Enterprise model - multisite setup

If the Sites parameter is activated in the Implemented Software Components (tccom0100s000) session, parameter settings and master data related to business processes such as production, planning, warehousing, and order handling is specified by company, by site, or by warehouse and department.

Logistics flow

Various settings specified by company are used as default values for all sites, departments, and warehouses of the company. At an individual site, for various data you must specify whether the company data and settings must be used, or specific settings for the site can be specified.

For example, for site A you can specify that inbound warehousing data are defined at company level, and outbound data is specified at site level.

Similarly, most settings specified by site are used as default values for the related departments or warehouses, but you can replace these default settings with department or warehouse settings.

If you use company settings for a site, warehouse, or department, changes made to these company settings are updated to the site, warehouse, or department. You cannot change a company setting at a site, warehouse, or department.

Financial flow

To reflect the financial flow of an organization, you can define one or more financial companies for a company structure. A financial company can include multiple enterprise units.

The warehouses and departments of a site must be linked to an enterprise unit. The warehouses and departments for which a business unit is financially responsible are linked to the enterprise unit that represents the business unit.

This is to ensure that the financial transactions resulting from production, order handling, or logistic handling performed by the warehouses and departments are registered in the financial company of the enterprise unit.

Also, standard costs are specified by enterprise unit. If your business units use different standard costs, you must specify the standard cost by enterprise unit and link the warehouses and departments to the enterprise units.

The entities within a site can be linked to different enterprise units, or the entities within an enterprise unit can be linked to different sites. This depends on these factors:

  • The business unit that the enterprise unit represents
  • The financial company to which the financial transactions of the entities must be booked
  • The way the standard costs are set up
Example

An enterprise has two production plants located in different countries. To produce an end item, each production plant uses the same materials, which it buys from different external suppliers at different prices.

You can model this by defining two sites and linking receiving warehouses, production departments, purchase offices, and a ship-from warehouse to each site.

For each site, you can specify settings that apply to the warehouses, purchase offices, and production departments of the site.

To define the standard costs, the receiving warehouses of each site must be linked to different enterprise units.

For the purchased materials you can define the standard costs by enterprise unit and various item settings by site. For the finished item, you can also define site or office settings if the item properties are different from the global item properties.

Note

In addition to the item master data sessions at the global, company level, specific sessions are available to define item master data related to these entities:

  • Sites
  • Enterprise units
  • Planning clusters
  • Offices
  • Warehouses

See User Guide for Item Setup (Ucomitemsug_US).

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