We are wanting to utilise the Project Module, however, our Finance team are not particulalry keen on the system creating/posting journals. They want to do all journals / recognising revenue manually.
Can Project be used without using Revenue Recognition?
At face value, the module does everything we would want so it’d be a shame if we couldn’t utilise it.
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If you have the Project Advanced Billing, there is an option for Manual Revenue Recognition giving you full control over the numbers - but it will post them.
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Why on Earth would they want to manually do these journal entries?
+1 to the APB module @Mark_Wonsil mentioned for your needs if not the Advanced Project Management could be an option too for the manual revenue recognition issue.
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Manual revenue recognition is same as Manually entering a JV.
You can disable auto posting, let them review it before final posting.
KR
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This sounds promising.
How do I go about disabling auto-posting?
Thanks
Upfront disclosure: I am the Solution Architect for the Advanced Project Management (APM) suite of Kinetic modules - which includes an Advanced Project Accounting (APA) module. Within the Advanced Project Accounting module is a significantly more flexible and transparent Project Accruals engine and APM Project Accruals Workbench, along with many other Project related features and solutions. Given that, and respecting this great community’s rules and spirit, I’ll try to keep my response primarily focused on my experiences and views, while aiming to be as brief and as balanced as I can.
Firstly, having worked with a number organizations who encountered challenges with the standard Project Advanced Billing revenue recognition processes, I can understand the finance teams hesitations and concerns with the system generating the journals themselves. Particularly if the organization is outside of a pure traditional manufacturing context where all jobs are diligently and completely planned before project commencement and kept up to date in terms of specific estimated costings - which from a real-world perspective seems very rarely the case.
Which often, at least for many the existing Kinetic organizations using the standard Project modules that we have worked with, has led to the desire or need for more control; and then far too often to lots of custom queries and dashboards to feed into custom Excel spreadsheets. It is hard to generalize and obviously I know very little about your organization’s specific requirements, use cases, volume, etc., but unless the team has already completed a comprehensive review of complete end to end project lifecycles and are confident that they have all the different project related transactions taken into account, I would suggest making sure that these tasks are completed and your processes are very well defined and validated.
If the projects complexity and volume is low, I expect it may not be too hard. However, if the project complexity or volume is high, I expect that it could easily get quite challenging to complete the custom accrual processes efficiently and effectively, while maintaining sufficient auditability, while using just the standard Kinetic Project modules.
For a growing number of organizations that have struggled with the standard Kinetic Project accrual processes, often supplemented by their own custom-built ones, our Kinetic APM Advanced Project Accounting module has provided the solution. With Project Budget and EAC Management, a Project Ledger available, lots of included Project Analysis views and capabilities, and a flexible and transparent APM Project Accruals Workbench and engine included as some of the key features, the APM APA module has enabled far more project management, transaction processing, and analysis to be done within Kinetic for many organizations.
Unfortunately, however, the APM modules are no longer available for new Kinetic 2022.X installations and therefore may not currently be an option for your organization (based on the version within your profile). If, however, your profile details are incorrect, or your organization might be upgrading in the near future, and you are interested in finding out more, I would be happy to see if I can help directly or pass your details on to someone else who can.
Hopefully, either way, you and your organization can find a suitable solution. Naturally, my experiences are skewed more towards those who have had challenges, or have not succeeded with, using the standard Project modules to satisfy enough of their needs and wants and have therefore sought out our solutions. There might be other members within the community here that can share their experiences where they have managed to satisfy their needs and wants with the standard Project modules.
PS: If your organization has not already bought all the standard Kinetic Project modules, it might be worth checking with your CAM regarding the options to potentially instead, or additionally, include the APM Advanced Project Accounting module before proceeding with the purchases. I am not across the details of the different purchasing options but I believe that there could be some bundle and special pricing options available.
Enable manual review check box in Inventory/WIP Posting Engine rule.
KR