Joint Venture Associate Consolidation Translation Question

Hi All,
I have two problems with our Joint Venture/Associate Entities and the way they translate/consolidate in HFM which I would appreciate some input on if anyone can help:
1. Our implementation of HFM is YTD and each period that period's ownership percentage is applied to the whole YTD balance of the P&L which doesn't account for period on period ownership changes. I believe I can overcome this by forcing HFM to think periodically with closing/opening balances and the consolidation rules but does anyone have a neat/best practice way of doing this?
2. We have movement tables on our Balance Sheet accounts so the consolidation of the JV/Associate's P&L to the Balance Sheet for the parent works on a YTD movement basis, forming the year's closing balance which rolls forward to the opening balance in the next year. This all happens at the Node at [Proportion] and [Contribution]. I need to find a way to make sure that the consolidated amounts are at the current period's closing rate by adjusting the opening balance. I can't see a way of doing this as I don’t think there is a concept of the <Entity Currency> balance at this level. Any thoughts on this? I can think of some really messy roundabout ways of doing this but am again wondering if anyone has already worked this through and come up with a neat/best practice way.
Thanks in advance for any input!

Hi there,
Do you use the default consolidation rules or you have written your own custom rules?
If it is custom rules then both questions can be easily fixed.
Kind regards,
Thanos

Similar Messages

Integrating Joint Venture staff in the enterprise structure - best ways?

Hi,
how would you integrate a new Joint Venture staff into the existing global structure of the enterpise (Personnel Admin and Talent/Development Management perspective)? What are the best practises? Joint Venture itself would be a separate Company Code ofcourse, but in the Personnel Structure itself, would you use a separate Employee Group / sub group values to determine the above mentioned population?
Thanks for your thoughts.

Hi there,
Do you use the default consolidation rules or you have written your own custom rules?
If it is custom rules then both questions can be easily fixed.
Kind regards,
Thanos

COI Joint venture

Could some one calrify the following on the COI
Question 1
For jointventure consolidation, the US GAAP says to follow Equity method if the subsidiary is incorporated one. If it is not to follow proportational consolidation.
What does it mean by incorporated. Does this means US registered company?
If so all JV's outside US can be consolidate on the basis of proportional consolidation?
Question 2
Suppose A is holding 60% stock in Joint Venture B and using proportional consolidation. I understnad reclassification function can be used for this. If so at the period end do we have to load the periodical balance each month thru flat file. Do I have to maintain Joint Venture B as company in BCS?
Or is there any alternative mechanism?

Hi,
A joint venture (JV) is an association of two or more parties formed to diversify risks, achieve operational efficiencies, and share in costs and revenues. Sharing is proportional according to each partyu2019s interest in the venture. Each cost object that is used to post joint venture accounting expenses must be assigned to a single joint venture.
Please find attached link:
http://help.sap.com/saphelp_oil472/helpdata/en/f1/9d2c3adcc8431be10000000a114084/frameset.htm
Ashok

How to implement Joint Venture accounting in BPC?

Dear Experts,
We have a requirement of configuring Joint venture accounting for our client. Our client has a 50% JV with an entity say ‘X’.
We are getting complete TB of the entity ‘X’ from the client, which we load into the system as LC values at NO_GRP.
We have maintained the below given ownership structure in Ownership manager:
And have defined following Methods and method based multipliers in the system:
Now, while performing consolidation, the requirement is to display just 50% of the values in all the accounts for entity X, as it’s a 50% JV and eliminate the IC transactions appropriately.
Currently, the reports are displaying 100% TB and performing 100% elimination for the IC transactions with entity ‘X’.
We would really appreciate, if you could please guide us on how to achieve the Joint venture accounting in BPC.
Thanks in advance.

Hi
Not sure if you found an answer to this, I just came accross your question while doing something else, but one thing does sprint to mind, did you configure the Cross Ownership data in the Ownership model?
Also, are you sure your share ranges on your methods are right? Do you want to use the proportionate method if you only have 30% ownership, for example? Obviously I cannot comment on your specific situation, but generally Equity method is used for ownership around the 20-50 % mark.

ICP Elimination Joint Venture

Hello All,
How to customize or achieve ICP elimination for ICP transaction happend with Joint Venture.
Example: A company which is not a JV and has intercompany transaction with company B which is JV.
A has value with B 100
B has value with A 100
JV POwn 50%
As B is JV, rollup would be 50%
When we run consolidation, only 50% of the transaction value will get eliminated. Where as from A company it is getting eliminated with full value.
also, tried in consolidation rule, if HS.Account.IsICP = True and strICP<>"[ICP None]" then PCon = 1 and calling PCon with elimination node is not working.
Can we achieve this in rule, if so, Is any way to eliminate only ICP transactions with full elimination and rest will consol proportionate.
Regards,
Raj-

Hi ,
We tried with below rule in ICP partner method which is not a JV.
vICPElimList = .Account.List("", "ICPAccounts")
   For each vICPElim in vICPElimList
   Set MyDataUnit = .OpenDataUnit("")
   lNumItems = MyDataUnit.GetNumItems
   For i = 0 to lNumItems-1
    Call MyDataUnit.GetItem(i, strAccount, strICP, strCustom1, strCustom2, strCustom3, strCustom4, dData)
    If strICP = "JV1" Then
     ICPPCon = HS.Node.PCon("S#Actual.Y#Cur.P#Cur.E#JV1")
     Call .Con("V#[Elimination]", -1*ICPPCon,"Elimination of JV at their values")
    End If
    If strICP = "JV2" Then
     ICPPCon = HS.Node.PCon("S#Actual.Y#Cur.P#Cur.E#JV2")
     Call .Con("V#[Elimination]", -1*ICPPCon,"Elimination of JV at their values")
    End If
   Next
   Next
Thought is that, for these ICP accounts and if ICP Partnet is JV, then call their (JV's) PCon % for consolidation. So, only that PCon % should eliminated.
But, no luck...
Is any other work around to eliminate only propotionate ICP value in other company when there is a tranaction with Joint venture.
Regards,
Raj -

Joint Venture Company - How to reduce to 50%?

Hello Experts,
I have a 50/50 Joint Venture company in ECC. I want to include only 50% of the value of it's transactions in Consolidation but have 100% of it's value in the BW Actuals and Planning Cubes that are used to load into BCS. What is the best way of reducing this to 50% - Is reclassification the correct method? If so, how? How do I set it up to reclassify for one company only?
Thanks in advance
Sheena

Hi Sheena,
Yes, the reclass is the proper method.
There are rather much info about proprtional consolidation in the forum. Search for it.
There are even topics in help:
http://help.sap.com/saphelp_sem60ep1/helpdata/en/44/68e2b58157311fe10000000a155369/frameset.htm

ECC 6: Joint Venture Accounting: SMARTFORMS available?

Hi there,
I'm a technical consultant, so I don't no much about this module. But I have a more or less technical question about the billing forms in Joint Venture Accounting:
We are using ECC 6 in this project, and there are still SAPscript forms customized for the billing forms. In general we are thinking about replacing all SAPscript forms by SMARTFORMS. But in JVA I didn't see a possibility to use SMARTFORMS for billing. Does anybody know if it is possible to use SMARTFORMS?
Thanks in advance and regards,
Martin

Dear all,
I am also searching for the config guides for JVA. JVA has already been activated in our system, but the blank configuration made us so confused about what we should do. I have 2 scenarios:
- Scenario 1: 2 companies form a joint venture (each party accounts for 50%), our client wants to record the venture's transactions in SAP system.
- Scenario 2: 2 companies sign a business cooperation contract, our client is responsible for recording all expenses and revenue and then allocate the profit to the other party.
Could you give me any config docs or any links to SAP config guides? Your help would be much more appreciated.
Regards,
Yen

Joint Venture Accounting Posting Period

What is the T-Code for opening Joint Venture Accounting Posting Period ?
The system prompts a warning when posting an operated or non-operated cash calls
I am new to SDN ,can anyone kindly refer to me the link where i can ask questions related to Joint Venture Accounting or Production Sharing Accounting.

I have a problem with periods of JVA, although they are closed you can record FI documents,
release 6.
Best regards
Antonella

Joint Venture Asset - How to charge

Hi,
We have scenario, where assets jointly owned by client and Joint Venture partner and maintained by client, whom we are implementing Oracle eAM.
50% of the maintenance cost to be charged to the Joint Venture Partner.
Can you please suggest me,how to map this scenario in Oracle Apps.
Thank You,
Regards,
Selvakumar

Hi Sheena,
Yes, the reclass is the proper method.
There are rather much info about proprtional consolidation in the forum. Search for it.
There are even topics in help:
http://help.sap.com/saphelp_sem60ep1/helpdata/en/44/68e2b58157311fe10000000a155369/frameset.htm

Proportionate Accounting for Joint Venture

Can anybody share with me how to do proportionate accounting for Joint Venture in HFM? We're using HFM9.3.

Follwing are the steps for doing performing custom defined consolidation :
1) define the method of consolidation in Consol Method in the application metadata
2) write the method specific consolidation rules in rules file.
3) in the ownership managment, set the entity as active, choose the method, define the ownership %
4) when you run the consolidation, you will get the desired result.

Activation of Joint Venture accounting for a Cocode

Hello Friends,
whenever there is residual payment for an invoice, the order number in the invoice (XREF1), should get copied to new customer line item created for the residual amount. To achieve this requirement business has informed us to activate T001-XJVAA = 'X'. Infact there are no activities of JVA for our client.
Could you please inform the customization steps to activate JVA. Please give the path in SPRO. what will be the impact if we activate JVA for a co.code if there are no JVA activities.
Thank you all in advance
Kind Regards
Lavanya

check this link, may be you can get an idea
Joint Venture Accounting documents
regards,

Hi Balance sheet and P&L project wise in case of joint venture.

Hi Gurus,
One of my client undertakes different projects like roads, building, bridge etc. with joint venture agreement.
Now he wants balance sheet and P&L with each project wise in case of joint venture.
In sap which module fulfill this requirement or Project systems will fulfill this requirement or not.
suggest me.
Regards
Sreenivas.P

Hi,
Joint Venture Accounting is used when you have atleast two partners - one is Operating and another is Not Operating. They share the risk and revenues. You can then create a JV Agreement using GJAA and Joint Venture Partners under this agreement using GJVV. Further you need to create Equity Group defining their profit sharing ratio.
JVA could be a solution for you since here you can get a report for each JV serparately. You can also use Cutback procedure to claim expenses from the non-operating partners.
However Project System is used for monitoring and executing projects with Budget controls and so on. You can integrate both PS and JVA for your solution.
Regards,
Sanjay

Joint Venture : tables updation for currency added to equity group

Hi All,
I want to know is there any table for joint Venture which would update the inception date for a particular equity group.
Ex : For Joint Venture ovski lets say equity group 001 has two currency NOK,USD
Later 2 new currency are added EUR,GSB so new equity group 002 has 4 currency....can we know the inception date for the added currency.
Is there any table which gets updated on the inception of new currency to a particular Equity Group against that venture.
Please do respond.
Regards,
Anu

>
anu shankari wrote:
> Please do respond.
>
Please do read the rules, they have a section about demanding responses, as well as one about posting in the right forum............

Joint Venture Activation

Hi Experts,
There is a radio button in IMG to Activate Joint Venture Accounting in SAP. I need to know if we activate this it will be activated in a single client or all the clients in the server.
Please help
Pratiksha

hi,
It will activate only in one client.
thx.
Ganpat

Configuring Joint Venture Accounting (JVA)

Can anyone help me with the step by step configuration steps for JVA? I am using ECC 6.0 and we do not have any Standard SAP Delivered JVA Config. This could have helped to copy tables from client etc.
We do not have the best practices of SAP JVA installed either. So I am doing the configuration from scratch. Do let me know if I can follow any methodology to configure the same.
Thanks in advance.
Lan

Dear all,
I am also searching for the config guides for JVA. JVA has already been activated in our system, but the blank configuration made us so confused about what we should do. I have 2 scenarios:
- Scenario 1: 2 companies form a joint venture (each party accounts for 50%), our client wants to record the venture's transactions in SAP system.
- Scenario 2: 2 companies sign a business cooperation contract, our client is responsible for recording all expenses and revenue and then allocate the profit to the other party.
Could you give me any config docs or any links to SAP config guides? Your help would be much more appreciated.
Regards,
Yen

Joint Venture Associate Consolidation Translation Question

Similar Messages

Maybe you are looking for