Skip to main content

 

 

Coupa Success Portal

Create and Manage Business Entities

Introduction

The Business Entity is a record in Coupa that represents a company you are doing business with. You can use business entities to create parent-child relationships between business entities and between business entities and supplier records that let you share data throughout your hierarchies. Business entities help keep your supplier data consistent and reduce manual tracking that you need to do to manage related suppliers.

How it works

Business entity data inheritance

The business entity is a non-transactional record that you can use to share risk scores between parent business entity records and their child business entity and supplier records. You can choose how your business entity records share risk scores with their children both globally and within the business entity record:

  • Globally: Each business entity record can use the global sharing setting to either allow data sharing for all business entity records or not. Go to Setup > Suppliers > Data Sharing Settings and select Activate to allow data sharing or Inactivate to prevent data sharing. By default, global sharing isn't enabled.
  • Business entity record: You can choose whether to use the global sharing setting (as described above), to override the global default and always share data, or override the global default and never share data.

If a child record has its own risk scores, it doesn't inherit risk scores from its parent, even if the parent record is set to share risk scores with the child record.

These options determine how your business entities share their risk scores. For example, let's say that we have Business Entities 1, 2, and 3 and Suppliers 1, 2, 3, 4, and 5, as illustrated in the image below:

business_entity_sharing_tree_updated_r31.png

Business Entity 1 is the parent record of Business Entities 2 and 3 and Supplier 1 and shares its scores with its child records, so:

  • Business Entities 2 and 3 and Supplier 1 all inherit Business Entity 1's risk scores.

Business Entity 2 is the parent of Suppliers 2 and 3 and shares its scores, so:

  • Supplier 2 inherits Business Entity 2's risk scores.
  • Supplier 3 has its own risk scores, so it uses its own scores and doesn't inherit scores from its parent.

Business Entity 3 is the parent of Suppliers 4 and 5 but doesn't share its scores, so:

  • Supplier 4 has its own risk scores and uses those.
  • Supplier 5 doesn't inherit Business Entity 3's scores. Instead, it inherits Business Entity 1's scores.

View supplier business entities

If you have the Admin or Business Entity Manager roles, you can view your organization's supplier business entities on the Business Entities screen. Navigate to Setup > Suppliers > Business Entities.

business_entity_data_table_clean_r31.png

Column Description
Name A unique name the supplier business entity is identified by throughout many different areas in Coupa.
Type

Whether the business type is legal or organizational.

For more information about what the type is used for, see Business Entity Record Fields.

Status

Supplier business entities can either be active or inactive.

For more information about business entity status, see Business Entity Record Fields.

Display Name An optional, more friendly name for end users.
Actions

You can complete the following actions:

  • Edit (edit_pencil_icon.png): Opens the record for editing. For more information, see Business Entity Record Fields.
  • Activate (activate.png): If a business entity is inactive, select to activate it so it can be used in relationships.
  • Inactivate (inactivate.png): If you don't want a business entity to be used, select to inactivate it. Inactive business entities can't be assigned in relationships.
  • Locked (locked_icon.png): If a business entity is included in an active relationship, you can't inactivate it. Edit the Business Entity record and inactivate any active relationships.

View business entity hierarchy

  1. Go to Setup > Suppliers > Business Entities.
  2. Select the business entity record whose hierarchy you want to see.
  3. Select the Overview tab.
  4. Review the hierarchy in the Hierarchy section. You can select View as table to see the hierarchy in table format. If the hierarchy is too large to display, Coupa displays an image that instructs you to use the table view instead.
    Business entity hierarchy visualization.

You can hover over a record in the hierarchy to see that record's spend and risk metrics. If you want to see more information about that record, select View Details to navigate to that record. If the hierarchy is larger than its section on the page, select Expand BE_expand.png to display the full hierarchy.

You can also recenter the hierarchy by selecting a record in the hierarchy. Coupa adjusts the hierarchy to display only the records directly associated with the record you selected.

Content group permission restrictions apply to the hierarchy view and table. If a user doesn't have permission to view a record, the record displays either Business Entity or Supplier instead of the record name and doesn't display hover information.

View business entity metrics

For metrics to calculate correctly, you need a Community Intelligence license. Calculations don't occur in Sandbox instances.

  1. Go to Setup > Suppliers > Business Entities.
  2. Select the business entity record whose hierarchy you want to see.
  3. Select the Overview tab.
  4. Review the metric tiles for financial data.
    Business entity metric tiles.
    Section Description
    Total Executed Spend

    Spend from all approved invoices in the last 12 months (current month excluded) for all records associated with this business entity.

    Total In-Flight Spend Potential spend from all in-progress requisitions, un-invoiced orders, and unbacked invoices pending approval.
    Total Contracted Value

    Potential spend from published contracts.

    Risk Summary

    The number of records in the Business Entity hierarchy that are at the highest risk level of the hierarchy. For example, if the highest risk level a record in the Business Entity hierarchy has is Medium, then the tile displays the number of records in the hierarchy that are Medium risk.

    Hover over the link to see the records at that risk level.

    If you don't use Risk Assess, this section doesn't display.

View business entity risk scores

You can view a business entity's risk scores on the business entity record.

  1. Go to Setup > Suppliers > Business Entities.
  2. Select the business entity record whose scores you want to see.
  3. At the end of the Name field, select the blue shield (business_entity_record_shared_score_shield.png). The popup window displays the business entity's risk scores.
    business_entity_risk_scores_updated_r31.png

If you want to view supplier risk scores inherited from business entities, you can do so from the Supplier Health page. For more information, see View Risk Score Details.

Create a business entity

  1. Go to Setup > Suppliers > Business Entities.
  2. Select Create.
  3. On the screen that appears, complete the fields. For field descriptions, see Business Entity Record Fields.

 The Data Sharing section determines how the supplier business entity records share risk data.

  1. Scroll to the bottom of the page and select Save.
  2. After saving, you can edit the record to add Business Entity Addresses, Business Entity Account Owners, and Business Entity Relationships. For more information, see Business Entity Record Fields for field descriptions and Create business entity relationships for instructions about creating relationships.

Create business entity relationships

  1. Go to Setup > Suppliers > Business Entities.
  2. Select the business entity you want to create a relationship for.
  3. In the Business Entity Relationships section, select Create.
  4. Complete the fields. 
    business_entity_relationship_window_r31.png
    Field Description
    Business Entity Displays the business entity name and isn't editable.
    Relationship Type Select whether you want the business entity to be the parent or child in the relationship you are creating.
    Related Entity

    Select the business entity you want to become the parent or child in the relationship, depending on what you selected in the Relationship Type field.

  5. Select Save.

Create supplier-business entity relationships

  1. Go to Suppliers and select the supplier you want to create a relationship for.
  2. Select Edit.
  3. In the Parent Company Type field, select Business Entity.

You can also create supplier-to-supplier sharing relationships. For more information, see Supplier Risk Sharing.

  1. In the Parent Company field, type in the business entity name and select it from the dropdown list.
  2. Select Save.

Edit a business entity

  1. Go to Setup > Suppliers > Business Entities.
  2. Locate the supplier business entity you want to edit and select the Edit icon (edit_pencil_icon.png).
  3. In the window that appears, complete your changes. For field descriptions, see Business Entity Fields.
  4. Scroll to the bottom of the page and select Save.

Inactivate business entity relationships

  1. Go to Setup > Suppliers > Business Entities.
  2. Locate the supplier business entity you want to inactivate relationships for and select the record name.
  3. In the Business Entities Relationships table, select Inactivate (inactivate.png) in the Actions column.

You can't activate a relationship after you inactivate it.

Activate or inactivate a business entity

  1. Go to Setup > Suppliers > Business Entity Relationships.
  2. In the Actions column, select either Activate (activate.png) or Inactivate (inactivate.png).

You can't inactivate a business entity if it is part of an active relationship. First, inactivate all of business entity's relationships. For more information, see Inactivate business entity relationships.

Change default global sharing setting

By default, global risk score sharing isn't enabled.

  1. Go to Setup > Data Sharing Settings.
  2. In the Actions column, select Activate in the Business Entity row to enable global sharing or Inactivate to disable global sharing.

Any business entity records with Use Default Setting enabled use the sharing setting you just enabled or disabled. Changing this setting immediately updates how supplier records set to use the default setting behave.

FAQ and Troubleshooting

Why can't I inactivate a business entity?

If a business entity is part of an active relationship, you can't inactivate it until you inactivate all of its active relationships. For more information, see Inactivate business entity relationships.

Why don't I see business entity metrics?

For metrics to calculate correctly, you need a Community Intelligence license. Contact your Coupa representative for more information if you'd like to get Community Intelligence.

Why don't I see business entity metrics in my Sandbox instance?

Business entity metrics are only available in Production instances.

  • Was this article helpful?