PCM_Balance Example

The PCM_Balance dimension keeps track of adjustments (custom calculations) and allocations (allocation rules), while preserving the original input data. We will demonstrate this using an example.

Assume you have the following members and POV:

Entities: Corp HQ, Marketing, Sales, Finance
Account: Utilites
POV: Actual, FY22, Jan, Working

The grid shows the PCM_Balance members in the columns, and the entites in the rows.

Grid showing PCM_Balance members in columns and entities in rows

In this example, we will:

Load input data
Run a custom calculation rule to adjust the utilities expenses by 10%
Run an allocation rule to allocate the adjusted data from Corporate HQ to the other three entities (Marketing, Sales, Finance)

After we load the data and run the rules, you will see that the Input total does not change, and the Net Balance only changes when we add an adjustment entry to modify the data.

As we go through this example, remember that PCM_Net Balance is the sum of Input, Allocation In, Allocation Out, Adjustment In, and Adjustment Out.

PCM_Net Balance showing PCM_Input and PCM_Net Change

Step 1: Load input data

We will begin by loading input data. In this example, we will load Utilites expenses of $3,000 to the intersection of Actual->FY22->Jan->Working->Utilities->Corp HQ->Input.

Step 2: Run a custom calculation rule to adjust Corp HQ utilities by 10%

The next step is to run a custom calculation rule to adjust the utilities expenses by 10%. The adjustment calculation is [PCM_Adjustment In]:=([PCM_Input],[PCM_Rule])*.10; with a target of Corp HQ->Utilities. The system finds the Input value for Corp HQ->Utilities and writes the adjustment value to the Adjustment In member. In this example, we specified the destination in our formula; it wasn’t chosen by the system automatically.

Grid showing Corp HQ utilites increased by 10%

Step 3: Run an allocation rule to allocate the adjusted data from Corporate HQ to Marketing, Sales, and Finance

When we run the allocation rule, the system takes Corp HQ->Utilities->Net Balance and allocates that to the other Entities->Utilities->Allocation In members, while also creating an offsetting entry for Corp HQ->Utilities->Allocation Out.

Grid showing the adjusted data from Corporate HQ to Marketing, Sales, and Finance

Notice that after running these rules, the Input total of $3,000 did not change, and the Net Balance only changed when we added the adjustment entry to modify the data. The allocation moves data around to different places, but none of the rule calculations ever change the Input data. If after running the rules, the Net Balance for Corporate HQ was $0, you could still go back and see the $3,000 that was originally loaded.

If we add the PCM_Rule dimension to this example, the information in the grid displays as follows. (The All Rules section aggregates all three steps.)

Grid showing the data with PCM_Rule applied