Terms & Definitions


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Forecast
Process that assists in the preparation of a balanced budget. Budget Office utilizes the current budget and extrapolates a projection of this into the future based on inflators and data received from various departments and offices.
Full-Time Equivalent (FTE)
A FTE is the revenue dollars divided by a particular school's/organized activities tuition/fees. Depending on the number of part-time students, this number may be quite different from a "head-count". This equivalent is calculated by the Budget Office to monitor variances and utilized by the Cost Allocation & Analysis department to distribute expenses.
Fund
A Fund tracks balance sheet information by fund (fund code in old terminology), including expense and revenue balances. A Fund represents the basic unit that comprises the entire organizational and functional structure of Duke. A Fund must have a corresponding Cost Center, Profit Center, or WBS Element (Project) for transaction to be received.
Organizational (Org.) Code
Departmental position code within the company code structure.
Also referred to as "BFR Code".

The BFR code is a series of ten digit codes within the General Ledger that provides a five level organizational hierarchy structure. Every position and cost object at Duke will be linked to a BFR code at some level in the hierarchy.
Organizational Unit
An organizational unit is an eight-digit number that represents the hierarchical organizational structure with regards to HR and Payroll in the SAP system. For example, these eight-digit numbers can represent a department within the School of Medicine or a school within the Provost area. One example of an organizational unit is 50000393, which represents Cardiology within the Department of Medicine.

The term Organizational Units pertains to the HR and Payroll functions for both the University and Health System companies, while the term Org. Units pertains to a similar concept of a hierarchical structure for financial reporting purposes for Duke University.
Position Management
Position Management is handled though iForms and is a concept of position ownership by departments or major units, allowing them to better track and manage positions. Every position at Duke has a unique identifying number known as a "position management number" which will stay with the position throughout its "life" and is independent of the employee who may be filling the position. iForms is used for the processes of creating, modifying, deleting or reorganizing a position.
Project
A Project outlines all the pieces or steps of a project, including the Project Definition and the WBS (Work Breakdown Structure) in both a graphic and spreadsheet type format. At Duke, a Project is defined as any "fund code" with a beginning and ending date. Therefore, all fund codes beginning with 3xx and 7xx are managed as Projects in the PS module. These include the restricted funds, clinical trials (Duke Clinical Research Institute - DCRI), construction funds, and capital acquisitions (mainly for the Health system Company Codes 0020-0060).
Project Costs
All allowable costs, as set forth in the applicable sponsors cost principles, incurred by a recipient and the value of the contributions made by third parties in accomplishing the objectives of the award during the project period.
Project Definition
The framework laid down for all of the objects created within a project. The Project Definition contains dates and other organizational information that is binding for the entire project.
Revenue Fund
Profit Centers in the 111xxxx thru 140xxxx series.
Salary Setting
The Salary Setting Transaction in SAP is replacing the BPA system that was used for setting Faculty and Exempt salaries. It will be used to set individual salaries for the following types of employees:
-Faculty
-Exempt (monthly) Staff
-Non-Exempt (biweekly) Staff
SAP Salary Setting provides direct setting of employee rates for July 1 salary increases and should reduce the volume of Staff Change (PCN) forms. In addition to being fully integrated with the SAP HR-Payroll system, it offers an array of reporting and data entry capabilities. Security with the Salary Setting Transaction is identical to that of the Accounting View of Payroll report in SAP.

Service Centers
Departments or activities that provide goods or specific technical or administrative services for internal University operations and charge the user directly for these goods/services. Examples are Office Products/Services, Bulk Mail, Medical School Labs, NMR Facility, Computer Science Lab, etc
Settlement
Currently, Duke is using Settlement in SAP to "settle" the expense of a major construction Project, such as a building, from a Project to an Asset (capital acquisition) once complete. Also, Settlement is being used for minor construction Projects (under $100,000) in SAP, to "settle" the expense of the Project to departments/divisions who are funding the Project. This Settlement is done monthly and replaces a manual Journal Voucher done monthly in the past.

Settlement works as follows: the costs incurred in a Project on one or more receivers is automatically accompanied by corresponding credit postings to the Project itself. The costs settled are recorded on the relevant receiver. Debit postings assigned to the Project remain on display even after Settlement. Settlement can be performed as a simulation or an update.
Spread Codes
Spread codes define how the budget is distributed across the months. After budget development, the University Budget Office assigns the spread that was designated to a particular fund/G/L Account combination based upon the previous year spread. (For example, the initial spreads for the FY10 budget will be the same as those for FY09.) New fund/G/L Account combinations will receive the default 12 month spread (AAA). Spread codes can be changed in the budget modification file. Factors selected by the department and applied to the budget by G/L account within cost object; factors determine how the budget is calendarized throughout the fiscal year. Calendarization is reflected in SAP and BW.
WBS - Work Breakdown Structure / Work Breakdown Structure Element (WBSE)
The Work Breakdown Structure (known as WBS) is the hierarchical representation of activities and actions to be carried out on a Project. The activities and actions that make up the Work Breakdown Structure are known as the WBS Elements. Revenue and expense transactions are posted to each WBS element (node) of the Project. Reporting can be done on each WBS Element or the WBS for the Project as a whole.

On forms, this code designates where the payroll and related expenses are charged. Note: nine digits for the Health System and seven digits for the University
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