CERN – European Organization for Nuclear Research Administrative Information Services AIS Stakeholders Meeting – March CERN – European Organization for Nuclear Research Administrative Information Services CET Presentation – April IT-AIS-MDS CET CERN Expenditure Tracking Introduction to CET and basic financial concepts April 2006 IT-AIS-MDS Introduction to CET and basic financial concepts April 2006 IT-AIS-MDS

CERN – European Organization for Nuclear Research Administrative Information Services 2 CERN – European Organization for Nuclear Research Administrative Information Services 2 CET Presentation – April 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

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 3 CERN – European Organization for Nuclear Research Administrative Information Services 3 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 4 CERN – European Organization for Nuclear Research Administrative Information Services 4 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 5 CERN – European Organization for Nuclear Research Administrative Information Services 5 CET Presentation – April Where to find CET  Inside CERN use the following URL  cet  From outside CERN 

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 6 CERN – European Organization for Nuclear Research Administrative Information Services 6 CET Presentation – April 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)

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 7 CERN – European Organization for Nuclear Research Administrative Information Services 7 CET Presentation – April Main Menu Contracts Transactions Summaries Information Centre Status of book closing and extractions User Preferences

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 8 CERN – European Organization for Nuclear Research Administrative Information Services 8 CET Presentation – April User Preferences

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 9 CERN – European Organization for Nuclear Research Administrative Information Services 9 CET Presentation – April User Preferences

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 10 CERN – European Organization for Nuclear Research Administrative Information Services 10 CET Presentation – April Column Selector Default Columns

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 11 CERN – European Organization for Nuclear Research Administrative Information Services 11 CET Presentation – April Ordering Selector

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 12 CERN – European Organization for Nuclear Research Administrative Information Services 12 CET Presentation – April Drilldown

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 13 CERN – European Organization for Nuclear Research Administrative Information Services 13 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 14 CERN – European Organization for Nuclear Research Administrative Information Services 14 CET Presentation – April Basic Terminology Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 I would like to buy some Hardware Commitment : 3000 Payment to supplier: 600 Open Commit. : 2400 Definitions…. Commitment: Amount agreed to pay Payment on Budget Code: Amount charged to Budget Code Open Commitment: Commitment – Payment (Budget Code) Payment to Supplier: Amount paid on invoice 8 / 05 9 / 05

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 15 CERN – European Organization for Nuclear Research Administrative Information Services 15 CET Presentation – April / 05 Basic Terminology Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 Budget: Definitions…. Commitment: Amount agreed to pay Payment on Budget Code: Amount charged to Budget Code Open Commitment: Commitment – Payment (Budget Code) Provisioned next year: Money from this year’s budget set aside for next year expenses Payment to Supplier: Amount paid on invoice Year 2005 Commitment : 3000 Payment to supplier: 600 Provision: Paid on Budget Code: Open Commit. : , , / / 05

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 16 CERN – European Organization for Nuclear Research Administrative Information Services 16 CET Presentation – April Basic Terminology Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 Budget: Year 2006 Commitment : 3000 Carry Over: Bill from supplier: Paid on Budget Code: Paid from Provision: Definitions…. Commitment: Amount agreed to pay Payment on Budget Code: Amount charged to Budget Code Open Commitment: Commitment - Payment Provisioned next year: Money from this year’s budget set aside for next year expenses Payment to Supplier: Amount paid on invoice Carry Over: Open Commitments at the end of last year Paid on Provision: Amount paid on invoices using money provisioned last year , , / / / 06 9 / 05

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 17 CERN – European Organization for Nuclear Research Administrative Information Services 17 CET Presentation – April Annual vs. Pluri-Annual Commitment Special Offer : Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 Annual commitment The chosen time period must not exceed one (financial) year. Pluri-annual commitment 2005? 2006? CHF 3000 CHF 2400

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 18 CERN – European Organization for Nuclear Research Administrative Information Services 18 CET Presentation – April Annual vs. Pluri-Annual Commitment Special Offer : Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 Annual commitment Pluri-Annual ? Pluri-annual commitment 2005? 2006? CHF 3000 CHF 2400 CHF 5400 ?

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 19 CERN – European Organization for Nuclear Research Administrative Information Services 19 CET Presentation – April Annual vs. Pluri-Annual Commitment Special Offer : Pay 20% On Order and 80% on Deliv. H/w: CHF 3,000 Annual commitment 2005CHF CHF 2400 Pluri-annual commitment Pluri-annual commitment = payment More than one year is selected. 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 600 CHF 2400

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 20 CERN – European Organization for Nuclear Research Administrative Information Services 20 CET Presentation – April Terminology in a CET Example Summaries

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 21 CERN – European Organization for Nuclear Research Administrative Information Services 21 CET Presentation – April Terminology in a CET Example CET Pivot

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 22 CERN – European Organization for Nuclear Research Administrative Information Services 22 CET Presentation – April Terminology in a CET Example

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 23 CERN – European Organization for Nuclear Research Administrative Information Services 23 CET Presentation – April Terminology in a CET Example Payments Commitments Budget Paid to Supplier Open Commit.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 24 CERN – European Organization for Nuclear Research Administrative Information Services 24 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 25 CERN – European Organization for Nuclear Research Administrative Information Services 25 CET Presentation – April 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…

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 26 CERN – European Organization for Nuclear Research Administrative Information Services 26 CET Presentation – April Paid on Budget Code vs. Paid to Supplier Paid to Supplier > Paid on Budget Code Invoice (partially) Paid on Provision Paid on Budget Code > Paid to Supplier Money has been provisioned

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 27 CERN – European Organization for Nuclear Research Administrative Information Services 27 CET Presentation – April Provisioning  Allocate money now for future expenses  Used to balance accounts towards end of year  DPOs are the experts on provisioning

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 28 CERN – European Organization for Nuclear Research Administrative Information Services 28 CET Presentation – April Main Building Blocks of a Financial Transaction Cost CentreNatureActivity Code WHO? Cost Centre (Cost Accounting) Intersection Code92640 (LHC Controls) Organic Unit AB-CO Project GCH PPA/Sub-PPA FHC-000 (LHC Machine) or a Team Account…

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 29 CERN – European Organization for Nuclear Research Administrative Information Services 29 CET Presentation – April Cost CentreNatureActivity Code WHAT? Nature Code (General Ledger) Posts 615 Entretien Entretien routes Entretien nettoyage Entretien chauffage Category High level classification e.g Consumables Main Building Blocks of a Financial Transaction

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 30 CERN – European Organization for Nuclear Research Administrative Information Services 30 CET Presentation – April Cost CentreNatureActivity Code WHY? Activity Code (Analytical) 6 Technologie du vide et des basses temperatures 66 Materiaux pour basses temperatures 667 Elements Cryogeniques Main Building Blocks of a Financial Transaction

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 31 CERN – European Organization for Nuclear Research Administrative Information Services 31 CET Presentation – April Elements Cryogeniques Entretien divers AB-CO GCH FPC-000 Cost CentreNatureActivity CodeCurrency EUR Amount Main Building Blocks of a Financial Transaction

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 32 CERN – European Organization for Nuclear Research Administrative Information Services 32 CET Presentation – April Lifecycle of an Order User Budget Holder request authorise Qualiac EDH workflow Purchasing Goods Reception order invoice delivery CET monitor Order EDH Pipe Paid Commit Open Status CA Order EDH Pipe Paid Commit Open Status CA instructions CET...Order EDH Pipe Paid Commit Open Status CA Order EDH Pipe Paid Commit Open Status CA Finance

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 33 CERN – European Organization for Nuclear Research Administrative Information Services 33 CET Presentation – April 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

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 34 CERN – European Organization for Nuclear Research Administrative Information Services 34 CET Presentation – April Most Important Order Statuses CodeDescription 30Transfert en comptabilité, facturation 49Réception 52Edition bon de réception 72Facture détaillée 91Mise au paiement 96Poubelle (DAI, codes supprimés) 97Archivage

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 35 CERN – European Organization for Nuclear Research Administrative Information Services 35 CET Presentation – April Flashback: Terminology in a CET Example Payments CommitmentsBudget Pipeline Paid to Supplier Open Commit.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 36 CERN – European Organization for Nuclear Research Administrative Information Services 36 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 37 CERN – European Organization for Nuclear Research Administrative Information Services 37 CET Presentation – April 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: 1.A divisional request (DR) is made to request money 2.A market survey (MS) follows 3.Invitation to tender (IT) 4.Contract is concluded 5.Contract is put into Qualiac Data of the draft contract available in CFU, but not in Qualiac!

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 38 CERN – European Organization for Nuclear Research Administrative Information Services 38 CET Presentation – April 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: 1.A divisional request (DR) is made to request money 2.A market survey (MS) follows 3.Invitation to tender (IT) 4.Contract is concluded 5.Contract is put into Qualiac Data for all phases of a contract is available in CET.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 39 CERN – European Organization for Nuclear Research Administrative Information Services 39 CET Presentation – April Contracts in CET

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 40 CERN – European Organization for Nuclear Research Administrative Information Services 40 CET Presentation – April Contracts in CET Base Data FC Authorized Amount Paid to Supplier Forecasted Expenditure Breakdown by Budget Code

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 41 CERN – European Organization for Nuclear Research Administrative Information Services 41 CET Presentation – April 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  T1…T4 Institutes, Teams etc.  T5…T9 Collaborations, Experiments  There is a big difference in how team codes of the different categories are handled  Sign in balance columns is inversed compared to the rest of CET  Negative amounts: Money owed to CERN  Positive amounts: Balance in the team's favour

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 42 CERN – European Organization for Nuclear Research Administrative Information Services 42 CET Presentation – April Team Accounting  Teams T1…T4 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 T1…T4 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 T5…T9  Details by activity code and nature are available  No cashflow transactions available, instead cash flow balance is provided

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 43 CERN – European Organization for Nuclear Research Administrative Information Services 43 CET Presentation – April Team Accounting in CET  Four reports are dedicated to teams:  Team Transactions  Request For Funds  Totals for Teams  Team Graphs

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 44 CERN – European Organization for Nuclear Research Administrative Information Services 44 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 45 CERN – European Organization for Nuclear Research Administrative Information Services 45 CET Presentation – April 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.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 46 CERN – European Organization for Nuclear Research Administrative Information Services 46 CET Presentation – April Advanced Features Virtual Units

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 47 CERN – European Organization for Nuclear Research Administrative Information Services 47 CET Presentation – April 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

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 48 CERN – European Organization for Nuclear Research Administrative Information Services 48 CET Presentation – April Editing Virtual Units

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 49 CERN – European Organization for Nuclear Research Administrative Information Services 49 CET Presentation – April Editing Virtual Units An additional budget code has been added.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 50 CERN – European Organization for Nuclear Research Administrative Information Services 50 CET Presentation – April Using Virtual Units Instead of only querying the expenses for IT-AIS-MDS, the report will also search for expenses charged to the budget code (IT-AIS-HR). IT-AIS-MDS 47115

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 51 CERN – European Organization for Nuclear Research Administrative Information Services 51 CET Presentation – April 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 :47118  Right bound - :47118  Left bound :

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 52 CERN – European Organization for Nuclear Research Administrative Information Services 52 CET Presentation – April Advanced Features Stored Reports

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 53 CERN – European Organization for Nuclear Research Administrative Information Services 53 CET Presentation – April 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!

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 54 CERN – European Organization for Nuclear Research Administrative Information Services 54 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 55 CERN – European Organization for Nuclear Research Administrative Information Services 55 CET Presentation – April Information Centre 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

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 56 CERN – European Organization for Nuclear Research Administrative Information Services 56 CET Presentation – April Information Centre in Action Create a new report Assign a name Select the report to edit and click to open the editor.

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 57 CERN – European Organization for Nuclear Research Administrative Information Services 57 CET Presentation – April Information Centre in Action Execute the report Check its performance Get more information

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 58 CERN – European Organization for Nuclear Research Administrative Information Services 58 CET Presentation – April Agenda 1CET Overview 2Basic Terminology 3Financial Concepts 5Advanced Features 6CET Information Centre 4CERN Specialities The End

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 59 CERN – European Organization for Nuclear Research Administrative Information Services 59 CET Presentation – April What was not covered  Advanced team accounting  Advanced contract analysis (draft contracts)  EVM (Earned Value Management)  More advanced financial analysis with CET

IT-AIS-MDS CERN – European Organization for Nuclear Research Administrative Information Services 60 CERN – European Organization for Nuclear Research Administrative Information Services 60 CET Presentation – April 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, )