GL Features in R12

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In Release 11i, a user assigned to an Operating Unit (OU) would process data from the products deployed in
that OU. To process data for another OU, a user would log out of the first and into the second. The data
generated in that OU would be accounted for according to rules generated by various product accounting
engines, and posted to general ledger in ways appropriate for the different products, some generating part of
the detail at different times in the process. General Ledger sets of books (Sob) were self-contained,
reflecting the balances of the entity to which you’d assigned the Sob, and managed by users assigned to the
Sob.

In Release 12.0, by contrast, users can be assigned to multiple operating units, and are supported by
processes and transactions that can span operating units. Their data is book-kept according to rules stored
in a single accounting engine,and the accounting is stored in subledger tables that are standard across all
products. Complete accounting is maintained for every appropriate event, and all subledger entries are fully
balanced and detailed. A single, common posting engine summarizes to your required level of detail, and
posts to General [Link] of Books are replaced by the accounting entity’s ‘ledger’ for data, and its
‘Ledger Set’ for processing, from reporting, opening and closing, through allocations. Ledgers can be
combined into ledger sets, and GL users are assigned to the ledger sets. User access to multiple operating
units is called ‘Multi-Org Access Control’,(MOAC).

2. Multi-Org Access Control (Changed functionality): Multi-Org Access Control enables companies that have
implemented a Shared Services operating model to efficiently process business transactions by allowing
them to access, process, and report on data for an unlimited number of operating
units within a single applications responsibility. This increases the productivity of Shared Service Centers, as
users and processes no longer have to switch applications responsibilities when processing transactions for
multiple operating units at a time. Data security and access privileges are still maintained using security
profiles that now support a list of operating units.

3. Multi-Org Security Profile Preferences(Changed functionality): A Multi-Org Security Profile defines the list
of operating units to which a user has access. If a user typically uses a subset of the operating units in his
security profile, he may set up Preferences to limit the operating units available to him
during transaction processing. The user can also set a default ‘operating unit’ tominimize manual data entry
when an operating unit context is required.

4. Enhanced Multi-Org Reporting(Changed functionality): Consistent with the Multi-Org Access Control
feature, users are able to run reports using two levels:
• Ledger: The report runs for all operating units within a ledger to which the
user has access
• Operating Unit: The report runs for a selected operating unit that belongs to the user’s security profile.

5. Multi-Org Integration with Accounting Setup Manager:(New functionality) The Accounting Setup Manager
is a central location to define your accountingrelated setup across all financial applications. Here, you can
define your legal entities and their accounting context, which includes the ledgers that will contain the
accounting data for each legal entity. Multi-Org is integrated into the Accounting Setup Manager such that
users can define operating units and their relationship to ledgers. For each operating unit, users can also
select a legal entity to provide a default legal context during transaction processing. This centralizes your
setup and makes it easier to inquire on and maintain relationships between ledgers, legal entities, and
operating units.

[Link] Accounting Setup- Simultaneous Accounting for Multiple Reporting Requirements:(New functionality)
Companies that are global in nature and that have operations in different localities often have multiple
reporting requirements. These companies and their subsidiaries often need to satisfy the accounting and
reporting requirements for each country as well as those of the parent company. This involves performing
accounting in accordance with accounting principles and standards of multiple countries and in different
currencies, charts of accounts, and/or calendars. The reporting requirements can also be statutory in nature,
and one subsidiary may even need to satisfy multiple sets of statutory requirements. Oracle General Ledger
simplifies the simultaneous management of the accounting for all of these different reporting requirements in
this latest release. You are able to define your legal entities and the setup needed to address each
accounting and reporting requirement using the Accounting Setup Manager. New enhancements and
integration with Subledger Accounting enable Oracle General Ledger to perform accounting for all reporting
requirements of a legal entity simultaneously.
7. Centralized Accounting Setup(New feature): The Accounting Setup Manager is a central location to define
your accounting-related setup across all financial applications. Here you can define your legal entities and
their accounting context, which includes the ledgers* that contain the accounting data for each legal entity. If
a legal entity has multiple reporting requirements, you can include additional reporting currencies or ledgers
in the accounting context to satisfy the additional requirements.

8. Enhanced Reporting Currency Functionality (Changed functionality) : Multiple Reporting Currencies

9. Improved Processing Efficiency- Simultaneous Data Access to Multiple Legal Entities and Ledgers: -New
feature.
Can access multiple legal entities and ledgers when you log into Oracle General Ledger using a single
responsibility. This improves processing efficiency by reducing the need to switch between responsibilities
when trying to access data for different ledgers or legal entities.

[Link] Opening and Closing of Periods for Multiple Ledgers: (New feature) The Open and Close
Periods Programs have multiple enhancements. You are able to run any of the Open and Close Periods
Programs from the Concurrent Manager. This allows you to take advantage of scheduling and request set
capabilities for greater processing efficiency. Also, if you manage multiple
ledgers, you can open or close periods for multiple ledgers simultaneously. You can even keep the status of
periods across multiple ledgers in synch with new programs that ensure a specific period is Open or Closed
for all of the ledgers you manage.

11. Cross-Ledger and Foreign Currency Allocations:(New feature) You are able to allocate financial data
from one or more ledgers to a different target ledger. This enables you to perform cross-ledger allocations,
which is useful for purposes such as allocating corporate or regional expenses to local
subsidiaries when each entity has its own ledger. This is possible even if the target ledger is in a different
currency than the source ledger(s) because you can create allocations in foreign currencies. Foreign
currency allocations are also useful within a single ledger if you need to allocate amounts to a currency that
is different from the primary currency of a ledger.

12. Simultaneous Currency Translation of Multiple Ledgers (New functionality) If business manages multiple
ledgers; you can run the Translation program for multiple ledgers simultaneously.

13. Financial Reporting Across Ledgers (New Functionality): Business is able to run Financial Statement
Generator (FSG) reports for multiple ledgers simultaneously. This is useful if you manage multiple ledgers
and want to run a balance sheet or income statement report for all ledgers at the same time.

14. Automatic Journal Copy:(New Feature) Business is able to automatically copy an existing journal batch
to create a new journal batch with the same journals and journal lines. This reduces the amount of work you
need to do to re-create a journal that has already been defined. During the copying process, you have the
option to change the period and effective date of the journal batch.

15. Streamline Automatic Posting(New Feature): AutoPost Criteria can be shared across ledgers that have
the same chart of accounts and calendar. This dramatically reduces the number of AutoPost Criteria sets
you need to define. Furthermore, you can automatically post journals across multiple ledgers imultaneously.

16. Streamline AutoReversal Criteria Setup:(New feature) AutoReversal Criteria can be shared across
ledgers. This dramatically reduces the number of AutoReversal Criteria sets you need to define.

17. Streamline Consolidation Mappings : You are able to define Chart of Accounts Mappings (formerly
known as Consolidation Mappings) between two charts of accounts. Therefore, if you
have multiple Consolidation Definitions for parent and subsidiary ledgers that share the same chart of
accounts pair, and their mapping rules are the same, you only have to define a single Chart of Accounts
Mapping. This significantly reduces the number of mappings you need to define if your Consolidation
Definitions involve the same pair of charts of accounts and the mapping rules are the same.
18. Replacement for Disabled Accounts: When an account is disabled, you can prevent transactions that
include the account from erroring during journal import by defining a replacement account for the disabled
account. Journal import replaces the disabled account with the replacement account and continue the
journal import process if the replacement account is valid. This improves processing efficiency by preventing
the journal import process from erroring and enabling the successful creation of the journal with minimal
user intervention when an account has been disabled.

19. Data Security across Legal Entities and Ledgers: In R12 release, since you can access multiple legal
entities and ledgers when you log into Oracle General Ledger using a single responsibility, Oracle General
Ledger provides you with flexible ways to secure your data by legal entity, ledger, or even balancing
segment values or management segment values. You are able to control whether a user can only view data,
or whether they can also enter and modify data for a legal entity, ledger, balancing segment value or
management segment value.

20. Management Reporting Security: You can designate any segment (except the natural account segment)
of your chart of accounts to be your management segment and use Oracle General Ledger’s security model
to secure the management segment for reporting and entry of management adjustments.

21. Prevent Reversal of Journals with Frozen Sources: Journals with frozen journal sources are prevented
from being reversed to streamline the reconciliation of data from Subledger Accounting sources.

22. Prevent Reversal of Unposted Journals: Users are no longer allowed to reverse ‘Unposted’ journals.

23. Entered Currency Reporting and Analysis: Oracle General Ledger tracks the balances that are entered
in your ledger’s primary currency. This enables customers to perform currency analysis on amounts that are
entered in the ledger’s primary currency for the purposes of currency valuation and hedging.

24. Foreign Currency Recurring Journals: You can use Recurring Journals to create foreign currency
journals. This enables user to pre-define journals that are recurring in nature and that are in foreign
currencies and simply generate them when business need them.

25. Intercompany Balancing Support for Encumbrances: Intercompany encumbrance journals are
automatically balanced during journal posting.

26. Integration with Subledger Accounting: Oracle Subledger Accounting provides tools that allow users to
meet multigaap, corporate, and fiscal accounting requirements. With a flexible tool
called Accounting Methods Builder, users can determine the accounts, lines,descriptions, summarization,
and dates of their journal entries. Users can also add detailed transaction information to journal headers and
lines. Detailed subledger accounting journals are available for analytics,auditing, and reporting. They are
summarized, transferred, imported and posted to Oracle General Ledger.

Oracle General Ledger’s integration with Subledger Accounting provides a unified process to post data to
general ledger from Oracle subledgers and external feeder systems. Also, it provides a consistent view
when drilling down from general ledger balances to subledger transactions. Please refer to the Oracle
Subledger Accounting section of this document for more information.

27. Enhanced Intercompany: The Global Intercompany System (GIS) feature from previous releases has
been incorporated into the Oracle Advanced Intercompany System product. Please refer to the Oracle
Advanced Global Intercompany System section of this document for more information.

28. GL Standard Reports Integration With XML Publisher: Oracle General Ledger’s Account Analysis,
General Journals and Trial Balance standard reports are now integrated with XML Publisher. Using XML
Publisher allows you to leverage the formatting features of a word processing application to design the
layout of your report.
In R12 a new product called Oracle Subledger Accounting is introduced.

Oracle Sub ledger Accounting is a new product in this release. Oracle Sub ledger Accounting enables
corporations to comply with corporate,local and managerial accounting and audit requirements via increased
control,visibility and efficiency.
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