Project Settlement Recommendations 

You have the following options for settling objects within a project (WBS elements, orders, networks, activities):

Each object is settled directly to the external cost object (examples: cost center, profitability segment).

You settle individual objects in the project to the higher-level WBS element first. This then settles the costs collected to the external receiver.

Multilevel settlement circumvents the danger of incorrect values being displayed in reporting. Do not use multilevel settlement for the phased roll-up of values within the project hierarchy.

Multilevel settlement may cause incorrect cost figures to be displayed for the higher-level WBS element. In multi-level settlement, the system takes account of elimination of internal business volume in the structure overview and hierarchy reports only if you:

Hierarchy Structure and the Effects on Values Displayed

Check whether your project needs multilevel settlement. The documents also generated for settlement to the interim receivers may adversely affect system performance during settlement, in the information system, and in archiving.

Which of these you use depends on the project type. We recommend that you have the system generate the settlement rule.

See: