SAP Contract and Lease Management

This solution enables the parallel valuation of rental and leasing contracts according to different accounting principles for lease-in and lease-out relationships. Based on these valuations, postings are made in Asset Accounting and in the financial statement.

STRATEGY

Supporting the Full Leasing Lifecycle
Contract Closeout / Renewal
  • Management of termination options
  • Execution of renewal options
Compliance
  • Lease classification
  • Calculation lease valuations
  • Manage valuation modification
Rating and Classification
  • Structured communication
  • Track lease progress
  • Document versions and tracking
Contract Execution
  • Contract abstraction
  • Assignment of CO cost objects
  • Document terms and conditions
Administration
  • Manage terms and conditions
  • Monitor critical dates and options
  • Generate letters and correspondence
Direct integration with SAP Finance to simplify compliance with IFRS 16 and US GAAP ASC 842
Functional Overview
  • Supports the full lifecycle of the contract (create, maintain, post to FI, adjustment, renewal, give notice)
  • Different contract types
  • Integration into SAP Financials
  • IFRS 16 / US GAAP ASC 842 compliant
  • Adjustment process
  • Sales based rent
  • Reminder dates
  • Integration to other SAP components
  • CAM / Service charge settlement
  • Document management
Supporting IFRS 16 and US GAAP ASC 842 Compliance
SAP Contract and Lease Management is built on the integrated contract management functionality of the SAP Real Estate Management application and leverages IFRS 16 and US GAAP ASC 842 enhancements.
  • Valuation and Classification
  • Multi-GAAP Posting
  • Contract Management
Capabilities

Detailed Contract Management Solution

Integration with SAP S/4HANA or SAP ECC to Help Ensure Consistent Financial Insight

Capabilities

Direct Finance Integrated Cash Flow with Tax Management and Multi-Currency Functionality

Support for New Leasing Regulations with Full Financial Integration

Integration with Accrual Engine, Cash Management and SAP BI

BENEFITS

Benefits

Easy to use, personalized, and simplified user experience with SAP Fiori

Open, flexible, and expandable system that supports on-trend functionality
Flexible, scalable IT infrastructure, and fast, mobile accessibility to Big Data
Improved user productivity by simplifying day-to-day tasks