Scenario 2: Integration with Human Resources 

Use

You use this scenario:

If the master data structures do not match, the funds centers could, for example dependent on the assignments made during the transfer of data, only be derived from the CO account assignments (cost center, internal order, WBS element), but the funds could not.

In order to correctly transfer the FM account assignments to the settlement data, this scenario requires that FM account assignments in Human Resources be either defined in the master data of the position or the organizational unit (Organizational Management) and/or in the master data of the person.

Prerequisites

For information on which main prerequisites must be fulfilled for personnel expenses updating, see Prerequisites for Updating in Funds Management

Other prerequisites must be fulfilled if you want to use this scenario:

Go to Customizing for Funds Management and choose Define date for Human Resources (HR) integration, specify the time per company code from which you want to make integrated use of Funds Management and HR. From this date, you must define a funds center and if desired a fund, when creating new or when changing existing HR master records for the infotype 0001.

In order for you to be able to provide the relevant infotypes with FM account assignments, the field for the funds center and if required the commitment item and fund must be ready for input. You make these settings in the Customizing of Personnel Administration and Personnel Time Management. See Customizing Field Status for more information.

If you have already been using HR for some time, the infotypes in existing personnel master records are not automatically provided with an FM account assignment. You must therefore create a new info record from the integration date and delimit the old record. From this date it is required that you enter a funds center or if desired a commitment item and fund when creating or changing a record of the infotypes 0001, 0027 (sub type 01) and when creating or changing the cost assignment in the infotypes 0014, 0015, 2001, 2002, 2003, 2004, 2005 and 2010.

For more information on creating HR master data and infotypes, see the documentation for components Personnel Administration (PA-PA) and Payroll (PY).

If you want to use the component Organizational Management together with the component Personnel Administration, organizational units and positions can also take part in this integration scenario during cost distribution. The prerequisite is then that the FM account assignments in infotype 1018 are defined in the organizational unit and/or in the position. See the Organizational Management component documentation for more information.

If you want to change the scenario after production startup, you must be aware of the fact that these changes have extensive Matching Activities as a consequence.

Features

You have the following options to assign the personal expenses of an employee to the funds centers or, if required, to a commitment item and a fund:

If the total personal expenses of an employee are to be posted to only one FM account assignment, you need only define a funds center and if required a fund in Infotype Organizational Assignment (0001).

If you need a breakdown of expenses corresponding to the tasks of an employee, you must define several funds centers and a percentage rate for the cost distribution as well as, when required, a fund in infotype cost distribution Person (0027).

If Organizational Management is active, you can also define this distribution in infotype cost distribution (1018) for the organizational unit or Position. If a valid record exists for both infotypes (0027 and 1018), the entries in infotype 1018 override the entries in infotype 0027 in the payroll. If no entries are maintained in infotype 0027, the cost distribution from infotype 1018 (organizational unit or position) is used. As a rule, the following applies: The account assignments in subordinate organizational units and positions are passed on to persons if no valid record is defined.

If you distribute less than 100% of the expenses, the remaining percentage is posted to the FM account assignment of infotype 0001. You must therefore always define the FM account assignment in Infotype 0027 (Person) if one person occupies more than one position.

If in the Customizing of Funds Management in step Make other settings the account assignment specification FM-CO assignment binding is defined, you must enter the funds centers and funds in infotype 0001 and 0027 that were assigned in Funds Management in the same way as the CO account assignments defined in the these infotypes.

If you need an individual distribution of separate salary elements, you must define a funds center and, if required, a fund in the corresponding infotypes. These account assignment entries then override the entries defined in infotype 0001 during the payroll.

In addition, it is possible to specify a commitment item in these infotypes. In the payroll, this commitment item is then posted to instead of the commitment item that is defined in the G/L account for the individual wage type or the commitment item that may have been defined in the assignments of FM account assignments to CO account assignment in the cost element.

You can define an FM account assignment in the following infotypes:

Posting Payroll Accounting

In settlement posting, the commitment items are posted to according to the entries made in the infotypes or the assignments made (for example, a commitment item from the G/L account). For more information about assignments, read FM Account Assignment Logic.

However, postings are made to the funds centers and funds defined for the infotypes, regardless of whether for example you have defined a default funds center in the commitment item master record or a default fund in the funds center master record.

Prior to the settlement, the exact time period is determined for which scenario the employee will take part in from company code defined in infotype 0001.

An employee, however, can take part in scenario 2 and Scenario 1 during the distribution of expenses (infotype 0027) if you are using different scenarios for the integration of HR in different company codes. This is possible because you can define the CO account assignments (for scenario 1) and the FM account assignments (for scenario 2) in separate lines in infotype 0027. Each line belongs to a company code. The company codes can deviate form the company code of the person in infotype 0001; they must however be assigned to the same FM area. An FM account assignment is then derived from the CO account assignment for the company code in which scenario 1 is active. The FM account assignment defined in infotype 0027 is then posted to for the company code in which scenario 2 is active.

Posting personnel cost advances

Depending on whether the employee advances are budget relevant for you, you can process employee advances posted through a clearing account in two ways:

Considerations in Retroactive Accounting

If you execute retroactive accounting after the start of integration, which takes place in the time before the integration you have to take account of the following:

When posting retroactive accounting differences posting records arise which have no funds center. These posting records are usually posted in the current posting period. This however requires the inclusion of a funds center. The inclusion of a funds center is required when posting from the integration date onward.

You must define a funds center (called, for example, a HR collecting point) in the master records of the commitment items that you have defined in the payroll accounting expense accounts. Otherwise the system does not find a funds center when posting the retroactive accounts and the posting is rejected.

When you post, the posting data then flows to this funds center automatically. You enter the HR collecting point as part of master data maintenance. It should have the following characteristics:

To ensure this, go to the Funds Management IMG and define a specific tolerance for this funds center in the work step Define specific tolerances for availability control. In the definition, you need only specify a budget profile for which the following applies: If the tolerance limits for transaction 30 (actual posting) are exceeded, the system issues a warning. For more information, see Availability Control Settings.

See also:

For details, see Creating Top Funds Centers.

Assigning Funds Centers to Cost Centers