Purpose and benefit of DYCE Prepaid Services
A customer approaches his contact person in Sales and wants to buy some services in advance and retrieve them at a later time. It is okay for him to pay in advance as well, as long as he is able to use this budget for any services in the future.
The Sales user creates a sales quote and sends it to the customer via email. After approving, she creates a sales order, ships and posts it and loads thereby the amount into the customer's Prepaid Service. After the Prepaid Service is topped up, the customer expects to receive a statement on a regular (e.g. monthly) basis. Furthermore, the customer would like to use up the budget within the Prepaid Service and expects to receive regular invoices once Prepaid Service is exceeded.
The customer wants this budget to be used for services fulfilled regarding one project in particular. The user in Sales department therefore checks the Prepaid Services set up for the customer. Additionally, she checks whether the correct projects are assigned to the Prepaid Service in general in order to make sure that future postings will be correct. She finds that the Prepaid Service is not yet linked to the project the customer would like to use the budget for. In the Prepaid Service she therefore selects the appropriate project (Job) from the list and assigns it to the Prepaid Service. After some time, the customer asks her to assign an additional project to this Prepaid Service, in order to use up the budget for these services, too. She assigns this additional project to the same Prepaid Service.
The key account manager wants to give away a goodie for this customer which shall be applied on the next occasion. He opens the Prepaid Service and wants to top up it with some additional amount. The user expects to have a page where he can provide information about the amount for topping up and posting dates.
During the project, the customer consumes different services and buys some retail items. Both services and items are to be settled with the Prepaid Service. At the end of each month, the customer receives a statement of the outflows and the current status of the budget of the Prepaid Services, as well as an invoice with a zero amount. The invoices and the statement are prepared by employees in the internal sales department. Whether the invoice amount is covered by the Prepaid Service is to be checked automatically. Consumed services and sold hardware are automatically billed against these Prepaid Services. The employees then send the documents.
From time to time, the customer contacts his key account manager and needs an info regarding the balance for all his Prepaid Services for the whole current year (or any specified period). Additionally, he wants to see details for each of his Prepaid Services. The key account manager uses the Prepaid Service statement report which will show a balance of each Prepaid Service with details of entries. He sends this report to the customer via email.
At the beginning of the project, customer and key account manager agreed that a remaining amount (below a certain threshold) will expire after some time. Three months after the end of the project the key account manager checks if there is an outstanding amount in the Prepaid Service. Since it is within the agreed boundaries, this amount needs to be transferred from prepayment account to revenue account. The key account manager asks a colleague from finance department to take care of this. In order to do so, the user from finance department opens Prepaid Service card and calls an action to dissolve the remaining amount. It will be transferred into the General Journal batch which is defined in the setup. In addition, you can specify here whether the entries in this worksheet are subsequently also posted automatically.