This Business Scenario Map illustrates how costs are assigned to the appropriate period. The Accounts Payable Accountant receives an invoice with costs belonging to a period in time. The Contract Accountant receives details about the contract and the GL Accountant receives cost information in the right period for accurate balance sheet and profit and loss reporting. This streamlined process leads to key benefits.
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A/P Accountant
Contract Accountant
G/L Accountant
Cost Accountant
Check invoice
Post invoice
Maintain contract data
Start accrual run periodically
Create financial statement
Create cost reports
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AccrualsIn all industries the time of invoice receipt does not always coincide with the periodic assignment of the costs in the invoice. Costs for long-term contracts, such as tenancy agreements or leases, have to be distributed over the runtime of the contract, divided into years where appropriate.
SAP Accruals offers an easy, transparent and even flexible handling to achieve this business issue. Considering that time might not be the only criterion of relevance for cost assignment, different ways of posting as well must be taken into consideration. In all cases, a Contract Accountant is responsible for the accrual of these open items. This distribution of roles allows the A/P Accountant to enter the invoices while the Contract Accountant is responsible for the contract data and has an overview of the contracts. The G/L Accountant and Cost Accountant, meanwhile, benefit from the accrued values for all reporting. Depending on the organization, the roles of the A/P Accountant and the Contract Accountant can be merged.
As main business benefits that you achieve when implementing SAP Accruals, you will increase data transparency, perform faster your closing activities and meet worldwide accounting standards. |