Closing the Fixed Assets module should be a quick and painless process each month. As most Oracle ERP users know, the module only allows for one period to be opened at a time, and once you close the period you can never re-open it again. I guess this can be both a good and bad thing – depending on how efficient your team is with keeping asset tracking up-to-date each month. There are a few simple steps you want to run through to ensure the module is closed properly and they are as follows:
- Ensure that the Create Mass Additions process has been submitted through the Payables work area. This ensures that any invoiced assets have been pushed through to the Fixed Assets module and can be processed accordingly.
- Once all assets are in the module, process them as needed – Capitalize, classify, update financial/descriptive details, etc.
- Run the Create Accounting process. This will account for all the newly added assets and gives you the opportunity to see what is outstanding so you and your team can resolve any issues.
- Run Depreciation. The ease of running depreciation is as simple as the click of a button. The Depreciation infotile provides a summary of all Period, Book, Ledger, Depreciation, and Asset information so you can do a quick review of what’s happened this month.
- You can optionally choose to run depreciation as a stand alone process or you can run it in Close mode, which kicks off the depreciation process as well as closes the books. Of course, if you prefer to run depreciation separately from closing the period, you can do that as well. This final step is simply here to tell you to close the period.
When closing the Fixed Assets period, ALWAYS remember: You can NEVER go back once you have moved on. If you reference my previous blog called “Closing the Books? Follow This Order!” you will see the order of closing each module, so you will be able to reference where Fixed Assets fit into this process.
Thanks for taking the time to learn this simple process!