Use Only: R12 Oracle Purchasing Fundamentals Ed 1

R12 Oracle Purchasing
Fundamentals Ed 1
Volume 3 - Student Guide
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Edition 1.0
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August 2007
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Copyright 2007, Oracle. All rights reserved.
This document contains proprietary information and is protected by copyright and other intellectual property laws. You may copy and
print this document solely for your own use in an Oracle training course. The document may not be modified or altered in any way.
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be trademarks of their respective owners.
Author
Vic Mitchell, Dee Fairbanks Simpson
Technical Contributors and Reviewers
Marilyn Montgomery, Barbara Nicholls, Barbara Snyder, Sharon Tennier
This book was published using: oracletutor

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Table of Contents
Procure to Pay Lifecycle Overview ................................................................................................................1-1

Procure to Pay Lifecycle Overview ...............................................................................................................1-3
Objectives ......................................................................................................................................................1-4
Procure to Pay Lifecycle................................................................................................................................1-5
Oracle Procure to Pay Process.......................................................................................................................1-7
Demand: Requisitions....................................................................................................................................1-9
Source: RFQs and Quotations .......................................................................................................................1-11
Suppliers ........................................................................................................................................................1-13
Purchase Orders.............................................................................................................................................1-15
Receiving.......................................................................................................................................................1-17
Invoicing........................................................................................................................................................1-19
Payment .........................................................................................................................................................1-20
Overview of Oracle Application Integration .................................................................................................1-21
Summary........................................................................................................................................................1-23
Oracle Purchasing Overview ..........................................................................................................................2-1
Oracle Purchasing Overview .........................................................................................................................2-3
Procure to Pay: Procurement .........................................................................................................................2-4
Objectives ......................................................................................................................................................2-5
Agenda...........................................................................................................................................................2-6
Overview of the Ordering Process.................................................................................................................2-7
Demand as Requisitions ................................................................................................................................2-8
Requisition to Purchase Order .......................................................................................................................2-10
The Purchase Order Process ..........................................................................................................................2-11
The Receiving Process...................................................................................................................................2-13
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Center-Led Procurement................................................................................................................................2-16
Agenda...........................................................................................................................................................2-17
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Purchasing Integration...................................................................................................................................2-18
E-Business Foundation ..................................................................................................................................2-19
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Purchasing Integration with General Ledger .................................................................................................2-21
Purchasing Integration with Human Resources.............................................................................................2-22
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Purchasing Integration with Payables............................................................................................................2-23
Purchasing Integration with Inventory ..........................................................................................................2-24
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Applications Technology Foundation............................................................................................................2-25
Purchasing Integration with Oracle Alert ......................................................................................................2-27
Purchasing Integration with Oracle Workflow ..............................................................................................2-29
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Purchasing Integration with e-Commerce Gateway ......................................................................................2-31
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Procurement Suite..........................................................................................................................................2-32
Purchasing Integration with Oracle iProcurement .........................................................................................2-34
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Purchasing Integration with Oracle iSupplier Portal ....................................................................................2-35
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Purchasing Integration with Oracle Sourcing ...............................................................................................2-37
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Purchasing Integration with Services Procurement .......................................................................................2-38
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Purchasing Integration with Procurement Contracts .....................................................................................2-39
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E-Business Suite ............................................................................................................................................2-40
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Purchasing Integration with Projects .............................................................................................................2-42
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Purchasing Integration with WIP...................................................................................................................2-43
Purchasing Integration with Order Management...........................................................................................2-44
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Purchasing Integration with Quality ..............................................................................................................2-45
Purchasing Integration with Advanced Pricing .............................................................................................2-47
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Purchasing Integration with ASCP/MRP ......................................................................................................2-48
Purchasing Integration with Assets................................................................................................................2-49
O Purchasing Integration with Consigned and Vendor Managed Inventory .....................................................2-50

Purchasing Open Interfaces and APIs ...........................................................................................................2-51
Copyright Oracle Corporation, 2006. All rights reserved.
R12 Oracle Purchasing Fundamentals Table of Contents

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Guided Demonstration - Oracle Integration Repository ............................................................................2-52
E-Business Suite Setup Practice ....................................................................................................................2-53
Practice - Create a New Employee and User .............................................................................................2-54
Solution - Create A New Employee and User ...........................................................................................2-55
Practice - Set Yourself Up As a Buyer ......................................................................................................2-59
Guided Demonstration - Run the Fill Employee Hierarchy Process .........................................................2-61
Summary........................................................................................................................................................2-62
Enterprise Structure Locations, Organizations, and Items ......................................................................3-1
Enterprise Structure Locations, Organizations, and Items..........................................................................3-3
Objectives ......................................................................................................................................................3-4
Agenda...........................................................................................................................................................3-5
What is Enterprise Structure? ........................................................................................................................3-6
The Oracle Enterprise Structure ....................................................................................................................3-7
Ledger Components.......................................................................................................................................3-9
Oracle Purchasing and the Enterprise Structure ...........................................................................................3-11
Oracle Inventory Organizations.....................................................................................................................3-12
Agenda...........................................................................................................................................................3-14
Defining Locations ........................................................................................................................................3-15
Examples of Locations ..................................................................................................................................3-17
Defining Locations in Purchasing..................................................................................................................3-18
Practice - Create a Location.......................................................................................................................3-20
Solution - Create a Location ......................................................................................................................3-21
Agenda...........................................................................................................................................................3-24
Inventory Organizations ................................................................................................................................3-25
Inventory Organization Setup........................................................................................................................3-27
Defining an Inventory Organization ..............................................................................................................3-28
Financial Impact of Inventory Parameters.....................................................................................................3-30
Purchase Price Variance ................................................................................................................................3-31
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Practice - Create an Inventory Organization..............................................................................................3-33e
Invoice Price Variance...................................................................................................................................3-32
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Solution - Create an Inventory Organization .............................................................................................3-34
Agenda...........................................................................................................................................................3-39
Define Units of Measure................................................................................................................................3-40
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Unit of Measure Setup Steps .........................................................................................................................3-41
Define Unit of Measure Classes and Units of Measure ................................................................................3-42
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Examples of Unit of Measure Classes and Units of Measure (UOM)..........................................................3-44
Unit of Measure Conversion..........................................................................................................................3-45
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Practice - Define a Unit of Measure ..........................................................................................................3-47
Solution - Define a Unit of Measure..........................................................................................................3-48
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Agenda...........................................................................................................................................................3-52
Item Categories..............................................................................................................................................3-53
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Create Item Category Codes..........................................................................................................................3-54
Describing and Using Category Sets .............................................................................................................3-55
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Establish the Relationship Between the Category, Category Set and Item....................................................3-56
Practice - Create a Purchasing Category....................................................................................................3-57
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Solution - Create a Purchasing Category ...................................................................................................3-58
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Agenda...........................................................................................................................................................3-63
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What is an Item? ............................................................................................................................................3-64
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Oracle Applications That Use Items..............................................................................................................3-65
Flow of Default Values..................................................................................................................................3-67
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Item Attributes...............................................................................................................................................3-68
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Item Master Organization and Inventory Organizations................................................................................3-70
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Overview of Creating an Item .......................................................................................................................3-72
Item Templates ..............................................................................................................................................3-73
Describing Item Attributes - Inventory..........................................................................................................3-75
O Describing Item Attributes - Purchasing .......................................................................................................3-78

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Describing Item Attributes - Receiving .........................................................................................................3-81
Practice - Create Purchasing Items ............................................................................................................3-83
Solution Create Purchasing Items...........................................................................................................3-84
Defining Item Relationships - Purchasing .....................................................................................................3-87
Agenda...........................................................................................................................................................3-89
Additional Setup Considerations ...................................................................................................................3-90
Multiple Organizations Access Control Setup Set Profile Options ............................................................3-92
Enterprise Structure .......................................................................................................................................3-94
Summary........................................................................................................................................................3-96
Suppliers...........................................................................................................................................................4-1
Suppliers ........................................................................................................................................................4-3
Procure to Pay: Suppliers ..............................................................................................................................4-4
Objectives ......................................................................................................................................................4-5
Agenda...........................................................................................................................................................4-6
Overview of Suppliers ...................................................................................................................................4-7
Purchasing Use of Supplier Information .......................................................................................................4-8
Flow of Default Values..................................................................................................................................4-10
Agenda...........................................................................................................................................................4-11
Supplier Record Structure..............................................................................................................................4-12
Entering Standard Supplier Basic Information ..............................................................................................4-14
Supplier Company Profile .............................................................................................................................4-15
Supplier Profile - Organization......................................................................................................................4-17
Supplier Profile Address Book Supplier Sites ............................................................................................4-18
Supplier Profile Contact Directory .............................................................................................................4-19
Supplier Profile Business Classification.....................................................................................................4-20
Supplier Profile - Banking Details.................................................................................................................4-21
Guided Demonstration - Set up a Bank .....................................................................................................4-22
Supplier Terms and Control...........................................................................................................................4-24
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Supplier Profile - Accounting........................................................................................................................4-26
Supplier Profile - Tax and Reporting.............................................................................................................4-27
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Supplier Profile - Purchasing.........................................................................................................................4-28
Supplier Profile - Receiving ..........................................................................................................................4-30
Supplier Profile Payment Details................................................................................................................4-32
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Supplier Profile Invoice Details..................................................................................................................4-34
Suppliers Quick Update Page ........................................................................................................................4-36
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Supplier Level Versus Site Level Entry ........................................................................................................4-38
Practice - Create a Supplier With Two Sites .............................................................................................4-39
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Solution - Create a Supplier With Two Sites.............................................................................................4-40
Agenda...........................................................................................................................................................4-53
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Maintaining Supplier and Supplier Site Information.....................................................................................4-54
Avoiding Duplicate Suppliers........................................................................................................................4-55
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Merging Suppliers .........................................................................................................................................4-57
Data Example - Supplier Merge ....................................................................................................................4-59
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Merging Suppliers Reports ............................................................................................................................4-60
Agenda...........................................................................................................................................................4-61
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Supplier Reports ............................................................................................................................................4-62
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Agenda...........................................................................................................................................................4-66
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Financials Options: Supplier-Purchasing.......................................................................................................4-67
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Financials Options: Human Resources ..........................................................................................................4-69
Supplier Lookup Codes .................................................................................................................................4-70
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Profile Options...............................................................................................................................................4-72
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Agenda...........................................................................................................................................................4-73
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Responsibility for Supplier Entry/Maintenance.............................................................................................4-74
Supplier Naming Conventions.......................................................................................................................4-75
Supplier Naming Convention Examples........................................................................................................4-77
O Supplier Numbering Options.........................................................................................................................4-79

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Supplier Conversion Methodology................................................................................................................4-81
Setup of Fax or E-Mail ..................................................................................................................................4-83
iSupplier Portal: Supplier Self-Service..........................................................................................................4-84
Summary........................................................................................................................................................4-85
Document Security, Routing and Approval ..................................................................................................5-1
Document Security, Routing and Approval...................................................................................................5-3
Procurement: Purchasing Documents............................................................................................................5-4
Objectives ......................................................................................................................................................5-5
Agenda...........................................................................................................................................................5-6
Overview of Document Security, Approval and Routing..............................................................................5-7
Agenda...........................................................................................................................................................5-9
Document Security Levels.............................................................................................................................5-10
Document Access Levels...............................................................................................................................5-11
Agenda...........................................................................................................................................................5-12
Document Approval - Jobs and Positions......................................................................................................5-13
Guided Demonstration - Create a Position (Optional)...............................................................................5-14
Document Routing Option #1: Employee/Supervisor Relationship ..............................................................5-15
Document Routing Option #2: Position Approval Hierarchy........................................................................5-16
Guided Demonstration - Add the Position to the Hierarchy ......................................................................5-18
Position Approval Hierarchies......................................................................................................................5-19
Guided Demonstration - Add the Position to the Hierarchy ......................................................................5-21
Document Types - Approval Settings............................................................................................................5-22
Document Types - Control ............................................................................................................................5-24
Creating Approval Groups.............................................................................................................................5-26
Approval Groups - Illustration.......................................................................................................................5-28
Guided Demonstration - Create Approval Groups ....................................................................................5-30
Assigning Approval Groups ..........................................................................................................................5-31
Guided Demonstration - Create Approval Group Assignments ................................................................5-32
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Enter People...................................................................................................................................................5-33
Run Fill Employee Hierarchy Process...........................................................................................................5-35
Practice - Set Up Document Routing and Approval ..................................................................................5-36
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Solution - Set Up Document Routing and Approval .................................................................................5-37
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Selecting Approval Paths...............................................................................................................................5-48
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Agenda...........................................................................................................................................................5-49
Reports...........................................................................................................................................................5-50
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Agenda...........................................................................................................................................................5-51
Financial Options...........................................................................................................................................5-52
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Oracle Workflow ...........................................................................................................................................5-53
Global Supervisor/Approver..........................................................................................................................5-55
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Agenda...........................................................................................................................................................5-56
Additional Implementation Considerations What if . . . ? .............................................................................5-57
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Additional Implementation Considerations What if . . . ? (Contd.) ...............................................................5-59
Strengths and Weaknesses of Approvals Using the Employee/Supervisor Relationship ..............................5-61
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Strengths and Weaknesses of Approvals Using Position Approval Hierarchies ...........................................5-62
Oracle Approval Manager for Requisitions...................................................................................................5-63
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Summary........................................................................................................................................................5-65
RFQs and Quotations......................................................................................................................................6-1
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RFQs and Quotations.....................................................................................................................................6-3
Procurement: RFQs & Quotations.................................................................................................................6-4
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Objectives ......................................................................................................................................................6-5
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Agenda...........................................................................................................................................................6-6
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RFQs and Quotations.....................................................................................................................................6-7
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Agenda...........................................................................................................................................................6-8
Request for Quotation....................................................................................................................................6-9
O RFQ Lifecycle ...............................................................................................................................................6-11

Send Notifications .........................................................................................................................................6-12

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RFQ Types.....................................................................................................................................................6-13
Supplier List ..................................................................................................................................................6-14
Practice - Create a Supplier List ................................................................................................................6-15
Solution - Create a Supplier List................................................................................................................6-16
RFQ Structure................................................................................................................................................6-17
RFQ Header...................................................................................................................................................6-18
RFQ Lines .....................................................................................................................................................6-20
RFQ Price Breaks/Shipments ........................................................................................................................6-22
Practice - Create a Catalog RFQ................................................................................................................6-23
Solution - Create a Catalog RFQ ...............................................................................................................6-25
Agenda...........................................................................................................................................................6-32
Quotations......................................................................................................................................................6-33
Quotation Lifecycle .......................................................................................................................................6-35
Send Notifications .........................................................................................................................................6-36
Quotation Types ............................................................................................................................................6-37
Quotation Structure........................................................................................................................................6-38
Quotation Header...........................................................................................................................................6-39
Quotation Lines .............................................................................................................................................6-41
Quotation Price Breaks/Shipments ................................................................................................................6-43
Quotation Approvals......................................................................................................................................6-44
Practice - Create a Catalog Quote from an RFQ........................................................................................6-45
Solution - Create a Catalog Quote from an RFQ .......................................................................................6-47
Agenda...........................................................................................................................................................6-52
RFQ and Quotations Reports.........................................................................................................................6-53
Agenda...........................................................................................................................................................6-54
Purchasing Options........................................................................................................................................6-55
RFQ and Quotations Lookup Codes..............................................................................................................6-57
RFQ and Quotations Profile Options.............................................................................................................6-58
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Agenda...........................................................................................................................................................6-60
Additional RFQ and Quotations Implementation Considerations .................................................................6-61
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Summary........................................................................................................................................................6-63
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Approved Supplier Lists and Sourcing Rules ...............................................................................................7-1
Approved Supplier Lists and Sourcing Rules................................................................................................7-3
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Procurement: Supplier Identification.............................................................................................................7-4
Objectives ......................................................................................................................................................7-5
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Overview of Sourcing in Purchasing .............................................................................................................7-6
Agenda...........................................................................................................................................................7-7
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Approved Supplier Lists ................................................................................................................................7-8
Supplier Statuses ...........................................................................................................................................7-9
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Practice - Create an Approved Supplier List Status...................................................................................7-11
Solution - Create an Approved Supplier List Status ..................................................................................7-12
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ASL Common Header Attributes ..................................................................................................................7-14
ASL Header Attributes - Item........................................................................................................................7-16
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ASL Header Attributes - Commodity............................................................................................................7-17
Supplier-Commodity/Item Attributes ............................................................................................................7-19
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Supplier-Commodity/Item Attributes Source Document ..............................................................................7-22
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Supplier-Commodity/Item Attributes Supplier Scheduling...........................................................................7-24
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Supplier-Commodity/Item Attributes Planning Constraints..........................................................................7-26
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Practice - Require an Approved Supplier for an Item................................................................................7-28
Solution - Require an Approved Supplier for an Item ...............................................................................7-29
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Practice - Create an Approved Supplier List .............................................................................................7-31
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Solution - Create an Approved Supplier List.............................................................................................7-33
r aPractice - Understand ASL Precedence .....................................................................................................7-38

Agenda...........................................................................................................................................................7-44
Sourcing Rules Overview ..............................................................................................................................7-45
O Sourcing Rules...............................................................................................................................................7-46

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Oracle Products That Use Sourcing Rules.....................................................................................................7-47
Create a Sourcing Rule ..................................................................................................................................7-48
Create a Sourcing Rule Assignment ..............................................................................................................7-49
Levels of Sourcing Rule Assignments...........................................................................................................7-51
Sourcing Rules with an ASL Source Document............................................................................................7-52
Sourcing Rules without an ASL Source Document.......................................................................................7-53
Default Sourcing Information to Requisitions...............................................................................................7-54
Default Sourcing Information to Standard Purchase Orders .........................................................................7-55
Automatic Sourcing Enablement During Blanket Agreement Approval.......................................................7-56
Practice - Create a Sourcing Rule and a Sourcing Rule Assignment.........................................................7-58
Solution - Create a Sourcing Rule and a Sourcing Rule Assignment ........................................................7-60
Practice - Enable Automatic Document Sourcing .....................................................................................7-66
Solution - Enable Automatic Document Sourcing.....................................................................................7-67
Generate Sourcing Rules and ASLs from Blanket Agreements Concurrent Program..................................7-69
Agenda...........................................................................................................................................................7-70
Sourcing Profile Options ...............................................................................................................................7-71
Agenda...........................................................................................................................................................7-73
Additional Sourcing Implementation Considerations....................................................................................7-74
Summary........................................................................................................................................................7-76
Requisitions ......................................................................................................................................................8-1
Requisitions ...................................................................................................................................................8-3
Procurement: Requisitions.............................................................................................................................8-4
Objectives ......................................................................................................................................................8-5
Agenda...........................................................................................................................................................8-6
Where Purchase Requisitions Fit...................................................................................................................8-7
Manual Requisitions from Purchasing and iProcurement..............................................................................8-8
Purchasing Document Flow...........................................................................................................................8-10
Requisition Lifecycle.....................................................................................................................................8-11
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Send Requisition Notifications ......................................................................................................................8-12
Agenda...........................................................................................................................................................8-13
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Requisition Structure .....................................................................................................................................8-14
Default Value Hierarchy................................................................................................................................8-16
Requisition Preferences .................................................................................................................................8-17
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Requisition Header ........................................................................................................................................8-18
Requisition Line ............................................................................................................................................8-20
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Requisition Line (Cont.) ................................................................................................................................8-22
Requisition Distribution ................................................................................................................................8-23
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Allocating Costs to Multiple Charge Accounts .............................................................................................8-24
Submitting Requisitions for Approval...........................................................................................................8-25
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Approving Requisitions.................................................................................................................................8-26
Practice - Create a Purchase Requisition ...................................................................................................8-27
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Solution - Create a Purchase Requisition...................................................................................................8-28
Requisition Actions .......................................................................................................................................8-31
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Oracle Purchasing Supplier Item Catalog......................................................................................................8-32
Using the Supplier Item Catalog....................................................................................................................8-33
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Requisition Templates ...................................................................................................................................8-34
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Practice - Create a Requisition Template...................................................................................................8-35
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Solution - Create a Requisition Template..................................................................................................8-36
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Practice - Use the Supplier Item Catalog to Create a Requisition .............................................................8-39
Solution - Use the Supplier Item Catalog to Create a Requisition.............................................................8-40
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Agenda...........................................................................................................................................................8-44
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Internally Sourced Requisitions Overview ....................................................................................................8-45
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Internal Requisition Integration.....................................................................................................................8-46
Internal Requisitions: Setup Requirements....................................................................................................8-47
Internal Requisition Process ..........................................................................................................................8-49
O Controlling Requisition Sourcing ..................................................................................................................8-51

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Creating Internal Sales Orders.......................................................................................................................8-52
Creating Internal Sales Orders with OrderImport..........................................................................................8-53
Internally Sourced Requisitions Prerequisites ...............................................................................................8-54
Practice - Create Internal Requisitions ......................................................................................................8-55
Solution Create Internal Requisitions .....................................................................................................8-56
Agenda...........................................................................................................................................................8-61
Requisitions Open Interface ..........................................................................................................................8-62
Oracle Inventory and Requisition Import ......................................................................................................8-64
WIP Outside Processing ................................................................................................................................8-65
Oracle Master Scheduling/MRP and Requisition Import ..............................................................................8-66
Master Scheduling/MRP Group By...............................................................................................................8-67
Requisition Import Process............................................................................................................................8-68
Requisition Import Validation .......................................................................................................................8-70
Requisition Groups ........................................................................................................................................8-72
Requisition Groups: MRP Example ..............................................................................................................8-74
Purchasing Open Interface Tables .................................................................................................................8-75
Agenda...........................................................................................................................................................8-76
Requisition Reports .......................................................................................................................................8-77
Agenda...........................................................................................................................................................8-80
Purchasing Options (Cont.) ...........................................................................................................................8-83
Document Types............................................................................................................................................8-85
Lookup Codes................................................................................................................................................8-87
Expense Account Rules .................................................................................................................................8-88
Profile Options...............................................................................................................................................8-89
Agenda...........................................................................................................................................................8-90
Requisition Implementation Considerations..................................................................................................8-91
Additional Requisition Implementation Considerations................................................................................8-92
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Summary........................................................................................................................................................8-94
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Purchase Orders ..............................................................................................................................................9-1
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Purchase Orders.............................................................................................................................................9-3
Procurement: Purchase Orders ......................................................................................................................9-4
Objectives ......................................................................................................................................................9-5
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Agenda...........................................................................................................................................................9-6
Purchasing Document Flow...........................................................................................................................9-7
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Creating Purchase Orders ..............................................................................................................................9-8
Purchase Order Types....................................................................................................................................9-10
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Purchase Order Components and Record Structure.......................................................................................9-12
Purchase Order Document Structure .............................................................................................................9-14
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Overview of Automatic Purchase Order Creation .........................................................................................9-16
Agenda...........................................................................................................................................................9-17
l & On
Overview of Standard Purchase Orders.........................................................................................................9-18
Default Value Hierarchy................................................................................................................................9-19
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Simplify the Entry of Purchase Orders: Preferences .....................................................................................9-20
Standard Purchase Order Elements................................................................................................................9-22
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Structure of a Simple Standard Purchase Order ............................................................................................9-23
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Structure of a More Complex Standard Purchase Order................................................................................9-24
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Entering Standard Purchase Order Header Information ................................................................................9-25
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Standard Purchase Orders Terms and Conditions .........................................................................................9-27
Entering Standard Purchase Order Lines Tabbed Regions............................................................................9-29
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Standard Purchase Order Line Items Tabbed Region....................................................................................9-30
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Standard Purchase Order Line Price Reference Tabbed Region ...................................................................9-32
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Standard Purchase Order Line Reference Documents Tabbed Region..........................................................9-33
Standard Purchase Order Line More Tabbed Region ....................................................................................9-34
Standard Purchase Order Line Temporary Labor Tabbed Region................................................................9-35
O Entering Standard Purchase Order Shipments - Tabbed Regions..................................................................9-36

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Standard Purchase Order Shipment Shipments Tabbed Region ....................................................................9-37
Standard Purchase Order Shipment More Tabbed Region ............................................................................9-39
Standard Purchase Order Shipment Status Tabbed Region ...........................................................................9-41
Standard Purchase Order Shipment Receiving Controls Button....................................................................9-42
Entering Standard Purchase Order Distributions - Tabbed Regions..............................................................9-43
Standard Purchase Order Distribution Destination Tabbed Region ..............................................................9-44
Standard Purchase Order Distribution More Tabbed Region ........................................................................9-46
Standard Purchase Order Distribution Project Tabbed Region......................................................................9-47
Supplier Document Attachments ...................................................................................................................9-48
Approve Standard Purchase Order ................................................................................................................9-49
Practice - Create a Standard Purchase Order .............................................................................................9-51
Solution - Create a Standard Purchase Order.............................................................................................9-53
Agenda...........................................................................................................................................................9-66
When to Use a Blanket Purchase Agreement ................................................................................................9-67
Blanket Releases............................................................................................................................................9-68
Blanket Purchase Agreements Additional Information Entered....................................................................9-70
Blanket Purchase Agreements Additional Information - Header ..................................................................9-71
Blanket Purchase Agreements Additional Information - Lines .....................................................................9-73
Blanket Purchase Agreements Additional Information - Price Breaks..........................................................9-75
Notification Controls .....................................................................................................................................9-77
Approve Blanket Purchase Agreement..........................................................................................................9-79
Blanket Purchase Agreement and Blanket Releases......................................................................................9-80
Blanket Releases Structure - Header .............................................................................................................9-81
Blanket Releases Structure Shipments and Distributions ..............................................................................9-83
Center-Led Procurement................................................................................................................................9-84
Creating Global Blanket Agreements ............................................................................................................9-85
Practice - Create a Blanket Purchase Agreement and Blanket Release .....................................................9-87
Solution - Create a Blanket Purchase Agreement and Blanket Release ....................................................9-89
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Agenda...........................................................................................................................................................9-99
When to Use a Contract Purchase Agreement...............................................................................................9-100
Contract Purchase Agreements Additional Information Entered...................................................................9-101
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Standard Purchase Order Line Reference Documents Tabbed Region..........................................................9-103
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Creating Global Contract Agreements...........................................................................................................9-104
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Practice - Create a Contract Purchase Agreement .....................................................................................9-105
Solution - Create a Contract Purchase Agreement.....................................................................................9-106
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When to Use a Planned Purchase Order ........................................................................................................9-114
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Components of a Planned Purchase Order.....................................................................................................9-116
Planned Purchase Order Information Entered ...............................................................................................9-117
Agenda...........................................................................................................................................................9-118
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Purchase Order Inquiry..................................................................................................................................9-119
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Modifying Purchase Orders...........................................................................................................................9-121
Printing Purchase Orders ...............................................................................................................................9-122
Creating Purchase Order Revisions ...............................................................................................................9-123
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Document Publishing ....................................................................................................................................9-124
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Archiving Purchase Orders............................................................................................................................9-126
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Purchase Order Statuses - Typical Cycle.......................................................................................................9-127
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Entering Purchase Order Acceptances...........................................................................................................9-130
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Workflow Notifications.................................................................................................................................9-132
Copying Purchase Orders ..............................................................................................................................9-133
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Purchase Document Interfaces ......................................................................................................................9-136
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Purchasing Documents Open Interface..........................................................................................................9-137
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Purchase Document Import Validation..........................................................................................................9-139
O Purchasing APIs ............................................................................................................................................9-141

Agenda...........................................................................................................................................................9-143

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Purchase Order Reports .................................................................................................................................9-144
Purchase Order Reports (Cont.).....................................................................................................................9-145
Agenda...........................................................................................................................................................9-147
Important Purchasing Options .......................................................................................................................9-148
Important Profile Options ..............................................................................................................................9-150
PO Communication Profile Options ..............................................................................................................9-152
Other Setups ..................................................................................................................................................9-153
Transaction Delivery Setup ...........................................................................................................................9-155
Printed Purchase Orders ................................................................................................................................9-156
Purchasing Document Fax Setup Overview ..................................................................................................9-158
Purchasing Document E-Mail Setup Overview............................................................................................9-160
Oracle e-Commerce Gateway Overview .......................................................................................................9-162
Purchase Order EDI Transactions..................................................................................................................9-164
Oracle XML Gateway Overview...................................................................................................................9-165
Purchase Order XML Transactions ...............................................................................................................9-167
Retroactive Price Changes.............................................................................................................................9-168
Agenda...........................................................................................................................................................9-169
Responsibility for Purchase Order Entry and Maintenance...........................................................................9-170
Purchase Order Integration Issues .................................................................................................................9-171
Creating Purchase Orders and Releases.........................................................................................................9-172
Purchase Order Numbering Options..............................................................................................................9-174
Purchase Order Conversion Methodology.....................................................................................................9-175
Electronic Transaction Delivery ....................................................................................................................9-177
Integrated Oracle Products ............................................................................................................................9-179
Summary........................................................................................................................................................9-180
Automating Document Creation ....................................................................................................................10-1
Automating Document Creation....................................................................................................................10-3
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Objectives ......................................................................................................................................................10-5
Agenda...........................................................................................................................................................10-6
Creating Purchase Documents from Requisitions .........................................................................................10-7
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Benefits of using AutoCreate.........................................................................................................................10-8
Overview of AutoCreate................................................................................................................................10-9
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Automatic Creation Mode .............................................................................................................................10-11
Find Requisition Lines...................................................................................................................................10-12
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Select Document Creation Criteria ................................................................................................................10-13
Select Requisition Lines ................................................................................................................................10-15
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Select Automatic Creation Mode...................................................................................................................10-16
Autocreate New Document Window.............................................................................................................10-17
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Manual Creation Mode..................................................................................................................................10-18
Add to Existing Document ............................................................................................................................10-19
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Modify Requisition Lines..............................................................................................................................10-20
Return Requisition Lines ...............................................................................................................................10-21
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Practice - Return a Requisition ..................................................................................................................10-22
Solution - Return a Requisition .................................................................................................................10-24
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Practice - AutoCreate a Purchase Order ....................................................................................................10-28
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Benefits of using the Create Releases Program .............................................................................................10-33
Overview of the Create Releases Program ....................................................................................................10-34
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Automatic Release Generation ......................................................................................................................10-35
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Running the Create Releases Program...........................................................................................................10-37
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Create Releases Document Creation Prerequisites ........................................................................................10-39
Practice - Create Releases using the Create Releases Program .................................................................10-41
Solution - Create Releases using the Create Releases Program.................................................................10-44
O Agenda...........................................................................................................................................................10-52

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Benefits of Automatic Document Creation using Workflow.........................................................................10-53
Overview of Automatic Document Creation using Workflow ......................................................................10-54
Workflow Document Creation Overview......................................................................................................10-55
Workflow Document Creation Prerequisites .................................................................................................10-56
Practice - Automatically Create a Standard Purchase Order based on your Quotation .............................10-58
Solution - Automatically Create a Standard Purchase Order based on your Quotation.............................10-60
PO Create Documents Workflow ..................................................................................................................10-64
Setting Key Workflow Attributes ..................................................................................................................10-66
Workflow Document Creation Summary ......................................................................................................10-68
Agenda...........................................................................................................................................................10-69
Automatic Document Creation Profile Options.............................................................................................10-70
Agenda...........................................................................................................................................................10-72
Additional Implementation Considerations ...................................................................................................10-73
Oracle Sourcing and Document Creation ......................................................................................................10-74
Summary........................................................................................................................................................10-75
Professional Buyer's Work Center.................................................................................................................11-1
Professional Buyer's Work Center.................................................................................................................11-3
Objectives ......................................................................................................................................................11-4
Procure to Pay: Procurement .........................................................................................................................11-5
Agenda...........................................................................................................................................................11-6
What is the Professional Buyer's Work Center? ............................................................................................11-7
Business Benefits of the Buyer's Work Center ..............................................................................................11-8
Buyer's Work Center Overview.....................................................................................................................11-9
Guided Demonstration - Introduce the Buyer's Work Center....................................................................11-10
Agenda...........................................................................................................................................................11-12
Demand Workbench and Requisition Summary............................................................................................11-13
Demand Workbench Requisition Views........................................................................................................11-15
Create A Personalized Requisition View.......................................................................................................11-17
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Practice - Create a Personalized Requisition View....................................................................................11-18
Solution - Create a Personalized Requisition View ...................................................................................11-19
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Managing Requisitions in the Buyer's Work Center......................................................................................11-22
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Requisition Summary ....................................................................................................................................11-21
Agenda...........................................................................................................................................................11-23
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Default and Personalized Order Views..........................................................................................................11-24
Order Details .................................................................................................................................................11-26
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Document Styles............................................................................................................................................11-27
Guided Demonstration - Creating and Using Document Styles ................................................................11-29
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Creating a Purchase Order in the Buyer's Work Center................................................................................11-31
Unified Procurement Catalog Access ............................................................................................................11-33
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Default and Personalized Agreement Views .................................................................................................11-35
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Agreement Details .........................................................................................................................................11-37
Creating a Purchase Agreement in the Buyer's Work Center .......................................................................11-38
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Uploading Blanket Agreement Lines ............................................................................................................11-40
Practice - Create a Purchase Order in the Buyer's Work Center................................................................11-41
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Solution - Create a Purchase Order in the Buyer's Work Center ...............................................................11-42
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Practice - Create a Purchase Agreement in the Buyer's Work Center .......................................................11-45
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Solution - Create a Purchase Agreement in the Buyer's Work Center.......................................................11-46
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Agenda...........................................................................................................................................................11-51
Buyer's Work Center Profile Options ............................................................................................................11-52
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Requisition Management Key Profile Options ...........................................................................................11-53
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Enhanced Catalog Access Setup Preferences ................................................................................................11-55
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Agenda...........................................................................................................................................................11-56
Oracle Sourcing and Document Creation ......................................................................................................11-58
O Summary........................................................................................................................................................11-59

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Receiving ..........................................................................................................................................................12-1
Receiving.......................................................................................................................................................12-3
Objectives ......................................................................................................................................................12-5
Agenda...........................................................................................................................................................12-6
What is Receiving?........................................................................................................................................12-7
Overview of Receiving Locations .................................................................................................................12-9
Agenda...........................................................................................................................................................12-10
Overview of Receipt Routing ........................................................................................................................12-11
Direct Receipt Routing ..................................................................................................................................12-12
Standard Receipt............................................................................................................................................12-13
Inspection Required.......................................................................................................................................12-14
Oracle Process Quality Integration ................................................................................................................12-15
Agenda...........................................................................................................................................................12-16
Receipt Processing Methods..........................................................................................................................12-17
Standard Receipt............................................................................................................................................12-19
Express Receipt .............................................................................................................................................12-20
Cascade Receipt.............................................................................................................................................12-21
ASNs and ASBNs..........................................................................................................................................12-22
Desktop Receiving in iProcurement ..............................................................................................................12-23
Entering Expected Receipts...........................................................................................................................12-24
Receipt Structure ...........................................................................................................................................12-26
Receipt Header ..............................................................................................................................................12-28
Receipt Line...................................................................................................................................................12-29
Practice - Create a Standard Receipt..........................................................................................................12-31
Solution - Create a Standard Receipt .........................................................................................................12-33
Practice - Create an Express Receipt .........................................................................................................12-35
Solution - Create an Express Receipt.........................................................................................................12-37
Practice - Create a Cascade Receipt ..........................................................................................................12-39
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Control the Receiving Transaction Processor................................................................................................12-44
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Receiving Tolerances ....................................................................................................................................12-46
Control Numbers ...........................................................................................................................................12-47
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Agenda...........................................................................................................................................................12-49
Substitute Receipts ........................................................................................................................................12-50
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Unordered Receipts .......................................................................................................................................12-51
Overview of Returns and Corrections ...........................................................................................................12-52
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Entering Returns ............................................................................................................................................12-53
Entering Corrections......................................................................................................................................12-55
Comparing Returns and Corrections..............................................................................................................12-56
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Practice - Inspect and Deliver a Receipt ....................................................................................................12-57
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Solution - Inspect and Deliver a Receipt ...................................................................................................12-59
Overview of Pay on Receipt ..........................................................................................................................12-63
Agenda...........................................................................................................................................................12-65
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Receiving Open Interface (ROI)....................................................................................................................12-66
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ROI Supported Transactions..........................................................................................................................12-67
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Load the Receiving Open Interface ...............................................................................................................12-68
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Receipt Import Validation .............................................................................................................................12-69
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Agenda...........................................................................................................................................................12-71
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Receiving Reports..........................................................................................................................................12-72
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Receiving Reports (Cont.) .............................................................................................................................12-74
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Agenda...........................................................................................................................................................12-75
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Receiving Options .........................................................................................................................................12-77
O Receiving Options (Cont.) .............................................................................................................................12-79

Receiving Profile Options..............................................................................................................................12-81

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ASN and ASBN Electronic Receipts.............................................................................................................12-83
Agenda...........................................................................................................................................................12-85
Summary........................................................................................................................................................12-88
Purchasing Accounting ...................................................................................................................................13-1
Purchasing Accounting..................................................................................................................................13-3
Objectives ......................................................................................................................................................13-4
Agenda...........................................................................................................................................................13-5
Overview of the Procure to Pay Period Close ..............................................................................................13-6
Close the PO Period Steps .............................................................................................................................13-7
Close the PO Period Business Flow ..............................................................................................................13-8
Agenda...........................................................................................................................................................13-11
Key Accounts in Procure to Pay ....................................................................................................................13-12
Accrual Accounting Perpetual Accrual (On Receipt)....................................................................................13-14
Accrual Reconciliation Process .....................................................................................................................13-16
Accrual Accounting Periodic Accrual (Period End)......................................................................................13-18
Accounting for Mass Additions Periodic Accrual (Period End)....................................................................13-20
Accounting for Payments with Cash in Transit (Cash Clearing)...................................................................13-22
Accounting for Payments without Cash in Transit (Cash Clearing)..............................................................13-23
Agenda...........................................................................................................................................................13-24
Foreign Currency in Purchasing ....................................................................................................................13-25
Exchange Rate Overview ..............................................................................................................................13-26
Currency Similarities Between Requisitions and Purchase Orders ...............................................................13-27
Currency Differences Between Requisitions and Purchase Orders ...............................................................13-28
Requisitions and Automatically Created Purchase Orders Using Foreign Currency.....................................13-30
Approving Requisitions and Purchase Orders Using Foreign Currency........................................................13-31
Invoice Currency Matching ...........................................................................................................................13-32
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Agenda...........................................................................................................................................................13-33
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Reports...........................................................................................................................................................13-34
Reports (Cont.) ..............................................................................................................................................13-36
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Agenda...........................................................................................................................................................13-39
Financials Options .........................................................................................................................................13-40
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Payables Options ...........................................................................................................................................13-43
Agenda...........................................................................................................................................................13-46
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Purchasing Accounting Implementation Considerations...............................................................................13-47
Summary........................................................................................................................................................13-49
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Purchasing Administration.............................................................................................................................14-1
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Purchasing Administration ............................................................................................................................14-3
Objectives ......................................................................................................................................................14-4
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Agenda...........................................................................................................................................................14-5
Maintaining Your Oracle Purchasing Database Records...............................................................................14-6
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Integration with Payables ..............................................................................................................................14-7
What is MassCancel?.....................................................................................................................................14-8
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Using Purchasing MassCancel ......................................................................................................................14-9
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The Define MassCancel Listing ....................................................................................................................14-10
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Purge Overview .............................................................................................................................................14-11
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Preparing for a Purge.....................................................................................................................................14-13
Purge Category Inclusion ..............................................................................................................................14-14
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Conditions for a Purge: Purchasing ...............................................................................................................14-16
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Conditions for a Purge: Payables...................................................................................................................14-18
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Purge Reports ................................................................................................................................................14-20
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Restarting or Aborting a Purge ......................................................................................................................14-21
Purge Summary Information .........................................................................................................................14-22
O Recommendations for Efficient Purging .......................................................................................................14-24

Agenda...........................................................................................................................................................14-25

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Start Concurrent Managers ............................................................................................................................14-26
Schedule Background Processes....................................................................................................................14-27
Schedule Other Processes ..............................................................................................................................14-29
Agenda...........................................................................................................................................................14-31
Purge: Issues to Consider ..............................................................................................................................14-32
Summary........................................................................................................................................................14-34
Appendix A - Setup Steps ...............................................................................................................................15-1
Appendix A - Setup Steps..............................................................................................................................15-3
Objectives ......................................................................................................................................................15-4
Agenda...........................................................................................................................................................15-5
Setting Up Purchasing ...................................................................................................................................15-6
Define Users for Setup Tasks ........................................................................................................................15-7
Define a Ledger .............................................................................................................................................15-9
Define Human Resources Key Flexfields......................................................................................................15-10
Set Address Style Default..............................................................................................................................15-11
Define Locations............................................................................................................................................15-12
Define Organizations.....................................................................................................................................15-13
Create Responsibilities ..................................................................................................................................15-15
Set Key Profile Options.................................................................................................................................15-16
Convert to Multi-Org.....................................................................................................................................15-17
Set Up Descriptive Flexfields........................................................................................................................15-18
Define Purchasing Lookups and Codes .........................................................................................................15-19
Define Payment Terms ..................................................................................................................................15-20
Define Tax .....................................................................................................................................................15-21
Define Freight Carriers..................................................................................................................................15-22
Define Financials Options .............................................................................................................................15-23
Define Inventory Key Flexfields ...................................................................................................................15-25
Set Up Shorthand Aliases ..............................................................................................................................15-26
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Define Units of Measure................................................................................................................................15-27
Define Standard Attachments ........................................................................................................................15-28
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Define Item Attributes, Codes, and Templates..............................................................................................15-30
Define Category Codes and Category Sets....................................................................................................15-32
Define Catalog Groups ..................................................................................................................................15-33
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Define Subinventories ...................................................................................................................................15-34
Define Cross-Reference Types ......................................................................................................................15-35
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Define Jobs, Positions, and Position Hierarchies...........................................................................................15-36
Define Personnel ...........................................................................................................................................15-37
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Define Approval Groups and Assignments ...................................................................................................15-38
Define Buyers................................................................................................................................................15-39
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Set Up Document Types................................................................................................................................15-40
Define Lookup Codes and Classes ................................................................................................................15-41
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Define Line Types .........................................................................................................................................15-42
Define Purchasing Options ............................................................................................................................15-43
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Define Receiving Options..............................................................................................................................15-44
Set Address Style Default..............................................................................................................................15-45
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Define Suppliers ............................................................................................................................................15-46
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Set Up Credit Card Programs ........................................................................................................................15-47
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Define Items ..................................................................................................................................................15-48
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Modify Account Generator............................................................................................................................15-49
Set Up Workflow Options .............................................................................................................................15-50
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Start Concurrent Managers ............................................................................................................................15-51
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Schedule Background Processes....................................................................................................................15-52
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Set Up Sourcing Rules and Assignments ......................................................................................................15-54
Open Accounting Periods ..............................................................................................................................15-55
Perform Additional System Administration ..................................................................................................15-56
O Create Folders................................................................................................................................................15-57

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Agenda...........................................................................................................................................................15-59
Reports...........................................................................................................................................................15-60
Reports (Continued) ......................................................................................................................................15-62
Agenda...........................................................................................................................................................15-64
Profile Options (Required) ............................................................................................................................15-65
Profile Options (Recommended) ...................................................................................................................15-67
Profile Options (Review)...............................................................................................................................15-68
Profile Options (Overlooked) ........................................................................................................................15-70
Summary........................................................................................................................................................15-71
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Preface
Profile
Before You Begin This Course
Thorough knowledge of Oracle Applications
Working experience with procurement
Prerequisites
Oracle Applications Foundations
How This Course Is Organized
This is an instructor-led course featuring lecture and hands-on exercises. Online demonstrations
and written practice sessions reinforce the concepts and skills introduced.
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Related Publications
Oracle Publications
Title Part Number
Oracle Purchasing Users Guide See Oracle Metalink
Oracle Payables Users Guide See Oracle Metalink
Oracle Inventory Users Guide See Oracle Metalink
Oracle Manufacturing APIs and Open Interfaces Manual See Oracle Metalink
Additional Publications
System release bulletins
Installation and users guides
Read-me files
International Oracle Users Group (IOUG) articles
Oracle Magazine
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Typographic Conventions
Typographic Conventions in Text
Convention Element Example
Bold italic Glossary term (if The algorithm inserts the new key.
there is a glossary)
Caps and Buttons, Click the Executable button.
lowercase check boxes, Select the Cant Delete Card check box.
triggers, Assign a When-Validate-Item trigger to the ORD block.
windows Open the Master Schedule window.
Courier new, Code output, Code output: debug.set (I, 300);
case sensitive directory names, Directory: bin (DOS), $FMHOME (UNIX)
(default is filenames, Filename: Locate the init.ora file.
lowercase) passwords, Password: User tiger as your password.
pathnames, Pathname: Open c:\my_docs\projects
URLs, URL: Go to http://www.oracle.com
user input,
User input: Enter 300
usernames
Username: Log on as scott
Initial cap Graphics labels Customer address (but Oracle Payables)
(unless the term is a
Italic
proper noun)
Emphasized words Do not save changes to the database.
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and phrases,
titles of books and
For further information, see Oracle7 Server SQL Language
Reference Manual.
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courses,
variables
Enter user_id@us.oracle.com, where user_id is the
name of the user.
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Quotation
marks
Interface elements
with long names
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Select Include a reusable module component and click Finish.
that have only

initial caps;
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This subject is covered in Unit II, Lesson 3, Working with
Objects.
lesson and chapter
titles in cross-
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Uppercase
references
SQL column O ly Use the SELECT command to view information stored in the
names, commands,
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functions, schemas,& On LAST_NAME
column of the EMP table.
table names
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Arrow
Brackets
Commas
Menu paths
Key names
t e r
Key sequences
U s Select File > Save.
Press [Enter].
Press and release keys one at a time:
Plus signs I n
Key combinations
[Alternate], [F], [D]
Press and hold these keys simultaneously: [Ctrl]+[Alt]+[Del]
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Typographic Conventions in Code
Convention Element Example
Caps and Oracle Forms When-Validate-Item
lowercase triggers
Lowercase Column names, SELECT last_name
table names FROM s_emp;
Passwords DROP USER scott

IDENTIFIED BY tiger;
PL/SQL objects OG_ACTIVATE_LAYER
(OG_GET_LAYER (prod_pie_layer))
Lowercase Syntax variables CREATE ROLE role

italic
Uppercase SQL commands and SELECT userid
functions FROM emp;
Typographic Conventions in Oracle Application Navigation Paths

This course uses simplified navigation paths, such as the following example, to direct you
through Oracle Applications.
(N) Invoice > Entry > Invoice Batches Summary (M) Query > Find (B) Approve
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This simplified path translates to the following:
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1. (N) From the Navigator window, select Invoice then Entry then Invoice Batches
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Summary.
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2.
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(M) From the menu, select Query then Find.
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3. (B) Click the Approve button.
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Notations:
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(N) = Navigator
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(M) = Menu
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(T) = Tab
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(B) = Button
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(I) = Icon
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xviii
Typographical Conventions in Oracle Application Help System Paths
This course uses a navigation path convention to represent actions you perform to find
pertinent information in the Oracle Applications Help System.
The following help navigation path, for example
(Help) General Ledger > Journals > Enter Journals
represents the following sequence of actions:
1. In the navigation frame of the help system window, expand the General Ledger entry.
2. Under the General Ledger entry, expand Journals.
3. Under Journals, select Enter Journals.
4. Review the Enter Journals topic that appears in the document frame of the help system
window.
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Automating Document
Creation
Chapter 10
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Automating Document Creation

Chapter 10 - Page 1
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Chapter 10 - Page 2
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Chapter 10 - Page 3
Procurement: Purchase Orders
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Oracle Purchasing provides the functionality to complete the procurement portion of the
Procure to Pay process.
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In the Oracle Procurement Suite of applications, ordering is a term generally used to indicate a
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business flow that results in a purchase of goods or services.
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Chapter 10 - Page 4
Objectives
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Chapter 10 - Page 5
Agenda
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Chapter 10 - Page 6
Creating Purchase Documents from Requisitions
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AutoCreate
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Creating Purchase Documents from Requisitions
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The AutoCreate window can be used to search for approved requisitions in the requisition line
pool. Those requisitions can be used as a basis for creating RFQs, standard purchase orders,
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blanket purchase agreement releases and planned purchase orders. Buyer intervention is
Use the Create Releases Program

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required to search the requisition pool and create the purchase documents.
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The Create Releases program is a concurrent request that may be scheduled to run periodically.
t e r U s
The Create Releases program can be used to generate blanket purchase agreement releases.
Buyer intervention can be eliminated for certain types of purchases by using the Create
Releases program.
Workflow I n
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The PO Requisition Approval workflow automatically runs the PO Create Documents
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workflow. Depending upon your implementation decisions, the PO Create Documents
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workflow will end with unapproved or approved standard purchase orders or blanket purchase
agreement releases. Using the PO Create Documents workflow can make it possible to
O eliminate buyer intervention for certain types of purchases.

Chapter 10 - Page 7
Benefits of using AutoCreate
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Benefits of using AutoCreate
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The Oracle Purchasing AutoCreate window can be used to search for requisition lines for
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specific items or similar items. After finding requisition lines, you can make decisions about
how to consolidate similar requests and ensure the resulting purchase documents are sent to the
appropriate suppliers.
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Chapter 10 - Page 8
Overview of AutoCreate
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Overview of AutoCreate
Purchasing Responsibility
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(N) AutoCreate
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Requisition Line Pool O ly
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To create blanket purchase releases, standard purchase orders or planned purchase agreements,
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the requisition line must have a status of Approved and not be associated with an existing
purchase document. For RFQs the requisition lines do not need to have a status of Approved.
t e r U s
Externally sourced requisition lines can be for system items (including outside processing
items) or one-time items (a description and a category). Internally sourced requisition lines are
Automatic Creation I n
supplied by internal sales orders and are not available for AutoCreation.
l e
Use Automatic Creation mode to create purchase orders, blanket releases, planned purchase
c
orders or RFQs with a minimum number of keystrokes.
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Manual Creation
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Chapter 10 - Page 9
Use manual creation mode to create purchase orders, blanket releases, planned purchase orders
or RFQs and control the placement and grouping of requisition lines.
Note: Internally sourced requisition lines are supplied by internal sales orders, so they are not
available for autocreation. Internal requisitions will be covered in an advanced topic.
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Chapter 10 - Page 10
Automatic Creation Mode
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Automatic Creation Mode
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You provide search criteria to locate the requisition lines you want to place on a purchase order
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or RFQ. After reviewing the requisition lines, you select all lines that you want. Then you
select the Automatic button to create the purchase order or RFQ. You have the option to group
O ly
requisition lines with the same item, revision, line type, unit of measure, and transaction reason
l & On
into individual purchase order lines. Similarly, you can group requisition lines with the same
item, revision, and line type into individual RFQ lines.
a e
Use automatic creation mode when:
n
t e
place on the document.r U s
A majority of the requisition lines that your search criteria located are items you want to
document.
I n
You want Oracle Purchasing to determine where to place the requisition lines on the
l e
You want Oracle Purchasing to combine similar requisition lines.
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You are creating or adding to a release.
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You are using Requisition grouping.
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Find Requisition Lines
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Find Requisition Lines
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Use the Find Requisition Lines window to search for requisition lines based on a variety of
different criteria including:
Approved r a
Requester O ly
Requisition
l & On
Preparer
Buyer
n a e
Supplier
t e r U s
Supplier Site
Ship-To
I n
Item
c l e
Description
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You can find unapproved requisition lines by setting Approved to No. However, you will only
O be able to create RFQs from unapproved requisition lines.

Select Document Creation Criteria
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Selecting Document Creation Criteria
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Action: Choose one of the following document actions:
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Create - Create a new purchase document
O ly
Add To - Add to an existing purchase document
Document Type: Choose from the following document types:
Standard PO
l & On
Blanket Release
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Planned PO
RFQ
t e r U s
I n
Buyers Auction (Oracle Sourcing)
Sourcing RFQ (Oracle Sourcing)
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Grouping: Choose one of the following grouping options:
c
Default - requisition lines for the same item, revision, line type, unit of measure, and
r a transaction reason are combined into individual purchase order lines.
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Requisition - the autocreated documents parallel the structure of the requisition from
which they were created. If you select multiple requisition lines from the same requisition,
they will not be grouped (even if the lines are exactly the same) and will create multiple
lines on the resulting purchase document. For example 5 requisition lines will create 5
lines on the resulting purchase document. When using requisition grouping, you can
select lines from one requisition only and you cannot use manual creation mode.
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Select Requisition Lines
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Select Requisition Lines
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Requisition lines are ordered by item, item category and then need-by date.
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Select Automatic Creation Mode
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Autocreate New Document Window
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Autocreate New Document Window
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You can accept the default values in this window or make changes if appropriate. After
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selecting the Create button, Oracle Purchasing opens the appropriate transaction window
(Purchase Orders window or RFQs window) and displays the created line(s). The supplier and
O ly
supplier site are not required fields in this window. However, if AutoCreate creates the
before it can be approved.

l & On
document without a supplier and supplier site, they must be added to the purchase document
Oracle Sourcing Documents

n a e
t e r s
If you have Oracle Sourcing implemented and you have chosen either the Buyers Auction or
Sourcing RFQ document type, then your document is created in Oracle Sourcing. You still
U
I n
receive an acknowledgement window similar to the slide above with the new document
information. Once you select Create, a window is opened with your new document in Oracle
l e
Sourcing. The rest of your actions for this type of document then continue in Oracle Sourcing.
See the Oracle Sourcing User Reference Guide of Online Help Files for Sourcing Buyers
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available from Metalink or the Oracle Sourcing online help for more details.
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Manual Creation Mode
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Manual Creation Mode
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Manual creation mode lets you take control of the actual placement of requisition lines on
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purchase order lines. You move each line into the position you want it on the document by
using the Document Builder. You can combine like requisition lines onto a single document
O ly
line. If you want to combine two requisition lines for the same item, one with a predefined
l & On
item and one with a one-time item (a line with a category and description), use Modify on the
Tools menu to change the one-time item line to the predefined item.
Use manual creation mode when:
n a e
t e r U s
You want to manually choose the requisition lines to combine onto a single document line.
You want to specify the location of the items on the document (for example, specify
I n
which purchase order lines the requisition lines will become).
You want to ensure you get the negotiated price when combining multiple requisition lines
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with different prices.
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Add to Existing Document
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Add to Existing Document
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You can add lines to existing documents only if your security criteria allow you to modify
them.
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Modify Requisition Lines
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Modify Requisition Lines
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Use the Modify feature when you want to split an existing requisition line into multiple
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requisition lines that represent the same or different items. For example, if the requisition line
quantity is so large that a single supplier cannot fill the entire order by the need-by date, you
O ly
can split the requisition line and assign the split lines to different purchase documents written
l & On
to different suppliers. In an additional example, if you have a requisition line item that contains
parts that you want to order as unique items, you can split the requisition line into several lines.
a e
Enter as many new lines as you need to represent the original requisition line. For each newly
n
e r
created line, Oracle Purchasing automatically creates distribution lines and prorates quantities
s
for the new distributions based on the original requisition line distributions. When you return
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to the AutoCreate Documents window, Oracle Purchasing displays the new requisition lines
I n
that are now available for placement on a purchase order or RFQ if they meet your original
search criteria. The original requisition line is no longer available for purchase order or RFQ
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placement, but your requester can easily review the modification status of a requisition line in
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the Requisitions Summary window.
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Return Requisition Lines
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Return Requisition Lines
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Oracle Purchasing lets you return a requisition line to the requisition preparer. You might want
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to return a requisition line if you are unable to obtain the requestors price and want the
requestor to resubmit the requisition for approval at a higher price. From the Tools menu,
O ly
select Return Requisitions to display the Return Requisitions window. Enter a reason for the
l & On
return and select OK to return all requisition lines on the current requisition except any lines
from the requisition already placed on a purchase order. When you return requisition lines,
a e
they are no longer available in the requisition pool.
n
e r
Once a requisition submitted in Oracle Purchasing has been approved, the requisition must be
s
returned for the original submitter to make changes to it. If the requisition was submitted using
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Oracle iProcurement, the requestor can use the Withdraw feature to make changes and re-
I n
submit the requisition. The Withdraw feature is not available in Oracle Purchasing and can
only be used in Oracle iProcurement if no lines on the requisition are associated with purchase
l
documents.
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The Send Notifications for Purchasing Documents program will distribute notifications for
returned requisitions. This program should be scheduled to run periodically.
O

Practice - Return a Requisition
Overview
In this practice, you will use the AutoCreate form to return a requisition.
Assumptions
Replace XX with your terminal number or initials.
You created your own items in a previous practice.
You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.
Logon to the system using the XXUSER you created earlier.
Tasks
Log on to the System
Responsibility = Purchasing, Vision Operations
Requisition your Expensed Item

m y
1. Add your expensed item to a requisition.
d e
2. Navigate to the Requisitions window
ca
Description = XXPurchases
Item = XXSoftware
e A
Quantity = 10
c l
Destination Type = Expense
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Need-by = Todays Date + 1 week
O ly
Organization = Vision Operations
Location = V1- New York City
Supplier = Blank
l & On
Site = Blank
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t e r
Requisition your Inventory Item
U s
3.
n
Add your inventory item to a requisition
I
Item field on line 2 = XXMonitor
l e
Quantity = 5
c
Need-by = Todays Date + 1 week
r a Destination Type = Inventory

Organization = Seattle Manufacturing
O Location = M1 Seattle

Supplier = Blank
Site = Blank
Approve the Requisition
4. Submit your requisition for approval
Return your Requisition
5. Use the AutoCreate form to query your requisition and return it. Supply a return reason.
ReApprove your Requisition
6. Find your requisition using the Requisition Summary window
7. View the Return Reason in the Action History window
8. Resubmit your requisition for approval.
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Solution - Return a Requisition
Requisition your Expensed Item
1. Open the Requisitions window:
(N) Requisitions > Requisitions

Operating Unit = Vision Operations
Description = XXPurchases
2. (T) Lines
Item = XXSoftware
Quantity = 10
Need-by = Tomorrows Date
3. (T) Source
Organization = Vision Operations
Location = V1- New York City
Supplier = Blank
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Site = Blank
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4. Save
ca
Requisition your Inventory Item
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5. (T) Lines
c l
6. (M) File > New
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Item field on line 2 = XXMonitor
Quantity = 5
Need-by = Todays Date
l & On
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Destination Type = Inventory
Organization = Seattle Manufacturing
t e
Supplier = Blank
r
Location = M1 Seattle
U s
I n
Site = Blank
7. Save
c l e
8.
r a Record your requisition number
O

m y
Approve the Requisition
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9. Submit for Approval = Checked
ca
10. OK
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11. Close the Requisitions window.
c l
Return your Requisition r a
O ly
& On
12. Open the Find Requisition Lines window:
l
(N) AutoCreate
n a e

r s
(B) Clear to clear existing query criteria.
t e U

n
I

l e
Requisition = Your purchase requisition
c
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O

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(B) Find to open the AutoCreate Documents window.
ca
13. Open the Return Requisitions window
e A
(M) Tools > Return Requisition.
c l

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In the Reason field, enter a reason for returning the requisition.
O ly
Note: The return reason can be viewed in the Action History window.
l & On
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O15. (B) OK

Note: This action returns ALL requisition lines associated with this requisition unless they
have been placed on a purchase document.
ReApprove your Requisition
16. Open the requisitions window
(N) Requisitions > Requisition Summary
17. Enter your requisition number in the Requisition Number field
18. (B) Find
19. Note the approval status.
20. (M) Tools > View Action History
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21. Close the Action History window
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22. (B) Open
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23. (B) Approve
t e r U s
Submit for Approval = Checked
I n
Uncheck all other options
24. (B) OK
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25. (B) OK to close the note window.
O

Practice - AutoCreate a Purchase Order
Overview
Assumptions
Tasks
Autocreate a Standard Purchase Order
1. Use the AutoCreate window to find the requisition you returned in the last practice. Use
m y
automatic creation mode to create a standard purchase order.
Supplier = Advanced Network Devices
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Site = SANTA CLARA
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Solution - AutoCreate a Purchase Order
Autocreate a Standard Purchase Order
1. Open the AutoCreate Documents window:
(N) AutoCreate
2. (B) Clear
3. Enter the number of your purchase requisition in the Requisition field.
4. (B) Find to open the AutoCreate Documents window.
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Action = Create
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Document Type = Standard PO
Grouping = Default
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5. a e
(M) Edit > Select All to select all lines
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6.
e r s
(B) Automatic to create a standard purchase order.
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7. (B) Create
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8. Record the purchase order number.
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9. Save
d e
10. (B) Approve
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11. (B) Submit
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Agenda
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Benefits of using the Create Releases Program
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Overview of the Create Releases Program
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Overview of the Create Releases Program
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You can minimize purchase order administrative costs by automatically creating releases for
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both manually entered and imported requisitions. Oracle Purchasing provides you with the
features you need to satisfy the following basic needs.
You should be able to: O ly
l & On
Automatically create a release when you source your items from a single supplier using a
single blanket purchase agreement.
n a e
Specify for each approved supplier list entry whether you want to create approved releases
t e r U s
automatically, create releases automatically but require manual approval, or require the
use of the AutoCreate Documents window to create releases.
I n
Run the Create Release process automatically as part of the requisition import process.
The Create Releases program converts approved requisition lines to blanket purchase
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agreement releases based on the sourcing rules and approved supplier list entries.
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Automatic Release Generation
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Automatic Release Generation
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When you are defining your approved supplier list, you define how you want your releases
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generated. The Create Releases program attempts to create a release only if the Release
Method in the approved supplier list is set to Automatic Release or Automatic Release/Review.
O ly
The following release methods are available in the approved supplier list:
l & On
Automatic Release: Automatically converts approved requisition lines to approved
blanket purchase releases based on the sourcing rules and Approved Supplier List entries.
n a e
Automatic Release/Review: Automatically converts approved requisition lines to
t e r
unapproved blanket releases.
U s
Release Using Autocreate: Either the PO Create Documents workflow is used to create a
I n
purchase document or buyers use the AutoCreate Documents window to collect, review,
and optionally modify requisition lines before creating and approving purchase
l e
documents.
c
You can define a different release generation method for each item and supplier. For frequently
r a
purchased items, you can set up Oracle Purchasing to automatically create and approve
releases. For expensive or critical items, you can let Oracle Purchasing create the releases,
O

while you review and approve them in a separate step. For infrequent purchases, your buyers
can take more control by using the AutoCreate Documents window to combine requests.
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Running the Create Releases Program
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Running the Create Releases Program
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(N) Reports > Run
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O ly
The Create Releases program and the PO Create Documents workflow can both create releases
& On
from requisitions submitted in either Oracle Purchasing or iProcurement. The Create Releases
l
n a e
program ONLY creates Blanket Purchase Agreement releases.
The Create Releases process generates releases when the following criteria are
met:
t e r U s
The requisition is sourced to an approved blanket purchase agreement that is not on hold.
I n
The approved supplier list entry for the item, supplier, and agreement must be active, and
l e
the release method must be set to Automatic Release or Automatic Release/Review in the
Approved Supplier List window.
c
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The source agreement is still active and the release will not put the agreement over the
amount limit.
O The release amount must be greater than the minimum line release amount.

The supplier on the source agreement is active and not on hold.
The requisition line is approved and not already on a purchase order.
The line type of the requisition line is quantity based.
Manually submit: Manually submit the Create Releases program from the standard request
submission window.
Schedule: Schedule the Create Releases program to run periodically using the standard request
submission window.
Automatically submit after requisition import: If the PO: Release During ReqImport profile
option is set to Yes, the Create Releases program will be submitted after the ReqImport
program completes.
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Create Releases Document Creation Prerequisites
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Create Releases Document Creation Prerequisites
A blanket purchase agreement: There MUST be an approved blanket purchase agreement in
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place that is not expired and not overreleased.
Approved supplier list entry: There MUST be an approved supplier list entry for the item.
O ly
The Create Releases program does not work with commodities or one-time items (where just
l & On
the category and description are specified).
Release method: Along with the approved supplier list entry, the Release Method MUST be
a e
set to either Automatic Release or Automatic Release/Review. If the Release Method is left
n
t e r s
blank or set to Release using AutoCreate, the Create Releases program will not generate
blanket purchase agreement releases. The release method MUST be set regardless of whether
U
I n
or not you have specified a source document.
Sourcing Rules and Sourcing Rule Assignments: A sourcing rule with a sourcing rule
l e
assignment MUST be created for the Create Releases program to create blanket purchase
c
agreement releases. It is not enough to supply source document information (using the supplier
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item catalog and selecting from a negotiated source for example) and a supplier and supplier
site on the requisition when submitting requisitions manually.
O

Effect of the PO: Automatic Document Sourcing profile option: If the PO: Automatic
Document Sourcing profile option is set to No, you MUST specify a blanket purchase
agreement on the Source Document tab relating the the approved supplier list entry. If the PO:
Automatic Document Sourcing profile option is set to Yes, you MUST have an approved
supplier list entry with the release method set to Automatic Release or Automatic
Release/Review. The release method cannot be blank and it cannot be set to Automatic
Release using Autocreate to automatically create releases.
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Practice - Create Releases using the Create Releases Program
Overview
Assumptions
Tasks
Create a Blanket Purchase Agreement
1. Create a blanket purchase agreement for your XXSoftware item.

m y
2. Navigate to the Purchase Orders window
d e
Site = SANTA CLARA
c a
Amount Agreed = 10000
Description = XXSupplies
e A
c l
a
Select items according to the following table:
r
O ly
& On
Num Item Category Description UOM
1 XXSoftware
l
MISC.MISC
a e
Expensed Item Each
r n s
Specify Price Breaks
n t e U
I
Specify price breaks according to the table and then submit your blanket purchase agreement for
e
approval.
c l
r aNum UOM Quantity Price Org Ship-To Discount%
O

1 Each 10 Defaults M1 M1 - Seattle 10
Create a Sourcing Rule
3. Create a global sourcing rule.
4. Navigate to the Sourcing Rules window

Name = XXComputer Purchases
All Orgs = Selected
Effective Date = From today
Site = SANTA CLARA (Vision Operations)
Create a Sourcing Rule Assignment
5. Link your XXSoftware item to a sourcing rule by creating an Item assignment.
6. Navigate to the Sourcing Rule Assignments window
m y
7. Choose Supplier Scheduling from the list of values
Assigned To = Item
d e
Item/Category = XXSoftware
Sourcing Rule = XXComputer Hardware
c a
e
Create an ASL Entry/Specify your Blanket as the Source Document A
8.
c l
Create a global approved supplier list entry owned by M1 Seattle Manufacturing for your
XXSoftware item.
Item = XXSoftware r a
Business = Direct O ly
Site = SANTA CLARA
l & On
Name = Advanced Network Devices
Status = Approved
n a e
t e r U s
Supplier Item = XXOAPR11i
n
Make the Approved Supplier List a Global Approved Supplier List
I
9.
c l e
Set the Global attribute to Yes to ensure this is a global approved supplier list entry.
Global = Yes
r a
O

Define the Attributes of the Approved Supplier List Entry
10. Set attributes for the approved supplier list entry. You want to be able to create blanket
purchase agreement releases that are automatically approved.
11. Set the Release Method

Type = Blanket
Number = Your blanket purchase agreement number
Submit a Requisition
12. Create a requisition for your XXSoftware item.

Item = XXSoftware
Quantity = 10
13. Note that source document information has defaulted
14. Approve the requisition
Run the Create Releases Program
15. Navigate to the Standard Request Submission window
16. Submit the Create Releases Program

m y
View the Release
d e
17. Navigate to the Purchase Order Summary window
ca
18. Find your your blanket purchase agreement release. You can use the Related Documents tab
e
and specify your requisition number to find the release. A
View Releases = Checked
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Solution - Create Releases using the Create Releases Program
Create a Blanket Purchase Agreement
1. Open the Purchase Orders window:
(N) Purchase Orders > Purchase Orders

Type = Blanket Purchase Agreement
Site = SANTA CLARA
Amount Agreed = 10000
Description = XXSupplies
2. (T) Lines
Select items according to the following table:
Num Item Category Description UOM

m y
1 XXSoftware MISC.MISC Expensed Item Each
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3. (B) Price Breaks
d e
c a
Num UOM Quantity Price
e
Org Ship-To
ADiscount%
1
2
Each
Each
10
25
c l
Defaults M1
M1
M1 - Seattle
M1 - Seattle
10
15
3 Each 50
r a
Defaults
Defaults M1 M1 - Seattle 20
O ly
4. Save
l & On
5.
a e
Close the Price Breaks window.
n
6.
r s
Record your Blanket Purchase Agreement number.
t e U
7. (B) Approve
I n
Submit for Approval = Checked
c l e
Uncheck all other options
8.
r a (B) OK
O9. (B) OK in the Note window

Create a Sourcing Rule
10. Navigate to the Sourcing Rule window
(N) Supply Base > Sourcing Rules

Organization = XXManufacturing
Name = XXComputer Purchases
All Orgs = Selected
Effective Date = From today
Type = Buy From
Site = SANTA CLARA (Vision Operations)
Allocation = 35%
Rank = 1
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11. Save.
t e r U s
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Create a Sourcing Rule Assignment
l e
12. Navigate to the Sourcing Rule Assignments window
c
O ra (N) Supply Base > Assign Sourcing Rules
13. (M) View > Find

14. Choose Supplier Scheduling from the list of values
15. In the Assignments region, click in the customer field.
16. (M) File > New

Assigned To = Item
Item/Category = XXSoftware
Type = Sourcing Rule
Sourcing Rule = XXComputer Hardware
17. Save
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l & On
Create an ASL Entry/Specify your Blanket as the Source Document
n a e
18. Open the Approved Supplier List window:

t e r U s
(N) Supply Base > Approved Supplier List (XXManufacturing)
Type = Item
I n
Item = XXSoftware
c l e
19. (T) Key Attributes
r a Business = Direct
O Site = SANTA CLARA

Status = Approved
Supplier Item = XXOAPR11i
Make the Approved Supplier List a Global Approved Supplier List

m y
20. (T) Record Details
d e
Global = Yes
ca
21. Save
e A
l
Define the Attributes of the Approved Supplier List Entry
c
22. (B) Attributes
r a
Release Method = Automatic Release
O ly
23. (T) Source Documents
Type = Blanket
l & On
a e
Number = Your blanket purchase agreement number
n
24. Save
Line = 1
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25. Close the Supplier-Item Attributes and Approved Supplier List forms to return to the
Navigator. ca
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26. Navigate to the Requisitions form
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O ly

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27. (T) Lines
n a e
Item = XXSoftware
Quantity = 10
t e r U s
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28. (T) Source Detailsn
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29. Note that source document information has defaulted
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30. Save
d e
31. Approve the requisition
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Run the Create Releases Program
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32. Navigate to the Standard Request Submission form
(N) Reports > Run r a

Choose Single Request O ly
Name = Create Releases
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33. (B) Submit
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t e r U s
34. Operating Unit = Vision Operations
35. (B) Submit

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36. (M) View > Requests
c
a
37. (B) Find
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O38. (B) Refresh Data until the request completes

View the Release
39. Navigate to the Purchase Order Summary form
(N) Purchase Orders > Purchase Order Summary
40. (T) Related Documents

Requisition = Your requisition number
View Releases = Checked
41. (B) Find
42. (B) Open.
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Benefits of Automatic Document Creation using Workflow
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Overview of Automatic Document Creation using Workflow
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Overview of Automatic Document Creation using Workflow
Manual requisitions can come from Oracle Purchasing or Oracle iProcurement. Imported
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requisitions can come from a variety of sources.
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Workflow Document Creation Overview
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Workflow Document Creation Overview
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Releases are created from blanket purchase agreements.
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Standard purchase orders are created from contract purchase agreements and catalog quotes
(the class must be Catalog which includes Catalog Quotations and Standard Quotations, not
Bid). O ly
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Documents are created automatically based on approved requisitions from:
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Manual entry to Oracle iProcurement
Manual entry to Oracle Purchasing
e r s
Automatic import from other sources (Oracle and/or non-Oracle systems)
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All documents are subject to standard approval rules.
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Workflow Document Creation Prerequisites
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Workflow Document Creation Prerequisites
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A source document must exist in order for the PO Create Documents workflow to create a
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release or purchase order. If a system item is associated with the requisition line, it is not
necessary to have supplier item number in order to get a standard purchase order or release
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automatically created. The only time an approved supplier list is required is if your source
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document is a blanket purchase agreement and you are using a system item. Sourcing rules are
not required if the requisition originates in Oracle Purchasing or iProcurement, but can help
prerequisites.
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default supplier and supplier site onto the requisition. Listed below are additional
e
Blanket Purchase Agreement
t r U s
Approved
Not expired
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Not overreleased
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Catalog Quote
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Status = Active
O Not expired

Contract PO
Approved
Not expired
Not overreleased
Supplier and site on must be on requisition
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Practice - Automatically Create a Standard Purchase Order based
on your Quotation
Overview
Assumptions
Tasks
Log on to the system
Create a Catalog Quote

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1. Navigate to the Quotations window
Supplier = Advanced Network Devices d e
Site = SANTA CLARA
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Status = Active
Effectivity = Today to a year from today
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Enter item information according to the following table:
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Num Item
O ly
Category Description UOM
1 XXMonitor
& On
MISC.MISC
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Inventory Item Each
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t e r U s
2.
I n
Specify price breaks according to the following table:
c l e
1
r aNum UOM
Each 10
Quantity Price
Calculates
Org
M1
Ship-To
M1-Seattle
Discount
10
O

2 Each 25 Calculates M1 M1-Seattle 15
3. Submit a requisition for your XXMonitor item.
4. Navigate to the Requisitions window

Item = XXMonitor
Quantity = 10
Supplier Item = XXSVGA17
Type = Quotation
Document = Your quotation number
Line = 1 Supplier = Advanced Network Devices (Use the list of values!)
Site = SANTA CLARA (Use the list of values!)
Note: Sourcing rules would automate the defaulting of a supplier and site!
Verify a Standard Purchase Order Was Created
5. Navigate to the Purchase Order Summary form and verify a standard purchase order was
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created.
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Solution - Automatically Create a Standard Purchase Order based
on your Quotation
Create a Catalog Quote
1. Open the Quotations window:
(N) RFQs and Quotations > Quotations

Type = Catalog Quotation
Site = SANTA CLARA
Status = Active
Effectivity = Today to a year from today
2. (T) Lines
Enter item information according to the following table:
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Num
1
Item
XXMonitor
Category
MISC.MISC
Description
Inventory Item
UOM
Each
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3. Specify price breaks according to the following table:
Num UOM Quantity Price Org Ship-To Discount

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4. Exit the Price Breaks window
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5. (I) Save
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6. Record the number of your quotation r a
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7.
a e
Navigate to the Requisitions form
n

r s
t e U

n
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8. (T) Lines
c l e
Item = XXMonitor
r a Quantity = 10
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9. (T) Source Details
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Supplier Item = XXSVGA17
Type = Quotation
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Document = Your quotation number
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Line = 1
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Supplier = Advanced Network Devices (Use the list of values!)
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Site = SANTA CLARA (Use the list of values!)
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10. Save
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11. (B) Approve
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Note: Sourcing rules automate the defaulting of a supplier and site.
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Verify a Standard Purchase Order Was Createdl
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12. Navigate to the Purchase Order Summary form
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(N) Purchase Orders > Purchase Order Summary
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13. (T) Related Documents
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Requisition = Your requisition
14. (B) Find

t e r U s
15. (B) Open
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PO Create Documents Workflow
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PO Create Documents Workflow
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Launch process to verify req line information
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1. Get requisition line info and release generation method.
O ly
If no release method found, or if release method is Automatic Release/Review or
Automatic Release, workflow ends and automatic creation is not done through workflow.
& On
If generation method is Release Using Autocreate and Should Workflow Create the
l
order or release.
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Release = Y records are inserted into a temp table as candidates for creation on a purchase
t e r U s
2. Does Req Line Have Enough Information to Create Document?
Valid Supplier Information? (If no, end process)
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Emergency Requisition? (If yes, go to Get Buyer process)
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Does the req line have valid source document information? (If yes, go to Get Buyer
process)
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Does contract exist and allow creation from contract? (If yes, go to Get Buyer process)
3. Get Buyer (check list and assign first buyer found)
O Get buyer from req line

Get buyer from item
Get buyer from category (in the Buyers window)
Get buyer from source document
Get buyer from contract
4. Create and Approve Purchase Order and Release
Create purchase order or release
Send notification to buyer
Is automatic approval allowed? (If yes, launch doc approval process)
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Setting Key Workflow Attributes
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Setting the Key Workflow Attributes
Is Automatic Creation Allowed?
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If this workflow attribute is set to N, the PO Create Documents workflow will not be used to
automatically create purchase orders or blanket purchase agreements. The Create Releases
O ly
program could still be used to generate blanket purchase agreement releases and/or the
agreement releases.
l & On
AutoCreate form could still be used to generate standard purchase orders and blanket purchase
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Should Workflow Create the Release?
t e r U s
If this workflow attribute is set to N, the PO Create Documents workflow will not be used to
create blanket purchase agreement releases.
I n
Should Contract be used to AutoCreate Doc?
If this workflow attribute is set to N, contract purchase agreements will not be used as a
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reference document to create a standard purchase order.
c
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Is Automatic Approval Allowed?
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If this workflow attribute is set to N, any blanket purchase agreement releases and standard
purchase orders created by the PO Create Documents workflow will have to be approved in a
separate step.
To set key workflow attributes:
1. Install the appropriate version of Workflow Builder on your PC
2. Set up the connect string in the TNSNames.ora file
3. Start the workflow builder
4. Connect to the database
5. Choose the PO Create Documents Item Type (workflow)
6. Expand the Attributes section
7. Right click on the appropriate attribute and choose Properties
8. Set Value to Y or N
9. Save your changes
Note: In order to modify workflow files, you will need to install the workflow builder and
have access to the workflow. Since it is not necessary to be connected to the database to access
the workflow (it can be a previously downloaded copy), only those individuals who need to
access the database to save changed workflows will need to modify the tnsnames.ora to include
the appropriate connect string.
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Workflow Document Creation Summary
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Automatic Document Creation Profile Options
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Automatic Document Creation Profile Options
System Administrator Responsibility
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(N) Profiles > System
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PO: Allow Buyer Override in AutoCreate Find: Yes or No indicates whether the suggested
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buyer (from the Enter Person window) defaulted into the Find Requisition Lines window can
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be cleared or overridden. The default is Yes.
PO: Allow Category Override in AutoCreate Find: Yes or No indicates whether the
t e r U s
category (from the Buyers window) defaulted into the Find Requisition Lines window can be
cleared or overridden. The default is Yes.
I n
PO: AutoCreate GL Date Option: Indicates the date used on purchase orders generated by
AutoCreate. The default is AutoCreate Date.
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AutoCreate Date: The AutoCreate Date is used as the purchase order date
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r a Requisition GL Date: The GL Date on the requisition is used as the purchase order date
O

PO: Display the AutoCreated Document: Yes or No indicates whether Purchasing opens the
appropriate transaction window (Purchase Orders window or RFQs window) and displays the
created line(s) when you autocreate a document. The default is Yes.
PO: Release During ReqImport: Yes or No indicates whether Purchasing can automatically
create releases during the Requisition Import process. The default is No.
PO: Warn if RFQ Required before AutoCreate: Yes or No indicates whether you are given
a warning message and an opportunity to cancel AutoCreate if one or more of the requisition
lines selected for inclusion requires an RFQ and has not been placed on an RFQ. The default is
No.
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Additional Implementation Considerations
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Which types of purchases will require buyer intervention with the AutoCreate window?
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Which types of purchases can be automated with the Create Releases Program?
O ly
Can low risk, high volume, routinely requisitioned items be automated?
Which types of purchases can be automated with the PO Create Documents workflow?
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Will automatic creation be allowed?
a e
Should workflow be used to create the release?
n
t e r
Will automatic approval be allowed?
s
Will contract purchase agreements be used as a reference document to create standard
U
purchase orders?
I
Training and cutover n
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How will end-user training be conducted? Who will conduct the training? What type of
c
training would be most appropriate, instructor led training (ILT), one-on-one, instructor
r a led online (ILO), online, tutor?
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Oracle Sourcing and Document Creation
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You may want to consider Oracle Sourcing as part of your automatic documents creation
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solution. Oracle Sourcing is tightly integrated with many of the Procurement Suite
applications. Requisitions consolidated in the AutoCreate window can be sourced in Oracle
O ly
Sourcing. At the completion of a successful sourcing event, Oracle Purchasing will display the
l & On
contract or project task reference in the purchase order or blanket agreement.
Oracle Sourcing shares the E-Business Suite data model with core applications. Consequently,
a e
transaction data exists in the same database, obviating any need to migrate data between
n
applications.
t e r s
Oracle Workflow - During the completion of a negotiation process in Oracle Sourcing, the
U
I n
Sourcing Create Auction workflow process creates purchase documents and awards placed
during that negotiation process. The Oracle Sourcing user who completes the negotiation
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process receives a notification after the completion of this workflow. The workflow
notification contains information about the number of purchase orders processed, as well as
c
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details of those which were created successfully.
Oracle iSupplier Portal - Suppliers accessing Oracle iSupplier Portal can drill down from a
O purchase order to the backing sourcing document and quotation in Oracle Sourcing.

Summary
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Professional Buyers Work
Center
Chapter 11
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Professional Buyers Work Center

Chapter 11 - Page 1
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Chapter 11 - Page 2
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Chapter 11 - Page 3
Objectives
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Chapter 11 - Page 4
Procure to Pay: Procurement
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Procure to Pay: Procurement
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The Professional Buyers Work Center provides a central point for buyers to manage
manage purchasing documents. r a

requisitions, consolidate requisitions into purchasing documents or supplier negotiations, and
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Chapter 11 - Page 5
Agenda
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Chapter 11 - Page 6
What is the Professional Buyers Work Center?
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What is the Professional Buyers Work Center?
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As we have seen in earlier in this course, the standard forms you have used in the past for
r a
entering requisitions, purchase orders, and purchase agreements are still available in R12. You
have the option to continue using those forms or to use our new web-based forms instead.
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Chapter 11 - Page 7
Business Benefits of the Buyers Work Center
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Chapter 11 - Page 8
Buyers Work Center Overview
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Buyers Work Center Overview
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(N) Buyer Work Center
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Chapter 11 - Page 9
Guided Demonstration - Introduce the Buyers Work Center
Buyers Work Center introduction
Responsibility: Purchasing, Vision Operations
1. (N) Buyers Work Center > Requisitions > (T) Requisitions. Important features on this page:
The different views available and the Personalize button to create customized views.
The Operating Unit field in Document Builder. This shows up because MOAC is
enabled.
Actions icons:
Paper icon replace with items from the unified catalog
Paper icon with star replace with items from your Favorites list
Split icon split requisition line
2. (T) Orders. While on this page review the following:
Operating Unit column. With MOAC, the same buyer could see orders from multiple m y
operating units.
d e
(H) Order number. Drill down to show details of an order. Note that once on an order,
ca
the Lines, Schedules, and Distribution tabs display additional information about that
order. In addition, note the Actions LOV values.
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(H) Status for an order. Drill down to show the action history of this order.
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Create a personalized view for a particular supplier (Corporate Express Office Supply is
a good candidate).
O ly

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Note that the Pay Items tab is used for Oracle Services Procurement complex services.
3.
n a e
(T) Agreements. While on this page point out the following:
OU column
t e r U s

I n
Drill down on an agreement number to display details. Display the Actions LOV values
c l e
for the agreement.
4.
r a (T) Deliverables. Note that this page is used to manage deliverables for Oracle Procurement
Contracts.
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5. (T) Negotiations. Note that clicking the Negotiations tab takes you to the Oracle Sourcing
home page from which you can create and manage Sourcing events.
6. (T) Suppliers. Note that clicking the Suppliers tab allows you to maintain the supplier base.
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Demand Workbench and Requisition Summary
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Demand Workbench and Requisition Summary
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(N) Buyer Work Center > (T) Requisitions
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The Buyer's Work Center presents requisition demand in views that are easily customized to an
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individual buyer's way of working. These views allow buyers to quickly prioritize requisition
l
n a e
demand based on a variety of factors, such as sourcing status or commodity. Buyers can
aggregate demand from different organizations and consolidate it in a single document in an
t e r U s
organization that they designate. The document could be a solicitation (auction/RFx) for
bids/quotations (requires Oracle Sourcing) or a standard purchase order.
Demand Workbench
I n
This page enables buyers to consolidate demand documents and create procurement documents
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from that demand. There are views which are predefined in the application or buyers can create
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views that provide results precisely fitting their procurement tasks.
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Summary
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This page provides the buyer with the ability to find demand documents using very precise
parameters.
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Demand Workbench Requisition Views
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Demand Workbench Requisition Views
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(N) Buyer Work Center > (T) Requisitions > Demand Workbench
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Note that all the requisitions shown in these views are unprocessed requisitions. That is,
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requisitions waiting to be converted into Purchasing documents. To view requisitions in any
l
My Requisitions
n a e
status use the Requisition Summary page.
e r s
Requisition lines assigned to me for all line types.
t U
I n
My Requisitions for Goods
Requisition lines assigned to me with lines that have a purchase basis of Goods.
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My Requisitions for Services
c
Requisition lines assigned to me with lines that have a purchase basis of Services and Temp
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Labor. (Requires Oracle Services Procurement)
O My Requisitions Requiring an RFQ

Requisition lines assigned to me that require an RFQ.

My Requisitions with a New Supplier
Requisition lines assigned to me that were entered requiring a new supplier.
My Requisitions with a Suggested Supplier
Requisition lines assigned to me that were entered with a suggested supplier.
My Late Requisitions
Requisition lines assigned to me that are past the need by date.
My Urgent Requisitions
Requisition lines assigned to me that were marked urgent.
Unassigned Requisitions
Requisition lines not assigned to anyone.
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Create A Personalized Requisition View
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Personalized Requisition Views
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You can create a personalized view to simplify finding those requisitions that you deal with the
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most. If you frequently use the same advanced searches to restrict the display of requisitions,
you can also save these advanced views. These are called Personalized Views.
O ly
Note that these instructions apply to personalized views for requisitions, orders, and
agreements.
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Practice - Create a Personalized Requisition View
Overview
In this practice you will use the Personalize feature of the Buyers Work Center to create a view
of just your requisitions and make that view the default.
Assumptions
Tasks
Create a Personalized View
Create a view for your XXUSER that returns all the requisitions where you are the buyer.
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Solution - Create a Personalized Requisition View
Create a Personalized View
1. Navigate to the Personalize Views window.
(N) Buyer Work Center > (T) Requisitions > Personalize
See a table of existing views. The views that come seeded with the product are NOT
updatable as noted by the grayed out pencil icon.
2. Navigate to the Create View window.
(B) Create View
3. Enter the following information:

View Name = XXUSER Requisitions
Number of Rows Displayed = 15 Rows
Check Set as Default (This sets this view as the default for your user.)
Note: There can be an "Oracle-seeded" end user view and an "Admin-seeded" end
user view of the same region. However, if an end user also has a personalized view
of the same region that he or she marks as the default, then the end user's
personalized view takes precedence over any seeded views and is the default for that
m y
end user.
Description = Requisitions for XXUSER
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Columns Displayed = Leave as is for this practice.
Select Requisition as First Sort Column Name and ascending for Sort Order
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Select Show table data when any conditions are met
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(B) Add Preparer
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Buyer (is) = Your last name, firstl
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Preparer (is) = Your last name, first
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4. (B) Apply
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as default.
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You are returned to the Personalize Views window. Notice your new view and that it is set
5. (B) Apply
t e r U s
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(Your new view will be the default view the next time that you log in.)
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Note: These same basic steps apply to creating personalized views for orders and agreements in
c
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the Buyers Work Center. An optional practice would be to create personalized views for your
user as well.
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Requisition Summary
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Requisition Summary
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(N) Buyer Work Center > (T) Requisitions > Summary
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The Requisition Summary is used to review existing Requisition information. Search for all
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requisitions meeting your criteria:
l
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Indicate whether all selections must match or just one.
Indicate whether the selection is included or excluded.
e r s
Add additional search criteria.
t U
Workbench later.
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After creating your unique requisitions search you can save it for use in the Demand
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Managing Requisitions in the Buyers Work Center
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Managing Requisitions in the Buyers Work Center
The Buyers Work Center offers requisition management capabilities similar to those available
a
using AutoCreate and the Requisition Summary forms.
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Agenda
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Default and Personalized Order Views
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Default and Personalized Order Views
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(N) Buyer Work Center > (T) Orders
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The Buyers Work Center enables buyers to edit and view delivery schedules and account
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distributions across all order lines, thus eliminating the need to drilldown on individual lines.
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Buyers can use one of the seeded views to access their orders, or create their own. Personalized
views enable buyers to effectively prioritize tasks and quickly drilldown to order details. A
window.
t e r U s
search page enables buyers to find orders in a similar fashion to the forms based summary
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My Incomplete Orders
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Orders assigned to me that have a status of Incomplete.
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My In Process Orders
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Orders assigned to me that have a status of In Process.
My Open Orders
O Orders assigned to me that are not closed.

My Orders with Pending Change Requests
Orders assigned to me that have a change request entered against it.
My Orders with Rejected Acknowledgments
Orders assigned to me that have acknowledgements required that were not approved.
Personalized Views
See the Create A Personalized Requisition View slide earlier in this topic for details.
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Order Details
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Order Details
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(N) Buyer Work Center > (T) Orders [For Order Views]
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(N) Buyer Work Center > (T) Orders > (H) Order [For Order Details]
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Details of the purchase order can be quickly reviewed by selecting the Header, Lines,
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Schedules, or Distributions tab.
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Document Styles
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Document Styles
Purchasing Super User Responsibility
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(N) Setup > Purchasing > Document Styles
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Document Styles enable buying organizations to control the look and feel of the application to
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match the needs of different purchasing documents. Through reusable document styles,
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simplifying the user interface.a e
deploying organizations can enable or disable various Oracle Purchasing features, thereby
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There are several benefits of using document styles:
Document styles provide the ability to appropriately name purchasing documents to align
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more closely with the naming conventions of the deploying organizations business. The same
purchasing document type (e.g. Standard Purchase Order) can assume different names based
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on the style applied.
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Some features on the purchasing document, such as price breaks in global agreements or
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services line types, can be enabled or disabled as part of the style setup.
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When a purchasing document is created using a style, disabled features are hidden to simplify
the user interface. For example, organizations can create a document style for a specific
commodity, such as temporary labor. This document style optimizes field labels and display
for that commodity, simplifying purchase order entry by hiding regions/attributes that are only
relevant for goods purchases.
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Guided Demonstration - Creating and Using Document Styles
Responsibility: Purchasing, Vision Operations (USA)
Create Document Style
1. (N) Setup: Purchasing > Document Styles
2. (B) Create
3. Enter a style name and description for standard purchase orders.
4. In the Document Type field, enter a Display Name.
5. In the Commodities field, deselect Goods and select Services. This will create a document
style that only allows services lines.
6. (B) Apply
Create a Purchase Order Using the Document Style
8. (N) Buyers Work Center > (T) Orders
9. From the Create menu, select your document style, and click Go.
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10. Note that the document style is used in the page title (Create document style name).
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11. Choose Vision Operations as the Operating Unit.
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12. (T) Lines
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13. Click Go to add lines from the default option, the Catalog.
14. Save your work if prompted. r a

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15. Search for blue pen from the Main Store.
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16. (B) Go
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17. Add 100 blue pens to the purchase order.
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18. (B) Add to Document.
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19. (B) Complete
20. You should receive an error that youre trying to add a line that isnt supported by the
r adocument style you are using.
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Note that the document style has enforced the business rule built into the style. If you need
to order the blue pens, you would have to start over and select the Standard PO document
style.
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Creating a Purchase Order in the Buyers Work Center
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Creating a Purchase Order in the Buyers Work Center
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(N) Buyer Work Center > (T) Requisitions > Select Requisitions > (B) Add > Document
Builder: (B) Create
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(N) Buyer Work Center > (T) Orders > Create: Standard Purchase Order > (B) Go
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There are two ways for the buyer to create standard purchase orders in the Buyers Work
Center. The first is similar to the technique used in AutoCreate, that is, to select requisitions
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from the Demand Workbench and click Add as though you are shopping online. Once all
appropriate requisitions have been added to the Document Builder you specify the document
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style and click Create.
The second way starts on the Orders tab by selecting Standard Purchase Order from the Create
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list and clicking Go. The buyer then enters the required information to complete the Header,
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Lines, Schedules, and Distributions tabbed regions in a manner similar to the standard Enter
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Purchase Order window. The main advantage to using the Buyers Work Center is that since
all tabbed information is on the same page, moving from one to the other is easier and actions
O such as approval can be made at any time. For simple purchase orders that do not require

staged delivery schedules or multiple account distributions, buyers can quickly enter all
necessary information for the orders in the header and line sections, without having to navigate
to the schedules and distributions sections.
Other features of the Buyers Work Center for creating orders:
When adding lines to an order, buyers can either type in the information, or use the item
catalog to quickly find and select the items they need to procure.
The item catalog is the same Web-based catalog available to requesters in Oracle
iProcurement. If you have licensed and installed Oracle iProcurement, buyers use the
advanced capabilities that are currently available to requesters, such as punching out to
external sites, comparing items, and viewing the extensible attributes of an item.
As an alternative to entering lines using a tabular format, buyers can create lines using a
single page format. This format allows you to view all of the details for a single line,
whereas the tabular format allows you to see multiple lines, but with fewer details.
The single page format for lines enables buyers to provide both schedule and delivery
details while entering the line.
Buyers can easily view all of the schedules and distributions corresponding to all lines on
the order.
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Unified Procurement Catalog Access
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Unified Procurement Catalog Access
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Oracle Purchasing builds on the popularity of Oracle iProcurements catalog search
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capabilities by offering professional buyers a similar search interface to easily find the
items they need to procure.
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From the Demand Workbench, buyers can access the catalog and favorites lists to find
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negotiated alternatives to non-catalog requests.
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While authoring orders and agreements, buyers can use the catalog or favorites to
quickly add items, thereby accelerating the document creation process.
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Agenda
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Default and Personalized Agreement Views
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Default and Personalized Agreement Views
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(N) Buyer Work Center > (T) Agreement
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The Buyers Work Center enables buyers to edit and view agreement lines in a tabular or
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single page format. Buyers can use one of the seeded views to access their orders, or create
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their own. Personalized views enable buyers to effectively prioritize tasks and quickly
drilldown to order details. A search page enables buyers to find agreements in a similar fashion
t e r
to the forms based summary window.
U s
My Agreements with Pending Change Requests
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Agreements assigned to me that have change requests entered against them.
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My Agreements with Rejected Acknowledgments
Agreements assigned to me that have acknowledgements required that were not approved.
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My Expiring Agreements
Agreements assigned to me that have an effective end date that has passed.
O My Incomplete Agreements

Agreements assigned to me that have a status of Incomplete.
Personalized Views
See the Create A Personalized Requisition View slide earlier in this Buyers Work Center
lesson for details.
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Agreement Details
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Order Agreement
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(N) Buyer Work Center > (T) Agreements [For Agreement Views]
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(N) Buyer Work Center > (T) Agreements > (H) Agreement [For Agreement Details]
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Details of the agreement can be quickly reviewed by selecting the Header, Lines, or Controls
tab.
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Document styles can be applied to agreements.
e r s
As with creating purchase orders, buyers can add lines to an agreement using a tabular
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format, a single page format, or a combination of both.
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All of the agreement controls, such as operating unit access and notification controls, are
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accessible from the Controls tab of the agreement.
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Creating a Purchase Agreement in the Buyers Work Center
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Creating a Purchase Agreement in the Buyers Work Center
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(N) Buyer Work Center > (T) Agreements > Create: Blanket Purchase Agreement > (B) Go
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Creating agreements in the Buyers Work Center starts on the Agreements tab by selecting
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Blanket Purchase Agreement from the Create list and clicking Go. The buyer then enters the
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required information to complete the Header, Lines, and Controls tabbed regions in a manner
similar to the standard Enter Purchase Order window. The main advantage to using the Buyers
t e r U s
Work Center is that since all tabbed information is on the same page, moving from one to the
other is easier and actions such as approval can be made at any time. Other features of the
I n
Buyers Work Center for creating orders:
When adding lines to an agreement, buyers can either type in the information, or use the
l e
item catalog to quickly find and select the items they need to procure.
c
The item catalog is the same Web-based catalog that is available to requesters in Oracle
r a iProcurement. If you have licensed and installed Oracle iProcurement, buyers can use the
advanced capabilities that are currently available to requesters, such as punching out to
O external sites, comparing items, and viewing the extensible attributes of an item.

Buyer enables the agreement for Content Authoring use by Catalog Administrators or
Suppliers.
Lines can be uploaded to the purchase agreement from an external source such as a
suppliers catalog.
As an alternative to entering lines using a tabular format, buyers can create lines using a
single page format. This format allows you to view all of the details for a single line,
whereas the tabular format allows you to see multiple lines, but with fewer details.
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Uploading Blanket Agreement Lines
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Uploading Blanket Agreement Lines
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(N) Buyer Work Center > Agreements > Select Agreement: Update > Go > Lines > Add Lines:
Via Upload > Go
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Global blanket agreements are the basis of the Procurement Unified Catalog as well as being
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one of the foundation documents for Oracle Purchasing. The benefit to the buyer is that those
Content Authoring aspects built into the Buyers Work Center are available to simplify building
large agreements.
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Practice - Create a Purchase Order in the Buyers Work Center
Overview
You will now create a purchase order using the Buyers Work Center from a requisition created
in Oracle iProcurement and by adding a line from the Procurement catalog.
Assumptions
Tasks
Create a requisition in iProcurement
Create a purchase order from a requisition
.
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Solution - Create a Purchase Order in the Buyers Work Center
Create A Requisition In iProcurement
IProcurement Responsibility
1. Log into iProcurement
(N) iProcurement Home Page
2. Next to Search field, verify you are shopping in the Main Store.
3. Search for DVD-B100.
Enter DVD-B100 in the search box following Main Store in the Search list
Click Go
4. (B) Add to Cart
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5. I n
(B) View Cart and Checkout (in the Shopping Cart box)
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Review the Shopping Cart.
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6. a (B) Checkout
O7. (B) Submit


Get confirmation that your requisition has been submitted. Record the number here.
_________________
8. (B) Continue Shopping
At this point the requisition has been created and sent to the Buyer Work Center Requisition
Demand Workbench.
9. (H) Home to return to main portal page.
Create A Purchase Order From A Requisition
Purchasing, Vision Operations (USA)
10. Navigate to the Demand Workbench.
(N) Buyer Work Center > Requisitions
11. In the Document Builder:

Type = New Order
OU = Vision Operations
12. Select the requisition you just created above.
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13. (B) Add. The requisition is added into Document Builder.
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14. (I) Supplier Magnifying Glass. Search and select Corporate Express Office Supply.
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15. (B) Create (in the Document Builder).
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O16. (T) Lines

17. Ensure Add Lines: LOV says From Catalog.
18. (B) Go
(B) Yes, when you receive message that order must be saved.
19. In Main Store, search for DVD-CR.
Note that you are back in the Procurement catalog. It is shared by all Procurement products.
The stores and other shopping structures are created using tools in Oracle iProcurement.
20. Change the quantity to 10.
21. (B) Add to Document
22. (B) Complete
23. Pick the end of the month for the Need-By date.
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24. (B) Save.
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25. (B) Submit.
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Practice - Create a Purchase Agreement in the Buyers Work
Center
Overview
This practice provides an opportunity for you to create a purchase agreement in Oracle
Purchasings Professional Buyers Work Center. Procurement professionals face a fast paced
world of ever increasing technology changes for communicating and collaborating with
suppliers. In this practice you will create a purchase agreement with lines created from the
Oracle Procurement catalog and see how a supplier can help the buyer by adding to that
agreement.
Assumptions
Tasks
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Buyer Creates Global Blanket Purchase Agreement
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Supplier Loads New Items
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Buyer Review and Approve New Supplier Items.
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Solution - Create a Purchase Agreement in the Buyers Work
Center
Buyer Creates Global Blanket Purchase Agreement
1. Navigate to the Agreements page in the Professional Buyers Work Center.
(N) Buyer Work Center > Agreements
2. Create Global BPA header
Verify Create field LOV is Blanket Purchase Agreement, then click (B) Go
Note: The Agreement tab in the Buyers Work Center will ONLY create a global
blanket purchase agreement (BPA). So you will NOT see any Global checkbox in the
header section as it is global by default.
3. On the Blanket Purchase Agreement page, enter the following information for the Header:
Operating Unit
Field Vision Operations
Vision Operations
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Supplier Office Supplies, Inc.
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Supplier Site OFFICESUPPLIES
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Buyer
Description
Your last name, first name
XX GBPA
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Bill to Location
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V1- New York City
Default Ship to Location
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M1- Seattle
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4.
5.
(B) Save
Note the BPA number #___________________________

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6. ACTIONS field LOV, choose "Enable Supplier Authoring" and click GO button.
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Note the confirmation that the supplier Office Supplies, Inc. can now edit this Blanket ca
Purchase Agreement
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VERY IMPORTANT NOTE: This action is to allow the supplier user to modify the
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BPA and add items. The supplier user cannot create their own BPA. The suppliers
access for this is Oracle iSupplier Portal.
7. (B) Save O ly
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At this point the agreement is created (but not approved or processed) and is accessible
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to the supplier for uploading of items.
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Note: You can either choose to have the supplier or the Oracle iProcurement catalog
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administrator upload items to the purchase agreement. In addition, the buyer can
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upload items. For this practice we will have the supplier upload the items.
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Supplier Loads New Items
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8.
a Logout and log into Oracle iSupplier Portal
Username / password = supplier / welcome
O Responsibility = iSupplier Portal Full Access

iSupplier Portal homepage opens. The Orders at a Glance table will only show
Approved POs.
9. Navigate to the Update Blanket Purchase Agreement page for your agreement:
Click the Notifications link on the Home tab related to your agreement number
After confirming the information that indicates this is the agreement that you created,
click (H) Edit Agreement
OR
(T) Orders
(T) Agreements > (B) Search
Enter your agreement number in Agreement
(B) Go
Open your agreement by clicking the Agreement link
Select Edit Agreement in Actions list and click (B) Go
10. Prepare agreement to add new line items:

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(B) Add 5 Rows
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Note: The supplier can manually add items to the GBPA or could upload a file of many
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items using the Via Upload action. In this practice the supplier has been asked to add
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two specialty papers that are not part of their basic catalog. A
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11. Add two new lines:
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O ly Line 1 Line2
Type
Item
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Goods Goods
Description
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HP Brochure Paper - Glossy HP Presentation Paper - Glossy
Category
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8.5x11" 150 Sheets
SUPPLIES.OFFICE
8.5x11" 300 Sheets
SUPPLIES.OFFICE
Unit
I n Each Each
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Price
e 9.00 16.00
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12. (B) Save
13. (B) Submit
Note confirmation that Blanket Purchase Agreement #### has been submitted for
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approval. Also note that if you query the suppliers agreements, the Status column is
Supplier Change Pending.
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14. Logout as supplier user
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Buyer Review and Approve New Supplier Items
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15. Logon to the system using the XXUSER you created earlier.
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16. Navigate to the Agreements page.
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(N) Buyer Work Center > Agreements
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17. Accept the supplier entered items:

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Select the My Agreements With Pending Change Requests View and click (B) Go
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(N) Select Agreement: Respond to Change Requests and click (B) Go
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r a The Respond to Change Requests page allows the buyer to decide item by item to either
accept or reject. You can also click on the Details icon to see all the attributes for each
O item (Image filenames, price breaks, and so forth).

18. (B) Accept All
19. Query your agreement, it is now or will be shortly displayed with a status Approved.

(T) Agreements
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(B) Search
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Select Show table data when any condition is met and enter your agreement number.
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(B) Go
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Agenda
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Buyers Work Center Profile Options
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Requisition Management Key Profile Options
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Requisition Management Key Profile Options
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Enhanced Catalog Access Setup Preferences
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Enhanced Catalog Access Setup Preferences
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You have the option to customize your catalog access by modifying your preferences. Using
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the Shopping Purchasing Preferences you can define your view into the catalog including your
default store, search results per page, and your search results layout. Using the Favorites Lists
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Preferences you can default your default favorites list.
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Agenda
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The catalog is a very big addition to Oracle Purchasing. Along with it comes some
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management considerations. For reference, see the Content Management chapter of the Oracle
iProcurement Implementation and Administration Guide.
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Purchasing Buyers Work Center
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Consolidate and pass demand documents to Sourcing
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Create and deliver purchase orders upon Sourcing award
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Sourcing
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Oracle Sourcing offers sophisticated negotiation capabilities that reduce the time it takes
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buyers to source new products and services, as well as optimize the value of existing contracts.
With Oracle Sourcing you can:
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Utilize collaborative preparation of negotiations, meaning several employees can work on
t
drafts of a negotiation.
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Conduct real-time, multi-round RFQs and auctions.
Analyze negotiation responses (bids and quotes).
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Award business.
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Summary
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Receiving
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Chapter 12
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Receiving
Chapter 12 - Page 1
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Receiving
Chapter 12 - Page 2
Receiving
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Receiving
Chapter 12 - Page 3
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Procurement: Receiving
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Oracle Purchasing provides the functionality to complete the procurement portion of the
Procure to Pay process.
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In the Oracle Procurement Suite of applications, ordering is a term generally used to indicate a
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business flow that results in a purchase of goods or services. Receipt of the goods or services is
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considered the final step of ordering in terms of Oracle Purchasing.
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Receiving
Chapter 12 - Page 4
Objectives
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Receiving
Chapter 12 - Page 5
Agenda
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Receiving
Chapter 12 - Page 6
What is Receiving?
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What is Receiving?
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Receiving is a process that signals that the goods ordered on a purchase order have arrived.
and delivery. You can: r a

Oracle Purchasing lets you control the items you order through receiving, inspections, transfer
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Define receiving tolerances and rules at the organization supplier, item and order level,
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with the lowest level overriding previous levels.
Use express receipt to receive an entire purchase order with a few keystrokes.
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Use the cascade function to distribute a given quantity of an item from a single supplier
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across multiple shipments and distributions.
Record receipt of unordered items, research receipt and match the delivery to an existing
purchase order.
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Record delivery of items from receiving or inspection locations to their final destination
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and also record transfers of items to different locations for inspection.
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Define which of your items require inspection. You can accept or reject items and provide
r a detailed information about your inspection results.
O Record returns to suppliers and customers.
Receiving
Chapter 12 - Page 7
Correct receiving transaction errors.
Review transaction history.
Note that services ordered through Oracle Services Procurement are received automatically
when contractors enter their time cards in Oracle Time and Labor.
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Receiving
Chapter 12 - Page 8
Overview of Receiving Locations
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Overview of Receiving Locations
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You record inspections, deliveries and material movements within receiving and inspection by
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entering receiving transactions. The transactions provide a history that allows you to track an
item from its source to its destination.
Receiving Transactions allow you to:O ly
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Transfer goods from one location to another
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Document inspection results
Deliver goods to their required destination
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It is the destination type that tells the system if the material is going to be received in the
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receiving space or its final destination.
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Chapter 12 - Page 9
Agenda
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Overview of Receipt Routing
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Overview of Receipt Routing
Direct Receipt
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One step. Goods are received and delivered in one step.
Standard Receipt
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Two steps. Goods are received in one step and then delivered in a second. This allows for the
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time it takes goods to move though your facility from the receiving dock. Quantity on hand in
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subinventories is not updated until the delivery is completed. The quantity and cost is
maintained in the inventory organizations inventory receiving account until the delivery is
made.
Inspection Required
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Three steps. Used for goods that require a more skilled person to do a careful review. Goods
are received in one step. Inspection either accepts or rejects the goods. Quality results can be
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entered at this time. Goods that are accepted are delivered in the third step, while goods that
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are rejected are returned to the supplier.
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Direct Receipt Routing
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Direct Receipt Routing
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Direct routing allows receipt of items directly to their final delivery destination. This is
inventory, or shop floor. r a

sometimes called a dock to stock transaction. The final destination type may be expense,
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Standard Receipt
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Standard Receipt
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Shipments are received into a receiving location and then delivered to an interim or final
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destination. Goods are usually received and delivered in separate transactions. However, if the
RCV: Allow Routing Override profile option is set to Yes, users can override the default and
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immediately deliver to the final destination. Setting the RCV: Allow Routing Override profile
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to No forces a two step delivery process.
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Inspection Required
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Inspection Required
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Inspection is a procedure you perform to ensure that items received confirm to your quality
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standards. Goods must be received and inspected before they can be delivered to their final
destination. The QA: PO Inspection profile option can be set to either Purchasing or Quality.
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If the profile option is set to Purchasing, a simple inspection window opens for recording
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inspection results. If the profile option is set to Quality and a quality inspection plan exists, the
Oracle Quality window is opened and inspection results may be recorded based on a
predefined inspection plan.
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Skip Lot Inspection (not shown above)
Oracle Purchasing supports another form of inspection called skip lot inspection. Skip-lot
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inspection is an inspection technique often employed as a next step to a lot-by-lot inspection. If
the QA: PO Inspection profile option is set to Quality and a skip lot plan has been set up in
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Oracle Quality, the inspection results can be entered during the receiving process.
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Receiving
Oracle Process Quality Integration
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Agenda
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Receipt Processing Methods
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Receipt Processing Methods
Standard receipt: One line at a time.
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Express receipt: Multiple lines at a time. For example, an entire purchase order for a supplier.
During express receiving you can always deselect items and change quantities prior to
completing the process. O ly
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Cascade receipt: One receipt of multiple shipments of the same item. For example, same
supplier and same item represented on multiple purchase documents.
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ASNs or ASBNs - iSupplier Portal: You can give your supplier carefully limited access to
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allow them to enter ASNs or ASBNs.
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ASNs or ASBNs - e-Commerce Gateway: Load ASNs or ASBNs using Oracle e-Commerce
Gateway.
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ASNs or ASBNs - XML Gateway: Load ASNs or ASBNs using Oracle XML Gateway.
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Receiving in Oracle iProcurement: You can give your employees limited ability to receive
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some types of items through a web browser.
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Receiving
Receiving Open Interface: Use barcoding software to scan receipts and create a text file that
can be loaded into the Receiving Open Interface and processed by running the Receiving
Transaction Processor.
Receiving Notification: The PO Confirm Receipts workflow can be scheduled to send
notifications to requesters asking them to confirm receipts against expected receipts.
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Standard Receipt
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Express Receipt
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Express Receipt
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The express function is a quick method of entering receipts and receiving transactions. This
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function is available if you have specified or inferred a source document. With a few
keystrokes you can receive the entire open order quantity of a purchase order. When you
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search for expected receipts, either specify a single supplier or use search criteria that will
derive a single supplier.
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Cascade Receipt
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Cascade Receipt
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The cascade function facilitates the distribution of a given quantity of an item from a single
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supplier across multiple shipments and distributions. This function is available if you have
specified or inferred a source (a specific supplier or customer) and an item when you search for
expected receipts.
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ASNs and ASBNs
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ASNs and ASBNs
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Enter Advanced Shipment Notices (ASNs) and ASBNs using either Oracle iSupplier Portal, e-
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Commerce Gateway, or XML Gateway. The Receiving Transaction Manager is then used to
validate and import the receipt. The Enter Receipts window is used to confirm the actual
receipt of goods when it arrives.
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Desktop Receiving in iProcurement
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Desktop Receiving in Oracle iProcurement
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Receive (1): You receive the actual goods. That is, they are delivered to you.
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Confirm (2): You can confirm physical receipt of goods using iProcurement as well as the
Enter Receipts form in Oracle Purchasing, provided you are using a receipt routing of Direct
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Delivery. You will not find expected receipts if the receipt routing is set to Standard Receipt
or Inspection Required.
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You can schedule the Confirm Receipts Workflow Select Orders process to run at regular
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intervals. The Confirm Receipts Workflow Select Orders process runs the PO Confirm
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Receipts workflow. The Confirm Receipts workflow sends notifications through the Web, e-
mail, or Notifications Summary window to requesters or buyers who create requisitions
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through Oracle Purchasing or Oracle iProcurement. It lets people know they should have
received an item. The Confirm Receipts workflow sends notifications for items with a
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Destination or Deliver-To Type of Expense, a Receipt Routing of of Direct Delivery, and a
Need-By date that is equal to or later than todays date.
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Entering Expected Receipts
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Entering Expected Receipts
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(N) Receiving > Receipts
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Choose the organization (1): When you first access the Receipts window, you will be forced
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to choose an inventory organization from the list of values if you can process receipts for more
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than one. You can change the organization manually if you have access to the Change
Organization window. Although it is not always the case, you can think of an inventory
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organization as a warehouse. When you write purchase orders, for example, you specify goods
to be shipped to specific inventory organizations. You will only be able to view expected
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receipts (scheduled shipments for a purchase order line item) for the inventory organization
you choose. Use the Organization Access form to limit access to the list of inventory
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organizations for a specific responsibility.
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Find expected receipts (2): Expected Receipts can and do come from different sources
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because they are based on source documents like purchase order scheduled shipments to
suppliers, Internal Sales Orders resulting from Internal requisitions and customer returns
O (processed in Oracle Order Management). When no source document can be found, the order
Receiving
can be processed as an Unordered receipt provided the Allow Unordered Receipts Receiving
option is enabled on the scheduled shipment.
Use the Find Expected Receipts window to find source documents. You can enter as many
criteria as desired to search for expected receipts. The more information you include, the more
restrictive the search is. The focus of this course is those receipts that are expected for a
supplier as a result of a purchase order or release that was issued. Other sources of goods to be
received are from either internal inventory organizations, or from customers.
Input receipt header (3): Input receipt header details like freight carrier, comments and
packing slip.
Choose processing mode (4): Choose the most efficient method to process the invoice.
Choose to process the receipt as a standard, express or cascade receipt.
Input receipt details (5): Input receipt details like quantity, unit of measure, location and
subinventory (if necessary). The method of receipt routing determines if the destination
defaults to Receiving or a final destination like Inventory, Expense or Shop Floor. You can
override this option (for example, when using Standard Delivery, the destination will default to
Receiving but you override it to a final destination) only if the RCV: Allow Routing Override
profile option is set to Yes. Also the Enforce Ship-To Receiving option determines whether
the receiving location must be the same as the Ship-To location. The Enforce Ship-To option
can be set to allow the receipt, allow the receipt but warn the receipt processor or not allow the
receipt to be processed.
Save (6): Save the receipt. Depending on the setting of the RCV: Processing Mode profile
option, the receipt will be processed immediately or submitted as a batch or deferred process.
You can always get printed documentation of your receiving transactions by setting the profile
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option RCV: Print Receipt Traveler.
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Note: Depot Repair can invoke receiving forms with requisite data such as requisition number
and/or requisition line number, and the system directly displays the results of the search
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criteria, completely bypassing the 'find' screen.
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Receipt Structure
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Receipt Structure
Headers
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The receipt header contains details relating to the overall purchase receipt. There can be only
one header per receipt.
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The receipt line contains details about the goods or services you received.
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Receiving Tables
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RCV_SHIPMENT_HEADERS
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RCV_SHIPMENT_HEADERS stores common information about the source of your receipts
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or expected receipts. You group your receipts by the source type and the source of the receipt.
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Oracle Purchasing does
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not allow you to group receipts from different sources under one receipt header.
RCV_SHIPMENT_LINES
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RCV_SHIPMENT_LINES stores information about items that have been shipped and/or
received from a specific receipt source.
O RCV_TRANSACTIONS
Receiving
RCV_TRANSACTIONS stores historical information about receiving
transactions that you have performed. When you enter a receiving
transaction and the receiving transaction processor processes your
transaction, the transaction is recorded in this table.
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Receipt Header
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Receipt Header
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Receipt Number: Enter a unique receipt number. If automatic receipt number generation is
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active, the system will assign the next available receipt number. Numbering options are set
one time for each inventory organization. You can also add receiving transactions existing
receipts.
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Receiver Name: The receiver name will default in from the user id. You can override the
default with the name of another receiver.
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Date: Todays date will default in from the system date. You can backdate a receipt if
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necessary, but the accounting period that the receipt date fall into must be open to do so.
Freight Carrier: You may enter the carrier who delivered the goods using the list of values.
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This information will default if an ASN was sent.
Packing Slip / Air Bill Number: You may enter the packing slip or air bill number that the
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goods came in on. This information will default if an ASN was sent.
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Number of Containers: You may enter the total number of containers that made up this
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shipment.
O Comments: The receiver may enter any comments here. An example might be; The box was
wet.
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Receipt Line
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Receipt Line
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Quantity: Enter the quantity actually received. If you have allowed blind receiving in the
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inventory organizations receiving options, this field will be empty.
Unit of Measure: The unit of measure for the receipt will default here.
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Item: The system item number (if one exists) will display here.
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Description: The description for the item will display here.
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Destination Type: The final destination of the receipt (Expense, Inventory or Shop Floor) or
Receiving is displayed. For a direct receipt the destination will be either: inventory, expense or
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outside processing. A standard or inspection receipt will have a destination type of receiving.
Order Number: The order number will default (purchase order number or sales order
number).
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inspection.
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Receipt Type: The receipt type for this order will default here. Either direct, standard or
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Requestor: If the destination type is expense or inventory, and the order was created from a
purchase requisition, the name of the requestor will default.
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Receiving
Subinventory: If the destination type is inventory this field is required. If the sub inventory
was specified on the requisition or purchase order, it will default here. If no value defaults, the
receiver will have to fill in which subinventory the goods are to be delivered to.
Note to Receiver: If a note to the receiver was entered either on the requisition or the purchase
order, it will display here.
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Practice - Create a Standard Receipt
Overview
In this practice you will create a standard receipt against the purchase order you created in the
prior practice.
Assumptions
Tasks
1. Log on to the system using the following information.

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Find Expected Receipts
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2. Open the Find Expected Receipts window:
Purchase Order = Your Purchase Order from the AutoCreate a Purchase Order
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practice.
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Item = XXSoftwareOk
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Fill in Receipt Header Details
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Packing Slip = PS-XX
Freight Carrier = UPS O ly
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Note: The Receipt Header window opens on top of the Receipts window. When you have
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completed the Receipt Header window, click in the Receipt window, which is located
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behind the Receipt Header window to navigate to it.
Quantity = 2
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Process a Standard Receipt
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Location = M1-Seattle
r a Requestor = Smith, Mr. Jonathan
O3. Record your receipt number.
Receiving
Note: You can use iSupplier Portal to allow your suppliers to record ASNs. Deliveries
must still be processed using this window, but much of the information will already be
recorded and as a result, receipt processing cost and time will be lower.
Note: You can only override the default destination type if the RCV: Allow Routing
Override is set to Yes.
Note: The RCV: Processing Mode profile option determines how receipts are processed:
Setting Meaning
Online The user will not be able to perform any other application activities until the process
completes.
Immediate The window will start running Receiving Transaction Processor as a background
process. The system will not hold the screen and the user can do something else..
Batch Control is returned to the User immediately so other application activities may be
performed. The transaction will be processed by running Concurrent Program
Receiving Transaction Processor (RVCTP). Typically, customers will run this
program periodically based on their processing and system requirements.
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Solution - Create a Standard Receipt

(N) Receiving > Receipts (M1 - Seattle Manufacturing)

Purchase Order = Your Purchase Order from previous practice.
Item = XXSoftware
3. (B) Find
Fill in Receipt Header Details

Freight Carrier = UPS
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Process a Standard Receipt
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4. (M) Window > Receipts (M1)
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5.
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Select the checkbox to the left of the Quantity field
Quantity = 2
Destination Type = ExpensesO ly
Location = M1-Seattle
Requestor = Defaults
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6. Save
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Receiving
7.
8.
(B) Header
Record your receipt number.

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Note: You can only override the default destination type if the RCV: Allow Routing
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Override is set to Yes.
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Note: You can use iSupplier Portal to allow your suppliers to record ASNs. Deliveries
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must still be processed using this window, but much of the information will already be A
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recorded and as a result, receipt processing cost and time will be lower.
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Note: The RCV: Processing Mode profile option determines how receipts are processed:
O ly
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Setting Meaning
Online
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The user will not be able to perform any other application activities until
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the process completes.
Immediate
r n s
The window will start running Receiving Transaction Processor as a
e
background process. The system will not hold the screen and the user can
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do something else..
n
Batch
e I
Control is returned to the User immediately so other application activities
c l may be performed. The transaction will be processed by running

Concurrent Program Receiving Transaction Processor (RVCTP).
r a Typically, customers will run this program periodically based on their

processing and system requirements.
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Receiving
Practice - Create an Express Receipt
Overview
In this practice you will create an express receipt against the purchase order you created
Assumptions
Tasks


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Purchase Order = Your Purchase Order from a previous practice
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Item = XXSoftware
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Note: In order to process an express receipt, all expected receipts queried must be from the
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same supplier!
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Record Receipt Header Details
Packing Slip = PS-XX O ly
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Create the Express Receipt
Destination Type = Final Destination
3.
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Record your receipt number.
r a Note: If the Destination Type is Final Destination, to process the receipt as an express
O receipt, the requestor field must have been filled out on the purchase order or release!
Receiving
Review Receiving Transactions
4. Open the Find Receiving Transactions window:
5. Review your receipt.
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Solution - Create an Express Receipt

2. (N) Receiving > Receipts (M1 - Seattle Manufacturing)

Item = XXSoftware
3. (B) Find
Note: In order to process an express receipt, all expected receipts queried must be from the
same supplier!

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Create the Express Receipt
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5.
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(B) Express to create an Express receipt.
Destination Type = Final Destination
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6. (B) OK
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7. a Save
O8. (B) Header

Receiving
9. Record your receipt number.
Note: If the Destination Type is Final Destination, to process the receipt as an express
receipt, the requestor field must have been filled out on the purchase order or release!
11. (N) Receiving > Receiving Transactions Summary (M1-Seattle Manufacturing)
12. In the Receipt field, enter the receipt number.
13. (B) Find
14. (B) Transactions to open the Receipt Transaction Summary window.
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Receiving
Practice - Create a Cascade Receipt
Overview
In this practice you will create an cascade receipt against the purchase order you created.
Assumptions
Tasks


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Item = XXMonitor
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Note: In order to process a cascade receipt, you must query expected receipts for a specific
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supplier and item.
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Packing Slip = PS-XX O ly
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U
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Create the Cascade Receipt
Cascade Quantity = 6
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Unit of Measure = Each
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r a Note: Because the routing type was Standard Routing, these inventory items will show a
destination type of Receiving. The items are delivered to inventory in a subsequent step.
O
Receiving
Complete the Delivery for the a Line of the Cascade Receipt (we will inspect the
other later)
3. Open the Receiving Transactions window:
4. In the Receipt field, enter the number of the Cascade Receipt.
5. Select PO Line 2, Shipment 2 (qty of 2 available to deliver) by selecting the checkbox to the
left of the Quantity field. We will inspect the other item in a later lab.
Note: If you did not fill in requestor and subinventory information on the purchase order,
you will need to do that now!
6. Open the Find Receiving Transactions window.
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Receiving
Solution - Create a Cascade Receipt

(N) Receiving > Receipts (M1 - Seattle Manufacturing)

Item = XXMonitor
3. (B) Find
Note: In order to process a cascade receipt, you must query expected receipts for a specific
supplier and item.

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Create the Cascade Receipt
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5.
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(B) Cascade to create a Cascade receipt.
Cascade Quantity = 4
Unit of Measure = Each
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6. (B) OK
7. Note that the 4 items are applied to the expected receipt.
8. Save
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9. (B) Header
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10. Record your receipt number.
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Note: Because the routing type was Standard Routing, these inventory items will show a
O ly
destination type of Receiving. The items are delivered to inventory in a subsequent step.
other later)
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Complete the Delivery for the a Line of the Cascade Receipt (we will inspect the
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(N) Receiving > Receiving Transactions (M1 - Seattle Manufacturing)
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12. In the Receipt field, enter the number of the Cascade Receipt.
13. (B) Find

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14. (T) Order Information
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Receiving
15. Select PO Line 2, Shipment 2 (qty of 2 available to deliver) by selecting the checkbox to the
left of the Quantity field. We will inspect the other item in a later lab.
Note: If you did not fill in requestor and subinventory information on the purchase order,
you will need to do that now!
16. Save
17. Close the Receiving Transactions window.
(N) Receiving > Receiving Transactions Summary (M1-Seattle Manufacturing)
20. (B) Find
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Control the Receiving Transaction Processor
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Control the Receiving Transaction Processor
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The setting of the RCV: Processing Mode profile determines the processing mode used after
possible settings: r a
you save your work for receiving transactions. The profile option can have one of three
O ly
Online: The Receiving Transaction Processor is called directly to process the receipt (no
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concurrent request is submitted). The form is not immediately returned to user control, so the
user will not be able to perform any other application activities until the process completes.
a e
Form response time is the slowest of the three options, but errors processing the receipt
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become obvious immediately.
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Immediate: The transaction goes to the interface table, and the Receiving Transaction
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Processor is called for the group of transactions that you entered since you last saved your
work. The form will start running the Receiving Transaction Processor as a background
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process. Control is returned to the user immediately so other application activities may be
performed. Form response time is fast, but a concurrent process is run each time you process a
c
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receipt.
You must occasionally check the concurrent manager to ensure the concurrent request
O completes without errors. If an error occurs, the problem must be fixed. You use the
Receiving
Transaction Status Summary form to delete errored transactions and force them to reprocess.
This is important especially for transactions destined for Inventory or Shop Floor. Until the
receipt processes successfully, no receipt accruals are generated and sent to the general ledger.
If the problem is not reconciled by period end, accruals will be out of balance and understated
in General Ledger.
Batch: The transaction goes to the interface table, where it will be picked up the next time the
Receiving Transaction Processor runs. Control is returned to the user immediately so other
application activities may be performed. Form response time is fast. The transaction will be
processed by running the Receiving Transaction Processor process. This program must be
scheduled to run periodically. The longer the interval, the more data the program will process
each time it runs.
Errors are handled the same way they are handled when the mode is set to Immediate.
Typically, customers will run this program periodically based on their processing and system
requirements. For example, you may elect to run the process at a time when there is relatively
low database activity to help balance the load on system resources. Using this method, receipt
accruals are not processed until the concurrent process completes successfully. Also, inventory
value and on-hand quantities are not updated until the concurrent request completes.
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Receiving Tolerances
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Receiving Tolerances
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You can define days early and late that you will accept a shipment. You can also define what,
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if any percentage above the quantity ordered you will receive.
You have three actions you can place to enforce those tolerances:
None - no action is taken O ly
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Reject - The receiver is unable to receive the shipment. The buyer will have to either
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adjust the tolerances on the PO, or change either the quantity and need by date on the PO.
Warning - The receiver will see a pop up window if a tolerance is exceeded. The receiver
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has the option of accepting the shipment or turning the shipment away.
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Control Numbers
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Control Numbers
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There are various types of tracking information that Oracle Inventory supports which can be
included at the time of the receipt.
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Lot Numbers: A lot number is a unique number assigned to a certain batch or process run of a
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product. You can assign expiration dates for each lot number. Lot number control is an item
Organization Items windows.

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attribute that can be found and set by choosing the Inventory tab in either the Master Items or
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Serial Numbers: A serial number is a unique number assigned to an individual item. When an
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item under serial number control is received, the user performing the transaction will be forced
to enter a unique serial number for each item. Serial number control is an attribute on the
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inventory tab of the item (either in Master Items or Organization Items).
Stock Locators: You use locators to identify physical areas where you store inventory items.
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Item quantities can be tracked by locator. Items can also be restricted to specific locators. An
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example of a stock locator might be Row-Rack-Bin number. You can require Stock Locator
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control at the inventory organization level, the subinventory level, or the item level.
Sublot Control:
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Receiving
Sublot control allows you to track the parent lot from which multiple lots were created.
The parent lot may refer to the production batch that spawned the lot, but if the output of
that batch varied in term of grade or other QC attributes, multiple sublots could be
received into inventory. You can query lots by their parent lot and view the parent lot in
the lot genealogy form. You can also grade control your lot controlled items.
If sublot control is enabled for a given item, Oracle Receiving requires quantity entry of
the parent lot for each new lot received.
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Agenda
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Substitute Receipts
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Substitute Receipts
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When entering items in the Item Master, you have the ability to identify parts that can be
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substituted for each other. In Oracle Purchasing, you can receive predefined substitute items
when you allow suppliers to ship alternatives to the item you order. If you are running a
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constrained or optimized plan in Oracle Advanced Supply Chain Planning, the substitute
relationship will be recognized.
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Unordered Receipts
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Unordered Receipts
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You can receive items from a supplier when you do not have or do not know a corresponding
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purchase order number. These items are tracked on the system while you wait for a buyer to
specify which purchase order should be used, or if the items are to be returned to the supplier.
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Receiving
Overview of Returns and Corrections
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Overview of Returns and Corrections
Returns
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You can return delivered items to receiving and return received or delivered externally sourced
items to the supplier if the purchase order has neither been canceled nor finally closed. You
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can also return to the supplier unordered receipts that have not been matched. Optionally
Authorization) number.
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specify additional return information such as a Reason Code and RMA (Return Material
Corrections
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Oracle Purchasing provides the capability to correct any receiving transaction, except another
correction and a return to a receiving transaction. Each transaction is done individually
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correcting the previous transactions until all applicable transactions are corrected.
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Entering Returns
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Entering Returns
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Use the Receiving Returns window to enter returns against receipts, deliveries, transfers,
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acceptances, and rejections. You may enter an RMA number from your supplier, as well as
specify any user defined return reason. You can return delivered items to a receiving location
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when they are routed to the wrong destination, require inspection, or require a return to a
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supplier or a customer in a later transaction.
When you perform a Return to Supplier transaction, Oracle Purchasing reopens the associated
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purchase order for the return quantity by reducing the original receipt quantity. You cannot
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perform a Return to Supplier transaction against a Finally Closed or Cancelled purchase order.
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When you perform a Return to Supplier transaction, Oracle Purchasing automatically creates
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both a Return to Receiving and a Return to Supplier transaction.
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Note: You cannot enter returns for internal shipments.
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Material Status Control
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Quality Control and product lifecycle issues may require that certain material, although
r a stored in a ready to use state in the warehouse or production facility, may not be usable for
certain applications. A lot that has not yet passed inspection should not be shipped to a
O customer or consumed in production. A warehouse location that has been discovered to
Receiving
have erroneous inventory balances should not be included in available to promise
calculations.
If material status control is enabled for a given lot or serial controlled item, Oracle
Receiving requires quantity entry of the status for each new lot or serial received.
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Entering Corrections
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Entering Corrections
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Corrections are entered by using the adjustment quantity, either positive or negative. To
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reduce a ten-item delivery to nine, enter -1 in the Quantity field. To increase a ten-item
delivery to eleven, enter 1 in the Quantity field. You cannot create supply when none exists.
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For example, if you receive and deliver 10 items before discovering that you actually delivered
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11 items, you cannot simply increase the delivery quantity to 11. First you must increase your
receipt transaction from 10 to 11. Then you can increase your delivery transaction from 10 to
11.
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Comparing Returns and Corrections
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Comparing Returns and Corrections
Receiving Return
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You can return delivered items to receiving and return received or delivered externally sourced
items to the supplier if the purchase order has neither been canceled nor finally closed. You
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can also return to the supplier unordered receipts that have not been matched.
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You can also optionally specify additional return information such as a Reason Code and RMA
(Return Material Authorization) number.
Receiving Correction
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Oracle Purchasing provides the capability to correct any receiving transaction, except another
correction and a return to a receiving transaction. Each transaction is done individually
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correcting the previous transactions until all applicable transactions are corrected.
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Receiving
Practice - Inspect and Deliver a Receipt
Overview
In this practice you will inspect and deliver a receipt. Half of the items you found to be
defective. You will deliver half to their final destination and the other half will be returned.
Assumptions
Tasks

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Perform a Quality Inspection
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Purchase Order = Your receipt number
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Note: If Oracle Quality is installed and at least one inspection plan exists for the A
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transaction, both the Enter Quality Results option in the Tools menu and the Quality button
on the menu bar will be enabled. If the QA: PO Inspection Profile option is set to Quality,
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when you click the Inspect button, it opens the Quality Inspection window that you defined,
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instead of the Purchasing Inspection window.
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Enter inspection results according to the table:
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Item
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Inspect
U s Quantity Quality
Code
Reason
Code
Comment
XXMonitor
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Accept 2 Above
Average
Blank Passed
inspection
XXMonitor
c l e Reject 2 Below
Average
CompDefect Failed
inspection
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Receiving
Deliver Goods to a Final Destination
5. In the Receipt field, enter your receipt number.
6. Complete the Receiving Transaction according to the following table:
Inspection Qty UOM Destination Item Location

Type
Accepted Defaults Each Inventory XXMonitor M1-Seattle
Rejected Defaults Each Receiving XXMonitor M1-Seattle
Note: Youll need to use this window carefully. Determine which record was the accepted
item and which was the rejected item!
7. Save

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Receiving
Solution - Inspect and Deliver a Receipt

Perform a Quality Inspection
(N) Receiving > Receiving Transactions (M1-Seattle Manufacturing)

Purchase Order = Your receipt number
3. (B) Find
4. (B) Inspect
Note: If Oracle Quality is installed and at least one inspection plan exists for the
transaction, both the Enter Quality Results option in the Tools menu and the Quality button
on the menu bar will be enabled. If the QA: PO Inspection Profile option is set to Quality,
when you click the Inspect button, it opens the Quality Inspection window that you defined,
instead of the Purchasing Inspection window. If the quality window is displayed instead of
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the Purchasing Inspection window, ask the instructor to change the QA: PO Inspection
Profile option to Purchasing.
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5. Enter inspection results according to the table:
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Item Inspect
Result
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Quantity Quality
Code
Reason Comment
XXMonitor Accept 2
r a Above Blank
Code
Passed
O ly Average inspection
XXMonitor Reject 2
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Average
CompDefect Failed
inspection
6. (B) OK
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7. Save
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Receiving
8. Close the Receiving Transactions window.
Deliver Goods to a Final Destination
(N) Receiving > Receiving Transactions
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11. (B) Find
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12. Complete the Receiving Transaction according to the following table:
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Inspection Qty UOM
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Destination Item Subinventory Location
Accepted Defaults Each r a Type

Inventory XXMonitor Stores M1-Seattle
Rejected Defaults Each O ly
Receiving XXMonitor M1-Seattle
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Note: Youll need to use this window carefully. Determine which record was the accepted
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item and which was the rejected item!
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13. Save
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Receiving
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(N) Receiving > Receiving Transactions Summary (M1-Seattle Manufacturing)
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16. (B) Find
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Overview of Pay on Receipt
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Overview of Pay on Receipt
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Oracle Purchasing works in conjunction with Oracle Payables to streamline the procurement
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process by generating invoices to suppliers based on receipt transactions. Negotiate with key
suppliers to use Pay on Receipt. Every invoice created by the Pay on Receipt process is one
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less receipt that needs to be manually keyed into Oracle Payables. Suppliers can still send the
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hard copy of the invoice if a physical copy is necessary for archiving. Pay on Receipt enables
you to automatically create standard, unapproved invoices for payment of goods based on
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receipt transactions. Invoices are created using a combination of receipt and purchase order
information, eliminating duplicate manual data entry and ensuring accurate and timely data
Billing.
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processing. Payment on Receipt is also known as Evaluated Receipt Settlement (ERS) and Self
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See the Oracle Payables Users Guide and the Oracle Purchasing Users Guide for more
information.
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You can set up your suppliers so the invoice can be based on receipt of goods or delivery of
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goods to their final destination. The Invoice Summary Level, set at the Supplier Site, controls
the number of invoices generated.
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Receiving
Packing Slip - One invoice will be generated per packing slip. (highest number of
invoices)
Receipt - One invoice will be generated per receipt.
Site - One invoice will be generated per supplier site (fewest invoices)
After receipt or delivery transactions are created, you must run the Pay on Receipt Autoinvoice
process to create invoices and automatically match them to their corresponding purchase
orders. The Pay on Receipt Autoinvoice process can be set up to run automatically. Set the
PO: Invoice Number Prefix profile to add a prefix of your choice to the invoice that is created.
The number is created based on the Invoice Summary Level.
Packing Slip - The packing slip number is used as a basis to generate the invoice number.
Receipt - The receipt number is used as a basis to generate the invoice number.
Site - The date is used as a basis to generate the invoice number.
Set the PO: ERS Aging Period profile to a number of days after the receipt to actually create
the invoice when the Pay on Receipt Autoinvoice process runs. A delay will give you time to
enter corrections, adjustments and returns (if any) and will result in more accurate invoices
being created.
You can indicate your own prefix for Pay on Receipt invoices by setting the profile PO: ERS
Invoice Number Prefix. In addition, the invoice number can include a self billing identifier
which is set up in the Purchasing Options: Control window.
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Receiving
Agenda
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Receiving Open Interface (ROI)
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Receiving Open Interface (ROI)
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The Receiving Open Interface enables receipt processing from sources outside of Oracle
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Purchasing. This is typically a three step process.
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Load (1)
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The receiving open interface is used to process receipts loaded by the Oracle e-Commerce
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Gateway, from a flat file (if bar-coding is used, for example), or ASNs and ASBNs loaded
through the Oracle iSupplier Portal.
Process (2)
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validate them.
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After receipts are loaded, run the Receiving Transaction Processor from Oracle Purchasing to
Confirm (3)
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Receipts may be confirmed using the Confirm Receipts window or through a notification sent
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by the Confirm Receipts workflow before they create accruals and can be delivered to their
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final destination.
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Receiving
ROI Supported Transactions
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ROI Supported Transactions
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The Receiving Open Interface does not support:
Unordered receipts
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Movement statistics
Dynamic locators O ly
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Load the Receiving Open Interface
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Load the Receiving Open Interface
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Using SQL Loader or a custom created program, load your receipt information into the
Receiving Open Interface.
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Receipt Import Validation
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For details see the Oracle Manufacturing APIs and Open Interfaces Manual.
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Purchasing Open Interface Tables
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Agenda
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Receiving Reports
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Receiving Reports
Expected Receipts Report
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The Expected Receipts Report can be used to review all or specific supplier sourced expected
receipts or expected customer returns that have not yet been received for a particular date or a
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range of dates. The report excludes purchase orders that are cancelled, closed, or closed for
you want to review.

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receiving at the header, release, line, or shipment level. You can specify the expected receipts
Unordered Receipts
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The Unordered Receipts Report lists all or selected unordered receipts. Unordered receipts
refer to received items that receivers could not match to purchase orders or return material
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authorizations (RMAs).
Substitute Receipts Report
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Use this report to review all or specific substitute receipts.
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Receiving Transaction Register
The Receiving Transactions Register lists detail information about your receiving transactions.
O The register is sorted by item, category, receipt number, document number, and transaction
Receiving
date. The three-part document number represents purchase order number, purchase order line
number, and purchase order shipment number.
Receiving Exceptions Report
Use the Receiving Exceptions Report to review receipts for which there is a receipt exception.
These receipts cannot be automatically closed for receiving or invoicing. You can enter a
receipt exception when you receive the item.
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Receiving Reports (Cont.)
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Receiving Reports (Cont.)
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Receiving Value by Destination Account Report
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The Receiving Value Report by Destination Account lists received items by purchase order
destination and distribution account. If you accrue both inventory and expense at the time of
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receipt, you may have both inventory and expense as part of your receiving valuation account.
Receiving Value
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The Receiving Value Report shows item quantity, valuation, and detailed receipt information
for your receiving inspection location.
Receipt Adjustments Report
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Use this report to review purchase order shipments or internal requisition lines with corrections
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or returns to vendor.
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Receipt Traveler
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The Receipt Traveler facilitates receiving inspection and delivery of goods you receive within
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your organization. After you receive the goods, you can print receipt travelers and attach these
tickets to the goods. This can be automated by setting the profile option RCV: Print Receipt
O Traveler.
Receiving
Agenda
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Purchasing Options
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Purchasing Options
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(N) Setup > Organizations > Purchasing Options
Control Tab O ly
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Receipt Close Point: Select the Receipt Close Point, which is when the shipment is closed for
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receiving: Accepted (passed inspection), Delivered, or Received. Note that you need to set the
receipt close tolerance percentage in the Default Options window.
Default Tab
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Receipt Close Percent: Enter the Receipt Close tolerance percentage for your shipments.
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Purchasing automatically closes a shipment for receiving if it is within the receiving close
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tolerance at the receiving close point. Set the receiving close point in the Control Options
window. You can override this option for specific items and orders.
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Receiving
Receiving Options
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Receiving Options
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(N) Setup > Organizations > Purchasing Options
Receipt Date O ly
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Days Early: Enter the maximum acceptable number of Days Early for receipts.
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Days Late: Enter the maximum acceptable number of Days Late for receipts.
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Action: Enter the Action for Receipt Date Control. This field determines how Purchasing
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handles receipts that are earlier or later than the allowed number of days selected above.
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Choose one of the following options:
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None - Receipts may exceed the allowed days early or late.
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Reject - Oracle Purchasing does not permit receipts outside the selected number of days
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early or late.
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Warning - Oracle Purchasing displays a warning message but permits receipts outside the
selected number of days early or late.
OOver Receipt Control
Receiving
Tolerance: Enter the maximum acceptable over-receipt Tolerance percentage.
Action: Enter the Action for Overreceipt Quantity Control. This field determines how Oracle
Purchasing handles receipts that exceed the quantity received tolerance. Choose one of the
following options:
None - Receipts may exceed the selected tolerance.
Reject - Oracle Purchasing does not permit receipts that exceed the selected tolerance.
Warning - Oracle Purchasing displays a warning message but permits receipts that exceed
the selected tolerance.
Receipt Number Options
Action: Choose the Entry method for receipt numbers:
Automatic: Oracle Purchasing automatically assigns a unique sequential number to each
receipt when you create the receipt.
Manual: You provide a receipt number manually when you enter the receipt.
Oracle Purchasing numbers receipts within inventory organizations rather than across
inventory organizations. So, for example, the same receipt number could be used by
different inventory organizations.
Note: You can change the method of entering receipt numbers at any time. If you originally
allow manual entry and switch to automatic entry, make sure to enter a Next Number that is
higher than the highest number you assigned manually.
Type: Choose the receipt number Type you want Oracle Purchasing to use for receipt
numbers: Numeric or Alphanumeric.
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Notes: If you choose Automatic receipt number entry, you can generate only numeric receipt
numbers, but you can still import either numeric or alphanumeric values from another
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purchasing system. If you have any alphanumeric documents in your system, you must choose
Alphanumeric as your number type, regardless of your numbering method.
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You can change the receipt number type from Numeric to Alphanumeric whenever you want. A
If you choose Manual receipt number entry, you can choose numeric or alphanumeric numbers.
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You can change the receipt number type from Alphanumeric to Numeric only if all your
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current receipt numbers are numeric. The ordering of numeric values in lists of values can
appear random when you use the Alphanumeric number type.
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If you are using Alphanumeric numbering, consider entering all numeric values with the same
number of digits. For example, if you can assume all numeric values contain six digits, you
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should enter the first value as 000001.
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Next Receipt Number: Enter the Next Receipt Number. This is the starting value you want
Oracle Purchasing to use for generating unique sequential receipt numbers if you choose
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Automatic receipt number entry. Oracle Purchasing displays the next receipt number that will
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be used for a new receipt when you create the new receipt. You cannot enter this field if you
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choose Manual receipt number entry.
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Receiving Options (Cont.)
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Receiving Options (Cont.)
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(N) Setup > Organizations > Receiving Options
Miscellaneous O ly
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Allow Substitute Receipts: Check Allow Substitute Receipts if you want to receive substitute
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items in place of ordered items. You must define substitute items in the Item Relationships
window before you can receive them. You can override this option for specific suppliers,
items, and orders.
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Allow Unordered Receipts: Check Allow Unordered Receipts if you want to receive
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unordered items. You can later match the unordered receipts to a purchase order. If you enable
this option, you can override it for specific suppliers and items.
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Allow Express Transactions: Check Allow Express Transactions to enable express deliveries
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Allow Cascade Transactions: Check Allow Cascade Transactions to enable cascading for
O receipts and receiving transactions.
Receiving
Allow Blind Receiving: Select Allow Blind Receiving if you want blind receiving at your site.
Blind receiving helps you ensure that receivers record the exact amount they receive. With
blind receiving, you cannot see the quantity due or the quantity ordered for shipments when
you receive items. Oracle Purchasing ignores all quantity receipt tolerances to help ensure that
you can receive the exact amount the supplier shipped.
Receipt Routing: Enter the default Receipt Routing that you assign goods: Direct Delivery,
Standard Receipt, or Inspection Required. You can override this option at receipt time by
changing the destination type for specific suppliers, items, and orders if the RCV: Allow
Routing Override user profile is set to Yes.
Enforce Ship-To: Enter the Enforce Ship To location option to determine whether the
receiving location must be the same as the ship-to location. Choose one of the following
options:
None - The receiving location may differ from the ship-to location.
Reject - Oracle Purchasing does not permit receipts when the receiving location differs
from the ship-to location.
Warning - Oracle Purchasing displays a warning message but permits receipts when the
receiving location differs from the ship-to location.
ASN Control Action: Choose an action for ASN Control. This field determines how Oracle
Purchasing handles receiving against purchase order shipments for which an Advance
Shipment Notice (ASN) exists. Choose one of the following options.
None - Oracle Purchasing does not prevent or warn you when you try to receive against a
purchase order shipment for which an ASN exists.
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Reject - Oracle Purchasing gives you a message and prevents you from receiving against a
purchase order shipment for which an ASN exists.
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Warning - Oracle Purchasing gives you a message informing you that an ASN exists for
the purchase order shipment and lets you decide whether to receive against the purchaseca
order shipment or its ASN.
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Accounting
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Receiving Inventory Account: Enter the accounting flexfield for the default Receiving
Clearing Account.
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Account Description: A non-updateable field with the description of the Receiving Inventory
Account.
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Receiving Profile Options
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Profile Options
System Administrator Responsibility
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PO: Enable SQL Trace for Receiving Processor
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Yes means that when you run the Receiving Transaction Processor, the View Log screen
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displays the receiving transaction pre-processors actions, including errors, as it processed the
receipt data from start to finish. Yes also generates a trace file in the database; if you need help
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with an error that occurs while the Receiving Transaction Processor runs, Oracle Support
Services may ask you for this trace file. This profile option should be set to Yes only while
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debugging the Receiving Open Interface. The Receiving Open Interface validates receipt
transactions from other systems and uses the Receiving Transaction Processor to import the
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validated data into Purchasing.
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RCV: Fail All ASN Lines if One Line Fails
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If you choose Yes, you can reject an entire Advance Shipment Notice (ASN) if any ASN line
O fails validation or processing. If you choose No, then you can accept an ASN if at least one
ASN line is successful.
Receiving
RCV: Print Receipt Traveler
Yes or No indicates whether Oracle Purchasing automatically prints the receipt traveler when
you perform a receipt or a receiving transaction, and when you match unordered receipts. You
can always print receipt travelers from the Submit Requests window.
RCV: Processing Mode
Indicates the processing mode used after you save your work for receiving transactions.
PO: ERS Aging Period
The value in this profile option indicates the number of days between the receipt date and the
Payment on Receipt automatic invoice creation date. For example, a value of 2 means that
Payment on Receipt creates invoices only for receipts that are 2 or more days old. Any
corrections or returns you make against a receipt during that 2-day period are included on the
Payment on Receipt invoice.
PO: ERS Invoice Number Prefix
ERS- is the prefix that appears before all invoices that you create automatically using
Payment on Receipt. This profile option allows you to change this prefix. For example,
shortening this prefix allows extra spaces for longer packing slip or receipt numbers.
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Receiving
ASN and ASBN Electronic Receipts
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ASN and ASBN Electronic Receipts
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Your supplier can provide ASN and ASBN transactions by way of EDI (e-Commerce
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Gateway) or the Internet (XML Gateway). Both of these require implementation of the
appropriate Oracle product and setup of the supplier in the product as a trading partner. See the
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Setup Options topic of the Purchase Orders module for slides describing how these products
integrate with Oracle Purchasing.
e-Commerce Gateway
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Trading Partner window of Oracle e-Commerce Gateway. Since the gateway puts the incoming
transactions in the Receiving Open Interface, the Receiving Transaction Processor must be run
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to update Oracle Purchasing. You can then view and receive against the shipping notices using
the receiving windows in Oracle Purchasing. See the Oracle e-Commerce Gateway
XML Gateway
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Implementation Manual for complete implementation details.
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Setup for XML shipping notices requires that both the supplier site and the trading partner have
EDI Locations defined. As with purchase orders the Workflow Agent Listener must be
O running. Since the gateway puts the incoming transactions in the Receiving Open Interface, the
Receiving
Receiving Transaction Processor must be run to update Oracle Purchasing. You can then view
and receive against the shipping notices using the receiving windows in Oracle Purchasing. See
the Oracle Purchasing XML Transaction Delivery Setup Guide for complete implementation
details.
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Receiving
Agenda
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Receiving
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Receiving
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What methods of receiving will be most appropriate to use?
Will Blind Receiving be used?
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How will the Receiving Transaction Processor be configured?
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Will key suppliers record ASNs and ASBNs using Oracle iSupplier Portal?
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Will receiving transactions be initiated from an external system like Scanning Devices?
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Data mapping
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How will your data mapping be done?
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What data in legacy systems will determine values in Oracle Purchasing tables?
How will additional fields be derived and loaded?
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Will any additional descriptive flexfields need to be set up?
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Data cleanup
What receipts will be converted?
O How will you handle conversion of goods received but not delivered?
Receiving
Will you have automated conversion, manual data entry or both?
Report Mapping
Do Oracle standard reports meet your reporting requirements?
Who will perform report mapping?
Training and cutover
How will end-user training be conducted?
Who will conduct the training?
Who will create training materials?
Cutover
What are the cutoffs for entering data into the legacy system?
Whether and how long to maintain dual systems (legacy and new Oracle)?
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Receiving
Summary
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Receiving
Purchasing Accounting
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Chapter 13
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Chapter 13 - Page 1
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Chapter 13 - Page 2
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Chapter 13 - Page 3
Objectives
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Chapter 13 - Page 4
Agenda
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Chapter 13 - Page 5
Overview of the Procure to Pay Period Close
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Overview of the Procure to Pay Period Close
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At the end of each accounting period, companies must complete the closing process in
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Payables and reconcile Payables activity for the period.
You close a Payables period after you have completed accounting for transactions for the
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period and you have transferred the accounting entries to general ledger.
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A week before your first period close, create a copy of the production database and then do a
dry run following your period close procedures. The dry run will help you identify problems
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and issues well in advance of the actual period close.
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Chapter 13 - Page 6
Close the PO Period Steps
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Chapter 13 - Page 7
Close the PO Period Business Flow
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Close the PO Period Business Flow
Review the Uninvoiced Receipts report
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The Uninvoiced Receipts Report should be run before the Receipt Accrual - Period-End
process. With this report, you can review all or specific uninvoiced receipts for both period end
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and online accruals. Uninvoiced receipts are goods and services you have received that your
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supplier did not invoice yet. This report indicates exactly what you have to accrue and for what
amount, and helps you analyze your receipt accrual entries. The accrual amount is the
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difference between the quantity received and the quantity billed multiplied by the unit price of
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the item.
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Process period-end receipt accruals
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Use the Receipt Accruals - Period-End process to create period-end accruals for your
uninvoiced receipts for Expense distributions. Purchasing creates an accrual journal entry in
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your general ledger for each uninvoiced receipt you choose using this window. Each time you
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create accrual entries for a specific uninvoiced receipt, Purchasing marks this receipt as
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accrued and ignores it the next time you run the Receipt Accrual - Period-End process.
Purchasing creates accrual entries only up to the quantity the supplier did not invoice for
O partially invoiced receipts.
Chapter 13 - Page 8
Once the Receipt Accruals - Period-End process completes, use Journal Import with a source
of Purchasing to import the journal into General Ledger. The journal is assigned a reversal
period based on the category setup. This journal must be reversed in the subsequent period and
posted. If the journal is not reversed and posted, your uninvoiced receipt liability will be
overstated.
Close the purchasing period
Use the Control Purchasing Periods window to control the purchasing periods defined in the
Accounting Calendar window. Purchasing lets you create journal entries only for transactions
you enter in an open purchasing period. Use the Control Purchasing Periods window to change
the status of the period to Closed. Once the Purchasing period is closed, the corresponding
Payables period cannot be re-opened unless the purchasing period is re-opened. Each period in
the purchasing calendar will have one of the following statuses:
Closed - When you close a purchasing period, Purchasing does not allow further accruals
during the period. Purchasing reverses the status of accrued purchase order lines that are
set to accrue at period end so that you can accrue them in the next period if you need to.
Future - Use this option if you want to open the purchasing period in the future. This
option is available only when the current status is Never Opened.
Never Opened - Purchasing displays this default status if you have not opened the period
in the past.
Open - Use this option to open the purchasing period.
Permanently Closed - Use this option if you do not want to re-open the period in the
future. This option is irreversible.
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Process remaining inventory transactions
Process any remaining inventory transactions and close the inventory accounting period.
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Run Accrual Rebuild Reconciliation Report
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The Accrual Reconciliation Report can be used to analyze the balance of the perpetual receipt
accrual accounts (Inventory AP Accrual account). You only need to use this report if you are
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accruing on receipt. For each Inventory AP Accrual account you can choose to order by item
or supplier and see detailed information including the purchase order number, receipt,
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transaction quantity and transaction amount. You can review this report to identify the
following problems in receiving, purchasing, inventory, work in process, or accounts payable
transactions:
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Mismatches in receipt and invoice quantities
Discrepancies in supplier billing
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Invoices matched to the wrong purchase order
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Receipts matched to the wrong purchase order
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Miscellaneous transactions from Inventory or Work in Process that use the A/P accrual
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accounts in error
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Sales tax and freight charged to the A/P accrual accounts by mistake
For inquiries during the accounting period, use the Accrual Reconciliation report.
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Write off accrued transactions as necessary
After you have researched the reported accrual balances, you can use the Accrual Write-Offs
O window to indicate which entries you wish to remove and write off from this report.
Chapter 13 - Page 9
Create a manual journal entry for write-offs
You can use the Accrual Write-Off Report as supporting detail for your manual journal entry.
Keep in mind that the best way to make corrections to fix discrepancies you identify is to
reverse invoice distributions and re-match to the correct purchase order.
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Agenda
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Key Accounts in Procure to Pay
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Key Accounts
Receiving Inventory Account
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The Receiving Inventory Account is a clearing account. The account is used for perpetual (on
receipt) accruals. After receiving transactions are processed and the Transfer Transactions to
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GL process is run, the Receiving Inventory Account is cleared and the Material account is
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charged with the cost of the capitalized inventory. Specify this account when you define
Receiving Information for your inventory organizations.
Inventory AP Accrual
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This is the account used by Purchasing to accrue your payable liabilities when you receive
items you will capitalize as inventory. This account represents your uninvoiced receipt liability
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and is usually part of your Accounts Payable Liabilities in the balance sheet. Payables relieves
this account when the invoice is matched and validated. Specify this account when you define
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Inventory Information for your inventory organizations in the Other Accounts tab.
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AP Liability
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This defaults from the supplier site and is credited when a standard invoice is entered or
debited when a credit memo or debit memo is entered. The account is relieved when the
O invoice is paid.
Expense AP Accrual
This is the account used by Purchasing to accrue your payable liabilities when you receive
items you will expense. This account represents your uninvoiced receipt liability when you run
the Receipt Accruals - Period End process. Specify this account on the Accrual tab when you
set up Purchasing Options.
Material
An asset account that tracks material cost. For average costing, this account holds your
inventory and in transit values. Once you perform transactions, you cannot change this
account. Specify this account when you define Inventory Information for your inventory
organizations in the Valuation Accounts region for the Costing Information tab.
Charge Account
This is the charge account is the account that will be charged for the purchase on either the
balance sheet or income statement. If the destination type for the distribution is Inventory, this
account will be the Material account associated with the subinventory and you cannot override
it. This is the balance sheet account that will be charged after inventory is capitalized. If the
destination type is expense, you can specify this account (provided it isnt project related) and
override any defaults. This account will be either an asset clearing account that will be
included on the balance sheet or an expense account that will be included on the income
statement. This account is either created or specified when you create a purchase order.
Purchase Price Variance
This account is used to record differences between purchase order line price and standard cost.
The Purchase Price Variance is calculated when items delivered to inventory are costed. This
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account is not used with the average cost method. For example, assume the purchase order line
price for an item was set at $10 per item but standard cost was set to $12 per item and you
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purchased 10 items. The Purchase Price Variance would be $20. Specify the Purchase Price
Variance account when you define Inventory Information for your inventory organizations in
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the Other Accounts tab.
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Invoice Price Variance
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The variance account used to record differences between purchase order price and invoice
price. This account is used by Payables to record the invoice price variance for inventory items.
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For expense items, the account generator uses the charge account to record any invoice price
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variance. For example, assume the purchase order line price for an item was set at $10 per item
but you were charged $12 per item and you purchased 10 items. The Invoice Price Variance
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would be $20. Specify this account when you define Inventory Information for your inventory
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organizations in the Other Accounts tab.
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Accrual Accounting Perpetual Accrual (On Receipt)
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Enter purchase order (1)
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Accrual Accounting - Perpetual Accrual (On Receipt)
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When you enter a purchase order, accounts are created and stored with the purchase order
distribution. The accounts will eventually be used as a basis for creating accounting that is sent
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to the general ledger. Creating a purchase order in and of itself generates no accounting that is
sent to the general ledger.
Receive (2)
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accrual to the general ledger. The Receiving Inventory Account is debited (quantity x purchase
order line unit price) and the Inventory AP Accrual account (uninvoiced receipts account) is
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credited the same amount. Run the Journal Import process with a source of Purchasing to
create unposted journals in the general ledger.
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Deliver and cost (3)
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After delivering to the final destination, the Receiving Inventory Account is cleared and the
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Material account is debited. If you use standard costing, the Material account is debited with
the standard cost of the item and any difference is charged to the Purchase Price Variance
O account.
Period end accrual (4)
When items are accrued on receipt, no period-end accrual is generated by the Receipt Accruals
- Period-End process. The receipt accrual is automatically generated when the receipt is
processed.
Invoice and match (5)
Entering an invoice and matching creates a debit to the Inventory AP Accrual account to clear
the liability for the uninvoiced receipt (you now have an invoice). The credit is to the AP
Liability account that defaults from the supplier site if the invoice unit price is the same as the
purchase order line unit price. Any difference is charged to the Invoice Price Variance
account. For items with destination type of Inventory, the Invoice Price Variance account will
be the Invoice Price Variance account specified when you defined Inventory Information for
your inventory organizations in the Other Accounts tab. The AP Liability account is cleared
when the invoice is paid.
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Accrual Reconciliation Process
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Accrual Reconciliation Process
To reconcile accrual accounts, you must:
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Analyze the A/P Accrual Account Balance: You need to monitor potential problems
with purchasing and receiving activities that can affect the accuracy of your A/P accrual
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accounts. You can use the Accrual Reconciliation Report to identify the following
transaction
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problems in receiving, purchasing, inventory, work in process, or accounts payable
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Use the Accrual Reconciliation Report: Use the Accrual Reconciliation Report to
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analyze the balance of the Accounts Payable (A/P) accrual accounts. To submit this report,
you must have Purchasing and Payables installed. You can accrue both expense and
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inventory purchases as you receive them.
Resolve Quantity Differences: The Accrual Reconciliation Report lets you identify
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quantity differences (i.e., when the quantity received for a purchase order shipment is
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smaller than the quantity invoiced). Such differences leave residual balances that never
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and take corrective actions before closing your period. Common causes of quantity
O differences include:
- Late inventory receipts: To correct late receipts, ensure that receivers enter all
receipts into inventory.
- Incorrect receipt quantities: To correct receipt quantities, enter receipt corrections.
- Supplier overbilling: To correct overbilling errors, follow your standard procedure
for supplier debit memos to clear the difference.
Resolve Price Differences: The Accrual Reconciliation Report lets you determine how
much you should have paid and whether the PO or invoice is correct. Such differences
leave residual balances that never clear from the A/P accrual accounts. You should
investigate the cause of these differences and take corrective actions before closing your
period.
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Accrual Accounting Periodic Accrual (Period End)
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Accrual Accounting - Periodic Accrual (Period End)
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Receive (2)
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When you process a receipt, no accounting is created for period end accruals. Receipts that are
Deliver and cost (3)

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accrued at period end will always be for a destination type of expense.
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When you deliver a receipt to its final destination, no accounting is created. The expense will
be recorded after matching to the purchase order, running the Payables Accounting process and
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subsequently running the Payables Transfer to General Ledger process.
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If an invoice is not entered by period end, the Receipt Accruals - Period End process will
O generate accruals and transfer the accounting for them to the GL Interface. Use the Journal
Import program to create unposted journals. This journal is created with a reversal date in a
subsequent period. The journal must be reversed so your receipt liability is not overstated.
Reverse accrual in the general ledger (5)
In the subsequent period, reverse the prior period accrual.
the liability for the uninvoiced receipt (you now have an invoice). The entire credit is to the
AP Liability account that defaults from the supplier site if the invoice unit price is the same as
the purchase order line unit price. Any difference is charged to the Invoice Price Variance
account. For items with destination type of Expense, the Invoice Price Variance account will
be the same as the charge account. The AP Liability account is cleared when a payment is
processed.
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Accounting for Mass Additions Periodic Accrual (Period End)
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Accounting for Mass Additions - Periodic Accrual (Period End)
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Receive (2)
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For most expenses and asset purchases (other than inventory), receipt accruals are generally
receipt is processed.
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processed at period end, so no accounting is transferred to the general ledger at the time the
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If no invoice is received and matched to the purchase order at period end, the Receipt Accruals
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- Period End process will generate an accrual that is transferred to the GL Interface. Run the
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Journal Import process to create unposted journals in the general ledger.
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Reverse accrual (4)
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Perpetual accruals (on receipt accruals) are reversed when the invoice entered in Payables is
matched to the purchase order. Periodic accruals (period end accruals) are reversed when a
reversing journal is created and posted in the general ledger.
the liability for the uninvoiced receipt (you now have an invoice). The credit is to the AP
Liability account that defaults from the supplier site if the invoice unit price is the same as the
purchase order line unit price. Any difference is charged to the Invoice Price Variance
account. For items with destination type of Expense, the Invoice Price Variance account will
be the same as the charge account. In the case of an asset that will be capitalized and
depreciated in assets, the charge account is an asset clearing account associated with an asset
category in Assets. The AP Liability account is cleared when a payment is processed.
Post asset to Assets (6)
The Post Mass Additions process places the asset in service. When the Create Journal Entries
process is run in Assets, the charge account (the clearing account on the invoice distribution) is
relieved and the cost account associated with the asset category is charged for the cost of the
asset.
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Accounting for Payments with Cash in Transit (Cash Clearing)
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Enter invoice (1)
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Accounting for Payments with Cash in Transit (Cash Clearing)
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A standard, unmatched invoice entered into Payables will generate a credit to the AP Liability
account and a debit to the charge account specified on the invoice distribution. For expenses,
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this will be an income statement account; for assets that will be capitalized in Assets and
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depreciated, this account will be a balance sheet account (asset clearing account); for inventory
received, the account will be the Inventory AP Accrual account.
Pay invoice (2)
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When using a cash clearing (cash in transit) account with Cash Management, usually the AP
Liability account is cleared when the payment is issued (however, it can be set to clear after the
Reconcile (3) I n
payment is cleared using Cash Management).
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After reconciling the payment with Cash Management, the cash clearing account (cash in
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transit) is relieved and the cash account associated with the payment document is credited. The
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cash clearing account may be the same as the cash account, but using separate accounts gives
greater visibility to cash in transit on the balance sheet.
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Accounting for Payments without Cash in Transit (Cash Clearing)
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Enter invoice (1)
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Accounting for Payments without Cash in Transit (Cash Clearing)
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A standard, unmatched invoice entered into Payables will generate a credit to the AP Liability
account and a debit to the charge account specified on the invoice distribution. For expenses,
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this will be an income statement account; for assets that will be capitalized in Assets and
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depreciated, this account will be a balance sheet account (asset clearing account); for inventory
received, the account will be the Inventory AP Accrual account.
Pay invoice (2)
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When not using a cash clearing (cash in transit) account with Cash Management or not using
Cash Management, the AP Liability account is cleared when the payment is issued.
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Foreign Currency in Purchasing
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Foreign Currency in Purchasing
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In many businesses the environment is a global environment. One organization may purchase
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goods and services from all over the world. Oracle Purchasing allows you to create documents
in a currency other than your defined functional currency. Your functional currency is defined
in your Set of Books.
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You can create requisitions using multiple currencies other than your functional currency.
Every line you enter on a requisition can specify a different currency.
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You can AutoCreate requisition created in one currency to a purchase order in a different
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currency. (See above graphic example.)
Only one currency is allowed on a purchase order header.
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You can choose from three types of foreign currency exchange rates.
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You choose the date for your currency conversion.
In a non-budgetary control environment, requisitions do not make journal entries. However,
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since approval rules are defined in your functional currency, the system requires conversion
factors to translate requisitions created with nonfunctional currencies to the functional
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Exchange Rate Overview
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Exchange Rate Overview
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In Oracle Purchasing you can specify three types of foreign currency exchange rates for you
requisition line or purchase order.
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- Daily exchange rate you use to perform foreign currency conversion.
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- Generally, a quoted market rate that applies to the immediate delivery of one currency
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Corporate
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for another on a specific date.
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- Exchange rate that your organization specifies to perform foreign currency
conversion.
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- Generally, a standard rate determined by senior management for use throughout the
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corporation.
User-Defined
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- The exchange rate is specified to be constant for the purchase order.
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Currency Similarities Between Requisitions and Purchase Orders
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Currency Similarities Between Requisitions and Purchase Orders
Specify a rate type and rate date. Also specify a rate for user-enterable rate types. For
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automated rate types, Oracle Purchasing retrieves the rate based on the given rate date.
The exchange rate expressed the units of functional currency that comprise a single unit of
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foreign currency. If 2 US Dollars (functional currency) equal 1 British Pound, set the
exchange rate to 2.
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If the Journals: Display Inverse Rate profile option is set to Yes, the exchange rate
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expresses the units of foreign currency that comprise a single unit of functional currency.
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Currency Differences Between Requisitions and Purchase Orders
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Requisitions
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Currency Differences Between Requisitions and Purchase Orders
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Oracle Purchasing maintains requisitions in functional currency, but includes foreign
currency references for sourcing. The requisition total is expressed in functional currency
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Specify a single foreign currency reference for each requisition line. Optionally, specify a
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once you approve the document.& On
different currency reference for each requisition line. This currency cannot be changed
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If you use the AutoSource function to create a foreign currency blanket agreement or
document.
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catalog quotation, Oracle Purchasing retrieves the foreign currency information for the
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Oracle Purchasing automatically updates the functional unit price if you enter the foreign
currency unit price using the specified rate. Oracle Purchasing also updates the foreign
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currency price if you update the functional unit price.
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Purchase Orders
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Specify a single foreign currency for each purchase order. This currency cannot be
O changed one you approve the document.
If you change the currency on an unapproved document, Oracle Purchasing does not
automatically convert the line prices to the new currency.
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Requisitions and Automatically Created Purchase Orders Using
Foreign Currency
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Requisitions and Automatically Created Purchase Orders Using Foreign Currency
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You cannot specify currency information in AutoCreate if you are adding requisition lines
to an existing document.
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Oracle Purchasing performs price tolerance verification for all currencies.
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When you use the AutoCreate function to create new purchase order, Oracle Purchasing
rate information.
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converts the requisition price into a purchase order price based on specified currency and
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Approving Requisitions and Purchase Orders Using Foreign
Currency
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Approving Requisitions and Purchase Orders Using Foreign Currency
Requisition Approval
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You cannot approve a requisition that is missing a rate at the line level.
Oracle Purchasing uses the functional currency requisition total to verify authorization
limits.
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Purchase Order Approval
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distribution level.
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You cannot approve a purchase order that is missing a rate at either the header or
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Oracle Purchasing converts a foreign currency purchase order into functional currency to
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verify authorization limits.
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Invoice Currency Matching
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Invoice Currency Matching
Purchase Order Invoice Matching
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The invoice and purchase order currency must match.
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The Oracle Payables AutoApproval process books any differences between the invoice
and purchase order exchange rates to the Rate Variance Gain and Loss Account you
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specify in the Financials Options window.
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If you have a foreign currency purchase order, Payables also records exchange rate gains and
losses. In addition, if the conversion rate differs between the purchase order and invoice, the
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conversion difference is recorded as an Exchange Rate Variance. Separate accounts are defined
for exchange rate gains and losses.
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For more information, see Oracle Payables Users Manual.
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Reports
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Reports
Accounts Payable Trial Balance
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Use the Accounts Payable Trial Balance Report to verify that total accounts payable liabilities
in Payables equal those in the general ledger. To reconcile these balances you can compare the
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cumulative total liability provided by this report with the total liability provided by your
general ledger.
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Accrual Rebuild Reconciliation Report
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Use the Accrual Rebuild Reconciliation Report to analyze the balance of the Accounts Payable
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(A/P) accrual accounts. You can accrue both expense and inventory purchases as you receive
them. When this happens, you temporarily record an accounts payable liability to your Expense
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or Inventory A/P accrual accounts. When Payables creates the accounting for the matched and
validated invoice, Payables clears the A/P accrual accounts and records the liability from the
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supplier site. Run this report at period end.
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Accrual Reconciliation Report
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The Accrual Reconciliation Report is the same as the Accrual Rebuild Reconciliation Report
with one key difference. The Accrual Rebuild Reconciliation Report creates records in a
O temporary table which are used as the basis for the report. The Accrual Reconciliation Report
simply uses the records created by the Accrual Rebuild Reconciliation Report as a basis for the
report. Run this report during the accounting period.
Accrual Write-Off Report
Use the Accrual Write-Off Report to provide supporting detail for your write-off journal
entries. The process is as follows. First, you analyze the Accrual Reconciliation Report for
transactions that you should expense out of the accrual accounts. After you have researched the
reported accrual balances, you then use the Accrual Write-Off window to indicate which
entries you wish to remove and write off from this report. And, after you have written off these
entries, you use the Accrual Write-Off Report as supporting detail for your manual journal
entry.
Matched and Modified Receipts Report
After you automatically create invoice distributions by matching an invoice for goods to a
receipt, that receipt can be modified in Purchasing. For example, you might need to adjust a
receipt because the quantity received was incorrectly recorded, or the product was defective
and returned to the supplier. Use this report to identify receipts that have been changed after
invoice matching, and for which no users have seen modifications.
Payables Account Analysis Report
Run the Payables Accounting report to review and analyze accounting entries in Payables.
You can use the report parameters to limit the report to just the accounting information you
want to review. The Payables Account Analysis report is helpful when you reconcile your
accounts with your general ledger. For example, you can reconcile the prepaid expense
account between Payables and your general ledger. You can submit this report in detail and
compare it to an account analysis report in your general ledger.
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Reports (Cont.)
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Reports (Cont.)
Payables Accounting Entries Report
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Use this report to review and analyze accounting entries in the Payables subledger. You can
request the report for a specific run of the Payables Accounting Process or the Payables
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Transfer to General Ledger program. Using the report parameters, you can produce a detailed
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or summary listing of the accounting information you want to review. The report also lists in
detail any transactions that have been accounted with error and all entries that could not be
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transferred to the general ledger interface. When a transaction is accounted with errors, use the
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Posted Invoice Register
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Update Accounting Entries window to update any invalid accounts.
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Use the Posted Invoice Register to review accounting lines, summarized by invoice, that have
been transferred to the general ledger. Because it presents amounts that have been charged to
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liability accounts, this report is valid only for an accrual set of books. The Posted Invoice
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Register is primarily a reconciliation tool. Use this report along with the Posted Payment
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Register and the Accounts Payables Trial Balance Report to reconcile balances between
Payables and your general ledger.
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Use the Posted Payment Register to review accounting lines, summarized by payments that
have been transferred to the general ledger. Because it presents amounts that have been
charged to liability accounts, this report is valid only for an accrual set of books. You can
submit the Posted Payment Register for one payment journal entry batch or all payment journal
entry batches. The Posted Payment Register is primarily a reconciliation tool. Use this report
along with the Posted Invoice Register and the Accounts Payables Trial Balance Report to
reconcile balances between Payables and your general ledger.
Receipt Accruals - Period End
Use the Receipt Accruals - Period-End process to create period-end accruals for your
uninvoiced receipts for expense distributions. Purchasing creates an accrual journal entry in
your general ledger for each uninvoiced receipt you choose using this window.
Receiving Account Distribution Report
The Receiving Account Distribution Report lists the accounting distributions for your receiving
transactions. This report supports the distributions created for the following transactions:
Purchase Order Receipts
Purchase Order Receipt Adjustments
Purchase Order Returns to Supplier
Deliver to Expense Destinations
Return to Receiving from Expense Destinations
Match Unordered Receipts
This report helps you reconcile your receiving accounting to your general ledger.
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Reports (Cont.)
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Reports (Cont.)
Unaccounted Transactions Report
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Use this report to identify and review all unaccounted invoice and payment transactions and
see the reason that Payables cannot account for a transaction. Run this report after you have
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run the Payables Accounting Process. The report will then show only transactions that had
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problems that prevented accounting. You can then correct the problems and resubmit the
accounting process. Note that this report does not include invoices that have no distributions.
Uninvoiced Receipts Report
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The Uninvoiced Receipts Report should be run before the Receipt Accrual - Period-End
process. With this report, you can review all or specific uninvoiced receipts for both period end
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and online accruals. Uninvoiced receipts are goods and services you have received that your
supplier did not invoice yet. This report indicates exactly what you have to accrue and for what
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amount, and helps you analyze your receipt accrual entries. The accrual amount is the
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difference between the quantity received and the quantity billed multiplied by the unit price of
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the item.
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Financials Options
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Financials Options
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(N) Setup > Organizations > Financial Options > (T) Accounting
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Future Periods
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The first time you enter this field, Payables displays the number of future periods you use in
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your set of books as a default. You can change this number to the maximum number of future
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periods you want to allow in Payables. Payables uses this value to limit the number of future
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periods you can maintain in the Control Payables Periods window. You can import/enter
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invoices in future periods, but Invoice Validation applies holds that prevent you from paying
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them or creating accounting entries for them.
Liability
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(N) Fin Options > Supplier > Supplier Site > Invoice
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Payables assigns this account as the default Liability Account for all new suppliers you enter.
You can override this value at any level. If you use Accrual Basis accounting, then the
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Liability Account for an invoice determines the liability account(s) charged when you create
accounting entries for invoices.
Prepayment
The Prepayment account and description for a supplier sites invoices. The Financials option
value defaults to new suppliers, and the supplier value defaults to new supplier sites. When
you enter a Prepayment type invoice, Payables will use the Prepayment account as the default
GL account for each Item type line you create.
Future Dated Payment
If you use future dated payments, then enter a value for Future Dated Payment account. This
value defaults to all new suppliers and new bank accounts. The supplier value defaults to all
new supplier sites. The bank account value defaults to new payment documents.
Discount Taken
If you choose to distribute your discounts to the system Discount Taken Account, Payables
uses this account to record the discounts you take on payments. Use the Payables Options
window to select your method for distributing discounts for your invoices.
PO Rate Variance Gain/Loss
Payables uses these accounts to record the exchange rate variance gains/losses for your
inventory items. The variance is calculated between the invoice and either the purchase order
or the receipt, depending on how you matched the invoice. These accounts are not used to
record variances for your expense items. Any exchange rate variance for your expense items is
recorded to the charge account of the purchase order. Payables calculates these amounts during
Invoice Validation.
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Expenses Clearing
Payables uses this as a temporary account to record information about credit card transactionsd e
imported from Self-Service Expenses using the Expense Report Import program. When you
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import a credit card transaction, Payables creates a debit in this account. When payment for the
expense is remitted, Payables reverses the original entry by creating a credit for the same
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amount.
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Purchasing Options
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Purchasing Options
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(N) Setup > Organizations > Purchasing Options > (T) Accrual
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Accrue Expense Items
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At Receipt - Accrue expense items upon receipt. You can override this setting in the
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Shipment Details window when you are entering purchase orders and releases.
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At Period End - Accrue expense items at period end.
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Accrue Inventory Items
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At Receipt - Accrue inventory items at receipt. This is the only choice and it cannot be
changed.
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Expense AP Accrual Account
Enter the default Expense AP Accrual Account.
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Accrual Account Description
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account segments.
Payables Options
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Payables Options
Payables Responsibility
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(N) Setup > Options > Payables > (T) Accounting Methods
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Primary Accounting Method
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Accounting method you use for your primary set of books. You can specify either Accrual or
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Cash. Although Primary Accounting Method is not a required field, you cannot create
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accounting entries until you have entered a primary accounting method. Payables creates
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accounting entries according to the accounting method you choose. Carefully consider these
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settings at implementation time because you cannot change them after accounting events occur
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(for example, after any invoice has been validated in your system).
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Secondary Accounting Method
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If you want to use combined basis accounting, choose Accrual or Cash for the accounting
method you use for your secondary set of books. If you do not want to use combined basis
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accounting, choose None.
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Enable Automatic Offsets by selecting Balancing or Account as your Offset Method if you
want Payables to automatically create balancing accounting entries for your invoice and
payment transactions. Carefully consider this option before setting it. Changing your automatic
offset setting after creating accounting entries can result in slower Payables Accounting
Process performance. Also, under certain circumstances, changing this setting can result in
accounting irregularities. Choose one of the following three options:
None - Do not use Automatic Offsets. For your invoice transactions, Payables creates one
liability accounting entry, and for your payment transactions, Payables creates one cash
type accounting entry.
Balancing - Payables uses the supplier sites default liability account and overwrites the
balancing segment (usually the cost center code) with the balancing segment from the
expense distribution GL Account.
Account - When creating the offsetting liability account, Payables uses the expense GL
Account from the invoice distribution and overwrites the account segment with the default
liability account from the supplier site.
Prevent Prepayment Application Across Balancing Segments
If you use Automatic Offsets, you can enable this option to prevent the application of a
prepayment amount to an invoice or expense report amount that is charged to a different
balancing segment.
Transfer to GL Tab
Transfer to GL Interface
Select the level at which you want to summarize accounting entries when you submit the
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Payables Transfer to General Ledger program. If Payables creates summarized journal entries,
Payables combines all the invoice or payment transactions for a particular account or date into
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not create summarized journal entries, then Payables creates a journal entry line for each
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a single journal entry line (for debits and for credits so they are not netted together). If you do
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accounting entry. It is usually not necessary to send accounting to the general ledger in detail.
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In Detail - Do not summarize the entries.
Summarize by Accounting Date - Summarize the accounting lines by account and date.
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Summarize by Accounting Period - Summarize the accounting lines by account and
accounting period.
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Drilldown functionality is available from General Ledger regardless of the parameters in the
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Transfer to General Ledger program. When accounting entries are transferred to the GL
Interface table, a link is automatically created. This means that full drilldown functionality to
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the Payables accounting entries is always available from General Ledger, no matter what the
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level of summarization.
Submit Journal Import
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Enable this option if you want to submit journal import when you submit Payables Transfer to
General Ledger. Journal Import imports accounting entries from the GL Interface into General
Ledger.
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Allow Override at Program Submission
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If this option is enabled, then when users submit the Payables Transfer to General Ledger
O Process, they can change the defaults that you set in this region.
Currency Tab
Use Multiple Currencies
Enable this option if you want to enter and pay invoices in a currency different from your
functional currency. Payables also allows you to define a multiple currency payment format
and bank account if you enable this option.
Require Exchange Rate Entry
Require Exchange Rate Entry. Select this option to require entry of an exchange rate whenever
you enter an invoice or a payment in a currency other than your functional currency. If you
maintain daily rates in the Daily Rates window, Payables defaults the rate automatically, based
on the date and the Rate type you enter. Payables always requires you to enter an exchange rate
when you use the User exchange rate type, even if you do not enable this option.
Calculate User Exchange Rate
If you already know the functional currency amounts of any foreign currency invoices you are
entering, then you can enable this option so Payables can calculate and enter effective invoice
exchange rates for those invoices. This functionality applies to invoices you enter in the
Invoices window and invoices you import from the Payables Open Interface. If this option is
enabled, then when you enter a foreign currency invoice, if you select the exchange rate type of
User and you provide the functional currency amount, then Payables calculates and enters the
exchange rate.
Exchange Rate Type
Payables uses this as the default exchange rate type when you import/enter invoices or create
payments.
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Realized Gain/Loss
Payables uses these accounts as the default realized gain and loss accounts for payments from d e
each of your bank accounts. If the exchange rate changes between invoice entry and payment,
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Payables automatically calculates the realized gain or loss and records it in this account.
Payables records gains and losses only if you use accrual basis accounting. The Account for
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Gain/Loss Payables option controls when Payables accounts for gains and losses.
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Purchasing Accounting Implementation Considerations
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Purchasing Accounting Implementation Considerations
Timing and frequency of running the Payables Transfer to General Ledger process
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Determine how often to run the Payables Transfer to General Ledger process based on how
often you need to do financial reporting out of the general ledger, asset volume (how often will
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you need to process mass additions) and how often you will need to see balances in Projects
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updated. At a minimum, you must run this process one time at period close. If you need to see
Projects balances updated every day, you will run this process daily. If you are not using
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Projects, but you are using Assets, you must run this process prior to running the Mass
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Additions Create process. Therefore, if your asset volume is high, you will probably want to
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transfer several times an accounting period.
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Timing and frequency of running the Payables Accounting process
Since running the Payables Accounting process is a prerequisite to running the Payables
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Transfer to General Ledger process, you must run Payables Accounting at least as many times
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as you run the Payables Transfer to General Ledger. You may decide to run this process more
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frequently (daily for example) if you want to be able to view accounting online.
Timing and frequency of running the Invoice Validation process
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Since running the Invoice Validation process is a prerequisite to running the Payables
Accounting process, you must run it at least as often as you run the Payables Accounting
process. The Invoice Validation process is also a prerequisite for processing payment batches,
so in order to determine how often to run the Invoice Validation process, look at both your
need to run Payables Accounting and your need to process payment batches. Choose the one
that will be done most frequently. The Invoice Validation process is also used to validate
invoices. It places holds on invoices and releases system holds. If you import/enter invoices
by batch, you may want to also run the Invoice Validation process by batch. The execution
report will give immediate feedback as to holds placed and released, which can provide more
timely information for resolving invoice issues.
Level of detail to transfer accounting to general ledger
Choosing the In Detail option transfers the most accounting to the general ledger and should
only be used when special general ledger reporting is necessary for financial statements. The
other two options summarize by day or by accounting period. Summarizing by accounting
period sends the least amount of detail to the general ledger. Regardless of the setting, you will
always be able to drill down to the subledger (provided the Import Journal References option is
selected with the journal source) with online inquiry, the Application Desktop Integrator (ADI)
and with the standard drilldown reports that are available.
Determine number of clearing accounts to use for projects, assets and cash management
If you are using cash management, the cash clearing (cash in transit) account can be the same
account as the cash account. You can use the Cash in Transit report in cash management to
view cash in transit. However, if you need to have visibility on the balance sheet for cash in
transit, use a separate cash clearing account. For each payables document you create, you can
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have a separate cash clearing account if you need to.
Determine the number of clearing accounts you will need for assets. At a minimum, you can
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establish one asset clearing account and at the maximum you can establish one asset clearing
account per asset category you create in fixed assets. Determining how many clearing
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accounts you need will be based on asset volume and the need for visibility. You must balance
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the need for mass addition reconciliation with additional account setup and maintenance.
Reconciliation is easier with more clearing accounts.
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Determine the number of clearing accounts you will need for projects. Again, the issue is
primarily related to visibility, reconciliation and maintenance. Project clearing accounts are
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built using workflow account generator. If you are using Projects, you must modify the
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workflow to build the account combination for both Purchasing and Payables. Never build a
clearing account that Assets uses as a clearing account. You want to make sure that invoice
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distributions associated with items that you want to capitalize in Assets go to Assets, and
invoice distributions associated with projects go to Projects.
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Summary
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Purchasing Administration
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Chapter 14 - Page 1
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Chapter 14 - Page 2
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Chapter 14 - Page 3
Objectives
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Agenda
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Chapter 14 - Page 5
Maintaining Your Oracle Purchasing Database Records
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Maintaining Your Oracle Purchasing Database Records
Records and documents you create on the database, such as supplier records, requisitions, and
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purchase orders take up valuable space on the system. They slow your search for specific
records and increase your query time. This unit will provide three methods which can be used
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together to assist you in freeing up valuable system resources.
Merging supplier records.
Mass canceling of documents.
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Purging documents and suppliers.
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Chapter 14 - Page 6
Integration with Payables
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Integration with Payables
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When Oracle Payables and Oracle Purchasing are used in conjunction they share the Supplier
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Master. When a merge for suppliers has been initiated, Oracle Payables submits a concurrent
request to run the Supplier Merge Program which transfers the information from the Old
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Supplier to the New Supplier and also runs the Purchase Order Header Updates Report and the
Supplier Merge Report.
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Chapter 14 - Page 7
What is MassCancel?
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What is MassCancel?
Document Type
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Date Range
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Supplier, for purchase orders
Accounting flexfields O ly
Define MassCancel Listing
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You can review the Define MassCancel Listing which includes all purchase orders or
requisitions that meet your criteria including those that you cannot cancel. For purchase orders
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and requisitions that cannot be canceled, the Define MassCancel Listing reports the reason for
this restriction.
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Running MassCancel
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You review each saved cancellation batch and optionally delete batches that you do not want to
cancel. In addition, Oracle Purchasing requires individual document cancellation confirmation
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within a batch to reduce the risk of unexpected or unwanted document cancellation. The
confirmed documents are canceled. MassCancel is recorded as the cancellation reason for each
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Chapter 14 - Page 8
Using Purchasing MassCancel
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Using Purchasing MassCancel
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You can specify criteria for canceling groups of requisitions or purchase orders that you no
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longer want to honor. Once you submit the criteria, you can review the a listing which includes
all request that meet your criteria, including those that you cannot cancel. You then review
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each saved cancellation batch and optionally delete batches that you do not want to cancel.
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You are required to confirm each individual document cancellation to reduce the risk of
unexpected or unwanted document cancellation.
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Chapter 14 - Page 9
The Define MassCancel Listing
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Reviewing the Define MassCancel Listing
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Use the Define MassCancel Listing to review the purchase orders and requisitions you have
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selected for cancellation using the Define MassCancel form. Oracle Purchasing prints this
report automatically after you define your purchase order or requisition cancellation criteria in
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the Define MassCancel window and save your work.
The report is in four sections:
Unable to Cancel Requisitions
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Unable to Cancel Purchase Orders
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Purge Overview
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Purging
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Purging is a technique for deleting data in Oracle that you no longer need to run your business.
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You may choose to do a purge as a year-end clean up, or when a project is terminated. A
feature that Oracle Purchasing provides is to be able to purge by document category. You can
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purge a particular group of records from the database. Oracle Purchasing lets you choose from
the following separate categories.
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You enter purge criteria, specifying the document category you want to purge.
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Review the Preliminary Purged Listings report and identify any purge candidates that you
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do not want to purge.
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You then confirm the purge information.
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When you purge a document or supplier, Oracle Purchasing also purges related information.
You can restart the purge if your computer system fails or the purge process ends in an error.
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In addition, you can abort a purge after you initiate the purge and before the Purge program
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begins deleting records. However, if the Purge has one of the following statuses, you cannot
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abort until the phase is completed: Initiating, Revalidating, Summarization.
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Oracle Purchasing maintains document and supplier summary information in the Purge
Summary Tables.
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Preparing for a Purge
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Prepare for a Purge
Write Off Accrual Differences
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Run the Accrual Reconciliation report if you use online accruals or have Oracle Inventory
installed.
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Write off all accrual differences up to the activity date you intend to use when running
Purge.
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Failure to write off accrual differences will cause difficulty balancing the next run of the
accrual reconciliation report with your general ledger.
Prepare the Database
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Back up and archive the Oracle Applications database.
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Confirm the integrity of the backup for safety.
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Create large rollback segments to prepare the database.
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Purge Category Inclusion
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Purge Category Inclusion
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Oracle Purchasing lets you choose from the following separate categories
Simple Requisitions
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- Canceled and final closed requisitions that you have not placed onto purchase orders
Simple Purchase Orders
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- Canceled, closed and final closed purchase orders that are not matched to invoices in
Oracle Payables
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- Simple Requisition category
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Simple Invoices (only available if you have Oracle Payables installed)
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- Fully paid and posted invoices that are not matched to Oracle Purchasing orders
Matched Invoices and POs (only available if you have Oracle Payables installed)
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- Canceled, closed or final closed purchase orders that are matched to fully paid and
cposted invoices in Oracle Payables
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O - Simple Purchase Orders category
- Simple Invoices
Suppliers
- Inactive suppliers that are not referenced on any document
You should purge all appropriate documents before purging your supplier information, because
Oracle Purchasing does not purge suppliers that you referenced on existing documents.
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Conditions for a Purge: Purchasing
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Conditions for a Purge: Purchasing
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Oracle Purchasing only purges documents or suppliers that meet specific conditions.
Requisition Conditions for Purge
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Header must be canceled for final closed.
Lines must be canceled or final closed or requisitions does not have lines.
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Lines must all be supplier-sources. Internally sourced requisitions cannot be purged.
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All lines that are not canceled or final closed must be referenced on purgeable purchase
orders. (This condition does not apply to the Simple Requisitions category.)
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Purchase Order Conditions for Purge
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Must be approved.
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Must be closed, canceled or final closed.
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If the PO is a blanket purchase agreement, all releases against the agreement must also be
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purgeable.
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If the document is a standard PO any contract it references must also be purgeable.
O All online requisitions that reference a PO must be purgeable.
The PO is not matched to any invoices. (This condition applies only to the Simple
Purchase Orders category.)
All invoices that are matched to the PO meet the purge conditions for invoices. (This
condition applies only to the Matched Invoices and Purchase Orders category.)
The PO is not referenced in Oracle Inventory, Oracle Master Scheduling/MRP, or Oracle
Work in Process.
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Conditions for a Purge: Payables
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Conditions for a Purge: Payables
Invoice Conditions for Purge
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Nonzero amount invoices must be fully paid.
Invoices must be posted.
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Invoices cannot have any 1099 distributions.
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Invoice is not from a recurring payment.
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Invoice is not for a 1099 suppliers.
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MassAddition.
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If Oracle Assets is installed, all of the invoice's distribution lines must be tested by
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A prepayment must not be applied to the invoice.
Payments must be posted.
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An invoices is purgeable only when all of its payments are purgeable.
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A payment is purgeable only when all of the invoices paid by the payments are purgeable.
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Supplier Conditions for Purge
O Supplier is not an employee.
Supplier in inactive.
Supplier is a child or parent of another supplier.
Supplier is not referenced to by records in any Oracle Payables, Oracle Purchasing or
Oracle Assets tables.
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Purge Reports
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Purge Reports
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When you purge records, Oracle Payables automatically prints the following reports. You
Preliminary Purged Listings r a

cannot submit any purge report from the Submit Request window.
Final Purged Listing O ly

Rejected Purged Listings
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Final Purge Statistics Report
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Restarting or Aborting a Purge
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Restarting a Purge
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If your computer system fails or the purge process ends in an error, you can restart the first
active action of the purge process.
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In the Submit Purge window, query the purge.
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Choose Restart. The purge program will restart the last action you choose: Initiate,
confirm or Abort.
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Aborting a Purge
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You can abort a purge after you initiate the purge and before the purge program begins deleting
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records. If the purge has one of the following statuses, you cannot abort until the phase is
completed: Initiating, Revalidating, Summarization.
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In the Submit Purge window, query the purge.
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Choose Abort.
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Purge Summary Information
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Purge Summary Information
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Oracle Purchasing maintains a summary of each document or supplier you purge. Oracle
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Purchasing does not maintain any standard reports that reference summary data; however, it
does check these tables to ensure unique document numbering.
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This is a sample list of the primary data elements. Other columns are populated in the
appropriate history tables. Oracle Purchasing also maintains receipt, checks, and invoice
payment summaries.
Primary Summary Data Requisitions Purchase Orders Invoices Suppliers
Buyer Yes
Creation Date Yes Yes
Currency Yes Yes
Document Number Yes Yes Yes
Document Total Yes Yes Yes
Document Type Yes Yes
Invoice Batch
Invoice Date
Yes
Yes
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Preparer Yes Yes
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Purge Name
Release Number
Yes Yes
Yes
Yes
c a Yes
Supplier
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Yes Yes
A Yes
Supplier Number
Supplier Site
c l Yes Yes
Yes
Supplier Type
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Recommendations for Efficient Purging
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Recommendations for Efficient Purging
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To purge the most complete set of records, choose the matched invoices and POs category
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first, then initiate a second purge for the suppliers category.
Submit a purge when users are least likely to update records in the database.
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The purge process can take several hours to complete. You can more efficiently purge a
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large number of records by submitting several smaller purges. On you first purge, set a
Last Activity Date that is far in the past and gradually increase the date with each purge.
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Make sure that the databases rollback segments you create are large enough so that you
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have sufficient memory to perform the purge.
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Agenda
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Start Concurrent Managers
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Start the Receiving Transaction manager (Required)
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Start the PO Document Approval manager (Required)
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Schedule Background Processes
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Start Background Processes
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Schedule the Send Notifications for Purchasing Documents process (Required)
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The Send Notifications for Purchasing Documents process starts the workflow process that
sends notifications about purchase documents.
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Schedule the Workflow Background Process (Required)
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The Workflow Background Engine must be running if you are using the following options:
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Mode profile)
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Background mode for purchasing approvals (as specified by the PO: Workflow Processing
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The Timeout feature in any workflow. The Timeout feature sends reminder notifications
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The Background mode for the item attribute Send PO Autocreation to Background in the
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PO Requisition Approval workflow. When the PO Create Documents workflow is
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submitted, if the item attribute Send PO AutoCreation to Background is set to Y,
document creation will occur in Background mode.
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Start the Purchasing Database Administration process (Required)
Use the Purchasing Database Administration process to initiate concurrent processes that purge
O obsolete records in Purchasing interface tables and other temporary tables. The purging of
obsolete data helps reduce memory load and improve system performance. You need to run
this process only once because the AutoSubmit process resubmits itself daily after you submit
it the first time.
Fill Employee Hierarchy process
Run the Fill Employee Hierarchy process if you are using Position Hierarchies
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Schedule Other Processes
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Schedule Other Processes
Retroactive Price Update
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The Retroactive Price Update on Purchasing Documents concurrent program automatically
updates existing blanket releases and standard purchase orders retroactively with price changes
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from the parent blanket agreement or global purchase agreement.
Printed Purchase Order
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The purchase order print processes can be scheduled to automatically run. Some organizations
find this more efficient than on-demand processing.
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The Confirm Receipts Workflow Select Orders
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This is a process you submit through the Submit Request window. If you submit it, the
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Workflow Background Engine must also be running.
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Purchasing Database Administration
This process is used to initiate concurrent processes that purge obsolete records in Oracle
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Purchasing interface tables and other temporary tables. This process will delete records from
the following tables:
O PO_NOTIFICATIONS (Delete all the expired notifications)
RCV_LOTS_INTERFACE (Unsaved/Unprocessed interface records)
RCV_SERIALS_INTERFACE (Unsaved/Unprocessed interfaced records)
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Purge: Issues to Consider
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Purge: Issues to Consider
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Purging is a technique for deleting data in Oracle that you no longer need to run your business.
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You may choose to do a purge as a year-end clean up, or when a project is terminated. You can
control the purge by restarting the purge in the event of a system failure attempt. You can also
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abort a purge before the the deletion process begins.
1. Naming conventions
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- How will you name purge and mass cancel batches?
2. Access and control
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- Who will have access and control to perform merging of suppliers, mass canceling of
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documents and purging of data.
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3. Frequency
- Will you have regularly scheduled maintenance jobs?
r a - If not scheduled regularly, how will individual jobs be scheduled and authorized?
4. Integration issues
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- Since database functions affect inquiry data, requirements of all the data users must
be considered.
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Summary
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Appendix A - Setup Steps
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Chapter 15 - Page 1
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Chapter 15 - Page 2
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Chapter 15 - Page 3
Objectives
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Chapter 15 - Page 4
Agenda
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Chapter 15 - Page 5
Setting Up Purchasing
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Setting Up Purchasing
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The following setup steps are basic setups. One person or a large team of people working
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concurrently may perform setups. In an implementation, common application setups are
generally performed first, followed by shared setups for each product family (procure to pay,
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order to cash) and finally application specific setups.
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The intent of this module is to provide a setup overview to key setup tasks and the sequence in
which they should be performed. Some of the steps included here may have already been
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performed while implementing other Oracle Applications. For more information, refer to the
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Oracle Purchasing Users Guide.
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Chapter 15 - Page 6
Define Users for Setup Tasks
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Set Up System Administrator (Required)
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Create one or more users who will be performing setup tasks and assign them the required
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setup responsibilities. In a small implementation, one user could perform all setups so assign
all of the required responsibilities to that user. In a larger implementation, create users and
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assign the appropriate responsibilities to them. You do not need to assign an employee to a
responsibility at this time.
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You will assign the following responsibilities:
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General Ledger Super User - Define set(s) of books
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System Administrator - Set system profile options, create responsibilities, set up printers
and other system administration related tasks.
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Payables - Perform payables related setups
Purchasing Super User - Perform purchasing related setups.
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HRMS Manager - Set up employees, hierarchies, locations, and organizations. You do not
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need this responsibility if Human Resources is not installed.
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Chapter 15 - Page 7
Note: If you are implementing multiple operating units, theres no need to assign the
Purchasing Super User or Payables Manager responsibility at this point in time. Wait to assign
them until the appropriate operating units are assigned to the responsibility.
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Chapter 15 - Page 8
Define a Ledger
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Define a Ledger (Required)
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Define accounting key flexfields and Cross Validation rules. You may not need to perform this
applications setup. r a
step if you have already installed and set up Oracle General Ledger or performed a common
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Prior to defining Period and Historical rates, you must use the System Administrator
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responsibility to set the GL: Ledger Name profile option to the appropriate Ledger. Set this
profile option at the Responsibility level. You will also have to have at least one period with a
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status of Open in the Ledger attached to your responsibility before you will be able to set up
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Period and Historical rates.
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Chapter 15 - Page 9
Define Human Resources Key Flexfields
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Define Human Resources Key Flexfields (Required)
You may not need to set up Human Resources key flexfields if you have already installed and
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set up Oracle Human Resource Management Systems.
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Set Address Style Default
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Set Address Style Default (Optional)
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You can update country and territory information including the name, description, VAT
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member state code, or address style for any of the more than 200 predefined countries or
territories. Address styles determine how locations and address styles are displayed on forms
O ly
and printed on documents like purchase orders and payments.
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Define Locations
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Define Locations (Required)
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You are required to set up at least one location for now. You can set up the remaining locations
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after you define inventory organizations and tax codes. You may need to revisit this step after
you set up organizations, if you want to link a location to an inventory organization. If you set
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up default Ship-To and Bill-To locations now, they will be available to set as default values
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when you define Financial Options. It is a good idea to set up Locations now; however the
setup can be performed any time from here forward.
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Define Organizations
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Define Organizations (Required)
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You may not need to perform this step if you have already performed a commonapplications
setup.
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Define business groups (BG)
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You will need to set up at least one business group first or use the default business group. You
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will need the Human Resources key flexfields to do this. A business group is a Human
Resources organization to which you assign employees. After creating your business groups,
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use the System Administrator responsibility to set the HR:Business Group profile option. Once
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youve done this, log out, then back in to the system, and continue defining the legal entities,
operating units and inventory organizations that will roll up to the business group attached to
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Ledger
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the responsibility you use.
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Although the Ledger is not an organization, it is important to show that is a part of the
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organization hierarchy. Legal entities you define are associated with one and only one Ledger.
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Define legal entities (LE)
O Set up your legal entities. Make sure you specify the Ledger that the legal entity rolls up to in
the Legal Entity Accounting window. To open the Legal Entity Accounting window, click the

button labeled Choose. Click Others for your GRE/Legal Entity, then select Legal Entity
Accounting from the list of values. If you do not specify the Ledger here, you will not be able
to create and save operating units later! Legal entities provide flexibility for reporting,
especially statutory tax compliance reporting. For many Oracle reports, you can report across
operating units at the legal entity level. For example, you can run an Accounts Payable trial
balance at the legal entity level to have a consolidated Trial Balance for all operating units that
roll up into the legal entity. The legal entity generally becomes the balancing segment;
however, that is not always the case.
Define operating units (OU)
When operating in a Multi-Org environment, it is a good idea to create one operating unit and
perform the necessary setups for that operating unit. If you change your mind in the future, you
can add additional operating units fairly easily.
Note: If you are using multiple operating units, you must use the System Administrator
responsibility and run the Replicate Seed Data concurrent request for each additional operating
unit you define (the ADADMIN utility is used for the first one).
Define inventory organizations (IO)
Define at least one inventory organization. This is a required step regardless of whether or not
you will be managing inventory and processing receiving activities. You will need to specify a
master inventory organization when you set up Financial Options. Be prepared to specify the
following account combinations:
Material (defaults to new subinventories but you can override it)
Purchase Price Variance
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Invoice Price Variance
Inventory AP Accrual
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Sales
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Cost of Goods Sold
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Note: All Oracle Applications users access the system through a responsibility that is linked to
e
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a security group and a security profile. The security group determines which Business Group
the user can access. The security profile determines which records (related to organizations,
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positions and payrolls) the user can access within the Business Group.
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For more information, refer to Using Oracle HRMS - The Fundamentals.
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Create Responsibilities
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Create Responsibilities (Required)
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Create the responsibilities youll need to perform setup. Each responsibility will be linked to a
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business group and operating unit (if youre using them) and a Ledger. You do not need to
create all of your responsibilities at this time, just the ones that are necessary to perform system
setups.
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Set Key Profile Options
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Set Key Profile Options (Required)
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The following profile options should be set prior to entering setups.
HR: Business Group
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HR: Security Profile
GL: Ledger Name O ly
HR: User Type
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Printer
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MO: Operating Unit
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Concurrent: Report Copies
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PO: Workflow Processing Mode
Note: Not all profile options are available to be set at all levels.
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Convert to Multi-Org
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Convert to Multi-Org (Required)
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After creating your first operating unit, you will need the system administrator to run the
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ADADMIN utility to convert to Multi-Org. This is only necessary for the first operating unit
you add. When adding additional operating units, use the System Administrator responsibility
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and run the Replicate Seed Data process for each additional operating unit you create.
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Set Up Descriptive Flexfields
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Set Up Descriptive Flexfields (Optional)
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Set up descriptive flexfields now so you will be able to capture any setup data that must be
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stored in a descriptive flexfield. For example, if you need descriptive flexfield information
stored with suppliers, the descriptive flexfield should be set up prior to entering suppliers.
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Define Purchasing Lookups and Codes
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Define Lookups and Codes (Optional)
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If you need these lookup codes, create them now in the Oracle Purchasing Lookups window so
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they are available when you specify default values for Financial Options.
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Define Payment Terms
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Define Payment Terms (Required)
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Set up at least the default payment terms you will specify when you set up Financial Options.
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You can delay this setup step but should complete it prior to entering suppliers. You will need
to perform this setup only one time even if you have multiple operating units.
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Define Tax
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Define Tax (Optional)
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If you need to specify a default tax code when you set up Financial Options, set it up now.
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Additional tax related setups may be performed later. If you have defined multiple operating
units, you will need to perform this step for each one.
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For more information, refer to the Oracle Payables Users Guide.
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Define Freight Carriers
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Define Freight Carriers (Optional)
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Define freight carriers if you want to specify the freight carrier that a supplier should use on a
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purchase document. You must perform this step for each inventory organization.
You select in Financials Options, the Ship Via field.
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Define Financials Options
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Define Financials Options (Required)
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Use the Financials Options window to set the following information:
Employee numbering
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Position approval hierarchies option (whether to use position approval hierarchies)
Inventory organization
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Business group (Make sure a business group is specified.)
Supplier numbering
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Employee numbering
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You must first use the Choose Ledger window to specify your primary Ledger before you will
U
unit.
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be able to enter the Financial Options window. This step must be performed for each operating
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The following account combinations should be set up in advance (if you have not enabled
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dynamic insertion for your Ledger) or at least the segment values. Be prepared to enter the
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following accounts:
Liability
O Prepayment

Discount Taken
In addition, be prepared to optionally enter the following accounts:
Future Dated Payment
PO Rate Variance Gain
PO Rate Variance Loss
Expenses Clearing
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Define Inventory Key Flexfields
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Define Inventory Key Flexfields (Required)
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Even if you do not use any of the above flexfields, you must still enable at least one flexfield
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segment for each and compile them because Oracle Inventory transactions (such as the Define
Items window), inquiries, and reports require a frozen flexfield definition. The Stock Locator
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flexfield is an optional flexfield. The rest are required.
an optional step.
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Note: Define any Shorthand Aliases you want to use prior to compiling your flexfields. This is
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Set Up Shorthand Aliases
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Set Up Shorthand Aliases (Optional)
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Shorthand aliases are nicknames for key flexfield combinations. Users can choose from values
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that are easily recognized to default key flexfield combinations. Using Shorthand Aliases can
sometimes speed data entry and increase accuracy. Shorthand Aliases are commonly defined
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for long account combinations. Set the Flexfields: Shorthand Entry profile option to determine
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when the list of values opens. For example, some users may not want the list of values to be
displayed when they enter a key flexfield that has a Shorthand Alias. You can enable them for
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some users and disable them for others.
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Define Units of Measure
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Define Units of Measure (Required)
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You may not need to perform this step if you have already installed and set up Oracle
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Inventory or performed a common-applications setup. Initial definition is performed one time,
regardless of how many operating units you have.
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Define Standard Attachments
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Define Standard Attachments (Optional)
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Define any standard attachments. After you define your standard attachments, you can
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reference them on your documents. You can reference as many standard attachments from your
documents as you want. If you want a text attachment to print on a purchase document, make
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sure you designate the usage for that attachment to be Supplier.
Requisitions
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You can provide attachments at the header and line level for the following documents:
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Standard and Planned Purchase Orders (also shipment level)
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Blanket Purchase Agreements
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Releases (header and shipment levels)
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Contract Purchase Agreements (header level only)
RFQs
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Quotations
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Receipts (line level only)
Receiving Transactions (line level only)
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You can also provide attachments for your items. When you create an attachment, you
designate whether you want the attachment to be available to the supplier, receiver, approver,
or buyer. Or, you can designate that you want the attachment to appear to anyone who has
access to that particular document online.
m y
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e A
c l
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O ly
l & On
n a e
t e r U s
I n
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O

Define Item Attributes, Codes, and Templates
m y
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Define Item Attributes, Codes, and Templates
c l
Item Attribute Controls (Required with defaults)
r a
Most item attributes default to Item Masterlevel control. The rest default to the Organization-
level.
Container type QuickCodes (Optional) O ly
Define container type QuickCodes.
l & On
n a e
Status codes (Required with defaults)
Define status codes. Default status codes include basic statuses such as Active, Inactive,
Obsolete, and Prototype.
t e r U s
I n
Item type QuickCodes (Required with defaults)
Define item type QuickCodes. Default QuickCodes include Finished Goods, Option Class, Kit,
c l e
Purchased Item.
Item commodity codes (Optional)
r a
Define customer item commodity codes. These can be used to group customer items.
O Item templates (Optional)

Define item templates. You can define an item template if many items share the same values
for multiple attributes.
m y
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c l
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O ly
l & On
n a e
t e r U s
I n
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Define Category Codes and Category Sets
m y
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Define Category Sets and Category Codes
c l
You may already have performed this step, if you set up Inventory.
Define Category Codes (Required)
r a
Define category codes.
O ly
& On
Define Category Sets (Required with defaults)
l
Define category sets. Examples of category sets are Inventory and Purchasing. Also, assign
a e
each functional area (Purchasing, Inventory, and so on) a default category set.
r n s
n t e U
e I
c l
r a
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Define Catalog Groups
m y
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Define Catalog Groups (Optional)
c l
A catalog group consists of descriptive elements for items to which you assign sets of values
Inventory. r a
such as type, size, or color. You may already have performed this step, if you set up Oracle
O ly
l & On
n a e
t e r U s
I n
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Define Subinventories
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Define Subinventories (Optional)
c l
You can define your own subinventories such as Inspection, Cold Storage, or Reject-
a
Disposition. Subinventories are defined separately for each inventory organization.
r
O ly
l & On
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t e r U s
I n
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Define Cross-Reference Types
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Define Cross-Reference Types (Optional)
c l
Cross-reference types are links between inventory items and other pieces of information.
a
Examples of other pieces of information are old item numbers and supplier item numbers.
r
O ly
l & On
n a e
t e r U s
I n
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Define Jobs, Positions, and Position Hierarchies
m y
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c l
Define Jobs, Positions, and Position Hierarchies
You might not need to perform this step if you have already installed and set up Oracle Human
a
Resource Management Systems or performed a commonapplications setup.
r
Define Jobs (Required)
Define jobs. O ly
Define Positions (Optional)
l & On
a e
You must define positions if you plan to use position hierarchies.
n
e r
Define Position Hierarchies (Optional)
s
You can define one or more position hierarchies to meet your needs. You must define positions
t U
if you plan to use Position Hierarchies. Make sure you run the Fill Employee Hierarchy
I n
process after defining position approval hierarchies.
c l e
r a
O

Define Personnel
m y
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Define Personnel (Required)
c l
You may not need to perform this step if you have already installed and set up Oracle Human
r a
Resource Management Systems or performed a common applications setup.
If you use Oracle Purchasing without Oracle Human Resource Management Systems, use the
O ly
setup window from within Purchasing for defining employees. If you use Purchasing with
l & On
Human Resource Management Systems, use the setup window for defining employees from
within the Human Resource Management Systems application. Purchasing users must have
a e
user names, which is a later setup step. These Purchasing user names must be linked to an
n
employee name.
t e r U s
I n
c l e
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O

Define Approval Groups and Assignments
m y
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Define Approval Groups and Assignments
c l
This step needs to be performed for each operating unit.
Define Approval Groups (Required)
r a
O ly
Once you have defined an approval group you can then use it to assign approval functions to
jobs or positions in the Approval Assignments window.
Assign Approval Groups (Required)
l & On
n a e
Approval groups will be associated with document types for either positions or jobs. If you are
using a position hierarchy, you will associate approval groups with documents added to
t e r U s
positions and if you are using an employee/supervisor hierarchy, you will associate approval
groups with documents added to jobs.
I n
c l e
r a
O

Define Buyers
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Define Buyers (Required)
c l
Use the Buyers window to define and maintain your buyers. Buyers can review all requisitions
r a
using the Requisitions window, and only buyers can use the AutoCreate window to create
purchasing documents. You need to perform this setup step once for each Business Group you
O ly
define. You will only see buyers associated with your operating unit on many lists of values.
l & On
n a e
t e r U s
I n
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O

Set Up Document Types
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Document Types (Required)
c l
Navigation: Set up : Purchasing > Document Types
r a
Set up document types for each purchase document you will be using. This step must be
performed for each operating unit.
O ly
l & On
n a e
t e r U s
I n
c l e
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O

Define Lookup Codes and Classes
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O ly
l & On
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t e r U s
I n
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Define Line Types
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Define Line Types (Required)
c l
The default line types that Purchasing provides include Goods, Services, and Outside
r a
Processing. Oracle Purchasing comes with one line type defined and you must set up any
additional line types you want to use. Perform this step once, regardless of how many operating
O ly
units you have. Create additional Line Types prior to defining Purchasing Options in case you
l & On
want to specify one as a default Line Type.
Note: These Line Types are used by Oracle iProcurement as well as Oracle Purchasing.
n a e
t e r U s
I n
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Define Purchasing Options
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Define Purchasing Options (Required)
c l
Define Purchasing Options for each operating unit. Be prepared to provide the following
account:
AP Expense Accrual Account r a
O ly
l & On
n a e
t e r U s
I n
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O

Define Receiving Options
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Define Receiving Options (Required)
c l
Define Receiving Options. This step needs to be performed for each inventory organization.
organizations. r a
Use the Change Organization function in the Purchasing menu to switch inventory
O ly
l & On
n a e
t e r U s
I n
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O

Set Address Style Default
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Set Address Style Default (Optional)
c l
You can update Country and Territory Information including the name, description, VAT
r a
member state code, or address style for any of the more than 200 predefined countries or
territories. Address styles determine how locations and address styles are displayed on
O ly
windows and printed on documents like purchase orders and payments.
l & On
n a e
t e r U s
I n
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Define Suppliers
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Define Suppliers (Required)
c l
Set up suppliers any time from this point forward. Suppliers are set up only once but supplier
a
sites are set up for each operating unit.
r
O ly
l & On
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I n
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O

Set Up Credit Card Programs
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Set Up Credit Card Programs (Optional)
c l
You only need to perform this step if you are using procurement cards. This step must be
a
performed separately for each operating unit.
r
O ly
l & On
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Define Items
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Define Items (Optional)
c l
This step needs to be performed for each inventory organization and involves the following
tasks:
Define items at the master level. r a
O ly
Update the default categories assigned to the items.
& On
Assign items at the organization level.
l
Define item relationships.
n a e
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Modify Account Generator
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Modify Account Generator (Optional)
c l
The Account Generator process in Oracle Purchasing builds a charge, accrual, and variance
r a
account for each purchase order, release, and requisition distribution based on the distributions
Expense, Inventory, or Shop Floor destination type. Budget accounts are built only if you are
O ly
using Encumbrances. You must review the default process that Purchasing uses to see if it
l & On
meets your accounting requirements. You can optionally customize the Account Generator to
build the accounts differently if that is a business requirement. If you are using Projects, you
n a e
must modify the Purchasing and Payables Account Generator workflows. There are no defaults
to build project-related accounts.
e r s
Note: Account Generator workflows can be modified by Ledger
t U
I n
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O

Set Up Workflow Options
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Set Up Workflow (Required)
c l
If you will be using the PO Create Documents workflow to automatically generate standard
attributes: r a
purchase orders and blanket purchase agreement releases, verify the settings of the following
Is Automatic Creation Allowed? O ly

& On
Should Workflow Create the Release?
l
n a e
Should Contract be used to AutoCreate Doc?
Is Automatic Approval Allowed?
t e r U s
I n
c l e
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O

m y
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c l
Start the Receiving Transaction manager (Required)
r a
Start the PO Document Approval manager (Required)
O ly
l & On
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I n
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Schedule Background Processes
m y
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Start Background Processes (Required)
c l
Schedule the Send Notifications for Purchasing Documents process (Required)
r a
The Send Notifications for Purchasing Documents process starts the workflow process that
sends notifications about purchase documents.
O ly
Schedule the Workflow Background Process (Required)
& On
The Workflow Background Engine must be running if you are using the following options:
l
Mode profile)
n a e
Background mode for purchasing approvals (as specified by the PO: Workflow Processing
e r s
The Timeout feature in any workflow. The Timeout feature sends reminder notifications
t U
The Background mode for the item attribute Send PO Autocreation to Background in the
I n
PO Requisition Approval workflow. When the PO Create Documents workflow is
l e
submitted, if the item attribute Send PO AutoCreation to Background is set to Y,
document creation will occur in Background mode.
c
r a
The Confirm Receipts Workflow Select Orders process.
This is a process you submit through the Submit Request window. If you submit it, the
O Workflow Background Engine must also be running.

Start the Purchasing Database Administration process (Required)
Use the Purchasing Database Administration process to initiate concurrent processes that purge
obsolete records in Purchasing interface tables and other temporary tables. The purging of
obsolete data helps reduce memory load and improve system performance. You need to run
this process only once because the AutoSubmit process resubmits itself daily after you submit
it the first time.
Fill Employee Hierarchy process
Run the Fill Employee Hierarchy process if you are using Position Hierarchies
Activate Periodic Alerts
If you are using any of the standard Purchasing alerts (Notification Controls assigned to
blanket purchase agreements, for example) use the Alert Manager responsibility to activate the
appropriate alerts.
Schedule other processes
Schedule other processes including:
Purchase order print processes
Workflow Agent Listener
m y
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O ly
l & On
n a e
t e r U s
I n
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Set Up Sourcing Rules and Assignments
m y
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e A
c l
Set Up Sourcing Rules and Assignments (Optional)
You can set up Purchasing to automatically default source document information from a
r a
blanket purchase agreement or catalog quotation onto a requisition or purchase order line for a
particular item and supplier. Or you can default just a supplier and optionally a supplier site.
O ly
You can set up automatic sourcing now or at any time on an ongoing basis. Set up any
Approved Supplier Lists as well.
l & On
Note: Purchasing will choose to default the supplier with the highest allocation regardless of
rank.
n a e
t e r U s
I n
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Open Accounting Periods
m y
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O ly
l & On
n a e
t e r U s
I n
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O

Perform Additional System Administration
m y
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c l
Perform Additional System Administration (Optional)
Set up additional responsibilities, users and any printers you will be using.
r a
O ly
l & On
n a e
t e r U s
I n
c l e
r a
O

Create Folders
m y
d e
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e A
Create Folders (Optional)
Create folders on key forms to:
c l
r a
Show fields that are not shown by default. If you dont see a field on a form that you think
should be there, try using Folder Tools to see fields that are hidden by default.
O ly
Hide fields that you do not need to enter data into and that you do not want to see. Note
& On
that not all fields can be hidden.
l
n a e
Change column names on folders.
Sort records displayed in folders in different orders. For example, you can sort orders by
t e r
Save a query with a folder.
U s
descending date to see the most recent orders first.
I n
Change field lengths for columns in a folder.
c l e
Move fields that you seldom or occasionally use to the right so data entry personnel do not
needlessly tab through them.
r a
You can use the System Administrator responsibility to administrate folders. You can have
specific folders default for different responsibilities or users. Set the Folders: Allow
O Customization profile option to allow or prevent customization of folders.

Note: Be careful with the positioning of dependent fields, in cases where:
Fields have default values
Fields have controls for later fields
m y
d e
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c l
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O ly
l & On
n a e
t e r U s
I n
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r a
O

Agenda
m y
d e
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e A
c l
r a
O ly
l & On
n a e
t e r U s
I n
c l e
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O

Reports
m y
d e
ca
e A
Reports
Employee Listing
c l
r a
Use this report to create a list of employees that meet criteria you specify.
Payment Terms Listing
O ly
Use the Payment Terms Listing to review a complete list of the payment terms you have
& On
defined in the Payment Terms window.
l
Tax Names Listing
n a e
Use the Tax Names Listing to review rate and account information for tax names you defined
in the Tax Names window.
t e r U s
I n
Tax Recovery Rules Listing
Use the Tax Recovery Rules Listing to review all the tax recovery rules and rates that you
c l e
defined in the Tax Recovery Rules window. The report lists all of the rates for each tax rule.
Buyer Listing
r a
The Buyer Listing shows the buyer name, default purchasing category, ship-to location, and
effective dates of all buyers or a selected set of buyers. You can also use the report to isolate
O buyers who are assigned to a category of procurement items.

Financials/Purchasing Options Listing
The Financials/Purchasing Options Listing can be used to review the options set for your
system in the Financials Options and Purchasing Options windows. This report also displays
your receipt numbering options in the Receiving Options window, for each inventory
organization.
m y
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O ly
l & On
n a e
t e r U s
I n
c l e
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Reports (Continued)
m y
d e
ca
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Reports (Continued)
Location Listing
c l
r a
The Location Listing shows internal organizations locations and addresses. Purchasing lets you
specify which locations you want to review: Ship To, Bill To, Office, Internal, and Receiving.
O ly
Use this report to isolate locations which are only for a specific function, such as locations
order receiving locations.

l & On
where receiving is permitted. This document can be used as a resource when entering purchase
Quality Code Listing

n a e
t e r U s
The Quality Code Listing shows inspection quality codes. You can use this listing to help
assign quality codes when inspections are performed.
I
Standard Notes Listing
n
The Standard Notes Listing shows your standard notes and their start and end dates.
c l e
Unit of Measure Class Listing
r a
The Unit Of Measure Class Listing shows the classes of measurement you have defined. A unit
of measure class is a grouping of common units of measurement. For example, the standard
O

measurement for distance is inch, yard, foot, or mile. Units of distance are assigned to the class
Distance. The units assigned to a class are reviewed in the Unit Of Measure Listing.
Unit of Measure Listing
The Unit of Measure Listing shows the unit conversions you have defined in the Unit of
Measure Conversions window. A unit of measure is assigned to a class.
m y
d e
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e A
c l
r a
O ly
l & On
n a e
t e r U s
I n
c l e
r a
O

Agenda
m y
d e
ca
e A
c l
r a
O ly
l & On
n a e
t e r U s
I n
c l e
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O

Profile Options (Required)
m y
d e
ca
e A
Profile Options (Required)
c l
These are a few key profile options. Refer to product user guides for more complete lists.
PO: Set Debug Concurrent On
r a
O ly
This profile option is used, usually by technical support staff only, for finding problems with
ReqImport. The default value is No. The user can view and update this profile option. It can
& On
also be updated at the user, responsibility, application, and site levels.
l
PO: Set Debug Workflow On
n a e
This profile option is used, usually by technical support staff only, for finding problems with
t e r U s
Purchasing workflow processes. The default value is No. The user can view and update this
profile option. It can also be updated at the user, responsibility, application, and site levels.
I n
PO: Workflow Processing Mode
c l e
Affects the performance of the Purchasing approval workflow processes:
Online - Completes an entire approval workflow process before letting you proceed to the
r a next activity, but provides you with an updated Status (for purchase orders) as soon as it
finishes.
O

Background - Enables you to proceed to the next activity while the approval process
completes in the background. When this profile option is set to Background, you must
start the Workflow Background Engine, which you access through the System
Administrator responsibility. It is recommended that you set this process to run frequently,
if you are using it for Background mode approvals.
PO: Write Server Output to File
Yes or No indicates whether log details are written to a flat file rather than to the standard
concurrent manager details log viewable through the View Log button in the Submit Request
window when running the Purchasing Documents Open Interface program.
Audit Trail: Activate
If you want to keep track of the changes made to your data by application users, you should set
up AuditTrail for the relevant tables. Defining AuditTrail for your site involves defining Audit
Groups, which are groups of tables and columns for which you intend to track changes. You
then define Audit Installations to instruct AuditTrail which ORACLE IDs you want to audit.
Finally, you run the Audit Trail Update Tables Report, which allows your AuditTrail
definitions to take effect.
Default Country
This is the default source for the Country field for all address zones and is used by the Flexible
Address Formats feature, the Flexible Bank Structures feature and the Tax Registration
Number and Taxpayer ID validation routines.
m y
d e
ca
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c l
r a
O ly
l & On
n a e
t e r U s
I n
c l e
r a
O

Profile Options (Recommended)
m y
d e
ca
e A
Profile Options (Recommended)
Folders: Allow Customization
c l
r a
Your system administrator controls whether you can create or customize a folder definition
layout in folder block.
MO: Operating Unit O ly
& On
Determines the operating unit associated with your responsibility.
l
Printer
n a e
You can select the printer which prints your reports.
HR: User Type
t e r U s
GL: Ledger Name
I n
Use this profile option to limit field access when sharing HR and Payroll.
l e
Specify your Ledger. This option also associates a Ledger with a responsibility.
c
r a
O

Profile Options (Review)
m y
d e
ca
e A
Profile Options (Review)
HR: Security Profile
c l
r a
Enter the security profile for the responsibility.This must be set up at responsibility level,
otherwise the default view all security profile is used. Using Standard HRMS security you can
O ly
only set up one security profile for a responsibility. Do not set this profile for Cross Business
HR: Business Group

l & On
Group responsibilities (like service centers).
n a e
Associate a business group with a responsibility.
e
Flexfields: Shorthand Entry
t r U s
If shorthand flexfield entry is defined for your flexfield, you can use a shorthand alias to
I n
automatically fill in values for some or all of the segments in a flexfield.
c l e
Flexfields: Open Descr Window
Controls whether a descriptive flexfield window automatically opens when you navigate to a
r a
customized descriptive flexfield.
Flexfields: Open Key Window
O Controls whether a key flexfield window automatically opens when you navigate to it.

Concurrent Report Access Level
Determines access privileges to report output files and log files generated by a concurrent
program. This profile option can be set by a System Administrator to User or Responsibility.
For example, if you want all holders of a responsibility to see report output generated by a
holder of that responsibility, set the value to Responsibility.
m y
d e
ca
e A
c l
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O ly
l & On
n a e
t e r U s
I n
c l e
r a
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Profile Options (Overlooked)
m y
d e
ca
e A
Profile Options (Overlooked)
Viewer: Text
c l
r a
The Viewer: Text profile option has been enhanced to allow you to send report output directly
to a browser window. Enter Browser in this profile option to take advantage of this feature.
Concurrent: Report Copies O ly
& On
You can set the number of output copies that print for each concurrent request.
l
n a e
Account Generator: Purge Runtime Data
Yes ensures that the Oracle Workflow data used to generate accounting flexfield code
e r s
combinations using the Account Generator is purged after the Account Generator has
t U
completed. This profile option should always be set to Yes unless you are debugging the
I n
Account Generator. Running the Account Generator with this profile set to No fills up the
workflow tables and slows performance.
c l e
r a
O

Summary
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t e r U s
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m y
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n a e
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O


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R12 Oracle Purchasing

U.S. GOVERNMENT RIGHTS

Vic Mitchell, Dee Fairbanks Simpson

Technical Contributors and Reviewers

Marilyn Montgomery, Barbara Nicholls, Barbara Snyder, Sharon Tennier

This book was published using: oracletutor

Procure to Pay Lifecycle Overview ................................................................................................................1-1

O Purchasing Integration with Consigned and Vendor Managed Inventory .....................................................2-50

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Describing Item Attributes - Purchasing .......................................................................................................3-78

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Supplier Numbering Options.........................................................................................................................4-79

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O RFQ Lifecycle ...............................................................................................................................................6-11

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

r aPractice - Understand ASL Precedence .....................................................................................................7-38

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Controlling Requisition Sourcing ..................................................................................................................8-51

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Entering Standard Purchase Order Shipments - Tabbed Regions..................................................................9-36

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Purchasing APIs ............................................................................................................................................9-141

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Receiving Options (Cont.) .............................................................................................................................12-79

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

O Recommendations for Efficient Purging .......................................................................................................14-24

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

R12 Oracle Purchasing Fundamentals Table of Contents

Thorough knowledge of Oracle Applications

Working experience with procurement

Oracle Applications Foundations

How This Course Is Organized

R12 Oracle Purchasing Fundamentals Table of Contents

System release bulletins

Installation and users guides

International Oracle Users Group (IOUG) articles

R12 Oracle Purchasing Fundamentals Table of Contents

that have only

R12 Oracle Purchasing Fundamentals Table of Contents

Passwords DROP USER scott

Lowercase Syntax variables CREATE ROLE role

Typographic Conventions in Oracle Application Navigation Paths

O (ST) = Sub Tab

Copyright Oracle Corporation, 2006. All rights reserved.

R12 Oracle Purchasing Fundamentals Table of Contents

The following help navigation path, for example

(Help) General Ledger > Journals > Enter Journals