CoI concept

[Former Member]

There are a few Consolidation of Investment concept such as : IFRS , US GAAP, HGB.

My question is :

Do we need to configure/setting the concept in the setting or SEM BCS has default concept?

If we need to configure/setting the concept, how to do it?

Thanks.

[Former Member]

Dan is right, showing you some particlar elements of configurations that might be used in that or another cases.

But, generalising what was said earlier:

The SAP SEM-BCS is a very flexible system. It allows to be configured to fulfill requirements of every accounting standard. In order to configure the proper configuration one must know all the client's requirements, how they are might aligned with the requirements, and the possible standard's implications.

The particular technical knowledge of some copy features or versions (though, they are important) do not give you the overall picture and do not show the win-way.

The knowledge and experience are ruled here. So, if you want to achieve more in this field, simply get more knowledge and experience. Otherwise - either ask advice in the forums or invite some 3rd party consultants.

[dan_sullivan]

To add a bit to what Eugene stated very well, is that there are options with BCS to report different accounting standards.

One option is to have different versions, for example one version for IFRS and another for US GAAP. With this approach the relevant data may be copied from one version to another and configuration may be shared.

Another option although more effort with configuration, is to have separate cons areas for each.

[Former Member]

There are a few Consolidation of Investment concept such as

- I'm afraid, you are wrong. At least, personally I, do not know such concepts. There are some standards, you already mentioned, that treat some aspects of consolidation differently. For example, which shares to use, direct or group's; how to treat the goodwill etc.

In general, all the standards, are agreed with the commom principle in consolidation (expressed particarly in IAS 27standard):

Intragroup balances, transactions, income, and expenses should be eliminated in full.

So, do not expect any flag/switch/option for choosing just the appropriate standard and get ready all the configuration of CoI. It's not enough.

Consolidation requires not only the good technical (BI/BCS) knowledge, but also a strong accounting/financial background/experience.