Although it may not be the most appealing, accounting for fixed assets is nonetheless a crucial aspect of corporate finance. In many businesses, managing fixed assets is essential. Fixed assets are the largest item on the balance sheet, particularly in capital-intensive industries like utilities, construction, and telecommunications. Because of this, any error in fixed asset records can have a significant influence on the accuracy of financial reporting, with all of its possible drawbacks. The Asset Accounting (FI-AA) component of the SAP system is in charge of managing procedures related to fixed assets, such as acquisitions, transfers, retirements, depreciation, revaluations, and reporting.

We’ll look at what’s new in release 2020 in this blog post. But first, let me give you a quick rundown of the significant new features added to SAP S/4HANA’s earlier editions.

updated features from earlier editions (delta)
With the 1511 publication
The largest functional modifications were made in the first iterations of S/4HANA (1511 and Simple Finance before that). There are many resources available that describe S/4HANA’s new asset accounting system. Consequently, without going into too much detail, the main developments include

Changes to the data model based on the Universal Journal provide various advantages, including the elimination of the need for GL and AA reconciliation and the availability of asset accounting attributes (such as asset number) in all reports based on the Universal Journal.
Asset Accounting’s parallel accounting has been redesigned with the addition of new posting logic.
improved depreciation run and projected depreciation calculation
The initial round of FIORI apps have been released. Manage Depreciation Runs, Fixed Asset, Asset Master Worklist, Fiscal Year  Change in the fiscal year, value recalculation. All of them were deprecated and changed to alternatives in the upcoming releases, with the exception of the Asset Master Worklist.
When 1610 was released
The reports Asset Balances and Asset History Sheet were temporarily presented utilising the webdynpro UI.
Utilize the newly released application job structure with the brand-new FIORI app Schedule Asset Accounting Jobs. Users can schedule tasks using the templates offered here, such as Depreciation Posting Run or Depreciation Recalculation.

The separate FIORI app for running depreciation was created as a result. Schedule Asset Accounting Jobs has taken the position of Manage Depreciation Runs, which has been deprecated. Release 1709 and higher do not support the Manage Depreciation Runs feature.

With the release of 1709
The Manage Fixed Assets FIORI app gives you access to all the information about an asset in one place, potentially replacing the traditional AS01/02/03 and asset explorer transactions for maintaining asset master data (AW01N).
Asset Transactions and Depreciation Lists, two brand-new Fiori apps, are now available.
Asset History Sheet and Asset Balances, which were formerly offered as webDynpro, were completely rewritten utilising FIORI Design Studio technology.
For asset accounting, the Key User Extensibility approach has been enabled. For the purpose of adding custom fields to asset master data, you can utilise the Custom Fields and Logic FIORI app in conjunction with the business context Fixed Asset Master Data. The key benefit is the ability to expand not only the underlying tables but also related CDS views, Odata services, and user interfaces.

With the release of (1809)
The app for Asset Accounting Overview A dashboard-like overview page Fiori app type that presents all the data a user in the Asset Accountant job requires on a single page.
The software known as “Subsequent Implementation of a Depreciation Area” (RAFAB COPY AREA) was created for the unique situation of adding a new depreciation area for insurable items to an existing valuation in an operational system.
The new fiscal year is only opened if all assets are processed successfully, is one of the minor changes made to the balance carryforward functionality for assets (included in the broader GL balance carryforward programme). Deactivated assets are now processed via BCF functionality.
AA number range objects now have parallel buffering, which enhances speed when producing assets.
typical CDS viewpoints

With the 1909 publication
You can now close a fiscal year per ledger or depreciation area using the updated Execute/Undo Year-End Closing programme (transaction FAA CMP).
BADI FAA DOCLINES CUSTOMER Change to Line Items in Asset Document, a new enhancement point for publishing asset documentation, replacing the prior BADI FIAA DOCLINES.
Several asset accounting FIORI apps have undergone minor changes to improve user experience and performance.

The latest SAP S/4HANA 2020 features
Let’s now examine the new features of release 2020. As was already noted, there aren’t many brand-new features. New CDS views for reporting have perhaps seen the most substantial alteration. However, from a functional standpoint, there is a new programme for the fiscal year closing that users of the system will notice.

The new programme for year-end closing
You can now complete the fiscal year for a number of company codes and/or ledgers in a single run thanks to the new capabilities. You can schedule it in the FIORI app or perform it as a separate transaction (transaction FAA CLOSE FISC YEARS) in the SAP GUI. Plan your asset accounting projects.

Year-End Closing Asset Accounting

When using the S/4HANA system, the standard asset accounting year-end closing procedure consists of three primary steps:

Depreciation or transaction AFAB for posting projected depreciation? Posting Run using the Carry Forward Balances FIORI app or the transaction FAGLGVTR in the Schedule Asset Accounting Jobs FIORI app.
closing out the fiscal year: AJAB or FAA CMP (since release 1909)
The new programme takes the place of the AJAB transaction, which is no longer supported and does not allow for the closure of the fiscal year by ledger or depreciation area. The new transaction FAA CLOSE FISC YEARS is diverted from transaction code AJAB. You can still use the FAA CMP transaction because it is still available. The year-end closing function, however, is limited to a single business code and ledger.

The necessity for parallel depreciation zones in BADIs will no longer be necessary
The fact that not all Asset Accounting operations in S/4HANA have been fully integrated with freely defined currencies is one of its drawbacks. For instance, the historical exchange rate from the date of acquisition is not used to convert depreciation in foreign currency, which is regarded as a freely defined currency. Depreciation is translated instead using the current exchange rate as a remedy. Of course, this is not ideal, and Asset Accounting will eventually handle all 10 currencies as well.

It is clear that the current monetary setup in AA is rather complex when you look at it. You must construct a parallel depreciation area in Asset Accounting for each currency in General Ledger. Future support for ten currencies might necessitate the creation of ten extra depreciation zones. As a result, we can anticipate some currency configuration simplification. You will be able to define all currencies in the appropriate depreciation area settings, eliminating the need for parallel currency depreciation zones.

Release 2020 is already undergoing some technical preparation. BADIs, where you can write your own depreciation calculation techniques such as FAA EE CUSTOMER and FAA DC CUSTOMER, are one of the areas where technical improvements have already been done. The import structures have been modified so that they now include currency type as of release 2020. There may be a need to modify the BAdI custom implementations. Please see SAP support for additional information and examples.

FIORI apps have received small updates.
Some of the FIORI apps have had modest enhancements.

Asset Transactions: With the use of this app, you may view asset transactions that have been recorded in the general ledger, such as transfers, retirements, and acquisitions. New selection parameters for screening depreciation postings were added as of release 2020.
Separate fiscal period filters for cards relating to asset balances and for cards relating to asset transactions are available in the asset accounting overview.

New CDS reporting views
The following CDS (Core Data Service) views for S/4HANA 2020 Asset Accounting have been made available. Please go to SAP support for additional information.

  • I FixedAssgmt, Fixed Asset (Time-Dependent Data)
  • I FixedAssetForLedger, Fixed Asset (Ledger-Dependent Data
  • I FixedAssetCountryData is the fixed asset country data.
  • Asset Class: I AssetClass Fixed Asset Group: I FixedAssetGroup Depreciation Key: I DepreciationKey Depreciation Area: I
  • DepreciationAreaForLedger Fixed Asset Valuation (Ledger-Dependent Data)
  • Text for the depreciation area: I DeprAreaForLedger
  • Depreciation schedule: I ChartOfDepreciation
  • Depreciation Schedule Text: I ChartOfDepreciation
  • I AssetTransactionType Asset Transaction Type Text: I AssetTransactionTypeText Asset Transaction Type
  • Determine Asset Account: I AssetAcctDetermination
  • Key Figure Group Specification for AssetAccounting (With Sorting Order): I AssetSortedKeyFigure
  • Asset Key Figure Group for SetSpec Asset Accounting: I AssetKeyFigure
  • Group Text for the Set Asset Accounting Key Figure: I AssetKeyFigure
  • Asset Key Figure Set Text: I AssetKeyFigure
  • Asset Key Figure Text for Accounting: I AssetKeyFigureText
  • Balances of Assets: C AssetBalance
  • Asset History Sheet: C AssetHistorySheet Asset Balances Cube: I AssetBalanceCube
  • Evaluation Group 1: I Group1AssetEvaluationKey Evaluation Group 2: I Group2AssetEvaluationKey Evaluation Group 3: I
  • Group3AssetEvaluationKey Evaluation Group 4: I Group4AssetEvaluationKey Evaluation Group 5: I Group5AssetEvaluationKey
  • Asset History Sheet Cube: I AssetHistorySheetCube
  • The upcoming version will remove the following CDS views because they are no longer supported.
  • C FixedAssetBalance: Asset Balances
  • I FixedAssetValueCube is the asset balances cube.
  • C FixedAssetHistorySheet is the asset history sheet.
  • I FixedAssetAHSValueCube is the asset history sheet cube.

The majority of new innovations for On-Premise versions after the 1511 release were concentrated on UI redesign and small functional improvements. The most significant asset transactions have been deployed as native FIORI applications as part of this project, and CDS views and Key user extensibility have both been enabled.

There are many new features in the most recent S/4HANA Cloud ES version releases that are still unavailable for On-Premise. This can help you get a better understanding of the new features you can anticipate from future On-Premise releases.

Presented by the SAP S/4HANA RIG