General Ledger Implementation Considerations - Sets of Books (Ledger for 12i) and Chart of Accounts

Set of Books (Ledger for 12i):
Set of books determines the functional Currency, Chart of account structure, and accounting Calendar for each company or group of companies, which are known as the 3 C's.

You need to create and set up one or more sets of books. The number of books you set up depend on various factors, such as:
Ø Whether you have multiple subsidiaries using different calendars, charts of accounts, and currencies requiring multiple sets of books
Ø Whether you have multiple subsidiaries that share the same calendar, chart of accounts, and currencies that allow them to share the same set of books
Ø Your organizational requirements or government reporting requirements.

General Ledger provides you with the flexibility to manage your financial information within any company structure. One can maintain multiple companies with similar or different accounting structures, and consolidate their results for meaningful financial reporting.

Chart of Accounts:
Chart of accounts uses Key Flexfield (Accounting Flexfield) that, comprises of Segments, Value sets, Values and Code Combination ID.

Defining the Chart of accounts:
Planning the Chart of accounts structure is the most important activity involving the structure, segments, segment validation and additional features. Analyze the organizational structure and the dimensions of the business before designing the Chart of accounts. By carefully evaluating the business needs, design the chart of accounts to take advantage of General Ledger’s flexible tools for recording and reporting the accounting information.

The account structure can comprise 30 segments with a maximum character length of 275 for the entire String. Each string of multiple-segments is called a code combination and stores a code combination ID based on which balances are maintained in GL. An accounting chart normally consists of Company code, Line of Business, Cost center, Natural Account, Intercompany and Future.

How to define Key Flexfield Structures like Chart of Accounts:
Ø Define descriptive information and validation information for each segment.
Ø Determine the appearance of your key flexfield window, the number and order of the segments, and the segment descriptions and default values.
Ø Freeze flexfield definition and save the changes once set up or when the structures/segments are modified. On saving, Flexfield compiles automatically to improve on–line performance.
Ø Compile the flexfield every time when the changes are made to this form, including enabling or disabling cross–validation rules and when the changes are made to the shorthand aliases window.
Ø Oracle Applications submits one or two Concurrent requests to generate database views of the flexfield combinations table.
Ø The flexfield changes immediately after freezing and recompiling. However, the changes affect other users only after they change responsibilities or exit the application and sign back on.


Determine the Chart of Accounts Structure That Best Suits Your Organization:
Ø Examine the organization structure to identify how performance and profitability are normally measured
Ø Also multiple organizational structures may be needed to allow views of the organization from multiple perspectives. Summary accounts can be used to roll up details.
Ø Visualize each segment of the account as a unit dimension of the business. Combine units that are based on similar dimensions to avoid using multiple segments that measure the same dimension.
Ø Identify the functions, products, programs, funding sources, regions, or any other business dimensions that are to be tracked
Ø Determine the reporting needs.

Consider the following questions before defining the COA structure:
Ø What information will better help one to manage one’s organization?
Ø What are the different ways in which one can look at one’s operations?
Ø What kinds of reports do managers ask for?
Ø What reports one prepares now with some difficulty?
Ø What reports are provided by other financial information systems?
Ø What statistical reporting does one want to perform?
Ø Is project reporting needed?
Ø At what levels of detail does one produce reports?

To Determine Your COA Segment Needs:
Ø Determine the segment that captures the natural account, such as assets, liabilities, expenses, and so on.
Ø Define a separate Accounting Flexfield segment for each dimension of your organization on which you want to report, such as regions, products, services, programs, and projects.
Ø Group similar business dimensions into one segment. This allows a more simplified and flexible account structure For example, you only need one segment to record and report on both districts and regions. Because regions are simply groups of districts, you can easily create regions within your district segment by defining a parent for each region with the relevant districts as children. Use these parents when defining summary accounts to maintain account balances and reporting hierarchies to perform regional reporting.

Designing Simple Forms Personalizations for Functional Consultants

Forms Personalization: I kept reading about this amazingly new feature called 'Forms Personalization' but what really bothered me was almost all the articles / whitepapers had the targeted audience as ‘Admin / Developer’ who have some ‘knowledge of Oracle Developer, PL/SQL, Coding Standards and API’s’.

This really caught my attention and I spent about 2 hours trying to figure out what can a Functional Consultant like myself get out of this new feature. Good news is that you don’t need to have any technical knowledge to design some simple personalizations. So in this article, I have tried to explore some easy to design personalization’s which the Functional Consultants can easily build and test.

Why personalization’s are handy – Since Oracle Apps is a pre-built product, most of the clients would like to remove/ rename, change default values of some of the fields, buttons, tabs etc. Traditional method of getting all the above ‘extensions’ done was to ‘customize’ the form (by customizing the custom.pll) which was generally protected during upgrades / patching. Luckily most changes traditionally done using cutom.pll can be accomplished using Forms Personalization.

Functional Folks - How to quickly get started – The ‘personalize’ menu can be found at Help -> Diagnostics -> Custom Code -> Personalize. To prevent unauthorized users from changing the look and behavior of forms, please use the following profile options:
Utilities: Diagnostics = Yes / No
Hide Diagnostics = Yes / No

Four sections to define a Personalization – There are four sections in the define forms personalization form:
Rules Header – This is where you enter the rules and rule descriptions in plain English. You can sequence these rules using a number and enable/ disable any one rule by using the Enabled checkbox.
Conditions – Consists of Trigger Event: the event within the form that causes invocation of the rule, Trigger object: the context for the trigger event, such as a
particular block or item, Condition: an optional SQL fragment that, when it evaluates to TRUE, allows the rule to execute.
Context or Scope - The Scope is evaluated based on the current runtime context to determine if a Rule should be processed or not. The Scope can be at the Site, Responsibility, User, or Industry level. Each Rule can have one or more Scopes associated with it.
Actions – Determines what the personalization does when the condition and context are true. Various types of actions available include ‘Property’, ‘Message’, Builtin’ or a ‘Special’. Based on the type, additional definition

Real world examples you can try – One of my banking client wanted the Journal Enter form to be customized for the following business rules:

1. Change the ‘Journal’ prompt to display ‘Voucher’
2. Journal description should always be in UPPER CASE
3. Do not display the Budget field, as budgets were not implemented
4. Note to display warning to change Period for prior period Journals.

The following screenshots explain how these four business requirements were implemented using Forms Personalization:

1. Change the ‘Journal’ prompt to display ‘Voucher’:




2. Journal description should always be in UPPER CASE:



3. Do not display the Budget field, as budgets were not implemented:



4. Note to display warning to change Period for prior period Journals:



Journal Entry Form after Personalizations:

When opening the form, the following note gets displayed:



Journal Entry Form after Personalization (Note - Voucher, Budget not displayed and Description in Upper Case:

Oracle Fixed Assets - Quick Module Overview

Introduction:
Oracle Fixed Assets is fully integrated with other modules so that data input in Purchasing, Payables and Projects will flow through Fixed Assets into the General Ledger. This also means that any asset can be queried and the source information obtained by drilling down to find details of invoices. You can perform most of your transactions in Oracle Assets using just three windows: the Assets Workbench, Mass Additions Workbench, and Tax Workbench.

Additions:
The majority of assets should come via the Purchasing, Payables / Project modules using the Mass Additions / Interface Supplier Costs process. There may be a few occasions when manual additions are required. Ordinary assets can be quickly entered using Quick Additions. Detailed Additions can be used to handle more complex assets as follows:

· Assets with a salvage value.
· Assets with more than one assignment.
· Assets with more than one source line.
· Assets that Category defaults do not apply.
· Subcomponents Assets.
· Leased assets and Leasehold Improvements.

Depreciation:
Default depreciation rates can be set up for each asset category and also can be overridden in special cases. Before running depreciation you can change any field but after running depreciation you can only change asset cost and depreciation rate. You then can choose whether to amortize the adjustment or expense it.

Retirement:
You can retire an entire asset or you can partially retire an asset. You can also use Mass Retirements to retire a group of assets at one time.

Tax Book Maintenance:
Oracle Assets allows you to copy your assets and transactions from your corporate book to your tax books automatically using Initial / Periodic Mass Copy. You can create as many tax books as you need, maintain your asset information in your corporate book, and then update your tax books with assets and transactions from your corporate book.

Prepaid Services:
To record warranty and maintenance information into Oracle Assets, a purchase order must be created and the data input will flow into Payables with the proper prepaid account. Prepaid accounts are maintained in the general ledger and amortized over the period of coverage; however, the accounts charged are based on the designated account(s) for the prepaid services. The charges into the Fixed Assets account and asset category is based on the monthly charges from the monthly amortization of the prepaid services.


Capitalized Leases vs. Operating Leases:
Oracle Assets allows you to test leased assets in accordance with generally accepted accounting principles to determine whether to capitalize and depreciate your leased assets. Lease Capitalization Test: (1) the ownership of the asset transfers to the lessee at the end of the lease (2) a bargain purchase option exists (3) the term of the lease is more than 75% of the economic life of the leased asset (4) the present value of the minimum lease payment exceeds 90% of the fair market value of the asset at lease inception.

Regarding Operating leases, Fixed Assets tracks your payments under operating leases, or leases that do not meet any of the criteria, for informational purposes. You can use this information to create a schedule of future minimum payments under operating leases, information that may require disclosure in the footnotes of your financial statements.

Period-End Process:
The key components of the Period-End Process are:
· Ensure All Assets have been Properly Assigned.
· Copy New Assets Entries into Tax Books.
· Run Depreciation for the Corporate Book.
· Create Journal Entries.
· Post Journal Entries to the General Ledger.

Implementing iExpenses for a Global Professional Services Firm (Part 2)

Detailed Functional Components of iExpenses:

1. Expense Report Entry:

1.1 Create Expense Report:
· Employees log on to Oracle Web Expense and enter their expense report using a standard Web browser.
· Employees enter general information about their expense report in the Report Information region.
· Employees enter their expenses in the Enter Receipts region.
· iExpense offers a “disconnected solution”, to meet the needs of employees with limited access to the corporate intranet. Employees can enter expense reports off line, and save them for later submission, when intranet access is available.
· The disconnected expense reporting process involves the following:
· Employees use the Download Expense Spreadsheet function to save a copy of Client’s expense spreadsheet template locally. Employees must be connected to the corporate intranet in order to use the Download Expense Spreadsheet function.
· Employees use an expense spreadsheet to enter their expense reports while disconnected from the corporate intranet.
· Employees use the Upload Expense Spreadsheet function to transfer expense reports created with a spreadsheet to iExpense. Once uploaded, the transferred information appears as an expense report in iExpense, and employees can update, save, or submit it. Employees must be connected to your corporate intranet to use the Upload Expense Spreadsheet function.
· iExpense automatically populates the Cost Center field with the cost center of the employee requesting reimbursement.
· For manager approval, employees direct their expense report to their manager. When required, employees can redirect their expense report for approval by entering a value in the Override Approver field of the expense report template.

1.2 Review:
· iExpense enables employees the opportunity to review their expense report before they submit it.
· Employees use the View Receipts region to view expense lines in the order they entered them.
· The View Receipts region also identifies the expense lines for which your accounts payable department requires original receipts.
· Employees can use the Expense Summary region to view weekly summaries of their expense reports.
· The Expense Summary region displays amounts for each expense type. Employees can click on amounts to see detailed information for the receipt(s) that make up that amount.
· iExpense enables employees to check the status of their expense report(s).
· Employees can see whether their expense reports have been approved by their manager.
· Employees can see whether the accounts payable department has reviewed their expense reports.
· To view expense report statuses, employees choose the View Expense Report History function from the main menu.
· If an employee’s expense report has been adjusted by the accounts payable department, the employee can choose the View Expense History function, to see why an adjustment was made to their expense report.

1.3 Submit Expense Report:
· Employees submit their expense report using a standard Web browser.
· After employees submit their expense report, it is their responsibility to send original receipts to the accounts payable department for verification.

2. Validation:

2.1 Server Side Validation:
· The Server Side Validation process adds required information to the AP Expense Report Headers, and AP Expense Report Lines tables in order for the workflow approval processes and the Payables Invoice Import program to function properly.
· The accounts payable department can query and view Web Expense reports only after the expense reports pass the Server Side Validation process.

2.2 Manager (Spending) Approval Process:
· The Manager (Spending) Approval Process routes expense reports to managers for their approval.
· If an expense report receives manager approval, it transitions to the AP Approval Process.
· If a manager rejects an expense report, the expense report transitions to the Rejection Process.
· When managers reject expense reports, The Rejection Process begins.
· With this process, the employee is notified that their expense report(s) has been rejected.
· Employees can retrieve, fix, and resubmit rejected expense reports by using the Modify Expense Reports function.

2.3 AP Approval Process:
· The AP Approval Process first determines whether expense reports require the approval of the accounts payable department as defined in the AP Expense Report Workflow.
· If accounts payable approval is not required, the process automatically gives accounts payable approval.
· If expense reports require accounts payable approval, then the process waits for the results of the accounts payable department review.
· The accounts payable department uses the Expense Reports window in Oracle Payables to review, adjust, short pay, and approve iExpense reports.
· The accounts payable department approves expense reports by checking the Reviewed by Payables check box.
· Once the expense report has been approved by the accounts payable department, the Invoice Import program in Oracle Payables converts the expense report into an invoice for payment.

3. Payables:

3.1 Payables Import Process:
· Submit the Payables Invoice Import program in Oracle Payables to convert expense reports into invoices.
· An iExpense report is eligible for Invoice Import after successfully completing the AP Expense Report workflow process.
· When expense reports cannot be imported, Payables prints the Invoice Import Rejections Report.
· If the expense report is rejected, correct the problems, and resubmit the Payables Invoice Import program.

3.2 Accounts Payable Approval/Pay Expense Reports:
· iExpense enables you to enforce company expense report and reimbursement policies.
· To enforce policies, the accounts payable department uses the Expense Reports window in Oracle Payables to approve, adjust, or short pay employee expense reports.
· When the accounts payable department adjusts an expense report, the AP Approval workflow process informs the employee of the reason for, and the amount of, the adjustment.
· When the accounts payable department short pays an expense report, the Shortpay Unverified Receipt Items workflow does the following:
· Creates a new expense report from the lines which have missing required receipts, and/or creates a new expense report from the lines which have inadequate justifications.
· Eliminates the lines the accounts payable department short paid from the original expense report and approves it.
· Once the accounts payable department has approved, and/or adjusted the employee’s expense report, a payment is created for the invoice in the same manner as other invoices.


4. The Expense Report Template:

4.1 Descriptive Flexfields:
· Descriptive Flexfields enable employees to enter additional information about receipts not otherwise captured in iExpense.
· Descriptive Flexfields can be defined so they appear as either a text box with a poplist that contains a list of values, a check box, or a text box.
· Descriptive Flexfields have two different kinds of segments or fields, global and context sensitive.
· Context sensitive segments appear only when an employee selects expense types to which you have associated flexfield segments.
· Global segments always appear in the Enter Receipts region, regardless of the expense type an employee chooses.
· The Descriptive Flexfields defined for Web Expense also appear in the Expense Reports window in Oracle Payables.
· To plan context sensitive and global descriptive flexfields for use in iExpense you must:
· Determine for which expense types you want to collect additional information. These are the context sensitive segments.
· Determine what information you want to collect regardless of expense type. These are the global segments.
· Determine how you want employees to enter information. You can choose from the following three methods:
· a text box with a poplist that contains a list of values
· a check box
· a text box.

4.2 Multiple Expense Templates:
· An expense template defines the list of expense types (airfare, car rental, meals, etc.) employees can choose from when they enter their expense reports.
· You can define multiple expense report templates for use with iExpense.
· If you define multiple expense report templates, employees can select an expense report template from a list of values in the Report Information region.

4.3 Original Receipts:
· When you define expense report templates for use with iExpense, you can indicate whether an original receipt is required for an expense type.
· You can also indicate that an original receipt is required only if the expense exceeds a certain limit.
· The employee can see whether an original receipt is required in the View Receipts region of iExpense.
· Employees have the ability to indicate that they do not have an original receipt by checking the Original Receipt Missing check box in the Enter Receipts region.
· iExpense can be set up so when employees check the Original Receipt Missing check box, it changes the status of a receipt from required to unrequired.

4.4 Refund/Credit Tracking:
· Set up iExpense so employees can enter negative receipts (credit lines) when creating an expense report.
· Employees enter negative receipts to report refunds from a previous reimbursed expense (I.e., the refund of an unused airline ticket).

4.5 Required Justifications:
· Set up iExpense so employees are required to enter justifications for specific expenses.
· When you define an expense report template, you can indicate whether justification is required for the expense.

4.6 Required Purpose:
· Set up iExpense so employees are required to provide a purpose for their expense report.
· When you define an expense report template, you can indicate whether a purpose is required for the expense.

4.7 Expense Report Number Prefixes:
· You can define a prefix for every expense report entered in iExpense.
· Entering a prefix value enables you to easily identify invoices in Oracle Payables originally created as iExpense employee expense reports.

Implementing iExpenses for a Global Professional Services Firm (Part 1)

Client and Business Case - Global Professional Services Firm executing projects globally wanted to implement Oracle Internet Expenses to support employee expense reporting and reimbursement. Oracle iExpenses was implemented to enable Client employees to independently enter and submit their expense reports on-line, real time, utilizing a standard Web browser or a Web-enabled mobile device. Oracle Workflow was configured to automatically routes expense reports for approval and enforce reimbursement policies. Oracle iExpenses integrates with Oracle Payables and Oracle Projects to provide quick processing of expense reports for payment.

Key Features implemented - The implementation of iExpense enabled the client to benefit from the following functionalities:

1. Enable employees to record, and submit expense reports using a standard Web browser.

2. Provide employees a “disconnected solution” when access to a corporate intranet is not available.

3. Use Descriptive Flexfields to enter additional information about expense related receipts not otherwise captured in the Expense Template.

4. Define multiple Expense Templates. Employees can choose from a List of Values the Expense Template(s) available.

5. Define Expense Templates, and indicate whether an original receipt is required for the expense type so employees are aware of the original receipts requirement.

6. Use Oracle Workflow with Oracle Web Expense to automatically route expense reports for approval, and enforce reimbursement policies.

7. Use Oracle Web Expense to seamlessly integrate with Oracle Payables so expense reports can be quickly processed for payment.

8. Create “Authorized Delegates” to authorize a user to enter expense reports for another employee. (i.e., An executive assistant is given the authority to enter expense reports for their manager.)

9. Indicate in the Expense Template if original receipts are required.

10. Allow employees to enter negative receipts to report refunds, or credits against their reported expenses.


High Level Business Flow:





Key Components of the implementation:





In my next post, I will try and expand on each of the key components implemented above.

Accounting Flexfields concept usage and setup

This will give you the basic idea
For complete and detailed explanations,documentation,tutorials,screen shots download the material from link below this post
How to create an Accounting Flexfield Structure
Steps:
1. Create value sets
2. Create new accounting flexfield structure
3. Create segments
4. Add Segment Values
5. Freeze Flexfield Structure
6. Compile Flexfield Structure
7. Attach accounting flexfield structure to a set of books
Note: Steps 1 through 4 MUST be performed in that order.

Do and Don’ts when Creating Accounting Flexfield Structures

Defining your Account Structure

The Accounting Flexfield has several special requirements and limitations for its
definition. Follow these recommendations carefully, since an incorrectly-defined
Accounting Flexfield will adversely affect your chart of accounts, and application
features:
1. Define your Accounting Flexfield value sets using the Define Value Set form.
• You must specify a format type of Char for the segment value format type. If
you want to use numbers, choose Char and allow alphanumerics. The
Accounting Flexfield does not support format types other than Char.
• We recommend that you set Right-justify Zero-fill Numbers to Yes for value
sets you use with the Accounting Flexfield.
• Value sets for the Accounting Flexfield must be independent, table, or
dependent-type value sets. Do not use value sets with a validation type of
None, Pair, or Special for the Accounting Flexfield.
• We recommend that you allow parent values for segments in your Accounting
Flexfield. Parent values are used to create summary accounts and to increase
the productivity of Oracle Applications.
2. Set the Allow Dynamic Inserts option. If you want to allow adding new accounts
automatically as you enter them in transactions, including when you define a set of
books, set this option set to Yes. To require users to define all accounts manually, set
this option to No.
3. Define your Accounting Flexfield segments. You can define up to 30 segments for
your account structure. You must define at least two segments for your account
structure, one for the balancing segment and one for the natural account segment (the
two required flexfield qualifiers).
• When specifying the column you want to use for your Accounting Flexfield
segment, do not use any columns other than those named SEGMENT1
through SEGMENT30.
• You must enter a value set in the Value Set field for each segment of the
Accounting Flexfield. Value sets for the Accounting Flexfield must be
independent, table, or dependent-type value sets. Do not use value sets with a
validation type of None for the Accounting Flexfield.
• You must check the Required check box for each segment.
• You must check the Display check box for each segment.
• The segment you use as a balancing segment must be an independent segment
(it cannot use a dependent value set).
4. Define your flexfield qualifiers for your Accounting Flexfield. Oracle Applications
uses flexfield qualifiers to identify certain segments in your Accounting Flexfield.
You specify your flexfield qualifier values in the Qualifiers zone of the Define Key
Flexfield Segments form.
• You should never change the flexfield qualifier once it has been saved. This
may cause major inconsistencies with the existing data.
1. Define the natural account segment. A natural account segment contains values
representing account types, such as cash, accounts receivable, product revenue and
salary expense. Check the Natural Account checkbox to indicate the segment you are
defining is your natural account segment. You define only one natural account
segment in your account.
2. Define the balancing segment. Oracle Applications uses your balancing segment to
ensure that all journals balance for each value of your balancing segment. Oracle
Applications also use your balancing segment to ensure that entries that impact more
than one balancing segment use the appropriate intercompany or interfund accounting
• Indicate whether the segment you are defining is a balancing segment. You
can define only one balancing segment for an account. The segment you use as
a balancing segment must be an independent segment (it cannot use a
dependent value set).

1. Define the Cost Center segment. Cost centers indicate functional areas of your
organization, such as Accounting, Facilities, Shipping, and so on. Check the Cost
Center checkbox to indicate the segment you are defining is a Cost Center segment.
2. Define your Accounting Flexfield segment values. Be sure to enter parent, rollup
group and level information, and hierarchy details, if appropriate, for your segment
values. Be sure you do not assign overlapping ranges of child values to the same
parent value. You use rollup groups to create summary accounts.
• Decide your segment hierarchy before you create parent and child segment
values. You cannot change a child value to a parent at a later time and vice
versa.

Changing the flexfield definition

Changing your flexfield definition once you have used it to acquire data can cause serious
inconsistencies with the existing data.
In general, once you have setup and begun to use a flexfield, you should never change
anything about its structure or its value sets (other than defining, enabling, and disabling
values, shorthand aliases, and cross-validation and security rules). You need to make
sure not to invalidate your existing flexfield data. Before you make such a change, you
should back up all of your existing data, including Oracle Application Object Library
data, before attempting any value set changes.
Oracle Applications prevents you from inadvertently invalidating your flexfield value set
data by preventing you from deleting an existing value set under some conditions. If you
define and save a value set, and then, immediately re-query it, you can delete the value
set. However, you cannot delete the value set if you have:
1. assigned it to a key or descriptive flexfield segment.
2. assigned one or more values to it (even if it is not assigned to a segment)
3. assigned a security rule to it (through the segment to which your value set is attached).
4. assigned it to a FlexBuilder parameter.
Changing between Independent and Table Value set:
You can make these changes as long as you ensure that the new value set contains every
single value that the old value set contained. If you are missing any values that had been
in the original value set, you will get error messages upon querying up old code
combinations whose values are now missing. You can make the following changes:
1. Independent to Table
2. Table to Independent

here is the link For complete and detailed explanations,documentation,tutorials,screen shots on this topic

sites for oracle apps technical and functional

these r the useful sites for oracle applications both technical and fuctional(financials,CRM,manufacturing)

www.oracleschools.com
www.appsdbablog.com
www.oracle.anilpassi.com
www.onlineappsdba.com
www.erpstuff.com
www.orafaq.com
www.asktom.oracle.com
www.oaug.org