Oracle Enterprise Business Suite Solution

Slide 1

Table of Contents

Procure to Pay

Order to Cash

Slide 2

Procure to Pay

Slide 3

Agenda
Procure to Pay

Procure to Pay Normal Process

Prepayment
Return With Credit Memo
Invoice Hold
Blanket PO Agreement
Planned PO
Contract PO
Request For Quotation

Slide 4

Oracle Business Flow: Procure to Pay (Normal Process)

Requisitions

Purchase Orders

Manage
Requisitions

Authorize
Requisitions

Create a requisition
defining the non
production, service,
administrative, items
needed.

Approvals can be
controlled using
amount or account
code.

Requisition may be for

Fixed Assets or non
catalog items or one time
purchases.

Issue a
Purchase
Order

Authorize
Purchase
Orders

PO can be
automatically created
from Single/Multiple
Requisition.
Single PR can be
created into Multiple
PO
PO can be created
manually.

Approvals can be
controlled using
Purchasing amount or
account code.

Purchasing

Receiving
Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Purchasing

Distribute
Issued
Purchase
Orders
Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Purchasing

Account Payable
Manage
Supplier
Invoices
Invoices are received
through the internet,
electronically or as paper.
The invoice is matched to
PO.

Validate
Supplier
Invoice
Invoices are validated.

Financials

Issue
Supplier
Payments
A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Enterprise Roles

Department Manager
Requester
Buyer
Purchasing Manager
Accounts Payable Clerk

Accounts Payable Supervisor

Slide 5

Oracle Business Flow: Procure to Pay (Prepayment)

Purchase Orders

Requisitions
Manage
Requisitions

Issue a
Purchase
Order

Authorize
Purchase
Orders

PO can be
automatically created
from Single/Multiple
Requisition.
Single PR can be
created into Multiple
PO.
PO can be created
manually.

Approvals can be
controlled using
Purchasing amount or
account code.

Authorize
Requisitions

Create a requisition
defining the non
production, service,
administrative, items
needed.

Approvals can be
controlled using
amount or account
code.

Requisition may be for

Fixed Assets or non
catalog items or one time
purchases.

Prepayment (AP)

Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Request for
Prepayment

Create
Prepayment

Validate
Prepayment

Purchasing

Receiving

Distribute
Issued
Purchase
Orders

Purchasing
Issue
Payment for
Prepayment

Account Payable
Manage
Supplier
Invoices

Modify
Existing
Invoice
Distributions

Validate
Supplier
Invoice

Modify accounting record

Invoices are received
(I.e. cost center, natural
through the internet,
account).
electronically or as paper.
The invoice is matched to Modify allocation of
invoice to specific
PO.
accounts.

Invoices are validated.

Purchasing

Apply
Prepayments
to Supplier Invoice
Reduce Invoice
payments by
prepayments.
Enable prepayments and
control prepayments with
automatic offsets.

A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Financials
Enterprise Roles

Department Manager

Validate
Supplier
Invoice

Invoices are revalidated.

Issue
Supplier
Payments
A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Financials

Department Manager
Requester
Buyer
Purchasing Manager
Accounts Payable Clerk
Accounts Payable Supervisor

Slide 6

Oracle Business Flow: Procure to Pay (Return with Credit Memo)

Return to Vendor
Procure To Pay
(Normal Process)

Return
Goods /
Services
The goods/Services
Returned by
Receiving Clerk.

Purchasing

Account Payable
Issue
Supplier
Payments

Process
Supplier
Credit Memos
Credit memos can be created
automatically.
Apply credit memos for material
that has been returned.

A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Financials

Enterprise Roles
Receiving Clerk
Accounts Payable Clerk

Slide 7

Oracle Business Flow: Procure to Pay (Invoice Hold)

Requisitions

Purchase Orders

Manage
Requisitions
Create a requisition
defining the non
production, service,
administrative, items
needed.

Approvals can be
controlled using
amount or account
code.

Requisition may be for

Fixed Assets or non
catalog items or one time
purchases.

Authorize
Purchase
Orders

PO can be
automatically created
from Single/Multiple
Requisition.
Single PR can be
created into Multiple
PO.
PO can be created
manually.

Approvals can be
controlled using
Purchasing amount or
account code.

Purchasing

Receiving
Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Purchasing

Distribute
Issued
Purchase
Orders

Issue a
Purchase
Order

Authorize
Requisitions

Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Purchasing

Account Payable
Manage
Supplier
Invoices
Invoices are received
through the internet,
electronically or as paper.
The invoice is matched to
PO.

Validate
Supplier
Invoice

Resolve
Supplier
Invoice Holds

Issue
Supplier
Payments

Invoices are validated.

Determine whether hold

can be removed so
invoice can be paid.

A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Financials

Enterprise Roles

Department Manager
Requester
Buyer
Purchasing Manager
Accounts Payable Clerk
Accounts Payable Supervisor

Slide 8

Oracle Business Flow: Procure to Pay (Blanket PO)

Purchase Orders
Issue a Blanket
Purchase
Agreement
(BPA)
BPA can be created
manually.
BPA is controlled by
Unit Price and
Amount Agreed.

Authorize
BPA

Issue
Requisitions

Approvals can be
controlled using
Purchasing amount or
account code.

Create a requisition
defining the non
production, service,
administrative, items
needed against BPA.

Issue
Blanket
Release

Authorize
Requisitions
Approvals can be
controlled using
Purchasing amount or
account code.

Requisition may be for

Fixed Assets or non
catalog items or one time
purchases.

Blanket Release can

be controlled by total
amount agreement.
Blanket Release can
be released from
Purchase
Requisition.

Authorize
PO
Release

Distribute
Issued
PO Release

Approvals can be
Distribute Purchase
controlled using
Order to Supplier.
Purchasing amount or Distribution is done
account code.
via email, fax, mail or
other electronic or
manual means.

Purchasing

Receiving
Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Purchasing

Account Payable
Manage
Supplier
Invoices
Invoices are received
through the internet,
electronically or as paper.
The invoice is matched to
PO.

Validate
Supplier
Invoice
Invoices are validated.

Financials

Issue
Supplier
Payments
A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Enterprise Roles
Requester
Buyer
Purchasing Manager
Accounts Payable Clerk
Accounts Payable Supervisor

Slide 9

Oracle Business Flow: Procure to Pay (Planned PO)

Purchase Orders
Issue a
Planned
Purchase
Order
Planned PO can be
created manually.
Planned PO is
controlled by Quantity
and Shipment Date.

Authorize
Planned
PO

Issue
Requisitions

Approvals can be Create a requisition

controlled using
defining the non
Purchasing amount. production, service,
administrative, items
needed against Planned
PO.
Requisition may be for
Fixed Assets or non
catalog items or one time
purchases.

Approvals can be
controlled using
Purchasing amount or
account code.

Authorize
Planned
PO
Release

Issue
Planned PO
Release

Authorize
Requisitions

Planned PO Release
can be controlled by
total Planned
Quantity.
Planned PO Release
can be released from
Purchase
Requisition.

Distribute
Issued
Planned
PO Release

Approvals can be

controlled using
Purchasing amount or
account code.

Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Purchasing

Receiving
Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Purchasing

Account Payable
Manage
Supplier
Invoices
Invoices are received
through the internet,
electronically or as paper.
The invoice is matched to
PO.

Validate
Supplier
Invoice
Invoices are validated.

Financials

Issue
Supplier
Payments

A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Enterprise Roles

Requester
Buyer
Purchasing Manager
Accounts Payable Clerk

Accounts Payable Supervisor

Slide 10

Oracle Business Flow: Procure to Pay (Contract PO)

Purchase Orders
Issue a
Contract
Purchase
Order

Authorize
Contract
PO

Contract PO can be
created manually.
Contract PO is
controlled by Amount
Agreed.

Issue
Requisitions

Approvals can be
controlled using
Contract amount.

Create a requisition

defining the non

production, service,
administrative, items
needed against Contract
PO.
Requisition may be for
Fixed Assets or non
catalog items or one time
purchases.

Issue
PO with
Reference of
Contract

Authorize
Requisitions

Approvals can be
controlled using
Purchasing amount or
account code.

PO with reference to
Contract can be
controlled by total
amount agreed in
contract.

Authorize
PO with
Reference
of Contract

Distribute
Issued
Purchase
Orders

Approvals can be

controlled using
Purchasing amount or
account code.

Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Purchasing

Receiving
Receive
Goods /
Services
The goods/Services
received by
requester/receivers.

Purchasing

Account Payable
Manage
Supplier
Invoices
Invoices are received
through the internet,
electronically or as paper.
The invoice is matched to
PO.

Validate
Supplier
Invoice

Issue
Supplier
Payments

Invoices are validated.

A payment batch is
generated and
payments are
distributed to suppliers.
Payments can be EFT,
Wire, Check.

Financials

Enterprise Roles

Requester
Buyer
Purchasing Manager
Accounts Payable Clerk

Accounts Payable Supervisor

Slide 11

Oracle Business Flow: Procure to Pay (RFQ)

Requisition

Request For Quotation

Manage
Requisitions

Authorize
Requisitions

Create a requisition
defining the non
production, service,
administrative, items
needed.

Approvals can be
controlled using
amount or account
code.

Requisition may be for

Fixed Assets or non
catalog items or one time
purchases.

Purchasing

Distribute Issued
RFQ

Receipt
Quotation

Manage
Quotation

Distribute RFQ to
Supplier. Distribution
is done via email, fax,
mail or other
electronic or manual
means.

Quotation from
supplier can be
receipt by email, fax,
mail or other electronic
or manual means.

Quotation can be
Recorded as active or
inactive Quotation

Issue RFQ

RFQ can be automatically

created from
Single/Multiple
Requisition.
RFQ can be created
manually.

Quotation

Purchasing

Purchasing

Purchase Orders
Issue a
Purchase
Order

Authorize
Purchase
Orders

PO can be
automatically created
from Quotation.
PO can be created
manually.

Approvals can be
controlled using
Purchasing amount or
account code.

Distribute
Issued
Purchase
Orders
Distribute Purchase
Order to Supplier.
Distribution is done
via email, fax, mail or
other electronic or
manual means.

Receiving Process

Account Payable
Process

Enterprise Roles
Department Manager

Requester
Buyer

Purchasing
Purchasing Manager

Slide 12

Order to Cash

Slide 13

Agenda
Order to Cash

Order to Shipment Normal Process

Customer Invoice to Receipt Normal Process
Customer Return to Credit
Deferred Revenue
Credit Limit
Prepayment
Deposit
Manual Credit Memo

Slide 14

Oracle Business Flow : Order to Shipment (Normal Process)

Order Entry & Scheduling

Opportunity to
Order

Manage
Customer
Orders

Check
Availability
On Hand

Sales orders submitted by

customers or sales reps
are entered into the
system.
Manage discount
Revenue recognized in
fixed or variable duration
in which accounting
period.

Check Availability On
Hand for the customer
order.

Schedule
Sales Order
Ship Date

Send Sales
Order
Acknowledgement

The planner schedules

sales order lines ship
dates.

CSR (Customer Service

Representative) sends sales
order acknowledgement to
the Customer.

Order Management
Shipping
Pick
Material
Shipping Clerk picks and
transfers orders to Staging.

Prepare
Material for
Shipment
Shipping Clerk packages,
consolidates material to be
sent to the customer.

Customer Invoice to
Cash (Normal Process)

Load
Material
Shipping Clerk loads the
material to the dock for
shipment.

Ship
Material
Shipping Clerk packs,
weighs, counts, ships
and records shipments.

Customer Invoice to
Cash (Deferred
Revenue)

Order Management
Enterprise Roles

Order Entry Clerk

Planner
Shipping Clerk

Slide 15

Oracle Business Flow: Customer Invoice to Receipt (Normal Process)

Order to
Shipment
(Normal
Process)

Customer Invoice
Generate
Customer Invoice
from Sales Order

Order to
Shipment
(Prepayment
Process)

Printed Customer
Invoice

Use the Standard pre-seeded

Orders Workflow to support order
processing and invoice creation to
the customer immediately after the
order has been shipped..
Run Auto Invoice to import
invoice and credit information into
the Oracle Receivables
application.

Present
Customer
Invoices
Present invoices to
customer or third party.

Financials

Accounts Receivables
Enter
Receipt

Apply Customer
Receipts
Cash Applications

Perform receipt
from a customer in
several ways,
depending on the
amount of the
receipt and total
amount owed by the
customer.

Receipt is created and applied

to invoice(s), Credit Memo(s),
Debit Memo(s).

Apply Customer
Receipts
Adjustments

Bank Statement
to Cash
Reconciliation

Adjust payment including

Receipt Application
reversal and corrections.

Enterprise Roles
Cashier

Financials

Receivable

Slide 16

Oracle Business Flow: Customer Return to Credit

Order Entry & Scheduling

Return Material

Issue Returned
Material
Authorization
Enter customer returns by
referencing Items, Sales
Order Number, Invoice,
Customer Purchase Order.

Receive
Material
Customer
Receive returned items into
inventory using Purchasing
Receipt.
Enter partial or full receipts
of customer material.

Order Management

Credit Memo
Generate
Customer Invoice
from Sales Order

Maintain
Credit
Memo

Use the Standard pre-seeded

Orders Workflow to support order
processing and invoice creation to
the customer immediately after
receipt return material.
Run Auto Invoice to import
invoice and credit information into
the Oracle Receivables
application.

Apply returns for credit

by applying credits to
original invoices or by
creating on-account
credits.

Process
Refunds
Process refunds to customer by entering a
receipt using Refunds activity. Receivables
sends a refund request to Payables.
Enterprise Roles

Order Entry Clerk

Financials

Credit Manager
Shipping Clerk

Receivable

Slide 17

Oracle Business Flow: Deferred Revenue

Customer Invoice

Order to Shipment
(Normal Process)

Generate
Customer Invoice
from Sales Order
Order to Shipment
(Prepayment Process)

Printed Customer
Invoice

Use the Standard pre-seeded

Orders Workflow to support order
processing and invoice creation to
the customer immediately after the
order has been shipped.
Run Auto Invoice to import
invoice and credit information into
the Oracle Receivables
application.

Present
Customer
Invoices
Present invoices to
customer or third party.

Financials
Bank
Statement to
Cash
Reconciliation

Accounts Receivables
Enter
Receipt

Perform receipt
from a customer in
several ways,
depending on the
amount of the
receipt and total
amount owed by the
customer.

Apply Customer
Receipts
Cash Applications
Receipt is created and applied
to invoice(s), Credit Memo(s),
Debit Memo(s).

Apply Customer
Receipts
Adjustments
Adjust payment including
Receipt Application
reversal and corrections.

Revenue
Recognition
Run the Revenue
Recognition program to
generate the revenue
distribution records for
invoices and credit memos
that use invoicing and
accounting rules.

Financials

Revenue
Accounting
Revenue Accounting
Management (RAM)
wizard to guide through
the process of making and
modifying revenue
adjustments.
Enterprise Roles
Cashier
Receivable

Slide 18

Oracle Business Flow : Credit Limit

Order Entry & Scheduling
Opportunity to
Order

Manage
Customer
Orders

Schedule
Sales Order
Ship Date

Sales orders submitted by

customers or sales reps
are entered into the
system.

The planner schedules

sales order lines ship
dates.

Order Management

Order Entry & Scheduling

Manage
Sales Order
Holds

Release
Credit Holds
on Sales Orders

Research and resolve

shipment holds associated
with open sales orders.

Review and release

specific credit holds on
individual sales orders.

Send Sales
Order
Acknowledgement
CSR (Customer Service
Representative) sends sales
order acknowledgement to
the Customer.

Order Management, Financials, Purchasing

Customer Invoice to
Cash (Normal Process)

Shipping
Pick
Material
Shipping Clerk picks and
transfers orders to Staging..

Enterprise Roles

Prepare
Material for
Shipment

Load
Material

Shipping Clerk packages,

consolidates material to be
sent to the customer.

Shipping Clerk loads the

material to the dock for
shipment.

Ship
Material
Shipping Clerk packs,
weighs, counts, ships
and records shipments.

Order Entry Clerk

Credit Manager
Shipping Clerk

Order Management

Slide 19

Oracle Business Flow : Order to Shipment (Prepayment Process)

Order Entry & Scheduling

Manage
Customer
Orders

Check
Availability
On Hand

Sales orders submitted by

customers or sales reps
are entered into the
system.
Manage discount
Revenue recognized in
fixed or variable duration
in which accounting
period.

Check Availability On
Hand for the customer
order.

Opportunity
to Order

Schedule
Sales Order
Ship Date

Send Sales
Order
Acknowledgement
CSR (Customer Service
Representative) sends sales
order acknowledgement to
the Customer.

The planner schedules

sales order lines ship
dates.
Manage Prepayment
from customer.

Manage
Prepayment

Record prepayment(s)
from customer. One or
more receipts is created
in AR that will be
matched against the
invoice(s) of the order.

Order Management
Shipping
Pick
Material
Shipping Clerk picks and
transfers orders to Staging.

Prepare
Material for
Shipment
Shipping Clerk packages,
consolidates material to be
sent to the customer.

Customer Invoice to
Cash (Normal Process)

Load
Material
Shipping Clerk loads the
material to the dock for
shipment.

Ship
Material
Shipping Clerk packs,
weighs, counts, ships
and records shipments.

Customer Invoice to
Cash (Deferred
Revenue)

Order Management
Enterprise Roles

Order Entry Clerk

Planner
Shipping Clerk
Cashier

Slide 20

Oracle Business Flow: Deposit

Customer Invoice

Customer Invoice
Order to
Shipment
(Normal
Process)

Enter
Deposit

Records a customers prepayment

for goods or services that you will
provide in the future.

Generate
Customer Invoice
from Sales Order
Use the Standard pre-seeded
Orders Workflow to support order
processing and invoice creation to
the customer immediately after the
order has been shipped.
Run Auto Invoice to import
invoice and credit information into
the Oracle Receivables
application.

Financials

Apply
Deposit

Apply deposit to
customer invoice.

Printed
Customer
Invoice

Present
Customer
Invoices
Present invoices to
customer or third
party.
Send Invoice to
Customer.

Financials

Accounts Receivables
Enter
Receipt

Apply Customer
Receipts
Cash Applications

Perform receipt
from a customer in
several ways,
depending on the
amount of the
receipt and total
amount owed by the
customer.

Receipt is created and applied

to invoice(s), Credit Memo(s),
Debit Memo(s).

Apply Customer
Receipts
Adjustments

Bank Statement
to Cash
Reconciliation

Adjust payment including

Receipt Application
reversal and corrections.
Enterprise Roles
Cashier
Receivable

Financials

Slide 21

Oracle Business Flow: Manual Credit Memo

Customer Invoice
Order to
Shipment
(Normal Process)

Printed
Customer
Invoice

Apply
Credit
Memo

Generate
Customer Invoice
from Sales Order
Use the Standard pre-seeded
Orders Workflow to support order
processing and invoice creation to
the customer immediately after the
order has been shipped.
Run Auto Invoice to import
invoice and credit information into
the Oracle Receivables
application.

Apply credit memo to

reduce receivable balance
with no returned items.

Present
Customer
Invoices
Present invoices to
customer or third party.
Send Invoice to Customer.

Financials

Accounts Receivables
Enter
Receipt

Apply Customer
Receipts
Cash Applications

Apply Customer
Receipts
Adjustments

Perform receipt
from a customer in
several ways,
depending on the
amount of the
receipt and total
amount owed by the
customer.

Receipt is created and applied

to invoice(s), Credit Memo(s),
Debit Memo(s).

Adjust payment including

Receipt Application
reversal and corrections.

Bank Statement
to Cash
Reconciliation

Enterprise Roles
Cashier

Financials

Receivable

Slide 22