Multiple organisational assignments possible in RECN?

[Former Member]

Hi,

Is it possible to have multiple profit centres in a single contract?

Our requirement is as follows:   A rental place is rented from a single vendor and its been used for multiple purposes requiring division of its rent among multiple profit centre.  but system is allowing only one profit centre per contract.

One way of solving this is to settle the contract  on multiple cost centres.  but we want the profit centrewise reporting also to show correct results.  hence the need.

Please help.

Regards,

Sadhana.

[Former Member · Accepted solution]

Hi,

Distribution of expenses to Cost centers can be done by two ways:

1. Integrated Posting (Periodic Posting + Distribution posting) : In this we maintain different cost centers as the distribution parameters and then perform Posting which automatically captures the cost in the respective cost centers
2. CO Settlement : Settling the cost to cost centers once the posting has been performed

Hope it will help you!

Regards,

Siddharth Khandelwal

[Former Member · Accepted solution]

Thanks Siddharth for the 1st item.  I had overlooked this. 

When I checked my contracts,  I found that all the contracts are getting distributed to RO. and in the RO, there is a settlement rule which settles the costs to cost centres.

I checked the distribution formula A - divide equally.    This formula mentions the distribution type as 0-Any.   This means in the individual contract, i should be able to choose my distribution object.  But in contract, I find that RO is appearing as default DO.  I cannot change it.  i cannot change it even while creating new contracts.

Any idea why this must be so? Is there any other config which is driving this?

Regards,

Sadhana

[Former Member · Accepted solution]

Hi,

This is due to the fact that you have not assigned any Cost center to the Objects tab in the contract.

Try the same after assigning Cost Centers in the Object assignment.

Regards,

Sid

[Former Member · Accepted solution]

Hi,

The object tab is allowing only rental objects. When I try to add new object, system is giving options to choose only RO.

Regards,

Sadhana

[Former Member · Accepted solution]

Hi,

Now this is due to the fact that you have not allowed Cost center to be assigned in Contract in config.

RECACUST -> Contract -> Objects -> Permitted object types per Contract type

Allow Cost center be assigned as an object in that contract type and then check the scenario.

Regards,

Sid

[Former Member · Accepted solution]

Yes,  after maintaining the config I am able to use cost centre in DO.    Have tested the scenario and its working very well.  in the distribution,  system is passing another entry which is taking the costs to another cost centre and its attached profit centre.

Thanks a lot for your help.

REgards,

Sadhana.

[Former Member · Accepted solution]

Hi,

one more query.  Currently the distribution formula is dividing equally among the cost centres.  the distribution factor is 1.  is it possible to change this factor?

I guess using a different distribution formula like area or usable space will also help.   but dont know whether i can give multiple cost centres there.  will surely test this out. 

but if i can breakup the distribution factor,  then it will save a lot of trouble.

regards,

sadhana.

[Former Member · Accepted solution]

Hi,

If you want to distribute the cost to CCs in a percentage manner, then go for CO settlement rule where you can maintain couple of CCs with your defined percentage. Then after Periodic posting, you can run the CO settlement transaction to settle the cost to CCs according to the percentage set.

Hope it could resolve your query.

P.S. : If the provided solutions are helpful to you in resolving your issue then close this thread by marking the relevant solutions are Correct and helpful.

Regards,

Sid

[Former Member · Accepted solution]

Thanks Siddharth for the help.

Closing the issue since resolved.

Regards,

Sadhana.

[Former Member]

Hi,

As per the standarad design there is One-to-one relationship between contract and Profit center.

The only way to fulfill your requirement is to distribute the expense to different Cost centers.

Also check after distribution of expense to different CC, whether the amount is reflecting in the associated profit centers (that of CC) or not. If that is reflecting, then your issue is resolved.

Please let me know if it answers your doubt or not?

Regards,

Siddharth

[Former Member]

Thanks Siddharth.  By distribution you mean settlement, right?  Will check about amount reflecting in the profit centres of the CC.

Regards,

SAdhana.