Order Management Training

---Confidential 1

Introduction

Three cycles in Oracle Applications    Plan to make.

Order to cash Procure to Pay ---Confidential 2

Basic Order Process

Customer Invoice Order Order Shipping Sales Department Inventory

---Confidential 3

Basic Order Process Flow

1 Customer requests order 2 Enter order 3 Book order 4 Schedule Release order 5 Ship product and update inventory 6 Invoice the customer Complete

---Confidential 4

Topics which we cover

 ORDER MANAGEMENT-----SETUP STEPS   CREATING A SALES ORDER BACK ORDERED    RMA DROP SHIPMENT INTERNAL SALES ORDER ---Confidential 5

ORDER MANAGEMENT-----SETUP STEPS

Step 1--Flexfields

Define key and descriptive Flexfields to capture additional information about orders and transactions. This step is required for Key Flexfields, and optional if you plan on using the functionality surrounding Descriptive Flexfields. Several defaulting values are provided.

---Confidential 6



Step 2---Multiple Organizations

Define multiple organizations in Oracle Inventory. This step is optional.

---Confidential 7

Step 3---Inventory Organizations

 Define inventory organizations (warehouses), parameters, subinventories, and picking rules in Oracle Inventory.

 You must define at least one item validation organization and at least one organization that acts as an inventory source for orders fulfilled internally. If you plan to drop ship some orders, you must also define at least one logical organization for receiving purposes. Your item validation organization can be the same as your inventory source or your logical receiving organization, but you cannot use one organization for all three purposes. ---Confidential 8

Step 4---Profile Options

 Define profile options to specify certain implementation parameters, processing options, and system options.  This step is required.

---Confidential 9

  

Step 5---Parameters

Set your Order Management Parameters to validate items, enable customer relationships, and operating unit defaults. This step is required.

Step 6---Invoicing

Define invoicing information, including payment terms, invoicing and accounting rules, Auto accounting parameters, territories, and invoice sources. This step is required if you plan on transferring invoicing information to Oracle Receivables. Several defaulting values are provided.

Step 7---Tax

Define tax features, such as codes, rates, exceptions, and exemptions. This step is required.

---Confidential 10

  

Step 8---QuickCodes

Define QuickCodes that provide custom values for many lists of values throughout Order Management.

This step is required if you plan on creating user defined QuickCodes for utilization within Order Management. Defaulting values are provided.

Step 9---Workflow

Define order and line processing flows to meet different order and line type requirements. This step is required.

Step 10---Document Sequences (Order Numbering)

Define Document Sequences for automatic or manual numbering of orders. This step is required.

---Confidential 11



Step 11---Order Import Sources

Define sources for importing orders into Order Management. This step is required if you plan on importing orders or returns into Order Management.

This is done in Purchasing.



Step 12---Units of Measure

Define the units of measure in which you supply items. This step is required. -----INV 

Step 13---Item Information

Define item information, including item attribute controls, categories, and statuses. This step is required. -----INV ---Confidential 12



Step 14---Items

Define the items that you sell, as well as container items. This step is required. -----INV 

Step 15---Pricing

Define price lists for each combination of item and unit of measure that you sell. Optionally, you can define pricing rules and parameters to add flexibility. This step is required.



Step 16---Customer Classes

Define customer profile classes. This step is required if you plan on using the functionality surrounding Customer Profiles. Several defaulting values are provided. --AR ---Confidential 13



Step 17---Customers

Define information on your customers. This step is required. ---AR 

Step 18---Item Cross-References

Define item cross-references---INV 

Step 19---Order Management Transaction Types (Order and Line Types)

Define Order Management transaction types to classify orders and returns. For each order type, you can assign a default price list, defaulting rules, order lines, return lines, line types, workflow assignments, payment terms, and freight terms. This step is required.

---Confidential 14



Step 20---Cost of Goods Sold (COGS)

Set up your Cost of Goods Sold Accounting Flexfields combination (COGS Account) in Oracle Inventory. 

Step 21---Processing Constraints

Define processing constraints to prevent users from adding updating, deleting, splitting lines, and cancelling order or return information beyond certain points in your order cycles. Use the constraints Order Management provides, which prevent data integrity violations, or create your own. This step is optional. Several default values for processing constraints have been defined.

---Confidential 15

  

Step 22---Defaulting Rules

Define defaulting rules to determine the source and prioritization for defaulting order information to reduce the amount of information you must enter manually in the Sales Orders window. This step is optional.

Step 23---Credit Checking

Define your credit checking rules. This step is required if you plan on performing any type of order credit checking.

Step 24---Holds

Define automatic holds to apply to orders and returns. This step is required if you plan on performing automatic hold for orders or returns.

---Confidential 16



Step 25---Attachments

Define standard documents to attach automatically to orders and returns. This step is optional.



Step 26---Freight Charges and Carriers

 Define freight charges and freight carriers to specify on orders. This step is required if you plan on charging customers for freight or additional order charges.

Step 27---Shipping

Define shipping parameters in Oracle Shipping Execution. This step is required.

---Confidential 17

    

To create a sales order

Set up of organization parameters.

Create a price list with the items you created.

Create an order type/transaction type, which includes 2 line types one for the line orders, second for line returns, and assign these both in an order type.

Define a sequence, as how your order documents numbers should come.

Then assign this sequence to the order type you are using and order number comes from the order type ---Confidential 18

To create a sales order contd..

 Define pick slip grouping rules and pick release sequence rules.

 Define shipping documents.

 Then assign these 2 things (4. & 5.) in the shipping parameters.

 From the above things you can create a sales order.

---Confidential 19

BACK ORDERED

 If the items are coming back from the staging area to the source subinventory.

---Confidential 20

RMA

 If the material is coming back from customers after reaching them. Then we do RMA to accept that back ---Confidential 21

DROP SHIPMENT

 Supplying material to your customers by getting it from a external source (supplier) ---Confidential 22

Vendor Drop Ship or Combination Standard with Drop Ship Order Flow

Enter order Drop Ship: Yes or No?

Drop Ship Item Internally Sourced Item Send to Purchasing Schedule Supplier ship confirmation Ship and update inventory Create invoice Close sales order

---Confidential 23

Internal sales order

 Getting material from any of the other organization by means of a internal requisition.

---Confidential 24

Inventory Expense

Internal Order Flow

Requestor Manually create Demand Import or reschedule requisitions Approve requisition Create internal sales order Order entry Schedule order Pick Release Ship confirm Direct Intransit Receive Inventory Expense

---Confidential 25

Where to Get More Information

 Other training sessions  List books, articles, electronic sources  Consulting services, other sources ---Confidential 26

---Confidential

END

27

Where to Get More Information

 Other training sessions  List books, articles, electronic sources  Consulting services, other sources ---Confidential 28

Where to Get More Information

 Other training sessions  List books, articles, electronic sources  Consulting services, other sources ---Confidential 29