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Oracle EBS General Ledger tutorial

Oracle EBS General Ledger tutorial

pOracle EBS General Ledger tutorialp phello everyone welcome to my article tutorial on Oracle ebusiness suite today we are going to look at one of the Oracle modules which is vertical general ledger or in short Oracle GL and in this tutorial we are going to look at some of the concepts and setups which is which is common in jail model let us look at the concepts that are going to go through today pretty much very much pretty much very standard and basic concepts like ecosystem integration the common concept of foresee and finally the ledgers will be discussed into this session now in ecosystem what we can see is how oracle GL module is connected with the other Oracle modules as well as external systems so you can see here that all the work of modules like Oracle manufacturing projects HRMS financials as well as some external systems a payroll can be integrated into our cultural module and GL can finally produce the financial reports or it can send the same information to some other business analytics or reporting systems so this is how the ecosystem works in terms of what are called GL module now look at the subledger integration process of GL we will see that the sub legend modules like what are called ap or accounts receivable err module will create some transactions and accountings once the accounting is created in sub Ledgers those accounting information will be transferred to GL to the GL interface now at this stage we can scan a sort of leaving those information in the interface level and we can correct information if required and then we can import those information as journal in Oracle queue model and all the channels are created both journals are created in GL you can post those channels in and on the posting is completed that that sort of gives us the balance of the the GL accounts or of the nature of your company try and balance those things so until around is the posting is happening the information is not persistent in Oracle GL model we can look it we can do it this way so this is pretty much how the subledger module send information into our GL module then lastly lets have a look at a new concept in Oracle R 12 which is the 4c now you can see that the 4c necessarily means currency calendar convention and chart of a counter now when you come when I say currency we are basically referring to the capability of using multiple currencies like No Mas trillion dollar US dollar those currencies and we can nominate some of these currencies as functional currencies we can nominate some of these currencies as reporting currencies and sometimes you know you will have separate currency like tie bath or something else as your transition currency so all these currency definitions and convention conversions between currencies is possible India when it comes to calendar we are basically referring to the fiscal calendar which which is used for your financial reporting so it can it can be similar or or separate or different from the from the calendar year for example if you for example you can have a fiscal year starting in July and ending in June in one country whereas in another country well have a fiscal calendar starting in January and finishing in December so in Oracle here you will be able to define all these calendars and control thus calendars the convention is in concept in r12 compared to 11 I module 11 I version which which necessarily means is that you can you can define your accounting conventions and and sort of present your transaction in in different in different ways in different ways in your in your chart of accounts or in your financial reports so one particular transaction in Oracle ap can create multiple version of you know accounting based on the requirement so if in your country if you have a requirement of representing the accounting in one particular way it can do that and it can also create a second representation of the same transactions for your you know coop of companies reporting or something like that so this is this is also sort of introduced in our 12 in a very strong strong manner and then the last see that I would like to talk about is the chart of around which is the heart of your accounting definitions here we will define all the accounting segments and all the all the details of how your accounting is going to be controlled captured and reported okay and the last thing in this concept part that would like to go through is the ledger which basically combines the forces so yeah in a ledger definition we will have currency we will have calendar chart of account and the accounting conventions if all of this information is required to be different we would have to define a separate ledger so yes thats where thats where also the concept comes off different types of Ledgers as you can see here is the primary ledger secondary ledger and reporting currency ledger so what means that what it means is that primarily that is basically or operation of ledger wire you would capture all your transactions and recordings secondary ledger is why you would capture a a separate or a secondary presentation of your accounting and the reporting currency ledger is why would capture a separate currency so as you can see even if one of the things my currency is different you would need a separate layer to be defined now in regards to that to this concept Oracle art has also introduced a new thing called intercepts why you can combine multiple layers into one one said and you can spar from certain transactions like closing the period hand you know creating journals across the ledgers from a from a single point of entry and this concept can be very much useful or fruitful for for a set of a shared service centers are operating they can and they can one person from shared services can close peers multiple companies using this concept and last thing to mention here is that this is this ledger concept is basically similar to set of books but it has replaced the set of books concept and introduced some new concepts to make it much more stronger and globalized with this with this introductory concepts would like to go to the next step of our tutorial which is the setups and this is where we would do some handson and systems systems transactions and system setups to get more familiarity around oracle GL module and well cover our accounting flexible definition there on the definition and Cs majors and then we lost our journal sources and general whatever is set up we will see how the setups are done and we will see what are the things that that is mandatory in these setups thank you very much for for this session and very soon really start the system on hand and Sondra now we are going to look into the basic setups of shell module in system and the first setup we are going to look into is the accounting flex well set up or your chart of accounts set up for this for this we are going to use the application developer responsibility and then the meaning of from under Flex field key segments this will take us to the Oracle form or you can look into the details of the chart of account definition or accounting flexible definition lets search for the flexible definition the name of this is accounting so Ill use the wild card Wildcat character to avoid any anything through sastra and then well press ctrl f11 this will give us the under edit define accounting flexible definitions lets have a look into this one which will be used for our training or tea to help our purpose and this is already defined and if you look at the segments of this flex field by clicking the segments button you will see that you will see all the all the different segments which will be used in this chart of account definition for example you can see business unit Service Corps Center account all this separate segments now each of these segments has a value cept assigned to it and the value set will have the values for this segments now you can you can look into the value set by clicking this bottom they have a set from here so if you click this button it will open the hello center and then it will tell us what this Fellowship definition is for as important it is it is going to contain characters the maximum size is 2 and the validation type is independent which means the values will be entered independently independently by by someone rather than getting it from Annie and it did have a stable surface things and if you if you want to see the details of this segment you can click the Open button it will tell us that this segment is required of course for an information of all the segments in accounting flex field is required its mandatory to enter enter this information and then we can look into the flexible qualifiers so you can see that for this particular segment a balancing segment qualifier has been enabled by clicking this checkbox here and what it means is that what are called GL will balance the channels based on this segment value so if if for example in one channel we have two balancing segments value then the journals debit and credit will have to be balanced for each of the balancing segment values so this is the this is how we control which is our balancing segment which is going to be our natural account segment so natural account segment means the actual accounts and which is going to be a cost center segment in a typical environment you will at least need to have a balancing segment balancing segment and in nature the consignment in your chart of your own definition as there as a minimum set up to be to be continuing your journaling and transactions so similarly if we go into the segment four which is known as cost center you can open it up and go to see what is the qualifier that has been used you can see that this segment has been defined as a cost center segment so this is how you can define your own on chart of account as per your business requirement now that we have seen how a chart of account definition is is constructed in oracle oracle GL are all quarry businesses we are going to create a new one for our training purpose I am still logged in into the system and using the responsibility application developer as you can see here and then Im navigating to the key flexible segments window and then I will search the flexible definition as before entering the name a fountain place filled with the with the wildcard character the wildcard is used just for avoiding any situations or any characters like its places of something better and to create a new definition I have to click the bottom row and then I can use my own name for this purpose Im going to use an M XXI straining flux field Im going to keep the same same name in the title field and then when I press the tab I will come to the description field and I will put my own description training account in Flex rate also I have done that I have to go and define my segments clicking the segment buttons and before that I can select the separator in the in the in the window that will be used for my chart of account string of account combination so all the segments that I am going to define will be separated by this separator that I can select here Im going to select a dash and Im also going to select often allow dynamic inserts which will let me on let the system to create the string of account or accounting combination on the fly as required when we will be doing the transactions so having said that lets go and create the segments that you need we have to start from one as a number and then lets put a name for our segment its a business when the prompt is business and colon is recommended to be starting from segment 1 and we can use the same have asset as we have already seen which is xxh cheer business yes and also you do that we can open the segment to complete the further details we can go to the flexible qualifiers you save it before so lets save it then ignored error message for now and then you can go and define the flex will qualifier so for the business segment were going to just use the balancing segment qualifier so take this button check box and then press the Save button close the window come back to the segment definition define the next segment as a cost center segment so same wonder prompt will reversed and then were going to use a segment to now Im typing it here but you can always click this small button here and select your segment column then similarly you can you can type in your Palace at name or you can you can always you know you will the system feature of our show on it is to help you we can open the segment definition and then yes we have to save the definition first and then we can define the flux field qualifier as cost center segment and Im pressing ctrl s or the save option or say safe shortcut then I predefined the next segment number three and we can define here natural account and then push the segment number three for this one and it was the same in value set as we have already seen so everything is similar now as we as we as we speak please note that this totally depends on your business requirement and how you want to define your chart of account I am just doing it to show you how it can be done in a system so that you are comfortable when you will be doing your own business requirements implementation now segment four I am keeping an option a sort of reserved segment for future because also you define your account in flex field or chart of account you cannot change it later on so its better to keep one or two more segments as they are the reserve segment so that you can expand your chart of account to meet some new business requirement Im going to the same palette which is which has nothing but zero dont accept this and for this I dont have to select any flex will qualify because it doesnt apply it is not applicant for any reserve signal so this way I can define my chart of account or accounting flexible definition which is sort of the heart of your accounting rules our accounting controls in oracle GL i can close this window i have to come back to the main window and then i have I must must check this checkbox freeze flexible definition and press the ok button then press the compile button and itll compile the flexible definition which would complete our our definition language and go and start using this segment going forward you can see that the place will was compiled successfully this is required if some error has happened you have to correct the error and until it is successful you have probably three steps so this completes our flexible definition lets look into the next topic which is the calendars now we are going to look into the setup of calendars in Oracle jail module for this purpose we have to switch our responsibility from application developer to Oracle general ledger super user module press the auto button and it will take us there lets go into setups financials and calendars is note that in each of the systems and double clicking and then within the calendars a couple of options it types accounting transactions types will tell us what are the types of calendar that we can define and we can create our own types their accounting calendars is what is relevant for our financial accounting modules or jail module primarily and transition current that is also something that can be that can be used for inventory and those those modules for our tutorial accounting calendar is relevant before that lets have a look on the types so we can list the existing types here and you can see that there are a couple of types like monthly month what are we here and we can define our own types if we need to but for this example we are not going to use our new types we can you can use an existing one so lets clear our entry by clicking the TR ever button were going to use the monthly calendar or monthly period type for our training purpose lets close this window go to the accounting accounting calendars before defining our own calendar lets have a look on an existing calendar to clarify our understanding faster in this definition you can interact calendar code you can enter a calendar description and then you have to enter the calendar periods so you can enter a prefix of the period by the FASTA characters in the month which is pretty much a standard and typically are commonly used and then the type of the type of the period your water number of the period within the year and then the date range and finally the name will be suggested by Oracle itself the adjusting checkbox that you can see here is used for notifying all use for just for I didnt define a period as an interesting period now lets try to create a calendar for one we can put on them as training calendar as you can see there is a character restriction so maybe you can shorten on line like this and then you can put a proper description training calendar and then you can start from January for example enter the via type as monthly solar suppose we are going to start from 2015 it will be on the fast water January and this is the first period of all of our calendar and then you can enter the date range as you can see here first of July 2015 31st of July 2015 and Oracle is adjusting the period name that you will be able to see him in Oracle GL and other models power the same way we can define the February month or the February period and it will be on the same quarter but the number of the pier will be different which is and then you can again define our date ranges so this way we can define our calendar and all the periods in the calendar and then we can save this calendar to be used in accounting or chart of account definition I will be defining this calendar and the in the backend so lets first do that I have computed the definition of our calendar so as you can see here I have defined all the peers January February March April till December and then I have also entered an adjusting period which is the last chapter of the year and I have enabled the check box adjusting here and this is the period number 13 so this way I can define my accounting calendar and now lets have a look into the currencies setup of our GL across this window and then lets go to the currencies so if you come from the setup your setup card says and then the define window here I can define all the currencies that I need for my business now before doing that lets first have a look what of the currencies thats already been defined in the system suppress the available button which will enable the search mode and then press ctrl f11 so as you can see almost all of the currencies are defined in in the system by oracle by default so I can know whether USD has been defined yes it is the AUD has been defined yes it is as you can see so in this way I can list or search for any currencies whether this has been defined or not so practically we dont have to define any currencies any new currencies enter unless we have a very specific requirement so lets close this window and lets go to the rates and see how we can define the Reds right to define the Reds lets go to the daily rates in daily rates window and here I can define the rates from one currency to another currency please note that this will be effective if you have some transactions in in one currency for example you have a transaction in in Norwegian kroner or thigh path and you want to convert this currency into into USD because your functional currency is USD you are a US company so here I can come and define my currency definitions to make it to make it easy to enter the waves I can enter by dre turns so let us click the enter by Tranes window yeah I can define that from aut to DST and I can put the date like January of 15 so 15 Im going to use a red type of corporate and then Im going to use a rate so for example point eight zero and by default system will will convert the cross currency debt from years T tau D similarly I can define a rate from a VD to so for for now lets consider this one red this is how we can define the reps and then you can press the apply button and then ok to close the window now to see the currency rates that has been defined or created by system we can put the form and and the debt for example first of January 2015 it will give us the red and if you want to see the currency rates for for all the dates between aut and USD I can leave the debt from Bank and press the ctrl f11 button and it will list me all the rates that that is defined as you can see we have entered by date range and system has defined separate rates for each of the dates ok so this is how we can define your daily rates and conversion rates between currencies as you have noticed that we could not define a rate between aut and British Pound or thigh path forever a system error this is because we have not enabled those currencies so lets go and enable those currencies you have to scroll down scroll the scroll to the right to click this check box to dare to enable those currencies so if you go into the red bound find the currency you can animal this currency similarly with an inner wall thai baht and if we do that then system will let us to define rates between these currencies lets do it for for completing this session so go to the Reds enter birthday trench so form AUD to tie us define a red for the whole month now your red will be different each day if you are if you are getting the red from the bank or if you have an integration online integration with the bank or any global rates provided like you mud but here for this training purpose we are just using an Tommy red you can say so lets use 32 and again system is put in the cross red and I can also define the red bead an Australian dollar and Great Britain brown now you can see that system is allowing us to define those stripes this is because you have enabled those currencies so Im pressing a shift v we just copy the value from the above row and then Sam here now on the red and one five just a sec up sample and then you press the apply button and in the backend system will create the rates for each of those states and each of those combination of form and to currency so this way I can define as many currency rates or as many conversion rates as as required for my businessp

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