IBS Enterprise Help Centre 8.0Business Suite 2014/2015

Turn-of-year procedures - IBS Enterprise 8.0

Related topics

At the turn of every fiscal year, certain procedures must be followed to establish the end-of-year in IBS Distribution, IBS Manufacturing, IBS Asset Management, Business Reporting, IBS Sundry Invoicing Procedure and IBS Financials. The instructions outlined in this document will allow you to correctly:

  • Close a fiscal year.
  • Begin a new fiscal year.

Checklists per application/area will guide you through the procedures and provide instructions that:

  • Identify the research that you have to do in order to find the information needed to perform the transaction.
  • Indicate the menu item you need to select to access the IBS Enterprise program.

Note: Depending on the IBS Enterprise application installed and how it is being used, some of the instructions may not be applicable.

This document is organised as follows:

IBS Distribution

Instruction Menu item
1 Optional: Check calendar. Update public holidays for all future months at least two years forward. Work with calendars
2 Optional: Check number series for invoices/credit invoices. DMI/DMC numbers should not overlap with FKI/FKC series in IBS Financials. Table maintenance program selection
3 Optional: Reorganisation of customers, suppliers and items. Create item file reorganisation proposal

Work with item file reorganisation proposal

Reorganise item file
4 Optional: Check for expiration of validity dates on customer contracts. Work with customer contracts
5 Optional: Check for expiration of validity dates on sales pricing methods. Work with sales pricing methods
6 Optional: Check for expiration of validity dates on SMS agreements. Work with SMS agreements
7 Optional: Check for expiration of validity dates on landed cost key details

If new validity end dates have been entered, then refresh the landed costs.
Table maintenance program selection

Refresh landed costs
8 Optional: Check item prices for new sales price dates.

Update new prices if they exist for the new year.
Work with items, Sales prices

Update actual sales price
9 Optional: Check item prices for new purchase price dates.

Update new prices if they exist for the new year.
Work with items, Purchase prices

Update actual purchase prices
10 Optional: Check for the expiration of validity dates for service agreements. Update or create new ones as required. Work with service agreements
11 Mandatory: Transfer any delayed statistics to the balance files. Transfer delayed statistics
12 Mandatory: Execute period balance update for Average tied-up capital, Requests and returns and Warehousing costs. Start periodical balance update
13 Mandatory: Run the Turn of the year routine before the start of the new year.

The routine must be run within the Turn of year interval period stated in the DIS control file and before any DIS routines are used for the first time in the new year.

There should not be any active users in IBS Enterprise and all direct jobs must be shut down. The routine moves the values from "current year" to "last year" for customer/item/stock/supplier and sets "this year" values to zero.
Turn of the year

End all direct jobs in IBS Enterprise

End all MDC jobs in IBS Enterprise
14 Optional: (Advised) Re-set Turn of year dates for next year. Work with DIS control file

IBS Manufacturing

Instruction Menu item
1 Execute the batch job Periodical statistics creation to close the period statistics for period 12.

Note: This job can be run at any time as it reads the Inventory transaction file to summarise information.
Work with Reports/Jobs

Batch job = PER_RUN
2 Execute the batch job Periodical statistics creation to close the period statistics at the end of all 12 month periods or 52 weeks.

Note: This job must be run at the end of the period because some operation information, like quantity on hand, is retrieved for the SOP statistics.
Work with Reports/Jobs

Batch job = CRTHIS_SOP Create SOP statistics

IBS Asset Management

Instruction Menu item
1 Close year.

The system verifies the closing of the actual year by checking that the last depreciation period in the Depreciation type table is equal to the last normal period for the year that should be closed. The control is done for all depreciation types, regardless if they are used or not. If you run into problems because of unused depreciation types, you can manually, in the Depreciation type table, update the latest depreciation period to the period you want or delete unused depreciation types.

Caution: If you have run IBS Asset Management for some time and delete depreciation types, then problems can occur because of the sequence number connected to every depreciation type.

When everything is OK to close the year, a batch job is started which moves the values from the field for actual year to accumulated or previous year. The values in the actual year are cleared and the actual year in the ASM control file is updated.
Close depreciation year

Business Reporting

Instruction Menu item
1 If you use fixed years on Report columns, then update the Year for the applicable column(s). Work with reports

IBS Sundry Invoicing Procedure

Instruction Menu item
1 This is a separate routine that is not connected to the IBS Financials' closing of periods. Check that all invoices for the year to close have been transferred to IBS Financials and that all SIP periods for the year to close are closed. This is to prevent invoices from being created for the wrong period and year. Close SIP accounting period

IBS Financials

Tables

This checklist details the transactions that must be performed in order to begin a new fiscal year.

Instruction Menu item
1 You must create a new Journal number series for the new fiscal year

It is recommended that you use the year number as a prefix (e.g., 01001, 02001, 03001). This will allow you to easily identify your journal entries.
Table maintenance program selection
2 Create new Voucher number series for the new fiscal year. Table maintenance program selection
3 Determine how the Document number series is set up in your system: If they are controlled per year or if they are running numbers.

Identify only those entries in the Document number series that are set up according to year.

For every year-based entry in the Document number series you must create a corresponding one for the new fiscal year.
Table maintenance program selection
4 Check the start/end date for any "To accounts". Work with chart of accounts
5 Identify all of the currencies that are used by your system.

If any exchange rate defaults are set up with "Year" as a parameter, then they need to be updated.
Table maintenance program selection

Functions

Certain functions that are defined in tables are controlled by End date parameters.

Instruction Menu item
1 Check that the calculations/redistributions have the correct end date and that the entered percentage is valid. Work with calculation/redistribution
2 Verify the end date in the Account completion table. Work with account completions
3 Verify your standing orders and determine if they should be validated for the new fiscal year. Work with standing orders
4 Determine if the Pricing table is used by your system.

If it is, then access this table and verify parameter From/To date.

Enter new pricing rules (if applicable).
Work with pricing rules
5 Find out if your new fiscal year is a leap year.

Verify parameter End date of February in the G/L control file.

Verify the current structure of the account year.
Work with G/L control file
6 Update VAT percentages if needed. Work with percentages
7 To keep track of banking days for A/P payments, update the non-banking days for the new fiscal year. Note: Which calendar to update is determined in Work with A/P payment modes. Work with A/P payment modes

Work with calendars
8 If you do not want transactions of a certain voucher type in the previous year, then you can close the applicable voucher types manually (i.e., update the Last closed period in the Voucher type table). Work with voucher types

Period roll-over

The tables and functions, described above, have to be completed before the actual period roll-over. When performing a period roll-over you can still work with and register transactions in the old year up until the closing of the old year.

Instruction Menu item
1 Run period roll-over.

For those working with 13 periods: If the 13th period is not defined as Normal, then the roll-over will bypass it.
Execute period rollover
2 Verify that the period values have been correctly updated after the roll-over. Work with G/L control file

Year end (closing an accounting year)

Instruction Menu item
1 Determine if parameter Delayed update is defined in your system's G/L journals file. Update delayed G/L journals
2 Close all open batches in the Year to close. Enter financial transactions
3 Transfer all transactions from the interface (DIS, general interface or other external applications). Retrieve financial transactions

Transfer logistic accounting transactions
4 Verify and update the journals in error. Work with journals in error
5 Apply the manual standing orders. Apply standing orders manually
6 Create the calculation and redistribution transactions (if they are created in batch). Create calculation/redistribution transactions
7 Update the open reminder proposals. Work with reminders

Work with payment order reminders
8 Verify the open A/R payment proposals and the A/R portfolio remittance proposals. Work with A/R payment proposals

Work with A/R portfolio remittance
9 Update the A/P payment proposals. Work with A/P payment proposals
10 Print the Chart of account list and select on Balance/trade accounts.

Verify that the definition of the balance trade account is correct. The balance of the previous year will only be transferred to the next fiscal year as opening balance if the account is defined as Balance account.
Work with chart of accounts
11 Transfer results to a balance account. This can be done automatically or manually.

If the system is set up to do this automatically, then it will use the entries defined in the Year end account table.

If you do this manually, then use the entries in the Financial system transaction entry.
Work with year end accounts (for automatic transfer)

Enter financial transactions (for manual transfer)
12 Re-value G/L accounts. Re-value G/L account balances
13 Re-value A/R and A/P. Re-value A/R open items

Re-value A/P open items
14 Run the Close accounting period routine. The system proposes to close the period after last closed.

The default value for the Create opening balances field is NO, which means that the incoming balances will not be created as transactions.

If set to YES, then a closing journal and an opening journal will be created with the closing and opening balances.

Click OK to process the year close.
Close accounting period
15 Clear other application-related historical balances if needed. (This is automatically done for IBS Financials.) Clear balances/budgets manually

Related topics