ProNexus Provides JDE Inventory Support
Requirement: JDE Inventory Support
The client was having an issue reconciling their perpetual inventory within their JD Edwards (JDE) accounting system.
Due to attrition, the client had lost critical knowledge and did not have staff with the proper understanding of the JDE system in house. The client had to rely on the corporate office in another market for JDE knowledge.
Due to lack of knowledge, insufficient support from corporate, and current challenges with inventory, the client engaged ProNexus to resolve the challenges listed below and show management a way to reconcile the inventory. In addition, the client expressed interest in a Phase 2 project to provide JDE optimization services.
Business & Operational Challenges:
The client runs JDE as their ERP solution for Finance and Manufacturing and they were having a few challenges with their JDE instance as follows:
- The inventory sub ledger balance did not tie to the balance in the general ledger. As a result, they consistently have to book a journal entry to true up the balances on a monthly basis.
- Client was having issues getting reports out of the JDE system that were required for Sarbanes Oxley compliance purposes. Often times, the client had to manually manipulate the reports although they knew the required data exists in the system.
ProNexus collaborated with management, any employee impacted by the challenges, and any employee that had some JDE knowledge to understand how the client set up their JDE Inventory system. As a result of the collaboration, ProNexus was able to uncover the underlying issue and develop a proper solution to address the issue and redesign JDE so that the client could use JDE to reconcile inventory without significant manipulation of data.
ProNexus designed a process to do this reconciliation monthly and we designed a report to show the perpetual inventory by date and JDE codes. The client now has the proper process to be used monthly and the accounting department has gained a better understanding of the JDE inventory system. Now that the balance sheet reflects the proper dollar inventory amount, the client has correct monthly financial statements. In addition, the client can now make better business decisions relative to inventory.
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