(Created page with "{{Main_page_menu}} 1024x694px|frameless|right|alt=Accounting Help| Accounting __TOC__ ==Accounting== All projects go through each of the five phases regardless of their size. The decision to officially divide a project into phases is an excellent way to manage the team’s focus, allocate resources, and align the entire project life cycle with clients and stakeholders. By thinking in terms of phases, the project team ensures that deliverables...")
All projects go through each of the five phases regardless of their size.
'''Product Overview'''
The decision to officially divide a project into phases is an excellent way to manage the team’s focus, allocate resources, and align the entire project life cycle with clients and stakeholders.
Review the tabs in the left-hand panel to get familiar with Sage 50cloud (formerly Peachtree Accounting).
By thinking in terms of phases, the project team ensures that deliverables produced at the end of each phase meet the project’s goals. Managing a project by phase also makes sure that the team is properly prepared for the next phase.
Notice the main screen provides a dashboard of insightful reports or a process workflow of useful actions.
Project life cycle phases provide additional benefits. The approach provides a structured approach for project delivery. Defined activities, outputs, and responsibilities create a clear and common roadmap for the project team to follow.
===Business Status===
Defined phases and defined roles show a visible framework easily understood by all team members and stakeholders. Assignment of responsibilities by phase clarifies what the team should only be doing in each phase and helps streamline communication.
Click the '''Business Status''' tab and review the following sections in the main dashboard.
Working on projects phase by phase helps track and link progress directly to each phase. Completion of each phase is easily recognizable by all involved.
'''Account Balances'''
Another benefit of project management by phase is the progressive evolution of the project. This helps identify areas that need greater attention for a particular phase. It also marks clearly the points and opportunities for structured reviews to support project governance.
Monitor your key accounts. Click View Balance Sheet to analyze your assets, liabilities and equity.
Though equally important, they are not to be confused with the process groups outlined in PMBOK’s IPECC model, which also includes initiation, planning, execution, control, and closure but refers to a collection of activities needed to achieve specific goals. Process groups are sometimes considered part of project phases.
'''Revenue: Year to Date'''
While PMBOK recommends assigning project phases according to a project’s life cycle, project teams can follow their own system depending on their industry, organizational policies, and other relevant factors. For example, teams and organizations focused on monitoring the usage of resources can use the critical chain project management methodology.
Analyze sales, profits and net income. Click View Income Statement for a detailed breakdown.
==5 Phases of a Project==
'''Vendors to Pay'''
===Project Initiation===
* Defines project vision, goals, and objectives
Review your outstanding balances and make a payment.
* Outlines clear milestones, project tasking and project timeline
* Identifies potential risks and roadblocks throughout the project
A team’s performance during the project initiation phase can result in either authorization, delay, or discontinuation of a new project.
'''Aged Payables'''
The main goal of the project initiation is to ensure that the project meets business needs and that stakeholders and project teams are aligned on the project success criteria throughout the project life cycle.
Visualize the distribution of payments that are 0-30, 31+, 61+ and 90+ days overdue.
To achieve the project goal, it’s best to involve internal and external stakeholders from the initiation phase. This way, you can effectively align expectations and increase the likelihood of completing all the deliverables throughout the project management life cycle.
'''Customers Who Owe Money'''
During the initiation phase, the entire project team defines the project idea, and the project sponsor evaluates it and authorizes the project to proceed. The project manager starts the documentation process, which includes the justification, deliverables, risks, estimated cost, and resource requirements.
Review outstanding account balances and click to send reminder notices to customers.
The project charter is a key deliverable of the project initiation phase and contains all this information. It is the first formal definition of the project. It authorizes the project to exist, establishes the authority of the project manager, and documents high-level requirements, project milestones, and success criteria.
'''Aged Receivables'''
Another important document in the initiation phase is the stakeholder register. This document includes information about all the stakeholders of the project. It identifies the people, groups, and organizations that have an interest in the task, project, and its results.
Visualize the distribution of receivables that are 0-30, 31+, 61+ and 90+ days overdue.
Approval of the project charter signals the advance of the project to the next phase, the Project Planning Phase.
===Reporting===
===Project Planning===
'''Reporting'''
* Outlines an estimated budget and plan for resource management
Select the Reports & Forms tab at the top of your screen and choose Financial Statements.
* Answers the "what", "how", and "when" of the project plan
* Clarifies project scope
Once the expectations and success criteria are clear, the next project management life cycle phase focuses on planning each task the team needs to perform to cover the scope, achieve the deliverables, and meet the overall goal.
'''Financial Statements'''
In the project planning phase, the project team members dive into specific requirements, tasks, timelines, and actions. The project manager works with the entire team to create the design, enumerate the task list, and estimate the budget.
Easily pull up your Balance Sheet, Statement of Cash Flow or Income Statement for review with your bookkeeper or accountant.
The project team builds the resource plan, the communications plan, and the initial project schedule. The project manager also establishes the roles and responsibilities of the team and stakeholders. The project scope is finalized depending on approved available resources and client priorities.
'''Profitability'''
During the planning phase, the project team finalizes the work breakdown structure, project plan, requirements list, communications management plan, and other relevant documents to iron out the workflow and coordination with involved parties.
Your Income Statement breaks down your revenue and expenses by department, so you can understand where you’re making money and which margins are the highest. Pull up a Budgeted Income Statement to compare year-to-date profits with your budget and versus prior periods.
The project plan is a key deliverable and contains a detailed work breakdown structure (WBS) or task list with start and end dates, and estimated effort and duration. It identifies milestones, resources, and the schedule. It also includes task dependencies that will allow the project team to use the critical path method if it chooses.
'''General Ledger'''
Other important deliverables are the communications management plan, which helps facilitate effective communication with stakeholders, and the resource allocation plan which identifies the schedule of project team resources as to their availability during the whole project life cycle.
Drill down into individual transactions by GL number.
Something PMs should keep in mind: as you discover more information, you may have to adjust your previous project plan and related procedures. More complex projects will require more back-and-forth approvals for every task created.
'''Cash Flow'''
Project planning is an iterative process so the project manager should review, revise, and revisit all the plans at least once a month until the completion of the project. It is crucial for the project team to involve relevant stakeholders in this stage of the project life cycle as well.
Go to the Analysis dropdown and select Cash Flow Manager to visualize your current and future cash on hand. Enter ‘what-if-scenarios’ to plan for potential situations and adjust purchases and outstanding payments to understand cash flow implications.
===Project Execution===
===Manage Customers===
* Monitors project status as actions are taken
Click the '''Customers & Sales''' tab to manage your accounts receivable.
* Engages stakeholders and team members in open communication
* Relies on predetermined systems to keep execution moving forward smoothly
Project Execution Phase
'''Manage Customers'''
The project execution phase is where the project team executes and follows through on tasks based on the project plan. At this stage, the team spends most of its time coordinating with people, helping to ensure quality work, staying within the project timeline agreed upon, keeping track of resources, and updating stakeholders.
Sometimes called the implementation phase, this is the phase when the project manager tries to manage every task and aspect of project delivery to keep the project on track for the remaining duration of the project life cycle.
Go to Customers & Sales Tasks > View & Edit Customers to see your full customer list. From here you can send them invoices and quotes, enter orders, review money received and more.
The project team focuses on achieving all the objectives set in the earlier phases. At this phase, the project leader likely uses project management software to assign every task to team members. Tools that centralize task information, along with resource availability and team communication can simplify and optimize the needed project management processes.
'''Manage Quotes & Sales Orders'''
Quality assurance documentation, meeting minutes, and work orders are some of the documents created during the execution phase of the project management life cycle.
Create and edit quotes, proposals and sales orders from the icons in the workflow.
It’s also likely that you’ll discover new information that will require a revisit and update of the initial project management plans. Be vigilant with change requests, and make sure that the necessary adjustments are managed.
'''Invoicing & Payments'''
===Project Monitoring & Control===
Select Sales Invoices > View & Edit Sales Invoices to lookup all received and outstanding payments. Double click on a record to pull up the details and email a payment reminder with a button for online payments.
* Tracks team performance against KPIs and goals
*quotes and sales invoices can be memorized for future entry
* Compares projected budget and scope outlines against project progress in the status quo
* Monitors quality of deliverables
Project Monitoring & Control Phase
===Manage Purchases===
The best way to ensure progress and improvement is by tracking and reviewing project performance.
Simultaneously during execution, the project team carefully tracks the progress of the project based on the project plan established earlier. Tracking the performance of the project through various metrics is crucial to ensure the project stays on schedule, within budget, and within scope.
Click the '''Vendors & Purchases''' tab to manage your accounts payable.
The project team keeps track of change management documents, spending records, QA checklists, and team time tracking. They are able to measure where efforts and resources go throughout the project life cycle, crosschecking it with the project plan.
'''Manage Vendors'''
Both the execution phase and monitoring & control phase are critical times that can determine project success. Aside from monitoring the progress of tasks, the project manager also tries to identify issues or risks, creates a mitigation plan with the team, and reports the project status regularly to stakeholders.
Go to Vendors > View & Edit Vendors to see your full vendor list. From here you can create purchase orders, payments and credit memos.
Being diligent in recording and measuring project progress puts the project team in a strategic position. They can identify bottlenecks and initiate essential discussions or project management process improvements.
'''Manage Purchase Orders'''
Having a proactive approach will allow the project team to respond rapidly to any change in the plan. Consistent and appropriate status reporting will update interested stakeholders and provide them the opportunity to intervene in or redirect the project as needed.
Go to Purchase Orders > New Purchase Order to order more inventory. Select a vendor, item and quantity to place the order. Assign a job and phase or cost code, if needed.
If additional planning, time, or resources are needed, you’ll need to communicate them to relevant project stakeholders before it’s too late. You’ll also have the data and results to back up your requests, so you have a better chance of justifying your requests and maintaining their trust despite circumstances.
'''Pay Bills'''
===Project Closure===
Click the Enter Bills icon to create a bill. Make a payment by selecting Pay Bills or Make a Payment from the Aged Payables window.
* Reflects on major wins and losses throughout the project lifecycle
===Manage Inventory===
* Delivers final deliverables and project outcomes
* Provides an opportunity for team reflection and discussion
Project Closure Phase
Click the '''Inventory & Services''' tab to manage your inventory items, assemblies and reorders.
In the last project management life cycle phase, all the activities related to its completion are concluded. These may involve the submission of a final deliverable, fulfilling contractual obligations, terminating relevant agreements, and releasing project resources.
The causes of a project closure can be completion, cancellation, termination, or transfer to a new organization. The documentation required to complete project closure will differ depending on the situation.
'''Inventory List'''
In this phase, the project manager communicates the final project disposition and status to all stakeholders. This phase also ensures to inform participants and stakeholders of any follow-on activities or continuing product life cycle so they can communicate and coordinate with the people in charge.
Go to Inventory Items > View Inventory Items to review your inventory list. Double click on an item to pull up full details, set minimum stock, reorder points and preferred suppliers.
Regardless of the outcome of the project life cycle, however, it would be good for the team to conduct a project retrospective. During this post-mortem activity, the project team can process new lessons and ensure the improvement of current project management processes for a future project.
'''Assemblies'''
During the project closeout, documents to turn over can include various project documentation, final meeting minutes, and other closure reports. These documents can identify and capture lessons learned and best practices for future reference and reuse.
Select the Assemblies icon to set up new assemblies. Set up to 10 price levels for each item.
It is a good idea to organize and store project materials in a shared team folder. These materials can provide reference during performance evaluation. The opportunity to continuously test, improve, or reinvent ways to manage the whole project life cycle can help grow the organization and its business.
'''Reporting'''
==Job Management==
Go to Reports & Forms > Inventory to view detailed reports. Or access the Inventory Profitability Report to view the margins for each product. Go to Options and change the date from ‘This Period’ to ‘All’ to pull in inventory data.
'''Sage 300'''
===Manage Jobs===
We rely on the Sage 300 product line to maintain all our accounting records and rely on the Jobs Module to Manage all Jobs
Go to '''Lists > Jobs'' to track your projects.
===Manage Jobs===
Go to Lists > Jobs to track your projects.
'''Job List'''
'''Job List'''
Line 136:
Line 118:
Review all jobs and visualize start and end dates and current status.
Review all jobs and visualize start and end dates and current status.
From the Job List window, reference the Tasks section to setup phases and cost codes.
From the '''Job List''' window, reference the Tasks section to setup phases and cost codes.
'''Job Reporting'''
'''Job Reporting'''
Reference the Reports section to access job-specific reporting. Click on the Job Profitability Report to determine margins for each project, job phase or cost code.
Reference the '''Reports''' section to access job-specific reporting. Click on the '''Job Profitability Report''' to determine margins for each project, job phase or cost code.
*Sage Accounting provides access to advanced job functionality such as labor burden management, progress-based billing and subcontractor insurance tracking.
===Job Codes===
Utilizing the abbreviations of our [[Company|companies]], Project Management, in conjunction with Project Accounting, shall assign an alpha numerical Job ID and description.
Project Management to decide the level of accounting tracking necessary per client/contract reporting requirements, the phase codes to be used along with cost codes if client requires breakdown of costs.
'''Example:''' BRP01 - BRP = Broad Range Properties Job 01
We use phases to divide jobs into distinct sections. After you setup a phase you can apply it to any job (this is done as you enter a transaction that will be applied to a job).
To enter a phase you need to:
# Click the '''Jobs''' navigation aid on the '''Customers & Sales Navigation Center''' and select '''New Phase'''
# Enter the '''Phase ID''' and '''Description'''. Description can be up to 30 characters long.
# If you wish to use Cost Codes with this phase, select '''This phase uses cost type''' and select a '''Cost Type'''
{| class="wikitable"
|+ Phase List
|-
! Phase ID !! Description !! Cost Type !! Use Cost Codes !! Inactive
|-
| 01-ProjMgt || Project Management || || × ||
|-
| 02-AsBuilt || As Built Initial Conditions || Other || ||
|-
| 03-CivEng || Civil Engineering Survey || || x ||
|-
| 04-DesEng || Design Engineering || || x ||
|-
| 05-SubCont || SubContractors || Other || ||
|-
| 06-Procure || Procurement Long Lead Items || Other || ||
|-
| 07-Grading || Grading and Utilities || || x || x
|-
| 08-Found || Foundations || || x || x
|-
| 09-Steel || Steel Erection || || x || x
|-
| 10-FormPour || Form and Pour Concrete || || x || x
|-
| 11-Carpentry || Carpentry Work || || x || x
|-
| 12-Masonry || Masonry Work || || x || x
|-
| 13-Roofing || Roofing || || x || x
|-
| 14-Elevators || Elevators || || x || x
|-
| 15-Plumbing || Plumbing Work || || x || x
|-
| 16-Electrical || Electrical Work || || x || x
|-
| 17-HVAC || Heating Ventilation Air Conditioning || || x || x
|-
| 18-Occupancy || Final Inspections Occupancy || || x || x
|-
| ADMIN || Misc Administrative Costs || Other || || x
|-
| NoPhase || Use for Revenues || Other || || x
|}
===Cost Codes===
'''Set Up a Cost Code'''
Cost Codes can be applied to any phase, not just a specific one and we use them when a client wishes more details of costs in their reports from us.
We have created 5 standard Cost Codes as follows:
{| class="wikitable"
*Sage 50cloud Quantum Accounting provides access to advanced job functionality such as labor burden management, progress-based billing and subcontractor insurance tracking.
|+ Cost Code List
|-
! Cost ID !! Description !! Cost Type !! Inactive
|-
| 010-Labor || Labor Cost || Labor ||
|-
| 020-Material || Material Cost || Materials ||
|-
| 030-Subcontract || Subcontractor Payments || Other ||
Review the tabs in the left-hand panel to get familiar with Sage 50cloud (formerly Peachtree Accounting).
Notice the main screen provides a dashboard of insightful reports or a process workflow of useful actions.
Business Status
Click the Business Status tab and review the following sections in the main dashboard.
Account Balances
Monitor your key accounts. Click View Balance Sheet to analyze your assets, liabilities and equity.
Revenue: Year to Date
Analyze sales, profits and net income. Click View Income Statement for a detailed breakdown.
Vendors to Pay
Review your outstanding balances and make a payment.
Aged Payables
Visualize the distribution of payments that are 0-30, 31+, 61+ and 90+ days overdue.
Customers Who Owe Money
Review outstanding account balances and click to send reminder notices to customers.
Aged Receivables
Visualize the distribution of receivables that are 0-30, 31+, 61+ and 90+ days overdue.
Reporting
Reporting
Select the Reports & Forms tab at the top of your screen and choose Financial Statements.
Financial Statements
Easily pull up your Balance Sheet, Statement of Cash Flow or Income Statement for review with your bookkeeper or accountant.
Profitability
Your Income Statement breaks down your revenue and expenses by department, so you can understand where you’re making money and which margins are the highest. Pull up a Budgeted Income Statement to compare year-to-date profits with your budget and versus prior periods.
General Ledger
Drill down into individual transactions by GL number.
Cash Flow
Go to the Analysis dropdown and select Cash Flow Manager to visualize your current and future cash on hand. Enter ‘what-if-scenarios’ to plan for potential situations and adjust purchases and outstanding payments to understand cash flow implications.
Manage Customers
Click the Customers & Sales tab to manage your accounts receivable.
Manage Customers
Go to Customers & Sales Tasks > View & Edit Customers to see your full customer list. From here you can send them invoices and quotes, enter orders, review money received and more.
Manage Quotes & Sales Orders
Create and edit quotes, proposals and sales orders from the icons in the workflow.
Invoicing & Payments
Select Sales Invoices > View & Edit Sales Invoices to lookup all received and outstanding payments. Double click on a record to pull up the details and email a payment reminder with a button for online payments.
quotes and sales invoices can be memorized for future entry
Manage Purchases
Click the Vendors & Purchases tab to manage your accounts payable.
Manage Vendors
Go to Vendors > View & Edit Vendors to see your full vendor list. From here you can create purchase orders, payments and credit memos.
Manage Purchase Orders
Go to Purchase Orders > New Purchase Order to order more inventory. Select a vendor, item and quantity to place the order. Assign a job and phase or cost code, if needed.
Pay Bills
Click the Enter Bills icon to create a bill. Make a payment by selecting Pay Bills or Make a Payment from the Aged Payables window.
Manage Inventory
Click the Inventory & Services tab to manage your inventory items, assemblies and reorders.
Inventory List
Go to Inventory Items > View Inventory Items to review your inventory list. Double click on an item to pull up full details, set minimum stock, reorder points and preferred suppliers.
Assemblies
Select the Assemblies icon to set up new assemblies. Set up to 10 price levels for each item.
Reporting
Go to Reports & Forms > Inventory to view detailed reports. Or access the Inventory Profitability Report to view the margins for each product. Go to Options and change the date from ‘This Period’ to ‘All’ to pull in inventory data.
Manage Jobs
Go to 'Lists > Jobs to track your projects.
Job List
Review all jobs and visualize start and end dates and current status.
From the Job List window, reference the Tasks section to setup phases and cost codes.
Job Reporting
Reference the Reports section to access job-specific reporting. Click on the Job Profitability Report to determine margins for each project, job phase or cost code.
Sage 50cloud Quantum Accounting provides access to advanced job functionality such as labor burden management, progress-based billing and subcontractor insurance tracking.
