For both security and reporting purposes you may wish to split up your organisation into separate groups or Organisational Units. To do this you must first define your organisation structure. 

Navigate to Configuration > General Configuration > Define Value Sets

Go to the Organisation Units folder and open, you will see your current organisation structure displayed By default there will only be one level, your company’s name at Directorate level.

Fig 1 - Organisation Structure

To create a Organisational hierarchy, highlight the top level and click the Add Child button at the top-right of the screen (or right click on your mouse) to add groups of Localities or Departments. You can add further sub levels by highlighting the next level value and clicking on Add Child again. 

The field will allow you enter as many sub levels as you require, the hierarchy structure uses a 'Parent' and 'Child' logic so for the above example, 'North West' is a Parent value and '#3434 Liverpool' is a Child value.

With this type of field there is a control setting held within the Manage Account Configuration screen which allows you to either allow or prevent Users from selecting a Parent value in this field.  If you have specified sub values then you can force your users to select these by making this setting to 'No' - this will prevent your Users from selecting a 'Parent' value in the field, they will always choose a 'Child' value.  If you have the setting set to 'Yes' then it means that you users can select the more generic 'Parent' value.

Fig 2 - Org Unit field control

The Organisational Unit values with the hierarchy will be displayed within the Organisational Unit field on the contract form and also the Summary screen if required.

TIP - This setting is only enforced if you do have hierarchy values, if you have only 1 level of values then this setting does not need to be altered.