Financial Budgeting System (FBS)
The planning and comparison of actuals with budgeted amounts and quantities are important
aspects of financial analysis for a company. In Infor LN, this is managed by Financial
Budgeting System (FBS).
The Financial Budgeting System (FBS) functionality includes these budget systems:
- A flexible budget system in which you can adjust the budget and is flexible to accommodate changes in volume or activity.
- A static budget system where the budget remains unchanged from the amounts established at the time the budget was determined.
Flexible budgeting enables you to perform these functions:
- define budgets for ledger accounts (for example, cost types such as energy or material handling) based on dimensions
- set up performance budgets for reference units (for example, cost drivers such as square meters or number of deliveries)
- define flexible budgets by introducing the distinction between fixed and variable budget amounts and quantities
- define activity-based budgets in relation with the Cost Accounting (CAT) functionality
- bottom-up budgeting
- define multiple hierarchies for analysis purposes
- integrate budget cost-rates and budget surcharges with the Manufacturing processes using Standard Cost Calculation and the Project Control System (PCS) functionality.
- perform variance analysis in conjunction with flexible budgeting
- compare budgets
Static budgeting, enables you to perform these functions:
- ledger account budgeting
- (multi) dimension-oriented budgeting, such as setting up budgets with dimensions of different types in combination
- top-down budgeting
- bottom-up budgeting
- compare budgets
- compare budget data with actuals from Financials
Financial Budgeting System (FBS) receives data from:
- The General Ledger (GLD):The actual values posted on respective ledger accounts and dimensions can be copied to a budget or can be displayed during the budgeting process
- The Cost Accounting (CAT): Adjusting or creating budget performances for the defined reference unit per specified budget as a result of cost allocation (in case of retrograde planning).