Consolidation Group in Oracle Fusion HCM

In Oracle Fusion HCM (Human Capital Management), a Consolidation Group is a feature that allows you to group multiple legal entities together for reporting and processing purposes. This grouping is especially useful when you have multiple legal entities operating under a single enterprise, and you want to manage HR processes and reporting across these entities more efficiently.

Here are some key points about Consolidation Groups in Oracle Fusion HCM:

1. Purpose: The main purpose of creating a Consolidation Group is to facilitate the management of HR-related processes, such as payroll, benefits administration, and reporting, for multiple legal entities as a single unit.
2. Multiple Legal Entities: In some organizations, various legal entities operate independently, each with its own HR processes and setups. The Consolidation Group feature allows you to group these legal entities together virtually without merging them legally.
3. Common HR Processes: By defining a Consolidation Group, you can establish common HR processes and configurations that apply to all legal entities within the group, streamlining HR operations and reducing administrative overhead.
4. Consolidated Reporting: Consolidation Groups enable you to generate consolidated HR reports across multiple legal entities within the group, providing a unified view of workforce data.
5. Data Security and Privacy: While HR processes can be streamlined, data security and privacy are still maintained at the legal entity level. The Consolidation Group does not compromise data isolation for individual legal entities.
6. Payroll Processing: With a Consolidation Group, you can set up payroll processes to handle employees across different legal entities efficiently. Payroll can be run for each legal entity independently while leveraging common setups and configurations.
7. Benefits Administration: Benefits programs and configurations can be defined at the Consolidation Group level, and eligible employees across various legal entities can participate in these programs.
8. Legal Entity Reporting: In addition to consolidated reporting, you can still generate HR reports specific to individual legal entities within the group.

It’s important to note that setting up a Consolidation Group requires careful planning and configuration. The specific steps and options available may vary depending on the version of Oracle Fusion HCM and your organization’s requirements.