Investment Management: A Comprehensive Approach to Manage Large Expenditure in SAP Paper 2: From Planning to Action: Configuring Investment Measures and Settlement Processes - Ensuring Control and Accountability in Capital Projects

Avnish Goyal, Vishal Maheshwari, Digneshkumar Khatri

Abstract: Effective management of large-scale capital expenditures (CAPEX) requires precise budgeting, continuous monitoring, and structured settlement processes. This paper, the second in a three-part series on leveraging standard ERP functionalities, focuses on the configuration of Investment Measures and settlement processes in SAP S/4HANA Investment Management (IM). Building on the foundational investment program setup from Paper 1 [1], we detail the configuration of Work Breakdown Structure (WBS) elements, budgeting and planning profiles, coding masks, and settlement rules to ensure transparent cost allocation to assets, cost centers, or general ledger accounts. A real-world case study from a global healthcare organization illustrates how integrating SAP IM with project governance workflows can improve budgetary control, prevent overruns, and enhance financial oversight. The proposed configuration framework enables organizations to align capital project execution with long-term strategic objectives while achieving measurable cost savings and operational efficiency. This work contributes to a reusable reference model for practitioners and researchers seeking to implement ERP-based investment governance processes.

Keywords: SAP S/4HANA Investment Management (IM), ERP-based Capital Expenditure Control, Capital Project Governance, Work Breakdown Structure (WBS) Configuration, SAP Configuration, Budget Planning, CAPEX Lifecycle Management, Project Approval Workflow, Capital Spend Planning, Investment Control, Financial Oversight

How to Cite?: Avnish Goyal, Vishal Maheshwari, Digneshkumar Khatri, "Investment Management: A Comprehensive Approach to Manage Large Expenditure in SAP Paper 2: From Planning to Action: Configuring Investment Measures and Settlement Processes - Ensuring Control and Accountability in Capital Projects", Volume 14 Issue 8, August 2025, International Journal of Science and Research (IJSR), Pages: 656-664, https://www.ijsr.net/getabstract.php?paperid=SR25812055449, DOI: https://dx.doi.org/10.21275/SR25812055449