Account Structure

In order to set up the subsystem, the user must have a thorough understanding of the BusinessPlus account structure, organization key and Object code. Effective use of Project Allocation requires a specific part set up in the job ledger. Three specific JL organization key parts and one object group code must be defined and included in the structure.

You must use Project Allocation to create the job ledger organization key or you will get an error message stating the key already exists.

Project Setup / JL Account Creation

The following are several key points of the BusinessPlus, organization key/object code structure as it relates to project definition in the job ledger:

• The job ledger structure is identical to the general ledger structure consisting of two separate identifying parts. They are referred to as the organization key, and the object code.
• While on the general ledger side of each unique organization. key and object code combination is used to identify a particular GL account.
• On the job ledger side each unique combination is used to identify a particular project, and as much detail about the project as the user wants to define.
• The organization.key is created by identifying up to eight parts generally arranged in a hierarchy- type structure. The Project Allocation system requires at least three specific parts consisting of project, sub-project, and funding source. Additional parts can be used (up to 8 total), to further define the types of projects depending on user needs. Examples of other possible organization.key part labels are: location, activity, and manager.
• After defining all of the organization.key parts, the next step is defining all the possible object codes. Again, this is entirely dependent on the user and can be structured to record any level of detail required by the user.
• You must use the following organization.key parts:
  • PROJ = Project
  • SUBP = Subproject
  • FSRC = Funding Source

Do not fill in coded values for the parts PROJ, SUBP, or FSRC because Project Allocation will fill those in automatically. You must use the object code group of Phase. There may be additional choices for user defined for the organization key parts and the object code groups. Try to make the choices as soon as possible and certainly prior to the actual entry into Project Allocation.

Transactions Coded in BusinessPlus

To obtain the desired results from BusinessPlus, the account structure provides four separate categories to classify, code, and record each transaction.

The account structure codes can be understood and remembered easily if you keep in mind this simple example:

Who spent what, why, and where did they spend it.

The first two codes can be thought of as base codes organization key, since they are basic to financial reporting, recording, and reporting for organizational and budgetary control.
The first base code organization key has been labeled Who - since it identifies funding sources and organizations sections that collect revenues, encumber, or expend funds.
The second base code defines What is being collected or spent. This is the account or object code used to record balance sheet, revenue, and expenditure items.
The other two codes can be thought of as extended codes, since they offer additional capabilities, beyond the base codes, to track revenues and expenditures across organizational lines, tying to the job ledger.
These two extended codes identify Why and Where revenues were collected, or expenditures were made.
The first extended code specifies Why funds (for activities, projects, or work orders) were collected or spent JL organization key.
This BusinessPlus code allows broader usage and definition of activities across the entity. Also, you are now able to capture financial information for projects, and funding sources.
The second extended code identifies Where funds were collected or expended. They can be thought of as locations, or geographical categories, such as commissioner and constable precincts, cities, subdivisions, road log numbers, buildings, parks, rooms, and other facilities information.

Defining Codes

The decision to use the job ledger will involve a decision as to what level object code or object group detail the user requires for their organization. Some organizations will need to bring detail to the level of a specific building, vehicle, road, and the type of activity at that site.
When the user is discussing the JL organization key, object code structure, and background parts, they need to reflect on the current reports and budgets to be sure they have considered all required sorting categories in order to duplicate the columns and rows on the reports.
You will need to determine the acceptable coded values for the background parts and anyone entering into the system will need to have a pick list of the acceptable codes.
By using Nucleus security, the user can be restricted to only the organization key and object codes related to their specific departments or divisions.

Chart of Accounts Setup

Decisions on the creation of the Chart of Accounts may require input from the finance department, maintenance department, IS department, project director, and any other department using the job ledger. Sometimes the level of detail desired for entry will be different for each group. Therefore, each department needs to be involved in the decision on the setup of the Chart of Accounts. The configuration will be used in the test database to determine the validity of code choices prior to going live. You will be able to make changes as you make entries into the system and determine additional needs.

There are some organizations, which restrict entry of the account structure and budget information to the Project Allocation subsystem. The user security can be set up to restrict entry by screen or field.