FUNDS MANAGEMENT – CEHCK LIST

MAINTAIN FINANCIAL MANAGEMENT AREA

ASSIGN FINANCIAL MANAGEMENT AREA

 Assign company code to financial management area

 Integration of other components

FUNDS MANAGEMENT

 Activate Global Funds Management Functions

 Define global parameters

 Assign Fiscal Year Variant to FM Area

MASTER DATA

 Fund center

 Create/Change Hierarchy Variant

 Assign Hierarchy Variant to FM Area

 Fund Type

ALLOCATIONS TO ACCOUNT ASSIGNMENTS

 Select Derivation Steps

 Define Account Assignment Derivation

BUDGETING AND AVAILABILITY CONTROL

 Set Up Budget Profiles

 Assign Budget Profile to FM Area

FM & Inv Mgt. Config guidelines - checklist 1

  Budgeting (former budgeting

 Number Ranges
AVAILABILITY CONTROL SETTINGS

1 Define Tolerances for Availability Control

2 Define Specific Tolerances for Availability Control

FUNDS MANAGEMENT-SPECIFIC POSTINGS

 1 Define Field Status Variant

 2 Assign Field Status Variant to Company Code

 3 Define Field Selection String

 4 Define Document Number Ranges

 5 Define Document Types

ACTUAL AND COMMITMENT UPDATE/INTEGRATION

 1 General Settings – Assign update profile to FM Area

 2 Override Update Profile

 3 Make Other Settings

DEFINE NUMBER RANGES FOR ACTUAL TRANSACTIONS

1 Assign Number Range to FM Area

2 Activate/Deactivate Funds Management

3 Closing Operations / Enter Default Settings

4 Commitment Closing Operations

5 Create Number Range for Fiscal Year Change Document

FM & Inv Mgt. Config guidelines - checklist 2

 6 Enter Settings for Commitments Carry forward Payment Budget

FM & Inv Mgt. Config guidelines - checklist 3

 Investment Management
The Investment module in SAP FICO is used to control Capital
Expenditure within the organisation. It encompasses the entire capital
budgeting process across the units.(plants,cost center and more) in the
organisation.
PROGRAM TYPES
IMG 􀃆Investment Management 􀃆Investment
Programs 􀃆Master Data 􀃆Define Program Types

In this step you define program types. The program type

serves to classify investment programs and contains
important control information. When you create a program
definition, you have to assign each program to a program
type.

Investment Program definition is created thru T-code IM01

with reference to program type configured here.
Program type controls all parameters of Investment
management and entire Investment program structure
created (T-code IM01,IM02,IM12,IM32)
While doing Investment budgeting and budget distribution all
the parameters are checked with reference to Budget profile.

Define Budget Profiles for Investment Programs - OIBI

This configuration setting enables to define new

budget profiles. Through this configuration
1
􀃆Specify the parameters for new budget profiles

􀃆Change existing budget profiles.

To allocate budgets to your orders, you need to

create a user-defined budget profile, or use one
provided in the system.

FM Config guidelines - checklist 4

 1. Assign Budget Profile to Program Type

IMG 􀃆Investment Management 􀃆Investment

Programs 􀃆Budgeting in Program 􀃆Assign budget
profile to Program Type

This configuration setting enables to assign budget

profile to the program type.

This linkage of budget profile with program type

enables investment budgeting thru T-code IM32 with
reference to Investment program structure.
(Structure is created with reference to program type)

Define Number Range Interval - OK11

This configuration setting enables to define number

range interval for budgeting items. Each budgeting
item must have a number range.

Number range maintained here will be assigned to

the respective budgeting item and according to this
numbering, number will be assigned.

Screen layout for Asset Master Data (AUC)

IMG 􀃆Investment Management 􀃆Internal Orders

as Investment Measures 􀃆Master Data 􀃆Asset
Under Construction 􀃆Define Screen Layout for
Asset Master Data

This configuration setting enables to define screen

layout for Asset Master Data. It is required to
determine optional and mandatory fields in asset
master record for AUC master.

Screen layout determines which fields are required in

FM Config guidelines - checklist 5

 asset master record and whether they are
optional/can be copied. Also non-required fields can
be suppressed.

Define Asset Classes

IMG 􀃆Investment Management 􀃆Internal Orders
as Investment Measures 􀃆Master Data 􀃆Assets
under Construction 􀃆Define Asset Classes

This configuration setting enables to group assets

under the respective classes.

Asset class plays key role in asset accounting as it

controls entire asset accounting transaction thru
account determination, screen layout, number range
and its relevance with investment management.

Asset master records are always created with

reference to asset classes which determine all
values/layout for asset master record.

Define Asset Class Selection

This configuration enables to assign asset class in

chart of depreciation and its control parameters such
as account determination and asset class.

Follow the Menu Path: IMG 􀃆Specify Chart-of-

Dep.-Dependent Screen Layout/Acct Assignment

Define Order Types for Investment Management

Follow the Menu Path: IMG 􀃆Investment

Management 􀃆Internal Orders as Investment
Measures􀃆Master Data􀃆Orders 􀃆Define Order
Types

FM Config guidelines - checklist 6

 This configuration enables to create order types.
Order type is created to group orders such as
internal orders, investment orders, and production
orders and their respective further sub-categories
and usage.

E.g. Internal orders for Marketing, internal orders for

sales and promotion, investment orders for assets
linked to investment budgets.
Order type determines nature of orders, their
number range, its relevance with budgets with
assignment of budget profile and its relevance to
settlement profile.

Orders are created as master data with reference to

“order types” which determines whether orders are
internal orders or investment orders, their number
range and its relevance to budget and settlement
profile
Define Reasons for Investment
IMG 􀃆Investment Management 􀃆Internal Orders as
Investment Measures􀃆Master
Data􀃆Orders􀃆Allowed Values for Certain Master
Data Fields􀃆Define Reasons for Investment

In this step, you define the allowed characteristic

values for the master data field "investment reason.
The reason for investment allows you to classify
asset investments according to their purpose (for
example, as a replacement acquisition as an
addition).

You can define as many investment reasons as

needed. You store the characteristic values for the
investment reason in the asset master record (FI-AA)
or in the program positions (IM-FA). You can use
them as sort keys for reporting.

FM Config guidelines - checklist 7

 Define Scale

IMG􀃆Investment Management 􀃆Internal Orders as

Investment Measures􀃆Master
Data􀃆Orders􀃆Allowed Values for Certain Master
Data Fields􀃆Define Scale

In this step you define the entries allowed for the

"scale" master data field.
Using a scale, you can classify your investments
according to their size or scope. You can define any
number of scales. You can use the scale as a
selection criterion in reporting.
You enter the scale in the master record of the
program positions the measures and the
appropriation requests
The scale serves only to assist in classification.
The scale is not related to the plan values or the
budget values for the object in the system.

Define Investment Profile - OITA

IMG 􀃆Investment Management􀃆Internal Orders

as Investment Measures􀃆Master Data􀃆Define
Investment Profile
In this step, you define investment profiles. The
investment profile controls the following activities
(among others) when you create a capital investment
measure:
1 􀃆Creation of an asset under construction
belonging to the capital investment measure

1 􀃆Creation of the master data for the

depreciation simulation/forecast

You assign an investment profile to a capital

investment measure by means of the profile data in
the order or WBS element.

FM Config guidelines - checklist 8

 Budgeting for Investment orders OKOB
Transaction Code: OKOB
IMG 􀃆Investment Management 􀃆Internal Orders
as Investment Measures􀃆Planning and
Budgeting􀃆Maintain Budget Profile

Budget profile is created which controls budgeting

currency, time frame for budgeting, exchange rate
type and availability control.

Assign Budget Profiles to Order Types - KOAB

This configuration setting is required to assign

Budget Profile ZI0001 to order type Z650.

Order types are assigned to budget profile so that budgeting can be

done with reference to Investment Orders.
Define Tolerance Limits for Availability Control
IMG 􀃆Internal Orders as Investment
Measures􀃆Planning and Budgeting􀃆Define
Tolerance Limits for Availability Control

This configuration enables availability control for

each budget profile. You can define one or more
tolerance limits for the different activity groups
within a budget profile.
When these tolerances are reached, you can have the
system trigger specific actions (warning, warning
with Mail, error message).

With this setting, if we create the transaction(PO or

FI entry) which is assigned to Investment Order and if
transaction values are more than 90% of budgeted
values, then system gives warning.
If transaction values are more than 100% of budgeted
values, then system gives error.

FM Config guidelines - checklist 9

 Settlement of Investment orders:-
IMG 􀃆Investment Management 􀃆Internal Orders
as Investment Measures􀃆Settlement􀃆Maintain
Settlement Profiles

This is period end closing activity wherein, all

investment orders are settled to first AUC.
If work is completed and final fixed asset is created
then, AUC is settled to Fixed Asset.
Settlement is done thru KO88 for investment orders
and this settlement profile controls all parameters for
GL accounts, receivers for settlement

FM Config guidelines - checklist 10