Home » AX 2012 Financials » Advanced Rule Structures in AX 2012

Advanced Rule Structures in AX 2012


Hi Friends,

Let’s discuss about advanced rule structure in AX 2012.

In normal accounting process, we generally have many entries to be posted which involves ledgers and dimensions. In Chart of Account configuration, we define ledger – dimension relation wherein we define which all dimensions will be applicable for the ledger and also we can limit the dimension values, for example dimension department and purpose can be required dimension for insurance expense account and dimension region can be required for asset depreciation expense account.

Here, i will be focusing on Advance Rule Structures. Advanced rule structures is somehow similar to chart of account structures. The difference is in Advanced rule structure we define rules for financial dimensions and then we attach it to ledger. So it’s basically we define rules for dimension usage but not involving ledger as the first step of configuration.

Let’s see an example:

Let’s assume a company which is having it’s regions as CA and LA. Out of these, only CA region provides insurance facility to it’s employees. So there is a requirement that for insurance expense account, when purpose is Insurance then region can only be CA and not LA.

Advanced rule structure can be best used for such type of requirements. By this, when insurance expense is selected in journal line, and when we select purpose as Insurance then on region we can only select CA. LA option will even not come in the drop-down. This feature helps a lot for restricting clerical mistakes which we see a very common thing in general accounting practice.

Now let’s see how it is configured:

Step 1. The first step is to create advanced rule structure. Navigate to GL -> Setup -> Chart of accounts -> Advanced rule structures.

ARS1

Step 2. We can see here that advanced rule structures form is open. In this form only we create advanced rule structure.  Click on New to create new structure. Enter a logical name in the advanced rule structure field and also specify description.

Step 3. Next steps involved selecting dimensions. Click on Add segment button. Drop-down of financial dimensions will come.

ARS2

Step 4. Notice here that main account is not a default option. Select dimension value Purpose and then click on Add segment. Now click on Add segment again and then select Region.

Step 5. Now click on the filter button on the Purpose dimension code.

ARS3

Step 6. Enter the value Insurance in the field provided and click on OK. Now in similar way, enter value for Region field. Please note that we will be entering region only as CA.

Step 7. Click on Activate button to activate the advanced rule.

Step 8. Repeat the steps as mentioned above to create more advanced rules. At this stage we have created advanced rule. Now we have to attach this advanced rule on the chart of account configuration. To do so, navigate to GL -> Setup -> Chart of accounts -> Configure accounts structure.  Select the appropriate account structure and click on the Advanced rule button. Please note that before you attach advanced rule structure, change the status of concerned account structure to Edit mode and once the advanced rule structure is attached, activate the account structure.

ARS4

Step 9. Click on New and enter a logical name for the rule and description.

ARS6

Step 10. In the add filter section, add the account number for which this advanced rule will be effective. The account number must be there in account configuration. Select the advanced rule created in the advanced rule section.

Step 11. Close the form and activate the account structure for the changes to be effective.

At this point, we have completed the configuration of account structure. Now we can see it’s effect on General journal.

Step 12. Create a new general journal. Select account type as ledger and enter account number for which advanced rule is applied. Select Purpose dimension as Insurance and try to select Region. There will be only one option and that will be CA.

This is how advanced structure rule works. Advanced rule structure helps a lot in making financial system of any organization flexible to be used and specially for AX 2012 where we have unlimited financial dimensions.

Any queries, suggestions are most welcome. Do write to me in case you have any doubts.

Pranav

Let’s share knowledge…

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20 Comments

  1. UdhayAnand AVB says:

    Is it similar to Dimension set hierarchy in AX 2009??

  2. Pranav's says:

    Hi UdhayAnand,

    Yes it is similar to Dimension set hierarchy which was used in AX 2009 and earlier version. Since GL module is a complete change in AX 2012 with multiple dimensions and COA, AX has now advance rule structure to fit it.

    Thanks,
    Pranav

  3. Rakesh says:

    Superb Pranav! Very well explained Advanced rule structure. It’s crystal clear now for me:)

  4. Willy Martinez says:

    good post!! but i have a problema when i put many values in the advance rule in your examplo you have used one value insurance department, but if you put more values in the general journal not validate Do you have the same issue?

    • Pranav's says:

      Hi Willy,

      Adding many advanced rule will indeed add complexity. By the way, can you give example where the rule didn’t worked. I will also check at my end.

      Thanks,
      Pranav

  5. Krishna says:

    How to make Organisation strucutre wise adv rule.. ex if a branch in (Delhi) there are only two department existing compare to other branches.How can i acheive it in organisation strucutre

    • Pranav's says:

      Hi Krishna,

      Financial dimension is global in nature. If the legal entity is only one, then only one account structure can be setup and hence advanced rule. However, you can create different advanced rule structure and attach it to a/c structure.

      Pranav

  6. Yumna says:

    Hi Parnav,

    Your blog is very helping indeed but I am now facing an error for advanced rule while posting counting journal and in Purchase Order receipt ‘The ledger account combination 51104014— is not valid for the advanced rule structure P&L – Brand – Region – Store.’

    Can you please suggest me any work around to handle this error?

    Thanks,
    Yumna

  7. Fatih Kartal says:

    Hi Pranav,

    Is it possible to make the region CA automatically by the system, when the user selects Insurance ?

    • Pranav's says:

      Hi Faith,

      There is an option. On the particular ledger account, you can default the financial dimensions. You need to edit the ledger account, select the level of main account and specify the company. The financial dimension fast tab will be activated and you can specify the default dimension. This may complicate the validation process.

      Pranav

      • Fatih Kartal says:

        Hi Pranav, I did not ask for the default dimension, I asked if the system has ability to choose cost center “b” when I enter “a” for the department. I wanna build an hierarchy with department and cost centers and make the user selects the cost center, and the department of this cost center should be automatically selected by te system
        Thanks

  8. Marcos says:

    Hi Parnav, I have a question. Advanced rules could be used for restrict the values in the financial dimension tag of any form with financial dimension? I have 2 dimensions: Region and Store, and i need show only the Stores associated with their Regions. For example. Selecting Region 01 must show only stores 001 and 003. This has to apply in any form with the financial dimension tag

    • Pranav's says:

      Hi Marcos,

      The advanced rule structure can directly be seen on financial journals. On form like PO or SO, system won’t run validation of advanced rule structure because that is not a direct financial transaction, it is routed by sub-ledgers. The advance rule structure on sub-ledgers comes into picture when you post the transaction.

      Pranav

  9. utpal says:

    Hi pranav,

    Can we define entity-wise dimension values for sub-ledger transactions? example ledger wise dimension values with accounting structure is working fine but it is not working for sub-ledger means there all the dimension values showing like global values.

    • Pranav's says:

      Hi Utpal,

      This is the standard design of AX. Actually from sub-ledger form, you can’t determine which ledger account it is going to hit. For example, from vendor, although it should hit AP account, but it is not fixed on vendor master or any subledger form where as on journals, you select ledger account and system can validate the dimension from COA structure.

      Please let me know if you have more queries.

      Thanks,
      Pranav

  10. hari says:

    In forms like PR, PO all Dimensions attached through Advance rules are displayed even though they are not required. can we not suppress this. I have a requirement of about 24 dimensions to be attached to various account in single or combinations. This will list all 26 dimension (including the cost centre and department dimensions) and make the PO Financial Dimension Fast tab clumsy). Any suggestions please.

    • Pranav's says:

      Hi Hari,

      The standard AX is designed such way that it doesn’t validate the account structure whenever any transaction like SO and PO is entered. Reason being, you cannot be sure what ledger accounts be impacted real time and also validating dimensions may slow down process overall.
      But in your case, there are many dimensions values. I thins this may need to be customized such that system validates dimension.

      This will not be an easy customization. I suggest to populate default dimensions on vendor and item such that they default on PO when created. By this approach, it will be easier to enter PO in lesser time.

      Finally, i would recommend not to do any customization on the validation, defaulting dimension would be better way.

      Please let me know if you have questions.

      Thanks

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