Change of Budgeting process

[atif_farooq]

Hi:

I have a client wherein i implemented FM two years ago. They are doing budgeting based on a combination of Fund, Fund center and commitment items, Funded program is also used in some cases. Client posts budget for the year. Now there is a requirement from client , client wants to post and report for budget on quarterly basis i-e every quarter is a budget period , they also want to carry forward any residual budget to the next quarter.  I can think of introducing FM account assignment Budget Period but i do not know the pros and cons of doing so in the live environment. Client needs this change to be implemented on fiscal year start. I need to know is it feasible to do so . What can be the unforeseen complications ? Please comments.

Regards

[sjajodia]

Atif,

This should be feasible. You will need to:

1. Activate Budget Period and create a rule for assigning budget period.

2. Reassign all existing open documents to a budget period using the reassignment program and strategy

3. Enter budget by budget period for the new year

Please also read http://help.sap.com/erp2005_ehp_05/helpdata/en/53/eddbcd3f014dddbf0ad1377c192e9e/content.htm?framese...

Thanks

Shyam

[atif_farooq]

Hello:

Thank you for your reply. I have a little confusion here. I have three types of Fund master created in FM.

OPEX , CAPEX & REVENUE. I have activated business function for Budget period and when i am creating budget period QUARTER_1 let us say for for first quarter of calendar year , January to March, now in Valid from and Valid to date what should i exactly give , suppose if i give 01.01.2014 to 31.03.2014 then doing so will make this budget period hold true for 2014 only so it means every year we need to create quarterly budget periods with corresponding valid from and valid to date ? Please correct me if i am wrong? Furthermore in FM reporting i am unable to see any selection criteria to extract budget reports with selection criteria Budget Report. Please shed some light on the same.

Thanks

Thanks

[atif_farooq]

And also how will FMDERIVATION look like. Do i need to add posting date in the source fields to derive the corresponding budget period along with fund , fund center and commitment item ?

[former_member219215 · Accepted solution]

The above will be a good one,
or else,

Create a period based budgeting Report painter report, with 4FM library with the help of a set create quarters,
now open budget periods in tcode FMOPER,

while budget posting respective periods should be selected.
After a Quarter end, the left over budget can be transferred to next period.

However, budget check will be done at the availability of funds on a year level basis, not on a quarter budget basis.

TSK

[sjajodia]

Hi Atif,

The validity dates are only used to check if the master data element is invalid. As long as the BP is valid it can be used. The derivation is where you can distinguish which budget period is actually assigned and yes derivation can be based on the posting date.

Thanks

Shyam

[atif_farooq]

Hello Shyam:

I am still not clear. I am giving you an example to let you know my confusion.

I have a fund master OPEX with validity date 01.01.1900 to 31.12.9999.

I have created a budget period QUARTER_1 with validity 01.01.2014 TO 31.03.2014. Now if i am creating a budget period with this validity then it means when we will be in 2015 then again for 2015 i will need to create a new budget period for quarter with validity 01.01.2015 to 31.03.2015. Am i right in my understanding ? One more thing after activating budget period , it should appear as a selection screen in all FM reports like Fund , fund center but it is not appearing, do i need to rely on period inclusions in FM report painter ?

Thanks

[sjajodia]

Atif,

You can make the Budget Period QUARTER_1 valid 01.01.1900 to 31.12.9999 and then derive it when posting date is 01.01.2014 TO 31.03.2014. This way you do not have to create a new budget period each year. You do have to carry forward the remaining budget in the budget period at the end of each quarter.

Thanks

Shyam