Strategic Goal

To seamlessly transition existing revenue contracts and in-flight transactions into the new SAP BRIM solution , allowing the company to fully leverage its capabilities from day one and maximize return on investment.

Challenges

The company encountered several key obstacles in its billing and revenue management processes:

  • Lengthy Pricing and Billing Updates: The internal system required up to 9-12 months to develop and implement new pricing models, creating substantial delays in responding to market changes.
  • Competitive Disadvantage: By the time pricing updates were deployed, they were often outdated, putting the company at risk of losing suppliers to competitors offering more agile pricing structures.
  • Manual and Inefficient Processes: Revenue recognition relied heavily on manual workflows, increasing the risk of errors and inefficiencies in financial reporting.
  • Integration Challenges: Transitioning existing revenue contracts and in-flight transactions into a new system requires careful planning to avoid disruptions and maintain compliance with accounting regulations.

 

 

 

 

 

 

Solution

To resolve these challenges, the company adopted a multi-phase approach, leveraging SAP RAR on its ECC (ERP Central Component) as part of the broader SAP BRIM solution, with CLARITY’s expertise:

  • Accelerated Implementation: The SAP Rapid Deployment Solution (RDS) for Hybris Billing was used to speed up the blueprint and design phases, reducing project timelines and costs.
  • Seamless System Integration: Multiple source systems were integrated to create a unified view of billing and revenue management improving data accuracy and consistency.
  • Advanced Technology Adoption: The solution incorporated SAP S/4HANA (BRIM) components, including Subscription Order Management (SOM), Convergent Charging (CC), Financial Contract Accounting (FI-CA), and SAP RAR, ensuring a scalable and future-ready revenue management platform.
  • Automation of Revenue Recognition: The project introduced a rules-based, event-driven revenue recognition system that enables revenue forecasting based on a subscription duration and records revenue at the time of subscription contract creation.

 

 

 

 

 

 

 

Results

The successful SAP BRIM implementation delivered tangible benefits, significantly improving financial and operational performance:

  • Unified Revenue Recognition: Integrating multiple source systems provided a comprehensive and accurate view of revenue across the organization.
  • Improved Compliance: The new system ensured alignment with evolving revenue recognition standards, reducing compliance risks.
  • Operational Efficiency Gains: Automating key revenue processes minimized manual effort, accelerating revenue recognition timelines and reducing errors.
  • Faster Pricing Adjustments: The optimized system enabled quicker implementation of pricing changes, helping the company stay competitive in a dynamic market.
  • Improved Financial Visibility: With greater insight into revenue streams, the company improved forecasting accuracy and made more informed business decisions.