Revision History

This document will continue to evolve as existing sections change and new information is added. All updates are logged below, with the most recent updates at the top.


What’s Changed


23 FEB 2017

Use Simplified Reporting for Production Tasks

Added backflush-related information.

15 DEC 2015

Initial Document Creation

Plan to Produce

The Plan-to-Produce business flow is now available in Release 11. Several new products in the Oracle Manufacturing Cloud and Oracle Supply Chain Planning Cloud solutions enable you to plan, schedule, and manage your discrete manufacturing operations and optimize your supply chain. Advanced fulfillment features, such as contract manufacturing and back-to-back shipments, optimize the flow of your organization’s transactions, and enable you to capture and analyze landed costs. A simplified setup helps you quickly set up supply chain common components, as well as basic features of inventory, manufacturing, and cost management.


Oracle Manufacturing Cloud delivers core discrete manufacturing capabilities in the Cloud that allow you to efficiently set up, manage, and operate your production operations, and to connect through social collaboration tools. Oracle Manufacturing Cloud supports both in-house manufacturing and contract manufacturing.

Define the Discrete Manufacturing Process

Manufacturing engineers can use an intuitive interface that includes visualization and web-based tools to build a foundation of manufacturing plant data, and to design a discrete manufacturing process for the products being built in the plant.

Use Adaptable Operation Models for Manufacturing Plants

Reduce the time required to configure the manufacturing plant using a standardized data model for production operations that you can adapt to changing business processes and market conditions. Improve access to data so that a manufacturing engineer can define, view, and update the manufacturing plant data and the relationships that exist between entities, including the following items:

Visually Design the Discrete Manufacturing Process

Visually design a work definition that represents the discrete manufacturing process, materials, and resources needed to make a standard or assemble-to-order product. Use drag-and-drop interactions and data visualization views to build a sequence of operations, and to specify how each operation is executed (for example, use push or pull components, count point or backflush materials, automatic resource charging, and product serialization).

Determine primary and alternate production processes according to planning priorities, costing priorities, and calculations that determine the manufacturing lead times that your supply chain requires to fulfill the product. Use work definition versioning to monitor and implement the changes that occur to the manufacturing process. Print a report of the work definition, including count point operations and material and resource requirements. You can share this report internally in your organization and externally with contract manufacturers.

Coordinate Engineering Modifications and Communicate Them to Manufacturing

Coordinate the modifications and revisions that engineers make to item structures, and communicate these modifications to manufacturing. Quickly assess how these modifications impact the work definitions that reference the item structure, and then revise them accordingly.

Use Spreadsheets to Import Work Definitions

Quickly create or update work definition data, including operations, items, and resources. Use a Microsoft Excel spreadsheet to create and update this data in Oracle Manufacturing Cloud. View and correct data validation errors that occur during upload.

Run Discrete Manufacturing Processes

Focused on enhancing the productivity of both the production supervisor and the production operator, Oracle Manufacturing Cloud helps manage and execute production activities with an enhanced user experience for standard and configured products. All you need is a tablet to manage production.

Manage Work Orders

The first thing a production supervisor needs to know at the start of the day is: What needs to be done today? Oracle Manufacturing Cloud helps the supervisor focus on the shop floor activities that must be finished today. It manages the schedules and work order exceptions that affect work order performance.

You can view and manage all aspects of production, such as create standard work orders, create nonstandard work orders, update or edit work order operations, update or edit priorities, edit and manage work order status, pre-assign serial numbers, view production progress, monitor production history, and print component lists and work order travelers.

Use Simplified Reporting for Production Tasks

Improve productivity by allowing operators to get reports on materials, resources, and operation completion with only two clicks, and provide access to more detailed information, if required.

The dispatch list gives your operators a single location where they can view production priorities and run production tasks for their work center and their shift. The operator can start and end the day with only the dispatch list and perform all production activities for work orders, such as completing operations, resolving material problems, returning materials, charging resources, printing production documents, printing labels, printing report rejections, handling scrap, and so on.

Use out-of–the-box integration with scanning devices to get touchless reporting data on material transactions for components that are controlled by serial numbers or lot numbers.

You can report backflush materials consumption more efficiently by configuring whether to default lots based on:

Maintain Tight Control of Serialized Products

Maintain tight control over your serialized products. Specify the operation in a work order where your manufacturing floor must begin tracking serial numbers for a finished good. Ensure that after this point, your shop floor operator charges all the materials and resources that your processes use to an individual finished goods serial number.

Go Lean with Orderless Completion

Manage and run production processes without using work orders. Report product completions, report returns, report scrap, and use the item work definition to automatically backflush all materials and charge all resources.

Plan for Production Costs

Effectively manage your cost planning and product costing activities so that they support your company’s production operations.

Integrate Seamlessly with Services

Integrate with third-party systems to report when material consumption and operations are complete. Use prebuilt Microsoft Excel templates to create and update work orders, and to report materials, charge resources, and report operation completions.

Use Embedded Social Collaboration in Manufacturing

Use the following capabilities to leverage the power of social collaboration in your manufacturing operations:

Run Contract Manufacturing Processes

Contract manufacturing provides real-time visibility into the production progress that occurs at the contract manufacturer site, and can also monitor components that an original equipment manufacturer (OEM) supplies to the OEM site. To monitor milestone operations at the contract manufacturer site, you can define your contract manufacturer and related entities in the Oracle Manufacturing Cloud. When the last operation of the work order finishes, you can automatically receive the finished goods from the contract manufacturer. For more information about contract manufacturing, see the Advanced Fulfillment section of this document.

Run Configure-to-Order Processes

Define and fulfill configured products with ease. You can simply and easily define the production process that will be used to build the unique configurations for an assemble-to-order product. After taking an order for a configuration, automatically create a configured item, automatically and dynamically create the work definition for the configured item, and automatically create the work order to build the configured item.

For more information about configured items, see the Advanced Fulfillment section of this document.


Oracle Fusion Planning Central is a modern supply chain planning solution for industrial, high technology, and other discrete manufacturing companies. It combines forecasting, inventory, and supply planning with a multidimensional analytics framework so that you can balance supply and demand, while simultaneously deriving management insight into your supply chain. You can use Planning Central to do the following:

You can use social collaboration to significantly improve the speed and the quality of decisions. You can use embedded analytics and intelligent recommendations to communicate complex supply chain information in a simple business format. Planning Central uses tight integration with other Oracle Supply Chain Management Cloud applications to bridge the gap between planning and execution. With Planning Central, you can automatically release orders to execute material transfers, factory work orders, or purchase requisitions.

Integrate Demand and Supply Planning

Increase forecast accuracy, reduce inventory levels, and increase customer service levels for your enterprise. You can forecast demand and plan for supply in an integrated environment, and almost in real time.

Forecast Demand

The following features enable you to accurately forecast demand, and therefore minimize inventory:

Calculate Safety Stock

Increase customer service levels while minimizing the inventory that is required to hedge against unexpected variations in demand. Planning Central can calculate the required buffer stock as follows:

Plan Supply

Balance supply and demand to reduce inventory and prevent out-of-stock situations. Planning Central offers an unconstrained supply planning engine that includes advanced analytical and visualization capabilities so that you can quickly identify a supply and demand imbalance, and then quickly resolve it.

Planning Central use various schedules to calculate the dates for replenishment, including shipping schedules, receiving schedules, and carrier schedules.

Customize Your Plan Scope to Meet Business Needs

Control the scope of planning so that it meets business needs. Easily change the scope to adapt to changing business conditions:

Monitor Supply Chain Performance

To improve planner productivity, reduce the time required to identify problems. Identify the highest priority problems to fix.

Monitor Plan Performance at the Aggregate Level

Use summary views of data, including color coding, to identify any deviation from enterprise goals, and to quickly interpret enterprise plan performance. Examine future business performance and narrow down problems through an integrated plan summary view. Each infotile of the summary provides one-click access to charts and graphs that can help you indentify the root cause. To investigate further, you can drill from the summary charts into detailed data.

Access predefined infotiles that display a snapshot of plan performance, such as revenue, margin, forecast attainment, forecast error, demand at risk, inventory turns.

Use Guided Navigation to Analyze Root Causes

Reduce the time required to analyze the root cause of a problem and to support corporate reporting tasks. Leverage over 50 prepackaged tables and graphs that you can modify to meet your requirements:

Use Spreadsheet Tools to Analyze Data

Use popular spreadsheet tools to analyze, edit, and update planning data, and to improve productivity:

Configure Embedded Analytics

Use a visual, configurable user interface to increase your productivity. Enable guided problem analysis with in-context drill-throughs between worksheets:

Respond to Changing Conditions

Use what-if planning to prioritize actions and solve problems. Take advantage of intelligent recommendations to reduce the time required to develop solutions.

Simulate Alternative Supply Chain Scenarios

Identify the best course of action to take to solve long-term supply chain problems. Isolate modifications and apply them to a plan. Model what-if modifications to key item attributes, such as ordering policies, or to the sourcing rules and assignment sets that define the supply network.

Simulate Supply and Demand Scenarios and Get Intelligent Recommendations

Identify the best course of action to take to solve short-term supply chain problems. Modify order dates and quantities, and then rerun the plan with the modified data to determine whether or not your change solved the problem:

Manage by Exception

Determine how varying the plan affects performance thresholds so you can tackle the most important exceptions:

Use Notes to Collaborate with Other Planners

Collaborate with the planning community so that you can make informed planning decisions. You can annotate the data that you modify to help other users understand your assumptions and reasons for the modifications. You can associate notes with the following items:

For example, you can attach a note to a shipment forecast for an item or organization in a specific week so your peers know why you modified the forecast.

Use Oracle Social Network to Collaborate with Cross-Functional Users

Collaborate with the extended community using Oracle Social Network. You can also examine historical conversations to uncover the clues that can help you solve current problems:

Integrate Planning and Fulfillment

To reduce implementation timelines and reduce total cost of ownership, you can use the out-of-box, two-way integration that exists between Planning Central and other Oracle Supply Chain Management Cloud applications. You can also incorporate supplementary data from other data sources.

Collect Data from Integrated Oracle Supply Chain Management Cloud Products

Use predefined integration with other Oracle Supply Chain Management Cloud applications to reduce implementation complexity. To reduce the potential data latency that exists between fulfillment and planning systems, use a multi-threaded process that improves data synchronization time:

Collect Data from External Data Sources

To improve decision making in Planning Central, you can use data from other sources that you may have. You can:

NOTE: Planning Central requires you to use other components of the Oracle Supply Chain Management Cloud in this release, including: Oracle Order Management Cloud, Oracle Product Master Data Management Cloud, Oracle Manufacturing Cloud, Oracle Procurement Cloud, and Oracle Inventory and Cost Management Cloud.

Release Recommendations to Fulfillment Systems

Release plans to fulfillment systems so they take effect:

Cost Management

Oracle Fusion Cost Management delivers essential cost management capabilities that enable you to effectively manage the cost planning and product costing activities that your company materials management and manufacturing operations require when running these operations in the Cloud.

Use Standard Cost Estimation and Rollup

Use a cost planning framework that allows cost accountants to estimate, roll up, and publish standard costs for your company components, assemblies, and products:

Cost the Manufacturing of Work Orders

Cost Management costs work order transactions and can provide the cost accountant and manufacturing manager with the information they need to control the material and resource costs incurred during the manufacturing process:

Manage Compliance to Cost Standards

Effectively identify the manufactured items that do not comply with plant cost standards. View work order costs and current manufacturing cost standards to determine the root causes for cost variances.

Use the WIP Inventory Valuation Report

A new report displays material, resource, and overhead charges to a work order, scrap cost, total cost, and, where applicable, standard cost and standard cost variances.

Control Budgets and Perform Encumbrance Accounting

Cost Management supports budgetary control, encumbrance accounting, funds check, funds reservation, funds inquiry, budget inquiry, and reporting for procure-to-pay and project transactions.

Control Budgets for Receipt Transactions

Budgetary control for funds in the receipt accounting that Cost Management uses are forced passed. It reserves funds according to the transaction amount that is available on the receipt and the funds balance that is currently available. To perform fund check and fund reservation for purchase orders that include project details, it adds project burden amounts to the transaction amount. Cost Management supports the following transaction types:

Use Encumbrance Accounting for Receipt Transactions

You can perform budgetary control without creating encumbrance accounting entries, and you can perform encumbrance accounting entries without doing budget checking. If you use budgetary control, and if you set the budgetary control validation status to funds reserved, then Cost Management uses receipt accounting that performs encumbrance accounting, and the receipt accounting process liquidates the reserve for the encumbrance account, and then sends the actual journal entries for the receipt.

Use Landed Cost Management

Oracle Fusion Landed Cost Management enables procurement professionals and cost accountants to incorporate the shipment service charges that come from a third party. It incorporates these charges with the cost of individual purchase order receipts. This capability improves financial reporting and fiscal regulatory compliance, and it more accurately measures and reports the product cost trends and margins.

Apply Landed Cost Charges to Purchase Order Receipts

You can create and use trade operations to manage the capture and allocation process used for landed costs. These operations define and add the landed cost charges to the material supplier cost of the purchase order receipts:

Enter Landed Cost Charges in a Trade Operation

Manually enter the charges and charge amounts that are related to one or more purchase order shipments that a trade operation specifies. Use predefined charge templates or upload spreadsheets that include charges to streamline how you capture landed cost charges. Enter charges for individual schedule lines in each purchase order.

Allocate Charges and Taxes to Receipts

Enter landed cost charge and tax amounts in a trade operation, and allocate them to purchase order receipt items according to the allocation basis that the trade operation defines.

Accrue Landed Cost Charges and Taxes

Add landed cost charge amounts that come from service suppliers who are third parties in a trade operation. You add them to the cost of a related purchase order receipt and accrue them to an account that the subledger accounting rules specify.

View Landed Cost of Purchase Order Receipts

Search and view the total landed cost of purchase order receipts, including material cost from the goods supplier, third party service charges, and nonrecoverable taxes. Quickly view landed cost trends of recent purchase order receipts for items that reside in an inventory organization.

Apply Actual Landed Cost Charges to Receipts

The cost accountant can optionally adjust estimated amounts for landed cost service charges in purchase order receipts so that they reflect the actual amounts that third-party service suppliers invoice.

Define the charge references that a supplier invoice contains so that the references can be used to associate an invoice line with a receipt. For example, a freight invoice line can reference the bill of lading number that is associated with a receipt of goods from a material supplier.

Flag Third-Party Invoices That Require Landed Cost Processing

The payables specialist can flag the freight invoices and invoices for other services that require processing in Landed Cost Management when processing supplier invoices.

Interface Supplier Invoice Adjustments From Payables

You can interface supplier invoices that require landed cost with Landed Cost Management so that it can adjust the receipt cost in the purchase order to reflect the actual cost that the third party invoices.

Automatically Match Invoice Lines to Receipts

Automatically match and allocate invoice line amounts to purchase order receipts according to the matched references that the invoice and the receipt contain. Manually allocate invoice line amounts that are not matched to receipts.

Supply Chain Financial Orchestration

Oracle Fusion Supply Chain Financial Orchestration is a configurable application that manages the financial relationships that result from the trade that occurs between internal parties. This functionality allows you to separate your physical flow of goods from the financial accounting of these goods. It includes the following new features:

Use Simplified Setup and Monitoring

Supply Chain Financial Orchestration setup incorporates the buy and sell terms setup directly into the financial orchestration flow, reducing one setup task and improving visibility into your supply chain relationships. You can also use a single page to manage event exceptions and to monitor event orchestration, giving you a complete view of the status of your financial orchestration tasks.

Inventory Management

Oracle Fusion Inventory Management offers a complete materials management solution that allows your company to successfully manage the flow of goods: inbound, within the warehouse, and outbound. This functionality optimizes the flow of material so that it meets customer demand in a cost-effective manner.

Fulfill Orders in Complex Fulfillment Scenarios

Inventory Management improves efficiency in your supply chain and optimizes working capital. It centrally manages internal inventory transfers across the Oracle SCM Cloud. Internal material transfers is an end-to-end, cross-supply chain solution that orchestrates transfers according to business rules. You can manage transfers separately, or combine them with sales orders to improve customer service:

It automatically reserves supply for the customer order, which results in streamlined fulfillment for the order. It can reserve supply that is purchased, made, or transferred.

Deploy Materials Management Locations More Quickly

Realize benefits of your implementation more quickly and deploy more stocking locations more quickly. You can use a streamlined setup that includes more predefined values for commonly used configurations, more predefined default values for required fields, and automatic creation for related setup tasks.

Support Internal and External Manufacturing

Inventory Management seamlessly and efficiently manages inventory so that it can support internal and contract manufacturing facilities:

Advanced Fulfillment

In an effort to reduce cycle times, deliver an excellent customer experience, and increase revenues, Release 11 supports advanced fulfillment strategies, such as configure-to-order, drop-ship, back-to-back, and internal material transfer flows. Fueled by a powerful and innovative supply orchestration architecture, Release 11 has unsurpassed fulfillment capabilities for supply chains that must exploit the cloud. Now you can utilize the same flexible fulfillment options in the Oracle Supply Chain Management Cloud that are available in traditional, on-premise, order-to-cash solutions.

Use Contract Manufacturing Flows

Streamline and effectively manage your extended supply chain to reduce cost, improve on-time delivery, and improve visibility. Automate and orchestrate the end-to-end contract manufacturing process for make-to-stock and make-to-order processes. Allow for a touchless fulfillment of your contract manufacturing process that includes your raw material supplier, contract manufacturer, customer, and the enterprise:

Use Configure-to-Order Flows

Efficiently fulfill each configured order through the new configure-to-order (CTO) process. This streamlined, end-to-end process simplifies fulfillment for a configured product, and provides complete visibility for every step. It uses an intelligent design that reduces item proliferation, reduces replicated data, improves item management, and improves on-time order fulfillment:

Use Supplier-to-Customer Drop Ship Flows

Effectively manage the physical and financial aspects of your supplier-to-customer drop shipments, helping you reduce costs, accelerate order fulfillment cycle times, and improve working capital:

Use Back-to-Back Flows

The new back-to-back flow allows you to build, transfer, and buy according to customer order specifications, helping to reduce inventory while providing a wide variety of product choices for your customers:

Use Internal Material Transfer Flows

To improve efficiency in your supply chain and to optimize working capital, you can centrally manage internal inventory transfers across the Oracle Supply Chain Management Cloud. Internal material transfer (IMT) is an end-to-end solution that orchestrates transfers according to business rules. It can orchestrate across multiple supply chains. You can manage transfers separately, and you can also combine them with sales orders to improve customer service:

Supply Chain Orchestration

Oracle Fusion Supply Chain Orchestration provides the backbone infrastructure that delivers end-to-end supply execution and management across the Oracle Supply Chain Management Cloud. Supporting various business processes and flows, Supply Chain Orchestration receives supply requests from multiple Oracle SCM Cloud products. You can run business process steps and tasks across the Oracle SCM Cloud, according to predefined orchestration flows. Supply Chain Orchestration provides visibility and alerts when exceptions or jeopardy conditions occur. It improves the efficiency of the supply chain and helps to reduce the cycle time that is required to get supply where it is needed so that it meets demand. Supply Chain Orchestration allows you to create both standard and configured products.

The following capabilities are part of the Supply Chain Orchestration framework:

In addition, Supply Chain Orchestration also models the internal material transfer (IMT) processes. To provide a single integration point, Oracle Fusion Planning Central and Oracle Fusion Inventory Management min-max planning capabilities send their buy, make, and transfer supply requests to Supply Chain Orchestration. Supply Chain Orchestration uses the orchestration process and business rules to determine the Oracle Cloud system that must run the request.

Simplified Setup

Use quick setup tasks to set up Oracle Supply Chain Management Cloud common components, as well as basic features that support inventory management, manufacturing, and cost management. You can quickly get an instance up and running to use for a conference room pilot. Refer to the Quick Start Guide for Manufacturing and Supply Chain Materials Management for details about the steps required to get a new instance up and running.

Quickly Set Up Common Components and Facilities

Quickly and efficiently complete the setups required to start using your supply chain solution. Quick Setup guides you through the setup process, reuses existing setups, asks important questions, and, for some tasks, provides default values for setups according to recommended practices. With Quick Setup, you can:

Quickly Set Up Cost Management

The Oracle Fusion Cost Management rapid implementation template enables you to quickly and efficiently complete setup tasks that are related to costing in one step. After creating one or more inventory organizations or manufacturing plants, open the Cost Management rapid implementation template, enter a small number of important attributes, and then the setup process automatically performs the following setup tasks:


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