HR-FM Integration on Position Budget and Control (PBC)

[amarlal_lohano]

Dear Experts,

We are implementing FM-BCS in a University. Our client has asked us to implement PBC, as they are already doing budget checks on Position level in their AS-IS. There are more than 1200+ employees. And I have read that Commitment Processor is used as a bridge between HR and FM. After the payroll run, Commitment Processor has to be run for creating commitments/actualization in FM-BCS.

I have gone through SCN, but couldn't find information in detail. I want to ask following queries to help it understand more:

1. What are the Pros & Cons of using PBC (From both FM & HR Point of View)

2. What are the integration points while using PBC. As far as I have read, it is based on PA, OM and PCP in HCM. What infotypes are involved?

3. What critical points need to be considered while implementing PBC.

Any help or document sharing will be grateful.

Regards,

Amar Lal

[sjajodia]

Amar Lal

The main advantage of using PBC is that it creates commitments in FM for payroll costs for vacant and filled positions. When funding is highly variable, this allows the user to optimize use of funding based on commitment information.

The integration points are HR and FM. On the HR side the basic pay, additional payments and cost distribution information must be maintained for commitments to be created. On the FM side all the master data needed to create commitments must be maintained and budgeted.

There are many issues with implementation and use. First there should be adequate time to run PBC after every payroll run. It can take a long time to run. All errors have to be cleared before payroll can run so this creates a dependency.

The main infotypes involved are 0008 and 0027 in PA and 1005 and 1018 in OM though this is not a complete list.

As mentioned earlier, this is like running payroll with Budget AVC or just to create a commitments. These commitments have to be liquidated. So there is a lot of processing and data creation.

Thanks

Shyam

[amarlal_lohano]

Dear Shyamal,

Very useful explanation I would say. I have also heard that it is an indeed overreaching approach, since it requires a lot of work on HCM side.

One more thing, how the cost is to be allocated on each position? Do we need to create each employee as IO/CC? What will be the source fields on which we can base our derivation rules, since we don't want end-user to enter FM assignments manually against each position. I cannot see Personnel Number field in FMDERIVE. Do we have to bring that field using ABAP?

Regards,

Amar Lal

[sjajodia]

Hi Amar Lal

Cost distributions are defined in HCM in infotypes 0001 (single cost center for Org Unit), 1018 (percentage cost distribution by position by CC/IO or Fund, Fund Ctr, etc.) and 0027 (percentage cost distribution by person CC/IO/WBS). With integration to FM activated the maintenance of infotypes 0001 and 1018 calls derivations. The derivations would be CC to FC and IO to FP, etc.) but would be maintained in the infotype. So there is no need to create a separate CC for each employee/position.

Thanks

Shyam

[amarlal_lohano]

Hi Shyamal,

Many thanks for the detailed explanation. Since both me and HCM guys are implementing PBC for the very first time, so we don't have clue, where to start.

It would be great, if you can share any useful document with us.

Regards,

Amar Lal

[sjajodia]

Hi Amar Lal

Please see http://wiki.scn.sap.com/wiki/pages/viewpage.action?pageId=168460795

Thanks

Shyam

[amarlal_lohano]

Dear

Can you please change the discussion into a question, as I am unable to select the answers as helpful or correct. I mistakenly unmarked it as a question at the time of its creation.

I came to know that Moderator of the relevant forum have the authority to change it, that's why asking you.

Regards,

Amar Lal

[iklovski]

Dear Amar Lal,

It is common to mark a thread with general and multiple questions as 'normal discussion'. 'Question' is used rather for specific issue/problem.

Best regards,

Eli

[amarlal_lohano]

But how can I close this discussion? I can't see any option of marking any answer as helpful or correct answer?

[iklovski]

Threads are not closed; just leave it be.