Standalone CRM - Org Model

Hi.
Whenever I create a lead, the system does not suggest any org units when I press F4 in the Organization Tab.
We are using CRM standalone and have maintained the org model by:
1 - creating the root org
2 - creating the org units
3 - on the function tab, chose the type of organization unit (Sales org, group, or office)
4 - kept the R/3 information blank (since R/3 won't be used as a backend)
5 - saved the model
I have checked a similar post but no resolution was given. Any help would be appreciated.
Thanks.

Thanks Prem.
For the division, the setting in "Cross Settings for Division" is <i>Division not act</i>. By default R/3 dummy division was assigned to division 01.
What other division settings should be maintained? Should it be assigned as an attribute?
Thanks for the advice on the Best Practice documents. I used them as guides. I still encountered this error though.
Regards,
Rosette

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