Integration Rule for Consolidation

Integration consolidation deals with the inconsistencies that occur when some consolidation rules are defined using periodic mode while the ownership hierarchy changes during the fiscal year.

Context

When you save or validate the I type rule in in the business rules user interface of Eliminations and Adjustment, the validation checks the following fields:

  • Destination Audit Member must be blank.

  • Entity Property Filter must be blank.

  • Other Dimensions Filter must be blank.

  • Force Destination Members must be blank.

  • In the rule details, Force interco member and Swap entity interco cannot be selected.

  • In the rule details, Source Flow and Destination Flow cannot both be empty.

In the rule details, method-based multipliers must be used. Also, the integration rule must be 99 as the intercompany method. However, rule validation does not check this.

How the integration rules work

When the integration mode is enabled for a model, the currency translation does not generate results on the group level.

You can find a new type of consolidation rule with rule type I. The definition of the consolidation rule with type I is similar to the generic consolidation rule. The main difference is that for the integration rule, you do not have to define the destination audit ID because the integration rule keeps the audit ID unchanged.

When using the integration rule, you can customize how the translated results in the reporting currency are posted to the consolidated results to a specific group. When integration mode is enabled, you do not have to define consolidation rules with types E, P, D, and L because these types of rules can be replaced by integration rules. After integration mode is enabled, the previously defined rules with types E, P, D, and L are hidden from the user interface and are used in the consolidation calculation. You cannot create new rules with types E, P, D, and L after integration mode has been enabled.

To enable the integration rule in consolidation, perform these steps:

Procedure

  1. On the navigation panel, go to Start of the navigation pathAdministration Next navigation step Modeling Next navigation step ModelsEnd of the navigation path.
  2. Choose the model for which you want to enable integration mode. Only a Consolidation-type model can enable integration mode.
  3. Edit this model by checking the Consolidation-Use Integration Rules option.
  4. Save the change.