Reconciling Project Costing to the General Ledger

Prepared by:

Session ID:

Reconciling Project Costing to the

General Ledger

Millie Babicz

Managing Director

SpearMC Consulting

@SpearMC

Functional Reconciliation/Analysis Tips & Tricks

101270

Agenda

• About Us

• Introduction

• Reconciliation Steps

• Other Reconciliation/Analysis Tips & Tricks

About SpearMC

Your Presenter

• ERP Implementation Specialist at KPMG for 13 years before joining

SpearMC in 2007

• PeopleSoft Financials, Financial Control and Reporting Expert

• Certified PeopleSoft Financials

• 20 Years Experience in Project / Program Management

Millie Babicz, CPAManaging Director

mbabicz@spearmc.com

866-SPEARMC x802

www.SpearMC.com

About SpearMC

Founded in 2004, SpearMC is a technology and

professional services firm specializing in

• PeopleSoft Financials and Supply Chain Management

• PeopleSoft Human Capital Management and Payroll

• ERP Architecture and Application Development

• Project and Program Management (PMO)

• Change Management

• ERP Training

• Mobile Technology

• Maximo Enterprise Asset

• Oracle Business Intelligence

About SpearMC

Regional offices in Chicago, Denver, Houston,

Seattle and San Francisco

• We focus on local market delivery and capability development in line with

industry focus areas unique to the regions we serve.

• Our local and well-connected network of top-tier business analysts,

technical leads, developers and project managers keep travel cost to a

minimum.

About SpearMC

• PeopleSoft Specialization

Oracle Gold Partner Since 2008

• Applications Reseller

• Hardware Reseller

IBM Advance Business Partner

Introduction

Project Costing Integration

Reconciliation Steps

• Determine Scope

• Identify Variances at Summary Level

• Identify Cause of Variances

• Determine How to Correct Existing Errors

• Determine How to Prevent Future Errors

Determine Scope

• Identify the type of transactions that will be reconciled

o Expenses, Revenue, Transfers

• Identify the ChartFields that will be reconciled

• Identify Analysis Types for each type of transaction

o Consider creating a new Analysis Group (s) for reconciliation/reporting

Determine Scope

Budget (BUD)

Actual Cost (ACT)

GL Expense (GLE)

Indirect Cost (SFA)

Billable Amt (BIL)

Billed Amt (BLD)

Fixed Rev (FRV)

Fixed Billed (FBD)

Budget (BUD)

Actual Cost (ACT)

GL Expense (GLE)

Indirect Cost (SFA)

Billable Amt (BIL)

Billed Amt (BLD)

Fixed Rev (FRV)

Fixed Billed (FBD)

Budget (BUD)

Actual Cost (ACT)

GL Expense (GLE)

Indirect Cost (SFA)

Billable Amt (BIL)

Billed Amt (BLD)

Fixed Rev (FRV)

Fixed Billed (FBD)

Budget (BUD)

Actual Cost (ACT)

GL Expense (GLE)

Indirect Cost (SFA)

Billable Amt (BIL)

Billed Amt (BLD)

Fixed Rev (FRV)

Fixed Billed (FBD)

Projects

Activities Activities

Transactions Transactions Transactions Transactions

Determine Scope

• Identify Project Costing field/fields to be used for determining Accounting

Period

o E.g. Accounting Dt

o Note: must easier to reconcile as of a point in time (closed period if

possible)

Determine Scope

PC/CA GL Staging Table (CA_ACCTG_LN_PC) can be used to:

• Obtain the Accounting Dt for As Incurred Revenue (as the revenue may not be recognized in the same period as the original cost

• Obtain the account for cost/revenue created in PC (Pricing)

Accounting Dt An Type Account GL Distrib Amount

1/15/2015 ACT 527500 I $500

1/15/2015 IND 527500 D $100

1/15/2015 BIL 527500 D $500

1/15/2015 BIL 527500 D $100

Accounting Dt An Type Account Amount

1/15/2015 IND 593110 $100

1/15/2015 IND 493999 <$100>

2/28/2015 BIL 132900 $500

2/28/2015 BIL 432034 <$500>

2/28/2015 BIL 132900 $100

2/28/2015 BIL 432034 <$100>

Proj Resource PC/CA GL Staging Table

Determine Scope

Type 1/1 – 1/2015 2/1 – 2/28/15

Total Cost $600 $0

Total Revenue $0 $600

In this example, the PC cost and revenue would be reported as:

Accounting Dt An Type Account GL Distrib Amount

1/15/2015 ACT 527500 I $500

1/15/2015 IND 527500 D $100

1/15/2015 BIL 527500 D $500

1/15/2015 BIL 527500 D $100

Accounting Dt An Type Account Amount

1/15/2015 IND 593110 $100

1/15/2015 IND 493999 <$100>

2/28/2015 BIL 132900 $500

2/28/2015 BIL 432034 <$500>

2/28/2015 BIL 132900 $100

2/28/2015 BIL 432034 <$100>

Proj Resource PC/CA GL Staging Table

Determine Scope

Accounting Date Tip: For Cost Collection from the GL, Date Type

not only can be used to filter down journal entries to bring into PC but

it also populates the Accounting Date field in PC (Proj Resource)

with the field value of the specified data type - either Journal Date or

Posted Date). Default is Posted Date.

Identify Variances at Summary Level

• Build report/query to identify PC to GL variances at the ChartField string

summary

o E.g. PCBU - Project – Activity – Fund – Account

• Options:

o Query with multiple unions that reports balances in the PC and GL.

Utilize Pivot table to obtain variances

o Custom Report

o Custom View which allow you to build a query reporting variances only

o Composite Query (PeopleTools 8.54)

• Keep in mind that the Analysis Group set up determines how

the Amounts are brought into Proj Resource for GL

• As of 9.2, Direct Journal transactions can be loaded to Project

Costing during the Receivables to Project Costing interface

process (PC_AR_TO_PC).

• As of 9.2, Bills that are entered directly into PeopleSoft

Billing can be loaded to Project Costing during the Billing to

Project Costing interface process (PC_BI_TO_PC)

Cause of Variances

Cause of Variance

• Build query to identify variances by Journal ID

• Three possible types of variances

1. In PC but not in GL

2. In GL but not in PC

3. In both but the amounts are different

• Start with one project and one variance.

• Research variance to determine cause.

• Once the variance is understood, create query to find error for all projects.

Cause of Variance

• PC to GL template can be helpful to linking each variance to the variance

reason to explain all variances

• Tip: Start with the easy variances (not the largest and most complex.)

Cause of Variance

Correct Existing Errors

• Correct in the source system when possible

• Easy/In progress errors:

o Process accounting or journal generate

o Post Journals

o Run or process allocation

• GL Only Entry

• PC Only Entry (Add Transaction)

• Correct Analysis Type-Account mismatch via JE

• Correct Jrnl/Accounting Date mismatch via JE

• Update customization or create new fix

o External journal updated to set PC Distrib Status to N

Prevent Future Errors

• Add additional checks/queries to Month End Close

• Create/update combo edits

• Update customizations

• Update batch schedule

• Change in business process

• New customizations

Other Reconciliation/Analysis Tips & Tricks

Other Reconciliation/Analysis

Tips & Tricks

• Pivot Table (Excel)

• Concatenate (Excel)

• VLOOKUP Function (Excel)

• WorkCenters (9.2)

• Reconciliation Workbench (9.1)

o Project Recon Workbench

o Contracts Reconciliation Summary

o Subsystem Reconciliation

• Pivot table

o Very quick way to summarize and analyze data in Excel.

o Drag and drop wizard allows you to easily move between less to more

detail.

o Page fields allow you to filter summarized results to a specific value.

o Fast way to shift data presented in rows to columns.

o Fast way to shift between amounts versus count.

Tips & Tricks

• Concatenate

o Allows you to merge one or more Excel cells or text together as one

value.

o For the PC to GL reconciliation template, concatenated the string

Project – Activity – Account – Fund as one value so that Vlookup could

be used to link each variance to the variance reasons.

Tips & Tricks

• VLOOKUP Function

o Allows you to “search the first column of a range of cells, and then

return a value from any cell on the same row of the range.” in Excel.

o Used VLOOKUP to add or subtract each variance reason until all

variances were fully explained.

Tips & Tricks

1.) Look up this value…2.) in this Column

3.) and when

you find the

value, display

the value in

the 6th column.

Tips & Tricks

WorkCenters v9.2

• WC’s are central work area designed for the end user.

• The WorkCenter is intended to provide access to key

components within the Financials and Supply Chain

application

• Delivers information that a user needs to take action

on, such as exceptions, reports and queries.

Tips & Tricks

WorkCenters v9.2 My Work: Critical Exceptions/Work you need to complete

Work Area: Workspace to do your work

Links: Other links you may need to use to complete work

Other important Reports/Queries

Tips & Tricks

Reconciliation

• The Reconciliation Summary page allows you to view the results from the Reconciliation

Summary process.

• This page provides the difference between billing and revenue at the detail level as well as the

attributes that are related to retainages, withholdings, limits, and fees. The information provided

on this page enables you to determine where to complete the remaining process, or to make an

adjustment.

Tips & Tricks

Reconciliation

Tips & Tricks

Get in Touch

Millie Babicz, CPAManaging Director

mbabicz@spearmc.com

866-SPEARMC x802

www.SpearMC.com

SpearMC Online Resources

• SpearMC online Tools & Resources can be found at

www.spearmc.com

SpearMC Presentations at Reconnect

Wednesday, July 20 @ 9:15 – 10:15 am

• Powerful PeopleSoft 9.2 Composite &

Connected Query

• Session ID: 101230

• Presented by Randy Johnson

Wednesday, July 20 @ 10:45 – 11:45 am

• How Oracle BI Publisher Serves your

PeopleSoft Reporting Needs

Wednesday, July 20 @ 1:00 – 2:30 pm

• Extending PeopleSoft WorkCenters to

your Utility Supplier Partners

Thursday, July 21 @ 9:15 – 10:15 am

• Reconciling Project Costing to the

General Ledger and Functional

Reconciliation/Analysis Tips & Tricks

• Presented by Millie Babicz

Thursday, July 21 @ 11:00 am – 12:30 pm

• Deep Dive into nVision and Query for

PeopleSoft 9.2 (Tools 8.54)

• Presented by Millie Babicz

Questions?

mbabicz@spearmc.com

Session ID:

Please complete the session evaluation

101270

Reconciling Project Costing to the General Ledger

Documents

Product Costing Material Ledger ppt

Controlling 2012 Systematic Guidelines for Reconciling CO-PA to the General Ledger

Costing standards - integrated costing processes · 2020-06-18 · 10. The standardised cost ledger covers all sectors (except ambulance), to enable integrated providers to work from

Healthcare costing standards for England...organisation. They cover the costing process from the general ledger through to the final patient unit cost and reconciliation to audited

Product costing and Material Ledger - ERPDB - ERP Databaseerpdb.info/.../2009/03/product-costing-material-ledger.pdfMaterial Ledger Overview Obtain an understanding of the actual costing

JOB COSTING / ESTIMATE vs. ACTUAL · ACCOUNTING SYSTEM REQUIREMENTS – JOB COSTING Job Cost Ledger: The accounting system must be able to accumulate and report the costs for each

Chapter 14 Measuring and Assigning Costs for Income Statements Key Topics: –Absorption costing –Variable costing –Throughput costing –Reconciling income

SAP Actual Costing / Material Ledger Configuration - · PDF fileSAP ACTUAL COSTING/MATERIAL LEDGER CONFIGURATION TABLE OF CONTENTS INTRODUCTION ... materials (raw materials) and materials

SAP Actual Costing / Material Ledger Configurationdocshare01.docshare.tips/files/25006/250067868.pdfSAP ACTUAL COSTING/MATERIAL LEDGER CONFIGURATION TABLE OF CONTENTS INTRODUCTION

SAP Product Costing & Material Ledger PPT

Man… · Web viewGenerally responsible for reconciling and explaining less significant and complex general ledger accounts. ... Word, Access), particular emphasis in Excel

Automation of actual costing run (ckmlcp) in material ledger

Product Costing & Material Ledger-SAP

Reconciling Project Costing to the General Ledger€¦ · Reconciling Project Costing to the General Ledger Functional Reconciliation / Analysis Tips & Tricks 101530 @SpearMC

Auto-mapper: general ledger to costing legder expense code

Oracle Process Manufacturing · Establishing Standard Costing and Actual Costing ... Actual Costing Setup Accrued General Ledger Cost Allocations ... Material Usage and Substitution

Automation of Actual Costing Run (CKMLCP) in Material Ledger · 2015-12-15 · Automation of Actual Costing Run (CKMLCP) in Material Ledger In Material ledger, Actual Cost calculation

Financial Edge Subsidiary Ledger Reconciliation Guide · 2020-04-13 · When reconciling subsidiary ledgers to the general ledger, remember that your unfiltered subsidiary ledger

CHAPTER 5: COSTING TRUSTWORTHINESS - CBSi · PDF fileshow if any of the required conditions block the period from closing, such as open item ledger entries. ... Costing − Trustworthiness

SAP Material Ledger Actual Costing Overview