1. Table of contents
2. Objective and Scope
This operational procedure (OP) demonstrates processes and procedures to execute Accounts Receivable activities for Japan customers. This OP provides instruction for users to perform recurring activities and reacting expected scenarios.
This operational procedure (OP) applies for Accounts Receivable activities of entities:
Solvay Japan, Ltd (7418)
Solvay Nicca, Ltd (7621)
Anan Kasei Co., Ltd (6110)
Nippon Solvay KK (0360)
Solvay Specialty Polymers Japan KK(5846)
3. Definitions
- SBS: In the current document, "Solvay Business Services" will be replaced by its abbreviation "SBS".
- AR BO: Accounts Receivable Back Office
- RtR FO: Record to Report Front Office
- OP: Operating procedure
Scope
Japan
ERP
References
Attachments
Process Flow version (shown in the process)
4. Process Flows
4.1 Pro-Forma Invoice
After get informed of "Advance Payment" from RtR FO, AR BO enter posting.
Pro-Forma Invoice means customer made payment before billing generate (Advance payment)
Step:
1. Enter Transaction code: F-29
2. Enter data
3. Simulate
4. Save
After receiving Billing no. from CA (Customer Assistant), AR BO clear open item.
Step:
- Enter Transaction Code: F-32
- Put the data , Customer account code, Company code, Period, Currency
- Process open items then Choose invoice and Advance incoming document.
- Simulate
- Save
4.2 AR Clearance – Payment Received
Step:
1. On Daily basis, AR BO retrieves Bank Statement via BizSTATION.
Follow below illustrated steps.
2. AR BO match AR Items in RCS
2.1 Check Corresponding AR in RCS. Enter Transaction Code: FBL5N,
2.2 Then double click invoice to check the invoice was assigned to warp or not, if it's yes we will post Mis-Direct as Global process but if it was not assigned to warp, we will post as the normal incoming process as (3.) screen below:
3. Clear related AR open items using Transaction Code: F-28
3.1 If there is a discrepancy, clear open items and enter different amount.
4.3 Customer Payment – Promissory Note
Step:
1. RtR FO receives Promissory Note, scan and email to AR BO. For Delivery Advice proceed to issue Promissory Note receipt.
2. AR BO match Promissory Note amount with AR balance for same Promissory Note maturity & AR due date using Transaction Code: FBL5N
2.1 Put remark of Promissory Note in "Text" of each billing data as a confirmation of receipt of Promissory Note
3. AR BO post Promissory Note in RCS, enter transfer journal from AR to Promissory Note without AR Clearing.
Transaction Code: F-21 – Enter Transfer Posting
3.1 Input gross amount of Account Receivable
3.2 Input maturity date in the column of "Bline date"
3.3 Input Posting key Dr / posting key Cr
3.4 Input total amount of promissory Note
3.5 Input Text
3.6 Input Due on
3.7 Input Issue Date (payment date)
*If there is several number of P.Note, need to input each detail.*
3.8 Input mailing charge (ex. 500 JPY)
*If it is deducted from total AR amount*
3.9 Simulate
3.10 Save
4. RtR FO issue Receipt of Promissory Note.
5. RtR FO print P. Note receipt, affix revenue stamp and company seal on P. Note receipt. Mail endorsed P. Note Receipt to customer.
6. RtR FO raise collection request to bank
7. On Promissory Note maturity, RtR FO notify AR BO on AR clearance for P. Note
7.1 AR BO check Bank Statement in BizSTATION (refer to flow#1.4 AR Clearance)
7.2 AR BO clear related AR open item using Transaction Code: F-28 – Post Incoming Payment with Special G/L indicator "W".
8. AR BO update P. Note details & month end balances in excel sheet (to be provided by RtR FO)
9. AR BO reconcile month end total balance of Promissory Note (excel) with GL Account in RCS #41100200 AR Trade Bill of Exchange.
* to be confirmed by Finance manager with balance detail by excel sheet
Promissory Note settlement (at the maturity date)
10. Clear AR open item using F-28 with special G/L indicator “W” (refer to AR process flow 4.4 AR Clearance – Payment Received)
4.4 AR / AP Offset
Step:
1. CA email AR/AP offset request form to AR BO by email
2. AR BO process offset in RCS by using Transaction Code: F-27
3. Enter Transaction Code : F-41 to offset AP side
4. AR BO inform RtR FO to generate receipt for the AR/AP Offset and send to customer
