End Nodes in Source Hierarchy Become Consolidation Groups

The indicator End Nodes Become Consolidation Groups is used when loading organizational units to the consolidation system (SEM-BCS). The following explains its function, using profit center consolidation as a basis.

In the consolidation system, the combination of profit center and company can be defined as a characteristic of the Consolidation Unit role. In this case, during the data collection, the system determines the consolidation unit hierarchy from the profit center hierarchy, and the valid combinations from the profit centers and companies. There are two possible cases:

  • Only the profit center groups become consolidation groups.

  • The profit center groups and profit centers (end nodes in the source hierarchy) become consolidation groups.

When copying the profit center hierarchy, you can specify how the system determines the consolidation unit hierarchy. If you set the End Nodes Become Consolidation Groups indicator, the profit centers also become consolidation groups.

Example Example

In this example, the profit center hierarchy consists of the profit center groups PG0, PG1, and PG2, and the profit centers PC11, PC12, PC21, and PC22. The companies C1 and C2 are used for consolidation. The consolidation system uses the combinations of profit centers and companies to form the consolidation units.

Case 1: Only the profit center groups become consolidation groups, meaning that you have not set the End Nodes Become Consolidation Groups indicator.

Case 2: The profit center groups and the profit centers become consolidation groups, meaning that you have set the End Nodes Become Consolidation Groups indicator. The figure shows the initial structure of the consolidation unit hierarchy.

Profit center PC22 with only one consolidation unit PC22-C1 is useless as a consolidation group. Therefore, the system deletes profit center PC22 from the consolidation unit hierarchy.

The following figure shows the final consolidation unit hierarchy for Case 2 (you have set the End Nodes Become Consolidation Groups indicator).

End of the example.