Corero Systems Ltd. Resource Version 1.8.5

Transcription

1 ICAEW Accreditation Scheme Financial Accounting Software Evaluation Corero Systems Ltd Resource Evaluation carried out by: John Oates - Baker Tilly Tax and Accounting Limited Date completed: 12 November 2008 Signed: John Oates ICAEW Version

2 Table of Contents 1 Summary Approach to evaluation Matters to consider before purchase Evaluation conclusion Security and continuity of processing Input of transactions File maintenance Processing Performance of requisite accounting functions Reports Value Added Tax Currency Sales Order Processing and Invoice Production Purchase Order Processing Stock Control User Documentation Efficiency Integration and www facilities Support and maintenance...86 ICAEW Version

3 1 Summary 1.1 Introduction The suitability of accounting software for each particular user will always be dependent upon that user's individual requirements. These requirements should therefore always be fully considered before software is acquired. The quality of the software developers or suppliers should also be considered at the onset. 1.2 Fundamentally, good accounting software should: Be capable of supporting the accounting functions for which it was designed. Provide facilities to ensure the completeness, accuracy, confidentiality and continued integrity of these accounting functions. Be effectively supported and maintained. It is also desirable that good accounting software should: Be easy to learn, understand and operate. Make best practical use of available resources. Accommodate limited changes to reflect specific user requirements. It is essential, when software is implemented, for appropriate support and training to be available. 2 Approach to evaluation 2.1 Objective To evaluate Resource against a set of criteria developed by the ICAEW to ensure that the software meets the requirements of Good Accounting Software, as laid down in the summary. 2.2 Approach and Work performed In order to effectively evaluate Resource a product specialist from Corero Systems Ltd completed the detailed questionnaire and provided it to the evaluator to examine. The evaluator then visited Corero Systems Ltd office in Rickmansworth, Herts and in conjunction with the operation of the various aspects of the software assisted by a member of Corero Systems Ltd s technical staff checked the answers to confirm their validity. The questions were individually reviewed and commented on and the majority of assessments were confirmed. The evaluator discussed the assessments with a member of Corero Systems Ltd staff in order to clarify certain points. In the event of disagreement between Corero Systems Ltd and the evaluator, the evaluator's decision was taken as final and the response changed accordingly. 3

4 Resource was used throughout the evaluation. The evaluation covered the fully integrated sales, purchase and general ledgers and where appropriate sales order processing, sales invoicing, purchase order processing and stock software, separate reports have not been prepared for each ledger. Instead a composite report has been prepared with references made to the appropriate ledger as necessary. When the evaluation had been completed, the responses were completed by the evaluator and a draft copy sent to the ICAEW for review before completion of the final report. 2.3 Software/hardware utilised The accreditation evaluation was performed using version of Resource on a laptop with an Intel Core Duo 2.1Ghz processor and 2Gb RAM running under Microsoft Windows XP 2002 SP Report structure The report has been broken down into its main constituents in the contents page. The evaluation questionnaire was provided by the ICAEW and has been used without alteration or amendment. 3 Matters to consider before purchase 3.1 General overview Resource is a 32-bit client server Microsoft Windows compatible suite of software covering the major areas of accounting and management reporting including stock/inventory, job costing, payroll and time ledgers. 3.2 Supplier background The "Resource" accounting and management information modular range of products was originally developed by DSR-Resource PLC which was established in the UK during In October 2000 DSR-Resource PLC was acquired by Mondas PLC who provide consultancy and e-business solutions primarily to the financial sector. Since that time, the Resource range of products have been enhanced and extended to include the latest Human Resources, Continuing Professional Development and Learning Management Solutions. In February 2007 as part of a rebranding exercise the company was renamed as Corero Systems Limited which is the primary trading subsidiary of the Corero plc group. Corero operates in two divisions Financial Markets, serving the global banking & securities sector on four continents and Business Systems, delivering solutions to the business and education sectors. For more information on Corero and its products and services refer to 4

5 3.3 Product background and Suitability for user The first version of Resource I software was installed in the early 1980s. Various levels of software were developed from Resource I to Resource V culminating in the current product "Resource 32000". The first customer site of Resource was installed at the end of Resource provides comprehensive budgetary controls, full commitment accounting and sophisticated job costing capability that tracks charges and bills expenses. There is strong integration between the various modules in the package and enables the introduction of workflow controlled e-business processes. In addition to the core modules, Resource includes a number of additional modules which are not covered in detail by the software accreditation scheme. Details of these modules are provided in the appendix on pages 9-12 to enable the reader to understand the full scope of the software but, insofar as they are not specifically referred to within the questionnaire, these features have not been included in the evaluation of the software. 5

6 3.4 Typical implementations Professional Services - Integrated project costing, web-based timesheet and expense solution to ensure accurate, up-to-date billing and project control. Public Sector & Education - Comprehensive budget control, commitment accounting and purchase order processing for the public sector. Distribution - Sales order processing with back-to-back integration with purchase order processing & stock control including ebis-xml functionality. 3.5 Vertical applications Resource's comprehensive budget controls and commitment accounting together with its focus on addressing specific industry drivers and needs within its markets, has made it a popular in the public sector including Education where it is a market leader in Colleges of Further Education. XML technology has been built into Resource to provide integration with web based trading systems in particular the education sector's HEeP and FEOnline systems using the XcBL standard. 3.6 Software and hardware specifications Server platforms Data Server Software Processor Operating System Memory Disk Microsoft SQL Server 2000 Standard (SP 3) or Above Intel Pentium, 1.5 GHz or above Microsoft Windows 2000 Server or above 1 GB 10GB. Clients running Novel 4 or above can use Sybase SQL Anywhere V7 or V8. Clients running UNIX can operate with Oracle 8i or above. If running Windows 2003 and SQL 2005 memory to be increased by a minimum of 1Gb. Web Server Software Processor Operating System Memory Disk All supplied by Corero (i.e. IIS is not required) Intel Pentium Processor, 1.5GHz Windows 2000 Server Service Pack 4 or Above 2GB 10GB. 6

7 Resource Client Workstations Processor Operating System Memory Disk drivers etc. Intel Pentium 1Ghz Microsoft Windows 2000/XP/Vista 512 MB MB on each PC to install Report Writer, ODBC Resource Web Software Client Workstations Any machine capable of running a modern Web Browser. An example would be any Windows PC running Internet Explorer 5.5 or above with 128MB of RAM and a 300 MHz Pentium or better Databases For Microsoft Platforms SQL Server 7 or 2000 For Netware Sybase Adaptive Server Anywhere version 7 or 8 For HP Unix Oracle 8i or 9i Operating software Windows 32 bit operating system i.e. Windows 95 through Windows XP Thin-Client Mode: Microsoft Terminal Server or Citrix Client PC specification Recommended Pentium 700 with 128MB RAM and 100MB Free Hard Drive Space Minimum Pentium 200 with 64MB RAM and 100MB Free Hard Drive space 3.7 Software installation and support Corero offers a complete consultancy, implementation and training service. Customers are supported by a telephone support helpdesk which is available during UK office hours and a customer extranet which is available 24x Partner network and related accreditation process Corero Systems Ltd deals direct with its clients and does not operate a dealer network. 7

8 3.9 Limitations There are a number of limitations in the product which while not adversely impacting upon this evaluation may be of importance to certain organisations. It is important that any organisation contemplating the purchase of software reviews the functionality described and limitations therein against its detailed requirements. Attention is drawn in particular to the following areas where the product, on its own, may not be suitable for organisations with certain specific requirements: The system updates ledgers in real-time. Limited batch processing is available as an option in the sales ledger only. The software does not provide calculation of interest on late payments but a report could be provided to facilitate this. The system does not cater for cash VAT accounting. A report detailing effective dates for historical currency rates is not provided as standard. A report detailing over-ridden VAT calculations is not provided as standard. Production of a cash flow statement is not provided as a standard feature but a report could be provided based upon customer requirements. The system does not provide budgeting functionality for the sales and purchase ledgers. The system does not automatically identify EU acquisitions and generate EU acquisition tax as standard but a report could be created to facilitate this if required. The system does not automatically identify transactions liable to reverse charge VAT and generate reverse charge VAT as standard but a report could be created to facilitate this. A report detailing exceptional VAT transactions is not provided as standard but if required could be provided based upon customer requirements. 8

9 4 Evaluation conclusion There were no areas in the evaluation that gave concern. Resource v1.8.5 is a well designed financial accounting package that will be supported direct by Corero Systems Ltd. In terms of the functionality that is present in the current version and the target market for this product, the product has been adequately specified. It is easy to use and relatively flexible in its approach. Disclaimer Any organisation considering the purchase of Resource should consider their requirements in the light of proposals from Corero Systems Ltd and potential suppliers of other similarly specified products. Whilst the contents of this document are presented in good faith, neither ICAEW nor Baker Tilly Tax and Accounting Limited can accept liability for actions taken as a result of comments made herein. 9

10 Appendix Resource includes a number of additional modules which are not covered in detail by the software accreditation scheme. Details of these modules are provided below in order to enable the reader to understand the full scope of the software but, insofar as they are not specifically referred to within the questionnaire, these features have not been included in the evaluation of the software Web Browser Remote access for non financial users Controlled access to a sub set of data Requisitioning and Purchase Ordering Time sheets and Expenses Self Service HR Conditional workflow and approval process Budget Checking Budget Holder reporting Financial report distribution Drill down to source transactions including scanned images Approval of purchase invoices on scanned images Project and Job enquiries Proactive alerts to approvers with instant access to transaction Cash Book Multiple cashbooks with multi-currency Full daily, weekly, monthly and periodic standing order controls Full bank reconciliation procedures Full integration with other cash impact ledgers Regular receipt and payment systems Fixed Assets Multiple user-defined codes per asset Multiple depreciation methods and rates Full asset history and enquiries Automatic journals for write-offs and sales Fixed asset revaluation systems Year end schedules for audit purposes Summary fixed asset lists and reports Asset location controls Bar Coding 10

11 Payroll Automatic gross and tax calculations in multiple payrolls Multiple periods and payment methods Full departmental controls into N/L and jobs Pension scheme calculations Comprehensive security systems and passwords Comprehensive year end returns reporting Tax, NI, SSP, SMP tables user changeable Timesheet entry by jobs or employees Extensive enquiries and reporting Job Costing Full live and archive job histories for enquiry and reporting Multiple budgets with commitment accountability Multiple user-defined cost codes Multiple billing methods including flat fee Full multi-currency Full integration to other ledgers Jobs linked to departments or cost centres Expenses Full timesheet and expense input with extensive analysis Powerful timesheet authorisation systems Strong live and archive data held for enquiry and reporting Analysis reporting against budgets Staff availability enquiries and reporting Staff profitability information against standard Fully integrated to other ledgers User definable billing rates by employee and task Powerful enquiry and reporting facilities Assemblies Full parts explosion with multi levels Standard cost recalculation What-if enquiries for raw material price changes Batches linked to Job Costing and Stock System Kitting links to Sales Order Processing Automatic purchase orders from required materials Post non-stock costs and other finished components to batches 11

12 Marketing Database Automatic mass or selective mailing facilities Customer history detail of all contacts Links to Sales Ledger, Sales Invoicing, Sales Order Processing Multiple contacts per customer with recorded Decision Makers Automatic allocation of prospects to staff Powerful suggested contacts systems Automatic call prompting after selected times Import names and address lists etc Human Resources Recording and maintenance all employee personal details including post detail Recording of Absences, Qualifications and Training courses Review functionality with scheduled/actual dates and outcomes Recruitment and Vacancy Tracking Automatic production of the SIR Return Facilitates easy statistical analysis and reporting Self Service available for change of personal details, holiday bookings etc Subcontractor Module Full Sub Contractor details including Employer and Public Liability Insurances Full support for CIS4, CIS5 & CIS6 schemes Alerts on CIS scheme Expiry Date Support for Retentions Integrated with both Purchase Ledger & Project Costing Continuing Professional Development Maintenance of Training Providers and all associated details, locations etc Recording of Course detail, the instances of these courses and the outcomes Automatic Skills Gap Analysis driven by qualifications or competencies required by posts Course Bookings and authorisation Achievement and Review maintenance Production of and recording of Course Evaluation Forms Statistical analysis available on the outcome of evaluations Self Service available for Training Requests and Evaluation Input Integration with Project Costing for Course Costing and Budget Management 12

13 Learning Management System Organisation Configuration and Management Programme Management Enquiries, Admission and Enrolments Full Student Record Examinations Record Tutor Groups Registers and Attendance Assessment Tracking Curriculum Balancing ILR Production Fully Flexible Reporting Task Manager Provides User Intray of Allocated Tasks/Authorisations Typical Tasks include Purchase Orders; Purchase Ledger Invoices; Project Initiations; Holiday Requests. 13

14 5 Security and continuity of processing 5.1 What security features are included to control access to the application? 5.2 Can access to application functions be managed so users can only see (in menus and other links) and access those functions they are authorised to access? 5.3 Is this access to the application managed by: Individual user profiles? User groups based on their job roles? 5.4 If menus can be tailored would this override the application access control? 5.5 Passwords Is access to the software controlled by password? Please state the basis of control available (e.g., role based etc) If there is no password facility please state how confidentiality and accessibility control can be maintained within the software? Are single user systems access controlled by password? Password to control access to menu item, nominal code, department etc. Security is also down to field level within static data, users do not see functions and data they do not have access to It may be both. Group profiles may be used as templates for individual profiles No Individual (although an individual may be in a role grouping) N/A Confirmed - access rights can be set for groups & individual users. Up to 99 access levels can be defined in addition to providing or restricting access to specific fields and functions for individual users / groups. Confirmed both available. N/A 14

15 5.5.5 Does the software allow for each user to have separate log on (user ids)? If No: How does the software track user activity? Is each user required to have a personal password? Are passwords one-way encrypted? [i.e. Is it impossible for anyone to see other user s passwords in the software?] Are passwords masked when entered by any user logging in? Is password complexity available at application level? If : Please specify [e.g. Number of digits, requirement for special characters, numeric, upper/lower case etc.], they are not shown This may be specified by the system Confirmed can set minimum password length & prevent obvious passwords Is there a facility to enforce password changes after a chosen period of time? Is there a facility to specify a minimum age for passwords (e.g. 1 day)?, a password could be valid for one day 15

16 How many previous passwords are retained by the system to limit users recycling passwords (e.g. 24 or 32)? None N/A not available. 5.6 Please state how security allows for access to be specified separately for : Read? Read and write? Delete and amend? 5.7 Are any data files, such as budgets or price updates, imported by users validated by the application software before main data files are updated? 5.8 Does the software require higher or specific levels of user access for changes to sensitive data, such as customer credit limits? Security is at field level and can be set for read only, write, or hidden completely All imported files are validated prior to update. Invalid data is not allowed Users may not have access to the maintenance screens at all. There is full segregation of duties. Security is at field level, therefore customer credit limits, bank accounts etc may be protected. Confirmed 99 security levels available each of which can be specified down to field level. 5.9 Please specify the specific security procedures (by passwords or warnings) over the: Update of ledgers All functions may be password protected via the user access rights. Menus may also be tailored, therefore users may be blocked from seeing these options. As Closing of accounting periods Deletion of transactions N/A transactions may not be deleted Archiving of transactions. As

17 5.10 Is it impossible to delete a transaction? If No: 5.11 How are deletions controlled by the system? 5.12 Are deleted transactions retained in the audit trail and denoted as such? 5.13 Can a report be produced detailing all current users, via user groups if relevant, and their authority levels and/or access rights? 5.14 If data can be accessed by separate reporting facilities, such as ODBC or separate report writer, is the user access security control applied? If No: Please explain any other protection in place to prevent unauthorised access to data with such facilities Is the level of security (described with this section) appropriate for the expected size of business using the software?, once it has been approved and posted. N/A transactions cannot be deleted. this is a screen enquiry which can be sent to an Excel report, although the front end security does not have to replicate the back end security Security may be adapted to suit any size or structure of business. Security may be at individual user level, at group level, or a combination of both. That is, a group profile is used as a skeleton for an individual to avoid starting from scratch whenever a new employee is added. Confirmed by default the application security levels apply but it is possible to apply different security levels to reporting via the web front-end. 17

18 5.17 Is there a clear indication in the software or manuals as to how the data is: Backed-up? Recovered? Back up and recoveries are done via the operating system, e.g. SQL server. Resource supports numerous operating systems. The processes required will be covered as part of the implementation and documented on site. Confirmed more appropriate to rely on back-up procedure relevant to the relevant database operating system Back ups How are back ups provided: Within the software application? Within the operating software? Are backup procedures automatic? Is the user forced or prompted to back-up at certain intervals? Backups are done via the operating system They may be scheduled via the operating system Screen prompts remind the user to back up the database when doing period and year ends Can the intervals be customised? Prompts relate to specific periodic functions back-up intervals will be set by database operating system Recovery Please state how the software facilitates recovery procedures in the event of software failure? (E.g. roll back to the last completed transaction) If software failure occurs part way through a batch or transaction, will the operator have to re-input the batch or only the transaction being input at the time of the failure? The system will roll back to the last saved, and balancing, transaction. This is done via the operating system (SQL) Only the transaction being input at the time of failure. Resource is not a batch system, and therefore only one transaction will be affected. Normally the system recovers automatically but for exceptional circumstances a rebalance function can be used with the guidance of technical support to achieve full recovery. 18

19 Are these automated? Automation may be done via the underlying database, rather than in the application itself Do the recovery procedures work?! Although we would advise our clients to regularly test their procedures 5.20 What features are available within the software to help track down processing problems? A data integrity check 5.21 Are software messages clear?, they tell the operator exactly what the problem is 5.22 Are user responses properly structured to ensure that erroneous key strikes do not lead to inappropriate actions?, and inappropriate or invalid input is immediately highlighted to the operator, i.e. they are not allowed to proceed Significant actions require confirmation 19

20 5.23 I s there a software log which details: Error messages? No, other than for imported data System error messages are logged and can be reported, user error messages are not logged with the exception of failed login attempts Security violations? Confirmed failed login attempts can be reported. 20

21 5.24 Audit trail Does the software have a detailed audit trail?, for any date/user/table etc Is it impossible to turn off or delete the audit trail? Are all master file changes recorded in the audit trail? If : Does each change have a system generated reference allocated? Are the originator and authoriser identified? Is the change date and time stamped? Not master file changes, only transactional input, and multiple authorisers if appropriate, together with dates and times, of input and authorisation Master file changes are recorded in the audit trail. It is possible to specify that particular static data field changes are not recorded in order to keep the log size manageable. Master file changes are date & time stamped. 21

22 Are all standing data changes recorded in the audit trail? If : Does each change have a system generated reference allocated? Are the originator and authoriser identified? Is the change date and time stamped? Is all input data included within the audit trail, including amendments, deletions, journals etc? Does the software allocate a system generated unique reference number to each transaction? Is this stamped with a user id? Is this unique reference number presented to the user at time of input? Is the transaction date and time stamped? Are all imported /interfaced transactions allocated a software generated reference number? How are transactions differentiated within the audit trail? No, via the transaction daybook By transaction type within module It is possible to specify that particular static data field changes are not recorded in order to keep the log size manageable. Recorded static data changes are date & time stamped. 22

23 5.25 What are the procedures for handling dates? (E.g. 2 digit years, 4 digit years) In the case of two digits what is the break point for the century? Are dates handled consistently throughout the software? Dates must include a 4 digit year. If a 2 digit year is used, the system has a window rule which assumes that entered dates are between 1930 and 2029 Between 1930 and

24 6 Input of transactions The following sections in Input of transactions, File maintenance, Processing and Reports are primarily aimed at the three main accounting ledgers and where applicable Sales Order Processing, Sales Invoicing, Purchase Order Processing and Stock Control. 6.1 Is data input controlled by selfexplanatory menu options? The system has a very comprehensive menu system that is ledger specific and allows for easy processing of data Confirmed all menus are selfexplanatory and easy to follow. 6.2 Are these menus applicationspecific? Application and ledger specific 24

25 6.3 Does the software provide input validation checks such as account code validation, reasonableness (limits, VAT or discount checking) and validity checks (VAT check-digit calculations)?, and potential errors are highlighted at the point of input (VAT is calculated automatically based on either gross or net input, although if manually overwritten, the system will check the values against the VAT code and highlight improbabilities) Pop-up message warns of invalid data or format and prevents processing. 6.4 Can the user amend data on an input screen prior to update?, although some fields may be locked, such as control accounts and system generated reference numbers 25

26 6.5 What control features are within the software to ensure completeness and accuracy of datainput? All transactions must balance prior to any update occurring Valid codes are picked from a dropdown list to ensure accuracy Transactions will not be posted when required data is missing Additionally, numerous defaults may be held against suppliers, customers, nominal codes etc to reduce manual input and the possibility of error 26

27 6.6 Are all input transactions subject to this control? 6.7 How does the software ensure uniqueness of the input transactions? (i.e. to avoid duplicate transactions) 6.8 Does the software allow for batch control totals? If : Are batches automatically numbered? Are batches forced to balance before ledger update? Does the software allow the temporary halting of input of a batch to allow for queries or other activities to take priority (e.g. set up a new account) Is the user forced to confirm batch totals? 6.9 Is attempted posting of unbalanced journals rejected? (G/L). Account references and codes are checked for uniqueness as are invoice references. No batch facility exists as the system runs in real time N/A individual transactions are forced to balance prior to update Batches N/A but individual transactions can be paused while other activities take place. N/A, non balancing entries are not allowed Confirmed - the system updates ledgers in real-time following each entry. Confirmed multiple tasks can be undertaken at any one time. N/A Confirmed journals must be balanced before posting. 27

28 6.10 Are input errors highlighted? 6.11 If are they: Rejected and reported on screen? Rejected and error reports generated?, at the point of input There are standard reports to highlight activity at user level and login failures. When mass data imports are taking place, there are also error reports recording invalid data that has been rejected Accepted and posted to suspense? No, as they will not be accepted Confirmed errors must be corrected before posting. 28

29 6.12 Does the software have an automatic facility to correct/reverse/delete transactions? If : Are all the double entry transactions documented in the audit trail? 6.13 What are the controls to ensure the internal integrity of the ledger(s) or the accounting information, e.g., control of accounts Is it possible to allocate input values directly to ledger control accounts? If : Please note the mechanisms available to allow the user to establish why the total balances on individual accounts do not agree to a respective control account? 6.15 Can automatic accruals or prepayments be generated? No, all entries must be a full audited transaction. Once they are posted, they cannot be amended Control accounts may be protected from manual postings All update is real time and simultaneous, and therefore it is impossible for any ledger to get out of balance Control reports and screen enquiries are available throughout the system to summarise balances for quick and easy manual checking Nominal accounts may be designated as control accounts, in which case manual input will not be allowed Accrual and prepayment journals are a standard document type Confirmed posting to accounts marked as control accounts is prevented. N/A Confirmed operation of each type of accrual & prepayment journal Will these automatically be reversed after the period end? (G/L) Confirmed it is also possible to specify the reversal period. 29

30 6.17 Does the software have a purchase invoice register? Confirmed available but optional whether it is used Does the software permit multi debit/credit journals? 6.19 How are transactions identified on screen/reports as to: Type? Debit or credit? Each transaction has a type code, and debits and credits are clearly shown in different columns. Operators may choose which data they see, and the subsequent sorting and filtering they require 30

31 6.20 Can separate nominal analysis codes be input for each invoice line? If : Does this cover: Sales ledger? Purchase ledger? Stock? 6.22 Can receipts and payments be matched to specific invoices? If :- Is this Automatic or manual? 6.23 Will the software permit part payments? 6.24 Will the software allow: Payments to be made to customers? Receipts to be received from suppliers? 6.25 Does the software handle purchase credit notes?, all ledgers and modules, fully allocated or partially allocated It may be either, or a combination of both, there is refund calculation and processing Each line can be further analysed e.g. between departments, budgets or funding providers Is there an ability to automatically amend stock if applicable? 6.27 Can the software generate sales credit notes? 6.28 Does the software handle discounts and promotions?, discounts may be held at customer, supplier, or stock item level 31

32 6.29 Does the software provide for early settlement discounts? 6.30 Can early settlement discounts be automatically generated? 6.31 Are there controls over accepting settlement discounts (e.g. time limits)?, unlimited user defined, held against the supplier or customer record, these are held against the discount master record Confirmed prompt payment codes can be defined for stock, customers & suppliers. Confirmed operation of both overall default terms as well as customer specific terms. Confirmed - either within time period or before specific date eg. in following month Is VAT treated correctly on early settlement discounts? 6.33 `Will the software permit the posting of unallocated cash to the ledgers? Does this apply to: Sales ledger? Purchase ledger? 32

33 6.34 Are unallocated cash/credit notes specifically reported for follow up? They will appear separately on the daybook Unallocated cash or credit notes will also appear on standard reports such as the Credit Control report and the Detail Creditors report 6.35 Are outstanding transactions displayed for allocation? If does this apply to: Sales ledger?, when cash or journals are being posted, all outstanding transactions are offered for allocation. This applies to both the Sales Ledger and the Purchase Ledger Purchase ledger? This applies to both the Sales Ledger and the Purchase Ledger 6.36 Is it possible for new accounts to be created during input?, new accounts may be added on the fly, as may other processes such as enquiries and report requests subject to user permissions Multiple windows may be open simultaneously Confirmed creation of new customer during entry of sales invoice Does this cover the following ledgers: Sales? Purchases? General? Stock?, all ledgers 6.38 What controls are there over the creation of new accounts? Access to all maintenance areas is by menu access, and then field access within a record. This is standard security throughout the software 33

34 6.39 Is the originator and/or authoriser identification logged by the software? 6.40 Is the user prevented or warned from overriding credit limits or discounts? (S/L) Does the software have a bank reconciliation facility? 6.42 Does the software enable transactions to be posted to the ledgers whilst performing a bank reconciliation (e.g. standing charges, bank charges etc)?, and is shown wherever relevant, a warning is displayed within Sales Order Processing when a credit limit will be exceeded., both manual and automatic, multiple screens may be active simultaneously A configuration option at set-up allows prevention of order if required. Tolerance levels can be set with review & approve prior to completing reconciliation. Confirmed operation of wild reconciliation transaction type for handling this type of issue Are these adequately reported? All transactions are reported via document type on the audit trail 6.44 Does the software accept input files from other computer packages? If : What formats are accepted? What controls are in place over the interface? 6.45 Does the software have a facility for calculating interest on late payments?, in a controlled and audited manner Any ODBC datasource such as text, Excel, Access, rdbm Fields are validated as records are read from the source data. A full list is produced of all errors, and the correct and valid transactions may be accepted, or the entire batch rejected No It is possible to set duplicate entries to be rejected or merged. Import can either be performed using a general import function or by building a specific menu item. N/A - not available as standard but report could be created if this was required. 34

35 7 File maintenance 7.1 Are ledgers: Open item? Balance forward? 7.2 Does the above cover: Sales ledger? Purchase ledger? General ledger? 7.3 Is a month end routine required to be undertaken? 7.4 Is the creation or amendment of standing data (e.g. customer account details) controlled by menu options? 7.5 Are menus: Application specific? User specific? Open item on screen either/both on reports, however Resource is designed to be used in multiple years and periods simultaneously so it is not critical that it is done. A month end will permanently prevent any further postings for that period, however, specific users may be prevented from posting to past periods only. All month ends must be performed prior to the year end taking place User (or group/profile) specific 35

36 7.6 Is it impossible to delete accounts if the balance if Nil but transactions have been recorded against the code. Does this apply to: General Ledger? Sales Ledger? Purchase Ledger? Stock? 7.7 Are there any other constraints over the deletion of accounts? 7.8 What is the size and format of reference numbers and descriptions within: General Ledger? Sales Ledger? Purchase Ledger? Stock? 7.9 Is the scope of the reference number adequate to permit sufficient depth of analysis?, all ledgers if there have been transactions for that year and the previous year. Accounts may also be made dormant which will prevent them showing on current listings There must have been no transactions against the account during the current year or the previous year. Reference numbers are to a maximum of 16 alphanumeric characters and the subsequent description is to 50 characters in all ledgers Analysis is held outside of the reference number. The advantage of this is that the reference number itself may then be quite short and straightforward. Any reference (supplier, customer, nominal, product etc) may have multiple analysis codes to provide comprehensive multi dimensional analysis. These are extremely easy to add and amend, and thus the requirements of the business are not restricted by the analysis which may be held within the reference number itself. Confirmed postings to dormant accounts are prevented. Confirmed additional analysis available by unlimited additional categories and options within each category. 36

37 7.10 How does the software guard against/warn about, duplicate account numbers on set up? The system will not allow duplicate account numbers, and will alert the operator How does the software enable the traceability - from, to and through the accounting records - of any source document or interfaced transaction? 7.12 What drill down/around functionality is available within the software? 7.13 Can reports be invoked which identify all the fields which have been modified? In the usual way via the audit trail and day book There is full visibility as to the history and associated transactions from any item on an enquiry screen. Any external document, image etc may also be linked and retrieved via the links icon at the top of the screen Users may elect what information is available to them at any time In this way, all relevant information is displayed at one time rather than multiple screens having to be accessed. Via the audit reports Confirmed shows type of change, key field, value after change, user, date & time. 37

38 7.14 If the software uses a lot of standing information which changes frequently or regularly, does the software allow for such changes to be effected through the use of parameters or tables? If : Is the use of such parameters or tables adequately reported?, each ledger has a parameters facility which holds ledger defaults 7.15 What controls are within the software over changes to parameters and tables e.g. reporting, password etc? Using the standard system security, this is controlled at menu and record level by password. All changes are also logged on the audit trail 38

39 7.16 Does the software allow selective archiving of old data on a userdefined basis? No, whilst allocated transactions are flagged as archived at period end, they are still held in the same database and therefore available for enquiry and reporting purposes, as is the current data. The deletion of data is done at ledger level for a specific period However should there be an issue with this as regards volume of transactions, we work with our clients to archive data on a selective basis. Confirmed full archiving unlikely to be desirable given modern hardware & database capacities. Such flagging of data as archived simply prevents it from being displayed. Periodic house-keeping routines move matched items into this archive but the display of archived items can be toggled on and off quickly via a button for this purpose What controls are in place over the handling of archived data? To all intents and purposes, it is treated the same as current data Confirmed archived data remains available Can archived data be used for reporting purposes? Confirmed archived data remains available Does the software allow for the restoration of achieved data for audit without affecting current accounting data? Unless data has been selectively deleted, archived and current data is held in the same database and so restoration is unnecessary. 39

40 8 Processing 8.1 Does the software ensure that menu options or programs are executed in the correct sequence (e.g. ensure outstanding transactions are processed before month end procedures run)? 8.2 After an external document (e.g. sales invoice or cheque payment) has been generated and posted to the accounts is it impossible to amend this data? 8.3 Is there an audit trail of all changes to transactions which have updated the ledgers? 8.4 Can the software calculate prices or values by reference to master file data? 8.5 Does the software provide automatic recalculation, where appropriate, of data input? (e.g. VAT) 8.6 Does the software warn the user when the ledger is out of balance? 8.7 How is this done e.g. when the software is switching on or on ledger update?, for example, the period end cannot be run whilst there are un-posted daybooks and month ends must be run before year ends., once any transaction has been posted it is impossible to change financial or nominal detail without going through a fully audited contra or cancellation procedure. All transactions are audited and visible., product codes may have standard prices held which will calculate values on invoices and orders. These may be amended at the point of entry if the user is authorised to make such changes, should values change, the VAT will change accordingly The ledger will not be able to get out of balance as only balancing entries are posted. Should there be a system failure, it will roll back to the last balancing transaction N/A Verified prevention of period closedown where daybook had not been printed. Confirmed - fields that can be amended are restricted to noncritical data. Confirmed all transactions are recorded in the audit trail. Confirmed Confirmed N/A 40

41 9 Performance of requisite accounting functions 9.1 What control features are provided by the software to support effective user controls? 9.2 Is there: Transaction sequencing? Automatic dating of posting transactions? Identification of user id or source of document? 9.3 Is the software available as multi user? 9.4 Can the same function be used by more than one person at the same time, whilst still retaining the separate user identities? 9.5 Is the software available as multicompany? If :- How many companies are supported? Defaults at system, ledger, and record level System generated sequence numbers Duplicate invoice checking Control accounts with system entries only allowed Full audit trails with user ID, date and time stamps, generally this is system generated, but it may be set to be manual, date and time, and approvers No limit 41

42 9.6 Is a group consolidation facility available? 9.7 Can the software consolidate entities with different charts of accounts? 9.8 How many levels of nominal analysis can be handled by the software? 9.9 How does the software handle cost centres, departments, divisions? 9.10 How are periods handled by the software?. Multiple databases automatically create a consolidated database, accumulation is done via the structure of the systems, rather than ad hoc mapping of disparate accounts 5 elements to the nominal code (cost centre, nominal and 3 user definable analysis codes), and 16 analysis codes linked to the nominal All these are entities which may be hierarchically linked All transactions are input in a period, rather than a date Confirmed would need setting up on implementation. Confirmed would need setting up on implementation How many: Accounting periods can be set up? Years can be set up? 9.12 Can the length/ number of periods be adjusted to suit different user requirements? 9.13 How many accounting periods can be open at any one time? 9.14 How many years can be open at any one time? 13 Unlimited It is possible to post to any period that has not actually been closed (subject to user security) It is possible to post to any period that has not actually been closed (subject to user security) 42

43 9.15 Can a period or year be re-opened after it has been closed? If : What controls are in place over this function? If No: Is the data archived on the server? Is this accessible for reporting purposes? Can a previous year be restored from backup? 9.16 Can data from all accounting periods and years be accessed at any one time? No, but there is a prior year adjustment period Confirmed archiving merely suppresses display of data which remains in the database available for reporting Can previous months and years be accessed for enquiries or reports? 9.18 Does the software handle posting date as well as document date? If : Are transactions analysed by posting date or document date? 9.19 Can transactions be posted to more than one accounting period at any point in time? 9.20 Does this cover: General ledger? Sales ledger? Purchase ledger? The posting date is held against the transaction, although the document date is used for analysing A document is posted to one period. However, journals may then be set up to accrue or prepay that value over a number of periods all. 43

44 9.21 Is it possible to allocate transactions to: Future periods? Previous closed periods? A previously closed year? No No It is possible to allocate transactions to any period provided that it has not been closed ( and subject to user security) If : What controls are in place e.g. level of authorisation and on screen warnings? Will the software revise subsequent periods accordingly? 9.22 How will transactions outside the current period be: Reported Accounted for in the VAT return? For every field or process, there is a security setting from 0 (everyone can see/do) to 99 (no one can see/do). Users, and user groups have their own security setting, and anything higher than their own is hidden to them, anything lower than their own is available to them They will be reported on all reports and enquiries for the relevant period They will be included in the correct VAT return for future postings, and the next VAT return for historic postings 44

45 9.23 Does the software permit use of budgets and provide comparisons between budgets and actuals? If : How many versions of budgets/forecasts can be maintained on the system? 9.24 Are budgets available for: General ledger? Sales ledger? Purchase ledger? Overheads? Balance sheet? Unlimited (16 digit code) No No N/A N/A 9.25 Can budgets be set by: Period? Annually? 9.26 Can the software automatically generate budgets? If :- Please state how this is achieved What is the maximum value of transactions and of totals that can be handled by the software? 9.28 What is the maximum number of transactions that can be handled by the software? 9.29 What is the maximum number of accounts on each ledger: Sales ledger? Purchase ledger? General ledger? Or for any period or duration No, but import facilities exist and any existing budget may be saved as to create templates nnn,nnn,nnn,nnn,nnn.nn Limited only by disk space No maximum, only restricted by code length (16 alphanumeric) Automatic % increase can be achieved by exporting to spreadsheet, applying increase and re-importing to the product. Not practicable to verify 45

46 10 Reports 10.1 Are all reports adequately titled and dated? (E.g. report name, client name, data, period, batch, last entry number, period end, pages, numbers etc.) 10.2 Do the reports provide totals where applicable? 10.3 Are these totals calculated or taken from a control file? Please state the reports that do not feature calculated totals Is it clear when the report has ended? (totals or end markers) 10.5 Can reports be saved in electronic format (as distinct from just printing)? 10.6 Are such files adequately protected from deletion or amendment? 10.7 Is a report writer provided as part of the software or as an add on? Please state the name of any third party package What level of knowledge is required to use the report writer e.g. beginner, regular user, expert? All reports are titled and include Company name Report name Date Time Page numbers, and subtotals Calculated, by totals and grand totals, to a spool file Access to the spooler may be restricted There are comprehensive standard parameterised reports within the software, provided as part of the package. If a more sophisticated report writer is required, we provide IQ Objects A regular user Confirmed also to a PDF for example. Confirmed also see above. Confirmed - integration with IQ Objects appeared to be seamless. Export to spreadsheet and IQ Objects are built in to the software, an optional Analyst tool is available for sophisticated reporting via spreadsheets. Reasonable all-round knowledge of the system would be required. 46

47 10.9 Can the report writer make use of user-defined fields (including external fields)? Does the report writer enable: Separate access to each system area? Reports to be prepared which combines related data from a number of system areas (e.g. Customers Sales Stock items) in the same report? Can users define the parameters, columns, fields and selection criteria used on reports reported? Are standard reports always produced, even when they are nil returns? Is there an option for reports to exclude nil balances, this year or where there are nil balances this year and last year, to enable a comparative report to be produced with the completeness of both years being maintained? Can screen layouts, reports and transaction formats be easily adapted to users requirements?, reports may be written from any area of the system They will be produced with the message No requested data found Generally, nil balances are excluded from reports. Some reports have the from and to balance as a parameter. These may be amended either by ourselves or the user if they are not in an ideal format The standard reports are templates which can be modified to meet user requirements. Screen layouts may be adapted by users to include/sort/filter the data required Users are able to make screen layout changes e.g. column size, display order, sorting. These changes are user specific and are retained for the particular user's future sessions. 47

48 10.15 Can a hard copy be produced of all screen enquiries? Can transaction files for all previous periods of the year be retained in the software to permit enquiries and reports?, screen enquiries may be sent to print They may also be copied and pasted onto Excel as xls documents At nominal code level, there is the option to delete detail At year end At period end Never Are reports of all changes to standing data on customers, suppliers, tax rates etc automatically generated or stored for later printing? If : Is the report able to capture the nature of the change, user id and data and time of the change? Are all transactions on all reports individually identifiable? Do the reports show whether items are debit or credit? Do reports give sufficient narrative and coding to enable cross referencing? Is it possible to drill down from reports to the ledgers and original transactions?, held in the audit trail, all transactions have a unique identifier, usually by separate columns, all appropriate codes are shown to enable speedy cross referencing, Drill down and around Confirmed it is possible on system set-up to restrict the degree to which standing data changes are recorded if this is required to avoid the log file becoming unnecessarily large. Confirmed e.g. drill back to customer account from aged debtors report. 48

49 10.22 Can the software produce all requisite reports: Day books Trial balance Profit and loss account Balance sheet Aged debtors Aged creditors Aged stock Aged unallocated cash (debtors) Aged unallocated cash (creditors) Budgets Cash flow statement VAT reports VAT form EC Sales Listings Intrastat returns (SSD) Are the above reports standard within the software or do they have to be written? Is the age criteria fixed or user definable? Can the aged analysis and day book reports be in summary and detail?, either as standard system reports or customised reports set up during implementation Not as standard, as every company has different requirements. However, any data within Resource may be used in the report writer for customised reports Generally are standard, with run time parameters. Customised layouts and formats may be written as part of the implementation as a once only exercise. User definable at run time, they are two different reports within Resource Confirmed all available except cash flow statements. Any data sheet can be saved as text or dragged to another application such as MS Excel. Cash flow statements are not standard but could be created to customer requirements. The Intrastat data sheet has been specifically set up to be in a format that will be acceptable to HMRC. 49

50 10.26 Do standard reporting options give sufficient flexibility to tailor individual reports? We believe so, as the run time parameters may also incorporate user defined analysis Can all reports be reproduced after the period end the month end date: Transaction listings? Day books? Trial balance? Is it possible to print out retrospective month end aged sales and purchase ledger reports that agree back to the month end trial balance control account figures as at the month end?, reports may be produced for an as at date or period, there is retrospective reporting to an as at date 50

51 10.29 Do the standard budget reports provide sufficient analysis of variances? Do such reports provide exception reporting, percentage analysis and comparatives? Do standard reports show sufficient analysis of trading results? (E.g. sales analysis by region)? Are all movements during each accounting period shown on sales, purchase, general, stock ledger detail reports? Do the sales and purchase ledger reports show how all partial payments or allocations have been treated? Is there a general ledger report that shows balances brought forward and carried forward plus all posted transactions in the period?, any report may show actual vs any budget, these reports are use IQ Objects and may be customised to client requirements, the user defined analysis fields allow comparative results at any level, all relevant transactions are shown on all reports, all audited Confirmed - reports showed actual, budget and comparative for period and year-to-date Can the management accounts, profit and loss account and balance sheet be sufficiently analysed by: Project/job Sufficient levels of coding structures available for any analysis or entity level Cost centres Department Division Company Group (if applicable) Can the above be user defined by Period and/or range? 51

52 10.36 What controls are there in place so that the user is aware of partly processed transactions: Unposted invoices Uninvoiced dispatches Payments Receipts State the controls that are in place to ensure that the correct price/discount has been applied to invoices/credit notes? (e.g. Gross Margin reports) Detail all automatically generated documents for external use. (E.g. sales invoices and statements, remittance advices.) Reports show sales invoices which have not been posted, awaiting authorisation or amendment Purchase invoices are either on the register or posted Receipts and payments are either posted or not, there is no middle area Reports will show uninvoiced dispatches Prices may be linked to customer, product, or both Sales invoices Statements Dunning letters Cheques and remittances Orders, sales and purchase Delivery notes E.g. sales order book includes 7 progress stages which can be pre-defined to indicate the stage which has been reached in the processing of any transaction. Confirmed - various options available e.g. by salesperson, by product or in total Can the software reproduce source documents? [E.g. sales invoices; POs, Remittance advices ] Are the duplicates an exact replica of the relevant financial and VAT accounting information as stored on original documents [i.e. they do not take account of any subsequent changes to the standing data?, all documents may be reprinted, the document is reprinted, it is not recalculated 52

53 10.41 Are these clearly identified as duplicates? Does the software force the production of month-end reports? Can the reporting function make use of external data files?, all shown as reprints Daybooks must be printed before a month can be closed., IQ Objects is a cross database reporting tool Options exist to either print or reprint. Reprints are clearly marked as such. If a document has already been printed, the print button is disabled and only the reprint button works Does the report writer have the facility to scroll up and down when output to screen? Can all reports be run without the need for period-end procedures to be initiated? Does the report writer allow print previews of all reports? Can transactions and standing data be output directly to other formats e.g. CSV, txt, XML, PDF etc. for any period of time required?, it can scroll up and down, they can be run at any time 53

54 11 Value Added Tax The following sections detail the general requirements/features of an accounting package in handling VAT. It cannot cover all eventualities or all users and where necessary members should contact their local HMRC office for detailed guidance. The overall objective is to accurately record the accounting for VAT in order to support VAT returns to HMRC. Software features 11.1 Does the software have the facility to hold the following VAT information: UK VAT registration number? Intrastat code? EC Code? EC VAT registration numbers (10)? VAT rates (please specify number available) Unlimited, user defined Unlimited tax rates can be set up with the date that the rate came into force How does the software handle roundings? VAT is calculated per line to 4 decimal places 11.3 Is this applied consistently?, throughout all ledgers 11.4 Does the software handle VAT Scale charges with automatic double entry processing? 11.5 Does the software handle VAT calculation tolerances? If do any discrepancies produce: Warning? Resource records this information, but does not calculate it, as default to 20p These are not standard reports, but if required they could certainly be written and scheduled for automatic production Would need to be addressed on implementation if required. 54

55 Appear in the audit trail Appear in the VAT exception report? 11.6 What security features (password/ audit trail) are in place to control changes made to: General ledger VAT control accounts? VAT tables set up and change? Tolerance levels? Invoice sales number table? Changes on VAT code on customer files? Changes on VAT code on stock files? VAT calculated on sales invoices or credit notes? 11.7 Does the software store and report a VAT return identifier [VRI]? 11.8 How does the software ensure that that each eligible posting is reported only once in a VAT return? These are not standard reports, but if required they could certainly be written and scheduled for automatic production These are not standard reports, but if required they could certainly be written and scheduled for automatic production Both - password controlled security is required to make changes, and all changes will subsequently be shown on the audit trail. Control accounts may also be flagged as such, and disallow manual input As 11.6 above 20p as standard As 11.6 above As 11.6 above As 11.6 above As 11.6 above, any transaction that appears out of period will be flagged, any transaction that appears out of period will be flagged Would need to be addressed on implementation if required. Would need to be addressed on implementation if required. Confirmed unusual transactions are shown separately on the VAT report. 55

56 Method of operation 11.9 VAT basis. Can the software handle: Invoice (standard) accounting? Cash accounting? No Cash accounting unlikely to be relevant to users of this software If the software can handle both invoice (standard) and cash methods of accounting for VAT is the basis clearly identified during set up? N/A cash accounting not available N/A Does the software allow for a switching between methods? If :- Is the change fully supported by audit trails to ensure proper VAT treatment of all transactions? Is this ability to change a basis of accounting clearly flagged, i.e. users warned etc Does the software alert the user that they require HMRC authorisation if they attempt to apply, retrospectively, the Cash Accounting Scheme for VAT accounting? Does the software provide useful and relevant information on switching in the software help section? N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 56

57 11.12 Can the software handle the following VAT schemes: Annual accounting scheme? Resource handles standard VAT accounting with the facility of multiple user defined codes and rates Flat rate scheme? Retail schemes? Account for VAT on the margin? Can the software be configured to handle partial exemption methods? Please state the number of VAT codes available for VAT analysis. Unlimited, user defined How does the software handle: Outside scope? Distance selling (supply to an unregistered EC customer)? Resource handles standard VAT accounting with the facility of multiple user defined codes and rates Resource handles standard VAT accounting with the facility of multiple user defined codes and rates How does the software handle EC VAT:- Analysis codes at stock level highlight which Goods and related service? products are stock, which are services for the correct treatment of the VAT Services only? Can be identified using one of unlimited analysis codes Process? Can be identified using one of unlimited analysis codes Triangulation? Can be identified using one of unlimited analysis codes 57

58 11.17 Does the software include the functionality to identify EU acquisitions? If : Can the software generate acquisition tax? This would require a manual workaround using a specific tax code, but could be done No, but it can be reported upon using the tax code specified in above Confirmed, not standard but could be achieved would need to be addressed upon implementation if required. Would need to be addressed upon implementation if required Can a report be generated of all EU acquisitions and the amounts of acquisition tax generated? Does the software include the functionality to identify transactions liable to reverse charge VAT? If : Can the software generate reverse charge VAT?, per specific tax code Confirmed, a VAT code could be set-up to indicate EC acquisition tax and a report created to identify these transactions., per specific tax code Confirmed, a VAT code could be set-up to indicate reverse charge VAT and a report created to identify these transactions. Manually, not automatically using specific tax code Confirmed, requires manual intervention Can a report be generated of all transactions liable to reverse charge VAT, and the amounts of tax where so generated? Does the software have a facility to reconcile the VAT returns amounts for input, output and net VAT payable/recoverable to the General ledger control account? How does the software handle late transactions posted outside the closed VAT return period? A report could be created to identify transactions with a specified tax code. Via a report and enquiry screens It will include them in the next return Would need to be addressed upon implementation if required. 58

59 Input VAT (purchases) Can the software handle VAT inclusive amounts and automatically calculate the input VAT? Does the software require the following to be entered: Supplier reference? Supplier document reference? (and subject to duplication checking) Internal document, usually system reference? generated Invoice tax point, will default to input date? date if not entered Invoice posting period date? Invoice gross total? Invoice VAT, will calculate amount? automatically Individual invoice lines: net amount VAT rate (optional from VAT code, product supplier) Does the software validate individual invoice line VAT amounts against the total invoice of VAT (less early settlement at discount) and accept or reject the amount subject to the software tolerance?, there is a standard default tolerance of 20p 59

60 11.28 Can the user override the software derived input VAT amount and input VAT as shown on the supplier invoice? Does the software allow VAT to be reclaimed on the basis of registered but unposted invoices? If : Does the software flag the status as: VAT not yet reclaimed? VAT claimed? Output VAT (sales) Does the software generate sales invoices? If : For each invoice generated is the following information included on the sales invoice: Unique software generated invoice reference Your name, address, EC country code and VAT number? The time of supply (tax point) Date of issue (if different to the time of supply) No. At this stage the invoices are not posted to the P & L and BS and therefore will not appear on any VAT control reports N/A, to user defined formats Invoices may include any data Confirmed the system prevents this. N/A 60

61 Your customer s name (or trading name) and address, EC country code and VAT number (if applicable) The unit price [applies to countable goods or services. E.g. an hourly rate; or a price for standard services.] A description which identifies the goods or services supplied Does the software identify supplies that are zero-rated or exempt on an invoice and that there is no VAT payable? If : Is this by way of a report?, invoices are basically a report and therefore may include any relevant fields of data or text Does the software handle Proforma invoices? If : Are the invoices clearly identified as this is not a tax invoice? No Not as standard but it would be possible to set one up on implementation using one of 9 available document types that can be associated with sales transaction. N/A This would need to be addressed on implementation if required. 61

62 VAT Reporting Does the software produce a VAT 100 form as standard? If No: Does the software have a means of producing reports that support the completion of the VAT return? No, but it does produce a report with the relevant values to populate the form Confirmed production of figures for VAT return in addition to detailed report, summarised by daybook, providing source of figures Is the VAT return information available by report on a three monthly basis or any other specified period? Is there a detailed and summary analysis of all transactions included in each return sorted by VAT code and transaction type making up the total in each of the boxes on the VAT 100 Form? Can the VAT return be recreated showing all the transactions which were included in the original VAT return? Does the software have a separate VAT audit log? All transactions which are included in a VAT form may be reported on Only via the control account 62

63 11.43 Note where the software details the following non routine event in the audit trail or VAT audit log etc: Changes to VAT tables. Audit trail Change from invoice/cash VAT accounting or other Schemes. N/A VAT tolerance. This cannot be done by a Changes to VAT rates on customer, supplier, product master files. normal user Audit trail Confirmed - it is possible to set any field within the system for which alterations should be logged. Alterations can either be viewed on screen or a report generated which shows alterations to either tables or individual fields within tables. N/A cash accounting not available Are the above changes noted above stamped with a: User id? Software No generated unique reference number? Date and time? VAT postings Are all VAT postings recorded in the audit trail or VAT audit log? Does the software denote whether each transaction has been included in a reconciled VAT return? All postings are recorded in the daybooks and the audit trails Not directly but this information can be obtained from a special VAT report 63

64 How does it denote which VAT Return the transaction has been included in? The special VAT report shows total per daybook and the day book report shows individual transactions Does the software produce a VAT Exception report detailing such transactions as: VAT amounts outside tolerance levels? Manual changes to software generated VAT? No No The creation of such reports would need to be addressed upon implementation if required. N/A Write offs No N/A Zero value No N/A invoices? If No for any of the above: How does the software document these occurrences? As any other transaction or data file change Confirmed audit trail Does the software handle intra-community supply of goods? Does the software support production of an EC Sales List? If : Does the report show the country code, the customer name, their EC VAT number, the invoice reference and indicators for different types of despatches? but zero rating cannot be applied automatically, requires manual intervention. Confirmed, the system records the required information to facilitate compliance but the decision whether to zero rate supplies must be made manually. There are two ESL reports available, by date and period/year 64

65 11.51 Does the software produce invoice level reports that enable every value on each EC Sales List report to be traced to source documents? Does the software have a means of ensuring that each eligible posting on the EC Sales List is reported only once? (Please state how this is done within the software) How does the software handle triangulation? E.g. a movement of goods without a related invoice transaction. A transaction will appear on any Sales List within whose parameters it is relevant Via the stock module, if it is internal stock Does the software produce the relevant documents in a format [e.g. CSV or XML] that can be uploaded direct to the HMRC gateway? Can these be electronically transmitted direct from the system? Does the software produce Intrastat reports where applicable? How are errors on VAT accounts corrected? How does the software handle the VAT on purchase and sales ledger contras? Via journal A normal purchase/sales contra will not affect the VAT account The contra value is simply transferred between the debtors and creditors control accounts. 65

66 11.59 How does the software handle partially allowable expenditure, e.g. VAT on petrol invoices where employees are provided with petrol (adjustment required for own use)? Can the software handle cheque refunds to customers? If : How is the VAT accounted for under cash accounting? User definable VAT rates & codes may be input for calculation at line level of any transaction, either on an individual basis or in mass No cash accounting N/A Can the software handle invoices with multiple rates of VAT?, VAT is at line level Confirmed VAT code specified for each line How does the software handle write off of bad debts and the related VAT? Manual journal Confirmed - only possible using manual entry. 66

67 12 Currency 12.1 Is multi-currency processing available? If : State number of currencies available Does this cover: General ledger Unlimited transaction currencies and two base currencies Sales ledger Purchase ledger Stock Is conversion to sterling automatic? If : Does this cover General ledger Sales ledger Purchase ledger Stock Can the user select which currency to value each of the ledgers? If : Does this cover: General ledger Sales ledger Purchase ledger Stock, either of the two base currencies What are the currency capacities? What are the maximum and minimum exchange rates? What approach will the Software House take towards handling the EURO? nnn,nnn,nnn,nnn and 9 decimal places nnn,nnn,nnn,nnn and 9 decimal places Conversion routine from Sterling to Euro for primary base currency 67

68 12.2 What currency information is held: Currency Code/description? Currency code Currency description Decimal places Exchange rate Invert exchange rate? Symbol to be used Whether in the EU Country? Currency rate table? No N/A Date rates effective fromto? No Previous rates held? No N/A 12.3 Can a base currency be selected? N/A it is not possible to report historical rates 12.4 Can the user over ride the exchange rates during a transaction? 12.5 Can the user change the exchange rates per account? 12.6 Is there a restriction on accounts to a single selected currency? If : What controls are in place over any changes? 12.7 Can the user manually over ride the currency calculation? 12.8 Are gains or losses on currency calculations automatically processed? System parameter may be locked or available for amendment Locked, cannot be changed, and posted to a designated Gains/Losses account Confirmed - translated amount can be amended for an individual transaction unless restricted by administrator. Confirmed unless restricted. 68

69 12.9 Can the user over ride the calculation /processing of currency gains and losses? The treatment is defined via system parameters. Confirmed - parameters define the treatment for each ledger Can a user override an exchange rate on each transaction? Can the user define the treatment of foreign exchange gains/losses i.e. where posted to in the general ledger? Can ledger accounts be defined to take invoices/payments in specified currencies/ multiple currencies? Does the software prevent the deletion of the active currency? Does the software prevent use of duplicate currency codes? Can currency transactions be entered in selected currency and/or base currency? The treatment is defined via system parameters. One account is one currency, although the payment may be entered in any currency, it will be converted to the account currency except by the system administrator, unless defaulted by account Confirmed unless restricted. In the sales & purchases ledgers the customer or supplier defines the currency. In the nominal ledger any single currency can be used. Confirmed - all currency codes must be unique Can transactions be entered in multiple currencies? How does the software handle exchange differences? Any transaction may be in any currency, although a transaction may only be in one currency By automatically calculating the variance and posting to the designated P & L account 69

70 12.18 How does the currency treat revaluations relating to: Ledgers (sales/ purchases) Monetary assets/ liabilities General ledger accounts? The ledgers will be revalued according to a user defined rate 70

71 13 Sales Order Processing and Invoice Production 13.1 Does the software start with a quotation or the sales order? 13.2 Are recurring or schedule orders handled? 13.3 At quotation or initial order stage state how does the software: Checks stock availability Highlight alternative stock How does the software check credit status of customer: On receipt of order? Prior to dispatch? 13.5 Can the software block: Customer orders? Deliveries? Invoice production? 13.6 Where stock is not available is a back order raised and a purchase order issued? It can do both, for non stock items, there is a Sales Contracts module for this Stock availability may be checked at either quotation or order stage. Alerts warn of insufficient stock, or where it may be available in another depot At the point of raising a quotation or order Customers may be placed on stop which will prevent new orders being taken Deliveries will be prevented if the order is on hold Invoices will be prevented if the order is on hold, a back order is raised, and optionally a purchase order may be automatically raised When a sales order is raised, the current position of stock is shown to the operator highlighting any shortfall. Warning generated and order accepted. However the order is placed on hold and the only way of removing "hold" status is to increase available credit. Confirmed - customer placed on hold automatically by exceeding credit limit or manually. If back to back ordering is enabled when a shortfall is highlighted the operator may select the Back to Back tab and the system calculates the purchase order needed. Activating the Save PO option creates the purchase order. 71

72 13.7 Does the software handle forward orders? If is this: Only when stock is now available? Allocated from future planned stock? Either 13.8 Can multiple addresses be held for each customer (invoice and delivery address) Are the following documents produced: Quotations? Order confirmation? Picking lists? Labels? Dispatch/Delivery note? Invoices? Are the following reports available: Quotes for which orders not received? Orders received (analysis)? Items placed on backorder and/or purchase orders raised? Items dispatched not invoiced? Items ordered but not dispatched due to stock out? Gross margin (by invoice or item)?, unlimited addresses may be held. There may be 9 user defined stages, these are all available Confirmed - unlimited addresses per customer, 2 addresses per order. A new document to print required label format can be created with the report writer. Lost quotations report - with reasons. Using sales order book for any specified period with option to show whether invoiced. Orders to invoice report. 72

73 13.11 Are invoice details derived from order input? (e.g. prices, quantity) Can picking lists /dispatch notes be amended for non availability of stock? If : Is this reported? Are the items dispatched reflected in final invoice? Is there one dispatch note and invoice per order? How does the software ensure all dispatches are invoiced? e.g. where multiple dispatches are raised per order, or several orders on a single dispatch note Can manual invoices be raised (i.e. without a sales order)? Does the software produce proforma invoices as required? Can returned goods be processed to produce credit notes? Are these referenced to the original order/invoice?, and there are options for additional details to be passed to the invoice such as description, date etc This can be done via system setup and parameterisation The operator may select the number of invoices and despatch notes There is a Mass Progression facility which will automatically raise invoices for all despatches which match specified criteria. A report is also available which shows orders to be invoiced at any time, there is a standalone sales invoicing function, when goods are returned the operator may flag whether a credit note is to be created As a description or comment 73

74 13.19 Will the product accept orders from the Web? If : How are web orders integrated with the sales order processing ledgers? What control features are available for checking web orders before processing? An electronic PO is created from an SO. We have interfaced to clients ecommerce web sites. Resource is a financial application with a user front end which may be accessed via a web browser. The web product encompasses the following areas: Purchasing Time and Expenses Reporting Product functionality and security is held within the core application, and web users have access to a subset of data and processes. The concept is to give remote and non financial users access to the areas of the system which are relevant to their roles, in an easy to use and non intimidating fashion. Full conditional workflow for web users is available, and approval routines may be held prior to the transaction being updated centrally by Finance. Static data is also maintained in the core application. Thus, whilst the core system of Resource may be used in isolation, the browser front end, cannot. They are imported into the core product as a quotation where they will be checked for validity prior to fulfilment Confirmed web orders are held I a queue for authorisation by the finance department prior to being imported for processing either individually or as a batch. 74

75 14 Purchase Order Processing 14.1 Does the software generate suggested orders? 14.2 Can orders be generated by the user? 14.3 Is the software easy and efficient to use, i.e. scroll backwards and forwards in the product file, tagging more than one item per order? 14.4 Can more than one supplier be allocated to each product? 14.5 Does the software hold details of substitute products if applicable? 14.6 Based on automatic and manual order generation (above) does the software produce a list of proposed purchase orders, if so, can these be easily amended? 14.7 Is stock availability updated for stock on order? 14.8 Can the software handle partially completed orders and returns? 14.9 Are receipts checked to orders and discrepancies reported? Are purchase invoices checked to purchase orders, confirmed receipts and discrepancies reported?, we believe the system is intuitive and easy to use by all employees with minimal training, each order must be approved before it may be progressed. They may be amended at any time prior to progression Confirmed - products are added to the order line by line and the product file can be browsed. Confirmed - each product has default supplier and alternative supplier. The price can only be recorded for the default supplier. Confirmed a single substitute can be set up for each product. 75

76 14.11 Are the following reports available: Purchase Orders raised (analysis)? Purchase Orders not received? Goods received discrepancies? Invoice to goods received discrepancies? Goods received not invoiced? Can the software handle back to back ordering?, standard report, standard report May be written but not standard May be written but not standard, standard report A purchase order may be automatically generated by a sales order Data stored but not included in standard reports. Data stored but not included in standard reports. Confirmed - aged goods awaiting invoice report. Confirmed creation of a purchase order from sales order with insufficient stock on a product for which back to back ordering enabled. 76

77 15 Stock Control 15.1 What information is held in respect of stock (and are there any limits): Item numbers/ description? (16 character field) Location(s)?, depot locations and bin numbers Quantity, (available, allocated, on order)? Minimum and maximum, at depot level stock levels? Reorder lead times? Supplier(s)? Confirmed plus 1 alternative Prices/cost/ discount details? RRP Landed uplift % Uplifted price Sterling cost price Sale price Unit price Unit cost Quantity break Batch/serial number? Weights etc? Unit weight and unit volume Other please specify? Multiple user defined analysis codes Nominal code default VAT defaults Product group Commodity code RRP, landed uplift, margin 77

78 15.2 How is stock updated? Dispatch of goods? Receipt of goods? Adjustments? Transfers between locations? 15.3 Is negative physical stock allowed? No Confirmed - transactions that would create negative stock are prevented Can the software handle sale or return stock?, by using supplier rejects functionality To exclude SoR stock from valuation, would need to book in at zero value. Subsequent purchase transaction would create cost of sale. 78

79 15.5 Can the software handle variations to a standard pack of products? 15.6 What methods of stock valuations are allowed? Packs may be split Number per pack is recorded and part packs can be purchased or sold Average No N/A FIFO Confirmed LIFO Confirmed Standard cost No N/A Other please specify Serial, Batch,Product Confirmed 15.7 How can stock enquiries be made, i.e. by product code, short name/supplier etc Does the software track orders and enable enquiries by date, e.g. list of all stock due on a particular day; stock to be dispatched on a set date? 15.9 Does the software facilitate the regular counting/ inspection of physical stock (e.g. by producing random/defined stock check lists)? Product code Description Keyword Product group Nominal code Alternative product code Supplier code There are dedicated reports for this: a historical movements report which shows what happened on a date or between a range of dates a forward expected receipts report (via POP) a forward orders due report (via SOP), there is stocktake and inventory functionality Confirmed - using normal wildcard characters. Confirmed availability of perpetual inventory functionality. 79

80 15.10 Can the software handle more complex situations such as: Bill of materials, a BOM module is available Links to CAD/CAM systems Job costings to collate and value WIP. No Job Costing is integrated with BOM and stock for a full solution Assemblies module provided (see additional details in prologue). Not suitable for complex manufacturing but adequate for simple kitting. N/A Confirmed - see further details in prologue. 80

81 16 User Documentation This section applies to any of: online, hardcopy or other (e.g. WWW) documentation specify which are applicable Is the manual clearly laid out and understandable? 16.2 Is the manual comprehensive and accurate?. Template manuals are shipped and customised manuals are built up during implementation 16.3 Is there an index to the manual? 16.4 Is it easy to locate specific topics in the manual when required? 16.5 Is it easy to follow through all procedures in the manual? 16.6 Does the manual include: A tutorial section? User guides specific to each installation will be created upon installation A guide to basic functions? Pictures of screens? Confirmed specific to each Completed examples. Template manuals are included in the manual? shipped and customised manuals are built up during implementation Specific error correction. Template manuals are procedures? shipped and customised manuals are built up during implementation VAT information? As regards codes and set up information customer. Confirmed specific to each customer. Confirmed specific to each customer. 81

82 16.7 Does the documentation clearly specify the actions to be taken by users at each important stage of processing? 16.8 Are help screens available relating to the task in hand? (context sensitive help).. Template manuals are shipped and customised manuals are built up during implementation Confirmed specific to each customer. Confirmed quick access to pop-up menu which includes access to context sensitive help Do they provide on-line instructions on how to use particular features of the software? Can they be edited or prepared by the user? Will the Software House make the detailed program documentation (e.g. file definitions for third party links) available to the user, either directly or by deposit with a third party? Directly to the user Would need to be addressed at purchase stage if required. 82

83 17 Efficiency 17.1 Are the various functions of the software menu-driven, or otherwise easy to initiate? 17.2 Is there a good response time in the initiation of functions? 17.3 Is data entry easily repeated if similar to previous entry? 17.4 Does the software prevent access to a record while it is being updated? 17.5 Is there locking at file or record level? 17.6 Does the software allow for the running of reports whilst records are being updated? 17.7 Does the software retain a log of file updates until the next occasion on which the relevant information is reported or the relevant file used in a regular control procedure? 17.8 Can regular reports be easily duplicated if required? Menu driven, and/or via hotkey shortcuts at the top of the screen at user level, copy and paste is available extensively throughout the software Record level locking. Record level locking. with the exception of transaction day books, purchase ledger remittances and other reports which would be affected., reports may be run for any point in time Also save-as feature to copy everything apart from reference and individual lines can be copied using ALT-A. Confirmed - audit history of user/date/time stamped alterations to any fields in the database. A report of these alterations can be requested en-masse or individual fields can be queried for their change-history on-screen Does the software warn the user when space is becoming short? No N/A - feature of underlying database. 83

84 18 Integration and www facilities 18.1 Are the different accounting modules integrated? 18.2 Are they integrated on real time basis or batch basis? 18.3 Can the integration of batches be by batch, weekly or monthly? 18.4 Is the ledger updating process satisfactorily controlled by the production of control reports? 18.5 What operating systems does the software run under?, there is simultaneous update to all relevant ledgers and modules Real time Real time, all ledgers have control reports and routines All Windows versions and Unix 18.6 Which databases can be used? SQL, Oracle, Sybase 18.7 Can more than one software function be performed concurrently? 18.8 Can the software be linked to other packages e.g. word processing, graphics, financial modelling, to provide alternative display and reporting facilities?, there is full Windows functionality and multi tasking is allowed with no impact on licence use 84