Allocation of employees to the structures is the first step for entering personal data. Allocation to structures also help to find out the following:

Where does the employee work? Which position does the employee hold? How many hours in a period does the employee work? Which public holidays does an employee get? How is the employee paid?

There are 3 types of structures in SAP

Enterprise Structure Personnel Structure Organizational Structure

For an employee , information about these three structures is stored in IT0001

Enterprise Structure

Below is a sample Enterprise Structure-

There are 4 main components of the enterprise structure

		Client

		Company Code

		Personnel Area

		Personnel Subarea

Lets look into them in detail CLIENT

			It is an Independent legal and organizational unit of the system. A client generally is an entire corporate group(example GE).

			It can be a identified by a 3 character alphanumeric code (like 058,AZZ)

			No data exchange can take place between clients (only in exceptional cases)

			An employee who changes from one client to another must be assigned a new personnel number

			Client 000 is delivered by SAP and should not be changed.

			Your SAP system contains both client-independent (e.x. programs , transactions , reports) and client-specific elements.(hr master data , om master data)

COMPANY CODE

			The company code is an independent company with its own Accounting unit; a company that draws up its own balance sheet (e.x. GE Chemicals , GE electric).

			Identified by a 4 character alphanumeric code (ex. 0001,AB01)

PERSONNEL AREA

				It represents a subdivision of the company code (Ex GE Chemicals Australia , GE Chemicals UK)

				Identified by a 4 character alphanumeric code (ex. 0001,AB01)

				You have to assign unique personnel area to company code

				Personnel Area  is used as selection criteria for evaluations and used in authorization checks

PERSONNEL SUBAREA

			It represent a subdivision of the Personnel Area (Ex for GE Chemicals UK , valid personnel subareas could be GE Chemicals London , GE Chemicals Brussels)

			Identified by a 4 character alphanumeric code (ex. 0002,ABCD)

Some important indicators set by the PSA include groupings for the following:

					Default values for Pay scale area and Pay scale type

					Public Holiday calendar

					Appraisals

					Assigning of legal persons

					Default values for Basic Pay

					Grouping for wage types

					Assignment for tax-related corporate features

Company regulations (for HR) are defined at the Personnel subarea level. These regulations maybe legal, contractual or company-specific.

Personnel Structure

				Personnel structure displays position of individual people in the enterprise as a whole.It comprises of

Employee Groups

Employee Subgroups.

				Examples: Active, Retiree, External

EMPLOYEE GROUP

					Employee Group is used to classify employees in general terms.

					It defines the position of the employee within the company’s workforce

					Identified by 1 character alphanumeric code (Ex 1 , A).

					Examples of different valid Employee Groups would be Active, Pensioners, External

					Employee Group  has the following important organizational functions


							Can be used to generate default values for data entry, example for Payroll accounting area or an employee’s basic pay.

							Can be used as a selection criteria for reporting.

							Can be used as an entity for authorization checks.

EMPLOYEE SUB-GROUP (ESG)

						Employee Subgroups are subdivisions of Employee Groups.

						Each ESG is assigned a 2 character alphanumeric identifier ($$).

						Examples of valid ESGs for an Active employee would be Trainee, Hourly Wage Earner, Salaried Employee, Non-pay scale employee

						Employee regulations (for HR) are defined at the Employee Subgroup level.

						Some important indicators set by the ESG include groupings for the following


								Work Schedules

								Appraisals

								Grouping for Wage types

								Grouping for Collective agreement provision

								Processing of employee’s payroll

								Assigning employee characteristics like activity status, employment status and level of training.

								Time quotas

								Payroll Area

Organizational Structure

							It is based on Organizational plan.

							Organizational plan provides foundation of Organizational Management.An organization uses an organizational plan to represent relationships between individual departments and workgroups

							The organizational plan uses elements called objects like Persons (P), Jobs (C), Positions (S), Organizational Units (O), Cost Center (K) etc.

							There are interfaces present that help one to build Organizational Structures

Integration of OM and PA

									Integration switch – PLOGI ORGA integrates PA (Personnel Administration) and OM (Organizational Management).

									If integration between PA and OM exists, then on entering a position in Actions Infotype (0000), system proposes values stored in OM for EG, ESG and PA.