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Saturday, July 13, 2013

Period Closure Activities For Oracle Apps

Period Closure Activities For Oracle Apps


The following is a note on the period closure process entailing the checking of transactional data, running of transfers of transactional data to the General ledger, reviewing/reconciling of reports and closure of periods in Oracle’s modules. These activities can be taken up roughly in the sequence in which they have been detailed below. Several of these activities (like GL transfers, reconciliations) can be performed concurrently prior to the closure of periods. However, the specific activity of closing of periods in respective/relevant modules should take the following order:

Close Period in Payables
  1. Close Period in Purchasing
  2. Close Period in Inventory
  3. Close Period in FA
  4. Close Period in Receivables
  5. Close Period in GL
S.No
Activity
Reports To Check
Remarks
AP1
Run Payables Accounting concurrent Process
View Payables Accounting Process Output for any exceptions
Frequency: Daily

AP2
Payables transfer To GL Process and POST Journal
Review Journal Import Execution report for exceptions
Frequency: Daily

AP3
Open Next AP Period
Frequency: Month End
From Control Payables Period
AP4
Run Unaccounted Transaction Report
Review Output
Frequency: Month End

AP5
Sweep Unaccounted Transactions If any to next period OR correct the accounting in the current Period
Review output
Frequency: Month End
Sweeping  can also be done from Control Payables Period while closing the period
AP6
Reconcile AP Trial Balance To GL
Review For Following Reports
a. Posted Invoice Register
b. Posted Payments Register
c. Review Payables Trial Balance Report and Reconcile.
Frequency: Month End

AP8
Run Mass Addition Create
Review output
Frequency: Month End

AP8
Close Current Payables Period
Frequency: Month End
From Control Payables Period
PO1
Open New Purchasing Period
Frequency: Month End
From Control Purchasing Period
Ensure AP8 is done.
PO2
Run Journal Import for Purchasing GL Batches and POST Journals to GL
Frequency: Daily
Please run import in summary Form.
PO3
Close Purchasing Period
Frequency: Month End

FA1
Review and Post Mass Addition
Frequency: Weekly

FA2
Enter Manual Assets
Frequency: As and when

FA3
Execute Asset Maintenance Transactions
Frequency
Transactions like Retirements, Transfers..
FA4
Run Depreciation
Review output
Frequency: Weekly

FA5
Run Report Sets and reconcile with GL
Report Set
a. Cost Summary/Detail Reports
b. Reserve Summary/Detail report
c. Reconcile Addition/Reclass/Transfer/Adjustment
d. Account Reconcile Reserve Ledger Report

FA6
Run Depreciation with Period Close checked
Review output
Frequency: Month End
System Closes the current period and opens the next period
AR1
Ensure All Transactions are completed
Ensure a l invoice- able  shipments are auto invoiced in AR
Run Margin Analysis Load Run( for Current Period )
Run Margin Analysis Report for OM
Review Output of Sales and Shipments

Frequency: Month End

AR2
AR  transfer To GL Process and POST Journal
 Review Journal Import Execution report for exceptions
Frequency: Daily / Weekly

AR3
Run Period End Report Set
Reconcile AR India Trial Balance To GL
AR Reconciliation Report
Other Reports:
  • Aging Reports  - For  Beginning Balance 
  • Transaction Register-  For Invoice, CM/DM Transactions 
  • Adjustment Register -  For Adjustments 
  • Invoice Exception Report  - For Invoice Exceptions 
  • Applied Receipts Register - For Applied Receipts 
  • Unapplied Receipts Register - For Unapplied Receipts 
  • Aging Reports  - For Ending Balance 
  • Frequency: Monthly

AR4
Open Next AR Period
Frequency: Monthly

AR5
Close Current AR Period
Frequency: Monthly

INV1
Resolve Pending, Un costed  /Inventory Transactions

Steps to be followed for each organization

1.             Navigation: Transaction----->Pending Transaction-------->query for process flag type error--------->find
Identify the job order number from source tab and validate the job order number, item number and qty  needs submission or not.
if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction
After 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,.
If it is not getting eliminated, check for error description and correct the error and submit it again.
If it is not a valid transaction, doubly verify and give the list to us for elimination.

2.             Pending receiving transaction
Navigation: Receiving------->Transaction status summary-----find
Check these are valid MIN number.
if it is valid then delete the line and recreate the balance transaction from receiving transaction menu.
If it is not a valid transaction then delete the transaction.

3.             Pending OM resolution
check whether any delivery id is appearing in  India Excise invoice generation program
if available it means that inventory is not depleted from staging sub inventory
then check the order number using the delivery id from ship confirm localized form
if it is a valid transaction then note down the item number from ship confirm localized form
From inventory module go to reservation and check for any reservation against the item. If any reservation is created for any non pick released order then delete the reservation
From inventory module go to transaction open interface form and enter the item number and if this item is available in this form then delete the item from this form.
Check for this item availability of stock in staging subinventory.the qty in staging sub inventory should be equal or greater than the qty picked for this order.
now follow the below navigation path and submit the program
Navigation:shipping------->Interface------->run the interface trip stop report using delivery id as input
check if the report is successful
Now go to on hand qty and check the qty is depleted from staging sub inventory.

.               Navigation:WIP----->Pending Move Transaction-------->query for process flag type error--------->find
Identify the job order number from source tab and validate the job order number, item number and qty  needs submission or not.
if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction
after 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,.
if it is not getting eliminated, check for error description and correct the error and submit it again.
if it is not a valid transaction, doubly verify and give the list to us for elimination.
Navigation:WIP----->Pending Resource Transaction-------->query for process flag type error--------->find
Identify the job order number from source tab and validate the job order number, item number and qty  needs submission or not.
if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction
after 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,.
if it is not getting eliminated, check for error description and correct the error and submit it again.
if it is not a valid transaction, doubly verify and give the list to us for elimination.

Frequency: Month End


INV2
Check for Zero/Unusual Costs (Material, Resource etc.)
Run & Review Purchase Price Variance Report
WIP Account Distribution Report

Frequency: Monthly


INV3
Update Standard Costs Before Inventory Period Close
After above Review

Frequency: Monthly

INV4
Run Inventory Close Cycle> GL Transfer for Each Inventory Org.
Review Material Account Distribution Summary Report (Parameters: Account, Transaction Type, GL Batch).

Frequency: Daily / Weekly

INV5
Run & Review Inventory Reports
Reconcile Inventory/WIP Valuation to GL
Reports                                                              
·         Inventory Value Report                    
·         All Inventories Value Report    
·         Sub inventory Account Value Report           
·         Period Close Value Summary Report                           
·         WIP Value Report for the month cum to date option
·         Receiving Account Distribution Report           
·         Receiving Value Report
·         Material Account Distribution Summary Report
·         WIP Account Summary Report       
·         Purchase Price Variance Report & IPV
Frequency: Month End

INV6
Run Inventory Close Cycle> Close Inventory Periods for Each Inventory Org.
(Closing spawns one last GL batch)             

Review Material Account Distribution Summary Report (Parameters: Account, Transaction Type, GL Batch)

Frequency: Monthly After PO Period Close
  • Closed Inventory Period cannot be reopened.
  • *Closing a period executes the general ledger transfer automatically.  However, one can also run this process without closing a period using the Transfer Transactions to General Ledger form.  Since a closed period  cannot be reopened, running this process before period close allows one to proof the interfaced transactions and make adjustments to the period via new inventory transactions as necessary.
  • On Period Closure, the button for “Values At Close” on the Accounting Close Cycle>Inventory Accounting Periods form can be clicked to obtain period end summarized values of inventory by each sub-inventory.(This will correspond to the Period Close Value Summary Report.)

GL1
Ensure All Journals from different Journal Sources have been imported .
Generate Reversal, Allocations & Recurring journals
Review all categories in journal batches
Post and verify journal post concurrent process is in order.
Journal Sources:
  • Payables:  Purchase Invoices, Payments
  • Purchasing: Receiving , Receiving India
  • Fixed Assets: Additions, Reclass, Transfers, Retirements, Depreciation, Adjustments
  • Receivables: Sales Invoices, Trade Receipts, Credit Memos, Debit Memos, Adj
  • RG Register Entry: RG Register Data Entry
  • Inventory: MTL, WIP(includes EAM)
  • LMW Payroll
  • LMW Other Branches
  • Frequency: Monthly

Journals can be reviewed and posted on a weekly basis to have current and up to date data in GL for MIS reporting.

Choose to Post Sub ledger Transfers in Summary mode.

Inventory GL Transfers (MTL & WIP) happen in Summary mode.
GL2
Review Journals
Review Journal Import Errors. Correct Journal Interface lines for errors.
Frequency: Monthly

GL3
Open Next Period
Frequency: Monthly
Will Open next period and one Future Entry period.
GL4
Enter Currency Daily Rates
Frequency: Monthly
Enter for Date range
GL5
Run Trial Balance & MIS Reports
Run Trial Balance Summary1 Report
Review GL and ADI  Reports for MIS
Frequency: Monthly
Depending on the currency of Postings in the GL, the ADI reports will reflect current financials on any day of a month.
GL6
Close Current GL Period
Frequency: Monthly
Do not “Permanently Close” the period.
Opening of the next fiscal year, in Apr. transfers revenue data to the P&L account as defined in the set of books. Changes in the previous year will be carried forward and impact this account.