Budget structure mapping

[atif_farooq]

Hi:

Client communicated me that it changed its budget structure on as soon as new fiscal year starts. Furthermore it has come up with rather a surprising requirement which has forced me to use budget structure feature in FM-BCS. Client gives a lump sum budget to different department of 5 schools in Universities. Eg. School XYZ has3 departments  client allocates lump sum amount for each of these three departments i-e 12 M given to fund center created for dept 1 of school XYZ. Now the dept 1 may have 5 departments in it which we will represent in Cost center. I will create 5 fund centers for them too but they will derive their budgets from fund center of dept 1. So every time there is budget consumption postings for these fund centers there budget will be derived from their dept 1 fund center. For this particular requirement i need to activate Budget structure in FM-BCS. Am i right ?

Regards

[iklovski · Accepted solution]

Hi Atif,

You don't need (as you can manage it also via AVC control objects strategy), but you'd better.

Regards,

Eli

[atif_farooq]

Hi Eli:

I have not worked on AVC Control objects in detail yet. Can you please elaborate it a bit more.

Thanks

[iklovski]

You can define similar strategies for AVC, deriving superior fund centre, for example. Please, read SAP documentation on this.

[atif_farooq]

Hi Eli:

In this scenario , if i activate budget structure then can we see budget consumption report sub fund center wise. I-e budget was assigned to its top fund center and the assigned budget is consumed by its sub fund center or subordinate fund centers. So can we draw report based on sub fund centers. What are the reporting disadvantages if we activate budget structure. Can you please share your experience ?

Regards

[iklovski]

Hi Atif,

You will see consumption on sub-fund centres and the budget on the top. Budget structure is SAP solution to the cases like you described, so speaking of disadvantages is a bit tricky. There are no disadvantages as such; maybe, a solution could be more elegant, but that's the one we have in PSM-FM.

Regards,

Eli