Re: Looking for ideas -- MAPICS-L

Meyno, I assume, from your posting, that your "profit centers" are similar
product groups--not production facilities. If this is so, you can use the
item class, item accounting class or item number to link items to profit
centers. If this is not so you have a very different ballgame, please send
another post.

Here are some ideas:

1. Work backwards. Start with the profit center P&L reports that you want to
produce, then set up a chart of accounts to support the P&L, and finally set
up the G/L interface to charge activity to the right accounts.

2. In my view the item class should be your first choice because it is
supported by a code file. If manufacturing has already claimed this field
and is using it in a way that does not mesh with your profit center plans,
then the item accounting class is your second choice.

3. You can use Item Number to join IM History (IIMHIST) to the Item Master
(ITEMASA) to get a transaction's item class or item accounting class.

4. Is each profit center responsible for managing its own inventory? If so,
then you might consider having separate warehouses for each profit center
and basing account assignment rules on the warehouse ID.

5. If you have material and sub-assembly items that you use in multiple
profit centers it usually does not pay to identify these items to a single
profit center. You can use the manufacturing order accounting class to
identify manufacturing orders to profit centers. You must enter this code
when you set up the manufacturing order.

6. If you have MAPICS Payroll interfacing to PCC you can charge labor and
overhead to the profit center based on the MO's end item accounting class.
If you do not have this interface, then you can use the same technique to
charge shop activity or backflushed labor ando overhead.

7. You will have to charge AP invoices to profit centers directly. The best
approach is to have the account coding automatically flow from the purchase
requisition, to the PO, and then to the invoice. Remember, the overhead that
you incur in AP is applied to profit centers through your overhead rates.
Any variance between incurred and applied should flow to your profit center
P&L's.

8. Don't forget to set up G/L interface rules in COM. Recording both sales
and cost of sales from COM gives you more ways to match revenue and cost.

9. If you want decent looking P&L's, you need either FRx, ControllerVision
or a ton of Excel spreadsheets.

By the way, I have written three books that might help--"General Ledger
Interfaces Book", "Cost Accounting Happens In MAPICS" and "FRx for
Accountants".  You can order them from www.tenneypubs.com.

Bob Tenney
Bob Tenney Solutions, LLC
MAPICS - FRx - Presence - Crystal Reports
828-526-8976

----- Original Message ----- 
From: "meyno" <meyno@xxxxxxxxxxxxxxxxxx>
To: "MAPICS-L SUBMIT" <MAPICS-L@xxxxxxxxxxxx>
Sent: Thursday, August 21, 2003 4:51 PM
Subject: Looking for ideas


> We are going to set up profit centers in our manufacturing area.  Looks
like
> we definitely want to use the accounting class in the item rev file.
>
> Is any one using this field? All AP & PR are also going to the profit
> center.  We want a P& L statement at the end of the month.
>
> Is the accounting class in the inventory transaction file?
>
> To all,,,,,Thanks, ahead of time.
>
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