Company code represent a individual enterprise entity for a company. based on the Company code you can generate you profit & loss, balance sheet, revenue Report and other Financial statement.
Company code four-digit alphanumeric key that represents an independent legal entity in a corporation, which may be subsidiary or specific company within a large group.
Company code Key Points:
- as per SAP company code must be 4 digit alphanumeric value.
- at least one company code should be created in sap for financial use.
- The company code corresponds to a legal entity. This is vital for external reporting to stakeholders and government agencies
- All financial related activities like Transaction, payments, Invoice, Asset, receipt etc. recorded within a specific company code to make sure handle the book separately.
- in case of multiple company code you can assigned to individual company code and then you can generate the consolidated report or statement.
- easy to handle the book or business entity based on individual company code.
- it will have full control for each company code setting based on business requirement.
- It manage it under one umbrella.
- you can have each country financials separately.
- Company code can be implemeted based on each country law and policies.
How to define a New company Code in SAP
Please use the below IMG path or Tcode to create a new company code in SAP S4Hana.
IMG Path: IMG Reference –> Enterprise Structure –> Definition –> Financial Accounting –> Edit, Copy, Delete Company Code
Transaction Code: OX02
Step1: enter Transaction Code SPRO on sap easy access screen and press enter.
Steps 2: In customizing the execute project screen select SAP Reference IMG
Step3: click on execute the below Edit, Copy, Delete check the Company Code
Step4: select Edit Company Code Data and click on this
we can create a company code by selecting the above two options. By selecting the first option copy, Delete, company code all the configuration and tables get copied automatically along with assignments.
now we are creating company code manually configuring all the assignment by selecting the second
Step5: click on New entry to add company code
- Enter new Company code key TM01
- Give the company name Tata Motor for identifying the company code key
- In Additional Data update the details of
City- Delhi
Country – India
Currency – INR
Language.EN
Click on Address and Update the following fields –
click on check to save.
Again click on save the company code data.
Now it prompts for customizing request number, select the customizing request number or click on the create icon to create a new customizing request number for the company code and save the details.
Check the Company Code Data in Table
We will check the company code data in table using Transaction code – SE16N
Company Code Table Name: T001
Execute
In this blog you will learn how to create company code in SAP S4hana and how to view the company code data in table.