'Scaling, Rounding and Scaling' process in Tagetik

"Scaling, Rounding and Scaling" process in Tagetik¶

This chapter describes the "Scaling, Rounding and Scaling" process in Tagetik and how to make sure the execution of these activities is consistent with the specific nature of each activity.

For example, the activities related to the preparation of a "10Q/K" report can be of two types:

external reporting activities: these activities concern the preparation of the Document that will be published and its disclosure (typical "standalone" approach). These activities deal with the connection between the tables and the office client user interface, the collaborative comment associated with the tables and the related XBRL preparation. In this case, the tables to be linked to the Document come from any data source and are already in the right format, namely scaled, therefore it is not necessary to make any modification to data
Internal reporting activities: these activities include the preparation of the reports or of the tables to be published in the right format and scale, as well as the preparation of consolidated data that will be reported. In this case, it is not only necessary to comment and publish data from other data sources "as they are" but also to prepare data before they are connected to the office client user interface and before starting the collaborative comment

If a project includes "internal reporting activities", it is necessary to exploit the Tagetik CPMfunctionalities as well as the Tagetik Collaborative Office functionalities of Tagetik. For this purpose, we will describe the difference between the activities to be performed within the two modules and, keeping in mind that the "Scaling, Rounding and Balancing" process must be performed within the Tagetik CPM module, we will explain how to configure this process within the Tagetik CDM solution in order to make data consistent with the format required by Collaborative Office (typically scaled in thousands / millions). Please, consider that:

the Tagetik CPM module is the engine Tagetik uses to manage various processes (Consolidation, Budget, Profitability, etc.) and the related financial reporting; it's here that data are typically generated according to the implemented process and are then disclosed through the Excel user interface
the Tagetik Collaborative Office module is dedicated to the external reporting, the insertion of comments and the disclosure, in the appropriate format, of the information produced elsewhere (Tagetik CPM or other tools) and it uses the user interfaces of Microsoft Office Word and Power Point.

Process configuration¶

Configuring the process means managing the scaling and rounding of available data in whole numbers, Tagetik CPM side, in order to make them consistent with the format required by Tagetik Collaborative Office. Indeed, as stated before, for some projects there could be a problem in terms of scaling of data since data created CPM side typically show data of whole numbers, while the reports to be included into the "Narrative" documentation should undergo a different scaling (thousands, millions, etc...).

In order to meet these requirements, it is necessary to adjust CPM data to the appropriate format and detect any problem affecting the monthly / quarterly reports that may arise from the scaling procedure, in order to make sure that each modification is properly recorded in the database and therefore renewed for future monthly / quarterly filing.

First of all, it is necessary to take data to a level of detail suitable for the disclosure by adjusting the data model used for the CPM to the reporting structures and, more generally, to the data model required by the Collaborative Office and XBRL module, and then apply the scaling, the rounding and the balancing to such level.

In order to take CPM data to the necessary level of detail, we will use an "ETL Routine" but first we will have to set up:

a Transitory Lookup table; a transitory lookup table will be created for each analysis dimension in order to map the actual elements (or aggregation of elements) into an Intermediate Mapping Output . This output is aimed at creating a staging structure of elements that will be then combined to define an Output FST item ("Collaborative Office Account"). This lookup table will be populated either using the hierarchies, in order to reduce, where possible, the manual activity, or manually. This transitory lookup table is aimed at defining the various levels of detail for a given dimension before creating a "Master" Lookup table (the information that will be defined “OUTPUT” in the "Transitory" lookup table will be defined “INPUT” in the "Master" Lookup table)
a Master Lookup table; lookup table created by combining the various intermediate previously created structures in order to generate a specific Collaborative Office Account as Output.

Finally, an ETL Routine will aggregate data at "Collaborative Office Account" level and then will scale and round them according to the precision level required. The balancing of the "Collaborative Office accounts" unbalanced after the rounding (e.g. "Scaled Net income" in "P&L account" is different from the total "Net income per Segment" in another additional scheduling) will be managed by using the Standard Balancing of CPM Tagetik and not on the Collaborative Office module since balancing number must be recorded in the database in order to be conveniently reported on each subsequent archiving run.

Example¶

Let us assume that the application shows the “Total Revenues" per Business Segment b using at least two dimensions (Account and Custom dimension 1 per Business Unit). When this information is brought to Collaborative Office level, it will be necessary to turn these two dimensions into one dimension, namely the Account dimension, by conveniently aggregating the initial data at the necessary detail level. In other words, let us assume that data on the DB are structured as follows:


GL_ACCOUNT_1	BU_1	10,000
GL_ACCOUNT_1	BU_2	5,000
GL_ACCOUNT_1	BU_3	10,000
GL_ACCOUNT_2	BU_2	5,000
GL_ACCOUNT_3	BU_3	10,000

This set of data is shows separately in the Reports:

Report 1:
Total GL_ACCOUNT_1_25,000
Report 2:
GL_ACCOUNT_1_ by BU_1_10,000
GL_ACCOUNT_1_by BU_1_15,000

Since the two Reports need to be scaled in the thousands for the purposes of the Collaborative Office module, we will have to:

create three single Accounts:
CollaborativeOffice_TOTAL: single account containing the value for all the activities for all the accounts
CollaborativeOffice_1_BU_1: single account containing the value per BU_1 for all the accounts
CollaborativeOffice_1_BU_2: single account containing the value per BU_2 for all the accounts
and scale the created Account in the thousands

In order to obtain the total we should not scale each CollaborativeOffice_BU_2 e CollaborativeOffice_BU_1 account and then aggregate them; the total itself, if shown as a single row of the Report, must be treated separately. In order to get this result, we will have the following "Lookup Tables":

one Transitory Account Lookup Table:


INPUT	OUTPUT
GL_ACCOUNT_1	TRANSITORY_TOTAL_REV
GL_ACCOUNT_2	TRANSITORY_TOTAL_REV
GL_ACCOUNT_3	TRANSITORY_TOTAL_REV

one Transitory Segment Lookup Table:


INPUT	OUTPUT
BU_1	TRANSITORY_ALL_BUS
BU_2	TRANSITORY_ALL_BUS
BU_3	TRANSITORY_ALL_BUS
BU_1	TRANSITORY_BU1
BU_2	TRANSITORY_BU2
BU_3	TRANSITORY_BU3

one Master Lookup Table to feed the FST items of Report 1 and 2 mentioned above:


INPUT 1	INPUT 2
TRANSITORY_TOTAL_REV COLLABORATIVE OFFICE_TOTAL	TRANSITORY_ALL_BUS
TRANSITORY_TOTAL_REV COLLABORATIVE OFFICE_BU_1	TRANSITORY_BU1
TRANSITORY_TOTAL_REV COLLABORATIVE OFFICE_BU_2	TRANSITORY_BU2

The execution of this lookup table will generate the Output1 in which the values will be scaled and rounded.