Posting time across company codes

[Former Member]

I have a question around timesheets accross different company codes. My example is:

Company A wins the work with the external customer, who they will invoice and recognise the revenue for using RA. They are unable to complete the work so purchase the service of an employee within Company B. Normally this would mean raising a PO from Company A to Company B. The employee (who has a HR record within company B), then raises a Project & SO within company B and posts his time to it. He then invocies Company A.

It would be very easy just to then service receipt the PO in company A, and post the invocie from company B. However we want to be able to action this via timesheets. The only solution we can come up with is to have the employee in company B to also have an external HR record in company A. This will then allow him to also enter time in the Company A project, and using CATM create the SES on the PO.

However this means the employee is keying in 2 timesheet records. We can eliminate the records by the employee number range, but sometimes an entry could be missed.

So how do others cross book accross company codes with timesheets. Bear in mind Company A wants to recognise all the Revenue for their project, and company B will also want to see the time postings in their company code.

Any ideas?

[virendra_pal · Accepted solution]

This is standard scenario in SAP provided both the company codes are in the same controlling area.

The project is created in the controlling area with company code A. A second level can then be created for company code B.

Time booking will be in company code B

Company code B and company code A - activate SD inter company billing

use resource related billing to transfer costs from B to A

Use RA at the top level WBS (A)

Standard option read PLM230 course for more details

[Former Member · Accepted solution]

Many thanks for the advise below. Can I just ask, if the project for company B is linked into company A's project, is it possible for them both to still recognise a portion of the revenue?

You mention course PLM230, did you attend this and did it cover this scenario?

Many thanks

W

[virendra_pal · Accepted solution]

Hi Wendy

recognition woud be project specific and it would be possible to do that if the correct choices are made in the RA configuration - however in the scenario I mentioned the company B is using resource related billing, means that there is nothing to recognise

As regards to the course PLM230 - I teach that course and all PLM2xx and PLM3xx.

Regards

Virendra

[Former Member · Accepted solution]

Hi Virenda

Will ask about the course, if I can't get on a course do you know if this is covered in a book as a scenario, or anyone would have any notes from how they have implemented this type of scenario?

Many thanks

Wendy

[virendra_pal · Accepted solution]

Hi Wendy

Not sure about coverage in books - there are 2 good PS books - you can search this forum for relevant threads for book details

one by K Dowling

another by Mario Franz (SAP)

About people having notes I guess that is covered by IP and ethically I could not part with those.

I am sure any experienced PS consultant would have encountered such a scenario - you also need a strong CO and SD support for this.

Regards

Virendra

[Former Member · Accepted solution]

Virenda

Many thanks for all your help, points awarded.

[jason_barton · Accepted solution]

Virendra,

I am interested in your comment, "recognition woud be project specific and it would be possible to do that if the correct choices are made in the RA configuration". Could be reading things wrong, but this seems to contradict the point six in OSS NOTE 1341136 ...

Solution Section

6. On the basis of this intercompany order, you cannot perform an analysis of results for an individual project, a sales order and so on. Therefore, you cannot determine the contribution of a project to the intercompany result, for example.

Not trying to challenge your comment, more interested to hear your take on this as we have been setting up RRICB in our sandbox as per suggested SAP configuration and have hit a showstopper on this point. The issue we keep running into is also documented in the following link ...

[http://help.sap.com/saphelp_47x200/helpdata/en/f8/56e78ea009504bb584baa5ad3cb648/content.htm]

Specifically point 3 and 5 b. As the contract representing the sale to the requesting company code is assigned to itself (account assignment "E"), we cannot associate WBS to that contract. We run into issue as our profit center is not stored in our materials (plant view), and because of account assignment "E" we can't derive the profit center on the WBS in the project. Basically it is getting pulled from controlling area (the 'Dummy' entry).

Coming to the conclusion that you can't get project related view of things in RRICB as suported by work to date and note 1341136. Hoping I am wrong and you can provide some insight.

Thanks,

Jason

[jason_barton · Accepted solution]

My guess if your RA comments pertain to flag of "Cross-Comp.Valuation" in OKG2 for applicable RA version. At this rate, I think I may have to take your course.

Still interested though if you have any comments on my other post.

Thanks,

Jason

[virendra_pal · Accepted solution]

Hi Jason

By project specific I mean that the RA will be calculated for the complete project and not for part.

In the scenario the project will consist of top level WBS billing element linked to sales order with customer and then another WBS belonging to the supplying company code in the lower hierarchy linked to sales order to the internal customer. In the expert mode for RA configuration you can set the structure below the RA wbs element of what to include etc.

I am a bit confused by the item 6 - when it refers to an individual project? From my perspective the question is that can we calculate RA from the supplying company's view for the lower level WBS? And this is where I am suggesting that why is that necessary when we are talking about RRICB - is there anything to accrue or defer if I get my costs reimbursed with a mark up?

Regards

Virendra

[jason_barton · Accepted solution]

Okay, clear on your comment, and appreciate that.This comment fascinates me though, "In the scenario the project will consist of top level WBS billing element linked to sales order with customer and then another WBS belonging to the supplying company code in the lower hierarchy linked to sales order to the internal customer". In order to get RRICB to be read correctly in DP93 taking into consideration proper set up of DIP profile, etc. you need to have account assignment "E' in play. This prevents the use of a WBS on the contract and subsequently the sales order. Your suggested model is very different from what SAP documentation suggests for ECC 6.0. Again, not questioning you, just interested to know more as I have spent a lot of time recently modeling things in our sandbox environment, and have poured over the documentation many times.

My conclusion at this point is RRICB works, and works well. BUT, there are limitations in terms of how things are accounted for at the end of the day. If the gap between the business requirement and the system standard doesn't cut it, not much you can do - really the essence of OSS NOTE 1341136.

I am equally confused at item 6 (SAP documentation, not me). Further confusion in the fact you are suggesting the creation of a WBS at lower level, and SAP documentation suggesting there is no need for a project in this relationship. I have the suggested model in the link I posted previously working in our sandbox environment and admittedly I like what I see, just running into issues as the level of accounting that plays out in the scenario doesn't meet our the business requirement.

We spent a lot of time trying to resolve our profit center dilemma via EXIT_SAPLV46H_001, but couldn't get it to take. Our code was successful in deriving what we were looking for, but seemed to get trumped later on in the process.

Useful notes on the collective process I found ...

352261 VA01: Error message KI100

815972 PCA substitution for cross-company-code sale

916973 Part PCtr incorr in interco bill before ext billing

1410850 DP93: Service order on selection screen leads to VPK1 310

1341136 RRICB, classic FI, new G/L, CO and PCA

643838 Billing between company codes: Expense Reports and so on.

Any further insights are welcomed.

Thanks again,

Jason

[Former Member]

Re-opened to allow for the ongoing discussion, which is much appreciated

[jason_barton]

Wendy, although your question is marked as answered, I would suggest a read of note 1341136. Some valuable detail in that note as to what is possible with RRICB. There are limitations with this, and some you can't get around. Just FYI.

Thanks,

Jason

[nitin_patoliya]

There is only one option for this kind of requirement, when you don't want to do intra- company billing, you need to transfer employee from company A to Company B, till the duration of Project. ( I am not sure about payroll perspective as most of time payroll is not in SAP in this kind of scenario ; because after transfer question is for that duration of time transfered resource should get the pay a/c to their old company B and that amount should be paid by Company A ... if you does like in that case only you can avoid intra-company invoice/ billing )

Decision has to be taken in consultation with HR and SD and FI resource.

With Regards

Nitin P.