Monthly Archives: January 2018

Receipt Accounting

Receipt Accounting basically deals with procurement activities or events like purchase accruals and expense accounting. Oracle Fusion Receipt Accounting recognizes the liability to the supplier and creates accruals for receipts destined for inventory or expense. These accrual balances are reconcile against the corresponding invoices from accounts payable by receipt accounting and clears them to inventory valuation.

Receipt Accrual

Receipt accounting creates accrued liability balances for the estimated cost of purchase order receipts, at time when goods are received and delivered to inventory or expense destination.

When we creates actual supplier invoice, Accounts Payable creates the actual supplier liability and clear/offset the accrual balances

Now when we are talking about receipt accruals, there are two ways we can accrue liability:

  1. Accrue at Receipt
  2. Accrue at Period end

Accrue at Receipt

When the business process designed to create receipt accrual at the time of receiving, Receipt accounting creates accruals as soon as receipt has been entered and confirmed in the oracle fusion application.

Receipt Accounting creates or credit the Accrual account and debit the Receiving Inspection account when receipt has been entered in the oracle fusion application. And when receipt is confirmed or delivered, receipt accounting offset or clears the Receiving Inspection and debit the inventory or expense charge account. Hence, summarized accounting captured in the oracle fusion is liability has been accrued and charge account has been debited.

Now once actual supplier invoice is created, accounts payable application clears or offset the accrual account balances and creates the actual supplier liability

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Accrue at Receipt Option

The first question comes up when you start setting up receipt accounting, where to setup the receipt accrual option, i.e., accrue at receipt or accrue at period end. One point that you need to keep note of is for inventory items the receipt accounting always performs accrue at receipt. And for expense items the oracle fusion provides the option to setup either you want accrue at receipt or accrue at period end.

Hence, whenever you are receiving the inventory items the system always creates accrual at the time of receipt and for expense items you have to setup the option. Navigate to Setup and Maintenance area and search for “Common Options for Payable and Procurement”

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Oracle Fusion also provides you the flexibility to override the receipt accrual option at the time of purchase order creation.

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Transfer Receiving Transactions to Costing

Before the receipt accounting creates the receipt accrual, oracle fusion requires to transfer the eligible transactions to costing. That means you have to transfer Receiving transactions to costing to create receipt accounting entries. To transfer the receiving transactions, navigate to scheduled processes and search for “Transfer Transactions from Receiving to Costing”, the process will transfer all the eligible transactions from receiving to costing for receipt accounting.

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Transfer Inventory Transactions to Costing

In addition to transferring the receiving transactions to costing, you have to transfer the inventory transactions to costing also in case on inventory items. Because when you delivered the item to warehouse, the oracle fusion application raises an event for inventory that is subscribed by costing. To transfer the inventory transactions, navigate to scheduled processes and search for “Transfer Transactions from Inventory to Costing”, the process will transfer all the eligible transactions from inventory to costing for cost accounting.

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Receipt Accrual Creation

Once all the eligible transactions has been transferred to costing, you are ready to create receipt accrual. Navigate to Costing > Receipt Accounting and click on “Create Receipt Accounting Distributions”

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Once “Create Receipt Accounting Distributions” process is completed, go to “Review Receipt Accounting Distributions”

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Complete the Receipt Accounting

To complete the receipt accounting, navigate to Costing > Cost Accounting and click on “Create Cost Accounting Distribution”

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Once the “Create Cost Accounting Distribution” process is completed, go to “Review Cost Accounting Distribution” to view the accounting distribution.

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Extensible Flexfields (EFF) in Oracle Fusion Cloud

Extensible Flexfields (EFF) is just a extension of Dynamic Flexfields (DFF). In other words, Extensible Flexfields (EFF) expand the scale and scope of Dynamic Flexfields (DFF) by adding enhanced features.

Technically, Extensible Flexfields (EFF) decouple the flexfield segment as a single column in transaction database tables to segment values and context and stores them in a child tables. This will provide the implementers/consultants the customizable expandible space to configure an unlimited number of both segments and contexts.

From configuration perspective, Extensible Flexfields (EFF) use context in the same way as Dynamic Flexfields (DFF)  but adding an intermediate layer to support extension. This intermediate layer is Category that will support the context and all the contexts can be organized into a structure and can be displayed based on the usage.

Now let’s take a look into the system to apply the idea discussed above.

Navigate to Setup and Maintenance area and search for Extensible Flexfields1

We will go and create some EFF at sales order header level. Click on “Manage Order Extensible Flexfields” and search for Header Information

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Go to Actions > Edit to go inside

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On this landing page, you will see the Category – Additional Header Information and all the contexts associated with category. Now click on the Pages tab under Category Details to view the pages displayed and hierarchy on the Sales Order UI.

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If you scroll down the above page, then you will find that under Associated context details the context specific segments that is displayed under each page are associated to the page

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Now let create one context and context specific segment and create separate page to display under sales order additional information UI.

Click on Manage Contexts to create context

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Go to Actions > Create to create a new context

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Enter the Context display name and select the behavior. DO NOT CHANGE Code and API name, it should be system populated.

Now associate Context to Category under Context Usage

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Click Save and Go to Actions > Create under Context Sensitive Segment to create Segments

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I am not detailing on each and every value on segment assuming you are aware of how to create segment. But listing out the important fields:

  • Enter Segment Name. DO NOT CHANGE  Code and API name, it should be system populated.
  • Select Data Type and Table Column
  • Select Value Set
  • Select Display Type

Click on Save and Close

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The segment is added to the context. Click on Save and Close to complete the context and context specific segment creation.

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Click again on Save and Close to go back to the EFF Main page

Now, till this step it is same as DFF. But to display this segment (EFF) on the sales order additional information UI, we need to perform below steps:

  • Associate the Context to Category

Highlight the “Additional Header Information” Category and click on Actions > Create under Associated Context to associate the context

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Search for your context and click on OK and then Apply to associate the context to Category

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  • Create Page under Category under which the Context specific Segment is available

Highlight the “Additional Header Information” Category click on Pages under Category: Details

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Go to Actions  >Create to create page that represent context specific segment

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Enter the Page name same as segment name and DO NOT CHANGE the Code as it is system populated. Always Select Usage as “Additional Header Information”. Click OK

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  • Associate the Context to the Page

Go to Actions > Create under Associated Context Details for Page

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Search for your context and click on OK and then Apply to associate the page with context.

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Click on Save and Close to complete the EFF creation.

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Click on Deploy Flexfield to deploy the EFF for sales order

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Click OK to complete EFF deployment

Now go to sales order creation UI to view the EFF just created

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Importing Orders from External Source System

Generally when working with big customers, they would have requirement to capture sales order coming from external system. Yeah, I know we can capture the sales order using FBDI or webservice and use EFF to mention the respective source system. But to your surprise, oracle fusion cloud has possess the capability to create external source system to capture the sales order. In this article we will learn how to create new source system to capture the sales order.

Creating External Source System

To create new source system we have to leverage the oracle fusion cloud Trading Community Model because oracle fusion cloud source system, for ex: OPS, is predefined in the Trading Community Model and if you require to collect or load sales order from external source system for Oracle Fusion Global Order Promising or Oracle Fusion Order Management, then first you have to define the external source system under Trading Community Model.

To add each external source system navigate to Setup and Maintenance work area and search for “Manage Trading Community Source Systems” page, as shown below.

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Click Manage Trading Community Source Systems task to open the page

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Go to Actions > Create to add new source system

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Enter the Source system name and description and select Type as Spoke. Check all the check box except “Enable for Asset” to allow source system to capture sales order and click on Save and Close. The source system is created under Trading Community Model

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Enable External Source System for Order Orchestration

Once external source system is created under Trading Community Model, next step is to make this source system eligible to use in order management to capture sales order. To enable the new source system for order orchestration and planning navigate to Setup and Maintenance work area and search for “Manage Planning Source Systems”

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Click on “Manage Planning Source Systems” task to open the page.

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Go to Actions > Create to add the newly created source system to enable it for Order Orchestration and Planning

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Enter the following information:

Code:- Select the Source System Code from the LOV
Time Zone:- Select from LOV
Version:- this should be – Other – for all external Source Systems. There should only ever be a single source system – Fusion
Order Orchestration Type:- Select either – Order Capture – or – Fulfillment
Check – Collections allowed (You can allow collections for external source systems if you load planning data from files)
Check – Enable data cross-reference

Click on Save and Close to enable the external source system for Order Orchestration and Planning

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Enable Organization for Data Collections

Once external source system is created and enabled for  Order Orchestration and Planning, you have to enable organization that will be use for data collections.

To enable Organizations navigate to Setup and Maintenance area and search for “Manage Planning Source Systems”

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Click on  “Manage Planning Source Systems” task to open the page

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Highlight the row for external source system created and click on Manage Organization List button

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Search for your organization and as surprise you will get no result ! The reason for this is that Order Management and GOP expects that an Item Inventory Organization can ONLY be associated/related to One Source System – this is a One To Many Relationship (A single Source System may Fulfill Order Lines from many Item Inventory Organizations).

But don’t worry you will capture the sales order for this new external source system, let’s see next steps.

Create Cross Reference Data for External Source System

To capture sales order for new external source system, first you have to create all the cross reference data to be used by external source system. You need to use Cross Reference Data FBDI with Source and Target values for supported attributes of an fusion source system (OPS).

To check all the supported attributes of an fusion source system (OPS), navigate to Supply Chain Planning > Plan Inputs

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Go to Task Panel > Click on Cross Reference Relationships for Collected Data. Search for Attributes for fusion source system (OPS)

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Download all the attributes in the excel using the excel icon under Search results and create cross reference data for all these attributes for external source system using Cross Reference Data FBDI.

To load Cross Reference Data, download Cross Reference Data FBDI under Supply chain management from Oracle enterprise repository.

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Download the template, open it and populate all the entity and respective attribute values for new external source systems

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Create the necessary CSV files for upload.

From the Navigator, use the File Import and Export page to upload the zipped CSV files to the Universal Content Manager.

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Go to Actions > Upload to upload zipped csv files. Use the account scm/planningDataLoader/Import to upload the zipped file

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Click Save and Close to upload the file

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Now, navigate to Supply Chain Planning offering > Plan Inputs

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Select the Load Planning Data from Files from task panel

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Select the external source system for which you want to create cross reference data and select data file uploaded in the UCM.

Click Submit and review the status of the process

Now, you are ready to create sales order for external source systems using FBDI or webservice.