Multi Org Concept

Introduction

Any enterprise has several organization structures. These organizations interact with each
other for various purposes. While interacting with other organizations data has to be secure
and should be transferred to the correct organization.

What is Multi Org

Multi Org is a feature, which helps us to classify and define various organizations in such a
way that hierarchy is maintained and data is secure across organizations. It also decides
how transactions flow through different organizations and how those organizations interact
with each other.

Types of Organizations
The various organizations that can be defined within Oracle Applications are as follows:

Business Group. The business group represents the highest level in the organization
structure, such as the consolidated enterprise, a major division, or an operation
company. Oracle Apps provides with a predefined Business Group ‘Setup
Business Group’. Reliance Group of Companies is an example of Business
Group.
GRE/Legal Entity. The company for which we prepare tax returns. You assign tax
identifiers and other legal entity information to this type of organization. If there
are several subsidiary companies for which tax returns are filed, each company is
a separate legal entity. Reliance Group of Companies consists of several
companies like Reliance Industries ltd, Reliance Info-comm, Reliance Energy ltd
etc. Each company is a separate Legal Entity.
Note: The Set of Book can contain multiple Legal Entities.

Operating Unit. Each group company will have several branch offices involved with
purchasing, order management, shipping execution etc. Each such branch will
be an Operating Unit.

It could be a sales office, a division, or a department. An operating unit is

associated with a legal entity.

For implementing Oracle Cash Management, Order Management and Shipping

Execution, Oracle Payables, Oracle Projects, Oracle Purchasing, Oracle
Property Manager, Oracle Receivables and Sales and Marketing Operating Unit
is required.

Information is secured by operating unit for these applications. Each user

sees information only for their operating unit.
 Inventory Organization. An organization for which you track inventory transactions
and balances, and/or an organization that manufactures or distributes products.
Inventory organization is generally assigned to a manufacturing plant. An
operating unit can also be an Inventory Organization. Many branches (operating
units) might be Manufacturing Plants and will be attached to an
Inventory/Warehouse. Such inventory/warehouses will be Inventory
Organizations.
HR Organization. HR organizations represent the basic work structure of any enterprise.
They usually represent the functional management, or reporting groups that exist
within a business group.
Asset Organization. An asset organization is an organization that allows you to perform
asset–related activities for a specific Oracle Assets corporate depreciation book.
Any organization (legal entity, operating unit, inventory organization), which has
Fixed Assets can be classified as Asset Organization. For implementing Oracle
Assets, this type of organization is used.

Secure Access within Multi Org

An individual Operating Unit is assigned to an individual application Responsibility. To see
and work with data that is relevant to a specific Operating Unit, users choose the
appropriate Responsibility after logging on to Oracle Applications.

The current Multi-Org architecture utilizes database objects like Views to build a security
layer that allows you to logically partition all your application data in one database, instead
of physically partitioning data with multiple instances and even multiple application
installations.

In earlier versions of Oracle Applications data partitioning was done using multiple instances
and therefore installation had to be done several times for various operating units.

Note: All Multi Org tables in the database will be suffixed with ‘_ALL’.

HRMS Organization Model

The business group is the largest organization unit you set up in Human Resources to
represent your enterprises as an employer. After defining one or more business groups for
your enterprise, you set up one or more Government Reporting Entities (GREs) within each
business group. The GRE is the organization that federal, state, and local governments
recognize as the employer.

Needless to say, HR does not require Operating Units, Inventory Organization and Asset
Organization.
Multi Org Setup
The following are the summarized steps for implementing Multi-Org in Oracle Applications or
when converting from a Non Multi-Org environment to a Multi-Org environment.

1.1 Develop an Organization Structure

1.2 Define Set of Books

1.3 Define Locations

1.4 Define Business Groups (Optional)

1.5 Define Responsibilities

1.6 Associate Responsibilities with Business Groups

1.7 Define Organizations

1.8 Define Organization Relationships

1.9 Set MO: Operating Unit Profile Option

1.10 Convert to Multi-Org Architecture

1.11 Define Inventory Organization Security

1.12 Define Inter-company Relations

Technical

How to set Org_id at back-end

We have a API to set the org_id from the backend.

begin
fnd_client_info.set_org_context();
end;

Note:- Org_id indicates the "Operating Unit" in the Business Structure.

How to I know what Org_id is set at back-end

We can use userenv function to know the Org_id set at backend.

select userenv('CLIENT_INFO') from dual;

Why we need to set org_id at back-end

We usually, set org_id at back-end. So that we can get the org_id records from the Multi
Organization views.

What happens if I try to query records from Multi-Origination views without

setting Org_id at back-end

It will not fetch any records. As, "where" condition fails (org_id = Userenv('CLIENT_INFO'));

Note:- If you set org_id from back-end, then you get org_id value populated by above
userenv function.

Is this Multi -Org concept is same for all the Oracle Application versions

No. Above Technical points are applicable only till 11i version. It is different in Release 12.