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Scenario : Organization has 2 entities in US and India respectively. US entity won a contract with customer and will leverage people from their subsidiary in India. Assume the contract is on Time and Expense based and while Invoicing the complete time and expense details should be included and invoice and printed as well as annexure.


Concern: Currently without intercompany timesheet and expenses of India entity is posted, the transactions are not available in US entity for Invoicing or Revenue Accrual. It is very common that the customer billing takes priority and intercompany transactions (Transfer pricing) can be performed periodically (Even quarterly once). The current process in AX limits and dictates the customer to perform intercompany transactions before doing month end accrual process or to bill the end customer.


In general companies does intercompany accounting (Transfer pricing) separately without any relation to customer billing or revenue recognition.


The same is applicable to Fixed price projects as well. Without intercompany transactions being posted, revenue recognition engine wont consider the time booked the Indian entity employee on US project. 


 


 

STATUS DETAILS
Under Review
Ideas Administrator

Thank you for your feedback. Currently this is not in our roadmap; however, we are tracking it and if we get more feedback and votes, we may consider it in the future.

Sincerely, Annette Bruer, PM

Microsoft

Comments

D

For comparison, in Oracle eBusiness Solutions there is a parameter to transfer cost transactions for billing without any intercompany re-charge at all. This is how my customer work: they re-charge in bulk quarterly, if ever.

Category: Project Resource Management

D

yes, the restriction of having to do inter-company billing before being able to billing client for transaction does not always make sense.

Category: Project Resource Management