ORGANISATIONAL STRUCTURE

1.ENTERPRISES STRUCTURE

1.DEFINITION
1.DEFINE COMPANY EX:-- toyota,nippon,tata,lg

2 DEFINE COMPANY CODE EX- nippon,toyota(company)----company

code---> 1.tata motors 2.tata salt 3.tcs 4.tata steels 5.tata infra

3.DEFINE BUSINESS AREA - tamo (company code)----> only in

india
ex :-- only india b.area 29state and
7u.t-- tamil nadu,kerala,up,m.p,w.b

IT IS DEFINE AS THE AREA

WHERE THE COMPANY DONE THERE
BUSINESS,ONE COMPANY CAN HAVE
MANY BUSINESS AREA
IT IS ALSO CALLED AS location.
4. DEFINE CONSOLIDATED-BUSINESS AREA -
IT IS USED FOR CONSOLIDATION
PURPOSE EG STATE WISE,REGION WISE
ex. north india,south india,west
india,eastindia.
5.DEFINE CREDIT CONTROL AREA --
IT IS USED TO CONTROL THE CREDIT FOR
THE CUSTOMERS.
6.DEFINE FUNCTIONAL AREA ---
EG PRODUCTION,SALES,FINANCE,HR.
7.FINANCIAL MANAGEMENT AREA --
IT IS ONLY USED TO DEFINE THE CURRENCY OF THE company code.

2. ASSIGNMENT
1. ASSIGN COMPANY CODE TO COMPANY
1.tata motors (tamo) ---TATA Company
2.tata salt TASL ---- TATA Company
3.tcs TCS ---- TATA Company
4.tata steels TAST --- TATA Company
5.tata infra TAIN---- TATA Company
2. ASSIGN B.AREA TO CON.B.AREA

s.i--- tn,kl,ka,ap,te,pondy
n.i--j&k ap,up Urakhand
3. ASSIGN COMPANY CODE TO CREDIT
CONtrol.AREA

75crs(tacc)---TAMO
4. ASSIGN COMPANY CODE TO FIN.MANG.AREA
tamo--- inr(tafm)

2.) FINANCIAL ACCOUNTING GLOBAL SETTINGS (FAGS)

1.FISCAL YEAR -- IT IS USED TO DEFINE THE FINANCIAL YR OF THE COMPANY
1.) CALANDER YEAR -- JAN TO DEC FIXED
2.) YEAR DEPENDENT -- IT MAY CHANGE ACCORDING TO THE COUNTRY EG
IN INDIA APR TO MAR,
JUL TO JUNE IN AUS
IF WE SELECT YEAR DEPENDET THEN WE HAVE TO DEFINE OUR PERIODS.
PERIODS -- IT IS CALLED AS MONTHS (12-MONTHS - IN SAP IT IS 12 PERIODS)
AND ALSO WE HAVE TO USE YEAR SHIFT -1 FOR FOLLOWING YEAR(next year) & 0 FOR SAME
YEAR.

2 POSTING PERIODS
IT IS MAILY USED TO DEFINE WHICH PERIOD NEED TO OPEN AND CLOSE AND WHICH A/C TYPE
SHOULD HAVE TO OPEN
ACCOUNT TYPES - IT IS PREDEFINED IN SAP WE HAVE TO FOLLOW BASED ON OUR NEED.

1.)+ (SYMBOL)---IT IS USED TO ACTIVATE ALL A/C TYPES

2.)A-- ONLY FOR ASSET
3.)D-- CUSTOMER
4.)K -- VENDOR
5.)M --- MATERIAL
6.)S --- GENERAL
7.)V -- CONTRACTOR

IT IS A SINGLE CHARCTER WE HAVE TO USE + WITH ALL OTHER TYPES OR WE CAN USE + ALONE
BASE ON THIS A/C TYPE DOCUMENT TYPE IS DEFINED DOC TYPE ALSO PREDEFINED IT HAS 2
CHARACTERS
1.) AA -ASSET
2.) SA -GENERAL AND SO ON

3. NO RANGES FOR GENERAL ENTRIES

EG S.NO 01 2018 1 TO 10000

GENERAL ENTERIES - SALARY,TRAVEL EXPENSES,RENT.

2 TYPES 1.AUTOMATIC,2.MANAUAL

4 FIELD STATUS - IT IS MAINLY USED TO DEFINE WHICH FIELDS ARE

TO BE
REQUIRED,
OPTIONAL,
HIDE.
FIELD STATUS
SHOULD DEFINED WHILE CREATING G/L ACCOUNT ITSELF FOR
EVERY G/L ACCOUNT IT IS MANADATORY TO GIVE FIELD STAUS.
THERE ARE 41 DIFFERENT FIELD STATUS THEY ARE PREDIFIEND.
99.9% ALL USE THESE 41 ONLY OR IF WE NEED ANY NEW WE CAN
ABLE TO CREATE.

0001 default fiels status

5 TOLLERENCE FOR EMPLOYESS.

IT IS NOTHING BUT FIXING LIMIT FOR EMPLOYES ACCORDING TO THEIR DESIGNATION
BY USING AMT AS LIMIT.

WE CAN CREATE DIFFERENT TOLLERENCE GROUP ACCORDING TO OUR REQUIREMENT

EG MANAGER--- 500000
T.L ---- 300000
END USER 250000.
 POSTING KEYS
IT IS 2CHAR NUMERICAL WHICH IS USED TO DEFINE WHICH IS DEBIT & CREDIT INSTED OF DR
CR IN SAP NUMERICAL CHAR NEED TO USE
ALL ARE PREDEFINED.
40 DEBIT GENeRAL
50 CREDIT GENERAL
01 CUSTOMER
31 VENDOR
70 ASSET DEBIT
75 ASSET CREDIT

3.) CHART OF ACCOUNTS

IT IS CALLED AS HEAD OF ACCOUNTS

IT IS MAINY USED TO CONTROL THE ACCOUNTING ACTIVITY,BASED ON CHART OF ACCOUNTS ALL

ACCOUNTING ACTIVITY SHOULD HAPPEN

3 TYPES
1 ORGANISATIONAL COA ---- IT USED FOR DAY TO ACTIVITIES
2 COUNTRY SPECIFIC COA -- IT CREATED TO FULLFILL LEGAL ENTITIES OF THE COUNTRY
3 GROUP COA -- MAILY USED FOR CONSOLIDATION PURPOSE

ACCOUNT GROUP CREATION

IT IS MAIN LEDGER WHERE G/L ARE GOING TO BE CREATED BASED ON THIS
EG FIXED ASSET - A/C GROUP
1.BUILDING -- G/L
2. PLANT -- G/L
3. MACHINEARY G/L
CURRENT ASSET ---bank,sun.dr
CURRENT LIABILITY --- sun.cr,loans

CREATION OF GL

IT IS MAINLY BASED ON THE COA & ACCOUNT GROUP

WE CAN CREATE G/L BASED ON THE ACCOUNT GROUP CREATED

EG FIXED ASSET - A/C GROUP

1.BUILDING -- G/L
2. PLANT -- G/L
3. MACHINEARY G/L

RETAINED EARNINGS A/C

IT IS CALLED AS BALANCE CARRY FORWARD A/C
BY DEFAULT WE NEED TO GIVE XX AS NAME AND MAXIMUM NO FOR A/C NO
EG NAME XX A/C NO 9999999999

THE MAJOR WORK OF RETAINED EARNINS A/C IS TO CARRY FORWARD THE NET LOSS OR PROFIT
FROM P&L A/C TO BALANCESHEET ACCOUNT.
IN SAP IT IS NOT DONE AUTOMATICALLY INSETAD OF THAT RETAINED EARNING A/C IS USED
WHEN P&L A/C IS GENERATED THAT LOSS OR PROFIT GO TO R.E.A/C 21000 loss
WHEN BALANCE SHEET IS PREPARED IT WILL CHECK IN R.E.A/C AND TAKE THAT TO LIABILTY
IN BALANCSHEET