1.1 - Structure V1 JB

Phase 1.1: Financial Accounting

Structure Development and Configuration of Global Bicycle Incorporated 2.0

Focus

Financial Accounting

Prerequisites

Read Global Bicycle Incorporated 2.0 Story

Version

1.0

Revised

May, 2012

This material was prepared with the assistance of student interns at the Seidman enterprise

resource planning program at Grand Valley State University under the supervision of Dr.

Simha R. Magal.

Phase 1.1: Financial Accounting Structure Version 1.0

Page 2

Table of Contents

Task 1: Define Company Code ....................................................................................................... 3

Task 2: Define Empty Chart of Accounts ....................................................................................... 5

Task 3: Maintain Controlling Area ................................................................................................. 6

Task 4: Assign Controlling Area to Operating Concern ................................................................. 7

Task 5: Define Business Area ......................................................................................................... 8

Task 6: Define Credit Control Area ................................................................................................ 9

Task 7: Enter Global Parameters .................................................................................................. 10

Task 8: Assign Permitted Credit Control Areas to Company Code ............................................. 11

Task 9: Maintain Field Status Variants ......................................................................................... 12

Task 10: Assign Company Code to Field Status Variants ............................................................ 13

Task 11: Define Account Group ................................................................................................... 14

Task 12: Define Retained Earnings Account ................................................................................ 18

Task 13: Assign Company Code to Controlling Area .................................................................. 19

Task 14: Create Standard Hierarchy ............................................................................................. 20

Task 15: Change Standard Hierarchy ........................................................................................... 22

Task 16: Copy G/L Accounts ....................................................................................................... 26

Task 17: Run G/L Accounts List .................................................................................................. 27

Task 18: Create Primary Cost Elements ....................................................................................... 29

Task 19: Create Secondary Cost Elements ................................................................................... 31

Task 20: Create Cost Element Groups .......................................................................................... 30

Task 21: Create Statistical Key Figure ......................................................................................... 32

Task 22: Maintain Company Code for Material ........................................................................... 33


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Task 1: Define Company Code

Description: In this task, you use a company code equivalent to US## where ## is your two-

digit identifier assigned by your instructor.

Navigation: (In the main menu of SAP, click on the black arrows on the left of these names) SAP

menu Tools Customizing IMG Execute Project (double-click on “Execute Project”)

In the “Customizing: Execute Project” screen, click on the “SAP Reference IMG” icon.

(Click on the black arrows on the left of these names) SAP Customizing Implementation Guide

Enterprise Structure Definition Financial Accounting Edit, Copy, Delete, Check

Company Code (click on the “IMG – Activity” icon)

In the “Choose Activity” pop-up, double-click on “Edit Company Code Data”.

Warning: When working with other classmates at the same time in the same transactions within

“SPRO”, tables will tend to lock up and you will only be able to display them. This is due to the

fact that the system will not let multiple users in the same transaction at the same time. To get

passed this message, wait until the current user in the transaction is finished and then proceed.

Screen Name Transaction Code

Change View “Company Code”:

Overview

Tasks and Data Entry:

In the “Change View “Company Code”: Overview” screen, click on the icon.

In the “New Entries: Details of Added Entries” screen, enter the following information:

Attribute Description Data Value

Company Code Your company code. US##

Company Name Company Name ## Global Bike Inc.

City City where your company is

addressed.

Dallas

Country Country US

Currency Currency used in business. USD

Language Main language spoken used by

business.

EN

Click on (ADDRESS).

In the “Edit address: US##” pop-up, in the “Title” field, click on the downward arrow to the

right and then click on “Company”.


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Enter the following information:


Name Company Name ## Global Bike Inc.

Search term 1/2 Term you define to make it easier

to search for your company’s

information.

##

Street Street of company’s address. North O’Conner Boulevard

House number Number of company’s address. 5215

Postal Code Postal code where company is

addressed. 75039

City City where your company is

addressed.

Dallas

Country Country US

Region The state where the company

is addressed.

TX

Click on the icon at the bottom right-hand corner of the “Street Address” part.



Jurisdict. code Indication of how this company

will pay taxes. We have

predefined the code to the left

and made it tax exempt.

TX0000000

Click on (COPY (ENTER)).

In the “New Entries: Details of Added Entries” screen, click on the icon.

In the “Edit address: US##” pop-up, click on the icon.

In the “New Entries: Details of Added Entries” screen, click on the icon.

In the “Choose Activity” pop-up click on the icon.

Follow Up: None.


Page 5

Task 2: Define Empty Chart of Accounts

Description: A company may use a single chart of accounts when operating in a single country.

Navigation: (Click on the black arrows on the left of these names) SAP Customizing

Implementation Guide Financial Accounting (New) General Ledger Accounting (New)

Master Data G/L Accounts Preparations Edit Chart of Accounts List (click on the

“IMG – Activity” icon)






Change View “List of All Charts

of Accounts”: Overview


In the “Change View “List of All Charts of Accounts”: Overview” screen, click on the

icon.



Chart ofAccts Your chart of accounts. GL##

Description Description of your chart of

accounts

## GBI Global

Length of G/L account number Length of G/L account

number

6

In the “Maint.language” field, click on the downward arrow to the right and then click on

“English”.

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 6

Task 3: Maintain Controlling Area

Description: In this task, you will create an organizational structure to process costs.


Implementation Guide Enterprise Structure Definition Controlling Maintain

Controlling Area (click on the “IMG – Activity” icon)

In the “Choose Activity” pop-up, double-click on “Maintain Controlling Area”.






Change View “Basic data”:

Overview


In the “Basic data”: Overview” screen, click on the icon.



Controlling Area Identifies a controlling area. NA##

Name Name of the controlling area. ## GBI North America

Currency Type Currency type defined for a

controlling area.

10

Currency Currency key for amounts in

the system.

USD

Chart ofAccts Key that uniquely identifies a

chart of accounts.

GL##

Fiscal Year Variant The fiscal year variant is used

to define the fiscal year.

K1

In the “CoCd->CO Area” field, click on the downward arrow to the right and then click on

“Cross-company-code cost accounting”.

Click on (SAVE).

Click on (EXIT).

In the “Exit maintenance” pop-up, click on the “Yes” icon.

In the “Choose Activity” screen, click on the icon.

Follow Up: None.


Page 7

Task 4: Assign Controlling Area to Operating

Concern

Description: In this task, you will be assigning your controlling area to your operating concern.

Be sure to review previous steps to locate your correct controlling area and operating concern to

be assigned.


Implementation Guide Enterprise Structure Assignment Controlling Assign

controlling area to operating concern (click on the “IMG – Activity” icon)






Change View “Assignment

Operating concern -> CO Area”:

Overview


In the “Change View “Assignment Operating concern -> CO Area”: Overview” screen, enter

the following information:

COAr Name OpCo

NA## ## GBI North America GL00

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 8

Task 5: Define Business Area

Description: In this task, you will create the business area for GBI. Business areas are used for

financial reporting and analysis, as the financial statements can be structured based on the

different business areas within a company.


Implementation Guide Enterprise Structure Definition Financial Accounting Define

Business Area (click on the “IMG – Activity” icon)






Change View “Business areas”:

Overview


In the “Change View “Business areas”: Overview” screen, click on the icon.

In the “New Entries: Overview of Added Entries” screen, enter the following information:


Business Area Key identifying a business

area.

BI##

Description Business area description. ## Bikes

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 9

Task 6: Define Credit Control Area

Description: In this task, you define a credit control area.


Implementation Guide Enterprise Structure Definition Financial Accounting Define

Credit Control Area (click on the “IMG – Activity” icon)






Change View ““Credit Control

Areas””: Details


In the “Change View ““Credit Control Areas””: Details” screen, click on the

icon.



Cred.Contr.Area Your credit control area. GL##

Currency Your credit control area

currency.

USD

Update The credit update controls. 000012

FY Variant Calendar Year K4

Click on (SAVE).

Click on (BACK).

In the “Change View “”Credit Control Areas””: Overview” screen, enter the following

information:

CCAr Description

GL## ## Global Bike Inc.

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 10

Task 7: Enter Global Parameters

Description: In this task, you are going to assign your company code to the chart of accounts.


Implementation Guide Financial Accounting (New) Financial Accounting Global Settings

(New) Global Parameters for Company Code Enter Global Parameters (click on the

“IMG – Activity” icon)






Change View “Company Code

Global Data”: Details


In the “Change View “Company Code Global Data”: Overview” screen, highlight the “US##

Global Bike Inc. Dallas US USD EN” row by clicking on the empty box to the left of it.

Click on (DETAILS).

In the “Change View “Company Code Global Data”: Details" screen, enter the following

information:


Chart ofAccts Key that uniquely identifies a

chart of accounts.

GL##

Credit Control Area An organizational entity

which grants and monitors a

credit limit for customers.

GL##

Fiscal Year Variant Used to define the fiscal year. K1

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 11

Task 8: Assign Permitted Credit Control Areas to

Company Code

Description: In this task, you assign your credit control area to your company code.


Implementation Guide Financial Accounting (New) Accounts Receivable and Accounts

Payable Credit Management Credit Control Account Assign Permitted Credit Control

Areas to Company Code (click on the “IMG – Activity” icon)






Change View “Permitted Credit

Control Areas per Company

Code”: Overvie


In the “Change View “Permitted Credit Control Areas per Company Code”: Overvie” screen,

click on the icon.


Company Code Cred.Contr.Area

US## GL##

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 12

Task 9: Maintain Field Status Variants

Description: In this task, you create a field status variant with your different account types.


Implementation Guide Financial Accounting (New) Financial Accounting Global Settings

(New) Inflation Accounting Assignment of Inflation Indexes to Line Items Maintain

Field Status Variants (click on the “IMG – Activity” icon)






Change View “Field status

variants”: Overview


In the “Change View “Field status variants”: Overview” screen, click on the icon.


FStV Field status name

GL## ## Field Options

Click on (SAVE).

Highlight the “GL## ## Field Options” row by clicking on the empty box to the left of it.

Double-click on “Field status groups”.

In the “Change View “Field status groups”: Overview” screen, click on the

icon.


Field status group Text

ZEXP ## Expense Accounts

ZGBS ## General Balance Sheet Accounts

ZMMA ## Material Management GR/IR Accounts

ZRAA ## Reconciliation Accounts

ZREV ## Revenue Accounts

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 13

Task 10: Assign Company Code to Field Status

Variants

Description: In this task, we will assign the field status variant to your company code.


Implementation Guide Financial Accounting (New) Accounts Receivable and Accounts

Payable Business Transactions Internal Transfer Posting Make and Check Document

Settings Assign Company Code to Field Status Variants (click on the “IMG – Activity” icon)






Change View “Assign Company

Code -> Field Status Variant”:

Overview


In the “Change View “Assign Company Code -> Field Status Variant”: Overview” screen,

enter the following information:

Co… Company Name City Fld stat.var.

US## ## Global Bike Inc. Dallas GL##

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 14

Task 11: Define Account Group

Description: The account group determines the interval in which the account number must be;

which fields are required; optional entries when creating and changing master records; and which

fields are suppressed when creating and changing master data.



Master Data G/L Accounts Preparations Define Account Group (click on the “IMG –

Activity” icon)






Change View “G/L Account

Groups”: Overview


In the “Change View “G/L Account Groups”: Overview” screen, click on the

icon.


Chrt/Accts Acct Group Name From acct. To account

GL## BS ## Balance Sheet Accounts 100000 399999

GL## FA ## Fixed Assets 220800 300000

GL## LA ## Liquid Assets 100000 101999

GL## MA ## Material Accounts 200000 200600

GL## PL ## Profit & Loss Accounts 400000 999999

GL## RA ## Reconciliation Accounts 110000 310000

Click on (ENTER).

Highlight the “GL## BS Balance Sheet 100000 399999” row by clicking on the empty box to

the left of it.

Click on (EDIT FIELD STATUS).

In the “Maintain Field Status Group: Overview” screen, double-click on “Account control”.


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In the “Maintain Field Status Group: Account control” screen, enter the following

information by clicking in the white spaces:

Click on (NEXT GROUP).

In the “Maintain Field Status Group: Account management” screen, enter the following



In the “Maintain Field Status Group: Document entry” screen, enter the following


Click on (SAVE).

In the “New Entries: Overview of Added Entries” screen, deselect the “GL## BS Balance

Sheet 100000 399999” row by clicking on the empty box to the left of it.

Highlight the “GL## FA Fixed Assets 220800 300000” row by clicking on the empty box to

the left of it.


Page 16

Click on (EDIT FIELD STATUS).

In the “Maintain Field Status Group: Overview” screen, double-click on “Account control”.

In the “Maintain Field Status Group: Account control” screen, enter the following



In the “Maintain Field Status Group: Account management” screen, enter the following



In the “Maintain Field Status Group: Document entry” screen, enter the following




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In the “Maintain Field Status Group: Bank/financial details” screen, enter the following


Click on (SAVE).

In the “New Entries: Overview of Added Entries” screen, click on the icon.

Follow Up: None.


Page 18

Task 12: Define Retained Earnings Account

Description: In this task, you assign a retained earnings account



Master Data G/L Accounts Preparations Define Retained Earnings Account (click on

the “IMG – Activity” icon)

In the “Enter Chart ofAccounts” pop-up, enter the following information:


Chart of Accounts Key that uniquely identifies a

chart of accounts.

GL##

Click on (CONTINUE).






Maintain FI Configuration:

Automatic Posting – Accounts


In the “Maintain FI Configuration: Automatic Posting – Accounts” screen, enter the

following information:

P&L statm… Account

RE 330000

Click on (SAVE).

Click on (ENTER).

Click on (EXIT).

Follow Up: None.


Page 19

Task 13: Assign Company Code to Controlling

Area

Description: In this task, you assign your company code to the controlling area. All company

codes assigned to a controlling area must use the same chart of accounts.


Implementation Guide Enterprise Structure Assignment Controlling Assign company

code to controlling area (click on the “IMG – Activity” icon)







Overview


In the “Change View “Basic data”: Overview” screen, highlight the “NA## ## GBI North

America” row by clicking on the empty box to the left of it.

Double-click on “Assignment of comp”.

In the “Change View “Assignment of company code(s)”: Overview” screen, click on the

icon.


CoCd

US##

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 20

Task 14: Create Standard Hierarchy

Description: In this task, you create a cost center standard hierarchy.


Implementation Guide Controlling General Controlling Organization Maintain

Controlling Area (click on the “IMG – Activity” icon)

In the “Choose Activity” pop-up, double-click on “Maintain Controlling Area”.







Overview


In the “Change View “Basic data”: Overview” screen, highlight the “NA## ## GBI North

America” row by clicking on the empty box to the left of it.

Click on (DETAILS).

In the “Change View “Basic data”: Details” screen, enter the following information:


CCtr Std. Hierarchy Hierarchy of groups in which

all cost centers in a controlling

area are gathered together.

NA##

Click on (SAVE).

In the “Check standard hierarchy” pop-up, click on the “Yes” icon.

Double-click on “Activate components/control indicators”.

In the “Change View “Activate components/control indicators”: Overview” screen, click on

the icon.



Fiscal Year Period, 12 months, for which

the company is to create its

inventory and balance sheet.

(current year)


Page 21

Click on the downward arrow to the right of “Cost Centers” and then click on “Component

active”.

Click on the downward arrow to the right of “Order Management” and then click on

“Component active”.

Click on the downward arrow to the right of “Commit. Management” and then click on

“Components active”.

Click on (SAVE).

Click on (EXIT).

In the “Choose Activity” pop-up, click on the icon.

In the “Display IMG” screen, click on the icon.

In the “Customizing: Execute Project” screen, click on the icon.

Follow Up: None.


Page 22

Task 15: Change Standard Hierarchy

Description: In this task, you create the cost centers to be used by GBI.


menu Accounting Controlling Cost Center Accounting Master Data Standard

Hierarchy Change (double-click on “Change”)

In the “Set Controlling Area” pop-up, enter the following information:


Controlling Area Uniquely identifies a

controlling area.

NA##

Click on (CONTINUE).


Standard Hierarchy for Cost

centers Change


In the “Standard Hierarchy for Cost Centers Change” screen, enter the following

information:


Group Name Description Description of the contents

and the meaning of the group.

## GBI North America

Click on (CREATE).

Click on “Lower-Level Group”.



Group Name Summarizes objects created. N1000

Short Description of Group Description of the contents


## Corporate

Click on (CREATE).







## Executive Board


Page 23

Click on (CREATE).

Click on “Cost Center”.



Cost Center Key uniquely identifying a

cost center.

NAEX1000

Name Description of the object. ## John Davis

Description The cost center description is

used for online displays and

evaluations that have

sufficient space.

## NA Executive: John Davis

Person Responsible Person responsible for the

given cost center.

## John Davis

Cost center Category Indicator used to define a cost

center category.

W

Click on the “Organization” tab.




area.

BI##

Click on the “Indicators” tab.

Delete the check mark in the white space next to “Commitment Update” by clicking on the

check mark.

Click on (CREATE).





cost center.

NAEX2000

Name Description of the object. ## Peter Weiss




sufficient space.

## NA Executive: Peter Weiss


given cost center.

## Peter Weiss


center category.

W

Click on the “Organization” tab.


Page 24




area.

BI##



check mark.

Click on “N1000”.

Click on (CREATE).







## Internal Services

Click on (CREATE).





cost center.

NAIS1000

Name Description of the object. ## Internal Services




sufficient space.

## NA Internal Services


given cost center.

## NA Int Serv Mgr


center category.

H

Click on “Organization” tab.




area.

BI##



check mark.


Page 25

Right click on “N1200”.

Click on “Change Sequence”

Click on “Move to Bottom”.

Click on “NA##”.

Click on (CREATE).







## Administration and

Financials

Click on (ENTER).

Right click on “N2000”.

Click on “Change Sequence”.

Click on “Move to Bottom”.

Refer to Appendix A for further action.

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 26

Task 16: Copy G/L Accounts

Description: In this task, you will select the range of general ledger accounts that you desire.





Financial Accounting (New) General Ledger Accounting (New) Master Data G/L

Accounts G/L Account Creation and Processing Alternative Methods Copy G/L

Accounts Copy Company Code (click on the “IMG – Activity” icon)






Copy Company Code: G/L

Accounts


In the “Copy Company Code: G/L Accounts” screen, enter the following information:


Company code An organizational unit. US##

Copy from Company code An organizational unit. US00

Delete the check mark in the white space next to “Test run” by clicking on the check mark.

Click on (EXECUTE).

Click on (ENTER).

Click on (ENTER).

In the “Interface for General Ledger Account Master Data” screen, click on the icon.

In the “Copy Company Code: G/L Accounts” screen, click on the icon.

Click on (EXIT).



Follow Up: None.


Page 27

Task 17: Run G/L Accounts List

Description: In this task, you are going to assign your company code to the chart of accounts.


menu Accounting Financial Accounting General Ledger Information System

General Ledger Reports (New) Master Data G/L Accounts List (double-click on “G/L

Accounts List”)


G/L accounts list


In the “G/L accounts list" screen, enter the following information:


Company code The company code is an

organizational unit within

financial accounting.

US##

Click on (EXECUTE).

Click on (EXIT).

Follow Up: None.


Page 28

Task 18: Create Primary Cost Elements

Description: Primary cost elements are the primary link between financials and controlling.


menu Accounting Controlling Cost Element Accounting Master Data Cost

Element Individual Processing Create Primary (double-click on “Create Primary”)


Create Cost Element: Initial

Screen


In the “Create Cost Element: Initial Screen” screen, enter the following information:


Cost Element Key uniquely identifying a

cost element.

650000

Valid From Date Indicating as of when the

entry is valid.

(first of the year)

Click on (ENTER).

In the “Create Cost Element: Basic Screen” screen, enter the following information:


Name General description of the

object.

## Cust.Serv.Revenue

Description The cost element description

is used for online displays and


sufficient space.

## Customer Service Revenue

CElem category Number identifying a cost

element category, used only in

the Controlling (CO)

component.

11

Click on (SAVE).

Refer to Appendix B for further action.

In the “Create Costs Element: Initial Screen” screen, click on the icon.

Follow Up: None.


Page 29

Task 19: Create Secondary Cost Elements

Description: Secondary cost elements are another link between financials and controlling.



Element Individual Processing Create Secondary (double-click on “Create Secondary”)


Create Cost Element: Initial

Screen


In the “Create Cost Element: Initial Screen” screen, enter the following information:


Cost Element Key uniquely identifying a

cost element.

720001

Click on (ENTER).

In the “Create Cost Element: Basic Screen” screen, enter the following information:


Name General description of the

object.

## RM Settlement

Description The cost element description

is used for online displays and


sufficient space.

## Raw Material Settlement

CElem category Number identifying a cost

element category, used only in

the Controlling (CO)

component.

21

Click on (SAVE).

Refer to Appendix C for further action.

In the “Create Costs Element: Initial Screen” screen, click on the icon.

Follow Up: None.


Page 30

Task 20: Create Cost Element Groups

Description: To facilitate working with the costs elements, we organize them into groups.



Element Group Create (double-click on “Create”)


Create Cost element group:

Initial Screen


In the “Create Cost element group: Initial Screen” screen, enter the following information:


Cost element group Summarizes objects created

with master data maintenance.

NA1000

Click on (ENTER).

In the “Create Cost element group: Structure” screen, enter the following information:


NA1000 The set text describes the

contents and meaning of the

set and helps in set selection at

several points in SAP.

## NA Cost Element Total

Click on the “Lower Level” icon.



Set Name A set is a flexible structure for

organizing hierarchies and

quantities.

NASECO1000

Short description of a set The set text describes the




## NA Secondary Cost

Element Total

Click on the “Cost Element” icon.


Page 31



From Value This field contains the lower

limit of the interval in the set

line.

800000

To value You can define a value

interval in a set line.

899999

Click on (ENTER).

Click on “NA1000”.

Click on the “Lower Level” icon.



Set Name A set is a flexible structure for

organizing hierarchies and

quantities.

NAPRIM1000

Short description of a set The set text describes the




## NA Primary Cost Element

Total

Click on the “Cost Element” icon.



From Value This field contains the lower

limit of the interval in the set

line.

700000

To value You can define a value

interval in a set line.

799999

Click on (ENTER).

Click on (SAVE).

Click on (EXIT).

In the “Create Cost element group: Initial Screen” screen, click on the icon.

Follow Up: None.


Page 32

Task 21: Create a Statistical Key Figure

Description: Statistical key figures provide a basis used in allocations, calculations, and reports.


menu Accounting Controlling Cost Center Accounting Master Data Statistical

Key Figures Individual Processing Create (double-click on “Create”)


Create Statistical Key Figure:

Initial Screen


In the “Create Statistical Key Figure: Initial Screen” screen, enter the following information:


Stat. key figure Key uniquely identifying a

statistical key figure.

SQFT

Click on (ENTER).

In the “Create Statistical Key Figure: Master Data” screen, enter the following information:


Name Name of statistical base. ## Square Footage

Stat. key fig. UnM Unit of quantity or time with

which the tracing factors of

the statistical key figures are

posted.

FT2

Click on (SAVE).

Click on (EXIT).

Follow Up: None.


Page 33

Task 22: Maintain Company Code for Material

Description: GBI will need to initialize the fiscal period to allow material transactions. This is

important in tracking financial accounting transactions in the system.





Logistics – General Material Master Basic Settings Maintain Company Codes for

Materials Management (click on the “IMG – Activity” icon)






Change View “Materials

Management View on Company

Codes”: Overview


In the “Change View “Materials Management View on Company Codes”: Overview" screen,

enter the following information:

Co… Company Name Year Pe ABp

US## ## Global Bike Inc. (current year) (current month number)

Click on (SAVE).

Click on (EXIT).



Follow Up: None.

Documents

1.1 - Structure V1 JB