Example for Functional Area Master Data in Private Company

[Former Member]

Hi Expert

From my ERP experience with the State Enterprises, there are obvious dimensions to segregate the Functional Area Master Data of each Fund.

Such as the School Business, sometime they use Functional Area to divide the fund to use with Education Activity, Research Activity and Other Social Services Activity. This dimension oftenly have the direction from the government to be divided.

Could you please advice for example of Functional Area Master Data to be applied with the Private Company? I need to provide more example for my client to apply the Functional Area to use with, due to they are the independent firm that would like to use Functional Area.

Rgds,

Ton

[iklovski · Accepted solution]

Hi,

In private sector you might have similar segregation. For example, I was involved in the project where functional area was used to distinguish R&D expenses from operational expenses on the same fund. I.e. if you can always look at this as additional dimension in your budget management framework, if other dimensions are not sufficient for the efficient reporting. However, you should also bear in mind, that functtional area has other functions (sorry for tautology) which lie more in financial and not budgetary domain.

Regards,

Eli