Memo

TO: Professor ________________

FROM: your name here

DATE: current date

SUBJECT: What I did during my rotations in the Finance and Managerial Departments at Pen Inc.

Thank you for your interest in my past two rotations working at Pen Inc. As you know, I have been working in the Finance and Managerial departments, and have completed my rotations. During the past few months I have gained insight and knowledge from working with hands-on data and examples as well as a lot of other interesting things. In this memo I will discuss what I during the rotation and two takeaways: 1) working with FI and CO, 2) financial accounting integration, and 3) the importance of managerial accounting. I hope you enjoy reading it

Different Departments

In my first rotation, I entered data into many different areas of the financial accounting module in SAP. SAP is the world’s largest ERP software. I created general ledgers for the Chart of Accounts, and also entered in journal entries that were integrated into the system for other throughout the company to use. I reviewed the income statements, balance sheets, and paid a rent expense bill that we received while I was working in the department. In my second rotation in managerial accounting I worked with managing budgets. I liked working there as the people were very nice. The next thing I did was allocated line items to primary and secondary cost elements. After I attended a couple meeting, I worked with, and assigned specific cost to the correct departments with Pen Inc. I also created statistical key figures, activity types, and distribution cycles. Just let me say, this is very important work that must be done in order for the company to be successful.

Financial Accounting Integration

Working in the finance department I realized how financial information is integrated in many departments. This is because many departments use financial information in their day-to-day processes. A few of the departments are managerial accounting, sales and distribution, material management, and production planning and execution, etc, etc. My takeaway was learning that the financial information is not only available for the finance department, but for other areas of the organization to see and run reports so they can check on things and know if everything is ok or not. Now I know that once the data is entered into SAP depending on the business rules, many other departments can use that information to complete their processes. As you know, this is a lot better than the accounting department receiving a lot of calls or request for information.

Importance of Managerial Accounting

In my second rotation I learned the value of managerial accounting. I was worried about this rotation because I never really liked this subject in college. Now I can apply the concepts learned in this rotation to any department when it comes to managing a budget and allocation cost to cost centers. My takeaway was realizing how much each department depends on managerial accounting for their accurate budget. As you know, it allows each department to equally divide their cost, so that they are only accountable to the exact amount they used. It lets them see if they have money to spend or if someone accidently spent their money. I am not saying they stole it but rather it could have been charged to the wrong account.

Applying Knowledge

In summary, I have learned a lot from my experience working as a trainee at Pen Inc. It has been super fun and I love the food days! I entered data into SAP, learned about financial integration, and the importance of managerial accounting as well as a lot of other things. I am excited to continue learning as I advance into other rotations here at Pen Inc. I have some ideas you could use to improve things at Pen Inc. so let me know when you are free.

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