R 12 Features

8/3/2019 R 12 Features

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R12Features

February2011

ERPAdvisory


2/31

(2011) KPMG Advisory Services Pvt. Ltd., an Indian Partnership and a member firm of the KPMG network ofindependent member firms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. Allrights reserved.

Disclaimer

Theinformationcontainedhereinisofageneralnatureandisnotintendedtoaddress

thecircumstancesofanyparticularindividualorentity.Althoughweendeavourto

provideaccurateandtimelyinformation,therecanbenoguaranteethatsuch

informationis

accurate

as

of

the

date

it

is

received

or

that

it will

continue

to

be

accurate

inthefuture.Nooneshouldactonsuchinformationwithoutappropriateprofessional

adviceafterathoroughexaminationoftheparticularsituation. R12featurespresented

herearebasedonpublishedmaterialfromOracleaswellasKPMG teamsexperience.


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Agenda

R12Features


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GlobalFinancialArchitecture

BankBank

ModelModel

Tax

Tax

EngineEngineInterInter

CompanyCompany

GeneralLedgerGeneralLedgerLedger

&

Ledger

SetsLedger&LedgerSetsGeneralLedgerGeneralLedger

Ledger

&

Ledger

SetsLedger&LedgerSets

SubledgerAccounting(SLA)SubledgerAccounting(SLA)SubledgerAccounting(SLA)DrDr CrCr

6MajorInitiatives

1. LedgerandLedgerSets

2. MultiOrgAccessControl

3. SubledgerAccounting

4. TaxEngine

5. Intercompany

6. BankModel

ProjectsProjectsReceivablesReceivablesInventoryInventory

WorkinProcessWorkinProcess PurchasingPurchasing PayablesPayables

MultiOrg

Access

Control

MultiMultiOrgOrg

AccessAccess

ControlControl


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ReportingCurrency(GBP)ReportingCurrency(USD)

R12LedgerArchitecture

SLA

Transaction

Accounting

SubledgerTransactions

SLA

CorporateLedger(EUR)

(PrimaryLedger)

StatutoryLedger(EUR)

(SecondaryLedger)

AP AR FA Others

LegalEntity

MaintainingMultipleAccountingRepresentationswithSecondaryLedgersorReporting

Currencies


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LedgerArchitecture KeyFeatures

AccountingSetupManager

SecondaryLedger forreporting

MultipleCurrency supportforalldatafromallsources

ManagementReporting

SpecifyasegmenttobeaManagementSegment

Secure

Access to

management

segment DataaccessanddatasecurityusingDataAccessSets (forLedgersets)

Access tolegalentities,ledgers,balancingsegmentvaluesandmanagementsegmentvalues

MultiLedger (LedgerSetprocessing)

Security

for

setup

and

definitions

with

Definition

Access

Sets


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Currency

Ifdifferenceis

only

currency,

KeyConceptsandTerminology

Corporate

Chart ofaccounts

Monthly

Calendar

Accounting

Method

US

GAAPAccrual

UseaSecondaryLedgerUseReporting

Currencies

Ifoneormoreofthefollowingaredifferent,

DifferenceBetweenSecondaryLedgersand ReportingCurrencies


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R12LedgerArchitecture KeyBenefits

TheLedger isanewfundamentalconceptinRelease12

Itreplacesthe11iconceptofasetofbooks. Itrepresentsan accountingrepresentation foroneormore

legalentitiesorforabusinessneedsuchasconsolidationormanagementreporting

Businessenterprises

can

now

clearly

and

efficiently

model

its

legal

entities

and

their

accounting

representations inRelease12

Itiscriticaltothesuccessofthesharedservicecenter andsingleinstanceinitiatives wheremanyoralllegal

entitiesofanenterpriseareaccountedforinasingleinstance,anddata,setup,andprocessingmustbe

effectivelysecuredbutalsopossiblyshared

LegalEntitiescanbemappedtoentireLedgersorifyouaccount formorethanonelegalentitywithina

ledger,youcanmapalegalentitytobalancingsegmentswithinaledger

Whileasetofbooksisdefinedby3Cs,chartofaccounts,functionalcurrency,andaccountingcalendar,the

ledgerisdefinedbya4thC:theaccountingmethod

This

4th

C

allows

you

to

assign

and

manage

a

specific

accounting method

for

each

ledger.

Therefore,

when

alegalentityissubjecttomultiplereportingrequirements,separateledgerscanbeusedtorecordthe

accountinginformation.


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Performthefollowingacrosstheledgers..

Open/Closeperiods

CreateJournals

Allocationsacrosstheledgers

Recurringjournalsforallledgers

Eliminationsetsforallledgers

Translateandrevaluebalances

Viewinformationwithoutchangingresponsibilities

Viewjournalsandaccountbalancesacrossledgers

Submitstandardreports

Createfinancialstatementsthatincludedataformultipleledgers


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MultiOrgAccessControl(MOAC)

Controlaccesstomultipleoperatingunitswithasingleresponsibility

Operatingunitsaccesscontrolbasedonsecurityprofile

Centralizedcontrol fortransactionsandsetups

Basisforsharedservicecenter


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IntroductiontoSubledgerAccounting

Rulebased accountingengine,toolset&repositorysupportingOracleEBusinessSuitemodules

Allowsmultipleaccountingrepresentations forasinglebusinessevent,resolvingconflicts

betweencorporate

and

local

fiscal

accounting

requirements

Retainsthemostgranularlevelofdetail inthesubledgeraccountingmodel,withdifferent

summarisation optionsintheGeneralLedger,allowingfullauditabilityandreconciliation

Introducesacommondatamodel acrosssubledgers,replacesvariousdisparate11isetups,

providingsinglesourceoftruth forfinancialandmanagementanalysis


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KeyBusinessProcess

ManagementFrameworkManagementFrameworkManagementFramework

InformationInformation

DeliveryDelivery

RegulatoryRegulatory

ReportingReporting

Subledger

AccountingSubledger

Accounting

TransactionSystemsTransactionSystemsTransactionSystems

OraclePayroll

OracleProjects

OraclePayables

OracleReceivables

Centralisedaccountingrules

PredefinedValidations

Dateeffectivepolicies Sophisticatederrorhandling Fullaudittrail Bidirectionaldrilldowns

CentralisedaccountingCentralisedaccountingrulesrules

PredefinedValidationsPredefinedValidations

DateeffectivepoliciesDateeffectivepolicies SophisticatederrorhandlingSophisticatederrorhandling FullaudittrailFullaudittrail BidirectionaldrilldownsBidirectionaldrilldowns

DetailedJournalEntries ConfigurableReference

Information ConsistentBalances Onlineinquiries

DetailedJournalEntriesDetailedJournalEntries ConfigurableReferenceConfigurableReference

InformationInformation ConsistentBalancesConsistentBalances OnOnlineinquirieslineinquiries

AnalyticsAnalyticsAnalytics


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OracleeBusinessTaxisasinglepointsolutionformanagingtransactionbasedtaxinall

E-BusinessSuitebusinessflowsusingaserviceorientedarchitecture.

Itprovidesaselfserviceuserinterfacefordefiningthetaxesandtherulesforthem,while

alsoproviding

the

facility

for

uploading

of

content

as

well

as

integrating

with

tax

calculation

servicesfromexternalcontentproviders.

Aflexibleandextensiblerulesmodel,centralizedcontrolsandacentraltaxrepositoryoftax

noteworthytransactions,completewithauditinformation,providesforcomplianceand

assurance.

Definition

OracleeBusinessTax


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ProcuretoPay

OrdertoCash

IntercompanyInvoicing

General

Ledger

OraclePurchasing

OracleInternetProcurement

ConsignedInventory

OracleInternet

Expenses

OraclePayables

OracleOrderCapture/iStore/Quoting

OracleOrderManagement

OracleTradeManagement

OracleServicesContracts

OracleProjectAccounting

OracleReceivables

OracleIntercompanyInvoicing

OracleGeneral

Ledger

OracleeBusinessSuiteintegrateswiththefollowingapplications


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Centralisedsetup ofIntercompanyandIntercompanyAccountssothesetransactions canmore easilybe

controlled,monitoredandreconciled

Balancingaccountinglines aregeneratedinthesubledgers(AP,ARetc.)givingbetterinformationand

speedingreconciliation

Minimalmanualintervention requiredreducesattentionneededbyfinancestaff,freeingresourcestowork

onmorevalueaddactivities

Utilisesworkflow processestoroute,review,verifyandapproveintercompanytransactionstoincrease

controlandvisibility

AGIS(AdvancedGlobalIntercompanySystem)


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Otherapplications

OraclePayables

OracleReceivables

OraclePayments

FinancialInstitutions

PrintPayments

Singlepointofintegrationwithexternalfinancialinstitutions

OraclePaymentsArchitecture


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Automaticdepreciationrollback priortoenteringassettransactionsinanopenperiod

Enhancedmassadditionsinterface withnewfieldsandAPIfacilitateeasyconversionoflegacydatawith

reducedrequirementtodefinemultiplecategorycombinations.APIscanreducethedataentryrequiredfor

creationof

asset

lines

transferred

from

Payables

AutomaticpreparationofMassAdditionsline tominimisemanualintervention.Assetcategoryandexpense

accountcanbeautopopulatedthroughrules

UnitsofProductionmethod allowedforGroupAssetsforEnergyindustry

RulebasedSubledgerAccountingwithspecificationstomeetGAAPandotherstatutoryrequirements

ReportscanbedevelopedusingtagbasedXMLtemplates andpublishedinPDF,WordorExcelformats

Assets R12 SelectFeatures


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SingleaccesspointfordefiningandmanaginginternalbankaccountsforPayables,Receivables,Treasury,

PayrollandCashManagement.Samebankaccountscanbesharedacrossmultipleoperatingunits

BankAccountTransfers canbeexecutedastransactionsinCashManagement.Approvalscanbesetforthe

same.Transfer

has

direct

integration

with

Oracle

Payments

for

generation

of

payable

document,

ifrequired

CashManagement R12 SelectFeatures


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AlternateAccountCombination definitionfacilitatessystemreplacementforenddatedaccountsthereby

ensuringseamlessinterface

Reconciliationaccountscanbedefinedandsystemcanexercisecontrolforautomaticzerobalanceinsuch

accounts

through

Journal

Reconciliation feature ReportscanbedevelopedusingtagbasedXMLtemplates andpublishedinPDF,WordorExcelformats

GeneralLedger R12 SelectFeatures


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Thirdpartydetails(likeCustomer,Supplier,Banksetc.)maintainedinasinglerepository Trading

CommunityArchitecture

Singlesupplieraddressandcontactcanbeleveragedbymultiplesites.Asingleupdatewillaffectall

operating

units

that

eliminates

duplicate

supplier

date ReportscanbedevelopedusingtagbasedXMLtemplates andpublishedinPDF,WordorExcelformats

Invoicelines havebeenincludedinbetweeninvoiceheadersandinvoicedistributions.Facilitatesabetter

mappingwiththerealtimeinvoicingprocess(ItemDescription,SerialNumber,Warrantyetc.)and

improvestheflowofinformationwithinEBusinessSuite

Retainage(practice

of

withholding

afixed

amount/percentage

of

payment

until

all

work

under

contract

is

complete)and Recoupment(automaticprocessofrecoveringprepaidamountwhen invoiceraised)

featuresmadeavailabletostreamlineProgressiveContractFinancing

BatchPaymentsissuedfromOraclePayablesusesthenewOraclePaymentsFundsDisbursementprocess.It

usesXMLPublisherforpaymentformatting

ConfigurablerulebasedSubledgerAccounting Methodscanbedefined.Helpsincomplyingwithstatutory

requirements

UsingMOAC(Multi OrganisationAccessControl),accesstomultipleoperatingunitscanbeprovidedtoa

singleresponsibility

Payables R12 SelectFeatures


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Thirdpartydetails(likeCustomer,Supplier,Banksetc.)maintainedinasinglerepository Trading

CommunityArchitecture

ReportscanbedevelopedusingtagbasedXMLtemplates andpublishedinPDF,WordorExcelformats

Improvementin

terms

of

capturing

Netting

Agreement

details

between

acustomer

supplier

relationship.

It

ensuresreducedbankcharges,fewertransactionstoprocessandcashflowimprovements

LatechargescanbederivedasInvoicesorDebitMemos(throughtransactiontypes)orAdjustments

(throughreceivableactivities)inReceivables.Expandedassessmentandcalculationcapabilitiesintheform

ofdefiningpaymenttermsandinteresttiersforchargingcustomersbasedonrangeoflatedays

Configurablerule

based

Subledger

Accounting Methods

can

be

defined.

Helps

in

complying

with

statutory

requirements

FlexibleLineLevelCashApplication facilitatesexactinvoicelineagainstwhichreceiptneedstobemapped

Enhancedconsolidatedbillingforthoseindustriesthatbilltheircustomersonregularandcyclicalbasis

throughBalanceForwardBillingthatincludesallofcustomerstransactionsforthebillingperiodandany

balancecarriedforwardfromthepreviousbillingperiod

DailyRevenueRecognitiondistributingrevenueforallandpartialperiodsincompliancewithGAAP

AutomationofCustomerRefunds bycreationofpaymentrequestinpayablesmodule

Receivables R12 SelectFeatures


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Inventory R12 SelectFeatures

Revamporganisationstructureanddownsizeresponsibilitieswith multiorgaccesscontrol

Convergedinventory fordiscreteandOPMorganisation subinventoryandlocatorwillreplacetheold

structureofplant warehouse location

Bettervisibility

and

improved

inventory

control

and

planning using

material

status

which

can

be

assigned

to

lot,locatorandsubinventoryaswell

Improvedinventorymanagementwithdualunitofmeasure controlfacilitatingreservationandtransactions

inbothUOM

AdvanceLotControl foraccurateinventorytrackingandbettercustomerservice.It alsosupportlot

indivisibilityand

lot

specific

UOM

conversions

Proactivemanagementofdatesensitivematerialviamaterialagingworkflow

Genealogyenhancements supportingproductcomponenttraceability,lot/serialexclusivity,validationfor

WIPreturns,supplierlotnumbertracking

Enhancedreservations

with

new

sources

of

demand

and

supply

Enhancedallocationwithadvancedpickingandsorting criteria


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Purchasing R12 SelectFeatures

Professionalbuyersworkcenter Tospeedupbuyerdailypurchasingtasks,viewandactuponrequisition

demand,createandmanageordersandagreements,runnegotiation eventandmanagesupplier

information

Unified

inventory Support

for

converged

inventory

between

Oracle

Process

Manufacturing

(OPM),

OPM

inventoryandDiscreteInventory

Documentpublishingenhancements SupportforRTFandPDFlayoutandpublishcontractsusingspecified

layouts


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OrderManagement R12 SelectFeatures

Multiorganisationaccesscontrol(MOAC)

Enhancedinventoryreservations

Implicitandexplicit CustomerAcceptance

Deferredrevenueandcosting,orderinformationenhancements

Creditcard securitycode,creditcardencryption

Paymentduewithorder,recurringcharges

Massscheduling,schedulingATOItemswithoutBOM

Improvedservicecontract,installbaseintegration

SupportforcrossdockingwithnewsupplysourceslikeIR,InReceiving,ASNandnewdemandsourceslike

OPMbatches

EnhancedLPNsupport


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OPM ProductDevelopment R12 SelectFeatures

IndustrialCompliantRecipeManagement OPMsupportgeneral,site,masterandcontrolrecipetocomply

withS88Standardforbatchcontrol

RecipeDesigner Integratedandgraphicalenvironmentwhereformulatorandprocessengineercan

collaborate

in

recipe

designing

process IngredientSubstitution Forobsolesces,customisation,pricingandregulatorycompliance

ComputerAidedFormulation Withsophisticated WhatIf capability,youcanmodelneworrevised

formulationseffectively

LeastCostFormulationSolution enabledprocessindustriesabilitytoanalysemyriadsofPossibleMaterial

Combinationand

suggest

best

possible

mix

without

aformula

SecureandmanagedatawithProductLifecycleManagement Powerfultoolslikestatuscontroland

automatedapprovalworkflowstostreamlinemovementofproductfromearlyexperimentalstagethrough

pilotingandintofullproduction

ChangeManagement withmasssearchandreplacement


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OPM ProcessExecution R12 SelectFeatures

ShopFloorManagedRealistically.Currentlybatchisexecutedinplantbutinventoryisstoredinwarehouse.

InR12,bothconceptsarenowcombined

TrackandDocumentShopfloormovement withusageofmoveorderleadingtobettercompliance

GuaranteedAvailability

of

material

for

Batches

with

High

Level, Detailed

and

Partial

Reservations

capability

SupportforMoveOrders,HencenoneedforSingleIngredientAllocation

ReduceCostofProductionwithLeastCostFormulationBatches

LeverageEBSCapabilityofWMSIntegrationlikeLPN,WMSPickingandPutawayrules

LessPaper

Work

with

Automation

and

Tighter

MES

Integration

SupportforItemRevision

SameOrganisationcanbedefinedasPlantandLab

InventoryOrganisations(Plant)canhavemultipleSubinventories

Visibilityof

Inventory

Shortages

at

time

of

Batch

Creation


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OPM Quality R12 SelectFeatures

ItemRevisionSupport forspecification,sampleandstabilitystudies

SampleagainstParentLotupdatesitsChildLots

DeductSampleQuantity NewInventorytransaction,NoneedtouseMisc.Adjustments

Sampleand

Result

traceability

through

Lot

Merge

/Split

and

Transfer

LeverageEnhancedReceivingInspection streamliningcommunicationsbetweenreceivingandquality

assuranceteam

Visibilityofqualityresults astheywillbenowbecollectedinLot/SerialGenealogy

TrackingNon

Conformance with

capturing

and

document

batch

non

conformance,

configuring

criticality

andresolvingissuespriortooperationorbatchcompletion

QuicklypushingcorporatespecificationfrommastertositeorganisationwithCopySpecification facility

EnhancedintegrationwithDiscreteQuality


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OPM Costing R12 SelectFeatures

ActualCostingTypes includeperiodmovingaverage,periodicweightedaverage,perpetualweighted

averageandlasttransaction

Additionalchargesincurredinpurchasing includedincostcalculation(Acquisitioncosts/Landedcosts)

Configurablerule

based

Subledger

Accounting to

create

journal

entries

and

post

to

Oracle

General

Ledger

CostingforCircularReference isnowfacilitated

FacilitatescomprehensiveWhatIf analysis,producesvariancereports,conductsmarginanalysis,and

improvesyourinventoryvaluationaccuracy


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OPM ProcessPlanning(UnconstrainedASCP) R12 SelectFeatures

Multilevelgraphicalpegging

Materialandroughcutcapacityplanning (RCCP)

Advancesourcingrule(SharedwithPurchasing)

Enhancedco

product

planning

Abilitytoperformonlinesimulations

Horizontalandverticalplans withdynamicbucketinganddrilldowns

Configurableexceptionqueriesandprioritieswithcomprehensive drilldowntoexecutiondetails

Plannerworkbench with

personal

queries

Supplydistributionplanning


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THANKYOU


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(2011)KPMGAdvisoryServicesPrivateLimited,anIndianprivate

limitedcompanyandamemberfirmoftheKPMGnetworkof

independentmemberfirmsaffiliatedwithKPMGInternational

Cooperative(KPMGInternational),aSwissentity.Allrightsreserved.

TheKPMGname,logoand"cuttingthroughcomplexity"areregistered

trademarksortrademarksofKPMGInternationalCooperative("KPMG

International").

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R 12 Features