Creating an Organizational Structure

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Creating an Organizational Structure



Creating an Organizational Structure

Before we go ahead and create an Organizational Structure, let’s have a quick look at the terminology used in the organization structure. Structures in SAP HCM

1. Organizational structure.
2. Enterprise structure.

3. Personnel structure
• • • Pay scale structure Applicant structure Wage type structure


Organizational structure: It contains organizational objects /elements. These are called building elements.

Organizational objects / elements are: Organizational objects Organizational unit Job Position Person Cost center Task Task group Org. key O C S P K T Ts

If we create any organizational object, System will assign a eight digit numeric number, which is called unique Number. 1. Organizational Unit: Represents a functional unit in your enterprise, Human Resources department, for example. According to how tasks are divided up within an enterprise, this could be a department, group or project team, plant, for example. Organizational units differ from other units in an enterprise such as personnel areas, company codes, business areas etc. These are used to depict structures (administration or accounting, for example) in the corresponding components. Kinds of organizational units A). Main Organizational unit / Root organizational unit: Whatever the organization we create for the first time is called Main organizational unit. B). Sub organizational unit: Under Main org. unit whatever we create is called sub org.units. 2. Job: Jobs, in contrast, are classifications of functions in an enterprise (administrator, for example), which are defined by the assignment of characteristics. Jobs serve as job descriptions that apply to several positions with similar tasks or characteristics.

Jobs are used as templates to create Positions that means to say without a job we can’t create a position. Example: • • • • •

Engineer Consultant Designer Administrator

3. Position: Represents a post that can be occupied by a person (employee) in the staff assignments of an organizational unit, purchasing administrator, for example. Positions differ from jobs. A job is not concrete but rather the basis for the creation of various positions with similar tasks and characteristics. . Positions are created based on jobs; it means to say without a job we can’t create a Position. Job Manager Position HR manager Marketing manager Finance manager Plant manager Production engineer Site engineer Software engineer SAP HR consultant FI/CO consultant SD consultant Software designer Web designer





Person: An individual, who is listed as an employee in Personnel Administration. A position can be occupied partially, hundred percentage. Task: It is a collection of duties and responsibilities. Tasks are assigned to jobs and positions. “Activity which is performed within an organizational unit”


Task group: It is a group of tasks which can be assigned either a job or a position.

* HOW TO CUSTOMIZE ORGANIZATIONAL STRUCTURE* Organizational structure can be created in three procedures.
1. 2. 3.

Simple Maintenance Expert Mode / Detailed Maintenance Organization and Staffing

Comment: If we create organizational Structure in any procedure, the same structure reflects in other two procedures.

If we create organizational structure in Simple maintenance and Organization and Staffing the relationship between the objects are assigned by the system. Where as in detailed Maintenance the user has to assign the relationship code. The relationship between two objects is expressed in three digit numeric characters. Each and every relation can be expressed in two ways. 1. Top down Æwhich is indicated with B 2. Bottom up Æwhich is indicated with A For example: TATA group of business---BÆtop down. TATA mobiles business-- -AÆbottom up In the above Organizational units i.e. BÆTATA group of business shows its relationship towards A i.e. TATA mobiles, in the same way A i.e. TATA mobiles shows its relationship towards B i.e. TATA group of business. That means to say TATA mobiles reports to TATA group of business / TATA group of business is the line supervisor of TATA mobiles. So we come to know that the lower level organizational object is A So we come to know that the higher-level organizational object is B The relationship codes can be seen through transaction code “OOVK” table name is T778V The relationship codes: Relationship code * 001 002 003 004 005 006 007 008 009 010 011 012 013 014 015 Is a subdivision of Reports (line) to Belongs to Is subordinate to (disc.) Is subordinate to Substitutes for Describes Holder Successor Substitute Cost center assignment Manages... Staffing requirement Cost distribution Is identical to Is subdivided into Is line supervisor of Incorporates Is disc.supervisor of Is supervisor of Is substituted by Is described by Holder Successor Substitute Cost center assignment Is managed by... Staffing requirement Cost distribution Is identical to

Relationship bottom up Indicates with A

Relationship top down Indicates with B

017 018 019 020 021 022 023 024 025 026 027 028 029 030 031 032 033 034 035 036 037 038 039 040 041 042 043 044 045 046 047 048 049 050 051 052 053 054 055 056 057 058 059 060 061 062 063

Is carried out by Previous org. assignment Planned org. change Is a specialization of Is equipped with Requires Reserves Takes place in Is attended by Is held by Has a prebooking for Imparts Presupposes Is a specialization of Requires Fulfils Is planned for Was attended by Is previous job of Is organized by Designated as successor Has potential for Supplies Was cancelled by Is an equivalent job Interests and preferences Dislikes Consists Of Created receives Contains Application by Is developed by Assesses Is a session of Attends session Still requires Uses (for attendee) Uses (for bus. event) Person has cost center Has attendee apprsl model Has event apprsl model Employee pool Capacity assignment Equals Requirement description Requires

Carries out Previous org. assignment Planned org. change Is a generalization of Is contained in Is required by Is reserved by Is location of Takes part in Is the instructor for Is prebooked for Is imparted by Is presupposed by Is a generalization of Is required by Is fulfilled by Can attend Attended events of type Is subsequent job of Organizes Designated as successor Is a potential of Is supplied by Has cancelled Is an equivalent job Interests and preferences Is dislike of Is part of Was created by Was created for Is an element of Application for Develops Is assessed by Is main event of Is attended by Is still required by Is used by (attendee) Is used by (bus. event) Persons on cost center Is at'ee apprsl model for Is event apprsl model for Employee pool Person assignment Equals Requirement description Defines demand for

064 065 066 067 068 069 070 071 072 077 080 081 083 088 089 090 101 108 200 201 202 204 207 208 209 210 220 221 222 223 224 225 226 227 228 230 231 232 240 250 262 263 264 280 281 282 283

Requirements definition Planned assignment Reserve pool assignment Exclusive temp.assignment No shift planning Is temporarily done by Responsible for cost plan Parallel temp.assignment Shift planning by Passes through Assigned to exposure grp Higher duty holder Is Key Position of Dotted Line Reports to Dotted Line Reports to Is responsibility of Country reassgmt to Is assigned to Replaces Assigned role Notification agent Possible roles Is identical to Is identical to Is filled by Substitutes with profile Belongs to Is object reference of Belongs organizationally Is assigned (valid.per) Is object type of Is event of Is method of Triggers Terminates Is part of Assignment exists Has element Existence depends on Is responsible for Reports to Belongs (not uniquely) to Belongs (uniquely) to Belongs to system Belongs to function Is an element of Sends message

Requirements definition Planned assignment Reserve pool assignment Exclusive temp.assignment No shift planning Works temporarily as Responsible for cost plan Parallel temp.assignment Shift planner for Is passed through by Exposure group contains Higher duty holder Incorporates Key Position Dotted Line Supervises Dotted Line Includes Is responsible for Country reassgmt from Is assigned to Is replaced by Role incorporates Notification agent Possible roles Is identical to Is identical to Has employment contract Substitutes with profile has Contains objects Incorporates SAP objects Incorporates(for valid.) Is container instance of Has event Has method Is triggered by Is terminated by Contains Assignment exists Is an element of Defines Is responsibility of Is superior of Incorporates (not unique) Incorporates (uniquely) Uses function Has combination Has object Receives message

290 291 292 293 299 300 301 310 311 312 313 314 315 400 401 601 605 606 607 620 700 701 710 711 712 750 751 752 753 754 755 756 900 903 962 963

Has administrator Partner agreement Maintains brokers Has user for commissions Is supported by... Is financed by... Increases Is responsible for Substitutes for Belongs to (reclassif.) Reclassified from Is to be financed by Responsible for Financing Is child of Is assigned Represents Is an Element Of Is attribute ref. for Is described by Is assigned Is responsible for Is assigned Fulfils Requires Imparts Vacant position in Is responsibility of Fills Publishes Publishes in Application by Has applicant Manager to manager Belongs to (alternative) Reports to (alternative) Belongs to (preferred)

Is adminstrator for Partner agreement Brokers are maintained Is user for commissions Supported Finances... Is increased by Is responsibility of Is substituted by Incorporates (re-valuatn) Reclassified into Is earmarked for Responsible for Financing Is parent of Is assigned Is Represented By Includes Element Refers to attributes of Descriptive element of Is assigned Is responsibility of Is assigned Is fulfilled by Is required by Is imparted by Incorporates vacant pos. Is responsible for Will be filled by Published by Publishes Application for Applied for position in Manager under manager Incorporates(alternative) Is superior (alternative) Incorporates (preferred)

Simple maintenance: How to create organizational structure in Simple maintenance? PathÆSAP easy accessÆhuman resourcesÆOrganizational managementÆExpert mode ÆSimple Maintenance Text Create Transaction code PPOC_OLD



Display Enter “PPOC_OLD” in the command field “Or” Go through the path


Click here to continue...

Press enterÆ you will get a screen “Create Organizational Unit”

Here in the above screen enter Organizational unit abbr. Name of the root organizational unit and its validity period.

After entering abbreviation and name of the unit, enter foundation day of the unit. Press enter or Press F8 or clicks on create. Then you will get a screen, which contains unique number organizational key

In the above screen we can see the organizational unit, which we have created. You can see “o” which specifies org. key (org. unit) and Unique No i.e. 50017316 Through this number we can identify this org. unit. This organizational unit is known as Main / Root organizational unit. HOW TO CREATE SUB ORGANIZATIONAL UNIT: We can create sub organizational units. Select “SSS1” and Press F7 You will get the following screen in which enter abbreviation and name of org. units.

Here too, enter abbreviation of the sub organizational units and name. Press enter

Like the above procedure we can create many organizational Units. How can we see this organizational structure in a structural procedure? ÆSelect the root organizational unit i.e. SSS1

Click on -Æ


Again click on Æ

to get only abbreviation codes

HOW TO CREATE JOBS: Now we are at a screen known as “organizational structure/ change Change the screen, so click on “Staff Assignments” or F8 Now we are into a screen know as “Staff Assignments/ change”

Now you can see a screen, known as “Staff Assignments / Change, where we can create jobs. So Press F9

In the above screen we have defined jobs abbreviations and text, Then press enter. Here we can’t see these jobs in organizational structure, but we can get a message on status bar like

“ Like this we can create many jobs as per our client requirement HOW TO CREATE POSITIONS Be sure that you should be at screen “Staff assignments / change: Select the Organizational unit in which you want to create position

Click on ”

” or F8

Now I have selected corporate office

Here, enter job i.e. mgr1.

Press enter so that this job will transfer under position field.

Here you can create a position

Here we can create 999 positions at a time, but here I have created only one position.

Save. Click on plus mark so that you can see the position

Like this we can create many positions as per our client requirement For more information you can see the positions list

Click here to continue...

HOW TO CREATE A CHIEF Be on the same screen “Staff Assignments/ Change Select the position to whom you are making as a chief i.e. I am selecting CEO 50017335 Click on Edit Æchief positionÆCreate.

Press enter Now you can see the chief position Chief position icon is Æ

REPORTING STRUCTURE It shows who is boss and who is subordinate and who reports to whom. Select the organizational units in which you are creating the reporting structure. For example I am selecting corporate officeÆclick on “Go to “and click on reporting structure.

Here we will get screen in which we are going to create a reporting structure.

Now select any position to whom you are making boss. I am selecting Position No 50017327 click on elevateÆ

Select the position who is immediate subordinate to him. i.e. I am selecting position no 50017328 ÆPress enter.

Like this you can create reporting structure. For more information you can see the total structure

HOW TO CREATE A TASK Click on Go to Æclick on Task Maintenance

Select customer task under task type and click on create or F5

Here write abbreviation and name of the task and press enter and save so that system will assign a unique number

Like this we can create many tasks as per our requirement HOW TO ASSIGN A TASK TO A POSITION Select the position to which we are assigning a task For example select position no 50017327 and click on “task profile” or F6

Here you can see position, job and Organizational Unit. Select the position and click on Assign task or F8Æenter the abbreviation of task which we have created

Press enter Again Press enter

Now here we can see the task, which we assigned to a position. . ACCOUNT ASSIGNMENT In account Assignment we have to assign company code, controlling area, personnel area, personnel sub area and business area to a position. Select the position to which we are maintaining the account assignment feature, click on Go to Æclick on Account AssignmentÆselect the position click on “account assignment feature or Shift F7

How to assign a cost center to a position Select the position and Press F7

Now we can see cost center how it is assigned to a position Which will reflect in Organizational Assignment (0001) infotype

How to maintain infotypes Organizational infotypes are: Note: Business area, cost centre and controlling area will be created by the Fi/co consultants. 1. Where do we create these Organizational objects? Transaction code “OOOT”

1. Where do we maintain number ranges to objects?
Transaction code “OONR” Table “t77Iv Where do we see info types in IMG? Transaction code “OOIT” table name t778t IT Info type Name

1000 1001 1002

object Relationships Description

1003 1004 1005 1006 1007 1008 1009 1010 1011 1012 1013 1014 1015 1016 1017 1018 1019 1021 1023 1024 1025 1026 1027 1028 1029 1030 1031 1032 1033 1034 1035 1036 1037 1038 1039 1040 1041 1042 1043 1044 1045 1046 1047 1048 1049 1050 1051 1060 1061

Department/Staff Character Planned Compensation Restrictions Vacancy Acct. Assignment Features Health Examinations Authorities/Resources Work Schedule work area Employee Group/Subgroup Obsolete Cost Planning Standard Profiles PD Profiles Cost Distribution Quota planning Prices Availability Indicators Capacity Deprec. Meter/Validity Business Event Info Site-Dependent Info Address Business Event Type Info Procedure Room Reservations Info Mail Address Scale Name Format Schedule Costs Billing/Allocation Info External Key Shift Group NICHT MEHR VERWENDEN Business Event Blocks Schedule Model Appraisal Model Info Results Specification Valuation Requirements Attributes Processing Modules Proficiency Description Requirements Attributes Job Evaluation Results Survey Results Business Event Demand Web Link

1062 1063 1070 1201 1205 1206 1207 1208 1209 1210 1211 1212 1213 1214 1216 1217 1218 1220 1221 1222 1240 1250 1251 1252 1253 1254 1260 1270 1403 1404 1500 1501 1502 1503 1504 1505 1506 1507 1516 1517 1518 1519 1520 1600 1601 1610 1612 1613 1620 1630

Knowledge Link Info business event grp Application area WF Object Method WF Workflow Definition WF Work Item Text Customer Task,replaces TS SAP Organizational Object Cost Data WF Container Definition WF Container Texts WF Event Binding WF Role Binding WF Other Binding Function Area Assigned Classification/Lock Ind. WF Def. Responsibility Activity Profiles Excluded Activities General Attribute Maint. Existence Dependency Prof.Gen.: Authorizations Prof.Gen.: Specifications Profile Gen.: Org. Levels Profile Gen.: Variants User Variables/Activ.Grps CIC Profile CO Group assignment Exposure: LTA Exposure: Task BS element management Pay scale valuation Allowance valuation Service type/category Budget Updates Budgeting Rule Reclassification rule Teaching hours Funding Status Excel Communication Assignment FM designation Integration FM Original budget Organizer ID (F) Statutory Specifications US Job Attributes WC State and Code WC State, Code, Attribute Job Attributes (D) NQF Unit standard

1631 1632 1633 1650 1651 1652

NQF Qualifications NQF Outcomes Equity Attributes (ZA) Grade (FR) Grades (BE) Occupational Categories

How to write a description to an object i.e. we have to maintain the infotypes:

1. Select the object to which you are going to write the description, Shift +F4 Here I am selecting

Shift +F4

Select description option.

And click on Æ Write the description like

Press enter and save.  

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