Introduction

This article explains how to configure cost allocation rules in the Invoice Matching service. Cost allocation can be used as a support tool for accounting of invoiced costs verified in the Invoice Matching service.

Instructions

Configure Cost Centers

In the Invoice Matching service go to "Settings" tab (1) and click on "Cost Centers Management" (2). 

Here you can configure up to 8 cost center levels. These levels represent values that are included in the cost area. In the example below you see 4 levels configured:

• Account
• Cost center
• Business unit
• Project

Meaning that one cost area consists of:

Account - Cost center - Business unit - Project

However, even if you have defined several cost center levels, when it comes to adding values it is not mandatory that all levels are filled in.

You can at any time add more cost center levels, deactivate or remove existing cost center levels from the configuration. Changes will apply only to active invoices, archived invoice cost allocation configuration will not be affected by changes you make.

Configure rules for cost areas

To begin rule configuration, go to "Cost Allocation Rules" tab. Here you can configure:

1. Rule name - the dotted icon to the left of rule name also allows you to drag and drop the rule to change priority
2. Priority - if there are overlapping conditions in rules, that mean that one shipment falls into more than one cost area, you can define which rule should apply first using priority
3. You can set a rule to Active - Inactive
4. Copy the rule
5. Delete the rule
6. Configure rule conditions
7. Define cost area rule applies to
8. Create next cost allocation rule

Rule conditions

There are multiple options available for rule configurations. Rules can be configured using "AND" and "OR" (1) conditions, you can have several data fields and data field groups (2), and different conditions for values (3).

For example, to create a rule for cost area where pick-up is always from postal codes "41718" and "41719", and delivery is always to United Kingdom, the rule would look like this:

Here is an example of a more complex rule: 

Pick-up from postal codes "41718" and "41719" OR Pick-up from Finland (1) and delivery to United Kingdom (2) OR (3) pick-up from Supplier 1 and delivery to United Kingdom (4).

Once you have configured your rule, add a cost area value at the bottom of each rule (1). Save your changes for active rules (2). Before starting to work with cost allocation, you can test your changes first and check that the rules are configured correctly (3). 

Testing cost allocation rules

To Test your cost allocation rules click on "Test changes" button as shown above.  Choose an invoice you would like to test and click "Start Test" (1).

The results will be populated according to the rules you configured. Section at the top of the screen will show the summary: how many shipments are allocated to which cost area, monetary value, cost center levels, and total invoice summary (2). Section in the bottom half of the screen will show each invoiced shipment and columns to the right will display which cost areas each shipment has been allocated to (4). If no values are populated against a particular shipment - i means the shipment did not match any of the cost allocation rules.

Cost area values will be included in the export document, this linked guide describes how to export this data.