Dolphin Dynamics. Corporate Credit Card Statement Reconciliation

Transcription

1 Dolphin Dynamics Corporate Credit Card Statement Reconciliation

2 Document Amendment History Date Issue number and reason Author 07/08/12 Document Creation Diletta Rossi 11/10/12 Document Update Diletta Rossi Copyright 2012 Dolphin Dynamics Ltd. The information contained herein is the property of Dolphin Dynamics Ltd. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or any means electronic or mechanical, including photocopying and recording for any purpose other than the purchaser s personal use without the written permission of Dolphin Dynamics Ltd. Dolphin Dynamics Ltd. 3 rd Floor, Upper Richmond Road London, SW15 2SL

3 Table of Contents Introduction... 1 Process Overview... 1 Activation... 1 Configuration... 1 Site Details... 1 Security Settings... 1 Credit Card Providers... 3 Reconciliation Fee Codes... 3 Credit Card Tickets and Pre-paid to Branch Credit Card Tickets... 6 Credit Card Tickets... 6 Pre-paid to Branch Credit Card Tickets... 7 Pricing tab... 8 Card statement file import... 9 The Matching and Comparison Process The Matching Logic Initial and Secondary Comparison Both initial and secondary comparisons pass The Reconciliation Process Auto reconciliation Manual reconciliation Review and investigation The Results Tab Locked Payable to Branch CC tickets Reports Vendor Direct Payable to Branch Item Report Imported Card Payments Report... 18

4 Introduction This document illustrates how the Dolphin booking management module allows the pre-paid to branch Credit Card tickets issued on corporate credit cards to be automatically and/or manually reconciled against an imported card statement file. Process Overview The card statement reconciliation process comprises of five main steps: 1. Configure the relevant site and security settings, credit card providers and reconciliation fee codes. 2. Import the card statement file into Dolphin. 3. Match and compare the file against existing issued Payable to branch CC tickets: a. The first stage is to find a single match for each transaction in the card statement file with a single Payable to branch CC ticket in the booking management module. b. The second stage involves additional comparisons to determine if the matching Payable to branch CC ticket can be safely reconciled or is somehow an exception and should not be reconciled. 4. Automatically or manually reconcile all Payable to branch CC tickets that pass all the matching and comparison checks. 5. Review and investigate and/or manually ignore and/or manually reconcile exceptions. Activation In order to activate this functionality you need to contact Dolphin Dynamics and you might incur in additional fees. Configuration Site Details Go to Options>Site Details>Branch 1>CC Prvdr Mand On CC Pay To Branch Tkts. If you have more than one credit card provider, you need to select this check box so that users will not be able to save Payable to branch credit card tickets without a valid Card Provider being present in the Credit Card Details window. This will enable you to perform the card statement reconciliation process for each card provider. Security Settings Go to Options>Security>retrieve the user security settings>go to the Reconciliation tab>card Statement Reconciliation area. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 1

5 Can Manually Reconcile Card Payments Select this checkbox to allow the user to manually reconcile card payments. Can Manually Unreconcile Card Payments Select this checkbox to allow the user to manually unreconcile card payments. Can Reconcile Over/Under Sell Select this checkbox to allow the user to manually reconcile an amount for a matching ticket that is different than the sell price of the ticket. Auto Reconciliation Can Manage Card Data Files Select this checkbox to allow the user to import or delete new card statement files. Can Auto Reconcile Select this checkbox to allow the user to use the card statement files auto reconciliation functions. Can Show Auto Rec. Exceptions when this check box is selected and a pricing line fails to be auto reconciled, the user will be able to view this item and the underlying pricing line(s) (or exceptions). Dolphin Dynamics Corporate Credit Card Statement Reconciliation 2

6 Credit Card Providers Go to Search>Financial Reference Data>Credit Cards>Card Providers. Click Add. Provider Code Enter the credit card provider code (maximum 5 characters). Name Enter the credit card provider name (maximum 30 characters). Reconciliation Fee Codes You also need to configure Reconciliation Fee Codes to define gain and loss fees for each card provider you use. 1. Go to Search>Financial Reference Data>Reconciliation Fee Codes Search. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 3

7 Card Provider This is a free text field where you can search for reconciliation fees related to a specific card provider. Type This dropdown show you the list of the fee types allowed in your database. 2. Click Add. Payment Type Select the type of payment the fee will apply to. Card Provider Select F4 or right click with your mouse and select Lookup to retrieve the Credit Card Provider Search window to search for and select the card provider code. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 4

8 Discrepancy Gain Select F4 or right click with your mouse and select Lookup to retrieve the Product Codes Search window to search for and select the discrepancy gain fee product code. Discrepancy Loss Select F4 or right click with your mouse and select Lookup to retrieve the Product Codes Search window to search for and select the discrepancy loss fee product code. Note: Please note that both the Discrepancy Gain and Discrepancy Loss product codes must have the Allow Buy Price check box selected. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 5

9 Credit Card Tickets and Pre-paid to Branch Credit Card Tickets Credit Card Tickets Credit card tickets are tickets paid by using the customer credit card. You cannot invoice the customer as they have already paid for the ticket. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 6

10 Pre-paid to Branch Credit Card Tickets A pre-paid to branch credit card ticket is a ticket which is paid immediately using the company credit card. The customer will then be invoiced and will pay the agency back. This is the type of ticket that can be reconciled (always the sell amount, always in branch currency) via the Card Statement Reconciliation process. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 7

11 Click the CC Details button to add the card provider code in the Card Provider field. Pricing tab The Pricing tab will show whether the item can or cannot be invoiced to the customer. If the ticket has been paid by the customer, either by cash or credit card, the item cannot be invoiced, therefore the I column will not show a checkbox. If the ticket has been pre-paid to branch Dolphin Dynamics Corporate Credit Card Statement Reconciliation 8

12 by the company credit card, it will have to be invoiced and therefore the I column will show a check box. Note: Please note that if in the vendor profile>financial 1 tab the Include Sell Amount Of Vendor Direct Pricings In Turnover check box is selected, it will be possible to invoice also the pre-paid to branch by the company credit card ticket. Card statement file import If you have the requisite security settings, go to Bulk operations>accounting Operations>Card Statement Reconciliation. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 9

13 Go to the Auto-Reconciliation tab. Click Add to import new Card Statement Files into the booking management module. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 10

14 Pmt Ref. Type the reconciliation reference for the file. File Type Select the type from the drop-down list. This list will only display those file types that are activated in your database. Path Enter the path where Card statement File is saved on the user s PC/network. A browse button is also available. Payment discrepancy threshold (+)/(-) This field allows you to specify plus or minus percentage or amount threshold to manage discrepancies between the card statement file and the matching Payable to branch CC ticket. A zero sell pricing will be automatically created for all under threshold discrepancies encountered during reconciliation. All over threshold discrepancies will be displayed as an exception for manual investigation. OK Select this button to dismiss the Import Card Statement Payments window and begin the data import process. The progress of the import will be displayed in the left hand corner of booking management module status bar. Finally, the import status will be displayed Import succeeded or Import failed. If importing fails, the message will also detail the reason for failure. On selecting OK, the user will be returned back to the Auto Reconciliation tab and the recently imported file displayed in the grid, along with its Reconciled Status. If the import process succeeded the Rec Status shows as Not or Partially Reconciled. Cancel This button will dismiss the window without importing data or saving the Card statement File. The Matching and Comparison Process The Matching Logic Dolphin will take each transaction in the Card statement File that has not been previously ignored or reconciled and try to find a single matching payable to branch CC ticket. As the data in the card statement file will vary according to the card provider, a multi-step matching process will be used as follows: 1st Step Match (1 to many) The booking management module will first try to find tickets within one folder which match on the virtual credit card number if this data is present in the ticket in Dolphin. 2nd Step Match (1 to 1) The booking management module will try to find a unique match on the ticket number if this data is present. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 11

15 Note: If you intend for a file to match based on ticket number (as opposed to virtual card number) then the user must make sure that the import file does not have a virtual card number value. This is because if the virtual card number value is present then the ticket number will never be used to match. If, after these steps have been completed, there is still no single match, the transaction will be displayed in the results tab as an Exception with a relevant failure reason code. The booking management module will then move onto the further comparison stage to see if it is safe to reconcile the matching payable to branch CC ticket. Initial and Secondary Comparison An initial comparison will be performed on a single match Payable to branch CC ticket to ensure that it is safe to reconcile it (the order reflects the priority): Is the matching Payable to branch CC ticket already reconciled with a different reconciliation reference? Is the matching Payable to branch CC ticket already reconciled with the same Card statement reconciliation reference but a different amount? Is the matching ticket not a Payable to branch CC ticket? If the answer to any of the initial comparisons is Yes /Fail, once all successfully matched and compared tickets have been reconciled (if the user selected the Reconcile button), all unmatched records in the card statement file that have not been previously ignored will be displayed in the results tab as Exceptions with a relevant failure reason code. If the answer to all of the above comparisons is No /Pass, the booking management module will then undertake a secondary comparison to check the amount value in the file against the branch currency sell value of the ticket to validate whether it is safe to reconcile the ticket. Secondary comparison: Pass/Safe to reconcile: when the amounts are the same or the amounts are different, but within the threshold specified during import. Fail/unsafe to reconcile: when the amounts are different but outside of the threshold specified during the import. Note: Neither the currency of the card transaction (in branch currency) nor the exchange rate used to convert forms part of the comparison process. If the secondary comparisons fail, once all successfully matched and compared Payable to branch CC tickets have been reconciled (if the user selected the Reconcile button), all unmatched records in the card statement file that have not been previously ignored will be displayed in the results tab as Exceptions with a relevant failure reason code. Both initial and secondary comparisons pass If the user selected the Reconcile button, the matching Payable to branch CC ticket(s) will be reconciled. If the user selected the Show exceptions button, no reconciliation will take and the booking management module will move on to the next record in the file and repeat the matching and comparison processes described above. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 12

16 The Reconciliation Process Auto reconciliation During the reconciliation of successfully matched and compared Payable to Branch CC tickets, the reconciliation details are stamped into the Payable to branch CC ticket. To access these details, retrieve the ticket and click the CC Details button. The Credit Card Details window shows you the credit card and Reconciliation Details: Dolphin Dynamics Corporate Credit Card Statement Reconciliation 13

17 Reconciliation Staff Code, Date and Reference CC Type Rel Fee Amt Acc. Exported These fields indicate the staff code, date and reference of the reconciliation event. This field indicates the Card Provider This field indicates the amount of the reconciliation gain/loss fee (if any). Prior to export, this check box is greyed and unticked. When the reconciled ticket is included in an accounting export, this check box will be automatically ticked. If an under threshold discrepancy is encountered during reconciliation, a zero-sell price discrepancy fee (of the fee type configured for the card provider in Search>Financial Reference Data>Reconciliation Fee Codes) is added to the folder. The fee is also vendor reconciled (with a vendor ID of -1) to create the accounting data and linked to the ticket. Note: The value of the linked fee is also visible in the Card Details dialog. A non-printing note detailing the ticket number, Branch code and internal ID is added to the fee to enable the user to easily see which ticket the fee is linked to. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 14

18 Once reconciled, the discrepancy fee is completely un-editable and cannot be modified in any way or deleted without its associated ticket being un-reconciled. Additionally, all Form of Payment fields in the ticket, the CC details dialog and the Payable to Branch checkbox are un-editable, and any action that would impact the Branch currency total sell price of the ticket cannot be undertaken. Manual reconciliation If you have the requisite security settings, manual reconciliation and un-reconciliation are also possible. It is mandatory to enter a reconciliation date and reference, and a card provider corresponding with the provider specified in Search>Financial Reference Data>Reconciliation Fee Codes. This is used to ensure that the correct product code is used for any discrepancy fees created during reconciliation. The reconciliation amount on each row is calculated as the sum of the sell price of the ticket and any linked fees already associated with the ticket. Total fields are displayed for discrepancy fees (either currently linked or due to be created during the reconciliation process), the total sell price of all the selected tickets and the total to be reconciled (ticket sell price + discrepancy fees). If you have the security settings to reconcile an amount for a matching ticket that s different from the sell price of the ticket (i.e. where the amount on the card statement is not equal to the sell amount of the ticket), you will be able to modify the reconciliation amount and discrepancy fees will be created automatically (for the difference between the reconciliation amount less the ticket sell price les any already linked fees) during the reconciliation process. If you do not have this ability, reconciliation will be restricted to the amount displayed in the reconciliation amount field. When un-reconciling, the card details of the ticket will be updated accordingly and all previous reconciliation details will be removed. Note: Once accounts exported, un-reconciliation is not possible. Note: Once un-reconciled any discrepancy fee will remain linked to the ticket. To remove it and reverse any accounting entries, the fee will have to be manually vendor un-reconciled (from with the fee itself, depending on their security setting) and manually cancelled. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 15

19 Review and investigation The Results Tab All records on the card statement file that fail the matching or comparison stages are displayed in the Results tab of the Reconciliation window as Exceptions with one of the following failure codes: M - No match in booking management module. V - Different card provider then imported record R - Fully reconciled with different Card statement reconciliation reference E - Reconciled with same reference but different amount D - Multiple matches in booking management module T - Transaction value does not match/outside threshold C - Transaction currency does not match P - Matching ticket is not a payable to No tickets could be found with the same payment CC number in Dolphin. Ticket(s) can be matched based on the CC number, however the card provider in at least one (if multiple matches) of the tickets does not match the provider in the imported file. Users will need to search for these tickets based on the CC number through manual corporate credit card rec, then edit the ticket to correct the card provider. The exception will then go away meaning the next hierarchical matching fail reason code can be checked. James Note: You ll need to do something clever at the stage of matching in order to hardcode the replacement of the incorrect card provider code with a <blank> to ensure this matching fail reason code is applied at this stage. This is just in the logic and the actual card provider code in the ticket will not be updated during this process. This matching fail reason code will only be applied if ALL matching tickets within the folder have been reconciled in full with a different reference, meaning that there is nothing more to reconcile. If there is discrepancy outside of the threshold, then the matching items will be picked up under matching fail reason code T and investigated at this stage in case a previously reconciled ticket has been manually reconciled in error. This matching fail reason code will be applied if ALL matching tickets within the folder have been reconciled in full with a different sum amount compared to the amount in the card statement. If there is a discrepancy outside of the threshold, then the matching item will be picked up under matching fail reason code T and investigated at this stage. Multiple matches will not refer to single booking management module items but instead will mean that of the tickets which have been paid for using the same virtual credit card number, at least 1 ticket is from a different folder. This means that the ticket has been created twice at least, this is an error as the virtual credit card number is unique for every booking made with an airline. The user will need to use manual corporate credit card rec in order to find all of the matching tickets for the virtual credit card number and then investigate what s happened and update the incorrect ticket accordingly. This matching fail reason code is applied when the sum total branch currency sell amount of all matching tickets is different to the card statement booking total sell amount (always in branch currency), and is outside of the threshold set when the credit card statement was imported. The user will need to search manually (via manual corporate credit card reconciliation) for all matching tickets in Dolphin based on credit card number and a reconciliation status of ALL in order to ascertain what has happened, then steps can be taken to correct the tickets. This matching fail reason code is applied when the imported currency code in the imported credit card file is different to the branch currency code. This matching fail reason code is applied when at least one of the matching tickets is not a prepaid to branch CC ticket. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 16

20 branch CC ticket You can then investigate the reason for the exception and make the necessary amendments to the Payable to branch CC ticket (or even create new Payable to branch CC ticket in some cases) Alternatively, select the Ignore checkbox and use the Ignore notes to exclude records from further processing and explain why the record was ignored. Records in the file that are flagged as ignored will be excluded from any further processing and they will not be displayed in the exceptions grid again when the Reconciliation/Show Exceptions process re-runs. However, you can select the Display ignored records checkbox before selecting Reconcile or Show exceptions to display the ignored transactions and ignore notes. To aid the investigation, you can retrieve the row in the card statement file by highlighting the transaction and clicking the Payment details button, and/or retrieve the folder by clicking the View Folder button. If you modify a retrieved ticket in the booking management module, the grid will refresh to reflect the changes you made when you OK the ticket and close the folder. Retrieved items will be locked for the duration that they are open. The reconciliation/show exceptions process can be re-run as many times as necessary until no exceptions/un-ignored records are left. Locked Payable to Branch CC tickets If any successfully matched/compared Payable to Branch CC tickets that can be reconciled is locked (i.e. someone else has the folder or ticket open), a window will appear displaying details of the locked transactions and which user has them locked. At this point, you can: Retry The booking management module will check if the tickets are now unlocked and if they are, continue with the reconciliation process. Cancel You will be returned to the Auto Rec tab and the reconciliation process will not take place. Continue The booking management module will ignore the locked transactions and reconcile all the unlocked ones. The user will then need to re-run the Auto Reconciliation process again at some point in the future to reconcile the remaining records that could not be reconciled because they were locked. Reports Vendor Direct Payable to Branch Item Report Go to Advanced reports>type 1 Statistics Reports>Vendor Direct Payable to Branch Item Report. This report shows all vendor direct items that are payable to branch and it includes reconciliation details as well as any discrepancy fee and or fee type linked to the ticket. It allows filtering by: Item Credit Card Provider Code Item Credit Card Reconciliation Date (this is the accounting date) Item Credit Card Reconciliation Staff date Item Credit Card Reconciliation Reference Dolphin Dynamics Corporate Credit Card Statement Reconciliation 17

21 Imported Card Payments Report Go to Advanced Reports>Type 4 Vendor Financial Reports>Imported Card Payments Report. This report will list all the card payments files that have been imported into your database. The report is defaulted to show one line per each imported file. However it is possible to display the list of items present in each imported file by selecting the Show Details check box. Dolphin Dynamics Corporate Credit Card Statement Reconciliation 18