Organizational Structures

Company Code
A company code is the smallest organizational unit for which a complete self-contained set of accounts can be drawn up for purposes of external reporting. At present, IDES consists of eleven company codes. Each company code fulfills a specific business task.


Company
A company is the smallest organizational unit for which individual financial statements can be drawn up (in accordance with the appropriate trading laws) for purposes of external reporting. A company’s financial statement forms the basis of a consolidated financial statement.

A company can consist of one or more company codes. In IDES, however, each company consists of one company code.

Subgroups
A consolidation group is called a subgroup if the consolidation units are companies. The IDES group consists of three subgroups: IDES Europe, IDES America, and IDES Asia. The IDES group has a centralized head office. The subgroups comprise the following companies:

Subgroup IDES Europe

Subgroup IDES North America

Subgroup IDES Asia


Credit control area
A credit control area is an area responsible for granting and monitoring customer credit. This credit is monitored across all company codes. The IDES system contains our credit control areas:

Business areas
A business area is an organizational unit of financial accounting that represents a separate area of operations or responsibilities within an organization. Financial accounting transactions can be assigned to a specific business area. As a legal entity, the company code represents the company that draws up financial statements. You can also use the business area to form organizational units which extend beyond a company code and which represent a separate area of operations or responsibilities within an organization. The business area forms internal structures for external reporting. This enables you to report on the profit and loss (P&L) statement and selected balance sheet items for product lines or regional structures.

Financial Accounting (FI)

Overview
The Financial Accounting functions are divided into the following areas:
* General Ledger Accounting (FI-GL)
* Accounts Receivable Accounting (FI-AR)
* Accounts Payable Accounting (FI-AP)
* Asset Accounting (FI-AA)
* Special Purpose Ledger (FI-SL)
* Consolidation (FI-LC)

Accounts Receivable Accounting
Accounts Receivable Accounting is part of the Financial Accounting component and is used to efficiently regulate and monitor business transactions with customers. The IDES system contains approximately 70 customers in company code 1000 (Germany).

Most of the customers in company code 1000 (Germany) are maintained centrally, and belong to an IDES sales organization, 1000 (Frankfurt), or 1020 (Berlin). You will find a list of all IDES customers (customer master data) in Appendix B.

Accounts Payable Accounting
Accounts Payable Accounting is used to manage accounting data for all vendors. This data is transferred to Accounts Payable Accounting by means of the integrated business processes for invoice verification. Payments can be generated automatically for invoices that have been released. These payments are made by the due date.

Most of the vendors in company code 1000 (Germany) are maintained centrally, and belong to an IDES purchasing organization, 1 (Europe), or 1000 (Germany). You will find a list of all IDES vendors (vendor master data) in Appendix B.

Asset Accounting
The planning and monitoring of fixed assets for external and internal accounting is becoming increasingly more important as a result of progress in technology. In addition to the pure accounting and financial statement aspect of Asset Accounting, many of the requirements for Controlling and monitoring in Plant Maintenance are affected. You also want to reflect the increasingly complex requirements for group accounting at national and international level precisely but as flexibly as possible.

Special Purpose Ledger
The functions in the Special Purpose Ledger enable you to work with customer specific
ledgers. These ledgers contain factors from additional account assignments, and are used for company-specific reporting purposes. Validation and derivation functions are available for all customer-specific ledgers. Ledgers are fully integrated with the other functions in Financial Accounting.

The IDES system contains the following ledgers:


Consolidation

This involves consolidating the individual financial statements of all internal trading partners to produce consolidated financial statements. These consolidated financial statements should portray finances, investments, and revenue as if all the companies involved were a single company.

The consolidated entity in the IDES system is the IDES corporate group, which comprises the following three IDES subgroups: IDES Europe, IDES America, and IDES Asia.

A ”stand alone” example has also been created in the IDES system. This example shows how individual financial statements that come from an external database are consolidated in the SAP System. The model that is created for this is separate from the IDES model. Data is imported from external databases into the IDES clients, where it is consolidated to form a separate corporate group.

The required definitions and master records of the companies and subgroups are defined in the Consolidation system (FI-LC).

Before you can consolidate this data, you must transfer financial statement data to the Consolidation system and make the standardizing entries and conversions required. Consolidation involves the following steps:
* Making standardizing entries
* Currency translation
* Eliminating corporate group payables and receivables
* Eliminating intercompany profit/loss in inventory
* Eliminating intercompany profit/loss in transferred assets
* Consolidating investments

Technical Information

The IDES system contains model users with predefined authorization profiles. These authorization profiles have been tailored to suit the needs of all those who work with the IDES system. The following users and profiles are available so that you can create users of your own:



The IDES system also contains scenarios that involve third-party software products. If, for example, you are working through or analyzing scenarios that involve Internet components, you will need to install additional modules and/or objects. All the components you require are stored in the shared folders of the IDES system (client 800), and come with installation instructions.

Ordering IDES You can order IDES via your local contracts department, giving the relevant installation number or consult directly with IDES development.

Information regarding remote access to the IDES system in connection with our Customer and Partner Systems (CPS) is available directly from IDES development.

Please see notice No. 85123 in the SAPNet / R/3 frontend. Current prices, lead times and computer specifications for IDES Notebook are available from our authorized partner Compunet/GE Capital.

Up-to-date information For up-to-date information on the R/3 IDES system, please refer to SAPNet (Aliases-> IDES). This information is compiled by the IDES Development team in Walldorf.

New Dimension Products

Your local IDES installation can be linked with an IDES B-to-B System and thus expand the procurement of the IDES group into B-to-B scenarios.

With an IDES BW installation you can analyze BW-specific examples. Alternatively, in connection with your IDES system, you can make the integration between the R/3 System and BW transparent.

The IDES data and processes are prepared so that the logistics processes can also be expanded to APO examples. So, with a local APO installation you can discuss, with the IDES data, the optimization and utilization potential in APO.

Cross-Application Components

Internet Application Components are solutions that connect the R/3 System to the Internet. IDES contains the most popular distribution scenarios and interoperability scenarios for the Consumer-to-Business, Business-to-Business, Intranet, Employee Self Service and Retail Store areas.

The ALE functionality of four R/3 Systems linked up to each other is simulated in the IDES system using four different clients. Special clients for sales, production and warehousing are set up here.

Technology involving extensive workflow processes that reflect real-life situations are available for all company areas in the IDES system.

Human Resources

In the IDES system, the Human Resource Management component (HR) is divided into the areas of personnel administration, personnel organization, and personnel planning. All these HR areas are fully integrated into all departments in the IDES system. The American, German and Japanese subgroups are set up so that payroll accounting can be performed; the payroll results are then passed on to Accounting.

IDES Business Processes

All the business processes in IDES are complete business processes. They include all the logistical functions you require (Purchasing, Inventory Management, Production, Sales and Distribution), integrated into Accounting. In addition to the Financial Accounting functions, you can also use Controlling functions based on overhead costs, costing and profitability analysis. The processes are complemented by Human Resource Management functions and concluding management reports.

IDES contains fully integrated and documented scenarios for the following industry solutions: SAP Aerospace & Defense, SAP Automotive, SAP Banking, SAP Chemicals, SAP Consumer Products, SAP Engineering & Construction, SAP High Tech & Electronics, SAP Pharmaceuticals, SAP Retail und SAP Service Provider.

IDES online documentation can be accessed directly from the Q&A db (Question & Answer database) in ASAP. It is therefore possible, directly from a group of Questions in the Q&A db, to analyze the possibilities in IDES and to present them live in the system.

Each product and product line represents a specific type of planning and shop floor control. IDES contains all the resources required for manufacturing all kinds of products. These resources are assigned to the products in question in bills of material and routings. Fully integrated processes are in place in IDES for producing and selling the following products:



The Financial Accounting and reporting functions available in IDES comply fully with legal requirements. The hierarchical structure of the IDES corporate group illustrates this ideally.

The subgroups function according to the same principle but also take into account the business practices and legal regulations that prevail in their own specific region.

Depending on the company in question, controlling in the IDES system involves scenarios ranging from simple cost accounting structures to a fully rounded controlling model that includes overhead costs, product costs and profitability analysis. The quantity flows and value flows for Europe are handled in conjunction with closely related components such as Production Planning and Materials Management. They mirror processes involving the planning, performance and evaluation of business processes. Profitability Analysis and Enterprise Controlling also provide you with flexible, online reporting tools for conducting contribution margin analyses on the basis of market segments, and analyses of internal and external success factors.