In this video, Aether Consulting Senior Implementation Consultant Ellen Maier shows us the capability of SAP Business One for companies that need to break out their financials by company/division/branch and just as easily view them at a consolidated level in a single database. Ellen provides implementation tips by diving into the application to show segmented chart of accounts, cost centers, and branches in SAP Business One 9.1.
Link to video: https://youtu.be/Og731bL4qAA
You can also run multiple companies in SAP Business One, which would have a separate database for each company. Then you would use other methods to consolidate the companies into a single financial statement. But this presentation focuses only on financial setup options when using a single database.
– For companies that purchased SAP Business One but have not implemented yet
– The business has multiple companies/divisions/branches that you need to manage financially in the software and want to do so in one database
– The business wants to produce consolidated financial statements
– The business wants to drill into the detail of revenues and expenses by branch, division, and department
Segmented Chart of Accounts
– Determine account segments based on business processes and financial reporting needs
– Use the 4 default account segments, or define up to 10
– Segments can represent divisions, departments, regions, lines of business, entities, branches etc.
– Once created, you cannot change the length or type of a segment later on
– Prevalent financial method used in Europe
– Reduces the number of general ledger accounts that need to be maintained
– Use dimensions to group cost centers together
– Use distribution rules to allocate direct and indirect costs and revenues to cost centers
– Create sales and purchasing transaction for a dedicated branch
– Reporting by branch, e.g. profit and loss statement per branch
– Warehouse management per branch
– Restrict usage of business partners by branch
– All financial transactions will be separated by branches
SAP Business One brings incredible power and flexibility to companies that need to easily break out their financials by company/division/branch, etc., and just as easily view them at a consolidated level. About Aether Consulting: Aether is an SAP Business One value-added reseller in Goodrich, Michigan. We sell, install, implement, train and support our customers on SAP Business One.