Understanding How PeopleSoft Asset Management Integrates with Other Applications
PeopleSoft Asset Management directly integrates with the following PeopleSoft applications:
IT Asset Management
Integrating with PeopleSoft Billing
PeopleSoft Asset Management integrates with PeopleSoft Billing to pass transactions from AM when the Retire With Sale option has been exercised for an asset. When this option is enabled, you can generate a bill to the purchaser of an asset that is being moved out of your asset database, and pass the transaction to PeopleSoft Billing. PeopleSoft Billing then generates appropriate accounting entries to relieve fixed assets, calculate value-added tax (VAT) as necessary, debit PeopleSoft Receivables, and post to PeopleSoft General Ledger.
Integrating with PeopleSoft Budgeting
PeopleSoft Asset Management provides an interface to PeopleSoft Budgeting. To create asset-based budgets, make asset data and depreciation information available to PeopleSoft Budgeting.
Asset Management uses an SQR (Structured Query Report) process (AMBD1000.SQR) to populate the budget asset (BD_ASSET*) tables. Once you run the SQR process to populate the asset tables in Budgeting, you can use asset data in Budgeting. Load all assets from a business unit for a specified fiscal year or period range directly into the Budgeting tables to integrate asset information with Budgeting.
Capital acquisition plans (CAPs) can be added directly into PeopleSoft Asset Management.
Integrating with PeopleSoft General Ledger
PeopleSoft Financials requires that you transfer journals from PeopleSoft Asset Management to your general ledger system. This may be PeopleSoft General Ledger or another external system. As part of the setup for PeopleSoft Asset Management, coordinate with PeopleSoft General Ledger to make sure there is a general ledger business unit and ledger, general ledger calendar, journal sources, and accounting entry templates. When you define operators, set up journal distribution privileges for them. This setup enables you to distribute accounting entries for asset transactions and depreciation and to generate journals to PeopleSoft General Ledger.
If the general ledger and asset management databases are not integrated, or if you use a different general ledger system, you must complete some prerequisite tasks before integrating the two systems.
Integrating with PeopleSoft IT Asset Management
PeopleSoft IT Asset Management is a system of integrated management processes, strategies, and technologies that provide you with complete control over your IT assets throughout the asset life cycle. PeopleSoft Asset Management integrates with PeopleSoft IT Asset Management by sharing assets in the Asset Repository. PeopleSoft IT Asset Management embeds network discovery tools into PeopleSoft Asset Management to collect perpetual IT asset inventory for reconciliation to the Asset Repository Manager (ARM). When you use PeopleSoft IT Asset Management with PeopleSoft Maintenance Management, the repository stores organizational asset information including physical and financial definitions, acquisition history, and maintenance history. PeopleSoft IT Asset Management provides a central workspace to manage discovered and reconciled results, monitor collected metrics, and drill down to detailed asset data for problem solving and information gathering activities. This interactive workspace collects detailed hardware and software inventory information and authorized versus unauthorized license deployment with access to contract and warranty information relative to IT assets. Oracle has partnered with a provider of network discovery tools in PeopleSoft IT Asset Management to perpetually inventory IT assets, including software and hardware devices that connect to your network. After the discovery tool collects usage data, it is reconciled to the Asset Repository Manager by means of configurable business rules that define reconciling data-points. The asset reconciliation engine compares discovered asset inventory to that stored in the ARM, where all organizational assets are stored with complete business data, acquisition history, maintenance history, and financial data. Because IT assets are perpetually inventoried by means of network discovery tools, IT assets are always accurately reflected in business data and financial reporting.
Integrating with PeopleSoft Maintenance Management
The asset repository facilitates sharing common asset data regardless of the preferred view and level of granularity. Maintenance management requires a technical view of an asset to maintain appropriate spare parts lists and to facilitate maintenance scheduling of service, materials, and labor. PeopleSoft Maintenance Management builds maintenance functionality off of asset management software utilities such as auto-discovery, software delivery, license tracking, usage meter monitoring, configuration management, and contract management. Each component can be identified by serial number, model, manufacturer, and associated warranty, and the Asset Repository carries original cost per component when known.
Integrating with PeopleSoft Payables - Capitalizing Assets upon Receipt of Invoice
When you use PeopleSoft Asset Management with PeopleSoft Payables, you can share asset information between these applications. Before you can send voucher information to PeopleSoft Asset Management, you must determine that the point in the payment process at which you want to capitalize the asset is when the invoice for the asset is received and registered in Payables.
If your PeopleSoft Financials and Supply Chain suite includes Payables and Asset Management, you have real-time access to the supplier, voucher, and order data in that system. The interface between these PeopleSoft applications eliminates the need for dual maintenance of vouchers and their corresponding asset data. Payables sends all asset additions, adjustments, and retirements for unposted vouchers to PeopleSoft Asset Management. PeopleSoft Asset Management receives information from PeopleSoft Payables in a consistent manner by using Application Engine programs.
The PeopleSoft system enables split-funding of assets within the business processes for PeopleSoft Payables. A one-time setup of the batch processes used by PeopleSoft Asset Management to "receive" assets from PeopleSoft Payables allows a single asset ID to be assigned to multiple cost or expense distributions of a single asset. The asset capitalization and depreciation amounts can be allocated to one or many distribution lines using a sequence number as a subidentifier.
Integrating with PeopleSoft Payables - Sending Lease Payments to Payables
The integration between PeopleSoft Asset Management lease payments and PeopleSoft Payables automatically generates vouchers for lease payments that are calculated in Asset Management. This includes both capital and operating leases. Additionally, the lease payment schedule segregates the principal and interest of each payment and is used by the Depreciation Close process (AMDPCLOS) to generate the payment accounting entries. The lease payments are allocated on a monthly basis in accordance with GAAP. Asset Management generates the associated monthly accrual accounting entries. Lease Interest Contra and Lease Obligation Contra accounts must be established as clearing accounts, which are offset by the Payables voucher entries. This integration is enabled at the Asset Management business unit level.
Integrating with PeopleSoft Project Costing
PeopleSoft Asset Management integrates with PeopleSoft Project Costing by sharing information about assets associated with ongoing projects. Assets that originate in Project Costing are usually the outcome of construction projects.
When performing asset maintenance, organizations frequently do so by using a project effort. By creating a project, the maintenance organization is oftentimes able to more precisely plan and budget, track, manage, and account for the effort than if numerous unrelated work orders were generated. The Manage Project feature uses the Maintain Asset via Project process primarily by introducing the concept of the work order into the process and adds the process of project-based management of asset maintenance. Maintaining an asset with a project involves creating and planning a project, incurring costs against the project, and expensing or capitalizing costs from the work. An enterprise that must both perform its own capital improvement projects and manage large-scale ad hoc maintenance and preventive maintenance efforts may use projects to manage asset maintenance activities.
The Maintain Asset via Project process manages the high-level steps of undertaking a project to maintain or upgrade an asset. The typical process is:
Plan and budget for maintenance of an asset.
Obtain approval for the maintenance.
Create a project plan and work orders for the effort to maintain the asset.
Fulfill the work orders.
Capture the costs—labor, materials, and depreciation—associated with the effort.
Identify rules by which capitalization of capital improvement costs will occur.
Determine whether to expense or capitalize various project costs.
Capitalize and expense project costs.
PeopleSoft Project Costing provides the Create and Plan Project to Maintain an Asset process. The goal is to establish a project and associated activities that enable the organization to begin work on maintaining an asset. Once the project and activities are created, work orders are issued to authorize maintenance tasks to occur. Normally, the project is created for either capital improvement projects in which the costs will be capitalized or for large-scale maintenance projects that require more sophisticated project management than the simple dispatching of technicians to work orders.
The process to account for project and asset costs enables the operations manager to review transactions booked to the project for accuracy, and for the accountant responsible for projects and assets to examine the costs to be sure that they contain the correct ChartField values for expenses and the correct information to affect asset values.
Integrating with PeopleSoft Purchasing
When you use PeopleSoft Asset Management with PeopleSoft Purchasing, you can share asset information between these applications. Before you can send receipt information to PeopleSoft Asset Management, you must determine that the point in the procurement process at which you want to capitalize the asset is when an asset is received in PeopleSoft Purchasing.
If your PeopleSoft Financials and Supply Chain suite includes PeopleSoft Purchasing as well as PeopleSoft Asset Management, you have real-time access to the supplier, voucher, and order data in this system. The interface between these PeopleSoft applications eliminates the need for dual maintenance of receipts and their corresponding asset data. PeopleSoft Purchasing sends all asset additions, adjustments, and retirements for unposted receipts to PeopleSoft Asset Management. PeopleSoft Asset Management receives information from PeopleSoft Purchasing in a consistent manner by using Application Engine programs.
The PeopleSoft system enables split-funding of assets within the business processes for Purchasing. A one-time setup of the batch processes used by PeopleSoft Asset Management to "receive" assets from Purchasing allows a single asset ID to be assigned to multiple cost or expense distributions of a single asset. Using a sequence number as a subidentifier, the asset capitalization and depreciation amounts can be allocated to one or many distribution lines.
Integrating with PeopleSoft Lease Administration
PeopleSoft Asset Management enables you to manage property assets and to maintain property-specific details such as legal descriptions and property tax information within the Asset Repository. Centralizing this asset data in one database enables multiple applications to access the asset and exchange data details as needed. When setting up assets, you can specify property information, space statistics, and location information. You can break property assets down into sublevels: Site, Building, Area, Floor, and Space. Properties can be created directly within Asset Management, then optionally fed to a computer-aided facility management (CAFM) utility, exploded into working facility maps where assignments of space allocation and employees can be made, and then fed back to update the repository.
The property component enables you to manage property tax bill tracking and other statistics that help with reporting and portals such as occupancy, maximum occupancy, square footage per department or other categorization, and so on.
Leases can be attached at any asset level but once they are, their children cannot be attached while that lease is still active. Subleases allow them to be released out, and that is the only case in which the rule does not apply. Total area is supplied by default and is controlled by the repository, but rentable and usable space can be modified on the lease. With PeopleSoft Lease Administration, you can create and manage a lease between a landlord and tenant simply by pulling the property asset data stored within the Asset Repository.
Integrating with PeopleSoft Strategic Sourcing
PeopleSoft Asset Management integrates with the PeopleSoft Supply Chain Management Strategic Sourcing module, enabling you to put unused assets up for auction and, if a bid is awarded, automatically generate a retirement transaction.