Guideline on Common Financial Management Business Process 4.1 - Manage Other Capital Assets
Long description for image: Figure 3: Other Capital Assets – Level 2 Process Flow
The figure is a process flow diagram comprising subprocesses, connectors, inputs, outputs, gateways and decisions. The subprocesses are grouped into subprocess groups.
This diagram depicts the Level 2 process flow for Business Process 4.1 – Manage Other Capital Assets. Manage Other Capital Assets starts with connectors from two other business processes: Business Process 3.1 – Manage Procure to Payment and Business Process 4.3 – Manage Inventory. Business processes 3.1 and 4.3 both flow to Subprocess 4.1.1 – Create or Update Asset Record, the sole subprocess within the Create or Update Asset Record Subprocess Group.
The flow continues to the Maintain Asset Record Subprocess Group, which comprises the following five subprocesses:
- Subprocess 4.1.2 – Calculate Monthly Amortization;
- Subprocess 4.1.3 – Undertake Ongoing Asset Repairs and Maintenance;
- Subprocess 4.1.4 – Conduct Periodic Analysis of Assets Under Construction;
- Subprocess 4.1.5 – Conduct Periodic Physical Asset Count; and
- Subprocess 4.1.6 – Conduct Periodic Asset Assessment.
One or more of these five subprocesses can be completed concurrently and in any order. Subprocess 4.1.3 – Undertake Ongoing Asset Repairs and Maintenance is identified as outside the scope of the Manage Other Capital Assets business process. Subprocess 4.1.6 – Conduct Periodic Asset Assessment connects to Business Process – 1.1 Manage Planning and Budgeting.
The flow continues to two decisions to be answered concurrently and in any order. The first decision is titled “Update asset record?” The YES flow for “Update asset record?” returns to Subprocess 4.1.1 – Create or Update Asset Record. The second decision is titled “Journal entry recorded?” The YES flow for “Journal entry recorded?” continues to a connector for Business Process 8.2 – Manage Financial Close. The NO flows for “Update asset record?” and “Journal entry recorded? advance to another decision titled “Disposal required?” The NO flow for “Disposal required?” returns to the following five subprocesses that make up the Maintain Asset Record subprocess group:
- Subprocess 4.1.2 – Calculate Monthly Amortization;
- Subprocess 4.1.3 – Undertake Ongoing Asset Repairs and Maintenance;
- Subprocess 4.1.4 – Conduct Periodic Analysis of Assets Under Construction;
- Subprocess 4.1.5 – Conduct Periodic Physical Asset Count; and
- Subprocess 4.1.6 – Conduct Periodic Asset Assessment.
One or more of these five subprocesses can be completed concurrently and in any order.
The YES flow for “Disposal required?” advances to Subprocess 4.1.7 – Process Asset Disposal, the sole subprocess in the Record Asset Disposal Subprocess Group. The flow continues to a gateway showing the following mandatory flow: the decision titled “Disposal to a third party?,” the “End” of Business Process 4.1 – Manage Other Capital Assets and a connector for Business Process 8.2 – Manage Financial Close. The YES flow for “Disposal to a third party?” connects to Business Process 2.1 – Manage Revenue, Receivables and Receipts; the NO flow for “Disposal to a third party?” continues to the “End” of Business Process 4.1 – Manage Other Capital Assets.