Enterprise structure for SAP FICO is basically classify into the following two steps
-A portal of enterprise hierarchy -Organizational structure that represent an enterprise in SAP system
It has initially some units that have some legal units and some business related units. Enterprise structure is responsible for the specific business functions that are company, company code, and business area. These all are organizational units in SAP system. To work in this system one bust have the complete understanding of all of these business functions. Here below we will define the mentioned units in steps for the interest of our audience.
It is the elementary and smallest unit structure for which the individual financial statements are drawn for the relevant commercial laws. In SAP the term are relatively different as Group Company have sole name that is company. A company normally has one or more than one company codes. All company codes within the organization belong to same fiscal year.
This terminology is used in financial accounting and its is its smallest basic unit for a complete set of accounts is drawn and its function is to handle the external reporting. Account working in this units are self contained. It works for relative transactions and generate supporting documents that are required for financial statements. These are alpha numeric codes and its limit is four. This code is basically entity.
This term is also organizational unit of financial accounting that is representative of separate area of operations. All values that are variable and changes time to time can be recorded in the financial accounting and room for that is allocated.
In this working system a facility is provided in which you can create financial statements for business areas, and you can also use these statements for various internal reporting purposes. Business area is usually used for external segment reporting.
To master all these terms and to save your data from your security risks, one must get video training of SAP FICO Training and SAP GRC Training. This video based training is offered by the SAP and it is professional video based training.
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