New features in SAP MDG SAP S/4HANA 2023

Jesse Asowata - SAP Master Data Governance Consultant

With the advent of SAP S/4HANA 2023, SAP MDG takes a significant leap forward, introducing several innovations, among which is the noteworthy "Cloud-Ready mode."

In this blog, we are excited to share with you an overview of the new innovative features that have been released in SAP Master Data Governance (MDG) with the latest S/4HANA 2023 version. This blog will be your portal to explore all of the latest features and acquire the information needed for your continuous master data journey.

Central Governance - Generic Functions

Master Data Governance - Cloud-Ready Mode

Cloud-Ready mode in SAP MDG is an additional option to use master data governance processes like Central Governance, Mass Processing & Consolidation and Data Quality Management. It aims to build upon the existing SAP MDG through iterative enhancements and improvements specifically for the cloud. This enhancement presents an additional option, providing increased flexibility in configuring and executing MDG processes.

Figure 1 Cloud-Ready Mode in SAP MDG Configuration.

Cloud-Ready mode currently only supports the business partner (customer & vendor) domain. It provides an excellent user experience using the newest Fiori UI technology and the most up-to-date technology that is ready for the public cloud, e.g. ABAP Cloud. It is the basis for innovations such as a federated master data governance approach and data provider integration. Noteworthy is that with Cloud-Ready mode SAP switches to a common framework (data model) for consistent process design across central governance, consolidation and mass processing. With classic mode the MDG Framework for central governance still makes use of the Web Dynpro UI.

Figure 2 Cloud Ready Mode vs Classic Mode

For who is Cloud-Ready mode worth considering?

SAP recommends to initiate the process, with the Cloud-Ready mode in MDG, as the default setting for companies starting off with their SAP MDG journey for governance of business partner (including customer and supplier) data.

Existing MDG users however, have the option to continue with MDG in classic mode. They should consider if the benefits of Cloud-Ready mode are worth the additional implementation effort since custom developments like the Rule Based Workflow and BAdI implementations on Validations and Derivations are no longer applicable when running in Cloud-Ready mode.

Where the Rule Based Workflow has been replaced with Process Templates leveraging Workflow in BTP Build Process automation, data validations and derivations are considered through Data Quality Management. Therefor any planned or ongoing optimization initiatives in the MDG business partner domain or new requirements corrections for the existing 'classic' mode should result in a deliberate choice to keep 'classic' mode on or switch over to 'Cloud-Ready' mode.

Both classic and Cloud-Ready mode are compatible for simultaneous central governance, operating in parallel on the same objects. However, the use of Cloud-Ready mode requires the use of the new consolidation app.
Companies can employ Cloud-Ready mode for business partner data while concurrently utilizing classic mode for other domains.
Functionality can be rolled out to users gradually over time; it is possible for users to use both concepts in parallel during the transition phase.

Federated governance for business partner data with SAP MDG on SAP S/4HANA

Federated master data governance emerges as an additional deployment option alongside the conventional centrally managed approach, it requires Cloud-Ready mode in MDG and is currently still only available for Business partner domain.

This alternative allows the delegation of data ownership across multiple MDG instances, each specializing in a particular subset of master data. Using the example of Business Partner management, one MDG instance oversees fundamental data elements like name and address, while other instances take charge of application-specific data governing sales and financial processes. Data oownership is flexible and can be setup to match the specific customers' requirements. Data maintenance occurs across MDG instances and master data clients, therefore requiring replication to a core data owner, such as MDG on SAP S/4HANA. The core data owner evaluates maintained data, identifies relevant data owners, notifies them of changes, and collects their revised and verified data. Subsequently, the core data owner replicates the consolidated data to all linked MDG instances and master data clients within the landscape.

Enhanced User Experience with SAP Fiori 4.0 Integration

SAP MDG now seamlessly integrates with SAP Fiori 4.0, being the latest version of SAP's user experience design. This integration brings a fresh, modern look and feel to the MDG interface, enhancing its intuitiveness and making it more user-friendly. Users can enjoy a consistent and personalized experience across devices, promising a smooth and more efficient master data management process.

Central Governance - Business Partners, Customer, and Vendors

Data controller

With the newly introduced data controller feature, the access to various business partners can be restricted using various organizational data like company code, sales org, purchase org etc. This feature is very key especially for countries which are very stringent on personal data protection or data protection in general.

Business partner data controller in an optional opt-in feature, which can be activated in the below path.

The data controller assignment in MDG happens during activation of the BP, it can't be assigned manually during SOM or mass processing processes in MDG. If DC is activated, however not required for a particular BP, then you can set the 'Data controller not required' check in MDG.

Comments for address and communication data

The field 'Comments' has been added to the addresses UIBB allowing the user to add additional information. An example of this feature is that the department can be mentioned in this comment field for a mobile number or Email address.

Shareholder relationship

Shareholder relationship is a relationship type which enables you to indicate a shareholding interest in a company either on the basis of an agreement or upon having purchased shares. By default this relationship is time-independent, however if time slicing is required, then the time dependency can be activated.

Incoterms location ID

The incoterms location ID in SAP TM plays a crucial role in specifying the point until which the supplier assumes specific responsibilities, risks, and associated charges for the goods. Since previous releases, Incoterms have been integrated into SAP MDG. With the introduction of S/4 HANA 2023, the inclusion of location ID in MDG for business partners has been enabled, further enhancing the management of responsibilities and obligations within the system.

Additional features added for Supplier in the ERP Vendor UIBB include: Tax categories for supplier, Permitted payee, Returns supplier flag and Origin acceptance flag.

Figure 9 Additional ERP Vendor features (UIBB).

Central Governance - Materials

With the 2023 release there have not been many updates for the material/products domain. It is expected that we will see more of this with the next S/4 HANA upgrade.

Enable Class Types 022, 023, and 300 in Lean Classification.
With this feature, the batch class types (022/023) and class type variants (030) are available and can be selected in the Class Assignment UIBB. This is as a result of replacing the MDG Material API with the Unified Product API.

Central Governance - Financials

For MDG Finance several new features are available with this latest update:

The Descriptions Instead of Technical Names in File Download

As can be seen in below images a new feature has been added within the file download process, within the 'Determine Download Settings' step an additional field has been added so that the user can see the actual field descriptions rather than their technical names.

New Upload Modes for Hierarchy Maintenance in File Upload.

Move Children - For each uploaded edge in the file the system checks whether the child of that edge exists under different nodes within the same hierarchy and remove it from those. Afterwards, this child is placed under the new parent.

Replace Nodes - For each uploaded edge in the file the system deletes all direct children of that parent node and creates only the children specified in the upload file.

Remove Edges - For each uploaded edge in the file, the system deletes such edge in the system.

Attach Source File to the Change Request at File Upload

Within the file upload process it is now possible to tick the 'Attach File To CR' box which will automatically include the file within the respective file, improving overall traceability and visibility.

Display of Current and previous Hierarchy Assignments.

Consolidation & Mass Processing

Other than an Improved user experience in error handling, not many new features have been added for Consolidation & Mass Processing with S/4 HANA 2023.

Data Quality Management

Using External Reference Data to Create and Enrich BP data.

This feature enables you to create and enrich business partner master data records using reference data from CDQ. The integrated comparison function enables you to view business partner data from the reference record and the suggested data from CDQ side by side. The delta information is shown by default with a show all option also available. Furthermore, you can add source information (reference ID) into the business partner record to keep track of the origin of the data for potential audit purposes. Important to note that this feature will only be available in Cloud-Ready mode.

Enhanced Validation Rules

Validation rules play a crucial role in maintaining data integrity. SAP MDG 2023 introduces advanced validation capabilities, allowing organizations to define and enforce complex validation rules. This ensures that data entering the system meets the highest quality standards.

Deleted Master Data Remediation Apps

The Master Data Remediation Worklist (F1687), Master Data Remediation Manage Imports (F2224), and Master Data Remediation Overview (F2519) apps have been deleted and are no longer available on the SAP Fiori launchpad. Their functions are now available in the Manage Remediation Processes app.

Other DQM functionalities introduced with SAP S/4 HANA are:

Copy Derivation Scenarios (Define Derivation Scenarios App)
Support of additional Data Model Tables in Derivations Scenarios
Automatic Derivation for Partner Functions and Tax Indicators.
Enhanced BRFplus Context for Derivation Scenarios and Validation Rules.
Overall performance improvements

Process Analytics

New Apps for Evaluation and Simulation

This feature enables you to use two new apps in place of the existing Evaluate Data Quality for Business Partners and Simulate Validation Rule for Business Partners apps. Important to note that these apps are for Cloud-Ready mode in MDG for Business Partners only. The following are the new app IDs:

F6450, Evaluate Data Quality for Business Partners

Figure 14 Evaluate Data Quality for Business Partners.

Figure 15 Simulate Validation Rule for Business Partners.

Change Request analytics

With the new analysis feature, the following Fiori apps have been enhanced to include the week, month and year creation and completion dimensions.

In the 'Change Request Analysis' Fiori app, you can group change requests by the week, month, or year.
In the 'Analyze Completed Work Items' Fiori app, the dimensions created week and completed week are available.
In the 'Monitor Open Work Items' Fiori app, created week is available. In the custom analytics CDS view, the created week, month, and year are available and automatically generated.

Conclusion & source list

We hope this blog has provided you with a comprehensive overview of the latest advancements on SAP MDG with S/4 HANA 2023, empowering you to make informed decisions regarding your data management strategy.

More information

For further questions or information on this topic or for other questions on SAP Workflow, Fiori, SAP Invoice Management or SAP Master Data Governance (MDG), please contact Sander van der Wijngaart.

What's new in SAP Master Data Governance in SAP S/4HANA 2023