user's guide for business content finance

BaanBIS Decision Manager 2.0

User's Guide for Business ContentFinance

A publication of:

Baan Development B.V.P.O.Box 1433770 AC BarneveldThe Netherlands

Printed in the Netherlands

© Baan Development B.V. 2001.All rights reserved.

The information in this documentis subject to change withoutnotice. No part of this documentmay be reproduced, stored ortransmitted in any form or by anymeans, electronic or mechanical,for any purpose, without theexpress written permission ofBaan Development B.V.

Baan Development B.V.assumes no liability for anydamages incurred, directly orindirectly, from any errors,omissions or discrepanciesbetween the software and theinformation contained in thisdocument.

Document Information

Code: U7553A USGroup: User DocumentationEdition: ADate: January, 2001

i

User's Guide for Business Content Finance

1 Overview of BaanBIS Decision Manager 1-1General 1-1Definitions, acronyms, and abbreviations 1-4

2 The Business Content � Finance 2-1Introduction 2-1The data-warehouse content for Finance 2-2Facts 2-2Dimensions 2-3Universe data 2-4Conditions and Assumptions for the Finance Content 2-5The OLAP cubes for Finance 2-10

3 Examples Of Finance analysis 3-1Some examples: �GL account balances' analysis 3-1Some examples: Financial transactions analysis 3-5

Table of contents

Table of contents

User's Guide for Business Content Financeii

User's Guide for Business Content Financeiii

BaanBIS Decision Manager is a decision-support solution that you can use toextract and analyze key data from your business management system and obtainthe information that you need to support the decisions and to take measures intime to avoid bottlenecks in the business processes.

For example, you can use Decision Manager 2.0 to analyze deviation of actualsfrom the final budget, as a variance, in terms of amounts and in terms ofpercentages (%) for various groups of GL accounts.

For each area that you want to analyze, the Business Content defines what data isextracted from the source system, and how Decision Manager presents the datato you for further analyses. When you install Decision Manager, the BusinessContent is predefined for a number of areas.

This manual describes the Decision Manager 2.0 Business Content for Finance.This manual describes what data you can use for performance analyses of thevarious aspects of finance, and provides several examples of businessmanagement questions that can be answered by a specific type of analysis.

Chapter 1, �Overview of BaanBIS Decision Manager,� briefly describes theDecision Manager concepts and components and explains the function of theBusiness Contents in the Decision Manager solution along with the definitions,acronyms, and abbreviations.

Chapter 2, �The Business Content � Finance,� provides a functional descriptionof the data that is available for the analysis of your finance business area.

Chapter 3, �Examples of Finance Analysis,� describes some example analysesthat you can carry out based on the Business Content for Finance.

For a general description of the Decision Manager 2.0 solution, see the whitepaper Decision Manager 2.0 (P3219A US). For a more technical description ofthe Business Content for Finance, refer to on-line metadata reports availablefrom the ETL modeler, from the Universes, and from the OLAP Cubes.

About this document

About this document

User's Guide for Business Content Financeiv

User's Guide for Business Content Finance1-1

GeneralBaanBIS Decision Manager is a decision-support solution that you can use to:

� Extract key data from your business management system (in case of DecisionManager 2.0, from BaanERP 5.0b or BaanERP 5.0c).

� Store the data in a data warehouse and OLAP databases.

� Analyze the data.

� Present the analysis in the form of reports and graphs.

For each area that you want to analyze, for example, the data in GLD, FBS,FAM, and soon in Finance, the Business Content defines the following:

� What data is extracted from the source system.� How the data is stored in the data warehouse.� How the information is made available for analysis.

The Business Content consists of:

� Extraction, Transformation, and Loading (ETL) scripts.� OLAP cubes.� Universes.

This chapter briefly explains the various Decision Manager concepts andcomponents related to the business content. For a detailed description, see thewhite paper Decision Manager 2.0 (P3219A US).

ETL Scripts

The ETL scripts extract the data from the source systems, transform the data intouseful information for decision-making, and load the information in a datawarehouse. After you load the information, the data warehouse contains therequired fact and dimension data for analysis.

1 Overview of BaanBIS DecisionManager

Overview of BaanBIS Decision Manager


Facts

Facts reflect the events in your business that you want to analyze. The factsconsist of the dynamic data that Decision Manager extracts from your BAANdatabase, such as Actual amounts, Budgeted amounts, Quantity 1, Quantity 2,and so on.

Dimensions

Dimensions represent a point of view from which you can analyze the data. Thedimensions consist of comparatively static data, or master data, such as GLaccounts, dimension 1 to 5, items, warehouses, and time, that is related to thefacts. For example, you can use the GL account and Time dimensions to analyzethe actual amounts with respect to the various fiscal or reporting periods.

Data warehouse

The fact data and dimension data is stored in fact tables and dimension tables in adata warehouse. The ETL scripts update the data in the warehouse with the datafrom the live database. Before you can use either the Baan OLAP Client orBusinessObjects Reporting to analyze the data, the data warehouse data must beprocessed to prepare the data for analysis. You can process the data in two ways:

� Build and process OLAP cubes.� Design Universes.

OLAP cubes

The OLAP cubes contain a combination of fact data and dimension data, as wellas the results of computations such as totals, average numbers, and percentages.To access the OLAP cubes, you can use the OLAP client as well as the BusinessObject reporting tool.

Baan OLAP client

You can use the Baan OLAP client to view the data in the OLAP cubes fromvarious angles. You can also apply formulas, filters, graphs, and so on to the datain OLAP cubes to obtain information about trends, causes of events, exceptions,and other interesting facts. For instructions on how to use the OLAP Client, referto the OLAP Client 3.0 User Guide (U7501 US).



Universes

A Universe is an extra layer through which you can access the data in the datawarehouse using the BusinessObjects Reporting environment. The Universeconsists of objects that are mapped on the data in the data warehouse. Throughthe Universe, you can build queries on the data warehouse, and present theresults in reports compiled by BusinessObjects Reporting.

BusinessObjects Reporting

You can use BusinessObjects reporting to access and print reports of theinformation in a data warehouse and in the OLAP cubes. The availableBusinessObjects reporting user manuals describe how you can define queries toanalyze the data and to build reports. The following figure (see Figure 1) showsthe interrelations between the various Decision Manager components.

D a ta -w a r e h o u s e

B a a n E R P5 .0 b / 5 .0 c

O L A Pc u b e U n iv e r s e

O L A P C l ie n t

B u s in e s s O b je c t sR e p o r t in g

Figure 1 High-level Decision Manager 2.0 architecture overview.



Definitions, acronyms, and abbreviationsTerm DescriptionBusiness Content A set of dimension and fact definitions, extraction schemes, cubes, and

Universes that cover a particular business area.BusinessIntelligence

The total concept of data visualization and analysis.

BusinessObjectsReporting

A set of applications for interactive reporting delivered by BusinessIntelligence vendor BusinessObjects.

BS account A Balance-Sheet type of GL account .Data-warehouse An integrated collection of data used in the support of management�s decision

needs.DecisionManager

An end-to-end solution based on an open Business Intelligence framework,which contains best-of-breed components. Decision Manager also deliversready-to-implement business content, designed to analyze key businessprocesses in an enterprise.

Dimension Point of view from which you can look at your data, for example, Time,Product, or Customer.

Dimension1,2,3,4,5

A functional feature of Finance which enables the user to define financialdimensions, optionally up to a maximum of five, commonly used to defineCost Centre, Line of Business, Product Group, Department, etc.

DWC Data warehouse currency. Can be any currency defined in the BAAN system.Also commonly referred to as DWC.

Fact Numeric information available in the data warehouse.Finance Business function that covers areas such as general accounting, budgeting,

treasury, and so on. BaanERP Finance is a package in BaanERP 5.0b/c withseveral modules.

FBS Financial Budgeting System. A specific module in BaanERP 5.0b/c Finance.FAM Fixed Assets Management. A specific module in BaanERP 5.0c Finance.FITR Abbreviation for financial transaction in an Integration Mapping Scheme in

Finance. Common examples are Receipts, Issues, and Result transactions.GLD General ledger. A specific module in BaanERP 5.0b/c Finance.GL Account A general ledger account. Can be a PL or BS type of GL account.Hc The reference currency, which is one of the three home currencies in

BaanERP.Hierarchy A sequence of levels of detail in a dimension. For example, in the time

dimensions, you can have the hierarchy: Year � Quarter � Month � Day.Another hierarchy in the time dimensions could be Year � Week � Day.

Level See HierarchyLc Local currency of the Business or Enterprise Unit (EU) , which is one of the

three home currencies in BaanERP.



OLAP Online Analytical Processing: a category of software technology that enablesanalysts and managers to gain insight into data through fact, consistent andinteractive access, and a wide variety of possible views of information. OLAPfunctionality is characterized by dynamic multidimensional analysis ofconsolidated enterprise data that reflects the real dimensionality of theenterprise as understood by the user.

OLAP Client A Web-based, hyperrelational OLAP client that provides the business useroverview and analytical support in addition to enterprise decision models. Youcan use hyperdrill technology to navigate intuitively between tactical andoperational information needs.

OLAP cube A set of related dimensions that define an n-dimensional manifold. The cube isthe central metadata object recognized by OLE DB for OLAP.

PL account A Profit & Loss type of a GL account.Rc Reporting Currency , which is one of the three home currencies in BaanERP.TROR Abbreviation for Transaction Origin in an Integration Mapping Scheme in

BaanERP Finance. Common examples are Purchase, Sales, Warehousing,Production type of logistics transactions.

Universe A semantic layer between the user and the data-warehouse, which consists ofclasses and objects. The objects in the Universe map to data in the data-warehouse, and enable the user to build queries on the Universe. A Universerepresents a complete set of data and data operations.


IntroductionThis chapter describes the content of the data-warehouse and the OLAP cubesfrom a functional point of view and explains how you can use the Financebusiness content for financial analysis and controlling. For a detailed technicaldescription of the design of the data warehouse and the OLAP cubes, refer to theonline metadata available from the ETL modeler, the Universes, and the OLAPCubes.

The Finance business content in the Decision Manager 2.0 can be classified orgrouped on several analytical possibilities. As an end user, you can see the datafrom various angles such as:

� Controlling perspective.In case of GL account balances, data can be analyzed, and compared forbudgets as well as for actuals. In addition, the variance from specific budgetlevels can be seen in amounts, as well as in percentage terms.

� Type of Views.In conformity with the Finance functionality, data can be analysed forbusiness economical view, as well as for fiscal view and correction view.

� Level of detail.Data can be analysed for GL account balances, as well as for transactiondetails.

� Periods.Data can be analysed for fiscal periods, as well as for reporting periods.

� Nature of account type.Data can be analysed for all GL accounts, profit and loss as well as forbalance sheet, suitably grouped in revenue, cost, asset, and equity andliability categories.

� Nature of transaction.In case of transactions, data can be analysed for transactions with financialdetails, as well as for transactions with logistics details.

2 The Business Content � Finance

The Business Content � Finance


� Status of transaction.In case of financial transactions, data can be analyzed for transactions infinalized and/or non-finalized status. Similarly, in case of integrationtransactions, data can be analyzed for transactions in posted and/or unpostedstatus.

� Currencies.Data can be analysed for a single company in three types of currencies, calledHc, Lc and Rc, and for multiple companies, in one uniform DataWarehousing Currency (DWC).

The data-warehouse content for FinanceFactsSeveral facts and dimensions are available to you for financial performanceanalysis. Facts are the quantities and amounts of interest related to the aspectspreviously mentioned. The fact tables for Finance content can be classified as:

� Fact tables based on periodical GL account balances.� Fact tables and views based on periodical transactions.

Based on �Periodical GL Account� balancesFact Tables/Views What are the contents?

DW_FIN_FACTS_ACCTBAL_FSC GL account balances for fiscal periodsDW_FIN_FACTS_ACCTBAL_REP GL account balances for reporting periods

Based on Periodical TransactionsFact Tables/Views What are the contents?

DW_FIN_FACTS_TRNF_FIN Non finalized transactions' detailsDW_FIN_FACTS_TRF_FIN Finalized transactions' details DW_FIN_FACTS_TRINT_FIN Integration transactions' detailsView :DW_FIN_FACTS_TRINTSCM_FIN

� Supply Chain Management transactions' details

View :DW_FIN_FACTS_TRINTPRJ_FIN

� Projects transactions' details

View:DW_FIN_FACTS_TRINTSER_FIN

� Service transactions' details

DW_FIN_FACTS_TRINTFAM_FIN Integration transactions' details - FAM



The fact tables on periodical transactions are available only for fiscal periods.

The fact table on Fixed Assets Management is available only for BaanERP 5.0c,because FAM is a separate transaction origin available in the central mappingscheme in BaanERP 5.0c only.

DimensionsDimensions define the aggregation levels on which, and angles from which, youcan analyse the Finance business content. Dimensions are flexible, and you mustarrange dimensions optimally to obtain a view of facts that can possibly give youmore insight into the trends and patterns, and help you to identify exceptions/variations in the information presented.

Each dimension contains relationships to aggregate the information based onrelevant characteristics. For example, the Item dimension contains information toaggregate information based on the item characteristics, such as item type, itemgroup, warehouse, and so on. For specific examples on the dimensional analysis,refer to Chapter 3, �Examples of Finance analysis.�

The dimensions available for analysis are:

� COMPANY.� GENERAL LEDGER ACCOUNTS.� ACTUAL / BUDGET CODES.� DIMENSION 1, DIMENSION 2, DIMENSION 3, DIMENSION 4, DIMENSION 5.� TRANSACTION CATEGORY.� TIME (Fiscal Periods), TIME (Reporting Periods).� TRANSACTION ORIGIN (Integration Transactions).� FINANCIAL TRANSACTION (Integration Transactions).� DEBIT / CREDIT Indicator.� ENTERPRISE UNITS.� DEPARTMENTS.� PROJECTS.� ITEMS.� WAREHOUSES.� COST COMPONENTS.� ASSET + ASSET EXTENSION NUMBERS.� ASSET GROUPS.� DEPRECIATION CODES.� PROPERTY TYPE CODES.� FAM TRANSACTIONS.� REASON CODES.� ASSET CATEGORIES� ASSET BOOK CODES.

NOTE



Universe dataA Universe is created based on the fact tables to make the data-warehousedimension and fact data available in the BusinessObjects Reporting environment.

The available measures in the Universe for reporting are explained in thefollowing table.

The amounts are available in the three home currencies and the reportingcurrency. For more information, refer to a detailed description of the selection ofcurrencies in �Conditions and assumptions for the Finance content,� in thischapter.

Universe data for FinanceMeasure Description

-: Analysing GL account balances :-Actual Amount Actual amount, which is a net result of all the debit amounts

and credit amounts for a specific period for a specific GLaccount and Dimensions 1 to 5.

Budget Amount Budget amount, defined for a specific period for a specificGL account and Dimensions 1 to 5.

Quantity 1(Actual/Budget )

A result of debit and credit quantity 1 for actuals, and asdefined in the budgets for a specific period for a specific GLaccount and Dimensions 1 to 5.

Quantity 2(Actual/Budget )

A result of debit and credit quantity 2 for actuals, and asdefined in the budgets for a specific period, for a specific GLaccount, and Dimensions 1 to 5.

-: To analyze non-finalized, finalized, Fixed Assets transactions :-Amount Actual debit and/or credit amount for a specific GL account

in a financial transaction.Quantity 1,Quantity 2

Actual debit and/or credit quantity for a specific GL accountin a financial transaction, expressed in the respective unit ofmeasure as defined in the chart of accounts.

-: To analyze integration transactions' :-Amount Actual debit and/or credit amount for a specific GL account

in a financial transactionNo Of Units Actual debit and/or credit quantity for a specific GL account

in an Integration Transaction, as per the Logistic transactionorigin

Only one Universe exists for the entire Finance Business Content, which coversall fact tables in the data warehouse. This Universe is created based on thevarious fact tables, to make the data warehouse dimension and fact contentavailable in the BusinessObjects reporting environment.

NOTE



The detailed information on the specific data-warehouse fact tables, on which theUniverse is created, is available in �Facts,� in this chapter.

Conditions and Assumptions for the Finance ContentThe DW for Finance Content is built with certain conditions/assumptions due tothe inherent features of the data source, such as the functionality and tablestructures of BaanERP Finance 5.0b and/or 5.0c. These conditions/assumptionsare mentioned later so that you can get a clear view of the available content.

Naming convention of the currencies in the DW

In BaanERP 5.0 b/c, the following three multicurrency solutions are provided:

� Single currency system.This currency system includes only one home currency in both logistic andfinancial packages. However, for companies in separate countries, there canbe a need for more than one home currency, because the companies in thevarious countries are required to do their bookkeeping in different currencies.

� Dependent multi-currency system.If the activities are performed and posted in low inflation countries, the so-called dependent multicurrency system can be sufficient. In that case, thelogistic packages have only one denominator currency, or logistic referencecurrency, while in Finance, accounting is carried out in two or three homecurrencies, including the local currency, the reporting currency 1, and thereporting currency 2. In the dependent multi-currency system, the currencytranslation from the transaction currency to the three home currencies isalways performed through the reference currency, which is one of the threehome currencies.

� Independent multicurrency system.In both logistic applications and Finance, the same home currencies are used.In the independent multicurrency system, the currency translation from thetransaction currency to the three home currencies, local currency, reportingcurrency 1, reporting currency 2, is performed through direct exchange rates,set up between the transaction currency and the home currencies.



DM 2.0 Finance enables the user to export data in three currencies, whichinclude the following:

� Hc.Home currency of the logistics company, which is also the reference currencyin case of the Dependent currency scenario.

� Lc.Local currency of the Business Unit [EU].

� Rc.Reporting currency 1 or 2.

In addition to these three currencies, you can use a uniform data warehousecurrency (DWC) for various companies that are not linked to each other bymeans of a common home currency in one currency.



Selection of the 'Currencies' in the DW

The following example shows the logic DM 2.0 uses to select the threecurrencies for export to the DW in addition to the user selected DWC.

Scenario1

Scenario2

Scenario3

Scenario4

BaanERP Company

Reference Currency EUR EUR USD USD

Local Currency USD USD USD USDReporting Currency 1 HFL EUR HFL EURReporting Currency 2 EUR HFL EUR HFL

DM 2.0 � DW Selection ofCurrency

Result inDW

Result inDW

Result inDW

Result inDW

Hc (Home Currency) Hc of the LogisticsCompany ( = Ref.Currency)

EUR EUR USD USD

Lc (Local Currency) Local Currency of theBusiness Unit (EU) USD USD USD USD

Rc (ReportingCurrency)

Reporting Currency 1.(If Reporting currency1 = ReferenceCurrency (Hc) , thenReporting currency 2is selected )

HFL HFL HFL EUR

In Scenarios 1 and 2 in the previous table, you get to see the data in theReference currency, for example, Hc = EUR, the Local currency, for example,Lc = USD, and Reporting currency, for example, Rc = HFL. However, if theReference and Local currencies are the same, the user can only get one of the twoavailable reporting currencies in the DW. For example, if you select the EUR inScenario 3, and the EUR in Scenario 4, the HFL will not be selected.

To see the data in both the reporting currencies, you can solve the currenciesselection through a minor customization at implementation time.

NOTE



Dual Accounting aspect

In Finance, you can classify the PL and BS ledger accounts with an attribute of�type of account� as:

� Statutory GL accounts.To record transactions for fiscal purposes, subject to audit.

� Complementary GL accounts.To record transactions for reporting purposes.

This Dual Accounting functionality enables you to maintain the financialaccounts to reflect the impact of the certain management decisions, and yet notinclude the accounts for statutory audit reviews.

A practical example can be if the financial controller wants to see the impact of apossible wage increase on various cost centers for internal reporting purposesonly. In this case, you can define a separate complementary type of account topost transactions and see the impact on financials.

Decision Manager enables you to see the results of Dual Accounting through theOLAP feature of Switch Hierarchy for the Dimension GL account.

Opening balances

Opening balances are available in the data warehouse for balance sheet type ofGL accounts. However, if the Year-end Closing is not complete for two or moresuccessive years, the opening balances will not be available in for those years inthe data warehouse.

Actuals and Budgets� For an appropriate comparison between actuals and budgets, the number of

budget periods must be equal to the fiscal periods. However, the budget andfiscal periods can differ in the BaanERP Finance FBS module.

� The BaanERP 5.0b or 5.0c FBS module has functionality to maintain thebudgets using four different methods, which include:

− Multidimensional Top Down method.− Multidimensional Bottom Up method.− Single dimensional Top Down method.− Single dimensional Bottom Up method.

� The DM 2.0 Finance business content supports only MultidimensionalBottom Up budgets because the rollup of values in Baan tables and in OLAPclient are exactly the same for Bottom Up type budgets.



� The budgets data is available to you in the fact table based on fiscal periodsonly. In other words, the fact table based on the reporting period will notcontain any budget data.

� For the fact tables based on periodical balances of GL accounts, the actualamounts in theses fact tables will confirm to the amounts and their signs asper the Trial Balance. However, because you can enter the budgets in thestandard ERP without a check on Debit Amounts = Credit Amounts, it isassumed that the Budgeted Amounts will be balanced.

Parent-Child structure� BaanERP5.0 b/c Finance enables the user to build sub-levels of parent-child

relationship for GL accounts, dimensions, and budget codes. The DM 2.0Finance offers the following solution:

DM 2.0 supports Baan5.0b/c supportsGL accountstructure

Effectively 10 sublevels deep(the lowest + top 9 levels)

Maximum 99 sub-levels

Dimension 1 to 5structure


Maximum 5 sub-levels

Budget codestructure


Maximum 50 children per'Parent'

General Points� Amounts in the fact tables, which are based on periodical balances for GL

accounts, are presented as Debit minus Credit for Balance Sheet (BS)accounts, and as Credit minus Debit for Profit and Loss (PL) accounts.

� A financial transaction can have debit and/or credit amounts, represented bymultiple lines. At a document level, the same GL account can be debited aswell as credited for the same period, with same values for financialdimension, for example, Dim_1 to Dim_5. In such a case, theamounts/quantities for the same GL account are summed up for all debits, aswell as for all the credits together.

� Amounts in the transactions-based fact tables would be available in the threeHCs, as well as in the DW currency, but not in the transaction currency (TC)in which the transactions have actually taken place.

� Only the non-finalized transaction with a Ready status and the integrationtransactions with a Posted status will be exported to the DW.



� For integration transactions, displaying the description of the unit of measurefor the No. of Units measure in the OLAP cube is illogical for the samereason that the same type of transaction, for example, TROR- Purchase, FITR�Receipt, can have diverse units of measures, for example, receipts can be inkgs, liters, grams, packs, boxes, and so on.

� The measures of variance, variance %, Y-T-D variance, and Y-T-D variance% are available in the Rc, reporting currency, in the content. However, to seethese measures of variance Lc and Hc, you can make a suitable changethrough a minor customization.

� The fact table for integration transaction includes a field called Order PositionNumber. Note, however, that no such dimension exists in the OLAP cube inthe present available content.

Fixed Assets Management (FAM)� The Fixed Assets Management (FAM) module in BaanERP 5.0c Finance

generates various types of fixed-asset-related transactions. These transactionsare accounted/posted to the GLD module, for example, capitalization oracquisition, remove capitalization depreciation, restate depreciation, and soon. Note that the information on FAM transactions would be available on thebasis of their definitions in the FAM module, and not as per the definitions inthe Financial Transactions (FITR) in the central mapping scheme forintegration transactions.

� FAM is a part of BaanERP 5.0c and not BaanERP 5.0b, therefore, this FAMsolution is applicable for Corelli. For 5.0b, FAM was called FAS, and FASwas not a part of integration transactions.

� The user must not change the transaction reference for a FAM documentmanually before finalization of the document.

The OLAP cubes for FinanceA total of eight OLAP Cubes are available for Finance. Each cube containsmeasures and dimensions, which are explained as follows:

The amounts are available in the three home currencies and the data warehousecurrency. For a detailed description of the selection of currencies, refer to�Conditions and assumptions for the Finance content� in this chapter.

NOTE



Cube: Acct_Balances_Fsc

This cube contains measures to analyze the periodical GL account balances forthe fiscal period, both for amounts and for quantity details. The following tabledescribes the available measures:

Measure DescriptionActual Amount Actual amount, which is a net result of all the debit

amounts and credit amounts for a specific period for aspecific GL account and Dimensions 1 to 5.

Budget Amount Budget amount, defined for a specific period for aspecific GL account and Dimensions 1 to 5.

Quantity 1 A result of all debit and credit quantity 1 for actuals, andas defined for budgets for specific period for a specificGL account and Dimensions 1 to 5.

Quantity 2 A result of all debit and credit quantity 2 for actuals andas defined for budgets for specific period for a specificGL account and Dimensions 1 to 5.

Variance The deviation of actual amounts from final budgetamounts expressed as a difference for a specific periodfor a specific GL account and Dimensions 1 to 5.

Variance % The deviation of actual amounts from final budgetamounts as a percentage of final budget amounts for aspecific period for a specific GL account andDimensions 1 to 5.

YTD ActualAmount

A sum of the actual amounts from period 0 to the periodindicated.

YTD BudgetAmount

A sum of the budget amounts from period 0 to theperiod indicated.

YTD Quantity 1 A sum of the Quantity 1 from period 0 to the periodindicated.

YTD Quantity 2 A sum of the Quantity 2 from period 0 to the periodindicated.

YTD Variance The deviation of YTD actual amounts from YTD finalbudget amounts as a differential amount for a specificGL account and Dimensions 1 to 5.

YTD Variance % The deviation of YTD actual amounts from YTD finalbudget amounts as a percentage of YTD final budget fora specific GL account and Dimensions 1 to 5.



The available dimensions for this cube are:

� Company dimension.� GL accounts dimension.� Actual / Budgets code dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (fiscal period).

Cube: Acct_Balances_Rep

This cube contains measures to analyze the periodical GL account balances forthe reporting period, both for amounts and quantity details. The following tabledescribes the available measures:

Measure DescriptionAmount Actual amount, which is a net result of all the debit amounts


Quantity 1 A result of all actual debit and credit quantity 1 for a specificperiod, for a specific GL account and Dimensions 1 to 5.

Quantity 2 A result of all actual debit and credit quantity 2 for a specificperiod, for a specific GL account and Dimensions 1 to 5.

YTD Amount A sum of the amounts from period 0 to the period indicated.YTD Quantity 1 A sum of the Quantity 1 from period 0 to the period

indicated.YTD Quantity 2 A sum of the Quantity 2 from period 0 to the period

indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (reporting period).



Cube: Non_Finalized_Trns

The Non_Finalized_Trns cube contains measures to analyze the various types offinancial transactions in Non-finalized status for amounts and quantity detailsduring a fiscal period. The following table describes the available measures:



Quantity 1 A result of all actual debit and credit quantity 1 for a specificperiod, for a specific GL account, and Dimensions 1 to 5

Quantity 2 A result of all actual debit and credit quantity 2 for a specificperiod, for a specific GL account, and Dimensions 1 to 5.



indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Transaction category dimension.� Debit/Credit dimension.� Time dimension (fiscal period).



Cube: Finalized_Trns

The Finalized_Trns cube contains measures to analyze the various types offinancial transactions in Finalized status for amounts and quantity details duringa fiscal period. The following table describes the available measures:







indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Transaction category dimension.� Debit/Credit dimension.� Time dimension (Fiscal period).



Cube: Integtr_Scm_Trns

This cube contains measures to analyze various types of integration transactions,which are logically grouped into the operational area of supply chainmanagement. The transactions in this cube originate from the logisticsintegrations that exist in BaanERP with BaanERP Finance GLD. Only thosetransactions with a Posted status are available with their amounts and quantitydetails during a fiscal period. The following table describes the availablemeasures:



No Of Units Actual debit and/or credit quantity for a specific GL accountand Dimensions 1 to 5 in an integration transaction,expressed in the respective unit of measure as per theLogistic transaction origin.

YTD Amount A sum of the amounts' from period 0 to the period indicated.YTD No Of Units A sum of the No. of Units from period 0 to the period

indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (Fiscal period).� Transaction Origins dimension.� Financial Transactions dimension.� Enterprise units dimension.� Departments dimension.� Projects dimension.� Warehouses dimension.� Items dimension.� Cost components dimension.� Transaction type SCM dimension.� Debit/Credit dimension.



Cube: Integtr_Prj_Trns

This cube contains measures to analyze various types of integration transactions,which are logically grouped into the operational area of Projects. Thetransactions in this cube originate from the logistics integrations that exist inBaanERP with BaanERP Finance GLD. Only those transactions with a Postedstatus are available with their amounts and quantity details during a fiscal period.The following table describes the available measures:




YTD Amount A sum of the Amounts from period 0 to the period indicated.YTD No Of Units A sum of the No. of Units from period 0 to the period

indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (Fiscal period).� Transaction Origins dimension.� Financial Transactions dimension.� Enterprise units dimension.� Projects dimension.� Items dimension.� Cost components dimension.� Transaction type PRJ dimension.� Debit/Credit dimension.



Cube: Integtr_Ser_Trns

This cube contains measures to analyze various types of �IntegrationTransactions�, which are logically grouped into operational area of �Service�. Thetransactions in this cube originate from the 'Logistics' integrations that exist inBaanERP with Baan Finance GLD. Only those transactions with status as'Posted' are available with their amounts and quantity details, during a 'fiscal'period. The available measures are described below.




YTD Amount A sum of the amounts from period 0 to the period indicated.YTD No Of Units A sum of the No. of Units from period 0 to the period

indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (Fiscal period).� Transaction Origins dimension.� Financial Transactions dimension.� Enterprise units dimension.� Departments dimension.� Projects dimension.� Items dimension.� Warehouses dimension.� Cost components dimension.� Transaction type SER dimension.� Debit/Credit dimension.



Cube: Integtr_Fam_Trns

This cube contains measures to analyze various Fixed Asset Managementtransactions that originate from the FAM module in BaanERP 5.0c Finance.Transactions with Non-Finalized and Finalized statuses are available with theiramounts and quantity details for fiscal periods. The following table describes theavailable measures:







indicated.


� Company dimension.� GL accounts dimension.� Dimension 1 dimension.� Dimension 2 dimension.� Dimension 3 dimension.� Dimension 4 dimension.� Dimension 5 dimension.� Time dimension (fiscal period).� FAM transactions dimension.� Asset + Asset extension number dimension.� Asset groups dimension.� Depreciation codes dimension.� Property type codes dimension.� Reason codes dimension.� Asset categories dimension.� Asset book codes dimension.� Transaction type FAM dimension.� Debit/Credit dimension.



This chapter describes several examples of analysis in the form of businessquestions to illustrate the Business Content for Finance. These examples provideinsights into the analytical possibilities available to you in the scope anddefinition of the Business Content, which was described in the previous chapter.

Thanks to the flexibility of the OLAP environment and the reportingenvironment, many other questions and issues can be clarified with help ofBusiness Content. Because these environments work extensively with thedimension concept, you can easily produce the information on the level that yourequire.

The Universe enables you to create both single company and multi-companyreports. The standard report contains data from multiple companies. With respectto amounts, use the data warehousing currency (DWC) measures in amulticompany report.

To create a single company report, select the Company number selected objectin the query panel. If you run a query, or refresh a report, you are prompted toselect a company number from a list. The report then only contains data for theselected company, and the selected company number is shown in the report.

In line with the BaanERP Finance functionality, you have the options to see thedata either in:

� Fiscal view.Statutory accounts only.

� Correction view.Complimentary accounts only.

� Business/Economical view.Both statutory and complimentary accounts.

Please use the Switch hierarchies feature of the OLAP client for the dimension -GL accounts to receive the previous results.


Some examples: �GL account balances'analysisTo a great extent, the analysis for GL account balances depends on the way youdefined the chart of accounts (COA) and Dimensions 1 to 5. The depth ofanalysis also depends on the parent-child structure that can exist for the COAand/or Dimensions 1 to 5.

Broadly, the business questions on GL account balances would be posed fromthe point of view of cost/budgets control, revenue/budgets analysis, and assetsutilization/liabilities control.

However, several generic examples can be provided to enable you to tailor theanalysis. These examples, in the form of questions are elaborated in thefollowing section.

Business questions on balance sheet, profit and loss accountbalances� How do I analyze the amounts and quantitative details for each of the GL

accounts for a month /year and/or cumulative up to the period?

For important GL accounts such as Debtors, Inventories, Sales turnover, WIP,and many more, you can retrieve comparative figures for the selected accounts. Ifyou drill in OLAP client, you can see the facts at summery level. In other words,you can see the facts either at parent GL account level, such as at the BS / P&Lgroup level, or a step lower, such as at the Assets/Equity+Liability/Costs/Revenues level, or even at a more detailed level, such as at thespecific child GL account level.

3 Examples Of Finance analysis

Examples Of Finance analysis


To build the view, select the following:

� On X axis:GL accounts dimension.

� On Y axis:Measures.

� Selection of measures:Already dragged on the Y axis.

� On Slicer Bar:Select a year>month for period dimension. Select actuals for Actual/Budgetsdimension. Select All for rest of the dimensions.

How do I analyse the comparative figures of actuals and budgets for a specificGL account(s) for a month/year, or for cumulative up to the period?

To exercise budgetary control, you must monitor the actuals and budgets forcertain discretionary nature of cost accounts, such as travel costs, advertisements,or promotion costs analysed departmentwise/cost centerwise, as well as for therevenue accounts, which are sales turnover, and other income analyzed, forexample, LOBwise. You can receive comparative figures, actuals v/s budgets, forthe selected GL accounts.

To build the view, select:

� On X axis:Actual/Budgets dimension.

� On Y axis:GL accounts dimension.

� Selection of measures:Amount or YTD amount.

� On Slicer Bar:Select a year>month for Period dimension. Select the exact cost center orLOB, if defined, for the Dimension 1 to 5. Select All for other dimensions.

How do I spot the abnormal exceptions for variance, in value terms as well as inpercentage terms, for a specific GL account(s) for a month/year or for cumulativeup to the period?

During the normal course of business, you can monitor the costs/ revenues/assets/ liabilities of the business to spot any shortfall/excess (variance) in actuals,compared to any budget that you nominated as final budget by you. This wouldenable you to take early remedial actions, and in that way have better financialcontrol.



More specifically, the functional interpretation of the comparisons of actualswith budgets for revenues/costs/assets/equity+liability type of GL accountswould be as follows:

� Higher actual revenues than the budget = Favorable (+ve).� Lower actual revenues than the budget = Unfavorable (-ve).� Higher actual costs than the budget = Unfavorable (-ve).� Lower actual costs than the budget = Favorable (+ve).� Higher actual liabilities than the budget = Unfavorable (-ve).� Lower actual liabilities than the budget = Favorable (+ve).� Higher actual assets than the budget = Unfavorable (-ve).� Lower actual assets than the budget = Favorable (+ve).

The Favourable variance and variance % appear in Positive and Unfavorablevariance, variance % appears in Negative in the OLAP front end.

You can also use the Dimension 1 to 5 to view the performance with respect to acost center or a region or a product group or employee, and so in, in accordancewith the definitions of the dimensions in BaanERP Finance.

To build the view select:


� On Y axisActual/Budgets dimension along with Measures.

� Selection of measures:Already dragged on the Y-axis.

� On Slicer Bar:Select a year>month for Period dimension. Select the exact cost center, orLOB, if defined, for the Dimension 1 to 5. For other dimensions, select All.

You can use the OLAP client feature Exception Manager to highlight the valueof variance and/or variance %, which is (+) or (-) off from a specific limit. Forexample, you can use this feature to highlight all unfavorable variances in Costs,for example, over 10%, unfavorable deviations from budgets.

How do I analyse the comparative figures of amounts or quantities for eachperiod and for each GL account?

NOTE



You must compare the amounts or quantities from period to period, for example,current month, previous month, last year same period, and so on to notice achange in the trends over a period of time and investigate the variations. Thiswould help to analyse accounts, such as sales turnover or debtors, or criticalexpenses such as energy costs, which include fuel, electricity, oils, lubricants,and so on, Temp help/Overtime, and Communication costs such as fax,telephones, internet charges, and so on.



� On Y axis:Fiscal or Reporting periods.

� Selection of measuresAmount or YTD amount, Quantity or YTD quantity,

� On Slicer Bar:Select actuals or budgets for Actual/Budgets dimension. Select the exact costcentre or LOB, if defined, for the Dimension 1 to 5. For other dimensions,select All.

Can I define a ratio of amounts that pertains to two or more GL accounts oraccount groups for a specific period(s)?

Yes. To see the effect, you must define a ratio or define a formula of differencebetween two or more GL accounts with the help of the OLAP client featureFormula Manager. For example:

� To analyse the 'Gross Product Margin', you can define a formula of differencebetween GL account 'Sales turnover' - GL account 'Cost of Goods sold'.

� To analyse the standard financial ratio such as say 'Current Ratio', you candefine a formula between the 'parent' GL account 'Current Assets' divided by'parent' GL account 'Current Liabilities'.

These possibilities also depend on how the chart of accounts (COA) andDimension 1 to 5 are defined along with the parent-child structures.


� On X axis.GL accounts dimension.

� On Y axis:Actual/Budgets dimension.

NOTE



� Selection of measures:Actual Amount or YTD Actual Amount.

� On Slicer Bar:Select a year>month for Period dimension. Select All for rest of thedimensions.

Some examples: Financial transactionsanalysisTo a great extent, the analysis for the financial transactions depends on the wayyou define the Transaction Types, as well as the Fiscal Periods, in addition to thedefinition of the chart of accounts (COA) and Dimensions 1 to 5.

Broadly, the business questions on financial transactions would be posed fromthe point of view of reconciliation of accounts and getting a cross view oftransactions, especially for the integration transactions, which is perhaps notpossible through the standard reports.

However, some generic examples can be given so that you can tailor the analysis.To see the examples, refer to the following section.

Business questions on non-finalised, finalised, and integrationtransactions

For periodical reconciliation, you must get information about theamounts/quantities (debit and credit or net), with corresponding GL accounts fora specific transaction type or a document number in a particular transactioncategory, such as Journal vouchers, Cash and bank, Purchase invoices, and so on.

For an optimal view, position the dimension Debit/Credit on the X-axis or Y-axisto get both the debit as well as credit amounts of the transactions. However, ifthis dimension is positioned on the slicer bar, the user can see either the netresult, in other words debit-credit, or only debit or only credit.

How do I analyse the amount, quantities, YTD amounts, and YTD quantitieswith their corresponding GL account details for various transaction types, or aspecific document in transaction categories?


� On X axisGL accounts dimension.

� On Y axis:Measures.

NOTE




� On Slicer Bar:Select a year>month for Period dimension. Select the exact Transaction typeor drill to a document number in the Transaction category dimension. Selectappropriate Dimension 1 to 5 or maintain at All level.

How do I analyse the amount, quantities, YTD amounts, and YTD quantities forall/specific periods for various transaction types or a specific document intransaction categories?


� On the X-axis:Fiscal periods dimension.

� On Y-axis:Measures.


� On Slicer Bar:Select the GL account dimension. Select the exact Transaction type or drill toa document number in the Transaction category dimension. Selectappropriate Dimension 1 to 5, or maintain at All level.

How do I analyse the amounts, quantities relating to various FinancialTransactions, and related Transaction Origins for a specific period?

The data for Integration transactions originates from various Logisticstransactions that pertain to operational areas such as Supply Chain Management,Projects, Service, and so on in BaanERP 5.0c or 5.0b. Otherwise the options forthe Finance user to see the various critical operational aspects that impact financefunction are complicated because most of the currently available reports have afixed format. The Finance controller must know answers to questions such as thefollowing:

� Which warehouse has recorded more receipt in value terms? From whichsupplier(s)?

� What specific items were received and in what quantity?

� Which major customer has been sold to? In which country? What items?What values?

� What is the value of production of goods? Which specific products?



� What is the value of the Inventory adjustments, can be for several reasonssuch as write off, books-to-physical differences, and so on.

� What is the break up of amounts for each cost component?

For these and other specific business questions, you can select and arrange thedimensions and measures accordingly on the X-axis, Y-axis, and the slicer bar.

How do I analyse the amounts and quantities relating to various Fixed AssetManagement (FAM) transactions for a specific period?

The Fixed Asset Management (FAM) module is a specialized module of theBaanERP 5.0c. Various types of fixed assets related transactions originate fromthe FAM module. You can analyse the FAM transactions to learn answers toquestions such as the following:

� What is the acquisition cost of each of asset and its extension number?

� What are the transactions recorded against each of the Reason codes?

� What are the depreciation amounts recorded against various assets and theirextension numbers?

For each of the periods, what are the values for each type of fixed assetstransactions, for example, Acquisition ,Depreciation, Restate depreciation, and soon?

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