Photo By Dorie Heyer | Aaron Simpson, budget management analyst, Defense Logistics Agency Distribution...... read more read more
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Defense Logistics Agency Distribution successfully processed its first G-Invoicing orders in early March, becoming the first major subordinate command in the DLA enterprise to do so.
Teams in DLA Distribution’s Operations and Finance directorates worked to implement the U.S. Treasury requirement mandating all federal agencies, including the Department of Defense, use G-Invoicing for unclassified, reimbursable intragovernmental transactions. G-Invoicing is the U.S. Treasury’s long-term solution for managing Category I reimbursable Military Interdepartmental Purchase Requests. Category II direct site MIPRs remain under the legacy system.
“Our first efforts involved two orders, one from the Army and one from the Navy,” said David Carpenter, chief, Budget and Resource Management Division, DLA Distribution. “Using our new process for the first time, we successfully billed those orders in G-Invoicing, which posted the revenue financial transactions in Enterprise Business System.”
DLA is using ServiceNow to integrate G-Invoicing with EBS. ServiceNow acts as the user interface between the two systems.
“Unlike manually exchanging Military Interdepartmental Purchase Requests, G-Invoicing allows agencies to exchange order data systematically,” said Michael Solomikin, financial service analyst, DLA G-Invoicing Division. “This improves data quality and reliability, reduces order adjustments, improves reconciliation and elimination capabilities, and increases transparency.”
DLA will formally launch G-Invoicing for incoming Military Interdepartmental Purchase Requests in early April. This transition will standardize and automate DLA Distribution’s reimbursable order processes.
“Standardization will ensure DLA and its customers follow the same policy by using the same data standards, following the same procedures and impacting the general ledger for the same dollar amount in the same accounting period, thus fixing the material weakness for eliminations,” Solomikin said. “Automation reduces data entry errors, speeds up the order acceptance and billing processes, and improves auditability of the reimbursable order process.”
The DLA G-Invoicing team trained employees on the transition from manual Enterprise Business System data entry to the ServiceNow/G-Invoicing system. Training covered the implementation timeline, ServiceNow functionality, its interface with EBS and G-Invoicing, internal controls, and provided hands-on practice.
“The MIPR and Billing teams have been working closely with the DLA G-Invoicing team to train and prepare for this deployment,” Carpenter said. “Together, we were able to pilot the process before the go-live to ensure functionality of the system.”
The implementation of G-Invoicing represents a significant step toward modernizing DLA's financial processes and aligning with federal initiatives for improved interagency transactions. While the transition requires significant effort and coordination, the long-term benefits of streamlined operations, enhanced transparency and fewer audit findings promise a more efficient and effective future for DLA and its trading partners.
“ServiceNow improves audit readiness by automating processes and controls, transitioning from manual processes to a robust systemic solution,” Solomikin said. "It incorporates DLA Distribution’s unique billing processes, making them more systemic with improved evidential matter to support billing transaction transmission and storage.”
For more information on G-Invoicing, visit the DLA G-Invoicing website: https://www.dla.mil/Finance/G-Invoicing/
| Date Taken: | 04.08.2025 |
| Date Posted: | 04.08.2025 13:05 |
| Story ID: | 494850 |
| Location: | NEW CUMBERLAND, PENNSYLVANIA, US |
| Web Views: | 43 |
| Downloads: | 0 |
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Defense Logistics Agency (DLA)
