By MargaretW-Oracle on Feb 14, 2013
Implementation of accounting best practices can significantly reduce your company’s workload while improving accuracy and ensuring data quality. The Create Accounting program processes eligible accounting events to create subledger journal entries.
The Create Accounting program:
- Validates and creates subledger journal entries
- Transfers the final journal entries in the current batch run to General Ledger and starts the General Ledger posting process
- Generates the Subledger Accounting Program Report, which documents the results of the Create Accounting program
In Receivables we recommend that you run Create Accounting daily! Here’s why..............!
- The Create Accounting concurrent program is run with the 'as-of' GL_DATE so running daily will allow all invalid items to be caught early and resolved before the period needs to be closed. This prevents the panic at Period Close, when you find out there is just one invalid transaction preventing the entire period from being successfully closed.
For example, for Dec-1-2012 you may have an orphan credit memo event which shows in the Subledger Period Close Exception Report. When you try to close the period on Dec-31-2012, this corrupted credit memo will prevent period close. If you had run the Create Accounting process more frequently, this invalid data would have been identified and you could have found the resolution prior to the Period Close.
- Running the Create Accounting concurrent program daily will allow for quicker processing. Having the program process 100 transactions per day is a lot easier then having it process 3000 transactions on the final day of the month, especially with the performance impact of all the additional Period Close reporting and processing that has to be completed. Another option is having each user run online create accounting as soon as the transaction is completed.
- Yet another benefit of running Create Accounting more frequently, is the ability to reconcile your AR and GL data in smaller and more targeted tranches of data. This is yet another Period Close process that can be started earlier in the period, in order to decrease the pressure on yourselves at the end of the period.