Relationship between Cost Centers and Organizational Units

[Former Member]

In my organization we installed SAP-R3 FI-CO module many years ago. We we using just that module for like 10 years. We created near 50,000 Cost Centers since then.

Recently we actived the HCM module. Organizational Units, Positions, etc were created. Cost centers were assigned to Organizational Units, to control the payroll expenses, and all that has worked fine so far.

All over this years, without having HCM working, an indepedent application (a DWH) has serve the purpose of maintain the relationship between a cost center and an organizational unit, for reporting use, since the Cost Center doesn't have a place to be assigned to an Organizational Unit, in FI-CO.

Now with the HCM module active, we now have the relationship between an Organizational Unit and one Cost Center, but just one, the one that pays the bills. But we have thousands of Cost Centers that are merely projects or serve purpouses different of payroll.

My question is, how or where can I establish a link between a Cost Center and an Organizational Unit? Is it a place in HCM where we can assign all the Cost Centers belonging to certain Organizational Unit, even if that's not for payroll?

Is there a place, anywhere else in SAP to assign this relationship?

The only thing we think of is the Cost Center Standard Hierarchy, but that implicates maintaining a copy of the Organizational Unit tree by manually replicating it.

Is this the correct path?

[former_member28240]

Hello Craig,

If I understand you correctly, you are using the O to K relationship A/B 011 for the assignment to the home cost center for payroll purposes.  I agree with Rohit - this is the standard method of assigning a home cost center to a personnel number.  I believe that you want to be able to assign additional cost centers to an org unit for reporting purposes.

There are other O to K relationships available.  These should not integrate with the personnel number like the A/B011 relationship does.  You might try assigning cost centers to org units using one of these relationships 003, 250 or 700.  There may be standard reports or processes that use these relationships so you should research these a bit and test thoroughly.

[Former Member]

Hi Craig,

Understand HCM operates as sub modules like OM , PA , PY , TIME.

Your Cost Centers fall under OM side of HCM.

OM work with Object Types with some identifiers and relationships.

Your Cost Center is K and relationship is with Org Unit (O) or Position (S)

Org Unit to a Cost Center is related using A011 Relationship through IT1001.

Cost center assignments are inherited along the organizational structure.
With principle of Inheritance if you have assigned a O-K relationship at the Org Unit Level, all the reporting Org Units & Positions will inherit the Same Parent Cost Center

In cases of O-K / S-K Relationship is changed for any other org Units or Positions... in such cases, the reporting org units or positions will inherit.

Check these Tcodes :

PA20 - Any PERNR - Infotype - 0001 - Org Assignement - check Enterprise Structure block in that screen.

PP01 - Take Object - Cost Center or Org Unit or Position - check Relationships .

Report RHINTE30 to transfer your OM relationship data into IT0001 to solve any inconsistencies.

For missing OM objects in PA side, Try Report RHINTE10 to create these missing objects.

RHINTE30 – Bulk update of infotype 0001

Hope it helps.

Regards

Rohit.S

[Former Member]

Hi, Rohit:

Thank you very much for your explanation.

I have one more question, will this allow me to have a many Cost Center to 1 - Org Unit relationship?

Will this relationship affect the way payroll is working now?

Thanks in advance,

[Former Member]

Hi Craig,

hope you got hold on K to O.

Cost Centers are all about Costs , so there is Budget,

So as long as Budgets are defined to diff Departments in Org Units or Org units themselves,

you can have only one Cost Center with only one Budget for entire Org unit or diff as per Org Units and their Costs.

Regards

Rohit.S

[Former Member]

Hi, Rohit:

Thanks for your time.

In my company, a single Org Unit can have 1 default cost centers which absorbs salaries, office suplies, etc, and we have that relation set in H.R.

However, there are more cost centers, which may not have nothing to do with payroll, like special projects. These projects are those which I'm worried about, since I don't see how to set a direct relationship, between the cost center and the org unit to which it belongs, since there are no org units in FI.

If we want to get a simple report to know which cost centers belong to which Org Unit, we can't generate that.

[Former Member]

Hi Craig,

Simply WYRIWIR ... what you relate is what it reports.

Regards,

Rohit S