SAP DQM Derivations
Jesse Asowata - SAP Master Data Governance Consultant
The piece below is a deepening of a previously published blog on our website: Introducing SAP Data Quality Management (DQM)..
At a time when companies are increasingly dependent on reliable and consistent master data, SAP MDG provides powerful tools to ensure data quality. One such tool, often still underutilized, is Derivations.
But what exactly are derivations, and how can they automate and optimize master data entry? In this blog, we explain.
What are DQM Derivations?
SAP DQM Derivations
Derivations are business rules that automatically retrieve/fill or modify fields based on other input values. Think of them as a kind of clever "if/then" logic running in the background. The goal? To prevent errors, reduce manual input and ensure "first time right" data.
Imagine: when creating a new material, you enter a 'material type' and automatically fields such as 'Product Hierarchy'. 'Profit Center' or 'Industry' are filled in correctly. That's the power of derivations.
How does it work?
Define Derivation Scenarios
Derivations are configured within the app Define Derivation Scenarios. The beauty of this app is that you can rig multiple derivation rules virtually without any knowledge of coding.
A derivation consists of a scenario containing one or more rules, each with conditions and actions, similar to decision tables or if/then logic. During the MDG process, these rules are executed automatically when a relevant step is reached. For example, when you submit the request (Submit) when creating a new customer, supplier or material.
Sample Derivation Scenario
The images above are examples of a Derivation Scenario containing Derivation rules. The scenario is assigned a name and ID, using the naming convention we created. In the 'General information' tab additional information can be given regarding the description and scope of the scenario.
In the 'Derivation Rules' tab, the actual rules are defined and worked out based on 'Decision Tables'.
Sample Decision Tables
Change request Type
Important detail: derivations technically run on the BRF+ workflow (Business Rule Framework Plus) and are only triggered at some point during the course of the MDG Change Request flow. They must therefore be explicitly configured for the appropriate Change Request Types to be effectively triggered. This configuration takes place in the MDG IMG and BRF+.
For more complex scenarios, BRF+ can also be used to invoke custom ABAP logic.
Benefits of Derivations
Consistent and complete data
Automatic field completion prevents missing or erroneous data and ensures that the data immediately complies with business standards.Efficiency
Less manual work means faster master data processes and fewer retrospective corrections.User Friendly (Citizen Development)
Thanks to the no/low code approach, functional users can configure and maintain rules themselves.Central governance
Derivation and validation rules are centrally managed, viewable by all users with appropriate authorizations and usable in all MDG processes.
Limitations of DQM Derivations.
Although powerful, there are some limitations to derivations at this time. SAP's roadmap does show plenty of new developments in the area of DQM and Derivations, however, these are primarily for the SAP S/4HANA Cloud Public Edition: SAP Road Map Explorer
Complexity in setup
Proper setup requires in-depth knowledge of data and processes. Good cooperation between business and IT is required for a correct set-up of derivation rules.Maintenance
When business rules change, scenarios must be kept up to date. This requires maintenance by someone with the right knowledge.Technical limitations
Some cross entity logic or exceptional cases may still require ABAP code.Limited scope
Out of the box, derivations are only applicable for Material and Business Partner data.Derivations as a background step
Derivations cannot be called in the foreground, it always requires an action that takes the user to the next step within the workflow. This may cause the process to need to be set up differently or the end user will not immediately see the completed fields in the current screen.
Practice
Below are some examples from our demo system that show how derivations concretely contribute to speed, consistency and error reduction in master data processes:
Scenario 1:
A user creates a new material with Material Type = FERT (Finished Product).
SAP MDG Derivation rule
The derivation rule will automatically derive and populate the data below obv the above input from the user:
General data
Product Hierarchy → derived based on 'Fert - Finished Goods' material type and material group.
Industry Sector → default filled with value 'Retail'.
Batch Management Req indicator and Approved Batch Record Req → set to 'X'.
Plant data (table rules)
New plant data is automatically generated if material type is equal to 'FERT - Finishes Goods' and Material Group is equal to 'GMB1 - Boxed Macarons'.
This leads to the following automatically populated fields:
Plant: 'CMP2'
Profit Center → determined based on material group and Material type : '0016000001'
Unit of Issue → set to 'PC - Piece'
Purch Group, Source List, Do not cost, MRP Group, Availability Check → completed according to defined values in decision table.
Conclusion
DQM Derivations help organizations make their master data processes more efficient, consistent and less prone to error. By centrally capturing and automating logic that now often resides in heads or Excel sheets, data entry becomes smarter and more stable. The result: automation, less correction work, faster turnaround times and immediately usable data.
Learn more
Want to know how DQM Derivations can help your organization? Contact us for a demo or consultation. For further questions or information on this topic or for other questions in the area of SAP Workflow, Fiori, SAP Invoice Management or SAP Master Data Governance (MDG) please contact Sander van der Wijngaart.
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