how to … configure and run subcontract draft certificates

Construction Industry Solutions

Subcontract DRAFT Certificate Processing

How-to Guide

Confidential August 2005

Date: August 2005

Version no 1 FINAL

Prepared by: Philip Miller and Neil Duguid

Distribution to: Web-site

Availability (version of coins)

V10..

HOW TO … CONFIGURE AND RUN

Subcontract DRAFT Certificates Process

These notes are published as guidelines only.

This “How to…” Guide may contain recommendations about configuration changes. Your

configuration will almost certainly vary from the examples given in this document. Any

configuration changes should always be applied to a separate non-live environment first

and tested to prove that this features works as you require. Should you have any difficulties with this please contact either the coins communication centre or your account

manager to arrange for some specialist coins consultancy.

Please note that you should not expect the Applications Support team to conduct

configuration changes for you.



How-to Guide


CONTENTS

1 Purpose of this document ................................................................................. 3

1.1 Usage ...................................................................................................... 3 1.2 Impact on „Standard‟ COINS ....................................................................... 4

2 Setup ............................................................................................................. 5 2.1 Parameters .............................................................................................. 5 2.2 Authorisation levels (by user and contract) .................................................. 6

3 Operation ....................................................................................................... 9 3.1 Input Generally ......................................................................................... 9 3.2 Enter, Amend and Release for Authorisation ............................................... 11 3.3 Authorisation .......................................................................................... 16 3.4 Create Batch .......................................................................................... 18

4 Enquiries ...................................................................................................... 20 4.1 Draft Certificate Enquiry .......................................................................... 20 4.2 Usage .................................................................................................... 20

5 Reports ........................................................................................................ 20 5.1 Pending Certificate Report ........................................................................ 20 5.2 Usage .................................................................................................... 20



How-to Guide


1 Purpose of this document

1.1 Usage

The subcontract draft certificate workbenches provide an authorisation process for

subcontract certificates prior to them being posted to the ledger.

It provides the facility to allow entry of certificates and control authorisation through

different levels of authority whilst maintaining visibility of expected payments.

It is mostly operated through “Workbenches” as follows:

1. Draft Certificate Entry

Where draft certificates are entered, amended and released for authorisation.

2. Draft Certificate Authorisation

Where draft certificates are authorised or rejected (if required)

3. Create Batch

Where approved draft certificates are batched and posted. i.e. become „standard‟

COINS certificates.

The standard menus are supplied like this:



How-to Guide


1.2 Impact on ‘Standard’ COINS

A dummy SC certificate batch number 999998 is used to hold draft certificates. This

batch is marked as cancelled.

Standard certificates can be entered for an order, but only if there are no draft

certificates currently associated with the same order. Certificates entered this way are

regarded as „adjustments‟ if the draft certification processing is running (i.e. it should be

done sparingly).

Certificates batched from draft certificates are given an auto-generated certificate

number (as an integer) as they are processed which should be contiguous (i.e. there

should be no gaps in the certificate number sequence). This certificate number should

not be amended. Adjustment certificates entered through the standard COINS

certificate input screen can have their certificate numbers updated. Adjustment

certificates must have at least one letter entered to distinguish them from draft

certificates.



How-to Guide


2 Setup

2.1 Parameters

The set up is controlled by SC parameters found in the Configuration functions for

Subcontract Ledger under the heading “Multi-tiered Authorisation”.

TIERAUTH – Multi-tiered authorisation? (set to Y to enable draft certification)

NOTIERS - Number of authorisation tiers (see details below)

MAXTIERS - the maximum number of tiers per user (see details below)

LIMITCHK - User limit calculation (see F6-Authorise on page 21)



How-to Guide


2.2 Authorisation levels (by user and contract)

These 2 functions are alternate means of setting authorisation levels.

Determines which levels a user has access to:-

1 – can enter, amend, release

2 – can authorise at level 2

3 – can authorise at level 3

If SC parameter NOTIERS is set to 2 (instead of 3) then level 3 is not used.

A user can have the number of levels depending on SC parameter MAXTIERS. MAXTIERS

is usually set to 1 less than NOTIERS to prevent the same person from being able to

control all stages of a draft certificate.

A user cannot have level 1 and level 3 security set



How-to Guide


When setting up a user‟s access levels, COINS standard contract security applies to both

the user doing the setting up, and the user being set up. i.e. Both must be able to

access the record for it to be created.



How-to Guide


A „this period‟ limit can also be given for a user/contract. This means that the user

cannot authorise over that limit (see F6-Authorise on page 17 for more information).

A limit of 0 means no limit.



How-to Guide


3 Operation

3.1 Input Generally

3.1.1 Input Menu Options

There are three groups of input menus in Draft Certificate processing:

Draft Certificate Entry

Draft Certificate Authorisation, and

Create and Post Certificate Batch

The entry of certificates is controlled by up to four menu items. They are configured to

control which subcontracts are eligible for selection dependant on their billing method

i.e. Authenticated Receipt, Invoices, Self Billing and ALL Types.

In this way it is anticipated that a tighter control can be applied to the correct VAT

documentation being available for inspection when needed. However these controls can

only ever be as good as individual processes allow.



How-to Guide


3.1.2 Function Keys Overview

Within each menu option there are various function keys available to you. These are

shown or not depending on which of the Menu Options you are using, the number of

authorisation levels set during configuration and the levels you are authorised for.

Global Options: Enter Authorise1/2 Batch

Level-1 Level-2,3 Level-4

UP/DOWN √ √ √

F3-Reverse √ √ √

F5-Search √ √ √

F9-Add √ X X

CTRL-O-Filter √ √ X

CTRL-F-Refresh √ √ √

Global Options: Enter Authorise1/2 Batch

(with Certificate highlighted) Level-1 Level-2,3 Level-4

F7-Details √ √ √

F8-Comm Hold √ √ √ (with CTRL-O-Filter set to

include authorised) CTRL-R-Recall √ √ X

CTRL-N-Note √ √ √

Menu Specific Options Enter Authorise1/2 Batch

Level-1 Level-2,3 Level-4

RETURN-Amend √ X X

F6-Release √ X X

F10-Delete √ X X

F6-Authorise X √ X

F10-Reject X √ X

F6-Batch X X √

UP/DOWN, F3-Reverse and F5 Search are standard Coins functions and are not referred

to in this guide.

The remaining functions are explained in more detail in the relevant sections below.

Where a function is available in more than one section it is only described once in the

earliest documented section.



How-to Guide


3.2 Enter, Amend and Release for Authorisation

3.2.1 Usage

This workbench is used to enter and amend subcontractor draft certificates, and then to

release or re-release them for authorisation.

Both newly entered and rejected draft certificates are displayed in this workbench, and

can be revised and released in the same way.

Draft certificates are displayed based on the Ctrl-O filter options of Contract /

Subcontractor / Billing Type / Include Released [ ] :

In contract/order/transaction number order.

That are at:

o status 0 (attention required) or

o status 1 (released/awaiting level 2 authorisation).

That the user has contract level 1 security set.

A released draft certificate can be recalled, as long as it hasn‟t been further authorised

or rejected.

The scrolling (upper) area shows from left to right:-

Contract number



How-to Guide


Order Number

Transaction Number

Certificate Date

Subcontractor Name

Current Status

o 0-Attn Reqd (entered awaiting release)

o 1-To Auth 2 (awaiting level 2 authorisation)

o 2-To Auth 3 (awaiting level 3 authorisation)

o 3-Approved (awaiting batch creation)

Commercial Hold – H (shown if set)

The expand (lower) area shows for the highlighted draft certificate:-

Contract Name

Currency Code (highlighted if not base currency)

Subcontractor Account Number

Certificate Due Date

Order Value

Previous Action

Entered

Released

Authed 2

Authed 3

Rejected

Recalled

Note

Date/Time/User of previous action

Gross To Date

Comments

Gross This Period

3.2.2 Function keys

3.2.2.1 RETURN-Amend

Opens up the current selected record if the certificate is the latest one for the order. If

not then gives error.

On return re-displays amended details, and the selected certificate remains highlighted.

3.2.2.2 F6-Release

Releases the current selected record if the certificate is the earliest one for the order at

the „Attn Reqd‟ level, otherwise gives error.

A comments box is displayed (30 characters). If the user cancels from here (F4) then

the releasing does not proceed.



How-to Guide


3.2.2.3 F7-Details

Displays the standard certificate enquiry screen for the current selected record.

Selecting „Auth‟ on the menu bar, will display a list of actions that have occurred for the

selected draft certificate. This list is latest first, however pressing F3 will reverse the

order.

Returning by pressing F1, F4, or choosing „End‟ from the menu bar re-displays the draft

certificate entry screen as before selecting F7.

3.2.2.4 F8-Comm Hold

Opens up the standard commercial hold screen for the current selected record which

allows the flag and hold code to be amended.

On F1 or return displays an H next to the selected record if the certificate has been put

on hold. If hold is removed then this is blanked out. If you cancel (F4) from the hold

screen then no change is made.

3.2.2.5 F9-Add

Goes to the standard certificate entry screen to allow a new record to be entered.



How-to Guide


The following rules apply:-

1. Users can only add for contracts for which their level 1 security is set.

2. Cannot add new draft certificates for orders which have any unposted „actual‟ (as

opposed to draft) certificates assigned.

3. The next txn number for the order is assigned and can‟t be changed.

4. The valuation date defaults from the certificate date if it is blank.

5. The certificate number field is greyed out and is blank.

If you cancel (F4) out of the screen completely then the draft certificate is not created

(You can F4 back through the elements within the add process to change details and

then continue).

On return to the workbench the workbench screen is reset with the new record at the

top of the display. The expand box displays the „entry‟ previous action.

A newly entered draft certificate is always given the status of 0 (Attn Reqd). To make it

available for authorisation it must be F6-released.

3.2.2.6 F10-Delete

Completely removes a draft certificate record.

Only the latest draft certificate for an order can be deleted, and only if it has status 0

(Attn Reqd).

3.2.2.7 CTRL-O-Filter

Allows the screen display to be restricted to a single contract and/or subcontractor

and/or billing type and whether to include previously released and/or authorised

certificates.

3.2.2.8 CTRL-R-Recall

Is only available when CTRL-O-Filter is set to “Include Released”.

Recalls the draft certificate to the current status.


the recalling does not proceed.

The recalled certificate remains in view and the „previous action‟ details changed to

„recalled‟ in the expand box.

If there are any later draft certificates for the same order then these will be recalled

also. The user is prompted whether they wish to proceed if this is the case.



How-to Guide


3.2.2.9 CTRL-N-Note

Adds a „note‟ action against the selected draft certificate.

This note is purely for memo usage and makes no difference to the status of the draft

certificate.


the note is not added.

If added then the expand box of the highlighted draft certificate displays „note‟ as the

previous action.

Notes cannot be amended once added.



How-to Guide


3.3 Authorisation

3.3.1 Usage

Used to authorise or reject subcontractor draft certificates.

The user will see (and can authorise) draft certificates depending on whether they have

level 2 authority or level 3 authority for the associated contract. If they have level 2 and

level 3 authority then they can authorise straight from „To auth 2‟ to „Approved‟,

leapfrogging „To auth 3‟.

If the SC parameter NOTIERS is set to 2 then there is only one level of authorisation

necessary [level 2], and if it is set to 3 then there are two levels [level 2 and level 3].

The functionality is the same for both levels.

In level 2 authorisation, the draft certificates that have been „Released‟ in the entry

screen are shown (Their status is marked as „To auth 2‟). In level 3 authorisation, the

draft certificates that have been passed by level 2 authorisation are shown (Their status

is marked as „To auth 3‟). A certificate passed by level 3 authorisation is marked as

„Approved‟ and is ready to be batched and posted. These will not normally appear on the

authorisation screen, but the CTRL-O filter can be set to show them, so they can be

recalled to level 3, if necessary.

NB If NOTIERS is set to 2 then the level 3 authorisation is skipped, and a draft certificate

authorised at level 2 will go straight to „Approved‟ (i.e. awaiting batch creation‟). The

same thing happens if the user has both authority levels set.

Any draft certificates that are rejected will be marked as status „Attention required‟ and

will appear back on the entry/amend screen so they can be revised. They will disappear

from the authorisation workbench and can‟t be recalled.

An authorised draft certificate can be recalled to a particular level, as long as it hasn‟t

been further authorised or rejected.

A user can only authorise a certificate if it is within the limit set on the contract security

screen (see F6-Authorise for more details).

3.3.2 Authorisation Screen Display

Displays draft certificates:-

In contract/order/transaction number order.

That have status „To Auth 2‟ if the user has level 2 security and that have „To Auth 3‟

if the user has level 3 security.



How-to Guide


Based on the Ctrl-O filter options can also show authorised certificates that the user

can recall (certificates with status „To Auth 3‟ if the user has level 2 security and

certificates with status „Approved‟ if the user has level 3 security).

3.3.3 Function keys

3.3.3.1 F6-Authorise

(only display as option if draft certificate is „Awaiting level 2 authorisation‟)

Authorises the current selected record if the certificate is the earliest draft certificate for

the order at the „Awaiting level 2 authorisation‟ level, otherwise gives error.

A comments box is displayed (30 characters). If you cancel from here (F4) then the

authorisation does not proceed.

A check is made for whether the this period value on the draft certificate is within the

limit set for the contract for the user. What makes up the figure to check is held in the

SC parameter LIMITCHK. This contains a list of certificate configuration item ids (with a

leading „+‟ or „-‟). The associated „this period‟ values held against the listed item ids on

the draft certificate are added together to give a total to check against. If LIMITCHK is

blank then the total payment plus PAYE this period values are used as a default. If the

limit is breached then an error is given and the draft certificate can‟t be authorised.

3.3.3.2 F10-Reject

Rejects the draft certificate by changing the draft certificate status to 0 („Attention

Required‟).


the rejection does not proceed, otherwise the rejected certificate disappears from view.

If there are any later draft certificates for the same order then these will be rejected

also. The user is prompted whether they wish to proceed if this is the case.



How-to Guide


3.4 Create Batch

3.4.1 Usage

Used to create a batch of „actual‟ certificates from a set of approved draft certificates

(i.e. authorised at level 2 and level 3 [as required]). These batches can then be posted

to the ledgers in the standard COINS way.

Once a certificate has been batched it cannot be recalled or rejected as a draft

certificate.

The create certificate batch workbench uses standard COINS contract security and not

the draft certificate security levels.

3.4.2 Screen Display


• In contract/order/transaction number order.

• That have status 3 („Awaiting batch creation‟)

• That the user has COINS standard contract security set.

• Based on the Ctrl-O filter options.

3.4.3 Function keys

3.4.3.1 F6-Create batch

Prompts the user for a cut-off date. This date is based on the certificate date. Any draft

certificates prior to (and including) this date will be batched (the batch number is auto-

generated).

The processing is in contract/order/transaction number order to ensure that the

certificates are not posted out of order.

Each draft certificate being processed is checked for whether an existing unposted

„actual‟ certificate already exists for the same order. If it does the user is informed of

order/txn/batch number, and the draft certificate is excluded from the batch.

A certificate number is auto-generated for each processed certificate, based on the last

certificate for the order where the certificate number contained an integer.

NB This means that any „adjustment‟ certificates entered via the „standard‟ certificate

entry route would have a user-entered certificate number containing at least one letter.



How-to Guide


Once all valid draft certificates have been processed, the standard certificate batch

posting screen is shown. The user can enter a transaction type, description and the

posting period. The totals for the batch are also displayed.

The user is prompted to post the batch. If they don‟t then the certificates on the batch

are now treated as unposted „standard‟ certificates (No new draft certificates will be

allowed to be added or posted for the related orders until they are posted).

Once the processing on this screen has ended the create batch workbench is re-

displayed without the processed draft certificates.



How-to Guide


4 Enquiries

4.1 Draft Certificate Enquiry

Displays all draft certificates in current system at the various authorisation levels

4.2 Usage

This is a screen enquiry which displays the current situation of all draft certificates at

each authorisation level and all billing types.

The F7-Details functions works as the input/authorisation/batch screens.

The CTRL-O-Filter is by Contract/Subcontractor only.

Certificates that have been batched will not appear.

5 Reports

5.1 Pending Certificate Report

Displays all draft certificates in current system at the various authorisation levels

5.2 Usage

This is a snapshot report which displays the current situation of draft certificates at each

authorisation level. Certificates that have been batched will not appear.

5.2.1 Options

The following report options are available:-

Group by contract or subcontractor.

Restrict to certificate date range

Standard COINS contract selection

Standard COINS subcontractor selection

Authorisation Levels to show:-Attention Reqd,Awaiting level 2,Awaiting level 3,Ready

to post

Display currency



How-to Guide


5.2.2 Order

Displays draft certificates in contract/order/transaction number order, grouped by

Contract or Subcontractor depending on option selected.

Draft certificate amount totals are displayed for each contract or subcontractor, and a

run total.

5.2.3 Report Line


• Order Number

• Transaction number

• Cert Date

• Due Date

• Payment

• Current Status

• Last Action By

• Last Action Date

• Last Action Time

• Last Action Comments

• Released By

• Released Date

• Released Time

• Release comments

The release details are when F6-release was pressed in the draft certificate entry

workbench. If the draft certificate has not been released then this will be blank.

Last action does not include „Recalled‟ or „Note‟ events.

Payment amounts are in the currency selected.

how to … configure and run subcontract draft certificates

Documents