Fixed Assets Revaluation: A Briteskies Custom Solution

Posted by Dave Balser

October 17, 2016 | 10:30 AM

Share this blog on:     

fixed_assets_revaluation.pngIn the business world, companies are bought and sold all the time. Typically, when a company is acquired, it will undergo a revaluation of its fixed assets. If you’re a company running JD Edwards, specifically the fixed assets module, then this revaluation may not happen the way you want it to.

When using the base JDE functionality, implementing a revaluation of fixed assets will simply replace the old value of the items, as opposed to allowing you to view both the pre- and post-acquisition values of the items. When one of our clients was acquired, their fixed assets went under a revaluation that ended up requiring a custom solution to maintain the desired information.

This client’s fixed assets were on the books at a certain price point and they depreciated in value annually. When the acquisition happened, an appraisal was completed for their fixed assets, which valued them at a different amount than what our client had on the books in JD Edwards. The client needed to update the fixed assets value in JD Edwards, but they wanted to maintain the historical value as well. Because JD Edwards has no method for changing a fixed asset value while maintaining historical visibility, our client turned to our JD Edwards team to come up with a custom solution.

Using our JDE Business Processes experience, our team took the existing asset records affected by the revaluation, lifted them out of JDE, then copied and reloaded them as identical, new assets. The new, copied assets were assigned the new value. The old records were assigned an “RV” status, which indicated that those items had been revalued and were to be ignored in future changes.

Using this solution, our client still has all of their fixed assets information as it was at the date of the acquisition, as well as a new set of assets that have been updated and are now being used in JD Edwards. The new depreciation amounts are being calculated on the new fixed assets values, but the client still has the old records for historical purposes.

This solution was crucial for our client as they did not want to lose visibility of the historical valuation of their assets, as they would have with the recommended JD Edwards process. Our method simply enhanced the JDE process so that the client can have visibility into and cross-reference what prices were pre-acquisition, and what they are now.

Interested in learning more about what the JDE Fixed Asset module can do for your organization? Or, do you have a JDE or Business Process project that needs some assistance? Contact our team.

Topics: JD Edwards

About Dave Balser

Dave Balser is the JD Edwards Delivery Director at Briteskies and has 15 years of experience implementing, upgrading, and managing JD Edwards World and EnterpriseOne systems. In addition to his enthusiasm for JD Edwards, Dave is equally committed to championing sustainability practices within Briteskies.

Search

Subscribe to Email Updates

magento-platform-checklist
New Call-to-Action

Contact Us

B2B-2.0

Recent Posts