Mapping Subsidiaries to Your Parent
To consolidate multiple sets of books that have different functional currencies, accounting calendars, or charts of accounts, you must first map your subsidiaries’ charts of accounts to your parent’s chart of accounts.
A consolidation mapping is a set of instructions for mapping accounts or entire account segments from a subsidiary set of books to the parent set of books. When you subsequently transfer amounts from a subsidiary to your parent, General Ledger creates an unposted consolidation journal batch in your parent set of books based on the subsidiary’s mapping information.
Additional Information: You define one consolidation mapping for each subsidiary. If you want to change how a subsidiary consolidates to your parent, change the subsidiary’s consolidation mapping before you transfer the data. You can group multiple consolidation mappings into a consolidation mapping set. You can then transfer the mapping set to your parent rather than transferring each subsidiary’s data separately.
Navigate to the Consolidation Mappings window.
1.1 Enter a Mapping name and Description for the mapping.
1.2 Choose a consolidation Method.
Balances: Consolidate actual, average, translated, budget, or statistical balances. This method does not include journal entry
detail. If you have average balance processing enabled, your parent should be defined as a consolidation set of books with
average balances enabled. Note that your are consolidating average balances.
Transactions: Consolidate actual journal entry detail from a subsidiary set of books. You can use this method only if both sets of books have the same functional currency. You cannot use this method for budgets. If you have average balance processing enabled, your parent should be defined as a non–consolidation set of books with average balances enabled. Note that you are averaging balances once you consolidate detail from your subsidiaries sets of books.
2.1 Enter the name of the Subsidiary set of books you will be consolidating.
2.2 Enter the Parent set of books name.
2.3 Enter the Currency to use for the consolidation:
• If you are consolidating balances, enter the parent set of book’s functional currency. Optionally, enter STAT to consolidate
statistical balances.
• If you are consolidating transactions, enter the parent set of book’s functional currency. This must be the same as the
subsidiary set of book’s functional currency.
2.4 Enter a range of Effective Dates for which the consolidation mapping can be used. If you use the mapping to transfer
consolidation data for periods that fall outside the effective date range, the transfer will fail.
2.5 If you have average balance processing enabled, select a default Usage type from the poplist.
Standard: Only standard balances are transferred to the parent set of books.
Average: Only average balances are transferred to the parent set of books.
Standard & Average: Both standard and average balances are transferred to the parent set of books.
Additional Information: You can create separate consolidation mappings for standard and average balances. This is helpful if you want to use different mapping rules to get different levels of detail. For example, you might map standard balances so you can view consolidated totals for each cost center within each company. However, you might map your average balances so you can view consolidated details for each cost center.
Note: If you choose Transactions as your consolidation method, General Ledger enters Standard as the Usage type.You cannot override this when you transfer your subsidiary data.
3. Select your consolidation run options.
Use segment rules, account rules, or a combination of both to specify how to consolidate balances or transactions from your subsidiary to your parent.
Segment rules: map subsidiary account segments to parent account segments. For example, you can map your subsidiary’s Department segment to your parent’s Cost Center segment.
Account rules: map a specific subsidiary account or a range of accounts to a specific account in your parent set of books. For example, you can map subsidiary account 02.300.5400.100 to account 01.100.3000.000.000 in your parent set of books. Or, you might map the entire range of subsidiary accounts 02.300.5400.100 through 02.300.6999.100 to account 01.100.3000.000.000 in your parent set of books.
1. You must define a segment rule action for each segment in your parent’s chart of accounts. You cannot define more than one action per parent segment.
2. Segment rules are preferable to account rules because:
– It’s fast and easy to create a consolidation by using segment rules. For example, if your parent account has only three
segments, you can map a subsidiary’s entire chart of accounts with just three segment rules.
– Consolidations based on segment rules process faster.
Suggestion: Use account rules only for specific exceptions where a subsidiary account cannot be mapped correctly with a
segment rule.
3. Account rules override segment rules if there is any conflict.
4. If you define segment rules for dependent segments in your chart of accounts, the list of values for the dependent segment value may appear to contain duplicate entries (if you have defined the same dependent value and description for different independent segment values). Choose any entry with the appropriate value; the Global Consolidation System does not use the description.
Entering segment rules
For each subsidiary segment being mapped, enter the Parent segment name to which it will map, an Action, and the Subsidiary segment name. You can use only one action for each parent segment. Possible Actions include:
Note: This action produces the same result as the Copy Value segment rule in earlier versions of General Ledger. General
Ledger also prevents you from copying larger subsidiary segments to smaller parent segments. For example, you cannot
copy the subsidiary value 101 to a parent value set with a maximum length of 2.
Assign Single Value: Assign one specific value that will be used for the parent segment. You must enter the value that the parent chart of accounts will use.
Suggestion: Use this action when your parent account has more segments than your subsidiary account.
Note: This action produces the same result as the Single Value segment rule in earlier versions of General Ledger.
Use Rollup Rules From: Map values from your subsidiary segments to your parent segments using the rule specified in the
Rollup Rules region.
Entering account rules
2. Enter or query a consolidation mapping.
3. Choose the Account Rules button.
4. Enter the Subsidiary Accounts that you want to consolidate. If you enter multiple ranges, they must not overlap.
5. Enter the Parent Account to which you want to map each subsidiary account range.
Rollup Rules
You can choose one of four rollup rules when specifying segment rules for your consolidation mapping. A rollup rule consists of a Transfer Level value and a Using value, entered in the Segment Rules window. The four rollup rules are shown in the following table:
- When specifying a rollup rule, you must enter the Parent Segment Detail Value, Transfer Level, and Using fields. If you select the Detail/Parent or Summary/Parent rules, you must also enter a Subsidiary Segment Parent Value. If you select the Detail/Detail Ranges or Summary/Parent Ranges rules, you must enter Low and High values for the Subsidiary Segment Ranges.
- You can enter multiple rollup rules for a single segment as long as the segment values specified in each rule do not overlap.
- You can enter more than one subsidiary segment range as long as the segment values included in the ranges do not overlap.
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