End of SAP EC-CS support for SAP S/4HANA

SAP EC-CS - the integrated consolidation solution without a future

The classic SAP EC-CS is still the application of choice for corporate groups when it comes to a secure consolidation solution integrated into SAP ERP (6.0) without an additional SAP Business Warehouse. To date, this also applies to groups that have already migrated to SAP S/4HANA but initially wanted to refrain from using a new solution for legal group reporting. Another advantage is the integration of general ledger accounting, consolidated financial statements and group reporting in one application, especially if the majority of group companies use a central ERP system.

SAP announces premature end of EC-CS compatibility for SAP S/4HANA.

In the current SAP note (#2371973), SAP EC-CS is now being discontinued. On December 31, 2025, maintenance for Enterprise Controlling (EC) Consolidation (CS) in the context of SAP S/4HANA will end.

According to the above SAP note, this has far-reaching consequences:

The license for the use of EC-CS in SAP S/4HANA expires at the end of 2025, which means that EC-CS may no longer be legally used after that date.
Before this license expires, i.e. by the end of 2025 at the latest, the switch to an alternative solution for preparing consolidated financial statements, such as SAP S/4HANA Finance for Group Reporting, must be completed.

Fast action is now required!

Thorough planning and preparation is an important prerequisite for the successful implementation of SAP solutions for group reporting. Companies need to carefully analyze their business processes to ensure that the chosen SAP solution meets their requirements. Ideally, processes can also be improved in order to leverage previously unused potential in conjunction with a new consolidation solution.

Recognize and exploit opportunities and potential!

Thorough planning and preparation is an important prerequisite for the successful implementation of SAP solutions for group reporting. Companies must analyze their business processes in detail to ensure that the chosen SAP solution meets their requirements. Ideally, processes can also be improved in order to leverage previously untapped potential in conjunction with a new consolidation solution.

SAP S/4HANA for Group Reporting as a new strategic solution replaces SAP EC-CS.

SAP S/4HANA is a modern enterprise resource planning (ERP) system that enables comprehensive automation of finance and controlling processes. This in turn is the prerequisite for real-time reporting in accounting and profit and loss and market segment accounting.

Group Reporting, which is integrated into SAP S/4HANA, extends this comprehensive insight into the Group's consolidated financial data. Thanks to the integration of internal and external Group reporting and the consolidation of actual and plan data, SAP S/4HANA for Group Reporting gives you an overview of your company's performance at all times.

The new strategic solution SAP S/4HANA for Group Reporting for the preparation of consolidated financial statements and group reporting has the following specific advantages over EC-CS, among others:

Integrated financial data management: SAP S/4HANA enables integrated financial data management, making it easier for companies to manage and report financial data quickly and easily.
Automation of the record to report process: With SAP S/4HANA, many manual steps in the record to report process can be automated, resulting in more efficient management of financial data and more accurate monitoring.
Data analysis and presentation: SAP S/4HANA provides a range of data analysis and presentation capabilities, including graphs, tables and dashboards, enabling companies to visualize financial data quickly and easily.
Increased transparency: SAP S/4HANA for Group Reporting provides organizations with increased transparency in monitoring and reporting their financial data, making it easier to make decisions and measure business performance.
Real-time reporting: With SAP S/4HANA for Group Reporting, companies can access up-to-date financial data in real time, enabling them to make quick and informed decisions.
Reduced costs: SAP S/4HANA for Group Reporting helps companies automate manual processes and manage data more efficiently, resulting in reduced costs.

How does the transition from EC-CS to Group Reporting take place?

EC-CS and Group Reporting have a high degree of conceptual similarity in some areas. In this respect, it is possible to convert a productive EC-CS including customizing settings and transaction data into Group Reporting. However, this conversion already requires numerous manual activities and not every functionality can be transferred unchanged. In this respect, a time frame of four to six months is realistic for this purely technical conversion, including tests.
The conversion of financial consolidation from EC-CS to Group Reporting is also not a sure-fire success, despite the similarities between the two products, as Group Reporting brings with it a number of new features and innovations, for example:

Modernized operation exclusively via SAP Fiori in conjunction with a web browser
Significantly closer integration of General Ledger Accounting and Consolidation with a direct impact on processes in Financial Accounting (FI) and Controlling (CO) or the comprehensive General Ledger Accounting journal
New solution for intercompany matching and intercompany elimination
Need to transfer previous Report Painter, Report Writer and drilldown reports to web and Excel-based reports (embedded analytics)

It often makes sense to combine the introduction of a new consolidation solution with the optimization and further development of group reporting in order to improve the quality and information content of the consolidated financial statements. In this case, the period for conception,
implementation and roll-out can also be significantly longer - a framework of 9 to 14 months is an initial guideline.

CALEO is your experienced partner for group reporting with SAP

Successful implementation of SAP solutions for group reporting requires close cooperation between IT, the specialist department and an experienced SAP consulting company. As a specialist in group reporting with SAP and decades of project experience, we are happy to support you in the planning, implementation and optimization of your SAP solution and ensure that the solution meets your requirements. We would be happy to share our extensive practical experience in converting EC-CS to Group Reporting with you in an initial meeting.

Take the initiative now - we will be happy to support you!

At CALEO, we focus on all SAP consolidation solutions - in addition to Group Reporting, we have extensive knowledge of SAP BCS/4HANA and SAP BPC.

Thanks to our more than twenty years of expertise and openness, we can determine the optimal product for your requirements in dialog with you. By combining technological expertise and business knowledge, we translate the requirements of IT decision-makers and Group Accounting management alike into efficient concepts and solutions.

Take the opportunity to raise your group reporting and corporate management to a new level - we look forward to hearing from you and will be happy to contribute to your success with our expertise!