Understanding the PeopleSoft Project Costing Operational Structure

A business unit in Project Costing is defined as an operational subset of the organization. Defining business units in this way enables you to plan projects and gather business data around the way that you work, without the constraints of the enterprise's standard accounting procedures for financial posting and reporting. Thus, you can organize information to best facilitate project management, analysis, reporting, and accounting.

To decide how to map the operational business structure in Project Costing, you need to examine how the business functions operationally, or how the work gets done.

After mapping the business structure and determining which tablesets to use, you can create business units. Consider these factors when you determine how many business units to create:

• Each project tree is associated with a single project business unit.

  If you want to group projects in one tree for summary reporting, all of the projects should be in the same project business unit. You can do consolidated reporting with many business units, but it is easier to use a tree.

  Because trees are used for allocations, reporting, analysis, and security, it is important to consider the potential impact of maintaining multiple trees.

• A single project business unit can post to as many general ledger (GL) business units as necessary, because you specify an integration template for each project.