Alfredo%20Pantaleon

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Automated Month-End Close Process (AMCP)
Alfredo Pantaleon Professional Services Chris
Martin Regional Sales Manager January 24th, 2006
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Agenda

• Challenges
• Benefits
• Feature Summary
• Solution Overview
• Solution Demonstration and Review
• QA

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Challenges

• Complexity
• Numerous Modules (INV,OM,PO,AP,AR,GL)
• Numerous Inter-Dependencies
• Interface Table Processing
• Personnel and Coordination
• Timing
• Compressed
• Coordinated
• Critical Path Processing
• SEC/SOX
• Contemporaneous Audit
• Timeliness of Reporting

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Typical Month end Close

• Frenetic
• Confusing
• Frustrating
• Labor Intensive
• Lengthy/Delayed
• Non-deterministic
• Difficult to Audit

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Risks and Ramifications

• Financial Reporting Accuracy is Compromised
• Manual Processes are error prone
• Stuck transactions are forced/dropped
• No time or process for parallel audit
• Unclosed periods allowing back transactions
• Financial Reporting is Delayed

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Can you Benefit?

• Do you have adequate time to properly review
  interface table rejects?
• Is there a lengthy delay between the close and
  issuing statements?
• Does your close process span many days?
• Are there a large number of manual journal
  entries to record transactions or make
  adjustments?
• Is there a high dependency on spreadsheets to
  record accounting transactions or support manual
  journal entries?
• Are you subject to compliance legislation such as
  SOX?
• Is there a history of restatements?
• Limited time for financial and operational
  analysis?

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Key Advantages

• Quick Time-to-value
• Configuration vs. customization
• Seeded processes leverage Oracle best practices
• Seamless deployment into Oracle 11i E-business
  Suite
• Leverages Oracle supported extensions and APIs
• Flexible and Extensible
• Processing Steps can be added, removed, modified,
  and rearranged
• Robust
• Support Multiple Operating Units
• Supports Multiple Inventory Organizations

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Solution Definition and Objective

• An automated month-end close process (AMCP)
  leveraging the GUI-based configurability of the
  LogicalApps Suite and supporting Oracle
  technology, e.g., workflow.
• Objective
• Streamline the close process through automation
• Reduce the effort
• Reduce the time/duration
• Improve accuracy and consistency
• Improve visibility
• Support contemporaneous audit

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Feature Summary

• Define notification recipients
• Automatic Reporting
• Expandable
• Configurable
• Multi-Org
• Modular design

• Activity notification
• Task Approvals
• Interface checking
• Re-submittal of interface errors
• Automatic period open and closing
• Parallel processes

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Main Process
Distribution Pre Close
Inventory Close
Global Workflow Started
Inventory Post Close
Receivables Close
OM Close
AR Close Rpts
Payables Close
General Ledger Close
Purchasing Close
PO Close Reports
General Ledger Close Rpts
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General Ledger Close Reports

• Standard GL closing reports

General Ledger Close Reports
Trial Balance - Detail
General Ledger - (180 Char)
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Inventory Pre Close Reports

• Process runs reports necessary for beginning the
  close process. For companies with many
  organizations this process runs the report for
  each organization

Inventory Pre Close Rpts
All Inventory Value Reports
Intransit Value Reports
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Payables Close

• Validate distributions
• Transfer to GL
• Complete Accruals
• Automatically close AP period and open the next
  period

Payables Close
Payables Accounting Process
Payables Pre-Transfer Review
Payables Transfer to General Ledger
Unposted Invoice Sweep- Notification
Manage AP Periods
Run AP Trial Balance
Expense Period End Accruals
Complete Receipts Accrual
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Inventory Close

• Closes open inventory Periods for each
  organization
• Opens the next inventory Period for each
  organization

Inventory Close
Close Inventory Periods
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Inventory Post Close

• Runs Post close reporting for inventory
  valuations for each organization

Intransit Inventory Reports
Period close value summary
Inventory Value Report
Subinventory Account Value
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OM Close

• Process for adding any company specific Month End
  Sales reporting

OM Close
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Purchasing Close

• Process runs task for receiving and Purchasing.
• Accruals
• Purchase price Variance
• Invoice price Variance
• Closes the Purchasing period and opens next
  period.

Purchasing Close
Uninvoiced Receipts Report
Purchase Price Variance Report
Approve PO Period Close
Manage PO Periods
Check that PO Period is Closed
Accrual Rebuild Reconciliation Report
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Purchasing Close Reports

• Process is defined so that additional reports may
  be added here.
• This process will run the report once per
  Organization

PO Close Reports
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Solution Overview

• Configuration form to determine owners of
  business areas
• Launch close process for the GL periods form

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Cont

• Close process will only launch for eligible
  periods
• Process initiates an Oracle Workflow where all
  processes are visible

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Cont..

• Workflow notification begin sending to inform
  recipients of interface records in error, reports
  that have run, approval for period close or open.

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Q A

• Presentation Requests
• webinars_at_logicalapps.com
• 949-453-9101
• Solution information
• Daryl Geryol Director of Professional Services
• dgeryol_at_logicalapps.com