Defining Models and Scenarios

This topic discusses how to:

Create model definitions.
Set up historical scenarios.
Enter historical scenario business rules.
Enter historical scenario economic assumptions.
Set up forecast scenarios.
Enter forecast scenario business rules.
Enter forecast scenario economic assumptions.
Assign scenarios to business units.

Pages Used to Define Models and Scenarios

Page Name	Definition Name	Navigation	Usage
Models	PF_MODEL_TBL1	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Models	Create a model definition.
Scenarios - Definition	PF_SCENARIO_DFN1	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Definition	Create a scenario definition.
Scenarios - Historical Business Rules	PF_SCENARIO_DFN2	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Historical Business Rules	For an historical scenario, link to a default model ID for the scenario.
Scenarios - Forecast Business Rules	PF_SCENARIO_DFN5	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Forecast Business Rules	For a forecast scenario, specify a fiscal year and accounting period for all model IDs that you want to use.
Scenarios - Economic Assumptions	PF_SCENARIO_DFN3	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Economic Assumptions	Specify the rate type for your scenario.
Scenarios - Notes	PF_SCENARIO_DFN6	select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Notes	Describe the scenario's purpose in greater detail.
Warehouse Business Unit Scenario Definition	PF_BU_SCENARIO_DFN	select EPM Foundation, then select Business Metadata, then select Business Framework, then select WBU Scenario Definition, then select Warehouse Business Unit Scenario Definition	Assign the scenarios you have defined to the appropriate business units.

Models Page

Use the Models page (PF_MODEL_TBL1) to create a model definition.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Models

Image: Models page

This example illustrates the fields and controls on the Models page. You can find definitions for the fields and controls later on this page.

Parent Model ID

For a child model that rolls up to another model, specify that ID of the parent model in this field.

Scenarios - Definition Page (for Historical Scenarios)

Use the Scenarios - Definition page (PF_SCENARIO_DFN1) to create a historical scenario definition.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Definition

Image: Scenario - Definition page

This example illustrates the fields and controls on the Scenario - Definition page.

Input Scenario ID

By default, the input scenario ID is the same as the scenario ID. When you run a jobstream, Resolver uses the input scenario ID associated with the run control scenario ID to select data from a scenario-keyed table. This way, you can access data from a scenario other than the one you provide at run time.

Scenario Type

Select the Historical scenario type.

The component displays the Historical Business Rules tab.

Note: Depending on the scenario type you select, certain fields appear and others are hidden on all tabs within this component.

Consolidated

Select this check box to identify this scenario as one to which other scenarios will roll up.

Scenarios - Definition Page (for Forecast Scenarios)

Use the Scenarios - Definition page (PF_SCENARIO_DFN1) to create a forecast scenario definition.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Definition

Input Scenario ID

Scenario Type

Select the Forecast scenario type. The component displays the Forecast Business Rules tab.

Note: Depending on the scenario type you select, certain fields appear and others are hidden on all tabs within this component.

Calendar ID

Select the appropriate calendar ID. The calendar ID is used as a basis for the Prior Scenario ID and Forecast Group ID fields.

Note: There is a relationship between the calendar ID on this page and the calendar ID on the PF Unit Scenario Definition page. If an entry has been made in the PF Unit Scenario Definition page that associates a calendar ID to a scenario and business unit combination, you cannot update the Scenario Definition page calendar ID (it is disabled). If the Scenario Definition Calendar ID needs to be changed, the corresponding row for the scenario must be deleted from the PF Unit Scenario Definition page first. This will enable the Calendar ID field on the Scenario Definition page.

Prior Scenario ID

Select the appropriate prior scenario ID. Only previously created scenario IDs with the same calendar ID are available for selection. The system uses this scenario ID as input to PeopleSoft Activity-Based Management. A prior scenario ID is required if you are specifying a model for the Financial Statement Simulator on the Forecast Business Rules page.

Forecast Group ID

Select the appropriate forecast group ID for the scenario. Only previously created forecast group IDs with the same calendar ID are available. Forecast group IDs are defined in the PeopleSoft Analytic Forecasting module.

Start Date

Enter the start date for the scenario. For example, if you specify a monthly calendar with a number of periods equal to 2 and specify a start date of July 12, 2002, then the system populates the next page with periods 7 and 8.

Number of Periods

Enter the number of periods related to your start date. This defines the dates in the grid on the Forecast Business Rules page.

Consolidated

Select this check box to identify this scenario as one that other scenarios drill up to.

Scenarios - Historical Business Rules Page

Use the Scenarios - Historical Business Rules page (PF_SCENARIO_DFN2) for an historical scenario, link to a default model ID for the scenario.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Historical Business Rules

Image: Scenarios - Historical Business Rules page

This example illustrates the fields and controls on the Scenarios - Historical Business Rules page. You can find definitions for the fields and controls later on this page.

Default Model ID: If you specify a default model ID, then the rest of the models listed default to that ID. Otherwise you can select specific models for the various applications
ABM Model: Model ID to use for your PeopleSoft Activity-Based Management application.
FIN Model: Model ID to use for financial analytics.
Workforce Analytics: Model ID to use for your Workforce Analytics applications.
KPI Model: Model ID to use for Key Performance Indications and scorecards.
GLMP Model: Model ID for the ledger mapper.
CRM Model: Model ID to use for your CRM analytics applications.
Console Model: Model ID to use for consolidations.

Scenarios - Economic Assumptions Page (for Historical Scenario)

Use the Scenarios - Economic Assumptions page (PF_SCENARIO_DFN3) to specify the rate type for your scenario.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Economic Assumptions

Image: Scenarios - Economic Assumptions page

This example illustrates the fields and controls on the Scenarios - Economic Assumptions page. You can find definitions for the fields and controls later on this page.

Rate Type

Select from the following:

Market Rates: Use current interest rate information.

Deterministic Rates: Enables you to select a hypothetical interest rate environment previously created within PeopleSoft Asset Liability Management. Deterministic rates play an integral role in modeling a financial services institution's exposure to interest rate risk. They enable you to model dynamic interest rate environments explicitly. If you define a scenario with either a deterministic rate assumption or a stochastic one, then you must select the term structure model ID to accompany the scenario.

Stochastic Rates: Scenarios with this rate type are used to randomly generate interest rate scenarios, and they are used in risk management. If define a scenario with either a deterministic rate assumption or a stochastic one, then you must select the term structure ID to accompany the scenario.

Age-Graded Table: Used for PeopleSoft Workforce Analytics. The age-graded table includes effective dates of rate and rating factors (such as age ranges, sex, and smoking status) by employer and employee. The arrays of values used to calculate the cost of a plan to an employee. Rates can be age-graded, service-related, or general, depending upon the benefit plan type.

Flat Rate Table: Contains information on where you define rates to be charged per selected frequency for a particular benefit program or plan. The Flat Rate table represents a constant value. For all subsequent years, as well as the first time it is done, flat rate is calculated simply by applying the flat rate percentage to the average balance and allocating this amount among the periods.

Salary Percent Table: Used in PeopleSoft Planning and Budgeting, this table contains information related to earnings as a percentage of the base or gross salary amount.

Service Rate Table: Used in PeopleSoft Workforce Analytics, this table stores information such as service rate ID, effective date, pay frequency, rate per unit, service intervals, total rate, employer portion, and employee portion. Service rates are employee related rates. For example, a service rate would be an employee's days of vacation accrued per year or per month for a given vacation plan.

Note: You create term structure model IDs as part of your setup for using PeopleSoft FSI applications.

Scenarios - Forecast Business Rules Page

Use the Scenarios - Forecast Business Rules page (PF_SCENARIO_DFN5) for a forecast scenario, specify a fiscal year and accounting period for all model IDs that you want to use.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Forecast Business Rules

Enable Calendar Fill In

This is selected by default. The forecast scenario creates a start date on the exact date specified within the first period. Depending on your selections, there could be time overlap or gaps. Calendar fill in helps avoid these gaps. Calendar fill in adds model IDs to blank rows for the grid lines not selected.

Specify the model IDs you want to use for each year and period. The selections you make depend on the analytical applications you have installed.

Note: You must specify a prior scenario ID on the Scenario Definition page to select a model of Financial Statement Simulator.

Scenarios - Economic Assumptions Page (for Forecast Scenario)

Use the Scenarios - Economic Assumptions page (PF_SCENARIO_DFN3) to specify the rate type for your scenario. The fields on this page are the same as those discussed for the Historical Forecast - Economic Assumptions page.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select Scenarios, then select Economic Assumptions

Warehouse Business Unit Scenario Definition Page

Use the Warehouse Business Unit Scenario Definition page (PF_BU_SCENARIO_DFN) to assign the scenarios you have defined to the appropriate business units.

Navigation

select EPM Foundation, then select Business Metadata, then select Business Framework, then select WBU Scenario Definition, then select Warehouse Business Unit Scenario Definition

Image: Warehouse Business Unit Scenario Definition page

This example illustrates the fields and controls on the Warehouse Business Unit Scenario Definition page. You can find definitions for the fields and controls later on this page.

Scenario ID

For each business unit, select the appropriate scenario ID.

Calendar ID

For each business unit, select the appropriate calendar ID.

Note: There is a relationship between the calendar ID on this page and the calendar ID on the Scenario Definition page. If you make an entry on this page that associates a calendar ID to a scenario and business unit combination, you can no longer change the calendar ID on the Scenario Definition page (the field is disabled).

Manual Journal Approval

Journal approvals allow specific requirements to be met before the approval is finalized. The system defaults to Pre-Approved for the Manual Journal Approval option. The Approval Required - Security and Approval Required - Workflow options are used by PeopleSoft Global Consolidations.

Business Process Name

If you are using the approval workflow option in PeopleSoft Global Consolidations, specify the business process name for the approval workflow.

Approval Rule Set

If you are using the approval workflow option in the PeopleSoft Global Consolidations analytical application, specify the approval rule set to be used for the selected business process.

See PeopleSoft EPM: Global Consolidations