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Define Business Area in SAP
Definition of Business area :- Business Area is an organizational unit within financial accounting. It is a separate area of operations or responsibilities of organizational units of financial accounting that is used for internal and external reporting. Different divisions of each business with in a legal entity are created as Business areas for reporting of each operational areas. So Financial statements can be created for each business area and this financial statements can be used for internal reporting purpose.
Business areas are not assigned to any company codes.
Menu Path :- Enterprise Structure –> Definition –> Financial Accounting –> Define Business Area
Transaction Code for Creation of Business Area in SAP :- OX03
Steps for defining new Business Area in SAP
Step 1 :- Input transaction code SPRO in the commend field
Step 2 :- Select SAP Reference IMG ( Shortcut key F5 )
Step 3 :- After selecting SAP Reference IMG, follow the below structure to configure the Business areas
- Path :- SAP Customizing Implementation Guide ->Enterprise Structure->Definition->Financial Accounting->Define Business Area
Step 4 :- After Selecting Define Business Area, Select new entries to configure new Business areas
Step 5 :- Enter the four-character alphanumeric key in the business area field and enter the name of business areas in the description field and save the settings.
Now we have create 3 Business Areas ADKA, ADHY, ADMU using SAP FICO .
How to Define Business Area in SAP