From highest to lowest, the location hierarchy is as follows:
Division - (Optional) the highest reporting level in the hierarchy — similar to a national office.
Region - (Optional) defines large geographical regions within a division such as a group of states.
District - (Optional) defines specific geographical territories within a region such as one state.
Facility - (Required) designates specific locations within a district.
Entities - (Optional) the non-structural components of a facility, such as parking lots, streets, and sidewalks, are on the same level with buildings. They are an optional part of the location hierarchy, but the cost information for an entity is not affected by the lower levels (buildings, floors, or areas). Entity costs roll up to the facility and higher levels.
Building - (Required) indicates buildings within a specific facility.
Floor - (Optional) designates separate floors within a building.
Area - (Required) the lowest level of the location hierarchy. Areas define specific sections within a building, such as rooms.
Although the division is the highest level, you can set up more than one division and each division can have numerous regions, districts, facilities, etc. The costs from all the lower levels roll up (accumulate) to the next higher level.
For example, if you have a division with three regions, four districts, seven facilities, and nine buildings, the total costs for all the lower levels accumulate at the division level. At the same time, you can generate a report about a single building, all buildings, one facility, or all facilities.
Records for each level are established using the Organization menu. Select the starting level, and then complete it and all successive levels to set up the hierarchy.