inventory presentation 11i

7/22/2019 Inventory Presentation 11i

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Oracle Inventory

Release 11i

Presentation byOracle Applications Center of Excellence


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Agenda Overview

Key Features

Business Process Flow at a glance

Interaction with other modules

Set up

Detail Process Flows

Reports


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Inventory Overview


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Issue of material

Materials PlanningTrack storage locations

Stock Audit

Maintenance

of material

Receipt of material Storage of material

Track quantity

on hand

Cost control

Inventory

Inventory Functions


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Shortage of stock

Reporting

Needs

Misplaced items

Cost control

Excess Stock

Tracking of critical items

Query of items

Manual errors INVENTORY

Multi-location stores

Areas of Concern


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Flexible multi-site Inventory Mgmt

Comprehensive Item Definition

Revision, Lot & Serial no. Control

Faster Transaction System

Extensive Item Categorization & Cataloging

Improved Accuracy

Sophisticated Planning ToolsItem Cross Referencing Links

Configurable ATP

Multiple UOM

Parameter specific on-line searchAgile Manufacturing through mix-mode mfg.

Key Features


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Business Process Flow at a glance


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Inventory Flow Process


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Inventory Flow Process


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Interaction with Other Modules


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Oracle Cost

Management

Oracle

Inventory

Oracle WIP

Oracle

Purchasing

Oracle Order

Entry/Shipping

Oracle Bills

of Materials

Oracle Master

Scheduling/MRP

Oracle

Engineering

Integration with Oracle Manufacturing


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Oracle Payables

Oracle

Inventory

Oracle General

Ledger

Oracle

ReceivablesOracle Assets

Integration with Oracle Financials


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Oracle Inventory Set Up


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Organization Set Up

I t O i ti S t


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Perform the following steps to set up your Inventory

Structure

Inventory Organization Setup

I t O i ti


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An organization is an inventory location assigned to a

set of books , costing method, workday calendar, and listof items.

An organization can be a company, subsidiary, or

warehouse.

Inventory Organization

I t O i ti St t


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Inventory Organization Structure

O i ti D fi iti


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Enter Organization Information

Organization Definition

L ti D fi iti


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Enter Locations associated with each Organization

Location Definition

Organization Parameters


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Enter control options and defaults for each inventory

organization

Organization Parameters

Organization Access


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Assign specific organization to each responsibility

Organization Access

Subinventory


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Define subinventories within each organization

Subinventory

Locators


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Enter locators to use for locator-controlled items or storage

areas

Locators


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Hands On exercises

Create a location

Create an Organization and assign the defined location and

relevant parameters

Define subinventories


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Item Set Up

Items Overview


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The following graphic summarizes all the steps that you

need to take in order to define and maintain items:

Choose item attribute control levels

Define

UOMs

Define Status

Control Levels

Define

Statuses

Define

Categories

Define

Category

Sets

Define

DefaultCategories

Create

Templates

Define

Catalogs

1

Items Overview

Item Definition Process Steps Overview


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1

Copy Templates

Copy Items

Enter Attributes value

Assign Categories

Assign Catalogs

Enable in Child Organization

Update Organization Level Attributes

Define Item Costs

Item Definition Process Steps Overview

Unit of Measure


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Units of Measure

A unit of measure (UOM) is a term that you must use,

along with a numeric value, to specify the quantity of

an item. For example, each is a unit of measure that

you would use to specify the number of units of an

item.

Unit of Measure Class

A unit of measure class is a group of units of measure

with similar characteristics. For example, weight canbe a unit of measure class with units of measure such

as kilogram, gram, pound, and ounce.

Unit of Measure

Unit Of Measure


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Perform the following steps to define multiple units of

measures and set up conversions

Unit Of Measure

UOM Class


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Examples of UOM Classes

UOM Class

Define UOM Class


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Define UOM Class

Units of Measure


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Examples of UOM

Units of Measure

Define UOM


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Define Units of measure within each class

Define UOM

UOM Conversion


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UOM conversions enables you to perform transactions in units of

measure other than the primary UOM of the item

UOM Conversion

Overview of Item Setup


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Overview of Item Setup

Define Items


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Define Items

Define Item Status and Attributes


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An Item Status enables you to control the key functionality of

an Item

Item Status

Status Attributes

Define Item Status and Attributes

Define Item Status


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Define Item Status

Attribute Control Levels


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Defining Attribute Control Levels

Define Item Status


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You can define an item status by selecting the value check

boxes for the status attributes

Define Categories and Category Sets


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You can group your items in several

category grouping schemes

g g y

Categories and Category Sets Definition Steps


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Steps to define Categories and Category Sets

g g y p

Define Categories


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g

Define Category Sets


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g y

Default Category Sets


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g y

Assign Categories to Items


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Item Templates


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Item creation using Copy Feature


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You can use templates and existing items to define new items

Item Attributes Setup


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You can enter values for item master-level attributes and defaults fororganization-level attributes.

Assign Categories to Items


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You can assign multiple categories to your item.

Item in Child Organization


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You can enable an item in any child organization.

Item Costs


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Item Relationships


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Manufacturere Part Number


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Item Import


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You can import items from a different system through import items window.

Catalog Groups


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You can use item cataloging to add descriptive information to itemsand to partition your Item Master into groups of items that share

common characteristics.

Item Catalogs


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1. Define the item catalog group

2. Define descriptive elements within

each catalog group

3. Assign item to each catalog group

4. Enter descriptive element values

for each item

5. Update item description with catalog

groups and descriptive element values

6. Search for items by using descriptive

elements as search criteria

Defining and using Item Catalogs

Define Catalog Groups


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You can enter item catalog groups and descriptive elements

Define Catalog Groups


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Assign Item to Catalog Groups


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You can choose item catalog group, enter descriptive element values andupdate item description.


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Hands On exercises

Define item in the master organization and assign to child

organizations

Items to be purchased only.

Do the relevant set up for restricting the items in pre defined

sub inventories in different organizations.

Create items copying the attributes of existing items


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Item Enquiry

Item Search


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You can search for items by using multiple query criteria.

Item Search


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You can query all items that are related to or substitutes for a

particular item.

Item search


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You can query all items with a particular cross reference.

System Profile Values


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Personal Profile Values


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Detailed Process Flows

Process Flows


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Material Flow Business Flow

Process Flow


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Direct

Interorganization

Transfer

Interorganization

Transfer by way

of Transit

Miscellaneous

ReceiptMiscellaneous

Issue

Return from customer


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Inventory Order

EntryReceivables

Inventory Transactions


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Customizing and Processing Transactions

A Transaction Source Type and Transaction Action make upa Transaction Type

Transaction Source Types


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You can define your own origins for inventory transactions.

Transaction Types


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You can define a transaction type by combining a transaction action and atransaction source type.

Transaction Reasons


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You can define reason codes that you can associate with each transaction

line.

Transaction processing Modes


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You can choose processing modes for each type of transaction

Inventory Accounting Periods


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You can perform transactions only in Open Periods.

Miscellaneous Transactions


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You can charge receipts and issue transactions to account numbers

Miscellaneous Issue


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Subinventory Transfers


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You can transfer items between subinventories and locators in the same

organization


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Hands On excercises

Do a miscellaneous receipt of the items defined

Perform a subinventory transfer between the stores within

the organization

Move Orders


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Move orders are requests for the movement of material within a single

organization.

They allow planners and facility managers to request the movement of

material within a warehouse or facility for purposes like replenishment,

material storage relocations, and quality handling. Move orders can be

generated either manually or automatically depending on the source

type you use.

Move orders are restricted to transactions within an organization. For

transferring material between organizations, internal requisition process

is used.

Move Orders Process Flows


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1. Create a move order for required material.You can manually create a move order

requisition or set up your system to automatically generate replenishment or pick wave

move orders.

2. Approve the move order lines.If the move order requisitions require approval, the

item planner must approve the move order lines.

3. Allocate the move order.Once the move order is approved, it must be allocated.

Allocating is the process that uses Oracle Inventory picking rules to determine where to

source the material to fulfill a request line. The allocating process fills in the move order

line details with the actual transactions to be performed and allocates the material to themove order.

4. Print a pick slip.Before you transact the move order, you can print a pick slip or push

the move order line allocations to mobile devices for transaction through the move order

APIs.

5. Transact move order lines.You can either transact all the move order lines at once or

transact one allocation line at a time as the items are moved. If you transact less than the

requested quantity, the move order stays open until the total quantity is transacted or until

the order is closed or cancelled.

Move Orders Source Types


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Three types of move orders:

1) Move order requisitions

2) Replenishment move orders

3) 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 transfer or account issue.

Move Order Requisitions A move order requisition is a manually generated request for a move

order.

It is available for subinventory transfers and account transfers.Oncea requisition has been approved, it becomes a move order.

These requests can optionally go through a workflowbased

approval process before they become move orders ready to be

sourced and transacted.



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Replenishment Move Orders

You can automatically create preapproved move orders using the following

planning and replenishment functions.

These processes generate move orders if the material is sourced from another

inventory location within the organization.

Min Max Planning When a minimum quantity for a specific item is reached

in inventory, you can use a move order to replenish the supply.

Replenishment Counting If a system that uses replenishment counting

triggers an item for replenishment, you can use move orders to

replenish the supply.

Kanban Replenishment When a kanban card signals the need to

release an item into a subinventory, you can generate a move order

to handle the release.



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Pick wave move orders

pre

approved requests for subinventory transfers to bring material froma source location in the warehouse to staging subinventory.

These move orders are generated automatically by the Oracle

Shipping Execution pick release process.

Create Move Orders


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Approve Move Orders


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Transact Move Orders


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Organization Transfer


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You can define shipping networks before entering inter-organization

transfers

Use intransit

inventoryFOB=Receiving

Require internal

order to ship Direct Transfer

Use intransit

inventory

FOB=Shipping



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Perform interorganization transfers as directorintransitshipments.

Can transfer one or more items in a single transaction. Can transfer partial quantities of the same item to different

subinventories and locators in a single transaction.

The item under transfer must exist in both organizations.

Can transfer expense and asset items from one organization toanother using intransit inventory.

Can specify the organizations that can ship items between each other

Direct Organization Transfer


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Use a direct interorganization transfer to move inventory directly from ashipping organization to a destination organization.

The validity of a transfer transaction depends on the controls defined inboth the shipping and destination organizations for the items to betransfered.

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 canspecify the lot numbers for item A in organization X during the transfertransaction).

However, you cannot transfer item B from organization X to organization

Y if item B is under lot control only in organization Y (you cannot specifylot numbers for item B in the destination organization because you areperforming a direct transfer).

Indirect Organization Transfer


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Use a direct interorganization transfer to move inventory directly from ashipping organization to a destination organization.

The validity of a transfer transaction depends on the controls defined inboth the shipping and destination organizations for the items to betransfered.

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 canspecify the lot numbers for item A in organization X during the transfertransaction).

However, you cannot transfer item B from organization X to organization

Y if item B is under lot control only in organization Y (you cannot specifylot numbers for item B in the destination organization because you areperforming a direct transfer).



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Performing Receiving Transaction


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Receiving Transaction


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Receiving Concepts


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Reviewing Supplier Receipt Options


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Receiving Unordered Items


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Receiving Unordered Items


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Receiving In-transit Shipment


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Inspect, Transfer & Deliver Receipts


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Return to Supplier


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RMA


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Return Material Authorization Process

Receiving against RMA


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Accepting Items into Inventory

You can receive or reject (return) items requiring inspection

Inspecting RMA Returns


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You can receive or reject (return) items requiring inspection

Y t it th t d i ti th t d t i

RMA Receiving Returns


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You can accept items that passed inspection or that do not require

inspection into a subinventory

You can accept items that passed inspection or that do not require

RMA Receiving Returns


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p p p q

inspection into a subinventory

If items were originally accepted into a subinventory for repair you can

Returning Items to Customer


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If items were originally accepted into a subinventory for repair, you can

record return of repaired items to the customer

You can credit customers and close returns using the receivables interface

Crediting Customer & Closing RMA


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You can credit customers and close returns using the receivables interface

and Close Orders windows, respectively

Capturing serial genealogy allows tracking and tracing multi-

Track & Trace Inventory


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Capturing serial genealogy allows tracking and tracing multi-

level composition history from receipt of serial numbers through

shipment of the end assembly serial to customers.


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Inventory Planning

Planning Overview


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Inter-Org

Shipments

Statistical and

Focus Forecasts

WIP IssuesSales Order

Shipments

Miscellaneous

Issues

Planning Overview


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Order Time

Order Size

Planning Methods

Oracle Inventory Processes

Planning Overview


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Oracle Inventory Processes

Reorder point

planning Min-Max Planning

Sub-inventory

replenishment

Populate Requisition

Open Interface

Run Requisition Import

Create Purchase

Requisition

Create Purchase

Order

Create

Internal

requisition

To Oracle Order Entry Process

(Create Internal Order)

(Run Order Import)

Oracle Purchasing Process

Supply Sources for Planning


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OraclePurchasing

OracleInventory

Demand Sources for Planning


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OracleOrder Entry

OracleInventory

Historical Sales Data & Forecast Rules


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OraclePlanning

Oracle

Inventory

Defining ATP


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Define rules to check item availability.

Check item availability for future dates by using

planned supply and demand

ATP


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D fi i ATP R l

Overview of ATP


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Defining ATP Rules:

Computation options

Time fence optionsSupply sources

Demand sources

Setting Up Items and Bills for ATP Checks and Bills for

ATP Checks:

Item ATP rule Item ATP rule

Check ATP attribute

ATP Components attribute Bill Component Check ATP attribute

Steps for checking ATP


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2

3

4

6

5

1

Defining an ATP Rule

Steps Involved:


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2

3

4

5

1

6

Steps Involved:

The following table contains various ATP rules:



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The following table contains various ATP rules:



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Item & Bill Setup for ATP Checking


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Is Item,ATO

/PTO only,a

parent of anassembly?

Is Item a

component of

an ATO /PTOAssembly?

Yes

No

Yes

U f ATP i O l O d E t

Available to Promise (ATP)


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Uses of ATP in Oracle Order Entry:

You can set up your item so that Oracle Order Entry

automatically checks ATP when you place demandfor the item.

You can navigate to the ATP Criteria window to view

ATP details.

Uses of ATP in Oracle Bills of Material :

You can set up your item so that Oracle Inventory

performs ATP checking for an ATP items bill of

material components when you order that item in

material components Oracle Order Entry.

Steps Involved:

Reorder Point Planning


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Steps Involved:

1

2

3

4

Reorder Point Planning


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Time

Quantity

Reorder Point

Safety Stock

Min-Max Planning


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Do you want

specific lotincrements?

Yes

No

Steps Involved:

Min-Max Planning


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Steps Involved:

1

2

3

Steps Involved:

Sub-Inventory Replenishment


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Steps Involved:

1

2

3

6

4

5


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Kanban Replenishment

Overview of Kanban


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Kanban is a means of supporting pullbased replenishment in

manufacturing systems.

A Kanban system is a selfregulating pull system that leads to

shorter lead times and reduced inventory.

Kanbans represent replenishment signals that are usually

manual and highly visible, such as a colorcoded card that

moves with the material,a light that goes on when

replenishment is required, or an empty bin that is moved to thesupply location to trigger replenishment.

P ll S

Major Features of Kanban


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Pull Sequences

A pull sequence is a group of information that defines a kanbanlocation, source information, and planning parameters for an ite

Pull sequences are used to calculate the number or quantity

in each kanban container at that location.

Kanban Chain

For every kanban planned item, you can define a kanban chain,

which is a series of pull sequences that model thereplenishment network on the shop floor, for example,

line stock to stores and stores to supplier.

Card Definition

Major Features of Kanban


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Ca d e t o

Kanban cards are created for an item, subinventory, and

locator (optional). They are uniquely identified by a kanbannumber. 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 systemcreate the number.

Card PrintingYou 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.

Use the Pull Sequences window to view, update, and define the source

f l i h t f k b l d it i k b l ti

Defining Kanban Pull Sequences


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of replenishment for a kanban planned item in a kanban location.

Use the Kanban Cards Summary window to view, define, and update

kanban cards You can also automatically generate kanban cards with the

Defining Kanban Cards


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kanban cards. You can also automatically generate kanban cards with the

Generate Kanban Cards process.

Replenishing Kanban Cards


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When a kanban is empty, you can replenish it systematically. This

will change the card status to empty and will trigger the necessarytransactions to refill the kanban.

Prerequisites

Generate kanban cards, with card status asActive and supply status

as Full.

To replenish kanban cards:

1. Navigate to the Kanban Cards Summary window. The Find Kanban

Cards window appears.

2. Enter search criteria and choose Find to locate the kanban card you

want to replenish.3. Choose Replenish.


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Physical Inventory

Overview of Physical Inventory


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Fully automated physical inventory

Reconcile systemmaintained item onhand

balances

Actual counts of inventory. Manage supply and demand

Maintain high service levels and planning

production.

Steps Involved:

Maintaining Physical Inventory


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Define a physical inventory for your whole warehouse or

subdivisions within your warehouse.

Take a snapshot of system onhand quantities.

Generate alphanumeric tags.

Void unused or lost tags.

Approve or reject physical inventory adjustments based on

approval tolerances.

Automatically post adjustments to inventory balances andgeneral ledger accounts.

Purge physical inventory information.

You can define and maintain an unlimited number of physical

i i hi h id ifi d b i i

Defining a Physical Inventory


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inventories which are identified by a unique name you assign.

Taking Snapshot of Inventory Quantities


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Before you can generate tags for a physical inventory, youmust take a snapshot of all system onhand quantities for

your items.

The snapshot saves all current item onhand quantities and

costs.

You can generate default or blank tags for your physical inventory

Tag numbers may be alphanumeric

Generating Physical Inventory Tags


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Tag numbers may be alphanumeric

you can increment only the numeric portion.

Physical Inventory Counts

Physical Inventory Counts & Void Tags


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Physical Inventory CountsUse the tags that you generated to record your physical counts.

Void TagsTrack the status of each physical inventory tag for auditing.

Void unused tags in the Physical Inventory Tag Counts

window.

After recording your physical counts you must enter the quantity for each

tag. You can query tags for easy data entry.

Entering and Voiding Physical Inventory Tag Counts


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tag. You can query tags for easy data entry.

You can view, reject, or approve physical inventory adjustments

pending approval

Approving Physical Inventory Adjustments


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pending approval.

Oracle Inventory deletes all information associated with the physical

definition

Purging Physical Inventory Information


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definition.

However, the purge does not affect any adjustments or adjustment

transactions made using the physical definition.Those adjustments are

not changed.

You can also purge just tags if you made a mistake and want to start

over.

Inactive Items Report

It R ti R t

Reports


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Item Reservations Report

Lot Transaction Register

Material Account Distribution Detail

Move Order Pick Slip Report

Material Account Distribution Summary

Serial Number Transaction Register

Transaction Historical summary Report

Transaction Register Transaction Source Type Summary

Shortages Summary Report

Shortage Parameter Report

Global Transaction Purge

Item Reservations Report

Open Period Status Control

Close Period Status Control

Expired Lots Report

Reports

Item Cross-Reference Listing

I D fi i i D il


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Item Definition Detail

Item Definition Summary

Item Demand History Report

Item Relationships Listing

Item Statuses Report

Item Sub-inventory Report

Item Template Listing

Serial Number Detail

Supplier Lot Trace Report

Item Cross-Reference Listing

Item Definition Detail

Item Definition Summary Item Statuses Report

Item Demand History Report

Item Relationships Listing


Reports


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Item Template Listing

Serial Number DetailSupplier Lot Trace Report

Customer Item Commodity Code Listing

Customer Item Cross-References Report

Customer Item Report

Item Organization Assignment Report

Period Close Value Summary

Forecast Rule Listing

Item Replenishment Count Report

Min-Max Planning Report

ABC Assignments Report

ABC Descending Value Report


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THANK YOU

inventory presentation 11i

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