Oracle Applications 11.5.10 Sourcing Training


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Overview of Oracle Applications 11.5.10 Sourcing that I presented to Procurement Professional Community

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Oracle Applications 11.5.10 Sourcing Training

  1. 1. Sourcing 11.5.10 Dharmalingam K S, PMP Procurement Professional Community Hot Topic Presentation 09-May-2006
  2. 2. Agenda <ul><li>Overview </li></ul><ul><li>Setup – User & Supplier </li></ul><ul><li>Sourcing Home Page </li></ul><ul><li>Sample RFQ Flow – Create, Publish, Supplier response (Quote), Award Details & Create PO </li></ul><ul><li>Limitations & Data Flow </li></ul>
  3. 3. Overview <ul><li>Oracle Sourcing is the enterprise application that drives more and better sourcing through online collaboration. </li></ul><ul><li>It is a key component of Oracle Advanced Procurement, the integrated suite that dramatically cuts all supply management costs. </li></ul>
  4. 4. Sourcing Flow & Advantages Source More of Your Spend Source for Lowest Total Cost Create Immediate and Long-Term Savings Structured Event Support Cross-Functional Collaboration Knowledge Capture / Re-use Total Cost Analysis* Real Time Decision Support* Enterprise Integration Rapid Deployment Change Management Automated Negotiations, Bid Mgmt and Award* Make Savings Stick Identify Opportunities & Suppliers Conduct On-Line Negotiations Analyze & Award Approve & Issue Define Strategies & Negotiations Integration * Requires Sourcing Optimization Purchasing Contract Mgmt Finance Marketing Other Operations
  5. 5. System Generated Recommendations* Optimized, Policy-Compliant Award Recommendation Eliminate Time-Consuming Manual Analysis <ul><li>Multiple Sites </li></ul><ul><li>Dozens of Bid Lines </li></ul>Company Policy Complex Bids <ul><li>Sourcing Rules </li></ul><ul><li>Budget Constraints </li></ul><ul><li>Supply Base Rules </li></ul>Model multiple business constraints and supplier inputs Award Optimization Engine * Requires Sourcing Optimization Maximum of 5 Vendors Minimum 60% to incumbent supplier $100k Annual Maximum Multiple Suppliers
  6. 6. Setup - User <ul><li>Sandbox Instance URL: </li></ul><ul><li>Define a new employee in ‘US HR Manager’ responsibility with email id and then attach it to the Oracle Applications user. </li></ul>
  7. 7. Setup – Register Supplier <ul><li>Create new suppliers either in Purchasing or Payable module </li></ul><ul><li>Register the suppliers in ‘Supplier User Administrator’ responsibility </li></ul>System generated password would be sent to the supplier’s email
  8. 8. Setup - Invite Supplier User <ul><li>Invite the suppliers in ‘Supplier User Administrator’ responsibility </li></ul>The email notification for invitation would be as below
  9. 9. Sourcing Super User IT <ul><li>Click on the function ‘Sourcing Home Page’ in the responsibility ‘Sourcing Super User IT’ </li></ul>
  10. 10. Sourcing Home Page - Negotiations <ul><li>Templates can not be modified by other users except the owner (not like core apps) though the access is setup as public </li></ul><ul><li>But other buyers would be able to apply the template </li></ul>
  11. 11. Requests <ul><li>When scrolled to the right, the document builder is shown </li></ul><ul><li>The options available for Document are: </li></ul><ul><li>Standard RFQ </li></ul><ul><li>Standard Auction </li></ul><ul><li>Blanket RFQ </li></ul><ul><li>Blanket Auction </li></ul>
  12. 12. Intelligence
  13. 13. Administration
  14. 14. Negotiation Configuration
  15. 15. Abstracts & Forms <ul><li>Abstract is a summary or synopsis of a negotiation used to advertise the purchase to increase competition. They would be presented in the buying org’s external website. </li></ul><ul><li>Form is a XML based file that can be transferred to 3 rd party system. </li></ul>
  16. 16. Create Form
  17. 17. RFQ Header <ul><li>Operating Unit selection through security profile </li></ul><ul><li>Once saved, will not be able to change both Org & Outcome </li></ul>Both RFQ number and AUCTION_HEADER_ID are same (no segment1 column in the table) Supervisor would be defaulted in the collaboration team
  18. 18. RFQ Line Summary Once navigated to Lines page, the RFQ is saved to the table
  19. 19. RFQ Line Creation No internal attribute type – only Required, Optional, Display Only Multi Attribute scoring for Quantity & Need by to date
  20. 20. Scoring Criteria
  21. 21. Controls
  22. 22. Contract Terms Available only when Oracle Procurement Contracts is licensed & implemented
  23. 23. Create Deliverable
  24. 24. Supplier Summary <ul><li>Supplier site is not required till quoting but required for creating a PO </li></ul><ul><li>Such suppliers (whose site is not defined in the current Operating Unit) can be selected only by ‘Add Supplier’ not from ‘Add Invitation List’ </li></ul>
  25. 25. Add Supplier
  26. 26. Add Suppliers from Invitation List
  27. 27. Publish Negotiation
  28. 28. Supplier Sourcing Home Page
  29. 29. Supplier’s Action Menu in RFQ
  30. 30. Supplier’s Worklist
  31. 31. Supplier Notification
  32. 32. Supplier participation acknowledgement from worklist Workflow response becomes the participation acknowledgement
  33. 33. Supplier’s Online Discussion
  34. 34. Unread message in Buyer’s Negotiation Home Page
  35. 35. Create Quote
  36. 36. Price Factors
  37. 37. Line Price & Quote Price
  38. 38. Buyer’s Action Menu
  39. 39. Close RFQ
  40. 40. New Round If Sourcing RFQ is created from requisitions, then the requisition is returned to the pool on creating new round
  41. 41. Award by Quote
  42. 42. Score Entry
  43. 43. Award Multiple Lines Note lot is grouped and shown as one element
  44. 44. Award Quote
  45. 45. Award By Line
  46. 46. Graph Price/Score by Time
  47. 47. Graph Price by Score
  48. 48. Award
  49. 49. Line Comparison
  50. 50. Spreadsheet Interface <ul><li>Note the zip file is placed as an object above for reference </li></ul><ul><li>Please leave the presentation mode to open the file </li></ul><ul><li>After completing the entries in excel, award is to be imported as a text file. </li></ul>
  51. 51. Complete Award <ul><li>Only new PO’s can be created </li></ul><ul><li>Existing PO’s can not be updated </li></ul>
  52. 52. Create PO The workflow background process with the item type ‘Sourcing Complete Auction’ needs to be scheduled to run @ a frequency depending on the rate of publishing the RFQ. This workflow calls the standard ‘Create PO’ workflow to create the PO.
  53. 53. PO Summary All the price factors would come as line level attachments
  54. 54. Limitations of Sourcing <ul><li>Inability to update existing Purchase Orders on award (only new PO creation is possible) – Please refer Complete Award </li></ul><ul><li>Spreadsheet interface – Export just dumps data from the tables. Item import for negotiation lines require certain intelligence from the buyers! – Please refer Spreadsheet Interface </li></ul><ul><li>There is no API to create Sourcing negotiations from external systems or through custom extensions. </li></ul>
  55. 55. Tips & Information <ul><li>Tips </li></ul><ul><ul><li>Disable pop-up blocker in the internet browser </li></ul></ul><ul><ul><li>Do not use browser’s back or front buttons, instead use the applications’ links </li></ul></ul><ul><li>Information </li></ul><ul><ul><li>Student guides & training for Sourcing are being prepared and would be ready by June/2006 from Oracle University </li></ul></ul>
  56. 56. Data Flow in Sourcing Tables
  57. 57. Thank You A Q &