BPC OVERVIEW

Business Planning and Consolidation

BPC helps to perform planning, budgeting, and forecasting tasks, along with
financial consolidation and reporting.

Planning Areas Common Scenarios

Finance

Gross Margin profit Planning: The revenue obtained through the sale of a companys
products, along with the costs that are incurred to produce or buy the product, is
planned under this scenario.

Cost Center Planning: Cost center planning is done for operational, nonoperational, and
capital expenditure costs the company will incur at various cost center levels.

Asset Planning: Asset planning is concerned with planning for the purchase of new assets
and the disposal and maintenance of existing assets, based on the companys objective to
deliver products to its customers.

Human Resources: workforce requirements can be planned when there is a shortage of

employees in the industry, youll have to make decisions about whether to hire new
employees, train existing employees on new technologies or bring people in from the outside
as consultants to meet requirements

Sales: develop a plan to sell the companys products. The focus is on developing a marketing
plan that will be most beneficial to the company and help sell the companys products at the
optimal price.

Budgeting and Allocation

Budgeting is the process of allocating resources after the companys

management has approved and accepted the planning process. Its the start
of the action phase that follows the planning process.

Allocation: Planning may take place at a high level, and you may later
allocate the plan to lower levels. For example, you may need to allocate
planned expenses incurred by the corporate office to each of its divisions
based on some ratio, perhaps allocating corporate expenses to divisions based
on the planned revenues of each division. The logic to perform this allocation
is available in SAP BPC

Consolidation

The consolidation functionality of SAP BPC provides an environment to report

the financial results of your entire organization.

Data is pulled from the BW cubes once the data is uploaded.

Bpc will not be maintained at transaction level

BPC Dependencies

SAP BW: how is the data modeling done. Based on which the models will be
created in the sap bpc so as to picture the same dimensions and properties.

SAP FICO: Transactional details will be stored in the FI tables. Balances will be
pulled from the BW cubes. Finally the drilling down feature will be enabled.

Data Inputs:

Flat files: No validation, accuracy and no drilling down feature.

BW Cubes

Questions

Scope of BPC ?

How planning is done? Is it by each PIU or at company level.

When will BW team will be in place ?