R12 Inventory Management Part2

R12 Oracle Inventory
Management Fundamentals
y
m
Volume II - Student Guide
e
d
a
D49489GC10
Edition 1.0
July 2007
D51693
a
r
O
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Copyright 2007, Oracle. All rights reserved.

This document contains proprietary information and is protected by copyright and other intellectual property laws. You may copy and
print this document solely for your own use in an Oracle training course. The document may not be modified or altered in any way.
Except where your use constitutes "fair use" under copyright law, you may not use, share, download, upload, copy, print, display,
perform, reproduce, publish, license, post, transmit, or distribute this document in whole or in part without the express authorization
of Oracle.
The information contained in this document is subject to change without notice. If you find any problems in the document, please
report them in writing to: Oracle University, 500 Oracle Parkway, Redwood Shores, California 94065 USA. This document is not
warranted to be error-free.
If this documentation is delivered to the United States Government or anyone using the documentation on behalf of the United
States Government, the following notice is applicable:
U.S. GOVERNMENT RIGHTS
The U.S. Governments rights to use, modify, reproduce, release, perform, display, or disclose these training materials are restricted
by the terms of the applicable Oracle license agreement and/or the applicable U.S. Government contract.
Oracle, JD Edwards, PeopleSoft, and Siebel are registered trademarks of Oracle Corporation and/or its affiliates. Other names may
be trademarks of their respective owners.
Author
Tyra Crockett, Maneesha Nanda
Technical Contributors and Reviewers
Jennifer Sherman, Susan Flierl, Ronald Delong, David Nelson, Jean-Francois Guerrini
This book was published using:
a
r
O
e
l
c
oracletutor
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
e
d
a
y
m
Table of Contents
Overview of Oracle Inventory ........................................................................................................................1-1
R12 Overview of Oracle Inventory ...............................................................................................................1-3
Objectives ......................................................................................................................................................1-4
Overview .......................................................................................................................................................1-5
Inventory Capabilities....................................................................................................................................1-6
Inventory Capabilities (Cont) ........................................................................................................................1-7
Receipt to Issue Life Cycle............................................................................................................................1-8
Receiving Inventory ......................................................................................................................................1-9
Transferring Inventory...................................................................................................................................1-12
Issuing Inventory ...........................................................................................................................................1-14
Oracle Inventory Application Integration......................................................................................................1-16
Integration of Oracle Inventory to Financial Applications ............................................................................1-18
Summary........................................................................................................................................................1-19
Inventory Structure.........................................................................................................................................2-1
R12 Defining Inventory Organizations..........................................................................................................2-3
Objective........................................................................................................................................................2-4
Inventory Organizations ................................................................................................................................2-5
Inventory Organization Structure ..................................................................................................................2-6
Sample Inventory Organization.....................................................................................................................2-7
Multi-Organization Structure.........................................................................................................................2-8
Setting Up Locations .....................................................................................................................................2-9
Guided Demonstration - Setting up Locations...........................................................................................2-10
Defining Organizations..................................................................................................................................2-11
Inventory Parameters.....................................................................................................................................2-12
Costing Parameters ........................................................................................................................................2-13
Revision, Lot, Serial, and License Plate Number (LPN) Parameters ............................................................2-14
ATP, Pick, Item-Sourcing Parameters...........................................................................................................2-15
Interorganization Parameters .........................................................................................................................2-16
Other Account Parameters.............................................................................................................................2-17
Warehouse Management Parameters.............................................................................................................2-18
Guided Demonstration - Setting Up Organizations ...................................................................................2-19
What is a Subinventory?................................................................................................................................2-24
What is a Subinventory (Cont) ......................................................................................................................2-25
Defining Subinventories ................................................................................................................................2-26
Guided Demonstration - Defining Subinventories.....................................................................................2-27
Practice - Creating Subinventories ............................................................................................................2-28
Solution - Creating Subinventories............................................................................................................2-29
Locator Control .............................................................................................................................................2-35
Dynamic and Static Locators.........................................................................................................................2-36
Subinventory-Locator Relationship...............................................................................................................2-37
Locator Flexfield Structure............................................................................................................................2-38
Guided Demonstration - Defining Locators ..............................................................................................2-39
Practice - Defining Locators ......................................................................................................................2-40
Solution Setting Up Locator Control ......................................................................................................2-41
Interorganization Shipping Networks............................................................................................................2-43
Shipping Method ...........................................................................................................................................2-45
Additional Set Up Steps ................................................................................................................................2-46
Additional Organizational Setups..................................................................................................................2-47
Copying Inventory Organizations..................................................................................................................2-48
Organization Hierarchy .................................................................................................................................2-50
Organization Reports.....................................................................................................................................2-52
Organization Reports (Cont)..........................................................................................................................2-53
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Copyright Oracle Corporation, 2007. All rights reserved.
R12 Oracle Inventory Management Fundamentals Table of Contents

i
c
A
Profile Options...............................................................................................................................................2-54
Implementation Considerations .....................................................................................................................2-55
Implementation Considerations (Cont)..........................................................................................................2-56
Summary........................................................................................................................................................2-61
Units of Measure..............................................................................................................................................3-1
R12 Units of Measure....................................................................................................................................3-3
Objectives ......................................................................................................................................................3-4
Units of Measure ...........................................................................................................................................3-5
Uses of Units of Measure ..............................................................................................................................3-6
Unit of Measure Class ...................................................................................................................................3-7
Guided Demonstration - Creating Units of Measure .................................................................................3-8
Guided Demonstration - Creating Unit of Measure Classes......................................................................3-9
Unit of Measure Conversions ........................................................................................................................3-10
Guided Demonstration - Defining Unit of Measure Conversions..............................................................3-11
Lot-Level Unit of Measure Conversions .......................................................................................................3-12
Units of Measure Setup .................................................................................................................................3-13
Practice - Defining Units of Measure ........................................................................................................3-14
Solution Defining Units of Measure .......................................................................................................3-16
Unit of Measure Reports................................................................................................................................3-20
Profile Options...............................................................................................................................................3-21
Organization Parameter Setup .......................................................................................................................3-22
Summary........................................................................................................................................................3-24
Defining and Maintaining Items.....................................................................................................................4-1
R12 Defining and Maintaining Items Fundamentals .....................................................................................4-3
Objective........................................................................................................................................................4-4
What is an Item? ............................................................................................................................................4-5
Steps to Setup, Define, and Maintain Items...................................................................................................4-6
Defining Items ...............................................................................................................................................4-7
Guided Demonstration - Define Item ........................................................................................................4-9
Item Master Organization ..............................................................................................................................4-10
Item Master....................................................................................................................................................4-12
Item Attributes...............................................................................................................................................4-13
Item Attribute Groups....................................................................................................................................4-14
Guided Demonstration - Viewing Item Attributes.....................................................................................4-15
Item Status .....................................................................................................................................................4-16
Unit of Measure Attributes ............................................................................................................................4-17
Item Statuses and Attributes ..........................................................................................................................4-19
Status Attributes and Functionality ...............................................................................................................4-20
Status Attribute Interdependencies ................................................................................................................4-23
Item Attribute Relationships..........................................................................................................................4-26
Practice - Viewing Item Attributes ............................................................................................................4-27
Solution Viewing Item Attributes...........................................................................................................4-28
Item Templates ..............................................................................................................................................4-36
Creating Item Templates ...............................................................................................................................4-37
Enabling Attributes in a Template .................................................................................................................4-38
Guided Demonstration - Creating Item Templates ....................................................................................4-39
Organization Assignment and Organization Items ........................................................................................4-40
Control Levels ...............................................................................................................................................4-41
Revision Control............................................................................................................................................4-43
Defining Items ...........................................................................................................................................4-45
Solution - Defining Items ..........................................................................................................................4-46
Restricting Items to Subinventories...............................................................................................................4-59
Guided Demonstration - Restricting Items to Subinventories ...................................................................4-60
Item Relationships .........................................................................................................................................4-61
Guided Demonstration -Establishing Item Relationships ..........................................................................4-62
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

ii
c
A
Categories and Category Sets ........................................................................................................................4-63

Assigning Items to Categories .......................................................................................................................4-64
Practice - Defining Categories...................................................................................................................4-65
Solution Defining Categories..................................................................................................................4-66
Item Catalogs.................................................................................................................................................4-70
Guided Demonstration - Setting up Catalog Groups .................................................................................4-71
Deletion Constraints and Deletion Groups ....................................................................................................4-74
Deletion Constraints ......................................................................................................................................4-75
Deletion Constraints (Cont)...........................................................................................................................4-76
Item Reports ..................................................................................................................................................4-77
Item Reports (Cont) .......................................................................................................................................4-78
Profile Options...............................................................................................................................................4-80
Profile Options (Cont) ...................................................................................................................................4-81
Summary........................................................................................................................................................4-88
Lot and Serial Control ....................................................................................................................................5-1
R12 Lot and Serial Control............................................................................................................................5-3
Objective........................................................................................................................................................5-4
Lot Control Overview....................................................................................................................................5-5
Child Lots ......................................................................................................................................................5-6
Setting up Lot Control (Organization Parameters) .......................................................................................5-7
Guided Demonstration - Setting Up Organizations ...................................................................................5-8
Lot Number Uniqueness ................................................................................................................................5-12
Setting up Lot Control (Item Attributes) ......................................................................................................5-13
Managing Lots...............................................................................................................................................5-15
Expired Lots ..................................................................................................................................................5-16
Disabled Lots.................................................................................................................................................5-17
Guided Demonstration - Generating Lots..................................................................................................5-18
Guided Demonstration - Maintaining Grades............................................................................................5-21
Guided Demonstration - Maintaining Lot Actions ....................................................................................5-23
Practice - Using the Lot Master .................................................................................................................5-24
Solution Using the Lot Master................................................................................................................5-25
Lot Number Purging......................................................................................................................................5-32
Cycle Counts Under Lot Control...................................................................................................................5-33
Physical Inventory Under Lot Control...........................................................................................................5-34
Guided Demonstration - Revision, Lot, and Serial Controls .....................................................................5-35
Serial Number Overview ...............................................................................................................................5-38
Generating Serial Numbers............................................................................................................................5-39
Serial Uniqueness ..........................................................................................................................................5-40
Maintaining Serial Numbers..........................................................................................................................5-42
Practice - Generating and Maintaining Serial Numbers ............................................................................5-43
Solution Generating and Maintaining Serial Numbers ............................................................................5-44
Lot Genealogy ...............................................................................................................................................5-49
Guided Demonstration - Viewing Lot Genealogy .....................................................................................5-50
Serial Genealogy ...........................................................................................................................................5-51
Lot and Serial Reports ...................................................................................................................................5-52
Lot and Serial Reports (Cont)........................................................................................................................5-53
Profile Options...............................................................................................................................................5-55
Summary........................................................................................................................................................5-59
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Transaction Setup............................................................................................................................................6-1
R12 Transaction Setup...................................................................................................................................6-3
Objectives ......................................................................................................................................................6-4

iii
Overview .......................................................................................................................................................6-5
Inventory Transactions ..................................................................................................................................6-6
Move Orders..................................................................................................................................................6-7
Transaction Source Types..............................................................................................................................6-8
Transaction Action ........................................................................................................................................6-10
Transaction Reasons ......................................................................................................................................6-12
Transaction Types..........................................................................................................................................6-13
Guided Demonstration - Creating Customized Transactions.....................................................................6-14
Predefined Transaction Types .......................................................................................................................6-16
Transaction Managers....................................................................................................................................6-17
Running Transaction Managers.....................................................................................................................6-18
Creating Picking Rules ..................................................................................................................................6-20
Guided Demonstration - Creating Picking Rules.......................................................................................6-22
Account Aliases.............................................................................................................................................6-23
Accounting Periods........................................................................................................................................6-24
Guided Demonstration - Opening Accounting Periods .............................................................................6-25
Material Shortage Alerts and Notifications ...................................................................................................6-26
Setting Up Shortage Alerts and Notifications................................................................................................6-28
Setting Up for Move Orders ..........................................................................................................................6-29
Setup Steps for Move Orders.........................................................................................................................6-31
Profile Options...............................................................................................................................................6-33
Implementation Considerations for Shortage Checks....................................................................................6-39
Implementation Considerations for Move Orders ........................................................................................6-40
Summary........................................................................................................................................................6-41
y
m
Issuing and Transferring Material.................................................................................................................7-1

R12 Issue and Transfer Material....................................................................................................................7-3
Module Objectives.........................................................................................................................................7-4
Overview of Inventory Transactions .............................................................................................................7-5
Inventory Transactions ..................................................................................................................................7-6
Inventory Transactions Without Documents and Requisitions......................................................................7-7
Inventory Transactions with Documents and Requisitions............................................................................7-8
Control Options and Restrictions...................................................................................................................7-9
Miscellaneous Transactions...........................................................................................................................7-10
Practice - Processing Miscellaneous Receipts ...........................................................................................7-12
Solution Processing Miscellaneous Receipts..........................................................................................7-13
Subinventory Transfer ...................................................................................................................................7-24
Guided Demonstration - Performing Subinventory Transfers ...................................................................7-25
Practice - Processing Subinventory Transfers ...........................................................................................7-26
Solution Processing Subinventory Transfers ..........................................................................................7-27
Inter-Organization Direct Shipment ..............................................................................................................7-31
Inter-organization Intransit Shipment............................................................................................................7-32
Guided Demonstration - Performing Interorganization Transfers .............................................................7-34
Practice - Performing Interorganization Transfers.....................................................................................7-35
Solution Performing Interorganization Transfers ...................................................................................7-36
Managing Receipts ........................................................................................................................................7-41
Express Receipts and Receiving Transactions...............................................................................................7-43
Direct Receipts ..............................................................................................................................................7-44
Standard Receipt............................................................................................................................................7-45
Inspection Receipt .........................................................................................................................................7-46
Guided Demonstration - Receiving Stock into Inventory..........................................................................7-47
Practice - Receiving Material into Inventory.............................................................................................7-49
Solution Receiving Material into Stock..................................................................................................7-50
Move Orders..................................................................................................................................................7-57
Move Orders Process Flow............................................................................................................................7-58
Move Order Requisition Approval Process ...................................................................................................7-59
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

iv
c
A
Benefits of Managed Material Flow in a Facility ..........................................................................................7-61

Move Order Source Types.............................................................................................................................7-63
Move Order Components ..............................................................................................................................7-65
Generate Move Orders...................................................................................................................................7-67
Move Order Allocating..................................................................................................................................7-69
Item Allocation ..............................................................................................................................................7-71
Transact Move Orders ...................................................................................................................................7-72
Practice - Transacting Move Orders ..........................................................................................................7-73
Solution Transacting Move Orders.........................................................................................................7-74
Guided Demonstration - Defining Subinventories.....................................................................................7-80
Mobile Transactions ......................................................................................................................................7-81
Guided Demonstration - Mobile Application Interorganization Transfers ................................................7-83
Practice - Performing Mobile Transactions ...............................................................................................7-84
Solution Mobile Transactions.................................................................................................................7-85
Managing Shipments .....................................................................................................................................7-90
Transactions Reports .....................................................................................................................................7-91
Transactions Reports (Cont) ..........................................................................................................................7-92
Summary........................................................................................................................................................7-96
On-hand and Availability................................................................................................................................8-1
R12 On-hand and Availability.......................................................................................................................8-3
Objectives ......................................................................................................................................................8-4
Overview of On-hand Quantity .....................................................................................................................8-5
Overview of Reservations..............................................................................................................................8-6
Overview of Availability ...............................................................................................................................8-7
Reservation Versus Allocation ......................................................................................................................8-8
Material Workbench ......................................................................................................................................8-9
Display Options .............................................................................................................................................8-10
Viewing Available Items ...............................................................................................................................8-12
Material Workbench Transactions.................................................................................................................8-13
Guided Demonstration - Using the Material Workbench ..........................................................................8-14
Practice - Using the Material Workbench..................................................................................................8-15
Solution Using the Material Workbench ................................................................................................8-16
Available to Promise .....................................................................................................................................8-20
What are Supply and Demand? .....................................................................................................................8-21
Uses of ATP in Oracle Inventory ..................................................................................................................8-22
ATP Rules Setup Steps..................................................................................................................................8-23
Defining Computation Options......................................................................................................................8-24
Specifying Supply and Demand Time Fences ...............................................................................................8-26
Specifying Demand Sources..........................................................................................................................8-30
Specifying Supply Sources ............................................................................................................................8-32
Setting Up Item and Bills for ATP Checking ................................................................................................8-33
ATP Checking ...............................................................................................................................................8-34
Guided Demonstration - Creating an ATP Rule ........................................................................................8-35
Reservation Types .........................................................................................................................................8-36
Supply Types .................................................................................................................................................8-37
Demand Types...............................................................................................................................................8-38
Reserving Material ........................................................................................................................................8-39
Reservation Management- Transfer Supply ..................................................................................................8-41
Reservation Management- Transfer Demand ................................................................................................8-42
Guided Demonstration - Creating Reservations ........................................................................................8-43
Practice - Creating Reservations................................................................................................................8-45
Solution Creating Reservations ..............................................................................................................8-46
On-hand and Availability Reports .................................................................................................................8-48
Profile Options...............................................................................................................................................8-49
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

v
c
A
Summary........................................................................................................................................................8-52
Material Status Control ..................................................................................................................................9-1
R12 Material Status .......................................................................................................................................9-3
Objectives ......................................................................................................................................................9-4
Material Status...............................................................................................................................................9-5
Material Status Control Levels ......................................................................................................................9-6
Material Status Transactions..........................................................................................................................9-7
Cumulative Effective Status ..........................................................................................................................9-8
Material Status Examples ..............................................................................................................................9-9
Setting Up......................................................................................................................................................9-10
Defining Item Material Status Control ..........................................................................................................9-11
Assigning Material Status Control to Subinventories and Locators ..............................................................9-12
Assigning Planning Statuses..........................................................................................................................9-13
Disabling Material Statuses ...........................................................................................................................9-14
Practice - Setting up Material Status Control ............................................................................................9-15
Solution Setting up Material Status Control ...........................................................................................9-16
Material Status Reports .................................................................................................................................9-24
Profile Option ................................................................................................................................................9-25
Summary........................................................................................................................................................9-27
Inventory Replenishment................................................................................................................................10-1
R12 Replenishment Fundamentals ...............................................................................................................10-3
Objectives ......................................................................................................................................................10-4
Overview of Inventory Planning ...................................................................................................................10-5
Order Planning...............................................................................................................................................10-6
How Much to Order.......................................................................................................................................10-7
Replenishment Process for Intra-Org Supply Sources...................................................................................10-8
Replenishment Process for Supplier Supply Sources ....................................................................................10-9
Replenishment Process for Inter-Org Supply Sources...................................................................................10-10
Replenishment Process for Product Supply Sources .....................................................................................10-11
Replenishment Methods ................................................................................................................................10-12
Overview of Inventory Forecasting ...............................................................................................................10-13
Forecast Types...............................................................................................................................................10-15
Forecast Setup and Maintenance ...................................................................................................................10-16
Guided Demonstration - Creating a Manual Forecast ...............................................................................10-17
Oracle Inventory Replenishment Methods ....................................................................................................10-19
Replenishment Methods Levels.....................................................................................................................10-20
Safety Stock...................................................................................................................................................10-21
Economic Order Quantity..............................................................................................................................10-22
Overview of Reorder-Point Planning ............................................................................................................10-23
Uses of Reorder-Point Planning ....................................................................................................................10-24
Reorder-Point Planning Steps........................................................................................................................10-25
Performing Reorder-Point Planning ..............................................................................................................10-26
Guided Demonstration - Setting up Reorder Point Planning .....................................................................10-28
Overview of Min-Max Planning....................................................................................................................10-30
Uses of Min-Max Planning............................................................................................................................10-31
Min-Max Planning.........................................................................................................................................10-32
Min-Max Planning: How Much to Order? ....................................................................................................10-33
Min-Max Planning Steps ...............................................................................................................................10-34
Item Planning Attributes................................................................................................................................10-35
Min-Max Planning Setup Procedure..............................................................................................................10-36
Selecting a Planning Level ............................................................................................................................10-37
Entering Planning Attributes .........................................................................................................................10-38
Submitting the Min-Max Planning Requests.................................................................................................10-39
Guided Demonstration - Setting up Min-Max Planning ............................................................................10-41
Practice - Performing Min-Max Planning..................................................................................................10-43
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

vi
c
A
Solution Performing Min-max Planning.................................................................................................10-44

Overview of Replenishment Counting ..........................................................................................................10-50
Uses of Replenishment Counting ..................................................................................................................10-51
Replenishment Planning Steps ......................................................................................................................10-52
Subinventories Window ................................................................................................................................10-54
Item Subinventories Window ........................................................................................................................10-55
Item Subinventories: Order Modifier Tab .....................................................................................................10-56
Replenishment Count Headers ......................................................................................................................10-57
Replenishment Count Lines...........................................................................................................................10-58
Processing Replenishment Counts.................................................................................................................10-60
Mobile Replenishment Count Overview .......................................................................................................10-62
Practice - Performing a Replenishment Count Using Forms .....................................................................10-63
Solution - Performing a Replenishment Count Using Forms ....................................................................10-65
Practice - Performing a Replenishment Count Using the Mobile Application ..........................................10-72
Solution - Performing a Replenishment Count Using the Mobile Application .........................................10-74
Overview of PAR Counting...........................................................................................................................10-82
Processing PAR Counts.................................................................................................................................10-83
Reorder Quantity for PAR Count ..................................................................................................................10-84
Overview of Kanban Replenishment.............................................................................................................10-86
Kanban Cards ................................................................................................................................................10-88
Kanban Planned Items ...................................................................................................................................10-89
Kanban Cards ................................................................................................................................................10-91
Kanban Supply Status....................................................................................................................................10-93
Kanban Replenishment Sources ....................................................................................................................10-94
Kanban Card Printing ....................................................................................................................................10-95
Guided Demonstration - Performing Kanban Replenishment ...................................................................10-96
Practice - Performing Kanban Replenishment...........................................................................................10-97
Solution Performing Kanban Replenishment .........................................................................................10-98
Planning and Replenishment Reports ............................................................................................................10-101
Planning and Replenishment Reports (Cont).................................................................................................10-102
Profile Options...............................................................................................................................................10-103
Summary........................................................................................................................................................10-109
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Accuracy .........................................................................................................................................11-1

R12 Inventory Accuracy Fundamentals ........................................................................................................11-3
Objectives ......................................................................................................................................................11-4
Overview of Inventory Accuracy ..................................................................................................................11-5
ABC Analysis Overview ...............................................................................................................................11-6
Defining an ABC Analysis ............................................................................................................................11-7
Define and Run an ABC Compilation ...........................................................................................................11-8
ABC Compilation Criteria.............................................................................................................................11-9
ABC Valuation Scope ...................................................................................................................................11-11
Defining ABC Groups ...................................................................................................................................11-12
Defining ABC Classes...................................................................................................................................11-13
ABC Item Assignments .................................................................................................................................11-14
Guided Demonstration - Compiling an ABC Analysis..............................................................................11-16
Practice - Compiling an ABC Analysis .....................................................................................................11-18
Solution Compiling an ABC Analysis....................................................................................................11-20
Cycle Counting Overview .............................................................................................................................11-26
Defining and Maintaining a Cycle Count ......................................................................................................11-27
Cycle Count Approval Tolerance ..................................................................................................................11-28
Approval Tolerances......................................................................................................................................11-29
Hit/Miss Tolerance ........................................................................................................................................11-31
Measurement Errors ......................................................................................................................................11-32
e
l
c
a
r
O

vii
Cycle Count Items .........................................................................................................................................11-33

Automatic Scheduling ...................................................................................................................................11-35
Manual Scheduling ........................................................................................................................................11-36
Count Requests ..............................................................................................................................................11-37
Entering Cycle Counts...................................................................................................................................11-39
Cycle Count Open Interface ..........................................................................................................................11-40
Count Adjustments and Approvals ................................................................................................................11-41
Automatic Recounts ......................................................................................................................................11-42
Approving Cycle Counts and Adjustments ...................................................................................................11-43
Guided Demonstration - Performing a Cycle Count..................................................................................11-45
Practice - Performing a Cycle Count .........................................................................................................11-48
Solution Performing a Cycle Count........................................................................................................11-50
Mobile Inventory Accuracy Overview ..........................................................................................................11-60
Practice - Mobile Counting........................................................................................................................11-61
Solution Mobile Counting ......................................................................................................................11-62
Physical Inventory Overview ........................................................................................................................11-67
Why Perform Physical Inventories? ..............................................................................................................11-68
Defining Physical Inventories........................................................................................................................11-69
Physical Inventory Tags ................................................................................................................................11-70
Inventory Snapshots ......................................................................................................................................11-72
Entering Physical Inventory Counts ..............................................................................................................11-74
Voiding Tags .................................................................................................................................................11-76
Approval Tolerances......................................................................................................................................11-77
Physical Inventory Adjustments ....................................................................................................................11-78
Accuracy Reports ..........................................................................................................................................11-79
Accuracy Reports (Cont) ...............................................................................................................................11-80
Profile Options...............................................................................................................................................11-85
Summary........................................................................................................................................................11-89
y
m
e
d
a
Table Information............................................................................................................................................12-1
R12 Table Information ..................................................................................................................................12-3
Objective........................................................................................................................................................12-4
Organization Tables.......................................................................................................................................12-5
Subinventories and Locator Tables................................................................................................................12-7
Item Master Tables ........................................................................................................................................12-9
Item Status Tables .........................................................................................................................................12-11
Item Categories Tables ..................................................................................................................................12-13
Item Reservation Tables ................................................................................................................................12-15
Inventory Transaction Tables ........................................................................................................................12-17
Guided Demonstration - Accessing eTRM................................................................................................12-19
Summary........................................................................................................................................................12-20
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

viii
c
A
Preface
Profile
Before You Begin This Course
Working experience with Oracle Applications
Prerequisites
There are no prerequisites for this course.
How This Course Is Organized

R12 Oracle Inventory Management Fundamentals is an instructor-led course featuring lecture
and hands-on exercises. Online demonstrations and written practice sessions reinforce the
concepts and skills introduced.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

ix
c
A
Related Publications
Oracle Publications
Title
Oracle Inventory Users Guide
Part Number
B31547-02
Additional Publications
System release bulletins
Installation and users guides
Read-me files
International Oracle Users Group (IOUG) articles
Oracle Magazine
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

x
c
A
Typographic Conventions
Typographic Conventions in Text
Convention
Bold italic
Caps and
lowercase
Courier new,
case sensitive
(default is
lowercase)
Initial cap
Element
Glossary term (if
there is a glossary)
Buttons,
check boxes,
triggers,
windows
Code output,
directory names,
filenames,
passwords,
pathnames,
URLs,
user input,
usernames
Arrow
Brackets
Commas
Graphics labels
(unless the term is a
proper noun)
Emphasized words
and phrases,
titles of books and
courses,
variables
Interface elements
with long names
that have only
initial caps;
lesson and chapter
titles in crossreferences
SQL column
names, commands,
functions, schemas,
table names
Menu paths
Key names
Key sequences
Plus signs
Key combinations
Italic
Quotation
marks
Uppercase
e
l
c
Example
The algorithm inserts the new key.
Click the Executable button.
Select the Cant Delete Card check box.
Assign a When-Validate-Item trigger to the ORD block.
Open the Master Schedule window.
Code output: debug.set (I, 300);
Directory: bin (DOS), $FMHOME (UNIX)
Filename: Locate the init.ora file.
Password: User tiger as your password.
Pathname: Open c:\my_docs\projects
URL: Go to http://www.oracle.com
User input: Enter 300
Username: Log on as scott
Customer address (but Oracle Payables)
y
m
Do not save changes to the database.

For further information, see Oracle7 Server SQL Language
Reference Manual.
Enter user_id@us.oracle.com, where user_id is the
name of the user.
Select Include a reusable module component and click Finish.
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
This subject is covered in Unit II, Lesson 3, Working with

Objects.
Use the SELECT command to view information stored in the

LAST_NAME
column of the EMP table.
Select File > Save.

Press [Enter].
Press and release keys one at a time:
[Alternate], [F], [D]
Press and hold these keys simultaneously: [Ctrl]+[Alt]+[Del]
a
r
O

xi
Typographic Conventions in Code

Convention
Caps and
lowercase
Lowercase
Element
Oracle Forms
triggers
Column names,
table names
Example
When-Validate-Item
Passwords
DROP USER scott

IDENTIFIED BY tiger;
OG_ACTIVATE_LAYER
(OG_GET_LAYER (prod_pie_layer))
SELECT last_name
FROM s_emp;
PL/SQL objects
Lowercase
italic
Uppercase
CREATE ROLE role
Syntax variables
SQL commands and SELECT userid

FROM emp;
functions
Typographic Conventions in Oracle Application Navigation Paths

This course uses simplified navigation paths, such as the following example, to direct you
through Oracle Applications.
(N) Invoice > Entry > Invoice Batches Summary (M) Query > Find (B) Approve
This simplified path translates to the following:
e
d
a
c
A
1.
(N) From the Navigator window, select Invoice then Entry then Invoice Batches
Summary.
2.
(M) From the menu, select Query then Find.
3.
(B) Click the Approve button.
Notations:
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(N) = Navigator
(M) = Menu
(T) = Tab
(B) = Button
e
l
c
(I) = Icon
a
r
O
(H) = Hyperlink
(ST) = Sub Tab

xii
y
m
Typographical Conventions in Oracle Application Help System Paths

This course uses a navigation path convention to represent actions you perform to find
pertinent information in the Oracle Applications Help System.
The following help navigation path, for example
(Help) General Ledger > Journals > Enter Journals
represents the following sequence of actions:
1.
In the navigation frame of the help system window, expand the General Ledger entry.
2.
Under the General Ledger entry, expand Journals.
3.
Under Journals, select Enter Journals.
4.
Review the Enter Journals topic that appears in the document frame of the help system
window.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

xiii
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

xiv
c
A
Issuing and Transferring

Material
y
m
Chapter 7
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Issuing and Transferring Material

Chapter 7 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 2
c
A
R12 Issue and Transfer Material
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 3
c
A
Module Objectives
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 4
c
A
Overview of Inventory Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Transactions
A transaction is an item movement into, within, or out of inventory. A transaction changes the
quantity, location, planning responsibility, and cost of an item.
Oracle Inventory supports a number of predefined and user-defined transaction types. Every
material movement has a corresponding set of accounting transactions that Oracle Inventory
automatically generates. All transactions validate the various controls (revision, locator, lot
number, serial number and secondary unit of measure) you enable for items.
See Overview of Inventory Transactions, Oracle Inventory Users Guide for more information.
e
l
c
a
r
O

Chapter 7 - Page 5
Inventory Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Transactions
You can perform the following inventory transactions:
Receive items into your organization from a general ledger account number.
Issue items from your organization to a general ledger account number.
Transfer items from a subinventory in your organization to another subinventory in the
same organization.
Transfer items directly between organizations.
Transfer items between organizations by way of intransit.
Reserve items for a specific account or temporarily prevent the release of items onto the
shop floor.
e
l
c
a
r
O

Chapter 7 - Page 6
Inventory Transactions Without Documents and Requisitions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Transactions Without Documents and Requisitions

You can perform Inter-organization transfers without using an internal requisition or
internal sales order.
You can use miscellaneous receipts to receive material without a purchase order number.
Use miscellaneous issues to issue material without approvals or a document number.
Use subinventory transfers to transfer the location of material without a document number.
e
l
c
a
r
O

Chapter 7 - Page 7
Inventory Transactions with Documents and Requisitions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Transactions with Documents and Requisitions

You can use internal requisitions and internal sales orders as an approval mechanism and to
provide a document to track when you transport material between warehouses or transfer
material across inventory organizations.
Within a single warehouse or inventory organization:
Use move orders with a Move Order Issue transaction type to approve a transaction and to
provide a document to track the issue of the material. Previously, sales orders with
approvals in the order cycle were used to issue the material and track the movement.
Use move orders with a Subinventory Transfer transaction type to approve a transfer and
to provide a document to track the transfer of the material.
e
l
c
a
r
O

Chapter 7 - Page 8
Control Options and Restrictions
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 9
c
A
Miscellaneous Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Miscellaneous Transactions
Miscellaneous Transactions enable you to issue material to individuals or projects that are not
in inventory, receiving, or work in process. These could include 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.
For more information see Performing Miscellaneous Transactions Oracle Inventory Users
Guide
Miscellaneous Transactions Applications
With miscellaneous transactions you can:
Load items when you implement Oracle Inventory
Scrap items by issuing them to scrap accounts
Issue items to individuals, departments, or projects
Receive items that were acquired without purchase orders
e
l
c
a
r
O

Chapter 7 - Page 10
Enter adjustments and corrections to system quantities due to theft, vandalism, loss, shelflife expiration, or inaccurate record keeping
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 11
c
A
Practice - Processing Miscellaneous Receipts

Overview
In this lab you perform a miscellaneous receipt to receive the items you created in the define
items lab.
Assumptions
You completed the Defining Items practice.
You completed the Creating Subinventories practice.
You must have access to an Oracle Application Vision database or comparable training
or test instance at your site on which to complete this practice.
Tasks
Perform a miscellaneous receipt for the items you created in the Defining Items
practice.
1.
y
m
Receiving the following eight items where ## represent you team number. If the item has
associated inventory controls such as a lot or serial, generate a new lot or serial for the item.
##-Item-01
##-Item-02
##-Item-03
##-Item-04
##-Item-05
##-Item-06
##-Item-07
##-Item-08
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Verify the Transactions Processed

2.
e
l
c
Use the Material Transactions window to verify the transaction processed.
a
r
O

Chapter 7 - Page 12
Solution Processing Miscellaneous Receipts

Responsibility = Inventory, Vision Operations (USA)
1.
Navigate to the Miscellaneous Transactions window.
2.
(N) Transactions > Miscellaneous Transactions
Enter the following information:

Type:
Miscellaneous receipt
Account:
01-580-7740-0000-000
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
3. (B) Transaction Lines

Enter the following information for item ##item-01:
Item:
##-Item-01
Subinventory: ##FGI
Quantity:
1000
e
l
c
a
r
O

Chapter 7 - Page 13
c
A
y
m
e
d
a
4. (M) > New

5. Enter the following information for ##-Item02:
Item:
##-Item02
Subinventory: ##FGI
Locator:
##.1.01
Quantity:
1000
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
6. (M) File > New

Item:
##-Item03
Subinventory: ##FGI
Revision:
A
Quantity:
1000
e
l
c
a
r
O

Chapter 7 - Page 14
c
A
y
m
e
d
a
8. (M) File > New

9. Enter the following information for ##Item04:
Item:
##-Item04
Subinventory: 00FGI
Quantity:
1000
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 15
c
A
y
m
e
d
a
10. (B) Lot/Serial

11. (B) Generate Lot
12. Enter the following lot information:
Quantity:
500
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 16
c
A
13. (M) File > New

Quantity:
500
y
m
e
d
a
16. (B) Done

17. (M) File > New
c
A
18. Enter following information for ##Item05:

Item:
##Item05
Subinventory: ##FGI
Quantity:
1000
Lot:
Select an existing lot from the list of values
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 17
y
m
e
d
a
19. (M) File >New

20. Enter the following information for item ##-Item06:
Item:
##-Item06
Subinventory: 00FGI
Quantity:
1000
21. (B) Lot/Serial
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
23. Enter the following information:

Lot Quantity: 1000
e
l
c
a
r
O

Chapter 7 - Page 18
c
A
24. (M) File > New

25. Enter the following information for item ##-Item07:
Item:
##-Item07
Subinventory: 00FGI
Quantity:
500
y
m
e
d
a
26. (B) Lot/Serial

27. Enter a range of serial numbers.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 19
c
A
y
m
e
d
a
28. (B) Done

29. (M) File > New
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A

Item:
##-Item08
Subinventory: 00FGI
Quantity:
1000
Note: Because of the defaulting rule you selected during setup, the secondary quantity
appears automatically.
31. (B) Lot/Serial
e
l
c

Quantity:
500
a
r
O

Chapter 7 - Page 20
34. (B) Done

35. (M) File >Save
36. (M) File > Close Form
y
m
e
d
a
Verify the Transactions Processed

38. Navigate to the Material Transactions window.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(N) Transactions > Material Transactions
39. Verify todays date appears in the Transactions Dates fields.
e
l
c
a
r
O

Chapter 7 - Page 21
c
A
y
m
40. (B) Find
e
l
c
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 22
c
A
41. What is the Source Type for item ##-Item03? ________________________________
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 23
c
A
Subinventory Transfer
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Some of the uses of subinventory transfers are:
Transferring between asset and expense subinventories
Transferring between tracked and non-tracked subinventories
e
l
c
a
r
O

Chapter 7 - Page 24
c
A
Guided Demonstration - Performing Subinventory Transfers

Responsibility: Inventory, Vision Operations USA
1.
(N) > Transactions > Subinventory Transfer
2.
Enter Subinventory Transfer as the Type.
3.
(B) Transaction Lines
4.
Enter the following transfer information:

Item:
AS18947
Subinventory:
FGI
Quantity:
45
To Subinventory:
Stores
5.
(M) File > Save
6.
(M) File > Close Form
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 25
c
A
Practice - Processing Subinventory Transfers

Overview
In this practice, you will process a subinventory transfer.
Assumptions
Tasks
Transferring Items Between Subinventories
1.
Transfer ten units of ##-Item01 and ##-Item02 from the ##FGI subinventory to the ##Main
subinventory.(## represents your team number)
2.
Why do you have to enter a locator for both items in the ##Main subinventory?
Verify the Transaction Processed

3.
Use the Material Transaction window to verify the transaction processed.
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 26
y
m
c
A
Solution Processing Subinventory Transfers

Transferring Items between Subinventories
1.
Navigate to the Subinventory Transfers window.
2.
(N) Transactions >Subinventory Transfer
Enter Subinventory Transfer in the Type field.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
3.
4.
Enter the information according to the following table:

Item
Subinventory
Quantity
To Subinv
c
A
Locator
To Locator
##-Item01
##FGI
10
##Main
N/A
##.2.01
##-Item-02
##FGI
10
##Main
##.1.01
##.2.01
e
l
c
a
r
O

Chapter 7 - Page 27
Why do you have to enter a locator for both items in the ##Main subinventory? The ##Main
subinventory is a Dynamic entry subinventory. All items in this subinventory are under
locator control.
5.
(M) File > Save
6.
(M) Close > Form
y
m
e
d
a
Verify the Transaction Processed

7.
8.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Navigate to the Material Transactions window.

(N) Transactions > Material Transactions
Verify todays date appears in the Transactions Dates fields.
e
l
c
a
r
O

Chapter 7 - Page 28
c
A
9.
y
m
(B) Find
e
l
c
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 29
c
A
10. Verify the transaction processed.

y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 30
c
A
Inter-Organization Direct Shipment
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inter-organization Direct Shipment

The validity of a transfer transaction depends on the controls you have defined in both the
shipping and destination organizations for the items you want to transfer. For example, you
can transfer item A from organization X to organization Y, even though item A is under lot
control only in organization X (you can specify the lot numbers for item A in organization X
during the transfer transaction). You cannot however, transfer item B from organization X to
organization Y if item B is under lot control only in organization Y (you cannot specify lot
numbers for item B in the destination organization because you are performing a direct
transfer)
For more information see Direct Inter-organization Transfers, Oracle Inventory Users Guide
Unit of Measure Conversions
When you transfer items under dual UOM control between organization, the system honors the
UOM conversion of the destination organization. Consequently, the system could potentially
recalculate the secondary quantity for the item if the conversions differ between the shipping
organization and the destination organization. The system always processes transaction
quantities in the primary UOM. You must define UOM conversions in both the shipping and
destination organization before the system can process the transaction.
e
l
c
a
r
O

Chapter 7 - Page 31
Inter-organization Intransit Shipment
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inter-organization Intranist Shipment

You usually transfer material to intransit inventory when transportation time is significant.
When you perform the transfer transaction, you do not need to specify the delivery location.
You only need to enter the subinventory you are shipping from, a shipment number, the freight
information, and, depending on the inter-organization transfer charge that applies between the
organizations, a percentage of the transaction value or a discrete amount that Oracle Inventory
uses to compute transfer charges.
If the FOB point is set to Receipt in the Shipping Networks window, the destination
organization owns the shipment when they receive it. If it is set to Shipment the destination
organization owns the shipment when the shipping organization ships it, and while it is
intransit.
While your shipment is intransit, you can update shipping information such as the freight
carrier or arrival date in the Maintain Shipments window.
At the time of shipment, you must define your receiving parameters for the destination
organization. You can receive and deliver your shipment in a single transaction or you can
receive and store your shipment at the receiving dock.
e
l
c
a
r
O

Chapter 7 - Page 32
The validity of a transfer transaction depends on the controls you have defined in both the
shipping and destination organizations for the items you want to transfer. For example, you
can transfer item A from organization X to organization Y, even though item A is under lot
control only in organization X (you can specify the lot numbers for item A in organization X
during the transfer transaction). You can also transfer item B from organization X to
organization Y if item B is under lot control only in organization Y (you can specify lot
numbers for item B in the destination organization when you perform the receiving
transaction).
Unit of Measure Conversions
When you transfer items under dual UOM control between organization, the system honors the
UOM conversion of the destination organization. Consequently, the system could potentially
recalculate the secondary quantity for the item if the conversions differ between the shipping
organization and the destination organization. The system always processes transaction
quantities in the primary UOM.You must define UOM conversions in both the shipping and
destination organization before the system can process the transaction.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 33
c
A
Guided Demonstration - Performing Interorganization Transfers

1.
(N) Transactions > Inter-organization Transfer

Note: Verify a shipping network exists between the shipping organization and the receiving
organization.
2.
Enter the following transaction information:

To Org:
M2
Type:
Intransit Shipment
Freight:
DHL
Shipment Number:
001
Containers:
2
3.
4.

Item:
AS18947
From Subinventory:
FGI
To Subinventory:
Stores
Quantity:
10
5.
(M) File > Save
6.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 34
y
m
c
A
e
d
a
Practice - Performing Interorganization Transfers

Overview
Your instructor has validated the shipment of product from the Seattle, WA organization (M1) to
the Boston, MA Organization (M2). Now we will ship a part between M1 and M2.
Note: Make sure the part you decide to ship has been assigned to both M1 and M2.
Assumptions
You are skilled in Oracle navigation.
Transacting Items
Select an under lot or serial control to transfer from M1 Seattle Manufacturing to M2 Boston
Manufacturing using the following information:
Transact Type:
Inventory Intransit shipment
Shipment Number:
T##
Freight:
DHL
Waybill:
T##
Containers:
Expected Receipt date:
1 week from today.
Quantity:
From Subinventory:
##FGI
To Subinventory:
Stores
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
y
m
c
A
Viewing Transactions
Use the Material Transactions window to verify the Transaction Processed
e
l
c
a
r
O

Chapter 7 - Page 35
e
d
a
Solution Performing Interorganization Transfers

Transacting Items
1.
Navigate to the Inter Organization Transfer Window.
(N) Transactions > Inter-organization Transfer

To Org:
M2 Boston Manufacturing
Transact Type:
Intransit shipment
Shipment Number:
T##
Freight:
DHL
Waybill:
T##
Containers:
1
Expected Receipt date:
1 week from today.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
2.
3.

Item:
your choice
From subinventory:
##-FGI
To subinventory:
Stores
e
l
c
a
r
O

Chapter 7 - Page 36
c
A
Quantity:
y
m
e
d
a
c
A
4.
(B) Lot / Serial
5.
Select the Lot from the lot LOV. The parent lot appears automatically.
6.
Enter the 10 in the Quantity field.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 37
7.
(B) Done
Viewing Transactions
8.
Navigate to the Material Transactions window.
9.
y
m
(N) Transactions > Material Transactions.
e
d
a
Enter your part number.
10. (B) Find
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 38
c
A
y
m
e
d
a
11. (T) Intransit
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 39
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 40
c
A
Managing Receipts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Managing Receipts
You can receive both internally and externally sourced shipments and deliver material directly
to inventory, the shop floor, and You can deliver to inventory, shop floor, and expense
destinations. You can also can satisfy the following receiving business needs:
Increased receiving process control
Streamlined receiving throughput
Increased transaction visibility and traceability
A common process for all receipt types
Entering Receipt Information
To process receipts, you select the items to receive and enter the receipt quantities. If you
change the unit of measure, the system adjusts receipt quantity to reflect the new unit of
measure. You can override this value if you are recording a partial receipt or are receiving
more than the expected quantity.
The quantity received on the corresponding purchase order or return material authorization
(RMA) is updated to reflect the received quantity.
Substitutions
e
l
c
a
r
O

Chapter 7 - Page 41
You can receive predefined substitute items when you allow suppliers to ship alternatives to
the items that you order. For example, you assign different internal item numbers to mountain
bikes of the same model number but different color. You have an agreement with your
mountain bike supplier that allows him to ship white bikes in place of blue bikes.
Specifying Substitute Receipt Details
You can select a substitute item in the Lines region based on the following restrictions:
You must allow substitute receipts for the shipments you receive.
You have defined substitutes for the items you receive.
When you query in the list of values for the item, the system displays all valid substitutes for
the item you want to receive. All subsequent receipt processing is identical to other standard
and direct receipts.
Supplying Handling of Substitute Items
When you receive a substitute item, the system removes the purchase order supply for the
original item.
If you perform a standard receipt, the system creates receiving supply for the new item.
If you perform a direct receipt, the system increments on-hand balances for the new item.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 42
c
A
Express Receipts and Receiving Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Express Receipts and Receiving Transactions

The express function is a quick method of entering receipts and receiving transactions. You can
use an express receipt when the physical receipt quantity equals the expected quantity. You
can:
Create a new receipt or add to an existing receipt for the supplier who shipped the items
you want to transact.
Specify the supplier for new receipts.
Click Express to select either the final destination or the default receiving location.
Omit individual shipments that you do not want to process by selecting the Omit action in
the Receipt Lines region.
Any receipts that cannot be transacted with an express receipt will remain in the Receipt
Line region after you save your work.
In order to enable the Express button, the system must be able to derive the supplier either by
specifying the supplier or a PO number.
e
l
c
a
r
O

Chapter 7 - Page 43
Direct Receipts
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 44
c
A
Standard Receipt
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 45
c
A
Inspection Receipt
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 46
c
A
Guided Demonstration - Receiving Stock into Inventory

Receipts
1.
(N) Change Organization.

2.
(N) Transactions > Receiving > Receipts.
3.

Source Type:
Internal
Item:
AS18947
4.
Choose Find.
5.
Select the Item to receive.
6.
Enter the M2-Boston as the receiving Location.
7.
(M) File > Save.
8.
(M) File > Close Form.
y
m
e
d
a
Receiving Stock
9.
(N) Transactions > Receiving > Receiving Transactions.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
10. Enter the following transaction information:

Type:
Internal
Item:
AS18947
11. Choose Find.
12. Select the transaction to deliver.
13. Enter the following receiving information:

Location:
M2 Boston
Subinventory: Stores
14. (M) File > Save.
e
l
c
15. (M) File > Close Form.
a
r
O
Verifying Receipts and Receiving Transacitons

16. (N) Transactions > Receiving > View Receiving Transactions

Chapter 7 - Page 47
c
A
17. Enter the following transaction information:

Type:
Internal
Item:
AS18947
18. Choose Find.
19. Select the appropriate receipt number.
20. Choose Transactions.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 48
c
A
Practice - Receiving Material into Inventory

Overview
In this practice you learn how to receive items into inventory.
Assumptions
You are skilled in Oracle Navigation
You completed the defining items practice
You completed the interorganization transfer practice
Tasks
y
m
Receiving Inventory
e
d
a
Receive the item into stock that you transferred in the interorganization transfer practice.
Moving Items from Receiving into Inventory
1.
c
A
After you take delivery of the item in receiving, move it into inventory.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Verifying the Items are in Inventory
Verify that the transaction is processed and the resulting on-hand quantity.
e
l
c
a
r
O

Chapter 7 - Page 49
Solution Receiving Material into Stock

Receiving Inventory
Responsibility = Inventory, Vision Operations USA
1.
Change Organization to M2 Boston.
2.
(N) Change Organization

Navigate to the Receiving Receipts window.
(N) Transactions > Receiving > Receipts

Source Type:
Internal
Item:
The item you transferred in the Interorganization practice.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 50
c
A
3.
(B) Find
4.
Close the Header when it opens.
5.
Select the item to receive.
6.
Verify the item quantity.
7.
Verify the UOM.
8.
Enter the appropriate inventory control information if necessary.
9.
Enter M2 Boston in the Location column.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
10. Save and Close window.
(M) File > Save
Moving Items from Receiving into Inventory
e
l
c
11. Navigate to the Receiving Transactions window.
a
r
O
(N) Transactions > Receiving > Receiving Transaction.

Chapter 7 - Page 51
c
A

Source Type:
Internal
Item:
The item you transferred in the Interorganization practice.
y
m
e
d
a
13. (B) Find
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
14. Select the Item to receive.
15. Enter M2 Boston as the Location.

16. Verify Stores is the subinventory.
e
l
c
a
r
O

Chapter 7 - Page 52
c
A
y
m
e
d
a
17. (B) Lot-Serial

18. Enter the lot or serial information.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
19. (B) Done


Chapter 7 - Page 53
c
A
(M) File > Save
Verify the Items are in Inventory

(N) Transaction > Receiving > View Receiving Transaction

Source Type:
Internal
Item:
The item you transferred in the Interorganization practice
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
23. (B) Find
a
r
O

Chapter 7 - Page 54
c
A
24. (B) Transactions
y
m
Verify the receipt and delivery transactions.
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 55
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 56
c
A
Move Orders
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Move Orders
Move orders are requests for the movement of material within a single organization. They
formalize the process to request the movement of material within a warehouse or facility for
purposes like replenishment, material storage relocations, and quality handling.
Move orders are generated manually or automatically depending on the source type used.
Move orders are restricted to transactions within an organization. Transfers between
organizations require an internal requisition.
Move Order Requisitions
A manually generated request, available for subinventory and account transfers.
These requests can optionally go through a workflow based approval process before they
become move orders that are ready to be sourced and transacted.
e
l
c
a
r
O

Chapter 7 - Page 57
Move Orders Process Flow
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Move Order Requisition Process Flow

Move orders can be created manually or automatically. Oracle Order Management
automatically creates them to support the staging of Picking Waves.
Move Orders can be one of the following three types:
Requisition Move Order: To relocate material or adjust perpetual inventory records
Inventory Replenishment Move Orders: To refill depleted inventory locations
Pick Release Move Orders: To replenish forward pick locations
Move orders will be manually or automatically generated, depending on the source of the
transaction.
Move orders must be assigned detailed source and destination locations, or used to identify
shortages for further action. This process is called Allocating, and must occur for all move
orders.
If the material could not be fully sourced because of a lack of available quantity, the Move
Order is in backorder and the unsourced balance can be re-released at a later time.
Move instructions can now be issued for available quantities either through printing of a paper
pick slip or transmission to a mobile device through Move Order APIs.
e
l
c
a
r
O

Chapter 7 - Page 58
Move Order Requisition Approval Process
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Move Order Approvals

If approvals are required on Move Order requisitions, Oracle Inventory manages the approval
process through Oracle Workflow.
When the requisition is created, the workflow approval process sends a notification to the item
planner that a move order requisition line is awaiting approval.
Timeout Period is an organization-level attribute that determines the number of days the order
can wait for an approval action. After one timeout period, if the order is still not approved or
rejected, a reminder notice is sent to the item planner. After another timeout period the order is
automatically approved or rejected depending on the move order timeout action you determine
at the organization level.
The Move Order Timeout Period and Timeout Action are both inventory organization
parameters. These inventory parameters do not override any periods set up by Oracle
Workflow.
The Item Planner is an item attribute. If no planner is specified for the item, the requisition line
is automatically approved.
If no approvals are required in your organization, set the Timeout Period to 0 and the timeout
action to Approve Automatically.
e
l
c
a
r
O

Chapter 7 - Page 59
Once the order line is approved, notices are sent to a notification list that is attached to the
source and destination subinventories to let the subinventory planners know that material will
be moved to or from their areas.
Note: Replenishment and pick wave move orders are pre-approved.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 60
c
A
Benefits of Managed Material Flow in a Facility
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Benefits of Managed Material Flow

Oracle Inventory uses move orders to distinguish the user roles that should manage inventory
levels from those who carry out actual transactions. The following are the benefits of managed
material flow through move orders:
Quick Response: You can now request a transaction and forward the request on to a picker
for actual transaction execution. The request is tracked in Oracle Inventory to minimize
inaccurate information transfer. When required, replenishment mechanisms automatically
generate move orders without the intervention of an item planner for simple cases where
the material is drawn from within the facility. This results in faster inventory
replenishment with minimal human intervention.
Warehouse Visibility: Move orders use inventory picking rules to determine where to
source material for a subinventory or Move Order Issue. This ensures that the same
mechanisms created to rotate material properly for deliveries is used to rotate material
within the facility. It also uses the material visibility in Oracle Inventory to automatically
suggest source locations, lots, and so on.
e
l
c
a
r
O

Chapter 7 - Page 61
Tracking: Move orders can be transacted through Application Program Interfaces (APIs).
APIs enable you to use mobile devices to transact, giving you better material visibility and
accuracy. Move orders can also be created to cross-dock material to staging locations.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 62
c
A
Move Order Source Types
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Move Order Source Types

Oracle Inventory provides three types of move orders:
Move Order Requisitions
Replenishment Move Orders
Pick Wave Move Orders
The move order type refers to the entity that created the move order. For all move orders, the
final result is one of the two supported transactions: subinventory or move order issue.
Move Order Requisition
The requisition is a manually generated request for a move order. You can generate requests
for subinventory transfers or move order issues. The requisition can optionally go through an
Oracle Workflow approval process before it becomes a move order. If no approval process is
used, the requisition becomes a move order immediately.
Replenishment Move Order
These move orders are generated automatically. For example, kanban cards can create a
replenishment move order where the pull sequence calls for a subinventory transfer
(intra-organization kanbans), or by min-max planned items where the items replenishment
e
l
c
a
r
O

Chapter 7 - Page 63
source (set at the item-subinventory level) is another subinventory. In this case, the min-max or
replenishment count report automatically generates a move order. Replenishment move orders
are pre-approved and ready to be transacted.
The type of move order generated depends on the replenishment source:
If the replenishment source is a supplier, then a move order requisition is created.
If the replenishment source is another inventory organization, then an internal requisition
is created.
If the replenishment source is a subinventory then a replenishment move order is created.
Note that the source subinventory must be set up at the item subinventory level. For the
min-max report to generate a move order, the report must be generated at the subinventory
level.
For kanban to generate a move order, the pull sequence source type must be set to Intra-org.
Pick Wave Move Order
The pick release process generates move orders to bring the material from its source location in
stores to a staging location, which you define as a subinventory in Oracle Inventory. This
transaction is a subinventory transfer.
These move orders are generated automatically by the Oracle Shipping Execution pick release
process.
These orders are pre-approved and ready to transact. Pick slips and other shipping and
inventory reports will also be available with Oracle.
WIP Issue Move Orders
An optional process in Oracle WIP allows you to run pick release for the components of a
range of jobs or schedules. This process creates move orders to either directly issue the
material to WIP, or to move the material to the backflush locator. These orders are
automatically approved, the picking rules are sued to allocated material for the job, and pick
slips can be printed for warehouse users.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 64
c
A
Move Order Components
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Move Order Components

Move Order Header
The move order header contains the move order source type. This refers to the entity that
created the move order. An order could be a pick wave for sales order picks, a replenishment
type move order, a requisition for subinventory transfer, and so on. The move order header also
contains the default source and destination if available, the order number, and the requested
date.
Move Order Lines
Move order lines are the requests on a move order. They contain the item, requested quantity,
the completed quantity (if the move order has been partially fulfilled), and a source and
destination, if known. The move order lines also include any project and task references, if the
organization is project-manufacturing enabled. You can also enter specific serial or lot
numbers on the move order lines.
Move Order Line Details
The line details are the inventory transactions that will occur to fulfill a particular request line
(move order line). If the material is locator-, lot-, or serial-controlled, this information is filled
in at the line detail level. These details are automatically filled in by Oracle Inventory using the
e
l
c
a
r
O

Chapter 7 - Page 65
inventory picking rules and the item-transaction defaults for destination locators or you can
manually fill in the details. You can edit these details prior to transaction.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 66
c
A
Generate Move Orders
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Generating Move Order Requisitions

You use the Move Orders window to create move order requisitions by specifying item,
quantity, source, destination, locations, and other order information. For each move order, an
order number is required. A number is defaulted for you if you leave the field without entering
a value.
In the Default region, you can set up values that default to the lines. Default fields are not
required. You can set up a default transaction type of either Subinventory Transfer or Move
Order Issue. A Move Order Issue is the same as an account issue. You can specify the Move
Order Issue for accounts and account aliases. You can define a default source subinventory,
destination subinventory or account, for Move Order Issues, as well as the requested delivery
date (date required) for the material.
The lines are the actual material requests for the move order. In the Item tabbed region, you
can specify the item, revision, and quantity, and you can update the delivery date for that item.
A move order requisition manually requests subinventory transfers or Move Order Issues.
These requests can optionally go through an approval process before they become move orders
that are ready to be sourced and transacted. The approval process does not include dollar
amount constraints.
e
l
c
a
r
O

Chapter 7 - Page 67
Defining Project and Task Information

If the organization is a project manufacturing-enabled organization, you specify the project and
task in the Project and Task tabbed region.
Defining Source Information
You use the Source tabbed region to specify the subinventory from which to draw the material.
This field defaults from the header-level default block but can be overridden if necessary. You
can also specify the locator, lot, and serial numbers if known to use for the transactions. Only
the subinventory field is required. If you do not know from where the items should come, the
On Hand button takes you to an on-hand inquiry window for that item to locate the material
within your organization.
Defining Destination Information
You use the Destination tabbed region to specify the subinventory or account for Move Order
Issues that the material should be delivered. This field defaults from the header-level default
block but can be overridden if necessary. You can also specify the destination locator for
subinventory transfer move orders if known.
Defining Control Information
You use the Control tabbed region to request a subinventory transfer or Move Order Issue at
the line level by selecting a transaction type. This field defaults from the header-level default
block but can be overridden if necessary. You can optionally specify a reason and reference
code on the inventory transactions.
(Help) Oracle Manufacturing Applications > Oracle Inventory >Transactions > Overview of
Move Orders
.. / Generating Move Order Requisitions
../ Generating Replenishment Move Orders
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 68
c
A
Move Order Allocating
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Allocating Move Orders

Allocating is the process in Oracle Inventory that uses picking rules and item transaction
defaults to suggest move order line details to fulfill a move order line. The line details are the
inventory transactions that must be fulfilled to complete the move order allocation. You can
consider the allocating process as a sourcing process. Allocating occurs when you click the
Allocate button in the Transact Move Orders window.
Suggesting Sources
Oracle Inventory uses the picking rules you set up at the organization or organization-item
level to suggest source locators, revisions, and lots to source the material in order to fulfill a
move order allocation.
You can optionally use the Select Available Inventory Window to manually select material.
This window displays available inventory that meets the demand the move order requires. It
displays only material that satisfies the picking rules that are in effect, and presents the material
in order of the sort criteria on the picking rules. You can then manually select the material to
allocate against the move order, and the system creates the allocations.
You can modify or delete existing allocations, as well as create new allocations. If you choose
to create new allocations, the system checks whether the new allocation criteria drives the lot
e
l
c
a
r
O

Chapter 7 - Page 69
balances negative or whether the lot is indivisible. The system honors lot-specific conversions,
process manufacturing quality matches, material status, and preferred grade if you set the
profile option INV: Target Preferred Grade to Yes. The information that appears on this page is
available according to the picking rules you define, and sorted in the order defined on the
allocation rules.
Suggesting a Destination
The picking rules only suggest source locations. If the destination subinventory is locatorcontrolled and no locator is specified on the move order line, Oracle Inventory generates a
suggestion based on the item subinventory locator default you set up for move orders. You can
set up a default locator for each item that you want to move around the warehouse on a move
order. This is not the same default type that you would use for receiving or shipping.
You have two choices in transacting the move orders to transfer the material to the destination
location:
Automatic Pick Confirmation: The move order is transacted instantly after the order is
allocated without any further human intervention. On-hand inquiries will show the
material in staging. You can then perform ship confirmation.
Manual Pick Confirmation: You can confirm the pick of the move order allocation. You
can also update any picking details such as the source locations, lots or serials and to
report shortages or inventory inaccuracies and allow the system to generate more pick
suggestions. Reporting inventory inaccuracies enables you to request a cycle count in the
inventory area where the material was not found if so desired.
Oracle Shipping
Oracle Shipping provides two choices for when and how you can fill in the line details. These
choices are made by setting up an organization parameter but can be overridden at pick release.
Auto allocate: The allocating process is done at pick release instantly after the move order
is created. No more human intervention is needed and the pick slip can be printed
automatically.
Pick release only creates move orders but does not fill in the line details. You must
navigate to the move order form after pick release and click on the Allocate button. This
option allows warehouse managers to determine when to release the pick to the floor and
might be a better solution for implementations running a global order entry with
distributed warehouse management and/or shipping. In these cases, orders can be released
to regional warehouses from the central order management location in advance and
individual warehouses can schedule picks closer to actual ship time.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 70
c
A
Item Allocation
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Allocating Items
Reservation
A reservation is a link between a supply source and a demand source. A reservation creates a
permanent data link between a supply source and a demand source, and represents a guaranteed
allotment of material to a specified demand source.
Pending Transaction
A pending transaction is a transaction that Oracle Inventory expects to occur shortly, but
confirmation of the transaction has not yet been recorded. This is a material pick that has not
yet been completed. Move order line details are an example of the pending transaction. A pick
slip may have already been printed, but the picker has not yet indicated that they have
deposited the material in the destination location.
Neither reserved material nor a pending transaction quantity is included in any availability
calculation for the source location.
You should not allocate a move order line too soon in the business process, because the
allocating process for a move order creates pending transactions and removes that quantity
from an availability picture. Allocating should not be done until you are ready to print the pick
slip and move the material.
e
l
c
a
r
O

Chapter 7 - Page 71
Transact Move Orders
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Transacting Move Order Lines

Use the Transact Move Order Line Allocations window to view, allocate, transact move order
allocations, view the move order line details, and transact move order allocations. Transacting
move orders will post all movement activity immediately for the selected move order line and
its related details. You can save and exit the move order line details without transacting if you
need to print a pick slip report. This enables you to transact each detail line before or after
picking the material.
For more information see Allocating Transacting Move Orders, Oracle Inventory Users
Guide.
e
l
c
a
r
O

Chapter 7 - Page 72
Practice - Transacting Move Orders

Overview
In this practice you will generate and transact move orders.
Assumptions
You are skilled in Oracle navigation
You completed the Define Items practice
You completed the Locator controls practice
You completed the define subinventory practice
Tasks
y
m
Create a Move Order
e
d
a
Create a move order for your item and move 10 pieces from the ##FGI subinventory to your
##Main subinventory using the following information:
Number:
##-1
Description:
Team ## Move order
Transaction Type:
Move Order Transfer
Item:
##Item08
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Transact Move Order
Verify your move order, and make changes such as locator control. When complete transact your
move order.
Verify the Results
Verify your transaction was processed.
e
l
c
a
r
O

Chapter 7 - Page 73
Solution Transacting Move Orders

Create a Move Order
Create a Move Order
1.
Navigate to the Move Order window.
2.
(N) Move Orders > Move Orders
Define a Move Order Using the following Information:

Number:
##-1
Description:
Team ## move order
Transaction Type:
Move Order Transfer
Source Subinventory: ##FGI
Item:
##-Item08
Quantity:
10
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
ra
3.
(T) Destination
Subinventory:
Locator:
##Main
##.02.01

Chapter 7 - Page 74
c
A
y
m
4.
(B) Approve
5.
e
d
a
Transact Move Order

6.
7.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Navigate to the Transact Move Orders window.

(N) Move Orders > Transact Move Orders
Find your move order.
Numbers:
e
l
c
##-1
a
r
O

Chapter 7 - Page 75
c
A
8.
(B) Find
y
m
e
d
a
9.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Update your Move Order.
a
r
O
(B) View/Update Allocations
Verify/Update the following:


Chapter 7 - Page 76
c
A
Subinventory:
To Subinventory:
To Locator:
Quantity:
##FGI
##Main
##.2.01
10
y
m
e
d
a
10. (B) Transact

11. (B) OK
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Verify the Results
13. View the results to verify the transaction processed.
(N) Transactions >Material Transactions
14. Enter Item ##-Item08 in the Item field
e
l
c
a
r
O

Chapter 7 - Page 77
c
A
y
m
15. (B) Find
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 78
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 79
c
A
Guided Demonstration - Defining Subinventories

1.
(N) Setup > Organizations > Subinventories
2.
(M) File > New
3.
Enter the following subinventory information:

Name:
Raw
Description:
Raw Materials
Locator Control:
Item Level
4.
(B) Open.
5.
Select Receiving as the subinventory Type.
6.
(M) File > Save.
7.
8.
y
m
e
d
a
Verifying Subinventories
9.
(N) Change Organization.
10. Select M2 Boston Manufacturing.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
11. (N) Setup > Organizations > Subinventories

12. (M) View > Find.
13. Enter Raw in the Find Field.

14. Click OK.
15. Note that subinventory Raw is not available in M2.

e
l
c
a
r
O

Chapter 7 - Page 80
c
A
Mobile Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Mobile Transactions
Oracle Mobile Materials Management enables you to use mobile devices to perform receiving,
inventory, and shipping transactions. You can:
Record inspections, deliveries, and material movements during receiving transactions.
Create transactions for material including kanban movement, cycle counting, and
intraorganization replenishment.
Perform pick confirm and ship confirm transactions.
Print labels
Inquire on item and kanban transactions
Subinventory transfer
Transact move order
Inter-Organization Transfer
Perform mover orders
Transfer inventory between organizations
Transfer material between subinventories
e
l
c
a
r
O

Chapter 7 - Page 81
For more information see Mobile Materials Management, Oracle Mobile Supply Chain
Applications Users Guide.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 82
c
A
Guided Demonstration - Mobile Application Interorganization

Transfers
1.
Enter telnet esxxxx.oracle.com 7070 in the Windows Run dialog box, where xxxx is the
instance number.
2.
Select Default from the Device List.
3.
Enter your user name and password. Note that the responsibility, Materials & Mfg must
be assigned to your user name.
4.
If there is more than one responsibility assigned to your user name, select Materials & Mfg
from the Responsibilities list.
5.
Select Inventory from the Materials & Mfg menu.
6.
Select Transfers.
7.
Select Org Transfer.
8.
Enter M1 as the Org code.
9.
Enter M2 as the To Org.
y
m
e
d
a
10. Enter Intransit Shipment as the transaction type.

11. Enter 001 as the shipment number.
12. Enter AS18947 as the item to ship.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
13. Enter FGI as the from subinventory

14. Enter 5 as the quantity to transfer.
15. Select Done.
e
l
c
a
r
O

Chapter 7 - Page 83
c
A
Practice - Performing Mobile Transactions

Overview
In this lab you will transfer items from one organization to another.
Assumptions
If you are in an education center, verify you are logged in to the launch pad.
Tasks
Interorganization Transfers Using the Mobile Interface
Use the Mobile interface to conduct an interorganization transfer using the following
information:
From Organization:
M1 Seattle
To Organization:
M2 Boston
Item:
your choice
Quantity:
5
e
d
a
y
m
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 84
c
A
Solution Mobile Transactions

Interorganization Transfers Using the Mobile Interface
Responsibility = Materials & Mfg
1.
Start the Telnet session.

Windows Start menu > Run
Enter telnet esxxxx.oracle.com 7070 in the Run dialog box, where xxxx is the
instance number.
2.
3.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
y
m
e
d
a
c
A
Enter your user name and password. Note that Materials & Mfg responsibility must be
assigned to your user name.
a
r
O

Chapter 7 - Page 85
4.
If more than one responsibility had been assigned to your user name, then select Materials &
Mfg from the list.
y
m
e
d
a
5.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select Inventory from the Materials & Mfg Menu.
e
l
c
a
r
O

Chapter 7 - Page 86
c
A
6.
Select Transfers from the Inventory Menu.
y
m
e
d
a
7.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select Org Transfer from the Transfers Menu.
e
l
c
a
r
O

Chapter 7 - Page 87
c
A
8.
Enter your item to transfer using the following information: (The mobile device is case
sensitive)
Org Code:
M1
To Org:
M2
Trx Type:
Intransit Shipment
Shipment Number:
##
Item:
Your Choice
From Sub:
##FGI
Quantity:
1
To Sub:
Stores
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 88
c
A
9.
Select Done.
Note: Use the down arrow to advance to Done.
y
m
10. Select Logout.
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 89
c
A
Managing Shipments
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Managing Shipments
You can review and update intransit shipments between inventory organizations.
Shipment Visibility: You can access all incoming and outgoing shipments associated with
the current organization.
Shipment Header: You can update information pertaining to the shipment header such as
Ship-to Location and Number of Containers. If you change the Expected Receipt Date,
Oracle Purchasing updates Shipment Supply to reflect the new due date.
Shipment Lines: You can update information pertaining to the shipment lines such as
Expected Receipt Date, Receipt Routing, Packing Slip, and Note to Receiver. The receipt
routing that you specify in Maintain Shipments overrides routings specified at the item,
organization, or system levels.
e
l
c
a
r
O

Chapter 7 - Page 90
Transactions Reports
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 91
c
A
Transactions Reports (Cont)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 92
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 93
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 94
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 95
c
A
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 7 - Page 96
c
A
On-hand and Availability
y
m
Chapter 8
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 2
c
A
R12 On-hand and Availability
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 3
c
A
Objectives
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 4
c
A
Overview of On-hand Quantity
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Overview of On-hand Quantity

On-hand quantity is the physical quantity that resides in your subinventory. For example, the
Bulk subinventory has 15 items that reside in it. Therefore, the on-hand quantity for the Bulk
subinventory is 15.
e
l
c
a
r
O

Chapter 8 - Page 5
Overview of Reservations
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Overview of Reservations
A reservation is a link between a supply source and a demand source. A reservation creates a
permanent data link between a supply source and a demand source, and represents a guaranteed
allotment of material to a specified demand source. Item reservations prevent the allocation of
material you previously set aside for a sales order, account, account alias, inventory allotment,
user-defined source, process batch components or, Oracle Complex Maintenance and Repair
Overhaul work order components. You can also create reservations for different types of
supplies such as on-hand inventory, purchase orders, internal requisitions, discrete jobs, shop
floor jobs, and process manufacturing batches. In addition, you can create reservations for
advanced shipment notices (ASNs) and material in receiving for Oracle Warehouse
Management enabled organizations.
e
l
c
a
r
O

Chapter 8 - Page 6
Overview of Availability
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
To Planning functions, avail = supply - demand for a particular time period

To Inventory, avail = on hand-res-pending transactions
Note
Availability to Inventory is not the same as availability to Planning- Planning looks at
inbound supply in addition to on hand quantity and deducts other demand. Inventory only
looks at what is on hand and subtracts what is committed to other uses (i.e reserved or about
to be moved or issued out the door)
Availability to Inventory depends on what you want to use the material for. For example, if
you have material that is in a non-reserved subinventory, that quantity will not be available to
reserve but it may be available to transact (for miscellaneous issues etc).
e
l
c
a
r
O

Chapter 8 - Page 7
Reservation Versus Allocation
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reservation Versus Allocation

For Oracle Inventory, a reservation is a guarantee of inventory. These can be made at a variety
of levels. For example, you can reserve five mountain bikes in the FGI subinventory. You can
create a reservation any time you book an order or schedule a job. Reservations do not have to
be for on-hand inventory. You can reserve purchase orders, wip jobs, process manufacturing
batches, and so on.
An allocation is a transaction suggestion generated by the allocation process (essentially a
pending pick). It honors the reservations made, if any, and the picking rules specified.
Allocations are detailed down to the subinventory, locator, and if applicable, lot level.
Allocations are the result of the pick release process. Allocations are only created against onhand inventory.
e
l
c
Both allocations and reservations deduct from available inventory but in different ways. There
are checks in place to ensure that the system does not double deduct when you have a reserved
sales order that has also been allocated but not picked.
a
r
O

Chapter 8 - Page 8
Material Workbench
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Material Workbench
The Material Workbench enables you to view material in receiving, on-hand quantities, and
inbound material. You can also view material across organizations. In addition, you can create
and save queries, create move orders, and request cycle counts, as well as change material
statuses.
You can view item quantity across organizations. You can view only material in organizations
to which you have access. If you do not enter an organization, you must enter an item.
e
l
c
a
r
O

Chapter 8 - Page 9
Display Options
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Display Options
The viewing option that you select dictates the information the Material Workbench displays.
The viewing options are:
Location: Location information includes the subinventory and associated locators. You
can also view subinventory quantities, including packed and unpacked quantities. This is
the only view by option that you can use if the material location type is Inbound.
Item: Item information includes the organization, item number, UOM, available quantity,
lot, and serial number. You can use this option only if the material location type is Onhand.
Cost Group: Cost Group information that is assigned to the item. You can use this option
only if the material location type is On-hand.
Status: Status information that includes the statuses assigned to subinventories, locators,
lots, and serials. You can use this option only if the material location type is On-hand.
LPN: If you are in an Oracle Warehouse Management enabled organization, you can view
LPN information for the item. You can use this option if the material location type is Onhand, Receiving, or both.
e
l
c
a
r
O

Chapter 8 - Page 10
Serial: Serial information lists the serial numbers that are generated for an organization
and the items that are associated with the serial numbers. You can use this option only if
the material location type is On-hand.
Lot: The system lists the lot numbers that are generated for an organization and the items
that are associated with the lot numbers. You can use this option only if the material
location type is On-hand.
Grade: The system lists the grade and the items that have a particular lot grade. You can
use this option only if the material location type is On-hand.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 11
c
A
Viewing Available Items
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Viewing Available Items

You can use the Material Workbench to view item availability. The system can calculate item
availability for a given item at the subinventory, locator, lot, serial, or revision level. You can
view items that are available to reserve as well as available to transact. The system shows the
information in both the primary and secondary quantities if applicable.
e
l
c
a
r
O

Chapter 8 - Page 12
Material Workbench Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Material Workbench Transactions

You can use the material workbench to perform the following transactions:
Status Update: Enables you to change material status information.
Cost Group Transfer: Enables you to transfer the item to another cost group.
Grade Update: Enables you to update a lot grade.
You can use the material workbench to perform the following requests:
Mass Move: Moves the selected items to a new subinventory.
Mass Issue: Enables you to mass issue an item.
Cycle Counting: Enables you to initiate a cycle count for the selected subinventory.
e
l
c
a
r
O

Chapter 8 - Page 13
Guided Demonstration - Using the Material Workbench

1.
Navigate to the Material Workbench
(N) On-hand, Availability > On-hand Quantity
2.

Receiving:
Deselected
Inbound:
Selected
On-hand
Deselected
3.
(B) Find
4.
Click Organizations
5.
Click M1
6.
Click Inbound
7.
Click Purchase Order to view all incoming purchase orders.
8.
Click the top purchase order to view information about the purchase.
9.
(B) Availability
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
e
l
c
a
r
O

Chapter 8 - Page 14
c
A
e
d
a
y
m
Practice - Using the Material Workbench

Overview
In this practice you will use the Material Workbench to view the on-hand quantity for your an
item.
Assumptions
Tasks
Use the Material Workbench to view all On-hand Quantity in a Subinventory
1.
Use the Material Workbench to view all items in your ##FGI subinventory and note the
quantities.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 15
c
A
Solution Using the Material Workbench

Use the Material Workbench to view all On-hand Quantity in a Subinventory
1.
Navigate to the Material workbench
2.
(N) On-hand, Availability, On-hand Quantity

Organization:
M1
Subinventory:
##FGI
On-hand:
Selected
View by:
Location
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 16
c
A
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
3.
(B) Find
4.
Click Organizations
5.
Click M1
6.
Click Onhand
e
l
c
a
r
O

Chapter 8 - Page 17
c
A
7.
Select Item ##-03 in the right pane.
8.
(B) Availability
e
l
c
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 18
c
A
y
m
e
d
a
9.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
What is the total quantity? _______________________________________
10. What is the available to reserve quantity? _____________________________

11. What is the available to transact quantity? _____________________________
e
l
c
a
r
O

Chapter 8 - Page 19
Available to Promise
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Available to Promise
Available to Promise (ATP) represents the quantity available for sale at any given period. The
basic formula for ATP is ATP quantity = on-hand quantity + supply - demand shortage.
Oracle Inventory enables you to define different rules that govern what is considered supply
and demand. Available to promise process looks at existing supply and demand to determine
availability. For example, you have 100 units on hand on Monday, and 100 units of purchase
orders coming on Tuesday and new orders that you plan to release to execution for 100 units
on Wednesday. Consequently, the available to promise on Monday is 100, Tuesday is 200, and
Wednesday is 300.
Capable to promise
The capable to promise computations will try and create new supplies to compute availability.
If there is a demand for 200 units on Monday, then the system determines whether to move the
availability date to Tuesday when the Purchase orders and on-hand make it 200 units or see if
there is enough capacity and upstream materials (components) to make, procure, or transfer
100 additional units to make the availability for Monday.
e
l
c
a
r
O

Chapter 8 - Page 20
What are Supply and Demand?
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 21
c
A
Uses of ATP in Oracle Inventory
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Uses of ATP in Inventory

You can view the earliest available data for a specific quantity of an item or a group of
items and the available quantity of an item for a specific date.
You can view the supply, demand, and ATP item quantities for the periods that fall
between the current date and the end of the ATP horizon.
e
l
c
a
r
O

Chapter 8 - Page 22
ATP Rules Setup Steps
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Defining an ATP Rule

Navigation Path
Inventory Responsibility (N) Setup > Rules > Available to Promise
You can use the following equation to calculate the ATP quantity for each supply period.
Period ATP = (period supply) (period demand)
e
l
c
a
r
O

Chapter 8 - Page 23
Defining Computation Options
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ATP Computation Options

When you define ATP rules, you must specify computation options. Computation options
govern how to calculate the ATP quantity in each period. You can use computation options
individually or in combination.
Backward Consumption of Shortage
You can calculate ATP information by using the surplus quantity of an item from prior ATP
periods to cover a period shortage. If the period ATP is negative, you can go backward through
the supply periods, one at a time, and subtract the shortage from the available quantity. You
can keep going backward until the shortage disappears or you run out of periods.
Forward Consumption of Shortage
You can calculate ATP information by using a surplus quantity of an item from future ATP
periods to cover an earlier period shortage. If the period ATP is negative, then you can go
forward through the supply periods, one at a time, and subtract the shortage from the available
quantity. You can keep going forward until the shortage disappears or you run out of periods.
e
l
c
a
r
O

Chapter 8 - Page 24
Defining Computation Options
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Determining ATP using Accumulation Options

You can use the Accumulate Available option to calculate ATP by carrying over the available
quantity of an item from one ATP period to the next.
Note: This option assumes backward consumption of shortage.
Entering an Accumulation Window
Accumulation window is the number of days by which to limit the accumulation of available
supply. The accumulation window is measured in workdays based on the organization calendar
and exception set.
The accumulation window option prevents the commitment of near-term supply to orders that
have requirement dates far into the future. The accumulation window applies to only the
following two computation options:
Accumulate Available
Backward Consumption
e
l
c
a
r
O

Chapter 8 - Page 25
Specifying Supply and Demand Time Fences
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A

A time fence is the total lead time required to purchase or manufacture an item. You can define
item time fence options to provide timing information for the ATP calculation.
The ATP calculation algorithm uses the following time fences:
Past-due-supply time fence
Past-due-demand time fence
Infinite-supply time fence
Entering Past Due Supply and Demand Days
Past-Due-Supply Days
The ATP process does not consider any supply scheduled before the past-due-supply time
fence date. The ATP process considers all supply from the beginning of the past-due-supply
time fence date to the current date as supply for the current date.
Past-due-supply time fence date = (current date) (past-due-supply days)
Past-Due-Demand Days
e
l
c
a
r
O

Chapter 8 - Page 26
The ATP process does not consider any demand scheduled before the past-due-demand time
fence date. The ATP process considers all demand from the beginning of the past-due-demand
time fence date to the current date as demand for the current date.
Past-due-demand time fence = (current date) (past-due-demand days)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 27
c
A
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Selecting an Infinite-Supply Option

The infinite-supply time fence date is the end of the ATP horizon. Oracle Inventory does not
consider supply sources scheduled on or after this date in ATP calculations. The infinite-supply
option represents the total time beyond which the ATP process assumes that infinite supply is
available to cover any scheduled demand.
You can select one of the following infinite-supply options:
Cumulative manufacturing lead time: The manufacturing lead time of an assembly plus
the largest adjusted cumulative manufacturing lead time of its components.
Cumulative total lead time: The total lead time of an assembly plus the largest adjusted
cumulative total lead time of its components.
Total lead time: The sum of the preprocessing, processing, and postprocessing lead times
of an item.
User-defined time fence: A lead time that you specify for the item.
e
l
c
a
r
O

Chapter 8 - Page 28
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Specifying a Supply Period

Oracle Inventory designates a period as beginning on a scheduled supply date and ending on
the day before the next scheduled supply date. A supply period can cover several days or be a
minimum of one day.
If supply occurs on a nonworkday, the ATP calculation considers that supply as belonging to
the next workday. If multiple supply events occur on the same day, the ATP process considers
the total supply.
e
l
c
a
r
O

Chapter 8 - Page 29
Specifying Demand Sources
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ATP Demand
ATP demand is the sum of all demand quantities in the supply period. If demand occurs on a
nonworkday, the ATP calculation considers that demand as belonging to the previous workday.
ATP by Demand Class Check Box
If you select the ATP by Demand Class check box, the ATP calculation considers only supply
and demand for a particular demand class. The demand class feature enables you to forecast,
plan, and promise based on subdivisions of your demand. For example, a demand class might
represent a large customer or a group of related customers.
If you select ATP by Demand Class, Oracle Inventory considers only the following sources of
supply:
Discrete MPS
Repetitive MPS
Discrete WIP
Repetitive WIP
Nonstandard WIP
Including User-defined Demand Sources
e
l
c
a
r
O

Chapter 8 - Page 30
In addition to Oracles predefined sources, you can use your own demand sources. To use your
own demand sources, you must populate the user-defined demand interface table with your
external demand information.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 31
c
A
Specifying Supply Sources
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Using the Available On-Hand Quantity as the Supply Source

You can choose to include available on-hand quantity as a source of supply. However, you
should not typically use available on-hand quantity as supply in make-to-order and assembleto-order environments.
Including User-Defined Supply as a Supply Source
In addition to Oracles predefined supply sources, you can use your own supply source.
However, you must populate the user-defined supply interface table with your external supply
information.
e
l
c
a
r
O

Chapter 8 - Page 32
Setting Up Item and Bills for ATP Checking
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 33
c
A
ATP Checking
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Enabling ATP Checking When Placing a Demand

If you enable the Check ATP attribute, the item must pass an ATP test before you can place a
demand for it in Oracle Order Management. When you place a demand for the item in Oracle
Order Management, the ATP process checks to see if there is sufficient quantity.
If you decide not to enable the Check ATP attribute, then you can place a demand for the item
even if there is not sufficient stock to satisfy the demand. You should not enable the Check
ATP attribute for items that are noncritical, rarely out of stock, on a short manufacturing cycle,
or replenishable on short notice.
Specifying an Item ATP Rule
Oracle Inventory uses the ATP rule that you assigned to check ATP when you place a demand
for the item in Oracle Order Management. If you do not specify an ATP rule for the item, the
ATP process uses the organization-level default ATP rule that you enter in the Organization
Parameters window.
e
l
c
a
r
O

Chapter 8 - Page 34
Guided Demonstration - Creating an ATP Rule

1.
Navigate to the ATP Rules window.
2.
(N) Setup > Rules > Available to Promise

Name:
Description:
Backward
Past Due Days Demand:
Infinite Supply:
Aggregate Order Promising Time Fence:
3.
Select the following Demand Sources:

Sales Orders
Internal Orders
Discrete WIP
Repetitive WIP
4.
Select the following Supply Sources:

Discrete WIP
Repetitive WIP
Internal Reqs
Supplier Reqa
Purchase Orders
On-hand Available
Interorg Transfers
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
5.
(M) File > Save
6.
e
l
c
ATP_Backward
ATP Backward consumption
Selected
10
User-defined time fence
User Defined
a
r
O

Chapter 8 - Page 35
y
m
c
A
e
d
a
Reservation Types
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reservation Types
For on-hand inventory supply, there are two types of reservations, high level reservations, and
low level reservations. High level reservations contain information about the item and the
organization. Low level reservations contain more detailed information about the item such as
revision, lot, subinventory, serial, and locator. You use the Item Reservations window to
create, view, update, transfer, and delete reservation requests.
e
l
c
a
r
O

Chapter 8 - Page 36
Supply Types
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 37
c
A
Demand Types
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
User-Defined Demand
You can create your own demand types based on transaction source types. For example, you
can create a demand type for consigned material that you receive from a supplier. For more
information about creating transaction source types see Defining and Updating Transaction
Source Types, Oracle Inventory Users Guide.
e
l
c
a
r
O

Chapter 8 - Page 38
Reserving Material
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reserving Material
You can create reservations as high-leveled or as detailed as you would like. You can reserve
material at the subinventory, locator, and if applicable lot and serial level.
You can reserve specific serial number, or reserve multiple serials. You can only enter a serial
for the supply type Inventory using the Reservations window. If you enter a serial number in
the serial column, and the item is uniquely identified in the system, then the quantity and
reserved serial quantity fields default to one, and all other applicable fields such as item, lot,
and LPN default as well. If the item is not uniquely identified, then you must enter the item
number. Once you enter the item number the rest of the information populates automatically. If
you reserve multiple serials, then the column Reserved Serial Quantity displays the amount of
serials you reserved. Though this value can differ from the quantity column, it cannot exceed
the quantity column.
Changes to Supply
If you make changes to supply sources, then the system behaves as follows for the different
supply types:
e
l
c
a
r
O

Chapter 8 - Page 39
Purchase Requisition: If you reduce the quantity of, or cancel a purchase requisition that is
reserved against a demand, then the system reduces or the cancels corresponding
reservation.
Purchase Order: If you reduce the quantity of, or cancel a purchase order, that is reserved
against a demand, then the system modifies or cancels the corresponding reservation. Any
other changes to the purchase order that affect the expected quantity also trigger changes
to the associated reservation. Such changes include, changing the organization, or item, or
closing the order line.
Internal Requisition: You cannot modify an approved internal requisition. You can
however, modify the associated internal sales order. When you modify an internal sales
order, the system updates the supply data. If you modify the quantity of an internal sales
order, then the system also modifies corresponding reservations against the internal
requisition.
Advance Shipment Notice: If you cancel a reserved ASN then the reservations engine
checks to see if a reservation against the PO existed before the system transferred it to the
ASN. If a previous reservation exists, then the system transfers the reservation back to the
PO. If a previous reservation against the PO does not exist, then the system cancels any
reservations associated with the ASN.
Process Production Batches and Shop Floor Jobs: If you make a change to a process
production batch or a shop floor job, then the system updates the corresponding
reservations.
Changes to Demand
If you make changes such as canceling or reducing the quantity of a sales order, then Oracle
Order Management modifies corresponding reservations.
If you reserve components for a work order against inventory or a purchase order, and you
modify the demand source, then the system modifies the corresponding reservations.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 40
c
A
Reservation Management- Transfer Supply
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reservation Management- Transfer Supply

You can transfer the supply from an existing reservation from one supply source to another
supply source. For example, you can can transfer the reservation from one lot to another or
from on-hand inventory to a purchase order.
e
l
c
a
r
O

Chapter 8 - Page 41
Reservation Management- Transfer Demand
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reservation Management- Transfer Demand

You can transfer the demand from an existing reservation from one demand source to another
demand source. For example, you can transfer the inventory reserved from one sales order to
another (more important) sales order.
e
l
c
a
r
O

Chapter 8 - Page 42
Guided Demonstration - Creating Reservations

Responsibility: Manufacturing and Distribution Manager, Vision Operations USA
1.
Navigate to the Sales Orders window.
(N) Order Management > Orders, Returns > Sales Orders
2.
(T) Order Information
3.
Enter the following order-header information:

Customer:
AT&T Universal Card
Note: The rest of the required information defaults automatically.
4.
(T) Line Items
5.
Enter the following line-item information:

Ordered Item:
AS10000
Qty:
300
Request Date:
Greater than 30 days from todays date
Promise Date:
Greater than 30 days from todays date
e
d
a
6.
(T) Shipping
7.
Verify the following shipping information:

Warehouse:
M1
Source Type:
Internal
8.
Note your sales order number and line number_____________________________
9.
(B) Book Order
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
11. Navigate to the Reservations window.
(N) Inventory > On-hand Availability > Reservations
12. (B) New

13. (T) Demand
e
l
c
14. Enter the following demand information:

Organization:
M1
Item:
AS10000
Type:
Sales Order
a
r
O

Chapter 8 - Page 43
y
m
c
A
Header Number:
Line Number:
Your sales order number

Your sales order line number
15. (M) File > Tools > Select Available Inventory

16. Enter enough quantity to satisfy the demand from multiple subinventories in the Selected
Reservation Qty field. For example, select 150 from the FGI subinventory, and 150 from
the Stores subinventory.
17. (B) Done
Note: Oracle Inventory generates a new reservation for each inventory selection you make.
18. Enter your Header Number and Line Number information as necessary.
(M) File > Save
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 44
c
A
Practice - Creating Reservations

Overview
In this practice, you will create a reservation for one of your items.
Assumptions
Tasks
Create a Reservation
1.
Use the following information to create a reservation:

Organization:
M1
Item:
##-Item02
Type:
Inventory
Name:
Team ## Reservation
Need By Date:
Todays Date
Quantity:
10
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 45
y
m
c
A
e
d
a
Solution Creating Reservations

Create a Reservation
Responsibility = Inventory, Vision Operations
1.
Navigate to the Item Reservations window.
(N) On-hand, Availability > Reservations
2.
(B) New
3.
Enter the following Demand information:

Organization:
M1
Item:
##-Item02
Type:
Inventory
Name:
Team ## Reservation
Need by date:
Todays date
UOM:
Ea
Quantity:
10
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
4.
(T) Supply
5.
Enter the following Supply information:

Type:
Inventory
Name:
Team ## Reservation
a
r
O

Chapter 8 - Page 46
c
A
6.
(M) File > Save
7.
e
l
c
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 47
c
A
On-hand and Availability Reports
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 48
c
A
Profile Options
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 49
c
A
Profile Options (Cont)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 50
c
A
Implementation Considerations
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 51
c
A
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 8 - Page 52
c
A
Material Status Control
y
m
Chapter 9
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 2
c
A
R12 Material Status
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 3
c
A
Objectives
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 4
c
A
Material Status
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Explaining Material Status

Material Status control restricts the movement and usage of portions of on-hand inventory.
Using material status control enables you to control whether you can pick or ship an internal
order or sales order, or issue material for a work order. You can also specify whether material
needs to be quarantined until you inspect it. In addition, you can determine whether products
with a particular status can be reserved, included in available to promise calculations, or netted
in production planning. You assign material statuses at four levels: subinventory, locator, lot,
and serial.
Item status drives the item attributes by allowing you to keep an item from being built in
Oracle Work In Process, ordered, procured etc. Material status is a granular control over each
inventory transaction that applies to specific material within your warehouse or manufacturing
facility.
e
l
c
a
r
O

Chapter 9 - Page 5
Material Status Control Levels
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Material Status Control Levels

You assign subinventory and locator statuses in the subinventory and locator windows. The
location status applies to the material in the location and not the location itself. To assign a
material status to a lot or serial, you must first enable the item attributes Lot Status Enabled,
and Serial Status enabled on the item in the Item Master. You can also optionally assign a
default lot or serial status to an item on the Item Master. When you receive the item, the system
automatically assigns the default lot or serial status to the item. The lot or serial status remains
the same through all inventory transactions including organization transfers. If necessary, you
can change the material status at receipt, use the material workbench, or mobile status update
page to modify the material status. For more information about setting up lot and serial statuses
see Inventory Attribute Group, Oracle Inventory Users Guide.
e
l
c
When a material status is assigned to a subinventory or locator, the material is not assigned the
material status of the subinventory or locator; rather, it takes on the behavior indicated by the
material status at the subinventory or locator level.
a
r
O

Chapter 9 - Page 6
Material Status Transactions
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Material Status Transactions

A material status is a combination of transactions and planning actions that you choose to
disallow in a particular circumstance. Disallowed transactions and planning actions are
cumulative. When you set up transaction types, you determine whether some transactions can
be restricted by material status. The transactions for which you enable status control in the
Transactions Types window appear in the Material Status Definition window. If you do not
enable status control for a transaction type, then the transaction type is always allowed.
You can also assign the planning attributes Allow Reservations, Include in ATP, and Nettable
to the material statuses that you create. When you transact an item, the system checks all of the
material statuses. If the system finds a status that disallows the transaction, whether at the
serial, lot, locator, or subinventory level, then the transaction fails.
e
l
c
a
r
O

Chapter 9 - Page 7
Cumulative Effective Status
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Cumulative Effective Status

A cumulative effective status is the combination of all disallowed transactions. Disallowed
transactions and planning actions are cumulative.
When you transact an item, the system checks all of the material statuses. If the system finds a
status that disallows the transaction, whether at the serial, lot, locator, or subinventory level,
then the transaction fails.
For example, if you have a locator whose status disallows WIP Issue and that locator is in a
subinventory whose status disallows Sales Order Issue, neither of those transactions will be
allowed for material that is in the locator.
e
l
c
a
r
O

Chapter 9 - Page 8
Material Status Examples
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Material Status Examples

This example describes four typical material statuses and the actions to allow or disallow:
Active - This is a typical default for your warehouse. It does not disallow any transaction
types.
Hold - You might use this status for material that needs to be inspected or whose quality
is suspect. You could not perform certain transactions for material in this status until you
change it to a different status.
Immature - This status is useful for material that needs to age in the warehouse before
being picked or shipped for a sales order. You may want to allow internal orders to move
the material around your distribution chain, but picking and shipping this material for
orders to customers should be prevented.
Almost Mature - This material has a very short aging process, or is nearly mature. By
assigning material this particular status, you enable that material to be picked and staged,
but prevent the material from being shipped. As soon as material is completely matured,
it can be assigned a status of Active and shipped immediately.
e
l
c
a
r
O

Chapter 9 - Page 9
Setting Up
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 10
c
A
Defining Item Material Status Control
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Defining Item Material Status Control

When you define a material status, you can select the Lot or Serial check boxes so the system
can assign a default material status to a serial or lot controlled item at receipt. The receiving
operator can accept the default status that the system suggests, or he or she can assign another
status. You determine the default material status during item definition. Assigning a material
status to an item under lot or serial control is optional.
Any material status defined and enabled for lots can be set as the default material status of a
lot, and similarly, any material status defined and enabled for serials can be set as the default
material status of a serial number. The system uses the default material statuses to determine
which material status should appear on the receipt.
e
l
c
a
r
O

Chapter 9 - Page 11
Assigning Material Status Control to Subinventories and Locators
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Assigning Material Status Control to Subinventories and Locators

When you define material statuses, you can select the Subinventory and the Locator check
boxes so you can assign material statuses to subinventories and locators when you define
them.
Subinventories are assigned a material status in the Subinventories window. You also assign a
default locator status for all locators within the subinventory. This default locator status is
used in two situations:
1. When locator control is set to prespecified (all locators in the subinventory must be
defined before they can be used), the default status is used to default the locator status.
However, this status can be changed for each locator as it is defined.
2. When locator control is set to dynamic (locators need not be defined in advance, but will
be created on the fly as users define new locators), the default locator status will be used
for these newly defined locators.
e
l
c
a
r
O

Chapter 9 - Page 12
Assigning Planning Statuses
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Assigning Planning Statuses

When you define material statuses, you can choose to enable reservations, ATP, and nettable
control. If you choose to enable reservations for the material status, then you can view
material associated with this status in the Item Reservations window. You can create a
reservation against the material, and the system includes it in the available to reserve
calculations. For more information see Item Reservations, Oracle Inventory Users Guide.
If you choose to enable ATP for the material status, then the system includes material assigned
to this status in ATP calculations.
If you choose to Nettable, then the MRP planning process considers the requirements of the job
or schedule in its netting calculations.
Note: You cannot apply a status that is non-reservable, non-nettable, or non-ATPable to
serials.
e
l
c
a
r
O

Chapter 9 - Page 13
Disabling Material Statuses
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Disabling Material Statuses

You can disable material statuses you no longer use. If a material material status is assigned to
any lot, serial, subinventory, or locator, then you cannot disable it. You can use the Material
Workbench query, all entities with a particular material status, and then update the material
status of those entities. You can disable the material status once you reassign all of the entities
to different material statuses.
e
l
c
a
r
O

Chapter 9 - Page 14
Practice - Setting up Material Status Control

Overview
In this practice you learn how to set up and use material status control.
Assumptions
Tasks
Verify Transaction Type
1.
Verify the following Subinventory Transfer Transaction type is set for status control.
Define a Material Status

2.
y
m
Define a material status to be used only for subinventories that disallows subinventory
transfers. Use the following naming convention for your material status. Team ## Material
Status, where ## represents your team number.
Assign a Material Status

3.
c
A
Assign your material status to your low value subinventory. (##LV).
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Perform a Transaction with Your Material Status
e
d
a
4.
Use the following information to perform a miscellaneous receipt:

Item:
##-Item01
Subinventory: ##LV
Quantity:
15
Account:
01-580-7740-0000-000
5.
Attempt to perform a subinventory transfer for material in your ##LV subinventory.

Can you perform the subinventory transfer? _________________________________
e
l
c
a
r
O

Chapter 9 - Page 15
Solution Setting up Material Status Control

Verify Transaction Type
Responsibility = Inventory, Vision Operations
1.
Navigate to the Transaction Types window.
(N) Setup > Transactions > Types
2.
(T) System
3.
Verify Status Control is selected for the Subinventory Transfer transaction type.
y
m
e
d
a
4.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Define a Material Status

5.
Navigate to the Material Status window.
6.
(N) Setup > Transactions > Material Status
e
l
c

Name:
Team ## Material Status
Description:
Team ## disallow subinventory transfers
Usage:
Subinventory
a
r
O

Chapter 9 - Page 16
c
A
7.
Select transfer material between subinventories from the Allowed Transactions list.
8.
(B) >(A)
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(M) File > Save
Assign a Material Status
Navigate to the Subinventories Summary window.
e
l
c
a
r
O
9.
Select your ##LV Subinventory.

Chapter 9 - Page 17
c
A
10. (B) Open
y
m
11. Select your material status from the Status list of value.
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
12. (B) Ok

Chapter 9 - Page 18
c
A
y
m
e
d
a
13. (M) File > Save
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I

Perform a Transaction with Your Material Status
16. Navigate to the Miscellaneous Transactions window.
(N) Transactions > Miscellaneous Transaction

Type:
Miscellaneous Receipt
Account:
01-580-7740-0000-000
e
l
c
a
r
O

Chapter 9 - Page 19
c
A

Item:
##-Item01
Subinventory: ##LV
Quantity:
15
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 20
y
m
c
A
e
d
a
y
m
e
d
a
20. (M) File > Save

e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
23. Navigate to the Subinventory Transfers window.
(N) Transactions > Subinventory Transfer

Type:
e
l
c
a
r
O

Chapter 9 - Page 21
c
A

Item:
##-Item01
Subinventory: ##LV
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Can you perform subinventory transfer? No, ##LV is missing from the list of
subinventories.
a
r
O
Why is ##LV missing from the list of Subinventories? ____________________


Chapter 9 - Page 22
27. (B) Cancel

28. (M) Edit > Clear > Record
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 23
c
A
Material Status Reports
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 24
c
A
Profile Option
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 25
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 26
c
A
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 27
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O

Chapter 9 - Page 28
c
A
Inventory Replenishment
y
m
Chapter 10
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 2
c
A
R12 Replenishment Fundamentals
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 3
c
A
Objectives
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 4
c
A
Overview of Inventory Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Overview of Oracle Inventory

Inventory planning involves answering two questions:
When should you place a new order?
How much should you order?
Using the Oracle Inventory application, you can set up the following types of inventory
replenishment plans:
Min-max planning
Reorder-point planning
Kanban replenishment planning
Replenishment counting (for non-quantity tracked subinventories)
After you select the replenishment method that you want to use, Oracle Inventory concurrent
programs populate the requisition interface.
Oracle Inventory planning interfaces with Oracle Purchasing, and indirectly with Oracle Order
Management.
e
l
c
a
r
O
Chapter 10 - Page 5
Order Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Replenishment Considerations
Before you replenish your inventory, you should consider the following:
Order time
Order size
Planning method
When to Order
Typically, you should order when the on-hand quantity plus incoming supply minus demand is
less than the specified minimum inventory level. On-hand quantity refers to what you currently
have in stock. Supply represents on-hand stock plus inventory coming into the organization.
Demand represents the need for a particular item.
e
l
c
a
r
O
Chapter 10 - Page 6
How Much to Order
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
How Much to Order

Ideally, you should order a quantity that balances the cost of placing an order with the cost of
managing inventory while covering expected demand. After you determine the amount to
order, you can create a requisition to replenish inventory from another organization or a
supplier.
Note: Suppliers may have minimum order quantities.
e
l
c
a
r
O
Chapter 10 - Page 7
Replenishment Process for Intra-Org Supply Sources
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 8
c
A
Replenishment Process for Supplier Supply Sources
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 9
c
A
Replenishment Process for Inter-Org Supply Sources
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Chapter 10 - Page 10
c
A
Replenishment Process for Product Supply Sources
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Replenishment Methods
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Overview of Inventory Forecasting
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Overview of Inventory Forecasting

A forecast is n estimate of future demand on inventory items. A forecast contains information
on the original and current forecast quantities (before and after consumption), the confidence
factor, and any specific customer information. You can assign any number of inventory items
to the forecast and use the same item in multiple forecasts. For each inventory item, you can
you specify any number of forecast entries.
Oracle Inventory generates forecasts based on historical transaction activity. When creating a
forecast, you can select the type of transactions that you want to use. You can also specify how
far into the future that you want to forecast demand. After you complete a forecast, you can use
it to determine reorder-point planning. You can also load forecasts into the master schedule,
which is a component of the Oracle Material Requirements Planning (MRP) application. If you
do not have Oracle Planning installed, you can create forecasts only for reorder point
demand planning.
Forecast Sets
Forecast sets consist of one or more forecasts. Sets group complimenting forecasts into a
meaningful whole. For example, a forecast set could contain separate forecasts by region.
Forecast Rule
e
l
c
a
r
O
Forecast rules define the bucket type, forecast method, and the sources of demand.
Note: You can manually create forecasts using Oracle Inventory or Oracle MRP. There are no
constraints for manually created forecasts. Manually created forecasts can be based on
transaction activity other than historical data. For more information see Defining a Forecast
Rule and Generate a Forecast, Oracle Inventory Users Guide.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Forecast Types
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Forecast Types
Forecast generation uses mathematical algorithms to calculate a prediction of future demand.
You can calculate estimated future demand for items using historical data and focus or
statistical forecasting techniques. You can create multiple forecasts and group complementing
forecasts into forecast sets. Oracle Inventory supports the following forecast types:
Focus
Statistical
Focus forecasting enables you to simulate various methods of calculating demand so you can
select the best forecasting model. Statistical forecasting enables you to use detailed history and
applies weighted factors to exponentially smooth the data. Statistical forecasting also enables
you to apply exponentially weighted trend and seasonality factors to predict demand.
You typically use focus forecasting to produce single period forecasts, whereas you can use
Statistical forecasting to forecast any number of periods into the future.
e
l
c
a
r
O
Forecast Setup and Maintenance
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Guided Demonstration - Creating a Manual Forecast

Creating a Forecast Set
1.
(N) Planning > Forecasts > Sets
2.
Enter the following the information to create a forecast set:

Forecast Set:
FG Set
Description:
Finished Goods forecast set
Bucket Type: Weeks
Level:
Item
Forecast:
FGI
Description:
Finished Goods forecast
3.
(M) File > Save.
4.
Setting Up Forecast Entries
y
m
5.
(N) Planning > Forecasts > Entries
6.
(M) View > Find
7.
Select the FG Set forecast set.
8.
Enter the following forecast entry information

Item:
AS54888
Bucket:
Weeks
Date:
Todays Date
End Date:
1 week in advance.
Current:
1000
Item:
AS18947
Date:
1 week in advance
End Date:
2 weeks in advance
Current:
2000
Item:
AS18947
Date:
2 weeks in advance
End Date:
3 weeks in advance.
Current:
3000
e
l
c
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
9.
(M) File > Save.

c
A
Viewing Forecast Quantities

11. (N) Planning > Forecasts > View Entries
12. (M) View > Find.
13. Select the FG Set Forecast set.
14. Choose Bucketed
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Oracle Inventory Replenishment Methods
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Oracle Inventory Replenishment Methods

You can use Oracle Inventory to set up specific replenishment methods to help you decide the
size, timing, and amount to order. Oracle Inventory supports the following replenishment
methods:
Reorder-Point-planning
Min-Max planning
Kanban replenishment
Replenishment counting
For more information see Overview Inventory of Planning and Replenishment, Oracle
Inventory Users Guide.
e
l
c
a
r
O
Replenishment Methods Levels
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Oracle Inventory Replenishment Methods (continued)

Based on the replenishment method you select, you can perform replenishment planning at the
organization or subinventory level. The table in the slide summarizes the levels at which you
can perform a specific replenishment method.
Note that kanban replenishment is performed at the locator level. Also Periodic Automatic
Replenishment (PAR) which is a type of Replenishment Counting is also done at the locator
level.
e
l
c
a
r
O
Safety Stock
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Economic Order Quantity
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Economic Order Quantity

The economic order quantity (EOQ) is a type of fixed order quantity that determines the
amount of an item to be purchased or manufactured at one time. The intent is to minimize the
combined costs of acquiring and managing inventory.
e
l
c
a
r
O
Overview of Reorder-Point Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Reorder-Point Planning Overview

You can use reorder-point planning to order a quantity when the quantity falls to a
predetermined reorder-point. Ideally it is best to reorder at some point before inventory levels
fall into the safety zone. Safety stock typically provides a buffer from which to fill orders
between reorder-points. At the end of the lead time, the on-hand quantity should equal the
safety stock.
The essential feature of reorder-point planning is that it projects what the stock level will be
based on forecast demand and no visibility of sales orders at the end of the items lead time.
This projection is then used to decide whether or not the reorder-point has been reached. The
system calculates the reorder-point by adding expected demand during lead time to safety
stock.
You perform reorder-point planning for the entire organization. You can use reorder-point
planning for items under independent demand. That is, demand for items (or materials) that are
independent of the demand for other items (or materials). When you define an item, you can
specify reorder-point planning as the inventory planning method. You should use reorder point
planning only if demand and leads times are stable.
For more information see Reorder Point Planning, Oracle Inventory Users Guide.
e
l
c
a
r
O
Uses of Reorder-Point Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Uses of Reorder-Point Planning

You can perform reorder-point planning for the entire organization.
You can use reorder-point planning for items under independent demand.
You can specify reorder-point planning as the inventory planning method when you define
an item.
You can use reorder-point planning for items that you do not need to control very tightly
and that are not very expensive to carry in inventory.
You can use reorder-point planning to decide when to order new quantity before using
safety stock.
e
l
c
a
r
O
Reorder-Point Planning Steps
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Performing Reorder-Point Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Providing a Forecast
The reorder-point planning program uses information from the forecast to calculate the
Economic Order Quantity (EOQ) and the reorder-point quantity. The following equations show
each of these calculations:
EOQ = SQRT {[2 (annual demand) (order cost)] / (annual carrying costs)}
Reorder point = safety stock + [(lead time) (average demand)]
Providing On-Order Quantity Information
Oracle uses on-order quantity information to determine when to reorder an item. You should
reorder when the following is true:
(quantity on hand + quantity on-order) < reorder point
Oracle uses the following sources to calculate on-order quantities:
Purchase orders
Requisitions (internal and supplier)
In-transit shipments owned by the organization
Oracle Inventory uses purchase orders, requisitions, and in-transit shipments that are scheduled
to be delivered before the supply cutoff date.
e
l
c
a
r
O
Viewing Planning Information

You can view planning information before creating replenishment orders. If you want to create
replenishment orders automatically, then you must request requisitions.
Creating Requisitions
Oracle creates requisitions for all items that meet the following condition:
(quantity on hand + quantity on order) < reorder point
Oracle creates either purchase requisitions (if the source is a supplier) or internal requisitions
(if the source is an Inventory Organization). The reorder quantity is the EOQ constrained by
the following attributes:
Fixed-lot size multiplier
Minimum order quantity
Maximum order quantity
Reorder Submission
You can submit the planning process for all items under reorder-point planning or submit the
planning process for just those items that are below their reorder-point quantities.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Guided Demonstration - Setting up Reorder Point Planning

Setting up Reorder Point Planning for an Item
1.
Navigate to the Organization Items window.
(N) Items > Organization Items.
2.
Enter item AS18947 in the Item field.
3.
(B) Find.
4.
(T) General Planning.
5.
Change the Inventory Planning Method to Reorder Point.
6.
Change the Minimum Order Quantity to 35.
7.
Change the Order Cost to 45.
8.
Change the Carrying Cost % to 12.
9.
(T) Lead Times.
10. Change the Processing lead time to 5.

e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Running the Reorder Point Planning Report
13. Navigate to the Reorder Point Planning window.
(N) > Planning > Reorder Point Planning.
14. Select Items under reorder point as the Item Selection.

15. Enter Demand and Supply cut off dates.
16. Select FG Set from the list of values.
e
l
c
17. Submit your request.
a
r
O
Viewing the Reorder Point Planning Report

18. (N) Requests.
y
m
c
A
e
d
a
19. Find your request.

20. Choose View Output.
21. (M) File > Close.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Overview of Min-Max Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Min-Max Planning Overview

Min-max planning is a method of inventory planning that determines how much to order based
on user-defined minimum and maximum inventory levels. In contrast to reorder-point
planning, min-max planning is not based on demand projections and does not consider lead
time. With Oracle Inventory, you can perform min-max planning at the both the organization
and the subinventory levels. To perform organization-level min-max planning for an item, you
must specify organization-level minimum and maximum quantities. Min-max planning is
typically used to control low value inventory items that do not need great control. To perform
subinventory-level min-max planning for an item, you must specify subinventory-level
minimum and maximum quantities.
For more information see Min-Max Planning, Oracle Inventory Users Guide.
e
l
c
a
r
O
Uses of Min-Max Planning
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Min-Max Planning
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Min-Max Planning
Recall that Min-max planning is a method of that determines when and how much to order
based on user-defined minimum and maximum inventory levels.
Note: To perform organization-level Min-max planning for an item, you must specify
organization-level minimum and maximum quantities.
Deciding When to Order with Min-max Planning
You should order when the following is true:
(on-hand quantity demand) + (quantity on order) < minimum quantity
Quantity on order is the sum of purchase order quantities, requisition quantities, and intransit
shipments. It also includes WIP jobs as supply at the organization level. Quantity on order
represents supplies that you have not yet received in your organization.
e
l
c
a
r
O
Min-Max Planning: How Much to Order?
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Note
You can constrain the order quantity by specifying the following order modifiers for an item:
Fixed-lot multiplier
e
l
c
a
r
O
Min-Max Planning Steps
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Item Planning Attributes
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Min-Max Planning Setup Procedure
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Selecting a Planning Level
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Entering Planning Attributes
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Item Planning Attributes

After you select a planning level enter the appropriate planning attributes.
e
l
c
a
r
O
Submitting the Min-Max Planning Requests
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Submitting the Min-Max Planning Requests

In addition to setting up planning attributes, min-max planning involves submitting a
concurrent process that generates the min-max planning report. You can also perform
exception reporting with the min-max planning reporting feature. When you submit the minmax planning request, you must specify a number of parameters including parameters that
address the following:
Nettable subinventories
Demand quantities
On-order quantity information
Requisitions and WIP unrealized jobs
Exception reporting
You can submit the planning process for all items under min-max planning. You can also
submit the planning process for just those items under their minimum quantities and submit the
planning process for just those items over the maximum quantities.
Using Nettable Subinventories
e
l
c
a
r
O
Oracle Inventory enables you to use on-hand quantities that exist in either nettable or nonnettable subinventories, or both.
Displaying Demand Quantity
Oracle Inventory displays the sum of all unfulfilled demand created before the cutoff date. The
system calculates demand quantity by using information from the following sources:
Sales orders
Internal orders
You can include WIP job component requirements as a source of demand as well. You can net
unfulfilled demand against on-hand quantity and also include inventory reservations in netting
on-hand quantity against demand.
Viewing Planning Information
You can view planning information before creating replenishment orders. To automatically
create replenishment orders, you must request requisitions.
Creating Requisitions and WIP Unrealized Jobs
If you request a restock, Oracle Inventory creates requisitions and WIP unreleased jobs for all
items that meet the following condition:
(on-hand quantity) + (quantity on order) < minimum quantity
Oracle Inventory creates purchase requisitions (if the source is a supplier) and internal
requisitions (if the source is an Inventory Organization) for all Buy items, and WIP unreleased
jobs for all Make items. The order quantity is constrained by the following attributes:
Fixed-lot size multiplier
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Guided Demonstration - Setting up Min-Max Planning

Setting Up Min-max Planning for an Item
1.
Navigate to the Organization Items window.
(N) Items > Organization Items.
2.
Find Item AS18947
3.
(T) General Planning
4.
Change the Inventory Planning Method to Min-Max.
5.
(M) File > Save.
6.
(M) Tools > Item Subinventories.
7.
(M) File > New
8.
Enter FGI as the subinventory.
9.
Select the Min-Max Planning Check box.
10. Enter 300 as the Minimum Qty.

11. Enter 900 as the Maximum Qty.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Running the Min-max Planning Report
14. Navigate to the Min-Max Planning window.
(N) Planning > Min-Max Planning
15. Enter the following planning information.

Planning Level:
Subinventory
Subinventory:
FGI
Item Selection:
All min-max planned items
e
l
c
a
r
O
16. (B) OK
17. (B) Submit

y
m
c
A
e
d
a
18. (B) No
Viewing the Min-Max Planning Report
19. (N) Requests.
20. Find your request.
21. Choose View Output.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Practice - Performing Min-Max Planning

Overview
In this lab you will perform min-max planning for an item.
Assumptions
You completed the define items lab.
Tasks
Enable Min-Max Planning for Item
Enter Min-max planning for ##-Item03 and restrict to your ##FGI subinventory.
Use the following minimum and maximum quantities:
Minimum quantity:
300
Maximum quantity:
900
y
m
e
d
a
Request a Min-Max Planning Report
Request a min-max planning report for your item and subinventory using the following
information:
Planning level:
Subinventory
Subinventory:
##FGI
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
View the Min-Max Planning Report

View your min-max planning report.
e
l
c
a
r
O
c
A
Solution Performing Min-max Planning

Enable Min-Max Planning for Item
1.
Navigate to the Organization Items window and find your ##-Item03 item.
(N) Items > Organization Items
2.
Find your ##-Item03 item.
3.
(T) General Planning

Inventory planning Method:
Min-Max
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
4.
(M) File > Save
5.
(M) Tools > Item Subinventories
e
l
c
a
r
O
6.
c
A
Enter the minimum and maximum quantities for the item/subinventory combination as
follows:
Name:
##FGI
Minimum Quantity:
Maximum Quantity:
300
900
y
m
7.
e
d
a
Save and Close window.
(M) File > Save
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Request a Min-Max Planning Report

8.
Navigate to the Min-Max Planning window.
9.
(N) Planning > Min-Max Planning
Enter the following information in the Parameters window:

Planning Level:
Subinventory
Subinventory:
##-FGI
Demand Cuttoff Date: 1 month from today
Supply Cuttoff Date
1 month from today
e
l
c
a
r
O
c
A
y
m
e
d
a
10. (B) OK.

11. (B) Submit.
12. (B) No.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
y
m
View the Min-Max Planning Report

13. (N) Requests
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
14. Select My Completed Requests
e
l
c
a
r
O
c
A
e
d
a
y
m
e
d
a
15. Select Find.

16. Select your request.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
y
m
17. (B) View Output.
e
d
a

19. (M) File >Close Form.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Overview of Replenishment Counting
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Replenishment Counting
Replenishment counting enables you to perform counts for non-tracked subinventories and
then direct Oracle Inventory to check these counts against the minimum quantities that you
specified.
A non-tracked subinventory is an expense subinventory for which Oracle Inventory does not
maintain on-hand quantity information. When you move valued material to a non-tracked
subinventory, Oracle Inventory automatically charges the appropriate expense account and
discards that quantity. Non-tracked subinventories typically store items of low value, such as
office stationery. You can also use replenishment counting if you do your own planning. In this
case you may order either a specific quantity or the maximum quantity specified in the MinMax values. Non-tracked subinventories might include hospital storerooms, where there is no
opportunity to record accurate and timely issue-transaction information.
For more information see Overview of Replenishment Counting, Oracle Inventory Users
Guide.
e
l
c
a
r
O
Uses of Replenishment Counting
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Uses of Replenishment Counting

Recall that replenishment counting is a method of ordering items for subinventories. You can
perform counts for the non-tracked subinventories and then have Oracle Inventory check these
counts against the minimum quantities that you have specified. Oracle Inventory creates
requisitions that are based on the sourcing options that you specify for each item.
e
l
c
a
r
O
Replenishment Planning Steps
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Replenishment Planning Steps

The following are the steps involved in performing a replenishment count:
1. Specify the requisition approval status using the profile options.
2. Use the Subinventories window to create the subinventories for which you want to
perform replenishment counts.
3. Assign items to the subinventories using the Item Subinventories window.
4. Define sourcing information for the subinventories. You can define sourcing information
at various levels, for example you can define sourcing information at the itemsubinventory level or at the subinventory level.
5. Enter the replenishment count header information using the Replenishment Count
Headers window.
6. Enter the replenishment counts using the Replenishment Count Lines window.
7. Process and report the count information for the system to generate requisitions based on
the sourcing information. For example, if sourcing is from another subinventory then the
system automatically generates a move order.
Note
e
l
c
a
r
O
Use the INV: Replenishment Count Requisition Approval profile option to specify the
requisition approval status.
Use the INV: Replenishment Count Line Failure profile option to specify whether the
system should stop or continue processing in case a replenishment count fails.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Subinventories Window
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Item Subinventories Window
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Specifying Min-Max Planning

To enter replenishment counts for an item, you must specify subinventory-level min-max
planning for the item.
Entering Subinventory-Level Min-Max Minimum and Maximum Quantities
You can use the min-max method to replenish subinventories. In one replenishment count
entry method, you can order the min-max maximum quantity.
In another replenishment count entry method designed only for non-tracked subinventories,
you can enter an on-hand quantity, after which Oracle Inventory performs min-max
calculations.
Navigation Path
Inventory Responsibility (N) Setup > Organizations > Subinventories (B) Item/Subinventory.
e
l
c
a
r
O
Item Subinventories: Order Modifier Tab
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Order Modifiers

Fixed-Lot-Size Multiplier
When you perform replenishment counting, Oracle Inventory calculates order quantities that
are multiples of the fixed-lot-size multiplier.
Minimum Order Quantity
When you perform replenishment counting, Oracle Inventory calculates order quantities that
are greater than the minimum order quantity.
Maximum Order Quantity
When you perform subinventory replenishment, Oracle Inventory calculates order quantities
that are less than the maximum order quantity.
Navigation Path
Inventory Responsibility (N) Setup > Organizations > Subinventories > (T) Order Modifiers.
e
l
c
a
r
O
Replenishment Count Headers
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Replenishment Count Header Information

In the Replenishment Count Headers window, you enter a name and subinventory for which
you want to perform replenishment counting.
Navigation Path
Use the following navigation path to access the Replenishment Count Headers window:
Inventory Responsibility (N) Counting > Replenishments Counts > Counts (B) New.
e
l
c
a
r
O
Replenishment Count Lines
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Replenishment Count Lines

You must enter replenishment count header information to enter replenishment count lines for
items that are associated with the subinventory that you specify.
For any count type, the reorder quantities are constrained by fixed-lot-size multiple quantities,
maximum order quantities, and minimum order quantities. Oracle Inventory uses the sourcing
options defined for that item and subinventory combination.
On-hand Quantity
This method is only for non-tracked subinventories. The item for which you select this method
must be a min-max planned item. You can count the contents of the subinventory and then
enter the on-hand quantity. Oracle Inventory uses the quantity that you enter to perform minmax comparisons and to generate requisitions.
Order Maximum
The item for which you select this method must be a min-max planned item. Oracle Inventory
generates a requisition for the min-max maximum quantity specific to that item and
subinventory combination. You cannot enter a quantity if you select this option.
Order Quantity
e
l
c
a
r
O
The item for which you select this method can be planned using any replenishment planning
method. With the Order Quantity count type, Oracle Inventory generates a requisition for the
quantity that you enter.
Navigation Path
Use the following navigation path to access the Replenishment Count Lines window:
Inventory Responsibility(N) Counting > Replenishment Counts > Counts (B) Lines.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Processing Replenishment Counts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Counts Using External Devices

You can use external data collection devices, such as bar code readers to enter replenishment
counts. You can run the replenishment validator and processor after entering counts directly
into the replenishment open interface.
Replenishment Validator and Processor
The replenishment validator reads the count records that exist in the interface table. The
interface table stores the counts that you enter with an external device. Oracle Inventory
validates the items, subinventories, and counts, and then writes the records to the count tables.
The replenishment count processor performs the calculations that are necessary to determine
whether Oracle Inventory should create requisitions. Oracle Inventory creates internal or
purchase requisitions according to each items default sourcing options. Run the replenishment
validator program before submitting the replenishment processor.
Purging Replenishment Counts
If you want to purge replenishment counts, use the Purge Replenishment Counts window.
Navigation Paths
Inventory Responsibility(N) Counting > Replenishment Counts > Process Interface.
e
l
c
a
r
O
Inventory Responsibility (N) Counting > Replenishment Counts > Purge.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Mobile Replenishment Count Overview
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Mobile Device Replenishment Count

Oracle Mobile Materials Management provides windows to perform mobile replenishments.
e
l
c
a
r
O
Practice - Performing a Replenishment Count Using Forms

Overview
In this practice you will perform a replenishment count using forms. The following are the steps
in this practice:
Defining item-subinventory relationship and sourcing information
Entering the replenishment count header information
Entering the replenishment count using forms
Processing the count information using forms
Assumptions
You are skilled in Oracle Navigation.
You completed the practice on creating subinventories.
You completed the practice on defining items.
The quantity of ##-Item02 in your ##FGI subinventory is at least 100.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Tasks
y
m
e
d
a
c
A
Define Item-Subinventory Relationship and Sourcing Information

Define item-subinventory relationship and sourcing information for the following:
Subinventory:
##Main
Item:
##-Item02
Min-Max Planning:
Yes
Minimum Quantity:
10
Maximum Quantity:
50
e
l
c
Also define sourcing information in such a way that ##-Item02 for ##Main is replenished from
the subinventory ##FGI.
a
r
O
Enter Replenishment Count Header Information

Create a replenishment count header for forms using the following information:
Name:
Subinventory:
##RC1
##LV
Enter Replenishment Count Using Forms

Enter the replenishment count for ##RC1 using the following information:
Item:
##-Item02
Count Type:
On-hand Quantity
Count:
5
Process the Count Information Using Forms
Process the count entered for ##RC1 using the forms.
Answer the following question after you complete the lab.
What is the reorder quantity for ##RC1?
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Solution - Performing a Replenishment Count Using Forms

Define Item-Subinventory Relationship and Sourcing Information
1.
Verify the on-hand quantity of ##-Item02 in your ##FGI subinventory.
(N) On-hand, Availability > On-hand Quantity

Subinventory:
##FGI
Item / Revision:
##-Item02
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
2.
(B) Find
c
A

3.
e
d
a
Navigate to the Subinventories window.
4.
y
m
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select the ##LV subinventory from the list.
e
l
c
a
r
O
c
A
5.
(B) Item/Subinventory
6.
Define the item-subinventory relationship using the following information:
(T) Planning
Item:
##-Item02
Min-Max Planning: Yes
Min Qty:
10
Max Qty:
50
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
e
d
a
y
m
(T) Sourcing
Type:
Subinventory:
e
l
c
Subinventory
##FGI
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
y
m
c
A
e
d
a
7.
y
m

8.
Navigate to the Replenishment Count Headers window.
9.
e
d
a
(M) File > Save
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(N) Counting > Replenishment Counts > Counts
(B) New
c
A
10. Create a new replenishment count header using the following information:
Name:
##RC1
Subinventory:
##LV
Count Using Mobile: No
e
l
c
a
r
O
Enter Replenishment Count Using Forms

11. (B) Default Items
Count Type:
Onhand Quantity
Quantity:
5
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
13. (M) File > Save

c
A
Process the Count Information Using Forms

14. Return to the Replenishment Count Headers window.
15. (B) Process and Report
16. (B) Ok
17. View the details of the Replenishment Count Report by querying for the request number in
the Requests window
Note: Because ##-Item02 is sourced from another subinventory, Oracle Inventory
automatically creates a move order after you process the count. To complete this transaction
you must transact this move order using the Transact Move Orders window.
18. What is the reorder quantity for ##RC1? The reorder quantity is 45 (maximum quantity
on-hand quantity).
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Practice - Performing a Replenishment Count Using the Mobile

Application
Overview
In this practice you will perform a replenishment count using the mobile application. The
following are the steps in this practice:
Entering the replenishment count header information using forms
Entering the replenishment count using the mobile application
Processing the count information using the mobile application
Assumptions
You completed the practice on performing a replenishment count using forms.
If you are in an education center, verify you are logged in to the launch pad.
e
d
a
Tasks
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Create a replenishment count header using the following information:

Name:
##RC2
Subinventory:
##-LV
Count Using Mobile:
Yes
Enter Replenishment Count Lines
Enter the replenishment count line information for ##RC2 using the forms:
Item:
##-Item02
Count Type:
Order Quantity
e
l
c
y
m
Enter Replenishment Count Using the Mobile Application
a
r
O
Enter the replenishment count for ##RC2 in the mobile application using the following
information:
Organization:
M1
Subinventory:
Replenishment Count:
Item:
Order Quantity:
##-LV
##RC2
##-Item02
30
Process the Count Information Using the Mobile Application

Process the count entered for ##RC2 using the mobile application.
Answer the following question after you complete the lab.
Can you enter the count in the Replenishment Count Lines window for ##RC2? Why?
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Solution - Performing a Replenishment Count Using the Mobile

Application
1.
Navigate to the Replenishment Count Headers window.
(N) Counting > Replenishment Counts > Counts
2.
(B) New
3.
Create a new replenishment count header using the following information:

Name:
##RC2
Subinventory:
##-LV
Count Using Mobile: Yes
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Enter Replenishment Count Lines

4.
(B) Default Items.
5.

Count Type:
Order Quantity
e
l
c
a
r
O
c
A
6.
(M) File > Save
7.
y
m
Enter Replenishment Count Using the Mobile Application
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I

8.
c
A

instance number.
e
l
c
a
r
O
9.
e
d
a
Select <Default> from the Device List.

10. Enter your user name and password. Note that Materials & Mfg responsibility must be
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
11. Select <Materials & Mfg>
e
l
c
a
r
O
c
A
12. Select <Inventory> from the Materials & Mfg Menu.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
13. Select <Counting> from the Inventory menu.
e
l
c
a
r
O
c
A
14. Select <Repl Count> from the Counting menu.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
15. Enter the following information when prompted.
Note: The mobile application screen is case sensitive.

Organization Code:
M1
Subinventory:
##-LV
Replenishment Count Name: ##RC2
e
l
c
a
r
O
16. Select <Count> to enter the order quantity.

c
A
17. Enter ##-Item02 in the Item field.

18. Enter 30 in the Order Qty field.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
19. Select <Save/Next>
e
l
c
a
r
O
c
A
20. Press Ctrl+B to view the Message Page.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Process the Count Information Using the Mobile Application

21. Select <Process and Report>
22. Press Ctrl+B to view the Message Page. The request number is displayed. You can view the
details of the Replenishment Count Report by querying for the request number in the
Requests window.
e
l
c
a
r
O
23. Select Logout to exit the mobile application.

24. Can you enter the count in the Replenishment Count Lines window for ##RC2? Why? No,
you cannot enter the count in the Replenishment Count Lines for ##RC2. This is because
you would have selected the Count Using Mobile check box in the Replenishment Count
Headers window, you can enter the count only using the mobile application.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Overview of PAR Counting
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Periodic Automatic Replenishment (PAR) Counting

PAR counting is replenishment counting done at the locator level in a subinventory.
e
l
c
a
r
O
Processing PAR Counts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
PAR Counts
Periodic Automated Replenishment (PAR) counting is a replenishment method that enables
you to perform replenishment count at a locator level. For example, in Oracle Inventory you
can model a hospital storeroom as a subinventory and the shelves and trolleys in the storeroom
as locators. You can define PAR levels for each item stored in these locators. You can
replenish these items every time they go below the PAR level.
In general, the steps for PAR are the same as that of replenishment counting. For a list of these
steps, see Replenishment Planning Steps earlier in this lesson. The following steps are specific
to PAR:
Enable PAR level planning for the subinventories.
Define locators for the subinventories.
Enter the PAR level when you define the item subinventory relationship.
Note: If you have enabled PAR level planning for a subinventory, you cannot perform minmax planning for that subinventory. The PAR level acts as both the minimum and maximum
quantity levels for subinventories that have PAR level planning enabled.
e
l
c
a
r
O
Reorder Quantity for PAR Count
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
PAR Count Reorder Quantity

The reorder quantity when you process a PAR count depends on the following factors:
PAR Level
Quantity
Count Type
The table in the slide explains how the reorder quantity differs based on these factors. The
system generates the appropriate replenishment document based on the item sourcing for the
subinventory. For example, if sourcing is from another organization, the system automatically
generates an internal order.
If you choose on-hand quantity as the count type, then the quantity denotes the on-hand
quantity available in the locator. The system compares this quantity that you enter with the
PAR level to calculate the reorder quantity. This option is only for non-tracked subinventories.
If you choose order PAR then the reorder quantity is same as the PAR level. This is similar to
the order maximum option available when you perform a replenishment count. You cannot
enter the quantity if you choose order par.
e
l
c
a
r
O
Choose order quantity to generate a replenishment requisition for the quantity that you want to
order. In this case, the quantity denotes the order quantity.
Note: If you have not specified the PAR level, then you can only choose order quantity as the
count type.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Overview of Kanban Replenishment
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Replenishment
Kanban is a means of supporting pull-based replenishment in manufacturing systems. A
kanban system is a self-regulating pull system that leads to shorter lead times and reduced
inventory. Kanban systems are typically applied to items with relatively constant demand and
medium-to-high production volume.
Kanbans represent replenishment signals that are manual and highly visible, such as a colorcode card that moves with the material, a light that goes on when replenishment is required, or
an empty bin that is moved to the supply location to trigger replenishment.
Kanban systems typically provide support for external devices, such as bar code readers to read
kanban cards and trigger a replenishment signal.
Kanban System Features
Kanban systems include the following characteristics:
Close cooperation between the users and the supply channel
Short re-supply lead times
Relatively small quantities reordered at a time
Relative frequent ordering
e
l
c
a
r
O
For more information see: (Help) Oracle Inventory > Inventory Planning and Replenishment >
Overview of Kanban Replenishment.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Kanban Cards
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Replenishment
Recall that a kanban system is a self-regulating pull system that leads to shorter lead times and
reduced inventory. Kanban systems are typically applied to items with relatively constant
demand and medium-to-high production volume.
e
l
c
a
r
O
Kanban Planned Items
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Planned Items

To define a kanban planned item, you must set the Release Time Fence attribute in the
MPS/MRP Planning attribute group to the Kanban Item (Do Not Release) option in the Master
Items window. Use the following navigation path to access the MPS/MRP Planning attribute.
You can define pull sequences only for kanban planned items.
Navigation Path
Inventory Responsibility (N) Items > Master Items > (T) MPS/MRP Planning.
Defining Pull Sequence Sources
For every kanban planned item, you must define a pull sequence, which is a series of kanban
locations that model the replenishment network on the shop floor. For example, a kanban
location can be a subinventory locator. The replenishment source for a kanban location can be
another kanban location, a production line, or an external source. You can use locators even if
locator control is turned off at the organization and item levels.
Kanbans can be sourced from an external supplier or an internal organization. A suppliersource-type kanban triggers a purchase request to the supplier, while an inter-org- source-type
kanban results in an inter-organization transfer.
Navigation Path
e
l
c
a
r
O
Inventory Responsibility(N) Kanban > Pull Sequences > (T) Source.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Kanban Cards
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Cards
Kanban cards are created for an item, subinventory, and locator (optional). They are uniquely
identified by a kanban number. For cards generated from a kanban pull sequence, the number
is automatically generated. For manually defined cards, both replenishable and
nonreplenishable, you can enter an unused kanban number or let the system create the number.
You cannot override the quantity for generated cards, but you can add additional cards or
delete existing cards from the pull sequence to control the inventory in the replenishment
chain.
A supply source defaults from the sourcing rules if a sourcing rule is available for the item and
kanban location. Only the primary supplier, based on the split percentage and ranking, is used.
You can manually override the quantity and supply source on a pull sequence only before the
cards are printed. Changes to the pull sequence are not reflected until the old cards are deleted
and new ones are created. Updates to the sourcing rules apply only to cards created after the
update.
Kanban Card Status
Kanban cards are generated with a default card status of Active. When you define a card
manually,you can initially give it either Active or Hold status.You can terminate use of a card
e
l
c
a
r
O
by changing the card status to Canceled, but you cannot reverse this change. Only canceled
cards can be deleted.
Navigation Path
Inventory Responsibility(N) Kanban > Pull Sequences (T) Kanban.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Kanban Supply Status
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Supply Status

You can set all of the supply status codes manually. You can also set all of the supply statuses
automatically except for In-Transit. All cards are generated with a status of New. You can
switch this status to Empty to trigger a kanban replenishment signal. During initial setup, you
can switch the status to Full if you are starting out with a full bin. When you are defining a card
manually, you create a card with at status of Empty, Full or New.
e
l
c
a
r
O
Kanban Replenishment Sources
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Sources of Replenishment

You can create kanban cards with the following source types:
Inter-Org: Replenished by another organization.
Intra-Org: Replenished from another subinventory in the same organization.
Production: Replenished by a production line.
Supplier: Replenished by an external supplier.
Flow Schedules: Replenished by flow.
User Defined: You can define a replenishment source.
e
l
c
a
r
O
Kanban Card Printing
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Kanban Card Printing

You can print kanban cards for a replenishment plan or a replenishment chain when you
generate the cards. You can also print cards individually if the card information is complete.
You can print duplicate cards only if the original is lost or voided. You are given a warning
message when you print duplicate cards.
e
l
c
a
r
O
Guided Demonstration - Performing Kanban Replenishment

Create Kanban Pull Sequence
1.
(N) Kanban > Pull Sequences.
2.
(B) New.
3.
Enter the following information to create the pull sequence.

Item:
AS54888
Subinventory: FGI
Source Type:
Supplier
Supplier:
Advanced Network Devices
Supplier Site: Santa Clara
4.
(T) Kanban
Calculate:
Size:
Number of Cards:
Minimum Order Qty:
5.
(M) File > Save
6.
(B) Generate Cards
7.
(B) Yes
8.
(B) Cards
9.
Select the first card.
10. (B) Replenish
Number of Cards
10
10
20
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
11. Select the second card.

12. (B) Replenish
13. (N) File > Save
14. (N) File > Close Form.
e
l
c
y
m
a
r
O
c
A
Practice - Performing Kanban Replenishment

Overview
In this lab you will learn how to generate Kanban Cards.
Assumptions
You have completed the defining Subinventories Lab
You have completed the Defining Items Lab.
You are skilled in Oracle navigation.
Tasks
Setting up a Kanban Pull Sequence
Set up a Kanban pull sequence using the following information:
Item
##-Item01
Subinventory:
##FGI
Source Type:
Supplier
Supplier:
Supplier Site:
Santa Clara
Calculate:
Number of Cards
Size:
10
Cards:
10
Minimum Order Quantity:
20
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Generate Kanban Cards
Generate Kanban cards for the pull sequence you created.

Replenish Kanban Cards
Replenish your Kanban cards.
e
l
c
a
r
O
c
A
e
d
a
y
m
Solution Performing Kanban Replenishment

Setting up a Kanban Pull Sequence
1.
Navigate to the Pull Sequences window.
2.
(N) Kanban > Pull Sequences > (B) New.
Use the following information to define a new pull sequence:

Item:
##-Item03
Subinventory:
##FGI
Source Type:
Supplier
Supplier:
Supplier Site:
Santa Clara
(T) Kanban
Calculate:
Size:
Number of Cards:
Minimum Order Quantity:
Number of Cards
10
10
20
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
3.
(M) File > Save
Generate Kanban Cards

4.
(B) Generate Cards
5.
Yes to print Kanban cards.
6.
Verify your Kanban cards printed.
(M) View > Requests
Select All My Requests
(B) Find
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Replenish Kanban Cards

7.
e
l
c
Navigate to the Kanban Cards Summary window.
(B) Cards or (N) Kanban > Kanban Cards.
a
r
O
8.
Replenish Kanban cards.
c
A
Select the first Kanban card in the list.
(B) Replenish.
Verify the supply status changed to Wait.
Select the second Kanban card in the list.
(B) Replenish.
Verify the supply status is Empty.
y
m
e
d
a
9.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(N) File > Save.
e
l
c
10. (N) File > Close Form.
a
r
O
c
A
Planning and Replenishment Reports
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Planning and Replenishment Reports (Cont)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Profile Options
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Profile Options (Cont)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Min-Max Order Type and Order Source

An item can be a make item or a buy item. This characteristic of an item and the source
type that you specify for the item determine the type of replenishment order created for that
item. For organization level min-max planning, you can specify the source type in the General
Planning tab of the Organization Item window.
For subinventory level min-max planning, you can specify the source type in the Sourcing tab
of the Item Subinventories window. If this is left blank, the report checks to see if a source type
is specified either at the Subinventory level, the Organization Item level, or in the Organization
Parameters window.
If the item is a Buy item and the source type is set to Inventory, min-max creates requisitions.
If the source type is Supplier, it creates purchase orders, and if the source type is Subinventory,
it creates move orders. Note that source type Subinventory is not valid for organization level
planning (it is not a valid option on the Organization Parameters window; if used on the
Organization Item window for an item that is planned at the organization level, it will not
restock the item). Items must also be transactable in order for min-max to create purchase
orders, requisitions or move orders (Transactable check box on Inventory tab of Organization
Item window checked).
e
l
c
a
r
O
Purchasable Item Considerations

The following conditions must be satisfied before min-max can insert records into the PO
interface table:
For requisitions (source type Inventory), internal orders must be enabled for the item. That
is, the Internal Orders Enabled check box in the Order Management tab of the
Organization Item window must be selected.
For purchase orders (source type Supplier), the item is purchasable. That is, the
Purchasable check box in Purchasing tab must be selected.
An Inventory AP Accrual account is defined for the organization.
An Invoice Price Variance account is defined for the organization.
For Min-Max Report to create Purchase / Internal requisitions successfully, Encumbrance
Account should be specified at Item or Org level, if the Use Requisition Encumbrance
check box is selected in the Financial Options window under Encumbrance tab. For
subinventory level planning, Encumbrance Account should be specified at the itemsubinventory, subinventory, organization-item or organization level. For organization
level planning, min-max will only look at the organization-item or organization level to
find the encumbrance account. If the Use Requisition Encumbrance check box is not
selected, it is optional to specify Encumbrance Account in the Organization Items window
or Organization Parameters window.
A charge account is defined. If the Inventory Asset Value check box in the Costing tab of
Organization Item window is checked, then the material account is used. For organization
level planning, the material account is specified in the Valuation Accounts section of the
Costing Information tab of the Organization Parameters window. For subinventory level
planning, the material account is specified in the Subinventories window. If the Inventory
Asset Value check box is not selected, the expense account is used for organization level
planning. The expense account is defined on the Purchasing tab of the Organization Item
window, or in the Valuation Accounts section of the Costing Information tab of the
Organization Parameters window; for subinventory level planning, Oracle Inventory
checks the expense account defined at the subinventory level before looking at the orgitem or org level expense account.
Additional considerations for Creation of WIP Jobs
For make items, min-max inserts a record into the WIP interface table
wip_job_schedule_interface for creating a WIP Job or Schedule for manufacturing this item.
WIP work orders cannot be generated for subinventory level min-max planning if a Make
item is min-max planned at the subinventory level, the report flips the flag and treats it as a
Buy item instead. Also, the item must have the Build in WIP and Pick components enabled.
Make Item Considerations
The following considerations should be considered when using min-max on make type items.
Discrete MPS
Set the item type to Make.
Make certain that under the general planning tab the sourcing is set to null and cleared out.
Make certain to run the min-max planning with restock = yes. Whether or not WIP
demand and supply are included in the calculations is specified in the report parameters.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
It is possible to verify that an entry has been made into the table
WIP_JOB_SCHEDULES_INTERFACE.
Run the associated Mass load Concurrent Program (WIP > Discrete > Import Jobs and
Schedules) to ensure that the WIP interface tables have been picked up and processed.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Implementation Considerations (Cont)
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Replenishment Method Selection

Consider the following information when determining the replenishment method to use:
Supply sources
Document created during replenishment
Demand Sources: Although not listed in the table, demand sources might include the
following:
- Sales orders
- Forecasts
e
l
c
a
r
O
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
c
A
Inventory Accuracy
y
m
Chapter 11
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 2
c
A
R12 Inventory Accuracy Fundamentals
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 3
c
A
Objectives
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 4
c
A
Overview of Inventory Accuracy
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 5
c
A
ABC Analysis Overview
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ABC Analysis
An ABC analysis determines the relative value of a group of inventory items based on criteria
you define. ABC refers to the rankings you assign your items as a result of this analysis, where
A items are ranked higher than B items, and so on.
You use the ABC analysis you compile to drive cycle counts. You count items of high value
(A items) very frequently, items of lower (B items) value less frequently, and items of lowest
(C items) value very infrequently.
e
l
c
a
r
O
Inventory Accuracy
Chapter 11 - Page 6
Defining an ABC Analysis
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
Chapter 11 - Page 7
c
A
Define and Run an ABC Compilation
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Define and Run an ABC Compilation

An ABC Compile is a ranking of your items based upon selected criteria. 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.
e
l
c
a
r
O
Inventory Accuracy
Chapter 11 - Page 8
ABC Compilation Criteria
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ABC Compilation Criteria

For each distinct compile, you can choose one criterion (such as current on-hand value or MRP
demand usage value) to value and rank each item included in the ABC compile. The criterion
that you choose defines what the rank of a particular item will be in the ABC Compile.
For example, if you use current on-hand quantity as your compile criterion, then item X with
an on-hand quantity of 10 units is of higher rank than item Y with a quantity of 5 units. If you
use current on-hand value as the criterion and if item X has a cost of $10 per unit and item Y
has a cost of $25 per unit, then item Y has a higher value than item X since Oracle Inventory
compares $100 ($10x10 units) to $125 ($25x5 units).
Explaining ABC Compilation Criteria Options
Current On-Hand Quantity
Use the current on-hand quantity of inventory. Assign the sequence number by descending
quantity.
Current-On-Hand Value
Use the current on-hand quantity of inventory multiplied by the cost for the cost type.
Assign the sequence number by descending value.
e
l
c
a
r
O
Inventory Accuracy
Chapter 11 - Page 9
Historical Usage Value

Use the historical usage value (transaction history). This is the transaction quantities times
the unit cost of the transactions for the time period you specify. Assign the sequence
number by descending value.
Historical Usage Quantity
Use the historical usage quantity (transaction history) for the time period you specify.
Assign the sequence number by descending quantity.
Historical Number of Transactions
Use the historical number of transactions (transaction history) for the time period you
specify. Assign the sequence number by descending number of transactions.
Forecasted Usage Value
Use the forecasted usage value based on the forecast quantity calculated and the cost type
you specify. Assign the sequence number by descending value.
Forecasted Usage Quantity
Use the forecasted usage quantity. Assign the sequence number by descending quantity.
Previous Cycle Count Adjustment Quantity
Oracle Inventory sums the quantity of all cycle count adjustments that have occurred since
the last ABC compile date. Assign the sequence number by descending quantity.
Previous Cycle Count Adjustment Value
Oracle Inventory sums the value of all cycle count adjustments that have occurred since
the last ABC compile date. Assign the sequence number by descending value.
MRP Demand Usage Quantity
Oracle Inventory sums the MRP gross requirements for the MRP plan you specify. Assign
the sequence number by descending quantity.
MRP Demand Usage Value
Oracle Inventory sums the MRP gross requirements for the MRP plan you specify, then
multiplies each by the item cost type you choose in the ABC compile form. Assign the
sequence number by descending value.
MPS Demand Usage Quantity
Oracle Inventory sums the MPS gross requirements for the MPS schedule you specify.
Assign the sequence number by descending quantity.
MPS Demand Usage Value
Oracle Inventory sums the MPS gross requirements for the MPS schedule you specify,
then multiplies each by the item cost type you choose in the ABC compile form. Assign
the sequence number by descending value.
DRP Demand Usage Quantity
Oracle Inventory sums the DRP gross requirements for the DRP plan you specify. Assign
the sequence number by descending quantity.
DRP Demand Usage Value
Oracle Inventory sums the DRP gross requirements for the DRP plan you specify, then
multiplies each by the item cost type you choose in the ABC compile form. Assign the
sequence number by descending value.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
ABC Valuation Scope
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ABC Valuation Scope

You can select a valuation scope for determining the ranking of items. You can do an ABC
compile across individual subinventories or across an organization. If you choose to restrict
ABC compile to items within a particular subinventory, you have the option of valuing your
items across all subinventories in the organization or by the individual subinventory.
e
l
c
a
r
O
Inventory Accuracy
Defining ABC Groups
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Defining ABC Groups

ABC assignment groups link a particular ABC compile with a valid set of ABC classes. This
allows you to selectively reduce or increase the number of ABC classes you want to use in
your item assignments for a particular ABC compile.
Oracle Inventory uses these groups when you automatically assign your items to ABC classes.
It ensures that you divide your items into the exact number of groupings you specified in the
ABC group.
You must also assign a sequence number to each class associated with the ABC group. The
class with the lowest sequence number is assumed to have the highest rank and will have
higher rank items assigned to that class than the next higher sequence number.
You may update an assignment group to add new classes, however you cannot delete a class. If
you need to delete a class, you must create a new assignment group with only the desired
classes.
e
l
c
a
r
O
Inventory Accuracy
Defining ABC Classes
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Defining ABC Classes

You use ABC Classes to identify the value groupings to which your items belong. You can
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 high, those of lower rank to
Medium, and those of the lowest rank to low. 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 analysis results.
e
l
c
a
r
O
Inventory Accuracy
ABC Item Assignments
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
ABC Item Assignments

When you define ABC assignments you 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 of 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.
ABC Item Assignments Note
e
l
c
a
r
O
Inventory Accuracy
% 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.
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.
For the Inventory Value, % Item, and % Value fields, if the value entered does not exactly
match any item, Oracle Inventory chooses the first item with a value greater than the value
entered. For example, if you choose 20% to be A items, inventory calculates which items
comprise 20% and will include the next item if a partial is in the calculation. If 20% = the first
10 items in your compile, plus part of the 11th item, then items 1-11 are A items.
If you are not satisfied with the class into which an item falls as a result of the automatic ABC
assignment process, you can change it. For example, you compile your ABC analysis based on
historical usage value. A new item in your inventory is ranked low because it has little
transaction history. However, you know that for the future this item should really be ranked
higher. Use the Update ABC Assignments form to reclassify this item.
Whenever you recompile an ABC analysis or change the method by which you assign your
ABC classifications, you lose any changes you might have made to your item assignments. All
items are reclassified based on their new ranks in the ABC Descending Value Report and the
method you choose to determine cutoff points.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Guided Demonstration - Compiling an ABC Analysis

Creating an ABC Compile
1.
(N) ABC Codes > ABC Compiles
2.
(B) New
3.
Enter Finished Goods in the Compile Name field.
4.
Enter Finished Goods Analysis in the Description field.
5.
Select Subinventory as the Content Scope.
6.
Select Subinventory as the Valuation Scope.
7.
Select the FGI subinventory.
8.
Select Current on hand quantity as the compile criterion.
9.
Verify Frozen is the Cost Type.
y
m
e
d
a
10. (B) Compile

11. (B) OK
Note: Note the concurrent request number.
12. (B) Yes
13. (B) OK
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Note: Note the concurrent request number.

Creating ABC Classes
15. (N) ABC Codes > ABC Classes

16. (M) File > New
e
l
c
17. Create three ABC Classes using the following information.

Class Name:
Finished Goods A
Description:
Finished Goods Class A
a
r
O
Class Name:
Finished Goods B
Inventory Accuracy
c
A
Description:
Finished Goods Class B
Class Name:
Description:
Finished Goods C
Finished Goods Class C
18. (M) File > Save

ABC Assignment Groups
20. (N) ABC Codes > ABC Assignment Groups
21. (M) File > New
22. Enter Finished Goods ABC as the Group Name.
23. Enter Finished Goods as the compile name.
24. (B) Group Classes
25. Choose the following ABC Classes.
Finished Goods A
Finished Goods B
Finished Goods C
26. (M) File > Save
27. (B) Assign Items
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
28. Enter the following values in the % Items fields:

A items:
50%
B items
80%
C items
populates automatically
29. (M) File > Save and Proceed
Note: Note the Concurrent request number.

e
l
c
a
r
O
Inventory Accuracy
y
m
c
A
e
d
a
Practice - Compiling an ABC Analysis

Overview
In this practice you will compile an ABC analysis.
Assumptions
Tasks
Receive Items
Receive 20 items of your choice in to your ##FGI subinventory. You can use part numbers from
other teams as well as system items that begin with AS, CM, or SB. Be sure to receive different
quantities of each item ranging from 5-100.
y
m
Note: Receive at least one system item. These items are associated with standard costs.
e
d
a
Compile an ABC analysis

1.
Compile an ABC Analysis using the following information:

Name:
##FGI ABC
Description:
ABC Compile for Team ##FGI
Content and Valuation Scope: Subinventory
Subinventory:
##FGI
Criterion:
Current on hand quantity
Cost Type:
Frozen
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Define ABC Classes

2.
Define three ABC Classes using the following naming convention:

Name:
##Class A
Description:
A items
Name:
Description:
##Class B
B items
Name:
Description:
##Class C
C items
e
l
c
a
r
O
Inventory Accuracy
c
A
Define an ABC Group

3.
Define an ABC group using the following information

Group Name:
##ABC Group
Compile Name:
##FGI-ABC
Define an ABC Sequence

4.
Define an ABC Sequence using the following information:
Class Name
##Class A
##Class B
##Class C
Assign Item Valuation

5.
Assign item valuation as follows:

##Class A:
50
##Class B:
80
##Class C:
(system calculates)
y
m
Update ABC Codes

6.
e
d
a
Change one item from a C item to an A item, and change one item from a C item to a B
item.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Solution Compiling an ABC Analysis

Compile an ABC Analysis
1.
2.
Navigate to the ABC Compile window.
(N) ABC Codes > ABC Compiles
(M) File > New
Compile an ABC Analysis using the following information:

Name:
##FGI-ABC
Description:
ABC Compile for Team ##FGI
Content and Valuation Scope: Subinventory
Subinventory:
##FGI
Criterion:
Current on hand quantity
Cost Type:
Frozen
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
(B) Compile
(B) OK
Inventory Accuracy
c
A
3.
Note your report request number. ___________________
(B) Yes
(B) OK
Note your request number. _________________
Define ABC Classes

4.
5.
Navigate to the ABC Classes window.
(N) ABC Codes > ABC Classes
(M) File > New
Define three ABC Classes using the following naming conventions:

Name:
##Class A
Description:
A items
Name:
Description:
##Class B
B items
Name:
Description:
##Class C
C items
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
6.
Save and Close window.

Inventory Accuracy
y
m
c
A
e
d
a
(M) File > Save.
Define an ABC Group

7.
8.
Navigate to the ABC Assignment Groups window.
(N) ABC Codes > ABC Assignment Groups.
(M) File > New
Define an ABC group using the following information:

Group Name:
##ABC Group
Compile Name:
##FGI-ABC
Note: Make sure that ##ABC Group (the group that you created) is selected.
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
(B) Group Classes
Define an ABC Sequence

9.
Define an ABC Sequence using the classes you created earlier.
e
l
c
Class Name
##Class A
##Class B
##Class C
a
r
O
Inventory Accuracy
c
A
10. Save your work.
(M) File > Save
Assign Item Valuation
y
m
11. (B) Assign Items.

12. Enter the following percentages in the % Items field:
##Class A:
50
##Class B:
80
##Class C:
(system calculates)
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
y
m
13. (B) Assign
e
d
a
14. (B) OK
Update ABC Codes
c
A
15. Review and update the ABC codes assigned to items in the ##FGI subinventory.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select ##ABC Group in the ABC Assignment Groups window.
(B) Update Items
e
l
c
a
r
O
Inventory Accuracy
y
m
Change one item from ##Class C to ##Class A.
Change one item from ##Class B to ##Class C.
(M) File > Save
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
Cycle Counting Overview
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Cycle Counting
Cycle counting is the periodic counting of individual items throughout the course of the year to
ensure the accuracy of inventory quantities and values. Accurate system on-hand quantities are
essential for managing supply and demand, maintaining high service levels, and planning
production. Most effective cycle counting systems require the counting of a certain number of
items every workday with each item counted at a prescribed frequency. You can use cycle
counting along with ABC analysis to count items of greater importance more frequently than
those of less importance. Cycle counting supports scheduled counting based on value or
counting by location, and can be set up at the organization level or the subinventory level.
Benefits of Cycle Counting
Cycle counting enables you to keep inventory records accurate by correcting errors between
the system on-hand (perpetual) and actual on-hand (physical) quantities. Cycle counting can
also be a valuable tool to help identify patterns in the errors found. Analysis of these patterns
can suggest and help to prioritize improvements in training, tools, and processes. Over a period
of time these improvements may increase the average level of inventory record accuracy.
e
l
c
a
r
O
Inventory Accuracy
Defining and Maintaining a Cycle Count
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Cycle Count Approval Tolerance
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Cycle Count Approval Tolerance

A cycle count is a count of a subset of items, counted during the working day rather than after
freezing stock levels. When the actual count and the system on-hand quantity do not agree, the
cycle count is compared to an approval tolerance.
e
l
c
a
r
O
Inventory Accuracy
Approval Tolerances
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Approval Tolerances
Oracle Inventory supports two types of cycle count approval tolerances, Quantity Variance
Tolerance and Adjustment Value Tolerance. For each type, you can specify a positive and a
negative limit which can differ from each other. When a particular cycle count entry results in
an adjustment that exceeds any one of these limits, you have a cycle count adjustment that
exceeds approval tolerances. Based on the approval option you choose when you define your
cycle count, this adjustment is either posted automatically or held for approval.
Quantity Variance Tolerance
The Quantity Variance Tolerance is a user-defined limit for the difference between the actual
cycle count quantity and the system tracked on-hand quantity. You express positive and
negative quantity variance tolerances as percentages of the system on-hand quantity.
You enter these percentages when you define your:
Cycle Count Header
Cycle Count Classes
Cycle Count Items
e
l
c
a
r
O
Inventory Accuracy
Oracle Inventory uses any percentages you define at the cycle count item level first. If you do
not have any defined for an item, it uses the tolerances defined for that items cycle count class.
If you do not have any defined for the class, it uses the tolerances at the cycle count header
level. If you have no tolerances defined for the header, Oracle Inventory assumes that there is
no limit to the approval tolerance.
Adjustment Value Tolerance
The Adjustment Value Tolerance is a user-defined limit for the total value of a cycle count
adjustment.
The adjustment value is calculated as:
adjusted value = (system on-hand qty actual count qty) * current item cost
The Adjustment Value Tolerance is expressed as positive and negative amounts in your
functional currency. An adjustment value is out of tolerance if it falls outside of these amounts.
You enter these tolerances when you define your cycle count header and cycle count classes.
Oracle Inventory uses the values you define at the cycle count class level first. If you do not
have any defined for an items class, it uses the values at the cycle count header level. If you
have no tolerances defined for the header, Oracle Inventory assumes that there is no limit to the
approval tolerance.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Hit/Miss Tolerance
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Hit/Miss Tolerance
The Hit/Miss Tolerance is a user-defined limit for the difference between the system tracked
on-hand quantity and the actual cycle count quantity. You express positive and negative
hit/miss tolerances as percentages of the system on-hand quantity. A count is considered a hit
if it is within these tolerances, and a miss if it is outside them.
The Hit/Miss Tolerance allows you to evaluate the actual accuracy of your inventory.
You enter Hit/Miss tolerance percentages when you define your cycle count header and when
you define your cycle count classes. Oracle Inventory uses the percentages you define at the
cycle count class level first. If you do not have any defined for an items class, it uses the
tolerances at the cycle count header level. If you have no tolerances defined for the header,
Oracle Inventory assumes that there is no limit to the Hit/Miss tolerance, and all variances are
therefore hits regardless of the size.
Inventory uses these tolerances to generate the Cycle Count Hit/Miss Analysis report which
will be covered later in this course.
e
l
c
a
r
O
Inventory Accuracy
Measurement Errors
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Measurement Errors
Negative and positive measurement errors are user-defined limits for the difference between
the cycle count quantity and the system tracked on-hand quantity. Measurement Error limits
are assigned by Item. Inventory does not make any adjustments to an item whose cycle count
quantity differs from the system tracked on-hand quantity by less than the measurement error.
Because of this, measurement errors may implicitly override any approval tolerances you
specify.
You specify measurement errors when you define or update an item at the Master Item or
Organizational Item level. Use measurement errors with extreme caution since they actually
prevent cycle count adjustments from taking place. You would typically use this feature on an
exception basis for items you cannot accurately count. For example, if you visually check the
level of bolts in a bin to estimate the quantity, or you use their weight to approximate the
quantity, you might want to allow for measurement errors. Therefore, if your system tracked
on-hand quantity for the bolts in that bin is within an acceptable range, you do not perform a
cycle count adjustment.
e
l
c
a
r
O
Inventory Accuracy
Cycle Count Items
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Cycle Count Items

You must load items into your cycle count before you can schedule or count them. There are
two methods you can use to do this:
Specify an existing ABC group from which to automatically load your items
Manually enter, delete, or update the items you want included/excluded
When you specify an existing ABC group, Oracle Inventory automatically includes all items in
the ABC group you choose in your cycle count. Inventory also copies the ABC classes for that
ABC group into the current cycle count classes and maintains the same classifications for the
included items. You can change the classifications of your items for your cycle count
independent of the ABC classes.
Once you have generated your list of items to count from an ABC group, you can periodically
refresh the item list with new or reclassified items from a regenerated ABC group. Using the
Cycle Counts window, you can choose whether to automatically update class information for
existing items in the cycle count based on the new ABC assignments. You can also choose to
have any items that are no longer in the ABC group automatically deleted from the cycle count
list.
e
l
c
a
r
O
Inventory Accuracy
You manually enter, delete, or update the items you want included/excluded using the Cycle
Count Items window. You may want to use this window to load all your items for a cycle count
or to simply add items as they are defined in the system rather than recompiling your ABC
group and doing a complete reinitialization.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Automatic Scheduling
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Automatic Scheduling
In order for Oracle Inventory to perform automatic scheduling you must do the following:
Set the Cycle Count Enabled item attribute to Yes for the items you want to include in the
cycle count.
Enable automatic scheduling when you define your cycle count.
Request the schedule using the Generate Automatic Schedule Requests window.
- Each time the auto scheduler runs, it schedules counts only for the schedule interval
you defined for the cycle count header. So if your schedule interval is weeks, Oracle
Inventory schedules all items that you need to be counted on all of the workdays in
the current week. If your schedule interval is days, then Oracle Inventory only
schedules those items that are due for counting on the current date.
e
l
c
a
r
O
Inventory Accuracy
Manual Scheduling
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Manual Scheduling
You can request counts for specific subinventories, locators, and items, and set the count for
any inventory date. For example, you could enter a request to count item A wherever it can be
found in subinventory X. Or you could request to count all item quantities in subinventory Y,
locator B-100.
Since manually scheduled counts have no impact on automatically scheduled counts, you can
potentially count some items more frequently than you had initially planned.
Physical Location Scheduling
You can use this feature to execute location-based cycle counting. You first need to generate a
schedule for counting each subinventory and locator. You then need to enter the schedule
requests for each locator, specifying the schedule date.
e
l
c
a
r
O
Inventory Accuracy
Count Requests
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Count Requests
This process takes the output of the automatic scheduler and your manual schedule entries and
generates a count request for each item number, revision, lot number, subinventory and locator
combination for which on-hand quantities exist. These count requests are ordered first by
subinventory and locator, then by item, revision, and lot. Oracle Inventory assigns a unique
sequence number to each count request that can be used for reporting, querying and rapid count
entry.
As the count requests are derived from the state of on-hand balances at the time the Generate
Cycle count Requests process is run, you should wait to run it until you are ready to count.
Note: When you schedule an item to be counted using manual scheduling, some schedule
requests may have overlapping count requirements. The count request generator does not
create duplicate count requests, but instead cross-references one count request back to each
associated schedule request.
Count Requests for Items with Zero Count
By default Oracle Inventory does not automatically generate requests to count items with an
on-hand quantity of zero. To include such items:
e
l
c
a
r
O
Inventory Accuracy
Define all sourcing details and inventory controls for the item. For example, if an item is
under predefined locator control be sure it is assigned to a subinventory and locator.
Select the Generate Zero Counts option when you define your cycle count.
The count request generation process automatically creates a count request. If a quantity is
found and counted, an adjustment is made.
At count entry, you may receive a warning message stating Zero count, no adjustment
performed. Oracle Inventory generates this warning if it cannot find all levels of inventory
control defined for the item. In this situation, enter the count but no adjustment is performed.
To make an adjustment and update the missing information, enter an unscheduled count using
either the Cycle Count Entries or Approve Adjustments window.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Entering Cycle Counts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Cycle Counts

You can use the same window to enter counts of items requested through automatic or manual
cycle count scheduling.You can also enter unscheduled count entries, if they are allowed for
your cycle counts. You can use unscheduled counts to perform location based cycle counts.
You can also use a mobile device to enter cycle count quantities. If the item is under dual unit
of measure control the system automatically supplies the secondary unit of measure and
secondary quantity.
Oracle Inventory automatically queries all count requests for which you have not yet entered a
count. You can use flexible search criteria to specify the group of count requests for which you
want counts entered to speed up the count entry process. For example, you can specify a range
of count request sequences assigned to one person so they can be entered in the same order
they were printed on the count sheet.
e
l
c
a
r
O
Inventory Accuracy
Cycle Count Open Interface
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Cycle Count Open Interface

You can import/export cycle count entries from external systems into Oracle Inventory using
the Cycle Count Entries Open Interface.
Export Cycle Count Request
This process enables you to export cycle count requests into external systems.
Update Cycle Count Open Interface
This process enables you to update cycle count entries.
Import Cycle Count Entries from Open Interface
This process enables you to import cycle count entries open interface records into the database.
Purge Cycle Count Entries Open Interface Data
This process enables you to purge all cycle count entries from the open interface.
Print Cycle Count Entries Open Interface Data
This process enables you to print cycle count entries open interface data.
e
l
c
a
r
O
Inventory Accuracy
Count Adjustments and Approvals
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Count Adjustments and Approvals

Once you enter and save your cycle counts, Oracle Inventory determines whether any
adjustments need to be made depending on the approval options and tolerances you set when
you define the cycle count.
e
l
c
a
r
O
Inventory Accuracy
Automatic Recounts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Automatic Recounts
If you turn on the Automatic Recount option when you define your cycle count, Oracle
Inventory automatically submits recount requests for items that are outside the limits of the
approval tolerances you specify. Oracle Inventory submits recounts as many times as
necessary, limited by the maximum automatic recounts you specify for the cycle count. After
you reach the maximum number of recounts, Oracle Inventory holds the count for approval.
Any count request with the Recount status automatically appears on the next cycle count
listing. You can manually request recounts when you are approving adjustments. This recount
request will be included in the next cycle count listing.
e
l
c
a
r
O
Inventory Accuracy
Approving Cycle Counts and Adjustments
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Approving Cycle Counts and Adjustments

Employees with access to the Count Adjustment Approvals Summary window can query,
request the recount of, or approve cycle counts pending approval. You can query all counts or
only those pending approval. You can approve adjustments, recount an item in question, reject
the count or take no action until further investigation takes place.
Approving Cycle Count Adjustments
You use the Count Adjustment Approvals Summary window to approve cycle count
adjustments, to request or approve recounts, or to reject the adjustment. Oracle Inventory
determines which counts need approval by using the approval tolerances you entered while
defining your cycle count. You can use flexible search criteria to specify the cycle count
adjustments you want to review or approve.
Using the Count Adjustment Approvals Summary window, you can view a variety of current
item information to help determine whether to approve an adjustment. Select the information
from the following tabbed regions:
Adjustment: View information for primary and secondary system quantity, primary and
secondary adjustment UOM, primary and secondary adjustment quantity, adjustment
value, and adjustment percent.
e
l
c
a
r
O
Inventory Accuracy
Item Location: View information for subinventory and locator. You can also view the
primary and secondary adjustment UOM, primary and secondary adjustment quantity,
adjustment value, and adjustment percent.
Item Details: View information for a revision, lot number, and serial number. You can
also view the unit of measure and adjustment quantity.
Reason, Reference: View or update the transaction reason and reference information. You
can also view the primary and secondary adjustment UOM, primary and secondary
adjustment quantity, adjustment value, and adjustment percent.
Count: View information for primary and secondary UOM, primary and secondary count
quantity, counter, and count date.
Count Status, Class: View information for the sequence number, count status, and cycle
count class.
Approval: View information for date approved and approver.
Approval Actions and Adjustments Options
For items appearing in the Approval Actions, Adjustments region, you can approve, request a
recount, or reject cycle count entries that are pending approval. You can also approve or reject
any count for which a recount has already been requested. You can reject any cycle count
request that has not yet been counted. You can display count history information or open the
Count Adjustment Approvals window.
Select Approved to approve the selected count entry and post the adjustment to the
transaction manager for processing.
Select Rejected to reject the selected count record. An adjustment is not posted. No further
processing of this count entry takes place.
Select Recount to process a recount request for the selected count request. An adjustment
is not posted.
Select the Count History button to open the Count History window for the current item.
For the current item, this window displays count and variance information for the current,
prior and first counts.
Select the Open button to open the Count Adjustment Approvals window for the current
line. This window is a combination block which you can use to view and enter approval
and adjustment information for the current line instead of using the Count Adjustment
Approvals Summary window.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Guided Demonstration - Performing a Cycle Count

1.
(N) Counting > Cycle Counting > Cycle Counts
2.
(B) New
3.
Enter the following cycle count information.

Name:
FGI Cycle Count
Description:
Finished Goods Cycle Count
Calendar:
Vision01
Adjustment Account: Miscellaneous
Late Days:
1
Starting Sequence:
0
Unscheduled Entries: Selected
Display System Qty:
Selected
4.
Select Specific in the Count Subinventories alternative region.
5.
Select the FGI subinventory from list of values.
6.
(T) Serial and Schedule
7.
Enter the following Serial and Schedule information:

Auto Schedule:
Yes
Frequency:
By period
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
8.
(T) Adjustments and ABC
9.
Enter the following approval tolerances:

Qty Variance:
3
Adjustment Value:
50
Hit / Miss Analysis:
10
10. Enter the following ABC Information:

Group:
Finished Goods ABC
Option:
(Re)initialize
11. (B) Classes.
e
l
c
12. Enter the following ABC Class information:

Class:
Finished Goods A
Count:
150
Class:
Finished Goods B
Count:
100
a
r
O
Inventory Accuracy
y
m
c
A
e
d
a
Class:
Count:
Finished Goods C
50
13. (M) File Save.

14. (M) Tools > Perform Full Cycle Count
15. Enter the cycle count name for the following parameters
Generate automatic schedule recount
Generate cycle count request
Cycle count listing.
16. (B) Submit.
Entering Cycle Count Entries Using a Mobile Device
18. Start the Telnet session.
instance number.
y
m
19. Select <Default> from the Device List.
e
d
a
20. Enter your user name and password. Note that Materials & Mfg responsibility must be
21. Select <Materials & Mfg>
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
22. Select <Inventory>
c
A
23. Select <Counting>
24. Select <Cycle Count>

25. Select <Normal>
26. Enter the following cycle count information:

Org Code:
M1
Cycle count name:
FGI Cycle Count
Subinventory:
FGI
Item:
AS18947
Quantity:
Enter a number plus or minus the system quantity.
e
l
c
a
r
O
27. Select <Done>
Inventory Accuracy
Cycle Count Entries and Approvals

28. (N) Counting > Cycle Counting > Cycle Count Entries
29. Enter FGI Cycle Count in the Cycle Count field.
30. Choose find.
31. At the question: Find all open count requests? choose Yes to view all open cycle count
items.
Note: Notice the item amount entered during the mobile counting demonstration does not
appear.
32. (T) Adjustments.
33. Enter the count quantities.
36. (N) Counting > Cycle Counting > Approve Counts
y
m
37. Enter FGI Cycle Count in the Cycle Count field.
e
d
a
38. (B) Find.
c
A
39. At the question: Query count pending approval only? choose Yes to view all that require
approval.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Note: Notice the item quantity entered in the mobile counting demonstration appears in the
Count tabbed region.
40. Choose Approved to approve an item adjustment.
41. Select the Approver from the drop down list in the Approval tabbed region.
42. (M) File Save.
43. (B) OK.
44. Close the Approvals window.
e
l
c
45. Approve or reject the remaining items.

a
r
O
Inventory Accuracy
Practice - Performing a Cycle Count

Overview
In this practice you will perform a cycle count using the ABC compile group you created in a
previous lab.
Assumptions
You completed the Compile an ABC Analysis practice.
You completed the Define Items practice.
You have at least 20 items in your ##FGI subinventory
y
m
Tasks
e
d
a
Define a Cycle Count Header

Define a cycle count header using the following information:
Name:
##Cycle Count
Description
Team ##Cycle Count
Adjustment Account:
Miscellaneous
Late Days:
1
Starting Sequence:
##
Unscheduled entries
Yes
Display System qty:
Yes
Count Subinventories:
Specific
Subinventory:
##FGI
Auto Schedule:
Yes
Frequency:
By Period
Approval Required:
If out of Tolerance
QTY
3%
Adjust Value:
50
Hit/Miss:
10%
Group:
##ABC Group
Option:
(Re)initialize
Class A:
150 counts per year
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Class B:
Class C:
100 counts per year

50 counts per year
Perform a Cycle Count

Use the following parameters to perform a cycle count:
Name:
Generate Automatic Schedule
Cycle Name:
##Cycle Count
Name:
Cycle Name:
Generate Cycle Count Requests

##Cycle Count
Name:
Cycle Name:
Cycle Count Listing

##Cycle Count
Enter Cycle Count Entries

View the system quantities and enter quantities for the cycle count. Have some of the items out
of tolerance, and have at least one item match the system quantity.
Approve, Reject or Recount Cycle Count
y
m
Why are some of the items already approved? ________________________________________
e
d
a
Approve, Reject or recount all entries for your cycle count.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Solution Performing a Cycle Count

Define a Cycle Count Header
Responsibilit: Inventory, Vision Operations USA
1.
Navigate to the Cycle Counts Window.
(N) Counting > Cycle Counting > Cycle Counts
2.
(B) New
3.
Enter a new cycle count header using the following information:
(T) Scope and Control

Name:
Description
Calendar:
Adjustment Account:
Late Days:
Starting Sequence:
Unscheduled entries
Display System qty:
Count Subinventories:
Subinventory:
e
l
c
##Cycle Count
Team ##Cycle Count
Vision01
Miscellaneous
1
##
Yes
Yes
Specific
##FGI
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
y
m
c
A
e
d
a
y
m
(T) Serial and Schedule

Count:
Auto Schedule:
Frequency:
e
l
c
Not Allowed
Yes
By Period
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
y
m
(T) Adjustments and ABC

Approval Required:
QTY
Adjust Value:
Hit/Miss:
Group:
Option:
e
l
c
If out of Tolerance
3%
50
10%
##ABC Group
(Re)initialize
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
y
m
(B) Classes
##Class A:
##Class B:
##Class C:
e
l
c
150 counts per year

100 counts per year
50 counts per year
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
4.
(M) File > Save
5.
(B) OK
y
m
Perform a Cycle Count

6.
(M) Tools > Perform Full Cycle Count
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
e
d
a
7.
e
d
a
y
m
Enter the following parameters. After entering each power click OK.
Generate automatic schedule (Parameters field):
##Cycle Count
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Generate cycle count requests (Parameters field):
e
l
c
a
r
O
Inventory Accuracy
c
A
##Cycle Count
Cycle Count Listing (Parameters field):
##Cycle Count
y
m
e
d
a
8.
e
l
c
(B) Submit
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
9.
(B) OK
10. (M) File >Close >Form

Inventory Accuracy
c
A
11. (M) File >Close Form

Note: Do not proceed until after your concurrent request completes.
Enter Cycle Count Entries
12. Navigate to the Cycle Count Entries window.
(N) Counting > Cycle Counting > Cycle Count Entries
13. Enter ##Cycle Count in the Cycle Count name field, or select your cycle count from the list
of values.
14. (B) Find
15. (B) Yes
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
16. (T) Adjustments
e
l
c
17. Enter Count quantities for your items. Enter a few quantities that are out of tolerance, a few
quantities within tolerance, and at least one that matches the system quantity.
a
r
O
Inventory Accuracy
y
m
e
d
a
(M) File > Save
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Approve, Reject or Recount Cycle Count
19. Navigate to the cycle count approvals window.
(N) Counting > Cycle Counting > Approve Counts
20. Select your cycle count from the LOVs in the Cycle Count field.
21. (B) Find
22. (B) No
e
l
c
a
r
O
Inventory Accuracy
c
A
23. Why are some of the items already approved? They fall within set approval limits.
24. Approve, reject or recount your items.
y
m
e
d
a
(M) File > Save
(B) OK
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Mobile Inventory Accuracy Overview
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Mobile Device Inventory Accuracy

Oracle Mobile Materials Management provides windows to perform cycle counting and
complete physical inventory functions.
e
l
c
a
r
O
Inventory Accuracy
Practice - Mobile Counting

Overview
Use the mobile device to perform a cycle count for your ##FGI subinventory.
Assumptions
You have completed the ABC Analysis Lab.
You have completed part one of the Cycle Counting lab.
Tasks
Entering Item Quantities Using the Mobile.
Enter cycle count quantities for an item.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Solution Mobile Counting

Entering Item Quantities Using the Mobile
1.

instance number.
2.
3.
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
y
m
e
d
a
c
A
Enter your user name and password. Note that Materials & Mfg responsibility must be
a
r
O
Inventory Accuracy
4.
If more than one responsibility had been assigned to your user name, select Materials & Mfg
from the list.
y
m
e
d
a
5.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select Inventory from the Materials & Mfg Menu.
e
l
c
a
r
O
Inventory Accuracy
c
A
6.
Select Counting from the Inventory Menu.
y
m
e
d
a
7.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
Select Cycle Count from the Counting Menu.
e
l
c
a
r
O
Inventory Accuracy
c
A
8.
Select Normal from the Cycle Count menu.
y
m
e
d
a
9.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Enter the following information when prompted.

Note:
The mobile application screen is case sensitive.

Org Code:
M1
Cycle Count Name:
##Cycle Count
Sub:
##FGI
Item:
Enter an item in your ##FGI subinventory
Qty:
Enter a quantity
e
l
c
a
r
O
Inventory Accuracy
10. Select Done to apply your cycle count.

11. Select Logout to exit the Mobile.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Physical Inventory Overview
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Physical Inventory
A physical inventory is a periodic reconciliation of system on-hand balances with physical
counts in inventory. You can perform physical inventories whenever you choose to verify the
accuracy of your system on-hand quantities. You can perform a physical inventory for an entire
organization or for particular subinventories within an organization. Physical inventories are
usually performed once every six months or once a year depending on the organization
requirements.
e
l
c
a
r
O
Inventory Accuracy
Why Perform Physical Inventories?
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Defining Physical Inventories
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Defining Physical Inventories

You can define and maintain an unlimited number of physical inventories in Oracle Inventory.
A physical inventory is identified by a unique name you assign. You use this name to identify
any activity, such as adjustments, pertaining to this physical inventory.
You can define multiple physical inventories to count selected portions of your inventory, or
you can count the total inventory for you organization. For example, if your warehouse has
two large stockrooms, each represented by a subinventory, you can define two physical
inventories, one for each subinventory. You can then perform your physical inventory of the
first stockroom, independent of the second.
e
l
c
a
r
O
Inventory Accuracy
Physical Inventory Tags
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Physical Inventory Tags

You use physical inventory tags to record the physical counts of inventory items. Physical
inventory tags represent actual hard copy tags that some companies use to count inventory
items. A tag contains the count for a group of a given item. Although you can record only one
item on a tag, multiple tags can reference the same item, with each tag referring to a unique
physical location for an item
Oracle Inventory can generate default or blank tags for your physical inventory. If you choose
to generate default tags for each item, specify the starting tag number and the increment by
which you want to increase each digit in the tag number. Your tag numbers may be
alphanumeric, but you can increment only the numeric portion. The alphabetic characters in
the tag number stay constant. Inventory then uses these tag numbers to generate a tag for every
unique combination of item number, revision, subinventory, locator, lot, and serial number for
which the system has an on-hand quantity not equal to zero.
If you want to have some empty tags handy to record counts for stock-keeping units for which
Inventory has no on-hand quantity (and therefore does not generate default tags), you can
generate blank tags. Inventory assigns tag numbers to blank tags, but does not include any
item or location detail. You specify this information when you enter your tag counts. You can
generate as many blank tags as you want.
e
l
c
a
r
O
Inventory Accuracy
You can also exclusively use blank tags to perform a physical inventory. If you need to
perform a complete wall-to-wall physical inventory, you can go through your warehouse and
attach blank tags to every item and/or location you see. As you perform the count, you record
the item and stock-keeping unit information along with the actual on-hand quantity.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Inventory Snapshots
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Snapshots
Before you can generate tags for a physical inventory, you must take a snapshot of all system
on-hand quantities for your items. The snapshot saves all current item on-hand quantities and
costs. Oracle Inventory uses this information as the basis for all physical inventory
adjustments. All tag counts you enter for this physical inventory are compared with these
static quantities. This allows you to resume normal inventory operations after you have
entered your counts but before you have authorized all final physical inventory adjustments.
You can perform your recounts or investigate certain results without holding up transaction
processing.
Note: Oracle Inventory does not stop inventory processing during a physical inventory.
Therefore, you must procedurally coordinate the snapshot of your physical inventory with your
actual counting, and ensure that no transaction activity occurs in a particular location until after
you have performed your adjustments.
e
l
c
a
r
O
Note: It is recommended to clear the Pending Transactions and Transactions Open Interface,
before taking a snapshot of inventory quantities.
Inventory Accuracy
For example, suppose that at the start of your physical inventory the system on-hand quantity
for item WIDGET in a particular bin is 30. Oracle Inventory saves this information with the
physical inventory snapshot. During the warehouse count, you count a total of 25 units of item
WIDGET in the same bin. Before you approve your counts and perform your adjustments, you
resume normal transaction operations, and consequently, item widget reaches a system on-hand
quantity of 45. At this point, you perform your physical inventory adjustments. Oracle
Inventory computes the adjustment as the difference between the tag count and the snapshot
quantity, NOT the current system quantity of the item that has now reached 45. So in this case,
the adjustment is 25 - 30 = -5 units. When the adjustment is posted, the new system on-hand
quantity becomes 40 units.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Entering Physical Inventory Counts
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Entering Physical Inventory Counts

Use the tags that you generated to record your physical counts. If you use physical inventory
default tags for your physical inventory, you can automatically query all tags and fill in the
counts. You can also query a subset of your tags by any combination of tag number, item,
revision, subinventory, locator, lot, and serial number. You would use this partial tag query
feature if you prefer to enter your counts by location or item, or for a particular tag number
range.
Use the tags that you generated to record your physical counts. If you use default tags for your
physical inventory, you can automatically query all tags and fill in the counts. You can also
query a subset of your tags by any combination of tag number, item, revision, subinventory,
locator, lot, and serial number. You would use this partial tag query feature if you prefer to
enter your counts by location or item, or for a particular tag number range.If you enable
dynamic tag entry for your physical inventory, you can enter counts for any item and stockkeeping unit combination without a pre-generated tag number.
Oracle Inventory uses the counts you enter for your tags to determine if your items need
quantity adjustments; and if so, whether you need to approve them. If you set your approval
option for your physical inventory to Not required for adjustments you are ready to process
your adjustments. If you set your approval option to Required for adjustments out of tolerance,
e
l
c
a
r
O
Inventory Accuracy
Oracle Inventory holds for approval all tags with counts that are outside the limits of the
quantity variance or adjustment value tolerances, If you set your approval option to Required
for all adjustments, Oracle Inventory holds all counts for approval.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Voiding Tags
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Voiding Tags
It is important for auditing purposes to track the status of each physical inventory tag.
Therefore, if you do not use one or more of the tags Oracle Inventory generates, you should
void them in the Physical Inventory Tag Counts window. A voided tag is not reported as a
missing tag in the Physical Inventory Missing Tag Listing.
If you generated blank tags at the beginning of your physical inventory, and ended up not using
all of them, you void the unused tags. When you run the Physical Inventory Missing Tag
Listing for the whole range of tags you generated, the unused tags appear as missing tags.
If you void a default tag, (for example, a tag that identifies a stock-keeping unit for which
there is system on-hand quantity), Oracle Inventory adjusts the quantity in that location to zero.
This indicates that you did not use the tag in question, presumably because the stock-keeping
unit corresponding to the tag did not exist.
e
l
c
a
r
O
Inventory Accuracy
Approval Tolerances
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Approval Tolerances
Oracle Inventory supports two types of physical inventory approval tolerances. For each type,
you can specify a positive and a negative limit. When a particular physical inventory tag count
entry results in an adjustment that exceeds any one of these limits, you have a physical
inventory adjustment that exceeds approval tolerances. Based on the approval option you
chose when you defined your physical inventory, this adjustment is or is not held for approval.
If you decide that approval is required for adjustments out of tolerance you must enter at least
one positive or negative value for one type of approval tolerance. The quantity variance
tolerance is a user-defined limit for the difference between the system-tracked on-hand
quantity and the actual tag count quantity. You express positive and negative quantity variance
tolerances as percentages of the system on-hand quantity. You enter these percentages when
defining your physical inventory.
The adjustment value tolerance is a user-defined limit for the total value of a physical
inventory adjustment: adjustment value = (system on-hand qty - actual count qty) x current
cost, where: Current cost is the cost at inventory snapshot. You express positive and negative
adjustment value tolerances as amounts in your ledger currency. You enter these tolerances
when defining your physical inventory.
e
l
c
a
r
O
Inventory Accuracy
Physical Inventory Adjustments
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Physical Inventory Adjustments

You can view, reject, or approve physical inventory adjustments pending approval. The
adjustments you can view from this window are determined by the approval option you defined
for your physical inventory. If you approve a particular adjustment, the Process Physical
Inventory Adjustments program adjusts your inventory balance by that quantity. If you reject
an adjustment, Oracle Inventory does not change the system on-hand quantity.
e
l
c
a
r
O
Inventory Accuracy
Accuracy Reports
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Accuracy Reports (Cont)
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Profile Options
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Inventory Accuracy
c
A
Table Information
y
m
Chapter 12
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 1
c
A
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 2
c
A
R12 Table Information
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 3
c
A
Objective
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 4
c
A
Organization Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Organization Tables
MTL_PARAMETERS: Associated with an organization. Primary key:
ORGANIZATION_ID.
MTL_INTERORG_PARAMETERS: Identifies the receiving organizations linked to a
particular organization. You must define the interorganizational relationship before you
perform any interorganization transfers. Units of measure, distance, transfer charge, and
accounting information are also specified in this table. Primary key:
FROM_ORGANIZATION_ID, TO_ORGANIZATION_ID.
GL_SETS_OF_BOOKS: Stores define set of books data in General Ledger. Each row
includes the set of books name, description, functional currency, and other data.
Corresponds to the Define Set of Books window. Primary key:
GENERAL_LEDGER_UPDATE_CODE.
GL_CODE_COMBINATIONS: Stores valid Accounting Flexfield segment value
combinations for each accounting flexfield structure within your General Ledger. Primary
key: CODE_COMBINATION_ID.
HR_ALL_ORGANIZATION_UNITS: Stores generic data about organizations. An
organization can be used for various purposes in Oracle Manufacturing applications. For
e
l
c
a
r
O
Table Information
Chapter 12 - Page 5
example, one organization can represent a business group, an ECO department, a planning
organization, and an inventory organization. Primary key: ORGANIZATION_ID.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 6
c
A
Subinventories and Locator Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Subinventories and Locator Tables

MTL_SYSTEM_ITEMS_B is the definition table for items. This table holds the
definitions for inventory items, engineering items, and purchasing items. The flexfield
code is MSTK. The primary key for an item is the INVENTORY_ITEM_ID and the
ORGANIZATION_ID. The same item could be defined in more than one organization.
Each row represents an item in an organization.
MTL_SYSTEM_ITEMS_TL: This table is holding translated Description column for
Items. The primary key is INVENTORY_ITEM_ID, ORGANIZATION_ID,
LANGUAGE.
GL_CODE_COMBINATIONS: This table stores valid Accounting Flexfield segment
value combinations for each accounting flexfield structure within your General Ledger
application. The primary key is CODE_COMBINATION_ID.
MTL_SECONDARY_INVENTORIES: This table is the definition table for the
subinventory. Subinventories are assigned to items, indicating a list of valid places in
which this item may be located. The primary key is
SECONDARY_INVENTORY_NAME, ORGANIZATION_ID.
e
l
c
a
r
O
Table Information
Chapter 12 - Page 7
MTL_ITEM_SUB_INVENTORIES: This table maintains a listing of subinventories

assigned to an inventory or engineering item. The subinventories make up the valid list of
subinventories when transacting a specific item if the user has specified that the item must
use subinventories from a predefined list. The primary key is INVENTORY_ITEM_ID,
ORGANIZATION_ID, SECONDARY_INVENTORY.
MTL_ITEM_LOCATIONS: This table is the definition table for stock locators. The
associated attributes describe the subinventory to which this locator belongs, and the
locator physical capacity. The primary key is INVENTORY_LOCATION_ID.
MTL_SECONDARY_LOCATORS: This table stores all locators within a subinventory
for a specific item. The locators make up the valid list of locators when transacting that
specific item to/from the subinventory when the user has specified that the item must use
locators from a predefined list. The primary key is INVENTORY_ITEM_ID,
ORGANIZATION_ID, SECONDARY_LOCATORS.
MTL_PARAMETERS: This table stores the parameters for an inventory organization
with which an item is associated. The primary key is the ORGANIZATION_ID.
Subinventories and Locators Tables.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
Chapter 12 - Page 8
c
A
Item Master Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Item Master
MTL_SYSTEM_ITEMS_B: This table is the definition table for items. This table holds
the definitions for inventory items, engineering items, and purchasing items. The flexfield
MTL_ITEM_ATTRIBUTES: This table stores the item attributes, their user-friendly
names if the item is maintained at the item or item/organization level, and the kind of
validation required for each attribute. This table is seeded on install or upgrade. The
primary key is ATTRIBUTE_NAME.
MTL_ITEM_TEMPL_ATTRIBUTES: This table stores the attributes and attribute values
for a template. When a template is created, a row is inserted for each available item
attribute. When the template is applied to an item, the enabled attribute values are
propagated to the item. The primary key is TEMPLATE_ID, ATTRIBUTE_NAME.
MTL_ITEM_STATUS_TL: This table is the definition table for a material status code.
The status code is a required item attribute and indicates the item status (for example,
active, pending, or obsolete). You may define as many additional status codes as you
e
l
c
a
r
O
Table Information
Chapter 12 - Page 9
want. The values of the individual status attributes associated with an item status are
stored in MTL_STATUS_ATTRIBUTE_VALUES. The primary key is
INVENTORY_ITEM_STATUS_CODE.
MTL_ITEM_TEMPLATES_B: This table is the definition table for item templates. It
contains the user-defined name and description. When the template is applied to an item,
the enabled item attributes are propagated to the item. The primary key is
TEMPLATE_ID.
MTL_STATUS_ATTRIBUTE_VALUES: This table stores the attribute values associated
with an item status code. One record is created for each of the function-enabling attributes
for each defined item status code. The primary key is
INVENTORY_ITEM_STATUS_CODE, ATTRIBUTE_NAME.
MTL_PARAMETERS: This table is an inventory organization with which an item is
associated. The primary key is the ORGANIZATION_ID.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A
Item Status Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Item Status Tables

MTL_ITEM_ATTRIBUTES: This table stores the item attributes, their user-friendly
names if the attribute is maintained at the item or item/organization level, if the attribute is
controlled by an items status, and the kind of validation required for each attribute. The
primary key is ATTRIBUTE_NAME. This table is seeded on install or upgrade. The top
eight item attributes are as follows:
- Stockable
- Transactable
- BOM allowed
- WIP allowed
- Purchasable
e
l
c
a
r
O
Table Information
- OE Orderable
- Internal Orderable
- Billable
MTL_STATUS_ATTRIBUTE_VALUES: This table stores the attribute values associated
with an item status code. One record is created for each of the function-enabling attributes
for each defined item status code. The primary key is
INVENTORY_ITEM_STATUS_CODE, ATTRIBUTE_NAME.
MTL_ITEM_STATUS_TL: This table is the definition table for a material status code.
The status code is a required item attribute and indicates the item status (for example,
active, pending, or obsolete). You may define as many additional status codes as you
want. The values of the individual status attributes associated with an items status are
stored in MTL_STATUS_ATTRIBUTE_VALUES. The primary key is
INVENTORY_ITEM_STATUS_CODE.
MTL_PENDING_ITEM_STATUS: This table is used to define and store the history of
the item statuses that have been or will be assigned to an item. This table maintains the
status history for each item. This table also stores pending status information. The primary
key is INVENTORY_ITEM_ID, ORGANIZATION_ID, STATUS_CODE,
EFFECTIVE_DATE.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A
Item Categories Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Item Categories Tables

FND_ID_FLEX_STRUCTURES: This table stores structure information about key
flexfields. The primary key is APPLICATION_ID, ID_FLEX_CODE, ID_FLEX_NUM.
MTL_CATEGORIES_B: This table is the code combinations table for item categories.
Items are grouped into categories within the context of a category set to provide flexible
grouping schemes. The primary key is CATEGORY_ID. The item category is a key
flexfield with a flexfield code of MCAT.
MTL_CATEGORIES_TL: This table is a table holding translated Description column for
Item Categories. The primary key is CATEGORY_ID, LANGUAGE.
MTL_CATEGORY_SETS_B: This table contains the entity definition for category sets. A
category set is a categorization scheme for a group of items. Items can be assigned to
e
l
c
a
r
O
Table Information
different categories in different category sets, but can be assigned to only one category
within a category set. The primary key is CATEGORY_SET_ID.
MTL_CATEGORY_SETS_TL: This table is a table holding translated Name and
Description columns for Category Sets. The primary key is CATEGORY_SET_ID,
LANGUAGE.
MTL_CATEGORY_SET_VALID_CATS: This table defines the valid category list for a
particular category set. If category validation is required, the list of valid categories is
stored in this table and is used to restrict category selection for the category set. The
primary key is CATEGORY_SET_ID, CATEGORY_ID.
MTL_DEFAULT_CATEGORY_SETS: This table stores the identifier of the category set
that acts as the default for a particular functional area. This information is used to
determine the mandatory category sets for an item. It is also used to provide a default
category set for forms and reports that require a category set field value or parameter. The
primary key is FUNCTIONAL_AREA_ID, CATEGORY_SET_ID.
MTL_ITEM_CATEGORIES: This table stores the item assignments to categories within a
category set. For each assignment, this table stores the item, category set, and the
category. Items can be assigned to multiple categories and category sets, but can be
assigned to only one category in a given category set. This table is populated through
either the Define Item or the Update Item/Org Attributes forms. It can also be populated
by performing item assignments when a category set is defined. The primary key is
INVENTORY_ITEM_ID, ORGANIZATION_ID, CATEGORY_SET_ID.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A
Item Reservation Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Item Reservation Tables

MTL_DEMAND: This table stores demand and reservation information used in Available to
Promise, Planning, and other manufacturing functions. Four row types are stored in this table:
- Summary Demand rows
- Dependent Demand rows
- Open Demand rows
- Reservation rows
- The primary key is INVENTORY_ITEM_ID, DEMAND_SOURCE_TYPE,
DEMAND_SOURCE_HEADER_ID, DEMAND_SOURCE_LINE (o),
DEMAND_SOURCE_DELIVERY (o), COMPONENT_SEQUENCE_ID (o).
MTL_SALES_ORDERS: This table stores the Oracle Inventory local definition of sales
orders and maps sales orders between Oracle Inventory and other Oracle Manufacturing
applications. The primary key is SALES_ORDER_ID.
OE_ORDER_HEADERS_ALL: This table stores header information for orders in Oracle
Order Management. The primary key is HEADER_ID.
e
l
c
a
r
O
Table Information
OE-ORDER_LINES_ALL: This table stores information for all order lines in Oracle
Order Management. The primary key is LINE_ID.
GL_CODE_COMBINATIONS: This table stores valid Accounting Flexfield segment
value combinations for each accounting flexfield structure within your General Ledger
application. Available material can be reserved against a valid Accounting Flexfield
combination. The primary key is CODE_COMBINATION_ID.
MTL_GENERIC_DISPOSITIONS: This table stores the user-defined account alias. An
account alias provides a method to use accounting numbers and makes it easier to transact
account issues and receipts. Available inventory can be reserved against an account alias.
The primary key is DISPOSITION_ID, ORGANIZATION_ID.
MTL_MATERIAL_TRANSACTIONS: This table stores a record of every material
transaction or cost update performed in Inventory. An issue transaction to an account
number or account alias can relieve a reservation against the account number or alias. The
primary key is TRANSACTION_ID.
MTL_DEMAND_INTERFACE: This table is the interface point between non-Inventory
applications and the Oracle Inventory demand module. Records inserted into this table are
processed by the Demand Manager concurrent program.
the definitions for inventory items, engineering items, and purchasing items. The primary
key for an item is the INVENTORY_ITEM_ID and the ORGANIZATION_ID.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A
Inventory Transaction Tables
y
m
e
d
a
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
c
A
Inventory Transaction Tables

MTL_TRANSACTIONS_INTERFACE: This is the interface point between nonInventory applications and the Inventory transaction module. The Transaction Manager
concurrent program polls this table at a user-specified process interval and submits the
transaction workers to process them. Processing consists of data derivation, validation,
and transfer of records from MTL_TRANSACTIONS_INTERFACE,
MTL_TRANSACTION_LOTS_INTERFACE, and
MTL_SERIAL_NUMBERS_INTERFACE into their respective TEMP tables, from where
they are processed by the transaction processor.
MTL_MATERIAL_TRANSACTIONS_TEMP: This table is the gateway for all material
transactions. Records are processed from this table into Inventory through the transaction
processor. All Inventory transaction forms write directly to this table. Outside applications
must write transaction records to MTL_TRANSACTSIONS_INTERFACE TXN
Processor makes use of TXN worker to process the transactions from
MTL_TRANSACTIONS_INTERFACE to
MTL_MATERIAL_TRANSACTIONS_TEMP and from
MTL_MATERIAL_TRANSACTIONS_TEMP to
MTL_MATERIAL_TRANSACTIONS..
e
l
c
a
r
O
Table Information
MTL_MATERIAL_TRANSACTIONS: This table stores a record of every material

transaction or cost update performed in Inventory. Records are inserted into this table
either through the transaction processor or by the standard cost program. The primary key
is TRANSACTION_ID.
MTL_TRANSACTION_ACCOUNTS: This table holds the accounting information for
each material transaction in MTL_MATERIAL_TRANSACTIONS. Oracle Inventory
uses this information to track the financial impact of your quantity moves.
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A
Guided Demonstration - Accessing eTRM

Note: You must have an Oracle Metalink account to access eTRM.
1.
Navigate to the Oracle Metalink home page.
https://metalink.oracle.com/
2.
Click Log in to Metalink
3.
Enter your username and password.
4.
(T) Knowledge
5.
Click Applications Electronic Technical Reference Manuals (eTRM).
6.
(B) I accept
7.
Click FND Data Dictionary.
8.
Click INV- Inventory.
9.
Click 267-Tables.
y
m
e
d
a
10. Select any table to show the students.

11. Close the web page.
12. Click Sign Out to exit Metalink.
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
13. Close the web page.
e
l
c
a
r
O
Table Information
c
A
Summary
y
m
e
d
a
e
l
c
e
l
c
a
r
O ly
& On
l
a e
n
r
s
e
t
U
n
I
a
r
O
Table Information
c
A

R12 Inventory Management Part2

Hochgeladen von

Dokumentinformationen

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

R12 Inventory Management Part2

Hochgeladen von

Copyright:

Verfügbare Formate

R12 Oracle Inventory

Volume II - Student Guide

Copyright 2007, Oracle. All rights reserved.

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Categories and Category Sets ........................................................................................................................4-63

R12 Oracle Inventory Management Fundamentals Table of Contents

Issuing and Transferring Material.................................................................................................................7-1

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Benefits of Managed Material Flow in a Facility ..........................................................................................7-61

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Solution Performing Min-max Planning.................................................................................................10-44

Inventory Accuracy .........................................................................................................................................11-1

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Cycle Count Items .........................................................................................................................................11-33

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Working experience with Oracle Applications

There are no prerequisites for this course.

How This Course Is Organized

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

System release bulletins

Installation and users guides

International Oracle Users Group (IOUG) articles

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Do not save changes to the database.

This subject is covered in Unit II, Lesson 3, Working with

Use the SELECT command to view information stored in the

Select File > Save.

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Typographic Conventions in Code

DROP USER scott

CREATE ROLE role

SQL commands and SELECT userid

Typographic Conventions in Oracle Application Navigation Paths

(M) From the menu, select Query then Find.

(B) Click the Approve button.

R12 Oracle Inventory Management Fundamentals Table of Contents

Typographical Conventions in Oracle Application Help System Paths

Under the General Ledger entry, expand Journals.

Under Journals, select Enter Journals.

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Copyright Oracle Corporation, 2007. All rights reserved.

R12 Oracle Inventory Management Fundamentals Table of Contents

Issuing and Transferring

Copyright Oracle Corporation, 2007. All rights reserved.

Issuing and Transferring Material

Copyright Oracle Corporation, 2007. All rights reserved.

Issuing and Transferring Material

R12 Issue and Transfer Material

Copyright Oracle Corporation, 2007. All rights reserved.

Issuing and Transferring Material

Copyright Oracle Corporation, 2007. All rights reserved.