Understanding Multisite Consolidations with Multiple Currencies

Multisite consolidations enable you to send account balances from multiple locations (or sites) to a central location. At the central location, you can then use the consolidated account balances for statutory and management reporting.

Two types of sites are involved in multisite consolidations:

• Source: any of the locations where account balances originate.

• Target: the central location (headquarters) that receives the account balances.

If the target and source sites have different currencies, the target site must use the JD Edwards EnterpriseOne Multicurrency Processing system. The source sites simply provide the data to the target site; therefore, the JD Edwards EnterpriseOne Multicurrency Processing system is not a requirement.

Before you can process multisite consolidations in a multicurrency environment, the balances of the source and target sites must be in one common currency. You run the Compute Restated Balances program (R11414) to restate company currencies (at the source sites) into the currency of the target company.