SAP S/4HANA Business Process Integration Certification Guide: Application Associate Exam (2021)

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Dear Reader,
In college, an upcoming exam meant three things: little sleep, lots of stress, and a very
heavy bookbag.
As an English major, I often found that the books I needed to study exceeded the space
on my desk. Between the stacks of novels, compendiums of literary theory, and collec-
tions of short stories and poetry, the reading material felt endless. It was often difficult
to know exactly what would appear on a test—I remember one particular late-night
study session spent agonizing over Shakespeare’s 154 sonnets—and the test format
itself could often be a mystery.
Luckily, when it comes to your SAP S/4HANA business process integration exam, this
book is your one-stop shop. Instead of Dickens, Twain, and Tolstoy on your test, you’ll
review financial accounting, procurement, plant maintenance, and so on—all of which
are covered within these pages. Plus, you’ll find no better instructor than Murat Adivar,
who will expertly prepare you for what to expect on exam day, teach you the core topics,
and reinforce your knowledge with practice questions and answers. You’ll be ready to
make the grade with less stress, more sleep, and a much lighter bookbag!
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The Library of Congress has cataloged the printed edition as follows:
Names: Adivar, Murat, author.
Title: SAP S/4HANA business process integration certification guide :
application associate exam / by Murat Adivar.
Description: 1st edition. | Bonn ; Boston : SAP Press ; Rheinwerk
Publishing, 2021. | Includes index.
Identifiers: LCCN 2021014604 | ISBN 9781493220670 (hardcover) | ISBN
9781493220687 (ebook)
Subjects: LCSH: SAP HANA (Electronic resource)--Examinations--Study guides.
| Management information systems--Examinations--Study guides. |
Business--Data processing--Management. | Enterprise resource planning. |
Database management--Certification--Study guides. | Database
management--Examinations--Study guides.
Classification: LCC HD30.213 .A27 2021 | DDC 650.0285/53--dc23
LC record available at https://lccn.loc.gov/2021014604
ISBN 978-1-4932-2067-0 (print)
ISBN 978-1-4932-2068-7 (e-book)
ISBN 978-1-4932-2069-4 (print and e-book)
© 2021 by Rheinwerk Publishing, Inc., Boston (MA)
1st edition 2021

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7
Contents
Preface ..................................................................................................................................................... 15
Introduction: The Path to Certification ........................................................................................ 19
1 SAP S/4HANA Basics 35
1.1 Objectives of This Portion of the Test ........................................................................ 36
1.2 SAP S/4HANA Suite ............................................................................................................ 37
1.2.1 Motivators and Technology Enablers ............................................................ 37
1.2.2 Components ........................................................................................................... 39
1.2.3 Key Characteristics ............................................................................................... 43
1.3 The Intelligent Enterprise ................................................................................................ 46
1.3.1 The Intelligent Suite and Enhanced Business Processes ......................... 46
1.3.2 Intelligent Technologies ..................................................................................... 48
1.3.3 Industry Cloud ....................................................................................................... 48
1.3.4 SAP Business Technology Platform ................................................................ 48
1.4 SAP Fiori ................................................................................................................................... 50
1.4.1 Design and Dimensions ..................................................................................... 50
1.4.2 SAP Fiori Launchpad ............................................................................................ 52
1.4.3 Application Types ................................................................................................. 54
1.5 System-Wide Concepts ..................................................................................................... 54
1.5.1 Data ........................................................................................................................... 55
1.5.2 Client ......................................................................................................................... 57
1.5.3 Transactions ........................................................................................................... 57
1.5.4 Documents ............................................................................................................. 59
1.5.5 Outputs .................................................................................................................... 60
1.6 Business Process Integration .......................................................................................... 61
1.7 Important Terminology .................................................................................................... 61
1.8 Practice Questions ............................................................................................................... 64
1.9 Practice Question Answers and Explanations ........................................................ 67
1.10 Test Takeaway ...................................................................................................................... 70

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Contents8
2 Core Finance: Financial Accounting 71
2.1 Objectives of This Portion of the Test ........................................................................ 73
2.2 Data Structures for Financial Accounting ................................................................. 73
2.2.1 Organizational Data ............................................................................................ 73
2.2.2 Master Data ............................................................................................................ 75
2.2.3 Data Assignments ................................................................................................ 80
2.3 Key Processes of Financial Accounting ...................................................................... 81
2.3.1 General Ledger Accounting ............................................................................... 81
2.3.2 Accounts Payable .................................................................................................. 98
2.3.3 Accounts Receivable ............................................................................................ 99
2.3.4 Asset Accounting .................................................................................................. 99
2.4 Integration with Other Modules .................................................................................. 108
2.4.1 Integration via Cross-Module Data Assignments ..................................... 108
2.4.2 Integration via Transactions ............................................................................. 109
2.5 Important Terminology .................................................................................................... 111
2.6 Practice Questions ............................................................................................................... 114
2.7 Practice Question Answers and Explanations ........................................................ 119
2.8 Test Takeaway ...................................................................................................................... 124
3 Core Finance: Management Accounting 125
3.1 Objectives of This Portion of the Test ........................................................................ 127
3.2 Data Structures for Management Accounting ....................................................... 127
3.2.1 Organizational Data ............................................................................................ 128
3.2.2 Master Data ............................................................................................................ 130
3.2.3 Data Assignments ................................................................................................ 133
3.3 Key Processes of Management Accounting ............................................................. 133
3.3.1 Cost Element Accounting .................................................................................. 134
3.3.2 Cost Center Accounting ..................................................................................... 136
3.3.3 Activity-Based Costing ........................................................................................ 146
3.3.4 Internal Orders ...................................................................................................... 147
3.3.5 Profitability Analysis and Sales Controlling ................................................. 151
3.3.6 Product Cost Accounting ................................................................................... 155
3.3.7 Profit Center Accounting ................................................................................... 158
3.4 Integration with Other Modules .................................................................................. 161
3.4.1 Integration via Cross-Module Data Assignments ..................................... 161
3.4.2 Integration via Transactions ............................................................................. 163

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Contents 9
3.5 Important Terminology .................................................................................................... 166
3.6 Practice Questions ............................................................................................................... 169
3.7 Practice Question Answers and Explanations ........................................................ 175
3.8 Test Takeaway ...................................................................................................................... 180
4 Source-to-Pay Processing 183
4.1 Objectives of This Portion of the Test ........................................................................ 185
4.2 Data Structures for Source-To-Pay .............................................................................. 185
4.2.1 Organizational Data ............................................................................................ 186
4.2.2 Master Data ............................................................................................................ 188
4.2.3 Data Assignments ................................................................................................ 201
4.3 Key Processes of Source-to-Pay ..................................................................................... 204
4.3.1 Determination of Requirements ..................................................................... 205
4.3.2 Source of Supply Determination ..................................................................... 209
4.3.3 Vendor Selection ................................................................................................... 211
4.3.4 Purchase Order Handling ................................................................................... 211
4.3.5 Goods Receipt ........................................................................................................ 215
4.3.6 Invoice Verification .............................................................................................. 221
4.3.7 Payment ................................................................................................................... 223
4.4 Integration with Other Modules .................................................................................. 224
4.4.1 Integration via Cross-Module Data Assignments ..................................... 224
4.4.2 Integration via Transactions ............................................................................. 225
4.4.3 SAP Ariba Integration .......................................................................................... 226
4.5 Important Terminology .................................................................................................... 227
4.6 Practice Questions ............................................................................................................... 228
4.7 Practice Question Answers and Explanations ........................................................ 233
4.8 Test Takeaway ...................................................................................................................... 236
5 Lead-to-Cash Processing 237
5.1 Objectives of This Portion of the Test ........................................................................ 239
5.2 Data Structures for Lead-to-Cash ................................................................................. 240
5.2.1 Organizational Data ............................................................................................ 240
5.2.2 Master Data ............................................................................................................ 243
5.2.3 Data Assignments ................................................................................................ 249

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Contents10
5.3 Key Processes of Lead-to-Cash ...................................................................................... 251
5.3.1 Order-to-Cash Overview .................................................................................... 252
5.3.2 Sales Order Handling .......................................................................................... 254
5.3.3 Outbound Delivery Handling ........................................................................... 265
5.3.4 Billing ........................................................................................................................ 275
5.4 Integration with Other Modules .................................................................................. 279
5.4.1 Integration via Cross-Module Data Assignments ..................................... 279
5.4.2 Integration via Transactions ............................................................................. 279
5.5 Important Terminology .................................................................................................... 281
5.6 Practice Questions ............................................................................................................... 283
5.7 Practice Question Answers and Explanations ........................................................ 288
5.8 Test Takeaway ...................................................................................................................... 292
6 Design-to-Operate Processing 295
6.1 Objectives of This Portion of the Test ........................................................................ 297
6.2 Data Structures for Design-to-Operate ..................................................................... 297
6.2.1 Organizational Data ............................................................................................ 298
6.2.2 Master Data ............................................................................................................ 298
6.2.3 Data Assignments ................................................................................................ 312
6.3 Key Processes of Design-to-Operate ........................................................................... 313
6.3.1 Strategic Planning ................................................................................................ 314
6.3.2 Demand Management ....................................................................................... 316
6.3.3 SAP Integrated Business Planning .................................................................. 316
6.3.4 Detailed Planning ................................................................................................. 317
6.3.5 Manufacturing Control and Execution ......................................................... 327
6.4 Integration with Other Modules .................................................................................. 341
6.4.1 Integration via Cross-Module Data Assignments ..................................... 341
6.4.2 Integration via Transactions ............................................................................. 342
6.5 Important Terminology .................................................................................................... 344
6.6 Practice Questions ............................................................................................................... 346
6.7 Practice Question Answers and Explanations ........................................................ 352
6.8 Test Takeaway ...................................................................................................................... 356

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Contents 11
7 Enterprise Asset Management 359
7.1 Objectives of This Portion of the Test ........................................................................ 360
7.2 Data Structures for Enterprise Asset Management ............................................. 361
7.2.1 Organizational Data ............................................................................................ 361
7.2.2 Master Data ............................................................................................................ 363
7.2.3 Data Assignments ................................................................................................ 371
7.3 Key Processes of Enterprise Asset Management ................................................... 372
7.3.1 Maintenance Notification ................................................................................. 373
7.3.2 Maintenance Planning ....................................................................................... 375
7.3.3 Maintenance Control .......................................................................................... 379
7.3.4 Maintenance Execution ..................................................................................... 380
7.3.5 Maintenance Completion .................................................................................. 381
7.4 Integration with Other Modules .................................................................................. 386
7.4.1 Integration via Cross-Module Data Assignments ..................................... 386
7.4.2 Integration via Transactions ............................................................................. 387
7.5 Important Terminology .................................................................................................... 388
7.6 Practice Questions ............................................................................................................... 390
7.7 Practice Question Answers and Explanations ........................................................ 395
7.8 Test Takeaway ...................................................................................................................... 398
8 Inventory, Warehouse, and Transportation
Management 399
8.1 Objectives of This Portion of the Test ........................................................................ 401
8.2 Inventory Management .................................................................................................... 402
8.2.1 Organizational Data ............................................................................................ 402
8.2.2 Goods Movements ............................................................................................... 403
8.2.3 Documents for Goods Movements ................................................................ 410
8.3 Warehouse Management ................................................................................................ 411
8.3.1 Organizational Data ............................................................................................ 412
8.3.2 Centralized Warehouse Management .......................................................... 414
8.3.3 Decentralized Warehouse Management ..................................................... 416
8.4 Extended Warehouse Management ........................................................................... 417
8.5 Transportation Management ........................................................................................ 419

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Contents12
8.6 Integration with Other Modules .................................................................................. 422
8.6.1 Integration via Cross-Module Data Assignments ..................................... 422
8.6.2 Integration via Transactions ............................................................................. 422
8.7 Important Terminology .................................................................................................... 424
8.8 Practice Questions ............................................................................................................... 426
8.9 Practice Question Answers and Explanations ........................................................ 432
8.10 Test Takeaway ...................................................................................................................... 435
9 Project System 437
9.1 Objectives of This Portion of the Test ........................................................................ 438
9.2 Data Structures for Project System ............................................................................. 439
9.2.1 Project Structuring Elements ........................................................................... 439
9.2.2 Data Assignments ................................................................................................ 451
9.3 Key Processes of Project System ................................................................................... 452
9.3.1 Project Planning .................................................................................................... 453
9.3.2 Project Budgeting ................................................................................................. 456
9.3.3 Project Execution .................................................................................................. 457
9.3.4 Period-End Closing ............................................................................................... 461
9.4 Integration with Other Modules .................................................................................. 463
9.4.1 Integration via Cross-Module Data Assignments ..................................... 463
9.4.2 Integration via Transactions ............................................................................. 465
9.5 Important Terminology .................................................................................................... 466
9.6 Practice Questions ............................................................................................................... 467
9.7 Practice Question Answers and Explanations ........................................................ 471
9.8 Test Takeaway ...................................................................................................................... 474
10 Hire-to-Retire Processing 477
10.1 Objectives of This Portion of the Test ........................................................................ 479
10.2 Data Structures for Hire-to-Retire ............................................................................... 479
10.2.1 Organizational Structures ................................................................................. 479
10.2.2 Master Data ............................................................................................................ 485
10.2.3 Data Assignments ................................................................................................ 489

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Contents 13
10.3 Key Processes of Hire-to-Retire ..................................................................................... 490
10.3.1 Hire-to-Retire Tasks ............................................................................................. 490
10.3.2 Human Capital Management versus Human Experience
Management ....................................................................................................... 491
10.3.3 SAP SuccessFactors Employee Central .......................................................... 495
10.3.4 Self-Service Tools .................................................................................................. 496
10.4 Integration with Other Modules .................................................................................. 497
10.4.1 Integration via Cross-Module Data Assignments ..................................... 497
10.4.2 Integration via Transactions ............................................................................. 498
10.5 Important Terminology .................................................................................................... 498
10.6 Practice Questions ............................................................................................................... 500
10.7 Practice Question Answers and Explanations ........................................................ 503
10.8 Test Takeaway ...................................................................................................................... 505
The Author ............................................................................................................................................. 507
Index ........................................................................................................................................................ 509
Service Pages ..................................................................................................................................... I
Legal Notes ......................................................................................................................................... I

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15
Preface
Welcome to the C_TS410 certification guide. This book is specifically written as
support material for those preparing for the SAP Certified Application Associate –
Business Process Integration with SAP S/4HANA (C_TS410_1809, C_TS410_1909, or
C_TS410_2020) exam. We’ll mainly focus on business processes and their integra-
tions with the SAP S/4HANA intelligent enterprise suite. This book can also help
application consultants, business process architects, program/project managers,
and enterprise architects by providing a comprehensive overview of all business
processes within SAP S/4HANA.
Using this book, you’ll gain a thorough understanding of the exam’s structure.
You’ll learn to navigate an SAP S/4HANA system, describe how various business
transactions are performed in SAP S/4HANA, and explain the integration points
between applications within the SAP S/4HANA intelligent enterprise.
How This Book Is Organized
This book’s content is aligned with the SAP TS410 course syllabus and the C_TS410
certification exam structure. All the information provided in this book is relevant
to what you’ll need to know for the exam. We’ll introduce you to SAP products and
their supported business processes using real-world scenarios, figures, and
straightforward language. Each chapter in this book ends with a section of practice
questions to help test your knowledge of specific topic areas on the certification
exam. We’ll introduce you to several versions of the certification exam, test-taking
techniques, and alternative ways to learn in the Introduction.
Now that you have an idea of how this book is structured, let’s briefly look at the
particular topics covered in each chapter:
Chapter 1: SAP S/4HANA Basics
In this chapter, we cover all basic certification-related concepts of SAP S/4HANA.
We explain the technology enablers of and the motivation behind developing a
new business suite that runs natively on SAP HANA. We outline the compo-
nents of the intelligent enterprise framework and introduce SAP Fiori, SAP’s
next-generation user experience (UX). We conclude the chapter by highlighting
some system-wide concepts (e.g., organizational data, master data, transac-
tions, documents, outputs) that are essential for the certification exam.

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