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Game Plan to Validate success of SAP carve out

SAP Carve Out project often have tight timeline and highly constrained downtime. Data testing and reconciliation between Source and Target system are of great significance in such projects.  Not only it is important to ensure that all the required data of separating business unit's company codes are available, it is also important to verify  that data of not-separating business units are not present in target SAP system after the Carve Out. With the introduction of General Data protection Regulation and requirements in Data Privacy and Protection, significance of validation of data deletion and process around it has grown even more in divestiture scenario.

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Figure 1  - Scope of Carve Out - Cover Yes and No 

I plan to cover essentially what a game plan should include to validate success of SAP Carve Out Project. In 11 key areas, I have described testing needs and how to ensure speedy business data reconciliation that can help you secure sign-off faster.


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Figure 2:  Key Areas of Testing and Reconciliation of Business Data in a Carve Out Project

  1. Transaction data testing - Business transaction data include open/current documents and closed transaction documents. We need assurance of ability to create a new transaction data record as well. Testing must ensure -
    1. New Transaction Documents can be created: Verify if you are able to run the entire process using master data in Carved Out system. Test should also include objectives to verify that the process is able to use the information stored in mater data records as expected (e.g. MRP controller, purchase group from material master delivery document uses Unit of Measure).
    2. Unfinished Document Flows can be processed : Testing on partially finished flows help in validation of open transaction data records after the Carve Out. Test cases should include testing partially processes documents. For example, you can create a good receipt for remaining quantity of a Purchase order item or process an inbound delivery which was originally created in Source system.
    3. Completed Transaction data Records can be analyzed/displayed - in case of History data or selective History data migration scenario in your Carve Out project, verify how the closed document flows are behaving in the new system. Check if you are able to open the document in display mode and able to close it without any error.
  2. Verify Master Data correctness - Validate if master data is consistently migrated to Target system. As an example, Create a purchase order or Sales order on master data in Target system after Carved Out.
  3. Verify reversal of transaction documents - verify if you are able to cancel/reverse the transaction document based on method used in source or method agreed in target. (example cancel/reverse a goods issue in a new or existing transaction document.)
  4. Verify Document Flows  - check if the document flow works and it still ties to same predecessor and successor documents as in source. (In case of Document Number change during the Carve Out, verify with the help of reference document number). 
  5. User profiles and authorization usually have no impact of Carve Out, however you can ascertain this during User Acceptance Testing by asking Users to test with their user id in source system.
  6. Testing the Variants of Batch Job - verify if you are able to still use variants which were used in Source System. The unwanted values in variant should be removed and batch job should run using the variant and yield results as expected once started in the system after carve out.
  7. Technical validation of table record count level match: In order to verify that data does not exist any longer in Target system for the part of business unit not in scope of Carve Out, we can use this method. For example in table MARC - Material data for plant, we can find in Target system tables if there are any traces of data left for plants belonging to non-separating business units. However, business stakeholders of non-separating business units can be asked to verify the success of deletion using their familiar transactions. Example, using their plant in selection criteria in Match code search of Display material data transaction (in Transaction code - MM03).
  8. Logos, print forms and programs may have changes. Testing should verify the printed output, email or EDI message communication.
  9. Validation of configuration data - spot check if configuration data is completely migrated for required company codes in Carved Out system
  10. Test Custom ABAP objects (Reports, Interfaces, Conversion objects, Enhancements, Forms)
    1. Hard coding or changes needed as per new environment may increase risk of getting errors in processes which use ABAP custom object. Identify all processes which use custom development objects and verify their functioning. Example "Before and After" testing of custom reports are working. Meaning run a report in Source system (or in Test system before Carve Out) and run the same report post Carve Out. Output should match ditto.
    2. If interface applications are changing in the new environment after separation, inbound and outbound data exchanges should be tested for proper working based on design. Even if, in target environment same set of applications are used, we must include scenario to test integration with SAP application (e.g. SAP BW, PLM) and non-SAP applications. If middleware is in use, testing should cover that as well.
  11. Business data Reconciliation reports - all the above discussed topics cover functional and technical testing aspects. However, Business stakeholders will need assurance that the target system, post Carve Out reflect dollar values (or in expected currency) in each report same as source system does (or Before Carve Out). This is critical in order to get sign-off on Financial data. Following list provides few example reports in Financial and Logistics areas for data reconciliation. 

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Figure 3:  Sample Data Reconciliation Reports to be used in Carve Out


In a recent Carve Out project we delivered, we had agreed with business on reconciliation sign-off criteria. In the Explore phase itself, we had prepared a complete list of reports (which included Standard SAP and Custom reports) for each module. This immensely helped us secure sign-offs well in time in a narrow downtime window, business stakeholder also had clarity in procedure right from beginning. Stakeholders could actually rehearse the reconciliation process in UAT and Dress Rehearsal testing and align with their internal and external auditors on the procedure and approach.


Comments

Well written Manish.

Thanks for sharing such useful and valuable information.

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