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SAP GM (Grants Management) – Guide, Benefits & Best Practices


Discover how SAP Grant Management streamlines funding allocation, compliance, and reporting for nonprofits & research institutions. Learn key features, integration with SAP FM, and implementation best practices.

In SAP, GM stands for Grants Management – a component primarily used in the public sector or nonprofit organizations to manage grants, sponsored programs, and research funding.

📘 SAP Grants Management (GM) – Key Features

✅ 1. Grant Master Data

  • Create and maintain grant master records (GMGRANT)
  • Define validity dates, sponsor, fund, and budget period
  • Assign sponsored programs, classes, fund, and cost objects

✅ 2. Sponsored Programs and Sponsored Classes

  • Define sponsored programs (GMPROGRAM)
  • Create sponsored classes (GMCLASS)
  • Group activities and expenses logically

✅ 3. Budgeting

  • Create grant budgets (GM_BUDGET_TRANSFER)
  • Budget distributions to WBS/internal orders
  • Monitor available budget and consumption

✅ 4. Integration with Funds Management (FM) and Financial Accounting (FI)

  • Fund assignment during postings
  • Funds reservation and availability control
  • Budget checks during FI document posting

✅ 5. Integration with Controlling (CO) and Project System (PS)

  • Link grants to cost objects like internal orders, WBS elements
  • Capture costs by activity type or cost center

✅ 6. Billing and Receivables

  • Generate billing for sponsors (GM_BILLING)
  • Record incoming payments and track receivables

✅ 7. Compliance and Restrictions

  • Define allowed cost elements and object classes
  • Manage indirect cost recovery (overhead)
  • Maintain rules for cost sharing, unallowed costs

✅ 8. Reporting

  • Grant budget vs actual reports
  • Cost sharing and matching fund tracking
  • Fund usage reports

🧪 Sample Tasks for a Practical Exam

  1. Create a grant master record and assign it to a fund and sponsored program.
  2. Enter a budget for a grant and simulate a posting to test budget control.
  3. Post an expense document linked to a grant, fund, and cost object.
  4. Run a grant report showing budget, actuals, and available balance.
  5. Simulate a billing process for sponsored funding.


🧠 Practice & Progress

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