt, you'll find out how to use the data entry screen to manage SAP transaction data, including hedging relationships and payments. You'll also learn how to work with the different types of SAP cash flow.

SAP financial management covers a wide range of business transactions. In this book chapter excerpt, you'll find out how to use the data entry screen to manage SAP transaction data, including hedging relationships and payments. You'll also learn how to work with the different types of SAP cash flow.

Table of contents:

Getting started with SAP financial transaction management

Managing SAP transaction data and cash flow


3.1.3 Data Screen
Once you have accessed the financial transaction creation or processing entry screen, you reach the Data screen. The screen has the same layout for all financial instruments. The financial transaction header
is displayed at the top of the screen. Depending on the financial
instrument, this includes information on the company code, the
financial transaction number, the activity, the product type, the
transaction type, and the security identification number (see Figure

The area below the header contains the tabs. In principle, all financial
transactions have the same tabs, but the system only displays the
tabs that are needed for the financial instrument. For example, the
Interest rate adjustment tab is only displayed for financial instruments
with variable interest rate calculation and is hidden for other
financial instruments.

 Data Screen for the Fixed Term Deposit Financial Instrument

Figure 3.7 Data Screen for the Fixed Term Deposit Financial Instrument

You can also change the settings in Customizing under Treasury and
Risk Management  Transaction Manager  General Settings  Transaction
Management  Define Field Selection
to hide unwanted tabs
(except the Structure tab).

Structure Tab

In this tab, you can enter the structure features to differentiate
financial instruments from one another. We will describe these in
greater detail in Sections 3.1.4 to 3.1.7. The system also displays the
business partner at the top of the financial transaction and provides
the option to go to business partner administration. At the bottom, you can enter contract data such as the contract date and time, contact
person, trader, and an external reference.

Because the Structure tab sometimes isn’t sufficient to enter all the
features for a financial instrument, you can also use up to three additional
tabs for this purpose.

When this option is used (as displayed in Table 3.5), the additional
tabs can also be named “Structure.”

Financial instrument Tab Tab Tab
Securities Trade Structure  
Facility Fees Profiles Rules
Listed transaction Trade Structure  
OTC option Underlying    
Securities lending Security    

Table 3.5 Additional Tabs for Structure Features

Hedge Management Tab

The Hedge Management tab is displayed if the financial transaction
is part of a hedging relationship. The data for the hedging relationship
is displayed via an SAP List Viewer (ALV). Double-clicking on a
line will display the hedging relationship. For further information on
hedge management, see Chapter 7, Hedge Management.

Customer-Specific Tab

There are two tabs in which you can use BAdI technology to include
your own screens and display, enter, and save data for a financial
transaction. For more information, see Section 3.5.3.

Administration Tab
The Administration tab provides data for managing financial transactions.
Under Position assignment, you use the general valuation
class to classify the financial transactions by assets (e.g., short-term
assets). You can use the Additional fields to mark a financial transaction
or specify connections with other financial transactions. You can
use Authorization to define authorization groups so that only specific individuals are allowed to process this financial transaction.
Under Rating, you specify data on the business partner and the evaluating
credit rating institute.

Other flows Tab

You can use the Other flows tab to represent flows other than nominal,
interest, or repayment. These could be fees or taxes, for instance.
In this case, you must have maintained corresponding flow types in
Customizing using the Other flow/condition flow category.

After entering the flow type, the direction, the payment amount, the
currency, as well as the payment date, it is possible to navigate to a
detail screen by double-clicking and then storing calculation bases.
For more information on other flows, see Section 3.1.4.

Payment details Tab

The Payment details tab contains details on payment transactions
with the corresponding business partner. This data is not entered
separately for every flow, but applies generally for the entire financial
transaction. An ID with the direction and the currency, as well as
a possible restriction to the validity and flow type, is used to assign
the payment details to the flows. If several different payment details
are possible for a flow, the payment detail with the most precise ID
is selected.

For example, say you have specified two different payment details,
the first with direction “+” and currency “EUR” and the second with
the same direction and currency but also with flow type “1900”.
With the appropriate direction and currency, only the first payment
detail is possible for an interest flow with flow type “1200” and it is
assigned to the flow. For another flow with flow type 1900 and the
appropriate direction and currency, both payment details are possible,
but the second, more specific payment detail is assigned.

You double-click on a line to navigate to the detail screen. This is
where you can enter more specific details on the posting, as well as
the payment request. When doing this, you can use a repetitive code
that stands for the data that remains unchanged in a payment transfer
and thereby reduces the administrative workload for recurring
payments with the same payment details.

Payment details must be created for all the payment-relevant currencies
and directions of a financial transaction. You are supported in
this task as the payment details in the business partner’s standing
instructions are displayed as preassigned values when you create a
new financial transaction.

Cash flow Tab

The Cash flow tab provides an overview of all flows for a financial
transaction. It is displayed via an ALV.

You can use filters to hide unwanted flows. A filter is set by default,
displaying only structure flows. You can, however, delete or change
this filter in order to also show accrual/deferral flows, valuation
flows, and transfer posting flows.

You can use variants to specify which features and key figures are visible for flows. Some variants are delivered in the standard SAP system.
You can use these as templates for your own variants or you can
create completely new variants.

Double-clicking on a flow will take you to the flow detail screen, which displays further information.

You can use the Flows button or the Edit flow context menu to
change a flow manually. It is also possible to flag posted flows for
reversal in the same manner. Both functions are subject to the status
of the transaction or the flow. If the transaction or flow status do not
permit the functions, you will not be able to select them.

Outgoing and Incoming Tabs

For swap transactions such as swap for OTC interest derivatives, you
can divide the cash flow into the outgoing cash flow and the incoming
cash flow. This is covered by the tabs Outgoing and Incoming.
The Cash flow tab is not affected by this and is also displayed.

Interest rate adjustment Tab

All OTC interest rate derivatives have interest applied variably and
the interest can also be applied variably to the interest rate instrument.
An overview of interest rate adjustments performed and pending for these transactions is displayed on the Interest rate adjustment
tab. For further details on interest rate adjustment, see Section

Just as for cash flow, the data is displayed in an ALV for which you
can also create your own variants. Double-clicking on the icon in the
Interest fixing
column will display the detailed data for this line in
the area below the ALV.

Memos Tab

You can use the Memos tab to store additional information on a
financial transaction in plain text format. To do this, you must have
maintained the corresponding memo types in Customizing under
Treasury and Risk Management  Transaction Manager  General
Settings  Transaction Management   Define Memo Book

The memos represent a central function provided by SAP Basis.
Therefore, you may well have already learned how to use this function
in other areas. 

Partner Assignment Tab

The Partner assignment tab provides a partner overview with all relevant
data on the corresponding partner for the financial transaction.
You can navigate directly to business partner administration, make
additional partner assignments, or create partners for the financial

Status Tab

Depending on the business partner, you can use Customizing to
define whether external correspondence is to be carried out in the
form of a confirmation and, if necessary, a counterconfirmation. The
system displays the correspondence status and thus implicitly the
Customizing setting.

The system displays the current activity category for the financial
transaction, as well as its status.

The system displays the processing category, status, active activity,
release status, creator, and last changed by information for the financial transaction. It also provides you with the option to navigate to
status management.

Transaction management is linked to general status management (see
Section 3.3.6). This is where you are provided with information on
the status. You can also find out which business activities are possible
for the financial transaction.

Tabs for the Financial Object

The tabs for the financial object are only used for OTC transactions.
For standardized financial transactions, the corresponding data is
created in the background for external positions.

For active financial object integration, a separate tab is displayed for
each of the financial object components, Analysis parameters and
Default risk limit
. You can use these to maintain the corresponding
data of the financial object corresponding to the financial transaction.
For further information, see Section 9.2.5.

3.1.4 Flows

A flow is the transfer of an amount between different accounts on a
specific date. This transfer can be made between business partners as
well as internally. All flows together represent the cash flow and are
displayed on the Cash flow tab.

By default, a filter is set for the Cash flow tab, displaying only structure
flows. Without this filter, it is possible to view all flows. These
flows are roughly classified into four categories:

  • Structure flows
  • Transfer posting flows
  • Valuation flows
  • Accrual/deferral flows

As of SAP ERP 6.0, transfer posting flows and valuation flows are no
longer used in the transaction management, but in position management
instead. Due to legacy data transfer, these flows could still exist
for some financial transactions in the transaction management. Until
Release Enterprise 1.10, when exercising options, the option premium
could be set in the financial transaction being performed, due to the Customizing settings. Also until Release Enterprise 1.10, valuation
was performed in transaction management and valuation flows
were also created there.

Accrual/deferral flows are derived from accruals/deferrals. These
flows result from performing a financial transaction. By contrast,
structure flows represent a description of the financial transaction.
The following sections describe the different forms of structure flows
in greater detail.

For the category of structure flows, you must maintain the flow types
in Customizing and assign them to the transaction type. For example,
you can define flow types for money market under Treasury and
Risk Management  Transaction Manager  Money Market  Transaction
Management  Flow Types  Define Flow Types
. For main flows,
the Principal increase or Principal decrease flow category is
required, for other flows you need flow category Other flow/condition.
You must then assign the flow category to the transaction type
under Treasury and Risk Management  Transaction Manager
Money Market  Transaction Management  Flow Types  Assign
Flow Types to Transaction Type.

Assigning a Condition-Based Flow Type to a Transaction Type

It is not necessary to assign flow types to the transaction type for flows
created from conditions. This is already done implicitly via the condition

Main Flows

The main flows contain the amount-based structure of a transaction.
Therefore, they are also called changes in capital structure or nominal
changes. There are flows for both increasing and decreasing the
amount-based structure of a financial transaction.

If a financial instrument has main flows, you will see them on the
tab. The tab displays the first main flow (chronologically).
You can enter or change the amount, the currency, and (to a certain
extent) the flow type.

An example of this is the creation of a fixed-term deposit of 100,000
EUR on 02/13/2007 for one year at 4%. The data is entered on the
Structure tab in the Investment section (see Figure 3.8).

Main Flow on the Structure Tab

Figure 3.8 Main Flow on the Structure Tab

You can use the Other changes in capital structure button to navigate
to the overview screen for main flows. This is where you can
enter more main flows. A color-coded button display on the Structure
tab indicates whether other main flows already exist in the

On the overview screen, you can select a flow type stored in Customizing.
After entering the payment amount, the currency and the payment
date, you can also define a different calculation date for some
financial instruments.

Main Flow for Fixed-Term Deposits

For the fixed-term deposit financial instrument, the main flow entered on
the Structure tab is not displayed on the overview screen and can only be
viewed using the Detail button in Figure 3.8.

We will demonstrate this by continuing our example from above.
For the fixed-term deposit, the capital amount increases by 25,000
EUR to 125,000 EUR on 08/13/2007. The data is displayed in Figure

Overview Screen of Main Flows

Figure 3.9 Overview Screen of Main Flows

From the overview screen, you can double-click or use the Detail
button to navigate to the detail screen. This displays more information
on the main flow (see Figure 3.10).

Detail Screen for Main Flow

Figure 3.10 Detail Screen for Main Flow

If the payment currency is not the local currency, an additional area
is displayed. In this area, you can specify a fixed rate or fixed
amount, or you can specify the use of a current rate from the rate

Other Flows

You can use other flows to represent flows other than nominal, interest,
or repayment, such as fees or taxes.

There is a separate tab for other flows, which includes an overview
screen of existing other flows. This is where you can enter the side,
the direction, the flow type, the amount, the currency, and the payment

For our fixed-term deposit, an acquisition fee of 300 EUR needs to be
paid at the start of term of 08/13/2007 (see Figure 3.11).

Detail Screen for Main Flow

Figure 3.11 Other Flows Tab

From the Other flows tab, you can double-click or use the Detail button to navigate to the detail screen. This is where you can enter further
calculation details.

For the purposes of this example, the acquisition fee is relevant for
interest accrual for the entire period from 02/13/2007 to
02/13/2008 (see Figure 3.12).

Detail Screen for Other Flow

Figure 3.12 Detail Screen for Other Flow

Derived Flows

Derived flows are flows that are calculated from flows. This could,
for example, be the trader’s commission on a stock sale or the stock
exchange tax.

Derived flows also belong to the Other flow/condition flow category.
To create these flows, you must create rules in Customizing
under Treasury and Risk Management  Transaction Manager
Money Market  Transaction Management  Flow Types  Derived
Flows  Define Derivation Procedures and Rules
. These rules determine
the flow type from which they are derived and the structure
that they have. You must also make additional settings in business
partner administration for the business partners in the Counterparty
role in the corresponding company code. Assign the derivation procedure
to the product type on the SI: Derived Flows tab.

Display of Derived Flows

Even though derived flows belong to other flows, they are not displayed
on the Other flows tab. Instead, they can only be seen in the cash flow.
They can also be changed there

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