Payroll Posting Outsourcing Solutions

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ADP Posting Interface to FICO

Product Description

-Author: Andreas Mau [email protected]

Klaus-Dieter Spatz [email protected]

KDS Software & Consulting, Inc 3715 Jefferson Court Redwood City, CA 94062

NOTICE

KDS Software & Consulting, Inc., reserves the right to claim the following document as intellectual property. No part of this document may be reproduced or transmitted in any form or for any purpose without the express permission of KDS Software & Consulting, Inc.. The information contained herein may be changed without prior notice.

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1 Payroll Posting Outsourcing Solution

1.1 Description

Currently SAP does not provide an outsourcing interface for payroll posting to FICO. The application introduced in this Product Description can handle the complexity of a generic posting interface to FICO. This inherently applies to all third party posting requirements or partial payroll outsourcing.

The application integrates non SAP payroll systems with SAP FICO. The following features are available

Basic

 Supports all vendors like ADP, ProBusiness, and other vendors

 Integrates in a familiar SAP way via standard HCM FI/CO process

 Simple installation

 Uses SAP standard symbolic account configuration

 Displays the exported IDOC file in a readable format

Custom Options

 Optional Grid/Tree view

 Multiple Outsourcing Provider Interface for subsidiaries with different implementations

 Custom Notifications

 Project Services Interface to WBS element assignments

 Overrides for incoming cost centers

 Public Sector: Funds/Grants assignments

 Public Sector: Distribution of liabilities according to Expenses possible

This solution does not require any modification to the current SAP Payroll Posting and Outsourcing applications. All components developed in this custom solution are standalone or interfaced with SAP applications via standard interfacing and service methods. The application seamlessly integrates with any partial SAP Payroll implementation.

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1.2 Customer Priorities

Here a comprehensive list of high customer priorities for Payroll Posting Outsourcing Solution: 1. Easy to use applications

2. Fast determination of payroll postings and their distribution 3. Ability to monitor posting details

4. Ability to extend the use of existing SAP components rather than solution replacements 5. Efficient performance

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2 Definition and Specifications

2.1 Definition

The scope of the payroll posting outsourcing solution is to allow generic interfacing with the currently existing SAP Payroll and FICO modules as well as utilizing parts of SAP’s ABAP infrastructure to support the data traffic in all processes.

Fig. 1.: Component diagram of a Payroll Posting Outsourcing Solution

2.2 Specifications

2.2.1 Key features

 Integrates all non SAP payroll systems with SAP FICO

 ADP, ProBusiness, and other vendors

 Integrates in a familiar SAP way via standard HCM FI/CO process

FICO Payroll Posting

Outsourcing Solution Configuration Add-On Options Posting Reporting Custom Notifications Cost Assignment Overrides Payroll Outsourcing Service Provider for Subsidiary A

Payroll Outsourcing Service Provider for Subsidiary B

Payroll Outsourcing Service Provider for

Subsidiary Z

Configuration, Payroll Data

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 Simple installation

 Uses SAP standard symbolic account configuration

 Seamless integration of traditional SAP Payroll Posting and custom add-on Posting Outsourcing

 Optional custom extensions

 Display exported IDOC (Master Data or Time IDOC) in a simple, readable format to the payroll user.

2.2.2 General Features

 define cost accounting assignments

 storage for incoming posting documents

 utilize cost accounting entities like cost center, fund, grant, profit center, etc. as balance base

 custom notification options for pre-/post-processing

 Configuration:

o Custom overrides for account assignments o SAP standard account assignments

2.2.3 System Requirements

 SAP HR release 4.6C, 4.70, ERP2003, ERP2004, ERP2005, or higher

2.3 Application

2.3.1 Description

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Fig. 2.: Data flow diagram of the Payroll Posting Outsourcing Solution

2.3.2 Shortcomings of the SAP Business Process Outsourcing for Payroll

The SAP system supports payroll outsourcing for net payroll on a complex level but only for no solution for complete payroll outsourcing. For example you want to outsource your entire payroll to a provider and only import the final FICO posting results. In such a case SAP does not provide a solution that can store the incoming posting documents.

As a supervisor you only want to have a list of all incoming posting items and see the total balance before posting to FICO. The custom solution proposed here will allow this in an easy way.

2.3.3 Solution

Outbound SAP IDOC (OTMU and OTTM) Display

Payroll Results

Payroll Posting Outsourcing

Application

/KDSSC/… Add-On Options

Reporting Posting Data

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01/14/10 Page 8 This report allows you to display all segments in a readable format, instead of using the IDOC display transaction.

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Inbound Posting Process

This process allows you to post the incoming posting file from the 3rd party vendor into your SAP FI/CO system.

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Fig. 5.: Summary view

2.4 Performance

The application will perform very fast. Only in the case that massive incoming posting data needs to be analyzed will performance be impacted.

2.5 Reliability

To approach software reliability1we utilize the best engineering methods to improve software reliability of our solutions. Before the deployment of software solutions, testing, verification and validation will be performed. Software testing in form of unit and acceptance tests is used to minimize the possibility of defect occurrences after release and therefore improve our

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According to ANSI, Software Reliability is defined as: the probability of failure-free software operation for a specified period of time in a specified environment. Software Reliability is an important attribute of software quality, together with functionality, usability, performance, serviceability, capability, installability, maintainability, and documentation. Software Reliability is usually hard to achieve, because the software complexity tends to be high.

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01/14/10 Page 12 software reliability. After deployment of our software solutions, field data will be gathered and analyzed to improve the software and provide updates as necessary.

2.6 Durability

We achieve software durability2through an pragmatic approach that combines object oriented techniques (OOTs) with formal description techniques (FDTs). OOTs help system analysts and designers to bring modularization and structure to the programs to permanently commit data changes. The main focus of FDTs is to ensure the correctness of the final system by the provision of extensive validation and verification methods.

2.7 Simplicity and Aesthetics

It is a requirement that the solution will be easy to use and to maintain. There should be no special knowledge needed to run the application. All of this should ultimately lead to a good user-perceived quality of the solution.

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In computer science, durability is the property that guarantees that transactions that are successfully committed will survive permanently and will not be undone by system failure.

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3 Serviceability and Maintenance

As defined in the Solution Definition and Specifications above various tables are to be created to allow proper configuration of the solution.

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