What is company in SAP

The company is also called as the internal trading partner. It is the highest level of the organizational unit and is used to consolidate multiple company codes information to generate financial statements.

Company in SAP S/4Hana – Scenarios

  1. It is an optional organization unit in SAP HANA and the highest organizational unit of enterprise structure
  2. The company is used to generate consolidation of reports and financial statements.
  3. The company can be assigned to one or more company codes
  4. To generate financial statements at the company level, company codes should be assigned to Company
  5. Company  is used for the Cross-Company Codes transactions.
  6. The currency which was assigned at the company (internal trading partner) level is called Global company currency.

Business Scenario: Requirement

  1. Adarsh Technology Ltd is medium sized enterprise and doing business in different countries like India, USA.
  2. To meet the requirements, we will create company and assigned this company to the company codes.

How to define a company in SAP S4 HANA

You can define a company in SAP HANA by using the following configuration steps

  • Menu Path: Enterprise Structure -> Definition -> Define Company Code
  • Transaction Code: OX15

Step 1: From the SAP Easy Access screen, enter SAP transaction code “OX15” in the SAP Hana command field and press enter to continue.

SAP Hana Transaction code OX15 Company code

Step 2:  On the change view international trading partners screen, display a list of defined companies in the SAP S/4Hana system. As it is a demo system of S/4Hana, it consists of a number of company entries. In real-time scenarios, an organization can consist of one company for consolidation reporting purposes.

To create a new company in SAP S/4Hana, click on the option “New Entries”

Company new entries in SAP Hana

Step 3: On new entries of the Company screen, update the following details

  • Company:  Enter the new key that defines the company in the SAP Hana system
  • Company name: Enter the name of the company
  • Company name 2: Enter the company name 2

Detailed Information

  • Street: Update the street address details of the company
  • PO Box: Update the PO Box number
  • Postal code: Update post code
  • City: Update the city name
  • Country: Update the country key, where the company is located
  • Language Key: Update the language key
  • Currency: Update the company currency key. As per our scenario, we have assigned the currency (USD) for the company: ADARSH, now this USD is treated as the Global company currency key for the company Adarsh Technologies.

Define company in SAP Hana

After maintaining all the required details for the company, choose the save icon to save the configured details in SAP S4Hana System.

Step 4: Now you are prompt for customizing the request number, click on create icon and enter the required details for customizing the request and click on the save icon to save the details.

Create create in SAP Hana

Now press enter and save the configured details.

Prompt request in SAP S4Hana

Successfully we have created a new company in the SAP S/4 Hana system.