Finance & Purchasing Overview1
Finance and Purchasing Finance and Purchasing
OverviewOverview
Finance & Purchasing Overview2
Finance & Finance & Purchasing Purchasing OverviewOverview
Finance & Finance & Purchasing Purchasing OverviewOverview
Materials Management ModuleMaterials Management ModuleMaterials Management ModuleMaterials Management Module
Getting HelpGetting HelpGetting HelpGetting Help
Finance & Controlling ModulesFinance & Controlling ModulesFinance & Controlling ModulesFinance & Controlling Modules
SAP OverviewSAP OverviewSAP OverviewSAP Overview
Tarrant County ImplementationTarrant County ImplementationTarrant County ImplementationTarrant County Implementation
COURSE OVERVIEWCOURSE OVERVIEW
Accessing Training MaterialsAccessing Training MaterialsAccessing Training MaterialsAccessing Training Materials
Finance & Purchasing Overview3
COURSE OBJECTIVESCOURSE OBJECTIVESThe Finance & Purchasing Overview course has two purposes:The Finance & Purchasing Overview course has two purposes:
Introduce SAP and the finance and purchasing modulesIntroduce SAP and the finance and purchasing modules Prepare you for role-specific training coursesPrepare you for role-specific training courses
Objectives of the course:Objectives of the course: Review SAP system and integrationReview SAP system and integration Understand Tarrant County implementationUnderstand Tarrant County implementation Become familiar with termsBecome familiar with terms Provide a high level understanding of:Provide a high level understanding of:
► General Ledger FunctionalityGeneral Ledger Functionality► Accounts Receivable FunctionalityAccounts Receivable Functionality► Accounts Payable FunctionalityAccounts Payable Functionality► Asset Accounting FunctionalityAsset Accounting Functionality► Controlling FunctionalityControlling Functionality► Grants Management FunctionalityGrants Management Functionality► Funds Management FunctionalityFunds Management Functionality► Materials Management FunctionalityMaterials Management Functionality
How to get HelpHow to get Help How to access training materialsHow to access training materials
Finance & Purchasing Overview4
Lesson 1: SAP OverviewLesson 1: SAP Overview
SAP stands for Systems, SAP stands for Systems, Applications, and ProductsApplications, and Products
The SAP system is a fully-The SAP system is a fully-integrated system where integrated system where activities in one area activities in one area generate activities in another generate activities in another areaarea
The system provides online, The system provides online, real-time information and real-time information and one place for input of dataone place for input of data
Finance & Purchasing Overview5
Modules in SAPModules in SAP SAP is made up of various functional SAP is made up of various functional
modules modules Each module covers a different business Each module covers a different business
functionfunction Tarrant County is using the following Tarrant County is using the following
modules:modules:
CO CO ControllingControllingFI FI Financial Financial Accounting Accounting HR HR Human Human Resources/PayrollResources/Payroll
MM MM Materials Materials ManagementManagement
GM GM Grants Grants ManagementManagement
FM FM Funds ManagementFunds Management
TC is also using ESS (Employee Self TC is also using ESS (Employee Self Service) for employees to enter time Service) for employees to enter time and maintain personal information. and maintain personal information.
Finance & Purchasing Overview6
FI ModuleFI ModuleOther Other
Financial Financial ModulesModules
HR/MaterialsHR/MaterialsManagement Management
ModulesModules
ACCOUNTSRECEIVABL
E
ACCOUNTS
PAYABLE
ASSETS FUNDS MANAGEMEN
T
CONTROLLING
GRANTSMANAGEMEN
T
How They Work TogetherHow They Work Together
PAYROLL
PURCHASING
INVENTORYMANAGEMEN
T
Finance & Purchasing Overview7
Integration in SAPIntegration in SAP
System IntegrationSystem Integration
►When a transaction is executed in any When a transaction is executed in any module,module,
SAP automatically updates data in all SAP automatically updates data in all application modules that are affectedapplication modules that are affected
►Benefits of IntegrationBenefits of Integration Enables simplified business processes, standard Enables simplified business processes, standard
data definition, and a common business languagedata definition, and a common business language Simplified business processes enhance productivity Simplified business processes enhance productivity
to allow focus on value-added activitiesto allow focus on value-added activities Data has to be entered only once and all related Data has to be entered only once and all related
information is updated automaticallyinformation is updated automatically Integration eliminates need for redundant analysis Integration eliminates need for redundant analysis
and reconciliationand reconciliation
Finance & Purchasing Overview8
Business Flow IntegrationBusiness Flow Integration
RequisitionerRequisitioner Procurement Procurement OfficerOfficer
Asset ManagerAsset Manager
$$$$$$$$$$
Budget OfficerBudget OfficerGL AccountantGL Accountant
VendorVendor
Accounts Accounts Payable OfficerPayable Officer
ReceiverReceiver
Finance & Purchasing Overview9
Invoice Verification AP
Direct PostingG/L
Customer Payments AR
Vendor Payments AP
DepreciationAA
Goods ReceiptMM
General
General
Ledger
Ledger
Goods IssueMM
Charges MM
ChargesAP
Vendor Invoices AP
Hitting the G/LHitting the G/L
Finance & Purchasing Overview10
DataData
SAP contains two types of informationSAP contains two types of information► Master DataMaster Data
A collection of information about an object or personA collection of information about an object or person It is referenced whenever that object or person is used in an It is referenced whenever that object or person is used in an
entry fieldentry field This data does not normally changeThis data does not normally change Examples are address and payment information for a vendor Examples are address and payment information for a vendor
or customeror customer
► Transactional DataTransactional Data Information associated with a specific business activityInformation associated with a specific business activity You enter this information in SAPYou enter this information in SAP Changes from day to dayChanges from day to day Examples are:Examples are:
– InvoicesInvoices– Purchase requisitionPurchase requisition
Finance & Purchasing Overview11
Master Data vs. Transactional Master Data vs. Transactional DataData
G/L AccountsG/L AccountsCustomer Master RecordsCustomer Master Records
Vendor Master RecordsVendor Master RecordsGrants Master RecordsGrants Master Records
Asset MastersAsset MastersMaterial Master RecordsMaterial Master Records
Journal EntriesJournal EntriesInvoicesInvoicesPaymentPayment
RequisitionsRequisitions
Master Records
Records that remainin the system for an extended period of time.
Transaction Records
Records a specific event
Finance & Purchasing Overview12
Examples of Master DataExamples of Master Data
Tarrant CountyPurchase Order
P.O. # 56789Date: July 2, 2004
Widgets (material #15005), box of 10
Qty $$
10 bx 10.00
Total 100.00
To: ABC Company, Vendor #1001 12345 Any street Any town, USA 54321
Vendor Master Data
Material Master Data
Finance & Purchasing Overview13
Examples of Transactional DataExamples of Transactional Data
Tarrant CountyPurchase Order
To: ABC Company, Vendor #1001 12345 Any street Any town, USA 54321
P.O. # 56789Date: July 2, 2004
Widgets (material #15005), box of 10
Qty $$
10 bx 10.00
Total 100.00
Cost Center 987
Transactional Data
Finance & Purchasing Overview14
Documents & Document TypesDocuments & Document Types A Document generally consists of a document header A Document generally consists of a document header
and line items. and line items. ► Document header – contains data that identifies a Document header – contains data that identifies a
document and applies to the entire document.document and applies to the entire document. DateDate Document typeDocument type Document numberDocument number
► Line items – generally includeLine items – generally include AmountAmount Account assignmentAccount assignment Additional details specific to the transactionAdditional details specific to the transaction
Document Types are located on the header portion of Document Types are located on the header portion of every documentevery document
► Distinguish between different business transactionsDistinguish between different business transactions► Control document number assignmentControl document number assignment► Help manage accounting documentsHelp manage accounting documents
Finance & Purchasing Overview15
Document No: SAxxxxxxDocument No: SAxxxxxxDate: 05/06/2004Date: 05/06/2004Company Code: TC01Company Code: TC01Currency: USDCurrency: USD
HeaderHeader
Line ItemsLine Items
The Accounting The Accounting DocumentDocument
Debits = CreditsDebits = Credits
Illustration
DocumentDocument
StructureStructure
Revenue A/C
Citibank
DR
DR
CR
CR
Bank 10000
Sale 10000
Finance & Purchasing Overview16
Illustration
Document
TypesA A document typedocument type is a key that is used is a key that is used to classify accounting documents to classify accounting documents and distinguish between business and distinguish between business transactions to be postedtransactions to be posted
Finance & Purchasing Overview17
Purchasing Document Purchasing Document TypesTypes
Master Data
Approval
PurchaseRequisition
RFQ
PurchaseOrder
Contract
Finance & Purchasing Overview18
Tarrant County Document TypesTarrant County Document Types
Document TypeDocument Type DescriptionDescriptionAAAA Asset postingAsset postingABAB Accounting documentAccounting documentDADA Customer documentCustomer documentDGDG Customer credit memoCustomer credit memoDRDR Customer invoiceCustomer invoiceDZDZ Customer paymentCustomer paymentKAKA Vendor documentVendor documentKGKG Vendor credit memoVendor credit memoKRKR Vendor invoiceVendor invoiceKZKZ Vendor paymentVendor paymentSASA G/L account documentG/L account documentSBSB G/L account postingG/L account postingWAWA Goods issueGoods issueWEWE Goods receiptGoods receipt
Finance & Purchasing Overview19
TermsTermsStandard SAP terms:Standard SAP terms: Application – computer programApplication – computer program
Client – unit in SAP system where data is input, changed, and managedClient – unit in SAP system where data is input, changed, and managed
Data – pieces of information; numbers or textData – pieces of information; numbers or text
ERP – Enterprise Resource Planning; designed to integrate and run all aspects of an ERP – Enterprise Resource Planning; designed to integrate and run all aspects of an organizationorganization
Information – data that has been collected Information – data that has been collected
Integrated – transactions that are completed in one module or process trigger transactions Integrated – transactions that are completed in one module or process trigger transactions in other modulesin other modules
Menu Path – sequence of menu selections that should be followed to get to a function or Menu Path – sequence of menu selections that should be followed to get to a function or screenscreen
Module – portion of SAP system that carries out a specific business functionModule – portion of SAP system that carries out a specific business function
Real-time – describes how data that has been entered into the system is available Real-time – describes how data that has been entered into the system is available immediately after the transaction has been saved. Everyone has access to the same immediately after the transaction has been saved. Everyone has access to the same data.data.
Session – instance of SAP; allows multi-tasking within systemSession – instance of SAP; allows multi-tasking within system
Transaction – screen or series of screens to create, display, or change dataTransaction – screen or series of screens to create, display, or change data
Transaction code – (t-code) unique identifier for each transaction that allows you to get to Transaction code – (t-code) unique identifier for each transaction that allows you to get to a transaction without going through the menua transaction without going through the menu
User role – assigned to each employee; set of activities used by the employeeUser role – assigned to each employee; set of activities used by the employee
Variants – a saved set of personal selection criteria which can be used for lists and reportsVariants – a saved set of personal selection criteria which can be used for lists and reports
Finance & Purchasing Overview20
Lesson 2: Tarrant County Lesson 2: Tarrant County ImplementationImplementation
Tarrant County is implementing the following modules in SAPTarrant County is implementing the following modules in SAP::
Human Resources (HR)Human Resources (HR) Takes care of payroll, time recording, applicant administration, and Takes care of payroll, time recording, applicant administration, and
organization data. Supports the planning and control of personnel organization data. Supports the planning and control of personnel activities.activities.
In use since October 2003In use since October 2003
Financial Accounting (FI)Financial Accounting (FI) Designed for automated management and reporting of Designed for automated management and reporting of
General Ledger (GL)General Ledger (GL) Accounts Receivable (AR)Accounts Receivable (AR) Accounts Payable (AP)Accounts Payable (AP) Asset Accounting (AA)Asset Accounting (AA)
External reporting, such as income statement and balance sheetExternal reporting, such as income statement and balance sheet
Controlling (CO)Controlling (CO) Represents cost and revenue flows throughout the organizationRepresents cost and revenue flows throughout the organization Aids in organizational decision makingAids in organizational decision making Supports internal reporting such as cost center reportsSupports internal reporting such as cost center reports
Finance & Purchasing Overview21
Tarrant County Implementation Tarrant County Implementation (cont’d)(cont’d)
Tarrant County is implementing the following modules in SAPTarrant County is implementing the following modules in SAP::
Materials Management (MM)Materials Management (MM) Supports the complete cycle of material flow, from the requisition Supports the complete cycle of material flow, from the requisition
to purchase to the warehousing and distributionto purchase to the warehousing and distribution
Grants Management (GM)Grants Management (GM) Manages the application, award, budget tracking, and closing of a Manages the application, award, budget tracking, and closing of a
grantgrant
Funds Management (FM)Funds Management (FM) Supports the management of budgetsSupports the management of budgets Budget can be adapted to changesBudget can be adapted to changes in conditions by entering in conditions by entering
releases, supplements, returns, and transfersreleases, supplements, returns, and transfers Tracks expenses to budgetTracks expenses to budget
Tarrant County is also using Employee Self-Service for employee entry Tarrant County is also using Employee Self-Service for employee entry and management of time, personal data, training & events, appraisals, and management of time, personal data, training & events, appraisals, and benefits enrollment.and benefits enrollment.
Finance & Purchasing Overview22
Tarrant County Finance & Purchasing Tarrant County Finance & Purchasing ModulesModules
Accounts Accounts PayablePayable
Asset Asset AccountingAccounting
General General LedgerLedger
AccountsAccountsReceivableReceivable
PurchasingPurchasing
InventoryInventory
MaterialsMaterialsManagemManagem
entent(MM)(MM)
ControllingControlling(CO)(CO)
FundsFundsManagemeManageme
ntnt(FM)(FM)
FinancialsFinancials(FI)(FI)
Grants Grants Management Management
(GM)(GM)
Finance & Purchasing Overview23
Organizational ElementsOrganizational Elements The following organizational elements and codes are used in The following organizational elements and codes are used in
Tarrant County:Tarrant County:
► Company Code – TC01Company Code – TC01 Organization unit where individual financial statements are createdOrganization unit where individual financial statements are created Self-contained Chart of AccountsSelf-contained Chart of Accounts
► Controlling Area – TC01Controlling Area – TC01 Self-contained organization unit where management of costs and revenues Self-contained organization unit where management of costs and revenues
is performedis performed
► Purchasing Organization – TC01Purchasing Organization – TC01 Organizational unit that procures materials or servicesOrganizational unit that procures materials or services
► Chart of Accounts – TC01Chart of Accounts – TC01 List of all General Ledger (GL) accounts usedList of all General Ledger (GL) accounts used
► PlantsPlants Organizational unit for Admin and StockroomsOrganizational unit for Admin and Stockrooms
– Tarrant County Admin (all non-stock purchases) – TC01Tarrant County Admin (all non-stock purchases) – TC01– Sheriff (Stockroom) – TC04Sheriff (Stockroom) – TC04– Justice Center (Stockroom) – TCJCJustice Center (Stockroom) – TCJC– Central Supply (Stockroom) - TCCSCentral Supply (Stockroom) - TCCS
Finance & Purchasing Overview24
Purchasing Organization – TC01Purchasing Organization – TC01
Chart of Accounts – TC01Chart of Accounts – TC01
Controlling Area – TC01Controlling Area – TC01
Company Code – Company Code – TC01TC01
FI/MM
MM
CO
FI • For all (AP, AR, GL, AA) For all (AP, AR, GL, AA) process settingsprocess settings
• For management reporting For management reporting module settingsmodule settings
• For all Purchasing settingsFor all Purchasing settings
•Basic entity in SAP for a legal Basic entity in SAP for a legal entityentity
Tarrant County Organization StructureTarrant County Organization Structure
Plant - TCCSPlant - TCCSPlant – TC04Plant – TC04
Plant - TCJCPlant - TCJCPlant – TC01Plant – TC01
MM • For all Logistics settingsFor all Logistics settings
Finance & Purchasing Overview25
Tarrant County ImplementationTarrant County Implementation
Tarrant County terms:Tarrant County terms:
GASB – Governmental Accounting Standards BoardGASB – Governmental Accounting Standards Board
Go-Live – date when SAP module is scheduled to run live in production Go-Live – date when SAP module is scheduled to run live in production systemsystem
► Phase I – 10/01/03Phase I – 10/01/03 HR/PayrollHR/Payroll► Phase II – 07/06/04Phase II – 07/06/04 Financial/PurchasingFinancial/Purchasing► Phase III – 04/01/05Phase III – 04/01/05 Budget PrepBudget Prep
Legacy System – existing County system that either interfaces with SAP or Legacy System – existing County system that either interfaces with SAP or provides data for start up of SAPprovides data for start up of SAP
Production System – live SAP system used for normal operationsProduction System – live SAP system used for normal operations
SME – subject matter expert; County employee who has experience or SME – subject matter expert; County employee who has experience or expertise in a specific functional areaexpertise in a specific functional area
TITAN – Titan Integrated Task Access Network; County implementation of TITAN – Titan Integrated Task Access Network; County implementation of SAP systemSAP system
Finance & Purchasing Overview26
Tarrant County ImplementationTarrant County Implementation
Why Change??Why Change??
Systems with duplicate dataSystems with duplicate data Have to use different systems to Have to use different systems to
enter and get informationenter and get information Have to wait for processing to Have to wait for processing to
get dataget data
What Does Business Change Involve?What Does Business Change Involve?
Changing the way we workChanging the way we work Changing our rolesChanging our roles Changing the ‘tool’Changing the ‘tool’
Finance & Purchasing Overview27
Tarrant County ImplementationTarrant County Implementation
How Will Change Affect Us?How Will Change Affect Us? Major changes such as Tarrant County is implementing will have an initial Major changes such as Tarrant County is implementing will have an initial
effect on peoples’ performanceeffect on peoples’ performance
Over time, the benefits achieved will far outweigh the initial impactsOver time, the benefits achieved will far outweigh the initial impacts
Time
MaximumBenefitsAchieved
ContinuousImprovement
Pro
du
ctiv
ity
Initial Change
Finance & Purchasing Overview28
Lesson 3: Finance & Controlling Lesson 3: Finance & Controlling Modules Modules
Finance & Purchasing Overview29
Manages vendor invoicesManages vendor invoices
Manages responsibility Manages responsibility accountingaccounting
Manages all financial Manages all financial accountsaccounts
Manages customer billingManages customer billing
Manages fixed assets and Manages fixed assets and depreciationdepreciation
Accounts Receivable
FIFI
Controlling
Accounts Payable
Asset Accounting
FIFI
COCO
FIFI
General Ledger
FIFI
What is FI and CO?What is FI and CO?Financial Accounting (FI) and Controlling (CO) are independent components in the Financial Accounting (FI) and Controlling (CO) are independent components in the SAP system. The two components are tightly integrated and the data flow SAP system. The two components are tightly integrated and the data flow between them takes place on a regular basis.between them takes place on a regular basis.
Finance & Purchasing Overview30
Internal
External
Journalists Media
EXTERNAL AGENCIES
Tarrant County Management
Insurers
Tax Authorities
Auditors
Managerial Reports
FIFinancial
Accounting
Tarrant CountyEmployees
Financial Statements
ExternalFinancial Analysts
Reporting OverviewReporting Overview
COControlling
Internal
Finance & Purchasing Overview31
Master
Records
General
Ledger
Accounts
Payable
Accounts
Receivable
Fixed
Assets
Periodic
Processing
Financial Accounting (FI)Financial Accounting (FI)
This is the key component structure of financial accounting
The FI module is designed for automated The FI module is designed for automated management and external reporting of general ledger, management and external reporting of general ledger, accounts receivable, accounts payable, asset accounts receivable, accounts payable, asset accounting, and other sub-ledger accounts within the accounting, and other sub-ledger accounts within the chart of accountschart of accounts
Finance & Purchasing Overview32
Financials (FI)Financials (FI)General Ledger (GL)General Ledger (GL)
Used for external Used for external reportingreporting
Document entryDocument entry
Account ManagementAccount Management
Used for external Used for external reportingreporting
Document entryDocument entry
Account ManagementAccount Management
ContainsContains
► General Ledger General Ledger AccountsAccounts
► Chart of accountsChart of accounts
General
General
Ledger
Ledger
Accounts Accounts PayablePayable
Asset Asset AccountingAccounting
General Ledger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
Finance & Purchasing Overview33
General Ledger (GL)General Ledger (GL)Roles & ResponsibilitiesRoles & Responsibilities
Accounts Accounts PayablePayable
Asset Asset AccountingAccounting
General Ledger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
DepartmentsDepartments
Display general ledger accounts, documents,Display general ledger accounts, documents, and line itemsand line items
AuditorAuditor
Maintain G/L accountsMaintain G/L accounts Approve and post documentsApprove and post documents
Finance & Purchasing Overview34
Financials (FI)Financials (FI)Accounts Receivable (AR)Accounts Receivable (AR)
Processes cash receipt Processes cash receipt transactions for either transactions for either accounts receivable or accounts receivable or revenue transactionsrevenue transactions
Invoices or bills customer Invoices or bills customer for amount duefor amount due
Processes cash receipt Processes cash receipt transactions for either transactions for either accounts receivable or accounts receivable or revenue transactionsrevenue transactions
Invoices or bills customer Invoices or bills customer for amount duefor amount due
ContainsContains
► CustomersCustomers► Billing logicBilling logic► DunningDunning
Accounts Accounts PayablePayable
Asset Asset AccountingAccounting
General General LedgerLedger
AccountsReceivable
FinancialsFinancials(FI)(FI)
Finance & Purchasing Overview35
Accounts Receivable (AR)Accounts Receivable (AR)Roles & ResponsibilitiesRoles & Responsibilities
Accounts Accounts PayablePayable
Asset Asset AccountingAccounting
General General LedgerLedger
AccountsReceivable
FinancialsFinancials(FI)(FI)
DepartmentsDepartments Record cash receipts into Cash JournalRecord cash receipts into Cash Journal Enter customer invoices / credit memos to Enter customer invoices / credit memos to
create receivablescreate receivables
AuditorAuditor Check entries and posts cash journalsCheck entries and posts cash journals Perform new customer setupPerform new customer setup
Finance & Purchasing Overview36
Financials (FI)Financials (FI)Accounts Payable (AP)Accounts Payable (AP)
Process invoicesProcess invoices
Generate Generate warrants/checks by due warrants/checks by due date or discount datedate or discount date
Produce 1099 ReportsProduce 1099 Reports
Process invoicesProcess invoices
Generate Generate warrants/checks by due warrants/checks by due date or discount datedate or discount date
Produce 1099 ReportsProduce 1099 Reports
ContainsContains
► VendorsVendors► WarrantsWarrants► ChecksChecks
Accounts Payable
Asset Asset AccountingAccounting
General General LedgerLedger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
Finance & Purchasing Overview37
Accounts Payable (AP)Accounts Payable (AP)Roles & ResponsibilitiesRoles & Responsibilities
Accounts Payable
Asset Asset AccountingAccounting
General General LedgerLedger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
Department Enter Invoice Documents Park documents when invoice verification fails
Auditor Maintains Vendor Master Reviews entered documents (except parked documents)
and releases invoices for payment Reviews parked documents to resolve problems; may
contact the vendor, requisitioner or buyer. Issues checks for invoices with a free for payment status
Finance & Purchasing Overview38
Financials (FI)Financials (FI)Asset Accounting (AA)Asset Accounting (AA)
Provides management of Provides management of capitalized or tracked capitalized or tracked assetsassets
Generates depreciation Generates depreciation transactions for the transactions for the general ledgergeneral ledger
Provides management of Provides management of capitalized or tracked capitalized or tracked assetsassets
Generates depreciation Generates depreciation transactions for the transactions for the general ledgergeneral ledger
ContainsContains
► Tag numbersTag numbers► Asset ClassesAsset Classes► Depreciation profilesDepreciation profiles► Capitalized assetsCapitalized assets► Tracked assetsTracked assets
Accounts Accounts PayablePayable
Asset Accounting
General General LedgerLedger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
Finance & Purchasing Overview39
Asset Accounting (AA)Asset Accounting (AA)Roles & ResponsibilitiesRoles & Responsibilities
Accounts Accounts PayablePayable
Asset Accounting
General General LedgerLedger
AccountsAccountsReceivableReceivable
FinancialsFinancials(FI)(FI)
Department
Create the asset shell at the requisition stage
AuditorMaintain asset master recordsIssue asset tags for Capital and non-computer low value assetsUpdate the records for additional information such as serial numbersUpdate Capital Asset record master data
Finance & Purchasing Overview40
Controlling (CO)Controlling (CO)
This is the key component structure of Controlling:This is the key component structure of Controlling:
The CO module represents the County’s flow of costs The CO module represents the County’s flow of costs and revenue. It is also a management instrument for and revenue. It is also a management instrument for organizational decisions. A key tasks is the analysis of organizational decisions. A key tasks is the analysis of FI data. Variances can be determined by comparing FI data. Variances can be determined by comparing actual data with plan data. actual data with plan data.
Cost Element
Accounting
Cost Center
Accounting
Internal
Orders
Finance & Purchasing Overview41
Controlling (CO)Controlling (CO)
Used for managerial Used for managerial reporting or activity reporting or activity reportingreporting
Used to collect and Used to collect and allocate costsallocate costs
Used for managerial Used for managerial reporting or activity reporting or activity reportingreporting
Used to collect and Used to collect and allocate costsallocate costs
ContainsContains
► Cost CentersCost Centers► ProjectsProjects► Internal OrdersInternal Orders
ControllingControlling(CO)(CO)
Finance & Purchasing Overview42
Controlling (CO)Controlling (CO)Roles & ResponsibilitiesRoles & Responsibilities
ControllingControlling(CO)(CO)
DepartmentDepartment
Display:Display:CO reportsCO reportsCost center/cost center group dataCost center/cost center group dataInternal order/internal order group dataInternal order/internal order group dataBudget information for internal ordersBudget information for internal orders
AuditorAuditor
Display CO reportsDisplay CO reports Create, change, and display: Create, change, and display:
Cost centers/cost center groupsCost centers/cost center groupsInternal orders/internal order groupsInternal orders/internal order groupsInternal order budget informationInternal order budget information
Finance & Purchasing Overview43
FI/CO, GM & FM Integration & TermsFI/CO, GM & FM Integration & Terms
FI/COFI/CO
GrantGrant
FundFund
Cost center, Cost center, Functional AreaFunctional Area
Cost Elements & Cost Elements & GL AccountsGL Accounts
Fiscal Fiscal YearYear
GMGM
GrantGrant
FundFund
Sponsored Sponsored ProgramProgram
Sponsored ClassSponsored Class
Budget Validity Budget Validity PeriodPeriod
FMFM
GrantGrant
FundFund
Fund Center, Fund Center, Funded Program, Funded Program, Functional AreaFunctional Area
Commitment ItemCommitment Item
Fiscal YearFiscal Year
Finance & Purchasing Overview44
Grants Management (GM)Grants Management (GM)
Plan, budget, identify, Plan, budget, identify, obtain, and record all obtain, and record all funding related to awarded funding related to awarded grantsgrants
Differentiate between Differentiate between eligible and ineligible costseligible and ineligible costs
Bill and record sponsor Bill and record sponsor amountsamounts
Record and report all Record and report all related costs, revenues, related costs, revenues, and required informationand required information
Plan, budget, identify, Plan, budget, identify, obtain, and record all obtain, and record all funding related to awarded funding related to awarded grantsgrants
Differentiate between Differentiate between eligible and ineligible costseligible and ineligible costs
Bill and record sponsor Bill and record sponsor amountsamounts
Record and report all Record and report all related costs, revenues, related costs, revenues, and required informationand required information
Grants Grants Management Management
(GM)(GM)
Contains:Contains:► Grant lifecyclesGrant lifecycles► Grant detailsGrant details► Grant reportsGrant reports
Finance & Purchasing Overview45
Grants Management (GM)Grants Management (GM)Roles & ResponsibilitiesRoles & Responsibilities Grants Grants
Management Management (GM)(GM)DepartmentDepartment
DisplayDisplayGrantsGrantsGrant budgetsGrant budgetsGrant reportsGrant reports
County Administrator’s OfficeCounty Administrator’s Office
DisplayDisplayGrantsGrantsGrant budgetsGrant budgetsGrant reportsGrant reports
Create grantsCreate grants
AuditorAuditor
All above All above Maintain grant master dataMaintain grant master data Manage grant cyclesManage grant cycles Monitor grant postingsMonitor grant postings
Finance & Purchasing Overview46
Funds Management (FM)Funds Management (FM)FundsFunds
ManagemManagementent
(FM)(FM)
Maintains budgetary Maintains budgetary control for all expense control for all expense activityactivity
Maintains budgetary Maintains budgetary control for all expense control for all expense activityactivity
ContainsContains
► FundsFunds► Fund CentersFund Centers► Commitment ItemsCommitment Items
$$$$$
Budget Officer
Finance & Purchasing Overview47
Funds ManagementFunds ManagementRoles & ResponsibilitiesRoles & Responsibilities
FundsFundsManagementManagement
(FM)(FM)DepartmentDepartment
‘‘Pre-post’ budget transfers for adjustmentPre-post’ budget transfers for adjustment within their own level of departmental controlwithin their own level of departmental control Post transfers within budget control Post transfers within budget control categories of commitment itemscategories of commitment items
Budget OfficeBudget Office
‘‘Pre-post’ budget transfers between Pre-post’ budget transfers between departmentsdepartments
Generate report listing pre-posted transfers Generate report listing pre-posted transfers needing Commissioner’s Court approvalneeding Commissioner’s Court approval
Post transfers after approved by Post transfers after approved by Commissioners CourtCommissioners Court
Create supplement, return, and entry budgetCreate supplement, return, and entry budget documentsdocuments
AuditorAuditor
Create and change funds blockCreate and change funds block Create and change funds reservationCreate and change funds reservation Create and change funds commitmentCreate and change funds commitment
Finance & Purchasing Overview48
Lesson 4: Materials Management Lesson 4: Materials Management Module (MM) Module (MM)
Finance & Purchasing Overview49
Materials Management (MM)Materials Management (MM) The MM application component supports the The MM application component supports the
procurement and inventory functions procurement and inventory functions occurring in day-to-day business operations such as: occurring in day-to-day business operations such as: materials planning and control, purchasing, goods materials planning and control, purchasing, goods receiving, and inventory management. Invoice receiving, and inventory management. Invoice verification is an MM function but is executed by verification is an MM function but is executed by Accounts Payable.Accounts Payable.
Master Records
This is the key component structure of Materials This is the key component structure of Materials Management:Management:
PurchasingInventory
Management
InvoiceVerification – (Done by AP)
Finance & Purchasing Overview50
Materials Management (MM)Materials Management (MM)
Purchasing is responsible for:Purchasing is responsible for:► External procurement of materials and servicesExternal procurement of materials and services► Determination of sources of supply (vendors)Determination of sources of supply (vendors)► Monitoring deliveries from vendorsMonitoring deliveries from vendors
Inventory Management is responsible for:Inventory Management is responsible for:► Management of stocksManagement of stocks► Planning, entry, and documentation of all goods movementsPlanning, entry, and documentation of all goods movements
Key TermsKey Terms► A purchasing organization is an organizational unit that A purchasing organization is an organizational unit that
procures materials or services. It negotiates purchasing procures materials or services. It negotiates purchasing conditions for plants assigned to it.conditions for plants assigned to it.
► A plant is an operating unit that makes goods available for A plant is an operating unit that makes goods available for distribution.distribution.
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Materials Management (MM)Materials Management (MM)
Purchasing Integration
Purchasing
MaterialsManagement
(MM)
Controlling(CO)
FundsManagement
(FM)
Financials(FI)
Asset Accounting
General LedgerInventory
Log. Invoice Verification
GrantsManagemen (GM)
Grants Management
(GM)
Accounts Payable
Finance & Purchasing Overview52
Materials Management (MM)Materials Management (MM)
Integration of Inventory
Asset Accounting
General Ledger
MaterialsManagement
(MM)
Controlling(CO)
FundsManagement
(FM)Financials
(FI)
Purchasing
Log. Invoice Verification
Inventory
Grants Management
(GM)
Accounts Payable
Finance & Purchasing Overview53
Materials Management (MM) Materials Management (MM) PurchasingPurchasing
Use to order or contract Use to order or contract for goods or services.for goods or services.
Supports requests for Supports requests for quotes from vendors for quotes from vendors for goodsgoods
Processes receipt of Processes receipt of goodsgoods
Use to order or contract Use to order or contract for goods or services.for goods or services.
Supports requests for Supports requests for quotes from vendors for quotes from vendors for goodsgoods
Processes receipt of Processes receipt of goodsgoods
ContainsContains
► RequisitionsRequisitions► RFQRFQ► Purchase ordersPurchase orders► Vendor PerformanceVendor Performance► ContractsContracts► VendorVendor
Purchasing
Inventory
MaterialsManagement
(MM)
Finance & Purchasing Overview54
Materials Management (MM)Materials Management (MM)PurchasingPurchasing Roles & ResponsibilitiesRoles & Responsibilities
Purchasing
Inventory
MaterialsManagement
(MM)DepartmentsDepartments
Create, change, display purchase requisitionsCreate, change, display purchase requisitionsMaterialMaterialServiceServiceAssetAssetGrantGrant
Create asset shellCreate asset shell Approve purchase requisitionsApprove purchase requisitions Post goods receiptsPost goods receipts Post service entry sheetsPost service entry sheets View material mater, vendor master, and serviceView material mater, vendor master, and service master recordsmaster records
Purchasing DepartmentPurchasing Department
Display/report on vendor, material, and serviceDisplay/report on vendor, material, and service master recordsmaster records Create, change, display purchase orders and RFQsCreate, change, display purchase orders and RFQs Display/report on quotation and purchase order Display/report on quotation and purchase order price historiesprice histories Maintain bids, Info Records, source lists, outline Maintain bids, Info Records, source lists, outline agreements, and contractsagreements, and contracts
Finance & Purchasing Overview55
Materials Management (MM) Materials Management (MM) InventoryInventory
Use for supplies inventoryUse for supplies inventory
Supports storing and Supports storing and issuing goods from issuing goods from warehouseswarehouses
MRP (materials MRP (materials requirement planning)requirement planning)
Physical inventory Physical inventory processingprocessing
Use for supplies inventoryUse for supplies inventory
Supports storing and Supports storing and issuing goods from issuing goods from warehouseswarehouses
MRP (materials MRP (materials requirement planning)requirement planning)
Physical inventory Physical inventory processingprocessing
Purchasing
Inventory
MaterialsManagement
(MM)
ContainsContains
► PlantsPlants► Delivery AddressesDelivery Addresses
Finance & Purchasing Overview56
Materials Management (MM)Materials Management (MM)Inventory/Audit Contracts Roles & ResponsibilitiesInventory/Audit Contracts Roles & Responsibilities
Purchasing
Inventory
MaterialsManagement
(MM)
DepartmentsDepartments
Display/report on vendor master records, material Display/report on vendor master records, material master records, material documents, service master master records, material documents, service master records, purchase orders, and contractsrecords, purchase orders, and contracts
Process goods movementsProcess goods movementsGoods receiptGoods receiptGoods issueGoods issueReversalsReversals
Post service entry sheetsPost service entry sheets
Purchasing DepartmentPurchasing Department
Display/report on vendor master records, material masterDisplay/report on vendor master records, material master records, material documents, service master records, purchaserecords, material documents, service master records, purchase orders, RFQs, and contractsorders, RFQs, and contracts Create/change contractsCreate/change contracts Create/change purchase ordersCreate/change purchase orders
Finance & Purchasing Overview57
Materials Management (MM)Materials Management (MM)Inventory/Audit Contracts Roles & ResponsibilitiesInventory/Audit Contracts Roles & Responsibilities
Purchasing
Inventory
MaterialsManagement
(MM)
Warehouse Stock ClerksWarehouse Stock Clerks
Display/report on vendor master records, material Display/report on vendor master records, material master master
records, material documents, service master records, records, material documents, service master records, purchase orders, and contractspurchase orders, and contracts Process goods movementsProcess goods movements
Goods receiptGoods receiptGoods issueGoods issueReversalsReversals
Run various inventory management reportsRun various inventory management reports Perform MRP (materials requirement planning) and post Perform MRP (materials requirement planning) and post
to funds managementto funds management Perform/enter physical inventory countsPerform/enter physical inventory counts Create, change, and display physical inventory Create, change, and display physical inventory
documentsdocuments Create purchase requisitions for stock replenishmentCreate purchase requisitions for stock replenishment
AuditorAuditor
Display/report on vendor master records, material masterDisplay/report on vendor master records, material master records, material documents, service master records, purchaserecords, material documents, service master records, purchase orders, and contractsorders, and contracts Create/change contractsCreate/change contracts Create/change purchase ordersCreate/change purchase orders Process goods movementsProcess goods movements Post service entry sheetsPost service entry sheets
Finance & Purchasing Overview58
Lesson 5: Getting HelpLesson 5: Getting Help
1
2
3
Review the Review the on-line helpon-line help in SAP in SAP
Ask your Ask your peerspeers or or super usersuper user for assistance.for assistance.
Review your Review your training training materialsmaterials and notes. and notes.
Finance & Purchasing Overview59
Tarrant County HelpTarrant County Help
Problems with running tutorials?Problems with running tutorials? Training Mailbox –Training Mailbox – [email protected]@tarrantcounty.com
After utilizing the various methods of help on After utilizing the various methods of help on the previous page, if you still have questions or the previous page, if you still have questions or problems problems
oror
If you have problems at any time with accessing If you have problems at any time with accessing SAP, printing, computer or network problems, SAP, printing, computer or network problems, etc.etc.
Contact the Tarrant County IT Help Desk at Contact the Tarrant County IT Help Desk at 817-884-3507 817-884-3507
Finance & Purchasing Overview60
Lesson 6: Accessing Training MaterialsLesson 6: Accessing Training Materials
All All TITAN training materialsTITAN training materials for Finance & Purchasing are stored on the for Finance & Purchasing are stored on the Tarrant County websiteTarrant County website
This website is accessed through your Internet Explorer from any This website is accessed through your Internet Explorer from any computer that has internet access; you do not have to be on the computer that has internet access; you do not have to be on the Tarrant County network. The URL for direct link to the Training Tarrant County network. The URL for direct link to the Training Materials website is:Materials website is:
http://www.tarrantcounty.com/titan/lib/titan/training/index.asphttp://www.tarrantcounty.com/titan/lib/titan/training/index.asp
Set up this website as a favorite in your web browser for quick future Set up this website as a favorite in your web browser for quick future accessaccess
Enter the URL above in the addressEnter the URL above in the address field in your browserfield in your browser When you reach the website, go toWhen you reach the website, go to Favorites>Add to FavoritesFavorites>Add to Favorites in the in the Browser menuBrowser menu A pop-up window will be displayed withA pop-up window will be displayed with a default name for the site. Click a default name for the site. Click OKOK.. To access this site in the future, justTo access this site in the future, just click on the Favorites item in the browser click on the Favorites item in the browser
menu and highlight the name for the menu and highlight the name for the website. You will go directly to the website. You will go directly to the website. website.
Finance & Purchasing Overview61
Accessing Training Materials Accessing Training Materials (cont’d)(cont’d)
Review the instruction page to understand how to use the websiteReview the instruction page to understand how to use the website
Click on the Click on the CoursewareCourseware link at the top of the Instruction page link at the top of the Instruction page
A A Listing of CoursesListing of Courses will be displayed will be displayed
Click on the Click on the Course TitleCourse Title to see a general description of the to see a general description of the content of the coursecontent of the course
oror
Click on one of the buttons beside the Course Title to go directly to Click on one of the buttons beside the Course Title to go directly to either the either the Overview, Quick Reference Cards, Overview, Quick Reference Cards, oror Tutorials Tutorials
These training materials will be available for your use and These training materials will be available for your use and reference at any timereference at any time
Finance & Purchasing Overview62
Running TutorialsRunning Tutorials An additional learning tool is being provided with the Phase II SAP An additional learning tool is being provided with the Phase II SAP
implementation -- implementation -- TutorialsTutorials Tutorials are simulations of the SAP system that take you through a Tutorials are simulations of the SAP system that take you through a
transaction step-by-step in a mock SAP environment transaction step-by-step in a mock SAP environment These can be viewed in two ways:These can be viewed in two ways:
► As a movie that takes you through the transaction in a demonstration, orAs a movie that takes you through the transaction in a demonstration, or► As an interactive, hands-on practice session that stops at each step and As an interactive, hands-on practice session that stops at each step and
directs you to make entries in fields or take actions per instructions directs you to make entries in fields or take actions per instructions provided by the provided by the wizardwizard and in the and in the bubblesbubbles
Tutorials are provided with each course in the Finance and Purchasing Tutorials are provided with each course in the Finance and Purchasing trainingtraining
A list of the tutorials is provided at the end of each course.A list of the tutorials is provided at the end of each course. Go to the Training Materials website to access and run these tutorials. Go to the Training Materials website to access and run these tutorials.
Detailed instructions are provided on the website when you click on Detailed instructions are provided on the website when you click on the Tutorials buttonthe Tutorials button
Happy Tutoring!!
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Training SandboxTraining Sandbox
An SAP environment An SAP environment (Training Sandbox)(Training Sandbox) where you can practice your where you can practice your skills in a real instance of SAP will be available after mid-Juneskills in a real instance of SAP will be available after mid-June
The sandbox can be accessed through the standard logon process The sandbox can be accessed through the standard logon process discussed in discussed in Lesson 2Lesson 2 of the of the SAP Basic NavigationSAP Basic Navigation course course
The only differences are:The only differences are: Highlight the Training environment on Highlight the Training environment on
the logon padthe logon pad Click logonClick logon Enter Enter 520520 in the Client field in the Client field Enter the same User Id and Password Enter the same User Id and Password
you are assigned for Productionyou are assigned for Production
Feel free to practice any of the tasks in the basic navigation course and Feel free to practice any of the tasks in the basic navigation course and any of the transactions included in other courses you take. Use the any of the transactions included in other courses you take. Use the Quick Reference CardsQuick Reference Cards to walk you through the transactions. to walk you through the transactions.
Finance & Purchasing Overview64
COURSE SUMMARYCOURSE SUMMARY Congratulations!!Congratulations!! You have completed the Finance & Purchasing You have completed the Finance & Purchasing
Overview and have reviewed the following Overview and have reviewed the following topics:topics: SAP system and integrationSAP system and integration Tarrant County implementationTarrant County implementation TerminologyTerminology High level functionality:High level functionality:
General LedgerGeneral Ledger Accounts Receivable Accounts Receivable Accounts PayableAccounts Payable Asset AccountingAsset Accounting ControllingControlling Grants ManagementGrants Management Funds Management Funds Management Materials ManagementMaterials Management
Getting HelpGetting Help Accessing training materialsAccessing training materials
You are now ready to complete your role-specific You are now ready to complete your role-specific training coursestraining courses