Automation of Credit Card Processing in SAP. Martha Confessore and Narayan Narsinghani

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Automation of Credit Card Processing in SAP

Martha Confessore and Narayan Narsinghani

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Introduction – Speakers

Martha Confessore – Wurth USA

Director IT at Wurth USA

An accomplished IT leader with more than 15 years of success delivering technical solutions with a strong ROI. Very strong in collaborating with global stakeholders to identify opportunities for business improvement through technology.

In-depth hands-on experience implementing and deploying SAP R/3 and ECC6

Narayan Narsinghani – eTeam Inc.

SAP Practice Leader

17+ years SAP Strategy, Planning and Implementation experience

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Real Experience. Real Advantage.

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Learning Points

Learn the fundamentals of credit card process in SAP and its

limitations.

Implementation solution overview, planning, lessons learned

and best practices.

How to protect credit cards using tokenization and get closer

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Return on Investment

DSO (Days Sales Outstanding) reduction

Payment received much faster than sending an invoice on net

terms

Fully integrated between Sales, Delivery and Billing processes

Speeds up the order and delivery process

Bad Debt reduction

Reduces the chances that payment won’t be received

Immediate credit limit check through issuing bank

Reduced credit investigation costs

FI Postings are made automatically throughout the process

Increased business volumes

Attraction to new customers

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Standard Credit Card Flow in SAP R/3

Princeton Payment Solutions ( Middleware )

FNMS ( Clearing House )

Frame Relay

Inter-corporate PVCS Web based XML

Sales & Distribution Finance Treasury

Authorization Settlement Deposits Fees

Clear Open G/L items Bank Settlement Settlement Sales Order Sales

Order DeliveryDelivery InvoiceInvoice Accounting Doc 1AR Invoice

AR Invoice Accounting Doc 1 Cleared CC Receivables Accounting Doc 2 Cleared CC Receivables Accounting Doc 2

Bank Deposit / Fees

Accounting Doc 3

Bank Deposit / Fees

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Implementation solution overview

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Project Scope

Creation of a streamlined, integrated, and PCI compliant

solution

Implement integrated Credit card solution to replace the existing

manual process.

Leverage the existing PPS products and FNMS communication

infrastructure at Sister company to accelerate the

implementation

Activation of tokenization using PPS CardSecure

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High Level Solution Summary

CardConnect Implementation with Processing Details

FNMS for Visa/ MasterCard / AMEX / Discover transactions

Currencies: USD

Processing level :Level I for all transactions Transaction Types: MOTO Only

Fraud Protection: AVS and CVV / CID Countries: USA, Canada

Payment Origination Points

SAP ECC 6.0 and Sales Web Portal

Additional PPS Utilities - CardEnhancements

Operational Reports (Authorization & Settlement)

CardClear

PrePay

Auth Reversal

CardSecure Encryption

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Implementation approach

Project Prep / Business Blueprint • Kickoff Meeting • Project plan and

Resource Definition • Project team logistics • Requirements Gathering

• SAP Business • SAP Technical (OSS) • SAP Landscape • Technical / Network • Processor

• Infrastructure

• Confirm project milestone dates and tasks

Realization

• SAP Configuration • Installation of PPS

software (SAP)

• Apply OSS notes (if req.) • Design and build Wurth

specific customizations (RICEF) • CardSecure Config. • CardConnect Config. • Cardclear Config. • Unit testing • OSS Notes • CardSecure • CardConnect • CardClear • Data Conversions • Reports • Security Roles Testing Final Preparation • Clearing house connectivity testing • Integration testing • Workflow / scenario testing • Documentation • Clearing house Certification test • Training • PPS Products • Super User • End User • Prepare Production environments • Cutover Process

Go Live and Support

• Fulfill pre-go-live checklist items

• Migrate SAP Changes • Data Conversions • PPS Product

configuration • Setup Batch Jobs

• Go-Live

• Fulfill post-go-live checklist

• Implementation team support and Production Stabilization

• Post Go-Live Review • Handover to Support

team • Wrap-up

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Best Practices

Accelerate credit card implementation

Use ASAP methodology for efficient and rapid implementation

Use SAP certified middleware products to connect to

Processors

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Key Learnings

Ensure timely delivery of merchant / bank information

Complete SAP Business Requirements as soon as you can. Prototypes are a great help gathering business requirements.

Avoid non-conformance to standard SAP processes / Extensive custom development

Identify Infrastructure issues / incompatibilities early

Network communication issues (i.e. proxy, firewall)

Processor Certification has needs a lot of planning

Robust communication plan with external parties (Sister company, Bank, FNMS, Inter-corporate communication lines) is essential

Be mindful of parallel or concurrent projects competing for shared resources

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How to protect credit cards using tokenization?

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Winning the PCI Compliance battle

PCI DSS

Build and Maintain a Secure Network

1. Install and maintain a firewall configuration to protect cardholder data

2. Do not use vendor-supplied defaults for system passwords and other security parameters

Protect Cardholder data

3. Protect stored cardholder data

4. Encrypt transmission of cardholder data across open, public networks

Maintain a Vulnerability Management Program

5. Use and regularly update anti-virus software

6. Develop and maintain secure systems and applications

Implement Strong Access Control Measures

7. Restrict access to cardholder data by business need-to-know 8. Assign a unique ID to each person with computer access

9. Restrict physical access to cardholder data

Regularly Monitor and Test Networks

10. Track and monitor all access to network resources and cardholder data 11. Regularly test security systems and processes

Maintain an Information Security Policy

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Wurth USA Louis and Company

High Level System Landscape

CardConnect SAP ECC 6.0 Credit Card Credit Card Processors / Merchant Bank FNMS Bank of America Deposit Notification Deposits Fees Authorization Settlement Router CardSecure SAP ECC 6.0 Batch WurthShop Tokenize Ajax Connector

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Thank you for participating.

SESSION CODE: 2492

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Narayan Narsinghani

nnarsinghani@eteaminc.com

Martha Confessore