Busines scenario related to Banks

[benny]

Hi Members,

This was one of the questions asked during an interview;

There are two OU's operating from two locations; Hyd and Mumbai. Both these locations use only one bank account. Multi Org is enabled so one OU user cant see what the other OU user does.

In this kind of situation what type of Implementation solution would we suggest our client.

This scenario could be taken in both 11i and R12 and how the system would differ in both versions.

Appreciate ur replies.

Rgrds
Ben[?]

[karthikeyanp1981]

Dear Benny,

In Release 12, the payment is centralized from the Payment Manager, so i guess no workarounds are required, as it becomes a standard functionality of the product.
In Release 11, the workaround must be thought off, since payment to invoices belonging to other operating units are not possible.
Need to make few assumptions before proceeding for the workaround:
Assumption 1: Both the Operating units use same bank Account, but both the operating units have different check books at thier location for payments.
In case of above assumption, we will define banks in both operating unit and define check books/ payment documents based on the check book they have in hand.
Assumption 2: Both the Operating units use same bank account, but only one operating unit makes actual payments through checks/other mode.
In case of above assumption , take up below scenario,
OU1 = Does not make Payment OU2 = Can make Payment
Create a bank account in OU1 with cash clearing account as an offset account.
And create invoice for that amount of payment in OU2 and then proceed to issue check/other mode, prior to that define Bank Account with normal cash clearing account in OU2.

Please correct me if i am wrong, this is based on some logic... not tried and tested ... Just sharing my view, so that we could have interesting conversation on the same and arrive at an optimal solution....

Regards,
Karthikeyan