The OBM Business Model Overview Release 5.0 OBM Oracle Business Models

The OBM Business ModelOverview

Release 5.0

OBM Oracle Business Models

OBM: Think like a Customer

What is OBM?

Oracle’s Business Process Model

1

Plan SellMarketSource Make Support

Co

llab

ora

tio

nB

ack

Off

ice

Mfg/Supply Chain CollaborationEnterprise (Back Office)CRM

Va

lue

Ch

ain

Product Development

Human Resource Management

Enterprise Management

Financial Management

Project Management

Planning &Forecasting

Procurement

OperationsMgt

MaterialsMgt

OrderFulfillment

MarketingMgt

SalesMgt

CustomerInteraction

Mgt

CustomerService

Mgt

Collaborative and Marketplace Services

Communicates information about Oracle’s E-Business Applications... Links Oracle Applications to the common

language of business process models Preconfigured models reduce time & risk Improves Training & Control during

implementation


What do Oracle’s customers want?

Oracle Application

Oracle 9i

Oracle Application Server

Oracle Application

Oracle Application

Approvals Purchase Orders

Accounts Payable

Manage RequisitionsPR1180

Manage Non Production

Requisition

PR1180


Requisition

• Vision Corporation needs new monitors for their desk tops. A requisitioner in the creates a requisition defining the needs.

PR1182

Issue APurchase

Order

PR1182

Issue APurchase

Order

• The buyer creates a purchase order for the selected supplier of the monitors.

• The department manager approves the requisition.

PR1016

Generate Payments

PR1016

Generate Payments

• The invoice is approved by the accounting manager.

• The accountant sends the check to the supplier.

Receiving and InspectionMM1136

Receive Material

• The monitors arrive at the receiving dock.

MM1135

Accept orReject

Deliveries

MM1135

Accept orReject

Deliveries

• The received material is inspected and approved.

Supplier InvoicesPR1010

ManageSupplierInvoice

PR1010

ManageSupplierInvoice

• The AP Clerk receives the invoice.• The invoice is matched against the

purchase order.• The invoice is approved for payment.

ApprovalsPR0129

AuthorizePurchase

Order

PR0129

AuthorizePurchase

Order

• The buyer approves the requisition.

Procure to PayPR0128

AuthorizeRequisitions

PR0128


Business - NOT justProduct / Technology

Stack

Purchase Agent

Purchase Mgr

Vision Corporation

Dispatcher

Accountant


What is OBM?• Models

• Oracle Business Flows • OBM Business Model• Oracle Tutor Procedures for OBM

• Methods • OBM Process Library• OBM Standards• AIM for Flows• Business Flow Accelerators


Plan SellMarketSource Make Support

Co

llab

ora

tio

nB

ac

k O

ffic

e

Mfg/Supply Chain CollaborationEnterprise (Back Office)CRM

Va

lue

Ch

ain

Product Development

Human Resource Management

Enterprise Management

Financial Management

Project Management

Planning &Forecasting

Procurement

OperationsMgt

MaterialsMgt

OrderFulfillment

MarketingMgt

SalesMgt

CustomerInteraction

Mgt

CustomerService

Mgt

Collaborative and Marketplace Services

SupplierContracts

SupplierManagement

Requisitions

ApprovalsNon Product

ReceivingSupplierInvoices

PurchaseOrders

AccountsPayable

Requisitions (PRS03)PR1180


Requisition

PR1180


Requisition

PR1026

ManageProduction

Requisitions

PR1026

ManageProduction

Requisitions

PR1181

SelectSuppliers

PR1181

SelectSuppliers

Oracle Business Model


The Source: OBM Process LibraryProcess Process Name Process

ID Level Definition

HR FA Human Resource Management Functional management of human resource management activity.

HRS01 SP Staffing

Process begins with Budget analysis, moves to the identifying the need for a job requisition and ends either with hiring of applicants into a vacancy or terminating the applicant or employee assignment.

HR1310 BP Administer HR Budgets

Process of establishing budgets and predictive modeling with consideration to the business plan, hierarchical levels and market standards.

HR0189 BP Identify Opening

Determine the need for the job in relation to the operating business plan. Analysis should include type of assignment needed - full or part-time, temporary, permanent, etc.

HR0191 BP Describe Job/Position Process to describe the attributes and competencies of the job/position.

• One sheet per Functional Area• Processes defined by level: Functional area, Summary Process, Business Process•Over 750 Business Processes•Business Reference Library


Tutor Procedures for OBMMapped to OBM business processes

Text Based Task Lists

Automated Flow Diagrams

Oracle Application Navigation

Can be customized and linked into Oracle Applications as help text


Flows: Getting down to the business…

Approvals (PRS05) Purchase Orders (PRS04)Requisitions (PRS03)PR1933

Issue a Non Production

Purchase Order

PR1933

Issue a Non Production

Purchase Order

• PO can be automatically created via Workflow from Requisition.

• PO can be auto-created manually from a Requisition.

PR0128


PR0128


• Requisition approved via Workflow based on Hierarchy, Job/ Supervisor Setup. Approvals can be controlled using amount or account code.

Non-Production Receiving (PRS06)PR1935

Receive Non Production

Goods & Services

PR1935

Receive Non Production

Goods & Services

• The non-production goods arrive at the requisitioner/receivers desk.

• Two-Way or Three-Way Matching.

PR1180


Requisitions

PR1180


Requisitions

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

• Requisition may be for Fixed Assets or non catalog items or one time purchases.

• Requisitions may be maintained, modified, or canceled.

Roles

Supervisor

Requisitioner

Purchasing

• Ability to control Receiving Routings.

• Receive using express transactions for fast data entry.

Approvals (PRS05)PR1029

AuthorizePurchase Orders

PR1029

AuthorizePurchase Orders

• PO’s approved via Workflow based on Hierarchy, Job/ Supervisor Setup. Approvals can be controlled using amount or account code.


What is new in OBM (12/02)?

115 Certified Oracle Business Flows 550 Tutor Procedures built for OBM

Business Processes, replacing Visio Swimlane diagrams

1200 Business Processes Industry Models All Business Flow Accelerators Reference

OBM Business Processes – BP.080; many new business processes support these


Using OBM and Flows

BusinessInsight

BusinessProcesses

BusinessSolutions

Analyze MarketMAA.01

AnalyzeMarket

MAA.01

AnalyzeMarket

• Analyze trends inmarket

• Recognize need forcampaign

• Define CampaignObjective: e-mailcampaign to existingcustomers

Manage MarketingMAM.01

Define Budgetand Calendar

MAM.01


• Define budget,calendar, name, typeetc. for campaign

• Decide channel: e-mails to existingcustomers

• Submit to manager

MAM.02

ApproveCampaign

MAM.02

ApproveCampaign

• Manager logs on topersonal home page

• The campaign isapproved by themanager

MAM.03

DefineContact

List

MAM.03

DefineContact

List

• The target audienceis defined as a list ofe-mail addresses

CUS.02 Marketing through On Line Selling, Order Fulfillment and Invoicing to Receivable

MAM.04

PlanCampaign

MAM.04

PlanCampaign

• Define the offer thatis included in thecampaign withproduct number,discount rate andmore

MAM.05

ExecuteCampaign

MAM.05

ExecuteCampaign

• Letter that will beused in the e-mailcampaign is defined

• All e-mail notificationsare sent

PayApprove Credit

InvoiceFulfill OrdersSell Online (B2B)

Request Credit Receive Payment

OLS.01

CustomerReceives Mail

OLS.01


• The customerreceives the e-mail

• The customer clickon the link in the e-mail to access theweb shop

OLS.02

Display PromotionPage

OLS.02


• The customer logs onto the web shop

• The promotion pageis displayed

• The customer checksfor additional offers

OLS.03

Place the Order

OLS.03

Place the Order

• Add products toshopping chart

• Checks additionaloffers

• Enter shipping info.• Check out

OFU.01

Pick ReleaseOrder

OFU.01

Pick ReleaseOrder

• The order is releasedfor picking

OFU.02

Ship Order

OFU.02

Ship Order

• The orders is shipped

INV.01

Invoice Order

INV.01

Invoice Order

• The invoice isautomaticallygenerated

CFU.01

ViewAccount

CFU.01

ViewAccount

• Customer receivesphysical goods

• Customer receivesshipping note (e-mail)

• Customer views hisaccount (self service)

CFU.02

RequestCredit

CFU.02

RequestCredit

• Due to a damagedproduct the customerrequest 10% discountand creates a creditmemo

CRE.01

Approve CreditRequest

CRE.01


• Clerk accepts thecredit request.

• Manager approves aswell

• Credit memo isgenerated

CPA.01

Pay the Balance

CPA.01

Pay the Balance

• The customer seesthe credit memo (selfself service)

• The customer paysthe balance.

RPA.01

ReceivePayment

RPA.01

ReceivePayment

• The payment isreceived by enteringa cash receipt.

• Consensus Building

• Scope Definition

• Use OBM as the baseline for modeling business processes

• Capture issues and actions on processes

• Assemble Business Flows to define overall solution

• Implementation approach:

• AIM for Flows

• Prescriptive Flows

• Custom Flows

• Client Business Model

• Long lived procedures


Successful Implementations of Applications On Time & Within Budget

Objective:

Using OBM: Implementation

Means:

• Flow based implementations

2) AIM Current to Future State Mapping

3) Training

4) ProceduresProcess Gaps& Issues List1. mmmm2.mmm mmm3. mm m mm


AnalyzeMarket

MAA.01

AnalyzeMarket






MAM.01





MAM.02

ApproveCampaign

MAM.02

ApproveCampaign



MAM.03

DefineContact

List

MAM.03

DefineContact

List



MAM.04

PlanCampaign

MAM.04

PlanCampaign


MAM.05

ExecuteCampaign

MAM.05

ExecuteCampaign



PayApprove Credit



OLS.01


OLS.01




OLS.02


OLS.02





OLS.03

Place the OrderOLS.03

Place the Order




OFU.01

Pick ReleaseOrder

OFU.01

Pick ReleaseOrder


OFU.02

Ship OrderOFU.02

Ship Order


INV.01

Invoice OrderINV.01

Invoice Order


CFU.01

ViewAccount

CFU.01

ViewAccount




CFU.02

RequestCredit

CFU.02

RequestCredit


CRE.01


CRE.01





CPA.01

Pay the BalanceCPA.01

Pay the Balance



RPA.01

ReceivePayment

RPA.01

ReceivePayment



AnalyzeMarket

MAA.01

AnalyzeMarket






MAM.01





MAM.02

ApproveCampaign

MAM.02

ApproveCampaign



MAM.03

DefineContact

List

MAM.03

DefineContact

List



MAM.04

PlanCampaign

MAM.04

PlanCampaign


MAM.05

ExecuteCampaign

MAM.05

ExecuteCampaign



PayApprove Credit



OLS.01


OLS.01




OLS.02


OLS.02





OLS.03

Place the OrderOLS.03

Place the Order




OFU.01

Pick ReleaseOrder

OFU.01

Pick ReleaseOrder


OFU.02

Ship OrderOFU.02

Ship Order


INV.01

Invoice OrderINV.01

Invoice Order


CFU.01

ViewAccount

CFU.01

ViewAccount




CFU.02

RequestCredit

CFU.02

RequestCredit


CRE.01


CRE.01





CPA.01

Pay the BalanceCPA.01

Pay the Balance



RPA.01

ReceivePayment

RPA.01

ReceivePayment



Why OBM? Improves Customer / Applications Provider commumication Helps Oracle think in the customer’s terms Addresses Business Management, not just feature/function Provides a structured approach to managing a business with

Oracle Business Flows can be used in any business as a prescriptive

model Preconfigured models reduce time & risk of implementation Provides the tools to develop a Customer specific Process Model Procedures integrated into Oracle Applications can become

living documentation

These business flows clearly explain how Oracle APS would manage my planning!

Documents

The OBM Business Model Overview Release 5.0 OBM Oracle Business Models