AMAG – Billing Management

If SAP’s plans are any indication, the transition to SAP S/4HANA is expected to be completed by the end of 2027—support for the current SAP ERP system will continue to be offered until 2030 for an additional fee. AMAG recognized early on how complex the internal “SAP S/4HANA transformation project” is and has therefore already initiated this process this year by converting bonus accounting in SD.

Discussions with AMAG regarding the transition to SAP S/4HANA and the preliminary project “Bonus Settlement” in the SAP SD module began as early as the summer of 2019. In the months that followed, both sides conducted extensive research and made thorough preparations. In May of this year, the project involving the consortium of SAP, SettMEx, and INFORMATICS was launched.

Collaboration – Together, we can achieve more

The division of roles and collaboration with the professionals and the client, AMAG, went like clockwork. In addition to the implementation in the client’s system, the project also benefited from the close relationship and long-standing partnership between the client and INFORMATICS.

Long-Term Goal: SAP S/4HANA – The Clock Is Ticking

By implementing several pilot projects, AMAG is taking a leading role in the transition to S/4HANA. In addition to the conversion of accounts receivable management, the next steps involve making three additional processes S/4HANA-compatible: bonus settlement and commission settlement in SAP SD, and commission settlement in SAP MM. With these conversions, current (temporary) solutions in accounts receivable management—which are based on Excel, among other things—will become obsolete.

Advantage: AMAG

The new, fully automated SD Bonus Settlement system clearly documents all customer-specific terms and conditions contracts (the central element of settlement management). With just a few clicks, you can now include or exclude sales, modify terms and conditions or settlement periods, generate settlement documents, and account for cancellations. This reduces administrative effort, operating costs, and sources of error to a minimum.

Soft Launch

The project took about 30 person-days to complete and, due to current circumstances, was carried out entirely remotely; thanks to regular coordination via web-based tools, the project went off without a hitch. The go-live of the bonus settlement system—from the test environment to the production system—is scheduled for the end of the year. The transition will be seamless because the new solution can run in parallel with the current one. In the background, test runs, contract creation, and simulations are possible; things will get serious only when actual bonuses are calculated. The next step is the conversion of commission settlement in SAP SD.