System control

You can define closing options that provide an added measure of security for users. Closing control is an optional feature of System Control (GL01.1) that controls certain data parameters within Accounts Payable. Closing controls can also determine whether you must close a subsystem period, such as the accounts payable period, before you can close the general ledger period.

Benefits of using system control

When you use system control, you define valid entry dates for each period. You also specify the number of period that can be open at one time. These safeguards prevent invoices from accidentally being posted to prior or future periods.

You can detect errors at the source (during invoice entry, processing of payments, or voiding payments) rather than after transactions have been transferred to General Ledger. By making all postings to the appropriate period and by limiting the number of open periods, you simplify the reconciliation process at period end.

Where is system control used?

Use system control options to control these dates:


Post Date	The post date on invoice entry forms (AP20) and on Invoice Adjustment (AP30) is validated against the invoice company.
Payment Date	The payment date on Payment Forms Creation (AP155), Payment Tape Creation (AP160), and Electronic Payment File Creation (AP161) is validated against the post company for a pay group.
Manual Payment Date	The manual payment date on Basic Invoice (AP20.1), Cash Payment Entry (AP55.1), and Bill of Exchange Entry (AP56.1).
Cancel Date	The cancel date on Invoice Cancel (AP30.4) is used to post reversing entries to the expense and liability accounts in the general ledger the next time you run Invoice Distribution Closing (AP175).
Void Date	The void date on Bank Transaction Adjustment (CB80.1) and Bank Tape Mass Reconciliation (CB185) is controlled by Cash Management.

Example

The post date on an accounts payable transaction is used to determine which general ledger fiscal period receives the transaction.

If the post date is in a prior period that has been closed, the journal is created in the current period.
If the post date is in a prior period that has been opened for backposting, the journal is created in that period.
If the post date is in the current period, the journal is created in the current period.
If the post date is in a future period, the journal is created in the future period and stored until it is eligible for posting.