The hierarchy budget is used when you want to generate a budget where actual cost, forecasting, and budget set are all aggregations of a lower level in the org chart. For example, a “group” budget is based on aggregations of all teams composing them. Hierarchy budget allows this kind of creation and is completely based on your Virtual tags mappings.
These layers collectively form the overall company-wide budget. This allows role-based budget review and analysis of the different layers of a budget. For example, a specific team leader wants to review the budget for the specific application layer within the company-wide Hierarchy budget.
Important: For the Hierarchy budget level values to match, the cost mapping is based on the virtual tags mappings of the base budget. So only rules that are using the basic budget rules would be used.
Select Budgets.
Click New budget.
Click Hierarchy Budget.
Enter a Budget name.
Select the required Budget group (Virtual Tags) option- Which Virtual Tags are essential for creating the Hierarchy budget?
Select the required Base budget.
After selecting the relevant budget group and base budget values, a preview will appear, showcasing representative sample data.
The Budget alert is enabled by default. Should the forecasted cost surpass the set budget, an alert will be generated and displayed on the Anomaly page. If necessary, you have the option to deactivate the budget alert.
Click Create.
For any questions, please reach out to the Finout team.