Introduction

As part of the switch from SAP ERP to SAP S/4Hana, the idea of ​​replacing CO internal orders with WBS elements is being considered. The reason given is that CO internal orders are no longer being developed by SAP and are to be phased out in the future.

What does this mean for me?

‍When comparing the account assignment objects CO internal orders with WBS elements, it becomes clear that WBS elements and internal orders do not differ in terms of CO functionalities. WBS elements can do more because, unlike internal orders, they can, for example, map hierarchical structures and integrate logistics functions. This shows that the functions of internal orders can easily be replaced by WBS elements. SAP has consequently implemented this insight in the development of the Public Cloud and has therefore dispensed with internal orders. Since SAP will primarily focus on cloud-based versions in future developments, it can be assumed that internal orders will no longer play a role here.

However, internal orders can still be used for S/4Hana On-Premises and Public Cloud. This is because when migrating to S/4Hana On-Premises or Private Cloud (cloud-based On-Premises system), the brownfield migration approach is often chosen. With this approach, processes and data are transferred to S/4Hana and only adapted where this is necessary for technical reasons. In this case, it is necessary that internal orders can be reused in S/4Hana. The situation is different with a greenfield approach. Here, the processes in S/4Hana are setup from scratch and only data is transferred. In this scenario, it is advisable to remove old ballast and, for example, replace internal orders with WBS elements. For customers who choose S/4Hana in the Private Cloud, the path is clear. Here, the only option is a greenfield approach and the use of WBS elements.

What this means in detail for the existence of internal orders in the future probably depends heavily on SAP's customer requirements. The decision pros or cons internal orders can therefore only be made on a case-by-case basis; there is no generally valid solution. In the case of an S/4Hana migration to an On-premises or Private Cloud system with a greenfield approach, one should opt for the use of WBS elements.

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