Notium
SAP PaPM · 18 July 2024

Dynamic Structure for Cost Allocation in PaPM

PaPM enables flexible, high-performance cost allocation — combining data from multiple systems and reusing actual allocation logic on planned data, without manual cycle updates.

Cost allocation is a primary PaPM use case. While SAP Controlling provides standard allocation, PaPM delivers superior flexibility and performance — combining data from different systems (SAP or non-SAP), enriching existing data, and sending results to different systems. Allocation cycle rules involve detailed configuration with many restrictions on sender and receiver dimensions, and organisations typically require numerous allocations across hundreds of segments for reporting compliance.

Business case and solution

Organisations using SAP planning tools for annual planning need to allocate OPEX and CAPEX based on actual allocations, to compare plan versus actual consistently. Rather than rebuilding cycles, companies can retrieve actual cycle configurations from their operating system and apply them to planned data from SAC or BPC — an 'apples-to-apples' comparison applying identical allocation logic to both actual and planned datasets.

How it works

The solution leverages SAP tables containing cycle details (T811K, T811S, T811D) along with SETHEADER and SETLEAF master-data tables. Through PaPM's Join and View functions, organisations build dynamic allocation structures that automatically update when underlying configurations change.

Key benefits

Dynamic structural usage for global planning, centralised process management for consistent comparison, and automatic updates that eliminate manual cycle maintenance.

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