One FM area or different FM area

[former_member591817]

Hello All,

We have FM implemented for one company code and now creating another company code. Controlling area for both the company code is different. Nomenclature of Profit Center and Cost center is same for both the companies. Please suggest whether we should use same FM area and different FM area. We want to have different fund hierarchy and reporting for both the companies.

Thanks in Advance

[iklovski · Accepted solution]

Hi,

It depends whether your budget management is centralised for two company codes or not. If it is managed centrally and you foresee transfers of credits or reassignment of consumption between the two entities, then it would be better to have a common FM area. However, if there is no budget interaction between the two, then make it separate.

Regards,

Eli