Journal Approval

Journal Approval
Submitted by Anonymous on Thu, 12/03/2009 - 00:17
Tag:

 General Ledger

Use General Ledger’s Journal Approval feature to ensure that journal entries and batches are
approved by appropriate management personnel before the journals can be posted to your
account balances. Journal Approval uses Oracle Workflow to control and monitor the approval
process, sending notifications to journal batch preparers and approvers when needed. Some of
the Journal Approval components can be customized to meet your organization’s specific needs.

Before you use Journal Approval, you must enable journal approval for your set of books. You
must also set up your journal sources to use journal approval. Finally, you must create an
approval hierarchy and define your approver authorization limits.

1. To enable Journal Approval for your set of books:

When you define your set of books, mark the Enable Journal Approval check box on the Set of
Books window.
2. To specify journal sources that require journal approval:
On the Journal Sources window, mark the Require Journal Approval check box for each journal
source that should be subject to approval. When a journal entry or batch is created using one of
these journal sources, the journal must be approved before it can be posted.

3. When you enter an employee, you also enter the employee’s supervisor or manager name. The
supervisor is the default next approver for journal entries and batches. Likewise, the supervisor’s
manager is the next approver after the supervisor.

If your organization uses a full installation of Oracle Human Resources, you must log in with a
Human Resources responsibility
to enter your employees in the People window. The Enter Person window will not be available
from General Ledger.

If your organization does not have Oracle Human Resources installed, you will use some of the
Human Resources windows
available through Oracle Applications. Some of the fields in these windows are for Oracle
HRMS security only.

4. To define authorization limits:

 Navigate to the Journal Authorization Limits window.

 Enter the Employee name, or select it from the list of values.
 Enter the amount of the employee’s Authorization Limit.
  Repeat the previous two steps for each employee for whom you want to define
authorization limits.
 Save your work.

There are two Profile Options that affect the Journal Approval process.
1. Journals: Allow Preparer Approval.  Determines whether preparers can approve their own
journals.
The following values are available.
Yes: Preparers are allowed to approve journal batches that fall within their authorization limit.
No: Preparers cannot approve their own journal batches.
The default value for this profile option is NO.

2. Journals: Find Approver Method.   Sets the default method for approval.
The following values are available.
Go Up Management Chain: The journal batch moves up the approval hierarchy until it has been
approved by an approver whose authorization limit is sufficient to allow the approval. The
journal batch must be approved by all intermediate
approvers as well.

Go Direct: The journal batch is sent directly to the first approver in the approval hierarchy who
has an authorization limit high enough to allow approval. The preparer's direct manager receives
a courtesy notice.

One Stop, Then Go Direct: The journal batch is first sent to the preparer's manager for approval.
If further approvals are required, the journal batch is directly sent to the first approver in the
approval hierarchy who has an authorization limit high enough to allow approval.
The default value for this profile option is Go Up Management Chain.