Kuali Financial is a very popular open source software for high education in U.S. . The integration of the SAP Human Resources/Payroll system (SAP) and Kuali Financial System (KFS) is a critical for those use SAP HCM and Kuali Financial .
The first step to integrating Kauli KFS to SAP HR/Payroll is to map the Account String from KFS to the SAP financial master data. The KFS system is the system of record for the Account String, and therefore it was necessary to have completed the majority of that design prior to mapping to SAP financial master data. The KFS Account String design includes values, purpose, and attributes of each object, all of which were taken into consideration during this mapping effort.
Specific business considerations implicated by the integration architecture include:
a. Accuracy of payroll postings and proper validation of accounting objects, which can be assessed either by reducing payroll system errors or acceptable reconciliation reporting;
b. Ability to support the relationships that exist within KFS accounting objects;
c. Ability to support departments’ labor distribution with employee-level detail in order to reconcile departmental accounts with the financial system;
d. Ability to efficiently and effectively maintain system integration during production operation;
e. Ability to deliver a system that meets all regulatory guidelines, as well as any legal and internal audit guidelines
f. Payroll and payroll related expenses will post at a summary line item to KFS by the Account String.
g. Ensure that Account String maintenance is only done through KFS.
The following is a listing of SAP configuration and development (enhancements) that are required:
1. Configure SAP Financial (FI); Funds Management (FM); and Controlling (CO) to activate and integrate the proposed master data objects.
2. Develop custom tables in SAP to validate the relationship between Sub-Account code and Account code; and Sub-Object code, Object code, and Account code.
3. Develop custom look ups in SAP that utilize KFS terminology in addition to SAP terminology,
4. Develop validation routines for the cost distribution objects as they are entered in Infotypes (IT 0027, IT0014, IT0015, IT2010) or Time Entry (CATS).
5. Develop validation routines for cost distribution objects as payroll simulations and FI posting generations occur. Validations will be performed as follows:
6. Develop the Account Attributes (group, grant, etc.) within SAP Fund Extension Sub-structure. Custom logic will be built in SAP to read account attributes of fund master. The logic will include the accounting business processes in SAP to ensure that the SAP summarized payroll postings will be error free once interfaced to KFS. Validations will be performed as follows
7. Develop detailed functional specification describing the attributes linked to KFS Accounts and the required validations
8. Build and interface and crosswalk table between SAP Financial Master Data and KFS Account String to create the SAP master data utilizing the KFS values and attributes (real-time interface may be considered). Included in this development are reports for reconciliation and research purposes.
9. Custom reporting logic for Org Ref ID: there may need to be some custom reporting logic in SAP or BI to support reporting of HR/Payroll detail by Org Ref ID.
The second step to integrating Kauli KFS to SAP HR/Payroll is to post payroll to SAP Financials (FI)and then to interface to KFS using the SAP FI Tables. The following are some of the reasons why posting to SAP FI is advantageous:
• The ability to redirect accounts and sub-accounts (the functional requirements such as fringe account redirection and sub-account year-dependent objects necessitate the use of FI substitution tables and FM derivation tables). SAP substitution and derivation rules are only activate in a productive posting;
• the ability to reconcile KFS to SAP FI and HR/Payroll, as the reconciliation will occur by comparing the summarized data in SAP FI tables to the data in KFS tables;
• the utilization of payroll retro calculation functionality for cost transfers, SAP needs to recognize that an SAP FI posting has occurred;
• the utilization of SAP Third Party Remittance process (tax, garnishment and union dues payments), SAP needs to utilize the FI posting;
• the ability to develop SAP Effort Reporting system with cost sharing ability, SAP needs to recognize that an SAP FI posting has occurred;
• the ability to develop a SAP Labor Distribution report, SAP needs to recognize that an SAP FI posting has occurred; and
• The replacement and cancellation of payments, an SAP FI posting must exist.
The payroll process will include the creation of an error-free simulated FI document. Once payroll is concluded, detailed employee-level accounting is maintained within HR/Payroll and a summary posting to SAP FI (i.e., the SAP Productive Payroll document) is completed. Once posted, the interface from SAP FI to KFS will be executed. The goal is to have as close of an error-free Interface from SAP as possible. The interface to KFS is identified at this time as a scheduled job but a real-time interface may be considered.
SAP HCM to Kuali Financial Integration Process