AutoInvoice and Legal Entity Document Sequencing: How
Transactions are Processed

If the primary ledger is enabled for document sequencing at the legal entity level, AutoInvoice validates and assigns document numbers to transactions according to the requirements of the ledger settings. However If an imported transaction line already has a document number, then AutoInvoice accepts this document number without further validation.

How Transactions Are Processed

1. Validate and group transaction lines into transactions.
2. Derive the legal entity for each transaction and assign the legal entity to the transaction.
3. If the transaction does not have an accounting date, then derive the accounting date.
4. If the primary ledger option Enforce Chronological Order on Document Date is not enabled:
a. Retrieve the document sequence for the document category of each transaction type assigned to
transactions.
b. Assign the document number to the transaction according to the combination of legal entity, transaction type,
document sequence and accounting date.
5. If the primary ledger option Enforce Chronological Order on Document Date is enabled:
a. Order transactions by legal entity and then by transaction type.
b. Retrieve the document sequence for the document category of each transaction type assigned to
transactions.
c. Order transactions by document sequence and then by accounting date in ascending chronological order.
d. Compare the document sequence accounting date to the accounting date of the transaction.
e. If the transaction accounting date is equal to or later than the document sequence accounting date, assign
the document number to the transaction according to the combination of legal entity, transaction type,
document sequence and accounting date.
f. If the transaction accounting date is earlier than the document sequence accounting date, retrieve the value of
the Receivables system option Accounting Dates Out of Order.
g. If the Accounting Dates Out of Order option is set to:
• Reject: Reject the transaction and transfer the transaction to the error table.
• Adjust: Update the transaction accounting date with the document sequence accounting date.

h.Assign the document number to the transaction according to the combination of legal entity, transaction type,document sequence and accounting date.

Legal Entity Document Sequencing

Document sequencing can be setup at legal entity level instead of ledger level. Hence if there are two or more legal entities assigned to a single ledger then there can be different document sequences for different legal entities. 

Points to consider for using document sequencing at the legal entity level for Receivables:

Document Sequencing in Receivables:

1. Set the Sequencing By option to Legal Entity.

2. Optionally enable the Enforce Document Sequencing option for Receivables.

Receivables Document Categories:

Receivables creates a document category for each of these Receivables events in all legal entities assigned to the

ledger:

• Invoice transaction type

• Credit memo transaction type

• Debit memo transaction type

• Bills receivable transaction type

• Standard receipt

• Adjustment

 

To assign a document sequence to a document category:

1. Navigate to the Manage Document Sequence Categories page.

2. Search for the document categories that you want.

    You can use the Category Code field to limit your search by entering, for example, Invoice or Receipt.

3. Review the search results to find the document category that you want

4. If necessary, update the category name according to your requirements.

5. Save your changes.

6. Navigate to the Manage Receivables Document Sequences page.

7. Search for the document sequence name that you want, or create a new document sequence.

8. In the Search Results section, update or complete the document sequence setup according to your requirements.

9. In the Assignments section, select the document category to assign to this document sequence.

10. Save your changes.

 

The document sequence number is generated when the following related action takes place:

• Transactions:        At the time of either saving or completing the transaction, depending on the setting of the Receivables

                                system option Document Number Generation Level for the applicable business units.

• Adjustments:        When the adjustment is submitted.

• Receipts:              When the receipt is submitted.

• Bills Receivable: When the bill receivable is completed.

Gapless Document Sequencing:

Gapless document sequencing applies to invoice, credit memo and debit memo transactions only and not receipts, adjustments or bills receivable.

In the Sequencing section of the Specify Options page of your primary ledger perform these three tasks:

1. Set the Sequencing By option to Legal Entity.

2. Enable the Enforce Document Sequencing option for Receivables.

3. Enable the Enforce Chronological Order on Document Date option.

AutoInvoice Processing :

In the Receivables System Options page: Billing and Revenue tab: AutoInvoice section, set the Accounting Dates Out of

Order field to Reject or Adjust:

• Reject: If the transaction accounting date is out of order within the document sequence, reject the transaction and

transfer it to the error table.

• Adjust: If the transaction accounting date is out of order within the document sequence, adjust the accounting date

to conform to the document sequence accounting date.