Infor ERP LN – AP and Cash Payments Overview
Dan Aldridge CEO Performa Apps
e-mail dan.aldridge@i-app.com
website www.inforln.com/wp
linkedin Dan Aldridge
twitter @Danaldridge1
Finance Training Agenda – ACR & CMG
 ACR - Accounts Payable Overview
 Overview
 Master Data
 Processing
 Open Entries
 Exercises
 CMG - Cash Management Overview
 Overview
 Master Data
 Processing
 Exercises
2
Finance Training Agenda – Accounts Payable
Accounts Payable
Overview
3
Finance Training Agenda – Accounts Payable
 Overview
 Processing
 Business Partners
 Received Invoices
 Financial Customer Groups
 Invoice – Matching
 Processing
 Invoice - Cost
 Terms
 Recurring Purchase Invoices
 Reporting
 Master Data
 Parameters
 Dashboard
 Procurement Card
 Aging Reports
 Purchase Invoice
 Recalculate Invoice-From BP Balances
 Report Definition
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 Open Entries
 All supplier and/or all customer roles must be defined for a business partner
Buy
From
Sold
To
Ship
From
Ship
To
Supplier
Roles Invoice
Invoice
Business
Partner
Invoice
Invoice
To
To
From
From
Accounts Payable
Business Partners
Pay
Pay
To
To
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Pay
Pay
By
By
Customer
Roles
Supplier Buy-From:
 BP Status
 Language
 Area
 Line of Business
 Address
 Order Discount
 Purchase Office
 Terms of Delivery
Supplier Ship-From:
 BP Status
Language
Accounts Payable
 Address
Supplier Information
 Warehouse
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Supplier Invoice-From:
 BP Status
 Language
 Address
 Currency
 Financial Supplier Group
 Statement Method
 Terms of Payment
 Payment Method
Supplier Pay-To:
 BP Status
 Language
 Address
 Currency
 BP Bank
Business Partner
Accounts Payable
Financial Supplier Group
Financial Supplier Groups
Ledger Accounts
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Financial Supplier Group Information:
 Control Account
 Currency Profit & Loss
 Payment Differences
 Discounts
 Late Payment Surcharges
 Invoice Receipts
 Anticipated Payments
 Price Differences
 Unallocated Payments
 Advance Payments
 Others
Accounts Payable
Financial Supplier Groups
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Print Purchase Order
PN4
Print Good Rec. Note
Maintain Receipts
Print Claims
Maintain Approvals
Print Storage List
Print Return Notes
Accounts Payable
Purchase Order Steps
Print Purchase Inv.
Process Delivered
Purchase Orders
9
Accounts Payable
Cost Invoices
Purpose: To process invoices for (non-inventory) items
that were purchased without a purchase order.
 No longer separate Transaction Type in LN.
 Process Flow:
 Maintain Transaction
 Purchase Invoice Header
 Purchase Invoice Lines
Optional:
- Change terms of payment.
- Attach payment schedule,
then create transactions
from schedule.
- Change authorization data.
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Accounts Payable
Purchase Order Matching
Receive and Authorize Invoice
Register (Voucher) Invoice
Purchase Invoice Matching:
Automatic or Manual*
Booking Difference
Approve Price Difference
Approve Invoice for Payment
Optional
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Received
Invoice has been entered in “Maintain Received Purchase Invoices” session
Registered
Invoice can be a batch in “Maintain Transactions” session. Ledger accounts will then be a
Matched
Invoice has been matched to Purchase Order and/or Receipt in “Match/Approve Purchase
Approved
Invoice has been approved (authorized) in “Approve Purchase Invoices” session
Canceled
Invoice has been canceled in “Maintain Received Purchase Invoices” session
Accounts Payable
Keywords
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Accounts Payable
Order Matching Differences
 Booking Difference:
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An additional invoiced amount.
Recorded as an add-on cost.
Enter G/L account and dimension code.
For example, freight, insurance, and so on.
 Price Difference:
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A true Purchase Price Variance (PPV).
The invoiced price is different than the PO price.
G/L account price variance (within tolerances).
G/L account result (outside tolerances).
Finance Training Agenda – Accounts Payable
Accounts Payable
Master Data
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 Parameters
 Default Aging Analysis
 Transaction Types for Currency Differences
 Financial Customer Groups
 Procurement Cards
 Matching Codes
Accounts Payable – Master Data
Parameters
15
 Purchase Invoices
 Hold Reasons
 Assigned Approvers
 Authorizations
 Matching Tolerances
 Purchase Offices
 Reporting
 Aging Analysis Data
 A/P Statements
 Credit Payable
Notes Letter
Accounts
– Master Data
Parameters
16
Finance Training Agenda – Accounts Payable
Accounts Payable
Processing
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Accounts Payable – Processing
Procurement Cards
Procurement Card processing is focused on corporate houses, where the
products are purchased using a corporate Procurement Card.
 The buyer is not necessarily a regular buyer of goods
in the organization
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Accounts Payable – Processing
Procurement Cards
Manually
Electronically
Manually
Electronically
Purchase Requisition
Holiday Inn hotel
Lufthansa
EUR 850
EUR 1.400
Holiday Inn hotel
EUR 850
Lufthansa
EUR 1.400
EUR 2.250
•Manually
•Automatically
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Match
Accounts Payable – Processing
Procurement Cards
Procurement Cards
Procurement Card
Lines
Procurement card number
Procurement card company (business
partner)
Status / validation data
Credit limit
 Line Category
 Purchase requisition
 Past adjustment
 Others
 Default ledger account
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Accounts Payable - Processing
Received Invoices
 Purpose:
 To optionally preregister invoices without generating financial
transactions and opening A/P items.
 Also includes authorization by different employees/departments for
further A/P processing.
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Accounts Payable - Processing
Accounts Payable Purchase Invoice Processing
Received Invoices
Maintain
Transactions
Approval
Maintain Purchase
Invoices
Matching with
Orders
Maintain
Transaction Lines
Approval
GLD Processing
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Accounts Payable - Processing
Types of Matching
Register Invoice
Yes
$ Receipt / $ Invoice - Tolerance
Automatic Match
Complete
Price Difference
On FSG
Approve Invoice
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No
Manual Match
Accounts Payable - Processing
Assign Credit Notes to Invoices
Later
Now
Original Invoice
Transaction Type
One Credit Note
to One Invoice
One Credit Note
to Many Invoices
Reduces the Open
Balance of the Invoice
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Accounts Payable - Processing
Recurring Purchase Invoices
Today
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Period 1
Period 2
Period N
Accounts Payable - Processing
Tolerances
Higher
Lower
%
$
2%
50.00
Receipt Amount = $100.00
Invoice Amount = $120.00
Out of Tolerance
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%
5%
$
100.00
Receipt Amount = $100.00
Invoice Amount = $97.00
In Tolerance
Finance Training Agenda – Accounts Payable
Accounts Payable
Open Entries
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Accounts Payable – Open Entries
Print / Display Options
Need info NOW?
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Open Entries
Business Partner (BP) Purchase Invoices
Registered Purchase Invoices by BP
BP Totals
BP by Factoring Company
Print Purchase Invoices
Print Invoice Authorization Schemes
Print Invoice-from BP Balances
Print Invoice-from BPs Total Balances (by
Co.)
Print Aging Analysis by Invoice-from BP
Print Invoice-from BP Aging Summary
Print Invoice-from BPs Finalized
Transactions
Print Control Account Checklist
Print Recurring Purchase Invoices
Accounts Payable
Dashboard
Main Accounts Payable Dashboard
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Review Questions and Answers
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Accounts Payable
Training Exercises
 Training Exercise:
 Input Cost Invoice
 Finalize Batch
 Review in Transactions in ACP Dashboards
3
Finance Training Agenda – Cash Management
Cash Management
32
Finance Training Agenda – Cash Management
 Overview
 Master Data
 Parameters
 Payment Authorizations
 Bank Relations & Methods
 Check Master
 Electronic Bank Statements
 IRS 1099 Reporting
 Processing
 Payments to Suppliers
 Receive Payments
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Finance Training Agenda – Accounts Payable
Cash Management
Overview
34
Cash Management
Remittance based on cash application
 Facilitates quick data entry
 Does not restrict user with data consistency checks
 Checks are done when applying the remittance advice
 Reduction of cash application lead time
 Options to easily handle:
 Short payments
 Over payments
35
Cash Management
Uninterrupted supplier payment process
Select Invoices for Payment
Payment Batch X1
Uninterrupted Payment Process
• Payment Created
• Financial Posting
Exception Error
Payment Batch X2
36
Cash Management
Uninterrupted payment/receipt process
Payment Process Defaults
 Devices
 Starting Check
Payment Process Defaults
by Bank/Payment Method
 Senders Identity
 File Identification
 Device for Payments
37
Cash Management
Uninterrupted payment process
 Error report during Payment
Process
 Display of all exception errors
per payment batch
38
Cash Management
Accounting for anticipated payments
At
Check Run
At
Bank Reconciliation
Check received by
Supplier and presented
to Supplier’s Bank
Check
mailed
L
E
D
Debit
Anticipated
Payments
39
G
E
R
E
N
T
R
Credit
Debit
Cash
Clearing
Cash
Clearing
I
Check clears
your Bank
E
S
Credit
Anticipated
Payments
Debit
Credit
Accounts
Payable
Cash
Finance Training Agenda – Accounts Payable
Cash Management
Master Data
40
Cash Management – Master Data
Parameters
 Parameters
 Payments by Company Group
 Select Only Finalized Invoices
 Payment Differences Tolerances
41
Cash Management – Master Data
Payment Authorizations
Payment Authorizations
Used to limit check writing to selected user along with
putting limits on size of payment.
42
Cash Management – Master Data
Payment / Receipt Methods
Payment / Receipt Methods
 Separate Methods for:
 Receipts
 Payments – Checks
 Payments – ACH
 Checks Printing:
 Multiple Checks
 Single Check w/Remittance
 Single Check with overflow
to Remittance.
43
Cash Management – Master Data
Check Master
Check Master
 By Payment Method
 Check Status:
 Not Used
 Test Print
 Void
 Damaged
 Anticipated
 Rejected
 Paid
44
Cash Management – Master Data
Check Master
Reasons
 Can be Added
to Payments
 Valid for 1099-MISC
 Yes / No
45
Finance Training Agenda
Cash Management
Processing
46
Cash Management – Processing
Supplier Payments
Supplier Payments
 Based on Payment Batches
 Created by session and modifiable.
 Supplier total can not be negative.
 Can be used for EFT or Checks
 Use separate batches for EFT and Checks
 Use different payment Methods.
 Payments can be easily voided or rejected until cleared.
 Payments not in GLD until Posted.
 Automated clearing available with Bank Electronic file.
 Requires set up of EBS import specifications.
 Still requires manual processing for problem checks.
47
Cash Management – Processing
Supplier Payment Process
Select invoices for
payment
Payment advise
Documents
Trade Note
process
Automatic payment
process
Documents
File
Change Trade Note
step
Open entries
48
Electronic
bank statement
Manual
bank statement
Automatic
matching
Reconcile
Cash Management – Processing
Select Invoices for Payment
Select Invoices
 Create Batch to pay
 May be modified
 Not Selected
 Prints a report of
invoices NOT selected.
Helpful Hint:
You should print the
“Not Selected” report to
see what is still open.
49
Cash Management – Processing
Payment Advice
Payment Advice
 Ability to modify
Payment Batch before
paying invoices.
50
Cash Management – Processing
Process Payments
Process Payments
 Compose Payment
 Assign Banks to Payment
 Audit Payments
 Create Payment Orders
 Checks
 ACH
 Print Remittance Letters
 Post Payments to GLD
 By Payment Batch
51
Cash Management – Processing
IRS 1099 Reporting
IRS 1099 Reporting
 Generates output for filing
1099s with IRS
 Can be either:
 Paper
 Electronic
52
Cash Management – Processing
Customer Payments
Customer Payments
 Manual process uses same session as Journal Vouchers
 Uses “Cash” Transaction Type
 Normally uses a “Checksums” for batch.
 Automated process available with Bank Electronic file.
 Requires set up of EBS import specifications.
 Used with Lockboxes
 Still requires manual processing for unmatched receipts.
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Cash Management – Processing
Customer Payments
Physical Receipt of Cash, Check, etc.
Manual Receipts
OR
Direct Debits
Cancel Open Invoices
Advance Receipts
Receipts not specifically
Allocated to Open Invoices
Non-BP Related remittance for
Sundry Sales (Trans posted
Directly to GL)
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$
Business Partner’s bank
is automatically charged
for a selected sales
invoice
Cash Management – Processing
Customer Payments
To process manual bank reconciliation entries, available Transaction
Types in the Bank Transactions (tfcmg2100m000) session include:
Receipt Transaction - The Bank
transaction type to process customer
receipts and payments for credit notes
State Bank & Trust
S T A T E M E N T
Deposits
7/12/99 $18000.00
7/18/99 $27889.77
7/23/99 $ 9987.00
7/30/99 $33887.65
Checks
7/01/99
7/06/99
7/07/99
7/07/99
7/08/99
7/09/99
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325432
325438
325447
325448
325449
svc chg
$
60.00
$ 14002.40
$ 232.09
$ 115.50
$ 1160.45
$
22.00
Cash Management – Processing
Customer Payments
Journal - The Bank transaction type to process charges directly to the
general ledger (e.g., bank costs, bank service charges, and other
sundry charges)
Receipt Reconciliation - The Bank transaction type to process
anticipated receipts actually received by the bank
Unallocated Receipt - The Bank transaction type to process an
unallocated receipt not linked to an invoice. These amounts can be assigned
to open entries now (Assign Adv./Unall. Receipt under Specific), or at any
later date
Unallocated Receipt - The Bank transaction type to process an
unallocated receipt not linked to an invoice. These amounts can be assigned
to open entries now (Assign Adv./Unall. Receipt under Specific), or at any
later date
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Cash Management – Processing
Customer Payments
Unallocated and advance receipts:
Create open cash amounts on the partners account after
they have been reconciled to the bank statement.
Advance receipt:
• Tax can be calculate tax on Advance Receipt.
Unallocated receipt:
• Tax can NOT be calculated on Unallocated Receipt.
Choosing which type of receipt to create depends on the business
situation and the local tax legislation requirements.
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Review Questions and Answers
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Cash Management
Training Exercises
 Training Exercise:
 Create Payment Batch
 Edit Payment Batch
 Process & Post Payment Batch
 Finalize Batch
 Review in Transactions in ACP Dashboards
5
For more info: Email dan.aldridge@i-app.com
Twitter @danaldridge1, @iapperp
Website: www.inforln.com/wp