Microsoft Great Plains implementation: intercompany processing – overvew for consultant

 by: Andrew Karasev

Microsoft Business Solutions Great Plains is feasible option for large corporation, if it is looking for budget solution. Microsoft Great Plains has MS SQL server as it’s database platform, which makes it scalable from the data side. When you are dealing with corporation, you may find the situation, when it has multiple subsidiaries. In this small article we will give you a hint on how intercompany processing module works in Great Plains

Select System->Intercompany, then choose originating company ID and for each company you plan to have intercompany transaction, setup Originating and Destinating companies due to and due from account. This solution seems to be too simple on the first glance. It really is simple – it should allow you simple balance sheet consolidation (you just need to eliminate due to and from accounts in each company you consolidate).

Let’s now look at transactions. Intercompany transaction are enabled on General Ledger and Accounts Payable modules level.

• GL. Open GL transaction, check intercompany checkbox, when entering transaction debit and credit lines, select the company, save transaction in the batch and print batch edit list. You should realize that system automatically used due to/from accounts to balance transaction in the destination company.

• Accounts Payable. Open Accounts Payable transaction, check intercompany checkbox, enter transaction as normal, then open distribution and change company in PURCH distribution type. Save transaction to the batch and print batch edit list. You should see that system used due to/from accounts to balance transaction in the proper company

• Multicurrency. Originating and destination companies should have the same functional currency for intercompany transactions. Multicurrency has more complex effect on intercompanies transactions and is outside of the scope of this small article.

Happy implementing! You can always appeal to us to help you with your system. Give as a call 1-630-961-5918 or 1-866-528-0577, help@albaspectrum.com