Configuration of a budget

Four ways to create a budget

There are several ways to create a budget:

• Manual: create a budget from the form view of the global budget.

• Budget template: from the Budget template menu, it is possible to generate a budget from a previously created budget template. The structure and names of each level are created. All that remains is to enter the periods and the amounts that will be allocated to each level.

• Advanced import tool: a budget (or budget template) can be imported using an Excel file. Why ? When the data is imported, it will reduce the number of entries and operations that should be carried out using the tool.

• Budget scenario & Budget generator: from the budget generator, it is possible to generate a budget from a budget structure and a scenario consisting of scenario variables (this part is detailed later on in the chapter).

info

This new feature is available starting from version 8.0.

The budget generator allows you to build a budget automatically from a budget structure and scenario.

You can also select different years to compare the different variations of the budget scenario.

It is possible to preview the result before generating a budget for a selected year.

Manual creation

Access: Budget management → Budget → select a desired budget type, for example, Purchase budget.

1. Create a new record from the menu entry for the type of your choice (Sales, Purchase, etc.).

2. First enter the general information in the global budget header (name, code, period, company, etc.). The budget type is initialised by default.

3. Once this information has been entered, you can then enter the lower levels.

4. You can either create a section, if you want to have an intermediate level, or you can create a budget line. There is no rule on the number of sections/lines to be created.

5. Once you have finished entering the structure (sections and budget lines), you need to open the budget lines and generate the budget lines.

caution

When filling in the essential information, it is important to go as far as the ‘Budget lines’ level.

Otherwise, the budget will not appear when you enter the budget distribution.

tip

Before entering the frequency and before generating the budget lines in your lines, you must first finish creating the general structure and save your global budget.

Once this stage is complete, you can move on to allocating the amounts.

6. Save the changes made.

7. Allocation of amounts:

• Click on ‘See details’ and select Lines.

• Open the budget lines.

• For each budget line, enter the desired amount and periodicity in the window.

• Then generate budget lines.

For example, on a budget line you can indicate ‘Period length: 2 months’ and ‘Amount for each line: 200’. Then click on the ‘Generate periods’ button.

In this example, you will therefore have six budget lines spread over the period. This will give an initial total amount of 1200 euros for this line.

Repeat this operation for all budget lines. Once you have finished entering data, you can return to the global budget form.

tip

On the Lines level that precedes the last one, it is possible to select a period length with an amount, then automatically generate budget lines with correct amounts and periods.

It is also possible to assign a manager to a budget line.

8. Refresh: refresh the record and you will notice that the Expected and Available total amounts have been updated.

9. Validate: once the global budget is ready, click on the ‘Validate’ button.

Create a budget from a template

Access: Budget management → Templates → Budget templates

1. Budget template: from the Budget templates menu line, you must first create a Budget template in order to define the structure of the desired global budget (sections and lines). It is useful to use a budget template if you have a recurring budget that comes up often and that will be created at the beginning of each year for several different companies, for example. Entering the budget template is similar to entering a budget manually.

2. Generate global budget: then click on the ‘Generate global budget’ button and choose the year for the period to be defined in the budget.

3. A new window ‘Generate global budget’ will open. You will notice that it has the same structure.

4. Enter the rest of information (allocate the amounts and then validate it), the principle is similar to manual entry.

tip

When you have created a budget template and wish to use it, you should know that you have to access the menu from the ‘Budget template’ menu each time you create a template-based budget.

In other words, if you create a new budget file from the ‘Budget’ menu and not the ‘Budget template’ menu, it will be impossible to select a template from this file.

Create a budget using the advanced import tool

To create a budget using the AOS advanced import tool, you need to prepare an Excel file with the data to be imported in advance.

This creation option does require a certain degree of technical skill.

The advantage is that you can import several global budgets at once with all the information already filled in, i.e. the global structure, names, periods, amount, company, etc.

Here is an example:

1. In the first tab of the file, define the technical name of the global budget in the header, as well as the technical name of the columns to be filled in.

2. Then enter the information for the global budget or budgets you wish to import.

3. In this example, the following information has been entered: the code, the name, the expected amount, the available amount, the period, the status, the type of budget and finally the company.

4. You must then create a tab for each level, to the lowest level (this level being that of the budget lines).

5. In the second tab, for example, you will enter the information for the groups, making sure to enter the link to the parent budget.

6. Importing templates and budgets: once you have prepared the data file, go to the application and open ‘Importing templates and budgets’. You will find a menu entry for this in the budget management menu. Access: Budget management → Import budgets and budget templates.

7. Data file: select the files to be imported.

8. Configurations included in the file / Tab Config in file: tick the option ‘Configurations included in the file’, given that you have configuration lines in the header of the tabs in the file, for example. Remember to also activate the option ‘Tab Config in file’ in the file given that all the data is already contained in your file that will be imported.

9. Apply: by clicking on the ‘Apply’ button, you will notice that the file data is loaded into the ‘Tab configurations’ table with all the fields filled in and configured.

10. Validate: if no errors are encountered, you can then validate the import, then import the budgets into AOS.

If you open the Sales or Purchase Budget menu, you should be able to find all the budgets contained in your import file.

tip

Remember to refresh the list containing the budgets so that the newly imported data can appear.

Budget scenarios & Budget generator

Introduction

There is another, more advanced way of generating budgets: by configuring budget scenarios.

info

Starting from version 8.0, there is a new feature: printing a budget scenario.

Print: click on a ‘Print’ button on the scenario file in order to print a draft of the Global Multi-Annual Financial Plan based on the budget scenario.

Scenario variable

Access: Budget management → Template → Budget Scenario variable

Firstly, define the scenario variable. A variable is defined by a year, a code, a calculation method and a category.

There are two methods:

• Variables that can be entered manually;

• Variables that are calculated using a formula.

A scenario variable can be calculated from another variable. For example, the variable HR charge is calculated from the variable ‘Charge’ in non-current miscellaneous (CHNC).

Configuration of budget scenarios

Access: Budget management → Template → Budget scenario

1. Select the years for comparison. These years will be used to run the scenario.

2. Then, you select the manual variables by entering the amount for each hypothetic situation.

3. Validate the scenario. Variables with a formula method are then calculated and added to the list of variables.

Budget section

Before you can use a scenario, define first a budget structure for the budget you wish to generate (access: Budget management → Templates → Budget structure).

1. For this example, an initial ‘lines’ section has been defined, in which 2 subsections have been included: a fixed line and a variable line.

2. For the variable line section, for example, 3 scenario variables have been added (Heating / Water / Gas).

3. When the budget is generated, these variables will be converted into a budget line.

Budget generator

Once the structure is ready, you can open the budget generator (access: Budget management → Templates → Budget generator):

1. Select the budget structure and the budget scenario that you have previously created.

2. Then select the years for comparison.

3. Preview: before generating the budget, you can preview the result by clicking on the ‘Preview’ button directly from the Budget Generator form.

4. Generate: when you click on the ‘Generate budget’ button, you can select a year of the scenario that suits you, then generate the budget.

info

Generate budget : this is a new feature. It’s available starting from version 8.0.

The budget generator allows you to create a budget automatically from a budget structure and scenario.

You can also select different years to compare the different hypothetic situations of the budget scenario. It is possible to preview the result before generating the budget for a selected year.

5. As a result, you will find yourself on the budget sheet. You will then find the calculation that is based on the scenario variables you’ve entered previously, as well as the selected structure. Each budget line corresponds to a scenario variable that you have chosen in the structure. By default, a budget line will have a single budget line generated.