Accounts Payable with Funds Management Overview

1. Accounts Payable with Funds Management Overview SAP Best Practices for Public Sector US V1.603

2. Purpose To create expenditure transactions, with various levels of commitment, without the use of Logistics-Materials Management Benefits This scenario supports the processing of non-goods receipt related expenditure transactions with incremental levels of budget consumption. Scenario Overview – 1 Purpose and Benefits:

3. Key process flows covered Define Users for Release of FI Invoice Workflow Business Processes Accounts Payable Two-step Vendor Invoice creation : Document parking & Document posting Workflow for approval and posting of parked invoice documents Posting a Credit Memo with Reference to the Invoice Workflow for approval and posting of parked credit memo documents Posting Payments Using the Payment Program Posting a Vendor Invoice Automatic payment with the payment program Manual Bank Statement Processing Manual Bank Statement Encash Check General Business Processes Displaying a Document Displaying and Changing Line Items Displaying Balances Vendor invoices with reference to Commitment (w/o workflow) Funds reservation/ funds commitment/invoice Workflow for approval and posting of parked invoice documents Scenario Overview – 2 Purpose and Benefits:

4. Required EhP3 for SAP ECC 6.0 Business Workflow Funds Management FI-AP Organization roles involved in process flows Financial Invoice Completer Financial Invoice Approver Accounts Payable Accountant 1 Accounts Payable Accountant 2 Bank Accountant Scenario Overview – 3 SAP Applications Required:

5. Workflow users are created to enable the creation of preliminary postings and final postings of the vendor-invoice by using workflow-technique. Vendor-invoices and credit memos are created, completed and posted. The accounting documents are always created in a two-step creation procedure: First, the documents are saved as a parked document, by the employee doing the document data-entry. Second, the parked document is sent to a supervisor for completion (for example, with the correct account-assignment). This is done via workflow. As soon as the parked document is created, the standard (FI-invoice-complete’ -workflow is initiated and a workflow-mail is sent into the assigned supervisor user ID for this workflow task. Finally the completed invoice must be released via workflow. As soon as the supervisor has completed the parked document, the document goes on to the next level: approval for posting into the accounting system. The user ID of the approval person assigned to the standard workflow task: FI-Invoice-approval, receives all completed parked invoices in the workflow inbox, and approves or rejects the invoice. The approval leads to the definitive posting. Rejection leads to a return to the originator of the document. Payment is carried out with the payment program and the manual bank statement is created. In a fifth step, general document-processing activities are explained, such as displaying documents, and document-line-items, making document reversals, making recurring entries, and document clearing. Finally, there is a scenario to create a vendor-invoice based on a manual funds reservation or based on a manual funds commitment. Scenario Overview – 4 Detailed Process Description:

6. Process Flow