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EBS : Milestone Billing

Posted on September 29th, 2017 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

Milestone is a type of billing that occurs only as certain milestones have been attained.

Milestones are events or conditions that trigger the billing.

For example, you can bill customers based on the number of days since the activity began, a specific date, a manual milestone you specify, or an activity percentage of completion.

You define the milestones to be used and the amounts to be billed for each milestone.

In EBS R12.2.7 , Oracle Order Management extends support for flexible ordering of products, services, subscriptions and warranties with a new milestone billing option.

This option lets customers with long lead times for custom-designed equipment define the amount or percentage to be billed at each interim milestone.

This help to Support for manual item substitution after order booking avoids the overhead of cancelling and recreating order lines.

Indeep a great feature , after a long time.

Posted in Oracle Order Management | No Comments »

Go Mobile with E-Business Suite [Smartphone Apps]

Posted on October 17th, 2014 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

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:

S.N App Name Key HighLights Available as part of Licensed Product Remark
HORIZONTAL APPS FOR ALL EMPLOYEES
1 Mobile Approvals
  • Quickly filter approval requests by sender or subject
  • Review at a glance header and line details, action history, and comments
  • Approve or reject with or without comments, or request more information
  • Supports most used approval types in initial release, including expenses, requisitions, purchase orders, recruitment. More approval types to be added

Any Oracle E-Business Suite product

that uses workflow approvals

  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
2 Fusion Mobile Expenses for E-Business Suite
  • Enter expenses via quick entry, direct entry, receipt images, and calendar entries
  • Charge to projects and cost centers
  • Flag policy violations and receipt requirements
  • Download corporate card transactions and edit details
  • Enter mileage expenses
  • Submit expense reports
  • Enter expenses in connected and offline mode
Oracle Internet Expenses
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
3 Mobile Timecards
  • Enter time day-wise for easy time booking
  • Enter time in quick time or regular time modes
  • Support payroll and project based time entry
  • Aggregate day-wise entries into timecard periods
  • Submit timecards
  • View timecard history
Oracle Time and Labor
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
4 Mobile iProcurement
  • Track my requisitions for approval and delivery status
  • View requisition, approvers, lines, and shipments
  • Monitor alerts for rejections, delays, and returns
  • Collaborate in context using device features
Oracle iProcurement
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.

ROLE-BASED LINE OF BUSINESS APPS These role-based line of business applications drive faster business execution and decision making through improved visibility and access to enterprise data and functions

5 Mobile Sales Orders
  • View orders for my customer list
  • Search orders by key attributes
  • View order and line details and status (customer, product, pricing, holds, shipping)
  • Monitor shipment alerts (on hold, backorder)
  • Collaborate in context with device features
Oracle Order Management
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
6 Mobile Inventory
  • Search and barcode scan items and LPNs
  • View on-hand materials and LPNs across facilities
  • Identify loose vs. packed material
  • View existing material reservations
  • Identify material moves in a facility
  • View in-transit and received material
Oracle Inventory Management
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
7 Mobile Product Information
  • Search or scan items
  • Easily access favorite and recently viewed items
  • View product operational and user-defined attributes
  • View product images
  • View suppliers and on-hand quantities in list or map
  • View key transaction metrics, related to SOs, POs, WOs
  • Personalize what information is displayed
  • Collaborate in context using device features

Any Oracle E-Business Suite product that defines or uses Items.

Items are defined in an item master organization to represent products and services you buy, sell, or otherwise transact.

  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
8 Mobile Procurement
  • Track purchase orders requiring attention
  • Search purchase orders based on key attributes
  • View purchase order, approvers, lines, and shipments
  • Monitor alerts for shipment delays
  • Collaborate in context using device features
Oracle Purchasing
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
9 Mobile Project Manager
  • Monitor overall project status in dashboard
  • Contact team members and customer contacts
  • View open payables summary and invoices
  • View open receivables summary and invoices
  • View open issues and change orders
  • Collaborate in context using device features
Oracle Project Costing
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
10 Mobile Discrete Production Supervisor
  • Search or barcode scan work orders to view progress
  • View work order and operations detail
  • Perform quick actions like expedite and add notes
  • View component issue and resources charges
  • Manage exceptions like component shortage
  • Collaborate in context using device features
Oracle Discrete Manufacturing
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
11 Mobile Process Production Supervisor
  • Search batches and steps or barcode scan to view WIP
  • View batch, steps, material, and resource detail
  • Perform quick actions like release and reschedule
  • Manage exceptions like unallocated ingredients
Oracle Process Manufacturing
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
12 Mobile Project Manufacturing
  • Search project inventory by item, project, and task
  • View project on-hand quantities by locator
  • View outstanding project borrow and payback transactions
  • Identify project materials for transfer and borrow/payback
  • Collaborate in context with device features
Oracle Discrete Manufacturing
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
13 Mobile Maintenance
  • View and complete assigned operations
  • Issue materials and charge time to operations
  • View and search work orders and assets
  • View asset summary, work history, and meter readings
  • Record asset meter readings
  • View work request details
  • Create simple work orders and work requests
Oracle Enterprise Asset Management
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.
14 Mobile Field Service
  • View customer, product, service request, and task info
  • View and update tasks
  • Capture materials, time, and expense details
  • Check inventory levels
  • Return, transfer, and request parts
  • Work online or disconnected
  • Synchronize when online
Oracle Mobile Field Service
  • iOS and Android
  • EBS 12.1.3 and 12.2.3 and above
  • No additional costs for licensed users of base products.

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

Posted in Oracle Application, Oracle Order Management, Oracle Payable, Oracle Pricing, Oracle Product, Oracle Purchasing, Technical | No Comments »

The Newbie’s Jumpstart with Oracle OM

Posted on March 12th, 2012 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

Hello I'm a newbie...advice please! where do i start from. I need a guide. I'm enthusiastic and want to learn Oracle Apps/Om. Can you help me out?

These are the questions reader frequently asking, therefore thought to create some post that helps newbie .To start with here to go with OM first.

The first thing you need to understand what is Oracle OM application.

Oracle Order Management lets you record the customer information you need to ship to, bill to and collect from your customers accurately. With Oracle Order Management, you define the business functions for which you want to record customer information.

Any company who use OM can get benefits with these basic and advance need for order processing in the organization :

  • Enter orders
  • Indicate when an order is complete and ready for further processing.
  • Enter as many order lines as you want.
  • Enter sales credits for an entire order or an individual order line.
  • Enter orders in different currencies.
  • Assign as many discounts as you want to an order.
  • Import Sales Orders and Returns
  • Schedule Orders
  • Copy existing orders to create new orders, returns or replacement orders.
  • Easily cancel orders and order lines.
  • Apply and Release Holds
  • Close Orders

Oracle Order Management leverages the Oracle Workflow engine to flexibly model and execute any sales order process. The application provides flows for capture, book and invoice right out of the box. The flexible workflow framework makes it easy to add additional steps that are specific to your business. For example, a step can be added if special approval is required or if routing is dependent on characteristics of the order. With Oracle Order management, you can easily create and execute workflows that enforce your best order management practices.

OM is part , Oracle Order Management Suit which consist of:

  • Oracle Shipping Execution
  • Oracle Configurator
  • Oracle Advanced Pricing
  • Oracle Release Management and e-Commerce Gateway

Modules that support Oracle Order Management

  • Oracle Inventory
  • Oracle Bill of Material
  • Oracle Receivable
  • Oracle Purchasing
  • Customer Relationship Management suit

Order Capture From Any Source

  • Oracle Telesales
  • Oracle I-Store
  • Oracle Marketing
  • Oracle Service
  • Oracle Field Sales
  • Oracle Trade Promotion

Next lets understand different types of order.

The Internal Requisition/Internal Orders process is used for requesting and transferring material from one inventory location to another. An Internal Requisition is initiated in Oracle Purchasing. Sourcing rules can automatically determine if the source type is to be Inventory or an external supplier. Order Management receives information from the Purchasing Application to create an Internal Sales Order. When the sales order is shipped (to indicate either intra or inter-organization movement of goods), the requisition can be received to record receipt of goods.

To generate Internal Sales Order user has to follow the following process steps:

  • Enter Requisition in Oracle Purchasing & Approve the Internal Requisition
  • Run ‘Create Internal Sales Order’ Process for transferring requisitions to Order Management.
  • Run ‘Import Order’ Process in Order Management to create Sales order.
  • Release Sales Order
  • After Order Import completes successfully, book, pick and ship the internal order.
  • Receive against the Internal Requisition.

For more details you can go through these posts.

Drop shipments occur when your customer orders product from you, you order the product from your supplier, and your supplier ships the product directly to your customer.

Order Management sends information to the Purchasing Application to create that PO, and then when that PO is received (to indicate shipment from the supplier to your customer), the order line is automatically updated to indicate that it was fulfilled.

To generate Internal Sales Order user has to follow the following process steps:

  • Create a Drop Ship Sales Order
  • Use the Purchase Release program to create a Requisition from the Sales Order.
  • Use the AutoCreate function to create a PO from this Requisition .
  • Approve the PO .
  • Enter a Receipt for the drop shipped goods after the Supplier sends a confirmation.
  • Invoice the Customer

Required Setup:

  • Logical Warehouse to receive drop shipment
  • Order Type/Line Type for drop shipment order
  • Defaulting rules to make the source type External

For more details you can go through these posts.

Order Management also provides sophisticated tracking of your return material authorizations (RMA).

Returns from a customer occur for a variety of reasons including damage, shipment error, or sampling. Return material processing functionality enables you to manage customer expectations while controlling inventory receipts and customer credit processing.

These are RMA Types:

  1. RMA with Credit Only : This is where your company issues a credit without the customer returning the product.
  2. RMA with Repair :This is where your customer returns a damaged product. Your company repairs and returns the product to the customer.
  3. RMA with Replacement :This is where your customer returns a product and your company sends a replacement product rather than issuing a credit.
  4. RMA With Receipt and Credit :in this senario , customer returns a product and receives credit.
  5. Returned Item Fails Inspection (Exception case) : This is senario , where Your customer returns product, Company inspects product and rejects it. Company scraps product or sends product back to Customer. In this case, you have the option of performing an RMA transaction of type:
  • RMA with Repair
  • RMA with Replacement
  • RMA with Receipt and Credit.

Process Flow of RMA is very simple, but some time getting complex .

  • Create RMA Order using sales order window in Order Management
  • Book RMA Order
  • Receipt the RMA using receipts window in Purchasing
  • Check the on hand quantity of the item in Inventory to verify that correct quantity was received
  • Generate credit memo in Accounts Receivable (If Applicable)
  • View the credit memo in order management
  • Check the shipped and fulfilled quantity on the RMA line

 

Managing Return Material Authorization (RMA)

Credit Check

  • Automatically check credit during order entry and pick release
  • Flexibly define customer open balance calculations
  • Set customer limits per order and for all orders
  • Assign tolerances to single-order and total-order limits

Credit Checking Limits Hierarchy

Credit Limits can be set at the following 5 levels which is called as Credit Checking Limits Hierarchy

  1. Item category level
  2. Site level
  3. Customer level /Customer account
  4. Party level (This level is applicable only if Credit Management is installed)
  5. Operating Unit Default level.

You should be familar with a term called, Pre-Calculated Exposure . In Oracle use of Pre-Calculated Exposure was incorporated to improve performance. Previous versions of credit checking calculated customer exposure accessing underlying transactional tables. When a credit check request was executed, underlying transaction tables were summed to generate customer balance information.

If you ref to Note.293409.1, its mention, Using the pre-calculated exposure option, credit checking will validate exposure against balance information stored in a summary table. The summary table is updated as often as your business practices require, and updates to the table are performed by submitting the Initialize Credit Summaries concurrent program. This program accesses both Oracle Receivables and Order Management transactional tables. It should be scheduled to run periodically, based on your specific business needs.

In order to trigger automatic Credit checking on sales orders it is necessary that the credit checking is enabled for the order type, customer profile and payment terms associated with the transaction.

Credit check set up involves the following setup steps:

  • Step1:Credit Check Rules Setup
  • Step2:Customer Profiles Setup
  • Step3:Payment Terms Setup
  • Step4:Order Types Setup

For more details you can go through these posts.

Returns

  • Mix returns and shipments on the same order
  • Enter return receipts using standard Oracle receiving forms
  • Enter expected lot and serial number for returned goods
  • Print acknowledgements for returns
  • Track returned goods for repair using new Depot Repair Process

As mention earlier, OM is one of the most complex modules in EBS, and in typical complex business model, the integration of other product or third party can't be denied. Processing an Order requires integration with many other business areas. Most integration points with other Oracle products are implemented via PL/SQL-based APIs.You can check a brief discussion for Order Management EBS Integration points.

  • Order Management(OM) Integration Options

Integration and interfacing with your front end application or any custom application you can easily managed. Two options are avaiable Order import and High Volumn Order Import. Check it out what suits your need

Order Mgmt. – Tables/Interfaces/APIs/Workflows

APIs/Interfaces

  • Line Flow – Generic
  • Line Flow - Generic, Bill Only
  • Line Flow - Generic, Ship Only
  • Line Flow - Return for Credit with Receipt

KFF

  • Application = Inventory
  • Code = SALES_ORDER
  • Title = Sales Order
  • SEGMENT1,SEGMENT2,SEGMENT3

Some Important Table Names

  • OE_ORDER_HEADERS_ALL
  • OE_ORDER_LINES_ALL
  • WSH_DELIVERY_DETAILS
  • WSH_NEW_DELIVERIES
  • QP_LIST_HEADERS
  • QP_LIST_LINES

More technical details you can find post below:

 

Hope this good starting point for you.

Posted in Oracle Order Management | No Comments »

Pre-requisities , Credit hold & credit check ….

Posted on March 3rd, 2012 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

What is the main difference between Credit check and Credit Hold?

Credit Hold is used to prohibit orders from being progressed beyond entry or booking, from a specific customer. It is not dependent on Credit Limit or Previous Balance or any criteria. This is normally used when you need to immediately stop all ordering for a customer.

Credit Checking allows you to control which customer site is affected, what the credit limit is, what is included in the credit check, etc.Credit Management provides even more control and functionality.

You can use Credit Checking and Credit Hold together or separately.

You Can disable to Credit Hold and enable Credit Check.

You can use Credit Check and Credit Hold together, if you think you need both functionalities. As indicated, Credit Hold will prohibit any
processing of the order. Credit Check is used to evaluate the customer's credit limit, outstanding balance, etc. It will function differently depending on numerous setting and situations. In case if you are implementing these you need to review OM Documentation to see all the various ways you can chose to opt credit checking.

Do you need to have 'Credit Management' module installed in our instance to use Credit Check?

You do not need to have the Credit Management module installed to use standard credit checking.

Does Credit Check will not prevent an order from Pick Releasing and Shipping if we set it up at those levels in the Transaction Type setup?

Defining Credit Checking on the Transaction at Pick Releasing and Shipping SHOULD cause Credit Checking to occur before an order picks or ships. However, there are other settings which impact this. For one, the behavior will depend on whether you have defined Order or Line level credit checking. The credit check will depend on the credit exposure existing at the time of pick release or ship. That is impacted by your credit Rule. Also, the credit checking behavior is dependent on how you have set up the option Override Manual Release on the Credit Checking Rule.

There is something called "OVERRIDE MANUAL RELEASE" which you can use this options. If you are, choose the number of Days to Honor Manual Release.

The Override Manual Release checkbox controls whether the credit check process will be triggered even if holds were released manually or not.

The Override Manual Release checkbox, used in conjunction with Days to Honor Manual Release field, enables you to define the duration (number of days) you will forego additional credit checking if an order or line credit check hold is released manually. Manually released holds are honored only during processes that are performed after Booking such as Picking, Packing, and Shipping.

If Override Manual Release is enabled, the credit checking process will validate if the release date is within the interval defined by the value of Days to Honor Manual Release. If the value is within the range defined, then manually released holds will be honored and additional credit checking is not performed. If the value is not within the range defined, credit checking can occur again and credit check holds can be applied if the order or lines fail the credit check process.

For example, suppose you have defined a Credit Check Rule in which you have enabled the Override Manual Release check box, with a value of 15 within the Days to Honor Manual Release field. Assume that this credit check rule is assigned to the transaction type as a Credit Check Rule for Booking and Shipping. If you manually release an order or line from credit check hold after Booking, and if you ship the order or order line within 15 days, Order Management will not enable credit checking to occur again during Shipping. However, if you ship after day 15, then Order Management will enable the credit checking process to be invoked again.

That means there is no guarantee that Credit Checking will work as you expect, just by defining the activities on the Transaction Type.

Hope this helps.

Posted in Oracle Order Management | No Comments »

Understanding difference between Credit Hold & Credit Check

Posted on May 3rd, 2010 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

CREDIT HOLD

Oracle EBS Credit Hold is the ability to place ALL customer orders on hold immediately regardless of customer credit limits or exposure or credit risk.

When the user enables credit hold on a customer or customer site, all orders are placed on hold immediately to prevent further processing. If a user enters a new order it will go immediately on hold and will not book or progress further.

This is used by Receivables Departments when a customer is an immediate risk to prevent any order processing for a specific customer bill-to site, or specific customer

ENABLING CREDIT HOLD

Oracle EBS AR or OM analysts can enable Credit Hold by querying the Customer Record.

Navigation should be Customer -> Standard. Once setup done , this will prevent the sales orders from booking.

If Credit Hold needs to be applied at the Customer Level enable the check box Credit Hold. You need to flag this at Profile: Transaction.

If Credit Hold needs to be applied at the Bill-to Level. Select Addresses and select Bill-to then enable the check box Credit Hold.

When the credit hold check box is enabled a hold source is created that places all current and future orders on hold irregardless of credit limits.

When the credit hold check box is disabled, the hold source is removed and the orders will progress.

If credit hold is enabled at the Bill-to Site, lines with this bill-to are placed on hold. The order can still be booked if the profile option OM: Prevent Booking for Line Generic Holds is set to No.

ENABALING CREDIT HOLD AUTOMATICALLY

You can esaily achieved this by simply putting $0.00 in the profile amounts on the customer header, does not stop an order from being created. That mean when a customer account is on credit hold, you can still create new sales orders for that customer in Oracle Order Management

However, all new orders will have a status of 'on hold' and orders cannot be booked or shipped until the hold on the customer account is removed

A hold will automatically be place on a customer under the following conditions:

  1. 'Credit Check' must be selected for both the Payment Term and Order Type for the related customer
  2. The customers credit limit must = $0.00 or the customer must have exceeded their limit
  3. Alternatively, the customer can manually be placed on Credit Hold by selecting the Credit Hold check box

There is another term called Credit Check , which Often confuse . Have a detail look.

CREDIT CHECK

Credit Check is is used during the Order Life Cycle to verify customer credit worthiness.

EBS credit check functionality requires setting up credit limits and assigning credit check rules to determine the exposure of the specific customer based on a series of parameters such as open uninvoiced orders, past due invoices, shipping horizon days against credit limit.

If the customer exceeds set credit limits, total exposure or has past due invoices, the orders will be placed on hold.

Oracle EBS Credit Check can be done at Order Booking, Pick or Purchase Release, Packing and Shipping.

ENABLING CREDIT CHECK

Enabling this feature for credit check , you can do at following level:

  1. Item category level
  2. Bill To Site level
  3. Customer level ONLY if the Bill-to Site is enabled as well
  4. Party level (Remember if Option/level is only used if have Credit Management is installed.)
  5. Operating Unit Default level

You can define credit Limits defined at one of the above specified Levels.

There are two credit limits, the order credit limit and the credit limit. The credit limit if null is assumed to be unlimited.

The credit limit specifies the maximum value of exposure that the Customer is allowed.

The order credit limit if null assumes there is no maximum value per order. If specified is the maximum value of an order that can be placed.

For example if the Order Limit is $500 and a customer places an order for $505 the order will be placed on Check Failure Hold regardless of the credit exposure.

Once Credit Check is enabled on the customer at the level needed and credit limits are defined, credit check must be enabled on the Payment Terms Record.

The Credit Check Rule defined must be included in the transaction type used when placing an Order. Main Tab > Credit Check Rule area

The Credit Check Rule (same credit check rule, or different credit check rules) can be defined for the following four (4) phases:

  • Ordering
  • Picking/Purchase Release
  • Packing
  • Shipping

Hope this helps.

Posted in Oracle Order Management | No Comments »

Credit Check Functionality in Order Management for Techies

Posted on April 9th, 2010 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

This post will more focus on Technical part of credit check Functionality. You can check the functional part of credir check functionality here.

dgreybarrow TABLES

These are the main tables used for holding Credit Check functionality.

  • OE_HOLD_AUTHORIZATIONS
  • OE_HOLD_DEFINITIONS
  • OE_HOLD_RELEASES
  • OE_HOLD_SOURCES_ALL
  • OE_CREDIT_CHECK_RULES
  • OE_CREDIT_SUMMARIES
  • OE_EXPOSURE_INTERFACE
  • HZ_CUSTOMER_PROFILES
  • HZ_CUST_PROFILE_AMTS

dgreybarrow PROFILE OPTIONS

These Profile options specially meants for controlling credit check functionality.

  • OM: Modify Seeded Hold
  • OM: Preserve External Credit Balances
  • OM: Prevent Booking for Line Generic Hold
  • OM: Schedule Line on Hold

dgreybarrow SYSTEM PARAMETER OPTIONS

  • Apply credit hold on zero value
  • order Credit Hold Sequence for Order Lines
  • Initiate Credit check at Cancellation

dgreybarrow API

Credit checking in Oracle Quoting allows the user to determine the credit worthiness of a customer while working on a quote. The user can decide if the quote should be submitted for business approvals credit verification. The profile option ASO: Enable Credit Check determines if credit checks can be performed.

There are two types of credit checks available in Oracle Quoting:

  • Internal — Internal credit checking is based on transaction data in the quote, and historic transaction data in Oracle Order Management and Oracle Receivables. It pertains to quote header-level billing information. Internal credit checks are performed by the public credit check API OE_EXTERNAL_CREDIT_PUB.
  • External — External credit checks are configurable by an application developer and allow users to make calls to non-Oracle applications.

You should be very clear on key differences between internal credit checking and the credit checking functionality in OM, which is as:

  • Item category limits are not checked in the public credit check API provided for internal credit checks.
  • Credit checking is only available at the header level in internal credit checking, while OM credit checking supports both header and line level credit checks.
  • There is no Holds functionality for Internal credit check.

dgreybarrow CONCURRENT PROGRAM

1. Initialize Credit Summaries (OEXINICS)

  • This Program enables you to periodically rebuild a credit exposure image for all customers or customer sites for all possible credit rule definitions.
  • When you submit the ‘Initialize Credit Summaries’ program, the changes to customer or customer site credit exposure is calculated and updated in OE_CREDIT_SUMMARIES table .

Therefore you have to understand the frequency with which you run Initialize Credit Summaries will be based on ones business needs.

If the requirement is to have customer's credit exposure to be close to the online credit exposure calculation, then probally you can run it frequently.

  • Take a note, this program will not delete the externally imported exposure records if profile option OM: Preserve External Credit Balances is set to YES

2. Credit exposure Import (OEXCEIMP) & Purge Imported Credit exposure (OEXCEPRG)

Credit exposure Import

  • First program ie Credit Exposure Import program enables you to import external credit exposure details for sales orders created outside of Oracle Applications into Oracle Order Management.Those who are doing system integration can take advatange of this.
  • External exposure data is imported from interface table OE_EXPOSURE_INTERFACE into OE_CREDIT_SUMMARIES table. Once import is successful, data from OE_EXPOSURE_INTERFACE is get deleted.
  • All externally imported exposure detail records will have the value 18 for the field BALANCE_TYPE column in ‘OE_CREDIT_SUMMARIES’.
  • The Credit Exposure Import program can be submitted in two different modes, UPDATE and INSERT.
    • Insert Mode: All credit exposure amounts previously imported will be overwritten .
    • Update Mode: The credit exposure amount within ‘OE_CREDIT_SUMMARIES table will either be added (positive amount) or subtracted (negative amount) to any previously imported amount. If a corresponding exposure amount does not previously exist, a new exposure amount record will be created.
  • Interface records are processed based upon the mode, which is determined by the value of the column OPERATION_CODE within the exposure interface table OE_EXPOSURE_INTERFACE.

Purge Imported Credit Exposure

  • The ‘Purge Imported Credit Exposure’ program enables you to purge imported external credit exposure records from OE_CREDIT_SUMMARIES table.

3. Credit check Processor (OEXAUCRC)

  • Credit Check Processor can automatically apply OR release order or order line credit holds.
  • Best use of this program when you suspect your customers credit exposure has changed and you want to re-evaluate their sales order status .
  • You can also use Credit check Processor whenever you change the customer credit profile or credit check rule set up and you want these changes to immediately take affect on your booked sales orders.
  • Credit check processor "always" uses Booking Credit check rule to apply/release the holds.
  • There is limitation for applying the hold through credit check processor it currently only considers exposure of the order lines which are in 'Booked' status.
  • When using pre-calculated exposure in credit check rule, run the ‘Initialize credit summaries’ concurrent program every time before running the credit check processor.

dgreybarrow REPORTS

You can take advantage of these reports.

  • Credit exposure report
  • Credit Limit Usage Report
  • Lines on Credit check hold report
  • Orders on Credit check hold report

dgreybarrow CREDIT CHECK QUERY

You can navigate as

Setup => Rules => Credit

  1.  
  2. SELECT
  3. NAME "Rules",
  4. TO_CHAR (START_DATE_ACTIVE, 'DD-MON-YYYY') "Effective Dates From",
  5. DECODE (CREDIT_CHECK_LEVEL_CODE, 'ORDER', 'Sales Order') "Credit Check Level",
  6. DECODE (CREDIT_HOLD_LEVEL_CODE, 'ORDER', 'Sales Order') "Credit Hold Level",
  7. DAYS_HONOR_MANUAL_RELEASE "Days To Honor Manual Release",
  8. CONVERSION_TYPE "Conversion Type",
  9. CHECK_ITEM_CATEGORIES_FLAG "Check Item Categories",
  10. SEND_HOLD_NOTIFICATIONS_FLAG "Send Hold Notifications",
  11. QUICK_CR_CHECK_FLAG "Use Pre-Calculated Exposure",
  12. INCLUDE_EXTERNAL_EXPOSURE_FLAG "Incl External Credit Exposure",
  13. OPEN_AR_BALANCE_FLAG "Incl Open Receivables Balance",
  14. INCLUDE_PAYMENTS_AT_RISK_FLAG "Include Payments At Risk",
  15. OPEN_AR_DAYS "OPEN Receivables Days",
  16. UNINVOICED_ORDERS_FLAG "Include Uninvoiced Orders",
  17. INCL_FREIGHT_CHARGES_FLAG "Incl Frght And Special Charges",
  18. INCLUDE_TAX_FLAG "Include Tax",
  19. ORDERS_ON_HOLD_FLAG "Incl Orders currently On Hold",
  20. SHIPPING_INTERVAL "Scheduled Ship Horizon Days",
  21. MAXIMUM_DAYS_PAST_DUE "Maximum Days Past Due"
  22. FROM apps.OE_CREDIT_CHECK_RULES
  23.  
  24.  
  25.  

Hope this will helps.

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High Volume Order Import (HVOP)

Posted on March 13th, 2009 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

High Volume Order Import aka (HVOP) is a yet another alternate option for processing of huge volume of orders.

HVOP is designed for large order volumes (between thirty-thousand and one million order lines per day), with a limited load window, using limited hardware resources.Benchmark study says, HVOP achieves a 2 to 4 –fold improvement relative to standard Order Import.

If you have relatively large volumes say 100,000+ lines per day or more, probabally you need to consider HVOP, else if you shorter window like importing 5000 lines per CPU in an hour, then this also a good options.

For Order Management HVOP order import, no special setup is required.

Before opting for this over Order import check it out what is supported and what not and see what functions are a real fit.

Supported Operations

  • Common pricing features
  • Item Cross References
  • Booking
  • Holds
  • Shippable/ non-shippable flows
  • Credit Checking

Unsupported Operations

  • Add Customers
  • Configurations
  • Advanced pricing features (modifiers)
  • Audit Trail
  • Returns
  • Reservations
  • Updates / Deletes
  • Importing Closed Orders
  • iPayment Integration and credit card orders

Therefore for internal orders, drop shipments, ship, arrival and fulfillment sets, processing constraints and complex defaulting users must continue to use Order Import.

If you really looking options you can use the HVOP Questionnaire on Oracle Metalink to determine if HVOP will work for you or not. Good luck !

Also Read

Posted in Oracle Order Management | 1 Comment »

Credit Check Functionality in Order Management

Posted on March 9th, 2009 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

Credit checking feature of Oracle OM provides the ability to check that the customer has sufficient credit available with the organization at the point of order booking ,picking, packing and shipping. Credit check rules, order transaction type, payment terms and credit profiles are the key setup entities that influence the credit check process.

Oracle OM credit checking includes:

  • Validating orders and lines against existing credit limits defined in the credit profile.
  • Placing credit holds at either the order or line level.
  • Sending credit hold notifications to order creator.
  • Automatically apply or release order or order line credit holds using credit check processor program.
  • Reporting and querying tools to effectively manage your credit processes and ensure credit holds are processed in a timely manner.

Main purpose of Credit checking process is to minimize the financial risk that the organization assumes as a result of day-to-day transactions.

In order to utilize this great feature these are mandatory setup you have to do:

  • Credit Check Failure Hold Setup (seeded)

Navigation would be

Order Management > Setup> Orders> Hold.

    • Name: Credit Check Failure
    • The seeded Credit Check Failure hold is a generic hold and not an activity specific hold.
    • Modifying the definition of the credit check failure hold can be prevented by setting the profile option OM:Modify Seeded Holds to NO.
  • Activating & Deactivating Credit Check
    • Activating Credit Checking Credit checking is performed based upon the criteria met of following 4 conditions:
      1. You need to enable credit profiles for customer in accounts receivables.
      2. You need to enable credit check flag on payment terms used on the order or Line.
      3. You need to define credit check rule.
      4. You need to assign credit check rule to the order type used.
    • Deactivating Credit Checking There are three ways to deactivate Credit Checking on an order:
      1. You can use an Order Type that does not have an assigned credit check rule.
      2. You can define the Customer Profile with ‘Credit Check’ checkbox unchecked.
      3. You can setup Payment Terms on Order /Line with ‘Credit Check’ checkbox unchecked.

Deactivating Credit Checking does not automatically release orders previously on credit check failure hold.

Four main setup is mandatory as per figure below:

Credit Check

dgreybarrow STEP BY STEP - ENABLING CREDIT CHECK FUNCTIONALITY

Step 1: Credit Check Rules Setup
Order Management Super User
Setup>Credit>Define Credit Check Rules

Once Credit Check Rule set then this can be used at the following points in the Order Life Cycle.

The same credit check rule, or different credit check rules, can be defined for all four (4) of these phases:

 

  1. Ordering
  2. Picking/Purchase Release
  3. Packing
  4. Shipping

 

STEP 2: Customer Profiles Setup
Customer>Standard
On the Profile: Transaction Tab, ensure the credit check box is checked

In the Profile:Amounts Select the currency and change the Order Limit and Credit Limit to as needed

Step3: Payment Terms Setup
Setup>Orders>Payment Terms

Step4: Order Types Setup - Select at what stage of Ordering you would like to perform Credit Check

Setup> Transaction Types>Define

Step5: Run the “Initialize Credit Summaries Report”

Order Management Super User
Setup>Credit>Initialize Credit Summaries

Step6: Run the “Credit Exposure Report”
Reports, Requests>Run Reports

Step7: Now Test

Now Book the Order.

You should see the credit check hold being applied and a message indicating the same

One more concept you have to understand, if your company or client operating working in Global model.

dgreybarrow GO GLOBAL

Global exposure involves credit check using overall exposure calculated from ALL ORGANIZATIONS (this is the term associated with Global Exposure) or credit exposure calculations using SINGLE organizations.

There are two levels available for this type of credit checking:

  1. Customer level credit checking and the overall credit limit defined at this level will be used.
  2. Org Default level credit checking and the overall credit limit defined at this level will be used.
  3. Site level and Item category level are not applicable to global exposure because customer sites are specific to an organization only and currently the item category credit checking is limited only to the specific sale order being credit checked.
  4. Global Exposure usage:
    • Site Level: Not Available
    • Customer Level: Available
    • Item Category Level: Not Available
    • Customer Default Level: Available
  5. In order to enable Global Exposure, Navigate to Order Management Super User > Setup > Credit > Define Credit Usage Rules.
    Enable a checkbox option called: Global Exposure

If a rule has been assigned to a credit profile, then modification of the rule set is not allowed. If a rule is new or not assigned to a credit profile, then modification is allowed. Next lets expose more on credit usage Rule.

dgreybarrow CREDIT USAGE RULES

  • Usage rule set defines the set of currencies that are involved in a specific credit check process.
  • Credit usage rule ensures that all transactions for specified currencies go through the currency conversion process prior to the credit checking process.
  • Usage Rule Set can be assigned to a Customer Profile Class, Customer account, Customer site, Item category or Operating Unit Default.

Credit Usage Rules enables:

  1. Multi Currency Credit Checking
  2. Global Credit Checking

Multi Currency Credit Check

 

  • With Multi-currency credit checking, you need to define just credit profile with single currency (e.g in US dollars) and share it among the other currencies. With Single currency credit check you must define a credit limit profile in each currency since each currency is treated individually for credit check purposes.
  • If you do not assign a credit usage rule set to the credit profiles, then the credit checking is performed as Single currency credit check.
  • While assigning usage rule to a profile a currency for the profile needs to be specified. The limits and the currency defined for that particular profile will be picked as multi-currency and credit checking will be done based on these limits.
  • For using multi-Currency credit checking set the Profile option AR: Credit Limit Selection to MULTI.

 

Global Credit Checking

  • Global exposure involves credit check using overall exposure calculated for all Organizations.
  • Global credit checking can be enabled by selecting the 'Global Exposure' check box in Usage Rule Set.
  • Global Credit checking is not applicable to Site level and Item category level profiles because customer sites are specific to an organization only and item category credit checking is limited only to the specific sale order.

SOME SENARIO BASES FAQ

Question we have implemented AR module.Is it possible to implement Credit check for AR invoices.
We have created customers with credit limit, but on invoicin what if you donot have OM , can i use Credit check function with AR only?

answer Credit check is not directly available in AR. If you refer back to AR Implementation Guide it states :

Credit Check: If you select the Credit Check box, then Oracle Order Management will check the customer's credit before creating a new order, provided that the Payment Term and Order Type associated with the order also require credit checking. Receivables does not check your customer's credit when you create transactions in Receivables.

QuestionWe are using Credit Check and Credit Hold. In Profile Amount we gave profile amount for each currency. Now we want to see for each customer what is credit Balance available.

answerGo to Receivales Super User -> Reports -> Listings -> and then run the Credit Limit Usage Report.

Also you check the output of the program "Customer Credit Snapshot"

QuestionIs it possible to set up credit checking rules across BGs? This is to prevent order booking on customers who have outstanding with business entities across the globe.

answer Yes , if you are R12 , you can achieve, Credit Management utilizes the TCA Relationship Manager hierarchy, the data in a credit review can be consolidated and calculated for Party / Customer Account and Site levels

Hope this helps.

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“Internal” versus “External” Drop-Ship: What’s the difference?

Posted on September 15th, 2008 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

dgreybarrow-2Difference between "Internal" and "External" Drop-Ship

In Oracle Context External Drop-Shipping means your Oracle Order Management uses purchase orders to outside suppliers that are automatically generated from sales orders for goods supplied directly from the supplier. The “external ” supplier ships the goods directly to the 3rd Party customer and confirms the shipment through the use of an Advanced Shipment Notice(ASN).

You should take a note,Oracle uses this ASN to record a receiving transaction into inventory followed by an immediate logical shipping transaction. From these transactions, conveyance of title takes place and the customer can be invoiced and the supplier’s invoice can be processed.

where as “Internal” context Drop-Shipping functions in a similar fashion. The key difference is that no inventory transactions take place on the books of the selling operating unit; transfer of ownership of the goods from shipper to seller to customer with the only physical movement of the goods being out of the shipping organization.

Read the rest of this entry »

Posted in Oracle Order Management | 5 Comments »

Drop Shipment – Functional Setup and flow

Posted on September 13th, 2008 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

A Drop Shipment occurs when a customer order is sourced from and delivered by a supplier.

Order Management sends information to the Purchasing Application to create that PO, and then when that PO is received (to indicate shipment from the supplier to your customer), the order line is automatically updated to indicate that it was fulfilled.

In this process, the company running Order Management is modeled as the company to whom the end customer places the original order.

dgreybarrow-2Drop Shipment - Setup

You need to make sure these are attribute setup Correctly:

  • Item Attributes

tickPurchased : Enabled
tickPurchasable : Enabled
tickTransactable : Enabled
tickStockable : Optional
tickReservable : Optional
tickInventory Item : Optional
tickCustomer Ordered : Enabled
tickCustomer Order Enabled : Enabled
tickInternal Ordered : Disabled
tickOE Transactable : Enabled
tickShippable : Optional

  • And ,your do set up for Order Source Type as External

dgreybarrow-2Drop Shipment – Your Setup checklist

  • Ensure you have created your Order Management Transaction Types and linked your Transaction Types to order and line workflows that support drop shipments.
  • Ensure the Oracle Workflow Background Engine is running.
  • Ensure all Drop ship locations you will use to perform drop shipments have the Ship To Site and Receiving Site defined.
  • Ensure you have defined the Internal Ship To Locations for your drop shipment customers (Oracle Receivables Standard Customer window, Business Purpose Details Tab).
  • Ensure your standard items have an associated List Price defined within your PO Inventory organization (Oracle Payables Financial Options window, Supplier-Purchasing Tab).

dgreybarrow-2Drop Shipment - Process Steps

  • Create a Sales Order with line where the line source is External
  • Book and Schedule the Sales Order
  • Run Requisition Import Process
  • Now the line status will be in Awaiting Receipt
  • Login to the Receiving Organization (Purchasing) who has been setup as an Approver
  • Run Requisition Import
  • Create Purchase Order from the Requisition
  • Approve the PO
  • Receive the full quantity
  • Run Auto Invoice
  • Verify Invoice in Sales Order

Check the details here .

dgreybarrow-2Things not to forget in a DropShipment

  • Release 11i/12 does not support Drop Shipment across operating units.
  • Blanket PO's will not used with Drop Shipment , the reason the PO must be created when OM notifies PO that a Drop Ship order has been created.
  • You can't cancelled Drop Shipments once Oracle Purchasing obtains the receipt.
  • Standard Items can be used for Drop Shipment.
  • In 11i, PTO's and ATO's cannot be drop shipped

dgreybarrow-2Similar Post on Drop Shipment

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