1. Movex Version 12
Financial Integration

2. Movex V12 Financial Integration
Agenda
Background
Integration Requirements
New Function for Invoice Matching
Highlights of Version 12 Cost Accounting
Summary

3. Movex V12 Financial Applications
Supporting Finance at Three Levels
Movex V12 Financial Applications
Strategic Level - Management Accounting
Current
Assets
Tax
Management
Multi-Unit
Coordination
Risk
General
Ledger
Accounts
Receivable
Payable
Fixed
Time
Accounting
Budgeting
Cash Flow
Cost
Product
Costing
Business
Performance
Consolidation
Report
Generator
Process
Performance
Financial
Cockpit
Balanced
Scorecard
Activity-Based
Management
Environment
Control
Intellectual
Capital
Fin. Health
Check
Activity-
Based Budget
Tactical Level - Financial Controlling (FIC)
Financial component groups
Operational Level - Financial Management (FIM)

4. Movex V12 Financial Applications
Financial Integration
Movex
Financial
Integration
Financial integration
This presentation will show examples of “double entry”!

5. Movex V12 Financial Integration
Consolidated Requirements
AR/AP-related requirements
Invoice matching
Print copy invoices from inquiry
Taxes and general ledger
VAT
Sales tax
INTRASTAT
Fixed assets
Create via the purchasing flow
Cost accounting
Improve the connection between logistics/production and finance
Closed circle for MRO

6. Movex V12 Financial Applications
Accounting Rule Moved to Facility Level
Movex
Financial
Integration
Financial integration
Rule set in (MMS003)!

7. Movex V12 Financial Applications
Inventory Valuation or Inventory Reconciliation
Movex V12 Financial Applications
Movex
Financial
Integration
Financial integration
(CAS180) uses the acquisition price on each MITTRA record

8. Movex V12 Financial Integration
Why Has Intentia Redeveloped This Function?
Demand from the market
To meet changes in technology
To prove concept of an integrated solution
Reduce time spent on reconciliation
To give customers an efficient process
To increase flexibility in matching
To match invoices at receipt level
To enhance tolerance controls
New function for invoice matching

9. Movex V12 Financial Applications
Order Type Connected to Voucher Series
Movex
Financial
Integration
Financial integration
Rule set in (OIS010/FAM) function!

10. Movex V12 Financial Integration
Solution in Movex
Movex V12 Financial Integration
Total redesign of invoice matching
No files or programs have been saved from
Version 11.
Invoice matched against goods receipt
Instead of always matching invoice lines against the
purchase order line. In Version 12, a single goods receipt
transaction can be selected for matching.
Invoiced not received
If the goods have not been received, the invoice line is
entered as “Invoice not received.” The accounting for
this line is later reversed when the goods arrive.
Simplified purchasing
For non-inventory items, a new inventory accounting
method (type = 5) has been introduced. No accounting is
done at goods receipt, instead all accounting entries are
created at invoice matching.
New function for invoice matching
Creating accounting entries
In order to create accounting entries for a single invoice
line, the line must be approved. Invoice lines that cannot
be approved are booked to a clearing account.

11. Movex V12 Financial Integration
Solution in Movex
Movex V12 Financial Integration
Automatic invoice matching
Electronically received invoices, created in (APS050),
will be automatically matched to the goods receipt
transactions when the invoice updates AP,
option 9 in (APS050).
Creating fixed assets
If the GL account is defined as a fixed asset account, it is
now possible to create a fixed asset directly from the
invoice matching programs. Normally, the capital item
purchased will be set with inventory accounting method
“Simplified purchasing” in (MMS003).
Third-party charges
Where the purchase costing model contains external charges these can now be invoice matched to invoices from a third party.
New function for invoice matching
Price variance at goods receipt
In a standard cost environment, a price variance between PO price and the standard cost is recognized at goods receipt.

12. Movex V12 Financial Applications
Average Cost History
Movex
Financial
Integration
New rules for updates
MITAVP replaced by FCAAVP
Financial integration

13. New Function for Invoice Matching
New Files for Goods Receipt
FGRECL Goods Receipt - Line
FGRECL
One record per receiving number
FGRPCL
One record per receiving number and costing sequence number
FGRPCL Goods Receipt - Line Charges
Goods receipt
The data in these files can be displayed in the new program, (APS370) and (APS371).

14. New Function for Invoice Matching
Accounting Entries at Goods Receipt
Three different settings in (CAS900) are possible to determine when accounting entries and general ledger updates should be processed.
1. Two manual steps
Only goods receipt files are updated when user ends (PPS300). Accounting entries are created manually from (CAS950). Update of general ledger is done manually from (CAS950) or (CAS960)—this is as the solution in Version 11.
Goods receipt
2. One manual step
Accounting entries are immediately created when user ends (PPS300). Update of general ledger is done manually from (CAS950) or (CAS960).
3. Automatic accounting
A voucher is immediately created when user ends (PPS300).

15. Movex V12 Financial Applications
VAT Rate Determined by Country and Area/State
Movex
Financial
Integration
Financial integration
VAT code can be a divisional exception

16. New Function for Invoice Matching
Program Flow at Goods Receipt
Batch job (CAS951CL) always starts when user ends (PPS300) or (PPS330).
CAMNGCCI
Write to CINACC
CINACC
(CAS961)
Update FAM
General ledger
(PPS300)
Goods receipt
(CAS951CL)
Control program
CAMNGTT2
Manage 20-29
FGRECL
(CAS951)
Read MITTRA
FGRPCL
(PPS330)
Dlt goods receipt
General ledger
Goods receipt

17. Movex V12 Financial Applications
VAT Code at Item Warehouse Level
Movex
Financial
Integration
Financial integration
VAT code for buying and selling in (MMS002)!

18. New Function for Invoice Matching
Example Accounting Entries
Purchase order
Standard cost
010 Purchase base price
020 External, line charge
030 External, distributed charge
040 External, header charge
050 Internal, line charge
060 Internal, distributed charge
Total
90.00
3.50
12.00
121.00
PP Inventory
PP Received not invoiced - item
PP Received not invoiced - line charge
PP Internal line charge
PP Price variance
Goods receipt

19. Movex V12 Financial Applications
A Division Can Have Warehouses in Another Country
Movex V12 Financial Applications
Movex
Financial
Integration
Financial integration
VAT registration number on warehouse

20. New Function for Invoice Matching
Allowed Variances at Invoice Matching
The tolerances between purchase order and invoice are defined in the new program (APS900).
General price tolerances
Both an amount and a percentage variance can be defined. The amount variance is defined per piece in invoice currency, PO price U/M.
General quantity tolerances
Both a unit and a percentage variance can be defined. The unit variance is defined in the PO U/M.
User-defined keys
More specific tolerances can be defined in addition to the above general rules with up to three additional user-defined keys, as set in (CRS016).
Supplier number Item group
Order type Item number
Supplier group Item type
Product group Procurement group
Invoice matching

21. Example: Allowed Variances
FGRECL (Receipt line)
Data fields
Received quantity
10.00
Received cost
9.90
Received exch rate
Received cost amount
99.00
Invoiced quantity
Invoiced cost amount
Inv matching status
Inv matching date
Allocated by invoice no.
FGINLI (Invoice line)
Data fields
Invoice quantity
7.00
Invoice price
10.50
Invoice net amount
73.50
Additional cost
0.00
Status - quantity
Status - price
Status - acct entries
Quantity variance:
3 PCE/30%
Allowed quantity variance:
4 PCE/10%
Not approved
Price variance:
0.60 GBP/6.06%
Allowed price variance:
3.60 GBP/15%
Approved

22. Movex V12 Financial Applications
VAT Rules on Country Code
Movex
Financial
Integration
Settlement discount for BE; GB and SE
in (CRS045)
Financial integration

23. Movex V12 Financial Controlling
Product Costing and Cost Accounting
Distribution key on B components
Totals of element type in product costing
Changed database structure for order costing (introducing balance file, etc.)
Improved analysis of order costing on all levels (item, item group, work center, etc.)
Introduced alternative rate on operations
Allocation of sales and administrative costs
Option to create detailed account entries for WIP
Changed account for subcontracted items
New possibilities in acct. for customer order
Improved analyses of internal acct. entries
Introducing resource drivers in CA
Changes in average cost history
New printout for inventory reconciliation
Overview

24. Changes in Product Costing
Solution in Movex
Three cost distribution keys in (PCS010E)
The first key must be work center
Keys two and three can select fields from field group C, program (CRS109)
Values for each cost distribution key are entered in (PCS100B) and (PCS011G)
Distribution keys on B components

25. Changes in Product Costing
Why Has Intentia Developed This Function?
Improve the display functionality in a costing model
User-defined component totals for display purposes not included in subtotals
Both details and component totals in one costing model
New costing element type not included in subtotals or final total (PCS002)
Totals of element type in product costing

26. Changes in Order Costing Analyses
Why Has Intentia Developed This Function?
Changing the database structure was a prerequisite for the functional requirements in order costing analyses, which are:
Possibility to drill down from one order to single material components/operations
Possibility to follow up higher levels than order, for example product or item group
To be able to see the full cost; the product OH (E components) should also be saved in the order costing
Every new order costing of an order should be saved
Changed database structure for order costing

27. Changes in Order Costing Analyses
Solution in Movex
New file structure
The old file for order costing, CPOCAL, has been replaced with a totally new file structure containing a number of new files.
Three different types of values
Three different types of values are saved:
Actual value
Standard value
Scrapped value
Changed database structure for order costing

28. Changes in Order Costing Analyses
New File Structure
The order costing data is saved in 14 new files on four different levels
1. Accumulated per period and, for example, product
2. Per order
3. Per material component/operation
4. Per costing component and value type

29. Changes in Order Costing Analyses
Three Different Types of Values
All files prepared for the following value types:
Standard cost
(Std qty * Std rate)
Actual cost
(Act qty * Std rate)
Fixed
Variable
Post-actual cost
(Act qty * Act rate)
Scrap value
(Act cost * Scrap qty)
Changed database structure for order costing

30. Improved analysis of order costing
Changes in Order Costing Analyses
Solution in Movex
New programs to display order costing
Old program to display order costing (CAS304) has been replaced with a number of new programs.
Order costing sequence number
Every order costing belongs to an order costing sequence number. This makes it possible to analyze the order costing history.
Release MO for order costing
There are three different ways to release a MO for order costing:
Automatically when the status in set to 90
Automatically from batch job (CAS320)
Manually in (CAS310).
Improved analysis of order costing
Detail accounting entries for variances
The accounting entries for order costing variances can be created on a detail level. This means that the variances will be created per material component and operation number.
Split accounting entries for variances
The accounting entries for order costing variances can be split into costing components according to “this level” or “all levels.”

31. Changes in Order Costing
New Programs for Display of Order Costing
(CAS311)/(CAS312)
Total values per order number displayed according to product structure
Panel versions used to define what should be displayed in sub-file
Possible to select whether material/operation should be displayed with one line per order costing or accumulated to one line per material/operation
Several options to jump to related programs
Improved analysis of order costing
(CAS312)
Display Product Structure
(PCS300)
(CAS300)
(CAS313)
(CAS315)
(MMS070)

32. Changes in Order Costing
New Programs for Display of Order Costing
(CAS313)
Total values per material/operation displayed according to product costing model
Panel versions used to define what should be displayed in sub-file
Values displayed per order costing sequence number
Improved analysis of order costing
Possible to display according to “this level” or “all levels”
(CAS313)
Display Product Costing Model

33. Changes in Order Costing
Release MO for Order Costing
Order can be released for order costing in three different ways:
1. Automatically when the order is closed, that is, receives status 90, as defined for the manufacturing order type in (PMS120)
2. Automatically, in a batch job in (CAS320), provided that the order is closed
3. Manually in (CAS310) using option 9
Improved analysis of order costing
Indicates whether order is released for order costing

34. Various Changes in Cost Accounting
Why Has Intentia Developed This Function?
Rate used for operation reporting was always equal to the standard rate
Using an alternative rate different from the standard can be needed for the following reasons:
Someone other than planned is doing the operation
The operation is performed outside normal working time
Introduced alternative rate on operations

35. Various Changes in Cost Accounting
Solution in Movex
Various Changes in Cost Accounting
When reporting operations, in (PMS070) or (MOS070), it is possible to enter a costing type. This costing type is later used when the accounting entries for the debit to WIP “Actual cost” (PM20-920) are created.
Costing type displayed as default at operation reporting is defined in (PCS001) (parameter 15). Whether the costing type can be changed in (PMS070) or (MOS070) is controlled by the ‘Select parameter’ field in (PDS010/G).
Introduced alternative rate on operations
New parameter on work center also controls whether any cost accounting transactions should be created.

36. Allocation of Sales and Admin. Overhead
Example:
Customer Order Invoicing
OI20-971 £
OI20-951
OI20-981
£ 55.00
OI20-981
£ 11.00
OI20-980
£66.00

37. Various Changes in Cost Accounting
Solution in Movex
Subcontracted items are now included in the new files and programs for order costing
View 04 in (CAS310) is reserved for subcontracted items
Issue to subcontractor done under new accounting event PP40 (v11 MM10)
Receipt from subcontractor done under event PP10 (operations) and PP30 manufactured item
Order costing done under new event CA25 (v11 no order costing)
Old programs used for subcontracted items deleted: (PPS225), (PPS850) and PPS855)
Changed accounting for subcontracted items

38. Various Changes in Cost Accounting
Why Has Intentia Developed This Function?
Make it possible to create cost accounting transaction (accounting event OI20) for customer order lines with direct delivery (line type = 2)
Make it possible to control whether cost accounting transactions are to be created for customer order returns coming from (OIS390)
New possibilities in cost accounting for customer order

39. Various Changes in Cost Accounting
Solution in Movex
Various Changes in Cost Accounting
Possible to define per customer order line whether cost accounting transactions should be created (OIS101/G).
0 = No
1 = Yes
New possibilities in cost accounting for customer order
Default value taken from dispatch policy
(MWS010/F) parameter 200

40. Various Changes in Cost Accounting
Solution in Movex
Various Changes in Cost Accounting
Possible to use Open Related/Dsp invoices (option 11).
Improved analyses of internal account entries
For customer order invoices (event OI20) and service order invoices (event SO20), program (ARS200) is started
For purchase order invoices (event PP20), program (APS200) is started

41. Various Changes in Cost Accounting
Solution in Movex
Various Changes in Cost Accounting
Possible to use Open Related/Dsp lines (option 12).
Improved analyses of internal account entries
For purchase order lines (event PP10 and PP20), program (PPS220) is started
For customer order invoices (event OI20), program (OIS356) is started
For service order invoices (event OI20), program (SOS350) is started

42. Introducing Resource Driver
Why Has Intentia Developed This Function?
To start building the base for true activity-based costing
Long-term goal is to harmonize cost driver in product costing and cost variables in cost accounting
The resource driver will be the base when making allocations for internal charges—see application requirement (CAS013)
Also the base for enhanced functionality in cost center accounting area (CAS200)
Possibility to automatically calculate cost rates and, for example, transfer them to product costing
First step is to replace the cost variable with resource driver in cost accounting
Introduce resource driver in cost accounting

43. Introducing Resource Driver
What Is a Resource Driver?
The link between resources and activities.
Determines an activity’s unit cost
Activity
(Process supplier invoices)
15 * 0.10 = £1.50
Resource driver
(Labor hours)
Resource driver
(Square meters)
200 * 0.01 = £2.00
Introduce resource driver in cost accounting
£15/hour
0.10/hour
£200/square meter
0.01/square meter
Resource 1
(Labor)
Resource 2
(Floor space)

44. Introducing Resource Driver
How to Set the Rate?
Financial budget
Budget labor cost
= Budget rate
Budget labor hours
MRP
Introduce resource driver in cost accounting
General ledger
Actual labor cost
= Actual rate
Actual labor hours
Operation transactions

45. Changes in Inventory Reconciliation
Solution in Movex
Average cost prices can be changed as they are today or historically
Accounting entries can be created for both inventory and cost of sales
Sales statistics can also be corrected where the average price is adjusted historically
Changes in average cost history

46. Changes in Inventory Reconciliation
Solution in Movex
Two new programs for display of average cost, (CAS370) and (CAS371). New file FCAAVP.
The transaction type is displayed and all information about the transaction is saved
If the acquisition cost is changed, a proposal can be printed before recalculation
The original acquisition cost is always saved

47. Changes in Inventory Reconciliation
Solution in Movex
Two new report layouts:
Long item description
Report with totals only
Selection on “accounting control object”
More options to evaluate inventory balances by price type:
Inventory accounting method
Costing type, subtotal and date, substituting costing type
Sales price from item file
Sales price from price list
New printout for inventory reconciliation

48. Changes in Inventory Reconciliation
Solution in Movex

49. Movex V12 Financial Applications
For INTRASTAT Reporting
Movex
Financial
Integration
Financial integration
Customer VAT registration no. on delivery address

50. Movex V12 Financial Applications
Summary
The OPM group would like to thank all our colleagues in IRD who have assisted in the v12 developments that have increased the level of financial integration within Movex.
Financial integration

51. The End