Departments (tcemm1124m000)

Use this session to view and maintain the department's enterprise modeling data.

You can:

  • Change the enterprise unit to which you assigned the department in the Departments (tcmcs0165s000) session if this is required.
  • Indicate that you want to use central purchase invoice matching for the department.

Before you can use this session, you must enter the department's logistic data in the Departments (tcmcs0565m000) session.

 

Operational Company

The operational company to which the department belongs.

Department Type

The department type determines the types of orders and transactions that the department can control.

Allowed values

Department type

Department

A company's organizational unit that carries out a specific set of tasks, for example, a sales office or a purchase office. Departments are assigned number groups for the orders they issue. The department's enterprise unit determines the financial company to which the financial transactions that the department generates are posted.

Enterprise Unit

The enterprise unit to which the department is assigned. The financial transactions that result from the orders handled by the department are posted to the financial company that is linked to the department's enterprise unit.

Note

Once you have set up the multisite structure, you cannot change the existing links between key entities, enterprise units, and financial companies, for the following reasons:

  • In many countries it is illegal to change the enterprise units because this affects the financial reporting of profits and loss.
  • Technically, it is only possible to change the enterprise unit if there are no open entries for the enterprise unit. For performance reasons, LN does not check the complete database for open entries, but always assumes that open entries exist.
Intercompany Trade Classification

An attribute consisting of a code and a description that is used to create groups of entities or enterprise units. To create a group, a number of entities or enterprise units is linked to an intercompany trade classification. These groups can be used to define intercompany trade relationships.

Example

A large international organization includes these enterprise units:

In Europe

  • UK
  • France
  • Belgium

In Asia

  • India
  • China
  • Japan

Trade classification Europe is linked to the European enterprise units and trade classification Asia is linked to the Asian enterprise units. You can set up trade relations, for example to define different trade agreements in Europe and Asia, such as:

  • Asia to Europe
  • Europe to Asia
  • Asia to Asia
  • Europe to Europe

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