OracleApps Epicenter

Do you know Oracle Fusion Financials Cloud Service is built with Oracle’s Application Development Framework (ADF) and provides four primary methods of integration with other applications:

• ADF Services (commonly referred to as Web Services)
• ADF Desktop Integration
• File Based Data Import
• Reporting Tools

ADF Services

A web service provides a standardized way of integrating two web-based applications.

A web service is a program that can be accessed remotely using different XML-based languages.

For example, abanking web service may implement functions to check an account, print a statement, and deposit and withdraw funds.

These functions are described in a web service description (WSDL) file that any consumer can invoke to access the banking web service.

As a result, a consumer does not have to know anything more about the web service than the WSDL file that describes what it can do. A web service consumer (such as a desktop application or other application) invokes the web service by submitting a request in the form of an XML document to the web service provider.

Above Figure 1 illustrates the architecture of ADF Services,

ADF Desktop Integration

ADF Desktop Integration (ADFdi) is also part of the ADF framework and enables desktop integration with MS Excel spreadsheets to manage large volume data uploads into Fusion Applications.

The integration provided with ADFdi includes interactivity that enables web picker to search for valid values, perform validation during data entry, display error messages, and immediately submit transactions directly from MS Excel.

Figure 2 illustrates the architecture of ADF Desktop Integration, which comprises of the following components:

• ADF Desktop Integration
• ADF Desktop Integration remote servlet
• ADF Model layer

File Based Data Import

File Based Data Import (FBDI) is another option for getting information into your Fusion Financials Applications. The process of using FBDI is quite simple: download an excel template that identifies all of the fields, populate the spreadsheet with data from the external system, save the file as a .csv file type, upload the file to the server, and run processes to transfer the data to the interface tables and import into the various applications. All of the data is validated during import to insure its integrity

Reporting Tools
Fusion Cloud Service uses four primary reporting tools which can be used to extract data and import into your external systems.

• BI Publisher delivers high volume transactional reports, can be configured to extract the data in Rich Text Format or XML.
• Oracle Transactional Business Intelligence provides the ability to build custom queries on transactional data, and the output can be downloaded to Excel.

You can get more detail from OER

In June 2014, Oracle unveiled Oracle Mobile Application Framework.

Oracle Mobile Application Framework is a hybrid mobile framework that enables developers to rapidly develop single-source applications and deploy to both Apple's iOS and Google's Android platforms.

Features include support for multiple integrated development environments, including Oracle JDeveloper and Eclipse (through Oracle Enterprise Pack for Eclipse); support for multiple development languages, support for Apache Cordova plug-ins; and support for applications developed under Oracle ADF Mobile.

Oracle recommends that new mobile application development be done with the new Oracle Mobile Application Framework. Some Key Highlights Includes:

• Build Once, Run on Multiple-Platforms
• Simpler UI development
• Java, JavaScript, and HTML5-based application development
• Choice of development tools
• Offline-capable: SQLite with Encryption
• Full Access to Native Device Features
• Modular, Reusable Components

Oracle MAF – Business Benefits

• Increase mobile development speed
• Eliminate mobile skills shortage – use existing skill sets
• Complete solu)on out of the box
• Extensible

Here is Oracle Mobile Application Framework Architecture [ Adopted from www.Oracle.com ]

Here is YouTube lesson, for More insights.

Additionl Note

• New Mobile Application Framework (MAF) DataSheet
• Oracle Mobile Application Framework
• Oracle Mobile Security.

The Adapter for Oracle Applications provides comprehensive, bi-directional, multi-modal, synchronous and asynchronous connectivity to the Oracle Applications. The Oracle Applications Adapter provides the necessary infrastructure to integrate Oracle Applications with the rest of your extended enterprise.

Oracle E-Business Suite Adapter(Fig 1) is based on a set of standards such as J2EE Connector Architecture (J2CA), Extensible Markup Language (XML), Web Service Invocation Framework (WSIF), Web Service Inspection Language (WSIL), and Web Service Definition Language (WSDL). The support for standards facilitates interoperability and eliminates vendor lock-in.

Please note that Adapter for Oracle Applications is also informally known as Oracle E-Business Suite Adapter.

Oracle E-Business Suite Adapter provides the following features:

• It leverages the Integration Repository to provide the information from the source of truth on integration.
• It supports the widest range of integration interface types. They are
  • PL/SQL APIs :Through database level APIs, tables,and views, users can produce or consume either synchronously or asynchronously to Oracle Applications
  • Business Events,
  • Open Interface Tables :Interface tables enable you to insert or update data into Oracle Applications
  • Concurrent Programs :Concurrent programs enable you to move data from interface tables to base tables or execute any application logic.
  • XML Gateway Interfaces :Oracle Applications provides several pre-seeded business object documents (BODs) that follow the Open Applications
    Group (OAG) standard. These out-of-the-box implementations of OAG BODs are tightly integrated with Oracle Applications ’s internal workflows and APIs
  • e-Commerce Gateway Interface :Oracle e-Commerce Gateway provides a common, standards-based approach for Electronic Data Interchange (EDI) integration between Oracle Applications and third party applications.
  • Interface Views :Interface views help you to retrieve data from Oracle Applications using the application tables
• It generates adapter metadata as WSDL files with JCA extension.
• It works under the securely configured connection between Oracle E-Business Suite and Oracle Fusion Middleware using just the FND User name and password for authentication.
• It leverages and supports Oracle User Management function security feature to allow only authorized users to access and execute APIs that they are exposed as Web services to update Oracle E-Business Suit applications.
• It implicitly takes care of applications context without bothering about the complexities of initiating the same explicitly.
• It supports multiple languages and multiple organization access control (MOAC) setup.
• It uses a JDeveloper based design-time tool for dynamically browsing the Oracle E-Business Suite application interfaces and configuring the adapter metadata. The design-time tasks are wizard driven, user-friendly, and intuitive providing superior user experiences.
• It provides the global transaction control support implementing two-phase commit by leveraging the underlying JCA standards compliant framework.
• It supports multiple versions of Oracle E-Business Suite from the same instance of Adapter at design time as well as run time.
• It provides flexfield support for PL/SQL APIs and Open Interface Tables so that flexfield information can be displayed at design time and run time.

Usage Note

Support for various versions of Oracle E-Business Suite has the following conditions:

• Adapter for Oracle Applications supports only those versions of Oracle E-Business Suite Release 11i which work with OWF.G.Rollup 7 applied.
• Adapter for Oracle Applications version 10.1.3.3 onwards supports Oracle E-Business Suite Release 12.0.
• To enable the native Oracle E-Business Suite connectivity using J2EE data sources feature, the minimum requirement for Oracle E-Business Suite Release 11i is 11i.ATG_PF.H.Delta.6 (RUP6) and for Oracle E-Business Suite Release 12 is Release 12.0.4.

Oracle Cloud Marketplace is an online store — a one-stop shop — selling hundreds of business apps and professional services that complement your existing Oracle Cloud implementation.

All apps and services on the marketplace are offered by approved, registered, and expert Oracle partners. Plus, Oracle has vetted, reviewed, and approved each product.

The Marketplace was launched at the Oracle OpenWorld 2013 event last September.

Oracle Cloud Marketplace is divided in two main areas:

1 ) Application : Marketplace applications extend standard functionality via add-on or plug-in software.Marketplace applications help customers achieve greater success in key business areas, including:

• Marketing and sales
• Customer service and support
• Finance and operations
• Social data and insight
• Talent Management and HR

2) Services : Services area allows customers consult with an expert about cloud-based technology for their businesses. Partners offer an assortment of services —consulting, implementation, integration, training— to help customers with their cloud needs.

All you need to know is how to get to the Oracle Cloud Marketplace website.Here’s the link

The Oracle Supplier Network (Oracle SN) in an online service managed by Oracle that provides electronic messaging services. It is open to all EBS , Fusion , Peoplesoft customers and their trading partners.

The Oracle Supplier Network (OSN) together with iSupplier Portal provide a complete supplier enablement portfolio - and helps achieve real-time integration generating important cloud spend management benefits such as cash conservation and lower costs-to-serve.

Oracle Supplier Network is part of Advanced Procurement suite and integrates seamlessly with other Oracle modules other modules including Purchasing and iProcurement.

The OSN includes quick on-boarding, a single connection point to a community of suppliers and the ability to automate routine paperwork associated with procure-to-pay business processes.

The Oracle Supplier Network also enables trading partners to track the delivery of all business documents with a Transaction Monitor for both test and production transactions.

The Oracle Supplier Network provides private, secure transaction management with trading partners of every size and level of sophistication.

Oracle Supplier Network Portal Lets You:

• Simplify Integration - Onramp trading partners quickly with features such as quick, web-based registration, company profile setup, and account maintenance capabilities.
• Minimize Integration Costs - Avoid cost of supporting individual connections, multiple protocols, and multiple standards.
• Track Performance - Track successful delivery of all message traffic. Deploy auto-retry capabilities for exceptions.
• Support Key Transactions - Support key procurement and payment transactions, including purchase orders, change orders, advance ship notices, and invoices.
• Simplify Support - Receive 24/7, award-winning technical support. Rely on infrastructure designed for resiliency, redundancy, and network security

The OSN includes quick on-boarding, a single connection point to a community of suppliers and the ability to automate routine paperwork associated with procure-to-pay business processes. The solution also eliminates the cost of maintaining point-to-point connections between customers and their suppliers.

The Supplier Network provides a set of services for the routing, translation and delivery of extensible markup language (XML)-based electronic commerce transactions, such as purchase orders, ship notices and invoices. Customers connect once to the Oracle Supplier Network, and the network automatically routes the procurement transactions to the supplier.

Already on the Oracle Supplier Network and available to customers is a pre-enabled community of suppliers including Corporate Express, HP, Kelly Services, OfficeMax and Staples. All Procurement customers and their suppliers can join the Oracle Supplier Network.

The supplier Network also enables members to track the delivery of all business documents with a Transaction Monitor for both test and production transactions. The Oracle Supplier Network provides private, secure transaction management with trading partners of every size and level of sophistication.

If you are buyer , or planning to use for your company/client

Currently OSN integrates out of the box only with E-Business Suite (11.5.10, R12.0, R12.1) and Peoplesoft 9.1 (to be made available in 2009) and Oracle Fusion Apps to use OSN to send POs and receive Invoices

REFERENCE

OSN Datasheet .

WHAT IS PUNCHOUT (also known as Supplier PunchOut)

Punchout provides the ability to link out from a procurement application (iproc ) to a vendor's eCommerce site to shop, place items into a cart, and return that cart to their own procurement application to continue purchasing within their designated workflow. The resulting purchase order is then sent back to the supplier for order fulfillment.

This is a mechanism by which buyers/requestors can navigate to suppliers website directly from iProcurement.

Punchouts are, typically, for expense items such as office supplies, but are often leveraged by maintenance and IT organizations.

WHAT ARE THE ADVANTAGES OF PUNCH OUT?

Some advantages are:

• The ability to cost effectively re-use suppliers existing transactional websites to provide custom content to individual buyers.
• The flexibility which allows suppliers to control product information to ensure real-time quality content, including price and availability.
• Punch out is a low-cost way to provide easily customised content for many buyers, leading to economies of scale, enhanced customer experience, and reduced customer support costs.
• Buyers no longer need to manage catalogue content.
• Punch out enables requisitioners to access supplier catalogues for products / services that reside within the supplier's website.
• Punch out eliminates the need for the supplier to send electronic catalogues to buying organisations.
• Punch out reduces buyer and supplier error.
• cXML is the most widely adopted Business to Business protocol today.

BASIC FLOW

More or less , these are user steps in punchout process irrespective of any model ( as discussed below) ;

1. The requester in iProcurement or buyer in Exchange clicks a link to the external catalog (punchout) site. Punchout links are available from the Shopping home and
   Search Results pages.
2. The punchout from application (iProcurement or Exchange) sends the login request to the catalog site.
3. The punchout to application (Exchange or the supplier site) authenticates the requester or buyer.
4. The punchout from application redirects the requester’s or buyer’s browser to the catalog site.
5. The requester or buyer browses or searches for items on the external catalog site and completes shopping on the site.
6. Via the requester’s or buyer’s browser, the punchout to application returns the shopping cart with the items to the punchout from application.
7. The requester or buyer completes the checkout process for the items in the shopping cart, and the punchout from application processes the order.

THE PUNCHOUT MODELS

The Punchout Models available are:

• Model 1: Punchout from Oracle iProcurement to Oracle Exchange (XML)
• Model 2a: Punchout from Oracle iProcurement Directly to Supplier-Hosted Catalog (XML)
• Model 2b: Punchout from Oracle iProcurement Directly to Supplier-Hosted Catalog(cXML)
• Model 3a : Punchout from Oracle Exchange to Supplier- Hosted Catalog (XML)
• Model 3b: Punchout from Oracle Exchange to Supplier- Hosted Catalog (cXML)
• Model 4: Punchout from Oracle iProcurement to Supplier- Hosted Catalog via Oracle Exchange (XML)
• Model 5: Punchout from Oracle iProcurement to Supplier- Hosted Catalog via Oracle Exchange (cXML)

Model 1: PUNCHOUT FROM ORACLE IPROCUREMENT TO ORACLE EXCHANGE (XML)

In model 1, the supplier loads catalog items directly to Oracle Exchange.

The catalog administrator then sets up Oracle iProcurement to use Oracle Exchange as the punchout hub.

How this works:

• When the user clicks on a punchout link to Oracle Exchange, Oracle Exchange authenticates the requester and returns a response.
• If the authentication is successful, the user is redirected to the Oracle Exchange site to search for and add items.
• When the requester finishes adding items to the Oracle Exchange shopping cart, Oracle Exchange returns these items to the requisition.
• The requester then submits the requisition.

The illustration below shows Model 1.

If you see above diagram , Oracle Exchange can be setup as an aggregator site, where requesters can have access to items from different suppliers.

In this model benefits for the suppliers include:

• Suppliers only need to load their catalog items once on Oracle Exchange and can reach many Oracle iProcurement customers in addition to the buyers already registered on Oracle Exchange.
• Suppliers can make use of the functionality offered by Oracle Exchange to control pricing.

MODEL 2A and 2B: PUNCHOUT FROM ORACLE iPROCUREMENT TO SUPPLIER HOSTED CATALOG (XML & CXML)

In models 2a and 2b, the supplier hosts the catalog at their own site or web store. The catalog administrator sets up a punchout catalog to use the supplier as a punchout site.

• When the requester clicks on a punchout link to the supplier site, the supplier authenticates the requester and returns a response.
• If the authentication is successful, Oracle iProcurement redirects the requester to the supplier site to search for and add items.
• When the requester completes adding items to the supplier shopping cart, the supplier site returns the shopping cart items to Oracle iProcurement.
• The requester then submits the requisition.

The illustration below shows Models 2a and 2b.

MODEL 3: PUNCHOUT FROM ORACLE iPROCUREMENT TO SUPPLIER HOSTED CATALOG THROUGH ORACLE EXCHANGE (XML)

In this model, the supplier hosts the catalog at their own site or web store.

1. When the user clicks on the punchout link, the requester is taken directly to the supplier site.
   • Although behind the scenes, the access is through Oracle Exchange. Using Oracle Exchange for the punchout simplifies the initial setup process and the authentication and maintenance of the punchout.
2. The supplier must set up a punchout from Oracle Exchange to their site.
   • To setup access to the supplier site through Oracle Exchange, the catalog administrator needs to download the supplier punchout definition from Oracle Exchange.
   • Downloading the supplier punchout definition seeds the punchout definition from Oracle iProcurement to the supplier site through Oracle Exchange, without requiring the catalog administrator to perform manual setup.
3. The requester clicks on the punchout link, Oracle Exchange authenticates the requester, and sends a punchout request to the supplier.
4. The supplier site then responds to Oracle Exchange, and in turn Oracle Exchange forwards the supplier site response to Oracle iProcurement .
   • If successful, the requester is redirected to the supplier site for shopping.
5. When the requester completes adding items to the supplier shopping cart, the supplier site returns the shopping cart items to the requisition. The requester then submits the requisition.

The illustration below shows Model 3.

MODEL 4: PUNCHOUT FROM ORACLE IPROCUREMENT TO SUPPLIER HOSTED CATALOG THROUGH ORACLE EXCHANGE (CXML)

In Model 4, the supplier hosts a cXML catalog at its own site or web store. Similar to Model 3, the requester accesses the supplier site (behind the scenes) through Oracle Exchange.

The supplier must set up a punchout from Oracle Exchange to its site, and the catalog administrator then downloads the supplier punchout definition from Oracle Exchange when setting up the punchout catalog.

• The requester clicks on the punchout link, Oracle Exchange then authenticates the requester, and sends a punchout request to the supplier.
• The supplier site then responds to Oracle Exchange, and in turn Oracle Exchange forwards the supplier site response to Oracle iProcurement .
  • If successful, the requester is redirected to the supplier site for shopping.
• When the requester completes adding items to the supplier shopping cart, the supplier site returns the shopping cart items to Oracle iProcurement .
• Oracle iProcurement then redirects the shopping cart to Oracle Exchange, where Oracle Exchange converts the shopping cart from cXML to XML and returns the items to Oracle iProcurement . The requester then submits the requisition.

The illustration below shows Model 4.

ANALYSIS OF PRESENT AND FUTURE STATE

Before developing a PunchOut, you need to perform an in-depth analysis of your current system and what is needed to support the "new" process. A few things to note:

Take some important note for the current state:

• Do you have an existing e-commerce site deployed?
• Does your site have XML integration enabled?
• Do you currently receive orders electronically through XML or EDI?
• How is integration performed with back-end systems?

For the future state:

• How will the process flow from time of shopping through order placement and fulfillment?
• Will you need to interface with multiple XML-based procurement applications?
• How should your concept of a "shopping cart" be modeled in requisition line items?
• Which model should be best for my company ?

Remember , There is no additional licensing that you need to purchase for using Punchout. Next post will be more focus on setup and troubleshooting.

Oracle offers a broad portfolio of products to help enterprises acquire, manage, and integrate big data with existing information, with the goal of achieving a complete view of business in the fastest, most reliable, and cost effective way .

Oracle's Big Data Appliance, and Oracle Big Data Connectors is one such solution and portfolio of products bundled together to provide an integrated solution. The good about Oracle Big Data Appliance comes with fact that the process of Acquire, Organize and Analyze work quite closely with their proven Oracle RDBMS technology and thus gives Enterprises flexibility to cover SQL and NoSQL (Key-Value store databases for unstructured, semi-structured data) within the horizon of their analytical needs.

The Oracle Big Data Appliance is an engineered system of hardware and software designed to help enterprises derive maximum value from their big data strategies. It combines optimized hardware with a comprehensive software stack featuring specialized solutions developed by Oracle to deliver a complete, easy-to-deploy offering for acquiring, organizing and analyzing big data, with enterprise-class performance, availability, supportability, and security.

The Oracle Big Data Appliance integrated software includes :

• Full distribution of Cloudera's Distribution including Apache Hadoop (CDH)
• Cloudera Manager to administer all aspects of Cloudera CDH
• Open source distribution of the statistical package R for analysis of unfiltered data on Oracle Big Data Appliance
• Oracle NoSQL Database Community Edition3
• And Oracle Enterprise Linux operating system and Oracle Java VM

The Oracle Big Data Appliance offers the following benefits:

• Rapid provisioning of a highly-available and scalable system for managing massive amounts of data
• A high-performance platform for acquiring, organizing, and analyzing big data in Hadoop and using R on raw-data sources
• Control of IT costs by pre-integrating all hardware and software components into a single big data solution that complements enterprise data warehouses

Oracle Big Data Connectors is an optimized software suite to help enterprises integrate data stored in Hadoop or Oracle NoSQL Databases with Oracle Database 11g. It enables very fast data movements between these two environments using Oracle Loader for Hadoop and Oracle Direct Connector for Hadoop Distributed File System (HDFS), while Oracle Data Integrator Application Adapter for Hadoop and Oracle R Connector for Hadoop provide non-Hadoop experts with easier access to HDFS data and MapReduce functionality.

Oracle Exalytics In-Memory Machine is purpose-built to deliver the fastest performance for business intelligence (BI) and planning applications. It is designed to provide real-time, speed-of-thought visual analysis, and enable new types of analytic applications so organizations can make decisions faster in the context of rapidly shifting business conditions, while broadening user adoption of BI though introduction of interactive visualization capabilities. Organizations can extend BI initiatives beyond reporting and dashboards to modeling, planning, forecasting, and predictive analytics.

These offerings, along with Oracle Exadata Database Machine and Oracle Database 11g, create a complete set of technologies for leveraging and integrating big data, and help enterprises quickly and efficiently turn information into insight.

More Information

Data sheets, white papers and other interesting information can be found here:

• Big Data OverView
• BigData Connector OverView
• Big Data Appliance OTN page
• Big Data Connectors OTN page

Oracle Fusion Applications Documentation Library for links to release notes, guides, licensing information,and more can be found here

You can use this page to learn about Oracle Fusion Applications . You can use the tabs to find user guides, implementation guides, and other documentation resources for each product family.

Other Documentation Links

• Oracle Fusion Applications Technology Library : You can use these library for technical guides such as install, patching,implementation, and extensibility. click here to get .
• Oracle Enterprise Repository : You will get technical information about integrating with other applications,including services, operations, composites, events, and integration tables. click here to get .
• Oracle Fusion Applications Documentation Info Center : To access this you need my Oracle support access. If you have valid access rights , you can get white papers, release notes, What's New and other resources.

One unique aspect of a global implementation is that multiple locations may use the same system at the same time.

What if , You need to implement Timezones for each Legal entity like US, UK, Singapore and China in your Global single Instance.

Business transactions need to be accounted for in the correct period, in particular for financial transactions such as invoicing, collections,
etc. In addition, global instances with locations in vastly different geographical regions need the ability to close each location at period end in their own time zone.Therefore , you need to have understanding for Time Zone Features in EBS R12.

Date Fields in Oracle E-Business Suite can be classified under these broad categories

Standard Oracle provides three Time Zone features that can be used:

• Doc ID 402650.1 -UPTZ User-Preferred Time Zone Support in Oracle E-Business Suite Release 12
• Doc ID 726851.1 -LETZ (Legal Entity Timezone)

“Big Data” is an emerging & continues to be the topic of much discussion and hype.There are some staunch believers of this and there are some who dismiss this as a bubble destined to subside. Companies such as facebook and amazon are already using this. Lets try to understand this whole thing.

WHY BIG DATA?

Take a look on statistics first for Big Data

Web Scale

• 50 billion web pages
• 800 million Facebook users
• 1000 million Facebook pages
• 200 million Twitter accounts
• 100 million tweets per day
• 5 billion Google queries per day
• Millions of servers, Petabytes of data

Varieties of Data

• Video / Audio
• Images / Pictures
• Diverse internal and external data

Sources of Data

• News / Feeds / Blogs / forums
• Groups / Polls / Chats / Wiki

That means world today is generating data at a frenetic pace. Statistics are available on the net that the data is doubled in every X days. The good thing about this data is that it is available and potentially contains useful information. What’s not so good is how to process this information and use it effectively.

The market place has become competitive and will be becoming more in years to come. The key to growth (and survival) is innovation. Big Data can help in uncover the strategies which can help in making the difference. Big Data though, is not a “magic wand” or “one size fits all” approach, rather it will require careful strategising and planning to achieve something tangible. The following sections will discuss the various facets.

Big data can be defined as data which has:(Four V’s of Big Data Consideration)

1. velocity
2. volume
3. variety and
4. value.

The world is producing data with great velocity.Fact reported by IDC is Worldwide digital content will double in 18 months, and every 18 months thereafter.

We heard nowadays that petabytes do not amaze us anymore. As per The Economist In 2005, humankind created 150 exabytes of information. In 2011, 1,200 exabytes were be created

The data is varied today, as well, e.g. structured, semi structured and complex. As Gartner, 80% of enterprise data will be unstructured, spanning traditional and non traditional sources

The fourth one, value, is not so straightforward. The value is something whose unlocking is important.

THE BIG DATA DIFFERENCE

Big data is like traditional data in many ways: It must be captured, stored, organized, and analyzed, and the results of the analysis need to be integrated into established processes and influence how the business operates.

But because big data comes from relatively new types of data sources that previously weren’t mined for insight, companies aren’t accustomed to collecting information from these sources, nor are they used to dealing with such large volumes of unstructured data. Therefore, much of the information available to enterprises isn’t captured or stored for long-term analysis, and opportunities for gaining insight are missed.

USES OF BIG DATA

Typical Example of Big data usage are :

• Log Analytics & Storage
• Smart Grid / Smarter Utilities
• RFID Tracking & Analytics
• Fraud / Risk Management & Modeling
• 360° View of the Customer
• Warehouse Extension
• Email / Call Center Transcript Analysis
• Call Detail Record Analysis

WHICH KIND OF INDUSTRY IS DRIVERS FOR BIG DATA

• Finance
• Telecommunication
• Media
• Life science
• Retail
• Govt

CHALLENGE & OPPORTUNITY

Analysis of big data including new types of data that haven’t been analyzed before , challange is to provides a deeper level of insight into what customers are thinking and how the business operates. The potential payoffs are improving customer retention, selling individual customers more products, and producing items with higher quality and lower rates of return. Studies show that, with proper use, big data can really improve the bottom line to make an impact on overall profitability.

Organizations can well today with Big Data if they succeed in defining

1. What they want
2. They understand about the data they need
3. They understand the data that they have which can be used.
4. They know where to look for the data which they need.

The first and foremost on the list is defining the problem. Once you have this then the next stage of understanding and getting data can be achieved. This requires investment, intellectual, financial and time.

The next stage is analysis once you have your data with you. This analysis should be something which can aid you invgetting what you want and help you with the business.

BIG DATA VENDORS

Big Data is a $70 billion industry and growing at a rapid rate of 15% to 20% a year. In our view, this helps put to rest the notion that ‘Big Data’ is just a fanciful marketing term. Big Data developments will be perhaps the most critical new marketplace for storage solutions providers in the coming decade. [Reference EMC]

ORACLE & BIG DATA

Oracle offers integrated enterprise-ready big data platform, which includes the Oracle Big Data Appliance, Oracle Big Data Connectors, Oracle Exadata and Oracle Exalytics In-Memory Machine. By integrating and optimizing the technologies needed to acquire, organize, analyze and decide on big data, Oracle has made it very easy to jumpstart and maintain big data projects.

AT LAST

The World Economic Forum recently declared big data as an asset class.

What are the implications of making better sense of large amounts of unstructured data to uncover business opportunities, strategies, and more.

Is it really an emerging market with lots of innovation, startups, job creation? Or hype. The facts show penetration within the largest FMCG Consumer companies and Social Networks.

Why is it suddenly possible? What are the technical and organizational obstacles, and the most promising areas of opportunity?

What is Oracle doing?

How could we link Oracle Oracle Advanced Analytics BI with HADOOP?

Herewith look forward to start a discussion about BIG DATA .

Do you know, companies with a significant number of properties under management should make use of a Computer Aided Design (CAD) or Computer-assisted facilities management (CAFM) applications to hold engineering drawings of their buildings.These systems will know the floor space of each unit. The salient information from these drawings can be extracted and uploaded directly to Oracle Property Manager. Modified data can be exported from Oracle to update the CAD/CAFM databases.

Transfering information between Property Manager and CAFM applications..

You can transfer information between Property Manager and CAFM applications by exporting and importing information through Oracle's Space Open Interface
Tables.

If the data in your CAD or CAFM application follows BOMA standards for space measurement, no special implementation procedures are required.

If your CAD data follows Internation Facilities Management Association (IFMA) standards, you can set up Property Manager at the time of implementation to import your CAD data.

The export and import processes initiate a concurrent process in Property Manager. When the process completes you can access the information in either Property Manager or the CAFM application.

• Export to CAD Interface :Use the Export to CAD Interface concurrent program to export location or space assignment information from Oracle Property Manager to computer-assisted design (CAD) or computer-assisted facilities management (CAFM) applications
• Import from CAD Interface :Use the Import from CAD concurrent program to import employee space assignment entries or location records into Oracle Property Manager.

More Details

• CAD Integration [Note# 1373463.1]
• Oracle Property Manager FAQ for CAD/CAFM [Note# 164290.1]

What is Digital asset management (DAM)

From Wikipedia ...A digital asset is any form of content and/or media that have been formatted into a binary source which include the right to use it. A digital file without the right to use it is not an asset.

Digital assets are categorised in three major groups which may be defined as textual content (digital assets), images (media assets) and multimedia (media assets)

Not to forgot, DAM as Digital Asset = Digital Content + Usage Rights

That means means, Digital asset management (DAM) is a business process or a software tool for organizing the creation, management, distribution and archiving of a rich media asset. Rich media assets include photos, music, videos, animations, podcasts and other multimedia content.Look the DAM in another Way.

Typical Activities in DAM

Consider these kind of question

• As a marketing Manager I need to find an approved product image to create a new ad campaign…
• As a PR team for the company e-com Site I need to prepare the upcoming summer catalog
• As a content manager I need to manage the “official” repository of “approved” product images…

if you are able to answer above requset then you can easily figure out , what activity is needed for DAM solution.So below is list for Typical activity required in DAM.

 

Manage	Transform	Deliver
Ingest/bulk load source assets Classify & describe assets (cataloging & metadata) Ingestion services (rights, policies, renditions)	Find/Search/Request Collect / Create / Assemble Produce / Review & Approve	Publish / Notify Present the content in the different channels

Oracle Digital asset management

Oracle Digital Asset Management enables organizations to quickly and easily access, manage, share, optimize and re-use corporate digital assets, such as training videos, conference call recordings, movie trailers, commercials, depositions and corporate branding graphics and images.

This is built upon the core Oracle server foundation, providing additional functionality specific to image transformations, formatting and compression, enhanced audio and video streaming, and automatic thumbnail generation.

The Oracle Digital Asset Management bundle includes the following products.

• Digital Asset Manager - Image Manager: Digital Asset Manager adds the ability to create multiple renditions (conversions) for each image. Users can easily access the appropriate size and format for PPT, the Web, or other collateral. Supports input formats such as JPG, GIF, PNG, TIFF, PSD, and BMP; as well as output formats such as JPG, GIF, PNG, and PSD. Image metadata is extracted and associated with the content item as object metadata.
• Digital Asset Manager - Video Manager: Digital Asset Manager adds the ability to create multiple stream able proxies for each video. Users can easily access the appropriate format and size for their client, network, and viewing needs. Output formats include Real, Windows Media Format, QuickTime, and others. Thumbnails are extracted and presented as a drill down storyboard; closed caption text is extracted and included in the Oracle search index.
• PDF Converter: This enables the automatic publishing of native business content to web viewable PDF. Upon check-in of new business content, a PDF rendition of the native format is generated. This PDF rendition allows web viewing of that business content without the need for the native application.
• TIFF Converter: Tiff Converter automatically converts TIFF images to PDF format upon check-in to the Content Server for easy viewing of legacy content. The conversion of the released TIFF image can occur on the client side or server side and uses the Adobe Acrobat Capture technology. With TIFF Conversion, users can easily view and access managed legacy content (scanned documents) via a browser with the Adobe Reader. Additionally, during the TIFF to PDF conversion, Optical Character Recognition (OCR) is performed - enabling users to perform full-text searches of managed TIFF files in the Content Server.
• XML Converter: Oracle XML Converter enables the automatic publishing of native business content to XML format. Upon check-in of new business content, conversion to a XML DTD or user defined DTD, can be configured to occur. This XML file can then be accessed from other Enterprise Applications, as well as dynamically rendered to HTML using the Dynamic Converter.

How it Works

When digital assets such as images and videos are ingested into the Oracle system, a number of additional renditions of varying file formats, resolutions, sizes, etc. are automatically generated allowing users to download and use images without reformatting or requiring the use of native applications such as Photoshop for resizing and perhaps impacting your brand.

The original (native) file is available as well as other additional renditions that were auto-generated into jpg and png formats with varying properties such as size, resolution, color, etc. The number and properties of each rendition are completely configurable. Users can add the graphics they need to utilize and download .

When videos are ingested, renditions along with storyboards are auto-generated .

Catering both all set of Business user

For the business user

Once content is created, the Oracle Digital Asset Management system gives the user multiple options for checking the file into the repository.

All check-in methods (browser-based, WebDAV, integrations with desktop applications, etc.) can automate processes - such as file transformations, multiple renditions of a file being generated, approval requirements, thumbnail generations, etc. - that used to be completed manually.

Oracle Image Converter can quickly reformat an image to the appropriate size, shape, resolution or aspect ratio, alleviating the need to maintain heavy, expensive publishing tools on desktops.

For the IT administrator

Oracle Digital Asset Management provides Web-based administrative functions and a flexible architectural framework to meet the needs of your organization with one solution.

Web-based administrative functions include the ability to easily stop and start servers, edit security permissions, customize metadata, create workflows and view server logs, regardless of your location.

Tech Stack

The Oracle solution is Java-based, easily customizable, rapidly deployable, enterprise scalable and can integrate with other processes and applications, such as portals, CRM and ERP systems.

In Summary, take away

Oracle Digital Asset Management automates routine tasks and provides robust functionality to effectively manage your rich media files.

• Easily view and reuse digital assets: This is done via storyboard tree allows immediate viewing of specific video scenes.
• Create thumbnails automatically to easily search and retrieve files: Increase efficiency by allowing end users to find information quickly via searching for both text and utilizing visual recognition.
• Save storage space and decrease bandwidth usage by compressing files: Save time by significantly compressing large files and utilizing bandwidth more efficiently.
• Convert legacy images to Web-friendly formats: View older files without needing older desktop applications.
• Reduce manual steps in creating multiple renditions: Automatically create multiple formats of a corporate image or video and create additional formats on the fly.
• Control access to corporate brand assets: Easily control security permissions surrounding access to brand assets. Manage only one copy of corporate assets.
• Make corporate audio and video sessions available via the Web: Enable quick and easy browser-based access to presentations, recording presentations, e-learning files, documents, etc.

In fusion , in order to try any customizations and extensions , you need an environment for testing, before deploying to Production.In Fusion World this is magaed via SandBox Manager. The other terminology you need to get expose is Composer.

Sandbox Manager is a tool that provides a place where users can define and design their changes before putting them into production.

The three types of sandboxes are avaiable

• Metadata, such as non-flexfield UI page customizations :This sandbox supports making changes to the application's metadata stored in the MDS repository.
• Security :This sandbox supports making data security changes.
• Generated flexfields based business components

Sandbox Manager has the following features:

• This stored all changes in the sandbox
• You can have sandboxes to specfic to a user
• Can have many sandboxes running (different users) at the same time
• Make changes over a period of time (long-running sandbox)
• All documents changed can be saved or reverted with one operation
• Migrate sandbox in its entirety from test to production

Usually , there are two types of sandboxes:

• Sandboxes intended to be published.
• Sandboxes intended for "test-only" purposes.

Hope this helps. Next will explore more on "Composer"

Before start of this intrested topic, lets have some basics with Q & A.

Q.-What is Business Process?

"A business process is a set of linked activities performed by people and systems that deliver some kind of value through a product or service to internal or external customers."

A simplest example is : Ex: bringing a new employee onboard or receiving an order form from a customer

Q.-What is Business Process Management?

BPM is defined as a strategy for managing and improving the performance of a business through continuous optimization of business processes in a closed loop,cycle of modeling, execution,and measurement.

Q. Then What is Oracle BPM suite...

The Oracle BPM Suite provides an integrated environment for developing, administering, and using business applications centered on business processes.

The Oracle BPM Suite enables you to create process models based on standards with user-friendly applications.

It also enables collaboration between process developers and process analysts.

Oracle BPM supports BPMN 2.0 and BPEL across the process lifecycle starting from modeling and implementation to run time and monitoring.

The Oracle BPM Suite provides a seamless integration of all stages of the application development life cycle from design-time and implementation to run-time and application management.

The Oracle BPM Suite is layered on the Oracle SOA Suite and shares many of the same product components, including:

• Business Rules
• Human Workflow
• Oracle Adapter Framework for Integration
• Spring Components
• Oracle Web Service Manager

Oracle BPM 11g

Simplifies achieving process management success by delivering a complete solution with a unified process foundation, user-centric design, and social BPM interaction via

This simplifies achieving process management success by delivering a complete solution with a unified process foundation, user-centric design, and social BPM interaction as figure 1 ( source oracle.com)

Fig 1: Oracle BPM suite 11G

BPM Technical Architecture

In order to perform four key things like

• Process modeling
• Process simulation
• Process execution
• Process analytics

Oracle BPM Architecture is best described as

Fig 2:Oracle BPM Architecture

whereas Oracle BPM 11g Technical Architecture is best described as per fig 3.

Fig 3: BPM Suite 11G Technical Architecture

Meet some of Key things for Oracle BPM Suites

THE ORACLE BUSINESS PROCESS COMPOSER

The Oracle Business Process Composer is a web-based application that enables business users to collaborate with process developers and designers.

The Oracle Business Process Composer:

BPM WORKSPACE

This is rich and customizable task and worklist interface

This give a high productivity for end-users to manage their tasks

Custom views, processing rules and simple administration for worklist tasks

PROCESS ANALYTICS

Business Process Analytics enables you to monitor the performance of your deployed processes.

It measures the key performance indicators in your project and stores them in pre-defined cubes in the database that enable you to analyze the data in multiple perspectives

THE ORACLE BPM STUDIO

Oracle BPM Studio is a component of the Oracle BPM Suite that enables process developers to create process-based applications.

This enables process analysts and developers to model and simulate business processes.

Oracle BPM Studio comes with Oracle JDeveloper IDE and shares the JDeveloper user interface elements used by the Oracle SOA Suite.

The JDeveloper environment can be customized based on the role selected by the user.

Oracle BPM Studio includes the Analyst Role which only includes process design elements that are useful to business analysts.

Process developers who need access to the complete functionality of the Oracle BPM and SOA Suites should use the default role.

Next post we will be on Roles and Responsiblity used in BPM

As mention previouly Fusion Applications follows a modular, standards-based architecture, natively built on Oracle Fusion Middleware 11g components and use the Oracle Database as per fig below.

Fig 1: Oracle Fusion Applications Architecture ( Source www.oracle.com)

Lets do a quick recap of some of the key components.

1. Oracle Fusion Applications includes the following product families, or collections of products that are associated with a functional area:

• Oracle Fusion Financials manages financial flows, including assets, ledgers, cash cycle, invoices and payments, accounts receivable, collections, and setup of subledger accounting and tax configuration.
• Oracle Fusion Human Capital Management provides employee management for an organization.
• Oracle Fusion Procurement manages the procurement process including requisitions, purchase orders, and supplier negotiations.
• Oracle Fusion Project Portfolio Management manages projects, including how to plan, budget, forecast, collect costs, bill customers, and report performance.
• Oracle Fusion Supply Chain Management integrates and automates all key supply chain processes, from design, planning and procurement to manufacturing and fulfillment, providing a complete solution set to enable companies to power information-driven value chains.
• Oracle Fusion Customer Relationship Management manages customers, contacts, and resources, including data quality configuration.
• Oracle Fusion Governance, Risk, and Compliance integrates business intelligence, process management, and automated controls enforcement to enable sustainable risk and compliance management.
• Oracle Fusion Setup is a special product family for supporting the other product families for
  • setting up functional data, this product family includes applications to assist application users . Read this.
  • Oracle Fusion Home page thats provides a Welcome dashboard with a collection of portlets and task flows for answering common questions.
  • Oracle Fusion Applications Help delivers the content that users require in order to complete their tasks. You can have install a local version of Oracle Fusion Applications Help, enabling you to extend and customize the help.

Similar to OracleApps each product family is based on a common Oracle Fusion Applications data model and services.

Normally each product family contain one or more Java EE applications that are specific to Oracle Fusion Applications and deployed to Oracle WebLogic Server. An application can contain multiple products, and a product can also span multiple applications.

A product typically has a one-to-one correspondence with an Enterprise Archive (EAR) file . Similar to EarSales.ear which is an application and Sales is a product.

2.Oracle Fusion Middleware

Oracle Fusion Middleware, comprising the following:

• Oracle Fusion Middleware infrastructure components : This will have common core framework and infrastructure components as:
  • Oracle Fusion Middleware Extensions for Applications
  • Oracle Enterprise Scheduler
  • Oracle Enterprise Crawl and Search Framework
  • Oracle Fusion Functional Setup Manager
• Oracle Fusion Middleware components:The applications for a product family are deployed to an Oracle WebLogic Server domain in the Oracle Fusion Middleware technology stack
  • Oracle WebLogic Server
  • Oracle WebLogic Communication Services
  • Oracle Identity Management
  • Oracle WebCenter
  • Oracle Business Intelligence
  • Oracle SOA Suite
  • Oracle Application Development Framework
  • Oracle JDeveloper
  • Oracle HTTP Server
  • Oracle WebGate
  • Oracle Web Services Manager Policy Manager
  • Oracle Enterprise Content Management Suite
  • Oracle Data Integrator
  • Oracle Secure Enterprise Search
• Oracle WebLogic Server

Check it out for more details in this post.

3. Oracle Database

Oracle Fusion Applications uses the Oracle Database to store and retrieve all transactional and reference data and to store design time data in repositories.

The transactional database contains both applications and middleware schemas, seed data, the tablespaces, and all other required packages.

Similar Post

• Oracle's Co-Existence Strategy
• BI in Oracle's Fusion Applications : An Quick Overview
• Fusion's Functional Setup Manager
• Oracle Fusion Supply Chain Management - A Brief Overview
• Oracle Fusion Procurement
• Oracle Fusion Project Portfolio Management
• Oracle Fusion Financials Application
• Oracle Fusion and Oracle Fusion Applications : Overview

Oracle Property Manager streamlines and automates lease administration and space management, enabling you to more intelligently manage your real estate portfolio. Whether you are a corporate, commercial, or retail/ franchise operation.

Oracle Property Manager is part of the Oracle E-Business Suite, and is configured out of the box to fully integrate with the Oracle Financials suite.

Oracle Property Manager Functionality automates the full life cycle of a lease as follows:

• Lease Abstraction and Execution:
• Flexibility to capture unique aspects of properties down to room and office level.
• Milestone Management:
• Workflow monitoring of critical dates assures compliance and execution of negotiated terms, conditions, and obligations.
• Transaction Processing and Rent Calculation:
• Calculate, create, and process payable and receivable transactions. (out of box integration with ERP)
• Space Definition and Space Assignment
• Analyze and react to underutilized space. Integration with Computer Aided Design systems (CAD) for virtual space management.

Process Flow

The following list ( Fig 1) is a typical sequence of events that you might follow to abstract a lease in Oracle Property Manager:

• Set up service providers, and define locations, regions and office parks, milestones, and reporting currencies.
• Abstract the lease. (Later, amend and edit it as needed).
• Assign employees to office space. (Later, move and reassign the employees as needed).
• Authorize payment and billing schedules.
• Export payments to Oracle Payables.
• Export bills to Oracle Receivables.
• Review online inquiries and/or produce reports.

Key Benefits:

• Improve Process Controls
• Reduce Capital Spend
• Minimise Occupancy Costs
• Maximise Space Utilisation
• Lower TCO

Integration

Oracle Property Manager is integrated with other Oracle applications, including:

• Oracle General Ledger
• Oracle Subledger Accounting
• Oracle Payables
• Oracle Receivables
• Oracle E-Business Tax
• Oracle Human Resources
• Oracle Enterprise Asset Management
• Oracle Alert
• Oracle Workflow
• Oracle Projects

Oracle Property Manager also interfaces with third party applications, such as CAD and CAFM applications.

Property Management is of interest to any organization that wants to maximize its return on real property.

Companies that own or lease real estate can allocate the cost of ownership to the employees or cost centers that use the space. Companies that lease their property portfolios to tenants can—with minimal administration burden—record their leases, schedule payments for rent and service charges, and recover rent owed.

Next Post , we will take more deep dive on some more topics and Integeration with CAD and CAFM applications.

Oracle Fusion Project Portfolio Management is a modular suite of applications designed to work as a complete enterprise project portfolio management (PPM) solution or as extensions to your existing PPM applications portfolio.

Till date, if you take any project management tools , it's never been complete pacakge in all sense. Some may have excellent accounting and process integration for cost collection and billing, but lacked project management functionality like scheduling. Other’s lacked processing functionalities. Some of them have excellent analytical capablity but have lacking transaction processing capabilities or scheduling functionality.

If you consider PMI Standard for Portfolio Management, "PPM is the centralized management of one or more portfolios, which includes identifying, prioritizing, authorizing, managing, and controlling projects, programs, and other related work, to achieve specific strategic business objectives."

Fusion PPM will be promises for a one-stop shop for project managers. It creates an environment where Project Managers can execute the entire project life-cycle without looking for information from other sources. It will establish standardization, improve efficiency and generate competitiveness. Oracle Fusion PPM (aka Project Portfolio Management) is going to be a major step towards creating a best in class PPM solution covering all aspects of

• Project Costing
• Project Billing
• Project Control
• Project Performance Reporting
• Project Integration Gateway
• Project Analytics-KPI
• Integrated project, financial and contract management(the first integration will be Primavera)
• Optimized and streamlined project delivery
• Comprehensive project planning, execution, control and scheduling solution

Some of the Fusion PPM features deferred for future release are:

• Staffing
• Resource Management
• Grants Management
• Project Scheduling
• Portfolio Analysis
• Cross-Charges
• Earned Value Management

Some of the key features of Fusion Apps –PPM which will impress to everyone are:

1. Improved Usability: PPM enhances user productivity and reduces support costs
2. Embedded Business Intelligence: Improves decision making by answering key business questions while users enter transactions
3. PM Operational Dashboard: Provides near real-time project financial information & exception-based management . see the details in next section
4. Cost Collection Center: Reduces integration costs and provides a consistent user interface across products
5. Contract Based Project Billing: Cuts down on billing errors and improves flexibility of internal project execution
6. Social Project management: Improves communication and collaboration by creating a community for the project team
7. Co Existence with Primavera P6: Allows customers to adopt Fusion applications incrementally based on business needs

A note on PM Operational Dashboard

The key features embedded as part of Project Manager's dashboard in Fusion is called "project scorecard", this they can use to Track and review the overall health a project.

• Capability to view performance at project, task, resource level and by time phases
• Easy access to information, no more navigation across modules and spreadsheets to get the data
• Exception based management, pushing of error/exception to Project Manager for corrective action
• Performance Measures to enable viewing the data according to the context
• Cross-project comparison for various performance measures
• Availability of real time project financial data
• A graphical and tabular overview of performance
• Simpler user interfaces with global search and drill down capability

Integration with Other Application

In addition to Core Financial Management applications, the first release of Oracle Fusion Applications includes Project Portfolio Management (PPM) and Procurement.There is two-way synchronization with Microsoft Project .There is integration with Oracle Fusion Applications Enterprise Contract Management for contract-related data.

This integration will bring lot of advantage

1. Integrated with back office finance operation for Project Financial activity
2. Project Manager Dashboard with Cross-project insights gives better drill down capability
3. Billing & Revenue recognition by contract , makes independent
4. Cost collection and there processing will be faster because of timely insight into validated Project cost

Overall its look Fusion PPM has been designed, keeping in mind the needs of a project intensive organization.

Similar Post

• Oracle Fusion Financials Application
• Oracle Fusion and Oracle Fusion Applications : Overview

Oracle Reference for more details

• Oracle Fusion Project Portfolio Management
• Oracle Fusion Center

If you hear this term first time , read previous post on Fusion and underline application.

Fusion Application announcement came last year prior to OOW 2010.Though fusion application suite is not ready for sale to the public yet, but Oracle Fusion Applications for Finance has many new capabilities that will be welcomed not just by Finance professionals but by line-of-business managers and employees.

Oracle Fusion Financials

The first release of Oracle Fusion Applications Financials covers general ledger, accounts payable, accounts receivable and collection Management, fixed assets, cash management and employee expenses. As mention is earlier post encumbrance and commitment accounting along with treasury management which included Cash management is excluded from the first version release.

Comparing with existing Oracle ERP(Oracle EBS, people soft like wise) with Fusion ERP, there would be significant Key differentiators.

Key Differentiators feature for Oracle Fusion Financials

Here would like to highlight a few features and capabilities that appeared to be significantly better and different from the other Oracle application suites.

1. Focus on simplified & intuitive user experience: After user logs into the system, based on the roles and privileges he has, a landing page would appear with relevant dashboards and areas to perform his day-to-day activities. No more switching back and forth between responsibilities (like Oracle EBS), all necessary data, transaction information, activities to perform, required analytics, navigation are pushed to him in one single page !!! A General Accounting Dashboard is such a great feature as you can see below:
   1. 
2. Rich User Interface with web 2.0 features for enhanced user experience
3. Integrated Business Analytical layer for better & Faster decision making: This is yet another beauty, where users no longer need to hunt for IT support/in-house IT or run reports in order to get analytical information out of data/transactions. The system shows relevant analytics data on the same page along with transactions when necessary which helps users to make better and faster decisions. This Superior reporting capabilities is enhanced by :
   • Simplified reporting platform natively built on top of a multi-dimensional data model (Multi dimensional Essbase cube has been
     introduced in Fusion Accounting)
   • Single step posting to multi-dimensional balances pre-aggregated at every level, that empower user to see
     • Journals : they can view projected account balances before posting
     • Payables Invoices : they can view supplier holds , identify previously matched lines to prevent overbilling & errors
     • Receivables Receipts : they can Intelligently apply receipts with rules-driven recommendations .
   • Self service and interactive reporting support live drilldowns to source transactions (Even to transactions from non-Fusion ERPs)
   • 
   • If you looks at the above figure you can find these component (left hand side) in diagram
     1. OTBI: Oracle Transactional Business Intelligence (used for ad-hoc and transactional data analysis)
     2. OBIA: Oracle Business Intelligence Applications (Used for historic and trend analysis)
     3. BIP: Business Intelligence Publisher (Standard reporting with variety of formats)
     4. Account Monitor, Account Inspector, Smart View (Excel based): Used for ad-hoc analysis and inquiry on financial data
4. Role based Structure for better compliance and security across the organization: Based on the common business practices, various roles have been defined in the system and each role will have certain permission and privilege to perform certain activities. Based on the role user plays in the business, appropriate system roles will be assigned to him. Moreover, apart from hundreds of seeded roles, flexiblity to configure them as per your business needs is still there.
5. Co-Existence Capability: Certain functionalities of Fusion Application are made available to co exist with Application Unlimited systems (EBS, PeopleSoft, JDE,Siebel etc). By integrating such fusion application features with existing ERP systems, customers can leverage certain fusion application features without compromising their existing investments in Application Unlimited ERP systems.
6. Extension ability of data model and user interface which allows users to handle their business requirements without customizing the application.
7. Uncompromised consistency throughout the Applications: Amazingly consistent design and architecture across all Applications functions enhances user productivity to a great extent. Moreover, it also reduces the maintenance and enhancement costs as well.
8. Tight integration with desktop tools: Spreadsheet integration Is another beauty in the application that minimize data entry errors processed data with Fusion.This not only minimize data entry also provide a familiar environment that is highly efficient for user since long time.
9. Embedded Out-of-the-box imaging integration : Oracle Imaging and Process Management provides an integrated document management capability to support accounts payable invoice automations. This will reduce workload by eliminating paper-based processes
10. Best of Basic architectural concept : If you recall Key accounting flex field concept of EBS , Ledger Concept of R12 Financial architectural that is coupled with Peoplesoft tree structures and effective dates concept, that makes Fusion is best of breed. This also armed with use of the Oracle Essbase multidimensional database to hold aggregate GL balances.
11. Multiple balancing segments :You can create balance sheet and other Management reporting package across multiple business dimension

Benefits to EBS Financials Users

Financial user can still can find lot many benefit with Fusion Financial application other than Differentiators mention above.Some of them are:

• Graphical hierarchies (trees)
• Shared reference data (SetId)
• Centralized inter-unit setup and processing
• Rules-based engine for AP matching
• Open item reconciliation processing
• Comprehensive budgetary controls
• Multi-level, flexible cash positioning
• Travel authorizations and cash advances

Hope this post helps you gain a better understanding of Fusion Applications functionality and help to establish a roadmap which you might be thinking for your company/customer in Fusion area.Lets hear more updated from Oracle on this in next few months :)

.

So WHAT IS "ORACLE FUSION"?

People often get confuse with this term .To start with, it will be a good idea to know the difference between Fusion Applications and Middleware. Oracle Fusion is composed of two parts: Fusion middle ware and Fusion applications.

1. Oracle Fusion Middle ware aka FMW : Comprises of the Oracle Application Server and other technology stack components that Oracle has acquired in past few years.
   • Fusion Middleware is a family of middleware products covering areas like BI, Identity Management, Content Management and SOA.
   • Each of these areas has it's own stack of products. Fusion Middleware was previously called Oracle Application Server.
2. Oracle Fusion Applications ....you can called as ERP module for Fusion : Oracle Fusion Applications is Oracle's next generation suite of applications that eventually replace E-Business Suite. It will assimilate best of breed features from:
   • E-Business Suite
   • JD Edwards
   • PeopleSoft
   • Siebel.

Fusion Applications is build on top of the Oracle Fusion Middleware technology stack using Oracle's Fusion Architecture as blueprint.

Therefore Fusion you can be refer to any of three things Middleware, Application, Architecture.With this Oracle is not only moving to the next generation technology stack like SOA, BPEL, BAM, JSF, Ajax, ESB, etc, but will also bring together the best in class underpinnings, of each of the incumbent suites, like Business Structure, Security Model, Workflow Process, and Event Models which you will find in later part of discussion.Before let have a quick look on Oracle's Fusion Architecture .

ORACLE FUSION ARCHITECTURE

Oracle Fusion Architecture (OFA) is a standards-based technology reference architecture or blueprint for building applications. Note that Oracle Fusion Architecture is not a product, and can be used without licensing it from Oracle. Many organizations use it to write applications that can run on Oracle Fusion Middleware or that compliment Oracle Fusion Applications.[Adopted http://www.oracle.com]

Oracle Fusion Architecture is based on the following core principles:

• Model Driven: For applications, business processes and business information
• Service & Event- enabled: For extensible, modular, flexible applications and processes
• Information Centric: For complete and consistent, actionable, real-time intelligence
• Grid-Ready: Must be scalable, available, secure, manageable on low-cost hardware
• Standards-based: Must be open, pluggable in a heterogeneous environment

The Oracle Fusion Architecture’s SOA and EDA(event-driven architecture) technology consists of

• An integrated service environment (ISE) to develop services
• A multi-protocol enterprise service bus (ESB) to integrate applications
• A services registry for discovering and managing the life cycle of services
• A BPEL-based orchestration engine to tie services into business processes
• A business rules engine to enable business policies to be captured and automated
• A Web services management and security solution to enforce authentication and authorization policies on services and to monitor services and processes for compliance to SLAs

Combining all you can see the Architectural presentation as fig below:

Fusion Middleware Component for E-Business Suite

In the Fusion Middleware of E-Business Suite, here are the list of components :

On the technology front, Fusion Applications is completely developed using Fusion Middleware 11g on Oracle database 11g. Here is the list of technologies used in developing Fusion Applications:

• BI Publisher
• Application Integration Architecture (AIA)
• Applications Development Framework (ADF)
• Applications Server
• Business Intelligence Enterprise Edition (OBIEE)
• Content Management
• Database 11g
• Enterprise Manager
• Fusion apps are metadata driven which is managed by the MDS
  framework

let summarize these all in various components and products and tools

WHAT IS IN FUSION V1.0 ORACLE FUSION APPLICATIONS

Oracle Fusion Applications offer a complete suite spanning seven critical business areas consist of 100+ Oracle Fusion Applications modules which is targeted for first release.These are distributed across the following product families: 34 - Sales & Marketing; 21 - Human Resources; 13 - Financials; 6 - Purchasing; 7 - Projects Portfolio Management; 10 - Supply Chain Management; and 10 - Governance, Risk and Compliance. Majors are:

• Financial management
• Supply chain management
• Procurement
• Human capital management
• Project portfolio management
• Sales
• Governance, risk, and compliance
• Enterprise performance management

 

Not is scope so far(v1.0) are CRM(Service, Call Centre, Order Capture), SCM(Core Manufacturing, Manufacturing Execution),Industry(Public Sector -encumbrance accounting, etc.)

When Fusion is coming out

Hoping Oracle announced the general availability of Oracle Fusion Applications in the sometime in first quarter of this year

Fusion V1 & Fusion V2 functionality

Fusion V2 will be more likly to be more focused for Manufacturing, Supply Chain gaps, more localizations,and public sector functionality

MIGRATION TO ORACLE FUSION APPLICATIONS

The Oracle Fusion Applications platform was built with flexibility in mind,so companies can selectively add modules if and when it makes business
sense.

With the initial release of Oracle Fusion Applications likely focused on point solutions, most users will be concerned with how to integrate Oracle Fusion Applications into their core applications. This will be a substantially easier effort than migrating the entire core functionality

There are options/proposed path which can observed in various Oracle papers.

Here’s a plan for IT side which may be consider to be crafted roadmap for the future of enterprise applications

1. Continue on Your Current Path .That mean you need to evaluate the latest Applications Unlimited releases Oracle Applications releases such as Oracle E-Business Suite 12.1.3, PeopleSoft Enterprise 9.1, Siebel Customer Relationship Management 8.2, and JD Edwards EnterpriseOne 9.1 for the additional value they bring to the businesse .In addition to gaining value today, you will be in a position to upgrade to Oracle Fusion Applications in the future, if and when you choose.
   • EBS -> Fusion Apps
   • PeopleSoft Financials to Fusion Apps
   • PeopleSoft HRMS to Fusion Apps
   • Siebel CRM to Fusion Apps
2. Move to Fusion Step by Step . You need to adopt standards-based technology first. Consider Oracle Fusion Middleware as inhouse new initative and developing skill sets in technologies such as Oracle Application Development Framework, Oracle content management products, Oracle SOA Suite, and Oracle WebCenter. These tools will help you integrate, extend, and manage your applications environment today and prepare you to add Oracle Fusion Applications if and when you choose by upgrading one environment and then reimplement rest what ever/when ever.
3. Upgrade to Fusion Applications . Decide(if and when appropriate.)
   If you use any functionality that is not part of V1 but still see business value in going to Fusion Apps, this may result in multiple Fusion Apps instances.
4. Adopt a coexistence strategy . Add Oracle Fusion Applications modules to your existing environment or implement “pillars” (human capital management, sales, financials, or supply chain management applications whatever suits) to extend the power of Oracle Fusion Applications into your applications portfolio.

Product Supported Release for Fusion Upgrade

• E-Business Suite :Release 11.5.10, 12 or later
• PeopleSoft: Release 8.8, 8.0, 9.0 or later
• JD Edwards EnterpriseOne: Release 8.11, 8.12 or later 34
• JD Edwards World Release: A7.3, A8.1, A9.1 or later Siebel Release 7.9, 8.0 or later

You can refer to this for details http://www.oracle.com/support/library/brochure/lifetime-support-applications.pdf.

SKILL REQUIREMENT FOR FUSION SPACE

Inhouse IT as well as Consulting companies need skill such as BPM and process governance, to manage an Oracle Fusion Applications implementation.

The following technical skills are need to extend, maintain and support the various components of Oracle Fusion Applications:

• SQL, PL/SQL, JAVA & java script
• XML – Extended Markup Language
• CSS – Cascading Style Sheets
• XSL – Extensible Style sheet Language
• ADF – Application Development Framework
• JSF – Java Server Faces
• Web Services
• BPEL – Business Process Execution Language
• AIA – Application Integration Architecture
• Web Center
• BI Publisher
• OBIEE – Oracle Business Intelligence Enterprise Edition
• Hyperion Essbase
• WebLogic Server Administration
• Oracle Identity Management

Meanwhile you can keep reading Floyd Teter blog(see right handside blogroll) for more updates & thoughts from Fusion side.

Next few days, will share some more thoughts on hands-On perspective on Oracle Fusion Applications application business modules.until then keep watching this space.:)

Oracle Advanced Procurement is an integrated suite of software that dramatically cuts all supply man-agement costs.

It adapts to your purchasing processes, supporting any combination of procurement models. It leverages Oracle’s extensive applications capabilities, robust development and operating platform, and award-winning global support. Thousands of companies in diverse industries—including professional services, government, asset-intensive sectors, and manufacturing—rely on Oracle Advanced Procurement to deliver billions in savings year after year.

Oracle Advanced Procurement (Fig 1) includes the following applications:

• Oracle Purchasing helps buying professionals streamline PO processing while strengthening compliance.
• Oracle Sourcing improves the effectiveness a nd efficiency of strategic sourcing
• Oracle iProcurement controls employee spending and streamlines ordering through a familiar Web-store interface.
• Oracle Services Procurement enables complete control and oversight for services spending.
• Oracle Procurement Contracts creates and enforces better purchasing contracts.
• Oracle iSupplier Portal structures all supplier communications through a secure, internet-based portal with online PO collaboration and paperless fulfillment and payment.
• Oracle Supplier Network is an electronic transaction service that automates delivery of purchasing and payment documents.
• Oracle Landed Cost Management (LCM) gives organizations financial visibility into their extended supply chain costs, including transportation and handling fees, insurance, duties, and taxes.
• Oracle Procurement and Spends Analytics Solution help organizations optimize their supply side performance by integrating data from across the enterprise value chain, thereby enabling executives, managers, and frontline employees to make more informed and actionable decisions

Good Reasons for Using Oracle EBS Advanced Procurement -How Oracle Helps !

Here is Integrated Process Flow you can see, if planning to implement Advance Procurement Application

10 Good Reasons for Using Oracle EBS Advanced Procurement

Oracle E-Business Suite mobile apps enable users to perform needed tasks or take action on Oracle E-Business Suite transactions from mobile devices, such as iOS smartphones.

The Oracle Mobile iProcurement for Oracle E-Business Suite app enables requesters to monitor their requisitions and take action on the go.

Using this app, as requesters, you can:

• Track your requisitions for approval and delivery status
• View requisitions, approvers, lines, and shipments
• Monitor alerts for approvals, rejections, returns, and shipment delays
• Collaborate in transaction context using device features such as e-mail, phone, and text

To use this app, you must be a user of Oracle iProcurement, with mobile services configured on the server-side by your administrator.

EBS Users can download these apps from the Apple App Store. To use the apps, users must be licensed for the base products, with mobile services configured on the Oracle E-Business Suite server.

To find Oracle E-Business Suite mobile apps, search for the keywords "Oracle America EBS" in the Apple App Store.

• Oracle Mobile Approvals for Oracle E-Business Suite (for Purchase Order approvals)
• Oracle Mobile Approvals for Oracle E-Business Suite (for Requisition approvals)
• Oracle Mobile iProcurement for Oracle E-Business Suite
• Oracle Mobile Procurement for Oracle E-Business Suite

There is slight difference in Iprocurement and Procurement Mobile Apps

iProcurement Mobile Apps shows the requisition details which include status of requisitions, requisition lines, shipment, receipt information, and person card details. Also, the PO line and shipment associated to the requisition, whereas Procurement Mobile Apps shows Purchase Order (PO) information along with approval status.

Some Key Note

• iProcurement is available in Mobile Apps starting in 12.1.3
• • You need patch for Oracle E-Business Suite 12.2
    • Patch 20048436:R12.PRC_PF.C: PRC - 12.2 Consolidated Patch For Mobile Applications Foundation V2.1
  • You need patch for Oracle E-Business Suite 12.1.3
    • Patch 20048948:R12.PRC_PF.B: PRC - 12.1.3 Consolidated Patch For Mobile Applications Foundation V2.1
• Currently, Oracle E-Business Mobile Apps is available in English only
• iProcurement Mobile Apps is compatible with iOS 7.0 and iOS 8.0

Limitation of Oracle Mobile iProcurement

• There are some restrictions and conditions of the data shown in Mobile App for requisitions
  • Internal requisitions and contingent reqquisitions are not available in Mobile Apps.
  • Also, requisitions in incomplete or cancel are not supported at that time.
  • Summary page shows need by date only if all the lines have the same date.
  • When the line is placed in a PO, it shows the shipment with received or not received status.
  • The status of not received, partially received, and fully received are available only in Mobile App.

This is available at no additional cost for licensed users of the base applications.

Oracle has recently released 14 mobile applications for Oracle E-Business Suite. In order to support real-time business decisions and collaboration , today's increasingly mobile workforce requires instant access to targeted enterprise data and functions-wherever and whenever they want.

These mobile applications, including horizontal apps targeted for all employees as well as role-based line of business applications .

These new applications provide simple on-the-go access to horizontal functions such as:

For app availability search ‘Oracle EBS America’ on app store

Oracle E-Business Suite mobile applications are extremely easy to use, resulting from a user-centered design process and user experience (UX) design principles based on simplicity, action ability, consistency, and device integration.

Oracle E-Business Suite mobile applications are built using Oracle Mobile Application Framework .

Oracle MAF framework accelerates and simplifies mobile development with the ability to build once and deploy to multiple platforms, providing tight integration with camera and other device services, device-native user experience, and enables end-to-end encryption and security

This framework accelerates and simplifies mobile development with the ability to build once and deploy to multiple platforms, providing tight integration with camera and other device services, device-native user experience, and enables end-to-end encryption and security

• EBS Mobile Apps Documentation: Note 1641772.1
• EBS Mobile Apps Administrator's Guide: Note 1642431.1

Oracle E-Business Suite 12.2.4 Helps Organizations Further Optimize Business Processes, Reduce Costs, and Respond to Changing Market Conditions.
This Release includes and focus on customer-driven enhancements across virtually all functional areas and new cloud integrations

Also, this Release Update Pack (RUP) for the EBS 12.2 release codeline includes new features as well as statutory and regulatory updates, and error corrections for stability, performance, and security.

Some of the introducing enhancements listed as below:

• Oracle Financials: Faster approval cycles from parallel approval of invoices. A single mass allocation formula is used to generate allocation journals for all ledgers in a ledger set. Integration with Oracle Revenue Management Cloud allows users to leverage the revenue compliance and recognition benefits of that product.
• Oracle Lease :The following features of Oracle Lease and Finance Management have been added or changed
  • Enter Interim Payments for Assets, Fees and Services
  • Author Contracts with New and Re-Leased Assets
  • Author Variable Rate Contracts with Additional Interest Rate Conventions
  • Update Default Asset Salvage Values
  • Revise Variable Rate Contracts
  • Enhanced Security Deposit and Contract Termination Processing
  • Enhanced Pass Through Processing for Fees and Services
• Oracle Projects: Enhancements includes Oracle Project Contracts and Oracle Project Billing allow US federal contractors to improve cash flow, increase transparency and audit, and automate billing.
• Oracle Purchasing: Web ADI–enabled spreadsheet creation and modification of purchase order lines, schedules, and distributions improves buyer productivity when dealing with large orders.
• Oracle iProcurement: A streamlined single-step checkout flow allows employees to quickly complete shopping activities and start the requisition approval process.
• Oracle Procurement Contracts: Improved buyer efficiency from auditing of contract documents by reviewing details of policy deviations and net clause additions.
• Oracle Services Procurement: Enhanced capabilities provide buyers with greater flexibility to support a broad range of complex order scenarios.
• Oracle Channel Revenue Management: Improved volume offer capabilities and a streamlined user interface enable users to quickly adapt to changing business conditions.
• Oracle Order Management: A new HTML user interface provides improved usability, greater flexibility, and a more modern user experience.
• Oracle Yard Management: A new solution enables manufacturing, distribution, and asset-intensive organizations to manage and track the flow of trailers and their contents into, within, and out of the yards of distribution centers, production campuses, transportation terminals, and other facilities.
• Oracle Manufacturing: Significant usability improvements in the Oracle Manufacturing Execution System (MES) help improve operator productivity by simplifying time entry and quality collection. New capabilities to manage the auto-dekit (disassembly) of serialized products supports customer returns and internal reuse of component parts.
• Oracle Enterprise Asset Management: Enhancements to support linear assets in industries, such as oil and gas, utilities, and public sector, help improve productivity and retire costly integrations and custom code.
• Oracle Service: Enhanced spare parts planner’s dashboard provides rich user interaction to improve planner productivity.
• Oracle Value Chain Planning: Numerous enhancements across multiple products include deeper industry functionality, such as minimum remaining shelf-life enhancements for the pharmaceutical and consumer goods industries, multistage production synchronization for process industries, and integration between Oracle Service Parts Planning and Oracle Enterprise Asset Management for asset-intensive industries. New promotions planning analytics in Oracle Advanced Planning Command Center improve business insight.
• Oracle Payroll: Payroll dashboard provides at-a-glance readiness checks, validation, and analytical views of the entire payroll cycle to help payroll administrators gain valuable insight into payroll processes, avoid costly errors, and improve productivity.
• Oracle Self-Service Human Resources: Transaction dashboard helps employees and managers monitor the approval progress of self-service transactions, and review transaction details at any point after final approval.
• Oracle Learning Management : Enhanced user interface simplifies the learner’s ability to search the training catalog, engage in learning activities, and share experiences with fellow learners.

The details for downloading and applying the Oracle E-Business Suite 12.2.4 Release Update Pack can be found in the Oracle E-Business Suite Release 12.2.4 Readme (Doc ID 1617458.1).

The existing bank account number validations for domestic banks only check the length of the bank account number. These validations are performed during the entry and update of bank accounts.With R12.2 the account number validations for United Kingdom are enhanced to include a modulus check alongside the length checks.

• Modulus checking is the process of validating bank account numbers in conjunction with the Banks Sort Code.
• A new concurrent program "Load UK Domestic Account Validations Data" has been provided to load modulus validation data files.

The feature can be disabled by using a Cash Management System Profile (CE: Disable Bank Validations).

If you compare , you can understand this way :

Existing validations:
The sort code should have 6 numeric digits
The bank account number should have 6 numeric digits

New Validation:
The combination of Sort Code and Account Number should pass a modulus check.

Modulus check methods are prescribed by VocaLink (BACS technology partner)
Modulus checking ensures sort code and account numbers are compatible before submitting BACS payment instructions.

BANK ACCOUNT VALIDATION - THE BASICS

A modulus check is an arithmetic check that establishes whether there is a valid link between a given sort code and account number range.

Modulus checking is a vital process within bank account validation for Bacs submissions, ensuring that errors arising during the capturing of data are flagged for the payer's attention to enable them to correct them before they are submitted, thus avoiding costly returned transactions.

So far, There are 3 types of modulus checks that are performed on the UK bank accounts. These are:

• Mod 10– Standard 10 modulus check
• Mod 11– Standard 11 modulus check
• DblAl– Double alternate modulus check.

This feature enhances the existing UK bank account validation model by introducing modulus check validation.

A modulus check will be performed during the creation and modification of the bank accounts and will also be applied on the importing of bank accounts through public APIs.

HOW THIS WORKS

When the bank accounts are entered, the system will now invoke a new modulus check in addition to the existing length check (8 digits) for validating the UK bank accounts.

The modulus algorithm applied on the bank accounts depend on the bank sort codes and is part of the sort codes published by Vocalink.

IMPLEMENTATION: UK BANK ACCOUNT VALIDATION

Implemenation Process can be best understood as below:

In order to use the new validation model, customers need to upload the latest modulus weight table file and Sorting & Substitution data file published by Vocalink.

These concurrent programs allow customers to upload the latest version of these files. Vocalink publish updates to these regularly. Customers can register via Vocalink website to be alerted when a new version has been published.

This Consist of 4 steps process

1) Download 2 files from the VocaLink site:

a) Click on Modulus weight table data (.txt valid from 18/11/13)
Save the file : valacdos.txt [ This will be one the parameter ]

b) Click on Sorting code substitution data (.txt 1Kb valid from 13/06/05)
Save the file : scsubtab.txt [ This will be one the parameter ]

2) These two files must be Upload files to server

3) Then Import : From CM super user responsblity submit a program 'Load UK Domestic Account Validations Data’

4) Make sure System Profile Set - CE: Disable Bank Validations set to YES at site level

If you are using R12.1.2 , user may report some difficulty with Homepage responsblity , therefore they prefer similar to 11i or R12.1

In release 12.1.2 the E-Business Suite homepage has been re-designed using the configurable pages infrastructure.

This is new Enhancement which allows customers to work with a WYSIWYG model of configuration. This allows highly flexible content and layout including the ability to add and move content around the homepage to suit your needs.

These configurable home page provide a new and improved navigator tree which has expandable menus using richer and faster ajax calls and requests are kept within the sidebar to save valuable homepage space. The new tree also eliminates full page render of server-side requests therefore enhancing performance.

What If , you want to Revert back this options. Here are some notes, from our DBA who helped to achieve this.The above changes will result in the expandable menus changing to the older 'link style' menus.

Set the following profiles:

• FND: Applications Navigator Menu Consolidation count : 25 – old is Null
• FND:Slide out menu: Enabled – old is disable
• Enable Configurable Home Page: No
• FND: Personalization Region Link Enabled: Yes
• FND: Disable Configurable Home Page: True — old is false

You can refer to Note :1061482.1: 12.1.2: How to Modify and Enable The Configurable Home Page Delivered Via 12.1.2 for more details.

Landlords and tenants whose companies are publicly traded need to comply with FASB-13 standards for accounting of leases.

What is FASB 13?
FASB 13 regulates the accounting standards for office leases in the United States. In effect since 1977, these standards have established how leases are reported on financial statements by both tenants and landlords.

FASB 13 calls for every lease to be classified as either an Operating Lease or a Capital Lease based on specific criteria. As it currently stands, the vast majority of lease transactions are classified as Operating Leases. An Operating Lease is treated as an ongoing operating expense , where a Capital Lease is treated as a financing transaction and should be reported as an asset and liability on a company’s financial statements.

Understanding FASB 13 Standards

The Financial Accounting Standards Board (FASB) controls the accounting standards in the United States to ensure that financial statements are in accordance with Generally Accepted Accounting Principles (GAAP).

FASB 13, which is Ruling 13 from that board, states that the revenue from rent (recurring billings) must be recognized evenly (as a straight line) over the life of the lease. The difference between the straight-line rent that the system calculates for FASB 13 and the actual rent that you bill the tenant (or pay the landlord) must be reflected in the general ledger.

This examples below illustrate the actual rent amount for three years and the effect of FASB 13.

Actual Rent : This table illustrates the actual rent for the lease term January 1, 2012 – December 31, 2014 :

Effect of FASB 13 : This table illustrates the effect of FASB 13 for the lease term January 1, 2007 – December 31, 2 008:

Accural/Defferal :*Straight-line rent minus actual rent

To calculate the effect of FASB 13, the system adds the rent amounts for the entire lease term, and then divides the sum by the number of months in the lease term. Then the system subtracts the actual rent from the straight-line rent to determine the amount of the accrual or deferral that must be recorded in the general ledger.

GAAP states that accruals and deferrals must be recognized in the financial statements.

• A positive difference is an accrual .
  • In above example, you received 15,000 in cash the first year, but you earned 20,000 based on FASB 13.
• A negative difference is a deferral .
  • In above example, you received 25,000 in cash the third year, but you earned 20,000 based on FASB 13.

what you can see, the net sum of the accruals and deferrals over the life of the lease should be zero.

Understanding the FASB 13 Billing Process (Normalizing Payments) @Oracle Property Manager

As you have observed, according to these rules, companies need to normalize or calculate the average rent payments/billings over the term of the lease.

These normalized amounts need to be reported as revenue/expense, along with accrued revenue/liability, so that the investment community can accurately analyze the company's financials.

If you have a lease for which payment/billing amounts vary over the lease term, you can use Property Manager to normalize a lease for you and renormalize it if you amend the lease.

Normalization, also known as straight-lining,spreads the cost of rent payments/billings and rent abatements over the life of a lease to more accurately record the lease expense or revenue during the time it was incurred.

Rent normalization is used to comply with FASB-13 standards. Landlords can vary rent amounts over the life of a lease term for the following reasons:

• Provide an incentive for the lessee
• Reflect the anticipated effects of inflation
• Ease the lessee's near term cash flow requirements

Using the rent normalization feature provides you with detailed monthly deferred liability and accrued asset amounts that can be accessed by accounting and finance departments to accurately calculate and estimate company-level revenue and expenses.

Only those lease terms for which the Normalize check box is checked can be normalized. Only actual amounts can be specified for normalized terms.

All normalized terms must lie within the lease term.

In other words, the start date of a normalized term cannot be earlier than the lease commencement date, and the normalized payment/billing term end date cannot be later than the lease termination date.

In EBS , When you enter a lease, you check the Normalize check box for a payment, billing, or abatement if you want it to be included in the normalization calculations .

After you finalize and save the lease, Property Manager creates a payment or billing schedule.

In the View Requests window you can then review the payment/billing schedule and the normalized amounts, or you can run the Normalized Rent Schedule Report.

Property Manager transfers revenue and expense distribution lines directly to Oracle General Ledger.

To calculate the average (normalized) amount for a term, Oracle Property Manager adds up all the cash items for that term over the entire lease term, and divides this sum with the number of months between the lease start and end dates.

If the lease starts or ends mid-month, the proration rule specified at the Lease Details level is used to calculate the number of months.