360° Strategic Asset Management > Common > Contract Management > Contract register

Lease Management: The Leasing Module provides a complete end-to-end solution for all companies that lease out mobile assets. It supports all steps in the financing contract life cycle from a financing opportunity for a lease to an offer going over to mid-lease changes and resulting in end-of-lease options.

Contract Management: The contract management module allows for registration, quotation, management, billing and retirement of contracts. The module support a comprehensive set of billing rules and calculations for a wide variety of contract types.

Note

List pages can help reduce the time that it takes to complete some daily tasks in Microsoft Dynamics AX. You can use list pages to view a list of similar records, select a record, and then perform actions against that record. There are two types of list pages: primary and secondary. Primary list pages display a set of records, and secondary list pages display a subset of those records. You must have security access to a primary list page to view the secondary list pages that are based on it.

When the Contract Planning is opened from the common (menu) or the area page, it will open the form as a primary list page. From this view you can select an execution record and click on EDIT to open the detail or grid view to perform actions against the selected record. List pages display multiple records as a list, or a series of rows and columns. You can sort the data in the list and use filters to display subsets of the list items. You can also click links to display specific records, if records are available.

Select multiple rows in a list by using check boxes to filter the on specific records. Filter the information in a list by using a quick filter or an advanced filter. Save an advanced filter as a Cue on a Role Centre page.

How to create a new Lease Contract

The following is an example for the create contract wizard view with project integration ON.

1.      Next (tab-1) Contract requirements: Specify the application, agreement type, customer and organisation.

 

Select the Application classification for the contract type, Internal for contracts within the organisation between different divisions/departments, or External for contracts to external customers.

Select the Maintenance agreement classification for the agreement/contract. The following options are available as a classification: Included or excluded can be selected. This field is used for filtering purposes and is not linked to the contract type that is selected.

Select the Customer code from the list of lookup values that uniquely identifying the customer.

Customer name is the description of the Customer Code and will be automatically added from the resource table.

Select the Creating organisation name from the list of lookup values that defines the organisation which created this contract.

Creating org structure field defines the structure position of the organisation which created this contract, by selecting the organisation from the list of lookup values.

Select the Internal organisation name from the list of lookup values that defines the organisation for which this contract was created. This is only applicable if the contract application is of type = Internal.

Internal org structure code field defines the structure position of the internal organisation/department for which this contract was created, by selecting the organisation from the list of lookup values.

Click on the NEXT button to progress to the following screen.

2.      Next (tab-2) Contract detail: Provide details regarding the contract, the applicable object, event and the contract period.

 

Select the Contract type from the drop down list of predefined contract types. Contract type = Not Applicable will be the default contract type. If you want to use any other contract type, change the contract to another type. If event templates is used for specific contract set ups, the contract type selected in the event template will be defaulted in when the event template is selected in the create wizard.

For this process select the type = Lease - Managed maintenance agreement in order to create a contract from a pre-defined event template with this contract type.

Contract description define a short detailed description for the contract. If event template is used, then the event description will be defaulted into the description, but field can be edited.

Select the Contract object from the list of lookup values to be quoted on for this contract. Only Objects where the "Available on contract" indicator is ticked in the object structure will be available in the drop down list.

Structure code will be added after a contract object was selected.

Event code field defines the event code that was created in the event definition for this contract template. Select from the lookup list an event code. Only event templates of the selected contract type and objects will be displayed.

Description will default in from the event definition.

Select the Start date field to define the planned date when the contract must start.

Select the End date field define the planned date when the contract must end.

Click on the NEXT button to progress to the following screen.

3.      Next (tab-3) Contract specifics: Identify a specific and internal accounting organisation for this contract. If required provide project details or create a new project for the contract. Specify the first billing date.

 

 

Select the Specific ID from the list of lookup values to uniquely identifying the specific asset that is selected for this contract.

Structure code will be added after a specific was selected.

Select from the available lookup list the Internal accounting org to be used for accounting purposes. This field is a mandatory entry.

Internal accounting organisation structure field defines the structure position of the internal accounting organisation for which the contract is performed and the field will automatically be added from the Organisation. This field is a mandatory entry.

Project contract ID will be enabled when the Application = External and when project integration is enabled. New button will allow for the creation of a new project contract ID. Default can be selected if a default project contract was defined for the organisation in the setup parameters.

Project name will be added from project ID that was selected.

Select the Related project from the list of lookup values that is related to this contract and created under the account setup for the accounting organisation. If the field is not selected, a related project will be created.

Project name will be added from project ID that was selected.

Enter the date for the First billing date when the customer's billing cycle will start.

4.      Click on the Finish button to complete the create wizard process for the contract. The contract lines will defaulted in from the event detail as it was setup in the event template. For this exercise the contract lines will be added in the update process of the contract.

 

  1. When the new contract is created, click on the OK button to open the Contract List page and then switch to the line details tab on the contract form line view on the Setup tab, select the related project, right-click in the field to view details.

How to update the lease contract

Update project status:

The following is an example of the contract opened in contract register edit mode.

1.      From the list page click on the newly created contract to open the contract and then switch to the line details tab on the contract form line view on the Setup tab, select the related project, right-click in the field to view details.

 

2.      Right click in the related project field, click on View details, and open the project to update the status of the project.

Click in the project stage, and change the project to In Progress and then close the project form.

 

Add more resource lines to the contract:

3.      On the contract specific select the Lines button to open the contract specific lines form.

Add another resource line for the contract, that will need monthly feedback before the contract postings and billing process are executed.

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  1. Select for example the resource type = Service and for example the resource code = E-Toll charges. This is the standard resource
  2. Add the Default quantity and Quantity values for the resource.
  3. Add the Sales price if a standard price will apply to the resource, and the Currency, Bill recurrence and Pricing model for the resource. Monthly the actual e-toll cost will be added through the Feedback process before the billing run on the contract.

7.      When all the resources were added to the contract, the status of the contract can be updated. First the contract status is changed to Quotation. Once the customer has agreed to the quotation of the contract, the status is changed to Approved, and then the contract is put into In Progress

Generate Payment schedule for lease line of the contract:

8.      On the contract specific select the Lines button to open the contract specific lines form. Click on the lease payment schedule contract line to open the Payment Schedule form.

 

  1. Once the contract status is in progress, click the Generate schedule to create the payment schedule for the lease of the specific asset. A monthly payment billing line will be generated for the duration of the contract period, and the monthly install payment and a breakdown of the costing will be displayed.

Payment schedule adjustment for lease line of the contract:

10.  Click on the Lease Contract line and on the Payment schedule button to open the contract payment manage schedule form.

 

  1. Click on the Adjustment tab, and for this example an interest rate adjustment is done for the selected contract. Click the NEW button and add a new interest rate.

12.  When the interest rate adjustment is completed, click on Generate schedule to re-generate the monthly payments after the interest rate adjustment. This process is used if an adjustment is done on selected contracts, for batch adjustments on all the contracts, follow the batch adjustment process.

For more create process detail of base payment rate setup per company and rate adjustments, refer back to Base Rate Configuration

Contract line feedback and billing:

(For more detail definition on contract line feedback, contract posting and billing(Invoicing), refer back to the step - by - step process in Lease Contract Process)