1. Implementing Enterprise Structures and General Ledger
  2. Example of Hierarchy Maintenance

Example of Hierarchy Maintenance

The following example illustrates how to maintain your hierarchy.

Scenario

Your organization, Vision Operations:

  • Decided in 2017 to begin using Oracle General Ledger, effective January 1, 2018.

  • Uses a single chart of accounts named Corporate Chart of Accounts. Since you only have one chart of accounts, this is also the name of the cube.

  • Uses a hierarchy to capture its cost center roll ups by line of business. The name of this hierarchy is Cost Centers Hierarchy.

At the end of 2018, your organization, Vision Operations, makes organizational changes to its lines of business. You add new cost centers and a new line of business. As a result, you must update your cost center hierarchies to ensure that financial reporting reflects the new organization hierarchy.

Don't make changes to the Cost Center Current hierarchy version if no account value changes have been made and the current hierarchies are working.

However, since there are changes, you must:

  1. Copy and backup the Cost Center Current hierarchy version to maintain history.

  2. Make changes to the Cost Center Current hierarchy version and change it to the new effective dates.

  3. Delete the hierarchy version named Baseline. You don't unpublish the hierarchy from the cube, as long as you follow the naming conventions discussed in the following steps.

  4. Copy the Current hierarchy version after changes are completed, and name it Baseline.

  5. Publish the Current hierarchy version again.

  6. Publish the new Baseline hierarchy version again.

After publishing both versions, there are still only two hierarchy versions in the cubes. The version name must always be the same across all periods. The name is referenced in financial reports, allocation rules, and Smart View queries. For example, Cost Center Current and Cost Center Baseline. Don't have a version named 2018 Cost Center, or 2019 Cost Center Current, or 2019 Cost Center Baseline.

This example assumes an annual change. It can also be quarterly, monthly, or as needed. Follow these steps for any hierarchy changes at any time for even regular maintenance, such as adding values or moving values in the hierarchy. Best practices recommend keeping your current and baseline hierarchy versions synced.

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