Multiple Unit Coordination (MUC)

The multiple unit coordination installation allows to handle several legal units when a company consists of more than one legal unit. It can cover divisions in different countries, including the different currencies required. Local currencies can also be used for separate divisions in the same country.

The MUC structure

In its simplest form, an M3 company consists of one legal unit (one division). There is one general ledger for financial purpose and there can be an optional number of facilities and warehouses used for physical flows. For many customers, however, one legal unit is not sufficient.

Instead of setting up parallel companies, which would require double maintenance, the MUC structure allows you to set up M3 as a multiple unit coordination installation.

All financial transactions take place at the division level, which means there is one general ledger per division. One or more facilities are connected to each division, and each division in turn is connected to one or more warehouses.

All physical transactions in M3 take place in a facility and warehouse. The connection to the division ensures that all financial transactions will end up in the right general ledger automatically. A sample structure is illustrated below:

Division AAA has one facility with two warehouses. Division BBB has two facilities, each with one warehouse.

Note: Consolidated data (Division CON) and the central file (Division blank) should not be in one division. You should always define two different divisions for these purposes.

Using Divisions and Facilities

Typically each division is a separate legal unit with its own general ledger and finances. It does not have to be set up that way, but the maintenance of the finances becomes easier.

A number of example setups are described below, where divisions and facilities are used for different purposes based on their different roles within a group of companies.

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