Project Management

Get Involved. Join the Conversation.

Topic

    Xianyang Xia
    Associate project to contract lineAnswered
    Topic posted November 14, 2018 by Xianyang XiaRed Ribbon: 250+ Points 
    93 Views, 4 Comments
    Title:
    Associate project to contract line
    Summary:
    Shall we associate a project to contract line if their BU are different?
    Content:

    Shall we associate a project to contract line if Their BU are different?

    Best Comment

    Perry Unrau

    The project being associated to a contract line may belong to a different BU than the BU on the external contract, but the project must belong to the same legal entity as the legal entity of the contract.

    Perry

     

    Comments Are Closed

     

    • Xianyang Xia

      eg:

      Project A : US business unit

      Contract B with supplier party : CN business unit

      shall we associate project A to contract B's line ?

      Or , How can I associate project A to contract B's line?

       

      Thank you !

      • Perry Unrau

        For an external contract, the legal entity of the contract must be identical to the legal entity of the project being associated to any of the contract's lines.  For an intercompany contract, the legal entity of the contract is matched to the legal entity of the provider of a resource on an expenditure item and the legal entity of the bill-to account on the bill plan must be identical to the legal entity of the project being associated to the contract line assigned to that bill plan.

        Usually, business units in two different countries would belong to two different legal entities, meaning that there ought to be an intercompany contract owned by the CN business unit and legal entity with the US business unit and legal entity as the bill-to account and owner of the project.

        Perry

         

        • Xianyang Xia

          As you see in parties list in a sell contract : there is a supplier BU (default when contract is created), it is BU but not LE. So , may I add project whose BU is dfferent from the supplier BU but the LE is same as the contract to the contract line?

           

          Thank you

          Young

    • Perry Unrau

      The project being associated to a contract line may belong to a different BU than the BU on the external contract, but the project must belong to the same legal entity as the legal entity of the contract.

      Perry