General Ledger (GL) Accounting Template

Oracle Revenue Management and Billing until now created FT GL entries while generating the financial transactions for adjustments, payments, and bill segments. The FT GL entries were created using the distribution codes from the adjustment type, rate component, billable charge pass through line, or contract type depending on the type of financial transaction. Now, the system enables you to override the distribution code used for creating FT GL entries using the GL Accounting Template feature.

The system allows you to define a GL Accounting template for each process and sub processes combination for a date range. Based on the parameters defined in the FT Generation algorithms, the system either uses the standard process or GL Accounting Template for FT GL creation. The GL Accounting template for the specified process and sub processes combination which is effective on the accounting date is used for FT GL creation.

There should be at least one debit and credit lines in the GL Accounting template. You can define maximum 10 lines in the GL Accounting template. Each line should contain the following information:

• Whether the line should be used to create a debit FT GL entry or credit FT GL entry

• Conditional algorithm (created using the C1-GLATLC algorithm type) to indicate whether the line should be used to create the FT GL entry or not

• Distribution code to indicate the GL Account against which the FT GL entry should be created

• User defined amount, such as Amount 01, Amount 02, or Amount 03

The line with the Amount 01 user defined amount is used to create balancing FT GL entry against the contract type. The line with the Amount 02, Amount 03, …, and Amount 10 user defined amount is used to create FT GL entries for bill segment calculation lines, non-calculated adjustments, adjustment calculation lines, or payments. In case of bill segments and calculated adjustments, the lines with the Amount 02, Amount 03, …, Amount 10 user defined amount are mapped to calculation line amounts based on the rate component sequence.

You can optionally configure the system to use the approval workflow process while activating or deactivating the GL Accounting templates. If you want to enable the approval workflow process, you need to define algorithms using the following algorithm types:

• C1-GLATAPPEN

• C1-GLATSUB

If the Approval Required (Y or N) parameter in an algorithm created using the C1-GLATSUB algorithm type is set to Y, then on submitting or deactivating the GL Accounting template, the approval workflow process creates a To Do for the approver to review the GL Accounting template. Once the approver approves a GL Accounting template, the status of the GL Accounting template is set to Active or Inactive.

We are supporting the following process and sub processes combinations while creating the GL Accounting template:

For example, you can define the following the GL Accounting templates using the above supported process and sub processes combinations:

While creating the GL Accounting template for BS and AD processes, you need to ensure that the line with the Amount 1 user defined amount is a debit line. However, while creating the GL Accounting template for PS process, you need to ensure that the line with the Amount 1 user defined amount is a credit line.

Based on the customer requirements, you can define GL Accounting template for various custom process and sub processes combinations.

The Create Additional FT GL Entries parameter is added in the Assign GL Account to Financial Transaction (C1-GLASN) and Assign GL Account to Financial Transaction (GLASSGN2) batches. If you set this parameter to Y, the C1-GLCE algorithm is invoked. Based on the parameters defined in the algorithm, the system checks whether there is a GL Accounting template which is effective on the accounting date for the specified process and sub processes combination. If the effective GL Accounting template is available, the system creates additional FT GL entries for the financial transactions. If the financial transaction's currency is different from the division's base currency, the algorithm will create FT GL extension for the respective financial transaction.

Two new parameters are added in the ADJT-NM, ADJT-AC, ADJT-TA, ADJT-TC, ADJT-AD, ADJT-GL, PSEG-NM, PSEG-AC, PSEG-CA, BSBF-BA, BSBF-LO algorithm types:

• Use GL Accounting Template (Y or N) - Indicates whether the FT GL entries should be created using the lines in the GL Accounting template. The valid values are Y and N.

• Show the GL Accounting Template Error When Header Record Not Found (Y or N) - Indicates whether you want to show error message when the effective GL Accounting template is not available for the process and sub processes combination. If you set the value of this parameter to N, the algorithm uses the standard process for FT GL creation when the effective GL Accounting template is not available.

The following table explains how the algorithms created using the following algorithm types create FT GL entries:

If the Use GL Accounting Template (Y or N) parameter is set to N in the algorithms created using the PSEG-NM, PSEG-AC, and PSEG-CA algorithm types, the system creates FT GL for the payment segment using the distribution code on the respective payment segment type and the balancing FT GL using the distribution code on contract type. However, if the Use GL Accounting Template (Y or N) parameter is set to Y, the system creates debit and credit FT GL entries using the lines in the GL Accounting template.

If the Use GL Accounting Template (Y or N) parameter is set to N in the algorithms created using the BSBF-BA and BSBF-LO algorithm types, the system behaves in the following manner:

However, if the Use GL Accounting Template (Y or N) parameter is set to Y in the algorithms created using the BSBF-BA and BSBF-LO algorithm types, the system behaves in the following manner:

Related Topics

Parent Topic: Oracle Revenue Management and Billing Generic Business Processes