Getting Started with PeopleSoft Enterprise Receivables

This chapter provides an overview of PeopleSoft Enterprise Receivables and discusses:

Receivables business processes.
Receivables integration touchpoints.
Receivables implementation tasks.

Receivables Overview

Selling on credit enables a company to maximize sales, yet it also increases the cost of working capital and exposes an organization to additional risk. Effective management of receivables is essential to improve the overall quality of your receivables asset and decrease the cost of working capital for your company.

Receivables enables you to:

Enter and track all of your receivables.
Receive and apply payments.
Manage outstanding receivables enabling your organization to collect money quickly.
Manage payment disputes and deductions that have a negative impact on days sales outstanding (DSO).

Receivables Business Processes

The following diagram lists Receivables business processes. We discuss these business processes in the business process chapters in this PeopleBook:

Receivables business processes

Receivables Integration Touchpoints

To use Receivables to full advantage, it is important to understand the points of integration between Receivables and the other PeopleSoft applications that you have purchased, such as:

PeopleSoft Enterprise General Ledger.
PeopleSoft Enterprise Billing.
PeopleSoft Enterprise Order Management.
PeopleSoft Enterprise Promotions Management.
PeopleSoft Enterprise Purchasing.
PeopleSoft Enterprise Project Costing.
PeopleSoft Enterprise Contracts.
PeopleSoft Enterprise Real Estate Management.
PeopleSoft Enterprise Payables.
PeopleSoft Enterprise Cash Management.
PeopleSoft Enterprise Customer Relationship Management (CRM) applications.

Because applications share information, you must plan to work closely with the implementation teams that install other PeopleSoft applications to ensure that PeopleSoft provides the full functionality and efficiency that your company requires.

We discuss integration considerations in the implementation chapters in this PeopleBook. Supplemental information about third-party application integrations is on the PeopleSoft Customer Connection website:

This diagram shows the integration of Receivables with other PeopleSoft applications.

Receivables integrations

General Ledger

Receivables sends accounting entries to General Ledger through the Journal Generator Application Engine process (FS_JGEN).

Billing

If you have Billing, you enter invoices and credit memos in Billing and interface them to Receivables. You can choose to have Billing create the accounting entries or to have Receivables create them. You can drill down to see invoice details for an item in Billing.

Order Management

Receivables receives information that is entered in sales orders and interfaced to Billing. Receivables enables you to drill down to see sales order details from an item. Receivables also receives claimback items directly from Order Management, and sends Order Management notification when the open balance for a claimback changes due to payment or maintenance activity. In Order Management, you use the claim management workbench to send the claimbacks to Receivables and reconcile payment activity for the claimbacks.

The Load Cash Drawer Receipts Application Engine process (CDR_LOADPMT) updates the payment staging tables in Receivables when you enter payments and deposits for orders using the Cash Drawer feature. The Payment Loader Application Engine process (AR_PAYLOAD) updates the payment application tables with the payment data.

Purchasing

Receivables receives vendor rebate claims and vendor rebate reversals directly from Purchasing, and sends Purchasing notification when the open balance for a vendor rebate item changes due to payment or maintenance activity. In Purchasing, you use the claim management workbench to send the vendor rebate claims to Receivables and reconcile payment activity for the claims.

Promotions Management

You create customer promotions in Promotions Management. When a customer takes a promotion, you enter a customer claim for a promotion and create a credit memo to offset an authorized deduction. The credit memo is interfaced from Billing so that you can apply it to the deduction in Receivables. You can drill down to see promotions details for a promotion that is associated with a deduction item. If you choose to write off an authorized deduction that is associated with a promotion, Promotion Management can update the fund for the promotion.

Project Costing

When you enter pending item information in Receivables, you can also enter information that is picked up by Project Costing ChartField values. A project manager using Project Costing can review outstanding revenue to keep complete financial control of a project. Resources rows that you enter in Project Costing can be interfaced to Billing to create invoices, which become items in Receivables by using the billing interface.

Contracts

Billing plan lines that you enter in Contracts are interfaced to Billing to create invoices. These invoices become items in Receivable by using the Billing interface. You can drill down to see contract details for an item in Receivables.

Real Estate Management

Bills in Real Estate Management are sent to Contracts and then these bills enter Receivables through the Billing interface.

Grants

Invoices can originate in Grants and then be interfaced through Contracts and Billing into Receivables.

Payables

The refund process in Receivables adds rows to tables that are used by Payables to build a voucher.

Cash Management

Cash Management integrates with Receivables through the Treasury Netting Center. You must use Cash Management with Payables to use the bilateral netting functionality that offsets open items with open vouchers in Payables. This functionality is useful when you have customers that are also vendors.

Cash Management also provides the Financial Gateway feature, which enables you to communicate directly with the bank for direct debit payments. Financial Gateway creates the electronic funds transfer file (EFT) after receiving the direct debit information from Receivables, and sends the transmission to the bank. It also provides acknowledgement statuses to Receivables from the bank.

CRM

CRM integrates with Receivables to obtain financial information for a customer. The CRM 360-Degree View displays the information under nodes in the 360-Degree View tree. CRM provides the GET ACCOUNT RECEIVABLES FOR 360 DEGREE VIEW enterprise integration point (EIP) to request the information. CRM sends a request application message (AR_CRM_REQUEST) to Receivables requesting information for a specific setID, customer, and date range. Within the request application message, CRM may request up to nine different data sets:

Customer status and balances (AR_STATUS_REQ)
Payments (AR_PAYMENT_REQ)
Dunning notices (AR_DUNNLTR_REQ)
Statements (AR_STATEMNT_REQ)
Follow-up notices (AR_FOLLWLTR_REQ)
Disputes (AR_DISPUTES_REQ)
Deductions (AR_DEDUCTNS_REQ)
Conversations(AR_CONVERS_REQ)
Overdue charges (AR_OVERDUE_REQ)

Receivables sends a response application message (AR_CRM_RESPONSE) back to CRM, returning as many data sets as are requested. The CRM 360-Degree View displays summary information for those requested data sets. The user can click on the links to drill down and view more detailed financial information in Receivables.

See the section on managing enterprise integration for CRM in the PeopleSoft Enterprise CRM Application Fundamentals PeopleBook.

Receivables Implementation

PeopleSoft Enterprise Setup Manager enables you to review a list of setup tasks for your organization for the products that you are implementing. The setup tasks include the components that you must set up, listed in the order in which you must enter data into the component tables, and links to the corresponding PeopleBook documentation.

Receivables also provides component interfaces to help you load data from your existing system into Receivables tables. Use the Excel to Component Interface utility with the component interfaces to populate the tables. This table lists all of the components that have component interfaces:

Component	Component Interface	Reference
Account (GL_ACCOUNT)	ACCOUNT_CF	See Adding Account Values.
Alternate Account (ALTACCT)	ALTACCT_CF	See Using Alternate Account.
Operating Unit (OPERATING_UNIT)	OPER_UNIT_CF	See Adding Operating Unit Values.
Department (DEPARTMENT)	DEPT_CF	See Adding Department Values.
Project ID (PROJECT)	PROJECT_CF	See Adding Project Values and Grant Values.
Product (PRODUCT)	PRODUCT_CF	See Adding Product Values.
Fund Code (FUND_DEFINITION)	FUND_CF	See Adding Fund Code Values.
Statistics Code (STATISTICS_TBL)	STATISTICS_CODE	See Adding Statistics Code Values.
Class Field (CLASS_PNL)	CLASS_CF	See Adding Class Field Values.
Budget Reference (BUDREF_PNL)	BUDGET_REF_CF	See Adding Budget Reference Values.
Program Code (PROGRAM_DEFINTION)	PROGRAM_CF	See Adding Program Code Values.
Scenario (BD_SCENARIO)	BUDGET_SCENARIO	See Adding Scenario Values.
Chartfield 1 (CHARTFIELD1)	CHARTFIELD1	See Adding Values for Expansion ChartFields 1, 2, and 3.
Chartfield 2 (CHARTFIELD2)	CHARTFIELD2	See Adding Values for Expansion ChartFields 1, 2, and 3.
Chartfield 3 (CHARTFIELD3)	CHARTFIELD3	See Adding Values for Expansion ChartFields 1, 2, and 3.
InterUnit Template (IU_INTER_TMPLT)	IU_INTER_TMPLT	See Defining Interunit Templates.
IntraUnit Template (IU_INTRA_TMPLT)	IU_INTRA_TMPLT	See Defining Intraunit Templates.
InterUnit Pair Maintenance (IU_INTER_PR_BASIC)	IU_INTER_PR_BASIC	See Interunit Pairs.
Ledgers for a Unit (BUSINESS_UNIT_LED)	EM_BUS_UNIT_LED	See Defining Ledgers for a Business Unit.
Value Added Tax Code (TAX_CODE_VAT)	TAX_CODE_VAT	See Defining VAT Codes Using the Value Added Tax Code Page.
VAT Accounts by Business Unit (TAX_BU_CODE_VAT)	TAX_BU_CODE_VAT	See Defining VAT Accounts by General Ledger Business Unit (Optional).
VAT Entity (VAT_ENTITY_ID)	VAT_ENTITY_ID	See Setting Up VAT Entities.
Vat Defaults CI Component (VAT_DEF_CI)	VAT_DEF_CI	See Establishing VAT Defaults.
Bank Branch Information (BANK_BRANCHPNL)	TR_BANK_BRANCH_CI	See Defining Bank Information.
Team Member Types (MEMBER_TYPE_TABLE)	MEMBER_TYPE_TABLE_CI	See Setting Up Customer Support Personnel.
Team Member Personal Data (MEMBER_PERSON1)	MEMBER_PERSON1_CI	See Setting Up Customer Support Personnel.
Support Team Members (TEAM_MEMBER_TABLE)	TEAM_MEMBER_TABLE_CI	See Setting Up Customer Support Personnel.
Customer Group Table (CUST_GROUP_TBL)	CUSTOMER_GROUP	See Establishing Customer Group Tables.
Sales - Use Tax Authority (TAX_AUTHORITY)	TAX_AUTHORITY	See Defining Sales and Use Tax Authorities and Codes.
Sales - Use Tax Code (TAX_CODE)	TAX_CODE_CI	See Defining Sales and Use Tax Authorities and Codes.
Contact Info (CONTACT_INFO)	CONTACT	See Setting Up Contacts.
General Information (CUSTOMER_GENERAL)	CUSTOMER_MAIN_CI CUSTOMER_BILLTO_CI CUSTOMER_SOLDTO_CI CUSTOMER_SHIPTO_CI CUSTOMER_MISC_CI	See Adding General Customer Information.
User Preferences (OPR_DEFAULT)	OPR_DEFAULT_FIN	See Defining Cross-Application User Preferences.
Unit Security by Perm List (SEC_BU_CLS)	SECURITY_BU_CLS	See Defining Row-Level Security.
Unit Security by User ID (SEC_BU_OPR)	SECURITY_BU_OPR	See Defining Row-Level Security.
Ledger Security by Perm List (SEC_LEDGER_CLS)	SECRUITY_LEDGER_CLS	See Defining Row-Level Security.
Ledger Security by User ID (SEC_LEDGER_OPR)	SECURITY_LEDGER_OPR	See Defining Row-Level Security.

Other Sources of Information

In the implementation planning phase, take advantage of all PeopleSoft sources of information, including the installation guides, data models, business process maps, and troubleshooting guidelines. A complete list of these resources is in the preface of About These PeopleBooks, with information on where to find the most up-to-date version of each.