Terms used in the conventional Inventory system and as referred in Oracle Inventory may be different. A brief explanation of the ‘Oracle Inventory’ term’s vis-à-vis the existing terminology is provided the following paragraphs. These terms are extensively used in documenting the ‘Inventory - To Be’ flows and it is recommended that the various users of this system get acquainted with the same.
Item Validation Organization: The organization that contains your master list of items. You define it by setting the OE: Item Validation Organization profile option.
Logical organization: A business unit that tracks items for accounting purposes but does not physically exist.
Organization: A business unit such as a plant, warehouse, division, department, and so on. Order Management refers to organizations as warehouses on all Order Management windows and reports.
Destination organization: An inventory organization that receives item shipments from a given Organization.
Workday calendar: A calendar that identifies available workdays for one or more organizations. Master Scheduling/MRP, Inventory, Work in Process, and Capacity plan and schedule activities based on a calendar’s available workdays.
Workday exception set: An entity that defines mutually exclusive sets of workday exceptions. For each organization, you can specify a workday calendar and exception set.
Primary unit of measure: The stocking unit of measure for an item in a particular organization.
Unit of measure: The unit that the quantity of an item is expressed.
Unit of measure class: A group of units of measure and their corresponding base unit of measure. The standard unit classes are Length, Weight, Volume, Area, Time, and Pack.
Unit of measure conversions: Numerical factors that enable you to perform transactions in units other than the primary unit of the item being transacted.
Category: Code used to group items with similar characteristics, such as plastics, metals, or glass items.
Category set A feature in Inventory where users may define their own group of categories. Typical category sets include purchasing, materials, costing, and planning.
Purchased item: An item that you buy and receive. If an item is also an inventory item, you may also be able to stock it.
Standard item: Any item that can have a bill or be a component on a bill except planning items, option classes, or models. Standard items include purchased items, subassemblies, and finished products.
Substitute item: An item that can be used in place of a component. Master Scheduling/MRP suggests substitutes items on some reports.
Inventory item: Items you stock in inventory. You control inventory for inventory items by quantity and value. Typically, the inventory item remains an asset until you consume it. You recognize the cost of an inventory item as an expense when you consume it or sell it. You generally value the inventory for an item by multiplying the item standard cost by the quantity on hand.
Item attribute control level: To maintain item attributes at the item master attribute level or the Organization specific level by defining item attribute control consistent with your company policies. For example, if your company determines serial number control at headquarters regardless of where items are used, you define and maintain serial number attribute control at the item master level. If each organization maintains serial number control locally, they maintain those attributes at the organization specific level.
Item attributes: Specific characteristics of an item, such as order cost, item status, revision control, COGS account, etc.
Item master level attribute: An item attribute you control at the item master level as opposed to controlling at the organization level.
Item status: Code used to control the transaction activity of an item.
Deletion constraint: A business rule that restricts the entities you can delete. A deletion constraint is a test that must succeed before an item, bill, or routing can be deleted.
Current on–hand quantity: Total quantity of the item on–hand before a transaction is processed.
On–hand quantity: The physical quantity of an item existing in inventory.
Subinventory: Subdivision of an organization, representing either a physical area or a logical grouping of items, such as a storeroom or receiving dock.
Locator: Physical area within a subinventory where you store material, such as a row, aisle, bin, or shelf.
Locator control: An Oracle manufacturing technique for enforcing use of locators during a material transaction.
Revision A particular version of an item, bill of material, or routing.
Revision control: An inventory control option that tracks inventory by item revision and forces you to specify a revision for each material transaction.
Lot: A specific batch of an item identified by a number.
Lot control: An Oracle Manufacturing technique for enforcing use of lot numbers during material transactions thus enabling the tracking of batches of items throughout their movement in and out of inventory.
Serial number: A number assigned to each unit of an item and used to track the item.
Serial numbers control: A manufacturing technique for enforcing use of serial numbers during a material transaction.
Min–max planning: An inventory planning method used to determine when and how much to order based on a fixed user–entered minimum and maximum inventory levels.
Reorder point planning: An inventory planning method used to determine when and how much to order based on customer service level, safety stock, carrying cost, order setup cost, lead time and average demand.
Safety stock: Quantity of stock planned to have in inventory to protect against fluctuations in demand and/or supply.
ABC classification: A method of classifying items in decreasing order of importance, such as annual dollar volume or your company’s transaction history.
Cycle counting: An inventory accuracy analysis technique where inventory is counted on a cyclic schedule rather than once a year.
Physicals inventory: A periodic reconciliation of item counts with system on–hand quantities.
Account alias: An easily recognized name or label representing an account charged on miscellaneous transactions. You may view, report, and reserve against an account alias.
Inter–organization transfer: Transfer of items from one inventory organization to another You can have freight charges and transfer credits associated with inter–organization transfer. You can choose to ship items directly or have them go through intransit inventory.
Material transaction: Transfer between, issue from, receipt to, or adjustment to an inventory organization, subinventory, or locator. Receipt of completed assemblies into inventory from a job or repetitive schedule. Issue of component items from inventory to work in process.
Transaction cost: The cost per unit at which the transaction quantity is valued.
Transaction interface: An open interface table through which you can import transactions.
Transaction manager: A concurrent program that controls your manufacturing transactions.
Receipt: A shipment from one supplier that can include many items ordered on many purchase orders.
Return to supplier: A transaction that allows you to return to the supplier items from a fully or partially received purchase order and receive credit for them.
Supplier: Provider of goods or services.
Accounting period: The fiscal period a company uses to report financial results, such as a calendar month or fiscal period.
Average costing: A costing method which can be used to cost transactions in both inventory only and manufacturing (inventory and work in process) environments. As you perform transactions, the system uses the transaction price or cost and automatically recalculates the average unit cost of your items.
Standard costing: A costing method where a predetermined standard cost is used for charging material, resource, overhead, period close, job close, and cost update transactions and valuing inventory. Any deviation in actual costs from the predetermined standard is recorded as a variance.
Day 1
- Define Location
Set up and name a location for your organization
Navigation: Inventory > Setup > Organizations > Locations
Screen: Locations
| Field Name | Remarks |
| Name | TXX-LOCATION |
| Description | TXX Location |
| Stay on Address Details Tab | |
| Address Style | United States |
| Address | Location Address window opens.. |
| Address Line 1 | 123 MAIN STREET |
| Address Line 2 | |
| Address Line 3 | |
| City | Select: Atlanta |
| State | GA |
| Zip Code | 30010 |
| County | Select: Fulton |
| Country | Select: United States |
| Telephone | |
| Click on OK.
Go to Shipping Details Tab
| |
| Ship-to Location | TXX-LOCATION |
| Ship-to Site | Check the box |
| Bill-to Site | Check the box |
| Office Site | Check the box |
| Internal Site | Check the box |
| Receiving Site | Check the box |
Click on the Save icon.
- Define Organization
Set up and name your organization for your team
Navigation: Inventory > Setup > Organizations > Organizations > Click on “New”
Screen: Organization
| Field Name | Remarks |
| Name | TXX-ORG |
| Type | Plant |
| Field Name | Remarks |
| Dates From | Use the Default |
| Dates To | Leave Blank |
| Location | TXX-LOCATION |
| Internal or External | Internal |
| Location Address | Use the Default |
| Internal Address | Leave Blank |
| Click on the Save icon. | |
| Organization Classifications | |
| Name | Inventory Organization ( Enter or Choose from the LOV) |
| Enabled | Click the Check Box |
| Click on the Save icon. | |
| With cursor in Name
Click on Others button
| |
| Select Accounting Information | |
| Click on OK then press tab | |
| Accounting Information | |
| Set of Books | Vision Operations (USA) |
| Legal Entity | Vision Operations |
| Operating Unit | Vision Operations |
| Click on OK
Click on OK
| |
| Click on Save icon | |
| Click on Others button | |
| Select Inventory Information | |
| Stay on the Inventory Parameters tab |
| Field Name | Remarks |
| Organization Code | TXX |
| Master Organization | Vision Operations |
| Calendar | TXX-CAL |
| Process Enabled | Do not check the box |
| Demand Class | |
| Move Order Timeout Period | 60 |
| Move Order Timeout Action | Approve Automatically |
| Allow Negative Balances | Check the Box |
| Locator Control | Determined at Sub Inventory level |
| Go to Costing Information Tab | |
| Costing Information | |
| Costing Organization | Display - Cannot be changed |
| Costing Method | Average |
| Rates Cost Type | |
| Transfer to GL | Summary |
| Reverse Encumbrance | Do not check the box |
| Default Material Sub-Element | |
| Valuation Accounts | |
| Material | 01-000-1410-0000-000 |
| Outside Processing | 01-000-1450-0000-000 |
| Material Overhead | 01-000-1420-0000-000 |
| Overhead | 01-000-1430-0000-000 |
| Resource | 01-000-1440-0000-000 |
| Expense | 01-520-7530-0000-000 |
| Go to Revision, Lot, Serial tab | |
| Starting Revision | A |
| Lot Control: Uniqueness | Across items |
| Lot Control: Generation | At item level |
| Zero Pad Suffix | Do not check the box |
| Lot Control: Prefix | LOT# |
| Lot Control: Total Length | 30 |
| Serial Control: Uniqueness | Within Inventory Items |
| Serial Control: Generation | At Organization Level |
| Serial Control: Prefix | SER# |
| Serial Control: Starting Number | 1000 |
| Go to ATP, Pick, Item Sourcing tab | |
| ATP, Pick, Item Sourcing | |
| ATP Defaults Rule | Total ATP, No DC |
| Picking Defaults Rule | RevSub |
| Picking Defaults: Subinventory Order | |
| Picking Defaults: Locator Order | |
| Item Sourcing Detail: Type | Supplier |
| Item Sourcing Detail: Org | |
| Item Sourcing Detail: Subinv | |
| Go to Inter-org Information tab | |
| Inter-org Information | |
| Inter-org Transfer Charge | Check the radio button “Predefined Percent” |
| Predefined Percent | 10 |
| Inter-org Transfer Accounts | |
| Transfer Credit | 01-520-5290-0000-000 |
| Purchase Price Variance | 01-520-5210-0000-000 |
| Receivable | 01-000-1810-0000-000 |
| Payable | 01-520-2370-0000-000 |
| Intransit Inventory | 01-000-1460-0000-000 |
| Go to Other Accounts Tab | |
| Other Accounts | |
| Invoice Price Variance | 01-520-5220-0000-000 |
| Accounts Payable Accrual | 01-000-2220-0000-000 |
| Encumbrance | |
| Profit and Loss Accounts | |
| Sales | 01-520-4110-0000-000 |
| Cost of Goods Sold | 01-520-5110-0000-000 |
- Click on the Save icon
- Close the window
- Click on the Others Button
- Select Receiving Information
| Field Name | Remarks |
| Receipt Date: | |
| Days Early | 5 |
| Days Late | 5 |
| Action | Warning |
| Over Receipt Controls: | |
| Tolerance | 5 |
| Action | Warning |
| Miscellaneous: | |
| Allow Substitute Receipts | Check the Box |
| Allow Unordered Receipts | Check the Box |
| Allow Express Transactions | Check the Box |
| Allow Cascade Transactions | Check the Box |
| Allow Blind Receiving | Do not check the Box |
| Receipt Routing | Standard Receipt |
| Enforce Ship-To | Warning |
| ASN Control Action | Warning |
| Receipt Number Options: | |
| Action | Automatic |
| Type | Numeric |
| Next Receipt Number | 1001 |
| Receiving Inventory Account | 01-000-1410-0000-000 |
| Click on the Save icon | |
| Close the Receiving Options Window | |
| Close the Organizations window. |
- Attach Organization at Location Definition
Tie the Location to the Organization
Navigation: Inventory > Setup > Organizations > Locations
Screen: Location
Steps:
| Field Name | Remarks |
| Enter Query (F11) | |
| Location | Enter “TXX-LOCATION” |
| Execute Query (CTRL F11) | |
| Go to Other Details tab | |
| Inventory Organization | TXX ( Enter or Pick the value from LOV) |
| Click on Save icon |
- Define Subinventories
You define one or more subinventories for each inventory organization. A Subinventory is a physical or logical grouping of your inventory, such as raw material, finished goods, defective material, or a freezer compartment.
Navigation: Inventory > Setup > Organizations > Subinventories Choose Organization (M1)
Screen: Subinventories (M1)
Define two Sub inventories named TXX-STORES and TXX-SHOP
| Field Name | Remarks |
| Inventory > Setup > Organizations > Subinventories | |
| Choose Organization “M1” from the List of values if asked. | |
| Click on New | |
| Name | TXX-STORES |
| Description | TXX Stores |
| Quantity Tracked | Check the Box |
| Asset Subinventory | Check the Box |
| Depreciable | Check the Box |
| Include in ATP | Check the Box |
| Allow Reservation | Check the Box |
| Nettable | Check the Box |
| Locator Control | Item Level |
| Picking Order | |
| Inactive On | |
| Click on Save icon |
| Field Name | Remarks |
| Inventory > Setup > Organizations > Subinventories | |
| Choose Organization “M1” from the List of values if asked. | |
| Click on New | |
| Name | TXX-SHOP |
| Description | TXX Shop Floor |
| Quantity Tracked | Check the Box |
| Asset Subinventory | Check the Box |
| Depreciable | Check the Box |
| Include in ATP | Check the Box |
| Allow Reservation | Do not check the Box |
| Nettable | Check the Box |
| Locator Control | None |
| Picking Order | |
| Inactive On | |
| Click on Save icon |
- Define Stock Locators
Locators are optional structures within subinventories. Locators may represent rows, aisles, or bins in warehouses. You can receive items directly into and ship items directly from locators.
Navigation: Inventory > Setup > Organizations > Stock Locators
Screen: Stock Locators
| Field Name | Remarks |
| Click on the New Button | |
| Click on the LOV | |
| Row | TXX First Row |
| Rack | TXX First Rack |
| Bin | TXX Fifth Bin |
| Project | Leave it blank |
| Task | Leave it blank |
| Description | TXX Stock Locator |
| Type | Pick the Value “Storage locator” from LOV |
| Status | Active |
| Subinventory | Choose from the LOV “TXX – Stores” |
| Picking order | Leave it blank |
| Inactive On | Leave it blank |
| Click on Save icon | |
- Define and update unit of measure classes
You are on the implementation team to set up the UOM classes and conversions for the new Oracle software. Use your unique identifier T(XX) to set up your UOM classes and save your entries.
Use your unique identifier to set up multiple UOMs for your classes. Set up UOMs for Dozen, Gross, and Case and save your entries.
Create standard conversions for your UOM in multiples of dozen, gross, and case. Also create an inter-class conversion.
Navigation: Inventory > Setup > Unit of Measures > Classes
Screen: Unit of Measure classes
Note: Be sure to add a new row by clicking on the New icon
| Field Name | Remarks |
| Name | TXX-QTY |
| Description | TXX Quantity Class |
| Base Unit of Measure | TXX-EACH |
| UOM | EXX |
| Inactive Date | Leave it blank |
| Click on Save icon |
- Define Units of Measure
Define and update units of measure used for tracking, issuing, receiving and storing inventory items.
Navigation: Inventory > Setup > Unit of Measures > Unit of Measures
Screen: Unit of Measures
Note: Scroll down the screen to find the UOM Name TXX-EACH. This was created automatically when your class was defined as above in sub heading no 6.
| Field Name | Remarks |
| Click on New Icon | |
| Name | TXX-Dozen |
| UOM | DXX |
| Description | TXX DOZEN UOM |
| Base Unit | NO |
| Class | TXX-QTY |
| Inactive Date | |
| Click on the Save icon
Click on the New icon
| |
| Name | TXX-GROSS |
| UOM | GXX |
| Description | TXX-GROSS UOM |
| Base Unit | Do not check the box |
| Class | TXX-QTY |
| Inactive Date | |
| Click on the Save icon
Click on the New icon
| |
| Name | TXX-CASE |
| UOM | CXX |
| Description | TXX-CASE UOM |
| Base Unit | Do not check the box |
| Class | TXX-QTY |
| Inactive Date | |
| Click on the Save icon |
- Define Unit of Measure Conversions
Define and update the conversions between the base unit of measure and other units of measure within a class.
Navigation: Inventory > Setup > Unit of Measures > Conversions
Screen: Unit of Measure Conversions
| Field Name | Remarks |
| Stay on the Standard tab | |
| Click on New Icon | |
| Unit | TXX-DOZEN |
| Class | TXX-QTY |
| Conversion | 12 |
| Base Unit | TXX-EACH |
| Inactive Date | |
| Click on the Save icon
Click on the New icon
| |
| Unit | TXX-GROSS |
| Class | TXX-QTY |
| Conversion | 144 |
| Base Unit | TXX-EACH |
| Inactive Date | |
| Click on the Save icon
Click on the New icon
| |
| Unit | TXX-CASE |
| Class | TXX-QTY |
| Conversion | 24 |
| Base Unit | TXX-EACH |
| Inactive Date | |
| Click on the Save icon
Go to Inter-class tab
Click on New icon
| |
| Item | AS18947 |
| Base Unit | TXX-EACH |
| Class | TXX-QTY |
| Conversion | 2 |
| Base Unit | EACH |
| Class | QUANTITY |
| Click on the Save icon |
- Define Inter-Organization Shipping Networks
Inter-organization shipping network information describes the relationships and accounting information that exists between a shipping (from) organization that ships inventory to a destination (to) organization.
Navigation: Inventory > Setup > Organizations > Shipping Networks
Screen: Shipping Networks
| Field Name | Remark |
| Click on the Find Button | |
| Stay on the Main Tab | |
| Organization from | M1 |
| Organization to | TXX |
| Transfer Type | Intransit |
| FOB | Choose Receipt |
| Elemental Visibility enabled | Do not check the box |
| Receipt Routing | Standard |
| Internal Order required | Do not check the box |
| Manual receipt at Expense destination | Do not check the box |
| Click on the Save icon | |
| Click on the Transfer, Distance Tab | |
| Transfer Charge Type | Predefined
Defaults from Organization Parameters ( You can change this value from LOV;s)
|
| % | Defaults from Organization ( Or enter a percentage value) |
| Click on Primary Accounts Tab | |
| Check whether all accounts have defaulted from Organization parameters | |
| Click on Secondary Accounts Tab | |
| Check whether all accounts have defaulted from Organization parameters | |
| Click on Intransit Account Tab | |
| Check whether all accounts have defaulted from Organization parameters | |
| Click on Save icon |
- Define Items
Navigation: Inventory > Items > Master Items
Screen: Master Items (V1)
A. Define items by copying from Item templates
| Field Name | Remark |
| Item | TXX-10001000 |
| Description | TXX Purchased Item |
| Stay on Main Tab | |
| Unit of Measure: Primary | Use default “Each” |
| User Item type | Keep the cursor on User Item Type and click on Tools Menu |
| Click on Copy From | |
| Template | Choose @Purchased Item from LOV |
| Click on Apply and Done | |
| User Item type | Shows now as “Purchased Item” |
| Click on Save icon | |
| Click on all tabs and review the attributes | |
B. Define items by copying from existing item.
| Field Name | Remark |
| Item | TXX-10001001 |
| Description | TXX Purchased Item |
| Stay on Main Tab | |
| Unit of Measure: Primary | Use default “Each” |
| User Item type | Keep the cursor on User Item Type and click on Tools Menu |
| Click on Copy From | |
| Item | Choose TXX-10001000 from LOV |
| Click on Apply and Done | |
| User Item type | Shows now as “Purchased Item” |
| Click on Save icon | |
| Click on all tabs and review the attributes |
C. Assign items to Child Organizations.
| Field Name | Remark |
| click on Tools Menu while staying on item TXX-10001001 | |
| Click on Organization Assignment | |
| Assigned | Check the box against organization “M1” |
| Check the box against organization “TXX” | |
| Click on Save icon | |
| Repeat the same steps for item “TXX-10001000” and assign M1 and TXX |
D. Review Categories assigned to items.
| Field Name | Remark |
| click on Tools Menu while staying on item TXX-10001000 | |
| Click on Categories | |
| Item | TXX-10001000 |
| Category Set | Purchasing |
| Control Level | Master |
| Category | Default “MISC.MISC” |
| Click on LOV to select values for Item category and Commodity, if item belongs to different category | |
| Category Set | Inventory |
| Control Level | Org |
| Category | Default “NEW.MISC” |
| Click on LOV to select values for Family and Class, if item belongs to different category | |
| Click on Save icon | |
| Repeat the same steps for item “TXX-10001001” and Review Categories assignment. |
Day 2
- Define Category Codes
You can define an unlimited number of categories and group subsets of your categories into category sets. A category can belong to multiple category sets. You can assign a category to a category set either at the time you define a category set or at the time you assign an item to the category.
A category is a logical classification of your items.
Step 1: Enter the new values for “Family” and “Class” Key Segments
Navigation: Inventory > Setup > Flexfields > Key > Values
Screen: Find Key Flexfield segment
| Region | Field Name | Values |
| Find Values By | ||
| Key Flexfield | Check the box | |
| Application | Oracle Inventory | |
| Title | Item Categories | |
| Structure | Item Categories | |
| Segment | Choose “Family” | |
| Click on the Find Button | ||
| Screen Segment Values | Stay on the Values, Effective Tab | |
| Click on New icon | ||
| Value | Enter “TXX LAPTOP” | |
| Translated value | Use the default | |
| Description | Laptop | |
| Click on the Save icon |
Navigation: Inventory > Setup > Flexfields > Key > Values
Screen: Find Key Flexfield segment
| Region | Field Name | Values |
| Find Values By | ||
| Key Flexfield | Check the box | |
| Application | Oracle Inventory | |
| Title | Item Categories | |
| Structure | Item Categories | |
| Segment | Choose “Class” | |
| Independent Value | Choose “LAPTOP” | |
| Click on Find Button | ||
| Screen Segment Values | Stay on the Values, Effective Tab | |
| Click on New icon | ||
| Value | Enter “TXX DELL” | |
| Translated value | Use the default | |
| Description | Dell | |
| Click on the Save icon | ||
| Close the window. |
Step 2: Create the Category Codes with new values defined above
Navigation: Inventory > Setup > Item > Categories > Category Codes
Screen: Categories
Click on new Button
| Structure Name | Category | Description | Inactive on |
| Choose “Item Categories” from LOV | TXX LAPTOP.TXX DELL | Dell Laptop |
Click on Save icon and close the Window.
- Category Set
A category set is a set or group of categories.
Each functional area viz. Purchasing, Inventory, Costing, Order entry can have a separate default Category set.
You can use categories and category sets to group items for various reports and programs.
Navigation: Setup > Items > Categories > Category Sets
Screen: Category Sets
| Field Name | Values |
| Click on (M) View , select “Query by example” and Enter | |
| Name | Enter “Inv.Items” |
| Click on (M) View , select “Query by example” and Run | |
| “Inv.Items” Category Set displays | |
| Name | Inv.Items |
| Description | Inventory Category Set |
| Flex Structure | Item Categories |
| Controlled At | Org Level |
| Default Category | NEW.MISC |
| Enforce Valid Category | Yes |
| List of Valid Category | Enter Below values which are created by you in above session |
| Click on New icon | |
| TXX LAPTOP.TXX DELL | |
| Click on Save icon |
- Define Items and Assign Newly Defined Categories
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001004 |
| Description | Dell laptop – Category Assignment |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Save your work. (Ctrl + S)
Go to (M) Tools > Categories
Screen: Category Assignment Screen
| Category Set | Category |
| Inv.Items | The default is NEW.MISC Select your category “TXX LAPTOP.TXX DELL” |
- Locator Controlled Items
Step 1: Define a new item with Locator control enabled as “Prespecified”
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001008 |
| Description | Purchased Item – Locator Controlled |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Enter the Following:
| Region | Field Name | Values |
| Main | ||
| Use Item Type | Purchased Item | |
| Item Status | Active | |
| Conversions - Both | Yes | |
| Inventory | ||
| Locator Control | Choose “Prespecified” | |
| Purchasing | List Price | 10 |
Save your work. (Ctrl + S)
Go to (M) Tools > Organization Assignment
Screen: Organization Assignment
Assign Item: TXX-10001008 to M1, M2 and TXX Organization
Click on Save icon
Step 2: Perform a Miscellaneous Transaction with the item defined above
Navigation: Inventory > Transactions > Miscellaneous Transaction (Choose M1 Org)
Screen: Miscellaneous Transaction (M1)
Before performing a miscellaneous transaction, please check whether your accounting periods for M1 organization are open
Navigation: Inventory > Accounting Close Cycle > Inventory Accounting periods (Check whether Period in which you are transacting is open)
Screen: Miscellaneous Transaction (M1)
| Region | Field Name | Values |
| Transaction | ||
| Date | Defaults to Today’s date | |
| Type | Choose “Miscellaneous Receipt” | |
| Source | Leave Blank | |
| Account | Leave Blank | |
| Transaction lines | Click on Transaction Lines Button | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| Locator | 1.1.1 | |
| Quantity | 100 | |
| Account | 01-580-7740-0000-000 | |
| Click on Save icon | ||
| Close the windows. |
Step 3: View the On Hand Quantity
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M1 Organization
| Region | Field Name | Values |
| Organization | M1 | |
| Item | TXX-10001008 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M1 | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| UOM | Ea | |
| Locator | 1.1.1.. | |
| On-Hand Qty | 100 | |
| Close the Window. |
- Lot Controlled Items
Step 1: Define a new item with Lot control enabled
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001010 |
| Description | Purchased Item Lot Controlled |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Enter the Following:
| Region | Field Name | Values |
| Inventory | ||
| Lot Control | Choose “Full Control” | |
| Lot Starting Prefix | LOT | |
| Lot Starting Number | 001 | |
| Purchasing | List Price | 10 |
Save your work. (Ctrl + S)
Go to (M) Tools > Organization Assignment
Screen: Organization Assignment
Assign Item: TXX-10001010 to M1 and TXX Organization
Click on Save icon
Step 2: Perform a Miscellaneous Transaction with the item defined above
Navigation: Inventory > Transactions > Miscellaneous Transaction (Choose M1 Org)
Screen: Miscellaneous Transaction (M1)
| Region | Field Name | Values |
| Transaction | ||
| Date | Defaults to Today’s date | |
| Type | Choose “Miscellaneous Receipt” | |
| Source | Leave Blank | |
| Account | Leave Blank | |
| Transaction lines | Click on Transaction Lines Button | |
| Item | TXX-10001010 | |
| Subinventory | Stores | |
| Quantity | 100 | |
| UOM | Ea | |
| Lot | Leave Blank | |
| Account | 01-580-7740-0000-000 | |
| Click on Lot / Serial Button | ||
| Screen: Lot Entry (M1) | Click on “Generate” Button | |
| Lot | Lot number displays as per the Parameters set up in Org.
“ Sxxxxx” or “LOTxxx”
| |
| Qty | 100 | |
| Click on Done button | ||
| Click on Save icon | ||
| Close the windows. |
Step 3: View the On Hand Quantity
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M1 Organization
| Region | Field Name | Values |
| Organization | M1 | |
| Item | TXX-10001010 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M1 | |
| Item | TXX-10001010 | |
| Subinventory | Stores | |
| UOM | Ea | |
| On-Hand Qty | 100 | |
| Click on Lot / Serial Button | ||
| Lot On-Hand Quantities (M1) – TXX-10001010 Screen Appears | Observe the below: | |
| Lot | Sxxxx | |
| Qty | 100 | |
| Close the Windows. |
Day 3
- Miscellaneous Transactions
With a miscellaneous transaction you can issue material to or receive material from general ledger accounts in your current organization. This allows you to issue material to groups that are not inventory, receiving, or work in process such as a research and development group or an accounting department. You can also make manual adjustments to the general ledger by receiving material from one account to inventory, and then issuing that material from inventory to another account.
You can use your user-defined transaction types and sources to further classify and name your transactions. You can use this feature to issue items to individuals, departments, or projects; or to issue damaged items to expense accounts such as scrap. You can perform the receipts for items that were acquired by means other than a purchase order from a supplier. You can also use this feature to load all item on-hand quantities when you start implementing Oracle Inventory.
Step 1: Perform Miscellaneous Issue item TXX-10001008 whose current on Hand qty is 100
Navigation: Inventory > Transactions > Miscellaneous Transaction (Choose M1 Org)
Screen: Miscellaneous Transaction (M1)
| Region | Field Name | Values |
| Transaction | ||
| Date | Defaults to Today’s date | |
| Type | Choose “Miscellaneous Issue” | |
| Source | Leave Blank | |
| Account | Leave Blank | |
| Transaction lines | Click on Transaction Lines Button | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| Locator | 1.1.1 | |
| Quantity | 40 | |
| Account | 01-580-7740-0000-000 | |
| Click on Save icon | ||
| Close the windows. |
Step 2: View the On Hand Quantity
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M1 Organization
| Region | Field Name | Values |
| Organization | M1 | |
| Item | TXX-10001008 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M1 | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| UOM | Ea | |
| Locator | 1.1.1.. | |
| On-Hand Qty | 60 (Depleted to 60 from earlier on Hand 100) | |
| Close the Window. |
- Sub Inventory Transfers
You can transfer material within your current organization between subinventories, or between two locators within the same subinventory. You can transfer from asset to expense subinventories, as well as from tracked to non-tracked subinventories. If an item has a restricted list of subinventories, you can only transfer material from and to subinventories in that list. Oracle Inventory allows you to use user-defined transaction types when performing a subinventory transfer.
Step 1: Perform a Sub Inventory Transaction item TXX-10001008
Navigation: Inventory > Transactions > Sub Inventory Transfer (Choose M1 Org)
Screen: Subinventory Transfer (M1)
| Region | Field Name | Values |
| Transaction | ||
| Date | Defaults to Today’s date | |
| Type | Choose “Subinventory Transfer” | |
| Source | Leave Blank | |
| Account | Leave Blank | |
| Transaction lines | Click on Transaction Lines Button | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| Locator | 1.1.1.. | |
| Quantity | 25 | |
| To Subinv | FGI | |
| Click on Done button | ||
| Click on Save icon | ||
| Close the windows. |
Step 2: View the On Hand Quantity
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M1 Organization
| Region | Field Name | Values |
| Organization | M1 | |
| Item | TXX-10001008 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M1 | |
| Item | TXX-10001008 | |
| Subinventory | Stores | |
| UOM | Ea | |
| On-Hand Qty | 35 |
- Inter organization Transfers
You can transfer material from your current organization to another organization, or from your current organization to intransit inventory.
To enable inter org transfers, prerequisites is to define Shipping networks and it is defined in our earlier session.
Navigation: Inventory > Transactions > Inter-Organization Transfer (Choose M1 Org)
Screen: Inter-Organization Transfer (M1)
Step 1: Perform Direct Inter Org Transfer with item TXX-10001008
Enter the Following:
| Region | Field Name | Values |
| Transaction | ||
| Date | Today’s Date defaults | |
| To Org | Choose M2 from the LOV | |
| Type | “Direct Org Transfer” Defaults from Shipping Network | |
| Shipment | ||
| Type | “Do not use in-transit inventory” defaults | |
| Number | ||
| Freight | DHL | |
| Waybill/Airbill | TXX123 | |
| Containers | ||
| Click on Transaction Lines | ||
| Direct Org Transfer (M1) screen Appears | ||
| Item | TXX-10001008 | |
| Sub Inventory | Stores | |
| Locator | 1.1.1.. | |
| To Sub Inv | Stores | |
| UOM | Ea | |
| Quantity | 25 | |
| Percent of Transaction value | 7 ( defaults from Shipping network) | |
| Account | 01-520-7220-0000-000 ( defaults from Shipping network) | |
| Click on Save icon | ||
| Close the Windows. |
Step 2: Change the Organization to (M2)
Navigation: Inventory > Change Organization (Choose M2 Organization from List of values)
Step 3: View the On Hand Quantity for TXX-10001009
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M2 Organization
| Region | Field Name | Values |
| Organization | M2 | |
| Item | TXX-10001009 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M2 | |
| Item | TXX-10001009 | |
| Subinventory | Stores | |
| UOM | Ea | |
| On-Hand Qty | 25 | |
| Close the Windows. |
- Move Orders
- Move orders are requests for the movement of material within a single organization.
- Manage all material requisition and request processes within an organization by manually or automatically creating, approving, and transacting a move order.
- Used for movement of material within a warehouse or facility for purposes like replenishment, material storage relocations, and quality handling.
Step 1: Define a new item for Move Orders Cycle testing
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001013 |
| Description | Purchased Item Move order |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Enter the Following:
| Region | Field Name | Values |
| Main | ||
| Use Item Type | Purchased Item | |
| Item Status | Active | |
| Conversions - Both | Yes | |
| Inventory | ||
| Locator Control | Choose “Dynamic Entry” | |
| Purchasing | List Price | 10 |
Save your work. (Ctrl + S)
Go to (M) Tools > Organization Assignment
Screen: Organization Assignment
Assign Item: TXX-10001013 to M1 and TXX Organization
Click on Save icon
Step 2: Review the time-out periods and time-out actions for move orders in organization M1. Verify that the time-out period is 0 for automatic approval
Navigation: Inventory > Setup > Organizations > Parameters
Screen: Organization parameters
| Field Name | Remarks |
| Stay on the Inventory Parameters tab | |
| Move Order Timeout Period | Enter “0” |
| Move Order Timeout Action | Approve Automatically |
| Click on Save icon and Close the window. |
Step 3: Create a miscellaneous receipt for 500 pieces of your item TXX-10001013 and receive them into two locators, 01.1.1 and 02.1.1.
Navigation: Inventory > Transactions > Miscellaneous Transaction (Choose M1 Org)
Screen: Miscellaneous Transaction (M1)
| Region | Field Name | Values |
| Transaction | ||
| Date | Defaults to Today’s date | |
| Type | Choose “Miscellaneous Receipt” | |
| Source | Leave Blank | |
| Account | Leave Blank | |
| Transaction lines | Click on Transaction Lines Button | |
| Item | TXX-10001013 | |
| Subinventory | FGI | |
| Locator | Enter “03.1.1” | |
| Quantity | 250 | |
| Account | 01-580-7740-0000-000 | |
| Tab to the Next Line | ||
| Item | TXX-10001013 | |
| Subinventory | FGI | |
| Locator | Enter “04.1.1” | |
| Quantity | 250 | |
| Account | 01-580-7740-0000-000 | |
| Click on Save icon | ||
| Close the windows. |
Step 4: View the On Hand Quantity
Navigation: Inventory > On Hand, Availability > On – Hand Quantity
Screen: Find On-Hand Quantities (M1)
Choose M1 Organization
| Region | Field Name | Values |
| Organization | M1 | |
| Item | TXX-10001013 | |
| Description | Defaults from item Master | |
| Display | ||
| Detailed | Check the Box | |
| Click on Find Button | ||
| Detailed On-Hand Quantities window opens | ||
| Observe the following details | ||
| Organization | M1 | |
| Item | TXX-10001013 | |
| Subinventory | FGI | |
| UOM | Ea | |
| Locator | 03.1.1.. | |
| On-Hand Qty | 250 | |
| Organization | M1 | |
| Item | TXX-10001013 | |
| Subinventory | FGI | |
| UOM | Ea | |
| Locator | 04.1.1.. | |
| On-Hand Qty | 250 |
Step 5: Create a move order for your item. Move 10 pieces from one of the FGI subinventory locators you received. Make a note of the move order number.
Navigation: Inventory > Move Orders > Move Orders
Screen: Move Orders (M1)
| Region | Field Name | Values |
| Number | Tab out of the Number field to have this automatically assigned. | |
| Description | TXX-10001013 | |
| Default | Tab through the Default section (this will give you more flexibility in the body of the transaction.)
Stay on Item tab
| |
| Line | 1 Defaults | |
| Item | TXX-10001013 | |
| UOM | Ea Defaults | |
| Transaction Type | NL Sub-inventory Transfer | |
| Date Required | Defaults to Today’s date | |
| Click on the Source tab | ||
| Subinventory | Choose “FGI” | |
| Locator | 03.1.1.. | |
| Click on the Destination tab | ||
| Subinventory | Choose “FloorStock” | |
| Approve your move order | Click on “Approve” Button | |
| Note your move order number. The transaction is committed by the Approve step | ||
Step 6: Find your move order number.
Navigation: Inventory > Move Orders > Transact Move Orders
Screen: Find Move Order Lines (M1)
- Enter your move order number on the Header tab and press Tab.
- Click Find.
Step 7: Allocate the line of the move order you created.
- Select the line of the move order you created. Click on View/Update Allocations button.
- Review the details of your move order
- Click on Transact button.
- Close the windows
Step 8: View the results to make sure your material moved
Navigation: Inventory > On-hand, Availability > On-hand Quantity
Screen: Find On-hand Quantities (M1)
1. Fill in your item TXX-10001013 and click on Find button
- Check your subinventories to see that the Quantities of items changed.
| Organization | Item | Subinventory | UOM | Locator | On-Hand Qty |
| M1 | TXX-10001013 | FGI | Ea | 03.1.1.. | 240 |
| M1 | TXX-10001013 | FGI | Ea | 04.1.1.. | 250 |
| M1 | TXX-10001013 | FloorStock | Ea | 10 | |
- ABC Analysis
Step1: Defining ABC Classes
You use ABC classes to identify the value groupings to which your items belong. You define these classes using your own terminology. For example, you might define classes High, Medium, Low, and later assign your items of highest rank to the High class, those of lower rank to the Medium class, and those of lowest rank to the Low class. You can add to the list of classes you have already defined
Attention: You must assign an ABC class to at least one ABC group.
You can use ABC classes to group items for a cycle count where you count "A" items more frequently than "B" items. When you use ABC classes in this way, you perform an ABC analysis and assign items to classes based on the results of that analysis.
Navigation: Inventory > ABC Codes > ABC Classes
Screen: ABC Classes (M1)
DO NOT TYPE OVER EXISTING DATA! Click on New icon
| Class name | Description | Inactive On |
| Enter “TXX-Class A” | Most Important Items | |
| Enter “TXX-Class B” | Medium Importance Items | |
| Enter “TXX-Class C” | Lower Importance Items |
Click on Save icon and Close the Window.
Step2: Defining and Running an ABC Compile
You can define and compile an ABC analysis for your entire organization or for a specific subinventory within your organization. You choose the compilation criterion, the scope of your analysis, the cost type to use in determining item values, and any additional information that may be conditionally necessary, based on your compilation criterion. The combination of all these parameters constitutes an ABC compile header, identified by the ABC compile name. You use this name to identify any activity pertaining to this ABC analysis.
Navigation: Inventory > ABC Codes > ABC Compiles
Screen: ABC Compiles (M1)
- Navigate to the ABC Compiles folder window and choose New. The Define ABC Compile window appears.
2. Enter a unique name for the ABC compile.
3. Determine the scope of the analysis by selecting the content level for items to include in the compile.
If you use the entire organization, Oracle Inventory includes all items defined for your current organization in the ABC compile, even those with zero cost or zero quantity. If you use a particular subinventory, Oracle Inventory includes all items for which you have defined an item/subinventory relationship.
Attention: You cannot compile an ABC analysis for a subinventory that is defined as a non-quantity tracked subinventory. You can, however, use non-asset (expense) subinventories for which you track quantities.
- Select the valuation scope for determining the ranking of items.
Ranking must be done at the Organization level if you did not select a subinventory in the Content Scope field.
If you only want to include items in a subinventory but you want the ranking to be done based on the organization wide ranking, select Organization.
- Select the compile criterion or method of ranking items in the ABC compile.
Oracle Inventory uses the compile criterion to value the items you include in your ABC compile. After determining each item's compile value, Oracle Inventory ranks all the items in your ABC compile.
- Enter a cost type.
You can select a value here only if you selected Current on-hand quantity, Current on-hand value, Forecasted usage quantity, Forecasted usage value, MRP demand usage quantity, or MRP demand usage value in the Criterion field. If you are compiling by quantity criterion, the cost type is used for reporting purposes only.
- Select an MRP forecast name.
You can select a value here only if you selected Forecasted usage quantity or Forecasted usage value in the Criterion field.
- Select an MRP plan name.
You can enter a value here only if you enter MRP demand usage quantity or MRP demand usage value in the Criterion field.
- Enter a start (from) date.
You must enter a value in this field if you choose an option other than Current on-hand quantity or Current on-hand value in the Criterion field.
- Enter an end (to) date.
You must enter a value in this field if you choose an option other than Current on-hand quantity or Current on-hand value in the Criterion field.
Click on New button.
| Region | Field | Values |
| Compile Name | Enter “TXX-Compile” | |
| Description | TXX-Compile | |
| Content Scope | Organization | |
| Subinventory | Check the Box | |
| Choose “Stores” | ||
| Valuation Scope | Organization | |
| Subinventory | Check the Box | |
| Compile Specification | ||
| Criterion | Choose “Current on hand quantity” | |
| Cost Type | Defaults to ‘Frozen” | |
| Click on Save icon | ||
| To run an ABC compile | Click on Compile button | |
| This submits a request to run the compile program | ||
Step3: To view ABC Compile results:
Navigation: Inventory > ABC Codes > ABC Compiles
Choose Open Button
Screen: Define ABC Compile (M1)
Go To View Menu, Query by Example and Select Enter
Enter Compile name: TXX-Compile
Go To View Menu, Query by Example and Select Run
TXX-Compile window appears
Go To Tools Menu, View Compile
Step4: Defining ABC Assignment Groups
ABC assignment groups associate ABC classes with an ABC compile. You assign items to ABC classes within a particular group. This allows you to assign items to different ABC classes in different groups.
Navigation: Inventory > ABC Codes > ABC Assignment Groups
Screen: ABC Assignment Groups (M1)
Click on New icon
| Group Name | Compile Name | Sub Inventory | Valuation Scope |
| Enter “TXX-AG-M1-Current-OH Qty” | Choose from LOV
“TXX-Compile”
| Stores defaults | Restricted to subinventory
defaults
|
Click on Save icon
Choose “Group Classes” Button
Step 5: To enter classes to use with an ABC group:
The ABC Group Class Assignments window appears.
| Priority | Class Name | Description |
| 1 | Choose “TXX-Class A” | Most Important Items Defaults |
| 2 | Choose “TXX-Class B” | Medium Importance Items |
| 3 | Choose “TXX-Class C” | Lower Importance Items |
| Click on Save icon
Click on “Assign Items” Button
|
Step 6: Defining ABC Item Assignments
You can assign and update ABC classes to an ABC assignment group where an ABC compile was also entered. From the ABC Descending Value Report you determine the cutoff points for assigning ABC classes. You can then use the classifications for other purposes such as determining how often you cycle count a given item.
Screen: Assign ABC Items (M1)
| Class | Seq | Remarks |
| TXX-Class A (defaults) | Enter “10” | Rest of the fields defaults after entering Seq |
| TXX-Class B (defaults) | Enter “30” | Rest of the fields defaults after entering Seq |
| TXX-Class C (defaults) | Defaults to last Item number | Rest of the fields defaults after entering Seq |
| Click on Save icon
Click on “Assign” Button. Concurrent Program runs.
|
Observe the following documentation on defining ABC assignments:
- Navigate to the Assign ABC Items window, or navigate to the ABC Assignment Groups window and choose the Assign Items button.
- Enter the ABC group for which to assign items to classes.
If you navigate from the ABC Assignment Groups window this field is already entered
The Compile Name, Subinventory, Number of Items, and Total Compile Value fields display information for the compile used by the ABC Group.
- Specify the cutoff point for each ABC class. Each ABC class must have at least one item assigned to it, and all items in the ABC compile must be assigned to an ABC class. You can use any of the following fields to determine the cutoff points:
Seq: You can enter the sequence number from the ABC Descending Value Report for the last item to be included in each ABC class. Oracle Inventory automatically calculates this value if you choose to assign classes by another method. Oracle Inventory displays the last sequence number as the default for the last class.
Inventory Value: You can enter the cumulative value from the ABC Descending Value Report for the last item to include in each ABC class. Oracle Inventory automatically calculates the maximum value. This maximum value is restricted to the total inventory value compiled and is displayed in the Total Compile Value field. Oracle Inventory displays the total inventory value as the default for the last class.
% Items: You can enter the percent of number of items compiled from the ABC Descending Value Report to include in each class. Oracle Inventory automatically calculates this value if you choose to assign classes by another method.
% Value: You can enter the percent of total compile value from the ABC Descending Value Report to include in each class. Oracle Inventory automatically calculates this value if you choose to assign classes by another method.
Attention: It is possible to have several items in the ABC compile with zero value. If any item with zero value is in a class other than the last class, you may only assign items using the sequence number or item percent.
4. Choose the Assign button to launch the concurrent request to assign the items to the classes in the ABC group.
Day 4
- Cycle Count
Cycle counting is a process used to periodically count selected items in the inventory to make sure that the actual inventory balances agree with the computer records. By setting up a cycle counting program, you can count practically all items in the inventory over a period of 12 months. This eliminates the need for an annual physical inventory, though some companies do both. In the Oracle Inventory application, the cycle counting process starts with assigning an ABC value to each item. Then you select the frequency of counts per year for each category of items. You want to count A class items more often than C class items.
Before creating a cycle count, you need to generate ABC codes and assign items to these ABC codes. Also, for items that you intend to cycle count, the Item attribute “Cycle Count Enabled” must be set to “Yes”
Defining and maintaining a Cycle Count
A combination of parameters constitutes a cycle count header, identified by the cycle count name. You use this name to identify any activity pertaining to this cycle count.
You can define and maintain an unlimited number of cycle counts in Oracle Inventory. For example, you can define separate cycle counts representing different sets of Subinventories in your warehouse.
Prerequisites
Define ABC classes.
Define your workday calendar.
When determining cycle count classes based on ABC analysis, you must compile an ABC analysis and assign your compiled items' ABC classes.
Items that you intend to cycle count, the Item attribute “Cycle Count Enabled” must be set to “Yes”
Step1: To define a new cycle count:
Navigation: Inventory > Counting > Cycle Counting > Cycle Counts
Choose (M1) Organization
Screen: Cycle Counts Summary (M1)
Choose New to open the Cycle Counts window.
Screen: Cycle Counts (M1)
| Region | Fields | Values |
| Name | TXX-Cycle Count | |
| Description | TXX-Cycle Count | |
| Calendar | Vision01 (Use the default for training purposes) | |
| Adjustment Account | 01-580-7740-0000-000 | |
| Stay on Scope and Control Tab | ||
| Count Controls | Inactive On | Leave it Blank |
| Late Days | Enter “1” | |
| Starting Seq | Enter “1” | |
| Unscheduled Entries | Check the Box. | |
| Display System Qty” | Check the Box. | |
| Count Sub Inventories | Select “Specific” | |
| SubInventory | Enter “Stores” | |
| Automatic Recounts | Check the Box | |
| Maximum | Enter 1 | |
| Click on Serial and Schedule Tab | ||
| Serial Control Option | ||
| Count | Use the default “Not Allowed” | |
| Detail | ||
| Adjustment | ||
| Discrepancy | ||
| Auto Schedule | ||
| Frequency | Choose “Daily”. Available values are Daily, weekly, Period | |
| Next Date | Choose date from the calendar. | |
| Click on Adjustments and ABC Tab | ||
| Approval | Required | Choose “If out of Tolerance” from LOV |
| Tolerances Qty Variances | Enter +10 and –10 %age | |
| ABC Initialization | Group | Choose “TXX-AG-M1-Current-OH Qty” from LOV |
| Click on Save icon | ||
| Choose the Classes button | ||
| Cycle Count Classes (M1) window opens | ||
| Classes | Name | Choose “TXX-Class A” from LOV |
| Counts per Year | 6 | |
| Click on the next line | ||
| Name | Choose “TXX-Class B” from LOV | |
| Counts per Year | 4 | |
| Click on the next line | ||
| Name | Choose “TXX-Class C” from LOV | |
| Counts per Year | 2 | |
| Close the Cycle Count Classes window | ||
| Click on Items Button | ||
| Cycle Count Items (M1) window opens | ||
| Items | Class Name | Choose TXX-Class A |
| Item | Choose 3 to 4 Items from LOV Items belonging to TXX-Class A. Items can be picked from ABC Compile report | |
| Class Name | Choose TXX-Class B | |
| Item | Choose 3 to 4 Items from LOV Items belonging to TXX-Class B. Items can be picked from ABC Compile report | |
| Class Name | Choose TXX-Class C | |
| Item | Choose 3 to 4 Items from LOV Items belonging to TXX-Class C. Items can be picked from ABC Compile report | |
| Click on Save icon | ||
| Close the Cycle Count Items (M1) window. | ||
| Stay on Cycle Counts (M1) Window | ||
| Click on the Tools Menu and choose Cycle Count scheduler | ||
| Cycle Count Scheduler Parameters window opens | Select the Include Control Group Items box and Click on OK Button. You will see a message notifying a concurrent program has been kicked off. Click on OK. | |
Manual Schedule Requests
Note: This is an optional Step.
Use this process to count any items associated with a cycle count at any time. For example, you may suspect the system quantity of an item is incorrect. Even if this is not the automatically scheduled time to count the item, you can still count it using a manual schedule request. All qualifiers are optional. You can enter a combination of qualifiers to perform the manual scheduling.
Navigation: Inventory > Counting > Cycle Counting > Manual Requests.
Screen: Manual Schedule Requests window:
| Region | Fields | Values |
| Cycle Count Name | TXX-Cycle Count | |
| Description | TXX-Cycle Count (Defaults) | |
| Click on Find Button | ||
| Schedule Requests | Item | Enter the item(s) to be counted. |
| Revision | Enter if required | |
| Subinventory | Enter the Subinventory of the item “Stores” | |
| Locator | Enter the locator of the item if required | |
| Lot | Enter the lot of the item if required | |
| Schedule Date | Enter the date of the count. The date must be today or greater | |
| Zero Count | Check to count even if the system quantity is zero | |
| Click on Save icon | ||
| Close the Manual Schedule Requests window |
Step2: Generating a Cycle Count Request and Printing the Count listing
Navigation: Inventory > Counting > Cycle Counting > Cycle Counts
Screen: Cycle Count window:
Query the Cycle Count Name “TXX-Cycle Count” and click on Open Button
Go To Tools Menu
Select Perform Full Cycle Count. It will kick off a concurrent request. Enter the below parameters for the requests.
Choose the Cycle Count name as TXX-Cycle Count for the request “Generate automatic schedule requests”
Choose the Cycle Count name as TXX-Cycle Count for the request “Generate cycle count requests”
Select the Cycle Count Listing Report. Cycle Count Listing Parameters window opens. Select the Start and End dates. Choose Stores as Sub Inventory. Check the Box for Display on Hand Quantities.
Select the Submit Request button to run the cycle. Submit a request. It kicks off a Concurrent Request. Click on OK
Step3: Enter Cycle Counts
Navigation: Inventory > Counting > Cycle Counting > Cycle Count Entries
Screen: Cycle Count Entries (M1) window:
| Region | Fields | Values |
| Cycle Count Name | Enter “TXX-Cycle Count” and Tab | |
| Description | TXX-Cycle Count (Defaults) | |
| Click on Find Button and a Decision window will open | ||
| Select the Yes button to find all open count requests and the Cycle Count Entries window will reopen. | ||
| Count Defaults section | Date | Will display the current date and time |
| Counted By | Smith, Mr. Jonathan “Defaults”
In Actual Scenario: Enter the name of the person who conducted the count
| |
| Adjustment Account | 01-580-7740-0000-000 | |
| Count Tab | Count Seq | Will display the count sequence in order of value |
| New Count | Is checked if this is a new count request | |
| Item | Will display the item number to be counted | |
| Rev | Will display the revision of the item if applicable | |
| Subinventory | Displays the subinventory if applicable | |
| Locator | Displays the locator code | |
| Lot | Displays the lot number | |
| Serial Number | Displays the serial number | |
| UOM | Displays the primary unit of measure for the item | |
| Quantity | Enter the quantity that you counted for your item | |
| In the Count Reference tab: | ||
| Count Seq | Remains the count sequence | |
| New Count | Remains checked if this is a new request | |
| Item | Displays the item counted | |
| Reason | Optional - Enter a reason for the count if desired | |
| Reference | Optional - Enter a reference | |
| Counted By | Will default to the Counted By default entered in the Count Defaults section. This can be changed here though. | |
| Count Date | Will default to the Date entered in the Count Defaults section | |
| Click on Save Icon | ||
| Note: Adjustments Processed Pops up. Click on OK | ||
Step3: Approve Cycle Counts
This section explains the approval process for cycle count adjustments that Oracle Inventory submits for approval.
At the time a count is entered, the system will compare the count quantity with the on-hand balance quantity. If there is a discrepancy, the system checks the item’s Measurement Error values (an item attribute). If the discrepancy is outside the measurement error, the system checks the approval options and adjustment tolerances defined in the Cycle Count. If the cycle count calls for approvals and the discrepancy is outside the adjustment tolerance, the system will generate a recount request if recounts are turned on in the cycle count, or submit the count for approval. If recounts are turned on and the maximum number of recounts has been reached, the adjustment is submitted for approval.
When Cycle Counts require approval, the person authorized to do approvals must have access to the Count Adjustments Approvals Summary window. Those without approval authority must not have access to this window.
Navigation: Inventory > Counting > Cycle Counting > Approve Counts
Screen: Count Adjustment Approvals Summary window
| Region | Fields | Values |
| Cycle Count Name | Enter “TXX-Cycle Count” and Tab | |
| Description | TXX-Cycle Count (Defaults) | |
| Click on Find Button and a Decision window will open | ||
| Select the No button to find all count requests wh8ich requires approval. | ||
| Approval Defaults section | Date | Will display the current date and time |
| Approver | Smith, Mr. Jonathan “Defaults”
In Actual Scenario: Enter the name of the person who Approves the count
| |
| Adjustment Account | 01-580-7740-0000-000 |
In the Adjustments section:
To approve a count, select Approved. The adjustments will post to the transaction manager for processing.
To reject a count, select Rejected. An adjustment is not posted, and there is no further processing of this count.
To request a recount, select Recount. An adjustment is not posted and a recount request is processed.
To display count history information for the current item, select the Count History button. This window displays count and variance information for the current, prior, and first counts.
To approve the count for the current item, select the Open button. You can use this window to view and enter approval and adjustment information for the current line.
Save your work.
- Physical inventory
Physical inventory is a process to count all items in selected subinventories or all subinventories for an organization. A physical inventory may be defined for a single subinventory, selected subinventories, or an entire inventory organization. Subinventories must be defined as “Quantity Tracked” to be included in a physical inventory. A physical inventory assumes that all on-hand balances within the scope of the physical inventory will be counted.
The physical inventory process takes a snapshot of the on-hand balances, and generates tags for all items with an on-hand balance. Counts are recorded against the tag number and compared to the snapshot quantity. Deltas between the snapshot quantity and the counted quantity will generate adjustment transactions.
Physical inventory counts are generally performed at the end of a fiscal year, although you may create a physical inventory and perform a count at any time. When a count is being performed, material movement transactions may continue, but should be limited and controlled if an accurate count is to be assured. The physical count is compared to a snapshot or frozen on-hand balance quantity, so material movements should not be done from the time the snapshot is taken until the count is completed.
Scenario: Place five items into your subinventory to use for a physical inventory.
Step1: Perform Miscellaneous transactions for five items into Subinventory TXX-STORES to use for a physical inventory in M1 Organization
Navigation: Inventory > Transactions > Miscellaneous Transaction
Screen: Miscellaneous Transactions (M1)
| Fields | Values |
| Date | (Take the default) |
| Type | Account Alias Receipt |
| Source | INVENTORY ADJ |
| Click on Transaction Lines Button | |
| Note: Enter all items before saving. | |
| Account Alias Receipt (M1) screen Appears | |
| Item | CM13375 |
| Subinventory | TXX-STORES |
| Lot | |
| Quantity | 125 |
| UOM | (Take the default) |
| Reason | Setup |
| Press the down arrow key | |
| Item | CM13139 |
| Subinventory | TXX-STORES |
| Lot | |
| Quantity | 72 |
| UOM | (Take the default) |
| Press the down arrow key | |
| Item | AS54888 |
| Subinventory | TXX-STORES |
| Lot | |
| Quantity | 87 |
| UOM | (Take the default) |
| Reason | Setup |
| Press the down arrow key | |
| Item | AS18947 |
| Subinventory | TXX-STORES |
| Lot | |
| Quantity | 112 |
| UOM | (Take the default) |
| Reason | Setup |
| Press the down arrow key | |
| Item | AS72111 |
| Subinventory | TXX-STORES |
| Lot | |
| Quantity | 90 |
| UOM | (Take the default) |
| Reason | Setup |
| Click on the Save icon | |
| Close the Windows | |
Step2: Define Physical Inventory and make an Inventory Snapshot. Use the Physical Inventories window to: Setup a physical inventory definition for your subinventory.
Navigation: Inventory > Counting > Physical Inventory > Physical Inventories
Screen: Physical Inventories Summary (M1)
| Region | Fields | Values |
| Click on New Button | ||
| Define Physical Inventory Screen Appears | ||
| Name | TXX-PHYS | |
| Description | TXX Physical Inventory | |
| Date | (Take the default) | |
| Tab to the Approval Area | ||
| Approvals | Required | Select: If Out of Tolerance |
| Quantity | +10% and -10% | |
| Value | +10% and -10% | |
| Tab to the Count Subinventories Area | ||
| Count Subinventories | Specific | Check the Box |
| Subinventory | TXX-STORES | |
| Allow Dynamic Tags | Uncheck the Box | |
| Click on Snapshot button |
- Record the concurrent request # ___________________
- Click OK
- Close the Define Physical Inventory screen
- Close the Physical Inventory Summary screen
- Go to the View menu and select Requests
- Click on the Find button in the Find Requests screen
- Verify your concurrent request completes normally
- Close the Requests screen
Step3: Generate Tags. Use the Tag Generation window to: Generate default tags for your physical inventory definition.
Navigation: Inventory > Inventory Counting > Physical Inventory > Tag Generation
Screen: Generate Physical Inventory Tags (M1)
| Region | Fields | Values |
| Name | TXX-PHYS | |
| Description | TXX Physical Inventory | |
| Date | (Take the default) | |
| Tag Type | Select Default | |
| Show Serial on Tags | Leave Checked | |
| Tab to the Tags Area | ||
| Tags | Starting Tag | TXX001 |
| Digit Increments | 000111 (Defaults) | |
| Ending Tag | System calculated | |
| Number of Tags | System calculated | |
| Click on Generate button |
- Record the concurrent request # ___________________
- Click OK
- Close the Generate Tags screen
- Go to the View menu and select Requests
- Verify your concurrent request completes normally and close the window.
Step3: Enter Counts Use the Tag Counts window to: Enter tag counts using the default tags.
Navigation: Inventory > Inventory Counting > Physical Inventory > Tag Counts
Screen: Physical Inventory Tag Counts (M1)
| Region | Fields | Values |
| Name | TXX-PHYS | |
| Click on the Find button
Click on Yes on Decision Box
Use arrow keys to move from line to line and enter a count for each item
| ||
| AS54888 | 100 | |
| AS18947 | 111 | |
| CM13375 | 125 | |
| CM13139 | 60 | |
| AS72111 | 90 | |
| Click on the Save icon
Close the window.
|
Step4: Approve the Adjustments.
Use the Approve Physical Adjustments Summary window to: Approve all the adjustments.
Navigation: Inventory > Inventory Counting > Physical Inventory > Approve Adjustments
Screen: Approve Physical Adjustment Summary (M1)
| Region | Fields | Values |
| Name | TXX-PHYS | |
| Click on the Find button
Click No on Decision Box
| ||
| Click on the Approve All button | ||
| Click on the Save icon
Close the window.
|
Step5: Launch the Adjustments Program
Use the Physical Inventories Summary window to: Adjust the physical inventory quantities.
Navigation: Inventory > Inventory Counting > Physical Inventory > Physical Inventories
Screen: Physical Inventory Summary (M1)
| Fields | Values |
| Click on the line which lists your Physical Inventory TXX-PHYS | |
| Go to the Tools Menu and select: Launch Adjustments | |
| The Launch Adjustments screen will open | |
| Adjustment Account | 01-000-5250-0000-000 |
| Click on the Launch Adjustments button |
- Record the concurrent request # ___________________
- Click OK
- Close the Physical Inventory Summary screen
- Go to the View menu and select Requests
- Verify your concurrent request completes normally and close the window.
Step6: Physical Inventory Report.
Use the Request Window to: Run the Physical Inventory Accuracy Analysis report
Navigation: Inventory > Reports > ABC and Counting
- Select Single Request in the dialog box and click OK.
- Select the report name: Physical Inventory Accuracy Analysis.
- Enter the name of your physical inventory definition “TXX-PHYS”
- Click on OK and then Submit.
- Record the concurrent request # ___________________
- Click on No.
- Go to the View menu and select Requests.
- Verify your concurrent request completes normally .
- Click on the line which lists your request.
- Click on the View Output button to review the report.
- Close the report output window and the requests screen.
Step7: Purge Physical Inventory
Use the Physical Inventories window to: Run the physical inventory purge program
Navigation: Inventory > Counting > Physical Inventory > Physical Inventories
Screen: Physical Inventories Summary (M1)
- Click on the line which lists your Physical Inventory TXX-PHYS
- Click on Open Button to verify that the Adjustment Posted box is checked
- Go to the Tools Menu and select: Perform Purge
The Perform Purge screen will open
Select: All in the dialog box.
Click on the Purge button.
Record the concurrent request # __________________.
Click OK.
Close the Physical Inventory Summary screen.
Go to the View menu and select Requests.
Verify your concurrent request completes normally and close the window.
Reopen the Physical Inventories Summary screen to verify the purge has removed your definition “TXX-PHYS”.
- Min Max Planning
- You can use Min-max planning for items with independent demand.
- Because you specify the minimum and maximum inventory levels, you can use Min-max planning for those items that you want to tightly control.
- You can perform Min-max planning for the entire organization.
- You can perform Min-Max planning for a specific subinventory.
Step1: Create a Min Max Planned Item
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001015 |
| Description | Purchased Item Min Max Planned Item |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Enter the Following:
| Region | Field Name | Values |
| Main | ||
| Use Item Type | Purchased Item | |
| Item Status | Active | |
| Conversions - Both | Yes | |
| Purchasing | List Price | 10 |
| General Planning | ||
| Inventory Planning Method | Choose “Min-Max” | |
| Planner | Enter “J. Smith” | |
| Min Max Qty Minimum | 500 | |
| Min Max Qty Maximum | 3000 | |
| Minimum Order Qty | 500 | |
| Maximum Order Qty | 1000 | |
| Lead Times | ||
| Processing Lead times | 5 | |
Save your work. (Ctrl + S)
Go to (M) Tools > Organization Assignment
Screen: Organization Assignment
Assign Item: TXX-10001015 to M1, M2 and TXX Organization
Click on Save icon
Step2: Enter Min Max attributes in Subinventory for the Min Max Planned Item
In this practice, you run your Min-Max report by subinventory, so you need to enter the min-max quantities for the item/subinventory combination, or special item/subinventory.
Navigation: Inventory > Setup > Organizations > Subinventories
Screen: Subinventories Summary (M1)
Select the FGI subinventory
| Region | Field Name | Values |
| Click on Item / Subinventory Button | ||
| Item Subinventories Screen displays | Stay on Planning Tab | |
| Click on New icon | ||
| Item | Enter TXX-10001015 | |
| Description | Defaults | |
| Min Max Planning | Check the Box | |
| Min Qty | 300 | |
| Max Qty | 900 | |
| Click on Order Modifiers Tab | ||
| Order Qty Minimum | 250 | |
| Order Qty Maximum | 600 | |
| Click on Lead times Tab | ||
| Processing | 5 | |
| Click on Save icon | ||
| Close the windows. |
Note: These general planning attributes affect organization-level planning, not subinventory planning.
Step3: Run Min Max planning report at Sub Inventory level “FGI Sub Inventory”
Navigation: Inventory > Planning > Min Max Planning
Screen: Min Max Planning Parameters
Choose the parameters as below:
Planning level: Subinventory
Subinventory: FGI
Item Selection: Items under minimum quantity (Defaults)
Items From:
Low TXX-10001015 (Tab)
High TXX-10001015 (Defaults) Click on OK
Leave rest of the fields with defaults.
Click the OK button to return to the Min Maxa Planning submit requests window.
Click the Submit button to submit the Min Max Planning report.
Write down your request number____________________
Click the No button when prompted to enter another request.
Select (M) View > Requests to view your report. Click on View Output
How many of this item should you Order?________________
- Average Costing
Step1: Define a Purchased Item in M3 (Average Costing Organization)
Change Organization to M3- Dallas
Navigation: Items > Item Master
Screen: Master Item
Enter the Following:
| Name | TXX-10001017 |
| Description | Purchased Item Average Costing |
Go to (M) Tools > Copy From
Screen: Copy From
Select the Following:
| Template | Purchased Item |
Press (B) Done
Screen: Master Items
Enter the Following:
| Region | Field Name | Values |
| Main | ||
| Use Item Type | Purchased Item | |
| Item Status | Active | |
| Conversions - Both | Yes | |
| Purchasing | List Price | 10 |
| Default Buyer | Smith, Mr. Jonathan |
Save your work. (Ctrl + S)
Go to (M) Tools > Organization Assignment
Screen: Organization Assignment
Assign Item: TXX-10001017 to M3, M2 and TXX Organization
Click on Save icon
Choose ‘M3’ inventory organization.
Step-2: Note the Item cost
Navigation: Inventory > Costs > Item Costs
Screen: Find Item / Cost type
Enter Item TXX-10001017 and Click on Find.
Item cost is ‘0’.
Step-3: Create Miscellaneous Receipt as follows for the subject item.
Navigation: Inventory > Transactions > Miscellaneous Transaction
Choose transaction type as ‘Miscellaneous Receipt’.
Click Transactions Lines button.
Select item code as TXX-10001017
Choose ‘Stores’ Subinventory.
Quantity = 10
Unit price = 10
Account = Choose appropriate account.
Save the record.
Step-3: Verify the Subject Item cost.
Navigation: Costs > Item cost > Item code as above > Find.
Unit Cost =10
Step-4: Repeat ‘ Miscellaneous Receipt’ transaction for the same Item with the following values.
Navigation: Inventory > Transactions > Miscellaneous Transaction
Choose transaction type as ‘Miscellaneous Receipt’.
Click Transactions Lines button.
Select item code as TXX-10001017
Choose ‘Stores’ Subinventory.
Quantity = 10
Unit price = 20
Account = Choose appropriate account.
Save the record.
Step-5: Verify the Subject Item cost.
Navigation: Costs > Item costs > Item code as above > Find.
Unit Cost =15
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