This document discusses new features in Oracle Process Manufacturing release 11.5.10, including lot costing calculations, resource backflushing, inventory convergence between process and discrete manufacturing, and quality management features like automatic sample creation and results association. It also summarizes Oracle Process Manufacturing family packs and highlights features for logistics like invoicing internal orders, multi-lot receiving, and reserving against production.

1. Oracle
Process Manufacturing
Futures

2. 11i.10

3. Week 2 Time table / ctd
 Day 10
– Discuss latest release 11.5.10 (OPM Family Pack
L) – Lot Costing, Formula optimisation, and
resource backflushing.
– Futures – Inventory convergence and
implications. Any outstanding Q and A and
integration issues

4. OPM Family Packs
– OPM Family Pack A ~ 11i.2
– OPM Family Pack C ~ 11i.3
– OPM Family Pack D ~ 11i.4
– OPM Family Pack E ~ 11i.4
– OPM Family Pack F ~ 11i.5
– OPM Family Pack G ~ 11i.6 (New Product Dev)
– OPM Family Pack H ~ 11i.7 (Common Receiving)
– OPM Family Pack I ~ 11i.8 (Production)
– OPM Family Pack J ~ 11i.9
– OPM Family Packs K & L ~ 11i.10
Can apply J to 11i.8, K to 11i.9

5. Oracle Process Manufacturing
 ERES
– New iSign file approval process
– Contains new eRecord style sheets
– To meet CFR 21 Part 11 requirements
– Forces file and version control
– Approval hierarchy set up in Oracle Approvals
Management system

6. Oracle Process Manufacturing
 OPM Quality
– Base and overlay specifications
– Archive and reserve samples
– Automatic sample record creation
– New Quality workbench
– Results association (child results carried
through to parent)
– Quality results can drive item/lot conversion

7. Item Overlay Specification

8. Archive and Reserve Samples
Definition

9. Archive and Reserve Samples
– Enhanced samples management capabilities for
various testing needs
Samples taken
Reserve samples:
Additional quantity to
continue testing
Archive samples:
Regulatory compliance
& future investigation
Required samples:
Immediate sample
analysis

10. Automatic Sample Creation Option

11. Quality Workbench
– Organize
specifications and
samples data
 Summary
 Details: Tests,
Results
– Improve quality
laboratory
productivity
– Simplify access to
Quality screens
– Personalize
workbench with saved
queries

12. Results Association

13. Quality-Driven Lot UOM Conversion

14. Oracle Process Manufacturing
 OPM Inventory
– Automatic Lot Numbering
Rapidly create new lot and sublot numbers
Configurable setup by item provides consistency
Custom numbering schemes supported

15. Oracle Process Manufacturing
 OPM Inventory
– Lot UOM Conversions
Account for variability in lot characteristics common in
many process manufacturing environments
 Potency, aging, evaporation, reformulation
Automatically update inventory
Maintain complete audit trail
E-Record support Standard:
1 ml = 1 potent
unit
Lot 001- A
1 ml = 1.1 potent
unit
Lot 001- B
1 ml = 0.85 potent
unit

16. Oracle Process Manufacturing
 Logistics
– Invoicing Internal Orders
– Multi-Lot Reception
– Controlling Customer Returns
– Automatic Allocation Enhancements
– Reserving Against Production
– Related Order Management (e.g. HVOP) and
Purchasing Features (e.g. retroactive pricing)

17. Invoicing Internal Orders
Create and Ship Internal Order
Create Internal
Sales Order
Enter Internal
Requisition
Receive Against
Internal
Requisition
Import Internal
Sales Order
Ship Confirm
Delivery
Pick Release
And Allocate
Order
Oracle Purchasing Order Management

18. Invoicing Internal Orders
Profile Options – INV and CST
Values
Profile
No, price as incoming
cost
Yes, price not as
incoming cost
CST: Transfer Pricing Option
Yes or No
(Set to “Yes”, if CST
profile is “Yes”)
INV: Advanced Pricing for
Intercompany Invoice
Yes or No
INV: Intercompany Invoice
for Internal Orders

19. Oracle Process Manufacturing
 Logistics
– Receiving Multiple lots
– Quick entry of multiple lots in Receiving
– Uses automatic lot number generation
– Typing aid for users who receive many lots
against one Receiving line
– Added Electronic Records and Signatures capability
to multiple lot records (New business events created
for signing receipts)

20. Oracle Process Manufacturing
 Logistics
– Controlling Customer Returns
– Validate lots and sublots for a return
– Control level of validation required
– Integrates with receipt recorded in Purchasing

21. Oracle Process Manufacturing
 Logistics
– Controlling Customer Returns
Profile Value Validation in
OM
Validation in
PO
Restricted Lots must
belong to SO
line
Only lots
entered for the
RMA
Unrestricted Lots in lot
master or any
lot
Any lot, plus
create new lots
Restricted with
Warning
Any lot in the
lot master
Any lot, plus
create new lots

22. Oracle Process Manufacturing
 Logistics
– Reserving Against Process Execution
– Reserve against Pending and WIP Batches
– Reserve against Firm Planned Orders (FPOs)
– Batch completion converts reservations into allocations
– FPO reservations convert into batch reservations
– Customer Service and Production monitor and modify
reservations

23. Oracle Process Manufacturing
 OPM Cost Management
– Lot costing
– Lets you calculate (background process) and
store costs at the lot-level. Every lot has a
unique cost associated with it and that lot
retains this cost till such time the entire lot is
consumed.
– The Lot Cost process retrieves all the
transactions that are applicable and processes
them in the order in which the items were
replenished or consumed.

24. Oracle Process Manufacturing
 OPM Cost Management
– Cost Methods Form:
– mark Cost Method as Lot Cost Method and assign
Alternate Cost Method and Trans Start Date.
All the transactions after Trans Start Date are processed
by Lot Cost process.
– Subledger process:
– all transactions are valued using the purchase order price
or batch lot cost or the appropriate incoming cost by the
Subledger Update process if the Lot Cost method is used
for valuation.

25. Oracle Process Manufacturing
– Processing (Lot Cost Process):
Following is the formula used to calculate the Lot
Cost:
New Cost =
(Existing Lot Cost x Onhand Qty) +
(New Receipt Qty (or Yield Qty) x New Price (or Batch
Cost))
----------------------------------------------------------
Onhand Qty + New Receipt Qty (or Yield Qty)

26. Oracle Process Manufacturing
 OPM Process Execution
– Resource Backflushing
Incremental Backflushing can now be used to backflush
resource usage in addition to material usage
Calculate Step Quantity checkbox on Recipe must be
unchecked
Product used to drive backflushing must be associated
with a step
That step and previous steps will be backflushed, so step
dependencies must be set up

27. Oracle Process Manufacturing
 OPM Process Execution
– Support for Shop Calendar
Shop Calendar respected in batch creation and
rescheduling
Warning if creating a batch to start during non-working
time
Calculation of batch duration takes into account non-
working time
Option to schedule batch during planned down time for
overtime

28. Oracle Process Manufacturing
 OPM Process Execution
– Terminate Batch
Ability to terminate a WIP batch
Cancels remaining Pending steps
Sets batch status to Completed and sets new
“Terminated” indicator
Leaves actual quantities as recorded to that
point, but can be adjusted

29. Inventory Convergence

30. Prior to OPM Inventory Convergence
 OPM  Discrete Inventory transfer
– Allows for mixed mode manufacturing
– New forms for transfer of stock from process warehouse to
discrete inventory org and vice versa
– Have to maintain costs in synch manually between OPM
and discrete
– Movement is correctly accounted for
 Use is subject to VP approval

31. OPM Inventory Convergence
 Single Item Master
– Not many additional attributes required on item master
– Makes possible the definition of OPM category codes (e.g.
Item GL Class) at organisation level
 Common Inventory tables
– Inventory and Sub-Inventory orgs used
 Retain separate Formula/Recipe module
– Co-product and by-product functionality peculiar to
process
 Retain separate Cost Engines (probably)
 New Subledger Architecture

32. The End