Oracle Project Accounting:

What is PA
AutoAccounting and How
Does it Work?
Suzana Ferrari
DARC Corporation
Presentation Agenda

How Does AutoAccounting Work?
Accounting Concepts and Terms
Implementation Planning
Setup Steps
Troubleshooting
Q & A
Overview
Projects: AutoAccounting
Part of Project Accounting Implementation Setup
One of the last setup steps in Projects
AutoAccounting implementation depends on the
Projects application setup, hence accounting
requirements should be determined before starting the
Projects setup

Determines General Ledger Accounts
How Does It Work?
Project Accounting Processes
When processes are run in Projects, the defined rules
determine which valid account combinations are
debited and credited.
AutoAccounting Rules and Rules Assignment
Users define and assign rules
Accounting Flexfield Structure
Account combination is based on values setup in the
accounting flexfield structure
AutoAccounting Concepts and
Terms

AutoAccounting Rules
AutoAccounting Parameters
AutoAccounting Functions
AutoAccounting Transactions
AutoAccounting Assignments
AutoAccounting Rules
Setup>AutoAccounting>Rules
By setting up the rules in Project Accounting, we
define valid value for each accounting flexfield
segment

Assigning AutoAccounting Rules
Setup>AutoAccounting>Assign Rules
For each accounting transaction within the accounting
function, the defined accounting rule is assigned


AutoAccounting Functions
Function names are predefined types of transactions

AutoAccounting Function
Transactions
A Function can have more than one accounting
transaction, affecting different General Ledger
account

Example of Function Transactions
Contract, All
Contract, Private, Billable
Contract, Private, Non-Bill.
Contract, Public, Billable
Contract, Public, Non-Bill.
Indirect, All
Indirect, Private
Which Process Invokes Which
Accounting Function?
Example:
PRC: Distribute Labor Costs
Calculates the cost based on the employee labor cost
rate, and then uses Labor Cost Accounting to debit the
appropriate account, based on enabled function
transaction rule assignment.
PRC: Interface Labor Costs to General Ledger
Uses Labor Cost Clearing Accounting to credit the
labor account and offset the debit side entry.

AutoAccounting Setup for Labor
Costs
Function Labor Cost Account
AutoAccounting Implementation
Planning

Test Environment Setup and Testing

Production Implementation

Controlled Roll Out
AutoAccounting Implementation
Planning

AutoAccounting implementation depends on the
Project Accounting application setup, and accounting
requirements should be determined before starting the
Project Accounting setup
Determine type of accounting transactions taking
place in Projects
Gather and document requirements

High Level Requirements
In absence of Projects, what determines which GL
account is impacted?
Example, where are the costs charged?
Which accounts are valid revenue accounts?
Which GL departments (Organizations in PA) are
enabled to have revenue and cost of sales?
Are our revenue accounts based on type of business
sold?



Gathering and Documenting
Requirements
Documenting the Projects business requirements and
accounting impact of the business requirements
The AutoAccounting rule setup requirement is to
have a rule for each accounting flexfield segment
The rule can be defined as constant, lookup set, or
SQL select statement
The simplest way to start is to create spreadsheet with
two columns: Business Requirement and Accounting
Requirements
Requirements Example
Ability to enter billable labor
DR WIP Account & CR Labor Transfer
Employee
Ability to enter non billable labor
Entry needs to debit and credit same account since
labor is non-billable should have no P&L impact
Revenue / COS
Each task has a service type: Accounting depends on
service type assigned to a task
Constant
Simplest
Intermediate Value Lookup Set
Flexible
Based on a Parameter

SQL Statements

Minimize Maintenance
Descriptive Flexfield (DFF)
LOV Contains Values Setup in General Ledger
Provides Flexibility
Incorrect Select Statements Will Cause Performance
Implications
Intermediate Value SQL Statement
Based on values in DFF on Organizations
AutoAccounting Setup Sets

Define Lookup Sets
Navigation: Setup>AutoAccounting>Lookup Sets
Define Rules
Navigation: Setup>AutoAccounting>Rules
Assign Rules
Navigation: Setup>AutoAccounting>Assign Rules
AutoAccounting Testing
Test Environments

Developing Test Scripts

Sufficient Testing Test, test, test!!!

Controlled Roll Out
AutoAccounting Reports
IMP: AutoAccounting Functions

IMP: AutoAccounting Rule Definitions

IMP: AutoAccounting Lookup Sets

IMP: AutoAccounting Segment Rule Pairings
AutoAccounting Troubleshooting
Incorrect SQL Statements
Invalid Lookup Set Value
Invalid Account Combination
Incorrect Rule Assignment
Cross Validation Rules
Allow Dynamic Inserts for Accounting Flexfield is
Disabled

Conclusion
Very Flexible
Complex
Key to Successful Implementation
Understanding How it Works
Planning
Requirements Gathering / Mapping
Testing
Questions
Thank You!
www.darc.com 312-895-6035