1. Financial Management Fundamentals Implementation Guide
  2. Understanding Company Setup

Understanding Company Setup

Companies are organizational entities that require a balance sheet and include:

  • Company name.

  • Date pattern.

  • Beginning date for the fiscal year.

  • Number of accounting periods.

  • Current period for General Accounting, Accounts Payable, and Accounts Receivable.

You must set up each company in your organization, as well as the default company 00000, using the Company Names & Numbers program (P0010). In addition to setting up companies using this program, you must set up all companies in the JD Edwards EnterpriseOne Address Book system, except company 00000. When you assign the address book number for the company, you can use either of these methods:

  • Use the same number for both the company and its address book number. (This is the recommended method.)

  • Cross-reference the company number to a different address book number using the Company Address Number field on the Company Setup form.

    For example, if you set up Mars Distribution as company 6000 in the Company Names & Numbers program, you should also set up address book number 6000 in the JD Edwards EnterpriseOne Address Book system as Mars Distribution. If you must use address book number 6001 because 6000 has already been used, enter 6001 in the Company Address Number field on the Company Setup form for company 6000.

The system does not use company 00000 for transaction entries. Instead, company 00000 controls:

  • The company name that appears at the top of all reports.

  • Default values in the automatic accounting instructions (AAIs).

  • Default reporting periods for online inquiry programs.

After you set up companies, you create business units and assign them to companies.

This diagram shows the relationship between companies and business units:

Three companies and business units

The system maintains company information in the Company Constants table (F0010).

Nonlegal entities can be companies. For example, if you require a balance sheet at the division, district, or store level, you can set up each of these entities as a company. This setup provides for reporting and accounting at a lower level. You can consolidate these "non-companies" for true entity reporting through business unit category codes and data selection on reports.