What is functional area in SAP PSM - Public Sector Management?

SAP Term: functional area

• Component: PSM

• Component Name: Public Sector Management

• Description: A classification of financial transactions according to functions executed in an organization. The functional area provides information on the overall purposes or objectives for each transaction. Similar activities are grouped by functional area, based on high-level objectives for providing major services or accomplishing regulatory responsibilities. Organizations may establish functional areas that are at a lower level than those required for external reporting. Functional area groups must then be used.

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• Key Concepts: 
  Functional area is a term used in SAP Public Sector Management (PSM) to refer to a specific area of responsibility within an organization. It is used to define the scope of a particular job or task and to ensure that the right resources are allocated to the right tasks. 
  
  How to use it: 
  Functional areas are used in SAP PSM to define the scope of a particular job or task. This helps ensure that the right resources are allocated to the right tasks and that tasks are completed in an efficient and effective manner. Functional areas can be used to create roles and responsibilities for employees, as well as to assign tasks and resources. 
  
  Tips & Tricks: 
  When creating functional areas, it is important to consider the scope of the job or task, as well as the resources available. It is also important to consider how tasks will be completed and how resources will be allocated. Additionally, it is important to ensure that all tasks are completed in an efficient and effective manner. 
  
  Related Information: 
  Functional areas can be used in conjunction with other features of SAP PSM, such as roles and responsibilities, resource management, and task management. Additionally, functional areas can be used in combination with other features of SAP PSM, such as budgeting and reporting.