At one of Turkey's leading telecommunications companies, contracts from mobile line, broadband and device sales are processed on SAP RAR in line with IFRS 15: fair value allocation, BRF+ rules, automated posting and AJE entries in a single end-to-end solution.
The client name is withheld at the client’s request.
The IFRS 15 project delivered at one of Turkey's leading telecommunications companies was a comprehensive, long-running transformation because of its high transaction volume, complex contract structures and integrations with multiple systems.
Within the project, fair value calculations under IFRS 15 were performed for the monthly service fees of mobile line and broadband internet sales as well as devices and similar add-on products and services; contract obligations were determined and the related accounting entries created.
IFRS 15-compliant revenue recognition processes were set up on the SAP RAR (Revenue Accounting and Reporting) module, the core component of the project, and the necessary integrations with existing systems were built. Contract data was transferred into SAP from different source systems, and custom developments on the raw data covered the following:
The resulting total contract and monthly invoice amounts were processed to fit the standard SAP RAR processes. SAP RAR and BRF+ were configured with rule structures that route different product and service types to the correct accounts according to IFRS 15:
The project's most important technical and operational characteristic is the processing of very high data volumes in SAP, row by row, under IFRS 15 rules. The solution was designed to manage this scale sustainably and with strong performance.
Beyond posting, the detailed reporting foundation the business units need was also developed. Z reports built on SAP give traceability and control over the data calculated and posted under IFRS 15:
| Business problem | IFRS 15-compliant revenue recognition and posting across high-volume, complex contract structures. |
|---|---|
| Solution | IFRS 15 revenue recognition on SAP RAR; BRF+ rule structures. |
| Scope | Mobile line, broadband internet, devices and add-on products/services; fair value calculation and allocation. |
| Data processing | Total contract value, monthly invoice, net value, multiple discount structures, contract changes. |
| Posting | Automatic accounting documents and AJE entries from the calculated revenue. |
| Scale | ~8 million rows per month; ~43 million contracts in total; ~10 billion document lines. |
| Reporting | Invoice, contract, 380 running balance, carry-forward, AJE and control reports. |
| Outcome | A revenue accounting transformation combining IFRS 15 compliance, SAP RAR and BRF+ configuration, high-volume data processing, multi-system integration, automated posting and reporting in one solution. |
IFRS 15-compliant revenue recognition processes were set up on SAP RAR.
Contract data from different source systems was brought into SAP; extensive calculation processes were developed on the raw data.
SAP RAR and BRF+ configuration routes different product and service types to the correct accounts.
Accounting documents and AJE entries are created automatically from the calculated revenue amounts.
Roughly 8 million rows of data per month are processed with sustainable performance.
Z reports give business units traceability and control.
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