Allocations Series Part 4: Advanced Variable Allocations Mechanics

A Brief History

JDE used to have Variable Numerator objects prior to version 8.10. This had only one screen setup to calculate the Basis (which could be a category code or a business unit), the account(s) to Allocate, and Offset settings. This was very limited and required many allocations to be configured, sometimes multi-tiered, to get to the eventual allocations a company required. The revamp of Variable Numerators, now called Advanced Variable Numerator Allocations, have the Basis and what to Allocate as full-blown Data Selection versions, opening the floodgates of possibilities. The following post uses graphics and content from the Knowledge Document KB386072, Overview of Advanced Variable Numerator Allocations (P09123/P09123A/P09123B/R09123/R09123A). 

Mechanics of Advanced Variable Numerator Allocations

The Advanced Variable Numerator Allocations reside in their own submenu here:

Advanced Variable Numerator Allocations are the highest level of flexibility and are comprised of the following objects:

• Advanced Variable Numerator Allocation Setup, P09123B, which is a dashboard of the building blocks to create these types of allocations
• Business Unit Overrides, P09123A, where business-unit specific rules can be built for use in an allocation
• Advanced Variable Numerator, P09123, where the allocation is defined
• Compute Advanced Variable Numerator Allocations, R09123 which is used to build the allocation journal entry itself
• Print Advanced Variable Numerator Definitions, R09123A, which prints the allocation’s definitions for reference purposes, not for journal building

This is a list of real JDE customer examples I’ve used to demonstrate how these types of allocations can be used and will be referenced in the weeks to come:

The basic building blocks of an Advanced Variable Numerator are shown here:

You create versions which hold the Data Selection of the Source and Basis. (I’ve never needed to use the BU Overrides, but this would also be done prior to setting up the allocation specs.) Then with those two versions in hand, you can now build the allocation’s specifications themselves, defining everything else about the allocation. The Print Definitions is useful to confirm the configuration of the allocation, then the Compute can be run in Proof then Final. Just like the other allocations, when run in Final mode, the GL Date on the Allocation itself will be incremented forward based on your frequency and your Date Pattern. The final step is to post the "D" batch in Batch Review.

The Advanced Variable Numerator Allocations also include Burdening-Based (system 52G/48S) and Joint Venture (system 09J) Allocations. This blog series isn't covering these, but if you need more information on them, here are links to the General Accounting Implementation Guides for each:

Burdening-Based Allocations 

Joint Venture-Based Allocations 

Now that we've discussed high-level how these allocations work, we can dive into actual construction next week.