Internal Sales Billing Process

This job aid includes information related to Internal Sales voucher entry (including specific details about the spreadsheet upload process), review/approval of Internal Sales vouchers, monitoring for budget exceptions, and the use of the Internal Sales Default Program code.

VOUCHER ENTRY: JOURNAL VOUCHER

UMNIS is the business unit used when entering journal vouchers for all internal sales activity (excluding U Market) and Auxiliary Services (facilities management, capital planning, etc.). UMNIS business unit will differentiate internal sales suppliers from regular suppliers that are found in UMN01.

There are three ways internal sales vouchers enter the financial system:

  • Manual journal vouchers. Internal sales entities with a low volume of transactions manually enter journal vouchers (as opposed to regular vouchers).See training manual Voucher Entry(starting on page 48) for details.
  • Automated interface (XML).Designed for internal sales entities with a high volume of transactions (e.g., the Bookstore and U Market)and that have the system capabilities to generate a voucher in the required format that can be automatically uploaded into the financial system.
  • Spreadsheet voucher interface (XMLS). The spreadsheet voucher interface process provides an efficient way to enter a moderate volume of internal sales transactions. The spreadsheet voucher interface process requires that the information be in a very specific file format.

Once the spreadsheet voucher interface is loaded in the financial system, it behaves much like a payables voucher that was entered manually. It must be edited, budget checked, and approved.This means that a voucher entered through the spreadsheet voucher interface process must follow all the rules of a manually entered voucher. For example, all combo edit rules must be followed.Voucher preparers (OperID field in the upload file)are responsible for reviewing and resolving upload errors.

VENDOR CODEAND ORIGIN CODE(Cluster Code)

Entering a journal voucher into the UMNIS payables module requires both a vendor code and an origin code.A vendor code can be used by more than one Recharge Center within a college or department (unit) as long as an accounting structure exists that will differentiate the revenues and expenses by Recharge Center (sales activity).

To establish an internal vendor code, the unit conducting internal salessends a completed form UM1793 Internal Sales Vendor Authorization/Change to Internal Sales Office will create the vendor code in PeopleSoft and notify the unit conducting internal sales of the vendor code.

There are two types of origin codes. Methods of obtaining an origin code differ by type:

  • Regular (default) origin codes are predefined and exist for all PeopleSoft accounting entries. Every user has an origin code tied to their userid. When the default origin code is used, all vouchers flow through the approval hierarchy workflow of the unit selling/entering the transactions for approvals.
  • Preapproved origin codes can be obtained by the unit conducting internal sales that have high volumes of vouchers to approve in order to assist with a burdensome approval process. Contact the Internal Sales Office at . The Internal Sales Office will coordinate with Module Support to create a pre-approved origin. The Internal Sales BPOwill determine which units can use pre-approved origins in the voucher interface process.

The Internal/External Sales Office will provide training on the policy and procedures to follow when charging internal customers.

SPREADSHEET VOUCHER TEMPLATE

In order to use the spreadsheet voucher interface process,Recharge Centers must be capable of capturing all the required information from the Recharge Center’s shadow or manual system. The necessary information must contain all the required fields in the format that can be uploaded into the financial system.All new spreadsheet uploads must be tested initially by Module Support for data formatting.

  • One-revenue – Account Codeand Dollars to one-expense – Account CodeAll spreadsheet voucher interface uploads (XMLS) will need to have a one-to-one expense/revenue ratio on each voucher. This means that every voucher must contain two lines.The first line records a revenue chartfieldstring and the second line records a corresponding expense chartfield string.The two lines will net to $0. There can be as many vouchers as necessary, but each voucher must have two lines.See final section of this documentation titled One-revenue to one-expense, for a discussion on vouchers with two voucher lines verses two distribution lines.
  • 254-character description fieldwhen creating the spreadsheet upload, the Recharge Center is responsible for including the 5-Ws in the 254-character description field for each expense line. See the administrative policy Documenting Financial/Accounting Transactions for information on the 5 Ws related to internal sales.
  • Required formatting. Module Support will provide the Recharge Center with a spreadsheet template. The format on the template is the same whether a regular or pre-approved origin is used.
  • Separation of data for sponsored projects. A pre-approved origin code can be used for non-sponsored transactions, which do not require a certified approver to review and approve.

All sponsored transactions$1,000 or more must be reviewed and approved by a Certified Approver. In order for sponsored transactions to route to the appropriate Certified Approver, the Origin Code on the top line of the voucher must be less than 200.Default origin codes that are typically attached to the userid are less than 200.

A spreadsheet voucher template can have both regular and pre-approved origin codes on the same spreadsheet. Each voucher however, needs to have the appropriately identified origin code.

Using a pre-approved origin code helps relieve the system approval process for extremely large volumes of journal vouchers.The use of a pre-approved origin codedoes not relieve the Recharge Center Manager from following the approval requirements related to sponsored transactions.

REVIEW SPREADSHEET JOURNAL

The following rules should be verified prior to sending the spreadsheet to be uploaded:

  • Data entered must start in Column C.
  • Spreadsheets should be created with a one-to-one expense/revenue ratio on each voucher. This will insure that if a bad expense line is loaded into the upload, only the one voucher will fail verses the whole batch.
  • Revenue account code is 500101
  • Expense account code should not be any “Unallowable Expense”
  • Verify sum of “Merchandise Amt” net to $0
  • Expense lines should have Account codes between the range of 720000 to 780199
  • Fund Code must be 1150 or1151 for Revenue lines
  • Analysis Type must be blank
  • If the Project field is populated
  • PCBU must have “UMSPR”
  • Activity field must have “1”
  • If Fund code is in the 3000 range
  • Program code must be blank
  • Cost Share must be blank
  • If Fund code is not in the 3000 range and Project field is populated
  • Program code must be populated
  • Cost Share must be populated with “CS”

SPREADSHEET LOADING

Once the spreadsheet is complete and verified by the Recharge Center, the spreadsheet is emailed to (copy these business analysts inModule , , ).The Internal Sales Office will check for the following items:

  • Lines are entered on a one-to-one basis
  • Fund Codes
  • Account Codes
  • The 254-character field contains information for the 5 Ws

If no errors are found, the spreadsheet is uploaded by the Internal Sales Office into the PeopleSoftAccounts Payable module.

If formattingerrors are found, the spreadsheet is returned with of list of identified issues for corrections.

When the spreadsheet loads correctly, the Internal Sales Office sends an email to the department stating that their file has been loaded and to please check for recycle and pre-edit errors in the following day.

The voucher build process runs overnight to create internal sales vouchers.

REVIEW AND APPROVE TRANSACTIONS

On a daily basis, voucher preparers are responsible for resolving vouchers in an error status. The financial system will not process vouchers in an error status. Most importantly, voucher errors will result in late or no recovery of costs to the Recharge Center.

Recycle status occurs when the system allows the voucher to save but does not enable it to be posted. To resolve these issues, voucher preparers must update the voucher with correct information.

There are many reasons why a voucher may achieve recycle status. Here are some examples:

  • The voucher’s dollar amounts were out of balance
  • A duplicate invoice was detected by the system
  • The voucher contained an invalid ChartField value

To resolve errors, refer to Voucher Entry training manual (page 102 provides a list of errors). To search for recharge center vouchers in error status change the business unit to “UMNIS” (page 60 provides the options for monitoring vouchers; use Search, the Voucher Specialist Workbench, or Accounts Payable WorkCenter.

Pre-edit errors occur on automatic interfaces or spreadsheet journal vouchers when essential information is not within the data.The voucher preparers must update the voucher with the missing information.Common pre-edit errors include:

  • No vendor code
  • No accounting information
  • No Business Unit

To correct Pre-edit errors navigate to Main Menu > Accounts Payable > Vouchers > Add/Update > Quick Invoice Entry. Enter search criteria and click Search.Click on the record you want to review and click on the Review Errors link to see the errors.Click on the Correct Errors line and update as needed.Click ok to return to the Quick Invoice Screen.Update the Build Status from "Error" to "To Build" (or "To Delete" to delete the voucher) and hit save.The voucher will be built (or deleted) until after the Pre-Edit voucher build job is runon Sundayevening.

Approval of non-sponsored journal vouchers is performed by the approver in the unit selling the goods or services. This individual could be the Cluster Director, the Recharge Center Business Manager, or other designated individual. Approval of sponsored journal vouchers $1000 or moreis performed by the Certified Approver of the unit buying the goods or services. Approvers can use the Approvers Worklist, Approval WorkCenter, or navigateto the approval page for each voucher.

If a pre-approved origin was used, the voucher will post to the general ledger without any approval if there are no errors on the voucher.

Once inapproved status, all vouchers will be budget checkedAfter a successful budget check the voucher will run through Voucher Post. These two processes are run nightly.

MONITOR FOR BUDGET EXCEPTIONS

The overnight budget check process can produce additional errors due to the chartfield combination not existing. To resolve the exception, the correct chartfield should be entered.

The voucher preparers are responsible for monitoring for errors and exceptions on a regular basis. Any unposted journal voucher that cannot be resolved and is more than 45-days old should be canceled.

To resolve errors, refer to Voucher Entry training manual (page 102 provides a list of errors).

DEFAULT PROGRAM CODE

Thedefault program code will be available for Recharge Centers to use if a chartfield string fails the budget checking process.After the Recharge Center makes a good faith effort (2-3 days) to get the correct chartfield string, the Recharge Center may use the following logic to account for the activity, as a last resort: Charge to Fund 1026, the DeptID of the failed string, Program 22018, and the Account value appropriate to the original charge. See the link below for more information related to the default program code.

NOTE: The Recharge Center has the option to either change the chartfield string in error to the default program code in EFS or delete the errored voucher in EFS and re-create a voucher using the default program code. This choice is dependant on the Recharge Center and their business process within the Recharge Centers’ system of record.

ONE-REVENUE TO ONE-EXPENSE

All internal sales vouchers that are processed into PeopleSoft using the spreadsheet voucher interface uploads (XMLS) will need to have a one-to-one expense/revenue ratio. This means that every voucher must contain two lines. The first line records a revenue chartfieldstring and the second line records a corresponding expense chartfield string.The two lines will net to $0. This can be achieved through two different methods. It is important to understand each method.

  1. One voucher with two invoicelines:

Each invoice line will have the total dollar amount of the charge.For example there would be one invoice line with a credit of $100 for the revenue and another invoice line with the debit of $100 for the expense.

Both the revenue line and the expense line could contain the 5Ws.

Each invoice line can be independently approved and will follow the “pooled approval” process.

  1. One voucher with two distribution lines:

The invoice line will have two distribution lines. For example there is one distribution line with a credit amount of $100 for the revenue and another distribution line with a debit amount of $100 for the expense.The two distribution lines net to $0 at the invoice line level.

The expense line always has to be the second distribution line.

Only the expense line contains the 5Ws.

Example 1: Single Voucher with the debit and credit transaction each on their own invoice line. Each invoice line has a single distribution.

Example 2: Single voucher with the debit and credit transaction both on one invoice line. The invoice line has two distributions.

Description of the Columns

Description / Column / Required / Value
Business Unit / C / X / UMNIS
Invoice Number / F / X / Defined by recharge center
Invoice Date / G / X / Defined by recharge center
Supplier ID / H / X / The vendor code assigned to the recharge center
Supplier Location / I / X / Defaults to INT SALES
Origin / L / X / The code assigned to the cluster
User ID / M / X / Individual responsible forthe upload
Accounting Date / N / X / Current Date
Gross Invoice Amount / R / X / Total Dollar Amount
More Information / BK / X / 254-character description field
Business Unit / CZ / X / UMNIS
Voucher Line Number / DB / X / Defined by recharge center
Description / DG / X / Defined by recharge center
Merchandise Amt / DH / X / Dollar Amount
More information / EH / X / 254-character description field
Business Unit / GL / X / UMNIS
Voucher Line Number / GN / X / Defined by recharge center
Distribution Line / GO / X / Defined by recharge center
Account / GQ / X / Revenue Account = 500101 / Expense Account Range 720000 - 780199
Department / GS / X / Buyer DeptID
Merchandise Amount / GX / X / Revenue or Expense Dollar Amount
PC Business Unit / HD / Conditional / UMSPR if a Project value on specific line
Activity / HE / Conditional / 1 if a Project value on specific line
Fund Code / HS / X / Buyer Fund
Program Code / HU / Conditional / Buyer Program
Cost Share / HV / Conditional / CS If a Program & Project are part of the specific line
Chartfield 1 / HZ / Conditional / Provided by Buyer
Chartfield 2 / IA / Conditional / Provided by Buyer
Chartfield 3 / IB / Conditional / Provided by Buyer
Project / IC / Conditional / Buyer Project
Analysis Type / HF / Must be BLANK

Internal/External Sales, Controller’s Office1July 2016