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SAP BPC:

SAP Business Planning and Consolidation

As an established EPM tool, SAP BPC has a number of particular strengths. It combines planning and financial consolidation in one tool and is based on a mature technology that is firmly integrated into SAP environments.

Perspective: Planning in the cloud:

Thanks to the close connection to SAP BW/4HANA and SAP S/4HANA, planned and actual data can be consistently merged and analyzed in real time. In addition, business users benefit from familiar interfaces (e.g. Microsoft Excel via Analysis for Office) and proven workflow functions for approvals and reconciliations.

At the same time, it should be noted that SAP BPC is technically based on the SAP BW data warehouse. However, SAP is increasingly focusing strategically on the new cloud data platform SAP Datasphere as the central data foundation, while traditional SAP BW solutions will play a lesser role in the future.

Although SAP BPC continues to be supported as an on-premises solution and is expressly recommended for existing customers, most innovations are now flowing into cloud-based solutions such as SAP Analytics Cloud.

SAP BPC vs. SAC?

SAP Analytics Cloud (SAC) is one such cloud-based option for integrated planning. SAC combines planning, reporting and analysis in a completely web-based application and uses the in-memory technology of SAP HANA Cloud for fast evaluations.

This allows departments to implement planning processes agilely and largely independently - supported by modern functions such as built-in forecasts (predictive planning), machine-learning-supported simulations and collaboration tools.

However, unlike SAP BPC, SAC does not have an integrated consolidation function. Instead, SAP offers the separate solution S/4HANA Finance for Group Reporting for legal consolidated financial statements.

In practice, both planning tools can also be combined to take advantage of their respective benefits. For example, the established BPC planning logic can continue to be used in the background, while SAC serves as a modern front end for data input, visualization and collaborative control.

The following table provides a comparative overview of the two solutions:

Criterion SAP BPC SAP SAC
Architecture On-premises solution, runs on SAP BW/4HANA (ABAP-based); optional hybrid operation with SAC possible (live connection). Cloud-native SaaS solution on the SAP Business Technology Platform (in-memory SAP HANA); quarterly automatic updates.
Range of functions Integrated planning and financial consolidation in one tool; extensive functions for budgeting, forecasting and closing processes; Excel add-in and web interface for planning and reporting. Integrated planning, forecasting and BI/analytics in one solution; collaboration functions and AI-supported planning features; no built-in legal consolidation (consolidated financial statements require e.g. group reporting).
Integration basis Deeply anchored in the SAP ecosystem: uses SAP BW/4HANA as a database and InfoProvider; real-time connection to SAP S/4HANA for actual data; access to SAP and non-SAP data via BW extractors and interfaces. Flexible data model in the cloud; connection to SAP and non-SAP data sources (e.g. S/4HANA, BW, SQL, CSV) via live connections or data imports; data storage on SAP HANA Cloud.
Target group Companies with complex financial planning and consolidation requirements; typically existing customers with SAP BW landscape or on-premises strategy; need for maximum control over data, processes and security requirements. Companies with a cloud strategy and cross-divisional planning initiatives; specialist departments with a desire for self-service planning and rapid implementation; reduced dependency on IT thanks to a user-friendly front end.
Future prospects Proven, mature solution with full SAP support; however, less further development expected as SAP focuses on cloud solutions. Strategic SAP planning platform of the future; active further development by SAP (continuous roadmap and releases); at the center of the SAP analytics and planning offensive in the long term.

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