Example: Budget Structure Change

The example illustrates the following case when changing a budget structure:

The budget objects have been defined in the budget structure (BS) and the all of the budget has already been distributed within the hierarchy down to these budget objects. You want to define a new budget object that is between two existing budget objects within the hierarchy. The complete budget already allocated is to be distributed downwards again.

Initial Situation: Budget Object in the Budget Structure

The budget of budget object S1/A is distributed to budget object S1/A.1 and then onto S1.1/A.1 . S1.1/A.1 is within the hierarchy directly below S1/A.1 .

Changing the Budget Structure: Adding Budget Object S1/A

Since the budget cannot be automatically redistributed when the budget structure is changed, new budget object C1/A.1 does not have any budget and C1.1/A.1 has the budget from C1/A as before.

Reconstructing the Distributed Values

When reconstructing the distributed values, the system takes the new budget object into consideration. The program adapts the distributed values to the new budget structure as follows:

C1.1/A.1 now has its budget from C1.1/A since C1.1/A.1 is directly below C1.1/A in the hierarchy. By running the program, the distributed values and distributable values for C1.1/A and C1.1/A1 have also been changed although the budget values have remained the same. C1/A.1 now has a negative distributable value since C1/A.1 has "distributed" budget to C1.1/A.1 that C1/A.1 does not yet have. C1/A1 has a positive distributable value because the budget was not distributed to C1.1/A.

Manual Budget Adjustment of Budget Values

By adjusting the budget manually, new budget object C1.1/A receives budget. Here C1.1/A must receive the same amount of budget as C1.1/A has "distributed" downwards to C1.1/A.1 when reconstructing the distributed values. The system then automatically adjusts the distributed values and distributable values for C1.1/A and C1.1/A1 when you save the budget allocation.

After the budget has been manually adjusted, the budget is again distributed to the lowest level ( C1.1/A.1 ) in the hierarchy. This way the distributable value for C1.1/A.1 is 200, for C1/A.1 and C1.1/A it is 0.