The following is a note on the period closure process entailing the checking of transactional data, running of transfers of transactional data to the General ledger, reviewing/reconciling of reports and closure of periods in Oracle’s modules. These activities can be taken up roughly in the sequence in which they have been detailed below. Several of these activities (like GL transfers, reconciliations) can be performed concurrently prior to the closure of periods. However, the specific activity of closing of periods in respective/relevant modules should take the following order:
- Close Period in Payables
- Close Period in Purchasing
- Close Period in Inventory
- Close Period in FA
- Close Period in Receivables
- Close Period in GL
S.No | Activity | Reports To Check | Remarks |
AP1 | Run Payables Accounting concurrent Process | View Payables Accounting Process Output for any exceptions Frequency: Daily | |
AP2 | Payables transfer To GL Process and POST Journal | Review Journal Import Execution report for exceptions Frequency: Daily | |
AP3 | Open Next AP Period | Frequency: Month End | From Control Payables Period |
AP4 | Run Unaccounted Transaction Report | Review Output Frequency: Month End | |
AP5 | Sweep Unaccounted Transactions If any to next period OR correct the accounting in the current Period | Review output Frequency: Month End | Sweeping can also be done from Control Payables Period while closing the period |
AP6 | Reconcile AP Trial Balance To GL | Review For Following Reports a. Posted Invoice Register b. Posted Payments Register c. Review Payables Trial Balance Report and Reconcile. Frequency: Month End | |
AP8 | Run Mass Addition Create | Review output Frequency: Month End | |
AP8 | Close Current Payables Period | Frequency: Month End | From Control Payables Period |
PO1 | Open New Purchasing Period | Frequency: Month End | From Control Purchasing Period Ensure AP8 is done. |
PO2 | Run Journal Import for Purchasing GL Batches and POST Journals to GL | Frequency: Daily | Please run import in summary Form. |
PO3 | Close Purchasing Period | Frequency: Month End | |
FA1 | Review and Post Mass Addition | Frequency: Weekly | |
FA2 | Enter Manual Assets | Frequency: As and when | |
FA3 | Execute Asset Maintenance Transactions | Frequency | Transactions like Retirements, Transfers.. |
FA4 | Run Depreciation | Review output Frequency: Weekly | |
FA5 | Run Report Sets and reconcile with GL | Report Set a. Cost Summary/Detail Reports b. Reserve Summary/Detail report c. Reconcile Addition/Reclass/Transfer/Adjustment d. Account Reconcile Reserve Ledger Report | |
FA6 | Run Depreciation with Period Close checked | Review output Frequency: Month End | System Closes the current period and opens the next period |
AR1 | Ensure All Transactions are completed Ensure a l invoice- able shipments are auto invoiced in AR | Run Margin Analysis Load Run( for Current Period ) Run Margin Analysis Report for OM Review Output of Sales and Shipments Frequency: Month End | |
AR2 | AR transfer To GL Process and POST Journal | Review Journal Import Execution report for exceptions Frequency: Daily / Weekly | |
AR3 | Run Period End Report Set Reconcile AR India Trial Balance To GL | AR Reconciliation Report Other Reports:
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AR4 | Open Next AR Period | Frequency: Monthly | |
AR5 | Close Current AR Period | Frequency: Monthly | |
INV1 | Resolve Pending, Un costed /Inventory Transactions | Steps to be followed for each organization 1. Navigation: Transaction----->Pending Transaction-------->query for process flag type error--------->find Identify the job order number from source tab and validate the job order number, item number and qty needs submission or not. if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction After 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,. If it is not getting eliminated, check for error description and correct the error and submit it again. If it is not a valid transaction, doubly verify and give the list to us for elimination. 2. Pending receiving transaction Navigation: Receiving------->Transaction status summary-----find Check these are valid MIN number. if it is valid then delete the line and recreate the balance transaction from receiving transaction menu. If it is not a valid transaction then delete the transaction. 3. Pending OM resolution check whether any delivery id is appearing in India Excise invoice generation program if available it means that inventory is not depleted from staging sub inventory then check the order number using the delivery id from ship confirm localized form if it is a valid transaction then note down the item number from ship confirm localized form From inventory module go to reservation and check for any reservation against the item. If any reservation is created for any non pick released order then delete the reservation From inventory module go to transaction open interface form and enter the item number and if this item is available in this form then delete the item from this form. Check for this item availability of stock in staging subinventory.the qty in staging sub inventory should be equal or greater than the qty picked for this order. now follow the below navigation path and submit the program Navigation:shipping------->Interface------->run the interface trip stop report using delivery id as input check if the report is successful Now go to on hand qty and check the qty is depleted from staging sub inventory. . Navigation:WIP----->Pending Move Transaction-------->query for process flag type error--------->find Identify the job order number from source tab and validate the job order number, item number and qty needs submission or not. if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction after 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,. if it is not getting eliminated, check for error description and correct the error and submit it again. if it is not a valid transaction, doubly verify and give the list to us for elimination. Navigation:WIP----->Pending Resource Transaction-------->query for process flag type error--------->find Identify the job order number from source tab and validate the job order number, item number and qty needs submission or not. if it is a valid transaction then to post the same in inventory check the submit box on the left side corner and save the transaction after 5 minutes check whether the transaction is submitted. If it is submitted it will not appear in the pending transaction screen,. if it is not getting eliminated, check for error description and correct the error and submit it again. if it is not a valid transaction, doubly verify and give the list to us for elimination. Frequency: Month End | |
INV2 | Check for Zero/Unusual Costs (Material, Resource etc.) | Run & Review Purchase Price Variance Report WIP Account Distribution Report Frequency: Monthly | |
INV3 | Update Standard Costs Before Inventory Period Close | After above Review Frequency: Monthly | |
INV4 | Run Inventory Close Cycle> GL Transfer for Each Inventory Org. | Review Material Account Distribution Summary Report (Parameters: Account, Transaction Type, GL Batch). Frequency: Daily / Weekly | |
INV5 | Run & Review Inventory Reports Reconcile Inventory/WIP Valuation to GL | Reports · Inventory Value Report · All Inventories Value Report · Sub inventory Account Value Report · Period Close Value Summary Report · WIP Value Report for the month cum to date option · Receiving Account Distribution Report · Receiving Value Report · Material Account Distribution Summary Report · WIP Account Summary Report · Purchase Price Variance Report & IPV Frequency: Month End | |
INV6 | Run Inventory Close Cycle> Close Inventory Periods for Each Inventory Org. (Closing spawns one last GL batch) | Review Material Account Distribution Summary Report (Parameters: Account, Transaction Type, GL Batch) Frequency: Monthly After PO Period Close |
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GL1 | Ensure All Journals from different Journal Sources have been imported . Generate Reversal, Allocations & Recurring journals Review all categories in journal batches Post and verify journal post concurrent process is in order. | Journal Sources:
| Journals can be reviewed and posted on a weekly basis to have current and up to date data in GL for MIS reporting. Choose to Post Sub ledger Transfers in Summary mode. Inventory GL Transfers (MTL & WIP) happen in Summary mode. |
GL2 | Review Journals | Review Journal Import Errors. Correct Journal Interface lines for errors. Frequency: Monthly | |
GL3 | Open Next Period | Frequency: Monthly | Will Open next period and one Future Entry period. |
GL4 | Enter Currency Daily Rates | Frequency: Monthly | Enter for Date range |
GL5 | Run Trial Balance & MIS Reports | Run Trial Balance Summary1 Report Review GL and ADI Reports for MIS Frequency: Monthly | Depending on the currency of Postings in the GL, the ADI reports will reflect current financials on any day of a month. |
GL6 | Close Current GL Period | Frequency: Monthly | Do not “Permanently Close” the period. Opening of the next fiscal year, in Apr. transfers revenue data to the P&L account as defined in the set of books. Changes in the previous year will be carried forward and impact this account. |
Refer the post: Oracle Apps Inventory / Purchasing / GL Accounting Periods
