Finance After Migration to SAP S/4HANA
New system capabilities and different approaches to extensions
The transition to SAP S/4HANA opens up new possibilities for finance in terms of reporting, data handling, and process management. However, the challenge posed by local legal and tax requirements remains. Some of these can now be handled using the standard SAP functionality, while others require local solutions, such as SAP extensions from All for One. It is therefore crucial to effectively integrate the new capabilities of S/4HANA with the requirements of Polish accounting.
The transition to SAP S/4HANA opens up new possibilities for finance in terms of reporting, data handling, and process management. However, the challenge posed by local legal and tax requirements remains. Some of these can now be handled using the standard SAP functionality, while others require local solutions, such as SAP extensions from All for One. It is therefore crucial to effectively integrate the new capabilities of S/4HANA with the requirements of Polish accounting.
Although the transition from SAP ECC to SAP S/4HANA is primarily associated with a major IT project, its implications are what matter most for finance. S/4HANA offers new capabilities and takes over some functions that previously required additional tools, but at the same time, it must continue to support local tax and accounting requirements. Therefore, the transformation project is a good opportunity to take a holistic view of the financial landscape: to determine what can be based on the SAP standard, where local solutions are needed, and how to migrate and adapt them.
What works better for finance in SAP S/4HANA?
A key change in SAP S/4HANA is the streamlining of the financial data model. The Universal Journal consolidates data previously used by various areas—including FI and CO—into a single location, reducing the need for data replication and subsequent reconciliations. The business partner model has also been standardized; suppliers and customers now function as Business Partners. Along with this, certain processes and data structures have been redesigned to simplify their management and reduce the risk of inconsistencies between different areas of the system.
Equally important for financial users are the enhanced reporting and analytics capabilities directly within SAP S/4HANA , as well as a new way of working with the system. SAP Fiori apps, workflows , and automation allow for the transfer of subsequent activities from traditional transactions to simpler, more process-oriented applications. AI- based solutions are also being added, gradually taking over some routine analyses and supporting users in their daily work.
Polish Specifics and SAP S/4HANA
Despite extensive changes to the architecture and financial processes, some of the issues familiar to SAP ECC users remain relevant in S/4HANA as well . One example is the field length limitation for invoice numbers, which still requires a workaround if the full number is to be used later in reporting. The same applies to exchange rates for VAT and CIT —Polish regulations are so specific that the SAP standard does not always map the entire required process. CIT tax settlements also present a separate challenge, including the recording of data needed to correctly report revenue and tax-deductible expenses.
In many areas, the SAP standard now offers much more than it did before, but there are still gaps that need to be filled through configuration or an additional solution. In the following section, we will therefore examine the most important areas of Polish financial specifics, highlighting where the SAP standard falls short and how these gaps can be addressed.
E-invoices and Integration with KSeF
Polish regulations require the use of the National e-Invoice System (KSeF). Companies using SAP must therefore integrate their system with KSeF to send and receive invoices directly from SAP, transmit data in the required format, and handle KSeF numbers, statuses, and errors in the process.
SAP DRC Electronic Documents
SAP DRC Electronic Documents is the standard SAP solution for e-invoicing, not only in Poland but also in many other countries. Integration with KSeF is embedded in an international framework SAP DRC and is based on a standard configuration and SAP Best Practices. This is a good approach, especially for organizations operating in multiple countries that want to maintain a single, consistent e-invoicing model. Configuration options are limited, and changes require the involvement of a programmer.
All for One KSeF
All for One KSeF is an extension that integrates SAP with the National e-Invoice System and can be further customized to suit the specific workflows of an organization. In addition to sending and receiving e-invoices, it supports, among other things, document visualization, email notifications about errors and exceptions, and integration with purchase invoice processes and attachments in SAP. The solution is developed locally, which facilitates a quick response to changing requirements and the expansion of the process to meet company-specific needs. Meanwhile, the key component, KSeF Hub, can also be integrated with international B2B and B2C platforms, allowing our solution to serve as a universal e-invoicing solution in international markets as well.
Reporting - Standard Audit File (SAF-T)
Polish regulations require companies to report tax data using SAF-T (JPK) formats, including JPK_VAT and JPK_CIT, and to provide selected formats upon request by tax authorities. You must collect the relevant data from SAP, prepare a valid XML file compliant with the current Ministry of Finance structure, and send it securely.
SAP DRC SAF-T Reporting
SAP DRC SAF-T Reporting is a standard SAP solution for JPK reporting. It supports basic JPK structures and generates final XML files. The solution is based on a standard configuration and data mapping in accordance with SAP Best Practices; therefore, customization options are more limited for non-standard processes. Direct file transmission from SAP may require an additional license.
All for One JPK
All for One JPK supports the full range of structures within the Standard Control File (SAF-T). The solution allows for greater customization of data collection and mapping to an organization’s actual processes, without the need to restructure them to fit a standard model. In addition to generating and sending JPK files, it also offers control functions and extensions, such as analyzing changes in JPK_VAT, consolidating reports from multiple business entities, saving manual adjustments, and additional tools to support working with large datasets.
Exchange Rates from the National Bank of Poland
Polish accounting requires the use of the correct exchange rates, and, for example, in foreign currency transactions, the exchange rate for VAT and CIT is not always determined based on the same date. It is necessary to regularly retrieve current exchange rates from the National Bank of Poland and automatically import them into the SAP system.
SAP Market Rate Management
SAP Market Rate Management is a standard SAP solution for automatically retrieving exchange rates and other market data. The data is provided by the external vendor LSEG and includes, among other things, exchange rates from the National Bank of Poland (NBP) and the European Central Bank (ECB). The solution requires an additional SAP license and aligns well with an approach based on global standards and a broad set of market data.
All for One EasyExchangeRates for S/4HANA
All for One EasyExchangeRates for S/4HANA automates the retrieval of exchange rates directly from the National Bank of Poland (NBP), the European Central Bank (ECB), and key foreign banks and currency services. Additional data sources can be added; the S/4HANA version uses the Fiori interface. The solution is tailored to local needs and is ideal for situations where direct integration with specific sources and flexibility in selecting them are important.
White List of Taxpayers
Under Polish law, before making a payment, a business owner should verify, among other things, the counterparty’s status and whether they are on the white list of VAT taxpayers. When dealing with a large number of documents, manually verifying data is inefficient, so it’s worth integrating these checks directly into the financial processes in SAP.
SAP Online Validation Service
The SAP Online Validation Service is a standard SAP solution that enables automatic verification of business partner data, including the VAT number in VIES and whether the bank account is on the whitelist. These checks can be integrated into standard processes. Depending on the external data sources used, additional licensing costs may apply. However, the solution does not verify a Polish VAT taxpayer’s status—for example, whether they are an active or exempt taxpayer.
All for One Partner Checker
All for One Partner Checker automates the verification of business partners in Polish and European databases:the white list of taxpayers, VIES, and the VAT registry. The extension allows you to check both bank accounts and a taxpayer’s registration status. These checks can be automatically integrated into the organization’s processes, such as when creating or modifying business partner data, posting invoices, or preparing batch transfers.
Online Banking
Processing payments and bank statements in SAP requires secure data exchange with banks and the automation of processes such as initiating transfers, receiving statements, and posting banking transactions. Depending on the company’s size and needs, the process can be based on file exchange or direct online communication with the bank.
SAP S/4HANA Standard
The standard SAP S/4HANA includes common formats for data exchange with banks, including the Polish Elixir format and XML files, as well as the import of bank statements. For some organizations, this model is sufficient and can be configured as part of a standard S/4HANA implementation.
SAP Multi-Bank Connectivity
SAP Multi-Bank Connectivity allows you to transition from file-based exchange to direct online communication with banks. Among other things, it enables you to send payment orders, retrieve statements, and obtain information on payment statuses and account balances. It requires an additional SAP license and works well for organizations that use multiple banks and want to standardize their communication.
All for One EasyBanking
All for One EasyBanking enables direct communication between the SAP system and the bank without using files as data carriers. From within SAP, it allows users to, among other things, authorize payments, process domestic, SEPA, and international transfers, receive statements, check the status of orders, and retrieve current balances. The solution enhances the automation and security of the process and can be tailored to specific banks and an organization’s workflows.
Payment Backlogs and Bad Debt Relief
Polish regulations require monitoring the timeliness of payments and, in certain cases, reporting on payment practices and adjusting VAT for overdue receivables and payables. Therefore, on a larger scale, tools are needed that automatically analyze payment deadlines and identify documents requiring further action.
Reports in SAP DRC
Reports in SAP DRC—the standard SAP solution—support the analysis of excessive delays and the identification of past-due invoices that may be eligible for bad debt relief. The reports collect data from documents and payment terms and then prepare the information needed for further reporting. In some scenarios, using them may require additional SAP licensing.
All for One Payment Backlogs in SAP
All for One Payment Backlogs in SAP provides a more detailed analysis of payment timeliness, even in more complex cases, such as partial payments or offsets. The solution also supports the calculation of VAT adjustments and can automate the corresponding journal entries. Additionally, it prepares data for the mandatory report on payment practices.
SAP Standard vs. in-house solution
Standard SAP solutions, such as SAP DRC, work particularly well for multinational groups that want to maintain consistent processes and a single architecture across multiple countries. They facilitate centralized management, configuration standardization, and the use of the same mechanisms for various local requirements.
On-premises solutions, such as SAP extensions from All for One, in turn, offer greater flexibility when a process deviates from the standard, additional features are needed, or rapid adaptation to regulatory changes is required. They also allow for better consideration of industry-specific characteristics and existing workflows.
The rule is simple: the more international and standardized the SAP landscape, the stronger the case for a global solution. The more local and specific the process, the greater the value of a local solution.
What about the extensions that are already working in SAP ECC?
The continued use of SAP extensions from All for One currently running in SAP ECC depends on the selected transformation path. With an upgrade (Brownfield) or transformation (Selective Data Transition) approach, the current system serves as the starting point; therefore, the All for One add-ons in use are migrated and technically adapted to S/4HANA. Their existing settings and functionality are largely preserved, and the licenses remain unchanged.
The situation is different with a greenfield implementation approach. In this case, processes are designed from scratch, so add-ons must also be reinstalled and reconfigured to work with the new system and new operating principles. New starter packages are provided, and the license itself remains valid.
S/4HANA as an opportunity to get your finances in order
Migrating to SAP S/4HANA is a good opportunity to streamline your financial landscape: use the standard where it’s sufficient, retain the necessary extensions, and redesign the processes that require it. It’s worth doing this with a partner who combines expertise in S/4HANA, local regulations, and compliance solutions—thereby helping you choose an architecture that’s also ready for future changes.
