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Change wip method on open jobs

  • 1.  Change wip method on open jobs

    Posted Jun 26, 2019 01:54 PM

    Hi Everyone, hoping someone can help me with a Jobs request for a client.

    Client has open jobs. They would like to change the costing method for said jobs from one wip method to a new one. This is an internal decision they are making. I am trying to proof out the method behind this and so far have the below steps:

     

    • set up task lines with the previous wip method (these task lines have already recorded costs and sales) and
    • set up a new task line with the new wip method
    • move all costs and sales from the previous task lines with the old wip method to the new task line with the new wip method
    • Calculate wip

     

    Right now the issue is that  this will create reconciliation discrepancies in the GL unless all costs and sales are moved from the old wip method to the task line with the new wip method. So far I am able to move usage actuals to the new task line with the job journal but am struggling with usage budget amounts and sales being moved to the new task line so that wip can be calculated properly.

    Thanks in advance,

    Colin



    ------------------------------
    Colin Raden
    Technology & Management Consulting
    RSM US LLP
    Philadelphia PA
    ------------------------------
    Conference-BCNAVUG_200x200


  • 2.  RE: Change wip method on open jobs

    SILVER CONTRIBUTOR
    Posted Jun 27, 2019 08:00 AM
    Colin,

    Are their jobs different WIP methods on task lines or is the job only one WIP method?  What WIP method are they moving from and to?

    I've successfully moved jobs from one method to another without much effort.  But the jobs run in full, contract to date, and previous recognized entries are reversed.  Not everyone will run their jobs this way though.

    As far as planning lines go, have you tried the Copy Job Planning Lines function?  It's located on the Job Task Lines page ribbon bar.

    ------------------------------
    Patti Parrish
    Finance Project Manager
    EthosEnergy Power Plant Services
    Alpharetta, Ga
    ------------------------------

    Conference-BCNAVUG_200x200


  • 3.  RE: Change wip method on open jobs

    Posted Jun 27, 2019 10:00 AM
    Hey Patti!

    Under the one costing method they are moving from, yes it is the same on all task lines. They use a user-defined type of cost of sales where recognized costs = contract (invoiced cost) and recognized sale = contract (invoiced price). They would be moving to POC​. They want to costing method to be reflected as of date, rather than having the switch change things from the beginning of the job.

    How can the Copy Planning Lines function help me with this? My biggest concern is sales and costs that were previously recognized under the COS method, as well as the budget amounts from previous task lines not affecting the new POC wip method that will be used.

    ------------------------------
    Colin Raden
    Technology & Management Consulting
    RSM US LLP
    Philadelphia PA
    ------------------------------

    Conference-BCNAVUG_200x200


  • 4.  RE: Change wip method on open jobs

    SILVER CONTRIBUTOR
    Posted Jun 27, 2019 10:13 AM
    Can you use the Exclude option on the WIP-Total lines for the existing job task lines?  Then add new task lines for the calculation of POC?

    ------------------------------
    Patti Parrish
    Finance Project Manager
    EthosEnergy Power Plant Services
    Alpharetta, Ga
    ------------------------------

    Conference-BCNAVUG_200x200


  • 5.  RE: Change wip method on open jobs

    Posted Jun 27, 2019 11:34 AM
    I can do that and this seems to support the need with one caveat - I'm having difficulty moving the budget amounts from previous task lines to the new task line with the new wip method. This would be important for their new wip method (POC) since it works off of costs incurred/total budget costs​. Do you know of a way to move these budget amounts to the new task line?

    ------------------------------
    Colin Raden
    Technology & Management Consulting
    RSM US LLP
    Philadelphia PA
    ------------------------------

    Conference-BCNAVUG_200x200


  • 6.  RE: Change wip method on open jobs

    SILVER CONTRIBUTOR
    Posted Jun 28, 2019 08:20 AM
    Have you tried using Rapid Start?  I've never tried that but could you pull out the planning lines using Rapid Start, update the data with the new task line numbers and budget planning lines?

    ------------------------------
    Patti Parrish
    Finance Project Manager
    EthosEnergy Power Plant Services
    Alpharetta, Ga
    ------------------------------

    Conference-BCNAVUG_200x200


  • 7.  RE: Change wip method on open jobs

    Posted Jun 28, 2019 12:06 PM
    Patti,

    It seems like it really is as simple as changing the WIP method on the header of the job when you want the change implemented. Who knew. The caveat to this being that any WIP waiting to be posted to the GL be posted to the GL. After the WIP method is changed, the next transaction against the job will trigger the change​.

    ------------------------------
    Colin Raden
    Technology & Management Consulting
    RSM US LLP
    Philadelphia PA
    ------------------------------

    Conference-BCNAVUG_200x200


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