Cost center Std Hierarchy

[Former Member]

Hello folks,

Points available. I am setting up cost centers for 2 CoCd's (UK and US). I have called my Std hierarchy TEST_STDH. If both my CoCd's have similar departments (Cost Centers), what would be the best way to set it up in the Std Hierarchy?

I think I have to set it up the following way:

<b>Standard Hierarchy</b>...........<b>Name</b>................<b>Activation status</b>...........<b>CoCd</b>

TEST_STDH

.........SALES

.............US00001...............Product Sales.....Green.............................US

.............UK00001...............Product Sales.....Green.............................UK

........SHIP_WHSE

.............US00002...............Shipping.............Green.............................US

.............UK00002...............Shipping.............Green.............................UK

........MARKETING

.............US00003...............Marketing...........Green.............................US

.............UK00003...............Marketing...........Green.............................UK

Would this be a proper way of setting up the Std Hierarchy and Cost Centers?

[Former Member · Accepted solution]

Hi,

I would personally prefer to set-up the Std. Heirarchy based on Company Code and then Dept. wise Groups. In our Compay we have this sort of set-up.

TEST_STDH

.......US

...........SALES

...............SA01

...............SA02

...........SHIP_WISE

...............SH01

...............SH02

...........MARKETING

................MK01

................MK02

.......UK

...........SALES

...............SA01

...............SA02

...........SHIP_WISE

...............SH01

...............SH02

...........MARKETING

................MK01

................MK02

Thanks,

Ashok

[Former Member]

Thanks for all your responses. They were very helpful.

[Former Member]

Hi,

this should be good. we have similar kind of stup, where we start with plant for the cost center. but remeber if u add some more company codes in US and Uk how u r going to name them. So think about the company codes that would add in future. So better keep the comapny code as starting digits followed by 1 for sales, 2 for shiping and 3 for amrkeitng and define the rest of the numebrs freely.

ex: for comany code US00 for sales US001***, for shipping US002***

Assing points if helpful

[Former Member]

Hi,

The way you have planned to set up standard hierarchy is fine. However, when you are planning the hierarchy also think about future requirements / expansion plans of the organization etc. Further, if Profit Center Accounting is also activated consider that also if the Profit Centers are to be mapped with Cost Centers.

Thanks

Murali.

[Former Member]

Hi United99

I find it verymutch appropriate,

Satish