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.

Date

What’s Changed

Notes

03 APR 2017

Order Management: Capture Orders

Added order type to the Capture Order feature for April 2017 update.

25 MAY 2016

Global Order Promising: Promise Orders Using Data From External Sources

Added new feature in Update 6 (June).

01 MAR 2016

Created document.

Overview

This guide outlines the information you need to know about new or improved functionality, including support for the Order to Cash business flow, in Oracle Supply Chain Management Cloud Release 11. Each section includes a brief description of the feature, the steps you need to take to enable or begin using the feature, any tips or considerations that you should keep in mind, and the resources available to help you.

Give Us Feedback

We welcome your comments and suggestions to improve the content. Please send us your feedback at oracle_fusion_applications_help_ww_grp@oracle.com.

Release Feature Summary

Some of the new Release 11 features are automatically available to users after the upgrade, and some require action from the user, the company administrator, or Oracle.

The following table provides a quick view of the actions required to enable each of the Release 11 features.

Action Required to Enable Feature

Feature

Automatically Available

End User Action Required

Administrator Action Required

Oracle Service Request Required

Order To Cash

Multichannel Order Management

Order Management

Capture Orders

Integrate for Complete Order-to-Cash Process

Pricing

Create Targeted Pricing Strategies and Customer Segmentation

Manage Pricing and Shipping Rules

Configure and Customize Pricing Processes

Configurator

Simplify Configurations of Complex Solutions

Centrally Manage Configurator Models

Global Order Promising

Promise Orders with Complex Fulfillment Scenarios

Integrate Order Promising with Manufacturing

Promise Orders for Configure-to-Order Items   

Use an Updated User Interface to Manage Backlog and Rescheduling

Update Supply in Real Time

Promise Orders Using Data from External Sources

Supply Chain Orchestration

Automatically Create Supply for Each Predefined Process

Configure Supply Chain Rules

Use Real-Time Change Management   

Get Full Visibility to End-To-End Supply Processes

Supply Chain Financial Orchestration

Define Multinode Financial Flows

Simplified Modeling of Financial Flow

Unified User Interface for Monitoring and Managing Exceptions

Support for Internal Material Transfers

Support for Customer Drop Ship Flow

Inventory Management

Packing Slip Enhancements

Advanced Fulfillment

Use Supplier-To-Customer Drop Ship Flows

Use Configure-To-Order Flows

Capture and Manage Customer Orders for Configured Products

Automatically Create Items for Specific Configurations

Promise and Source Configurations

Plan Demand and Supply for the Configure-To-Order Process

Automatically Create Supply for Configured Products

Maintain Configured Item Data

Support Transactional Item Attributes

Use Back-To-Back Flows

Planning and Promising Back-to-Back Orders

Automate Supply Orders

Automatically Reserve Inventory

Manage Change in Real Time

Provide Fulfillment Visibility

Use Internal Material Transfer Flows

Use Multiple Transfer Sources

Configure Transfer Processing

Use a Simplified Transfer Process

Get Visibility to Order Promising and Planning

Transfer Consigned Inventory

Automate Transfer Pricing

Centralize Transfer Management

Configure Transfer Flow

Integrate Sales Order Fulfillment

Flexible Return Transfers

Configure Transfer Accounting

Monitor Trade Flow Costs

Simplified Setup

Order to Cash

The order-to-cash business flow provides an end-to-end solution that integrates your sales, fulfillment, and finance organizations. This integration improves order accuracy, drives fulfillment efficiency, and eliminates billing errors, which results in more profitable sales, and increased customer satisfaction and retention. To facilitate this business flow, Oracle provides a multichannel order management capability that supports a central order hub for multichannel environments, and includes services for order capture and fulfillment orchestration, pricing, product configuration, inventory management, and order promising. Advanced fulfillment capabilities use a supply orchestration architecture that supports advanced fulfillment services and flows, such as configure-to-order, drop ship, back-to-back order, and internal material transfer.

Multichannel Order Management

As the nexus of order capture and fulfillment functions, Oracle Order Management Cloud supports global, multichannel, order-to-cash processes. You can use it as the order hub for your organization to centralize and manage multiple order capture channels, promise orders, orchestrate fulfillment policies, monitor order status, and manage exceptions:

Order Management

Oracle Fusion Order Management provides a central order hub for multichannel environments to improve order capture and fulfillment across the order-to-cash process. You can capture, price, and configure orders directly in Order Management. You can receive orders from external sources, modify them in Order Management, and then process them for fulfillment. You can use prebuilt integrations with other Oracle Cloud services, centrally manage orchestration policies, get global availability, monitor status, and manage exceptions.

Capture Orders

Order Management provides intuitive interfaces for users to capture perfect orders – for the correct product at the correct price – to enhance customer experience and reduce operation costs:

Use the following page to get analytic data, search for an order, or create a new order:

Use the following page to enter header information and order line information:

Use the following page to add a configured product to an order:

Use the following page to choose options for a configured product:

Click the Amount in an order line to view the following price breakdown:

Click Total in the title to view the following totals breakdown:

Use the following tab to enter shipping preferences:

Use the following tab to enter billing and payment preferences:

Use the following page to view the status of the order lines that Order Management processes after you submit the order:

Use the following page to search for orders according to order attributes:

Use the following page to take action on an order that Order Management is processing, such as Copy, Cancel, Create Revision, Hold, or Fulfillment View:

Use the following dialog to enter the return information for the order lines that you want to return:

Use the following page to view a return, including credit pricing and total:

Steps to Enable

No steps are required to enable this feature.

Key Resources

Integrate for Complete Order-to-Cash Process

Order Management comes integrated with other Oracle Cloud applications so that you can use a set of advanced fulfillment processes that can speed time to market and lower implementation costs. Order Management and Oracle Fusion Inventory Management use fulfillment orchestration to fulfill orders that you enter directly in Order Management or that you import from some other source. Order Management also provides a set of web services that you can use to integrate with other Oracle and third-party cloud and on-premise applications that your supply chain requires to complete the order-to-cash process:

You can use the following page to examine the predefined orchestration process that integrates cloud processes:

   

IMPORTANT: See Advanced Fulfillment for the integrated cloud processes, including configure-to-order, supplier-to-customer drop ship, back-to-back, and internal material transfer processes.

Steps to Enable

No steps are required to enable this feature.

Key Resources

Pricing

Oracle Fusion Pricing is a new product in Release 11 that provides a flexible price management capability that you can use to create targeted pricing rules and processes that support your corporate pricing practices. Pricing administration functionality allows you to design pricing rules that meet your revenue and business objectives so that you can price products and services for each customer segment. The pricing architecture allows you to configure and customize predefined logic so that you can implement pricing processes that run the pricing rules that your deployment requires.

Create Targeted Pricing Strategies and Customer Segmentation

Pricing enables you to effectively implement and enforce corporate pricing strategies so that they meet your business requirements and revenue objectives. You can group pricing rules in a pricing strategy to create targeted and accurate pricing behavior. You can assign customers who use similar buying practices to a pricing segment, and then associate this segment with a pricing strategy that meets the business and revenue goals that you set for this segment.

Use the following page to associate types of pricing and shipping rules with a pricing strategy:

Steps to Enable

No steps are required to enable this feature.

Key Resources

Manage Pricing and Shipping Rules

Pricing allows you to create date effective rules that calculate multiple price or shipping charges for a product or service. You can create rules that calculate these charges, along with tier-based and attribute-based adjustments, discounts, and costs. Pricing will execute against these rules and will create charge components for each charge. Charge components represent the price points you want to capture as part of your implementation.

You can use currency conversion and rounding rules to manage pricing for different currencies.

Use the following page to manage product prices or charges on price lists:

Steps to Enable

No steps are required to enable this feature.

Key Resources

Configure and Customize Pricing Processes

Pricing uses a configurable and easily customizable infrastructure that allows you to customize the pricing logic by adding or modifying pricing algorithms. You can also add new entities to the pricing logic by augmenting or creating new service mappings. This flexible infrastructure allows you to create pricing processes that meets your business needs.

Use the following page to configure the algorithms that define your pricing process:

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

KEY RESOURCES

Configurator

Oracle Fusion Configurator is a new product in Release 11. It enables users to configure a product according to their unique needs and specifications. Configurator allows users to pick and choose options for complex products, guiding them along the way, while making sure the configuration is valid.

Simplify Configurations of Complex Solutions

You can use the predefined integration that comes with Order Management to enter a sales order for a complex product. Order Management can call the Configurator user interface directly from the sales order. Users can specify item characteristics, examine pricing information for the options that you choose during configuration, and verify your choices in the configurator user interface.

Configurator supports a complete configure-to-order flow in Order Management, providing configuration rules, user interactions, order capture, and order fulfillment. It can also provide the integration services that Order Management uses to fulfill a configuration that some other source captures, such as Oracle Configure, Price and Quote (CPQ) Cloud.

Use the following page to open the sales order where you will add the configured product:

Use the following page to set the options for a configurable product:

Use the following page to examine configuration details:

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Centrally Manage Configurator Models

The Configurator Models work area enables a Product Configurator Manager (PCM) to manage the entire life cycle of developing a configurator model. You can use this work area to import a model structure into the modeling environment, add additional guided selling structure to simplify the buying experience of end users, add behavior to the model using different types of rules, create a user interface and customize it using a what you see is what you get (WYSIWYG) design area, test, and then release the configurator model to production.

Use the following page to create guided selling structure for a model:

Use the following page to define a rule:

Use the following page to design the page that the end users would use:

   

Use the following page to test your design:

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Global Order Promising

In Release 11, Oracle Fusion Global Order Promising supports complex fulfillment scenarios. It can recommend supplies for back-to-back or configure-to-order items, or promise orders that require fulfillment via drop ship or internal material transfers. Global Order Promising integrates with Oracle Fusion Manufacturing and considers the manufacturing setup when it promises an order. Global Order Promising includes a new user interface that allows you to view scheduling metrics and identify problem areas. You can drill down to individual sales orders, perform what-if simulations, and then repromise the sales orders. Global Order Promising now takes immediate account of supply changes without the need to first restart the Global Order Promising engine.

Promise Orders with Complex Fulfillment Scenarios

Global Order Promising can recommend supply for back-to-back items. Global Order Promising considers the sources that each sourcing rule specifies for a fulfillment organization when allocating buy, make, or transfer supply to a back-to-back sales order. It sends recommendations to Oracle Procurement Cloud, Oracle Manufacturing Cloud, and Oracle Inventory and Cost Management Cloud, which then create supply documents and reserve them to the back-to-back sales order. Global Order Promising respects supply reservations against back-to-back sales orders.

Global Order Promising can consider supplier lead time, transit time, and supplier capacity when it schedules a drop ship sales order. It recommends the creation of a drop ship purchase order supply to Order Management, which in turn creates the drop ship purchase order supply and reserves that supply for the drop ship sales order. Global Order Promising uses this reservation by default. However, you can use the Check Availability page to manually remove the reservation, and then promise the sales order from some other supply source.

Use the following page to view potential promising results, view availability options, and perform what-if simulations on internal orders:

Global Order Promising can schedule an internal material transfer in the same way that it schedules other sales orders. To prioritize sales orders and improve scheduling results, you can reallocate supply across internal material transfers and other sales orders. To determine where to look for availability, Global Order Promising considers the Transfer From sources that the local sourcing rule specifies at the destination organization. The following sourcing rule allows Global Order Promising to consider internal material transfer supplies from organization M1 when supplies are required at organization D1

Steps to Enable

Tips and Considerations

If Global Order Promising does not find sufficient supply to promise an order, it will then promise the order on the Infinite Time Fence, and will not recommend supply for a back-to-back order. Global Order Promising recommends supply for a back-to-back order only for the requested item and for a single echelon in the supply chain.

Integrate Order Promising with Manufacturing

You can promise items that you manufacture or that a contractor manufactures for you. Global Order Promising considers the availability of components and resources to determine when you must manufacture the item so that it can promise the sales order. Global Order Promising uses fixed and variable lead time for the item when it determines the manufacturing lead time for the sales order. It promises the sales order only if the component supply is sufficient, and if resources are available.

You must associate the manufactured item with an ATP Rule set to the Supply Chain Availability Search promising mode and with the Search Components and Resources attribute enabled, as shown below:

Steps to Enable

Promise Orders for Configure-to-Order Items

Global Order Promising can promise assemble-to-order or pick-to-order sales orders, or pick-to-order sales orders that include assemble-to-order items. Order Management sends details about the configured order to Global Order Promising, including the order structure, model option class, selected items, matching configurations, and so on. To promise a sales order that includes a manufactured, assemble-to-order configured item, Global Order Promising examines lead time constraints, material availability, and resource availability.

Consider the following functionality when you set up configure-to-order in Global Order Promising:

Global Order Promising supports the same functionality whether or not the sales order includes a configure-to-order item. You can use Check Availability to update attributes on a sales order that includes a configure-to-order item, perform what-if simulations, view alternate availability options, reprioritize the sales orders, and so on. Global Order Promising can use a drop ship supplier to promise a sales order that includes a configure-to-order item, and can create recommendations for a back-to-back shipment for configure-to-order items.

Steps to Enable

TIPS AND CONSIDERATIONS

Assign ATP rules to categories that models belong to. Use the Product Information Management work area to ensure that each configured item is assigned to the same category as its base model. This setup ensures that Global Order Promising can read the configuration items without requiring you to explicitly assign them individually to an ATP rule.

Use an Updated User Interface to Manage Backlog and Rescheduling

Use the following Overview page in Global Order Promising to view important performance metrics, such as overall on-time promising percent or total number and value of demands scheduled late. You can drill down to view these metrics according to customer, item, organization, or time:   

Drill down to the Manage Order Promising Demands page to display sales orders. You can simultaneously update order attributes for multiple sales orders to improve scheduling results and perform the updates in a what-if simulation. You can then schedule these sales orders to save the results.

Use the following page to manage and reschedule order backlog and to simulate demand so that you can view potential promising results for a demand before you modify the sales order:

This page also enables you to create simulated demands or inquiries to view potential promising results. This is useful when you want to view possible promising results for a demand before an actual sales order is created.

Steps to Enable

You must collect and schedule sales orders so that you can view them in Global Order Promising.

Tips and Considerations

You must use Order Management the first time you schedule a sales order. You can then use Global Order Promising to reschedule this sales order.

Update Supply in Real Time

Global Order Promising can consider changes to supply data, such as on-hand supply and purchase orders, without restarting the Global Order Promising engine. Use the following page to create a rule that specifies the items, categories, and organizations for which Global Order Promising tracks supply updates in real time:

Steps to Enable

Tips and Considerations

Supply updates to Global Order Promising affect promising only for new, incoming orders. They do not affect previously generated promising results for existing orders.

Promise Orders Using Data From External Sources

Promise orders against supplies that are maintained in external systems. You can use file-based uploads to:

Steps to Enable

  1. Enter data in the .xlsm file that corresponds to each business object to import and convert into comma separated file. Alternately, enter data directly into corresponding .csv files.
  2. Create a single zip bundle with all files to import.
  3. In the Navigator, click File Import and Export.
  4. Select the zip file to import.
  5. Enter Oracle Universal Content Manager (UCM) account. Save and close.
  6. Navigate to Scheduled Processes, and then click Schedule a New Process. Search for and select Load Planning Data from Flat Files.
  7. Provide the relevant parameters, such as collection type of Targeted or Net Change.
  8. Select the zip file to import from the Oracle UCM server.
  9. Submit the request. Note the request ID.
  10. Monitor request status using the Scheduled Processes page: in the Navigator, click Scheduled Processes.
  11. Review the log files to pinpoint data validation errors, if any.
  12. Review collected data in the Plan Inputs work area: in the Navigator, click Plan Inputs.

Tips and Considerations

Key Resources

Supply Chain Orchestration

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.

Supply Chain Orchestration is designed to execute Advanced Fulfillment business processes such as contract manufacturing and back-to-back fulfillment.

It takes a request to create supply from various Oracle Cloud products, such as Oracle Fusion Planning Central, Oracle Fusion Inventory Management, and Oracle Fusion Global Order Promising. After receiving these supply requests, Supply Chain Orchestration launches and manages complex supply-creation processes to create supply in designated warehouses in order to fulfill demand.

When changes to either the demand or the supply happen, Supply Chain Orchestration performs automated change management to keep the supply balanced with the demand in terms of quantity and fulfillment dates.

Supply Chain Orchestration also provides users complete visibility into the progress of the supply that is being created and the relationship between various documents of a flow.

Automatically Create Supply for Each Predefined Process

You can use the following predefined flows to automatically create supply:

In addition, Supply Chain Orchestration also orchestrates the internal material transfer (IMT) processes. To provide a single integration point, Planning Central and 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. For example:

When a request for supply creation is received, Supply Chain Orchestration automatically selects the appropriate supply-creation process, launches the process, and tracks the entire life-cycle of the supply-creation process.

Automated selection and execution of processes in Supply Chain Orchestration enables optimal selection of the best process for supply creation, for better utilization of in-house and partner resources.

The following is a page from a back-to-back, in-house-manufacturing supply creation process. In the Supply Order Details page, users can see that this order is a back-to-back manufacturing (make) order for in-house manufacturing (because it is not a contract manufacturing order):

   

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Oracle SCM Cloud: Implementing Manufacturing and Supply Chain Materials Management, available on the Oracle Help Center.

Configure Supply Chain Rules

You can use Oracle Business Rules to configure and manage the documents that Supply Chain Orchestration uses when it routes a flow to the Oracle SCM Cloud. Release 11 includes predefined business rules that are ready to use. You can configure them to implement custom processing. You define the business conditions that determine the rule to use.

Set up rules to determine how transfer of goods between two inventory organizations are executed. For example, initiate a simple transfer or an arms-length transaction that requires the receiving organization to purchase the goods from the supplying organization. Automating the execution rules ensures that the transfers comply with all legal and business requirements. It provides the extensibility and configurability to accommodate expansion, reorganization, and mergers and acquisitions. Automating the rules also improves accuracy and reduces cost by eliminating manual intervention.

The following shows a page from the Oracle Business Rules user interface:

   

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Best practice is to set up rules based on the ship-from organization and ship-to organization. Because the organization could belong to different business units or legal entities, the business rules will apply to how they do business with each other.

Key Resources

Use Real-Time Change Management

Immediately adjust to changes in demand or supply to minimize risk in the supply chain. Support changes in supply and demand and automatically take corrective action or, if an action cannot be run, then send an alert to the Oracle SCM Cloud.

Supported supply-side changes include the following:

Responses to these changes depend on the type of change and the business process. A comprehensive set of change management rules provided in Supply Chain Orchestration address the supply side changes.

Supported demand-side changes include:

When demand-side changes occur, Supply Chain Orchestration change management attempts to alter the supply to match the demand. If supply cannot be changed to satisfy the new conditions, it notifies the fulfillment system of the exceptions.

The exact logic of change management depends on the business processes for creating supply.

Automated change management ensures on-time fulfillment without manual intervention. It prevents buildup of excess inventory by reducing the supply to match demand. It also reduces costs associated with manual management of changes and reduces errors that are inevitable in manual management of such processes.

You can use the Supply Chain Orchestration work area to track supplies that are undergoing change management:

   

STEPS TO ENABLE

No steps are required to enable this feature.

Key Resources

Get Full Visibility Into End-To-End Supply Processes

Receive constant visibility into the Oracle SCM Cloud processes that create supply. Use summary views to monitor progress, view errors, and manage exceptions that might jeopardize supply from meeting demand. Use the Supply Chain Orchestration work area to view errors, take corrective action, resubmit to continue processing, or drill into supply details to monitor each task and task progress. Open documents directly from the Supply Chain Orchestration work area to view important information

Visibility into the supply-creation flows is crucial for ensuring high customer satisfaction by creating supplies on time to fill the orders. It allows for expedient exception handling by ensuring that appropriate level of details and the context is presented to the decision makers. It facilitates better use of enterprise resources by promoting management by exception and by providing a single point of entry for navigating up and down the value chain to identify and address exceptions, errors, and jeopardy.

The Supply Order Details page provides a 260-degreee view of supply progress:

   

STEPS TO ENABLE

No steps are necessary to enable this feature.

Key Resources

Supply Chain Financial Orchestration

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

Define Multinode Financial Flows

You can create financial orchestration flows that include multiple ownership changes for a single movement of goods. This feature allows you to account for centralized supply chain functions without sacrificing supply chain efficiency. You can define a relationship between your internal parties that controls each ownership transfer. This specifies the transfer price to use and the documentation and accounting required to settle the financials for each of these relationships.

Use the following page to manage a financial orchestration flow that includes multiple financial routes:

A supply chain transaction, such as a purchase order receipt or a sales order shipment, starts the financial orchestration flow. Supply Chain Financial Orchestration recognizes this transaction, identifies the financial orchestration flow to run for this transaction, and then creates the invoicing and accounting tasks for the internal parties that the relationships reference.

For example, assume that Vision Corporation is a design and manufacturing company with headquarters in New York and a manufacturing facility in China. It uses a sales office in New York to create sales orders for customers who reside in the United States, and it uses a warehouse in China to fulfill these orders. It uses a procurement hub in Singapore for all purchases that flow into and out of Asia, so the United States must buy goods from Singapore, who then buys them from China.

STEPS TO ENABLE

No steps are required to enable this feature.

Simplified Modeling of Financial Flow

Use the following page to set up buy and sell terms directly in the financial orchestration flow. This page helps to reduce the set up work you must perform, and it improves visibility into your supply chain relationships:

STEPS TO ENABLE

No steps are required to enable this feature.

Unified User Interface for Monitoring and Managing Exceptions

You can use the following page to manage event exceptions and monitor event orchestration, giving you an entire view of the status of your financial orchestration tasks. You can view task details for each transaction in a separate dialog:

Use the following page to get the status for each orchestration task for an event:

STEPS TO ENABLE

No steps are required to enable this feature.

Support for Internal Material Transfers

Use the following page to set up a transfer order that orchestrates a financial orchestration flow that results from a transfer of goods between two internal organizations that belong to different business units. You can specify whether or not to transfer the title of goods during shipment at origin, or during receipt at destination. The transaction that transfers order shipment or that transfers order receipt starts the financial flow:

Use the following page to get an estimate of the transfer price and taxes when you create the transfer order:

STEPS TO ENABLE

No steps are required to enable this feature.

Support for Customer Drop Ship Flow

You can configure and run a financial flow according to the ownership transfer that occurs between parties who are involved in a drop ship. You can define the relationship between requisition organization and the selling business unit. You can apply rules according to attributes, such as item category, so that Supply Chain Financial Orchestration assigns the requisition organization according to an attribute value. Supply Chain Financial Orchestration identifies the requisition organization, and then uses it to create purchase requisitions for the drop ship.

Use the following page to set up a financial flow that includes a drop ship:

The financial flow starts when the supplier sends the advanced shipment notice, or when the supplier matches the invoice with the purchase order for the drop ship. The flow creates cost accounting distributions and intercompany invoices for the ownership transfers that occur between parties, including supplier, one or more organizations, and the customer.

Supply Chain Financial Orchestration sends a request to the receiving system to create a drop ship receipt on the supplier invoice that references the purchase order. Receiving creates a logical receipt, and then notifies Oracle Fusion Order Management to start customer billing. This automation helps to reduce billing cycle time.

STEPS TO ENABLE

No steps are required to enable this feature.

Inventory Management

Oracle Fusion Inventory Management offers a materials management solution that allows your company to manage the flow of goods: inbound, through the warehouse, and outbound. It optimizes the flow of material to meet customer demand in a cost-effective way.

Packing Slip Enhancements

Use a new shipping parameter to specify the required fields that appear on the packing slip document. For example:

The following image displays a packing slip that includes a transportation reason:

You can use a new shipping parameter to specify the number sequence to use for each packing slip document. This enables you to associate the packing slip document with a sequence category in an inventory organization. It simplifies the task of assigning a number sequence to each document, and it improves auditing. For example, you can specify the document sequence and the method to use to create it, such as automatic, manual, or gapless.

Use the following page to manage these new shipping parameters:

Steps to Enable

The following steps enable you to enter the sequence category for the packing slip and specify the required fields that must display on the packing slip:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Shipping Parameters in the search field.
  3. Click Manage Shipping Parameters.
  4. Enter Packing Slip Document Sequence Category.
  5. Select Required on Packing Slip.
  6. Click Save and Close.

Figure: Manage Shipping Parameters

The following steps enable you to indicate whether the packing slip status is Draft or Final:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Ship Confirm Rules in the search field.
  3. Click Manage Ship Confirm Rules.
  4. Select Packing Slip Status.
  5. Click Save and Close.

The following steps enable you to create additional transportation reason lookup values:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Shipping Lookups.
  3. Click Manage Shipping Lookups.
  4. Search for Lookup Type Meaning Transportation Reason.
  5. Click Actions, and then click New.
  6. Click Save and Close.

The following steps enable you to create document sequence categories:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Document Sequence Categories.
  3. Click Manage Document Sequence Categories.
  4. Enter Shipping, and then click Search.
  5. Click Actions, and then click New.
  6. Click Save and Close.

Key Resources

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 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 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:

The following screen captures illustrate the feature and its benefits. The first shows the Supply Details tab for a fulfillment line, where you can find a section with drop shipment details:

The Item Availability graph provides availability information from internal warehouses, drop ship suppliers, and other sources:

Use the Edit Fulfillment Lines dialog to choose a source: internal warehouse or drop ship supplier.

On the Manage Orders page in the Purchasing work area, you can find the drop ship purchase order schedule:

   

Steps to Enable

Enable the Drop Ship feature for the Order Management offering, and the Customer Sales Order Fulfillment feature for the Procurement offering:

  1. In the Navigator, click Setup and Maintenance.
  2. Select the Order Management offering. Click the Configure button if the offering has not been configured. If you don’t see the Configure button, then your offering has been configured; click Actions and select Change Configuration.
  3. On the Configure: Order Management page, click the Features icon in the Order Management row.
  4. Select Drop Ship, and then click Done.
  5. Click Actions and select Go to Offerings.
  6. Select the Procurement offering. Click the Configure button if the offering has not been configured. If you don’t see the Configure button, then your offering has been configured; click Actions and select Change Configuration.
  7. On the Configure: Procurement page, click the Features icon in the Procurement row.
  8. Select Customer Sales Order Fulfillment, and the click Done.

In addition, the following setups are required to make the drop ship flow work. To locate each setup task, click Setup and Maintenance in the Navigator, and then search for the setup task by name using the Search field on the Setup and Maintenance home page.

MANDATORY SEtUps

  1. In the Manage Items task: select Yes for the Purchasable attribute.
  2. In the Manage Sourcing Rules task: You must have a global “Buy from” type of sourcing rule.
  3. In the Manage Drop Ship Financial Flows task: Define a drop ship financial flow that associates the selling business unit (BU) with the requisition BU and the receiving trade organization.
  4. In the Manage Order Management Parameters task: Provide a value for the Preparer for Procurement parameter for all business units (default value). Optionally provide values at the level of the selling BU.
  5. In the Manage Suppliers and Supplier Sites task: a supplier site must be enabled to perform the Purchasing function for the requisition BU.

OPTIONAL SEtUps

In the Manage Agreements task: Define an agreement of style Blanket Purchase Agreement for a given supplier and item. On the Controls tab, select the “Automatically generate orders” and “Automatically submit for approval” options.

Key Resources

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.

Configure-to-order is a highly integrated flow that spans multiple products. The flow focuses on the configuration and fulfillment of two model types:

Note that the model can be defined with both mandatory and optional components. Mandatory components do not show up in the customer facing item configuration session, but are added to the order when the configuration session is completed. Built-in logic ensures that customers are required to select options that are necessary for fulfillment.

Warehouses rarely stock every set of choices (configuration selections) of an ATO model. Instead, they source the specific configuration created during the sales ordering process after the order is submitted for fulfillment. Sourcing choices include:

When the configured product is purchased from a supplier, you can optionally have the supplier ship the item directly to the customer. See the Use Supplier-to-Customer Drop Ship Flowssection of this document for details on this Advanced Fulfillment Flow.

Capture and Manage Customer Orders for Configured Products

Select and configure assemble-to-order (ATO) products during the sales order process. View the model price and availability information during this process. Price the configuration at the model level and at the selected option level. You can offer multilevel, multiorganization, configured products that are assembled for each order. You can offer a combination of pick-to-order and assemble-to-order configurations.

The image below shows an assemble-to-order model for a tablet. During the sales order process, the customer is prompted to make selections for the option classes. The mandatory components do not require customer action and are made available to downstream systems during the assembly process.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Automatically Create Items for Specific Configurations

When users finish selecting options for a model, new algorithms quickly determine whether or not a match for this item definition already exists. If not, then an algorithm creates the new item and the core structure that the item requires. A dynamically created view into the item structure or manufacturing work definition is created throughout the supply chain. The view varies based on role – for example, a planner or production operator can access the complete view, whereas a sales representative, buyer, supplier, or customer can access a sales view. A warehouse user views the final stockable or shippable product, and can drill into the sales view.

The final assembly that is built based on customer configuration selections is modeled as an item to improve handling and identification through the warehouse and shop floor. This approach also enables all normal item-centric functionality throughout the supply chain and improves item and on-hand visibility. This item is referred to as a configured item. There is less manual data entry due to automatic creation of the configured item.

The image below depicts a customer configuration on an order in comparison with the match data from previous customer orders. In this case, the customer order data would not be a match since the option selections are not identical. A new configured item would be created to represent the combination of options in the order data.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Promise and Source Configurations

You can promise and source customer orders for a configured product. Ensure that the configuration is sourced from the right location that is capable of fulfilling the configured product order.

Orders for models are promised by considering many factors, based on the setup of available-to-promise (ATP) rules. It is recommended that work definitions, resource capacities, and lead times across all levels of multilevel ATO models be used. Availability dates shown in Oracle Fusion Order Management are based upon the selected options. Availability of similar configurations is also considered. Sourcing restrictions are evaluated based on option selections (Option-Specific Sourcing) so that only those suppliers or facilities capable of fulfilling the request are considered.

Existing stock in other warehouses can also be included in sourcing decisions. Internal material transfers are used to move prebuilt assemblies between two internal organizations. Oracle Fusion Global Order Promising can support these internal orders just as it does standard external orders, using sourcing rules and ATP rules to determine the best possible way to promise. Global Order Promising also generates alternate supply recommendations and enables what-if simulations to determine better promising options. An order manager can manage internal configure to order requests just like external orders, and can also reallocate supply between internal and external orders if required.

The following image depicts option-specific sourcing. In the example, configurations with option 1 selected will be sourced from organization D2, while configurations with option 2 selected will be sourced from organization D1.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Plan Demand and Supply for the Configure-to-Order Process

You can forecast the demand for a configure-to-order model. Consume orders for the configured product from model forecasts. Derive the demand on lower level options and option classes according to predefined planning percentages. To make sure options are available in a timely manner to manufacture the configured product, offset the required lead times. Exceptions are generated if your supplier or manufacturing capacity becomes overloaded.

In the following image, you can see how each level of the model is used in planning for ATO models:

Planning for assemble-to-order products allows you to forecast demand for models and to forecast component demand based upon percentages defined in the model item structure. It consumes ATO model forecasts with sales orders for configured products and explodes the remaining forecast, and creates the supply to meet demands for configured products.

Planning respects option-specific sourcing exclusion rules, requesting supply creation only from the suppliers or facilities that are capable of fulfilling the request. For example, if a configuration requires a silver-plating process to be executed, facilities that are not able to perform that process are not considered.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Automatically Create Supply for Configured Products

Automatically create supply for configured products to reduce cycle times for configured orders. You can procure this supply through drop ship, procured back-to-back, manufactured back-to-back, transferred back-to-back, or on-hand inventory. Each configured product uses the same process that any procured or manufactured product uses. A special procedure or manual procedure for a configured product is not necessary. You can monitor the configure-to-order process from beginning to end, from creating the supply through procurement, to internal transfers or in-house manufacturing. You can visually monitor progress and manage exceptions that might jeopardize order fulfillment:

Supply documents (work orders, purchase orders, and transfer orders) are created for the configured item to leverage item based fulfillment processes, but the model, selected options and transactional item attributes are also automatically available whenever they are relevant to the fulfillment system.

Oracle Fusion Supply Chain Orchestration provides tracking and exception management for supply creation and provides error recovery capability. Supply creation information for configure to order sales orders is integrated into the Order Management workbench for maximum visibility.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Maintain Configured Item Data

Automatically include modifications that occur to the model item definitions in the unique configurations, and immediately include modifications that occur in the model structures in the dynamic configured item structures. To minimize setup, maintenance, and setup proliferation, each unique configuration references other setups that reside at the model level.

Although the configured item itself is stored as a new item, the configured item bill of materials is not stored. It is constructed upon request using the options captured in the configured item match data and the mandatory components from the most current version of the base model structure. Supply Chain Orchestration provides configured item structure details for use by downstream processes – work orders, purchase orders, transfer orders, and shipping documents.

The following image shows how the complete structure for a configured item is constructed.

There are two views available:

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Support Transactional Item Attributes

The configure-to-order process supports transactional item attributes to match to existing configurations and for in-house manufacturing. You can easily send transactional item attributes that users select during order entry to manufacturing, and you can use them to determine work order operations.

The following image shows how transactional attributes are defined using the Manage Item Classes task in the Setup and Maintenance work area Management work area:

The transactional attributes that provide a more detailed definition of the product are captured during the order entry process. Those attribute values are then used in the configuration matching process to determine if the configuration already exists. The matching process uses only the transactional attributes specified for use in configuration matching and manufacturing. The attributes are also leveraged by manufacturing to determine which operations should be executed to produce the configured product.

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

Use Back-to-Back Flows

The back-to-back flow enables 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.

In back-to-back supply creation and fulfillment, supply is requested for and reserved against demand after a sales order is booked and scheduled. You can fulfill a back-to-back order by procuring from an external supplier, manufacturing in an in-house facility, transferring from another warehouse, or by reserving against available on-hand inventory. After supply is received into the fulfillment warehouse, the back-to-back order can be shipped to the customer.

The following figure illustrates the back-to-back supply creation and fulfillment process:

Planning and Promising Back-to-Back Orders

This feature enables organizations to initiate back-to-back fulfillment for items enabled for back-to-back. Promising of these items is based on local sourcing rules that you set up for the fulfillment warehouse. Sourcing rules are also evaluated to determine supply sources to meet the back-to-back sales order demand.

The capability to plan and promise back-to-back orders results in considerable savings in inventory carrying costs. You no longer need to maintain on-hand inventory of back-to-back items in anticipation of a customer order.

The following image shows a scheduled back-to-back sales order fulfillment line:

   

STEPS TO ENABLE

No steps are required to enable this feature.

Tips and Considerations

KEY RESOURCES

Automate Supply Orders

Automatically create a work order, transfer order, or purchase order that the application reserves for the sales order line. Provide visibility to your sales order and customer information from the reserved supply. Give your supply chain manager visibility to the sales order where the supply order is reserved.

Demand information from Order Management and supply recommendations from Global Order Promising are matched before the request to create supply is initiated. The type of supply created from the supply order depends on how order promising rules are set up for the back-to-back item. Supply can be created through a purchase requisition/purchase order in Oracle Fusion Purchasing, a work order in Oracle Fusion Manufacturing, or a transfer order in Oracle Fusion Inventory Management.

Automation in the supply creation process helps you prevent delays and errors that commonly occur due to manual intervention. Moreover, the supply order facilitates detailed tracking of each task associated with supply creation.

The following images show back-to-back purchase requsitions in Purchasing and Manufacturing:

   

STEPS TO ENABLE

To enable automatic creation of back-to-back supply in Oracle Procurement Cloud (purchase requisitions and purchase orders), do the following:

  1. In the Navigator, click Setup and Maintenance.
  2. Select the Procurement offering.
  3. Click the Configure button if the offering has not been configured. If you dont see the Configure button, then your offering has been configured; click Actions and select Change Configuration.
  4. On the Configure: Procurement page, click the Features icon in the Procurement row.
  5. On the Features page, select Customer Sales Order Fulfillment, and click Done.

Tips and Considerations

KEY RESOURCES

Automatically Reserve Inventory

You can automatically reserve goods for a sales order when they become available in inventory, making sure that no other order can use those goods.

One key aspect of the back-to-back process is the reservation of supply against a specific demand source. This reservation, established in Inventory Management, ensures that whenever supply is received into the fulfillment warehouse, it is used only to meet the demand for which it has been reserved. In turn, this ensures that you always meet on-time delivery metrics on every single back-to-back sales order.

The reservation is updated automatically whenever changes occur on either the demand side or supply side. You can view and manage the reservation using the Manage Reservations and Picks page in Inventory Management. Warehouse managers can also view the Back-to-Back indicator on the reservation to help them make supply allocation and re-allocation decisions.

The following shows a back-to-back reservation that reflects the source of demand (the sales order):

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Manage Change in Real Time

Instantly adjust to supply and demand changes, giving your supply chain manager the ability to re-source the supply, if necessary.

The back-to-back supply creation and fulfillment process supports changes that originate from the demand side (sales order) or from the supply side (supply document: purchase order, work order, or transfer order). These changes are handled automatically, and any exceptions that occur in the process are identified and displayed in Order Management so that you can take appropriate action to recover from the supply exception.

The following changes from the demand side (sales order) are supported:

The following supply-side changes are supported:

Notifications show when exceptions occur – for example:

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Provide Fulfillment Visibility

Give your order manager visibility into work order status, transfer order status, or purchase order status. You can immediately update the order manager with the latest supply status - such as when the supply is available for shipment or the date that the supply is expected to be available.

This feature provides you with complete visibility into all tasks, documents, and activities in the back-to-back supply creation and fulfillment process. The Supply Chain Orchestration work area gives you a 360-degree view of back-to-back demand and supply. Moreover, you can seamlessly drill down from the back-to-back sales order to the supply order and further down to the supply document without having to change login credentials. Each supply document that originates from back-to-back demand also displays back-to-back identifiers.

The Fulfillment Visibility feature also ensures that exceptions in the back-to-back flow are logged and made visible so that you can take appropriate manual action. For example:

You can get visibility into back-to-back supply and demand information on the supply order:

STEPS TO ENABLE

No steps are required to enable this feature.

KEY RESOURCES

Use Internal Material Transfer Flows

To improve efficiency in your supply chain and to optimize working capital, you can centrally manage an internal material transfer (IMT) across the Oracle SCM Cloud. An internal material transfer 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, or you can combine them with sales orders to improve customer service.

The following diagram illustrates the internal material transfer flow:

Use Multiple Transfer Sources

Internal transfer requests can be created according to current or anticipated changes to demand and supply that occur in Oracle Fusion Planning Central. Additionally, internal transfer requests can be created from min-max replenishment planning and back-to-back orders. You can also upload transfer requests from external sources through a spreadsheet. Oracle Fusion Inventory Management will create transfer orders for further processing from the various transfer sources.

Steps to Enable

No steps are required to enable the feature.

Key Resources

Configure Transfer Processing

Oracle Fusion Supply Chain Orchestration orchestrates supply requests. The following page in the Supply Orchestration work area provides an overview of supply lines and their current status, including supply line errors, exceptions, jeopardy, and on track:

An analytics area provides a graphical presentation of supply lines according to supply type. Supply Chain Orchestration provides rules that you can configure to determine whether or not it should use a transfer order or a purchase order to run an internal material transfer. Supply Chain Orchestration can route an internal material transfer that references shipments through Oracle Fusion Order Management, so Order Management users can view the transfer order and the sales orders.

The Supply Orchestration work area provides an entire view of demand and supply and visibility to supply creation. A supply chain operations manager can use it to take corrective action to address errors, and can examine the transfer order or the purchase order. Use the following page to get supply line details, such as requested quantity, fulfilled quantity, supply source, and supply destination:

Steps to Enable

Add the rules that control how to create the supply execution document:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Supply Execution Document Creation Rules in the search field.
  3. Click Manage Supply Document Creation Rules.
  4. Click Actions, and then click Add Rule.
  5. Enter details for the Supply Execution Document Creation Rule.
  6. Click Save and Close.

Key Resources

Use a Simplified Transfer Process

Supply Chain Orchestration uses a transfer order document that can handle the physical movement of inventory between the shipping organization and the receiving organization. It uses this document to process an intraorganization, interorganization, or intercompany transfer. Warehouse personnel can pick, ship, receive, put away, and return items through the same transfer order document. Users save time because Supply Chain Orchestration processes these transfer orders in the same way that it processes shipments and receipts that do not involve an internal material transfer. You can use the Manage Transfer Orders page to access transfer order details, such as transfer price, source organization, destination location, requested quantity, and line status.

Steps to Enable

No steps are required to enable this feature.

Key Resources

Get Visibility to Order Promising and Planning

Oracle Fusion Global Order Promising and Oracle Fusion Planning Central include visibility into internal material transfers for planned items, from creation to receipt of the transfer. A planner can examine, and then reschedule or cancel an internal material transfer, if necessary, before shipping occurs. A planner can release these changes to Supply Chain Orchestration, and then the internal material transfer is updated in Inventory Management.

Steps to Enable

No steps are required to enable this feature.

Transfer Consigned Inventory

Consigned inventory supports the internal material transfer flow. Material can remain in a consigned state while Supply Chain Orchestration transfers it from a source organization to a destination organization. Inventory consumption rules determine consumption for the consigned inventory. These rules support transaction types for transfer orders and for other attributes, such as item, organization, subinventory, owning party, and so on. Supply Chain Orchestration finishes consumption, creates consumption advice, and then reports this advice to the supplier.

Steps to Enable

Add consumption rules:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Consumption Rules in the search field.
  3. Click Manage Consumption Rules.
  4. Click Actions, and then click Create.
  5. Enter Consumption Rule details.
  6. Click Save and Close.

Key Resources

Automate Transfer Pricing

Oracle Fusion Supply Chain Financial Orchestration calculates the transfer price and taxes for an internal transfer when it creates the transfer order. Use the following page to examine and reconcile this price and tax:

Steps to Enable

No steps are required to enable the feature.

Key Resources

Centralize Transfer Management

A transfer order represents demand and supply in a single document. A warehouse manager can use the following page in the Inventory work area to manage transfer orders:

You can monitor line status, fulfillment status, and interface status, and can examine quantity details, including requested, shipped, and received quantities. You can also edit a transfer order; for example, you can edit the source organization, requested delivery date, requested quantity, and so on.

The warehouse manager can use the following page to view transfer order lines and the shipments and receipts that these lines reference. You can click a link in the Shipment or Receipt field to examine details for each shipment or receipt. You can monitor the internal material transfer and identify any potential problems:

Steps to Enable

Set up the interorganization parameters so that Inventory Management can perform a transfer order between organizations:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Interorganization Parameters in the search field.
  3. Click Manage Interorganization Parameters.
  4. Click Actions, and then click Create.
  5. Enter the Interorganization Parameters.
  6. Select the Transfer Order Required option.
  7. Click OK, and then click Save and Close.

Key Resources

Configure Transfer Flow

Shipment requests and shipping documentation are directly created from the transfer order. Shipments and receipts are automatically updated through the transfer order. Supply chain orchestration rules determine whether a transfer order line is interfaced to Shipping. Transfer order lines are similar to sales order lines and can be picked, packed, and shipped. A single in-transit shipment is created in Receiving for each outbound shipment in Shipping. Transfer order lines are similar to expected shipment lines and can be inspected, put away, corrected, and returned.

Steps to Enable

Specify a rule that determines whether or not to send a transfer order line to Shipping:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Supply Order Defaulting and Enrichment Rules in the search field.
  3. Click Manage Supply Order Defaulting and Enrichment Rules.
  4. Click Actions, and then click Add Rule.
  5. Enter details for the Supply Order Enrichment Rule.
  6. Click Save and Close.

Key Resources

Integrate Sales Order Fulfillment

Order Management comes predefined with an integration that interfaces with Inventory Management to receive a transfer order, and then orchestrate it, including schedule, reserve, and ship the order. This integration can orchestrate and manage an internal material transfer across fulfillment systems. You can use the source document type in the Order Management work area to locate a transfer order.

You can use Check Availability to examine alternate supply options and perform a what-if analysis to schedule each transfer order. You can prioritize orders and reallocate supply between one or more transfer orders and sales orders. For example, if you reserve supply to fulfill the sales order on time, then you can prioritize a sales order over a transfer order.

Use the following page to manage fulfillment lines:

Steps to Enable

Specify the rules that determine whether or not to send the transfer order directly to Shipping, or to send it through Order Management, and then to Shipping:

  1. In the Navigator, click Setup and Maintenance.
  2. Enter Manage Supply Order Defaulting and Enrichment Rules in the search field.
  3. Click Manage Supply Order Defaulting and Enrichment Rules.
  4. Click Actions, and then click Add Rule.
  5. Enter Supply Order Enrichment Rule details.
  6. Click Save and Close.

Key Resources

Flexible Return Transfers

A return can include a physical return of material, or only a logical return. The manage return process starts the return transaction, and creates an inventory transaction that uses the transfer order type.

If the Physical Material Return Required field on the following page:

Steps to Enable

Indicate whether or not a physical return of the material is required:

  1. In the Navigator, click Receipts.
  2. Click Return Receipts.
  3. Search for Transfer Order.
  4. Click Return.
  5. Set the Physical Material Return Required option.

Key Resources

Configure Transfer Accounting

You can use Supply Chain Financial Orchestration to manage the financial relationship that results from trade that occurs between internal organizations that belong to different business units. You can use it to separate the physical flow of goods from the financial accounting of these goods.

You can configure Supply Chain Financial Orchestration so that it defines the parties that are involved in the ownership transfer. You can specify the documentation and accounting that is required for this transfer.

Supply chain controllers can use a transfer order to perform financial orchestration between internal organizations. You can specify to transfer the title of goods when you ship them, or when the destination receives them. The transfer order shipment or the transfer order receipt starts the financial flow. Use the following page to create a financial orchestration flow:

Steps to Enable

No steps are required to enable the feature.

Key Resources

Monitor Trade Flow Costs

Oracle Fusion Cost Management supports internal material transfer flows and can help you to improve efficiency in your supply chain. You can monitor trade flow costs, and use an audit trail that includes transfer prices and costs for shipments across your business units.

Cost Management uses a profit in inventory cost element to track profit earned on each internal transfer so that you can view internal markups in an intercompany trade flow. If you allow this profit tracking, then a cost accountant can view the profit earned during each part of the transfer. In the following example, you can view goods received in the US West business unit at a price of $11.55, and you can also view the profit that the Singapore and China business units earn, and the original cost of the material. You can analyze goods received according to the profit that each business unit earns:

Cost Management can cost and account for each internal material transfer that includes a purchase or a return, and it streamlines accounting when the physical flow of shipping goods is different from the financial flow.

Steps to Enable

No steps are required to enable the feature.

Key Resources

Simplified Setup

Intuitive setup tasks help you set up the common components in Oracle SCM Cloud: inventory management, manufacturing, and cost management. You can quickly get an instance up and running to use for a pilot test. For details, see Getting Started with Your Manufacturing and Supply Chain Materials Management Implementation, available on the Oracle Help Center.

---

A special Oracle logo highlighting Oracle's commitment to developing practices and products that protect the environment. copyrightlogo

11.16