Master Data Hierarchies
The master data in Funds Management is arranged in hierarchies. The following examples show you how to construct a funds center hierarchy, a commitment item hierarchy and a combination of the two:
You use the funds center hierarchy to represent the organizational units (responsibility areas, departments, projects) of your organization. A funds center hierarchy is created in the system as a
In budgeting budget can be assigned to each responsibility area or funds center.
Example of a funds center hierarchy
You can also classify the revenues and expenditures in your organization by means of a hierarchy. The commitment item hierarchies are saved in the system as variants for specific FM areas/fiscal years.
You can create several commitment item hierarchies per FM area, which do not have the same hierarchy root (top commitment item). You must define the structure of your revenues and expenditures in separate hierarchies. You can also construct additional separate hierarchies for expenditures and revenues in order to serve other purposes, such as defining separate hierarchies for HR expenditures and materials expenditures.
You can create budgets for your commitment items and post commitment/actual values to them in the feeder components (Financial Accounting, Materials Management).
Example of a revenues hierarchy
Example of an expenditures hierarchy
In Funds Management, the organizational and functional structures for commitment items and funds centers are grouped together in a single structure. This means that the complete commitment item hierarchy is available for each funds center.
Example of the integration of funds centers and commitment items
See also:
Funds Center Commitment Item Funds Functional Area