Inforln.com Infor LN training material: How to use new Accounts Payable and Cash Management functionality to speed up purchase invoice matching and payment processing through automation. To contact the author Dan Aldridge, send an e-mail to info@i-app.com or call Performa Apps at 703.251.4504. Performa Apps LN consultants are available for LN implementations, training engagements and ERP project management. For more enterprise software presentations and content, visit us at http://inforln.com.

1. Infor ERP LN – AP and Cash Payments Overview
Dan Aldridge CEO Performa Apps
e-mail dan.aldridge@i-app.com
website www.inforln.com/wp
linkedin Dan Aldridge
twitter @Danaldridge1

2. Finance Training Agenda – ACR & CMG
 ACR - Accounts Payable Overview
 Overview
 Master Data
 Processing
 Open Entries
 Exercises
 CMG - Cash Management Overview
 Overview
 Master Data
 Processing
 Exercises
2

3. Finance Training Agenda – Accounts Payable
Accounts Payable
Overview
3

4. Finance Training Agenda – Accounts Payable
 Overview
 Business Partners
 Financial Customer Groups
 Processing
 Terms
 Master Data
 Parameters
 Procurement Card
 Purchase Invoice
 Report Definition
 Processing
 Received Invoices
 Invoice – Matching
 Invoice - Cost
 Recurring Purchase Invoices
 Reporting
 Open Entries
 Dashboard
 Aging Reports
 Recalculate Invoice-From BP Balances
4

5.  All supplier and/or all customer roles must be defined for a business partner
Ship
From
Accounts Payable
Business Partners
Pay
To
Invoice
From
Pay
By
Ship
To
Invoice
To
Supplier
Roles
Customer
Roles
Business
Partner
Invoice
To
Pay
By
Pay
To
Invoice
From
Sold
To
Buy
From
5

6. Supplier Buy-From:
 BP Status
 Language
 Area
 Line of Business
 Address
 Order Discount
 Purchase Office
 Terms of Delivery
Accounts Payable
Supplier Information
Supplier Invoice-From:
 BP Status
 Language
 Address
 Currency
 Financial Supplier Group
 Statement Method
 Terms of Payment
 Payment Method
Supplier Pay-To:
 BP Status
 Language
 Address
 Currency
 BP Bank
Supplier Ship-From:
 BP Status
 Language
 Address
 Warehouse
6

7. Business Partner
Financial Supplier Group
Ledger Accounts
Accounts Payable
Financial Supplier Groups
7

8. Financial Supplier Group Information:
 Control Account
 Currency Profit & Loss
 Payment Differences
 Discounts
 Late Payment Surcharges
 Invoice Receipts
 Anticipated Payments
 Price Differences
 Unallocated Payments
 Advance Payments
 Others
Accounts Payable
Financial Supplier Groups
8

9. PN4
Print Purchase Order
Print Good Rec. Note
Maintain Receipts
Print Claims
Maintain Approvals
Print Storage List
Print Return Notes
Print Purchase Inv.
Process Delivered
Purchase Orders
Accounts Payable
Purchase Order Steps
9

10. Accounts Payable
Cost Invoices
10
Purpose: To process invoices for (non-inventory) items
that were purchased without a purchase order.
 No longer separate Transaction Type in LN.
 Process Flow:
 Maintain Transaction
 Purchase Invoice Header
 Purchase Invoice Lines
Optional:
- Change terms of payment.
- Attach payment schedule,
then create transactions
from schedule.
- Change authorization data.

11. Accounts Payable
Purchase Order Matching
11
Receive and Authorize Invoice
Register (Voucher) Invoice
Approve Invoice for Payment
Booking Difference
Approve Price Difference
Optional
Purchase Invoice Matching:
Automatic or Manual*

12. Received
Invoice has been entered in “Maintain Received Purchase Invoices” session
Registered
Invoice can be a batch in “Maintain Transactions” session. Ledger accounts will then be assigned
Matched
Invoice has been matched to Purchase Order and/or Receipt in “Match/Approve Purchase Approved
Invoice has been approved (authorized) in “Approve Purchase Invoices” session
Canceled
Invoice has been canceled in “Maintain Received Purchase Invoices” session
Accounts Payable
Keywords
12

13. Accounts Payable
Order Matching Differences
 Booking Difference:
 An additional invoiced amount.
 Recorded as an add-on cost.
 Enter G/L account and dimension code.
 For example, freight, insurance, and so on.
 Price Difference:
 A true Purchase Price Variance (PPV).
 The invoiced price is different than the PO price.
 G/L account price variance (within tolerances).
 G/L account result (outside tolerances).
13

14. Finance Training Agenda – Accounts Payable
Accounts Payable
Master Data
14

15.  Parameters
 Default Aging Analysis
 Transaction Types for Currency Differences
 Financial Customer Groups
 Procurement Cards
 Matching Codes
Accounts Payable – Master Data
Parameters
15

16.  Purchase Invoices
 Hold Reasons
 Assigned Approvers
 Authorizations
 Matching Tolerances
 Purchase Offices
 Reporting
 Aging Analysis Data
 A/P Statements
 Credit Notes Letter
Accounts Payable – Master Data
Parameters
16

17. Finance Training Agenda – Accounts Payable
Accounts Payable
Processing
17

18. Accounts Payable – Processing
Procurement Cards
Procurement Card processing is focused on corporate houses, where the
products are purchased using a corporate Procurement Card.
 The buyer is not necessarily a regular buyer of goods
in the organization
18

19. Accounts Payable – Processing
Procurement Cards
Manually
Electronically
Purchase Requisition
Holiday Inn hotel EUR 850
Lufthansa EUR 1.400
Holiday Inn hotel EUR 850
Lufthansa EUR 1.400
EUR 2.250
Manually
Electronically
Match
•Manually
•Automatically
19

20. Accounts Payable – Processing
Procurement Cards
Procurement Cards
Procurement Card
Lines
Procurement card number
Procurement card company (business
partner)
Status / validation data
Credit limit
 Line Category
 Purchase requisition
 Past adjustment
 Others
 Default ledger account
20

21. Accounts Payable - Processing
Received Invoices
 Purpose:
 To optionally preregister invoices without generating financial
transactions and opening A/P items.
 Also includes authorization by different employees/departments for
further A/P processing.
21

22. Accounts Payable - Processing
Accounts Payable Purchase Invoice Processing
Matching with
Orders
Approval
Maintain Purchase
Invoices
Received Invoices
Approval
Maintain
Transactions
Maintain
Transaction Lines
GLD Processing
22

23. Accounts Payable - Processing
Types of Matching
Register Invoice
Yes $ Receipt / $ Invoice - Tolerance No
Automatic Match
Complete
Price Difference
On FSG
Approve Invoice
Manual Match
23

24. Accounts Payable - Processing
Assign Credit Notes to Invoices
Now Later
Original Invoice
Transaction Type
One Credit Note
to One Invoice
One Credit Note
to Many Invoices
Reduces the Open
Balance of the Invoice
24

25. Accounts Payable - Processing
Recurring Purchase Invoices
Today Period 1 Period 2 Period N
25

26. Accounts Payable - Processing
Tolerances
Higher Lower
% $ % $
2% 50.00 5% 100.00
Receipt Amount = $100.00
Invoice Amount = $120.00
Out of Tolerance
Receipt Amount = $100.00
Invoice Amount = $97.00
In Tolerance
26

27. Finance Training Agenda – Accounts Payable
Accounts Payable
Open Entries
27

28. Accounts Payable – Open Entries
Print / Display Options
Need info NOW?
 Open Entries
 Business Partner (BP) Purchase Invoices
 Registered Purchase Invoices by BP
 BP Totals
 BP by Factoring Company
 Print Purchase Invoices
 Print Invoice Authorization Schemes
 Print Invoice-from BP Balances
 Print Invoice-from BPs Total Balances (by
Co.)
 Print Aging Analysis by Invoice-from BP
 Print Invoice-from BP Aging Summary
 Print Invoice-from BPs Finalized
Transactions
 Print Control Account Checklist
 Print Recurring Purchase Invoices
28

29. Accounts Payable
Dashboard
29
Main Accounts Payable Dashboard

30. Review Questions and Answers
30

31. Accounts Payable
Training Exercises
3
Training Exercise:
 Input Cost Invoice
 Finalize Batch
 Review in Transactions in ACP Dashboards

32. Finance Training Agenda – Cash Management
Cash Management
32

33. Finance Training Agenda – Cash Management
 Overview
 Master Data
 Parameters
 Payment Authorizations
 Bank Relations & Methods
 Check Master
 Electronic Bank Statements
 IRS 1099 Reporting
 Processing
 Payments to Suppliers
 Receive Payments
33

34. Finance Training Agenda – Accounts Payable
Cash Management
Overview
34

35. Cash Management
Remittance based on cash application
 Facilitates quick data entry
 Does not restrict user with data consistency checks
 Checks are done when applying the remittance advice
 Reduction of cash application lead time
 Options to easily handle:
 Short payments
 Over payments
35

36. Cash Management
Uninterrupted supplier payment process
Select Invoices for Payment
Payment Batch X1
Uninterrupted Payment Process
• Payment Created
• Financial Posting
Exception Error
Payment Batch X2
36

37. Cash Management
Uninterrupted payment/receipt process
Payment Process Defaults
Payment Process Defaults
by Bank/Payment Method
 Devices
 Starting Check
 Senders Identity
 File Identification
 Device for Payments
37

38. Cash Management
Uninterrupted payment process
 Error report during Payment
Process
 Display of all exception errors
per payment batch
38

39. Cash Management
Accounting for anticipated payments
At
Check Run
Check
mailed
Check received by
Supplier and presented
to Supplier’s Bank
L E D G E R E N T R I E S
At
Bank Reconciliation
Check clears
your Bank
Debit Credit Debit Credit
Anticipated
Payments
Cash
Clearing
Accounts
Payable
Cash
Debit Credit
Anticipated
Payments
Cash
Clearing
39

40. Finance Training Agenda – Accounts Payable
Cash Management
Master Data
40

41. Cash Management – Master Data
Parameters
 Parameters
 Payments by Company Group
 Select Only Finalized Invoices
 Payment Differences Tolerances
41

42. Cash Management – Master Data
Payment Authorizations
Payment Authorizations
Used to limit check writing to selected user along with
putting limits on size of payment.
42

43. Cash Management – Master Data
Payment / Receipt Methods
Payment / Receipt Methods
 Separate Methods for:
Receipts
Payments – Checks
Payments – ACH
 Checks Printing:
 Multiple Checks
 Single Check w/Remittance
 Single Check with overflow
to Remittance.
43

44. Cash Management – Master Data
Check Master
Check Master
 By Payment Method
 Check Status:
 Not Used
 Test Print
 Void
 Damaged
 Anticipated
 Rejected
 Paid
44

45. Cash Management – Master Data
Check Master
Reasons
 Can be Added
to Payments
 Valid for 1099-MISC
 Yes / No
45

46. Finance Training Agenda
Cash Management
Processing
46

47. Cash Management – Processing
Supplier Payments
Supplier Payments
 Based on Payment Batches
 Created by session and modifiable.
 Supplier total can not be negative.
 Can be used for EFT or Checks
 Use separate batches for EFT and Checks
 Use different payment Methods.
 Payments can be easily voided or rejected until cleared.
 Payments not in GLD until Posted.
 Automated clearing available with Bank Electronic file.
 Requires set up of EBS import specifications.
 Still requires manual processing for problem checks.
47

48. Cash Management – Processing
Supplier Payment Process
Documents
Select invoices for
payment
Payment advise
Trade Note
process
Automatic payment
process
Documents
File
Electronic
bank statement
Automatic
matching
Manual
bank statement
Reconcile
Change Trade Note
step
Open entries
48

49. Cash Management – Processing
Select Invoices for Payment
Select Invoices
 Create Batch to pay
 May be modified
 Not Selected
 Prints a report of
invoices NOT selected.
Helpful Hint:
You should print the
“Not Selected” report to
see what is still open.
49

50. Cash Management – Processing
Payment Advice
Payment Advice
 Ability to modify
Payment Batch before
paying invoices.
50

51. Cash Management – Processing
Process Payments
Process Payments
 Compose Payment
 Assign Banks to Payment
 Audit Payments
 Create Payment Orders
 Checks
 ACH
 Print Remittance Letters
 Post Payments to GLD
 By Payment Batch
51

52. Cash Management – Processing
IRS 1099 Reporting
IRS 1099 Reporting
 Generates output for filing
1099s with IRS
 Can be either:
 Paper
 Electronic
52

53. Cash Management – Processing
Customer Payments
Customer Payments
 Manual process uses same session as Journal Vouchers
 Uses “Cash” Transaction Type
 Normally uses a “Checksums” for batch.
 Automated process available with Bank Electronic file.
 Requires set up of EBS import specifications.
 Used with Lockboxes
 Still requires manual processing for unmatched receipts.
53

54. Cash Management – Processing
Customer Payments
Physical Receipt of Cash, Check, etc.
Manual Receipts Direct Debits
OR $
Business Partner’s bank
is automatically charged
for a selected sales
invoice
Cancel Open Invoices
Advance Receipts
Receipts not specifically
Allocated to Open Invoices
Non-BP Related remittance for
Sundry Sales (Trans posted
Directly to GL)
54

55. Cash Management – Processing
Customer Payments
To process manual bank reconciliation entries, available Transaction
Types in the Bank Transactions (tfcmg2100m000) session include:
Receipt Transaction - The Bank
transaction type to process customer
receipts and payments for credit notes
State Bank & Trust
S T A T E M E N T
Deposits
7/12/99 $18000.00
7/18/99 $27889.77
Checks
7/23/99 $ 9987.00
7/30/99 $33887.65
7/01/99
7/06/99
7/07/99
7/07/99
7/08/99
7/09/99
$ 60.00
$ 14002.40
$ 232.09
$ 115.50
$ 1160.45
$ 22.00
325432
325438
325447
325448
325449
svc chg
55

56. Cash Management – Processing
Customer Payments
Journal - The Bank transaction type to process charges directly to the
general ledger (e.g., bank costs, bank service charges, and other
sundry charges)
Receipt Reconciliation - The Bank transaction type to process
anticipated receipts actually received by the bank
Unallocated Receipt - The Bank transaction type to process an
unallocated receipt not linked to an invoice. These amounts can be assigned
to open entries now (Assign Adv./Unall. Receipt under Specific), or at any
later date
Unallocated Receipt - The Bank transaction type to process an
unallocated receipt not linked to an invoice. These amounts can be assigned
to open entries now (Assign Adv./Unall. Receipt under Specific), or at any
later date
56

57. Cash Management – Processing
Customer Payments
Unallocated and advance receipts:
Create open cash amounts on the partners account after
they have been reconciled to the bank statement.
Advance receipt:
• Tax can be calculate tax on Advance Receipt.
Unallocated receipt:
• Tax can NOT be calculated on Unallocated Receipt.
57
Choosing which type of receipt to create depends on the business
situation and the local tax legislation requirements.

58. Review Questions and Answers
58

59. Cash Management
Training Exercises
5
Training Exercise:
 Create Payment Batch
 Edit Payment Batch
 Process & Post Payment Batch
 Finalize Batch
 Review in Transactions in ACP Dashboards

60. For more info: Email dan.aldridge@i-app.com
Twitter @danaldridge1, @iapperp
Website: www.inforln.com/wp