How to fix GP Accuracy Errors

Aged Non Complete/Aged Unclosed:

Aged Not Complete - Identifies shipments that have not been Marked CMP in a working status WRK , 30 days AFTER Target Billing Date which is the target billing date from the Late Billing KPI (includes Status - CUS, INV, RDD, JRA , JRB , JRC)

To Fix: - Mark the job to CMP status as soon as possible upon job completion

Aged Unclosed - Job not in CLS ,JRC, IHL AND WHL , status  date present 240 days, after Target billing date from the Late Billing KPI

To Fix: Mark the job to CMP status as soon as possible upon job completion and the system will pick up the auto closure to mark the job CLS

Aged Unrecognized Transactions:

This identifies Shipments with unrecognized costs older than 90 days of cost posting. This mostly occurs when costs are posted before an ETD or ETA are entered in on the job.

To Fix: From the Shipment>Job Invoicing Menu> Select Recognize Revenue

Open

Aged WHL/IHL (Work On Hold or Invoice On Hold)

WHL status is to be used in situations where if there is still a supplier/vendor cost invoice accrued and not yet posted in JFC status, move to WHL status to protect the accruals until the suppler/vendor cost invoice is received and can be posted. IHL status is to be used in exceptions situations where an AR invoice cannot yet be issued to a client. The statues are for exceptions and still need to be monitored. The allowance of these statuses are 90 days from the job status change date.

To Fix: For WHL chase the supplier/vendor for the invoice so that the accrual can be posted and the job moved from WHL to CMP ASAP. For IHL bill the client as soon as possible and put the job status back to CMP

Aged WIP

Aged WIP is measured to identify where there still may be revenue on an already invoiced job in any job status except for CLS that is still unbilled 30 days from the late billing target billing date.

To Fix: If the wip is billable issue the invoice to the client ASAP OR if not billable remove the wip from the job

Open

Negative Margin & Excessive Margin

Jobs that have zero or negative margin and/or high margin above 50% require a profit and loss reason code upon marking the job CMP. CargoWise will not allow a user to mark a job CMP without a profit and loss reason code if the job is at zero or negative margin upon marking CMP. There are some exceptions in the US where a job may be positive at the time of marking CMP, but when corporate revenue fee hits later, it may leave a job in negative margin, thus will show on the OCD requiring operators to input a profit and loss reason code.

To Fix: Enter the reason code from the billing tab of the job using the appropriate reason code definitions listed below.

Financial Closure

CargoWise is set to auto close jobs that are in CMP status to JFC status five months from the first AR (Accounts Receivable/Sales Invoice) date. It will then move the job from JFC status to CLS status in one more month (so 6 months from the first AR date). This OCD metric will show all jobs in JFC status that are one month/30 days away from moving to CLS status. Only certain operators at the department manager level have access to change jobs status from JFC back to WHL, etc.

To Fix: If there are no open wips and/or accruals on the job then no action is needed. Review any open wips and/or accruals that are still pending on the job. Open wips need to be removed OR billed to the client. Open accruals need to be posted, IF the supplier/vendor cost invoice has not yet been sent to post the accrual and is still pending, at this point operators need to move the job from JFC status to WHL (work on hold) status. This will allow more time to ensure the invoice is received from the supplier/vendor and to post those costs. Any open wips and/or accruals that are NOT actioned in JFC status will be removed from the job once the system moves the job to CLS status. If these are not actioned, valid, and removed from the job this will cause inaccurate profit and negative out of period transactions in the future and therefore MUST be actioned.

Open WIPs and/or Accruals on the JFC jobs (and any other jobs) can be easily viewed from the OCD dashboard here:

Incorrect Charge Code Usage:

SEKO is now live with Global Charge codes. Global Charge Codes should only be used. This KPI identifies any job where a NON Global Charge code is used. (As of December 1st, 2023 there is not a fix for incorrect charge codes used that are already posted, this KPI will continue to build until a solution is presented)

To find global charge codes from within the job. Select the search button to search from a new charge code line entry as shown in below screen shots.

Job Department Error

CargoWise has programmed auto defaults of job departments with logic based on an operators log in country, where a job is originating and destinating, and transport mode. Operators should never manually update the job departments that default on the billing screen of a job in CargoWise. If a manual job department is changed, the OCD will recognize this and identify what the proper job department code should be, requiring operators to update it appropriately.

To Fix: Enter the correct job department code from the billing tab Dept. Box, then update any existing charge code lines to the correct job department

To force the job department to be accepted: tick Override Desc. and then add '//XXX' to the end of the Job Desc. field

Transaction Department Error:

Similar to Job Department error, operators need to pay attention to transaction lines entered against a file and be sure each transaction line matches the job department at the header level before posting charges. (Currently as of December 1st, 2023 the OCD was reset on this KPI and if charges are already posted there is not currently a fix and these numbers will grow in the KPI until there is a solution for a fix)

Example of incorrect charges posted resulting in Transaction Department Error

To Fix : Example of transaction department error before posting with ability to fix:

Actionable vs Informational KPIs

All of the above mentioned KPIs are actionable and need to be corrected by operations. The below KPIs mentioned are for informational use only. Department managers should be reviewing these informational KPIs with their staff and identified patterns of issues and address with staff accordingly.

Aged ACR

Shipments with ACR older than 90 days, not in Job Status WHL & IHL Accrued a supplier cost and not Posted supplier invoice.

Duplicate Intercompany Costs

For intercompany jobs only. Metric highlights which files may have a duplicate cost with respect to intercompany postings. This is important for managers to ensure they are monitoring their intercompany ACR & CST actively.

Est vs Actual Intercompany Costs Variance

This is for intercompany jobs only. Metric highlights where accruals have been entered and intercompany cost posted, the variance between the estimated entry of the accrual versus actual cost posted. This will help identify if the sister company has possibly billed incorrectly vs what was to be expected.

Negative Out of Period Transactions

A job which has negative out-of-period transactions if the total GP booked in all reporting months after the job recognition month is negative for the current month performance.