Order to Cash CycleThe Life Cycle of the Order
Following are the steps the process will go through from
creating a Sales Order to Posting the details in GL.Enter the Sales
OrderBook the Sales OrderLaunch Pick ReleaseShip ConfirmCreate
InvoiceCreate the Receipts either manually or using Auto Lockbox (
In this article we will concentrate on Manual creation)Transfer to
General LedgerJournal ImportPostingAPPLICATIONS INVOLVEDOrder
Management: Creating and shipping the OrderCustomer Masterfor
customer details in OMInventory:Onhand availability,
ReservationPricingfor List Price details in OM lineReceivables: For
Receipt against invoiceGeneral Ledger: Importing, entering and
posting the journals.ORDER MANAGEMENT PROCESSES:Orders can be
created in following processes1.Enter Order manually2.Copy and
Order or Return3.Import Orders from CRM or other legacy
systemsNote: CRM (Customer Relationship Management) includes
iServe, iStore, Teleservices, Telesales, Sales Online,
iSupport.SCHEDULING PROCESS:1.Checking Available to Promise
(ATP)2.Placing Demand3.Reserving Onhand4.Running Pick
Release5.Shipping the OrderPRICING PROCESS:1.Order line entered,
take the part and customer details from Order2.Check price list or
agreement3.Check for the modifiers4.Calculates the unit
priceSHIPPING PROCESS:1.Run Pick Release creates Move Order2.As per
the Move Order details, parts moved out of the Subinventory
(Transact Move Order)3.After getting the part from Subinventory, it
will be dropped to Staging area (Pick Confirm, this runs
automatically during Pick Release)4.After loading the goods into
the Truck from Staging area, Ship Confirm can be run5.This ship
confirm will decrement quantity from Inventory and update the sales
order6.The information can be transferred to Receivables through
AutoInvoice program and will generate the invoice for
customer.AUTOINVOICE PROCESS:1.Transaction data can be transferred
from a number of locations like Order Management, Contracts and
Legacy Systems2.Data are brought to the Interface table, if any
error, that will move to Interface exception table and after
correction, again will be brought to the interface table3.Correct
data gets inserted to the Receivables by AutoInvoice program. This
can be related to Debit Memos, Memos and as InvoicesRECEIVABLE
PROCESS:1.Imported Invoices and manually generated invoices2.Review
and correct data3.Print Invoices4.Send Invoices5.Collect
Payement6.Post ReceiptsCASH MANAGEMENT PROCESS:1.Receive Bank
Statements2.Load and verify bank statements3.Perform
Reconciliations4.Review Results5.Enter Manual Entries if
needed6.Post to General LedgerOrder to Cash Cycle Step by step
hands onWritten By Bishnu Prasad Choudhury on September 25, 2012 |
12:10 PMOrder to Cash Cycle
Following are the steps the process will go through from
creating a Sales Order to Posting the details in GL.Enter the Sales
OrderBook the Sales OrderLaunch Pick ReleaseShip ConfirmCreate
InvoiceCreate the Receipts either manually or using Auto Lockbox (
In this article we will concentrate on Manual creation)Transfer to
General LedgerJournal ImportPostingINVOLVED MODULESOrder
Management: Creating and shipping the OrderInventory:Onhand
availability, ReservationReceivables: For Receipt against
invoiceGeneral Ledger: Importing, entering and posting the
journals.
ENTER THE SALES ORDER:
Order Management Super User Operations (USA)>Orders Returns
>Sales OrdersEnter the Customer details (Ship to and Bill to
address), Order type.
Click on Lines Tab. Enter the Item to be ordered and the
quantity required
Line is scheduled automatically when the Line Item is saved.
Scheduling/unscheduling can be done manually by selecting
Schedule/Un schedule from the Actions Menu.You can check if the
item to be ordered is available in the Inventory by clicking on
Availability Button.
Save the work.Tables
Affected:OE_ORDER_HEADERS_ALLOE_ORDER_LINES_ALLColumns used for
identification of flowFLOW_STATUS_CODE in both the tables which is
ENTERED.
BOOK THE SALES ORDERBook the Order by clicking on the Book Order
button
Now that the Order is BOOKED, the status on the header is change
accordingly.Tables affected:The FLOW_STATUS_CODE in the table
OE_ORDER_HEADERS_ALL would be BOOKED.The FLOW_STATUS_CODE in
OE_ORDER_LINES_ALL will beAWAITING_SHIPPING.New records will be
created in WSH_DELIVERY_DETAILS with RELEASED_STATUS=R (Ready to
Release)Also Record(s) will be inserted into
WSH_DELIVERY_ASSIGNMENTSAt the same time DEMAND INTERFACE PROGRAM
runs in the background and inserts into MTL_DEMAND.LAUNCH PICK
RELEASEShipping > Release Sales Order > Release Sales
OrdersGive the Sales Order and Rule details as required
Key in the details in Shipping Tab, Autocreate Delivery: Yes,
Auto Pick Confirm: Yes, Autopack Delivery: Yes
Similarly key in the Subinventory, location and org details in
Inventory tab as required
Then select Execute Now button.On completion this will show
below window
Pick Release process will in turn run few more concurrent
requests likeAuto Pack Report, Pick Slip Report, Shipping
Exceptions Report (These are what we have chosen in the shipping
tab during Pick Release)
Tables AffectedIf Autocreate Delivery is set to Yes then a new
record is created in the table WSH_NEW_DELIVERIESDELIVERY_ID is
populated in the table WSH_DELIVERY_ASSIGNMENTSThe RELEASED_STATUS
in WSH_DELIVERY_DETAILS would be now set to Y (Pick Confirmed) if
Auto Pick Confirm is set to Yes otherwise RELEASED_STATUS is S
(Release to Warehouse)PICK CONFIRM THE ORDER:If Auto Pick Confirm
is set to Yes during Pick Release, then this process will happen
systematically.In other cases, need to do this by doing a move
order transactionInventory Super User > Move Order> Transact
Move OrderTake the Move Order Number form the Shipping Transaction
Form and find that and transact.SHIP CONFIRM THE ORDER:Order
Management Super User>Shipping >TransactionsFind by Order
Number
Here you can find all the detailsIf the line status is
Staged/Pick Confirmed, we can go for a shipmentThen Click on the
Delivery tab
Then Click Ship ConfirmNote: If Ship Confirm button is inactive,
then please check to the user id you are logged in, whether
Shipping Grant given or not. If not they add a shipping grant to
the user id and try again.
Then OK.The Status in Shipping Transaction form in Delivery tab
should be closed
This will kick off concurrent programs like.INTERFACE TRIP Stop,
Commercial Invoice, Packing Slip Report, Bill of LadingTables
Affected:RELEASED_STATUS in WSH_DELIVERY_DETAILS would be C (Ship
Confirmed)FLOW_STATUS_CODE in OE_ORDER_HEADERS_ALL would
beBOOKEDFLOW_STATUS_CODE in OE_ORDER_LINES_ALL would beSHIPPEDOnce
all background process completes, the Shipping Transaction Status
in Lines/LPNs tab becomes Interfaced
CREATE INVOICE:Run workflow background ProcessOrder Management
>view >Requests
Workflow Background Process inserts the records
RA_INTERFACE_LINES_ALL withINTERFACE_LINE_CONTEXT = ORDER
ENTRYINTERFACE_LINE_ATTRIBUTE1=
Order_numberINTERFACE_LINE_ATTRIBUTE3= Delivery_id
And spawns Auto invoice Master Program and Auto invoice import
program which creates Invoice for that particular Order
CHECK THE INVOICE:The Invoice created can be seen using the
Receivables responsibilityReceivables Super User>
Transactions> TransactionsQuery with the Order Number as
Reference
Affected Tables:RA_CUSTOMER_TRX_ALL will have the Invoice header
information. The column INTERFACE_HEADER_ATTRIBUTE1 will have the
Order Number.RA_CUSTOMER_TRX_LINES_ALL will have the Invoice lines
information. The column INTERFACE_LINE_ATTRIBUTE1 will have the
Order Number.CREATE RECEIPT:RECEIVABLES> RECEIPTS>
RECEIPTS
Click Apply to apply this to an invoice and then select the
invoice in next screen and then apply.
Tables affected:AR_CASH_RECEIPTS_ALLTRANSFER TO GENERAL
LEDGER:To transfer the Receivables accounting information to
general ledger, run General Ledger Transfer ProgramReceivables>
View RequestsParameters: Give in the Start date and Post through
date to specify the date range of the transactions to be
transferred. Specify the GL Posted Date, defaults to SYSDATE. Post
in summary: This controls how Receivables creates journal entries
for your transactions in the interface table. If you select No,
then the General Ledger Interface program creates at least one
journal entry in the interface table for each transaction in your
posting submission. If you select Yes, then the program creates one
journal entry for each general ledger account. If the Parameter Run
Journal Import is set to Yes, the journal import program is kicked
off automatically which transfers journal entries from the
interface table to General Ledger, otherwise follow the
topicJournal Importto import the journals to General Ledger
manually.
Tables Affected:GL_INTERFACEJOURNAL IMPORT:To transfer the data
from General Ledger Interface table to General Ledger, run the
Journal Import program from Oracle General Ledger.General Ledger
> Journal> Import> RunParameters: Select the appropriate
Source. Enter one of the following Selection Criteria:No Group ID:
To import all data for that source that has no group ID. Use this
option if you specified a NULL group ID for this source.All Group
IDs: To import all data for that source that has a group ID. Use
this option to import multiple journal batches for the same source
with varying group IDs.Specific Group ID: To import data for a
specific source/group ID combination. Choose a specific group ID
from the List of Values for the Specific Value field.If you do not
specify a Group ID, General Ledger imports all data from the
specified journal entry source, where the Group_ID is null. Define
the Journal Import Run Options (optional)Choose Post Errors to
Suspense if you have suspense posting enabled for your set of books
to post the difference resulting from any unbalanced journals to
your suspense account.Choose Create Summary Journals to have
journal import create the following: one journal line for all
transactions that share the same account, period, and currency and
that has a debit balance One journal line for all transactions that
share the same account, period, and currency and that has a credit
balance. Enter a Date Range to have General Ledger import only
journals with accounting dates in that range. If you do not specify
a date range, General Ledger imports all journals data. Choose
whether to Import Descriptive Flexfields, and whether to import
them with validation.Click on Import button
Affected tablesGL_JE_BATCHES, GL_JE_HEADERS,
GL_JE_LINESPOSTING:We have to Post journal batches that we have
imported previously to update the account balances in General
LedgerGeneral Ledger> Journals > Enter
Click FindFrom the list of unposted journals displayed, select
one journal at a time and click on Post button to post the
journal.
If you know the batch name to be posted you can directly post
using the Post window
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