CET CERN Expenditure Tracking

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CET CERN Expenditure Tracking

• Introduction to CET and basic financial concepts
• April 2006
• IT-AIS-MDS

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What do you learn today?

• After the presentation, you should be able ...
• to know what is CET and how to access it
• to understand the purpose of the main CET reports
• to distinguish between payments, commitments,
  provisions etc.
• to get a better idea about financial transactions
• to use advanced features like virtual units and
  ranges
• to discover the flexibility of CET Information
  Centre

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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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Where to find CET

• Inside CERN use the following URL
• cet
• From outside CERN
• https//cet.cern.ch/

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Some Words about CET

• Built for CERN to meet the Expenditure Tracking
  needs and challenges of the LHC construction
• Replaced BHT (Budget Holders Toolkit) in 2002
• Gathers its data from the various financial
  applications used at CERN (mainly Qualiac)
• Data is extracted daily (extractions run during
  the night)
• CET (among other applications like HRT, SMT, IC,
  CFUtk etc.) is maintained and further extended by
  the AIS-MDS team

Per Gunnar Jönsson (SL)
Chris Dixon (STAF)
Jan Janke (STAF)
Piotr Sliwa (FELL)
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Main Menu
Contracts
Status of book closing and extractions
Transactions
Summaries
Information Centre
User Preferences
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User Preferences
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User Preferences
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Column Selector
Default Columns
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Ordering Selector
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Drilldown
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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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Basic Terminology
Definitions.
Commitment Amount agreed to pay
H/w CHF 3,000
Pay 20 On Order and 80 on Deliv.
Payment on Budget Code Amount charged to
Budget Code
Payment to SupplierAmount paid on invoice
Open CommitmentCommitment Payment (Budget
Code)
9 / 05
8 / 05
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Basic Terminology
Definitions.
Commitment Amount agreed to pay
H/w CHF 3,000
Pay 20 On Order and 80 on Deliv.
Year 2005 Commitment 3000 Payment to supplier
600 Provision Paid on Budget Code Open Commit.

Payment on Budget Code Amount charged to
Budget Code
1400
2000
2005 2006
2,000.00 1,000.00
Payment to SupplierAmount paid on invoice
1000
Open CommitmentCommitment Payment(Budget
Code)
Provisioned next yearMoney from this years
budget set aside for next year expenses
12 / 05
9 / 05
8 / 05
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Basic Terminology
Definitions.
Commitment Amount agreed to pay
H/w CHF 3,000
Pay 20 On Order and 80 on Deliv.
Year 2006 Commitment 3000 Carry Over Bill
from supplier Paid on Budget Code Paid from
Provision
Payment on Budget Code Amount charged to
Budget Code
1000
2400
2005 2006
2,000.00 1,000.00
Payment to SupplierAmount paid on invoice
1000
1400
Open CommitmentCommitment - Payment
01 / 06
Provisioned next yearMoney from this years
budget set aside for next year expenses
12 / 05
Carry OverOpen Commitments at the end of last
year
9 / 05
8 / 05
Paid on ProvisionAmount paid on invoices using
money provisioned last year
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Annual vs. Pluri-Annual Commitment
H/w CHF 3,000
Special Offer Pay 20 On Order and 80 on Deliv.
Annual commitment
2005
2006
Pluri-annual commitment
2005 ?
2006 ?
CHF 3000
CHF 2400
The chosen time period must not exceed one
(financial) year.
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Annual vs. Pluri-Annual Commitment
H/w CHF 3,000
Special Offer Pay 20 On Order and 80 on Deliv.
Annual commitment
2005
2006
Pluri-Annual ?
Pluri-annual commitment
2005 ?
2006 ?
CHF 3000
CHF 2400
CHF 5400 ?
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Annual vs. Pluri-Annual Commitment
H/w CHF 3,000
Special Offer Pay 20 On Order and 80 on Deliv.
Pluri-annual commitment payment
Annual commitment
2005 CHF 3000
2006 CHF 2400
Pluri-annual commitment
2005
2006
CHF 600
CET automatically switches to the pluri-annual
versions of the columns, if the time period
refers to a time period not matching a single
(financial) year.
CHF 2400
More than one year is selected.
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Terminology in a CET Example
Summaries
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Terminology in a CET Example
CET Pivot
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Terminology in a CET Example
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Terminology in a CET Example
Paid to Supplier
Open Commit.
Commitments
Payments
Budget
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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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Paid on Budget Code vs. Paid to Supplier
According to our system we have paid you the full
amount of 50K
But we have only received 20K
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Paid on Budget Code vs. Paid to Supplier
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Provisioning

• Allocate money now for future expenses
• Used to balance accounts towards end of year
• DPOs are the experts on provisioning

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Main Building Blocks of a Financial Transaction
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Main Building Blocks of a Financial Transaction
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Main Building Blocks of a Financial Transaction
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Main Building Blocks of a Financial Transaction
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Lifecycle of an Order
Order EDH Pipe Paid Commit Open
Status CA123 111235 0 0 3000 3000 73
Order EDH Pipe Paid Commit Open
Status CA123 111235 0 2000 3000 1000 91
CET...
Order EDH Pipe Paid Commit Open
Status CA123 111235 3000 0 0 0 -
Order EDH Pipe Paid Commit Open
Status CA123 111235 0 0 3000 3000 30
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Pipeline Order Status

• Pipeline
• Shows "committed" expenses not yet in Qualiac
• from EDH, CFU
• Amounts are estimates
• Once an order is committed in Qualiac, it
  disappears from the pipeline
• Order Status
• Shows the financial status of a transaction

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Most Important Order Statuses
Code Description
30 Transfert en comptabilité, facturation
49 Réception
52 Edition bon de réception
72 Facture détaillée
91 Mise au paiement
96 Poubelle (DAI, codes supprimés)
97 Archivage
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Flashback Terminology in a CET Example
Open Commit.
Paid to Supplier
Commitments
Budget
Payments
Pipeline
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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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CERN Specialities in CET

• Contracts
• Contract data from CFU (Contract Follow-Up) and
  Qualiac
• Draft contract expenditure is integrated into the
  "pipeline"
• Contract life cycle
• A divisional request (DR) is made to request
  money
• A market survey (MS) follows
• Invitation to tender (IT)
• Contract is concluded
• Contract is put into Qualiac

Data of thedraft contractavailable in CFU, but
notin Qualiac!
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CERN Specialities in CET

• Contracts
• Contract data from CFU (Contract Follow-Up) and
  Qualiac
• Draft contract expenditure is integrated into the
  "pipeline"
• Contract life cycle
• A divisional request (DR) is made to request
  money
• A market survey (MS) follows
• Invitation to tender (IT)
• Contract is concluded
• Contract is put into Qualiac

Data for allphases of acontract isavailable
inCET.
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Contracts in CET
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Contracts in CET
Base Data
FC Authorized Amount
Paid to Supplier
Breakdown by Budget Code
Forecasted Expenditure
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CERN Specialities in CET

• Team Accounting
• Separation of CERN and non-CERN money
• Accounting is very close to bank statements
• Cash flow, budget and balances
• Two main categories of team accounts
• T1T4 Institutes, Teams etc.
• T5T9 Collaborations, Experiments
• There is a big difference in how team codes
  ofthe different categories are handled
• Sign in balance columns is inversed compared
  tothe rest of CET
• Negative amounts Money owed to CERN
• Positive amounts Balance in the team's favour

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Team Accounting

• Teams T1T4 with expenditure ceiling
• Followup of this account is a matter of ensuring
  that the payments and foreseen expenditure do not
  exceed the ceiling
• No details by activity code and nature available
• Teams T1T4 without expenditure ceiling
• No agreed ceiling
• Spending is possible up to the limit of the
  'cash' that is available in the 'cashflow'
  account
• No details by activity code and nature available
• Teams T5T9
• Details by activity code and nature are available
• No cashflow transactions available, instead cash
  flow balance is provided

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Team Accounting in CET

• Four reports are dedicated to teams
• Team Transactions
• Request For Funds
• Totals for Teams
• Team Graphs

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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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CET Advanced Features

• Virtual units
• Create your own units for specific monitoring
  purposes.
• Ranges
• Query data for a range of values.
• Stored reports
• Store criterias for a particular report for easy
  reuse.

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Advanced Features
Virtual Units
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Virtual Units

• Available in CET and HRT
• Can be used in all reports
• Container for different items of various types
• Persons
• Cost centres
• Organic and PPA units
• Experiments and institutes
• Projects
• Contracts
• Items of different types can be mixed up
• Are processed at the time a report is executed
  (runtime)
• Changing a virtual unit affects all reports it is
  used in

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Editing Virtual Units
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Editing Virtual Units
An additional budget code has been added.
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Using Virtual Units
Instead of only queryingthe expenses for
IT-AIS-MDS, the reportwill also search
forexpenses charged to thebudget code 47115
(IT-AIS-HR).
IT-AIS-MDS
47115
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Ranges

• Use of ranges is possible in fields like
• Organic Unit, PPA Unit, Budget Code, Project,
  Experiment
• Specify range limits by using a colon ''
• Ranges only having a left or a right bound are
  accepted as well
• Two bounds - 4711547118
• Right bound - 47118
• Left bound - 47115

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Advanced Features
Stored Reports
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Stored Reports

• All CET reports can be "stored"
• Very useful if a particular report is executed
  regularly and uses a non-trivial set of input
  criteria
• Storing a report means
• Saving the criteria that have been defined for it
• Stored reports can be executed via the Report
  Folder
• Accessible from the main menu
• In the future it will be possible to schedule
  stored reports for automated and unattended
  execution!

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Agenda
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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CET Information Centre

• MDS is constantly asked
• to enhance existing report
• Add extra information
• to implement new reports
• Combination of reports A and B
• in both cases the enhancements are often of
  interest only for a few users
• Information Centre allows users to create reports
  themselves because they know best what they need

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Information Centre in Action
Select the report to edit andclick to open the
editor.
Create a new report
Assign a name
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Information Centre in Action
Execute the report
Get more information
Check its performance
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Agenda
The End
1 CET Overview
2 Basic Terminology
3 Financial Concepts
4 CERN Specialities
5 Advanced Features
6 CET Information Centre
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What was not covered

• Advanced team accounting
• Advanced contract analysis (draft contracts)
• EVM (Earned Value Management)
• More advanced financial analysis with CET

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The End.

• Questions answers
• Thank you for your attention

"A bank is a place that will lend you money if
you can prove that you don't need it."-- Bob
Hope (British American Entertainer, 1903 - 2003)