Customer Submitted Case Studies

Case Study: Defining MOAC (Multi Org Access Control) in R12 Author: Raghuraman, Chartered Accountant, Cost Accountant and MBA Freelancer, United Kingdom Skill Level Rating for this Case Study: Intermediate

About Oracle Customer Submitted Case Studies

Oracle Customer Submitted Case Studies are intended as learning tools and for sharing information or knowledge related to a complex event, process, procedure, or to a series of related events. Each case study is written based upon the experience that the writer/s encountered. Customers should not interpret or use information in these case studies as solutions or recommendations without first contacting Oracle Support. Each Case Study contains a skill level rating. The rating provides an indication of what skill level the reader should have as it relates to the information in the case study. Ratings are:

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Case Study Abstract

This case study describes how I defined the new functionality of MOAC in R12. To understand this, the reader must know how to configure ledger and accounting options in GL, which had not been discussed in this case study. This case study is for Intermediate level, with basic knowledge of defining ledger, accounting setup and multi org feature in 11i.

Case History
This case study shares my experience on how I defined the new feature of MOAC for accessing multiple operating units with single responsibility. In 11i I had to define multiple responsibilities to access multiple operating units. In other words, it was not possible for me to use single responsibility to access multiple operating units as MO: Operating Unit profile option can have only one operating unit value assigned to it. This case study is only for defining MOAC and not for defining ledger, accounting options and configuring payables.

Pre-Analysis Work
As Is process analysis: Client was operating in multiple countries. Client had multiple legal entities even within a country. Client was operating on 11i and hence was forced to define multiple responsibilities to access multiple legal entities. This was reported as an administrative hassle as multiple responsibilities, mapping responsibilities to operating units through profile option, and attaching different responsibilities to different users had to be performed.

Process Analysis
Summary I listed out the number of legal entities and Ledger to be configured based on the As Is process and business requirements gathering workshop. All the legal entities that were sharing the same ledger were identified for the purposes of MOAC configuration. Detailed Analysis Steps that I had followed: Sl.No Particulars

Application

Covered in this study or not Yes Yes No No No Yes Yes Yes Yes Yes Yes

Step

1 2 3 4 5 6 7 8 9 10 11

System Administrator Legal Entity Configuration of Legal Entity Configurator Define Ledger General Ledger Define Accounting Setup General Ledger Link Legal entity to Ledger General Ledger Profile option to attach System Ledger to Responsibility Administrator Create Business Group Human Resources Define Multiple Human Resources Organizations Link the Multiple Human Resources Organizations to Ledger Define Organization Human Resources Hierarchy Define Security Profile Human Resources

Profile option for Legal Entity Numbering

1.1 1.2 N.A. N.A. N.A. 2 3.1 3.2, 3.4 3.3 4 5

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12 13 14

Profile option to attach security profile to responsibility Complete configuration of Payables Check the Result

System Administrator Payables Payables

Yes No Yes

6 N.A 7

Comparison of 11i Vs 12 11i Set of books Multi Org GRE Legal Entity Org classification in Organization window 3 Cs Chart of Account, Calendar, & Currency GL Set of Books Profile Option for Multi Org MO: Operating Unit 12 Ledger MOAC Not required Accounting Setup GL Ledger Name Profile Option for MOAC MO: Operating Unit (to use the same feature of 11i) Or MO: Security Profile to use the MOAC available in R12

I defined three responsibilities MOAC HR, MOAC General Ledger and MOAC Payables and used the seeded responsibility Legal Entity Manager to define legal entity for MOAC configuration. Step 1 Step 1.1

Profile option for legal entity numbering I need to number the legal entity, which can be manual or automatic. To generate the number automatically, I need to set LE: Generate Legal Entity Identifier to set Yes. If I set this profile option set it to No, I will be forced to enter the legal entity identifier manually. The default value is No.

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I defined this profile option with the value No to use manual numbering. Step 1.2 Configuration of Legal Entity This can be defined in Legal Entity Configurator or General Ledger responsibility while defining ledger. I used Legal Entity Manager Responsibility Legal Entity Manager > Legal Entity Configurator > Legal Entities > Create Legal Entity

Named Entity Selected the existing address

the

Legal

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Selected the country name in territory field, named the legal entity and organization and entered LE number manually and selected the address > completed the LE creation by clicking the apply button.

Step 2 Profile option to attach Ledger to Responsibility Name of the Profile Option: GL Ledger Name This profile option has been used to attach the ledger to General Ledger and Payables responsibilities. I defined MOAC Ledger with accounting setup and attached this ledger to MOAC General Ledger and MOAC Payables responsibility. Attached MOAC Ledger to MOAC General Ledger Responsibility

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Attached MOAC Ledger to MOAC Payables responsibility

Step - 3 Step 3.1 Create Business Group HR Responsibility Navigation Workstructure > Organization > Description Created Business Group

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Selected Business Group in Organization classification and completed the Business group configuration>Saved the records. Attached business group to all the responsibilities by using HR profile options HR: Business Group and HR: Security Profile. Step 3.2

Define Multiple Organizations Navigation HR>Workstructure > Organization > Description Defined first multi org

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Step 3.3

Link the Multiple Organizations to Ledger From the 3.2 screen shot Selected the Operating Unit in organization classification > Saved the records > Clicked Others button > Selected Operating unit information

Selected the Ledger and Legal Entity defined from LOV

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Step 3.4 I followed the same steps 3.2 & 3.3 to define second operating unit. Here I attached the same legal entity and ledger to second operating unit as follows:

Selected the Ledger and Legal Entity defined

I configured two operating units MOAC Org 1 and MOAC Org 2 using the same MOAC Ledger and MOAC LE. I created one inventory organization to attach in Financial Options window in Oracle Payables, which has not been discussed here.

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Step 4 Define Organization Hierarchy Navigation HR>Workstructure > Organization > Hierarchy This is an additional setup compared to 11i. I had used the same 11i Organization Hierarchy model configuration to define organization and its relationship to subordinate organizations.

Named the Org Hierarchy

Selected the Business Group defined in Step 3.1

Selected the Multi Org defined in Step 3.2 and

Step 5 Define security profile Navigation HR>Security > Profile This is another additional setup compared to 11i. Defined security profile by linking the organization hierarchy defined in step 4 to the business group and grouped the operating units under this security profile.

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Named the security profile

Selected the Business Group

Selected the Organization Hierarchy defined in Step 4

Selected the Org Subordinates

Ran the security list maintenance request from HR responsibility

Selected security profile defined in step 5

I ensured that it was completed successfully.

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Step 6 Profile option to attach security profile to responsibility I attached the multi org security profile defined in Step 5 through profile option MO: Security Profile to MOAC Payables responsibility.

Step 7 Check the Result I configured Oracle Payables for both the operating units MOAC Org 1 and MOAC Org 2 before testing the results. Tested the results as follows:

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Payables> Invoice window > Checked the LOV in operating unit field

I was able to see and access multiple operating units defined (Multi Org 1 and Multi Org 2) in LOV within a responsibility for invoice creation.

Additional step for using Vision Instance

Payables > Setup > Option > User Operating Unit preference Here I can optionally define user operating unit preference. If I use my own BG (Example in this study I had configured MOAC Group) for configuration, I will see only what have been defined as operating units. If I use Vision Corporation, I may see other ledgers also attached to Vision Corporation apart from my ledger. Example if I use Vision Corporation for practice, I need to configure the following to see only my operating units User Operating Unit preference window Payables > Setup > Option > User Operating Unit Preference

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Select MOAC Org 1 and MOAC Org 2 are preferred or Vision Corporation as Clear Preferred.

Results
I was able to access multiple operating units through single responsibility that are linked to the same ledger and business group.

Conclusion and Learning

MOAC facilitates accessing different operating units within a responsibility. It saves time on shifting responsibilities to access multiple operating units, reduces configuration of multiple responsibilities and setting up of profile option to attach respective operating units to responsibilities. In R12 Profile Option MO: Security Profile groups the operating units that can be accessed by single responsibility through MOAC functionality. The Security Profile form allows selecting operating units from only one Business Group. If I use Global Hierarchy and Global Security profile, I can select operating units from multiple Business Groups.

References
R12 Multi Org guide.
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