Authorize Cost Budget – A summary of the activity

This activity allows you to authorize a cost budget. A budget is effective only if it is authorized. Once a budget is authorized, analysis reporting, generation of the cost center – activity element rates or generation of standard item costs on budgeted figures is possible. You can authorize a budget that is in the “Fresh” status. The system updates the status of the budget as “Active” on authorization.

This activity allows you to modify the details of the budget during the authorization process. This activity also allows you to distribute the budgeted values of a “Period” budget based on an “Aggregate” budget and a seasonal adaptation pattern. You can also modify the details of the seasonal adaptation pattern. This activity also allows you to record your observations regarding the budget.

This activity also allows you to automatically generate a budget. If parameter for cost budget- ‘’Automatically roll up Cost Budgets from Definition Type - CC- Analysis- CE’' in ‘‘Set Finance Process Parameter’’ is set as ‘’Yes’’, then Budget No. shall get generated for other definition types- 'Cost Center' and 'Cost Center - Cost Element' on performing the Authorize task.

A new Budget No. shall get generated for other 2 definition type viz., Cost Center and Cost Center-Cost Element by replicating the Budget No. provided for definition type- 'CC- Analysis- CE' with '-1' and '-2' for the Transaction Type "Auto-Cost Budget".

Note: Automatically generated cost budgets cannot be modified. But if cost budget type- CC- Analysis- CE is amended then the other higher level budgets which were automatically created against the same shall get amended with new version number on authorization, irrespective of the set options in ‘’Set Finance Process Parameter’’.  

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