SAP Community - SAP Risk Management

Enhance your SAP experience with SAP approved GRC AC Experts through the Ask an Expert Peer channel

2023-12-04T15:55:49+01:00

What is Ask an Expert Peer?

Ask an Expert Peer lets you collaborate on your technical, product-related questions through one-on-one interactions with a qualified and approved expert outside of SAP. This channel is best to deliver fast issue resolutions for your basic, non-business critical questions and all low to medium priority cases. Ask an Expert Peer is currently available for SAP SuccessFactors and SAP ERP, SAP S/4 HANA, Technology, GRC & Finance solutions at no additional cost.

More information, including expanded product areas for Ask an Expert Peer, can be found in KBA 2998816. More details in blog

Ask an Expert Peer channel is available for which GRC Product Areas?

This channel is available for SAP Access Control and SAP Access Control for SAP S/4HANA.

Experts are available for all sub-product functions of Access Control.

Product Function includes:-

Emergency Access Management

Business Role Management

Access Risk Analysis

Access Request Management

Analysis and Reports

How to Access Ask an Expert Peer from SAP for ME?

Logon to SAP for Me with valid S user id. Navigate to Services & Support and select Get Support App

Provide all basic information about your issue, System, Product and Product Function.

Based upon Product SAP Access Control / SAP Access Control for SAP S/4HANA selection, all available channels will be shown. Select button “Ask an Expert Peer” to launch the experience

Provide details about your issue and submit your question. A qualified and approved expert outside of SAP will work with you to resolve your case through a chat window.

If the expert is unable to resolve your question or you are not satisfied with the answer, you have the option to easily switch to another channel and interact with SAP support by starting Schedule an Expert or by submitting Case. The conversation transcript from Ask an Expert Peer will be saved, so there will be no duplication of effort for you.

Start using Ask an Expert Peer today for all your low to medium
priority incidents.

SAP Financial Compliance / Risk and Assurance Management covers much more than Finance

2024-01-30T11:14:37.797000+01:00

Reset your Perception!

First thing is to say is that SAP Financial Compliance Management has changed names to SAP Risk and Assurance Management (as of end February 2024). I'll use the new name in the rest of the blog.

But a new name isn’t going to be the thing that changes how the software can be used. That is determined by what the solution can do. This blog is aiming to reset your perception, and expectations, as to what RAM can already do.

RAM is now a strong generic internal controls solution. I have to say has grown leaps and bounds since it was first released to customers almost 3 years ago. I bring this up because:

With the rise in importance of the office of the CFO to business performance but also business advice and stakeholder management, finance is a very important topic for any business. It spans operations, planning and forecasting. It covers core finance but also for example IT and digital transformation.
While launched with the name SAP Financial Compliance Management, it was actually the baseline content SAP provided that focused on financial processes. It’s not a software design constraint.
And while it was called SAP Financial Compliance Management, since December 2023 it can also perform simple risk management, and crucially, link documented control performance to enable stakeholders to produce a more accurate and complete risk assessment.

So the software itself is more generic. And if one applies other LOB content/use cases, the software can do more. Hence the new name SAP Risk and Assurance Management. I hope to make that clear in this blog.

What RAM can do already

One of the interesting but subtle points to note is that RAM covers both first line and/or second line controls in the same solution. And I know as I typed the word control I am using it a bit loosely to also include what some people might call an exception report, rather than a control.

For example RAM can already:

Run one of its baseline content automated procedures as a first line business check. For example, checking if journal entries have been posted in a previously closed fiscal period: this could impact how quickly month end / quarter end / annual accounts can be closed. Or looking for blocked suppliers with open items: this could reduce production and/or revenue, or negatively impact supplier relationship.
Run one of S/4HANA’s control exception reports automatically and put it under a ‘governance process’ (assign an owner, raise issues if anything untoward is found, document remediation if required, make all this transparent for audit). This could be an exception report, or a control, or both!
Dive into the topic of tax compliance to help companies with their prefiling accuracy by automating tax compliance checks.
On top of this also perform second line activities for example test of effectiveness and test of design over the above examples.
Perform a survey / questionnaire / mixed format assessment.
Integrate automatically with Signavio Process Manager.

What will be available soon

We also have some exciting content updates, to further reinforce the additional breadth of RAM:

There are 8x latent IT controls SAP produced, which are deployed in S/4HANA, that RAM can make use of. They focus on S/4HANA user management (e.g. detect users that never logged in, detect expired and locked users that should be deleted). We will formally roll them into RAM baseline content as part of the S/4HANA 2408 release, but can already be used.
Next month as part of our S/4HNA 2402 release we will add to our baseline content with ESG, human rights due diligence and Fraud use cases. To show what is possible. We also plan to release a GDPR certification content pack.
Key to the RAM strategy is the ready to use content for S/4HANA. And our partners see this too. Across our energetic and innovative partner ecosystem there will soon be (weeks) content covering ESG as a more comprehensive stand-alone topic plus industry-specific content packs covering 12x industry verticals from Winterhawk. Turnkey have starter packs for RAM . There are a large library of tax compliance rules amongst the Big-4.

In terms of functional enhancements:

We will be adding an Asset object to RAM in the first half or 2024, thus extending the IT control (and risk) management capabilities. But of course this is a generic object that I expect can also be used for ESG-relevant assets, finance assets, data assets, and other physical assets (water and energy utilities, oil and gas, transportation etc.)
We will build an integration to SAP Document and Reporting Compliance during 2024.
We will build an integration to SAP Sustainability Control Tower during 2024.
We will add AI use cases.

Move up the Performance, Control, and Risk Maturity Curve

There are obviously financial and rollout benefits of being able to cover more LOB use cases in a single solution.

But I also want to highlight what this can enable for the ‘digital first’ customers - those who are transitioning to a posture where internal information, processes, and customer experience is digitised and virtualised.

To drive performance (financial, operational, non-financial, legal etc.) with intentionality, processes, risks and controls if well managed will enable the business to catch and prevent any downstream impact to the organization or an end customer. Which is a true value add.

RAM can help the first line owning and managing risk via understanding and analysing the processes of the business, and ensuring adequate internal controls over [insert an LOB here] reporting. Supporting first line activities also helps the business grow and by nature is more forward-looking.

This is in addition to value protect activities such as compliance.

Summary

With one single low TCO, short time to operationalize, easy to use public cloud solution RAM:

Can already technically cover finance, tax, IT, ESG, HRDD, fraud and data privacy
Will soon expand this to broad, and deep, content packs from our partner ecosystem
Can cover control and risk in the same solution, and automate controls
Provides transparency into the business
Helps the business improve performance, and provides real value add

That’s what I would consider a good return on investment.

Join the Innovation Journey with SAP Enterprise Threat Detection, cloud edition

2024-02-04T19:00:00.037000+01:00

Picture 1

Embark on a Journey of Growth and Innovation and secure customers Businesses Now and Tomorrow with SAP Enterprise Threat Detection, cloud edition.

At a time when threats are constantly evolving, SAP Enterprise Threat Detection, cloud edition is a robust solution. We are pleased to announce our expansion journey and officially invite like-minded partners. Be part of our journey of progressive growth and innovation and take advantage of this exciting opportunity. Let's secure the digital landscape together and foster an environment that is not only secure but also conducive to innovation.

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Current State of application security & corporate compliance

The need for robust cybersecurity measures has been amplified by our increasingly digital economy. Statistics reveal that 81% of data breaches result from lost, stolen, or weak passwords, of which three-quarters are instigated by outsiders. Alarmingly, a quarter of these breaches are carried out from within the organizations showing that cybersecurity threats do not solely exist externally but also pose a significant internal risk that demands attention.

Increasing Importance of Cybersecurity

Organizations now readily recognize the relevancy of their cybersecurity posture, with 64% rating it as either important or very important. These businesses understand the integral link between a robust cybersecurity framework and reduced risk of data breaches for all involved - employees, customers, and partners. As many as 65% of the organizations acknowledge this correlation in our intensively digitized business world, where data security is of paramount significance.

The Talent Gap

However, a considerable challenge remains - the acute scarcity of security talent in the industry. A staggering 87% of organizations are struggling with a shortage of cybersecurity specialists. As a result, the number of global cybersecurity job vacancies has drastically increased by an impressive 350%, from 1 million in 2013 to an anticipated 3.5 million in 2021. With the increasing proliferation, sophistication, and scale of cybercrimes, this glaring lack of qualified talent creates a significant hurdle for businesses globally.

Cost of Cybercrime

From a broader perspective, the extraction of an alarming $6 trillion annually from the global economy due to cybercrime reinforces the severity and urgency of reinforcing cybersecurity measures. It is worrying to find that only a mere 38% of organizations can proactively spot risks before they develop into serious threats.

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Cybersecurity as a Business Risk

Cybersecurity, once considered a specialized branch and an IT domain challenge, has escalated to command serious attention at executive levels within organizations. Recent data show that a substantial 88% of board members view cybersecurity as a critical business risk, marking a significant shift from 2016 figures - when only 58% shared the same view. This shift signifies a growing seriousness about cyber threats and their potential to impact businesses at large.

Security and Compliance

Importantly, it must be noted that organizations cannot be compliant without establishing thorough security measures. Compliance to industry standards and regulatory requirements, while providing a guide, cannot alone ensure security. It is insufficient to just adhere to compliance checklists. The rising surge in cybersecurity threats calls for more elaborate and dynamic security protocols, which go well beyond basic compliance frameworks.

The Impact of Security Inadequacies

Failures in the security domain can render organizations susceptible to cyber-attacks, breaches, and violations, inevitably affecting compliance outcomes. These cyber risks disrupt business processes, putting at risk confidential and sensitive information and thus impacting overall compliance with industry standards. Hence, it is fundamental for an organization to incorporate security measures not merely for compliance, but to safeguard vital assets, secure data, uphold reputation and provide assurance to stakeholders.

Picture 4

Embedding Security into Organizational Fabric

Therefore, if compliance is the goal, weaving security into the very fabric of an organization is essential. This necessitates transforming approaches to view cybersecurity as an inherent part of the business strategy, thus amplifying overall compliance and resilience to cybersecurity threats.

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Benefits of leveraging SAP Enterprise Threat Detection

SAP Enterprise Threat Detection (ETD), cloud edition, is a cutting-edge SAP Business Technology Platform Software-as-a-Service (SaaS) solution. Moreover, it incorporates managed services from SAP or one of our specialized partners, dedicated to identifying, analyzing, and reporting malicious activities in your SAP applications before they can inflict serious damage.

Along with presenting a detailed audit trail of all activity and detecting anomalies, ETD provides best practice advice for monitoring SAP applications. It also aids companies in complying with onerous regulatory requirements such as those outlined in the EU's NIS2 directive, the RCE, KRITIS, General Data Protection Regulation (GDPR), as well as various local security laws.

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The Power of Partnership

As we, at SAP, expand our product and service horizons, we're inviting partners to join us on our journey of growth and innovation. We fervently believe that by synergizing our individual proficiencies and skills, we can significantly advance the way we serve our clients and deliver unparalleled value, not just to our direct customers, but to partners' customers as well.

By partnering with SAP, you as partner receive multi-fold strategic benefits. To start with, you can take advantage of our advanced cybersecurity solution which will instantly enable you to augment your service propositions and boost client confidence. With this service, your customers will benefit profoundly as it offers more than just data protection. It equips them with strengthened security measures, significantly reducing their threat to potential breaches. Plus, it delivers an invaluable sense of tranquility, knowing that their data is safeguarded. This secure atmosphere fosters trust and confidence, allowing your customers to focus on growing their businesses, rather than worrying about data security. Moreover, it elevates their experience with your partnership, reinforcing your reputation as a reliable, secure provider.

On top of this, leveraging SAP's extensive global network, you can amplify your reach in the market, acquire access to untapped industry sectors and widen your customer base. The sheer magnitude of our network ensures that associating with us instantly lends an additional layer of trust and reassurance to your customers, thereby bolstering their already existing confidence in your services.

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Exploring New Opportunities

But that's not all! Your engagement with SAP Enterprise Threat Detection, cloud edition equips you with the resources to create unique security services and solution offerings tailor-made to address your customers requirements and objectives. This could take the form of customized managed security services, expert compliance and security consulting, or portfolio optimization. It opens up the gateway to innovative security opportunities, empowering you to stay abreast of competition and offer forward-looking, cutting-edge solutions to your customers.

Getting in Touch & Moving Forward

To explore potential collaboration, receive more information, or simply discuss synergies, feel free to reach out to Tobias Keller or Arndt Lingscheid.

Our doors (and inboxes) are always open to engaging discussions on combating cybersecurity threats together.

Explore our SAP Enterprise Threat Detection Partner Portal to delve deeper into our product and partnership framework.

We, at SAP, wholeheartedly invite all entities who are serious in their quest to enhance their cybersecurity strategies. Together, we can augment our defenses against the incessant tide of cyber threats and build a safer, resilient digital economy. Let's rise to the challenge, together.

SAP Enterprise Threat Detection | SAP Community

GRC Risk Management Series: Risk Analysis profile

2024-04-07T18:00:00.031000+02:00

This article provides a conceptual overview of the Risk Analysis measurement through 'Analysis' and 'Response' calculations. A pre-requisite to this article is to have a basic understanding on the building blocks of Risk Management, such as Probability, Speed of Onset, Impact, etc.

We will begin with determining the 'Analysis'. And then will proceed to 'Response'.

Calculation of 'Analysis'

Risk Management in GRC is based on a hierarchical model, where Risks are associated with Activities. An Activity can be thought of as an assignment which an organization undertakes. Eg. Data Processing of EU countries. Activities are grouped into categories. Let's say EU projects.

And each Activity Category is assigned with a Risk Category. A Risk category is created under the work-center Master Data > Risk and Responses> Risk Catalog. A Risk category requires an 'Analysis profile' to be assigned to it.

So, let us begin the calculation by understanding from the basic unit of Analysis Profile.

An Analysis profile is defined in SPRO > Governance Risk and Compliance > Risk Management > Risk and Opportunity Analysis . The important governing factors for an analysis profile are Probability and Impact.

These 2 factors can of the type Qualitative, Quantitative, scoring, Three-point analysis, etc. Here we will consider Quantitative and Three-point analysis for determining the Risk level.

Three-point Analysis This approach considers customizable %age for 3 scenarios: Min., Average and Max.

Example in the case of a financial loss the %age definition such as 25, 50 and 25 , respectively for the above 3 scenarios will determine the Total loss.

Calculation of 'Response' : A Response is an action taken against a Risk and are of the types: Mitigate, Accept, Transfer, etc. The amount of loss mitigated through this Response is subtracted from the Total loss(calculated through 'Analysis') resulting in the Residual Loss.

The amount(in currency) mitigated is defined under 'Mitigation' in tab Response(for the Risk). The 'Completeness' and 'Effectiveness' are 2 other factors which determine the Residual loss. Therefore, there are 2 types of Residual Loss. One is the present Residual Loss. The other is when the Response is fully completed and therefore is termed Planned Residual Loss.

Example: Response defined with a Completeness of 50% will consider half of the amount(monetary) mentioned under the Response/Mitigation for the present Residual loss. While the planned Residual loss will consider completion at 100% and therefore the entire amount define under Mitigation is considered.

'Effectiveness' also determines the residual loss. Such as 'Very Effective' considers the entire monetary amount defined in Mitigation, while Effective considers 50% of the amount.

Below figure shows calculation of Analysis and Mitigation, resulting to net Residual loss and Residual loss(Planned)

There can be other scenarios such as where the probability-reduction is 10% when Mitigation is applied.

The above provides a basic understanding of Risk Measurement. The other elements on Risk Management will be shared in different articles.

Please share your comments and suggestions.

INFLUENCE THE DEVELOPMENT OF SAP ENTERPRISE THREAT DETECTION, CLOUD EDITION

2024-05-03T06:40:10.948000+02:00

Introducing influence page for SAP Enterprise Threat Detection, cloud edition.

The SAP Enterprise Threat Detection product team are inviting customers and partners to share their feedback and ideas to enhance our solution.

On SAP Enterprise Threat Detection, cloud edition Influence page you can see all submitted requests, submit your improvement requests, vote and comment on other ideas.

The rationale and advantages of a customer influence page include:

Augmenting customers engagement and influence on product features.
Improving product/services using meaningful customer insights.
Cultivating an engaged community.
Serving as a central platform for customer suggestions and fueling innovation.

The product team regularly evaluates the ideas and considers them for roadmap planning. Votes help to priorities ideas along with other important selection criteria such as:

DESIRABILITY: How many customers voted for this? How many customers will benefit from it?
VIABILITY: Is this Improvement Request globally relevant? Is this in alignment with SAP’s strategy for the product?
FEASIBILITY: Is the development effort realistic? Is this request achievable within the product’s architecture?

While this page is mainly for the public cloud edition, for private cloud and on-premise versions feel free to propose integration-related ideas.

Follow the steps below to get access and start sharing your enhancement ideas:

Go to SAP Enterprise Threat Detection, cloud edition Influence page.
- In case you are a new user, create a user account using S-User-ID and accept the Terms of Use. Once the user is created you activate SSO and can access without any interruption.

Follow the session to get notified of new Improvement Requests and blogs.
Vote and comment on Improvement Requests posted by other customers/ partners.
Submit new Improvement Requests.

You can also check out the videos\link below, if you wish to learn more about SAP Continuous Influence and how to submit and manage improvement requests:

Please reach us at SAP-ETD@sap.com in case of any issue.

We look forward to seeing your ideas and further improve our software as we move forward.

Where can I start learning SAP Agricultural Contract Management?

2024-07-04T12:52:51.473000+02:00

I recommend to access our Exploring SAP Agricultural Contract Management learning journey learning journey

Overview
Introducing Industry Concepts in Agricultural Origination and Trading, this course provides a comprehensive overview of SAP Agricultural Contract Management. It outlines its main components, supported processes, and master data. Delving deeper, it explores contracts, inventory handling, and fee frameworks within the system. It also covers prepayments, pricing, load data capture, settlement, revenue recognition, and the application process. Lastly, it sheds light on risk reporting in conjunction with SAP Commodity Risk Management, offering a holistic understanding of SAP Agricultural Contract Management.

Learning objectives
After completing this learning journey, you will be equipped with the essential knowledge and skills to navigate the soft commodity business landscape and gain an understanding of the intricacies of the industry. Additionally, you'll delve into the components and functionalities of the SAP Agricultural Contract Management product. By the end of the course, you'll emerge proficient in both the conceptual framework of the soft commodity business and the practical application of SAP Agricultural Contract Management.

Prerequisites
On the SAP Agricultural Contract Management product page you will find more general information.

Pass all the quizzes and receive a digital badge

Please ask a question related to the digital learning Journey in the Q&A area.

Our SAP Learning Experts will get back to you as soon as possible! We are here to support you.

I appreciate your feedback and we will make sure to continue sharing interesting topics.

Kind regards
Margit

How to Enhance Your SAP Security with Best Practices and Tools

2024-08-16T13:31:42.010000+02:00

In an era where cyber threats are increasingly sophisticated, safeguarding SAP systems has never been more critical. According to IBM’s 2023 Data Breach Report, the global average cost of a data breach was $4.45 million, a 15% increase over three years.

As businesses rely heavily on SAP for their core operations, the impact of such breaches can be devastating, resulting in significant financial losses and reputational damage. Implementing robust SAP Security Best Practices and Tools is essential to mitigate these risks, ensuring that your SAP environment remains secure and resilient against potential threats.

What Is SAP Security?

SAP security is a fundamental aspect of an enterprise's cybersecurity strategy. It involves protecting SAP business systems that organizations depend on for their core business processes and operations. Common threats to SAP technologies include exploitation, fraud, risks to data integrity, unauthorized network access, and data leaks. Continuous, automated auditing and security monitoring of SAP systems can mitigate these risks. However, these activities necessitate active engagement from security teams.

Many organizations treat SAP as a separate entity, relying solely on ERP vendor tools and excluding SAP environments from the broader security scope. This siloed approach increases vulnerability to attacks. It is crucial to integrate SAP systems into the organizational network and maintain centralized monitoring for all critical systems, including SAP.

SAP Security Challenges

Non-secure Communication Protocols

SAP environments encompass numerous components such as S/4HANA, SAP ERP, SAP Gateway, and Internet Communication Manager (ICM), which use communication protocols like Remote Function Call (RFC) and HTTP. Many of these systems use stored login credentials that lack encryption and basic security controls, posing significant risks.

Complex Environments

SAP environments are inherently complex, with multiple components and unique login credentials. Users often reuse passwords and compromising one can grant access to several sensitive systems. Even with single sign-on (SSO) enabled, password logins are still permitted, exacerbating security challenges.

Lack of Integration with the SOC

Even with a Security Operations Center (SOC) in place, SAP applications often remain unintegrated and managed by a dedicated SAP team. Security Information and Event Management (SIEM) systems may not monitor SAP logs due to their proprietary formats, creating a security gap.

Custom Development

Custom code development, reporting, and transactions are common in SAP systems. Programmers may not follow secure coding practices, and their code might not be tested for vulnerabilities, exposing critical applications to ransomware, malware, and unauthorized access.

Hybrid Environments

The introduction of new technologies expands the attack surface of SAP systems. Managing hybrid environments with both on-premises and cloud solutions further complicates security efforts.

Critical SAP Security Best Practices

1. Roles and Authorizations

Authentication and authorization are fundamental in SAP systems, with an emphasis on separation of duties (SoD). Avoid assigning permissions that allow any one individual to cause significant damage. "Firefighter accounts" with broad permissions should be granted temporarily for urgent maintenance and then revoked. Continuous, automated reviews of SAP authorizations are necessary, and achievable through advanced SAP tools.

2. Patch Management

Regularly applying security updates is crucial to address known and zero-day vulnerabilities. However, keeping track of necessary patches and applying them consistently is challenging. Many SAP systems remain unpatched for extended periods, increasing vulnerability risks.

3. Secure Coding

Developers are responsible for secure coding and maintaining a secure software development lifecycle. Using code scanning tools provides developers with quick feedback on potential vulnerabilities and remediation steps. Educating developers on best practices for SAP security is also essential.

4. Transaction Monitoring

SAP’s transactional and functional modules can be accessed remotely, enabling users to create accounts and grant permissions. Continuous real-time monitoring of transactions, RFC modules, and SAP reports is vital to control and restrict transaction usage. Monitoring external access to the SAP system through its interfaces is also crucial.

5. SAP System Settings

Secure configuration is foundational to SAP security. Configuration options are extensive and applied at the database level through SAP Profile Parameters. Compliance with configuration rules outlined in the SAP Basis Operating Manual is necessary. Correctly configuring security settings for the operating system, application, and database layers is essential.

6. SIEM Integration

Integrating SAP security monitoring with a centralized SIEM enhances security beyond standard compliance. This integration delivers comprehensive visibility and safeguards across SAP and non-SAP environments. Standard SIEM solutions may require specialized plugins or SAP’s own SIEM solution, SAP Enterprise Threat Detection, for effective integration.

SAP Security Solutions

SAP offers numerous business applications with various architectures, including NetWeaver AS ABAP, SAP HANA, SAP Cloud Platform, and SAP Ariba. The first layer of defense is the system backend, enabling administrators to enforce security, define roles, and set access requirements. Security features differ based on the application’s deployment model (cloud or on-premises).

SAP Cloud Identity Access Governance

SAP Cloud Identity Access Governance is a cloud solution that streamlines governance processes across SAP solutions. Key features include continuous access analysis, user assignment optimization, and pre-configured audit reports.

Access Compliance Management: Continuous analytics and real-time insights for managing access compliance.
Intelligent Assignment Optimization: Precise user access assignments and guided remediation.
Extended Risk Management and Control: Monitoring and remediation processes for SoD and security across on-premises and cloud systems.

SAP Enterprise Threat Detection

SAP Enterprise Threat Detection (ETD) is an SIEM solution utilizing SAP HANA to handle high-volume security events in real-time. It detects anomalies, neutralizes attacks, and prevents damage during data breaches.

Log Correlation and Analysis: Analyzing vast log data and correlating information across the SAP environment.
Automated Threat Detection and Alerting: Using predefined patterns for attack detection and issuing alerts to security teams.
Integration with SAP Solutions: Threat detection at the application server and database levels.

SAP Data Custodian

SAP Data Custodian enhances security information for public cloud users, increasing transparency and credibility.

Policy Creation and Enforcement: Governing data lifecycles, access, processing, storage, and movement with geolocation policies.
Data Visibility, Alerting, and Reports: Monitoring data access and movements and receiving near-real-time compliance reports.
Independent Encryption Key Management: Maintaining control over encryption data and keys, reducing data breach risks.

SAP Governance, Risk, and Compliance (GRC)

SAP GRC solutions help manage resources across the enterprise to minimize risk and reduce compliance costs. Products like SAP Risk Management, SAP Process Control, and SAP Audit Management automate GRC activities and improve control and visibility.

SAP Identity Management

SAP Identity Management covers an individual’s entire identity lifecycle, allowing administrators to manage access information, configure roles, and meet compliance requirements. It also offers self-service capabilities for password management and integration with SAP Cloud Identity Services for hybrid deployments.

SAP Information Lifecycle Management

SAP Information Lifecycle Management (SAP ILM) can block and delete sensitive data, crucial for complying with data privacy regulations like GDPR and CCPA.

Data Management and Archiving: Managing data volumes and ensuring easy access to archived data.
Retention Management: Supporting the full lifecycle of data and managing data policies.
System Shutdown: Decommission legacy systems and ensure on-demand access to data.

Conclusion

Implementing SAP security best practices and tools is essential for protecting your SAP environment from the growing threats of cyberattacks. By focusing on roles and authorizations, patch management, secure coding, transaction monitoring, system settings, and SIEM integration, organizations can strengthen their SAP security posture.

Leveraging SAP security solutions like SAP Cloud Identity Access Governance, SAP Enterprise Threat Detection, and SAP Data Custodian further enhances protection and compliance. Adopting these strategies ensures a resilient defense against potential threats and maintains the integrity and security of your critical business systems.

GRC Tuesdays: What’s New in SAP solutions for Three Lines, Vendor Risk Assessment

2024-10-22T07:00:00.029000+02:00

Gartner defines Vendor Risk Management as “the process of ensuring that the use of service providers and IT suppliers does not create an unacceptable potential for business disruption or a negative impact on business performance”. Of course, I agree with this definition, but I would even go a step further: it’s not just about service providers and IT suppliers, it’s about all suppliers.

As the 2020 pandemic has shown us, a supply chain is only as strong as its weakest link. A small grain of sand – such as 1 ship blocked in the Suez Canal out of 50 ships transitioning per day, or a low water levels in the Gatún Lake directly leads to major disruptions – shortages, price increases, etc, around the entire globe… Talk about the butterfly effect!

Not all vendors are equally critical though, and not all issues will lead to the same knock-on effect as the Suez or Panama issues. But companies must be able to adequately identify their high-risk suppliers and take appropriate measures to prevent business disruptions.

With Support Package 26 of SAP Risk Management 12.0, a dedicated capability has been added, with its very own master data records and associated workflows, to help companies manage vendor risk:

1. Create Vendor Categories

Here, there is a new Fiori tile: Vendor Category, where vendor structure is presented in a tree format so that you can have high level node classifications and subcategories. In addition to the definition, users can also define the assessment criteria that will be relevant for the risk evaluation process, i.e.: Quality, Price, Delivery, or anything else that is key for the company for this particular vendor category. Weighting factors can also be assigned to increase the importance of one criterion over others. Once this step is completed, users can assign a survey template as well as recipient(s) for these survey activities.

2. Setup Vendor Risk Survey

In the same Survey Library from SAP Process Control and SAP Risk Management that you already use today (and most likely love as well!), a new category has been added: Vendor Risk Survey. As you would for other survey, you can maintain the associated questions (from the Question Library or only for this survey purpose), the response types and their associated scores, the dependencies between questions in the same survey, etc.

Then, in the Valuation tab of the survey, you can map the responses to the risk assessment. This can be either by direct assignment (i.e.: Response to question 1 populates impact criteria A) or by combining multiple responses (i.e.: Response to question 2 + response to question 3 populates impact criterion B).

You can of course create as many Vendor Risk Surveys as needed, especially if you have different assessment criteria for different vendor types.

3. Create and Maintain Vendors

Now that preparation tasks are complete, you can work on the list of vendors in the scope of your initiative with the Vendor Management Fiori app.

As you can imagine, you simply need to enter the description and chose the relevant category. There are other optional attributes as well if needed.

4. Schedule Survey

Once the vendor master data has been created, it’s time to turn on the magic and trigger the questionnaires to be sent for risk assessment.

Directly from the vendor record that was created on step 3, there is a “Survey” tab that enables users to do just that. Define a name, select a due date and it’s done. SAP Risk Management does all the rest. Simple!

5. Respond to Questionnaire

Designated recipients will receive the survey tasks directly in their Work inbox – as well as a notification by email, and can easilly go ahead and enter their responses as well as any additional comments they would like to raise.

6. Review and Consolidate Results

The consolidation of all vendor risk assessment surveys is available directly in the vendor record created at step 3, back in the Survey tab mentioned earlier.

Using the responses from the respondent(s) and the valuation mappings, SAP Risk Management is able to calculate an overall Risk Level. The Business Owner can review the individual responses and then submit the results (or overwrite them if they disagree). A full audit trail of responses and overwrites is of course kept!

7. [Coming soon!] Monitor Risk Levels

In Manage Vendors Risks, all vendors and their risk assessments will be displayed in a single screen. Filtering and sorting will of course be possible. When drilling-down into one record, the detailed information will be available but also the assessment trend over time.

This will enable Business Owners to identify negative drifts, and focus their attention on high level vendors – and potentially start triggering continuity options: search for alternative vendors, increase emergency stock levels from high-risk suppliers, etc.

Since a short video is always better than a thousand words, you will also find below a recording from Marie-Luise Wagener-Kirchner and Paul Petraschk from SAP GRC Product Management illustrating each step above directly in the live solution:

Should you be interested in more details, especially implementation steps, then I would recommend the following sources:

SAP Note 3494200 - Release Information Note of Vendor Risk Assessment
Vendor section on the SAP Help Portal for SAP Risk Management 12.0 Support Package 26

If you are already using SAP Risk Management, why not try this new capability? I look forward to reading your thoughts and comments either on this blog or on Twitter @TFrenehard

And if you are interested in learning more about SAP solutions for Governance, Risk, and Compliance, feel free to fill-in the demo request form!

Do you want to gain expertise in the advanced features and functionalities of SAP Risk Management?

2024-11-29T11:02:05.841000+01:00

I recommend to access our Exploring SAP Risk Management learning journey.

Overview
This learning journey helps to understand how to enable enterprises to efficiently manage governance, risk, and compliance (GRC) needs, and streamline Enterprise Risk Management using advanced features and functionalities of SAP Risk Management.

Learning objectives
After completing this learning journey, you will be able to:

Create master data in SAP Risk Management, including elements such as organizations, business objective, activity, risk catalogue, risk driver, and impact.
Deep dive into the intricacies of risk assessment and discover the power of key risk indicator monitoring.
Explain the potential of standard reporting functionality to enhance compliance and operational efficiency.

Prerequisites

Exploring the Principles of SAP Governance, Risk and Compliance in the SAP S/4HANA Public Cloud

Please ask a question related to the digital learning Journey in the Q&A area.
Our SAP Learning Experts will get back to you as soon as possible! We are here to support you.

I appreciate your feedback and we will make sure to continue sharing interesting topics.

Kind regards
Margit

Kickstart your SAP GRC Learning Journey: Introduction to SAP GRC, Submodules and useful links

2025-01-28T10:26:08.292000+01:00

1. GRC Principles & Harmonization - Introduction to GRC (GRC100) To begin your SAP GRC journey, you'll start with the fundamentals. GRC100 will give you an introduction to the principles of Governance, Risk, and Compliance. This foundational module lays the groundwork for understanding how GRC helps businesses manage risks, ensure compliance, and streamline governance. Also helps to understand basic harmonized reporting framework.

2. SAP Access Control (GRC300) SAP Access Control is a crucial element for managing user access within an organization. In GRC300, you will learn how to implement and configure SAP Access Control to ensure that users have the right level of access to the right systems and data, minimizing security risks.

SAP Access Control has submodules such as Access Risk Analysis (ARA), Emergency Access Management (EAM), Access Request Management (ARM), Business Role Management (BRM) and Certifications – User Access Review (UAR) etc.

Reference SAP Standard Learning journey:

https://learning.sap.com/learning-journeys/discovering-the-main-functionalities-of-sap-access-control

3. SAP Process Control (GRC330) SAP Process Control is designed to improve compliance with regulations and internal policies. It helps to implement Internal Controls. In GRC330, you will dive into implementing Process Control with all required configurations. Process Control is used to automate and monitor controls, making it easier to manage processes and ensure compliance across your organization.

SAP Process Control has submodules such as Continuous Control Monitoring (CCM), Assessments, Surveys, Ad Hoc Issue Management, Policy Management and Sign-off.

Reference SAP Standard Learning journey:

https://learning.sap.com/learning-journeys/discovering-the-key-functionalities-of-sap-process-control

4. SAP Risk Management (GRC340) SAP Risk Management helps to identify, analyze, and mitigate risks. This module is essential for those looking to build a comprehensive risk management framework within their organization.

SAP Risk Management has key features/sub modules such as Risk Planning, Risk Identification, Risk Analysis, Risk Response and Risk Monitor and Reporting.

Reference SAP Standard Learning journey:

https://learning.sap.com/learning-journeys/exploring-sap-risk-management

5. SAP Business Integrity Screening (GRC350) SAP Business Integrity Screening (BIS) is a new name for SAP Fraud Management (FM). It helps to detect and prevent fraud by screening business partners against blacklists, watchlists, and other data sources, and it uses CDS views.

SAP Business Integrity Screening (BIS) is one of the modules in SAP Assurance compliance Software (ACS), it has key features/submodules such as Detection of Suspicious Patterns (using Detection Methods, Detection Strategies), Predictive solution using ML, Fuzzy logics etc.

6. SAP Tax Compliance (GRC360) SAP Tax compliance is a critical aspect of governance, especially for global organizations. It helps you to learn how to implement SAP Tax Compliance solutions to ensure that your organization adheres to local and international tax laws, reducing the risk of non-compliance.

SAP Tax Compliance is one of the modules in SAP Assurance Compliance Software (ACS), it has key features/sub modules such as managing compliance management etc.

7. SAP Cloud Identity Access Governance (GRC370) SAP Cloud Identity Access Governance (IAG) is a latest cloud solution for Access Governance. It offers similar features like On-Prem Access Control; however, it is still evolving. As most of the organizations shifting to the cloud, it’s essential to ensure secure identity and access management. It helps you control who has access to what in a cloud environment.

SAP Cloud IAG has submodules/services such as Access Analysis, Access Request, Access Certification, Role Design and Privileged Access Management.

8. SAP Audit Management (GRC380) SAP Audit Management helps to automate internal auditing procedures and improve quality.

It helps to setup end to end audit management and helps to plan, execute, and manage audits within your organization, ensuring that you're always prepared for internal and external scrutiny.

SAP Audit Management has key features/submodules such as Audit Planning, Audit Preparation, Audit Execution, Audit Reporting and Audit Follow-up.

I hope this helps to start your journey into SAP GRC also if you're aiming to level up your skills in SAP GRC ! By diving deep into these modules, you'll gain the knowledge and skills needed to excel in the world of Governance, Risk, and Compliance.

Please connect and follow me for the next upcoming informative articles in SAP Security, GRC, BTP, Internal Controls and Risk & Controls area.

Share your thoughts in the comments below !

Risk Harmonization in SAP GRC: Unifying PC and RM

2025-03-12T13:17:47.579000+01:00

What is Risk Harmonization:

It's a feature that allows RM and PC to share a unified risk repository.

Benefits of Risk Harmonization:

Unified Risk Source: Creates a single source of truth for risk information.
Top-Down, Risk-Based Approach: Enables a risk-based internal control approach where risks in processes can be automatically identified and responses are provided.
Integrated Information: Facilitates the interchange of risk and control information between RM and PC.

Without Risk Harmonization:

Separate Information Objects: PC and RM use separate risk information objects.
Limited Integration
Only risk template can be mapped to central PC subprocess and control.
Restricted Data Sharing: Risks and assessments from RM cannot be directly utilized by PC, and harmonized information cannot be displayed.

In essence, risk harmonization improves the efficiency and effectiveness of risk management and internal controls within the SAP environment by creating a more integrated and streamlined process. Without it, the systems operate more independently, and information exchange is limited.

Business Case:

Scenario:

A multinational company with operations in various regions is facing challenges in harmonizing risk management practices. Each region uses different risk management tools and methods, resulting in inconsistent risk reporting, lack of visibility into enterprise-wide risks, and inefficiencies in risk mitigation. The company decides to implement SAP GRC Risk Management (RM) to harmonize risk management across the organization and process control.

Implementing SAP GRC RM for risk harmonization allows the organization to standardize its approach to risk management across departments and regions. By enabling risk harmonization company can ensure consistent reporting and can reduce effort in mapping master data.

Topics Covered in this Blog

Activating Risk Harmonization
Assigning RM Risks to Local PC Subprocesses
Assigning PC Controls to RM Risks as Responses
Assigning RM Risks to PC Controls
Reusing the PC Central Process Hierarchy in RM
Email Notifications

Activating Risk Harmonization:

You can enable risk harmonization within the SAP system using the SPRO transaction. To activate this functionality, you'll need to navigate through below configuration path.

SPRO -> Governance Risk and compliance -> Shared Master Data Settings -> Activate the Risk Harmonization Feature

Assigning RM Risks to Local PC Subprocesses

Once risk harmonization is enabled, users of SAP Process Control can seamlessly integrate SAP Risk Management risks into their local SAP Process Control subprocesses. This integration allows for automatic synchronization: any controls defined within these subprocesses, that are linked to the integrated risks, will be automatically recognized and reflected as risk responses within the SAP Risk Management system.

Procedure for assigning risks to local subprocesses in SAP Process Control, Utilizing risk harmonization:

Enable Local Changes: When assigning a central subprocess to an organization in SAP Process Control, ensure the "Allow Local Change" option is selected. This grants the flexibility to incorporate risks specific to the local environment.

2. Create Risk in SAP Risk Management: In SAP Risk Management, create the relevant risk. Within the "Organization Unit" field, specify the same organizational unit that is associated with the target subprocess in SAP Process Control.

3. Assign Risk in SAP Process Control: Navigate to SAP Process Control and assign the risk to your local subprocess. Note that all risks originating from SAP Risk Management will be identified with the source "Inherent to Organization."

Assigning PC Controls to RM Risks as Responses

Risk harmonization enables seamless integration between SAP Risk Management (RM) and SAP Process Control (PC), facilitating the automatic identification of controls as responses to risks. This connection simplifies risk mitigation efforts and ensures consistency between the two systems. The bidirectional control-risk relationship functions as follows:

PC Control as a Response to RM Risk: When a control in SAP Process Control is assigned as a response to a risk in SAP Risk Management, the risk is automatically linked to the control within SAP Process Control.
RM Risk Assigned to PC Control: Conversely, when a risk in SAP Risk Management is assigned to a control in SAP Process Control, the control is automatically designated as a response to the risk within SAP Risk Management.

Steps:

SAP Risk Management (RM):

Open a risk within SAP Risk Management.
Assign (or remove) an SAP Process Control (PC) control as a response to that risk.

2. SAP Process Control (PC):

Open the corresponding local control.
The related SAP Risk Management risk is automatically linked to, or removed from, the control and the status would be : “Inherent to organization”

Assigning RM Risks to PC Controls

Once risk harmonization is activated you can assign risks created in SAP RM to SAP PC.

Steps:

In SAP Process Control, open a local control and assign an SAP Risk Management risk to the control. You can also remove an existing SAP Risk Management risk from the control

2. In SAP Risk Management, open the risk. The SAP Process Control has been automatically added to or removed from the risk as a response

If RM Risks are assigned to Local PC Subprocesses would the Subprocesses automatically add to Risk on RM side?

Yes if the below configuration is enabled.

Reusing the PC Central Process Hierarchy in RM

Central PC subprocesses can be used as an activity category in SAP Risk Management.

Steps to use the SAP Process Control central processes in SAP Risk Management:

Access transaction GRFN_STR_CHANGE in the back-end system and go to the section on activity categories.
Below the activity category item, select Search Term to find the activity category that you are working with in the application. The result list is displayed at the bottom left of the screen.
Select the activity category at the bottom left to see the data for it on the right-hand screen sections.
On the tab Activity Category Attributes (bottom section), access the Prefix field and select the Prefix ID called PROCESS.

Once this is done SAP Risk Management application will displays the SAP Process Control hierarchy, containing its processes and subprocesses as activity category and activity.

Email Notifications

Recipient of email notifications for different business events in Customizing for Governance, Risk and Compliance can be configured using standard agents under below node:

General Settings ->Workflow ->Maintain Custom Agent Determination Rules.

Below node can also be followed to setup the notifications-

SPRO->Governance Risk and Compliance-> Shared Master Data Settings->Activate the Risk Harmonization Feature

Activate the required customizing Item.

Understanding SAP’s Product Strategy for Governance, Risk, and Compliance (GRC) Solutions

2025-03-21T23:57:34.074000+01:00

No Customers Left Behind!

In light of recent announcements regarding a new version of the SAP GRC solutions scheduled for 2026 and end-of-maintenance dates, there has been some confusion (see 3326989 – Announcement of the Upcoming Release…). Additionally, incorrect statements in the market with respect to support for SAP Access Control & other SAP GRC solutions have added to the uncertainty.

The 2026 release is a new version of the SAP GRC solutions available for customers to migrate or upgrade to. Version upgrades for HANA based solutions are delivered as part of the standard maintenance process at SAP.

SAPinsider Strategy Presentation

Let’s set the record straight:

SAP Access Control and GRC solutions for SAP are NOT end-of-life!
SAP GRC 2026 is a new version (not a new product) for any SAP GRC on HANA customers.
The 2026 release is planned for both on-premises and private cloud deployments.
Exciting innovations are planned for all SAP GRC solutions, including the use of AI, enhanced user interface (UI), improved reporting, and much more. Updated roadmaps will be published on roadmaps.sap.com. This applies to GRC solutions on SAP HANA, on-premises, or in the private cloud.
The 2026 release will be based on a unified platform for SAP GRC solutions. This new platform will facilitate easier cross-GRC scenarios, integration with SAP Business Suite applications, and enhanced AI capabilities.
Existing SAP GRC solutions on SAP HANA will be upgraded to the 2026 release as part of their standard maintenance program, meaning no new SKU or additional purchase is required.
Customers using “classic” versions of SAP GRC (on databases other than SAP HANA) will need to migrate to either the new on-premises or private cloud 2026 version.
End-of-maintenance (EOM) dates for the 2026 version will be updated to align with HANA EOM dates, extending support until 2040.

What This Means for SAP Tax Compliance Customers

With the upcoming SAP GRC 2026 release, SAP Tax Compliance remains a fully supported component, ensuring continuity, compliance, and innovation:

Customers can migrate or upgrade to the new SAP GRC version (which includes Tax Compliance) with support guaranteed through 2040, in line with SAP S/4HANA.
The mainstream maintenance end dates for current versions remain unchanged:
- SAP GRC 12.0 and GRC for S/4HANA 12.0; until 2027
- SAP Tax Compliance (ACS) 1.7; until 2028
SAP will continue to make targeted investments in the current SAP Tax Compliance solution, including support for legal changes, performance optimization, bug fixes, and selected innovations.
Looking ahead, SAP Risk and Assurance Management (RAM) is a strategic investment focus area as part of the SAP Business Suite. Customers are encouraged to subscribe early and join the RAM influence council to help guide its roadmap.

Critical Solutions for the Enterprise

SAP GRC solutions, including SAP Access Control, Process Control, Risk Management, Business Integrity Screening, Audit Management, Tax Compliance, UI Masking, and UI Logging, have an enormous install base with thousands of active customers many of whom have made significant investments in extensive implementations and customizations. These solutions are vital for managing access and generating critical audit reports to ensure compliance and security across some of the largest and most complex SAP systems worldwide.

While many of these customers are undergoing a cloud transformation, others are remaining on-premises and have no plans to migrate. The 2026 GRC release ensures a smooth upgrade or migration path, regardless of your current deployment—whether you’re on SAP HANA or running a “classic” system.

This solution strategy accommodates all SAP GRC customers, ensuring they can easily transition to the latest version—whether they choose to stay on-premises or move to a private cloud.

More to be announced!!

Look for webinars and information sessions from SAP and partners for additional details and timing on the 2026 release.

Conclusion

SAP’s GRC solutions continue to evolve, providing customers with new innovations to deliver additional value, streamline processes, and improve the end-user experience. Whether you’re on-premise, in the cloud, or migrating between the two, SAP’s strategy ensures no customers are left behind as we move toward the exciting innovations planned for the 2026 release. Stay tuned for announcements about upcoming SAP and partner webinars!

Authors

Swetta Singh – GRC Chief Product Expert
Chris Radkowski – Chief Product Marketing Manager
Thomas Frenehard – Chief Product Marketing Manager

Compliance in the Age of AI: How SAP GRC’s Regulatory Insights is Redefining Risk Management

2025-08-14T11:33:52.754000+02:00

The Silent Storm of Non-Compliance

It’s 7:15 AM and Priya Nair, Chief Compliance Officer (CCO) at a global pharmaceutical giant, receives a regulatory update from the European Medicines Agency. She sends it to her team, already anticipating a flurry of urgent responses and braces herself for another fire drill.

New regulations mean changes to internal controls. This means hundreds of person-hours reviewing documents, comparing frameworks, updating controls, notifying teams, and preparing for audits. All this—while staying ahead of business goals.

For Priya, and thousands like her, this is not a once-in-a-while event. This is daily life.

Introduction:

In today’s hyper-regulated environment, where 250+ regulatory change events occur each day, manual compliance processes are no longer sustainable.

Enter: SAP Process Control with Regulatory Insights, a breakthrough SAP GRC innovation built on SAP BTP, powered by AI and Generative AI, that’s helping professionals like Priya flip the compliance narrative from reactive to proactive—and from cost-center to competitive edge.

The Compliance Conundrum: A Modern Enterprise Challenge

Today’s enterprises are dealing with:

Constantly evolving regulations (think GDPR, SOX, NIST, COBIT, MaRisk…)
Siloed compliance efforts across business units
Inconsistent control documentation
Audit fatigue
Fear of non-compliance fines, loss of reputation, and erosion of stakeholder trust

Manual processes for control mapping, documents handling is error prone, cost intensive and increases risks as well as burnouts.

The Game Changer: SAP Process Control with Regulatory Insights

Now let’s zoom into the innovation.

At the heart of this solution lies the SAP Process Control and Regulatory Insights service—on BTP, an AI-powered application designed to interpret, extract, compare and map control requirements across evolving regulatory documents.

Let’s break it down through personas in a real-world narrative.

Priya Nair – Chief Compliance Officer

Pain Point: Challenged and facing mounting pressure by increasingly complex regulatory landscape.
Solution:

With AI-powered Regulatory Insights, Priya’s team can now automatically extract control requirements from large regulatory documents using NLP and machine learning. These are uploaded through the Import Control Requirements App into SAP Process Control.

Impact: Hours of manual reading and interpretation reduced to minutes. Regulations are now available in GRC system as meaningful control definitions.
“It’s like having a legal expert and a data analyst rolled into one AI assistant” , Priya says.

2. Carlos Menendez – Control Owner in Finance

Pain Point: Updating internal controls with every regulatory change
Solution:

Using the Manage Control Requirements App, Carlos can quickly create or update internal controls—both centrally and locally—linked to his business processes.

Impact: Faster response to regulatory change. Controls are tracked, assigned, and monitored periodically.
“I no longer rely on spreadsheets and emails—I now have a control cockpit” , Carlos shares.

3. Jennifer Shen – Internal Auditor

Pain Point: Identifying what changed in a regulation
Solution:

With Delta Analysis, Jennifer compares two versions of a regulatory framework and instantly sees what’s added, removed, or modified.

Impact: Audit readiness improves drastically. Summary reports help prioritize control updates and decision-making.

“What took days of manual review now takes seconds” , she smiles.

What Frameworks Are Supported?

Currently live within SAP SE environments, the solution supports:

C5
COBIT
FitSM
GHB
MaRisk
NIST
SOX

And this is just a beginning…

What’s Coming Next (Q3–Q4 2025)?

Control Gap Analysis – Automatically detect gaps between existing controls and new regulations.
Control Coverage Analysis – Suggest additional controls using Gen AI, ensuring better control coverage.
Process Orchestration – Enhanced sync between SAP Process Control and Regulatory Insights, helping drive resilience.

Business Benefits: From Cost Center to Strategic Advantage

Significant Cost Savings: With ~250 regulatory change events a day, savings range between USD 50K to USD 250K just from automation and reduced manual effort.
Audit Readiness: Continuous delta analysis means controls are always audit-ready.
Smarter Risk Management: Proactively mitigate non-compliance risks and enhance stakeholder trust.
Strategic Focus: Free up experts from mundane tasks—redirect efforts toward innovation and strategic resilience.

Conclusion: Turning Compliance Into Competitive Advantage

In a world where trust is the currency of business, non-compliance is not an option.

SAP Process Control with Regulatory Insights is not just another GRC tool—it’s a strategic partner for organizations that want to stay compliant, agile, and ahead of change.

By leveraging AI and Gen AI, it automates the interpretation of complex regulatory language, links it to enterprise controls, and ensures your business is always one step ahead of regulators.

For CCOs like Priya, Control Owners like Carlos, and Auditors like Jennifer, it is not just about managing risks - it is about enabling trusted growth.

Key Takeaways

Automate regulatory interpretation and control mapping
Instantly compare evolving regulations and identify control changes
Save costs and person-hours through AI-powered insights
Build resilient and audit-ready internal control environments
Future-proof compliance strategy with AI-led innovation

Want to see how SAP GRC with Regulatory Insights can transform your compliance posture?

Chandan Kalra, Director, GRC, Product Engineering | Srinath Ganesan, Director, Finance & Risk

SAP Exception Handling and Auto Remediation with AI Agents

2025-08-22T04:19:57.703000+02:00

Agentic AI in SAP Exception Management

Introduction:

Enterprises running SAP can relate to this moment: month-end is approaching, the finance team is reconciling accounts, the procurement is chasing approvals, and the operations are working overtime to close orders. Then it happens: an exception surfaces. A blocked invoice. A missing goods receipt. A foreign currency posting that doesn’t add up.

From the eagle eye view this might seem just a minor technical error. But the reality? They halt business processes, disrupt vendor payments, distort financial reporting, and expose the enterprise to compliance risks.

For example: A global retail enterprise once faced an inventory discrepancy exception. In SAP, the system records showed stock available for sale, but in reality, the physical warehouse had no such stock. This type of exception occurs in SAP Materials Management (MM) and Inventory Management (IM), and often spreads into Production Planning (PP) and Sales & Distribution (SD) because customer orders are created based on inaccurate stock levels.

The impact was significant: customers placed orders that couldn’t be fulfilled, leading to stockouts during peak season. Operations teams scrambled to explain, procurement rushed to source emergency materials, and finance recorded lost revenue. In just one quarter, the company estimated over USD 3 million in lost sales, in addition to reputational damage and strained customer relationships.

In this digital world where uptime, accuracy and punctuality define competitiveness, an exception like this becomes a huge boardroom issue and requires modern and proactive solutions to tackle.

Exceptions in SAP – A Business Reality

An exception in SAP is basically a deviation from the expected process flow which required a manual intervention to fix. These exceptions are often unplanned and disrupt the business operations.

Example 1 Retail (Inventory Exception)

A major retail chain launched a seasonal promotion on consumer electronics. SAP showed 5,000 units available in the system (MM/IM module), but the actual warehouse had only 3,000 units due to a stock posting error. Orders were processed based on the system quantity, and customers kept buying online, only to later receive cancellation notices.

Where it happened: SAP Materials Management (MM), Inventory Management (IM)
Business Impact:
- USD 2M in lost revenue during the campaign due to unfulfilled orders.
- Surge in refund processing workload for customer service teams.
- Brand trust damage, with social media backlash during peak season.

Example 2 Pharmaceuticals (Batch Exception):

In a pharmaceutical company’s SAP QM (Quality Management), a batch of life-saving drugs nearing expiry was incorrectly flagged as “released” for sale instead of being quarantined. This happened due to a QM inspection lot error linked to inventory postings in SAP IM. Thousands of packs were shipped before the mistake was detected.

Where it happened: SAP Quality Management (QM), Inventory Management (IM)
Business Impact:
- Immediate batch recall costing USD 2M, including reverse logistics.
- Brand damage in a highly regulated market, eroding customer confidence.
- FDA and EMA scrutiny, increasing audit frequency and compliance costs.

Example 3 (Finance):

An invoice is posted in USD, but the corresponding goods receipt is in EUR. A mismatch beyond tolerance blocks the posting. The vendor goes unpaid, relationships sour, and the CFO gets an unwelcome escalation.

Example 4 (Procurement):

A purchase order is unreleased because the approval strategy wasn’t configured. The production line waits three days for materials, leading to penalty clauses from a late delivery. In the both cases the business outcome is clear: delays, costs, and risks.

In all the above cases the business outcome is clear: delays, costs, and risks.

Best Practices in Exception Management

Over time, organizations running SAP have realized that exceptions have to be managed intelligently. The most successful enterprises have moved from reactive “firefighting” to proactive, preventive strategies that make exception handling part of business resilience.

Here are the five key best practices:

Proactive Monitoring:

Traditional exception handling often happens at the end of a cycle, during month-end closing, quarterly audits, or annual reconciliations. By then, exceptions have already snowballed into costly disruptions.

Best practice: Implement real-time monitoring of SAP transactions and system logs to detect issues as they arise.
Example: A blocked invoice or unreconciled transaction is flagged immediately, not discovered weeks later.
Benefit: Teams resolve issues within hours, not days, reducing operational downtime.

Automate the Repetitive:

A large percentage of SAP exceptions are repetitive, rule-based, and predictable — bank reconciliations, three-way matching, PO approvals, or dunning processes. Handling these manually drains resources.

Best practice: Use RPA and AI to automate repetitive exception resolution.
Example: SAP Intelligent RPA can clear 80% of routine reconciliation cases automatically.
Benefit: Frees up finance and operations teams to focus on strategic tasks instead of transactional firefighting.

Investigate the Root Cause

Too often, exception management focuses on treating the symptoms like clearing a blocked invoice or manually fixing a batch discrepancy. Instead of asking why it happened in the first place.

Best practice: Drill down into SAP tables and configuration to find the real cause.
Example: A recurring three-way matching error isn’t just about tolerance limits, but about outdated vendor price updates in the PO (EKKO table).
Benefit: Fixing the root cause eliminates recurrence, saving time and effort in future cycles.

Embed Compliance

Exceptions aren’t only operational . They often expose the enterprise to compliance and audit risks. Missing approval workflows or incomplete audit logs can lead to penalties and reputational damage.

Best practice: Make compliance part of the resolution workflow itself.
Example: Automate audit trail creation, access reviews (SUIM), and segregation-of-duties checks as part of exception closure.
Benefit: Every exception resolved also strengthens the compliance posture, reducing SOX, IFRS, or GDPR risks.

Predict and Prevent

The most advanced organizations don’t just fix exceptions, they forecast them before they happen. With AI and predictive analytics, enterprises can model historical SAP data to identify patterns and anticipate risks.

Best practice: Use AI-powered analytics like KTern.AI to predict and prevent exceptions.
Example: AI forecasts that a certain supplier’s invoices are likely to fail three-way matching based on past trends.
Benefit: Exceptions are prevented, not just managed, reducing exception volumes by up to 60–70%.

How Agentic AI Can Improve Exception Handling

Rather than relying on humans to notice and fix exceptions, AI Agents continuously monitor the data and take action autonomously. Here's how agentic AI can transform SAP exception management:

Continuous Real-Time Monitoring: AI agents run 24/7 against SAP data and logs. Using machine learning and rule-based models, the system classifies transactions in real-time. When a potential exception is detected, the agent immediately flags it and even predicts its impact.
Automated Root-Cause Analysis: Instead of a human guessing why something failed, the agent cross-checks various fields and histories. It understands business context. Advanced agents like KTern.AI can use generative AI techniques to form hypotheses.
Automated Remediation: Crucially, AI Agents can execute fixes without waiting for human intervention. They can call SAP APIs or transact through interfaces. For example, if an invoice needs a workflow started, the agent can invoke SAP_WAPI_START_WORKFLOW to launch the missing approval process automatically (as KTern.AI does). This eliminates the typical back-and-forth that delays resolution.
Learning and Adaptation: Over time, the agent improves. It learns from each fix to better filter false positives and to spot new patterns. This self-improvement means the exception management becomes smarter and more tailored.

In summary, agentic AI turns SAP exception handling from a reactive approach to an agile proact.ive approach. The Agents not only detect anomalies proactively, it diagnose and even acts to resolve them all while adapting with experience. As a result, SAP exceptions are managed in minutes instead of days, and the risk window is greatly reduced.

KTern.AI Exception Handling Agent:

Without a centralized tool, exception handling in SAP quickly descends into firefighting. Each passing day without automation means more revenue leakage, higher compliance risks, and mounting frustration across teams. The time for half-measures has passed. Enterprises need an autonomous agent that acts now, not later.

Anticipates risks before they escalate by applying predictive AI models hosted on AWS Bedrock.
Detects exceptions instantly across Finance, Procurement, Inventory, Production, and Compliance.
Investigates root causes directly from SAP tables and transaction logs, correlating data at scale using AWS compute and AI pipelines.

What Makes KTern.AI Different?

1. Real-time Exception Monitoring

Most organizations detect exceptions too late during audits, closings, or escalations. KTern.AI changes this by running continuous monitoring across Finance, Procurement, Inventory, Production, and Compliance.

Example: Instead of waiting until month-end, the agent flags an unreconciled transaction within minutes of posting.
Benefit: Exceptions are addressed early, preventing operational bottlenecks.

2. Deep Root Cause Analysis in SAP Context

Typical exception logs tell you what went wrong but not why. KTern.AI dives deep into SAP tables and transactions (BSEG, EKKO, MCHB, OB08, etc.) to perform root cause diagnosis.

Example: A recurring three-way match failure is traced back to a missing vendor pricing condition rather than just tolerance limits.
Benefit: Fixing the root eliminates recurring issues, saving hundreds of manual hours.

3. Business Impact Quantification – Speaking the CFO’s Language

For too long, exception handling has been an IT-only conversation. KTern.AI changes this by translating exceptions into financial, operational, and compliance metrics that leadership understands.

Example: Instead of “invoice blocked,” KTern.AI shows:
- SAR 200,000 procurement value delayed
- 15% vendor relationship risk
- SOX compliance deficiency
Benefit: Exceptions are prioritized not just by severity, but by real-world business impact.

4. Guided Resolution with SAP Actions

KTern.AI doesn’t stop at detection. It provides step-by-step guidance for resolution with exact SAP transaction codes and recommended actions.

Example:
- For unreconciled transactions → Run FB5S for automatic clearing.
- For PO release violations → Execute ME28 for pending approvals.
- For exchange rate gaps → Update rates via OB08.
Benefit: Even less experienced SAP users can resolve issues confidently, reducing dependency on tribal knowledge.

5. Automation Opportunities – From Fixing to Preventing

Every exception is mapped to an automation opportunity, making sure the same problem does not resurface.

Example:
- Repeated reconciliation errors → Automate with SAP Intelligent RPA.
- Delayed PO approvals → Integrate SAP Ariba workflows.
- Compliance gaps → Automate reviews in SAP GRC.
Benefit: Exceptions reduce by 60–70% over time, freeing up teams from repetitive work.

6. Prioritization & Preventive Intelligence

Not all exceptions are equal. KTern.AI assigns a resolution priority score (1–10) to help enterprises focus on what matters most.

Preventive insights suggest daily jobs, predictive analytics, and IoT integration to stop recurrence.

Example: An exception with more business impact is given 9/10 whereas another is given 5/10
Benefit: Enterprises move from reactive operations to predictive, preventive resilience.

7. Compliance by Design

With KTern.AI Exception Handling Agent, compliance is embedded directly into exception management workflows. For every exception detected, the agent not only provides technical resolution but also highlights the compliance implications and generates the necessary audit evidence.

Example: A blocked invoice isn’t just an AP issue; KTern.AI also shows how it creates a SOX Section 404 control deficiency, and provides automated logs to satisfy auditors.
Benefit: Compliance shifts from being a manual, costly burden to a continuous, built-in safeguard, reducing compliance risk by up to 90% while saving audit preparation time by 80%.

8. Sign-off Workflow Automation

One of the most overlooked pain points in SAP operations is manual sign-offs. Approvals, validations, and authorizations that delay closure cycles. KTern.AI automates sign-off workflows with role-based access, SoD checks, and digital authorization trails, ensuring speed and compliance together.

Example: End-of-period financial reconciliations can be routed automatically for sign-off to authorized managers, with full audit evidence captured.
Benefit: Faster cycle closure, stronger compliance posture.

9. SoD Compliance Agent Integration

In addition to exception handling, KTern.AI includes a dedicated SoD (Segregation of Duties) Compliance Agent to address security and regulatory risks.

Example: An SAP user was assigned roles in both Accounts Payable (AP) and Vendor Master Data Maintenance. This created a classic Segregation of Duties (SoD) conflict - the same user could both create a vendor and process payments. Without detection, this kind of overlap exposes the company to fraud risk (e.g., creating fake vendors and issuing payments).
Benefit: Fix operational errors, prevent fraud, reduce audit fatigue, and run SAP with confidence.

KTern.AI Exception Remediation Agent

Just as KTern.AI detects exceptions in SAP, it also applies Agentic AI to automatically remediate them. This helps organizations build a self-healing SAP system that runs simple, fast, and autonomous. Below are the key capabilities that make SAP exception handling proactive and intelligent.

1. Automated Exception Detection

The agent continuously scans SAP transactions and system tables in real time and monitors anomalies. Instead of waiting for audits or manual checks, exceptions are flagged instantly when they occur.

Benefit:

Financial leakages are prevented by identifying risks at the source.
Saves days of delay in finding exceptions.
Gives CFOs and compliance heads early visibility into risk.

Example:
The SAR 105,000 invoice was flagged immediately because the approval workflow indicator (FRGKZ) was missing. Without detection, this could have slipped through and been paid without authorization.

2. Business Impact Assessment

Each exception is translated into clear business terms like financial exposure, vendor risk, compliance violation, and cash flow distortion.

Benefit:

Helps leadership understand “why it matters” in monetary and risk terms.
Prioritizes which exceptions to fix first.
Bridges the gap between IT and business users.

Example:
The agent highlighted SAR 105,000 at risk of unauthorized payment, vendor relationship damage due to delayed settlement, and a segregation-of-duties violation. This is not just a technical error, a CFO-level risk statement.

3. Fix Requirements & Actions

The agent provides step-by-step instructions or automatically executes the fix. It lists required SAP transactions, approvals, and routing actions.

Benefit:

Reduces dependency on manual intervention.
Ensures every fix follows a consistent, compliant process.
Saves consultants and SAP admins hours of manual effort.

Example:
Actions listed: route invoice into approval workflow, verify signatory authority, apply payment block, and document rationale. SAP transactions (MIRO, SWIA, SWI1) were referenced, and CFO/CEO approvals were mandated.

4. SAP Technical Architecture

Every exception is traced back to the exact SAP tables, fields, BAPIs, and workflows involved. The technical architecture is fully visible.

Benefit:

Builds trust with IT teams by removing “black box” automation.
Enables consultants to validate, extend, or replicate detection logic.
Ensures changes are precise and safe.

Example:
The agent queried RBKP (invoice header) where FRGKZ (release indicator) and ZLSPR (payment block) were NULL. It then used BAPIs like SAP_WAPI_START_WORKFLOW and RBKP_UPDATE to initiate WS20000038 workflow.

5. Related Documents & Process Context

Links each exception with related purchase orders, goods receipts, and other process documents, even if they are missing.

Benefit:

Gives business users complete process visibility.
Helps quickly trace upstream/downstream impact.
Simplifies root cause analysis.

Example:
In this case, no purchase order or goods receipt was found. That context confirmed the invoice truly required independent workflow routing, not a PO-based match.

6. Fix Execution Summary

Shows a real-time log of all actions taken by the agent, with timestamps, duration, and final status.

Benefit:

Provides full transparency for auditors and managers.
Confirms whether an exception was successfully resolved.
Builds trust in automation.

Example:
The invoice fix took 2 minutes 15 seconds from detection to resolution. Steps included authentication, locating invoice, verifying missing indicators, creating transport request, and re-routing workflow.

7. Resolution & Prevention

The agent doesn’t stop at fixing; it also suggests preventive measures and monitoring strategies to avoid recurrence.

Benefit:

Reduces repeat issues by 60–70%.
Strengthens long-term compliance posture.
Moves enterprises from reactive firefighting to proactive resilience.

Example:
Preventive actions included: automatic amount-based workflow routing, validation rules for invoices >50k, mandatory approval indicators in RBKP, and real-time alerts for bypassed workflows.

8. Technical Implementation Details

Shows exactly what values changed in SAP before and after the fix, along with tables modified and BAPIs used.

Benefit:

Ensures changes are auditable and reversible.
Gives consultants precise technical traceability.
Builds CIO/CFO confidence in system integrity.

Example:
Before: FRGKZ=NULL, ZLSPR=NULL, RBSTAT=5.
After: FRGKZ set (approval required), ZLSPR applied (payment block), RBSTAT updated to “Controlled,” workflow WS20000038 initiated.

9. Validation & Quality Checks

Confirms the accuracy of each fix by validating amounts, vendor status, posting status, and workflow indicators.

Benefit:

Guarantees fixes are correct and compliant.
Reduces false positives or over-fixing.
Provides ready-made audit evidence.

Example:
Checks included: invoice confirmed at SAR 105,000 above threshold, vendor active, document posted, and workflow indicators corrected.

10. Future Automation Opportunities

Recommends further automation, such as configuring user exits, validation rules, or workflow triggers to prevent exceptions from even occurring.

Benefit:

Creates a roadmap for continuous process improvement.
Reduces manual workload for consultants.
Ensures exceptions decrease over time.

Example:
Suggested using MRM_WORKFLOW_AGENTS exit to auto-trigger WS20000038 workflow whenever invoice > SAR 50,000, ensuring no invoice bypasses approval again.

11. Fix Attempts History

Logs every fix attempt, including successful or failed ones, with details of actions taken.

Benefit:

Provides accountability and traceability.
Helps diagnose why a fix worked or failed.
Builds audit-ready history of exception handling.

Example:
Attempt #1 succeeded. Actions included authentication, invoice location, vendor analysis, approver identification, and invoice re-routing. Logged at 7:12:13 PM with status “SUCCESS.”

Exceptions in SAP are constant, but it doesn’t have to slow the business down. With KTern.AI’s Exception Remediation Agent, exceptions are detected, understood, and resolved in the background, while teams focus on their actual work. It’s a step toward keeping SAP systems simple, reliable, and ready for the future.

The Future of Exception Management

According to Gartner, by 2028, 15% of day-to-day work decisions will be made autonomously by agentic AI. Exception handling is one of the most natural and high-value use cases for this shift.

The KTern.AI Exception Handling Agent is the foundation for tomorrow’s self-healing enterprise systems.

Picture this future SAP environment:

Exceptions are detected before they disrupt business
Resolutions are automated, not delegated
Compliance is embedded, not bolted on after the fact
Enterprises run faster, leaner, and smarter, with SAP as a proactive enabler rather than a bottleneck

Conclusion

Exceptions in SAP are inevitable. But when left unmanaged, they don’t just create small headaches, they drain millions in financial leakage, slow down critical operations, and expose enterprises to regulatory penalties. Every month of delay compounds the risks: delayed closings, unhappy vendors, frustrated teams, and auditors raising red flags.

The KTern.AI Exception Handling Agent changes this dynamic immediately:

Real-time monitoring → no more surprises
AI-driven root cause analysis → no more recurring issues
Automation-first resolution → no more wasted effort

The result? Enterprises save millions, strengthen compliance posture, and build operational resilience.

For any organization striving toward a clean core SAP transformation and agile system KTern.AI is a tool Autonomous Agent that helps you achieve that excellence.

References

SAP GRC for HANA 2026-Unified Successor for SAP Access Control 12.0, SAP Process Control 12 & More!

2025-08-31T01:11:21.700000+02:00

SAP GRC for HANA 2026 - Successor to SAP Access Control 12.0, SAP Process Control 12.0 and SAP Risk Management 12.0

Release Update: Currently, The Product is in Early Adopter Care (EAC). SAP GRC for HANA 2026 is planned to be available for customers in Q3/2026.The relevant documentation will for conversion, migration and other areas will be published soon.

Migration Update: When planning an upgrade or migration to SAP GRC for HANA (SAP GRC 2026), customers may implement the solution using either a Embedded architecture or an Hub Based deployment. For customers currently running SAP GRC in a Hub Model, moving to the Embedded Model is effectively treated as a new SAP GRC for HANA 2026 implementation. That said, existing GRC configurations and business process models can be reused during the transition.

The upgrade path from SAP GRC 12.0 to SAP GRC for HANA 1.0 (SAP GRC 2026) is dependent on meeting two mandatory system prerequisites:

Database Conversion to SAP HANA
SAP GRC for HANA 1.0 is supported only on the SAP HANA database. Consequently, any system currently operating on a non-HANA database must undergo a database migration to HANA before the upgrade can proceed.

Platform and SAP NetWeaver Readiness
The underlying SAP NetWeaver stack must be upgraded to SAP S/4HANA Foundation, which represents an enhanced NetWeaver release rather than the complete SAP S/4HANA suite. Organizations that have already adopted SAP Fiori 2.0 will typically have this foundation in place. However, environments running earlier GRC support packages, SAP Fiori 1.0, or using SAP NetWeaver as the primary GRC platform must complete this upgrade. For deployments following the Embedded GRC approach, SAP GRC for HANA 2026 can be installed directly on the S/4HANA Core system

Licensing Updates : After these technical prerequisites are satisfied, customers can move from SAP GRC 12.0 to SAP GRC for HANA 1.0 as part of their existing SAP maintenance agreement, with no requirement to purchase additional licenses.

____________________________________________________________________________________________________

As SAP Access Control 12.0, SAP Process Control 12.0 and SAP Risk Management 12.0 reach their End of Mainstream Maintenance on December 31st, 2027 & Organizations accelerate their digital transformation with SAP S/4HANA- Governance, Risk and compliance (GRC) must evolve in parallel. To support this journey, SAP is introducing the next generation of its GRC solution: SAP GRC for HANA 2026.

This release marks a significant milestone, aligning SAP's GRC capabilities with the performance, scalability, and innovation of the SAP HANA platform. Designed natively for S/4HANA environments, GRC for HANA 2026 empowers businesses to manage risk, enforce compliance, and ensure access security with greater efficiency and intelligence.

What’s New in SAP GRC for HANA 2026:

SAP GRC for HANA 2026 builds on the proven foundation of GRC 12 while introducing new enhancements designed for modern enterprises:

SAP Fiori 3 User Experience: A modernized, intuitive user interface offers a consistent and streamlined experience across GRC modules, increasing user adoption and simplifying daily operations.

HANA-Native Performance: Leverages SAP HANA’s in-memory capabilities to enable faster data processing, real-time analytics, and scalable performance across large enterprise landscapes.

Enhanced Integration : Improved connectivity with cloud services, hybrid systems, and SAP Business Technology Platform (BTP), enabling end-to-end risk visibility and control across environments.

AI-Driven Insights : Initial capabilities in machine learning and automation are being introduced to assist with access pattern analysis, risk identification, and anomaly detection.

Future-Ready Architecture: Built to support S/4HANA 2025 and beyond, with a roadmap aligned to SAP’s long-term strategy, ensuring your GRC investment is secure for the next decade.

Core Modules Supported: SAP GRC for HANA 2026 continues to support the full suite of core GRC modules, now optimized for the new platform:

Access Control – Manage user access, enforce SoD policies, and streamline provisioning with enhanced performance and usability.

Process Control – Automate control testing, monitor compliance in real-time, and gain greater transparency into internal controls.

Risk Management – Identify, assess, and respond to risks across the enterprise with improved analytics and integration.

Deployment and Compatibility- SAP GRC for HANA 2026 is designed to integrate seamlessly into both on-premise and cloud-centric S/4HANA landscapes. Whether you are migrating from GRC 12 or planning a greenfield implementation, the platform supports flexible deployment models to meet your organizational needs.

Key Outliners for the Upgrade Planning:

Modern, intuitive UX for business users and compliance teams
Faster risk and control analysis with real-time processing
Future-proof compliance aligned with SAP’s product roadmap
Scalable architecture for complex enterprise environments
Enhanced support for hybrid and cloud-first operations

As digital ecosystems grow more complex, organizations need a GRC platform that keeps pace. SAP GRC for HANA 2026 offers a robust, intelligent, and scalable solution for the next generation of compliance and risk management.

If you are a SAP MaxAttention, ActiveAttention Customer- please contact your Technical Quality Manager else the appropriate SAP Representative can be contacted.

SAP Americas Premium Engagements & Advisory (PE&A) Lead: Sam Minocha

SAP GRC for SAP HANA - Early Adopter Care Program is Open!

2025-10-02T00:21:59.824000+02:00

Ready to Shape the Future of SAP GRC for SAP HANA?

The Early Adopter Care (EAC) Program for SAP GRC for SAP HANA (GRC 2026) is now open!

This is an opportunity to gain early access to SAP’s latest innovations in governance, risk, and compliance (GRC), which include:

SAP Access Control
SAP Process Control
SAP Risk Management
SAP Audit Management
SAP Business Integrity Screening
SAP Tax Compliance
SAP UI Data Protection Masking
SAP UI Data Protection Logging

As a participant, you’ll be among the first to implement and provide feedback on SAP GRC for SAP HANA before general availability.

This program is run in close collaboration with SAP experts, giving you direct access to development teams and dedicated support as you modernize compliance processes on SAP S/4HANA.

What’s in it for you?

Early access to SAP GRC for SAP HANA innovations
Close collaboration with SAP Development to minimize risks and safeguard projects
Dedicated feedback channel with product experts and project coaches
Visibility into who is adopting the newest GRC capabilities
Opportunity to influence the direction of future releases with your feedback

When is it happening and how to register?

Registration: October 1 - November 15, 2025
Program Start: March 9, 2026

Customers can apply directly on the Influence Platform and become part of a select group helping shape the future of SAP GRC capabilities.

Who should join?

This program is ideal for organizations:

Already running SAP GRC solutions and planning to transition to SAP GRC for SAP HANA
Looking to modernize governance, risk, and compliance processes on SAP S/4HANA

Why it matters

The Early Adopter Care Program is more than an early access, it’s a partnership. By joining, you’ll:

Shape SAP GRC for SAP HANA with your real-world use cases
Gain first-hand support from SAP’s development organization
Establish your organization as a thought leader in modern GRC adoption

Take the next step

Don’t miss the chance to be part of the future of SAP GRC. Join the Early Adopter Care Program today and secure your seat at the forefront of innovation.

Apply now via the Influence Platform.

GRC Tuesdays: What’s New in SAP solutions for Three Lines, Q3 2025 to Q4 2025

2025-10-21T07:00:00.035000+02:00

It’s the end of what has been a busy year for SAP’s GRC Product Management and Development teams. And I am sure wouldn’t have missed that a lot of the focus has gone into the preparation of the SAP GRC for SAP HANA 1.0 (SAP GRC 2026) version.

But the teams have also worked diligently on continuously providing enhancements to the existing solutions so that you don’t have to wait to benefit from multiple innovations.

In this blog, I have selected a few recently delivered capabilities in SAP solutions for Three Lines of Defense available through the latest Support Packages (SP26 and SP27) that I thought would be of interest. But I have also listed at this bottom of this blog the direct links to the dedicated sections of the Help Portal where you will not only find much more detailed information but also many other enhancements that I haven’t included below. So, feel free to have a look and browse further!

Focus on SAP Process Control for Internal Control and Compliance

Monitoring CCM adequacy

For the reporting Monitoring Business Rules and Connectors, users can now compare control frequency and job frequency:

o Control with no frequency shows red icon

o Control with no job shows red icon

o Control or job with customized frequency shows yellow icon

o Control frequency higher than job frequency shows yellow icon

o Control frequency equalling to job frequency shows green icon

o Control frequency lower than job frequency shows green icon

Control with no frequency

Control with no Jobs

Control with recurring frequency

Control with customized frequency

Removal of the 100-character limit for attachment

Previously, when adding a file to Attachments and Links via option "Add Files" there was a technical limit of 100 characters on the filename length. This limitation on the filename length has been removed.

Focus on SAP Risk Management for Enterprise and Operational Risk Management

Response Grouping

It's now possible to group multiple responses together for a single risk and define how their mitigation values should be taken over for the analysis calculation. To achieve this, users can mark multiple responses and put them into a group and define what logic should be used to calculate the mitigation values. Risk analysis calculation automatically considers this grouping accordingly.

The aggregation of the grouped responses includes:

o Maximum mitigation value from the grouped responses

o Minimum mitigation value from the grouped responses

o Average mitigation value from the grouped responses

Business Impact Analysis (BIA) monitoring

Following the introduction of the Business Impact Analysis capability in SAP Risk Management last year (cf. prior GRC Tuesdays blog), 2 new reports have been added to help users monitor business impact analysis:

o Business Impact Analysis

o BIA Survey Results

These can be accessed in the “Risks and Opportunities” section of the “Reports and Analytics” work center.

Focus on SAP Audit Management for Independent Assurance

Rolling and non-rolling audit plans

When creating a new audit plan, auditors can now select from the two audit plan types: “Rolling” and “Non-rolling”. A rolling audit plan allows users to create a successor audit plan by copying the original audit plan. The successor plan, or the new audit plan, carries forward the risks, auditable items, and unfinished audits from the original audit plan. Auditors can adjust the goals, scope, and timeline of the new audit plan and continue the unfinished audits.

A non-rolling audit plan is a standalone plan that does not automatically carry forward risks, auditable items, or unfinished audits to any future audit plans. Each non-rolling audit plan is treated as an independent cycle, with its own defined scope, objectives, and timeline. At the conclusion of the plan, any uncompleted audits or outstanding items are not propagated to subsequent plans unless manually re-added by the auditor. This type is typically used for one-time audits, project-specific reviews, or when a clean break from prior planning cycles is desired.

Risk Matrix

Users can now maintain a risk matrix for risk analysis. With a risk matrix, the risk level is automatically determined based on the likelihood and impact. Given a likelihood level and impact level, the risk level is automatically determined against the risk matrix.

Referencing action plans

If a finding can be resolved by the action plans of other findings in the same audit, auditors can create references to those action plans, instead of re-creating the same action plans again.

Looking for more information?

Since I am sure this short blog won’t have answered all your questions – and because it didn’t list all the enhancements delivered but just a selection, I would also recommend having a look at the links below:

Finally, in case you still want to hear more about it, we’ll have a dedicated session during next year’s SAP for Internal Controls, Compliance and Risk Management Conference in March 2026 in Amsterdam. Join us on site to learn more!

I look forward to reading your thoughts and comments on this blog.

And if you are interested in learning more about SAP solutions for Governance, Risk, and Compliance, feel free to fill-in the demo request form!

What’s Next for SAP Process Control 12.0 and SAP Risk Management 12.0 ?

2026-01-21T06:36:57.454000+01:00

What’s Next for SAP Process Control 12.0 and SAP Risk Management 12.0 ? This is one of the common questions to most of the Organizations, Leaders, IT Directors, Managers, SMEs, Consultants and Vendors who are currently using SAP Process Control 12.0 and SAP Risk Management 12.0.

Before exploring the next options for SAP Process Control 12.0 and SAP Risk Management 12.0, I recommend referring to the blog below:

What’s Next for SAP Access Control 12.0?

After reading the above blog, you should now have a clear understanding of the future options for SAP Access Control 12.0.

Option : Upgrade to SAP GRC for HANA 2026 is also applicable to SAP Process Control 12.0 and SAP Risk Management 12.0.

Just as SAP Access Control has the option to “Migrate to SAP Cloud IAG,” SAP Process Control and SAP Risk Management have the option to “Migrate to SAP Risk and Assurance Management (RAM).

SAP has introduced a new cloud solution — SAP Risk and Assurance Management (RAM) — which is SAP’s next‑generation, cloud‑native platform designed to modernize and unify enterprise risk, controls, and assurance activities, built on SAP Business Technology Platform (BTP). It is ideal for customers seeking a cloud‑first governance, controls, and assurance solution with continuous innovation.

In simple terms, SAP Risk and Assurance Management (RAM) combines both Process Control (PC) and Risk Management (RM) capabilities and can be considered the “cloud version of PC and RM together.”

SAP Risk and Assurance Management (RAM) — includes the following key steps:

SAP Risk and Assurance Management (RAM) offers below Process Control & Risk Management equivalent capabilities:

Risk Management
Control Management
Control Execution
Result Processing
Issue & Remediation Management
Reporting

SAP Risk and Assurance Management (RAM) can seamlessly integrate with below systems

SAP S/4HANA Cloud
SAP S/4HANA On‑Premise
SAP Signavio Integration
SAP Analytics Cloud Integration
SAP Document and Reporting Compliance

Will be creating a new blog on “SAP Risk and Assurance Management (RAM) with different options, Pros and Cons, possible options”, stay tuned for this.

#	Scenario	Recommended Solution	Why It Works
1	Long-term on-prem/private-cloud GRC modernization	SAP GRC for HANA 2026	Unified, AI-powered platform; support to 2040
2	Cloud-first strategy (SAP RISE, SAP S/4HANA Cloud etc.)	SAP Risk and Assurance Management (RAM)	End-to-end cloud based compliance management and Risk Management

Summary

Option 1: Upgrade to SAP GRC for HANA 2026
Ideal for on-premise or private-cloud customers using multiple GRC modules. Also with complex landscape, heavy customization and workflows. Provides a unified, AI-powered platform on SAP HANA with support extended to 2040.
Option 2: Migrate to SAP Risk and Assurance Management (RAM)
Suits cloud-first organizations on RISE, SAP S/4HANA Private and Public Cloud or other BTP scenarios. Cloud-based solution built on the SAP Business Technology Platform (SAP BTP) to manage risk and compliance efficiently while benefiting from real-time performance, automatic updates, and high system availability.
Option 3: Stay on SAP Process Control 12.0 and SAP Risk Management 12.0 (Short-Term)
Gives organizations extra time for budgeting, complex landscape planning, and team training. Later can choose either Option 1 or Option 2.

Conclusion

Choosing the right path from SAP Process Control 12.0 and SAP Risk Management 12.0 depends on your organization’s strategy, timeline, and risk profile. If you’re committed to on‑premise GRC and need long‑term stability, upgrading to SAP GRC for HANA keeps you covered through 2040. For those accelerating cloud adoption, migrating to SAP Risk and Assurance Management (RAM) delivers a scalable, unified governance and assurance experience. And if you need breathing room to prepare, extending Process Control 12.0 and Risk Management 12.0 in the short term offers continuity without sacrificing compliance.

Whichever route you take, start by mapping your current landscape, aligning stakeholders on priorities, and building a clear project roadmap. Weigh the long‑term benefits against immediate constraints to make an informed decision that drives both compliance and innovation.

What option works best for your organization? Tell us your GRC challenge in the comments.

Like this post if it helped and subscribe for more SAP GRC blogs, news, tips!

SAP Process Control SAP Risk Management SAP Risk and Assurance Management

SAP GRC for HANA 1.0 (SAP GRC 2026): Useful Guide of Next‑Gen GRC

2026-01-22T08:26:21.888000+01:00

Table of Contents

1. Introduction:

SAP is entering a major transformation phase in Governance, Risk, and Compliance (GRC). With the introduction of SAP GRC for HANA 1.0 (SAP GRC 2026), SAP is consolidating and modernizing its entire GRC portfolio to support S/4HANA, cloud adoption, real‑time analytics, and continuous compliance.

SAP GRC for HANA 1.0 has quickly become one of the most discussed topics among organizations, leaders, IT directors, managers, SMEs, consultants, and vendors working in SAP Security and GRC. This 2026 release is designed for both on‑premise and private cloud deployments. It is ideal for organizations that want to remain on‑premise or private cloud while maintaining long‑term GRC capabilities, especially those using or planning to use modules such as SAP Process Control or SAP Risk Management.

SAP GRC for HANA 1.0 is SAP’s next‑generation unified GRC platform, built natively on SAP HANA.

2. Modules of SAP GRC for HANA 1.0 (SAP GRC 2026)

Within SAP’s GRC portfolio, there are multiple solutions that cover both on‑premise and cloud‑based offerings.

To learn more about the on‑premise SAP GRC solutions, you may refer to the blog Kickstart your SAP GRC Learning Journey: Introduction to SAP GRC, Submodules and useful links

To learn more about the cloud SAP GRC solutions, you may refer to the blog Kickstart your Cloud SAP GRC Learning Journey: Introduction to Cloud SAP GRC, its Submodules details

SAP GRC for HANA 1.0 is delivered as a single unified software component that includes all 8 of the following modules:

SAP Access Control
SAP Process Control
SAP Risk Management
SAP Audit Management
SAP Tax Compliance
SAP Business Integrity Screening
SAP UI Data Protection Masking
SAP UI Data Protection Logging

Image source: SAP

3. SAP Roadmap and plan for SAP GRC solutions

See below SAP Road map of existing SAP GRC v1200 and new SAP GRC for HANA 1.0 along with modules it it.

Image source: SAP

You may refer to the Details for Product Version SAP GRC FOR SAP HANA 1.0

4. Release Dates for SAP GRC for HANA 1.0 (SAP GRC 2026)

4.1. Early Adopter Customers

If you have already registered as a Early Adopters, SAP planned to release in March 2026.

4.2. Regular Customers

For General/regular availability it will be early Q3-2026

5. How to Migrate to SAP GRC for HANA 1.0 (SAP GRC 2026) from SAP GRC v1200?

Organizations can choose the “Hub Model” or “Embedded Model” for their SAP GRC for HANA (SAP GRC 2026) upgrade/migration. In case if an existing Hub Model setup customer wants to move to Embedded model, it is like a new implementation of SAP GRC for HANA 2026 but can reuse existing GRC design.

To migrate from SAP GRCv1200 to SAP GRC for HANA 1.0 (SAP GRC 2026), this requires below 2 prerequisites

SAP NetWeaver should be minimum SAP S/4HANA Foundation (it is just an upgraded version for SAP NetWeaver). This is not SAP S/4HANA full version. Organizations who are using SAP Fiori 2.0 would have already migrated their SAP NetWeaver to SAP S/4HANA Foundation. Incase if you are having lower version of GRC Support pack or still on Fiori 1.0 or using SAP NetWeaver as a base component for SAP GRC, then this is a mandatory step. In case for an Embedded GRC model, SAP GRC for HANA 2026 can be installed on S4Core.
Databased as HANA DB: SAP GRC for HANA1.0 only supports SAP HANA DB, Organizations are forced to migrate their Non-HANA Database to HANA DB.

Once the above prerequisites are complete, SAP GRC v12.0 can be upgraded to SAP GRC for HANA 1.0 release as part of their standard maintenance program, meaning no new SKU or additional purchase is required.

6. Few New features of SAP GRC for HANA 1.0 (SAP GRC 2026)

6.1. SAP Access Control

Augmented Access request process
AI supported User Access Review process
AI driven Emergency Access Management log review process for monitoring, identifying and responding to potential security threats
Fiori based Access Request and approver process
Compliance reporting with extended analytics
Out of the box Fiori based reports – OVP
Additional Data source – Integrating Identity Services IdDs
SuccessFactors – Expand rulesets to include target populations
New EAM logs for Read Access Logs (RAL)
New Fiori App for Approval Work inbox

6.2. SAP Process Control

SAP Joule integration to create Data Source and Business rules, also to understand the table and required logic.
Issue Analytics: Smartness for issue analysis and resolution
MSMP is extended to PC workflows
No new enhancements for Policy Management
Improved User Experience: Utilizing Fiori Apps for enhanced usability and accessibility (My Compliance Tasks, MCP, Assessments, Intelligent Self Diagnostic)
Single Entry Control Screen: Streamlining operation (Manage Controls)
Intelligent Self-Diagnostic Cockpit: Error analysis and resolution capabilities (CCM)
Enhanced Integration: Leveraging the SAP Integration Suite and Framework for seamless connectivity
Flexible Workflow Management: Adapting to business needs with customizable workflows
Regulatory Alignment: Integrating with Regulatory Insights for compliance and oversight

6.3. SAP Risk Management

Harmonized Email Notification – Planner/Scheduler enhancement
Business Continuity Management
MSMP is extended to RM workflows
SAP Joule integration to create KRIs, also to understand the tables/CDS views etc.

6.4. SAP Audit Management

Overview page for Audit Coverage
Import Master Data from PC/RM in same system per the push of a button
Inspection Management module
Consolidate email notifications for multiple actions
AI Supported Audit Report Generation
AI Supported work program preparation

6.5. SAP Business Integrity Screening

Fiori apps for Detection Runs
Improving performance for Managing Alerts App

6.6. SAP Tax Compliance

Bulk Edit User group attributes

6.7. SAP UIDP Masking

Extending UI Masking to ODATA V4 applications and BW/4AHNA scenarios
Configurations need to be done in Central S/4 or S/4Foundation system
No need to install it in each connected system.

6.8. SAP UIDP Logging

Streamlined UI lugging optimized for SAP HANA
Configurations need to be done in Central S/4 or S/4Foundation system
No need to install it in each connected system.

7. Key characteristics

Built on SAP HANA
HANA DB is mandatory
Fiori‑based user experience
Real‑time analytics
Cloud‑ready architecture
Integration with SAP Joule, BTP, SAP IAG, SAP Cloud Identity Services

8. Licensing model

Licence is still separate for each GRC module; hence customers need to buy a separate licence based on required module.

9. Benefits

Unified GRC platform
AI Integration
Easier deployment
Reduced complexity
Reduce TOC with increased ROI
Modern Fiori UX
Improved Reporting
Future‑proof roadmap

10.Conclusion

SAP GRC for HANA 1.0 (SAP GRC 2026) is more than an upgrade — it is a complete modernization of SAP’s GRC landscape. It brings real‑time capabilities, unified architecture, cloud readiness, and a simplified user experience.

For organizations, leaders, IT directors, managers, SMEs, consultants, and vendors, now is the time to:
- Understand the new platform
- Assess your current GRC landscape
- Plan your migration strategy
- Align with SAP’s long‑term roadmap

The future of GRC is real‑time, automated, cloud‑ready, and unified — and SAP GRC for HANA 1.0 is the platform that delivers it.

#SAP GRC #SAP GRC 2026 #SAP GRC for HANA 1.0

SAP Practice and Certification Journey

2026-01-27T11:44:54.201000+01:00

In today’s fast-evolving logistics industry, digital transformation and integrated systems play a critical role in ensuring efficiency, transparency, and sustainability. As someone who has received formal education in logistics and is actively continuing my professional development in this field, I strongly believe that learning SAP S/4HANA Transportation Management (TM) is a natural and strategic step in my career journey.

My motivation to learn SAP stems from my desire to deepen my understanding of logistics beyond operational processes and into system-driven decision making. Transportation Management is one of the core pillars of supply chain operations, and SAP S/4HANA TM provides an end-to-end perspective—from planning and execution to cost settlement and performance analysis. Gaining hands-on practice with this system will allow me to better understand how logistics processes are designed, optimized, and managed within global organizations.

Additionally, learning SAP S/4HANA TM will help me develop a more analytical and structured mindset. Exposure to different ERP systems not only enhances technical competence but also enables logistics professionals to think holistically, connecting operations, finance, and strategy. I believe this knowledge will significantly contribute to my ability to analyze complex logistics scenarios and propose effective, data-driven solutions.

Through SAP Practice and Certification, my goal is to strengthen my professional skill set, bridge the gap between theory and real-world applications, and position myself as a more capable and future-ready logistics profession

SAP Community - SAP Risk Management

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Ask an Expert Peer channel is available for which GRC Product Areas?

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SAP Financial Compliance / Risk and Assurance Management covers much more than Finance

Join the Innovation Journey with SAP Enterprise Threat Detection, cloud edition

Current State of application security & corporate compliance

Increasing Importance of Cybersecurity

The Talent Gap

Cost of Cybercrime

Cybersecurity as a Business Risk

Security and Compliance

The Impact of Security Inadequacies

Embedding Security into Organizational Fabric

Benefits of leveraging SAP Enterprise Threat Detection

The Power of Partnership

Exploring New Opportunities

Getting in Touch & Moving Forward

GRC Risk Management Series: Risk Analysis profile

INFLUENCE THE DEVELOPMENT OF SAP ENTERPRISE THREAT DETECTION, CLOUD EDITION

Where can I start learning SAP Agricultural Contract Management?

How to Enhance Your SAP Security with Best Practices and Tools

GRC Tuesdays: What’s New in SAP solutions for Three Lines, Vendor Risk Assessment

1. Create Vendor Categories

2. Setup Vendor Risk Survey

3. Create and Maintain Vendors

4. Schedule Survey

5. Respond to Questionnaire

6. Review and Consolidate Results

7. [Coming soon!] Monitor Risk Levels

Do you want to gain expertise in the advanced features and functionalities of SAP Risk Management?

Kickstart your SAP GRC Learning Journey: Introduction to SAP GRC, Submodules and useful links

Risk Harmonization in SAP GRC: Unifying PC and RM

Understanding SAP’s Product Strategy for Governance, Risk, and Compliance (GRC) Solutions

Compliance in the Age of AI: How SAP GRC’s Regulatory Insights is Redefining Risk Management

SAP Exception Handling and Auto Remediation with AI Agents

Agentic AI in SAP Exception Management

Introduction:

Exceptions in SAP – A Business Reality

Example 1 Retail (Inventory Exception)

Example 2 Pharmaceuticals (Batch Exception):

Example 3 (Finance):

Example 4 (Procurement):

Best Practices in Exception Management

Proactive Monitoring:

Automate the Repetitive:

Investigate the Root Cause

Embed Compliance

Predict and Prevent

How Agentic AI Can Improve Exception Handling

KTern.AI Exception Handling Agent:

What Makes KTern.AI Different?

1. Real-time Exception Monitoring

2. Deep Root Cause Analysis in SAP Context

3. Business Impact Quantification – Speaking the CFO’s Language

4. Guided Resolution with SAP Actions

5. Automation Opportunities – From Fixing to Preventing

6. Prioritization & Preventive Intelligence

7. Compliance by Design

8. Sign-off Workflow Automation

9. SoD Compliance Agent Integration

KTern.AI Exception Remediation Agent

1. Automated Exception Detection

2. Business Impact Assessment

3. Fix Requirements & Actions

4. SAP Technical Architecture

5. Related Documents & Process Context

6. Fix Execution Summary

7. Resolution & Prevention

8. Technical Implementation Details

9. Validation & Quality Checks

10. Future Automation Opportunities

11. Fix Attempts History

The Future of Exception Management

Conclusion

References

SAP GRC for HANA 2026-Unified Successor for SAP Access Control 12.0, SAP Process Control 12 & More!

SAP GRC for SAP HANA - Early Adopter Care Program is Open!

Start using Ask an Expert Peer today for all your low to medium
priority incidents.