General Ledger - New Company Setup - GL Setup - Part 1
Step 1: Define Business Units
Pgm: BUFRM – Business Units; standard Treeview path: General Ledger > Setup > Global Tables > Business Units
Business units are used to group companies and departments within an organization into reporting units.
If departments will be used, but business units will not be required, enter one master business unit on the Business Unit screen now. When the departments are set up, all the departments will be associated with this one code. Otherwise, enter the business units required for the organization now.
For more details on business units, see the Business Units
Step 2: Define Chart Code
Pgm: CONSCHFM – Chart Codes; standard Treeview path: General Ledger > Setup > Global Tables > Chart Codes
Chart codes define groups of GL accounts. Each chart code could be considered the name of the master chart of accounts list that will be used for a specific company or department. This name will be entered when each company is set up. Also, when actual GL accounts are entered and periods are created, they must be associated with a specific chart code.
For more details on chart codes, see the Chart Codes
Step 3: Define Period Dates
Pgm: PERIOD – Period Dates; standard Treeview path: General Ledger > Setup > Global Tables > Period Dates
A fiscal year is divided into smaller portions called periods. The total number of periods per year is specified for each company based on the company's chart code.
For this reason, the periods must be defined for the current and previous fiscal year for the chart code created in Step 2.
For more details on period dates, see the Period Dates
Step 4: Define Company Consolidation Codes (Optional)
Pgm: CONSHIER – Consolidation Codes; standard Treeview path: General Ledger > Setup > Global Tables > Consolidation Codes
Define a company consolidation code, if required. The Consolidation Hierarchy Maintenance screen is used to define the consolidation roll-ups. Company consolidation codes allow the access, display, and reporting of company data to be grouped within a hierarchical structure. Each company created within the system will automatically generate a consolidation code. If specific consolidation codes are not created, the system will default to “ALL”.
For more details on consolidation codes, see the Consolidation Codes
Step 5: Enter Account Structure for GL Accounts
Pgm: ACCTYPFM – Account Structure; standard Treeview path: General Ledger > Setup > Global Tables > Account Structure
Account numbers set up in the General Ledger must be associated with a sequence number that corresponds to the desired order of different types of GL accounts. Enter these sequence number ranges.
For more details on account structure, see the Account Structure
Step 6: Enter Chart of Accounts
Pgm: ACCFRM – Maintain Accounts; standard Treeview path: General Ledger > Setup > Maintain Accounts
GL accounts must be entered as part of the initial setup of new companies because GL accounts must be entered on many Setup screens in the General Ledger and other modules. At this point, the user must set up at least the retained earnings account.
For more details on the chart of accounts, see the Maintain Accounts