Formula Planning (SAP Library - Profit Center Accounting (EC-PCA))

Formula Planning

Use

Formula planning supports manual planning. In order to plan costs/revenues, balance sheet items and statistical key figures, you can use mathematical dependencies. You can set these mathematical dependencies in Templates as formulas, which are not specific to a profit center. This means that you can use the same formula again and again for various profit centers.

For the purposes of Formula Planning, you create templates and assign them to one or more profit centers. You can also define sub-templates, which you can reference from the higher level templates.

You can use the following data from the SAP system in Formula Planning:

all master data information relevant to profit centers, for example to narrow definitions

all statistical key figures

You can plan costs/revenues, balance sheet items and statistical key figures. These can be calculated from existing plan or actual data.

Note

The SAP system calculates costs in the template using only the profit center local currency.

In addition to profit centers, formula planning is also possible for business processes and cost centers.

Prerequisites

You must have created a template and assigned the required profit centers to the template in master data maintenance (see Activities).

Features

Formula planning includes the following functions:

Template maintenance

In template maintenance, you can define one or more formulas for an object (cost/revenue element, balance sheet account or statistical key figures) on separate lines or rows to calculate plan values (see Formulas). The SAP System evaluates these formulas by calculating objects (cost element, statistical key figure or calculation row) a line at a time. You can use simple formulas to link functions (see Functions in Environements) which enable the system to read plan or actual values.

With interim results, which you can depict in calculation rows, you can calculate far more complicated formulas. With activations (see Activation) you can also build in requirements under which a formula operates

Execution of formula planning and evaluation of the template (see: Executing Formula Planning)

The system evaluates the template for a profit center or profit center group at company code level.
The SAP system applies the formula defined in the template, and calculates the desired values from them. The system then calculates each line in the template for the corresponding profit center. It also creates a plan record for the cost/revenue element, balance sheet item or statistical key figure in the corresponding profit center.

Background documentation

If you execute formula planning more than one, the plan values are not replicated. The most recent execution always overwrites the previous values. Formula planning overwrites manually planned values. On the other hand, manually enterd plan values can also overwrite formula planning values.

Postings from other applications, which already exist in an account because of planning integration, are not overwritten by formula planning. The only value that is posted here is the difference between the existing value and the value calculated by formula planning. As a result, the formula planning value is in the account. Further postings from other applications are added to this value.

During execution of formula planning, you can enter all or any profit centers or profit center groups. The SAP System searches for the corresponding template and evaluates it. You can start the evaluation as many times as you want for a profit center or profit center group.

Activities

Create a templae in environment PCA.

For further information, see Templates for Profit Center Formula Planning and Planung ® Formula Planning ® Define Templates in Customizing for Profit Center Accounting.

Assign a profit center to a template.

For further information, see Templates for Profit Center Formula Planning and Planung ® Formula Planning ® Assign Templates to Profit Centers in Customizing for Profit Center Accounting.

Execute formula planning.

For further information, see Executing Formula Planning.

Normally, you should be able to execute profit center formula planning adequately using the standard SAP environments, function trees and functions However, should you have requirements which are not covered by these standard provisions, you can define your own environments, function trees and special functions. See the detailed guide to creating templates in the SAP Library under Activity-Based Costing.