Managing the diverse financial elements of a modern business is a complicated process. Competitive pressures demand that both revenue and expenses be analysed across a range of dimensions from products to projects. SunSystems Corporate Allocations Module automates and therefore simplifies the allocation of costs and charges in such complex environments.
Different costs and revenues will invariably need to be split in different ways. For example overhead costs may be charged to different departments according to their floor space whereas an inter-company interest charge may be a specific percentage on a given current account balance. Corporate Allocations supports both apportioned and fixed percentage allocations as well as fixed amounts like management charges.
Many allocation systems struggle with the splitting of costs and charges between different ledgers and companies. However with SunSystems Corporate Allocations Module inter-company processing is fully supported. Allocations and charges can be made across entities with transfer files automatically produced for distribution to remote locations. This greatly simplifies the maintenance of accounting systems by ensuring the automatic generation of balancing entries in the inter-company control account.
Systems capable of controlling and managing sophisticated allocation functions are often unwieldy and time consuming to set up and maintain. SunSystems simplifies the whole process by using a series of uncomplicated data entry forms to define the structure of each allocation. Furthermore each allocation may have a number of steps combining any or all of the available allocation or charging methods. Each of these steps may be re -employed by other allocation routines saving time in both setting up and maintaining the system.
A complex allocation routine is likely to generate a number of postings which may well affect disparate ledgers and companies. In such situations the importance of user control over the whole process cannot be understated. SunSystems allows the user to control when each of these postings takes place. You may choose for all transactions to be processed immediately after each step of the procedure or at the end of the run. Alternatively the system will either generate a transfer file for subsequent batch posting or simply generate a report to allow checking of the results before they are committed.
Choice of Allocation Techniques
- Apportionment by any Statistical or Financial Data in Ledger or Budget
- Fixed Percentage Apportionment
- Fixed Amount Apportionment
- Option to Allocate on Achieving Threshold
- All Allocation Techniques Available
- Generate Charges Based on Transaction Data
- Interest Calculation Based on Account Balances
- Fixed Charges for Management Fees etc.
Full Inter Ledger Posting
- Generate Actuals or Budgets
- Multi-Company Posting
- Inter-Company Posting
- Automatic Currency Translation
Choice of Posting Options
- Real Time Posting at End of Run
- Real Time with Reallocation of Intermediate Calculations
- Batch Posting Generating an Import File
- Report Only Option for Validation
- SunAccount Report Writers Available to Combine Ledger Data
- Report of Allocations Made
- Allocation Definition Report
- Account and Journal Listing Reports