Currency changeover for PCA, COPA and Controlling area

[former_member193513]

Hi All

I would be greatful if any one can help me in this

My reqirment is as below

we have in total 35 company codes and one conrtolling area, operating concern and PCA is also active

Business has decided that they want to change currency for 3 company codes from GBP to EUR

Also business wants to change the controlling area currency from GBP to EUR , operating concern currency and PCA currency from GBP to EUR

SAP SLO team will be doing the change and we need to analyze the impact on the currency change over for operating concern, Controlling area and PCA

As the same controoling area is being used by other company codes, i would like to know what are the checks that weneed to taken care off, while auditing the currency change over

From FI end, i have understood that we need to do a audit of pre equalavent EUR and post EUR like GL line items are compared with Gl balances

Customer open items with customer balances , vendor open items with vendor balances , Assets balances for comparision to confirm to SAP that everything is in order

Could you please help me out in understding the impact from the CO side and what should i check

Also ,  the three company codes are using SPecial purpose ledger  could you please let me know what should i check for the SPL

The three company codes are using the alternate currencies , first local currency is GBP, second currency is EUR(Currency type is 50) and third local currency is GBP (Group currency)

Business agreed for the following proposal made by SAP

-> Contrlling area currency conversion from GBP to EUR, including EC PCA and COPA

-> Selective local currency change over for three company codes

->Conversion of thrid local currency for all 35 company codes

->Change of client currency from GBP to EUR

Can you please help me in understanding the impact for the above options

Thanking you in advance

Regards

Prasad

[kamalkumar_biswas2 · Accepted solution]

Hi Prasad

A)  " we have in total 35 company codes and one controlling area, operating concern and PCA is also active "

  Under the above business scenario..best practice should be :

    1. Controlling area currency.... Group currency defined at client level

    2. Company code currency...as per legal requirement of the local status

  And for other 2nd & 3rd local currency are depending on requirements as these are used for reporting purposes.

  B)  "Business has decided that they want to change currency for 3 company codes from GBP to EUR"

     " Also business wants to change the controlling area currency from GBP to EUR , operating concern currency and PCA currency from GBP to EUR"

      So..you have decided to change the Group Currency...then what will happen the old transactions posted in earlier currency....is a concern..I think SAP has given solution

      Same will happen in case of CCode currency...So SAP has provided solution also

      My advice is that the whole process is one of the most non-recommended  change over by SAP itself. But as you have decided to take up the challenge, please take full support from SAP because it may require updating of many major tables by converting data from existing currency to change currency.

     Best of luck

[former_member193513 · Accepted solution]

HI Kamal

Thanks for your reply

We are working closely with SAP SLO team and they themselves has suggested the above approach

-- >So..you have decided to change the Group Currency...then what will happen the old transactions posted in earlier currency....is a concern..I think SAP has given solution

* SAP has confirmed that  all the old transction will also be converted and recommanded to ignore the differences from previopus fiuscal year & just reconcile the current year

-> Same will happen in case of CCode currency...So SAP has provided solution also

* SAp has advised same as earlier

-> My advice is that the whole process is one of the most non-recommended  change over by SAP itself. But as you have decided to take up the challenge, please take full support from SAP because it may require updating of many major tables by converting data from existing currency to change currency.

SAP has suggested the above approach  and they do have given three options for change over

Optioons are as below

1.Group currency change - where in controlling area currency, COPA currency and POCA currency will be changed . Along with that all the three company code currency will be changed. 3rd local currency will be changed for all the company codes and chnage of client currency

2  Currency Conversion including change in controlling area currency - controlling area currency, COPA currency and POCA currency will be changed.Along with that all the three company code currency will be changed. No change of 3rd local curency and no change in client currency

3.Currency Conversion -  controlling area currency, COPA currency and POCA currency will be changed.Along with that all the three company code currency will be changed.Change of client currency. Deletion of second and third local currency for all company codes

Business is interested in option 1

Can you please help me in understanding the impact for the above option

Thanking you in Anticipation

Regards

Prasad

[kamalkumar_biswas2 · Accepted solution]

Hi

  I think option 1 is the best because at least controlling area for all instances will come to synchronize under single CO area...

  Changes in 3 CCode currency will only impact on old data which SAP will take care only your team should check and validate it very seriously.

  3rd local currency change for all CCodes also a right decision in option 1 if SAP helps to conversion

     So..in my opinion option 1 is best....

[former_member193513 · Accepted solution]

Hi Kamal

Thanks for your reply

Even business is looking at option 1

How can we check the correctness of conversion

I suppose, from consulting side, we do need to assist in business confirming that the conversion hasnt ipmacted anywhere and pre equavalent and post conversion balances are same

how can we check the correctness of convesrion from CO side

Any pointers on this

Thanking you in Anticipation

Regards

Prasad

[kamalkumar_biswas2 · Accepted solution]

Hi Prasad

   It's really very tough answer from CO point...however if I am in place only could see some CO header and line item table for plan and actual with pre conversion and post conversion proposition.

   It's really not possible to verify at every CO transaction level especially CO internal transactions,

[kamalkumar_biswas2 · Accepted solution]

Hi Prasad

   It's really very tough answer from CO point...however if I am in place only could see some CO header and line item table for plan and actual with pre conversion and post conversion proposition.

   It's really not possible to verify at every CO transaction level especially CO internal transactions,

[former_member193513 · Accepted solution]

Hi Kamal

Thanks for your reply

Completely agreed that it is nopt possible to check at every CO level

But do we have any reports to check apart from table level

Since business user involvement will also be there

And also how can we check the integrity of additional local currency change over for all the company codes

And we also need to check the SPL changes pre and post

Thanking you in Anticipation

Regards

Prasad

[kamalkumar_biswas2 · Accepted solution]

Hi Prasad

  Ask SAP to provide you 2 check list ...one for consultant level and other for user level..

  Then proceed accordingly which will be the right way of validation

[former_member193513 · Accepted solution]

HI Kamal

I am afraid that SAP would consider that as a consulting issues

Thanks

Regards

Prasad

[kamalkumar_biswas2 · Accepted solution]

Hi Prasad

    Nice discussion...

    Thanks

[former_member193513 · Accepted solution]

Hi All

Any pointers on this would be highly appreciated

Thanking you in Advance

Regards

Prasad

[former_member193513 · Accepted solution]

Hi All

Any pointers on this would be highly appreciated

Thanking you in Advance

Regards

Prasad

[former_member193513]

Hi

Any pointers on this would be higly appreciated

Thanks in Advance

Regards

Prasad