How to Integrate FI-AA with the New G/L for Segment Reporting

  • by Aylin Korkmaz, Manager, Accenture UK
  • January 15, 2006
With the new general ledger (G/L), you no longer need custom programs or user exits to obtain the asset balances for segment reporting. Instead, you can update profit center/segments details for all asset transactions and depreciation postings in the new G/L. Find out what settings you need to make in Asset Accounting (FI-AA) to make it happen.
Key Concept

Costs and quantities are posted to account assignment objects. In any SAP system, the account assignment objects in asset transactions are generally derived from the assigned cost object in asset master data, such as cost center and internal order. The new G/L introduces new account assignment objects, like segment or profit center, which are not possible to maintain on the asset master data directly.

Asset Accounting (FI-AA) in the new G/L requires special configuration methods for segment reporting to satisfy diverse asset accounting requirements. I will explain the prerequisite settings in FI-AA to get balanced books at the profit center/segment level and show how splitting and balancing functions of new G/L are supported by FI-AA.

Activating and configuring account assignments objects is the key to successful segment reporting with the new G/L. While most people are familiar with the link between FI-AA and Cost Center Accounting or internal orders, fewer may know how to derive the segments and profit centers to ensure that the new G/L balances in mySAP ERP. They are either derived automatically from cost objects in the asset master data or the cost objects entered during the postings. I’ll show how to set up the system to enable this functionality.

The account assignment objects were limited in the old releases. The following account assignment objects became available in the asset master record with SAP R/3 Enterprise Core 4.70 (SAP_APPL 470):

- Funds center

- Funds center for investment purposes

- Functional area

- Functional area for investment purposes

- Fund

- Fund for investment purposes

- Grant

- Grant for investment purposes

- Real estate object

- Work breakdown structure (WBS) element (for costs)

Note that profit center and segment are not on the list. These cost objects were derived from the available account assignment objects or entered manually during the posting. For example, if cost center were active, you could derive profit center details from the cost center master data and segment detail from the profit center maintained in the cost center. Once the account assignment objects are configured to get the profit center/segment details to new G/L, however, splitting and balancing are done online and there is no need to wait for closing to get segment reporting.

 

Aylin Korkmaz

Aylin Korkmaz is a manager in Accenture’s Global Energy practice specializing in finance streamlining and management reporting. She has seven years of experience working in global multi-stream projects containing challenging business process designs and change management issues. Aylin has deep process architecture and design skills, and is one of Accenture’s leading practitioners in the area of Financial and Strategic Enterprise Management modules. She has led design and configuration teams within complex SAP solution environments and delivered cutting-edge finance and business intelligence solutions.

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