Do you suffer from IAD (Incorrect Accounting Disorder)?
By Joe G on Feb 08, 2008
I chuckled the first time a customer
asked me, "Do I have to take SLA?" because it seemed like she was equating Subledger
Accounting (SLA) with bad-tasting medicine. In fact, we like to think of SLA more as a new miracle drug. I can understand why some
people might initially be scared of SLA because it's new, and like many other drugs, not widely accepted as a cure.
SLA is the new Financials module that
centralizes accounting for the entire E-Business suite (and yes, you have to
take it, to get your accounting). Customers have never
had such flexibility of configuring their accounting rules before, let alone ensuring
their foreign accounting offices are following their corporate accounting policy. Once a customer grasps the
business benefits of SLA, their eyes usually light up and they start asking
more optimistic questions, "I have IAD, can you backport it?"
If you're just starting to learn about IAD and this new drug, SLA, you should start by reviewing the Business Benefits of Oracle Subledger Accounting whitepaper.
For those who are ready to undergo a trial treatment program, get a hold of a Release12 EBS installation and take a look
at the accounting rules that EBS delivers out of the box. These rules are configured to perform
accounting exactly the same way as in Release 11i EBS (to ensure no adverse side effects), so the rules should look familiar. If your R12 EBS installation has upgraded
data or the Vision demo data in it, just go to the setup for a ledger like
Vision Corporation and select the Open Subledger Accounting Method button. That will take you to the setup pages to view the journal definitions and
accounting rules for that ledger.
When you're ready to start longterm treatment and define
your own accounting rules, don't try to reinvent the wheel - simply make a copy
of the accounting rules delivered out of the box, and make changes to this
copy. Copying rules is fully supported and
highly encouraged. And keep the SLA implementation guide handy for more detailed instruction.