Customer Refund Integration in Oracle R12

Dave Trch TUSC February 27, 2009

March 09

Agenda
Customer Refunds Prior to R12 R12 Integration Options Available R12 Manual Refund Process Example Required Setups Manual Refund Automated Refunds

Customer Refunds Prior to R12

Prior to R12, there were essentially two refund options:
Manual processing:
Create a debit memo in AR, apply the unapplied cash or credit Set up the customer as a supplier in AP Create an invoice in AP for the refund amount and issue the payment

Automated processing; create a custom-developed process

R12 Refund Options Available

Initiation of a customer refund by application of a credit or unapplied cash to a refund receivables activity Automated refund generation based on credit memos generated by Autoinvoice
Check refunds Credit card refunds

R12 Manual Refund Process Example

Unapplied customer cash

R12 Manual Refund Process Example

Receipt application window, choose the Refund application type.

R12 Manual Refund Process Example

Click on the Refund Attributes button; select the appropriate Payment Method. Save your work.

R12 Manual Refund Process Example

Click on the Refund Status button. Review the AP invoice generated and ready for payment based on due date.

R12 Manual Refund Process Example

Oracle uses seeded Receivables Activity and workflow to auto-create the AP invoice. Oracle does not create the customer as a supplier. Notice that a supplier number is not indicated on the AP invoice.

Required Setups Manual Refund

Create a Recivables Activity for the Type of Refund.

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Required Setups Manual Refund

Set up a disbursement bank account or use an existing account, depending on your policy.

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Automated Refund
Fully-Automated: Autoinvoice can be set up to automatically create a refund Credit Memo and without any user intervention generate the refund. This would be used when importing a credit memo against a paid invoice. Imported credit memos can apply to credit card or non-credit card transactions.
For credit cards, Receivables submits a refund request to Oracle Payments. Payments refunds the same credit card used for the original transaction. For non-credit cards, Receivables submits a request to Payables, using Payments to create the disbursement.

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Questions

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Presenter Information Dave Trch TUSC trchd@tusc.com

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