Setting Up Hierarchies Summary

 Why Hierarchies Are Needed

Hierarchies are needed for reporting purposes and to organize dimension members. Dimensions define your chart of accounts (COA) structure against which the Planful application stores the monthly summary financial account balances for an organization.

Hierarchies are created for dimensions defined on the Define Financial Segments page (accessed by navigating to Maintenance > Admin > Configuration Tasks). Each dimension is represented as the main level of a hierarchy as shown below.

Types of Hierarchies Explained

Planful offers several types of hierarchies you can create based on budgeting and reporting needs. The table below provides information on each type, when you should create that hierarchy type, and if it is required to be built or not.

Accessing the Hierarchy Management Interface

The Hierarchy Management interface is where you will create all your hierarchies; including Attribute hierarchies, Dated, and Alternate.

Access Hierarchy Management by navigating to Maintenance > Hierarchy > Hierarchy Management. You will be prompted to set a default way to access hierarchies; Edit or Read mode. Read mode does not allow you to save changes.

If you want to change your preference (from read to edit mode or vice versa), in the Hierarchy Management screen select More > Default View.

Exploring the Hierarchy Management Interface Panes

Hierarchy Management is made up of 3 panes (left, center, and right).

• The left pane is where you select the hierarchy you want to work with. It is also where the hierarchy is displayed.

• The center pane is where the contents of a rollup member or the leaf level members are displayed.

• The right pane is where properties are displayed for leaf members. It is also where you define/set/apply properties for each member, including; default properties, segment properties and user defined attributes.

  

Exploring the Top Ribbon

Top Ribbon Icons/Functionality In View Mode:

Top Ribbon Icons/Functionality In Edit Mode:

Search

Hierarchy Path

Show / Hide Columns

Sort

Add

Cut / Paste

Copy

Three Vertical Dots

Search

Search for hierarchy members.

To perform a basic search:

1. In the Search box, click the down arrow. Filter search options appear.

2. Select from: Label (code + name), Code, Name, and IDX.

3. Enter search criteria in the Search box and then click the magnifying glass icon. The search results appear.

Use an advanced search to produce or narrow and results. You can write a query using Type, IDX, Label, Code, and Label columns with the operators ( <, >, =, !=), and use the keyword And.

For example, if you want to search for rollup nodes "Label1" and "Label2," the query you would input is Label=Label1 AND Label=Label2

Locate Results Display

When you search a hierarchy for a member, you can use the Locate button to display the location of a selected member within the hierarchy. The parent member displays in the hierarchy in the left pane, the member displays in the center pane, and the member’s properties display in the right pane.

In Practice

1. Access Hierarchy Management by navigating to Maintenance > Hierarchy > Hierarchy Management.

2. Perform a search. In this case, ot is entered in the Search field. Results are displayed.

   

3. Select a member.

4. Click the Locate button. Results display with the parent member highlighted in blue in the left pane, the member highlighted in blue in the center pane, and properties are displayed in the right pane.

   

Hierarchy Path

The hierarchy path is displayed based on where you navigate within a hierarchy.

Click a member in the path and the parent member will be displayed in the left pain and the member itself will be displayed in the center pane.

Show/Hide Columns

You can display members in the center pane by IDX, Code, Name and / or Label as shown below.

Sort

Sort members in ascending and descending order.

Add

Click the plus icon to add a member to the hierarchy.

Add a Rollup Member:

1. Ensure Hierarchy Management is opened in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the desired member location.

4. Click Add.

5. Select Rollup Node from the Node Type drop-down list. For Rollup Node, you can only create a Rollup Member Node Sub Type.

6. Click Add.

7. Complete required fields (i.e. Default Properties).

8. Click OK.

9. Click Save.

Add a Leaf Level Member:

1. Ensure Hierarchy Management is opened in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the desired member location.

4. Click Add.

5. Select Leaf Node from the Node Type drop-down list. If you are adding a leaf level member in Financial Hierarchies, select Leaf Member or Calculated Member from the Node Sub Type drop-down list. If you are adding a level member in Entity Hierarchies, the default budget entity hierarchy selected in the Node Sub Type drop-down list.

6. Complete all the required fields (for example; Default Properties and Segment Properties).

7. Click OK.

8. Click Save.

In addition to adding a rollup member and /or leaf member, you can edit and delete each of these members. Information on how to do so is provided below.

Edit a Rollup Member:

1. Open Hierarchy Management in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the immediate parent member of the desired rollup member.

4. In the middle pane, select the rollup member. If the properties panel is not visible, click the three vertical dots, and then click Show/Hide Properties.

5. Edit the properties as needed.

6. Click OK.

7. Click Save.

Delete a Rollup Member:

1. Open Hierarchy Management in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the immediate parent member of the desired rollup member.

4. In the middle panel, select the rollup member.

5. Click Delete.

6. In the message that appears for confirmation, click OK.

Edit a Leaf Level Member:

1. Open Hierarchy Management in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the immediate parent member of the desired leaf level member.

4. In the middle pane, select the leaf level member. If the properties panel is not visible, click the three vertical dots, and then click Show/Hide Properties.

5. Edit the properties as needed.

6. Click OK.

7. Click Save.

Delete a Leaf Level Member:

1. Open Hierarchy Management in Edit mode.

2. Under Hierarchy Selection, select Type, Dimension, and Hierarchy and click Show.

3. In the hierarchy tree, select the immediate parent rollup member of the desired leaf level member.

4. In the middle pane, select the leaf level member.

5. Click Delete.

6. In the message that appears for confirmation, click OK.

Understanding the Difference between a Rollup Node and a Leaf Node

Rollup Node functions are different from Leaf Node functions. Leaf Node is the last level in a hierarchy and data can be loaded to leaf nodes. The data loaded to the leaf is rolled up to the leaf node's rollup member.

Cut / Paste

Use cut and paste to move members around within a hierarchy. Select the member, click Cut. Locate the place where you want the member and click Paste. You must be in Edit mode.

Copy

Use Copy to make a duplicate of a selected member. You must be in Edit mode.

Three Vertical Dots

Select from the following:

• Show/Hide Properties (the right pane).

• Export the hierarchy to Excel in one of the following formats: Tree, Level-Based, Parent-Child, Leaf Level.

• Create a Sibling Hierarchy. For MSOB (Multiple Set of Books), you will create a sibling hierarchy (to the main hierarchy versus a segment only). You might use MSOB when you need to provide financial statements for GAAP as well as IFRS. Information on Sibling Hierarchies and how to create them is provided below.

Exploring the Right Pane - Member Properties

This is where properties for each dimension member in the hierarchy are displayed. If you are adding members, it is where you will select/enter properties.

• Default Properties are available for all members.

• Segment Properties are available for leaf members.

• User-Defined Properties are specific to each application.

• Interim Currency Properties are available based on each application.

• Source Properties are available when using multiple set of books.

Exploring the Right Pane - Default Properties

Use the following Default Properties when adding, editing, and copying rollup and leaf level members.

• Member Code—Enter a member code for the leaf level node member or rollup node member.

• Member Name —Enter a member name for the leaf level node member or rollup node member.

• Parent Member —Displays the parent member of the node.

• Member Type — Displays the type of member: Rollup Node or Leaf Node.

• Member Sub Type —Displays the sub type of member. In Financial Hierarchies, the only sub type for Rollup Node is Rollup Member, and the sub types for Leaf Node is Leaf Member and Calculated Member. In Entity Hierarchies, the only sub type for Rollup Node is Rollup Member, and the sub type for Leaf Node is the default budget entity hierarchy.

• Rollup Operator —Select an operator to use in performing rollup calculations. Available operators are Add (=), Subtract(−), Multiply(*), and Divide(/).

Exploring the Right Pane - Segment Properties

Options available are based on segment.

• Account Group - Specify expense, asset, income, liability, statistical and/or equity for the selected account segment member.

• Credit/Debit - Specify credit or debit for the selected account segment member. This will affect reports. If your report displays negative numbers, you will need to change this property.

• Account Type - Select Balance or Flow. Balance accounts start with previous year ending balances and Flow accounts do not have any opening balances. Map Balance or Flow accounts to a selected account segment member.

• Currency Type - Select a defined currency type (created on the Currency Type page) to map to a selected account segment member.

• Normal Data Input Type - Select YTD or MTD to view accounts with a year to date or month to date input type. Map accounts to a selected account segment member. Generally, Income and Expense accounts are associated with MTD. And Asset, Liability and Equity Accounts are associated with YTD values. Statistical accounts can be set as either MTD or YTD.

• Variance Type - Select Positive or Negative. The variance is calculated as Actual - Budget or Forecast. Map positive or negative variance accounts to a selected account segment member.

• Trial Balance Account - Select Yes or No. A trial balance is calculated by summing the balances of all the ledger accounts. Debits must equal credits in trial balance accounts. Map trial balance accounts to a selected account segment member.

• Report Category - Each report category represents a desired level of a reporting view of the consolidated segment members. Report categories are used in standard reporting. Map the Report Category. Report Categories help you to categorize dimension/segment members and are created by clicking the Setup link under the Dimension/Hierarchy in the left pane. And then, under More, selecting Report Categories.

Exploring the Right Pane - Interim Currencies

If you enabled the Interim Currency option on the Define Currency Parameters Configuration Task (accessed by navigating to Maintenance > Admin > Configuration Tasks) and performed all necessary set up, then you can select to use this currency for specific dimension members in your hierarchy.

In the image below interim currency 1 (EUR) is selected for the Eliminations & Adjustments member.

Exploring the Right Pane - User-Defined Attributes

This portion of the right pane displays the available attribute selections defined for the selected member.

Finance Hierarchy

Overview

Set up a hierarchy for each financial segment/dimension that you added on the Financial Segments Configuration Task page (accessed by navigating to Maintenance > Admin > Configuration Tasks). You will load members to Planful for each dimension. For example, if you created a Company segment, you can load all company data to build a financial hierarchy.

Setup for Finance Type Hierarchies

Clicking Setup displays the Financial Hierarchies Setup page. You can add hierarchies based on the dimension you select by clicking the Add icon.

You can add an Attribute, Alternate or Dated hierarchy to a selected dimension.

You cannot edit a hierarchy once its' members are in use. For example, you can't edit an Attribute hierarchy if the members are used in reporting.

The icons/options in the ribbon of the Financial Hierarchies Setup page are explained below.

Add - Click to add a new Attribute, Alternate or Dated Hierarchy

Edit - Edit an existing hierarchy if not in use (i.e. used in reporting).

Copy - Make a duplicate copy of a selected hierarchy.

Three Vertical Dots- There are two options available; Report Categories and Attribute Setup. For Attribute Setup, see the Defining Attributes section. For Report Categories, see Understanding Report Categories.

How to Copy a Hierarchy

Let's say you want to duplicate the Department Main hierarchy and save it as an Alternate hierarchy where you can make modifications based on your reporting needs. To do so:

1. Select the Department Main hierarchy.

2. Click Copy.

3. Hierarchy Type is defaulted to Alternate Hierarchy.

4. Enter a Name and Description for your copied Alternate Hierarchy and click Save.

Reporting Members

What are Reporting Members and Why Do I Need to Create Them

Using the Segment Hierarchy page, you can create user-defined Reporting members used in the Consolidation module. The value of the Reporting members can be converted in multiple ways to achieve different calculations and meet reporting requirements. Independently create a Reporting member, assign a currency for values to be converted, choose currency exchange rates to be used for the conversion, and choose the calculation type to be used for the conversion. You can add a rollup child to a reporting member and then define calculation parameters by adding a Leaf Child to the New Rollup Child. An example of a Reporting hierarchy is provided below.

Important Notes:

• You can create up to five reporting members. If you would like to create more than five, contact Support. The maximum number of reporting members is twelve.

• Once a reporting member is created, it cannot be deleted.

• You can modify the settings of the reporting member and use it for another set of calculations. A reporting member can be modified any number of times.

• If the Consolidation Process is run after modifying the reporting member settings, data is automatically recalculated based on new settings.

The Leaf member becomes a Reporting member, available for selection on the Currency Exception and Calculation Exception pages.

The Properties pane contains Segment Properties configuration functionality, where you can define calculation parameters around the reporting member.

Use each of the fields under Segment Properties to map the reporting member to new currency parameters, used specifically to generate a Cash Flow report with a common currency, local currency, or other currency, when multiple entities are assigned to different local currencies.

A description of fields follows:

Overwrite default CTA is available for CTA Sets.

Calculated Members

What are Calculated Members and Why Do I Need to Create Them

Calculated members are calculations in a cube that are evaluated when a query is performed. They can be configured on a dimension in the main or alternate hierarchy. Calculated Members return a single member from a dimension. However, it is generally a combination of multiple members that results in the single member returned. For example, if you want to extrapolate the average unit price for all units in all locations within North America, you would have to include many account and product dimension members to return the one member, which is average unit price.

Calculated members contain a formula that allows further financial analysis. The formulas for creating calculated members are created using universally accepted formula syntax for accessing multi-dimensional databases known as Rules.

Some examples of calculated members are:

[Gross Sales] = [Sales]+[Freight Revenue]-[Sales Returns]

[Net Sales] = [Gross Sales]-[Sales Discounts]-[Sales Deductions]+[IC Sales]

[Operating Profit Margin] = ([Gross Profit]-[Operating expenses])/[Net Sales]

[Shipping Expenses] = {[Total Departmental Expenses],[Shipping Department]}

[Previous Month] = [Current Month].lag (1)

[Previous Quarter] = [Current Quarter].lag (1)

[Previous Year] = [Current Year].lag(1)

How to Add a Calculated Member to an Account Dimension

1. Navigate to Maintenance > Hierarchy > Hierarchy Management

2. Select the Account for Dimension and Hierarchy.

3. Click Show.

4. Select the rollup node to place the new formula member under that node in the hierarchy. The middle pane now displays members.

5. Click Add.

6. Select Leaf Node for Node Type and Calculated Member for Node Sub Type.

7. Enter the new member Code and Name in the Right pane.

8. Click the Formula icon. Enter the formula using the Formula Wizard. This is similar to the Advanced screen under Reporting

9. Click the Set button in the member toolbar.

10. Click Save.

11. Select the newly created calculated member from the hierarchy.

Calculated Member Example - Creating a Member and Including it in a Dynamic Report

In Practice

In this example, a calculated member is created in the Account Finance Hierarchy and named Gross Sales.

Property fields are completed and a formula is added via Rule Builder. In this case, the new Gross Sales account will be equal to gross revenue for all products minus returns.

In Dynamic Reports, the new Gross Sales account is mapped at the page level.

Run the Dynamic Report and all data is displayed for Gross Sales.

Alternate Hierarchies

What are Alternate Hierarchies and How are They Used

Alternate hierarchies provide information on a segment of your hierarchy and in some cases only certain members of that segment (based on how you set up the hierarchy). Alternate hierarchies use the same set of books for the alternate hierarchy and the segment the alternate hierarchy is based off.

Use Alternate Hierarchies to summarize specific members of a dimension for more granular reporting needs. For example, you need to combine Company cost centers in 3 different ways for reporting purposes. So, you create 3 different alternate hierarchies on the Company dimension.

Alternate hierarchy #1 - contains only those cost centers for management reporting

Alternate hierarchy #2 - contains cost centers for division reporting

Alternate hierarchy #3 - cost centers for legal entity reporting

How to Create an Alternate Hierarchy Using the Copy Functionality

Alternate hierarchies are generally copied from existing hierarchies and modified to suit more individual needs.

To make a duplicate copy of a selected hierarchy, perform the following steps:

1. Access the Hierarchy Management page by navigating to Maintenance > Hierarchy > Hierarchy Management.

2. Select the hierarchy you want to copy. In this case it is the Department Main hierarchy shown below.

   
   

3. Click Copy.

4. Hierarchy Type is defaulted to Alternate Hierarchy.

   
   

5. Enter a Name and Description for your copied Alternate Hierarchy and click Save.

   

How to Create an Alternate Hierarchy

1. Access the Maintenance > Hierarchy > Hierarchy Management page.

2. Under Hierarchy Selection, click Setup.

3. Select the dimension for which you want to set up the alternate hierarchy.

4. Click Add to add a new alternate hierarchy.

5. The dimensions selected defaults on the Add Hierarchy page. Select Alternate for Hierarchy Type.

6. Enter a name for the new alternate hierarchy and click Save.

7. Return to the Hierarchy Management page and select the dimension for which you added the new hierarchy.

8. Select the Hierarchy you just added in the Hierarchy list box.

9. Click Show.

10. Add members as you would with any hierarchy.

FAQs

Do Elimination companies in the main company hierarchy require a new code for the alternate hierarchies? Yes

Are the Elimination companies in the alternate hierarchies non-Elimination companies in the main hierarchy? Yes. The Elimination companies of the alternate hierarchies are in addition to the Elimination companies in the main hierarchy.

What is the main advantage and differences between Main and Alternate hierarchies; as it relates to Elimination companies?

As alternate hierarchies are used for reporting based on a different grouping, the intercompany Elimination company will be different than the main hierarchy. For example, using the image below, the main hierarchy is based on a legal entity and the Alternate hierarchy is based on divisions. The main hierarchy intercompany Eliminations for Company1 and Company2 are done in the Elim 1&2 Elimination company. Whereas, in the Alternate hierarchy, the intercompany Eliminations for Company2 and Company3 are done in the Elim 2&3 Elimination company.

For Sibling hierarchies, different types of financial statements for the same company hierarchy are required and the same Elimination companies are used.

Will Elimination companies in an Alternate hierarchy (which rolls up differently than the main company hierarchy) post different amounts based on the rollup structure? Yes

Do journal entries post the same amounts in an Alternate hierarchy? Transactions are not posted in an Alternate hierarchy. There can be no input to the Alternate hierarchy and the data that is posted to the main hierarchy is just reported differently using the Alternate hierarchy.

Can journal entries be different in Sibling hierarchies? Yes, this is possible as there are different leaf members under the main hierarchy and data posting is allowed under a different company. In addition to the data flowing from the source hierarchy, additional adjustments can be made directly to the Sibling hierarchy.

How do Eliminations in Sibling hierarchies work? Eliminations in Sibling hierarchies will be independent of the source hierarchy. You can post adjustments to sibling hierarchies using journals and then rerun Eliminations.

Alternate Hierarchy Use Cases - Intercompany Eliminations with Multiple Hierarchies

For reporting purposes there may be a need to create multiple company hierarchies with different intercompany Eliminations requirements. This section discusses how to accommodate additional hierarchies and best practices associated with intercompany Eliminations and reporting in Planful.

Use Cases:

1. You have a Legal Company hierarchy and another hierarchy for Management reporting, but intercompany Eliminations for both hierarchies are different because of the way the companies are grouped for reporting purposes.

2. You have a consolidated company view and a consolidated division view (where companies are grouped by division), but intercompany Eliminations between the two views is not unique.

Solution:

The following is a description of a Managed Rollup (Hierarchy 1) and a Divisional Rollup (Hierarchy 2).

In Hierarchy 1, the Elimination Entries need to be posted to Elim1 whereas in Hierarchy 2, the Elimination Entries need to be posted to Elimination companies Elim2, Elim3, and Elim4.

To handle this requirement in Planful, complete the following steps:

1. Setup one of these hierarchies as the Main hierarchy and the other as an Alternate hierarchy in Hierarchy Management.

2. Setup Elimination companies in the Main hierarchy to support the consolidation requirements of that structure.

3. Flag a company as an Elimination company on an Alternate hierarchy (even though this same company is setup as a non-Elimination company on the Main hierarchy) to support the consolidation requirements of that structure.

4. Run the Elimination process. based on where the Elimination companies are placed in the respective hierarchies (Main or Alternate), the system will eliminate properly and populate the data against the Elimination companies in each hierarchy to support complete reporting requirements.

5. Generate the different reporting views based on hierarchy selected. Selecting the required hierarchy (Main or Alternate) will determine the eliminating companies displayed on the report.

Dated Hierarchies

What are Dated Hierarchies and How are They Used

When there are changes in company organizational structures, you may need to manage multiple versions of hierarchies which existed during different periods in time. You may also need to generate reports using different versions of organizational hierarchies which represent different reporting positions of individual entities.

Dated Hierarchy allows you to manage hierarchies based on periods, allowing you to create a new version of a hierarchy and take a snapshot of the existing version.

A few examples: 

• Company 01 was part of a Parent group until December 2016, when it was moved to a different Parent group, and you need to generate reports using both Parent group hierarchy versions.

• Product 01 was part of a Product group until December 2016, when it was merged with a different Product group starting January 2017, and you need to generate reports using both versions of the hierarchies to understand the impact of the movement on the financials of the Product group.

How to Add a Dated Hierarchy

To add dated hierarchies, the Enable Dated Hierarchy option must be set to Yes on the Define Financial Segments Configuration task for the appropriate segments as shown below. Access the Define Financial Segments Configuration Task by navigating to Maintenance > Admin > Configuration Tasks.

Once enabled, complete the following steps in the Hierarchy Management interface accessed by navigating to Maintenance > Hierarchy >Hierarchy Management. Notice the Dated Hierarchies defined below.

1. Click the Setup link.

2. On the Finance Hierarchies Setup page, select the dimension and click Add.

3. Select Dated Hierarchy from the Hierarchy Type list-box.

4. Enter a name, display name, and description for the hierarchy.

5. Select the date the hierarchy will start and end.

Dated Hierarchies FAQs

Q. Does ownership or parent change require changes in Data Entry settings? 

A. No. Data Entry is done to the same company, and the calculations appear under new parents.

Q. How do I generate data for the company for all periods without having to select newly created companies?

A. Select the company, and in reporting section deselect the Org By Period member.

What is Org by Period, How to Access Org by Period, and How to Configure It

What is Org by Period

How to Access Org by Period

How to Configure Org by Period

What is Org by Period

Dated Hierarchies work in conjunction with Org by Period functionality. This functionality allows you to manage changes in organizational structure through acquisition, disposal, or change of parent company, and the associated changes for reporting and calculations. 

• Acquisition — Set the period from when the newly acquired company is active in the present organization. Values of the company are reported based on the period of acquisition. Settings are specific to the scenario, and you can have different calculations for different scenarios.
• Disposal — Set the period when the Company is inactive (i.e., defunct). Values of the company are stopped from the period of disposal. Settings are specific to the scenario, and you can have different calculations for different scenarios.
• Change of Parent Organization — You can create a version of the hierarchy when the parent change occurs using Dated Hierarchy. In this way you can generate reports based on older, and newer, organizational structures.

You define the ownership changes of a company in the Ownership Changes pane. This allows you to define details of change of Ownership - Acquisition Period (From), Disposal Period (To), and Ownership Changes.

How to Access the Org By Period Pane

1. Navigate to Maintenance>Hierarchy > Hierarchy Management.

2. Select the impacted leaf node from the hierarchy.

3. Click the Org By Period link.

For example, Acme Industries was a subsidiary of Acme Investments. In March 2017, majority share holding of Acme Industries was acquired by Acme Holdings, another company within the same group. Data for Acme Industries must roll up to different parents from the effective period to March 2017, with resultant data set as per figure below, with Data Acme Industries rolling up to New Parent from April 2017.

How To Configure Org By Period

1. Navigate to Maintenance > Hierarchy > Hierarchy Management.

2. Select the impacted leaf node from the hierarchy.

3. Click the Org By Period link.

4. Select Enable Org by Period Calculations.

5. (optional) Select the Change by Scenario to perform Org By Period calculations at the scenario level.

6. Enter appropriate active (From) and defunct (To) dates, as per the business case.

In Practice: From and To Dates

If From date is set to Sep-15 and To date is set to Jan-17, the start date of the calculation begins on the first day of Sep-15 and the end date is calculated on the last day of Jan-17.

In Practice: Ownership Changes

The first figure below shows a company which changed ownership from its parent company from Jan-16 to May-16, and then again from Jan-17 to Mar-17. The excerpt from a sample report in the second figure shows those ownership changes, in red font.

In Practice: Acquisition & Disposals

An Acquisition is the period from when the newly acquired company is active in the present organization. Values of the company are reported based on the period of acquisition. A Disposal is when the Company is inactive (i.e., defunct). Values of the company are stopped from the period of disposal.

Settings are specific to scenario, and you can have different calculations for different scenarios.

The Acquisition & Disposals tab shows Scenario and dates of activity or inactivity, in the From and To fields, for the company.

Org By Period Report Generation

When generating reports at the parent level with Org By Period data, each child is shown under the respective parent. If a report is required for a specific company, select the main company, and in the reporting dimension deselect the Org By Period reporting member.

Sibling Hierarchies - Multiple Set of Books

What are Sibling Hierarchies and Why Do I Need to Create Them

There are cases where, based on the type of financial statements you need to generate, that you will need to set up a second or even third hierarchy to represent a second or third set of books.

For example, you might create a sibling hierarchy to:

• Generate financial statements to comply with International Financial Reporting Standards (IFRS)

• Generate financial statements for tax purposes.

Planful offers an automated way of generating a second set of books. The system will generate a sibling hierarchy based off your main company hierarchy (or a sibling hierarchy) and then you’ll run the Consolidation Process. You can makes adjustments as needed to the sibling hierarchy.

Source Hierarchies Used to Create Sibling Hierarchies

While there are use cases where you might want to create a second set of books based off a main hierarchy, there are also use cases where you might want to create a sibling hierarchy based off another sibling hierarchy. For example, let’s say the Main Company hierarchy below is your original hierarchy used to generate all GAAP financial statements. The Sibling IFRS hierarchy represents your second set of books. Adjustments are made to the members of your second set of books in order to generate financial statements that comply with IFRS. This hierarchy is generated based off the Main Company (GAAP) hierarchy.

Now, you need a third hierarchy for tax purposes. You want to generate this hierarchy based off the IFRS hierarchy (not the GAAP hierarchy) because you want to include the adjustments made to the IFRS hierarchy. In addition, you make even further adjustments to the Tax hierarchy prior to generating those financial statements.

How to Create a Sibling Hierarchy Using the Main Company Hierarchy as the Source

1. Navigate to Maintenance > Hierarchy > Hierarchy Management.

2. Click More, than select Create Sibling Hierarchy. The Create Sibling Hierarchy screen appears.

3. For Source Hierarchy, select the main company hierarchy.

4. For Source Hierarchy Group, select from pre-defined system populated options.

5. For Target Hierarchy, select to create the sibling hierarchy under the parent (Main Company).

6. For Target Hierarchy Group, select the type of hierarchy you want to create. In this case, it is an IFRS hierarchy to generate IFRS financial statements.

7. For Suffix, enter an identifier to prepend each member in the hierarchy for identification purposes.

8. Click Save. Clicking save prompts the system to create the duplicate hierarchy which is then available on the Hierarchy Management page.

9. Navigate to the Consolidation Control Panel.

10. Select the hierarchy just created.

11. Click Consolidation Process.

12. Click the Process action.

13. Review the posted data by selecting the Consolidation Status report in the Consolidation Control Panel.

14. Post adjustments to the sibling IFRS hierarchy journals, for example, then run the Consolidation Process again.

How to Create a Sibling Hierarchy Using a Sibling Hierarchy as the Source

Perform all of the same steps under the Creating a Sibling Hierarchy Using the Main Company Hierarchy as the Source topic EXCEPT select the sibling hierarchy as the Source Hierarchy.

How to Add Members to Sibling Hierarchies

1. If you want to add a member to the hierarchy, first add it to the Main Company hierarchy.

2. Copy and paste it to the sibling hierarchy.

3. Run the Consolidation Process for both hierarchies.

Cloud Processing of Hierarchies

How to Use Cloud Processing for Consolidation Hierarchies

It is recommended that you create a cloud process to automatically process consolidations at a specified date and time, as follows:

1. Select Maintenance > Admin.

2. Click the Cloud Scheduler link under Administration.

3. Click Add.

4. Enter a unique identifier in the Code field.

5. Enter a name for the process you are scheduling.

6. Select email recipients.

7. Click Tasks.

8. Click Add Task.

9. In the Task Type field, select Consolidation.

10. Select the scenario for which the Consolidation Process will run.

11. Select Company.

12. Select the period for which you want consolidations processed or define a custom period.

13. Click Save.

14. Click Scheduler.

15. Select the Start Date and Start Time in which you want consolidations processed.

16. Select your Time Zone.

17. Click Save.

Report Categories

What are Report Categories

Report categories are assigned to dimensions for organization and reporting purposes. For example, an Account segment might have Gross, Equity, Assets, Liabilities, Revenue, Expenses, Statistical, and Default categories. Each report category represents a desired level of a reporting view of the consolidated segment members. Report categories are used in standard reporting.

How to Add a Report Category

1. Access the Hierarchy Management page by navigating to Maintenance > Hierarchy > Hierarchy Management.

2. Click the Report Categories option from the More list-box on the Financial Hierarchies Setup page.

   

   

3. Click the Add icon after selecting the Dimension on the Report Categories page.

4. Optionally, enter a name for the category and click Save.

5. Return to the Report Categories list.

6. Click Save Display Order to save the current order of the report categories as they are displayed on the grid.

7. To change the display order, select the report category on the grid and use the arrows.

Hierarchy - Reporting, Entity, & Interim Currency

Interim Currency Calculations to Include Directly Posted Common Currency Data

You can report in ANY currency no matter what currency or currencies your organization currently uses for reports. For example, an organization in the United States has its common currency as USD. The organization’s subsidiaries are in USD and EURO. The organization can report on all entities (those in USD and EURO) in EURO, USD, or some other currency entirely (e.g., Canadian dollar).

How to Convert a Reporting Currency

In this example, the currency for an organization reporting in USD is converted to Canadian dollar.

1. Access the Hierarchy Management page by navigating to Maintenance > Hierarchy > Hierarchy Management.

2. Select the Reporting dimension and hierarchy.

3. Create a reporting member and a child.

4. In the Properties pane on the right side of the screen, set the Currency Type to Account Based.

5. Set the Currency Code to CAD (Canadian dollar). Note that exchanges rates must be defined.

6. Select Yes or No depending if there are currency exceptions applicable to the conversion. Exceptions can be defined on the Currency Exception page.

7. Set the Calculation Type to Account Based.

8. Click OK and Save your selections.

   

9. Run the Consolidation Process by navigating to the Consolidation Control Panel, selecting the Consolidation Process, and clicking the Process action. Or, use Cloud Scheduler.

10. At this point, you can generate a report with the converted currency (which is Canadian dollar in this example) by selecting the newly created reporting member in the reporting dimension.

11. Change the currency associated with the reporting member on the Hierarchy Management page and run the Consolidation Process again to report in GBP. You can continue to change the currency and rerun the Consolidation Process to produce reports in any currency as long as conversion rates are defined.

How to Set Up Interim Currencies

Currency Exchange Rates are the basis for the application to calculate Common Currency and Interim Currency numbers. It's important to enter the correct exchange rates for a currency type, scenario and company combination. If exchange rates are not entered for the Interim Currency company, the application populates the Common Currency numbers as part of Interim Currency in reports.

Complete the following steps to setup Interim Currency:

1. Create interim currencies.

2. Map interim currencies to companies.

3. Make sure currency exchange rates are inputted against interim currencies for all appropriate currency types.

4. Run the Consolidation Process. Once the Consolidation Process is run, only then will data be posted against the Interim Currencies.

5. Process the reporting cube and validate the data in reports.

The example below provides a calculation for Interim Currency:

USD = Common Currency GBP = Local Currency EUR = Interim Currency

1 GBP = 1.4119 USD = A

1 EUR =1.2661 USD = B

1 GBP =1.11515678 Euro = A/B

960.18 GBP X 1.115157 = 1,070.75 correct amount in verify data as Interim Currency

How to Add Entity Currency

The Entity Currency option allows you to generate Cash flow reports in Local Currency. Add an Entity Currency to a reporting member as follows:

1. Navigate to Maintenance > Hierarchy >Hierarchy Management. Make sure you are in Edit mode.

2. Select Finance Hierarchies as Type, then select Reporting for both Dimension and Hierarchy.

3. Click Show. Select the Reporting Currency node you want to apply an Entity Currency to.

4. From the Segment Properties section of the Properties pane, expand the Currency Code, select Entity Currency as the Currency Code.

When the reporting member is added to a Dynamic Report, the Entity Currency is displayed.

Additionally, the following options are also available in the Segment Properties section:

Do Not Consider Opening Balance—Select if you want YTD values calculated in the first period to exclude the opening balance of the previous period.

Do Not Consider CC Data—Select if you do not want the common currency value to be converted and reported in local currency.

Additional Hierarchy Topics

Auditing Hierarchies

An audit log is maintained for each member in a hierarchy. Navigate to the Application Audit page (located under Maintenance > Audit) and select Hierarchies as the Audit Area.

Dimension Locking

If a user accesses a hierarchy under the Account dimension, for example, the account dimension becomes locked for all other users and any hierarchy under the Account dimension will be available as read-only. The lock is released when the user navigates away from the hierarchy or signs out of the application.

Calculating MTD and YTD Values for GL Data

When data is loaded, Planful automatically calculates either MTD or YTD values based on the data load rule setting.

YTD setting: MTD=YTD current period - YTD prior period

MTD setting: YTD=MTD current period + YTD prior period

Account Based: If account type is Flow then YTD=MTD current period + YTD prior period. If account type is Balance then MTD=YTD current period - YTD prior period.

How to Update a Report When Changes Are Made to Accounts in the Report

In order for any changes made to an Account to appear in Reporting, the following steps must be completed:

1. Update account properties in Maintenance > Hierarchy > Hierarchy Management.

2. Click Save.

3. Navigate to Maintenance > Reports > Process Reporting Area. Ensure the Scenarios tab is selected.

4. Process each scenario for which values should be re-calculated in the Reporting cube.

Disallowed Strings for Attributes and Dimensions

• Absolute, Actionparameterset, Addcalculatedmembers, After, Aggregate, All, Allmembers, Ancestor, Ancestors, And, As, Asc, Ascendants, Attribute, Average, Axis

• Basc, Bdesc, Before, Before_And_After, Bottomcount, Bottompercent, Bottomsum, By

• Cache, Calculate, Calculation, Calculationcurrentpass, Calculationpassvalue, Calculations, Call, Cell, Cellformulasetlist, Chapters, Children, Clear, Closingperiod, Coalesceempty, Column, Columns, CompensationItem, Correlation, Count, Cousin, Covariance, Covariancen, Create, Createpropertyset, Createvirtualdimension, Crossjoin, Cube, Current, Currentcube, Currentmember

• Default_Member, Defaultmember, Desc, Descendants, Description, Dimension, Dimension, Dimensions, Distinct, Distinctcount, Drilldownlevel, Drilldownlevelbottom, Drilldownleveltop, Drilldownmember, Drilldownmemberbottom, Drilldownmembertop, Drilluplevel, Drillupmember, Drop

• Employee, EmployeeType, Empty, End, Error, Except, Excludeempty, Extract

• False, Filter, Firstchild, Firstsibling, For, Freeze, From

• Generate, Global, Group, Grouping

• Head, Hidden, Hierarchize, Hierarchy, HomeBudgetEntity

• Id, Ignore, Iif, Includeempty, Index, Intersect, Is, Isancestor, Isempty, Isgeneration, Isleaf, Issibling, Item

• Kpi, Lag, Lastchild, Lastperiods, Lastsibling, Lead, Leaves, Level, Levels, Linkmember, Linregintercept, Linregpoint, Linregr2, Linregslope, Linregvariance, Lookupcube

• Max, Measure, Measures, Median, Member, Members, Membertostr, Min, Mtd

• Name, Name, Nametoset, Nest, Nextmember, No_Allocation, No_Properties, Non, Nonemptycrossjoin, Not_Related_To_Facts, Null, On, Openingperiod, Or

• Pages, Parallelperiod, Parent, Partition, Pass, Periodstodate, Position, PositionBudgetEntity, Post, Predict, Prevmember, Properties, Property

• Qtd

• Rank, Recursive, Relative, Rollup, Rollupchildren, Root, Rows

• Scope, Sections, Select, Self, Self_And_After, Self_And_Before, Self_Before_After, Session, Set, Settoarray, Settostr, Sort, Stddev, Stddevp, Stdev, Stdevp, Storage, Stripcalculatedmembers, Strtomember, Strtoset, Strtotuple, Strtoval, Strtovalue, Subset, Sum

• Tail, This, Toggledrillstate, Topcount, Toppercent, Topsum, Totals, Tree, True, Tupletostr, Type

• Union, Unique, Uniquename, Update, Use, User, Use_Equal_Allocation, Use_Weighted_Allocation, Use_Weighted_Increment, Username

• Validmeasure, Value, Var, Variance, Variancep, Varp, Visual, Visualtotals

• Where, With, Wtd

• Xor

• Ytd, key

What is the Hierarchy Usage Report

The Usage Report provides information about the segment member (like if the segment member is used in a budget entity, if the segment member has data, and if the segment member is used in template defaults.

The Usage Report displays:

• Label of the artifact where the member is used

• Type (Translations or Report Set or Template), and

• Path (exact line where the member is used - Reference Account or Destination Account).

Run the Usage Report from the Hierarchy Management page.

A sample Usage Report is shown below.

How to Provide Users with Access to Hierarchies

For financial segments (used in financial hierarchies) grant access via Dimension Security.

See the Reporting Admin Guide for information.

See Also: Hierarchy Admin Guide