The Universal Journal in SAP S/4HANA Finance represents the unification of the once separate areas Financial Accounting (FI) and Controlling (CO). All relevant posting data, including account assignment information, is stored in a single table – the ACDOCA. This enables more efficient data processing and analysis, as all relevant information is available in one place.

The historical separation of FI and CO resulted from the assumption that these areas should work independently of each other. Over time, however, it became clear that there was a close link, which led to time-consuming reconciliation work. The introduction of SAP S/4HANA as a database technology finally made it possible to combine these areas in a central table.

A significant change resulting from the introduction of the Universal Journal is the unification of the G/L account and the cost element into a single master data object. Consequently, when a G/L account is created in S/4 with the account type “primary costs/revenues” or “secondary costs”, the corresponding cost element is also automatically generated from it. This integration enables CO transactions to be posted directly as an entry in the Universal Journal (ACDOCA), which leads to a considerable simplification of posting processes. In addition, the integration of secondary cost elements into the chart of accounts eliminates the need for separate allocation to other accounts. This ensures consistent mapping of the cost structure throughout the system.