Sunday, 17 April 2016

Creation Of Organizational Elements


  • From a business perspective, the Client forms a corporate group
  • Client is the highest hierarchical level in SAP system
  • Client represents a corporate group in SAP Enterprise structure
  • Data maintained at Client level is valid across all other organizational levels



  • Company code is smallest organisational unit within the client
  • Producing its own balance sheets and Profit/loss statements
  • Several company codes can be set up within the client
  • Company code is defined as 4-digit Alpha numeric key ( e.g. SAP1)

Among other things,the following are specified to company code

  • The company address
  • The chart of accounts (list of G/L accounts)
  • The local currency (the currency used in a company code in which the local books are kept, usually the national currency)
  • The fiscal year variant (specification of the periods and special periods of a fiscal year)
  • The controlling area
  • Whether balance sheets are also to be produced at business area level


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