Reclassifying Data

Business scenario: At ABC Corporation, your country/region accounting standards differ from the group policies regarding the classification of extraordinary income. You need a reclassification method that does the following:

• Reclassify extraordinary income to non-operating income.
• If revenue is less than zero, no reclassification should occur.
• Segment 1000_C should be replaced with segment 1000_A.

To to meet these requirements, you need to perform the following steps:

• Create a reclassification method.
• Assign the method and document type to the task.

The No Delta Documents setting is used to prevent creation of additional documents when reclassification runs are repeated:

• If you don't selectNo Delta Documents: fewer documents are created when reclassification is run repeatedly. For example, when you repeat a reclassification for the same data region, the system doesn’t reverse documents from the previous run. Instead, it calculates a delta by adding together the results from the previous run and the current run, and only creates documents if something changed. As a result, fewer documents are posted.
• If you do selectNo Delta Documents, the system creates documents to reverse records from the previous run and then re-books the original values in additional documents. In this scenario, this process nearly doubles the number of documents posted.

In the trigger tab, you add a selection object that tells the system when to reclassify values between the source and target items. If there's a value in the trigger, the reclassification will execute.

The source/destination tab controls the line items of the reclassification entry. In the following example, values in the 511300 FS Item (gains on the disposal of other assets) will be reclassified to the 515000 FS Item (other income).

The source item will always post in the opposite sign as the trigger. So, if the trigger is a net debit, then the source will be posted with a net credit. The destination item will always book values with the same sign as the trigger.

Note

If the Source Item Role is blank, the trigger FS item is used.

Note

The Subitems are added by the system based on the FS item breakdown category.

• Source selections:
  • Source Item Role: Use this object to select a single FS Item as the source via its assigned role.
  • Target Attribute for Source: Use this to select multiple FS Items as the source via their assigned target attributes, which include:
    • Elimination target
    • NCI target
    • Planning target
  • Target attribute inherited from destination item: the source FS Item is determined via the destination FS Item's target attribute FS Item.
• Source account assignments: these are determined from the role and attribute selections.
• Destination selections:
  • Destination Item Role: Use this to select a single FS Item as the destination via its assigned role.
  • Target Attribute for Destination: Use this to select multiple FS Items as the destination via their assigned target attributes, which include:
    • Elimination target
    • NCI target
    • Planning target
  • Target attribute inherited from the source item: the destination FS Item is determined via the source FS Item's target attribute FS Item.
• Destination account assignments: these are determined from the role and attribute selections.

When you perform a Sign Triggered Reclassification, the system adds the Debit / Credit Sign tab. You then add Consolidation Unit to the Balance per Characteristic.

On the Percentage tab, you specify the selection to determine the percentage. For example, add a selection that includes an FS item used to store percentages.

Note

If the field is blank, 100% is used by default.

Reclassification moves values between FS items. However, at ABC Corporation, you also need to change the segments. To do this, you define the Source and Destination values for the additional fields. You have the following options for the Source and Destination values:

• Define a fixed value

• Delete the value

• Inherit the value from the partner field

At ABC Corporation, you're using document type 1o for your reclassification. You need to reclassify standardized data, therefore, posting level 10 is assigned to this document type.

After you create your reclassification method, you need to assign it to the task and document type.

Note

One of the delivered task ids for reclassification is the S190.

Document type assignments are version-dependent.

After you run the reclassification, you view the results in a report.

In the preceding image, you have the following results:

• Consolidation Unit FR00:
  • Values are reclassified from 511300 to 515000.
  • Values are moved from segment 1000_C to 1000_A.
• Consolidation Unit US00:
  • Values aren't reclassified because the 511300 value is less than zero.
  • Values aren’t moved between segments because the values are already in 1000_A.