MIS/FMS Implementation in ICAR Implementation of Management Information System (MIS) including Financial Management System (FMS) in ICAR User Acceptance Testing – Financials MIS/FMS Implementation in ICAR Agenda Financial Processes Overview: 1) Payable Processes a) Bill Creation b) Bill Payment 2) Asset Processes a) Asset Addition b) Asset Retirement 3) Receivable Processes a) Bill Creation & Receipt against the Bills b) Receipts without bills 4) General Ledger a) Journal Entry Creation b) Journal Entry Posting c) Journal Entry Search MIS/FMS Implementation in ICAR ICAR Finance Solution Overview 1 2 Grants and Budgeting • • • • EFC Budgeting Process Annual Budgeting Process – Non Plan (BE/RE) Annual Budgeting Process – Plan (Scheme wise) Drawl and Disbursement of Funds Procurement Process • • • • Requisitioning Process with Budgetary Control PO Creation Process with Budgetary Control and EFC Linkage Receiving of Material and Inspection process of Items Tracking of Inventory Items maintained in Stores • • • • • • • • DDO - Bill Preparation, Expenditure Sanction TDS Deductions, Bill Validation and Payment Processing Cash Books Preparation Handling of Advances Employee Expense Reimbursements with Budgetary Controls Revenue Bookings and Collections Fixed Assets Maintenance Trial Balance, Balance Sheet and Consolidated Financial Reporting • • • • Employee Payroll Processing Pension Processing GPF and Gratuity Employee Loans and Advances 3 Finance - DDO Cycle and Audit and Accounts 4 Finance and Payroll Integration MIS/FMS Implementation in ICAR 1. Logging into Oracle Application MIS/FMS Implementation in ICAR Payables Processes Payables processes are classified into two: 1) Bill Creation 2) Approval & Payment of the Bill MIS/FMS Implementation in ICAR Bill Creation Bill Creation : Bill Creation will be done by DDO (Drawing and Disbursement Officer). 1) Bill Creation without PO a) Manual Bill Creation without PO b) Manual Bill Creation with TDS 2) Bill Creation for Advances a) Vendor Advance c) Employee Advance d) Petty Cash Advance 3) LC Creation 4) Bill Creation with PO a) Bill Creation – PO Matched b) Bill Creation with LC – PO Matched c) Bill Creation for Asset – PO Matched d) Bill Creation for TDS – PO Matched MIS/FMS Implementation in ICAR Bill Creation process Stores /Admin section performs certification of material/ Verification of bill and forwards it to DDO Bills received by Stores /Admin section Initiate Approval of Bill in the system DDO forwards the File to Audit and Accounts section DDO Validates the Bill in the system DDO Apply the relevant TDS section DDO Verifies the physical Invoice and prepare the bill in the system MIS/FMS Implementation in ICAR Bill Approval & Payment Process Invoice File received by Audit & Accounts Section Dealing assistant in A&A section will capture the ‘File Received date’ in system and verifies the bill SF&AO/ Section Incharge pass the bill in System After passing the bill File will be forwarded to Cash Section Cash Section Makes the payment in the system Cheque printing/ writing by Cash Section Cheque Mode of Payment Electronic Generate the Electronic File and sends to bank for NEFT/RTGS Payment Cash Book is generated automatically from system Generate Payment Advice from system and send to Supplier via Email Payment made to Supplier/Employee Bank released the payment from the respective institute account to the suppliers MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation Bill Creation MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation…..cont. Enter Invoice Line Details MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation…..cont Enter Distribution Details (Account Information) MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation…..cont If TDS is applicable, select the applicable TDS section MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation…..cont Automatic Funds checking MIS/FMS Implementation in ICAR Bill Creation - Manual Bill Creation…..cont In case of TDS Invoices, 1 Credit Memo on Supplier and 1 TDS Invoice on Commissioner of Income Tax is generated automatically. MIS/FMS Implementation in ICAR Bill Creation - Employee Advance MIS/FMS Implementation in ICAR Bill Creation - Employee Advance …..cont MIS/FMS Implementation in ICAR Bill Creation - Employee Advance …..cont MIS/FMS Implementation in ICAR Bill Creation - Employee Advance …..cont Validate the Bill MIS/FMS Implementation in ICAR Bill Creation - Employee Advance …..cont Initiate Approval Process MIS/FMS Implementation in ICAR Objection Book Reports of Advances Given: Objection Book Report For Employees Objection Book Report For Petty Cash Objection Book Report For Contingencies MIS/FMS Implementation in ICAR Settlement of Employee Advance After paying advances (shown in Payment Process), we need to adjust that advance. MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Settlement of Employee Advance Bill Numbers generated automatically once you save the transaction. …..cont MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Opening LC Account Basic steps (for LC Invoice) before entering Bill for LC MIS/FMS Implementation in ICAR Opening LC Account …..cont MIS/FMS Implementation in ICAR Opening LC Account …..cont MIS/FMS Implementation in ICAR Opening LC Account …..cont MIS/FMS Implementation in ICAR Bill Creation (against LC) – PO Matched MIS/FMS Implementation in ICAR Bill Creation (against LC) – PO Matched …..cont MIS/FMS Implementation in ICAR Bill Creation (against LC) – PO Matched …..cont MIS/FMS Implementation in ICAR Bill Creation (against LC) – PO Matched …..cont MIS/FMS Implementation in ICAR Bill Passing – Audit & Accounts Bill Processing: 1) Capturing the ‘File Received Date’ by Dealing Assistant 2) Bill passing by the SF & AO MIS/FMS Implementation in ICAR Bill Passing – Audit & Accounts …..cont MIS/FMS Implementation in ICAR Bill Passing – Audit & Accounts …..cont MIS/FMS Implementation in ICAR Bill Payment Bill Payment: 1) Bill Payment to Supplier 2) Advance Payments to employee/supplier/LC MIS/FMS Implementation in ICAR Bill Payment …..cont MIS/FMS Implementation in ICAR Bill Payment …..cont MIS/FMS Implementation in ICAR Bill Payment – Electronic Payments MIS/FMS Implementation in ICAR Bill Payment – Electronic Payments MIS/FMS Implementation in ICAR Bill Payment – For Bills with TDS After Receiving the Bill net payment to be paid to the supplier after deducting TDS and TDS amount need to be paid to Commisioner of Income tax. MIS/FMS Implementation in ICAR TDS Challan Entry MIS/FMS Implementation in ICAR TDS Challan Entry MIS/FMS Implementation in ICAR Process TDS Payments MIS/FMS Implementation in ICAR Generate TDS Certificate MIS/FMS Implementation in ICAR Generate Form 16 MIS/FMS Implementation in ICAR TDS Quarterly Returns MIS/FMS Implementation in ICAR LC Register MIS/FMS Implementation in ICAR Electronic Fund Payment Report MIS/FMS Implementation in ICAR Invoice Register MIS/FMS Implementation in ICAR Cash Book ICAR Cash Book: MIS/FMS Implementation in ICAR Invoice Turnaround Report ICAR Invoice Turnaround Report MIS/FMS Implementation in ICAR Payment Voucher Report ICAR Payment Voucher Report MIS/FMS Implementation in ICAR Payment Advice Report ICAR Payment Advice Report MIS/FMS Implementation in ICAR Objection Book Reports for Advances: ICAR Objection Book Report For Employees – Employees Advance and settlement ICAR Objection Book Report For Petty Cash – Petty Cash Advance ICAR Objection Book Report For Contingencies – Contingencies Advance MIS/FMS Implementation in ICAR Fixed Asset Processes MIS/FMS Implementation in ICAR Asset Processes In Fixed Assets the main activities are: 1) Asset Addition a) Asset Addition against Invoice b) Manual Asset Addition in case of Gift, Donation, Transfer etc 2) Asset Retirement a) Complete Asset Retirement in case of total damage etc b) Partial Asset Retirement in case of partial damage c) Retirement of Asset with selling price in case of Buyback, Transfer 3) Asset Depreciation MIS/FMS Implementation in ICAR Asset process Asset Bill passed in the system(Payables) Capitalization of the Asset (Assets) Automatic Generation of: 1. Fixed Asset Register’ 2. Asset Schedule 3. Asset Listing Manual Capitalization of Assets (Gifts/ Donations/ Transfers) Depreciation Calculation MIS/FMS Implementation in ICAR Asset Capitalization Run “Mass Additions Create” report from Payables to transfer Asset that are invoiced. MIS/FMS Implementation in ICAR Asset Capitalization Run “Mass Additions Create Report” to get the details of Asset and Corresponding Invoices. MIS/FMS Implementation in ICAR Asset Capitalization Creating Asset for the Invoice test test_LC_IN MIS/FMS Implementation in ICAR Asset Capitalization Enter Depreciation Account, Asset Category, Asset Location etc and change queue status to ‘POST’. MIS/FMS Implementation in ICAR Asset Capitalization Enter Asset Key (Source of Fund) MIS/FMS Implementation in ICAR Asset Capitalization Run “Post Mass Additions” to register the asset MIS/FMS Implementation in ICAR Asset Capitalization MIS/FMS Implementation in ICAR Asset Addition (Gift/Donation) In case of any other “Mode of Acquisition” apart from ‘Transfer’, Institute would be ‘000’(default). For transfer, institute would be destination institute. MIS/FMS Implementation in ICAR Asset Addition (Gift/Donation) MIS/FMS Implementation in ICAR Asset Addition (Gift/Donation) MIS/FMS Implementation in ICAR Asset Retirement Find Asset to Retire MIS/FMS Implementation in ICAR Asset Retirement MIS/FMS Implementation in ICAR Asset Retirement MIS/FMS Implementation in ICAR Asset Retirement MIS/FMS Implementation in ICAR Asset Retirement MIS/FMS Implementation in ICAR Transfer of Asset from One Institute to Other Institute MIS/FMS Implementation in ICAR Transfer of Asset from One Institute to Other Institute For Transfer, note the NBV value as selling price should be equal to Net Book Value. For BUYBACK, it might be NBV or Negotiated price. MIS/FMS Implementation in ICAR Asset Transfer Report ICAR Asset Transfer Out Register MIS/FMS Implementation in ICAR Transfer of Asset from One Institute to Other Institute MIS/FMS Implementation in ICAR Asset Transfer Report ICAR Asset Transfer IN Register MIS/FMS Implementation in ICAR Depreciation Run Depreciation and Close Period MIS/FMS Implementation in ICAR Fixed Asset Register ICAR Fixed Asset Register Report MIS/FMS Implementation in ICAR Fixed Asset Schedule ICAR Fixed Asset Schedule Report MIS/FMS Implementation in ICAR Asset Listing Report ICAR Asset Listing Report MIS/FMS Implementation in ICAR Revenue and Receipts Processes Receivables Processes 1) Bill Creation 2) Receipt against Bill 3) Recovery of Employee Advance 4) Project Receipts 5) Recovery of Loans MIS/FMS Implementation in ICAR Receivable process DDO Creates an Invoice by selecting the customer and the nature of revenue Automatic Accrual entry (Customer is Debited and Revenue is Credited) is generated in system DDO Creates a Miscellaneous Receipt in the system Create a standard receipt against the Invoice Automatic receipt entry ( Bank account is Debited and Customer is Credited) is generated in system Automatic accounting entry debiting the Bank and crediting the Revenue Treasury Receipt 5 (TR5) extracted from the system Customer Invoice required Yes No MIS/FMS Implementation in ICAR Bill for Sale to Customer MIS/FMS Implementation in ICAR Bill for Sale to Customer MIS/FMS Implementation in ICAR Bill for Sale to Customer MIS/FMS Implementation in ICAR Receipt against Bill MIS/FMS Implementation in ICAR Receipt against Bill MIS/FMS Implementation in ICAR Receipt against Bill MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Settlement of Employee Advance MIS/FMS Implementation in ICAR Project Receipts MIS/FMS Implementation in ICAR Project Receipts MIS/FMS Implementation in ICAR Receipts – Employee Advance Recovery MIS/FMS Implementation in ICAR Receipts – Employee Advance Recovery MIS/FMS Implementation in ICAR Treasury Receipt-5 (TR5) MIS/FMS Implementation in ICAR General Ledger MIS/FMS Implementation in ICAR General Ledger In General Ledger user will have following activity 1) Entering Journal Manually 2) Searching Journal from particular source 3) Posting Journal Manually MIS/FMS Implementation in ICAR General Ledger – Enter Journal MIS/FMS Implementation in ICAR General Ledger – Enter Journal MIS/FMS Implementation in ICAR General Ledger – Search Journal Searching Journal based on Source MIS/FMS Implementation in ICAR General Ledger – Search Journal MIS/FMS Implementation in ICAR General Ledger – Post Journal MIS/FMS Implementation in ICAR General Ledger – Submit Schedules MIS/FMS Implementation in ICAR General Ledger – Submit Schedules MIS/FMS Implementation in ICAR Appendix