AC665 Integration

AC665 Integration
AC665
R/3 System Release 46C 04/26/2001
0
AC665 Integration.............................................................................................................................................................1
Copyright.......................................................................................................................................................................2
Enterprise Controlling................................................................................................................................................4
Course Prerequisites...................................................................................................................................................5
Target group...............................................................................................................................................................6
Course Goal...............................................................................................................................................................7
Course Objectives......................................................................................................................................................8
Course Content...........................................................................................................................................................9
Main Business Scenario...........................................................................................................................................10
Course Overview Diagram......................................................................................................................................11
Group Control: Procedures and Infrastructure...............................................................................................................1
Group Control: Procedures and Infrastructure Unit Objectives................................................................................2
Course Overview Diagram........................................................................................................................................3
Group Control: Procedures and Infrastructure Business Scenario............................................................................4
Managing a Global Enterprise...................................................................................................................................5
Strategy: Decentralizing Responsibility....................................................................................................................6
Consolidation: Requirements.....................................................................................................................................7
Enterprise Controlling................................................................................................................................................8
Strategic Enterprise Management..............................................................................................................................9
SAP Consolidation - Future Development..............................................................................................................10
EC-CS: Functions....................................................................................................................................................11
Model Group: IDES.................................................................................................................................................12
Strategic Business Unit ...........................................................................................................................................13
Enterprise Structure and Consolidation Type..........................................................................................................14
Profit Center Consolidation.....................................................................................................................................15
Data Stream..............................................................................................................................................................16
Performance Key Figures in the Model Group........................................................................................................17
Group Control: Procedures and Infrastructure Unit Summary................................................................................18
Exercise Data...........................................................................................................................................................19
Group Control-Solutions..........................................................................................................................................28
Integrated Data Transfer: FI...........................................................................................................................................1
Integrated Data Transfer: FI Unit Objectives............................................................................................................2
Integrated Data Transfer: FI Business Scenario.......................................................................................................4
Integration of Master Data.........................................................................................................................................5
EC-CS: Data Structures.............................................................................................................................................6
Organizational Structures...........................................................................................................................................7
Consolidation Dimension and Hierarchies................................................................................................................8
Business Area Consolidation.....................................................................................................................................9
Versions...................................................................................................................................................................10
Ledger and Currency................................................................................................................................................11
Consolidation Chart of Accounts.............................................................................................................................12
Chart and Breakdown Category...............................................................................................................................13
Subitems...................................................................................................................................................................14
Global Session Parameters.......................................................................................................................................15
Financial Accounting...............................................................................................................................................16
Preparation in FI......................................................................................................................................................17
IMG Settings: Different Systems.............................................................................................................................18
FI: Organizational Elements....................................................................................................................................19
Assignment: Company Code - Company................................................................................................................20
Additional Account Assignment: Business Area.....................................................................................................21
Assignments: Asset Master Record.........................................................................................................................22
Trading Partner Information: FI...............................................................................................................................23
Preparation in FI: Document Type..........................................................................................................................24
Company Code Assignment: Business Area...........................................................................................................25
Consolidation Business Area...................................................................................................................................26
Preparation for Business Area Consolidation..........................................................................................................27
Business Area Adjustment.......................................................................................................................................28
Transaction Types....................................................................................................................................................29
Preparation in FI: Functional Areas.........................................................................................................................30
Preparations: Controlling.........................................................................................................................................31
Preparations: Materials Management......................................................................................................................32
Preparations: Sales...................................................................................................................................................33
Integrated Data Transfer: FI Unit Summary...........................................................................................................34
Integrated Data Transfer-Exercises..........................................................................................................................35
Integrated Data Transfer-Solutions..........................................................................................................................42
Data Transfer Methods: FI Data....................................................................................................................................1
Data Transfer Methods: FI Data Unit Objectives......................................................................................................2
Data Transfer Methods: FI Data Business Scenario..................................................................................................4
Consolidation With Different Releases.....................................................................................................................5
Data Transfer Methods..............................................................................................................................................6
Prepare Data Transfer................................................................................................................................................7
Sender System: Data Transfer Method......................................................................................................................8
Realtime Update.........................................................................................................................................................9
Rollups.....................................................................................................................................................................10
Transferring Values from Transaction G/L Accounts.............................................................................................11
Creating a Group Chart of Accounts/Items.............................................................................................................12
FI Accounts / Secondary Cost Elements..................................................................................................................13
Periodic Extract........................................................................................................................................................14
Transaction Accounts - Periodic Extract.................................................................................................................15
Data Transfer Methods Periodic Extract..................................................................................................................16
Assigning Consolidation Types to Dimensions.......................................................................................................17
Converting Organizational Units.............................................................................................................................18
Organizational Units: Rules for ID Combination....................................................................................................19
Maintaining Hierarchies...........................................................................................................................................20
Realtime Updates: Defining Document Types........................................................................................................21
Defining Data Streams.............................................................................................................................................22
Data Transfer Methods: FI Data Unit Summary......................................................................................................23
Data Transfer methods-Exercises............................................................................................................................24
Data Transfer methods-Solutions............................................................................................................................33
Consolidation Activities and Reporting.........................................................................................................................1
Consolidation Activities and Reporting: Unit Objectives.........................................................................................2
Consolidation Activities and Reporting: Business Scenario.....................................................................................4
Preparing Consolidation Activities and Reporting....................................................................................................5
Carrying Forward Balances.......................................................................................................................................6
Methods of Transferring Data to EC-CS...................................................................................................................7
EC-CS: Entering Additional Financial Data..............................................................................................................8
Determining Contra Items..........................................................................................................................................9
Calculating Retained Earnings: Selected Items.......................................................................................................10
Validation.................................................................................................................................................................11
Currency Translation...............................................................................................................................................12
Data Monitor............................................................................................................................................................13
Consolidation Monitor.............................................................................................................................................14
Interunit Elimination................................................................................................................................................15
Document Matching.................................................................................................................................................16
Information System..................................................................................................................................................17
Consolidation Activities and Reporting: Unit Summary.........................................................................................18
Exercises..................................................................................................................................................................19
Solutions..................................................................................................................................................................21
Integrated Data Transfer: EC-PCA................................................................................................................................1
Integrated Data Transfer: EC-PCA Unit Objectives..................................................................................................2
Integrated Data Transfer: EC-PCA Business Scenario..............................................................................................4
Data Stream................................................................................................................................................................5
Profit Center Hierarchy..............................................................................................................................................6
Global Settings: Profit Center....................................................................................................................................7
Profit Center: Master Record.....................................................................................................................................8
Profit Center Assignment...........................................................................................................................................9
Profit Center Origin: Asset Master Record..............................................................................................................10
CO and FI Reconciliation........................................................................................................................................11
Preparation for Profit Center Consolidation............................................................................................................12
Global Session Parameters.......................................................................................................................................13
Profit Center Consolidation: Hierarchy...................................................................................................................14
Partner Relationships: EC-PCA...............................................................................................................................15
Logistics: Partner Profit Center...............................................................................................................................16
LO Partner Assignment: One-Client System...........................................................................................................17
Balance Sheet Profit Centers...................................................................................................................................18
Profit Center: Additional Balance Sheet Accounts..................................................................................................19
EC-PCA Preparing Data: Unit Summary................................................................................................................20
Integrated Data Transfer: EC-PCA Exercises..........................................................................................................21
Integrated Data Transfer-Solutions..........................................................................................................................23
Data Transfer Methods: EC-PCA..................................................................................................................................1
Data Transfer Methods: EC-PCAUnit Objectives.....................................................................................................2
Data Transfer Methods: EC-PCABusiness Scenario.................................................................................................4
Assigning Consolidation Types to Dimensions.........................................................................................................5
Converting Organizational Units...............................................................................................................................6
Organizational Units: Rules for ID Combination......................................................................................................7
Transferring/Editing Hierarchies...............................................................................................................................8
EC-PCA: Transferring FS Items / Data.....................................................................................................................9
Transfer Data: Defining Data Streams.....................................................................................................................10
Standard Rollup.......................................................................................................................................................11
Rollup Header..........................................................................................................................................................12
Rollup Header: Reset Set.........................................................................................................................................13
Rollup Header: Defining The Rollup Set.................................................................................................................14
Rollup Sequence......................................................................................................................................................15
Standard Exits..........................................................................................................................................................16
Field Transfer and Standard Exits............................................................................................................................17
Rollup in Different Systems.....................................................................................................................................18
Data Transfer Methods: EC-PCAUnit Summary....................................................................................................19
Exercises..................................................................................................................................................................20
Data Transfer methods-Solutions............................................................................................................................25
Key Figures....................................................................................................................................................................1
Key Figures: Topic Objectives..................................................................................................................................2
Key Figures: Business Scenario.................................................................................................................................4
EC-CS Reporting.......................................................................................................................................................5
Reporting....................................................................................................................................................................6
Technique for Cash Flow Reports.............................................................................................................................7
Performance Key Figures in the Model Group..........................................................................................................8
Performance Key Figures I........................................................................................................................................9
Performance Key Figures II.....................................................................................................................................10
Key Figures in the Consolidated Chart of Accounts...............................................................................................11
Reconciliation of FI and PCA Results in EC-CS.....................................................................................................12
Key Figure ROA - Report in EC-CS.......................................................................................................................13
Performance Key Figures: Trends...........................................................................................................................14
EVA: Influencing Factors.....................................................................................................................................15
Task Distribution: Controlling / Group Accounting................................................................................................16
EVA with SAP EC-EIS and inSight.....................................................................................................................17
EVA: Weighted Average Cost of Capital.............................................................................................................18
Key Figures: Unit Summary....................................................................................................................................19
Key figures-Exercises..............................................................................................................................................20
Key Figures-Solutions.............................................................................................................................................21
Appendix........................................................................................................................................................................1
Example: LO Integration with FI and EC-PCA.........................................................................................................2
Example: LO Integration with FI and EC-PCA.........................................................................................................3
Purchase Order...........................................................................................................................................................4
Delivery and Picking..................................................................................................................................................5
Goods Issue................................................................................................................................................................6
Goods Receipt............................................................................................................................................................7
Invoicing....................................................................................................................................................................8
Incoming Invoice.......................................................................................................................................................9
-................................................................................................................................................................................10
0
SAP AG 1999
AC665 Integration
SAP AG
AC665
AC665
EC-CS
Integration
EC-CS
Integration
R/3
Release 4.6B
December 1999
Material number 5003 5819
0.2
SAP AG 1999
Copyright 2001 SAP AG. All rights reserved.
Neither this training manual nor any part thereof may
be copied or reproduced in any form or by any means,
or translated into another language, without the prior
consent of SAP AG. The information contained in this
document is subject to change and supplement without prior
notice.
All rights reserved.
Copyright
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Design: SAP Communications Media
0.3
SAP AG 1999
Enterprise Controlling
Cost Management
and Controlling
AC040 5 days
Financial Accounting
and Reporting
AC010 5 days
Profit Center
Accounting
AC610 2 days
EC-CS: Consolidation
functions
AC660 5 days
Financial Closing
AC205 2 days
E C - E I S: Executive Information System E C - B P: Business Planning
E C - P C A: Profit Center Accounting
Level 3
Special Purpose
Ledger
AC220 5 days
E C - C S: Consolidation
Executive Information
System (EIS) 3 -
Business Planning
AC625 4.6b 1 day
System (EIS) 1 -
Reporting
AC615 4.6b 2 days
Level 2
System (EIS) 2 -
Setting up the system
AC620 4.6b 2 days
EC-CS: Integration
AC665 3 days
A
Controlling A Enterprise Controlling B Financial Accounting C
Capital
Consolidation
C
C
C
B
B
B B B
0.4
SAP AG 1999
Required
Knowledge of business processes
Basic knowledge of accounting:
individual financial statements and consolidation
Recommended
SAP20 - Overview of SAP R/3
AC010 - Overview of External Accounting
AC660 - Consolidation Functions
Course Prerequisites
0.5
SAP AG 1999
Participants:
Project managers, project teams
Consultants
Duration: 3 days
Target group
Remarks
This course material is not intended for self teaching programs. The course is only complete in
conjuction with the instructor's explanations. This is why there is sufficient space for your notes.
0.6
SAP AG 1999
Configure and prepare the R/3 component for
consolidation
Understand SAP terminology
Understand how integration between EC-CS and
EC-PCA / FI works
Understand financial key figures that can be
calculated using consolidated data
At the conclusion of this course, you will be able
to:
Course Goal
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SAP AG 1999
Configure the sender and receiver systems
Create EC-CS master data using the link to FI charts
of accounts/EC-PCA profit center hierarchies
Use the integrated environment to transfer values for
individual financial statements from the transaction
systems
Work through consolidation steps resulting from the
data integration
Reconcile FI data with PCA data in the EC-CS
component
At the conclusion of this course, you will be able to
Course Objectives
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SAP AG 1999
Unit 5 Integrated
Data Transfer:
EC-PCA
Unit 6 Data Transfer
Methods: EC-PCA
Unit 7 Key Figures
Unit 1 Group Control:
Procedures and
Infrastructure
Unit 2 Integrated
Data Transfer: FI
Unit 3 Data Transfer
Methods: FI Data
Unit 4 Consolidation Activities
and Reporting
Preface
Exercises
Solutions
Appendix
Course Content
0.9
SAP AG 1999
You are a consultant for the consolidation
department of your enterprise.
As a member of the project team, your task is to
configure the system for consolidation so that the
various options for transferring data from FI or EC-
PCA can be utilized optimally.
Next, you test the integrated environment, and show
the project team various techniques for transferring
data.
You will then test the consolidation of the data, and
use the high level of data integration to calculate key
figures from the consolidated data.
Main Business Scenario
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SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
Profit Center Accounting
PCA Data
CO Controlling FI-GL General Ledger
Course Overview Diagram
1
SAP AG 1999
Requirements for Consolidation Systems
The IDES Model Group
Group Control: Procedures and Infrastructure
Contents
(C) SAP AG AC665 1
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SAP AG 1999
At the conclusion of this unit, you will be able to:
Describe reasons for consolidation within a
corporate group
Name various consolidation types
Name the various organizational structures of the
EC-CS components
Choose the consolidation dimension using the
session parameters
Group Control: Procedures and Infrastructure Unit
Objectives
(C) SAP AG AC665 2
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SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
PCA Data
(C) SAP AG AC665 3
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SAP AG 1999
Your task is to hierarchically organize a complex
company structure for the group dimension, and to
prepare the data from individual subsidiaries for
consolidated financial statements.
Before transferring the data from the sender systems,
you want an overview of the functionality offered by
the EC-CS component.
You will then determine the various consolidation
types for which you require the data from the sender
systems.
Group Control: Procedures and Infrastructure
Business Scenario
(C) SAP AG AC665 4
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SAP AG 1999
Enterprise Management
?
AR
USA
MEX
D
F
E
J
How can we manage the activities of our enterprise in various
countries and markets, operate locally, and promote the global
strategy of the group?
Managing a Global Enterprise
Complex group structures have to be managed effectively.
At the same time, increasing globalization requires decentralized group management for independent
organizational units.
Business units that are close to the market have to be managed decentrally in order to leverage their full
market potential.
(C) SAP AG AC665 5
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SAP AG 1999
AR
USA
MEX
D
F
E
J
Enterprise Management
Strategic
Business Unit
Targets
Reports
America Europe/Africa Asia
B
C
A
Strategy: Decentralizing Responsibility
Global process optimization allows synergies (know-how, core competencies) to be detected more
quickly and used more efficiently in the group.
New business concepts can be transferred from one unit to another.
Enterprise goals are increasingly being set "from the outside" - by shareholders, for example.
Enterprise management now has the task of implementing these goals internally.
The corporate group head office calculates key figures and defines goals for the strategic business
entities.
Here, non-monetary success factors also have an influence: the group has the relevant information
earlier, and no longer has to wait until effects are seen in P&L.
Formerly, external and internal accounting were usually separate (for example, due to different valuation
methods). Nowadays, the goal is to unite external and internal accounting, since the requirements for
legal consolidation also comprise a certain amount of information relevant to cost accounting.
The enterprise is controlled according to internal enterprise structures that can be very detailed. This
means that extremely flexible structures are necessary. The company is no longer the basis of
consolidation in all areas.
(C) SAP AG AC665 6
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SAP AG 1999
External Group Reporting / Consolidation
Reporting procedure in accordance with international reporting
regulations:
US GAAP, IAS...
Internal Group Reporting / Consolidation
Management consolidation: business areas, profit centers
Various data categories, including actual data, budget, forecast
Enterprise Key Figures
Calculation at various hierarchy levels
Consolidation: Requirements
Automatic creation of consolidated financial statements
Flexible definition of consolidation methods
In legal consolidation, the consolidation units are the legally independent companies. They report their
individual financial statements to the group, which are used to compute the consolidated financial
statement.
In management consolidation, the consolidation areas can be profit centers or business areas.
In the R/3 System, integrated data can be transferred directly from the transaction systems to
consolidation.
You can work with planned and budget values, or carry out simulations.
The standard system includes all international consolidation methods that are commonly used.
(C) SAP AG AC665 7
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SAP AG 1999
Management Cockpit
Executive Board
Financial
Executives
EC-BP
Online Info
Managers
EC-EIS
EC-CS
EC-PCA
Markets
Non-
SAP
Non-
SAP
Transaction Applications
EC-EIS is the information system for senior management. Data from the various partial information
systems inside and outside of the enterprise (accounting, human resources, controlling, and enterprise
controlling) is grouped together to form a uniform dimension. Since this data is very heterogeneously
structured, the data basis can be divided up into data areas that are self-contained from a business point
of view.
EC-BP: Actual/planned data, as well as investment requirements can be transferred from the transaction
applications in the group, making it easier to determine planning data for the transaction units.
EC-CS comprises general consolidation functions for external reporting, but also for the internal
reporting structure in accordance with the internal management structure.
Migration tools for migrating from FI-LC to EC-CS are available since March 2000.
EC-CS consolidates 'financial data' from external and internal accounting. What is more, EC-EIS
imports the critical control values for enterprise controlling from the logistics and human resource
applications.
General key figure reports in EC-EIS are complemented by EC-CS data in a highly aggregated form.
The transferred EC-CS data are presented in EC-EIS in joint reports.
EC-PCA provides information on profitability and capital tie-up in units that are responsible for earnings
(profit centers).
(C) SAP AG AC665 8
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SAP AG 1999
Corporate
Performance
Monitor
(CPM)
Business
Planning &
Simulation
(BPS)
Business
Information
Collection
(BIC)
Stakeholder
Relationship
Management
(SRM)
SAP SEM SAP SEM
BW
Business
Consoli-
dation
(BCS)
BPS: Links strategic planning and
business planning
CPM: Balanced scorecards,
management cockpit and
key figure systems help an
enterprise to fulfil its strategic
goals
SRM: Integrates the communication
with the stakeholders
SEM-BCS: Automates the
consolidation process
BIC: Supports the automatic
acquisition of external and internal
business information
Strategic Enterprise Management
Success is measured by the speed with which a business strategy can be realized. To optimize enterprise
controlling SAP has developed the New Dimensions component Strategic Enterprise Management
(SEM).
One of the main advantages of SAP SEM is the support it offers to strategic management processes by
linking strategic and operational actions.
Internal control of an enterprise can be carried out using value-oriented management principles.
(C) SAP AG AC665 9
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SAP AG 1999
SAP Consolidation
Engine
EC-CS
Consolidation
SEM-BCS
Business Consolidation
Value Based
Management
Functions
R/3
OLTP Structures
fixed partially
flexible
BW
OLAP Structures
SAP Consolidation - Future Development
SAP SEM is an analytical application and is based on complex OLAP and Data Warehouse technology
(OLAP: Online Analytical Processing).
The SAP consolidation engines used by both EC-CS and SEM-BCS contains all the consolidation
functions. The consolidated data can be made available in the OLTP system (R/3 EC-CS) or in BW
(SEM-BCS).
Alternatively, reported data can in future be consolidated and analyzed in BW.
In R/3 the EC-CS structures, both fixed and flexible (user definable), continue to be available and
applicable in OLTP systems.
OLTP (Online Transactional Processing): The data is stored in tables and is, to a certain extent, user
definable.
The Business Information Warehouse (BW) contains the business data, among other things the
consolidated data.
The data is contained in a multidimensional data cube (OLAP structure).
(C) SAP AG AC665 10
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SAP AG 1999
EC-CS: Functions
Currency
Translation
Versions
Simulation
Restatement
Master Data
Validation
Profit and loss Statement
1
2
3
C A
Sales
B
50
Interactive Excel
Manual
Posting
Drilldown Reports
Monitor
OK
ERR
Data Collection
FI Interface
CO Interface
PC Data Transfer
Flex. File Upload
Report Writer
Report Painter
Interunit Elimination
Profit Elim. in Inventory
Consolidation of Investments
Reclassification
Automatic Consolidation
MS Access
Applications of EC-CS :
Company consolidation
Management consolidation
Characteristics:
Flexible hierarchies of consolidation units
SAP integration for companies, business areas, profit centers
Tools for online and offline data entry
Flexible interfaces for subsidiaries with systems made by other manufacturers
Powerful reporting functionality, drilldown to transaction SAP components
International rules for reporting (US-GAAP, IAS)
Versions for data categories, simulation, planning
(C) SAP AG AC665 11
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SAP AG 1999
SBU 6000 Pharma
DIV 62 Diabetical
Subsidiary
C20000 IDES New York
Parent Company
C10000 IDES Palo Alto
Insulin Products
for Distribution
Medical Substances &
Packaging Material
Packaging Material
SBU 6000 Pharma
DIV 61 Analgesics
DIV 62 Diabetical
Subsidiary
C30000 IDES Chicago
SBU 8000 Services
DIV 81 Pharma Market Research
SBU 4000 Chemicals
DIV 43 Medical Substances
DIV 41 Packaging Material
SBU 9900 Corporate and Others
SBU 9900 Corporate
and Others
SBU 9900 Corporate
and Others
Model Group: IDES
SBU: Strategic Business Unit
DIV: Division
The IDES model group is based in the USA. It comprises three enterprises:
The corporate head office, IDES Palo Alto (company code C100, company C10000, business area
Pharma) produces pharmaceuticals (analgesics and anti-diabetic agents) and delivers the anti-
diabetic agents to IDES New York for sale and distribution.
IDES Chicago (company code C300, company C30000) operates in the business areas Chemicals
and Services.
The company supplies IDES Palo Alto and IDES New York with raw materials and packaging
material from the business area Chemicals.
IDES Chicago carries out market research in the business area Services, the results of which are sold
to external companies and IDES Palo Alto.
IDES New York (company code C200, company C20000, business area Pharma) sells and
distributes the products manufactured by both companies.
(C) SAP AG AC665 12
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SAP AG 1999
Product Line MONO
AS Asparax
PCM Paracetamol
Analgesics
Division
Analgesics
Division
Product Line COMBO
Codeine Codeine & PCM
Azur Codeine & AS
Product Line
Human based Insulin
Insulin
H-Insulin
Diabetical
Division
Diabetical
Division
Product Line
Animal based Insulin
B-Insulin
Strategic Business Unit "Pharma"
The IDES model group has divided its enterprises into the segments Pharma /Chemicals, Services, and
Corporate and Others.
The strategic business unit Pharma consists of two divisions:
Painkillers, with the product lines
Mono (products AS and PCM)
Combo (compound preparations)
Diabetical products, with the product lines
Human based insulin
Animal based Insulin
The strategic business unit Pharma is represented by business area 6000, and by a node in the profit
center hierarchy.
This enables you, on the one hand, to create external reports according to international rules for
reporting, and on the other to compare values from internal and external dimensions with one another.
Since these business units supply each other, partner relationships have to be assigned to the transaction
applications so that internal business volume, as well as payables and receivables can be eliminated at
the group level.
(C) SAP AG AC665 13
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SAP AG 1999
Palo Alto
Chicago New York
Palo Alto /
Pharma
Chicago /
Chemicals
Chicago /
Services
New York /
Pharma
Consolidation
Group
Consolidation
Unit
Hierarchy 1: Companies
Palo Alto /
Pharma
Pharma Chemicals Services Corporate Other
New York /
Pharma
Consolidation
Group
Consolidation
Unit
Hierarchy 2: Business areas
...
...
H2 H2
H1
Dimension:
Business area
Consolidation
Enterprise Structure and Consolidation Type
The internal structure of the enterprise is reflected in the organizational elements of external accounting
(for a segment report procedure according to international rules).
In EC-CS, three consolidation types are provided for use in integration with SAP transaction
applications:
Business area consolidation
Profit center consolidation
These consolidation types are displayed in dimensions. Dimensions allow various views of the
consolidation data. These can be stored and managed separately for each dimension.
A dimension can contain several hierarchies according to various statutory or internal requirements. For
example, for a business area consolidation dimension:
Reflect the business areas with reference to the legal companies
Breakdown of the group according to group areas.
The business object consolidation unit is the smallest unit in group structuring on the basis of which
complete consolidation can be carried out.
The business object consolidation group is an arbitrary grouping of several consolidation units for the
purpose of consolidation and reporting.
The consolidation units and groups are assigned hierarchically to a top consolidation group. A dimension
comprises at least one hierarchy structure.
(C) SAP AG AC665 14
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SAP AG 1999
Consolidated data Consolidated data
SEG A SEG A
Pharma Pharma & Chemicals & Chemicals
SBU SBU
Chemicals Chemicals
DIV DIV
Medical Substances Medical Substances
Acetyl
Paracetamol
H-Insulin
SEG B SEG B
Services Services
SEG C SEG C
Corporate and Others Corporate and Others
SBU SBU
Pharma Pharma
DIV DIV
Analgesics Analgesics
DIV DIV
Diabetical Products Diabetical Products
Mono Mono Combo Combo
AS PCM
H H- -Insulin Insulin A A- -Insulin Insulin
Insulin H-Insulin
Strategic Business Unit
Division
Product Line
Product
EC-CS Consolidation
Unit
Palo Alto
Insulin
New York
Insulin
Profit Center Consolidation
If you use consolidation with integration to general ledger or profit center accounting, you generate the
consolidation units and groups from the organizational units of the respective operating applications.
The consolidation groups are defined by the profit centers and hierarchy nodes, the consolidation unit is
built by the profit center and the company.
(C) SAP AG AC665 15
1.16
SAP AG 1999
CO CO- -PA PA
HR HR
Cost Center
Order
Project
P&L Accounts
and CO Object
Bal. Sheet Acct SD SD
MM MM
BP
Business
Planning
EIS
Executive
Information
System
EC-CS Consolidation
Dimension
FI Data
Consolidation Unit = Company /
Business Area
PCA Data
CU =
Company /
Profit Center
EC-PCA
Profit Center, Company Code
Assets
Receivables
Payables
Assets
Receivables
Payables
WIP
Inventory
Other.
WIP
Inventory
Other.
Data Stream
EC-CS consolidates on the basis of the organizational units company, business area, and profit center
and is optimally integrated with these systems.
If the transaction applications and the Consolidation system are all in the same client of the same system,
data can be transferred to the Consolidation system online (in realtime).
Additionally, data can be transferred by periodic extract or rollup from non-SAP systems.
(C) SAP AG AC665 16
1.17
SAP AG 1999
Consolidated data Consolidated data Enterprise
Strategic
Business Unit
Division
Product Line
Product
CF Total Cash Flow
ROCE Return on Capital Employed
EBITDA Earnings before Interest ...
and others: Sales, Profit
ROA Return on Operating Asset
CF Transaction Cash Flow
and others: Sales, OPEX
Performance Key Figures in the Model Group
Chemicals ... Pharma
Combo
Diabetical Analgesics
Mono
AS PCM
For internal group reporting consolidation can be executed on different levels of the company.
You can calculate key figures on different internal levels. They are used for internal/external evaluation
of companies and for managing the company.
For example, on product line level, you can define a profit center as an independent area of
responsibility and analyze its profitability by key figures. Key figures can be used both as targets and as
incentives.
Consolidated data are particularly suitable for performance figures because of its aggregated data.
(C) SAP AG AC665 17
1.18
SAP AG 1999
You are now able to:
List the reasons for using consolidation in your
corporate group
List the different types of consolidation
List and distinguish between the organizational
structures of the EC-CS component
Use the sessions parameters to select the
consolidation dimension
Group Control: Procedures and Infrastructure Unit
Summary
(C) SAP AG AC665 18
1.19Exercise Data
Data in Training System
## = your course group
number
Data in IDES System
Organizational
Elements
Company
Name
C10000
IDES Palo Alto
C20000
IDES New York
C30000
IDES Chicago
Company code
Name
C100
IDES Palo Alto
C200
IDES New York
C300
IDES Chicago
Business area
Name
4000 Chemicals
6000 Pharma
8000
Services
9900
Corporate/Other
Functional areas 0100 Production
0110 Direct costs
0120 Overhead costs,
production
0130 Credit, production
0300 Sales
0400 Administration
0500 Research & development
0980 Accrued costs
(not in income statement)
Controlling area C001 - for all course groups C001 - EC North America
Chart of Accounts CAUS CAUS
(C) SAP AG AC665 19
Group chart of
accounts
CONS CONS
(C) SAP AG AC665 20
Account
assignment
elements
G/L account
Name
Example:
1440##
40 + your group no. 14
144054
This example applies to all G/L
accounts.
Receivables,
affiliated companies
1440##
Gr. ##
144000
Receivables, affiliated companies
Business area adjustment account
1449##
144098
Payables, affiliated
companies
1640##
Gr. ##
164000
Payables, affiliated companies
1649##
164098
Net sales, affiliated
companies
8020##
Gr. ##
802000
Consumption of raw
materials
4000##
Gr. ##
400000
Primary Cost
Element
Example:
4000##
400054
This example applies to all
primary cost elements.
Consumption of raw
materials
4000##
Gr. ##
400000
Net sales, domestic 8020##
Gr. ##
802000
Group chart of
accounts
CONS CONS
EC-CS
Cons. chart of
accounts
Name
01
US, ARE Balance Sheet, COGS
01
US, ARE Balance Sheet, COGS
(C) SAP AG AC665 21
Group account Group chart of accounts is identical
to item in consolidation chart 01
Example:
1301##
130154
This example applies to all group
charts/items in consolidation
chart of accounts 01.
Group account
Name
Receivables
1301##
Receivables
130100
1301##
130100
Payables,
2101##
Payables,
210100
2101##
210100
Net sales,
3012##
Net sales,
301200
Consumption of raw materials
3101##
Consumption of raw materials
310100
Standard Hierarchy CUSA
Standard hierarchy of controlling
area C001
for all course groups
CUSA
Standard hierarchy of controlling
area C001
(C) SAP AG AC665 22
Cost center
Name
C100C6111M
Manufacturing Product Acetyl
C100C6112M
Manufacturing Product
Paracetamol
C100C6111A
Administration Product AS
C100C6112A
Administration Product PCM
C300C4311M
Manufacturing Product Acetyl
C300C4312M
Manufacturing Product
Paracetamol
C300C4311A
Administration Product Acetyl
C300C4312A Administration
Product Paracetamol
Profit Center
Standard
Hierarchy
C-Top-1
North America
C-Top-1
North America
Profit Center
Name
C-BA-6-BS
B/S Business Unit PHARMA
C6111
AS
C6112
PCM
C-BA-4-BS
B/S Business Unit CHEMIE
C4311
Acetyl
C4312
Paracetamol
C9902 Administration
(C) SAP AG AC665 23
Dimension
Name
A2 through T2
Business area consolidation Gr##
Example:
A2: Gr01
B2: Gr02
J2: Gr10
02
A3 through T3
Profit center consolidation Gr##
03
(C) SAP AG AC665 24
Worksheet for exercise data: Group_____
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
(C) SAP AG AC665 25
Konzernsteuerung: Verfahren und Infrastruktur Exercises
Unit: Group Control: Procedures and Infrastructure
Topic: Positioning
At the conclusion of these exercises, you will be able to:
Name the strategic business units in the IDES model group
Describe the organizational units of consolidation
Your enterprise comprises internal and external organizational structures.
You should adapt these structures adequately to match SAP
organizational units.
1-1 Name the strategic business units of the IDES model group.
______________________________________________________________
______________________________________________________________
1-2 Complete the sentences:
1-2.1 A dimension defines a particular ______________________ of group reporting -
for example, company consolidation, business area consolidation, or profit center
consolidation.
1-2.2 The business object ___________________ is the smallest unit in group structuring
on the basis of which complete consolidation can be carried out.
1-2.3 The business object consolidation group is an arbitrary grouping of several
________________________ for the purpose of consolidation and reporting.
(C) SAP AG AC665 26
1-2.4 The consolidation units for the profit center consolidation area generated from
_________________________ and _______________________.
1-2.5 Which additional consolidation groups are generated in profit center consolidation
that are not generated in business area consolidation?
(C) SAP AG AC665 27
1.20 Group Control-Solutions
Unit: Group Control: Procedures and Infrastructure
Topic: Positioning
1-1 Name the strategic business units of the IDES model group.
Chemicals, Pharma, Services, Corporate and Others
1-2 Complete the sentences:
1-2.1 A dimension defines a specific characteristic of group reporting - for example,
company consolidation, business area consolidation, or profit center consolidation.
1-2.2 The business object consolidation unit is the smallest unit in group structuring on
the basis of which complete consolidation can be carried out.
1-2.3 The business object consolidation group is an arbitrary grouping of several
consolidation units for the purpose of consolidation and reporting.
1-2.4 The consolidation units for the profit center consolidation area generated from
profit centers and companies.
1-2.5 Which additional consolidation groups are generated in profit center consolidation
as opposed to business area consolidation?
Consolidation groups that correspond to the profit center hierarchy are
generated.
(C) SAP AG AC665 28
2
SAP AG 1999
EC-CS: Data Structures
FI: Terms and Assignments
Contents
Integrated Data Transfer: FI
(C) SAP AG AC665 1
2.2
SAP AG 1999
Describe EC-CS master data and its function
Name the enterprise structures in the transaction
system, and link these to the consolidation
structures
Name various data transfer methods and their
functions
Prepare data transfers for legal or management
consolidation.
Integrated Data Transfer: FI Unit Objectives
(C) SAP AG AC665 2
2.3
SAP AG 1999
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
EC-CS Consolidation
Dimension FI Data PCA Data
(C) SAP AG AC665 3
2.4
SAP AG 1999
The company puts you in charge of preparing external and
internal consolidation types.
Before you can transfer data from the sender system to the
Consolidation system, you will have to analyze the various
integration options, and acquire an overview of the various
upstream components.
Next, in the sender system, you will prepare the structures for
transferring the data to the Consolidation system.
When you do this, the enterprise structure of the upstream
components will be linked with those of the Consolidation
system, and the consolidation units and groups will be
generated in the Consolidation system.
You then decide how you will supply the consolidation types
with values from the sender systems, and choose the
appropriate data transfer method.
Integrated Data Transfer: FI Business Scenario
(C) SAP AG AC665 4
2.5
SAP AG 1999
Sender System
Companies
Business Areas
Profit Center
Accounts
Secondary Cost
Elements
Add. Account Assignments
(Region, Functional Area,
Cost Center...)
Consolidation System
Dimension
Version
Ledger
Organizational Units:
- Consolidation Units
- Consolidation Groups
- Consolidation Hierarchy
Consolidation Chart of Accounts,
Financial Statement Items
Subitems
FI FI
EC-
CS
EC-
CS
Integration of Master Data
Consolidation is centered on grouping together data from individual elements of an organization to form
a unified whole. The aim of consolidation is to show only the external relationships, and to eliminate
internal connections and processes.
Against this background, two types of master data are of primary importance:
The organizational units themselves, together with their structure, and
The financial statement items, whose structure determines the content of the data.
The financial statement item is the basis of entries, postings, and reporting within consolidation. Its use
is not merely confined to variables from financial statements, income statements, or appropriation of
retained earnings that are relevant to financial accounting. Statistical information and key figures can
also be managed using financial statement items. In the Consolidation system, their properties attributes
are determined on the basis of the FS item type, where-applied indicator, FS item category, debit/credit
sign, and breakdown category.
Subitem: A subitem is an optional additional account assignment. For example, financial statement items
for fixed assets may have to be additionally assigned with transaction types so that all changes in the
financial statement items are shown from the opening to the closing balance.
(C) SAP AG AC665 5
2.6
SAP AG 1999
EC-CS: Data Structures
(C) SAP AG AC665 6
2.7
SAP AG 1999
Palo Alto New York
Palo Alto /
Pharma
Chicago /
Chemicals
Chicago /
Services
New York /
Pharma
...
...
...
Consolidation
Group
Chicago
Consolidation
Unit
Legal Business Unit:
Company
Legal Business Unit: Legal Business Unit:
Company Company
Organizational Structures
Group Dimension: Group Dimension:
Hierarchy of Companies and Business Areas Hierarchy of Companies and Business Areas
Strategic Business Unit:
Business Area
The company forms the basis for generating consolidation units.
The business object consolidation unit is the smallest unit in group structuring on the basis of which
complete consolidation can be carried out.
The business object consolidation group is an arbitrary grouping of several consolidation units for the
purpose of consolidation and reporting.
The relationships between the business areas and the companies are represented in a hierarchy.
(C) SAP AG AC665 7
2.8
SAP AG 1999
Palo Alto
Chicago
New York
Palo Alto /
Pharma
Chicago /
Chemicals
Chicago /
Services
New York /
Pharma
CU
CG
Companies
Palo Alto /
Pharma
Pharma Chemicals Services Corporate/Other
New York /
Pharma
CU
CG
Business Areas
...
...
H2
H1 H1
Hierarchy
Dimension:
Business Area
Consolidation
Consolidation Dimension and Hierarchies
CU: Consolidation Unit
CG: Consolidation Group
A dimension defines a specific characteristic of group reporting - for example, company consolidation,
business area consolidation, or profit center consolidation.
Organizational units and control data are defined according to the dimension.
Consolidation charts of accounts and consolidation versions are defined for all dimensions.
In reports, the data for various dimensions can be evaluated together.
The consolidation units and groups are assigned hierarchically to a top consolidation group.
A dimension comprises at least one hierarchy structure.
A dimension can contain several hierarchies according to various statutory or internal requirements. For
example, for a "business area consolidation" dimension:
Reflect the business areas with reference to the legal companies
Break down the group according to group areas.
(C) SAP AG AC665 8
2.9
SAP AG 1999
Palo Alto /
Pharma
New York /
Pharma
Consolidation
Unit
Consolidation
Unit
Automatic Assignment of
Business Areas
Group
H2 H2
Pharma Chemicals Corporate/
Other
Business Area Consolidation
Company XY /
Corporate /
Other
Bank
Equity
Taxes
Services
Chicago /
Services
Transferred
Assets
Receivables
Payables
Balances
P&L
All essential balance sheet items (such as transferred assets, receivables, payables, or stock on hand, as
well as all the financial statement items in an income statement) can be assigned directly to the business
area. The balance sheet items bank, equity, and taxes, on the other hand, cannot be assigned, or can only
be indirectly assigned manually.
The business transactions are transferred online or periodically to the consolidation units. The
consolidation unit is derived on the basis of the combination of the legal entity company and the business
area, or the consolidation business area.
For the purposes of consolidation, particular business areas can be grouped together into consolidation
business areas.
(C) SAP AG AC665 9
2.10
SAP AG 1999
Versions
Receivables / Payables
(Foreign Currency Valuation)
Tangible Fixed Assets
(Depreciations)
Material Stocks
Open Orders
(Long-Term
Production)
IAS Version
Local
Adj. EU
Elim.
Group
Local
Adj. US-GAAP
Elim.
Group
B
o
o
k
d
e
p
re
c
ia
tio
n
B
o
o
k
d
e
p
re
c
ia
tio
n
C
o
n
s
o
lid
a
te
d
d
a
ta
C
o
n
s
o
lid
a
te
d
d
a
ta
E
U
E
U
T
ra
d
e
L
a
w
T
ra
d
e
L
a
w
G
ro
u
p
G
ro
u
p
U
S
U
S
- -G
A
A
P
G
A
A
P
T
ra
d
e
L
a
w
T
ra
d
e
L
a
w
(lo
c
al)
(lo
c
a
l)
T
a
x
L
a
w
T
a
x
L
a
w (lo
c
al)
(lo
ca
l)
US-GAAP Version
EC-
CS
EC EC- -
CS CS
FI-
AP
FI FI- -
AP AP
FI-
AR
FI FI- -
AR AR
FI-
AA
FI FI- -
AA AA
MM MM MM
PS PS PS
CO CO CO
ECMCT ECMCT ECMCT
Totals Database
Inventory valuations can differ depending on whether they are carried out from the point of view of local
trade law, tax law, or the group.
The valuation results from individual valuations of subsidiary ledgers are posted in summarized form to
separate accounts in Financial Accounting.
The various balance sheets and profit and loss statements are generated in individual financial statements
by means of different assignments to the accounts in the financial statement structures.
This enables you to maintain consolidated financial statements in parallel according to various statutory
accounting requirements.
In consolidation, the versions serve to maintain separate datasets in the consolidation database so that
alternative consolidations can be managed.
This means that various data categories (such as actual, plan, and budget data) can be maintained and
consolidated.
You can also carry out simulations, for example on the basis of different exchange rates or changes in
the group structure.
A consolidation version is composed of special versions.
These are methods and tasks that cover the various areas of consolidation.
This enables you to define various consolidation versions that differ only in one or a few areas, but
otherwise refer to the same special version (that is, data is not redundant).
(C) SAP AG AC665 10
2.11
SAP AG 1999
ECMCT
Totals Database
Ledger
US
Cons.
Unit
FS item TC ... Val.
in
LC
Value
in GC:
USD
Quantities
Ledger US
Ledger EU
Ledger
EU
Cons.
Unit
FS item TC ... Val.
in
LC
Value
in GC:
EURO
Quantities
$
Ledger and Currency
The ledger is an area of the ECMCT totals table. It contains specifications for the data records that you
work with during a terminal session.
The data in the ECMCT totals table can be maintained in three currencies:
Transaction currency
Currency of the consolidation unit
Ledger currency
The ledger currency specifies the currency of the consolidation group.
SAP delivers the standard ledger "1C" for consolidation. This ledger is not for use in a live customer
system. Please create a new ledger (using ledger "1C" as a copy template).
If you consolidate consolidation groups in different currencies, you also need additional ledgers, since
each ledger is always maintained in one currency. If, for example, you want to consolidate one
consolidation group in USD and another consolidation group in EURO, you require a ledger with the
ledger currency USD, and another ledger with the ledger currency EURO.
(C) SAP AG AC665 11
2.12
SAP AG 1999
Consolidation Chart of Accounts
Dimension
Company
Consolidation
Dimension
Profit Center
Consolidation
Dimension
Business Area
Consolidation
Cons chart German GAAP, appr. in
income statement
Cons chart German GAAP, appr. in
balance sheet
Chart: US GAAP
Cons chart...
G/L Account
Secondary
Cost
Elements
Transaction
Chart of
Accounts
FI FI
CO CO
External Charts of
Accounts
EC EC- -CS CS
Consolidation is equipped with its own consolidation chart of accounts, which is not linked to the charts
of accounts in FI. The consolidation items usually correspond to the group accounts, the financial
statement items of a financial statement version, or to the transaction accounts (if these are unique).
The consolidation chart of accounts can be generated from these structures automatically.
The consolidation chart of accounts is a systematically structured directory of FS items that belong
together. The grouping is based on external and/or internal requirements. For example, you can define
one consolidation chart of accounts to accommodate the requirements of the particular legal reporting
rules, and one to meet internal requirements.
Within a consolidation dimension, you can use several consolidation charts of accounts to generate
consolidated financial statements in parallel.
Financial statement items are of central importance in data transfer, posting, and reporting.
The system reads the breakdown category from the master data of the financial statement item, and
determines the breakdown according to additional account assignments. If an item is broken down by
subitems, the system determines the sender field of the transaction data structures on the basis of the
subitem category. It then copies the value of the sender field to the subitem.
If an item is broken down by partner, the system converts the code of the partner assignment in the
transaction data to the partner unit.
(C) SAP AG AC665 12
2.13
SAP AG 1999
01 01 Consolidation Chart of Accounts
Value Item
Totals Item
Totals Item
...
Subitem Partner Currency
Year of
Acquisition
Specification
Cons C/A 01
FS Item
FS Item Type
Debit/Credit Sign
Contra Item
Where-Applied Indicator
FS Item Category
Consolidation Item
Appropriation Item
+
1
A
Assets
Breakdown Category 1000
...
Texts
Chart and Breakdown Category
The financial statement item is the basis of account assignment in the Consolidation system. It identifies
a value or quantity specification according to cause, and can be differentiated by further additional
account assignments.
You can save short, medium, and long descriptive texts for each financial statement item.
The FS item type gives a concrete specification of the attributes of a financial statement item with
respect to entries, updates, and processing in evaluations.
The following financial statement items types are available:
value items, totals items, and text items.
Where-applied indicator: The where-applied indicator is used to specify whether the financial statement
item should belong to assets, liabilities and owner's equity, income statements, or statistical items.
The FS item category can be freely defined by the user, for example to mark financial statement items as
key figure items.
The additional account assignments to be managed for each financial statement item are specified via the
breakdown category.
A fixed allocation of additional account assignments may be required (for example, the specification
of the partner unit in receivable and payables items that is required to carry out an elimination of IU
payables and receivables).
In the above example, the breakdown category '1000' for asset transactions defines a transaction type
as a necessary subassignment.
(C) SAP AG AC665 13
2.14
SAP AG 1999
EC EC- -PCA PCA
Subitems
Accounting document
FI
EC EC- -CS CS
FS item
Subitem category
Subitem
Fixed asset
Transaction type
Divestiture
The use of subitems depends on the FS item.
Net Sales
Country
Germany
Expense
Functional area
Sales
FS Item G/L account Subitem
Business area FI-GL account Cost center
Transaction type Functional area Customer's country
Subitem
Category
Consolidated
sales revenue
by customer
regions (market)
Consolidated
income statement
by cost of sales
accounting
Subitems enable you to break down FS item values further. It may, for example, be necessary to
additionally assign financial statement items in transferred assets with different transaction types so that
all changes to the items are shown from the opening to the closing balance.
The subitems are grouped into subitem categories, in order to distinguish the transaction types in
transferred assets from those in equity, for example.
Only one subitem category can be assigned to a particular financial statement item in EC-CS.
In an integrated SAP environment, you can define a sender field (transaction type, for example, or
customer country) for each subitem category.
The Consolidation system has 6 flexible account assignments that can be supplied from the Accounting
system: transaction type, functional area, business area, country of customer, cost center, and G/L
account. Default subitems are provided for each of the subitem categories in the consolidation charts of
accounts supplied with the system.
With the help of custom characteristics, you can define your own additional subitem categories and
subitems.
In an integrated SAP environment, you can define a sender field (transaction type, for example, or
customer country) for each subitem category.
If the data is imported to EC-CS from FI or EC-PCA, the original account assignments are converted to
subitems of the same name.
In the transaction applications, specify that the appropriate fields are ready for input.
(C) SAP AG AC665 14
2.15
SAP AG 1999
ConsGroups FS Items Data Monitor ConsMonitor Infosystem Parameters
Global Parameters
Dimension 01 Legal
Version 100 Actual data
Year YYYY
Period MMM
Cons C/A 01 US Chart
Ledger US USD
Parameters
EC-
CS
EC-
CS
Global Session Parameters
The global parameters are used to save important EC-CS settings that typically remain constant during a
system session.
The settings to be saved are specified by the user. These settings can be changed at any time, and remain
available after you log off and log on again.
At startup, the information from the global parameters is either proposed as a default by functions, and
sometimes cannot be changed on the screen in question. In presentations of consolidation results, as well
as in Customizing, the global parameters are displayed in a status line at the top of the particular screen.
In Customizing, a colored note indicates which parameter currently affects maintenance. Thus,
maintaining financial statement items, for example, depends on the consolidation chart of accounts, but
does not depend on the current version.
(C) SAP AG AC665 15
2.16
SAP AG 1999
Data Structures
Assignments
Financial Accounting
(C) SAP AG AC665 16
2.17
SAP AG 1999
Preparation in FI
Organizational units
Accounts
FI Doc.
Rules for ID combination
(per consolidation type)
Definition of active data
streams:
Dimension /Cons C/A / Version
Master data consolidation
units
Custom characteristics
Assignment of charts of
accounts to cons C/A
Master data subitem category
Assignment of accounts -
FS items
EC-CS: Data
TTy
Country
Region
...
Customizing Dimension
Consolidation
unit
Version
Cons chart/accts
Ledger
FS item
Subassignment
Definition of global
organizational units
Fiscal year/
Period
Company code
Business area
...
Realtime update for
consolidation types
Company
Business area
Posting date
Add. acct assignments
The data source for EC-CS is the FI general ledger, and the company code is the organizational unit.
The FI company code must be assigned to a chart of accounts and a company.
In EC-CS, the consolidation units are generated from the business units (companies and/or business
areas).
In accounting transactions between business units in the enterprise, the relevant trading partner unit must
be stored in the document. This is necessary for the subsequent interunit elimination.
To transfer the data from the transaction sender system to the receiver system, you will make
assignments tailored to the receiver system.
These can be assignments that are equally binding for all consolidation types, such as the assignment of
a company code to a company.
If desired, business area balance sheets can be activated for each company code in FI.
You can subdivide a company code into business areas to generate internal individual financial
statements using freely selected areas of responsibility within a company.
In business area consolidation, a consolidation business area must be assigned from the receiver system.
If desired, you can create functional areas in FI so that the income statement can be grouped according to
the requirements of cost of sales accounting.
(C) SAP AG AC665 17
2.18
SAP AG 1999
EC EC- -CS CS
Companies
Consolidation
Business Area
Group Chart of
Accounts
Consolidation
Transaction Type
Transaction system
Consolidation
System
Preparing Consolidation
Preparation
Assign integrated cons
types to the dimensions
Create or import global master
data
Define combinations of company
codes/business areas
Enter chart of accounts
Prepare account assignments:
Consolidation transaction type
Consolidation business area
Trading partner company
Assign operational accounts
Transfer
combinations of
company
IMG Settings: Different Systems
If the consolidation and the transaction applications are in different systems or clients, the group
structure must be known in the operational applications, so that the transaction data can be transferred to
the consolidation system EC-CS.
In the operational applications, the system reads the valid combinations of company codes, fiscal year
variants and business areas and passes these on to consolidation, by download. Consequently in
consolidation, the consolidation units and groups are automatically generated for the business area
consolidation.
The same applies for the structure of organizational units for profit center consolidation.
(C) SAP AG AC665 18
2.19
SAP AG 1999
Company C10000 Company C10000 C20000 C20000 C30000 C30000 - - - - - -
Company Code C100 Company Code C100 Company Code C100 C200 C200 C200 C300 C300 C300
Client
... ... ...
Business Area
9900
8000
6000
4000
X
X
X
X X
X X
FI: Organizational Elements
The client is the highest logical level in the SAP system hierarchy. This is also the name of the
corresponding logical system in which you work. The settings that you make at this level are available to
all company codes.
The company is the smallest organizational unit for which individual financial statements have to be
created according to the trade regulations in question.
A company can comprise one or more company codes.
Each company code represents a unit that manages its financial statements independently. This is the
level at which the legally required financial statements are created.
The business area is an organizational unit of external accounting that corresponds to a limited business
segment or area of responsibility in the enterprise to which changes in value entered in financial
accounting can be assigned.
Business areas primarily serve enterprise-external segment reporting, which extends beyond company
codes to the significant business segments of the enterprise (product lines, for example). A segment is
any business segment in the enterprise that can be isolated.
The above example uses the following organizational units:
Companies: Business Areas:
C10000: IDES Palo Alto 4000: Chemicals
C20000: IDES New York 6000: Pharma
C30000: IDES Chicago 8000: Services
9900: Corporate and Others
(C) SAP AG AC665 19
2.20
SAP AG 1999
Assignment: Company Code - Company
Non-
SAP
Non Non- -
SAP SAP
Company
Code ...
Chart of Accounts ...
Company
Code C100
Company
Code C200
Chart of Accounts CAUS
FI FI
. . .
EC-
CS
EC EC- -
CS CS
Systems
Client 001
Company
C10000
Company Company
C10000 C10000
Company
C20000
Company Company
C20000 C20000
Company
...
Company Company
... ...
Company
...
Company Company
... ...
Companies are the global organizational structures in FI.
You can portray one or more of the client's company codes, as well as internal trading partners whose
transaction financial accounting is carried out in other systems (SAP system or non-SAP systems).
For the purpose of integrated data transfer, you have to assign the company codes of the transaction
system to the companies of the group.
The data to be consolidated can either be stored in the transaction system or distributed over various
systems. It makes no difference if the systems involved are SAP R/3 Systems or non-SAP systems.
The intercompany trading partners on other SAP systems as well as those on non-SAP systems must be
represented by companies in FI.
In EC-CS, consolidation units are generated automatically from these FI companies.
This means that data from company codes to which a company has been assigned can be transferred to
the appropriate integrated consolidation unit.
In a similar way, integration techniques can be used to copy data from other SAP Systems to
consolidation units. Otherwise, data entry is carried out using entry forms, flexible upload, or MS
Access.
(C) SAP AG AC665 20
2.21
SAP AG 1999
Additional Account Assignment: Business Area
Business Area
FI FI- -AA AA Fixed Assets Fixed Assets
SD SD Sales and Delivery Sales and Delivery
MM MM
Materials Materials
PS PS Projects Projects
Project
Valuation
Area
Plant Material
Division
Asset
Sales
Organization
Distribution
Channel
CO CO - - Controlling Controlling
Investment
Measure
Cost center Order
In many areas of the SAP System, master data is assigned to business areas. In most cases, this allows
you to derive the business areas and the trading partner business areas automatically.
In most business transactions, the business area is derived when the data is posted.
If the additional account assignment is not unique, however, the business area is adjusted at the end of
the period.
Partner-specific information from the combination of company/business area forms the basis for
integrated business area consolidation.
The posting lines of the accounting business transactions are provided with a trading partner business
area assignment, enabling revenue and expense elimination to be carried out in the Consolidation
system. In the MM component, the relationships between purchase and sales orders are also tracked.
(C) SAP AG AC665 21
2.22
SAP AG 1999
Assignments: Asset Master Record
Cost Center C100C4311M
Company Code C100
Business Area 4000
Profit Center C4311
Cost Cost Center Center C100C4311M C100C4311M
Company Company Code Code C100 C100
Business Area Business Area 4000 4000
Profit Center Profit Center C4311 C4311
Order ##########
Company Code C100
Business Area
Profit Center C4311
Order Order ########## ##########
Company Company Code Code C100 C100
Business Area Business Area
CO
4000
4000
Cost Cost Center Center
Order Order
C100C4311M C100C4311M
Book depreciation
. . .
Costing Costing
Asset
1
Business Area 4000
Time-dependent Data Time Time- -dependent Data dependent Data
Depreciation Areas Depreciation Areas Depreciation Areas
FI FI- -AA AA
Example of how the business area is derived:
If business area balance sheets are activated in FI, the business area field in the master records for fixed
assets automatically becomes a required entry field, regardless of the update control setting of the screen
layout control for the asset class.
The costs of procurement, goods manufactured, and the depreciation are posted to the business area.
For cost accounting purposes, an asset can be assigned either to a cost center or to an order.
Both CO objects are assigned to a company code, a business area, and a profit center when business area
balance sheets or profit center accounting are activated.
When procurement and manufacturing costs are posted to the fixed asset, the business area and the profit
center are then derived from the cost center or the order. The periodic depreciations are also posted to
the business area or the profit center.
(C) SAP AG AC665 22
2.23
SAP AG 1999
Trading Partner Information: FI
G/L account for interunit business
transactions
Trading Partner in Master Record
Customer
Vendor
G/L account
Additional Account Assignment: Trading Partner in
Document
Business Area - Partner Business Area
Identifying the group-internal posting procedures between affiliated enterprises is an important way of
preparing data in individual financial statements.
SAP stores the "Sender-Receiver" relationship at the document level in Financial Accounting. The
balances are handled in consolidation with the additional account assignment trading partner.
The relevant trading partner number is stored in the customer/vendor master record.
To allow entries in the "Trading partner" field, this field has to be set to "Optional entry" in the
appropriate account group of the master data ("General data, control" field status group).
When postings are made to this account, the company number is copied to the line item, and can be used
in consolidation for elimination of IU payables and receivables, as well as in revenue and expense
elimination.
The trading partner can also be stored in the G/L account. During posting, it is then copied to the line
item, enabling the elimination functions to be carried out in consolidation.
Alternatively, the trading partner can also be set manually in the document.
For business area consolidation, you also need a reference in FI to the trading partner business area with
which you have a business relationship.
The business area is usually derived from the MM/SD transactions.
To allow the trading partner business areas to be entered for G/L account postings, as well as for
transactions in FI-AP/-AR, the "Trading partner business area" field in the field status group of the FI
reconciliation account must be set to optional entry.
(C) SAP AG AC665 23
2.24
SAP AG 1999
Preparation in FI: Document Type
Document
Type:
Controls posting
to line item
1 Customer / 1 Vendor
Trading partner company
can be assigned
Not intercompany
The trading partner in each document must be uniform so that the partner assignment can be duplicated
in the document when company internal transactions are posted. All the customers in a business
transaction must, therefore, come from one company so that the sales revenue line is assigned a uniform
trading partner. Consequently, you have to set the document type parameters to prevent intercompany
postings.
However, there are also business transactions in which it is desirable to assign more than one trading
partner in postings. In this case, the trading partner for the document is no longer uniform, and the
trading partner is, therefore, not duplicated to the offsetting entries.
This particularly applies to postings that are not sales relevant, such as postings of automatic payments.
Postings to cash accounts are generally not relevant to consolidation, and thus do not require a partner
assignment.
For these business transactions, you can set the document type to permit intercompany postings.
"Enter trading partner" indicator :
For G/L account postings (without direct reference to item account), document types that permit manual
assignment to the trading partner may be required. Company internal transfer postings in P&L are an
example of this type of posting.
(C) SAP AG AC665 24
2.25
SAP AG 1999
Company Code Assignment: Business Area
Company Code Business Default
Area
IDES Palo Alto Pharma XY
Corporate ......
IDES New York Pharma
Corporate
IDES Chicago Chemicals
Services
Corporate
Business Area
Pharma
IDES Palo Alto
Consolidation Unit:
XY/Palo Alto
FI FI
EC EC- -CS CS
Consolidation
Business Area
Global
Local
Company
Palo Alto
While, in FI, the business areas are valid for all the company codes, during preparation for consolidation
they are assigned to specific company codes.
In realtime updates, the data stream for business area consolidation uses the document line item to
determine the consolidation unit.
Specify the combinations of company codes and business areas that can occur in postings in the
transaction system.
The system uses these to derive the combination of companies and consolidation groups.
You can define an account assignment default for business area consolidation.
If business area consolidation is not included in the document, the system accesses a default that you
have defined. However, you can only store one default per company code.
Alternative:
You can check the assignment of business areas to company codes when the FI posting is made.
You specify this in the data transfer settings for business area consolidation.
(C) SAP AG AC665 25
2.26
SAP AG 1999
Consolidation Business Area
Company Company 100000/ 100000/
Company Company Code 1000 Code 1000
Sender System XXX:
contains local and global
characteristics
...
Group
Consolidation
Business Area AB
Receiver System YYY:
contains global characteristics
Consolidation Type:
Business Area
Consolidation
Business Area
BBBB
Business Area
AAAA
FI FI
EC EC- -CS CS
Non-
SAP
Non Non- -
SAP SAP
The consolidation business areas are business areas that are used centrally in the group. These global
characteristics are defined by the parent company.
All systems that provide reports assign their local business area to the consolidation business areas.
You must assign the business areas of the transaction system to the group's consolidation business areas.
The assignment can be 1:1 or n:1.
The consolidation units are formed using the combination of companies and consolidation business
areas, which are the basis for business area consolidation.
(C) SAP AG AC665 26
2.27
SAP AG 1999
Preparation for Business Area Consolidation
Activate business area balance sheets
Maintain field status groups for G/L accounts
G/L Account: Balance sheet for business area clearing
Assign accounts for adjustments
Maintain document type for business area adjustment
Execute balance sheet adjustments

Reconcile balances > Reconcile affiliates
(see Execute Consolidation
of Investments)
Important for subsequent assignments of
business area and partner business area
using the balance sheet adjustment program
Check that the business area balance sheets are activated in the global definition of the company code.
Depending on the objective of business area consolidation, when the business transactions are entered, it
may be desirable to request that the assignments for the business area and the trading partner areas be as
complete as possible.
For the G/L accounts, specify whether the business areas should be entered as optional or required
entries.
In manual consolidation of business areas or partner business areas, you make this setting using the field
status group in the G/L account. If no assignment is made for accounts for which you have set an
optional entry, the transaction is assigned to business area "Space". On the closing key date, the business
areas have to be broken down manually.
At period end with the reconciliation of affiliated companies, check whether the payables/receivables are
assigned to the corresponding partners.
Breakdowns or adjustments according to business area sre carried out.
If business area consolidation is also activated, distribution is carried out according to the partner
business area. For the document that is to be posted, you have to store the corresponding accounts and a
document type in FI.
(C) SAP AG AC665 27
2.28
SAP AG 1999
Business Area Adjustment
FI: Incoming Invoice
Account Business Area Partner BArea Debit Credit
Vendor 1000
Expense 1 0001 0003 400
Expense 2 0002 0003 600
Business Area Adjustment
Clear. Acct. BArea Partner BArea Debit Credit
Adjustment 400
0001 0003 400
600
0002 0003 600
BArea: Business Area
If, when posting to an expense account, you also assign a cost center to an account (and this cost center
is assigned to a business area), then the business area is also assigned automatically.
If the business area in the revenue/expense line is uniform, it is automatically copied to the
receivables/payables line.
In our example, one document contains several expense accounts that were posted in various business
areas. The breakdown of the business areas is, therefore, not uniform. Consequently, the business areas
are not copied to the automatically generated line items (payables, receivables, tax).
This assignment is made when the financial statement is adjusted and posted to special adjustment
accounts.
In an FI document, an open item cannot have a partner business area. When there are transactions
between affiliated enterprises, the business area is set during adjustment.
During adjustment a new document is generated with a partner business area in the receivables/payables
line. A business area clearing account is used for this purpose.
The partner business area normally has to be set manually for realtime updates in FI.
(C) SAP AG AC665 28
2.29
SAP AG 1999
Transaction Types
Retire
ment . .
Acquisit
ion
. . .
Transfer
. . .
End of
Year
Start of
Year
Asset History Sheet
Transaction Type
# # #
Assign transaction types FI-AA: EC-CS
Transaction types = required input
Account validation: transaction Type
EC EC- -CS CS
FI FI- -AA AA
In EC-CS, transaction types show the changes made to financial statement items.
In FI/FI-AA, the transaction type classifies the business transaction (acquisition, retirement, transfer to
equity account/transferred assets, for example). Transaction types are the basis for assigning a business
transaction to a column of the equity/assets list.
The consolidation transaction types provided in the standard SAP system are already assigned to the
asset transaction types in a way that allows a group asset history sheet to be generated. If you have
defined your own asset transaction types/consolidation transaction types, or changed those provided in
the system, assign the transaction types to the corresponding consolidation transaction types, or correct
the assignments accordingly.
The consolidation transaction type can be defined as a required entry field via the field status group of
the G/L account.
You can define validations that can be used to ensure that only transaction types belonging to a special
group can be assigned to particular accounts. To do this, you define corresponding validation rules at the
document line item level.
(C) SAP AG AC665 29
2.30
SAP AG 1999
Preparation in FI: Functional Areas
Invoice
Cost Center 1
(Cost Center
Category 'A')
Substitution Rule
IF
Cost Center
Category 'A'
THEN
Functional Area
400
FI Posting
Document
Functional Area 400
Administration
P&L
using cost of
sales accounting
FI FI
EC EC- -CS CS
The functional area is required to generate a profit and loss statement in Financial Accounting using the
cost of sales accounting procedure. The company expenses that cannot be directly allocated to sales are
distributed to functional areas.
In cost of sales accounting, the functional groups administration, sales, marketing, production, or
research and development are used to show what has caused costs to be incurred in the enterprise, thus
reflecting the economic purpose of the expenses.
Substitution is used to copy the functional area to the documents of financial and cost accounting.
If necessary, a change of functional area in the form of debit and credit can be taken into consideration in
allocations of overhead costs. In P&L, the functional area that is displayed is the one following CO
allocation, and not that of the original account allocation.
The reconciliation ledger contains the information required to make postings to the relevant accounts in
Financial Accounting.
Substitution rule: In the SAP standard system, the following trigger points are defined for the FI
component: 0005 (cost of sales accounting). If a particular cost center type is posted to a cost center in
FI, an additional account assignment is generated to the appropriate functional area.
(C) SAP AG AC665 30
2.31
SAP AG 1999
Preparations: Controlling
Transfer
costs!!!
Cost Center 10 (Company
Code C100)
Cost Center 20
(Company Code C200)
CO CO
Specify account determination for reconciliation
postings
Maintain document type
Preparation: Reconciliation Ledger
For FI reconciliation postings in CO allocations between company codes / business areas, clearing
accounts are defined and assigned to the business transactions (transfer postings, allocations,
assessments, and so on) or to object classes.
The clearing accounts have either already been assigned in CO Customizing, or they will have to be
assigned now.
You can create a separate document type for posting from the reconciliation ledger.
(C) SAP AG AC665 31
2.32
SAP AG 1999
Preparations: Materials Management
Identify companies in the same client
Assign division/valuation area to business area
Maintain field selection group for division
Specify FI account for price differences
Maintain CO account assignment for price differences
Select the companies that are maintained in the same client of your system, and which use the MM
(Materials Master) and SD (Sales and Distribution) modules. The "Read Purchase Orders/Sales Orders"
indicator is used to determine the partner business area and partner profit center in Logistics
applications. The partner business area and partner profit center are derived from the purchase order or
the sales order.
When business area consolidation is used, the combinations of division and valuation area are assigned
to a business area. The assigned business area is copied to this division in all material stock postings.
To ensure that the assignment to a business area is carried out for all items, products, and services, the
"division" field should be set as a required entry when the material masters are maintained. In the SAP
standard system, the default setting for the "division" field in the field selection group is 090. However, a
number of other fields are assigned to this group. To ensure that the required entry does not apply to all
the fields in the group, it is useful to define a separate field selection group for the division field.
Goods movements can result in price differences. In FI, specify the FI accounts which should be posted
in the event of price differences. These can be created as a cost element or defined as not relevant to CO.
If price differences are defined as a cost element, then you should assign a CO account assignment
object for this business area to each price difference account of this business area.
(C) SAP AG AC665 32
2.33
SAP AG 1999
Preparations: Sales
Identify companies in the same client
Assign rules to each sales area
Assign business area to each plant and division
Assign business area to each sales area
Select the companies that are maintained in the same client of your system, and which use the MM
(Materials Master) and SD (Sales and Distribution) modules. The "Read Purchase Orders/Sales Orders"
indicator is used to determine the partner business area and partner profit center in Logistics
applications. The partner business area and partner profit center are derived from the purchase order or
the sales order.
For business area assignment, you have to specify for each sales area the rules that the R/3 System
should use to find a business area. Otherwise, account assignment for each business area cannot be
carried out.
In the standard system there are two default rules for automatically assigning business areas in revenue
account determination:
Business area assignment per plant and division
Business area assignment per sales area
For each sales area, specify the respective rule for business area determination.
(C) SAP AG AC665 33
2.34
SAP AG 1999
Integrated Data Transfer: FI Unit Summary
Describe EC-CS master data and its function
Name the enterprise structures in the transaction
system, and link these to the consolidation structures
Name various data transfer methods and their
functions
Prepare data transfers for legal or management
consolidation.
(C) SAP AG AC665 34
2.35 Integrated Data Transfer-Exercises
Unit: Integrated Data Transfer: FI
Topic: EC-CS: Data Structures
Create consolidation dimensions
Copy consolidation charts of accounts
Define session parameters
In the following exercise, you will prepare data in FI for transfer to
Consolidation.
1-1 Check your course group's organizational units in the operational applications FI and EC-
PCA.
Company
Company code
Business area
Functional area
Controlling area
Profit Center
You will find your course group's organizational units in the Exercise Data page.
1-2 Use the Copy dimensions function to create a dimension for business area consolidation.
Call your dimension #2 (where # corresponds to the letter of your course group).
Use the instructor's dimension Z2 as a copy template.
Please copy only consolidation functions, methods, and measures.
(C) SAP AG AC665 35
The system requests you to create a "to dimension". Confirm this request.
1-3 Use the Copy dimensions function to create a dimension for profit center consolidation.
Call your dimension A3 (the letters A to T correspond to the number of your course
group).
1-4 Specify your group-specific session parameters for business area consolidation.
Dimension: A2 (or J2 for course group 10, T2 for course group 20)
Version: 100
Fiscal year: current year
Period 012
Cons. chart of accounts 01
Ledger: US
1-5 Create the new item 3012## Sales Revenue from Affiliates.
Copy from item 301200 to item 3012##.
As the item number, enter 3012## (where ## = 40 + your group number).
Description: Sales Revenue from Affiliates
Choose the function Breakdown category.
Here you can change the Specification of the Subitem and activate the Specification
Partner.
1-6 You should now know where the functional areas are defined.
Check if the subitem category Functional Areas as been defined in EC-CS with the
respective subitems.
1-7 Additional Exercise
Theoretical Question:
Imagine that European countries have united to form a new country called EU. Which
areas of consolidation might be affected from the new entry in the global table of
countries?
_____________________________________________________________
(C) SAP AG AC665 36
Create a subitem category called Customer Country Gr. ##.
Use the subitem category A to T according to your group.
Example: Group 01 creates category A, group 02 creates B, and so forth.
Field length: 02
Sender field for subitem: 04 (country of customer)
Choose Copy subitems.
Save the subitem category .
Leave Test Run selected and look at the generated list.
(C) SAP AG AC665 37
Topic: Financial Accounting
Describe the settings and assignments that have to be made in the
transaction sender systems
Post and analyze FI documents with additional account assignments
that are relevant to consolidation
2-1 Which transaction chart of accounts is assigned to the company codes C100, C200, and
C300?
Check whether the business area financial statements (balance sheets) are activated in the
company codes.
2-1.1 Check whether the transaction chart of accounts for the company codes is assigned
to the group chart of accounts CONS.
2-1.2 Check the consolidation business areas and the combination business area -
consolidation business area.
2-2 In the consolidation system, how can you ensure that only the transaction business areas
are posted in a given company code?
2-3 For your postings later on, create a group account called Net sales, affiliated
companies.
You enter:
Account no.: 3012## (## = your course group number + 40)
Chart of accounts: CONS
Text: NS affiliated Gr##
P&L account type: X
Account group: profit & loss accounts
Select P & L account.
Save your data.
(C) SAP AG AC665 38
2-4 For your postings later on, create the G/L account "Net sales, affiliated companies" in
company code C300, and assign the G/L account to the group account.
(## = your course group number + 40)
Input data on tab Type/Description:
Account no.: 8020##
Company code: C300
Group account: 3012## (## = your course group number + 40)
Input data on tab Control Data:
Account currency: USD
Tax category: + (only output tax)
After you choose Enter, the following fields can be entered:
Line item display: -
Sort key: 001 (Posting data)
Input data on tab Entry/Bank/Interest:
Field status group: G029 (Sales revenue accounts).
Save your entries.
2-5 For your postings later on, create a primary cost element called Net sales - affiliated
companies.
To do this, run the FI transaction Create/change G/L accounts and select Edit Cost
Element.
Input data:
Controlling Area C001
Number: 8020##
Valid from: 01/01 of the current year
Cost element category: 11 (Revenues)
Save your data.
2-6 Check the consolidation transaction type that the FI-AA transaction type 100 ("Addition")
is assigned to.
Where do you find the consolidation transaction type in the task level menu?
(C) SAP AG AC665 39
2-7 Additional Exercise:
Create an asset master record in company code C100.
Class 11000
Description Bottling plant
Business area 6000
Cost center: C100C6111M Manufact. AS (Palo Alto)
Depreciation key: LINR
Useful life: 10 years
Save your data.
Please enter the number of the asset master record in the "Exercise Data" worksheet.
2-8 IDES Chicago has started supply relationships with IDES Palo Alto.
In IDES Chicago, create a customer master record for the customer IDES Palo Alto.
Which trading partner do you have to store in the customer master record?
What you enter:
Account group: Customers (external number assignment)
Customer: PA##
Company code: C300
Name: Palo Alto Group ##
Search term: Palo Alto ##
Postal code: 12345
City: Palo Alto
Country: US
Language: EN
Reconciliation account: 1440## Receivables - affiliated companies
Gr. ##
Terms of payment: 0001
(C) SAP AG AC665 40
2.9 IDES Palo Alto orders goods from IDES Chicago.
In IDES Palo Alto, create a vendor master record for the vendor IDES Chicago.
Which trading partner do you have to store in the vendor master record?
What you enter:
Vendor: CH##
Company code: C100
Account group: LIEF
Name: Ch##
Postal code: 45600
City: Chicago
Country: US
Language: EN
Reconciliation account: 1640## Payables - affiliated companies
Gr. ##
2-10 Check the status of the "Trading partner business area" field in the company code segment
of the following reconciliation accounts:
1440## "Receivables from affiliated companies Gr. ##", and
1640## "Payables - affiliated companies Gr. ##"
(## = your group number + 40)
2-11 See if the cost of sales method is activated for company code C100.
2-11.1 Examine the substitution rule that is needed in the FI document for the assignment
of functional areas.
2-11.2 Additional Exercise:
What does the cost center category 'M' stand for?
When you store FI document type, what restrictions are required to ensure that the account
assignment of the trading partner can be stored uniquely in the posting document?
(C) SAP AG AC665 41
2.36 Integrated Data Transfer-Solutions
Topic: EC-CS: Data Structures
1-1 Check your course group's organizational units in the operational applications FI and EC-
PCA.
Company
Company code
Business area
Functional area
Controlling area
Profit Center
You will find your course group's organizational units in the Exercise Data page.
SAP Menu Tools Accelerated SAP SAP Reference IMG Edit Project
SAP Reference IMG Enterprise Structure Definition Financial Accounting
Maintain Company
Define, copy, delete, check company code
Define Business Area
SAP Reference IMG Enterprise Structure Structure Maintenance Definition
Financial Accounting Define Functional Area
SAP Reference IMG Enterprise Structure Definition Controlling Maintain
Controlling Area
(C) SAP AG AC665 42
SAP Menu Accounting Enterprise Controlling Profit Center Accounting
Master Data Profit Center Maintain Profit Center
(C) SAP AG AC665 43
1-2 Use the Copy Dimensions function to create a dimension for business area consolidation.
group).
SAP Reference IMG Enterprise Controlling Consolidation Preparing for
Production Copy dimensions
1-3 Use the Copy dimensions function to create a dimension for profit center consolidation.
group).
SAP Reference IMG Enterprise Controlling Consolidation Preparing for
Production Copy dimensions
1-4 Specify your group-specific session parameters for business area consolidation.
Dimension: A2 (or J2 for course group 10, T2 for course group 20)
Version: 100
Fiscal year: current year
period: current period
Cons chart of accounts: 01
Ledger: US
SAP Reference IMG Enterprise Controlling Consolidation Specify Global
Parameters
(C) SAP AG AC665 44
1-5 Create the new item Sales Revenue from Affiliates.
Copy from item 301200 to item 3012##.
As the item number, enter 3012## (where ## = 40 + your group number).
Description: Sales Revenue from Affiliates
Choose the function Breakdown category.
Here you can change the Specification of the Subitem and activate the Specification
Partner.
SAP Reference IMG Enterprise Controlling Consolidation Master Data FS
Items User-defined chart of accounts Edit single items Change item
Enter item 301200 and choose FS items copy.
Copy this item to the item for your group.
1-6 You should now know where the functional areas are defined.
Check if the subitem category Functional Areas as been defined in EC-CS with the
respective subitems.
SAP Reference IMG Enterprise Controlling Consolidation Master
Data FS Items Subassignments Define subitems Display
subitems
Imagine that European countries have united to form a new country called EU. Which
areas of consolidation might be affected from the new entry in the global table of
countries?
The table of countries must contain an entry for EU:
SAP Reference IMG Global Settings Set up Countries Define
Countries
The subitem category Regions must contain a new subitem for EU:
SAP Reference IMG Enterprise Controlling Consolidation Master Data
Item Assignment Information Define Subitems Create Subitem
Subitem category Region: 04
(C) SAP AG AC665 45
Create a subitem category called Customer Country Gr. ##.
Use the subitem category A to T according to your group.
Example: Group 01 creates category A, group 02 creates B, and so forth.
Field length: 02
Sender field for subitem: 04 (country of customer)
Choose Copy subitems.
Save the subitem category .
Deactivate Test Run selected and look at the generated list.
SAP Reference IMG Enterprise Controlling Consolidation Master
Data FS Items Assignment Information Define Subitem Categories
(C) SAP AG AC665 46
Topic: Financial Accounting
2-1 Which transaction chart of accounts is assigned to the company codes C100, C200, and
C300?
Check whether the business area financial statements (balance sheets) are activated in the
company codes.
SAP Reference IMG Financial Accounting Financial Accounting Global Settings
Company Code Check and Extend Global Parameters
2-1.1 Check whether the transaction chart of accounts for the company codes is assigned
to the group chart of accounts CONS.
SAP Reference IMG Enterprise Controlling Consolidation Integration.
Preparation for Consolidation Preparation in the sender system
Preparations Related to all Consolidation Types Transaction Accounts:
Assignment of Group Accounts Assign group chart of accts to (transaction)
accts
2-1.2 Check the consolidation business areas and the combination business area -
consolidation business area.
SAP Reference IMG Enterprise Structure Definition Financial
Accounting Maintain Consolidation Business Area
SAP Reference IMG Enterprise Structure Allocation Financial
Accounting Allocate Business Area Consolidation Business Area
(C) SAP AG AC665 47
2-2 In the consolidation system, how can you ensure that only the transaction business areas
are posted in a given company code?
Preparation for Consolidation Preparation in the Sender System Enterprise
Structure Checking the Structure for Business Area Consolidation Combination
of company codes/business areas
2-3 For your postings later on, create a group account called Net sales, affiliated
companies.
You enter:
Account no.: 3012## (## = your course group number + 40)
Chart of accounts: CONS
P&L account type: X
Save your data.
SAP Menu Accounting Financial accounting General ledger Master
records Single editing Chart of accounts
(C) SAP AG AC665 48
2-4 For your postings later on, create the G/L account "Net sales, affiliated companies" in
company code C300, and assign the G/L account to the group account. (## = your course
group number + 40)
SAP Menu Accounting Financial accounting General ledger Master
records Single editing Central
Input data on tab Type/Description:
Account no.: 8020##
Company code: C300
Group account: 3012## (## = your course group number + 40)
Input data on tab Control Data:
Account currency: USD
Tax category: + (only output tax)
After you choose Enter, the following fields can be entered:
Line item display: -
Sort key: 001 (Posting data)
Input data on tab Entry/Bank/Interest:
Field status group: G029 (Sales revenue accounts).
Save your entries.
(C) SAP AG AC665 49
2-5 For your postings later on, create a primary cost element called Net sales - affiliated
companies.
Input data:
Controlling Area C001
Number: 8020##
Valid from: 01/01 of the current year
Cost element category: 11 (Revenues)
Save your data.
Accounting Controlling Cost elements Master data Cost element
Individual processing Create primary
2-6 Check the consolidation transaction type that the FI-AA transaction type 100 ("Addition")
is assigned to.
Where do you find the consolidation transaction type in the task level menu?
Preparation for Consolidation Preparation in the Sender System Preparations
Related to All Consolidation Types Assignment of Transaction Types Assign asset
transaction types / Maintain transaction types for Consolidation
Create an asset master record in company code C100.
Class: 11000
SAP Menu Accounting Financial Accounting Fixed Assets Asset Create
Asset
Input Data:
Tab General:
Description: Bottling plant
Tab Time-dependent:
Business area: 6000
Cost center: C1006111M Manufact. Product Acetyl
Tab Valuation:
Depreciation key: LINR
Useful life: 10 years
Save your data.
Please enter the number of the asset master record in the "Exercise Data" worksheet.
(C) SAP AG AC665 50
2-8 IDES Chicago has started supply relationships with IDES Palo Alto.
In IDES Chicago, create a customer master record for the customer IDES Palo Alto.
Which trading partner do you have to store in the customer master record?
SAP Menu Accounting Financial Accounting Accounts receivable Master
records Create
What you enter:
Account group: Customers (external number assignment)
Customer: PA## (## = your group number + 40)
Company code: C300
Tab Address:
Name: Palo Alto Group ##
Search term: Palo Alto ##
Postal code: 12345
City: Palo Alto
Country: US
Language: EN
Tab Control Data:
Reconciliation account: 1440##
Receivables - affiliated companies
Gr. ##
Tab Terms of Payment:
Store trading partner C10000 in tab Control Data.
(C) SAP AG AC665 51
2-9 IDES Palo Alto orders goods from IDES Chicago.
In IDES Palo Alto, create a vendor master record for the vendor IDES Chicago.
Which trading partner do you have to store in the vendor master record?
SAP Menu Accounting Financial Accounting Accounts payable Master
records Display
What you enter:
Vendor: CH## (## = your group number + 40)
Company code: C100
Account group: LIEF
Name: Chicago group ##
Search term: Ch##
Postal code: 45600
City: Chicago
Country: US
Language: EN
Reconciliation account: 1640##
Payables - affiliated companies
Gr. ##
Store trading partner C30000.
2-10 Check the status of the "Trading partner business area" field in the company code segment
of the following reconciliation accounts:
1440## "Receivables from affiliated companies Gr. ##", and
1640## "Payables - affiliated companies Gr. ##"
SAP Menu Accounting Financial Accounting General ledger Single
Editing Central
Choose Display.
Choose the tab Entry/Bank/Interest.
Doubleclick the Field Status Group.
Select the Additional account assignments group.
(C) SAP AG AC665 52
2-11 See if the cost of sales method is activated for company code C100.
Activating the cost of sales method:
Company Code Cost of sales method Activate cost of sales method
2-11.1 Examine the substitution rule that is needed in the FI document for the assignment
of functional areas.
SAP Reference IMG Financial Accounting Financial Accounting Global
Settings Company Code Cost of Sales Method Set up Substitution for
Cost of sales Method Define Substitution
Select the substitution FA-EC "Functional area derived from cost
center category".
Choose Production Costs.
2-11.2 Additional Exercise:
What does the cost center category 'M' stand for?
SAP Reference IMG Controlling Cost Center Accounting Master Data
Cost Centers Maintain Cost Center Categories
The cost center category stands for Material.
When you store FI document type, what restrictions are required to ensure that the account
assignment of the trading partner can be stored uniquely in the posting document?
Document Document Header Overview (Document Types)
Select the document type DR and choose Details:
In the "Control data" box, the Customer/vendor check option must be flagged.
The "Intercompany postings" option must be deselected.
(C) SAP AG AC665 53
3
SAP AG 1999
Data Transfer Methods
Assignments in EC-CS
Data Transfer Methods: FI Data
Contents
(C) SAP AG AC665 1
3.2
SAP AG 1999
Describe the various data transfer methods and
how to use them
Make preparations in the sender and receiver
systems for transferring data for the purposes of
legal and management consolidation
Data Transfer Methods: FI Data Unit Objectives
(C) SAP AG AC665 2
3.3
SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
PCA Data
(C) SAP AG AC665 3
3.4
SAP AG 1999
Your company has assigned you the task of making
preparations for legal and management
consolidations.
You specify which data the sender systems supply
to which consolidation types.
You also specify which data transfer method you
are going to use.
Data Transfer Methods: FI Data Business Scenario
(C) SAP AG AC665 4
3.5
SAP AG 1999
4.X EC-CS
Non-SAP
system
3.X
R/3
System
FI, CO, PCA
4.X
R/3
System
FI, CO, PCA,
EC-CS
Transfer using: ALE, Rollup, Extract, Flexible Upload, MS Access
Consolidation With Different Releases
The EC-CS component provides powerful functionality in both homogenous and heterogeneous system
environments.
The component copes easily with non-standardized key systems (organizational units, charts of accounts,
products, and so on), financial applications, and hardware environments.
The group companies who do not use SAP Consolidation for financial accounting are mapped as
companies in FI. This also applies to companies that run their transaction bookkeeping on a non-SAP
system.
In EC-CS, consolidation units are generated automatically from these FI companies.
This means that data from company codes to which a company has been assigned can be transferred to
the appropriate integrated consolidation unit.
If the transaction applications and the Consolidation system are all in the same client of the same system,
data can be transferred to the Consolidation system online (in realtime).
It is also possible to transfer data from SAP systems by means of periodic extracts and rollups.
Data from non-SAP systems can be imported using special data entry forms, flexible uploads, and
Microsoft Access.
(C) SAP AG AC665 5
3.6
SAP AG 1999
Realtime
Update
Periodic
Extract
Rollup Realtime
Update
Periodic
Extract
Rollup
Company
Consolidation
Business Area
Consolidation
Profit Center
Consolidation
Central Scenario Decentralized Scenario
Data Transfer Methods
(C) SAP AG AC665 6
3.7
SAP AG 1999
EC EC- -CS CS Transaction System
Consolidation
System
Preparing Consolidation
Create or import global master
data
Define combinations of company
Transfer
combinations of
company codes/
business areas
Enter charts of accounts
Set up cons unit/group
Prepare transfer of data:
- Assign C/A to cons
charts of accts
- Define data streams
- etc.
For Rollup:
Transfer settings to
the sender system
For Rollup: Transfer settings from
consolidation system
Activate data transfers
Prepare Data Transfer
For the purposes of transferring transaction data to the EC-CS consolidation system, certain Customizing
settings for consolidation have to be known in the transaction applications in order to convert the data to
the required account assignment.
If the consolidation and the transaction applications are in different systems or clients, it is necessary to
transfer the Customizing settings from the consolidation system to the transaction system by means of
download and upload.
This applies to Customizing settings regarding
- consolidation charts of accounts
- financial statement items
- breakdown categories
- subitem categories
- subitems
- assignment of dimensions/integrated consolidation types
- rules for ID combination
- global settings (for example, Alpha conversion)
When a rollup of the transaction data is generated in the transaction system, the system uses the
Customizing settings to convert the data. The file generated by the rollup can then be checked and
written to the consolidation system.
(C) SAP AG AC665 7
3.8
SAP AG 1999
Group: Fiscal Year Variant:
Active Consolidation Types Active Consolidation Types
E Company
E Business Area
E Profit Center
EC-CS
C FI-LC
C RF-KONS
Realtime update
C Rollup
C Periodic Extract
Consolidation System Consolidation System
Company code -
Business area
Check
FI FI FI
EC-
CS
EC EC- -
CS CS
Realtime update
C Rollup
C Periodic Extract
Sender System: Data Transfer Method
Specify the group to which the companies of this SAP System report.
Then define the fiscal year variant used in Consolidation. Also specify the Consolidation system, the
consolidation types that are active for integration, and the data transfer methods to be used for each of
these consolidation types.
You will need to make these settings in every client of every system.
The system reads the consolidation chart of accounts and the corresponding transaction charts of
accounts for every data stream. On the basis of this information, it determines the appropriate item in the
consolidation chart of accounts for each transaction account.
The system checks the following before the settings can be saved:
Whether active data streams exist (at least one data stream must be defined and flagged as active for
each data transfer method)
The assignment of group accounts to G/L accounts (does not apply to periodic extract method)
Whether a default subitem and sender field have been defined in the master record of the subitem
categories used.
Business area consolidation:
If some company codes post to different business areas, you can specify here that a check should be run
in the Accounting system to see if a business area defined in the document is valid for the company code
in question.
When the system runs this check, it uses the permissible combinations of company code and business
area that you defined in Customizing.
(C) SAP AG AC665 8
3.9
SAP AG 1999
SD
FI FI FI
MM
FI Document
Realtime
EC-
CS
EC EC- -
CS CS
FI
Transaction Figures
FI
Documents
optional
Realtime Update
Ledger US Ledger US Ledger US
Totals
Records
Journal
Entries
ECMCT
The data transfer method controls how values from the transaction accounts are transferred to the items
in the consolidation chart of accounts.
If you use the realtime update method, every accounting transaction that affects the general ledger is
updated at the same time in FI and in the totals records of the consolidation ledger.
When data is transferred, the system determines how each data record should be updated in the
Consolidation system. It does this by looking at the definition and configuration of the data streams.
A document is only written to a ledger if the ledger is assigned to all the consolidation units involved
and all have the same fiscal year variant.
When defining the ledger you can specify whether you want to keep journal entry records in the journal
entry table in addition to totals records.
(C) SAP AG AC665 9
3.10
SAP AG 1999
Characteristics Key Fig.
CU Item ... GC
#### xyz abc
Ledger US
EC-
CS
EC EC- -
CS CS
FI FI FI
CU: Consolidation Unit
GC: Value in Group Currency
Transfer on the
basis of rules
Sender Table
Example: Summary table
with functional area
Receiver Table
EC-CS Totals Records
Rollups
In the standard SAP System, a rollup is a tool for transferring data records from a sender table to a
receiver table.
Generally speaking, the sender and receiver tables are structured differently. This means that rules
specifying how the individual fields are to be transferred have to be defined.
The standard system already contains rules for transferring data to EC-CS. This means that a rollup is a
user-friendly option for transferring data, particularly from Profit Center Accounting.
(C) SAP AG AC665 10
3.11
SAP AG 1999
"Country-
Specific"
Chart of
Accounts
(Statutory)
"Group"
Chart of
Accounts
"Transaction"
Chart of
Accounts
Financial
Statement
1
:
1
N
:
1
Transaction Sender Systems
CO CO
Cost Elements
1:1
FI FI
Realtime
Update
Rollup
Post
Consolidated
Statements
Cons Chart
Balance Sheets
Income Stmt
Cash Flow Stmt
Statistical Factors
Key Figures
EC EC- -CS CS
Transferring Values from Transaction G/L
Accounts
To generate the group chart of accounts manually, you enter the group chart of accounts in the chart of
accounts list in the receiver system and asssign the account groups to the group chart of accounts.
In FI, you define the chart of accounts segment for the G/L accounts in the group chart of accounts.
The consolidation chart of accounts provides a common structure to unify the potentially diverse charts
of accounts of the internal trading partners. Therefore, the accounts in the group chart of accounts must
be identical to the financial statement items in the consolidation chart of accounts.
To transfer the data, you assign the group chart of accounts to the consolidation chart of accounts in the
receiver system.
Preparations in the sender system include assigning the group chart of accounts to a transaction chart of
accounts.
You enter the group account number in the chart of accounts segment defined for the transaction G/L
account. The G/L accounts can be grouped together using the group account number defined in the G/L
account.
You cannot assign a group account to a secondary cost element because it is not an FI account. If the
transaction chart of accounts contains secondary cost elements, you can assign groups of cost elements
to individual line items.
(C) SAP AG AC665 11
3.12
SAP AG 1999
Cons Chart of Accts
Balance Sheet
Income Statement
Cash Flow Statement
Statistical Factors
Key Figures
EC EC- -CS CS
Create group chart
of accounts manually
Generate items
from chart of
accounts
either either
or or
Generate from
consolidation chart
of accounts
Creating a Group Chart of Accounts/Items
You can use programs to generate consolidation charts of accounts from the charts of accounts. You can
also transfer (1:1) secondary cost elements as financial statement items.
If you wish to bundle cost elements, assign the cost element range to the financial statement items in the
consolidated chart of accounts.
You can check the assignment of accounts and financial statement figures by using reports for analysis
and reconciliation.
You can generate the group chart of accounts from a consolidation chart of accounts.
It is not necessary to create either the chart of accounts or the account group in advance. The system
creates these automatically.
To transfer the data, assign the group chart of accounts in the sender system to the consolidation chart of
accounts in the EC-CS receiver system.
When doing this, you can determine whether you wish to assign ranges of the secondary cost elements
to financial statement items.
(C) SAP AG AC665 12
3.13
SAP AG 1999
Primary
Cost
Elements
Assessment
Secondary
Cost
Elements
Activity
Allocation
Order
Settlement
FI CO
Cons Chart of Accts
Balance Sheet
Income Statement
Cash Flow Statement
Statistical Factors
Key Figures
EC-CS
Group together:
Material cost element
Order settlement
Internal activity
allocation
FI Accounts / Secondary Cost Elements
You can generate items in the consolidation chart of accounts automatically for secondary cost elements.
In this case, you must specify the controlling area and date to which the secondary cost elements apply.
Generally speaking, you will not want to generate a separate item in the consolidation chart of accounts
for each individual secondary cost element. Instead, you will group together secondary cost elements,
and assign this group of elements to a consolidation item.
You can group the cost elements together by cost element category, and assign each grouping to an item
in the consolidation chart of accounts. The items in the consolidation chart of accounts must be defined
first, though.
If a consolidation chart of accounts has already been defined, you can decide whether you merely want
to add new items, or whether you want to overwrite existing items.
When you assign secondary cost element groupings to items in the consolidation chart of accounts, you
specify that cost element groupings should be taken into account when data is transferred.
You cannot assign a group account to a secondary cost element because it is not an FI account.
(C) SAP AG AC665 13
3.14
SAP AG 1999
GLT3
Transaction
System
Consolidation
system
FI Doc.
GLT0
GLT3
Cons Staging
Ledger 09
General Ledger
Transaction
Figures
ECMCT
Cons Proc.
Ledger
Extract: RFBILA00
+
Transfer of the File
Update in EC-CS
Cons Staging
Ledger 09
Ledger Currency Data
Parallel Posting
Periodic Extract
The accounting transactions that affect the general ledger are updated in the transaction figures table and
in the totals records of the consolidation staging ledger (09) at the same time in the sender system.
Data is selected from the consolidation staging ladger at regular intervals. Data is forwarded using a file.
The EC-CS component contains a program for uploading, converting and updating the extract.
Ideally, the ledger currency of ledger 09 should be the same in the sender and receiver systems. The
sender system only sends consolidation values to the receiver system, not ledger currency details.
For different currencies you have to carry out the currency translation task in the data monitor.
(C) SAP AG AC665 14
3.15
SAP AG 1999
"Transaction"
Chart of
Accounts
1
:
1
Transaction Sender Systems
CO
Cost Elements
1:1 N:1
Group
Financial
Stateme
nt
Version
FI
Financial
Statement
Financial
Statement
Data Extract
Consolidated
Financial
Statements
Cons Chart of Accts
Balance Sheet
Income Statement
Cash Flow Statement
Statistical Factors
Key Figures
EC EC- -CS CS
Post
Transaction Accounts - Periodic Extract
If you use the periodic extract method for transferring data, there must be a financial statement version in
the sender system, and the items in this version must correspond to the items in the consolidation chart
of accounts.
You can create the item hierarchies of a consolidation chart of accounts from an existing financial
statement version. In this case, you must first define the consolidation chart of accounts for which you
want to generate the item hierarchies.
The transaction chart of accounts can contain secondary cost elements in addition to the FI accounts it
normally contains. If you do not want to have a separate item for each secondary cost element, you can
define items for a specific range of cost elements.
You use the "Financial Statement Version" program to generate the extract in the sender system. You
can then import this extract into the receiver system.
Data is selected via the financial statement version, balance type "1" (balance carried forward up to and
including the "To" period). The data extract is updated automatically in the "To" period defined for the
extract.
For business area consolidation purposes, the original business area is replaced by the consolidation
business area in the data extract.
You cannot use the periodic extract option for transferring 'planned data' since the "Financial Statement
Version" program selects only actual data.
(C) SAP AG AC665 15
3.16
SAP AG 1999
Integrated Integrated
Consolidation Types Consolidation Types
E Company
E Business Area
E Profit Center
C Realtime update
C Rollup
C Periodic Extract
Company ###### Company ######
Company Code #### Company Code ####
Consolidation
Staging Ledger 09
FI FI
Data Transfer Methods Data Transfer Methods
EC-
CS
EC EC- -
CS CS
Parameters:
Dimension: Business Area Consolidation ... Ledger: US
Master Data
Consolidation Units
Data Transfer Methods Periodic Extract
The system assigns the consolidation ledger defined in the global parameters to the integrated
consolidation units.
If the Consolidation system uses a different fiscal year variant than the units to be consolidated, the
periods are converted when the financial data is transferred.
If you use the periodic extract method, the system assigns the consolidation staging ledger (which has
the fiscal year variant of the Consolidation system) to all company codes to which a company has been
assigned.
(C) SAP AG AC665 16
3.17
SAP AG 1999
Integrated Integrated
Consolidation Types Consolidation Types
E Company
E Business Area
E Profit Center
EC-
CS
EC-
CS
Parameters:
Dimension: Business Area Consolidation ...
Top Node
Dimension
Business Area Consolidation
H1 H1
Chemicals/Palo Alto
Chemicals/New York
Hierarchy: Business Areas
Top Node
Chicago/Chemicals
Chicago/Services
Hierarchy: Companies
Chemicals
Pharmaceuticals
Chicago
Palo Alto
+
Transfer organizational units
Convert into
consolidation units
Assigning Consolidation Types to Dimensions
If you use the realtime update, periodic extract, or rollup method, the consolidation units and
consolidation groups must be generated automatically.
The data transfer method you choose will determine which organizational elements are proposed.
If you wish, you can limit the selection of organizational elements.
You can define a data transfer method for every dimension.
You can define several hierarchies with various structures for each dimension. In the example above,
you can see that two hierarchies have been defined for one dimension. In each hierarchy, you map a top
node and the consolidation group of the parent company.
Next, you decide how the consolidation groups are to be broken down - by business area, for example, or
by company.
(C) SAP AG AC665 17
3.18
SAP AG 1999
FI FI
EC-
CS
EC-
CS
Consolidation Unit
Company/Business Area
Company C10000 Company C10000
Company Code
C100
Company Code Company Code
C100 C100
Sender Receiver
Data Transfer Method:
Realtime Update
Business Area
Consolidation
Consolidation Chart
of Accounts##
Version ###
ID combination !!!
C10000-6000
Business Area
6000
Converting Organizational Units
The transaction systems do not recognize the organizational units of EC-CS. This means that the
transaction organizational units have to be converted to the consolidation units and groups of EC-CS.
In the example above, the data from the transaction organizational unit "Business Area 6000" is
converted into the corresponding consolidation unit when the data is transferred.
You have to define ID combination rules for every consolidation type and dimension in every data
stream. These rules can then be used to generate the consolidation hierarchy automatically.
You define ID combination rules for each consolidation type. These rules are used to convert the
transaction organizational units to the consolidation unit.
You define the rules that you want the system to use to derive the IDs and names of the consolidation
units and groups from the IDs of the organizational units in G/L accounting and profit center accounting.
(C) SAP AG AC665 18
3.19
SAP AG 1999
C10000-6000 Palo Alto/Pharmaceuticals

C20000-6000 New York/Pharmaceuticals
4000
6000
Chemicals
Pharma
Consolidation Units
Consolidation Groups
Business Area
CS
Org. Unit
Grouping
Category
FS item Org.
Unit
Prefix Length
1
2
0
1
1
-
6
Company
1 1
6
2 2 4
4 2 2
1 1
Rules for ID Combination
C10000
C20000
C30000
IDES Palo Alto
IDES New York
IDES Chicago
4000
6000
8000
9900
Chemicals
Pharma
Services
Corporate/Other
1
2
Organizational Units: Rules for ID Combination
Example: Business area consolidation
CS organizational unit
1 Consolidation unit, 2 Consolidation group
Grouping category
0 No grouping
1 Group by company
2 Group by business area
Position
1 Name comes first
2 Name comes second
Organizational unit
1 Company
2 Business area
The prefix '-' separates the "name" from the organizational unit.
The length of the ID for the consolidation unit / of the consolidation group is, for example, 10 characters
(+ prefix)
(C) SAP AG AC665 19
3.20
SAP AG 1999
Dimension 02 Cons C/A 01 Version 100 Period MMM/YYYY
...
Group by Segments
Group acc. to
Companies
Business Areas
Business Area ___
Chemicals
Palo Alto
New York
Chicago
...
H1 H1
Data Collection Data Collection
Same R/3 System
O Upload
Hierarchy Structure Hierarchy Structure
Business Areas
Companies
Copy Business Areas Copy Business Areas
Chicago/ ___
Chicago/Chemicals
...
Chemicals/Palo Alto
Chemicals/New York
Maintaining Hierarchies
You can define several hierarchies with various structures for each dimension. The data transfer method
you choose will determine which organizational elements are proposed.
If a posting does not have a valid business area, a consolidation group Business Area __ is generated
with the appropriate consolidation units.
The generated hierarchies can be postprocessed. You can also make mass changes if you wish.
You can generate lists to analyze the organizational units from different perspectives:
Transferred consolidation units
Master data of the consolidation units that play an important role in integration
Transaction system and client that the unit was transferred from
This function allows you to check, for example, whether the data transfer method was maintained for all
the consolidation units.
In a future release, it will be possible to integrate consolidation units that were originally created
manually. This will enable you to adapt the hierarchy of EC-CS organizational units to take into account
any changes that were made in the sender system.
(C) SAP AG AC665 20
3.21
SAP AG 1999
Doc. type 01 Realtime update
Version 100
Version 200
Number range 01
Number range 02
Postings in
Transaction currency
Local currency
Group currency
100-
100
TC
100-
100
LC
100-
100
GC
200-
200-
FI FI
Document no.:
### ### ##1
EC-
CS
EC-
CS
Realtime Updates: Defining Document Types
If you use the realtime update method, the system generates documents. That is why you must define a
document type for each dimension.
By defining document types, you enable the system to pass on special information to the consolidation
postings: information relating to the database update, how to handle deferred taxes, and what currencies
to use.
You can use customer-specific documents types for consolidation. These document types are then taken
into account by reports and validations.
The standard SAP System comes with one standard document type.
If you need to define more document types, proceed as follows:
Define the characteristics of the document type and the currencies to be posted (realtime update
posting level).
The posting of deferred taxes does not affect the realtime update method.
Maintain version-based characteristics:
Define a number range for your document numbers.
The automatic reversal/cancellation function in the subsequent period is of no relevance to the
realtime update method.
(C) SAP AG AC665 21
3.22
SAP AG 1999
Consolidation Type
Dimension
Data Streams
Cons chart of accounts Version Active
01 US Appr. In B/S,COGS Actual
Business areas
Defining Data Streams
When data is transferred, the system determines how each data record should be updated in the
Consolidation system. It does this by looking at the definition and configuration of the data streams.
For each combination of consolidation type and dimension, you define the consolidation chart of
accounts and version to which you want the data to be transferred.
More than one data stream can be flagged as active if you use the realtime update method.
For each relevant data stream and dimension, the system determines the consolidation type, and uses this
to define the rules for ID combination.
Before you carry out this step, you have to make the other settings in the section "Integration:
Preparation for Consolidation."
After you have saved them, the settings for data transfer are active, and from this point the data can be
transferred to consolidation.
(C) SAP AG AC665 22
3.23
SAP AG 1999
Describe the various data transfer methods and how
to use them
Make preparations in the sender and receiver
systems for transferring data for the purposes of
legal and management consolidation
Data Transfer Methods: FI Data Unit Summary
(C) SAP AG AC665 23
3.24 Data Transfer methods-Exercises
Unit: Data Transfer Methods: FI Data
Topic: Data Transfer Methods
Name and assign the various consolidation types and possible
methods of data transfer available
In the sender system, you have already made the settings and assignments
required for transferring data to the Consolidation system.
You now make the necessary preparations in the consolidation system.
1-1 For which consolidation types has the realtime update option been defined?
_______________________________________________________________
Which method of data transfer can you use for business area consolidation in distributed
systems?
_______________________________________________________________
Explain the difference between a realtime update and a periodic extract to the person
sitting beside you.
_______________________________________________________________
(C) SAP AG AC665 24
Topic: Assignments in EC-CS
Interpret the ID combination rules used to form consolidation groups
and units
Create a hierarchy of your own
2-1 Check to make sure that the correct consolidation types have been assigned to your course
groups dimensions.
2-2 Check over the ID combination rules defined for business area consolidation.
2-2.1 What are the naming conventions for consolidation units and groups (give
examples)?
_____________________________________________________________
_____________________________________________________________
(C) SAP AG AC665 25
2-3 Copy the hierarchy for dimension #2, and display it.
Create hierarchies H1 and H2 (group by business area and company), and create a top
consolidation group for each hierarchy.
Place your cursor on the top node of hierarchy H1, and choose Business areas.
Select the Same R/3 System and Hierarchy of business areas options.
Confirm your data by pressing ENTER, and generate the consolidation areas and units without
restricting them to specific companies/consolidation business areas.
Repeat this procedure in order to generate the consolidation groups and units of your company
hierarchy H2.
Save your entries.
Enter the fiscal year variant K4 for the integrated consolidation units.
You are prompted whether to generate sets, which can be used later for your reporting. Please
select the answer NO because of technical reasons.
2-3.1 Evaluate the master data, and check over the assignment of consolidation units to
ledger and fiscal year variant.
Define the data transfer method using the mass change function:
R = Realtime update from FI.
_____________________________________________________________
Realtime update:
Check the assignment of the accounts in operational chart of accounts CAUS to the items
in consolidation chart of accounts 01.
2-5 Data streams:
Check to see if the data stream for your dimension #2 has been activated.
Explain to the person sitting next to you why it is possible to define more than one data
stream for each dimension.
Why is it possible to activate more than one data stream per dimension?
(C) SAP AG AC665 26
2-6 Check to see which document type has been created for the realtime update method for
dimension #2 Business area consolidation gr. ##. If necessary, enter a description.
Create the following number range interval:
Number range: 01
To fiscal year: current fiscal year
Group-specific range:
Example: Gr01: 0000001000 0000001999
Gr02: 0000002000 0000002999
Gr##: 00000##000 00000##999
2-7 What setting in EC-CS causes the system already during postings in accounting to check if
the business area assigned in a document is valid for the respective company code?
_____________________________________________________________
2-8 Vendor IDES Chicago (company code C300) has delivered 1,000 USD worth of acetyl to
IDES Palo Alto.
Post an outgoing invoice for company code C300 against affiliated vendor PA##.
The sales revenue is posted to account 8020## Net sales - affiliated companies (## =
your course group number).
Your instructor will tell you which tax rate to use for the posting.
What you enter:
Company code: C300
Document date/posting date: todays date
Check the company code by choosing Switch leading company code.
Additional account assignment details:
Profit CenterC4311 (Acetyl),
Partner Profit Center C6111 (AS),
Business Area 4000 (Chemicals),
Partner business area 6000 (Pharma)
Save your entries and make a note of the document number: ________________.
2-8.1 Display the accounting document. Choose More data so that you can see the
trading partner company you posted to.
(C) SAP AG AC665 27
2-8.2 Now display the other accounting documents.
_________________________________________________________
2-8.3 Where do the additional account assignments come from?
2-9 IDES Palo Alto (company code C100) has received an invoice for 800 USD from vendor
CH## for the AS goods delivered.
The delivery was posted directly to the production expense account 4000## (## = your
course group number).
Post the incoming invoice in IDES Palo Alto.
What you enter:
Company code: C100
Additional account assignment details:
Cost center C100C6111M (Manufacturing Product
Acetyl)
Profit CenterC6111 (AS),
Partner Profit Center C4311 (Acetyl)
Business Area 6000 (Pharma)
Partner business area 4000 (Chemicals)
______________________________________________________________
(C) SAP AG AC665 28
IDES Chicago has sold the raw material AS and certain services to IDES Palo Alto.
Post the outgoing invoice to your customer account.
What you enter:
Company code: C300
Document date/posting date: current posting date
The sales revenue is posted to account 8020## Net sales - affiliated companies, along
with an additional account assignment to the appropriate profit center and trading partner
profit center.
The sales revenue is divided among the business areas as follows:
40 % to business area 9900 Administration,
Additional account assignments:
Profit Center C9902 (Admin.)
Partner business area 6000 (Pharmaceuticals),
Partner profit center C6111 (AS)
60% to business area 4000 (Chemicals),
Profit Center C4311 (Acetyl)
Partner profit center C6111 (AS).
______________________________________________________________
2-10.1 Display the accounting document, and check the business area account assignment
for the line items Receivables and Tax.
(C) SAP AG AC665 29
2-11 You now have to prepare the closing operation Balance Sheet Readjustment.
In order to post the balance sheet readjustment, you go to the IMG and define the
reconciliation accounts 1449## (Receivables from Affiliates) and 1649## (Payables to
Affiliates) along with the respective adjustment accounts.
(##= your group number + 40)
Entry 1:
Reconciliation account 1440## Receivables from Affiliates
Adjustment account 1449## Receivables from Affiliates, Adjustments
Entry 2:
Reconciliation account 1640## Payables to Affiliates
Adjustment account 1649## Payables to Affiliates, Adjustments

2-12 Your instructor will start the Readjust Balance Sheet report for the entire course group.
2-12.1 Calculating the balance sheet readjustment: Your instructor will select the company
codes.
2-12.2 Posting the balance sheet readjustment: Your instructor will delimit data as follows:
Company codes: C100 and C300
Key date: last day of the month, current year
Create entries -
Document Type: SU
Posting date: last day of the month, current year
Posting period: current period
Post to profit center: no
Audit trail with line items -
by documents -
2-12.3 Display the adjustment documents, and check the adjustment postings.
(C) SAP AG AC665 30
Theoretical Task:
Which basic setting is required if you want to use the periodic extract method of data
transfer for business area consolidation?
_____________________________________________________________
_____________________________________________________________
Periodic Extract:
Check whether a financial statement version has been defined in the system, and copy it to
GR##.
Create a consolidation chart of accounts from your financial statement version.
(C) SAP AG AC665 31
Run the report for the balance sheet/P+L statement. Make the following settings on the
selection screen:
All selections
Company codes/business areas of your course group
Extract for business area consolidation
financial statement version (your instructor will name it)
Reporting year: current year
Extract to consolidation: at business area level
Since you have not posted any data to the consolidation staging ledger yet, do not
execute the report!
2-17 Additional exercise: Theoretical question:
In which EC-CS menu will you find the report for importing the extract to Consolidation?
(C) SAP AG AC665 32
3.25 Data Transfer methods-Solutions
Topic: Data Transfer Methods
1-1 For which consolidation types has the realtime update option been defined?
Preparation for Consolidation Preparation in the Sender System Activate data
transfer
The realtime update option has only been defined for the consolidation type Business
area consolidation.
Reason: Company consolidation has not been activated.
The values for profit center consolidation are passed on to the Consolidation system by
means of rollups.
Which method of data transfer can you use for business area consolidation in distributed
systems?
You can transfer data using the periodic extract method or the rollup method.
(C) SAP AG AC665 33
Explain the difference between a realtime update and a periodic extract to the person
sitting beside you.
If you use the realtime update, data is updated immediately (realtime) in the
Consolidation system. In this case, the group account number must be stored in the
operational G/L accounts. This is identical to the items in the EC-CS chart of accounts
used.
If you use the periodic extract method, data is updated at the same time (realtime) in the
consolidation staging ledger, extracted for the financial statement version by the FI
report, and imported by an EC-CS report. In this case, a consolidation financial
statement version must be defined in FI, and this FS version must be identical to the
consolidation chart of accounts used in EC-CS.
The following prerequisites must be met for both transfer methods:
To ensure that the values can be transferred to consolidation units, the consolidation
units must be formed on the basis of the operational organizational units.
Furthermore, information on the partners involved must be available in the line items of
the operational systems.
(C) SAP AG AC665 34
Topic: Assignments in EC-CS
2-1 Check to make sure that the correct consolidation types have been assigned to your course
groups dimensions.
Preparation for Consolidation Preparation in the EC-CS Consolidation System
Assign integrated consolidation types to the dimensions
2-2 Check over the ID combination rules defined for business area consolidation.
Converting Organizational Units Define ID combination rules
(C) SAP AG AC665 35
2-2.1 What are the naming conventions for consolidation units and groups (give
examples)?
Example of consolidation group:
Hierarchy 01 (business areas):
# Not assigned
4000 Chemicals
6000 Pharmaceuticals
8000 External Services
9900 Corporate and Others
Hierarchy 02 (companies):
C10000 IDES Palo Alto
C20000 IDES New York
C30000 IDES Chicago
Example of consolidation unit:
C20000-# IDES Company New York
C20000-6000 IDES New York Pharma
C20000-9900 IDES New York Corporate and Other
(C) SAP AG AC665 36
Transfer Organizational Units Edit Hierarchies
Create hierarchies H1 and H2 (group by business area and company), and create a top
consolidation group for each hierarchy.
Place your cursor on the top node of hierarchy H1, and choose Business areas.
Select the Same R/3 System and Hierarchy of business areas options.
Confirm your data by pressing ENTER, and generate the consolidation areas and units
without restricting them to specific companies/consolidation business areas.
Repeat this procedure in order to generate the consolidation groups and units of your
company hierarchy H2.
Save your entries.
Enter the fiscal year variant K4 for the integrated consolidation units.
You are prompted whether to generate sets, which can be used later for your
reporting. Please select the answer NO because of technical reasons.
2-3.1 Evaluate the master data, and check over the assignment of consolidation units to
ledger and fiscal year variant.
Define the data transfer method using the mass change function:
R = Realtime update from FI.
SAP Reference IMG Enterprise Controlling Consolidation Preparation
in the EC-CS Consolidation System Copy Organizational Units Evaluate
the Master Data of the Organizational Units
Mass change:
Organizational Units Consolidation Units Make mass changes
To change/display a consolidation unit, choose the menu option Consolidation
units Change.
The fields are located in the Goto menu:
Use the Assignment menu option to go to the fiscal year variant
Use the Integration menu option to go to the data transfer method.
(C) SAP AG AC665 37
Realtime update:
Check the assignment of the accounts in operational chart of accounts CAUS to the items
in consolidation chart of accounts 01.
Tools: Cons Chart of Accounts, Group Chart of Accounts, Financial Statement Version
Copying FS Items Copying FS Items from an FI Chart of Accounts Compare
FS items with accounts/cost elements
2-5 Data streams:
Check to see if the data stream for your dimension #2 has been activated.
Explain to the person sitting next to you why it is possible to define more than one data
stream for each dimension.
Why is it possible to activate more than one data stream per dimension?
SAP Reference IMG Enterprise Controlling Consolidation Preparation in the
EC-CS Consolidation System Copy Data Define Data Streams
Select the desired consolidation type and choose Data Streams.
When the data is updated, or a rollup is generated, the system determines how each data
record is updated in the Consolidation system on the basis of the data stream definition
and other Customizing settings.
With realtime updates, multiple data streams can be active, whereas with rollups, you
can specify the appropriate active data stream in the rollup definition.
(C) SAP AG AC665 38
2-6 Check to see which document type has been created for the realtime update method for
dimension #2 Business area consolidation gr. ##. If necessary, enter a description.
Create the following number range interval:
Number range: 01
To fiscal year: current fiscal year
Group-specific range:
Example: Gr01: 0000001000 0000001999
Gr02: 0000002000 0000002999
Gr##: 00000##000 00000##999
Collection of Data Realtime Update: Define Document Type
Document type ZW is created. It was copied along with the dimension. You still have to
define the number range.
Choose :
Number ranges/Automatic reversal
Version 100, number range 01
Define number range
Insert interval
Confirm any messages that appear by pressing ENTER. Then save your entries.
2-7 What setting in EC-CS causes the system already during postings in accounting to check if
the business area assigned in a document is valid for the respective company code?
Preparation for Consolidation Preparation in the Sender System Preparation and
Activation of Data Transfer Activate Data Transfer
The data transfer method Business area consolidation allows you to run an additional
check on the company code/business area combination in the document.
If you flag this option, a check in the Accounting system when postings are made in
order to see if a business area defined in the document is compatible with the company
code in question.
In order to do this, the system reads the company code/business area assignments that
you defined in the Preparation for Consolidation section of the IMG.
(C) SAP AG AC665 39
2-8 Vendor IDES Chicago (company code C300) has delivered 1,000 USD worth of acetyl to
IDES Palo Alto.
SAP Menu Accounting Financial accounting Accounts receivable
Document entry Invoice
Post an outgoing invoice for company code C300 against affiliated vendor PA##.
The sales revenue is posted to account 8020## Net sales - affiliated companies (## =
your course group number).
What you enter:
Company code: C300
Enter the additional account assignments and scroll to the right:
Profit Center C4311 (Acetyl),
Partner Profit Center C6111 (AS),
Business Area 4000 (Chemicals),
Partner business area 6000 (Pharma)
2-8.1 Display the accounting document. Choose More data so that you can see the
trading partner company you posted to.
Document Display
2.8.2 Now display the other accounting documents.
Document Display Environment Accounting documents
2-8.3 Where do the additional account assignments come from?
Trading partner company: master record
Profit center: Posting document
(C) SAP AG AC665 40
2-9 IDES Palo Alto (company code C100) has received an invoice for 800 USD from vendor
CH## for the AS goods delivered.
The delivery was posted directly to the production expense account 4000## (## = your
course group number).
Post the incoming invoice in IDES Palo Alto.
SAP Menu Accounting Financial accounting Accounts payable Document
Display Environment Accounting documents
What you enter:
Company code: C100
Enter the additional account assignments and scroll to the right:
Cost center C100C6111M (Manufacturing Product Acetyl)
Profit Center C6111 (AS),
Partner Profit Center C4311 (Acetyl)
Business Area 6000 (Pharma)
Partner business area 4000 (Chemicals)
(C) SAP AG AC665 41
IDES Chicago has sold the raw material AS and certain services to IDES Palo Alto.
Post the outgoing invoice to your customer account.
Document entry Invoice
What you enter:
Company code: C300
The sales revenue is posted to account 8020## Net sales - affiliated companies, along
with an additional account assignment to the appropriate profit center and trading partner
profit center.
The sales revenue is divided among the business areas as follows:
40 % to business area 9900 Administration,
Profit Center C9902 (Admin.)
Partner profit center C6111 (AS)
60% to business area 4000 (Chemicals),
Profit Center C4311 (Acetyl)
Partner profit center C6111 (AS).
Confirm the warnings issued by the system by pressing ENTER and post the invoice to
your customer account.
Please make a note of the document number: ____________
2-10.1 Display the accounting document, and check the business area account assignment
for the line items Receivables and Tax.
SAP Menu Accounting Financial accounting Accounts receivables
Document Display
(C) SAP AG AC665 42
2-11 You now have to prepare the closing operation Balance Sheet Readjustment.
In order to post the balance sheet readjustment, you go to the IMG and define the
reconciliation accounts 1449## (Receivables from Affiliates) and 1649## (Payables to
Affiliates) along with the respective adjustment accounts.
(##= your group number + 40)
SAP Reference IMG Enterprise Controlling Consolidation Integration
Preparation in the Sender System Further Settings for Business Area
Consolidation Financial Accounting Store Accounts for Readjustments
Select adjustment accounts for reconciliation accounts.
Enter chart of accounts CAUS.
Entry 1:
Reconciliation account 1440## Receivables from Affiliates
Adjustment account 1449## Receivables from Affiliates, Adjustments
Entry 2:
Reconciliation account 1640## Payables to Affiliates
Adjustment account 1649## Payables to Affiliates, Adjustments
(C) SAP AG AC665 43
2-12 Your instructor will start the Readjust Balance Sheet report for the entire course group.
SAP Menu Accounting Financial accounting General ledger Periodic
processing Closing Regroup Balance sheet readjustment
2-12.1 Calculating the balance sheet readjustment: Your instructor will select the company
codes.
SAP Menu Accounting Financial accounting General ledger
Periodic processing Closing Regroup B/S readjustment Calculate
2-12.2 Posting the balance sheet readjustment: Your instructor will delimit data as follows:
Company codes: C100 and C300
Key date: last day of the month, current year
Create entries -
Document Type: SU
Posting date: last day of the month, current year
Posting period: current period
Post to profit center: no
Audit trail with line items -
by documents -
SAP Menu Accounting Financial accounting General ledger
Periodic processing Closing Regroup B/S readjustment Post
2-12.3 Display the adjustment documents, and check the adjustment postings.
SAP Menu Accounting Financial accounting Accounts payable
Document Display Environment Balance sheet readjustment
(C) SAP AG AC665 44
Theoretical Task:
Which basic setting is required if you want to use the periodic extract method of data
transfer for business area consolidation?
A financial statement version must be defined in the sender system, and the items in this
FS version must be the same as the items in the consolidation chart of accounts in the
Consolidation system.
You might have to define the currency of the consolidation staging ledger.
Activation of Data Transfer Periodic Extract from the Consolidation Staging Ledger
Maintain the currency of the consolidation staging ledger
In the IMG, you define the data transfer method Periodic extract, and assign it to
consolidation units.
Activation of Data Transfer Activate Data Transfer
Periodic Extract:
Check whether a financial statement version has been defined in the system, and copy it to
GR##.
SAP Reference IMG Financial Accounting General Ledger Accounting
Accounting Transactions Closing Documenting Define Financial Statement
Versions
Create a consolidation chart of accounts from your financial statement version.
Tools: Cons Chart of Accounts, Group Chart of Accounts, Financial Statement
Version Copying FS Items Copy item hierarchies from financial statement version
(C) SAP AG AC665 45
Run the report for the balance sheet/P+L statement. Make the following settings on the
selection screen:
All selections
Company codes/business areas of your course group
Extract for business area consolidation
Financial statement version KONS
Reporting year: current year
Extract to consolidation: at business area level
Since you have not posted any data to the consolidation staging ledger yet, do not
execute the report!
processing Closing Report General Ledger Reports Balance
sheet/P&L/Cash flow General Actual/Actual Comparisons Balance sheet/P&L
Choose Execute
In which EC-CS menu will you find the report for importing the extract to Consolidation?
SAP Menu Accounting Enterprise Controlling Consolidation Data
Collection Reported financial data Periodic Extract
Choose Integrated Consolidation Type: Business Area Consolidation.
(C) SAP AG AC665 46
4
SAP AG 1999
q Working Through Consolidation Activities
q Reporting
Consolidation Activities and Reporting
Contents
(C) SAP AG AC665 1
4.2
SAP AG 1999
Give reasons for having consolidation within an
enterprise
Name the various steps involved in consolidation
Consolidation Activities and Reporting: Unit
Objectives
(C) SAP AG AC665 2
4.3
SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
PCA Data
(C) SAP AG AC665 3
4.4
SAP AG 1999
Consolidation Activities and Reporting:
Business Scenario
You attend a presentation where you learn
about the various steps involved in
consolidation, and you test some of the
Consolidation functions yourself
You have also been asked to find out if there
are any useful key figure reports that can be
used to analyze consolidated business area
data
(C) SAP AG AC665 4
4.5
SAP AG 1999
Preparing Consolidation Activities and Reporting
FI
Document reconciliation
Adjustment
EC-CS
Data monitor:
Balance carried forward
Enter additional financial data
Consolidation monitor: Consolidation activities
and reporting
FI:
You carry out the document matching with partner company codes and the adjustment of the business
areas within the periodic closing operations.
EC-CS:
You execute the consolidation with the help of configured tasks.
(C) SAP AG AC665 5
4.6
SAP AG 1999
Carrying Forward Balances
Balance Sheet
Assets 10,000
...
Liabilities 10,000
Income Statement
Net inc. 1,000
Balance Sheet
Assets 10,000
...
Liabilities 10,000
Income Statement
Balance carried
forward 1,000
n+1
Closing Balance
Old Year
Opening Balance
New Year
Carry
Forward
The closing financial statement of a year must be the same as the opening financial statement of the
following year. Consequently, the first task (of the data monitor) in a given year is to carry forward the
balances from the previous year to the current year.
The way in which a balance is carried forward will depend on the item category in question. In the
standard system, you proceed as follows:
All financial statement items are carried forward to themselves.
In the standard system, income statement items are not carried forward. However, if an
appropriation of retained earnings is required after the income statement has been drawn up, the
previous year's annual net income must be carried forward to the balance carried forward of the
current fiscal year.
You can specify whether statistical items should be carried forward to themselves. You do this in
the master record of the item in question.
If items are to be carried forward, but not to themselves (this is the case with the appropriation of
retained earnings in the balance sheet), you will have to make other Customizing settings.
The balance is carried forward on the basis of the dimension (per consolidation group or for individual
units), the version and the consolidation chart of accounts.
(C) SAP AG AC665 6
4.7
SAP AG 1999
Methods of Transferring Data to EC-CS
Flexible Flexible
Upload Upload
Single
Document
R/2
Local
Local
Ledger
Ledger
DB
MS Access MS Access
Manual
o
n
l
i
n
e
Non-
SAP
Non-
SAP
EC EC- -CS CS
Rollup
Profit and Loss
1
2
3
C A
Sales
B
50
MS Excel MS Excel
Periodic Periodic
Extract Extract Periodic
offline
Data Entry
Layout
Data transfer from SAP Systems
Realtime update from other SAP components within the same SAP System
Rollup from an FI-SL ledger
Periodic extract from FI-GL
Periodic extract from an FI-LC system
Rollup from another EC-CS system
Periodic extract from R/2 (planned)
Data transfer from non-SAP systems
Flexible upload of data extracts from non-SAP systems
MS Access offline data entry with an additional MS Excel interface
(C) SAP AG AC665 7
4.8
SAP AG 1999
EC-CS: Entering Additional Financial Data
Consolidation of Investments:
- Changes in investee equity
- Changes in investments
Elimination of Interunit Profit and Loss in Transferred
Inventory:
- Inventory data
- Supplier data
Consolidation of Investments:
The task called "Data Collection" involves entering additional financial data for first consolidation and
subsequent consolidation.
Changes in investee equity and investments are entered in additional financial data for both the parent
unit, and the investee unit.
Elimination of Interunit Profit and Loss in Transferred Inventory:
You eliminate interunit profits and losses resulting from the transfer of inventory items.
The elimination data is based on the data of the inventory-managing and supplier unit.
The IU profit or loss is the difference between the book value on the individual financial statement and
the production cost. A positive difference represents interunit profit, which is eliminated by making an
adjustment down to the lower level, in accordance with the group's point of view.
(C) SAP AG AC665 8
4.9
SAP AG 1999
Determining Contra Items
Consolidation task
Define contra item/retained earnings
Edit item: Assign contra item
OLD NEW
1201 Receivables -1000 0
2011 Payables 0 -1000
Consolidation Items
Item Contra item
1201 Receivables 2011
2011 Payables 1201
Consolidation Monitor
Execute consolidation task:
Item substitution and calculation of retained earnings
When postings are made to bank accounts, the overall balance can be switched to the credit side in FI.
This means that the account balance cannot be represented under current assets.
In the financial statement version, the contra item is used to assign the overall account balance
automatically to the liabilities side of the item "Short-term payables".
In EC-CS, if the contra item is entered in the FS item table, this means that it is possible to automatically
transfer the balance of the corresponding item when the debit/credit sign changes.
The transfers are stored in the totals database (at posting level '_' (space).
(C) SAP AG AC665 9
4.10
SAP AG 1999
Calculating Retained Earnings: Selected Items
Assets Liabilities
Expense Revenue
IDES Chicago, Chem.
Assets Liabilities
Expense Revenue
IDES Chicago, Services
Retained
earnings
Annual net
income
100
100-
Business Area Clearing (2):
Balancing Adjustment Item:
Dr: Business Area Clearing (Chemicals)
Cr: Business Area Clearing (Services)
Business Area Clearing (2):
Balancing Adjustment Item:
Dr: Business Area Clearing (Chemicals)
Cr: Business Area Clearing (Services)
50
50-
(3)
(3)
(2)
50- (2)
50
Dr: Annual Net Income 100
Cr: Retained Earnings 100- (3)
30
Transaction (1):
Dr: Expense
(Services)
Cr: Payables
(Chemicals)
(1)
(1)
If you use the realtime update method, the consolidation items are updated every time a posting is made.
Retained earnings are not posted in FI. Instead, they are calculated as the balance of all expenses and
revenues.
You start this task after end-of-month closing, when all the postings in a period are closed, and post the
retained earnings in the Consolidation system.
If you use the periodic extract method for all consolidation units, you do not need to execute this task.
In EC-CS, you post this difference to selected items in the financial statements and income statement.
This will then mean that the total of all balance sheet items and income statement items will be zero,
respectively.
You manage the values for annual net income and retained earnings for the same item in the
consolidation chart of accounts.
If you start this task in an integrated dimension for consolidation type 2 (business area consolidation) or
3 (profit center consolidation), the financial data posted is reconciled at the company code/business area
or company code/profit center level.
(C) SAP AG AC665 10
4.11
SAP AG 1999
Validation
Current
yr.
Companies
Warning
Profit Centers
- - - - - -
- - - - - -
Assets
Liabilities
Error
Posting Fin. Statement 1 Cons. Unit
Across Consolidation Units Across Dimensions
Trading
partner
GS3 not
allowed
Book value
Sum of income
statement
detailed values
Previous
yr.
The concept of user-defined validation is employed in many SAP applications.
Validations are available in addition to the standard checks in the EC-CS posting transaction. You can
run validation when processing the following:
Document header
Individual document line
Complete document
Validation for a consolidation unit typically takes place after data collection (in local currency) and
currency translation (into group currency).
Validation across consolidation units or dimensions is essential for ensuring reconciled data in legal and
management consolidation.
(C) SAP AG AC665 11
4.12
SAP AG 1999
Currency Translation
Local Reference Group Diff.
Fixed assets S = 2.0 H = 3.0 1.0
Buildings 500 1000 1500 500
Machinery 500 1000 1500 500
Inventory S = 2.0 S = 2.0
Raw mat. 500 1000 1000 0
Translation Sets Translation Sets
Inventory Assets
Exchange Rates Exchange Rates
Current
rate
Historical
2001
Treatment of Currency translation difference
The currency translation task enables you to translate financial data reported by consolidation units in
their local currency into the currency of the consolidation group.
Currency translation is based on translation methods. You can define several methods for translating
data reported by your consolidation units. However, for each unit you specify a single translation
method.
The type of currency translation you use depends on the relationships between your corporate group and
its individual consolidation units, and also on the economic situation in the countries where these units
are based.
You can define any of the commonly-used translation methods for your chart of accounts (temporal
method, current-rate method, and so on).
(C) SAP AG AC665 12
4.13
SAP AG 1999
Data Monitor
- -
Europe
USA
APA
Segments
+ +
Chemicals
- - Pharmaceuticals
- -
- -
- -
+ + Services
+ + Corporate Other
User-defined tasks
Traffic light for "overall" status
Perform tasks in test mode/update mode
Audit information
Filter options
BCF Collect. Calc RE Val.FDSE Trans Val.SFD
Tasks
Hierarchy of
Groups/Units
Overall
status
... ... ... ...
The data monitor and the consolidation monitor control the status of the consolidation process, and tasks
can be started directly from within the monitor. Each monitor can cover an unlimited number of tasks.
Tasks are user-defined. They are grouped together into task groups that contain information on the
sequence of the tasks. Task groups are assigned to dimensions.
In our example, the following tasks have been defined:
Carry forward balance (BCF), Collect data (Collect.), Calculate retained earnings (Calc.RE), Validate
financial data (Val. FD), Standardizing entries (SE), Translate currency (Trans), Validate standardized
financial data (Val. SFD). . .
Overall status of consolidation units and consolidation groups
Initial stage, open, errors, OK
Detailed status per task
Initial stage, open, errors, OK, blocked, unblocked, irrelevant
Last changed by/on (date), number of errors/warnings
Actions that are possible:
Open/close period.
Execute tasks in test/update mode.
Block/unblock tasks.
Execute all tasks up to next milestone.
(C) SAP AG AC665 13
4.14
SAP AG 1999
Consolidation Monitor
- - Hierarchy 1
+ +
CG Chemicals
- - CG Pharma.
+ + CG Services
+ +
CG Corporate/
Other
Milestone
El. Pay/Rec. El. Inv.income Invest. Validation GC
Tasks
Hierarchy of groups
Overall
status
CG: Consolidation Group
(C) SAP AG AC665 14
4.15
SAP AG 1999
Interunit Elimination
IDES Group
.... Pharmaceuticals Chemicals
...
Item Amount Partner
Receiv. 20 Pharma/
Palo Alto
. . .
Receiv. 50 ...
Item Amount Partner
Pay. - 20 Chemicals/
Chicago
Item Amount Partner
. . .
. . .
Pay. -60 Chemicals/
Chicago
Chicago Palo Alto New York Chicago
Interunit elimination is based on information on the partner consolidation unit.
(C) SAP AG AC665 15
4.16
SAP AG 1999
Document Matching
Mail
Assignment
(Ref. no.)
Notes Elimination Entry
Elimination
method
Accounting
Document
Open Item
Master Record
Customer/
vendor
Document Matching
CCd 1 /CCd 2, Ref.no. 4711
Document date: 3/22/96
EC-CS Consolidation
Item
details
Bal. 2 Bal. 1 Diff.
CU A / B
CU A / C
CU B / C
Elim. of IU Pay./Receiv.
Drill-
down
Still to be assigned:
CCd 1 CCd 2
Prep. of Indiv. Financial Statements
- 1000 1200 200
700 - 600 100
- 350 400 50
Cons Unit
Master
Record
The reconciliation of group-internal payables and receivables is often a time-consuming task. SAP's
Financial Accounting application enables efficient document matching to be run during the fiscal year,
thereby reducing the time required for the elimination.
The consolidation user responsible for a particular company code specifies one or more "partner"
company codes with which reconciliation is to be run. The assignments of customers and vendors to
companies are used to select and display all open items.
Document matching is a process comprising several steps:
Documents with the same reference number are identified as matches.
The system then sorts into groups those documents posted with the same document date, whose values
differ below a tolerance defined by the user.
The remaining documents are displayed in two windows and processed manually by the user (by
means of mails to other users, notes, subsequent maintenance of reference number).
You can also access the document matching program from the transaction for reconciling balances when
you eliminate IU payables and receivables. This enables users to perform drilldown reporting right down
to the FI document level.
(C) SAP AG AC665 16
4.17
SAP AG 1999
Information System
Consolidation Consolidation
Drilldown
Reports
Journal Entry
Reports
Reports
Master data
Control data
Financial data
Inter-
active
Excel
1
2
3
C A
Revenues
B
50
Transfer to
EC-EIS
Report Writer
Report Painter
The Report Writer and Report Painter:
Powerful, user-friendly, standard SAP tools for creating reports
Special handling of version and time dependencies for consolidation groups
Interactive drilldown reports:
Interactive navigation in the data cube of Consolidation
Exception reporting, ABC analyses, comments, e-mail, integration with MS Office
Journal entry reports:
Flexible selection and hierarchical display of all consolidation documents
Interactive Excel:
Logons to R/3 from within MS Excel, interactive connection (ensures current data) with R/3
(C) SAP AG AC665 17
4.18
SAP AG 1999
Give reasons for having consolidation within an
enterprise
Name the various steps involved in consolidation
Consolidation Activities and Reporting: Unit
Summary
(C) SAP AG AC665 18
4.19Exercises
Unit: Consolidation Activities and Reporting
Topic: Consolidation Activities
Name and work through some consolidation activities
Now that you have made preparations for transferring data to the
Consolidation system, you can test working through a few consolidation
activities. You also test data transfer by using key figure reports.
1-1 Check in the Implementation Guide to see if a task: entitled Contra item/Retained earnings
item has been defined. What is the purpose of this task?
1-2 Selected items for consolidated statements are defined in the consolidation chart of
accounts. The values of these selected items are not transferred directly from the
transaction data in the individual financial statements to the Consolidation system.
For example, the annual net income is calculated in the financial statement first, and then
transferred to the corresponding consolidation item.
Which selected items have been defined for your dimension?
1-3 Start the data monitor from the EC-CS application menu.
Execute the task Retained Earnings/Contra Item for your dimension #2 (business area
consolidation).
Choose Show tasks.
Close all tasks in the data monitor except for the Retained Earnings/Contra Item task.
Place your cursor on a consolidation group below the Retained Earnings/Contra Item task,
and choose Update run.
Look at the log, then close the task.
(C) SAP AG AC665 19
1.4 When you copied the dimension, you did not copy the organizational units as well.
For this reason, you now need to go into EC-CS Customizing, and define validation
rule CS10000 for the master data.
This rule affects the validation of reported and standardized financial data.
What is the quickest way of changing this data en masse?
You change the consolidation units and save the results.
Then you execute the task Validate Standardized Financial Data in the data monitor.
1-5 You have copied document types and number ranges in your dimension so that you can
execute the tasks Elimination of IU payables and receivables and Elimination of IU
revenue and expense.
You still require a number range before you can run an update run for the tasks.
Define the number range interval for number range 03 for document type 21 (elimination
of IU payables and receivables) and for document type 22 (elimination of IU revenue and
expense).
1-6 In the Consolidation Monitor, execute the task Elimination of IU payables and
receivables (I2100) for your dimension #2.
Choose
Show tasks
Hide texts
Place your cursor on a consolidation group below the task Elimination of IU payables and
receivables, and choose Update run.
Execute task I2100 (elimination of IU payables and receivables).
(C) SAP AG AC665 20
4.20Solutions
Unit: Consolidation Activities and Reporting
Topic: Consolidation Activities
1-1 Check in the Implementation Guide to see if a task: entitled Contra item/Retained earnings
item has been defined. What is the purpose of this task?
Collection of Data Contra item/Determination of retained earnings: Define task
Task 1110 transfers the contra items and retained earnings determined by the FI
balance sheet report to the corresponding items in the EC-CS consolidation chart of
accounts.
1-2 Selected items for consolidated statements are defined in the consolidation chart of
accounts. The values of these selected items are not transferred directly from the
transaction data in the individual financial statements to the Consolidation system.
For example, the annual net income is calculated in the financial statement first, and then
transferred to the corresponding consolidation item.
Which selected items have been defined for your dimension?
Financial Statement Items Define Selected Items for Posting
Selected items:
Annual net income
Retained earnings - current year: 251200, subitem 120
Annual net income: 390000
Deferred income taxes,
Deferred income taxes (debit): 150100 (deferred tax assets)
Deferred income taxes (credit): 225200 (deferred taxes payable - state)
Deferred income taxes (income statement): 350100 (Income tax provision - deferred)
Remaining items
Balance sheet business area clearing: 239999
Retained earnings, prior year (Dr, Cr): 251100, subitem 120
(C) SAP AG AC665 21
1-3 Start the data monitor from the EC-CS application menu.
Execute the task Retained Earnings/Contra Item for your dimension #2 (business area
consolidation).
Choose Show tasks.
Close all tasks in the data monitor except for the Retained Earnings/Contra Item task.
Place your cursor on a consolidation group below the Retained Earnings/Contra Item task,
and choose Update run.
Look at the log, and then close the task.
SAP Menu Accounting Enterprise Controlling Consolidation
Data Monitor
1-4 When you copied the dimension, you did not copy the organizational units as well. For this
reason, you now need to go into EC-CS Customizing, and define validation rule CS10000
for the master data.
This rule affects the validation of reported and standardized financial data.
What is the quickest way of changing this data en masse?
Organizational Units Consolidation Units Make Mass Change
After you assign the validation rule to the consolidation units, run the task Validate
Standardized Financial Data. Look at the log and then close the task.
1-5 You have copied document types and number ranges in your dimension so that you can
execute the tasks Elimination of IU payables and receivables and Elimination of IU
revenue and expense.
You still require a number range before you can run an update run for the tasks.
Define the number range interval for number range 03 for document type 21 (elimination
of IU payables and receivables) and for document type 22 (elimination of IU revenue and
expense).
Data:
Version: 100
Number range: 03
Year: Current year
From number: 3000000000
To number: 0399999999
SAP Reference IMG Enterprise Controlling Consolidation Consolidation
Functions Automatic Posting Interunit Elimination Define Document Types
(C) SAP AG AC665 22
Select document type 21 or 22.
Choose
Number ranges/Automatic reversal
Version 100, number range 03
Define number range
Insert interval
Confirm any messages that appear by pressing ENTER. Then save your entries.
1-6 In the Consolidation Monitor, execute the task Elimination of IU payables and
receivables (I2100) for your dimension #2.
Consolidation Tasks Monitor
Choose
Show tasks
Hide texts
Place your cursor on a consolidation group below the task Elimination of IU payables and
receivables, and choose Update run.
Execute task I2100 (elimination of IU payables and receivables).
1-7 In the Consolidation Monitor, execute the task Elimination of IU revenue and expense
(I2200) for your dimension #2.
Consolidation Tasks Monitor
Choose
Show tasks
Hide texts
Place your cursor on a consolidation group below the task Elimination of IU revenue and
expense, and choose Update run.
(C) SAP AG AC665 23
Execute task I2200 (elimination of IU revenue and expense).
(C) SAP AG AC665 24
5
SAP AG 1999
Profit Centers and Profit Center Hierarchy
Origin of Profit Center Values
Integration of EC-PCA and FI
Preparation for Profit Center Consolidation
Partner Relationships
Contents
Integrated Data Transfer: EC-PCA
(C) SAP AG AC665 1
5.2
SAP AG 1999
Integrated Data Transfer: EC-PCA
Unit Objectives
Prepare the data transfer for management
consolidation.
(C) SAP AG AC665 2
5.3
SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
PCA Data
(C) SAP AG AC665 3
5.4
SAP AG 1999
The company puts you in charge of preparing profit
center consolidation.
Integrated Data Transfer: EC-PCA Business
Scenario
(C) SAP AG AC665 4
5.5
SAP AG 1999
CO CO- -PA PA
HR HR
BP
Business
Planning
EIS
Executive
Information
System
EC-CS Consolidation
PCA Data
Consolidation Unit
Profit Center/Company
EC-PCA
Profit Center, Company Code
Cost Center
Order
Project
P&L Account
Acc. Assign. to CO object
Bal. Sheet Account SD SD
MM MM
CO Controlling
FI-GL General Ledger
Assets
Receivables
Payables
Assets
Receivables
Payables
WIP
Inventory
Other
WIP
Inventory
Other
Data Stream
Example: Company sells a product to an affiliated company.
(The presentation of this processes is in the appendix.)
If the receivable is paid, receivables and tax in FI are reclassified to the profit centers at the period end
by means of the "Balance sheet adjustment" program.
In EC-PCA, the balance sheet items "Receivables/payables" are then periodically transferred for each
company code.
Other FS items can be transferred either periodically or online, as required:
for example assets, material stocks, work in process, receivables and payables. This enables you to
analyze financial key figures (profit-sales ratio, return on investment) for each profit center.
For the purposes of profit center consolidation, data can be transferred by rollup.
In this case, consolidation groups are formed for the profit centers to be consolidated.
The consolidation units are generated together with the companies.
The aim of this process is to create financial statements for profit centers in which the internal
relationships between the consolidation units of these profit centers are eliminated.
(C) SAP AG AC665 5
5.6
SAP AG 1999
Group Group
SEG A SEG A
Pharma & Chemicals Pharma & Chemicals
SBU SBU
Chemicals Chemicals
DIV DIV
Medical Substances Medical Substances
Acetyl Acetyl
Paracetamol Paracetamol
H H- -Insulin Insulin
SEG B SEG B
Services Services
SEG C SEG C
Corporate and Others Corporate and Others
SBU SBU
Pharmaceuticals Pharmaceuticals
DIV DIV
Analgesics Analgesics
DIV DIV
Diabetical Products Diabetical Products
AS AS PCM PCM
H H- -Insulin Insulin A A- -Insulin Insulin
Insulin Insulin H H- -Insulin Insulin
Strategic Business Unit
Division
Product Line
Product
Profit Center Hierarchy
The profit center is an area of responsibility within the enterprise for which an internal computation of
income can be carried out. You can group your enterprise according to the following criteria:
- geographical (locations, plant),
- functional (production, sales and distribution),
- product related (material groups, divisions)
- according to matrix type (product/region)
In Profit Center Accounting, you can use a complete standard hierarchy, subhierarchy, or individual
profit centers as selection criteria in the information system. You can use accounts (cost/revenue
elements, P&L accounts, and balance sheet items) as evaluation factors.
When you maintain the settings for cost accounting, you create the top node or group of the standard
hierarchy.
If your cost center structure is similar to your profit center structure, you can create your profit center
standard hierarchy by copying the the cost center standard hierarchy.
You can also create and evaluate alternative hierarchies.
(C) SAP AG AC665 6
5.7
SAP AG 1999
Settings
PrCtr 1 PrCtr 1 PrCtr 1
PrCtr 2
Controlling Area Settings
Master Data:
Profit Center / Dummy Profit Center
Assignment of Account Assignment Objects
Maintaining the Control Parameters for
Actual Postings and Planned Values
Settings
Global Settings: Profit Center
You store the most important control parameters and assignments in the settings for the controlling area.
When you maintain the master data, you can create the standard hierarchy, profit centers, as well as
profit center groups.
Dummy Profit Center: This is used in all postings to objects that are not assigned to a particular profit
center. Postings to the dummy profit center also enable you to detect missing assignments.
The data in the dummy profit center can be forwarded to the actual profit center by means of assessment
or distribution.
You can assign account assignment objects from Logistics and Financial Accounting to the profit center,
and check the assignments.
Control parameters for actual postings:
Activating profit center consolidation in EC-CS enables you to determine (in EC-PCA) for a client's
affiliated companies which partner profit centers have to be reread from the purchase order/sales order.
(C) SAP AG AC665 7
5.8
SAP AG 1999
Profit
Center
C6111
Profit Profit
Center Center
C6111 C6111
Controlling Area
Fixed Assignment
Profit Center - Company Code
EC-
CS
EC EC- -
CS CS
FI FI FI
Limited Number of
Consolidation Units
Company Code
Palo Alto
CChicago
CNew York
Profit Center: Master Record
When you create a profit center, you can choose the company code(s) in which the profit center should
be booked.
The consequence of this for postings in FI is that only permitted profit centers can be posted.
In EC-CS, only the consolidation units of the profit centers and companies that transact in the company
code(s) are generated.
(C) SAP AG AC665 8
5.9
SAP AG 1999
Cost Center
Cost Element
Internal Order,
Project, Network
Maintenance Order
Production Order Production Order
Profitability Segment
Material Material
Asset Asset
Sales Order Sales Order
Profit
Center
Profit Profit
Center Center
Profit Center Assignment
The master data of each object to which costs or revenues are assigned contains an assignment to a profit
center.
Deliveries and services between profit centers are also handled.
When an assignment to an account is carried out, the data is automatically updated statistically to the
assigned profit centers, and structured according to cost and revenue elements.
With the help of the assignment monitor for the selected assignment objects, incorrect assignments can
be detected and corrected.
In the case of internal goods movements, the profit center is determined by means of the combination
plant/material. This supports a product oriented or regional profit center structure. The same rules are
applied in the case of sales orders.
If the structure of EC-PCA is sales oriented, however, you can also use substitution rules to determine
the profit center from the fields in the sales order header, or from the sales order item.
This supports a profit center structure that deviates from the product related dimension.
The balances in the individual balance sheet items (for example, assets, material stocks, work in process,
receivables and payables) can likewise be posted to the assigned profit centers. This enables you to
analyze financial key figures (profit-sales ratio, return on investment) for each profit center.
(C) SAP AG AC665 9
5.10
SAP AG 1999
Cost center
Order
C100C4311M C100C4311M
Trade Law
. . .
Costing
Asset
1
Business
Area
4000
Time-dependent Data
Depreciation Areas
Cost Center C100C4311M
Company Code C100
Business Area 4000
Profit Center C4311
Cost Center Cost Center C100C4311M C100C4311M
Company Code C100 Company Code C100
Order ##########
Company Code C100
Business Area 4000
Profit Center C4311
Order Order ########## ##########
Company Code C100 Company Code C100
FI-AA
C4311
C4311
Post
Depreciation
Acquisition and
Production costs
Transfer data online/
periodically
EC-
PCA
Profit Center Origin: Asset Master Record
Example of how a profit center is derived:
For cost accounting purposes, an asset can be assigned either to a cost center or to an order.
Both CO objects are assigned to a company code, a profit center, and a business area when profit center
accounting or business area balance sheets is activated.
When acquisition and production costs are posted to the asset, the profit center and the business area are
derived on the basis of the cost center or the order.
The profit center receives the asset balance sheet value of the acquisition and production costs when the
balance sheet items are transferred.
In this case, you can choose either periodic or online updating of the balance sheet accounts in EC-PCA.
However, the opening balance always has to be transferred for the first time with a transaction.
Periodic depreciation is posted to cost center or internal order, and the profit center is derived on the
basis of this and assigned values.
(C) SAP AG AC665 10
5.11
SAP AG 1999
Reconciliation Ledger
Company Code / Business Area / Functional Area
Expense and Revenue Accounts / Cost and Revenue Elements
Cost Center 1
Functional Area 1
Profit Center 1
Cost Center 4
Functional Area 4
Profit Center 4
Assessment
CO and FI Reconciliation
Value flows in Controlling and their effects on a group's balance sheet/profit and loss accounts must be
transferred to FI. To meet these demands, CO data is summarized and analyzed in the reconciliation
ledger.
If allocations were carried out across functional area, these transactions can be entered automatically in
CO, and posted to FI.
You require this information if you want to calculate profit and loss using cost of sales accounting.
The reconciliation ledger performs the following tasks:
It summarizes reconciliation of the CO accounts with FI
It forms the basis for creating allocation postings in the general ledger when there are value flows
between two functional areas.
(C) SAP AG AC665 11
5.12
SAP AG 1999
Preparation for Profit Center Consolidation
(C) SAP AG AC665 12
5.13
SAP AG 1999
Global Parameters
Dimension 03 Profit Center
Version 100 Actual Data
Year YYYY
Period 012
Cons C/A 01 US Chart
Ledger US USD
EC-
CS
EC-
CS
ConsGroups FS Items Data Monitor ConsMonitor Infosystem Parameters
Global Session Parameters
If you wish to prepare profit center consolidation, you first have to create the appropriate dimension.
When you have done this, you can go on to specify the global session parameters.
(C) SAP AG AC665 13
5.14
SAP AG 1999
H1
... ...
SBU SBU
Pharmaceuticals Pharmaceuticals
DIV DIV
Insulin Insulin
H H- -Insulin Insulin ... ...
Insulin Insulin H H- -Insulin Insulin
Insulin-
Palo Alto
Insulin-
New York
DIV DIV
Painkillers Painkillers
SEG A SEG A
Pharma & Chemicals Pharma & Chemicals
... ...
AS AS PCM PCM
AS-
Palo Alto
Consolidation
Groups
Consolidation
Units
...
Profit Center Consolidation: Hierarchy
In our example, the dark-shaded business units correspond to nodes in the profit center hierarchy.
In consolidation, these are used to generate the consolidation groups.
In consolidation, the profit centers are likewise represented as consolidation groups.
The consolidation units are generated on the basis of the combination of companies and profit centers.
In profit center consolidation, you have a number of options for generating hierarchies:
You can generate one or more consolidation group hierarchies, which show the standard hierarchy or
alternative hierarchies from EC-PCA,
You can generate consolidation groups that show the companies, and are used for the reconciliation
with the units of company consolidation.
When you create the profit center, you can specify the company codes in which the profit center is used,
and this allows you to focus on the relevant units and groups. In the above example, the Palo Alto
company uses the profit center 'AS'. This allows you to prevent all the profit centers from being
combined with all the companies when the hierarchy is automatically created.
Finally, you should check over the combination of company codes and profit centers.
(C) SAP AG AC665 14
5.15
SAP AG 1999
GE 6000 Pharma
DIV 62 Insulin
Subsidiary
C200 New York
Consolidation
Parent
C100 Palo Alto
Insulin Products
for Distribution
Packaging Material
Packaging Material
BU 6000 Pharma
DIV 61 Painkillers
DIV 62 Insulin
Subsidiary
C300 Chicago
BU 8000 Services
DIV 81 Pharma Market Research
BU 4000 Chemicals
DIV 43 Medical Substances
DIV 41 Packaging Material
Partner Relationships: EC-PCA
To enable consolidated results to be identified on any node in the profit center hierarchy, interunit sales
(in other words, the sales between profit centers of the same consolidation group) have to be eliminated.
These eliminations require partner information on the profit center/company level.
The partner profit center and trading partner are determined on the basis of the customer or vendor
master record, and updated to profit center accounting. For this purpose, the companies have to be stored
in a central SAP System, and the SD or MM modules have to be used.
Otherwise, you can determine the partner profit centers by means of substitution rules or via user exit.
When the sales order for the purchase order is created, the SAP purchase order number in the order
header is entered as partner information.
The relevant purchase order item is specified in the order items, thus creating a link between the sales
order and the purchase order on which it is based.
This data is checked in the sales order if the customer is a trading partner whose partner information is to
be determined.
When the customer invoice is transferred to Financial Accounting the source purchase order is also
accessed. If the purchase order items are assigned to several profit centers, the sales revenue line is split
according to partner profit centers, and posted to profit center accounting in differentiated form.
(C) SAP AG AC665 15
5.16
SAP AG 1999
Distributed Systems:
Preparation for Consolidation in EC-PCA :
Specify default partner profit center in
purchasing and sales
Actual Postings
Settings
Logistics: Partner Profit Center
If the partners are in different clients or systems, you can maintain derivation rules that can be used to
determine the partner profit center in purchasing or in sales.
The partner profit center is derived from the following source fields or a combination of these fields:
Purchasing: vendor number, material number, trading partner, sender profit center.
Sales: vendor number, material number, trading partner, sender profit center.
For each derivation step, you can maintain several derivation rules, which the system runs sequentially.
If a default value is found for the target field, this is transferred, and the other derivation rules are not
run.
You can also use the derivation rules to determine the partner profit center in a client.
(C) SAP AG AC665 16
5.17
SAP AG 1999
Purchase Order (1) SD-Worklist
Customer Supplier
Delivery (2)
Picking (3)
Goods Issue (4)
Customer Invoice
(6)
Goods Receipt (5)
Incoming Invoice (7)
Company Code C100
PrCtr C6111
Company Code C300
PrCtr C4311
Company C10000 Profit Center C6111
Company C30000
Profit Center C4311
LO Partner Assignment: One-Client System
If companies are in the same client of your system, and if you use the SAP MM or SD components, then
you store the affiliated companies in EC-PCA, and specify the companies for whom the partner profit
center is to be determined by reading the source purchase order or the sales order.
The reading function is activated for each trading partner in EC-PCA Customizing.
If the relevant enterprise then occurs as a partner, the key figure "Purchase order/Sales order" can be
used to decide whether partner business area and partner profit center can be derived on the basis of the
purchase order or the sales order.
In business area consolidation, the corresponding trading partner area is also determined according using
this procedure.
An example of reading the partner profit center is given in the appendix (stock transport order).
(C) SAP AG AC665 17
5.18
SAP AG 1999
Consolidated Group Consolidated Group
SEG Pharma & Chemicals SEG Pharma & Chemicals
SGE Pharma SGE Pharma SGE Chemicals SGE Chemicals
DIV Diabetic DIV Diabetic
Product Line Mono Product Line Mono
SEG Services SEG Services
DIV Analgesics DIV Analgesics BIL BU Pharma BIL BU Pharma
Balance Sheet
Profit Center
Pharma
Profit Center Profit Center
AS AS
BIL DIV Analgesics BIL DIV Analgesics
Balance Sheet
Profit Center
Analgetics
Profit Center Profit Center
PCM PCM
Balance Sheet Profit Centers
The balances in individual balance sheet items (for example, fixed assets, material stocks, work in
process, receivables and payables) can also be assigned to profit centers. This enables you to analyze
financial key figures (profit-sales ratio, return on investment) for each profit center.
Example of use of an additional balance sheet profit center:
Two profit centers are located in one building. The costs for the building and its maintenance cannot be
allocated directly to the transaction profit center, since it carries product related values.
Instead, on the division level, you can create a balance sheet node and a balance sheet profit center
belonging to it, and can then post the rent to it, for example.
If one of the two profit centers were to leave the building, the increase in costs would not fall to the
remaining profit center or the product level.
On the division level, you can use the balance sheet profit center to evaluate key figures, such as RONA
(Return on Net Assets).
The balance sheet profit center is booked manually. This allows you to decide whether the acquired
shares of a subsidiary should be assigned completely to a division, or to the enterprise as a whole via the
profit center "Corporate and Others"
To check the correct assignment of profit centers, you will carry out the following activities at the end of
the period: check that no dummy profit centers have been posted and that the profit center "Corporate
and Others" contains only postings that cannot be allocated directly.
(C) SAP AG AC665 18
5.19
SAP AG 1999
Balance Sheet Acc. Transaction
Profit Center
Additional
Balance sheet PC
Bank/Cash on hand
Receivables
Inventory
No
X
X
No
X
X
Investments
Fixed assets
No
X
X
X
X
No
No
No
Payables
Long-termpayables
Tax
Equity
X
X
No
X
Profit Center: Additional Balance Sheet Accounts
For the purpose of comparing financial statement values with profit center values, or for subsequent
performance key figure reports, you can carry balance sheet values in particular transaction profit
centers.
When you do this, you decide which accounts should be carried for which evaluations in a profit center.
For example, it is not appropriate to carry investment values on this level, since decisions concerning an
investment are not made on the level of a transaction profit center.
Depending on a subsequent evaluation using key figure reports, you can decide which financial
statement values you want to carry on the balance sheet profit center. This profit center includes values
that do not influence the transaction result of the profit center, but which should allow an overview of
the area.
In EC-PCA, you can define which accounts or account ranges should be transferred on the basis of
transactions. If no profit center is set in a posting, the default profit center of the account range is
assigned.
If you find that the determination of a profit center is not differentiated enough, you can also maintain
derivation rules that can be used to determine the default profit center.
(C) SAP AG AC665 19
5.20
SAP AG 1999
This unit has introduced you to the following topics:
Important characteristics of EC-PCA
Data stream in Profit Center Accounting
The role of the partner profit center
EC-PCA Preparing Data: Unit Summary
(C) SAP AG AC665 20
5.21Integrated Data Transfer: EC-PCA Exercises
Unit: Integrated Data Transfer: EC-PCA
Topic: Profit Center Accounting
Describe the tasks in Profit Center Accounting
Describe the interrelationships between Profit Center Accounting,
Financial Accounting, and Consolidation
In the following exercise, you will prepare data in EC-PCA for transfer to
Consolidation.
1-1 Display a profit center in controlling area 'C001'.
Use the list of possible entries (F4) and select a profit center with F2.
1-1.1 Which standard hierarchy do the profit centers belong to?
1-1.2 What is the function of the dummy profit center C-Dummy in controlling area
'C001'?
1-1.3 Which cost centers are assigned to the profit center?
1-1.4 Why does consolidation require that a profit center be assigned to the company
codes in which it was posted in the transaction system?
_____________________________________________________________
(C) SAP AG AC665 21
1-2 Which profit center did you post when you posted incoming/outgoing invoices?
To display the FI documents as a list, choose:
Fiscal year and Own documents
1-3 Which documents were updated to Profit Center Accounting?
1-4 Theoretical Question:
Which step is required to transfer receivables and payables to Profit Center Accounting?
_____________________________________________________________
Your instructor will transfer the balance sheet items to Profit Center Accounting.
(C) SAP AG AC665 22
5.22 Integrated Data Transfer-Solutions
Unit: Integrated Data Transfer: EC-PCA
Topic: Profit Center Accounting
1-1 Display a profit center in controlling area 'C001'.
SAP Menu Accounting Enterprise Controlling Profit Center Accounting
Master Data Single Editing Profit Center Display
Use the list of possible entries (F4) to display a list of profit centers.
Sselect a profit center with F2.
1-1.1 Which standard hierarchy do the profit centers belong to?
SAP Menu Accounting Enterprise Controlling Profit Center
Accounting Master Data Display Standard Hierarchy
The profit centers belong to hierarchy 'C-Top-1'.
1-1.2 What is the function of the dummy profit center C-Dummy in controlling area
'C001'?
The dummy profit center 'C-Dummy' is used in any data transfer in which the
object (for example, cost center, order...) originally assigned to an account has
not been assigned to a profit center. This ensures that the data in Profit Center
Accounting is complete.
The data in the dummy profit center can be forwarded to the actual profit center
by means of assessment or distribution.
Forwarding must be carried out before consolidation.
1-1.3 Which cost centers are assigned to the profit center?
SAP Menu Accounting Enterprise Controlling Profit Center
Accounting Master Data Assignment Monitor Cost centers Cost
centers to profit centers
(C) SAP AG AC665 23
1-1.4 Why does consolidation require that a profit center be assigned to the company
codes in which it was posted in the transaction system?
This assignment enables you to control which consolidation units are calculated
on the basis of the combination profit center/company code. (This prevents all
profit centers from being multiplied by all the companies while generating the
consolidation units.)
1-2 Which profit center did you post when you posted incoming/outgoing invoices?
To display the FI documents as a list, choose:
Fiscal year and Own documents
SAP Menu Accounting Financial accounting General ledger Document
Display
Choose the "List" button.
1-3 Which documents were updated to Profit Center Accounting?
SAP Menu Accounting Enterprise controlling Profit center accounting
Information system Reports for Profit Center Accounting Line Item Reports
Profit Center: Actual Line Items
(C) SAP AG AC665 24
1-4 Theoretical Question:
Which step is required to transfer receivables and payables to Profit Center Accounting?
1. Readjust Profit Center:
This step is only necessary if you have built up a separate ledger for profit center data. If
you use the SAP standard ledger "8A", this step is not required.
processing Closing Regroup Balance sheet readjustment
2.Transfer Balance Sheet Item Values to Profit Center:
SAP Menu Accounting Enterprise controlling Profit center accounting
Actual postings Period closing Payables/receivables
Selection parameters:
All company codes
Line items
Degree of detail in log
Your instructor will transfer the balance sheet items to Profit Center Accounting.
(C) SAP AG AC665 25
6
SAP AG 1999
EC-CS Data
Data Transfer
Rollup
Contents
Data Transfer Methods: EC-PCA
(C) SAP AG AC665 1
6.2
SAP AG 1999
Prepare data transfer for management
consolidation
Check the transferred data in the receiver system
Unit Objectives
(C) SAP AG AC665 2
6.3
SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
PCA Data
(C) SAP AG AC665 3
6.4
SAP AG 1999
The company puts you in charge of preparing profit
center consolidation.
After you have made the necessary assignments in
the sender systems, you check the settings in the
receiver system.
You decide which consolidation units you are going
to generate.
You have to set up and carry out the data transfer
using the rollup method.
You can now check the data that is transferred.
Business Scenario
(C) SAP AG AC665 4
6.5
SAP AG 1999
EC-
CS
EC-
CS
Parameters:
Dimension: Profit Center Consolidation ...
Top Node
Dimension:
Profit Center Consolidation
H1 H1
Chemicals
Pharma
Hierarchy: Profit Center
Pharma & Chemicals
+
Transfer
Organizational Units
Conversion to
Consolidation Units
E Company Cons
E Business Area Cons
E Profit Center Cons
Analgesics Div.
Mono
AS
PCM
PCM-
Palo
Alto
03
Assigning Consolidation Types to Dimensions
The data for profit center consolidation is received via the rollup data transfer method. To use this
method, you have to define the consolidation units and areas automatically.
The chosen consolidation type determines which organizational elements are proposed.
You can define a data transfer method for every dimension.
You can define several hierarchies with various structures for each dimension. In the above example,
one hierarchy is displayed in a dimension. To do this, you create a top node and the consolidation groups
of the internal trading company.
When you have done this, you decide whether you wish to generate the consolidation groups according
to profit centers or companies, for example.
The profit centers themselves are also consolidation groups. The consolidation units are formed on the
basis of the combination of profit center and company.
(C) SAP AG AC665 5
6.6
SAP AG 1999
FI FI
EC-
CS
EC-
CS
Consolidation Unit
Profit Center/Company
Company Code Company Code
C100 C100
Profit Center
C6112
Transaction
System
Receiver System
Specify Data Transfer
Method: Rollup
Profit Center
Consolidation
Consolidation Chart
of Accounts##
Version ###
ID combination !!!
Company
C10000
C6112-C10000
Converting Organizational Units
The transaction systems do not recognize the organizational units of EC-CS. This means that the
transaction organizational units have to be converted to the consolidation units and groups of EC-CS.
In the example, you want to transfer the data from the transaction organizational unit Profit Center
C6112 to the appropriate consolidation unit during the data transfer.
To do this, you store rules for ID combination for the consolidation type "Profit center consolidation".
These rules are used to convert the transaction organizational units to the consolidation units.
You define the rules that you want the system to use to derive the IDs and names of the consolidation
units and groups from the IDs of the organizational units in G/L accounting and profit center accounting.
If necessary, you can include the controlling area in the rules for ID combination if there are several
controlling areas, and identical profit centers.
(C) SAP AG AC665 6
6.7
SAP AG 1999
C6112-C10000 PCM
C6111
C6112
AS
PCM
Consolidation Unit
Consolidation Group
Profit Center
CS
Org. Unit
Grouping
Category
FS item Org.
Unit
Prefix Length
1
2
0
1
1
-
10
Company
1
6
5 3 18
2
1 1
C10000
C20000
C30000
IDES Palo Alto
IDES New York
IDES Chicago
C6111
C6112
AS
PCM
1
4
4
1
6
Organizational Units: Rules for ID Combination
For each relevant data stream, the system determines the rules for ID combination to combine the
consolidation type and dimension, and converts the organizational units to consolidation units/groups.
CS organizational unit
1 Consolidation unit, 2 Consolidation group
Grouping category
0 No grouping
1 Grouping according to company
3 Grouping according to profit center
FS item
The "ID" of the consolidation unit (here, the profit center) is in the first or second place.
Organizational unit
1 Company
3 Controlling area
4 Profit center
5 Profit center/Profit center group
The prefix '-' connects the "ID" with the organizational unit.
The length of the ID for the consolidation unit / of the consolidation group is, for example, 10 characters
(+ prefix)
(C) SAP AG AC665 7
6.8
SAP AG 1999
03
Data Collection Data Collection
Same SAP System
O Upload
Hierarchy Structure Hierarchy Structure
Profit Center
Companies
Transfer Transfer Profit Center Profit Center
Hierarchy Hierarchy
C6111-C10000
Group acc. to
Companies
Palo Alto
...
C-TOP-1
PCA Integration
C-BA-4000
C-BA-6000
...
C-DIV-61
C6111
C6111-
C10000
Group acc. to Profit Center Hierarchy
Dummy
C-SEG-A
Transferring/Editing Hierarchies
In the case of the consolidation type "Profit center consolidation", the system generates the consolidation
units by combining profit centers and companies according to the rules for ID combination.
The system also supports two ways of generating hierarchies:
Consolidation hierarchy according to the profit center hierarchy
Consolidation hierarchy according to companies
The hierarchy according to companies enables you to compare the consolidation results on the basis of
the data from external and internal accounting.
You first have to manually create each hierarchy node, as well as the overall consolidation group.
The generated hierarchies can be postprocessed.
You can then generate lists to analyze the organizational units from different perspectives:
Transferred consolidation units
Master data of the consolidation units that play an important role in integration
Transaction system and client that the unit was transferred from
(C) SAP AG AC665 8
6.9
SAP AG 1999
Transferring FS Items:
Assign charts of accounts to the consolidation
charts of accounts
Transfer FS items from cost elements
Assign cost element ranges to the FS items
Match FS items with cost elements
Analyze cost elements according to cost element category
Transferring Data:
Contra item/Retained earnings:
Define task
EC-PCA: Transferring FS Items / Data

You can use programs to generate consolidation charts of accounts from the charts of accounts. You can
also transfer (1:1) secondary cost elements as financial statement items.
If you wish to bundle cost elements, assign the cost element range to the financial statement items in the
consolidated chart of accounts.
You can check the assignment of accounts and financial statement figures by using reports for analysis
and reconciliation.
You can generate the group chart of accounts from a consolidation chart of accounts.
It is not necessary to create either the chart of accounts or the account group in advance. The system
creates these automatically.
To transfer the data, assign the group chart of accounts in the sender system to the consolidation chart of
accounts in the EC-CS receiver system.
When doing this, you can determine whether you wish to assign ranges of the secondary cost elements
to financial statement items.
If you have not already done so, you have to define a task for calculating the contra item and the retained
earnings during the data transfer.
(C) SAP AG AC665 9
6.10
SAP AG 1999
EC-
CS
EC-
CS
EC-CS
C FI-LC
C RF-KONS
Consolidation System Consolidation System
E Company Cons
E Business Area Cons
E Profit Center Cons
Transfer Data: Defining Data Streams
For each combination of consolidation type and dimension, you define the consolidation chart of
accounts and version to which you want the data to be transferred.
For each relevant data stream and dimension, the system determines the consolidation type, and uses this
to define the rules for ID combination.
(C) SAP AG AC665 10
6.11
SAP AG 1999
ECMCT
R
O
L
L
R
O
L
L
U
P
U
P
EC-
CS
EC-
CS
CU: Consolidation Unit (Profit Center / Company)
Ledger 8A Ledger 8A Ledger 8A
GLFUNCT GLFUNCT GLFUNCT
FI FI FI
GLPCT
EC-
PCA
EC EC- -
PCA PCA
Standard Rollup
LEDGER US
Characteristics Key Fig.
CU FS Item GC ...
#### ##
#### ##
You can use rollups to display the information contained in one or more source ledger(s) in a
summarized form.
The rollup contains a definition which is used to specify how the data is totaled in a target ledger.
At present, the rollup is the only way of transferring data for profit center consolidation. SAP supplies
the following standard rollups for this purpose:
Rollup 0C_PC2CS (sender table GLPCT - receiver table ECMCT)
Rollup 0C_CS2CS (sender and receiver table ECMCT)
This rollup is only required for data transfer between different R/3 Systems.
To transfer data to consolidation, call up the standard rollup from the data monitor screen.
(C) SAP AG AC665 11
6.12
SAP AG 1999
ECMCT
Ledger
8A
EC-
PCA
EC-
PCA
EC-
CS
EC-
CS
Specify Sender Table and Receiver Table!
CU FS Item GC
xxxxx xxxx 1000
xxxxx xxxx 4500
... ...
Ledger US
CU: Consolidation Unit (Profit Center Company)
GLPCT
Rollup Header
The rollup consists of a rollup header and one or more rollup sequence(s).
The header level contains the following information:
The totals tables from (sender table) and to (receiver table) which the data records are to be rolled up.
Here, the standard rollup for PCA data transfer contains the totals table of profit center accounting
(GLPCT) as the sender table, and the totals table of consolidation (ECMCT) as the receiver table.
Specify the reset set. The reset set has to be adjusted in line with the Customizing settings.
Rollup set: the user must adjust this in line with the Customizing settings.
User exit: the standard rollup contains the standard exit "SC1", which does not have to be edited by
the user.
(C) SAP AG AC665 12
6.13
SAP AG 1999
Ledger US
PrCtr Co. FS Item GC
xxxxx xxxx 1000
xxxxx xxxx 4500
... ...
Identify valid data
stream for rollup
R
e
s
e
t

V
a
l
u
e
s

t
o

0
R
e
s
e
t

V
a
l
u
e
s

t
o

0
R
e
s
e
t

V
a
l
u
e
s

t
o

0
Reset Set
Ledger RLDNR
Version RVERS
Dimension RDIMEN
Cons Chart RITCLG
Consolidation Unit
RBUNIT Receiver Table
ECMCT
...
Posting Level II RPLEVL
Rollup Header: Reset Set
O
P
T
.
R
E
Q
.
At the start of the rollup, the value fields in the receiver table that are to be filled by the rollup are set to
zero by the reset set.
This resetting of the data in the receiver table is carried out before the actual rollup.
This means that the rollup can be repeated as often as you want.
In data transfer from EC-PCA to EC-CS, the reset set also serves to identify the data stream to which the
data records are to be posted.
Consequently, the reset set has to specify a unique combination of the key characteristics version (field
RVERS), dimension (RDIMEN) and consolidated chart of accounts (RITCLG).
It is also necessary to specify the key characteristics ledger (RLDNR) and posting level (field RPLEVL).
A rollup allows you to write exactly one data stream. If several data streams are to be written by means
of rollup, (for example, transfer of actual data in Version 100 and of planning data in Version 200), then
a corresponding number of rollups has to be defined.
(C) SAP AG AC665 13
6.14
SAP AG 1999
Rollup Set
Ledger RLDNR
Record Type RRCTY
Version RVERS
Comp. Code RBUKRS
Profit Center RPRCTR
...
Exit
SC1 SC1
Information:
Data Streams,
FS Items
...
Defines maximum
volume of data to be
selected
Defines maximum Defines maximum
volume of data to be volume of data to be
selected selected
R
O
L
L
R
O
L
L
U
P
U
P
+
Sender Table
GLPCT
Ledger Rec. Type Version CCd
...
8A
. ... ....
. ... ....
. ... .... .
O
P
T
.
R
E
Q
.
Rollup Header: Defining The Rollup Set
Rollup sets are used to determine the maximum data set to be selected for rollup that is valid for all
rollup sequences. This data set can subsequently be restricted at the sequence level.
For performance reasons, you also have to specify at least the characteristics ledger, record type,
version, and company code.
The standard rollup also contains an "SC1" exit. In preparations for rollup, this reads the necessary
internal EC-CS Customizing tables with regard to the data streams, rules for ID combination, financial
statement items, and so on.
(C) SAP AG AC665 14
6.15
SAP AG 1999
ECMCT
GLPCT
Ledger US
Sender Field
Cost Element
Receiver Receiver Fields Fields: :
Cons Unit Cons Unit
Partner Partner Unit Unit
Dimension Dimension
Cons Cons Chart Chart of Accts of Accts
FS FS Item Item
"Convert!!!"
Sequence1
Rollup Sequence XXX
Sender: GLPCT
Receiver: ECMCT
Sequence Set: 1
Field movement CS01
Ledger: US
Rollup Sequence
R

O

L

L

U

P
R

O

L

L

U

P
Ledger Rec. Type Version CCd
...
8A
. ... ....
. ... ....
. ... .... .
When the values in the receiver table are at zero, and the scope of selection for data is specified in the
rollup set, the data to be selected is read into a rollup sequence one record at a time.
If you wish to transfer the data to exactly one consolidation ledger, you also have to define only one
rollup sequence.
When defining the rollup sequence, specify the field movement and the receiver ledger.
The field movement specifies how each receiver field is filled.
(C) SAP AG AC665 15
6.16
SAP AG 1999
ECMCT ECMCT ECMCT
GLPCT GLPCT GLPCT
IF "Account/Cost element" field,
THEN execute EXIT SC7(*)
(*) Standard Exit SC7:
IF "Account/Cost element" field filled,
THEN convert to "FS item".
Transfer Field Transfer Field
Read Data Read Data
EC-
CS
EC-
CS
Standard Exit
SC7 SC7
Standard Exits
There is no corresponding field in the sender table for the consolidation-specific fields in the receiver
table ECMCT. This means that they cannot be filled by means of direct transfer of field contents from
the sender table.
The standard rollup already contains standard exits for these fields, which obtain the required field
contents from the appropriate consolidation tables.
As a rule, these exits are sufficient for data transfer from EC-PCA to EC-CS.
Each selected data record goes through these conversions for the rollup.
If further requirements should arise, customer-specific user exits can be defined and assigned. You will
find detailed instructions relating to this point in SAP note 111140.
(C) SAP AG AC665 16
6.17
SAP AG 1999
Receiver Field Sender Field Standard Exit Standard Exit Standard Exit
RBUNIT
RBUPTR
RDIMEN
RITCLG
RITEM
ROBUKRS
RRCTY
RVERS
SITYP
SUBIT
Consolidation unit
Partner unit
Dimension
Cons chart of accts
FS item
Original company code
Record type
Version
Subitem category
Subitem
RBUKRS Company code
SC6
SC8
SC3
SC4
SC7
SC2
SC5
SC8
SC8
SC1
SC6 SC6
SC8 SC8
SC3 SC3
SC4 SC4
SC7 SC7
SC2 SC2
SC5 SC5
SC8 SC8
SC8 SC8
SC1 SC1
Example: Field Movement
User exit before writing
Field Transfer and Standard Exits
Field movement is carried out using client-independent standard exits:
The exits are processed in alphabetical order.
If there is an error in the data record before posting, this is marked as consolidation unit 9999* (the
length of the consolidation unit corresponds to the length specified in the rules for ID combination).
The values of this record are set at zero. In the rollup header (processing options), you can decide
whether you want to write this record.
(C) SAP AG AC665 17
6.18
SAP AG 1999
AC Docs
ECMCT
EC-CS
Ledger
GLPCT
Profit Center
Ledger
a) Central scenario
+
c) decentr. scenario with ALE
ECMCT
EC-CS
Ledger
Standard Rollup
GLPCT ECMCT
b) decentr.
Scenario
w/o ALE
Export Rollup
ECMCT ECMCT
Standard Rollup
ECMCT ECMCT
c) decentr.
Scenario
with ALE
Rollup in Different Systems
For the purposes of transferring transaction data to the EC-CS consolidation system, certain Customizing
settings for consolidation have to be known in the transaction applications in order to convert the data to
the required account assignment.
It is about Customizing settings concerning
Consolidation chart of accounts,
FS items,
Breakdown categories,
Subitem categories,
Subitems,
Assigning dimensions/ integrated consolidation types,
Rules for ID combination
global specifications (for example Alpha conversion)
When a rollup of the transaction data is generated in the transaction system, the system uses the
Customizing settings to convert the data. The file generated by the rollup can then be checked and
written to the consolidation system.
(C) SAP AG AC665 18
6.19
SAP AG 1999
Prepare data transfer for management consolidation
Check the transferred data in the receiver system
Unit Summary
(C) SAP AG AC665 19
6.20 Exercises
Unit: Data Transfer Methods:EC-PCA
Topic: Preparing EC-CS Data
Maintain the master data of a profit center in relation to the
preparations you made for consolidation
Analyze the profit center assignments of FI documents
Make preparations in the EC-CS consolidation system for a profit
center consolidation scenario
1-1 In the global session parameters, set your dimension #3 Profit Center Consolidation.
1-2 Check over the ID combination rules.
What must your consolidation units be called?
_____________________________________________________________
To do this, create hierarchies H1 and H2 (to group according to profit centers or
companies), and create a top consolidation group for each hierarchy.
Place your cursor on the top node of hierarchy H1, and choose Profit Centers.
Select the Same R/3 System and Hierarchy of profit centers options.
Confirm the entries with 'Enter' and generate the consolidation groups and units without
restricting these to particular companies/profit centers.
Define fiscal year variant K4 in your consolidation units.
Save your entries.
You can not generate sets due to technical reasons.
_____________________________________________________________
(C) SAP AG AC665 20
1-4 Evaluate the master data, and check over the assignment of consolidation units to ledger
and fiscal year variant and data transfer method (0 = rollup).
Ask the person sitting next to you why the rollup data transfer method could be copied
together with the Profit Center Consolidation dimension.
_____________________________________________________________
_____________________________________________________________
1-5 Check the definition of the data streams.
(C) SAP AG AC665 21

Unit: Data Transfer Methods: EC-PCA
Topic: Rollup
Describe the functions of a rollup
2-1 Look at the definition of rollup PCA_CS_2 (instructor).
Check the rollup header, the reset set, the rollup sequence, and the field transfer set.
_____________________________________________________________
_____________________________________________________________
(C) SAP AG AC665 22
Define your own rollup PC_CS_## for your course group (## = course group number +
40).
Use the instructor's rollup as a copy template: PCA_CS_2.
As the template, enter your groups rollup and the instructors rollup.
Choose the rollup header.
You can use to display and change reset set ECMCT_2.
- Overwrite multi-set ECMCT_2 with ECMCT_#
(where # is the letter of your dimension).
Choose Create Set and enter a description for the set.
Enter the following basic sets:
- RLDNR_ECMCT_2
- RDIMEN_ECMCT_# (where # is the letter of your dimension)
This set contains the dimension of your group.
- RVERS_ECMCT_2
- RITCLG_ECMCT_2
- RPLEVL_ECMCT_2
Save your entries, go back one level, and save rollup PC_CS_##.
Please do not make any changes in the rollup sequence!
_____________________________________________________________
(C) SAP AG AC665 23
2-3 Additional Exercise: Executing the task Data Entry
In the data monitor (EC-CS application menu), execute the rollup PC_CS_## for period
012 and the current year.
_____________________________________________________________
Carry out the remaining tasks in the data monitor as well as the consolidation tasks in the
consolidation monitor.
_____________________________________________________________
(C) SAP AG AC665 24
6.21 Data Transfer methods-Solutions
Unit: Data Transfer Methods:EC-PCA
Topic: Preparing EC-CS Data
1-1 In the global session parameters, set your dimension #3 Profit Center Consolidation.
SAP Reference IMG Enterprise Controlling Consolidation Specify Global
Parameters
1-2 Check over the ID combination rules.
What must your consolidation units be called?
SAP Reference IMG Enterprise Controlling Consolidation Integration:
Copy Organizational Units Define ID Combination Rules
To do this, create hierarchies H1 and H2 (to group according to profit centers or
companies), and create a top consolidation group for each hierarchy.
Place your cursor on the top node of hierarchy H1, and choose Profit Centers.
Select the Same R/3 System and Hierarchy of profit centers options.
Confirm the entries with 'Enter' and generate the consolidation groups and units without
restricting these to particular companies/profit centers.
Define fiscal year variant K4 in your consolidation units.
Save your entries.
You can not generate sets due to technical reasons.
Converting Organizational Units Edit hierarchies
(C) SAP AG AC665 25
1-4 Evaluate the master data, and check over the assignment of consolidation units to ledger
and fiscal year variant and data transfer method (0 = rollup).
Ask the person sitting next to you why the rollup data transfer method could be copied
together with the Profit Center Consolidation dimension.
Converting Organizational Units Evaluate the Master Data of the Organizational
Units
1-5 Check the definition of the data streams.
Collection of Data Define Data Streams
(C) SAP AG AC665 26

Unit: Data Transfer Methods: EC-PCA
Topic: Rollup
2-1 Look at the definition of rollup PCA_CS_2 (instructor).
Check over the rollup header, the reset set, the rollup sequence, and the field transfer set.
Activation of Data Transfer Rollups Define Rollup for Data Export Display
Rollup
Choose Rollup Header.
By choosing , you can also display the reset set ECMCT_2.
Choose Rollup Sequence.
By choosing , you can also display the field transfer set.
By choosing , you can also display the field transfer rule CS01.
Define your own rollup PC_CS_## for your course group (## = course group number +
40).
Use the instructor's rollup as a copy template: PCA_CS_2.
Activation of Data Transfer Rollups Define Rollup for Data Export Create
rollup
Choose Rollup Sequence.
Do NOT make any changes!
By choosing , you can display the field transfer set.
By choosing , you can display the field transfer rule CS01.
(C) SAP AG AC665 27
2-3 Additional Exercise: Executing the task Data Entry
In the data monitor (EC-CS application menu), execute the rollup PC_CS_## for period
012 and the current year.
Choose Data Monitor.
Expand the top consolidation group, and place your cursor on Data Entry.
Choose Update Run and Reported Data Consolidation Units.
Execute the rollup PC_CS_##.
Confirm the messages with Enter.
What you enter:
Period: 012
Year: the current year
Choose Detail List.
Start the rollup.
Carry out the consolidation steps in the Data monitor and in the Consolidation monitor.
Choose Data Monitor.
Block the task Standardizing Entries for the top consolidation group.
Open the hierarchy.
Start the task Retained Earnings/Contra Item for the top consolidation group (in
update mode) and block the task.
You use the same procedure for the task Validate Standardized Data.
Choose the Consolidation monitor.
Open the hierarchy.
Place your cursor on the top consolidation group.
Start the task Elimination of IU Payables/Receivables for the top consolidation group
(in update mode) and block the task.
You use the same procedure for the task Elimination of IU Revenue/Expense.
(C) SAP AG AC665 28
(C) SAP AG AC665 29
7
SAP AG 1999
Contents
Key Figure Reporting: EC-CS
Financial/Management Accounting:Reconciliation
Key Figures in EC-EIS
Key Figures
(C) SAP AG AC665 1
7.2
SAP AG 1999
Name various key figure reports for consolidated
profit center data
Reconcile FI data with profit center data
Assess the predictive values of different reports
for various levels of the enterprise
Key Figures: Topic Objectives
(C) SAP AG AC665 2
7.3
SAP AG 1999
EC-CS Consolidation
Dimension FI Data
BP
Business
Planning
EIS
Executive
Information
System
EC-PCA
(C) SAP AG AC665 3
7.4
SAP AG 1999
You are to carry out consolidation at the profit
center data level.
Then you want to use key figures to evaluate
the data in profit center consolidation.
Key Figures: Business Scenario
(C) SAP AG AC665 4
7.5
SAP AG 1999
FI & CO FI & CO FI & CO
Balance Sheets Balance Sheets
Income Statement Income Statement
Total Cash Flow Total Cash Flow
ROCE Return on Capital Employed ROCE Return on Capital Employed
ROA Return on Operating Assets ROA Return on Operating Assets
Reconciliation FI: Reconciliation FI: PCA PCA
Consolidation Group,
Company,
Strategic Business Unit,
Division,
Profit Center,
Consolidation Unit
Company/Profit Center
EC-PCA EC EC- -PCA PCA
EC-CS
EC-
EIS
BP
EC EC- -
EIS EIS
BP BP
EC-CS Reporting
Performance key figures are used by management to specify enterprise goals, such as raising the return
on investment of the operational assets by 10% while simultaneously lowering operational expenses by
5%.
In order to optimally plan resources for the individual areas, the responsible managers specify these
goals in terms of sub-goals.
Achieving these specifications is often also decisive in determining the salary of the area manager.
The performance key figures are also used to carry out comparisons within the industry, or to evaluate
the marketability of an enterprise.
Examples of performance key figures:
ROCE (Return On Capital Employed): Return on assets
ROCE = NOPAT / Capital employed:
Return on capital employed = annual net income before interest on borrowings, after tax / total equity
ROA = NOPAT / Operating Assets:
Annual net income before interest on borrowings, after tax / operational transferred and current assets,
and payables
(C) SAP AG AC665 5
7.6
SAP AG 1999
Balance Sheets
Income Statement
Cash Flow
Key Figures for Return on Investment and Liquidity
Economic Profit / EVA
Discounted Cash Flow

CFROI Cash Flow Return on Investment
Reporting
In addition to the standard FI reports, you can create further reports in the R/3 System, and insert them
into the report tree.
Cash flow: This key figure uses the cash inflow from sales to calculate the internal financing resources
of an enterprise. In simplified form, an enterprise's profitability/ability to pay is calculated on the basis
of the following values:
annual net income + depreciation + increase in the long-term provisions
Cash flow does not provide a clear conclusion on the profitability of the enterprise. Consequently, other
key figures for return on investment (ROI, ROCE) and liquidity (working capital, liquidity 1st/2nd/3rd
degree) are generated along with the cash flow key figure.
In addition to the profit-based key figures, cash flow-based key figures are now being increasingly used.
For example:
Discounted Cash Flow is a planning tool, that calculates the discounted cash flow for a specific
planning period. This plan figure determines the current potential of the enterprise.
CFROI: The CF Return on Investment key figure permits comparisons between the return on
investment in the various business areas of an enterprise.
EVA (Economic Value Added): This key figure determines the value achieved after all capital
investments have been deducted.
(C) SAP AG AC665 6
7.7
SAP AG 1999
Cash Flow Report
Strategic Business Unit PHARMA
Fiscal Year 1999
The cell calculation is based on rows, columns, cells and +/- signs.
GE 6000 1998 1999 Delta
Hidden Columns
Change in Net Liquidity 130546
Annual Net Income 588915 588915
Depreciation 456750 456750
Appropriations to Provisions 517435 2709110- 2191675- 517435-
Delta Long-Term Payables 275050 450000 725050 275050-
Delta Raw Material 30100 164635 194735
30100- Delta WIP 231637- 1544250
1312613 231637-Delta Finished Products
1092657- 1284927 192270 1092657-
Acquisitions Investments 535800- 3572000 3036200 535800-
Acquisitions Assets 903700- 9105726 8202026 903700-
Delta Long-Term Payables 1013000 4062350- 3049350- 1013000-
CF from Financing Activity 1013000
CF from Business Transactions 557046
CF from Investing Activities
152250 436665
456750
1439500-
Technique for Cash Flow Reports
This report shows a possible display format for the total cash flow.
You can create a cash flow report at the business area level if you ensure that the relevant data is handled
at the business area level.
In the hidden columns, the drilldown report determines the totals per year, calculates the deviations, and
puts them into the visible Cash Flow column for the business unit PHARMA.
(C) SAP AG AC665 7
7.8
SAP AG 1999
Group
Chemicals ...
Group
Strategic
Business Unit
Division
Product Line
Product
CF Total Cash Flow
ROCE Return on Capital Employed
and others: Sales, Profit
ROA Return on Operating Assets
EBITDA Earnings before Interest
CF Transaction Cash Flow
and others:
Sales, OPEX (Operating Expense)
Diabetic Analgesic
Mono Combo
AS PCM
Pharma
Performance Key Figures in the Model Group
Examples of key figures:
ROCE (Return on Capital Employed)
EBITDA (Earnings Before Interest, Tax, Depreciation and Amortization) =
Sales - COGS - operating costs (excl. Depreciation / Amortization)
ROA: operating profit /operating assets
In the IDES model enterprise, the performance of operational profit centers should be calculated using
only key figures with influencing factors that can be completely controlled by the person responsible for
the profit center.
Example: A profit center manager is not responsible for the investments carried out on the strategic
business unit level.
It is, therefore, expedient to calculate a key figure for return on capital employed on the strategic
business unit or group level.
(C) SAP AG AC665 8
7.9
SAP AG 1999
Performance Key Figures at the Levels
Consolidated Group, Segment, Strategic Business Unit:
NOPAT
Total Equity
ROCE =
NOPAT = Net Operating Profit After Tax
Total Equity = Stockholders' Equity + Outside Capital
Total Cash Flow
Return On Capital Employed
EBITDA
Earnings Before Interest,Tax, Depreciation and Amortization
Performance Key Figures I
ROCE (Return on Capital Employed) = annual net income before interest on borrowings, after tax / total
equity
You can use this key figure to carry out comparisons in the industry.
NOPAT = annual net income before interest on borrowings, after tax
EBITDA = sales less COGS less operating costs
(excluding depreciation / amortization)
COGS = costs of goods sold
(C) SAP AG AC665 9
7.10
SAP AG 1999
Performance Key Figures at the Levels
Division to Profit Center
Ordinary Operating Profit
Operational Fixed/Current Assets
ROA =
Operational Expenses
Ordinary Operating Profit
Cash Flow from Business Transactions
(Excluding Investing/ Financing Activities)
Return on Operating Assets
Performance Key Figures II
Operational Fixed/Current Assets consist of: fixed assets + inventories + receivables.
The payables are included so that the inventory changes at the division/profit center level are not given
undue weight.
(C) SAP AG AC665 10
7.11
SAP AG 1999
Cons Chart of Accounts Cons Chart of Accounts Cons Chart of Accounts
Balance Sheets Balance Sheets Balance Sheets
Income Statement Income Statement Income Statement
Statistical Values Statistical Values Statistical Values
Key Figures
EBITDA
Hints on Key Figures:
Rule: unique hierarchy
with totals items
Use of further FS item hierarchies
for alternative totalings
Example:
Totals item EBITDA
Sales Revenue
Costs of Goods Sold
Operational Costs
Excluding
Depreciation
Key Figures in the Consolidated Chart of Accounts
EBITDA (Earnings Before Interest, Tax, Depreciation and Amortization) =
Sales less COGS less operating costs (excl. Depreciation / Amortization)
The items of the consolidation chart of accounts require unique hierarchies for the totals items.
The key figure EBITDA uses the same value items as in the income statement hierarchy, but with
different totals items.
This means that it is possible to create a parallel hierarchy node in addition to the normal totals items.
The EBITDA totals node comprises the calculation of the following values:
Sales,
Cost of goods sold, and
Operational expenses
do not include depreciation/amortization of tangible fixed assets and financial assets.
Advantage: You can use this key figure in all drilldown reports. If the calculation of the key figure
changes, you change it in the consolidation chart of accounts (the data is not redundant).
(C) SAP AG AC665 11
7.12
SAP AG 1999
Execute Compare FI & PCA Dimension data (B/S): Execute Compare FI & PCA Dimension data (B/S): Detail List Detail List
Compare FI & PCA Dimension data (B/S) Current data 7/19/1998 18:42
Reconciliation of Dimension 02 FI Integration with 03 PCA Integration
Business Unit 6000 PHARMA
FI Dim B/S PrCtr
Current Assets
Non-Cash
Fixed Assets
Short-term Liab.
Non-Tax
Long-Term Liab.
Equity
EQ w/o Net Income
Net Income CY
PCA Dim Op. PrCtr
5.272.257
5.272.257
9.632.726
6.782.470-
6.376.470-
4.062.350-
4.416.917-
569.850-
0
5.272.258
5.272.258
9.632.726
6.376.470-
6.376.470-
4.062.350-
4.416.917-
569.850-
0
4.816.313
4.816.313
2.576.283
2.177.650-
2.177.650-
0
1.764.849-
0
0
455.945
455.945
7.056.443
4.198.820-
4.198.820-
4.062.350-
2.652.068-
569.850-
0
Cash 0 0 0 0
Tax 406.000- 0 0 0
B/S BA clearing 356.754 49.247- 3.450.097- 3.400.850
Total Assets 14.904.983 14.904.984 7.392.596 7.512.388
Liability & Equity 14.904.983- 14.904.984- 7.392.596- 7.512.388-
L & E w/o Tax & Clear 14.855.737- 14.855.737- 3.942.499- 10.913.238-
Tot. Assets w/o Cash 14.904.983 14.904.984 7.392.596 7.512.388
Reconciliation of FI and PCA Results in EC-CS
In this prepared balance sheet, you can compare the results of the profit center with those of external
accounting.
In order to do this, you must have transferred the necessary balance sheet items to the profit centers.
In EC-CS, you can handle the consolidated values of the business area in various dimensions. On this
level, the following reports are possible:
Balance sheets
Cash flow report
Return on capital employed
You can create the following reports for the profit center consolidation dimension :
Asset portfolio
Income statement by divisions
Cash flow from operating activities
You can use drilldown reports to compare the values from both dimensions. If the business units are to
be reconcilable, the balance sheet values that were handled at the profit centers are essential, and account
assignment objects must be assigned completely to profit centers.
(C) SAP AG AC665 12
7.13
SAP AG 1999
Execute Execute DIM 03 DIM 03 Return on operating Assets Return on operating Assets ROA: Detail ROA: Detail
Divisions and Product lines in Business Unit
PHARMA
DIM 03 Return on operating Assets ROA Current data 19.07.1998 18:42
Fiscal Year 1999 Analgetics Mono Combo Diabetics
Sales - Net
Selling & Admin Exp.
Research & Develop.
Cost of Goods Sold 4.629.736
ROA %
4.000
561.464
4.800
5.200.000
5.496.865
303.150
27.265
6.781.600
1.068.401
2.000
1.200.000
1.000
3.561.335
2.000
4.000.000
3.000
Operating Profit
Fixed assets
A/R
A/P
Inventory 1.311.814
585.000
2.094.163
986.300
1.183.650
1.838.594
833.851
4.961.911
1.050.610
3.340.077
296.314
135.000
273.151
228.000
1.013.000
450.000
910.499
755.000
954.320 128.599 433.665
Operating Assets 476.464 1.618.499
27 19 27 27
Key Figure ROA - Report in EC-CS
ROA = NOPAT / Operating Assets:
Net operating profit after tax / operating fixed and current assets and payables
(C) SAP AG AC665 13
7.14
SAP AG 1999
Economic Value Added
EVA
Cash Flow Return On Investment

CFROI
Discounted Cash Flow
DCF
Profit-Based Key Figures
versus
Cash Flow-Based Key Figures
Performance Key Figures: Trends
EVA (Economic Value Added): This key figure determines the value achieved after all capital
investments have been deducted.
It permits good prognoses for the future, since the influencing factors are profit-based and not cash flow-
based (in other words, oriented to the sales of of the particular business unit).
The cash flow-based key figures provide a more realistic representation of profits and provide a reliable
criterion for evaluating managers' remuneration packages.
"Discounted Cash Flow" calculates the discounted cash flow for a specific planning period and
determines the current potential of the enterprise.
CFROI: The CF Return on Investment key figure permits comparisons between the return on
investment in the various business areas of an enterprise.
(C) SAP AG AC665 14
7.15
SAP AG 1999
EVA
NOPAT - (WACC x Capital)

NOPAT Capital
WACC
Weighted Average Cost of Capital
Cost of Equity II Cost of Debt II
Cost of Equity I Equity / Capital Ratio
Company Risk Premium
Interest rate
risk free investment
Market Risk Premium Beta factor
Cost of Debt I Debt / Capital Ratio
Interest rate 1 - Tax rate
x
+
x
+
x
x
Average
Market Return
EVA: Influencing Factors

The calculation of EVA is made up of several components:
NOPAT (Net Operating Profit After Tax), a profit-based key figure
CAPITAL: total assets - current assets
WACC (Weighted Average Cost of Capital), the average costs of all long-term funds. (The costs of
stockholders' equity are the opportunity costs for the investors, since they have not invested their equity
in another enterprise with a similar risk.)
WACC is the key figure that is calculated from the enterprise figures enterprise-wide, and can be freely
combined with the influencing factors of other segments.
This means that you can work with the EVA key figure even at the lowest level of the enterprise
structure, which allows you to maintain optimum warehouse stock, for example.
Data from banks, financial institutions, or industry-related data influence the costs of stockholders'
equity, and thus permit an objective assessment of the enterprise.
(C) SAP AG AC665 15
7.16
SAP AG 1999
EC-PCA
Calculation of Profits
for the "Enterprises
in the Enterprise"
P
C
-
C
o
n
t
r
o
l
l
i
n
g
FI CO Non-SAP
T
r
a
n
s
a
c
t
i
o
n
A
p
p
l
i
c
a
t
i
o
n
s
Transaction
Systems
EC-EIS
Management Reporting
(Key Performance Indicators
Monetary and Non-Monetary)
Financial Consolidation
Internal and External
(Balance Sheets)
internal external
I
B

a
n
d

G
r
o
u
p
C
o
n
t
r
o
l
l
i
n
g
G
r
o
u
p

A
c
c
o
u
n
t
i
n
g
Internal Non-Monetary
Performance Indicators
External Performance
Indicators (for example,
Market Shares, Customer
Satisfaction, and so on)
EC-CS
Validation
Task Distribution: Controlling / Group Accounting
The results are determined automatically in the operational units.
In EC-CS, internal transactions are eliminated, which allows the values for the individual business units
to be displayed in a consistent form. The various report categories permit you to reconcile the values
between business areas and profit centers.
In EC-EIS, the results are presented to the management and analyzed.
Real-time information with a very high level of detail flows into this component from every company
area.
By selecting, assigning, and summarizing the data from the operational area, you can create a key figure
system tailored to your specific enterprise.
The integration of the transaction levels with the management information level provides consistent
bases for decision making.
Each responsible person optimizes his or her enterprise area in accordance with the strategy of the group
as a whole.
(C) SAP AG AC665 16
7.17
SAP AG 1999
Economic Profit using Capital Charge Formular Economic Profit using Capital Charge Formular
Economic Economic Profit Profit
854.585 US$
854.585 US$
854.585 US$
854.585 US$
NOPAT - WACC * Capital
Navigation Navigation
Year Year
Consolidation Group Consolidation Group
Consolidation Level Consolidation Level
Fiscal Year Fiscal Year 99 99
Pharma Pharma
Level Level 2 2 Pharma Pharma (Auto) (Auto)
Start Start
Exit Exit System System
EVA with SAP EC-EIS and inSight
Data collection reports can be used to transfer data from EC-CS and EC-PCA to the EIS database.
Advantages of reporting with EC-EIS:
The EIS database is not account oriented.
EIS has transactions for calculating key figures that are independent of reports in the system.
The inSight GUI manufactured by the Arcplan company enables you to portray the key figures from the
EIS database graphically.
(C) SAP AG AC665 17
7.18
SAP AG 1999
Economic Economic Profit Profit using Capital using Capital Charge Formular Charge Formular
Navigation Navigation
Year Year
Consolidation Group Consolidation Group
Consolidation Level Consolidation Level
Fiscal Year Fiscal Year 99 99
Pharma Pharma
Level Level 2 2 Pharma Pharma (Auto) (Auto)
Tree Tree_1_A _1_A
Back Back
WAC WAC
9,1 %
WACC Dept + WACC Equity
WACC WACC Debt Debt
854.585 US$
WAC WAC Equity Equity
8,6 %
Gearing Gearing
15,0 %
Tax Tax rate rate
50,0 %
Share price Share price
85 US$
Av Av. . Market return Market return
10,6 %
Cost of Debt Cost of Debt
3,3 %
Mark. Mark. capitalisation capitalisation
8.500.000 US$
Debt Debt
219.351 US$
Number of shares Number of shares
100.000
Interest Interest rate rate loans loans
6,6 %
Company Risk Company Risk
Premium Premium
4,0 %
Risk free Risk free Investment Investment
6,1 %
Beta factor Beta factor
0,89
Cost of Equity Cost of Equity
10,0 %
Market Risk Market Risk
Premium Premium
4,5 %
EVA: Weighted Average Cost of Capital
(C) SAP AG AC665 18
7.19
SAP AG 1999
Name various key figure reports for consolidated
profit center data
Reconcile FI data with profit center data
Assess the predictive values of different reports for
various levels of the enterprise
Key Figures: Unit Summary
(C) SAP AG AC665 19
7.20Key figures-Exercises
Unit: Key Figures
Describe the various reporting levels available for individual key figure
reports
Name the reports for reconciling data in FI and EC-PCA
You are to evaluate consolidated data at various levels as a sound basis for
decision-making.
You have to ensure that the consolidated data from FI and EC-PCA is
consistent.
Execute some key figure reports. Your instructor will tell you the reports that you have to
call up.
(C) SAP AG AC665 20
7.21Key Figures-Solutions
Unit: Key Figures
Execute some key figure reports. Your instructor will tell you the reports that you have to
call up.
SAP Menu Accounting Enterprise Controlling Consolidation Information
System Tools Drilldown Reporting
Use F4 to display the list of possible entries, and choose a report.
(C) SAP AG AC665 21
8
SAP AG 1999
Logistics integration between EC-CS and EC-PCA
Consolidation chart of accounts
Contents
Appendix
(C) SAP AG AC665 1
8.2
SAP AG 1999
Example: LO Integration with FI and EC-PCA
(C) SAP AG AC665 2
8.3
SAP AG 1999
Purchase Order
Customer Supplier
Delivery
Picking
Goods Issue
Customer Invoice
Goods Receipt
Incoming Invoice
Company Code C100
PrCtr C6111
Company Code C300
PrCtr C4311
Example: LO Integration with FI and EC-PCA
The customer creates the purchase order with company code C100 and profit center C6111.
The posting year is 1999.
The supplier creates the delivery with company code C300 and profit center C4311.
Goods issue is carried out after picking. When goods issue and invoicing is carried out, the system uses
the purchase order to determine the trading partner and the partner profit center.
When the incoming invoice and goods receipt are created, the system uses the delivery to determine the
partner relationship. This means that the document contains the sales item with the customer code C100,
profit center C6111, and the information on the partner units: Company C30000/ Profit Center C4311.
(C) SAP AG AC665 3
8.4
SAP AG 1999
Purchase Order
Scenario
Company code C100 Palo Alto makes a purchase order for the mater ial C-SA1
Acetyl Substance (material master MM03) for the production of ASPARAX.
The supplier is C100VEND3; the supplying plant is C300 Chicago.
Sender Partner Unit
BUKRS C100 Palo Alto
GSBER 6000 Pharma
PRCTR C6111 ASPARAX Production
Sender Sender Partner Unit Partner Unit
BUKRS BUKRS C100 Palo Alto C100 Palo Alto
GSBER GSBER 6000 Pharma 6000 Pharma
PRCTR PRCTR C6111 ASPARAX Production C6111 ASPARAX Production
No FI document is generated!
ME23 Doc 4.500.000.002
The production order directly generates an SD worklist - no sales order
is required.
Purchase Order
(C) SAP AG AC665 4
8.5
SAP AG 1999
Delivery & Picking
Scenario
Company code C300 Chicago has received the purchase order for the material
C-SA1 Acetyl Substance from the trading partner customer C300CUST2
(company code C100 Palo Alto).
Documents for delivery and picking are generated on the basis ofthe SD
worklist (generated by the purchase order).
Sender Partner Unit
BUKRS C300 Chicago
GSBER 4000 Chemicals
PRCTR C4311 Acetyl Substance
BUKRS BUKRS C300 Chicago C300 Chicago
GSBER GSBER 4000 Chemicals 4000 Chemicals
PRCTR PRCTR C4311 Acetyl Substance C4311 Acetyl Substance
No FI document is generated!
VL03 Doc 80.000.000
Delivery and Picking
(C) SAP AG AC665 5
8.6
SAP AG 1999
Goods Issue
Scenario:
Plant C300 Chicago delivers to the customer of the trading partner.
Material: C-SA1
FI Posting:
Debit Cost of Goods Manufactured for Sales
Credit Raw Materials
The partner PrCtr is derived from the purchase order (in non-distributed
scenarios).
Sender Partner Unit
BUKRS C300 Chicago C10000 Company Palo Alto
GSBER 4000 Chemicals 6000 Pharma
PRCTR C4311 Acetyl Substance C6111 ASPARAX
BUKRS BUKRS C300 Chicago C300 Chicago C10000 C10000 Company Palo Alto Company Palo Alto
GSBER GSBER 4000 Chemicals 4000 Chemicals 6000 6000 Pharma Pharma
PRCTR PRCTR C4311 Acetyl Substance C4311 Acetyl Substance C6111 C6111 ASPARAX ASPARAX
MB51 Doc 49.002.289
Goods Issue
(C) SAP AG AC665 6
8.7
SAP AG 1999
Goods Receipt
Scenario:
Company code C100 Palo Alto receives the ordered goods from the trading
partner's suppliers.
FI Document
Debit Raw Materials
Credit Goods Receipt/Invoice Receipt Clearing Account
The partner profit center is derived from the delivery.
Sender Partner Unit
BUKRS C100 Palo Alto C30000 Chicago
BUKRS BUKRS C100 Palo Alto C100 Palo Alto C30000 C30000 Chicago Chicago
MB03 Doc 50.002.940
Goods Receipt
(C) SAP AG AC665 7
8.8
SAP AG 1999
Invoicing
Scenario:
Company code C300 Chicago sends the invoice to the customer.
FI Document:
Debit Customer C300CUST2 (A/R)
Credit Sales Revenue and Tax
The partner profit center is derived from the purchase order (innon-distributed
scenarios).
Sender Partner Unit
BUKRS C300 Chicago C10000 Palo Alto
BUKRS BUKRS C300 Chicago C300 Chicago C10000 C10000 Palo Alto Palo Alto
VF03 Doc 90.000.000
Invoicing
(C) SAP AG AC665 8
8.9
SAP AG 1999
Incoming Invoice
Scenario:
Company code C100 Palo Alto receives the invoice from the afflil iated company's
supplier (posting year 1999).
FI Document
Debit GR/IR clearing account and account for price differences
Credit Supplier C100VEND3 (A/P)
The partner profit center is derived from the delivery.
Sender Trading Partner
BUKRS C100 Palo Alto C30000 Chicago
Sender Sender Trading Partner Trading Partner
BUKRS BUKRS C100 Palo Alto C100 Palo Alto C30000 C30000 Chicago Chicago
MR03 Doc 5.100.000.000
Incoming Invoice
(C) SAP AG AC665 9
8.10
Cons Chart
Dimension Cons Chart 1 US, ARE
Balance Sheet,
COGS
Version Period
Item Medium Text for FS items IT S WA
100000 ASSETS 2 + A
100100 Total Current Assets 2 + A
110000 Cash and Cash Equivalents 2 + A
110100 Cash 1 + A
110200 Marketable
Securities
1 + A
119000 Net Receivables 2 + A
120000 Accounts Receivable - Net 2 + A
120100 Trade Receivables 1 + A
120200 Allowance for Doubtful
Accounts
1 - A
125000 Other Receivables 2 + A
125100 Notes Receivable 1 + A
125200 Interest Receivable 1 + A
125300 Miscellaneous Receivables 1 + A
130000 Intercompany Receivables 2 + A
130100 IC Trade Receivables 1 + A
130200 IC Notes Receivable 1 + A
130300 IC Interest Receivable 1 + A
130500 IC Due to/from 1 + A
131000 IC Elimination of Payables and Receivables 1 + A
135000 Inventories 2 + A
135100 Raw Materials 1 + A
135200 Work in Process 1 + A
135300 Finished Goods Inventory - Purchased 1 + A
135400 Finished Goods Inventory - Production 1 + A
140000 Other Current Assets 2 + A
140100 Prepaid Insurance 1 + A
(C) SAP AG AC665 10
140200 Other Current Assets 1 + A
150000 Deferred Tax Assets 2 + A
150100 Deferred Tax Assets 1 + A
150200 Deferred Tax Assets - Valuation Allowance 1 + A
160000 Total Fixed Assets 2 + A
170000 Investments 2 + A
170100 Investments in Subsidiaries - Purchase 1 + A
170200 Investments in Subsidiaries - Proportional 1 + A
170300 Investments in Subsidiaries - Equity 1 + A
170400 Investments in Parent Company's Common Stock 1 + A
180000 Goodwill - Net 2 + A
181000 Goodwill 2 + A
181100 Goodwill - Purchase 1 + A
181200 Goodwill - Proportional 1 + A
181300 Goodwill - Equity 1 + A
181400 Goodwill - Push Down Method 1 + A
185000 Accum. Goodwill
Amortization
2 - A
185100 Accum. Goodwill Amortization - Purchase 1 - A
185200 Accum. Goodwill Amortization - Proportional 1 - A
185300 Accum. Goodwill Amortization - Equity 1 - A
185400 Accum. Goodwill Amortization - Push Down Method 1 - A
190000 Property, Plant and
Equipment, net
2 + A
191000 Property, Plant
and
Equipment
2 + A
191100 Land and Real
Estate
1 + A
191200 Buildings 1 + A
191300 Furniture and Fixtures 1 + A
191400 Transportation
Equipment
1 + A
191500 Machinery and Equipment 1 + A
195000 Accumulated Depreciation 2 - A
195200 Accumulated Depreciation -
Buildings
1 - A
195300 Accumulated Depreciation - Furniture and Fixtures 1 - A
195400 Accumulated Depreciation -
Transportation Equip.
1 - A
195500 Accumulated Depreciation - Mach. & Equipment 1 - A
(C) SAP AG AC665 11
200000 Total Liabilities and
Stockholders Equity
2 - B
200100 Total Liabilities 2 - B
200200 Total Current Liabilities 2 - B
201000 Trade Payables 2 - B
201100 Trade Payables 1 - B
201200 Miscellaneous Trade Payables 1 - B
205000 Other Payables 2 - B
205100 Notes Payable - Current Portion 1 - B
205200 Bonds Payable - Current Portion 1 - B
205300 Accrued Interest Payable 1 - B
205400 Accrued Wages Payable 1 - B
205500 Accrued Payroll Taxes Payable 1 - B
205600 Dividends Payable 1 - B
205700 Miscellaneous Payables 1 - B
210000 Payables to Affiliated Companies 2 - B
210100 IC Trade Payables 1 - B
210200 IC Notes Payable 1 - B
210300 IC Interest Payable 1 - B
210400 IC Dividends Payable 1 - B
215000 Income Taxes Payable 2 - B
215100 Income Taxes Payable - Federal 1 - B
215200 Income Taxes Payable - State 1 - B
215300 Income Taxes Payable - Foreign 1 - B
220000 Other Taxes Payable 2 - B
220100 Sales and Use Tax Payable 1 - B
220200 Foreign Withholding Taxes Payable 1 - B
220300 Property Taxes Payable 1 - B
225000 Deferred Taxes Payable 2 - B
225100 Deferred Taxes Payable -
Federal
1 - B
State
1 - B
Foreign
1 - B
225400 Deferred Tax Payables -Value adjustment 1 + B
230000 Total Long Term Liabilities 2 - B
235000 Long Term Debt 2 - B
235100 Notes Payable - Long Term Portion 1 - B
(C) SAP AG AC665 12
235200 Bonds Payable - Long Term Portion 1 - B
239999 B/S Business Area - Clearing Account 1 - B
240000 Minority
Interest
2 - B
240100 Minority Interest - Common Stock 1 - B
240200 Minority Interest - Common Stock - ESOP Shares 1 - B
240300 Minority Interest - Subscribed Capital Stock 1 - B
240400 Minority Interest - Preferred Stock 1 - B
240500 Minority Interest - Additional Paid in Capital 1 - B
240600 Minority Interest - Treasury Stock 1 - B
240700 Min. Int. - Treasury Stock, Reciprocal Holdings Inv. 1 - B
240800 Minority Interest - Dividends Payable 1 - B
240900 Minority Int. - Currency Translation Differences 2 - B
240910 Min. Int. - Cur.Transl.Diffs - Prop, Plant & Equip 1 - B
240920 Min. Int. - Cur.Transl.Diffs - Investments 1 - B
240930 Min. Int. - Cur.Transl.Diffs - Stockholders Equity 1 - B
240940 Min. Int. - Cur.Transl.Diffs - Other 1 - B
240950 Min. Int. - Cur.Transl.Diffs - Rounding 1 - B
241000 Minority Interest in retained earnings 2 - B
241100 Minority Interest - Ret. Earnings - Prior Years 1 - B
241200 Minority Interest - Ret. Earnings - Current
Year
1 - B
241300 Min. Int. - Ret. Earn. - CY prior to First Cons 1 - B
241350 Min. Int. - Ret. Earn. - ANI Prior to Prop. Change 1 - B
241400 Min. Int. - Ret. Earn. - Appropriation Transfers 1 - B
241500 Min. Int. - Ret. Earn. - Appropriation Deductions 1 - B
241600 Min. Int. - Ret. Earn. - Dividends Paid 1 - B
241620 Min. Int. - Ret. Earn. - Dividends Paid Clearing 1 - B
241630 Min. Int. - Ret. Earn. - Bonus Management 1 - B
241800 Min. Int. - Ret. Earn. - Appropriations 1 - B
247000 Minority Interest - Investments in Subsidiaries 2 - B
247010 Min. Int. Investments in Subsid. - Purchase 1 - B
247020 Min. Int. Investments in Subsid. - Proportional 1 - B
247030 Min. Int. - Investments in Subsid. - Equity 1 - B
247040 Min. Int. Investments in Common Stock of Parent 1 - B
250000 STOCKHOLDERS' EQUITY 2 - B
250050 Total Subscribed Common Stock 2 - B
250100 Common
Stock
1 - B
(C) SAP AG AC665 13
250200 Common Stock - ESOP Shares 1 - B
250300 Subscription Receivables 1 - B
250400 Preferred Stock 1 - B
250500 Additional Paid-in Capital 1 - B
250600 Treasury Stock 1 + B
250700 Treasury Stock - Reciprocal Holdings 1 + B
250800 Stock Dividends to be Distributed 1 - B
250900 Translation differences 2 - B
250910 Currency Translation Adjustments - Prop., Plant & E 1 - B
250920 Currency Translation Adjustments - Investments 1 - B
250930 Currency Translation Adjustments - Stockh. Equity 1 - B
250940 Currency Translation Adjustments - Other 1 - B
250950 Currency Translation Adjustments - Rounding 1 - B
251000 Retained
earnings
2 - B
251100 RE Prior Years 1 - B
251200 RE Current year 1 - B
251300 Retained Earnings- CY prior to First Cons 1 - B
251350 Retained earnings - ANI prior to Proportion Change 1 - B
251400 Retained earnings - Appropriation Transfers 1 - B
251500 Retained earnings - Appropriation Deductions 1 + B
251600 Ret. Earnings - Dividends Paid 1 - B
251620 Retained earnings - Clearing of Dividends Paid 1 - B
251630 Ret. Earnings - Bonus Management 1 - B
251700 Retained earnings - Clearing of Cons of Investment 1 - B
251800 Ret. Earnings - Appropriations 1 - B
300000 Sales revenue 2 - C
301000 Sales revenue 2 - C
301100 Sales (Third Parties) 1 - C
301200 Intercompany Sales 1 - C
302000 Sales Discounts and Returns 2 - C
302100 Sales Discounts and Returns (Third Parties) 1 - C
302200 IC Sales Discounts and Returns 1 - C
303000 Cost Of Goods Sold 2 - C
303100 Cost Of Goods Sold 1 - C
303200 IC Cost Of Goods Sold 1 - C
304000 Sales Discounts and Returns - Foreign 2 - C
305000 Total Expenses 2 + C
(C) SAP AG AC665 14
306000 Operating Income 2 - C
310000 Operating Expenses 2 + C
310100 Raw Materials Consumed 1 + C
310200 Inventory Valuation 1 + C
310300 Packaging Materials Expense 1 + C
310400 Distribution Expenses 1 + C
310500 Heating and Electricity Expense 1 + C
310600 Subcontractor Services 1 + C
310700 Wages and Salaries 1 + C
310800 Pension and Employee Benefits Expense 1 + C
310900 Payroll and Withholding Expense 1 + C
311000 Medical Expense 1 + C
311100 Building and Equipment Maintenance
Expense
1 + C
311200 Insurance Expense 1 + C
311300 Auto Expense 1 + C
311800 Goodwill Amortization
Expense
2 + C
311810 Goodwill Amortization -Purchase 1 + C
311820 Goodwill Amortization -Proportional 1 + C
311830 Goodwill Amortization -Equity 1 + C
311840 Goodwill Amortization -Push-down 1 + C
311900 Depreciation Expense 2 + C
311920 Depreciation Expense - Buildings 1 + C
311930 Depreciation Expense - Furniture and Fixtures 1 + C
311940 Depreciation Expense - Transportation
Equipment
1 + C
311950 Depreciation Expense - Machinery and Equipment 1 + C
312400 Rent expense 1 + C
312500 Postage and Shipping Costs 1 + C
312600 Telephone Expense 1 + C
312700 Travel
Expenses
1 + C
312800 Supplies
Expense
1 + C
312900 Other General Expense 1 + C
313000 Other Administrative Expense 1 + C
313100 Professional Fees 1 + C
319999 OPEX w/o Depreciation &Amortization 2 + C
(C) SAP AG AC665 15
320000 Other Income and Expense 2 + C
320100 Interest
Income
1 + C
320200 IC Interest Income 1 + C
320300 Dividend Income 1 + C
320400 IC Dividend Income 1 + C
320500 Other Income 1 + C
320600 IC Other Income 1 + C
320650 Revenue from Divestitures 1 + C
320700 Interest
Expense
1 + C
320800 IC Interest Expense 1 + C
320900 Other Expense 1 + C
321000 Loss from Write-down Investments 1 + C
321100 IC Other Expense 1 + C
321150 Expense from Divestitures 1 + C
321200 Equity in Net Income of20 - 50% Subsidiaries 1 - C
321300 Exchange Rate Gains (Losses) 1 - C
330000 Income before Taxes 2 - C
335000 Income Tax Provision 2 + C
340000 Income Tax Provision - Current 2 + C
340100 Income Tax Provision - Current Federal 1 + C
340200 Income Tax Provision - Current State 1 + C
340300 Income Tax Provision - Current Foreign 1 + C
350000 Income Tax Provision - Deferred 2 + C
350100 Income Tax Provision - Deferred Federal 1 + C
350200 Income Tax Provision - Deferred State 1 + C
350300 Income Tax Provision - Deferred Foreign 1 + C
360000 Income from Continuing Operations 2 - C
360050 Non-continuing Operations 2 + C
360100 Gain (Loss) - Discontinued Operations-Net of Tax 1 - C
360200 Gain (Loss) - Extraordinary Items-Net of Tax 1 - C
360300 Gain (Loss) - Change in Accounting Principle-Net.. 1 - C
370000 Net Income Before Minority
Interest
2 - C
370100 Minority
Interest
1 - C
380000 Net Income 2 - C
390000 Annual net income 1 + C
(C) SAP AG AC665 16
910000 Selected Item for Cur. Translation Affect. Earnings 1 + D
930000 Stat: Other Items 2 - D
931000 Stat: Annual net income 2 - D
931100 Total annual net income 1 - D
931200 Total Annual Net Income- Offset 1 + D
931300 Minority interest in annual net income 1 - D
931400 Minority Interest in Annual Net Income - Offset 1 + D
931500 Adjusted annual net income 1 - D
931600 Adjusted Annual Net Income - Minority Interest 1 - D
932000 Stat: Stockholder Equity for Equity Method 2 - D
932100 Stat: Annual Net Income - Equity Method 1 - D
932200 Stat: Dividends for Equity
Method
1 - D
932300 Stat: Bonus Management 1 - D
932400 Stat: Translation differences 1 - D
932500 Stat: GW Clearing within Cons Group 1 - D
932600 Stat: Adjustment of Prior Period Earnings 1 - D
933000 Stat: Goodwill 2 - D
933100 Stat: Positive Goodwill 1 - D
933200 Stat: Negative Goodwill 1 + D
939000 Stat: Overall Offsetting Item 1 - D
950000 Stat: Stockholders Equity 2 - D
950100 Stat: Common Stock 1 - D
950200 Stat: Common Stock - ESOP Shares 1 - D
950300 Stat: Subscription Receivables 1 - D
950400 Stat: Preferred Stock 1 - D
950500 Stat: Additional Paid-in
Capital
1 - D
950600 Stat: Treasury Stock 1 - D
950700 Stat: Treasury Stock Reciprocal Holdings 1 - D
950800 Stat: Stock Dividends to be Distributed 1 - D
950900 Stat: Translation differences 2 - D
950910 Stat: Cur.Transl.Diff. - Property, Plant and Equipment 1 - D
950920 Stat: Cur.Transl.Diff. - Investments 1 - D
950930 Stat: Cur.Transl.Diff. - Equity 1 - D
950940 Stat: Cur.Transl.Diff. - Other 1 - D
950950 Stat: Cur.Transl.Diff. - Rounding 1 - D
951000 Stat: Retained earnings 2 - D
(C) SAP AG AC665 17
951100 Stat: RE Prior Years 1 - D
951200 Stat: RE Current year 1 - D
951300 Stat: Retained Earnings- CY prior to First Cons 1 - D
951350 Stat: Retained Earnings- ANI prior Proportion Change 1 - D
951400 Stat: Ret. Earnings - Appropriation Transfer 1 - D
951500 Stat: Ret. Earnings - Appropriation Deductions 1 - D
951600 Stat: Ret. Earnings - Dividends Paid 1 - D
951620 Stat: Ret. Earnings - Clearing Distribution of Dividends 1 - D
951630 Stat: Ret. Earnings - Bonus Management 1 - D
951700 Stat: Ret. Earnings - Clearing Cons of Investments 1 - D
951800 Stat: Ret. Earnings - Appropriations 1 - D
962000 Stat: Neg. Stockholders' Equity for Equity Method 2 - D
962100 Stat: Neg. SH Equity - Annual Net Income f. Equity 1 - D
962200 Stat: Neg. SH Equity - Dividends f. Equity 1 - D
962300 Stat: Neg. SH Equity - Bonus Management 1 - D
962400 Stat: Neg. SH Equity - Currency Translation Diffs 1 - D
962500 Stat: Neg. SH Equity - GW Amort. in Cons Group 1 - D
962600 Stat: Neg. SH Equity - Adjusted Pr. Period Earnings 1 - D
C-1000 Group Share 1 + D
C-2000 Group Share with Voting Rights 1 + D
C-3000 Group Share Without Voting Rights 1 + D
C-4000 Group Share in Annual Net Income 1 + D
C-5000 Group Share, Direct 1 + D
EBITDA 2 + C
(C) SAP AG AC665 18

AC665 Integration

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AC665 Integration

Execute balance sheet adjustments

C10000-6000 Palo Alto/Pharmaceuticals

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