Understanding PeopleSoft Lease Administration Business Units
To define PeopleSoft Lease Administration business units, use the LA Business Unit Definition component (RE_BUS_UNIT).
PeopleSoft Lease Administration defines a business unit as an operational subset of your organization that enables you to plan your operations around the way that you work. You can use a business unit to define regional or departmental units in an organization.
Before you begin the day-to-day operation of your PeopleSoft Lease Administration system, you must create a lease administration business unit which is the backbone of your PeopleSoft Lease Administration system. You associate each lease to a lease administration business unit, and the system populates many lease attributes by default from the values that you define for that business unit.
As you plan the optimal structure for your PeopleSoft Lease Administration system, keep in mind its position in Oracle's PeopleSoft suite of applications. A lease administration business unit reads property data from the asset repository based on the asset management business unit and supplies payment data to PeopleSoft Payables based on the payables business unit, invoice data through the Transaction Billing Processor to PeopleSoft Billing based on the contracts business unit, and accounting information to the general ledger based on the general ledger business unit. Therefore, you must establish business units for PeopleSoft Asset Management, Payables, Contracts, and General Ledger before you establish lease administration business units.
After you establish business units for the other PeopleSoft applications, PeopleSoft Lease Administration can map to the applications. Be careful when selecting the appropriate business units. Make sure that all of the mappings make sense within the suite and that the other products map to the same business units in their respective setup components. For example, assume that you establish a lease administration business unit of US001 and map it to a general ledger business unit of US001 for straightline accounting entries. Most likely the payables business unit and billing business unit match the same general ledger business unit of US001 because PeopleSoft Payables and PeopleSoft Billing also post accounting entries to PeopleSoft General Ledger for lease commitments in the Lease Administration feature.
PeopleTools: Applications User's Guide
See Understanding Asset Management Business and Cash Generating Units.