Advanced payment management in SAP S/4 HANA
Advanced Payment Management (APM) in SAP S/4 HANA acts as unified payment hubs, providing various payment methods to be received and processed through a single core transaction medium. In 2018, SAP Financial Services announced S/4 HANA Advanced Payment Management, based on the same architecture as SAP Financial Services’ Payment Engine.
SAP APM enhances reliability across all transactions and enables a unified payment control structure across all payment streams. With the help of a consolidated payment hub, businesses can shorten the time it takes to adopt additional payment channels, which could be from multiple ERPs.
SAP’s Future Payments Initiative:
From seller to user, everything is seamlessly connected.
Ontime, you’ll be able to execute and settle your transaction.
Safe and Effective:
Every transaction is monitored from the payer to the receiver securely and transparently.
With increased transparency in overhead expenses, there is a possibility for decreased prices.
SAP APM offers capabilities that are not available in other SAP Treasury modules.
Straight Through Processing (STP):
- Automatic generation of outbound transaction media can be triggered by inbound processing, ideally suitable for real-time payment events.
Advanced verification and enhancement processes with routing flexibility:
- The user can control payment routing proactively since it is not part of the system configuration.
- Verifications & Enhancement provides a more excellent command over the payment data flow, regardless of the transaction destination source.
Flexible payment data integration in a global system environment:
- Inbound transaction data in any setup is processed into single transaction elements, which can be verified independently.
Benefits of implementing APM:
- With the help of Dynamic Routing of Payments, organizations can significantly control their payment activity by implementing SAP APM.
- Now it’s much easier to collect and track transaction data, such as payroll, across all payment sources.
- The advanced payment method can now have the ability to be scaled across various ERPs and financial sectors.
- It facilitates the transfer of payments from various sources to an external organization through a unified method.
- The potential to receive and deliver information in various forms, along with the ability to convert between them depending on the user’s needs, is also a positive aspect.