Implementing the Primary Oracle Financial Applications Release 11 Electronic Presentation
14046GC10 Production 1.0 October 1998 M07607
Authors
Copyright © Oracle Corporation, 1998. All rights reserved.
Deborah Steffen
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:
Technical Contributors and Reviewers Barbara Bower Lois Houston Kathy Kelly Shannon E. Kreps Terri North Joe Ratkiewicz Susan Valverde
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 DataGeneral, including Alternate III (June 1987).
Publisher Lisa Patterson
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, 500Oracle Parkway, Box SB-6, Redwood Shores, CA 94065. Oracle Corporation does not warrant that this document is error-free. All references to Oracle and 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.
1 Implementing Implementing the the Primary Primary Oracle Oracle Financial Financial Applications Applications Release Release 11 11 Course Course Introduction Introduction
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this course, course, you you should should be be able able to to do do the the following: following: •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Enterprise Enterprise Management Management applications applications •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Purchase Purchase to to Pay Pay applications applications •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Order Order to to Cash Cash applications applications •• Describe Describe the the features features and and characteristics characteristics of of Oracle’ Oracle’ss common common modules modules in in relation relation to to implementing implementing financial financial applications applications 1-2
Copyright Oracle Corporation, 1998. All rights reserved.
Planning Planning for for the the Implementation Implementation of of the the Primary Primary Financial Financial Applications Applications •• •• •• •• ••
1-3
What What are are the the core core financial financial applications applications that that you you need need to to manage manage your your enterprise? enterprise? How How do do you you implement implement the the flow flow of of information information from from the the purchase purchase of of business business properties properties to to the the payment payment and and tracking tracking of of them? them? How How do do you you identify identify issues issues in in the the entry entry of of customer customer orders orders and and the the receipt receipt of of payments? payments? What What other other Oracle Oracle features features and and products products would would help help you you to to implement implement and and manage manage your your business business and and applications? applications? How How do do you you plan plan to to integrate integrate legacy legacy system system information, information, and and will will you you need need to to extend extend applications? applications? Copyright Oracle Corporation, 1998. All rights reserved.
Implementing Implementing the the Primary Primary Oracle Oracle Financial Financial Applications Applications •• •• •• ••
1-4
Enterprise Enterprise Management Management Purchase Purchase to to Pay Pay Order Order to to Cash Cash Common Common Modules Modules
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Enterprise Enterprise Management Management •• •• •• •• •• •• ••
1-5
Overview Overview of of Oracle Oracle General General Ledger Ledger Common Common Financials Financials Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle General General Ledger Ledger Overview Overview of of Oracle Oracle Assets Assets Setup Setup Steps Steps Unique Unique to to Oracle Oracle Assets Assets Integration Integration with with Other Other Oracle Oracle Applications Applications Reporting Reporting Options Options
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Purchase Purchase to to Pay Pay •• •• •• •• •• •• ••
1-6
Overview Overview of of Oracle Oracle Purchasing Purchasing Overview Overview of of Oracle Oracle Payables Payables Integration Integration Between Between Oracle Oracle Purchasing Purchasing and and Oracle Oracle Payables Payables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Purchasing Purchasing Setup Setup Steps Steps Unique Unique to to Oracle Oracle Payables Payables Integration Integration with with Other Other Oracle Oracle Applications Applications
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Order Order to to Cash Cash •• •• •• •• •• •• •• •• 1-7
Overview Overview of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping Overview Overview of of Oracle Oracle Receivables Receivables Overview Overview of of Oracle Oracle Cash Cash Management Management Integration Integration Between Between Oracle Oracle Order Order Entry Entry And And Oracle Oracle Receivables Receivables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Order Order Entry Entry Setup Setup Steps Steps Unique Unique to to Oracle Oracle Receivables Receivables Integration Integration with with Other Other Oracle Oracle Applications Applications
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Common Common Modules Modules •• •• •• •• ••
1-8
Oracle Oracle Workflow Workflow Oracle Oracle Flexfields Flexfields Oracle Oracle Alert Alert Oracle Oracle Applications Applications System System Administration Administration Extending Extending the the Oracle Oracle Applications Applications
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Implementation Implementation Overview Overview
Setup applications
Wizard 1-9
Processes and organized setup steps
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Perform Perform Common Common Tasks Tasks First First •• •• ••
1-10
Common Common applications applications Common Common process process of of product product family family Products Products
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Common Common Oracle Oracle Applications Applications Features Features •• •• •• ••
1-11
Use Use of of folders folders Flexfields Flexfields QuickCodes QuickCodes Multiple Multiple organization organization support support
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Folders Folders ••
Customize Customize aa folder folder block: block: –– Show Show –– ––
•• ••
1-12
Hide Hide Move Move
–– Modify Modify appearance appearance Retrieve Retrieve different different records records into into aa folder folder Manage Manage different different folder folder definitions definitions
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Customizing Customizing Oracle Oracle Applications Applications Using Using Flexfields Flexfields Oracle General Ledger
Oracle Assets Application windows
User-defined flexfield windows
1-13
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Key Key and and Descriptive Descriptive Flexfields Flexfields Key flexfields build unique entity identifiers
__ Item Information _________ Category Item Color
Payment Type CC Store 54321 Dept 987 Number 4958-2938-4747 Exp. Dt 12 - 99 1-14
COM
Computer
876
Monitor
LTN
Light tan
Descriptive flexfields gather additional information
Copyright Oracle Corporation, 1998. All rights reserved.
Flexfield Flexfield Structures Structures and and Flexfield Flexfield Segments Segments Item Information Flexfield
Segments: (Category, Item, Color)
__ Item Information _______________ Category Item Color
COM
Computer
876
Monitor
LTN
Light tan
Structure: (Category Segment + Item Segment + Color Segment)
1-15
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QuickCodes QuickCodes Overview Overview •• •• •• •• ••
User-defined User-defined values values Appear Appear in in list list of of values values Can Can add add and and disable disable values values in in list list Usually Usually used used for for reporting reporting or or querying querying Examples Examples of of customer customer calls: calls: I’m bankrupt
1-16
The check’s in the mail
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Multiple Organization Support A server-side enhancement that affects Oracle applications Database server
1-17
Applications server
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User community
Summary Summary •• •• •• ••
1-18
Folders Folders are are used used to to customize customize the the presentation presentation of of data data Flexfields Flexfields are are used used to to meet meet unique unique business business requirements requirements Quickcodes Quickcodes are are user-defined user-defined values values that that appear appear in in lists lists of of values values Multiple Multiple Organization Organization Support Support is is used used for for keeping keeping transaction transaction data data secure secure and and separate separate without without having having multiple multiple installations installations of of aa product product
Copyright Oracle Corporation, 1998. All rights reserved.
2 Enterprise Enterprise Management Management Introduction Introduction
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this unit, unit, you you should should be be able able to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Enterprise Enterprise Management Management applications. applications.
2-2
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Planning Planning for for the the Management Management of of Your Your Enterprise Enterprise •• •• •• •• •• 2-3
What What needs needs to to be be set set up up for for all all financial financial applications? applications? What What do do you you need need to to plan plan for for when when creating creating and and setting setting up up charts charts of of accounts, accounts, journals, journals, and and budgets? budgets? What What implementation implementation considerations considerations are are unique unique to to Oracle Oracle Assets? Assets? How How is is information information shared shared and and how how does does itit flow flow between between other other Oracle Oracle applications? applications? What What reporting reporting options options will will you you implement? implement?
Copyright Oracle Corporation, 1998. All rights reserved.
Managing Managing Your Your Enterprise Enterprise
Assets
Ledger Accounts Journals Budgets
Repository of information from other Oracle applications and systems
Reports 2-4
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3 Enterprise Enterprise Management Management Overview Overview of of Oracle Oracle General General Ledger Ledger
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Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle General General Ledger. Ledger.
3-2
Copyright Oracle Corporation, 1998. All rights reserved.
Central Central Repository Repository for for Organization’ Organization’ss Information Information Journal entries
Actual accounting information
Budget accounting information
Encumbrance accounting information
Account balances
Online 3-3
General Ledger Copyright Oracle Corporation, 1998. All rights reserved.
Reports
Major Major Functions Functions and and Features Features
Oracle Oracle General General Ledger Ledger is is aa comprehensive comprehensive financial financial management management solution solution that that facilitates facilitates the the following following tasks: tasks:
•• Financial Financial controls controls •• Data Data collection collection •• Information Information access access •• Financial Financial reporting reporting and and analysis analysis
3-4
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Overview Overview of of Oracle Oracle General General Ledger Ledger
ord c e R
Ana lyze
ate l u nip a M
3-5
Oracle General Ledger
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Rev iew
Accounting Accounting Cycle Cycle Open period Post
Create journal entries
Review Correct errors
Run reports and close period
Verify balances Review and correct balances
Consolidate 3-6
Translate Subsidiary foreign balances balances
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Budgeting Budgeting Cycle Cycle Define budgets Define budget organizations
Define budget formulas
Define MassBudgets
Enter and change budget amounts or journals
Calculate budgets
Report on budgets
Freeze budgets 3-7
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Top-Down Top-Down Cycle Cycle •• •• ••
•• ••
Enter Enter and and post post budgets budgets for for top-level top-level masters masters and and set set targets targets for for lower-level lower-level budgets. budgets. Enter Enter and and post post departmental departmental budgets. budgets. Compare Compare master master budgets budgets to to children children budgets budgets and and identify identify over/under over/under conditions conditions using using summary summary account account inquiries inquiries and and reports. reports. Adjust Adjust or or reallocate reallocate budgets. budgets. Review Review and and freeze freeze budgets. budgets.
3-8
Bottom-Up Bottom-Up Cycle Cycle •• Enter Enter and and post post •• •• ••
departmental departmental budgets. budgets. Report Report and and inquire inquire against against budget budget amounts amounts to to roll roll up up to to totals. totals. Adjust Adjust budget budget amounts. amounts. Review Review and and freeze freeze budgets. budgets.
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Integrating Integrating with with Subledgers Subledgers Oracle General Ledger is the central repository for accounting information, receiving transactions from financial and manufacturing subledgers.
Manufacturing subledgers
3-9
Oracle General Ledger
Financial subledgers
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Integrating Integrating with with Subledgers Subledgers Transfer in summary or detail
GL_INTERFACE
Subledgers
GL_BALANCES 3-10
Automatic or manual
Journal Import
Post
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GL_JE_LINES GL_JE_HEADERS GL_JE_BATCHES
Using Using Open Open Interfaces Interfaces •• •• ••
3-11
You You can can integrate integrate with with external external systems systems by by using using delivered delivered open open interfaces. interfaces. You You can can write write import import programs programs to to import import data data from from an an external external system system or or from from your your previous previous accounting accounting system. system. You You can can initiate initiate aa full full account account validation validation process process during during import. import.
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Information Information Shared Shared with with Subledgers Subledgers •• •• ••
3-12
The The Oracle Oracle General General Ledger Ledger set set of of books, books, consisting consisting of of aa calendar, calendar, currency, currency, and and chart chart of of accounts accounts The The Oracle Oracle General General Ledger Ledger exchange exchange rates, rates, including including conversion conversion rate rate types, types, daily daily rates, rates, period period rates, rates, and and historical historical rates rates The The Oracle Oracle General General Ledger Ledger journal journal entry entry sources sources and and categories categories used used to to record record information information about about the the origination origination and and purpose purpose of of transactions transactions
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Basic Basic Business Business Needs Needs •• •• •• •• ••
Use Use subledger subledger products products in in aa single single installation installation Support Support any any number number of of operating operating units units
3-13
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Secure Secure access access to to data data Sell Sell and and ship ship from from different different operating operating units units Purchase Purchase and and receive receive with with different different operating operating units units
Summary Summary ••
Oracle Oracle General General Ledger Ledger is is the the central central repository repository for for accounting accounting information, information, receiving receiving transactions transactions from from financial financial and and manufacturing manufacturing subledgers. subledgers.
••
The The “three “three C’ C’s” s” are are chart chart of of accounts, accounts, currency, currency, and and calendar. calendar. Except Except for for Oracle Oracle Assets, Assets, all all subledgers subledgers integrate integrate with with Oracle Oracle General General Ledger Ledger (GL) (GL) through through the the GL_INTERFACE GL_INTERFACE table. table.
••
3-14
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4 Enterprise Enterprise Management Management Common Common Financial Financial Setup Setup Steps Steps
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations that that are are common common to to Oracle Oracle General General Ledger Ledger and and Oracle Oracle applications. applications.
4-2
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Common Common Setup Setup Steps Steps
Accounting calendar
Functional currency
Hierarchies
Accounts
Chart of accounts 4-3
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Sets of books
Business Business Requirements Requirements Analysis Analysis Objectives Objectives •• •• •• ••
4-4
Identify Identify the the company’ company’ss financial financial and and operating operating structure. structure. Conduct Conduct aa current current business business baseline baseline and and document document the the company’ company’ss business business processes. processes. Organize Organize the the processes processes into into scenarios scenarios that that reflect reflect the the requirements. requirements. Incorporate Incorporate in in the the scenarios scenarios future future business business processes. processes.
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Account Account Structures Structures and and Reporting Reporting Needs Needs •• •• •• ••
4-5
Determine Determine the the factors factors by by which which your your organization organization analyzes analyzes financial financial performance performance and and wants wants to to produce produce reports. reports. Make Make sure sure that that you you can can generate generate required required financial financial reports reports based based on on the the segments segments in in your your accounting accounting flexfield. flexfield. Review Review reports reports currently currently produced produced outside outside of of GL GL (spreadsheets) (spreadsheets) and and determine determine whether whether adding adding segments segments will will allow allow you you to to produce produce them them from from GL. GL. Determine Determine how how you you need need to to summarize summarize data data organizationally, organizationally, based based on on management management structures. structures. Copyright Oracle Corporation, 1998. All rights reserved.
Perform Perform Three Three Tasks Tasks to to Create Create aa Set Set of of Books Books Western Region CA E
W
NV E
OR W
E
W
Define a chart of accounts
Define an accounting calendar 4-6
Define currencies
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Sets Sets of of Books Books
Multiple sets of books
Consolidate
One holding company
4-7
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Sharing Sharing aa Set Set of of Books Books Across Across Oracle Oracle Applications Applications Chart of accounts Value sets Segment values Security rules Cross-validation rules Accounting calendar Periods Period types Currencies 4-8
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Chart Chart of of Accounts Accounts Design Design
Western Region
California
East
4-9
West
Nevada
East
West
Oregon
East
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West
Flexfield Flexfield Segments Segments Reflect Reflect Your Your Industry Industry and and Reporting Reporting Requirements Requirements Manufacturing: Company
Cost
Account
Product
center
Product
Sub-
line
account
News distribution: Division
Account
Region
Story
Distribution
Project oriented: Company
Account
Department
Project
Project type
4-10
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Areas Areas to to Consider Consider When When Designing Designing Your Your Accounting Accounting Flexfield Flexfield •• ••
4-11
Rollups Rollups Subledger Subledger dumping dumping
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Areas Areas to to Consider Consider When When Designing Designing Your Your Accounting Accounting Flexfield Flexfield •• ••
4-12
Too Too many many segments segments Plan Plan for for the the future future
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Areas Areas to to Consider Consider When When Designing Designing Your Your Accounting Accounting Flexfield Flexfield •• ••
4-13
Plan Plan for for the the future future Data Data entry entry
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Areas Areas to to Consider Consider When When Designing Designing Your Your Accounting Accounting Flexfield Flexfield ••
4-14
Numbering Numbering scheme scheme of of segments segments
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Assign Assign Related Related Detail-Level Detail-Level Values Values in in Ranges Ranges
4-15
Region
Parent
Range
Region A
100
101-199
Region B
200
201-299
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Assign Assign Account Account Numbers Numbers by by Classification Classification and and Reporting Reporting Category Category Left Left to to Right Right in in the the Account Account Number Number Example Accounts beginning with 1..................Assets Accounts beginning with 2..................Liabilities Accounts beginning with 11-14...........Current assets Accounts beginning with 15-19...........Noncurrent assets Accounts beginning with 0..................Statistics
4-16
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Balancing Balancing Segment Segment
Balancing Segment
Company 00 01
4-17
Cost Center A01 A02
Account 1000 Cash 1200 Acct. Rec.
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Using Using Dependent Dependent and and Independent Independent Segments Segments Independent Segment
4-18
Dependent Segment
1100
0001
Cash Bank of Alaska
1100
0002
Cash Bank of America
1700
0001
Fixed Asset Building #3
1700
0002
Fixed Asset Building #4
Copyright Oracle Corporation, 1998. All rights reserved.
Value Value Sets Sets
Value_set 1
Value_set 2
Value_set 3
Format: Char
Format: Char
Format: Char
Max size: 2
Max size: 3
Max size: 4
Validation: Independent
Validation: Independent
Validation: Independent
Balancing Segment 01 02 03
Cost Center 100 101 999
Natural Account HEAD 1000 9999
4-19
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary Accounts Accounts
Corporate Budget Master: None
Total Divisions Sales Budget Master: Corporate
Western Budget Master: Sales Total Sales 4-20
Eastern Budget Master: Sales
Marketing Budget Master: Corporate
Public Relations Budget Master: Mktg Total Marketing
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Trade Shows Budget Master: Mktg
Cross-Validation Cross-Validation Rules Rules -- Part Numbers ---------------------------------------Part Description
COM - 876 - LTN Computer-Monitor-Light Tan
Part Number Structure Part
COM
Computer
Category
876
Monitor
Color
LTN
Light Tan
COM - 876 - LTN 4-21
Part Number Structure Part or
COM
Computer
Category
626
4-Wheel
Color
LTN
Light Tan
COM - 626 - LTN
Copyright Oracle Corporation, 1998. All rights reserved.
Steps Steps for for Defining Defining Your Your Chart Chart of of Accounts Accounts 1. 1. 2. 2.
Define Define value value sets. sets. Define Define account account structure. structure.
3. 3. Define Define rollup rollup groups. groups.
4-22
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Steps Steps for for Defining Defining Your Your Chart Chart of of Accounts Accounts 4. 4. 5. 5.
Define Define account account segment segment values. values. Define Define security security rules. rules.
6. 6. Define Define cross-validation cross-validation rules. rules. 7. 7. Define Define descriptive descriptive flexfields. flexfields. 8. 8. Define Define account account shorthand shorthand aliases. aliases. 9. 9. Define Define summary summary accounts. accounts. 10.Create 10.Create account account combinations. combinations.
4-23
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Potential Potential Problems Problems with with Dynamic Dynamic Insertion Insertion The The combination combination of of dynamic dynamic insertion insertion and and wellwellcrafted crafted cross-validation cross-validation rules rules can can significantly significantly decrease decrease data data entry entry effort effort while while maintaining maintaining control control over over new new account account combinations. combinations. However, However, consider consider the the following following points: points: •• IfIf you you enable enable dynamic dynamic insertion insertion without without defining defining cross-validation cross-validation rules, rules, you you run run aa risk risk of of creating creating inappropriate inappropriate account account combinations. combinations. •• IfIf you you create create an an undesirable undesirable combination combination and and then then later later pass pass aa rule rule to to prevent prevent using using itit in in the the future, future, you you must must disable disable the the undesirable undesirable combination, combination, because because the the validation validation process process does does not not check check rules rules for for existing existing combinations. combinations. 4-24
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Converting Converting •• •• ••
4-25
Complete Complete setup setup Load Load segment segment values values Train Train end end users users on on new new chart chart of of accounts accounts
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Calendars Calendars Define multiple calendars and assign them to a set of books Set of books 1
Monthly calendar
Set of books 2
Quarterly calendar
Define period types Month Quarter Year Week
4-26
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Period Period and and Year-End Year-End Accounting Accounting Information Information Old period balances
4-27
New period balances
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Year-end balances
Adding Adding Periods Periods to to aa Calendar Calendar •• •• •• ••
4-28
There There can can be be no no gaps gaps between between nonadjusting nonadjusting accounting accounting periods. periods. Accounting Accounting periods periods cannot cannot overlap, overlap, except except for for adjusting adjusting periods. periods. Adjusting Adjusting periods periods must must overlap overlap nonadjusting nonadjusting periods. periods. Period Period ordering ordering must must be be based based on on the the period period starting starting dates. dates.
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Transaction Transaction Calendar Calendar
x x x x x x x
4-29
x x x
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Enter Enter Transactions Transactions in in Multiple Multiple Currencies Currencies Pounds
Francs
Yen
Dollars
4-30
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Summary Summary •• ••
•• ••
4-31
A A set set of of books books determines determines the the functional functional currency, currency, the the account account structure, structure, and and the the accounting accounting calendar calendar for for each each company company or or group group of of companies. companies. The The chart chart of of accounts accounts is is the the backbone backbone of of information information flow flow throughout throughout the the organization; organization; all all of of the the other other modules, modules, including including the the general general ledger, ledger, depend depend on on it. it. A A chart chart of of accounts accounts is is made made up up of of flexfield flexfield segments. segments. You You should should design design aa chart chart of of accounts accounts that that reflects reflects the the way way you you run run your your business business now now and and anticipates anticipates the the way way you you will will run run itit in in the the future. future. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
4-32
When When defining defining an an account account structure, structure, consider consider the the following: following: –– Security Security rules rules
–– ––
Cross-validation Cross-validation rules rules Summary Summary accounts accounts
–– ––
Value Value sets sets Rollup Rollup groups groups
Copyright Oracle Corporation, 1998. All rights reserved.
5 Enterprise Enterprise Management Management Setup Setup Steps Steps Unique Unique to to Oracle Oracle General General Ledger Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations in in implementing implementing Oracle Oracle General General Ledger. Ledger.
5-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• •• •• •• •• ••
5-3
Journal Journal entry entry Posting Posting Timing Timing of of processes processes in in aa closing closing cycle cycle Allocations Allocations Recurring Recurring journals journals Foreign Foreign currency currency Consolidations Consolidations Budgeting Budgeting
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Journal Journal Entry Entry Types Types
Basic journal entry Reversing journal entry Recurring entries Mass Allocations 5-4
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Journal Journal Creation Creation Methods Methods
Manual Entry • Reversals • Recurring • MassAllocations
Journal Import Journal Wizard
5-5
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Implementation Implementation Considerations Considerations for for Journals Journals •• •• ••
5-6
Naming Naming standards standards Batching Batching standards standards Use Use of of batch batch and and journal journal controls controls
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Implementation Implementation Considerations Considerations for for Journals Journals •• •• ••
5-7
Account Account code code aliases aliases Folders Folders Document Document sequencing sequencing
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Implementation Implementation Considerations Considerations for for Journals Journals •• ••
5-8
Freezing Freezing sources sources of of imported imported journals journals Journal Journal approvals approvals
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Implementation Implementation Considerations Considerations for for Journals Journals •• ••
5-9
Using Using Journal Journal Wizard Wizard versus versus entering entering journal journal directly directly Elimination Elimination journal journal entries entries
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Implementation Implementation Considerations Considerations for for Journals Journals ••
5-10
Statistical Statistical journal journal entries entries
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Update Update Balances Balances by by Posting Posting Journals Journals
Account Balance Prepost
$500
Journal
25
After post $525 Enter journal
Post journal
5-11
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Accounting Accounting Periods Periods •• •• •• •• ••
5-12
Open Open Closed Closed Permanently Permanently Closed Closed Never Never Opened Opened Future-Entry Future-Entry
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MassAllocations MassAllocations Formula: Benefit expense for unit = Department total benefit expense number of people / total number of people Departmental allocation for benefits
10 employees
5-13
8 employees
5 employees
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*
Step-Down Step-Down Allocations Allocations
Define allocation formula
Calculate allocation entry Repeat for each level of your allocation Post allocation entry
5-14
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Generating Generating and and Posting Posting Using Using MassAllocations MassAllocations •• •• ••
5-15
Reverse Reverse existing existing balances balances Post Post new new allocation allocation amounts amounts Generate Generate journals journals that that increment increment the the existing existing balances balances to to match match the the current current allocation allocation amount amount
Copyright Oracle Corporation, 1998. All rights reserved.
Three Three Ways Ways to to Define Define Recurring Recurring Journals Journals Skeleton Dr. Cr.
Salary Expense............................... Salaries Payable.......................
Standard Dr. Cr.
Salary Expense................... Salaries Payable............
Formula Dr. Cr.
5-16
Salary Expense..................... Salaries Payable..............
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Three Three Concepts Concepts That That Pertain Pertain to to Currency Currency
Conversion
Translation
Revaluation
5-17
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Conversion Conversion Oracle General Ledger automatically converts amounts in foreign currency journals to currency equivalents using supplied daily rates.
Foreign currencies
Functional currency 5-18
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Conversion Conversion Rates Rates •• ••
•• ••
5-19
Spot: Spot: An An exchange exchange rate rate that that you you enter enter to to perform perform conversion conversion based based on on the the rate rate on on aa specific specific date. date. ItIt applies applies to to the the immediate immediate delivery delivery of of aa currency. currency. Corporate: Corporate: An An exchange exchange rate rate that that you you define define to to standardize standardize rates rates for for your your company. company. This This rate rate is is generally generally aa standard standard market market rate rate determined determined by by senior senior financial financial management management for for use use throughout throughout the the organization. organization. User: User: An An exchange exchange rate rate that that you you specify specify when when you you enter enter aa foreign foreign currency currency journal journal entry. entry. EMU EMU Fixed: Fixed: An An exchange exchange rate rate that that General General Ledger Ledger provides provides automatically automatically when when you you enter enter journals journals using using aa foreign foreign currency currency that that has has aa fixed fixed relationship relationship with with the the euro. euro. Copyright Oracle Corporation, 1998. All rights reserved.
Multiple Multiple Reporting Reporting Currency Currency Reports Reports Reporting set of books
Francs
Pounds Primary set of books in US dollars
Euro
5-20
Copyright Oracle Corporation, 1998. All rights reserved.
Monthly reports
Use Use MRC MRC Under Under These These Conditions Conditions ••
••
••
5-21
You You operate operate in in aa country country whose whose unstable unstable currency currency makes makes itit unsuitable unsuitable for for managing managing your your business. business. You You need need to to manage manage your your business business in in aa more more stable stable currency currency and and still still be be able able to to report report your your transactions transactions and and account account balances balances in in the the unstable unstable local local currency. currency. Your Your company company is is multinational, multinational, and and you you need need to to report report financial financial information information in in aa common common functional functional currency currency other other than than that that of of the the transaction transaction or or your your primary primary functional functional currency. currency. You You operate operate in in aa country country that that is is part part of of the the European European Monetary Monetary Union Union (EMU), (EMU), and and you you want want to to concurrently concurrently report report in in euro euro in in preparation preparation for for the the single single European European currency. currency. Copyright Oracle Corporation, 1998. All rights reserved.
Translation Translation
Foreign currencies
Translation
Functional currency
5-22
Copyright Oracle Corporation, 1998. All rights reserved.
Rates Rates Used Used for for Translation Translation
5-23
Account Type
Balance/Rate Used in Translation
Assets
Cumulative balance and Period End Rate
Liabilities
Cumulative balance and Period End Rate
Revenue
Periodic balances at Period Average Rates
Expense
Periodic balances at Period Average Rates
Equity
Cumulative balance and Period End Rate, unless Historical Rates are defined for these accounts
Copyright Oracle Corporation, 1998. All rights reserved.
Revaluation Revaluation Revaluation is a process that reviews foreign currency transactions, reconverts them to the functional currency using the revaluation rate, then creates a journal entry to adjust the functional balance to the reconverted amount. Foreign currencies Functional currency
Foreign currencies Functional currency 5-24
Conversion at the time of the foreign currency transaction
Revaluation at the end of the accounting period
Copyright Oracle Corporation, 1998. All rights reserved.
Running Running aa Consolidation Consolidation Set of books 1
Set of books 2
Company A Company B
Company C
Set of books 3 Company D Company E Company F
Run consolidation Parent Company A Company B Company C Company D Company E Company F
5-25
Copyright Oracle Corporation, 1998. All rights reserved.
Set Set of of Books Books Consolidation Consolidation Reporting from summary accounts using FSG
Using Global Consolidation System
f Set o A s book
Co 3 Co 2 Co 1 Set
oks o b f o
Consolidate within a set of books 5-26
f Set o B s book
A SOB B SOB
tion a d i l o Cons books f set o
Consolidate between a set of books
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Consolidations Consolidations •• •• •• •• ••
5-27
Design Design and and mapping mapping of of segment segment rules rules and and account account range range rules rules Audit Audit mode mode for for determining determining what what subsidiary subsidiary accounts accounts actually actually mapped mapped to to what what accounts accounts at at the the parent parent Run Run in in test test mode mode to to ensure ensure expected expected results results Performance Performance benchmark benchmark Data Data movement movement considerations considerations
Copyright Oracle Corporation, 1998. All rights reserved.
Budgeting Budgeting December 1998 CC100 A
5-28
B
V
Salaries
14,000
15,000
1,000
Supplies
4,000
3,500
(500)
Travel
1,500
1,700
200
TOTAL
19,500
20,200
700
Copyright Oracle Corporation, 1998. All rights reserved.
Creating, Creating, Maintaining, Maintaining, and and Tracking Tracking Budgets Budgets •• •• •• •• ••
5-29
Create Create multiple multiple budgets budgets and and forecasts. forecasts. Control Control user user access access to to budgets. budgets. Create Create budget budget organizations organizations to to mirror mirror the the various various levels levels of of your your company’ company’ss organization organization and and to to control control user user access access to to the the budget budget information. information. Structure Structure your your budget budget into into an an unlimited unlimited number number of of levels. levels. Create Create master-detail master-detail budgets. budgets.
Copyright Oracle Corporation, 1998. All rights reserved.
Completing Completing the the Budget Budget Accounting Accounting Cycle Cycle
Step 1: Define budgets and budget organizations Step 2: Enter budgets Step 3: Review and correct budgets Step 4: Freeze budgets
Step 5: Report on budgets
5-30
Copyright Oracle Corporation, 1998. All rights reserved.
Budgeting Budgeting Methods Methods •• •• •• •• •• ••
5-31
Create Create budget budget formulas formulas to to allocate allocate budget budget amounts amounts Create Create flexible flexible budget budget formulas formulas Use Use MassBudgets MassBudgets Use Use Master/detail Master/detail budgets budgets Upload Upload budgets budgets from from aa spreadsheet spreadsheet Use Use top-down, top-down, bottom-up, bottom-up, or or middle-out middle-out budgeting budgeting
Copyright Oracle Corporation, 1998. All rights reserved.
Methods Methods for for Allocating Allocating and and Reporting Reporting Budget Budget Amounts Amounts Top-down budgeting
Middle-out budgeting
Budget goal allocate down
5-32
Bottom-up budgeting Total budget
1/3
1/3
1/3
125,000
350,000
210,000
Dept A
Dept B
Dept C
Dept A
Dept B
Dept C
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations When When Planning Planning Your Your Budget Budget Requirements Requirements •• •• •• •• •• •• •• 5-33
Do Do you you need need the the audit audit trail trail that that budget budget journals journals provide? provide? Do Do you you require require aa balance balance sheet sheet budget? budget? Will Will you you budget budget in in aa centralized centralized or or distributed distributed mode? mode? What What will will your your budget budget organizations organizations be? be? Will Will you you need need additional additional budgets budgets for for reforecasting reforecasting or or “what-if” “what-if” scenarios? scenarios? Will Will you you budget budget using using Budget Budget Wizard, Wizard, another another spreadsheet, spreadsheet, or or directly directly into into Oracle Oracle General General Ledger? Ledger? What What will will your your budget budget naming naming standards standards be? be? Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
Journal Journal entry entry types types are: are: –– Basic Basic journal journal entry entry
–– ––
•• ••
5-34
Reversing Reversing journal journal entry entry Recurring Recurring journal journal entries entries
–– MassAllocations MassAllocations Update Update balances balances by by posting posting the the journals journals automatically, automatically, by by selecting selecting and and posting posting journal journal batches, batches, or or by by posting posting the the journals journals directly. directly. Open Open and and close close accounting accounting periods periods to to control control journal journal entry entry and and journal journal posting. posting.
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• ••
5-35
You You can can convert, convert, revalue, revalue, or or translate translate currencies. currencies. You You can can consolidate consolidate any any number number of of subsidiaries subsidiaries into into parents parents with with different different set set of of books. books. You You can can create create budget budget organizations organizations to to mirror mirror the the various various levels levels of of your your company’ company’ss organization organization and and to to control control access access to to the the budget budget information. information.
Copyright Oracle Corporation, 1998. All rights reserved.
6 Enterprise Enterprise Management Management Overview Overview of of Oracle Oracle Assets Assets
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle Assets. Assets.
6-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• ••
6-3
Overview Overview Oracle Oracle Assets Assets integration integration Overview Overview of of Assets Assets processes processes
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Assets Assets Oracle Oracle Assets Assets is is aa complete complete asset-management asset-management solution solution that that helps helps you you to to maintain maintain accurate accurate property property and and equipment equipment inventory inventory and and ensures ensures that that you you always always choose choose the the best best accounting accounting and and tax tax strategies. strategies. ItIt is is fully fully integrated integrated with with other other Oracle Oracle Applications. Applications. The The four four major major areas areas of of Oracle Oracle Assets Assets are: are:
•• •• •• ••
6-4
Assets Assets Depreciation Depreciation Tax Tax Reports Reports and and System System Controls Controls
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Assets Assets Features Features •• •• ••
6-5
Asset Asset inventory inventory Rule-based Rule-based depreciation depreciation Tax Tax strategies strategies
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Assets Assets Features Features •• ••
6-6
Capital Capital spending spending controls controls Feeder Feeder systems systems integration integration
Copyright Oracle Corporation, 1998. All rights reserved.
Asset Asset Processes Processes
Manual addition
Other system
Payables
Projects
CIP addition
MassAdditions
Adjustment
Transfer
Oracle Assets
Retirement
Depreciation 6-7
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Assets Assets Product Product Integration Integration
Oracle Payables
Spreadsheet
Invoice lines
6-8
Oracle Assets
Budget information
CIP assets
Journal entries
Employees
Oracle Human Resources
Supplier information
Oracle Purchasing
Oracle Projects
Units of measure item information
Oracle General Ledger Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Inventory
Integrating Integrating with with General General Ledger Ledger Shared information Chart of accounts Currency Oracle General Ledger
Calendar Oracle Assets
Post entries S DER A E E_H S GL_J LINE _ E J GL_
Journal entries sent
General Ledger tables 6-9
Copyright Oracle Corporation, 1998. All rights reserved.
Physical Physical Inventory Inventory Interface Interface Load information directly into the Open Assets physical inventory interface
Oracle Assets System
Scan asset serial number/tag number using optical scanners
Physical inventory
Download into Excel spreadsheet 6-10
Fixed Assets Desktop Integrator Physical Inventory Wizard
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary With With Oracle Oracle Assets, Assets, you you can: can: •• Maintain Maintain an an asset asset inventory inventory that that supports supports your your balance balance sheet sheet •• Define Define depreciation depreciation rules, rules, depreciation depreciation books, books, and and the the financial financial information information for for your your reporting reporting objectives objectives and and tax tax requirements requirements •• Automatically Automatically produce produce all all asset asset journal journal entries entries for for your your general general ledger ledger system system •• Load Load information information directly directly into into the the Open Open Assets Assets physical physical inventory inventory interface interface •• Scan Scan assets assets using using an an optical optical scanner, scanner, download download the the information information to to an an Excel Excel spreadsheet, spreadsheet, and and then then use use the the Fixed Fixed Assets Assets Desktop Desktop Integrator Integrator to to transfer transfer itit to to Oracle Oracle Assets Assets 6-11
Copyright Oracle Corporation, 1998. All rights reserved.
7 Enterprise Enterprise Management Management Setup Setup Steps Steps Unique Unique to to Oracle Oracle Assets Assets
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations when when implementing implementing Oracle Oracle Assets. Assets.
7-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• ••
7-3
Asset Asset management management Capital Capital budgets budgets Depreciation Depreciation Tax Tax
Copyright Oracle Corporation, 1998. All rights reserved.
Asset Asset Management Management Processes Processes •• •• ••
7-4
Additions Additions Transfers Transfers Retirements Retirements
Copyright Oracle Corporation, 1998. All rights reserved.
Asset Asset Additions Additions r Orde e s a h Purc
Oracle Purchasing Oracle Purchasing Quick addition Detail addition
Oracle Assets Create journal entries
Oracle Payables Mass addition Oracle Projects
Other Add asset payables from invoice system line
Run depreciation 7-5
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Adding Adding Assets Assets •• •• •• ••
7-6
Method Method of of entry entry Source Source of of data data Amount Amount of of historical historical data data Other Other data data elements elements
Copyright Oracle Corporation, 1998. All rights reserved.
Asset Asset Transfers Transfers Company
03
Region
300
Cost Center Account
300
Product SubAcct
US.CA.SF.BLD1
Susan Mason Employee #33
7-7
Depreciation expense accounts
Company
04
Region Cost Center Account
3000
Product
300
SubAcct
3030 Locations
Employees
Copyright Oracle Corporation, 1998. All rights reserved.
400 4040
FR.GV.PA.BLD3
Charles Ackroyd Employee #43
Implementation Implementation Considerations Considerations for for Transferring Transferring Assets Assets •• •• ••
7-8
Volume Volume of of activity activity Level Level of of detail detail Communication Communication process process
Copyright Oracle Corporation, 1998. All rights reserved.
Asset Asset Retirements Retirements
Full retirement
Retire an asset or retire several assets at once
Partial units and partial cost
Entire units and entire cost
Retired asset 7-9
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Asset Asset Retirement Retirement •• •• ••
7-10
How How are are assets assets retired retired at at your your company? company? What What are are your your company’ company’ss processes processes and and policies policies for for retirements? retirements? How How is is the the asset asset manager manager notified notified of of retirement? retirement?
Copyright Oracle Corporation, 1998. All rights reserved.
How How to to Set Set Up Up Asset Asset Categories Categories •• •• •• ••
7-11
Asset Asset categories categories group group assets assets that that share share accounts accounts and and usually usually depreciate depreciate under under the the same same rules. rules. Oracle Oracle Assets Assets uses uses this this information information to to provide provide default default values. values. Asset Asset categories categories specify specify accounts accounts and and default default depreciation depreciation rules rules for for assets assets in in aa category category and and book. book. Optionally, Optionally, you you can can set set up up different different default default depreciation depreciation rules rules depending depending on on the the date date placed placed in in service. service.
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Asset Asset Categories Categories •• ••
7-12
Asset Asset categories categories group group assets assets that that share share accounts accounts and and usually usually depreciate depreciate under under the the same same rules. rules. Oracle Oracle Assets Assets uses uses this this information information to to provide provide default default values. values.
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Oracle Oracle Assets Assets •• •• •• ••
7-13
Organizational Organizational structure structure Existing Existing asset asset information information Company Company history history Future Future plans plans
Copyright Oracle Corporation, 1998. All rights reserved.
Depreciation Depreciation Asset
Period 1: $120,000
Period 4: $60,000
Period 6: $20,000
Journal entry
General Ledger 7-14
Copyright Oracle Corporation, 1998. All rights reserved.
Depreciation Depreciation Use depreciation methods
Life-base
Unit of production
Depreciation books
Calculate depreciation
Online inquiries and “what-if” analysis 7-15
Create journal entries
Review reserve levels
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Depreciation Depreciation Books Books
7-16
Depreciation methods
Depreciation ceilings
Investment tax credits
Prorate conventions
Price indexes
Units-ofmeasure classes
Units of measure
Asset categories
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Depreciation Depreciation •• •• •• ••
7-17
Company Company organizations organizations and and business business Accounting Accounting and and tax tax requirements requirements Depreciation Depreciation methods methods Data Data conversion conversion
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Depreciation Depreciation ••
7-18
Monthly Monthly process process
Copyright Oracle Corporation, 1998. All rights reserved.
Tax Tax Initial MassCopy or periodic MassCopy
Copy assets to tax book
Make adjustments Tax books Run depreciation
Calculate deferred depreciation Print reports 7-19
Create journal entries Copyright Oracle Corporation, 1998. All rights reserved.
Maintaining Maintaining Tax Tax Books Books Corporate depreciation book
Initial MassCopy or Periodic MassCopy
Federal tax book
7-20
Copyright Oracle Corporation, 1998. All rights reserved.
State tax book
Updating Updating an an ACE ACE Tax Tax Book Book
Run exception reports
Populate ACE interface
Update ACE book
7-21
Copyright Oracle Corporation, 1998. All rights reserved.
Independent Independent Tax Tax Books Books Assets in Independent Depreciation Books Corporate book
Monthly calendar
Federal tax book Quarterly calendar
7-22
FURNITURE.DESKS STL 5 Years MID-MONTH Asset 325 VEHICLE.LUXURY STL 4 Years MID-MONTH
Asset 843
FURNITURE.DESKS MACRS 5 Years HALF-YEAR Asset 325 VEHICLE.LUXURY MACRS 4 Years HALF-YEAR Copyright Oracle Corporation, 1998. All rights reserved.
Asset 843
Creating Creating an an ACE ACE Tax Tax Book Book Adjusted Current Earnings Steps Fiscal 1989
Fiscal 1990 December
January
March
May CORP
FED AMT ACE 1. Define ACE book
6. Populate conversion table
2. Define categories
7. Run update ACE book
3. Run initial MassCopy
8. Run Periodic MassCopy
4. Run ACE exception reports
9. Run ACE Depreciation Comparison Report
5. Run depreciation 7-23
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Tax Tax •• •• ••
7-24
You You must must create create your your tax tax books books before before you you can can add add assets, assets, add add asset asset transactions, transactions, or or perform perform depreciation. depreciation. Set Set up up your your tax tax books, books, including including your your ACE ACE tax tax books, books, to to satisfy satisfy tax tax laws laws and and take take advantage advantage of of optimal optimal tax tax strategies. strategies. For For each each corporate corporate book, book, you you can can set set up up multiple multiple tax tax books books that that are are associated associated with with it. it.
Copyright Oracle Corporation, 1998. All rights reserved.
Information Information Shared Shared Among Among Books Books
Corporate Book
• Category
Tax Book
• Assignments • Production amounts
7-25
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Tax Tax •• •• ••
7-26
Tax Tax department department requirements requirements Number Number of of tax tax books books Converting Converting data data into into tax tax books books
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• •• •• •• 7-27
You You can can add add assets assets manually, manually, upload upload from from FADI, FADI, or or use use MassAdditions. MassAdditions. You You can can transfer transfer all all or or part part of of an an asset asset between between general general ledger ledger depreciation depreciation expense expense accounts, accounts, locations, locations, and and employees. employees. You You can can move move assets assets between between companies companies and and share share the the use use of of an an asset. asset. Retire Retire assets assets by by units units or or by by cost. cost. Asset Asset categories categories group group assets assets that that share share accounts accounts and and usually usually depreciate depreciate under under the the same same rules. rules. Depreciation Depreciation books books create create journal journal entries entries in in your your general general ledger. ledger. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• •• •• 7-28
You You can can define define depreciation depreciation rules rules and and use use them them to to set set up up categories categories for for each each depreciation depreciation book. book. You You can can copy copy assets assets and and asset asset transactions transactions into into your your tax tax book book from from your your corporate corporate book book without without reentering reentering asset asset information. information. ACE ACE is is aa set set of of depreciation depreciation rules rules defined defined by by United United States States tax tax law. law. You You must must create create your your tax tax books books before before you you can can add add assets, assets, add add asset asset transactions, transactions, or or perform perform depreciation. depreciation. You You can can define define as as many many independent independent tax tax depreciation depreciation books books for for each each reporting reporting authority authority as as you you want. want. Copyright Oracle Corporation, 1998. All rights reserved.
8 Enterprise Enterprise Management Management Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to do do the the following: following: •• Describe Describe how how information information is is shared shared and and integrated integrated with with other other Oracle Oracle applications applications •• Determine Determine implementation implementation considerations considerations when when integrating integrating Oracle Oracle applications applications •• Describe Describe the the features features of of the the Applications Applications Desktop Desktop Integrator Integrator
8-2
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview •• ••
Reduce Reduce maintenance maintenance and and provide provide aa smooth smooth information information flow flow by by sharing sharing key key information information between between applications. applications. Identify Identify critical critical implementation implementation issues issues that that affect affect multiple multiple business business areas: areas: –– Shared Shared information information
–– ––
Information Information flows flows Open Open interfaces interfaces
–– Implementation Implementation issues issues
8-3
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview ••
••
Shared Shared information: information: –– Share Share information information in in Oracle Oracle applications applications to to avoid avoid redundancy, redundancy, minimize minimize setup setup time, time, and and keep keep things things in in synchronization. synchronization. –– Identify Identify the the key key entities entities shared shared by by Oracle Oracle applications. applications. Information Information flows: flows:
–– Record Record pertinent pertinent transactions transactions once once and and pass pass them them to to the the next next business business process. process. –– Use Use Oracle Oracle applications applications open open interfaces interfaces to to receive receive pertinent pertinent transactions. transactions. 8-4
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview ••
••
Open Open interfaces: interfaces: –– Transfer Transfer data data within within Oracle Oracle applications. applications.
–– Import Import transactions transactions from from other other applications applications into into Oracle Oracle applications. applications. Implementation Implementation issues: issues: –– Obtain Obtain input input from from all all business business areas areas that that are are affected affected when when you you define define shared shared entities. entities. –– Customize Customize user user input input to to include include additional additional information information using using descriptive descriptive flexfields. flexfields. –– Define Define setup setup parameters parameters required required by by multiple multiple applications. applications.
8-5
Copyright Oracle Corporation, 1998. All rights reserved.
Ensure Ensure Consistency Consistency and and Reduce Reduce Duplicate Duplicate Efforts Efforts by by Sharing Sharing Information Information Entity
Definition
Employees
Personnel who perform assigned tasks
Salespeople
Individuals credited with sales revenue
Suppliers
Vendors used by the enterprise
Customers
Buyers of the end product
Locations
Business sites (addresses)
Organizations Inventory or manufacturing sites Items
Raw materials, finished goods, services, or products
Sets of Books Accounting information records 8-6
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Employees Employees Human Resources
Manufacturing
Purchasing
Engineering change order approvers Labor rates Approvers Buyers Requesters
Inventory
Salary
Project staff
Expenses
Payroll
Projects
Payables
Employees Assets General Ledger 8-7
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Suppliers Suppliers
Supplier
Subcontractor
Purchasing
Projects Supplier Supplier
8-8
Copyright Oracle Corporation, 1998. All rights reserved.
Payables
Assets
Shared Shared Data: Data: Sets Sets of of Books Books Human Resources Manufacturing
Payroll
Purchasing
Projects
Inventory
Payables
Sales Compensation
Sets of Books
Financial Analyzer
Receivables
General Ledger 8-9
Assets
Copyright Oracle Corporation, 1998. All rights reserved.
Information Information Flows Flows •• Record Record pertinent pertinent information information transactions transactions in in one one
••
8-10
application application and and pass pass this this information information to to the the application application in in the the next next business business process process or or to to other other applications. applications. Use Use Oracle Oracle applications applications open open interfaces interfaces to to receive receive pertinent pertinent transactions. transactions.
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Assets Assets Product Product Integration Integration Supplier information
Invoice lines Oracle Assets
Oracle Payables
Oracle Purchasing
Budget information Spreadsheet Employees
Oracle Human Resources 8-11
CIP assets Journal entries
Oracle Projects Units of measure item information
Oracle General Ledger Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Inventory
Integrating Integrating Oracle Oracle Assets Assets with with General General Ledger Ledger Shared information Chart of accounts Currency Oracle General Ledger
Calendar Oracle Assets
Post entries S DER A E E_H S GL_J LINE _ E J GL_
Journal entries sent
General Ledger tables 8-12
Copyright Oracle Corporation, 1998. All rights reserved.
Interfaced Interfaced Information: Information: Project Project Accounting Accounting Manufacturing
Committed costs Projects
Purchasing Subcontractor invoices
Inventory
Expense reports
Work in Process
Capital projects
Payables Assets
Project invoices Customer invoices Receivables General Ledger 8-13
Revenue recognition
Copyright Oracle Corporation, 1998. All rights reserved.
.
Interfaced Interfaced Information: Information: Purchase Purchase Management Management Manufacturing Planned orders Purchasing
Demand Scheduled receipts
Committed cost
Projects
Purchase order match Payables
Receive Inventory
Requisitions Internal sales requisitions
Raw materials
Finished goods
Work in Process 8-14
Accrual for receipts not invoiced
Asset purchases
Assets Order Entry
General Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Interfaced Interfaced Information: Information: Accounting Accounting Entries Entries Accrued Accrued receipts
Purchasing Inventory costs/COGS
Salary/Deductions Revenue/Expenses
Payroll Projects
Inventory Invoices/Payments
Work in Process
WIP job and other costs
Depreciation/ Retirements Revenue, receivables
Specified data and structures Financial Analyzer
Cash received General Ledger
Budgeted amounts 8-15
Copyright Oracle Corporation, 1998. All rights reserved.
Payables Assets Receivables
Accounting Accounting Flows: Flows: Purchase Purchase Management Management
Purchasing Accruals, encumbrances
Expense/Asset Payables Asset details Expense, asset payment
Financial Analyzer 8-16
Specified data and structures
Depreciation, retirements, capital General assets Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Assets
Accounting Accounting Flows: Flows: Order Order Management Management
Customer orders
Sales and Marketing
COGS at shipment Inventory
COGS Issues
Accounts receivables, revenue, freight, tax
Financial Analyzer 8-17
Specified data and General structures Ledger
Order Entry Order line details Receivables
Copyright Oracle Corporation, 1998. All rights reserved.
Open Open Interfaces Interfaces Through Through the the use use of of open open interfaces, interfaces, Oracle applications applications receive receive data data from from Feeder system Oracle external external sources, sources, Oracle Oracle systems, systems, or or data systems systems other other than than Oracle Oracle systems. systems. Oracle applications import data tables
Oracle applications import program
Oracle applications system
8-18
Copyright Oracle Corporation, 1998. All rights reserved.
Import Program Execution report
Open Open Interfaces: Interfaces: Oracle Oracle General General Ledger Ledger
Import programs Actual
Budget
Spreadsheets
External systems
Oracle General Ledger
8-19
Copyright Oracle Corporation, 1998. All rights reserved.
Journal Journal Import Import Verification Verification Process Process Load GL_INTERFACE table
Correct errors in feeder system
Import journals by Source and Group ID Do any journals have errors?
Journal Import creates a postable journal batch
No High
Delete source from Journal Import
Yes Number of errors? 8-20
Low
Correct Journal Import online
Copyright Oracle Corporation, 1998. All rights reserved.
Prerequisite Prerequisite Tasks Tasks for for Uploading Uploading Budgets Budgets •• Define Define aa budget budget •• Open Open one one or or more more years years of of your your budget budget •• Define Define aa budget budget organization organization •• Create Create your your budget budget information information using using your your ••
8-21
spreadsheet spreadsheet software software Transfer Transfer your your budget budget information information into into the the General General Ledger Ledger budget budget interface interface table, table, GL_BUDGET_INTERFACE GL_BUDGET_INTERFACE
Copyright Oracle Corporation, 1998. All rights reserved.
Open Open Interfaces: Interfaces: Oracle Oracle Assets Assets Payables Production information
Capital budgets
ACE 8-22
Adjusted current earnings
Import programs
Oracle Assets Copyright Oracle Corporation, 1998. All rights reserved.
MassAdditions
Capital projects
ACE ACE Interface Interface Other asset system ACE information
Oracle Asset system
8-23
Copyright Oracle Corporation, 1998. All rights reserved.
Critical Critical Implementation Implementation Issues Issues for for Shared Shared Entities Entities •• •• •• •• •• 8-24
Define Define shared shared entities entities only only once once for for use use in in multiple multiple applications. applications. Define Define these these entities entities carefully, carefully, because because the the applications applications will will all all use use the the same same definition. definition. Address Address maintenance maintenance of of these these entities entities during during implementation. implementation. Address Address the the special special considerations considerations for for using using aa single single set set of of books books or or multiple multiple sets sets of of books books early early in in the the implementation implementation process. process. Certain Certain applications applications support support multiple multiple sets sets of of books. books. Copyright Oracle Corporation, 1998. All rights reserved.
Applications Applications Desktop Desktop Integrator Integrator
Fixed
General Ledger Desktop
Desktop
Integrator
Integrator
Assets
Request Center
8-25
Copyright Oracle Corporation, 1998. All rights reserved.
General General Ledger Ledger Desktop Desktop Integrator Integrator (GLDI) (GLDI)
Journal Wizard Upload journals from a spreadsheet Budget Wizard Download and upload budget amounts Report Wizard Define and submit FSG reports Analysis Wizard Drill down to account balances
8-26
Copyright Oracle Corporation, 1998. All rights reserved.
Full-Cycle Full-Cycle Accounting Accounting Between Between Oracle Oracle Applications Applications and and aa Spreadsheet Spreadsheet
8-27
Copyright Oracle Corporation, 1998. All rights reserved.
GLDI GLDI Journal Journal Wizard Wizard
•• •• •• ••
8-28
Create Create aa personalized personalized spreadsheetspreadsheetbased based Enter Enter Journals Journals form. form. Enter Enter journals journals in in the the spreadsheet spreadsheet using using data data entry entry shortcuts. shortcuts. Save Save journal journal definition definition for for recurring recurring purposes. purposes. Upload Upload journals journals into into GL. GL.
Copyright Oracle Corporation, 1998. All rights reserved.
Budget Budget Wizard Wizard
•• •• •• •• •• •• 8-29
Download Download existing existing budget budget amounts amounts or or create create new new amounts amounts in in aa spreadsheet. spreadsheet. Enter Enter new new amounts amounts or or modify modify existing existing amounts amounts individually. individually. Spread Spread budget budget amounts amounts by by using using budget budget rules rules and and formulas. formulas. Graph Graph budget budget amounts. amounts. Add Add notes notes to to justify justify budget budget amounts. amounts. Upload Upload amounts amounts back back into into GL. GL. Copyright Oracle Corporation, 1998. All rights reserved.
Report Report Wizard Wizard
•• •• •• •• •• 8-30
Define Define new new FSG FSG reports reports in in aa spreadsheet. spreadsheet. Build Build FSG FSG reports reports from from existing existing report report components components in in aa spreadsheet. spreadsheet. Download Download report report definitions definitions from from GL GL to to aa spreadsheet. spreadsheet. Use Use Content Content Set Set Generator Generator to to quickly quickly create create or or modify modify content content sets. sets. Upload Upload report report definitions definitions back back to to Oracle Oracle General General Ledger. Ledger. Copyright Oracle Corporation, 1998. All rights reserved.
Analysis Analysis Wizard Wizard
• Select an account from spreadsheet
••
reports and drill down to summary balances, detail balances, and journal lines. • Use drag-and-drop capabilities to pivot
accounting dimensions to perform “what-if” analysis. • Modify the drilldown parameter online
to produce ad hoc inquiries. • Export user-defined analysis to
Microsoft Excel as a report. 8-31
Copyright Oracle Corporation, 1998. All rights reserved.
Fixed Fixed Assets Assets Desktop Desktop Integrator Integrator Asset Asset Wizard: Wizard: •• Create Create aa personalized personalized asset asset form. form.
•• ••
Add Add assets assets using using shortcuts. shortcuts. Upload Upload assets assets into into Oracle Oracle Assets. Assets.
Inventory Inventory Wizard: Wizard: •• Scan Scan asset asset tag tag numbers numbers with with aa barcode barcode reader. reader. •• Load Load inventory inventory details details into into aa spreadsheet spreadsheet using using shortcuts. shortcuts. •• Upload Upload inventory inventory data data into into Assets. Assets. 8-32
Copyright Oracle Corporation, 1998. All rights reserved.
Request Request Center Center
Upload reports
Report Wizard
Oracle General Ledger
Download existing report objects
Request Center Submit and publish reports 8-33
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• ••
•• •• 8-34
Set Set of of books books is is shared shared by by all all applications. applications. General General Ledger Ledger has has accounting accounting entries entries passed passed to to itit from from almost almost all all applications. applications. Depreciation, Depreciation, retirements, retirements, and and capital capital assets assets are are passed passed to to General General Ledger. Ledger. Through Through the the use use of of open open interfaces, interfaces, Oracle Oracle Applications Applications receive receive data data from from external external sources, sources, Oracle Oracle systems, systems, or or systems systems other other than than Oracle Oracle systems. systems. Journal Journal Import Import validates validates all all of of your your data data before before itit creates creates journal journal entries entries in in your your general general ledger. ledger. ADI ADI is is aa family family of of products products that that you you can can use use to to perform perform GL GL functions, functions, Assets Assets functions, functions, and and reporting. reporting. Copyright Oracle Corporation, 1998. All rights reserved.
9 Enterprise Enterprise Management Management Reporting Reporting Options Options
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe reporting reporting options options that that can can be be used used when when implementing implementing Oracle Oracle applications. applications.
9-2
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Topics Topics •• •• •• ••
9-3
Financial Financial reporting reporting overview overview Standard Standard reports reports and and listings listings Financial Financial Statement Statement Generator Generator Oracle Oracle Financial Financial Analyzer Analyzer
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle General General Ledger Ledger Reporting Reporting Standard reports
View online
Print
9-4
Financial Statement Generator
Custom reports
Copyright Oracle Corporation, 1998. All rights reserved.
Accounting information
Download
General General Ledger Ledger Financial Financial Reporting, Reporting, Consolidation, Consolidation, and and Analysis Analysis Tools Tools •• •• •• ••
9-5
Standard Standard reports reports and and listings listings Financial Financial Statement Statement Generator Generator Oracle Oracle Financial Financial Analyzer Analyzer Report Report Wizard Wizard
Copyright Oracle Corporation, 1998. All rights reserved.
Standard Standard Management Management and and Accounting Accounting Reports Reports •• •• ••
9-6
Request Request reports reports online online Group Group reports reports into into request request sets sets Schedule Schedule reports reports and and request request sets sets to to run run at at regularly regularly scheduled scheduled intervals intervals
Copyright Oracle Corporation, 1998. All rights reserved.
Categories Categories of of General General Ledger Ledger Standard Standard Reports Reports and and Listings Listings •• •• •• •• ••
9-7
Account Account analysis analysis Budget Budget Chart Chart of of accounts accounts Multicompany Multicompany accounting accounting and and consolidation consolidation Financial Financial Statement Statement Generator Generator
Copyright Oracle Corporation, 1998. All rights reserved.
Categories Categories of of General General Ledger Ledger Standard Standard Reports Reports and and Listings Listings •• •• •• •• ••
9-8
General General Ledger Ledger Journals Journals Trial Trial Balance Balance Execution Execution Other Other
Copyright Oracle Corporation, 1998. All rights reserved.
Combining Combining Reports, Reports, Listings, Listings, and and Programs Programs Into Into Request Request Sets Sets
Report A
Report B
Report C
Request set 9-9
Copyright Oracle Corporation, 1998. All rights reserved.
Examples Examples of of Types Types of of FSG FSG Statements Statements •• •• •• •• ••
9-10
Responsibility Responsibility reports reports for for business business units, units, profit profit centers, centers, and and cost cost centers centers checking checking security security access access Consolidation Consolidation reports reports Cash Cash flow flow reports reports Reports Reports including including statistical statistical information information Reports Reports listing listing both both translated translated and and entered entered foreign foreign currency currency amounts amounts
Copyright Oracle Corporation, 1998. All rights reserved.
Building Building Custom Custom Reports Reports Using Using FSG FSG
Rows
Columns
9-11
Copyright Oracle Corporation, 1998. All rights reserved.
Four Four Steps Steps to to Create Create Customized Customized Reports Reports 1. Define row sets.
2. Define column sets.
3. Define financial reports and report sets.
4. Request financial reports and report sets.
9-12
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining FSG FSG Row Row Sets Sets
Row Set A
Income Statement Company 1 PTD YTD Sales 3,000 6,200 Returns 1,000 1,000 Net Sales
Row Set B
2,000
5,200
Balance Sheet Company 1 THIS YR LAST YR Cash 100 200 Investments 600 400 Receivables 980
9-13
Copyright Oracle Corporation, 1998. All rights reserved.
700
Defining Defining FSG FSG Column Column Sets Sets Income Statement Company 1 Column Set A Sales Returns
PTD 3,000 1,000
YTD 6,200 1,000
Net Sales
2,000
5,200
Balance Sheet Company 1 Column Set B
THIS YR LAST YR Cash 100 200 Investments 600 400 Receivables 980
9-14
Copyright Oracle Corporation, 1998. All rights reserved.
700
Financial Financial Analyzer Analyzer Overview Overview •• •• •• ••
9-15
Online Online analysis analysis after after period period close close (multidimensional) (multidimensional) Analysis, Analysis, forecasting, forecasting, and and modeling modeling traditionally traditionally performed performed in in aa spreadsheet spreadsheet Eliminates Eliminates double double maintenance— maintenance— spreadsheet spreadsheet modeling modeling Integrated Integrated full full Enterprise Enterprise Resource Resource Planning Planning can can bring bring in in cash cash actuals actuals and and encumbrances encumbrances from from GL GL and and combine combine with with forecasts forecasts from from your your subledgers, subledgers, AR, AR, AP, AP, Payroll, Payroll, and and so so on on
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Financial Financial Analyzer Analyzer Architecture Architecture Versus Versus Traditional Traditional Database Database Structure Structure Traditional database structure of a flat file with records broken up into fields Line
Fiscal Time
Promotions Advertising Benefits . . . Promotions Advertising Benefits . . . 9-16
Oct97 Oct97 Oct97 . . . Oct97 Oct97 Oct97 . . .
Product Balls Balls Balls . . . Hats Hats Hats . . .
Budget 25,400 15,300 10,500 . . . 25,400 15,300 10,500 . . .
Copyright Oracle Corporation, 1998. All rights reserved.
Dimensions Dimensions and and Dimension Dimension Values Values Oracle General Ledger Company Cost Center Account 01 202 2001 02 657 2445
Organization A01.202 A01.657 A02.202
Product 330 880
Segments Segment Values
Line
Product
Dimensions
L2001 L2445 L4009
P330 P880 P999
Dimension Values
Oracle Financial Analyzer
9-17
Copyright Oracle Corporation, 1998. All rights reserved.
Express Express Data Data Structure Structure
Product Coats Hats Balls Time Oct 97
Nov 97
Dec 97
Promotions
25,400
30,233
18,900
Advertising
15,300
11,870
43,766
Benefits
10,500
34,000
10,300
Line
9-18
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Financial Financial Analyzer Analyzer Integration Integration
Oracle General Ledger Data mapping Legacy systems
Spreadsheets 9-19
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Financial Analyzer
Budgeting Budgeting With With Oracle Oracle Financial Financial Analyzer Analyzer
Actuals and budgets
General Ledger
Data X, B
Joan
Budgets
Paul Financial Analyzer Budgeting
9-20
Data X, Y
Distribute
Controlled data access
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Financial Financial Analyzer Analyzer Functionality Functionality
Reporting and Analysis
? Financial Analyzer Financial Modeling 9-21
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations •• •• ••
9-22
Review Review all all reports reports and and online online inquiry inquiry windows windows to to make make sure sure that that they they satisfy satisfy your your business business requirements. requirements. Identify Identify any any needs needs for for custom custom reports reports or or inquiries inquiries early early in in the the implementation implementation cycle cycle to to allow allow for for development development time. time. Carefully Carefully calculate calculate your your environment environment and and space space requirements requirements for for your your reporting reporting and and analysis analysis tools. tools.
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
•• ••
9-23
You You can can request request standard standard reports reports online, online, group group reports reports into into request request sets, sets, and and schedule schedule reports reports and and request request sets sets to to run run at at regularly regularly scheduled scheduled intervals. intervals. You You can can create create custom custom reports reports using using FSG. FSG. Financial Financial Analyzer Analyzer does does analysis, analysis, forecasting, forecasting, and and modeling modeling traditionally traditionally performed performed in in aa spreadsheet. spreadsheet.
Copyright Oracle Corporation, 1998. All rights reserved.
10 Enterprise Enterprise Management Management Unit Unit II Summary Summary
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives This This unit unit has has covered covered how how to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Enterprise Enterprise Management Management applications. applications.
10-2
Copyright Oracle Corporation, 1998. All rights reserved.
How How Will Will You You Plan Plan for for the the Management Management of of Your Your Enterprise? Enterprise? •• •• •• •• •• 10-3
What What needs needs to to be be set set up up for for all all financial financial applications? applications? What What do do you you need need to to plan plan for for when when creating creating and and setting setting up up charts charts of of accounts, accounts, journals, journals, and and budgets? budgets? What What implementation implementation considerations considerations are are unique unique to to Oracle Oracle Assets? Assets? How How is is information information shared shared and and how how does does itit flow flow between between other other Oracle Oracle applications? applications? What What reporting reporting options options will will you you implement? implement?
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• ••
••
10-4
Folders Folders customize customize the the presentation presentation of of data, data, and and flexfields flexfields allow allow you you to to design design structures structures that that meet meet business business needs needs for for storing storing data. data. Oracle Oracle General General Ledger Ledger is is the the central central repository repository for for accounting accounting information, information, receiving receiving transactions transactions from from financial financial and and manufacturing manufacturing subledgers. subledgers. The The common common financials financials setup setup steps steps are are defining defining the the chart chart of of accounts, accounts, the the accounting accounting calendar, calendar, and and the the functional functional currency. currency. These These together together are are called called the the set set of of books. books. Setup Setup steps steps that that are are unique unique to to Oracle Oracle General General Ledger Ledger are are journals, journals, multiple multiple currencies, currencies, and and budgets. budgets. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
•• ••
10-5
Oracle Oracle Assets Assets setup setup steps steps include include entering entering property property and and equipment equipment inventories, inventories, setting setting up up depreciation depreciation rules rules and and books, books, retirements, retirements, and and selecting selecting tax tax methods methods Oracle Oracle applications applications can can receive receive data data from from the the Oracle Oracle system, system, or or from from external external sources sources through through the the use use of of an an open open interface interface Reporting Reporting options options include include standard standard reports, reports, the the Financial Financial Statement Statement Generator, Generator, Oracle Oracle Financial Financial Analyzer, Analyzer, and and Application Application Desktop Desktop Integrator Integrator reporting reporting modules modules
Copyright Oracle Corporation, 1998. All rights reserved.
11 Purchase Purchase to to Pay Pay Unit Unit IIII Introduction Introduction
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this unit, unit, you you should should be be able able to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Purchase Purchase to to Pay Pay applications. applications.
11-2
Copyright Oracle Corporation, 1998. All rights reserved.
Purchase Purchase to to Pay Pay Topics Topics •• •• •• •• •• ••
11-3
Overview Overview of of Oracle Oracle Purchasing Purchasing Overview Overview of of Oracle Oracle Payables Payables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Purchasing Purchasing Setup Setup Steps Steps Unique Unique to to Oracle Oracle Payables Payables Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Purchasing Purchasing Business Business Flow Flow
Order Entry
Manually create
MRP
Inventory
Requisition
WIP
Other systems
RFQ
Requester Approved Supplier 11-4
Copyright Oracle Corporation, 1998. All rights reserved.
Purchasing Purchasing Business Business Flow Flow Continued Continued Source Supplier
Order entry
Inventory
Purchase order approved
Supplier
11-5
Receiving
Shipping
Copyright Oracle Corporation, 1998. All rights reserved.
Purchasing Purchasing Processes Processes •• •• ••
11-6
Maintain Maintain historical historical data data Manage Manage accruals accruals Measure Measure and and improve improve cost, cost, quality, quality, and and delivery delivery performance performance
Copyright Oracle Corporation, 1998. All rights reserved.
Payables Payables Business Business Flow Flow ASN / ASBN
EDI es invoic
ERS / Pay on receipt
nal Exter system es invoic
Open interface
ce Invoi ase Purch r orde
Match to PO
Enter invoice
n isitio u q e R
11-7
Copyright Oracle Corporation, 1998. All rights reserved.
Payables Payables Business Business Flow Flow
Enter invoice
Approve
ce Invoi
Create journal entries
Pay invoices
k
Ban Reconcile payments ment e t a t using Cash Management s
11-8
Copyright Oracle Corporation, 1998. All rights reserved.
12 Purchase Purchase to to Pay Pay Overview Overview of of Oracle Oracle Purchasing Purchasing
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle Purchasing. Purchasing.
12-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• ••
12-3
Overview Overview Overview Overview of of Purchasing Purchasing process process flow flow
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing ••
With With Oracle Oracle Purchasing Purchasing you you can can centralize centralize and and simplify simplify routine routine transactions transactions such such as: as: –– Requisitions Requisitions
–– ––
••
Purchase Purchase orders orders Receipts Receipts
The The major major areas areas of of Oracle Oracle Purchasing Purchasing are: are: –– Supply-base Supply-base management management
–– Requisitions Requisitions –– Purchase Purchase orders orders –– Receiving Receiving –– –– 12-4
RFQs RFQs and and quotes quotes Sourcing Sourcing rules rules Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing Supply-Base Supply-Base Management Management
Issue RFQs
Identify sourcing needs
Record quotation
Select suppliers and build supplier list 12-5
Requisition
PO
Assess supplier performance
Copyright Oracle Corporation, 1998. All rights reserved.
Receipt
Oracle Oracle Purchasing Purchasing Requisitions Requisitions
Order entry
Other Systems Inventory
WIP
Import/Reschedule requisitions
MRP Demand
Create internal sales order e rov p Ap
Manually create
12-6
Order Entry
Supplier
Requisition Requisition pool Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing Purchase Purchase Orders Orders e ov r p Manually create Ap Automatically create
PO Maintain documents
Accept
Receive against PO 12-7
Revise
Requisition pool
Control
Match invoices in Payables
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing Receiving Receiving Supplier
Transfer Inventory Shipment
Receive
Deliver
Shop floor
Order Entry
Inventory 12-8
Internal shipment
Expense Inspect
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing RFQs RFQs and and Quotes Quotes Imported requisitions Requisition pool Automatically create PO Manual
Print/Send RFQ Copy Supplier lists 12-9
RFQ Copyright Oracle Corporation, 1998. All rights reserved.
Quotation
Oracle Oracle Purchasing Purchasing Sourcing Sourcing Suppliers
ABC 25% Source document information Release generation method
Global or local rules
12-10
NACO 50%
SAMI 25%
Allocate purchase orders across suppliers
Classify and rank suppliers
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• •• ••
Oracle Oracle Purchasing Purchasing handles handles requisitions, requisitions, purchase purchase orders, orders, and and receipts. receipts. Supply-base Supply-base management management allows allows you you to to define define suppliers. suppliers. Sourcing Sourcing rules rules define define relationships relationships between between the the Approved Approved Supplier Supplier List List (ASL) (ASL) and and business business rules rules for for sourcing sourcing items. items. Purchase Purchase orders orders can can be be generated generated manually manually or or automatically. automatically. Purchasing Purchasing lets lets you you control control the the items items you you order order through through receiving, receiving, inspection, inspection, transfer, transfer, and and internal internal delivery. delivery.
12-11
Copyright Oracle Corporation, 1998. All rights reserved.
13 Purchase Purchase to to Pay Pay Overview Overview of of Oracle Oracle Payables Payables
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle Payables. Payables.
13-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• ••
13-3
Overview Overview Overview Overview of of Payables Payables process process flow flow
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Payables Payables •• •• ••
Oracle Oracle Payables Payables manages manages the the accounts accounts payables payables process, process, from from supplier supplier entry entry to to payment payment of of invoices. invoices. Oracle Oracle Payables Payables manages manages consolidation consolidation of of many many different different invoice invoice and and payment payment tasks, tasks, such such as as entry, entry, updates, updates, and and inquiries, inquiries, onto onto the the same same form. form. The The major major areas areas of of Oracle Oracle Payables Payables are: are:
–– Enter Enter suppliers suppliers –– Enter Enter invoices invoices –– Approve Approve invoices invoices –– Pay Pay invoices invoices
13-4
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering Suppliers Suppliers
Parent supplier Supplier A
Supplier site
Supplier B
Supplier site
Supplier site
Supplier site contract 13-5
Supplier site
Supplier site contract
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering Invoices Invoices in in Oracle Oracle Payables Payables Receive invoices
If appropriate, match invoice to purchase order PO
Invoice
Enter invoice Enter basic information Enter detailed information 13-6
Maintain invoices
Copyright Oracle Corporation, 1998. All rights reserved.
File invoices
Approving Approving Invoices Invoices in in Oracle Oracle Payables Payables Approve invoice ve o r p Ap
Batch approval
ve o r p Ap
Individual approval
Print Approval report or review it online
Resolve exceptions Review invoices on hold 13-7
Copyright Oracle Corporation, 1998. All rights reserved.
Pay Pay Invoices Invoices Using Using Oracle Oracle Payables Payables Select approved invoice
Confirm payment batch: • Confirm checks • Update invoice • Payment history
Pay invoice
Record manual payment Create manual payment outside Oracle Payables
Run payments in batch
Create single payments
Format payments: • Print checks • Load EFT data Modify payment batch: • Remove/add invoices • Modify payment details
Create computergenerated payment 13-8
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• ••
13-9
Oracle Oracle Payables Payables manages manages the the account account payables payables process, process, from from supplier supplier entry entry to to paying paying invoices. invoices. You You can can enter enter suppliers suppliers and and invoices invoices using using Oracle Oracle Payables. Payables. You You can can submit submit for for approvals approvals of of invoices invoices in in batches batches or or individually. individually. Oracle Oracle Payables Payables provides provides aa variety variety of of features features for for payment payment processing, processing, such such as as payment payment methods methods that that designate designate how how to to distribute distribute funds. funds.
Copyright Oracle Corporation, 1998. All rights reserved.
14 Purchase Purchase to to Pay Pay Common Common Setup Setup Steps Steps
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations that that are are common common to to Oracle Oracle Purchasing Purchasing and and Payables. Payables.
14-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• ••
14-3
Suppliers Suppliers Financial Financial options options Implementation Implementation considerations considerations
Copyright Oracle Corporation, 1998. All rights reserved.
How How to to Set Set Up Up Suppliers Suppliers Supplier Supplier sites
Washington, D.C.
Contact Contact 14-4
Chicago
Paris
Contact Contact
Contact Contact
Copyright Oracle Corporation, 1998. All rights reserved.
Supplier Supplier Information Information Oracle Payables Supplier Information Enter at Enter at Supplier Supplier Site
Information Type Purchasing
Yes
Yes
Receiving
Yes
No
Payment
Yes
Yes
Control
Yes
Yes
Bank
Yes
Yes
Accounting
No
Yes
Tax
Yes
Yes
Classification
Yes
No
General
Yes
No
Withholding Tax
Yes
Yes
Sites
Yes
No
14-5
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Suppliers Suppliers •• ••
14-6
Naming Naming conventions conventions Supplier Supplier conversion conversion
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Suppliers Suppliers •• •• •• ••
14-7
Data Data cleanup cleanup Supplier Supplier maintenance maintenance Integration Integration issues issues Supplier Supplier qualifications qualifications
Copyright Oracle Corporation, 1998. All rights reserved.
Flow Flow of of Default Default Values Values Financials
Purchasing/Payables
Supplier
Supplier site
Document 14-8
Copyright Oracle Corporation, 1998. All rights reserved.
How to Set Up the Approval Structure Kathryn Meara Chief Executive Officer
Matthew Beech Vice President, Manufacturing
Steven Blair Vice President, Engineering
Colin Gislasson Director, Materials Management
Noelle Bloom Director, System Design
Theresa Quinlan Manager, Mfg. Purchasing 14-9
Job: President
Job: Vice President
Job: Director
Bradford Lipman Manager, Job: Manager Inventory Control
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Document Document Approval Approval •• •• ••
14-10
Evaluate Evaluate current current business business processes processes and and requirements. requirements. Map Map business business requirements requirements to to Oracle Oracle functionality. functionality. Incorporate Incorporate best best business business practices. practices.
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Document Document Approval Approval •• •• ••
14-11
Naming Naming conventions conventions Employee Employee conversion conversion Data Data cleanup cleanup
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• ••
You You must must define define aa supplier supplier before before performing performing most most activities activities in in Oracle Oracle Purchasing Purchasing and and Oracle Oracle Payables. Payables. Except Except for for the the Receiving, Receiving, Classification, Classification, General, General, and and Site Site categories, categories, all all categories categories of of information information that that are are entered entered at at the the supplier supplier level level can can also also be be entered entered at at the the supplier-site supplier-site level. level.
14-12
Copyright Oracle Corporation, 1998. All rights reserved.
15 Purchase Purchase to to Pay Pay Setup Setup Steps Steps Unique Unique to to Oracle Oracle Purchasing Purchasing
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations when when implementing implementing Oracle Oracle Purchasing. Purchasing.
15-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• •• ••
15-3
Items Items Requisitions Requisitions Purchase Purchase orders orders Receiving Receiving RFQs RFQs and and quotes quotes
Copyright Oracle Corporation, 1998. All rights reserved.
Overview of Items Predefined items can be used on purchasing documents Quotations
Requests for quotations
15-4
Requisitions
Master item file
Purchase orders
Copyright Oracle Corporation, 1998. All rights reserved.
How How to to Set Set Up Up Items Items Attributes determine how the item behaves Attribute = Purchasable Master organization Item
Yes enabled
Yes enabled
No enabled
Child organization
15-5
Copyright Oracle Corporation, 1998. All rights reserved.
Yes enabled
Implementation Implementation Considerations Considerations for for Items Items •• ••
15-6
Naming Naming conventions conventions Item Item conversion conversion
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Items Items •• •• ••
15-7
Data Data cleanup cleanup Item Item maintenance maintenance Integration Integration issues issues
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Requisitions Requisitions
Order Entry
Other systems Inventory
WIP
MRP
Demand
Import/reschedule requisitions
Create internal sales order
Manually create
Order entry
e rov p Ap
Requisition 15-8
Supplier
Copyright Oracle Corporation, 1998. All rights reserved.
Requisition pool
Overview Overview of of Internal Internal Requisitions Requisitions
Oracle Inventory
Oracle Order Entry
Oracle Purchasing
Internal requisitions 15-9
Copyright Oracle Corporation, 1998. All rights reserved.
How How to to Set Set Up Up Requisitions Requisitions
Using Using the the setup setup requirements requirements and and options, options, you you can: can: •• Number Number your your requisitions requisitions automatically automatically or or manually manually •• Create Create and and control control default default information information
••
Provide Provide or or restrict restrict authorization authorization to to create, create, modify, modify, and and approve approve requisitions requisitions
Setup requirements and options 15-10
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Internal Internal Requisitions Requisitions for for Purchasing Purchasing •• •• •• ••
Define Define internal internal requisitions requisitions Control Control online online requisition requisition sourcing sourcing Define Define purchasing purchasing options: options: internal internal requisitions requisitions Define Define concurrent concurrent program program resubmission resubmission intervals intervals
–– Order Order Import Import –– Create Create Internal Internal Sales Sales Order Order
15-11
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Requisitions Requisitions •• •• •• ••
Requisition Requisition sources sources Requisition Requisition usage usage Requisition Requisition conversion conversion Interface Interface processing processing
15-12
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Purchase Purchase Orders Orders Manually create
e rov p Ap Automatically create
PO Maintain documents
Accept
Receive against PO 15-13
Revise
Requisition pool
Control
Match invoices in Payables
Copyright Oracle Corporation, 1998. All rights reserved.
Purchase Purchase Order Order Document Document Types Types •• •• ••
Standard Standard purchase purchase order order Contract Contract purchase purchase order order
••
Planned Planned purchase purchase order order Scheduled Scheduled releases releases
Blanket Blanket purchase purchase agreement agreement Blanket Blanket releases releases
15-14
Copyright Oracle Corporation, 1998. All rights reserved.
Comparison Comparison of of Purchase Purchase Order Order Types Types •• •• •• ••
Standard Standard purchase purchase order order Contract Contract purchase purchase order order Blanket Blanket purchase purchase agreement agreement Planned Planned purchase purchase order order
15-15
Copyright Oracle Corporation, 1998. All rights reserved.
Purchase Purchase Order Order Components Components
15-16
Document detail (header)
Item or service details (lines)
Supplier delivery details (shipments)
Internal distribution details (distributions)
Copyright Oracle Corporation, 1998. All rights reserved.
How How to to Set Set Up Up Purchase Purchase Orders Orders
Using Using the the setup setup requirements requirements and and options, options, you you can: can: •• Create Create and and control control default default information information
••
Provide Provide or or restrict restrict authorization authorization to to create, create, modify, modify, and and approve approve documents documents
Setup requirements and options
15-17
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Purchase Purchase Orders Orders •• •• ••
Use Use of of purchase purchase orders orders Conversion Conversion of of purchase purchase orders orders Data Data cleanup cleanup
15-18
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Document Document Security, Security, Routing, Routing, and and Approval Approval ••
Document Document security security –– Who Who can can see see it? it?
••
–– Who Who can can update update it? it? Document Document routing routing
••
Who Who can can II send send itit to? to? Document Document approval approval Who Who can can approve approve it? it?
15-19
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Receiving Receiving Supplier
Transfer Inventory Shipment
Receive
Deliver
Shop floor
Order Entry
Inventory 15-20
Internal shipment
Expense Inspect
Copyright Oracle Corporation, 1998. All rights reserved.
Receiving Receiving Options Options
Standard receipt Receiving A
Receiving B
Direct receipt
Delivery
Delivery
Inspection required Inspect Return to supplier 15-21
Reject
Accept
Copyright Oracle Corporation, 1998. All rights reserved.
Delivery
Overview Overview of of RFQs RFQs and and Quotes Quotes Imported requisitions
Requisition pool Automatically create Manual PO Print/send RFQ Copy Supplier lists 15-22
RFQ Copyright Oracle Corporation, 1998. All rights reserved.
Quotation
Supplier Supplier Sourcing Sourcing Approved suppliers
RFQ
Blanket purchase order
Items A & B
Item C 15-23
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Supplier Supplier Sourcing Sourcing •• •• •• ••
RFQ RFQ and and quotation quotation usage usage Supplier Supplier sourcing sourcing conversion conversion Supplier Supplier sourcing sourcing maintenance maintenance Data Data cleanup cleanup
15-24
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Accounting Accounting • Define periods to meet your business needs
• Complete purchasing accrual cycle • Close purchasing period
Purchasing period-end accruals
• Balance your books
Journal entries
Using foreign currency 15-25
• Purchase using any currency • Consolidate all currencies into your functional currency
Copyright Oracle Corporation, 1998. All rights reserved.
Types Types of of Information Information that that Purchase Purchase Order Order Accounts Accounts Store Store •• •• ••
Charge Charge accounts accounts Accrual Accrual accounts accounts Variance Variance accounts accounts
15-26
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Accounting Accounting for for Purchasing Purchasing •• ••
How How often often will will your your general general ledger ledger and and Oracle Oracle Purchasing Purchasing interface? interface? How How will will currency currency exchange exchange rates rates be be updated? updated?
15-27
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• ••
•• ••
15-28
Oracle Oracle Purchasing Purchasing maintains maintains the the requisitions, requisitions, purchase purchase orders, orders, and and receipts receipts for for your your organization. organization. Items Items are are defined defined in in aa master master organization, organization, which which allows allows you you to to group group all all of of your your items items in in one one place place and and then then parcel parcel them them out out for for use use by by each each inventory inventory organization organization in in your your enterprise. enterprise. Requisitions Requisitions can can be be made made up up of of multiple multiple lines, lines, referencing referencing multiple multiple cost cost centers, centers, projects, projects, or or departments departments for for distribution distribution of of expenses. expenses. Purchase Purchase orders orders and and releases releases support support aa variety variety of of procurement procurement methods. methods. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
••
With With Oracle Oracle Purchasing, Purchasing, you you can can control control the the items items that that you you order order through through the the entire entire receiving receiving process, process, including including inspection, inspection, transfer, transfer, and and delivery. delivery. With With Oracle Oracle Purchasing, Purchasing, you you can can take take current current requisitions requisitions and and solicit solicit bids bids from from your your supplier supplier base base (RFQ). (RFQ).
15-29
Copyright Oracle Corporation, 1998. All rights reserved.
16 Purchase Purchase to to Pay Pay Setup Setup Steps Steps Unique Unique to to Oracle Oracle Payables Payables
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the setup setup steps steps and and considerations considerations when when implementing implementing Oracle Oracle Payables. Payables.
16-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• •• •• ••
16-3
Invoices Invoices Payments Payments Advances Advances and and prepayments prepayments Expenses Expenses Implementation Implementation considerations considerations Accounting Accounting features features
Copyright Oracle Corporation, 1998. All rights reserved.
Automated Automated Invoice Invoice Approvals Approvals Using Using the the Workbench Workbench Model Model
Invoice Workbench
16-4
Invoice batches
Payment Workbench Payment batches
Invoice (Workbench)
Payment
Payment (Workbench)
Invoice overview
Invoices
Payment overview
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering Invoices Invoices Invoices from external system
ASN/ ASBN EDI invoices
ERS/pay on receipt
WorkFlow
Open interface
Enter invoice
Approve Purchase order
Match to PO
Invoice Pay
Requisition 16-5
Copyright Oracle Corporation, 1998. All rights reserved.
Invoice Invoice Types Types •• •• •• •• •• •• •• •• •• 16-6
Standard Standard Credit Credit memo memo Debit Debit memo memo Expense Expense reports reports PO PO default default Prepayments Prepayments QuickMatch QuickMatch Witholding Witholding tax tax Mixed Mixed Copyright Oracle Corporation, 1998. All rights reserved.
Automated Automated Invoice Invoice Approvals Approvals •• •• ••
16-7
Two-, Two-, three-, three-, and and four-way four-way matching matching of of purchase purchase orders, orders, invoices, invoices, receipts, receipts, and and requester requester acceptance acceptance documents documents All All information information needed needed to to authorize authorize payments payments is is online, online, eliminating eliminating the the paper paper flow flow of of purchase purchase order, order, invoices, invoices, receipts, receipts, and and requester requester documents documents Approve Approve invoices invoices online online during during invoice invoice entry entry or or in in batch batch
Copyright Oracle Corporation, 1998. All rights reserved.
Posting Posting Status Status Options Options on on Holds Holds Hold Type
16-8
Predefined User Manually Definable Releasable
Acct Hold Reason
No
Funds Hold Reason
Mixed
Insufficient information
No
Invoice Hold Reason
Yes
Matching Hold Reason
Mixed
Period Hold Type
No
PO Req Hold Reason
No
Variance Hold Reason
Mixed
Copyright Oracle Corporation, 1998. All rights reserved.
Approving Approving Invoices Invoices Batch invoices
Match invoices to PO
Enter invoices
Approve invoice Receive invoices in the mail
View invoice
Post invoice 16-9
File invoice
Copyright Oracle Corporation, 1998. All rights reserved.
Pay invoice
Approving Approving Invoices Invoices in in Oracle Oracle Payables Payables ve o r p Ap
Approve Invoice
Batch approval
e rov p Ap
Individual approval
Print Approval report or review it online
Resolve Exceptions Review Invoices on Hold 16-10
Copyright Oracle Corporation, 1998. All rights reserved.
Invoices Invoices Setup Setup ••
••
•• •• ••
Define Define invoice invoice tolerances tolerances –– PO PO matching matching
–– Tax Tax variances variances Set Set up up expense expense reports reports –– Enter Enter employees employees and and locations locations –– Define Define expense expense report report templates templates Set Set up up Oracle Oracle Payables Payables Invoice Invoice defaults defaults Set Set up up Oracle Oracle Payables Payables Invoice Invoice Tax Tax defaults defaults Set Set up up Oracle Oracle Payables Payables matching matching defaults defaults
16-11
Copyright Oracle Corporation, 1998. All rights reserved.
Payments Payments Payment Workbench EDI payments Initiate payment batch
EDI gateway
EFT payments
EDI translator
Print checks
VAN/ Internet 16-12
Copyright Oracle Corporation, 1998. All rights reserved.
Effective Effective Payment Payment Controls Controls Enter supplier
Enter invoices
Approve invoice
Create PO
Pay invoice
Match to PO
Enter requisition
16-13
Create journal entries
Reconcile payments in Cash Management
Copyright Oracle Corporation, 1998. All rights reserved.
Payment Payment Methods Methods •• •• •• •• •• ••
Check Check Clearing Clearing Electronic Electronic Future Future dated dated Manual Manual future future dated dated Wire Wire
16-14
Copyright Oracle Corporation, 1998. All rights reserved.
Payment Payment Disbursement Disbursement Types Types •• •• ••
Recorded Recorded Computer-generated Computer-generated Combined Combined
16-15
Copyright Oracle Corporation, 1998. All rights reserved.
Payments Payments Setup Setup •• •• •• •• •• •• ••
Set Set up up Oracle Oracle Financials Financials payment payment defaults defaults Set Set up up Oracle Oracle Payables Payables payment payment defaults defaults Set Set up up Oracle Oracle Payables Payables supplier supplier defaults defaults Set Set up up banks banks and and bank bank accounts accounts Define Define pay pay groups groups Define Define payment payment terms terms Set Set up up future-dated future-dated payments payments
16-16
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Issues Issues Payment Payment control control requirements: requirements: •• What What type type of of payment payment methods methods will will be be used? used?
••
Will Will you you use use pay pay groups groups to to segregate segregate your your supplier supplier payments? payments?
16-17
Copyright Oracle Corporation, 1998. All rights reserved.
Processing Processing Prepayments Prepayments Approve prepayment status = Unpaid
Enter prepayment status = Unapproved
Pay prepayment status = Available
Select prepayment and apply to one or more invoices
16-18
Select invoice and apply one or more prepayments
Copyright Oracle Corporation, 1998. All rights reserved.
The The Expense Expense Report Report Process Process Enter expense reports
Apply advances
Create invoices by submitting Payables Invoice Import
Payments to employees 16-19
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Expense Expense Report Report Entry Entry Enter employees and locations
Define employee as a supplier
Define expense report templates 16-20
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Payables Payables Using Using Oracle Oracle Web Web Employees Employees Employees can enter their own expense reports.
16-21
Copyright Oracle Corporation, 1998. All rights reserved.
Multiple Multiple Reporting Reporting Currencies Currencies in in Oracle Oracle Payables Payables
Set up multiple currency bank accounts
Set up Payable options to use multiple currencies
Post
16-22
Pay invoices
Review Unrealized Gain or Loss report
Copyright Oracle Corporation, 1998. All rights reserved.
Define supplier currency default
Enter foreign currency invoice
Intercompany Intercompany Accounting Accounting Step 1
Company A Expenses
AP
50
150
Company B
Company C
Expenses
Expenses
50
50
Invoice for $150
Step 2 Intercompany balancing entry
16-23
Company A
Company B
Company C
Intercompany receivable
Intercompany payable
Intercompany payable
100
50
Copyright Oracle Corporation, 1998. All rights reserved.
50
Using Using Encumbrance Encumbrance Accounting Accounting
Set up Enter Review journal encumbrance encumbrances details accounting
Process year-end 16-24
Report on encumbrances
Post encumbrances
Review fund availability and relieve encumbrances
Copyright Oracle Corporation, 1998. All rights reserved.
Distribution Distribution Set Set •• ••
Enter Enter distributions distributions Assign Assign to to supplier supplier site site Utilities distribution Dept. A Dept. B Dept. C
16-25
Copyright Oracle Corporation, 1998. All rights reserved.
Converting Converting Legacy Legacy System System Data Data •• •• •• •• •• •• ••
Supplier Supplier information information Supplier Supplier receiving receiving sites sites Supplier Supplier address address Supplier Supplier contact contact Supplier Supplier pay pay sites sites Historical Historical account account balances balances Budget Budget information information
16-26
Copyright Oracle Corporation, 1998. All rights reserved.
Considerations Considerations for for Conversion Conversion •• •• ••
Data Data volume volume Data Data accuracy accuracy Multiple Multiple instances instances
16-27
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
••
•• ••
16-28
Oracle Oracle Payables Payables contains contains an an Invoice Invoice Workbench Workbench and and aa Payment Payment Workbench Workbench in in which which you you can can enter, enter, adjust, adjust, and and review review invoices invoices and and create, create, adjust, adjust, and and review review payments. payments. Invoice Invoice approval approval validate validate the the matching, matching, tax, tax, period period status, status, exchange exchange rate, rate, and and distribution distribution information information for for invoices invoices that that you you enter enter and and automatically automatically applies applies holds holds to to invoices. invoices. Payment Payment methods methods include include check, check, clearing, clearing, electronic, electronic, future future dated, dated, and and wire. wire. You You can can pay pay an an invoice invoice in in aa currency currency other other than than the the invoice invoice currency, currency, for for currencies currencies defined defined with with fixed fixed exchange exchange rates rates because because of of their their participation participation in in the the EMU. EMU. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• ••
You You can can perform perform accounting accounting for for multiple multiple companies companies in in one one set set of of books books in in Oracle Oracle Payables. Payables. Use Use encumbrance encumbrance accounting accounting to to control control spending spending against against budgeted budgeted amounts amounts and and to to record record anticipated anticipated expenses expenses and and liabilities. liabilities. Use Use aa Distribution Distribution Set Set to to automatically automatically enter enter distributions distributions for for an an invoice invoice when when you you are are not not matching matching to to aa purchase purchase order. order.
16-29
Copyright Oracle Corporation, 1998. All rights reserved.
17 Purchase Purchase to to Pay Pay Integration Integration with with Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe how how information information is is shared shared and and integrated integrated by by Oracle Oracle Purchasing, Purchasing, Oracle Oracle Payables, Payables, and and other other Oracle Oracle applications. applications.
17-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• ••
17-3
Sharing Sharing information information between between applications applications Using Using information information flows flows Receiving Receiving data data using using open open interfaces interfaces Oracle Oracle Self-Service Self-Service Web Web Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Purchasing Purchasing Integration Integration Oracle Inventory
Oracle Payables
Oracle Master Scheduling (MRP)
Oracle General Ledger
Oracle Order Entry
Oracle Supplier Scheduling
Oracle Work in Process
Oracle Assets
Oracle Human Resources Oracle Project Accounting
17-4
Oracle Purchasing
Oracle Bill of Material Oracle Cost Management
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Payables Payables Integration Integration
Oracle Human Resources
Oracle Projects
Oracle Cash Management
Oracle Payables
Oracle Purchasing 17-5
Oracle Assets
Oracle General Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Integrating with Payables Shared information Supplier Tax information Payment terms Invoicing Oracle Purchasing
17-6
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Payables
Integrating Integrating with with Supplier Supplier Scheduling Scheduling
Approved supplier list Sourcing rules Assignment sets Receiving transactions Oracle Purchasing
17-7
Oracle Supplier Scheduling
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Employees Employees
Human Resources
Purchasing
Buyers
Expenses
Requesters
17-8
Copyright Oracle Corporation, 1998. All rights reserved.
Payables
Shared Shared Data: Data: Suppliers Suppliers
Supplier
Subcontractor
Purchasing
Projects Supplier
Work in Process
17-9
Outside processing
Supplier
Copyright Oracle Corporation, 1998. All rights reserved.
Payables
Assets
Shared Shared Data: Data: Locations Locations Human Resources
Purchasing
Ship-to/billto/deliver-to location
Office location
Remit to employee Payables Location Inventory
17-10
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Organizations Organizations Human Resources Manufacturing Plan for Projects
Purchasing Remit to Employee
Receiving organizations
Payables Organization
Inventory Organization
Receivables
Order Entry
17-11
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Items Items Manufacturing
Plan parts/assembly requirements Requisition
Purchasing
Inventory
Finished goods Work in Process
17-12
Receiving Returns Component items Work orders
Sell
Invoice contents Paid Items
Copyright Oracle Corporation, 1998. All rights reserved.
Order Entry
Receivables
Interfaced Interfaced Information: Information: Project Project Accounting Accounting Committed costs Purchasing Projects Subcontractor invoices Expense reports
17-13
Payables
Copyright Oracle Corporation, 1998. All rights reserved.
.
Interfaced Interfaced Information: Information: Purchase Purchase Management Management Manufacturing Planned orders
Demand Scheduled receipts
Purchasing
Committed cost
Projects
Purchase order match
Payables Asset purchases
Requisitions
Assets
Receive Internal sales requisitions
Inventory
Accrual for receipts not invoiced 17-14
General Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Order Entry
Interfaced Interfaced Information: Information: Order Order Management Management
Internal requisitions Purchasing POs Receipts
Inventory
17-15
Copyright Oracle Corporation, 1998. All rights reserved.
Order Entry
Accounting Accounting Flows: Flows: Project Project Management Management Employee expense reports
Projects
Payables Employee, supplier, and subcontractor expenses
General Ledger
17-16
Copyright Oracle Corporation, 1998. All rights reserved.
Accounting Accounting Flows: Flows: Purchase Purchase Management Management Expense/asset Purchasing
Payables Accruals, encumbrances
Expense, asset payment
Asset details
Depreciation, retirements, capital General assets Ledger 17-17
Copyright Oracle Corporation, 1998. All rights reserved.
Assets
Oracle Oracle Payables Payables Invoice Invoice Import Import
Oracle Payables
17-18
Oracle Web Employees
Oracle Projects
Copyright Oracle Corporation, 1998. All rights reserved.
Other accounting systems
Summary Summary •• ••
Project Project cost cost information information is is collected collected from from Oracle Oracle Payables Payables and and Oracle Oracle Purchasing Purchasing into into Oracle Oracle Projects. Projects. Use Use Payables Payables Invoice Invoice Import Import to to create create Payables Payables invoices invoices from from expense expense reports reports that that you you enter enter in in Payables, Payables, Oracle Oracle Web Web Employees, Employees, or or Oracle Oracle Projects. Projects.
17-19
Copyright Oracle Corporation, 1998. All rights reserved.
18 Purchase Purchase to to Pay Pay Unit Unit IIII Summary Summary
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives This This unit unit has has covered covered how how to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Purchase Purchase to to Pay Pay applications. applications.
18-2
Copyright Oracle Corporation, 1998. All rights reserved.
How How Will Will You You Plan Plan for for Implementing Implementing the the Purchase Purchase to to Pay Pay Applications? Applications? •• •• •• •• •• ••
18-3
How How will will supplier supplier names names be be standardized? standardized? How How will will you you handle handle document document security, security, routing, routing, and and approvals? approvals? What What do do you you need need to to consider consider when when setting setting up up items items in in Oracle Oracle Purchasing? Purchasing? When When setting setting up up requisitions, requisitions, what what sources sources will will provide provide them? them? What What types types of of purchases purchases will will require require RFQs RFQs and and quotations? quotations? How How is is information information shared shared and and how how does does itit flow flow from from the the Purchase Purchase to to Pay Pay applications applications to to other other Oracle Oracle applications? applications? Copyright Oracle Corporation, 1998. All rights reserved.
Purchasing Purchasing Business Business Flow Flow
Order Entry
Manually create
MRP
Inventory
Requisition
WIP
Other systems
RFQ
Requester Approved Supplier 18-4
Copyright Oracle Corporation, 1998. All rights reserved.
Purchasing Purchasing Business Business Flow Flow Continued Continued Source Supplier
Order entry
Inventory
Purchase order approved
Supplier 18-5
Receiving
Shipping
Copyright Oracle Corporation, 1998. All rights reserved.
Payables Payables Business Business Flow Flow EDI es invoic
ASN/ ASBN
Workflow ERS/Pay on receipt
nal Exter m syste es invoic
Open interface
ce Invoi ase Purch r orde
18-6
Match to PO
Enter invoice
Copyright Oracle Corporation, 1998. All rights reserved.
Payables Payables Business Business Flow Flow
Enter invoice
Approve
ce Invoi
Create journal entries
Pay invoices
Reconcile payments in Cash Management 18-7
Bank t men e t a t s
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary of of Purchase Purchase to to Pay Pay Topics Topics •• •• •• •• •• ••
18-8
Overview Overview of of Oracle Oracle Purchasing Purchasing Overview Overview of of Oracle Oracle Payables Payables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Purchasing Purchasing Setup Setup Steps Steps Unique Unique to to Oracle Oracle Payables Payables Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
19 Order Order to to Cash Cash Unit Unit III III Introduction Introduction
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this unit, unit, you you should should be be able able to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Order Order to to Cash Cash applications. applications.
19-2
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order to to Cash Cash Topics Topics •• •• •• •• •• ••
19-3
Overview Overview of of Oracle Oracle Order Order Entry Entry Overview Overview of of Oracle Oracle Receivables Receivables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Order Order Entry Entry Setup Setup Steps Steps Unique Unique to to Oracle Oracle Receivables Receivables Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order Entry/Shipping Entry/Shipping Process Process Flow Flow Supplier ships item to customer
Item purchased from supplier
Generate invoice in Receivables Customer order entered
PO Close order Item shipped from inventory
Release order 19-4
Ship order
Copyright Oracle Corporation, 1998. All rights reserved.
Receivables Receivables Process Process Flow Flow Customer order entered
Order processed
Reports
Generate invoice
Invoice is overdue
Invoice transferred to GL
Payment received
Collections Receipt transferred to GL 19-5
Apply receipt and close invoice
Copyright Oracle Corporation, 1998. All rights reserved.
Cash Cash Forecasting Forecasting Business Business Flow Flow in in Cash Cash Management Management Define cash forecast template Generate cash forecast
View cash forecast
Review cash forecast
Export forecast to Excel
$ Cash Forecasts Revise cash forecast
Cash Forecast 19-6
Copyright Oracle Corporation, 1998. All rights reserved.
Bank Bank Reconciliation Reconciliation Using Using Oracle Oracle Cash Cash Management Management Bank statement
Disbursements Enter manually
Import magnetic tape
Cash Management Reconcile 19-7
Reconciling journal entries
Copyright Oracle Corporation, 1998. All rights reserved.
Reconcile payments and receipts
20 Order Order to to Cash Cash Overview Overview of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle Order Order Entry/Shipping. Entry/Shipping.
20-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• ••
20-3
Overview Overview Overview Overview of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping Process Process Flow Flow
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Order Order Entry/Shipping Entry/Shipping ••
••
Oracle Oracle Order Order Entry/Shipping Entry/Shipping is is an an integrated integrated application application for for managing managing and and streamlining streamlining your your sales sales administration, administration, distribution distribution operations, operations, sales sales order order management, management, and and entry entry processes. processes. The The major major areas areas of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping are: are: –– Orders Orders
–– ––
Shipments Shipments Returns Returns
–– Pricing Pricing
20-4
Copyright Oracle Corporation, 1998. All rights reserved.
Customers Customers Customer information levels Customer header
Customer profile classes
Address Business purpose
Credit worthiness
Business volume
Business purpose
Site A 20-5
Site B
Site C
Copyright Oracle Corporation, 1998. All rights reserved.
Payment promptness
Orders Orders
Reserve inventory
Check credit Order
Apply holds
Shipment A Date A 20-6
Shipment B Date B
Shipment C Date C
Copyright Oracle Corporation, 1998. All rights reserved.
Inventory
Shipments Shipments Confirm departures and deliveries
Freight costs Order
Pick slip
Backorder 20-7
Copyright Oracle Corporation, 1998. All rights reserved.
Ship
Delivery Delivery Based Based Shipping Shipping Scenarios Scenarios Pick release and autocreate deliveries
Departure planning
Pick release departure
Ship confirm departure 20-8
Pick release
Create deliveries
Ship confirm deliveries
Copyright Oracle Corporation, 1998. All rights reserved.
Ship confirm
Returns Returns
Request for return
Receive goods
Inventory warehouse
Repair Return goods to customer 20-9
Copyright Oracle Corporation, 1998. All rights reserved.
Credit
Pricing Pricing Pricing
Discounts
Fixed amount
Customer
Unit volume
Customer agreement
% Percent
Purchase order
Dollar
Item
Rule-based Nonrule-based
Contracts
Promotions
20-10
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
•• ••
Oracle Oracle Order Order Entry/Shipping Entry/Shipping is is an an integrated integrated application application for for managing managing and and streamlining streamlining your your sales sales administration, administration, distribution distribution operations, operations, sales sales order order management, management, and and entry entry processes. processes. With With Oracle Oracle Order Order Entry/Shipping Entry/Shipping you you can can record record the the customer customer information information you you need need to to ship ship to, to, bill bill to, to, and and collect collect from from your your customers. customers. With With Oracle Oracle Order Order Entry/Shipping Entry/Shipping you you can can define define flexible flexible order order cycles cycles that that meet meet the the routing, routing, approval, approval, revenue, revenue, and and inventory inventory requirements requirements of of all all your your sales sales channels. channels.
20-11
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
With With delivery-based delivery-based shipping shipping you you can can plan plan picking picking and and shipping shipping activities activities in in the the warehouse warehouse by by using using features features to to control control and and coordinate coordinate the the distribution distribution of of order order lines. lines.
••
You You can can allow allow aa variety variety of of return return processing processing methods methods using using order order cycles cycles to to support support returns returns for for repair, repair, replacement, replacement, or or credit credit to to satisfy satisfy your your customers’ customers’needs. needs.
20-12
Copyright Oracle Corporation, 1998. All rights reserved.
21 Order Order to to Cash Cash Overview Overview of of Oracle Oracle Receivables Receivables
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the process process flow flow of of Oracle Oracle Receivables. Receivables.
21-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• ••
Overview Overview Overview Overview of of Oracle Oracle Receivables Receivables Process Process Flow Flow
21-3
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Receivables Receivables •• ••
Oracle Oracle Receivables Receivables is is aa system system for for managing managing and and streamlining streamlining your your cash cash flow, flow, invoicing, invoicing, and and automatic automatic creation creation of of accounting accounting entries entries The The major major areas areas of of Oracle Oracle Receivables Receivables are: are:
–– ––
Enter Enter transactions transactions Enter/apply Enter/apply receipts receipts
–– Collect Collect accounts accounts receivable receivable
21-4
Copyright Oracle Corporation, 1998. All rights reserved.
Receivables Receivables Process Process Flow Flow Customer order entered
Order processed
Reports
Generate invoice
Invoice is overdue
Invoice transferred to GL
Payment received
Collections Receipt transferred to GL 21-5
Apply receipt and close invoice
Copyright Oracle Corporation, 1998. All rights reserved.
Managing Managing Customers Customers in in Oracle Oracle Receivables Receivables Customer profile classes Quick entry Assign Credit worthiness
Business volume
Detail entry Create Import
Merge Customers View
Reports or online 21-6
Copyright Oracle Corporation, 1998. All rights reserved.
Payment promptness
Entering Entering Transactions Transactions in in Oracle Oracle Receivables Receivables
Tax code— 10% Enter transactions for single invoice Create multiple invoices with AutoInvoice
Tax Invoice
osit p e D tee n a r Gua
Tax code and location— 10% Commitments
21-7
Location— 8%
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering and and Applying Applying Receipts Receipts in in Oracle Oracle Receivables Receivables
Receipt Apply Specific receipt
21-8
Create chargebacks and adjustments New Invoice Invoice
Balance $20
Balance $0
Chargeback
Adjustment
Copyright Oracle Corporation, 1998. All rights reserved.
Mass receipts
Oracle Oracle Receivables Receivables Lockbox Lockbox
Update account balance Customer check
Bank
Bank account Receivables
Create data file
Import
Lockbox
21-9
Copyright Oracle Corporation, 1998. All rights reserved.
Collect Collect Accounts Accounts Receivable Receivable Record the call
Generate collection reports
Paid in full
$ Write off bad debt 21-10
Review previous calls Review customer account
Call customers
Generate and send dunning letters No payment
Partial payment
Send to collection agency Copyright Oracle Corporation, 1998. All rights reserved.
Invoice
Apply partial receipt
Summary Summary ••
••
••
21-11
You You can can create create customer customer profile profile classes classes to to classify classify customers customers into into broad broad groups, groups, based based on on credit credit worthiness, worthiness, payment payment promptness, promptness, amount amount limits limits for for finance finance charges, charges, or or business business volume, volume, and and then then assign assign each each customer customer to to aa profile profile class. class. Use Use the the Transactions Transactions Workbench Workbench to to enter enter invoices, invoices, debit debit memos, memos, deposits, deposits, applied applied credit credit memos, memos, and and on-account on-account credits, credits, or or use use AutoInvoice AutoInvoice to to import import large large volumes volumes of of these these transactions transactions from from an an external external system. system. Apply Apply the the receipt receipt to to open open debit debit items items to to reduce reduce the the outstanding outstanding balance balance using using one one of of two two methods, methods, specific specific receipt receipt Applications Applications or or MassApply, MassApply, which which applies applies one one receipt receipt against against multiple multiple invoices. invoices. Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary
•• ••
21-12
You You can can create create entries entries for for Company Company Lockbox Lockbox agreements agreements using using aa magnetic magnetic medium medium such such as as tape. tape. Use Use the the Collections Collections Workbench Workbench to to view view customer customer information information such such as as account account details, details, account account aging, aging, recorded recorded information information from from customer customer calls, calls, and and all all correspondence correspondence for for aa chosen chosen customer. customer.
Copyright Oracle Corporation, 1998. All rights reserved.
22 Order Order to to Cash Cash Common Common Setup Setup Steps Steps
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the common common setup setup steps steps and and integration integration considerations considerations of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping and and Oracle Oracle Receivables. Receivables.
22-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• ••
22-3
Customers Customers Customer Customer profile profile classes classes Territories Territories Agreements Agreements
Copyright Oracle Corporation, 1998. All rights reserved.
Overview of Customers Customer information levels Customer
Customer profile classes
Address Business purpose
Credit worthiness
Business volume
Business purpose
Site A 22-4
Site B
Site C
Copyright Oracle Corporation, 1998. All rights reserved.
Payment promptness
Customer Customer Profile Profile Class Class Characteristics Characteristics
Credit/collections Credit check Collector Payment application Dunning letters Finance charges
22-5
Payment promptness Payment terms Discounts Grace days
Invoices and statements Invoice line and tax printing Statement cycle Consolidated invoices
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Customers Customers •• •• ••
Quick Quick Customer Customer Entry Entry Standard Standard Customer Customer Entry Entry Customer Customer Interface Interface Enter limited information
Enter complete details
Import from other systems
Quick Customer Entry
Standard Customer Entry
Customer Interface
22-6
Copyright Oracle Corporation, 1998. All rights reserved.
Assigning Assigning Business Business Purposes Purposes to to aa Customer Customer Site Site •• •• •• •• ••
Bill-to Bill-to Ship-to Ship-to Legal Legal Statements Statements Marketing Marketing
Headquarters
22-7
Warehouse
Copyright Oracle Corporation, 1998. All rights reserved.
Creating Multiple Sites with Multiple Purposes
Headquarters
Marketing
22-8
Bill-to accounting
Warehouse
Ship-to warehouse
Copyright Oracle Corporation, 1998. All rights reserved.
Legal
Creating Creating Customer Customer Relationships Relationships •• •• ••
A A customer customer relationship relationship is is the the linking linking of of one one customer customer to to another. another. Create Create customer customer relationships relationships to to enforce enforce invoicing invoicing and and receipt-application receipt-application controls. controls. Characteristics: Characteristics:
–– A A relationship relationship can can be be between between two two customers customers only. only. –– A A relationship relationship is is not not transitive; transitive; ifif A A is is related related to to B B and and B B is is related related to to C, C, itit does does not not imply imply that that A A is is related related to to C. C. –– A A relationship relationship can can be be either either reciprocal reciprocal or or nonreciprocal. nonreciprocal. 22-9
Copyright Oracle Corporation, 1998. All rights reserved.
Determining Determining Tax Tax Attributes Attributes for for Customers Customers •• •• ••
The The Address Address Validation Validation system system option option is is set set to to Error Error to to validate validate the the customer customer address. address. IfIf your your tax tax method method is is Sales Sales Tax, Tax, the the tax tax calculation calculation is is based based on on the the customer’ customer’ss ship-to ship-to address. address. All All components components for for your your chosen chosen tax tax structure structure are are mandatory mandatory when when entering entering customer customer addresses. addresses.
22-10
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Up Customer Addresses Customer
Bank Payment Profile Telephone Contacts Relationships Addresses accounts method class numbers
Business Telephone Bank Payment purpose numbers accounts method
Profile class
Contacts
Tax code Contacts Payment terms 22-11
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Up Territories
22-12
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Agreements Agreements •• •• ••
Agreement Agreement pricing pricing Agreement Agreement discounts discounts Accounting Accounting and and invoicing invoicing rules rules
22-13
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Customer Customer Profile Profile Classes Classes •• •• •• •• •• ••
Determine Determine what what the the profile profile classes classes will will be be Determine Determine an an efficient efficient number number of of profile profile classes classes Consider Consider credit credit check check rules rules and and terms terms AutoReceipts AutoReceipts refers refers to to Direct Direct Debit Debit only only Set Set Amount Amount limits limits for for each each currency currency Maintain Maintain profile profile classes classes
22-14
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Customer Customer Records Records •• •• ••
Naming Naming standards standards How How will will customers customers be be entered entered and and maintained? maintained? Customer Customer conversion conversion from from legacy legacy system system
22-15
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Customer Customer Records Records •• •• •• ••
Multiple Multiple Organization Organization Support Support considerations considerations Customer Customer bank bank account account and and payment payment method method Tax Tax codes codes Customer Customer relationships relationships
22-16
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• ••
Create Create customer customer profile profile classes classes to to group group customers customers with with similar similar credit credit worthiness, worthiness, payment payment promptness, promptness, business business volume, volume, and and so so on. on. A A business business purpose purpose determines determines what what activities activities can can be be performed performed at at aa particular particular customer customer site. site.
•• ••
Tax Tax exemptions exemptions are are linked linked to to tax tax codes. codes.
••
Implement Implement agreements agreements with with your your customers customers regarding regarding unique unique price price lists, lists, discounts, discounts, payment payment terms, terms, and and invoicing invoicing and and revenue revenue policies policies using using Oracle Oracle Order Order Entry/Shipping Entry/Shipping customer customer agreements. agreements.
In In Oracle Oracle Order Order Entry/Shipping, Entry/Shipping, territories territories are are used used only only for for custom custom reporting reporting or or for for calculating calculating commissions. commissions.
22-17
Copyright Oracle Corporation, 1998. All rights reserved.
23 Order Order to to Cash Cash Setup Setup Steps Steps Unique Unique to to Oracle Oracle Order Order Entry/Shipping Entry/Shipping
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the common common setup setup steps steps and and integration integration considerations considerations of of Oracle Oracle Order Order Entry/Shipping. Entry/Shipping.
23-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• ••
23-3
Orders Orders Order Order fulfillment fulfillment Processing Processing returns returns Pricing Pricing
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Order Order Processes Processes Invoice only
Standard shippable (Distributor)
Standard shippable (Manufacturer)
1
1
1
Customer requests order 2
2
2
Enter order 3
3
3
Approve order 4
4
Place demand 5
Release order to manufacturing 6
6
Ship product and update inventory 4
7
7
Invoice the customer
Complete 23-4
Complete
Copyright Oracle Corporation, 1998. All rights reserved.
Complete
Defining Defining Order Order Cycle Cycle Actions Actions •• •• •• ••
23-5
Define Define cycle cycle action action Define Define cycle cycle results results Assign Assign action action results results Define Define order order cycles cycles
Copyright Oracle Corporation, 1998. All rights reserved.
Cycle Cycle Action Action Results Results
Enter order
23-6
Review the order for legal approval
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Order Order Cycles Cycles •• •• ••
••
23-7
Create Create aa cycle cycle Enter Enter the the actions actions that that make make up up the the cycle cycle Enter Enter any any prerequisites prerequisites for for the the actions: actions: –– Action Action set set
–– Action Action –– Result Result combinations combinations Concurrent Concurrent request request validates validates order order cycle cycle
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Order Order Number Number Sources Sources
23-8
EDI orders
External orders
Internal orders
Quote
2000
20000
8000
5000
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Order Order Types Types •• •• ••
23-9
Required Required for for entering entering orders orders and and returns returns Assign Assign an an order order cycle cycle to to order order type type Attach Attach aa value value rule rule set set (optional) (optional)
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining OrderImport OrderImport Sources Sources
Service
Sales and marketing quote
Internal
Sales and marketing collateral
OrderImport
23-10
Copyright Oracle Corporation, 1998. All rights reserved.
Copy
EDI
Defining Defining Security Security Rules Rules
23-11
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Standard Standard Value Value Rule Rule Sets Sets •• ••
Improve Improve efficiency efficiency and and accuracy accuracy of of order order entry entry Reduce Reduce the the amount amount of of information information for for data data entry entry
Rules
23-12
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Credit Credit Checking Checking
Limit = $10,000 Order = $12,000
Credit check rules
23-13
Order exceeds credit check rules
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Order Order Processes Processes •• •• ••
Order Order cycle cycle Holds Holds Order Order type type
23-14
Copyright Oracle Corporation, 1998. All rights reserved.
Scheduling Scheduling Order Order Lines Lines Order Entry Scheduling • ATP • Demand • Reservations • Set schedule date
Demands from Customer Orders • How much is wanted and when? • Quantity, schedule, ship date 23-15
Supply Sources • How much is available and when? • Manufacturing, schedule, POs
Copyright Oracle Corporation, 1998. All rights reserved.
Scheduling Scheduling Order Order Lines Lines Order Entry
Manufacturing/Distribution
“We have an order for 500 items on 1/7. Can we fill it?”
“We’re planning a run on 1/8 and can give you 500 then, but not on 1/7.”
Demand
“We need to ship 100 items to ACME tomorrow. Can you set aside inventory for it?”
“Sure, we’ve got 125 on hand. I’ll mark 100 of them for ACME.”
Reservations
“I have the numbers on the orders we took today.”
“Great, I may need to adjust the forecast and our supply plan.”
ATP Inquiry
23-16
Copyright Oracle Corporation, 1998. All rights reserved.
Performing Performing Available Available to to Promise Promise Inquires Inquires Methods of ATP inquiry Perform ATP inquiry
Order
Enter Orders or Schedule Orders window
Available date and ATP quantity
Check ATP
+ Inventory quantity on hand 23-17
Planned production
Copyright Oracle Corporation, 1998. All rights reserved.
Placing Placing Demand Demand Without Without ATP ATP Inquiry Inquiry Methods of placing demand Place demand
Enter orders or schedule orders
Demand Interface program
Demand placed Manufacturing
Planning 23-18
Notify Manufacturing of demand
Forecast
Copyright Oracle Corporation, 1998. All rights reserved.
Placing Placing Demand Demand with with ATP ATP Inquiry Inquiry Methods of placing demand Order Place demand
Enter orders or Demand Interface program schedule orders Demand placed
Quantity available? No
Check ATP
Manufacturing
+ Planning
Forecast
Inventory quantity on hand
Planned production
Quantity available? Yes Notify manufacturing of demand 23-19
Copyright Oracle Corporation, 1998. All rights reserved.
Placing Placing Reservations Reservations Methods of placing demand Place reservation
Order 123
Enter orders or schedule orders
Reservation placed
Quantity available? No No reservation placed
Check on-hand
Available quantity Inventory quantity on hand For Order 123 23-20
Inventory quantity on hand Quantity available? Yes Reserve quantity to order
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up ATP ATP
Methods of ATP inquiry
Perform ATP inquiry
Order 123
Enter Orders or Schedule Orders windows
Available date and ATP quantity
Check ATP
+ Inventory quantity on hand 23-21
Planned production
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for ATP ATP •• •• •• ••
ATP ATP inquiry inquiry Non-ATP Non-ATP demand demand Demand Demand with with ATP ATP Reservations Reservations
23-22
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order Fulfillment Fulfillment
Ship confirmation
Fulfillment
23-23
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order Fulfillment Fulfillment Cycle Cycle Steps Steps Enter
Demand
Pick release Backorder release Ship confirm
Receivables
Inventory Complete
23-24
Copyright Oracle Corporation, 1998. All rights reserved.
Pick Pick Release Release Standard Shippable Order Cycle Enter
Pick release Backorder release Ship confirm
Receivables
Inventory Complete
23-25
Copyright Oracle Corporation, 1998. All rights reserved.
Releasing Releasing Sales Sales Orders Orders for for Picking Picking
1. Backordered
2. Unreleased
23-26
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Pick Pick Release Release Documents Documents •• •• ••
23-27
Pick Pick Slip Slip Consolidated Consolidated Pick Pick Slip Slip Process Process Exception Exception Report Report
Copyright Oracle Corporation, 1998. All rights reserved.
Confirming Confirming Orders Orders
Sales order
23-28
Confirm order
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up Shipping Shipping Documents Documents •• •• •• •• •• ••
23-29
Pack Pack Slip Slip Commercial Commercial Invoice Invoice Bill Bill of of Lading Lading Mailing Mailing Label Label Pick Pick Slip Slip Consolidated Consolidated Pick Pick Slip Slip
Copyright Oracle Corporation, 1998. All rights reserved.
Document Document Sets Sets •• •• ••
23-30
All All shipping shipping documents documents Packing Packing slip slip only only Create Create your your own own document document sets sets
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Picking Picking and and Shipping Shipping •• ••
Timing Timing of of pick pick release release process process Layout Layout of of your your shipping shipping documents documents
23-31
Copyright Oracle Corporation, 1998. All rights reserved.
Determining Determining Order Order Lines Lines for for Pick Pick Release Release
Activity Select eligible lines
Order Lines
Order Line Details
Yes
Explode included items
Yes
Credit check
Yes
Check for holds
Yes
Ship together models
Yes*
Ship sets
Yes*
Create picking lines
* 23-32
Yes
Verifies that all lines in the ship model are complete or that ship sets are eligible and have no outstanding holds Copyright Oracle Corporation, 1998. All rights reserved.
Creating Creating Release Release Rules Rules
x x xxx
Daily pick release
Weekly pick release
23-33
Copyright Oracle Corporation, 1998. All rights reserved.
Pick Pick Release Release Methods Methods •• •• ••
Online Online Concurrent Concurrent Standard Standard Report Report Submission Submission
23-34
Copyright Oracle Corporation, 1998. All rights reserved.
Return Return Material Material Authorizations Authorizations
Customer Calls
Item received 23-35
Item
Order Entry enter RMA
Item repaired Copyright Oracle Corporation, 1998. All rights reserved.
Item shipped to customer
Accepting Accepting Items Items into into Inventory Inventory Receive goods Inspection Inventory warehouse Receive customer/ returns form
Repair Reject Return to stock 23-36
Return goods to customer
Copyright Oracle Corporation, 1998. All rights reserved.
Return Return Receipt Receipt and and Credit Credit Business Business Cycle Cycle
Inventory
Order Entry Enter Return Material Authorization
Receivables
RMA Approval Receive returned goods Update inventory balance 23-37
Credit customer
RMA Interface RMA Interface
Receivables Interface
Close RMA
Copyright Oracle Corporation, 1998. All rights reserved.
Return Return with with Receipt Receipt and and Credit Credit Order Order Cycle Cycle Cycle Action
Prerequisite Action
Result
Enter Management approval
Enter
Booked
RMA interface
Management approval
Pass
Receivables interface
RMA interface Completely accepted or partially accepted Receivables Interfaced to interface Receivables Management Pass approval
Complete line Complete header 23-38
Copyright Oracle Corporation, 1998. All rights reserved.
Control Control Credits Credits with with Order Order Cycles Cycles
Credit Type
Receivables Interface Prerequisites
Partial RMA Interface— partially accepted or credit RMA Interface— completely accepted
23-39
Full credit
RMA Interface— completely accepted
No credit
Omit the Receivables Interface from the order cycle.
Copyright Oracle Corporation, 1998. All rights reserved.
Issuing Issuing Credit Credit for for Returns Returns Accounts Receivable
RMA Line Credit to Invoice Item
2
10029
X Y
From Line 1
AutoInvoice
1
Receivables Interface
Order Entry
Invoice
Applied credit memo From Line 2 On-account credit
23-40
Copyright Oracle Corporation, 1998. All rights reserved.
Setting Setting Up Up RMAs RMAs ••
••
Order Order cycles cycles for for RMAs RMAs –– With With RMA RMA Interface Interface to to Inventory Inventory
–– With With Receivables Receivables Interface Interface Item Item attributes attributes
23-41
Copyright Oracle Corporation, 1998. All rights reserved.
Item Item Attributes Attributes That That Affect Affect RMA RMA Procedures Procedures
Order Entry Group Inventory Group Attribute Attribute
23-42
Invoicing Group Attribute
Type of Item
Returnable
Shippable
Transactable
Stockable
Invoice Enabled
Physical item requiring receipt but not credit
Yes
Yes
Yes
Yes
No
Physical item requiring credit and receipt
Yes
Yes
Yes
Yes
Yes
Intangible item requiring credit but not receipt
Yes
No
N/A
N/A
Yes
Copyright Oracle Corporation, 1998. All rights reserved.
Item Item Attributes Attributes That That Affect Affect RMA RMA Procedures Procedures
Order Entry Group Inventory Group Attribute Attribute
23-43
Invoicing Group Attribute
Type of Item
Returnable
Shippable
Transactable
Stockable
Invoice Enabled
Physical item requiring receipt but not credit
Yes
Yes
Yes
Yes
No
Physical item requiring credit and receipt
Yes
Yes
Yes
Yes
Yes
Intangible item requiring credit but not receipt
Yes
No
N/A
N/A
Yes
Copyright Oracle Corporation, 1998. All rights reserved.
Item Item Attributes Attributes That That Affect Affect RMA RMA Procedures Procedures
Order Entry Group Inventory Group Attribute Attribute
23-44
Invoicing Group Attribute
Type of Item
Returnable
Shippable
Transactable
Stockable
Invoice Enabled
Physical item requiring receipt but not credit
Yes
Yes
Yes
Yes
No
Physical item requiring credit and receipt
Yes
Yes
Yes
Yes
Yes
Intangible item requiring credit but not receipt
Yes
No
N/A
N/A
Yes
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for RMA RMA •• •• ••
Use Use different different business business cycles cycles to to meet meet your your RMA RMA needs. needs. Incorporate Incorporate approval approval steps steps in in your your RMA RMA business business flow. flow. Use Use the the Copy Copy Order Order feature. feature.
23-45
Copyright Oracle Corporation, 1998. All rights reserved.
Pricing Pricing •• •• ••
Review Review pricing pricing and and discount discount concepts concepts Define Define price price lists lists Define Define discounts discounts
23-46
Copyright Oracle Corporation, 1998. All rights reserved.
Price Price and and Discount Discount Lists Lists Price list • Price list name • Effective dates • Currency • Shipping defaults Item • Freight forms • Freight carrier Discount • Effective start and end dates • Customers • Specific discount lines
Price list
Discount list 23-47
Copyright Oracle Corporation, 1998. All rights reserved.
Discounts Discounts •• ••
Rules Rules for for applying applying automatic automatic discounts discounts Rules Rules for for applying applying manual manual discounts discounts
23-48
Copyright Oracle Corporation, 1998. All rights reserved.
Applying Applying Multiple Multiple Discounts Discounts Accumulate discounts Order
Order-level discount of 15%
$
Total order-level discount of 30%
Price list
Enter manual line-level discount of 10%
Automatic line-level discount of 5% 23-49
Copyright Oracle Corporation, 1998. All rights reserved.
Prorating Prorating Discounts Discounts •• ••
Prorate Prorate discounts discounts to to even even out out the the revenue revenue effect effect of of sales sales when when some some items items are are discounted discounted more more heavily heavily than than others others There There are are restrictions restrictions on on changes changes to to orders orders using using prorated prorated discounts discounts
23-50
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Multiple Multiple Price Price Lists Lists or or Discounts Discounts •• ••
Consider Consider factors factors that that favor favor multiple multiple price price lists lists Consider Consider factors factors that that favor favor one one price price list list with with multiple multiple discounts discounts
23-51
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Prorating Prorating Discounts Discounts Prorated Prorated Discount Discount Example Example Selling Price
23-52
Discount Amount
Invoice Amount
Revenue Amount
Line 1
100
0
100
68.09
Line 2
75
75
0
51.06
Line 3
60
0
60
40.85
Totals
235
75
160
$160.00
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary ••
•• •• ••
Order Order cycles cycles are are composed composed of of distinct distinct cycle cycle actions. actions. A A cycle cycle action action indicates indicates aa processing processing step step such such as as entering entering the the order, order, reviewing reviewing the the order order for for legal legal approval, approval, or or pick pick releasing releasing the the order. order. You You can can define define OrderImport OrderImport sources sources from from which which to to import import order order information. information. Security Security rules rules process process where where you you no no longer longer allow allow users users to to add, add, delete, delete, modify, modify, or or cancel cancel order order or or return return lines. lines. Scheduling Scheduling includes includes performing performing an an Available Available to to Promise Promise (ATP) (ATP) inquiry, inquiry, placing placing demand, demand, or or reserving reserving on-hand on-hand inventory. inventory.
23-53
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• ••
Pick Pick Release Release generates generates the the pick pick slips slips that that warehouse warehouse personnel personnel use use to to stage stage product product for for shipping. shipping. With With Oracle Oracle Order Order Entry Entry you you can can accept accept returns returns for for credit, credit, repair, repair, or or replacement replacement for for any any reason reason you you authorize. authorize.
••
Depending Depending on on discount discount setup, setup, Oracle Oracle Order Order Entry Entry can can automatically automatically apply apply discounts discounts to to order order lines. lines.
••
Businesses Businesses can can choose choose to to have have many many price price lists lists with with few few discounts discounts or or one one price price list list with with many many discounts discounts to to implement implement pricing pricing strategies. strategies.
23-54
Copyright Oracle Corporation, 1998. All rights reserved.
24 Order Order to to Cash Cash Setup Setup Steps Steps Unique Unique to to Oracle Oracle Receivables Receivables
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to identify identify the the common common setup setup steps steps and and integration integration considerations considerations of of Oracle Oracle Receivables. Receivables.
24-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• ••
24-3
System System options options Transactions Transactions Receipts Receipts Collections Collections
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of System System Options Options •• •• •• •• ••
24-4
Accounting Accounting Tax Tax Tax Tax default default and and rules rules Invoice Invoice options options Miscellaneous Miscellaneous
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for System System Options Options ••
24-5
Accounting Accounting options options
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for System System Options Options ••
24-6
Tax Tax options options
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for System System Options Options ••
24-7
Invoice Invoice options options
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for System System Options Options ••
24-8
Miscellaneous Miscellaneous options options
Copyright Oracle Corporation, 1998. All rights reserved.
Transaction Transaction Processing Processing Cycle Cycle
Enter commitments (optional)
Enter invoices
Respond to overinvoicing • Refund Respond to invalid transactions
• Adjust invoice
Respond to underinvoicing
• Void
• Update invoice
• Adjust invoice
• Delete
• Credit memo
• Update invoice
• On-account credit
• Debit memo
24-9
Copyright Oracle Corporation, 1998. All rights reserved.
Transaction Transaction Processing Processing Cycle Cycle
Print and send transactions
Generate customer statements
Review online 24-10
Copyright Oracle Corporation, 1998. All rights reserved.
Reports
Classes Classes of of Transactions Transactions •• •• •• •• •• ••
Invoice Invoice Credit Credit memo memo Debit Debit memo memo Deposit Deposit Guarantee Guarantee Chargeback Chargeback
24-11
Copyright Oracle Corporation, 1998. All rights reserved.
Invoices Invoices
24-12
Invoices from feeder systems
Run AutoInvoice
Manual invoices
Data entry
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Converting Converting Invoices Invoices Legacy system data
Oracle database 24-13
Copyright Oracle Corporation, 1998. All rights reserved.
Sources Sources of of Invoices Invoices
24-14
Copyright Oracle Corporation, 1998. All rights reserved.
Customization Customization of of Descriptive Descriptive Flexfields Flexfields
AutoInvoice Non-Oracle system
Customize these flexfields with identical structures: • Line transaction • Line link-to transaction • Line reference transaction
24-15
Copyright Oracle Corporation, 1998. All rights reserved.
Scripts Scripts for for Loading Loading
Non-Oracle system RA_INTERFACE_LINES
RA_INTERFACE_DISTRIBUTIONS
RA_INTERFACE_SALESCREDITS 24-16
Copyright Oracle Corporation, 1998. All rights reserved.
Imported Imported Invoices Invoices and and Activity Activity
24-17
Copyright Oracle Corporation, 1998. All rights reserved.
Selecting Selecting aa Tax Tax Method Method •• ••
Sales Sales tax: tax: Based Based on on customer customer ship-to ship-to addresses addresses or or tax tax codes codes Value-added Value-added tax tax (VAT): (VAT): Based Based on on tax tax codes codes assigned assigned to to customer customer sites sites or or items items
24-18
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Taxes Taxes •• •• •• •• ••
Oracle Oracle Partner Partner tax tax services services Use Use address address validation validation Do Do not not calculate calculate tax tax when when importing importing tax tax lines lines During During setup, setup, do do not not specify specify to to calculate calculate tax tax Location Location flexfield flexfield structure structure supports supports tax tax calculations calculations for: for: –– Multiple Multiple tax tax jurisdictions jurisdictions
–– VAT VAT
24-19
Copyright Oracle Corporation, 1998. All rights reserved.
Creating Creating Invoices Invoices from from Sales Sales Orders Orders Accounts Receivable
Invoice
AutoInvoice
Receivables Interface
Order Entry
or
Invoices 24-20
Copyright Oracle Corporation, 1998. All rights reserved.
Items Items Eligible Eligible for for Invoicing Invoicing Standard Shippable Order Cycle Enter
Pick release Backorder release Ship confirm
Receivables
Inventory Complete
24-21
Copyright Oracle Corporation, 1998. All rights reserved.
Invoice Invoice Currency Currency Accounts Receivable
Order Entry
Invoice freight charges
24-22
AutoInvoice
Currency Hong Kong Dollar
Receivables Interface
Foreign currency Freight charges
Currency Hong Kong Dollar
Copyright Oracle Corporation, 1998. All rights reserved.
Revenue Revenue and and Receivables Receivables Accounting Accounting
Example of Accounting and Invoicing Rules
Accounting rule/ Invoicing rule Immediate/advance
100%
Immediate/arrears
100%
Four month/advance
25%
Four month/arrears
24-23
Copyright Oracle Corporation, 1998. All rights reserved.
Revenue Revenue and and Receivables Receivables Accounting Accounting Accounts Receivable
Order Entry
Payment terms
25% in 30 days 75% in 60 days
24-24
AutoInvoice
Payment terms
Receivables Interface
25% in 30 days 75% in 60 days
Copyright Oracle Corporation, 1998. All rights reserved.
Due date: 4/30 Total due: 25%
Due date: 5/30 Total due: 75%
Implementation Implementation Considerations Considerations for for Invoicing Invoicing Orders Orders Accounts Receivable
AutoInvoice
Receivables Interface
Order Entry
Invoice
Invoices 24-25
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Considerations Considerations for for Items Items Eligible Eligible for for Invoicing Invoicing Accounts Receivable
Computer Model Class 1 Option 1 Option 2 24-26
AutoInvoice
Order
Receivables Interface
Order Entry
Invoice
Computer Model Class 1
Copyright Oracle Corporation, 1998. All rights reserved.
Option 1 Option 2
Implementation Implementation Considerations Considerations for for Tracing Tracing Transactions Transactions to to the the Source Source •• ••
Identify Identify all all invoice invoice lines lines for for an an order order line line or or credit credit lines lines for for aa return return line line by by using using the the Transaction Transaction flexfield flexfield Review Review the the Transaction Transaction flexfield: flexfield:
–– The The Transaction Transaction flexfield flexfield is is aa descriptive descriptive flexfield flexfield in in the the Oracle Oracle Receivables Receivables interface interface tables tables –– The The Receivables Receivables Interface Interface automatically automatically populates populates the the Transaction Transaction flexfield flexfield ID ID for for every every line line itit processes processes
24-27
Copyright Oracle Corporation, 1998. All rights reserved.
Grouping Grouping Related Related Transaction Transaction Lines Lines AutoInvoice Records Currency USD USD USD HKD HKD
Bill To ACME ACME ACME BONN BONN
Item A B C D E
Transaction Flexfields Attr1(Order #) 5001 5002 112 501 502
Attr 2 (Order Type) Domestic Domestic No Ship International International
Grouping Rules All mandatory rules (Includes Currency and Bill-To) + Optional rule: Transaction flexfield attribute2 How many invoices will be created? 24-28
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering Receipts Receipts Enter receipt information
Start
Apply receipt to debit item
Specific receipt applications
Mass receipt applications
Create chargebacks and adjustments
24-29
Copyright Oracle Corporation, 1998. All rights reserved.
Entering Entering Standard Standard and and Miscellaneous Miscellaneous Receipts Receipts Manually Manually Cash
Miscellaneous Receipts Enter
Enter and Apply
Adjustment
Chargeback
Remit
Remit Reconcile Reconcile
Reverse 24-30
Reapply Copyright Oracle Corporation, 1998. All rights reserved.
Reverse
Implementation Implementation Considerations Considerations for for Entering Entering Receipts Receipts •• •• •• •• •• ••
Use Use aa combination combination of of receipt receipt entry entry methods. methods. Customize Customize file file formats. formats. Develop Develop file file transfer transfer program. program. Enable Enable document document sequencing sequencing for for automatic automatic payment payment methods. methods. Develop Develop programs programs to to remit remit Automatic Automatic Receipts Receipts in in hardcopy hardcopy or or media media format. format. Use Use Oracle Oracle Cash Cash Management Management for for cash cash reconciliation. reconciliation.
24-31
Copyright Oracle Corporation, 1998. All rights reserved.
Using Using the the Collections Collections Workbench Workbench Use Use the the Collections Collections Workbench Workbench to to perform perform all all of of the the functions functions related related to to collecting collecting accounts, accounts, such such as: as:
•• Review Review follow-up follow-up actions actions for for each each collector collector •• Review Review customer customer account account information information at at various various levels levels of of detail detail •• Record Record information information about about collection collection calls calls to to customers customers •• Review Review details details about about correspondence correspondence with with customers, customers, including including dunning dunning letters, letters, statements, statements, and and calls calls •• Place Place invoices invoices in in dispute dispute 24-32
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• •• ••
Options Options are are used used to to make make setup setup elections elections that that control control Receivables Receivables functions functions and and to to set set default default field field values values for for certain certain Receivables Receivables processes. processes. The The six six transaction transaction classes classes are are invoice, invoice, credit credit memo, memo, debit debit memo, memo, deposit, deposit, guarantee, guarantee, and and chargeback. chargeback. Create Create invoices invoices from from orders orders by by running running the the Receivables Receivables Interface Interface in in Oracle Oracle Order Order Entry Entry and and AutoInvoice AutoInvoice in in Oracle Oracle Receivables. Receivables. You You can can apply apply receipts receipts to to invoices, invoices, debit debit memos, memos, deposits, deposits, guarantees, guarantees, on-account on-account credits, credits, and and chargebacks. chargebacks. Use Use the the Collections Collections Workbench Workbench windows windows to to view view information information about about your your customers' customers' transactions transactions and and account account balances balances in in aa variety variety of of ways. ways.
24-33
Copyright Oracle Corporation, 1998. All rights reserved.
25 Order Order to to Cash Cash Integration Integration With With Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe how how information information is is shared shared and and integrated integrated by by Oracle Oracle Order Order Entry/Shipping, Entry/Shipping, Oracle Oracle Receivables, Receivables, and and other other Oracle Oracle applications. applications.
25-2
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview •• ••
Reduce Reduce maintenance maintenance and and provide provide aa smooth smooth information information flow flow by by sharing sharing key key information information between between applications. applications. Identify Identify critical critical implementation implementation issues issues that that affect affect multiple multiple business business areas: areas: –– Shared Shared information information
–– ––
Information Information flows flows Open Open interfaces interfaces
–– Implementation Implementation issues issues
25-3
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Salespeople Salespeople
Order entry Salespeople
Receivables Sales compensation
25-4
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Customers Customers Manufacturing
Customer Forecasts Customers
Purchasing
Internal Customers
Projects
Order entry Customers Customer Invoices/ Payments
25-5
Copyright Oracle Corporation, 1998. All rights reserved.
Receivables
Shared Shared Data: Data: Organizations Organizations Human Resources Manufacturing Plan for Projects
Purchasing Remit to employee
Receiving organizations
Payables Organization
Inventory Organization
Receivables
Order Entry
25-6
Copyright Oracle Corporation, 1998. All rights reserved.
Shared Shared Data: Data: Locations Locations
Human Resources
Manufacturing Plan for Purchasing
Ship-to/billto/deliver to location
Remit to employee
Receiving locations
Payables
Inventory
25-7
Office Location
Location
Copyright Oracle Corporation, 1998. All rights reserved.
Order Entry
Shared Shared Data: Data: Items Items Manufacturing
Plan parts/assembly requirements Requisition
Purchasing
Inventory
Finished goods Work in Process
Receiving Returns
Sell
Component items Work orders
Invoice contents
Order Entry
Paid items Receivables
25-8
Copyright Oracle Corporation, 1998. All rights reserved.
Interfaced Interfaced Information: Information: Order Order Management Management Demand, forecast consumption Manufacturing
Purchasing POs
Assemble to Order, Bill of Materials Internal requisitions
Receipts
Orders
Shipments and returns Inventory
Inventory costs/COGS
Demand Reservations Work in Process
25-9
Order Entry Order and return line details
Revenue Receivables Freight Tax Accounts Receivables Sales and General Marketing Ledger
Copyright Oracle Corporation, 1998. All rights reserved.
Accounting Accounting Flows: Flows: Order Order Management Management
COGS at shipment Inventory
25-10
Sales and Marketing
COGS issues
Accounts receivables, revenue, freight, tax
Financial Analyzer
Customer orders
Specified data and General structures Ledger
Order Entry Order line details Receivables
Copyright Oracle Corporation, 1998. All rights reserved.
Open Open Interfaces: Interfaces: Oracle Oracle Receivables Receivables
Transactions Customers Sales tax rates External systems Order line details Import programs Oracle Order Entry
Lockbox
Oracle Receivables 25-11
Copyright Oracle Corporation, 1998. All rights reserved.
Open Open Interfaces: Interfaces: Oracle Oracle Order Order Entry Entry
Historical orders
Incomplete Returned Material orders Authorization receipts
Import programs
Oracle Order Entry 25-12
Copyright Oracle Corporation, 1998. All rights reserved.
Booked orders
Oracle Order Entry/Shipping Interfacing with Inventory Inventory Interface (Order Entry) Material Transaction Manager (Inventory)
Oracle Order Entry Ship Confirm Order
Item
Date
Qty
1432
A
6/1
10
Oracle Inventory Supply/Demand
Oracle Inventory Inventory balance Item A 25-13
Date
Qty
Order
6/1
50
1432.Standard.ORDER ENTRY A
40
Copyright Oracle Corporation, 1998. All rights reserved.
Item Date Qty 6/1 -10
Implementation Considerations: OE Integration with External OE Systems AutoInvoice Records
Transaction Flexfields
Currency
Bill To
Item
Attr1 (Order #)
USD USD USD HKD HKD
ACME ACME ACME BONN BONN
A B C D E
5001 5002 112 501 502
Attr2 (Order Type) Domestic Domestic No Ship International International
Grouping Rules All mandatory rules (Includes Currency and Bill-To) + Optional rule: Transaction Flexfield Attribute2
Invoice 1 Item A & B 25-14
Invoice 2 Item C
Invoice 3 Item C & D
Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Considerations: OE and GL and Transaction Dates Derive date? (Batch source option)
Ship date actual
No Sales order date in table?
Assuming an accounting rule of immediate
25-15
Yes
GL and transaction date Yes
GL and transaction date GL and transaction date
Default date on Run AutoInvoice Form
Copyright Oracle Corporation, 1998. All rights reserved.
Ship date
Sales order date
Order Order Entry/Shipping Entry/Shipping RMA RMA with with Inventory Inventory and and Receivables Receivables Inventory
Order Entry Enter Return Material Authorization
Receivables
RMA Approval Receive returned goods
Update inventory balance 25-16
Credit customer
RMA Interface RMA Interface
Receivables Interface
Close RMA
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order Entry/Shipping Entry/Shipping Open Open Interface Interface for for Customers Customers
Validation
Customer Interface
Oracle Receivables tables
Temporary interface tables Customer Interface Exchange report
25-17
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary Reduce Reduce maintenance maintenance and and provide provide aa smooth smooth information information flow flow by by sharing sharing key key information information between between applications. applications.
25-18
Copyright Oracle Corporation, 1998. All rights reserved.
26 Purchase Purchase to to Pay Pay Unit Unit III III Summary Summary
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives This This unit unit has has discussed discussed how how to to determine determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Order Order to to Cash Cash applications. applications.
26-2
Copyright Oracle Corporation, 1998. All rights reserved.
How How Will Will You You Plan Plan for for Implementing Implementing the the Order Order to to Cash Cash Applications? Applications? •• •• •• •• •• •• •• •• 26-3
How How often often do do users users invoice invoice orders? orders? How How will will you you handle handle reconciliation? reconciliation? What What types types of of order order cycles cycles will will you you need? need? What What types types of of customer customer profile profile classes classes will will you you set set up, up, and and who who will will maintain maintain them? them? What What layout layout is is needed needed for for your your shipping shipping documents, documents, and and will will they they be be in in multiple multiple languages? languages? How How will will you you handle handle return return authorizations? authorizations? Will Will you you need need multiple multiple price price lists? lists? What What will will your your invoice invoice sources sources be? be? Copyright Oracle Corporation, 1998. All rights reserved.
Order Order Entry/Shipping Entry/Shipping Process Process Flow Flow Supplier ships item to customer
Item purchased from supplier
Generate invoice Customer order entered
PO Close order Item shipped from inventory
Release order 26-4
Ship order
Copyright Oracle Corporation, 1998. All rights reserved.
Receivables Receivables Process Process Flow Flow Customer order entered
Order processed
Reports
Generate invoice
Invoice is overdue
Invoice transferred
Payment received
Collections Receipt transferred 26-5
Apply receipt and close invoice
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary of of Order Order to to Cash Cash Topics Topics •• •• •• •• •• •• ••
26-6
Overview Overview of of Oracle Oracle Order Order Entry Entry Overview Overview of of Oracle Oracle Receivables Receivables Integration Integration between between Oracle Oracle Order Order Entry Entry and and Oracle Oracle Receivables Receivables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Order Order Entry Entry Setup Setup Steps Steps Unique Unique to to Oracle Oracle Receivables Receivables Integration Integration with with Other Other Oracle Oracle applications applications
Copyright Oracle Corporation, 1998. All rights reserved.
27 Common Common Modules Modules Unit Unit IV IV Introduction Introduction
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this unit, unit, you you should should be be able able to to describe describe the the features features and and characteristics characteristics of of Oracle’ Oracle’ss common common modules modules in in relation relation to to implementing implementing financial financial applications. applications.
27-2
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Modules Modules Topics Topics •• •• •• •• ••
27-3
Oracle Oracle Workflow Workflow Oracle Oracle Alert Alert Flexfields Flexfields Oracle Oracle Applications Applications System System Administration Administration Extending Extending the the Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Software Software Modules Modules Oracle Workflow is a workflow management system to automatically process and route information of any type, according to business rules that you can change, to any person inside or outside your enterprise. Oracle Alert is an automated exception management and reporting tool that keeps you aware of critical activity in your database and is used to automate steps in your business processes.
27-4
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Elements Elements •• •• ••
27-5
Flexfields Flexfields System System Administration Administration Extending Extending Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
28 Common Common Modules Modules Oracle Oracle Workflow Workflow
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives
After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the features features and and implementation implementation considerations considerations of of Oracle Oracle Workflow. Workflow.
28-2
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Terms Terms •• •• •• •• •• •• •• ••
28-3
Process Process Item Item Process Process instance instance Activity Activity Function Function activity activity Notification Notification activity activity Process Process activity activity Transition Transition
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Workflow Workflow Accomplishes Accomplishes Three Three Important Important Business Business Requirements Requirements •• •• ••
28-4
Routes Routes information information Defines Defines any any rule rule Delivers Delivers electronic electronic notifications notifications
Copyright Oracle Corporation, 1998. All rights reserved.
Differences Differences Between Between Oracle Oracle Workflow Workflow and and Oracle Oracle Alert Alert Workflow Workflow •• Manages Manages the the execution execution of of complex complex business business processes processes resulting resulting from from database database events events •• Processes Processes responses: responses:
•• ••
Alert Alert Detects Detects database database events events Processes Processes responses responses only only from from e-mail e-mail
–– E-mail E-mail –– Web Web browser browser –– Applications Applications
28-5
Copyright Oracle Corporation, 1998. All rights reserved.
Similarities Similarities Between Between Workflow Workflow and and Alert Alert •• •• ••
28-6
Integrated Integrated with with Oracle Oracle applications applications Application Application independent independent Developed Developed by by the the same same team team
Copyright Oracle Corporation, 1998. All rights reserved.
Major Major Components Components •• •• •• •• ••
28-7
Oracle Oracle Workflow Workflow Builder Builder Workflow Workflow Engine Engine Workflow Workflow Definitions Definitions Loader Loader Notification Notification System System Workflow Workflow Monitor Monitor
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Builder Builder
28-8
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Engine Engine
Workflow Engine
Applications Server
Oracle 7.3.2 or higher
28-9
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Process Process Definition Definition
28-10
Copyright Oracle Corporation, 1998. All rights reserved.
Looping Looping and and Results-Based Results-Based Branching Branching
28-11
Copyright Oracle Corporation, 1998. All rights reserved.
Parallel Parallel Flows Flows and and Rendezvous Rendezvous
28-12
Copyright Oracle Corporation, 1998. All rights reserved.
Voting Voting
28-13
Copyright Oracle Corporation, 1998. All rights reserved.
Timeouts: Timeouts: Escalation Escalation and and Automatic Automatic Forwarding Forwarding
28-14
Copyright Oracle Corporation, 1998. All rights reserved.
Subprocesses Subprocesses with with Unlimited Unlimited Hierarchies Hierarchies
28-15
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Definitions Definitions Loader Loader Workflow Builder
Workflow Engine
Workflow Loader Workflow Loader
Oracle 7.3.2 or later
Process definitions
28-16
Copyright Oracle Corporation, 1998. All rights reserved.
Notification Notification System System Notification Mailer
Workflow Engine
Directory Services
Notification System
Applications Server Oracle 7.3.2 or later 28-17
Workflow Web Agent
Notification Viewer
Application screens
Copyright Oracle Corporation, 1998. All rights reserved.
Workflow Workflow Monitor Monitor
28-18
Copyright Oracle Corporation, 1998. All rights reserved.
Required Required Setup Setup Steps Steps •• •• •• •• •• ••
Customize Customize the the directory directory service service views views for for Oracle Oracle Workflow Workflow Cartridge. Cartridge. Set Set up up background background engines engines for for Oracle Oracle Workflow. Workflow. Define Define the the WF_RESOURCES WF_RESOURCES environment environment variable variable for for Oracle Oracle Workflow Workflow Cartridge. Cartridge. Identify Identify the the Oracle Oracle Workflow Workflow base base Web Web agent. agent. Identify Identify the the workflow workflow administrator administrator role. role. Secure Secure Workflow Workflow Web Web pages pages with with an an Oracle Oracle Web Web Application Application Server Server authentication authentication scheme. scheme.
28-19
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• •• ••
Oracle Oracle Workflow Workflow manages manages business business processes processes according according to to rules rules that that you you define. define. Define Define your your business business rules rules using using Oracle Oracle Workflow Workflow Builder Builder and and PL/SQL. PL/SQL. The The Workflow Workflow Engine Engine and and the the Notification Notification System System carry carry out out your your business business rules. rules. Any Any Oracle Oracle applications applications user user and and anyone anyone with with access access to to the the Internet Internet can can participate participate in in aa workflow. workflow. Use Use the the Workflow Workflow Monitor Monitor to to check check and/or and/or administer administer the the status status of of your your workflow workflow processes. processes.
28-20
Copyright Oracle Corporation, 1998. All rights reserved.
29 Common Common Modules Modules Oracle Oracle Alert Alert
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives
After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the features features and and implementation implementation considerations considerations of of Oracle Oracle Alert. Alert.
29-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• Event Event alerts alerts •• Periodic Periodic alerts alerts •• Action Action types types •• Action Action levels levels •• Steps Steps to to defining defining an an
•• Response Response processing processing •• Action Action escalation escalation •• Precoded Precoded alerts alerts •• Implementation Implementation considerations considerations
alert alert
29-3
Copyright Oracle Corporation, 1998. All rights reserved.
Alert Alert Process Process • E-mail message
Alert !
• Concurrent program request • Run SQL • Run operating system script
Server
Client 29-4
Copyright Oracle Corporation, 1998. All rights reserved.
What What Is Is an an Exception? Exception?
An An exception exception is is aa specified specified condition condition found found during during an an alert alert check. check. For For example, example, an an alert alert might might check check for for customers customers who who exceed exceed aa credit credit limit. limit. Each Each exceeded exceeded credit credit limit limit found found is is an an exception. exception.
29-5
Copyright Oracle Corporation, 1998. All rights reserved.
Examples Examples of of Event Event Alerts Alerts •• •• ••
29-6
Requisition Requisition receipt: receipt: Informs Informs requester requester that that Purchasing Purchasing received received or or entered entered the the request request Purchase Purchase approval: approval: Informs Informs manager manager that that aa purchase purchase order order needs needs to to be be approved approved Database Database monitoring: monitoring: Informs Informs DBA DBA when when database database tables tables need need more more space space and and allocates allocates itit ifif response response indicates indicates to to do do so so
Copyright Oracle Corporation, 1998. All rights reserved.
Examples Examples of of Periodic Periodic Alerts Alerts •• •• •• ••
29-7
Personnel: Personnel: Shows Shows all all employees employees who who have have been been terminated terminated in in the the last last six six months months (monthly) (monthly) Payroll: Payroll: Shows Shows current current balance balance and and vacation vacation reported reported by by month month (monthly) (monthly) Purchasing: Purchasing: Detects Detects creation creation or or modification modification of of vendor vendor with with nonstandard nonstandard payment payment terms terms (weekly) (weekly) Inventory: Inventory: Shows Shows when when quantity quantity on on hand hand minus minus quantity quantity ordered ordered is is less less than than reorder reorder quantity quantity (weekly) (weekly)
Copyright Oracle Corporation, 1998. All rights reserved.
Definition Definition of of an an Action Action An An action action is is an an event event that that occurs occurs once once aa monitored monitored database database event event occurs occurs or or once once aa periodic periodic check check of of the the database database has has been been performed. performed. For For example: example:
•• Send Send an an e-mail e-mail message message •• Submit Submit aa concurrent concurrent program program request request •• Run Run aa SQL SQL statement statement script script •• Run Run an an operating operating system system script script
29-8
Copyright Oracle Corporation, 1998. All rights reserved.
Definitions Definitions of of Action Action Levels Levels •• •• ••
29-9
Detail: Detail: Perform Perform the the action action for for each each occurrence occurrence of of the the condition condition Summary: Summary: Perform Perform the the action action for for aa group group of of occurrences occurrences of of the the condition condition No No Exception: Exception: Perform Perform an an action action when when nothing nothing in in the the database database met met the the search search criteria criteria
Copyright Oracle Corporation, 1998. All rights reserved.
Seven Seven Steps Steps to to Defining Defining an an Alert Alert Success!
7. Document 6. History/Request Log 5. Run and test 4. Define the action set 3. Define the actions 2. Define the alert 1. Research 29-10
Copyright Oracle Corporation, 1998. All rights reserved.
Action Action Escalation Escalation
Message 1
Message 2
Message 3
Dear Mr. XXX,
Dear Mr. XXX,
IMPORTANT!!
It has come to
Please respond
Your account
our attention ...
immediately ...
is now ...
29-11
Copyright Oracle Corporation, 1998. All rights reserved.
Response Response Processing Processing Alert!
Use r
Ale rt
29-12
Copyright Oracle Corporation, 1998. All rights reserved.
Precoded Precoded Alerts Alerts
Alert! Alert!
•• •• ••
DBA DBA Purging Purging alerts alerts Purging Purging mail mail
Server
Client 29-13
Copyright Oracle Corporation, 1998. All rights reserved.
General General Implementation Implementation Considerations Considerations
29-14
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration Implementation Implementation Considerations Considerations •• Register Register all all Oracle Oracle IDs IDs •• Register Register any any custom custom applications applications •• Register Register any any applications applications that that reside reside in in databases databases different different from from the the Alert Alert database database
29-15
Copyright Oracle Corporation, 1998. All rights reserved.
E-Mail E-Mail Implementation Implementation Considerations Considerations •• E-mail E-mail accessible accessible by by Alert Alert •• Oracle Oracle InterOffice InterOffice •• Gateways Gateways •• SQL*Net SQL*Net
29-16
Copyright Oracle Corporation, 1998. All rights reserved.
Event Event Alert Alert Implementation Implementation Considerations Considerations •• Concurrent Concurrent Manager Manager for for Check Check Event Event Alert Alert •• Concurrent Concurrent Managers Managers for for ••
29-17
running running other other programs programs Using Using efficient efficient coding coding methods methods
Copyright Oracle Corporation, 1998. All rights reserved.
Response Response Processing Processing Implementation Implementation Considerations Considerations •• Response Response text text •• Returned Returned message message header header
29-18
Copyright Oracle Corporation, 1998. All rights reserved.
Periodic Periodic Alerts Alerts Implementation Implementation Considerations Considerations •• Runs Runs automatically automatically •• Keep Keep active active
29-19
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• ••
An An event event alert alert notifies notifies you you of of activity activity in in your your database database as as soon soon as as itit occurs. occurs. A A periodic periodic alert alert checks checks the the database database for for information information according according to to aa schedule schedule that that you you define. define. An An action action can can send send e-mail e-mail and, and, run run aa concurrent concurrent program, program, SQL SQL Statement Statement script, script, or or operating operating system system script. script.
29-20
Copyright Oracle Corporation, 1998. All rights reserved.
30 Common Common Modules Modules Flexfields Flexfields
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to do do the the following: following: •• Identify Identify the the differences differences between between aa key key flexfield flexfield and and aa descriptive descriptive flexfield flexfield •• Identify Identify design design issues issues when when creating creating key key and and descriptive descriptive flexfields flexfields
30-2
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview •• •• •• •• •• •• ••
30-3
Flexfields Flexfields review review Two Two types types of of flexfields flexfields Standard Standard Request Request Submission Submission and and flexfields flexfields Flexfield Flexfield benefits benefits Storing Storing flexfield flexfield values values internally internally Developing Developing aa flexfield flexfield Implementing Implementing aa flexfield flexfield
Copyright Oracle Corporation, 1998. All rights reserved.
Flexfield Flexfield Concepts Concepts Review Review •• •• •• ••
30-4
Why Why would would you you use use flexfields? flexfields? What What is is aa flexfield flexfield composed composed of? of? What What is is aa value value set set and and why why is is itit used? used? What What are are the the two two types types of of flexfields flexfields and and how how are are they they used? used?
Copyright Oracle Corporation, 1998. All rights reserved.
Key Key Flexfields Flexfields __ Sales Information ______________________ Transaction 3987
Standard window
Payment Type
Customer Jane Doe Item COM-876-LTN
[]
Description Computer - Monitor - Light Tan Key flexfield window
30-5
__ Item Information _______________ COM
Computer
Item
876
Monitor
Color
LTN
Light tan
Copyright Oracle Corporation, 1998. All rights reserved.
Creating Creating Intelligent Intelligent Keys Keys Using Using Key Key Flexfields Flexfields Business A
Business B
_____Account Entry __
_____Account Entry __
10
Corporation
203
Subsidiary Division
3003
Department
025
Account
203
30-6
Company Division
21 42
Department
502
Account
015
Copyright Oracle Corporation, 1998. All rights reserved.
Intelligent Intelligent Keys Keys
30-7
Asset number
Account number
Serial number
Job grade
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Applications: Applications: Key Key Flexfields Flexfields Oracle Assets
Oracle General Ledger
Oracle Inventory
30-8
Asset Category Location
Accounting
Account aliases Item catalogs Item categories Sales orders Stock locators System items
Oracle Payroll
Bank details Cost allocation People group
Oracle Sales Tax Location Receivables Territory
Oracle Human Resources
Grade Job Personal analysis Position Soft coded
Copyright Oracle Corporation, 1998. All rights reserved.
Descriptive Descriptive Flexfields Flexfields __ Sale Information ________________________ Transaction
3987
Payment Type
CC
Customer Jane Doe Item COM-876-LTN Description Computer - Monitor - Light Tan
CK Payment Type Store 54321 Dept 987 Number 1028 Second ID MC 4565-3939 30-9
[]
Payment Type CC Store 54321 Dept 987 Number 4958-2938-4747 Exp. Dt 12 - 99
Copyright Oracle Corporation, 1998. All rights reserved.
Using Using Reference Reference Fields Fields __ Sale Information ________________________ Transaction
3987
Payment Type
Reference
CC
field
Customer Jane Doe Item COM-876-LTN Description Computer - Monitor - Light Tan
CK Payment Type Store 54321 Dept 987 Number 1028 Second ID MC 4565-3939 30-10
[]
Payment Type CC Store 54321 Dept 987 Number 4958-2938-4747 Exp. Dt 12 - 99
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Applications: Applications: Descriptive Descriptive Flexfields Flexfields (Partial (Partial List) List) Oracle Assets
Oracle General Ledger
Oracle Bills of Material
Bonus Rates Calendar Types Price Indexes
Daily Rates
Activity Information Item Cost Information Shift Time Information
30-11
Oracle Payables
Bank Branch Payment Terms Site Address
Oracle Credit History Receivables Information
Oracle Work in Progress
Employee Labor Rate Shop Floor Status WIP Parameters
Copyright Oracle Corporation, 1998. All rights reserved.
Benefits Benefits of of Flexfields Flexfields Using Using flexfields flexfields you you can can do do the the following: following: •• Customize Customize applications applications to to support support your your own own accounting, accounting, product, product, and and other other codes codes •• Construct Construct intelligent intelligent keys keys
•• •• ••
30-12
Customize Customize applications applications to to capture capture additional additional data data Use Use the the application application to to validate validate values values and and value value combinations combinations entered entered by by the the user user Support Support multiple multiple field field structures structures depending depending on on data data context context
Copyright Oracle Corporation, 1998. All rights reserved.
Storing Storing Flexfield Flexfield Data Data Internally Internally
Key flexfield
... Segment1
Segment2 ...
Descriptive flexfield
... Attribute1 Attribute2 ...
Oracle applications base tables 30-13
Copyright Oracle Corporation, 1998. All rights reserved.
Flexfield Flexfield Development Development There There are are four four steps steps in in developing developing aa flexfield: flexfield: 1. 1. 2. 2.
Design Design flexfield flexfield into into the the application application table. table. Paint Paint necessary necessary fields fields onto onto the the form. form.
3. 3. Call Call routines. routines. 4. 4. Define Define the the new new flexfield. flexfield.
30-14
Copyright Oracle Corporation, 1998. All rights reserved.
Create Create Segment Segment Columns Columns Oracle applications base table ...
Attribute1 Attribute2
Attribute3 ...
Structure defining column Code combination ID
30-15
Copyright Oracle Corporation, 1998. All rights reserved.
Create Create New New Form Form
New segment fields
30-16
New flexfield form
Copyright Oracle Corporation, 1998. All rights reserved.
Add Add Processing Processing Code Code Standard Oracle applications window
New flexfield window
30-17
Copyright Oracle Corporation, 1998. All rights reserved.
Implement Implement the the Flexfield Flexfield Register the flexfield for use
Application Object Library
Plan the flexfield segments and structures
Define the actual flexfield
30-18
Copyright Oracle Corporation, 1998. All rights reserved.
Steps Steps in in Implementing Implementing aa Flexfield Flexfield 1. 1. 2. 2.
Plan Plan Define Define value value sets sets
3. 3. Define Define flexfield flexfield segments segments and and structures structures 4. 4. Define Define values values 5. 5. Define Define security security and and cross-validation cross-validation rules rules ifif necessary necessary
30-19
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• ••
Flexfields Flexfields are are customizable customizable fields. fields. The The user user defines defines the the content content and and structure structure of of aa flexfield flexfield window. window. Key Key flexfields flexfields create create entity entity identifiers identifiers required required by by Oracle Oracle applications. applications. Descriptive Descriptive flexfields flexfields gather gather additional additional information information required required by by the the business business environment. environment.
30-20
Copyright Oracle Corporation, 1998. All rights reserved.
31 Common Common Modules Modules Oracle Oracle Applications Applications System System Administration Administration
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the types types of of tasks tasks that that the the system system administrator administrator must must perform perform when when implementing implementing Oracle Oracle applications. applications.
31-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• •• •• ••
31-3
System System Administration Administration Functions Functions Application Application Security Security Menus Menus Responsibilities Responsibilities Concurrent Concurrent Processing Processing Profile Profile Options Options
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration
Define applications access and privileges
Balance online and concurrent processing
31-4
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration
Define application defaults and user profiles (Default printer)
Register hardware and software
31-5
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration Create document sequences
(5001)
31-6
(5002)
(5003)
Copyright Oracle Corporation, 1998. All rights reserved.
Supporting Supporting End-User End-User Needs Needs System administrator functions and user concerns
Application security Why can’t I get to this menu option? What reports can I run?
Profiles Why does my print look like this?
31-7
Workload balancing Why is this query taking so long?
Copyright Oracle Corporation, 1998. All rights reserved.
Supporting Supporting End-User End-User Needs Needs System administrator functions and user concerns
Document sequences How can I track all my transactions?
Registration Can I use the new laser printer?
31-8
Copyright Oracle Corporation, 1998. All rights reserved.
Database Database Administrator Administrator Versus Versus System System Administrator Administrator Database Administrator
31-9
System Administrator
Copyright Oracle Corporation, 1998. All rights reserved.
Overview Overview of of Managing Managing Application Application Security Security Oracle application
Windows
Reports User
31-10
Responsibility
Copyright Oracle Corporation, 1998. All rights reserved.
Using Using Responsibilities Responsibilities Using predefined responsibility
Using custom responsibility Define or modify data group
Define or modify menu 1 Define or modify responsibility
Define application user
31-11
1
Define or modify request group
2
Exclude functions and menus
3
Define application user
4
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining aa New New Application Application User User
31-12
1
Enter user information
2
Require password change Limit access attempts
3
Enter user’s start and end dates
4
Assign one or more responsibilities
Copyright Oracle Corporation, 1998. All rights reserved.
Components Components
Data group
Request security group
Menu
Exclusions
31-13
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining and and Implementing Implementing aa Responsibility Responsibility Users form
Data groups form
Security User Define
Security Oracle DataGroup
Responsibilities form Security Responsibility Define
Request groups form Security Responsibility Requests
31-14
Copyright Oracle Corporation, 1998. All rights reserved.
Menus form Application menu
Defining Defining aa Data Data Group Group
1
Define Oracle ID (DBA task)
2
Enter name for new data group
3
Model new data group from existing data group
4
Associate application with appropriate Oracle ID
5
Select tool Oracle ID for application— Oracle ID* * Mostly for non-GUI applications
31-15
Copyright Oracle Corporation, 1998. All rights reserved.
Data Data Groups Groups
A data group is a collection of pairings of an application with an Oracle ID Responsibility XYZ Data Group Can appear only once
31-16
GL
Oracle ID-A
AP1
Oracle ID-A
AR1
Oracle ID-A
CUS
Oracle ID-A
Copyright Oracle Corporation, 1998. All rights reserved.
Can appear multiple times, but only once with each application
Relating Relating Data Data Groups Groups to to Forms Forms and and Programs Programs
Responsibility XYZ
Server
Data Group Form GL
Oracle ID-A
AP1
Oracle ID-A
AR1
Oracle ID-A
CUS
Oracle ID-A
Program 31-17
Copyright Oracle Corporation, 1998. All rights reserved.
Database table
Function Function Security Security Menu Level 1 Function Menu Level 2 Function Function Menu Level 3 Subfunction Subfunction Function Menu Level 2 Subfunction Menu Level 2 Function Function
31-18
Function: a set of executable code available as a menu option
Subfunction: a subset of a form’s functionality
Copyright Oracle Corporation, 1998. All rights reserved.
Menu Menu Displays Displays Using Using Navigator Navigator What is built into the menu? Menu Level 1 Function Menu Level 2 Function Function Menu Level 3 Subfunction Subfunction Function Menu Level 2 Subfunction Menu Level 2 Function Function 31-19
Menu Level 1 Function Menu Level 2 Function Function Function Menu Level 2 Function Function What is seen in Navigator?
Copyright Oracle Corporation, 1998. All rights reserved.
Excluding Excluding Functions Functions and and Menus Menus Menu Level 1 Function-A Menu Level 2 Function-B Function-C Menu Level 3 Function-A Function-D Function-E Menu Level 2 Function-D Menu Level 2 Function-F Function-G Function-H
31-20
Excluding a function affects the function regardless of level.
Excluding a menu excludes all its child functions.
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining aa New New Responsibility Responsibility
31-21
1
Enter application and responsibility name
2
Enter start and end dates
3
Select data group
4
Select menu
5
Select request group
6
Enter menu/function exclusions
Copyright Oracle Corporation, 1998. All rights reserved.
Windows Windows for for Defining Defining and and Implementing Implementing aa Responsibility Responsibility Users window
Data groups window Security Oracle DataGroup
Responsibilities window Security Responsibility Define
Request groups window Security Responsibility Requests
31-22
Copyright Oracle Corporation, 1998. All rights reserved.
Security User Define
Menus window Application menu
Defining Defining an an Application Application •• •• ••
Name Name the the application application Specify Specify aa basepath basepath to to locate locate application application components components Assign Assign aa message message prefix prefix for for application application error error messages messages
31-23
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining aa New New Menu Menu Structure Structure 1
Identify menu needs
2
Print a function security report for similar, existing menus
3
Plan— sketch the menu structure
4 5
Build the menu from bottom to top
6
Print a function security report set to document the new menu
7
31-24
Start with a blank menu form
Assign to the responsibility
Copyright Oracle Corporation, 1998. All rights reserved.
Identifying Identifying Existing Existing Menu Menu Structures Structures Function Security Report Set
Function Security Navigator Report
Function Security Menu Report Function Security Function Report
31-25
Copyright Oracle Corporation, 1998. All rights reserved.
Rules Rules for for Menu Menu Design Design •• •• •• ••
Design Design prompts prompts with with unique unique first first letters. letters. Sequence Sequence the the prompts prompts with with the the most most frequently frequently used used functions functions first. first. Entries Entries cannot cannot be be copied copied from from one one menu menu definition definition to to another. another. Use Use acronyms acronyms only only when when an an industry industry term term or or company company word word is is so so capitalized— capitalized— for for example, example, WIP WIP or or COGS. COGS.
31-26
Copyright Oracle Corporation, 1998. All rights reserved.
Modifying Modifying an an Existing Existing Menu Menu Definition Definition •• •• •• •• ••
Menus Menus are are called called by by their their user user menu menu name. name. Any Any change change to to aa user user menu menu name name takes takes effect effect immediately. immediately. Any Any existing existing menus menus that that call call the the modified modified menu menu use use the the new new name. name. The The previous previous name name no no longer longer appears. appears. Any Any menu menu entry entry modifications modifications take take effect effect immediately. immediately.
31-27
Copyright Oracle Corporation, 1998. All rights reserved.
Creating Creating aa Menu Menu
Menu definition 3
Menu definition 2
Menu definition 1
31-28
Copyright Oracle Corporation, 1998. All rights reserved.
Concurrent Concurrent Requests, Requests, Programs, Programs, and and Managers Managers
Request Table
User submits request to run program abc
Run program ... Run program ... Run program ... Run program abc Run program ...
Concurrent Manager
Concurrent Manager starts program abc 31-29
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administrator Administrator Monitoring Monitoring Privileges Privileges •• •• •• •• ••
Place Place any any pending pending request request on on hold hold Take Take any any request request off off hold hold Terminate Terminate any any request request Change Change the the priority priority of of aa request request View View the the log log file file and and the the manager manager log log file file
31-30
Copyright Oracle Corporation, 1998. All rights reserved.
Defining Defining Managers Managers and and Their Their Work Work Shifts Shifts Defining Workshifts
31-31
Segregating Requests
Shift 1
Manager A
Manager A
ALL
Shift 2
Manager A
Manager B
ALL
Shift 3
Manager B
Manager C
CUST
Copyright Oracle Corporation, 1998. All rights reserved.
Balancing Balancing Process Process Workload Workload Over Over Time Time 12 AM 00:00
6 AM 06:00
12 PM 12:00
Day work shift 3 processes
Night work shift 6 processes
Graveyard work shift 6 processes 31-32
Copyright Oracle Corporation, 1998. All rights reserved.
6 PM 18:00
11:59 23:59
Activating Activating and and Deactivating Deactivating Concurrent Concurrent Managers Managers
Internal Concurrent Manager
Concurrent manager
31-33
Administer Concurrent Managers
Concurrent manager
Copyright Oracle Corporation, 1998. All rights reserved.
Managing Managing Parallel Parallel Concurrent Concurrent Processing Processing
Node
Node
Database
Client Node
31-34
Node
Copyright Oracle Corporation, 1998. All rights reserved.
Cluster Cluster Environment Environment Cluster server
Node 1
Node 3
Node 2
Node 4
Database on node 1
Client 31-35
Copyright Oracle Corporation, 1998. All rights reserved.
Massively Massively Parallel Parallel Environment Environment Massively parallel computer server
Database on node 1
Node 1
Node 3
Node 2
Node 4
Client
31-36
Copyright Oracle Corporation, 1998. All rights reserved.
Homogeneous Homogeneous Networked Networked Environment Environment Client
Homogeneous network server
Database on node 1
Node 1
Node 3
Node 2
Node 4
2 Node
3 Node
Client
31-37
Copyright Oracle Corporation, 1998. All rights reserved.
Parallel Parallel Concurrent Concurrent Processing Processing and and Oracle Oracle Parallel Parallel Server Server Oracle Database files
Oracle Database instance Concurrent Manager
Concurrent Manager
Node 1
Node 3
Oracle Database instance
Internal monitor
SQL*Net
Local disk
Concurrent Manager
High-speed bus Node 2 31-38
SQL*Net
Internal Concurrent Manager
Node 4
Copyright Oracle Corporation, 1998. All rights reserved.
Local disk
Primary Primary and and Secondary Secondary Nodes Nodes
Primary Node
Concurrent manager
31-39
Secondary Node
Concurrent manager
Copyright Oracle Corporation, 1998. All rights reserved.
Internal Internal Monitor Monitor Processes Processes Concurrent Manager Internal Concurrent Manager
31-40
Concurrent Manager
Concurrent Manager
Concurrent Manager
Internal Monitor Process
Copyright Oracle Corporation, 1998. All rights reserved.
Viewing Viewing Log Log Files Files Concurrent Manager
Log/output files
Internal Concurrent Manager
31-41
Concurrent Manager
Concurrent Manager
Concurrent Manager
Internal Monitor Process
Copyright Oracle Corporation, 1998. All rights reserved.
Parallel Parallel Concurrent Concurrent Managers Managers •• ••
••
Define Define parallel parallel concurrent concurrent managers managers to to specify specify the the node, node, queue queue management management system, system, and and other other parallel parallel processing processing information information Control Control parallel parallel concurrent concurrent managers managers with with these these functions: functions: –– Start Start up up –– Shut Shut down down –– Migrate Migrate –– Monitor Monitor Activate Activate and and deactivate deactivate parallel parallel concurrent concurrent managers managers by by issuing issuing commands commands at at the the operating operating system system level level
31-42
Copyright Oracle Corporation, 1998. All rights reserved.
Profile Profile Hierarchy Hierarchy Levels Levels
User level Responsibility level Application level Site level
31-43
Copyright Oracle Corporation, 1998. All rights reserved.
User User Profiles Profiles •• •• ••
User User profiles profiles are are changeable changeable options options that that affect affect the the way way your your application application runs. runs. They They become become active active when when you you log log on on or or change change responsibilities. responsibilities. Alter Alter these these options options to to change change the the behavior behavior of of your your application application to to suit suit your your preference. preference.
31-44
Copyright Oracle Corporation, 1998. All rights reserved.
The The Hierarchy Hierarchy in in Action Action
Site-level printer
User-level printer
Boston New York
31-45
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• ••
A A system system administrator administrator defines defines new new users users and and assigns assigns responsibilities responsibilities to to them. them. Responsibilities Responsibilities are are composed composed of of data data groups groups and and menus menus that that define define the the menus menus and and programs programs to to which which you you have have access. access. You You can can manage manage concurrent concurrent processing processing by by defining defining managers managers and and work work shifts shifts and and reviewing reviewing requests requests and and log log files. files. You You can can control control the the default default behavior behavior and and appearance appearance of of applications applications by by changing changing profile profile values. values.
31-46
Copyright Oracle Corporation, 1998. All rights reserved.
32 Common Common Modules Modules Extending Extending the the Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this lesson, lesson, you you should should be be able able to to describe describe the the features features and and approaches approaches that that can can be be used used to to extend extend Oracle Oracle applications. applications.
32-2
Copyright Oracle Corporation, 1998. All rights reserved.
Topics Topics •• •• •• •• •• •• ••
32-3
Extending Extending Oracle Oracle Applications Applications The The Standard Standard Development Development Environment Environment Overview Overview of of Coding Coding Standards Standards Libraries Libraries Performance Performance Coding Coding for for Web Web and and NCA NCA Compatibility Compatibility Overview Overview of of Building Building an an Application Application
Copyright Oracle Corporation, 1998. All rights reserved.
Meeting Meeting Business Business Needs Needs __ Item Information ________ Computer Category COM Item
876
Monitor
Color
LTN
Light tan
Flexfields
Folders
Alert! Profiles
QuickCodes
32-4
Responsibilities
Copyright Oracle Corporation, 1998. All rights reserved.
CUSTOM CUSTOM Library Library and and Extensions Extensions
Extension
CUSTOM library
32-5
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Applications Applications
32-6
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Applications Applications User User Interface Interface Standards Standards
Oracle applications User interface standards
32-7
Copyright Oracle Corporation, 1998. All rights reserved.
Coding Coding Principles Principles •• •• •• •• ••
32-8
Code Code must must be be readable readable to to be be maintained. maintained. Tools Tools such such as as Oracle Oracle Forms Forms and and PL/SQL PL/SQL are are used used whenever whenever possible possible (avoid (avoid complex complex user user exits exits using using other other coding coding languages). languages). Fast Fast performance performance on on aa wide wide area area network network (WAN) (WAN) is is critical. critical. Platform-specific Platform-specific code code should should be be avoided avoided except except where where absolutely absolutely necessary. necessary. Reusable Reusable objects objects should should be be employed employed wherever wherever possible. possible.
Copyright Oracle Corporation, 1998. All rights reserved.
Reusable Reusable Code Code in in Libraries Libraries
32-9
Copyright Oracle Corporation, 1998. All rights reserved.
Performance Performance Is Is Critical Critical
32-10
Copyright Oracle Corporation, 1998. All rights reserved.
Deployment Deployment on on the the Web Web
32-11
Copyright Oracle Corporation, 1998. All rights reserved.
Reusable Reusable Objects Objects
32-12
Copyright Oracle Corporation, 1998. All rights reserved.
Design Design Issues Issues to to Consider Consider •• •• •• •• •• •• •• •• •• •• ••
Flexfields Flexfields User User profiles profiles Multiple Multiple organizations organizations Oracle Oracle Workflow Workflow integration integration Multiple Multiple platform platform support support National National language language support support Flexible Flexible date date formats formats Multiple Multiple currency currency support support Year Year 2000 2000 support support CUSTOM CUSTOM library library support support Object Object naming naming standards standards
32-13
Copyright Oracle Corporation, 1998. All rights reserved.
Summary Summary •• •• •• ••
Use Use existing existing features, features, such such as as flexfields flexfields and and alerts, alerts, whenever whenever possible. possible. The The Oracle Oracle Applications Applications User User Interface Interface Standards Standards manual manual describes describes the the standards standards that that you you can can use use to to develop develop custom custom application application code. code. Libraries Libraries allow allow code code to to be be written written once once and and used used by by multiple multiple forms. forms. Coding Coding principles principles should should be be strictly strictly observed. observed.
32-14
Copyright Oracle Corporation, 1998. All rights reserved.
33 Common Common Modules Modules Unit Unit IV IV Summary Summary
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives After After completing completing this this unit, unit, you you should should be be able able to to describe describe the the features features and and characteristics characteristics of of Oracle’ Oracle’ss common common modules modules in in relation relation to to implementing implementing Oracle Oracle financial financial applications. applications.
33-2
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Modules Modules Topics Topics •• •• •• •• ••
33-3
Oracle Oracle Workflow Workflow Flexfields Flexfields Oracle Oracle Alert Alert Oracle Oracle Applications Applications System System Administration Administration Extending Extending the the Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Software Software Modules Modules Oracle Workflow is a workflow management system to automatically process and route information of any type, according to business rules that you can change, to any person inside or outside of your enterprise. Oracle Alert is an automated exception management and reporting tool that keeps you aware of critical activity in your database and is used to automate steps in your business processes.
33-4
Copyright Oracle Corporation, 1998. All rights reserved.
Flexfield Flexfield Concepts Concepts Review Review •• •• •• ••
33-5
Why Why would would you you use use flexfields? flexfields? What What is is aa flexfield flexfield composed composed of? of? What What is is aa value value set set and and why why is is itit used? used? What What are are the the two two types types of of flexfields flexfields and and how how are are they they used? used?
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration
Define applications access and privileges
Balance online and concurrent processing
33-6
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration
Define application defaults and user profiles (Default printer)
Register hardware and software
33-7
Copyright Oracle Corporation, 1998. All rights reserved.
System System Administration Administration Create document sequences
(5001)
33-8
(5002)
(5003)
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Applications Applications User User Interface Interface Standards Standards
Oracle applications User interface standards
33-9
Copyright Oracle Corporation, 1998. All rights reserved.
34 Implementing Implementing the the Primary Primary Oracle Oracle Financial Financial Applications Applications Release Release 11 11 Course Course Summary Summary
Copyright Oracle Corporation, 1998. All rights reserved.
Objectives Objectives This This course course covered covered the the following following topics: topics: •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when implementing implementing Enterprise Enterprise Management Management applications applications •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Purchase Purchase to to Pay Pay applications applications •• Determine Determine the the appropriate appropriate system system setup setup options options and and implementation implementation considerations considerations when when planning planning to to implement implement Order Order to to Cash Cash applications applications •• Describe Describe the the features features and and characteristics characteristics of of Oracle’ Oracle’ss common common modules modules in in relation relation to to implementing implementing financial financial applications applications 34-2
Copyright Oracle Corporation, 1998. All rights reserved.
How How Do Do You You Plan Plan for for the the Implementation Implementation of of the the Primary Primary Financial Financial Applications? Applications? •• •• •• •• ••
34-3
What What are are the the core core financial financial applications applications that that you you need need to to manage manage your your enterprise? enterprise? How How do do you you implement implement the the flow flow of of information information from from the the purchase purchase of of business business properties properties to to the the payment payment and and tracking tracking of of them? them? How How do do you you identify identify issues issues in in the the entry entry of of customer customer orders orders and and the the receipt receipt of of payments? payments? What What other other Oracle Oracle features features and and products products would would help help you you to to implement implement and and manage manage your your business business and and applications? applications? How How do do you you plan plan to to integrate integrate legacy legacy system system information, information, and and will will you you need need to to extend extend applications? applications? Copyright Oracle Corporation, 1998. All rights reserved.
Implementation Implementation Overview Overview
Setup applications
Wizard 34-4
Processes and organized setup steps
Copyright Oracle Corporation, 1998. All rights reserved.
Perform Perform Common Common Tasks Tasks First First •• •• ••
34-5
Common Common applications applications Common Common process process of of product product family family Products Products
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Oracle Oracle Applications Applications Features Features •• •• •• ••
34-6
Use Use of of folders folders Flexfields Flexfields QuickCodes QuickCodes Multiple Multiple Organization Organization Support Support
Copyright Oracle Corporation, 1998. All rights reserved.
Enterprise Enterprise Management Management •• •• •• •• •• •• ••
34-7
Overview Overview of of Oracle Oracle General General Ledger Ledger Common Common Financials Financials Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle General General Ledger Ledger Overview Overview of of Oracle Oracle Assets Assets Setup Setup Steps Steps Unique Unique to to Oracle Oracle Assets Assets Integration Integration with with Other Other Oracle Oracle Applications Applications Reporting Reporting Options Options
Copyright Oracle Corporation, 1998. All rights reserved.
Purchase Purchase to to Pay Pay •• •• •• •• •• •• ••
34-8
Overview Overview of of Oracle Oracle Purchasing Purchasing Overview Overview of of Oracle Oracle Payables Payables Integration Integration Between Between Oracle Oracle Purchasing Purchasing and and Oracle Oracle Payables Payables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Purchasing Purchasing Setup Setup Steps Steps Unique Unique to to Oracle Oracle Payables Payables Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Order Order to to Cash Cash •• •• •• •• •• •• •• •• 34-9
Overview Overview of of Oracle Oracle Order Order Entry/Shipping Entry/Shipping Overview Overview of of Oracle Oracle Receivables Receivables Overview Overview of of Oracle Oracle Cash Cash Management Management Integration Integration Between Between Oracle Oracle Order Order Entry Entry and and Oracle Oracle Receivables Receivables Common Common Setup Setup Steps Steps Setup Setup Steps Steps Unique Unique to to Oracle Oracle Order Order Entry Entry Setup Setup Steps Steps Unique Unique to to Oracle Oracle Receivables Receivables Integration Integration with with Other Other Oracle Oracle Applications Applications
Copyright Oracle Corporation, 1998. All rights reserved.
Common Common Modules Modules •• •• •• •• ••
Oracle Oracle Workflow Workflow Oracle Oracle Flexfields Flexfields Oracle Oracle Alert Alert Oracle Oracle Applications Applications System System Administration Administration Extending Extending the the Oracle Oracle Applications Applications
34-10
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Cash Cash Management Management •• •• •• •• •• •• ••
Bank Bank statements statements Cash Cash forecasting forecasting Matching Matching bank bank statement statement lines lines with with transactions transactions Multicurrency Multicurrency handling handling Oracle Oracle Payables Payables reconciliation reconciliation accounting accounting Oracle Oracle Receivables Receivables reconciliation reconciliation accounting accounting Using Using Cash Cash Management Management with with automatic automatic clearing clearing
34-11
Copyright Oracle Corporation, 1998. All rights reserved.
About Multiple Organization Support A server-side enhancement that affects Oracle applications Database server
34-12
Applications server
Copyright Oracle Corporation, 1998. All rights reserved.
User community
A Implementing Implementing the the Primary Primary Oracle Oracle Financial Financial Applications Applications Appendix Appendix A: A: Cash Cash Management Management
Copyright Oracle Corporation, 1998. All rights reserved.
Oracle Oracle Cash Cash Management Management •• •• •• •• •• •• ••
A-2
Bank Bank statements statements Cash Cash forecasting forecasting Matching Matching bank bank statement statement lines lines with with transactions transactions Multicurrency Multicurrency handling handling Oracle Oracle Payables Payables reconciliation reconciliation accounting accounting Oracle Oracle Receivables Receivables reconciliation reconciliation accounting accounting Using Using Cash Cash Management Management with with automatic automatic clearing clearing
Copyright Oracle Corporation, 1998. All rights reserved.
Bank Bank Reconciliation Reconciliation •• •• •• ••
A-3
Manually Manually or or automatically automatically reconcile reconcile open open interface interface transactions transactions Clear Clear or or unclear unclear open open interface interface transactions transactions Find Find open open interface interface transactions transactions that that are are available available for for reconciliation reconciliation Create Create reconciliation reconciliation accounting accounting entries entries for for posting posting to to GL GL
Copyright Oracle Corporation, 1998. All rights reserved.
Bank Bank Reconciliation Reconciliation Using Using Oracle Oracle Cash Cash Management Management Bank statement
Enter manually
Import magnetic tape
Disbursements
Cash Management Reconcile A-4
Reconciling journal entries
Copyright Oracle Corporation, 1998. All rights reserved.
Reconcile payments
Cash Cash Forecasting Forecasting Business Business Flow Flow Define cash forecast template Generate cash forecast
View cash forecast
Review cash forecast
Export forecast to Excel
$ Cash forecasts Revise cash forecast
Cash Forecast A-5
Copyright Oracle Corporation, 1998. All rights reserved.
Setup Setup Steps Steps Needed Needed •• •• ••
A-6
To To reconcile reconcile bank bank statements statements using using Cash Cash Management, Management, you you must must complete complete the the setup setup steps. steps. Setup Setup steps steps to to be be completed completed are are in in Oracle Oracle Payables Payables and and Oracle Oracle Receivables. Receivables. You You must must perform perform these these setup setup steps steps before before you you can can use use Cash Cash Management Management as as an an integrated integrated application. application.
Copyright Oracle Corporation, 1998. All rights reserved.
Cash Cash Management Management Integration Integration with with Payables Payables and and Receivables Receivables Cash Management
A-7
Accounts Payable
Accounts Receivables
Reconcile payments
Reconcile receipts
Copyright Oracle Corporation, 1998. All rights reserved.
B Implementing Implementing the the Primary Primary Oracle Oracle Financial Financial Applications Applications Appendix Appendix B: B: Multiple Multiple Organization Organization Support Support
Copyright Oracle Corporation, 1998. All rights reserved.
About Multiple Organization Support A server-side enhancement that affects Oracle applications Database server
B-2
Applications server
Copyright Oracle Corporation, 1998. All rights reserved.
User community
Architectural Model Comparison Without Multiple Organization Support
With Multiple Organization Support
Oracle General Ledger
AR1
AR2
Oracle Receivables
AR1 and AR2
Database Data AR1 B-3
Data AR2
AR Data
Copyright Oracle Corporation, 1998. All rights reserved.
A New Architectural Model •• •• •• ••
B-4
Serves Serves as as cornerstone cornerstone for for all all Oracle Oracle applications applications products products Specifies Specifies how how transactions transactions flow flow through through organizations organizations Defines Defines organizations organizations and and relationships relationships between between them them Provides Provides for for multiple multiple organizations organizations in in aa single single installation installation
Copyright Oracle Corporation, 1998. All rights reserved.
The Four Types of Organizations
• • • •
GL
Set of books
Balancing entities/funds
Legal entity Operating unit Inventory
Bal Seg 1 AP, AR, PO, OE
Bal Seg 2 Bal Seg 3
MFG, INV Ship
B-5
Copyright Oracle Corporation, 1998. All rights reserved.
Set Set of of Books Books •• •• •• ••
B-6
A A set set of of books books is is aa financial financial reporting reporting entity entity that that shares shares chart chart of of accounts, accounts, functional functional currency, currency, and and accounting accounting calendar calendar The The set-of-books set-of-books concept concept is is no no different different in in Multiple Multiple Organization Organization Support Support Sets Sets of of books books are are attached attached to to responsibilities responsibilities by by means means of of profile profile options. options. GL GL data data is is secured secured by by by by the the set set of of books. books.
Copyright Oracle Corporation, 1998. All rights reserved.
Legal Legal Entity Entity (LE) (LE) ••
•• ••
B-7
A A legal legal entity entity represents represents aa legal legal unit unit for for which which you you prepare prepare fiscal fiscal or or tax tax reports. reports. You You assign assign tax tax identifiers identifiers and and other other legal legal entity entity information information to to these these types types of of organizations. organizations. Each Each LE LE is is attached attached to to aa set set of of books. books. No No data data is is stored stored at at the the LE LE level. level.
Copyright Oracle Corporation, 1998. All rights reserved.
Operating Unit (OU) •
An operating unit is an organization that partitions data for: Order Entry Accounts Receivable Cash Management Oracle Projects Release Accounting Regional Localizations
• •
B-8
Accounts Payable Purchasing Sales & Marketing Sales Compensation Oracle Service
OUs are attached to a legal entity. All application transaction data is secured at the OU level. Copyright Oracle Corporation, 1998. All rights reserved.
Inventory Inventory Organization Organization (IO) (IO) ••
••
B-9
An An inventory inventory organization organization is is an an organization organization for for which which you you track track inventory inventory transactions transactions and and balances, balances, and/or and/or that that manufactures manufactures or or distributes distributes products. products. Examples: Examples: Manufacturing Manufacturing plants, plants, warehouses, warehouses, distribution distribution centers, centers, and and sales sales offices. offices. IOs IOs are are formally formally attached attached to to an an operating operating unit unit but but operate operate equally equally with with all all operating operating units units within within the the same same set set of of books. books.
Copyright Oracle Corporation, 1998. All rights reserved.
Data Data That That Is Is Secured Secured by by Inventory Inventory Organization Organization •• •• •• •• •• •• •• •• •• •• •• B-10
Inventory Inventory Bills Bills of of Material Material Engineering Engineering Work Work in in Progress Progress Master Master Scheduling/MRP Scheduling/MRP Capacity Capacity Supply Supply Chain Chain Planning Planning Costing Costing Purchasing Purchasing (Receiving (Receiving functionality) functionality) Service Service Quality Quality Copyright Oracle Corporation, 1998. All rights reserved.
How How Many Many Entities? Entities? •• •• •• ••
B-11
Are Are there there specific specific concerns concerns about about data data security? security? How How is is the the business business structured? structured? (Geographic (Geographic versus versus business business lines) lines) How How are are purchasing purchasing and and receiving receiving currently currently handled handled across across the the company? company? What What about about order order entry entry and and cash cash applications? applications?
Copyright Oracle Corporation, 1998. All rights reserved.
Vision Demo Database Corporate UK
M1: Seattle Mfg B-12
Operations US
Distribution SNG
Services US
Operations
Singapore
Services
Operations
Singapore
Services
D1: Singapore D.C.
VS: Vision Services
M2: Boston Mfg
S1:Chicago Subass’y
V1: Vision Operations
Copyright Oracle Corporation, 1998. All rights reserved.
Vision Vision Demonstration Demonstration of of Multiple Multiple Organization Organization Support Support for for Vision Vision Operations Operations This This is is the the set set of of books books intended intended for for most most Oracle Oracle training training classes. classes. This This set set of of books books most most closely closely resembles resembles the the VISION VISION environment. environment.
•• Currency: Currency: USD USD (United (United States States dollars) dollars) •• Structure: Structure: CO-DEPT-ACCT-SUB-PROD CO-DEPT-ACCT-SUB-PROD •• Products: Products: All All core core Financials, Financials, Manufacturing, Manufacturing, Distribution, Distribution, and and Web Web products products
B-13
Copyright Oracle Corporation, 1998. All rights reserved.
Multiple Multiple Organization Organization Support Support and and Vision Vision Demonstration Demonstration for for Vision Vision Distribution Distribution This set of books is designed only to be used to support the shipping side of the intercompany drop ship transaction. It is used in conjunction with Vision Operations where the order is entered.
• Currency: SNG (Singapore dollars) • Structure: CO-DEP-ACCT-SUB-PROD • Products: General Ledger, Order Entry, and Receivables
B-14
Copyright Oracle Corporation, 1998. All rights reserved.
Multiple Multiple Organization Organization Support Support and and Vision Vision Demonstration Demonstration for for Vision Vision Services Services Comprehensive transactional data has been created for all projects. All Financials modules have complete setup and supporting data and can be fully demonstrated in the Vision Services set of books.
• • •
Currency: USD (United States Dollar)
B-15
Copyright Oracle Corporation, 1998. All rights reserved.
Structure: CO-DEP-ACCT-PROD Products: Core Financials, Projects, Purchasing, Inventory, and Alert
Multiple Multiple Organization Organization Support Support Features Features •• •• ••
B-16
Data Data security security by by operating operating unit unit Global Global customer customer and and supplier supplier registries registries Automatic Automatic intercompany intercompany accounting accounting entries entries for for sales sales transactions transactions booked booked in in one one organization organization and and shipped shipped out out of of another another related related organization organization
Copyright Oracle Corporation, 1998. All rights reserved.
Security by Operating Unit Operations US
Distribution SNG
Operations
Singapore
Operations
M1: Seattle Mfg
B-17
M2: Boston Mfg
PO, AP OE, AR
S1:Chicago Subass’y
V1: Vision Operations
Singapore
D1: Singapore D.C.
Copyright Oracle Corporation, 1998. All rights reserved.
PO, AP OE, AR
Global Global Customer Customer and and Supplier Supplier Registries Registries •• ••
B-18
Define Define customers customers and and suppliers suppliers in in aa global global registry registry that that is is shared shared by by all all organizations organizations across across all all legal legal entities. entities. Manage Manage and and secure secure customer customer addresses addresses and and supplier supplier sites sites by by operating operating unit. unit.
Copyright Oracle Corporation, 1998. All rights reserved.
Global Global Registries Registries Operations US
Operations
Supplier: Grainger Address 1: New York, NY
Address 1: Lake Mary , FL
Address 2: Omaha, NE
Address 2: New York, NY
Address 3: Eugene, OR Note the separation of sites by OU
B-19
Copyright Oracle Corporation, 1998. All rights reserved.
Distribution SNG
Singapore
Selling and Shipping Products from Different Legal Entities Customer invoice
Customer
Sales order
Product shipment
B-20
Seattle sales office
Payment
Intercompany invoice
Singapore warehouse
Copyright Oracle Corporation, 1998. All rights reserved.
Intercompany Intercompany Sales Sales Invoicing Invoicing Features Features •• •• •• ••
B-21
Segregation Segregation of of trade trade cost cost of of goods goods sold sold (COGS) (COGS) and and intercompany intercompany COGS COGS Transfer Transfer pricing pricing established established through through ordinary ordinary price price lists lists Automatic Automatic intercompany intercompany sales sales recognition recognition Flexible Flexible architecture architecture
Copyright Oracle Corporation, 1998. All rights reserved.