oracle General ledger process presentation 1

Editor's Notes

• #3: Oracle General Ledger Overview The Oracle General Ledger is the central repository of accounting information. The main purpose of a general ledger system is to record financial activity of a company and to produce financial and management reports to help people inside and outside the organization make decisions.
• #4: General Ledger Overview Oracle General Ledger is a comprehensive financial management solution that enables you to: Record and Review Accounting Information Import data from subsidiary ledgers, or enter journals to record actual or budget transactions directly into Oracle General Ledger. Enter encumbrance journals to track encumbrances through the purchase process and to control spending against budgeted amounts. Review account balances online or through reports. Analyze, correct, and adjust accounting information. Correct actual, budget, and encumbrance information. Revalue and translate balances denominated in foreign currencies. Consolidate balances from multiple ledgers. Analyze Accounting Information Integrate Oracle General Ledger with Oracle Discoverer, or Web Applications Desktop Integrator to simplify the budgeting and forecasting process.
• #5: Functions and Features Information Access Access information stored in the General Ledger through online inquiries or reporting and analysis tools. Oracle General Ledger is the repository of your organization's financial information. Financial Controls Use security features to control access to specific areas and functions of General Ledger. Data Collection Collect data from Oracle subledgers and non-Oracle feeder systems. Financial Reporting and Analysis Select from a variety of Standard Reports and Listings. Use the Financial Statement Generator to build customized reports with reusable report objects. Use Oracle Report Manager to submit and publish Financial Statement Generator (FSG), Ad Hoc FSG, Variable Format, and Standard reports to a central repository. Balances in FSG reports can be published to a spreadsheet to enable drilldown into report values.
• #6: General Ledger Accounting Cycle 1. Open period 2. Create/reverse journal entries 3. Post 4. Review 5. Revalue 6. Translate 7. Consolidate 8. Review/correct balances 9. Run accounting reports 10. Close accounting period
• #7: Critical Implementation Issues Shared information Oracle Applications share information to avoid redundancy, minimize setup time, and keep systems synchronized. Identify the key entities shared by Oracle Applications. Define setup parameters required by multiple applications. Information Flows Record transactions once and pass them to the next business process. Use Oracle Applications open interfaces to import transactions. Open interfaces Transfer data within Oracle Applications. Import transactions from other applications into Oracle Applications. Non-Oracle Systems Obtain input from all business areas and applications that are affected by the implementation.
• #8: Oracle General Ledger Integrates with … Here is a list of just some of the Financial and Human Resource Management products that integrate with General Ledger. Oracle Payables sends invoices, payments, realized gain and loss on foreign currency, and invoice price variance to GL. Oracle Receivables sends invoices, payments, adjustments, debit memos, credit memos, cash, chargebacks, and realized gain and loss on foreign currency to GL. Oracle Assets sends capital and construction in process asset additions, cost adjustments, transfers, retirements, depreciation, and reclassifications to GL. Oracle Purchasing sends accruals or receipts not invoiced, purchase orders, final closes, and cancellations to GL. Oracle Projects sends cost distribution of labor and non-labor costs, and project revenue to GL. Oracle Treasury sends revaluation and accrual entries to GL. Oracle Property Manager sends revenues and expenses related to real estate to GL. Oracle Lease Management sends accounting distributions related to leases, such as bookings of contracts, accruals, asset dispositions, terminations, and adjustments for multi-GAAP contracts to GL. Oracle HR shares employee information with GL. Oracle Payroll sends salary, deductions, and tax information to GL.
• #9: Oracle General Ledger Integrates with … In terms of manufacturing and public sector applications, Inventory sends cycle counts, physical inventory adjustments, receiving transactions, delivery transactions, intercompany transfers, sales order issues, internal requisitions, sub-inventory transfers, and Cost of Goods Sold (COGS) to GL. Work In Process sends material issues or back flush from WIP to GL, as well as completions, returns, resource and overhead transactions, and cost updates. Oracle Labor Distribution sends salary costs to GL. Oracle Grants Accounting sends grant amounts received to build a project as well as unbilled revenue to GL. Oracle Public Sector Budgeting sends budget and forecast amounts to GL.
• #10: Also Integrates with … Oracle Financial Services Applications (OFSA) is a product suite that helps financial services institutions assess enterprise performance. This integration allows the transfer of General Ledger balances to OFSA to reconcile OFSA instrument tables, calculate transfer pricing of non-interest balance sheet items, or perform allocations. The results of OFSA allocation and transfer pricing results can then be transferred back to GL for posting and reporting. The integration with Oracle Business Intelligence (BI) allows you to get a daily snapshot of your company's financial picture through its E-Business Suite Portals. The over 200 pre-built Portals provide every user in the enterprise with the right information that they need, about every aspect of their business. The information spans across multiple applications to give you real-time information all in one place. The integration with Oracle Activity Based Management (OABM) allows you to perform complex analysis on costs that are collected in General Ledger in a separate analysis environment—apart from your GL data. OABM is optimized to support multi-layer complex cost assignment rules, activity hierarchies, and complex product and service definitions in terms of activities with complete activity definitions.
• #11: Integrating with Subledgers From a user perspective, transferring information from Oracle subledgers is a two-step process: Data is pushed into the GL_INTERFACE table from the subledger using a transfer program. Then Journal Import pulls the information from the interface table to create valid, postable journal entries in General Ledger. From a processing perspective, transferring information to Oracle General Ledger from Oracle subledgers is done by Oracle Subledger Accounting, which is a rule-based accounting engine, toolset, and repository that centralizes accounting across the Oracle E-Business Suite. It acts as an intermediate step between each of the subledger applications and Oracle General Ledger. Oracle Subledger Accounting creates the final accounting for subledger journal entries and transfers the accounting to Oracle General Ledger. When you initiate the Create Accounting program from Oracle subledgers, such as Oracle Payables or Oracle Receivables, you can choose to automatically post the journals in General Ledger.
• #12: Importing to General Ledger from Non-Oracle Applications Journal Import Use Journal Import to automatically import budget, actual, and encumbrance data from your non-Oracle applications. You can create SQL Loader script to load the data into the interface. You can also check funds and reserve them for your imported transactions. Web Applications Desktop Integrator (Web ADI) You can enter data in a spreadsheet and upload to General Ledger: Prepare and analyze budgets. Prepare functional and foreign journal entries.
• #14: Foreign Currency Concepts Conversion Conversion refers to foreign currency transactions that are immediately converted at the time of entry to the ledger currency of the ledger in which the transaction takes place. Revaluation Revaluation adjusts liability or asset accounts that may be materially understated or overstated at the end of a period due to a fluctuation in the exchange rate between the time the transaction was entered and the end of the period. Translation Translation refers to the act of restating an entire ledger or balances for a company from the ledger currency to a foreign currency.
• #15: Multiple Currency Support Reporting currencies are additional currency representations of primary or secondary ledgers. You can maintain additional currency representations at three different levels: Balance level Journal level Subledger level Balance level maintains translated balances. When you run translation in General Ledger, balances are stored in a balance level reporting currency. Journal level, is a currency representation of only your GL journals and balances. When you post a journal in GL, the journal will be converted to one or more journal level reporting currencies. Subledger level is a complete currency representation of your subledger transactions, GL journals entries and balances. When you enter a subledger transaction or enter and post a journal directly in GL, the same transaction and journal will be converted to one or more associated subledger level reporting currencies. Unlike secondary ledgers, reporting currencies can only differ by currency from their source ledger and must share the same chart of accounts, accounting calendar/period type combination, subledger accounting method, if used, and ledger processing options. Reporting currencies can be used for supplementary reporting purposes, such as consolidation or management reporting. They can also be used if you operate in countries with highly inflationary economies.
• #16: Budgeting Budgeting in Oracle General Ledger (GL) Create an unlimited number of budgets or forecasts. Control user access to budgets. Create budget organizations to mirror the various levels of your company's organization and to control user access to the budget information. Create master-detail budgets. Budgeting with Web Applications Desktop Integrator (Web ADI) Enter budget amounts in the familiarity of a spreadsheet, then upload your budget data to General Ledger. Downloads both budget or actual amounts and use to calculating new budget amounts, then be upload the new budget amounts into Oracle General Ledger. Note: You can also use Oracle Planning and Budgeting to update budget balances in General Ledger. For more information, refer to the Oracle Planning and Budgeting User’s Guide.
• #17: Reporting and Analysis Online Account and Transaction Analysis: Drilldown to account balances and journal entries to their source. For example, you can drill down from a Payables journal entry to the original transaction in Oracle Payables. Standard Reports and Listings: Oracle General Ledger provides over 70 different standard reports and listings to help you view financial and non-financial information. Financial Statement Generator reports: The Financial Statement Generator (FSG) is a powerful tool that allows you to create custom financial statements without programming. Web ADI Report Manager: With Report Manager, you can define reports graphically in Excel, then upload the report definitions to General Ledger as Financial Statement Generator (FSG) report objects. You can also download existing FSG reports, modify them in Report Wizard, then save the modified definition to General Ledger. You can select amounts from spreadsheet-based FSG reports and drill into the underlying financial information within Oracle Applications.
• #18: Standard Reports and Listings Oracle General Ledger provides several types of reports and listings to meet your business needs. All of the information in these reports and listings is also available online. You can obtain account analysis information, budget information, chart of accounts listing, and many other types of data without customization. Oracle General Ledger standard reports provide the following functionality: Request reports online. Your report is generated and printed in the background while you continue to work. Group and submit reports into report sets to save time. Schedule reports to run at regularly scheduled intervals.
• #19: Financial Statement Generator Reports (FSG) You can define custom financial reports, such as income statements and balance sheets, online with complete control over the rows, columns, and content of your report. You can control account assignments, headings, descriptions, format, and calculations in addition to the actual content. The reusable report components make building reports quick and easy. You can copy a report component from one report, make minor edits, then apply the report component to a new report without having to create a new report from scratch.
• #21: Answers: 2 Quiz Specifications This quiz should be polled after slide 20. The correct answer is Oracle General Ledger is a comprehensive financial management solution that allows you to import data from subsidiary ledgers.
• #22: Answers: 2 Quiz Specifications This quiz should be polled after slide 21. The correct answer is Oracle General Ledger integrates with Oracle Payables and Oracle HR as well as other Financials, HRMS, Manufacturing, and Public Sector applications.
• #23: Answers: 1 Quiz Specifications This quiz should be polled after slide 22. The correct answer is every time you enter a subledger transaction or enter and post a journal directly in GL, the same transaction and journal will be converted to one or more associated subledger level reporting currencies.
• #24: Answers: 1 Quiz Specifications This quiz should be polled after slide 23. The correct answer is online account and transaction analysis, standard reports and listings, Financial Statement Generator reports, and Web ADI Report Manager.