multi org. fundamentals

8/10/2019 Multi Org. Fundamentals

1/44

Fundamentals of Multi-Org

Overview

Copyright Oracle Corporation, 2002. All rights reserved.

Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age & of *ev &


2/44


System References

Examples: (Please delete the red text examples once you have added your information)

Product Name > Window / Form Name

racle Wor! in Process > "iscrete #o$s

racle rder %ana&ement > 'ales rders

racle nventory > ransactions

Distribution

#o$ itle*

Ownership

he #o$ itle +list,-our.ompanycom0'u$1ect2E"3xxxxx4 is responsi$le for ensurin& that thisdocument is necessary and that it reflects actual practice


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age 2 of *ev &


3/44




Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age # of *ev &


4/44


5/44


6/44

/hat s Multi-Org1

(hat %s Multi-Org)

Applications and database enhancement

Allows you to consolidate your operations under

one installation of Oracle Applications on a single

global instance

Allows you to &eep transaction data secure by line

of business

(hat %s Multi-Org)

%ulti5r& is a server5side (applications and data$ase) enhancement that ena$les multiple$usiness units in an enterprise to use a sin&le installation of racle 6pplications products while

!eepin& transaction data separate and secure he %ulti5r& enhancement uses native data$ase

views to $uild a security layer on top of a sin&le installation of racle 6pplications n racle6pplications 7elease 88i9 the followin& products support %ulti5r& capa$ilities:

.ash %ana&ement

rder %ana&ement9 'hippin& Execution and 7elease %ana&ement

Paya$les

Property %ana&er

Pro1ects

Purchasin&

7eceiva$les

'ales .ompensation

'ales and %ar!etin&

'ervice


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age $ of *ev &


7/44

asic usiness 3eeds

Support for multiple business units even if they

use a different set of boo&s

Secure access to data on a single instance by line

of business

Define different organi$ational models

*asic *usiness +eeds

*asic *usiness +eeds

he %ulti5r& enhancement to racle 6pplications provides features necessary to satisfy thefollowin& $asic $usiness needs -ou should $e a$le to:

3se a sin&le installation of any racle 6pplications product to support any num$er of

$usiness units9 even if those $usiness units use different sets of $oo!s

'upport any num$er of $usiness units within a sin&le installation of racle 6pplications

'ecure access to data so that users can access only information that is relevant to them


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age " of *ev &


8/44


9/44

Agenda

Agenda

'nderstand what is meant by Multi-Org

'nderstand the types of organi$ations supported

in the Multi-Org model

'nderstand organi$ational models

'nderstand how Multi-Org secures data

'nderstand reporting across entities 'nderstand &ey implementation considerations


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age ! of *ev &


10/44

Organi6ation Model

12 FA

A, ,O

AR OM 3

%+4 MF1

Ship

*alancing"ntity5Funds6R

%nventory

Organi$ation

Operating 'nit

2egal "ntity

Set of *oo&s

*usiness 1roup

*al Seg 7

*al Seg 8

Fle#field

Security Rule

Organi$ation Model

Organi$ation Model

he %ulti5r& model provides a hierarchy that dictates how transactions flow throu&h different$usiness units and how those $usiness units interact -ou define the or&ani;ations and the

relationships $etween them n the dia&ram a$ove9 note the different shapes used for each

or&ani;ation type he shapes are helpful when drawin& multiple or&ani;ation dia&rams


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age &0 of *ev &


11/44

usiness 7roup

*usiness 1roup

6R*usiness 1roup

*usiness 1roup

his is an r&ani;ation that represents the consolidated enterprise9 a ma1or division9 or anoperation company and has no accountin& impact he


12/44

8et of oo9s

Set of *oo&s

12 FA

6R

Set of *oo&s

*usiness 1roup

Set of *oo&s

6 set of $oo!s ('


13/44

:egal %ntity

2egal "ntity

12 FA

6R

2egal "ntity

Set of *oo&s

*usiness 1roup

2egal "ntity

6 le&al entity represents a le&al company for which you prepare fiscal or tax reports -ouassi&n tax identifiers and other le&al entity information to these types of or&ani;ations Future

enhancements will include &reater functionality at this or&ani;ation level


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age of *ev &


14/44

Operating ;nit

Operating 'nit

12 FA

A, ,O

AR OM 3

6R

Operating 'nit

2egal "ntity

Set of *oo&s

*usiness 1roup

Operating 'nit

6n operatin& unit represents an or&ani;ation that uses any racle su$led&er application9 forexample9 rder %ana&ement9 Paya$les t may $e a sales office9 a division9 or a department

6n operatin& unit is associated with a le&al entity nformation is secured $y operatin& unit for

these applications Each user sees information only for their operatin& unit 7esponsi$ilitiesare lin!ed to a specific operatin& unit $y the %: peratin& 3nit profile option




15/44

alancing %ntity

*alancing "ntity

12 FA

A, ,O

AR OM 3

6R

Operating 'nit

2egal "ntity

Set of *oo&s

*usiness 1roup

*al Seg 7

*al Seg 8

Fle#field

Security Rule

*alancing"ntity5Funds

*alancing "ntity

his is an entity for which you prepare a $alance sheet9 represented as a $alancin& se&mentvalue in the 6ccountin& Flexfield structure here can $e multiple $alancin& entities within the

same operatin& unit structure and each of these must $alance within itself 6ll re?uired inter5

company entries will $e automatically created within the 'et of


16/44

operatin& unit he security rule (li!e the operatin& unit) is then associated with their

responsi$ility


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age &$ of *ev &


17/44

alancing %ntity %


18/44

Example B: .ompany is an operatin& unit


19/44

nventory Organi6ation

%nventory Organi$ation

12 FA

A, ,O

AR OM 3

%+4 MF1

Ship

6R

%nventory

Organi$ation

Operating 'nit

2egal "ntity

Set of *oo&s

*usiness 1roup

*al Seg 7

*al Seg 8

Fle#field

Security Rule

*alancing"ntity5Funds

%nventory Organi$ation

6n inventory or&ani;ation represents an or&ani;ation for which you trac! inventorytransactions and $alances9 and manufactures or distri$utes products Examples include

manufacturin& plants9 warehouses9 distri$ution centers9 and sales offices he followin&

products and functions secure information $y inventory or&ani;ation: nventory9


20/44


21/44

Agenda

Agenda








Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age 2& of *ev &


22/44

8ecurity Model

'sers'sers ResponsibilitiesResponsibilitiesOperating

'nit

Operating

'nit

Select ;ied

to an

Security Model

;he responsibility is &ey to multi-org security and reporting

Determines operating unit

Determines reporting ability

Security Model

he &raphic a$ove shows how security is defined within racle 6pplications 6s shown in thedia&ram9 users have responsi$ilities9 which are attached to operatin& units (or inventory

or&ani;ations)


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age 22 of *ev &


23/44

=ata 8ecurity +y Application

Data Security by Application

Application ,artitioned *y Secure

12 12 Set of *oo&s


24/44

7lo+al *egistries

Singapore

Operations

'S

+ew uired0?2A*7@"*


25/44

Refer to ,ractice - 'nderstand how Multi-Org Secures Application Data Re>uired0?2A*7A97


26/44


27/44

Cross Organi6ation *eporting

.ross Organi$ation Reporting

Report at multiple levels

Set of *oo&s

2egal "ntity

Operating 'nit

Security ,rofile

MO! ;op Reporting 2evelReport ,arameters

Reporting 2evel

Reporting .onte#t

.ross Organi$ation Reporting

he %: op 7eportin& @evel profile option can $e set to control the level of reportin& access

7eportin& @evel: 3sers can choose at which level they want to report he valid options

are 'et of


28/44

Organi6ation *eporting Options 8et of oo9s

Organi$ation Reporting Options

Set of *oo&s

MO! ;op Reporting

2evel set to Set of

*oo&s

Reporting 2evel

parameter set to

Set of *oo&s

Reporting .onte#t

parameter set toSO*7

.onnected as O'7

responsibility

shown by arrow0

O'7Op 'nit

2"7 2egal

"ntity

O'8Op 'nit

O':Op 'nit

2"8 2egal

"ntity

SO*7 Set of

*oo&s


Set of *oo&s

f the %: op 7eportin& @evel profile option is set to 'et of


29/44

Organi6ation *eporting Options :egal %ntity


2egal "ntity MO! ;op Reporting

2evel set to 2egal

"ntity

Reporting 2evel

parameter set to

2egal "ntity

Reporting .onte#t

parameter set to2"8

.onnected as O'7

responsibility

shown by arrow0

O'7Op 'nit

2"7 2egal

"ntity

O'8Op 'nit

O':Op 'nit

2"8 2egal

"ntity

SO*7 Set of

*oo&s


2egal "ntity

f the %: op 7eportin& @evel profile option is set to @e&al Entity9 you can run your reports

at the le&al entity level or operatin& unit level


30/44


31/44


32/44

Agenda

Agenda








Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age #2 of *ev &


33/44

asic 8teps to %na+le Multi-Org

*asic Steps to "nable Multi-Org

Define organi$ation structure

.onvert to Multi-Org

,erform setups uni>ue to each operating unit ie/

Financials options customer address setup

supplier site setup ban& accounts0


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age ## of *ev &


34/44

=efine the Organi6ation 8tructure

'S'S

'S'S

.hicago.hicago

CapanCapan

CapanCapan

.orporate.orporate

.anada.anada

.anada.anada

"ast"ast;o&ara

%slands

;o&ara

%slands

%nventory

.algary

Manufacturing

uebec

Manufacturing

Montreal

%nventory

(arehouse

(est(est

Define the Organi$ation Structure

Define the Organi$ation Structure

Plan and define the entities in your or&ani;ational structure

6 successful implementation of %ultiple r&ani;ation 'upport in racle 6pplications

primarily depends on correctly definin& your or&ani;ation structure in the hierarchy used $y

racle 6pplications 6 careful analysis and desi&n of a companyDs or&ani;ation structure iscritical for future success

he followin& points descri$e how the %ulti5r& model relates or&ani;ations:

6


35/44


36/44

Convert to Multi-Org


Run ADADM%+ to convert to Multi-Org

Run Seed Data Replication for one or more

operating units


6fter definin& at least one operatin& unit9 use 6"6"%N to convert to %ulti5r& his steponly needs to $e perform one time 6fter 6"6"%N is run9 the 'eed "ata 7eplication

pro&ram copies the applica$le setup data delivered with racle 6pplications for each defined

operatin& unit f you add additional operatin& units9 you can run the 'ee "ata 7eplicationpro&ram manually at any time Note that seed data is only data that comes with the data$ase

and does not include any operatin& unit specific setups you may perform

Run ADADMIN to onvert to Multiple Org

When you select the adadmin option9 .onvert to %ultiple r&ani;ation architecture9 the%ulti5r& switch is automatically turned onH a fla& called multiIor&Ifla&9 is set to - he

seed data replication pro&ram is then executed and processes accordin& to the value of themultiIor&Ifla&

Run See! Data Repli"ation

'eed data is replicated under the followin& circumstances:

'u$mit the 7eplicate 'eed "ata concurrent re?uest usin& the 'ystem 6dministrator

responsi$ility

he seed data replication pro&ram wor!s in two modes:


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age #$ of *ev &


37/44

'in&le or&ani;ation: his mode applies when the seed data replication pro&ram is

executed within the context of a particular operatin& unit (or r&I")

6ll or&ani;ations: his mode applies when the seed data replication pro&ram is executedwithout an operatin& unit context

he followin& steps are re?uired to add new operatin& units to your r&ani;ational 'tructure:

7evise the r&ani;ation 'tructure

"efine 'ets of


38/44

)erform 8etups ;ni?ue to %ach Operating ;nit

,erform Setups 'ni>ue to "ach Operating

'nit

Many setups must be repeated for each operating unit/

For e#ample!

Supplier sites

.ustomer addresses

System options System Financial ,urchasing

,ayables etc/0 ,ayment terms

;a# names

,rice lists discounts and >uantity price brea&s

,erform setups uni>ue to each operating unit

%any setups have to $e repeated for each operatin& unit you define .hec! the appropriateuserDs &uide to determine which setups must $e repeated and maintained per operatin& unit


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age #( of *ev &


39/44

Adding to the Organi6ation 8tructure

(est OpsO'0

,lant 7%O0

(id .o/SO*0

,lant 7%O0

(id .o/SO*0

"astOps

O'0

,lant 8

%O0

'S 7

2"0

'S 8

2"0

(estOpsO'0

'S 7

2"0

Adding to the Organi$ation Structure

Original Add +ew

Adding to the Organi$ation Structure

he %ulti5r& enhancement allows you to add or&ani;ations at any time Enterprises withsu$stantial ac?uisition and divestiture activities9 as well as $usinesses prone to re5

or&ani;ations9 are a$le to define new $usiness units and disa$le old $usiness units as re?uired

ne approach for dynamic $usinesses that have le&al entities and operatin& units continuallymovin& around within the or&ani;ational structure is to define new $usiness or&ani;ations as

re?uired9 while leavin& the old structure and data untouched With this approach9 it is easy to

!eep day5to5day $usiness transactions recorded f addin& to9 or chan&in&9 the or&ani;ation

structure9 your setup should include notifyin& your data$ase administrator so that the propertechnical updates can $e applied

o add additional operatin& units:

.reate the operatin& unit

7un the 7eplicate 'eed "ata concurrent re?uest

.reate new responsi$ilities as necessary and set the %: peratin& 3nit profile option


Fundamentals of Multi-Org 2!2"#!$$.doc%ffective 0&'0('0 )age #! of *ev &


40/44

Organi6ation 3aming Considerations

Organi$ation +aming .onsiderations

Organi$ation +aming .onsideration

%ulti5r& namin& conventions should $e used to identify the racle r&ani;ations.lassification (for example9 'et of


41/44

IH is an nventory r&ani;ation intended to $e a su$led&er in the racle applications or

a plannin& entity his or&ani;ation will contain either inventory transactions or %aster"emand 'chedule entries9 or $oth

=%I H is the =lo$al tem %aster f more are than one tem %aster is used (which is not

advised) then follow with a currency desi&nation (for example9 3'")




42/44

Organi6ation 3aming Considerations 4Cont.5

Organi$ation +aming .onsiderations

.ont/0

Organi$ation +aming .onsiderations continued0

GIH is an nventory r&ani;ation used only for validation purposes (for example9 formaintainin& G6 rates $y item) and is not an nventory su$led&er t will never contain

inventory transactions

PIH used for plannin& purposes only with no transactions For example9 a "7Pschedule9 with plannin& processes9 and related setups for particular product lines

crossin& many plants and distri$ution centers9 could $e esta$lished and controlled from

this r&ani;ation

.ountry codes9 @ocations9


43/44


44/44

8ummary

Summary

%n this lesson you should have learned how to!

"#plain what Multi-Org is

"#plain the Multi-Org entities

"#plain how data is secured

"#plain cross organi$ational reporting

%dentify &ey implementation considerations

multi org. fundamentals

Documents