BENEFITS OF SAP GENERAL LEDGER OVER CLASSIC GENERAL LEDGER

The SAP General Ledger ( Formally called New GL) in mySAP ERP has the following advantages over the Classic General Ledger in R/3 Enterprise:

  • Parallel Accounting: In the new General Ledger, you can carry out parallel accounting using accounting solution (as in R/3) or using ledger solution ledgers. mySAP provides standard functions and reports to cater  parallel accounting.
  •  Segmental Reporting: mySAP comes with a new entity called “Segment”. Now with SAP GL you can use new entity for segmental reporting to comply IAS, U.S. GAAP reporting requirements.
  •  Extended Data Structure: in mySAP SAP has provides brand new total table [FAGLFLEXT], actual line item table [FAGLFLEXA], and plan line item table [FAGLFLEXP] with addition field dimension. In addition, you can enhance these new tables with user-defined fields. Many standard reports can evaluate the information from the user-defined fields.
  •  Document Splitting: In mySAP financial you can use the new ‘Document Splitting’ function (online split), which helps you to create financial statements at company code level, segment level, profit center level. For each document, the system then creates a zero balance for the relevant entity, for example, for the segment.
  • FI CO Reconciliation: Due to document splitting and real-time from FI to CO and CO to FI, you no longer have to carry out time-consuming reconciliation task between FI and CO for the end of period.
  •  Tracebility: In mySAP ERP financial, now you can navigate from CO to FI. In addition this new enhanced future, now you can see individual line that originated in CO and posted to FI. In classic general ledger system generate a summarized posting when you run reconciliation posting.  Due to real-time posting, now system generates financial posting for every CO lines those crosses organizational dimensions ( of course you need configuration for this)
  •  User Interface: The new General Ledger uses the same interfaces as the General Ledger in R/3. As a result, users do not require any additional training.
  •  Reduced Components: In classic general ledger SAP customers uses various SAP components to achieve reporting requirements, for example General ledger accounting, special general ledger, profit center accounting etc.. In SAP GL, SAP has combined together functionalities of these components in a packaged solution.
  •  Reduction in closing activities: With implementation of mySAP ERP, you can certainly reduce some of the activities for your closing activities, these are;
  • You no need to CO FI reconciliation ledger;
  •  In classic GL you need run various transactions for to carry balance carry forward, now in mySAP GL, you can achieve this by running one transaction code.
  •  You need not to run balance sheet and income statement adjustment.
  •  Drilldown Reporting: In mySAP  SAP provides drilldown reports for general ledger, accounts payable, accounts receivable. In drilldown reports you can navigate from one dimension to another while you are in the reports.
Further Reading