An accounting process used to compare two sets of records to ensure the figures are in agreement and are accurate. In ERP, Reconciliation is the key process used to determine whether the money leaving an account matches the amount spent, ensuring the two values are balanced at the end of the recording period. Why At the end of every month, it is a good idea to reconcile your checkbook and credit card accounts by comparing your check copies, debit card receipts and credit card receipts with your bank and credit card statements. This type of account reconciliation makes it possible to determine whether money is being fraudulently withdrawn from an account, ensures that financial institutions have not made any errors impacting your accounts, gives you an overall picture of your spending, helps you assess whether you’re overspending and shows whether you’re spending too much on banking and credit card fees. When an account is reconciled, the statement’s transactions and ending balance should match the account holder’s records. Businesses must reconcile their accounts to check for fraud and to prevent balance sheet errors. Businesses typically use accounting software to help them perform account reconciliations like Oracle E-Business Suite. For publicly traded companies in particular, mistakes can have serious ramifications. GL to SLA SLA to Inventory SLA to AR SLA to AP SLA to OPM Inventory to GL AP to GL AR to GL Mfg to GL Also Vice Versa