1Account NI

Accounts ReceivableConference Room Pilot

(Oracle 11i CRP Instance)Tuesday, September 5th, 2006Thursday, September 7th, 2006

2Agenda

Background Objectives CRP Exclusions Split of Services between the Departments and the SSC Key Architecture for Accounts Receivable Module Organisation Structure for CRP Static Data for Accounts Receivable Document Numbering High Level Business Process Scenarios including Oracle demonstrations Questions we have for you Next steps Roll Out

3Feedback:

YOUR INPUT IS VITAL !!

Please ask questions or raise issues

Please use your Feedback Forms to record comments and return these via your Departmental Project Manager

Email us at accountni.po@dfpni.gov.uk

4 Completed Business Process Maps for Accounts Receivable (AR).

Conducted internal prototype demonstration of AR to drive out detailed design solution.

Conducted Debt Management workshop with Departments to establish a consistent debt management approach.

Developed detailed functional specifications and layouts for Customer Statement reports and Dunning Letters (samples attached)

Conducted detailed discussions on Inter-Departmental scenarios to identify AR configuration requirements to support this process.

Visited a selection of Departments/Agencies (DARD, DENI, DETI, HSENI, DSD, Roads & Planning Service) to gain an understanding of their AR processes.

Background

5 To gain an understanding of the Account NI process design

To assess the processes demonstrated against business critical requirements and

identify gaps

To progress to closure of the Common Footprint design

Objectives

6 The CRP demonstration does not involve the rigorous testing of the Oracle solution by Department end-users.

The CRP demonstration is not a training session.

CRP Exclusions

7Set up and maintenance of customers, and capture of debtMatching income received to debtors invoices, or processing miscellaneous income

Identify changes required.

Approval

Key on details.ORRun interface.Print invoice/ credit note.Distribute.

Determine who is to be invoiced.Credit note request.ApprovalDetails forwarded to SSC

Payments made via local offices lodged promptly.Details recorded and forwarded to SSC.

Receipts identified from bank statementCash received at SSCMatch receipts to debtorsCode miscellaneous income to revenue.

Daily sweep to GLMonth end closure

Receive and review monthly reports

Create/Maintain Customer

Standing Data

Issue Invoice/ Credit Note

Payments Received

Credit Control

Perform Closing

Approval of write-off of debts

Issue statementsIssue Dunning lettersIdentify potential bad debts

DEPT

DEPTDEPT

DEPT DEPT

SSCSSC

SSC

SSC

Key on details.Carry out credit check.Run customer daily listing.

SSC

Split of Services between Departments and SSC:

8Department Systems (Interfaced into AR)

Oracle AR (Multi-Org Model)

Oracle General Ledger

Banking ProviderAutolockbox / Direct Debit

Transactions

Print Invoices, Credit Notes

Customer Statements

Dunning Letters

Point of Sales (OSNI)

Oracle Cash ManagementReceipt details

Custom Developments

GL Transfer

Sales Transactions

Dial (DFP)Telephone Call

Charges

AO System (DFP) Valuation Charges

Inbound Interfaces to AR

Bank Statement Details inbound

Key Architecture for the Accounts Receivable Module:

9DFPDSD

DFPDSD Core

Oracle Configuration Definition

Common Set of Books

Balancing Entities(Organisation)

Operating Units(Departments)

Agreed Multi-Organisation Structure

NICS

DSD CSA

Common COA (7 Segments)

- Organisation- Cost centre- Account Code- Analysis Code 1- Analysis Code 2- Analysis Code 3- Spare

Organisation Structure for CRP1 Environment:

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Static Data for Accounts Receivable

Customers The person or organisation you sell products or services to.

Remittance Bank The Bank Account used to remit payments one bank account per Department for CRP.

Payment Terms Receivables let you define standard payment terms for your customers to specify the due date for their open items e.g. Net 30 days - most will be 30 days but can be changed as and when required.

VAT Codes Tax codes can be amended as and when necessary e.g.17.5%, Exempt. The VAT codes default at Customer Site Level.

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Invoice numbers will begin at 10000000 for DFP, 20000000 for thenext Dept or Agency. Thus all Departments/Agencies will have their own 8 or 9 digit ranges for invoices.

All Receipt Numbers will be manually generated except for DirectDebit and Autolockbox receipts which will be automatically generated.

Document Numbering

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Enter Invoices

Record Misc Receipts

Bank Statement

Reconciliation

Create Customers

Apply Credit Notes against

Invoices

Apply Receipts against Invoices

Perform Debt Management

Activities

Post to General Ledger

Reporting

CM process highlighted in green

High Level Business Process Map For AR

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Scenarios To Be Demonstrated

Creation of a Credit note - Full and Partial4

Process Receipts for Debtors (includes applying the receipts to invoices)5Process Receipts for Miscellaneous Payments6Automatic Receipts and Remittance Processing7

Intra Departmental Transactions

Receipting Payments

Credit Note Processing

Invoice Creation and Completion (single invoice & batch)3Sales InvoicesAmend Customer Record Details2Create New Customer1CustomersScenarioNumber

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Scenarios To Be Demonstrated

Generate Dunning Letters 14Generate Customer Statement Report13Generate Aged Debtor Report12

GL Transfer & Period EndGL Transfer & Period End Processing 15

Reallocation of Receipts8Receipts

Generation of the Receipt Register report10Reversal of Receipts 9

Run Additional AR Reports 16Additional Reports

Record Customer Calls 11Debtor Management

ScenarioNumber

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Scenario 1 Create New Customer

This scenario demonstrates the creation of a new customer that includes the following conditions:

Branch/Dept (Requestor) Branch Requestor ensures customer doesnt already exist for their Department. Branch Requestor completes a Customer Creation Form and sends it to the SSC AR Team.

SSC Credit Controller Credit Check performed by SSC:

- check against judgments- check against NICS records

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Scenario 2 Amend Customer Record Details

This scenario demonstrates updating an existing customer record on the system. Thisaction may involve changing existing customer details or making a customer inactive.

SSC AR Inputter AR Inputter updates customer details in Accounts Receivable

SSC AR Approver AR Approver checks customer record against daily Customer Listing - Detail report to

review amended details

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Scenario 3 - Invoice Creation

This scenario demonstrates the creation of an invoice for an external customer.

Invoice Request (Branch) Invoice Creation (SSC) Invoice Approval and Distribution (SSC)

Branch/Dept (Requestor) Branch/Dept completes Invoice Creation Form detailing items to be invoiced and forwards to the AR section in the SSC

SSC AR Inputter/Approver Invoice is created in the SSC and distributed to customer

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Scenario 3 Intra-Departmental Invoice

This scenario demonstrates the creation of an intra-departmental invoice using DSD Core as the supplier and DSD-CSA as the customer.

DSD Core Raises Request for an Intra-Departmental Invoice and Issues to SSC

SSC AR Inputter AR Inputter creates invoice in Accounts Receivable and invoice number is generated

SSC Approver AR Approver checks and approves invoice details on the Oracle system

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Scenario 4 Creation of a Credit Note

This scenario demonstrates the creation of a credit note in AR.

Branch/Dept Requestor in Branch completes a Credit Note Request Form

SSC AR Inputter AR Inputter processes a credit memo

SSC AR Approver AR Approver runs Credit Note Listing Report and checks credit note details against

Branch request form Credit Note is approved Customer account is credited

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Scenario 5 Process Receipts for Debtors

This scenario demonstrates entering a receipt for a payment received from a customer. Payments to a Department or Agency will be remitted directly to the SSC.

SSC AR Inputter AR Inputter enters receipt in Accounts Receivable and matches against invoice (receipt is then applied).

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Scenario 6 Process Miscellaneous Receipts

This scenario demonstrates the processing of receipts where no invoice has been issued.

SSC AR Inputter AR Inputter enters receipt in Accounts Receivable and codes to the appropriate income code miscellaneous code AR Inputter balances to lodgement sheet AR Approver checks and approves lodgement

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Scenario 7 Automatic Receipts & Remittance Processing

Bank Interaction

Receipt Processing

Remittance Processing

Enter Invoices Create Automatic Receipts

Create Remittances

Approve Automatic Receipts

Format Automatic Receipts

Format Remittances

Approve Remittances

Send Remittance file to bank

Bank sends Bank Statement to SSC

Remittance FileBank Statement

Cash Mgt reconcile receipts

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Scenario 7 Automatic Receipts and Remittance Processing

This scenario demonstrates the use of the Accounts Receivables automatic receipts feature toautomatically generate receipts for customers with whom you have predefined agreements.These agreements let you collect payments on time by transferring funds from the customersBank Account to Dept Bank Account on the receipt maturity date.

SSC AR Inputter Select the invoices to include in your automatic receipts Create the automatic receipts Remit your automatic receipts Format your automatic remittances before sending to the bank, to initiate the transfer

of funds from Customers Bank Account to Dept Bank Account

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Scenario 8 Reallocation of Receipts

This scenario demonstrates a receipt being incorrectly applied against an invoice, then being reapplied against the correct one.

Branch/Dept Department notifies the SSC to apply monies to correct invoice

SSC AR Inputter Receipt is unapplied against incorrect invoice and reapplied against correct invoice

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Scenario 9 Reversal of Receipts

This scenario demonstrates the reversal of a receipt.

SSC AR Inputter AR Inputter reverses original receipt

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Scenario 10 Generation of Receipt Register Report

This scenario demonstrates the generation of the Receipt Register Report.

SSC AR Manager AR Manager generates the Receipt Register Report to be used to reconcile lodgement

slips to the receipt batches processed in system

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Scenario 11 - Record Customer Calls

This scenario demonstrates the Customer Calls process in Accounts Receivable.

This scenario includes Details about the conversation are entered onto the System to create a record of

the call

The Customer Calls function can also be used to record disputed items and to review previous calls

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Scenario 12 Generate Aged Debtor Report

This scenario demonstrates the generation of the Aged Debtor Report using defined aging buckets. Receivables lets you view your customers outstanding account balances by aging buckets. Aging buckets are time periods in which you age and review your debtors items.

AR Manager Aged Debtor Report is run as required Aged Debtor Report used by SSC AR manager to produce debtor analysis Aged Debtor Report generated for Department and sent out in soft-copy format to the Finance Managers

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Scenario 13 Generate Customer Statement

This scenario demonstrates the generation of Customer Statements.

SSC AR Inputter Generates Customer Statements in the System This is carried out on a monthly basis Customer account details are updated to reflect the Statement issue Statement is printed and distributed to customer by SSC

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Scenario 14 Generate Dunning Letters

This scenario demonstrates the running of the Dunning Letter program. Receivables provides a Dunning Letter set which includes Dunning Letters of increasingseverity.

Cost Centre Manager Aged Debtor Report sent to Department Managers Department advises AR approver in SSC of any Dunning Letters that should not be

issued

SSC AR Approver AR Approver runs Dunning Letter Preliminary Report AR Approver authorises and generates Dunning Letters

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Scenario 15 GL Transfer & Period End Processing

This scenario demonstrates the running of the General Ledger Transfer program topost AR transactions to the GL Debtor Balance and Income Accounts.

SSC AR Manager AR Manager runs the Accounts Receivable General Ledger Transfer program. This

program is run daily

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Scenario 16 Additional AR Reports

This scenario demonstrates the running of Standard Oracle Accounts ReceivableReports.

Standard AR Oracle Reports Transaction Register - provides details of invoices and credit notes raised on the

system Unapplied Receipts Report Lists receipts that have been received but not

applied to a debtors invoice or income line Incomplete Invoices report Lists invoices that have not been processed Customer Listing Detail Provides details of customers set up on the system

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Questions we have for you:

Can you provide a classification of the different types of miscellaneous payments (no invoice issued) your Department deals with.e.g. ticket sales, pamphlets, etc..

Is there any critical information missing from the standard Oracle screens demonstrated?

Are there any additional scenarios we have not covered in CRP1 you would like addressed as part of CRP2?

In order to assist with the system configuration process, we need to obtain from you details of some key master data:

Standard Memo Lines Salespersons Customer Profiles

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NEXT STEPS

Any queries or issues that you have not raised today should be forwarded to your DPM on the forms provided.Feedback must be returned by DPMs to Account NI no later than 22/09/06.Account NI

Collate and log all issues/requirements (all new requirements must be fully justified) Review, assess and confirmCRP2 sessions

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ROLL OUT

1 Dec 08Wave 6

6 Oct 08DRDDOEROADS

Wave 5

2 Jun 08DARDDEDCAL

Wave 4

4 Feb 08DSDDHSSPS

Wave 3

1 Oct 07DETIDEL

Wave 2

4 June 07DFPOFMDFM

Wave 1

Go live dateDepartment