SAP® BUSINESS PLANNING AND CONSOLIDATION 10.1, VERSION FOR SAP NETWEAVER, POWERED BY SAP HANA

STARTER KIT FOR IFRS, SP06 Configuration overview

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

TABLE OF CONTENTS FOREWORD ..................................................................................................................................................... 3 OVERVIEW OF THE APPLICATION ................................................................................................................ 4 Versions ............................................................................................................................................................ 4 Models............................................................................................................................................................... 4 Chart of Accounts ............................................................................................................................................ 4 LEGAL CONSOLIDATION (ACTUAL VERSION) ............................................................................................ 6 Data collection ................................................................................................................................................. 6 Consolidation process .................................................................................................................................... 8 BUDGET AND FORECAST REPORTING ..................................................................................................... 19 Principles common to budget and forecast versions ................................................................................ 20 Annual Budget (BA) ....................................................................................................................................... 25 Monthly Budget (BM) - Periodic approach .................................................................................................. 27 Monthly Budget (BM) - Year-to-date approach ........................................................................................... 29 Monthly Budget at Actual rate (BM_AR) ..................................................................................................... 31 September Forecast (F09) – Periodic approach ......................................................................................... 32 September Forecast (F09) – Year-to-date approach .................................................................................. 36 Presentation of “full view” reports .............................................................................................................. 38 SETS OF SAMPLE DATA .............................................................................................................................. 40 Set focused on legal consolidation (Actual) ............................................................................................... 40 Set demonstrating a full reporting process ................................................................................................ 40

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

FOREWORD The SAP Business Planning and Consolidation starter kit for IFRS is created to deliver business logic on top of a unified Corporate Reporting application including Legal consolidation, Budget and Forecast, using both product and functional best practices. This pre-configuration assists you in setting up your statutory consolidation application in order to adhere to IFRS while accelerating and securing the implementation project. It offers you also a set of versions to manage projected data The contents provided in the starter kit consist of reports, controls and rules for performing, validating and publishing:  a legal consolidation in accordance with IFRS  a corporate budget (annual and monthly) with reports comparing  monthly Actual data with budgeted data for the Statement of Profit or Loss  quarterly Actual data with projected data for the Statement of Cash Flows  a corporate forecast: update of the initial monthly budget at the end of September Note: The screenshots included in this documentation have not been updated to BPC version 10.1 and might not reflect the exact current user interface.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

OVERVIEW OF THE APPLICATION Versions The following versions have been configured to store data for the legal consolidation, budget and forecast reporting: Version

Purpose

A - Actual

Statutory consolidation

BA - Annual Budget

Next year budget on a yearly basis

BM - Monthly Budget

Next year budget on a monthly basis for the net income and on a quarterly basis for the statement of cash flows

BM_AR - Monthly Budget at actual rates Monthly budget converted at the current actual conversion rate F09 - September Forecast F09TEC1 - September Forecast

Update of the initial monthly budget at the end of September. Data entered at local sites for the period "January to December" is consolidated. Update of the initial monthly budget at the end of September. Data entered at local site for the period "October to December" is consolidated then aggregated to consolidated data of Actual at the end of September.

Models The following models have been configured to store data:  CONSOLIDATION: enter / load data on a year to date (YTD) basis, consolidate and retrieve it.  PERIODICENTRY: optional model configured in order to make it possible to enter data collected at subsidiaries’ level according the periodic approach for the Monthly budget and the September Forecast. This model is only dedicated to the data collection and doesn’t offer any consolidation capabilities. Data entered in this model is used to calculate year-to-date data that is transferred into the CONSOLIDATION model to be consolidated.  IC MATCHING: Intercompany data at local level existing in the CONSOLIDATION model is transferred in the ICMATCHING model to be converted and reconciled  RATES: stores the exchange rates  OWNERSHIP: stores the consolidation scopes. Chart of Accounts Account Typology The chart of accounts of the starter kit for IFRS is based on the IFRS Taxonomy. This chart of accounts enables financial statements to be presented following the requirements of IAS 1: Assets and liabilities are classified according to the current/non-current distinction and expenses are classified by function. The chart of accounts is presented in Chapter 1 of the appendix. Naming Convention for Accounts In the financial accounts, the first letter of the ID enables you to identify the accounting class: A for assets, E for equity, L for liabilities and P for profit and loss (income). Total accounts are indicated with a T as the first digit before the account number.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Example of financial accounts: Subtotal

Account

ID

Lands and buildings

A1110

Lands and buildings, Dep. Property, plant and equipment

A1120 TA110

Accounts corresponding to the lines of the Statement of Cash Flows have been created to store the items of the statement of cash flows entered in the Budget and Forecast versions, and calculated during the consolidation process for the Actual version. The first letter of these accounts is SCF and the subtotals ‘IDs begin with TSCF. Example of Statement of cash flows’ lines: Subtotal

Net cash flow from (used in) operating activities

Account

ID

Profit (Loss) Interests paid ….

SCF1000 SCF3100 TSCF300

Unified chart of accounts shared by all data versions (Actual, Budget, Forecast) The same Profit and Loss format is used by all data versions but the format of the Statement of Cash Flows (SCF) is less detailed in the projected data, compared with Actual data. For the SCF, the Budget/Forecast chart of accounts has been mapped with the Actual Chart of Accounts. In some cases, it aggregates several accounts from Actual into one account (e.g. SCF210B – Adj. for increase (decrease) in working capital corresponds to five accounts in the SCF of Actual) and in other cases, the same account is used in all versions (e.g. SCF1000 – Profit /Loss). Customizing the Chart of Accounts The chart of accounts has been designed to be enhanced with customer specific accounts. In the starter kit for IFRS, accounts are created with dimension properties to define their behavior throughout the configuration: for instance analysis by flow, currency translation and position in the account hierarchy. Enhancing the chart of accounts by duplication template accounts allows you to assign the appropriate attributes automatically to new accounts. This implementation principle has been used for data entry and analysis reports as well as consolidation rules to ensure a dynamic configuration facilitating the integration of new accounts.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

LEGAL CONSOLIDATION (ACTUAL VERSION) Data collection Data Entry Principles Breakdown by Flow Flow entries allow you to distinguish variation types in the balance sheet between the opening and closing balance and thus allow for the automatic calculation of line items in the statement of cash flows, the statement of changes in equity and the statement of comprehensive income. The flows available in input forms can be classified into two categories: 

Flows for current transactions (purchase, increase in depreciation, fair value, etc.)



Flows for special transactions (changes in accounting policies, incoming unit, etc.)

A detailed list of accounting flows is presented in Chapter 2 of the appendix.

Sign of indicators    

Assets are entered as positive amounts. Equity and liabilities are entered as positive amounts. Expenses and income are entered as positive amounts (unless opposite of the account balance type). Items of the Statement of Cash Flows are calculated as positive amounts when they represent a cash inflow, and as a negative amount for a cash outflow.

Order of Data Entry The Business Process Flow (BPF) for data entry and the organization of the different input forms into subfolders guide the end-user through a step-by-step approach for entering data Input forms organization Input forms are grouped together in the INPUT / ACTUAL directory as follows: 1. Closing balances (Balance sheet and Profit and Loss) 2. Intercompany details (data entry in single account forms and an overview report for control) 3. Period movements (breakdown by flow with display of account/flow pair not open for data entry)

The list of input forms and local reports is presented in the Chapter 5 of the Appendix

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

BPF for Actual: A10 – Input Closing and A20– Input Inflow Two Business Process Flows for data entry have been configured to guide the business user through the data collection process and the different data input forms: 

A10_Input_Closing for data entry in a consolidation at closing process



A20_Input_Inflow for data entry in a consolidation in flow process (enable the automatic calculation of financial statements such as the statement of cash flows)

In these Input Business Process Flows are listed the tasks for uploading data from a source system, entering balance data and breakdown by flow, matching Intercompany declarations from other entities, running the controls and checking data consistency as well as for submitting data.

Analysis of period movement is only required for a consolidation in flow process

The data input forms for legal consolidation are presented in Chapter 7 of the Appendix.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Data Entry Validation Controls have been configured in the starter kit to validate the coherence of data entered/imported into the input forms.

Main types of controls Aim

Example Assets = Liabilities + Equity (Actual version)

Check main balances

Flow analysis (Actual version)

Gross value of assets ≥ depreciation at closing Complete analysis of assets and liabilities by flows The transfer flow must balance

Intercompany breakdown

Intercompany detail ≤ account total at closing

After data entry validation has been completed, data is submitted to the approver. The final approval of data will change the status of the reporting to “Approved” and no user will be able to modify input data.

A detailed list of controls configured for the legal consolidation is presented in Chapter 4 of the appendix. Consolidation process Business Process Flows Two Business Process Flows are available for preparing and running the consolidation, guiding the business end user through set up, consolidation processing, data analysis and the delivery of financial statements: 

A11_Consolidation_Closing for a consolidation at closing process



A21_Consolidation_Inflow for a consolidation in flow process (enable the automatic calculation of the statement of cash flows, the statement of comprehensive income and the statement of changes in equity)

In the Preparatory Tasks step of the Consolidation Business Process Flows are listed the tasks for preparing the consolidation, checking the perimeter and generating the input opening balance.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

The other steps of the Consolidation Business Process Flows enable to post manual journal entries, to reconciliate intercompany declaration, to run the consolidation, to check the main balances, to consult the various analysis and accounting reports and finally to deliver the financial statements and Actual reviews analysis.

Consolidation Processing The consolidation engine handles the following consolidation methods:  Full consolidation  Equity method The starter kit includes a set of automatic and manual processes which handles the processing of the following scope changes in the Actual version:    

Acquisitions Loss of control Equity transactions Step acquisitions

Converting data Foreign subsidiary accounts are converted using the closing rate method:  The closing balances of Balance Sheet accounts are converted using the closing rate, except for equity and consolidated investments kept at their historical value. Currency translation reserves are calculated automatically.  Income and expenses are converted using the periodic average rate.  The Statement of Cash Flows is based on Balance Sheet variations which are converted at the periodic average rate.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Intercompany reconciliation Local intercompany data is transferred in the ICMATCHING model where it is converted. Declaration discrepancies are calculated and retrieved either at group level or for an entity in reports. Automatic Entries The legal consolidation application of the starter kit for IFRS includes a set of elimination and adjustment rules for automatically calculating consolidated data using input data from each entity. This set of rules can be enhanced in order to meet your specific accounting policies. The automatic consolidation entries calculated by the elimination and adjustment rules in the Actual version are:     

Elimination of intercompany reciprocal operations Elimination of internal dividends Elimination of investments in subsidiaries Calculation of the currency translation adjustments Calculation of non-controlling interests

Automatic calculation of the Statement of Cash Flows (SCF), Statement of Comprehensive Income ‘SCI) and Statement of Changes in Equity (SCE). The legal consolidation application of the starter kit for IFRS includes a set of account-based calculation rules for automatically calculating SCF, SCI and SCE at local level and consolidated level for each entity. Reclassifications or adjustments can be entered by manual journal entry using a dedicated audit ID (SCF – ADJ Adjustment on Financial Statements). Validation reports In the Control reports group of tasks are listed control reports that enable the end-user to validate the consolidated data. The data consistency dashboard is one of the validation reports that are configured in the starter kit for IFRS. It gives an at a glance overview of the consolidation process with main balance and intercompany elimination controls. Other detailed reports allow the consolidation manager to check miscellaneous consistencies such as opening carry-over, flow balances and balance sheet net income versus profit and loss net income.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Data Consistency Dashboard (Extract)

Publishable Key Financial Statements The starter kit for IFRS contains a complete set of financial statements following the requirements of IAS 1: 

Statement of Financial Position with a separation between current and non-current assets and liabilities



Statement of Profit or Loss with an expense classification by function



Statement of Other Comprehensive Income



Statement of Cash Flows



Statement of Changes in Equity over two periods

They can be accessed from the Financial Statement group of tasks included in the A21 Consolidation BPF. In the case of a consolidation at closing (BPF A11), only the Statement of Financial Position and the Statement of Profit or Loss can be displayed.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Statement of Financial Position

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Statement of Profit or Loss

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Statement of Other Comprehensive Income

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Statement of Cash Flows

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Statement of changes in Equity

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Analysis Reports A series of reports allow the analysis of consolidated data. All these reports are configured to leverage the analysis features of the application to give access to detail by account, reporting unit, partner, flow and audit_trail: 

Analysis reports for analyzing financial statements by flow, audit_trail and entity



Accounting reports which provide details by partner (intercompany), entity and audit_trail for each account (in the Breakdown reports group of tasks).

A detailed list of retrieval reports is presented in Chapter 6 of the appendix.

Analysis by Audit IDs Each data item in the configuration is identified by an audit ID making the audit trail possible and facilitating the analysis of consolidated data. The audit ID allows the accounting origin to be tracked. For instance: 

The “INPUT – Input data” audit ID tracks data entered or imported into input forms



The “ELIM10 - Intercompany Eliminations” audit ID tracks elimination of reciprocal transactions

A detailed list of audit IDs is presented in Chapter 3 of the appendix.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Analysis of a Statement of Financial Position line item by flow

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Analysis of an Statement of Profit or Loss line item by entity and partner

Entity E1 has sold goods for EUR 594,986 to entity E0. This reciprocal operation is eliminated during the consolidation process.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

BUDGET AND FORECAST REPORTING Reminder: The following versions are configured for the Corporate Budget and Forecast reporting:

Version

BPF for consolidation with the PER approach

BA - Annual Budget

BPF for consolidation with the YTD approach 0BA-Annual budget Central

BM - Monthly Budget

0BM-Monthly budget Central PER

0BM-Monthly budget Central YTD

BM_AR - Monthly Budget at actual rates

0BM_AR - Actual rates for BM

0BM_AR - Actual rates for BM

F09 - September Forecast

0F09-Forecast Central PER

0F09-Forecast Central YTD

F09TEC1 - September Forecast

0F09TEC1-Forecast Central PER

0F09TEC1-Forecast Central YTD

Principles common to budget and forecast versions Data entry principles Choosing the approach to enter data for monthly budget and forecast data Actual data is entered using a Year-to-Date (YTD) approach: e.g. Actual data entered in the Profit and Loss of October corresponds to the revenues and expenses from January to October. The starter kit offers two options to enter Monthly Budget and Forecast data:  Enter on a YTD basis in a similar way to Actual data  Use a periodic (PER) approach and enter each month separately then calculate the year-to-date amounts, consolidate and retrieve them. Depending of the approach, the following BPF will be used for local users:

Version

BPF for data collection with the PER approach

BA - Annual Budget

BPF for data collection with the YTD approach 0BA-Annual budget Local

BM - Monthly Budget

0BM-Monthly budget Local PER

0BM-Monthly budget Local YTD

F09 - September Forecast

0F09-Forecast Local PER

0F09-Forecast Local YTD

Retrieval of read-only Annual Budget in Monthly Budget input forms Data entered in the Statement of Profit or Loss and in the Statement of Cash flows of the Annual budget is retrieved but cannot be changed. Retrieval of read-only Actual data in September Forecast version Data entered in the Profit & Loss balances of January to September (Actual version) is displayed in the Profit & Loss balance of the September Forecast version but cannot be changed. The local end-user has the option to populate data of October, November and December with Monthly Budget data but if he does so, he can always override this data. In the Statement of Cash Flows of the September Forecast version, only the last quarter can be entered. The first three quarters are fed with read-only Actual data.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Sign of indicators  Expenses and income are entered as positive amounts (unless opposite of the account balance type).  Items of the Statement of Cash Flows are entered as positive amounts when they represent a cash inflow, and as a negative amount for a cash outflow.

Data Entry Validation Controls have been configured in the starter kit to validate the coherence of data entered/imported into the input forms.

Main types of controls

After data entry validation has been completed, data is submitted to the approver. The final approval of data will change the status of the reporting to “Approved” and no user will be able to modify input data.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Consolidation principles Consolidation Processing The consolidation engine handles the following consolidation methods:  Full consolidation  Proportionate consolidation  Equity method The starter kit for IFRS includes a set of automatic and manual processes which handles the processing of the following scope changes in the projected data:  Incoming entities  Outgoing entities Converting data Foreign subsidiary accounts are converted using the closing rate method:  The Statement of Profit or Loss is converted using the average rate for the period.  The Statement of cash Flows is converted at the average rate for the movements of the period. Cash and cash equivalent at opening and closing are converted using respectively the opening and closing rate. Intercompany reconciliation Local intercompany declarations on P&L accounts and Statement of cash flows items (dividends paid/received, capital increase) are copied in the ICMATCHING Model. Data is then converted in consolidation currency and declaration discrepancies are calculated and retrieved in this Model. Automatic Entries The automatic consolidation entries calculated by the elimination and adjustment rules in the budget and forecast versions are:     

Elimination of intercompany reciprocal operations Elimination of internal dividends Elimination of capital increase / decrease from the Statement of cash flows Calculation of the currency translation adjustments Calculation of non-controlling interests

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Business Process Flows at Group level A BPF has been created for each pair Version / Data entry approach, in order to guide the central end-user through the tasks he has to perform: prepare the data input forms for the local user, transform the entered data in year-to-date data if the periodic approach has been chosen, consolidate and validate data. Moreover, there are two options offered to consolidate data collected in the September Forecast corresponding to the following versions:  F09TEC1 version is used to consolidate the last quarter and aggregate it to the legal consolidation at the end of September  F09 version is used to consolidate in the other case. Two BPFs have been created for each version, in order to take into account the choice for the periodic or the year-to-date approach for data entry. List of BPF used at Group level

Version

BPF for consolidation with the PER approach

BA - Annual Budget

BPF for consolidation with the YTD approach 0BA-Annual budget Central

BM - Monthly Budget

0BM-Monthly budget Central PER

0BM-Monthly budget Central YTD

BM_AR - Monthly Budget at actual rates

0BM_AR - Actual rates for BM

0BM_AR - Actual rates for BM

F09 - September Forecast

0F09-Forecast Central PER

0F09-Forecast Central YTD

F09TEC1 - September Forecast

0F09TEC1-Forecast Central PER

0F09TEC1-Forecast Central YTD

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Report and Analysis Process principles Once the consolidation process is completed, the last group of tasks in each Business Process Flow consists in retrieving and analyzing the consolidated data thanks to the financial statements and accounting reports that are made available to end-users in the starter kit configuration. According to the version, comparisons with other relevant versions are proposed. For instance, for the September Forecast, it is possible to retrieve a comparison with previous year’s Actual and Monthly budget at Actual rate.

ACTUAL

BM_AR

F09TEC1

December 2017 December 2018 December 2018 P1110 - Revenues P1119T - Revenues P1120 - Cost of sales P119CL - Clearing account - Gross profit P1129T - Cost of sales P119T - Gross profit P1210 - Other income P129T - Other income P1310 - Distribution costs P1410 - Administrative expenses P1510 - Other expenses P159CL - Clearing account - Operating profit P159T - Other expenses P169T - Other gains (losses) P199T - Operating profit P2120 - Interest income P2130 - Financial fair value gains or losses P2140 - Dividends P2150 - Other financial income P219T - Finance income P2210 - Allowance for provisions on shares P2220 - Interest expenses P2230 - Other financial expenses P229CL - Clearing account - Financial result P22BL - Balancing account - Income statement P229T - Finance costs P299T - Financial result P3000 - Share of P&L of associates and JV accounted for using EM P499T - Profit (loss) before tax P5010 - Income tax P5020 - Deferred tax P599T - Tax P699T - Profit (loss) from continuing operations P7000 - Profit (loss) from discontinued operations P999T - Net income (loss)

63 882 63 882 (40 094) (40 094) 23 788 5 859 5 859 (635) (1 412) (2 188) (2 188) 25 412 11 153

1 341 12 494 (1 906) (847)

67 179 67 179 (39 536) (0) (39 536) 27 643 6 964 6 964 (921) (1 114) (1 714) 0 (1 714) 15 429 46 286 11 971 (0) 1 286 13 257 (1 686) (964) (0)

67 418 67 418 (39 775) (0) (39 775) 27 643 6 643 6 643 (682) (1 196) (1 714) (0) (1 714) 15 429 46 121 12 450 (0) 1 286 13 736 (1 686) (964) (0)

(2 753) 9 741

(2 650) 10 607

(2 650) 11 086

2 372

2 314

2 319

37 525 (10 588) (847) (11 435) 26 089

59 207 (11 571) (964) (12 536) 46 671

59 526 (11 811) (964) (12 775) 46 751

26 089

46 671

46 751

F09-BM Var.

%

F09-A Var.

%

239

+0%

3 536

+6%

239

+0%

3 536

+6%

(239)

-1%

319

+1%

0

-

0

-

(239)

-1%

319

+1%

(0)

-0%

3 855

+16%

(321)

-5%

784

+13%

(321)

-5%

784

+13%

239

+26%

(47)

-7%

(82)

-7%

215

+15% +22%

0

+0%

474

(0)

+400%

(0)

-

(0)

-0%

474

+22%

0

+0%

15 429

-

(164)

-0%

20 710

+81%

479

+4%

1 297

+12%

0

-

0

-

0

+0%

(0)

-

(0)

-0%

(55)

-4%

479

+4%

1 242

+10%

0

-

0

-

0

+0%

220

+12%

(0)

-0%

(117)

-14%

0

-

0

-

0

-

0

-

0

+0%

103

+4%

479

+5%

1 345

+14%

4

+0%

(53)

-2%

319

+1%

22 001

+59%

(239)

-2%

(1 222)

-12%

(0)

-0%

(117)

-14%

(239)

-2%

(1 340)

-12%

79

+0%

20 661

+79%

0

-

0

-

79

+0%

20 661

+79%

The list of all the reports available in the Starter kit for IFRS is presented in the Chapter 6 of the Appendix.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Annual Budget (BA) Data process flow

Input forms organization Input forms are grouped together in the INPUT / BA directory as follows: 1. Closing balances (Profit and Loss and Statement of Cash Flows) 4. Intercompany details The list of input forms is presented in the Chapter 6 of the Appendix.

Business Process Flow 0BA- Annual Budget Local In this Data Entry Business Process Flow for Annual Budget, are listed the tasks for uploading data from a source system, entering balance data, running the controls and checking data consistency, matching Intercompany declarations from other entities as well as for submitting data.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Consolidation of Annual Budget The BPF for the central end-user is presented hereafter. 0BA – Annual budget central

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Monthly Budget (BM) - Periodic approach Data process flow

Input forms organization Input forms are grouped together in the INPUT / BM (PER) directory of the PERIODICENTRY Model as follows: 1. Closing balances (Profit and Loss and Statement of Cash Flows) 2. Intercompany details for the Profit and Loss (for each month) and for the Statement of Cash Flows (for each quarter) The Monthly Budget input forms are preloaded by the central site with Annual Budget data for comparative purposes. This is done in the BPC – Monthly Budget central PER – Preparatory tasks.

Business Process Flow 0BM-Monthly Budget Local PER In this Data Entry Business Process Flow for Monthly Budget using the PER approach, are listed the tasks for uploading data from a source system, entering balance data, running the controls and checking data

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

consistency, transform periodic data into year-to-date data, matching Intercompany declarations from other entities as well as for submitting data.

Consolidation of Monthly Budget (Periodic approach)

In the PER approach, periodic data entered in the input forms is cumulated and transferred to the Consolidation Model that stores the local and consolidated YTD data, either by the local or the central site.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Monthly Budget (BM) - Year-to-date approach Data process flow

Input forms organization Input forms are grouped together in the INPUT / BM (YTD) directory of the CONSOLIDATION Model as follows: 1. Closing balances (Profit and Loss and Statement of Cash Flows) 2. Intercompany details for the Profit and Loss(for each month) and for the Statement of Cash Flows (for each quarter)

Business Process Flow 0BM-Monthly Budget Local YTD This BPF is similar to BPF for the periodic approach but the Enter data group of tasks is linked to the input forms dedicated to the YTD approach and there is no Transfer of data tasks.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

BPF at group level for Monthly budget consolidation (YTD approach)

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Monthly Budget at Actual rate (BM_AR) There is no data collection for this version and therefore only a BPF at Group level. This BPF enables you to consolidate Monthly Budget data using the current Actual rates and to compare Monthly Budget data with Actual data, excluding the impact of exchange rates changes. Analyses by account and by entities are available.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

September Forecast (F09) – Periodic approach Data process flow

Input forms organization Input forms are grouped together in the INPUT / F09 (PER) directory of the PERIODICENTRY Model as follows: 1. Closing balances (Profit and Loss and Statement of Cash Flows) 2. Intercompany details for the profit and Loss (for each month) and for the Statement of Cash Flows (for each quarter) The September Forecast input forms are preloaded by the central site with decumulated data of Actual from January to September. This is done in the BPC – September Forecast- central PER – Preparatory tasks. Actual data cannot be changed. Business Process Flow 0F09 - September Forecast PER Local In this Data Entry Business Process Flow for September Forecast, are listed the tasks for uploading data from a source system, populating the last quarter with Monthly budget data, entering balance data, running the controls and checking data consistency, matching Intercompany declarations from other entities as well as for submitting data.

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STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Optional task

An optional task at local site consists in populating the last quarter with data from the Monthly Budget. This data can be changed, which is not the case of the Actual data. ACTUAL January 2018 P1110 - Revenues P1120 - Cost of sales P1210 - Other income P1310 - Distribution costs P1410 - Administrative expenses P1510 - Other expenses

IC IC IC IC IC IC

1 130 (700) 110 (10) (20) (30)

February 2018

March 2018 April 2018

1 130 (700) 110 (10) (20) (30)

1 130 (700) 110 (10) (20) (30)

1 130 (700) 110 (10) (20) (30)

May 2018

1 130 (700) 110 (10) (20) (30)

F09 June 2018

1 130 (700) 110 (10) (20) (30)

July 2018

1 130 (700) 110 (10) (20) (30)

August 2018

September 2018

1 130 (700) 110 (10) (20) (30)

1 130 (700) 110 (10) (20) (30)

October 2018 1 125 (695) 110 (15) (25) (30)

November 2018 1 125 (695) 110 (15) (25) (30)

December 2018 1 125 (695) 110 (15) (25) (30)

Once the periodic data is entered, validated and submitted, the local user transfers it to the CONSOLIDATION Model. Periodic data is transformed into year-to-date data during this action of transfer. Separation column

P1110 - Revenues P1120 - Cost of sales P1210 - Other income P1310 - Distribution costs P1410 - Administrative expenses P1510 - Other expenses

IC IC IC IC IC IC

January 2018 1 130 700 110 10 20 30

February 2018

March 2018 April 2018

2 260 1 400 220 20 40 60

3 390 2 100 330 30 60 90

4 520 2 800 440 40 80 120

May 2018

5 650 3 500 550 50 100 150

June 2018

6 780 4 200 660 60 120 180

July 2018

7 910 4 900 770 70 140 210

August 2018 9 040 5 600 880 80 160 240

September 2018 10 170 6 300 990 90 180 270

October 2018 11 295 (6 995) 1 100 (105) (205) (300)

November 2018 12 420 (7 690) 1 210 (120) (230) (330)

December 2018 13 545 (8 385) 1 320 (135) (255) (360)

Consolidation of September Forecast Data collected at local site for the September Forecast can be consolidated using one of the two following process:  Consolidated the last quarter of the year and aggregate it to the consolidated data of Actual at the end of September.  Consolidated the year-to-date data (from January to December) collected at local site and enter manual journal entries to take into account the automatic or manual journal entries posted in the Actual consolidation of September, if needed. There are two versions offered to consolidate data collected in the September Forecast corresponding to each option:  F09TEC1 version is used to consolidate the last quarter and aggregate it to the legal consolidation at the end of September  F09 Version is used to consolidate in the other case.

33

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

The recommended option is to use the F09TEC1 version. The corresponding BPF is the following: 0F09TEC1 – September forecast – Central - PER This BPF guides the central end-user through the tasks he has to perform in order to prepare the data input forms for the local user who will use the periodic approach to enter data

Before subsidiary starts entering data

After data has been entered by subsidiary

In the consolidation task, it is specified that the user will consolidate the last quarter and aggregate it with Actual of September.

34

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

In case the other option is chosen, the BPF used at group level is the following: 0F09 – September forecast – Central – PER

35

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

September Forecast (F09) – Year-to-date approach Data process flow

Input forms organization Input forms are grouped together in the INPUT / F09 (YTD) directory of the CONSOLIDATION Model as follows: 1. Closing balances (Profit and Loss and Statement of Cash Flows) 2. Intercompany details for the Profit and Loss (for each month) and for the Statement of Cash Flows (for each quarter) Business Process Flow 0F09- September Forecast YTD Local

36

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Consolidation of September Forecast As explained before, there are two versions offered to consolidate data collected in the September Forecast corresponding to the each option:  F09TEC1 version is used to consolidate the last quarter and aggregate it to the legal consolidation at the end of September  F09 version is used to consolidate in the other case. The corresponding BPF at group level are listed hereafter: 0F09TEC1 – September forecast – Central – YTD

0F09 – September forecast – Central – YTD

37

GT10 - Global testing - USA 10 GT20 - Global testing - USA 20 GT21 - Global testing - USA 21 GT22 - Global testing - USA 22 GT23 - Global testing - USA 23 AMERICAS - Total Americas GT40 - Global testing - Japan 40 APJ - Total APJ GT30 - Global testing - UK 30 GT31 - Global testing - UK 31 EMEA - Total EMEA ALL_ENTITY - Total All Entities

! Select the P&L account and the month period

P999T - Net income (loss)

14 231 889 889 2 224 2 224 4 447 19 567

4 447 4 447 4 447 889

ACTUAL

BM_AR

September 2017

P1110 - Revenues P1119T - Revenues P1120 - Cost of sales P119CL - Clearing account - Gross profit P1129T - Cost of sales P119T - Gross profit P1210 - Other income P129T - Other income P1310 - Distribution costs P1410 - Administrative expenses P1510 - Other expenses P159CL - Clearing account - Operating profit P159T - Other expenses P169T - Other gains (losses) P199T - Operating profit P2120 - Interest income P2130 - Financial fair value gains or losses P2140 - Dividends P2150 - Other financial income P219T - Finance income P2210 - Allowance for provisions on shares P2220 - Interest expenses P2230 - Other financial expenses P229CL - Clearing account - Financial result P22BL - Balancing account - Income statement P229T - Finance costs P299T - Financial result P3000 - Share of P&L of associates and JV accounted for using EM P499T - Profit (loss) before tax P5010 - Income tax P5020 - Deferred tax P599T - Tax P699T - Profit (loss) from continuing operations P7000 - Profit (loss) from discontinued operations P999T - Net income (loss) 34 608

19 567

6 993 15 850 2 600 520 1 625 27 588 1 170 1 170 2 925 2 925 5 850 34 608

ACTUAL 6 929 15 786 2 571 514 1 607 27 407 1 157 1 157 2 893 2 893 5 786 34 350

BM_AR

September 2018

2 546 11 403 (1 847) (369) 1 625 13 357 281 281 701 701 1 403 15 041

%

+5% +5% +1% +1% +15% +12% +12% +6% +22% +22% +22% +79% +12% -5% +10% +15% -13% +6% +15% -5% +57% -11% -13% -12% +77% +77%

%

64 64 29 6 18 181 13 13 32 32 64 258

A-BM Var.

2 310 2 310 428 0 428 2 737 549 549 30 230 366 (0) 366 11 143 15 055 992 0 0 (49) 944 0 208 (83) 0 0 125 1 069 (89) 16 036 (912) (83) (995) 15 041 0 15 041

Actual Var.

+57% +256% -42% -42% +94% +32% +32% +32% +32% +32% +77%

34 350

(1 939) 7 896 1 671 43 682 (8 614) (718) (9 332) 34 350

(1 221) (718) (0)

957 9 836

49 982 49 982 (29 404) (0) (29 404) 20 579 5 182 5 182 (686) (829) (1 275) (0) (1 275) 11 143 34 114 8 879

BM_AR

Actual Var.

(1 939) 8 375 1 690 44 179 (8 854) (718) (9 571) 34 608

(2 065) 7 306 1 779 28 144 (7 941) (635) (8 576) 19 567

Year To Date

(1 221) (718) (0)

(1 429) (635)

50 221 50 221 (29 643) (0) (29 643) 20 579 4 943 4 943 (446) (829) (1 275) (0) (1 275) 11 143 34 114 9 357

ACTUAL

957 10 314

BM_AR

Year To Date September 2018

1 006 9 371

19 059 8 365

(1 641)

(30 071) 17 841 4 394 4 394 (476) (1 059) (1 641)

47 912 47 912 (30 071)

ACTUAL

September 2017

+1% +0% +1% +1% +1% +1% +1% +1% +1% +1% +1% +1%

%

239 239 (239) 0 (239) (0) (239) (239) 239 0 0 0 0 0 (0) 479 0 0 0 479 0 0 0 0 0 0 479 19 497 (239) 0 (239) 258 0 258

A-BM Var.

2 174

(229) 812 198 3 127 (882) (71) (953) 2 174

(159) (71)

112 1 041

2 118 929

(182)

(3 341) 1 982 488 488 (53) (118) (182)

5 324 5 324 (3 341)

ACTUAL

1 581 99 99 247 247 494 2 174

494 494 494 99

ACTUAL

BM_AR

September 2017

+0% +0% -1% -1% -0% -5% -5% +35% +0% +0% +0% +0% +0% -0% +5% +0% +5% +0% +0% +0% +6% +1% +1% -3% +0% -3% +1% +1%

%

1 793 650 0 0 325 2 768 130 130 325 325 650 3 548

ACTUAL

Periodic

1 786 643 0 0 321 2 750 129 129 321 321 643 3 521

BM_AR

1 299 156 (494) (99) 325 1 187 31 31 78 78 156 1 374

% +263% +32% -100% -100% +75% +32% +32% +32% +32% +32% +63%

(102) (102) 270 0 270 168 26 26 7 32 50 0 50 1 143 1 425 56 0 0 (12) 45 0 23 (4) 0 0 19 63 (68) 1 421 (43) (4) (47) 1 374 0 1 374

Actual Var.

Actual Var.

3 521

(211) 825 129 4 496 (900) (75) (975) 3 521

(136) (75) (0)

100 1 036

5 196 5 196 (3 046) (0) (3 046) 2 150 539 539 (71) (86) (132) (0) (132) 1 143 3 543 936

BM_AR

Periodic

3 548

(211) 875 130 4 548 (925) (75) (1 000) 3 548

(136) (75) (0)

100 1 086

5 221 5 221 (3 071) (0) (3 071) 2 150 514 514 (46) (86) (132) (0) (132) 1 143 3 543 986

ACTUAL

September 2018

September 2018

BM_AR

September 2017

25 25 (25) 0 (25) (0) (25) (25) 25 0 0 0 0 0 (0) 50 0 0 0 50 0 0 0 0 0 0 50 1 51 (25) 0 (25) 26 0 26

7 7 0 0 4 18 1 1 4 4 7 26

% +0% +1% +1% +1% +1% +1% +1% +1% +1% +1%

A-BM Var.

A-BM Var.

-2% -2% +8% +8% +8% +5% +5% +12% +27% +28% +28% +67% +6% -11% +4% +15% -6% +8% +8% -34% +45% -5% -6% -5% +63% +63%

% +0% +0% -1% -1% -0% -5% -5% +35% +0% +0% +0% +0% -0% +5% +0% +5% +0% +0% +0% +6% +1% +1% -3% +0% -3% +1% +1%

%

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Presentation of “full view” reports

Comparison of Net income in Actual with Monthly Budget at Actual rate by account and by entity

38

GT10 - Global testing - USA 10 GT20 - Global testing - USA 20 GT21 - Global testing - USA 21 GT22 - Global testing - USA 22 GT23 - Global testing - USA 23 AMERICAS - Total Americas GT40 - Global testing - Japan 40 APJ - Total APJ GT30 - Global testing - UK 30 GT31 - Global testing - UK 31 EMEA - Total EMEA ALL_ENTITY - Total All Entities

7 068 0 0 1 178 1 178 2 356 9 424

2 356 2 356 2 356 0

ACTUAL

BM_AR

2017 Quarter 3

! Select the Cash Flow account and the appropriate quarter

TSCF300 - Net cash flows from (used in) operating activities

SCF1000 - Profit (loss) SCF2010 - Adjustments for income tax expense SCF2020 - Adjustments for finance costs SCF2110 - Adjustments for decrease (increase) in inventories SCF2120 - Adj. for decrease (increase) in trade receivables SCF2130 - Adj. for decrease (increase) in other op. receiv. SCF2140 - Adj. for increase (decrease) in trade payables SCF2150 - Adj. for increase (decrease) in other op. payables SCF210B - Adj. for increase (decrease) in working capital TSCF210 - Adj. for increase (decrease) in working capital TSCF220 - Adj. for depreciation, amortization, provision, impair. SCF2270 - Adjustments for profits of associates SCF2280 - Other adjustments for non-cash items SCF2310 - Adj. for losses (gains) on disposal of NC assets SCF2320 - Other adj. with cash effects in inv.or fin. CF SCF232B - Other adj. for reconcile profit(loss) TSCF230 - Other adj. for reconcile profit(loss) TSCF200 - Adjustments for reconcile profit (loss) SCF3100 - Interests paid SCF3200 - Income taxes (refund) paid SCF3300 - Other inflows (outflows) of cash SCF300B - Other TSCF300 - Net cash flows from (used in) operating activities

3 993 3 429 1 457 0 911 9 789 0 0 1 704 1 639 3 343 13 132

ACTUAL 4 093 3 493 1 486 0 929 10 000 0 0 1 736 1 671 3 407 13 407

BM_AR

2018 Quarter 3

Year To Date

% -2% -2% -2% -2% -2% -2% -2% -2% -2%

(100) (64) (29) 0 (18) (211) 0 0 (32) (32) (64) (275) +69% +46% -38% +39% +45% +39% +42% +39%

1 637 1 073 (899) 0 911 2 722 0 0 526 461 987 3 709

258 239 (479) 0 571 0 0 0 (536) 36 (71) (19) 0 0 0 0 (19) (294) (1 221) (9 571) 0 10 554 (275)

A-BM Var.

A-BM Var.

+77% +12% -17% +5% -621% -7661% +15% -12% +39%

%

%

(10 554) 13 407

15 041 995 (1 200) 0 571 0 0 0 0 571 143 89 0 (11 143) 0 0 (11 054) (10 545) 208 (995) 0 0 3 709

Actual Var.

Actual Var.

13 132

9 424

(11 143)

(11 143)

(12 814) (10 389)

536 536 214 (1 671)

34 350 9 332 (7 657)

BM_AR

571 143 (1 690)

571

34 608 9 571 (8 136)

ACTUAL

(12 833) (10 683) (1 221) (9 571)

BM_AR

Year To Date 2018 Quarter 3

(1 779) (138) (1 429) (8 576)

(1 779)

19 567 8 576 (6 935)

ACTUAL

2017 Quarter 3

3 141

(593) (46) (476) (2 859)

(593)

6 522 2 859 (2 312)

ACTUAL

2 356 0 0 393 393 785 3 141

785 785 785 0

ACTUAL

BM_AR

2017 Quarter 3

+1% +3% -6% -100% +7% -33% -1% +0% -0% -3% +100% -2%

%

1 364 1 136 0 0 557 3 057 0 0 579 557 1 136 4 193

BM_AR

+32% -2% -2% +13% -2% -2% -2% +9% 443 (21) 0 0 (11) 411 0 0 (11) (11) (21) 389 +130% +42% -100% +47% +45% +39% +42% +46% 1 022 329 (785) 0 546 1 112 0 0 175 154 329 1 441

+1% +3% -6% -100% +220% +100% -1% +0% -0% +51% +100% +9%

%

%

79 75 (150) 0 571 0 0 0 (179) 393 71 (4) 0 0 0 0 (4) 385 (407) (3 000) 0 3 332 389

A-BM Var.

A-BM Var.

+28% +5% -10% +34% -159% -703% +15% -5% +46%

%

%

1 836 141 (238) 0 571 0 0 0 0 571 143 203 0 (1 143) 0 0 (940) (323) 69 (141) 0 0 1 441

Actual Var.

Actual Var.

(3 332) 4 193

(1 529) (754)

(1 143)

179 179 71 (386)

8 279 2 925 (2 400)

BM_AR

Periodic

4 582

(1 533) (369) (407) (3 000)

(1 143)

571 143 (390)

571

8 358 3 000 (2 550)

ACTUAL

1 807 1 114 0 0 546 3 468 0 0 568 546 1 114 4 582

ACTUAL

Periodic 2018 Quarter 3

2018 Quarter 3

BM_AR

2017 Quarter 3

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

Comparison of Net variation of cash flows in Actual and Monthly budget at Actual rate by account and by entity

39

STARTER KIT FOR IFRS, SP06 – CONFIGURATION OVERVIEW

SETS OF SAMPLE DATA

Three sets of consolidated data are provided with the starter kit:  a set of data for legal consolidation demonstrating all the automatic process configured in the Actual version,  a set of data demonstrating a full reporting process with Actual data over two years, annual and monthly budget, monthly budget converted using current Actual exchange rates and forecast data. The standard set is the most complete and should be considered as the reference set. Within these sets, the first periods (2015.12 and 2019.12) are only the closing position. Set focused on legal consolidation (Actual)

TIME 2019.12 2020.12 2021.12

VERSION

ACTUAL

ENTITY S000,S001, S002, S003, S004, S005, S006

CONSOSCOPE

CORPORATE

CONSOLIDATION CURRENCY EUR

Set demonstrating a full reporting process

TIME

VERSION

ENTITY

CONSOSCOPE

CONSOLIDATION CURRENCY

2016.12 2017.01 to 2017.12

ACTUAL

GT00, GT10, GT20, GT21, GT22, GT23, GT24, GT30, GT31, GT32, GT40

CORPORATE

EUR

BA

GT00, GT10, GT20, GT21, GT22, GT23, GT24, GT30, GT31, GT32, GT40

CORPORATE

EUR

BM

GT00, GT10, GT20, GT21, GT22, GT23, GT24, GT30, GT31, GT32, GT40

CORPORATE

EUR

BM_AR

GT00, GT10, GT20, GT21, GT22, GT23, GT24, GT30, GT31, GT32, GT40

CORPORATE

EUR

F09TEC1 / F09

GT00, GT10, GT20, GT21, GT22, GT23, GT24, GT30, GT31, GT32, GT40

CORPORATE

EUR

2018.01 to 2018.09 2018.12

2018.01 to 2018.12

2018.01 to 2018.12

2017.12 2018.01 to 2018.12

40

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