Month End Process

Here's our procedure...

I am not permitted to attach files to websites by my firewall.  But yes, I can share our month end setups in a Word doc - kvila@mhs.net

The Month End Close steps are:
AP closes. No invoices are keyed in until procurement closes.
1. PO135 in update mode.
2. PO199
3. Release all IC documents.  (We usually do this overlapping with the steps above)
-- IC25 - release everything it will let me release
-- IC222 - report on anything that did not release. Send to the inventory directors.
-- Delete remaining unreleased documents.
4. IC130
5. IC190
6. IC199
We also run an IC234 and save it and the PO135 report in a network folder for the GL folks.

The job parameters are print screened in the word doc along with some other monthly housekeeping items.

Here is what we follow:
1. IC222 to see unreleased docs.
2. IC24 - Release docs or delete them.
3. Run IC222 again.
4. PO190 - To Date parm is Month you are closing.
5. IC130 - Post Through Date - Month you are closing,
6. PO135 - Recieved, Not Invoiced report. GL Posting Period - Period you are closing.
7. PO199 - Period - Period you are closing, Year - C, Allow Unreleased PO Reciepts - Y, RNI Update Required - Y.
8. IC190 - (if last period of FY, enter all period end dates for the next FY)
9. IC199 - Closes the subsystem period.
10. Notify AP that IC Period 'x' is now closed and provide PO135 report. Save to network.

One more piece...
11. Run IC234 to obtain inventory valuation for our Distribution dept. Send report and save to network.
12. Run PO134 to cath any receipts that havent been printed.

We were told when we implemented Lawson to close AP before IC in order to post invoice cost adjustments to inventory in the correct period, especially if you don't run IC130 daily.

Bev- you can schedule PO134 to run each night. Then you can eliminate that step in your month end process.

Thanks everyone. This is most helpful!!

Just in case if you have accidently ran IC190 more than once then for each run it will close the open IC period. You can use IC01.2 to change the period status to 'open' if such scenario occurs.

Steps we run............
Accounting and HR run the steps 1-7
MM then does steps 8 and ( PO230, IC130)
AP then does step 10 ( AP175)
MM then does steps 11-13 ( PO135, PO190, PO199)
AP and HR then do steps 14-22
MM then does steps 23-27 ( IC222, IC25 if needed, IC130, IC190, IC199)
then MM is done.

We then run and keep these reports:
IC234, IC233, IC282, IC227, PO130, MM280

Liz- I'm curious how HR fits into your closing process. They're not involved in ours.

I'm curious to know if anyone has a hard date that they run their month-end close process. Our AP department used to have some tolerance built in (needed to be run by the 3rd or 4th day of the month). I always assumed that tolerance was built in because the 1st of the month does not always fall on a business day when staff are here. It could be a weekend/holiday.

 

Now they are pushing to get ME close done on the1st of the month, first thing in the morning. They are complaining because they see postings from the 1st of the month in the month end financials impacting the balances.

 

Do postings occur on the 1st of every month, even if the 1st does not fall on a business day?

 

Trying to understand the Financial piece.

I didn't think that was an issue because the posting date for transactions occurring on the 1st is after the closing control date. If your closing date is the 30th/31st, transactions on the 1st should post to the next month. So those shouldn't be included. That's my logic but I could be wrong.

Our policy is to close on the last business day of the month.

Thanks Jon,

I do have another question. When you say the closing control date, is that something that is built in Lawson somewhere or do you just mean the last business day of the month? In other words, does there or is there a setting in Lawson for the 30th or 31st day of the month for financial purposes?

I would think (or I thought/assumed) that anything that had a date of the 1st would post for the following month as well, but they are saying that because the process was run late on the 1st, ​they are seeing several instances that within September financials that there are October 1st postings that are impacting the balances.

The only way to resolve this would be to suggest that month end be processed on the last business day of the month. Any other place I've ever worked ALWAYS ran month end on the last day of the month.

That just leaves the question of, what if the last day of the month falls on a weekend or a holiday?​​​​​​​​​​

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IC01.2 Period End Dates determines the date range for each period. Regardless of the date you actually close, only transactions with a date that falls within the period you're closing should hit the GL in that period. Anything after that date should hit the GL in the following period.

From the Form Help for IC130 General Ledger Interface
...If the posting date is earlier than the current general
ledger period, transactions backpost if the appropriate general ledger
period is open. Otherwise, transactions post to the current general
ledger period. If the posting date is later than the current general
ledger period, transactions remain on the general ledger file until
the appropriate general ledger period becomes current....

Perhaps it's something your finance people are doing. I don't know the GL closing process.

Do you have IC activity on weekends and holidays? If so you should run EOM on the last day of the month after activity has ceased. If not, run EOM at the end of the last business day of the month.

We run our ME closing jobs in a different order than you do. Not sure if our process is correct or if that would matter.

We run in order IC222, IC24, then IC222 again, PO190, IC130, PO135, PO199, IC190, IC199, IC234, PO134.

Our IC01.2 is set to the last day of the month.

I sent our GL department the info you sent me. I don't know how 10/1 transactions would end up in the 9/30 period. There have been plenty of of times and will continue to be times where the first business day of the month will NOT fall on the first. They have never said anything in the past about the following month's transactions showing up in the ME close period.

Anyway, thanks for your help Jon!!

 

Does your AP close before you run IC130?

I asked and they replied:

AP doesn't start their close until after Purchasing closes.  Do you run the IC130 before you tell AP that Purchasing is closed?

AP runs the JW740 (Matched Invoice-after close) to look for duplicate postings, the AP175 (Invoice Distribution Closing), AP195 (Period Closing) and AP136 (Invoice Accrual Reconciliation).

 

And YES, we run IC130 before we tell AP that the GL for the period processed as been closed. We run the entire process and then we email them that the period has been closed and then send them the reports.  

We close PO then AP then IC. This is the order that Lawson recommends. This is how it was explained to us when we implemented Lawson in 2003: AP175 may create cost adjustments to inventory if the invoice cost is different than the po cost or if any AOC is spread to the PO lines. And those CA transactions need to be posted to the GL via IC130. So if you close IC prior to AP those transactions will post in the next period.

But I suppose if you close on the 1st of the month and you're already running AP175/IC130 nightly those cost adjustments that occur on the last day of the month will have already posted correctly.

I am Closing the end of Month I get this error message on IC190. " First new date not greater than last current date "
can you help please

Does anyone have a step by step month end process for AC and GL of Infor version 9. I work for the city.