[ADD] accounting: Analytic account usage

https://docs.google.com/document/d/1rXd7KxG1Xclwv_FqpvU4yb4R8Bj823FE-JlKmv7XGIE/edit#

accounting/others/analytic.rst

@@ -5,5 +5,6 @@ Analytic
 .. toctree::
    :titlesonly:
 
+   analytic/usage
    analytic/timesheets
    analytic/purchases_expenses

accounting/others/analytic/usage.rst

@@ -0,0 +1,224 @@
+======================
+Analytic account usage
+======================
+
+The analytic accounting can be used for several purposes:
+
+-  analyse costs of a company
+
+-  reinvoice time to a customer
+
+-  analyse performance of a service or a project
+
+To manage analytic accounting, you have to activate it in
+:menuselection:`Configuration --> Settings`:
+
+.. image:: media/usage01.png
+   :align: center
+
+To illustrate analytic accounts clearly, you will follow three use
+cases, each in one of three different types of company:
+
+1. Industrial company: Costs Analyse
+
+2. Law Firm: reinvoice spent hours
+
+3. IT/Services Company: performance analysis
+
+Case 1: Industrial company: Costs Analyse
+-----------------------------------------
+
+In industry, you will often find analytic charts of accounts structured
+into departments and products the company itself is built on.
+
+The objective is to examine the costs, sales and margins by
+department/resources and by product. The first level of the structure
+comprises the different departments, and the lower levels represent the
+product ranges the company makes and sells.
+
+**Analytic Chart of Accounts for an Industrial Manufacturing Company**:
+
+1. Marketing Department
+
+2. Commercial Department
+
+3. Administration Department
+
+4. Production Range 1
+
+5. Production Range 2
+
+In daily use, it is useful to mark the analytic account on each purchase
+invoice. When the invoice is approved, it will
+automatically generate the entries for both the general and the
+corresponding analytic accounts. For each entry on the general
+accounts, there is at least one analytic entry that allocates costs to
+the department which incurred them.
+
+Here is a possible breakdown of some general accounting entries for the
+example above, allocated to various analytic accounts:
+
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| **General accounts**                  |           |         |          |    | **Analytic accounts**   |          |
++=======================================+===========+=========+==========+====+=========================+==========+
+| **Title**                             |**Account**|**Debit**|**Credit**|    | **Account**             |**Value** |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| Purchase of Raw Material              | 2122      | 1500    |          |    | Production Range 1      | -1 500   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| Subcontractors                        | 2122      | 450     |          |    | Production Range 2      | -450     |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| Credit Note for defective materials   | 2122      |         | 200      |    | Production Range 1      | 200      |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| Transport charges                     | 2122      | 450     |          |    | Production Range 1      | -450     |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| Staff costs                           | 2121      | 10000   |          |    | Marketing               | -2 000   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+|                                       |           |         |          |    | Commercial              | -3 000   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+|                                       |           |         |          |    | Administrative          | -1 000   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+|                                       |           |         |          |    | Production Range 1      | -2 000   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+|                                       |           |         |          |    | Production Range 2      | -2 000   |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+| PR                                    | 2122      | 450     |          |    | Marketing               | -400     |
++---------------------------------------+-----------+---------+----------+----+-------------------------+----------+
+
+The analytic representation by department enables you to investigate the
+costs allocated to each department in the company. The analytic chart of
+accounts shows the distribution of the company's costs using the example above:
+
+.. image:: media/usage02.png
+   :align: center
+
+In this example of a hierarchical structure in Odoo, you can analyse not
+only the costs of each product range, but also the costs of the whole
+production. A report that relates both general accounts and analytic
+accounts enables you to get a breakdown of costs within a given
+department.
+
+.. image:: media/usage03.png
+   :align: center
+
+The examples above are based on a breakdown of the costs of the company.
+Analytic allocations can be just as effective for sales. That gives you
+the profitability (sales - costs) of different departments.
+
+This analytic representation by department is generally used by trading
+companies and industries.
+
+A variantion of this, is not to break it down by sales and marketing
+departments, but to assign each cost to its corresponding product range.
+This will give you an analysis of the profitability of each product
+range.
+
+Choosing one over the other depends on how you look at your marketing
+effort. Is it a global cost allocated in some general way, or is each
+product range responsible for its own marketing costs?
+
+Case 2: Law Firm: costs of human resources?
+-------------------------------------------
+
+Law firms generally adopt management by case, where each case represents
+a current client file. All of the expenses and products are then
+attached to a given file/analytic account.
+
+A principal preoccupation of law firms is the invoicing of hours worked,
+and the profitability by case and by employee.
+
+Mechanisms used for encoding the hours worked will be covered in detail
+in timesheet documentation. Like most system processes, hours worked are
+integrated into the analytic accounting. In the employee form, specify
+the cost of the employee. The hourly charge is a function of the
+employee's cost.
+
+So a law firm will opt for an analytic representation which reflects the
+management of the time that employees work on the different customer
+cases.
+
+Billing for the different cases is a bit unusual. The cases do not match
+any entry in the general account nor do they come from purchase or sales
+invoices. They are represented by the various analytic operations and do
+not have exact counterparts in the general accounts. They are calculated
+on the basis of the hourly cost per employee.
+
+At the end of the month when you pay salaries and benefits, you
+integrate them into the general accounts but not in the analytic
+accounts, because they have already been accounted for in billing each
+account. A report that relates data from the analytic and general
+accounts then lets you compare the totals, so you can readjust your
+estimates of hourly cost per employee depending on the time actually
+worked.
+
+The following table shows an example of different analytic entries that
+you can find for your analytic account:
+
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| **Title**                      | **Account**      | **Amount**   |    | **General Account**        | **Debit**   | **Credit**   |
++================================+==================+==============+====+============================+=============+==============+
+| Study the file (1 h)           | Case 1.1         | -15          |    |                            |             |              |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Search for information (3 h)   | Case 1.1         | -45          |    |                            |             |              |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Consultation (4 h)             | Case 2.1         | -60          |    |                            |             |              |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Service charges                | Case 1.1         | 280          |    | 705 – Billing services     |             | 280          |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Stationery purchase            | Administrative   | -42          |    | 601 – Furniture purchase   | 42          |              |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Fuel Cost -Client trip         | Case 1.1         | -35          |    | 613 – Transports           | 35          |              |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+| Staff salaries                 |                  |              |    | 6201 – Salaries            |             | 3 000        |
++--------------------------------+------------------+--------------+----+----------------------------+-------------+--------------+
+
+Such a structure allows you to make a detailed study of the
+profitability of various transactions.
+
+For more details about profitablity, please read the following document:
+:doc:`timesheets`
+
+But analytical accounting is not limited to a simple analysis of the
+profitability of different customer. The same data can be used for
+automatic recharging of the services to the customer at the end of the
+month. To invoice customers, just link the analytic account to a sale
+order and sell products that manage timesheet or expenses .
+
+Case 3: IT Services Company: perfomance analysis
+------------------------------------------------
+
+Most IT service companies face the following problems:
+
+-  project planning,
+
+-  invoicing, profitability and financial follow-up of projects,
+
+-  managing support contracts.
+
+To deal with these problems, you would use an analytic chart of accounts
+structured by project and by sale order.
+
+The management of services, expenditures and sales is similar to that
+presented above for lawyers. Invoicing and the study of profitability
+are also similar.
+
+But now look at support contracts. These contracts are usually limited
+to a prepaid number of hours. Each service posted in the analytic
+accounts shows the remaining hours of support. To manage support
+contracts, you would create a product configured to invoice on order and
+link the sale order to an analytic account
+
+In Odoo, each analytic line lists the number of units sold or used, as
+well as what you would usually find there – the amount in currency units
+(USD or GBP, or whatever other choice you make). So you can sum the
+quantities sold and used on each sale order to determine whether any
+hours of the support contract remain.
+
+Conclusion
+----------
+
+Analytic accounting helps you to analyse costs and revenues whatever the
+use case. You can sell or purchase services, track time or analyse the
+production performance.
+
+Analytic accounting is flexible and easy to use through all Odoo
+applications (sales, purchase, timesheet, production, invoice, …).