11i Order to Cash Fundamentals Ed. 2.

0
Student Guide

D11435GC20 Edition 2.0 October 2003 D11435

Copyright Oracle Corporation, 2003. All rights reserved. This documentation contains proprietary information of Oracle Corporation. It is provided under a license agreement containing restrictions on use and disclosure and is also protected by copyright law. Reverse engineering of the software is prohibited. If this documentation is delivered to a U.S. Government Agency of the Department of Defense, then it is delivered with Restricted Rights and the following legend is applicable: Restricted Rights Legend Use, duplication or disclosure by the Government is subject to restrictions for commercial computer software and shall be deemed to be Restricted Rights software under Federal law, as set forth in subparagraph (c)(1)(ii) of DFARS 252.227-7013, Rights in Technical Data and Computer Software (October 1988). This material or any portion of it may not be copied in any form or by any means without the express prior written permission of the Education Products group of Oracle Corporation. Any other copying is a violation of copyright law and may result in civil and/or criminal penalties. If this documentation is delivered to a U.S. Government Agency not within the Department of Defense, then it is delivered with Restricted Rights, as defined in FAR 52.227-14, Rights in Data-General, including Alternate III (June 1987). The information in this document is subject to change without notice. If you find any problems in the documentation, please report them in writing to Worldwide Education Services, Oracle Corporation, 500 Oracle Parkway, Box SB-6, Redwood Shores, CA 94065. Oracle Corporation does not warrant that this document is error-free. Oracle and all references to Oracle Products are trademarks or registered trademarks of Oracle Corporation. All other products or company names are used for identification purposes only, and may be trademarks of their respective owners.

Author Eric OBrien, Pamela Freeman, Jinny Valenzuela, Kathryn Wohnoutka, David Barnacle, Doug Myers Technical Contributors and Reviewers Terri North, Dave Millin, Kristin Penaskovic, Kathy Weitzel, Atul Rai, Elizabeth Looney, Carol Chang, Tony Cash, Lori Burke This book was published using:

oracletutor

Table of Contents
Order to Cash Lifecycle Overview .................................................................................................................1-1 Order to Cash Lifecycle Overview ................................................................................................................1-2 Objectives ......................................................................................................................................................1-3 Order to Cash Lifecycle.................................................................................................................................1-4 Order Lifecycle..............................................................................................................................................1-6 Overview of Application Integration.............................................................................................................1-7 Order Management Process...........................................................................................................................1-8 Scheduling Process ........................................................................................................................................1-9 Viewing and Managing Orders......................................................................................................................1-10 Pricing Process ..............................................................................................................................................1-11 Shipping Process ...........................................................................................................................................1-12 AutoInvoice Process ......................................................................................................................................1-13 Receivables Process.......................................................................................................................................1-14 Cash Management Process ............................................................................................................................1-15 Summary........................................................................................................................................................1-16 Overview of Oracle Order Management Process .........................................................................................2-1 Overview of Oracle Order Management Process ..........................................................................................2-2 Objectives ......................................................................................................................................................2-3 Overview of Order Management in the Order to Cash Lifecycle ..................................................................2-4 Overview of Order Management Integration.................................................................................................2-5 Overview of the Order Management Process ................................................................................................2-6 Overview of Customer Relationships ............................................................................................................2-7 Overview of Inventory Organizations ...........................................................................................................2-8 Overview of Inventory Items.........................................................................................................................2-9 Overview of Order Entry...............................................................................................................................2-10 Overview of Managing Orders ......................................................................................................................2-11 Summary........................................................................................................................................................2-12 Overview of Pricing .........................................................................................................................................3-1 Overview of Pricing.......................................................................................................................................3-2 Objectives ......................................................................................................................................................3-3 Order to Cash Lifecycle.................................................................................................................................3-4 Overview of Pricing in the Order to Cash Process ........................................................................................3-5 Overview of Pricing Integration ....................................................................................................................3-6 Overview of the Pricing Concept ..................................................................................................................3-8 Overview of the Pricing Engine ....................................................................................................................3-9 Overview of Price Lists .................................................................................................................................3-10 Overview of Qualifiers and Modifiers...........................................................................................................3-11 Overview of Basic vs. Advanced Pricing ......................................................................................................3-12 Summary........................................................................................................................................................3-14 Overview of Oracle Shipping Execution........................................................................................................4-1 Overview of Oracle Shipping Execution .......................................................................................................4-2 Objectives ......................................................................................................................................................4-3 Order to Cash Lifecycle.................................................................................................................................4-4 Overview of Shipping in the Order to Cash Process .....................................................................................4-5 Overview of the Shipping Process.................................................................................................................4-6 Overview of Shipping Execution Integration ................................................................................................4-7 Overview of Shipping Concepts....................................................................................................................4-8 Overview of Pick Release..............................................................................................................................4-9 Overview of Pick Confirm and Staging Sub-inventory .................................................................................4-10 Overview of Delivery Management ..............................................................................................................4-11 Overview of Ship Confirmation ....................................................................................................................4-12
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Summary........................................................................................................................................................4-13 Overview of Oracle Receivables Process .......................................................................................................5-1 Overview of Oracle Receivables Process ......................................................................................................5-2 Objectives ......................................................................................................................................................5-3 Order to Cash Lifecycle.................................................................................................................................5-4 Overview of Receivables in the Order to Cash Process.................................................................................5-5 Overview of the Receivables Process............................................................................................................5-6 Overview of Receivables Integration ............................................................................................................5-7 Overview of the Transaction Process ............................................................................................................5-8 Overview of Other Invoice Operations..........................................................................................................5-9 Overview of Adjustments ..............................................................................................................................5-10 Overview of Credit Memos ...........................................................................................................................5-11 Overview of the AutoInvoice Process ...........................................................................................................5-12 Overview of Receipts and Remittances .........................................................................................................5-13 Overview of Collections ................................................................................................................................5-14 Overview of Tax............................................................................................................................................5-15 Summary........................................................................................................................................................5-16 Overview of Oracle Cash Management .........................................................................................................6-1 Overview of Oracle Cash Management.........................................................................................................6-2 Objectives ......................................................................................................................................................6-3 Agenda...........................................................................................................................................................6-4 Order to Cash Lifecycle.................................................................................................................................6-5 Order Lifecycle..............................................................................................................................................6-6 Cash Management Integration.......................................................................................................................6-7 Agenda...........................................................................................................................................................6-8 Functions with Receivables ...........................................................................................................................6-9 Reconciliation Process...................................................................................................................................6-10 Load Bank Statements ...................................................................................................................................6-11 Bank Reconciliation Overview......................................................................................................................6-12 Agenda...........................................................................................................................................................6-13 Cash Forecasting Functions...........................................................................................................................6-14 Steps in Cash Forecasting..............................................................................................................................6-15 Cash Forecast Template.................................................................................................................................6-16 Cash Forecasting Sources ..............................................................................................................................6-17 Summary........................................................................................................................................................6-18 Manage Parties and Customer Accounts.......................................................................................................7-1 Manage Parties and Customer Accounts .......................................................................................................7-2 Objectives ......................................................................................................................................................7-3 Agenda...........................................................................................................................................................7-4 Party Model Overview...................................................................................................................................7-5 Party Model ...................................................................................................................................................7-7 Party Model and Relationships......................................................................................................................7-8 Party Model Components ..............................................................................................................................7-10 Managing Parties ...........................................................................................................................................7-11 Party Sites......................................................................................................................................................7-12 Customer Accounts........................................................................................................................................7-13 Integrating Party Information ........................................................................................................................7-14 Agenda...........................................................................................................................................................7-15 Profile Classes ...............................................................................................................................................7-16 Profile Class Characteristics ..........................................................................................................................7-17 Guided Demostration - Create a Profile Class ...........................................................................................7-18 Practice - Create a Profile Class ................................................................................................................7-19 Solution - Create a Profile Class................................................................................................................7-20 Managing Customer Account Profiles...........................................................................................................7-23 Updating Profile Classes ...............................................................................................................................7-24
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Reviewing Profile Class Changes..................................................................................................................7-25 Agenda...........................................................................................................................................................7-26 Data Quality Management Overview ............................................................................................................7-27 Fuzzy Search .................................................................................................................................................7-28 Query Word Replacement .............................................................................................................................7-29 Entry Methods ...............................................................................................................................................7-30 Business Issues ..............................................................................................................................................7-31 Business Purposes..........................................................................................................................................7-32 Multiple Sites and Business Purposes: Centralized Example ........................................................................7-33 Multiple Sites and Business Purposes: Decentralized Example ....................................................................7-34 Interface Data Entry.......................................................................................................................................7-35 Using Standard and Quick Entry ...................................................................................................................7-37 Guided Demostration - Enter a Standard Customer...................................................................................7-39 Practice - Enter a Standard Customer ........................................................................................................7-41 Solution - Enter a Standard Customer .......................................................................................................7-42 Differences Between Standard and Quick Entry ..........................................................................................7-47 Guided Demonstration - Enter a Quick Customer .....................................................................................7-48 Practice - Enter a Quick Customer ............................................................................................................7-49 Solution - Enter a Quick Customer............................................................................................................7-50 Dun & Bradstreet (D&B) Integration ............................................................................................................7-52 D&B Data Formats........................................................................................................................................7-53 D&B Online...................................................................................................................................................7-54 D&B Batch Loading......................................................................................................................................7-55 Data Quality Management (DQM) ................................................................................................................7-56 How Does DQM Work? ................................................................................................................................7-57 Agenda...........................................................................................................................................................7-58 Customer Account Relationships ..................................................................................................................7-59 Guided Demonstration - Create Customer Relationships ..........................................................................7-60 Practice - Create Customer Relationships..................................................................................................7-62 Solution - Create Customer Relationships.................................................................................................7-63 Agenda...........................................................................................................................................................7-64 Merge Parties or Customer Accounts ............................................................................................................7-65 Party Merge ...................................................................................................................................................7-67 Guided Demonstration - Perform a Customer Merge................................................................................7-68 Agenda...........................................................................................................................................................7-69 Reviewing Information..................................................................................................................................7-70 Common Search Scenarios ............................................................................................................................7-71 Reports...........................................................................................................................................................7-72 Agenda...........................................................................................................................................................7-74 Required Customer Profile Setup Steps.........................................................................................................7-75 Collectors.......................................................................................................................................................7-76 Payment Terms ..............................................................................................................................................7-77 Optional Customer Profile Setup Steps .........................................................................................................7-78 Required Setup Steps for Customers .............................................................................................................7-80 Profile Options...............................................................................................................................................7-81 Optional Setup Steps for Customers..............................................................................................................7-83 Flexible Address Formatting .........................................................................................................................7-85 Agenda...........................................................................................................................................................7-87 Oracle Trading Community Architecture ......................................................................................................7-88 TCA Parties ...................................................................................................................................................7-89 TCA Administration ......................................................................................................................................7-90 Using Party Paying Relationships .................................................................................................................7-91 Using Customer Account Relationships ........................................................................................................7-92 Party Paying and Customer Account Relationships ......................................................................................7-93 Creating Party Paying Relationships .............................................................................................................7-94 Pay Within Paying Relationships ..................................................................................................................7-95 Party Paying Relationships Process Flow......................................................................................................7-96
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Pay Below Paying Relationships ...................................................................................................................7-97 Relationship Types and Relationship Groups................................................................................................7-98 Summary........................................................................................................................................................7-99 Inventory Organizations .................................................................................................................................8-1 Inventory Organizations ................................................................................................................................8-2 Objectives ......................................................................................................................................................8-3 Agenda...........................................................................................................................................................8-4 What is Enterprise Structure? ........................................................................................................................8-5 Enterprise Structure Example 1 .....................................................................................................................8-7 Enterprise Structure Example 2 .....................................................................................................................8-8 Inventory Structure Considerations ...............................................................................................................8-10 Enterprise Structure in Vision .......................................................................................................................8-12 Guided Demonstration Enterprise Structure in Vision Operations.........................................................8-13 Agenda...........................................................................................................................................................8-15 Define Units of Measure................................................................................................................................8-16 Unit of Measure Example..............................................................................................................................8-18 Define Unit of Measure Classes ....................................................................................................................8-19 Unit of Measure Conversion..........................................................................................................................8-20 Guided Demonstration - Create an Unit of Measure .................................................................................8-22 Practice - Create a Unit of Measure...........................................................................................................8-24 Solution Create an Unit of Measure and Standard Conversion ..............................................................8-25 Defining Inter-class Conversions ..................................................................................................................8-27 Agenda...........................................................................................................................................................8-28 Defining Locations ........................................................................................................................................8-29 Examples of Locations ..................................................................................................................................8-30 Guided Demonstration - Create a Location ...............................................................................................8-31 Practice - Create a Location.......................................................................................................................8-33 Solution - Create a Location ......................................................................................................................8-34 Agenda...........................................................................................................................................................8-35 Inventory Organizations ................................................................................................................................8-36 Inventory Organization Setup........................................................................................................................8-37 Guided Demonstrations - Create an Inventory Organization.....................................................................8-39 Guided Demonstrations - Create an Inventory Organization.....................................................................8-43 Setup Considerations for Order Management................................................................................................8-52 Agenda...........................................................................................................................................................8-53 Establishing Inventory Parameters ................................................................................................................8-54 Guided Demonstration - Establish Inventory Organization Parameters ....................................................8-55 Practice - Define Shipping Parameters ......................................................................................................8-58 Solution - Define Shipping Parameters......................................................................................................8-59 Inventory Parameters and Execution .............................................................................................................8-61 Inventory Parameters and Financial Impact ..................................................................................................8-62 Inventory Parameters and Order Management ..............................................................................................8-64 Agenda...........................................................................................................................................................8-65 Sub-Inventories..............................................................................................................................................8-66 Guided Demonstration - Create a Sub-Inventory ......................................................................................8-67 Practice - Create a Sub-Inventory..............................................................................................................8-69 Solution Create a Sub-Inventory.............................................................................................................8-70 Summary........................................................................................................................................................8-73 Enter Items.......................................................................................................................................................9-1 Enter Items.....................................................................................................................................................9-2 Objectives ......................................................................................................................................................9-3 Agenda...........................................................................................................................................................9-4 What is an Item? ............................................................................................................................................9-5 Oracle Applications Use Items ......................................................................................................................9-6 How Do Oracle Applications Use Items?......................................................................................................9-7 Item Attributes...............................................................................................................................................9-9
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Item Statuses Representing the Life Cycle ....................................................................................................9-11 Item Attributes Used in Item Status...............................................................................................................9-13 Guided Demonstration - Create an Item Status .........................................................................................9-15 Item Master Organization and Child Organizations ......................................................................................9-16 Agenda...........................................................................................................................................................9-18 Creating an Item ............................................................................................................................................9-19 Implementation Considerations .....................................................................................................................9-20 Describing Item Attributes Order Management .........................................................................................9-21 Describing Item Attributes - Invoicing..........................................................................................................9-25 Guided Demonstration - View Item Attributes..........................................................................................9-27 Describing Attributes Controls at Master Level ............................................................................................9-29 Describing Attributes Controls at Child Level ..............................................................................................9-30 Describing Item Status Attribute Controls.....................................................................................................9-32 Describing Item Templates............................................................................................................................9-33 Creating Item Templates ...............................................................................................................................9-34 Using Item Templates....................................................................................................................................9-36 Guided Demonstration - Create an Item ....................................................................................................9-37 Practice - Create an Item............................................................................................................................9-41 Solution Create an Item ..........................................................................................................................9-42 Agenda...........................................................................................................................................................9-47 Describing Item Categories ...........................................................................................................................9-48 Create Item Categories ..................................................................................................................................9-49 Establish the Relationship Between the Category, Category Set and Item....................................................9-51 Guided Demonstration - Create a Category...............................................................................................9-52 Practice - Create a Material Transaction....................................................................................................9-53 Solution - Create a Material Transaction ...................................................................................................9-55 Describing and Using Item Catalogs .............................................................................................................9-58 Define Item Relationships Order Management ..........................................................................................9-60 Guided Demonstration - Define Item Relationships..................................................................................9-61 Practice - Add an Item to a Price List ........................................................................................................9-62 Solution - Add an Item to a Price List .......................................................................................................9-63 Additional Setup Considerations ...................................................................................................................9-65 Summary........................................................................................................................................................9-67 Enter Orders ....................................................................................................................................................10-1 Enter Orders...................................................................................................................................................10-2 Objectives ......................................................................................................................................................10-3 Agenda...........................................................................................................................................................10-4 Order Creation Methods ................................................................................................................................10-5 Order Management Workflows .....................................................................................................................10-6 Defaulting Rules ............................................................................................................................................10-7 Credit Checking.............................................................................................................................................10-8 Agenda...........................................................................................................................................................10-9 Order Header .................................................................................................................................................10-10 Order Transaction Type.................................................................................................................................10-11 Entering Header Customer Information ........................................................................................................10-12 Entering Header Pricing Information ............................................................................................................10-13 Entering Additional Header Information .......................................................................................................10-15 Guided Demonstration - Entering Order Header .......................................................................................10-16 Applying Sales Credits ..................................................................................................................................10-18 Guided Demonstration - Applying Sales Credits.......................................................................................10-19 Practice - Create a Sales Order ..................................................................................................................10-20 Solution - Create a Sales Order Header .....................................................................................................10-21 Agenda...........................................................................................................................................................10-24 Line Transaction Type...................................................................................................................................10-25 Line Statuses..................................................................................................................................................10-26 Entering Line Information .............................................................................................................................10-27
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Entering Line Pricing Information.................................................................................................................10-29 Guided Demonstration - Entering Line Pricing Information .....................................................................10-31 Line Pricing Fields.........................................................................................................................................10-33 Line Date Fields ............................................................................................................................................10-34 Entering Line Shipping Information..............................................................................................................10-35 Guided Demonstration - Entering Line Shipping Information ..................................................................10-36 Guided Demonstration - Entering Line Information..................................................................................10-37 Practice - Create a Sales Order ..................................................................................................................10-38 Solution - Create a Sales Order Line .........................................................................................................10-39 Entering Line Sets .........................................................................................................................................10-42 Guided Demonstration - Entering Line Sets..............................................................................................10-44 Entering Line Addresses................................................................................................................................10-47 Entering Return Information..........................................................................................................................10-48 Ordering Service Programs............................................................................................................................10-49 Guided Demonstration - Ordering Service Programs ................................................................................10-50 Entering Project Information .........................................................................................................................10-51 Splitting Order Lines .....................................................................................................................................10-52 Guided Demonstration - Splitting Order Lines..........................................................................................10-53 Practice - Split Line and Create Ship Set...................................................................................................10-54 Solution - Split Line and Create Ship Set ..................................................................................................10-55 Applying Attachments ...................................................................................................................................10-58 Guided Demonstration - Applying Attachments .......................................................................................10-59 Agenda...........................................................................................................................................................10-62 Scheduling - Available to Promise ................................................................................................................10-63 Guided Demonstration - Scheduling Available to Promise .......................................................................10-64 Scheduling - Schedule ...................................................................................................................................10-65 Guided Demonstration - Scheduling an Order Line ..................................................................................10-66 Scheduling - Reserve .....................................................................................................................................10-67 Guided Demonstration - Reserving an Order Line ....................................................................................10-68 Practice - Schedule Order ..........................................................................................................................10-69 Solution - Schedule Order .........................................................................................................................10-71 Scheduling Options........................................................................................................................................10-75 Agenda...........................................................................................................................................................10-76 Booking Orders .............................................................................................................................................10-77 Guided Demonstration - Booking Orders ..................................................................................................10-78 Practice - Book Order ................................................................................................................................10-79 Solution - Book Order ...............................................................................................................................10-80 Agenda...........................................................................................................................................................10-83 Copying Orders .............................................................................................................................................10-84 Guided Demonstration - Copying Orders ..................................................................................................10-85 Practice - Copy a Sales Order ....................................................................................................................10-86 Solution - Copy a Sales Order: ..................................................................................................................10-87 Agenda...........................................................................................................................................................10-91 Drop Ship Overview......................................................................................................................................10-92 Guided Demonstration - Creating Drop Ship Order Lines ........................................................................10-93 Internal Requisition Overview.......................................................................................................................10-95 Agenda...........................................................................................................................................................10-97 Import Orders Processing ..............................................................................................................................10-98 Guided Demonstration - Running Order Import........................................................................................10-99 Agenda...........................................................................................................................................................10-100 Required Setup Steps for Entering Orders.....................................................................................................10-101 Additional Required Setup Steps...................................................................................................................10-102 Profile Options...............................................................................................................................................10-103 Parameters .....................................................................................................................................................10-105 Steps Related to Invoicing .............................................................................................................................10-106 Tax.................................................................................................................................................................10-107 Quick Codes ..................................................................................................................................................10-108
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Workflow.......................................................................................................................................................10-109 Document Sequencing...................................................................................................................................10-110 Order Import Sources ....................................................................................................................................10-111 OM Transaction Types ..................................................................................................................................10-112 Customers ......................................................................................................................................................10-113 Items ..............................................................................................................................................................10-114 Optional Setup Steps for Entering Orders .....................................................................................................10-115 Summary........................................................................................................................................................10-117 Managing Orders.............................................................................................................................................11-1 Managing Orders ...........................................................................................................................................11-2 Objectives ......................................................................................................................................................11-3 Agenda...........................................................................................................................................................11-4 Order Organizer Overview ............................................................................................................................11-5 Find Orders....................................................................................................................................................11-6 Summary Form ..............................................................................................................................................11-8 Guided Demonstration Summary Form..................................................................................................11-10 Navigator Tree Functionality.........................................................................................................................11-11 Guided Demonstration Navigator Tree...................................................................................................11-12 Folder Files....................................................................................................................................................11-13 Guided Demonstration - Folder File ..........................................................................................................11-14 Practice - Order Organizer.........................................................................................................................11-15 Solution - Order Organizer ........................................................................................................................11-17 Agenda...........................................................................................................................................................11-22 Processing Constraints...................................................................................................................................11-23 Update Orders and Order Lines .....................................................................................................................11-25 Guided Demonstration Update Order .....................................................................................................11-27 Practice - Update Order .............................................................................................................................11-28 Solution - Update Order.............................................................................................................................11-29 Mass Updates.................................................................................................................................................11-32 Guided Demonstration Mass Change .....................................................................................................11-33 Practice - Mass Change .............................................................................................................................11-34 Solution - Mass Change.............................................................................................................................11-35 Agenda...........................................................................................................................................................11-41 Workflow Notification Overview..................................................................................................................11-42 Respond to Notification.................................................................................................................................11-43 Guided Demonstration Workflow Notifications.....................................................................................11-44 Agenda...........................................................................................................................................................11-45 Automatic System Holds ...............................................................................................................................11-46 Hold Names ...................................................................................................................................................11-48 Guided Demonstration Create Hold Name .............................................................................................11-49 Practice - Create Hold Name .....................................................................................................................11-50 Solution - Create Hold Name.....................................................................................................................11-51 Apply Holds...................................................................................................................................................11-53 Guided Demonstration Apply Holds ......................................................................................................11-55 Practice - Apply Holds...............................................................................................................................11-57 Solution - Apply Holds..............................................................................................................................11-59 Release Holds ................................................................................................................................................11-70 Guided Demonstration Release Holds ....................................................................................................11-72 Practice - Release Holds ............................................................................................................................11-74 Solution - Release Holds ...........................................................................................................................11-75 Agenda...........................................................................................................................................................11-83 Cancel Orders ................................................................................................................................................11-84 Guided Demonstration Cancel Order......................................................................................................11-86 Practice - Cancel Order..............................................................................................................................11-88 Solution -Cancel Order ..............................................................................................................................11-89 Agenda...........................................................................................................................................................11-93
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Close Orders and Lines..................................................................................................................................11-94 Agenda...........................................................................................................................................................11-95 Order Purge ...................................................................................................................................................11-96 Guided Demonstration Purge Order .......................................................................................................11-98 Summary........................................................................................................................................................11-99 Basic Pricing.....................................................................................................................................................12-1 Basic Pricing..................................................................................................................................................12-2 Objectives ......................................................................................................................................................12-3 Agenda...........................................................................................................................................................12-4 Pricing Engine Overview...............................................................................................................................12-5 Pricing Engine Pyramid.................................................................................................................................12-7 Agenda...........................................................................................................................................................12-8 Price List Creation .........................................................................................................................................12-9 Price List Header ...........................................................................................................................................12-10 Guided Demonstration Price List Header ...............................................................................................12-12 Price List Line ...............................................................................................................................................12-13 Price List Line Values ...................................................................................................................................12-15 Guided Demonstration Price List Line ...................................................................................................12-17 Price List Mapping for Basic Pricing ............................................................................................................12-19 Practice - Create Price List ........................................................................................................................12-20 Solution - Create Price List........................................................................................................................12-22 Copy Price List ..............................................................................................................................................12-28 Guided Demonstration Create a Price List .............................................................................................12-29 Practice - Copy Price List ..........................................................................................................................12-30 Solution - Copy Price List .........................................................................................................................12-31 Agenda...........................................................................................................................................................12-33 Price List Maintenance - Overview ...............................................................................................................12-34 Manual Price List Updates.............................................................................................................................12-35 Guided Demonstration Manual Price List Update..................................................................................12-36 Practice - Manual Price List Update ..........................................................................................................12-37 Solution - Manual Price List Update .........................................................................................................12-38 Adjust Price List ............................................................................................................................................12-39 Guided Demonstration Adjust Price List................................................................................................12-41 Practice - Adjust Price List ........................................................................................................................12-42 Solution - Adjust Price List .......................................................................................................................12-43 Add Items to Price List..................................................................................................................................12-45 Guided Demonstration - Add Items to New Price List..............................................................................12-46 Add Items to Price List For Maintenance......................................................................................................12-47 Practice - Add Items to a Price List ...........................................................................................................12-48 Solution - Add Items to a Price List ..........................................................................................................12-49 Agenda...........................................................................................................................................................12-51 Agreement Overview.....................................................................................................................................12-52 Agreement .....................................................................................................................................................12-54 Guided Demonstration Agreement Price List.........................................................................................12-55 Practice - Agreement Price List .................................................................................................................12-57 Solution - Agreement Price List ................................................................................................................12-58 Agenda...........................................................................................................................................................12-62 Formula Overview.........................................................................................................................................12-63 Basic Pricing Formula ...................................................................................................................................12-64 Pricing Attribute ............................................................................................................................................12-65 Factor List......................................................................................................................................................12-66 Guided Demonstration Pricing Formula.................................................................................................12-68 Agenda...........................................................................................................................................................12-69 Qualifier Overview ........................................................................................................................................12-70 Seeded Qualifier Contexts .............................................................................................................................12-71 Agenda...........................................................................................................................................................12-73
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Modifier Overview ........................................................................................................................................12-74 Modifier Structure .........................................................................................................................................12-75 Modifier List..................................................................................................................................................12-76 Modifiers Lines .............................................................................................................................................12-78 Pricing Adjustment Examples .......................................................................................................................12-80 Discounts/Charges .........................................................................................................................................12-81 Guided Demonstration Create Modifiers................................................................................................12-83 Practice - Create Modifiers ........................................................................................................................12-85 Solution - Create Modifiers .......................................................................................................................12-87 Summary........................................................................................................................................................12-95 Shipping............................................................................................................................................................13-1 Shipping.........................................................................................................................................................13-2 Objectives ......................................................................................................................................................13-3 Agenda...........................................................................................................................................................13-4 Ship Order .....................................................................................................................................................13-5 Shipping Concepts.........................................................................................................................................13-7 Pick Release Concepts...................................................................................................................................13-9 Shipping Transactions User Interface............................................................................................................13-11 Pick Release Process Flow ............................................................................................................................13-13 Ship Confirm Process Flow ...........................................................................................................................13-16 Delivery Line Processing Statuses.................................................................................................................13-19 Shipping Roles and User Security .................................................................................................................13-21 Agenda...........................................................................................................................................................13-22 Pick Release Parameters ................................................................................................................................13-23 Methods to Pick Release................................................................................................................................13-25 Configurable Process.....................................................................................................................................13-26 Auto Create Delivery.....................................................................................................................................13-28 Release Sales Orders .....................................................................................................................................13-29 Guided Demonstration Release Sales Orders .........................................................................................13-31 Practice - Release Sales Orders .................................................................................................................13-33 Solution - Release Sales Orders.................................................................................................................13-34 Agenda...........................................................................................................................................................13-41 Shipping Parameters ......................................................................................................................................13-42 Ship Confirm .................................................................................................................................................13-43 Guided Demonstration Ship Confirm Delivery ......................................................................................13-46 Practice - Ship Confirm Delivery ..............................................................................................................13-47 Solution - Ship Confirm Delivery..............................................................................................................13-48 Shipping Documents......................................................................................................................................13-62 Guided Demonstration View Shipping Documents................................................................................13-64 Shipping Exceptions ......................................................................................................................................13-65 Guided Demonstration View Shipping Exceptions ................................................................................13-67 Agenda...........................................................................................................................................................13-69 Shipping Parameters ......................................................................................................................................13-70 Pick Release Parameters ................................................................................................................................13-72 Delivery Grouping.........................................................................................................................................13-74 Shipping Exceptions ......................................................................................................................................13-76 Guided Demonstration Define Shipping Exceptions ..............................................................................13-78 Pick Slip Grouping Rules ..............................................................................................................................13-79 Guided Demonstration Define Pick Slip Grouping Rules ......................................................................13-80 Practice - Define Pick Slip Grouping Rules ..............................................................................................13-81 Solution - Define Pick Slip Grouping Rules..............................................................................................13-82 Release Sequence Rules ................................................................................................................................13-83 Guided Demonstration Define Release Sequence Rules ........................................................................13-85 Practice - Define Release Sequence Rules.................................................................................................13-86 Solution -Define Release Sequence Rules.................................................................................................13-87 Release Rules.................................................................................................................................................13-88
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Guided Demonstration Define Release Rules.........................................................................................13-90 Practice - Define Release Rules.................................................................................................................13-92 Solution - Define Release Rules ................................................................................................................13-93 Container Load Details ..................................................................................................................................13-95 Guided Demonstration Define Container Load Details ..........................................................................13-96 Ship Methods- Carriers- Relationships..........................................................................................................13-97 Guided Demonstration Define Carrier Ship Methods.............................................................................13-100 Guided Demonstration Define Freight Carriers......................................................................................13-101 Freight Cost Types.........................................................................................................................................13-102 Guided Demonstration Define Freight Cost Types.................................................................................13-103 Freight Cost Freight Charges......................................................................................................................13-104 Shipping Document Sets ...............................................................................................................................13-106 Guided Demonstration Define Document Sets.......................................................................................13-107 Choose Printers..............................................................................................................................................13-108 Shipping Roles and User Security .................................................................................................................13-109 Guided Demonstration Define Roles ......................................................................................................13-110 Guided Demonstration Grant Access to Roles .......................................................................................13-111 Practice - Define a Shipping Role..............................................................................................................13-112 Solution - Define a Shipping Role.............................................................................................................13-113 Practice - Define Roles ..............................................................................................................................13-114 Solution - Define Roles .............................................................................................................................13-115 Practice - Grant Access to Roles................................................................................................................13-120 Solution -Grant Access to Roles................................................................................................................13-121 Agenda...........................................................................................................................................................13-123 Shipping Programs and APIs.........................................................................................................................13-124 Summary........................................................................................................................................................13-125 Process Invoices ...............................................................................................................................................14-1 Process Invoices ............................................................................................................................................14-2 Objectives ......................................................................................................................................................14-3 Agenda...........................................................................................................................................................14-4 Oracle Receivables Overview........................................................................................................................14-5 Transactions Overview ..................................................................................................................................14-7 Transactions Workbench Windows ...............................................................................................................14-8 Guided Demonstration - Review Transaction Workbench ........................................................................14-9 Agenda...........................................................................................................................................................14-10 Invoice Entry Methods ..................................................................................................................................14-11 Creating a Standard Invoice Manually ..........................................................................................................14-12 Invoice Components ......................................................................................................................................14-13 Guided Demonstration - Define Batch Source ..........................................................................................14-15 Guided Demonstration - Define Line Ordering Rules ...............................................................................14-18 Transactions Window Tabs ...........................................................................................................................14-20 Required Transaction Information.................................................................................................................14-22 Entering Invoice Dates ..................................................................................................................................14-23 Transaction Defaults......................................................................................................................................14-24 Standard Invoice Line Types .........................................................................................................................14-26 Entering Freight Invoices or Lines ................................................................................................................14-27 Entering Sales Credits ...................................................................................................................................14-28 Completing Transactions ...............................................................................................................................14-30 Guided Demonstration - Enter Invoice ......................................................................................................14-31 Practice - Enter and Complete an Invoice..................................................................................................14-32 Solution - Enter and Complete an Invoice.................................................................................................14-33 Creating Invoice Batches...............................................................................................................................14-35 View Currency Details ..................................................................................................................................14-36 Agenda...........................................................................................................................................................14-38 Creating Copies of Invoices...........................................................................................................................14-39 Using Recurring Rules...................................................................................................................................14-40
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Guided Demostration - Copy Invoices ......................................................................................................14-42 Practice - Copy Invoice .............................................................................................................................14-43 Solution - Copy Invoice.............................................................................................................................14-44 Creating Invoices with Rules.........................................................................................................................14-46 Guided Demonstration - Define Grouping Rules ......................................................................................14-47 Accounting Rules ..........................................................................................................................................14-49 Assigning Accounting Rules to Invoice Lines...............................................................................................14-50 Using Invoices With Rules ............................................................................................................................14-51 Example of Billing in Advance .....................................................................................................................14-52 Example of Billing in Arrears........................................................................................................................14-53 Guided Demonstration - Use Rules ...........................................................................................................14-54 Deferred Accounting Rules ...........................................................................................................................14-55 Revenue Recognition Program ......................................................................................................................14-56 Guided Demonstration - Run Revenue Recognition..................................................................................14-58 How Oracle Receivables Uses Statements ....................................................................................................14-59 Making Adjustments Using Revenue Accounting.........................................................................................14-60 Setup Details Report......................................................................................................................................14-61 AR: Use Statement Site and Dunning Site Profiles .......................................................................................14-62 Agenda...........................................................................................................................................................14-63 Invoice Transaction Flow ..............................................................................................................................14-64 Invoice Correction Methods ..........................................................................................................................14-65 Overview of Corrections................................................................................................................................14-66 Overview of Corrections (Continued) ...........................................................................................................14-67 Updating Invoices..........................................................................................................................................14-68 Creating Debit Memos...................................................................................................................................14-69 Creating Adjustments ....................................................................................................................................14-70 Guided Demonstration - Enter an Adjustment...........................................................................................14-71 Applying Different Types of Credits .............................................................................................................14-72 Credit Memo Options ....................................................................................................................................14-73 Guided Demonstration - Enter a Credit Memo..........................................................................................14-75 Practice - Create a Credit Memo................................................................................................................14-76 Solution - Create a Credit Memo ...............................................................................................................14-77 On-Account Credit Options...........................................................................................................................14-80 Guided Demonstration - Enter On-Account Credit ...................................................................................14-81 Reversing Sales Credits .................................................................................................................................14-82 Creating Refunds ...........................................................................................................................................14-83 Voiding Transactions.....................................................................................................................................14-85 Agenda...........................................................................................................................................................14-86 Transaction Types..........................................................................................................................................14-87 Define Transaction Types..............................................................................................................................14-88 Deposit Transaction Type..............................................................................................................................14-89 Agenda...........................................................................................................................................................14-90 Reports...........................................................................................................................................................14-91 Printing Transactions.....................................................................................................................................14-92 Process for Printing Transactions ..................................................................................................................14-93 Guided Demonstration - Print Transactions ..............................................................................................14-94 Practice - Print Transactions ......................................................................................................................14-95 Solution - Print Transactions .....................................................................................................................14-96 Using Consolidated Billing............................................................................................................................14-98 Guided Demonstration - Run Consolidated Billing...................................................................................14-99 Practice - Print Consolidated Billing .........................................................................................................14-100 Solution - Print Consolidated Billing.........................................................................................................14-101 Guided Demonstration - Correct Errors.....................................................................................................14-103 Practice - Correct Errors ............................................................................................................................14-104 Solution - Correct Errors ...........................................................................................................................14-105 Agenda...........................................................................................................................................................14-109 Event-Based Revenue Management ..............................................................................................................14-110
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Automated Process ........................................................................................................................................14-111 Evaluating Invoices for EventBased Revenue Management .......................................................................14-112 Collectibility Requirements for Revenue Recognition ..................................................................................14-113 How Collectibility Requirements Relate to Invoices.....................................................................................14-114 Applying Receipts and EventBased Revenue Management ........................................................................14-115 Agenda...........................................................................................................................................................14-116 XML Receivables Documents.......................................................................................................................14-117 XML Invoices Process Flow .........................................................................................................................14-118 Sending XML Invoice Documents ................................................................................................................14-120 Confirming the Import Status of XML Invoice Documents ..........................................................................14-121 XML Invoice Documents ..............................................................................................................................14-122 Reviewing and Retransmitting XML Invoice Documents............................................................................14-123 Agenda...........................................................................................................................................................14-124 Promised Commitment Amounts ..................................................................................................................14-125 Summary........................................................................................................................................................14-126 Manual Receipts ..............................................................................................................................................15-1 Manual Receipts ............................................................................................................................................15-2 Objectives ......................................................................................................................................................15-3 Agenda...........................................................................................................................................................15-4 Oracle Receivables Overview........................................................................................................................15-6 Overview of Receipts ....................................................................................................................................15-7 Receipt Creation ............................................................................................................................................15-8 Cash Receipt Statuses....................................................................................................................................15-10 Manual Receipt Entry Process.......................................................................................................................15-11 Manual Receipt Types ...................................................................................................................................15-12 Manual Receipts Versus QuickCash Receipts...............................................................................................15-14 Guided Demostration - Enter Manual Receipts .........................................................................................15-15 Practice - Enter Manual Receipts...............................................................................................................15-16 Solution - Enter Manual Receipts..............................................................................................................15-17 Creating Batches............................................................................................................................................15-20 Validating Receipts in Batches ......................................................................................................................15-21 Batch Statuses................................................................................................................................................15-22 Guided Demonstration - Create Receipt Batch..........................................................................................15-23 Agenda...........................................................................................................................................................15-24 Applying Batch Receipts ...............................................................................................................................15-25 Applying Receipts to an Invoice....................................................................................................................15-26 Applications Window ....................................................................................................................................15-27 Guided Demonstration - Apply Receipts...................................................................................................15-28 Practice - Apply Receipt............................................................................................................................15-29 Solution - Apply Receipt ...........................................................................................................................15-30 Criteria for Mass Applying Receipts .............................................................................................................15-31 Guided Demonstration - Use Mass Apply .................................................................................................15-32 Practice - Use Mass Apply ........................................................................................................................15-33 Solution Use Mass Apply .......................................................................................................................15-34 Applying Cross Currency Receipts................................................................................................................15-35 Guided Demonstration - Apply Cross Currency Receipt...........................................................................15-36 Entering Discounts ........................................................................................................................................15-37 Agenda...........................................................................................................................................................15-38 Chargebacks and Adjustments.......................................................................................................................15-39 Chargebacks and Adjustments against Transactions .....................................................................................15-40 Chargebacks against Receipts........................................................................................................................15-41 Creating a Chargeback...................................................................................................................................15-42 Working with Claims.....................................................................................................................................15-43 Creating Claims .............................................................................................................................................15-44 Resolving Claims...........................................................................................................................................15-45 Resolving Invoice Related Claims.................................................................................................................15-46
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Resolving NonInvoice Related Claims........................................................................................................15-47 Resolving a Split Claim .................................................................................................................................15-48 Agenda...........................................................................................................................................................15-50 Balance Segments..........................................................................................................................................15-51 Deriving Balancing Segment Values.............................................................................................................15-52 Disabling the Balancing Segment Substitution Process for Activities ..........................................................15-53 AR: Disable Receivable Activity Balancing Segment Substitution ..............................................................15-54 Summary........................................................................................................................................................15-55 Tax Accounting Process ..................................................................................................................................16-1 Tax Accounting Process ................................................................................................................................16-2 Objectives ......................................................................................................................................................16-3 Agenda...........................................................................................................................................................16-4 Order Management Global Taxes Overview .................................................................................................16-5 Receivables Global Tax Overview ................................................................................................................16-6 Other Products ...............................................................................................................................................16-7 Global Tax Overview ....................................................................................................................................16-8 Tax Overview ................................................................................................................................................16-10 Value Added Tax Overview ..........................................................................................................................16-11 US Sales Tax Overview.................................................................................................................................16-12 US Sales Tax Example ..................................................................................................................................16-13 Tax Partner Process Overview.......................................................................................................................16-14 Other Taxes in Oracle Applications...............................................................................................................16-16 Agenda...........................................................................................................................................................16-18 Tax Setup Steps .............................................................................................................................................16-19 Tax Setup Steps Continued............................................................................................................................16-20 Defining Tax Codes and Rates ......................................................................................................................16-21 Setting Up Inclusive and Exclusive Tax........................................................................................................16-23 Guided Demonstration - Define Tax Code ................................................................................................16-24 Practice - Define Tax Codes ......................................................................................................................16-26 Solution - Define Tax Codes .....................................................................................................................16-27 Tax Groups Overview ...................................................................................................................................16-28 Setting Up Tax Groups (Optional).................................................................................................................16-29 Compound Tax Example ...............................................................................................................................16-30 Inclusive Tax with Compounding Example ..................................................................................................16-31 Defining Condition Sets ................................................................................................................................16-32 Guided Demonstration - Define Tax Group ..............................................................................................16-33 Practice - Create a Tax Group....................................................................................................................16-34 Solution - Create a Tax Group...................................................................................................................16-35 Select a Tax Control Method.........................................................................................................................16-37 Setting Up Account Method (Optional).........................................................................................................16-39 Assigning Tax Codes to Items .......................................................................................................................16-40 Defining Tax Preferences, Defaults, and Rules .............................................................................................16-41 Guided Demonstration - Explain Tax System Options..............................................................................16-43 Defining Tax Exemptions..............................................................................................................................16-46 Guided Demonstration - Define Tax Exemptions......................................................................................16-47 Defining Transaction Types ..........................................................................................................................16-48 Defining AutoAccounting for Tax.................................................................................................................16-49 Guided Demonstration - Define Tax AutoAccounting ..............................................................................16-50 Enabling Calculation of Tax on Freight ........................................................................................................16-51 Defining Tax Profile Options ........................................................................................................................16-52 For Order Management Profile Options ........................................................................................................16-53 Agenda...........................................................................................................................................................16-54 Tax Accounting Overview.............................................................................................................................16-55 Setting Up Tax Accounting for Deferred Tax ...............................................................................................16-56 Guided Demonstration - Define Deferred Tax ..........................................................................................16-57 Practice - Deferred Tax Codes...................................................................................................................16-58
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Solution - Deferred Tax Codes ..................................................................................................................16-59 Defining Receivables Activities ....................................................................................................................16-61 Guided Demonstration - Define Tax Receivables Activities .....................................................................16-63 Changing Tax Transactions ...........................................................................................................................16-64 Adjusting Tax on Invoices.............................................................................................................................16-65 Tax Credit Memo...........................................................................................................................................16-67 Guided Demonstration - Enter a Tax Adjustment .....................................................................................16-68 Agenda...........................................................................................................................................................16-69 Tax Reporting Ledger Overview ...................................................................................................................16-70 Tax Extract Overview....................................................................................................................................16-71 Sources of Data..............................................................................................................................................16-73 Tax Ledger Reporting Options ......................................................................................................................16-74 Matrix Reporting ...........................................................................................................................................16-75 RXi Report Steps ...........................................................................................................................................16-76 Modifying Attribute Sets ...............................................................................................................................16-77 Defining Summary Details ............................................................................................................................16-79 Publish RXi Reports ......................................................................................................................................16-80 Guided Demonstration - Define Tax Register ...........................................................................................16-81 Guided Demonstration - Run Tax Register ...............................................................................................16-83 Managing Access to RXi Reports and Attribute Sets ....................................................................................16-84 Summary........................................................................................................................................................16-85 Period Closing Process ....................................................................................................................................17-1 Period Closing Process ..................................................................................................................................17-2 Objectives ......................................................................................................................................................17-3 Period Closing Process ..................................................................................................................................17-4 Overview of Ordering to Period Closing.......................................................................................................17-5 Standard Reports ...........................................................................................................................................17-6 Reconciling Inventory Transactions ..............................................................................................................17-7 Reconciling Receivables Transactions, Receipts, and Customer Balances ...................................................17-8 Running Revenue Recognition ......................................................................................................................17-10 Transferring to the General Ledger ...............................................................................................................17-11 Running the Journal Import Program ............................................................................................................17-13 Mapping Receivables Transactions to General Ledger Categories ...............................................................17-14 Summary........................................................................................................................................................17-15 Bank Reconciliation.........................................................................................................................................18-1 Bank Reconciliation ......................................................................................................................................18-2 Course Objectives..........................................................................................................................................18-3 Agenda...........................................................................................................................................................18-5 Reconciliation Overview ...............................................................................................................................18-7 Reconciliation Integration .............................................................................................................................18-8 Oracle Receivables and Payables ..................................................................................................................18-9 Oracle General Ledger and Payroll ...............................................................................................................18-10 AutoReconciliation Overview .......................................................................................................................18-11 Agenda...........................................................................................................................................................18-12 Setting Up Oracle Cash Management and Related Products .........................................................................18-13 Practice - Set up a Bank Account ..............................................................................................................18-14 Setting Up Oracle Cash Management System Parameters ............................................................................18-19 Practice - Set up Classes and Payment Methods........................................................................................18-20 Setting Up Bank Transaction Codes..............................................................................................................18-23 Practice - Set up Bank Transaction Codes.................................................................................................18-24 Agenda...........................................................................................................................................................18-27 Bank Statement Open Interface .....................................................................................................................18-28 Importing Bank Statements ...........................................................................................................................18-31 Bank Statement Validation ............................................................................................................................18-32 Bank Statement Interface Errors....................................................................................................................18-33 Setup for Bank Statement Open Interface .....................................................................................................18-34
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Agenda...........................................................................................................................................................18-35 Entering Bank Statements Manually .............................................................................................................18-36 Entering Bank Statement Information Manually...........................................................................................18-37 Agenda...........................................................................................................................................................18-38 Archiving and Purging...................................................................................................................................18-39 Archiving and Purging Automatically...........................................................................................................18-40 Agenda...........................................................................................................................................................18-41 Reconciling Bank Statements Automatically ................................................................................................18-42 Agenda...........................................................................................................................................................18-43 Reconciling Bank Statements Manually........................................................................................................18-44 Creating Miscellaneous Transactions ............................................................................................................18-45 Recording a Bank Transmission Error...........................................................................................................18-46 Recording Transactions from External Systems...........................................................................................18-47 Reconciliation Open Interface .......................................................................................................................18-48 Agenda...........................................................................................................................................................18-49 Manually Clearing and Unclearing................................................................................................................18-50 Practice - Enter, Format, and Approve Receipts........................................................................................18-51 Solution Enter, Format, and Approve Receipts ......................................................................................18-52 Clearing and Reconciling Transactions in Oracle Payables .........................................................................18-54 Clearing and Reconciling Transactions in Oracle Receivables ....................................................................18-55 Transferring Entries to Your General Ledger...............................................................................................18-56 Agenda...........................................................................................................................................................18-57 How to Record Exceptions ............................................................................................................................18-58 Handling NSF or Rejected Receipts Manually..............................................................................................18-60 Recording a Stopped Payment.......................................................................................................................18-61 Recording a Direct Debit from a Supplier .....................................................................................................18-62 Practice - Enter, Approve, and Pay Invoices .............................................................................................18-63 Entering Reversals.........................................................................................................................................18-66 Reconciling Corrections and Adjustments to Bank Errors ............................................................................18-67 Practice - Reconcile Bank Statements .......................................................................................................18-68 AutoReconciliation Matching........................................................................................................................18-71 Reversal Method............................................................................................................................................18-72 Adjustment Method .......................................................................................................................................18-73 Manual Reconciliation Matching ..................................................................................................................18-74 Agenda...........................................................................................................................................................18-75 Value Date Support .......................................................................................................................................18-76 Value Date Support in Oracle Payables and Oracle Receivables ..................................................................18-77 Value Date Derivation in Applications..........................................................................................................18-78 Selection Hierarchy for Value Date Support .................................................................................................18-79 Business Benefits of Value Date Support......................................................................................................18-80 Agenda...........................................................................................................................................................18-81 Oracle Cash Management Reports ................................................................................................................18-82 Archive/Purge Bank Statements Report ........................................................................................................18-83 AutoReconciliation Execution Report ...........................................................................................................18-84 Bank Statement Detail Report .......................................................................................................................18-85 Bank Statement Summary Report .................................................................................................................18-86 Bank Statements by Document Number Report............................................................................................18-87 GL Reconciliation Report..............................................................................................................................18-88 Cash in Transit Report...................................................................................................................................18-89 Cleared Transactions Report..........................................................................................................................18-90 Transactions Available for Reconciliation Report.........................................................................................18-91 Bank Transaction Codes Listing....................................................................................................................18-92 Summary........................................................................................................................................................18-93 Overview of Credit Management ...................................................................................................................19-1 Overview of Credit Management ..................................................................................................................19-2 Objectives ......................................................................................................................................................19-3
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Agenda...........................................................................................................................................................19-4 Set Up Oracle Credit Management................................................................................................................19-5 Define Credit Analysts ..................................................................................................................................19-6 Assign Credit Analyst to Accounts................................................................................................................19-7 Define Lookups .............................................................................................................................................19-8 Define System Options..................................................................................................................................19-9 Define Scoring Models..................................................................................................................................19-10 Assign Automation Rules ..............................................................................................................................19-11 Credit Checklist .............................................................................................................................................19-12 Credit Usage Rule Sets ..................................................................................................................................19-13 Define Credit Hierarchies ..............................................................................................................................19-14 Define Customer Profile Classes ...................................................................................................................19-15 Customer Profile Classes: Credit Profile Tab..............................................................................................19-16 Use Customers-Standard ...............................................................................................................................19-17 Agenda...........................................................................................................................................................19-18 Process Credit Reviews .................................................................................................................................19-19 Initiate a Credit Review.................................................................................................................................19-20 Collecting Credit Data ...................................................................................................................................19-21 Analyzing Credit Data ...................................................................................................................................19-22 Making a Recommendation...........................................................................................................................19-23 Implementing the Recommendation..............................................................................................................19-24 Agenda...........................................................................................................................................................19-25 Credit Management Application Workflow ..................................................................................................19-26 Oracle Approvals Management (AME).........................................................................................................19-27 Agenda...........................................................................................................................................................19-28 Review Credit Management Performance .....................................................................................................19-29 Agenda...........................................................................................................................................................19-30 Define Credit Hierarchies ..............................................................................................................................19-31 Identify a Credit Hierarchy............................................................................................................................19-32 Summary........................................................................................................................................................19-33 11i Order to Cash Fundamentals Supplemental Practices ..........................................................................20-1 11i Order to Cash Fundamentals Supplemental Practices .............................................................................20-2 Objective........................................................................................................................................................20-3 Practice - Instructor Preparation ................................................................................................................20-4 Manage Parties and Customer Accounts .......................................................................................................20-5 Practice - Create a Customer Profile Class ................................................................................................20-6 Solution - Create a Customer Profile Class ...............................................................................................20-8 Practice - Create a Customer using the Standard Data Entry Form ...........................................................20-9 Solution - Create a Customer using the Standard Data Entry Form ..........................................................20-12 Practice - Create a Customer using the Quick Data Entry Form ...............................................................20-15 Solution - Create a Customer using the Quick Data Entry Form...............................................................20-16 Practice - Create a Customer Account Relationship ..................................................................................20-17 Solution - Create a Customer Account Relationship .................................................................................20-18 Inventory Organizations ................................................................................................................................20-20 Practice - Create a User .............................................................................................................................20-21 Solution - Create a User.............................................................................................................................20-23 Practice - Create a Unit of Measure...........................................................................................................20-24 Solution - Create a Unit of Measure ..........................................................................................................20-25 Practice - Create a Location.......................................................................................................................20-26 Solution - Create a Location ......................................................................................................................20-27 Practice - Create an Inventory Organization..............................................................................................20-28 Solution - Create an Inventory Organization .............................................................................................20-30 Practice - Create a Subinventory ...............................................................................................................20-32 Solution - Create a Subinventory...............................................................................................................20-33 Practice - Define Shipping Parameters ......................................................................................................20-34 Solution - Define Shipping Parameters......................................................................................................20-35
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Enter Items.....................................................................................................................................................20-36 Practice - Create an Item............................................................................................................................20-37 Solution - Create an Item...........................................................................................................................20-38 Practice - Create a Material Transaction....................................................................................................20-39 Solution - Create a Material Transaction ...................................................................................................20-41 Practice - Add an Item to a Price List ........................................................................................................20-43 Solution - Add an Item to a Price List .......................................................................................................20-44 Enter Orders...................................................................................................................................................20-45 Practice - Create a Sales Order Header......................................................................................................20-46 Solution - Create a Sales Order Header .....................................................................................................20-48 Practice - Create a Sales Order Line ..........................................................................................................20-49 Solution - Create a Sales Order Line .........................................................................................................20-50 Practice - Create a Split Line and Ship Set ................................................................................................20-51 Solution - Create a Split Line and Ship Set ...............................................................................................20-53 Practice - Schedule an Order .....................................................................................................................20-55 Solution - Schedule an Order.....................................................................................................................20-57 Practice - Book an Order ...........................................................................................................................20-59 Solution - Book an Order...........................................................................................................................20-61 Practice - Copy a Sales Order ....................................................................................................................20-63 Solution - Copy a Sales Order ...................................................................................................................20-65 Managing Orders ...........................................................................................................................................20-68 Practice - Work with the Order Organizer.................................................................................................20-69 Solution - Work with the Order Organizer ................................................................................................20-71 Practice - Update a Sales Order .................................................................................................................20-73 Solution - Update a Sales Order ................................................................................................................20-74 Practice - Perform a Mass Price Change....................................................................................................20-75 Solution - Perform a Mass Price Change...................................................................................................20-76 Practice - Create a Hold Name ..................................................................................................................20-77 Solution - Create a Hold Name..................................................................................................................20-78 Practice - Apply a Hold .............................................................................................................................20-79 Solution - Apply a Hold.............................................................................................................................20-80 Practice - Release a Hold...........................................................................................................................20-81 Solution - Release a Hold ..........................................................................................................................20-82 Practice - Cancel an Order Line.................................................................................................................20-83 Solution - Cancel an Order Line ................................................................................................................20-84 Basic Pricing..................................................................................................................................................20-86 Practice - Create a Price List......................................................................................................................20-87 Solution - Create a Price List.....................................................................................................................20-91 Practice - Copy a Price List .......................................................................................................................20-95 Solution - Copy a Price List.......................................................................................................................20-96 Practice - Update a Price List Manually ....................................................................................................20-97 Solution - Update a Price List Manually....................................................................................................20-99 Practice - Adjust a Price List .....................................................................................................................20-101 Solution - Adjust a Price List.....................................................................................................................20-102 Practice - Add Items to a Price List ...........................................................................................................20-103 Solution - Add Items to a Price List ..........................................................................................................20-105 Practice - Create an Agreement Price List.................................................................................................20-106 Solution - Create an Agreement Price List ................................................................................................20-109 Practice - Create a Discount Modifier List ................................................................................................20-111 Solution - Create a Discount Modifier List................................................................................................20-115 Shipping.........................................................................................................................................................20-119 Practice - Grant Access to your User for Your Role..................................................................................20-120 Solution - Grant Access to your User for Your Role.................................................................................20-121 Practice - Pick Release Sales Orders .........................................................................................................20-122 Solution - Pick Release Sales Orders.........................................................................................................20-124 Practice - Ship Confirm a Delivery............................................................................................................20-126 Solution - Ship Confirm a Delivery...........................................................................................................20-128
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Practice - Define a Pick Slip Grouping Rule .............................................................................................20-130 Solution - Define a Pick Slip Grouping Rule.............................................................................................20-131 Practice - Define a Release Sequence Rule ...............................................................................................20-132 Solution - Define a Release Sequence Rule...............................................................................................20-133 Practice - Define a Release Rule................................................................................................................20-134 Solution - Define a Release Rule...............................................................................................................20-135 Practice - Define a Shipping Role..............................................................................................................20-136 Solution - Define a Shipping Role.............................................................................................................20-137 Practice - Grant Access to a Role ..............................................................................................................20-138 Solution - Grant Access to a Role..............................................................................................................20-139 Process Invoices ............................................................................................................................................20-141 Practice - Create an Invoice .......................................................................................................................20-142 Solution - Create an Invoice ......................................................................................................................20-143 Practice - Copy an Invoice.........................................................................................................................20-144 Solution - Copy an Invoice ........................................................................................................................20-145 Practice - Create a Credit Memo................................................................................................................20-146 Solution - Create a Credit Memo ...............................................................................................................20-147 Practice - Print a Transaction.....................................................................................................................20-148 Solution - Print a Transaction ....................................................................................................................20-149 Manual Receipts ............................................................................................................................................20-150 Practice - Enter a Manual Receipt .............................................................................................................20-151 Solution - Enter a Manual Receipt.............................................................................................................20-152 Practice - Apply a Receipt .........................................................................................................................20-153 Solution - Apply a Receipt ........................................................................................................................20-154 Practice - Use Mass Apply ........................................................................................................................20-155 Solution - Use Mass Apply........................................................................................................................20-156 Tax Accounting Process ................................................................................................................................20-157 Practice - Define a Tax Code.....................................................................................................................20-158 Solution - Define a Tax Code ....................................................................................................................20-159 Appendix A ...................................................................................................................................................20-160 Order Management Setup ..............................................................................................................................20-161 Practice - Define Transaction Types..........................................................................................................20-162 Practice - Define Document Numbers .......................................................................................................20-164 Practice - Define Processing Constraints...................................................................................................20-166 Practice - Process a Drop Ship Order ........................................................................................................20-168 Create Internal Orders ...................................................................................................................................20-174 Practice - Create Internal Orders ...............................................................................................................20-175 Practice - Create and Issue a Quote to Order Management .......................................................................20-178 Pricing ...........................................................................................................................................................20-181 Practice - Create Point and Range Price Break Modifiers .........................................................................20-182 Practice - Enter an Order Using Price Break Modifier ..............................................................................20-184 Practice - Create Tiered (Cascading) Modifiers ........................................................................................20-186 Practice - Enter an Order Using Tiered (Cascading) Modifiers.................................................................20-188 Practice - Resolve Group Modifier Incompatibilities ................................................................................20-190 Practice - Enter an Order Using Incompatibility Resolution .....................................................................20-191 Shipping.........................................................................................................................................................20-194 Practice - Pick Release with Manual Move Orders ...................................................................................20-195 Appendix B....................................................................................................................................................20-199 R11i Key Business Flows..............................................................................................................................20-200 Practice - Full Order to Cash Business Flow .............................................................................................20-201 Summary........................................................................................................................................................20-211

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Preface
Profile
Before You Begin This Course Before you begin this course, you should have the following qualifications: Knowledge of the overall Order Entry to Bank Reconciliation Process Ability to navigate Oracle Applications

Prerequisites 11i Navigate Oracle Applications

How This Course Is Organized 11i Order to Cash Fundamentals Ed. 2.0 is an instructor-led online course featuring lecture and hands-on exercises. Online demonstrations and written practice sessions reinforce the concepts and skills introduced. An additional volume of supplemental practices is available, beyond the practices and demonstrations found within the course.

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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xix

Related Publications
Oracle Publications
Title Part Number

Oracle Cash Management User Guide, Release 11i Oracle Receivables User Guide, Release 11i Oracle Order Management Users Guide Oracle Trading Community Architecture Administration User Guide, Release 11i Oracle Receivables Tax Manual Oracle Advanced Pricing Users Guide Oracle Shipping Execution User Guide Oracle Applications System Administrators Guide Additional Publications System release bulletins Installation and users guides Read.me files Oracle Magazine

A80839-02 A80838-03 A88765-04 B10854-01

A80828-01 A90830-04 A77030-05 A96154-03

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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xx

Typographic Conventions
Typographic Conventions in Text
Convention Bold italic Caps and lowercase Courier new, case sensitive (default is lowercase) Element Glossary term (if there is a glossary) Buttons, check boxes, triggers, windows Code output, directory names, filenames, passwords, pathnames, URLs, user input, usernames Graphics labels (unless the term is a proper noun) Emphasized words and phrases, titles of books and courses, variables Interface elements with long names that have only initial caps; lesson and chapter titles in crossreferences SQL column names, commands, functions, schemas, table names Menu paths Key names Key sequences Key combinations Example The algorithm inserts the new key. Click the Executable button. Select the Cant Delete Card check box. Assign a When-Validate-Item trigger to the ORD block. Open the Master Schedule window. Code output: debug.set (I, 300); Directory: bin (DOS), $FMHOME (UNIX) Filename: Locate the init.ora file. Password: User tiger as your password. Pathname: Open c:\my_docs\projects URL: Go to http://www.oracle.com User input: Enter 300 Username: Log on as scott Customer address (but Oracle Payables) Do not save changes to the database. For further information, see Oracle7 Server SQL Language Reference Manual. Enter user_id@us.oracle.com, where user_id is the name of the user. Select Include a reusable module component and click Finish. This subject is covered in Unit II, Lesson 3, Working with Objects.

Initial cap Italic

Quotation marks

Uppercase

Use the SELECT command to view information stored in the LAST_NAME column of the EMP table. Select File > Save. Press [Enter]. Press and release keys one at a time: [Alternate], [F], [D] Press and hold these keys simultaneously: [Ctrl]+[Alt]+[Del]

Arrow Brackets Commas Plus signs

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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xxi

Typographic Conventions in Code

Convention Caps and lowercase Lowercase Element Oracle Forms triggers Column names, table names Passwords PL/SQL objects Example When-Validate-Item SELECT last_name FROM s_emp; DROP USER scott IDENTIFIED BY tiger; OG_ACTIVATE_LAYER (OG_GET_LAYER (prod_pie_layer))

Lowercase italic Uppercase

Syntax variables

CREATE ROLE role

SQL commands and SELECT userid FROM emp; functions

Typographic Conventions in Oracle Application Navigation Paths

This course uses simplified navigation paths, such as the following example, to direct you through Oracle Applications. (N) Invoice > Entry > Invoice Batches Summary (M) Query > Find (B) Approve
This simplified path translates to the following:

1. 2. 3.

(N) From the Navigator window, select Invoice then Entry then Invoice Batches Summary. (M) From the menu, select Query then Find. (B) Click the Approve button.

Notations: (N) = Navigator (M) = Menu (T) = Tab (B) = Button (I) = Icon (H) = Hyperlink (ST) = Sub Tab
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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xxii

Typographical Conventions in Oracle Application Help System Paths

This course uses a navigation path convention to represent actions you perform to find pertinent information in the Oracle Applications Help System. The following help navigation path, for example (Help) General Ledger > Journals > Enter Journals represents the following sequence of actions: 1. 2. 3. 4. In the navigation frame of the help system window, expand the General Ledger entry. Under the General Ledger entry, expand Journals. Under Journals, select Enter Journals. Review the Enter Journals topic that appears in the document frame of the help system window.

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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xxiii

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11i Order to Cash Fundamentals Ed. 2.0 Table of Contents xxiv

Order to Cash Lifecycle Overview

Chapter 1

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Order to Cash Lifecycle Overview Chapter 1 - Page 1

Order to Cash Lifecycle Overview

Order to Cash Lifecycle Overview

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Order to Cash Lifecycle Overview Chapter 1 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Describe the overall order to cash process from Order Entry through Bank Reconciliation Discuss the key areas in the Order to Cash Life Cycle Describe the integration between the applications

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Order to Cash Lifecycle Overview Chapter 1 - Page 3

Order to Cash Lifecycle

Order to Cash Lifecycle

Order Management Shipping Execution

Enter

Book

Pick Release AutoInvoice

Ship Confirm

Receivables

Cash Management

Invoice

Receipt

Bank Reconciliation

Order to Cash Lifecycle The ordering process leads to the shipping of goods which continues with invoicing the customer and concludes with the receipt of cash and reconciling of the bank statement. All orders do not follow this path. Some orders may not require shipping (services) or receipts (internal orders). In Order Management the order is entered which allows for a review of the order information including: customer, ship-to, bill-to, payment terms, order type, price list, unit price, and warehouse. Then the order is booked which allows it to proceed through the workflow process. If it is a shipping item and the quantities are available, it can be processed by shipping execution. In Shipping Execution the order is pick released which generates the move order. Once the item is brought from the sub-Inventory into the staging area it is ready to be placed on a shipping vehicle. Now you can run the ship confirm process to allow the shipment to processed. AutoInvoice is run to bring the order from Order Management to Receivables. In Receivables you can print the invoice and send it to the customer. You can proceed with collection efforts until you receive payment and post your receipt.
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Order to Cash Lifecycle Overview Chapter 1 - Page 4

In Cash Management the system pulls information from posted receipts and matches them to the bank statement for reconciliation.

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Order to Cash Lifecycle Overview Chapter 1 - Page 5

Order Lifecycle

Order Lifecycle
Transfer Accounting to General Ledger Ordering Scheduling

Ordering Cash Management Accounting Collecting Shipping

Receipts

AutoInvoice to Receivables Invoicing

Order Lifecycle Ordering: Entering the order, pricing the order, booking the order, scheduling (which can include checking ATP, placing demand, and reserving on-hand Inventory), running pick release, and shipping the order. Collecting: Running AutoInvoice, generating invoices, collection efforts, and receipt of payments. Accounting: Receipt information which is available to be used by Cash Management to reconcile the bank statement and transferring accounting information to the General Ledger.

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Order to Cash Lifecycle Overview Chapter 1 - Page 6

Overview of Application Integration

Overview of Application Integration

Customers Customer Master Orders CRM Suite

Reserve Demand

Order Management Pricing

Item Information Inventory Accounting Accounting Invoices Shipping

Receipts Cash Management

General Ledger

Receivables

Overview of Application Integration Order Management receives customer information from the Customer Master which can supply default information into the sales order. Inventory supplies item information for the sales order and receives reservation and demand information. Pricing supplies information for the list price and any modifiers to apply against the list price. Orders may come in directly from the CRM Suite of applications. Once the order has been booked, information can flow to the Shipping application if it is a shippable item. Order management then sends information to Receivables through AutoInvoice. Now it can be printed and sent to the customer for payment. Finally the accounting information is sent to the General Ledger. The receipt information can also be accessed by Cash Management in order to reconcile the bank statements.

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Order to Cash Lifecycle Overview Chapter 1 - Page 7

Order Management Process

Order Management Process

Import from *CRM or other systems Order Import

Enter order or return online

Copy an order or return

EDI

*Customer Relationship Management includes: iService, iStore, Teleservice, Telesales, Sales Online, iSupport

Order Management Process Orders can be created from a number of different sources. You can create new orders by entering the information or by copying existing orders. You can also bring orders in from EDI, CRM, and other interfaces.

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Order to Cash Lifecycle Overview Chapter 1 - Page 8

Scheduling Process

Scheduling Process

Checking Available to Promise (ATP)

Placing demand

Shipping the order Reserving on-hand inventory Running pick release

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Order to Cash Lifecycle Overview Chapter 1 - Page 9

Viewing and Managing Orders

Viewing and Managing Orders

Orders View Find in the Order Organizer or Query in the Sales Orders form Order Lines

Managing Orders and Lines Once orders are in the system you can view them from different sources. Then you can manage the orders and order lines by applying holds, removing holds, entering individual or mass changes, creating copies, or making cancellations.

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Order to Cash Lifecycle Overview Chapter 1 - Page 10

Pricing Process

Pricing Process

Entered order line

Price list or agreement

Modifiers

Unit price

Pricing Process The pricing engine supplies the initial unit price from a price list or customer agreement. It will also apply any modifiers for which the order qualifies. Modifiers can either raise or lower the initial unit price. They can be set to be applied manually or automatically. They can also be set to only be applied after certain events like saving, booking, or shipping.

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Order to Cash Lifecycle Overview Chapter 1 - Page 11

Shipping Process

Shipping Process
Creates Move Order Details Move Order

Run Pick Release

Move Order

Inventory Transact Move Order

Load Truck

Material Dropped

Ship Confirm

Staging Sub-Inventory

Pick Confirm

Shipping Process When the item is ready, it is pick released. This creates the move order which can automatically detail where to get the item. The items are brought from Inventory to the staging area. The pick confirmation process in the system can automatically occur when you run pick release. Once the items are loaded on the truck from the staging area you can run the ship confirm process. When you run the ship confirm process the system can decrement Inventory and update the sales order. The information can then be transferred through AutoInvoice to Receivables for invoicing the customer.

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Order to Cash Lifecycle Overview Chapter 1 - Page 12

AutoInvoice Process

AutoInvoice Process

Invoice Data

Interface Tables

Invoices

Corrected Records

Interface Exceptions

AutoInvoice Process Invoice data can be sourced from a number of locations for example: Order Management, Contracts or legacy systems. When the data is brought into the Interface Tables, errors are pushed to the Interface Exceptions Table to be corrected. Correct data gets pushed into Receivables as invoices. AutoInvoice Exceptions: Errors are sent to the Interface Exceptions Table where they can be corrected. Once the lines are corrected, AutoInvoice can be rerun and invoices created from the corrected lines.

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Order to Cash Lifecycle Overview Chapter 1 - Page 13

Receivables Process

Receivables Process

Imported Invoices and Manually Created Invoices

Review and Correct Data

Print Invoices

Post Receipts

Collect Payments

Send Invoices

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Order to Cash Lifecycle Overview Chapter 1 - Page 14

Cash Management Process

Cash Management Process

Receive Bank Statement

Load and Verify Bank Statement

Perform Reconciliation

Post to General Ledger

Enter Manual Entries

Review Results

Cash Management Process The final step of the process is to post entries to the General Ledger. The entries travel from Cash Management to Receivables and then to the General Ledger.

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Order to Cash Lifecycle Overview Chapter 1 - Page 15

Summary

Summary
After completing this module you should be able to: Describe the overall order to cash process from Order Entry through Bank Reconciliation Discuss the key areas in the Order to Cash Life Cycle Describe the integration between the applications

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Order to Cash Lifecycle Overview Chapter 1 - Page 16

Overview of Oracle Order Management Process

Chapter 2

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Overview of Oracle Order Management Process Chapter 2 - Page 1

Overview of Oracle Order Management Process

Overview of Oracle Order Management Process

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Overview of Oracle Order Management Process Chapter 2 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Explain where Order Management is positioned within the Order to Cash Lifecycle Describe the overall Order Management process Discuss the key areas in the Order Management process

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Overview of Oracle Order Management Process Chapter 2 - Page 3

Overview of Order Management in the Order to Cash Lifecycle

Overview of Order Management in the Order to Cash Lifecycle

Order Management

Inventory Orders

Order Import

Pricing Receivables

Shipping

Overview of Order Management in the Order to Cash Process Order Management receives detailed item information from the Inventory application and price list information from the Pricing application. Orders and returns can be entered manually or imported through an EDI, CRM, or external source. Once in the system the order is ready to be pick released and shipped, if needed by the Shipping application. It can then proceed through the AutoInvoice program into the Oracle Receivables application to be invoiced. All of the accounting information is transferred to the General Ledger by the Inventory and Receivables applications.

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Overview of Oracle Order Management Process Chapter 2 - Page 4

Overview of Order Management Integration

Overview of Order Management Integration

Customers Customer Information Orders CRM Suite

Reserve Demand Item Price Information List Inventory Order Management

Pricing

Invoices Receivables

Shipping Shipping Execution

Overview of Order Management Integration Order Management receives customer information from the customer master, item information from inventory, the price list from pricing, and may receive orders from many of the applications in the CRM Suite. Order Management sends reservation and demand information to Inventory, shipping information is pulled into Shipping Execution, and invoices are created in Receivables by running the AutoInvoice program.

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Overview of Oracle Order Management Process Chapter 2 - Page 5

Overview of the Order Management Process

Overview of the Order Management Process

Enter Orders and Returns

Orders

Order Import and EDI

Copy Orders

View Orders

Manage Orders

Overview of the Order Management Process Orders can be created from a number of different sources. You can create new orders by entering the information or by copying existing orders. You can also bring orders in from EDI, CRM, and other interfaces. From Customer Relationship Management (CRM) for example, you could bring orders from iService, iStore, iSupport, Teleservice, Telesales, and Sales Online. Once orders are in the system you can manage the orders and order lines by creating copies, entering individual or mass changes, applying holds, removing holds, or performing cancellations.

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Overview of Oracle Order Management Process Chapter 2 - Page 6

Overview of Customer Relationships

Overview of Customer Relationships

Parent

Parent

Parent

Child

Reciprocal

Nonreciprocal

A B

B A C C

Overview of Customer Relationships Order Management Super User, Vision Operations (USA) (N) > Customers > Quick or Standard > (T) Relationships Relationships exist between two customers and can be reciprocal or nonreciprocal. They allow the following: Sharing of pricing entitlements (Agreements and Commitments) Consolidation of business addresses (Selection of a related customers ship-to address during order entry) Payment of related invoices Relationships are not transitive; If customer A is related to B and B is related to C, A and C are not related. You must build the A to C relationship separately.

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Overview of Oracle Order Management Process Chapter 2 - Page 7

Overview of Inventory Organizations

Overview of Inventory Organizations

Manufacturing Facility

Warehouse

Branch Office

Receiving

Shipping

Overview of Inventory Organizations Organizations can be established for a number of purposes. For example, you could set up manufacturing facilities, warehouses, distribution centers, and branch offices. The organization must be classified as an inventory organization in order to do transactions, planning, and receiving. You can set as many organizations as needed and limit the organization access by responsibility. A user can change organizations at any time from the Change Organization window.

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Overview of Oracle Order Management Process Chapter 2 - Page 8

Overview of Inventory Items

Overview of Inventory Items

An item can be anything you make, sell, or purchase. It can include various stages of products, such as: final products, supplies for products, or components for products.

Final Product

Components

Supplies

Overview of Inventory Items Inventory items are used in Order Management when placing orders. The item has attributes which control how it is used. For example, one of the Order Management attributes that can be set is if the item is Orderable. If the item is not set correctly it can not be ordered. Items can be set in one or more than one organization. Normally, you set the item in a master organization and assign it to other organizations that will use it.

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Overview of Oracle Order Management Process Chapter 2 - Page 9

Overview of Order Entry

Overview of Order Entry

Enter Order and Returns

Copy an order

EDI

Import from other systems

Order Import

Order

Overview of Order Entry Enter an order manually using the Sales Order forms. Create a new order by copying an open, closed or canceled order. Orders created from the copy function can be modified as needed. Use Order Import to load orders that come from your EDI transactions, external systems or other Oracle applications such as Internal orders from Purchasing or Material Charge Lines from Service.

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Overview of Oracle Order Management Process Chapter 2 - Page 10

Overview of Managing Orders

Overview of Managing Orders

Orders View Find in the Order Organizer or Query in the Sales Orders form Order Lines

Overview of Managing Orders Once orders are in the system you can view them from different sources. Then you can manage the orders and order lines by applying holds, removing holds, entering individual or mass changes, creating copies, or making cancellations.

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Overview of Oracle Order Management Process Chapter 2 - Page 11

Summary

Summary
In this module you should have learned how to: Explain where Order Management is positioned within the Order to Cash Lifecycle Describe the overall Order Management process Discuss the key areas in the Order Management process

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Overview of Oracle Order Management Process Chapter 2 - Page 12

Overview of Pricing
Chapter 3

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Overview of Pricing Chapter 3 - Page 1

Overview of Pricing

Overview of Pricing

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Overview of Pricing Chapter 3 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Explain where Order Pricing is positioned within the Order to Cash Life Cycle Describe the overall Order Pricing process Discuss the key areas in the Pricing process

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Overview of Pricing Chapter 3 - Page 3

Order to Cash Lifecycle

Order to Cash Lifecycle

Transfer Accounting to General Ledger Ordering/Pricing Scheduling

Cash Management

Ordering Accounting Collecting AutoInvoice to Receivables Invoicing Shipping

Receipts

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Overview of Pricing Chapter 3 - Page 4

Overview of Pricing in the Order to Cash Process

Overview of Pricing in the Order to Cash Process

Order Pricing

Manually Entered Orders Pricing Order Management

API or Imported Orders

Overview of Pricing in the Order to Cash Process Pricing sends customer list price, agreement price, and modifier information to orders being entered manually in Order Management and to orders being entered in other Oracle applications which can then be either imported or can use an API via Order Capture into Order Management. Orders can proceed through the Order to Cash flow by being shipped, run through the AutoInvoice program to Receivables and finally the accounting information can be transferred to the General Ledger.

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Overview of Pricing Chapter 3 - Page 5

Overview of Pricing Integration

Overview of Pricing Integration

CRM Suite

Pricing

ERP Suite

e-Business Suite

Overview of Pricing Integration The Following products use Oracle Pricing setup and engine processing: Order Management Order Capture/Quoting Marketing Core Contracts Service Contracts Service Core (Via Order Management) Trade Management Sales for Communications Service for Communications Financial Services The following products use Oracle Pricing engine processing only: iStore TeleSales
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Overview of Pricing Chapter 3 - Page 6

Sales Online

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Overview of Pricing Chapter 3 - Page 7

Overview of the Pricing Concept

Overview of the Pricing Concept

What is being Priced?

Who is asking for the Price? Qualifiers

How should the Price be Adjusted? Modifiers

Overview of the Pricing Concept The pricing engine determines the selling price for products and services. It provides the final selling price after fetching the initial price off the price list or customer agreement. It does this by determining if this order qualifies for any increases or decreases from the initial price. These kinds of adjustments are called modifiers.

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Overview of Pricing Chapter 3 - Page 8

Overview of the Pricing Engine

Overview of the Pricing Engine

Entered order line

Price list or agreement

Modifiers

Unit price

Overview of the Pricing Engine The pricing engine receives a pricing request which it processes and supplies the base (initial) price from the price list or customer agreement. It then applies any modifiers, calculates the selling price, and returns the result to the calling application.

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Overview of Pricing Chapter 3 - Page 9

Overview of Price Lists

Overview of Price Lists

Setup the price list

You can establish a new price list by manually entering items or by copying an existing price list.

Modify the price list

After the price list is established you can maintain the price list by adding items or modify the list price of the lines by completing an adjustment.

Overview of Price Lists You establish as many price lists as needed by entering the information or copying existing price lists. The price lists can be easily modified to include new items or groups of items. The list price of the price list lines can be increased or decreased by either an amount or a percentage.

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Overview of Pricing Chapter 3 - Page 10

Overview of Qualifiers and Modifiers

Overview of Qualifiers and Modifiers

Qualifiers can be applied to Modifier Lists and Modifier Lines.

Modifiers are used to adjust the base price on an order and can be used on individual lines or on the overall order.

Overview of Qualifiers and Modifiers Qualifiers can assist in establishing what the base price is for an item and if an order will receive increases or decreases to the base price. Modifiers can be applied automatically or manually and can be overrideable.

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Overview of Pricing Chapter 3 - Page 11

Overview of Basic vs. Advanced Pricing

Overview of Basic vs. Advanced Pricing

Pricing

Basic pricing functionality is included in Order Management and offers a variety of standard options for pricing orders.

Advanced Pricing

Oracle Advanced Pricing is sold separately and offers functions to perform advanced options for pricing orders.

Overview of Basic vs. Advanced Pricing Oracle offers two levels of pricing functionality: Basic, and the fully licensed product, Advanced Pricing. While each level of functionality shares some similarities, the licensed Advanced Pricing application extends the ability to manipulate pricing. Price Lists The creation of price lists within both levels carries many of the same elements. Both are able to add items to, and copy price lists. However, as one implements Advanced Pricing, the ability to use Qualifiers, Pricing Attributes and Secondary Price Lists becomes extended from only allowing the default or one context element in Basic, to an unlimited number of values being available. Formulas are another area of distinction between the two levels, both allow Static Formulas, while only Advanced Pricing allows the use of Dynamic Formulas. Agreements The use of Agreements is the same for both basic and Advanced Pricing. They are both able to identify customer items, create price lists, use versioning and price breaks. Formulas

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Overview of Pricing Chapter 3 - Page 12

As with other areas of pricing functionality, Advanced Pricing extends the ability to adjust pricing with formulas to include the item category associated with the item on the order line, and using an unlimited number of pricing attribute contexts and factors. Modifiers While both basic and Advanced Pricing have the ability to execute Discounts, Surcharges, Freight Charges and Point based Price Breaks, Advanced Pricing extends this functionality greatly. Advanced Pricing also allows price changes via Coupons, Terms Substitution, Promotions, Item Upgrades and Other Items. Additionally, Advanced Pricing allows you to implement adjustment functionality that will change the base price used for the adjustment; affect the timing of when the adjusting activity will occur; and enable you to define rules effecting which adjustments may be used at the same time. For further information on the Advanced Pricing functionality, please refer to the Advanced Topic: Advanced Pricing.

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Overview of Pricing Chapter 3 - Page 13

Summary

Summary
In this module you should have learned how to: Explain where Pricing is positioned within the Order to Cash Life Cycle Describe the overall Pricing process Discuss the key areas in the Pricing process

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Overview of Pricing Chapter 3 - Page 14

Overview of Oracle Shipping Execution

Chapter 4

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Overview of Oracle Shipping Execution Chapter 4 - Page 1

Overview of Oracle Shipping Execution

Overview of Oracle Shipping Execution

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Overview of Oracle Shipping Execution Chapter 4 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Explain where Shipping Execution is positioned within the Order to Cash Life Cycle Describe the overall Shipping process Discuss the key areas in the Shipping process

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Overview of Oracle Shipping Execution Chapter 4 - Page 3

Order to Cash Lifecycle

Order to Cash Lifecycle

Transfer Accounting to General Ledger Ordering/Pricing Scheduling

Cash Management

Ordering Accounting Collecting AutoInvoice to Receivables Invoicing Shipping

Receipts

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Overview of Oracle Shipping Execution Chapter 4 - Page 4

Overview of Shipping in the Order to Cash Process

Overview of Shipping in the Order to Cash Process

Shipping

Order Management

Picking

Staging

Inventory and Order Management

Shipping

Overview of Shipping in the Order to Cash Process Shipping runs pick release for booked orders from Order Management. The picked orders are taken from inventory and are dropped in the staging area prior to being shipped. When ship confirm is processed an API runs to decrement inventory and a separate API runs to update the order. After the sales order line is updated, it can proceed through AutoInvoice to Receivables.

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Overview of Oracle Shipping Execution Chapter 4 - Page 5

Overview of the Shipping Process

Overview of the Shipping Process

Creates Move Order Details Move Order

Run Pick Release

Move Order

Inventory Transact Move Order

Load Truck

Material Dropped

Ship Confirm

Staging Sub-inventory

Pick Confirm

Overview of the Shipping Process When the order line is ready it is pick released. This creates the move order which can automatically detail where to get the item. The items are brought from inventory to the staging area. The pick confirmation process in the system can automatically occur when you run pick release. Once the items are loaded on the truck from the staging area you can run the ship confirm process. When you run the ship confirm process the system can decrement inventory and update the sales order. The information can then be transferred through AutoInvoice to Receivables for invoicing the customer.

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Overview of Oracle Shipping Execution Chapter 4 - Page 6

Overview of Shipping Execution Integration

Overview of Shipping Execution Integration

Booked Orders Decrement Inventory Update Orders

Inventory

Shipping Execution

Order Management

Overview of Shipping Execution Integration Shipping runs pick release on booked sales order lines from Order Management. After processing ship confirm, it sends information to decrement inventory and update the sales order line information. In addition, this inventory related activity will trigger the creation of the Cost of Goods Sold account (COGS). Order Management sends the order line through AutoInvoice to Receivables. Inventory and Receivables send all of the accounting information to the General Ledger.

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Overview of Oracle Shipping Execution Chapter 4 - Page 7

Overview of Shipping Concepts

Overview of Shipping Concepts

Trips

Stops

Deliveries

Delivery Legs

Overview of Shipping Concepts A trip is carrier specific and includes at least two stops a pick-up and a drop-off. A stop is a point along the route and can consist of a pick-up, drop-off, or both. A delivery is a consolidation of sales order lines based on at least the customer, ship from location, and ultimate ship to location. A delivery leg is represented by a bill of lading and consists of at least two stops and one leg or trip.

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Overview of Oracle Shipping Execution Chapter 4 - Page 8

Overview of Pick Release

Overview of Pick Release

Which Orders to fill?

Release Rules

In what order to fill?

Release Sequence Rules

How to group on the Pick Slip?

Pick Slip Grouping Rules

Overview of Pick Release Release Rules determine which orders meet the criteria to be pick released. Release Sequence Rules determine in what order available inventory will be allocated to the picked order lines. Pick Slip Grouping Rules determine how released lines will be grouped on to pick slips.

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Overview of Oracle Shipping Execution Chapter 4 - Page 9

Overview of Pick Confirm and Staging Sub-inventory

Overview of Pick Confirm and Staging Sub-inventory

Source Location

Transfer

Staging Sub-inventory

Overview of Pick Confirm and Staging Sub-inventory Pick release creates a move order to transfer inventory from the source location to the staging area. The actual movement from the source location to the staging sub-inventory is called pick confirmation. Note: Pick confirm can be completed manually or automatically.

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Overview of Oracle Shipping Execution Chapter 4 - Page 10

Overview of Delivery Management

Overview of Delivery Management

Sales order lines that have been released for shipping are called delivery lines and can be used to create a delivery.

Deliveries can be created manually or automatically and are required to perform ship confirmation.

Overview of Delivery Management Deliveries can be created automatically during pick release by selecting the check box Autocreate Deliveries in the Release Sales Orders window. They can also be automatically created in the Shipping Transactions form by selecting the Actions button and choosing Autocreate Deliveries. Otherwise, they can be created manually from the Shipping Transactions form.

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Overview of Oracle Shipping Execution Chapter 4 - Page 11

Overview of Ship Confirmation

Overview of Ship Confirmation

Staging Sub-inventory

Load Truck

Ship Confirm

Overview of Ship Confirmation The items are loaded on the truck from the staging area you can run the ship confirm process. When you run the ship confirm process the system can decrement inventory and update the sales order. The information can then be transferred through AutoInvoice to Receivables for invoicing the customer. Finally, accounting information can be sent to the General Ledger from Inventory and Receivables.

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Overview of Oracle Shipping Execution Chapter 4 - Page 12

Summary

Summary
In this module you should have learned how to: Explain where Shipping Execution is positioned within the Order to Cash Life Cycle Describe the overall Shipping process Discuss the key areas in the Shipping process

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Overview of Oracle Shipping Execution Chapter 4 - Page 13

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Overview of Oracle Shipping Execution Chapter 4 - Page 14

Overview of Oracle Receivables Process

Chapter 5

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Overview of Oracle Receivables Process Chapter 5 - Page 1

Overview of Oracle Receivables Process

Overview of Oracle Receivables Process

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Overview of Oracle Receivables Process Chapter 5 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Explain where the Receivables processing is positioned within the Order to Cash Life Cycle Describe the overall Receivables Process Discuss the key areas in the Receivables Process

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Overview of Oracle Receivables Process Chapter 5 - Page 3

Order to Cash Lifecycle

Order to Cash Lifecycle

Transfer Accounting to General Ledger Ordering/Pricing Scheduling

Cash Management

Ordering Accounting Collecting

Shipping

Receipts

AutoInvoice to Receivables Invoicing

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Overview of Oracle Receivables Process Chapter 5 - Page 4

Overview of Receivables in the Order to Cash Process

Overview of Receivables in the Order to Cash Process

Receivables

Imported through AutoInvoice

Transactions

Manual Creation

Cash Management

Receipt

Transfer to General Ledger

Overview of Receivables in the Order to Cash Process Receivables can generate transactions from imported data brought through the AutoInvoice program from Oracle Order Management, Oracle Service, Oracle Projects, Leasing, and legacy systems. Transactions may also be created manually in the Receivables application. After being completed the transaction information is ready to be transferred to the General Ledger. Receipts that have been entered and remitted are available to be used by Cash Management to reconcile bank statements. Receipts are available to be transferred to the General Ledger after they are entered and saved.

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Overview of Oracle Receivables Process Chapter 5 - Page 5

Overview of the Receivables Process

Overview of the Receivables Process

Transactions

Review and Correct Data

Print and Send Invoices

Transfer to General Ledger

Enter Receipts

Collect Payments

Overview of the Receivables Process The transactions are created either by importing them or by manually creating them. The transactions can then be reviewed and corrected before being completed. Once completed, they are ready to be printed and sent to the customer for payment. However, there is a system option Allow Changes to Printed Transactions, which will allow the correction of printed transactions as well. Then the transactions go through the collection process. Once collected, the receipts are enter and applied. The transactions can be transferred to the General Ledger once they are completed. Finally, the receipts can be transferred once they are completely entered.

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Overview of Oracle Receivables Process Chapter 5 - Page 6

Overview of Receivables Integration

Overview of Receivables Integration

Item Information Inventory Orders & Shipment

Order Management

Orders Legacy Receivables

Contracts Service

Accounting General Ledger

Receipts Cash Management Leasing

Overview of Receivables Integration Inventory item information is available to Receivables for any manually created transactions, although no inventory is decremented from any transactions created or modified in Receivables. Transactions can be created by importing data from Order Management (which may include orders from the CRM Suite of products), other applications and legacy systems. Receivables sends accounting information to the General Ledger. Receipts are available for bank reconciliation in Cash Management. Once collected, the receipts are entered and applied. The transactions can be transferred to the general ledger once they are completed. The receipts can be transferred once they are entered and saved.

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Overview of Oracle Receivables Process Chapter 5 - Page 7

Overview of the Transaction Process

Overview of the Transaction Process

Standard Transaction Copy Review and make corrections Valid transaction Complete, print and send to customer Enter receipt Interface to General Ledger Invalid transaction Void Delete

Overview of the Transaction Process Transactions can be copied in Receivables. A standard transaction would follow the path of being reviewed, corrected, completed, printed, and sent to the customer. A receipt would be entered against the transaction. The accounting information would be transferred to the General Ledger after the transaction was completed.

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Overview of Oracle Receivables Process Chapter 5 - Page 8

Overview of Other Invoice Operations

Overview of Other Invoice Operations

Original Invoice

Invoice with Rules

Invoice Copies

Accounting Rules

Invoice Rules

Installments

Overview of Other Invoice Operations You can use an invoice to make copies. This process can be applied for invoices which will be the same over a period of time. Invoices can be created with or without rules. Invoices with rules can be imported or manually created. The accounting rule indicates when revenue recognition should take place. The invoicing rule indicates whether to bill in advance (the first period) or to bill in arrears (the last period). You can let your customers make invoice payments in multiple installments by using a split payment term. When you assign a split payment term to an invoice, Receivables automatically creates the payment schedules based on the invoice date and the payment terms that you define. For example, your split payment term might specify that 40 percent of the invoice is due in 30 days after the invoice date with the remainder due in 60 days.

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Overview of Oracle Receivables Process Chapter 5 - Page 9

Overview of Adjustments

Overview of Adjustments

Adjustment entry

Approval limit $500

Validation process

Approved or Pending

Overview of Adjustments Adjustments are entered into the system and proceed through a validation process before being approved. Adjustments can increase or decrease the remaining balance. Each user can have a different approval limit. If the adjustment is within the approval limit it is automatically approved. If it exceeds the approval limit it is placed in a pending status until approved by a user with the appropriate approval limit. Manual adjustments are created against one transaction. You select the transaction you want to be adjusted. Automatic adjustments can be made against a group of transactions. You set criteria options to limit which transactions are selected by the system to be adjusted.

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Overview of Oracle Receivables Process Chapter 5 - Page 10

Overview of Credit Memos

Overview of Credit Memos

Enter Update Review Credit memos

Credit Transactions

Invoices

Debit memos

Commitments

Overview of Credit Memos You use the Credit Transactions window to enter, update, and review credit memos against specific invoices, debit memos, or commitments. You create credit memos to reduce the balance due for a transaction. When you credit a transaction, Receivables creates the appropriate accounting entries and reverses any sales credit assigned to your salespeople. Receivables lets you credit an entire invoice or specific invoice lines. You can also credit freight for an entire invoice or only for specific invoice lines. You can delete an incomplete credit memo if the system option Allow Invoice Deletion is set to Yes. A transaction must be complete before you can create a credit memo against it. Note: The Line fields show amounts without tax, even if the transaction you are crediting is tax inclusive. These include the Amount, Original, and Balance Due fields.

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Overview of Oracle Receivables Process Chapter 5 - Page 11

Overview of the AutoInvoice Process

Overview of the AutoInvoice Process

Invoice Data

Interface Tables

Invoices

Records are corrected in the Interface Tables Interface Exceptions displays errors only

Overview of the AutoInvoice Process Invoice data can be sourced from a number of locations for example: Order Management, Contracts, and legacy systems. When the data is brought into the interface tables, error messages are displayed in the interface exceptions table. Correct data gets pushed into Receivables as invoices. AutoInvoice Exceptions: Errors are sent to the interface exceptions table where they can be corrected. Once corrected, they can be processed into invoices.

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Overview of Oracle Receivables Process Chapter 5 - Page 12

Overview of Receipts and Remittances

Overview of Receipts and Remittances

Enter Receipts and Remittances

Apply to invoice or customer account

Update customer balance

Transfer to General Ledger

Reverse or Reapply

Reconcile

Overview of Receipts and Remittances Receipts can be entered in one of three ways: Manual: Which includes cash and miscellaneous receipts. QuickCash: Which includes cash and AutoLockbox. Automatic: Which includes credit cards, bills of exchange, direct debits, and ACH bank account transfers. Remittances are a group of receipts remitted to the same bank and bank account, similar to bank deposit tickets. Receipts that are applied to an invoice or customer account can be reversed or reapplied at any time as long as they have not been purged from the system. Note: Once entered and saved the receipt information can be transferred to the General Ledger. They do not have to be reconciled or applied to an invoice.

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Overview of Oracle Receivables Process Chapter 5 - Page 13

Overview of Collections

Overview of Collections

Identify past due items

Contact customer

Record activity

Record bad debt

Apply adjustments

Resolve disputed items

Record receipts

Overview of Collections Identify past due items by reviewing information online and printing collections reports. Contact the customer by sending statements, dunning letters or by a telephone call. Record the customer contact activity and resolve any disputed items. Apply adjustments and record bad debt.

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Overview of Oracle Receivables Process Chapter 5 - Page 14

Overview of Tax

Overview of Tax

Oracle provides ways to set up the tax engine: Sales tax or VAT tax Various tax codes and rates Exemptions and exceptions Tax groups Deferred tax Tax reporting

Overview of Tax Oracle provides the ability to tailor the tax engine to the specific needs of your business. Receivables is the application where final taxing occurs, all other applications that use the tax tables supply an estimated tax.

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Overview of Oracle Receivables Process Chapter 5 - Page 15

Summary

Summary
In this module you should have learned how to: Explain where the Receivables processing is positioned within the Order to Cash Life Cycle Describe the overall Receivables Process Discuss the key areas in the Receivables Process

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Overview of Oracle Receivables Process Chapter 5 - Page 16

Overview of Oracle Cash Management

Chapter 6

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Overview of Oracle Cash Management Chapter 6 - Page 1

Overview of Oracle Cash Management

Overview of Oracle Cash Management

Copyright Oracle Corporation, 2003. All rights reserved.

Overview of Oracle Cash Management Chapter 6 - Page 2

Objectives

Objectives
After completing this module, you should be able to do the following: Explain the integration of Cash Management in the Order to Cash eBusiness flow Describe Bank Reconciliation Understand Cash Forecasting

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Overview of Oracle Cash Management Chapter 6 - Page 3

Agenda

Agenda
Explaining the integration of Cash Management in the Order to Cash eBusiness flow Describing Bank Reconciliation Understanding Cash Forecasting

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Overview of Oracle Cash Management Chapter 6 - Page 4

Order to Cash Lifecycle

Order to Cash Lifecycle

Order Management Shipping Execution

Enter

Book

Pick Release Autoinvoice

Ship Confirm

Receivables

Cash Management

Invoice

Receipt

Bank Reconciliation

Order to Cash Lifecycle The Order to Cash Lifecycle begins with the shipping of goods, continues with invoicing the customer, and concludes with the receipt of cash and reconciling of the bank statement. In Cash Management, the system pulls information from posted receipts and matches them to the bank statement for reconciliation.

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Overview of Oracle Cash Management Chapter 6 - Page 5

Order Lifecycle

Order Lifecycle
Transfer Accounting to General Ledger Ordering Scheduling

Receipts Available to Cash Management

Ordering Accounting Collecting Shipping

Receipts

AutoInvoice to Receivables Invoicing

Order Lifecycle The following processes are involved in the Order Lifecycle: Ordering: Entering the order, pricing the order, booking the order, scheduling (which can include checking ATP, placing demand, and reserving on-hand inventory), running pick release, and shipping the order. Collecting: Running Autoinvoice, generating invoices, collection efforts, and receipt of payment. Accounting: - Receipt information is available to be used by Cash Management for reconciling the bank statement. - Accounting information from Receivables is transferred to the General Ledger. - This accounting information contains reconciliation entries from Cash Management.

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Overview of Oracle Cash Management Chapter 6 - Page 6

Cash Management Integration

Cash Management Integration

Banks Receipts Payments

Reconcile Misc Receipts Receivables

Reconcile Cash Management Payables

Journal Entries

General Ledger

Journal Entries

Cash Management Integration Cash Management integrates with Oracle Receivables, Payables, and General Ledger. Banks: Bank setup is done in either Receivables or Payables. Only the Bank Codes used by Cash Management in the reconciliation process can be added to previously defined banks in Cash Management. Receivables: Receipts are available to Cash Management for reconciliation and clearing. Miscellaneous receipts can be created in Receivables from Cash Management to record bank charges or interest. Payables: Payments are available to Cash Management for reconciliation and clearing. General Ledger: Journal entries and cash account balances are available to Cash Management for reconciliation. Cash Management does not send entries directly to the General Ledger. The accounting entries are sent through Payables and Receivables. Note: Cash Management also integrates with Payroll to reconcile payroll payments. For more information, see the 11i Oracle Cash Management User Guide.

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Overview of Oracle Cash Management Chapter 6 - Page 7

Agenda

Agenda
Explaining the integration of Cash Management in the Order to Cash eBusiness flow Describing Bank Reconciliation Understanding Cash Forecasting

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Overview of Oracle Cash Management Chapter 6 - Page 8

Functions with Receivables

Functions with Receivables

NSF Clear and reconcile receipts Reverse receipts

Bank charges and interest

Create receipts

Create Miscellaneous Receipts

Functions with Receivables Cash Management performs the following functions with Oracle Receivables: Clear and reconcile receipts: Receipts are made available to Cash Management to reconcile with bank statement entries. Reverse receipts: Receipts that are returned NSF or Stop Payment are reversed and Debit Memos can be created from Cash Management. Create Oracle Receivables receipts: Receipts that are missing from Receivables can be entered using a link from Cash Management. Create miscellaneous transactions for bank-initiated transactions: Miscellaneous Receipts can be created in Receivables using a link from Cash Management for both positive and negative amounts.

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Overview of Oracle Cash Management Chapter 6 - Page 9

Reconciliation Process

Reconciliation Process

Receive bank statement

Load and verify bank statement

Perform reconciliation

Create journal entries and post to General Ledger

Review results

Reconciliation Process The diagram proves an overview of the Cash Management process, from entering bank statements to posting transaction to the General Ledger. There are two major process steps needed to reconcile bank statements. Load bank statements. Reconcile bank statements. Both steps can be done automatically or manually.

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Overview of Oracle Cash Management Chapter 6 - Page 10

Load Bank Statements

Load Bank Statements

Bank Statements Header Manually enter SQL* Loader Bank file Bank Statement Open Interface Import program

Bank Statement Tables

Lines

Load Bank Statements Bank files can be loaded in the Bank Statement Tables in two ways: To import bank statements automatically, use a SQL*Loader script against the bank file to populate the Bank Statement Open Interface. Then import the bank statement information using the Bank Statement Import Program. To enter a bank statement manually, enter the bank statement header information and the transaction lines in the Bank Statement Form.

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Overview of Oracle Cash Management Chapter 6 - Page 11

Bank Reconciliation Overview

Bank Reconciliation Overview

Run AutoReconciliation Program

Identify reconciliation Review errors AutoReconciliation Execution Report

Reconcile manually (if necessary)

Correct errors and run AutoReconciliation Program

Bank Reconciliation Overview After importing or entering the bank statements: Run the AutoReconciliation Program to automatically reconcile the bank transactions to the Receivables Receipts. Review the Auto Reconciliation Execution Report. Identify and correct errors. Rerun the AutoReconciliation Program. Perform manual reconciliation, if necessary. Note: The Bank Statement Import and the AutoReconciliation Programs can be run together to perform both tasks.

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Overview of Oracle Cash Management Chapter 6 - Page 12

Agenda

Agenda
Explaining the integration of Cash Management in the Order to Cash eBusiness flow Describing Bank Reconciliation Understanding Cash Forecasting

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Overview of Oracle Cash Management Chapter 6 - Page 13

Cash Forecasting Functions

Cash Forecasting Functions

Reusable Templates

Projected Cash Activity Dates

Open Interface

Any Currency

Export

Cash Forecasting Functions Cash Forecasting is a planning tool that helps you anticipate the flow of cash in and out of your business, allowing you to project your cash needs and evaluate your company liquidity position. With Oracle Cash Management you can perform the following forecasting functions: Define reusable forecast templates. Determine projected cash activity dates based on specifications defined in the forecast. Use an open interface to include external forecast sources in the forecast. Forecast for any currency. Export forecast to a spreadsheet application.

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Overview of Oracle Cash Management Chapter 6 - Page 14

Steps in Cash Forecasting

Steps in Cash Forecasting

1. Define a forecast template.

2. Select the relevant source type or parameters.

3. Submit the forecast.

Steps in Cash Forecasting Cash Forecasting uses a template which contains cash forecast specifications and includes sources, time periods, and other parameters. When the forecast is submitted, Cash Management collects the necessary source data and summarized the information as cash forecast amounts, based on the forecast period specifications. The forecast data is then available for update, inquiry, or reporting purposes or for export to any spreadsheet application.

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Overview of Oracle Cash Management Chapter 6 - Page 15

Cash Forecast Template

Cash Forecast Template

A cash forecast template is a matrix that is similar to a spreadsheet. Each row defines the source of the cash flow, and each column defines the forecast period in general ledger periods or days.
Forecast Period

Sources

Cash Forecast Template A forecast template contains cash forecast specifications. Templates determine the presentation of sources and forecast periods. Templates also include Name and Description, Forecast period types, either General Ledger periods or days and source type.

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Overview of Oracle Cash Management Chapter 6 - Page 16

Cash Forecasting Sources

Cash Forecasting Sources

Cash Outflow Sources Payables Purchasing Cash Inflow Sources Receivables Order Management General Ledger Cash forecast Treasury Projects Projects Sales

Payroll General Ledger

Cash Forecasting Sources Cash inflow information is accessible to the cash forecast process in Cash Management from the following Oracle subledgers: Payables: Supplier Invoices and Payments, Expense Reports. Purchasing: Purchase Orders and Requisitions. Receivables: Customer Invoices and Receipts. Payroll: Payroll Expense. General Ledger: GL Cash Position. Projects: Billing Events, Inflow and Outflow Budgets, Transactions. Sales: Opportunities (Leads). Treasury: Transactions. Order Management: Sales Orders. Note: User Defined Inflows and Outflows are also available.

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Overview of Oracle Cash Management Chapter 6 - Page 17

Summary

Summary
In this module, you should have learned how to: Explain the integration of Cash Management in the Order to Cash eBusiness flow Describe Bank Reconciliation Understand Cash Forecasting

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Overview of Oracle Cash Management Chapter 6 - Page 18

Manage Parties and Customer Accounts

Chapter 7

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Manage Parties and Customer Accounts Chapter 7 - Page 1

Manage Parties and Customer Accounts

Manage Parties and Customer Accounts

Copyright Oracle Corporation, 2003. All rights reserved.

Manage Parties and Customer Accounts Chapter 7 - Page 2

Objectives

Objectives
After completing this course, you should be able to do the following: Define the features enabling you to enter and maintain party and customer account information Create profile classes and assign them to customer accounts Create and maintain party and customer account information Enable customer account relationships Merge parties and customer accounts View party and customer account information Define setup options Define TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 3

Agenda

Agenda

Describing Party Model and Features Using Profile Classes Entering Party Information Defining Customer Account Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 4

Party Model Overview

Party Model Overview

Receivables

Order Management

Projects

CRM

Customer forms Party Master

Party interface

Party merge

Party Model Tables

Party Model Overview The party model flows through the entire e-Business Suite. There is just one record to represent both a prospect and a customer. The entity itself is recorded, such as a person or an organization. However, customer terms are established, that record represents a prospect. Once customer terms are recorded, that same record now represents the entity as your customer. So, there are no separate lists to maintain and reconcile. In the Oracle e-Business Suite, there is one record to represent Company ABC throughout its full life-cycle. Each application uses different features of the party model. For instance, the Customer Relationship Management Suite (CRM) applications use more details about party relationships and new prospects. The Receivables and Order Management applications use more of the customer accounts including payment terms, billing, and shipping information. The party model contains a unique set of information about a person, organization, or relationship. The tables store information such as parties, addresses, and bank accounts. You are able to interact with the party model through the following: Customer forms: Online entry and query of party and customer account information. Party interface: Batch load of party information.

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Manage Parties and Customer Accounts Chapter 7 - Page 5

Party and customer account merge: Merge parties and customer accounts. This functionality is used after entering a party incorrectly, in duplicate, or due to a business consolidation.

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Manage Parties and Customer Accounts Chapter 7 - Page 6

Party Model

Party Model
Location Contact Point Party site Parties Organization Person Party relationship type Party relationship

Party role in relationship Party relationship Party relationship site

Party Model A party is an entity that can enter into business relationships. A party is defined by information about that party, not its relationships. For example, the name Vision Corporation is part of the definition of a party with the Organization party type. A relationship is defined by the characteristics or terms and conditions of that relationship. For example, the attribute Marital Status is part of the definition of the Spouse of relationship. The definition of a party is independent of its relationships. For example, a party, John Smith, with the Person party type exists independent of any relationship entered by John Smith. A party site links a party with a location, indicating that partys usage of the location. This location can be a customer account site which would be used within the context of a customer account for business purposes like billing and shipping. A location is a point in geographical space described by a street address. A party relationship is a binary relationship between two parties like a partnership. A contact point is means of contacting a party. For example, a phone number, e-mail address, or fax number.

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Manage Parties and Customer Accounts Chapter 7 - Page 7

Party Model and Relationships

Party Model and Relationships

Models inter and intra company relationships Supports party defined relationships
Phone Company * Marla (Customer)

Employee of Business World

Spouse of John (Customer)

Related to Digital Image Corporation

* Company implementing E-Business Suite

Party Model and Relationships The party model has tables that store party information about people or organizations and any relationships between these parties. A party is anything that can enter into a business relationship with another party. The party can be an organization, a person or a relationship. This allows you to store information about your relationships in one representation of people and businesses. The party registry stores information about relationships between parties, such as: Organizational hierarchies Business relationships Personal relationships Organization contacts In addition to the original relationship, the party registry stores the reciprocating data for the relationship for example: Marla is a Customer of the Phone Company. Relationship information about Marla:

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Manage Parties and Customer Accounts Chapter 7 - Page 8

Marla is an Employee of Business World. The Business World record also indicates it is an Employer of Marla (Business Relationship) Marla is the Spouse of John. Johns record indicates he is the Spouse of Marla. (Personal Relationship) Marla is Related to Digital Image Corporation. Digital Images record indicates it is Related to Marla.

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Manage Parties and Customer Accounts Chapter 7 - Page 9

Party Model Components

Party Model Components

Data model: Tables and attributes for modeling parties Backwards-compatible views: Other Oracle Applications see the new party model as an Oracle Applications Release 11 data model. PL/SQL APIs: Allows developers to use common business logic to update the party master. Customer account forms, open interface, and merge function work with the new party model.

Party Model Components The party model in Release 11i allows you to enter a party as an organization or person and then create party relationships. In Release 11 the party definition was simply defined as a customer and the party relationship as a party could not be defined.

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Manage Parties and Customer Accounts Chapter 7 - Page 10

Managing Parties

Managing Parties

Create customer account profile classes

Enter party information

Assign profile classes to customer account

Review party information

Eliminate duplicate information

Create relationships

Managing parties When managing parties, you can: Create customer account profile classes Assign profile classes to customer accounts Create and maintain party information Define relationships between parties and between customer accounts. (Both reciprocal and non-reciprocal) Merge parties and customer account information Review party and customer account information online and in reports

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Manage Parties and Customer Accounts Chapter 7 - Page 11

Party Sites

Party Sites
Allow multiple organizations or parties to do business at one location. Are global (not specific to operating units). Allow you to perform address validation using Vertex or TaxWare information. Have flexible address formatting with seeded and custom formats.

Party Sites Party sites are global but do not default in under different operating units. They are visible under the original operating unit in which they were entered. To access them from other operating units, you would query for that customer under the Site Number field and pick that site from the list. After this is done, the address information will be available and can be shared under the same site number.

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Manage Parties and Customer Accounts Chapter 7 - Page 12

Customer Accounts

Customer Accounts
Attributes at party registry level: Name Street address Taxpayer Identification Industrial classifications DUNS number (D & B) Parent/subsidiary relationships External credit ratings

Big H Denver, Colorado

customer account #A-123

customer account #B-123

Attributes at customer account level: Payment terms Shipping preferences Billing preferences Internal credit rating

Customer Accounts Information held in the registry level is universally true. It is independent of relationships. Information held in the customer account level is about your business relationship. It is for items like payment terms and billing preferences. The financial rollup point is an account. It tracks the monetary portion of a partys purchases and payments. Party information is separate from the information about the relationships of the party. The party model separates information about the organization or person party from the terms of the relationship. Additionally, the party model allows you to establish multiple relationships (also known as party accounts) with the same organization or person party . Addresses work in a similar fashion. You record an address for an organization or person once, then reference it within the customer account layer, through the customer account site entity.

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Manage Parties and Customer Accounts Chapter 7 - Page 13

Integrating Party Information

Integrating Party Information

Oracle Order Management Owned by Oracle Receivables Shared with Oracle Projects Trading Community Architecture (TCA)

Oracle CRM suite

Integrating Party Information You can enter party information directly into Oracle Applications, or import it through interface tables. Party information is shared throughout the E-Business Suite. The tables for the Customer Master, however, are owned by the Trading Community Architecture. In the ERP, specifically Receivables and Order Management, the terms Customer and Customer Number are used. In the Customer Relationship Management Suite (CRM) the terms used are Account and Account Id. Even though different terms are used, they are linked to the same record in the table.

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Manage Parties and Customer Accounts Chapter 7 - Page 14

Agenda

Agenda

Describing Party Model and Features Using Profile Classes Entering Party Information Defining Customer Account Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 15

Profile Classes

Profile Classes

Poor Credit

Cash on Delivery 20,000 Credit Limit Monthly Statements Net 30 100,000 Credit Limit Monthly Statements Net 90 No Credit Check Quarterly Statements

Good Credit

Excellent Credit

Profile Classes Receivables, Vision Operations (USA) or Order Management Super User, Visions Operations (USA) (N) Customers > Profile Classes You can use profile classes to describe and group customer accounts that share similar characteristics. You can create as many profile classes as you need for your business. Profile classes allow you to enter new customer account information quickly and consistently. Oracle delivers a seeded profile class called Default. The customer account processing function assigns a new account to the Default profile class. This profile class can be changed during data entry on the customer account record in the Customer form on the Classification Tab prior to saving the record. Post saving, the information can be updated in the Profile Transactions Tab at either the account header or at the site level.

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Manage Parties and Customer Accounts Chapter 7 - Page 16

Profile Class Characteristics

Profile Class Characteristics

Credit/ Collections

Invoices and Statements

Payment promptness

Credit check Collector Payment application Dunning letters Finance charges

Invoice line and tax printing Statement cycle Consolidated invoices

Payment terms Discounts Grace days

Profile Class Characteristics Every customer account must be assigned to a profile class. A profile class defines several default values for customer accounts with similar credit terms and invoicing requirements. After an account has been created, the default values can be modified based on the specific characteristics of that customer account or account site. For example, you may want to create a profile class for small manufacturers, called Small MFG. Customer accounts assigned to this profile class might require credit checks before orders will be fulfilled, given Net 30 payment terms, and receive quarterly statements. When creating a specific new customer account, you could assign that account to the Small MFG profile class. If the customer account develops credit problems in the future, you might then modify that accounts payment terms to Cash On Delivery. Within the Order to Cash process flow, the applications involved use the credit checking feature differently. Credit checking is not used in Receivables. Order Management (OM) does utilize credit checking. OM determines which rules (usually defined by receivables personnel) are used, and when they will be applied via the OM Transaction Type on a sales order.

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Manage Parties and Customer Accounts Chapter 7 - Page 17

Guided Demostration - Create a Profile Class

In this demonstration you will see how to create a customer account profile class.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Customers > Profile Classes 1. Enter the following values to create a new profile class Name: Demo-New Description: Demo Customer Profile (T) Profile Class Collector: Pat Credit Check: Checked Payment Terms: 30 Net Allow Discount: Checked Receipt Grace Days: 3 Finance Charge: Unchecked Match Receipts by: Sales Order Send Statement: Checked Cycle: Monthly Send Letters: Unchecked (T) Profile Class Amounts Currency: USD Credit Limit: 60,000 Order Credit Limit: 30,000 (I) Save

2.

3.

4.

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Manage Parties and Customer Accounts Chapter 7 - Page 18

Practice - Create a Profile Class

Overview
In this practice you will create a new profile class.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use the Order Management Super User, Vision Operations (USA) responsibility.

Tasks
Create a new profile class. This New profile class will be assigned to the Collector Jamie. The customers that will be in this grouping are not be allowed to use a discount after the discount period has passed, nor will they have a grace period for those terms. Most customers will be required to pay for their goods and services within 30 days. By default, credit checking should occur for sales orders from these customers. We will be using a Sales Order to match our receipts and using the Invoice Match rule set for any cash left over from applying our Standard AutoCash Rule set during receipt application. To ensure that our customers who have a $100,000 credit limit with a $10,000 single order limit know their outstanding transactions, we will be sending them statements monthly.

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Manage Parties and Customer Accounts Chapter 7 - Page 19

Solution - Create a Profile Class

Create a new profile class 1. Open the profile class window. 2. (N) Trading Community > Trading Community > Customers > Profile Class

(T) Profile Class Name: XX-New Description: New Customer Credit Profile Status: Active Collector: Any collector from LOV Tolerance: zero (0) Credit Check: Checked Payment Terms: 30 Net (LOV) Override Terms: Unchecked Allow Discount: Unchecked Receipt Grace Days: Zero (0) Match Receipts by: Sales Order (LOV). Auto Cash Rule Set: Standard (LOV) Remainder Rule Set: Invoice Match (LOV). Charge Interest: Unchecked Send Statement: Checked Send Credit Balance: Checked Cycle: Monthly Leave remaining checkboxes unchecked.

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Manage Parties and Customer Accounts Chapter 7 - Page 20

3.

(T) Profile Class Currency: USD Credit Limit: 100,000.00 Order Credit Limit: 10,000.00

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Manage Parties and Customer Accounts Chapter 7 - Page 21

4.

(I) Save.

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Manage Parties and Customer Accounts Chapter 7 - Page 22

Managing Customer Account Profiles

Managing Customer Account Profiles

Poor Credit

Cash on Delivery 20,000 Credit Limit Monthly Statements Net 30 100,000 Credit Limit Monthly Statements Net 90 No Credit Check Quarterly Statements

Good Credit

Excellent Credit

Managing Customer Account Profiles You can move a customer account from one profile class to another whenever it is deemed necessary. To change the profile class, find the account and then select the new profile class from the list of values under the Profile Transactions tab in the Customer window. You can also assign profile classes at the site level of the customer if there is a saved, and active Bill-To business purpose. You can change one or more attributes of a profile class for a specific customer account. This is called customizing the account profile class. It does not change any of the profile class attributes for other customer accounts that share the same profile class.

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Manage Parties and Customer Accounts Chapter 7 - Page 23

Updating Profile Classes

Updating Profile Classes

There are three options after making a change to a profile class: Do not update existing profiles Update all profiles Update all non-customized profiles

Net 60 250,000 Credit Limit Monthly Statements Good Credit

Updating Profile Classes You can modify attributes in existing profile classes even after customer accounts are assigned to them. However, when you try to save your changes to any saved profile class, you must decide how you want the change to be applied. You can choose one of these three options: Do Not Update Existing Profiles: Only the profiles of new customer accounts created in the future will reflect the changes. Update All Profiles: The attribute is updated in all customer accounts that use this profile. Update All Non-customized Profiles: Profile classes set the default values initially assigned to individual customer account profiles. If an attribute in an individual party profile was customized to be different from its profile class, changes to the value of a profile class attribute do not change the customized value of the attribute in the individual customer account profile.

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Manage Parties and Customer Accounts Chapter 7 - Page 24

Reviewing Profile Class Changes

Reviewing Profile Class Changes

All profiles updated

Non-customized profiles updated

Concurrent Program: Customer Profile Copy

Reviewing Profile Class Changes When changes to a profile class cause changes to customer account profiles, Receivables automatically generates the Customer Profile Copy concurrent program to review the changes. This is an auditing report that summarizes all the changes made to the profile class.

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Manage Parties and Customer Accounts Chapter 7 - Page 25

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Customer Account Relationships Merging Parties and Customer Accounts Review Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 26

Data Quality Management Overview

Data Quality Management Overview

The DQM features in the Customers Workbench lets you: Perform advanced searches for parties and customer accounts with userdefined criteria in the Search Criteria window. Prevent duplicate entries by determining if the customer account that you are creating or updating is a potential duplicate of any existing account.

Data Quality Management Overview Oracle Trading Community Architecture (TCA) Data Quality Management (DQM) provides functionality to keep party and customer account information free of duplicates as well as to perform powerful searches on that information. DQM must be set up to enable these features in the Customers Workbench. For example, if DQM is not set up, the Find/Enter Customers window appears instead of the Search Criteria window.

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Manage Parties and Customer Accounts Chapter 7 - Page 27

Fuzzy Search

Fuzzy Search

Fuzzy search uses word replacement to widen the scope of a search by using data comparable to the user-entered search criteria. In the Customer Find/Enter window you can do a fuzzy search for example on:
Person First or Last Name Organization Name Address Contact First or Last Name

Fuzzy Search The fuzzy search method uses word replacement rules to map a word, abbreviation, or special character that might be entered by a user as a search criteria to a similar word, abbreviation, or special character. For example, if a user might enter "Blvd" as a search criteria for an address search, you could create a Word Replacement rule to retrieve records that contain "Boulevard". In the Word Replacement rule, "Blvd" is referred to as the Original word and "Boulevard" is the Replacement word. Over 3,000 Original and Replacement word pairs are seeded for use with the fuzzy search method. To ensure the accuracy of the first fuzzy search that any user performs, you must create the keys that link the Original and Replacement words by running the Generate Key for Fuzzy Search concurrent program. In the customer find/enter window you can do a fuzzy search and get the following results: Person first name, enter Jim to find James Organization name, enter AT and T to find AT&T Address, enter St to find Street
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Manage Parties and Customer Accounts Chapter 7 - Page 28

Query Word Replacement

Query Word Replacement

Expands the range of possible matches to a query: Word: Characters with whitespace before and after Original word: As entered by a user Replacement word: Used as part of the search criteria
Original Word Ave Bob Robbie Replacement Word Avenue Robert Robert

Word Replacement Trading Community Manager (N) > Setup > Word Replacements To use the fuzzy search method you must create Word Replacement Rules in the Word Replacements window. The steps for a search are: Select the Type of word to be replaced. Enter a word, word fragment, character, or abbreviation that a user might enter as a search criteria in the Original Word column. In the Replacement Word column enter text that equates to the Original Word entry. Save the record. In the Generate Keys region, select Name or Address from the list of values for the Table field in the Generate Keys region. Select the New Rows Only check box if you only want to generate keys for new customer records. Click the Generate Keys button to run a concurrent program which generates the fuzzy keys used by the fuzzy search method.
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Manage Parties and Customer Accounts Chapter 7 - Page 29

Entry Methods

Entry Methods

Import from other systems

Enter complete details

Enter limited information

Customer interface

Standard entry

Quick entry

Enter a new customer directly from the Sales Order window

Entry Methods Customer Interface The Customer Interface allows you to import and validate current or historical customer information from other systems into the E-Business Suite. Standard Entry Enter detailed party/customer account information, assign an address location code, select a primary Bill-To, select a primary Ship-To, and link a Ship-To business purpose with a Bill-To business purpose. Quick Entry The quick entry method allows you to quickly select the business purposes for an address by using check boxes. However, you do not have the ability to specify a location code, select a business purpose as a primary Bill-To or a primary Ship-To, or link a Ship-To with a Bill-To. You can add these features later for this party by using the Standard Customer form. Sales Order form You may also enter a new customer directly from the Sales Order screen.

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Manage Parties and Customer Accounts Chapter 7 - Page 30

Business Issues

Business Issues
CORP corp Corporation Naming Conventions

Automatic or Manual Numbering

Classifications for Pricing and Reporting

Payment of Unrelated Invoices

Bill To Ship To

Bill To Ship To

Bill To Ship To Ship To

Centralized or Decentralized Address Structures

Business Issues Before Entering Party and Customer Account Information: Specify naming conventions such as capitalization and abbreviations. Determine the usage of Automatic Numbering. The Automatic Customer Numbering and Site Numbering system options and the Automatic Contact Numbering profile options selections automatically number parties, site location codes, and contacts; or select the manual numbering option. Define how to use classifications to group customers for pricing functionality like using qualifiers and for reporting purposes. Classifications include: Customer Class, Customer Type, Sales Channel, Category, and SIC. Consider if Use the Allow Payment of Unrelated Invoices system option to permit payment of unrelated customers invoices is appropriate. Decide how to set up decentralized parties with multiple sites: as one party with multiple sites, or as multiple customers each with one site.

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Manage Parties and Customer Accounts Chapter 7 - Page 31

Business Purposes

Business Purposes

Each address can have multiple business purposes.

Ship-to site Bill-to site

Ship-to site Marketing

Statements Dunning Legal

Business Purposes Consider these issues before you set up multiple business purposes: You must have a valid address for use during transaction entry in Order Management and Receivables. Only one site can be designated as the primary site for each business purpose. If there are multiple business purposes you are able to have multiple primary designations. If you designate a primary site for Bill-To or Ship-To, it will default into a transaction automatically. However, you can select a different site from the list of values. These are standard business purposes: Bill-to Invoices are sent here for payment. Ship-to Where the goods are shipped. Dunning Dunning letters are sent to this location. Legal The legal location, which serves as the government point of contact. Statements Statements are sent to this location. Marketing Marketing literature such as product announcements are sent here.

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Manage Parties and Customer Accounts Chapter 7 - Page 32

Multiple Sites and Business Purposes: Centralized Example

Multiple Sites and Business Purposes: Centralized Example

ABC, Inc. is completely centralized, and its headquarters handles all payment procedures.

New York Headquarters Bill-to Statements Dunning

Paris Ship-to Marketing

Washington, D.C. Ship-to

Chicago Ship-to

Multiple Sites and Business Purposes: Centralized Example In this example, ABC Companys Headquarters is in New York, and all billing information will be received there. Products will be shipped to the Paris, Washington, and Chicago customer account sites.

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Manage Parties and Customer Accounts Chapter 7 - Page 33

Multiple Sites and Business Purposes: Decentralized Example

Multiple Sites and Business Purposes: Decentralized Example

XYZ, Inc. is completely decentralized, and each site handles its own payment procedures.

New York Headquarters Ship-to Bill-to Statements Dunning

Washington, D.C. Paris Ship-to Ship-to Bill-to Bill-to Statements Statements Dunning Dunning Marketing

Chicago Ship-to Bill-to Statements Dunning

Multiple Sites and Business Purposes: Decentralized Example In this example, all locations have the ability to pay the invoices for the goods they received. Each site has a Bill-To and Ship-To business purpose established for its site. We would recommend each of these to be a separate party.

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Manage Parties and Customer Accounts Chapter 7 - Page 34

Interface Data Entry

Interface Data Entry

External Databases

Temporary Interface Tables

Oracle Receivables Customer Tables

Correct errors with SQL*Plus

Customer Interface Execution Report

Interface Data Entry Receivables, Vision Operations (USA) (N) Interfaces > Customer When importing party information from external databases, the data flows into temporary interface tables, then on to Oracle master tables within the Receivables module. A report can be run to view this interface from the external database. Any errors can be corrected with PL/SQL within the temporary tables. Importing Customer Data All Customer data that you enter in the customers windows can be imported using the customer interface. Import profile class information such as payment terms, statement, automatic receipt, finance charge, dunning, and invoicing information. Updating Data If data is maintained in an external system, use the interface to update the information at regular intervals. Preparation for Import
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Manage Parties and Customer Accounts Chapter 7 - Page 35

Prior to running the Customer Interface it is important to prepare the environment to accept the new data you wish to import. In some cases imported data will have values that may have not been defined during earlier setups. Examples of information that can be imported to the Customer record include: Collectors, Customer Bank Information, Dunning Letter Sets, Freight Carriers, Payment Terms and Lookups. For a complete listing see the Receivables Users Guide. As the Customer Interface will not create these records, it is important to pre-define theses elements for the import process to run smoothly. Note: The Customer Interface will not create location combinations for foreign locations. A foreign location is one where the country segment is not the same as the Default Country from the Receivables System Options window.

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Manage Parties and Customer Accounts Chapter 7 - Page 36

Using Standard and Quick Entry

Using Standard and Quick Entry

Organization/Person *

Classification

Telephone numbers

Addresses

Contacts

Marketing

Profile class

Bank accounts

Payment method Business purpose

Relationships

* When using ERP forms to create an Organization/Person A Party is automatically created.

Using Standard and Quick Entry Receivables, Vision Operations (USA) or Order Management Super User, Vision Operations (USA) (N) Customers > Standard (N) Customers > Quick The attributes above can be set at the Customer header record to default to all customer sites.

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Manage Parties and Customer Accounts Chapter 7 - Page 37

Using Standard and Quick Entry

Using Standard and Quick Entry

Addresses

Telephone numbers

Payment method Business Contacts purpose

Characteristics Profile class

Bank accounts Accounting

Details

Order Management information

Using Standard and Quick Entry Linking Bill-to and Ship-to Locations: A Ship-To address can have an associated Bill-To address. The associated Bill-To address becomes the default during invoice entry when the Shipto location is selected. You are able to select the checkbox Identifying an Address for a party Business Purpose The Location attribute in the Business Purposes tabbed region of the customer account addresses window, provides a simple way to name or identify an address. This location value is used in transaction entry, receipts entry, create/approve/ confirm automatic receipts and remittances, orders, and returns windows. It is also the first value that will appear in the list of values on these documents. To have Oracle automatically number locations, you can use the Automatic Site Numbering system option. If you select the system option check box, TCA will uniquely number all the customer account locations.

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Manage Parties and Customer Accounts Chapter 7 - Page 38

Guided Demostration - Enter a Standard Customer

In this demonstration you will see how to enter a customer using the forms user interface.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Customers > Standard Note: Prior to this demonstration remember to turn off Automatic Site Numbering in the System Options window. 1. (T) Advanced. Name: Demo-Big City (B) Find (B) New (T) Classification. Profile Class: Demo-New Type: External Class: High Technology (T) Order Management. Price List: Corporate Freight Terms: Prepaid Warehouse: Seattle Manufacturing (T) Addresses. (B) New Country: United States Address: 411 College Drive City: New York State: NY Postal Code: 10013 (T) Business Purpose.

2.

3.

4.

5.

Usage Ship To Bill To AP

Location Plant 1

Bill To

Primary Checked Checked

6. 7.

(B) Open. (T) Details.

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Manage Parties and Customer Accounts Chapter 7 - Page 39

 Salesperson: Abbott, Rachel 8. (T) Order Management. Order Type: Mixed FOB: Customer Site Close the Business Purpose window and the Address window. (B) New and create a second address. Country: United States Address: 345 Second Lane City: Chicago State: IL Postal Code: 60601

9. 10.

11. (T) Business Purpose.

Usage Ship To Marketing

Location Plant 2 Office

Bill To

Primary

12. (I) Save.

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Manage Parties and Customer Accounts Chapter 7 - Page 40

Practice - Enter a Standard Customer

Overview
In this practice you will enter a new customer in the customer standard form.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use the Order Management Super User, Vision Operations (USA) responsibility. You have completed the Create New Customer Profile Class practice in this lesson.

Tasks
1. Enter a standard customer. Big City is a new High Technology customer for your company. As they have vetted by the credit team for new customer credit, they should receive the New profile class. The sales team has determined they are a commercial client who should be initially using the Corporate price list. Eventually they will be given a specialized price list, but we do not want to discourage any purchases until the pricing team has finished their work. Big City has one main shipping and billing address in the United States: 222 W. Las Colinas Blvd, San Mateo, CA, 94401. They do have other addresses, but this is the only facility we will be working with initially. Whenever we ship to this address, we should also be sending the invoice to this location. Rachel Abbott, our salesperson responsible for this account has indicated on your customer data sheet that the materials they will be ordering are most likely to come from our Seattle Manufacturing Plant and they will be required to pay for their goods in 30 days. Rachel has also indicated that they may ask to place sales and return lines on the same order document, therefore the Mixed Order Type will be most appropriate for their transactions. Big City will be prepaying for their freight and will take ownership of the goods only when it reaches their loading dock.

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Manage Parties and Customer Accounts Chapter 7 - Page 41

Solution - Enter a Standard Customer

Enter a Standard Customer 1. 2. (N) Trading Community > Trading Community > Customers > Standard. (T) Advanced. Name: XX-Big City (where XX is your initials) [B] Find [B] New

3.

(T) Classification. Profile Class: XX-New Type: External Class: High Technology Category: High Technology Sales Channel: Commercial

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Manage Parties and Customer Accounts Chapter 7 - Page 42

4.

(T) Order Management. Price List: Corporate

5.

(T) Addresses [B] New Country: United States

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Manage Parties and Customer Accounts Chapter 7 - Page 43

Address: 222 W Las Colinas Blvd City: San Mateo State: CA Postal Code: 94401

(T) Business Purposes

Usage Bill To Ship To AP

Location Dock 4 AP

Bill To

Primary Checked Checked

7.

(I) Save after entering Bill To to be able to add it to the Ship To.

8.

(B) Open, (T) Details. Payment Terms: 30 Net Salesperson: Abbott, Rachel

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Manage Parties and Customer Accounts Chapter 7 - Page 44

9.

(T) Order Management. Order Type: Freight Terms: FOB: Warehouse:

Mixed Prepaid Customer Site Seattle

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Manage Parties and Customer Accounts Chapter 7 - Page 45

10. Save and Close form.

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Manage Parties and Customer Accounts Chapter 7 - Page 46

Differences Between Standard and Quick Entry

Differences Between Standard and Quick Entry

Function
Use a check box to assign business purposes quickly to an address Bill-to and Ship-to can be linked Identify business purpose as primary Location code can be named Ability to update Business Purpose Tabs

Standard

Quick

Note: You are able to update information entered via the Quick Customer Entry form using the Standard Customer Entry form. The data entered via either form updates the same tables. The constraints are based upon the form, not the data.

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Manage Parties and Customer Accounts Chapter 7 - Page 47

Guided Demonstration - Enter a Quick Customer

This demonstration will show you how to create a new customer, using the Quick Customer entry window.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Customers > Quick 1. (T) Basic Name: Demo-Quick (B) Find (B) New (T) Classification Class: High Technology (T) Order Management Price List: Corporate (T) Addresses (B) New Country: United States Address: 711 Quick Drive City: New York State: NY Postal Code: 10013 (I) Save

2. 3. 4.

5.

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Manage Parties and Customer Accounts Chapter 7 - Page 48

Practice - Enter a Quick Customer

Overview
In this practice you will enter a new customer in the customer quick form.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use the Order Management Super User, Vision Operations (USA) responsibility. You have completed the Create Customer Profile Class practice in this lesson

Tasks
1. Enter a quick customer. Quick is a new customer for your company. They are so new, they have not yet been entered into your customer master file. By entering basic information we will allow them to create a sales order today. Quick has a billing and shipping facility in the United States at: 111 Quick Drive, Chicago, IL 60601.

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Manage Parties and Customer Accounts Chapter 7 - Page 49

Solution - Enter a Quick Customer

Enter a Quick Customer 1. 2. (N) Trading Community > Trading Community > Customers > Quick (T) Basic Name: XX-Quick (where XX is your initials) [B] Find [B] New (T) Addresses [B] New Country: United States Address: 111 Quick Drive City: Chicago State: IL Postal Code: 60601 (T) Business Purpose Bill-to: Radial (B) is selected Ship-to: Radial (B) is selected Marketing: Unselect Radial (B) (I) Save and close form.

3.

4.

5.

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Manage Parties and Customer Accounts Chapter 7 - Page 50

Copyright Oracle Corporation, 2003. All rights reserved.

Manage Parties and Customer Accounts Chapter 7 - Page 51

Dun & Bradstreet (D&B) Integration

Dun & Bradstreet (D&B) Integration

Search the D&B database for information about businesses, including proprietorships. Request investigations of businesses not in the D&B database. Purchase standard data sets or a standard report image. Request initial or updated data sets and reports over the Internet.
Online for a single business Batch process for multiple businesses

Compare D&B data and user-entered data

Dun & Bradstreet (D&B) Integration The integration of Dun & Bradstreet (D&B) data products with Oracle Applications provides on-line and batch processes that you can use to acquire and review customers demographic, corporate relationship, financial, and credit risk data. You can search for and purchase D&B information on specific companies from D&Bs database of more than 60 million businesses worldwide. The information obtained from D&B can be updated or expanded during future online sessions or by using the batch loading process.

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Manage Parties and Customer Accounts Chapter 7 - Page 52

D&B Data Formats

D&B Data Formats

Global Data Product (GDP) files provide a range of data sets that can include:
Unique, location-based DUNS number. Location and contact information. D&B proprietary credit evaluations. Detail financial, organizational, and legal information.

Business Information Report (BIR) provides a static image of the standard BIR print format.

D&B Data Formats The D&B data is available in the form of Global Data Products (GDP) files and BIR reports that contain a wide variety of data elements. For example, the Enterprise Management GDP provides detailed demographic, corporate structure, risk, and financial information for integration with Oracle Applications. These D&B data files contain data elements you can use to improve risk assessment procedures, make better informed credit decisions, and improve customer acquisition and retention. Enterprise Management includes the most complete set of data, scores, and ratings available about your trading community. The Business Information Report (BIR) provides many of the data elements from the D&B database in a standard format. You can order a BIR, store an image of the report in your database, and view the report whenever necessary. The BIR is stored in the Organization Profiles table, so that historical information about BIRS can be maintained.

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Manage Parties and Customer Accounts Chapter 7 - Page 53

D&B Online

D&B Online

Query your database to determine if it already contains D&B data for a party. Decide if the D&B data in your database is sufficient and current. Query the D&B database to determine if data for the requested business is available from D&B. Request investigation of business, if data is not available from D&B database. Request download of data or BIR, if data is available from D&B database.

D&B Online Information can be purchased and retrieved from D&B for parties (organizations or persons) that are prospects or that have an existing account. When you obtain D&B information about a company that does not exist in your database, a new party is created using the D&B data. To obtain D&B information for a party you may follow one of several scenarios: If the party already exists, you can purchase D&B data to initially acquire or to update the D&B data for the existing party. If the appropriate party does not exist in your records, you can search the D&B database to determine if data about the business is available in the D&B database. If data is available from D&B for the new party, you can purchase that data from D&B. Purchasing the data from D&B will automatically create a new party for you. If data is not available from D&B for the new party, you can order an investigation from D&B to gather the necessary data or you can manually create a new party using data you have acquired from other sources.

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Manage Parties and Customer Accounts Chapter 7 - Page 54

D&B Batch Loading

D&B Batch Loading

The batch process includes five steps:
D&B Generate list of parties Transfer request list Receive formatted file from D&B to D&B

Run the Load D&B Data program

Run SQL*Loader

D&B Batch Loading When you need to update a few parties or to investigate significant changes for one party, you should use the online method to purchase and retrieve D&B information. Individual users can efficiently search for and retrieve a partys D&B data online over the Internet. If the D&B data for a large number of parties must be updated on a regular schedule or even occasionally, batch loading would be the more efficient method. You can update all parties, gather data only for new parties, or update parties that have not been updated since a specified date. Batch retrieval and loading of D&B data is usually a regularly scheduled, automated process set up and run by your Oracle Applications system administrator.

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Manage Parties and Customer Accounts Chapter 7 - Page 55

Data Quality Management (DQM)

Data Quality Management (DQM)

DQM lets you: Search your party information for possible duplicates or matches to your input values. Apply threshold scores or filter conditions to evaluate the results of a search. Identify existing duplicate entries in the TCA party registry. Prevent the entry of duplicates into the TCA party registry.

Data Quality Management (DQM) Many applications in Oracles E-Business Suite contribute data to the Trading Community Architecture (TCA) registry about parties, addresses, contacts, and contact points. Each application must also efficiently and consistently retrieve data for use in transaction processing. Duplicate records reduce the efficiency of transaction processing and the effectiveness of business intelligence tools and procedures.

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Manage Parties and Customer Accounts Chapter 7 - Page 56

How Does DQM Work?

How Does DQM Work?

TCA Registry

Cleanse & Standardize

Staged Schemas

Input Record

Cleanse

Apply Match Rule

Potential Matches

How Does DQM Work? The DQM process requires a few steps to acquire data into a staged schema and then evaluate the party information for duplicates or matches. Party data is stored in the TCA Registry. DQM cleanses and standardizes the data using a set of transformation functions. The cleansed data is stored in the staged schema. Input records enter the process from online search or duplicate identification processes. DQM cleanses the input records using the transformation functions in the highly configurable match rules. DQM compares the cleansed input records to the information in the staged schema using the match rule and calculates a matching score. The result of the comparison performed by DQM is a list of potential matches and their calculated scores. For more information on DQM refer to the Data Quality Management Advanced Topic.

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Manage Parties and Customer Accounts Chapter 7 - Page 57

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Customer Account Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 58

Customer Account Relationships

Customer Account Relationships

Parent

Parent

Parent

Child

Reciprocal

Nonreciprocal

A B

B A C C

Customer Account Relationships Receivables, Vision Operations (USA) (N) Customers > Quick or Standard (T) Relationships Relationships exist between two customers and can be reciprocal or nonreciprocal. They allow the following: Payment of related invoices. Sharing of pricing entitlements (Agreements and Commitments). Consolidation of business addresses (Selection of a related customers ship-to address during order entry). Relationships are not transitive: If customer A is related to B and B is related to C, A and C are not related. You must build the A to C relationship separately. Under System Options you can select the check box Allow Payment of Unrelated Transactions if you want to permit application of funds from one party to another unrelated party. If you do not select this check box, a customer account relationship must be set up to apply payments from one account to another.

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Manage Parties and Customer Accounts Chapter 7 - Page 59

Guided Demonstration - Create Customer Relationships

Order to Cash Fundamentals D11435GC20

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Manage Parties and Customer Accounts Chapter 7 - Page 60

Guided Demonstration - Create Customer Relationships

In this demonstration you will learn how to create customer account relationships.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Customers > Standard 1. (T) Basic Name: Demo-Quick (B) Find Place your cursor on the line with a customer number [not just the party number] (B) OK (T) Relationships

2.

Name Demo-Big City Hilman and Associates

Number Defaults Defaults (1004)

Active Checked Checked

Reciprocal Checked Unchecked

Type Reciprocal Parent

Comment

3.

(I) Save.

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Manage Parties and Customer Accounts Chapter 7 - Page 61

Practice - Create Customer Relationships

Overview
In this practice you will create customer relationships.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use the Order Management Super User, Vision Operations (USA) responsibility. You must have completed the Create New Customer practice in this lesson.

Tasks
Create customer relationships. It has come to your attention that three of your customer accounts have relationships that you need to address within the E-Business Suite. XX-Big City and Business World (1608) have identified they are in a partnership [brother-sister] that allows either account to pay the bills for transaction created. Hilman and Associates (1004) and XX-Big City are in a parent-child type relationship whereby Hilman is the parent of XX-Big City.

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Manage Parties and Customer Accounts Chapter 7 - Page 62

Solution - Create Customer Relationships

Create Customer Relationships 1. Navigate to the Customers window (N) Trading Community > Trading Community > Customers > Standard.

2. Find XX-Big City Name: XX-Big City (B) Find

3. (T) Relationships. 4. Create appropriate relationships Name Number

Business World Hilman and Associates Assigned Assigned

Active
Checked Checked

Reciprocal
Checked Unchecked

Type
Reciprocal Parent

5. (I) Save

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Manage Parties and Customer Accounts Chapter 7 - Page 63

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Customer Account Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 64

Merge Parties or Customer Accounts

Merge Parties or Customer Accounts

AT&T

American Telephone

AT&T

Montreal

London

Merge parties or customer accounts to: Eliminate incorrect data and duplicate information Consolidate site data Reflect party or customer account changes due to business consolidation

Merge Parties or Customer Accounts Receivables, Vision Operations (USA) or Order Management Super User, Vision Operations (USA) (N) Customers > Merge (N) Customers > Party Merge Merging a party is different than merging a customer account. The party is everything under that party. The customer account merge is two accounts under one party. Merging party or customer account information combines all information for two parties, customer accounts, or account sites. You can delete or inactivate the merge-from party, customer account, and account sites. Before merging consider archiving the historical data for the absorbed party, customer account, or account site. Also, consider that the information is being used by the entire e-Business suite and will affect other applications. Merging Incorrect Data The most common reason to merge parties is to clean up data entered in error. For example, data related to an existing party White Place might be entered in error for a new party created as White Corp. You merge the data for these parties to consolidate all the data for White
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Manage Parties and Customer Accounts Chapter 7 - Page 65

Place. Misspellings and the incorrect use of upper and lower case are also common reasons for merging parties. Merging Site Data Another reason to merge party data is the consolidation or relocation of party sites. For example, if a party closes a facility in Milan and moves all activity to an existing facility in Rome, data related to the Milan site will be merged with the data for the Rome site. Note: Because historical reporting will no longer be available for the Milan site, you should carefully consider any merging. Merging Party or Customer Account Data A less common reason to merge party data is when two different parties merge and form a single party. Note: Because historical reporting will no longer be available using the parties prior names, you should carefully consider any merging. When merge processing is complete, Receivables automatically generates a party Merge Execution report which can be printed or reviewed online. After party data has been merged, there are no links between the previous party and its transaction records. These transactions appear as if they had always belonged to the succeeding party. To automatically copy From addresses as To addresses, select Create Same Site.

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Manage Parties and Customer Accounts Chapter 7 - Page 66

Party Merge

Party Merge
Party merge affects all of a partys relationships and related entities, such as customer accounts and their associated transactions. Merge procedures and the affected entities must be registered in the merge dictionary.

Party Merge With the Party Merge feature you can consolidate duplicate parties, integrate an acquired party into another party, or consolidate duplicate party sites of a party in the TCA party registry. The related child entities that get merged or transferred include party relationships, contact information, party profiles, customer accounts, and information obtained from third-party sources. The merging parties are referred to as the merge-from party and the merge-to party, or the source and the target respectively. After the merge-from party is merged into the merge-to party you can delete the merge-from, or source, party. By default the merge-from party is set to a Merged status. You must register party entities and party sites in the Party Merge dictionary. Some Oracle applications, along with their party entities, are automatically registered at installation. Registration specifies the names of the procedures required to merge the entities that interact with the party entities. The Party Merge program uses the information in the Party Merge dictionary to recognize which entities to merge.

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Manage Parties and Customer Accounts Chapter 7 - Page 67

Guided Demonstration - Perform a Customer Merge

In this demonstration you will learn how to merge two parties together. In this merge you will transfer data (including transactions) from one party to another and concurrently delete the record you are moving from.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Customers > Merge Parties 1. Enter batch information for your merge activity: Batch Name: Demo-1 Commit at Batch Level: Checked Delete Merged Records: Checked Enter information regarding which parties to merge in the Party Details region: Party Type: Organization From Party Name: Demo-Quick To Party Name: Demo-Big City Merge Reason: Merger (I) Save (T) Party Sites In the From Site Address field you should see the address you defined for your Quick customer: 711 Quick Road, New York, NY , 10019. The Operation to be performed should default to Transfer. This will allow the system to copy your address information from one party to another. (I) Save (B) Run Batch Wait until concurrent request completes. 8. (M) View > Requests (B) Find

2.

3. 4.

5. 6. 7.

Query the Demo-Quick customer. It should no longer appear as we indicated the merged record should be deleted.

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Manage Parties and Customer Accounts Chapter 7 - Page 68

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Party Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 69

Reviewing Information

Reviewing Information

Review party and customer account data online

Search party and customer account information Query summary or detail levels of information

Generate reports

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Manage Parties and Customer Accounts Chapter 7 - Page 70

Common Search Scenarios

Common Search Scenarios

To.
Find all parties assigned to a profile class Review detailed information about a party View all parties belonging to an SIC code Search by using party name or address Query using the SIC code

Then...
Search by profile class

Common Search Scenarios Receivables, Vision Operations (USA) or Order Management Super User, Vision Operations (USA) (N) Customers > Customers Summary Online Searches It is possible to use the above search scenarios to find customers online and review their details. While using the summary form to view multiple customers, you are able to view the information or export it to a Excel spreadsheet using standard functionality.

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Manage Parties and Customer Accounts Chapter 7 - Page 71

Reports

Reports

Customer Listing Detail/Summary Customer Profiles Report Customer Relationships Listing

Reports Customer Listing Detail/Summary The mode of this report is changed via a report parameter. Use the Detail report to review detail customer information entered for each customer. Use the Summary report to review summary information about your customers. You can view customer name, customer number, status, and any addresses and site uses you entered for your customers. Customer Profiles Report Use this report to review customer profile information assigned to each customer or customer site. You can also review any changes made to your existing customer profiles in the Customer Profile Classes window. If the profile option AR: Sort Customer Reports by Alternate Fields is Yes, Receivables sorts information using the value of the Alternate Name field in the Customers window. Customer Relationship Listing This report lets you review all customer relationships that have been defined. This report includes the name and number of the primary and related customers, whether the relationship is

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Manage Parties and Customer Accounts Chapter 7 - Page 72

reciprocal, and any comments. The report lists all active relationships first followed by the inactive ones.

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Manage Parties and Customer Accounts Chapter 7 - Page 73

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Party Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 74

Required Customer Profile Setup Steps

Required Customer Profile Setup Steps

The following setup steps are required for implementing customer profile classes: Collectors Payment Terms

Required Customer Profile Setup Steps There are several setup steps that must be performed prior to implementing Customer Profile Classes. These required steps will allow you to create a customer profile class that can then be attached to the customer account record.

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Manage Parties and Customer Accounts Chapter 7 - Page 75

Collectors

Collectors
Collectors are used in the following windows: Customers Profile Classes Customers Customer Calls

Collectors Receivables, Vision Operations (USA) (N) Setup > Collections > Collectors Collectors are assigned to a profile class and can be updated on the customer record. When you assign a collector to a profile class, that collector becomes the collector for all customers assigned that profile class. Collector names and telephone numbers can be printed on dunning letters sent to customers. Receivables displays active collectors and their descriptions as list of values choices in the Customers, Customer Profile Classes, and Customer Calls windows. Receivables does not display inactive collectors in the list of values for these windows. You can make an existing collector inactive by unchecking the Active check box and then saving your work. If the collector you want to make inactive is associated with an active customer, Receivables displays a warning message. Receivables provides a predefined collector called DEFAULT.

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Manage Parties and Customer Accounts Chapter 7 - Page 76

Payment Terms

Payment Terms

Payment Schedule

% of Discount Allowed

Last Day of the Month option Credit Check Check box

Payment Terms Payment Terms can be attached to a profile class. The term can then default from the customer this profile class is attached to, onto the Sales Order transaction, where it is a required field. Payment Terms will also factor into Credit Checking in Order Management Transaction processing. For details on Payment term definition, refer to the Oracle Receivables User Guide.

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Manage Parties and Customer Accounts Chapter 7 - Page 77

Optional Customer Profile Setup Steps

Optional Customer Profile Setup Steps

Some setup steps may be helpful to define prior to implementing Customer Profile Classes: Customer Profile Lookups Statement Cycles Dunning Letters and Sets AutoCash Rule Sets Grouping Rules

Optional Customer Profile Setup Steps These setup steps will provide additional information to be placed on the Customer Profile record. While they are not required, it may be helpful to implement these steps prior to creating Customer Profile Classes to avoid the requirement of updating the Customer Profile record with these data later. Customer Profile Lookups Lookups provide list of value selections when in a form. The Customer Profile Lookups include: Account Status, Credit rating for customers, and Customer Credit Risk. Statement Cycles These cycles control when you create customer statements. Dunning Letters and Sets Dunning Letters inform your customers of past due items and finance charges. Receivables provides three predefined letters as well as ten letters that can be personalized. Additionally you can create your own dunning letters. To use dunning letters they must be added to a Dunning Letter Set. These sets combine a sequence of dunning letters into one group. Receivables provides one letter set called STANDARD which includes the three delivered dunning letters.
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Manage Parties and Customer Accounts Chapter 7 - Page 78

AutoCash Rule If you are using AutoCash, define your rule sets before defining system parameters or customer profile classes. AutoCash determines the sequence of application methods Receivables uses when applying receipts imported using AutoLockbox to open debit items. Grouping Rules Grouping rules indicate how to group transaction lines imported by AutoInvoice.

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Manage Parties and Customer Accounts Chapter 7 - Page 79

Required Setup Steps for Customers

Required Setup Steps for Customers

The following setup steps are required for implementing customers: System Options Profile Options Profile Classes

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Manage Parties and Customer Accounts Chapter 7 - Page 80

Profile Options

Profile Options
Some key profile options related to Customers: AR: Change Customer on Transaction AR: Customers Enter Alternate Fields HZ: Bypass Find/Enter Window HZ: Cleanse Fuzzy Key HZ: Display D&B button in Customer form Default Country

Profile Options System Administrator (N) Profile > System There are a number of Profile Options that will affect customer data or the windows used to enter the data. Some of the key profile options are: AR: Change Customer on Transaction: Determines whether to let users update customer names in the Customer windows. AR: Enter Alternate Fields: Controls whether users can enter information in the Alternate Name field in the Customers and Customer Addresses windows. Receivables also uses this information when you choose Customer Name Sort as a parameter when printing certain Receivables reports (for example, the Customer Listing Detail or Summary report). Refer to the AR: Sort Customer Reports by Alternate Fields profile option HZ: Bypass Find/Enter Window:Specifies if users can bypass the Find/Enter window and directly enter the CustomersStandard and CustomersQuick windows. If you set this profile option to No, then the user must navigate through the Find/Enter window each

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Manage Parties and Customer Accounts Chapter 7 - Page 81

time they want to enter new customers in the CustomersStandard and CustomersQuick windows. HZ: Cleanse Fuzzy Key: If set to Yes, allows Receivables to create fuzzy keys by removing all internal and trailing vowels (not leading vowels) and removing all double letters in a word. HZ: Display D&B button in Customer form: Enables the D&B Information button in the CustomersStandard and CustomersQuick windows of Oracle Receivables. Use this profile option only if you enable Dun and Bradstreet integration with Receivables. Default Country: This is the default source for the Country field for all address regions and is used by the Flexible Address Formats feature, the Flexible Bank Structures feature, and the Tax Registration Number and Taxpayer ID validation routines.

There are many more Profile Options that will affect Customers in the Order to Cash process. For a complete listing of profile options, please refer to the Oracle Receivables User Guide.

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Manage Parties and Customer Accounts Chapter 7 - Page 82

Optional Setup Steps for Customers

Optional Setup Steps for Customers

Some setup steps may be helpful to define prior to implementing Customers: Customer Lookups Customer Bank Accounts Payment Methods Flexible Address Style

Optional Customer Setup Steps These setup steps will provide additional information to be placed on the Customer Profile record. While they are not required, it may be helpful to implement these steps prior to creating Customer Profile Classes to avoid the requirement of updating the Customer Profile record with these data later. Customer Lookups Lookups provide list of value selections when in a form. The Customer Lookups include: Address Categories, Country Codes, Business Purposes, Customer Categories, Customer Classes, Free on Board (FOB), Freight Carriers, Language (for language used at customer site), Job Titles, Contact Titles (Mr. and Mrs, etc.), Communication Type, Relationship Type, and State abbreviations. Customer Bank Accounts If you use Receivables, use the Banks window to define your internal banks, which you use for receipts, and external banks, which are your customers banks with which you do business. These customer bank accounts are used for automatic receipts. Payment Methods
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Manage Parties and Customer Accounts Chapter 7 - Page 83

Receivables uses payment methods to account for your receipt entries and applications. Payment methods also determine a customers remittance bank information. This information can be used for transactions from credit card payments to automatic receipts and bank charges. Flexible Address Style To enter customer, supplier, bank, check and remit to addresses in country specific formats, you must set up flexible address formats. This is a multi step process that will allow you to conform to post regulations for the countries you interact with.

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Manage Parties and Customer Accounts Chapter 7 - Page 84

Flexible Address Formatting

Flexible Address Formatting

19 Kew Gardens Road Kew, Surrey TW9 4RW England 29 Long Road Wheaton, IL 60187

Flexible Address Formatting Flexible address formatting allows you to adapt the address style based upon the country the address has been associated with. There are two options when using flexible address formats: Use Predefined Format Customize Address Format Oracle provides five predefined address styles or formats: Japanese, Northern European, Southern European, South American, and United Kingdom/Asia/Australasia. For details on these formats please consult the Receivables Users Guide. While all of the address styles have been defined, none have been associated with a specific country. To Customize Address Formats, you must follow a simple, yet multi step process. Step 1: Setup Flexible Address Format As the address formats are designed in a descriptive flexfield, we will use this functionality to add to the list of available formats. There are several descriptive flexfields that must be updated with a new context sensitive segment to increase the address format options. They are:
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Manage Parties and Customer Accounts Chapter 7 - Page 85

Descriptive Flexfield Displayed Bank Address Banks Remit Address Remitto Address, Customers Payment Address Payment Summary, Payment Overview Site Address Suppliers After creating a context field value, associate segments appropriate for your new address format. Remember to freeze and compile the flexfield. For more information on creating context sensitive descriptive flexfields please refer to the Oracle Application Flexfields Guide. Step 2: Create Address Style Lookup After you have created a new context field value you must now map the context field value name to a new lookup code. Using the Application Developer responsibility navigate to the Special Lookups window. There you will need to enter the following values: Language Code this must match the context field value you created in Step 1 Meaning this should be the description you gave the context field value in Step 1 Do not use start or ending dates for this lookup. Step 3: Assign Style to Country It is necessary to associate the style you created in Step 2 with a country on the Countries and Territories window. You must do this step for all countries you wish to have a associated with a flexible address format, custom defined, or delivered by Oracle. For more detail regarding the flexible address format please refer to the Oracle Receivables User Guide.

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Manage Parties and Customer Accounts Chapter 7 - Page 86

Agenda

Agenda
Describing Party Model and Features Using Profile Classes Entering Party Information Defining Party Relationships Merging Parties and Customer Accounts Reviewing Information Defining setup options Defining TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 87

Oracle Trading Community Architecture

Oracle Trading Community Architecture

Oracle Trading Community Architecture (TCA) Administration provides a single access to the setup and administration functionality for various TCA features.

Oracle Trading Community Architecture The Administration tab is not for implementation, but rather the setup and maintenance of TCA entities, functionalities, or concepts that are used throughout the Oracle E-Business Suite.

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Manage Parties and Customer Accounts Chapter 7 - Page 88

TCA Parties

TCA Parties
TCA is a model for maintaining complex information about the parties and customers who belong to your commercial community, including organizations, locations, and the network of hierarchical relationships among them.

PARTIES

Person

Organization

Group

TCA Registry The TCA Registry is the single source of trading community information for all Oracle EBusiness Suite applications. Administration allows you to control the data in the Registry to best fit your business needs.

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Manage Parties and Customer Accounts Chapter 7 - Page 89

TCA Administration

TCA Administration
Each subtab under the Administration tab contains specific administration functionality:

ADMINISTRATION

Relationships

Data Quality Management (DQM)

Enrichment

Classifications

Security

TCA Administration Subtabs Relationships: Set up the relationship types that can be used to create relationships among entities in the TCA Registry. Classifications: Set up the class categories and codes that can be used to classify entities in the TCA Registry. DQM: Set up Data Quality Management (DQM), which provides powerful search and duplicate identification functionality. Enrichment: Set up Third Party Data Integration to control the usage and display of third party data along with user-entered information in the TCA Registry. You also set up your integration with D&B. Security: Set up data sharing groups and control how specific entities in the TCA Registry can be accessed depending on user and responsibility privileges.

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Manage Parties and Customer Accounts Chapter 7 - Page 90

Using Party Paying Relationships

Using Party Paying Relationships

You can create and manage relationships between parties using Oracle Trading Community Architecture Relationship Manager. The party relationships that you can use in Receivables for various payment-related functions are called party paying relationships, which are transitive.

Party Paying Relationships In Receivables, a party paying relationship is a relationship where all corresponding accounts and transactions that are associated with one party are accessible to another party. For example, if you create a party paying relationship between Business World and Acme Worldwide, then you can select from among both Business World and Acme Worldwide transactions when applying a Business World receipt.

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Manage Parties and Customer Accounts Chapter 7 - Page 91

Using Customer Account Relationships

Using Customer Account Relationships

Customer account relationships also provide this type of access. Customer account relationships, however, build only flat hierarchies that can be difficult to maintain when multiple parties are involved.

Party Paying and Customer Account Relationships With party paying relationships, you can define groups of related parties that are easy to create and maintain in Relationship Manager. You can therefore use this flexibility to efficiently model the complex business relationships within your trading community. Note: Paying parties must have at least one account.

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Manage Parties and Customer Accounts Chapter 7 - Page 92

Party Paying and Customer Account Relationships

Party Paying and Customer Account Relationships

Receivables considers both types of relationships during the following activities: Applying receipts, including:
manual receipts, Mass Apply receipts, QuickCash receipts, and Lockbox receipts

Applying invoices against commitments and bills receivable Adjusting or crediting transactions Entering, on the Transactions workbench, the paying customer for a transaction Creating automatic receipts (via the paying customer that you specified on the Transactions workbench)

Using Party Paying Relationships and Customer Account Relationships Note: In Oracle Order Management's Sales Orders window, you can enter an agreement that you defined for either a selected customer or related customers. Order Management recognizes related customers, however, only if the relationships were built via customer account relationships. If you want to let a party pay for another party's transactions, you do not have to define relationships for each of these. You can simply set the system option Allow Payment of Unrelated Invoices to Yes. You use the Customer Relationships Listing to view a listing of all relationships that exist for a customer.

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Manage Parties and Customer Accounts Chapter 7 - Page 93

Creating Party Paying Relationships

Creating Party Paying Relationships

The relationship type that you use to create a party paying relationship must meet these two requirements: The relationship type must be hierarchical, and the subject and object parties must be of type Organization. The relationship type must be assigned to one of these relationship groups, either:
Pay Within Pay Below

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Manage Parties and Customer Accounts Chapter 7 - Page 94

Pay Within Paying Relationships

Pay Within Paying Relationships

If you assign one phrase of a relationship type to the Pay Within relationship group, then relationships that you create using that relationship type are Pay Within paying relationships. This means that any party within the relationship can pay for the accounts of any other party within the relationship.

Pay Within Paying Relationships The diagram on the following slide illustrates several parties within a Pay Within paying relationship. In this scenario, all accounts of each party in the relationship are available to all other parties in the relationship for receipt application, commitment application, and so on.

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Manage Parties and Customer Accounts Chapter 7 - Page 95

Party Paying Relationships Process Flow

Party Paying Relationships Process Flow

ACME USA ACME Worldwide ACME England

Account Account Account

ACME West

INV INV INV

Account

Party Paying Relationships Process Flow In other words: Acme Worldwide can pay for Acme USA, Acme England and Acme West Acme USA can pay for Acme Worldwide, Acme England, and Acme West Acme England can pay for Acme Worldwide, Acme USA, and Acme West Acme West can pay for Acme Worldwide, Acme USA, and Acme England

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Manage Parties and Customer Accounts Chapter 7 - Page 96

Pay Below Paying Relationships

Pay Below Paying Relationships

If you assign one phrase of a relationship type to the Pay Below relationship group, then relationships that you create using that relationship type are Pay Below paying relationships. A Pay Below paying relationship is a parent-child relationship where each party can pay for its own transactions, as well as the transactions of all parties that are lower in the hierarchy (children, grandchildren, and so on).

Pay Below Paying Relationships If the parties in the same diagram on the previous slide are in a Pay Below paying relationship, then all accounts of each child party in the relationship will be available to each parent party in the relationship for receipt application, commitment application, and so on. In other words: Acme Worldwide can pay for Acme USA, Acme England, Acme West, and its own transactions. Acme USA can pay for Acme West and its own transactions. Acme England pays for its own transactions.

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Manage Parties and Customer Accounts Chapter 7 - Page 97

Relationship Types and Relationship Groups

Relationship Types and Relationship Groups

For party paying relationships, you should not assign the same relationship type to both the Pay Within and Pay Below relationship groups, because Receivables will recognize only the Pay Within group.

Relationship Types and Relationship Groups If Business World wants to create a Pay Within paying relationship with Company A and a Pay Below paying relationship with Company B, they must: Define two different relationship types. For each relationship type, assign one phrase to a relationship group, either Pay Within or Pay Below. Use the two relationship types to create two paying relationships, one for Company A and one for Company B.

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Manage Parties and Customer Accounts Chapter 7 - Page 98

Summary

Summary
In this module, you should have learned how to: Define the features enabling you to enter and maintain party and customer account information Create profile classes and assign them to customer accounts Create and maintain party and customer account information Enable customer account relationships Merge parties and customer accounts View party and customer account information Defining setup options Define TCA party paying relationships

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Manage Parties and Customer Accounts Chapter 7 - Page 99

Copyright Oracle Corporation, 2003. All rights reserved.

Manage Parties and Customer Accounts Chapter 7 - Page 100

Inventory Organizations
Chapter 8

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Inventory Organizations Chapter 8 - Page 1

Inventory Organizations

Inventory Organizations

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Inventory Organizations Chapter 8 - Page 2

Objectives

Objectives
After completing this module, you should be able to do the following: Describe Enterprise Structure in Oracle Applications Define Units of Measure Define Locations Setup Inventory Organizations Establish Inventory Parameters Define Sub-inventories

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Inventory Organizations Chapter 8 - Page 3

Agenda

Agenda
Overview of the Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 4

What is Enterprise Structure?

What is Enterprise Structure?

Set of Books 2 Organization A Location B Location A Set of Books 1 Organization B

Subinventory

Subinventory

Subinventory Subinventory

Locator

Locator

Locator

Locator

Locator

What is Enterprise Structure? Enterprise Structure encompasses how your company is structured from an operating, legal and reporting perspective. Oracle Applications considers the following in defining Enterprise Structure from an Inventory perspective: Set of Books Legal Entity Operating Unit Inventory Organization Location Set of Books - is a financial reporting entity that uses a particular chart of accounts, functional currency, and accounting calendar. The Set of Books is used for reporting, analysis and recording the financial transactions that have occurred for a corporation. A corporation can have more than one set of books. Each Set of Books has the following: Calendar This is the accounting calendar is separate from the Workday calendar in Manufacturing.

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Inventory Organizations Chapter 8 - Page 5

Currency Each Set of Books will have one functional currency although transactions can be entered in multiple currencies and are converted. Chart of Accounts Each Set of Books will have one Chart of Accounts that serves as a foundation for the accounts that related Applications such as Inventory, Purchasing and Accounts Payable use. Legal Entity - can be defined as the legal company for which you prepare fiscal or tax reports. A set of books can have multiple tax entities. Operating Units - can be divisions. For example, a computer manufacturer may have a separate divisions for laptop computers, personal computers and small servers. The laptop computer may represented by one operating unit which have a centralized purchasing and ordering function. The inventory may actually be received or shipped from a specific inventory organization but the purchase order is managed centrally so that the supply chain is optimized. Operating Units affect transaction partitioning in Order Management, Purchasing, Receivables and Payables. Inventory Organizations - can be manufacturing facilities, warehouses or any facility where a company stocks and transacts inventory. Sub-inventories - represent in Oracle Applications the physical locations within a manufacturing facility or warehouse where goods are stocked and from where transactions take place. Sub-inventories are created within Inventory organizations. Locations - represents a physical address of a facility, office, warehouse or any place else used by the entity. Inventory organizations use locations to represent the address for the following: Ship to Bill to Office Site Internal Site Receiving Site Each inventory organization must have at least one location.

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Inventory Organizations Chapter 8 - Page 6

Enterprise Structure Example 1

Enterprise Structure Example 1

SOB (Functional Currency) SOB 1 (USD) SOB 2 (EURO)

Physical Location

Florida

France

Name of SubInventory

FGI

FGI

Costing Method

Standard

Average

Enterprise Structure Example 1 Consider the following scenario: Facility 1 - located in Florida Facility 2 - located in Europe Would this situation be better as one inventory organization or two? Questions to ask: Do the organizations use the same functional currency? Do the organizations use same accounting calendar? Do the organizations use same chart of accounts? In this example, if the organizations used different functional currencies, they would have to be set up as separate inventory organizations. Inventory organizations inherit their functional currency from the Set of Books. This is not an updateable option. In this example, if the inventory organizations had different functional currencies, there would also need to be a second Set of Books. Even if the chart of accounts were the same and the calendar were the same, the functional currency difference would preclude these two locations from being one inventory organization.
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Inventory Organizations Chapter 8 - Page 7

Enterprise Structure Example 2

Enterprise Structure Example 2

Functional Currency USD (SOB) Physical Location SOB 1 SOB 1

Florida

California

Sub-inventory

Finished Goods

Finished Goods

Locator Control

No

No

Costing Method

Standard

FIFO

Enterprise Structure Example 2 Consider a second scenario: Facility 1 - located in Florida Facility 2 - located in California Would this situation be better as one inventory organization or two? Assume that the functional currency issue for both organizations is the same and the decision has been made for them to report to the same set of books. The same question has to be asked again, would this be better as one inventory organization or two? A few questions to ask: Do they use the same costing method? Is the inventory going to be co-mingled within a sub-inventory for both locations? If so, how is the physical quantity going to be controlled? Are there going to be physical shipments from one organization to another? Do they plan to use locator control? If there are going to be physical shipments from one location to another, these will have to be modeled as sub-inventory transfers or locator to locator transfers within Oracle Inventory. If
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Inventory Organizations Chapter 8 - Page 8

the physical distance is such the physical update is not real time, the company may want to consider separate inventory organizations. Sub-inventory and locator to locator transfers update the on hand balances real time and the transaction does not allow for intransit time. If two inventory organizations were created to model the physical locations, then intransit time could be modeled using inter-organization transfers. Assume the answer to question 1 is no, the two locations want to use different costing methods. In this scenario, the two facilities would have to be separate inventory organizations because there is only one costing method per organization. Assume the answers to questions 1 and 2 are no and yes respectively but the answer to question 3 is yes. Although it would not be required, the company may want to consider two inventory organizations in this scenario. If the company were to implement only one inventory organization it would require very strong internal control in order maintain integrity in inventory reporting. Locator control may be an option for two facilities in different locations but the physical difference and the resulting intransit time would make this option more challenging. Again, internal control and process control would have to be very strong in order to make this work.

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Inventory Organizations Chapter 8 - Page 9

Inventory Structure Considerations

Inventory Structure Considerations

Set of Books 2 Organization A Location B Location A Set of Books 1
Workday Calendar Costing Method Planning Accuracy Transfer between locations Spring Holiday - yes Standard Min-max Sub-inventory Workday Calendar Costing Method Planning Accuracy Transfer between locations Spring Holiday - no FIFO Min-max Sub-inventory

Organization B

One Organization or Two ?

yes

yes

Inventory Structure Considerations: The Enterprise Structure is one of the most important decisions that a company makes during implementation. Consider the following when determining what the Enterprise Structure will be. This is not meant to be a complete list but thoughts to help you get started. Workday calendar: Organizations may have different holidays based on local custom. For example, one region may give New Years Eve as a holiday whereas another region may not. If the locations are in the same organization they have to have the same workday calendar. The calendar is by organization not sub-inventory. Costing method: Costing method is by organization therefore if two locations want different costing methods, there will have to be two separate organizations. Planning: Min-max is at the sub-inventory/organization level and reorder point is at the organization level. Accuracy: Cycle Count and Physical Inventory are at the Organization and Sub-inventory level. Considerations include intransit time of transfers and internal control. Transactions: Physical location of movement may be hard to control. The inventory may be physically intransit although the transaction has already been updated in the sub-inventory.

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Inventory Organizations Chapter 8 - Page 10

Additional considerations: Inventory Organizations must be tied to a set of books, legal entity and an operating unit Costing is done by organization based on the item attributes Even though you have more than one organization, can do movement between organizations Forecasting is at the organization level Additional questions to ask: What does my company look like in terms of physical layout? How does it look from a reporting and legal standpoint? Do I have many facilities? Where are these facilities physically? Do I have sales offices? Do I have division offices? Do the facilities report to the same reporting entity? Are the facilities part of the same legal entity? Are the facilities part of the same division but maybe different legal entity?

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Inventory Organizations Chapter 8 - Page 11

Enterprise Structure in Vision

Enterprise Structure in Vision

Set of Books

Legal Entity

Vision Ops

Operating Unit

Vision Ops

D2 Inventory Organizations

M1

M2

V1 V1 Vision Ops

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Inventory Organizations Chapter 8 - Page 12

Guided Demonstration Enterprise Structure in Vision Operations

This demonstration will cover viewing the enterprise structure in the Vision Demonstration Environment. This includes viewing the Multi-Org linking of Set of Books, Legal Entity, Operating Unit, and Inventory Organization. Additionally, you will view the information specific to the definition of an Inventory Organization.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Organizations > Organizations 1. In the Find Organization window enter the organization name: Seattle Manufacturing 2. (B) Find The Organization form appears. This form is used for all organizations in the EBusiness Suite. The information that controls how the organization behaves in the suite is the classification(s) associated with it. Each organization will have at least one, and may have more than one classification. 3. Place your cursor on the Organization Classification line that indicates Inventory Organization. 4. (B) Others 5. In the Additional Organization Information window, select Accounting Information. 6. Use the Tab key to advance into the Pop-up window. You should see the following: Set of Books: Vision Operations Legal Entity: Vision Operations Operating Unit: Vision Operations This window indicates the relationships within the Multi-Org hierarchy for this Inventory Organization. This hierarchy will determine where within the hierarchy financial transactions, such as the Cost of Goods Sold transactions will be transferred (Set of Books). Also within the hierarchy you are able to see where system created requisitions will be transferred (Operating Unit), such as with OM Drop Shipments and Min-Max planning requisitions. 7. Return to the Organization form. Using the (B) Ok to close the Pop-up window, followed by (B) Ok to close the Accounting information window. 8. (B) Others 9. In the Additional Organization Information window, select Inventory Information. 10. (T) Inventory Parameters (should be the first one)
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Inventory Organizations Chapter 8 - Page 13

 Note the organization code is M1. This value is used in place of the full name of the organization, Seattle Manufacturing. You will also see that the Item Master Organization is V1-Vision Operations. It is from this organization that M1-Seattle Manufacturing will receive all of its item definitions. Also on this Tab you will see the calendar and demand class associated with this inventory organization. 11. (T) Costing Information Note the Costing Method is set at Standard. You will also see that the Costing Method field is greyed out preventing update. Once you save the costing method for an inventory organization it is not updateable. Additionally note the valuation accounts on the bottom of the form. These general ledger account combinations are required for the definition of the inventory organization and cannot be updated after saving the organization. As an implementation note identify the correct accounting combinations for these and all ledger accounts used in defining the organization prior to beginning the definition of an inventory organization. 12. (T) ATP, Pick, Item Sourcing This tab allows us to associate various rules to control how this inventory organization behaves when using Available to Promise, Picking and Item Sourcing. These values will override System level parameters, but will in turn be overridden if there is a specific value set at the item level within this organization. 13. (T) Inter-Org Information These transfer charge associations can affect the value of the transfer of goods between inventory organizations. You will also see the general ledger account combinations associated with these types of inventory moves. 14. (T) Other Accounts Note the Profit and Loss Grouping. There are default Sales and Cost of Goods Sold accounts indicated for this inventory organization. These accounts can be used by AutoAccounting in Receivables and Account Generator in Inventory, respectively to generate the desired general ledger account to be associated with the Revenue and Cost of Goods Sold transactions. These values can be overridden at the item level. 15. Close Organization Parameters window

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Inventory Organizations Chapter 8 - Page 14

Agenda

Agenda
Overview of the Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 15

Define Units of Measure

Define Units of Measure

Each

Box

Dozen

Define Units of Measure Inventory, Vision Operations (USA) (N) Setup > Units of Measure > Units of Measure Defining Units of Measure encompasses three distinct areas: Unit of Measure Unit of Measure Classes Unit of Measure Conversions Unit of Measure A Unit of Measure (UOM) is a term that you must use, along with a numeric value, to specify the quantity of an item. For example, each is a unit of measure that you would use to specify the number of units of an item. Units of Measure are used to define the quantity of an item in Inventory when defining, stocking, planning, transacting, shipping and counting items. A primary UOM is defined for each item in Inventory. Once the primary UOM is saved to the item record, it can not be updated.

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Inventory Organizations Chapter 8 - Page 16

Unit of Measure Classes A Unit of Measure Class (UOM Class) is a group of units of measure with similar characteristics. Weight can be a UOM Class with UOMs such as kilogram, gram, pound, and ounce. Each UOM Class must have a base unit of measure assigned to it. The base unit of measure should be the lowest level in the organization for stocking, costing and planning. Unit of Measure Conversions An item may be transacted, ordered, and shipped in an UOM other than the primary UOM. This is accomplished through conversion of an unit of measure either within an UOM Class or across UOM Classes. Considerations There is not a limit on the number of units of measure than an organization can have, however, each unit of measure that is to be used must be attached to a unit of measure class and a base unit of measure. Units of Measure are defined once when setting up Oracle Applications. You can however, add additional Units of Measure if needed. Factors to consider when defining Units of Measure for your items: What is the lowest Unit of Measure that you stock, cost and plan? What conversions do you want to use for transaction purposes? Are you going to define a default UOM for the primary unit of measure for an item? What is the process to determine the primary UOM? Do you need to define interclass conversions?

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Inventory Organizations Chapter 8 - Page 17

Unit of Measure Example

Unit of Measure Example

1 box = 4 each

1 dozen = 12 each

Unit of Measure Example: In this example, each is the base unit of measure. A conversion has been created to translate a transaction of 1 box to 4 each and 1 dozen to 12 each. When transactions are executed for boxes, this will be translated to each for purposes of stocking, costing and planning. For example, if 6 boxes were received, a quantity of 24 each would be recorded in on hand quantity.

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Inventory Organizations Chapter 8 - Page 18

Define Unit of Measure Classes

Define Unit of Measure Classes

Inventory uses the base UOM to define conversions among units of measure within a class

Name

Base Unit

UOM

Area

Square Foot

FT2

Fluid

Ounce

OU

Length

Inch

IN

Define Unit of Measure Classes Inventory, Vision Operations (USA) (N) Setup > Units of Measure > Classes The Unit of Measure class (UOM Class) represents a grouping of units that share a common starting point The UOM Class name is user defined and should be meaningful to the organization.. For example, if the Unit of Measure class is length, the units of measure in this class could be inch, foot, and yard. The base unit of measure should be smallest unit of measure that is used for costing, stocking and planning and is used when converting transaction quantities. The UOM column is user defined and is used when doing transactions, ordering or shipping. Each UOM Class must have a base UOM. Inventory uses the base UOM to define conversions among UOMs in the class. Note: Unit of Measure classes are not organization specific.

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Inventory Organizations Chapter 8 - Page 19

Unit of Measure Conversion

Unit of Measure Conversion

1 box = 4 each

1 dozen = 12 each

Unit of Measure Conversion Inventory, Vision Operations (USA) (N) Setup > Units of Measure > Conversions A unit of measure conversion is a mathematical relationship between two different units of measure. For example, 16 ounces = 1 pound, or 2.2 pounds = 1 kilogram. Units of Measure can be converted for transaction, ordering and shipping once the conversions have been defined. Transactions execution defaults to the primary unit of measure for an item unless otherwise specified. If an alternate UOM is specified, the conversion for purposes of quantity and costing is based on the conversions defined. The transaction is actually completed in the UOM specified but is translated for costing and quantity purposes. There are three types of conversions within Oracle: Standard Inter-Class (item specific) Intra-Class (item specific)

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Inventory Organizations Chapter 8 - Page 20

Standard Conversions Conversions that occur within the same class, without regard to the item being transacted are known as Standard conversions. An example of a Standard conversion is one within length, the conversion centimeters into meters. Intra-class Conversions A conversion within the same class, that is specific to the item being converted is known as an Intra-class conversion. An example of an Intra-class conversion within the UOM Class of Quantity: The Base UOM for Quantity is Ea. There are two UOMs in the Quantity Class, Each and Case. The Standard conversion for Case to Each is 1 Case = 24 Each. Item A has a mapping of 1 Case = 19 Each. All other items transacted by Case will use the 1:24 ratio, but if Item A is transacted it will use the 1:19 ratio. Inter-class conversions Conversions that occur across classes between UOM are known as Inter-class conversions. Inter-class conversions are item specific. For example, an inter-class conversion would be pounds to gallons and requires the identification of which items will use this mapping.

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Inventory Organizations Chapter 8 - Page 21

Guided Demonstration - Create an Unit of Measure

This demonstration shows how to create a new Unit of Measure within an existing Unit of Measure Class.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Units of Measure > Units of Measure 1. If prompted, select the V1-Vision Operations inventory organization. 2. (I) New Record 3. Enter the following values to create a new Unit of Measure Name: Demo Length UOM: DEM This value is used as a short name identifier for the unit of measure within the E-Business Suite. Description: Demo Length Base Unit: Unchecked This value cannot be updated manually. If you assign this unit of measure as the base unit of measure for a class, it will automatically be checked. The base unit of measure is the smallest transactional unit for that class. Class: Length 4. (I) Save 5. (B) Conversions 6. (T) Standard (should be the first one) 7. Enter the following values to identify how to convert this unit of measure within this class. Unit: Demo Length This should default as we accessed this form from the Define Units of Measure window. If you had accessed the Conversions window directly you would need to select the desired unit of measure. Class: Length This value defaults and is not updateable as we have selected our Unit of Measure in the first field. This is a standard conversion and remains within the same class. Intra-Class conversions are defined by item in the (T) Intra-Class. Conversion: 12 This indicates the relationship between our selected unit of measure and the base unit of measure. In this case there are 12 feet in our Demo-Length unit of measure. Base Unit: Foot
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Inventory Organizations Chapter 8 - Page 22

 This value defaults from the class we have selected. 8. (I) Save

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Inventory Organizations Chapter 8 - Page 23

Practice - Create a Unit of Measure

Overview
In this practice you will learn how to create a unit of measure (UOM) and a conversion between your UOM and another UOM within the same unit of measure class. Create a UOM. Create a conversion between two UOM.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
Create a Unit of Measure 1. Create a unit of measure called <XX>-Volume

Create a conversion 2. Create a conversion between your <XX>-Volume and Cubic Foot. This conversion should be of the ratio 1:15 (1 length equals 15 cubic feet).

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Inventory Organizations Chapter 8 - Page 24

Solution Create an Unit of Measure and Standard Conversion

Create a Unit of Measure 1. Navigate to the Units of Measure window. (N) Inventory > Setup > Units of Measure > Units of Measure If prompted, select the V1-Vision Operations inventory organization.

2. (I) New Record 3. Enter the following values to create a new Unit of Measure Name: XX Volume UOM: XXV Description: XX Volume Base Unit: Unchecked Class: Volume 4. (I) Save

Create a conversion 5. Navigate to the Unit of Measure Conversions window (B) Conversions
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Inventory Organizations Chapter 8 - Page 25

 6. (I) Save

Unit: Class: Conversion: Base Unit:

<XX> Volume Volume 15 Cubic Foot

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Inventory Organizations Chapter 8 - Page 26

Defining Inter-class Conversions

Defining Inter-class Conversions

1 ton Base UOM = pound 1 pound = 1 ounce

1 gallon Base UOM = ounce

Defining Inter-class Conversions Interclass conversions enable you to define conversions between UOMs in different classes. All interclass conversions are item-specific relationships and are from one base unit to another base unit. Oracle derives conversions between two non base units. The source base unit is the base UOM of the class that contains the primary UOM for the item. The destination base UOM is the UOM to which you convert a UOM. In the example above, the following relationship would exist: Base UOM weight = pound Base UOM - liquid = ounce 1 pound = 1 ounce If one were transacting on 1 ton and the base UOM was ounce the following calculation would be completed: 1 ton = 2000 pounds 2000 pounds = 2000 ounces

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Inventory Organizations Chapter 8 - Page 27

Agenda

Agenda
Overview of the Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 28

Defining Locations

Defining Locations
Organization #1 Organization #2 Organization #3

Factory, Inc. 500 Oracle Parkway Redwood Shores, CA 94065

Factory Outlet, Inc. 100 Outlet Lane Outletville, CA 94065

Defining Locations Inventory, Vision Operations (USA) (N) Setup > Organization > Locations A location is defined as the physical address of the employees and organizations. Locations are shared between Inventory, Purchasing and Human Resource Management. When Locations are flagged as global, they are available to all Business Groups. Each organization can be associated with only one location, optionally one or more organizations can be associated with the same location Locations are not only a physical address but also determine whether the following is applicable: Ship to site a site that is available to Purchasing for use on a purchase order document. Receiving site a site that is valid for receiving transactions. Office site a site that employees reside at for human resource (HRMS) purposes. Bill to site a site used by Payables, specified on a purchased order document for invoicing purposes. Internal site a site used when creating an internal requisition.
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Inventory Organizations Chapter 8 - Page 29

Examples of Locations

Examples of Locations
Marketing Office Inventory Organization Payables Office

Manchester Office Site Ship to Site Receiving Site

Iona Ship to Site Receiving Site Bill to Site Internal Site Office Site

Perth Office Site Bill to Site

Example of Locations: The Manchester location illustrated above is not an inventory organization. It is a marketing office. However, purchase orders are placed for marketing collateral and the supplier needs to know the address where the goods are to be shipped. In this example, the supplier will receive information about where the goods are to be shipped from the purchase order document (Receiving Site). When the goods are received, the company will know where to deliver the collateral to based on the Deliver To field of the purchasing document (Ship-To Site). As employees are based here, human resources will keep track of the employees based upon their office information (Office site). The Perth location above is payables office not an inventory organization. It is an office as well. However, invoices need to be paid and the supplier needs to know where to send the invoices. A Bill To site represents the address where the invoices are sent. The inventory organization as illustrated above is a Ship To Site, Receiving Site, Bill To Site, Internal Site and Office Site. This location would do all of the above as well as keep track of inventory balances, plan for inventory and do transactions. One has to determine where the locations physically are and map the locations in Oracle Applications to those physical addresses.
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Inventory Organizations Chapter 8 - Page 30

Guided Demonstration - Create a Location

This demonstration shows how to define a location within the enterprise structure. Locations are physical entities like warehouses, bill-to and ship-to addresses.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Organizations > Locations Create a Location 1. Enter the following values to create a new location: Name: Demo Manufacturing Description: Demo Manufacturing Note: Uncheck the Global check box if you want the location to only be available within the default Business Group of your current responsibility. Accept the default if you want the location to be a global location and therefore available to all Business Groups. 2. (T) Address Details Address Style: United States. Address:
Field Address City State Zip County San Diego CA 92130 San Diego Value 13400 West Ocean Air Drive

3. (T) Shipping Details Contact: Daugherty, Mr. John Ship-To Location: Demo Manufacturing (will default) Usually the same as the location Name. You could select a separate, previously defined Ship-To Location--for example, if you wanted to create a location Name, Office A, and specify Receiving Dock A as its Ship-To Location. Note, however, that once you specify a separate Ship-To Location, you can no longer enable the location Name as a Ship-To Site. Ship-To: Checked Select this option to make the location Name a valid ship-to organization on a purchase order or requisition. Bill-To: Checked

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Inventory Organizations Chapter 8 - Page 31

 Select this option to make the location Name a valid bill-to site. The Bill-To Site, which is used by Payables, is specified on a purchase order header. Receiving Site: Checked Select this option to make the location a valid receiving Location when creating a receipt or receiving transaction. Internal Site: Checked Select this option to make the location a valid internal ship-to location when creating an internal requisition Office Site: Checked Select this option to indicate that this location Name is an office site, such as a field office. 4. (T) Other Details Inventory Organization: Blank Note: Leaving this field blank will allow this location to be used with multiple inventory organizations. Specifying an inventory organization will ensure that the location is ONLY used with the specified inventory organization. Tax Name = CA-Sales Tax 5. (I) Save 6. Close the Locations window

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Inventory Organizations Chapter 8 - Page 32

Practice - Create a Location

Overview
In this practice you will create a location.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Location Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Locations window (N) Setup > Organizations > Locations Name: XX-Location Global: Checked

2.

Add a location with the following address details Address Style: United States Enter address information according to the following table:
Field Address City State Zip County San Diego CA 92130 San Diego Value 13400 West Ocean Air Drive

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Inventory Organizations Chapter 8 - Page 33

Solution - Create a Location

Create Location Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Locations window (N) Setup > Organizations > Locations Name: XX-Location Global: Checked

2.

(T) Address Details Address Style: United States Enter address information according to the following table:
Field Address City State Zip County San Diego CA 92130 San Diego Value 13400 West Ocean Air Drive

3. 4.

(B) OK Leave all defaults (I) Save

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Inventory Organizations Chapter 8 - Page 34

Agenda

Agenda
Overview of the Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 35

Inventory Organizations

Inventory Organizations

Organizations include but are not limited to manufacturing facilities, warehouses, distribution centers and branch offices.

Inventory Organizations: An organization must be classified as an Inventory Organization in order to do inventory based transactions, planning and receiving. As the information in the database is identified by a single Inventory Organization at a time, you must choose an organization when you access Inventory for the first time during a session. All subsequent activity uses this organization as your current organization. The organization name appears in the title bar of all windows for organization specific entities such as Inventory, Bill of Material and Work in Process. One can change their current organization at any time with the Change Organization window. You can limit organization access by responsibility.

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Inventory Organizations Chapter 8 - Page 36

Inventory Organization Setup

Inventory Organization Setup

PO and Receiving

Set of Books AR and AP Inventory Organization Shipping Legal Entity Operating Unit

Inventory Organization Setup Inventory, Vision Operations (USA) (N) Setup > Organizations > Organizations At least one inventory organization must be established, although it is advisable to have more than one. One will be needed to represent the master parts list and one will be needed for execution and reporting. Establishing two inventory organizations when you implement gives you greater flexibility for expansion as time passes. When defining organizations, you will need to identify the type, or classification associated to the organization. This is how you will indicate that the organization is to be used as an Inventory Organization. There are additional elements which must be defined that allow the Inventory Organization to operate within the environment. Some of the elements represent default values that will be used when creating transactions, others are used to establish where an Inventory Organization resides within the Inventory and Multiple Organizations hierarchies. These elements fall into one of four categories: Accounting Information Customer/Supplier Association
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Inventory Organizations Chapter 8 - Page 37

 Inventory Information Receiving Information Accounting Information This is how you identify where this Inventory Organization sits within the Multiple Organizations hierarchy. Each Inventory Organization is tied to a Set of Books, a Legal Entity and an Operating Unit Customer/Supplier Association This relationship is used for Internal Orders. For more information on this topic, please refer to the Advanced Topic: Internal Orders Inventory Information Inventory Information includes parameters that control how this organization behaves relating to Inventory transactions. These parameters identify a number of elements including, but not limited to: Identifying the Master Inventory Organization for this organization Costing information Rules regarding Available to Promise, Picking, Revision, Lot and Serial control data Default General Ledger accounts Receiving Information Each Inventory Organization also has the ability to define parameters for how receiving activities will default for that organization. Additional question to ask: What does your physical structure look like? Inventory organizations should mirror what is physically happening. Copying organizations It is possible to copy setup data from one organization to another if creating multiple organizations. This will copy items you select, sub-inventories, departments, resources, Bills of Material (BOM), routings, WIP Parameters and other setups. This is done via a concurrent request.

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Inventory Organizations Chapter 8 - Page 38

Guided Demonstrations - Create an Inventory Organization

This demonstration shows how to define an Inventory Organization.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Organizations > Organizations 1. In the Find Organization window, select (B) New to create a new organization. The Organization form appears. This form is used for all organizations in the EBusiness Suite. . 2. Enter the following values to create a new organization: Name: Demo-Manufacturing This is the long name for the organization. Type: Plant This is a list of values that is used for reporting purposes. There is no functionality tied the value. Location: blank This is the physical address of the organization. If this organization uses more than one physical location you are able to leave the field blank. If you intend to use this organization as an inventory organization it must have sole usage of a location. Meaning no other organization classified as an inventory organization may have that location placed in the location field. If a location is selected, the Address field information will default with the information from the address defined for that location. (separate setup step). Internal: Internal This value defaults. Internal indicates this is our own (the company implementing Oracle) organization. External indicates the organization is outside our company. 3. (I) Save 4. Navigate to the Organization Classification region. 5. Select Inventory Organization from the list of values and enable the selection. The information that controls how the organization behaves in the suite is the classification(s) associated with it. Each organization will have at least one, and may have more than one classification 6. (I) Save 7. (B) Others 8. In the Additional Organization Information window, select Accounting Information.
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Inventory Organizations Chapter 8 - Page 39

9. Use the Tab key to advance into the Pop-up window. 10. Enter the following values into the Accounting Information Pop-up window: Set of Books: Vision Operations Legal Entity: Vision Operations Operating Unit: Vision Operations This window indicates the relationships within the Multi-Org hierarchy for this Inventory Organization. This hierarchy will determine where within the hierarchy financial transactions, such as the Cost of Goods Sold transactions will be transferred (Set of Books). Also within the hierarchy you are able to see where system created requisitions will be transferred (Operating Unit), such as with OM Drop Shipments and Min-Max planning requisitions. 11. (I) Save 12. Return to the Organization form. Using the (B) Ok to close the Pop-up window, followed by (B) Ok to close the Accounting information window. 13. (B) Others 14. In the Additional Organization Information window, select Inventory Information. 15. (T) Inventory Parameters (should be the first one) 16. Enter the following field values: Organization Code: DM1 This is the short code reference that will be used to identify this inventory organization in transaction forms. Item Master Organization: Vision Operations This defaults to be the defined organization. Changing the value associates the new inventory organization with a previously defined inventory organization. This determines from where the organizations item definitions will come from. Calendar: Vision01 This identifies the working calendar for this inventory organization. Leave all other fields as defaulted. 17. (T) Costing Information 18. Enter the following field values: Costing Method: Standard This value determines how cost will be calculated for this inventory organization. You may choose between Standard, Average, FIFO and LIFO. Once the value is saved you will not be able to update it. Transfer to GL This determines how much information is transferred to the general ledger. If you select Detail, all transactional information is sent in a detail format, while

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Inventory Organizations Chapter 8 - Page 40

Summary will summarize the transactions by general ledger account and then transfer the information. Valuation Accounts Account Type Material Account 01-000-1410-0000-000

Implementation Note: obtain all of the necessary account combinations before beginning to define inventory organizations. 19. (T) Other Accounts 20. Enter the following field values Receiving Accounts Account Type Purchase Price Variance Invoice Price Variance Inventory AP Accrual Account 01-540-5210-0000-000 01-540-5220-0000-000 01-000-2215-0000-000

These accounts are required to define an inventory organization, but they are not used as a part of the order to cash process. Profit and Loss Accounts Account Type Sales Cost of Goods Sold Account 01-540-4160-0000-000 01-540-5200-0000-000

These accounts are used as a part of the order to cash process. Both can be overridden at the item level. The Sales account can be referenced from the item level (this value will default there) by AutoAccounting in Receivables. The Cost of Goods Sold (COGS) account can be (and is by default) referenced by Account Generator when creating the COGS account combination during the shipping process. 21. (I) Save 22. Close Organization Parameters window. 23. (B) Others
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Inventory Organizations Chapter 8 - Page 41

24. In the Additional Organization Information window, select Receiving Information. 25. Enter the following field values in the Receipt Date region: Days Early: 5 Days Late: 5 Action: Warning These dates are used as a reference for when is a receipt considered on time. If the receipt falls outside the designated time frame the setting of Warning will cause a pop-up window to indicate to the receiver that the receipt is outside of this time frame. They may however still choose to receive the goods. 26. Enter the following field values in the Over Receipt Control region: Tolerance: 5 Action: Warning These fields allow us to control how much excess quantity we are able to receive over the quantity expected from the associated purchase order document. (all receipts within Oracle must be associated with a purchase order document). 27. Enter the following field values in the Miscellaneous region: Allow Substitute Receipts: Checked Allow Unordered Receipts: Checked Allow Express Transactions: Checked Allow Cascade Transactions: Unchecked Allow Blind Receiving: Unchecked Receipt Routing: Standard Enforce Ship To: None ASN Control Action: None These fields control the behavior of the receipt, what is allowed versus disallowed. For more information see the 11i Procure to Pay Fundamentals course. 28. Enter the following field values in the Receipt Number Options region: Action: Automatic Type: Numeric Next Receipt Number: 1 These fields control the transaction numbering functionality for the receipt. For more information see the 11i Procure to Pay Fundamentals course. 29. Enter the following field values in the lower section of the Receiving Options form: Receiving Inventory Account: 01-000-1410-0000-000 30. (I) Save

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Inventory Organizations Chapter 8 - Page 42

Guided Demonstrations - Create an Inventory Organization

Overview
.In this practice you will learn how to create an inventory organization. Create an Inventory Organization Assign required parameters for the new Inventory Organization.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
Create an Inventory Organization 1. Create an Inventory Organization XX-IO. This inventory organization represents an outlet for your company. As you have not decided whether to use one or many inventory organizations to represent your outlet, do not assign a physical address to the organization.

Assign Required Parameters for the Inventory Organization 2. This Inventory Organization is a part of the current Multi-Org environment. It should be associated with the Vision Operations Set of Books, Legal Entity and Operating Unit. 3. The inventory team has decided that there will be one item master and this inventory organization, XX1, should use the Vision Operations master organization for its item definitions. They have also indicated that the Vision01 calendar will be appropriate for the new outlet site. 4. You have been told that this will be an organization that uses Average Costing and will be transferring data to the general ledger in summary. The Controller has given you the following table with the appropriate general ledger combinations for your organization: Account Type Account

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Inventory Organizations Chapter 8 - Page 43

Material Outside Processing Material Overhead Overhead Resource Expense

01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-000-2225-0000-000

Question: Are there any differences between the information required for Standard Costing and Average Costing? 5. Additionally the Controller has provided the following additional general ledger accounts as requested in your memo. Account Type Invoice Price Variance Inventory AP Accrual Material Overhead Sales Cost of Goods Sold Cost Variance Account Receiving Inventory Account Account 01-540-5220-0000-000 01-000-2215-0000-000 01-000-1420-0000-000 01-540-4160-0000-000 01-540-5200-0000-000 01-540-5315-0000-000 01-000-1410-0000-000

6. The inventory manager has left you a series of instructions for how receipts should be handled at this outlet: All receipts must be received within a 2 day window of their expected date or they are to be returned to the supplier. She will accept a 5% excess on any purchase order line, but wishes to be informed that the amount is greater than the expected quantity. She will accept substitute parts, but not unordered lines. All receipt routing should follow a 2 step process. We will not be enforcing the shipping location, nor will we use ASN functionality. Our first receipt number for this outlet should be 1000.
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Inventory Organizations Chapter 8 - Page 44

Guided Demonstrations - Create an Inventory Organization

Create an Inventory Organization 1. Navigate to the Define Inventory Organization window. (N) Inventory > Setup > Organizations > Organizations If prompted, select the V1- Vision Operations inventory organization

2. (I) New Record 3. Enter the following values to create a new inventory organization Name: XX-IO Type: Outlet Location: blank Internal: Internal 4. (I) Save 5. Navigate to the Organization Classification region. 6. Select Inventory Organization from the list of values and enable the selection. 7. (I) Save

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Inventory Organizations Chapter 8 - Page 45

Assign Required Parameters for the Inventory Organization 8. Navigate to the Accounting Information window (B) Others Select Accounting Information Use Tab key to advance into the Pop-up window

9. Enter the following values into the Accounting Information Pop-up window: Set of Books: Vision Operations Legal Entity: Vision Operations Operating Unit: Vision Operations 10. (I) Save

11. Return to the Organization form. Using the (B) Ok to close the Pop-up window, followed by (B) Ok to close the Accounting information window. 12. Navigate to the Inventory Information window (B) Others Select Inventory Information (T) Inventory Parameters (should be the first one)

13. Enter the following field values: Organization Code: XX1 Item Master Organization: Vision Operations Calendar: Vision01 Leave all other fields as defaulted.

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Inventory Organizations Chapter 8 - Page 46

14. (T) Costing Information 15. Enter the following field values: Costing Method: Average Transfer to GL: Summary Valuation Accounts Account Type Material Outside Processing Material Overhead Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000

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Inventory Organizations Chapter 8 - Page 47

Overhead Resource Expense

01-000-1430-0000-000 01-000-1440-0000-000 01-000-2225-0000-000

Question: Are there any differences between the information required for Standard Costing and Average Costing? Yes. When you choose to utilize Average Costing you must enter more valuation accounts to financially identify the transactions. 16. (T) Other Accounts
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Inventory Organizations Chapter 8 - Page 48

17. Enter the following field values Receiving Accounts Account Type Invoice Price Variance Inventory AP Accrual Profit and Loss Accounts Account Type Sales Cost of Goods Sold Cost Variance Account Account Type Cost Variance Account 18. (I) Save Account 01-540-5315-0000-000 Account 01-540-4160-0000-000 01-540-5200-0000-000 Account 01-540-5220-0000-000 01-000-2215-0000-000

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Inventory Organizations Chapter 8 - Page 49

19. Close Organization Parameters window. 20. Navigate to the Receiving Information window (B) Others Select Receiving Information

21. Enter the following field values in the Receipt Date region: Days Early: 2 Days Late: 2 Action: Reject 22. Enter the following field values in the Over Receipt Control region:
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 Tolerance: 5 Action: Warning 23. Enter the following field values in the Miscellaneous region: Allow Substitute Receipts: Checked All others Unchecked Receipt Routing: Standard Receipt Enforce Ship To: None ASN Control Action: None 24. Enter the following field values in the Receipt Number Options region: Action: Automatic Type: Numeric Next Receipt Number: 1000 25. Enter the following field values in the lower section of the Receiving Options form: Receiving Inventory Account: 01-000-1410-0000-000 26. (I) Save

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Inventory Organizations Chapter 8 - Page 51

Setup Considerations for Order Management

Setup Considerations for Order Management

Which organization will do the shipment?

Inventory Organization #1

Inventory Organization #2

Setup Considerations for Order Management Order Management Super User, Vision Operations (USA) (N) Setup > Parameters The setup of Order Management (OM) requires the identification of a logical entity listing all the items you sell to your customers. This is known as an Item Validation Organization. Item Validation Organizations are Inventory Organizations by definition within Oracle. OM requires a minimum assignment of one Item Validation organizations per Set of Books. If your setup requires more flexibility, a maximum of one Item Validation Organization per Operating Unit is can be assigned. When using multiple Item Validation Organizations, all of the organizations can share the same Item Master Organization.

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Inventory Organizations Chapter 8 - Page 52

Agenda

Agenda
Overview of the Enterprise Structure Options in Defining Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 53

Establishing Inventory Parameters

Establishing Inventory Parameters

Execution

Inventory Organization #1 Financial Reporting

Establishing Inventory Parameters Inventory, Vision Operations (USA) (N) Setup > Organizations > Parameters Inventory Information includes parameters that control how this organization behaves relating to Inventory transactions. These parameters identify a number of elements including, but not limited to: Organization code: Each organization will have a three letter code which will appear in the organization specific windows of each application. Item Master Organization: This is considered the parts list and is used by Order Management and Purchasing when determining what parts can be shipped or procured. There should not be any transactions done in the Item Master. This should be a listing of parts only. Note: When one defines the parameters for an organization, the organization being created will default in the item master field. It is a conscious effort on the part of the user to change this to the organization which represents the item master. Note: Each window title will identify the organization you are defining parameters for. If you wish to change the organization, use the Change Organization form, accessed from the Navigator.
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Inventory Organizations Chapter 8 - Page 54

Guided Demonstration - Establish Inventory Organization Parameters

Assumptions Login using the following User Name and password: User name: Password: MFG welcome

Responsibility: Manufacturing and Distribution Manager

(N) > Inventory > Setup > Organization > Parameters} This demo will cover establishing the inventory parameters and the relationship between the inventory organization and the set of books, legal entity, and operating units. Additionally, receiving parameters will also be established. This information is used to provide defaults in the event that more specific inforamtion is not defined. However, if information is entered at a more detailed level, then this information is overriden. For example, if an ATP rule is established at the organization level and at the item level, a different ATP is chosen, then the item level rule will take precedence. Think carefully when determine the parameters. The financial implications on financial reporting via the account numbers and the operations default could have a huge impact on your business. 1. 2. You see a find screen when you navigate as per above. Name: XX-Manufacturing Choose find. Your organization should appear. 3. 4. 5. 6. Navigate to the Organization Classifactions region and put your cursor on Inventory Organization. Choose Others. A list entitled Additional Information will appear. Choose Accounting Information from the list. Put your cursor in the column to the left and tab. A box will appear that has the following lines: Set of Books Legal Entity Operating Unit The values will be as follows:
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7.

Inventory Organizations Chapter 8 - Page 55

 Set of Books: Legal Entity: Operating Unit: 8. 9. Save your work.

Vision Operations Vision Operations Vision Operations

Return to the Organization Classifications.

10. Choose others 11. Choose Inventory Information from the list. 12. (T) Inventory Parameters Organization Code: XXO Item Master Org: Vision Operations Calendar: Vision01 Demand Class: West US Move Order Timout: 0 days Accept all other defaults 13. (T) Costing Information Costing Organization: Costing Method: Transfer to GL: 14. 31.Valuation Accounts: Material: Outside Processing: Material Overhead: Overhead: Resoruce: Expense: XX-Manufacturing Standard Summary 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 leave blank

15. (T) ATP, Pick, Item Sourcing ATP Defaults Rule: Standard (this will be the rule in absense of a rule at the item level) Picking Defaults Rule: RevSub Item Sourcing Detail: leave blank 16. (T) Other Accounts Purchase Price Variance: Invoice Price Variance: Inventory AP Accrual: Sales: Cost of Goods Sold: 17. Save your work.
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01-540-5210-0000-000 01-540-5220-0000-000 01-000-2215-0000-000 01-540-4160-0000-000 01-540-5200-0000-000

Inventory Organizations Chapter 8 - Page 56

18. Return to the first page and choose others. 19. A list will appear. Choose receiving information. Below are suggestions on how to fill out this form. You can enter your own information if necessary. Days early: 4 Days late: 2 Action: Warning Overreceipt tolerance: 10% Action: Warning Receipt Routing: Direct Receiving Accrual: 01-000-1410-0000-000 Accept all other defaults. 20. Save your work.

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Inventory Organizations Chapter 8 - Page 57

Practice - Define Shipping Parameters

Overview
In this practice you will define shipping parameters.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define Shipping Parameters Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Parameters window 2. (N) Shipping > Setup > Shipping Parameters When prompted, select your inventory organization, XX1

Specify the following general shipping parameters Weight UOM Class: Weight Volume UOM Class: Volume Percent Fill Basis: Weight (should default) Specify the following pick/release parameters Release Sequence Rule: Departure Date Default Pick Slip Grouping Rule: Order Number Print Pick Slip: At End Default Stage Subinventory: XX-Stores Auto Allocate: Checked Autocreate Deliveries: Checked Leave all other defaults Specify the following shipping transaction parameters Weight/Volume Calculation: Manual Container Inventory Control: Optional Goods Dispatched Account: 01-000-1410-0000-000
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3.

4.

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Solution - Define Shipping Parameters

Define Shipping Parameters Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Parameters window 2. (N) Shipping > Setup > Shipping Parameters When prompted, select your inventory organization, XX1

(T) General Weight UOM Class: Weight Volume UOM Class: Volume Percent Fill Basis: Weight (should default) (T) Pick Release Release Sequence Rule: Departure Date Default Pick Slip Grouping Rule: Order Number Print Pick Slip: At End Default Stage Subinventory: XX-Stores Auto Allocate: Checked Autocreate Deliveries: Checked Leave all other defaults (T) Shipping Transaction Weight/Volume Calculation: Manual Container Inventory Control: Optional Goods Dispatched Account: 01-000-1410-0000-000 (I) Save

3.

4.

5.

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Inventory Organizations Chapter 8 - Page 59

Copyright Oracle Corporation, 2003. All rights reserved.

Inventory Organizations Chapter 8 - Page 60

Inventory Parameters and Execution

Inventory Parameters and Execution

Serial, Lot or Revision Control?

Determine Organization level default controls using the Inventory Parameters screen

Locator Control?

Inventory Parameters and Execution Inventory, Vision Operations (USA) (N) Setup > Organizations > Parameters > (T) Inventory Parameters and (T) Revision, Lot, Serial The controls established for an item or organization will be used in the products which impact Inventory. These products include Work in Process, Order Management, and Purchasing. Locator control determines at the organization level whether or not you want to require a locator to be entered when doing a transaction from a sub-inventory. If an organization has locator control enabled, when a purchase order delivery is executed, a locator will be required. Additionally, when a shipment is executed, a locator will be required as well. Serial, Lot and Revision Control affect specific item transactions within the enterprise. For additional information on controls, including Lot, Locator, Revision and Serial Number, refer to the Oracle Inventory Users Guide.

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Inventory Organizations Chapter 8 - Page 61

Inventory Parameters and Financial Impact

Inventory Parameters and Financial Impact

Inventory Transactions Purchase Order Deliveries Inter-org Transfers Shipments

Default valuation account Purchase Price Variance Inter-org AR, AP, PPV Cost of Goods Sold and Accounts Receivable

Inventory Parameters and Financial Impact Inventory, Vision Operations (USA) (N) Setup > Organizations > Parameters (T) Costing Information Costing method You must determine whether Standard, Average, First In First Out (FIFO) or Last In First Out (LIFO) best meets the needs of your organization. If you select Average costing as your method, you will also have to determine the cost type for valuation purposes. Note: This can not be changed once the first transaction has been valued in the inventory organization. The valuation accounts are default valuation accounts for sub-inventories in a standard costing organization. These account numbers are derived from the chart of accounts for the Set of Books. The valuation accounts can all be the same or they can be different. This is determined by the organization and their reporting needs. These account numbers will map to financial reporting in General Ledger. In organizations that use Average, FIFO and LIFO, these accounts will be also be the accounts for the sub-inventories. There is only one set of valuation accounts for Average, FIFO and

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Inventory Organizations Chapter 8 - Page 62

LIFO organizations. The exception is if you have Warehouse Management System (WMS) installed. One can establish accounts by cost group. WMS is a separate license. (T) Inter-org Information If your organizations ship to and from each other, one will need to determine the interorganization accounts to be used as a default. These can be changed by inter-org relationship. The account numbers are derived from the chart of accounts for the set of books. The accounts can all be the same or different based on the needs of the organization. A question to ask: How do I want to map my account numbers to give the best information in financial reporting? Accounts will need to be established for the following: Transfer credit reduction in expense for the sending organization Purchase Price Variance (PPV) The difference between the sending organizations standard cost and the receiving organizations standard cost. This is not applicable in an Average, FIFO or LIFO organization. Receivable account the account that records what is due from the receiving organization Payable account the account that records what is due from the sending organization Intransit account the inter-organization shipments that have not yet been received (T) Other Accounts Purchase Price Variance (PPV) defined as the difference between the standard cost and the purchase price on the purchase order document at the point of delivery into an inventory organization. This is not applicable for an Average, FIFO or LIFO costing organization. Invoice Price Variance (IPV) defined as the difference between the purchase price at the point of delivery and the invoice price at the point of approval. This is applicable for Standard, Average, FIFO and LIFO Costing organizations Inventory AP Accrual account This account is credited when a purchase order line is received on the dock. Sales account This account is used by Receivables when invoicing if a sales account is not defined at the item level. Cost of Goods Sold (COGS) This account is used by Inventory when a shipment is executed from Shipping Execution and decremented in Inventory. Average Cost Variance Account Inventory valuation error caused by issuing inventory before receipts are completed. This results when negative balances are allowed.

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Inventory Organizations Chapter 8 - Page 63

Inventory Parameters and Order Management

Inventory Parameters and Order Management

Determine ATP rules Determine Picking Rules Sub-inventory order for Picking Rules Locator Order for Picking Rules

Inventory Parameters and Order Management Inventory, Vision Operations (USA) (N) Setup > Organizations > Parameters > (T) ATP, Pick, Item-Sourcing ATP Defaults If you are going to run Available to Promise (ATP) for the organization, determine what the ATP rule will be at the organization level. This can be overridden at the item level. The creation of the rule itself will determine what is included when ATP is calculated. This rule must be defined before selecting on the Parameters form. What do you want included in the rule? Picking Defaults This determines the order that Order Management uses when picking from this organization. The rule establishes whether to use revision, lot, and / or sub-inventory information in picking inventory. These default rules must be defined prior to selecting on the Parameters form. You will also be able to determine whether you want pick confirmation to be required. Shortage Parameters for Order Management tells the system whether to check shortages when pick release is run and to notify either the order creator or item planner.

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Inventory Organizations Chapter 8 - Page 64

Agenda

Agenda
Overview of the Enterprise Structure Defining Units of Measure Defining Locations Setting up Inventory Organizations Establishing Inventory Parameters Defining Sub-inventories

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Inventory Organizations Chapter 8 - Page 65

Sub-Inventories

Sub-Inventories
Sub-Inventories are subdivisions of an organization and can represent the physical locations such as storerooms. Sub-inventories can also represent logical collections of items, such as finished goods inventory or reject material.

Floor Stock Sub-inventory

Finished Goods Sub-inventory

Sub-Inventories: Sub-Inventories are used for transactions, physical inventory counts and cycle counts. Considerations for sub-inventory definition: Do you want the sub-inventory to be reflected on the balance sheet and in the inventory valuation? If so, this needs to be an asset sub-inventory. If the answer is no, do you want to track quantity? If yes, then enable quantity tracked Do you want to be able to reserve items in this sub-inventory for Sales Orders? If so, enable reservable. Do you want this sub-inventory to be included in the Available to Promise calculation? If so, enable the ATP box. What does the physical layout of your warehouse or inventory area look like? The accounts tab shows is where the account numbers used in general ledger reporting are defined for a standard costing organization. These accounts default from the organization parameters and can not be updated for an Average, FIFO or LIFO costing organization.

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Inventory Organizations Chapter 8 - Page 66

Guided Demonstration - Create a Sub-Inventory

This demonstration shows how to create a subinventory for the Demo-Manufacturing inventory organization created in an earlier demonstration in this lesson.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Organizations > Subinventories 1. If your organization does not reflect DM1-Demo Manufacturing, Navigate to the Change Organizations window. (N) Change Organization Select DM1 Demo Manufacturing from the list of values Return to Subinventories window and verify DM1 is referenced in the window title

2. Navigate to the Detail window for the Subinventory 3. (B) Open 4. (T) Main (should be the first one) 5. Enter the following values to create a new subinventory: Name: Demo-FGI Description: Finished Goods Sub-Inventory Status: Active Default Cost Group: Accept default Quantity tracked :Checked Indicates that each transaction updates the quantity on hand for the subinventory. If you leave this blank, on-hand balances are not maintained and you cannot check or update the Asset Inventory, Include in ATP, Reservable or Nettable options. Asset Sub-inventory: Checked Indicates the value of this subinventory will be maintained on the balance sheet. Include in ATP: Checked Include items from this subinventory in ATP calculations Allow reservation: Checked Include this subinventory when performing reservation activities. Nettable: Checked Indicates that planning uses the on-hand balance from this subinventory as available. Locator control: None

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Inventory Organizations Chapter 8 - Page 67

 You can only select this field if locator control was defined at the subinventory level in the Organization Parameters window for this inventory organization. 6. (T) Accounts Account Type Material Outside Processing Material Overhead Overhead Resource Expense 7. (I) Save Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-520-2225-0000-000

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Inventory Organizations Chapter 8 - Page 68

Practice - Create a Sub-Inventory

Overview
In this practice you will learn how to create a sub-inventory. Create Sub-Inventory

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You have completed the Practice: Create Inventory Organization. If you have not, substitute M1-Seattle Manufacturing for the requested inventory organization.

Tasks
Create a Sub-Inventory 1. Create a sub-inventory called <XX>-Stores. This sub-inventory is to be used by ATP and planning. It is a subinventory for which we will need balance sheet information. It will not use locator control. The accounting team has given you the following information regarding the general ledger accounts for this sub-inventory: Account Type Material Outside Processing Material Overhead Overhead Resource Expense Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-520-2225-0000-000

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Inventory Organizations Chapter 8 - Page 69

Solution Create a Sub-Inventory

Create a Sub-Inventory Responsibility: Order Management Super User, Vision Operations (USA) 1. Navigate to the Define Sub-inventory window for your inventory organization (N) Inventory > Setup > Organizations > Subinventories If your organization does not reflect XX1-XX IO, Navigate to the Change Organizations window (N) Change Organizations Select XX1 XX IO from the list of values Return to the Subinventories window and verify XX1 is referenced in the window title.

2. Navigate to the Detail window for the subinventory window (B) Open

3. Enter the following values in (T) Main Name: XX-Stores Description: XX Stores Status: Active Default Cost Group: Accept default Quantity tracked: Checked Asset Sub-inventory : Checked Include in ATP: Checked Allow reservation: Checked Nettable: Checked Locator control: None

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Inventory Organizations Chapter 8 - Page 70

4. Enter the following values in (T) Accounts Account Type Material Outside Processing Material Overhead Overhead Resource Expense Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-520-2225-0000-000

5. (I) Save

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Inventory Organizations Chapter 8 - Page 71

Copyright Oracle Corporation, 2003. All rights reserved.

Inventory Organizations Chapter 8 - Page 72

Summary

Summary
In this module, you should have learned how to: Describe Enterprise Structure in Oracle Applications Define Units of Measure Define Locations Setup Inventory Organizations Establish Inventory Parameters Define Sub-inventories

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Inventory Organizations Chapter 8 - Page 73

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Enter Items
Chapter 9

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Enter Items Chapter 9 - Page 1

Enter Items

Enter Items

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Enter Items Chapter 9 - Page 2

Objectives

Objectives
After completing this module, you should be able to do the following: Describe how items integrate in the Order to Cash Life Cycle Define items and item attributes Explain item implementation considerations

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Enter Items Chapter 9 - Page 3

Agenda

Agenda
Overview of the items Defining items and item attributes Explaining item implementation considerations

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Enter Items Chapter 9 - Page 4

What is an Item?

What is an Item?

Components

Assembly

Supplies

Option Classes

What is an Item? An Item is defined as anything you make, purchase, or sell, including components, subassemblies, finished products, or supplies. Oracle Manufacturing also uses items to represent planning items that you can forecast, standard lines that you can include on invoices, and option classes you can use to group options in model and option class bills.

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Enter Items Chapter 9 - Page 5

Oracle Applications Use Items

Oracle Applications Use Items

Inventory BOM/ENG Material Planning Advanced Supply Chain Planning Work in Process Cost Management Quality Order Management Depot Repair Accounts Receivable Accounts Payable Items Manufacturing Scheduling Project Manufacturing Purchasing Sales Enterprise Asset Management

Oracle Applications Use Items The applications in the diagram above is not all inclusive but is meant to give an understanding that the item definition is used in many different places in Oracle. Oracle Applications use a common data model and the item definition is an example of the a common data element that is used in many applications. It is the common data element that make the integration across eBusiness suite seamless. Each of applications use the item in different ways. This will be described on the next page.

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Enter Items Chapter 9 - Page 6

How Do Oracle Applications Use Items?

How Do Oracle Applications Use Items?

Production

Receiving

Invoices to Customer Invoices from Suppliers

Shipments

How do Oracle Applications Use Items? Inventory: To stock, plan, cost and transact. Engineering and Bill of Material: To create a bill of materials and routing as well as a component on a bill of materials. Material Planning: With the planning engine, which makes suggestions as to discrete jobs and purchase requisitions based on supply and demand. Quality: Used a the basis for the collection of quality data as you do move transactions in Work in Process, complete assemblies in Work in Process, receiving and inspection transactions in Purchasing. Cost: To establish a cost based on one of the four perpetual costing methods (standard, average, FIFO and LIFO) and uses this as a foundation for valuing transactions. Purchasing: To complete purchase orders, requisitions, request for quotes, quotations and receipts. Work in Process: As the basis to create work orders. Accounts Payable: As the basis for Supplier invoices. Accounts Receivable:As the unit to bill customers.
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Enter Items Chapter 9 - Page 7

Order Management: To represent goods and services placed on Sales Orders. Shipping Execution: To ship to a customer or another organization Advanced Supply Chain Planning and Scheduling: To plan and schedule based on criteria supplied. Project Manufacturing: To link a transaction to a project and task through purchase order receipts, work order transactions, and inventory transactions. Sales: To create quotes. Depot Repair: To create non-standard work orders Manufacturing Scheduling: To schedule a work order or job based on material and resource constraints. Resource instances are created as items. Enterprise Asset Management: To create asset activities, asset groups and rebuildables using the item definition in Inventory. Note: This list is not all inclusive but gives a general idea of how important the item is in Oracle Applications.

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Enter Items Chapter 9 - Page 8

Item Attributes

Item Attributes
Enterprise Asset Management Physical Attributes Work in Process

Main

Inventory

Bill of Material

Costing

Purchasing

Receiving

General Planning

MRP/MPS Planning

Lead Time

Order Management

Invoicing

Service

Web Option

Item Attributes Item Attributes are the characteristics of an item. When these attributes are combined in an item definition, they tell Oracle how the item can be used to execute business process. Item characteristics include whether an item can be inventory item or expense item; stockable; manufactured or purchased; planned, have a lead time; as well as many other attributes.. Additionally, an item can be a piece of equipment or a vehicle. When defining an item, you select Item Attributes form fields on multiple tabs on the Item Master form which divide the attributes into functional areas. Those tabs with a few examples are as follows: Main: Unit of Measure, Item Type, Long Description. Inventory: Inventory Item, Stockable, Transactable, Item controls such as Lot, Locator, Serial. Bill of Material: BOM type. Enterprise Asset Management: Asset Groups, Asset Activities, Rebuildables, Activity Types.

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Enter Items Chapter 9 - Page 9

Note: This tab is not available for all implementations. It will only be visible for clients who have installed Family Pack G or implementing Oracle Applications Release 11.5.6 or later. Costing: Costing Enabled, Cost of Goods Sold Account. Purchasing: Purchased, Purchasable, List Price, Expense Account, Invoice Matching. Receiving: Receipt Routing, Over Receipt Tolerance. Allow Substitute Receipts Physical Attributes: Dimensions, Weight, Volume, Container, Type General Planning: Make or Buy, Inventory Planning (Min-Max) MRP/MPS Planning: MRP vs. MPS Planned, Order Modifiers, Time Fences Lead Time: Processing, Variable, Fixed Work in Process: Build in WIP, Supply Type, Over Completion Tolerance Order Management:Customer Ordered, Customer Orders Enabled, Shippable, ATP rule, Returnable Invoicing: Invoiceable Item, Invoice Enabled, Sales Account, Tax Code, Accounting Rule Service: Support service, Serviceable Product Web Option: Orderable on the Web, Publishing Status Item attributes are a very important decision in implementing Oracle. Companies need to think carefully about how their items are used and how they want to use them in Oracle before they start the implementation. This will be discussed in more detail in a later section of this module. Note: Some attributes rely on settings of other attributes. For example to be Customer Orders Enabled, Customer Orderable must also be selected. In some cases, the dependent attributes may reside on separate tabs. When a conflict occurs, Oracle will notify the individual setting the attributes with a pop-up window that not all of the required attributes have been selected.

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Enter Items Chapter 9 - Page 10

Item Statuses Representing the Life Cycle

Item Statuses Representing the Life Cycle

Engineering Purchased only Inactive

Prototype Purchased Built in WIP

Active Stockable Orderable Invoicable

Phase Out Orderable Invoicable Transactable

Items Statuses Representing the Life Cycle All items within Oracle have statuses. The statuses represent the life cycle of the item. By using a item status, you can control key functionality of an item. Status attributes enable and disable the functionality of an item over time. Each status attribute allows you to enable the item for particular use. For example, if you set the status attribute Purchasing to yes then you can place the item on a purchase order. Changing the status of an item can be done via concurrent request or manually. This is a customer decision as to how they want to handle. The only requirement is that the customer use the status Active. The Item Status attribute has a user defined set of yes/no values for the status attributes. The values are applied to the status attributes when you choose an item status code when defining an item. For example, in the beginning of a product development cycle you can set the Item Status attribute to Prototype with all of the status attributes defaulted to yes except for Customer Orders Enabled. When the item is ready you can change the Item Status attribute to Active to allow all functions for the item. When defining an item you must give the item status by using the Item Status attribute.

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Enter Items Chapter 9 - Page 11

The Status Attributes are related to the defining Item Attributes. You cannot enable a Status Attribute if you do not set the corresponding item attribute to yes. The item defining attributes are as follows: Inventory Item Purchased item Internal Ordered Item MRP/MPS Planning Method Service Item Costing Enabled Engineering Item Customer Ordered Item If any of the above item defining attributes is set to yes, then the item is automatically assigned to the default category set for the item.

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Item Attributes Used in Item Status

Item Attributes Used in Item Status

Yes Yes Yes Yes Yes Yes Yes Yes Active Stockable Transactable Build in WIP Purchasable Customer Orders Enabled Internal Orders Enabled BOM Allowed Invoicable No No No No No No No No Inactive

Item Attributes Used in Item Statuses Inventory, Vision Operations (USA) (N) Items > Setup > Items > Item Codes The item attributes above should be used together to represent the part as it travels through its lifecycle. The two item statuses that come seeded with Oracle are Active and Inactive. The attribute settings for each of the status attributes with the two seeded statuses is given above. There is no requirement to add additional statuses. Examples of additional statuses are: Prototype Phase out Prototype: A prototype item may not be ready to ship to a customer. The company needs to be able to build it in WIP or purchase it, and either create a BOM for the item or put the item on a BOM but not sell the item at this point in time. Therefore the Customer Orders Enabled and Invoice Enabled attributes should be set to No. When the customer is ready to sell and ship the item, she will change the status of the item to Active, which will update the two attributes to Yes.
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Phase Out: The company wants to get rid of existing stock of an item. Therefore the attributes Purchasable and Build in WIP should be set to no, so that existing stock is depleted. Status Attribute Definitions: Users may define as many statuses as necessary to represent their business. The attributes and what they mean are given below so that the company implementing the E-Business Suite can decide how they want to use this functionality. The definitions of the attributes used in status control are given below. Stockable: Allows you to store the item in an asset sub-inventory. Transactable: Allows you to transact the item Inventory, Order Management, Purchasing and WIP. Build in WIP: Allows you to build the item on a discrete job and/or a repetitive schedule Purchasable: Allows you to place the item on a purchase order Customer Orders Enabled: Allows you to place the item on a sales order. Internal Orders Enabled: Allows you to create an internal sales order for the item. BOM Allowed: Allows you to create a bill of material for the item. Invoice Enabled: Allows you to create an invoice for the item.

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Enter Items Chapter 9 - Page 14

Guided Demonstration - Create an Item Status

This demonstration shows how to define Status Codes within Inventory.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Setup > Items > Status Codes 1. If you are prompted for an organization, choose V1-Vision Operations Enter the following values to create a new Item Status Code: Status: DEM_Status Description: Demo Status Enable (check) the following: BOM Allowed Build in WIP Internal Orders Enable Transactable Purchasable Stockable Note: The Usage column should say: Default Control for all attributes. (I) Save.

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Item Master Organization and Child Organizations

Item Master Organization and Child Organizations

Item Master Inventory Organization 1 Transactions Parts Listing no Transactions

Inventory Organization 2

Items are created in the Master Org and assigned to the Child Orgs All of the above are Inventory Organizations

Item Master Organization and Child Inventory Organizations Item Master Organization The first Inventory organization that is defined. Its single purpose is for entering items. It has no sub-inventories and is not used for inventory transactions. The item master can be thought of as a parts list. Oracle suggests that implementers create at least two Inventory Organizations, an item master and an inventory organization. If you only create one organization and ever decide to expand to more than one organization, the initial decisions made at implementation may restrict what you can do. For example, during implementation one will decide where to control item attributes. Are they controlled at the item master or at the individual organization level? A company with only one organization is not impacted by this but if you ever add an additional organization later, the attribute controls will be harder to change. It is not a requirement to have more than one organization but is suggested. Child Organization An inventory organization with at least one sub-inventory that is set up for processing inventory transactions. It is not used to enter items. Items are created in the item master and assigned to the child organization(s). One can have as many inventory organizations as needed to meet business requirements.
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Note: One item master is recommended and can cover multiple sets of books. It is much easier to add an inventory organization and assign items to the new organization than it is to copy from one item master to another once the data has been entered. Carefully consider the business reasons why you need two item masters.

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Agenda

Agenda
Overview of the items Defining items and item attributes Explaining item implementation considerations

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Creating an Item

Creating an Item
Create a new item: Enter Item Name Apply template or copy from an existing item Modify attributes if necessary Assign to Inventory Organization Save to the database
V1

M1

M3

Creating an Item Inventory, Vision Operations (USA) (N) Items > Master Items An item is created by either importing the item through an open interface or manually using the master item windows.

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Enter Items Chapter 9 - Page 19

Implementation Considerations

Implementation Considerations
Choose Item Attribute Control Levels Define UOMs Define Status Control Levels Define Statuses Define Create Categories Templates Define Category Sets Define Default Category Sets 1 Define Catalogs

Implementation Considerations A number of elements must be considered when implementing items within the E-Business Suite. Determine what the item attribute controls will be. Are you going to control each attribute at the master level or the organization level? Are you going to have centralized control (master) or decentralized control (organization)? This is determined by attribute. What Units of Measure will you need to transact items in? Units of Measure need to be defined for both transaction use and for use as the Primary Unit of Measure for an item. The primary unit of measure is the smallest unit of measure for that item and is considered to be the base for all transactions of that item. Will you need Item Statuses beyond the seeded values? If so, they need to be defined. Create at least one category and category set as all items are put into a category set and category when they are defined. Define as many categories as necessary to meet your needs. Review the seeded templates and determine whether to create the item templates or use the seeded templates. Define catalogs to group your items.
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Enter Items Chapter 9 - Page 20

Describing Item Attributes Order Management

Describing Item Attributes Order Management

Customer Orders Enabled

OE Transactable

Shippable

Returnable

Describing Item Attributes Order Management Below are the attributes within the Order Management tab of the Item Definition window. Some the attributes on this tab are affect by attributes located on other tabs within the window. As with other settings within Oracle, many of these attributes allow implementers to set specific values to override ones previously defined in default hierarchies. As the item is considered to be the most specific level, these values will take precedence over inventory organization settings. Customer Orders: Indicate whether to allow an item to be ordered by external customers. You can add any customer orderable items to price lists in Order Management. This attribute must be turned off if the BOM Item Type attribute is set to Planning. If you turn this attribute on, you can temporarily exclude an item from being ordered by turning Customer Orders Enabled off. This is an item defining attribute. If you turn this attribute on, the item is automatically assigned to the default category set for the Order Management functional area. Customer Orders Enabled: Indicate whether an item is currently customer orderable. If you turn this attribute on you can specify the item in the Enter Orders window in Order Management.
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You can initially define an item with Customer Ordered Item turned on and Customer Orders Enabled turned off. This means prices can be defined for the item, but no orders can be placed for it. This attribute is optionally set by the Item Status code. Shippable: Indicate whether to ship an item to a customer. Shippable items are released by Order Management's Pick Release program, creating confirmable shipping lines, and are printed on the pick slip. A warning is issued if you change the value of this attribute when open sales order lines exist. For an item to be shippable, it must also be an Inventory Item and Stockable. Both of these attributes are listed on the Inventory Tab. This Shippable attribute must be turned off if the BOM Item Type attribute is set to Planning. Internal Ordered: Indicate whether to allow an item to be ordered on an internal requisition in Purchasing. These items then are transferred onto an Internal Sales Order in Order Management. If you turn this attribute on, you can temporarily exclude an item from being ordered on an internal requisition by turning Internal Orders Enabled off. This is an item defining attribute. If you turn this attribute on, the item is automatically assigned to the default category set for the Oracle Purchasing functional area. Internal Orders Enabled: Indicate whether you can currently order an item internally. If you turn Internal Ordered Item on, you can temporarily exclude an item from being ordered on an internal requisition by turning this attribute off. This attribute is optionally set by the Item Status code. OE Transactable: Indicate whether demand can be placed for an item by Order Management (OM), and whether shipment transactions are interfaced to Inventory. Most items with Shippable turned on also have OM Transactable turned on. For items you do not ship, you may still want OM Transactable turned on if you use the items in forecasting or planning. If you also want to reserve the item, turn Reservable on. A warning is issued if you change the value of this attribute when open sales order lines exist. You cannot turn this attribute off if demand exits. Default Shipping Organization: Enter the warehouse from which you typically ship this product. This organization can default to the Enter Orders window if Item is the source attribute of the Warehouse object in the standard value rule set for the order. This organization defaults to the Enter Returns window if a receiving warehouse is not defined on the customer or order type. Picking Rule Enter the picking rule that defines the order in which subinventories, locators, lots, and revisions are picked. Pick Components Indicate whether an item has a bill of material with options, classes, or included items picked from finished goods inventory. Pick-to-order items must have this attribute turned on.

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Assemble-to-order items and items without a bill of material must have this attribute turned off. Assemble to Order Turn this attribute on if an item is generally built for sales order demand; a final assembly work order is created based on sales order details. An item cannot have Pick Components turned on and this attribute turned on at the same time. Check ATP Select Check Material Only, Check Material and Resources, Check Resources Only, or None to indicate whether to check available to promise and/or capable to promise information when placing demand. This attribute also determines whether you can view component ATP information for material requirements in Work in Process. ATP Components Indicate whether to include, in available to promise checking, additional components in the bill of material for ATO and PTO items. These components are included in ATP checking if Check ATP for the component is turned on. ATP Rule Enter a user-defined available to promise rule. ATP rules define supply and demand sources, time-fence parameters, and available-to-promise calculation methods. You can give ATP rules meaningful names, such as ATO ATP Rule. If there is no ATP rule for the item, the organization's default ATP rule is used. Ship Model Complete: Indicate whether any configuration derived from this model can ship only when all required quantities of all configuration components (options or included items) are available. If you turn this attribute on, the Pick Components attribute and the profile option OE: Reservations must be Yes; the BOM Item Type attribute can be Model or Standard. Returnable: Indicate whether to allow customers to return an item. If an item is returnable, you can enter it on the Returns window in Order Management. Order Management uses this attribute along with Stockable and Transactable to determine which authorized returned items you can physically receive into inventory. RMA Inspection Required Indicate whether inspection is required for items returned by the customer. The item then must be separately transferred to inventory. Credits are never automatically generated by Order Management for customer return items awaiting inspection. OverShipment Tolerance The amount by which you want to allow shipments over the sales order quantity. This is expressed in terms of a percentage. UnderShipment Tolerance The amount by which you want to allow shipments under the sales order quantity. This is expressed in terms of a percentage. OverReturn Tolerance
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The amount by which you want to allow returns over the sales order quantity. This is expressed in terms of a percentage. UnderReturn Tolerance The amount by which you want to allow returns under the sales order quantity. This is expressed in terms of a percentage. Financing Allowed Indicate whether a customer can finance this item.

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Describing Item Attributes - Invoicing

Describing Item Attributes - Invoicing

Invoicing Enabled

Sales Account Number

01-520-4510-0000-000

Describing Item Attributes Invoicing Below are the attributes within the Invoicing tab of the Item Definition window. As with other settings within Oracle, many of these attributes allow implementers to set specific values to override ones previously defined in default hierarchies. As the item is considered to be the most specific level, these values will take precedence over inventory organization settings. Several of these values are able to default into the Sales Order and Return transactions in Order Management via the Defaulting Rules implemented by the customer. Invoiceable Item: Indicate whether to include an item on an Receivables invoice. If you turn this option on, you can temporarily exclude from invoicing when Invoice Enabled is turned off. Invoice Enabled: Indicate whether to activate an item for invoicing in Receivables. If Invoiceable Item is turned on, you can temporarily exclude from invoicing by leaving Invoice Enabled turned off. If you turn this option on, the item appears in the Invoice Entry item list of values in Receivables. If you turn this feature off, the item does not appear in the list of values and AutoInvoice rejects the item. This attribute is optionally set by the Item Status code.
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Accounting Rule: Enter an accounting rule to identify special revenue recognition rules for an item, such as recognizing revenue over time. Invoicing Rule: Enter an invoicing rule to determine the period in which you send an invoice when you recognize revenue over time (using accounting rules). Tax Code: Enter a tax code to use when calculating tax based on location and tax codes. You assign specific rates to a Tax Code in the Other Tax Rates window. Sales Account This attribute is controlled at the Organization level only. Sales Account Enter the general ledger account Receivables can use to record revenue when you bill the customer. If AutoAccounting references standard line, this accounting combination can be used either whole or in part to create the invoice account combinations required. Payment Terms Enter a valid payment terms code.

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Guided Demonstration - View Item Attributes

This demonstration shows the main tabs within the Item Definition window that relate to the Order to Cash Process.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Items > Master Items 1. If prompted, select the V1-Vision Operations inventory organization. 2. Find or Query the item CM13139 The attributes tell us that the intent of this item was to be a purchased item. 3. (T) Main Note the primary unit of measure smallest unit we will transact the item in. Also will be the default unit of measure on Order Management documents. Note the Item Status. (Active). 4. (T) Inventory These attributes control whether the item is an Inventory Item and Stockable. You will also see that there are no inventory controls on this item. These affect the order to cash process in that we wish to ship this item, but are not concerned about its serial number. 5. (T) Costing The Cost of Goods Sold Account can be used by Account Generator during the shipping process. 6. (T) Physical Attributes These attributes are used during the shipping section of the order to cash process. Oracle is able to calculate shipping volumes based upon information entered in this tab. Also note the designation of container. For companies that require container and vehicle definition, the item master contains this data along with the parts that are shipped within the containers and vehicles. 7. (T) Order Management These attributes as discussed in the text control how this item behaves within the ordering process. CM13139 does not have any specific settings for ATP Rule or Default Shipping Organization, but if it did, they would take precedence over the values set for the inventory organization. 8. (T) Invoicing

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 These attributes as discussed in the text control how this item behaves within the invoicing process. Note the general ledger account associated with the Sales Account field. This is the value that will be optionally used by AutoAccounting. It must be set for each organization, however the value in this field will default from the inventory organization definition. This is a place to override that value.

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Describing Attributes Controls at Master Level

Describing Attributes Controls at Master Level

Inventory Item - Yes Item Master Inventory Organization 1 Inventory Item - Yes Inventory Organization 2 Inventory Item - Yes

Describing Attribute Controls at Master Level Item attributes Specific characteristics of an item, such as order cost, item status, revision control, COGS account, etc. Each item attribute is controlled at the master level organization or the child organization. Item attribute control level The level at which you wish to control various item attributes in accordance with company policy. You may choose either the master or child (organization) level for control. For example, if your company determines serial number control at headquarters regardless of where items are used, you define and maintain serial number attribute control at the item master level. If each organization maintains serial number control locally, they maintain those attributes at the organization specific level. Attributes Controlled at the Master Level An item has the same value for such attributes in all organizations in which it is defined. You can enter and update the values of Master-level attributes only by using the Master Item window. Inventory reflects your changes in all organizations that carry the item.

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Describing Attributes Controls at Child Level

Describing Attributes Controls at Child Level

Make / Buy = Make Item Master Inventory Organization 1 Make / Buy = Buy Inventory Organization 2 Make / Buy = Make

Describing Attribute Controls at Child Level An item may have different values for such attributes in each organization in which it is defined. When you define your items in the item master, you can specify defaults for organization-level attributes. You can update the values of organization-level attributes only by using the Organization Item window in each organization that carries the item. Changes to attributes: If the attribute is controlled at the master level, then any change to the attribute at the master will be populated to the children organizations. Children organizations will not be able to change attributes that are controlled at the master level. If the attribute is controlled at the child level, then any change the attribute at the master will not be populated to the child organizations. If one or more children organizations impacted, each one will have to be changed separately. In the example above, if I change the make/buy flag to make in Organization #1, this will not change the attribute at the master level or in any other organization. If the attribute control were at the master level, then changing the make/buy flag to buy at the master level would change each child organization.
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If you have BOM installed, then the following attributes will need to set at the child level. This is because Oracle does not share resources across organizations. Costing enabled Inventory Asset Value

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Enter Items Chapter 9 - Page 31

Describing Item Status Attribute Controls

Describing Item Status Attribute Controls

Attribute Stockable Transactable BOM Allowed Purchasable Build in WIP Customer Orders Enabled Internal Orders Enabled Invoice Enabled Attribute Value Status Setting Can I change? Yes Yes No Yes Yes No Yes No Sets Value Sets Value Sets Value Not Used Defaults Value Sets Value Defaults Value Not Used No No No Yes Yes No Yes Yes

Describing Item Status Attribute Controls In addition to deciding whether the item attribute will be controlled at the master or the child level, each of the status attributes also has a status attribute control. The status setting level determines whether you can update the value of each status attribute within an item status. There are three status attribute controls and they are as follows: Sets Value: The status that you assign to the item loads an non-updateable value into the status attribute. You can update the status attribute by change the status that you assigned to your item. Defaults value: The status that you assign to the item loads a default value into the status attribute. You can update the status attribute as you define your item. Not Used: The status that you assign to the item does not determine the value of the status attribute. You can enable or disable the status attribute as you define your item.

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Enter Items Chapter 9 - Page 32

Describing Item Templates

Describing Item Templates

What attributes are being enabled each time an item is created?

Use a template to enable those attributes with one keystroke as opposed to many.

The result: Attributes in template are applied to new item.

Describing Item Templates Item templates are used to make defining items easier. There are over 190 attributes. It can take time to go through >190 attributes and determine which ones should be enabled especially if the same type of item is entered repetitively. Item Templates are designed to meet that need. An item template contains values for any number of item attributes. When an item is created and a template applied, the values on the template are copied to the item so each attribute does not have be addressed individually. Note: The item status and primary unit of measure are item attributes and are on the templates. If you want to use the life cycle approach to parts, you might want to consider leaving these fields blank and forcing the user to enter the value when the item is created. Additionally, the item status and primary unit of measure can also be defaulted via profile option. You might want to consider leaving this null as well.

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Creating Item Templates

Creating Item Templates

Copy from an existing or predefined template; make changes as necessary to meet your business needs.

Start from Scratch and create a template that is meaningful to you.

Creating Item Templates Inventory, Vision Operations (USA) (N) Setup > Items > Templates There are several options with respect to creating item templates: Use Predefined Templates there are templates that come pre-defined with Oracle. Examples include Finished Good, Planning Item, Purchased Item and Kit. Create your own template. This can be done in one of several ways. - Use an existing template and copy to a new template. Give the template a new name. - Create a template from scratch No matter which option you choose in defining templates, Oracle Inventory will apply only those attributes to an item which are enabled. If the attribute is not enabled, then the attribute will not be applied to the item. Note: It is advisable to keep the pre-defined templates intact and not make changes to what comes with Oracle. It is better to create your own template by copying a pre-defined template and giving a name that is meaningful to your organization. This is because if you ever need
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Enter Items Chapter 9 - Page 34

that original template for reference you will have it. If you make changes to a template, the changes will be effective with the next time you use the template. Changes are not applied retroactively. Implementation considerations: Are you going to use the existing templates? Review the existing templates and see if they either can be used or used to copy to a new template. Put a process in place for defining items such that templates are not applied on top of templates. The last template is the one that wins. The order in which templates are applied is extremely important What attributes reflect what is going on in your business? What is meaningful to you in terms of what a finished good or purchased part is?

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Using Item Templates

Using Item Templates

Apply the template to a new item being created.

Make changes and deletions as necessary.

Verify you have the attributes you want on the item.

Using Item Templates Use Item templates to quickly apply attributes to an item. Templates can hold a complete set of attributes or a partial set. If a partial set, then only values stored in the template overwrite those on the item. More than one template can be applied, however, if more than template is applied, the last template applied is the one whose attributes will be enabled for that item. After the template(s) is used, make changes as necessary to a particular item. An item template can be changed, however, the changes do not affect any items already created using that template. If you are changing an attribute more than 50% when using the same template, it might be better to change the attribute on the template.

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Guided Demonstration - Create an Item

In this demonstration you will see how to create three items. The first will not use a template, the second will and the third will have the attributes copied from an existing item. You will also enable these items for use in three warehouses within the Vision system.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Inventory > Items > Master Items 1. If prompted, select V1-Vision Operations inventory organization. Create an Item manually 2. Enter the following values to create a new item. Item: Demo-Monitor Description: Demo Monitor 3. (T) Main Primary Unit of Measure: Each Item Status: Active 4. (T) Inventory Inventory Item: Checked Note: By selecting Inventory Item, weve defined the item to be an inventory iteman item that will be stocked in a warehouse. The Stockable and Transactable attributes determine what actions may be taken on the item. These attributes are automatically selected when choosing Inventory Item. 5. (T) Purchasing Purchased: Checked Purchasable: Checked List Price: 250 6. (T) Order Management Customer Ordered: Checked Shippable: Checked OE Transactable: Checked Note: By default RMA Returnable is checked. Also by selecting Customer Ordered, Customer Orders Enabled is checked. 7. (T) Invoicing Invoiceable Item: Checked
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Note: Selecting Invoiceable Item causes the Invoice Enabled attribute to be checked automatically. 8. (I) Save

Enable the Item in an Inventory Organization 9. (M) Tools > Organization Assignment 10. Assign the item to the following inventory organizations:
Org M1 M2 M3 Name Seattle Manufacturing Boston Manufacturing Dallas Manufacturing Assigned Checked Checked Checked

11. (I) Save 12. Close the Organization window.

Create an Item using a Template 13. (I) New Record 14. Enter the following values to create a new item. Item: Demo-Mouse Description: Demo Mouse 15. (M) Tools > Copy From 16. Copy the attributes from a template to create your item: Template: Finished Good 17. (B) Apply Note: the message line indicates that the template was applied.(Template implemented) 18. Close copy window using (B) Done 19. Select the following tabs noting the values that were selected using the template: Main Inventory Purchasing Order Management
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 Invoicing 20. (I) Save Enable the Item in an Inventory Organization 21. (M) Tools > Organization Assignment 22. Assign the item to the following inventory organizations:
Org M1 M2 M3 Name Seattle Manufacturing Boston Manufacturing Dallas Manufacturing Assigned Checked Checked Checked

23. (I) Save 24. Close the Organization window. Create an Item by Copying an Existing Item 25. (I) New Record 26. Enter the following values to create a new item. Item: Demo-Keyboard Description: Demo Keyboard 27. (M) Tools > Copy From 28. Copy the attributes from an to apply to your item: Item: CM18759 Note: You may need to use the (B) Clear to clear the template information used earlier in this demonstration. 29. (B) Apply Note: the message line indicates that the item information was applied. (Item Copied) 30. Close copy window using (B) Done 31. Select the following tabs noting the values that were selected using the template: Main Inventory MPS/MRP Planning Purchasing
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 Order Management Invoicing 32. (I) Save Enable the Item in an Inventory Organization 33. (M) Tools > Organization Assignment 34. Assign the item to the following inventory organizations:
Org M1 M2 M3 Name Seattle Manufacturing Boston Manufacturing Dallas Manufacturing Assigned Checked Checked Checked

35. (I) Save

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Practice - Create an Item

Overview
In this practice you will learn to create an item using a template. Create an inventory item. Enable the item in an Inventory Organization.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
Create an inventory item 1. Create an inventory item called XX-Mousepad. The engineering team has determined that the Finished Good template contains all of the necessary item attribute settings, except the list price of the item, which should be set to 2.00.

Enable the item in an Inventory Organization. 2. Enable your item in three inventory organizations: M1, M2, and M3.

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Solution Create an Item

Create an inventory item 1. Navigate to the Master item window. (N) Inventory > Items > Master Items Item: XX-Mousepad Description: XX Mousepad

2. Copy the attributes from the Finished Good template: (M) Tools > Copy From Template: Finished Good (B) Apply

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3. Close Copy window (B) Done

4. (T) Inventory. Verify the following settings: Inventory Item: Checked Stockable: Checked Transactable: Checked Reservable: Checked

5. (T) Purchasing. 6. Verify the following settings:

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 Purchased: Checked Purchasable: Checked 7. Enter the List Price: 2.00

8. (T) Order Management. Verify the following settings: Customer Ordered: Checked Customer Orderable: Checked Shippable: Checked OE Transactable: Checked

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9. (T) Invoicing. Verify the following settings: Invoiceable Item: Checked Invoice Enabled: Checked

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10. (I) Save

Enable the Item in an Inventory Organization 11. Navigate to the Organization Assignment window. (M) Tools > Organization Assignment
Org M1 M2 M3 Name Seattle Manufacturing Boston Manufacturing Dallas Manufacturing Assigned Checked Checked Checked

12. Assign the item to the following inventory organizations:

13. (I) Save.

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Agenda

Agenda
Overview of the items Defining items and item attributes Explaining item implementation considerations

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Describing Item Categories

Describing Item Categories

Desktop

Laptop

Describing Item Categories Use item categories to group items that have similar characteristics. For example, desktop computers may be one category and laptop computers may be another category. Many of the reports in Oracle use categories as a way to report on information. You could use categories to analyze the categories that had the highest volume or value of transactions or use them as a way to do product line reporting and see what product lines are the most profitable. The margin analysis report allows one to run the report by category.

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Create Item Categories

Create Item Categories

Item Flexfield Structure Name Product Family Product Class Product Family Product Class Product Family Product Class Category Name Computers Desktops Computers Laptop Computers Accessories Item Name Desktop 1 Desktop 2 Laptop 1 Laptop 2 Video card Modem

Create Item Categories Inventory, Vision Operations (USA) (N) Setup > Items > Categories > Category Codes Structure the Category key flexfield to meet business needs. An example would be to have two segments in the flexfield. One segment might be the product line and the second segment might be product class. In the example above, product line would be computers and product class would be desktop and laptop. This can be structured to be as meaningful to the customer as needed. The structure of this flexfield needs to be considered before the implementation starts and for each structure defined, should not be changed after implementation. Each item is assigned to a default category and category set when defined. There are many possible default category sets an item may be included in: Inventory, Purchasing, and Order Management are examples. Each of these will have a default category for the initial assignment of the item. This default assignment can be changed based upon business needs. Item Category Key Points: Determine how you want the structure to look and define the item flexfield. You can define as many structures as you need for your business. You are not limited to one.
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Enter Items Chapter 9 - Page 49

 Create category names based on this structure Note: By default when you create an item, if it is enabled with the attribute Inventory Item, it will be assigned to the default category for the Inventory category set. You can change this as you define the item or at a later time.

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Enter Items Chapter 9 - Page 50

Establish the Relationship Between the Category, Category Set and Item

Establish the Relationship Between the Category, Category Set and Item
Category Set Category Items

Cost Computers.Laptop Laptop 1 Laptop 2

Inventory

Establishing the Relationship Between the Category, Category Set and Item Items can be in multiple categories, however, they can only be in one category in a category set. When one is deciding how to classify the data, a decision will need to be made as to what items are in what categories within a category set. An item may be in one category for Inventory but in another for the cost accountant who has his own category set for cost. This gives a increased amount of flexibility. The process is as follows: Define the Item Category flexfield Create a category set and assign the category or categories to the category set. Once items have been created, assign them to categories and category sets as necessary for your business.

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Enter Items Chapter 9 - Page 51

Guided Demonstration - Create a Category

This demonstration shows you how to create a new category code and then associate that code with a category set.

Responsibility: Order Management Super User, Vision Operations (USA)

Define the new category code (N) Inventory > Setup > Items > Categories > Category Codes (B) New 1. Enter the following values to create a new category code: Structure Name: Inventory Class (from list of values) Category: Demo INV Description: Computer inventory 2. Tab to the descriptive flexfield. Include in Web Requisition = Y (B) OK Note: This descriptive flexfield information is for iProcurement. 3. (I) Save

Add category code to a category set (N) Setup > Items > Categories > Category Sets > (B) Find 4. If prompted, select V1-Vision Operations 5. Query the Inventory Class category set. 6. Add your category to the Categories region Category: Demo INV 7. (I) Save

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Enter Items Chapter 9 - Page 52

Practice - Create a Material Transaction

Overview
In this practice you will create a material transaction.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Enter quantities for M1-Seattle Manufacturing Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Change Organization Select M1: Seattle Manufacturing

Enter a miscellaneous transaction using the following information: Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias)

3. The miscellaneous transaction should accomplish the following for your XX-Mousepad item: The Stores subinventory quantity should be incremented 10000 Open current period for your inventory organization 4. 5. 6. Use the Change Organization window to make your inventory organization the current inventory organization (N) Accounting Close Cycle > Inventory Accounting Periods Select Line with current period displayed Change the status to open the period

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Enter Items Chapter 9 - Page 53

Enter quantities for your XX-IO inventory organization 7. (N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias)

8. The miscellaneous transaction should accomplish the following for your XX-Mousepad item: The Stores subinventory quantity should be incremented 10000 9. (I) Save

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Enter Items Chapter 9 - Page 54

Solution - Create a Material Transaction

Enter quantities for M1-Seattle Manufacturing Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Change Organization Select M1: Seattle Manufacturing

(N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias) (B) Transaction Lines Item: XX-Mousepad Subinventory: Stores UOM: leave default Quantity: 10000 (I) Save, return to Navigator

3.

4.

Open current period for your inventory organization 5. 6. 7. 8. 9. (N) Change Organization Select XX1 (your inventory organization) (N) Accounting Close Cycle > Inventory Accounting Periods Select Line with current period displayed (B) Change Status (B) OK

10. Return to Navigator Enter quantities for your XX-IO 11. (N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias) 12. (B) Transaction Lines
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Enter Items Chapter 9 - Page 55

 13. (I) Save

Item: XX-Mousepad Subinventory: XX-Stores UOM: leave default Quantity: 10000

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Enter Items Chapter 9 - Page 56

Copyright Oracle Corporation, 2003. All rights reserved.

Enter Items Chapter 9 - Page 57

Describing and Using Item Catalogs

Describing and Using Item Catalogs

Descriptive Element

Catalog Group - Computers

Processor Speed Hard drive Memory

Describing and Using Item Catalogs Inventory, Vision Operations (USA) (N) Setup > Items > Catalog Groups The use of catalog groups provides a standard language for referring to items. Companies in the same industry can communicate effectively without being forced to name their items identically. You can update a detailed description of what an item is without having to embed that meaning into the item number. You can update the item description with a concatenated value of the item catalog group and descriptive element values. You can use descriptive elements as search criteria for items. Item catalogs can also be used to group items. This is helpful to an engineer who is looking for items that already exist and may be similar in some regards to what is being designed. By using catalogs, the engineer can search on a descriptive element that is important to the new design and see what has already been developed and perhaps leverage anothers work.

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Enter Items Chapter 9 - Page 58

A descriptive element describes a classification within a catalog so that information can be sorted and retrieved in different ways. For example, a mail order catalog for clothing could have different descriptive elements such as type of clothing, color and size. Additionally, consider a catalog sales person. A customer calls in and wants to place an order for a pair of shoes. If the descriptive elements were created to reflect types of shoes, color, sizes and style, the catalog sales person could use catalogs to search for that item based on one or more descriptive elements and see if any were in stock. A buyer could also use this functionality to search on descriptive elements and see what is in stock that could be substituted if a there were a shortage of a particular component.

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Enter Items Chapter 9 - Page 59

Define Item Relationships Order Management

Define Item Relationships Order Management

Business World

Customer Item Number Keyboard 12322

Seller Item Number XYZAAA

Define Item Relationship Order Management Inventory, Vision Operations (USA) (N) Setup > Items > Categories > Category Codes The customer item number and the seller item number will probably be different. Defining an item relationship with Customer item numbers allows the seller to be able to cross reference the customer item number with the in house item number. If the customer calls and would like to place an order using their part number, the person taking the call will be able to use that customer number to place the order. The mapping between internal part number and customer part number is customer specific.

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Enter Items Chapter 9 - Page 60

Guided Demonstration - Define Item Relationships

In this demonstration you will see how to create a relationship between a customer item and your internal item.

Responsibility: Order Management Super User, Vision Operations (USA)

N > Inventory > Items > Customer Items > Customer Items 1. If prompted, select V1-Vision Operations 2. (B) New 3. Enter the following values to create a new customer item Customer Name: Business World (#1608) Customer Item: MNT100 Commodity Code: Finished Good 4. (B) Cross Reference 5. Create the cross reference between the customer item and your internal item Customer Item: MNT100 (defaults and is not updateable) Item: Demo-Monitor (from list of values) Rank: 1 Note: Enter the Rank as a positive number. This allows you to define more than one customer cross reference association. In these cases, you must specify the Rank of the cross reference. The highest rank is 1. 6. (I) Save

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Enter Items Chapter 9 - Page 61

Practice - Add an Item to a Price List

Overview
In this practice you will create a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Add item to Corporate price list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Lists window 2. (N) Pricing > Price Lists > Price List Setup

Add your item to the Corporate price list using the following information: Product Context: Item Product Attribute: Item Number Product Value: XX-Mousepad Value: 7.50 Leave all other defaults

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Enter Items Chapter 9 - Page 62

Solution - Add an Item to a Price List

Add item to Corporate price list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Lists window 2. 3. 4. (N) Pricing > Price Lists > Price List Setup

Query Corporate Price List (T) List Lines (I) New Record Product Context: Item Product Attribute: Item Number Product Value: XX-Mousepad Value: 7.50 Leave all other defaults (I) Save

5.

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Enter Items Chapter 9 - Page 63

Copyright Oracle Corporation, 2003. All rights reserved.

Enter Items Chapter 9 - Page 64

Additional Setup Considerations

Additional Setup Considerations

Description Units of Measure Comments

Determine by item before you create; lowest unit you stock, plan and cost Item Flexfield How many segments? Build intelligence? Numbering / Naming Create name or system Conventions generated or both? Conversion of item/item import How are you going to load items into database Which items will be converted? Is there going to be an analysis of what is not needed? Ongoing Item addition and What role will do this? Who will Maintenance have access?

Additional Setup Considerations Units of Measure are a pre-requisite step for defining items. UOM is also an item attribute and is the only one that can not be changed once the item has been saved to the database. If an incorrect primary unit of measure is selected and saved, the only option is to delete the item and start again. This value can be defaulted from a profile option but if your organization does not use the same primary unit of measure (pUOM) for every item, then a decision will need to be made as to whether to create multiple templates for parts using different pUOMs. If the pUOM is allowed to default from a profile option and multiple primary units of measure are used, there is a risk that the wrong one would be applied to the item if there was not a process in place to review the UOM before saving the item to the database. Additional Key Flexfields in Item Definition Item flexfield Key flexfield that give the shape of part number is the System Items flexfield. During implementation, you must decide how many segments should be in your part structure. Additional considerations include: use of intelligence in the part number, validation of the values within the structure and whether the system will generate the part numbers. Sales Order Flexfield
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Enter Items Chapter 9 - Page 65

This is another key flexfield in the Inventory application. It is used to capture information from Order Management when the Inventory interface is run. Examples of the type of information that may be collected from Order Management are the sales order number, order source and order type. The information in this flexfield is populated in the transaction record. Numbering/ Naming Conventions Are you going to let the system generate the item numbers or are you going to define them yourself? If you are going to define them yourself are you going to have some type of naming convention so that the item number has meaning. Are you going to use capitals, lower case letters or both? The query capability in the item form is case sensitive so this is something to consider. Conversion of Item/Item Import How are you going to get your existing items into Oracle? Are you going to enter each item manually? Are you going to import the items through the open interface? Who will verify that the item attributes are correct upon import? Will a reconciliation be done between what was in the legacy system vs. What has been brought into Oracle? Which items will be converted? Does every item need to be brought into Oracle? This is a good opportunity to do clean up work. Run reports in the legacy system and see which items are obsolete and not needed any longer. Those dont need to be brought into Oracle if a backup of the old system is available. Why bring something to Oracle that you dont need. What is the process for entering new items and doing maintenance such as changing item attributes on existing items? Who will have this responsibility and how many people will have access to this screen? Will there be an approval process for changes to item attributes and item additions?

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Enter Items Chapter 9 - Page 66

Summary

Summary
In this module you should have learned how to: Describe how items integrate in the Order to Cash Life Cycle Define items and item attributes Explain item implementation considerations

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Enter Items Chapter 9 - Page 67

Copyright Oracle Corporation, 2003. All rights reserved.

Enter Items Chapter 9 - Page 68

Enter Orders
Chapter 10

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Enter Orders Chapter 10 - Page 1

Enter Orders

Enter Orders

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Enter Orders Chapter 10 - Page 2

Objectives

Objectives
After this module, you should be able to do the following: Enter Sales Order Header information Enter Sales Order Line information Discuss Scheduling orders Book orders Copy an order Discuss Drop Shipments and Internal Orders Run Order Import Identify Key Set Up Elements

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Enter Orders Chapter 10 - Page 3

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 4

Order Creation Methods

Order Creation Methods

Enter Order Online

Copy an order

EDI

Import from other systems

Order Import

Order

Order Creation Methods Enter an order manually using the Sales Order forms. Create a new order by copying an open, closed or canceled order. Orders created from the copy function can be modified as needed. Use Order Import to load orders that come from your EDI transactions, external systems or other Oracle applications such as Internal orders from Purchasing or Material Charge Lines from Service.

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Enter Orders Chapter 10 - Page 5

Order Management Workflows

Order Management Workflows

Controls Order and Line Processing PL/SQL based Notifications Built-in Online/Deferred modes Workflow Monitor Seeded OM Workflows

Order Management Workflows Order Headers and Order Lines have separate Workflows which process the order through its life cycle. Workflow uses PL/SQL based coding to process orders. There are no limits to the number of custom PL/SQL functions you can define to support your business processes. Workflow Notifications indicate to a user when a manual activity, such as an approval needs to be performed. Notifications can be received in the form of an email or a web page. Notifications can stop the process of an Order or Order Line until the Notification has been responded to. Workflow has a Built-in online/deferred mode with a user-definable threshold. Activities that use a lot of system resources can be given a higher cost threshold. High cost activities are automatically deferred to the Workflow Background Engine. You can set up the background engine to run a periodic intervals to process deferred activities. Order Management makes use of the Workflow Monitor. The Monitor is a tool that allows you to graphically monitor a flows progress. Order Management has seeded order processing workflows that correspond to common business flows at both the header and line levels.

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Enter Orders Chapter 10 - Page 6

Defaulting Rules

Defaulting Rules
Default Customers preferences Speed Data Entry Reduce errors Identify Sources Specify priority Override Defaulted Values
Default Sources: Customer Data Item Data Order Agreement Type Price List Other

PL/SQL Profile Options Constant value

Defaulting Rules Use Defaulting Rules to populate the Sales Order with your customers preferences such as freight carrier and contacts. Speed data entry by defaulting standard information such as payment terms, price list and salesperson. This will also reduce data entry errors. You can create a set of Defaulting Rules for each entity on the Sales Order form. Values can be pulled from various sources such as the customers records, item records, and price lists or from a Profile Option or PL/SQL code. Prioritize your Default sources by sequencing them. The defaulting process stops as soon as a Value is found. Values are only defaulted when a record is added. Defaulted values can be overridden if the change does not violate your business procedures. You can create Defaulting Condition templates which define the exception criteria to allow the system to automatically default values from various sources under different circumstances.

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Enter Orders Chapter 10 - Page 7

Credit Checking

Credit Checking
Enter Order Book Order Booking Shipping

Credit Check

Credit Checking Order Management can perform Credit Checking when the Order is booked, when it is released to shipping or both. The Orders transaction type dictates when credit checking will occur and what Credit Check rule will be used. Use Profile Classes to set Credit Limits by currency and to activate/inactivate credit checking. The Customers Profile classes are associated with their Bill-to addresses. Use Payment Terms on your sales order to override credit checking. Example: Payment terms of Cash will not perform a credit check. Orders failing credit check go on a automatic Credit Check Hold. Credit Check Holds can be removed manually by an authorized responsibility. Or they can be removed automatically by the picking program, if the customers AR balance has been reduced or if their credit limits have been increased. A Credit Check Hold can be automatically released or applied from the Sales Order form if any of the following fields are undated on a booked order; price list, order quantity, payment terms, or ship date.

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Enter Orders Chapter 10 - Page 8

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 9

Order Header

Order Header

Performs Two Major Functions

Holds the Order open until all Lines have Closed Acts as the Primary source for Order Line Defaulting

Order Header Most of the Order Header attributes are available at the line level so the Header primarily serves as a holding device to keep the Sales Order open until all the lines have been closed or canceled. The Order Header is the primary defaulting source for new order lines. Order Header fields can be defaulted from a variety of sources, such as the Customer records, an agreement or a price list. Since only a minimum of the Header information is mandatory you are able to enter and save an order very quickly.

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Enter Orders Chapter 10 - Page 10

Order Transaction Type

Order Transaction Type

Controls Header Functionality

Order Transaction Type The Order Transaction Type controls which Order Level Workflow will be executed when the Order is saved. The Order Type Controls: The Order Numbering Sequence. When credit checking will occur and what rule will be used. Whether a customer purchase order number is required. Whether an Agreement is required. The level of scheduling is allowed at the header level. Example: ATP, Demand, or Reservations. Whether the Order can have only outbound (Order), only inbound (Returns) or both (Mixed).

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Enter Orders Chapter 10 - Page 11

Entering Header Customer Information

Entering Header Customer Information

Customer Name Ship-to Address Bill-to Address

Entering Header Customer Information Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Order Information (T) Main The Customer must already exist in the Customer Master. Only the Customers primary Shipto and Bill-to Addresses will default. Many of the Sales Order fields can be defaulted from either the Ship-to or Bill-to records. This enables you to be very flexible with your order requirements. Example: Order Type, Tax code, Salesperson, Shipping Method. Using the Tools menu, you can add new Customer information. This is controlled by the profile option, OM: Add Customer.

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Enter Orders Chapter 10 - Page 12

Entering Header Pricing Information

Entering Header Pricing Information

Price List

Currency

Salesperson

Entering Header Pricing Information Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Order Information (T) Main The Main tab of the Order Header contains information that groups the sales order lines together. Specifically who has ordered the goods the Sold To customer (identified by the field Customer) is listed here. Also we find information related to the basics for where products and services should be shipped, along with how we will determine pricing for the order. Finally, how the order can be processed is identified by the Transaction, or Order Type. Every order must have a valid Price List. All items/unit of measure combinations you wish to order must exist either on the Price List from the Sales Order Header or one of its related price lists. This topic is discussed in the lesson on Pricing. You are able to enter orders in any Currency that has been defined for your Set of Books. One restriction is the Price List currency and the Order currency must be the same. Only one Currency is allowed per sales Order. You are able to set up credit limits by Currency for each of your Profile Classes. The Customers Invoice uses the same currency as the Sales Order. If the sales order and thus the Receivables invoice is in a currency other than the functional
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Enter Orders Chapter 10 - Page 13

currency for your Set of Books, the value is converted to the functional currency when posted to General Ledger from Receivables. By default, the Salesperson entered on the Order Header receives 100% of the revenue generating Sales Credits for the Order.

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Enter Orders Chapter 10 - Page 14

Entering Additional Header Information

Entering Additional Header Information

2/10 Net 30 Payment Terms Warehouse Shipping Method Freight Terms FOB Shipment Priority Shipping Instructions Packing Instructions Payment Type Credit Card

Entering Additional Header Information Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Order Information (T) Others The Others tab of the Order Header contains additional information regarding how the sales order should be handled. The fields in this tab focus on our interactions with the customer from shipping instructions to payment information. Payment Terms, Freight Terms and Free On Board (FOB) are agreed upon by you and your customer and should be defaulted from the customers records to assure customer satisfaction. Warehouse is the Shipping Organization (where the order will be filled). The Shipping Method is the carrier the customer prefers. If Shipping or Packing instructions are applicable across all lines enter then at the Header level. Like other information entered at the header level these values can be overridden at the Line Level. Payment Type: Credit Card integrates with iPayment to obtain authorization. You can mask sensitive credit card data. Payment capture for credit card orders occurs in Receivables.
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Enter Orders Chapter 10 - Page 15

Guided Demonstration - Entering Order Header

In this demonstration you will create the order header information for a new sales order. This demonstration forms the basis for later demonstrations in this lesson.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders (T) Order Information (T) Main 1. Enter the following values to create a new order header: Customer: Business World Customer Number: 1608 2. The following values populate based upon the Defaulting Rules within the Vision demonstration environment. Order Type: Mixed Price List: Corporate Ship To: San Jose (OPS) Salesperson: Sprague, Mr. Howard Currency: USD Bill To: San Jose (OPS) 3. Enter the Customer PO number of Demo-01 4. Accept all other defaults on the Order Header Main tab. 5. (I) Save Note: When you save the order the Order Number will be automatically generated by a Document Sequence, which is linked to the Order Transaction Type. 6. Navigate to the Others tab. 7. Note the values that have defaulted: Payment Term: 2/10, Net 30 Warehouse: M1 Shipping Method: DHL Freight Terms: Prepay & Add FOB: DEST Tax Handling: Standard 8. Change the Payment Terms to 30 Net 9. Enter Packing Instructions: Please call Rachel Abbott in Customer Service upon packing.

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Enter Orders Chapter 10 - Page 16

10. (I) Save

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Enter Orders Chapter 10 - Page 17

Applying Sales Credits

Applying Sales Credits

Order Level Jane Smith John Davis Terry Johnson Order Line Level Laura Lee

Sales Credit Type Revenue Revenue Non-revenue

Apply 50% 50% 25%

Sales Credit Type Revenue

Apply 100%

Order Line

Applying Sales Credits Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (B) Actions > Sales Credits Apply Sales Credits for an Order, Line, Split line or Return. If your cursor is on the order header when you select the Action button, you will split order level credits. If your cursor is on a line, then you will split line level credits. Revenue Sales Credits must equal 100%. If CRM Incentive Compensation is installed, the Sales Credit information will pass to that module for use in calculating Sales Compensation. Otherwise, the Sales Credit information will be a reference. Non Revenue Sales Credits can be applied at 100% or less. Line Level Sales Credits override the Sales Credits entered on the Header.

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Enter Orders Chapter 10 - Page 18

Guided Demonstration - Applying Sales Credits

In this demonstration you will continue to work with the sales order header you created in the last demonstration. This will show you how to create sales credit splits at the header level of a sales order.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders (T) Order Information (B) Action > Sales Credits Note: The Salesperson entered on the Order Header, in the Salesperson field is automatically given 100% credit of this order towards his/her quota. This activity will allow you to change the default information for the subsequent lines. 1. Note that 100 percent of the sales credit has been given to the salesperson from the order header field. In this case Howard Sprague. 2. Reduce Howards Quota Sales Credit to 50% Tab to the Percent field Enter 50.000 Note: The Revenue Credit total at the bottom of the form equals 50%. This total must be 100% before you will be able to leave the form. This total must equal 100 percent as this information will be passed to Receivables during AutoInvoicing for this sales order. 3. (I) New Record 4. Credit Elizabeth Douglas with the remaining quota credit for the order. Salesperson: Douglas, Elizabeth Credit Type: Quota Credit Percent: 50.000 Note: The Revenue Credit total at the bottom of the form now equals 100%. 5. (I) New Record 6. Credit Jonathan Smith with 25% Non Revenue credit for this order. Salesperson: Smith, Mr. Jonathan Credit Type: Non-Quota Credit Percent: 25.000 Note: The Non-Revenue Credit total at the bottom of the form now equals 25%. As you are not required to reach 100% allocation for Non-Revenue Credit you will be allowed to leave the form. 7. (B) Ok and Save
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Enter Orders Chapter 10 - Page 19

Practice - Create a Sales Order

Overview
In this practice you will learn how to create a Sales Order Header. Enter an Order Header Split Order Level Sales Credits

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
Enter an Order Header 1. You have received an order from your customer, Business World (1608). They would like you to send products and invoices to their usual address in San Jose, CA. They have given you a purchase order number of XX-98725. Split Order Level Sales Credits 2. It has come to your attention that Mr. Timothy Cleary is the new salesperson for this account He was on holiday while the negotiations were under progress. Therefore he will only receive 25% of the revenue credit for the sales order. Mr. Thomas Kramer finished the negotiations and should receive 75% of the credit.

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Enter Orders Chapter 10 - Page 20

Solution - Create a Sales Order Header

Create Sales Order Header 1. Navigate to the Sales Order window. (N) Orders, Returns > Sales Orders

2. Enter the following values to create the sales order header Customer: Business World (1608) Customer PO: XX-89725 3. Note the values that default into the header: Order Type: Mixed Price List: Corporate Ship To Location: San Jose (OPS) Bill To Location: San Jose (OPS) 4. Change the Salesperson to Cleary, Mr. Timothy

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Enter Orders Chapter 10 - Page 21

Split Order Level Sales Credits 5. Navigate to the Sales Credits window. (B) Action > Sales Credits

6. Create the appropriate split Change Timothy Clearys quota credit to 25% Salesperson: Cleary, Mr. Timothy (should default) Credit Type: Quota (should default) %: 25.00 Credit Thomas Kramer with 75 % quota credit Salesperson: Kramer, Mr. Thomas Credit Type: Quota %: 75.00

7. (B) Ok 8. (I) Save and note your order number: ______________________________

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Enter Orders Chapter 10 - Page 22

Copyright Oracle Corporation, 2003. All rights reserved.

Enter Orders Chapter 10 - Page 23

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 24

Line Transaction Type

Line Transaction Type

Controls Line Functionality

Line Transaction Type The Line Transaction Type controls which Line Level Workflow will be executed when the Line is saved. The Line Type controls the level of scheduling allowed on the Line. Example: ATP, Demand, or Reservations. The Line Type is restricted to those that have been linked to the Order Type used on the Order Header. The Line Type is defaulted from the Headers Order Type. If the line quantity is positive the Line Type will default as an Order Line type. If the line quantity is negative the Line Type will default as a Return Line Type. Note: The Order Type and the Line Type are both stored on the Order Management Transaction Type table.

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Enter Orders Chapter 10 - Page 25

Line Statuses

Line Statuses
Entered Booked Awaiting Shipping Picked Shipped Invoiced Closed

Order Line

Line Statuses Line Statuses on a order: The Line Status is maintained by the Line's Workflow. Entered is the defaulted value of a new Order Line. Booked means your order has been completely entered. Booking your order allows the Header and Lines to advance to their next Workflow Activity. Awaiting Shipping means your order has gone through the workflow activities ScheduleLine and Create Supply - Line and is now ready to be released for shipping on its Schedule Ship Date. Picked means the inventory has been moved to a staging area. Shipped means the Lines delivery has been Ship Confirmed. Invoiced means the Line has been passed to Receivables. Closed means the Line has been completely fulfilled.

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Enter Orders Chapter 10 - Page 26

Entering Line Information

Entering Line Information

Line Number Intelligence 1.1.1.1.1

Ordered Item

Item Quantity

Item Unit of Measure (UOM)

Entering Line Information Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Line Information (T) Main The Line Number has a quintuplet format, 1.1.1.1.1 to identify the Line, Shipment, Option, Component, and Service Lines. The Ordered Item can be an Internal Item Number, a Customers Item Number, or a Cross Reference Item Number. The Internal Item must be on a Price List. Price List verification is based on the item number and unit of measure. The Internal Items attribute, Customers Orders Enabled, must be selected. The Item Quantity is the Open quantity opposed to the original ordered quantity. Quantities can be whole numbers or decimals. The term open quantity refers to the last amount that Order Management has been directed to transact. For example. On a sales order the original ordered quantity is 7, the customer calls and increases their order to 10. You will only see 10 on the line, not the original value of 7. Also if the original ordered quantity was 7, but the customer called an cancelled 2, you would only see 5 in the item quantity field. This field is not affected by shipment activities, merely cancellations and increases in quantity.
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Enter Orders Chapter 10 - Page 27

You can order in any Unit of Measure that displays in the List of values, provided that item is priced via the selected unit of measure. If you select a combination of item and unit of measure that has not been defined for the price list, you will receive a pop-up window indicating this issue.

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Entering Line Pricing Information

Entering Line Pricing Information

Price List

Calculate Price Flag

Pricing Agreement

Pricing Date

Tax Amount

Entering Line Pricing Information Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Line Information (T) Pricing The combination of Internal Item Number and Unit of Measure must be on a Price List. The Pricing Engine uses the Price List Price for the Unit Price. The Calculate Price Flag is used by the Pricing engine. Calculate Price is the default and means the Pricing Engine will apply qualified discounts to the Price list price in order to calculate the Selling Price. It also means any qualified Freight Charges and Special Handling charges will be applied to the Order Line. Freeze Price means the Pricing Engine will use the Price List Price as the Selling Price. No modifiers of any type (discounts, freight charges or special handling) will be applied to the Order line. Partial Price means the Pricing Engine will use the Price List Price as the Selling Price (no discounts) but it will apply any qualified Freight and Special Handling charges.

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Pricing Agreements can be the source of the Line Price List or it could be the source of an automatic pricing adjustment. The Price Date allows you to re-price the Order Line based on different dates until the Line is invoiced. The Tax Amount is not included in the lines extended price. The tax amount is considered an estimated tax until interfaced to Receivables. Use the Action menu to View Tax Details or Calculate Tax.

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Enter Orders Chapter 10 - Page 30

Guided Demonstration - Entering Line Pricing Information

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Sales Orders > (T) Line Items > (T) Pricing 1. 2. 3. Select a Price List or accept default. Select a Calculate Price Flag or accept default. Select an Agreement or accept default. Note: You will only be allowed to choose a generic Agreement or those that are created specifically for your customer. 4. Select a Pricing Date or accept default. Note: The Pricing Engine will calculate the Unit Price and the Extended Price.

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Line Pricing Fields

Line Pricing Fields

Unit Price / Unit Selling Price Extended Price / Line Total List Price

Line Pricing Fields The Unit Price is calculated by adjusting the price list price with any qualifying modifiers (discounts and surcharges). The Unit Selling Price and the Unit Price hold the same value. The Unit Price is displayed in the Lines Main tab region, upon opening the order line. The Unit Selling Price is displayed in the Pricing tab region. The Extended Price and the Line Total hold the same value which is the Unit Price times the line quantity. The Line Total is displayed upon opening the record and stays visible, regardless of what tab you are on. The Extended Price is displayed in the Pricing tab. Use the Action menu to Reprice the line if the price on the Price List changed or if new Modifiers have been established that may apply to your order line.

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Enter Orders Chapter 10 - Page 33

Line Date Fields

Line Date Fields

Request Date Promise Date Schedule Ship Date Schedule Arrival Date

Line Date Fields Order Management Super User, Vision Operations (USA) (N) Orders, Returns > Sales Orders (T) Line Information (T) Shipping There are multiple dates within the Sales Order form. The fields for Line Date are: The Request Date is the date your customer wants the line to ship. The Promise Date is the date you have promised your customer you will ship. The Schedule Ship Date is the date demand is placed against inventory. The Schedule Arrival Date is the date the material is scheduled to arrive at the customers Ship to location. The Schedule Ship dates and the Scheduled Arrival dates are populated by the Schedule Line workflow activity. The Schedule Ship dates and the Schedules arrival date are displayed two times. Once in the Main region and again in the Shipping region. Modify your Schedule Ship date to reschedule line, as needed.

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Enter Orders Chapter 10 - Page 34

Entering Line Shipping Information

Entering Line Shipping Information

Warehouse Line Source Type Internal Ship Method External

Shipment Priority

Entering Line Shipping Information The Warehouse represents the Inventory Organization that will be filling the Order Line. Ship Method is the suggested carrier. The Ship Method can be used as part of the Pick Release selection criteria. Shipment Priority codes are user defined and can be used as part of the Pick Release selection criteria. The Line Source Type indicates from where the sales order line will be filled, either internally or externally. Internal - the Order Line will be filled internally from the line warehouse. External - the Order Line will be filled directly from your Suppliers site. For more information about External Sourcing please see the Advanced Topic on Order Management Drop Shipments.

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Enter Orders Chapter 10 - Page 35

Guided Demonstration - Entering Line Shipping Information

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Sales Orders > (T) Line Items > (T) Shipping 1. 2. 3. 4. 5. 6. 7. Select a warehouse or accept default. Accept the Source Type of Internal. Select a Schedule Ship date Select a Shipment Priority or accept default. Select a Freight Term or accept default Enter Shipping Instructors or accept default. Enter Packing Instructions or accept default.

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Enter Orders Chapter 10 - Page 36

Guided Demonstration - Entering Line Information

In this demonstration you will continue to work with the sales order header you created earlier in this lesson. This demonstration will show you how to enter line information into your sales order.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders (T) Line Items (T) Main Note: The line number is automatically generated. 1. Enter the following values to create a new sales order line: Item: CM13139 Qty: 15 Request Date: Today + 7 days Note: The unit of measure defaults from the primary unit of measure for the internal item selected. Also see that the Line Type has defaulted as Standard based upon the Transaction Type. If you receive the message Item and UOM not on Price List it means you have selected an Item which is not on the price list that defaulted from the header. 2. (T) Pricing Note: The Calculate Price Flag is set to Calculate Price and the Pricing Date defaults to the current date. 3. (T) Shipping Note: The Warehouse defaults to M1 and the Source to Internal. 4. 5. (I) Save Enter a second sales order line Item: CM11062 Qty: 10 Request Date: Today + 7 days (I) Save

6.

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Enter Orders Chapter 10 - Page 37

Practice - Create a Sales Order

Overview
In this practice you will learn how to create a Sales Order Line for a sales order previously created.. Enter an Order Line

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You have completed the practice: Create Sales Order Header from earlier in this lesson.

Tasks
Enter a Order Lines 3. Business World has provided information regarding the items they wish to purchase from their purchase order number XX-98725. 4. The first item they would like is your CD Writer with an internal part number of CM00037. They have requested 5 units to be shipped today. As you have them in stock you are able to comply with their request. Since this is a last minute order, mark the shipment High Priority to gain the attention of the shipping department.

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Enter Orders Chapter 10 - Page 38

Solution - Create a Sales Order Line

Create Sales Order Line 9. Navigate to the Sales Order window and query your sales order header from the previous exercise. (N) Orders, Returns > Sales Orders (I) Find Customer Name: Business World (#1608) Customer PO: XX-98725 (B) Find

10. (T) Line Information (T) Main 11. Enter the appropriate information for a sales order line: Item: CM00037 Qty: 5 Request Date: todays date

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12. (T) Shipment Shipment Priority: High Priority

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13. (I) Save

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Enter Orders Chapter 10 - Page 41

Entering Line Sets

Entering Line Sets

Three Line groupings are available
Ship sets Arrival sets Fulfillment sets

Automatically put Lines into Sets. Shipping can break Sets.

Entering Line Sets When entering Line Sets: Use the Right Mouse Click menu to create and maintain Line Sets. Line Set names can be alpha/numeric. Set the Header Line Set to Arrival or Ship, to automatically put lines into sets. At Ship confirmation you are informed if you are breaking a Set. Ship Sets Group all the lines your customer requests to be shipped at the same time from the same warehouse on the same date. Arrival Sets Group all the lines your customer wishes to arrive at their Ship-To location at the same time. These can come from different warehouses. Arrival Sets which are shipping from across your supply chain need Oracles Advanced Planning application to coordinate. Fulfillment Sets Group all the lines the customer would like invoiced at the same time. The fulfillment set enables non shippable lines to wait until their associated shippable lines have been ship confirmed before passing them for Invoicing. An Order Line can belong to multiple Fulfillment Sets. Fulfillment is controlled by the Line workflow. The final determination as to
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Enter Orders Chapter 10 - Page 42

whether the lines will appear on the same invoice is determined by the grouping rules associated with the customer record.

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Enter Orders Chapter 10 - Page 43

Guided Demonstration - Entering Line Sets

In this demonstration you will create a line set for a new sales order.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Create a new sales order for Business World. Customer: Business World (1608) Customer PO: Demo-02 2. (T) Line Information 3. Add a sales order line Item: AS54888 Qty: 15 4. (I) New Record 5. Add a sales order line Item: AS18947 Qty: 10 6. Place these two lines into a Ship Set (M) Edit > Select All Place your cursor on the quantity field Right Mouse Click > Sets > New > Ship Set Name: Ship Set 1 (B) Ok

7. Place these two lines into a Fulfillment Set (M) Edit > Select All Place your cursor on the quantity field Right Mouse Click > Sets > New > Arrival Set Name: Arrival Set 1 (B) Ok

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8. (T) Shipping View your results in the Ship Set and Fulfillment Set fields.

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Entering Line Addresses

Entering Line Addresses

Order Management Supports Multiple Bill-to and Ship-to Addresses

Entering Line Addresses Each Sales Order line or line spit can have a different Bill-to or Ship-to Address. Customer relationships can be established to allow the sharing of bill-to and ship-to addresses across your Customer base.

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Enter Orders Chapter 10 - Page 47

Entering Return Information

Entering Return Information

Copy original Sales Order and Change the Order Type to a Return Type Manually Enter a Return and Optionally Reference: Sales Order Number Invoice Number Customers Purchase Order Number Items Serial Number Seeded Return workflows handle: Return with Receipt, and Credit Return with Receipt, No Credit Credit Only, No Receipt Approval Required Returns can be initiated from your CRM modules Optionally Inspect Returns prior to issuing Credit
Entering Return Information If your customer requests to return their whole Sales Order use the Action menu to Copy the original Order and change the Order Type to a Return Type. Manually enter a Return and optionally reference the original Sales Order, an Invoice Number, their PO number or the Items Serial Number. Referencing the Return line allows the defaulting process to default many of the line fields, such as item number, item quantity, selling price and Invoice Number. The Credit Amount for Return Lines that do not have a reference will be applied On Account. Seeded Return Workflows are provided to meet common return business processes. Returns can be initiate in the Customer Support or Service modules. Item attributes that are checked are Returnable and Inspection Required. You can allows both Inbound and Outbound lines on the same Order to accommodate Advanced Replacement requirements. Use the Action - Additional Information menu to see Return data.

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Enter Orders Chapter 10 - Page 48

Ordering Service Programs

Ordering Service Programs

Service Programs Can be ordered to cover Inventory Items

Ordering Service Programs If the Line Item has been set up as a Serviceable Product your customer can purchase a Service Program to replace or augment the products warranty. Your Service Programs can cover a line Item or a Customer Product in your Installed base. (Component of our CRM Suite -The Installed base is a repository of shipped products).

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Enter Orders Chapter 10 - Page 49

Guided Demonstration - Ordering Service Programs

In this demonstration you will create a sales order that includes the sales of a service item, tied to a finished good.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Create a new sales order for Business World Customer: Business World (1608) Customer PO: Demo-03 2. (T) Line Information 3. Add a sales order line Item: AS54888 Qty: 10 4. Accept all other defaults and (I) Save 5. Add a second line Item: WR18533 Qty: 10 3. (T) Services Service Reference Type: ORDER Service Order Type: Mixed Note: this needs to be the same value as the order header it drives the list of values for the service order number Service Ref Order Number: enter this order number Service Ref Line Number: choose the line with AS54888 on it. (should be 1) 3. (I) Save Note: The system has automatically updated the Order Line to show that it is a Service Program for your other line item.

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Entering Project Information

Entering Project Information

With Project Manufacturing Installed You can associate each Order Line to: A Project number A Task number A Model / End Item

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Enter Orders Chapter 10 - Page 51

Splitting Order Lines

Splitting Order Lines

Multiple Shipment Dates Multiple Ship to Locations Multiple Ship from Warehouses

Order Lines

Splitting Order Lines Use the Action button to Split the Order Line. Each Split of a line can progress independently. Except for a few fields such as the item number and Line Type each split of a line can have its own field values.

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Enter Orders Chapter 10 - Page 52

Guided Demonstration - Splitting Order Lines

In this demonstration you will split the quantity of a sales order line on a new sales order.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Create a new sales order for Business World. Customer: Business World (1608) Customer PO: Demo-04 2. (T) Line Information 3. Add a sales order line Item: CM13139 Qty: 30 4. (B) Actions > Split Line 5. Create the Split for the line Qty: 15 (I) New Record Qty: 10 Date: Today + 7 days (I) New Record Qty: 5 Date: Today + 14 days 6. (B) Split 7. (I) Save Note: The Line number now reflects that there are 3 shipments.

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Enter Orders Chapter 10 - Page 53

Practice - Split Line and Create Ship Set

Overview
In this practice you will learn how to split a sales order line into scheduled shipments and place lines into a ship set. Split an Order line into Shipment Schedules Create a Ship Set

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
Split an Order line into Shipment Schedules 1. Business World (1608) has contacted you to place another order. This order is for purchase order XX-99258. 2. They wish to order 100 units of your part CM11166, which are replacement laptop batteries. However, they do not have room for all of the batteries on the same date. Therefore they have asked you to ship them in two lots of 50 units each, one week apart. Create a Ship Set 3. Business World has also indicated that they are in need of 5 more Laptops, part number AS92689. They would like them shipped at the same time as the second shipment of batteries.

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Enter Orders Chapter 10 - Page 54

Solution - Split Line and Create Ship Set

Split an Order line into Shipment Schedules 1. Navigate to the Sales Orders window (N) Orders, Returns > Sales Orders

2. Create a new sales order for Business World Customer: Business World (1608) Customer PO: XX-99258 3. (T) Line Information 4. Enter a new sales order line Item: CM11199 Qty: 100

5. (B) Actions > Split Line 6. Create a shipment schedule Qty: 50 Date: Todays date (I) New Record Qty: 50 Date: Todays date + 7 7. (B) Split Create Ship Set 8. (B) Split

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Enter Orders Chapter 10 - Page 55

9. (I) New Record 10. Add another line to sales order Item: AS92689 Qty: 5 Requested Date: Todays Date + 7

11. Create ship set including line 1.2 and 2.1 Using Shift + Left Mouse click, highlight lines 1.2 and 2.1 Right Mouse click > Sets > New > Ship Set Enter Set Name: XX-SS1 (B) Ok

12. (T) Shipping 13. View results of ship set creation.

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14. (I) Save

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Applying Attachments

Applying Attachments
Apply Order level or Line level Attachments Optionally Print Attachments on: Sales Order Acknowledgment Picking Papers Shipping Papers

Automatic or Manual

Applying Attachments Standard notes can be setup with automatic addition rules to apply notes to your Order Header or Order Line. You can also manually apply a note to the Order Header or Order Line. Use the Action - Apply Automatic Attachments menu or set your Profile Option OM: Apply Automatic Attachments to have notes applied automatically. Attachments appear as a piece of paper (note) in the paper clip icon. Use the Attachment (paper clip) icon to View or Add a Note to your Order Header or Order Line. Attachments can be short text, long text, as well as images or web pages. Attachment Categories define where the attached note will print.

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Enter Orders Chapter 10 - Page 58

Guided Demonstration - Applying Attachments

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Sales Orders > (T) Order Information > (T) Main 1. 2. 3. 4. 5. 6. 7. 8. 9. Select a Customer. Select an Order (Transaction) Type or accept default. Select a Price List or accept default. Select a Ship To location or accept default. Select a Salesperson. Accept the Currency default. Select a Bill To location or accept default. Click on the (I) Attachments (paper clip). Accept the default for Seq.

10. Select a Category. 11. Enter a short description of your Header note. 12. Enter your Header note in the large text box. 13. Save. 14. Click on the (T) Line Items > (T) Main 15. Select an Ordered Item. 16. Enter a quantity. 17. Click on the (I) Attachments (paper clip). 18. Accept the default for Seq. 19. Select a Category. 20. Enter a short description of your Line note. 21. Enter your Line note in the large text box.
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22. Save. Note: When the order is refreshed you will see a Note in the Paper clip.

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Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Scheduling - Available to Promise

Scheduling - Available to Promise

Check ATP using the Availability Button Order Clerk Inventory

Scheduling - Available to Promise Click on the Availability button to see if you have enough inventory to meet the sales order demand. The ATP Rule, item attribute, that is associated with the line item, is used to calculate inventory that will be available by the Schedule Ship Date. If there isnt an ATP Rule associated with the item, the system will use the Shipping Warehouses default ATP Rule from its Parameters record. If there isnt enough inventory to cover the demand the ATP rule uses the items lead time to calculate the ATP Date (the date when you could fill the order). The lead time that will be used is based on the ATP Rules Infinite Supply time fence. ATP returns a Group Date, representing the component with the longest lead time, for an Assemble to Order, Pick to Order Model or PTO Kit if the Items attribute Ship Model Complete is set to yes. It also returns a Group ATP date for Ship Sets and Arrival Sets.

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Enter Orders Chapter 10 - Page 63

Guided Demonstration - Scheduling Available to Promise

In this demonstration you will learn how to check availability for an item on a sales order.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Query your order from an earlier demonstration (I) Find Customer: Business World Customer PO: Demo-04

2. (T) Line Information 3. Place your cursor on one of the lines 4. (B) Availability Note: This is only an inquiry. It has no affect on Inventory.

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Enter Orders Chapter 10 - Page 64

Scheduling - Schedule

Scheduling - Schedule

Place Demand (Schedule) Order Clerk Inventory

Scheduling - Schedule An Ordered Items attribute OE Transactable must be set to yes to enable demanding inventory. What does scheduling do? Sets the Order Lines Ship and Arrival schedule dates. Passes the demand to Inventory.The Sales order demand consumes the items forecast. It can place a Reservation if the Orders Scheduled Ship Date is within the value entered for the OM: Reservation Time Fence profile option. It calculates the delivery lead time and ship method (if you have set up Inter-Location Transit Times). You can prevent over demanding by setting the items attribute Check ATP. When this item attributes value is Material or Material & Resources, Scheduling will not place demand unless there is enough available inventory.

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Enter Orders Chapter 10 - Page 65

Guided Demonstration - Scheduling an Order Line

In this demonstration you will schedule an order line.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Create a new order for Business World Customer Name: Business World (1608) Customer PO: Demo-05 2. (T) Line Information 3. Create a new sales order line Item: CM13139 Qty: 45 4. (M) Tools > Scheduling 5. Select Schedule (B) Ok 6. (T) Shipping Note: The Schedule Date and Arrival Dates have been populated. Note: To prevent reserving inventory while scheduling you must do one of the following: a) Set the System Profile Option OM: Reservation Time Fence to NULL (blank). b) Or enter a line Schedule Ship Date outside the Reservation Time Fence.

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Scheduling - Reserve

Scheduling - Reserve

Place Reservation

Order Clerk

Inventory

Scheduling - Reserve The Ordered Items attribute Reservable must be set to yes. Reserving inventory assures that the quantity will be available when the Order Line is Released for shipping. The Items Reservation is removed when inventory is decremented for the shipped quantities or if the order line is canceled.

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Enter Orders Chapter 10 - Page 67

Guided Demonstration - Reserving an Order Line

In this demonstration you will reserve an order line.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Create a new order for Business World Customer Name: Business World (1608) Customer PO: Demo-06 2. (T) Line Information 3. Create a new sales order line Item: CM13139 Qty: 20 4. (M) Tools > Scheduling 5. Select Reserve (B) Ok 6. (T) Shipping Note: The Schedule Date, Arrival Dates and Qty Reserved have been populated.

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Enter Orders Chapter 10 - Page 68

Practice - Schedule Order

Overview
In this practice you will learn how to Schedule an Order both manually and automatically. Create Sales Order Check Availability Schedule (Demand) Place Reservation Turn on Auto Schedule

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. The following Profile Options have been set: OM: Auto Schedule = NO OM: Reservation Time fence = 30

Tasks
Create a Sales Order 5. Business World has provided information regarding the items they wish to purchase from their purchase order number XX-002. They wish to order 5 units of AS54888 45 days from todays date. Check Availability 6. Check to see if the part Business World is requesting is available.

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Schedule Order 7. If there is quantity available. Schedule the line. Place a reservation for your order line 8. Corporate policy states that if there is sufficient quantity, reserve inventory for our priority customers like Business World. AutoSchedule effect 9. As a part of your companys ongoing testing, use the AutoSchedule functionality when entering another line on this same order for Business World. They have requested an additional quantity of 2 units of part number AS18947.

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Enter Orders Chapter 10 - Page 70

Solution - Schedule Order

Create a Sales Order 1. Navigate to the Sales Order Window (N) Order, Returns > Sales Orders (T) Order Information (T) Main

2. Create Sales Order Header Customer: Business World (1608) Customer PO: XX-002 3. (I) Save 4. (T) Line Information (T) Main 5. Create an order line Item: AS54888 Qty: 5 Request Date: Todays date + 45 days Check Availability 6. (B) Availability

Schedule Order Line 7. (M) Tools > Scheduling > Schedule

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8. (T) Shipping Notice that the schedule ship date has been set to the request date.

Reserve Sales Order Line 9. (M) Tools > Scheduling > Reserve

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10. (T) Shipping Notice that the Qty Reserved field has been populated.

AutoSchedule effect 11. (M) Tools > Auto Schedule (make sure this is checked) 12. (I) New Record 13. Create a new sales order line Item: AS18947 Qty: 2 Note: Tab out of the quantity field to see the Availability displayed automatically. 14. (I) Save 15. (T) Shipping Notice that the Qty Reserved field has been populated.
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Copyright Oracle Corporation, 2003. All rights reserved.

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Scheduling Options

Scheduling Options
On-Line at Sales Order Entry Auto Scheduling Using Tools Menu or right mouse click to select Schedule, Unschedule, Reserve, or Unreserve Workflow Process Schedule-Line Create Supply-Line Process Concurrent Program

Scheduling Options Order Management uses the Profile option OM: Auto Schedule. When it is set to yes all scheduling activities are executed on-line from the Order Line including the automatic pop of the Availability window. Use the Availability button to manually Check ATP. Use the Tools - Schedule menu to manually Schedule or Reserve your order line. Scheduling occurs in the Workflow Process Schedule - Line for standard items and Create Supply-Line Process for a Configured Item. The Order Type and the Line Type need to have the field Scheduling Level set to allow scheduling actions. Optionally have Scheduling running in the background as a Concurrent Request. The OM: Schedule Orders on Hold Profile Option is used by the Scheduling function.

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Enter Orders Chapter 10 - Page 75

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 76

Booking Orders

Booking Orders
Only valid orders will be Booked

Booking allows the Header and Lines to proceed to their next workflow activity

All Booked Order updates, inserts and cancellations must pass your Processing Constraints A Quantity History record is kept for all quantity decreases

Booking Orders Booking affects both the Header and Lines. Orders are only booked once. Changes to a booked order do not required it to be re-booked. Once booked, Processing Constraints control updates to all Order Entities: Header, Lines, Sales Credits, Price Adjustments. Processing Constraints also control which Responsibilities will be allowed to make changes to a Sales Order/Line. Quantity decreases are the only changes which are tracked.

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Enter Orders Chapter 10 - Page 77

Guided Demonstration - Booking Orders

In this demonstration you will see the several ways to book an order in the E-Business Suite.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders (T) Order Information (T) Main 1. Find an unbooked Sales Order (I) Find Customer Name: Business World Customer PO: Demo-01 (B) Find 2. (B) Book Order (N) Orders, Returns > Sales Orders 3. Find an unbooked Sales Order (I) Find Customer Name: Business World Customer PO: Demo-02 (B) Find 4. (T) Line Information (T) Main 5. (B) Book Order Note: Both paths give the same results.

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Enter Orders Chapter 10 - Page 78

Practice - Book Order

Overview
In this practice you will learn how to Book an Order then view the Orders workflows. Book Sales Order View the Order Workflow View the Line Workflow

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You have completed the practice: Create Sales Order Line and practice: Split Line and Create Ship Set earlier in this lesson.

Tasks
Book Sales Order 1. You are required to book your sales orders before they can be processed. Your supervisor has indicated that the sales orders associated with Business World (1608) purchase order X XX-98725 has not yet been booked. View Order Workflow 2. As a part of your on going training your supervisor has requested that you check on the order you have just booked, to determine where in the order process they have advanced to. View Line Workflow 3. As a part of your on going training your supervisor has requested that you check on the lines for the order you have just booked, to determine where in the order process they have advanced to.

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Enter Orders Chapter 10 - Page 79

Solution - Book Order

Book Sales Order 1. Navigate to the Order Organizer form (N) Orders, Returns > Order Organizer

2. Find your sales order number Customer Name: Business World (1608) Customer PO: XX-98725 3. (B) Book Order

View Order Workflow 4. (M) Tools > Workflow Status 5. Click on the OM Order Header link. 6. (B) View Diagram

7. Double click on the Close Order.

8. Notice that the order is waiting for the lines to close.

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9. (B) Zoom Out. 10. Close the Workflow diagram window. View Line Workflow 11. (M) Tools > Workflow Status 12. Click on the OM Order Line link 13. (B) View Diagram

14. Double click on the Enter Line activity.

15. (B) Zoom out. 16. Double click on Schedule Line

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17. (B) Zoom out 18. Double click on Create Supply - Line

19. (B) Zoom out 20. Double Click on Ship Line Manual.

21. Close the Workflow Diagram window.

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Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Copying Orders

Copying Orders
Speed data entry Correct errors Create Returns Copy whole Order or selected Lines Optionally Reprice the Copy Must pass your Processing Constraints
Copy

Order

Copying Orders Reasons to copy orders: A customer calls and orders the same items as on a previous Sales Order, use the Copy window to quickly create a new order. Your Order Clerk enters incorrect data, such as the Order Type, use the Copy window to create a new sales order, then modify as needed. Your customer calls and tells you they are returning a whole Order find that order number and use the Copy window to quickly create a Return Order. Copy functionality: Use the Action menu to access the Copy window The copy function must pass all processing constraints. Copy options: - Change the Order or Line Type for the Copy. - Copy at the original selling price or re-price as of a given date - Copy selected lines to an existing order.
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Enter Orders Chapter 10 - Page 84

Guided Demonstration - Copying Orders

In this demonstration you will see how to copy orders.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Sales Orders 1. Find an existing sales order (I) Find Customer: Business World (1608) Customer PO: Demo-02 (B) Find 2. (T) Order Information (T) Main 3. Copy this order 4. (B) Actions > Copy 5. (T) Quick Copy Accept default option to Create New Order. Order Type: Mixed 6. (T) Copy Header Accept all defaults 7. (T) Copy Line Line Type: leave blank 8. (T) Pricing Option Accept default options 9. (B) OK Note: A Note window pops telling you the copy succeeded along with the new Order Number.

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Enter Orders Chapter 10 - Page 85

Practice - Copy a Sales Order

Overview
In this practice you will learn how to create a new order from an existing order. Copy Order Change the Ship to Address Add a new line item Book Sales Order

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information Replace XX with the number provided by your instructor or your initials Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You have completed the practice: Create Sales Order Line and practice: Split Line and Create Ship Sets earlier in this lesson.

Tasks
Copy Order 1. Your customer Business World (1608) has contacted you and wishes to order the same products as on their purchase order XX-98725. Change Ship To Address 2. Business World wishes to change the shipping location for this sales order to their New York facility. Add new line 3. Additionally they would like to order 1 Envoy Deluxe Laptop, part number AS 72111. Book Sales Order 4. Remember to book this order.
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Solution - Copy a Sales Order:

Copy Order 1. Navigate to the Order Organizer (N) Orders, Returns > Order Organizer

2. Find desired sales order (I) Find Customer Name: Business World (1608) Customer PO: XX-98725 (B) Find

3. (B) Action > Copy

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4. (B) Ok 5. Accept all the defaults 6. (B) Ok

7. Note new order number: _________________________________ Change Ship To Address 8. Find the Sales Order you just copied (I) Find Order Number: from above (B) Find 9. (B) Open
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10. Select the Ship To Location field and open the list of values. Search for the New York (OPS) address.

11. (B) Ok 12. (I) Save Add new line 13. (T) Line Information 14. Create a new line for this sales order Item: AS72111 Qty: 1

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Book Sales Order 15. (B) Book Order

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Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 91

Drop Ship Overview

Drop Ship Overview

Standard Item Shipment

Supplier Purchase Order Supplier Invoice Customer Invoice

Customer

Customer Payment Customer Invoice

Order Processing Company

Drop Ship Overview Drop Ship Order Lines ship directly from your supplier to your customer. Order Management creates the Purchase Requisition and passes it to Purchasing. The Purchase Order is created from the requisition. The Approved Purchase Order is released to your Supplier. Purchasing receives an ASN (Advance Shipping Notice) when the supplier fills the order. Purchasing performs a Receiving transaction which will post to the general ledger, creating an accounts payable transaction. An automatic interface creates a Shipping transaction which updates the Order line with shipped data. This allows the Order to proceed to the workflow activity Invoicing. The Invoice Revenue account will be posted to the general ledger creating an accounts receivable transaction. After you create the Purchase Requisition any changes made to the Drop Ship Sales Order will appear on the Order Discrepancy Report. It is the responsibility of the Purchasing department to notify the Supplier if an Order changes.

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Enter Orders Chapter 10 - Page 92

Guided Demonstration - Creating Drop Ship Order Lines

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Sales Orders > (T) Line Items 1. Select an Ordered Item that has its item attribute Purchasable selected. Note: If you are using the Vision Data base you can use AS18947. 2. 3. 4. 5. 6. Enter a quantity. Click on (T) Shipping. Enter the Source Type of External. Click on the (B) Book Order. View the workflow status for the Order line.

(M) > Tools > Workflow Status. View Diagram. 7. Double click on the Create Supply - Line activity. Note: The Order line is waiting for the Purchase Release - Deferred process to run. Note: The Workflow background process must run to kick off the Purchase Release process. (N) Reports, Requests > Run Requests > Single Request 8. 9. Select the name Workflow Background Process. In the Parameters window enter: Item Type: OM Order Line. Process Deferred: Yes. Process Time Out: Yes. Process Stuck: No

10. (B) OK. 11. (B) Submit. 12. When the concurrent request has completed.

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(N) > Orders, Returns > Sales Orders > (T) Line Items 13. Scroll to see the Line status. 14. Confirm that it is Awaiting Receipt. Note: All other processing of a Drop Ship Line is performed by the Purchasing Department.

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Enter Orders Chapter 10 - Page 94

Internal Requisition Overview

Internal Requisition Overview

Create Manually or Automatically Internal Requisition Run Create Internal Sales Order Run Order Import Sales Order Schedule Order Inventory At Cost Release Order Ship Confirm Direct In transit

Receive Inventory At Cost

Internal Requisition Overview The purpose of an Internal requisition is to transfer inventory from one Organization to another. When using Internal requisitions: The Item must be Purchasable and must be enabled both in the Requesting Organization and the Shipping Organization. An Internal requisition may be used as an exception to a shortage, or it may be the normal replenishment process. The Requesting Organizations Shipping Network determines whether an Internal Requisition is required or not. The method of transfer and method of receipt will also be defined in the Shipping Network. The Shipping Network can also be used to add on an additional charge (percent or amount) to markup for shipping and handling. An Internal Requisition could be created automatically by Inventorys Min/Max Planning or Re-Order Point Planning programs if the shortage Items Sourcing Type is set to Inventory. The Requesting Organization must be set up as a Customer and the Ship-to address must be associated with a Purchasing Location. The Requesting Organization will do an

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Enter Orders Chapter 10 - Page 95

Purchase Receipt to record the receipt of material. This ends the process since all accounting is done at cost.

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Enter Orders Chapter 10 - Page 96

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 97

Import Orders Processing

Import Orders Processing

EDI Transactions External Systems

Order Import

Import Order Processing There are two ways other applications can pass Sales Orders to Order Management: Use the Order Capture API. By passing records through the Orders Interface table. Running the Import Orders program passes records from the Interface table to the Orders table. Defaulting Rules and Processing Constraints are used to assure that only valid orders are transferred. When populating the Orders Interface, Order Management requires a Source be provided for each record. Example: Internal, EDI, External System. Only sources created in the Order Import Source table will be recognized by the import program. Orders can be pulled out of the Interface table by Source, enabling you to expedite rush orders.

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Enter Orders Chapter 10 - Page 98

Guided Demonstration - Running Order Import

In this demonstration you will see how to run the Order Import Process.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) Orders, Returns > Import Orders > Order Import Request. The Parameter window will pop open 1. Select an Order Source or leave it blank to import all records in the table. 2. Accept all defaults. 3. (B) OK 4. (B) Submit 5. View your submitted request (M) View > Requests (B) Find When the concurrent process Import Orders has completed view the Output file to see the results

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Enter Orders Chapter 10 - Page 99

Agenda

Agenda
Overview Entering Orders: Header information Entering Orders: Line information Scheduling Orders Booking Orders Copying Orders Understanding Drop Shipments and Internal Orders Importing Orders Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 100

Required Setup Steps for Entering Orders

Required Setup Steps for Entering Orders

The following setup steps are specific to the implementation of entering orders: Profile Options Parameters Invoicing Tax QuickCodes Workflow

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Additional Required Setup Steps

Additional Required Setup Steps

The following setup steps are specific to the implementation of entering orders: Document Sequencing Order Import Sources OM Transaction Types Customers Items

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Enter Orders Chapter 10 - Page 102

Profile Options

Profile Options
Some key profile options related to Entering Orders: OM: Apply Automatic Attachments OM: Autoschedule OM: Invoice Source OM: Invoice Transaction Type OM: Item Flexfield OM: Source Code Sequential Numbering

Profile Options System Administrator (N) Profile > System There are a number of Profile Options that will affect entering sales orders. Some of the key profile options are: OM: Apply Automatic Attachments This profile option determines whether rule-based attachments are applied without user intervention. OM: Autoschedule This profile determines the default setting of the use of autoscheduling. There is no default value. If set to Yes, the order lines are automatically scheduled. OM: Invoice Source This value is transferred if the value for your transaction type is null. OM: Invoice Transaction Type This value is transferred if the value for your transaction type is null. OM: Item Flexfield This required profile option determines the structure of the System Items flexfield used by Order Management. This structure should be the same across all applications in the same database.
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OM: Source Code This required profile option defaults the value ORDER ENTRY and identifies the source code that Order Management passes to Inventory during scheduling. The source code should be defined as the third segment of the Sales Order Transaction Flexfield to guarantee that each transaction is unique. Sequential Numbering This required profile option affects how sequential number is triggered within the E-Business Suite. The Order to Cash process uses Document Sequencing for Order Management document numbering.

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Enter Orders Chapter 10 - Page 104

Parameters

Parameters

Operating Unit

Customer Relationships

Item Validation Organization

Parameters Order Management Super User, Vision Operations (USA) (N) Setup > Parameters The parameters window in Order Management identifies: Operating Unit The operating unit can provide additional defaulting information for processing orders and returns if certain order information is not entered. Item Validation Organization indicates the inventory organization against which items are validated. Typically this value is the Item Master Organization for the implementation. Customer Relationships enables the sharing of Ship To and Bill To locations between related customers. If this check box is not selected, you can only select Ship To and Bill To locations for an order that belong to the Customer sold to on the order.

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Enter Orders Chapter 10 - Page 105

Steps Related to Invoicing

Steps Related to Invoicing

Some set up steps affect invoicing, but are used within the enter orders process: Payment Terms AR Transaction Types Invoice Rules Invoice Batch Sources

Steps Related to Invoicing Payment Terms, AR Transaction Types, Invoice Rules and Invoice Batch Sources are all used during the order entry process and therefore must be considered during implementation of Entering Orders. However, for the purposes of this course, these topics are addressed in the lesson Implement Customer Invoicing.

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Enter Orders Chapter 10 - Page 106

Tax

Tax

Tax Group Tax Code Items Customers Sites

Options, Controls, and Defaults

Sales Order with Tax Estimate

Tax Tax is an important part of the entering orders implementation. In this Order to Cash course please refer to the Tax Accounting Overview lesson and the Advanced Topic: Global Taxes in Order to Cash.

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Enter Orders Chapter 10 - Page 107

Quick Codes

Quick Codes

Sales Channel

Freight Terms

Shipment Priority

Quick Codes Order Management Super User, Vision Operations (USA) (N) Setup > Quick Codes > Order Management You can create lookup codes for Order Management. QuickCode types that you can define include: Cancellation Codes Credit Cards Freight Terms Hold Types Note Usage Formats Release Reasons Sales Channels Shipment Priorities You can create as many quickcodes as you require. You can also inactivate quickcodes.
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Enter Orders Chapter 10 - Page 108

Workflow

Workflow
Workflow allows Order Management to process different types of orders. This allows the order to travel from entry to fulfillment

Workflow Order Management enables you to model your organization's processes in terms of generic order processes. When defining a new workflow, you can start with the basic activities of order processing. You can model your business processes by copying and editing seeded processes or model your business processes by using seeded and custom activities as components. Required set ups include evaluating the delivered order level and line level flows. As a part of this process you may need to define additional process flows or add customer specific workflow packages (PL/SQL).

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Enter Orders Chapter 10 - Page 109

Document Sequencing

Document Sequencing

45682

45683

45684

Document Sequencing Order Management utilizes AOL Document Sequence functionality for order numbering. You can define document sequences that automatically generate numbers for your orders and returns as you enter them. You can define a single document sequence to assign unique consecutive numbers to all your orders and returns, or you can define multiple document sequences that are assigned to different order types. In the latter case, an order or return is uniquely identified by its type and its number, since orders and returns of different types may share numbers. Order and return numbers cannot contain alphabetic characters. Order Management uses the Profile Option Sequential Numbering set to Always Used to guarantee the correct assignment of document numbers. There are four steps that must be performed for document sequencing to be enabled: Set Sequential Numbering profile option Define Document Sequence this is where the value is derived Define Document Category this maps to the Order Management Transaction Type Assign Sequence to a Category

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Enter Orders Chapter 10 - Page 110

Order Import Sources

Order Import Sources

Sales Orders

Order Import Sources Order Management Super User, Vision Operations (USA) (N) Setup > Orders > Import Sources You can define Order Import Sources from which to import order information. You can import historical orders, orders from other quote or sales systems, and changes to orders.Oracle recommends that you define a unique name for each source of order information you are importing. When you run the Order Import program, you can enter the source or sources for each execution. You can run Order Import for multiple sources at one time.

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Enter Orders Chapter 10 - Page 111

OM Transaction Types

OM Transaction Types

OR

Price List

Credit Check

OM Transaction Types Order Management Super User, Vision Operations (USA) (N) Setup > Quick Codes > Order Management Order Management Transaction Types are used to classify and control sales orders and their lines. For each Transaction Type, which is labelled as an Order Type on the Sales Orders form, you can assign a default price list, payment terms, and freight terms in addition to the workflow and credit checking assignments which are also assigned on this entity. Oracle does not deliver any Order Management Transaction Types, therefore all transaction types must be defined and implemented by the customer. The most important fields associated with the Transaction Type are the associated Header and Line level workflows that control how sales orders will be processed if associated with that specific transaction type.

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Enter Orders Chapter 10 - Page 112

Customers

Customers

Customers Order Management Super User, Vision Operations (USA) (N) Customers > Standard Customers are a required entity when entering a sales order. For more information about defining customers and parties please see the lesson Managing Parties and Customers.

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Enter Orders Chapter 10 - Page 113

Items

Items

Items Order Management Super User, Vision Operations (USA) (N) Inventory > Items > Master Items Items are required for the order to cash process. For information on how to setup items and their related components, please see the lesson on Items.

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Enter Orders Chapter 10 - Page 114

Optional Setup Steps for Entering Orders

Optional Setup Steps for Entering Orders

Some setup steps may be helpful to within the Order to Cash process relating to Entering Orders: Salespersons Defaulting Rules Credit Checking Attachments Freight Charges and Carriers

Optional Setup Steps for Entering Orders These setup steps are considered optional, but are an important part of the entering sales order implementation process Salesperson Salespeople represent a defaulting location for account information within the order to cash process. In addition to the definition of the salesperson, related set ups include sales credit types and territories. Defaulting Rules Defaulting Rules are an optional set up within order to cash, but they will provide the greatest impact for reduced data entry. Default rules control when and where Oracle should obtain values for sales order entry. Credit Checking Credit Checking is initiated through the enter orders implementation and its effect is felt throughout the order cycle. Credit Check rules determine what transactions should be considered as part of the outstanding credit extension. The application of the credit check rule on the transaction type then identifies when these rules will come into consideration. Attachments
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Enter Orders Chapter 10 - Page 115

Order Management is the only application that is able to define automatic attachment rules. By utilizing these rules, implementers are able to reduce the amount of keying done by end uses. Also, we are able to increase efficiency and accuracy of the placement of standard attachments via these rules. Freight Charges and Carriers Freight Charges and Carriers are utilized during the enter orders process, but their definitions are held within the Pricing and Shipping modules.

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Enter Orders Chapter 10 - Page 116

Summary

Summary
In this module, you should have learned to: Enter Sales Order Header information Enter Sales Order Line information Perform Scheduling activities Book Orders Copy an Order Discuss Drop Shipments and Internal Orders Run order import Setting Up Sales Orders

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Enter Orders Chapter 10 - Page 117

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Enter Orders Chapter 10 - Page 118

Managing Orders
Chapter 11

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Managing Orders Chapter 11 - Page 1

Managing Orders

Managing Orders

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Managing Orders Chapter 11 - Page 2

Objectives

Objectives
After this module, you should be able to do the following: Use the Order Organizer Update Orders and Lines Respond to Workflow Notifications Apply and Release Order Holds Cancel Orders or Order Lines Close Orders Run the Purge Orders process

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Managing Orders Chapter 11 - Page 3

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Entering Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 4

Order Organizer Overview

Order Organizer Overview

Use the Find Orders Form as a Search tool Perform many activities from the Summary Form The Navigator Tree allows quick access to groups of orders Folder File technology allows you to customize the look and feel of your Order Organizer forms
View Orders

Order Lines

Order Organizer Overview Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer The Order Organizer is a series of folder files that can acts as an Orders Workbench. Use the Order Organizer to Find existing orders, Add new orders, or perform mass updates across many orders or order lines. The Order Organizer matches the criteria entered on the Find Orders form against Orders and Order Lines. The selection criteria can be stored as a saved query then reused when needed from the Navigator Tree. The Summary Form is used to display the retrieved Orders and Lines. This makes it possible to manage several orders at the same time, i.e. perform mass updates. The Order Organizer is Right Mouse enabled making many of the Folder features easy to implement and manage.

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Managing Orders Chapter 11 - Page 5

Find Orders

Find Orders

Use Find Orders to respond to business needs Find specific Orders by Customers PO or Invoice Number Find groups of orders by Type or Category Optionally exclude closed or Cancelled orders Use the Find Orders form to find orders that need to go on hold or Orders that need to be removed from hold

Find Orders Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer > (B) Find The Find Orders form uses AND logic to build the selection criteria. This enables you to create complex queries that meet your business needs by combining fields from any of the Find Order tabs. Further enhance your search by using date ranges. Date Ranges included:Order Date, Request Date, Promise Date, Schedule Ship Date, Schedule Arrival Date. Order Information tab Use the Order Category and Order Type to find groups of orders. Many times you need to find an order by a specific pieces of information such as a Customers PO, Invoice Number, or Purchase Requisition Number. Order Clerks can quickly find all their orders by searching by the Created By field. Use the Order Source to find orders generated from another source such as Quotes, iStore, Service or EDI transactions. Order Line tab
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Managing Orders Chapter 11 - Page 6

Find Orders by the Item/Warehouse combination to retrieve all the order lines that may be affected by a shortage or a quality hold. Find orders by Freight Carrier to prepare for a possible carrier strike. Use the Waybill number to find the sales order numbers that shipped together. Hold Information tab Enables you to specify holds related criteria and find orders that are on hold. Find Hold Sources you may wish to release. Advanced tab Enables you to specify whether the query should include Closed or Cancelled Orders and Order Lines. Refer to Guided Demonstration - Find Orders and Order Lines [LAB0272Y]

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Managing Orders Chapter 11 - Page 7

Summary Form

Summary Form
Orders Order Lines

Perform Actions Apply Holds Cancel Copy Notifications Progress Order Release Holds Mass Updates

View Additional Information Holds Return Activity Deliveries Receivables Internal Requisitions Drop Ships Quantity History

Open the Summary record to access the Sales Order form

Summary Form Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer > (B) Find > (T) Summary Orders and Order Lines that meet your Find criteria are returned to the Summary Form. From the Summary form you can perform many of the same actions that are allowed in the Enter Orders form. But since you are on a summary form you have the ability to do Mass actions on groups of orders and lines. You can: Apply and Release Holds Cancel Orders and Lines Copy orders and Lines. Notification Action - you can send workflow notifications to your customer, support analyst, or engineers to keep them informed about special order needs. The Action notification does not put a hold on the order or order line and does not require a response. If you are the User responsible for responding to a Workflow Notification you can use the Action - Progress Order to allow the Sales Order to proceed to its next work flow activity.
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Managing Orders Chapter 11 - Page 8

Additional information action - gives you extensive information about your Orders and Order Lines. This allowing you to respond to Customer or Internal inquiries, or track down possible problems that might be affecting your order. Holds tab - provides you the visibility to the Hold Name, the criteria which put the entity on hold and when the hold was applied. Once the hold has been released the Holds tab displays when the hold was released and who released it. Return Activity tab - is populated if you use the Reference option when creating a Return Order. Return Activity displays the Return order number, quantity returned, credited price and the Invoice Number which was credited. Deliveries tab - is populated by the Pick Release and Ship Confirm processes. This tab allows you to find vital shipping information for tracking down lost shipments. Internal Requisition tab - gives you visibility to the Purchase Requisition which initiated the Internal Sales Order. Drop Ship tab used to track your supplier shipments. Initially it will display the purchase requisition number and status. Once the purchase order has been created the drop ship tabs requisition number is replaced with the purchase order number and status. The supplier and buyer are also displayed. Quantity History tab- used to track quantity decreases. Only booked orders are tracked. Available information is quantity prior to decrease, date of quantity change and the reason for the quantity change.

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Managing Orders Chapter 11 - Page 9

Guided Demonstration Summary Form

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer > (B) Find > (T) Summary 1. Select Customer Note: If using the Vision demo database you can use Business World. 2. 3. Click on the Line Information tab. Select an Item Number. Note: If using the Vision demo database you can use AS18947. 4. Click on the Find button Note: You are now on the Summary form. 5. 6. 7. 8. 9. Click on the Action button. Double click on View Additional Information. Click on each tab to view the additional information. Close the Additional Information form. Click on the Action button. Note: These are the actions that can be performed against the highlighted order.

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Managing Orders Chapter 11 - Page 10

Navigator Tree Functionality

Navigator Tree Functionality

Todays Orders Search Results Saved Queries Personal Folders Public Folders

Navigator Tree Functionality Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer (T) Orders To access the Navigator Tree click on the Orders tab from the Find Orders form. Today's Orders is a seeded folder that displays all orders entered today by the current user. Search Results is a seeded folder that displays all orders or lines matching your query criteria. The orders and order lines that are displayed in the Summary form are retrieved based on the search criteria entered on the Find orders form. This criteria can be saved as a User-Defined Query. To create a User-Defined Query Right Mouse Click in the Navigator Tree region after records are displayed in the Summary form. The Save Query form will pop, choose Save Query. The other choices are Delete and Rename. User-Defined Queries saved as Public can be used by many users and are stored in seeded Public Folders files. User-Defined Queries that are not saved as public are stored in seeded Personal Folder files.

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Managing Orders Chapter 11 - Page 11

Guided Demonstration Navigator Tree

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer > (B) Find > (T) Summary Note: First you will perform a Find inorder to create a query statement. 1. Select Customer. Note: If using the Vision demo database you can use Business World. 2. 3. Click on the Line Information tab. Select an Item Number. Note: If using the Vision demo database you can use AS18947. 4. 5. 6. 7. Click on the Find button. Right Mouse Click in the Navigator Tree region (Left hand side of window. The Save Query form will pop, choose Save Query. Enter a unique Query name. 8. 9. Do not select Public (make this a personal query).

Click OK. Click on the Personal Folder icon to see your saved query.

10. Click on the Todays Orders icon. 11. Click on the Search Results icon. 12. Click on the Public Folders icon.

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Managing Orders Chapter 11 - Page 12

Folder Files

Folder Files
Personalize your Order Organizer forms, then save as a new folders
Folders: Allow Customization

Save as Private or Public Open as Default Customize the Presentation Open Existing Folder Definitions Delete Folder Definitions

Folders Files Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > (T) Order Organizer All of the forms which are part of the Order Organizer are Folder Files. Use the Profile Option: Folders: Allow Customization to control who can manage folders. To create a folder file have your cursor on any of the Order Organizer forms that have a folder icon displayed. Use the Folder menu or the Folder Tools icon to save your folder. When creating folders: Folder files are associated with the user name that created it and only made public if saved as Public. Folders that were saved as a Default Folder will only default for the user who created it. Use the Folder Tools icon, Folder Menu or Right Mouse click to Customize Folders by rearranging fields, expanding/contract fields, hiding/showing fields and renaming fields. To Open Existing Folders click on the Folder icon To Delete a folder file click on the Folder icon and select the folder you want to delete then use the Folder Menu or the Folder Tools to delete it.
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Managing Orders Chapter 11 - Page 13

Guided Demonstration - Folder File

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer (T) Summary 1. Close the Find window Note: 2. 3. 4. 5. 6. 7. 8. There are three methods to manage folders Folder Menu Folder Tools icon Mouse enabled

Using the Folder Menu Create a new folder file for the Summary form Click on (M) Folders > New Name your new folder Save as Default Using your mouse drag fields into different positions Using the Folder Tool icon Shrink and Expand fields Using the Folder Menu change field prompts Note: To restore the orginial prompt select Default from the Change Prompt window.

9.

Save your changes: Click on (M) Folder > Save

10. Close Forms to return to navigator window (N) > Orders, Returns > Order Organizer (B) Find 11. Enter criteria to find a group of Sales Order (for example: by customer, or order date range) 12. Retrieved records are displayed in your new summary folder Note: It is VERY important to understand that folder files are associated with a User Name. Since many users are logged in as Operations/Welcome the last user to exit the Order Organizer Summary tab will set the default value.

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Managing Orders Chapter 11 - Page 14

Practice - Order Organizer

Overview
In this practice you will learn how to customize and use the Order Organizer. Create a new Folder File Customize the look and feel Save a Query Use the Navigator Tree

Assumptions
XX is your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Create a Default Summary form. 4. 5. 6. 7. 8. N > Orders, Returns > Order Organizer

Shrink the status field. Change the Customer PO prompt. Move the Customer PO Field to the left of the Status field. Save your modified folder. Use the Order Organizer to Find all the Orders for Business World entered last week and this week.
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Managing Orders Chapter 11 - Page 15

 9.

N > Orders, Returns > Order Organizer

Save the Query that retreived Business Worlds Records.

10. Look at Todays Orders. (Note: You only see the current users orders). 11. Look at the Orders that were retrieved from the last execution of the Find form. 12. Look in the Person Folder to see if anyone logged on as Operations has saved a personal query.

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Managing Orders Chapter 11 - Page 16

Solution - Order Organizer

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

(N) > Orders, Returns > Order Organizer 3. 4. 5. 6. 7. Close the Find window: Click on (M) Folder > New. Name your Summary form: XX-Summary. Check Open as Default and Public Click (B) OK.

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Managing Orders Chapter 11 - Page 17

Shrink the Status Field 8. 9. Put the cursor on the Status field. Click on (I) Folder Tools

10. Put your cursor on each picture o see the label. 11. Shrink status one or two times. 12. Close the Folder Tools window. Change the Customer PO Prompt 13. Scroll to the right to find Customer PO. 14. Click on (M) Folder > Change Prompt. 15. Change the prompt to PO. 16. Click on (B) OK.

Move the Customer PO Field 17. Use your mouse to Drag the customer po field to the left.

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Managing Orders Chapter 11 - Page 18

Save Folder 18. Click on (M) Folder > Save. 19. Close forms Find all the Orders for Business World 20. (N) > Orders, Returns > Order Organizer 21. Customer: Business World (1608). 22. Order Date: Last Monday to This Friday. 23. Click on (B) Find.

Save the Query 24. Put your cursor in the white, left side of the Order Organizer (T) Summary form. 25. Right Mouse click to pop save menu

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Managing Orders Chapter 11 - Page 19

26. Name: XX-Bus.World Current Orders 27. Public: Checked 28. Click on (B) OK .

29. Click on the Public folder icon to see your new saved query.

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Managing Orders Chapter 11 - Page 20

Look at Todays Orders 30. Double click on Todays Orders

Look at the Orders 31. Double click on Search Results

Look in the Person Folder 32. Double click on Personal Folders

33. Click on (I)

Close Form.

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Managing Orders Chapter 11 - Page 21

Agenda

Agenda

Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Close Orders Order Purge Summary

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Managing Orders Chapter 11 - Page 22

Processing Constraints

Processing Constraints
Control Updates to Order Entities

Put Constraints (Rules) on Operations Header Create Line Delete Sales Credits Cancel Price Adjustments Update Split Define Conditions Record Sets What records to check Validation Templates What conditions to look for

Applicable to Whos allowed to perform the updates

Processing Constraints Order Management Super User, Vision Operations (USA) (N) > Setup > Rules > Security > Processing Constraints When using Processing Constraints: Processing constraints are rules and regulations that control a Sales Order, from its creation, all the way to its closing. Oracle Order Management has seeded Processing Constraints to protect the integrity of your data. For example you cant change an order if it is closed. The seeded constraints cannot be changed. You can create additional Processing Constraints to enforce your Business Policies. The Processing Constraint Messages should be designed to clearly state the violation. This will assist in resolving the issue. Order Management displays validations in the Error Message window. Operations that can fail validation are Create, Delete, Cancel, Update and Split line. Processing constraints use Record Sets and Validation Templates to build Conditions that cannot be violated.
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Managing Orders Chapter 11 - Page 23

Records Sets identify which records to look at. A Record set is a set of records that are bound by common attributes such as Ship Set. Record Sets are the records that will be validated for a given condition defined by its Validation Template. Record sets use a match on column. Example: An ATO Configuration matches on the Header ID and ATO Line columns. Ship Sets match on Header ID and the Ship Set Number. Validation Templates identify what conditions you are looking for. Example: Is the order booked? Validations can be based on the value of a column, the Status or Result of a Workflow Activity, or a PL/SQL package to return a value to be used. You must run Create Validation Packages to make new and modified Record Sets and Validation Templates visible in the Processing Constraints form. Use the Applicable to tab on the Processing Constraints to control who can make changes.

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Managing Orders Chapter 11 - Page 24

Update Orders and Order Lines

Update Orders and Order Lines

Update from Sales Order form Updates must Pass your Processing Constraints Updating an Order Header will have no affect on the Order Lines. Order Sets are Respected when making Updates

Update Orders and Order Lines Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Sales Order Use the Sales Order form to make necessary changes to an Order or Order Line. You can change individual fields or perform an Action such as delete, cancel or hold. All actions and updates performed against an Order must pass your processing constraints. If the validation fails a message will inform you why you are not allowed to complete that operation. Making changes to an Order Header will have no affect on the Order Lines. This is because the Defaulting Rules are only executed once, when the line is first created. So if you change something on the Order Header that has already been defaulted to the lines you will need to access the line items and make your change there as well. The Mass change menu will expedite this process for you. When changing Order lines any Order Sets that exist will be respected. For example if you change the promise date on one line of a Ship Set the system will dynamically change the other lines within that set to the same value.

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Managing Orders Chapter 11 - Page 25

Sets that are protected are Ship Sets, Arrival Sets, Fulfillment Sets, and ATO configurations.

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Managing Orders Chapter 11 - Page 26

Guided Demonstration Update Order

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer 1. Select a Customer. Note: You can use Business World. 2. 3. Click on the Line Information tab. Select an Internal Item. Note: You can use AS18947. 4. 5. 6. 7. 8. Click on the Find button Click on the Open order button of a Booked order. Change 1 or more Order Header fields. Click on (T) Line Items. Change 1 or more Order Line fields. Note: Processing Constraints may prevent update to the Order you selected.

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Managing Orders Chapter 11 - Page 27

Practice - Update Order

Overview
In this practice you will learn how to make changes to a Sales Orders. Find existing Orders Change Order Header data Change Line data

Assumptions
iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. 4. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Find all the Booked orders for Business World entered in the last two weeks. Find All. 5. 6. N > Orders, Returns > Order Organizer

Change or add a Sales Channel. Change a lines ship to address. (T) Line Items, (T) Addresses

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Managing Orders Chapter 11 - Page 28

Solution - Update Order

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find All 3. 4. 5. 6. 7. N > Orders, Returns > Order Organizer. Enter Customer Business World (1608) Enter Status: Booked Enter Order Date from: Last week to End of this week Click on (B) Find.

8. 9.

Use the Customers PO number (XX) to select a unique order number. Click on (B) Open Order.

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Managing Orders Chapter 11 - Page 29

Change or add a Sales Channel 10. (T) Other 11. Click on Sales Channel LOV.

12. Save

13. Processing Constraints may prevent update. Change a lines ship to address 14. (T) Line Items, (T) Addresses 15. Scroll to the Ship to (location). 16. Use the LOV to select a new ship to location.

17. Save

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Managing Orders Chapter 11 - Page 30

18. Processing Constraints may prevent update. 19. Close form .

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Managing Orders Chapter 11 - Page 31

Mass Updates

Mass Updates
Ctrl key - Click to Select desired Orders or Lines Mass Updates must Pass your Processing Constraints Mass Change Menu Main Pricing Shipping Addresses Returns Services Action Menu Copy Hold Cancel Split

Mass Updates Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Sales Order > (T) Mass Change Select lines for update by holding the Control key while clicking on the desired record. To select all displayed records use the Edit menu Select all. Use the Tools - Mass Change window to update fields on the Order Headers or Order Lines. Mass Change will pop a note letting you know if the updates were completed successfully. If it wasnt the processing constraint will display the Process Message window explaining why the update did not occur. Use the Action Menu to perform mass copies, holds and cancels.

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Managing Orders Chapter 11 - Page 32

Guided Demonstration Mass Change

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer 1. 2. 3. 4. 5. 6. 7. 8. 9. Select a Customer. Note: You can use Business World. Click on the Find button Highlight any two orders. Hold the Ctrl key and click on order. Click on the Action button Optionally, choose to Apply Hold, Book order, Cancel, copy, price or calculate tax. Open any order that has at least two line items. Hold the Ctrl key and click on the lines you want to change. Click on (M) Tools > Mass Change.

10. Make change. Note: Processing Constraints may prevent update to the Order Lines you selected.

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Managing Orders Chapter 11 - Page 33

Practice - Mass Change

Overview
In this practice you will learn how to make changes to multiple orders or lines at one time. Find existing Orders Perform a Mass Copy Perform a Mass Line Change

Assumptions
XX represents your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Find all the orders for Business World entered in the last two weeks. 4. 5. 6. 7. 8. N > Orders, Returns > Order Organizer

Copy 2 Orders. Query your two new Sales Orders, add a Customer PO # and Book. Create a new sales Order with 2 line Items and Book it. Update Shipping Priority Look at the results of your change.

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Managing Orders Chapter 11 - Page 34

Solution - Mass Change

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find All 3. 4. 5. 6. N > Orders, Returns > Order Organizer. Enter Customer Business World Enter Order Date from: Last week to End of this week Click on (B) Find.

Copy 2 Orders 7. 8. 9. Hold the Ctrl key and Click on the Orders you want to copy. Click on (B) Action > Copy. Click on (B) OK.
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Managing Orders Chapter 11 - Page 35

10. Click on (T) Pricing Option. 11. Select Option: Re-Price as of this date. 12. Click on (B) OK.

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Managing Orders Chapter 11 - Page 36

13. Click on (B) Continue to have orders created.

14. Write your two new Sales Order Numbers.

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Managing Orders Chapter 11 - Page 37

Sales Order # 6: __________________________________________________ Sales Order # 7: __________________________________________________ .

15. Close Forms

Query Sales Orders 16. N > Orders, Returns > Sales Order 17. F11. Sales Order # 6. Ctrl F11 XX-006 18. Book Order 19. F11 Sales Order # 7. Ctrl F11 XX-007.

20. Book Order. Create a new sales Order 21. From the Order Organizer, click on (B) New Order 22. Customer: Business World (1608) 23. XX-008. 24. Accept all defaults. 25. Click on (T) Line Items. 26. Line 1.1, Item: AS54888 Qty: 5 27. Line 2.1, Item: AS54999 Qty: 7

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Managing Orders Chapter 11 - Page 38

28. Click on (B) Book. 29. Write your new order number: Sales Order # 8 __________________________________________

Update Shipping Priority 30. Click on (T) Line Items 31. Hold the Ctrl key and Click on each line.

32. Click on (M) Tools > Mass Change 33. Click on (T) Shipping 34. Select a Shipping Prioity 35. Click on (B) OK

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Managing Orders Chapter 11 - Page 39

Look at the Results 36. Click on (T) Shipping. 37. Scroll to Shipment Priority.

38. Close form

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Managing Orders Chapter 11 - Page 40

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 41

Workflow Notification Overview

Workflow Notification Overview

Stops Order or Order Lines processing until Approved Employees are responsible for responding to an Approval action. Link a role to OM: Notification Approver Use the Workflow Monitor to view and respond to Approval Notifications

Workflow Process

Stop Orders or Lines

Workflow Notifications Overview With Oracle Order Management, you can regulate order activity by defining as many manual Approvals as you wish and positioning them anywhere in your order processes. The Notification Activity is a unit of work that requires human intervention. Notifications can stop an Order or Order Line. Notifications can be sent to any one who has been set up with a User Name. This can include employees as well as customers. A seeded profile option OM: Notification Approver can be set at any level (site, application, responsibility or user). It points to a Value set that is based off WF_ROLES. By setting it at a responsibility level you could set up such that you have different roles per operating Unit that receive OM notifications. When the Order Header or Line is created the workflow Notification Approver attribute is set to the value in OM: Notification Approver profile option. You can access the Workflow Monitor from the Sales Order forms. The workflow monitor is a Java-based tool accessible from a Web browser that lets you graphically monitor a workflows progress as well as view its transaction history. Approve Order or Order Line to enable it to resume its Workflow activities.

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Managing Orders Chapter 11 - Page 42

Respond to Notification

Respond to Notification
Notification sent: Can order continue in flow?

Rejected

Approved

Order Remains Stopped

Order Continues Processing

Respond to Notification Order Management Super User, Vision Operations (USA) (N) > WF Notification > (I) Flashlight > Find Notifications Notifications either alert individuals to a situation or ask individuals to perform an action, for example, an approval. When accessing your notifications, you can: Specify search criteria to be used to find the Notifications you want to work on, for example, status, type, subject, sent, due, priority. View the details of each notification. If requested by the notification, perform an action, for example, reply to the notification or forward the notification to another individual. Rejecting an Approval Notification will cause the Order or Order Line to remain held at the current activity. If the Order or Order Line is never going to be approved you should Cancel it. Approving your Notification allows the Order or Order Line to continue its workflow processing.
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Managing Orders Chapter 11 - Page 43

Guided Demonstration Workflow Notifications

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > WF Notifications 1. 2. 3. Click on a Subject link to see details of the notification. Click on the Return to Workline. Click on a Select Checkbox. 5. 6. 7. 8. 9. Scroll to the bottom of the form.

Click on the Reassign button. Select a user. Click on the Transfer ownership option. Enter comments. Click (B) OK to activate the transfer.

(N) > Orders, Returns > Sales Order 11. Enter required fields. 12. Save the Order to receive a Sales Order Number. 13. Click (B) Action. 14. Select Notification. 15. Send to Stock, Ms. Pat 16. Enter a message. 17. Click on Send button. Notice that you are given a confirmation and notification number.

19. (N) > WF Notifications. 20. Click on Subject line. Notice the message: This notification does not require a response. It will not hold the order.
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Managing Orders Chapter 11 - Page 44

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 45

Automatic System Holds

Automatic System Holds

Credit Check Hold: Credit Check Rules Order Transaction Type Customer Profile Classes Order Payment Terms Manual Release Automatic Release

Automatic System Holds Credit Check Hold: Credit checking will only occur if the Order Type has been set up to check credit, the Customers profile class has Credit Check selected and the Orders Payment Type has Credit Check selected. If any of these are not true Credit Checking will not occur for that Sales Order. Credit Holds are automatically applied at the Order level if the limits have been violated. Create your Credit Check Rules to establish the total dollar exposure that will be compared to the customers limits. Use the Order Transaction Type to dictate when to perform Credit checking and which rule to execute. Your choices for when to check are at Booking and/or at Shipping. The Credit Checking process looks at the Customers Profile Class to determine whether to perform credit checking and if credit checking is to occur what credit limits to use. Optionally, credit limits can be set for each Customers Bill to address. Limits are per currency. Create Payment Terms and select Credit Check. An example of a Payment term that would NOT have credit Check selected would be CASH.
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Managing Orders Chapter 11 - Page 46

If a Credit Check hold is manually removed prior to Pick Release, the Release process will NOT put the order back on hold. Credit Check holds can be automatically removed by the system at Pick Release under the following circumstances; the customers AR balance has been reduced or the customers limits have been raised. Credit Check holds can be applied or removed automatically by the Enter Orders form if any of the following fields are changed on a booked order; price list, order quantity, payment terms or schedule ship date.

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Managing Orders Chapter 11 - Page 47

Hold Names

Hold Names

User Defined Group by Type Link to Workflow Activity

Authorization by Responsibility

Hold Names Order Management Super User, Vision Operations (USA) (N) > Setup > Orders > Holds Create as many Hold Names as your business processes dictate. Create Hold Types to logically group your Holds. Hold Names define characteristics about the Hold that are validated when the Hold Name is Applied or Released from an Order or Order Line. One of the validations that is controlled by the Hold name is the Workflow Activity logic. You can create Holds that will not hold an order or order line until it has reached a specific workflow activity. The other validation is the Authorization of Responsibility. You can have different Responsibilities authorized to Apply and Release Holds. Select the checkbox Hold Included Items to be sure that included items are held when holding Orders for Model items.

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Managing Orders Chapter 11 - Page 48

Guided Demonstration Create Hold Name

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Setup > Holds 1. 2. 3. 4. 5. 6. 7. 8. Enter a hold name. Enter a hold description. Select a Type from the LOV. Do not line to a Workflow. Leave Workflow Item and Workflow Activity blank. Click on Hold Included items Leave date fields blank Enter authorized responsibility for both Apply and Remove: Order Management Super User, Vision Operations (USA). Save your work.

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Managing Orders Chapter 11 - Page 49

Practice - Create Hold Name

Overview
In this practice you will learn how to create a Hold Name.

Assumptions
XX is your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Create a Hold Name.

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Managing Orders Chapter 11 - Page 50

Solution - Create Hold Name

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Create a Hold Name 3. 4. 5. 6. 7. 8. (N) > Setups > Holds. Enter a XX hold name. Enter a description. Select type: Order Administration Hold. Select Hold Included Items .

Select Apply and Remove authorized responsibility: Order Management Super User, Vision Operations (USA).

9.

Save

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Managing Orders Chapter 11 - Page 51

10. Close form

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Managing Orders Chapter 11 - Page 52

Apply Holds

Apply Holds
Hold Existing Orders and Order Lines Only Authorized Responsibilities Use the Order Organizers Find form to specify Selection Criteria Perform Mass Holds Specify a Hold Until Date Hold new Orders/Lines Create a Hold Source to hold new orders Specify up to Two Selection Criteria (Warehouse, Item, Customer, Site)

Apply Hold Hold Existing Orders or Lines Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer > Find > Order Organize (T) Summary > (B) Actions > (M) Apply Holds > (B) Apply Holds You have the ability to hold an entire Order, which would prohibit any further activity against any of the related lines. Or you can hold individual Order Lines which would allowed other lines on the same order to progress independently. Manually apply a Hold using the Action > Apply Hold menu from the Order Organizer, Order Header or Order Line. Applying a Hold to an Order or Order Line stops the workflow processing at whatever point it currently resides. Consequently, special attention needs to be paid to existing orders to be sure youre not holding an order that has already been shipped but not yet invoiced. When applying a Hold, the Hold Names will be restricted by your Responsibility.

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Managing Orders Chapter 11 - Page 53

To Apply a Hold to existing Orders or Order lines use the Order Organizers Find form to enter your Selection Criteria. Combine information from any of the find tabs to assure that you are selecting the necessary orders. Perform Mass Holds by highlighting multiple Orders or Lines prior to accessing the Action > Apply Hold menu. Specify a Hold Until Date to apply a temporary hold. When the Hold Until date has arrived the Close Orders process will release the Order or Order Line. Hold New Orders or Lines (N) > Orders, Returns > Order Organizer > (M) Tools > Create Hold Sources > (B) Apply Hold Create a Hold Source to hold new Orders or Order Lines. Specify the Criteria which will identify Orders or Lines which are to go on hold. Base your criteria on Item, Warehouse, Customer name, Customer Bill to or Ship to. Your Hold Criteria can be a combination of two choices such as Item and Warehouse, or Customer and Ship to site. Optionally Hold Future Orders/Lines. Optionally Hold Existing Orders/Lines. Optionally enter a Hold Until date. Use the OM: Schedule Orders on Hold profile option to allow the Workflow activity Schedule Line to be executed even if the line is on hold.

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Managing Orders Chapter 11 - Page 54

Guided Demonstration Apply Holds

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer > (B) Find 1. 2. 3. 4. 5. 6. 7. Enter fields to find an order to hold. Click on the Find button. Put your cursor on the order youre going to hold. Click on the Action button and select Apply Hold menu. Select a hold name. Enter comments. Click (B) Apply Hold. You have just applied an Order level hold. 8. 9. View the hold from the Action > Additional Order Information menu. Close Additional Order Information form.

10. Open one of the Orders from the Summary form. 11. Click on the Line Items tab. 12. Click on the Action button and select Apply Hold 13. Select a hold name. 14. Enter comments. 15. Click (B) Apply Hold. You have just applied a Line level hold. 16. View the hold from the Action > Additional Order Information menu. 17. Close forms to return to the navigator window (N) > Orders, Returns > Order Organizer 18. Click on the Tools Menu > Create Hold Source (T) Criteria
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Managing Orders Chapter 11 - Page 55

19. Select a hold name. 20. Select Hold Criteria one and Hold Criteria two. You could use Item: AS72111 with Warehouse M1 Seattle Manufacturing. 21. Click on the Hold Name tab. 22. Check Hold Future Orders/Lines. 23. Uncheck Hold Existing Orders/Lines. 24. Click (B) Apply Hold. You have just created a hold source that will hold all new orders that meet the criteria you entered. 25. Test the hold by entering an order using the criteria from step 23. 26. Click (B) New Orders. 27. Enter a customer name and all required information. 28. Click on the Line Items tab. 29. Enter an Item Number and quantity. 30. Save your work. If you entered an order using the exact same criteria as in the hold source you will receive a message that your order has been put on hold.

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Managing Orders Chapter 11 - Page 56

Practice - Apply Holds

Overview
In this practice you will learn how to apply holds and create a hold source. Find a sales Order Apply an Order level hold View the results Apply a Line level hold View the results Create a Hold Source Test the Hold Source

Assumptions
XX represents your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Use your PO Number to find an order to put on hold. 4. 5. 6. N > Orders, Returns > Order Organizer

Write the Order number that you have put on hold. View Hold information. Put one of the Order lines on Hold using the same hold name.
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Managing Orders Chapter 11 - Page 57

7. 8.

View the line hold. Create a Hold Source that will only hold future orders. The hold criteria are order lines for item AS54999 that are shipping from the Seattle warehouse. N > Orders, Returns > Order Organizer

9.

Test the hold source by entering a new order line for AS54999.

10. View Hold information.

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Managing Orders Chapter 11 - Page 58

Solution - Apply Holds

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility
2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find an Order 3. 4. 5. Enter XX% then tab out of the field to display the list of values. Click on the Order you want to hold and OK. Click on (B) Find.

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Managing Orders Chapter 11 - Page 59

6.

Click (B) Action > Apply Hold.

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Managing Orders Chapter 11 - Page 60

7. 8. 9.

Select your XX hold from the LOV. Enter a Hold Until date. Enter comments.

10. Click on (B) Apply Holds.

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Managing Orders Chapter 11 - Page 61

Write your Order on Hold 11. Write your Order on Hold: Sales order Number: ___________________. View Hold Information 12. Click on (B) Action > Additional Order Information (T) Holds.

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Managing Orders Chapter 11 - Page 62

13. Close the Additional Order Information form. Put Order Lines on Hold 14. Click on (B) Open Order. 15. Click on (T) Line Items. 16. Click on (B) Actions > Apply Hold. 17. Select your XX hold from LOV. 18. Enter comments. 19. Click on (B) Appy Hold.

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Managing Orders Chapter 11 - Page 63

View the Line Hold 20. Click on (B) Action > Additional Line Information. 21. Close the Additional Line Information form. 22. Close form .

Create a Hold Source 23. Click on (M) Tools > Create Hold Source. 24. Select your XX hold. 25. Enter Item AS54999 and Warehouse M1-Seattle Manufacturing as the hold criteria.

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Managing Orders Chapter 11 - Page 64

26. Click on (T) Hold Name.

27. Enter comments. 28. Check 29. Uncheck Hold Future Orders/Lines. Hold Existing Orders/Lines.

30. Click on (B) Apply Holds.

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Managing Orders Chapter 11 - Page 65

Test the Hold Source 31. From the Order Organizer click on (B) New Order. 32. Customer: Business World (1608) 33. XX-009. 34. Accept all defaults.

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Managing Orders Chapter 11 - Page 66

35. Click on (T) Line Items. 36. Enter item: AS54999. 37. Enter Qty: 1. 38. Save

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Managing Orders Chapter 11 - Page 67

View Hold Information 39. Click on (B) Actions > Additional Line Information.

40. Write your Sales Order. Sales Order # 9: _____________________________________________.

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Managing Orders Chapter 11 - Page 68

41. Close forms

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Managing Orders Chapter 11 - Page 69

Release Holds

Release Holds
Only Authorized Responsibility may Release Holds A Reason is required to Release Order or Order Lines Optionally perform Mass Releases across many orders Release a Hold Source to prevent future orders from being held

Release Holds Release Orders Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Organizer > (T) Holds Information > (B) Find > (T) Only authorized responsibilities will be allowed to release a Hold or Hold Source. Choose from a user defined list of values to select the appropriate reason for releasing the hold. Use the Action Release Hold menu. Optionally enter comments to document your transaction. Highlight multiple Orders or Order Lines prior to accessing the Action Release Hold menu to perform a Mass Release. Release Hold Source (N) > Orders, Returns > Order Organizer > (T) Holds Information > (B) Hold Source Enter the Hold name which was used to create the Hold Source and click on the Hold Source button.

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Managing Orders Chapter 11 - Page 70

Releasing a Hold Source will release all orders or order lines that went on an automatic hold and prevent new orders from being held.

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Managing Orders Chapter 11 - Page 71

Guided Demonstration Release Holds

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer > (T) Hold Information 1. 2. 3. 4. Enter a Hold name. Click on the Find button, to find all the sales Order that have been held with that hold name. Click on the Order number you want to release. Click on the Action menu and select Release Hold. Did you receive this message, at the bottom of the form? FRM-40350: Query caused no records to be retrieved. The order you selected either is no longer on this hold or the hold has been applied at the line level and you will need to click on the Lines tab before attemping to release it. If the Release form opened enter a Release reason and comment. 9. Click on the Release button.

10. To see the history of the hold you just release click on Actions and select Additional Order Information. 11. Scroll to the right to see the release history. 12. Close the Additioinal Order Information window. 13. Click on the Flashlight icon to load the Order Organizer form. 14. Click on the Hold Information tab. 15. Enter the Hold name that was used to create a Hold Source. 16. Click on the Hold Source button. 17. The entry that shows the hold criteria is the Hold Source record. 18. Put you cusor on the Hold Source record. 19. Enter a release reason. 20. Enter comments.
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21. Click on the Release button. 22. Test to be sure that the hold has been release. 23. Click on the New Order button from the Order Organizer. 24. Enter a customer. 25. Enter the required Order header fields. 26. Click on the Line Items tab. 27. Enter the item number that was referenced on the Hold Source. You may have used AS72111. 29. Enter a quantity. 30. Save your work. The line should not have gone on hold. This validate that the hold source has been released.

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Managing Orders Chapter 11 - Page 73

Practice - Release Holds

Overview
In this practice you will learn how to remove holds and hold source. Find Orders that are on hold Remove Order Hold Remove Line Hold View the results Remove a Hold Source Test the removal of hold source

Assumptions
Tasks 1. 2. 3. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA). Find your Orders that are on hold and remove the holds. 4. 5. 6. 7. N > Orders, Returns > Order Organizer (T) Holds Information XX represents your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Find the remaining holds that need to be removed and release them. Clear the Order Organizer. View the Hold history. Enter a new order line for AS54999, to see if the Order Source was released.
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Managing Orders Chapter 11 - Page 74

Solution - Release Holds

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find Orders
(N) > Orders, Returns > Order Organizer (T) Holds Information 3. 4. Select your XX hold name from LOV. Click on (B) Find.

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Managing Orders Chapter 11 - Page 75

5. 6. 7.

Click on (B) Yes. Put your cursor on the first Order you put on hold. Click on (B) Action > Release Hold.

8. 9.

Enter a reason code and comments. Click on (B) Release.

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Managing Orders Chapter 11 - Page 76

10. Put your cursor on the Sales Order #9 (the Order that went on an automatic hold because of the Hold Source). 11. Click on (B) Action > Release Hold. Look at the bottom of the screen to see the following message:

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Managing Orders Chapter 11 - Page 77

Question: Why were you able to remove the hold for the other order but when you try to do the same procedure on this order you receive the message that no records were found? Answer: Because this is a Line Level hold and you are attempting to remove it at the Order Level. 12. Click on (T) Lines. 13. Put your cursor on the Order Line that was automatically put on hold. 14. Click on (B) Action > Release Hold. 15. Enter a Release Reason and Comments. 16. Click on (B) Release.

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Managing Orders Chapter 11 - Page 78

17. Close forms

Note: You have removed the Order Level Hold and 1 line level hold. You should still have a line level hold that you manually put on that needs to be released (remember the customer was going to get back to you later and let you know if they still wanted that line). And you have the Hold Source that needs to be released.

Find the Remaining Holds 18. (N) > Orders, Returns > Order Organizer (T) Hold Information 19. Select your XX hold name.

20. Click on (B) Hold Sources

21. Put your cursor on the hold line that was requested by your customer. (Hint: the value field will be an Order number)

22. Enter a Reason code. 23. Enter Comments. 24. Click on (B) Release.

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Managing Orders Chapter 11 - Page 79

25. Put your cursor on the hold source line. 26. Enter a Reason. 27. Enter comments. 28. Click on (B) Release.

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Managing Orders Chapter 11 - Page 80

Clear the Order Organizer 29. Click on the clear icon, View the Hold History 30. Enter the Order number or customer PO number to find the order that you released. 31. Click on (B) Find. 32. Click on (B) Action > Additional Order Information (T) Holds. (you need to clear the XX hold name).

33. Close the Additional Orde Information form. Enter a new order line 34. Click on the (B) New Order 35. Business World (1608) 36. XX-010. 37. Accept all defaults. 38. Click on (T) Line Items. 39. Item: AS54999. 40. Quantity: 1. 41. Save .
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Managing Orders Chapter 11 - Page 81

Note: Your line should NOT have gone on hold.

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Managing Orders Chapter 11 - Page 82

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 83

Cancel Orders

Cancel Orders

Customers or Internal Managers may request a cancellation Processing Constraints assure that only eligible orders can be cancelled.

Cancel Order, Lines, or Line Splits

Cancel Orders Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Orders Organizer >(B) Find > (T) Summary > (B) Actions > Cancel Order/Line > Cancel Orders > (B) OK Customers request that an Order or Order Line be cancelled. Cancellations must pass your Processing Constraints. Order Management provides the features you need to cancel sales orders. You can cancel entire orders, individual lines, or split lines. Order can be canceled manually or via EDI and Order Import. A reason for the cancellation is required. Cancelled orders are not deleted from your system. If the entire order is cancelled the Order Status is changed to Cancelled. If a line or split line is cancelled the Line status is changed to Cancelled and the Qty Cancelled is populated. Cancellations cannot be reversed.

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Managing Orders Chapter 11 - Page 84

If an order or order line is cancelled by mistake use the Copy action to create a new order by copying the cancelled order or line.

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Managing Orders Chapter 11 - Page 85

Guided Demonstration Cancel Order

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Organizer > (B) Find 1. 2. 3. 4. Enter fields to find a booked order to Cancel. Click on the Find button. Put your cursor on the order youre going to Cancel. Click on the Action button and select Cancel. Note: Cancel Remaining Lines allows you to cancel lines against an order that has been partially filled. This eliminates the need to cancel each line individually. 6. 7. 8. 9. Leave Cancel Remaining Lines unchecked. Select a Reason code. Enter comments. Click on the OK button to execute the Cancel. You must requery the cancelled order to see that the status has changed.

(N) > Orders, Returns > Sales Order. 12. Use the quick key F11 to enter query mode. 13. Enter the Sales Order number you just cancelled. 14. Hold the Ctrl key and F11 key to execute query. 15. Notice that the status had changed to Cancelled. 16. To cancel a line Click on the Flashlight icon to access the Order Organizer Find form. 17. Enter fields to find booked orders. 18. Click on the Find button. 19. Open an Order. 20. Click on the Line Items tab.

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Managing Orders Chapter 11 - Page 86

21. Put your cursor on the line you want to cancel. 22. Click on the Action button and choose Cancel menu. 23. Enter a reason code and comments. 24. Click on the OK button. Notice that the quantity is zero.

26. Scroll to see the line Status of Cancelled.

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Managing Orders Chapter 11 - Page 87

Practice - Cancel Order

Overview
In this practice you will learn how cancel at the Order level and Line level. Query Sales Order to Cancel Cancel Line View cancel information Find Sales Order to cancel Cancel Order View cancel information

Assumptions
XX represents your initials. iSupport 11.5.3 has been installed along with other dependencies and patches. The URL s for accessing the HTML login page and apps login page. Seeded Vision Data You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 3. 4. 5. 6. Login to the database. Choose the responsibility Order Management Super User, Vision Operations (USA) Query Customers PO: XX-002 and cancel line 2.1. View the results of your cancel action. Find all of Business Worlds Booked orders for the last two weeks. Select an order with one of your PO numbers and cancel it Find the Sales Order you just cancelled.

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Managing Orders Chapter 11 - Page 88

Solution -Cancel Order

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Query Customer 3. Enter Query F11 Customer PO: XX-002 Ctrl F11

3. 4. 5.

Click on (T) Line Items. Put your cursor on line 2.1 (AS18947). Click on (B) Action > Cancel Enter a Reason Enter Comments Click on (B) OK.

6.

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Managing Orders Chapter 11 - Page 89

View Results 7. Notice the line quantity is 0 and the status is Cancelled.

8.

Close forms

Find All 9. (N) > Orders, Returns > Order Organizer Business World (1608) Booked Order Date: Beginning of last week to End of this week.

10. Click on (B) Find.

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Managing Orders Chapter 11 - Page 90

11. Put your cursor on the Order you want to cancel. 12. Click on (B) Action > Cancel. 13. Leave Cancel Remaining Lines unchecked Enter a reason. Enter comments. 14. Click on (B) OK. .

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Managing Orders Chapter 11 - Page 91

. 15. Close Forms Find Sales Order 16. (N) > Orders, Returns > Order Organizer Customer: Business World (1608). Status: Cancelled. Order Date: Beginning of last week to End of this week. 17. Click on (B) Find. 18. Since the order was cancelled at the Order level the status of the Order has been changed to Cancelled. .

19. Close forms

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Managing Orders Chapter 11 - Page 92

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 93

Close Orders and Lines

Close Orders and Lines

Enhances the performance Prohibits Order Updates Holds will prevent Closing Closing is a Workflow Activities Only Eligible Orders and Lines will be closed Closing a Line is an independent action Closing an Order is dependent on Lines being closed

Close Orders and Lines Since many of the Order Management programs, windows, queries, and reports only retrieve open orders, closing Sales Order Lines and Orders will enhance their performance. Seeded Processing Constraints prohibit updates to closed orders/lines. Holds prevent closing an Order or Order Line. Remove holds to allow closing. Both the Order Closing and Line closing are Workflow Activities that are a part of all seeded Order Management Workflows. Lines Only Order Lines which are eligible will close. An order line is eligible to close when it has completed all of the line-level activities within the workflow. Cancelled Lines are closed. Orders Orders are eligible to close when all lines associated with the Order are closed. Orders are only closed at the end of the month.

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Managing Orders Chapter 11 - Page 94

Agenda

Agenda
Order Organizer Entering Order Updates Workflow Notifications Holds Cancel Orders Closing Orders Order Purge

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Managing Orders Chapter 11 - Page 95

Order Purge

Order Purge
Purge Parameters

Build Purge Set Purge by Set View Results

Order repository

Purged Sales Order 1

Purged Sales Order 2

Purged Sales Order 3

Purged Sales Order 4

Only Closed Orders can be Purged Orders Cannot be linked to any open activity

Order Purge Order Management Super User, Vision Operations (USA) (N) > Orders, Returns > Order Purge > Order Purge Selection Build a Purge Set to define which orders are to be purged. The Purge Parameters give you the necessary options to enable you to purge a very specific set of orders. Combine any of the following parameters; Range of Orders, Order Type, Order Category, Customer, Order Date Range, Creation Date Range. Submit the Purge Set for processing. When the concurrent request is completed your Purge Set will be visible in the Orders Purge form. (N) > Orders, Returns > Order Purge > Order Purge It is suggested that you backup, archive or warehouse your orders before purging. Only Closed orders that have no open activity associated with them will be purged. The open activities include; Work Orders, Invoices, Returns, Requisitions. The Orders Purge form shows you the associated orders in the Orders Details tab. There are two important checkboxes in the Purge form, Purge Eligible and Purged. Use the Purge Criteria tab to see the selection criteria.
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Managing Orders Chapter 11 - Page 96

Submit your Purge Set to execute the Purge Order process. The Purge Orders form will be updated with the results of the purge. It will either select the Purged checkbox or list error messages that prohibited the purge.

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Managing Orders Chapter 11 - Page 97

Guided Demonstration Purge Order

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Orders, Returns > Order Purge > Order Purge Selection 1. Create a Purge Set that will be used to run the Purge Process. The first step in the Purge process compliles a list of orders, which are eligible to purge, based on the criteria that is entered in the Purge Set. Enter Purge Name Enter a Purge Description (What is the purpose of this purge) Optionally enter a range of Order Numbers to purge. Optionally enter an Order Type. Optionally, enter a Customer Name. Optionally enter a range of Order Dates Optionally enter a range of Creatation Dates. OK the parameters window.

2. 3.

9.

10. Submit purge order for concurrent processing. 11. View concurrent requests to be sure that the process completed successfully. (N) > Order Purge > Order Purge 13. Query your Set Name from step two. 14. The Order Detail tab displays the orders, which met the Purge criteria 15. The checkbox Eligible or Purged shows the current status of each eligible order. 16. Click on the Submit Purge to start the purge process. 17. Click on the Delete Purge set if you want to abort and delete the Purge Set. The checkbox Set Purged indicates when all the records within the set have been purged. After the Submitted purge has completed normally look at the Order purge to see which records were purged. Any orders that were eligible but did not get purged will have an error message displayed on the purge record.

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Managing Orders Chapter 11 - Page 98

Summary

Summary
In this module, you should have learned how to: Use the Order Organizer Update Orders and Lines Respond to Workflow Notifications Apply and Release Order Holds Cancel Orders or Order Lines Understand the Close process Run the Purge Orders process

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Managing Orders Chapter 11 - Page 99

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Managing Orders Chapter 11 - Page 100

Basic Pricing
Chapter 12

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Basic Pricing Chapter 12 - Page 1

Basic Pricing

Basic Pricing

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Basic Pricing Chapter 12 - Page 2

Objectives

Objectives
After completing this module, you should be able to do the following: Understand the Pricing Engine Create Price Lists Maintain Price Lists Create Agreements Create Formulas Understand How to Use Qualifiers Create Modifiers

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Basic Pricing Chapter 12 - Page 3

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 4

Pricing Engine Overview

Pricing Engine Overview

What is being Priced?

Who is asking for the Price? Qualifiers

How should the Price be Adjusted? Modifiers

Pricing Engine Overview The Pricing Engine answers three questions: What is being priced Who is asking for the Price How is the base unit price to be adjusted. Once it has all this information it selects the Price List Price and then applies any qualified modifiers in order to calculate the final Selling Price. WHAT? Based on the seeded Item Context and any user defined Pricing attributes that have been setup: The Item Context supported in Basic Pricing is the Item Number, Item Category, All Items. Using Pricing Attributes gives you the ability to factor in some characteristic about the item which would affect the selling price. For example: height and length. You could set up pricing attributes to represent height and length. When entering an Order the system will prompt for the height and length the customer is ordering and then the pricing engine will use that information to calculate the unit selling price.
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Basic Pricing Chapter 12 - Page 5

WHO? The Pricing Engine uses Qualifiers passed from the Sales Order to determine WHO is asking for the Price. Then it uses the passed qualifiers to select which modifiers will be used to calculate the final selling price. Price List qualifiers are not enabled with basic pricing so the validation is based on the Item value/unit of measure. You can associate Qualifiers with Modifier Lists and Modifier Lines. These qualifiers act like rules protecting your Modifiers from being used incorrectly. Oracle seeds four qualifier contexts which you can use immediately. They are: Customer Context: Name, Bill-to, Ship-to, Customer Class, Sales Channel. Order Context: Order/Line Type, Customer PO, Agreement, Ship Date. Terms Context: Payment terms, Freight Terms. Modifier List Context: Price List. Volume Context: Order Amount, Line Volume Note: These are not the only fields available with each context. HOW? Once the Pricing Engine has selected a unit price it determines HOW to adjust it by selecting qualified Modifiers. Modifiers can be in the form of a Discount, Surcharge or Freight and Special Handling. Discounts and Surcharges can be applied as a Percent, Amount, New Price or Lump sum to the unit price. Freight and Special Charges are not used in the calculation of the Unit Price. These values are stored separately and added to the Line and Order totals.

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Basic Pricing Chapter 12 - Page 6

Pricing Engine Pyramid

Pricing Engine Pyramid

INPUT All Customers, All Items OUTPUT

What Item Number Pricing Attributes Who Qualifiers

Base Price: Agreements Price Lists Formulas

Final Selling Price

How to Adjust Base Price

Modifiers (Adjust - & +) Percent Amount New Price Lump sum Price Breaks Formulas

One Customer

One Item

Pricing Request Structure

Pricing Engine Pyramid The Pricing Engine Pyramid demonstrates the flexibility you have in setting up your prices. At one extreme you could have 1 price per item per customer. And at the other extreme you could have 1 price for all items for all customers. The Input information comes from the Order which is being priced. It is made up of Item Number, pricing attributes and qualifiers. The Input information is used to generate the Pricing Request Structure that must be filled by the Pricing Engine. The Base Price always comes off either a regular Price List or an Agreement Price List. The value that is used could be the result of a price break, or a formula. The Pricing engine selects qualified modifiers and resolves incompatibilities. The Pricing engine applies modifiers to base price to calculate the final selling price. This is returned as the Output to the calling application.

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Basic Pricing Chapter 12 - Page 7

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 8

Price List Creation

Price List Creation

Three ways to create a Price List

Price List Setup User Interface Add Items from Inventory

Items Data base

Copy Existing Price Lists

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Basic Pricing Chapter 12 - Page 9

Price List Header

Price List Header

Name: Fiscal Year 2002

Currency

Round to: -2 Secondary Price List

Price List Header Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Price List Setup The Pricing Engine requires that all Items, Services, Models, Option Classes and Options be on a price list. You will need to set up a price list for each Currency you use. The Pricing Engine will only consider price lists that share the same currency as the Pricing Request. Therefore a sales order placed in Yen will have to utilize a Yen based price list. There is a Round to field in Price List form. This field controls the rounding factor. Entering a positive number affects positions to the left of the decimal. Entering a negative number affects positions to the right of the decimal. Example 2 would round to the nearest cent. The number of positions is controlled by the Profile Option QP: UNIT_PRICE_PRECISION_TYPE. Secondary Price Lists As with other areas of pricing, the Basic Pricing license controls available functionality to the user. Basic Pricing allows one Secondary price list. A secondary price list allows the pricing engine to look at more that one price list to determine the value of the sales order line. The
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Basic Pricing Chapter 12 - Page 10

Pricing engine will look to the Secondary Price list if the requesting item and unit of measure is not on the Primary Price list. A secondary price list is a price list you have defined previously. Any price list has the ability to be used as a secondary price list. Price Lists and Sales Order Defaults Fields such as Payment Terms, Freight Terms and Freight Carrier are available on the Price List form. By defining the Order Management Defaulting Rules to use these fields from the Price List form, you are able to default values directly into the Sales Order based upon which price list has been selected for the order. For more information on Defaulting Rules see the Order Management Users Guide.

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Basic Pricing Chapter 12 - Page 11

Guided Demonstration Price List Header

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Price List Setup 1. 2. 3. 4. 5. 6. 7. 8. 9. Enter XX-Base Prices as the price list name in the Name field. Select the Active check box. Enter a description of the price list in the Description field. Enter the price list currency (USD) in the Currency field. Enter a rounding factor of -2 in the Round To field. Enter a default payment term of Net 30 in the Payment Terms field. You may enter a comment in the Comments field. Click on the Secondary Price List tab. Select Corporate from the LOV.

10. Select the Save Icon to save your work.

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Basic Pricing Chapter 12 - Page 12

Price List Line

Price List Line

Enter a line for each Item and unit of measure combination you sell Optionally enter one line with the Items Primary UOM selected When the Primary UOM is selected Inventorys Unit of Measure conversions will be used by the Pricing Engine
Product Attribute Product Value UOM Primary Value

Item Number Item Number Item Number

BB-2100 BB-2100 BB-2200

Each Dozen Each

$ 6.00 66.00 6.00

Price List Line Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Price List Setup (T) List Line The Product Attribute gives you the ability to enter one price per Item number, one price per Item Category, or one price for All Items. If you have entered all three prices on a Price List the Pricing Engine will always select the Item Numbers price over the Item Categorys and the Item Categorys over All Items. The List line UOM is a required element of the validation process. The Pricing request is for an Item/UOM and only price lists that have the same item and unit of measure will be considered. You can have the same item on the same price list if they have different units of measures. If your selling prices vary depending on the unit of measure this is how you will want to set up your price lists. Example: Price List setup: BB-2100 at $6.00 each, and BB-2100 at $66.00 a Dozen. Sales Order request: BB-2100 1 dozen. Result: $66.00 unit price. If you sell products in multiple units of measure because of the convenience of packaging and not because of a price break you will want to use the Primary UOM feature. This will enable
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Basic Pricing Chapter 12 - Page 13

you to enter one price list line that can be used to sell in any UOM conversion that has been set up in Inventory. If you have the Primary UOM checked and you enter an item/unit of measure combination on a Sales Order that is not on a Price list the Pricing engine converts the unit of measure on the order to the Items primary UOM and then uses the UOM conversions to calculate the unit price. Example: Price List setup: BB-2200, $6.00 each, Primary UOM is selected. Sales Order request: BB-2200 1 dozen. Result: 12*6.00 = $72.00 unit price.

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Price List Line Values

Price List Line Values Absolute values Percentages of other prices Static Formulas Positive or Negative values Effective dates
Start date End date

List Line List Line Values You can enter an absolute value which represents the unit price of your List line item. For Service Program Items you have a choice of pricing methods. You can enter an absolute value which represent the unit price of your Service Program or you can enter a Percentage value which represents the Percentage of other items price. When you are selling a Service program on a Sales Order you are prompted for the Item which the Service Program will cover. The pricing engine finds the price of the covered item and calculates the price of the service program by multiplying the Percent times the items unit price. It then takes that amount times the duration of the coverage. Example of Percent of other price: Price List setup: Service Programs item number is set up at 10% per year. Sales Order request: Customer purchases 1 years worth of coverage for an Item which sells for 1200.00. The Pricing engine calculates .10 * 1200 * 1 (year) = 120.00. Formulas can be used to if you need an algebraic expression to calculate the selling price. Basic pricing will support entering a formula name in the Static Formula field. Static Formulas

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Basic Pricing Chapter 12 - Page 15

require that a concurrent program, Update Formula Prices, be run to populate the List Price value prior to being used by the Pricing Engine. The Price list will support both Positive and Negative values. This enables you to create an Item which represent a re-stocking fee. Enter this item on your price list with a negative value, then enter this item on your Return order. When the Pricing Engine calculates the total value of the Return it will subtract the Restocking fee thus lowering the value of the Credit Memo. Start and End dates are respected by the Pricing engine.

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Basic Pricing Chapter 12 - Page 16

Guided Demonstration Price List Line

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Price List Setup > (T) List Lines 1. Using the XX-Base Prices price list header information. Click on the List Lines tab. Note: Perform the remainder of the steps for each price list line that you want to create. 2. 3. 4. 5. 6. 7. 8. Select Item in the Product Context field. Select Item Number in the Product Attribute field. In the Product Value field, enter a line for each of these items AS54888, AS54999, AS18947 and AS72111. Use the default Unit of Measure. Select a Line Type of Price List Line. Select Unit Price as the Application Method. Enter the Value of the items as follows: 9. AS54888 1500 AS54999 1700 AS18947 1800 AS72111 - 2208

Save your work.

Test your price list. 10. (N) > Orders, Returns > Sales Order. 11. Enter Business World (1608) as the customer. 12. Select your new price list from the LOV. 13. Click on the Line Items tab. 14. Enter item number AS54888, which is on your price list with a quantity of 1.

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Basic Pricing Chapter 12 - Page 17

15. Enter an Item that is not on your price list. You can use CM13139 with a quantity of 1. 16. The Pricing Engine automatically populates the Unit Price field. 17. Select the Pricing tab. 18. Scroll to the right to view the Price List. The pricing engine changed the Price List to Corporate, which is the secondary price list for your new price list.

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Basic Pricing Chapter 12 - Page 18

Price List Mapping for Basic Pricing

Price List Mapping for Basic Pricing

Price List

Secondary Application Formula method Unit Price Static

List Lines Line Type Pricing Attributes

Price List Line

Percent

Price List Mapping for Basic Pricing Basic Pricing supports one Pricing Attributes context per Price List Line with up to 100 attributes.

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Basic Pricing Chapter 12 - Page 19

Practice - Create Price List

Overview
In this practice you will learn how to create a Price List. Enter Price List Header Enter Price List Lines Enter Sales Order to test new price list.

Assumptions
Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice.

Tasks
1. 2. 4. Create a Price List header with a name of XX-Base Prices and fill in a currency (USD) in the Currency field. In the lines area, enter four lines with a Product Context of Item, Product Attribute of Item Number, Line Type of Price List Line and Application Method of Unit Price. Enter the following values for the four Inventory Items AS54888, AS54999, AS18947 and AS72111 with unit prices of 1500, 1700, 1800 and 2208 resepectively. Select the Primary UOM check box for items AS54888 and AS54999. Enter an additional line for Service Item WR18533 using the application method of Percent Price and charge 5 percent of the Covered Items selling price per year. Enter a line with a value for the category of items COMPUTER.NOTEBOOK with a value of 2000. Use Item Category as the Product Attribute and Unit Price as the Application Method. Enter a Sales Order using your XX Base Prices price list and the Business World (1608) customer. Enter an order line for AS18947 with a UOM of DZ. Then change this UOM to Ea.
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5. 6.

7. 8.

Basic Pricing Chapter 12 - Page 20

9.

Add three more lines for items AS54888, AS54999 and AS92689 (COMPUTER.NOTEBOOK). Use a UOM of DZ with item AS54888.

10. Your customer wants to buy an Extended 6 year Service program to cover their new laptop Add a line with for the WR18533 for the Service Reference field refer to the line with item AS92689.

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Basic Pricing Chapter 12 - Page 21

Solution - Create Price List

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility Order Management Super User, Vision Operations (USA) Responsibility is selected. Create Price List Header 2. (N) > Pricing > Price Lists > Price List Setup Enter a Price List name: XX-Base Prices. Enter a description. Corporate Base Prices. Active: Enter a multi currency conversion: Round to: -2. Accept default Effective Dates. Corporate Pricelist Conversion

Enter Inventory Items 3. Common values for all 4 lines: Product Context: Product Attribute: Line Type: Application Method: Enter these values:
Product Value AS54888 AS54999 AS18947 AS72111 Ea Ea Ea DZ UOM Primary UOM 1500 1700 1800 2208 Values

Item Item Number Price List line Unit Price

4.

5.

Save

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Basic Pricing Chapter 12 - Page 22

Enter Line 6. Insert a new line . Item Item Number WR18533 YR Price List Line Percent Price 5

Product Context: Product Attribute: Product Value: UOM: Primary UOM: Line Type: Application Method: Value:

Enter Line with a Value 7. Insert a new line . Product Context: Product Attribute: Product Value: UOM: Primary UOM: Line Type: Application Method:

Item Item Category COMPUTER.NOTEBOOK Ea Price List Line Unit Price

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Basic Pricing Chapter 12 - Page 23

 Value: Accept defaulted date 8. Save .

2000

Enter a Sales Order 9. (N) > Orders, Returns > Sales Order Customer Name: Business World (1608) Customer PO: XX-011 Select your XX-Base Prices from the Price List LOV Populate all required Order header fields

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Basic Pricing Chapter 12 - Page 24

Enter an Order Line 10. Click in (T) Line Items. (Line 1.1) Item: AS18947. Quantity: 1 UOM: DZ

11. Change the UOM to EA. Add More Lines 12. New line .

13. Enter the following Item, Qty and UOM.

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Basic Pricing Chapter 12 - Page 25

Questions: Why did the pricing engine allow you to order 1 dozen AS72111? Why did the pricing engine allow you to order 1 dozen AS54888? AS92689 is not on the XX price list, where did the pricing engine get the unit price?

Answers: Because AS72111 is on your price list with a unit of measure of dozen the pricing engine pulled the price off of the price list. Because the Primary UOM is checked for AS54888, the pricing engine used the inventory unit of measure conversions. Example: 1500 (Ea. price) * 12 (12 eachs in a dozen) = 18,000. Because AS92689 belongs to the inventory category COMPUTER.NOTEBOOK the pricing engine used the Category price of 2000.

Purchase an Extended 6 year Service program 14. Add a new line . (Line 5.1) Item: WR18533 Quantity: 1 15. Click on (T) Services. Service Reference type: Service Order type: Service Ref Order Number: Service Ref Line Number: Service Ref Shipment number: Tab to Service Duration: Service Period: 16. Save . Order Mixed (the current order) 4 1 6 Year

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Basic Pricing Chapter 12 - Page 26

Question: Can you explain why the line number changed from 5.1 to 4.11? Can you explain the 600.00 Unit Price that was calculated?

Answers: The fifth line number digit represents a Service. By looking at the line number you can see that line 4.1...1 is a service which is covering line number 4 shipment schedule 1. The warranty sells for 5% of the covered product (2000) per year. Since the customer ordered 6 years the calculation is .05 * 2000 * 6 = 600.00.

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Basic Pricing Chapter 12 - Page 27

Copy Price List

Copy Price List

Copy

Fiscal 2002 Effective 1 Jan 02 31 Dec 02 Mouse Pad Currency Unit = 10 Desktop Computer Currency Unit = 350

Fiscal 2003 Effective 1 Jan 03 31 Dec 03 Mouse Pad Currency Unit = 10 Desktop Computer Currency Unit = 350

Copy Price List Order Management Super User, Vision Operations (USA) (N) > Pricing > Price Lists > Copy Price List Copying a Price List allows you to quickly create a new price list without adding lines manually to the price list. You are able to utilize controls within the Copy Price List form to determine which line items will be copied during the concurrent process. One option is to include the copying of discounts (modifiers) when copying an existing price list. This option will create new Modifiers for each existing Modifier that has the original Price List as either a Modifier List Qualifier or a Modifier Line Qualifier. The new modifiers name will be a concatenation of the original Modifier plus a sequence number and will have the new Price List as a Modifier List Qualifier. When creating the new price list you are able to specify any applicable effective dates. As the Pricing Engine will not use the new Price List until its Effective Date, this will allow you to create price lists in advance of when they will be needed within the pricing environment.

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Basic Pricing Chapter 12 - Page 28

Guided Demonstration Create a Price List

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Copy Price List 1. 2. 3. In the Copy From region, enter Corporate in the Price List field. Select the check box Include Discounts to instruct the process to copy discounts. Select the check box Retain Effective Dates to instruct the process to copy the effective dates of price list lines. If selected Price List Lines that no longer have a current effective date will not be copied to the new price list. In the Copy to region, enter XX-New Corporate in the Price List field. Enter a Description for the new price list. Enter the beginning Effective Date of the new price list. Click Submit. The request ID is displayed in the Request ID field. Verify that the request completed normally by using (M) View > Requests (B) Find (all requests). Verify that the new price list was created by using (N) Pricing > Price Lists > Price List Setup

4. 5. 6. 7. 8. 9.

10. Use the flashlight to find XX-New Corporate.

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Basic Pricing Chapter 12 - Page 29

Practice - Copy Price List

Overview
In this practice you will learn how to create a new Price List by copying an existing price list.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Navigate to the Copy Price List window. Create a copy of the Corporate price list retaining the effective dates. Use the name XX-New Corporate.

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Basic Pricing Chapter 12 - Page 30

Solution - Copy Price List

Login to the database 1. Login to the database. User Name: Password: operations welcome

Select Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Copy Price List 3. 4. 5. 6. (N) > Pricing > Price Lists > Price List Setup Copy From - Price List: Corporate Retain Effective Dates Check box: Selected Copy To - Price List: XX-New Corporate Effective Dates: 2 months from today Click on (B) Submit.

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Basic Pricing Chapter 12 - Page 31

 7. 8. 9.

Write your concurrent Request ID: ________________________________.

Click on (M) View > Requests > (B) Find (all requests). Verify that the concurrent has completed normally. Then verify that a new price list was created. (N) > Pricing > Price Lists > Price List Setup

10. Use the flashlight to Find XX-New Corporate price list.

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Basic Pricing Chapter 12 - Page 32

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 33

Price List Maintenance - Overview

Price List Maintenance - Overview

Flexible Maintenance Features

Manually Update Adjust Price List Process Add Items to Price List

Items Data base

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Basic Pricing Chapter 12 - Page 34

Manual Price List Updates

Manual Price List Updates

Use Effective Start/End Dates to Maintain Pricing History Corporate Price List for 2002 Item Number BB-1000 BB-1000 UOM Each Each Start Date 01-JAN-2002 01-JUL-2002 End Date 30-JUN-2002 Value 200 220

Manual Price List Updates Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Price List Setup (T) List Line To change existing Price Lists manually Navigate to the Price List Setup form and Find the Price list that needs maintenance. Elements you are able to update: You can add or change the Secondary Price List. You can Add New List Lines to existing Price Lists. You can Change List Line Values. Be aware that if you key over the existing Value you have lost the ability to maintain a history of your previous price. The only way to keep a Pricing History is by manually entering an End Date on the List Line Value that is being discontinued, then add a new line with the same Item Number and unit of measure but with the new Value. The new List Lines Start Date must be greater then the End Date of the original line. The Pricing Engine always validates the Price List and List Lines Effective Dates.

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Basic Pricing Chapter 12 - Page 35

Guided Demonstration Manual Price List Update

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Price List Setup 1. 4. 5. 7. 8. 9. Use the flashlight to find the XX-Base Prices price list. Click on the List Line tab. Use F11 to enter query mode and put your cursor in the Product Value field. Enter AS18947 and use Ctrl + F11 to execute your query. Scroll to the right and put an End Date of the last day of this month for this price list line. Save your work. Insert a new List line with the same item and uom. Use a value of 1820 for the unit price and give it a starting date of the first day of the next month.

10. Save your work.

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Basic Pricing Chapter 12 - Page 36

Practice - Manual Price List Update

Overview
In this practice you will learn how to manually update a Price List. Find an existing Price List Enter and end date for current price Add a new line with a future effective date Change the Value of an existing line.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Navigate to the Price List Setup window. Find your XX-Base Prices price list. Put an end date on the list line for item AS18947. Add a new line for the same item/uom with a future start date and Unit Price of 1820. This preserves the pricing history of an item. Change the selling price for item AS54888 to 1550 without maintaining the pricing history.

2.

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Basic Pricing Chapter 12 - Page 37

Solution - Manual Price List Update

Login to the database 1. Login to the database. User Name: Password: operations welcome

Select Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

End Date List Line 3. 4. 5. (N) > Pricing > Price Lists > Price List Setup Use the Flashlight to select XX-Base Prices. Click on (T) List Lines. F11 AS18947 Ctrl F11 Last day of this month Save. Insert a new line. Item Item Number AS18947 Ea Price List Line Application Method: Unit Price. 1820 Save.

6. 7.

8. 9.

Change Selling Price 10. Query all rows: Ctrl F11. 11. Change the Value for your AS54888 to 1550. 12. Save.
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Basic Pricing Chapter 12 - Page 38

Adjust Price List

Adjust Price List

Item Category Creation Date Increase 15%

Corporate Price List

Updated Corporate Price List

Adjust Price List Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Adjust Price List Use the Adjust Price List program to Mass Update your Price List Values. Be aware that using the Adjust Price List program to change values does not create a history record. You will not be able to recapture the old price. If you need the ability to retrieve expired prices you do not want to use Adjust Price List. Elements you are able to update: Optionally adjust only a Range of Items. Optionally adjust only an Item Category. Many companies adjust their Items selling prices annually or when the product cost has drastically changed. This is often done by Product Family. If you set up an Item Category to represent the Product Family you can quickly markup the a subset of Price List Lines. Optionally adjust only Items with a specific Item Status. Any time a new line is added to a price (manually, copy or Add Items) the system populates the Creation Date with the system date.
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Basic Pricing Chapter 12 - Page 39

Use the Creation Date to select only items that were added on a given date. This is very helpful when you have used the Add Items to Price List program to add new items At Cost. This enables you to markup the new items while leaving the older lines untouched. Adjust the Price List Value by a Percent or an Amount. This enables you to use the Copy program to created as many price list as your business procedures support and then Increase or Decrease as needed.

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Basic Pricing Chapter 12 - Page 40

Guided Demonstration Adjust Price List

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Adjust Price List 1. 2. 3. 4. 5. 6. 7. 8. Use the Flashlight to select the XX-New Corporate price list. Select Percent in the Adjust By field. Enter 5 in the Value field. Click on the Submit button. The request ID is displayed in the Request ID field. View Requests to validate that the process has completed normally. (N) > Pricing > Price Lists > Price List Setup Use the Flashlight to find XX-New Corporate. Check the line items to view the adjusted price.

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Basic Pricing Chapter 12 - Page 41

Practice - Adjust Price List

Overview
In this practice you will learn how to perform a mass adjustment of a price list.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. 2. Navigate to the Adjust Price List window. Adjust the XX-New Corporate price list by 5% for all items. Review the price list to verify that the adjustment completed correctly.

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Basic Pricing Chapter 12 - Page 42

Solution - Adjust Price List

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility Order Management Super User, Vision Operations (USA) Responsibility is selected. Adjust Corporate Price List 2. (N) > Pricing > Price Lists > Adjust Price List Price List: XX-New Corporate. Adjust by: Percent. Value: 5. Click on (B) Submit.

3.

Write your Request ID: ____________________________________.

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Basic Pricing Chapter 12 - Page 43

4.

Click on (M) View > Requests > (B) Find (all requests). Validate that your concurrent request completed normally.

5. 6. 7.

(N) > Pricing > Price Lists > Price List Setup. Use the flashlight to find XX-New Corporate. Click on (T) List Lines. Notice that the prices have been adjusted.

8.

Close forms.

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Basic Pricing Chapter 12 - Page 44

Add Items to Price List

Add Items to Price List

Item Category = Shippable OR

Fiscal 2002 Effective 1 Jan 02 31 Dec 02 Item Status = Active

Add Items to Price List Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Add Items to Price List The Add Items to Price List program allows you to quickly add items to an existing price list. This facilitates the quick creation of new price list by eliminating the need to add individual lines to the price list. When using the Add Items to Price list functionality you are able to use a number of control attributes within the form to identify which items should be added to the list. These options include addition by the range of item numbers, item category and item status. One element you should note is that you can only add items from this form to one list at a time. This means that if you would like to add all of the items that have a category of Shippable to five different price lists, you must initiate the program from this form using five separate submissions, each time identifying the price list you wish to add the items to. Using the Set Price Equal to Cost option, you are able to pull the current cost of the item from inventory into the price list when you are adding that item to the price list. Select the Inventory Organization you want to Add Items from. Be sure to enter an Organization that stores Item costs.
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Basic Pricing Chapter 12 - Page 45

Guided Demonstration - Add Items to New Price List

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Price Lists > Add Items to Price List 1. 2. 3. 4. 5. 6. 7. 8. 9. Select XX-Base Prices from the LOV. Select the Item Category Set of Inv.Items. Select an Item Status of Active. Select the checkbox for adding items equal to cost using Seattle Manufacturing as the Inventory Organization. Click on the Submit button. When the concurrent request has completed find your price list to see the results. (N) > Pricing > Price Lists > Price List Setup Use the Flashlight to find the Price list that was updated. If the item has a zero unit price, it is because the item had no costs associated with it in Inventory.

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Basic Pricing Chapter 12 - Page 46

Add Items to Price List For Maintenance

Add Items to Price List For Maintenance

Quick way to add new Product Lines Does not write over matching Item/UOMs

Seattles New Fall-Line Items

Add Items to Price List for Maintenance Order Management Super User, Vision Operations (USA) (N) Pricing > Price Lists > Add Items to Price List Not only is the Add Items to Price List program great to create your first Price List, it is also a good tool to add Product Lines to existing price lists. When new product lines are added to your inventory give them unique Categories so that you can quickly add them to your existing Price Lists using the Add Items feature by Item Category. If youre in an industry where your selling prices are set at a given Percent over cost add your items at cost with a Future Effective Start date. Then use the Adjust Price List program to markup the new items. It is important to understand that the Add Items to Price List program does not write over any List Lines that have the same Item Number and Unit of Measure as the Inventory Item Number and its Primary unit of measure. This means that you cant accidentally write over current valid values.

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Basic Pricing Chapter 12 - Page 47

Practice - Add Items to a Price List

Overview
In this practice you will learn how to add items from inventory to an existing price list. Then using Adjust List price you will adjust your price list prices. Add items to a price list Adjust all items prices View the results of all processes

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Navigate to the Add Items to Price List window. Add Active Items from the Inv.Items Category Set to your XX-Base Prices price list. Set the list price equal to the Cost of the items from the Seattle Manufacturing inventory organization. Navigate to the Adjust Price List window. Mass adjust all items on your price list by 10 currency units. Review your price list to see the changes.

2. 3.

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Basic Pricing Chapter 12 - Page 48

Solution - Add Items to a Price List

Login to the database 1. Login to the database. User Name: Password: operations welcome

Select Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Add Active Items 3. (N) > Pricing > Price Lists > Add Items to Price List XX-Base Prices. Item Status: Active. Check Set List Price Equal to Cost Checked. Inventory Organization: Seattle Manufacturing. Click on (B) Submit.

4. 5. 6.

7.

Write your Concurrent Request ID. ________________________________.

Click on (M) View > Requests > (B) Find (all requests).
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Basic Pricing Chapter 12 - Page 49

8.

Confirm that your request completed normally.

Mass Adjust 9. (N) > Pricing > Price Lists > Adjust Price List Price List: XX-Base Prices. Adjust by: Amount Value: 10

10. Click on (B) Submit.

Write the Request ID: _____________________________________.

View Price List 11. (N) > Pricing > Price Lists > Price List Setup 12. Use the flashlight to find XX-Base Prices. 13. Click on the (T) List Lines. 14. Scroll to right to see the new prices. 15. Close forms.

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Basic Pricing Chapter 12 - Page 50

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 51

Agreement Overview

Agreement Overview
Generic Customer Specific Agreement Type Order Transaction Type Controls Default Values for Sales Order Revision History Standard Agreement Pricing Agreement Customer Item Numbers

Agreement Overview Agreements Agreements can be Generic or Customer Specific. If it is Generic than all customers are eligible to use it. If it is Customer Specific then only the Customer Name entered on the Agreement will be eligible. The Agreement Type has many, varied, functions. It can be used as a Qualifier for a Discount (Modifier). It can be used by the Order Transaction Type to restrict a group of orders to only allow Agreements of a specified Type. It can be used to group similar agreements for reporting purposes. Besides restricting which Agreements a Sales Order can use, the Order Transaction Type can also specify whether an Agreement is required in order to Book a Sales Order. Many of the fields entered on your Agreements can be used to default the appropriate data on to a new Sales Order/Line. Your agreement can default Customer PO, Freight Terms, Freight carrier, payment terms, Salesperson, Invoicing Rules and Accounting Rules. By using the Revision number, Revision Date and Revision Reason you can maintain a history of all the changes you make to your Agreements. You can setup 2 kinds of Agreements, Standard or Pricing:
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A Standard Agreement could have special Freight or Payment terms. You can associate an already existing Price List to a Standard Agreement. Optionally, you can create Discounts that are qualified by the Agreement Name or Agreement Type. A Pricing Agreement allows you to create a Price List as part of the Agreement setup. The Agreement Price List has fields which are not on a regular Price List. These fields allow you to optionally enter Customer Item Numbers which have been created in Inventory and cross referenced to an Internal Item Number. You can use an Agreement Number to reference a legal document that you have given your customer.

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Agreement

Agreement
Generic Standard Agreements Customer Specific Pricing Agreements

Agreement

Standard Price List Agreement Price List

Agreement Order Management Super User, Vision Operations (USA) (N) Pricing > Pricing Agreement If you do not enter a Customer you are creating a Generic Agreement. Effective Dates are used by the Pricing Engine to assure that only Agreements that are currently in effect will be used. The Effective dates are also used by the Revision Control logic. You cannot create a new revision unless the current revision has an Effective end date. If you set the Price List Type to Agreement Price List you will have the ability to create a price list as part of the Agreement setup. If you set the Price List Type to Standard Price List you will be prompted to enter the name of an existing Price List.

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Basic Pricing Chapter 12 - Page 54

Guided Demonstration Agreement Price List

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Pricing Agreements You can create two kinds of agreements, Pricing and Standard. Pricing agreements allow you to add agreement lines to define the agreement prices. A Standard agreement uses a standard price list and will not allow agreement lines. 1. 2. 3. In the Agreement tabbed region, enter an agreement name in the Agreement Name field. Enter an agreement number in the Agreement Number field. Enter Business World in the Customer field. The customer number (1608) displays in the Cust Number field. If you leave these fields blank, you are creating a generic agreement that can be used by all customers. Select an agreement type of Standard Terms and Conditions in the Agreement Type field. Enter effectivity dates in the Effective Dates fields. Enter a salesperson name in the Sales Person field. Enter the signature date in the Signature Date field. Click on the Pricing tab. Select theAgreement Price List type in the Price List Type field: For Pricing Agreements: You can create a new price list name or choose from an existing list of values of Pricing Agreement Price List. Enter a currency in the Currency field. Enter a rounding factor of -2 in the Rounding Factor field. Enter a description for the price list in the Description field.

4. 5. 6. 7. 8. 9.

10. Enter a default freight carrier in the Freight carrier field. 11. Enter default freight terms in the Freight Terms field. 12. Click on the Payment tab. 13. Select a payment term from the List of Values in the Payment Terms field. 14. In the Rules region, enter IMMEDIATE in the Accounting Rule field. 15. Enter ARREARS INVOICE in the Invoicing field.
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Basic Pricing Chapter 12 - Page 55

16. To set the accounting rule override flag select the Accounting Rule check box. 17. To set the invoicing rule override flag select the Invoicing Rule check box. 18. At the bottom of the form, enter AS54888 in the Product Value field. 19. Enter Ea in the UOM field. 20. Select Unit Price in the Application Method field. 21. Select Price List Line in the Line Type field. 22. Enter 1450 in the Value field 23. Enter a new line for item AS54999 with the same UOM, Application Method and Line Type and a price of 1500. 24. Enter the effectivity dates in Start Date and End Date. They should be within the effectivity dates of the agreement. 25. Save your work. 26. Enter a Sales Order to test your work. 27. (N) > Orders, Returns > Sales Orders Enter Business World (1608) in the Customer field. Note: The next several steps are used to modify the order form to display the Agreement number using folder tools to show the Agreement field. 28. Put your cursor on the Total field. 29. Click on the Folder Tools icon. 30. Click on Show Fields. 31. Put your cursor on the Agreement field and click OK. Notice the Agreement number is displayed under the total field. 32. Select your agreement name from the LOV. 33. Click on the Line Items tab. 34. Enter item AS54888 from your Agreement price list. Note that the price is retrieved from the Agreement price list.

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Basic Pricing Chapter 12 - Page 56

Practice - Agreement Price List

Overview
In this practice you will learn how to create an Agreement Price List Create an Agreement header Create Agreement pricing lines Use the new Agreement price list

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Create a new customer agreement with Standard Terms and Conditions for Business World (Customer #1608) that has its own price list with pricing lines for AS54888 with a unit price of 1450 and AS54999 with a unit price of 1500. You may select any Payment Term, Accounting Rule, and Invoicing Rule that you want. Enter a new Sales Order using your Agreement. You may need to use folder tools to show the Agreement field on the Main tab of the Sales Order.

2.

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Basic Pricing Chapter 12 - Page 57

Solution - Agreement Price List

Login to the database 1. Login to the database. 2. User Name: Password: operations welcome

Select Order Management Super User, Vision Operations (USA) Responsibility.

Create a customer agreement that has its own pricing lines (N) > Pricing > Price Agreements 3. 4. 5. 6. 7. Agreement Name: XX-Pricing Agreement. Agreement Number: 1 Business World (1608). Standard Terms and Conditions. Select from LOV.

8. 9.

Click on (T) Pricing. Agreement Price List. XX-AGREEMENT PL.

10. Enter a Description. 11. Accept defaults.

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Basic Pricing Chapter 12 - Page 58

12. Click on (T) Payment. 13. Select Payment terms from the LOV. 14. Select Accounting Rule from the LOV. 15. Select Invoicing rule from the LOV. 16. Accept defaults.

17. Click on in the Lines region. 18. Enter a line for AS54888 unit price 1450. 19. Enter a line for AS54999 with a unit price of 1500.

20. Save.

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Basic Pricing Chapter 12 - Page 59

Enter a new Sales Order using Agreement (N) > Orders, Returns > Sales Orders > (T) Order Information IMPORTANT: If you dont see the Agreement field on the order header use steps 2 through 5 to add it. If it is already there go to step 7. 21. Put your cursor on the Total field. 22. Click on the Folder Tools icon. 23. Click on Show Fields. 24. Put your cursor on the Agreement field and click OK. Notice the Agreement number is displayed under the total field. 25. Customer: Business World (1608). 26. XX-012. 27. XX-Pricing Agreement.

Notice that the Price List was updated from the agreement. 28. Click on (T) Line Items. AS54888 1

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Basic Pricing Chapter 12 - Page 60

The pricing engine uses the price from the Agreement price list. 29. Close forms.

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Basic Pricing Chapter 12 - Page 61

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 62

Formula Overview

Formula Overview
Arithmetic Expression Link a Static Formula to a Price List Run Update Formula Prices Link a Formula to a Freight and Special Charges modifier Formula Types Use the Pricing Context which can have up to 100 Pricing Attributes

Formula Overview The formula is an arithmetic expression made up of step numbers. Each Step number will be defined in the Formula Lines region. You can repeat step numbers in the formula. Example: 1 * 2 + 3 1. Link your formula to a Price List by putting the Formula name in the Static Formula field on the List Line that has the Item number(s) that are to get their prices derived from the formula (dont enter a price, let the processing program calculate the price value). You must run the Update Formula Prices after entered your Formula name in the Static Formula field on the Price List. This concurrent request will use your formula to calculate the price that will populate the List Lines Value field. Link a formula to a Freight and Special Charge Modifier. With Basic Pricing you are restricted to three Formula Types, Numeric Constant, Pricing Attribute and Factor List. Basic Pricing uses the seeded Pricing Context which has up to 100 Pricing attributes.

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Basic Pricing Formula

Basic Pricing Formula

Name Effective Dates Formula Mathematical Operators Numeric Operands PL/SQL Formula Type Numeric Constant Pricing Attribute Factor List

Basic Pricing Formula Order Management Super User, Vision Operations (USA) (N) Pricing > Pricing Formulas > Formulas Setup When using the basic pricing formula: The Name is a unique identifier. The Pricing Engine uses the Effective dates. Use the Formula field to enter your formula expression. Each numeric value entered must be defined using a Formula Type on the Formula Line tab. You can use mathematical operators, numeric operands, and PL/SQL to create your formula The formula type Numeric Constant can be any numeric value. It can be a whole number or a decimal number. (1 or .1) Pricing Attribute and Factor List are explained next, separately.

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Pricing Attribute

Pricing Attribute
Characteristic of an Item Thickness, Height, Length Age, Usage Number of users Level of service

Absolute value of Pricing Attributes

Example Formula = 1 x 2 Step 1: Thickness: .3 Step 2: Base price 100 Pricing Request Thickness: 0.3 mm Calculation: 1 x 2 = 0.3 x 100 = $30

Pricing Attributes Pricing attributes are characteristics of products and services that you can specify when the characteristics help to determine the price of a product or service. Distance, age or usage, number of users, and level of service are examples of pricing attributes. You can specify one or a combination of pricing attributes and assign them to a product or service. The absolute value of a pricing attribute (such as thickness or height) of an item can be used as a Step in the formula. Example: This formula would use a Constant Value and a Pricing attribute to calculate an items unit price. You sell glass plates that can vary in thickness. You want the price to vary depending on the thickness. Create a formula 1* 2 to calculate the price of a glass item. Step 1 is a pricing attribute for thickness Step 2 is a numeric constant which represent the base value for the item. Calculation: If 100 is the base price of the glass item and 0.3 is the value of the thickness attribute of the glass then the pricing engine evaluates the formula as 0.3*100 which is 30.
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Factor List

Factor List
Create a List of Values to be factored Example: Skill Level Factor Apprentice .85 Staff 1.0 Principal 1.5 Create And and Or Conditions Base Price Attribute lines are OR logic Associate Pricing Attribute lines are AND logic Single value for a Pricing Attribute Operator: = Range of values for a Pricing Attribute Operator: BETWEEN

Factor List Formula Type Use Factor Lists to associate values and factors with a Pricing Attribute. The Pricing engine compares the Values entered on a Sales Order to the values in the Factor List to select the correct Factor to use. For example you may need to factor in the Skill level of your Consultants when calculating the sales order price. Base Price $100 Skill Level Apprentice Staff Principal Factor .85 1.0 1.5 Results Markdown $ 85 Regular Price 100 Markup 150

The Formulas Pricing Context must match the Pricing Context on the Price List Line that the formula is being attached to. You can create OR logic by the way you define your factor list. Each value that a Pricing Attribute can have is entered as a Base Price Attribute line. Example of OR logic:
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Basic Pricing Chapter 12 - Page 66

Base Price Attribute Thickness = Value: 0.1 mm Factor: 1 Base Price Attribute Thickness = Value: 0.2 mm Factor: 2 The pricing engine will retrieve a Factor if the customer orders a thickness of 0.1 mm OR .2 mm. You can create AND logic if you link an Associated Pricing Attribute line to the Base Price Attribute line. Example of AND logic: Base Price Attribute Thickness = Value: 0.1 mm Factor: 7 Associate Pricing Attribute Length = Value: 0.5 mm. The pricing engine will use the Factor 7 if the customer orders a thickness of 0.1 mm AND a length of 0.5 mm. You can assign a single value to the Pricing Attribute or a range of values by using the Operator field. The Operator = (equal) is a single value. The Operator BETWEEN allows you a range of values. See Examples above to understand single value. You can also use multiple values within factor lists. Example of multiple values: Base Price Attribute Thickness BETWEEN Value: 0.1 and .3 mm Factor: 3 Base Price Attribute Thickness BETWEEN Value: 0.4 and .6 mm Factor: 6 The Pricing Engine will use the Factor 6 if the customer orders a thickness of 0.5mm.

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Guided Demonstration Pricing Formula

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Pricing Formulas > Formula Setup 1. 2. 3. 4. 5. 6. Enter Demo-Formula in the Name field. Enter a description of the pricing formula in Description. Enter 1*2 in the Formula field. Select List Price as the Formula Type for line 1 with a value of 1 in the Step field. Select Numeric Constant as the Formula Type for line 2 with a value of 1.5 in the Component field and a value of 2 in the Step field. Save your work.

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Basic Pricing Chapter 12 - Page 68

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 69

Qualifier Overview

Qualifier Overview

Use Qualifiers to create rules for your Modifier Lists Modifier Lines Group your Qualifiers using And and Or logic.

Group # 1 1 2 2

Context

Attribute

Operator = = = =

Value

Customer Customer Customer Customer

Customer Name Ship to Site Customer Name Ship to

BB Printing San Francisco Pauls Printing San Francisco

Qualifier Overview Qualifiers are an intricate part of the pricing logic. Qualifiers create rules that Protect your Price Lists and Modifiers from being misused. To create your qualifier rules, group any of the seeded qualifiers using AND and OR logic. If the Group Numbers are the same it is AND logic. If the Group Numbers are different it is OR logic. Example: Group # Context Attribute Operator Value 1 Customer Customer Name = BB Printing 1 Customer Ship to Site = San Francisco 2 Customer Customer Name = Pauls Printing 2 Customer Ship to Site = San Francisco

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Seeded Qualifier Contexts

Seeded Qualifier Contexts

MODIFIER LIST Qualifiers Context Customer Modifier List Qualifier Attribute Customer Name, Bill to, Ship to, Class Price List MODIFIER LINE Qualifiers Context Customer Order Qualifier Attribute Agreement Name, Agreement Type Customer PO, Order Type

Seeded Qualifier Context The Qualifier Attributes represent values that can be compared to values on your Sales Order. Using these qualifier attributes the Pricing engine can determine which modifier list and modifier lines should be applied to the Order. Basic Pricing limits the seeded qualifier context to for both the Modifier List and the Modifier Line. Qualifiers for Modifier Lists: Customer: Customer Name Bill to Ship to Customer Class Modifier List: Price List Qualifiers for Modifier Lines: Customer:
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Basic Pricing Chapter 12 - Page 71

 Agreement Name Agreement Type. Order: Customer PO Order Type. When using Qualifiers: Qualifier Contexts are Descriptive Flexfields. Qualifiers Contexts do not store relationships among the hierarchies. Qualifier Context is a way of grouping similar attributes in the qualifier Flexfield. You indicate the level in the hierarchy by the flexfield sequence. This sequence is defaulted on to the Price list or Modifier as the Precedence Number. The Qualifier Attributes represent values that can be compared to values on your Sales Order. Using these qualifier attributes the Pricing engine can determine which Price List should be used and which modifiers should be applied to the Order.

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Basic Pricing Chapter 12 - Page 72

Agenda

Agenda
Understanding the Pricing Engine Entering Price Lists Using Price List Maintenance Entering Agreements Entering Formulas Using Qualifiers Using Modifiers

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Basic Pricing Chapter 12 - Page 73

Modifier Overview

Modifier Overview

Required to adjust a List Price Discounts, Surcharges, Freight/Special Charge Order or Line level Automatic, manual or overridable Qualifiers improve performance Enforce pricing policies with Qualifiers Visible from the Order and Order Line

Modifier Overview Using Modifiers is the only way you are allowed to adjust the Price List price. Discounts, Surcharge and Freight and Special Charge are all valid Modifier types with basic pricing. Create Order Level Modifiers to apply modifier to all Order Lines. Create Line Level Modifiers to apply modifier to only the current line. Qualify your Modifier List to improve the performance. If the Pricing Engine can disqualify Lists that are not applicable to the current pricing request it will improving processing time. By putting qualifiers, that act as rules, on you modifier List and Lines you can create discounts that will be automatically applied by the Pricing Engine to enforce your pricing policies. From the Order or Order Line you can use the Action View Adjustments to see the details of Modifiers that were applied automatically by the Pricing Engine or to apply Manual discounts. Also, if the modifier is overridable you can use this form to enter new values or over ride the pre-defined values.

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Modifier Structure

Modifier Structure
Type Currency Start Date Active List Qualifiers Cust Name Addresses Cust Class Price List Order Type Cust PO Agreement Name Type

Modifier List

Level Type Modifier Lines Start/End Date Automatic/Manual Override

Line Qualifiers

Pricing Attributes Attribute Operator Value

Price Breaks Qty/Price Discount % Effective Dates

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Basic Pricing Chapter 12 - Page 75

Modifier List

Modifier List Uniquely name your Lists List Types:

Discount Surcharge Freight and Special Charge

One Currency Start Dates Establish Rules with List Qualifiers

Modifier List Order Management Super User, Vision Operations (USA) (N ) Pricing > Modifiers > Modifier Setup The Modifier Type restricts the kinds of lines that can be attached. Basic Pricing supports three types of Modifier Lists: Discounts create a negative price adjustment. Surcharges create a positive price adjustment.Freight Special Handling create a charge amount. Elements within the Modifier List form: The Active checkbox allows the modifier list to be used by the Pricing engine. The Automatic checkbox at the List level is a default for lines. The Start Dates indicate when the Modifier List is effective. The currency on the Modifier list must match the currency on the Pricing Request. Use a combination of qualifiers to establish pricing rules that will be respected by the Pricing Engine.
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Basic Pricing Chapter 12 - Page 76

Modifiers can remain Price List independent or you can use your Price Lists as qualifiers.

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Modifiers Lines

Modifiers Lines Modifier Number Level: Order or Line Modifier Type: Discount, Surcharge,

Price Breaks, Freight/Special Charge Start/End Date Print on Invoice Automatic/Manual Overridable Product Attribute Line Qualifiers Best Price

Modifier Lines Order Management Super User, Vision Operations (USA) (N) Pricing > Modifiers > Modifier Setup (T) Modifier Summary The Modifier number is a unique identifier within a List. It can be alpha or numeric. Levels within modifier lines: If you create an Order Level modifier the adjustment will be applicable to all lines on the order. If it is a Freight Charge it would only be applied once to the Order Header. Line Level modifiers only adjust the pricing requests line. Types of modifier lines: Define Discounts to markdown the Price List Price. Define Surcharges to markup the order to handle minimum order requirements. Create Freight and Special Handling charges to meet your business requirements. Price Breaks can either be Discounts or Surcharges. You can break on order quantity or amount. .Elements when defining modifier line:
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Basic Pricing Chapter 12 - Page 78

The Pricing Engine uses the Start and End Dates to establish effectivity . Print on Invoice is controlled by a profile option. If it is selected the discounts will print on your invoices. Otherwise, the net amount is passed to Receivables. The Automatic checkbox is selected if you want the Pricing Engine to apply the modifier to all qualified orders and order lines. To create Manual discounts leave Automatic unchecked. You can use the Action View Adjustments to apply manual modifiers. To avoid a user from changing the Selling Price calculated by the Pricing engine leave Override unchecked. Some businesses have such a flexible selling price that they need the ability to type right over the calculated price with a new price. To do this you would need to create a modifier line which has Automatic unchecked and Override checked. Optionally, restrict the modifier to a specific Item number or item category by using the Product Attribute. If the Pricing Engine finds multiple discounts that are qualified to be applied it always applies the modifier which will give the best price to the customer. View your Discounts and Surcharges from the Sales Orders Action View Adjustments menu. View your Freight and Special Handling charges from the Action Charges menu.

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Basic Pricing Chapter 12 - Page 79

Pricing Adjustment Examples

Pricing Adjustment Examples

Discount 10% off item A 10% surcharge for purchase of under 100 units of item A 450 currency unit freight cost on entire order To 10 20 99999999 Percent 4 6 10

Surcharge

Freight/Special Charge Price Breaks From 1 11 21

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Discounts/Charges

Discounts/Charges Charge Name for:

Freight/Special Charges

Include Freight on Returns Formula for:

Freight/Special Charges Percent, Amount, New Price Lump sum

Application Method

Value for adjustment

Discounts/Charges Order Management Super User, Vision Operations (USA) (N) Pricing > Modifiers > Modifier Setup (T) Discounts/Charges If the Modifier Line Type is Freight/Special Charge identify what type of charge is it by selecting a Charge name. For example your modifier line may be for Duty fees, Export Fees, Freight Costs, Handling costs or Insurance costs. The Include on Return checkbox determines whether the Freight/Special charges should be included on a Return order. Freight/Special Charge modifier lines can be linked to a formula. If your modifier represents an estimated freight you could write a formula to take the actual Shipping charges entered on the Ship Confirm form and update your estimates to reflect the actual costs. Freight and Special Charges appear on the Invoice. The Application Method lets you apply a Percent of the lines value, a fixed amount, or New Price to adjust the Price list price. Any of these application methods will use the quantity ordered to calculate the final selling price. If you are creating a Freight/Special Charge you can specify a Lump sum as the application method. Lump sum is independent of the lines quantity.
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Basic Pricing Chapter 12 - Page 81

The Value could represent a percent, an amount, a new price or a lump sum and is the value that the Pricing Engine will apply to the Order or Order Line.

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Guided Demonstration Create Modifiers

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Pricing > Modifiers > Modifier Setup 1. 2. 3. 4. 5. 6. 7. 8. 9. Enter Discount List in the Type field. XX-Demo ModifierEnter the modifier list number in Number. Enter XX-Demo in the number field and XX-Demo Modifier in the Name field. Select the Automatic check box. Enter a currency (USD) in the Currency field. Enter a description of the modifier in the Description field. Save your work. Select the List Qualifiers button to add a qualifier at the List level. If the Qualifier Groups window appears, this list has no qualifiers. Click on OK to access the qualifier form. The QUALIFIER window appears.

10. Enter 1 in the Grouping Number field. 11. Enter Qualifier Context: Qualifier Attribute: Operator: = Value From: Modifier List Price List XX-Base Prices

12. Click on (B) OK. 13. Select the tab Modifier Summary to enter a Modifier Line. 14. Accept the default for the Modifier No field. 15. Enter Line in the Level field. 16. Enter Discount in the Modifier Type field. 17. Enter List Line Adjustment as the Pricing Phase for this modifier line. 18. Select the tab Discount/Charges.
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Basic Pricing Chapter 12 - Page 83

19. Enter Percent in the Application Method field 20. Enter 10 in the Value field. 21. Save your work.

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Basic Pricing Chapter 12 - Page 84

Practice - Create Modifiers

Overview
In this practice you will learn how to create Modifier Lists and Modifier Lines. Create a Modifier List Put a Qualifier on the Modifier List Create a Discount Modifier Line Create a Price Break Modifier Line Create a manual surcharge Modifier Line Enter a Sales Order to test the Modifiers

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Create a Modifier List and put a qualifier on the list. 2. N > Pricing > Modifiers > Modifier Setup Use an automatic Discount List type modifier with a name of XX-Mod List using your selected currency. Put a Qualifier on the Modifier List with a context of Modifier List, an attribute of Price List and the Value equal to XX-Base Prices. Create a Discount Modifier Line to apply at the Line level with the pricing phase of List Line Adjustment using an application method of Percent and a value of 10.

Create an automatic Line Level price break modifier that will apply a percentage discount based on the ordered quantity of AS54999.
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Use a Price Break Modifier Line to apply at the Line level with the pricing phase of List Line Adjustment using a product attribute of Item Number and a product attribute value of AS54999. The volume type should be Item Quantity with a break type of Point, an operator of Between, a UOM of Ea and an adjustment type of Discount. The values for the from and to should be 1-10 = 8%, 11-20 = 12%, and 21-999999999 = 15%.

3.

Create a manual Line Level 2% Surcharge modifier. Allow override to give flexibility to applying surcharges to an order line. Use List Line Adjustment as the pricing phase for this modifier.

4.

Enter a Sales Order for Business World (1608) using the price list XX-Base Prices. (N) > Orders, Returns > Sales Order

5. 6.

Test the 10% automatic modifier by entering line l.l for AS54888 with a quantity of 1. Then use the Action button to apply the manual surcharge of 2% to the order line. Enter a line for AS54999 with a quantity of 25 to test your quantity break discount.

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Solution - Create Modifiers

Login 1. Login to the database. User Name: Password: operations welcome

Order Management Super User, Vision Operations (USA) Responsibility is selected. Create a Modifier List 2. (N) > Pricing > Modifiers > Modifier Setup Type: Discount List Number: XX-Mod List Active: Name: Automatic: Currency: Description: XX Modifier List Checked LOV Enter a Description

3. 4.

Click on (B) List Qualifiers. If a Qualifier Group window pops, Click on (B) OK to access the qualifier form. Accept Qualifier Context: Qualifier Attribute: Operator: Value From: Default grouping number Modifier List Price List = XX-Base Prices

5.

Click on (B) OK.

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Create Automatic Line Level 6. (T) Modifier Summary. Accept Level: Modifier Type: Automatic: Override: Pricing Phase: Default Modifier No Line Discount Checked Unchecked 10 List Line Adjustments

7.

Click on (T) Discounts/Charges. Application Method: Percent. Value: 10.

Create Automatic Line Level Price Break Modifier 8. Add a new line. Accept Level: Modifier Type: Automatic: Override: Pricing Phase: Product Attribute: Attribute Value: Volume Type: Break Type: Default Modifier No Line Price Break Header Checked Unchecked 10 List Line Adjustments Item Number AS54999 Item Quantity Point

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 Operator: UOM:

BETWEEN Ea

9.

(T) Price Breaks. Adjustment Type:

Discount

10. Click on (B) Define Details. 11. Enter From to Values: 1 10 11 20 21 999999999 8 % 12 % 15 %.

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12. Save. 13. Close the Price Break form. Create a Line Level Manually 14. Add a new line. Accept Level: Modifier Type: Automatic: Override: Pricing Phase: Default Modifier No Line Surcharge Unchecked Checked 10 List Line Adjustments

15. Click on (T) Discounts/Charges. Application Method: Percent. Value: 2.

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16. Save. Note on MANUAL DISCOUNTS: Your business may require that users be able to apply a manual discount during order entry. To create a discount that can be applied manually and the value cant be changed enter: Automatic and Override . To create discounts that can be applied manually AND allows the user to modify the defaulted value enter: Automatic 17. Close forms. Enter Sales Order 18. 18.(N) > Orders, Returns > Sales Order Customer: Business World (1608). Customer PO: XX-013. Price List: XX-Base Prices. 19. Populate all required Order Header fields. and Override .

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Enter Line 20. (T) Line Items. Item: Qty: AS54888. 1.

21. Save. 22. Click on (B) Actions > View Adjustments. Notice that your 10 % discount has been automatically applied. Let your instructor know if your modifier was not automatically applied. (Hint: check to be sure that your XX-Base Prices price list is displayed in the Pricing tab). 23. Add a new Adjustment line. Modifier Number: Accept 24. Click on (B) Apply. XX-Mod List. 2 (default).

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Notice that the price now has been adjusted with the10% discount and the 2 % surcharge.

Enter a Line 25. Add a new order line. Item: Qty: AS54999. 25.

26. Save . 27. Click on (B) Action > View Adjustments.

Notice that the system automatically applied the Price Break modifier of 15% because it gives a better price to the customer than the automatic 10% discount. IMPORTANT: if you are using a database that has Advanced Pricing installed your results will be different. The Pricing Engine would have applied both the 10% and the 15 % because they are both setup as automatic. The results would be a lower unit price:

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28. Close forms.

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Summary

Summary
In this module, you should have learned how to: Understand the Pricing Engine Enter Price Lists Maintain Price Lists Create Agreements Create Formulas Use Qualifiers Create Modifiers

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Basic Pricing Chapter 12 - Page 96

Shipping
Chapter 13

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Shipping Chapter 13 - Page 1

Shipping

Shipping

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Shipping Chapter 13 - Page 2

Objectives

Objectives
After completing this module, you should be able to do the following: Understand the complete shipping cycle from Pick Release through Ship Confirm Release Sales Orders for Picking Ship Confirm picked orders Perform the necessary Shipping Setups Understand Shippings APIs and Interfaces

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Shipping Chapter 13 - Page 3

Agenda

Agenda
Understanding Shipping Concepts Using Pick Release Entering Ship Confirm Defining Shipping Setups Shipping APIs and Interfaces

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Shipping Chapter 13 - Page 4

Ship Order

Ship Order

Enter Book Reserve Pick Stage Ship

Ship Order Once a Sales Order has been booked, the Sales Order Lines must complete all workflow activities leading up to the Shipping Activity. Two typical preceding activities are Schedule Line and Create Supply. Schedule Line: Scheduling the line makes the Order Lines demand visible to Inventory for planning. It also sets the Shipment Schedule Date. Create Supply: Configurable items must complete the Create Supply activity which takes an order line through a build cycle. The final assemblies that are completed out of Work in Process are received to inventory as Reserved for a specific customers order. Drop ship order lines must complete the Create supply activity too. Once a Purchase Requisition has been passed to Purchasing the Order line advances to the Shipping Activity. Standard shippable items dont need to perform any of the Create Supply activities so directly advance to the Shipping activity. Shipping:
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Shipping Chapter 13 - Page 5

When an Order Line reaches the Ship Line workflow activity, Order Management calls Shipping APIs to indicate that a line is pick eligible. The line status is changed to Awaiting Shipping. Order lines that are awaiting shipping are called Delivery Lines in the Shipping module. Pick Release moves orders to a staging location and reserves inventory. From the staging area shipments can be weighed, packed and shipped. Orders are ship confirmed out of the staging location. When a delivery is ship-confirmed, Shipping calls OM APIs to communicate the event, triggering the line flow to move forward.

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Shipping Concepts

Shipping Concepts
Trips Deliveries Delivery Lines LPNs Locations

Bill of Lading

Shipping Concepts Trip A trip is carrier specific and represent a unique instance of that carrier leaving your warehouse carrying deliveries. The carrier could be a public carrier such as UPS, DHL, FedEx, or could be a companys own fleet of trucks A trip could represent a truck, air cargo, ship cargo, or railcar. These entities would be set up as Items in Inventory with an item type of vehicle. Each trip has a minimum of two stops, Pick-Up and Drop-Off. A trip can be created automatically or manually from the Shipping Transaction form or can be automatically created from the Ship Confirm form. Companies that use public carriers let the system automatically create Trips as part of of the Ship Confirm process. This eliminates unnecessary transactions. Stops A Stop is a point along the route that a trip makes to its final destination.

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Shipping Chapter 13 - Page 7

The Ship Confirm process initiates the Pick-Up stop and putting the Delivery InTransit. Manually record all stops made by the Trip using the Shipping Transaction form or have the Ship Confirm process automatically close a Trip, which creates and closes the Pick up stop and changes the Delivery status to Shipped. Companies that use public carries let the system automatically close a Trip as part of Ship Confirm. Delivery leg A Delivery Leg consists of two stops where the delivery is picked up and dropped off, respectively on the same trip. The delivery might travel through several legs to get to its final destination. A Delivery leg is synonymous to the Bill of Lading. A bill of lading is a receipt, listing all the goods that were signed over to a carrier. The Ship Confirm form has the option to generate a bill of lading which can then be printed as part of the Delivery Document Set. Deliveries A Delivery is required to perform Ship Confirm. It represent all the goods that were shipped from the same warehouse, going to the same Customer location. The grouping of delivery lines into deliveries is restricted by the grouping rules that are established on the Shipping Parameters - Delivery Grouping Tab. A Delivery can be created automatically or manually from the Shipping Transaction form at any time after the order lines have become Awaiting Shipment or can be automatically created during the Release Sales Order process. Delivery Lines Delivery Lines are Sales Order Lines which have completed all their workflow activities that are prerequisites to Shipping such as Schedule Line or Create Supply. Delivery lines are visible from the Shipping Transaction form. They are also visible from the Sales Order Lines Additional Information Deliveries tab. LPNs LPN, (License Plate Number) are also known as Containers. A container can be loaded inside of another container, for example, pack an item into a box and then pack that box onto a pallet. Containers must be setup as inventory items. Containers can be made mandatory using your Shipping Parameters. Ship From The Ship From location represents the warehouse that is performing the shipping transaction. A warehouse is an Inventory Organization. Each address that you can ship from within an organization must be setup as an Inventory location. Ship to: The Ship To location represents a Ship-To address that has been setup on the Customers record.

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Pick Release Concepts

Pick Release Concepts

Which Orders to fill? 3 2 1 Release Rules

In what order to fill? 3 1 2 What material to use?

Release Sequence Rules

Picking Rules

How to group on Pick Slip? Pick Slip Grouping Rules

Pick Release Concepts Release Rules Release Rules define the criteria to be used during Pick Release. Only orders which meet the criteria and are eligible will be Released. An Order line is eligible if it has completed the prerequisite workflow activities, such as Schedule - Line or Create Supply. Release Sequence Rules Release Sequence Rules determines the order in which inventory is allocated to sales orders. Users can choose to allocate by order, outstanding Invoice value, Scheduled Date, Departure Date & Shipment Priority. The order in which sales orders are filled could be very important. If a company has a problem of running out of material before all of their orders have been filled it is very important that they have filled their most important orders first. Picking Rules Picking Rules, which are created and maintained in Inventory, suggests which material to use, based on inventory controls such as Revision control, Lot control, FIFO (first in first out) or subinventory/locator picking numbers.

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Picking Rule is an Item Attribute. Create a variety of picking rules and associate them with the appropriate items. If there isnt a Picking Rule associated with the item, the system will use the Organizations default Picking Rule which is found on the Shipping Organizations Parameters. Note: Picking Rules are covered in Inventory. To learn more see Inventorys users guide. Pick Slip Grouping Rules Pick Slip Grouping Rules organize how released order lines are grouped on Pick Slips for ease of picking. For Example: By using the Pick Slip Grouping Rule "Sub-Inventory" the user can reduce the number of trips to a particular subinventory by grouping all lines for that sub-inventory on to one Pick Slip.

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Shipping Transactions User Interface

Shipping Transactions User Interface

Query Manager Trips Stops Deliveries Delivery Lines Containers Saved Queries Folder enabled

Data Manager Pick Release Ship Confirm Create/Plan Trips/Stops Deliveries Delivery Lines Containers

Shipping Transactions user interface Order Management Super User, Vision Operations (USA) (N) > Shipping > Shipping Transaction The Shipping Transaction form is a workbench that consolidates planning, executing and viewing all aspects of the Shipping Process. The user interface is composed of two elements; the Query Manager and the Data Manager. It allows for extensive use of Oracle Folders and Tree Capabilities. Change prompts, move fields, hide/retrieve fields. Query Manager The query manager finds trips, stops, deliveries, delivery lines and containers. Define and Save queries using the query manager for fast retrieval of data. Data Manager Create or change data easily using the Data Manager. Plan trips, stops, deliveries, delivery lines and containers. Perform Pick Release and Ship confirm from the same form.

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Shipping Chapter 13 - Page 11

Pick Release can be launched directly from the Shipping Transaction form based on criteria set up in shipping parameters or the Release Sales order form can be called from the Tools menu. Use the Ctrl - Right mouse button to select multiple records to transact at one time.

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Shipping Chapter 13 - Page 12

Pick Release Process Flow

Pick Release Process Flow

Move Orders Enter Order Move Transactions Allocate Inventory

Inventory Reservation Pick Slips

Pick Confirm

Stage

Subinventory Transfer

Source Location

Pick Release Process What Happens during Pick Release: A pre-approved Move Order is automatically created in Inventory. A Move order is a request for a subinventory transfer from the source (stocking) subinventory to the destination (staging) subinventory. A Move order is created for every Sales Order Line that has the status of Awaiting Shipping and passes the picking criteria (Use your Release Rules to guide this process). The Destination subinventory is the Staging subinventory entered on the Release Sales Orders form or defaulted from the Shipping Parameters. Only one staging subinventory is allowed per Picking Batch. Note: A Picking Batch is the total number of Order Lines that were released at one time. Inventory uses the move order to manage material requisitions within an Organization. Allocate Inventory to the move order Allocating can be done automatically after the move order is created by setting Auto Allocate to yes on the Release Sales Order form or postponed until later, then manually allocated from the Transaction Move Orders form.
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Shipping Chapter 13 - Page 13

The Release Sequence Rule, that was entered on the Release Sales Orders form, or defaulted from the Shipping Parameters, will be used to determine in what sequence to fill the move orders. Move orders use inventorys picking rules to suggest the material that should be allocated. The sourcing values for subinventory, locators, revisions, and lots are defaulted on to the move order. Serial Numbers can be allocated if the profile option: INV: Detail Serials = Yes. If it is set to No serial numbers can be entered before Pick Confirm from the Move Orders form or after Pick Confirm from the Shipping Transaction form. The source defaults can be manually updated from the Transaction Move Orders form. A high level reservation is placed for the Move Orders material requirements. Allocating inventory is a prerequisite for printing Pick Slips. The Pick Slip Grouping Rule entered on the Release Sales Orders form or defaulted from the Shipping Parameters is used while printing pick slips. Pick Confirm the move order Pick Confirm can be done automatically during the picking process by setting Pick Confirm to yes on the Release Sales Orders form or by unchecking the Pick Confirm Required checkbox in the Organization Parameters form. If it is not done automatically during pick release it can be done manually from the Transaction Move Orders form by selecting the Transact button. The Pick Confirm transaction executes the subinventory transfer, moving the material from its source location to its destination staging location. Only 1 staging subinventory is supported per picking batch. The high level reservations are replaced with detail reservations. Note: A high level reservation puts a reservation on a given quantity. For example if the sales order line needs ten 12 Monitors and you have 15 on hand, the reservation will guarantee that 10 of them will be available for this order but it doesnt specify which 10. Detail reservations puts a reservation on specific subinventory, locator, revision, and lot number. If you transact less than the requested quantity, the Move Order will stay open until the total quantity is transacted, or the order is closed or cancelled. The status of the Sales Order Line, which is linked to the Move Order, is changed to Picked making it eligible for Ship Confirm. If not all of the Move order quantity was transacted the status of the Sales Order Line, is changed to Picked Partial. During Ship Confirm the order line will split into 2 shipment schedules (e.g. 1.1 and 1.2). The status of the unfilled line will be changed to Awaiting Shipping. If there is a shortage of material a shortage messages alerts the appropriate individual. If an organizations actual picks rarely deviate from the suggested material, it is suggested that you run your picking process with Auto Allocate and Pick Confirmed set to Yes to cut down on the overhead which is required to transact manually. Auto Create Deliveries - Optional

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Shipping Chapter 13 - Page 14

A delivery is required in order to Ship Confirm. You can select to have the Picking process automatically group your delivery lines into deliveries to expedite this process.

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Shipping Chapter 13 - Page 15

Ship Confirm Process Flow

Ship Confirm Process Flow

Ship Confirm

Delivery

Ship Inventory
Cost of Goods Sold

* Backorder Requires Re-Pick

Stage Leave Staged

Cycle Count B.O.

Transfer Reservation To Cycle Count

Inventory Activities

Issue from stores

Remove Reservations

Decrement Inventory

* Reservations removed

Ship Confirm Process What happened during Ship Confirm: The results of the picking process are recorded against a Delivery. Ship Confirm can only be performed on Deliveries with Delivery Lines that have been Pick Confirmed. Ship confirming a delivery records the results of the picking process. These results could be shipped, backordered, staged or cycle count or a combination of all 4. The workflow activity will be completed when the quantity picked is recorded as Shipped. If the ordered item is set up with the item attribute Shippable checked, Ship Confirming is a prerequisite for Invoicing. The Sales Order Action- Additional Line Information provides a complete history of the lines shipping process from Ready to Release through Shipped. Over/Under Tolerances

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Shipping Chapter 13 - Page 16

The Ship Confirm process will check the Over/Under tolerance associated with the customer, the item, as well as the corporate policies set up using profile options. OM: Under Shipment Tolerance, OM: Over Shipment Tolerance. At ship confirm, you can confirm a quantity greater than the quantity on the line if it is within the over-shipment tolerance. If it is greater than the over shipment tolerance, a warning will be given. The actual quantity shipped is recorded on the line. The point of using over-ship tolerances is to allow a greater quantity to be shipped without having to add another line to the Sales Order. The under-shipment tolerance works a little different - at ship confirm, you can confirm a quantity less than the quantity on the line - but if the quantity shipped is within the undershipment tolerance, then the line will be closed once the shipment is processed. If the quantity shipped is outside the tolerance, the line will split into 2 lines - the one line representing the quantity shipped and the other containing the difference. The point of using under-ship tolerance is to save the user from having to cancel any remaining little bits of a line, if there is no intention or need to ship it. Invoicing of over shipments will be controlled by the profile option, OM: over shipments Invoice Basis - which will control whether to invoice for the quantity shipped or quantity ordered. Under shipments are always invoiced at quantity shipped. Shipped Quantities Once the delivery is closed the Order Line is updated with the shipped quantities and the status of the line is changed to Shipped. This enables the order line to proceed to its next workflow activity. The Ship Confirm transaction initiates the Inventory Interface to generate the Issue of Stores transactions which will decrement inventory and remove the material reservation. Then the OM interfaces is initiated to update the Sales Order Line with Shipped quantities, freight charges, etc. The Cost of goods sold account number that is passed to inventory is workflow generated. In Inventory it creates a Material Distribution record that is ultimately passed to the General Ledger. If Ship confirm is partial the remaining quantity can be either staged or backordered. Backordered Quantities Backordered quantities are left in the Staging Subinventory. They are not automatically returned to their source location. A new pick release will be required before they can be ship confirmed. The backordered quantity is removed from the delivery being Ship Confirmed.and the reservation is removed making the quantity available to ATP. The Sales Order line splits into shipment schedules. One schedule will have the quantity that was shipped and a status of Shipped. The other schedule will have the quantity that was backordered and a status of Awaiting Shipment. Example of resulting split. Original Sales Order line: Line Item Ordered Shipped Status 1.1 BB-2002 10 Picked After Ship Confirm (8 shipped 2 backordered) 1.1 BB-2202 8 8 Shipped
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Shipping Chapter 13 - Page 17

1.2 BB-2202 2 Awaiting Shipment Staged Quantities Staged quantities are left in the Staging subinventory and can be Ship Confirmed at a later time. The staged quantity is removed from the delivery being confirmed and optionally linked to a new delivery number. The Sales Order line splits into shipment schedules. One schedule will have the quantity that was shipped and a status of Shipped. The other schedule will have the quantity that remained Staged with a status of Picked. Example of an automatic split performed by the shipping process. Original Sales Order line: Line Item Ordered Shipped Status 1.1 BB-2002 10 Picked After Ship Confirm (8 shipped 2 staged) 1.1 BB-2202 8 8 Shipped 1.2 BB-2202 2 Picked Cycle Count The Cycle Count capabilities will be available with a future family pack. Without Cycle count the Backordered quantitys reservation is automatically removed during the Ship Confirm process. This sometimes is not appropriate since it frees up the inventory to be reserved by another delivery line. By using the Cycle count functionality you have the option to transfer the reservation on a pick released item to Cycle Count and simultaneously backorder the delivery line quantities which helps keep available inventory accurate. This would be used if unexpected situations occur while staging orders such as, an item is damaged or physical inventory is out of balance with the system inventory. By transferring the reservation to Cycle Count, future reservations cannot be placed against that quantity. If you select Cycle Count all the entire reserved quantity for a delivery is transferred to Cycle Count and the delivery line status is changed to backordered. If only specific quantities should be transferred to cycle count you must first enter a Shipped quantity on the delivery lines detail form. Then from the Ship Confirm form select Ship entered quantities and in the Unspecified quantities LOV select Cycle Count. The result is that only the shipped quantities are confirmed and the balance of the delivery lines will be Backordered and the reservations for that quantity will transfer to Cycle Count. Example of resulting split. Original Sales Order line: Line Item Ordered Shipped Status 1.1 BB-2002 10 Picked After Ship Confirm (8 shipped 2 backordered) 1.1 BB-2202 8 8 Shipped 1.2 BB-2202 2 Awaiting Shipment

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Shipping Chapter 13 - Page 18

Delivery Line Processing Statuses

Delivery Line Processing Statuses

Ready to Release
Booked Order

Released to Warehouse Staged Backordered Confirmed In Transit Shipped

Delivery Line Processing Statuses The Shipping process provides Delivery Line statuses to reflect at what stage in the shipping process the delivery line is current at. Ready to Release The Order Line has been booked and passed to shipping execution. It is now a delivery line which is eligible for Pick Release. Release to Warehouse Pick Release has started but not completed. Either no allocations were created or the allocations have not been Pick Confirmed. Staged Staged occurs after pick confirm to indicate that the subinventory transfer has been executed. The quantities are now staged and ready for shipping. Backordered The delivery line has been pick released but no allocations were created or partial allocations occurred. Confirmed
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Shipping Chapter 13 - Page 19

This delivery status indicates that the delivery line is either shipped or backordered and the trip stops are still open. In transit This delivery status indicates that the delivery associated with the line is ship confirmed and the pick up stop is closed. Shipped This pick status indicates that the delivery associated with the delivery line has been confirmed. The Shipping process ends and the sales order line advances to its next workflow activity.

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Shipping Chapter 13 - Page 20

Shipping Roles and User Security

Shipping Roles and User Security

Trips

Stops

Deliveries

Lines/LPN

Shipping Roles and User Security Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Grants & Roles Definitions Shipping Execution is made up of many functional areas such as, Trips, Stops, Deliveries, Delivery Lines and LPNs (Containers). It is not always appropriate to allow all users to perform all of these shipping functions. Using Roles and Grants controls users access to only the options consistent with their role. This in turn secures shipping data by selectively hiding or displaying view-only fields or granting full edit mode. New users must be granted permissions to the shipping areas that are appropriate to their shipping role.

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Shipping Chapter 13 - Page 21

Agenda

Agenda
Understanding Shipping Concepts Using Pick Release Entering Ship Confirm Defining Shipping Setups Shipping APIs and Interfaces

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Shipping Chapter 13 - Page 22

Pick Release Parameters

Pick Release Parameters

Controls the Picking Process

Pick Release Parameters Pick Release parameters are Organization specific. Once the organization is entered on the Release Sales Order form the parameters will default values and establish controls on the picking batch. If a Release Rule is used either from the Release Sales Order form or by SRS, the Release Rules defaults are used in place of the Pick Release Parameters. If Pick Release is launched from the Shipping Transactions Action button, the picking parameters for the shipping organization are used to provide the default values. Default Values: Release Sequence Rule, Pick Slip Grouping Rule, Picking Document Set, Staging Subinventory, Staging locator. Controls: Whether to print pick slips immediately, or wait until the process is complete. Whether grouping delivery lines into Deliveries will be restricted to within an Order or across Orders. Whether to automatically create deliveries as part of the picking process.
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Shipping Chapter 13 - Page 23

Whether to automatically allocate inventory as soon as the mover order is created. Whether the Picking process should respect Ship sets and Ship Model Complete sets.

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Shipping Chapter 13 - Page 24

Methods to Pick Release

Methods to Pick Release

Release Sales Orders Online

Release Sales Orders Concurrent Release Sales Orders SRS

Methods to Pick Release Online When the Release Sales Orders is submitted from the user interface, as Online, it releases one order immediately, eliminating waiting for the order to process through the Concurrent Manager queue. Only one Sales Order at a time is allowed. A Release Rule and Document set are required. Concurrent When the Release Sales Orders is submitted via the user interface, as Concurrent, it runs Pick Release in the background, allowing you to run other processes simultaneously. Standard Report Submission (SRS) When a Standard Report Submission (SRS) runs Release Sales Orders it runs in the background on an automatic, scheduled basis. Using SRS and your Release Rules, you can run a specific release at the same time every day Note: The Shipping Transactions Tools menu provides a link to the Release Sales Order UI to allow picking either Online or Concurrent.
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Shipping Chapter 13 - Page 25

Configurable Process

Configurable Process
Pick Release Sales Order One Step Picking: Auto Allocate = Yes Auto Pick Confirm = Yes Two Step Picking: Auto Allocate = Yes Auto Pick Confirm = No Three Step Picking Auto Allocate = No Auto Pick Confirm = No Results after Pick Release Move Order Created Inventory Allocated * Material moved to Stage Move Order Created Inventory Allocated Move Order Created

* The picking process is complete when the material has been moved to the Staging Subinventory

Configurable Process One-Step Process Auto Allocate is set to Yes and Auto Pick Confirm is set to Yes. When the request is submitted the system automatically creates a Move Order for all eligible order lines that meet the picking criteria. The Release Sequence Rule is used to sequence the orders for inventory allocation. Inventorys Picking Rule is used to detail the Move Order with suggested material. Pick Slips are printed and can be reprinted if needed later. The subinventory transfer is executing moving the material from its source location to the destination staging subinventory. The Order Line status is Picked, making it eligible to be Ship Confirmed. One Step Shipping Scenario: The One Step process would be for an organization who's shipment profile is one where the order lines do not require a lot of change. Typically the majority of what is picked is Shipped in full and the process requires minimal manual intervention. This type of process is also

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Shipping Chapter 13 - Page 26

appropriate for shipment profiles that are simple and repetitive. High volume non MSCA non WMS would probably use a one step process. Two-Step Process Auto Allocate is set to Yes and Auto Pick Confirm is set to No. When the request is submitted Move Orders are created. Inventory is allocated and the Move Order is detailed with source information. Pick Slips are printed. The Order Line status is still Awaiting Shipping. Manually Pick Confirm from the Transact Move Orders form to complete the picking process. Two Step Shipping Scenario: The Two Step process allows some automation by having the system allocate the material but gives the Material Handler more control by allowing changes to be made at the Pick Confirmation step. The two step process is typically used by organizations that use mobile scanning devices where the Material handler scans material as its being picked. Probably not used by organizations who pick and ship from the desk top due to the number of transactions necessary to process the shipment via the forms. Three-Step Process Auto Allocate is set to No and Auto Pick Confirm is set to No. When the request is submitted Move Orders are created. The Move Order has not been detailed. Pick Slips cannot be printed. The Order Line status is still Awaiting Shipping. Manually allocate inventory from the Transaction Move Orders form Manually Pick Confirm from the Transaction Move Orders form. Three Step Business Scenario: The Three Step process would be for organizations that have full RF Mobile device capabilities. The number of transactions required to process a shipment requiring all three steps would be unreasonable using the desk top but it could be done. It also has the most control and the most flexibility in the picking process.

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Shipping Chapter 13 - Page 27

Auto Create Delivery

Auto Create Delivery

ABC Print From Seattle UPS To San Jose Delivery 1

Prepaid

ABC Print From Seattle DHL

To New York

Group by: Ship From Ship to Customer Carrier Freight Terms Delivery 2

Prepaid Deliveries

Delivery Lines

Auto Create Delivery Deliveries are required to perform Ship Confirm. Deliveries can be automatically created from the Release Sales Order form during Pick Release or from the Shipping Transactions Action menu any time prior to Ship Confirm. If Autocreate is not executed, Deliveries can be manually created from the Shipping Transaction form. Deliveries Lines Delivery Lines are Sales Order Lines which have completed all their workflow activities that are prerequisites to Shipping such as Schedule Line or Create Supply. Delivery Grouping Tab Lines are grouped based on the grouping attributes specified on the your Organizations Shipping Parameters Delivery Grouping Tab. There are two mandatory attributes, Ship From location and Ship to location. Optionally, group by Customer, Freight Terms, FOB, Intermediate ship to location, Ship Method, and Carrier.

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Shipping Chapter 13 - Page 28

Release Sales Orders

Release Sales Orders

First Step in Shipping Process Line Status: Awaiting Shipping Prior Reservations only Document set Move Orders Created Holds (User Hold/Credit Hold)

Selection Criteria Ship From: Seattle Ship Date From: Null Ship Date To: Current Date Carrier: UPS Find all the orders that are scheduled to ship today (or earlier) from Seattle, that are shipping UPS.

Release Sales Orders Order Management Super User, Vision Operations (USA) (N) > Order Management > Shipping > Release Sales Order > Release Sales Order Releasing Sales Orders for picking is the first step in the shipping process. The Shipping activity must be in the Lines workflow. The line status must be Awaiting Shipment and the items attribute Shippable must be selected. Some companies have a problem with material shortages or incorrect balances. To combat these issues it may be necessary for a Scheduler to manually reserve inventory for specific Sales Order Lines, prior to picking. In order to assure that the picking process selects only the orders planned by your schedulers, select Prior Reservations Only from the Release Sales Order form. The Document Set defines what reports will be printed from your picking process. For example you may request that Pick Slips and an Exception Report be printed. Move Orders are created for every Sales Order Lines that is released. Holds All user defined holds must be removed from the Order or Order Line prior to picking.
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Shipping Chapter 13 - Page 29

Credit Check holds that are placed on an order at booking may automatically be removed by the picking process if the Customers AR balance has been decreased or their credit limits have been increased. The picking process could apply a credit check hold if the orders Transaction Type has a value in the Credit Check Rule Shipping field. If a credit hold is manually removed prior to pick release the system will not perform a credit check, even if the Order Transaction Type has a value in the Credit Check Rule Shipping field.

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Shipping Chapter 13 - Page 30

Guided Demonstration Release Sales Orders

This demonstration will cover booking a new order and then releasing the sales order by running pick release.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Orders, Returns > Sales Orders 1. 2. 3. 4. 5. 6. 7. 8. 9. Enter Business World (1608) as the customer. Accept all header defaults and go to the Line Items (T). Enter a line with the item AS54888 and a quantity of 5. Select the Book Order (B). Note your sales order number. (N) > Shipping > Release Sales Orders > Release Sales Orders Enter your Order Number in the Order Number field. Click on the Inventory (T). Enter theWarehouse code of (M1) in the Warehouse field. Notice that a Pick Slip Grouping rule has defaulted in based on the warehouse selected.

10. Confirm that the Auto Allocate and Auto Pick Confirm poplists have Yes selected. 11. Click on the Shipping (T). 12. Confirm that the Autocreate Delivery Poplist has Yes selected and that a Release Sequence Rule has defaulted in. 13. Click on the Concurrent button to submit your picking criteria. 14. Make note of your Batch number because you will use it to identify your concurrent requests. 15. View your concurrent request to validate that the process completed normally and to look at your Pick Slip report. 16. Click on the (M) View > Request > (B) Find to find all requests. 17. Your Batch number will be displayed in the concurrent request parameters field.

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Shipping Chapter 13 - Page 31

18. View the output of the Pick Slip report. 19. View the results of the picking process by Querying it in the Sales Order form. 20. Go to the Line Items (T) and scroll to the right to check the Status field of the line and confirm the status is Picked. 21. Use the Action button to view Additional Line Information. 22. Click on the Delivery tab to see the status of your Delivery.

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Shipping Chapter 13 - Page 32

Practice - Release Sales Orders

Overview
In this practice you will learn how to release a Sales Order for picking. Enter a Sales Order Release a Sales Order View Picking Documents View Delivery information from the Sales Order

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Create and Book a Sales Order with 3 order lines that will be used in the Picking and Shipping practices. Use Business World (1608) as the customer. Use Items AS54888, AS72111 and AS18947. Select a quantity of 10 for the first two items. For item AS18947 split the line so that a quantity of 2 has todays date shipping to New York and that a quantity of 2 has a date two weeks from today shipping to San Jose. Then Book your sales order and note the Sales Order number. Pick Release your Sales Order by using the Sales Order number. Select M1 as the warehouse and accept the default information associated with it. Use the Concurrent (B) to launch the process. View your concurrent request to validate that the Pick Release was successful. Query your Sales Order number and view the line and delivery information.

2.

3. 4.

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Shipping Chapter 13 - Page 33

Solution - Release Sales Orders

Login 1. Login to the database. User Name: operations Password: welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Create and Book Sales Order

3. (N) > Orders, Returns > Sales Orders > (T) Order Information Customer: Business World (1608) Customer PO: XX-020 Order Type: Mixed Price List: Corporate Enter all required header fields.

4.

5.

Click on (T) Line Items.

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Shipping Chapter 13 - Page 34

 AS54888 6. Add a new line. AS72111

7. 8.

Add a new line. AS18947 Click on (B) Actions > Split Line.
Enter: Qty 2 2 Request Date Todays Date 2 Weeks from Today Ship To New York (OPS) San Jose (OPS) Warehouse M1 M1

9.

Click on (B) Split.

If you dont get the following results notify your instructor.

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Shipping Chapter 13 - Page 35

10. Click on (B) Book Order. Write your Sales Order #: _______________________________. 11. Return to the Line Items region, (T) Line Items. 12. Validate that all of the order lines are Awaiting Shipping.

13. Close Forms.

Pick Release Sales Order

14. (N) > Shipping > Release Sales Orders > Release Sales Orders > (T) Order 15. Order Number: Sales Order # from previous step. 16. Accept default To Dates.

17. (T) Inventory

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Shipping Chapter 13 - Page 36

18. M1. Note: The Shipping parameters for Seattle will default values on to the Release Criteria form.

19. Validate that Auto Allocate and Auto Pick Confirm are Yes.

20. Click on (T) Shipping. 21. Validate that the Auto Create Delivery is Yes. 22. Click on (B) Concurrent.

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Shipping Chapter 13 - Page 37

Write your concurrent request ID: ______________________.

Note: This concurrent request will spawn another request id. Write your Batch #: _________________________________.

23. Close Forms. View Concurrent Request 24. (N) > (M) View > Requests > (B) Find (all requests). 25. Look for your Batch # in the Parameters for the two concurrent requests, Pick Selection List Generation and Pick Slip Report. 26. Put your cursor on the concurrent request Pick Slip Report (where your batch # is visible in the Parameters field). 27. Click on (B) View Output.

28. Close form. Find Sales Order 29. (N) > Orders, Returns > Order Organizer > (B) Find 30. Find your Sales Order-by-Order Number or Customer PO XX-020. 31. Click on (B) Find.

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Shipping Chapter 13 - Page 38

32. From the Summary tab Click on (B) Actions > Additional Order Information > Delivery.

33. If you do not see the above delivery information (Staged) let your instructor know. (Check to make sure your Order is booked before alerting your instructor. If it is not booked Book your order then release it). 34. Close the Additional Order Information window. 35. Click on (B) Lines.

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Shipping Chapter 13 - Page 39

Question: Why is line 3.2 still Awaiting Shipping?

Answer: Because its Scheduled ship date is 2 weeks in the future. 36. Close forms.

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Shipping Chapter 13 - Page 40

Agenda

Agenda
Understanding Shipping Concepts Using Pick Release Entering Ship Confirm Defining Shipping Setups Shipping APIs and Interfaces

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Shipping Chapter 13 - Page 41

Shipping Parameters

Shipping Parameters

Controls the Ship Confirmation Process

Shipping Parameters Shipping parameters are Organization specific. During the Ship Confirm process the shipping parameters are used to control the confirmation process. Defaults: Delivery Document Set. Packing papers, mailing labels, Bill of Lading, commercial invoice for international shipments. Defer Interface (yes or no). Should Interfaces run immediately or not. Controls: Whether weight and volume is calculated automatically. Whether Containers are required. Whether printing a pack slip is required. Whether a Ship Method is required.

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Shipping Chapter 13 - Page 42

Ship Confirm

Ship Confirm Last Step in Shipping Process Delivery Status: Staged Containers Calculate Weight & Volume UPS Add Shipping costs Enter quantities Set Delivery In-Transit Close Trip Document set Generate the Bill of Lading
Ship Confirm Order Management Super User, Vision Operations (USA) (N) > Shipping > Shipping Transaction (T) Delivery (B) Action Ship Confirm Ship Confirm is the last step in the Shipping Process. Order lines that have been ship confirmed as shipped will be allowed to continue through the workflow to the Invoicing activity. A Delivery is required for Ship Confirming. The status of the delivery must be Staged. Ship Confirm is executed from the Shipping Transaction form. Containers/LPNs Containers (LPNs) are optional. Pack delivery lines into containers. Pack containers into vehicles. Using the Shipping Transaction form Automatically pack delivery lines associated to a delivery into containers. When auto-packing a delivery, the delivery lines are grouped together by shared attributes such as ship-to location. Auto Pack uses the Container Load Details record. Calculate Weight and Volume

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Shipping Chapter 13 - Page 43

Whether a company uses containers or not it is often necessary to calculate the weight and volume of deliveries. The weight and volume entered in the Physical Attributes tab of the item record is used. Calculate Weight and Volume can be done manually from the Shipping Transaction form or set up through your Shipping Parameters to be automatic. Calculate the tar (empty container), gross (container + delivery lines) and net (delivery lines only) weight for delivery as well as the Percent fill value. A warning will display if the fill is less then the minimum percent fill specified on the containers item record. UPS Oracle and UPS have entered into a collaboration to fill multiple shipping needs. Oracle-UPS APIs is a set of programs which integrate shipping information, provided by UPS Online Tools into Oracle Applications suite to help customers streamline operations in the shipping process. Oracle - UPS integration will enable you to: Verify shipment address/postal code. Inquire about time in transit for ground shipments. Get shipping costs for deliveries. Track the packages after shipment. Each of these functions are accessible using the Shipping Transactions Action menu. Set the Profile Option: WSH: Internet Proxy to enable UPS-Oracle API. Add Shipping Charges You can assign shipping costs to trips, stops, deliveries, delivery lines, delivery legs, or containers. Insurance, Duty fees, Special Handing and freight charges are seeded Freight Charge Types. Shipping Charges can be in any currency. They are not restricted by the Sales Order currency. The currency will be converted to the currency of the sales order during the shipping process. Enter Quantities Enter the quantities that were shipped, backordered or left in the staging area. There is a checkbox available for creating a delivery with the split off staged quantities. This provides the ability to group all staged lines together in a new delivery. Optionally, Ship-all, Backorder-all, or Cycle Count-all. Set Delivery in Transit Set delivery in-transit creates trips and stops for the delivery. Closes Pick-Up stop of the delivery, but leaves the Drop-off stop open. It sets status of the delivery to in-transit and initiates Oracle Order Management (OM) and Inventory interfaces. Close Trip Closes trip, all open stops. When the deliverys trip stops have been closed, the delivery closes. Document set The document set associated with Ship Confirm could include Pack Slips, Commercial Invoice, mailing labels and Bill of Lading. Bill of Lading

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Shipping Chapter 13 - Page 44

Select the create Bill of Lading checkbox to have the system automatically create the shipments Bill of Lading.

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Shipping Chapter 13 - Page 45

Guided Demonstration Ship Confirm Delivery

This demonstration will ship confirm the sales order that you released in the previous demo.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Transactions 1. 2. 3. 4. 5. Enter your Order Number on the Query Manager form. Click (B) Find. Only Delivery lines with a Pick status of Staged can be ship confirmed. From the Shipping Transactions Lines/LPNs tab click (B) Details. Enter a tracking number for each line. Enter quantities in the shipped, backordered and staged fields. For item AS18947 enter the full quantity in the shipped field then select (M) Tools > Serial Numbers to assign the required serial numbers Click on the Shipping tab to review the shipping locations and carrier information. Click on the Inventory tab to review material information. Close the details window, click on the Action menu and select Freight Costs to apply freight costs to the delivery line. If the Freight Costs were spread across all deliveries you would apply the freight costs to the Delivery. The default cost amount can be updated. Click (T) Delivery and click (B) Detail.

6. 7. 8.

9.

10. Enter a Waybill number that will track all delivery lines within a Delivery. 11. Close the details window, click on the Actions menu and select Ship Confirm. 12. Select Create Bill of Lading if you want the system to generate the data to print a Bill of Lading report. 13. Leave the Defer Interface UNCHECKED. If you defer the interfaces the shipping process is not completed until the Trip Stop Interface, Inventory Interface and the OM interface have been run. 14. Click (B) OK to start the Ship Confirm process. 15. View your concurrent requests to see the reports, which were generated from the Shipping documents. Query your Sales Order to view the Lines and Delivery information.

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Shipping Chapter 13 - Page 46

Practice - Ship Confirm Delivery

Overview
In this practice you will learn how to Ship Confirm a Delivery. Use the Shipping Transaction form Enter tracking information Enter Ship, Backorder and Stage quantities Apply freight costs Ship Confirm View Delivery Results and Order Line Statuses View unshipped Delivery Lines

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility. You have completed the practice to Release Sales Orders and have your Sales Order Number recorded.

Tasks
1. Find your Sales Order in the Shipping Transactions form. Select the Details (B) for each of your lines and enter a tracking number and the quantities for shipped, backordered and staged (Use 5 shipped and 5 backordered for AS54888 and 5 shipped and 5 staged for AS72111). Supply Serial Numbers when required (Details Required check box). Use the Actions (B) to enter Freight Costs. Go to the Delivery (T) to select Actions (B) and Ship Confirm your delivery. Then complete a Find to view Delivery lines that have not shipped. Go to your Sales Order window and query your sales order to review the Delivery information and Line status to see the results of your shipping process.

2.

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Shipping Chapter 13 - Page 47

Solution - Ship Confirm Delivery

1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find Delivery to Ship Confirm 3. 4. 5. (N) > Shipping > Transactions Enter your Sales Order #. Click on (B) Find.

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Question: Why did the system generate 2 Delivery Numbers?

Answer: Because the Shipping Parameters - Delivery Grouping rules requires that all delivery lines within a Delivery must be shipping from the same warehouse (organization) and going to the same Ship-to location. In this case Business World requested that AS54888 and AS72111 ship to San Jose and AS18947 ship to New York so the system created two Delivery numbers. 6. Click on (B) Detail. XX-020-100 5 5 Save.

7.

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8.

Use the keyboard down arrow to display the next delivery line. Tracking Number: XX-020-200 Shipped: 5 Backordered: 0 Staged: 5 Save.

9.

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10. Use the keyboard down arrow to display the next delivery line. XX-020-300 2

11. Notice that the Details Required is checked.

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12. Click on (M) Tools > Serial Numbers. Accept default of Serial Number Ranges XX-12345 The system will generate the End Serial Number. 13. If the Quantity Entered equals the Quantity Shipped Click on (B) Done.

14. If you were not returned to the Lines/LPNs tab click (B) Done in the Details form. 15. Save. 16. Put your cursor on your first staged delivery. 17. Click on (T) Delivery.

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18. Select Freight Costs from the Actions menu. 19. Click on (B) Go.

Handling. Accept the defaults. 20. Click on (B) Done.

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21. Select Ship Confirm from the Actions menu. 22. Click on (B) Go.

23. Validate Ship Entered Quantities is the Ship Option. Create Delivery for Staged Quantities is checked. Set Delivery In-Transit is checked. Close Trip is checked. 24. .

25. Validate Defer Interface is unchecked.

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26. Click on (B) OK.

Write your Interface Trip Stop request ___________________________.

27. Click on (B) OK. 28. Put your cursor on your second Delivery number. 29. Click on (T) Delivery.

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30. Click on (T) Detail.

31. Enter a Waybill number.

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32. Select Ship Confirm from the Action menu. 33. Click on (B) Go. 34. Validate Ship Entered Quantities is the Ship Option Create Delivery for Staged Quantities is checked Set Delivery In-Transit is checked Close Trip is checked 35. Validate Defer Interface is unchecked. 36. Click on (B) OK.

37. Click on (B) OK. 38. Click on (M) View > Requests > (B) Find (all requests)
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39. Validate that your concurrent requests completed normally

40. Close forms. Look at Sales Order Delivery Information 41. (N) > Orders, Returns > Order Organizer > (T) Order Information Enter your Sales Order number And/or Customer PO XX-020 42. Click on (B) Find.

43. From the Summary tab 44. Click on (B) Actions > Additional Order Information > (T) Deliveries.

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45. Scroll to the right to see all of the shipping information. 46. Notice that a new Delivery number was automatically created for the Staged quantity. 47. Close the Additional Order Information window. 48. Click on (B) Open Order. 49. Click on (T) Line Items. Notice that the Ship Confirm process automatically split the sales order lines to allow the shipped quantities to proceed to invoicing. Also notice that the backordered line has a status of Awaiting Shipping not backordered. Backorder is the status of the delivery line.

50. Close forms.

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Delivery Lines - Haven't Shipped 51. (N) > Shipping > Transactions 52. Select Line Status of Not Shipped. 53. Enter your Sales Order number. 54. Click on (B) Find.

Questions: What does each of the delivery line statuses mean? Ready to Release Staged Backordered

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Answers: Ready to Release means this line can be pick released. Staged means the line has been pick confirmed but not yet ship confirmed. Backordered means this line has been through the picking process before but was not ship confirmed. Backordered lines must be pick released again. 55. Close forms.

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Shipping Documents

Shipping Documents
Shipping Transactions Reports Pick Slips Shipping Document Sets Packing Slip Bill of Lading Mailing Labels Backorders Commercial Invoice Vehicle Load Sheets Detail/Summary

Shipping Documents Shipping Transaction Reports Pick Slip Reports are printed at Pick Release for all delivery lines which were released. Lines are grouped according to the Pick Slip Grouping Rules. Backorder Reports provide information on Orders that have been backordered either because there wasnt enough inventory to allocate or as the result of Ship Confirm. Shipping Document Sets Pack Slip lists all the goods being shipped on a delivery. Optionally print the customers Item number rather than your internal number. Bill of Lading is usually a pre-printed form. It lists information for all the delivery lines that were confirmed on a delivery. Use the Choose Printer form to route Mailing Labels to a printer that is loaded with printable labels. Commercial Invoice lists all ship confirmed items in a delivery along with their currency value. Detail Vehicle Load Sheet prints the loading sequence of items within a delivery.
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Summary Vehicle Load lists all deliveries assigned to a trip.

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Guided Demonstration View Shipping Documents

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > (M) View > Requests 1. 2. 3. View the output of the Commercial Invoice. View the output of the Packing Slip Report. View the output of the Bill of Lading.

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Shipping Exceptions

Shipping Exceptions

View Exceptions Update Existing Exceptions

Enter New Shipping Exceptions

Shipping Exceptions Order Management Super User, Vision Operations (USA) (N) > Shipping > Exceptions In the View Exceptions window, view, log, and update current and past exceptions that have been logged either manually or automatically. Use the Find Exceptions window to find selected exceptions or all exceptions. The search displays the results in a series of tabs in the View Exceptions window: the Exception tab displays general information about the exception such as the exception name and exception ID. The other tabs--Trip, Delivery, Container, and Inventory tabs--display additional information about the exception such as the trip, delivery, container, and inventory associated with the exception(s). This information helps identify the source of the exception so that the appropriate handling action can be taken. Select a single exception to view or update it. Single exceptions display in the Log Exceptions window. In both the View Exceptions and Log Exception windows, update details about a selected exception by choosing the tab that corresponds to the information that needs to updated.

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Some exceptions are set up to notify automatically if an exception occurs during a shipping process (such as ship confirm). The notification alerts that an exception has occurred and displays details to help identify the exception. Note: Exceptions and processes for exception handling must already be set up before exceptions can be viewed, logged, or updated. For more information, see: Define Exceptions in the setup section.

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Guided Demonstration View Shipping Exceptions

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Shipping > Exceptions 1. 2. 3. Click on the Find icon to display the Find Exceptions window. Select one or more of the following criteria for your query. Select only the criteria for the exception(s) you want to find: To view all exceptions, leave the search fields blank and choose the Find button. Exception Name: The particular name of the exception: for example, Picking Hold exception. Logging Entity: The log-on entity of the exception: shipper, receiver, or transportation carrier. Logged At Location: The location where the exception report was run (logged location may be different from where the shipping exception occurred). Exception Location: The location where the shipping exception occurred. Inventory Organization: Exceptions according to a particular inventory organization. Exception Type: Type of exception: delivery, picking, and trip. Last Update Date From/To: Identifies the range of update dates for exceptions in the report. Severity: Type of exception severity: Low (Low Impact Exception): User gets warning but is able to complete operation. Medium (Medium Impact Exception): Operation cannot be completed without handling the exception. High (High Impact Exception): Operation cannot be completed without handling the exception. Status: Describes the current status of the exception: Open: Initial status--not yet associated with an exception name. Manual: This exception needs to be processed manually. No Action Required: No handling required for this exception. Not Handled: This exception could not be handled. Departure Date: Exceptions according to the departure date. Arrival Date: Exceptions according to the arrival date. Once you have completed your entries, choose the Find button to display the search results in the View Exceptions window.

5.

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6.

Click the tab that corresponds to the information you want to view or update. For example, to update trip information for an exception, choose the Trip tab. Choose from the following tabs: Exception tab: Displays general details about the exception ID, such as the exception ID, exception type, exception name, and a description of the exception. Trip tab: Displays information about the trip name, departure date, and arrival date. Delivery tab: Displays the delivery name and delivery detail ID about the exception. Container tab: Displays the container name, associated with the exception. Inventory tab: Displays the inventory information for the exception including the inventory organization, inventory item, item description, lot number, revision, serial number, UOM (unit of measure), quantity, subinventory, and locator. Optionally, to view or update a single exception:

7. 8. 9.

Select the exception in the View Exceptions window. Choose (B) Open to display the selected exception in the Log Exception window. Choose the tab to display the details that you want to view or update: Exception tab, Trip/Delivery/Container tab, or Inventory tab.

10. View or update the available fields in the selected tab. 11. Choose (B) OK to save your changes.

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Agenda

Agenda
Understanding Shipping Concepts Using Pick Release Entering Ship Confirm Defining Shipping Setups Shipping APIs and Interfaces

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Shipping Parameters

Shipping Parameters

General

Shipping

Shipping Parameters

Shipping Parameters Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Shipping Parameters (T) General (T) Shipping General Tab Shipping Transaction Tab Note: Shipping Execution uses the weight and volume classes to calculate the weight, volume and percent fill for a shipment. Weight UOM Class: The values in the LOV are set up in Inventory. Select the weight class that contains the units of measure used to set up your Items, containers and vehicles physical attributes. Volume UOM Class: The values in the LOV are set up in Inventory. Select the volume class that contains the units of measure used to set up Items, containers and vehicles physical attributes. Percent fill basis:There are three choices in the LOV, weight, volume, quantity. If weight or volume is chosen, the calculation will be made from the items and containers physical attributes set up in Inventory.

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If quantity is chosen, the calculation is made based on the container load details setup, which specifies the maximum quantity of a given Item that will fit into a given container. Shipping Transaction Tab The Shipping Transaction tab on the Shipping Parameters form sets most of the parameters that relate to the functionality in the Shipping Transaction form. Default delivery document Set: Select from the LOV the document set which was designed for this organization shipping process. It will default during Ship Confirm of the delivery. Weight/Volume calculation: Choices are automatic or manual. If automatic is chosen, the weight and volume will be automatically calculated when a delivery status is set to Confirmed. If manual is chosen., the weight and volume can be calculated using the Shipping Executions Action button. Enforce Packing in Containers: Choices are Yes or No. If Yes is chosen, a warning message will appear during ship confirmation if any item in a delivery is not assigned to a container. This message can be bypassed to complete a shipment if necessary. If No is chosen, the system will not check to see that all items in a delivery are assigned to a container. Container Inventory Control: Future use. Pack Slip required checkbox: If checked, the system checks to see that a pack slip is printed for the delivery. An error message will appear if a packing slip is not created. If this box is not checked, the system will not check to see that a packing slip has been generated. Goods Dispatched Account: This is known as the Cost of Goods Sold Account to use for this organization and is used if the OM workflow cannot determine one for the sales order issue transaction. Freight Class Category Set: Defaults the Freight Class Category set that is used for all items in that organization. Commodity Code Category Set: Defaults the Commodity code that is used for all items in that organization. Enforce Ship Method checkbox: When Enforce Ship Method is checked, a ship method is required at ship confirm. Defer Interface checkbox: When Defer Interface is checked, the Interfaces do not run immediately at ship confirm. In this case, the Interface concurrent programs would be scheduled to run at user defined intervals. Note: Defer Interface and Enforce Ship Method are settings for across all organizations.

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Pick Release Parameters

Pick Release Parameters

Pick Release

Shipping Parameters

Pick Release Parameters Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Shipping Parameters (T) Pick Release The Pick Release tab on the Shipping Parameters form sets most of the parameters that relate to the picking process. Since Shipping Parameters are organization specific, each of your shipping organizations can have their own values defined. Release Sequence Rule: Select a value from the LOV to default in the Release Sales Orders form. This value can be over written before submitting the release, if applicable. Pick Slip Grouping Rule: Select a value from the LOV to default in the Release Sales Order form. It can be over written if necessary. Print Pick Slip: The LOV has two values, At the End or Immediate. If At the End is selected, the system will wait until the pick release job is finished before sending them to a printer. If Immediate is selected, the system will send a pick slip immediately to the printer. Note: There is less impact on the system resources if immediate is used.
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Default Pick Release Document Set: Select a value from the LOV to default on the Release orders form if a Release Rule isnt used. This value can be over written before submitting the release. Autocreate delivery within an order: The choices are Within an Order or Across Orders. If Within an Order is chosen, the Autocreate delivery process will create deliveries from the selected order lines based on the order number and standard delivery grouping attributes. If Across Orderis chosen, the Autocreate delivery process will create deliveries from the selected order lines based on the standard delivery only. This could resulting in grouping orders across order numbers if all the grouping attributes match, i.e.. Same customer, same ship to, same carrier. Default Stage Subinventory: Select a value from the LOV to default during the Release Sales Order process. This value can be over written. Default Stage Locator: Select a value from the LOV. The is an Optional value. Number of Pick Slip Lines: Enter the number of rows to print on each Pick Slip. Auto Allocate checkbox: Select Yes or No. This value will default during the Release Sales Order process. It can be over written. If Yes is selected, the system will automatically allocate inventory to the move orders. If No is selected, the inventory will be allocated manually from the Transaction Move Order form. Autocreate Deliveries: Select Yes or No. This value will default during the Release Sales Order process and can be over written. If Yes the system will automatically create deliveries for the released order lines. If No the delivery will need to be created from the Shipping Transaction form. Enforce Ship Sets & Ship Models checkbox: Shipping Execution enforces ship models and ship sets during pick release when checkbox is checked.

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Delivery Grouping

Delivery Grouping
Delivery Grouping

Shipping Parameters

Delivery Grouping Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Shipping Parameters (T) Delivery Grouping The Shipping Parameters Delivery Grouping tab defines the Shipping Organizations grouping rules that will be used for grouping Delivery Lines into a Deliveries. Whenever a Delivery is created either automatically or manually the Delivery Grouping rules must be adhered to. There are two mandatory grouping attributes: Ship From location (Shipping Inventory Organization) and Ship to location (Customers Ship-to site). Optionally select Customer, Freight Terms FOB code Intermediate ship to location Ship Method Carrier
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Null values for Freight terms, FOB code, Ship Method and Carrier will be grouped with orders that do have values.

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Shipping Exceptions

Shipping Exceptions
Define exceptions per business requirements Define handling processes for exceptions (Workflow) Record shipping exceptions during shipment process Initiate exception handling View and track exceptions

Shipping Exceptions Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Define Exception The shipping exceptions feature helps you identify and correct shipping exceptions that violate the requirements of your operation or that of your carriers and customers. The shipping exceptions feature gives you the ability to define exceptions and processes for handling them. You can record exceptions automatically from within Oracle Shipping Execution, or you can log exceptions manually through the user interface input forms. You can initiate exception handling, and view and track the exceptions as you manage them to resolution. Any automation requires user defined workflow activities. APIs are provided that allow you, with some custom programming, to use third party applications to log exceptions. Seeded Exception are: WSH_PICK_BACKORDER - Backorder occurred at picking time.
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WSH_PICK_HOLD - Hold on the line at picking time. WSH_INVALID_PACKING - Invalid Packing: Item(s) should be unpacked from the container. WSH_INVALID_DELIVERY_PLANNING - Planned delivery has changes WSH_INVALID_PACKING_PLANNING - Invalid Packing Planning: Planned packing has changes. WSH_UNPACK_ITEM - Packing Exception. WSH_CUSTOMER_MERGE_CHANGE - Change to delivery detail due to customer merge. See the Shipping Technical Reference Manual for further information about the seeded exceptions.

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Guided Demonstration Define Shipping Exceptions

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Shipping > Setup > Define Exceptions 1. 2. 3. 4. Enter a unique exception name to identify the exception. Enter a description for the exception definition. Select the type of exception that you want to create: Delivery, Picking, or Trip exception. Select one of the following default severity settings: High: The exception must be handled before the task can be completed. Medium: The exception must be handled before the task can be completed. However, the manager can override it so that the task can be completed. Low: A warning is given but the task can be completed. Choose one of the following exception handling methods: Manual: The exception must be manually corrected and the exception status must be closed. Workflow: A workflow is used for exception notification and exception handling. No Action Required: No exception handling method is required. If you select workflow as the exception handling method, enter the workflow item type and enable the Initiate Workflow box. Save your work.

5.

6. 7.

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Pick Slip Grouping Rules

Pick Slip Grouping Rules

Released Order Lines Pick Slips #

#1 Subiventory: FGI Group By Delivery

Delivery: 1

#2

#3 Delivery: 2

Pick Slip Grouping Rules Order Management Super User, Vision Operations (USA) (N) > Order Management > Shipping > Setup >Picking > Define Pick Slip Grouping Rules Form Pick Slip Grouping rules define how Released Order Lines will be grouped on Pick Slips. Have multiple grouping rules to meet a variety shipping needs. By associating Grouping Rules with Release Rules, control what will be picked and how they will appear on pick slips. Group orders by subinventory so that all Orders filled from one subinventoy would be filled before going to the next subinventory. Select Delivery as a grouping criteria, all picking lines for the same delivery are grouped together on a pick slip. If there are multiple deliveries, multiple pick slips are created. The Pick Methodology of User Defined allows group by Order#, Subinventory, Customer, Ship to, Carrier, Trip Stop, Delivery and Shipment Priority. The other methodologies are reserved for Oracles Warehouse Management System. Also, there are grouping selections which are only available to WMS, Item number, Locator, Lot, and Revision. See the WMS Users Guide for more information.
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Guided Demonstration Define Pick Slip Grouping Rules

This demonstration will show how to define a new pick slip grouping rule.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setup > Picking > Define Pick Slip Grouping Rules 1. Select a pick methodology of User Defined: Note: The options for pick methodology are listed below: User Defined: You can modify the Group By clause with this value. Grouping is done according to the parameters set by the user. A unique pick slip number is generated for each group. All tasks corresponding to a pick slip number is dispatched to a single user. You can only use the following Pick Methodologies when the Oracle Warehouse Management System (WMS) is installed: Order Picking: Grouping is done by order and a unique pick slip number is generated for each order. The entire order will subsequently be dispatched to a single user. Zone Picking: Grouping is done by order and zone. A unique pick slip number is generated for each group and dispatched. Cluster: No grouping of pick tasks is done. The tasks are ordered by locator and dispatched to the appropriate users. Bulk: Grouping by item and locator is done. Tasks are consolidated based on this grouping and dispatched to the appropriate users.

2. 3. 4.

Enter a grouping rule name of XX-Subinventory. Enter a description for the rule. In the Group By region, select Subinventory. Note: You can use the following grouping criteria--Item, Locator, Lot, and Revision - only when the Oracle Warehouse Management System (WMS) is installed. Save your work.

6.

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Shipping Chapter 13 - Page 80

Practice - Define Pick Slip Grouping Rules

Overview
In this practice you will learn how to create a Pick Slip Grouping Rule.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Define a new pick slip grouping rule with a User Defined Pick Methodology, the name XXSubinventory and select Subinventory to Group By.

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Solution - Define Pick Slip Grouping Rules

Login 1. Login to the database. User Name: operations Password: welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Find Delivery to Ship Confirm 3. (N) > Shipping > Setup > Picking > Define Pick Slip Grouping Rules Pick Methodology: User Defined. Rule Name: XX-Subinventory. Description: Group picking lines by subinventory. Group by: Inventory.

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Release Sequence Rules

Release Sequence Rules

Released Order Lines Inventory Allocations

Prioritize by: Shipment Priority Schedule Dates Order Number Customers Open Invoice value Ascending or Descending

Source Move Orders with: Subinventory Locator Revision Lot Number

Release Sequence Rules Order Management Super User, Vision Operations (USA) (N) > Order Management > Shipping > Setup > Picking > Define Release Sequence Rules Form Release Sequence Rules are used during the Pick Release process to determine in what order to allocate material to the Released Sales Order Lines. This can be very important if inventory balances are less than 100% accurate. If material runs out, the most important orders get filled first. Default the appropriate Release Sequence Rule on to the Release Sales Order form by using a Release Rule. Assign a numeric value to Order Number, Shipment Priority, Schedule Date and Departure Date to prioritize the importance of each attribute within the rule. The lower the value the higher the priority.

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Specify whether the attribute should be evaluated in an ascending or descending order Example: Priority Order Meaning Shipping Priority: 1 Descending (Highest to Lowest Value) Schedule date: 2 Ascending (Lowest to Highest Value) The result would be that the highest priority released order lines with the earliest scheduled date would have material allocated first. One the choices for allocating material is the Customers Outstanding Invoice Value. It would allocate inventory to the order which will be generating the most revenue. Customers Outstanding value is mutually exclusive. Example of how orders are selected if Customers Outstanding Invoice Value is used: Sales Order 5000 has a total revenue of 1000 currency units and a Backordered quantity of 15. Sales Order 5200 has a total revenue of 1200 currency units with a Backordered quantity of 2. Since the total invoice value of sales order 5200 is greater it would receive the first available material.

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Guided Demonstration Define Release Sequence Rules

This demonstration will show how to define a new release sequence rule.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setup > Picking > Define Release Sequence Rules 1. 2. 3. Enter a name of XX-Oldest First for the rule. Enter a description for the rule. Enter a 2 in the Order priority field and a 1 in the Schedule Date priority field. The lower the numeric values the higher the priority. Note: Prioritize entities: Order (Number), Outstanding Invoice Value (Sales Order with the largest Invoice value), Schedule (Ship) date, Departure (Planned to Ship) date and Shipment Priority (user defined could be alpha or numeric values). Outstanding Invoice Value is mutually exclusive with Order. Select to prioritize entities in an Ascending order (starting with the lowest value and ascending upward). Save your work.

4. 5.

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Practice - Define Release Sequence Rules

Overview In this practice you will learn how to create a Release Sequence rule. Assumptions Tasks 1. Create a release sequence rule with a name of XX-Oldest First that will allocate inventory to the orders with the earilest ship date. If multiple orders have the same ship date, you want the oldest orders to be filled first. Use an ascending priority scheme. You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

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Solution -Define Release Sequence Rules

Login 1. Login to the database. User Name: Password: operations welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Create Release Sequence (N) > Shipping > Setup > Picking > Define Release Sequence Rules XX-Oldest First. 3. Allocate material to oldest orders first. Order 2 Ascending. Schedule Date 1 Ascending.

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Release Rules

Release Rules
Criteria to Release Orders By Customer Carrier Order # Date Range Based on Rule Release Sales Orders SRS 54 1 Ship Date From: Ship Date to: 05-May-2002 Release Sales Orders

Release Rule Name

Release Rules Order Management Super User, Vision Operations (USA) (N) > Order Management > Shipping > Setup >Picking > Define Release Rules Form Release Rules are used during the pick release process to define the criteria used to determine which Order Lines will be released for picking. There are two ways you can use Release Rules: On the Release Sales Orders form as the Based on Rule. If used in this way it acts as a defaulting tool. The values that are defaulted can be over written prior to submitting the request. On the Release Sales Orders SRS form as the Release Rule Name to dictate the release criteria which will execute in the background from a concurrent request. A Release Rule is required to use SRS, standard report submission. If Carriers are on a regular schedule, such as DHL comes in the morning and UPS comes in the afternoon. Create Carrier specific Release Rules, then set up several Release Sales Orders SRS schedules to run the appropriate Release Rule at the appropriate time.

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Shipping Chapter 13 - Page 88

Although the Release Rule is the first setup to be used during the Pick Release process it is not the first rule you would create. Both the Release Sequence Rules and the Pick Slip Grouping Rules would be set up first since they are used by the Release Rule. Release Rules can be created based on criteria represented in three different tabs. This will enable you to create rules that can respond to all of your picking needs. Order tab - criteria = order type, order number, customer, item, unreleased/backordered/all, ship set # , scheduled ship dates from and to, request dates from and to. Note: Enter the current date (todays date) in the to Date fields so that whenever the rule is used, the system will automatically reset them to the current date. Shipping tab - criteria = carrier, ship from, shipment priority, release sequence rule, auto create delivery, shipment priority. Inventory Tab - criteria = warehouse, pick slip grouping rule, auto allocate, auto pick confirm. Warehouse is a required field. Once you enter a warehouse the Shipping Parameters for that warehouse will be used to default values into the Inventory and Shipping tabs. These values can be over written, as needed.

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Shipping Chapter 13 - Page 89

Guided Demonstration Define Release Rules

This demonstration will show how to define a new release rule. The Release Rule will use the Pick Slip Grouping Rule and Release Sequence Rule from previous demonstrations.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setup > Picking > Define Release Rules form > (T) Order 1. 2. Enter a name of XX-Seattles Rule for the Release rule. Select All from the Orders LOV. Note: See the descriptions below: 3. 4. All if your rule should release both new and backordered orders. Backordered if your rule is to just release orders that have been through the picking process. Unreleased will only release orders that havent been through the picking process.

Enter the customer Business World (1608) to restrict the releases to orders for just 1 customer. If you enter a Scheduled Ship Date To and Requested Date to as the current date and time then each time you use this rule to launch Release Sales Orders SRS, the dates will be updated to the current date. Click on the Shipping (T). Select M1-Seattle as the Ship From location. Select the Release Sequence Rule XX-Oldest First to be used when this rule is executed. Select Yes to Autocreate Deliveries. Select a Document Set of All Pick Release Documents that will print whenever this rule is executed.

5. 6. 7. 8. 9.

10. Click on the Inventory (T). 11. Enter M1 as theWarehouse. Warehouse is a required field for a Release Rule. 12. Select the Pick Slip Grouping Rule of XX-Subinventory that will be used by the Release Rule.

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Shipping Chapter 13 - Page 90

13. Select Yes to Auto Allocate. 14. Select Yes to Auto Pick Confirm. 15. Save your work.

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Practice - Define Release Rules

Overview
In this practice you will learn how to create a Release Rule.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Create a Release Rule with a name of XX-Seattles Rule that will select eligible order lines that are shipping from Seattles M1- location. Your rule will pick unreleased orders as well as backorders. Select your XX-Oldest First Release Sequence Rule and choose to Autocreate Deliveries. Use M1 as the Warehouse, select your XX-Subinventory Pick Slip Grouping Rule and choose to Auto Allocate and Auto Pick Confirm.

2. 3.

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Solution - Define Release Rules

Login 1. Login to the database. User Name: operations Password: welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Create Release Rule 3. (N) > Shipping > Setup > Picking > Define Release Rules form > (T) Order XX-Seattles Rule All Scheduled Ship Date To: Todays Date To: Todays Date

4.

(T) Shipping M1-Seattle XX-Oldest First Yes LOV

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5.

(T) Inventory M1 XX-Subinventory Yes Yes

6.

Save your work.

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Shipping Chapter 13 - Page 94

Container Load Details

Container Load Details

Container Item Box4 Pallet Load Item BB-2002 Box4 Max Quantity 4 8 Preferred Flag

UOM Ea Ea

Container Load Details Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Container Load Detail A container load record is required for calculating Percent Fill if the Shipping parameter has Quantity as the fill bases. Container-item relationships specify the maximum number of load items (Monitor, Keyboard), that can be packed into a load item (Box, Pallet). A container can be a load item. For example: pack a Monitor into a box for the convenience of the customer and then pack the box into a pallet for the convenience of shipping.

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Shipping Chapter 13 - Page 95

Guided Demonstration Define Container Load Details

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Shipping > Setup > Container Load Detail 1. 2. 3. 4. 5. 6. 7. 8. Select the Container Item from the List of Values. The Container Item and Container Type display in the window. Select the load item that you want to place in the Container Item. Select a unit of measure. Define the maximum quantity of items that can be placed in the Container Item. Check the Preferred Flag if this is the default container for the load item. Autopack uses the preferred flag. Continue defining all your Container-Item relationships until completed. Save your work.

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Shipping Chapter 13 - Page 96

Ship Methods- Carriers- Relationships

Ship Methods- Carriers- Relationships

Define Freight Carries Define Ship Methods Define Relationships Link a Document set to a Ship Method

Ship Method UPS-1 UPS

Freight Org Carrier UPS UPS UPS

Service Level Next Day 2nd Day Ground

Web
Enabled

DAY AIR M1 Ground M1

UPS-2ND DAY AIR M1

Carrier-Ship Method Relationship Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Freight > Define Carrier Ship Method Shipping can respond to a customers shipping requests by assigned a shipping method to a freight carrier. Establishing a relationship between the Freight Carrier and the Ship Method is a mandatory step prior to assigning a Ship Method to an order or delivery. Carrier-Ship Method Relationships are Organization specific allowing you to eliminate carriers which are not available in certain regions. Using the Document Categories form it is possible to associate different document sets with each Carrier-Ship Method combination. For example, you may want to include a Commercial Invoice only if it is an International shipment. Three setup steps are required: Create Freight Carriers Create Ship Method Assign Ship Method to a Freight Carrier
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Define Freight Carriers: (N) > Shipping > Setup > Freight > Define Freight Carriers Since Freight Carriers are Organization specific you will be prompted to select an Organization code prior to entering the Define Freight Carriers form. Enter the name and description of the carrier along with an account number. This account can be used when you perform inter-organization transfers and specify freight costs. The account number is also available to the Account Generator workflow to build the account numbers that will be used to capture shipping charges that will be passed to AR. Create Ship Methods: (N) > Inventory > Setup > Organizations > Shipping Methods Ship Method can be applied at any time prior to Ship Confirm. Once a delivery has been Ship Confirmed, the Ship Method becomes a permanent record associated with that shipment and cannot be changed. Ship Method is a prerequisite in order to create a Bill of Lading for a delivery. If the Ship Method is entered on the Sales Order and then changed during the shipping process, the change is not passed back to the Sales Order. The Ship Confirm form is your last opportunity to enter or change the Ship Method for a delivery. You can put controls on your Ship Method by selecting the checkbox Enforce Ship Method on the Shipping Parameters form. When this feature is checked you are required to enter a ship method before ship confirm. A error message will be displayed and you will be prevented from completing your ship confirm process, if there is no Ship Method associated with the delivery. Companies using public carriers will want to use this option. However, a company with a private fleet of trucks may elect to NOT enforce ship methods since their own trucks are always used to transport shipments. Shipping Method is a lookup code which is available across all organizations. Lookup codes have an Access Level. In order to be able to add new Shipping Methods the access level must be set to User or Extensible. Enter a unique alpha-number code describing the Ship Method you are creating. The Meaning should be a short descriptive statement, (maximum, 80 characters). The description field allows the you to clearly state the type of service which will be provided by this ship method, (maximum, 240 characters). You can optionally enter a Tag to describe your Ship Method. The tag can be used to categorize lookup values, such as modes of transport, (rail, truck, marine, air). Maximum, 30 characters. Carrier-Ship Method Relationship (N) > Shipping > Setup > Freight > Define Carrier Ship Methods A Ship Method must be assigned to a Freight Carrier to be available within an organization. The same Ship Method can be assigned to the same Freight Carrier in multiple organizations. However, a Ship Method cannot be used more than once within an organization.

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You can establish grouping rules using a Carrier-Ship Method as a processing criteria. By selecting Ship Method, you can process orders according to the carrier who will transport the shipment to better manage your deliveries. The Service level feature allows you to specify service levels ONLY when the carriers listed in the Freight column is UPS. Standard UPS service levels are seeded in the LOV. This list of values cannot be changed. The web enabled checkbox is used by Oracle iStore to determine which ship methods they want to offer the web user.

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Shipping Chapter 13 - Page 99

Guided Demonstration Define Carrier Ship Methods

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Shipping > Setup > Freight > Define Carrier Ship Methods 1. 2. 3. 4. 5. Select a Ship Method from the LOV. Select the Organization that can use this carrier ship method. Select a freight carrier from the LOV. If the carrier is UPS select a Service Level (1 day air, 2 day ground) Enable Save your work.

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Guided Demonstration Define Freight Carriers

Responsibility: Order Management Super User, Vision Operations (USA)
(N) > Shipping > Setup > Freight > Define Freight Carriers 1. 2. 3. Enter the freight carrier name as IPS. Enter a description for the carrier. Select a distribution account. Hint: To generate a list of valid code combinations put your cursor in the first position of the account field, enter a percent sign (%) then tab out of the field. 4. 5. Optionally enter active beginning and ending dates. Save your work.

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Freight Cost Types

Freight Cost Types

Enter an Amount for each Type

Freight - Insurance - Handling - Export Fees - Duty Fees

Freight Cost Types Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Freight > Freight Cost Types Freight Costs are the actual costs incurred for the movement of goods by a carrier. Freight Costs include, but are not limited to: freight cost, handling charge, insurance, import/export license fees and miscellaneous changes, such as, restocking fees, return fees, miscellaneous fees and charges for late payment. These miscellaneous charges are seeded Freight Cost type lookup codes which can be linked to a Freight Cost Type record. You can assign a currency and an estimated amount to each Freight Cost record. The amount is defaulted on to the Ship Confirm form when a freight cost is entered, but can be over written when appropriate. Use the Map to Charge checkbox if you have created Freight and Special Charge modifiers.

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Guided Demonstration Define Freight Cost Types

This demonstration will show how to define a new freight cost type.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setup > Freight > Define Freight Cost Types 1. 2. 3. 4. 5. 6. Enter Special as the name of your new Freight Cost type. Select Handling as the type from the List of Values. Select the currency (USD) that will be associated with this freight cost type. Enter an amount (15) that will be defaulted when this freight cost type is used. Check Map to Charge to allow Freight/Special charges modifiers to be defined for this Freight Cost Type. Save your work.

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Shipping Chapter 13 - Page 103

Freight Cost Freight Charges

Freight Cost Freight Charges

Shippers Costs

Customers Charges

Freight Costs Freight Charges Charges Freight and Special Charges are defined as the dollar amount applied to the customer invoice for movement of a shipment to a destination. Freight and Special Charges may be for the order header or order line. The user has the ability to apply the charges to the order manually, through order import, an open API or automatically based on the modifier setup. Costs Freight Costs are the actual costs incurred for the movement of goods that the carrier is moving and is billed to OM Shipping. Freight Costs include, but are not limited to: freight cost, handling charge, insurance, import/export license fees and miscellaneous changes, such as, restocking fees, return fees, miscellaneous fees and charges for late payment. These miscellaneous charges are standard seeded values. In order to apply these charges to the order, the user must setup a modifier type of Freight and Special Charges.

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The main setup difference between freight charges and freight costs is where the user applies the charges. Shipping captures the freight costs and passes them through to OM; OM uses them as a basis for applying freight charges to the customer invoice. For freight charges, the user defines a modifier to setup the attributes in order to apply the charges to the order. For freight costs, the user defines a cost type, such as, Freight, and applies the costs at the time of shipment. A cut-off point exists for processing charges to a customer invoice. The shipper has the ability to enter freight and special charges at any time. However, only those costs entered prior to Ship Confirm will qualify for processing with the customer invoice.

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Shipping Document Sets

Shipping Document Sets

Logical grouping of reports for: The Pick Release Process The Ship Confirm Process Use seeded Document Sets Define new Document Sets

Shipping Document Sets Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Document > Document Sets Specify if the document set youre creating is for the Pick Release or Ship Confirm process. Select from the LOV the reports you want to attach to the Document Set. Use the sequence field to define the printing order for the reports attached to the document set. There are three seeded document sets that you can use immediately. Pick Release Documents All Shipping Documents Pack Slip Only

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Shipping Chapter 13 - Page 106

Guided Demonstration Define Document Sets

This demonstration will show how to define a new document set and edit an existing document set.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setup > Documents > Document Sets 1. 2. Enter XX-Docs as the name and New Doc Set as the description for the new document set. Select the usage of Pick Releases for the document set. Pick Release: For printing at pick release. Ship Confirm: For printing at ship confirm. Optionally, enter the effective stop date for the document set. 3. The default printing method is parallel. This submits the reports for printing separately, each with a different request ID. If one of the reports in the document set fails to print, the other reports still print. In the Sequence field, enter 1 as the number to prioritize the printing order within the document set. Select the report name of Pick Slip to be included in the document set. Save your work.

4. 5. 6.

To edit document sets 7. 8. Query the All Pick Release Document set. Edit the existing effective dates. Optionally, add a new document to the set. 9. Save your work.

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Shipping Chapter 13 - Page 107

Choose Printers

Choose Printers
Printer 1 Profile Hierarchy Pick Slips Printer 2 User Responsibility Packing Slips Printer 3 Application Site

Mailing Labels

Choose Printers Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Documents > Choose Printers Assign your shipping documents and reports to specific printers. Printers can be assigned on multiple levels; User, Responsibility, Applications and Site. If set at the User level each user could print to a different printer. If set at the Site level anyone generating the report would be directed to the same printer. Choose the Document tab to display all documents assigned to a printer, and the printers tab to display all printers assigned to a document.

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Shipping Chapter 13 - Page 108

Shipping Roles and User Security

Shipping Roles and User Security

Define Roles Edit View Only Disable

Grant Privileges

Roles and User Security Order Management Super User, Vision Operations (USA) (N) > Shipping > Setup > Grants & Roles Definitions > Define Roles Define Roles Define shipping roles such as Shipping Manager, Shipping Clerk, and Customer Service, specifying access levels of Edit, View or None (disable) to 60+ actions defined for Trips, Stops, Deliveries, and Lines. Grants (N) > Shipping > Setup > Grants & Roles Definitions > Grants Next grant access to Shipping Roles for each combination of Role and User. Warehouse is an optional value. A blank warehouse grants a user the same role across all organizations. Generally a user should only have a single active grant per warehouse.

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Shipping Chapter 13 - Page 109

Guided Demonstration Define Roles

This demonstration will show how to define a new role to use with shipping.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setups > Grants and Role Definitions > Define Role 1. Enter the name of XX-Shipping Clerk for your Role. 2. 3. 4. 5. 6. 7. 8. 9. Enter a description for your role.

Click on the Trips (T). Select the access of Edit from the poplist. Uncheck the Plan and Unplan checkboxes to restrict the Trips actions for this role. Click on the Stops (T). Select the access of Edit from the poplist. Click on the Disable Actions (B) to block all the Stops activities for this role. Click on the Deliveries tab. Review the list of actions.

10. Click on the Lines/LPNs tab. 11. Review the list of actions. 12. Save your work.

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Shipping Chapter 13 - Page 110

Guided Demonstration Grant Access to Roles

This demonstration will show how to grant access to roles for users.

Responsibility: Order Management Super User, Vision Operations (USA)

(N) > Shipping > Setups > Grants and Role Definitions > Grants 1. 2. 3. 4. 5. 6. Select the OMSUPER user from the LOV. Select the XX-Shipping Clerk Role from the LOV. Leave the Org. field blank so that the Grants are applicable to all organizations. Enter a Start date to phase in the Grants. Enter an End Date to phase out a grant. Use the View Role button to see how the role you selected was setup. Note: Use the Define Role to setup a new Role. 7. Save your work.

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Shipping Chapter 13 - Page 111

Practice - Define a Shipping Role

Overview
In this practice you will define a shipping role.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define Shipping Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Role Definition window (N) Shipping > Setup > Grants and Role Definitions > Define Roles Name: XX-Clerk Description: XX Shipping Clerk

2. 3. 4. 5. 6.

(T) Trips (B) Disable Actions (T) Stops (B) Disable Actions (T) Deliveries Verify Data Action: Edit Accept all defaults (T) Lines/LPNs Accept all defaults (I) Save
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7. 8. 9.

Shipping Chapter 13 - Page 112

Solution - Define a Shipping Role

Define Shipping Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Role Definition window (N) Shipping > Setup > Grants and Role Definitions > Define Roles Name: XX-Clerk Description: XX Shipping Clerk

2. 3. 4. 5. 6.

(T) Trips (B) Disable Actions (T) Stops (B) Disable Actions (T) Deliveries Verify Data Action: Edit Accept all defaults (T) Lines/LPNs Accept all defaults (I) Save

7. 8. 9.

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Shipping Chapter 13 - Page 113

Practice - Define Roles

Overview
In this practice you will learn how to create a shipping role that can be used to establish grants (permissions) to shipping functions.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. Define a new role for your shipping clerks named XX-Shipping Clerk. Disable access to all functions under Trips and Stops.

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Shipping Chapter 13 - Page 114

Solution - Define Roles

Login 1. Login to the database. User Name: operations Password: welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Define a Role (N) > Shipping > Setup > Grants and Role Definitions > Define Roles 3. 4. 5. 6. Name: XX-Clerk. Description: XX Shipping Clerk. Click on (T) Trips. Click on (B) Disable Actions.

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Shipping Chapter 13 - Page 115

7. 8.

(T) Stops. (B) Disable Actions.

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Shipping Chapter 13 - Page 116

9.

Click on (T) Deliveries.

10. Validate that Data Access is Edit. 11. Accept all defaults.

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Shipping Chapter 13 - Page 117

12. Click on (T) Lines/LPNs. 13. Validate that the Data Access is Edit. 14. Accept all defaults. 15. Save.

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Shipping Chapter 13 - Page 118

Copyright Oracle Corporation, 2003. All rights reserved.

Shipping Chapter 13 - Page 119

Practice - Grant Access to Roles

Overview
In this practice you will learn how to create a shipping role that can be used to establish grants (permissions) to shipping functions.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Order Management Super User, Vision Operations (USA) or comparable Super User Order Management responsibility.

Tasks
1. 2. Grant the shipping clerk role to the OMSUPER user for all Organizations. Click on the View Roles button to access the role definition.

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Shipping Chapter 13 - Page 120

Solution -Grant Access to Roles

Login 1. Login to the database. User Name: operations Password: welcome

Choose Responsibility 2. Order Management Super User, Vision Operations (USA) Responsibility is selected.

Grant Role 3. (N) > Shipping > Setup > Grants and Role Definitions > Grants User OMSUPER Role: XX-Clerk. Leave Org. blank. Accept Start and End Dates. Save.

4.

View Roles 5. Click on the View Roles button to access the role definition.

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Copyright Oracle Corporation, 2003. All rights reserved.

Shipping Chapter 13 - Page 122

Agenda

Agenda
Understanding Shipping Concepts Using Pick Release Entering Ship Confirm Defining Shipping Setups Shipping APIs and Interfaces

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Shipping Chapter 13 - Page 123

Shipping Programs and APIs

Shipping Programs and APIs

OM Shipping APIs Inventory Interface Order Management Interface

Shipping Programs and APIs Order Management API Order Management provides APIs to Shipping to view lines that are eligible for delivery, planning, picking and shipping. The view returns all open, booked, shippable lines that are not interfaced to Shipping. When an order line reaches the Ship Line workflow activity, Order Management calls Shipping APIs to indicate that a line is pick eligible and communicate changes to the line once it is interfaced to Shipping. When a delivery is ship Confirmed, Shipping calls OM APIs to communicate the event, triggering the line flow to move forward. Inventory Interface The Inventory Interface is run to update inventory with the ship confirmation information. Inventory balances are decremented and reservations relieved. This program always spawns the Order Management Interface. It is very important in the process flow that the inventory Interface complete before the Order management interface to ensure the integrity of the reservations. Order Management Interface This program is run to update order management with the ship confirmation information. Order line shipped quantities will be updated.
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Shipping Chapter 13 - Page 124

Summary

Summary

In this module, you should have learned how to: Understand what makes up the compete shipping process Define items and item organizations Perform a Pick Release Ship Confirm picked orders Perform the necessary Shipping Setups Understand Shippings APIs and Interfaces

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Shipping Chapter 13 - Page 125

Copyright Oracle Corporation, 2003. All rights reserved.

Shipping Chapter 13 - Page 126

Process Invoices
Chapter 14

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Process Invoices Chapter 14 - Page 1

Process Invoices

Process Invoices

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Process Invoices Chapter 14 - Page 2

Objectives

Objectives
After this module, you should be able to: Describe the way processing invoices fits into the Receivables process Enter and complete invoices Perform other invoice actions Correct invoices Identifying deposit transaction types Print transactions and statements Use event-based management Identify XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 3

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 4

Oracle Receivables Overview

Oracle Receivables Overview

Create Profile Classes

Enter Customers

Create Invoices

Print Invoices

Post Receipts

Use iReceivables Perform Collections

Oracle Receivables Overview Oracle Receivables provides the capability to create all the necessary transactions to correctly bill customers, record payments, and perform adjustments to customers accounts. These transactions include: invoices, credit memos, debit memos, guarantees, deposits, bills receivable, adjustments, and chargebacks. The Oracle Receivables process consist of several major steps. The Create Invoices and Print Invoices steps will be discussed in this topic. Create Profile Classes: Defines several default values for customers with similar credit terms and invoicing requirements. Enter Customers: Creates information for the customer, defines the addresses for the customer, and the business purpose(s) at each address. Create Invoices: Uses AutoInvoice or manually created invoices to bill customers for goods and services. Print Invoices: Produces invoices to mail to customers. Use iReceivables: Allows customers and employees to access customer accounts online to see the status of invoices and receipts and to request credits on line. Post Receipts: Permits posting of customer payments as they are received.

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Process Invoices Chapter 14 - Page 5

Perform Collections: Enables collectors to use informational windows and reports to perform timely and accurate collection activities.

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Process Invoices Chapter 14 - Page 6

Transactions Overview

Transactions Overview

Import transactions

Create manual transactions

Calculate taxes, derived GL accounts, update customer balances

Print invoices

Correct, if necessary

Transactions Overview Transactions can be imported from Oracle Order Management, Projects, Service, Property Management and non-Oracle systems. Transactions can also be created manually. In the Transaction process, tax can be calculated, General Ledger accounts created, and customer balances updated. Invoices can be printed and corrections can be entered, if necessary.

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Process Invoices Chapter 14 - Page 7

Transactions Workbench Windows

Transactions Workbench Windows

Transactions Summary

Create Adjust Credit Complete Review Copy

Transactions Workbench Windows Receivables, Vision Operations (USA) (N) > Transactions > Transactions Summary The Transactions Summary window consists of a workbench, which has buttons that open windows where the following can be done: Create New transactions. Create adjustments and credit memos. Complete transactions. Review transactions and cash applications. Copy transactions.

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Process Invoices Chapter 14 - Page 8

Guided Demonstration - Review Transaction Workbench

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Transactions Summary (I) Flashlight (T) More Enter Ship-To Customer World of Business, Number 1608 in the More tab region of the Find window. (B) Find This is a folder window, which can have fields, added and rearranged. (M) Folder > Show Field Explain the Fields across the workbench. Source: Specifies automatic or manual batch and invoice numbering and the standard transaction type. Number: Transaction number. Bill-To Customer: Name of the Bill-To Customer. Class: Type of transaction: Invoice, Debit Memo, Credit Memo, Guarantee, Deposit, or Chargeback. Complete: Shows the transaction is finished. Currency: Currency of the transaction. Date: Date of transaction. GL Date: Determines the period the transaction was recorded in the General Ledger. The GL Date must be in an Open or Future period at the time the transaction is entered. SalesPerson: The SalesPerson on the transaction. Terms: Payment terms for the transaction. Receivables calculates the Due Date based on the payment terms and date of this transaction. Type: Type of the Transaction. Use the buttons on the Workbench to: Add new and update existing invoices, commitments, and debit memos. Copy invoices, create adjustments and credit memos. Complete transactions. Reviewing installments and applications.

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Process Invoices Chapter 14 - Page 9

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 10

Invoice Entry Methods

Invoice Entry Methods

Invoices from Oracle Order Management or legacy systems

Oracle Receivables

Run AutoInvoice

Manual Invoices

Data Entry

Invoice Entry Methods Enter standard invoices according to your business needs: AutoInvoice: Import transactions from Oracle Order Management, other Oracle applications, or legacy systems. Manual Invoices: Enter transactions for invoices that do not originate in a feeder system, such as invoices for miscellaneous items, services, or freight.

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Process Invoices Chapter 14 - Page 11

Creating a Standard Invoice Manually

Creating a Standard Invoice Manually

Enter invoice header information

Enter invoice lines

Enter sales credit

Enter freight lines

Use AutoAccounting to create accounts

Complete invoice

Creating a Standard Invoice Manually Receivables, Vision Operations (USA) (N) > Transactions > Transactions A Standard Invoice is created manually in Oracle Receivables using the following process. Enter invoice header information: Identify the customer and type of invoice. Can be modified to include transaction source. Enter invoice lines: Record goods and services to be invoiced. Enter sales credit: Optionally, record sales commissions. Enter freight lines: Optionally, record freight charges. Use AutoAccounting to create accounts: Create the General Ledger distribution accounts by using preconfigured AutoAccouning Rules. Complete Invoice: Finish the process and prepare the invoice for printing.

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Process Invoices Chapter 14 - Page 12

Invoice Components

Invoice Components
Invoice Header Number Source Class Type GL Date

Customer Information Ship-To Address Bill-To Address

Lines Item Price Quantity

Invoice Components Receivables, Vision Operations (USA) (N) > Transactions > Transactions Invoices consist of three major components, Invoice Header, Customer Information, and Lines. Invoice Header Number: If the Batch Source specifies automatic invoice numbering then Receivables assigns a number when you save the transaction or you can enter the number manually. Source: Sets default values and AutoInvoice options. Controls numbering. Turns on Automatic as well as enters the range of numbers for the system to use. Class: Provides a dropdown list of classes of transactions, chargeback, credit memo, debit memo, deposit, guarantee, and invoice. Type: Determines whether Receivables amounts are recorded and posted to the General Ledger. GL Date: Sets the General Ledger period for posting of transaction distributions. Customer Information Ship-To Address: (Optional) Ship goods or provide services at this customer address.
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Process Invoices Chapter 14 - Page 13

 Bill-To Address: Send the invoice to this customer address. Lines Item: Goods or services provide to the customer. Price: Unit price or total amount to be charged the customer. Quantity: Amount ordered or one when entering the total amount.

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Process Invoices Chapter 14 - Page 14

Guided Demonstration - Define Batch Source

Responsibility: Receivables, Vision Operations (USA)
(N) >Setup > Transactions > Sources 1. 2. Enter Name and Description: Demo Source. Enter Type: Imported. Use imported batch sources to import transactions into Receivables using AutoInvoice. Enter the range of Effective Dates: Start date is the current date and do not enter an end date. Check the Automatic Batch Numbering box. Enter Last Number: 999. Receivables automatically updates the Last Number fields, so you can review this batch source later and see the last transaction number that was generated. Select the Copy Document Number to Transaction Number box. Check this to use the same value for both the document number and the transaction number for transactions assigned to this source (Optional). If your application uses Gapless document sequences, check this box if you require gapless transaction numbers. Checking this box ensures that transaction numbers are generated sequentially and there are no "missing" numbers. Enter Transaction Type: Invoice. (T) AutoInvoice Processing Options. Enter Invalid Tax Rate: Correct. Specify how you want AutoInvoice to handle imported transactions that have Invalid Tax Rates. An invalid tax rate is one in which the imported transaction's tax rate does not match its tax code. Enter 'Correct' if you want AutoInvoice to automatically update the tax rate that you supplied to the one that you defined previously for the tax code. Enter 'Reject' if you want AutoInvoice to reject the transaction.

3. 4. 5.

6.

7. 8. 9.

10. Enter Invalid Lines; Create Invoice. Specify how you want AutoInvoice to handle imported transactions with Invalid Lines by entering either 'Reject Invoice' or 'Create Invoice.' 11. Enter GL Date in Closed Period: Adjust. Specify how you want AutoInvoice to handle imported transactions that have lines in the Interface Lines table that are in a closed period.
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Process Invoices Chapter 14 - Page 15

 To have AutoInvoice automatically adjust the GL dates to the first GL date of the next open or future enterable period, enter 'Adjust' in the GL Date in a Closed Period field. Enter 'Reject' to reject these transactions. 12. Enter Grouping Rule: Default. 13. Do not select the Create Clearing check box. Use this check box to require that the revenue amount for each transaction line is equal to the selling price times the quantity specified for that line. Use this option to distribute revenue on a transaction in an amount that is not equal to the transaction line amount. If you check this box, AutoInvoice puts any difference between the revenue amount and the selling price times the quantity for a transaction into the AutoInvoice Clearing account that you have defined. Otherwise, AutoInvoice requires that the revenue amount be equal to the selling price times the quantity for all of the transactions it is processing. Define your clearing account in the Automatic Accounting window. 14. Select the Allow Sales Credit check box. Indicate whether sales credits can be entered for transactions using this source by checking or unchecking the Allow Sales Credit box. This option and the Require Salesreps option in the System Options window determine whether sales credits are optional or required. 15. (T) Customer Information 16. Select ID for all options. Indicates whether AutoInvoice validates your customer information for this batch source using a value or identifier. Select None' for no validation. Select Value to import a record into AutoInvoice tables using its actual name. Select ID to use its internal identifier. 17. (T) Accounting Information 18. Select ID for all options. How validation occurs for Invoice and Accounting Rule data for this batch source. Select either 'Id' or 'Segment' to indicate whether you want AutoInvoice to validate the identifier or the flexfield segment for this batch source. 19. Check the Derive Date check box. To derive the default rule start date and default GL date from the ship date, rule start date, order date and the default date that is supplied when AutoInvoice is submitted. If you use Oracle Inventory and Oracle Order Management for sales order shipments, you should elect to derive your dates and use the shipment date for your

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Process Invoices Chapter 14 - Page 16

transaction general ledger date. In this way you can ensure that you have booked your revenue and cost to the same accounting period. If you do not match revenue and cost in the same period, you violate basic GAAP principles, and may distort your profit. In addition, you are unable to run a meaningful Margin Analysis report. This report summarizes your revenue and cost of goods sold transactions by item and customer order and specifies a transaction date range. If your transactions are booked in the wrong period, this report reflects those incorrect transactions. 20. Select Amount To indicate how you want AutoInvoice to validate your Revenue Account Allocation data for this batch source. 21. (T) Other Information (Use the arrow to show more alternative regions). 22. Select ID for all options. 23. (T) Sales Credits Data Validation. 24. Select ID for Salespersons and Sales Credit Types. 25. Select Amount for Sales Credits To validate Sales Credits based on either Amount or Percent. 26. (I) Save.

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Process Invoices Chapter 14 - Page 17

Guided Demonstration - Define Line Ordering Rules

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > AutoInvoice > Line Ordering Rules 1. 2. 3. 4. Enter Name: Demo Ordering Rule. Enter Description: Demo Ordering Rule (optional). Accept the default start date in the Effective Dates. Enter Order By Sequence: 1 Enter a higher number to specify a lower priority transaction attribute for this invoice line ordering rule. Enter Transaction Attribute: Ship Via Receivables uses the transaction attributes to determine how AutoInvoice orders invoice lines when it groups the transactions. Enter Type: Ascending. To specify whether you want this transaction attribute to be ordered from least to greatest (Ascending), or greatest to least (Descending). (I) Save.

5.

6.

7.

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Process Invoices Chapter 14 - Page 18

Copyright Oracle Corporation, 2003. All rights reserved.

Process Invoices Chapter 14 - Page 19

Transactions Window Tabs

Transactions Window Tabs

Main More Remit To, Sales Paying Customer

Notes Commitment Credit

Transactions Window Tabs Receivables, Vision Operations (USA) (N) > Transactions > Transactions The tabs in the Transaction window is where the following information is entered: Main: Customer Bill-to, Ship-to, Due Date, Terms, Salesperson and Commitment. More: Invoicing Rule, Print Option, Default Tax, Status, Finance Charges, Cross Reference, Original Transaction, Agreement, Dispute Amount and Date, Special Instructions, Comments, Document Number, Print Date, and Purchase Order information. Remit to, Sales: Remit-to-address, Sold To Customer and Number, and Sales Territory. Paying Customer: Paying Customer Number and Location, Payment method, Customer Bank information, and Expiration Date. Notes: Date, Source, and Memo. Commitment: Effective Dates, Amount, Item, Memo Line, Description , and Transaction. (Used with Commitments).

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Process Invoices Chapter 14 - Page 20

Credit: Reason, Customer Reference and Date, Rules and Split Term Method, Credited Transactions Source, Reference, Amount, GL Date, Number, Bill-to, Balance Due, and Transaction Date. (Used with Credit Memos).

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Process Invoices Chapter 14 - Page 21

Required Transaction Information

Required Transaction Information

Date Source Class Type GL Date Bill-to Terms Remit-to

Required Transaction Information A number of fields are required during invoice entry. They include the following: Date: Transaction date. Source: List of values showing where transaction originates. New sources can be added to the list of values. Class: Classifies the transaction as an Invoice, Credit Memo, Debit Memo, Guarantee, Deposit, or Chargeback. Type: Determine whether a transaction updates open receivables, can be posted to your General Ledger, Receivables calculates tax, and other defaults are entered. GL Date: Enters the current date the transaction will use when transferring to the General Ledger. Bill-to: Determines where the final document is sent. Terms: Records the payment terms for the transaction. Remit-To: Provides your address information for the payment remittance.

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Process Invoices Chapter 14 - Page 22

Entering Invoice Dates

Entering Invoice Dates

Enter invoice dates in any period. The invoice date plus the payment terms determine the due date. Enter General Ledger dates in open and future accounting periods. This date determines when the journal entry can be created.

Open Available for entry and posting to GL

Future Available for entry

Closed Not available

Entering Invoice Dates An invoice date can be entered any time. This determines the due date only. The General Ledger (GL) date determines when the transaction can be transferred to the General Ledger. The GL date defaults to the transaction date if it is in a open period. Otherwise, it defaults to the last day of the month of the current open period. The Receivables calendar can be opened or closed independently of the General Ledger calendar. (The General Ledger calendar is shared by Receivables so no separate setup is required.)

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Process Invoices Chapter 14 - Page 23

Transaction Defaults

Transaction Defaults

Transaction Source

Transaction Type

AutoAccounting

Accounting Rules

Customer Record

Transaction Defaults Transaction defaults save data entry time and reduce errors. There are several sources for these defaults. Transaction Source defaults: - Transaction type - Transaction numbering Transaction Type defaults: - Transaction class - Payment terms (if not set at the customer) - Accounting - Credit memos for invoices - Invoice information for commitments AutoAccounting defaults: - Accounts for transactions - Validates Accounts
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Process Invoices Chapter 14 - Page 24

Customer Record defaults: - Ship-to and bill-to address - Payment terms - Salesperson Accounting Rules default from: - An item - A standard memo line Statement cycles default from the customer profile class.

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Process Invoices Chapter 14 - Page 25

Standard Invoice Line Types

Standard Invoice Line Types

Inventory Item

Standard Memo: Non-Inventory Item and Services

Free Form: Special Items and Services

Standard Invoice Line Types Receivables, Vision Operations (USA) (N) > Transactions > Transactions > (B) Line Items There are three types of standard invoice line types that can be used during invoice entry. Inventory item: Enter items available in inventory, using a list of values. Standard Memo line: Enter non-inventory products or services, such as extended warranties or maintenance contracts, using a list of values. Free Form line: Enter a description.

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Process Invoices Chapter 14 - Page 26

Entering Freight Invoices or Lines

Entering Freight Invoices or Lines

Invoice Level

AutoAccounting

01-110-7340-0000-000 Line Level General Ledger

Entering Freight Invoices or Lines Receivables, Vision Operations (USA) (N) > Transactions > Transactions > (B) Line Items If the transaction type assigned to this invoice allows freight charges, enter freight amounts. Bill freight charges for the entire invoice or for each line: Click the Freight button in the Transactions window to enter at invoice level. Click the Freight button in the Lines window to enter at lines level. Note: If you click the freight button at invoice level, then the freight charges apply to the entire invoice. If click the freight charge at line level, it will apply to that particular line. AutoAccounting determines the default freight account. Note: Users can calculate and report tax on freight by creating inventory items with the type of Freight. AutoAccounting identifies these standard invoice lines with an inventory item type of Freight and derives your General Ledger accounts based on the rules you have defined for freight transactions.

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Process Invoices Chapter 14 - Page 27

Entering Sales Credits

Entering Sales Credits

Require Salesperson

AutoAccounting

Recalculates Revenue Account

Enter in Sales Credit window

Revenue or Non Revenue

Entering Sales Credits Receivables, Vision Operations (USA) (N) > Setup > System > System Options If the Require Salesperson check box in the Miscellaneous tab of the System Options window is selected, a salesperson must be assigned to each invoice. Receivables (N) > Transactions > Transactions > (B) Sales Credits Use the Sales Credits window to allocate sales credit among salespeople, and record both revenue (credit based on invoice lines) and non-revenue sales credit (credit in excess of your revenue sales credit such as bonuses or incentives). This information defaults to line-level sales credits. Note: The percentage of revenue sales credits must add up to 100%. AutoAccounting will recalculate the revenue account assignment. Additional non revenue sales credits (above 100%) can be assigned for bonus or incentive purposes.

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Process Invoices Chapter 14 - Page 28

Allocate different percentages or to different salespeople by line, using the For This Line region of the Sales Credits window. Access this window by clicking Sales Credits in the Lines window.

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Process Invoices Chapter 14 - Page 29

Completing Transactions

Completing Transactions

Lines Distributions = Total

Open or Future Period

One or More Lines

Completing Transactions Receivables, Vision Operations (USA) (N) > Transactions > Transactions When all required information has been entered, click the Complete button to complete (finish) the invoice. Payment schedules and aged receivable amounts are calculated when the Complete button is selected. Completed transactions can be transferred to the General Ledger. Only completed transactions can be printed. The requirements for Completing an invoice: An invoice must have at least one line, or at the header level be a freight invoice. The General Ledger date of the invoice must be in an open or future period. The invoice sign must match the sign of the transaction type. The sum of distributions for each line must equal the invoice line amounts. If Calculate Tax for transaction type is set to Yes, tax is required on each line.
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Process Invoices Chapter 14 - Page 30

Guided Demonstration - Enter Invoice

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Transactions 1. 2. Enter Manual as the Source and Invoice as the Class. Enter Customer Business World. The San Jose Ship-to and Bill-to sites as well as the payment terms and sales person default in from the Customer record. 3. 4. (B) Line Items Enter Item. Item: CM13139 Qty: 1 Unit Price: 100 Tax Code: Location Close the Line Items window. (B) Complete Complete creates the accounting entries and prepares the invoice for transfer to General Ledger. 7. 8. 9. (B) Sales Credits Reduce Howard Spragues percentage to 60% Add Barry Lewis with a percentage of 40%

5. 6.

10. Answer Yes in the Decision box asking if you want to recalculate the accounting. 11. Close the Sales Credits window. 12. (M) Tools > View Accounting (B) T Accounts The View Accounting window shows the accounting for the transaction. The T Accounts button permits viewing the accounting for the transaction in both the T Accounts format and the Activity Summary format.

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Process Invoices Chapter 14 - Page 31

Practice - Enter and Complete an Invoice

Overview
In this practice you will enter and complete a two-line invoice for Consulting Services for the customer you created earlier or World of Business. Enter Invoice Header information. Enter Invoice Line Information. Complete the Invoice

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. Enter Invoice Header Information with Manual as Source, Invoice as Class and Transaction type, and your customer you created earlier or World of Business Ship-To and Bill-to addresses. The customer is being billed for 2 consulting assignments. Enter the following invoice lines associated with them.
Line # 1 2 Item # CS03755 CS32698 10 5 Qty Unit Price 1500 1750 Tax Location Based Location Based

2.

3.

Complete the Invoice.

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Process Invoices Chapter 14 - Page 32

Solution - Enter and Complete an Invoice

Enter Invoice Header Information 1. Navigate to the Transactions window. 2. 3. 4. 5. (N) > Transactions > Transactions

Select Manual as the Source. Select Invoice as Class. Verify that the Transaction Type of Invoice defaults in. Enter your customer or World of Business as the name in the Ship-To and Bill-To name. The address information may default in. If not, select the San Jose sites for World of Business or your entered sites for your customer.

Enter Invoice Lines 6. Navigate to the Lines window. (N) > Transactions > Transactions (B) Line Items

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Process Invoices Chapter 14 - Page 33

7. 8. 9.

Enter each line from the table. Click on Tax Button and make sure your location based tax was calculated. If not, use your list of values to select any tax code with a rate. (I) Save.

Complete the Invoice 10. Close the Lines window. 11. (B) Complete. Record the Invoice Number: ___________________

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Process Invoices Chapter 14 - Page 34

Creating Invoice Batches

Creating Invoice Batches

Pounds Yen

Invoice Date Defaults

Different Currencies

Payment by Invoice Batch

Control Total = Actual Total

Identifies the Source

Creating Invoice Batches Receivables, Vision Operations (USA) (N) > Transactions > Batches Invoice Batching can be used to create groups of invoices Batching provides checks and balances not available in a single invoice. Some of the elements of a batch are: The batch date defaults to the invoice date. If a batch is entered, Oracle Receivables uses the source assigned to the batch for each of the invoices. Batches must match control and actual invoice counts and amounts. Actual count and amount are updated as each invoice is entered. A batch can contain invoices with different currencies. Invoices can be printed by batch. Oracle Receivables uses invoice batches to import invoice data. Batch information identifies the originating system when importing transactions.

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Process Invoices Chapter 14 - Page 35

View Currency Details

View Currency Details

If you use Multiple Reporting Currencies (MRC) functionality, and if you are using a responsibility associated with your primary functional currency, then you can use the View Currency Details window to see, in a single window, transaction amounts in your primary functional currency and in all the reporting sets of books currencies. If the transaction currency is different from your primary functional currency, then the amounts are also displayed in the transaction currency.

View Currency Details Window The window also displays currency conversion details such as the rate, rate date, and rate type. For a transaction, the window displays: Transaction header information Conversion details Transaction information. For each transaction, you see the total amount, plus the amounts of any receipts, credit memos, adjustments, discounts, or bills receivable, converted to each currency. For a receipt, the window displays: Receipt header information Conversion details A list of receipt applications. For each application, you see the amount that was applied to the receipt. You see this amount in each currency. You can drill down from each invoice to the invoice currency detail. To open the View Currency Details window, use a responsibility associated with your primary functional currency. Select a transaction in one of the following windows, then either choose
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Process Invoices Chapter 14 - Page 36

the View Currency Details option from the Tools menu, or choose the View Currency Details icon in the toolbar. Transactions Transactions Summary Balances Receipts Receipts Summary Note: You must save a transaction before you can open the View Currency Details window for it.

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Process Invoices Chapter 14 - Page 37

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 38

Creating Copies of Invoices

Creating Copies of Invoices

January

April

Model transaction July

Creating Copies of Invoices Receivables, Vision Operations (USA) (N )> Transactions > Copy Transactions Use the Copy Transactions window to create recurring invoices for products and services sold on a regular basis. A model invoice is used to copy a series of invoices in future periods. Example: Business Needs: A customer is billed for the same service every month. Solution: For the first month, enter a new invoice that refers to the billed service. This becomes the model invoice for the following months. The model transaction must be complete. Once the model transaction is copied, changes to the model transaction do not affect the copied transaction. The model transaction should be the open or closed transaction that exactly matches the transaction(s) to recur.

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Process Invoices Chapter 14 - Page 39

Using Recurring Rules

Using Recurring Rules

Select one of the following rules: Annually Semi-Annually Quarterly Bi-Monthly Monthly Weekly Days Single Copy

Using Recurring Rules Receivables, Vision Operations (USA) (N) > Transactions > Copy Transactions Oracle Receivables determines the date and frequency of the copied transactions, using the rule, first transaction date, and number of times specified. You cannot update the recurring schedule after it has been saved. Oracle Receivables creates all invoice copies at one time. Invoices that are created in unopened periods are created as incomplete. If the batch source for the model invoice has automatic transaction numbering turned on, Oracle Receivables automatically numbers each recurring transaction. Each recurring transaction uses the batch source that is assigned to the model transaction. Select one of the following rules to create the invoices on the specific schedule: Annually: Once a year. Semi-Annually: Same day every six months. Quarterly: Same day every three months. Bi-Monthly: Same day every other month.
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Process Invoices Chapter 14 - Page 40

Monthly: Same day every month. Weekly: Every seven days. Days: Interval based on the number of days entered. Single Copy: One copy.

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Process Invoices Chapter 14 - Page 41

Guided Demostration - Copy Invoices

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Copy Transactions (K) F11 1. Query Invoice 10006861 for Business World using F11, Ctrl F11. 2. Select Monthly as the Rule. 3. Enter 6 in the number of times to create 6 copies. 4. Accept the default GL date. 5. (I) Save. The six monthly transactions appear in the bottom of the screen.

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Process Invoices Chapter 14 - Page 42

Practice - Copy Invoice

Overview
In this practice, you will use World of Business or the customer you defined to create recurring invoices. Your customer has advised that they will be ordering the same consulting services as previously ordered on a monthly basis for the next six months. Copy Invoice from the previous practice. View report showing new invoices created.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. 2. Copy the Invoice created in the previous practice. Review the report showing the newly created invoices.

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Process Invoices Chapter 14 - Page 43

Solution - Copy Invoice

Copy the Invoice 1. Navigate to the Copy Transactions Form. 2. 3. 4. 5. (N) Transactions > Copy Transactions

Query your invoice from previous practice. Define the recurring schedule with a Rule of Monthly. Number of Months is 6. Accept all other fields as they default. (I) Save. Write down invoice numbers. ______________________________________________ Notice how the system automatically numbers all of the new transactions in a sequential order.

Review Report 6. Go to the concurrent manager and view the completed report.
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Process Invoices Chapter 14 - Page 44

 7.

(N) > (M) View > Requests (B) Find (B) View Output

If your Concurrent Request completes with a Warning or Error, (B) View Log and review. If this occurs, contact your instructor for assistance. A warning can occur when the future periods are not open or future enterable so not all of the invoices are completed.

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Process Invoices Chapter 14 - Page 45

Creating Invoices with Rules

Creating Invoices with Rules

Fixed or variable Accounting rule Advance or arrears Invoicing rule Invoice Revenue Recognition program Journal entry Journal entry

01.100.200.4500.000.0000 01.110.220.4550.000.0000 01.220.220.4700.000.0000 AutoAccounting

Creating Invoices for Services Receivables, Vision Operations (USA) (N) > Transactions > Transactions > (B) Line Items > (B) Rules Accounting Rules determine the revenue recognition schedules for invoices, while invoicing rules determine when to recognize revenue for Receivables invoices.Invoicing Rules record the receivable in the first (Bill in Advance) or last (Bill in Arrear) period of the service. You can assign invoicing rules to invoices that you manually enter or import into Receivables through AutoInvoice. Once the invoice is saved, you cannot update an invoicing rule.

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Process Invoices Chapter 14 - Page 46

Guided Demonstration - Define Grouping Rules

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > AutoInvoice > Grouping Rules 1. 2. 3. Enter Name: Demo Grouping Rule. Enter Description: Demo Grouping Rule (optional). Enter Line Ordering Rule: Demo Ordering Rule (optional). The invoice line ordering rule tells AutoInvoice how to order transaction lines within this grouping rule. Accept the default start date in the Effective Dates. Enter Transaction Class: Invoice. If AutoInvoice uses grouping rules and is processing a transaction class that is not defined for this grouping rule, AutoInvoice will only use the mandatory grouping transaction attributes. Enter Optional Grouping Characteristics: Sales Order.

4. 5.

6.

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Process Invoices Chapter 14 - Page 47

Copyright Oracle Corporation, 2003. All rights reserved.

Process Invoices Chapter 14 - Page 48

Accounting Rules

Accounting Rules
Accounting Rules determines when to Recognize Revenue: Accounting, Fixed Duration: Over all periods based on a percentage or evenly. Accounting, Variable Duration: Percentage 1st Period, remaining amount evenly over remaining periods.

Defining Accounting Rules Receivables, Vision Operations (USA) (N) > Setup > Transactions > Accounting Rules Accounting rules determine when to recognize revenue amounts. Use Accounting, Fixed Duration type to recognize revenue over a specific number of periods. Revenue can be spread evenly or a percentage can be specified for each period. Default is even distribution. Use the Accounting, Variable Duration type to recognize revenue by a percentage for the first period. The remaining revenue is spread evenly across the number of periods that you specify during transaction entry.

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Process Invoices Chapter 14 - Page 49

Assigning Accounting Rules to Invoice Lines

Assigning Accounting Rules to Invoice Lines

Accounting, Fixed Duration Accounting, Variable Duration

# of Accounting Periods Recognize Revenue = 1st GL Date

Assigning Accounting Rules to Invoice Lines Receivables, Vision Operations (USA) (N) > Transactions > Transactions > (B) Line Items > (B) Rules Each invoice line can have a different accounting rule. Oracle Receivables uses the First GL Date field in the Transactions window to determine when to start recognizing revenue. The number of periods in which revenue is recognized is determined by the value in the Number of Accounting Periods field in the Transactions window. Value defaults from fixed rule. Value must be entered for variable rule.

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Process Invoices Chapter 14 - Page 50

Using Invoices With Rules

Using Invoices With Rules

Business Need
Enter invoices for services provided over 12 months and recognize revenue as the service is provided.

Solution
Enter invoices with rules either in the Transactions window or through AutoInvoice.

Bill customers for the Assign invoices a Bill in invoices before recognizing Advance invoicing rule. all of the revenue. Bill customers for invoices after recognizing all of the revenue. Assign invoices a Bill in Arrears invoicing rule.

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Process Invoices Chapter 14 - Page 51

Example of Billing in Advance

Example of Billing in Advance

Invoice rule = Bill in Advance January Dr. Receivables 3000 Cr. Unearned rev. 3000 Dr. Unearned rev. 1000 Cr. Revenue 1000 Dr. Unearned rev. 1000 Cr. Revenue 1000

Invoice February

March

Dr. Unearned rev. 1000 Cr. Revenue 1000 Accounting rule = 3-Month Fixed Duration

Example of Billing in Advance Because you are billing the customer for the entire invoice in the first accounting period, the offset account must be Unearned Revenue. Revenue is considered earned only when services or support has been provided. With the Bill in Advance invoicing rule, Oracle Receivables updates the GL (General Ledger) Date and invoice date of the invoice to the first accounting period for the accounting rule. For example, if the GL Date of the invoice was originally 01JAN02, and revenue was spread across 3 months, Oracle Receivables uses the GL Date of the invoice to 01JAN02.

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Process Invoices Chapter 14 - Page 52

Example of Billing in Arrears

Example of Billing in Arrears

Invoice rule = Bill in Arrears January Dr. Unbilled receivable 1000 Cr. Revenue 1000 Invoice Dr. Unbilled receivable 1000 February Cr. Revenue 1000

March

Dr. Unbilled receivable 1000 Cr. Revenue 1000 Dr. Receivable 3000 Cr. Unbilled receivable 3000 Accounting rule = 3-Month Fixed Duration

Example of Billing in Arrears Because Billing in Arrears bills the customer for the entire invoice in the last accounting period, the offset account must be Unbilled Receivables. With the Bill in Arrears invoicing rule, Oracle Receivables updates the GL Date and invoice date of the invoice to the last accounting period for the accounting rule. For example, if the GL Date of the invoice was originally 01JAN02, and revenue was spread across 3 months, Oracle Receivables changes the GL Date and invoice date of the invoice to 01MAR02.

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Process Invoices Chapter 14 - Page 53

Guided Demonstration - Use Rules

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Transactions 1. 2. Enter Manual as the Source and Invoice as the Class. Enter Customer Business World. The San Jose Ship-to and Bill-to sites as well as the payment terms and sales person default in from the Customer record. 3. 4. 5. 6. (T) More Select In Advance in the Invoicing Rule field. (B) Line Items Enter Item. Description: 1 Year Support Agreement (from the list of values of Standard Memo Lines) Qty: 1 Tax Code: Location Close the Line Items window. (B) Complete Complete creates the accounting entries and prepares the invoice for the Revenue Recognition Program and Transfer to General Ledger.

7.

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Process Invoices Chapter 14 - Page 54

Deferred Accounting Rules

Deferred Accounting Rules

You can defer all revenue to an unearned revenue account by assigning a deferred accounting rule to an invoice. You later recognize this revenue using the Revenue Accounting feature. For use only with the Bill In Advance invoicing rule.

Deferred Revenue

Deferred Accounting Rules Receivables, Vision Operations (USA) (N) > Setup > Transactions > Accounting Rules Use Deferred Accounting Rules to recognize revenue on demand using the Revenue Accounting feature. Deferred Accounting Rules are enabled by selecting the Deferred Revenue checkbox on the Invoicing and Accounting Rules window.

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Process Invoices Chapter 14 - Page 55

Revenue Recognition Program

Revenue Recognition Program

Deferred Revenue = Unearned Revenue Revenue Recognition program

Bill in Advance = Unearned Revenue

Journal entry

Bill in Arrears = Unbilled Receivables

Running the Revenue Recognition Program Receivables, Vision Operations (USA) (N) > Control > Accounting > Revenue Recognition Accounting distributions are created only after you run the Revenue Recognition program. - For Bill in Advance, the offset account to Accounts Receivable is Unearned Revenue. - For Bill in Arrears, the offset account to Revenue is Unbilled Receivables. Accounting distributions are created for all periods when Revenue Recognition runs. When you use deferred accounting rules, the Revenue Recognition program creates a single distribution per line that posts to an unearned revenue GL account. Submit the Revenue Recognition program manually through the Run Revenue Recognition window. Submit the Revenue Recognition program automatically when posting to Oracle General Ledger. The program processes revenue by transaction, rather than by accounting period.
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Process Invoices Chapter 14 - Page 56

Only new transactions are selected each time the process is run.

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Process Invoices Chapter 14 - Page 57

Guided Demonstration - Run Revenue Recognition

Responsibility: Receivables, Vision Operations (USA)
(N) > Control > Accounting > Revenue Recognition > Single Request > (B) OK 1. 2. 3. 4. 5. 6. Select Revenue Recognition from the List of Values in the Name Field. Accept the default parameters. (B) OK (B) Submit Answer No in the Decision Box asking if you want to submit another request. (M) View > Requests (B) Find (B) View Output The Revenue Recognition Program Execution Report shows the total amount of the accounting entries created by the Program.

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Process Invoices Chapter 14 - Page 58

How Oracle Receivables Uses Statements

How Oracle Receivables Uses Statements

Payments Adjustments

Based on Aging Buckets

Credit Memos Invoices

PAST DUE!!! PAY NOW!!! Custom Messages

How Oracle Receivables Uses Statements Receivables, Vision Operations (USA) (N) > Print Documents > Statements Statements communicate activity to your customers about invoices, credit memos, debit memos, payments, on-account credits, chargebacks, deposits, and adjustments. Oracle Receivables also prints your customers past due balances based on aging buckets. You can enhance your statements by printing your own custom messages.

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Process Invoices Chapter 14 - Page 59

Making Adjustments Using Revenue Accounting

Making Adjustments Using Revenue Accounting

Completed Invoices & Credit Memos Earned

Unearned Transfer Sales Credits

Add Non-revenue Sales Credits

Making Receivables, Vision Operations (USA) Receivables, Vision Operations (USA) (N) > Transactions > Transactions or (N) Transactions > Credit Transactions (N) > Control > Accounting > Revenue Accounting The Revenue Accounting feature lets you adjust revenue. Earn or unearned revenue You can also adjust sales credits - Transfer revenue sales credits between Salespersons (maintaining the 100% total) - Add Non-revenue sales credits You can adjust completed invoices and credit memos. You can make adjustments at the transaction or line level. Receivables uses AutoAccounting to generate the required accounting distributions. Use the Revenue Accounting and Sales Credits window to manually perform these adjustments. Use the Revenue Adjustment API to automatically perform these adjustments.
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Process Invoices Chapter 14 - Page 60

Setup Details Report

Setup Details Report

You can use the Setup Details report to review:

Tax setup Tax defaults and rules Transaction and Customer details Batch Source details

AutoAccounting setup General Ledger period information Transaction Type details Remitto Addresses Profile option values

Setup Details Report You use the Setup Details report to view a wide range of information about the system setup configuration in Oracle Receivables. Displaying setup information in a single report lets you easily anticipate and correct possible setup errors when running large processes such as AutoInvoice. Report Parameters Batch Source ID: Choose from the list of values the name of the transaction batch source for which you want to see system setup details. Max GL Date: Enter a cutoff general ledger date (DDMONYYYY) for the report. The Setup Details report will contain information about the periods before the date you enter. Transaction Type (optional): If you would like to see setup details for one particular transaction type, choose the type from the list of values. If you do not choose a transaction type, the Setup Details report will provide setup information for every transaction type defined in the AutoInvoice interface tables.

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Process Invoices Chapter 14 - Page 61

AR: Use Statement Site and Dunning Site Profiles

AR: Use Statement Site and Dunning Site Profiles

You use this profile option to select whether to pick profile amounts for statements and dunning from the customer level or the site level. The default value is No. If you set this profile option to Yes, then: When you generate statements, Receivables uses the profile amounts defined at the statement site, if one exists. When you run the Dunning Letter Generate program, Receivables uses the profile amounts defined at the dunning site, if one exists.

AR: Use Statement Site and Dunning Site Profiles The value for this option can be set by the system administrator at the site, application, and responsibility levels, but cannot be viewed by the user.

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Process Invoices Chapter 14 - Page 62

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 63

Invoice Transaction Flow

Invoice Transaction Flow

Deposit Guarantee Standard invoice Copy Print and send invoice to customer Correct invoice Underinvoice Overinvoice Invalid transaction Void Delete Process and print Enter receipt Generate statement and Interface to Oracle General Ledger

Invoice Transaction Flow In Oracle Receivables, you can review and correct invoice, debit memo, deposit, guarantee, credit memo, on-account credit memo, and chargeback information for transactions you enter manually or import into Receivables using AutoInvoice. This slide shows an overview of the Invoice process and the four scenarios that can occur when transactions need correcting. Correct Invoice Underinvoice Overinvoice Invalid transaction - Void - Delete

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Process Invoices Chapter 14 - Page 64

Invoice Correction Methods

Invoice Correction Methods

Invoices

Underinvoicing Update invoice Debit memo Adjustment

Overinvoicing Update invoice Credit memo On-account credit Adjustment Refund

Invalid Transactions Void Delete

Invoice Correction Methods Overinvoicing: Occurs when an invoice is generated for an amount that is greater than the amount actually due. The difference between the amounts can be credited or refunded to the customer, or the invoice can be updated. Underinvoicing: Occurs when an invoice is generated for an amount that is less than the amount actually due. The difference between the amounts can be debited against the customer, or the invoice can be updated. Invalid Transactions: Transactions that were created in error.

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Process Invoices Chapter 14 - Page 65

Overview of Corrections

Overview of Corrections
Correction Type Update Invoice Debit Memo Adjustment Credit Memo Effect on Invoice Changes original None; new item Activity New item applied to original None; account only Approval Limits None None User None Accounting Source Original Transaction AutoAccounting Receivables Activity Original Transaction or AutoAccounting (profile option) AutoAccounting

On-account Credit

None

Overview of Corrections Update Invoice: Update the line, tax, and freight amounts on the original invoice before it is posted. Debit Memo: Enter a new transaction for additional amounts not invoiced on the original invoice. Adjustment: Adjust line, tax, and freight amounts on the original invoice. Credit Memo: Credit a specific invoice. On-Account Credit: Credit the customers account. This credit does not initially apply to a specific invoice. iReceivables: Disputes an invoice. Enter a requested credit amount or percentage for lines, tax, freight, or total. Credit memo request is routed through the approval process. Note: Debit memos are not directly linked to invoices, but you can enter descriptive references. Adjustments are linked to invoices.

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Process Invoices Chapter 14 - Page 66

Overview of Corrections (Continued)

Overview of Corrections (Continued)

Correction Type Update Invoice Debit Memo Adjustment Credit Memo On-account Credit Tax Automatic Usage Restriction Activity Entry Query in Transactions window Transactions window Transactions Summary Transactions Summary Transactions window

Automatic Manual or write-off Automatic Automatic

None Approval limits None None

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Process Invoices Chapter 14 - Page 67

Updating Invoices

Updating Invoices
Update the original invoice before posting to the General Ledger and before entering activity. Update invoice information through the Transactions window. Use the Transactions workbench to update the Due Date, PO Number, Salesperson, and Remit-To Address. Update the original invoice amount by:
Updating the quantity and unit price for each line Updating the original freight amount

Updating Invoices Receivables, Vision Operations (USA) (N) > Transactions > Transactions Examples of activity that prevent you from updating an invoice are applying a receipt, credit memo, or commitment against an invoice, or creating an adjustment for the invoice. If the system option Allow Changes to Printed Transaction check box is cleared, then you cannot update an invoice that has been printed. Use the Update Invoice procedure to correct for overinvoicing as well as underinvoicing.

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Process Invoices Chapter 14 - Page 68

Creating Debit Memos

Creating Debit Memos

Enter in Transaction Window

Import through AutoInvoice

Transaction Type = Debit Memo

Creating Debit Memos Receivables, Vision Operations (USA) (N) > Transactions > Transactions Debit memos are like invoices, but they are usually created for additional charges. You can: Enter debit memos in the Transactions window. Import debit memos through AutoInvoice. Enter debit memos in the same way as invoices, but use the Debit Memo transaction type. Debit memos cannot reference a specific invoice number. Generally, invoices should be used whenever possible.

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Process Invoices Chapter 14 - Page 69

Creating Adjustments

Creating Adjustments
Adjustment entry Approval limit $500

Validation process

Approved or Pending

Creating Adjustments Receivables, Vision Operations (USA) (N) > Transactions > Transactions Summary > (B) Adjust When you create an adjustment Receivables automatically verifies that it is within your adjustment approval limits. If within your assigned approval limit for the currency of that item, Receivables updates your customers balance to reflect the adjustment. If outside your approval limits, Oracle Receivables creates a pending adjustment with a status of Pending Approval, which will need to be approved by a higher level employee with the proper approval limit.

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Process Invoices Chapter 14 - Page 70

Guided Demonstration - Enter an Adjustment

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > Adjustment Limits 1. Enter the following information: Username: Operations Document Type: Credit Memo Reason: Discount Currency: USD From Amount: -999 To Amount: 999 (I) Save. (N) > Transactions > Transactions Summary > (I) Flashlight Find Transaction Number 10007249 or 10007284. (B) Adjust Enter the following information: Activity: Line Adjustment Type: Line Amount: -100 (I) Save.

2. 3. 4. 5. 6.

7.

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Process Invoices Chapter 14 - Page 71

Applying Different Types of Credits

Applying Different Types of Credits

Applied credit memo Credit memo Invoice

On-account credit Credit memo Customer account

Applying Different Types of Credits Receivables, Vision Operations (USA) (N) > Transactions > Credit Transactions Respond to overinvoicing with credit memos and on-account credits. Credit memos affect specific invoices; on-account credits affect customer balances. Credit memos are entered in the Credit Transactions window; On-account credits are entered in the Transactions window with the transaction class of Credit Memo. Credit memos cannot be unapplied or reversed from the invoice once they have been created; On-account credits can be moved.

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Process Invoices Chapter 14 - Page 72

Credit Memo Options

Credit Memo Options

Invoice Lines: Credit specific invoice lines. Tax only: Enter 100% in the Tax % field, or remaining tax amount in the Amount field. Freight only: Enter amount in the Freight field, or credit specific lines in the Freight window. Invoice, Tax and Freight lines: Enter amount or % in the Transaction Amounts region of the Credit Memo window.
Lines Tax Freight

Credit Memo Options Receivables, Vision Operations (USA) (N) > Transactions > Credit Transactions Use the Credit Balance button to credit 100% of the remaining invoice value. Use the Credit Lines button to credit a specific line on the invoice with the related tax if applicable. If you enter credits in the Transaction Amounts region, the tax, if applicable to that invoice, needs to be adjusted separately. Receivables does not calculate the tax in relation to the lines. Enter credit memos for a specific invoice or invoice line. You can create a credit memo against: - Open invoices. - Closed invoices. Batch credit memos to help identify data entry errors. Reference invoices with no remaining balances to refer credits back to the original invoices.
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Process Invoices Chapter 14 - Page 73

Use the Receipts window to apply these credits to other items. The transaction type of the invoice to be credited must allow over application in case of a credit memo created for an invoice with an outstanding balance of zero. Select an existing invoice in the Credit Transaction field in order to create the credit memo.

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Process Invoices Chapter 14 - Page 74

Guided Demonstration - Enter a Credit Memo

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Credit Transactions 1. 2. 3. 4. 5. Enter Transaction Number 10007145 or 10007249. Enter 50% in the Line and Tax fields of the Credit Memo Region. (I) Save (B) Complete (B) Credit Lines to review the effect on the invoice.

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Process Invoices Chapter 14 - Page 75

Practice - Create a Credit Memo

Overview
In this practice, you will enter a credit memo. The invoice entered for consulting services in the first practice should have included a 5% discount. Create a credit memo. View the credit lines.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. 2. Create a credit memo. View the credit lines and completed the credit memo.

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Process Invoices Chapter 14 - Page 76

Solution - Create a Credit Memo

Create Credit Memo 1. Navigate to the Credit Transactions window. 2. 3. 4. (N) Transactions > Credit Transactions

Find the first invoice number you entered for consulting services. (B) Find. Accept defaults that appear. Source: Manual The system will auto-generate the credit memo number.

5. 6.

Enter Reason: Discount. If the GL date doesnt default, enter todays date. Notice Balance Due on the Invoice.

7. 8.

In the Line % Field in the Credit Memo Region enter 5. (I) Save Credit Memo Number: _________________________________________

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Process Invoices Chapter 14 - Page 77

View Credit Lines 9. (B) Credit Lines

10. Review the credit memo lines to see how the system has pro-rated the credit amount. Note: 5% of each line item is calculated, not of the unit price or tax. 11. Close the Lines window. 12. Complete the Credit Memo.

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Process Invoices Chapter 14 - Page 78

Copyright Oracle Corporation, 2003. All rights reserved.

Process Invoices Chapter 14 - Page 79

On-Account Credit Options

On-Account Credit Options

Invoice Lines: Use free-form, standard memo, or inventory lines in the Transactions window. Tax only: Select a standard tax memo line, or enter a dummy credit memo line in the Credit Memo Lines region. Freight only: Select a standard memo line. Invoice, tax, and freight lines: Enter line-level credits.
Credit Memo Customer Account

On-Account Credit Options Receivables, Vision Operations (USA) (N) > Transactions > Transactions To apply a credit to a customers account rather than to an individual invoice: Enter on-account credits in the Transactions window. Select transaction class Credit Memo.

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Process Invoices Chapter 14 - Page 80

Guided Demonstration - Enter On-Account Credit

Responsibility: Receivables, Vision Operations (USA)
(N) > Transactions > Transactions 1. Enter the following: Source: Manual. Class: Credit Memo. Type: On-Account Credit Name: Business World The San Jose Ship-to and Bill-to sites as well as the payment terms and sales person default in from the Customer record. 2. 3. (B) Line Items Enter Item. Description: Rebate Qty: 1 Unit Price: -100 Tax Code: Location Close the Line Items window. (B) Complete. (M) Tools > View Accounting Review the General Ledger accounting entries.

4. 5. 6.

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Process Invoices Chapter 14 - Page 81

Reversing Sales Credits

Reversing Sales Credits

Automatically Proportionally Change with AR: Allow Update of Existing Sales Credit Profile Option
SALES CREDIT

Sales Person

Reversing Sales Credits When crediting any part of an invoice, Oracle Receivables automatically reverses sales credits assigned to the appropriate salespeople. Partial credits against sales credits default proportionately, but can be updated as long as the sum of sales credits for the line equals the original line credit amount. The AR: Allow Update of Existing Sales Credits profile option determines whether a user can update existing sales credits or if additional sales credit records need to be created to maintain an audit trail.

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Process Invoices Chapter 14 - Page 82

Creating Refunds

Creating Refunds
Create a credit memo Create a debit memo Set up customer as a supplier Use the debit memo to enter an invoice in Oracle Payables Create a payment and send to customer

Creating Refunds You must create a refund when the customer has already paid an invoice and requests money back instead of a credit. Oracle Receivables does not create checks and therefore does not complete the refund process. If Oracle Payables has been installed, you can use the features of the two systems to process refunds. You would use a clearing account to offset the Receivables account in Receivables and the Payables account in Payables. If you do not have Payables installed, create a credit memo/debit memo for accounting, and then send to your check writing system. Example: A refund for a customer who returns goods and wants a refund for $200. Enter a credit memo in Oracle Receivables to reduce revenue and create an amount due to the customer. - Debit Revenue 200 / Credit Receivables 200 Enter a debit memo in Oracle Receivables to transfer the amount owed to the customer to a clearing account.
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Process Invoices Chapter 14 - Page 83

- Debit Receivables 200 / Credit Clearing 200 Enter an invoice in Oracle Payables to clear the clearing account and create an accounts payable for the customer. - Debit Clearing 200 / Credit Payables 200 Issue a check in Oracle Payables to send the refund to the customer. - Debit Payables 200 / Credit Cash 200 Instructor Note: You can also use T-accounts to illustrate how to account for a refund.

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Process Invoices Chapter 14 - Page 84

Voiding Transactions

Voiding Transactions
Void invoices, credit memos, and on-account credits in response to invalid transactions.
Business Need
Track invoices that are incorrectly entered to determine whether this is a data entry problem or if customers are providing incorrect information. Delete transactions that are incorrectly entered.

Solution
Update the invoice status to Incomplete and assign a transaction type that has the Open Receivable and Post To GL check boxes cleared. Delete incomplete transactions from the Transactions Summary window if the Allow Invoice Deletion check box in the System Options window is selected.

Voiding Transactions Receivables, Vision Operations (USA) (N) > Transactions > Transactions If there is no activity against a transaction, and if it has not been posted to the General Ledger (GL), you can void the transaction. Changing Complete Status by clearing the Complete check box of the transaction. Updating Transaction Type: Set up a transaction type with the Open Receivables and Post to GL check boxes cleared. Assign this transaction type to the transaction that you want to void and complete the transaction. Deleting Incomplete Transactions If the system option Allow Invoice Deletion check box is selected, you can delete incomplete transactions from Oracle Receivables. Select Delete Record from the Edit menu or Delete Record icon form the toolbar to delete invoices from the Transactions Summary window. Save the record once you have deleted the transaction.
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Process Invoices Chapter 14 - Page 85

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 86

Transaction Types

Transaction Types
You use transaction types to define the accounting for the debit memos, credit memos, onaccount credits, chargebacks, commitments, invoices, and bills receivable you create in Receivables. Transaction types also determine whether your transaction entries update your customers balances and whether Receivables posts these transactions to your general ledger.

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Process Invoices Chapter 14 - Page 87

Define Transaction Types

Define Transaction Types

You should define your transaction types in the following order: credit memo transaction types invoice, debit memo, chargeback transaction types bills receivable transaction types commitment transaction types You must define your invoice transaction types before you define your commitment types.

Define Transaction Types Suggestion: To be able to void a debit memo, credit memo, onaccount credit or invoice, define a Void transaction type with Open Receivables and Post to GL set to No. Then, as long as there is no activity against the transaction and it has not been posted to your general ledger, you can make it invalid by simply changing the transaction type to Void.

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Process Invoices Chapter 14 - Page 88

Deposit Transaction Type

Deposit Transaction Type

If your transaction types class is Deposit, then complete these fields in the Deposit tabbed region of the Transaction Type window: In the Allocation Basis field, indicate how you want to apply the balance of deposits with this transaction type to transactions.
You can select Lines Only to apply deposits to invoice lines only. Or, you can select Lines, Tax and Freight to include tax and freight amounts on invoices when applying deposits to transactions.

Enter a Receivable Account for deposits with this transaction type. Enter an Offset Account for deposits with this transaction type.

Deposit Transaction Type If you set the AR: Deposit Offset Account Source profile option to Transaction Type, then Receivables uses the Offset Account that you specify here to derive the offset account for deposits. Otherwise, Receivables uses AutoAccounting to derive the deposits offset account.

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Process Invoices Chapter 14 - Page 89

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 90

Reports

Reports
Incomplete Invoices Report: A list of incomplete invoices. Invoice Exception Report: Review transactions where the Open Receivables check box is cleared and the customer balanced have not be updated.

Reports Receivables, Vision Operations (USA) (N) > Reports > Listing > (B) Single Request > (B) OK for the Incomplete Invoice Report. (N) > Reports > Accounting > (B) Single Request > (B) OK for the Invoice Exception Report.

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Process Invoices Chapter 14 - Page 91

Printing Transactions

Printing Transactions
You can print the following documents to send to customers: Invoices Credit memos Debit memos Deposits Guarantees Chargebacks Adjustments Bills Receivable

Printing Transactions Receivables, Vision Operations (USA) (N) > Print Documents > Invoices > Single Request > (B) OK Transaction documents, such as invoices and credit memos must be printed for distribution to customers. Depending on a specific statement schedule, statements and consolidated billing invoices are generated for distribution to customers. Transactions can be printed in batches or a specific range. Print the details of each tax line by setting a tax printing option, Itemize By Line, on the customers profile class. Optionally, you can elect not to print transactions.

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Process Invoices Chapter 14 - Page 92

Process for Printing Transactions

Process for Printing Transactions

Preview First

Then Print

Single Invoice

Invoice Batch

Transaction Type

Process for Printing Transactions Preview First Submit the Invoice Print Preview Report to see a list of transactions that will be printed. Select a list of transactions by specifying values for the report parameters. Then Print Print transactions by batch. Print transactions that have not been printed. Specify a range of transactions to print. Specify other parameters, such as Transaction type, class, or customer. Note: Oracle Receivables automatically prints the tax registration number defined in the system options on customer invoices. Oracle Receivables uses the tax printing option specified for the customers profile class, if entered. Otherwise, Oracle Receivables uses the option specified for the Invoice Printing System Option.

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Process Invoices Chapter 14 - Page 93

Guided Demonstration - Print Transactions

Responsibility: Receivables, Vision Operations (USA)
(N) > Print Documents > Invoices > Single Request (B) OK 1. 2. 3. 4. Select Name: Invoice Print New Invoices. Accept the default Parameters. (B) OK > (B) Submit (M) View > Requests > (B) Find > (B) View Output The output shows the invoices that are printed.

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Process Invoices Chapter 14 - Page 94

Practice - Print Transactions

Overview
In this practic you will print the invoice from the first practice. Print invoices. View printed invoices.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. 2. Print the invoice from the first practice. View the printed invoice.

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Process Invoices Chapter 14 - Page 95

Solution - Print Transactions

Print the Invoice 1. Navigation to the Print Invoices window. 2. 3. 4. (N) > Print Documents > Invoices > Single Request > (B) OK

Enter Name: Select- Invoice Print, Selected Invoices. Enter Parameters: Transaction number from first practice. (B) OK > (B) Submit > (B) No

View Printed Invoice 5. Navigate to the Requests window. 6. (N) > (M) View > Requests > (B) Find > (B) View Output

View invoice.

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Process Invoices Chapter 14 - Page 96

Copyright Oracle Corporation, 2003. All rights reserved.

Process Invoices Chapter 14 - Page 97

Using Consolidated Billing

Using Consolidated Billing

Site C Site A Site B

Consolidated Billing Invoice

Using Consolidated Billing Receivables, Vision Operations (USA) (N) > Print Documents > Consolidated Billing Invoices > Single Request > (B) OK Use the Consolidated Billing Invoice program to print a single monthly invoice that includes all of your customers transactions for that period. Customers are flagged to receive consolidated billing invoices through their customer profile class. The invoice format can be detail or summary. Both the detail and summary format presents invoice totals. The detail format lists all line items. Note: If Sales Orders with different payment terms are imported through the AutoInvoice Interface from Order Management, the invoice that are created still appear on the Consolidated Billing Statement.

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Process Invoices Chapter 14 - Page 98

Guided Demonstration - Run Consolidated Billing

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > Payment Terms 1. 2. 3. 4. 5. 6. 7. 8. 9. Enter the Name: Last Day Month. Enter Description: Due on Last Day of the Month. Select the Last Day of the Month check box. Enter Terms: 100 percent due in 30 days (I) Save. (N) > Customers > Standard Query Customer: American Telegraph and Telephone Select Bill-to site: 32 Ave of the Americas (B) Open (T) Details.

10. Enter payment terms: Last Day Month payment term. 11. (N) > Print Documents > Consolidated Billing Invoices > Single Request > (B) OK 12. Select Print New Consolidated Billing Invoices 13. Enter parameters: Cutoff Date: 01-FEB-2001. Prints all the invoices for the customers for January. Do not use 31-Jan-2001 because the program would not have included the January 31st invoices. Last Day of Month?: Yes.

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Process Invoices Chapter 14 - Page 99

Practice - Print Consolidated Billing

Overview
In this practice, you will create and use a payment term using the last day of the month option for consolidated billing invoices. Create a payment term with last day of the month option. Assign your payment term to a customer.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. 2. Create a payment term with last day of the month option. Assign your payment term to your customer

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Process Invoices Chapter 14 - Page 100

Solution - Print Consolidated Billing

Create a payment term 1. Navigate to the Payment Terms window: 2. 3. 4. 5. 6. (N) Setup > Transactions > Payment Terms

Enter the Name and Description of <XX> Last Day. Select the Last Day of the Month check box. Enter First Installment: Includes Tax and Freight Enter the terms 100 percent due to 30 days. (I) Save.

Assign Payment Term 7. Navigate to the Customers window. 8. (N) Customers > Standard

Find your customer by entering the name in the name field and (B) Find.
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Process Invoices Chapter 14 - Page 101

9.

Select the Bill To site.

10. Select the Business Purpose tab and (B) Open. 11. Select your payment term <XX> Last Day for the list of values in the Payment Terms field. 12. (I) Save.

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Process Invoices Chapter 14 - Page 102

Guided Demonstration - Correct Errors

Responsibility: Receivables, Vision Operations (USA)
(N) > Control > AutoInvoice > Interface Exceptions 1. 2. Query using Control F11 to see all the invalid records. Select the third error on this window (or other error to correct). Note the error message about Invalid Transaction Type and column reference (CUST_TRX_TYPE_ID). (B) Details. In the Interface Lines window, are several buttons, Accounting, Sales Credit, Freight, and Tax. By selecting these buttons, the related fields where corrections can be made, are displayed or add the error field to the Interface Lines window. 4. 5. 6. 7. 8. 9. Place your cursor in any fields to the right of the Interface Line Id. The Interface Line Id is not part of the folder. (M) Folder > Show Field Add the (CUST_TRX_TYPE_ID) column to correct the seeded line (or proper column for other errors.) Select 1361 WF Invoice from the list of values (or proper items if correcting other errors.) (I) Save. (B) Errors To check for other errors for this particular record. All errors for each record must be corrected. Rerun AutoInvoice Program to imported correct lines.

3.

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Process Invoices Chapter 14 - Page 103

Practice - Correct Errors

Overview
In this practice, you will query and correct AutoInvoice errors using the new AutoInvoice Exception Handling feature. Query records in the Interface Exceptions window. Correct the error in the Interface Lines window. Run AutoInvoice. View AutoInvoice Report.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. 2. 3. 4. Query records in the Interface Exceptions window. Correct the error in the Interface Lines window. Run AutoInvoice. View AutoInvoice Report.

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Process Invoices Chapter 14 - Page 104

Solution - Correct Errors

Query Records in the Interface Exceptions 1. Navigate to the Interface Exceptions window: 2. 3. 4. (N) Control > AutoInvoice > Interface Exceptions

Run the query: (K) Ctrl + F11. View the various errors. Select a record and view the error message in the Message field.

Correct the Error 5. 6. 7. Navigate to the Interface Lines window. (B) Details. Place cursor into the LINE_TYPE field and select Show Field from the Folder menu to select a corresponding field name. If for example, you are correcting the payment terms; you would select TERM_NAME from the list. Select a valid value from the list of values.
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8.

Process Invoices Chapter 14 - Page 105

9.

(B) Error. Verify that the line has not more errors. If it does, correct those errors also. Write down the Sale Order Number: __________________________

10. Save your work.

Run AutoInvoice 11. Navigate to the Run AutoInvoice window. (N) Interfaces > AutoInvoice > Single Request > (B) OK

12. Select: AutoInvoice Master Program. 13. Enter parameters: Invoice Source: Order Entry Default Date: Todays Date 14. Your Sales Order Number (so each person gets a chance to see results.) 15. (B) OK > (B) Submit The other option would be to schedule this process to run on a regular basis.

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Process Invoices Chapter 14 - Page 106

View AutoInvoice Report Navigate to the Requests window. (M) View > Requests > (B) Find > (B) View Output

The top portion of the AutoInvoice Validation Report is a summary of the AutoInvoice Exception Errors for quick reference. This report helps determine what errors need to be corrected and can be used a tool to research the errors before entering the Interface Exception window.

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Process Invoices Chapter 14 - Page 107

Copyright Oracle Corporation, 2003. All rights reserved.

Process Invoices Chapter 14 - Page 108

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 109

Event-Based Revenue Management

Event-Based Revenue Management

The Revenue Management Engine automates the timing of revenue recognition for the invoices imported via AutoInvoice. If you use eventbased revenue management, then Receivables evaluates invoices when they are imported into your system, and decides whether to immediately recognize revenue, or temporarily defer revenue to an unearned revenue account.

Event Based Revenue Management When first evaluating an invoice for revenue recognition or deferral, Receivables uses information from Credit Management to determine a customers creditworthiness, and uses contract details from your contracts solution to determine if any nonstandard contract contingencies exist.

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Process Invoices Chapter 14 - Page 110

Automated Process

Automated Process
The automated process occurs as follows: Receivables evaluates an invoice when it is first imported.
If revenue must be deferred, then Receivables does so and records the reason for the deferral.

Receivables then waits for an event that can trigger revenue recognition. When such an event occurs, Receivables automatically recognizes the appropriate amount of unearned revenue on the invoice. Events that can trigger revenue recognition fall into two categories:
Receipt application Expiration of contract contingencies

Automated Revenue Management Process This automated revenue management process helps you to comply with the strict revenue recognition requirements mandated by US GAAP and International Accounting Standards. Note: Automated revenue recognition is possible only for invoices with a batch source type of AutoInvoice. This process is not available for transactions that you manually create via the Transactions workbench or Copy Transactions window. Additionally, even if you enable this automated revenue recognition process, you can always use the Actions Wizard to manually adjust revenue.

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Process Invoices Chapter 14 - Page 111

Evaluating Invoices for EventBased Revenue Management

Evaluating Invoices for EventBased Revenue Management

The Revenue Management Engine controls the process of automatically analyzing collectibility and then making revenue recognition decisions for your imported invoices. If you enable EventBased Revenue Management, then the Revenue Management Engine decides whether to initially distribute revenue for your imported invoices to an earned or unearned revenue account.

Evaluating Invoices for EventBased Revenue Management Once this decision is made, AutoAccounting creates the actual accounting distributions, either via AutoInvoice (for invoices without rules) or via the Revenue Recognition program (for invoices with rules). The Revenue Management Engine does not analyze collectibility for invoices that are assigned deferred accounting rules. To recognize revenue for an invoice with a deferred accounting rule, use the Actions Wizard. Note: The timing of revenue recognition does not impact the timing of recognition of taxes, freight, and finance charges. Recognition of taxes, freight, and finance charges occurs when the receivable is created. Suggestion: You can query an invoice in the Transactions workbench at any time to review the invoices accounting distributions, or run the Deferred Revenue Audit Trail Report.

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Process Invoices Chapter 14 - Page 112

Collectibility Requirements for Revenue Recognition

Collectibility Requirements for Revenue Recognition

The Revenue Management Engine considers the following collectibility requirements when evaluating your imported invoices: Customer creditworthiness Absence of the following contract contingencies:
Extended payments terms Nonstandard refund policy Fiscal funding, cancellation, forfeiture, and acceptance clauses

Collectibility Requirements for Revenue Recognition If an invoice satisfies these requirements, then the Revenue Management Engine immediately recognizes revenue (for invoices without rules) or recognizes revenue according to the initially assigned accounting rules (for invoices with rules). If an invoice does not satisfy, or only partially satisfies, these requirements, then the Revenue Management Engine immediately defers revenue. The extent of the revenue deferral, and subsequent timing of revenue recognition, depends on whether the unmet collectibility requirements are related to either the header or line level of an invoice.

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Process Invoices Chapter 14 - Page 113

How Collectibility Requirements Relate to Invoices

How Collectibility Requirements Relate to Invoices

The following table indicates the invoice level that these requirements are related to:

Invoice Level

Collectibility Requirements

Header Level

Customer creditworthiness Standard payment terms

Line Level

Standard refund policy Absence of fiscal funding, cancellation, forfeiture, and acceptance clauses

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Process Invoices Chapter 14 - Page 114

Applying Receipts and EventBased Revenue Management

Applying Receipts and EventBased Revenue Management

When you apply a cash receipt to an invoice that is under collectibility analysis, Receivables analyzes the invoice to determine if deferred revenue exists. Under certain circumstances, such as noncreditworthy customers or extended payment terms, full or partial receipt application on an imported invoice can trigger automatic recognition of previously deferred revenue. In such cases, Receivables initiates the distribution of revenue in the amount of the applied receipt from an unearned revenue account to the appropriate earned revenue account.

Applying Receipts and EventBased Revenue Management If Receivables bases revenue recognition on receipt application, then the total amount of revenue that is recognized can never exceed the original amount due on the invoice line, less any applicable credit memos. If you later need to reverse a receipt after application, then Receivables automatically moves the amount of the reversed receipt back to an unearned revenue account. Note: If you are applying a receipt to an invoice with rules, but you havent yet run Revenue Recognition, then Receivables automatically runs Revenue Recognition for that invoice only.

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Process Invoices Chapter 14 - Page 115

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 116

XML Receivables Documents

XML Receivables Documents

You can use Oracle XML Gateway to send Receivables documents to your customers. XML receivables documents include invoices, debit memos, credit memos, chargebacks, and deposits. The largest proportion of XML documents transmitted to customers are customer invoices.

Invoices

Debit Memos

Chargebacks

Deposits

XML Messages XML invoice documents always use this XML message: Process Invoice: This XML message contains information for your customers invoices, debit memos, credit memos, chargebacks, and deposits. In addition, your customers can set up their systems to send this XML message back to you: Confirm Business Object Document (Confirm BOD): Your customer can send this XML message to tell you if your XML invoice document import was successful. This is the standard OAG Confirm BOD XML message.

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Process Invoices Chapter 14 - Page 117

XML Invoices Process Flow

XML Invoices Process Flow

Completed Invoice Document

Document Transfer Scheduling Program Exceptions

Waiting

XML Gateway

Started

Document Transfer Program

Transmitted

Payables Open Interface Import

Receivables Maps Payables Confirmation Messages

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Process Invoices Chapter 14 - Page 118

XML Invoices Process Flow

XML Invoices Process Flow

Exceptions Technical Errors Missing Information

Pass Payables Import Validation

Notify Sys Admin Failed Failed

Notify AR User

YES

NO

Notify Sys Admin or AR User Accepted Rejected

Resend Document? Resolve Errors No further Action

Yes (Return to Waiting )

No

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Process Invoices Chapter 14 - Page 119

Sending XML Invoice Documents

Sending XML Invoice Documents

Set up your system for XML invoice documents. Ensure that Receivables transactions exist that meet these conditions: the transaction must have a status of Complete the transaction must never have been transmitted the billto customer and billto site for the transaction must exist as an XML Gateway trading partner setup

Sending XML Invoice Documents-Other Prerequisites You must process and transfer XML invoice documents before you run the concurrent programs to print invoices. The Document Transfer program does not select receivables transactions that the Print Invoice program already printed.

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Process Invoices Chapter 14 - Page 120

Confirming the Import Status of XML Invoice Documents

Confirming the Import Status of XML Invoice Documents

Upon receipt of a confirmation message, Receivables translates the import status and reason code into the appropriate confirmation action, and updates the transmission status accordingly. For each XML invoice, the transmission status will change to either: Accepted if you receive a confirmation message with an import status of Success. Rejected if you receive a confirmation message with an import status of Failed, with an accompanying reason code.

Confirming the Import Status of XML Invoice Documents You and your customer can optionally implement any messages and activities that meet your needs. If you have set up the Process Invoice XML message for automatic receipt confirmation in XML Gateway, then when your customer receives the invoice message, the customer sends a Confirm BOD message back to your system. These messages confirm the import status of an invoice document and provide reason codes for import failures. The Oracle Payables import statuses and reason codes are mapped to confirmation actions in Receivables.

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Process Invoices Chapter 14 - Page 121

XML Invoice Documents

XML Invoice Documents

If the Oracle Payables confirmation message indicates errors, then Workflow sends a notification to the appropriate person based on the reason code: When errors are related to failed import validations, such as a missing invoice amount, the appropriate Receivables user is notified. When errors are caused by technical or transmission issues, the system administrator is notified.

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Process Invoices Chapter 14 - Page 122

Reviewing and Retransmitting XML Invoice Documents

Reviewing and Retransmitting XML Invoice Documents

You use the Document Transfer Summary page to review the transmission statuses of your XML invoice documents. From this page, you can drill down to the Document Transfer page to see transmission details and error messages. From the Document Transfer page, you can also initiate the retransmission of failed or rejected XML invoice documents.

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Process Invoices Chapter 14 - Page 123

Agenda

Agenda
Overview of invoice process Entering and completing invoices Performing other invoice actions Correcting Invoices Identifying deposit transaction types Printing transactions and statements Using event-based management Identifying XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 124

Promised Commitment Amounts

Promised Commitment Amounts

At the time of order entry, a customer can reserve some portion of an existing deposit towards payment for the order. In Order Management, you can also enter a promised amount for the freight on the order.

Reserve Commitment Balances When the order is invoiced via AutoInvoice, Order Management or another feeder system passes the promised amount to Receivables. Receivables, then adjusts the invoice and reduces the deposit balance by the lesser of the promised amount, the commitment balance, or the remaining amount due on the invoice. Depending on the deposits transaction type, you can choose to include tax and freight when applying a deposit to a transaction.

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Process Invoices Chapter 14 - Page 125

Summary

Summary
In this module, you should have learned how to: Describe the way processing invoices fits into the Receivables process Enter and complete invoices Perform other invoice actions Correct invoices Identifying deposit transaction types Print transactions and statements Use event-based management Identify XML receivables documents Demonstrate promised commitment accounts

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Process Invoices Chapter 14 - Page 126

Manual Receipts
Chapter 15

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Manual Receipts Chapter 15 - Page 1

Manual Receipts

Manual Receipts

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Manual Receipts Chapter 15 - Page 2

Objectives

Objectives
After this lesson, you should be able to: Describe the Receipt Process Apply receipts using different methods Create claims Use balance segments

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Manual Receipts Chapter 15 - Page 3

Agenda

Agenda
Overview of Receipt Process Applying receipts Working with claims Using balance segments

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Manual Receipts Chapter 15 - Page 4

Agenda

Agenda
Overview of Receipt Process Applying receipts Working with claims Using balance segments

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Manual Receipts Chapter 15 - Page 5

Oracle Receivables Overview

Oracle Receivables Overview

Create Profile Classes

Enter Customers

Create Invoices

Print Invoices

Post Receipts

Use iReceivables Perform Collections

Oracle Receivables Overview The Oracle Receivables process consist of several major steps. The Post Receipts steps will be discussed in this topic. Create Profile Classes: Defines several default values for customers with similar credit terms and invoicing requirements. Enter Customers: Creates information for the customer, defines the address for the customer, and the business purpose(s) at each address. Create Invoices: Uses AutoInvoice or manually created invoices to bill customers for goods and services. Print Invoices: Produces invoices to mail to customers. Use iReceivables: Allows customers and employees to access customer accounts on line to see the status of invoices and receipts and to request credits on line. Post Receipts: Permits posting of customer payments as they are received. Perform Collections: Enables collectors to use informational screens to perform timely and accurate collection activities.

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Manual Receipts Chapter 15 - Page 6

Overview of Receipts

Overview of Receipts
Enter receipt Apply to customer account or invoice

Update customer balance

Clear receipt

Reconcile bank statement

Overview of Receipts You can handle a receipt from a customer in several ways, depending on the amount of the receipt and total amount owed by the customer. A customer may pay: - Full amount due for a specific invoice or group of invoices. - Partial payment on a specified invoice. - Payment on the remaining balance in an account. - Overpay on account creating an on-account credit. If the customer does not provide clear and sufficient information, you may not be able to accurately identify the customer and properly apply the receipt.

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Manual Receipts Chapter 15 - Page 7

Receipt Creation

Receipt Creation
Receipts are created in one of three ways:

Manual receipts Cash Miscellaneous

QuickCash receipts Cash AutoLockbox

Automatic receipts Credit Cards Bills of Exchange Direct Debits Prepayments

Receipt Creation Receipts are created in one of three ways: Manual Receipts: Cash and Miscellaneous receipts can be manually applied to transactions or customer accounts. The Manual Receipt entry method provides more control over the application of individual receipts to specific items. QuickCash Receipts: Cash and AutoLockbox receipts can be applied using QuickCash receipts. Use this method when you need to enter and apply receipts quickly, because it only requires a minimal amount of information for each receipt and application. Also, QuickCash provides an extra level of control for entering high volume receipts because it does not immediately affect your customers account balance. Permits using AutoCash rules, placing receipts on-account and enter them as unidentified or unapplied. Automatic Receipts: Credit Cards, Bills of Exchange, and Direct Debits can all use Automatic Receipts to automatically generate receipts for customers with whom you have predefined agreements. These agreements let you collect payments on time by transferring funds from the customer's bank account to yours on the receipt maturity date. Prepayments require Oracle Order Management. For more information, refer to the

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Manual Receipts Chapter 15 - Page 8

Oracle Receivables User Guide or 11i Order to Cash Advanced Topic on Automatic Receipts.

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Manual Receipts Chapter 15 - Page 9

Cash Receipt Statuses

Cash Receipt Statuses

Confirmed

Remitted

Cleared

Approved

Reversed

Cash Receipt Statuses Five receipt statuses are available: Approved: This receipt has been approved for automatic receipt creation. This status is only valid for automatic receipts. Confirmed: For manually entered receipts, this status indicates the receipt belongs to a receipt class that requires remittance. For automatic receipts, this status indicates the receipt has been confirmed. Remitted: This receipt has been remitted. This status is valid for both automatic and manually entered receipts. Cleared: The payment of this receipt was transferred to your bank account and the bank statement has been reconciled within Receivables. This status is valid for both automatic and manually entered receipts. Reversed: This receipt has been reversed. You can reverse a receipt when your customer stops payment on a receipt, if a receipt comes from an account with nonsufficient funds, or if you want to re-enter and reapply it in Receivables. You can reverse cash receipts and miscellaneous transactions.

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Manual Receipts Chapter 15 - Page 10

Manual Receipt Entry Process

Manual Receipt Entry Process

Create a batch Enter receipts Apply receipts

Post to GL Enter chargebacks and adjustments

Remit receipts

Manual Receipt Entry Process Use the Receipts or Receipts Batches windows to begin the manual entry process. Create a Batch: (Optional) Receipts are entered in batches or groups. Batches provide the ability to: - View the difference between control and actual counts and amounts. - Group related receipts together that share the same default attributes. - Manage the time consuming task of data entry. - Note: Batches are optional for Cash Receipts, but required for QuickCash receipts. Enter Receipts: Enter each receipt individually or in batches. Apply Receipts: Apply receipts to transactions or on-account. Enter Chargeback and Adjustments: Create adjustments and chargebaceks against transaction to which you are applying a receipt. Post to GL (General Ledger): Transfer the receipt transaction accounting to the General Ledger for recording. Remit Receipts: Remit receipts to collect funds from Customer accounts.

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Manual Receipts Chapter 15 - Page 11

Manual Receipt Types

Manual Receipt Types

Manual Receipts Cash Miscellaneous

QuickCash Receipts Cash

Manual Receipt Types Receivables, Vision Operations (USA) (N) > Receipts > Receipts Manual Receipts: Provides more control over the application of individual receipts. In the Receipts window, you can enter a receipt, specify the customer, reverse a receipt, and apply a receipt to one or many invoices using mass apply. Receipt Types are Cash or Miscellaneous. Cash Receipts: Payment (such as cash or a check) that you receive from your customers for goods or services. Account balances are updated as soon as the receipts are saved. Miscellaneous Receipts: Non-invoice related revenue earned from investments, interest, refunds, and stock sales. Receivables Activities determine the accounting for these transactions. Receivables, Vision Operations (USA) (N) > Receipts > Batches > Manual-Quick QuickCash Receipts: Posts receipts and updates account balances after running the Post QuickCash program rather than when the information is entered. Requires Batching.

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Manual Receipts Chapter 15 - Page 12

Cash Receipts: Payments, entered in batches, that you receive from your customers for goods or services.

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Manual Receipts Chapter 15 - Page 13

Manual Receipts Versus QuickCash Receipts

Manual Receipts Versus QuickCash Receipts

Manual Receipts
Apply receipts using the Applications or Mass Apply windows. Post receipts information after applying receipts. Enter GL Date and Deposit Date at batch level and change dates at receipt level. Create adjustments and chargebacks for debit items with applied receipts.

QuickCash Receipts
Apply receipts using QuickCash window and AutoCash rules. Post receipts after running the Post QuickCash program. Enter GL Date and Deposit Date at batch level and change dates at receipt level. Create adjustments or chargebacks after Post QuickCash is run.

Manual Receipts Versus QuickCash Receipts Another difference between Manual Receipts and QuickCash Receipts is that manual receipts update a customers balance, while QuickCash receipts do not immediately affect a customers balance. After reviewing a QuickCash batch for accuracy, you must run Post QuickCash to update your customer's account balances.

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Manual Receipts Chapter 15 - Page 14

Guided Demostration - Enter Manual Receipts

Responsibility: Receivables, Vision Operations (USA)
(N) > Receipts > Receipts 1. 2. 3. 4. 5. 6. 7. 8. 9. Receipt Number: Demo-CK01 Receipt Type: Select Cash from the LOV Receipt Amount: $4,500.00 Payment Method: Check BofA Customer Name: Enter Your Standard Customer (I) Save Select the New Icon and enter a second check (Demo-CK02) for $8,200.00 on the same customer (I) Save Select the New icon and enter a third check in Canadian Dollars. Select CAD in the current field for (DEMO-CK03) for 11,050.00 on the same customer.

10. (I) Save.

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Manual Receipts Chapter 15 - Page 15

Practice - Enter Manual Receipts

Overview
In this practice you will enter manual receipts.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use Responsibility: Receivables, Vision Operations (USA).

Tasks
1. Enter manual receipts.

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Manual Receipts Chapter 15 - Page 16

Solution - Enter Manual Receipts

Enter Manual Receipts
(N) > Receipts > Receipts 1. 2. Receipt Number: Your Initials-CK01. Receipt Type: Select Cash from the LOV.

11. Receipt Amount: $4,500.00. 12. Payment Method: Check - BofA. 13. Customer Name: Enter Your Standard Customer. 14. (I) Save.

15. Select the New Icon to enter a second check. 16. Receipt Number: Your Initials-CK02. 17. Receipt Type: Cash.

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Manual Receipts Chapter 15 - Page 17

18. Receipt Amount: $8,200.00. 19. Payment Method: Check - BofA. 20. Customer Name: Enter Your Standard Customer. 21. (I) Save.

22. Select the New Icon to enter a third check 23. Receipt Number: Your Initials-CK03 24. Receipt Type: Cash 25. Receipt Amount: 11,050.00 26. Payment Method: Check - BofA. 27. Customer Name: Enter Your Standard Customer 28. (I) Save

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Manual Receipts Chapter 15 - Page 18

Copyright Oracle Corporation, 2003. All rights reserved.

Manual Receipts Chapter 15 - Page 19

Creating Batches

Creating Batches
Receipt Class

Payment Method

Deposit Date

Lockbox

Apply Date

GL Date

Creating Batches Receivables, Vision Operations (USA) (N) > Receipts > Batches Use batches to eliminate repetitive data entry by creating default batch-level information. Define the following default values for a group of receipts: - Receipt class: Determines the stages involved in receipt to cash cycles. These stages involved confirmation, remittance, and reconciliation. - Payment method: Provides accounting flexfield and bank account defaults. - Deposit date: Default Batch Date and Deposit Date are the current date but can be changed. - GL date: Default GL date is the day of the most recent open period but can be changed to any open or future enterable period. - Apply date: Date the receipt is applied. You can change default values for specific receipts, if necessary.

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Manual Receipts Chapter 15 - Page 20

Validating Receipts in Batches

Validating Receipts in Batches

Enter a Control Count and Amount

Enter Receipts

15 Receipts $10,000

13 Receipts $10,000

Validating Receipts in Batches One of the advantages of batching is the ability to validate that the receipts entered tie to the control total. The process is: Enter the receipt count and the total receipt amount for the batch. The actual count and amount is updated as each receipt is entered. Difference between control count, amount, and actual count and amount indicate potential data-entry errors.

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Manual Receipts Chapter 15 - Page 21

Batch Statuses

Batch Statuses
Status New Description Creating a new batch. The status of the batch changes to Out of Balance, Open, or Closed when receipts are saved for the first time. Actual count and amount of receipts do not match the control count and amount. Actual count and amount match the control count and amount, but the batch includes unapplied or unidentified receipts. Actual count and amount match the control count and amount. All receipts have been identified and applied to invoices or applied on account.

Out of Balance

Open

Closed

Batch Statuses A batch has a status that indicates whether it is complete. Receivables automatically updates the batch status of a receipt batch when you add new or apply existing receipts in the batch.

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Manual Receipts Chapter 15 - Page 22

Guided Demonstration - Create Receipt Batch

Responsibility: Receivables, Vision Operations (USA)
(N) > Receipts > Batches 1. 2. Batch Type: Manual-Regular Batch Source: Hand Deposit - BofA (Receipt Class, Payment Method, Bank Name and Number will Default in automatically)

29. Control Totals: Count - 2, Amount - 15,400.00 30. Select the (B) Receipts 31. Receipt Number: Demo-CK04 32. Receipt Type: Cash 33. Currency: USD 34. Receipt Amount: 11,050.00 35. Select Your Standard Customer 36. Select the New Icon and enter a second check (Demo-CK05) for 4,350.00 but do not select a customer 37. (I) Save (Close the receipt window and review the batch totals.) Note the Unidentified amount for CK05.

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Manual Receipts Chapter 15 - Page 23

Agenda

Agenda
Overview of Receipt Process Applying receipts Working with claims Using balance segments

Copyright Oracle Corporation, 2003. All rights reserved.

Manual Receipts Chapter 15 - Page 24

Applying Batch Receipts

Applying Batch Receipts

$4,000 Multiple invoices

$1,000 Receipt batch control: 3 receipts, $10,000 Single invoice

$5,000

On-account

Applying Batch Receipts When you enter receipts and applications in a QuickCash batch or import them using AutoLockbox, Receivables stores the data in an interim table. QuickCash lets you apply your receipts to one or many transactions, use AutoCash rules, place receipts on-account, or enter them as unidentified or unapplied. Use the QuickCash window to review receipts and ensure that application information is correct. Run Post QuickCash to update the customer's account balances. Note: If you do not identify the customer for a receipt, Receivables automatically assigns the receipt a status of Unidentified.

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Manual Receipts Chapter 15 - Page 25

Applying Receipts to an Invoice

Applying Receipts to an Invoice

$100 invoice Fully applied

$80 Invoice Customer Pays $100

$80 Applied

$20 Unapplied On-account No Invoice

Unidentified customer

Applying Receipts to an Invoice Use the Applications or Mass Apply windows to apply your receipts or on-account credits. Apply receipts to multiple invoices, single invoice, or on-account. Apply a receipt to open debit items to reduce the outstanding balance. Control who can create adjustments and chargebacks with the profile option AR: CashAllow Actions. In the Application Summary tabbed region of the Receipts window, receipts are shown as: Applied: Receipt is matched to a transaction. On-Account: The amount of the receipt is put on the customers account and may be applied later. Unapplied: Receipt has not been applied to a transaction. Unidentified: Customer for this receipt has not been identified. Note: Partially applied receipts will have a status of unapplied until they are fully applied.

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Manual Receipts Chapter 15 - Page 26

Applications Window

Applications Window
Different Currencies

Apply to Invoices

Pounds

Yen

Adjustments & Write offs

Cash On Account

Apply Discounts

Chargeback

Applications Window Receivables, Vision Operations (USA) (N) > Receipts > Receipts > (B) Applications In the Applications window, you can: Apply a receipt to many invoices or put cash on account. Apply a receipt to an invoice in a different currency. Create an adjustment to write off a transaction balance or unapplied receipt balances. Create a chargeback to create a new transaction for the balance of a transaction. Apply discounts. Refund all or part of a previously remitted credit card receipt. Put invoice related short payments or non-invoice related over payments or short payments into claim investigation. Note: When you create a claim for an invoice, Receivables places the related invoice in dispute until the claim is resolved. (only for users of Oracle Marketing Onlines Trade management functionality.)

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Manual Receipts Chapter 15 - Page 27

Guided Demonstration - Apply Receipts

Responsibility: Receivables, Vision Operations (USA) (N) > Receipts > Receipts
1. Use Query (F11) to retrieve Demo-CK01 2. Select the (B) Applications 3. Place your cursor in the Transaction Number field and choose a transaction number from the LOV to apply against 4. Select the Apply Check Box 5. (I) Save

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Manual Receipts Chapter 15 - Page 28

Practice - Apply Receipt

Overview
In this practice you will apply receipts.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use Responsibility: Receivables, Vision Operations (USA).

Tasks
1. Apply Receipt.

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Manual Receipts Chapter 15 - Page 29

Solution - Apply Receipt

Apply Receipt
(N) > Receipts > Receipts 1. 2. Use (F11) to Query your first Receipt (Your Initials-CK01). Select the (B) Applications.

38. Place your cursor in the Transaction Number field and choose a transaction number from the LOV to apply against. 39. Select the Apply Check Box. 40. (I) Save.

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Manual Receipts Chapter 15 - Page 30

Criteria for Mass Applying Receipts

Criteria for Mass Applying Receipts

Sort Criterion
Balance Due

Business Need
Apply receipts to transactions based on the balance due. To pay the largest balances first, use descending order. Apply receipts based on due date. To pay the oldest balances first, use ascending order. Apply receipts in FIFO or LIFO order by sorting on invoice date and using ascending or descending order, respectively. Use invoice numbers, if they follow a meaningful pattern. For example, if invoices are numbered sequentially, sort invoices by number to ensure that the oldest invoice is paid first.

Due Date

Invoice Date

Invoice Number

Criteria For Mass Applying Receipts Receivables, Vision Operations (USA) (N) > Receipts > Receipts > (B) Mass Apply In the Mass Apply window, receipts can be applied en masse based on certain sort criteria. When using the Mass Apply window: Apply a receipt to open debit items automatically. Apply receipts based on the criteria you specify. Review receipts before applying them or apply the receipts automatically.

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Manual Receipts Chapter 15 - Page 31

Guided Demonstration - Use Mass Apply

Responsibility: Receivables, Vision Operations (USA)
(N) > Receipts > Receipts 1. 2. 3. 4. 5. Use Query (F11) to retrieve Demo-CK02 Select the (B) Mass Apply Select Balance Due in the Primary Sort Criteria field by Ascending order Choose the (B) Apply (I) Save

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Manual Receipts Chapter 15 - Page 32

Practice - Use Mass Apply

Overview
In this practice you will use mass apply.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Replace XX with the characters or numbers given by your instructor. Use Responsibility: Receivables, Vision Operations (USA).

Tasks
1. Create a receipt for mass apply.

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Manual Receipts Chapter 15 - Page 33

Solution Use Mass Apply

Mass Apply a Receipt
(N) > Receipts > Receipts 1. 2. 3. 4. 5. Use (F11) to Query your second Receipt (Your Initials-CK02). Select the (B) Mass Apply. Select Balance Due in the Primary Sort Criteria field by Ascending order. Choose the (B) Apply. Save.

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Manual Receipts Chapter 15 - Page 34

Applying Cross Currency Receipts

Applying Cross Currency Receipts

Invoice currency BEF

Receipt currency EUR

Manual or QuickCash

Applying Cross Currency Receipts Receivables, Vision Operations (USA) (N) > Receipts > Receipts > (B) Applications Customers may pay for transactions with a currency that is different from the currency on the transaction. Note: For clients that are upgrading from previous release, the AR: Enable Cross Currency profile option is now obsolete. Receivables will now operate as if this option is set to Yes.

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Manual Receipts Chapter 15 - Page 35

Guided Demonstration - Apply Cross Currency Receipt

Responsibility: Receivables, Vision Operations (USA)
(N) > Receipts > Receipts 1. Use Query (F11) to retrieve Demo-CK03 2. Select the (B) Applications 3. Place your cursor in the Transaction Number field and choose a transaction number from the LOV to apply against 4. Select the Apply Check Box (Note the Gain/Loss for this Cross Currency Receipt) 5. (I) Save

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Manual Receipts Chapter 15 - Page 36

Entering Discounts

Entering Discounts

Earned Discount

Unearned and Partial Discount

Automatically Calculated

Entered Manually

Entering Discounts You can review the Earned and Unearned discounts on the debit items to which this receipt was applied. Earned discounts are automatically calculated according to the payment terms on the transaction. Unearned and partial discounts are entered manually. Use system options, customer profiles, and payment terms to control discount calculation. Use the maximum discount column to view the amount of allowable discount. The largest Unearned discount a customer can take is the best Earned discount ever available for the invoice.

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Manual Receipts Chapter 15 - Page 37

Agenda

Agenda
Overview of Receipt Process Applying receipts Working with claims Using balance segments

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Manual Receipts Chapter 15 - Page 38

Chargebacks and Adjustments

Chargebacks and Adjustments

Receivables lets you create adjustments and chargebacks against transactions to which you are applying a receipt. You use chargebacks to create a new debit item for your customer when closing an existing debit item.
Customer

Closed debit

New debit charge

Chargebacks Against Receipts Receivables also lets you create chargebacks against receipts. You use the Receipt Applications window to manually create a chargeback against a receipt. Note: When you save the application in the Applications window, the claim is created in Trade Management, and the claim number is passed to Receivables.

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Manual Receipts Chapter 15 - Page 39

Chargebacks and Adjustments against Transactions

Chargebacks and Adjustments against Transactions

You can create multiple chargebacks and adjustments against each transaction, for positive or negative amounts. Receivables lets you enter a chargeback against a credit memo or an onaccount credit if they have a positive balance.

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Manual Receipts Chapter 15 - Page 40

Chargebacks against Receipts

Chargebacks against Receipts

You use the Receipt Applications window to manually create a chargeback against a receipt.

Chargebacks against Receipts in Trade Management Note: Oracle Trade Management is a separate product that is being integrated with Receivables to enable functionality with claims. If you use Trade Management to track your customers short payments and over payments (claims) on receipts, then these claims are automatically passed to Trade Management for claim tracking, analysis, and resolution. If a chargeback is required to resolve a claim, then the chargeback is created directly in Trade Management: To resolve an invalid invoice related claim, the Trade Management user can create a chargeback against the related transaction. To resolve an invalid noninvoice related claim (for a short payment), however, there is no related transaction to create the chargeback against. Instead, the Trade Management user can create a chargeback against the receipt that held the claim. A chargeback against a receipt brings the Unresolved Claims total closer to zero and increases the Applied total for the receipt.

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Manual Receipts Chapter 15 - Page 41

Creating a Chargeback

Creating a Chargeback
Receivables requires that you automatically number your chargebacks. The base number for your chargeback numbering sequences is determined when you install Oracle Receivables.

Creating a Chargeback against a Receipt Note: If you have Trade Management installed, then the Trade Management user, not the Receivables user, will create these transactions to resolve invalid noninvoice related claims.

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Manual Receipts Chapter 15 - Page 42

Working with Claims

Working with Claims

Your customers can communicate disputes with you in a number of ways. One option is via their remittances. For example, on a receipt, a customer might include short payments (deductions) or over payments due to promotional deals, short shipments, damages, and so on. If the remittance advice does not supply you with supporting details, such as an onaccount credit memo number or promotional code, then additional research may be required to determine if the discrepancies between the billed amount and the paid amount are warranted.
Working with Claims Oracle Applications treats these short payments and over payments as claims. Receivables integrates with Oracle Marketing Onlines Trade Management functionality to let you manage these claim requests. When you create a claim in Receivables, Receivables automatically passes the claim to Trade Management for further research. Trade Management assigns a claim number and the claim investigation process can begin. After a claims validity is determined, the claim can be resolved directly from Trade Management without any manual intervention by a Receivables user. In certain instances, however, claim resolution must occur directly in Receivables. In those cases, Trade Management sends settlement instructions to Receivables via Workflow notifications.

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Manual Receipts Chapter 15 - Page 43

Creating Claims

Creating Claims
You create claims when manually entering receipts in the Applications window. Claims can be either: invoice related noninvoice related

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Manual Receipts Chapter 15 - Page 44

Resolving Claims

Resolving Claims
After research on a claim is completed and its validity determined, the claim can be resolved directly from Trade Management. In cases where a Trade Management user cannot resolve a claim directly, however, Workflow notifications alert you that the claim should be resolved in Receivables. Your resolution options differ depending on the type of claim and its validity.

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Manual Receipts Chapter 15 - Page 45

Resolving Invoice Related Claims

Resolving Invoice Related Claims

The following resolutions occur directly in Trade Management. For valid invoice related claims, you can:
Credit the transaction Create an onaccount credit memo

For invalid invoice related claims, you can:

Create a chargeback against the transaction

For both valid and invalid invoice related claims, you can:
Write off the remaining amount on the transaction

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Manual Receipts Chapter 15 - Page 46

Resolving NonInvoice Related Claims

Resolving NonInvoice Related Claims

All resolutions require the unapplication of the Claim Investigation application and the reapplication of the claim amount to either a new transaction or to a special application type (either Chargeback or Receipt Writeoff).

Resolving NonInvoice Related Claims The following resolutions occur directly in Trade Management. For valid noninvoice related claims, you can: Create an onaccount credit memo (for a short payment) Apply an existing credit memo (for a short payment) Create an onaccount credit cash application line (for an over payment) Create a debit memo (for an over payment) Apply an existing debit memo (for an over payment) For invalid noninvoice related claims, you can: Enter a chargeback on the receipt (for a short payment) For both valid and invalid noninvoice related claims, you can: Write off the remaining amount on the receipt (for an over payment). The following resolution must be manually completed in Receivables. For invalid noninvoice related claims, you can: Create a writeoff adjustment (for a short payment)
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Manual Receipts Chapter 15 - Page 47

Resolving a Split Claim

Resolving a Split Claim

Trade Management users have the flexibility to split an existing claim into two or more separate claims. A split claim might be required, for example, if a claim were to be resolved by two separate means: 1/2 valid and 1/2 invalid. When a claim is split in Trade Management, however, claim information is not immediately updated in Receivables. Claim information is automatically updated in Receivables when one of the claims is resolved directly from Trade Management.

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Manual Receipts Chapter 15 - Page 48

Resolving a Split Claim

Resolving a Split Claim

For example, an originating noninvoice related claim has a reference number of #104 and a claim amount of $1,000. This table illustrates what the Trade Management user sees if the claim is split into three separate claims:
Claim Description Claim # 104 Claim # 104-1 Claim # 104-2 Claim Amount $400.00 $250.00 $350.00

Resolving Split Claims Example In Receivables, however, you will still see the original claim #104 for $1,000 until one of the claims is resolved. When Claim 1042 is resolved, Receivables unapplies the Claim Investigation application for $1,000, enters the resolution for claim 1042, and creates two new claim investigation applications: claims #104 and #1041. If you were splitting the claim into two different amounts, 400 and 600, then it will close claim 104 and open 104-1 and 104-2.

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Manual Receipts Chapter 15 - Page 49

Agenda

Agenda
Overview of Receipt Process Applying receipts Working with claims Using balance segments

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Manual Receipts Chapter 15 - Page 50

Balance Segments

Balance Segments
Receivables uses the Account Generator to update the balancing segment values during various accounting activities against transactions and receipts. By matching the balancing segments for different accounting activities back to the original transaction or receipt, the Account Generator ensures that Receivables uses the correct balancing segment values during this substitution process.

Using the Account Generator For example, if an invoices balancing segment that you assess finance charges for has a value of 01 and the balancing segment of your finance charges account is 02, when Receivables accrues finance charges for this invoice, the Account Generator automatically changes the balancing segment of the finance charges account to 01. The Account Generator in Receivables utilizes Oracle Workflow. You can view and customize Account Generator processes through the Oracle Workflow Builder. To modify the default setup using Oracle Workflow (for example, to use a different balancing segment for either the finance charges or Receivables account).

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Manual Receipts Chapter 15 - Page 51

Deriving Balancing Segment Values

Deriving Balancing Segment Values

For transactionrelated activities such as adjustments and discounts: Receivables derives the balancing segment value from the receivable account that is associated with the transaction. For receiptrelated activities such as receipt writeoff activity: Receivables derives the balancing segment from the Unapplied Cash account that is associated with the payment method bank account.

Deriving Balancing Segment Values Note: Receivables does not substitute the balancing segment for miscellaneous cash, bank errors, or commitments (deposits and guarantees).

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Manual Receipts Chapter 15 - Page 52

Disabling the Balancing Segment Substitution Process for Activities

Disabling the Balancing Segment Substitution Process for Activities

Optionally, you may use the AR: Disable Receivable Activity Balancing Segment Substitution profile option to disable balancing segment substitution for receivable activities. This profile option does not affect the gain, loss, and rounding accounts that you define at the system options level.

Disabling the Balancing Segment Substitution Process for Activities If you disable balancing segment substitution for activities, then you must define a suspense account in the event that your activities and original transactions do not post to the same balancing segment value. Otherwise, the transfer to General Ledger will not succeed.

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Manual Receipts Chapter 15 - Page 53

AR: Disable Receivable Activity Balancing Segment Substitution

AR: Disable Receivable Activity Balancing Segment Substitution

The AR: Disable Receivable Activity Balancing Segment Substitution profile option impacts these activities: Adjustments Discounts (earned and unearned) Finance charges Activity applications (such as receipt writeoff activity, short term debt, and claims investigation)

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Manual Receipts Chapter 15 - Page 54

Summary

Summary
In this module, you should have learned how to: Describe the Receipt Process Apply receipts using different methods Create claims Use balance segments

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Manual Receipts Chapter 15 - Page 55

Copyright Oracle Corporation, 2003. All rights reserved.

Manual Receipts Chapter 15 - Page 56

Tax Accounting Process

Chapter 16

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Tax Accounting Process Chapter 16 - Page 1

Tax Accounting Process

Tax Accounting Process

Copyright Oracle Corporation, 2003. All rights reserved.

Tax Accounting Process Chapter 16 - Page 2

Objectives

Objectives

After completing this module, you should be able to do the following: Overview of the Tax Accounting Process Define General Tax Setup Steps Enter Tax Adjustments Explain Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 3

Agenda

Agenda
Overview of the Tax Accounting Process Defining Generic Tax Setup Steps Entering Tax Adjustments Explaining Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 4

Order Management Global Taxes Overview

Order Management Global Taxes Overview

Tax Group Tax Code Items Customers Sites

Options, Controls, and Defaults

Sales Order with Tax Estimate

Order Management Global Taxes Overview This diagram is an overview of the tax process in Oracle Order Management. Tax Codes and Tax Groups are assigned to items, customers, and sites, then use defaults and other setup options to enter a tax estimate on the sales order.. Implement global taxes for each operating unit. Use the same setup steps in both Order Management and Receivables. Assign tax codes to customers. Estimate tax for orders at the time of order entry. Define US Sales tax calculation based on customer ship-to address. For Order Management and Receivables, you can enter either a Tax Code or a Tax Group in the Tax Code field (for example, in the Customers - Standard window).

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Tax Accounting Process Chapter 16 - Page 5

Receivables Global Tax Overview

Receivables Global Tax Overview

Tax Group Tax Code Revenue Account Items Customers Sites

Options, Controls, and Defaults

Transaction with Tax Distributions

Receivables Global Tax Overview This diagram is an overview of the tax process in Oracle Receivables. Tax Codes and Tax Groups are assigned to items, customers, and sites, or revenue account, then use defaults and other setup options to default to the transaction to enable tax calculation. The main differences is tax estimations are created in Order Management versus the tax calculations created in Oracle Receivables.

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Tax Accounting Process Chapter 16 - Page 6

Other Products

Other Products

CRM Applications

Order Capture

Tax Engine

Order Management

Projects & Order Management

AutoAccounting

Invoices

Other Products Tax calculation can involve other products, such as Oracle Projects and Oracle Order Capture. Certain Customer Relationship Management (CRM) products use Order Capture to call the Tax Engine and interface into Oracle Order Management. AutoInvoice involves calling the Tax Engine and then AutoAccounting to create the General Ledger account numbers when importing information from Order Management or Projects to create invoices.

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Tax Accounting Process Chapter 16 - Page 7

Global Tax Overview

Global Tax Overview

Value Added Tax (VAT)

Sales Tax

Global Tax Overview With country specific setups, the Order to Cash process can be automated and enable Receivables to control all the tax calculations, accounting, and reporting. Value Added Tax (VAT) - Imposed on the value added to goods or services at each stage of their supply. Goods and Services Tax (GST) - Sales tax levied on many consumer products and professional services. Latin America - The Latin Tax Engine is an Oracle Global Financials feature used to meet special tax needs in Latin American countries. Canada - Goods and Services Tax (GST), Harmonized Sales Tax (HST), and Provincial Sales Tax (PST) are sales taxes at the federal or provincial level. Japan - Consumption tax is VAT paid on an expense (input tax) that is recoverable against the VAT charged on revenue (output tax). Norway - Investment tax applies to certain items that are purchased for use or consumption by a VAT-registered entity.

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Tax Accounting Process Chapter 16 - Page 8

Spain - Recargo de Equivalencia is a special VAT, levied on goods and services, that smaller customers pay on their purchase invoices in addition to standard VAT to simplify their tax reporting.

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Tax Accounting Process Chapter 16 - Page 9

Tax Overview

Tax Overview

Input Tax

Output Tax

Tax paid out on supplier invoices

Tax collected on customer invoices

Amount Due to Tax Authority = Output Tax - Recoverable Input Tax

Tax Overview Oracle Order Management and Oracle Receivables process Output Tax, which is charged on the supply of taxable goods and services, for example, on customer invoices or revenue items. You should report Output Tax whenever you account for sales. Oracle Payables and Oracle Purchasing process Input Tax, which is paid on supplier invoices. Input tax: What you pay your tax authority via supplier invoices. Output tax: What you receive from customers and then pay to your tax authority. Amount Due to the Tax Authority consists of Output Tax on customers invoices minus any Recoverable Input Tax on supplier invoices.

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Tax Accounting Process Chapter 16 - Page 10

Value Added Tax Overview

Value Added Tax Overview

.50 1.00

.25 .50

VAT TAX = .50 + 1.00 + .25 + .50

Value Added Tax Overview Value Added Tax (VAT) is imposed on the supply of goods and services paid for by the consumer, but collected at each stage of the production and distribution chain. The VAT charged on a customer invoice is called Output Tax. Any VAT paid on a vender invoice is called Input Tax. The amount due each period can be described as follows: Amount Due = Output Tax Input Tax.

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Tax Accounting Process Chapter 16 - Page 11

US Sales Tax Overview

US Sales Tax Overview

Customer pays supplier cost of item plus sales tax $10 sales tax

$100 item + $10 sales tax

State collects sales tax Supplier remits sales tax to state tax authority

US Sales Tax Overview In general, the following are the series of steps in the US Sales tax cycle. The amount that the customer pays a supplier includes US Sales tax, if applicable. The supplier is responsible for remitting the sales tax to the state tax authority. Sales tax may not be applicable if the product is not taxable in the relevant tax jurisdiction. The state and local tax jurisdictions collect sales tax from suppliers.

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Tax Accounting Process Chapter 16 - Page 12

US Sales Tax Example

US Sales Tax Example

Based on customers ship-to address:

Structure

State.County.City + Zip Code

Locations

IL.Cook.Chicago + 60601 3% 2% 1.5% = 6.5%

Tax Rates

US Sales Tax Example Receivables determines sales tax based on a customers ship to address by using the Sales Tax Location Flexfield structure. Every segment in the Sales Tax Location Flexfield is mandatory during entry of you customer address for this process to function properly. The tax calculation process can be integrated with a tax partner. A tax partner is a third party product that Oracle Applications integrates with to calculate and report state and local United States (US) Sales tax. Tax partners include Taxware and Vertex. Note: If you are implementing a VAT system and do not wish to calculate tax nor validate addresses, you can select the No Validation Country Sales Tax Location Flexfield structure which requires that only the country is entered. In this case, Receivables derives the default country from the Default Country system option. You may also implement Flexible Address Formats for country specific validation of customer address information.

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Tax Accounting Process Chapter 16 - Page 13

Tax Partner Process Overview

Tax Partner Process Overview

Tax Information Oracle Receivables Tax Tables

Vertex or Taxware

Tax Partner

Tax Rate Tax Amount AutoAccounting

Tax Partner Process Overview The United States (US) Tax Partner Solutions let you provide for complex tax calculation needs while retaining the full power of Receivables to create and store all other tax data. Receivables will use this information to create the appropriate tax line(s) and related accounting information. Tax information stored in Receivables tax tables passes to the tax partner. The Tax Partner Solution is called whenever a tax rate is calculated by the Receivables Tax Engine. The Tax Partner returns a tax rate and tax amount for every invoice line. AutoAccounting then generates account distribution tax lines based on the tax information that the Tax Partner returned. Oracle integrates with these partner products: Taxware Sales Use Tax System (PLSQL) Vertex Quantum for US Sales & Use Tax (PLSQL) Note: The integration supports US Sales tax only. Beginning with Oracle Release 11.5.7, Taxware and Vertex software is bundled with Oracle Applications.
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Tax Accounting Process Chapter 16 - Page 14

For customers who are using Oracle Applications prior to 11.5.7, you can apply patch number 1907271. Tax partners integrate with: Oracle Receivables Oracle Order Management Oracle Order Capture Oracle iStore Oracle Sales

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Tax Accounting Process Chapter 16 - Page 15

Other Taxes in Oracle Applications

Other Taxes in Oracle Applications

Recoverable and Non-Recoverable Input Taxes EU Acquisition and Reverse Charge Taxes Deferred Output Taxes Withholding Taxes Goods and Service Tax Canadian Government, Provincial, and Harmonized Sales Tax Sales Equalization Taxes Investment Taxes Excise Duties Latin and South American Tax regimes

Oracle Applications supports other types of tax: Recoverable and Non-Recoverable Input Taxes: See Oracle Purchasing or Payables User Guides. EU Acquisition and Reverse Charge Taxes Deferred Output Taxes: Used in countries that allow deferring recognition of tax until payment of invoices. Withholding Taxes: Used in Oracle Payables to withholding taxes from suppliers in compliance with IRS or local authorities orders. Goods and Service Tax: Sales tax levied on many consumer products and professional services. Canadian Government, Provincial, and Harmonized Sales Tax Sales Equalization Taxes Investment Taxes Excise Duties Latin and South American Tax regimes: Brazilian ICMS, IPI, Tributary Substitutions; Argentine VAT Perception, Turnover Perception; Colombian VAT.
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Tax Accounting Process Chapter 16 - Page 16

For countries such as France, Italy, and Russia, Oracle Receivables supports deferral of Output Tax liability until payment has been collected. For cross border drop shipments within Europe, Oracle Receivables/Order Management/Order Capture support automatic defaulting of one or more applicable taxes. In Receivables, you can calculate and account for multiple tax regimes, levying additional taxes such as Surcharges, Excise, and Sales Equalization taxes as required. The Latin Tax Engine in Oracle Receivables can calculate and report taxes in the local tax regimes for taxes levied in your order-to-cash cycle.

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Tax Accounting Process Chapter 16 - Page 17

Agenda

Agenda
Overview of Tax Accounting Process Defining Generic Tax Setup Steps Entering Tax Adjustments Explaining Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 18

Tax Setup Steps

Tax Setup Steps

Select a Tax Method

Define Tax Codes & Rates

Setup Inclusive & Exclusive Taxes

Setup Tax Groups (Optional)

Setup Item or Account Method (Optional)

Tax Setup Steps 1. Select a Tax Method: Use Tax Method, along with the value you entered for the Calculate Tax field assigned to your transaction type, to determine whether to calculate tax on your transactions. 2. Define Tax Codes and Rates: Enter and maintain your tax codes and their associated tax rates. 3. Setup Inclusive and Exclusive Taxes: Determine whether a line includes tax or the tax is listed as a separate line. 4. Setup Tax Groups (Optional): Group multiple conditional taxes under one name. 5. Setup Item or Account Method (Optional): Define rules associated with line item and destination (point of supply) or assign a tax code to the natural account segment of your revenue account.

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Tax Accounting Process Chapter 16 - Page 19

Tax Setup Steps Continued

Tax Setup Steps Continued

Define Tax Preferences, Defaults, and Results Define Tax Exemptions and Exceptions Define Transaction Types Define AutoAccounting for tax Enable Calculation of Tax on Freight Define Tax Profile Options

Tax Setup Steps Continued 7. Define Tax Preferences, Defaults, and Results: Define Tax Code Defaults and hierarchy to determine the order in which Receivables derives a default tax rate for manually entered or imported transactions using AutoInvoice. 8. Define Tax Exemptions and Exceptions: Exempt customers and items from a specific tax or assign special rates to products you ship to specific locations. 9. Define Transaction Types: Calculate tax for transactions with a specific transaction type. 10. Define AutoAccounting For Tax: Assign account numbers to tax transactions. 11. Enable Calculation of Tax on Freight: Allow tax on freight transactions. 12. Define Tax Profile Options: Set profile options to calculate tax in different ways based on business needs.

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Tax Accounting Process Chapter 16 - Page 20

Defining Tax Codes and Rates

Defining Tax Codes and Rates

Select a Tax Method Taxable Basis

Value Added Tax

Sales Tax Effective Dates

5%
Tax Rate Tax Accounting Information Tax Controls

Defining Tax Codes and Rates Receivables, Vision Operations (USA) (N) > Setup > Tax > Codes Use the Tax Codes and Rates window to define the tax codes that you will use to record tax information in Order Management and Receivables documents. Individual taxes can be either inclusive or exclusive on the price list. These taxes can both raise and lower the price list amount and be calculated using a different Taxable Basis. For each tax code, you can enter: Tax type: Select a Tax Method in the Tax Type field as VAT or Sales. Tax rate: Percentage used to calculate tax. Taxable basis: Value of item or services used to calculate tax. Use After Discount, Before Discount, Quantity, PL/SQL Formula, or Prior Tax as the basis. Effective dates: Dates the Tax Code is available. Tax controls: Permits selection of Output or Input Tax class, Inclusive Tax, or Allow Exempt check box of tax exemptions.

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Tax Accounting Process Chapter 16 - Page 21

Tax accounting information: Accounts used to record tax in different situations such as Adjustments, Finance Charges and Miscellaneous.

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Tax Accounting Process Chapter 16 - Page 22

Setting Up Inclusive and Exclusive Tax

Setting Up Inclusive and Exclusive Tax

Item Item + Tax Item Cost + Tax = Line Cost Total Cost

Inclusive Tax

Exclusive Tax

Inclusive Tax Allow Inclusive Override

Setting Up Inclusive and Exclusive Tax Receivables, Vision Operations (USA) (N) > Setup > Tax > Codes > (T) Control AutoAccounting separates inclusive taxes from extended line amounts before creating revenue and tax accounting entries. Tax inclusive calculations at the transaction line level may be required in Canada, Japan, and Latin America. Inclusive Tax: Line amount for an item includes the tax for the item. Exclusive Tax: Tax not included in the line amount for the item. Check Inclusive Tax check box in Tax Codes and Rates window for inclusive tax codes. Check Allow Inclusive Override check box if you want to allow changing tax code from inclusive to exclusive (or vice versa) when entering invoices.

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Tax Accounting Process Chapter 16 - Page 23

Guided Demonstration - Define Tax Code

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Tax > Codes 1. 2. 3. 4. 5. 6. 7. Enter Tax Code: Demo Enter Tax Type: Vat Enter Taxable Basis: After Discount Enter Tax Rate %: 10. Accept the Default sign as Credit. (T) Effective Enter Effective Dates: 01-Jan-2001. If the tax rate changes, a To date can be entered and create a new tax code entered with the same name and an effective date after the To date on this code. Select the Enabled check box. (T) Control

8. 9.

10. Select Tax Class: Output The input tax class is used for miscellaneous cash recorded as a negative amount. Output is used for all transactions, receivables activities, and miscellaneous cash receipts with a positive amounts. 11. Review selections in this tab. Allow Exempt: To allow tax exemptions for items using this tax code. Adhoc: To be able to change the tax rate for this tax code in the Transaction windows. Can only be check if the tax type is not 'Location Based Tax.' and can be updated after saved. Inclusive Tax: For tax code to automatically display line amounts including tax. Allow Inclusive Override: To change the tax code from inclusive to exclusive (or vice versa) when entering invoices. Location-based tax codes are always tax exclusive and cannot be changed to tax inclusive. 12. Select Displayed option only. The Displayed check box can be deselected to prevent the tax code from appearing as a separate tax code on a list of values when used in a tax group. 13. (T) More
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Tax Accounting Process Chapter 16 - Page 24

14. Enter Tax Accounting Code: 01-000-2520-0000-000 15. Accept the default Printed Tax Name. 16. Leave Vat Transaction blank. This field is used for Spanish and Belgian Tax reporting. 17. (B) Tax Accounting 18. Review this window. Use the Tax Accounting window to enter additional accounting information about your tax codes and tax locations. Specify expense, revenue, and non-recoverable accounts for adjustment, finance charge, and earned and unearned discount receivables activities. Use the Tax Accounting window to set up deferred tax, an accounting method in which tax is due when payment is applied to an invoice, rather than when the invoice is created.

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Tax Accounting Process Chapter 16 - Page 25

Practice - Define Tax Codes

Overview
In this practice, you will set up a tax code and enter the GL account.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. Define a tax code with a 10% rate.

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Tax Accounting Process Chapter 16 - Page 26

Solution - Define Tax Codes

Define Tax Code 1. Navigate to the Tax Codes and Rates window: 2. (N) Setup > Tax > Codes

Enter the following in the Rates tab: Tax Code: <XX>Tax Type: Sales Tax Taxable basis: After Discount Tax rate: 10 Sign: Credit

3. 4. 5.

Select Output in the Tax Class field in the Control tab. Enter the GL Accounts in the More tab. Tax Account: 01.000.2520.0000.000 (I) Save.

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Tax Accounting Process Chapter 16 - Page 27

Tax Groups Overview

Tax Groups Overview

New York

City Tax County Tax Metro Tax State Tax Country Tax

Paris

Tax Groups Overview Multiple tax codes can be grouped together within the Order to Cash business cycle to build a schedule or group of taxes.You can use tax groups to centralize the complex rules for finding a tax code for a given place of supply and item. Tax groups can automate the selection of a single tax code based on condition sets. For example, in condition sets for a tax group, you can specify which tax code to use for which destination country. In particular, tax groups support: Tax on cross-border transactions. iStore and CRM applications. Tax groups can be used to calculate: Multiple taxes for a transaction or transaction line. Compound taxes for a transaction. - Assign a precedence number to each tax code in the Compounding Precedence field. The highest precedence number calculates tax on all tax lines with a lower precedence number, except when the taxable basis is prior tax. - Tax groups can also contain multiple independent branches of compounded tax.

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Tax Accounting Process Chapter 16 - Page 28

Setting Up Tax Groups (Optional)

Setting Up Tax Groups (Optional)

Tax Code Tax Code Tax Code Tax Codes Tax Rates Tax Group

Default sources: System Options, Billto Customer, Ship-to Customer Site, Item, Memo Line

Enter Order or Invoice with Tax Group

Accounting

Order or Invoice Line

Setting Up Tax Groups (Optional) The Inclusive Tax setting from the tax code defaults to the Inclusive Tax check box in the Tax Groups window. You can assign tax groups to inventory items, customers, or customer sites.

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Tax Accounting Process Chapter 16 - Page 29

Compound Tax Example

Compound Tax Example

Precedence Line Number Number 1 2 1 2

Tax Code GST PST

Tax Rate Tax Amount 7% 10% Total: 7.00 10.70 17.70

Based on an invoice line of 100

Compound Tax Example Receivables permits the creation of compound tax charges during invoice entry and import if the Compound taxes system option is set to Yes. Precedence numbers are assign to indicate which tax line you want Receivables to compound. In the example of above, the tax is calculated on Line 1 and then the total amount of 107, which consists of 100 for the line amount plus 7 for the Tax on Line 1 are used to calculate the tax on Line 2. The two taxes are then added together to give a total tax due of 17.70. When setting up compound tax the following is applicable: Define tax precedence rules for compounding tax. Prior to Release 11i, only one compounding branch was allowed. Compounding rules support multiple groups of tax on tax in a single invoice. Use compounding precedence field to group tax lines together.

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Tax Accounting Process Chapter 16 - Page 30

Inclusive Tax with Compounding Example

Inclusive Tax with Compounding Example

Code A B C D

Inclusive Precedence Yes Yes No No 1 1.1 2 2.1

Rate 20% 10% 10% 30%

Taxable 100 120 100 110

Tax 20 12 10 33

Based on an invoice line of 132 (100 plus Inclusive Tax of 32 for Code A and B)

Inclusive Tax with Compounding Example The example illustrates multiple compounding with an Inclusive branch. Only one compounding branch may be inclusive. If a compounding branch is inclusive, all Tax Codes in the branch must be inclusive. In the example, Code A and B are one branch, both are Inclusive, and B uses the total of 100 plus As tax of 20 to calculated the 12 tax thus compounding Code As tax. Both Code A and B taxes are added to the line because they are inclusive bring the line total to 132. Code C and D are a second branch with Code D compounding Code C tax. Code C and D are not Inclusive so a separate line will be added to the invoice for the tax of 43 from Code C and Ds calculation. The total invoice will be 132 plus 43 equals 175.

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Tax Accounting Process Chapter 16 - Page 31

Defining Condition Sets

Defining Condition Sets

Use Condition and Exception Sets and Group Constraints to specify one or more conditions for each tax code Optionally define actions for each condition set Example: If ship-to country is Canada and ship-to province is Ontario, use this tax code. Example: If ship-to province is not found, display system error message

Defining Condition Sets Receivables, Vision Operations (USA) (N) > Setup > Tax > Groups > (B) Conditions > (T) Lines > (T) Actions (N) > Setup > Tax > Groups > (B) Group Constraints > (T) Lines > (T) Actions Use group constraints to ensure that specific conditions are met before using a particular tax group. Example: If ship-to province is not found, display system error message Condition Sets indicate that each tax code is dependent on one or more conditions that you specify such as: If ship-to country is Argentina, use this (Argentina) tax code. Exception Sets can be assigned to the tax code to specify exceptions, including changing the rate for a tax code automatically. Constraints can be assigned to a tax group to ensure that specific conditions are met before using this tax group. Example: If ship-to province is not found, display system error message.

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Tax Accounting Process Chapter 16 - Page 32

Guided Demonstration - Define Tax Group

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Tax > Groups 1. 2. 3. Enter Group Code, Group Name, and Description: Demo Group. Enter Effective: 01-Jan-2001. Enter the following two Canadian taxes: GST with 7% rate, Compounding Precedence: 1 BCPST with 7% rate, Compounding Precedence: 1.1 Do not select the Inclusive Tax check box. (B) Group Constraints for Tax Code BCPST Define Constraint with Name: British Columbia Display: 1 Clause: If Entity: Ship To Field: Province Operator: = Value: Alberta (T) Action True: Do use this Tax Code False: Do not use this Tax Code (B) OK

4. 5. 6.

7.

8.

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Tax Accounting Process Chapter 16 - Page 33

Practice - Create a Tax Group

Overview
In this practice, you will create a tax group and conditions with multiple compounding branches. You will also determine the tax calculation based on the setup. Create a tax group. Determine the tax.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. Create a tax group named <XX> GSTPST with the following information:

Tax Code GST NBPST QCTVQ 7

Tax Rate 11 6.5

Compounding Precedence 1 2 2

Condition Country Province Province

Ship-to Location Canada New Brunswick Qubec

2.

Determine the Tax.

Assume that an invoice of $1,000 is created using the above tax group and shipped to an address in Quebec province, Canada. Calculate the tax amount manually and complete this table:
Precedence Tax Code Tax Rate Taxable Amount Calculation Tax Amount

Total
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Tax Accounting Process Chapter 16 - Page 34

Solution - Create a Tax Group

Create Tax Group 1. Navigate to the Tax Groups window: 2. 3. (N) Setup > Tax > Groups

Enter a Group Code and Group Name of <XX>GSTPST. Select the following tax codes, enter compounding precedence, and Conditions: Tax Code: GST Tax Rate: 7% Compounding Precedence: 1 (B) Conditions Condition Name: <XX>Canada Clause: If Entity: Ship-To Field: Country Operator: = Value: Canada (T) Actions True, Use this tax code, False, Do not use this tax code. Tax Code: NBPST Tax Rate: 11% Compounding Precedence: 2 (B) Conditions Condition Name: <XX>New Brunswick Clause: If Entity: Ship-To Field: Province Operator: = Value: New Brunswick (T) Actions True, Use this tax code, False, Do not use this tax code. Tax Code: QCTVQ Tax Rate: 6.5% Compounding Precedence: 2 (B) Conditions Condition Name: <XX>Quebec Clause: If Entity: Ship-To Field: Province
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Tax Accounting Process Chapter 16 - Page 35

 4. (I) Save.

Operator: = Value: Quebec (T) Actions True, Use this tax code, False, Do not use this tax code.

Determine Tax
Precedence 1 2 Total Tax Code GST QCTVQ 7 6.5 Tax Rate Taxable Amount 1000 1070 Calculation 1000*7% 1070*6.5% Tax Amount 70.00 69.55 139.55

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Tax Accounting Process Chapter 16 - Page 36

Select a Tax Control Method

Select a Tax Control Method

Item Method

Account Method

Revenue Accounts

Inventory Item

Ship To Country

Tax Code

Select a Tax Control Method Receivables provides two methods for deriving the appropriate VAT tax code and rate for your transactions. Item Method Account Method Note: Before implementing Receivables, you need to decide whether you want to derive a transaction line's tax code and rate from the line's item or the line's natural revenue account. Normally, the tax code for a transaction (line) is derived using rules associated with the line item and destination (Point of Supply). The Item Method defaults tax codes based on a search hierarchy that you define in the System Options window. Typically within the Item Method, the system searches for a tax code at the item, customer site, customer, and system option levels (in that order) and ignores any tax codes associated with the Revenue Account of the line item. The Item Method: Derives tax code from combination of inventory item and ship-to country. Can be used for multiple, conditional, compounded taxes. Supports integration between Oracle Receivables and:
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Tax Accounting Process Chapter 16 - Page 37

- Oracle Order Management. - Oracle Order Capture. - Legacy systems. The Account Method requires assigning one or more revenue accounts to a tax code. Then, when recording a transaction to one of the revenue accounts, Receivables will record the tax on that transaction to the VAT account assigned to this revenue account. With the Account Method: One or more revenue accounts are assigned to a tax code. Tax is recorded on the tax account assigned to the revenue account. Tax code for invoice distributions can be validated against tax code assigned to revenue account.

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Tax Accounting Process Chapter 16 - Page 38

Setting Up Account Method (Optional)

Setting Up Account Method (Optional)

Assign Tax Code to Natural Account Segment of Revenue Account In General Ledger Tax Options Window: In Receivables System Options Window: Set Revenue Accounts Hierarchy to 1 Enforce Tax Validation

Allow Tax Code Override

Setting Up Account Method (Optional) General Ledger, Vision Operations (USA) (N) > Setup > Tax > Tax Options > (T) Account Level Receivables, Vision Operations (USA) (N) > Setup > System > System Options > (T) Tax Defaults and Rules To set up the Account Method: In General Ledger Tax Options window, assign a tax code to the natural account segment of your revenue account. Set up validation by deriving tax code from revenue account). In System Options window, check Enforce Tax from Revenue Account and Revenue Accounts check boxes and set Revenue Accounts tax code defaulting hierarchy to 1. Make sure Allow Tax Code Override check box is not checked for accounts that you want to validate.

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Tax Accounting Process Chapter 16 - Page 39

Assigning Tax Codes to Items

Assigning Tax Codes to Items

Use the Tax Code field in the Invoicing region of the Master Item window to assign a tax code or a tax group to inventory items.
List of Values Tax Code Attribute Pick One Tax Group Tax Group Tax Code Tax Code Tax Code

Setting Up Item Method Receivables, Vision Operations (USA) (N) > Setup > Transactions > Items > Define Items > (T) Invoicing Use tax groups to control tax calculation based on item destination. For example, use conditions such as If ship-to warehouse = Korea, use this tax code. Note: A different tax code or group can be assigned to each Inventory Organization rather than using the default from the Master Item.

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Tax Accounting Process Chapter 16 - Page 40

Defining Tax Preferences, Defaults, and Rules

Defining Tax Preferences, Defaults, and Rules

In System Options Window:

Tax

s u lt efa es D l Tax d Ru n a

Tax Rules Tax Preferences Tax Defaults

Defining Tax Preferences, Defaults, and Rules Receivables, Vision Operations (USA) (N) > Setup > System > System Options > (T) Tax or (T) Tax Defaults and Rules Tax Tab Use the Tax tabbed region to define how Receivables calculates taxes. Specify your tax method, the Location Flexfield Structure to use to determine your taxes for different customer locations, and whether to compound taxes for your customers. Select to recognize tax exception rates for customers, customer sites, specific locations, and products, and whether exemptions that you define for specific products or customers should take precedence. Tax Defaults an Rules Tab Use the Tax Defaults and Rules tabbed region to Enforce Tax from your Revenue Account. Optionally set up your system to ensure that the tax code for your invoice lines is the same as the tax code assigned to the 'Account' segment of your Revenue account.

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Tax Accounting Process Chapter 16 - Page 41

Define your Tax Code Defaults and Hierarchy by checking the appropriate boxes and entering a sequence number for each. This hierarchy determines the order in which Receivables derives a default tax rate when you manually enter transactions or import them using AutoInvoice.

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Tax Accounting Process Chapter 16 - Page 42

Guided Demonstration - Explain Tax System Options

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > System > System Options (T) Tax 1. Review the Tax System Options. Tax Method: Sales Tax' or 'VAT' (value added tax). Receivables uses this tax method, along with the value entered for the Calculate Tax field assigned to transaction type, to determine whether to calculate tax for your transactions. Location Flexfield Structure. Use this to validate customer addresses as well as calculate sales tax based on customer's shipping address. Receivables requires defining the segments of the sales tax Location Flexfield structure from the top down. For example, if defining a Sales Tax Location Flexfield structure that includes state, county and city, define your state segment first, followed by the county segment, and then the city segment. Postal Code Range. The default value when entering sales tax rate assignments in the Tax Locations and Rates window. Address Validation. If not using a flexible address format for validation, enter the type of Address Validation to use. This option is only valid for addresses in your home country. Enter one of the following: Error: Receivables displays an error message when an invalid address format is entered. Warning: Receivables displays a warning message if a tax rate or location is not defined for this address. No Validation: Receivables does not validate the address. Compound Taxes check box. To compound taxes in Receivables, check the Compound Taxes box. Compound taxes are taxes that are based on other taxes. If you check this box, assign precedence numbers to the tax lines when entering invoices. Invoice Printing. This is the method Receivables will use when printing tax amounts on invoices. The value you enter here becomes the default for your customer profile classes. Choose one of the following methods: European Tax Format: Print tax information in the following format: Tax rates printed as the last column of invoice lines, freight items printed last, and the taxable amount with the summarized tax codes printed at the end of the invoice.
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Tax Accounting Process Chapter 16 - Page 43

Itemize By Line: Itemize tax information for each invoice line. Receivables displays this information after each invoice line. Itemize and Summarize: Display both itemized and recap tax information. Summarize by Tax Code: Display all tax information under the heading 'Tax Summary by Tax Code.' If two tax lines have the same tax code, rate, exemption, and precedence number, Receivables will group them together. Summarize By Tax Name: Display all tax information under the heading 'Tax Summary by Tax Name.' If two tax lines have the same tax name, rate, exemption, and precedence number, Receivables will group them together. Total Tax Only: Display only the total tax amount at the bottom of the document. Tax Registration Number. To print a registration number on their invoices. Tax Vendor Views. To use to calculate tax, or select one from the list of values. Enter Oracle if not implementing a tax vendor extension and want to calculate tax using the tax engine. Sales Tax Geo Override. If using Taxware Sales/Use Tax System, enter a value. Inclusive Tax Used check box. To use inclusive tax codes (optional). This option determines at what point Receivables updates the total line amount in the Lines window when you add, update, or delete a tax line. If this option is Yes, Receivable does not update the 'Lines' total until you save your work; otherwise, Receivables enters a null value when you make the change, then updates the total when you save your work.

2.

Review Rounding Options. Calculation Level. Calculate tax for each invoice line (this is the default) or Header to calculate tax once for each invoice for each rate. Rounding Rule. Choose from the following rules: Up: Choose this option to round tax calculations to the greater amount. Down: Choose this option to round tax calculations to the lesser amount. Nearest: Choose this option to round calculations to the nearest decimal point or integer. Reporting Currency (this is the same as your functional currency). Precision. To use for tax calculations in this currency. This is the number of digits to the right of the decimal point that are used in regular currency transactions. The standard precision must be greater than or equal to zero, and must be less than or equal to the functional currency precision.
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Tax Accounting Process Chapter 16 - Page 44

 Minimum Accountable Unit. For tax rounding in this currency. This is the smallest denomination used in this currency (this might not correspond to the standard precision). This must be greater than your functional currency minimum accountable unit. Allow Override box. To enable Tax Calculation and Tax Rounding at the customer or site level 3. (T) Tax Defaults and Rules. Enforce Tax from your Revenue Account. To ensure that the tax code for your invoice lines is the same as the tax code assigned to the 'Account' segment of your Revenue account. Tax Code Defaults and Hierarchy This hierarchy determines the order in which Receivables derives a default tax rate when manually entering transactions or import them using AutoInvoice. Customer Site: Use the tax rate defined at the customer address level. Customer: Use the tax rate defined at the customer level. Product: Use the tax rate defined at the item level. Revenue Account: Use the tax code assigned to the natural account segment of your Revenue account. System Options: Use the tax code that you entered in the System Options window. Tax Code. If the Tax Method is VAT, enter a default Tax Code (optional). Exception Rates check boxes. Use Customer Exemptions: Check this box to include customer exemptions when calculating tax for transactions. Use the Tax Exemptions window to exempt customers and items from specific tax. Use Item Exemptions: Check this box to include item exemptions when calculating tax for your transactions. Use the Tax Exemptions window to exempt customers and items from specific tax. Use Item Tax Rate Exceptions: Check this box to use the tax rate defined for specific products based on the customer's Ship-To address. Use the Item Tax Rate Exceptions window to enter tax rates for specific items based on Ship-To address.

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Tax Accounting Process Chapter 16 - Page 45

Defining Tax Exemptions

Defining Tax Exemptions

Select the Exempt check box on the tax code. Define Exemptions and Exceptions in the corresponding forms. For customer exemptions, assign tax code to customers at either the customer or site level. For product exemptions, assign tax code to products in the Master Item window.

Tax Code

Defining Tax Exemptions Receivables, Vision Operations (USA) (N) > Setup > Tax > Codes For Customers: (N) > Customers > Standard > (T) Classification For Customer Sites: (N) > Customers > Standard > (T) Addresses > (B) Open > (T) Business Purposes > (B) Open For Items: (N) > Setup > Transactions > Items > Define Items > (T) Invoicing Exemptions: Define tax exemptions to fully or partially exempt a customer, item, or range of items from specific tax codes. Exception: Define tax exceptions to assign special tax rates to products that you ship to specific locations.

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Tax Accounting Process Chapter 16 - Page 46

Guided Demonstration - Define Tax Exemptions

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Tax > Exemptions 1. Select Customer radial button. Exemptions can also be entered by item or range of items. 2. Enter the following information: Customer: Hilman and Associates Site: Tulsa (Optional) Tax Code: Demo Reason: Education Date: Accept default Status: Primary Unapproved: Exemptions created automatically during Invoice entry or import are recorded as Unapproved. Exemptions with this status may be changed to any of the statuses listed here. Manual: This exemption has been approved but Receivables will not automatically use it. You have to explicitly use this exemption. Exemptions with this status can only be changed to Primary or Expired. Primary: This exemption has been approved and Receivables will automatically calculate tax. Exemptions with this status can only be changed to Manual or Expired. Expired: Discontinue a previously approved exemption. Once discontinued, their status cannot be changed. Rejected: Reject an Unapproved exemption. Once rejected, their status cannot be changed. (I) Save.

3.

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Tax Accounting Process Chapter 16 - Page 47

Defining Transaction Types

Defining Transaction Types

Calculate Tax on All Invoices

Tax Calculation Check Box

Customer Sites Not Subject to Tax Exempt Tax Code

Assign

Defining Transaction Types Receivables, Vision Operations (USA) (N) > Setup > Transactions > Transaction Types Order Management Super User, Vision Operations (USA) (N) > Setup > Transaction Types > Define Check the Tax Calculation check box in the Transaction Types window for each transaction type to ensure calculation of tax for all invoices. Customers and customer sites not subject to tax should be assigned an exempt tax code.

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Tax Accounting Process Chapter 16 - Page 48

Defining AutoAccounting for Tax

Defining AutoAccounting for Tax

AutoAccounting

In the AutoAccounting Window enter: Tax in the Type Field Segment Names Value used to derive the Account

01-110-7340-0000-000

General Ledger

Defining AutoAccounting for Tax Receivables, Vision Operations (USA) (N) > Setup > Transactions > AutoAccounting Use the AutoAccounting window to specify how Oracle Receivables determines the General Ledger account for tax. Enter Tax in the Type field. Query all the segments of your Tax Account Flexfield. For each segment, assign the value that you want to use to derive the account.

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Tax Accounting Process Chapter 16 - Page 49

Guided Demonstration - Define Tax AutoAccounting

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > AutoAccounting 1. Query up Tax using (K) F11, (K) Ctrl Fll Derives the tax account for your transaction. 2. 3. 4. Explain the options. For each segment, enter either the table name or constant value that you want Receivables to use to get information. Select one of the following table names: Agents: Use the agent's table. Receivables uses the revenue account associated with this agent. Transaction Types: Use the transaction types table. Standard Lines: Use the standard memo line or inventory item on the transaction. Receivables uses the revenue account associated to this standard memo line item or inventory item. Taxes: Enter this option to use tax codes. Bill To Site: Use the bill-to site of the transaction. Or enter a Constant value for this segment (select one from the list of values.) To use the same value for this Accounting Flexfield segment. (I) Save.

5. 6.

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Tax Accounting Process Chapter 16 - Page 50

Enabling Calculation of Tax on Freight

Enabling Calculation of Tax on Freight

Create freight amounts as regular invoice lines. Use an inventory item to define freight services and enable AutoAccounting to distinguish between freight and regular line items.

AutoAccounting

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Tax Accounting Process Chapter 16 - Page 51

Defining Tax Profile Options

Defining Tax Profile Options

Tax: Allow Manual Tax Lines Tax: Allow Ad Hoc Tax Changes Tax: Allow Override of Customer Exemptions Tax: Allow Override of Tax Code

Profile Options

5%

Defining Tax Profile Options System Administrator (N) > Profile > System Tax: Allow Manual Tax Lines: Determines whether users can enter manual tax lines in the Transactions windows in Receivables. Tax: Allow Ad Hoc Tax Changes: Provides selections for updating rates and amounts assigned to tax codes in the transactions window in Receivables, if you defined tax codes in the Tax Codes and Rates window and set Ad Hoc to Yes. Tax: Allow Override of Customer Exemptions: Prevent users from entering unapproved exemptions in Receivables. Tax: Allow Override of Tax Code: Provides choices to override a system-derived tax code during order or invoice entry. Note: The Tax: Calculate Tax on Credit Memos profile option has moved to the System Options window.

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Tax Accounting Process Chapter 16 - Page 52

For Order Management Profile Options

For Order Management Profile Options

Profile Option Tax: Invoice Freight as Revenue Tax: Inventory Item for Freight Setting Yes Reason Enables freight amounts entered in Oracle Order Management to be passed to Oracle Receivables as taxable line items. Lets Oracle Order Management identify an inventory item on a transaction line imported into Oracle Receivables via the Receivables Interface program.

Freight (Inventory Item)

Defining Profile Options System Administrator (N) > Profile > System

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Tax Accounting Process Chapter 16 - Page 53

Agenda

Agenda
Overview of Tax Accounting Process Defining Generic Tax Setup Steps Entering Tax Adjustments Explaining Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 54

Tax Accounting Overview

Tax Accounting Overview

Set up Tax Accounting Information for Tax Codes and Receivables Activities

Miscellaneous Cash

Deferred Tax

Earned Unearned Adjustments Finance Charges Discounts

Tax Accounting Overview In Oracle Receivables, flexible setup options provide choices on how the tax is calculated and which tax accounts to use for each activity. This can reduce tax liability in countries where adjusting entries for tax are allowed. To set up for tax accounting, define: Tax accounting information for tax codes: - Deferred tax Accounting rules for Receivables Activities: - Miscellaneous transactions - Discounts - Adjustments - Finance charges

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Tax Accounting Process Chapter 16 - Page 55

Setting Up Tax Accounting for Deferred Tax

Setting Up Tax Accounting for Deferred Tax

Tax Collected

Deferred Tax Deferred Tax

Tax Code

5%
Tax Rate

Tax & Interim Tax Accounts

Setting Up Tax Accounting for Deferred Tax Receivables, Vision Operations (USA) (N) > Setup > Tax > Codes > (B) Tax Accounting Deferred tax is an accounting method that defers the liability of tax to the time that the cash is collected, rather than when the invoice is created. Define deferred tax codes in the Tax Codes and Rates window. Check the Deferred check box in the Tax Accounting window. Enter accounts in the Tax Account and Interim Tax Account fields of the Tax Accounting window.

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Tax Accounting Process Chapter 16 - Page 56

Guided Demonstration - Define Deferred Tax

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Tax > Codes 1. Enter the following in the Rates tab: Tax Code: Demo DefTax Type: Value Added Tax Taxable basis: After Discount Tax rate: 20 Sign: Credit Select Output in the Tax Class field in the Control tab. Enter the GL Accounts in the More tab. Tax Account: 01.000.2520.0000.000 Select the Tax Accounting button to open the Tax Accounting window. Select the Deferred Tax check box. Caution: Once the tax code is changed the value in this box cannot be changed. 6. Enter the Interim Tax Account: Interim Tax Account: 01.000.2800.0000.000 General Ledger (GL) accounts for Receivables Activities that have Tax Code as the source may be entered in this window. 7. (I) Save.

2. 3. 4. 5.

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Tax Accounting Process Chapter 16 - Page 57

Practice - Deferred Tax Codes

Overview
In this practice, you will set up a deferred tax code and enter the GL accounts.

Assumptions
You must have access to an Oracle Application Vision database or comparable training or test instance at your site on which to complete this practice. Your instructor will provide login information. Replace XX with the number provided by your instructor or your initials. Use Receivables, Vision Operations (USA) or comparable Super User Receivables responsibility.

Tasks
1. Define a deferred tax code with a 20% rate.

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Tax Accounting Process Chapter 16 - Page 58

Solution - Deferred Tax Codes

Define Deferred Tax Code 1. Navigate to the Tax Codes and Rates window: 2. (N) Setup > Tax > Codes

Enter the following in the Rates tab: Tax Code: <XX>DefTax Type: Value Added Tax Taxable basis: Before Discount Tax rate: 20 Sign: Credit

3. 4. 5. 6.

Select Output in the Tax Class field in the Control tab. Enter the GL Accounts in the More tab. Tax Account: 01.000.2520.0000.000 Select the Tax Accounting button to open the Tax Accounting window. Select the Deferred Tax check box.

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Tax Accounting Process Chapter 16 - Page 59

Caution: Once the tax code is changed the value in this box can not be changed. 7. Enter the Interim Tax Account:. Interim Tax Account: 01.000.2800.0000.000

General Ledger (GL) accounts for Receivables Activities that have Tax Code as the source may be entered in this window. 8. (I) Save.

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Tax Accounting Process Chapter 16 - Page 60

Defining Receivables Activities

Defining Receivables Activities

To set up Receivable Activities for Tax Accounting: 1. Define GL Account 2. Select Tax Code Source 3. Check Recoverable or Non Recoverable 4. Enter Tax Code if Tax Code Source Option is the Activity

Defining Receivables Activities Receivables, Vision Operations (USA) (N) > Setup > Receipts > Receivable Activities Use the Receivables Activities window to define Receivables Activities. Define the GL Account and Tax Code Sources. GL Activity Source Options: - Activity GL Account - Revenue on Invoice - Tax Code on Invoice - Distribution Set Tax Code Source Options: None Activity Invoice Check the Recoverable or Non-Recoverable check box if the Tax Code Source is Invoice.
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Tax Accounting Process Chapter 16 - Page 61

Enter a Tax Code if the tax code source is Activity.

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Tax Accounting Process Chapter 16 - Page 62

Guided Demonstration - Define Tax Receivables Activities

Responsibility: Receivables, Vision Operations (USA)
N > Setup > Receipts > Receivable Activities 1. 2. 3. 4. Enter the Name and Description: Demo Adjustment. Select Adjustment from the list of values. Select Tax Code on Invoice uses the GL account set up on the Tax Code Accounting window. Select Activity for the Tax Code Source in the Accounting region. None, which means no tax, is calculated on the Receivables activity. Activity, which used the tax code assigned on bottom of this screen. Invoice, which used the tax code on the original invoice. With Invoice also select the Recoverable or Non-Recoverable option that appears below the Tax Code Source field. Assign the Tax Code: Demo. (N) Setup > Tax > Codes Query Demo tax code. Select the Tax Accounting button to open the Tax Accounting window. Adjustment: 01-740-5230-0000-000 01-740-7776-0000-000 Earned Discount: 01-740-7825-0000-000 01-740-7777-0000-000 Unearned Discount: 01-740-7824-0000-000 01-740-7778-0000-000 Finance Charge: 01-740-7810-0000-000 01-740-7779-0000-000 The account numbers entered in this window are used for the Recoverable and Nonrecoverable tax options when the Tax Code source of Invoice is selected. The Tax Accounting window also provides GL account numbers for different Receivables activities. When the Tax Code Source of Invoice and Non-recoverable are selected on the Receivables Activity, the GL account will be derived from the Nonrecoverable section of accounts shown in this window. When Recoverable in combination with Invoice as the Tax Source on the Receivables Activity, is selected, the GL account will be the account number in the Tax Account field at the top of this window. When the Account Source of Tax Code is selected on the Receivables Activity, the Expense/Revenue Accounts shown in this window are used. Save.

5. 6. 7. 8.

9.

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Tax Accounting Process Chapter 16 - Page 63

Changing Tax Transactions

Changing Tax Transactions

Transactions or Transactions Summary

Profile Option

Tax Code

Tax: Allow Override of Tax Code With AutoAccounting

Rerun Review Accounting To Update the Tax Account

Changing Tax Transactions Receivables, Vision Operations (USA) (N) > Transactions > Transactions Summary > (B) Open In Receivables, Tax Adjustments can be made in the Transactions or Transactions Summary window. The profile option, Tax: Allow Override of Tax Code, permits changing an automatically generated tax code. Oracle Receivables displays the new tax rate and amount. If you use AutoAccounting, rerun the Review Accounting after changing the tax code to update your tax account for this invoice line.

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Tax Accounting Process Chapter 16 - Page 64

Adjusting Tax on Invoices

Adjusting Tax on Invoices

Adjustment entry with Receivables Activity

Approval limit $500

Validation process

Approved or Pending

Adjusting Tax on Invoices Receivables, Vision Operations (USA) (N) > Transactions > Transactions Summary > (B) Adjust Receivables activities for tax adjustments must be set up first. When you create a tax adjustment Oracle Receivables automatically verifies that it is within your adjustment approval limits. - If within your assigned approval limit for the currency of that item, Oracle Receivables updates your customers balance to reflect the adjustment. - If outside your approval limits, Oracle Receivables creates a pending adjustment with a status of Pending Approval which will need to be approved by a higher level employee with the proper approval limit. Any adjustments that have been applied to the tax lines of an invoice and cannot be claimed from the state, should use a receivables activity where tax is not posted to a sales tax liability account (for example, bad debt write-offs of sales tax amounts). If using a tax partner and the option for posting adjustments to the tax partner is selected in the Receivables Activities window:
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Tax Accounting Process Chapter 16 - Page 65

Adjust tax amounts to reconcile to tax partner reports. Post only approved adjustments of type Tax to tax partner reports.

Note: For more information, refer to the "Adjust the Invoice" section in the Integrating Oracle Receivables with Taxware Sales/Use Tax System or Integrating Oracle Receivables with Vertex Quantum user guides.

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Tax Accounting Process Chapter 16 - Page 66

Tax Credit Memo

Tax Credit Memo

Credit Memo

Customer Account

OR Amount Percent

Tax Credit Memo Tax Credit Memos can be entered from the Credit Transactions or Transactions Summary window, or by selecting the Credit Lines and entering individual credit lines. The credit can be either an amount or tax percentage. When crediting lines individually, the tax for the item line will automatically calculate, just as it would if you entered transaction lines.

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Tax Accounting Process Chapter 16 - Page 67

Guided Demonstration - Enter a Tax Adjustment

Responsibility: Receivables, Vision Operations (USA)
(N) > Setup > Transactions > Adjustment Limits 1. 2. 3. Query up Username: Operations Verify Adjustment Limits are setup for Document Type Credit Memo. If not, enter the following information: Username: Operations Document Type: Credit Memo Reason: Discount Currency: USD From Amount: -999 To Amount: 999 (I) Save (N) > Transactions > Transactions Summary > (I) Flashlight Find Transaction Number 10007249 or 10007284. (B) Adjust Enter the following information: Activity: Line Adjustment Type: Tax Amount: -50 (I) Save

4. 5. 6. 7. 8.

9.

10. (M) Tools > View Accounting Review the accounting entry the adjustment creates.

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Tax Accounting Process Chapter 16 - Page 68

Agenda

Agenda
Overview of Tax Accounting Process Defining Generic Tax Setup Steps Entering Tax Adjustments Explaining Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 69

Tax Reporting Ledger Overview

Tax Reporting Ledger Overview

Global Tax Management

General Ledger

Receivables

Tax Registers

RXi Reporting

Payables

Tax Reporting Ledger Overview Oracle Applications simplifies global tax management by providing a single cross-product Tax Reporting Ledger. Tax Reporting Ledger produces a single report of all your taxable sales and purchase documents across Oracle Receivables, Oracle Payables, and Oracle General Ledger. The Tax Reporting Ledger can be used in conjunction with any reporting tool, including RXi and Application Desktop Integrator for Variable Format Reports. The following tax registers are supported: - Single Cross-Product Tax Register. - Standard Input and Output Tax Registers. - Deferred Output Tax Register. - Recoverable and Non-Recoverable Tax Registers.

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Tax Accounting Process Chapter 16 - Page 70

Tax Extract Overview

Tax Extract Overview

RXi Oracle Reports Calls Payables Documents Receivables Documents General Ledger Tax Journals Global Descriptive Flexfields Tax Extract Populates Interface Table RX

RXi Attribute Sets

Formats

Tax Report

Tax Extract Overview The Tax Extract finds all taxed transaction details from any of the sources, summarizes this information, and records a copy in the interface table for reporting. Information from designated global descriptive flexfields is also copied into the interface table. The interface table is a standard RXi extract format that allows RXi, Oracle Reports, or any client program to access the data using a simple query. The Tax Extract can be called from several sources, including Oracle Reports and RX and RXi-enabled concurrent programs: Financial Tax Register: The Financial Tax Register uses the RXi reporting tool to generate tax register reports with the Tax Extract data. This version runs both the extract and the publishing steps together. Available attribute sets: - DEFAULT (Tax Register) - Reporting on Receivables and General Ledger transactions - ATTRSET2 (Tax Register with Tax Recovery) - Reporting on Payables transactions - User-defined

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Tax Accounting Process Chapter 16 - Page 71

RX-Only: Financial Tax Register: Data Extraction only version. Requires using Publish RX Reports to produce the report.

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Tax Accounting Process Chapter 16 - Page 72

Sources of Data

Sources of Data
Payables Standard invoices Prepayments Credit and debit memos Expense report invoices Receivables Invoices, credit and debit memos Line, tax, and invoice adjustments Payment applications for deferred tax Earned and unearned discounts Finance charges Miscellaneous receipts and payments Bills receivable Other General Ledger manual journal entries Global descriptive flexfields

Sources of Data Global descriptive flexfields store country or region-specific information that is extracted into the Tax Reporting Ledger through the Tax Extract, letting you include country/region-specific information in country/region-specific formats.

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Tax Accounting Process Chapter 16 - Page 73

Tax Ledger Reporting Options

Tax Ledger Reporting Options

Set Reporting Level on the MO: Top Reporting Level Profile Options with the following Reporting Contexts to achieve the desired Tax Ledger Report Content.
Reporting Level Set of Books Legal Entity Operating Unit Reporting Context Set of books defaults Select legal entity Select operating unit Report Content All operating units in the set of books All operating units in your legal entity Only the operating unit associated with your responsibility

Tax Ledger Reporting Options The MO: Top Reporting Level profile option and the Reporting Context (Parameters) on the Reports are used to meet both Multiple Organization and Cross Product reporting requirements. The MO: Top Reporting Level profile option determines which reporting levels are available for a particular responsibility when reporting across multiple organizations. Available values include: Set of Books, Legal Entity, and Operating Unit. To create reports across multiple organizations, use the Reporting Level and Reporting Context parameters to determine the report content. - For Oracle Applications Multiple Organization Support feature, the Reporting Level parameter defaults to Operating Unit. - For others, it defaults to Set of Books. To create cross-product reports with information from Oracle Payables, Oracle Receivables, and Oracle General Ledger, enter ALL in the Product parameter. To create report across operating units and products, use the Product parameter along with the Reporting Context parameters and the MO: Top Reporting Level profile option to control content.
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Tax Accounting Process Chapter 16 - Page 74

Matrix Reporting

Matrix Reporting
Show a single line in the Tax Reporting Ledger for two or more tax amounts.
Input Tax Output Tax

Up To Two Taxes split between Recoverable and Non-Recoverable

Up to Four Taxes

Matrix Reporting Use Matrix Reporting to show a single line in the Tax Reporting Ledger for two or more tax amounts. Supports countries with multiple taxes. Groups up to four output taxes on a single line. Shows both recoverable and nonrecoverable input tax amounts on the same report line for up to two input taxes. To enable Matrix Reporting, use the Matrix Report Flag parameter on the Tax Reporting Ledger.

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Tax Accounting Process Chapter 16 - Page 75

RXi Report Steps

RXi Report Steps

Design content and layout of reports

Extract Data

Meet reporting requirements

Publish reports in different formats

RXi Report Steps The RXi Report Administration Tool is used to design content layout of reports and then publish the report with the designed layout to meet reporting requirements. Steps are: Design content and layout of reports by selecting the RX-only report and then, copying and modifying the existing attribute set using the columns available. Extract the data into the interface table which results in an RX-only file, and then print (publish) the data that was extracted. Publish reports in different formats using different attribute sets.

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Tax Accounting Process Chapter 16 - Page 76

Modifying Attribute Sets

Modifying Attribute Sets

Displayed columns

Page Formatting

Column Details

Modifying Attribute Sets Use the Attribute Set window to change a new attribute set that you have just copied or to modify an existing attribute set that you previously defined. Displayed Columns In the Displayed Columns tab, the Available list box displays all columns that are available for this report but not currently included in the report output. The Displayed list box displays the report columns that are included in the report output. There are more than 600 available columns for the Tax Reporting Ledger. Use the Default Format tab to define how date and time values should be displayed in the report. Available Column Groups Extract Reporting Entity Reporting Context Legal Entity Transaction Header Level Billing Shipping Banking Receivables Transactions Taxable Amounts Taxable Line fields Tax Amounts Tax Line fields, including Tax Code and Tax Rate Total Amounts

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Tax Accounting Process Chapter 16 - Page 77

Payables Tax Line Receivables Tax Line Transaction Line User Descriptive Flexfield Accounting Miscellaneous Column Details Use the Column Details window to define formatting attributes for individual columns in a report. All changes are optional and depend on your reporting needs. Page Formatting Enter title, page size, heading information, and grouping levels.

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Tax Accounting Process Chapter 16 - Page 78

Defining Summary Details

Defining Summary Details

Use the Summary Details window to define columns as summary columns in a report.

Page Total Running Page Total Previous Page Total Report Total

Defining Summary Details A summary column is a column whose values are either summed or counted. You can designate the summed and counted levels printed, and you can rename the default summary prompts. The Summary Details window displays the report summary levels and the column grouping levels for the column that you select in the Column Details window. The report summary levels are: Page Total Sum: The sum or count of records on the current page printed at the bottom of the page Running Page Total: The sum or count of records up to and including the current page printed at the bottom of the page Previous Page Total Sum: The sum or count of records up to but not including the current page printed at the top of the page Report Total Sum: The sum or count of records in the entire report. The grouping levels displayed in the Summary Details window are all grouping levels up to, but not including, the grouping level for the selected column.

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Tax Accounting Process Chapter 16 - Page 79

Publish RXi Reports

Publish RXi Reports

Select Publish Report

Add Attribute Set

View Output

Submit

Publish RXi Reports Use the Publish RX Reports concurrent program to print RXi report output. You can generate an RXi report with its default attribute set, or with an attribute set that you defined in the Attribute Set window. The report is created according to the layout definition of the attribute set that you specified. You can create reports in text, HTML, CSV, or tab-delimited format. Submitting the Request Use the the Submit Request window or the ReQuest Center in Application Desktop Integrator (ADI) to submit the RXi report and the Publish RX. If you run the RXi report and the Publish RX Reports concurrent program together in one step, the Attribute Set and Output Format parameters are included in the list of RXi report parameters. If you need to submit the Publish RX Reports concurrent program separately after you run the RXi report, use the Requests window to obtain the RXi report request ID.

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Tax Accounting Process Chapter 16 - Page 80

Guided Demonstration - Define Tax Register

Responsibility: Report eXchange Designer
(N) > Setup RXi 1. In the Report Name selected the RX-only: Financial Tax Ledger report from the list of values. The system displays the default attribute sets associated with the report. 2. 3. 4. 5. 6. 7. Select the Copy Attribute Set button to open the Copy Attribute Set window. Enter Copy to Attribute Set: Demo Set Enter Short Name: Demo (B) OK Select Billing Partner Name. Click the Remove from Display arrow key. Remove columns not wanted in the final report output. 8. 9. Select AR Trans Posting Status in the Available region. Select the Add to Display arrow key. All the columns in the Available region can be added to the Displayed columns. 10. Select the plus button twice to change the grouping levels for the AR Trans Posting Status. The minus button is used to reduce grouping levels. The up and down arrow button move columns within each grouping level. 11. (I) Save > (B) Column Details 12. Changed the Attribute name of FUNCTIONAL_CURRENCY to Our Companys Currency. 13. Select the TRX_NUMBER column. 14. (B) Count Detail. 15. Select to count transactions by Running Page Count Display check box. 16. (B) OK
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Tax Accounting Process Chapter 16 - Page 81

17. Select the TAXABLE_ACCOUNTED_AMOUNT. 18. (B) Sum Detail 19. Select the Running Page Total Display check box. 20. (B) OK > (B) OK 21. Select the Page Setup tab. 22. Change the Report Title to Receivables Tax Register. 23. Select the Default format tab. 24. Enter the Default Date Format: MM/DD/YYYY 25. (I) Save.

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Tax Accounting Process Chapter 16 - Page 82

Guided Demonstration - Run Tax Register

Responsibility: Report eXchange Designer
(N) > Reports > Tax > Single Request > (B) OK 1. 2. Selected the Financial Tax Register. Enter Parameters Attribute Set: Demo Set Output Format: Text, Reporting Level: Operating Unit Reporting Context: Vision Operations Register Type: Tax Register Tax Class Output Summary Level: Transaction Level Product: AR GL Date Low: 01-Jan- 2001 GL Date High: 31-Mar-2001 (B) OK > (B) Submit > (B) No (M) View > Requests > (B) Find Select Financial Tax Register (B) View Output The RXi reports run two processes, one to create the data file and the other to create the report. These processes can be run together as in this demo or separately. After the first process to load the data has been run, an unlimited number of Attribute Sets can be applied to it to provide different versions of the data by running the Publish RXi reports.

3. 4. 5. 6.

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Tax Accounting Process Chapter 16 - Page 83

Managing Access to RXi Reports and Attribute Sets

Managing Access to RXi Reports and Attribute Sets

To limit user access to RXi reports, perform the following tasks: Assign each RXi report to a request group. Assign the request group to one or more responsibilities. Assign each RXi report attribute set to a responsibility.

Managing Access to RXi Reports and Attribute Sets User access to RXi reports means that a user also has access to any data retrieved into the interface table by RXi reports. Because an attribute set controls the content of the report output, you must assign attribute sets to a responsibility if you want to restrict data access. Use the Define Security window in the Report eXchange Designer responsibility to assign RXi report attribute sets to a request security group. The request security group can then be assigned to one or more responsibilities. If you define a new attribute set, by default this attribute set is available to all users who have access to the associated report. However, if you link this attribute set to a particular responsibility, then only that responsibility can access the attribute set and use it when publishing reports. By default, the Attribute Set window and the Purge RX Interface Data concurrent program available only from the Report eXchange Designer responsibility.

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Tax Accounting Process Chapter 16 - Page 84

Summary

Summary
In this module, you should have learned how to: Overview of Tax Accounting Process Define General Tax Setup Steps Enter Tax Adjustments Explain Tax Reporting Ledger

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Tax Accounting Process Chapter 16 - Page 85

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Tax Accounting Process Chapter 16 - Page 86

Period Closing Process

Chapter 17

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Period Closing Process Chapter 17 - Page 1

Period Closing Process

Period Closing Process

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Period Closing Process Chapter 17 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following:
Define the various actions required to close a period in the Order to Cash eBusiness flow Describe the available reports to assist in the closing process Explain how to run the Revenue Recognition program and the General Ledger interface program

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Period Closing Process Chapter 17 - Page 3

Period Closing Process

Period Closing Process

At the end of each accounting period, companies must complete the closing process.

Review, balance, and reconcile Receivables and Inventory transactions

Complete the transfer to the General Ledger

Review the transfer results, and correct transfer issues

Post journal entries in GL

Period Closing Process Accounting information is transferred from Inventory and Receivables to the General Ledger. The Order Management and Cash Management applications do not send information directly to the General Ledger. It is sent to other applications which then transfer it to the General Ledger.

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Period Closing Process Chapter 17 - Page 4

Overview of Ordering to Period Closing

Overview of Ordering to Period Closing

Ordering Post Journal Entries Shipping

Transfer Accounting Information

Transfer to G/L

Sales Order

Decrement Inventory

Review Invoices and Receipts Run Reports

Reconcile

Overview of Ordering to Period Closing This is an example of the flow of sales orders to the General Ledger. Some orders may not follow the complete cycle or may come from other applications. The orders in the example are shipped, inventory is decremented, they are invoiced and receipts are posted. To finish the process and close the period, they must be reviewed and transferred to the General Ledger.

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Period Closing Process Chapter 17 - Page 5

Standard Reports

Standard Reports

Inventory and Receivables provide a comprehensive set of reports and listings Use these reports to review and reconcile transactions, receipts, journals, and customer balances

Standard Reports Manufacturing and Distributions Manager, Vision Operations (USA) (N) > Reports Receivables, Vision Operations (USA) (N) > Reports Reports can be run as a concurrent process from the Submit Requests window. Use these reports when needed to review activity at any time during the month.

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Period Closing Process Chapter 17 - Page 6

Reconciling Inventory Transactions

Reconciling Inventory Transactions

Use the Material Account Distribution Detail or Summary Report to: View the accounts charged for inventory transactions Reconcile to the inventory accounting transferred to the General Ledger

Reconciling Inventory Transactions Manufacturing and Distributions Manager, Vision Operations (USA) (N) > Reports > Transactions

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Period Closing Process Chapter 17 - Page 7

Reconciling Receivables Transactions, Receipts, and Customer Balances

Reconciling Receivables Transactions, Receipts, and Customer Balances

Reconcile transactions and receipts Reconcile outstanding customer balances Opening balance + Transactions - Receipts = Closing balance Reconcile transaction and receipt accounting flexfield balances

Sales Journal by customer Transaction register Receipt register Submit GL Interface process

Sales Journal by GL Account Journal Entries Report Receipts Journal Report

Reconciling Receivables Transactions, Receipts, and Customer Balances Receivables, Vision Operations (USA) (N) > Reports > Accounting Use the AR Reconciliation Report to start the reconciliation process. It will provide a summary of your customer, transaction, receipt, and account balances for the period that you specify. It can give you a starting point to identify areas that need research. Use these reports to get the detailed information: Sales Journal By Customer Use to review all transactions. Transaction Register Use to check that all items that can be posted are reflected on the Sales Journal. The Sales Journal balance should match the total of the transactions here after adding the credit memo total twice (because it is a negative on the Transaction Register and a positive on the Sales Journal). Receipts Register Use to review a list of receipts. Sales Journal By GL Account Use to ensure that the Transaction Register matches the Sales Journal.
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Period Closing Process Chapter 17 - Page 8

Journal Entries Report Use to review the details that make up the general ledger journal entries. Receipts Journal Report Use to review details of receipts that appear in the Journal Entries report. Aging Report Use the last day of the prior month to get the outstanding opening balance. Transaction Detail Report Use to identify transactions that increase the outstanding opening balance. Adjustments Register Use to identify any adjustments that affect the transactions for the month. Unapplied Receipts Register Use to determine customer balance after taking into account all on-account and unapplied amounts Applied Receipts Register Use to identify receipts that reduce the outstanding opening balance. Invoice Exceptions Report Use to identify transactions that reduce the outstanding opening balance. This report shows all transactions where the Open Receivables flag is set to No. Therefore, the transactions do not display on the aging but do show in the Transaction Register. This can occur when an item can be ordered in Order Management but not invoiced, such as an internal item.

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Period Closing Process Chapter 17 - Page 9

Running Revenue Recognition

Running Revenue Recognition

Revenue Recognition program

Invoices with Accounting Rules

Total Revenue for Invoice

Percent of Revenue Recorded

Running Revenue Recognition Receivables, Vision Operations (USA) (N) > Control > Accounting > Revenue Recognition The revenue recognition program will automatically run prior to the General Ledger transfer process. You can run the Revenue Recognition program manually at any time as well. The program is run to generate the revenue recognition schedule for invoices with accounting rules. Distributions are created and will pass to the General Ledger during the appropriate accounting period. This is an essential process in accrual-based accounting.

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Period Closing Process Chapter 17 - Page 10

Transferring to the General Ledger

Transferring to the General Ledger

Transactions out of balance Submit GL Interface program

Unposted Items Report

GL Interface Table

Transactions in balance

Posting Execution Report

Transferring to the General Ledger Manufacturing and Distributions Manager, Vision Operations (USA) (N) > Accounting Close Cycle > General Ledger Transfers The General Ledger Interface program populates the GL_Interface tables with Oracle Inventory transaction data. The data is transferred in detail to the interface table. Detail vs. summary format, is how data is pulled into GL. The GL dates are used to specify the data to be transferred. The General Ledger Interface automatically runs when the period is closed. The transactions may not balance if: Transfers from Order Management are not completed before closing or totally fail when imported. The General Ledger account is changed to an invalid number before transfer. Other General Ledger Journal Entries are entered that affect the Inventory accounts Reports are run prior to all activity being completed Receivables, Vision Operations (USA) (N) > Interfaces > General Ledger

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Period Closing Process Chapter 17 - Page 11

The General Ledger Interface program populates the GL_Interface tables with Oracle Receivables transaction data. The data can be transferred in detail or summary format. The GL start and end dates are used to specify the range of data to be transferred. The General Ledger Interface produces an execution report that shows the total debits and credits transferred from Receivables into the GL Interface table. Compare this report to the Sales Journal and Receipts Journal totals to verify that they match. The transactions may not balance if: Reports are run with different date ranges The General Ledger account is changed to be invalid before the transfer Other General Ledger Journal Entries affect the Receivable accounts

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Period Closing Process Chapter 17 - Page 12

Running the Journal Import Program

Running the Journal Import Program

GL interface table

Run Journal Import from AR or from GL

Journal entries to be posted

Post journal entries in GL to update account balances

Running the Journal Import Program The journal import program takes the information from the GL Interface table and populates the GL_JE_BATCHES, GL_JE_HEADER, and GL_JE_LINES tables. The journal import program may be run automatically from AR by selecting Yes to Run Journal Import in the GL Interface window. It is normally run by personnel in the General Ledger application. The journal entries that were created by the import program must be posted to update the account balances.

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Period Closing Process Chapter 17 - Page 13

Mapping Receivables Transactions to General Ledger Categories

Mapping Receivables Transactions to General Ledger Categories

Oracle Receivables Transactions Transaction Type Debit Memos Credit Memos Category in General Ledger Debit Memos Credit Memos and Credit Memo Applications On-Account Credits Credit Memos Invoices Sales Invoices Chargebacks Chargebacks Receipts Trade Receipts Adjustments Adjustments Guarantees Sales Invoices Miscellaneous Transactions Miscellaneous Receipts Deposits Sales Invoices

Mapping Receivables Transactions to General Ledger Categories If you experience reconciliation issues between transactions and categories use this map to check your setup information.

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Period Closing Process Chapter 17 - Page 14

Summary

Summary
In this module, you should have learned how to do the following:
Define the various actions required to close a period in the Order to Cash eBusiness flow Describe the available reports to assist in the closing process Explain how to run the Revenue Recognition program and the General Ledger interface program

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Period Closing Process Chapter 17 - Page 15

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Period Closing Process Chapter 17 - Page 16

Bank Reconciliation
Chapter 18

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Bank Reconciliation Chapter 18 - Page 1

Bank Reconciliation

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Bank Reconciliation Chapter 18 - Page 2

Course Objectives

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Bank Reconciliation Chapter 18 - Page 3

Course Objectives

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Bank Reconciliation Chapter 18 - Page 4

Agenda

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Bank Reconciliation Chapter 18 - Page 5

Agenda

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Bank Reconciliation Chapter 18 - Page 6

Reconciliation Overview

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Bank Reconciliation Chapter 18 - Page 7

Reconciliation Integration

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Bank Reconciliation Chapter 18 - Page 8

Oracle Receivables and Payables

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Bank Reconciliation Chapter 18 - Page 9

Oracle General Ledger and Payroll

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Bank Reconciliation Chapter 18 - Page 10

AutoReconciliation Overview

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Automatic Reconciliations

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Bank Reconciliation Chapter 18 - Page 11

Agenda

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Bank Reconciliation Chapter 18 - Page 12

Setting Up Oracle Cash Management and Related Products

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > Overview of Setting Up

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Bank Reconciliation Chapter 18 - Page 13

Practice - Set up a Bank Account

Overview
Set up a bank account in Oracle Cash Management

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Set up the following bank account in Oracle Cash Management: Responsibility = Order Management Super User, Vision Operations (USA) Bank Name: Your last name Bank Branch Name: Your first name Bank Address: Any address you want Account Type: Check Account Use: Internal Currency: USD Document Name: Your terminal ID and your initials Disbursement Type: Combined Payment Format: Standard Check Format Payment Method = Check Last Used: 0 Last Available: 100 Setup: 0
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Bank Reconciliation Chapter 18 - Page 14

Clearing Days: 0 GL Accounts: Cash: 01-000-1110-0000-000 Cash Clearing: 01-000-1250-0000-000 Bank Charges: 01-110-7870-0000-000 Bank Errors: 01-110-7740-0000-000 Confirmed Receipts: 01-000-1250-0000-000 Remitted Receipts: 01-000-1245-0000-000 Factored Receipts: 01-000-1245-0000-000 Short Term Debt: 01-000-2110-0000-000 Unapplied Receipts: 01-000-1240-0000-000 Unidentified: 01-000-1110-0000-000 On Account Receipts: 01-000-1240-0000-000 Earned Discounts: 01-110-7825-0000-000 Unearned Discounts: 01-110-7825-0000-000

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Bank Reconciliation Chapter 18 - Page 15

Solution - Set up a Bank Account

Repeat task title from Task section above or summarize the task if you used Task 1 format. Responsibility = Order Management Super User , Vision Operations 1. 2. 3. 4. 5. 6. 7. 8. 9. Navigate to the Banks window: (N) Setup->Payment->Banks In the Bank Name field, enter your last name as the bank name. In the Bank Branch Name field, enter your first name as the bank branch name. In the Institution field, select Bank. In the Description field, enter a description for your bank. In the Type field, select ABA. Select the Address alternative region. Enter a street address, city, state, and postal code for your bank.

10. Save your work. 11. Click Bank Accounts. 12. In the Bank Accounts Name field, enter a name for your bank account. This is the account name that you will later see in your list of values. 13. In the Bank Accounts Number field, enter your terminal ID as the bank account number. 14. In the Account Use field, select Internal. 15. In the Currency field, select USD. 16. Select the GL Accounts alternative region. 17. Enter the GL account numbers. 18. Select the Receivables Options alternative region. 19. Enter the GL accounts for the Receivables Options region. 20. Select the More Receivables Options alternative region. 21. Enter the GL accounts for the More Receivables Options region.
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Bank Reconciliation Chapter 18 - Page 16

22. Save your work. 23. Click Payables Documents to enter your document information. 24. Enter the document name of Computer/Manual. 25. In the Disbursement Type field, select Combined from the list of values 26. For the Payment Format field, select Standard Check Format. 27. In the Payment Method field, select Check. 28. Select the Additional Information alternative region. 29. In the Last Used field, enter 0 (zero). 30. In the Last Available field, enter 100. 31. In the Clearing Days field, enter 0 (zero). 32. Save your work.

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Bank Reconciliation Chapter 18 - Page 17

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Bank Reconciliation Chapter 18 - Page 18

Setting Up Oracle Cash Management System Parameters

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > System Parameters

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Bank Reconciliation Chapter 18 - Page 19

Practice - Set up Classes and Payment Methods

Overview
In this practice you will set up two classes/payment methods: One for customer-related receipts, One for miscellaneous transactions

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
In Oracle Receivables, set up two classes/payment methods. Responsibility = Order Management Super User, Vision Operations (USA) 1. For customers-related receipts:

-Your receipt class name: Your Initials-PM -Creation Method: Manual -Remittance Method: Standard -Clearance Method: By Matching -Payment Method: Your Initials-Payment 2. For miscellaneous transactions:

-Your receipt class name: Your Initials-Misc -Creation Method: Manual -Remittance Method: No Remittance -Clearance Method: By Matching -Payment Method: Your Initials-Misc
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Bank Reconciliation Chapter 18 - Page 20

Solution Set up Classes and Payment Methods

In Oracle Receivables, set up two classes/payment methods: one for customersrelated receipts and one for miscellaneous transactions. Responsibility = Order Management Super User, Vision Operations (USA) 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Switch your responsibility to Oracle Receivables. Navigate to the Receipts Classes window: (N) Setup>Receipts>Receipt Classes In the Name field, enter Your Initials-PM. In the Creation Method field, select Manual. In the Remittance Method field, select Standard. In the Clearance Method field, select By Matching. In the Payment Method Name field, enter Your Initials-Payment. Click Bank Accounts. In the Bank Name field, select your bank from Practice 1. In the Account Name field, select your account name from Practice 1. The system displays the GL accounts. Save your work.

Navigate to the Receipts Classes window to set up the class/payment method for miscellaneous transactions: 13. 14. 15. 16. 17. 18. 19. 17.(N) Setup>Receipts>Receipt Classes In the Name field, enter Your Initials-Misc. In the Creation Method field, select Manual. In the Remittance Method field, select No Remittance. In the Clearance Method field, select By Matching. In the Payment Method Name field, enter Your Initials-Misc. Click Bank Accounts.
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Bank Reconciliation Chapter 18 - Page 21

20. 21. 22. 23.

In the Bank Name field, select your bank from Practice 1. In the Account Name field, select your account name from Practice 1. The system displays the GL accounts. Save your work.

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Bank Reconciliation Chapter 18 - Page 22

Setting Up Bank Transaction Codes

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > Bank Transaction Codes

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Bank Reconciliation Chapter 18 - Page 23

Practice - Set up Bank Transaction Codes

Overview
In this practice you will set up bank transaction codes for your bank from practice Set up a Bank Account.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
In Oracle Cash Management, set up bank transaction codes for your bank from Practice Set up a bank account. Responsibility = Order Management Super User, Vision Operations (USA) 1. Your bank transaction codes are: Misc Payment = 100 Misc Receipt = 200 NSF = 300 Payment = 400 Receipt = 500 Rejected = 600 Stopped Payments = 700

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Bank Reconciliation Chapter 18 - Page 24

Solution Set up Bank Transaction Codes

In Oracle Cash Management, set up bank transaction codes for your bank from Practice Set up a bank account. Responsibility = Order Management Super User, Vision Operations (USA) 1. 2. Switch your responsibility to Oracle Cash Management. Navigate to the Bank Transaction Codes window: 3. 4. 5. (N) Setup>Bank Transaction Codes

In the Find Bank Account window, select your bank account from Practice 1. In the Bank Transaction Codes window, enter transaction types and codes. Save your work.

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Bank Reconciliation Chapter 18 - Page 25

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Agenda

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Bank Reconciliation Chapter 18 - Page 27

Bank Statement Open Interface

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > Bank Statement Open Interface

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Bank Reconciliation Chapter 18 - Page 28

Bank Statement Open Interface

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Bank Statement Open Interface

(Help) Oracle Financial Applications > Oracle Cash Management > Loading Bank Statements > Loading Bank Statement Open Interface

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Bank Reconciliation Chapter 18 - Page 30

Importing Bank Statements

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Bank Statement Validation

(Help) Oracle Financial Applications > Oracle Cash Management > Loading Bank Statements > Importing Bank Statements > About Bank Statement Validation

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Bank Reconciliation Chapter 18 - Page 32

Bank Statement Interface Errors

(Help) Oracle Financial Applications > Oracle Cash Management > Loading Bank Statements > Reviewing Bank Statement Interface Errors

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Bank Reconciliation Chapter 18 - Page 33

Setup for Bank Statement Open Interface

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > Bank Statement Open Interface

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Bank Reconciliation Chapter 18 - Page 34

Agenda

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Bank Reconciliation Chapter 18 - Page 35

Entering Bank Statements Manually

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Entering Bank Statement Information Manually

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Bank Reconciliation Chapter 18 - Page 37

Agenda

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Bank Reconciliation Chapter 18 - Page 38

Archiving and Purging

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statement > Manually Clearing and Unclearing > Archiving and Purging Imported Bank Statements

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Bank Reconciliation Chapter 18 - Page 39

Archiving and Purging Automatically

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Bank Reconciliation Chapter 18 - Page 40

Agenda

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Bank Reconciliation Chapter 18 - Page 41

Reconciling Bank Statements Automatically

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Automatic Reconciliations

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Bank Reconciliation Chapter 18 - Page 42

Agenda

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Bank Reconciliation Chapter 18 - Page 43

Reconciling Bank Statements Manually

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Manual Reconciliation

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Bank Reconciliation Chapter 18 - Page 44

Creating Miscellaneous Transactions

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Automatic Reconciliations

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Bank Reconciliation Chapter 18 - Page 45

Recording a Bank Transmission Error

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Bank Reconciliation Chapter 18 - Page 46

Recording Transactions from External Systems

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Bank Reconciliation Chapter 18 - Page 47

Reconciliation Open Interface

(Help) Oracle Financial Applications > Oracle Cash Management > Setting Up Cash Management > Reconciliation Open Interface

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Bank Reconciliation Chapter 18 - Page 48

Agenda

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Bank Reconciliation Chapter 18 - Page 49

Manually Clearing and Unclearing

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Bank Reconciliation Chapter 18 - Page 50

Practice - Enter, Format, and Approve Receipts

Overview
In this practice you will enter, format, and approve receipts in Oracle Receivables.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Enter, format, and approve the following receipts in Oracle Receivables: Responsibility = Order Receivables Super User, Vision Operations (USA) Customer Name: Any customer Receipt Type: Cash Currency: USD Receipt Date: Today GL Date: Today XX = Your Initials

Receipt # Receipt Amount XX-1 XX-2 XX-3 3,000 4,000 5,000

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Bank Reconciliation Chapter 18 - Page 51

Solution Enter, Format, and Approve Receipts

Enter, format, and approve the following receipts in Oracle Receivables: Responsibility = Order Receivables Super User, Vision Operations (USA) Step 1: Entering Receipts 1. 2. 3. 4. 5. Switch your responsibility to Oracle Receivables. Navigate to the Receipts window: (N) Receipts>Receipts In the Receipt Number field, enter Your Initials-1. In the Currency field, accept the default currency. In the Receipt Date field, accept the default date.

6. In the Payment Method field, select the customers-related payment method that you created in Practice 2. 7. 8. 9. In the Customer Name field, select a customer from the list of values. Save your work. Repeat the above steps for the two remaining receipts.

Step 2: Entering and Approving Remittance Batches 1. 2. 3. 4. 5. 6. 7. Navigate to the Remittances window: (N) Receipts>Remittances In the Batch Type field, select Remittance. Accept the default batch and GL dates. In the Remittance Method field, select Standard. In the Receipt Class field, select your customers-related receipt class from Practice 2. In the Payment Method field, select your receipt class from Practice 2. Leave the Media Reference field blank.

8. In the Deposit Number field, enter your birthday as the deposit number. This is a very important step. If you want to enter another number, please write down the deposit number.
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Bank Reconciliation Chapter 18 - Page 52

9.

Click Manual Create to open the Maintain Remittance Receipts Batch window.

10. With the cursor in the Payment Method field of the Receipt region, query your receipt numbers. 11. 12. Select the check boxes to the left of your receipt numbers. Click Format to approve and format your batch.

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Bank Reconciliation Chapter 18 - Page 53

Clearing and Reconciling Transactions in Oracle Payables

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Bank Reconciliation Chapter 18 - Page 54

Clearing and Reconciling Transactions in Oracle Receivables

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Bank Reconciliation Chapter 18 - Page 55

Transferring Entries to Your General Ledger

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Bank Reconciliation Chapter 18 - Page 56

Agenda

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Bank Reconciliation Chapter 18 - Page 57

How to Record Exceptions

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Recording Exceptions

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Bank Reconciliation Chapter 18 - Page 58

How to Record Exceptions

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Bank Reconciliation Chapter 18 - Page 59

Handling NSF or Rejected Receipts Manually

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Bank Reconciliation Chapter 18 - Page 60

Recording a Stopped Payment

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Bank Reconciliation Chapter 18 - Page 61

Recording a Direct Debit from a Supplier

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Bank Reconciliation Chapter 18 - Page 62

Practice - Enter, Approve, and Pay Invoices

Overview
In this practice you will enter, approve, and pay invoices in Oracle Payables.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Enter, approve, and pay the following invoices in Oracle Payables: Responsibility = Order Payables Super User, Vision Operations (USA) Supplier Name: Ask your instructor. XX = Your Initials Invoice # Invoice Amount GL Account XX-1 XX-2 XX-3 1,500 2,500 3,500 01-110-7110-0000-000 01-110-7110-0000-000 01-110-7110-0000-000

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Bank Reconciliation Chapter 18 - Page 63

Solution Enter, Approve, and Pay Invoices

Enter, approve, and pay the following invoices in Oracle Payables: Responsibility = Order Payables Super User, Vision Operations (USA) 1. Step 1: Entering Invoices 2. Switch your responsibility to Oracle Payables.

Navigate to the Invoices window: (N) Invoices>Entry>Invoices

3. 4. 5. 6. 7. 8. 9.

In the Supplier field, enter the supplier name. Oracle Payables displays the supplier number. In the Site field, enter the site name. In the Invoice Date field, accept the default date. In the Invoice Number field, enter Your Initials-1. In the Invoice Amount field, enter 1,500. Click Distributions to open the Distributions window. In the Amount field, enter 1,500.

10. In the Account field, enter the GL account. 11. Save your work. 12. Repeat above steps to enter invoices 2 and 3. 13. Save your work. Step 2: Approving Invoices 1. To approve invoices, select all invoices: 2. 3. 4. (M) Edit>Select All

Click Actions to open the Invoice Actions window. Select the Approve check box. Select OK.

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Bank Reconciliation Chapter 18 - Page 64

Step 3: Paying Invoices 1. 2. 3. 4. 5. 6. 7. 8. 9. In the Invoices window, select the first invoice. Click Actions to open the Invoice Actions window. Select the Pay in Full check box. Click OK. Oracle Payables displays the Payments window. In the Type field, select Quick. In the Bank Account field, enter your bank account from Practice 1. Oracle Payables displays your document name in the Document Name field. In the Payment Amount field, enter the invoice amount. Click Actions. Oracle Payables displays the Payment Actions window. Select the Format check box.

10. Click OK. 11. Navigate to the Invoices window and repeat the above steps for the two remaining invoices.

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Bank Reconciliation Chapter 18 - Page 65

Entering Reversals

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Bank Reconciliation Chapter 18 - Page 66

Reconciling Corrections and Adjustments to Bank Errors

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Bank Reconciliation Chapter 18 - Page 67

Practice - Reconcile Bank Statements

Overview
In this practice you will reconcile a monthly statement that your bank has sent you.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Your bank has sent you the monthly statement. Enter the information to Oracle Cash Management. Responsibility = Order Management Super User, Vision Operations (USA) Your Bank Account Statement 123 Main St. San Jose, CA 95014 Beginning Balance = 5,000 Transaction Date Transaction Number Description Amount Balance

Current Date Your Birthday Deposit

12000

17000

Current Date 1

Payment

1500

15500

Current Date 2

Payment

2500

15500

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Bank Reconciliation Chapter 18 - Page 68

Current Date 3

Payment

3500

9500

Ending Balance = 9,500

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Bank Reconciliation Chapter 18 - Page 69

Solution Reconcile Bank Statements

Your bank has sent you the monthly statement. Enter the information to Oracle Cash Management. Responsibility = Order Management Super User, Vision Operations (USA) 1. 2. Switch your responsibility to Oracle Cash Management. Navigate to the Reconcile Bank Statements window: 3. 4. 5. 6. 7. 8. 9. (N) Bank Reconciliation>Bank Statements

Close the Find Bank Statements window. In the Reconcile Bank Statements window, click New. Oracle Cash Management opens the Bank Statement window. In the Account Number field, enter your bank account number from Practice 1. In the Date field, enter todays date (DD-MMM-YYYY). In the Statement Number field, accept the default. In the Control Totals region, enter the information based on your bank statement. Click Lines to open the Bank Statement Lines window and enter bank transactions.

10. In the Line Number field, enter 1. 11. In the Type field, select Receipt. 12. In the Code field, select the transaction code. 13. In the Number field, enter the transaction number (your birthday). 14. In the Amount field, enter 12,000. 15. Follow the above steps for entering bank payments in the next three lines. 16. Save your work.

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Bank Reconciliation Chapter 18 - Page 70

AutoReconciliation Matching

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Bank Reconciliation Chapter 18 - Page 71

Reversal Method

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Bank Reconciliation Chapter 18 - Page 72

Adjustment Method

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Bank Reconciliation Chapter 18 - Page 73

Manual Reconciliation Matching

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Bank Reconciliation Chapter 18 - Page 74

Agenda

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Bank Reconciliation Chapter 18 - Page 75

Value Date Support

(Help) Oracle Financial Applications > Oracle Cash Management > Reconciling Bank Statements > Automatic Reconciliation > About Value Dates

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Bank Reconciliation Chapter 18 - Page 76

Value Date Support in Oracle Payables and Oracle Receivables

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Value Date Derivation in Applications

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Bank Reconciliation Chapter 18 - Page 78

Selection Hierarchy for Value Date Support

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Bank Reconciliation Chapter 18 - Page 79

Business Benefits of Value Date Support

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Bank Reconciliation Chapter 18 - Page 80

Agenda

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Bank Reconciliation Chapter 18 - Page 81

Oracle Cash Management Reports

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Bank Reconciliation Chapter 18 - Page 82

Archive/Purge Bank Statements Report

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Bank Reconciliation Chapter 18 - Page 83

AutoReconciliation Execution Report

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Bank Reconciliation Chapter 18 - Page 84

Bank Statement Detail Report

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Bank Reconciliation Chapter 18 - Page 85

Bank Statement Summary Report

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Bank Reconciliation Chapter 18 - Page 86

Bank Statements by Document Number Report

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Bank Reconciliation Chapter 18 - Page 87

GL Reconciliation Report

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Bank Reconciliation Chapter 18 - Page 88

Cash in Transit Report

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Bank Reconciliation Chapter 18 - Page 89

Cleared Transactions Report

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Bank Reconciliation Chapter 18 - Page 90

Transactions Available for Reconciliation Report

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Bank Reconciliation Chapter 18 - Page 91

Bank Transaction Codes Listing

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Bank Reconciliation Chapter 18 - Page 92

Summary

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Bank Reconciliation Chapter 18 - Page 93

Summary

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Bank Reconciliation Chapter 18 - Page 94

Overview of Credit Management

Chapter 19

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Overview of Credit Management Chapter 19 - Page 1

Overview of Credit Management

Overview of Credit Management

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Overview of Credit Management Chapter 19 - Page 2

Objectives

Objectives
After completing this module you should be able to do the following: Setup for credit management Demonstrate credit profile changes Identify credit management processing Use workflow and lookups Review credit management performance Apply credit hierarchy

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Overview of Credit Management Chapter 19 - Page 3

Agenda

Agenda
Setting up for credit management Identifying credit management processing Using workflow and lookups Reviewing credit management performance Applying credit hierarchy

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Overview of Credit Management Chapter 19 - Page 4

Set Up Oracle Credit Management

Set Up Oracle Credit Management

During setup, you define your credit policies that determine the data used for analysis, the credit scores that are calculated, and the credit recommendations that are made.

Set Up Oracle Credit Management Credit policies are uniquely identified by the type of credit reviews that you perform at your enterprise, as well as by the credit relationships that you have with your customers and prospects. These two dimensions, known as the credit review type and credit classification, constitute the foundation upon which Oracle Credit Management is based. To set up Credit Management, you must: Define credit analysts Assign credit analysts to accounts Define Credit Management lookups Define Credit Management system options Define scoring models Assign automation rules (optional) Define checklists Verify usage rules Define the credit hierarchy for your customers and prospects

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Overview of Credit Management Chapter 19 - Page 5

Define Credit Analysts

Define Credit Analysts

You use Resource Manager to enter information about the credit analysts in your enterprise. Credit analysts assist in the resolution of creditrelated issues and evaluate the creditworthiness of your customers and prospects. Two seeded roles exist for Credit Management:

Credit Analyst

Credit Manager

Define Credit Analysts Before you can define credit analysts in Resource Manager, you must first define them as employees in Oracle Human Resources Management System (HRMS). Later, when you are ready to define your credit analysts, you import employees from HRMS into Resource Manager and assign roles. After you define a credit analyst, you can modify any of the analysts information, except the employee and user names. Note: You can assign the credit manager role to a credit analyst. A credit manager has access to setup functionality.

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Overview of Credit Management Chapter 19 - Page 6

Assign Credit Analyst to Accounts

Assign Credit Analyst to Accounts

Assign credit analysts to your customers and accounts to indicate who is responsible for monitoring the creditworthiness of the account and for assisting in the resolution of creditrelated issues.

Assign Credit Analyst to Accounts To assign a credit analyst to a customer or account, you update the assigned profile class. If the applicant does not have an assigned credit analyst, or is a prospect, then any credit review for that applicant is routed to the Credit Scheduler for analyst assignment

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Overview of Credit Management Chapter 19 - Page 7

Define Lookups

Define Lookups
Credit Management uses lookups to help speed data entry and increase accuracy. You can use the predefined lookups that Credit Management provides, or you can create additional lookups where required.

Define Lookups For example, to identify an applicants potential credit risk, you must select a credit classification, if not previously assigned, when entering a credit application. The credit classification describes the type of credit relationship that you have with the applicant. Credit Management provides you with High Risk, Low Risk, and Moderate Risk, but you can optionally define new credit classifications to fit your business needs. You use the Oracle Receivables Lookups window to define any additional lookups that you require.

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Overview of Credit Management Chapter 19 - Page 8

Define System Options

Define System Options

You are required to define these system options for Credit Management: Aging Bucket Default Customer Profile Class DQM Matching Rule Name Period for Time Sensitive Data Application Numbering Option Exchange Rate Type DSO Days (Days Sales Outstanding)
Delinquent Days Sales Outstanding (DDSO)

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Overview of Credit Management Chapter 19 - Page 9

Define Scoring Models

Define Scoring Models

You use the View Scoring Models page to view the different scoring models that correspond to your enterprises credit policies. A scoring model evaluates your customer or prospects creditworthiness based on specific criteria that you define.

Define Scoring Models A scoring model consists of a group of data points, with scored ranges and a relative weighting factor for each data point. During a credit analysis, Credit Management calculates a score from 0 to 100, with 0 representing the most risk and 100 representing the least risk. The View Scoring Models page displays a table of all existing scoring models. You can view and update the scoring models by clicking the respective inline icons, or you can define a new scoring model. You can assign a default scoring model to a credit checklist. Alternatively, you can generate various whatif scenarios during a credit review by selecting different scoring models from the case folder.

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Overview of Credit Management Chapter 19 - Page 10

Assign Automation Rules

Assign Automation Rules

For any scoring model, you can define a set of automation rules to guide the implementation of credit decisions without user intervention. Such automation is preferable when the credit risk, as defined by your enterprises credit policies, is minimal. You can define a set of automation rules for any of your scoring models, provided that: A checklist and scoring model are defined and assigned to a credit review type and credit classification combination Automation rules do not yet exist for the combination

Assign Automation Rules Automation rules base credit decisions upon the credit score that the assigned scoring model calculates. For each automation rule, you define recommendations for a related credit score range. For example, if the credit score is below 50, you might want to automatically reject a credit request. The Automation Rules page provides you with an overview of all scoring models for which a set of automation rules is defined. You can view and update existing sets of automation rules by clicking the respective inline icons, or you can create a new set. Note: This step is optional.

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Overview of Credit Management Chapter 19 - Page 11

Credit Checklist

Credit Checklist
For each credit review type and credit classification combination, you assign a credit checklist. The checklist indicates the type of credit analysis, from conservative to aggressive, that you require for an applicant. In this manner, you can effectively enforce your enterprises credit policies.

Credit Checklist For example, when a high risk customer seeks to increase its credit limit with your enterprise, your credit policies might dictate a conservative approach until this customer relationship is more established. In this scenario, you would use a conservative checklist to determine whether to grant additional credit and what the credit limit should be. The flexible setup procedures that follow reflect Oracle Credit Managements ability to meet the demands of your enterprises particular credit policies.

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Overview of Credit Management Chapter 19 - Page 12

Credit Usage Rule Sets

Credit Usage Rule Sets

Confirm the credit usage rule sets that are assigned to your customer profile classes. In Credit Management, credit usage rule sets ensure that all transactions for the specified currencies are converted to the credit currency and included in data point calculations in the case folder.

Verify Credit Usage Rule Sets For example, if a customer is assigned the Default profile class with a credit usage rule set that includes USD, EUR, and CAD, then any transactions of those currencies are included in that customers case folder for data points such as Count of Open Invoices or Amount of Open Invoices. In Oracle Order Management, credit usage rule sets define the set of currencies that will share a predefined credit limit during the credit checking process, and enable the grouping currencies for global credit checking.

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Overview of Credit Management Chapter 19 - Page 13

Define Credit Hierarchies

Define Credit Hierarchies

Relationship Manager lets you easily build, view, and edit relationships between entities. Using Relationship Manager, you can: View a single party and all its relationships Create new relationships and edit existing relationships Focus on a particular portion of a hierarchy and edit the hierarchical structure

Define Credit Hierarchies To provide global credit limits that are shared by some or all entities within a complex, multinational organization, you can define credit relationships between parties using Oracle Trading Community Architecture Relationship Manager. You can define a credit hierarchy of parties, party relationships, hierarchy levels, accounts, and account sites. Typically, the party object and party subject in a credit relationship represent a parent and child, or HQ and division hierarchy. For each entity in the hierarchy, you can view credit information, such as credit hold status, credit limits by currency, and credit review cycle. Using Relationship Manager, you assign to your entities an existing relationship type, such as Global Ultimate, or your own userdefined Credit Management relationship type. You then link the relationships to Credit Management by assigning the relationship type to the AR: Credit Hierarchy Type profile option. When you conduct a credit review for an entity that has hierarchical relationships, Credit Management consolidates and displays all data for the entire hierarchy.

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Overview of Credit Management Chapter 19 - Page 14

Define Customer Profile Classes

Define Customer Profile Classes

You use customer profiles to group customer accounts with similar credit worthiness, business volume, and payment cycles. For each profile class you can define information such as credit limits, payment terms, statement cycles, invoicing, and discount information.

Define Customer Profile Classes You can also define amount limits for your finance charges, dunning, and statements for each currency in which you do business. Define your standard customer profiles in the Customer Profile Classes window. These profiles contain generic options you can use to group your customers into broad categories. For example, you might define three categories: one for prompt paying customers; one for late paying customers with high finance charge rates; and a third for customers who mostly pay on time, with discount incentives for early payment. You can also use the profile class DEFAULT, which Oracle Receivables provides.

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Overview of Credit Management Chapter 19 - Page 15

Customer Profile Classes: Credit Profile Tab

Customer Profile Classes: Credit Profile Tab

The Credit Profile tab is used to define customer defaults for Credit Management processing. You can define: Periodic Review Cycle Credit Analysis Credit Tolerance

Credit Profile Tab in Customer Profile Classes form Periodic Review Cycle Defines the frequency of automatic reviews for a customer. Note: Eligible reviews are processed via the Periodic Review Cycle concurrent program. Credit Analysis The credit analysis automatically is assigned to all parties, accounts, and sites which have this profile class. Credit Tolerance The percentage upon which credit exposure is exceeded before an order will be placed on credit holds. Credit holds automatically submit a credit request.

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Overview of Credit Management Chapter 19 - Page 16

Use Customers-Standard

Use Customers-Standard
You can assign a profile class to customers and addresses through the CustomersStandard window. The customer profile class you assign provides the default values, which you can optionally customize to meet specific requirements for each customer or address.

Customers-Standard Window If a profile is assigned to a customer and an address of the same customer, the options set at the address level take precedence over those set at the customer level. For statement site and dunning site profile amounts, however, Receivables uses the options at the address level only if you set the AR: Use Statement Site & Dunning Site Profiles profile option to Yes.

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Overview of Credit Management Chapter 19 - Page 17

Agenda

Agenda
Setting up for credit management Identifying credit management processing Using workflow and lookups Reviewing credit management performance Applying credit hierarchy

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Overview of Credit Management Chapter 19 - Page 18

Process Credit Reviews

Process Credit Reviews

You use credit management to process credit reviews for both your customers and prospects. Depending on your setup, some types of credit reviews might require the assistance of a credit analyst, while other types might not require any user intervention at all. You can divide the credit review process into four stages: Initiating a credit review Collecting credit data Analyzing credit data Making and implementing the recommendation

Credit Review Process During the credit review, the Credit Management Application workflow manages the process flow of credit data collection and analysis, as well as the implementation of credit decisions. In addition, Credit Management provides various tools that you can use to determine if your credit policies are effective.

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Overview of Credit Management Chapter 19 - Page 19

Initiate a Credit Review

Initiate a Credit Review

All credit reviews begin with either a manual or automatic request: Credit or other personnel can manually initiate a credit review for a customer or prospect by submitting an online credit application, or by creating a case folder without a credit application. A case folder is an electronic representation of a hardcopy credit file. Certain business events can automatically initiate a credit review by calling the Credit Review Request API. This type of request creates a credit application and case folder without user intervention.
Initiate a Credit Review For example, if a sales order is put on credit hold, then the credit hold process in Oracle Order Management passes this information to the Credit Review Request API, which automatically initiates a credit review. Other events, such as a quarterly review, can also trigger a credit review. Note: You can also use the Credit Review Request API to initiate a credit review from a non Oracle system.

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Overview of Credit Management Chapter 19 - Page 20

Collecting Credit Data

Collecting Credit Data

During a credit review, you collect credit data for your customers and prospects. The type of credit data that you collect for every credit review is determined by the credit checklist. Credit Management uses credit checklists in two places:

Credit application

Case folder

Collecting Credit Data The credit checklist indicates which data points are required for different types of credit analyses and decisions, and can optionally indicate which scoring model will be used for the review. In this way, the checklist enforces your enterprises credit policies. If the checklist identifies required data points that already exist within Oracle Applications or are calculable, such as available credit, aging, and so on, then Credit Management automatically inserts that information directly into the credit application and case folder. If the checklist requires data points that must be manually supplied, such as bank and trade references, then a credit analyst must enter the required data into the credit application or case folder.

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Overview of Credit Management Chapter 19 - Page 21

Analyzing Credit Data

Analyzing Credit Data

After initiating the review request and collecting data, the third stage of a credit review is the credit analysis. Credit Management provides you with Credit Analysis data pages that help you to make appropriate credit recommendations.

Analyzing Credit Data The Credit Analysis data pages comprise the universe of data points for the applicant. The Credit Analysis data pages that are available off of the Analysis tab include: Credit Analysis: Case Folder Credit Analysis: Credit Summary Credit Analysis: Billing and Payment Details Credit Analysis: Aging Details

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Overview of Credit Management Chapter 19 - Page 22

Making a Recommendation

Making a Recommendation
At the conclusion of a credit review, either Credit Management or a credit analyst makes a recommendation in response to the original credit request: If a credit review is automated, then Credit Management attempts to automatically make and implement credit decisions without the assistance of credit personnel, based upon the calculated credit score. If a credit analyst is managing the credit review, then the analyst records recommendations in the case folder, based on the credit analysis and resulting credit score.
Making a Recommendation Generally, a recommendation is specific to the type of review that was just concluded. For example, a credit review that an order hold originally initiated would most likely result in a recommendation to: Increase the credit limit to accommodate the amount of the order and remove the order from hold. Deny the request for an increase in the credit limit and leave the order on hold.

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Overview of Credit Management Chapter 19 - Page 23

Implementing the Recommendation

Implementing the Recommendation

If additional approval is unnecessary or the approval was already obtained, then the workflow calls the appropriate APIs to implement the recommendation.

Implementing the Recommendation Receivables automatically implements the recommendation after all required parties have approved it. For example, if the recommendation indicates that the order should be removed from credit hold, then the workflow will call the Remove Credit Hold API and pass the necessary information, such as order ID, account ID, and so on, to initiate the process.

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Overview of Credit Management Chapter 19 - Page 24

Agenda

Agenda
Setting up for credit management Identifying credit management processing Using workflow and lookups Reviewing credit management performance Applying credit hierarchy

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Overview of Credit Management Chapter 19 - Page 25

Credit Management Application Workflow

Credit Management Application Workflow

This workflow manages the process flow of gathering and analyzing account or prospect credit data, and making and implementing credit decisions.

Credit Management Application Workflow For each credit review, the workflow checks the automation rules that you previously defined: If the credit review is automated, then the workflow attempts to automatically make and implement credit decisions without user intervention. If the workflow stops due to conditions such as missing data, then the workflow routes notifications to the appropriate credit analyst for resolution. If a credit analyst was never assigned because the credit review was automated, then the workflow notifies the user with the Credit Scheduler responsibility that a credit analyst must be assigned. The Credit Scheduler can select the credit analyst to be assigned from the List of Values. The assigned credit analyst then receives a notification that they have a credit request in their queue. If the credit review is not automated, then the workflow assigns the credit review to the appropriate credit analyst and notifies the analyst about the assignment. With unautomated credit reviews, credit analysts make recommendations, such as increasing or decreasing the credit limit, after performing the credit analysis.

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Overview of Credit Management Chapter 19 - Page 26

Oracle Approvals Management (AME)

Oracle Approvals Management (AME)

To determine if credit decisions require approval, the workflow uses the approval rules that you defined in Oracle Approvals Management (AME). Oracle Approvals Management is a selfservice Web application that you can use to define business rules that govern who must approve transactions in other Oracle applications.

Oracle Approvals Management (AME) Once you define the rules for a given application, the Oracle Approvals Management Engine manages the approvals for that applications transactions. If approval is required, then the workflow routes notifications according to the approval hierarchy: If the recommendation is approved by the appropriate personnel, then the workflow automatically implements the decision. If the recommendation is rejected as it is routed through the approval hierarchy, then the workflow sends notifications to the appropriate personnel and updates the case folder. If a credit analyst cannot be identified, then the workflow notifies the person assigned to the Credit Scheduler role that a credit analyst assignment is required. The Credit Scheduler is a role used in Credit Management to assign credit tasks to credit analysts.

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Overview of Credit Management Chapter 19 - Page 27

Agenda

Agenda
Setting up for credit management Identifying credit management processing Using workflow and lookups Reviewing credit management performance Applying credit hierarchy

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Overview of Credit Management Chapter 19 - Page 28

Review Credit Management Performance

Review Credit Management Performance

Credit Management provides you with comparison tools that help you to determine if your credit policies have adequately assessed the creditworthiness of your customers.

Review Credit Management Performance On the Performance tab, you can access simple views into the workload and effectiveness of the checklists and scoring models that you have set up and used in credit reviews, including: Credit Workload Quick Check Top 10 Customer Credit Exposure Customer Trends (Pay Trend) Checklist Usage by Month Scoring Model Usage by Month

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Overview of Credit Management Chapter 19 - Page 29

Agenda

Agenda
Setting up for credit management Identifying credit management processing Using workflow and lookups Reviewing credit management performance Applying credit hierarchy

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Overview of Credit Management Chapter 19 - Page 30

Define Credit Hierarchies

Define Credit Hierarchies

To provide global credit limits that are shared by some or all entities within a complex, multinational organization, you can define credit relationships between parties using Oracle Trading Community Architecture Relationship Manager.

Use Relationship Manager Relationship Manager lets you easily build, view, and edit relationships between entities. Using Relationship Manager, you can: View a single party and all its relationships Create new relationships and edit existing relationships Focus on a particular portion of a hierarchy and edit the hierarchical structure

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Overview of Credit Management Chapter 19 - Page 31

Identify a Credit Hierarchy

Identify a Credit Hierarchy

You can define a credit hierarchy of parties, party relationships, hierarchy levels, accounts, and account sites. Typically, the party object and party subject in a credit relationship represent a parent and child, or HQ and division hierarchy. For each entity in the hierarchy, you can view credit information, such as:

Credit hold status

Credit limits by currency

Credit review cycle

Use Relationship Manager Using Relationship Manager, you assign to your entities an existing relationship type, such as Global Ultimate, or your own userdefined Credit Management relationship type. You then link the relationships to Credit Management by assigning the relationship type to the AR: Credit Hierarchy Type profile option. When you conduct a credit review for an entity that has hierarchical relationships, Credit Management consolidates and displays all data for the entire hierarchy.

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Overview of Credit Management Chapter 19 - Page 32

Summary

Summary
In this module you should have learned how to: Setup for credit management Demonstrate credit profile changes Identify credit management processing Use workflow and lookups Review credit management performance Apply credit hierarchy

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Overview of Credit Management Chapter 19 - Page 33

Copyright Oracle Corporation, 2003. All rights reserved.

Overview of Credit Management Chapter 19 - Page 34

11i Order to Cash Fundamentals Supplemental Practices

Chapter 20

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 1

11i Order to Cash Fundamentals Supplemental Practices

11i Order to Cash Fundamentals Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 2

Objective

Objective
These Practices have been compiled to allow the learner to apply their knowledge of Oracle Order to Cash by completing exercises that build upon one another. In performing these practices, the learner will be able to obtain an understanding of the flow of transactions and the implications of system implementation decisions.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 3

Practice - Instructor Preparation

Tasks
Verify that accounting periods in Accounts Receivable for Vision Operations and the Inventory Organization - Seattle Manufacturing are open. The current month should correspond to the current calendar period. 1. AR Periods 2. Responsibility: Receivables Manager (N) Control > Accounting > Open/Close Periods

INV Periods Responsibility: Inventory Super User, Vision Operations (USA) (N) Accounting Close Cycle > Inventory Account Periods Select appropriate Inventory Organization

3.

De-select the Automatic Site Numbering for Customers.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 4

Manage Parties and Customer Accounts

Manage Parties and Customer Accounts

Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 5

Practice - Create a Customer Profile Class

Overview
In this practice you will create a customer profile class

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a new customer profile class: XX-New Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Profile Classes window (N) Customers > Profile Classes Name: XX-New Description (unnamed field): XX New

2.

Use the following information to define your profile class: Collector: Pat Payment Terms: 30 Net Match Receipts By: Transaction Number Auto Cash Rule Set: Standard Remainder Rule Set: Standard Charge Interest : Unchecked Statement Cycle: Monthly (25th day of every month) Tax Printing Method: Itemize and Sum Dunning Letter Set: STANDARD Use the following information to specify limits in USD Min Receipt Amount: 15.00 Min Statement Amount: 100.00 Min Dunning Amount: 50.00 Min Dunning Invoice Amount: 50.00 Credit Limit: 100,000.00
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3.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 6

 Order Credit Limit: 10,000.00

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 7

Solution - Create a Customer Profile Class

Create a new customer profile class: XX-New Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Profile Classes window (N) Customers > Profile Classes Name: XX-New Description (unnamed field): XX New

2.

(T) Profile Class Collector: Pat Payment Terms: 30 Net Match Receipts By: Transaction Number Auto Cash Rule Set: Standard Remainder Rule Set: Standard Charge Interest : Unchecked Statement Cycle: Monthly (25th day of every month) Tax Printing Method: Itemize and Sum Dunning Letter Set: STANDARD Leave all other defaults (T) Profile Class Amounts Currency: USD Min Receipt Amount: 15.00 Min Statement Amount: 100.00 Min Dunning Amount: 50.00 Min Dunning Invoice Amount: 50.00 Credit Limit: 100,000.00 Order Credit Limit: 10,000.00 (I) Save

3. 4.

5.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 8

Practice - Create a Customer using the Standard Data Entry Form

Overview
In this practice you will create a customer using the standard customer entry form.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a new customer: XX-Big City, with two addresses Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window 2. (N) Customers > Standard Name: XX-Big City

Create customer XX-Big City with the following information: Profile Class: XX-New Class: High Technology Sales Channel: Commercial Price List: Corporate Enter address information according to the following table:
Field Country Address City State Postal Code County Value United States 102 N. LaSalle Chicago IL 60601 Cook
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3.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 9

4. 5.

This address is a non-primary Bill To address: Location: IL Chicago This address is the primary Ship To address. Invoices should be sent to the IL Chicago Bill To location. Location: IL Chicago Specify salesperson information: Salesperson: Abbott, Ms. Rachel Specify default order information. Order Type: Mixed Warehouse: Seattle Manufacturing Specify contact information. Last Name: Cooley First: Peggy Add a second address entering address information according to the following table:
Field Country Address City State Postal Code County Value United States 487 Beverly Palo Alto CA 94301 San Mateo

6. 7.

8.

9.

10. This address is the primary Bill To address. Location: CA Palo Alto 11. This address is a non-primary Ship To address. Invoices will be sent to the Location: CA Palo Alto 12. Specify salesperson information: Salesperson: Nelson, Mr. Brian 13. Specify default order information. Order Type: Mixed Warehouse: XX-IO 14. Specify contact information.
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 10

 Last Name: Allen First: Spencer

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 11

Solution - Create a Customer using the Standard Data Entry Form

Create a new customer: XX-Big City, with two addresses Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window 2. 3. 4. (N) Customers > Standard Name: XX-Big City

(B) Find (B) New (T) Classification Profile Class: XX-New Class: High Technology Sales Channel: Commercial (T) Order Management Price List: Corporate (T) Addresses (B) New Enter address information according to the following table:
Field Country Address City State Postal Code County Value United States 102 N. LaSalle Chicago IL 60601 Cook

5. 6. 7. 8.

9.

(T) Business Purpose Usage: Bill To Location: IL Chicago Primary: Unchecked

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 12

10. (I) Save 11. (I) New Record Usage: Ship To Location: IL Chicago Bill To Location: IL Chicago Primary: Checked 12. (B) Open 13. (T) Details Salesperson: Abbott, Ms. Rachel 14. (T) Order Management Order Type: Mixed Warehouse: Seattle Manufacturing 15. (I) Save, return to Customer Address form. 16. (T) Contacts: Telephones Last Name: Cooley First: Peggy 17. (I) Save

Place cursor in Country field at top of form

18. (I) New Record Enter address information according to the following table:
Field Country Address City State Postal Code County Value United States 487 Beverly Palo Alto CA 94301 San Mateo

19. (T) Business Purpose Usage: Bill To Location: CA Palo Alto Primary: Checked 20. (I) Save
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 13

21. (I) New Record Usage: Ship To Location: CA Palo Alto Bill To Location: CA Palo Alto Primary: Unchecked 22. (B) Open 23. (T) Details Salesperson: Nelson, Mr. Brian 24. (T) Order Management Order Type: Mixed Warehouse: XX-IO 25. (I) Save, return to Customer Address form. 26. (T) Contacts: Telephones Last Name: Allen First: Spencer 27. (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 14

Practice - Create a Customer using the Quick Data Entry Form

Overview
In this practice you will create a customer using the quick customer entry form.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a new customer: XX-Quick Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window 2. (N) Customers > Quick

Name your customer XX-Quick and specify address information according to the following table:
Field Country Address City State Postal Code County
Value

United States 888 Market San Francisco CA 94100 San Francisco

3.

This site will be both a Bill To and a Ship To site

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 15

Solution - Create a Customer using the Quick Data Entry Form

Create a new customer: XX-Quick Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window (N) Customers > Quick Name: XX-Quick (B) Find (B) New [for creating new customer]

2. 3. 4.

(T) Address (B) New [for creating new address] Enter address information according to the following table:
Field Country Address City State Postal Code County
Value

United States 888 Market San Francisco CA 94100 San Francisco

5.

(T) Business Purpose Bill To: Checked Ship To: Checked (I) Save

6.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 16

Practice - Create a Customer Account Relationship

Overview
In this practice you will create a customer relationship.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a relationship between XX-Big City and Business World (1608) Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window 2. 3. 4. (N) Customers > Standard

Find the XX-Big City customer Select the Customer Account record for Big City Define a reciprocal relationship with Business World (1608)

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 17

Solution - Create a Customer Account Relationship

Create a relationship between XX-Big City and Business World (1608) Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Find/Enter Customers window 2. 3. 4. 5. (N) Customers > Standard Name: XX-Big City

(B) Find Select the Customer Account record for Big City (B) Ok (T) Relationships Name: Business World Number: 1608 Type: Reciprocal Leave all other defaults (I) Save

6. 7.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 18

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 19

Inventory Organizations

Inventory Organizations
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 20

Practice - Create a User

Overview
In this practice you will create a new user.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Create new user Responsibility = System Administrator 1. Navigate to the Users window (N) Security > User > Define Name: your name [example: TNORTH] Password: Oracle [will need to enter twice for verification]

2.

Assign responsibilities according to the following table:

Responsibility Order Management Super User, Vision Operations (USA) Inventory, Vision Operations (USA) Receivables Manager System Administrator

Sign in as new user 3. From main sign-on screen, enter new user name and password
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 21

4.

Change password to Welcome

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 22

Solution - Create a User

Log on to the System User Name = operations Password = welcome Create new user Responsibility = System Administrator 1. Navigate to the Users window (N) Security > User > Define Name: your name [example: TNORTH] Password: Oracle [will need to enter twice for verification]

2. 3.

(T) Responsibilities Assign responsibilities according to the following table:

Responsibility Order Management Super User, Vision Operations (USA) Inventory, Vision Operations (USA) Receivables Manager System Administrator

4.

(I) Save

Sign in as new user 5. 6. From main sign-on screen, enter new user name and password Change password to Welcome

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 23

Practice - Create a Unit of Measure

Overview
In this practice you will create a unit of measure.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a Unit of Measure Class Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Units of Measure Classes window (N) Setup > Units of Measure > Classes

If prompted, select V1: Vision Operations as the inventory organization 2. Create a new unit of measure class with the following information Name: XX-Quant Description: XX Quantity Base Unit: XX Each UOM: XXE

Create a Unit of Measure 3. Create a new unit of measure with the following information Name: XX Case UOM: XXC Description: XX Case

Create a Unit of Measure Conversion 4. Create a new unit of measure conversion. XX Case has 15 XX Each.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 24

Solution - Create a Unit of Measure

Create a Unit of Measure Class Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Units of Measure Classes window (N) Setup > Units of Measure > Classes

If prompted, select V1: Vision Operations as the inventory organization 2. (I) New Record Name: XX-Quant Description: XX Quantity Base Unit: XX Each UOM: XXE (I) Save

3.

Create a Unit of Measure 4. 5. (B) Units of Measure (I) New Record Name: XX Case UOM: XXC Description: XX Case (I) Save, close window to return to Unit of Measure Class window

6.

Create a Unit of Measure Conversion 7. 8. (B) Conversions (I) New Record Unit: XX Case Conversion: 15 (I) Save

9.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 25

Practice - Create a Location

Overview
In this practice you will create a location.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Location Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Locations window (N) Setup > Organizations > Locations Name: XX-Location Global: Checked

2.

Add a location with the following address details Address Style: United States Enter address information according to the following table:
Field Address City State Zip County San Diego CA 92130 San Diego Value 13400 West Ocean Air Drive

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 26

Solution - Create a Location

Create Location Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Locations window (N) Setup > Organizations > Locations Name: XX-Location Global: Checked

2.

(T) Address Details Address Style: United States Enter address information according to the following table:
Field Address City State Zip County San Diego CA 92130 San Diego Value 13400 West Ocean Air Drive

3. 4.

(B) OK Leave all defaults (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 27

Practice - Create an Inventory Organization

Overview
In this practice you will create a new inventory organization.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Inventory Organization Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Setup > Organization > Organization

Name the inventory organization XX-IO and assign the location you created in the prior exercise to the inventory organization. Organization Classification Name: Inventory Organization Enabled: Checked Specify the following inventory parameters Organization Code: XX1 Item Master Organization: Vision Operations Note: This will have defaulted as the new organization you must change the value to Vision Operations. Calendar: Vision01 Specify the following costing information Costing Method: Average Rates Cost Type: Current Transfer to GL: Summary Valuation: Accounts:

3.

4.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 28

Account Type Material Outside Processing Material Overhead Overhead Resource Expense

Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-000-2225-0000-000

5.

Specify the following receiving information Receiving: Accounts:

Account Type Invoice Price Variance Inventory AP Accrual Account 01-540-5220-0000-000 01-000-2215-0000-000

Receiving: Accounts:
Account Type Sales Cost of Goods Sold Account 01-540-4160-0000-000 01-540-5110-0000-00

Cost Variance Account:

Account Type Cost Variance Account Account 01-540-5220-0000-000

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 29

Solution - Create an Inventory Organization

Create Inventory Organization Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Setup > Organization > Organization

(B) New Name: XX-IO Location: XX-Location (I) Save Organization Classification Name: Inventory Organization Enabled: Checked (I) Save (B) Others > Inventory Information (T) Inventory Parameters Organization Code: XX1 Item Master Organization: Vision Operations Note: This will have defaulted as the new organization you must change the value to Vision Operations. Calendar: Vision01 (T) Costing Information Costing Method: Average Rates Cost Type: Current Transfer to GL: Summary Valuation: Accounts:
Account Type Material Outside Processing Material Overhead Overhead Resource Expense Account 01-000-1410-0000-000 01-000-1450-0000-000 01-000-1420-0000-000 01-000-1430-0000-000 01-000-1440-0000-000 01-000-2225-0000-000

3.

4. 5. 6.

7.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 30

8.

(T) Other Accounts Receiving: Accounts:

Account Type Invoice Price Variance Inventory AP Accrual Account 01-540-5220-0000-000 01-000-2215-0000-000

Receiving: Accounts:
Account Type Sales Cost of Goods Sold Account 01-540-4160-0000-000 01-540-5110-0000-00

Cost Variance Account:

Account Type Cost Variance Account Account 01-540-5220-0000-000

9.

(I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 31

Practice - Create a Subinventory

Overview
In this practice you will create a subinventory.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Subinventory Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Change Organization

Create a subinventory for your inventory organization using the following information: Name: XX-Stores Location: Stores Verify that account combinations have defaulted from the inventory organization definition.

3.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 32

Solution - Create a Subinventory

Create Subinventory Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. 3. 4. (N) Change Organization

Choose your organization (XX-IO) from the list (N) Setup > Organizations > Subinventories (B) New Name: XX-Stores Location: Stores Note the values that have defaulted in (T) Main have come from the inventory organization definition (T) Accounts Note the values that have defaulted in (T) Main have come from the inventory organization definition (I) Save

5.

6.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 33

Practice - Define Shipping Parameters

Overview
In this practice you will define shipping parameters.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define Shipping Parameters Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Parameters window 2. (N) Shipping > Setup > Shipping Parameters When prompted, select your inventory organization, XX1

Specify the following general shipping parameters Weight UOM Class: Weight Volume UOM Class: Volume Percent Fill Basis: Weight (should default) Specify the following pick/release parameters Release Sequence Rule: Departure Date Default Pick Slip Grouping Rule: Order Number Print Pick Slip: At End Default Stage Subinventory: XX-Stores Auto Allocate: Checked Autocreate Deliveries: Checked Leave all other defaults Specify the following shipping transaction parameters Weight/Volume Calculation: Manual Container Inventory Control: Optional Goods Dispatched Account: 01-000-1410-0000-000
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3.

4.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 34

Solution - Define Shipping Parameters

Define Shipping Parameters Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Parameters window 2. (N) Shipping > Setup > Shipping Parameters When prompted, select your inventory organization, XX1

(T) General Weight UOM Class: Weight Volume UOM Class: Volume Percent Fill Basis: Weight (should default) (T) Pick Release Release Sequence Rule: Departure Date Default Pick Slip Grouping Rule: Order Number Print Pick Slip: At End Default Stage Subinventory: XX-Stores Auto Allocate: Checked Autocreate Deliveries: Checked Leave all other defaults (T) Shipping Transaction Weight/Volume Calculation: Manual Container Inventory Control: Optional Goods Dispatched Account: 01-000-1410-0000-000 (I) Save

3.

4.

5.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 35

Enter Items

Enter Items
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 36

Practice - Create an Item

Overview
In this practice you will create an item.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define an Item Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Master Items window (N) Items > Master Items

If prompted, select V1: Vision Operations Organization: V1 (should default) Item: XX-Mousepad Description: XX Mousepad Unit of Measure: XX Each 2. 3. 4. Apply the Finished Good template Specify a list price of 2.00 Enable the item in the M1-Seattle Manufacturing and the XX1 inventory organizations

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 37

Solution - Create an Item

Define an Item Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Master Items window (N) Items > Master Items

If prompted, select V1: Vision Operations Organization: V1 (should default) Item: XX-Mousepad Description: XX Mousepad Unit of Measure: XX Each 2. 3. 4. 5. 6. 7. 8. (M) Tools > Copy From Template: Finished Good (B) Apply (B) Done (I) Save (T) Purchasing List Price: 2.00 (I) Save (M) Tools > Organization Assignment If grayed out, you havent saved. Query and enable the following organizations: M1-Seattle Manufacturing and XX1your inventory organization (I) Save

9.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 38

Practice - Create a Material Transaction

Overview
In this practice you will create a material transaction.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Enter quantities for M1-Seattle Manufacturing Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Change Organization Select M1: Seattle Manufacturing

Enter a miscellaneous transaction using the following information: Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias)

3. The miscellaneous transaction should accomplish the following for your XX-Mousepad item: The Stores subinventory quantity should be incremented 10000 Open current period for your inventory organization 4. 5. 6. Use the Change Organization window to make your inventory organization the current inventory organization (N) Accounting Close Cycle > Inventory Accounting Periods Select Line with current period displayed Change the status to open the period

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 39

Enter quantities for your XX-IO inventory organization 7. (N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias)

8. The miscellaneous transaction should accomplish the following for your XX-Mousepad item: The Stores subinventory quantity should be incremented 10000 9. (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 40

Solution - Create a Material Transaction

Enter quantities for M1-Seattle Manufacturing Responsibility = Inventory, Vision Operations (USA) 1. Navigate to the Organizations window 2. (N) Change Organization Select M1: Seattle Manufacturing

(N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias) (B) Transaction Lines Item: XX-Mousepad Subinventory: Stores UOM: leave default Quantity: 10000 (I) Save, return to Navigator

3.

4.

Open current period for your inventory organization 5. 6. 7. 8. 9. (N) Change Organization Select XX1 (your inventory organization) (N) Accounting Close Cycle > Inventory Accounting Periods Select Line with current period displayed (B) Change Status (B) OK

10. Return to Navigator Enter quantities for your XX-IO 11. (N) Transactions > Miscellaneous Transactions Date: Leave as default Type: Miscellaneous Receipt Account: 01-580-7740-0000-000 (or use Miscellaneous Account Alias) 12. (B) Transaction Lines
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 41

 13. (I) Save

Item: XX-Mousepad Subinventory: XX-Stores UOM: leave default Quantity: 10000

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 42

Practice - Add an Item to a Price List

Overview
In this practice you will create a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Add item to Corporate price list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Lists window 2. (N) Pricing > Price Lists > Price List Setup

Add your item to the Corporate price list using the following information: Product Context: Item Product Attribute: Item Number Product Value: XX-Mousepad Value: 7.50 Leave all other defaults

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 43

Solution - Add an Item to a Price List

Add item to Corporate price list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Lists window 2. 3. 4. (N) Pricing > Price Lists > Price List Setup

Query Corporate Price List (T) List Lines (I) New Record Product Context: Item Product Attribute: Item Number Product Value: XX-Mousepad Value: 7.50 Leave all other defaults (I) Save

5.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 44

Enter Orders

Enter Orders
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 45

Practice - Create a Sales Order Header

Overview
In this practice you will create a sales order header.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a sales order header Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

Create a sales order for the following customer. Associate purchase order number XX-100 with the sales order. Customer: XX-Big City Note the values that default into the header: Order Type: Mixed Price List: Corporate Ship To Location: IL Chicago Salesperson: Abbot, Ms. Rachel Bill To Location: IL Chicago

3.

Split sales credit between Rachel Abbot and Timothy Cleary 4. Specify sales credit information according to the following table:
Salesperson Abbot, Ms. Rachel Cleary, Mr. Timothy Percent 75% 25%
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 46

5.

Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 47

Solution - Create a Sales Order Header

Create a sales order header Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

(T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-100 Note the values that default into the header: Order Type: Mixed Price List: Corporate Ship To Location: IL Chicago Salesperson: Abbot, Ms. Rachel Bill To Location: IL Chicago

3.

Split sales credit between Rachel Abbot and Timothy Cleary 4. 5. (B) Actions > Sales Credits Change Rachel Abbots sales credit to 75%
Salesperson: Abbot, Ms. Rachel

Credit Type: Quota Sales Credit (should default) %: 75.000

6.

Add Timothy Clearys 25% sales credit Salesperson: Cleary, Mr. Timothy Credit Type: Quota Sales Credit (should default) %: 25.000 (B) Ok (I) Save Note Sales Order Number________________________

7. 8. 9.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 48

Practice - Create a Sales Order Line

Overview
In this practice you will create a sales order line.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a Sales Order Line Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. 3. (N) Orders, Returns > Sales Orders

If you are not currently in the sales order from the prior practice, query it now. Create sales order lines according to the following table:
Item XX-Mousepad CM13139 5 30 Quantity Request Date Todays date One week from today

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 49

Solution - Create a Sales Order Line

Create a Sales Order Line Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. 3. (N) Orders, Returns > Sales Orders

If you are not currently in the sales order from the prior practice, query it now. (T) Line Items (T) Main Item: XX-Mousepad Qty: 5 Request Date: todays date (I) Save (I) New Record Item: CM13139 Qty: 30 Request Date: one week from today (I) Save

4. 5.

6.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 50

Practice - Create a Split Line and Ship Set

Overview
In this practice you will create a split line and ship set.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Split an order line into shipments and create a ship set. Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders windows 2. (N) Orders, Returns > Sales Orders

(T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-200 (T) Line Items (T) Main Item: XX-Mousepad Qty: 100 (B) Actions > Split Line Qty: 50 Date: Todays date Warehouse: XX1 (I) New Record Qty: 50 Date: Todays date +7 Warehouse: M1 (B) Split

3.

4.

5.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 51

6.

(I) New Record Item: AS92689 Qty: 5 Warehouse: M1 Date: Todays date +7

Create a ship set including line 1.2 and line 2.1 7. 8. 9. Shift + Left Mouse click, highlight lines 1.2 and 2.1 Right Mouse click > Sets > New > Ship Set Set Name: XX-SS1 (B) Ok

10. View results of ship set creation 11. (T) Shipping 12. Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 52

Solution - Create a Split Line and Ship Set

Split an order line into shipments and create a ship set. Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders windows 2. (N) Orders, Returns > Sales Orders

(T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-200 (T) Line Items (T) Main Item: XX-Mousepad Qty: 100 (B) Actions > Split Line Qty: 50 Date: Todays date Warehouse: XX1 (I) New Record Qty: 50 Date: Todays date +7 Warehouse: M1 (B) Split (I) New Record Item: AS92689 Qty: 5 Warehouse: M1 Date: Todays date +7

3.

4.

5.

6.

Create a ship set including line 1.2 and line 2.1 7. 8. 9. Shift + Left Mouse click, highlight lines 1.2 and 2.1 Right Mouse click > Sets > New > Ship Set Set Name: XX-SS1 (B) Ok

10. View results of ship set creation 11. (T) Shipping

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 53

12. Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 54

Practice - Schedule an Order

Overview
In this practice you will schedule an order for shipping.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Sales Order referencing purchase order XX-300 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. 3. (N) Orders, Returns > Sales Orders

Create a sales order for the following customer: Customer: XX-Big City Specify the following sales order information Item: XX-Mousepad Qty: 150 Request Date: Todays Date + 45 days Line Type: Standard (Header Invoicing) Ensure the sales order references purchase order XX-300

4.

Check Availability 6. Check availability and if there is quantity available, continue on to scheduling.

Schedule order line 7. 8. (M) Tools > Scheduling > Schedule (B) OK
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 55

9.

Note the scheduling activity has occurred for the request date.

10. (T) Shipping Reserve order line 11. (M) Tools > Scheduling > Reserve 12. (B) OK 13. Note the Qty Reserved field has been populated 14. (T) Shipping Use Autoschedule for additional order line 15. (M) Tools > Autoschedule (make sure this is checked) 16. (I) New Record Item: AS18947 Qty: 2 Note: Tab out of the quantity field to see the Availability displayed automatically 17. (I) Save 18. Note the Qty Reserved field has been populated 19. (T) Shipping 20. (I) Save 21. Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 56

Solution - Schedule an Order

Create Sales Order referencing purchase order XX-300 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

(T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-300 (T) Line Items (T) Main Item: XX-Mousepad Qty: 150 Request Date: Todays Date + 45 days Line Type: Standard (Header Invoicing)

3.

Check Availability 4. 5. (B) Availability If there is quantity available, continue on to scheduling.

Schedule order line 6. 7. 8. 9. (M) Tools > Scheduling > Schedule (B) OK Note the scheduling activity has occurred for the request date. (T) Shipping

Reserve order line 10. (M) Tools > Scheduling > Reserve 11. (B) OK 12. Note the Qty Reserved field has been populated 13. (T) Shipping

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 57

Use Autoschedule for additional order line 14. (M) Tools > Autoschedule (make sure this is checked) 15. (I) New Record Item: AS18947 Qty: 2 Note: Tab out of the quantity field to see the Availability displayed automatically 16. (I) Save 17. Note the Qty Reserved field has been populated 18. (T) Shipping 19. (I) Save 20. Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 58

Practice - Book an Order

Overview
In this practice you will book a sales order.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Book a Sales Order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window 2. 3. (N) Orders, Returns > Order Organizer

(I) Find Customer Name: XX-Big City (B) Find

Book your orders 4. 5. 6. 7. Using Shift + Click, highlight your sales order (B) Actions > Book Order (B) Continue Note status change of the sales orders

Verify workflow activities for your order (PO number XX-200) 8. 9. Select sales order linked to PO: XX-200 View the status in Workflow
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 59

10. (M) Tools > Workflow Status 11. Click on first OM Order Line link 12. (B) View Diagram Verify line has been entered successfully 13. Double click on Enter - Line activity Verify scheduling activities have occurred 14. Double click Schedule - Line activity Verify product will ship from internal (stock) inventory locations 15. Double click on Create Supply Line activity Verify Ship activity is current activity for line flow 16. Double click on Ship - Line, Manual activity

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 60

Solution - Book an Order

Book a Sales Order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window 2. 3. (N) Orders, Returns > Order Organizer

(I) Find Customer Name: XX-Big City (B) Find

Book your orders 4. 5. 6. 7. Using Shift + Click, highlight your sales order (B) Actions > Book Order (B) Continue Note status change of the sales orders

Verify workflow activities for your order (PO number XX-200) 8. 9. Select sales order linked to PO: XX-200 View the status in Workflow

10. (M) Tools > Workflow Status 11. Click on first OM Order Line link 12. (B) View Diagram Verify line has been entered successfully 13. Double click on Enter - Line activity 14. (B) Zoom out Verify scheduling activities have occurred 15. Double click Schedule - Line activity 16. (B) Zoom out

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 61

Verify product will ship from internal (stock) inventory locations 17. Double click on Create Supply Line activity 18. (B) Zoom out Verify Ship activity is current activity for line flow 19. Double click on Ship - Line, Manual activity 20. Close Workflow Diagram window

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 62

Practice - Copy a Sales Order

Overview
In this practice you will copy a sales order.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Find sales order referenced by PO: XX-100 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

Find sales orders for XX-Big City that reference purchase order XX-100

Copy sales order 3. 4. 5. (B) Actions > Copy (T) Quick Copy Accept default option to Create New Order Order Type: Mixed Note: a note window will pop, indicating: The Customer PO was referenced by another order The copy has succeeded The new Order Number 6. Note Sales Order Number________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 63

Update Information on copied order 7. 8. Find, and open your sales order Order number: from above Specify the following order information Ship To: CA Palo Alto Salesperson: Abbott, Ms. Rachel Update the Ship To Address for both lines on the sales order to CA Palo Alto

9.

10. For the second line, update the shipping warehouse to M1, Seattle Manufacturing Add additional line to new sales order 11. Add a new line using the following information. Item: AS72111 Qty: 1 Request Date: Todays date Warehouse: M1 12. Book the order

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 64

Solution - Copy a Sales Order

Find sales order referenced by PO: XX-100 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

(I) Find Customer: XX-Big City Customer PO: XX-100 (B) Find

3.

Copy sales order 4. 5. 6. 7. 8. 9. (B) Actions > Copy (T) Quick Copy Accept default option to Create New Order Order Type: Mixed (T) Copy Header Accept all defaults (T) Copy Line Accept all defaults (T) Pricing Option Accept all defaults

10. (B) Ok Note: a note window will pop, indicating: The Customer PO was referenced by another order The copy has succeeded The new Order Number 11. Note Sales Order Number________________________ 12. (B) Continue 13. (B) Cancel Note: if you select the Ok button again, you will copy the order a second time.
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 65

14. Return to Order Organizer Update Information on copied order 15. (I) Find Order number: from above 16. (B) Find 17. (B) Open Order 18. (T) Order Information (T) Main Ship To: CA Palo Alto Salesperson: Abbott, Ms. Rachel 19. (T) Line Items (T) Addresses 20. Update the Ship To Address for both lines on the sales order Ship To: CA Palo Alto 21. For the second line, update the shipping warehouse to M1, Seattle Manufacturing Warehouse: M1 22. (I) Save Add additional line to new sales order 23. (I) New Record Item: AS72111 Qty: 1 Request Date: Todays date Warehouse: M1 24. (I) Save 25. (B) Book Order

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 66

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 67

Managing Orders

Managing Orders
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 68

Practice - Work with the Order Organizer

Overview
In this practice you will work with the Order Organizer.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Default Summary form Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window 2. 3. (N) Orders, Returns > Order Organizer

Close the Find window Create a new folder according to the following information: Folder: XX-Summary Open as Default: Checked

Create a personalized folder 4. 5. 6. Shrink the status field and change the Customer PO filed to PO. Move Customer PO field to the right of the Status field Save your folder according to the following information: Folder: XX-Custom Open as Default: Unchecked

Save a Query in the Navigator Tree 7. Query orders for XX-Big City

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 69

8. 9.

Save your query in Navigator Tree Select Search Results from Navigator Tree

10. Use Right Mouse click to open pop window 11. Select Save Query Name: XX-Big City Public: Checked 12. Note your folders appearance in the Public Folder of the Navigator Tree Look at Todays Orders 13. Double Click on the Todays Orders folder in Navigator Tree

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 70

Solution - Work with the Order Organizer

Create Default Summary form Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window 2. 3. (N) Orders, Returns > Order Organizer

Close the Find window (M) Folder > New Folder: XX-Summary Open as Default: Checked (B) Ok (M) Folder > Save

4. 5.

Create a personalized folder Shrink the status field and change the prompt. 6. 7. 8. 9. (I) Folder Tools Place cursor in Status field Click the Shrink field icon twice Scroll to Customer PO field

10. (M) Folder > Change Prompt Prompt: PO 11. (B) Ok 12. Move Customer PO field to the right of the Status field 13. Use your mouse to drag the Customer PO field to the left 14. (M) Folder > Save As Folder: XX-Custom Open as Default: Unchecked 15. (B) Ok

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 71

Save a Query in the Navigator Tree 16. Query your customers orders 17. (I) Find Customer: XX-Big City 18. (B) Find 19. Save your query in Navigator Tree 20. Select Search Results from Navigator Tree 21. Use Right Mouse click to open pop window 22. Select Save Query Name: XX-Big City Public: Checked 23. (B) Ok 24. Note your folders appearance in the Public Folder of the Navigator Tree Look at Todays Orders 25. Double Click on Todays Orders folder in Navigator Tree

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 72

Practice - Update a Sales Order

Overview
In this practice you will update a sales order.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Update your sales order referencing customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2.

Change the sales channel and shipping instructions based on the following information: Sales Channel: Commercial Shipping Instructions: Contact Sales team upon shipment

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 73

Solution - Update a Sales Order

Update your sales order referencing customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2. 3. 4. 5. 6. 7. 8.

(B) Find Select sales order referencing Customer PO: XX-200 (B) Open Order (T) Order Information (T) Others Sales Channel: Commercial (T) Line Items (T) Shipping Select line 2 Shipping Instructions: Contact Sales team upon shipment (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 74

Practice - Perform a Mass Price Change

Overview
In this practice you will perform a mass price change.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Perform a Mass Line Change Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-300

2. 3. 4. 5.

(B) Find (T) Lines Mass Change lines 1.1 and 1.2 to a High Priority shipping priority Note update of line information

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 75

Solution - Perform a Mass Price Change

Perform a Mass Line Change Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-300

2. 3. 4. 5. 6. 7. 8. 9.

(B) Find (T) Lines Use Control + Click to select the lines 1.1 and 1.2 (M) Tools > Mass Change (T) Shipping Shipping Priority: High Priority (B) Ok (to initiate mass change) (B) Ok (to acknowledge message regarding mass change) (B) Open Order

10. (T) Line Items (T) Shipping 11. Note update of line information

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 76

Practice - Create a Hold Name

Overview
In this practice you will create a hold name.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Hold Name Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Holds window (N) Setup > Orders > Holds Name: XX-My Hold Type: Order Administration Hold

2.

Record Authorizations: Responsibility: Order Management Super User, Vision Operations (USA) Authorized Action: Apply Hold Responsibility: Order Management Super User, Vision Operations (USA) Authorized Action: Remove Hold

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 77

Solution - Create a Hold Name

Create Hold Name Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Holds window (N) Setup > Orders > Holds Name: XX-My Hold Type: Order Administration Hold

2.

Record Authorizations: Responsibility: Order Management Super User, Vision Operations (USA) Authorized Action: Apply Hold Responsibility: Order Management Super User, Vision Operations (USA) Authorized Action: Remove Hold (I) Save

3.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 78

Practice - Apply a Hold

Overview
In this practice you will apply a hold.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Apply an Order Level Hold to the order referenced by customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2. 3.

(B) Find Apply the following hold and comments: Hold Name: XX-My Hold Comments: add at your discretion

View Hold Information 4. Use Additional Hold Information to view the hold information associated with the order

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 79

Solution - Apply a Hold

Apply an Order Level Hold to the order referenced by customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2. 3.

(B) Find (B) Actions > Apply Holds Hold Name: XX-My Hold Comments: add at your discretion (B) Apply Holds (B) Ok

4. 5.

View Hold Information 6. 7. (B) Action > Additional Order Information (T) Holds Note your hold information is contained on the form

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 80

Practice - Release a Hold

Overview
In this practice you will release a hold.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Release an Order Level Hold against order referenced by customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2.

Release the hold with the following release reason: Reason: Approved by Sales Manager

View Hold Information 3. Use Additional Order information to view the release reason associated with the hold.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 81

Solution - Release a Hold

Release an Order Level Hold against order referenced by customer PO XX-200 Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2. 3. 4. 5.

(B) Find (B) Actions > Release Holds Reason: Approved by Sales Manager (B) Release (B) Ok

View Hold Information 6. 7. (B) Action > Additional Order Information (T) Holds Note your release is noted on form, including your username.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 82

Practice - Cancel an Order Line

Overview
In this practice you cancel an order line.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Cancel one line of an existing order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2.

Cancel line 2.1 and view the status field to see the changed status. Reason: Administrative or procedural error Comments: enter at your discretion

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 83

Solution - Cancel an Order Line

Cancel one line of an existing order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Order Organizer window (N) Orders, Returns > Order Organizer Customer: XX-Big City Customer PO: XX-200

2. 3. 4. 5. 6.

(B) Find (B) Open Order (T) Line Items Put your cursor on Line 2.1 (AS92689) (B) Action > Cancel Reason: Administrative or procedural error Comments: enter at your discretion (B) Ok (T) Main Note the updated Qty value.

7. 8. 9.

10. Scroll to Status field to see changed status. 11. Scroll to Qty Cancelled field to see updated quantity.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 84

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 85

Basic Pricing

Basic Pricing
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 86

Practice - Create a Price List

Overview
In this practice you will create a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create Price List Header and Lines Responsibility = Order Management Super User, Vision Operation( USA) 1. Navigate to the Advanced Pricing - Price Lists window (N) Pricing > Price List > Price List Setup Name: XX-Base Prices Active: Checked Description: Corporate Base Price Currency: USD Round To: -2

2.

Add the following items to the price list. Save after each line.
Product Context Item Product Attribute Item Number Item Number Item Number Product Value UOM AS54888 Ea Primary UOM Checked Line Type Price List Line Price List Line Price List Application Method Unit Price Value 1500

Item

AS54999

Ea

Checked

Unit Price

1700

Item

AS18947

Ea

Unchecked

Unit Price

1800

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 87

Line Item Item Number Item Number Item Number Item Category AS72111 DZ Unchecked Price List Line Price List Line Price List Line Price List Line Unit Price 2208

Item

XX-Mouse Pad

XXE

Unchecked

Unit Price

7.50

Item

WR18533

YR

Checked

Percent Price

Item

COMPUTER. NOTEBOOK

Ea

Unchecked

Unit Price

2000

Create Sales Order referencing your price list 3. (N) Orders, Returns > Sales Order (T) Main Customer Name: XX-Big City Customer PO: XX-400 Price List: XX-Base Prices Populate any required fields that have not defaulted

4.

Order internal item number: AS18947 with a UOM of DZ 5. Enter line 1 as follows:
Line 1.1 Item AS18947 Quantity 1 UOM DZ

6.

Change UOM to Ea

Add additional lines to your sales order 7. Add additional lines to your order and note resulting unit price
Line 2.1 3.1 Item AS72111 AS54888 Quantity 1 1 UOM DZ DZ Unit Price 2,208.00 18,000.00

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 88

4.1 5.1

AS92689 XX-Mouse Pad

1 12

Ea XXE

2,000.00 90.00

Answer the following questions: 1. Why did the pricing engine allow you to order 1 dozen AS72111? Answer: Because AS72111 is on your price list with a unit of measure of dozen. Therefore the engine used that named price for your order. 2. Why did the pricing engine allow you to order 1 dozen AS54888? Answer: Because the Primary UOM is check for AS54888. Therefore the pricing engine used the inventory unit of measure conversions to determine the unit price. In this example: 1500 (Ea unit price) * 12 (12 Ea in a DZ) = 18,000. 3. AS92689 is not on XX-Base Prices, how did the pricing engine determine the unit price? Answer: AS92689 is a part of the inventory category COMPUTER.NOTEBOOK, which is on the price list with a unit price of 2,000. Purchase an Extended 6 year Service program 8. (I) New Record [as necessary] For Line 6.1 Item: WR18533 Quantity: 1 9. (T) Services Service Reference Type: Order Service Order Type: Mixed Service Ref Order Number: (this order number) Service Ref Line Number: 4 Service Ref Shipment Number: 1 Service Duration: 6 Service Period: YR

10. (I) Save 11. Requery the lines on your order 12. Answer the following questions: 1. Why did line 6.1 change to 4.11?

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 89

Answer: The fifth line number digit represents a Service. By looking at the line number you are able to identify that 4.1.1 is a Service which is linked to shipment number 1 of line number 4. 2. How was the 600.00 Unit Price calculated? Answer: The warranty sells for 5% of the covered product (2000) per year. Since the customer ordered 6 years the calculation is as follows: .05 * 2000 * 6 = 600.00.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 90

Solution - Create a Price List

Create Price List Header and Lines Responsibility = Order Management Super User, Vision Operation( USA) 1. Navigate to the Advanced Pricing - Price Lists window (N) Pricing > Price List > Price List Setup Name: XX-Base Prices Active: Checked Description: Corporate Base Price Currency: USD Round To: -2

2. 3.

Accept all other defaults (T) List Lines Note: Save after entering each line
Product Context Item Product Attribute Item Number Item Number Item Number Item Number Item Number Item Number Item Category Product Value UOM AS54888 Ea Primary UOM Checked Line Type Price List Line Price List Line Price List Line Price List Line Price List Line Price List Line Price List Application Method Unit Price Value 1500

Item

AS54999

Ea

Checked

Unit Price

1700

Item

AS18947

Ea

Unchecked

Unit Price

1800

Item

AS72111

DZ

Unchecked

Unit Price

2208

Item

XX-Mouse Pad

XXE

Unchecked

Unit Price

7.50

Item

WR18533

YR

Checked

Percent Price

Item

COMPUTER. NOTEBOOK

Ea

Unchecked

Unit Price

2000

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 91

Line

4.

(I) Save

Create Sales Order referencing your price list 5. (N) Orders, Returns > Sales Order (T) Main Customer Name: XX-Big City Customer PO: XX-400 Price List: XX-Base Prices Populate any required fields that have not defaulted

6.

Order internal item number: AS18947 with a UOM of DZ 7. 8. (T) Line Items Enter line 1 as follows:
Line 1.1 Item AS18947 Quantity 1 UOM DZ

9.

Respond to the Note (B) OK

10. Change UOM to Ea Add additional lines to your sales order 11. Add additional lines to your order and note resulting unit price 12. (I) New Record [as necessary]
Line 2.1 3.1 4.1 5.1 Item AS72111 AS54888 AS92689 XX-Mouse Pad Quantity 1 1 1 12 UOM DZ DZ Ea XXE Unit Price 2,208.00 18,000.00 2,000.00 90.00

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 92

Answer the following questions: 1. Why did the pricing engine allow you to order 1 dozen AS72111? Answer: Because AS72111 is on your price list with a unit of measure of dozen. Therefore the engine used that named price for your order. 2. Why did the pricing engine allow you to order 1 dozen AS54888? Answer: Because the Primary UOM is check for AS54888. Therefore the pricing engine used the inventory unit of measure conversions to determine the unit price. In this example: 1500 (Ea unit price) * 12 (12 Ea in a DZ) = 18,000. 3. AS92689 is not on XX-Base Prices, how did the pricing engine determine the unit price? Answer: AS92689 is a part of the inventory category COMPUTER.NOTEBOOK, which is on the price list with a unit price of 2,000. Purchase an Extended 6 year Service program 13. (I) New Record [as necessary] For Line 6.1 Item: WR18533 Quantity: 1 14. (T) Services Service Reference Type: Order Service Order Type: Mixed Service Ref Order Number: (this order number) Service Ref Line Number: 4 Service Ref Shipment Number: 1 Service Duration: 6 Service Period: YR 15. (I) Save 16. Requery the lines on your order 17. Answer the following questions: 1. Why did line 6.1 change to 4.11? Answer: The fifth line number digit represents a Service. By looking at the line number you are able to identify that 4.1.1 is a Service which is linked to shipment number 1 of line number 4. 2. How was the 600.00 Unit Price calculated?
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 93

Answer: The warranty sells for 5% of the covered product (2000) per year. Since the customer ordered 6 years the calculation is as follows: .05 * 2000 * 6 = 600.00.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 94

Practice - Copy a Price List

Overview
In this practice you will copy a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Copy your price list: XX-Base Prices Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Copy Price List window (N) Pricing > Price Lists > Copy Price List Copy From Price List: Corporate Leave all defaults Copy To Price List: XX-New Corporate Description: Created by copying Corporate Price List

2. 3.

Verify that the price list has been copied. Query your new price list to see the lines have been added from the Corporate Price List.

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 95

Solution - Copy a Price List

Copy your price list: XX-Base Prices Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Copy Price List window (N) Pricing > Price Lists > Copy Price List Copy From Price List: Corporate Leave all defaults Copy To Price List: XX-New Corporate Description: Created by copying Corporate Price List

2. 3. 4. 5.

(B) Submit Verify that the price list has been copied. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query your new price list to see the lines have been added from the Corporate Price List.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 96

Practice - Update a Price List Manually

Overview
In this practice you will update a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Update price list XX-Base Prices for item AS18947 preserving the pricing history Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Advanced Pricing - Price Lists window 2. 3. 4. (N) Pricing> Price Lists > Price List Setup

(I) Find Price List: XX-Base Prices Find item AS18947 and change to last day of this month. Add the following:
Product Context Item Product Attribute Item Number Primary UOM Checked Line Type Price List Line Application Method Unit Price Value 1820

Product Value AS18947

UOM Ea

5.

Effective Dates From: first of next month

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 97

Update price list XX-Base Prices for item AS54888 without preserving the pricing history 6. 7. Find item AS54888 Update the value for the line to 1550

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 98

Solution - Update a Price List Manually

Update price list XX-Base Prices for item AS18947 preserving the pricing history Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Advanced Pricing - Price Lists window 2. 3. 4. (N) Pricing> Price Lists > Price List Setup

(I) Find Price List: XX-Base Prices (T) List Lines (I) Find Item: AS18947 To: last day of this month (I) Save (I) New Record
Product Context Item Product Attribute Item Number Primary UOM Checked Line Type Price List Line Application Method Unit Price Value 1820

5. 6.

Product Value AS18947

UOM Ea

7. 8.

Effective Dates From: first of next month (I) Save

Update price list XX-Base Prices for item AS54888 without preserving the pricing history 9. (T) List Lines

10. (I) Find Item: AS54888 11. Update the value for the line Value: 1550

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 99

12. (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 100

Practice - Adjust a Price List

Overview
In this practice you will adjust a price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Adjust price list XX-New Corporate by 5% for all items Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Adjust Price List window 2. (N) Pricing > Price Lists > Adjust Price List Price List: XX-New Corporate

Select Adjust By: Percent Value: 5

Verify that the price list has been updated. 3. Check the concurrent requests window to determine when the concurrent program has completed. Then query the price list to see the lines have been increased by 5%.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 101

Solution - Adjust a Price List

Adjust price list XX-New Corporate by 5% for all items Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Adjust Price List window 2. 3. (N) Pricing > Price Lists > Adjust Price List Price List: XX-New Corporate

Select Adjust By: Percent Value: 5 (B) Submit

Verify that the price list has been updated. 4. 5. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query price list XX-New Corporate to see the lines have been increased in value by 5 percent.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 102

Practice - Add Items to a Price List

Overview
In this practice you will add items to an existing price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Add items from inventory to your price list XX-Base Prices Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Add Items to Price List window (N) Pricing > Price Lists > Add Items to Price List Price List: XX-Base Prices Item Status: Active Set List Price Equal to Cost From: Checked Inventory Organization: Seattle Manufacturing

2.

(B) Submit

Verify that the price list has been updated 3. 4. 5. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query price list XX-Base Prices to see the lines have been added. Answer the following question: Where did the value for each of the items added come from? Answer: The cost of the item based upon the inventory organization selected.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 103

Mass Adjust the price for the items added to XX-Base Prices 6. (N) Pricing > Price Lists > Adjust Price List Price List: XX-Base Prices Adjust By: Amount Value: 10 (B) Submit

7.

Verify that the price list has been updated 8. 9. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query price list XX-Base Prices to see the line values have been increased by 10.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 104

Solution - Add Items to a Price List

Add items from inventory to your price list XX-Base Prices Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Add Items to Price List window (N) Pricing > Price Lists > Add Items to Price List Price List: XX-Base Prices Item Status: Active Set List Price Equal to Cost From: Checked Inventory Organization: Seattle Manufacturing

2.

(B) Submit

Verify that the price list has been updated 3. 4. 5. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query price list XX-Base Prices to see the lines have been added. Answer the following question: Where did the value for each of the items added come from? Answer: The cost of the item based upon the inventory organization selected. Mass Adjust the price for the items added to XX-Base Prices 6. (N) Pricing > Price Lists > Adjust Price List Price List: XX-Base Prices Adjust By: Amount Value: 10 (B) Submit

7.

Verify that the price list has been updated 8. 9. Check the concurrent requests window to determine when the concurrent program has completed. (M) View > Requests > (B) Find (all requests) Query price list XX-Base Prices to see the line values have been increased by 10.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 105

Practice - Create an Agreement Price List

Overview
In this practice you will create an agreement price list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create an Agreement Price List Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Agreements window 2. (N) Pricing > Price Agreements

(T) Agreement Agreement Name: XX-Pricing Agreement Agreement Number: 1 Customer: XX-Big City Agreement Type: Standard Terms and Conditions (T) Pricing Price List Type: Agreement Price List Price List: XX-AGREEMENT PL Description: Agreement prices for XX-Big City Accept all other defaults (T) Payment Payment Terms: 2/10, Net 30 Accounting Rule: IMMEDIATE Invoicing: ARREARS INVOICE Accept all other defaults (T) Line
Copyright Oracle Corporation, 2003. All rights reserved.

3.

4.

5.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 106

Product Value UOM AS54888 AS54999 Ea Ea

Primary UOM Checked Checked

Application Method Unit Price Unit Price

Line Type Price List Line Price List Line

Value 1450 1500

6.

(I) Save

Create a Sales Order using XX-Agreement 7. 8. 9. (N) Orders, Returns > Sales Orders (T) Order Information Add the Agreement field to the Order Information Tab view, if it is not already displayed

10. Place your cursor in the Total field 11. (I) Folder Tools 12. (I) Show Fields 13. Select Agreement 14. (M) Folder > Save As Folder Name: XX Agreement view 15. (B) OK Customer: XX-Big City Customer PO: XX-500 Agreement: XX-Pricing Agreement 16. Note the Price List field has been updated 17. Populate any required fields that have not defaulted 18. (T) Line Items Ordered Item: AS54888 Qty: 1 19. Note the Unit Price Displayed. 20. (T) Pricing 21. Note the price list referenced

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 107

22. (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 108

Solution - Create an Agreement Price List

Create an Agreement Price List Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Price Agreements window 2. (N) Pricing > Price Agreements

(T) Agreement Agreement Name: XX-Pricing Agreement Agreement Number: 1 Customer: XX-Big City Agreement Type: Standard Terms and Conditions (T) Pricing Price List Type: Agreement Price List Price List: XX-AGREEMENT PL Description: Agreement prices for XX-Big City Accept all other defaults (T) Payment Payment Terms: 2/10, Net 30 Accounting Rule: IMMEDIATE Invoicing: ARREARS INVOICE Accept all other defaults (T) Line
Product Value UOM AS54888 AS54999 Ea Ea Primary UOM Checked Checked Application Method Unit Price Unit Price

3.

4.

5.

Line Type Price List Line Price List Line

Value 1450 1500

6.

(I) Save

Create a Sales Order using XX-Agreement 7. 8. (N) Orders, Returns > Sales Orders (T) Order Information
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 109

9.

Add the Agreement field to the Order Information Tab view, if it is not already displayed

10. Place your cursor in the Total field 11. (I) Folder Tools 12. (I) Show Fields 13. Select Agreement 14. (M) Folder > Save As Folder Name: XX Agreement view 15. (B) OK Customer: XX-Big City Customer PO: XX-500 Agreement: XX-Pricing Agreement 16. Note the Price List field has been updated 17. Populate any required fields that have not defaulted 18. (T) Line Items Ordered Item: AS54888 Qty: 1 19. Note the Unit Price Displayed. 20. (T) Pricing 21. Note the price list referenced 22. (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 110

Practice - Create a Discount Modifier List

Overview
In this practice you will create a discount modifier list.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a Discount Modifier list and place a qualifier on the list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. (N) Pricing> Modifiers > Modifier Setup

Use the following information to set up a modifier Type: Discount List Number: XX-Mod List Active: Checked Name: XX Modifier List Automatic: Checked Currency: USD Description: Discounts and Surcharges for XX-Base Prices price list Specify qualifier information according to the following information: Grouping Number: 1 Qualifier Context: Modifier List Qualifier Attribute: Price List Operator: = Value From: XX-Base Prices Specify Modifier summary information: Modifier No.: XX-1 Level: Line
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3.

4.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 111

Modifier Type: Discount Automatic: Checked (should default) Override: Unchecked Pricing Phase: 10 List Line Adjustment

Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values 5. Specify the following discounts/charges Application Method: Percent Value: 10

Create an automatic line level price break modifier for your modifier list 6. (I) New Record in the same Discount Modifier List Modifier No.: XX-2 Level: Line Modifier Type: Price Break Header Automatic: Checked (should default) Override: Unchecked Pricing Phase: 10 List Line Adjustment Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values Product Attribute: Item Number Attribute Value: AS54999 Volume Type: Item Quantity Break Type: Point Operator: BETWEEN UOM: Ea 7. 8. (T) Price Breaks Adjustment Type: Discount (B) Define Details
Application Method Amount Amount Amount

From 1 11 21 10 20

To

Value 8 12 15

9999999999999

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 112

Create a manual discount line for your modifier list 9. (I) New Record in the same Discount Modifier List Modifier No.: XX-3 Level: Line Modifier Type: Surcharge Automatic: Unchecked Override: Checked Pricing Phase: 10 List Line Adjustment Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values 10. (T) Discounts/Charges Application Method: Percent Value: 2 Create a sales order to test your modifier 11. (N) Orders, Returns > Sales Order 12. (T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-600 Price List: XX-Base Prices 13. Populate any required fields that do not default. 14. (T) Line Items (M) Main Item: AS54888 Qty: 1 View the addition of your modifier 15. (B) Actions > View Adjustments (T) Adjustments 16. Add a manual adjustment line to this order 17. (I) New Record Modifier Number: XX-Mod List Note: Your manual surcharge line from your modifier should default, as there was only one manually applied discount available. Had there been more than one, you would have to choose which discount. 18. (B) Apply 19. (B) OK
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 113

20. Notice that the price has now been adjusted with the 10% discount and the 2% surcharge. 21. Close the View Adjustments window. Add a new line to the sales order 22. (I) New Record Item: AS54999 Qty: 25 23. (I) Save View the addition of your modifier 24. (B) Actions > View Adjustments (T) Adjustments 25. Note the adjustment applied to the line. Note: If you are in a database with only basic pricing installed: You will only see the 15% Price Break Modifier as it will give the customer a better price than the automatic 10% discount. Note: If you are in a database with advanced pricing installed: The pricing engine will apply both the 10% and 15% discounts because they are both defined as automatically applied discounts.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 114

Solution - Create a Discount Modifier List

Create a Discount Modifier list and place a qualifier on the list Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. (N) Pricing> Modifiers > Modifier Setup

(M) Main Type: Discount List Number: XX-Mod List Active: Checked Name: XX Modifier List Automatic: Checked Currency: USD Description: Discounts and Surcharges for XX-Base Prices price list (B) List Qualifiers (B) OK, to access the qualifier form Grouping Number: 1 Qualifier Context: Modifier List Qualifier Attribute: Price List Operator: = Value From: XX-Base Prices (B) Ok (T) Modifier Summary Modifier No.: XX-1 Level: Line Modifier Type: Discount Automatic: Checked (should default) Override: Unchecked Pricing Phase: 10 List Line Adjustment Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values

3. 4.

5. 6.

7.

(T) Discounts/Charges Application Method: Percent Value: 10 (I) Save

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8.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 115

Create an automatic line level price break modifier for your modifier list 9. (I) New Record in the same Discount Modifier List Modifier No.: XX-2 Level: Line Modifier Type: Price Break Header Automatic: Checked (should default) Override: Unchecked Pricing Phase: 10 List Line Adjustment Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values Product Attribute: Item Number Attribute Value: AS54999 Volume Type: Item Quantity Break Type: Point Operator: BETWEEN UOM: Ea 10. (T) Price Breaks Adjustment Type: Discount 11. (B) Define Details
Application Method Amount Amount Amount

From 1 11 21 10 20

To

Value 8 12 15

9999999999999

12. (I) Save Create a manual discount line for your modifier list 13. (I) New Record in the same Discount Modifier List Modifier No.: XX-3 Level: Line Modifier Type: Surcharge Automatic: Unchecked Override: Checked Pricing Phase: 10 List Line Adjustment

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 116

Note - if you enter the number 10, list line adjustment will default in. Otherwise you will need to select from the list of values 14. (T) Discounts/Charges Application Method: Percent Value: 2 15. (I) Save Create a sales order to test your modifier 16. (N) Orders, Returns > Sales Order 17. (T) Order Information (T) Main Customer: XX-Big City Customer PO: XX-600 Price List: XX-Base Prices 18. Populate any required fields that do not default. 19. (T) Line Items (M) Main Item: AS54888 Qty: 1 20. (I) Save View the addition of your modifier 21. (B) Actions > View Adjustments (T) Adjustments 22. Add a manual adjustment line to this order 23. (I) New Record Modifier Number: XX-Mod List Note: Your manual surcharge line from your modifier should default, as there was only one manually applied discount available. Had there been more than one, you would have to choose which discount. 24. (B) Apply 25. (B) OK 26. Notice that the price has now been adjusted with the 10% discount and the 2% surcharge. 27. Close the View Adjustments window.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 117

Add a new line to the sales order 28. (I) New Record Item: AS54999 Qty: 25 29. (I) Save View the addition of your modifier 30. (B) Actions > View Adjustments (T) Adjustments 31. Note the adjustment applied to the line. Note: If you are in a database with only basic pricing installed: You will only see the 15% Price Break Modifier as it will give the customer a better price than the automatic 10% discount. Note: If you are in a database with advanced pricing installed: The pricing engine will apply both the 10% and 15% discounts because they are both defined as automatically applied discounts.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 118

Shipping

Shipping
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 119

Practice - Grant Access to your User for Your Role

Overview
In this practice you will grant access to your user for your role.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Grant Access to Your User for Your Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Grants window (N) Shipping > Setup > Grants and Roles Definition > Grants User: your user Role: Upgrade Role Accept all other defaults

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 120

Solution - Grant Access to your User for Your Role

Grant Access to Your User for Your Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Grants window (N) Shipping > Setup > Grants and Roles Definition > Grants User: your user Role: Upgrade Role Accept all other defaults

2.

(I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 121

Practice - Pick Release Sales Orders

Overview
In this practice you will release your sales order for picking.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Release Your Sales Order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Sales Orders for Picking window (N) Shipping > Release Sales Orders > Release Sales Orders Document Set: All Pick Release Documents Orders: Unreleased Order Number: your order number using purchase order XX-100 Warehouse: M1 Autocreate Delivery: Yes

2.

Note your concurrent request ID:___________________

View Your Concurrent Request and Pick Slip 3. 4. 5. 6. 7. (M) View > Requests (B) Find All Requests Identify the Batch Number in the parameters listing for your concurrent request Note Batch number: _____________________ Note the delivery number associated with your pick slip Delivery Number: _____________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 122

View Delivery Number on Sales Order Form 8. 9. Find your sales order either by number or by Customer PO: XX-100 In Order Summary Window select (B) Actions > Additional Order Information (T) Deliveries

10. Verify the Delivery Number matches the value you found earlier on the pick slip. Note: Only line 1.1 has release why? The other line on your order is scheduled to ship next week.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 123

Solution - Pick Release Sales Orders

Release Your Sales Order Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Sales Orders for Picking window 2. (N) Shipping > Release Sales Orders > Release Sales Orders Document Set: All Pick Release Documents

(T) Order Orders: Unreleased Order Number: your order number using purchase order XX-100 Accept all other defaults (T) Inventory Warehouse: M1 (T) Shipping Autocreate Delivery: Yes (B) Concurrent Note your concurrent request ID:___________________

3. 4. 5.

6.

View Your Concurrent Request and Pick Slip 7. 8. 9. (M) View > Requests (B) Find All Requests Identify the Batch Number in the parameters listing for your concurrent request Note Batch number: _____________________

10. Place your cursor on the concurrent request referencing your batch number from above 11. (B) View Output 12. Note the delivery number associated with your pick slip 13. Delivery Number: _____________________________ View Delivery Number on Sales Order Form 14. (N) Orders, Returns > Order Organizer 15. Find your sales order either by number or by Customer PO: XX-100

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 124

16. (B) Find 17. In Order Summary Window select (B) Actions > Additional Order Information (T) Deliveries 18. Verify the Delivery Number matches the value you found earlier on the pick slip. Note: Only line 1.1 has release why? The other line on your order is scheduled to ship next week.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 125

Practice - Ship Confirm a Delivery

Overview
In this practice you will ship confirm the delivery.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Confirm a Delivery Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Query Manager window and find your sales order referencing purchase order XX-100 2. (N) Shipping > Transactions (T) Lines

(B) Detail Tracking Number: XX-100-01 Shipped: 3 Backordered: 2 Staged: 0 Record freight costs Cost Type: Handling Amount: 10 Ship confirm Actions: Ship Confirm Validate the following: Ship Option: Ship Entered Quantities Create Delivery for Staged Quantities : Checked Set Delivery In Transit: Checked Close Trip: Checked
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3.

4. 5.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 126

6.

Note your Interface Trip Stop request number:_____________________

View Ship Confirm Documents 7. 8. (M) View > Requests (B) Find All Requests View any desired output file

View Status of Sales Order Line 9. (N) Orders, Returns >Order Organizer Find your sales order either by number or by Customer PO: XX-100 10. In Order Summary Window select (B) Actions > Additional Order Information (T) Deliveries Note: The first line in the will have a delivery number and a status of closed. The second has been backordered due to your actions during ship confirm. The third is Ready to release due to the schedule ship date.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 127

Solution - Ship Confirm a Delivery

Confirm a Delivery Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Query Manager window (N) Shipping > Transactions (T) Lines Source System: Order Management Order Numbers: Your order number referencing Customer PO: XX-100

2. 3.

(B) Find (B) Detail Tracking Number: XX-100-01 Shipped: 3 Backordered: 2 Staged: 0 (I) Save (B) Done Actions: Freight Costs (B) Go Cost Type: Handling Amount: 10 (B) Done (T) Delivery Actions: Ship Confirm (B) Go

4. 5. 6.

7. 8. 9.

10. Validate the following: Ship Option: Ship Entered Quantities Create Delivery for Staged Quantities : Checked Set Delivery In Transit: Checked Close Trip: Checked 11. Note your Interface Trip Stop request number:_____________________ 12. (B) OK

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 128

View Ship Confirm Documents 13. (M) View > Requests (B) Find All Requests 14. View any desired output file View Status of Sales Order Line 15. (N) Orders, Returns >Order Organizer Find your sales order either by number or by Customer PO: XX-100 16. (B) Find 17. In Order Summary Window select (B) Actions > Additional Order Information (T) Deliveries Note: The first line in the will have a delivery number and a status of closed. The second has been backordered due to your actions during ship confirm. The third is Ready to release due to the schedule ship date.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 129

Practice - Define a Pick Slip Grouping Rule

Overview
In this practice you will define a pick slip grouping rule.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define a Pick Slip Grouping Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Pick Slip Grouping Rules window 2. (N) Shipping > Setup > Picking > Define Pick Slip Grouping Rules

Define a pick slip grouping rule Pick Methodology: User Defined Rule Name: XX-Subinventory Description: Group picking lines by subinventory Group By: Subinventory

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 130

Solution - Define a Pick Slip Grouping Rule

Define a Pick Slip Grouping Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Pick Slip Grouping Rules window (N) Shipping > Setup > Picking > Define Pick Slip Grouping Rules Pick Methodology: User Defined Rule Name: XX-Subinventory Description: Group picking lines by subinventory Group By: Subinventory

2.

(I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 131

Practice - Define a Release Sequence Rule

Overview
In this practice you will define a release sequence rule.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define a Release Sequence Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Sequence Rules window 2. (N) Shipping> Setup > Picking > Define Release Sequence Rule

Define a release sequence Rule: XX-Oldest First Order: 2, Ascending Schedule Date: 1, Ascending

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 132

Solution - Define a Release Sequence Rule

Define a Release Sequence Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Sequence Rules window (N) Shipping> Setup > Picking > Define Release Sequence Rule Rule: XX-Oldest First Order: 2, Ascending Schedule Date: 1, Ascending

2.

(I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 133

Practice - Define a Release Rule

Overview
In this practice you will define a release rule.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define Release Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Rules window 2. (N) Shipping > Setup > Picking > Define Release Rules Rule: XX-Rule

(T) Order Orders: All Scheduled Ship Date To: Todays Date Requested Dates To: Todays Date (T) Inventory Warehouse: XX1 Pick Slip Grouping Rule: XX-Subinventory Auto Allocate: Yes Auto Pick: Yes (T) Shipping Release Sequence Rule: XX-Oldest First Autocreate Deliveries: Yes Document Set: All Pick Release Documents

3.

4.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 134

Solution - Define a Release Rule

Define Release Rule Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Release Rules window 2. (N) Shipping > Setup > Picking > Define Release Rules Rule: XX-Rule

(T) Order Orders: All Scheduled Ship Date To: Todays Date Requested Dates To: Todays Date (T) Inventory Warehouse: XX1 Pick Slip Grouping Rule: XX-Subinventory Auto Allocate: Yes Auto Pick: Yes (T) Shipping Release Sequence Rule: XX-Oldest First Autocreate Deliveries: Yes Document Set: All Pick Release Documents (I) Save

3.

4.

5.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 135

Practice - Define a Shipping Role

Overview
In this practice you will define a shipping role.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define Shipping Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Role Definition window (N) Shipping > Setup > Grants and Role Definitions > Define Roles Name: XX-Clerk Description: XX Shipping Clerk

2. 3. 4. 5. 6.

(T) Trips (B) Disable Actions (T) Stops (B) Disable Actions (T) Deliveries Verify Data Action: Edit Accept all defaults (T) Lines/LPNs Accept all defaults (I) Save
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7. 8. 9.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 136

Solution - Define a Shipping Role

Define Shipping Role Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Role Definition window (N) Shipping > Setup > Grants and Role Definitions > Define Roles Name: XX-Clerk Description: XX Shipping Clerk

2. 3. 4. 5. 6.

(T) Trips (B) Disable Actions (T) Stops (B) Disable Actions (T) Deliveries Verify Data Action: Edit Accept all defaults (T) Lines/LPNs Accept all defaults (I) Save

7. 8. 9.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 137

Practice - Grant Access to a Role

Overview
In this practice you will grant access to a role.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Verify the shipping access given to your user Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Grants window 2. 3. 4. (N) Shipping > Setup > Grants and Roles Definition > Grants

Query your user (B) View Role Note the differences between the role you assigned to your user earlier and the one you have just created in a prior practice.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 138

Solution - Grant Access to a Role

Verify the shipping access given to your user Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Shipping Execution Grants window 2. 3. 4. (N) Shipping > Setup > Grants and Roles Definition > Grants

Query your user (B) View Role Note the differences between the role you assigned to your user earlier and the one you have just created in a prior practice.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 139

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 140

Process Invoices

Process Invoices
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 141

Practice - Create an Invoice

Overview
In this practice you will create a receivables invoice.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create an Invoice Responsibility = Receivables Manager 1. Navigate to the Transactions window (N) Transactions > Transactions Source: Manual Class: Invoice Type: Invoice

2.

Create an invoice for XX-Big City using the following information:

Line Number 1 2 Item Number CS03755 CS32698 Quantity 10 5 Unit Price Tax

1500 Location 1750 Location

3. 4.

Complete the invoice Note Transaction Number: ____________________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 142

Solution - Create an Invoice

Create an Invoice Responsibility = Receivables Manager 1. Navigate to the Transactions window (N) Transactions > Transactions Source: Manual Class: Invoice Type: Invoice

2. 3.

(T) Main Ship To Name: XX-Big City (B) Line Items

Line Number 1 2 Item Number CS03755 CS32698 Quantity 10 5 Unit Price Tax

1500 Location 1750 Location

4. 5. 6. 7.

(I) Save Close Lines Window (B) Complete Note Transaction Number: ____________________________________

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 143

Practice - Copy an Invoice

Overview
In this practice you will create a copy an invoice.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Copy Invoice Responsibility = Receivables Manager 1. Navigate to the Copy Transactions window 2. (N) Transactions > Copy Transactions

Query transaction you just created and create 6 invoices to be sent monthly

View the completed copy report 3. Select your concurrent request for the program Recurring Invoice Program and view it

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 144

Solution - Copy an Invoice

Copy Invoice Responsibility = Receivables Manager 1. Navigate to the Copy Transactions window 2. (N) Transactions > Copy Transactions

Query transaction you just created 3. Rule: Monthly Number of Times: 6 Accept all other defaults (I) Save Note Transaction Numbers:___________________________________________

3. 4. 5.

View the completed copy report 6. 7. 8. (M) View > Requests (B) Find Select your concurrent request for the program Recurring Invoice Program (B) View Output

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 145

Practice - Create a Credit Memo

Overview
In this practice you will create a credit memo.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Create a credit memo associated with your first transaction Responsibility = Receivables Manager 1. Navigate to the Credit Transactions window 2. (N) Transactions > Credit Transactions

Create a credit memo using the following information. Specify the first transaction you created Reason: Discount Line %: 5

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 146

Solution - Create a Credit Memo

Create a credit memo associated with your first transaction Responsibility = Receivables Manager 1. Navigate to the Credit Transactions window 2. 3. 4. 5. 6. (N) Transactions > Credit Transactions Specify the first transaction you created

(B) Find Accept all defaults Reason: Discount (T) Transaction Amount Line %: 5 (I) Save (B) Complete

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 147

Practice - Print a Transaction

Overview
In this practice you will print a transaction.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Print invoices Responsibility = Receivables Manager 1. Navigate to the Standard Request Submission window 2. (N) Print Documents > Invoices

Enter Parameters: Order By: Transaction Number Transaction Number Low: your first transaction number Transaction Number High: your first transaction number Note Request Number: __________________________

3.

View printed invoices 4. View your printed invoices.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 148

Solution - Print a Transaction

Print invoices Responsibility = Receivables Manager 1. Navigate to the Standard Request Submission window 2. 3. (N) Print Documents > Invoices

Single Request (B) OK Name: Invoice Print Selected Invoices Enter Parameters: Order By: Transaction Number Transaction Number Low: your first transaction number Transaction Number High: your first transaction number (B) OK (B) Submit Note Request Number: __________________________ (B) No

4. 5. 6. 7.

View printed invoices 8. 9. (M) View > Requests (B) Find Select line indicating the concurrent program Invoice Print Selected Invoices that has a parent id referencing your request.

10. (B) View Output

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 149

Manual Receipts

Manual Receipts
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 150

Practice - Enter a Manual Receipt

Overview
In this practice you will enter a manual receipt.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Enter a manual receipt Responsibility = Receivables Manager 1. Navigate to the Receipts window 2. (N) Receipts > Receipts

Enter two receipts from XX-Big City using the following information: Enter receipt 1 Receipt Number: XX-01 Receipt Type: Cash Receipt Amount: $20,946.88 Payment Method: Check-BofA Enter receipt 2 Receipt Number: XX-02 Receipt Type: Cash Receipt Amount: $8,035.00 Payment Method: Check-BofA

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 151

Solution - Enter a Manual Receipt

Enter a manual receipt Responsibility = Receivables Manager 1. Navigate to the Receipts window (N) Receipts > Receipts Receipt Number: XX-01 Receipt Type: Cash Receipt Amount: $20,946.88 Payment Method: Check-BofA

2. 3. 4.

(T) Customer Customer Name: XX-Big City (I) Save (I) New Record Receipt Number: XX-02 Receipt Type: Cash Receipt Amount: $8,035.00 Payment Method: Check-BofA (T) Customer Customer Name: XX-Big City (I) Save

5. 6.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 152

Practice - Apply a Receipt

Overview
In this practice you will apply a receipt.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Apply your receipts Responsibility = Receivables Manager 1. Navigate to the Receipts window 2. 3. (N) Receipts > Receipts

Query your receipt XX-01 Apply To: your first invoice transaction

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 153

Solution - Apply a Receipt

Apply your receipts Responsibility = Receivables Manager 1. Navigate to the Receipts window 2. 3. 4. 5. (N) Receipts > Receipts

Query your receipt XX-01 (B) Applications Apply To: your first invoice transaction (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 154

Practice - Use Mass Apply

Overview
In this practice you will use Mass Apply.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Mass apply your receipts Responsibility = Receivables Manager 1. Navigate to the Receipts window 2. 3. 4. 5. (N) Receipts > Receipts

Query your receipt XX-02 (B) Mass Apply (B) Preview Select the Apply checkbox for: Select the transaction from your first invoice The invoice associated with your sales order Place any leftover amount On - Account

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 155

Solution - Use Mass Apply

Mass apply your receipts Responsibility = Receivables Manager 1. Navigate to the Receipts window 2. 3. 4. 5. (N) Receipts > Receipts

Query your receipt XX-02 (B) Mass Apply (B) Preview Select the Apply checkbox for: Select the transaction from your first invoice The invoice associated with your sales order Place any leftover amount On - Account (I) Save

6.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 156

Tax Accounting Process

Tax Accounting Process

Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 157

Practice - Define a Tax Code

Overview
In this practice you will define a tax code.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Define a Tax Code Responsibility = Receivables Manager 1. Navigate to the Tax Codes and Rates window 2. (N) Setup > Tax > Codes (T) Rates

Enter a tax code using the following information: Tax Code: XXTAX Tax Type: Sales Tax Taxable Basis: After Discount Tax Rate %: 10 Sign: Credit Tax Class: Output Tax Account: 01-000-2520-0000-000

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 158

Solution - Define a Tax Code

Define a Tax Code Responsibility = Receivables Manager 1. Navigate to the Tax Codes and Rates window (N) Setup > Tax > Codes (T) Rates Tax Code: XXTAX Tax Type: Sales Tax Taxable Basis: After Discount Tax Rate %: 10 Sign: Credit

2. 3. 4.

(T) Control Tax Class: Output (T) More Tax Account: 01-000-2520-0000-000 (I) Save

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 159

Appendix A

Appendix A
Additional Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 160

Order Management Setup

Order Management Setup

Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 161

Practice - Define Transaction Types

Overview
In this practice you will define transaction types.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Define Transaction Types Responsibility = Oracle Management Super User, Vision Operations (USA) 1. 2. 3. 4. 5. 6. 7. 8. (N) Setup > Transaction Types > Define Enter Transaction Type name = XX Standard Description = Standard Sales Order Effective Dates = Today Transaction Type Code = Order Order Category = Mixed Order Workflow = Order Flow - Generic Save your Record (B) Assign Line flows 9. Order Type = XX Standard

10. Line Type = Standard (Line Invoicing)

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11. Process Flow = Line Flow Generic 12. Date = Today New Line 13. Line Type = Return 14. Process Flow = Line Flow - Return for Credit Only 15. Date = Today 16. (B) OK 17. Default Return Line Type = Return 18. Default Order Line Type = Standard (Line Invoicing) 19. Save your record 20. Close the window.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 163

Practice - Define Document Numbers

Overview
In this practice you will define document numbers.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Define Document Numbers Responsibility = Order Management Super User, Vision Operations (USA) A. Define Document Sequences 1. 2. 3. 4. 5. 6. 7. (N) Setup > Documents > Define Enter name = XX Standard Application = Oracle Order Management Effective Dates = Today Type = Automatic Initial Value = Choose a Number Save and close the form

B. Verify Document Category 1. 2. (N) Setup > Documents > Categories Query under Name to find XX Standard
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3. 4.

Verify that your category exists Save and close the form

C. Assign Documents 1. 2. 3. 4. 5. 6. 7. (N) Setup > Documents > Assign Application = Oracle Order Management Category = Choose XX Standard Set of Books = Vision Operations (USA) Sequence = XX Standard Date = Today Save and close the form

D. Place an Order 1. (N) Orders, Returns > Sales Orders 2. (T) Order Information and (T) Main Customer: XX-Big City Electronics Order Type: XX Standard Price List: Corporate Salesperson: Yours

(T) Line Items, (T) Main

Ordered Item XX-Palm Pilot XX-Palm Case Qty 5 5

[B] Book your work and note the order number started with your Numbering Schema.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 165

Practice - Define Processing Constraints

Overview
In this practice you will define processing constraints.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Define Processing Constraints Responsibility = Order Management Super User, Vision Operations (USA) A. Define Validation Templates 1. 2. 3. 4. 5. 6. 7. 8. 9. (N) Setup > Rules >Security > Validation Templates Entity = Order Header Template name = XX Template Short Name = XX Temp Validation type = Table Validation Semantics Column = Customer Validation Op = = (Equal To) Value String = XX Big City Electronics

10. Save and close the form

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 166

B. Define Processing Constraint 1. 2. Setup > Rules > Security > Processing Constraints Query on Application for Entity Order Header

New Constraint 3. 4. 5. Operation = Update Attribute = Payment Term User Action = Not allowed

Conditions Tab 6. 7. 8. 9. Group = Accept Default Scope = Any Validation Entity = Order Header Record Set = Order

10. Validation Template = XX Template 11. User Message = Define your message to be viewed Applicable to Tab 12. All Responsibilities selected 13. Save and close the form. C. Defy the Constraint 1. 2. 3. 4. 5. (N) Orders, Returns > Sales Orders Query your sale order from lab X Adjust Payment Terms to 30/60/90 Save Your Order Notice that your message now appears

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 167

Practice - Process a Drop Ship Order

Overview
In this practice you will observe the Workflow Process for an external (drop ship) order and the
interface with purchasing.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System (F) Log on as a Different User (This user has authorization as a buyer to approve Purchase Orders) User Name = OMSUPV Password = welcome Process a Drop Ship Order Responsibility = Order Management Super User, Vision Operations (USA) A. 1. 2. Enter and book a Drop Ship order (N) Orders, Returns > Sales Orders (T) Order Information, (T) Main. Customer: XX-Big City Electronics Select San Mateo as the Ship To and Bill To if not defaulted Order Type: Mixed Price List: Corporate Salesperson: Scott Jones Currency: USD.
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 168

3.

(T) Others Payment Terms: 30 Net Tax Handling: Standard Warehouse: M1 (T) Shipping
Qty 2 Source Type External Receiving Org M1

4.

(T) Line Items

Ordered Item XX- Phone

5.

[B] Book and note your order number _____________. NOTE: The Instructor will now Explain and run the required Workflow Background Process and Requisition Import in order for you to complete this lab. The steps they will follow is a such:

Running the Workflow Background Process This process must be run in order to push the line through the seeded Fulfillment Deferred activity within the line workflow. Navigate to Inventory > Workflow Background Engine Parameters Item Type: OM Order Line Process Deferred: Yes Process Timeout: NO Click OK Click Submit View > Request Select View all my Request Click Find

The Workflow Background Engine should be competed Normal. Close the form.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 169

Running the Requisition Import Process This process must be run in order to push the line from Order Management to Purchasing for further processing. (N) Order, Returns > Requisition Import Parameters Import Source = Order Entry (leave all other as defaulted) Close out the Parameters form and submit your request (Note your request ID) Verify your request has completed (View - Requests) Enter your request ID and then choose the Find button.

Continue your lab once this request has been completed successfully.

6. 7. B. 1.

(M) Tools > Workflow Status Verify that the order line is Purchase Released. (If PO authorization is not set up properly you will not see this in WFS) Confirm Your Requisition (N) Orders, Returns > Order Organizer In the Find window, enter the order number [B] Find [B] Open Order

2. 3. 4. 5. C. 1. 2.

(T) Line Items [B] Actions. Select Additional Line Information from the LOV (T) Drop Ship and view the requisition information Confirm that status is Approved record your requisition number here: _________________ Create and Approve a Purchase Order Select Purchasing, Vision Operations (USA) (N) Auto create. [B] Clear
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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 170

 3. 4.

Requisition: Enter the requisition number from above. [B] Find [Control + Left Click mouse] to select the line item [B] Automatic and then [B] Create Note the PO number _______________ click OK. Click OK again Wait, PO will open Supplier: Advanced Network Supplier Site: Santa Clara (Defaults) Ship To: Defaults [B] Shipments [B] Receiving Controls and verify receipt routing is set to Direct Delivery [B] OK, Close Receiving Controls and Shipments forms. [B] Approve. Approve Document form pops up with options for additional notification [B] OK Note status in header of PO should be approved

(N) Receiving > Receipts - Occurs when supplier notifies you. Relies on communication methods you establish with your supplier. Organizations: (M1 Seattle) (T) Supplier and Internal Purchase Order: Enter the PO number from above [B] Find The purchase order opens up the Receipt Header form and shows your supplier Click on the background screen to access the PO lines Check the line checkbox on the left You may have to supply M1 as the location and DROP SHIP as the sub inventory

5. 6.

(I) Save your work (F) Log on as a Different User - Log back in under your own log in

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 171

7. 8.

(F) Switch Responsibility. Select Order Management, Vision Operations (USA) (N) Orders, Returns > Order Organizer In the Find window, enter the order number [B] Find [B] Open Order Select Line Items [B] Actions. Select Additional Line Information Select Drop Ship and view the information

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 172

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 173

Create Internal Orders

Create Internal Orders

Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 174

Practice - Create Internal Orders

Overview
In this practice you will create internal orders. You have a shortage of an item in your Seattle manufacturing plant and a surplus of the same item in the Boston manufacturing plant. Create an Internal Requisition for the items. Overview of Steps to Process an Internal Order: Create Internal Customers (Pre-Req) Create Shipping Networks between pre-defined Organizations (Pre-Req) Create and approve an Internal Purchase Requisition Execute the Create Internal Orders concurrent process Execute the Order Import concurrent process. This process imports the purchase requisition and creates an internal sales order. Book the internal sales order in the same way as a standard order. However, internal sales orders do not create invoices.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Create Internal Orders Responsibility = Order Management Super User, Vision Operations (USA) A. Verify the Internal Customer have been created. (N) Customer Standard 1. 2. Search for the Customer Vision Select any address and Open
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3. 4.

In the Classification tab, note the customer has been created as an Internal Customer. Close the form

B. Verify Shipping Networks have been created. 1. 2. 3. 4. (N) Inventory > Set Up > Organizations>: Shipping Networks Verify (Search to see that a network Exists between Seattle (M1) and Boston (M2) Open up the Network to view the details Close the form

C. Create and Approve an Internal Purchase Requisition 1. 2. (N) Purchasing > Requisition > Requisition Requisition Header 3. Type: Internal Requisition

In Requisition Lines Type: Goods Item: CM13139 UOM: Each Qty: 3 Need By: Todays date +7

4.

In Requisition Footer Destination Type: Inventory Organization: Seattle Manufacturing Location: M1 Seattle Sub inventory: FGI Source: Inventory Organization: Boston Sub inventory: FGI
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5. 6. 7.

Save your work and record the requisition number ______________. [B] Approval. In the Approve Document window, click OK.

D. Execute the Create Internal Orders Concurrent Process 1. (N) Reports > Run > Single Request 2. 3. 4. Select Create Internal Sales Order from the LOV Record the Request ID ____________. Verify that the request status is Completed, Normal

E. Execute the Order Import Concurrent Process 1. 2. (N) Orders, Returns> Order Import In the Parameters window, enter: 3. 4. Order Source: Internal Validate Only: No

Execute the process and record the Request ID Verify that the request status is Completed, Normal

F. Book the Internal Sales Order 1. 2. 3. 4. 5. (N) Orders, Returns > Order Organizer Query by the requisition number to find your Sales Order (B) Open your order Note the Customer [B] Book your order View the Sales Order Line - Additional Line information to see the requisition that was created.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 177

Practice - Create and Issue a Quote to Order Management

Overview
In this practice you will learn how Quotes in Oracle CRM applications are imported into sales orders.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = rabbott Password = welcome Creating and issuing a quote to Order Management Responsibility = Order Management Super User, Vision Operations (USA) 1. 2. 3. 4. 5. 6. 7. 8. 9. Customer Support Navigation Path: Order Capture > Order Capture First Name: Beate (from the pick list) Organization: Computer Service and Rentals (from the pick list) Item: AS54888 Qty: 2 Click the Add To Cart Button Go down to the Bill To address tab and enter the following bill to address from the pick list: 301 Summit Hill Drive, Chattanooga, TN Click in the box Ship to the Same Address in the upper right hand corner of the Bill To address tab

10. Click on the Save the Quote button

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 178

11. Click on the Book the Order button 12. Once you click the book the book the order button, a new form opens up and note the Confirmation Num. in the upper left hand corner. This is your Sales Order Number. 13. Click on the OK button. 14. Note at the top of the Order Capture form, the Quote Number. 15. Exit out Oracle and re-log in using the same URL; however, your user name = omsupv and your password = welcome. 16. Select the Order Management SuperUser Responsibility 17. Navigate to Orders, Returns > Order Organizer 18. Order Number: Order Number from Step # 12 19. [B] Find 20. [B] Open 21. (T) Others Order Source: Order Capture Order Source Reference: Quote number and version

22. Close the form.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 179

Copyright Oracle Corporation, 2003. All rights reserved.

11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 180

Pricing

Pricing
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 181

Practice - Create Point and Range Price Break Modifiers

Overview
In this practice you will create point and range price break modifiers.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome C Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. (N) Pricing > Modifiers > Modifier Setup

Create a Modifier using the following details: Type: Discount List Number: XX-Price Break Active: Unchecked Automatic: Checked Description: Enter a meaningful description
Level Modifier Type Pricing Phase Bucket Product Attribute Product Attribute Value

3.

(T) Modifiers Summary

Modifier Number

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 182

1 2

Line Line

Price Break Header Price Break Header

80 Modifier for BOOK Event 80 Modifier for BOOK Event

1 1

Item Number Item Number

XX-Palm Pilot XX-Pager

(Modifier Summary continued)

Volume Type Item Quantity Item Quantity Break Type Range Point UOM Ea Ea Adjustment Type Discount Discount

3.

Place your cursor on the line for the XX-Palm Pilot and click on Define Details button. Enter the following.
Value From 1 101 401 701 Value To 100 400 700 999999 Application Method Amount Amount Amount Amount Value 0 50 100 150

4. 5. 6.

(I) Save your work Close the Define Details window and return to the Modifier Summary window. Place your cursor on the line for the XX-Pager and click on the Define Details button. Enter the following.
Value From 1 101 401 701 Value To 100 400 700 999999 Application Method Percent Percent Percent Percent Value 0 5 10 15

7.

(I) Save your work

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 183

Practice - Enter an Order Using Price Break Modifier

Overview
In this practice you will enter an order using the price breaks modifier.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Orders window 2. (N) Orders, Returns > Sales Orders

Create an order using the following details: Customer: XX-Big City Electronics Ship To: Defaults. If not, click on Ship To and select from LOV Bill To: Defaults. If not, click on Bill To and select from LOV Order Type: Mixed Price List: Corporate ( or TBD) Sales Person: Abbott, Rachel

3.

(T) Others Payment Terms: 30 Net

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 184

 4.

Warehouse: M1 FOB: Destination Sales Channel: Commercial Shipping Method: UPS Freight Terms: Prepaid

(T) Line items

Line 1.1 2.1 Ordered Item XX-Palm Pilot XX-Pager Quantity 400 400 UOM Ea. Ea. Price (retrieved as) $662.50 (Range) $665.00 (Point)

Note that in the calculation for the Palm Pilot, the first 100 are not applicable for the discount. The Modifier calculation is based on the applicable volume of 300 divided by the quantity ordered (400). In other words X 50 = 37.50 discount per item The calculation for the Pager simply applies 5% of the base price based on the order point of 400. 5. 6. (I) Save your work, and note the order number ___________. Close the forms and return to the menu.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 185

Practice - Create Tiered (Cascading) Modifiers

Overview
In this practice you will create tiered modifers. Your customer is eligible for 4 different discounts and a surcharge. Three 10% discounts will be applied when the order has been entered and saved A $13 surcharge and a 5% discount will be applied when the order has been booked The first two 10% discounts are added together and applied to the defaulting price The third 10% discount and $13 surcharge are to be applied to the resulting price The 5% discount will then be deducted from the result.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Create Tiered (Cascading) Modifiers Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. (N) Pricing > Modifiers > Modifier Setup

Create a modifier using the following details: (T) Main

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 186

 3.

Type: Discount List from LOV. Number: XX-Discount List 2 Active: Unchecked Name: XX-Discount List 2 Version: Optional Automatic: Checked Start Date: Optional; Description: Tiered Discount Modifier

[B] List Qualifiers. When the Qualifier List pops up, cancel and create the following qualifiers
Grouping No. 1 1 Context Customer Modifier List Attribute Customer Name Price List Operator = = Value From (= units) XX-Big City Electronics XX-Price List 4

4. 5.

(T) Modifiers Summary, (T) Discounts/Charges (I) Save your work after entering each Modifier.
Modifier Number 1** 2 3 4 5 Level Line Line Line Line Line Modifier Type Discount Discount Discount Surcharge Discount Pricing Phase 10(List Line Adjustment) 10(List Line Adjustment) 10(List Line Adjustment) 80 (Modifiers for BOOK Event) 80 (Modifiers for BOOK Event) Bucket 1 1 2 2 3 Application Method Percent Percent Percent Lump Sum Percent Value 10 10 10 13 5

Go back to the Header of the Modifier and select the Active checkbox.

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 187

Practice - Enter an Order Using Tiered (Cascading) Modifiers

Overview
In this practice you will create an order.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Create an Order Using Tiered (Cascading) Modifiers Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. 3. (N) Pricing > Modifiers > Modifier Setup

Create an order using the following details: (T) Order Information, (T) Main Customer: XX-Big City Electronics Order Type: Mixed Price List: XX-Price List 4 Salesperson: Lewis, Mr. David

4.

(T) Line Items, (T) Main Ordered Item: XX-Palm Case

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 188

Qty: 1

Note the default price in the Unit Selling Price field. The value should be $100. 5. 6. (I) Save your order. Record your order number _____________ . Note the new price in the Unit Selling Price field. The value should be $72. 7. [B] Actions Select View Adjustments from the LOV. You should see that all three 10% discounts have been applied. [B] Cancel [B] Book Order. A notification is displayed stating that the order has been booked. [B] OK

(T) Line Items Note the new price in the Unit Selling Price field. The value should be $80.75. [B] Actions Select View Adjustments from the LOV. You should now see that all five discounts have been applied. [B] Cancel

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 189

Practice - Resolve Group Modifier Incompatibilities

Overview
In this practice you will resolve group modifier incompatibilities. You have now determined that XX-Big City Electronics is only eligible for 2 of the 10% discounts along with the $13 surcharge and the 5% discount.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Modifier Setup window 2. 3. (N) Pricing > Modifiers > Modifier Setup

Create a modifier using the following details: (T) Main Type: (I) Flashlight. Find XX-Discount 2

4.

(T) Modifiers Summary. Modify the following modifier numbers

Modifier Number 1** 3 Incompatibility Group (LOV) Level 1 Incompatibility Level 1 Incompatibility Precedence 20 10

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 190

Practice - Enter an Order Using Incompatibility Resolution

Overview
In this practice you will enter an order using incompatibility resolution.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Responsibility = Order Management Super User, Vision Operations (USA) 1. Navigate to the Sales Order window 2. 3. (N) Orders, Returns > Sales Order

Create an order using the following details: (T) Order Information, (T) Main Customer: Select XX-Big City Electronics Order Type: Mixed Price List: XX-Price List 4 Salesperson: Lewis, Mr. David

4.

(T) Line Items, (T) Main XX-Palm Case Quantity: 1

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 5.

The default price in the Unit Selling Price field should be $100.

(I) Save your order and note the order number _____________ The new price in the Unit Selling Price field should be $81. [B] Actions Select 'View Adjustments' from the LOV to see that only two 10% discounts are applied. Note which List Lines from which Buckets were applied. [B] Cancel [B] Book Order. A notification displays stating that the order is booked. [B] OK

6. 7.

(T) Line Items The new price in the Unit Selling Price field should be $89.30.

(N) Pricing> Modifiers 8. 9. Re-query your modifier List Deactivate and Save.

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Shipping

Shipping
Supplemental Practices

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 194

Practice - Pick Release with Manual Move Orders

Overview
In this practice you will use pick release with manual move orders. This practice is design to have your company pick release Business Worlds order and perform a manual move order for inventory allocation. You will then submit your request to be processed and it ends by having you ship confirm your created sales order.

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome Responsibility = Order Management Super User, Vision Operations (USA) A. 1. Sales Orders Navigate to the Sales Order window 2. (N) Orders, Returns > Sales Orders

Select Customer Business World from LOV

Address defaults 3. 4. 5. Mixed order defaults as the order type Corporate defaults as the price list Howard Sprague defaults as the sales person

(T) Line Items 6. Select AS54888 as the Item from LOV

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7. 8. 9.

Enter the Qty: 10 UOM = Ea Howard Sprague defaults as the sales person

10. Choose the Book Order button 11. Record your order number B. 1. Release Sales Orders Navigate to the Sales Order window 2. 3. (N) Shipping > Release Sales Orders > Release Sales Orders

Enter the order number Leave Scheduled Ship Dates and Requested Dates Blank

(T) Shipping 4. Select Order Number as the Release Sequence Rule from LOV

(T) Inventory Tab 5. 6. 7. 8. 9. Select M1 as the Warehouse from LOV Select departure, delivery as the pick slip grouping rule from LOV Auto Detail: Yes Auto Pick Confirm: NO Choose the Concurrent button (record concurrent request number and batch number). Close the window.

10. From the View Menu select requests 11. Choose the Find button. 12. Find your ID # for the Pick Selection List Generation request. Once the request has completed normally, close the window. Concurrent request should read completed normal. C. 1. Transact Move Orders Navigate to the Transact Move Orders window (N) Shipping > Move Orders > Transact Move Orders

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2.

Select the Seattle Warehouse (M1)

(T) Pick Wave Tab 3. 4. 5. 6. 7. 8. In the sales order field, choose a LOV Select the Combinations button Input your sales order number, then select OK Select the Find button. Select the checkbox in the far left of the move order line. Select the Transact button, close this window

You have just performed your move order! D. Transactions

Navigate to the Transactions window: 1. 2. 3. 4. 5. 6. 7. 8. 9. (N) Shipping > Transactions

Choose the Flash Light icon from the Menu Bar Select lines search. Enter your first order number Choose the Find button Select the Delivery tab (T) Select the Details button Enter a tracking waybill number Select ship confirm from the drop down area - Go Select the Ship All radial button.

10. Select the OK button. 11. Acknowledge the message regarding inventory interface being ran and close the Shipping Transaction window.

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Copyright Oracle Corporation, 2003. All rights reserved.

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Appendix B

Appendix B
Order to Cash Full Business Flow Case Study

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 199

R11i Key Business Flows

R11i Key Business Flows

Transfer Accountin g to General Ledger Cash Manageme nt Ordering Schedulin g Ordering Accounting Collecting AutoInvoice to Receivables Invoicing Shipping

Receipts

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 200

Practice - Full Order to Cash Business Flow

Overview
In this practice you will follow the Order to Cash, full business flow. Lab Instructions Pair up with another student if possible. Follow the instructions carefully. Replace XX with your terminal identifier or initials Use the following navigation guides
Meaning Click on a button Click on a tab Click on a menu Navigate to a window Click an Icon Click on a hypertext link Example (B) Submit (T) Items (M) View > Requests (N) Purchase Orders > Purchase Orders (I) Attachment (L) Home Page

Convention (B) (T) (M) (N) (I) (L)

Assumptions
If you are not attending training at an Oracle University or Authorized Partner Education Center, you must have access to an Oracle Application Vision database or comparable training test instance on which to complete this Practice. Replace XX in the Practice with a unique identifier such as your initials or a number. (For Instructor Led Training classes, this number will be assigned to you). This is necessary in order to create unique records within the database when performing the Practice.

Tasks
Log on to the System User Name = operations Password = welcome

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11i Order to Cash Fundamentals Supplemental Practices Chapter 20 - Page 201

Full Order to Cash Business Flow Case Study Responsibility = Order Management Super User, Vision Operations (USA)

1.
A.

Regular and Return (with receipt) orders.

Create a Sales Order

(N) Orders, Returns > Sales Orders (N) Order Information and (T) Main Customer: XX - Big City Electronics Order Type: Mixed Price List: XX PRICE LIST 1 Salesperson: XX YOUR SALESPERSON

(T) Line Items B. Ordered Item: XX-Palm Pilot Qty: 1 Book your order Note your Order Number Pick Release and Auto Pick Confirm the Order

Pick Release creates Move Order Lines. Pick confirmation executes the subinventory transfer that moves the material from its source location in the warehouse to the staging location. Responsibility: Order Management Super User, Vision Operations (USA) (N) Shipping > Release Sales Orders > Release Sales Orders 1. (T) Order 2. Order Number: From above Scheduled Ship Dates: Leave Default Requested Dates: Leave Default

(T) Shipping

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 3.

Release Shipping Sequence Rule: Order Number (LOV). Autocreate Delivery: Yes

(T) Inventory Warehouse: M1 (LOV) Pick Slip Grouping Rule: Departure, Delivery (Defaults) Auto Allocate: Yes (Defaults) Auto Pick Confirm: Yes Defaults) Default Stage: Staging Sub-Inventory: Staging 1 [B] Concurrent. Note request number ______ and batch number_______. [B] OK. Close the window.

4.

(M) View > Requests. Select View all my Requests [B] Find The request status for the Pick Selection List Generation and Pick Slip Reports should be Completed, Normal. Close the form. Ship Confirm the Order

C.

Ship confirming removes the existing reservations and performs the sales order issue transaction Responsibility: Order Management Super User, Vision Operations (USA) (N) 1. Shipping > Transactions (I) Flash Light 2. Select the Lines Search button Enter your order number. [B] Find

(T) Lines/Containers [B] Detail

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 3.

Enter the shipped amount [B] Done

(T) Delivery [B] Details Enter a tracking Waybill number Actions. Select Ship Confirm [B] Go. [B] Ship All in the Confirm Delivery Form. Leave remaining defaults [B] OK A message will display to inform you that the inventory interface is triggered. Note the Request Number _____________.

4.

Close the Shipping Transaction window. You can now view the shipping and invoicing details for the item.

Note D & E on the Vision database will run together. The instructor may be running the Workflow background engine at regular intervals. D. 1. 2. Run the Workflow Background Process Navigate to Inventory > Workflow Background Engine Parameters Item Type: OM Order Line Process Deferred: Yes Process Time-out: NO Click OK Click Submit View > Request Select View all my Request Click Find
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 E.

Work flow Background Engine should be competed Normal. Close the form. AutoInvoice

Responsibility: Receivables, Vision Operations (USA) (N) Interfaces > AutoInvoice 1. 2. 3. Single Request Name: Autoinvoice Master Program Parameters F. Number of Instances: 1 Invoice Source: Order Entry Default Date: Current Date (Low) Sales Order Number: Current Order Number (High) Sales Order Number: Current Order Number Click OK Click Submit View > Request Select View all my Request Click Find Work flow Background Engine should be competed Normal. Close the form. Viewing the Invoice

Responsibility: Receivables, Vision Operations (USA) (N) Transactions > Transactions 1. 2. 3. 4. Click on the flashlight Enter the Sales Order Number Click Find This is the invoice that was created in Accounts Receivables
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5. F.

Note the Number field in the upper left hand corner. This is your invoice number for your order. Entering the Return

Needed to return the original Ordered Item Responsibility: Order Management Super User, Vision Operations (USA) Orders, Returns > Sales Orders Order Information and (T) Main 1. 2. 3. 4. Customer: XX - Big City Electronics Order Type: Return Only Price List: Corporate Salesperson: Lewis, David

(T) Line Items 5. 6. Ordered Item: XX-Palm Pilot Qty: 1

Line Items, (T) Returns 7. 8. Return Reason: Damaged Product. Reference Field 9. Reference Type: Sales Order Order Number: Order Number from the order above (select from the pick list) Order Line: 1.1 (select from the pick list)

Book your order

10. Note your order number View your line workflow at this point and it should be at Return Receiving - Line. Double click on Return Receiving - Line and notice that it is at Waiting for Receiving. The next step will take you through receiving you return item. H. Receiving the Return

Responsibility: Inventory, Vision Operations (USA)

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(N) Inventory > Transactions > Receiving >Receipts 1. 2. If needed: Choose M1 for your organisation (T) Customers RMA NUM: Order Number of the Return Order Click Find Click anywhere on the bottom half of the screen to open the receipts screen Check the box beside the appropriate line to select that line Destination Type: Inventory Subinventory: CustReturn Save

View your workflow, and notice that it has moved to Fulfil - Deferred which means we need to run the Workflow Background Process to push this order past this step, into Receivables in order for it to close. Note I & J on the Vision database will run together. The instructor may be running the Workflow background engine at regular intervals. I. 1. 2. Running Workflow Background Process Navigate to Inventory > Workflow Background Engine Parameters Item Type: OM Order Line Process Deferred: Yes Process Time-out: NO Click OK Click Submit View > Request Select View all my Request Click Find
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 J.

Work flow Background Engine should be competed Normal. Close the form. AutoInvoice

Switch responsibilities to Receivables, Vision Operations (USA) 1. 2. 3. 4. Navigate to Interfaces > Autoinvoice Single Request Name: Autoinvoice Master Program Parameters K. 1. 2. 3. 4. 5. 6. Number of Instances: 1 Invoice Source: Order Entry Default Date: Current Date (Low) Sales Order Number: Current Order Number (Return Order Number) (High) Sales Order Number: Current Order Number (Return Order Number) Click OK Click Submit View > Request Select View all my Request Click Find Autoinvoice should be competed Normal. Close the form. View the Credit Memo Navigate to Transactions > Transactions Click on the flashlight Enter the Sales Order Number (Return Order Number) Click Find This is the credit memo that was created in Accounts Receivables Note the Number field in the upper left hand corner. This is your invoice number for your order.
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2.

Check The Customers Account

Navigation Path: (N) Collections > Customer Account Query back your customer either by Customer or Collector Review the ageing on the customers account to decide what specific actions will be required. Select the Ageing button Review the Ageing on the screen . Review the Key Indicators. Check the History of all correspondence. Check the Credits not aged , the invoices in dispute and the pending adjustments Review any other information by selecting the appropriate buttons

3.

AR Online - iReceivables

Navigation Path: iReceivables Internal Change Responsibility to iReceivables Internal Search for the Customer XX Big City Electronics View the Account Select a Highlighted Document Number and review Click on Dispute button............

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Summary

Summary
In performing these practices, you should have an understanding of the flow of transactions and the implications of system implementation decisions for Oracle Order to Cash.

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