3677209 - Functional Area Derivation with Manage Direct Activity Allocations Not Working as Expected

Expectation is for Functional Area derivation with the "Manage Direct Activity Allocations" app in SAP S/4HANA Cloud Public Edition to be sourced from the G/L account master data. However, the actual behavior differs from this expectation, and the functional area is not derived from the G/L account master data.

SAP S/4HANA Cloud Public Edition

By default, the Functional Area is derived based on the sender and receiver objects, such as cost centers, during activity allocation processes. For internal cost allocations, the functional area is pre-set and cannot be overwritten by substitution rules. Therefore, substitution for the Functional Area fails because the line items that contain a preset functional area already have values assigned during the allocation process.

The system is working as designed. Functional Area derivation during activity allocation is not performed from G/L account master data but rather from the sender and receiver objects. Substitution rules for the Functional Area only apply when no value is pre-defined for the respective line item. For internal cost allocations, since a functional area is pre-assigned, substitution does not apply. 

Functional Area, Manage Direct Activity Allocations, G/L Account Master Data, Internal Cost Allocation, SAP S/4HANA Cloud Public Edition, Substitution Rules, Derivation, Cost Center Allocation , KBA , CO-OM-2CL , Overhead Cost Controlling (Public Cloud) , Problem