Workflow Changes - Pros and Cons ?

[Former Member]

Hello Experts,

Currently we have a workflow set up where credit card liability is recognised at month end and paid to external vendor/cc provider on a corporate liability clause. Brief points which explains current workflow:

- employees use the credit card and credit card supplier provides this information in the form of daily file for all previous day's transactions

-this daily transaction file is uploaded into TEM using PRCC or customised T-code that we have built up

-employee completes the expense claims which once approved creates the postings as Dr.P&L account and Cr. Suspens account maintained as Balance sheet account for reconciliation.

-at every month-end, CC provider again supplies a single invoice file for all transactions for the month in the form of csv format which is entered as FI invoice in accounts payable, which once approved creates the postings as Dr.Suspense account maintained as Balance sheet account for reconciliation and Cr.Vendor account/CC Provider.

-On due date the payment is made which once approved by approvers, creates the postings as Dr.Vendor/CC Provider and Cr.Cash/Bank/Bank Clearing.

-This way the Suspense account in theory should have the nil balance but always have some balance due to timing difference just as GR/IR account.

With the above-mentioned current setup we end up paying suppliers even though emp do not complete the TRIPs and have fat balance in Suspense Reconciliation account.

Can we change the workflow setup so that the money is paid to CC vendor only if employee successfully completes the TRIP and if they don't complete, no payment is made to supplier resulting in supplier blocking the cards.

I have heard of more logical workflow setups than what we currently have.................and wondering if someone gives me their foolproof workflow to go smoothly...........

Any help or info would be appreciated.

Rgds

Mohammed.

[Former Member]

Unfortunately, no one replied. I partly take the blame as my question was a lengthy one. Since logging this, I understood there is a method in configuration, if adopted, will force the employees to claim expenses regularly and only claimed expenses will be paid out to credit card vendor. However, with this enforceable method, the organisation is exposed to the risk of late payment fee if the employees fail as in most large organisactions, the contract clearly suggests Corporate Liability but settlement can be individual or collective.

If anyone requires info, please let me know.

CONMJI