FI ProcessesBIDCO AS IS - TO BE FINANCE PROCESSESSr No.HandlerProcess StepsTo BeGapGeneral Ledger - Journal Voucher1Axis AccountantThe trial balance is reviewed on a daily basis by the AXIS accountant (Outsourced Accounting). It is then downloaded to a spreadsheet. Drill down functionality is used from Crystal reporting (3rd party reporting tool) to analyse the GL account.Trial Balance is given directly on S A P and drill down functionality is done through the GL a/c. From the display view, we are able to drill down up to the original document - eg sales invoice.2Axis AccountantIf there are any incorrect postings a manual journal is prepared by the accountant in excel. It is forwarded to the AXIS team lead for approval.The document needs to be reversed and the correct document to be posted. The person will park the entry and the authoriser will post the document.3Axis Team LeadThe journal is signed by the AXIS team lead and given to the accountant to capture. If it is not approved it is sent back to the accountant for correctionJV is than parked and waiting to be posted by the Authorised person4Axis Team LeadThe accountant then captures the journal in BAAN.Authorised person logins and post the JVGeneral Ledger - Depreciation Journal5Axis GL AgentThe depreciation schedule is prepared by the AXIS GL agent, this is done manually on a spreadsheet that contains the cost and accumulated depreciation figures. The depreciation amounts and any additions to assets are determined from BAAN for the purpose of calculating the depreciation as at the end of that particular month.In SAP, it is an automatic depreciation journal - based on fixed asset register and the Chart of depreciation. Every month, we will run a Depreciation Posting Run - first a TEST RUN is done after which a final entry is done.6Axis GL AgentA manual Journal (JNM) that consists of the depreciation entry is prepared in a spreadsheet. The reversal of the previous months depreciation is also prepared at this stage.No reversal is required in S A P as a monthly final depreciation amount is posted.7AXIS team leadThe AXIS team lead approves both depreciation journals.After checking the test run, a final execution is done.8Axis AccountantThe accountant captures the two journals in BAAN. The following entries will occur: The reversal will CR Depreciation and DR Accumulated depreciation. The month end entry will DR Depreciation and CR Accumulated depreciationNot required in S A P.General Ledger - Bank Charges9Bank Recon ClerkThe bank reconciliation agent will receive the bank statement from treasury indicating the correct bank charges and where the charges should be posted to.Same for S A P.10Bank Recon ClerkThe bank reconciliation agent will check the bank statement manually.Same for S A P.11Bank Recon ClerkAn entry is processed in BAAN to credit bank and debit the relevant bank charges expense account by the agentSame - manual entry to be done in SAP.General Ledger - Month End/Year End12Axis AccountantMonth end closes on the 10th of every month.In SAP, we can close at the end of the month!!13Axis AccountantA mail is sent to employees on the 8th to start month end activities.14Axis AccountantThe AP and AR sub ledgers are closed on 10th of the month.In SAP, we can close at the end of the month!! 31st!!15Axis AccountantThe payroll journal is processed: A journal is prepared by the payroll clerk in excel. It is sent to the AXIS team lead for approval. The accountant will capture the journal in BAAN and post it.Salary upload programme to be created to upload salaries automatically onto S A P.16Axis AccountantDepreciation entries are posted.As discussed above17Axis AccountantVAT / Reverse VAT is filed. Download VAT GL reports from the BAAN. A recon is done manually in excel to split input and output VAT and to work back to total sales and purchases. This report is signed by the AXIS team lead, CFO and it is sent to KRA. Withholding VAT is paid.Monthly VAT report required - AV to check & show us the possible reports to all concerned18Axis AccountantManagement Reports Trial Balance, Balance Sheet, Profit & Loss by entity, Cash Flow StatementAll available from S A P19Axis AccountantOpen new fiscal year, create new accounting periods,Same in S A P.20Axis AccountantBalances are carried forward to the new fiscal yearSame in S A P.Accounts Payable - Invoice w/o Reference to PO21Scanning ClerkReceive invoices and delivery notes from stores or suppliersWaiting for DMS procedure.22Scanning ClerkThe invoice and delivery notes are scanned by the scanning clerk.Waiting for DMS procedure.23Indexing ClerkThe indexing clerk retrieves the scanned documents from documentum (document management system) and assigns the supplier name, the invoice number and the dates.Waiting for DMS procedure.24Ap AgentUsing workflow, the indexed invoice is sent to the AP agent (decision maker) to check the invoice against the LPO in BAAN for quantity and price. The agent also checks for an ETR signature.Waiting for DMS procedure.25Ap AgentIf the invoice is as per the LPO, it is sent to the AP agent to capture in BAAN via workflow.Waiting for DMS procedure.26Ap AgentIf not, then either: A mail is sent to ICT to reverse the workflow. A credit note request is sent to the supplier via remote department.Waiting for DMS procedure.27Ap AgentThe AP agent captures the invoice in BAAN, and approves each invoice in a batch. Then the batch is ready for finalisation.No batch concept for booking invoices. Individual invoices are posted in S A P. There is an option available in S A P - we can Park the document at the tiem of booking the invoice.28Batch VerifierThe batch verifier extracts a report from crystal on a frequent basis to check for new batches awaiting approval. The batch verifier prints out the new batch report and checks:As there is no batch processing concept for booking invoices in SAP, this process is not required. Individual invoices areposted in S A P. Here we can release the parked document and post the document.29Batch VerifierThe GL accounts and confirms if the invoice has been approved in Baan, in which case an API (Approved Invoice) document should be generated for the matched invoice. Checks for dates, document number, currency, VAT code/exemption, ETR receipt, price differences, supplier name. In the case where withholding tax needs to be deducted, the batch verifier also checks whether a respective debit note has been raised in BAAN.All covered in the above point.30Batch VerifierIf the batch is OK, the batch verifier finalises the batch in BAAN and this will update the GL. If the batch is not ok, the batch verifier takes the non finalised transactions from crystal printout to the AP agent, the decision maker for the necessary action.All covered in the above point.Accounts Payable - Sundry Invoices31Axis RemoteThe invoice is received by AXIS Remote department and it is taken to the team leaders or the directors for approval.scope of improvement32Axis RemoteThe approved invoice is then sent to the remote department.scope of improvement33Axis RemoteThe correct GL account numbers are written on the invoice. Remote signs on the invoice hence taking responsibility for the correctness.scope of improvement34Scanning ClerkThe invoice is then sent to the scanning clerk (AXIS remote dept) who scans the invoice on documentum, stamps and assigns a scanned number. The original invoice is filed by Remote department.Waiting for DMS procedure.35Indexing ClerkUsing workflow the scanned image is sent to the indexing clerk who assigns a unique identification number on Documentum (Captiva batch).Waiting for DMS procedure.36Decision MakerUsing workflow, the indexed invoice is sent to the decision maker who checks the GL accounts assigned ETR receipt, VAT number & PIN number. The decision maker also checks, in cases of contracts, that a debit note has been raised in respect of withholding tax by remote department which can be viewed in documentum. If an error is found on the amount, a request for credit note is made by inserting the details of the discrepancy on excel / word sheet in Documentum. For other errors example supplier name etc, the image is attached to an email with comments.combined in the below step37Ap AgentUsing workflow the invoice is sent to the AP agent who accounts for the invoice in BAAN, at this point it is not finalised, but it is ready for verification.Agent will park the document after the decision maker conditions are checked and incase of WHT SAP will automatically calculate based on the Vendor master data settings. Even incase of prepayments system will show the total payments made to Vendor.38Batch VerifierThe batch verifier extracts a report from the system using Crystal report on a frequent basis to check for new batches awaiting finalisation. The batch verifier verifies that the correct GL accounts have been used, the document date, amount accounted, correct supplier, VAT/exemption.No batch cocept One piece flow and this stage the authorised person will post the parked document if found error free39Batch VerifierIf the batch is OK, the batch verifier will finalise the batch in BAAN and this will update the GL. If the batch is not ok, the batch verifier will take the non finalised transactions from crystal printout to the AP agent, the decision maker for the necessary action.not requiredAccounts Payable - Credit NotesTo be discussed with MM40Axis RemoteCredit notes are received by remote department. They are separated into credit notes for negative LPOs and others.41Axis RemoteCredit notes for negative LPOs The credit note is checked against a negative LPO in BAAN and sent to the scanning clerk for scanning.42Axis RemoteFor the other credit notes - The credit note is stamped and assigned the correct GL account. The credit notes are then given to the scanning clerk.43Scanning ClerkThe scanning clerk scans the credit note, stamps and assigns a scanning identification number.44Indexing ClerkUsing workflow the indexing agent fills the properties in documentum namely, the captiva batch number, the supplier name, the credit note number, the dates and company code.45Ap AgentUsing workflow, the decision maker accesses the credit note, print and attaches it to the relevant invoice with status required a credit note and forwards it to the AP Agent. For credit notes with LPOs, the decision maker accesses the credit note, print and attaches it to the relevant invoice, LPO, and negative LPO. These documents are forwarded to the AP Agent.46Ap AgentThe AP agent will capture the credit note in BAAN, ready for verification.47Batch VerifierThe batch verifier extracts a report from crystal on a frequent basis to check for new batches awaiting approval. The batch verifier prints out the new batch report and checks: The credit notes with LPOs have been approved in Baan, in which case an API (Approval) document should be generated for the matched invoice. Checks for dates, document number, currency, VAT code/exemption, ETR receipt, supplier name. For other credit notes the batch verifier verifies that the correct GL accounts have been used, the document date, amount accounted, correct supplier.48Batche VerifierIf the batch is OK, the batch verifier finalises the batch in BAAN and this will update the GL.49Batch VerifierIf the batch is not ok, the batch verifier will take the non finalised transactions from crystal printout to the AP agent, the decision maker for the necessary action.Accounts Payable - Supplier Payments50Payment Processing AgentThe payment processing agent goes through a Crystal report to check the supplier outstanding balances. Using BAAN the agent selects those invoices that are due for payment processing.In SAP Automatic payment (proposal) shall be generated based on set parameters and gives a choice on what needs to be paid. This can be directly done by the Decision maker for payments.51Payment Processing AgentThe payment processing agent in charge processes payment and prepares the payment reference from BAAN which debits anticipated payments and credits cheques in transit account.not required52Payment Processing AgentThe payment processing agent will download the payment in batch form from Crystal reporting into Word (for payment reference) and Excel (for EFT use)not required53Payment Processing AgentThe payment processing agent exports the excel and word documents to documentum and forwards the workflow to treasurynot required54Payment Processing AgentThe payment processing agent prints and signs the payment reference and gives it to the filing clerknot required55Filing ClerkThe filing clerk uses the payment reference to retrieve the batch number from documentum, writes the batch number on the payment reference after which he will attach the original invoices. The filing clerk forwards the respective original invoice together with the full set of documents attached with ANP (Anticipated Payment Advice) to treasury clerk.not required56Treasury ClerkThe treasury clerk will stamp all invoices as paid and signs and writes down the date.not requiredAP - Advance Payments57Payment Processing AgentProforma invoices, IDF and LPOs are used for most of the advance paymentsSAP recommends advance payments has to be only made against LPO.58Payment Processing AgentThe request for making an advanced payment is received by the payment processing agent from the purchasing department.same as AS IS59Payment Processing AgentAn unallocated payment reference is generated. This is created without an invoice.The control document is LPO for the payment reference60Payment Processing AgentThe LPO/IDF is written on the ANP as a reference.not required61Payment Processing AgentOn receiving the invoice it is captured onto the suppliers account. The payment is also allocated to the supplier account.Invoice posting is as mentioned in AP Invoice booking with LPO processAccounts Receivable - Sundry Invoices62AR AgentAn approval to process a sundry invoice is received by AR from CFO, TL IMM, TL, AXIS, purchasing, the approval will include the debtor and the GL accounts. This is done manually via mail.Same AS IS and SAP recommends raising of Credit Memos.63AR AgentAn invoice is captured in BAAN by the AR agent,Agent will book and park the Credit Memo64AR AgentThe invoice is printed and signed by the AR agentAuthorised person will have to post the document after verification and then only can print the Memo for CFO approval65Axis AccountantThe invoice is then checked by the AXIS accountant and signed and sent to the CFO for approval.not required66CFOThe CFO approves the sundry invoice.same AS IS67AR AgentOnce it is authorised by the CFO, it is sent to the AR agent to send to the customer.same AS ISAccounts Receivable - Credit NotesRequire Internal discussion68Front Office ClerkFinance Credit notes are raised at the end of the month for turnover discountsIt will be covered in SD provided FI will create Accrual account in which TOD will be automatically posted based on the SD Invocing depending on set parameters.69Front Office ClerkA report (end month turnover report) is sent to the AR agent by the sales team leader. This report is per customer and is split by product and includes percentages. The report indicates what discount needs to be given to the customer.not required70AR AgentOnce the report is received, the AR agent will create a batch in BAAN, entering discount amounts by product. After the batch is prepared, the AR agent will save and close, upon which a transaction number will be generated, which is the credit note number. This is written down on the End month turnover report form. The AR agent will go to the reprinting session after clicking that session it will prompt for the transaction type (which is SCN) and credit note number. The agent will enter the credit note number after which the SCN Sales credit note (hard copy) will be printed automatically.not required71AR AgentThe credit note is signed by the AR agent given to the accountantCredit Memo needs to be created by SD for crediting the customer end of month and debiting Accrual account after verification72Axis AccountantThe accountant countersigns the credit note and forwards it to the sales team lead.not required73SD TLOnce it is approved by the sales team leader, it is sent to the customer.not requiredAccounts Receivable - Receipt Allocation74Treasury ClerkThe AR agent receives the printed bank statements from Treasury on daily basis.same AS IS75AR AgentThe AR agent will analyse the bank statement to determine which customers have paid into BIDCO bank accounts.In SAP you post the receipts into Customer account by selecting Open Item or account as down payment76AR agentAn entry is captured in BAAN to credit the customer with the payment and debit bank.not required77AR agentThereafter the payment is allocated to invoices within the customer account.not requiredCash Management - Supplier PaymentsSame procedure as mentioned under Acccounts payable - Supplier Payments78Treasury Team LeadThe treasury team lead receives the following documents from Accounts Payable. Payment reference. The invoices (stamped paid). Via workflow the ANP from BAAN, excel and word documents prepared by the Accounts Payable agent.79Treasury Team LeadThe treasury team lead checks the amounts on the invoices against the amounts on the ANP, the ETR signature on the invoices and dates. In cases of EFT payments the treasury assistant checks the banking details. If there are no discrepancies, the treasury team lead forwards the payment reference and excel file to the treasury assistant. If there is a discrepancy the payment is held back.80Treasury AssistantThe treasury assistant uploads the excel file into Citidirect, prints the Citidirect payment transaction form,81Treasury AssistantThe assistant signs the form and enters the date, attaches all the documents (ANP and original invoices) and forwards to the treasury team lead. For cheque payments, the treasury assistant writes out the cheques.82Treasury Team LeadTeam leader treasury signs the Citidirect payment reference form and signs the cheque payments. All the documents are forwarded to the CFO.83Treasury Team LeadThe team lead approves the EFT payments online in Citidirect.84CFOThe CFO signs the Citidirect payment reference forms and signs all cheques. Once the payments EFT/Cheques are authorised, they are sent to the Treasury assistant for release of payment.85CFOThe CFO then approves all EFT payments online in Citidirect.86Treasury AssistantThe treasury assistant will release the payments in Citidirect and mail a remittance advice to the supplier.87Treasury AssistantThe cheques are given to the messenger to despatch.Cash Management - Incoming Cheque88CashierAll Cheques are received by the cash office as a central point. The cheques are sent to AXIS for scanning.Scope of Improvement - Casheir on receipt of cheques should post online in SAP for real time information.89Scanning ClerkThe cheques are scanned by the scanning clerknot required90Indexing ClerkThe scanned cheques are then sent to the indexing clerk to assign the customer name and cheque number.not required91AR AgentUsing workflow the scanned cheques are forwarded to the AR agent to capture in BAAN which will credit the customer and debit bank. Once all the cheques are accounted for in BAAN, the original cheques are sent to cash office.not required92CashierThe cash office checks against crystal reports that all cheques are accounted for properly in the respective Banks. The cash office fills the deposit slips and sends the cheques to the treasury assistant for checking.not required93Treasury AssistantThe treasury assistant checks the cheques for accuracy i.e. customer, dates, and signature. The treasury assistant then sends the cheques back to cash office for banking.Report required for daily cheque deposti slips94Cash OfficeOnce banking is complete, the cash office brings the banking slips to the treasury assistant.not required95Treasury AssistantThe treasury assistant sends the banking slips to the AR agent who puts the transaction number when finalising the days cheque payment batch.not required96AR AgentThe AR agent then gives the banking slips together with the schedule to bank reconciliation agent.Stamped copy from bank for recon and filingCash Management - Cash Receipts97CashierThe cash office receives cash from customers. A receipt is issued to the customerCashier will post online and give receipt from SAP.98CashierAn entry is captured in BAAN by the cash office which credits customer and debits cash collection account.not required99CashierThe cash is then sent to the banksame AS ISCash Management - Bank Statement (Outgoing Payments)This will be taken care in BRS100Treasury AssistantThe bank reconciliation agent receives a printed bank statement from Treasury.100Bank Recon ClerkThe agent checks all the payments (EFT/Cheques) that have been made against checked against a crystal report that consists of all the payments that have been processed in BAAN.100Bank Recon ClerkIf the bank statement entries and the ANP match, the bank reconciliation agent will process the entry in BAAN, credit bank and debit cheques in transit. If the bank statement entries do not match the ANP, details are retrieved from treasury and sent to the payment processing agent to generate an ANP. In certain instances, where there is no invoice, a credit is posted to bank and a debit directly to the supplier account. Once an invoice is received, the supplier is credited and the expense account is debited.Cash Management - Bank Statement (Incoming Payments)This will be taken care in BRS101This process is covered under AR Receipt Allocation102Bank Charges Covered under GLCash Management - Petty Cash103CashierPetty cash vouchers are received by the cashier.same AS IS104CashierPetty cash payments are made by the cashier on daily basis. After the petty cash payment is done, the cashier will record the payments in the petty cash book. Petty cash vouchers together with the supporting documents and the petty cash book are sent to treasury for approval.Based on the approval the cashier shall post the document and make payment only thereafter. (Petty cash book can be eliminated)For future reference we can scan the document and attach o the Transaction105Treasury AssistantTreasury checks petty cash vouchers against the supporting documents and verifies that the entries made in the petty cash book are correct. Once the correctness is confirmed, treasury will approve the petty cash voucher.not required106Scanning ClerkThe petty cash book with the vouchers is sent to the scanning department. Scanning clerk will receive all the vouchers and sign on the petty cash book to confirm receipt. Scanning clerk scans the petty cash voucher, puts captiva number, scanned stamp on the voucher and then forwards the file for indexing.not required107Indexing ClerkIndexing clerk checks the scanned file, puts a voucher number and name on the file. The clerk then forwards the file to the accounting agent.not required108Accounting AgentThe accounting agent receives scanned voucher file on WebTop, detects and corrects any wrong ledger accounts on the vouchers before accounting. After accounting the petty cash vouchers, batch and transaction number is updated on I properties in WebTop. Finalization of the batch is done after accounting all the work flows.not requiredCash Management - Foreign Exchange109Treasury AssistantThe exchange rates (US$, Euro, Great Britain pound, ZAR, Tanzania Shilling, Uganda Shilling, INR, DKK) are downloaded from the CBK (Central Bank of Kenya) website on a daily basis after (11am) and are then available for posting into BAAN.Update the Exchange rate in Exchange rate table110Treasury AssistantThe currency update module is opened and that days currency rates are updated onto the system as follows: For Purchase integration (PUR) and inter unit transfer (INT), the spot selling rate is posted. For sales (SLS) the spot buying rate is posted.Month end process in SAP you are required to run for AP, AR & GL separately for revaluation111Treasury AssistantAfter updating the currencies, a write-off is done which means that the exchange rate gain / loss entry is passed automatically in the system and the debtors / creditors account updated to reflect the current rate.SAP will also post the entires automaticallyFixed Assets112A fixed asset register does not exist, all transactions are manually processed in GLFixed Asset register will be created and maintained in SAPFixed Assets - Depreciation113This process is covered under GLChart of deprciation is created in SAP which will automatcially post depreciation based on set parametersFixed Assets - Depreciation114CFO/DirectorA decision is taken by the CFO/director to dispose an asset. This is forwarded to the AXIS accountant.same AS IS115Axis AccountantThe accountant then calculates the accumulated depreciation, net book value and determines the selling price.In SAP Fixed asset module will take care of this functionality116Axis AccountantA sundry invoice is posted to debit customer and credit other income.Can be finalized at realisation phaseCosting117ProductionProduct costings are currently prepared on Excel files by the production department.In SAP Controlling module will take care of product costingBudgeting118CFOBudgets are prepared manually in excel. Budgets are done for P& L accounts & Cash flow.In SAP Budgetry Control System (BCS) will take care of BudgetingReports119Profit & loss AccountStandard report in SAP120Balance SheetStandard report in SAP121Cash Flow statementStandard report in SAP122Tax computationsame AS IS123Ledger AnaysisStandard report in SAP124GRAI ReportStandard report in SAP125Finished goods sales126Trial BalanceStandard report in SAP127Supplier statementStandard report in SAP128Customer statementStandard report in SAP129Purchase Receipts130Mass flow report131Receipt by packing slipStandard report in SAP132Receipt by LPOStandard report in SAP133GRAI ALL ITEMS134Trial Balance Dimension wiseStandard report in SAP135Finalised Ledger & Non finalStandard report in SAP136Cheques in transitStandard report in SAP137Currency ratesStandard report in SAP138Counting sheetStandard report in SAP139Stock crystal on a dateStandard report in SAP140Vat summaryRequire customization141Vat transactionStandard report in SAP142Document HistoryStandard report in SAP143Sales in mtStandard report in SAP144Receipt by packing slipStandard report in SAP149JOURNAL REPORT FULL DETAILS EXCEPTIONStandard report in SAP150Non-finalized Batches Baan LOC-ThikaStandard report in SAP151BatchesNo Batches152Return Debit to TransporterStandard report in SAP153Out bound deliveriesStandard report in SAP154check report-sun-tra captiva trackerThrough DMS155check report-dbn credit captiva tracker-credit note numberThrough DMS156Banking Report-Thika&Nkr Std.Standard report in SAP157Postdated Cheque List.Standard report in SAP158Unallocated Reciepts-LocalStandard report in SAP159Outstanding amountsStandard report in SAP160Monthly Supplier Invoices-end Month PaymentStandard report in SAP161Credit Note follow-up for Negative OrdersStandard report in SAP162Transporter by S Order No.Standard report in SAP163WH Wise Inventory Adj.No WH concept

CO ProcessesBIDCO AS IS - TO BE CONTROLLING PROCESSESSr No.HandlerAs IsTo BeGapOrganisation Structure1The highest hirearchy in controlling is Operating concern, for BIDCO 9000 will be created as an Operating concern2Under operating concern BIDCO will have 3 controlling Areas:1) 1000 is Kenya2) 2000 is Tanzania3) 3000 is Uganda3Under controlling area Kenya BIDCO will have 3 main cost center group:1) Thika cost center group - 110000002) Nakuru cost center group - 110010003) Zambia cost center group - 11002000Cost Elements4In standard SAP cost element are used to carry the cost from all modules to controlling5They are classified into 2 Primary and Secondary cost elements.1) Primary cost element is used for expenses and revenues to capture into controlling.2) Secondary cost element is going to be used for manipulating controlling data (OH cost, Activity cost, settlement of Internal orders, etc.)6Cost element groups will be created on a company code level. It can be further broken down if required.7Secondary cost elements is created for: 1) Activity type - to capture activity cost per production orders2) OH - to capture overhead costs3) Internal orders - settlement of costs to cost centersIn future if required secondary cost element groups can be createdCost Centers8It is a lowest level unit to collect cost.9BIDCO Main cost center groups are classified below:1) Thika cost center group - 110000002) Nakuru cost center group - 110010003) Zambia cost center group - 1100200010The following are sub cost center groups which have been defined:1) Manufacturing - 11001002) Administration - 11002003) Sales & Distribution - 11003004) Nakuru - 110010005) Zambia - 1100200011Examples of Cost centers under Sub cost center groups:1) Manufacturing - Refinery 1 , Refinery 2, etc.2) Administration - Axis, ICT, etc.3) Sales & Distribution - CCPR, S&D4) Nakuru - Manufacturing, Engineering, Admin, etc.5) Zambia - S&DInternal Order12Internal order is used to capture specific cost for short term and long term for eg. Marketing costs, projects, etc.13Internal orders are classified into two:1) Real Internal order - Is to capture the cost and later on we have to settle into respective cost centers for eg. projects, etc.2) Statistical Internal order - is used for information purpose eg. R&D, Marketing, promotional etc.Internal orders can be created as an when required.Profit Center14It is the lowest unit to measure the efficiency of profitability for an individual unit15For BIDCO two profit centers will be created based on locations:1) Thika - 11002) Nakuru - 1200Product Costing16In SAP Cost sheet will be created which will capture RM cost, Chemical Cost, Semi finished goods cost, Activity cost, Packaging Material, consumables.17Every month BIDCO decided to go for Standard cost estimate, after costing run we need to Mark & Release the estimate for the FG and Semi finished goods. Monthly run was decided due to volatile pricing of RM.18Actual cost capturing for product costing is through BOM (qty is taken from standards and values are taken from Material master)19Activity cost are captured through work centers for the production orders20OH costs captured through secondary cost element.21Following activities have to be taken care every month end:1) Calculation of OH2) Calculation of WIP3) Calculation of variance4) Settlement of Production ordersCO-PA (Profitability Analysis)22It is a 3 dimensional report to analyse the contribution. Eg. product wise, product-customer combination, product-customer-region combination, etc.23In COPA there are 2 components:1) Characteristics - define segment for analysis for eg.- Customer- Product- Region- Country- Sales Rep2) Value fields - values to be captured for eg. - Sales qty- Revenue- Dicounts- Production variance24Flow of actual values to COPA:1) Sales qty, revenue and discount flows from SD through pricing conditions2) Production variances flows from PP3) Data flow from FI by direct posting4) Through assessment cycle costs can be trafered from the cost centersMonth End activities25Distribution of costs from service costs centers to production cost centers26Settlement of Real internal orders27Product costing:1) Calculation of OH2) Calculation of WIP3) Calculation of variance4) Settlement of Production orders28Analysis of controlling reports29Close the costing period

ReportsReport NameBrief Description of the Report ContentAvailabilityRemarksFrequencyIndicate PriorityExcel or Crystal ReportingProfit & loss AccountProfit & lossStandardAviw/o ratiosHighExcelBalance SheetBalance SheetStandardAviw/o ratiosHighExcelCash Flow statementCash flow movementDevelopmentAviHighExcelTax computationTax computationTo discussAviOnce in a yearHighExcelLedger AnaysisLedger A/c,trans,date,narration,amount,dimensionstandardAviHighCrystalGRAI ReportGoods Received Awaiting InvoiceStandardVinodhHighCrystalFinished goods salesF.g sales invoice wisestandardAshokHighCrystalFinished goods salesF.g sales SKU wisestandardAshokHighCrystalTrial BalanceSummary of all the ledger balances at end of periodstandardAviHighCrystalSupplier statementCustomer Name,date,cummulativestandardAshokHighCrystalCustomer statementCustomer Name,date,cummulativeDevelopmentAshokHighCrystalPurchase ReceiptsPurchase date, Supplier Name,Units,price & AmountstandardAviNeededCrystalMass flow reportproduction process flow from oping raw material,puchases,WIP. to f.goodsDevelopmentVinodhNeededCrystalReceipt by packing slipReceipt no.,LPO no.,Item code,description,Supplier Name,Units,price & AmountStandardVinodhHighCrystalReceipt by LPOReceipt no.,LPO no.,Item code,description,Supplier Name,Units,price & AmountStandardVinodhHighCrystalGRAI ALL ITEMSLPO,Item code,description,Supplier Name,Units,price & AmountStandardVinodhHighCrystalTrial Balance Dimension wiseTRIAL BALANCE (LEDGER ACCOUNT/DIMENSION)standardAviHighBaanFinalised Ledger & Non finalFINALIZED/NON-FIN.TRANSACTIONS (BY DIMENSION/LEDGER ACCOUNT)Park document list report - stdAviHighBaancheques in transitDocument, Date,supplier code&name,currency,amount.standardAviHighCrystalcurrency ratescurr rates posted in baan,date,curr type,base,type,rate,standardAviHighCrystalcounting sheetlocation,item code,item description,qty,unit.standardAviHighCrystalstock crystal on a datelocation,item code,item description,qty,unit,unit cost.standardAviHighCrystalVat summaryTransaction type,Total basic amount, Vat amount,Basic vat amount 0%,EXEMPTdevelopmentAviHighCrystalVat transactionDate,Transaction number,output,inputdevelopmentAviHighCrystalDocument HistoryBpcode,name,document,description,currency,amount,amount in hcstandardAviHighCrystalsales in mtdescription of commodity,unit of measurement,production,value per unitdevelopmentAshok/vinodHighCrystalReceipt by packing slipReceipt no.,LPO no.,Item code,description,Supplier Name,Units,price & AmountstandardVinodHighCrystalReceipt by LPOReceipt no.,LPO no.,Item code,description,Supplier Name,Units,price & AmountstandardVinodHighCrystalGRAI ALL ITEMSLPO,Item code,description,Supplier Name,Units,price & AmountstandardHighCrystalNon-finalized Batches-full journal reportN/AVinodHighCrystalNon-finalized Batches-SUN,TRA and DBNN/aVinodHighCrystalJOURNAL REPORT FULL DETAILS EXCEPTIONstandardAviHighCrystalNon-finalized Batches Baan LOC-ThikaN/AVinodHighCrystalBatchesBatchno,batchstatus,btch yr,batchprd,runno,userref,batchdescptn/aVinodHighCrystalReturn Debit to TransporterDate,Document No.,Customer,Item,Line,Qnty,Unit,Trpter,Price,AmountTo discussVinodHighCrystalOut bound deliveriesVehicle No. & , Date & Time,Order No.,Customer Name & Delivery address, No Of Delivery,Town,Weight,Cost per Kg,Trn.coststandardHighCrystalcheck report-sun-tra captiva trackerobject_name,Invoice Number,captiva_batch,Date,r_object_typeN/AHighCrystalcheck report-dbn credit captiva tracker-credit note numberobject_name,C/note Number,Invoice category,captiva_batch,Date,r_object_typeN/AHighCrystalBanking Report-Thika&Nkr Std.S/Nos,date,customer name chq no. amount,bank code etcstandardHighCrystalPostdated Cheque List.S/Nos,date,customer name chq no. amount,bank code etcStandardAviHighCrystalUnallocated Reciepts-LocalS/Nos,date,customer name chq no. amount.N/AAviHighCrystalOutstanding amountsDate,customer name,30days,60days 90days&120daysstandardAviHighCrystalMonthly Supplier Invoices-end Month PaymentDate, Supplier Invoice, Basic amt, Vat Amt, Total Inv. Amt, Doc. No.standardVinodHighCrystalCredit Note follow-up for Negative OrdersOrder No., Date, Supplier, Amount, Credit note Rcvd and accted, Diff.N/AAshokImportantCrystalTransporter by S Order No.Del. No., Transporter, Order No., Customer Name and Address, Town, WghtAshokneededCrystalWH Wise Inventory Adj.Item, Descrptn, Openin Stock, Adjstmnt, Clossin Stock, Adjustment CoststandardVinodneededCrystal

Points to DiscussSR NOPOINTS TO DISCUSS/ACTIONWHO1VAT ledgers not to be set as open itemsAV2FI & JV to be parked by agent and posting to be doen by authorised personINTERNAL3Salary upload discussion on how to map memorysoft to SAPICT4Accrual GL for TOD inorder to capture real timeSAILESH5EPD (Early Payment Dicount) to discuss AS IS and how to map it in SAPINTERNAL6Treatment of INV-PO qty/val diff in FI - Credit NotesINTERNAL7Payment Terms need to be revisited both for Vendors/Customers by Business ownersINTERNAL8Payment advice to be sent to suppliers automatically.AVRequires development9Daily cheque deposit report from SAPAVRequires development10Customer statements automated sendingAVRequires development11To discuss whether Vehicle should be considered as Internal order or PMINTERNAL12Discussion on Inward and Outward Freight handling.INTERNAL/AV