rock of agis: the foundation for oracle r12 intercompany

Session ID:

Prepared by:

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10854

Rock of AGIS: The Foundation for Oracle R12 Intercompany Transactions in a Global Environment

April 11, 2019

Donna DuBois

Viasat, Inc.

Agenda

• Introduction

• Presenter Background

• Presenter Company Information

• Discuss AGIS concepts and benefits

• Review configurations

• Demonstrate AGIS transactions and reporting

• Questions and Answers

Donna DuBois

• Business Systems Analyst at Viasat in Carlsbad, CA

• Accounting background with 20 years Oracle EBS experience mainly

in Financials

• Solutions Architect for Oracle R12 organization structure design at

Viasat

• Implemented multiple applications within the Oracle Financials Suite

(e.g., AGIS, eBTax)

• Certified Scrum Master

Viasat Proprietary 4

1986year founded

28offices around the globe

4satellites in orbit

5,200+team members

$1.6Bin annual sales*

$4.6Benterprise value

* FY18, ended March 31, 2018

Viasat, a global communications company, is on a mission to connect the world.

Our technologies deliver high-quality, affordable, fast connections – on land, air

& sea – shaping how consumers, businesses, governments and militaries

communicate, globally.

Technology and Services markets:

Residential + Business broadband Government Broadband + comms

Commercial Mobility: Airlines, Cruise ships, Maritime Community Wi-Fi

AGIS concepts

and benefits

Advanced Global Intercompany System

• Transactions between balancing segments can be

defined as either intracompany or intercompany

– Intracompany-Transactions between two or more

balancing segments within a single ledger

– Intercompany -Transactions between two or more

legal entities which are in different ledgers.

Intercompany journals involve balancing segment

values that map to different legal entities.

Advanced Global Intercompany System

• Robust intercompany solution that serves as a method

for subsidiaries to exchange intercompany

transactions across ledgers

• Leverages the core building blocks of R12 architecture

in the areas of Legal Entity, Trading Community

Architecture, and workflow integration for processing

• Utilizes workflow processes to route, review, verify,

and approve intercompany transactions to increase

control and visibility

Advanced Global Intercompany System

• Interacts with sub ledgers which facilitate invoicing using Receivables and Payables

• Invoices between intercompany trading partners are created accordingly where local statutory compliance requires physical invoices

• Allows institutions to treat intercompany transactions as “arms length” transactions

• Provides interactive reconciliation reporting, which allows you to drill down to the details of intercompany account balances so you can quickly find the source of discrepancies in the balances of each trading partner’s account

Advanced Global Intercompany System

• Enhanced Control over Intercompany Setup

– Centralized setup

– Better monitoring and reconciliation

• Minimal manual intervention

– Reduces attention needed by finance staff

– Free resources to work on more value added activities

• Real time visibility

– Visibility across intercompany transactions

– Simplify and accelerate the reconciliation of intercompany entries

• Speed up the close process

– Ensures ability to identify and eliminate intercompany transactions during

consolidation to simplify and speed the close process

Configuration

Configuration

• Setups are needed in the following areas

– Environment

– General Ledger

– Intercompany Security

Organizations

Transaction Types

System Options

Customer & Supplier Associations

Environment Setups

• User accounts must be setup and have employee records attached to them to allow for ‘Initiator’ and ‘Recipient’ intercompany transactions

• Create Intercompany User responsibilities for each legal entity (e.g., US Intercompany User)

– Can copy seeded Intercompany User responsibility and rename for individual legal entities or use MOAC to combine into one

• Assign responsibilities to users

General Ledger Setups

• Intercompany Accounting defined on each ledger

– Relationships between legal entities are created

• Setup -> Financials -> Accounting Setup Manager -> Accounting Setups

General Ledger Setups (cont’d)

General Ledger Setups (cont’d)

General Ledger Setups (cont’d)

General Ledger Setups (cont’d)

Intercompany Setups - Organizations

• Define intercompany organizations which will be used for creating transactions

in AGIS

– Intercompany Super User -> Setup -> Organizations

Intercompany Setups – Organizations (cont’d)

• Search for Organization Name to find legal entities

Intercompany Setups - Organizations (cont’d)

• Set the Operating Unit and change the Enabled flag to Yes. Repeat for all

organizations needed for AGIS transactions.

Intercompany Setups - Security

• Define Security access

– Intercompany Super User -> Setup -> Security

Intercompany Setups - Security (cont’d)

Intercompany Setups – Transaction Types

• Define transaction types only if invoice functionality is required

– Intercompany Super User -> Setup -> Transaction Types

• Pre-Requisites:

– AR Setups –Replicate Seed Data

– Invoice Type (Intercompany)

– Receivables Memo Line (Global Intercompany)

– Credit Memo Type (Intercompany CM)

Intercompany Setups – Transaction Types (cont’d)

Intercompany Setups – Transaction Types (cont’d)

Intercompany Setups – Transaction Types (cont’d)

Intercompany Setups – Transaction Types (cont’d)

Intercompany Setups – System Options

• Intercompany Super User -> Setup -> System Options

Intercompany Setups – Customer & Supplier

Associations

• Intercompany Super User -> Setup -> Invoicing Options -> Customer and

Supplier Associations

Intercompany Setups – Customer & Supplier

Associations (cont’d)

AGIS transaction

processing

AGIS transactions

• Initiator will create Outbound transaction and

complete the accounting of the transaction on the

initiating side

• Recipient will complete the accounting on the

Inbound transaction and approve (if option set)

• AP and AR invoices will be automatically created

after running transfer programs

AGIS transactions - Outbound

• Initiator creates outbound transaction

XX Intercompany User -> Transaction -> Outbound

AGIS transactions – Outbound (cont’d)

AGIS transactions – Outbound (cont’d)

AGIS transactions – Outbound (cont’d)

AGIS transactions - Inbound

• XX Intercompany User -> Transaction -> Inbound

AGIS transactions – Inbound (cont’d)

• Recipient completes the accounting on the inbound transaction

AGIS transactions – Inbound (cont’d)

AGIS transactions – Transfer to Receivables/Payables

• Intercompany Super User -> View -> Requests -> Submit a New Request:

– On ‘Initiator’ side, Transfer intercompany to Receivables

– On ‘Recipient’ side, Transfer intercompany to Payables

• AR and AP invoices automatically created in their respective operating units

• AGIS transaction is Complete

Standard reports

available to reconcile

intercompany

accounting

AGIS reports

• ‘XX Intercompany User’ responsibility:

–Oracle Intercompany Transaction Summary Report

–Oracle Intercompany Account Details Report

–Intercompany Reconciliation Data Extract Program

Allows drilldown from account balances to the transactions

Session ID:

Remember to complete your evaluation for this session within the app!

10854

Donna.dubois@Viasat.com