Multisite overview

In an enterprise structure, parameter settings and master data related to business processes are specified by company, enterprise unit, warehouse and department.

If the multisite concepts are activated in the Concept Activation (tcemm4600m000) workbench session, item data and other master data are also specified by site.

Sites are used to group data and settings. Together with enterprise units, sites are on a level between the company and the warehouse or department level. Enterprise units reflect the financial flow, and sites reflect the logistics flow of the business processes of an organization.

If the multisite concepts are not activated, sites are unavailable and you can specify only global, that is, companywide settings, or local warehouse and department settings.

Company structure

A company structure can include multiple logistic and financial companies.

A logistic company can include multiple sites, enterprise units, warehouses, and departments. A financial company can include multiple enterprise units.

The warehouses and departments of a logistic company are linked to a site to reflect the logistics or production flow, and to an enterprise unit to reflect the financial flow.

Note: 

The current topic primarily discusses the setup of multisite enterprise structures within a logistic company. See User Guide for Multisite Company Structures for information about enterprise structures that consist of multiple logistic and financial companies.

You can use the Enterprise Model Workbench (tcemm8350m000) session to view the hierarchical structure of an enterprise, and view the locations of the entities on a scalable map.

Sites - logistics flow

To reflect the production and logistics flows of a company, warehouses and departments are linked to a site.

A logistic company can include multiple sites, and a site can include multiple warehouses and departments. Consequently, parameter settings and master data related to business processes are specified by company, by site, or by warehouse and department. These business processes include production, planning, warehousing, and order handling.

Parameter settings by subentity are available at the company level and at the site level.

Enterprise units - financial flow

To reflect the financial structure of a company, a financial company can include multiple enterprise units, and an enterprise unit can include multiple warehouses and departments.

Financial management is performed centrally for an entire organization or locally for one or more business units. These business units are modeled as enterprise units.

The warehouses and departments for which a business unit within a legal entity is financially responsible are linked to the enterprise unit that represents the business unit. The financial transactions resulting from logistic transactions by the warehouses or departments within a site are registered in the financial company of the enterprise unit. Within a financial company, segment reporting can be used to create a balancing trial balance by enterprise unit.

Standard costs

Standard costs are specified by company or 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.

Item data

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.

Order data

Production orders, warehousing orders, sales orders, service orders, and purchase orders include references to the sites and departments for which these orders are created.

Planning clusters

If Enterprise Planning is implemented, logistics and production planning is based on planning clusters. Sites are grouped by planning cluster within the company. A planning cluster can include multiple sites, and a site can be linked to one planning cluster.

Note: Site-related sessions and fields are available only if the multisite concepts are activated in the Concept Activation (tcemm4600m000) workbench session. To adopt multisite functionality in a multicompany or single company environment previously without sites, you must carry out a site activation process if your current LN version was migrated from an older version previously without sites. See User Guide for Site Activation.